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HomeMy WebLinkAboutMINUTES - 06091987 - 1.17 TO BOARD OF SUPERVISORS FROM: Phil Batchelor Contra County Administrator Costa DATE'. June 3, 1987 County SUBJECT: Legislation: Assembly Bill 1439 (O' Connell) SPECIFIC REQUEST(S) OR RECOMMENDATION(_S) & BACKGROUND AND JUSTIFICATION RECOMMENDATION: Adopt a position in support of AB 1439 by Assemblyman O' Connell which would place on the ballot in 1988 a bond issue in the amount of $200 million to finance a program of aid in the planning, design and construction of domestic water systems ( the California Safe Drinking Water Bond Law of 1988) . Also authorize staff to seek amendments to AB 1439, if necessary, in order to authorize the payment of costs for the formation of assessment districts and/or the payment of connection or facilities reserve fees. BACKGROUND: Safe drinking water bonds were authorized in 1976, 1984 and 1986 . AB 1439 would continue this program by authorizing additional bonds if approved by the voters in 1988. Contra Costa County has had several projects funded under the 1976 and 1984 bond authority and is currently applying for funds for several projects under the 1986 law. In particular, Contra Costa County is. applying for funds to connect some 400 homes in the area between Oakley and Brentwood to the existing water service. Unfortunately, the Department of Water Resources will not allow the connection charges to be included as a part of the cost of the project under the existing Safe Drinking Water Bond laws. The connection charges will run an average of $3000 per residence, an amount most of the residents cannot afford. In addition, the Department of Water Resources will not allow the administrative costs of establishing an assessment district, such as necessary legal fees, which is required to pay for the actual construction costs. Interestingly, the State would pay for the cost of constructing a whole new treatment plant for these 400 residents, an alternative which is much more expensive than connecting the homes to the existing service. If these costs cannot be included as allowable costs for the project, the entire project will have to be abandoned. CONTINUED ON ATTACHMENT; YES SIGNATURE' X RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE X APPROVE OTHER SIGNATURE(S): 6&ZW&A`1 ACTION OF BOARD ON J.bne 9, 1987 APPROVED AS RECOMMENDED OTHER _ VOTE OF SUPERVISORS 1 HEREBY CERTIFY THAT THIS IS A TRUE UNANIMOUS (ABSENT �— AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. County Administrator cc: Health Services Director ATTESTED JUN q 1987 Jim Blake, Env. Health, HSD PHIL BATCHELOR, CLERK OF THE BOARD OF Jackson/Barlsh & Associates SUPERVISORS AND COUNTY ADMINISTRATOR Assemblyman O'Connell M382/7-83 BY ,DEPUTY Page 2 It is unclear whether the restrictions on inclusion of the connection fee and the assessment district costs are purely an administrative interpretation, or whether the law restricts the inclusion of these costs. As a result, we are requesting authority from the Board to seek amendments to AB 1439 if that is the only way we can have these costs considered eligible under the Safe Drinking Water Bond Law. The Board should, however, support AB 1439 since the additional bonding authority is needed.