1d. Approve Joint Powers Agreement with the City of Shorewood for Watermain Interconnect PW-418
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone 952.2271100
Fax 952.227 1110
Building Inspections
Phone 952.2271180
Fax 952.2271190
Engineering
Phone 952.2271160
Fax 952,227 1170
Finance
Phone 952,2271140
Fax: 952.2271110
Park & Recreation
Phone 952,2271120
Fax 952.2271110
Recreation Center
2310 Coulter Boulevard
Phone 952,227 1400
Fax 952.2271404
Planning &
Natural Resources
Phone 952.2271130
Fax 952.2271110
Public Works
1591 Park Road
Phone 952,2271300
Fax 952.2271310
Senior Center
Phone 952.2271125
Fax 952,227 1110
Web Site
www.ci.chanhassen.mn.us
icL
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MEMORANDUM
TO:
Todd Gerhardt, City Manager
~O.
Paul Oehme, P.E., Dir. of PublIc W orks/ City Engmeer '\....
'I
August 18,2006 o~
Approve Joint Powers Agreement with the City of Shorewood for Watermam
Interconnect PW - 418
FROM.
DATE:
SUBJ:
REQUESTED ACTION
Approve Joint Powers Agreement with the City of Shorewood for Watermain Interconnect.
BACKGROUND
The City of Shore wood is requestmg the City of Chanhassen service 35 existing properties in
the Apple Road neighborhood with Chanhassen water. The Apple Road neighborhood is Just
north of Y osermte Road. The CIty of Shorewood well that currently serVIces this
neighborhood IS beginning to fail and the City of Shorewood does not want to make
Improvements to the welL
The City of Shore wood paid for water distribution modelmg and analysIs to see if this area
could be serviced by Chanhassen water. The analysis did not find any significant impacts to
our system or any system capacity problems. The analysis also looked at looping the
watermam through this area or servicing this area by one watermain. The looping option was
found not to be feasible because of topographic constraints, and lack of necessary utility
easements. Water quality and reliability of the system is the only draw back with the one
watermain service option. The analysis also showed that a pressure reducing station would be
required to bring the water pressures down to plumbing code requirements.
Since water service was found to be feasible, staff has negotiated a connection fee for these
connections. The proposed amount for the connection is $230,000, which is 1.6 times the
current connection fee. Shorewood will pay 100% of all the improvements. The City of
Shorewood will pay for and install a meter to determine the amount of water the Shorewood
resident's use. Chanhassen personal will radio read this meter like all other meters in the City
and send the City of Shorewood a bill each quarter. The City of Shorewood will then directly
bill the Shorewood residents.
The City has entered into these types of agreements in the past. Chanhassen currently
services some City of Victoria residents but bills the residents directly. The Settlers West
Development in the southeast area of the City is serviced by City of Eden Prame water. The
City of Eden PraIrie bills the Settlers West Development residents directly. Both of these
areas were with new developments not existing units. In order for staff to bill Shorewood
residents directly new meters would need to be installed at each property From a staff s
perspective, it would be easier to bill the City of Shorewood one bill and not deal with
potential delinquent payments from residents outside Chanhassen and Carver County.
Attachments
The City of Chanhassen · A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautitul parks, A great place to live, work, and play
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JOINT POWER AGREEMENT
BETWEEN
THE CITY OF CHANHASSEN
AND
THE CITY OF SHOREWOOD
THIS AGREEMENT is entered into between the CITY OF CHANHASSEN, a
Minnesota municipal corporation ("Chanhassen") and the CITY OF SHOREWOOD, a
Minnesota municipal corporation ("Shorewood"), hereinafter collectively referred to as
the "Cities."
RECITALS
A. Shorewood has a failing well that serves 35 single family residential
dwellings in Shorewood.
B. The most economical means of providing water service to the 35 homes in
Shorewood is for Shorewood to abandon the well serving the homes and for Chanhassen
to provide water service to the homes.
C. Minn. Stat. S 471.59 authorizes two or more governmental units to enter
into agreements to jointly or cooperatively exercise any power common to the contracting
parties or any similar power.
NOW, THEREFORE, the Cities agree as follows:
1. PURPOSE. This Agreement shall establish the responsibilities of the
Cities for the construction, maintenance, ownership, and operation of a water
improvement project to serve property in Shorewood.
2. IMPROVEMENT AND PROJECT COSTS. Shorewood shall prepare
plans and specifications for a water improvement project to connect the subject property
to the Chanhassen municipal water system. Shorewood include in the plans a single
meter to measure the water provided to the subject properties. Chanhassen will review
and approve the plans prior to solicitation of bids. Shorewood shall solicit bids or quotes
to contract the project and award a construction contract. City of Shorewood shall
abandon the existing well.
4. OWNERSHIP AND MAINTENANCE. Upon completion of the
improvement project each party shall own and maintain the portion of the project located
within its corporate boundary.
EXHIBIT A
122242vOl
RNK: 12/06/2005
1
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5. CONNECTION CHARGES. Shorewood shall pay a fee of $230,000 for
connecting to the Chanhassen municipal water system. Payment shall be
made in full on or before September 30,2006.
6. WATER USAGE. Chanhassen shall bill Shorewood for the water used
by the subjected properties. Usage of water in Shorewood shall be subject to the same
usage rules imposed upon Chanhassen residents including sprinkling regulations. Billing
shall be on a monthly or quarterly basis in accordance with Chanhassen policies. The
water usage rate charged Shorewood will be the same rate charged Chanhassen residents.
Upon receipt of a bill, Shorewood shall remit payment to Chanhassen within thirty (30)
days.
Dated:
,20_
CITY OF CHANHASSEN
BY:
Thomas A. Furlong, Mayor
AND
Todd Gerhardt, City Manager
Dated:~, 20..fi.-.
OOD
BY:
Its Mayor
AND
122242vOl
RNK: 12/06/2005
2
CITY OF SHOREWOOD
RESOLUTION NO. 06-059
A RESOLUTION AUTHORIZING THE MAYOR
AND CITY ADMINISTRATOR TO ENTER INTO A COOPERATIVE
AGREEMENT WITH THE CITY OF CHANHASSEN FOR
MUNICP AL WATER SERVICES
WHEREAS, the Woodhaven Well, located at 6140 Apple Road, has reached it's
service life; and
WHEREAS, The most economical means of providing water service to the 35 homes
within the Woodhaven Well service district is for Shorewood to abandon the Woodhaven Well
and for Chanhassen to provide water service to this district.
WHEREAS, Minnesota State Statute S 471.59 authorizes two or more governmental
units to enter into agreements to jointly or cooperatively exercise any power common to the
contracting parties or any similar power.
WHEREAS, a Cooperative Agreement has been prepared between the City of
Shorewood and the City of Chanhassen for the City of Chanhassen to provide municipal water
service to the City of Shorewood for a specified service area,
WHEREAS, City Council has reviewed said Cooperative Agreement and found it to
be in order.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of
Shorewood, Minnesota:
1. That the Mayor and City Administrator, on behalf of the City of Shorewood, are
hereby authorized to enter into the Cooperative ("Joint Powers") Agreement,
attached hereto as Exhibit A, with the City of Chanhassen, for providing
municipal water services.
ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this
14th day of August, 2006.
t1!12
ATTEST:
Woody Love, Mayor
Dated: August 15,2006
CERTIFICATION
STATE OF MINNESOTA )
COUNTY OF HENNEPIN )
)ss
I, Jean Panchyshyn, duly appointed Deputy Clerk of the City of Shorewood, Hennepin County,
Minnesota, do hereby certify that the foregoing official Resolution No. 06-059 is a true and
correct copy adopted by the Council of the City of Shorewood and is so recorded in the minutes
of a meeting held on the 14th day of August, 2006.
~jJ~
Je Panchyshyn
Deputy Clerk