Agenda - 12-13-2005-7a - Laserfiche WebLink

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z This fee calculation process was based on findings that larger water meters and larger homes represented greater water use and wastewater generation than that of smaller meters and homes and thus represented a correspondingly greater portion of the demand on and capacity of the infrastructure.. During approximately the same period, OWASA found that there was a relatively low demand for reimbursements under its then current reimbursement policy, As the primary tool far generating reimbursement funds was eliminated with the adoption of the meter and home size based fee policy, OWASA also eliminated its reimbursement policy, After same discussion, the BOCC requested that OWASA reconsider its reimbursement policy to allow at least public entities to recover costs associated with utility extensions required to serve public facilities, Since that time, OWASA staff has worked to develop potential strategies and policies that would allow any utility developer (both commercial developers and public entities) to recover the portion of the casts of utility extensions that were related to a regtired upsizing of lines to meet overall utility system needs as opposed to needs of just the development or project requiring the utility extension. These strategies and proposals were discussed by the OWASA board at its September 22, 2005 and November 10, 2005 meetings and are scheduled to be discussed again at its December 15, 2005 meeting, OWASA has requested comment on this issue by the elected boards of Chapel Hill and Carrboro as well as by the BOCC sa that this input can be considered along with that of OWASA staff. The OWASA staff recommendation relative to reimbursement has atwo-phase approach, It recommends that the OWASA board consider reimbursing the incremental cost (difference in cost between a nominally sized line and a required over-sizing of a line) of over-sizing a waterline extension as an immediate credit from OWASA (and financed through OWASA's rate structure). The rationale for the immediate credit is that the inclusion of an oversized waterline into the water distribution system can provide immediate benefits (generally improved pressure, water quality and system reliability) to the existing water distribution network. The OWASA staff recommendation relative to sewer lines is that reimbursement of incremental casts of aver- sizing the lines be provided as new customer's begin using the sewer line. Assessments or connection fees charged to those new users would finance this reimbursement. The rationale for this strategy is that oversized sewer lines generally do not provide an immediate benefit to the existing system.. Benefits accrue only by means of sewer availability for and to new users. FINANCIAL IMPACT: There is no immediate financial impact associated with this item, However, potential financial impacts related to the extension of water and sewer utilities to the Twin Creeks Park and adjoining school and other future County funded projects could be substantiate RECOMMENDATION(S): The Manager recommends that the Board consider the information provided above and in the attached OWASA memorandum and direct staff as to how the Board wishes to have its input, if any, to the OWASA board.