TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA
TITLE: Approve Template for a Connection Payment Agreement Relating to Utility Line Extension Charges, Ratify Connection Payment Agreements Entered with Customers Using the Prior Template Beginning on September 22, 2014, through June 12, 2023, and Authorize the City Manager or Designee to Sign Future Agreements Using the Approved Template.
Recommended Action
Approve the Template for a Connection Payment Agreement relating to utility line extension charges, ratify Connection Payment Agreements entered with customers using the prior Template beginning on September 22, 2014, through June 12, 2023, and authorize the City Manager or designee to sign future Agreements using the approved Template.
Background Information
City Code Sections 78-31(b)(3)e(iv) and 78-31(b)(3)g(v) allows a property owner to elect installment payments of the line extension charge and the capacity fee over a period not to exceed 30 years, when they connect to the City’s utility system. The City Code further authorizes the use of a written connection payment agreement to memorialize the terms under which the property owner will make their installment payments for the above charges. The City Manager or designee has authority to execute the written agreement on behalf of the City, however, the City Commission must approve the form and content of the agreement.
A template for the connection payment agreement was drafted as the mechanism for this election of installment payments back in 2014. Public Hearings 14-0642 and 14-0455 for approval of Ordinance No. 2014-27 were presented to Commission, which, in part, established the payment arrangement process. The agenda item included the template for the Connection Payment Agreement as an attachment, but the agenda item did not request formal approval by City Commission for the template. In addition to approving the template, since 2014, there have been over one hundred and thirty of these agreements entered into by the City, therefore ratification of these agreements is also being requested as they have already been executed and recorded in the Sarasota County Public Records.
The connection payment agreement presented today has been approved by Legal as to form and correctness.
Strategic Plan
Infrastructure
Good Governance
Financial Impact
N/A
Procurement
N/A
Attachments:
1. 2023 Connection Payment Agreement Template
2. 2014 Connection Payment Agreement Template
Prepared by: Michelle Tipp, Utilities Business Manager
Department Director: Nancy Gallinaro, Utilities Director