01-28-19 Regular Meeting of the La Porte City Council

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REQUEST FOR CITY COUNCIL AGENDA ITEM Budget Agenda Date Requested: January 28, 2019 Source of Funds: Utility Fund Requested By: Don Pennell, Public Works Director Account Number: 002-6176-515-7006 Department: Public Works Amount Budgeted $ 24,000 Report: Resolution: Ordinance Amount Requested: $ 24,000 Exhibits: Contract Agreement to Treat Domestic Sewage Budgeted Item: YES Exhibits: Exhibits SUMMARY & RECOMMENDATION With the annexation of Bay MUD (now southern La Porte) assumed a contract with Gulf Coast Waste Disposal Authority (now Gulf Coast Authority or GCA) for the treatment of the domestic waste water from southern La Porte. The contract was renewed by the City in 1999 for a ten year term. In 2009 the contract was not renewed between GCA and the City. In 2013 City staff followed up with GCA about renewing and GSA did not require a contract at that time. GCA has continued to treat the southern La Porte area waste water at the rates established in 1998. GCA has recently requested staff to renew the contract at the rates established in 1998. The proposed contract is industry typically sees a periodic rate increase, the City of La Porte has not had an increase in over 20 years. The rates proposed are: Rate: For flows of: $0.20 500,000 gallons per day or less $0.40 500,001 to 600,000 gallons per day $0.60 600,001 to 800,000 gallons per day $0.80 800,001 to 1,000,000 gallons per day $1.00 over 1,000,000 gallons per day Staff recommends entering into a contract with Gulf Coast Authority to treat domestic sewage/municipal waste from the southern part of the City of La Porte. Action Required by Council: Consider approval or other action authorizing the City Manager to execute a contract with Gulf Coast Authority for the treatment of Domestic Sewage/Municipal Waste.