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RESOLUTION AUTHORIZING PURCHASE OF ERUS FROM SOUTH ADAMS COUNTY WATER AND SANITATION DISTRICT
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Summary and Background Information:
Beginning July 1, 2016, SACWSD is accepting applications for the sale of Phase 4A ERUs. SACWSD is drilling new horizontal wells which will result in additional water supply and allow the District to sell ERUs known as Phase 4A ERUs. Staff is proposing to use water acquisition fee funds to purchase 265 ERUs for a total of $2.7 million. This will use approximately 85% of the current fund balance. The water acquisition fee is collected on the construction of new structures in the city at the time of building permit. The monies collected are used to acquire water rights for the purpose of watering city parks, recreational facilities, and other city owned facilities. This purchase of ERUs will fortify the City’s ERU portfolio, a large portion of which was depleted for the construction of the 2K projects.
Staff Responsible (Department Head): Chris Cramer, Community Development Director
Staff Member Presenting: Paul Zilis
Financial Impact: $2,716,250 from the City’s Water Acquisition Fee Fund.
Funding Source: Determined at the time of tap purchase.
Staff Recommendation: Approval
Suggested Motion: I move to approve Resolution 2016-75