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2. Sewer Service Outside of Corporate LimitsCity of Kalispell Post Office Box 1 - Kalispell, Montana -1 - Telephone (406) 7- 0 0 Fax -758-7758 REPORT TO: Honorable Mayor and city council FROM: Jarnes. H. Patrick, City Manager ager SUBJECT* Sewer Service outside Corporate Limits Meeting Date: August 28, 200 Background: At the July 14, 2006 Council workshop, we discussed the attached memorandum conceming sewer service outside the corporate limits. 1 have also attached a copy of Flathead County Water and Serer District Number 1's response to my letter. The first concern of the Sever and water district I believe has been resolved by Council some time ago. If the City annexes the subdivision then the sewer mains belong; to the city. Item two 1 believe can be resolved. However, I recommend that the final decision., if or when there is another treatment plant, he made at that time based on the cost of treatment for residents n comparison to fe City of Kalispell Rate. Respectfully submitted, ames . Patrick City Manager City of Kali"spell x ¢n Post office Box 1 - Kalispell, Montana 5 -1997 - Telephone 4 75 -7000 Fax - 4 75 - 75 REPORT TO: Honorable Mayor and City Council FROM: James H. Patrick, City Manager SUBJECT: Sever Service outside Corporate Limits Meeting Date. July 14, 2006 Background: Council has approved providing sewer services to Cottonwood and Kelsie subdivisions divisions as well as portions of loo}000 gallons for other development outside the Corporate limits and outside the Evergreen RSID. There is no mechanism in place to properly bill these customers since they do not qualify for the RSID rate and are not in the Corporate service strict. I have met with. the Evergreen water and Sewer District Board and discussed these issues. i suggested that it may be ire both of our interests to work together to preserve and protect the aquifer. Evergreen. water and Sewer District is the City's largest customer and there is o reason. that the City could not be their largest customer by providing wastewater transport tack to the wastewater treatment facility. The Board was interested in the proposal and established a work group to meet with City staff and 1 on the details of the proposal. The task force has met several tunes and has tentatively worked out the following recommendation for consideration by the City Council and the Evergreen water and Sewer Board. Property owners/subdivis ions desiring sanitary services would request hose services from. the City on a case by case basis, to be approved or disapproved by the City Council. The agreement for service and the stipulations for that service would exist between the City and the property owner/developer. These stipulations would include but not be limited to waivers of protest for annexation ation or annexation district, urban design subdivision, and houses subject to City building inspections. The City and Evergreen water and Sewer District would eater into a contract that would allow for the transport of wastewater through the Evergreen water and Sever District collection system to the Kalispell plant and for the maintenance of the subdivision collection system on behalf of the City. The City would bill for sewage treatment t in a manner currently done for Buffalo Stage by getting the water consumption data from Evergreen water and Sewage f *strict. The rate would e based on cost of treatment. cost of collection, cost of transport through the Evergreen water and Sewage District. systems., This arrangement would continue until the City extended its current collection system to the subdivisions or properties. Instead of reacting to various property owners,, it was the Task Force recommendation to set up an area to be serviced first. This would allow Evergreen Water and Sewer District to evaluate their collection system serving that area and u si e the collection system if necessary. The City of Kalispell" s consulting engineer is conducting a facility plan update. This plan will evaluate our existing collection system and recommend areas needing improvement and looking at service delivery to areas currently outside the corporate limits as well as the RSID. This course of action addresses the service delivery issues into the near future and creates a working relationship with the Evergreen Water and Sewer District for future collaboration. Respectfully submitted, Jaynes H. Patrick City Manager cjo��ty 130 NichnlsoH Drive • Kalispali, M"C 0 �J901 Phone: [406] 257-5861 •fax: (406) 755-1588 V,aiter &Sewer D'b L August 15,, Zoo City of Kalispell Attention.: James H. Pat6ck, City Manager P.O. Box 1997 Kalispell, MT 59903-1997 Sewer Service outside the Boundaries of the Interlocal Agreement Dear Mr, atr'ek: The Board of Directors of Flathead County eater & Sewer Distrzet #1 Evergreen ("District"), at its regularly scheduled meeting of August 9, Zoo reviewed your letter of July 19, 2006, relative to the above captioned matter. Prior to designating a work group to d1scuss an MOU nterloeal Agreement detailing the implementation of this proposal, the Board has requested that you review the following provisions with the City Council, as the District is requesting that they be incorporated in such are agreement as follows: Ownership of Lines: Although the owners of properties outside the boundary of the Interlocal Agreement served under this ro osed agreement would e customers of the City of Kalispell, the District would proposed1 1 1 11. The agreement, however, would expressly provide that at the time the City of Kalispell initiates annexation of a property served under this agreement, the �'ee Diet, upon request y the City, will transfer the ownership of the lines within the subdivision to the City of Kalispell. 2, Sewage 'treatment: The agreement will not prohibit the treatment o sewage transported under this agreement to a treatment facility other than Kalispell' . The District is confident that all operational and administrative issues that eoncem both the City of Kalispell and. the District, can be successfully resolved to the satisfaction on o all parties. City of Kalispell Attn: James nes . Patrick, City Manager August , 2006 Page 2 Please review this letter with the City Council for its consideration/approval o these proposed provisions, prior to any appointment of a work group contemplated in your letter -of July 19, 2006. Sincerely, { { I-r jl',� Roberta Sr District Manager Board members