Title
Approving an Amended And Restated Agreement For The Transfer Of Water Certificate Of Convenience And Necessity Service Area (Property Within City Limits) with Manville Water Supply Corporation (WSC) and authorizing the City Manager to execute same.
Summary
The City Council approved an agreement (Original Agreement) with Manville WSC at the November 12, 2019 City Council meeting for the transfer of Certificate of Convenience and Necessity (CCN) areas within the City limits that are to be transferred from Manville to the City. The Original Agreement provided for terms that required the City to process the CCN transfer through the Public Utility Commission (PUC). The application for the transfer was submitted to the PUC in June 2020 and upon review, the PUC provided comments regarding the legacy customers that were defined in the agreement. The Original Agreement allowed Manville to retain its legacy customers until ownership of the property changes or the property is redeveloped. The PUC has expressed that the properties with legacy customers shall be dually certificated for both City and Manville CCN, which the Original Agreement did not contemplate. The proposed revised agreement for consideration in this item provides for revisions to the Original Agreement that address dual certification of the legacy customer areas and additional language that requires Manville to consent to the City decertifying, in its sole discretion, a legacy property to single certification upon any defined transfer event. The revised agreement was approved by the Manville Board of Directors on August 13, 2020.
The revised maps, through coordination with the PUC, have very slightly reduced the total acreage from the Original Agreement by 3.14 acres and total cost by $4,396.00. The proposed acquisition area as shown in the revised agreement, consisting of 2604.97 acres within the city limits at a rate of $1400/acre, results in a total consideration of $3,646,958.00. Upon execution...
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