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The Mayor and City Council shall discuss and take action to approve and authorize the City Manager to execute a “Water Facilities Extension Agreement” with Global Water - Santa Cruz Water Company, Inc., an Arizona corporation related to the extension of water utility services to be extended to and for residential and/or commercial real estate development within the City. Discussion and Action.
AGENDA ITEM DESCRIPTION
City desires that water utility service be extended to and for residential and/or commercial real estate development within the City. To facilitate further development in the western portion of the City, the City believes it would be best to work with Global Water (“GWR”) to provide additional infrastructure to service current and future development in the general area of Ralston Road and Highway 238. The construction of these water improvements will benefit the City in trying to encourage development in the western portion of the City.
Subject to the terms and conditions set forth in the agreement, City is willing to make an advance in aid of construction in the amount of One Million Dollars ($1,000,000.00) for facilities necessary to extend water utility service to be paid back over 22 year. The City Council originally approved an "Extension Agreement" in the amount of $1,500,000.00. This Agreement will replace the previous agreement and reduce our aid of construction by $500,000.00.
It is the opinion of staff that the City should consider participating in this project for the following reasons: (i) to enable development of the western portion of the City at a quicker pace to include current and future development; (ii) the proposed extension project would facilitate this Strategic Planning goal; (iii) there remain huge tracts of land to be developed along this corridor that cannot be developed without having access to water; (iv) no one developer can handle the cost of this extension without the benefit of other projects sharin...
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