Thelen/Development Fees�0
MEMO
To: Mayor Boharski & City Council
From: Al Thelen, Interim City Manager
Date: April 22, 1999
Re.: Waterford Development Fees
The engineer for the Waterford development complained that the City was charging the developer
"tap fees" for fire hydrant connections. As the attached memo from the Public Works Director's
Office indicates, the City doesn't make a charge for fire hydrant connections.
The City's proposed fees for Waterford were based on the April 141`' plans submitted by the
developer, which does not show a Fire Suppression Plan. The proposed P.U.D. Agreement (section
3.07) requires the developer to submit a Fire Suppression Plan for approval prior to the start of
construction.
Post Office Box 1997 - Kalispell, Montana 59903-1997
Telephone (406) 758-7700 - FAX (406) 758-7758
MEMORANDUM
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To: AI T elea
Interim City Manager
From: Dick Amerman
Assistant City Engineer
Subject: Waterford Connection Fees
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Please reference Jun's memo on the subject dated April 16. The connection fees for sewer and water
were based on the Project Site Plan submitted by Waterford's engineer, dated January 14, 1999. The
site plan shows 27 individual residential water services and four (4) larger services to the main
building. The residential services were assumed to have a 5/8" meter and the larger services were
assumed to be V. Our Resolution No. 4267 established a 1999 water Connection Fee of $618 for
a 5/8" meter size and $25,313 for a 4" meter size. Also, the sewer Connection Fees are $1,434 for
the 5/8" meter size and $58,736 for the 4" meter size. Hence, the total connection fee of $391,600.
As you are aware, the purpose for the Connection Fee is to provide for the replacement of the
infrastructure of the water and sewer utilities. Granted, the system is proposed to be private,
however, it has exactly the same impact on our water and sewer systems as a subdivision made up
of individual owners. There are no Connection Fees for fire protection lines or private fire hydrants.
Per our regulations, the development is considered to be commercial, which requires that to receive
the lesser sprinkler rate, the sprinkler system has to be metered. A major problem with the single
meter is that there will be no way to differentiate between domestic and sprinkling use which are not
only at different rates, but the domestic use determines the sewer charge. This issue should be settled
up front. 1f we charge the single connection fees, they should be paid with the first building permit.
Post Office Box 1997 - Kalispell, Montana 59903-1997
Telephone (406) 758-7700 - FAX (406) 758-7758