Item B-MWMC Proposed SDC - Laserfiche WebLink

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Oregon communities for comparable development types. A comparison of Eugene's SDC rates to those of other Oregon communities, completed in November, 2002, is available on the web at www. ci.eugene.or.us/PW/SDC/whatsnew. The survey indicates that the proposed combined wastewater SDC rate for residential development would be among the lowest in the state for comparable communities. Other Background Information The City of Eugene entered into an intergovernmental agreement (IGA) with the City of Springfield and Lane County in 1978 which established the Metropolitan Wastewater Management Commission. The commission subsequently adopted the MWMC wastewater SDC methodology and rates. In the IGA, the cities of Eugene and Springfield agreed to charge SDCs uniformly throughout the regional wastewater service area. By agreement, City of Springfield staff provide administrative, financial and rate setting support to the MWMC. Attachment C includes two resolutions of the MWMC recommending adoption of the proposed SDC methodology and SDC rates. In order for these adjustments to be effective within the cities of Eugene and Springfield, both cities must incorporate the modifications into locally adopted SDC methodologies and rates. A comprehensive review of the regional wastewater methodology and rates was completed in part in response to concerns expressed by the Home Builders Association of Lane County (HBA) and its legal representative. As reflected in the MWMC Resolution and Settlement Agreement included as Attachment D, the HBA agreed to withdraw and withhold legal action to allow the regional wastewater SDC methodology review process to attempt to address issues and concerns. Despite this comprehensive review effort, involving diverse representation on the MWMC SDC Citizen Advisory Committee (CAC) from interested groups across the regional wastewater service area, including the HBA, the HBA and others have expressed additional concerns with the SDC methodology and its relationship to the proposed MWMC Facility Plan. Responses to various questions and concerns related to the MWMC Facility Plan and SDC are included as attachments to the AIS for the MWMC Facilities Plan and 20-Year Project List work session immediately preceding this agenda item. A list ofMWMC SDC CAC members is included as Attachment E to this Agenda Item Summary. If the council chooses not to adopt the proposed revisions to the regional wastewater SDC rates, the MWMC intergovernmental agreement specifies that the City request in writing that the commission reconsider the proposed revisions. The commission would then put action for reconsideration on its agenda within 45 days of receipt of request. If the council objects to the commission's action after reconsideration, it may refer the issue to the Metropolitan Policy Committee (MPC) for mediation. The MPC would then provide an advisory and non-binding written recommendation for resolution of the matter within 45 days of referral. The MWMC's ultimate action shall only take effect after the governing bodies are in agreement. Timing Staff provided notification of intent to modify the SDC methodology by resolution on March 15, 2004, and made proposed changes available for public review on April 15, 2004, to enable sufficient time to conduct a public hearing as early as June 14, 2004, with action to adopt tentatively scheduled for June 28, 2004. Any revisions to the proposed regional wastewater SDC rates or the methodology will require review by the MWMC and may require re-notification of interested persons, extending the period of public review by a minimum of 60 days from the time of notice. If the council proceeds with the scheduled public hearing and adopts the resolution as proposed, the modified SDC rates will be effective as early as July 1, 2004. Should the council decline to adopt the proposed revisions to the proposed regional L:\CMO\2004 Council Agendas\M040519\S040519B.wpd