AGENDA #8

 

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:       Expanding Availability of Sewer Reserve Funds

 

DATE:             September 23, 2002

 

 

The attached resolution would re-designate the balance of funds currently reserved in the Capital Reserve Fund for sewer assistance in the Morgan Creek neighborhood to allow use of these funds for such neighborhoods as may apply for assistance.

 

BACKGROUND

 

On September 9, 2002, a Council member requested that the Council consider re-designating sewer assistance funds currently reserved for the Morgan Creek neighborhood to allow use of said funds for other potential projects (please see Attachment 1).   The Council referred this petition to the Manager for preparation of this report, and requested that Morgan Creek neighborhood representatives be notified.

 

On April 24, 2002, the Town Council received a Budget Working Paper on the status of the sewer assistance reserve (please see Attachment 1 to September 9 memorandum).  The memorandum noted that the balance of funds currently reserved is $192,000.

 

DISCUSSION

 

In July 1996 the Town Council adopted a resolution expressing its intent to contribute to the costs of constructing sewer in the Morgan Creek area (please see Attachment 2 to September 9 memorandum).

 

In a letter of February 27, 2002, the Orange Water and Sewer Authority stated that there is currently no active petition from the Morgan Creek neighborhood for the provision of public sewer (please see Attachment 3 to September 9 memorandum).  We have confirmed with staff of the Orange Water and Sewer Authority that there is no active petition (please see Attachment 2).

 

Per the Council’s request, we are notifying owners of property in the Morgan Creek area which currently do not have public sewer of Council’s consideration of this action tonight.  Attached is a copy of the notice mailed Wednesday, September 18, 2002 to 72 owners, and a map of the affected area (please see Attachments 3 and 4).  We also emailed the President of the Homeowners Association.

 

We believe the Town Council could choose to re-designate the balance of the sewer assistance funds reserved for this neighborhood if it wishes to do so.  The balance of funds reserved for this purpose is $192,000.  This action would have the effect of making the funds available for projects in such neighborhoods as may apply for assistance.

 

RECOMMENDATION

 

We recommend that the Council adopt the attached resolution to re-designate the balance of sewer funds reserved in the Capital Reserve Fund, and to express an intent to make these funds available in for such neighborhoods as may apply for assistance.

 

 

ATTACHMENTS

 

1. September 9 Request from Council Member Flicka Bateman, with attachments (p. 4):
• Budget Working Paper, April 24, 2002
• July 1, 1996 Council Resolution re: Morgan Creek/Mason Farm Neighborhood
• February 27, 2002 Letter from Orange Water and Sewer Authority
2. E-mail from Greg Feller, Orange Water and Sewer Authority, dated September 18, 2002 (p. 14).
3. Notice to Property Owners, Morgan Creek Area (p. 15).
4. Map of Morgan Creek Area without Public Sewer (p. 16).

 

 

A RESOLUTION RE-DESIGNATING WATER AND SEWER ASSISTANCE FUNDS FOR THE MORGAN CREEK/MASON FARM NEIGHBORHOOD (2002-09-23/R-7)

 

WHEREAS, the Council on July 1, 1996, adopted a resolution expressing an intent to contribute $192,000 to construction costs of the Morgan Creek/Mason Farm sewer project; and

 

WHEREAS, the Orange Water and Sewer Authority currently has no active petition from the Morgan Creek neighborhood for provision of public sewer;

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby re-designates the $192,000 reserved for this purpose, and expresses its intent to make these funds available to such neighborhoods as may apply for water/sewer purposes.

 

This the 23^rd day of September, 2002.