Title
Resolution to Approve an Agreement with Avalon Housing Inc. for Reimbursement of Services Related to the 1146 S. Maple Road Sanitary Sewer Extension (Estimated $115,000.00)
Memorandum
This resolution authorizes an agreement to reimburse Avalon Housing for services related to the extension of a public sanitary sewer main through their Hickory Way affordable housing project to serve the adjacent property at 1146 S. Maple Rd.
Constructing this extension while Avalon constructs the sewer for Hickory Way is the most cost-effective way to extend sewer to 1146 S. Maple Rd., which currently has a failed septic system and is uninhabitable. Avalon Housing has requested approval of this agreement on September 16 in order to stay on their construction schedule for the Hickory Way project.
On June 17 and September 3, 2019, City Council approved #R-19-299 and R-19-388 respectively authorizing the execution of the Right of First Refusal to purchase 1146 South Maple Road and a revised purchase agreement. The property is adjacent to the Hickory Way affordable housing project being constructed by Avalon Housing. Avalon has indicated their desire to acquire the 1146 S. Maple property from the City in the future for the development of affordable housing. Currently, the property is located in Scio Township; however, it is planned to be annexed to the City.
Because Avalon's contractor will already be in the field constructing sanitary sewer, this project will result in a savings as opposed to constructing from scratch or extending a different sanitary sewer from farther away. Also, Avalon will provide an easement through their property for the sewer upon acceptance by the City. Staff therefore recommends approval.
Budget/Fiscal Impact: Based on the project's initial estimates, the incremental costs of the sanitary sewer main extension to serve 1146 S. Maple Rd. are approximately $115,000.00 for construction plus $17,500.00 for City testing and engineering and inspection...
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