08-26-1985 Council Packet - Laserfiche WebLink

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Ap CGUN0L MEETING To: Mayor Butler, Orono Council. Members �j AU G 2 R 1935 From: Mark E. Bernhardson, City Administrat* CITY OF ORONO Date: August 23, 1985 Subject: Sewer Assessment Policy - Navarre INTRODUCTION In 1981 the City was experiencing problems with Lift S+-ation #6's (Casco Point Road) capacity during a heavy rain or power failure at Lift Station #7 near Shadywood (which drained back to #6). With the Schlee development in 1982 it was decided in order to rectify the existing problem at peak times, that a by --pass line was constructed and assessed at $150/unit for all existing properties and undeveloped properties with stubs together with additional assessments against the Schlee development, etc. This substantially paid for the cost (90% of $221,365.00) In 1984, in conjunction with Fresh Water Biological Institute's (FWBI) subdivision plan, an additional project to re -do the force main at Lift Station #7 was undertaken. The project cost was a total of $116,000 of which FWBI was to pay $47,080 based on an existing $2000/acre formula for trunk availability. Then at the time of connection $500/unit for 12 units for the Lift Station #7 improvement plus the initial $225/connection unit charge in Navarre for all new units from the original sewer plus $150/unit for the by-pass line for a total of $875/unit for each of 12 units was to be p,: id by FWBI. The capacity added by the by-pass and Lift Station #7 forcemain was at least 192 units. It was estimated that in addition to FWBI's 12 uni+ :hat an 116 new unstubbed residential units could be coming on line the future. It was decided that in order to assure the Cit• 'as repaio, and recouped the cost of money until the units connection ct.arges were paid, that the balance $57,120 of the actual assessment estimate ($104,200) less FWBI's $47,080, be divided by 58 (1/2 of the 1:6) new residential units (to the extent that more come on line it would cover holding costs, etc.). The policy as adopted (see attached) stated thz!t all new structures or modifications in existing use resulting in more sewage be charged $1,345/unit broken down as follows: $220 - Initial connection charge (from 1963) 150 - By-pass (82-1) 985 - Lift Station #7 connection (1984) $1,345 - Total The initial system charge has probably been paid off and such monies will eventually go to the sewer operating fund. .11 but $22,932 of the by- pass was assessed with various pay backs. As for the Lift Station #7 charge, 58 units will pay off the principal.