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<br />REQUEST FOR CITY COUNCIL AGENDA ITEM <br /> <br />Appropriation <br /> <br />Agenda Date Requested: December 14. 2009 <br /> <br />Source of Funds: N/A <br /> <br />Requested By: Tim Tietiens <br /> <br />Account Number: N/A <br /> <br />Department: Planninl!: <br /> <br />Amount Budgeted: N/A <br /> <br />Report: _Resolution: _Ordinance:...K...- <br /> <br />Amount Requested: N/A <br /> <br />Exhibits: <br />A. Ordinance <br />B. Water Service Agreement <br />C. Area Map <br /> <br />Budgeted Item: _YES ..LNO <br /> <br />SUMMARY & RECOMMENDATION <br /> <br />ELE Holdings La Porte, Ltd. has approached the City for water service to its existing facility at 11345 SH <br />225 in the City's Battleground Industrial District (see Exhibit "C" for area map). The company had an <br />existing Water Service Agreement with the City for its entire 35 acre tract. However, the owner has recently <br />subdivided the acreage into two individual parcels of 28 acres (located on the west side) and 7 acres <br />(located on the east side). The owner has recently sold the 28 acre tract to another company and has <br />relocated an existing fire suppression tank from the 28 acre tract to the 7 acre tract he has developed with <br />an office/warehouse facility. As a result, the owner must execute a new Water Service Agreement for his 7 <br />acre tract. A separate Water Service Agreement will be required when development occurs on the 28 acre <br />tract. <br /> <br />Council has approved a policy to provide water and sanitary sewer service to companies located outside the <br />city limits and within the City's industrial districts. These companies are required by the policy to execute <br />and maintain a current Industrial District Agreement with the City. Council has previously approved an IDA <br />with ELE Holdings La Porte, Ltd. (2007-IDA-71) and the company desires to obtain water service under the <br />terms of this policy. <br /> <br />Based on the company's stated demand for domestic uses, the average daily demand for domestic water <br />usage is 1,100 gpd which is within the policy's limit of 30,000 gallons per day. The applicant, under the <br />terms of the policy, will pay one and one-half (1-Y2) times the City's current utility rate. An administrative fee <br />of $5,000 associated with the company's Water Service Agreement has been received by the City. <br /> <br />The terms of the company's Water Service Agreement will expire on December 31, 2019, plus any renewals <br />and extensions thereof. However, the agreements shall automatically expire at such time as there is no <br />effective IDA between the parties or, if the city exercises the right of termination. <br /> <br />Action Required bv Council: <br /> <br />Approve an ordinance authorizing the City Manager to execute a Water Service Agreement with ELE <br />.ngs La Porte, Ltd. for water service to its facility at 11345 SH 225. <br /> <br /> <br />/A.(;. A~ <br /> <br />ate <br />