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HomeMy WebLinkAboutCouncil Resolutions 1856Resolution No. ________; (Council Meeting 2/12/2026) RESOLUTION NO. 1856 A RESOLUTION ADOPTING UPDATED WATER CAPITAL IMPROVEMENT PLAN AND WATER SYSTEM DEVELOPMENT CHARGES RECITALS: WHEREAS, Oregon Revised Statutes Chapter 223 and Central Point Municipal Code Chapter 11.12 authorize the collection of system development charges for water supply, treatment, and distribution; and WHEREAS, the City’s existing Water System Development Charges were last updated in 2009 and no longer reflect current construction costs, growth projections, or adopted capital plans; and WHEREAS, the City Council has reviewed and considered an updated Water Capital Improvement Program identifying capacity-expanding projects required to serve future growth; and WHEREAS, the City Council has reviewed and considered an updated Water System Development Charge methodology, which is necessary to address the additional capital improvement projects as well as current construction costs and growth projections; and WHEREAS, existing water system debt exceeds unused system capacity, resulting in no recoverable reimbursement fee, and the proposed Water System Development Charge is therefore comprised solely of an improvement fee associated with future capacity- expanding capital projects; now, therefore, The City of Central Point resolves as follows: Section 1. IMPROVEMENT PLAN. The City Council hereby adopts, as its Water Capital Improvement Plan required by ORS 223.309 and Central Point Municipal Code Section 11.12.080, the Water Capital Improvement Program contained in Exhibit A, incorporated herein by reference. Said exhibit defines the cost of projected capital improvements needed to increase water system capacity and identifies the estimated cost, timing, and percentage of costs eligible to be funded with revenues from the Water System Development Charge improvement fee. The improvement plan adopted herein may be modified from time to time by resolution Docusign Envelope ID: 52186D64-9A5A-47D9-AF6D-176B46D74DEC 1856 Resolution No. ________; (Council Meeting 2/12/2026) of the Council, as provided in Central Point Municipal Code Section 11.12.080. Section 2. WATER SYSTEM DEVELOPMENT CHARGES. Effective April 13, 2026, the Water System Development Charges contained in Exhibit B, incorporated herein by reference, are hereby adopted and shall be required for new development and applicable system connections. Section 3. COLLECTION OF CHARGE. Effective April 13, 2026, the Water System Development Charges attached hereto at Exhibit B shall be payable to the City of Central Point as provided in Central Point Municipal Code Chapter 11.12. Passed by the Council and signed by me in authentication of its passage this ________ day of ________________, 2026. ___________________________________ Mayor Taneea W. Browning ATTEST ____________________________________ City Representative Docusign Envelope ID: 52186D64-9A5A-47D9-AF6D-176B46D74DEC February12th 1856 EXHIBIT A Water Capital Improvement Program City of Central Point, Oregon Planning Period: 2025-2040 #Project Name Year 2025 Cost SDC %SDC-Eligible 7.0% SDC Allocation 19.6% SDC Allocation 10.0% SDC Allocation 0.0% SDC Allocation TOTAL SDC-ELIGIBLE CIP $4,709,000 Project Allocation Methodology: 19.6% - Growth allocation based on population increase from 19,653 (2025) to 23,512 (2040). Applied to capacity-expanding infrastructure projects. 10.0% - Conservative allocation for fire flow improvements that primarily serve existing system but provide some redevelopment capacity. Docusign Envelope ID: 52186D64-9A5A-47D9-AF6D-176B46D74DEC 7.0% - Partial allocation for major projects being debt-funded. Recognizes growth benefit while avoiding double-charging ratepayers who are paying debt service. 0.0% - Projects fully funded through rates or debt with no growth allocation (maintenance, operations, studies). Note: All costs are inflated from original cost estimates to 2025 dollars using Engineering News Record Construction Cost Index. Docusign Envelope ID: 52186D64-9A5A-47D9-AF6D-176B46D74DEC EXHIBIT B Water System Development Charge Calculation City of Central Point, Oregon - 2026 SDC Component Cost Basis per ERU per EMU REIMBURSEMENT FEE Reimbursement Fee $0 $0 IMPROVEMENT FEE Improvement Fee $3,632 $2,920 TOTAL SYSTEM DEVELOPMENT CHARGE TOTAL BASE SDC $3,778 $3,037 SDC Schedule by Meter Size Meter Size EMU Factor SDC Fee Description $3,037 $5,072 $10,113 $16,187 Notes: 1. ERU (Equivalent Residential Unit) = 435 gallons per day average water use 2. EMU (Equivalent Meter Unit) = flow capacity of a 3/4" meter 3. Reimbursement Fee is $0 because outstanding water debt exceeds unused system capacity 4. Administrative cost recovery of 4.01% covers SDC program administration 5. Meter schedule fees calculated using EMU-based Total Base SDC ($3,037) multiplied by AWWA meter capacity ratios Docusign Envelope ID: 52186D64-9A5A-47D9-AF6D-176B46D74DEC