HomeMy WebLinkAbout2019-475 Planning - Interlocal agreement for Historic Rogers Road Sewer Connection cost sharing 00 ,/&Vi- y ,,-
Attachment B, Page 1
NORTH CAROLINA
ORANGE COUNTY
INTERLOCAL AGREEMENT BETWEEN AND AMONG ORANGE COUNTY AND THE
TOWNS OF CARRBOR❑ AND CHAPEL HILL REGARDING THE REIMBURSEMENT
OF COSTS FOR INSTALLATION OF PRIVATE SEWER SERVICE LATERAL
CONNECTIONS FOR LOW-TO-MODERATE INCOME HOMEOWNERS OF
HERITAGE LOTS WITH EXISTING DWELLINGS IN THE ROGERS ROAD SEWER
PROJECT AREA
THIS AGREEMENT, made and entered into this ISfi day of , 2019 between
and among the Towns of Carrboro and Chapel Hill, both North Carol na municipal
corporations (hereinafter jointly referred to as the "Towns"), and Orange County, a
political subdivision of the State of North Carolina (hereinafter referred to as the
"County"), for reimbursement to the County by the Towns for the County's expenditures
for the installation of private sewer service lateral connections for low-to-moderate
income homeowners of Heritage Lots with existing dwellings in the Rogers Road Sewer
Project Area (hereinafter referred to as "LMI Heritage Lot Households"). County and
Towns may be referred to collectively as the "Parties".
WITNESSETH
WHEREAS, the County and Towns are public bodies, politic and/or corporate, under
the laws of the State of North Carolina and are vested with the power and authority by
Article 20 of North Carolina General Statute Chapter 160A to enter into this Interlocal
Agreement (hereinafter referred to as the "Agreement"); and
WHEREAS, the Historic Rogers Road Neighborhood Task Force Report (dated
September 13, 2013) identified 86 parcels in the Rogers Road Sewer Project Area as
Heritage Lots, as defined and shown in exhibits therein; and
WHEREAS, representatives of the County and Towns have previously agreed in
principle that the total number of Heritage Lots in the Rogers Road Sewer Project Area
has been reduced from 86 Heritage Lots to 81 Heritage Lots, due to lot configuration
corrections that were completed subsequent to the release of the Historic Rogers Road
Neighborhood Task Force Report; and
WHEREAS, representatives of the County and Towns have previously agreed in
principle that 62 of the 81 Heritage Lots in the Rogers Road Sewer Project Area had
existing dwellings located on the respective Heritage Lot parcels concurrent with the
release date of the Historic Rogers Road Neighborhood Task Force Report (based on
the evaluation of March 2013 aerial imagery), and have identified the 62 Heritage Lots
with existing dwellings; and
Page 1 of 9
Attachment B, Page 2
WHEREAS, the 62 Heritage Lots in the Rogers Road Sewer Project Area with existing
dwelling units may have household income levels at or below moderate incomes as
defined by US Housing and Urban Development (HUD); and
WHEREAS, representatives of the County and Towns have previously agreed in
principle to jointly fund the installation of private sewer service lateral connections for
the 62 Heritage Lots with existing dwellings and with household income levels at or
below moderate incomes (LMI Heritage Lot Households) to the public sewer system
under construction; and
WHEREAS, as defined in the following schedule, the timeline for joint funding coverage
will begin after the execution of this Agreement by all Parties and upon the County's
receipt of a valid dated application from the LMI Heritage Lot Household: Year 1 and
Year 2 (100% cost coverage); Year 3 (50% cost coverage); Year 4 and beyond (0%
cost coverage); and
WHEREAS, representatives of the County and Towns have previously agreed in
principle that the County will solicit pre-qualifications from a minimum of five (5) licensed
local plumbing contractors for the installation of private sewer service lateral
connections for LMI Heritage Lot Households; and
WHEREAS, the County has pre-allocated $243,000 for the installation of private sewer
service lateral connections for LMI Heritage Lot Households wishing to connect, to be
reimbursed by the Towns in accordance with this Agreement; and
WHEREAS, the County's expenditures for the installation of private sewer service
lateral connections for LMI Heritage Lot Households will include the cost of installation
by the pre-qualified plumber of the private sewer service lateral and associated
appurtenances (i.e. from the existing sewer service stub-out at the property line to the
household to be served), the cost of disconnecting and abandoning the existing septic
system per County standards, the Orange Water and Sewer Authority (QWASA) sewer
system development fee, and all other applicable fees; and
WHEREAS, the total number of LMI Heritage Lot Households wishing to connect within
the specified three-year period for joint funding (i.e. Year 1, Year 2, Year 3) and the
exact cost for each LMI Heritage Lot Household wishing to connect are unknown at this
time due to the variable sizes of the dwellings to be served, the variable distances
between the dwellings and the public sewer service stub-outs, and other specific
characteristics of each lot; and
WHEREAS, representatives of the County and Towns have previously agreed in
principle on an educated estimate of eleven (11) LMI Heritage Lot Households wishing
to connect within Town of Carrboro jurisdictional areas within the specified three-year
period for joint funding (i.e. Year 1, Year 2, Year 3) and on an educated estimate of
sixteen (16) LMI Heritage Lot Households wishing to connect within Town of Chapel Hill
Page 2 of 9
Attachment B, Page 3
jurisdictional areas within the specified three-year period far joint funding (i.e. Year 1,
Year 2, Year 3); and
WHEREAS, representatives of the County and Towns have previously agreed in
principle that each LMI Heritage Lot Household wishing to connect within Year 1 and
Year 2 following the execution of this Agreement will have an estimated 100% coverage
joint funding cost of approximately $9,000 per LMI Heritage Lot Household; and
WHEREAS, representatives of the County and Towns have previously agreed in
principle that each LMI Heritage Lot Household wishing to connect within Year 3
following the execution of this Agreement will have an estimated 50% coverage joint
funding cost of approximately $4,500 per LMI Heritage Lot Household; and
WHEREAS, the County and Towns desire to formally establish the terms of the Towns'
reimbursements to the County for the installation of private sewer service lateral
connections for LMI Heritage Lot Households connections.
NOW, THERFORE, in consideration of the foregoing and based on mutual promises
and obligations set forth herein, the receipt and sufficiency of which is hereby
acknowledged, the County and Towns agree as follows:
1. TERM AND TERMINATION
a. This Agreement shall commence upon execution by all Parties and shall
continue until all reimbursements are paid in full with such payment in full
occurring no later than June 30, 2023.
b. The Town of Carrboro shall provide payment to the County up to 14% of the
current total project estimate, or 3$ 4,020, whichever is less, plus any
financing costs (up to 3 percent annually) incurred by the County for the
installation of LMI Heritage Lot Household sewer connections within the
Town of Carrboro's jurisdiction unless mutually agreed by both the Town of
Carrboro and the County. These payments are for the installation of up to 11
LMI Heritage Lot Household sewer connections within the Town of Carrboro's
jurisdiction. The Town of Carrboro shall, within thirty (30) days of receipt of a
County generated invoice, reimburse the County for the Town of Carrboro's
respective share of the total principal and interest associated with the
installation of LMI Heritage Lot Household sewer connections within the
Town of Carrboro's jurisdiction.
c. The Town of Chapel Hill shall provide payment to the County of up to 43% of
the current total project estimate, or $104,490, whichever is less, plus any
financing costs (up to 3 percent annually) incurred by the County for the
installation of LMI Heritage Lot Household sewer connections within the
Town of Chapel Hill's jurisdiction unless mutually agreed by both the Town of
Chapel Hill and the County. These payments are for the installation of up to
Page 3 of 9
Attachment B, Page 4
16 LMI Heritage Lot Household sewer connections within the Town of Chapel
Hill's jurisdiction. The Town of Chapel Hill shall, within thirty (30) days of
receipt of a County generated invoice, reimburse the County for the Town of
Chapel Hill's respective share of the total principal and interest associated
with the installation of LMI Heritage Lot Household sewer connections within
the Town of Chapel Hill's jurisdiction.
d. If overall participation by LMI Heritage Lot Households exceeds the $243,000
pre-allocated by the County, the County will request additional funds and this
Agreement will be amended so as to adjust Sections 1-4 accordingly, subject
to funding availability and approval by governing boards of the Parties.
e. This Agreement may be renewed or amended upon written agreement of the
Parties.
2. TOTAL COSTS
Carrboro Chapel Hill
Item Cost Cast County Cost Total Cast
Carrboro Lots
(11 LMI Heritage
Lot Household $34,020 $0 $64,980 $99,000
connections within
Carrboro
jurisdiction)
Chapel Hill Lots
(16 LMI Heritage
Lot Household $0 $104,490 $39,510 $144,000
connections within
Chapel Hill
jurisdiction
$34,020 $104,490 $104,490 $243,000
TOTALS 14% 43°Io 43% 100%
3. RESPONSIBILITIES OF TOWNS
a. As provided in Section 1 b above, the Town of Carrboro is responsible for up
to 14% of the current total project estimate, or $34,020, whichever is less.
The Town of Carrboro shall, within thirty (30) days of receipt of a County
generated invoice, reimburse the County for the Town of Carrboro's
respective share of the total principal and interest associated with the
installation of LMI Heritage Lot Household sewer connections within the
Town of Carrboro's jurisdiction.
Page 4 of 9
Attachment B, Page 5
b. As provided in Section 1 c above, the Town of Chapel Hill is responsible far
up to 43% of the current total project estimate, or $104,490, whichever is
less. The Town of Chapel Hill shall, within thirty (30) days of receipt of a
County generated invoice, reimburse the County for the Town of Chapel Hill's
respective share of the total principal and interest associated with the
installation of LMI Heritage Lot Household sewer connections within the
Town of Chapel Hill's jurisdiction.
c. The Town of Chapel Hill's funding contribution shall be used for the benefit of
low and moderate income residents, as defined by HUD, residing within the
Town of Chapel Hill's Extraterritorial Jurisdiction (ETJ).
d. The Towns shall pay their full agreed upon obligation as set out in this
Section 3 within thirty (30) days of receipt of the County's invoice.
e. The Towns shall have no further obligation for the cost of maintenance or
repair of the private sewer laterals installed with the assistance of their
funding, it being agreed by the Parties that the private sewer laterals and all
associated work pursuant to this agreement shall upon completion belong to
and be the responsibility of the private resident/homeowners.
4. RESPONSIBILITIES OF COUNTY
a. The County shall issue an informal request for qualifications (R1=Q) so as to
pre-qualify a minimum of five (5) licensed plumbers for the installation of
private sewer service lateral connections for LMI Heritage Lot Households.
The County shall work directly with the pre-qualified plumbers to gather a
minimum of three (3) site-specific estimates for each LMI Heritage Lot
Household and will formally award the private sewer service lateral
connection installation work to the lowest responsible bidder.
b. Contracts for the installation of the private sewer lateral connections and
associated worst shall clearly state that neither the County nor the Towns
shall have any financial responsibility or liability beyond providing the
financial assistance and arranging for payment to the contracted plumbers
(other than any permitting or inspections responsibilities they may have in
their governmental capacities). Said contracts shall provide that the
contracting plumbers shall indemnify and hold harmless the Parties for any
and all claims arising out of the contracting plumbers' work for the LMI
Heritage Lot Households.
c. The County is responsible for up to 43% of the current total project estimate
as shown in Section 2 above, or $104,490, whichever is less.
d. The County shall invoice the Towns for the specified reimbursement amounts
and/or percentages as shown in Section 3. This invoice will be in the form of
Page 5 of 9
Attachment B, Page 6
a single invoice upon the conclusion of the services contemplated in Section
1 and Section 2 within the respective jurisdiction of each Town and said
invoice shall be accompanied by a written statement indicating those services
have concluded.
5. THIRD PARTY RIGHTS
Nothinq in this Agreement is intended to create rant or convey rights in or to an
third party. Nothing herein is enforceable by any third party and the rights of the
parties hereto to terminate or amend this Agreement are not subject to the consent
of any third party.
6. ENTIRE AGREEMENT
This Agreement constitutes the entire Agreement of the Parties hereto and is
effective the date first above recorded.
[Signature Page to Follow]
Including pre-audit certificates for all Parties.
Page 6 of 9
Attachment B, Page 7
In witness whereof, the Parties, by and through their authorized agents, have hereunder
set their hands and seals as of the day and year first above written.
This instrument has been pre-audited in the
manner required by the Local Government
Budget and Fiscal Control Act.
Manager, Orange Coun Finance Director, Orange County
ATTEST [SE
pCwllf{4 f
By:
Clerk 1
a
rf¢ GroikO
Page 7 of 9
Attachment B, Page S
In witness whereof, the Parties, by and through their authorized agents, have hereunder
set their hands and seals as of the day and year first above written.
This instrument has been pre-audited in the
manner required by the Local Government
Budget and Fiscal Control Act.
Manager, Town of Carrboro rinince Director, Town of Carrboro
ATTEST [SEAL]
�• i
By:
Clerk f\�CIDP�RQ
1911 -
Page 8 of 9
In witness whereof, the Parties, by and through their authorized agents, have hereunder
set their hands and seals as of the day and year first above written.
This instrument has been pre-audited in the
manner required by the Local Government
Budget and Fiscal Control Act.
F ICJ - Y1-0J1I
Manager, T wn of Chapel Hill Finance O icer, Town of Chapel Hill
ATTEST [SEAL]
By:
Yoby�
Clerk 0
APPROVED AS TO FORM AND
AUTHORIZATION .
By: 44�t�r•�ri .t
Town Attorney, CAale 1 rlc [l
Page 9 of 9