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HomeMy WebLinkAbout04.q establish public hearing District Code Chapter 6.12Central Contra Costa Sanitary District ' BOARD OF DIRECTORS ' POSITION PAPER Board Meeting Date: August 5, 2010 Type of Action: SET A PUBLIC HEARING Subject: SET SEPTEMBER 2, 2010 AS THE DATE FOR A PUBLIC HEARING TO CONSIDER A PROPOSED ORDINANCE TO AMEND CHAPTER 6.12 OF THE DISTRICT CODE TO PROVIDE AN OPTION FOR INSTALLMENT PAYMENT OF CAPACITY AND PUMPED ZONE FEES WHEN A PROPERTY OWNER CONNECTS AN EXISTING HOME TO THE DISTRICT'S PUBLIC SEWER SYSTEM AND CONCURRENTLY ABANDONS THE SEPTIC TANK SYSTEM SERVING THE PROPERTY Submitted By: Jarred Miyamoto-Mills, .Provisional Environmental Services Division Manager REVIEWED AND RECOMMENDED FOR BOARD ACTION: J. yamoto-Mills Initiating Dept./Div.: Engineering/Environmental Services /~1l ~ A. Farre K. Alm James Celly, General Manager ISSUE: At its July 15, 2010 regular meeting, the Board of Directors directed staff to calendar a public hearing to consider an amendment of the District Code to provide an option for installment payment of Capacity and Pumped Zone Fees when a property owner connects an existing home to the District's public sewer system and concurrently abandons the septic tank system serving the property. Board adoption of an ordinance is required to amend the District Code. RECOMMENDATION: Set September 2, 2010 as the date for a public hearing to consider adoption of an proposed ordinance to amend Chapter 6.12 of the District Code to provide an option for installment payment of Capacity and Pumped Zone Fees when a property owner connects an existing home to the District's public sewer system and concurrently abandons the septic tank system serving the property. FINANCIAL IMPACTS: None by this action. ALTERNATIVES/CONSIDERATIONS: The Board may decline to set a date for the proposed public hearing or could set a date other than September 2, 2010. However, if the proposed financing program is to be implemented, adoption of an ordinance following a public hearing is required. BACKGROUND: In the past, the Board has received many requests from property owners who have asked for mitigation of the up-front cost of connecting their property to the District's public sewer system. Most recently (at the July 15, 2010 Board meeting), some of the prospective Sunnybrook Road Contractual Assessment District N:\ENVRSEC\Position Papers\Miyamoto-Mills\2010\PP Set PH Date for Code Amend re Installment Payment of Capacity Fee - Septic Conv FINAL 08-05-2010 Rev 2 jm2.doc Page 1 of 2 POSITION PAPER Board Meeting Date: August 5, 2010 subject. SET SEPTEMBER 2, 2010 AS THE DATE FOR A PUBLIC HEARING TO CONSIDER A PROPOSED ORDINANCE TO AMEND CHAPTER 6.12 OF THE DISTRICT CODE TO PROVIDE AN OPTION FOR INSTALLMENT PAYMENT OF CAPACITY AND PUMPED ZONE FEES WHEN A PROPERTY OWNER CONNECTS AN EXISTING HOME TO THE DISTRICT'S PUBLIC SEWER SYSTEM AND CONCURRENTLY ABANDONS THE SEPTIC TANK SYSTEM SERVING THE PROPERTY _ (CAD) participants requested that the District finance the Capacity Fees that would otherwise be due in full upon connection. The Board directed staff to calendar a public hearing to consider an amendment of the District Code to provide an option for installment payment of Capacity and Pumped Zone Fees when a property owner connects an existing home to the District's public sewer system and concurrently abandons the septic tank system serving the property. Board adoption of an ordinance is required to amend the District Code. Staff has prepared an ordinance to amend the District Code to provide the financing option drawing on experience gained from administering the Capacity Use Charge Program for some commercial customers and the pilot program for deferral of fees for newly developed properties. The proposed amendment may include limitations such as the following: 1. Only residential properties being converted from private septic system sewage treatment to public sewer service would be eligible to participate; 2. The application fees and interest rate for financing would be specified in the Schedule of Environmental and Development-Related Rates and Charges; 3. To participate in the program, a property owner would be required to execute a promissory note and a recordable Memorandum of Agreement with the District; 4. The Board would delegate the responsibility for executing and recording program documents to the General Manager or his designee; 5. Annual installment payments would be collected on the Contra Costa County Property Tax Roll. It is appropriate to set the date for a public hearing to consider adoption of the proposed ordinance. RECOMMENDED BOARD ACTION: Set September 2, 2010 as the date for a public hearing to consider adoption of an proposed ordinance to amend Chapter 6.12 of the District Code to provide an option for installment payment of Capacity and Pumped Zone Fees when a property owner connects an existing home to the District's public sewer system and concurrently abandons the septic tank system serving the property. N:\ENVRSEC\Position Papers\Miyamoto-Mills\2010\PP Set PH Date for Code Amend re Installment Payment of Capacity Fee - Septic Conv FINAL 08-05-2010 Rev 2 jm2.doc Page 2 of 2