In order to responsibly develop and construct the "Vera at Watters" multi-family project, at the southwest area of McDermott Drive and Watters Road, an 18" sanitary sewer line must be relocated. This line was constructed in 1982, made of aged clay tile pipe, and is located too close to the proposed buildings for reasonable long-term maintenance.  As an incentive to construct a new 18" sanitary sewer line to replace the old one, the property owner has requested a credit toward the future wastewater, water, and/or irrigation impact fees when the property is developed. Staff recommends approving the impact fee credit as the new sanitary sewer line will be located further away from the new building and will constructed of materials of higher quality than the existing line that is over 30 years old. 

There are no budgetary impacts at this time. Wastewater, water, and/or irrigation impact fees (up to the cost of relocating the sewer line) will be waived when the property is developed.

Staff recommends that Council authorize the City Manager to execute a Facilities Relocation Agreement with DD Watters 6.06, LLC. 

I make a motion to authorize the City Manager to execute a Facilities Relocation Agreement with DD Watters 6.06, LLC.