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HomeMy WebLinkAbout~Master - Agreement for continued water service to certain parcels adjacent to ISU Research Park RESOLUTION NO. 15-078 RESOLUTION APPROVING WATER SERVICE AGREEMENT FOR TWO RESIDENTIAL PROPERTIES ANNEXED WITH ISU RESEARCH PARK FOR THE CITY OF AMES,IOWA WHEREAS, on June 24, 2014, the City Council annexed 204 acres of land to facilitate development of Phase III of the Iowa State University (ISURP), and the annexation was final on September 23, 2014, when the State of Iowa recorded the annexation documents; and, WHEREAS, although they were not parties to the annexation petition, five private homesteads were also included in that annexation, because state law prohibits the creation of unincorporated"islands"within cities; and, WHEREAS, two of these recently annexed residential properties currently receive water service from Xenia Rural Water District, and they are the Riley property at 2959 South Riverside Drive, and the May property at 2978 South Riverside Drive; and, WHEREAS, these two properties lie in an area on the southern edge of the City where the City and Xenia have not yet agreed on the boundary line between our two water territories; and, WHEREAS, it is clear that Xenia received City permission to serve the Riley homestead in 2002, however, there is no record of the City giving permission to serve the May property; and, WHEREAS, even though the City had only given Xenia permission to serve territory in the southern half of Phase III, the urgency of developing Phase III led the Research Park to agree to a territory buy-out agreement with Xenia for all of its property, as well as for the Riley and May properties; and, WHEREAS, as was the case a year ago in the development of north Ames,the responsible "developer" (ISURP) has thus paid for the buy-out of related water service territory; and, WHEREAS, in addition to its agreement with ISURP,Xenia also needs an agreement with the City of Ames to confirm transfer of the Riley and May territory to the City.Under Chapter 357A of the Code of Iowa, a rural water district has an obligation to continue serving customers until another water provider agrees to take them as customers and the customers agree to the new provider assuming service; and, WHEREAS, City staff has negotiated an agreement that provides that the customers will continue with Xenia until such time as the City can provide service to them, and at that time, the customers may choose to switch to the City as their provider; and WHEREAS,in designing Phase III of the Research Park,the ISURP engineer anticipated that the pavement of South Riverside Drive and the installation of City utilities will require removal of Xenia's existing, small water line serving these two properties; and, WHEREAS, when that construction occurs, the Rileys and Mays could choose to connect to City water; and, WHEREAS,should they desire to continue as Xenia customers,however,ISURP and Xenia would be contractually obligated to replace the Xenia service lines serving their homesteads. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the agreement with Xenia Rural Water District transferring the specified water service territory to the City is hereby approved. ADOPTED THIS 10`''day of February, 2015. /" J • 614-4. Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Orazem Seconded by: Nelson Voting aye: Betcher, Corrieri, Gartin, Goodman,Nelson, Orazem Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 10t'day of February, 2015.