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Home My WebLink AboutIR 7149 ^ INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7149 To the Mayor and Members of the City Council September 23, 1986 Subject: EXTENSION OF DEADLINE FOR WHOLESAII SEWR CONTRACT NEGOTIATIONS Background On June 10, 1986, the City Council unanimously approved M&C G-6698, the Proposed Ordinance for Water and Wastewater System Facility Access Fees. Passage of this ordinance (No. 9651) was the culmination of a year long process involving City staff, two consulting firms (M&C C-9123, July 9, 1985), and a citizens' advisory committee (I.R. No. 7048, August 27, 1985). A primary recommendation of the citizens' advisory committee was to implement facility access fees inside the City of Fort Worth only if the same fees are also implemented in the customer cities as well. On June 18, 1986, Mayor Bolen directed a letter to each of the wholesale sewer customers. This letter proposed: that each city which desires to remain a part of the Fort Worth regional wastewater treatment system adopt an ordinance compatible with (Fort Worth Ordinance No. 9651) for wastewater system facility access fees by October 1, 1986. A workshop for all customer cities to discuss these matters was held July 11, 1986. Meanwhile, a consulting firm hired by the Tarrant County Mayors' Council continued its cost-of-service study of the Fort Worth wholesale sewer system. The consultant has indicated to the Mayors' Council that the study will not be completed until December, 1986. Current Events The president of the Mayors' Council, James M. Herring of White Settlement, has requested that an extension of 120 days be given to the October 1, 1986, deadline in order for the Mayors' Council Subcommittee to have additional time to receive and review its consultant's report. This will move the deadline to February 1, 1987. In addition, the Mayor Pro Tem of North Richland Hills, C. Richard David, has requested the same extension. Mr. David also indicated that he would like the North Richland Hills City Council to be able to hear a presentation on the system access fee ordinance at the earliest possible time. Finally, since the adoption of the system access fee ordinance, developers, builders, and various businesses in the Fort Worth area have requested additional information regarding the implementation and administration of access fees in Fort Worth, and the status of such fees in the surrounding communities. Conclusion Should the City Council decide to grant the 120 day extension requested by the Mayors' Council and as recommended by City staff, an opportunity will be provided that will permit the Council, City staff, the customer cities, and area businesses to accomplish several tasks: LISSUED BY THE CITY MANAGER FORT WORTH, TEXAS ' INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7149 - p.2 September 23, 1986 too To the Mayor and Members of the City Council rl�� Subject: EX TEN SIOR OF DEADLINE FOR WHOLESALE SEWER CONTRACT NBCOTIATIONS 1. The customer cities will be given the chance to evaluate its consultants' findings. 2. Representative(a) of the City Council will have the opportunity to present information on the Fort Worth system access fee ordinance to interested customer city councils. 3. Since the existing system access fee schedule will be nearly a year old in February when the 120 day extension will expire, City staff will be given a chance to recalculate the current fees and re-evaluate the existing customer class arrangements. 4. Interested business representatives and City staff will be permitted to work jointly to solve any administrative concerns remaining in the system access fee implementation process. Copies of the letters from the customer city representatives are attached for your review. An m&c (G - 6815 ) has been placed on today's Council agenda, recommending a postponement of the effective date of the system access fee ordinance from October 1, 1986, to February 1, 1987. u�glasHarmi4ian City Managger Attachment L ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS City of J�6rfli Tichlan U& 11*111 '11160,Ak Star of die%etruplea September 10 , 1986 Honorable Bob Bolen Mayor of Fort Worth 1000 Throckmorton Fort Worth , Texas 76102 Dear Mayor Bolen : I have been authorized by the City Council of the City of North Richland Hills to formally request an extension to adopting an ordinance compatible to the City of Fort Worth Ordinance No . 9651 for wastewater system facility access fees. Your letter to Mayor Echols dated June 18 , 1966 requested this ordinance be passed by October 1 , 1986 . op" Our council would like to be able to hear a presentation on this ordinance at the earliest possible time . We intend to gather data and facts on this matter to insure that the citizens of North Richland Hills and Watauga have an adequate wastewater system for years to come . You can expect full cooperation from this council as we attempt to take care of these future needs . We request that February 1 , 1987 be the new scheduled date for passage of this new ordinance . We anxiously await the decision of you and your council . Sincerely , C. Richard Davis Mayor Pro-tem CRDJr/bam cc : Mayor and Council , North Richland Hills Mr . Rodger Line 0", 4817}28140041 /7301 N.E.LOOP 820/P.O.BOX ISM/NORTH RICHLAND HILLS,TEXAS 76118 White Settlement . dynamic city..._ ...on the crossroads of progress 1h4 MEADOW PARK DRIVE WHITE SETTLEMENT, TEXAS ?$106 PHONE 246-071 September 10, 1986 The Honorable Bob Bolen, Mayor City of Fort Worth 1000 Throckmorton Street Fort Worth, Texas 76102 Dear Mayor Bolen: The Mayors' Council Subcommittee on the Wholesale Wastewater Contract met on July 24, 1986 to discuss the proposed contract . Mr. Jack Stowe of Pannell, Kerr and Forster presented a status report of their study of the Black and Veatch report and City of Fort Worth records. This initial review indicated several major discrepancies in methodology which cast serious doubt on the validity of the Black and Veatch Study. As you recall, the Pannell, Kerr and Forster study had anticipated utilizing the Black and Veatch data in an attempt to minimize the time spent in collecting data for their study. It has become apparent that this will not be possible and that Pannell, Kerr and Forster will have to perform a wastewater rate study from scratch. In your letter of June 18, 1986, you indicated a desire to see each customer city adopt a wastewater ordinance compatible with the City of Fort Worth's Ordinance No. 9651 by October 1, 1986. In light of the recent findings by Pannell, Kerr and Forster it is anticipated that their recommendations will not be ready until December, 1986 or January, 1987. The Subcommittee does not feel that they will be prepared to make final recommendations on the proposed wastewater contract and system access fee until sufficient information has been received from Pannell, Kerr and Forster. I would like to assure you that the Mayors' Council is committed to the principle that all users of the Village Creek Treatment Facility should bear their fair share of the cost of service. Due to the findings of Pannell, Kerr and Forster on their review of the Black and Veatch report, it is apparent that more time will be needed before the Subcommittee will be prepared to forward recommendations on the proposed wastewater contract. On behalf of the Tarrant County Mayors' Council, I would like to request that an extension of 120 days be given to your October 1, 1986 deadline. This will give the Subcommittee time to receive and review the Pannell, Kerr and Forster study. Sincerely, 02i Ali oph, 1!1110 James M. Herring Mayor JMH:fc