To: Honorable Mayor and Members of Town Council
From: Mark Marlowe, Utilities Director
Tim Friday, Assistant Utilities Director
Title
Resolution Approving First Amendment to Extraterritorial Service Contract with the Catholic Diocese of Colorado Springs for St. Francis Assisi Catholic Church
Body
________________________________________________________________________________
Executive Summary
The purpose of this memorandum is to request Council approval of a resolution (see Attachment A) approving the First Amendment to an existing Extraterritorial Water Service Contract with the Diocese of Colorado Springs (Owner) for the St. Francis Catholic Church. In May of 2016, the Owner requested Castle Rock Water provide emergency water service to the Property located at 338 5th Street (see Attachment B) due to a failure of their existing well pump. After presenting the costs to connect for permanent domestic water service, the Owner decided to pursue this option for a 1-1/2” metered water connection. This property is located outside the Castle Rock town limits. Castle Rock Municipal Code (13.12) authorized the extension of water and/or wastewater service to properties outside the municipal boundaries through an extraterritorial service contract approved by Town Council. Code allows Council to add up to a 25% surcharge to the standard rates and fees for any extraterritorial service contract. Given this is a contract with Catholic Diocese of Colorado Springs, a nonprofit organization, the location is within our existing service area and that infrastructure is already in place to provide water service, staff recommends a surcharge NOT be included in this contract. This location has been part of Castle Rock Water’s master planning and contemplated future service area for many years.
History of Past Town Council, Boards & Commissions, or Other Discussions
On April 24, 2007, Council approved an extraterritorial service contract with the Owner to provide a fire service connection from the Property to the Town’s existing municipal water system located adjacent to the Property on 5th Street. At that time, it was envisioned that someday the church would connect for domestic water service and provisions were made to accommodate that connection.
Budget Impact
The Owner will be paying approximately $61,457 in system development and renewable water fees, which will provide revenue for system improvements in accordance with the impact of this service on the systems, In addition, the Owner will be paying an estimated $4,600 per year for service, which provides net revenues through more fully utilizing excess capacities in our existing water system.
Staff Recommendation
Staff recommends approval of the First Amendment to the Extraterritorial Service Contract with the Catholic Diocese of Colorado Springs, for the property located at 338 5th Street.
Proposed Motion
“I move to approve the Resolution as introduced by title.”
Attachments
Attachment A: Resolution
Exhibit 1: Amendment
Attachment B: Existing Utilities May 2016