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<br />WATER & SANITATION <br />SERVICE AGREEMENT <br />PROPOSED MIZEL ANNEXATION <br /> <br />Mr. Wurl stated that there were several <br />changes on the wording of the agreement which <br />needed to be revised. <br />Attorney Morris stated that both the City and <br />Mr. Mizel would like to have the agreement <br />approved to enter into before the final <br />action on the Mizel Annexation. <br />Attorney Morris stated that the purpose of <br />the agreement is for the protection of the <br />City as well as developer of the property. <br />Mr. Houlehan elaborated on the discussion <br />stating that the reason for the agreement <br />is to incorporate the provisions of an <br />earlier annexation agreement. Mr. Houlehan <br />stated that the reason the developer wanted <br />to enter into the water and sanitation agree- <br />ment is to have advanced understanding where <br />water and sewer mains would enter the devel- <br />opment, who would be putting up the funds <br />and when the developer puts in an oversized <br />main what would be the means of recapturing <br />the cost. <br />For the protection of the City oversized <br />mains would be put in that would meet <br />future needs. <br />Councilman DelPizzo asked Mr. Houlehan what <br />was meant by a surcharge to help repay <br />the developer. <br />Mr. Houlehan stated that this meant that the <br />developer will be paying for mains and <br />since they will be oversized, at the time of <br />a tap a surcharge would be added to help <br />repay the developer for the actual cost <br />of constructing the main. <br />Councilman Caranci asked what happens to the <br />water rights on property which may not be <br />built upon due to hazards. <br />Mr. Houlehan stated that he did not have <br />a definite answer on the question,at this <br />time. <br />Councilman Carancil also asked if the City <br />will be responsible for paying the storage <br />on the water rights until that water is <br />changed from agriculture and the land <br />is developed. <br />Mr. Houlehan stated that it would not be <br />the developers intention to have the City <br />pay for the storage until they had use of <br />the water. <br />Councilman DiCarlo stated that he did not <br />feel all shares of Farmers R & I were in- <br />cluded in the agreement. <br />Mr. Wurl stated that the staff has been <br />trying to establish the amount of water <br />shares which go with various parts of <br />property. <br /> <br />-6- <br />