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HomeMy WebLinkAbout20013049 / WELD COUNTY TM-AREA SANITATION DISTRICT PHONE: 303-833-2977 FAX: 303-833-0660 k �p %-ett 401 Locust Street - , e: 16 P. O. Box 213 Sik / Frederick, Colorado 80530 �'= email: wctasd@4dvision.net October 19, 2001 Weld County Commissioners ATTN: Mr. M.I. Giles, Chairman and Board of County Commissioners of the County of Weld 915 10th Street Greeley, CO 80631 RE: SouthWest Weld Drainage Authority Intergovernmental Agreement Gentlemen: After careful deliberation the Board of Directors of the Weld County Tri-Area Sanitation District ("Tri-Area") unanimously decided that Tri-Area should not execute the current version of the IGA that would create the SouthWest Weld Drainage Authority ("Authority"). The Board's action does not stem from any lessening of its support for the Authority. Rather, the Board is deeply concerned that certain fundamental issues relating to the financing and operation of the Authority should be worked out before the Authority is organized and not subsequent thereto. Please understand that Tri-Area and other potential members of the Authority currently provide drainage service. Unless adequately addressed in the IGA, the formation of an overlapping Authority creates the potential for the following with respect to all members that currently provide drainage service: I. fragmentation of drainage responsibilities and confusion among residents who may be subject to regulatory control by more than one entity; 2. duplication to some extent of management, administrative and maintenance personnel; 3. disproportionately high operation and maintenance expense due to the fact that the member and the Authority may each impose separate drainage fees. Ce+h ,+ ate- ��c� ��/ to .. .2y_ a0ai 2001-3049 To address these impacts that the Authority may have upon those members who currently provide drainage service, Tri-Area believes it desirable that the IGA address the following issues: I. I ocalization of Capital Costs. Recovery of capital costs for drainage improvements that benefit a specific drainage basin or basins should be confined to the benefited area. This concept was supported verbally by the proponents of the Authority but it has not been incorporated into the IGA. Capital costs should be defined to include all drainage studies and related soft costs such as engineering, legal and design fees. 2. Cooperation and Mutual Assistance. To evidence the spirit of cooperation in which the Authority is being organized, there should be a provision in the IGA stating that the Authority will work cooperatively with each of the contracting members and that the organization and operation of the Authority is not intended to, nor will it adversely affect any member's ability to provide drainage services or to impose rates, fees, tolls or charges or to collect other revenue for drainage services or improvements. 3. Capital Protect Review. As further evidence of the cooperative nature of the undertaking, there should be a provision in the IGA that states that no capital improvement will be constructed within the territory of any contracting member without the contracting member's prior approval. With such a provision each member can be assured that its citizens will not be subjected to capital recovery fees that the member's governing body did not first approve. 4. Authority Membership Because of the impact the Authority may have on residents and property lying within its territorial boundaries, Tri-Area reiterates and supports the concept advanced by a member of the Division of Local Government that only an elected official from each contracting member should be allowed to serve on the Authority's governing body. S. Member Withdrawal A member should be allowed to withdraw from the Authority and to limit its citizen's responsibility for capital costs incurred by the Authority from and after the date of the member's withdrawal. Consideration should also be given to realigning the Authority's boundary upon the withdrawal of a member to exclude that member's territory, even though that territory will remain obligated to pay its proportionate share of any outstanding debt that was incurred prior to the date of withdrawal. A withdrawing member s ongoing maintenance obligations, if any, should also be addressed by the IGA. 6. Operation and Maintenance Costs. Because of the potential for double assessment of drainage fees, it would be desirable if the IGA affirmatively stated that in the calculation of any drainage fee designed to recover operation and maintenance costs, credit is given to those contracting members who already provide such service so as to mitigate against the potential that any resident or property will be double-charged for drainage services. • The foregoing is intended to be constructive only and Tri-Area reaffirms its support for the Authority. It is our sincere belief that further discussion and evaluation of the issues set forth above will ony enhance the usefulness of the Authority and will reduce the potential for subsequent disagreement and discord that would be counterproductive and detrimental to all of us who are sincerely interested in addressing the Area's drainage needs. Respectfully, ..� Anthony Weld Cou ty Tri-Area Sanitation District President Hello