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PWAM19861023• PUBLIC WATER COMMITTEE - CITY OF MUSKEGO MINUTES OF MEETING HELD OCTOBER 23, 1986 The meeting was called to order at 7:00 P.M. by Chairman Hilt. Also present were Committee Member Patterson, Mayor Salentine, Ald. Taube, Ald. Sanders and those per the attached list. Ald. Dumke was absent. Water Project MW-1-86 is under construction. No construction has started on MW-2-86 as of this date. The policy that will determine if the MW-3-86 water project is to be implemented was opened for discussion. A letter from the City's Financial Consultant dated October 23, 1986, in regard to Deferment of Water Assessment Costs, was read and the following categories were discussed: 1. The Committee agreed that front foot assessments along main transmission lines will be deferred. 2. The requirement that special assessments will be due and payable in full upon the sale of any property is going to the Common Council without a recommendation. • 3. The Committee agrees that special assessments will be payable in 10 annual installments if the property owner chooses to connect to the system. 4. The Committee agrees that special assessments will become payable in 10 annual installments after a major expansion of an existing commercial or industrial building. 5. The Committee agrees that assessments would be deferred for all unimproved property which become payable in full prior to the issuance of a building permit on that property. The following provisions were added to the policy: 1. All laterals will be payable within two years with 8% interest if the property owner does not go on the installment plan. 2. All front foot costs would be deferred at 8% interest starting the first November 1st after the date of the Final Resolution. 3. If connection is made, or owner chooses to go on installment plan prior to November 1st, the lateral costs could be included in 10 year payment plan. • 4. Interest rates on deferred assessments and 10 year payment plan assessments would be reviewed after five years. Public Water Committee - Page 2 October 23, 1986 5. If community well subdivisions join the system prior to award of contract, the credit of the WCA payment against the well would remain and afer the award of the bid, the offer of credit of WCA's would be withdrawn. Mayor Salentine was directed to contact the Financial Consultant to determine the feasibility of increasing the proposed Water Capacity Assessment charge for new construction of $750 to $1,000. The Water Capacity Assessment District was reviewed. The Mayor indicated that he was made aware of the problem realtors have when a closing letter indicates that a Water Capacity Assessment has been levied against a property in areas where water service is not intended to be available within the next five years. The Committee recommended that the Water Capacity Assessment District remain the same and that the escalation charge be reviewed after five years. Ald. Patterson moved to have the MW-1-86 and MW-2-86 assessment district amended to incorporate the above terms. Seconded by Ald. Hilt, motion carried. • Ald. Patterson moved to approve the selling of water to outside sources at the rate of $10.00 per truck plus $2.00 per 1,000 gallons of water. The Water Utility Operator will implement the above procedure. After Council approval, the Committee is holding an informational hearing on the MW-3-86 water project inviting all property owners on Highway 24, and Lannon Drive, along with all property owners of Guernsey Meadows and Kristin Downs subdivisions. Ald. Hilt moved to recommend approval of the Change Order for Kamp & Associates, Inc. to provide a new backup control system in the well pump house on Racine Avenue to replace the existing controls at an additional cost of $870. Seconded by Ald. Patterson, motion carried. Ald. Hilt moved to amend the assessment roll for MW-1-86 and MW- 2-86 water project to delete front foot assessment for Mr. Patrick Higgins. Seconded by Ald. Patterson, motion carried. The meeting adjourned at 9:40 P.M. Respectfully submitted, • Ald. Patrick Patterson ca Secretary Pu(3GLc, 'Jlg'r� AJ"-12wG� — 0 c, 'C. P2 3 'e,O W,l 71 J -7 (J) t� 7 c92 Cif/2J' -vv (-y t 5 7 8) 7 F, Ae� �17 �wle5� W-Al -tLOS5- ILI.Lq ,r�E-o Ake _ W-V -07 e;-,- S-,7f