Agenda - 09-29-1999 - 9d - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: September 29, 1999 Action Ager Item No. SUBJECT: Efland Sever Fund -Revisions to Fee Schedule DEPARTMENT: County Engineer PUBLIC HEARING: (Y/N) No ATTACHMENT(S): 9/23/99 County Engineer Memo Existing/Proposed .Fee Table INFORMATION CONTACT: Paul Thames, ext 2303 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane ~ 336-227-2031 PURPOSE:. To consider approval of revisions to the fee schedule for new connections to the Efland Sewer system. BACKGROUND: The fee structure in the "Rules and Regulations .for Operation of the System" dating to .1985 results in the County's subsidizing connections to Efland Sewer system, as outlined in the Engineer's attached memo. To preclude the County's inappropriately underwriting future connections to the system as development in the Efland area increases, staff recommends that the Board create and define: 1) a stub-out service line fee which recovers the administrative and construction cost of installing the service line on the basis of a "cost plus" fee structure; 2) an acreage fee of $1,000 per acre to be designated for retiring the debt plus interest for the General Fund loan that helped finance the cost of constructing the existing system; 3) a County availability fee of $600 per sewer tap to fund a capital replacement account for existing infrastructure. Staff also recommends that the rules be amended to specifically require that the Hillsborough availability fee - as determined on a case-by-case basis by the Town - be passed through directly to the consumer/customer. It should. be emphasized that the new fee structure would not apply to any of the original 212 potential sewer system customers who may not yet have tapped on, but are "grandfathered" under the original intent of the Efland Sewer Fund. FINANCIAL IMPACT: These changes will enhance the financial position of the Efland Sewer Fund and preclude any unintended subsidy by the General Fund of new system connections.