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HomeMy WebLinkAbout11/20/2019 5F AGENDA BILL CITY OF BREMERTON 5F CITY COUNCIL SUBJECT: Study Session Date: November 13, 2019 Interlocal Agreement with the City of Port COUNCIL MEETING Date: November 20, 2019 Orchard for the Purchase and Sale of Assets Department: PW&U - Engineering in the 580 Zone Presenter: Ned Lever Phone: (360) 473-2398 SUMMARY: The City of Bremerton currently shares the use of an existing transmission main and an existing 450,000 gallon steel potable water storage reservoir with the City of Port Orchard. The reservoir and a portion of the transmission main are both owned by the City of Port Orchard. In order to completely separate the two water systems the City of Bremerton must either construct a parallel reservoir and transmission main or purchase the existing facilities. Port Orchard has proposed the surplus of the reservoir, transmission main, 4.63 acre property, and some distribution piping to the City of Bremerton in return for an equivalent value of water delivered to Port Orchard. The value of the improvements has been determined to be $804,000. This value is approximately equal to the delivery of 176 million gallons of water over a period of 5 years. The peak instantaneous flow rate commitment has been identified as 750 gpm. ATTACHMENTS: 1) Council Summary; and 2) Interlocal Agreement for Purchase and Sale of Assets in the 580 Zone FISCAL IMPACTS (Include Budgeted Amount): The fiscal impact is defined as the $804,000 value of future water sales to the City of Port Orchard. There is no current monetary fiscal impact. STUDY SESSION AGENDA: 0 Limited Presentation ❑ Full Presentation STUDY SESSION ACTION: 0 Consent Agenda ❑ General Business ❑ Public Hearing RECOMMENDED MOTION: Move to approve the Interlocal Agreement with the City of Port Orchard for the Purchase and Sale of Assets in the 580 Zone; and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: 10 Approve ❑ Deny ❑ Table [' Continue ❑ No Action Form Updated 01/02/2018