TO: Members of the City Council
FROM: Mayor Angela Birney
DEPARTMENT DIRECTOR CONTACT(S):
Executive
Malisa Files
425-556-2166
DEPARTMENT STAFF:
Public Works
Jeff Thompson
Senior Engineer
Public Works
Steve Hitch
Engineering Supervisor
Public Works
Andy Rheaume
Interim Engineering Manager
TITLE:
title
Approval of the Wastewater Collection Facilities Interlocal Agreement Between the City of Bellevue and the City of Redmond
OVERVIEW STATEMENT:
recommendation
The City of Redmond and City of Bellevue have wastewater collection systems that are interconnected in various places due to geography and historical development patterns. The two cities have entered into various agreements over the years to coordinate operation and maintenance of these systems, rules for connecting customers to each other's systems, billing of customers, and shared costs where appropriate.
The two cities have been working for several years to bring all prior wastewater agreements into a single agreement that addresses the issues from prior agreements and to update how costs per customer are shared. The cities currently pay each other a flat fee of $0.12 per month per customer. This agreement increases that fee to $0.99 per month per customer, with future adjustments for inflation. Since Redmond provides services to approximately six times as many Bellevue customers as Bellevue does for Redmond the calculated annual payment will always result in a check being written to Redmond. With the CPI adjustment contemplated in this agreement Redmond will be receiving more money than we have in the past, not less. The amounts involved here do not materially affect the finances of Fund 401, our Water/Wastewater Utility. These are together a $72,000,000 annual business for Redmond with a fund balance of over $10M. This increase of $14,000+/year of revenue will not, on its own, affect any utility rate decisions.
A prior version of this agreement was approved by Redmond's Council on October 3, 2017,...
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