Agenda - 05-02-2017 - 6-a - Interlocal Agreement with Town of Hillsborough Related to the Construction and Operation of Water and Sewer Facilities in the Hillsborough Area Economic Development Zone

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2 constructs such utilities and other utility entities provide reservation of capacity and treatment, accept ownership, and maintain facilities thereafter. The agreement covers a variety of subjects including but not limited to design standards, infrastructure responsibility and fees and charges. In this case, as we have with other local governments, we are including a land use plan (modified on September 12, 2016), so the County infrastructure investment relate to the economic development plan. Uses therein were further reviewed and approved for modification on November 1, 2016 to promote industrial, office, and retail uses and restrict the area from lower density residential. The infrastructure reimbursement program, if any, for this project area will be based on targeted land uses and any other adopted `development' agreements on a case by case basis. On April 24 at a Town of Hillsborough work session, the Town of Hillsborough elected officials and staff in concept agreed to 1. Focus the interlocal agreement on the southwest quadrant only which is earmarked for non-residential `employment land use', therein excluding multifamily land use; and 2. Setting a capacity reservation of 108,000 gallons per day for 5 years with renewable provisions. This enables the pursuit of engineering design to serve this quadrant. FINANCIAL IMPACT: There is no financial impact associated with the approval of this agreement. Monies for the Capital Investment Plan (CIP) for the infrastructure expansion using Article 46 funds are allocated in past years and this year's budget. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice goal is applicable to this item: • GOAL: ENSURE ECONOMIC SELF—SUFFICIENCY The creation and preservation of infrastructure, policies, programs and funding necessary for residents to provide shelter, food, clothing and medical care for themselves and dependents. RECOMMENDATION(S): The Manager recommends the Board review this item and authorize the Chair to sign the interlocal agreement with County Manager approval for outlined aspects of the agreement. The agreement is contingent upon the Town of Hillsborough's approval which occurs after the County since the County is the `requesting' party.