Title
Approving a credit agreement with MCT Property Investment LLC in the amount of $79,450.20 for the upsizing of a water line along Kelly Lane, west of Vilamoura Street, as part of the Blackhawk Commercial Lot 2 Subdivision, and authorizing the City Manager to execute the same.
Summary
The proposed credit agreement is for a property located at 2711 Kelly Lane. The property has approved public improvement plans and is currently under construction.
During the construction plan review, it was determined that an 8-inch water line was needed to adequately serve the development. The City requested the line be upsized to a 12-inch line to provide additional capacity for future growth and to provide resiliency to loop the City's water service area that serves the Hidden Lake service area as outlined in the City's approved Capital Improvement Plan with the Weiss/Kelly water line project.
Under Section 152, Subchapter A (152.22) of the City’s Code of Ordinances for Water and Wastewater Impact Fees, the City is authorized to enter into credit agreements for financing facility expansions by applying credits to the impact fees due at the time of building permitting.
The development’s total water impact fees are $79,450.20 with the approval of this credit agreement, the amount due will be reduced to $0.
The Weiss/Kelly Water line project (WA2103) is budgeted in the FY 2026 CIP with a total budget of $2.85 million for the full project.
This item is supported by the Economic and Business Development Pillar of the strategic plan by encouraging redevelopment and supporting new businesses. This is also supported by the Water Master Plan.
Prior City Council Action
There has been no prior City Council action regarding the proposed credit agreement.
Deadline for City Council Action
Staff is requesting approval of the credit agreement at the October 14, 2025 meeting.
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