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REQUEST FOR CITY COUNCIL AGENDA ITEM <br />Agenda Date Requested: August 26, 2019 <br />Requested By: Lorenzo Wingate, P.E., Engineer <br />Department: Public Works <br />Report ir Resolution 1�'°' Ordinance <br />Exhibits: Area map <br />Approved IDA—Ordinance 2007-IDA-019 <br />Water service application <br />Water service aareement <br />Appropriation <br />Source of Funds: <br />N/A <br />Account Number: <br />N/A <br />Amount Budgeted: <br />N/A <br />Amount Requested: <br />N/A <br />Budgeted Item: <br />ir Yes i; No <br />SUMMARY <br />Eurecat U.S. Inc. approached the City for a revision to their water service agreement for their facility <br />located at 13100 Baypark Road, in the Bayport Industrial District. The company has added thirty-three <br />(33) additional employees and is planning a 99,000 square foot building expansion which requires fire <br />protection. <br />The City Council has approved a policy to provide water and sanitary sewer service to companies located <br />outside the city limits and within the City's industrial districts (ETJ). These companies are required by <br />policy to maintain a current Industrial District Agreement (IDA) with the City. Additionally, the applicant <br />is subject to an administrative fee of $7,700. As required, a non-refundable payment of twenty-five <br />percent (25%) of the total administrative fees has been received, with the remaining balance ($5,775) to <br />be paid upon approval of the water service agreement. <br />Based on the previously approved demand for domestic uses, which the applicant has requested to <br />remain unchanged, the average monthly volume for potable water is 71,675 gallons. Under the terms of <br />the policy, the company will pay one and one-half (1-1/2) times the City's current utility rate for service. <br />The company will pay two (2) times the City's current utility rate for service for any additional monthly <br />usage beyond 71,675 gallons. <br />The terms of Eurecat U.S. Inc.'s Water Service Agreement will expire on December 31, 2019, plus any <br />renewals or extensions thereof. However, these agreements will automatically expire at such time as <br />there is no effective Industrial District Agreement between the parties, or if the City exercises its right of <br />termination. <br />RECOMMENDED MOTION <br />