HomeMy WebLinkAboutAgenda - 01-21-20 8-k - Revised Interlocal Agreement with Towns Related to the Historic Rogers Road Area Private Sewer Service Lateral Connection Installations for Qualified LMI Homeowners – Cost Share 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: January 21, 2020
Action Agenda
Item No. 8-k
SUBJECT: Revised Interlocal Agreement with Towns of Chapel Hill and Carrboro Related
to the Historic Rogers Road Area Private Sewer Service Lateral Connection
Installations for Qualified Low-to-Moderate-Income (LMI) Homeowners — Cost
Share
DEPARTMENT: Planning & Inspections
ATTACHMENTS: INFORMATION CONTACTS:
1. Executed Interlocal Agreement Craig Benedict, Planning Director,
2. Revised Interlocal Agreement for 919-245-2592
Approval Consideration Christopher Sandt, Staff Engineer,
3. Revised Lot Map (November 25, 2019) 919-245-2583
PURPOSE: To approve a revised Interlocal Agreement between Orange County, the Town of
Chapel Hill, and the Town of Carrboro to jointly fund the costs of private sewer service lateral
connection installations for qualified Low-to-Moderate-Income (LMI) homeowners in the Historic
Rogers Road sewer service area. The revision primarily relates to modifying the method of
hiring licensed plumbers to install the onsite private sewer lateral connections.
BACKGROUND: The newly constructed Historic Rogers Road Area gravity sewer system is a
public system owned by Orange County and operated by the Orange Water and Sewer
Authority (OWASA). The general contractor for the sewer expansion project has installed
approximately 108 sewer service stub-outs/clean-outs to lots within the Historic Rogers Road
sewer service area. The design and construction of the Historic Rogers Road Area gravity
sewer system was initiated based on the recommendations contained within the Historic Rogers
Road Neighborhood Task Force Final Report dated September 17, 2013. The 67-page Report
is available on-line at https://www.townofchapelhill.org/home/showdocument?id=25341. The
costs associated with the design and construction of the gravity sewer system were shared
between Orange County, the Town of Chapel Hill, and the Town of Carrboro as specified in an
Interlocal Agreement entered into on December 13, 2016.
Orange County, in partnership with the Towns of Chapel Hill and Carrboro, will be providing
joint funding to cover the costs of private sewer service lateral connection installations, septic
tank abandonments and payments of OWASA sewer system development fees for qualified
LMI homeowners of existing dwellings located on Heritage Lots within the Historic Rogers Road
sewer service area. The costs associated with private sewer service lateral connection
installations for qualified LMI homeowners were shared between Orange County, the Town of
Chapel Hill, and the Town of Carrboro as specified in a separate Interlocal Agreement entered
into on July 1, 2019 (Attachment 1).
2
The Interlocal Agreement executed on July 1, 2019 (Attachment 1) specifies that Orange
County "...shall issue an informal request for qualifications (RFQ) 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." Orange County advertised an informal RFQ on
August 8, 2019 and received zero submissions from qualified licensed plumbers. Subsequent
feedback from local licensed plumbers suggested that, due to current high workloads/backlogs,
qualified vendors were unable and/or unwilling to commit the time and resources needed to
prepare and submit a detailed Statement of Qualifications (SOQ) to Orange County in response
to Orange County's RFQ. In addition, qualified vendors were not interested in pursuing the
RFQ due to the inability to guarantee the award of a monetary contract for performing the work
and not knowing in advance the site-specifics of each potential installation job.
The proposed revised Interlocal Agreement (Attachment 2) will nullify and replace the existing
Interlocal Agreement executed on July 1, 2019. The overall cost share percentages within the
proposed revised Interlocal Agreement will remain unchanged from the existing Interlocal
Agreement (i.e. 14% Carrboro, 43% Chapel Hill, 43% Orange County). The proposed revised
Interlocal Agreement is identical to the existing Interlocal Agreement executed on July 1, 2019,
with the exception of the following items:
1) Rather than pre-qualifying a group of licensed plumbers to competitively bid the
private sewer service lateral connection installation work, Orange County will
competitively bid each individual private sewer service lateral connection (or each
group/cluster of private sewer service lateral connections) upon qualification of the
respective individual LMI applicants. The lowest responsive and responsible bidder
for each individual competitive bid will be formally awarded the associated work for
each individual competitive bid.
2) The number of Heritage Lots and Heritage Lots With Pre-Existing Dwellings have
increased by three (3) properties, based on lot configuration and engineering
feasibility corrections. The number of identified Heritage Lots has been revised from
81 to 84. The number of Heritage Lots With Pre-Existing Dwellings has been revised
from 62 to 65. The revised number of Heritage Lots and Heritage Lots With Pre-
Existing Dwellings are displayed on the updated map dated November 25, 2019
(Attachment 3).
3) The overall Orange County budget for this initiative has been revised from $243,000
to $220,000, so as to match actual/available Orange County budget allocations. The
overall estimated number of private sewer service lateral connections has been
updated to match Orange County's actual/available budget. Orange County is
currently budgeted for a total of 10 connections within the Town of Carrboro's
jurisdictional area and a total of 15 connections within the Town of Chapel Hill's
jurisdictional area. The anticipated cost per connection has been reduced from
$9,000 per connection to $8,800 per connection, based on a recently bid project
within the Historic Rogers Road area. The overall cost share percentages will remain
the same: 14% Carrboro, 43% Chapel Hill, 43% Orange County.
The proposed revised Interlocal Agreement (Attachment 2) is the product of a joint collaborative
review effort by the Rogers Road Staff Working Group. The Group generally meets on a
weekly basis and consists of designated representatives from Orange County, the Towns of
Chapel Hill and Carrboro, and OWASA. The proposed revised Interlocal Agreement has also
3
been reviewed and approved by the respective Attorneys of the three local governments. The
Carrboro Board of Aldermen is scheduled to consider the proposed revised Interlocal
Agreement on January 21, 2020, and the Chapel Hill Town Council is scheduled to consider the
proposed revised Interlocal Agreement on January 22, 2020.
SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goal is applicable to
this item:
• GOAL: ESTABLISH SUSTAINABLE AND EQUITABLE LAND-USE AND
ENVIRONMENTAL POLICIES
The fair treatment and meaningful involvement of people of all races, cultures, incomes
and educational levels with respect to the development and enforcement of
environmental laws, regulations, policies, and decisions. Fair treatment means that no
group of people should bear a disproportionate share of the negative environmental
consequences resulting from industrial, governmental and commercial operations or
policies.
ENVIRONMENTAL IMPACT: The following Orange County Environmental Responsibility Goal
impacts are applicable to this item:
• ENERGY EFFICIENCY AND WASTE REDUCTION
Initiate policies and programs that: 1) conserve energy; 2) reduce resource consumption;
3) increase the use of recycled and renewable resources; and 4) minimize waste stream
impacts on the environment.
• RESULTANT IMPACT ON NATURAL RESOURCES AND AIR QUALITY
Access and where possible mitigate adverse impacts created to the natural resources of
the site and adjoining area. Minimize production of greenhouse gasses.
This revised Interlocal Agreement to jointly fund the costs of private sewer service lateral
connection installations for qualified Low-to-Moderate-Income (LMI) homeowners in the Historic
Rogers Road sewer service area will encourage homeowners to move forward with connecting
to the new sewer service, thereby reducing the use of both failing and functioning septic
systems which have impacts on the groundwater and other community natural resources.
FINANCIAL IMPACT: There is adequate existing Planning & Inspections staff and Housing &
Community Development staff to complete the responsibilities enumerated in the proposed
revised Interlocal Agreement (Attachment 2). The installation of private sewer service lateral
connections will occur over the next three years (2020, 2021, 2022), commencing upon the
adoption of the proposed revised Interlocal Agreement and upon the solicitation of competitive
bids from qualified licensed plumbers to complete the private sewer service lateral connection
installation work. Orange County has budgeted $220,000 in the current (FY2019-20) Capital
Investment Plan (CIP) to fund this program, with the expectation of reimbursement by the
Towns, as detailed in the proposed revised Interlocal Agreement. If Planning & Inspections
staff determines that the costs of private sewer service lateral connection installations for LMI-
qualified Heritage Lot homeowners may exceed the allocated budget, staff will present a CIP
amendment to the BOCC for consideration.
RECOMMENDATIONS: The Manager recommends the Board:
1) Review and approve the proposed revised Interlocal Agreement contained in Attachment
2 and authorize the County Manager and Finance Director to sign; and
2) Direct staff to move forward with implementation by completing the responsibilities listed
in Article 4 of the proposed revised Interlocal Agreement contained in Attachment 2.
Attachment 1 4
NORTH CAROLINA
ORANGE COUNTY
INTERLOCAL AGREEMENT BETWEEN AND AMONG ORANGE COUNTY AND THE
TOWNS OF CARRBORO 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
1 s� 1' fl
THIS AGREEMENT, made and entered into this _ 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
5
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 (OWASA)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
6
jurisdictional areas within the specified three-year period for 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$34,020, 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
i
I
Page 3 of 9
I
7
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 Cost County Cost Total Cost
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 ! 43% 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.
Paige 4 of 9
8
b. As provided in Section 1c above, the Town of Chapel Hill is responsible for
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 (RFQ) 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 work 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
9
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
Nothing in this Agreement is intended to create grant or convey rights in or to any
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
10
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
By Clerk
0
�f¢ �Ixratin�'
Page 7 of 9
11
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.
lquManager, Town of Carrboro rinance Director, Town of Carrboro
ATTEST [SEAL]
Naqln4"'
BY: - ,� ••••
Clerk ����O� '
loll
• i
a
Page 8 of 9
12
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, T wn of Chapel Hill Finance O icer, Town of Chapel Hill
ATTEST _.�-- [SEAL]
By:
Clerk
APPROVED AS TO FORM AND
AUTHORIZATION '
Town Attorney, Crale t q, f
Page 9 of 9
Attachment 2 13
NORTH CAROLINA
ORANGE COUNTY
REVISED INTERLOCAL AGREEMENT BETWEEN AND AMONG ORANGE COUNTY
AND THE TOWNS OF CARRBORO 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 REVISED AGREEMENT, made and entered into this day of 2020
between and among the Towns of Carrboro and Chapel Hill, both North Carolina
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". This Agreement
supersedes and replaces the Interlocal Agreement between the Parties entered into as
of July 1 , 2019.
WITNESSETH
WHEREAS, the Parties entered into an Interlocal Agreement on July 1, 2019,
hereinafter referred to as the "Original Agreement"; and
WHEREAS, the Parties have determined that it is necessary to enter into a new and
revised agreement to replace and supersede the Original Agreement; and
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 84 Heritage Lots, due to lot configuration
and engineering feasibility corrections that were completed subsequent to the release of
the Historic Rogers Road Neighborhood Task Force Report; and
Page 1 of 10
14
WHEREAS, representatives of the County and Towns have previously agreed in
principle that 65 of the 84 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 65 Heritage Lots
with existing dwellings; and
WHEREAS, the 65 Heritage Lots in the Rogers Road Sewer Project Area with existing
dwelling units may have household income levels at or below 80% of the area median
income as defined by U.S. Department of 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 65 Heritage Lots with existing dwellings and with household income levels at or
below 80% of the area median income (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 competitive bids from licensed local plumbing
contractors, and will select the lowest responsive and responsible bidder for the
installation of private sewer service lateral connections for LMI Heritage Lot
Households; and
WHEREAS, the County has pre-allocated $220,000 for the installation of private sewer
service lateral connections for LMI Heritage Lot Households wishing to connect, to be
reimbursed by the Towns, in part, 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 lowest responsive and responsible bidder 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
(OWASA) 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
Page 2 of 10
15
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 ten (10) 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
fifteen (15) LMI Heritage Lot Households wishing to connect within Town of Chapel Hill
jurisdictional areas within the specified three-year period for 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 $8,800 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 $4,400 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 Original Agreement is hereby superseded and replaced by this
Agreement.
c. The Town of Carrboro shall provide payment to the County up to 14% of the
current total project estimate, or $30,800, 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 ten
(10) LMI Heritage Lot Household sewer connections within the Town of
Carrboro's jurisdiction. The Town of Carrboro shall, within thirty (30) days of
Page 3 of 10
16
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.
d. The Town of Chapel Hill shall provide payment to the County of up to 43% of
the current total project estimate, or $94,600, 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
fifteen (15) 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.
e. If overall participation by LMI Heritage Lot Households exceeds the $220,000
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.
f. This Agreement may be renewed or amended upon written agreement of the
Parties.
Page 4 of 10
17
2. TOTAL COSTS
Item Carrboro Chapel Hill County Cost Total Cost
Cost Cost
Carrboro Lots
(10 LMI
Heritage Lot $30,800 $0 $57,200 $88,000
Household
connections
within Carrboro
jurisdiction)
Chapel Hill Lots
(15 LMI
Heritage Lot
Household $0 $94,600 $37,400 $132,000
connections
within
Chapel Hill
jurisdiction)
TOTALS $30,800 $94,600 $94,600 $220,000
(14% of total) (43% of total) (43% of total) (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 $30,800, 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.
b. As provided in Section 1 c above, the Town of Chapel Hill is responsible for
up to 43% of the current total project estimate, or $94,600, 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).
Page 5 of 10
18
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 proposals (RFP) so as to
solicit competitive bids from licensed local plumbing contractors for the
installation of private sewer service lateral connections for LMI Heritage Lot
Households. The County will formally award the private sewer service
lateral connection installation work for LMI Heritage Lot Households to the
lowest responsive and responsible bidder.
b. Contracts for the installation of the private sewer lateral connections and
associated work 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 $94,600 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
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
Nothing in this Agreement is intended to create, grant, or convey rights in or to any
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.
Page 6 of 10
19
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 7 of 10
20
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 County Finance Director, Orange County
ATTEST [SEAL]
By:
Clerk
Page 8 of 10
21
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 Finance Director, Town of Carrboro
ATTEST [SEAL]
By:
Clerk
Page 9 of 10
22
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 Chapel Hill Finance Director, Town of Chapel Hill
ATTEST [SEAL]
By:
Clerk
Page 10 of 10
Attachment
Historic Rogers Road Sewer Expansion 23
Which Lots Can be Served by the New Public Gravity Sewer Lines?
��BANKSRO If SALIXST
KOUSQ GINKGO
O TRL TRL
m
z
m
GINKGO
TRL
c
p OLD
LARKSPUR
s�WAY
�O
O
�qY
U I
Z
7
R'
3 2
O : ROAD D
LIZZIE M
w
rn Ni C1 X
d d' V Z
W' w
O
w =
s
PUREFOYDR�
�O
� z
Ole,
�o
\ I N
z }yGH.R D
VpJR �
6�
Z �
r C_
IA r�4YHO_TRL__j
I z w m a
REYNARD Q a,
x RD
O z �/► IO
L_ BILLgBO1VG.LW oul
z
O y WHITMO� Z Os
n� cIR m
w
W_O �
z eU NNPW�c�, a >>
j �S' c� ABBOTPL
01_ ' 101p
s
New Gravity Sewer Lines �� �oME5tEp0 RDp-� w
0 Heritage Lots Without Pre-Existing DwellingsvE
0 Heritage Lots With Pre-Existing Dwellings ��ro �� RD W " 2 m
9 C� O 1 in=800 feet
- Potentially Serviceable Lots o a o N
w= ORANGE Feet
COUNTY
0 Carrboro Jurisdiction M-1 0 800
Orange County Planning and Inspections
0 Chapel Hill Jurisdiction BC 11/25/2019