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94-9628 Water SewersKuhn -CO% P nng —Salina. Kansas (Published in The Salina Journal April g , 1994) ORDINANCE NUMBER 94-9628 AN ORDINANCE ESTABLISHING EAST DRY CREEK INTERCEPTOR CAPITAL RECOVERY CHARGES BY ADDING SECTIONS 41-74 THROUGH 41-76 TO ARTICLE III OF CHAPTER 41 OF THE SALINA CODE, AMENDING SALINA CODE SECTION 41-71.1 AND REPEALING THE EXISTING SECTION. BE IT ORDAINED by the Governing Body of the City of Salina, Kansas: follows: Section 1. That Salina Code Section 41-71.1 is amended to read as Sec. 41-71.1 Sewer connection permits and fees. (a) Prior to the issuance of any permits for any connections with the sewer mains or laterals of the City and in addition to any other fees or charges assessed pursuant to this chapter, the following fees shall be paid: (1) For each connection for the use of property included within the boundaries of the city since January 1, 1950, if such property has never since January 1, 1950, and is not now in any wastewater benefit district of the city, the sum of five hundred dollars ($500.00) . (2) For each connection for the use of property not within the city limits and not in any wastewater benefit district of the city, the sum of seven hundred fifty dollars ($750.00) . (3) No fee shall be required for connections of the use of property located in a wastewater benefit district of the city. Section 2. That Article III of Chapter 41 of the Salina Code is amended by adding the following sections: Sec. 41-74. Legislative findings. The governing body finds that: (1) Pursuant to K.S.A. 12-860, the governing body of the city is authorized to establish charges for the use of the sewage disposal system as shall be reasonable and sufficient to pay the cost of extension and enlargement of the system, and the payment of any bonds and the interest thereon as may be issued for such sewage system. (2) The city has constructed the East Dry Creek Interceptor which removes Sewer Plant No. 2 from service, provides substantial reserve capacity for the growth areas to the south and east of the city, and allows transfer of service areas from the essentially fully loaded Southeast Interceptor and East Side Interceptor service areas. (3) The proportion of the East Dry Creek Interceptor capacity attributable to future flow capacity has been calculated by the city's consulting engineers to be 66.15 percent. The total East Dry Creek Interceptor project cost of $6,960,000 with a 5.14 percent, twenty (20) year bond issue results in a total project cost including debt service of $11,221,000. Consequently, $7,422,700 in capital costs and debt service are attributable to the future flow capacity of the East Dry Creek Interceptor. (4) The public interest is best served by the assessment of a capital recovery charge to assure that future development bears its proportionate share of the cost of the future flow capacity of the East Dry Creek Interceptor. Huhn -Cox Printing — Sarna, Kdnsas (5) The report entitled "East Dry Creek Interceptor Capital Recovery Charges, Briefing Document", dated February 14, 1994, sets forth a reasonable methodology and analysis for the determination of a fair and reasonable capital recovery charge based upon the new user's consumption of the future flow capacity of the East Dry Creek Interceptor. The capital recovery charge is to be paid as part of the user's monthly water and sewer utility bill over a period of ten (10) years or, at the election of the owner of a new single family residence, in a lump sum based upon estimated consumption for a single family residence. Sec. 41.75. Imposition of charge. Any person who, after the effective date of this ordinance, seeks to connect to the city's sewerage system to service a new free-standing building or use on either: (1) a tract within the city limits that was unplatted as of the effective date of this ordinance; or (2) a lot or tract that was outside the city limits as of the effective date of this ordinance and which is in an area serviced by the Southeast Interceptor, the East Side Interceptor, or the East Dry Creek Interceptor, as shown on the map attached to this ordinance as Table 1, shall be required to pay a capital recovery charge as set forth in the East Dry Creek Interceptor Capital Recovery Charge Schedule attached to this ordinance as Table 2. Sec. 41.76. Payment of charge. Prior to the issuance of any permits for any connections with the sewer mains or laterals of the city for any single family residence located on any lot or tract subject to the capital recovery charge provided for in Sec. 41-75, the applicant must either elect and pay the applicable lump sum charge or elect to pay the applicable monthly charge which shall commence upon the initiation of service and shall continue each month for a period of ten (10) years. In the case of all other users subject to the capital recovery charge, the applicable monthly charge shall commence upon the initiation of service and shall continue each month for a period of ten (10) years. Section 3. That the existing Section 41.71.1 is hereby repealed. Section 4. This ordinance shall be published once in the official city newspaper and shall be effective April 15, 1994. SEAL ATTEST: -1117- Cf - Judy D. Long, L�_ City Clerk Introduced: March 28, 1994 Passed: April 4, 1994 Peter F. Brungardt, Mayor