ORD 550 12/18/2001 ORDINANCE No. 550 UTILITY EXTENSION POLICY
AN ORDINANCE ESTABLISHING A UTILITY EXTENSION POLICY FOR THE CITY OF CIBOLO,
TEXAS; ESTABLISHING UTILITY CONNECTION FEE AND ESTABLISHING PRO-RATA SHARE
FOR PAYMENTS AS A RESULT OF OVERSIZING OF UTILITY LINES
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CIBOLO, TEXAS:
Section 1. There is hereby established a City of Cibolo Utility Extension Policy which is attached to and made a
part of this
Section 2. The utility connection fees and pro-rata share payment as established in the Cibolo Utility Extension
Policy may be revised or amended from time to time as required and approved by City Council.
Section 3. Upon approval of this ordinance, any existing utility extension policy of the City of Cibolo is hereby
rescinded.
Section 4. This ordinance shall take effect immediately upon passage and approval
PASSED AND APPROVED THIS 18th day of DECEMBER 2001.
I
Mayor
Charles Ruppert
Attest
1- 1,
or:•nne Griffin
Secretary
Page 1 of 11
Section 1. Definitions:
A. City or City's Share: These words are always synonymous with the City of Cibolo
B. City's Cost: The portion of the total cost for utility capacity in excess of the size required of the
Developer/Consumer/Land Owner/Impending Land Owner and those immediate properties to be served.
C. Customer: Developer/Consumer/Land Owner/Impending Land Owner, the person requesting the extension
of utilities.
D. Customer's Cost: (Developer/Consumer/Land Owner/Impending Land Owner) cost: The total cost of
utilities (including the Developer's/Consumer's/Land Owner's/Impending Land Owner's share of previous
oversize lines, extra depth and lift stations to support the extension) sufficient to provide service (including
fire protection); minus any pro rata shares paid at the time of installation, and the City's cost.
E. Ordinance: City of Cibolo Ordinance No.#464, Subdivision Ordinance and any ordinance that supercedes
#464 .
F. Over-sizing: The portion of a utility that exceeds that required to extend services to the particular
Developer/Consumer/Land Owner/Impending Land Owner requesting an extension of municipal utilities.
G. Pro Rata Share: The portion of the Developer's/Consumer's/Land Owner's/Impending Land Owner's cost
of the Utilities that has been assessed to each individual property owner.
H. Total Cost: The total cost of the utility including construction, easement acquisition, engineering,
administrative and contingency costs.
I. Utilities: Pertaining to the installed cost including: labor, ditching, engineering, easement acquisition, and
material of line, fire hydrants, valves, fittings, meters, lift stations, and other appurtenances necessary to
furnish water or sewer service to a lot, tract of land or a subdivision, plus an administrative changes.
J. Utility Connection Fee: The fee charged by the City to a customer upon final connection to a city water or
sewer line.
Section II. Utility Connection Fees.
A fee which shall be known a the "Utility Connection fee", shall be collected from the customer or property
owner of each lot or tract of land desiring to connect to any water or sanitary sewer main owned, operated and
maintained by the City of Cibolo. The utility connection fees are in addition to any pro-rata charges or impact
fees which may occur as a result of utility extensions provided to serve a lot or tract of land. The utility
extension fees are as follows:
A. Water connection: $60.00 per lot or dwelling to which service is to be provided; and Water Impact Fees
as set forth in City of Cibolo Ordinance#461 or the ordinances that revise, replace or amend #461.
This fee is due to the city upon connection to the system. If the Developer's/Consumer's/Land
Owner's/Impending Land Owner's has an existing dwelling/facility and desires city water service, the
Page 2 of 11
connection fee is $60.00. For each multi-family dwelling unit, a water connection fee in the amount of
$60.00 is required. For example: a duplex fee would be 2X$60=$120. An apartment building with 75
units would be 75 x$60 =$4,500. For each business, commercial, or industrial water connection, the
fee will be $60 per connection. Connection fees are for a 3/4" x 5/8" water meter service. The
connection fee for a water meter service greater than 3/4" x 5/8" will be in accordance with the schedule
adopted by the City Council. The fees quoted above are in addition to any expenses for water meters or
other appurtenances or labor expenses that may be incurred as a result of connection to a city water
line. Payment of all water connection fees are required prior to the actual connection to any city water
line. Payment for water meters, appurtenances, or labor expenses will be paid to the city upon
completion of work by the city and prior to water services being provided by the city
B. Any person(s) that has(have) connected to a City of Cibolo water or line and subsequently subdivides
the original lot or acreage into two or more parts or adds additional supply structures will be required to
pay the connection fees again according to the requirements set forth in paragraph A above
C. It is the normal policy of the City of Cibolo not to extend water or sewer service out of the corporate
limits of the city. Upon receipt of a petition by a property owner(s)to be annexed into the corporate
limits of the city, the City Council may authorize the extension of water and sewer services to that
property while annexation procedures are in progress. If the Cibolo City Council determines that it is in
the best interest of the city to provide water or sewer service outside of the city limits and does not
require annexation, properties outside the city limits that will be served by a utility extension will pay
one and one half(11/2)times their pro rata share, in addition to required impact fees. Policies regarding
payment, reimbursement of the Developer's/Consumer's/Land Owner's/Impending Land Owner's and
the calculation and payment of pro rata shares of participating property owners are the same as reflected
in this utility extension policy.
Section III. Utility Extension Charges
A. Upon request of the customer or his(her) agent, of a given lot or tract of land, accompanied by a
payment of the charges provided for in Section II, the City of Cibolo may extend sanitary sewer and
water mains, a distance of one hundred (100) feet without any charges in addition to such payment.
The owners of all intervening property served by a given main shall be required to pay the charge
provided for in Section II at such time as their property is connected to the mains there laid. Where an
applicant for service secures an extension and service under this particular option for main extension,
they shall pay the pro-rata charges on all property owned by those him which are served by the
extension requested.
B. When the city extends a water or sewer line at the request of an individual or Developer's
/Consumer's/Land Owner's/Impending Land Owner's, the-following rules shall apply
1. The person desiring the extension will pay 100% of the total cost of extensions from existing
utilities including the cost of easement acquisition, for Utilities sufficient to provide for the
installation of the water and sewer lines (including fire hydrants, lift Stations, over-sizing as
required by the City of Cibolo for future development, etc...)
Page 3 of 11
2. The person desiring extension may be required to assist in payment of any"over-sizing" of
the utility as required by the City Engineer. The City may, by action of the City Council,
agree to pay the entire amount of over-sizing for utilities in excess of the size required of the
Developer/Consumer/Land Owner/Impending Land Owner. In the event that the developer
must pay more than 100 % of the actual cost described in the preceding paragraph because
of the City's requirement to oversize, the Developer's/Consumer's/Land Owner's/
Impending Land Owner's payments will be reduced by the amount the subsequent property
owners (according to Schedule 1) contribute at the time of installation by these subsequent
property owners. If the Developer/Consumer/Land Owner/Impending Land Owner can
obtain the pro rata shares from all of the assessed property owners at the time of installation,
the Developer's/Consumer's/Land Owner's/Impending Land Owner's payment would be
reduced to their pro rata share of the total cost. The Developer/Consumer/Land Owner/
Impending Land Owner may recover the difference between the total cost of the utilities as
calculated for Paragraph 1 -- excluding the City's cost -- and the sum of his pro-rata cost and
other properties pro rata costs paid at the time of installation.
3. It shall be the Developer's/Consumer's/Land Owner's/Impending Land Owner's obligation
to acquire easement needed to extend utility lines from their present terminus or nearest
location or other connection site determined by the City of Cibolo to the
Developer's/Consumer's/Land Owner's/Impending Land Owner's property, the cost of
which shall be reimbursable as set forth above. The location, width and cost of such
easement, shall be subject to approval by the City. Should the Developer/Consumer/Land
Owner/Impending Land Owner be unable to acquire the needed easement, the City may, at
its option, assist in the acquisition.
4. The Developer/Consumer/Land Owner/Impending Land Owner shall pay in cash or provide
an unconditional guarantee from a financial institution, that is approved by the City. The
Developer's/Consumer's/Land Owner's/Impending Land Owner's share of the utility
extensions as determined by the City, to include all amounts covered under Paragraph 1 and
Paragraph 2 of this section. Such guarantee shall be filed with the City Secretary of Cibolo
in letter from the financial institution and signed by its principal loan officer. The letter shall
state the name of the subdivision and shall list the improvements that the
Developer/Consumer/Land Owner/Impending Land Owner is required to provide. This
payment or guarantee must be filed with the City of Cibolo five (5) days prior to final plat
approval by the Planning and Zoning Commission and at least 10 (ten) days prior to final
plat approval by the City Council .
5. The Developer/Consumer/Land Owner/Impending Land Owner that contributed in excess
of his pro rata charge for construction of a utility extension will be eligible for refunds.
When subsequent property owners who follow the initial request (and have not paid their
pro rata charge request service and pay their share, plus the additional costs set out in
paragraph 2) the money will be refunded to the Developer/Consumer/Land Owner/
Impending Land Owner, up to the amount of over-payment. Any amount paid in excess of
that amount shall be retained by the City. Any cost not recovered by the
Developer/Consumer/Land Owner/Impending Land Owner within seven(7) years of the
approval of final plat will be forfeited and no further reimbursement will be allowed. The
Page 4 of 11
City will continue to collect the pro rata shares and use the funds to offset maintenance of
the utilities and for improvements in utilities.
EXAMPLE
Assumed cost for water and sewer lines used in calculations for this example.
8" Water line $30 per foot
8" Sewer line $40 per foot
8" Water line $35 per foot
12" Sewer line $45 per foot
EXAMPLE: The city contributes the entire amount for the over-sizing. The properties to be served require
the capacity of 8" sewer and water lines. The City requires (oversizing)the additional capacity of 12" sewer
and water lines to serve future extensions.
Developer's/Consumer's/Land Owner's/Impending Land Owner's
8" water line, 1,320 feet x $30 = $39,600
8" Sewer line, 1,320 feet x $40 =$52,800
TOTAL $ $92,400
If the City requires 12" lines and elects to contribute to the over-sizing:
Difference between 8" and 12" water line:
1,320 feet x($35 - $30)= $6,600
Difference between 8" and 12" Sewer Line
1,320 x ($45 - $40) =$6,600
INITIAL OUTLAY:
For Water:
Developer/Consumer/Land Owner/Impending Land Owner $ 39,600
City $ 6,600
TOTAL $ 46,200
For Sewer:
Developer/Consumer/Land Owner/Impending Land Owner $52,800
City $ 6,600
TOTAL $59,400
Assuming six participating parcels have an equal pro rata share of the total cost of$ $ 105,600(59,400 +
6,200), the Developer/Consumer/Land Owner/Impending Land Owner could receive $15,400 ( $92,400/6)
back as each parcel pays its $17,600 share.
Page 5 of 11
Amount.reimbursed by
Number of Parcels Cost of Other Developers/
Paying their Pro Developer/Consumer/Land Owner/ Consumers/Land Owners/Impending
Rata Share Impending Land Owner Land Owners as They Connect to Utility
Extension
Original Cost $92,400
1. 77,000 1. $ 15,400
2. 61,600 2. 30,800
3. 46,200 3. 46,200
4 30,800 4. 61,600
5. 15,400 5. 77,000
C. The cost to property owners where utilities are made available by the extension.
A pro rata charge shall be assessed to each property owner where utilities are available The charge will
be made according to the terms of the attached Schedule 1.
1. The City may connect any future customer reasonably served from the utility extension,
provided the customer has paid the pro rata charge, tapping fee, meter and installation
charges, deposit, and all other connection fees.
2. The entire cost of the utility extension minus any participation by the city or any other
governmental agency must eventually be provided by the property owner or owners served
by the extension.
3. Any customer not contributing the pro rata charge at the time of installation of the utility
extension who requests service at a later date must pay the pro rata charge in full plus an
additional fifteen percent (15%), plus the tapping fee and all other connection fees required
by the City before service will be installed. The fifteen percent (15%) surcharge shall be
retained by the City to defray the cost of administration for the utility extension and will be
excluded from the computations for refunds.
4. Any conditions not covered by these requirements or of such a nature that would result in
inequitable pro rata charge to any customer, will be negotiated by the city as the time, of
installation of a proposed line extension.
Section IV. Utilities Within a Subdivision.
The Developer/Consumer/Land Owner/Impending Land Owner shall pay the entire cost of the provision of
utilities and in compliance with the City's Subdivision Ordinances, within their subdivision. Utilities will be
constructed to meet City specifications and requirements as reflected in written city policies or as may be
required by the City Council or City Engineer.
Page 6 of 11
Schedule 1
Calculus for determining pro-rata share:
In this first example, the minimum size infrastructure is used, even though this minimum sizing will result in
excess capacity. The total cost of the infrastructure improvement, as defined in Section 1, shall be divided
by the total capacity of the system as defined by the City Engineer of the City of Cibolo. The numerator is
the total cost, the denominator is the capacity of this extension, enumerated in Living Unit Equivalencies
(LUEs).
Example: Cost of extending sewer branch including lift station = $300,000
Capacity of the extension in LUEs 600
Pro rata share per connection = 500
The Principal requesting the extension may only have land that will use 100 of the LU Es. If they can sign up
other land-owners that use up the rest of the capacity, each participant's cost is $500 per connection. If land
owners representing only 250 units are party to the original extension, then each LUE contribution will be
$1,000 and receive a pro rata share of the fees charged to each future "connector". The late corners will pay
$500 plus $500 x .15, or a total of$575. The City will keep $75 and return $500 to the initial parties on an
equitable basis.
In this second example, the maximum size infrastructure for total build-out of an entire basin is used,
resulting in more excess capacity.
Example: Cost of extending sewer branch including lift station = $800,000
Capacity of the extension in LUEs 2,000
Pro rata share per connection = 400
The Principal requesting the extension may only have land that will use 100 of the LUEs. If they can sign up
other land-owners that use up the rest of the capacity, each participant's cost is $400 per connection. If
land-owners representing only 250 units are party to the original extension, then each LUE contribution will
be $3,200 (800,000/250), exclusive of any contribution from the City. These participants would receive a pro
rata share of the fees charged to each future "connector". The late corners will pay $400 plus $400 x 15, or
a total of$460. The City will keep $60 and return $400 to the initial parties on an equitable basis.
However, in a project of this magnitude, it is expected that the City will contribute to the over-sizing. If the
City paid $400,000 of the $800,000, the initial participants above would be required to contribute $1,600
($400,000/250). The late corners will still pay $400 plus $400 x .15, or a total of$460. The City will keep $60
and return $400 to the initial parties on an equitable basis.
Page 7 of 11
STATE OF TEXAS
COUNTY OF GUADALUPE
This contract, made and entered into by and between the City of Cibolo, Texas, as authorized by the Cibolo
City Council, and
HEREIN AFTER CALLED Developer/Consumer/Land Owner/Impending Land Owner
WITNES SETH
Whereas, Developer/Consumer/Land Owner/Impending Land Owner is the Developer/Consumer/Land
Owner/Impending Land Owner of the following described property:
and has extended a
from its present terminus to the above described property, and installed within said property, as
required, water distribution and/or sewer collection systems as approved by the Cibolo City Council on
; and
Whereas, the actual cost of such improvements and the amount to be paid thereof, respectively, by the City
and Developer/Consumer/Land Owner/ Impending Land Owner is shown on Exhibit "A" attached hereto
and a part hereof; and
Whereas, in keeping with City policy, individuals who seek the extension of water lines or sewer lines to
their property must advance the cost of construction thereof, and any individual who wishes to tie on to
those lines must participate in the original cost by reimbursing either the Developer/Consumer/Land
Owner/ Impending Land Owner within fi o seven (7)years of the completion of those lines or the City of
Cibolo after that date.
NOW, THEREFORE, IT IS AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS:
Developer/Consumer/Land Owner/Impending Land Owner has deposited with the City or made,
necessary arrangements for the payment to the City the sum of
dollars to install the water arid/or sewer systems, fire hydrants,
if required, and other necessary appurtenances, which line and appurtenances shall now become property
of the City of Cibolo.
WHEREAS, installation of the above described systems has been completed and is operational, and the
City has approved its installation. The City promises and agrees to reimburse to the
Developer/Consumer/Land Owner/Impending Land Owner, according to the schedule shown as Exhibit
Page 8 of 11
"B" attached hereto and made a part hereof, any pro rata share of the cost of the line, that individual
property owner pays upon attachment to the City of Cibolo Utility System, provided that the reimbursement
occurs within seven (7) years of , 20 , the date of connection of that
portion of the system. After that period of time, any reimbursed amounts will be retained by the City of
Cibolo to offset bookkeeping and maintenance of utilities.
The Developer/Consumer/Land Owner/Impending Land Owner will be entitled to delivery of water front
the city utility system , upon payment of the tap fee therefore, and any required utility connection fees at
the prevailing rates established by the city and will be entitled to tie into the City's sewer system at the
established cost and fees as set by the City.
IN WITNESS WHEREOF, the parties have executed this Agreement in multiple copies, each of which shall
be deemed an original as of the date and year first written above.
CITY OF CIBOLO
By:
Name:
Title:
State of Texas
County of Guadalupe
Before me, , a notary public, on this day
personally appeared , known to me to be the person whose
name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for
the purpose and consideration therein expressed. Given under my hand and seal of office this
day of , 2001.
Developer's/Consumer's/Land Owner's/ Impending Land Owner's
By:
Name:
Title:
State of Texas
County of Guadalupe
Before me, , a notary public, on this day
personally appeared , known to me to be the person whose
name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for
the purpose and consideration therein expressed. Given under my hand and seal of office this
day of , 2001.
Page 9 of 11
CITY OF CIBOLO
P.O. BOX 862
CIBOLO, TEXAS 78108
CONSTRUCTION COST ESTIMATE
EXHIBIT"A"
PROJ ECT:
TYPE OF ESTIMATE:
BASIS FOR ESTIMATE:
No design complete
0 Preliminary Design
0 Final Design
NAME OF ESTIMATOR:
ITEM DESCRIPTION UNIT QUANTITY UNIT COST TOTAL
Page 10 of 11
n
Page 11 of 11