(A) Permanent extensions; assessment districts.
(1) Inside city limits.
(a) Property owners desiring to have the city make permanent extensions of its wastewater collection system through an assessment district shall petition the city in writing for such extension.
(b) The petition shall set forth the nature and character of service requested, the location of the collection system extension requested, the number of potential properties to be served, the legal descriptions of those properties, and all other pertinent facts and details relating to the extension.
(c) The petition shall contain the names, mailing addresses and signatures of the owners of at least 55% of those properties to be served.
(d) Upon acceptance of the petition for wastewater collection system extension, the city shall estimate the total installed cost of the requested extension and will advise all the affected property owners, in writing, of the estimated total cost of such extension.
(e) Upon acceptance of the proposed assessment district by the owners of at least 75% of the affected properties, the city shall begin the notification and public hearing process required for assessment districts.
(f) The city will perform engineering design and inspections for areas of the city that are already developed or partially developed with multiple residential or commercial improvements.
(g) The city shall not provide engineering design for new or proposed subdivisions in substantially undeveloped portions of the city. This expense will lie with the developer. Plans will require approval of the Public Works Engineer and installations will be subject to inspection and acceptance by the city.
(h) All materials and methods of installation shall comply with the provisions of the city’s Standard Specifications for Water and Sewer Improvements.
(2) Outside city limits. Wastewater collection system extension projects outside the city shall comply with the subdivision regulations in Chapter 154 and the City Comprehensive Development Plan as applicable and this chapter.
(3) Sewer main assessments. The City Council may make the determination that an improvement is necessary absent a petition by landowners. The governing body has the power to establish one or more districts for the construction and maintenance of local improvements; they may establish or modify the boundary of the district, construct improvements or portions of improvements, and assess the amount of the special benefit of the improvement to the property within the district. See the provisions of SDCL Chapter 9-43 for more information on special assessment districts.
(4) Maintenance fees. The governing body may annually, by resolution, levy a special maintenance fee for the purpose of maintaining or repairing any public improvements within the municipality, which are maintained by the municipality. The governing body may designate the lot or portion of lots against which a maintenance fee is to be assessed. The maintenance fee may be directly billed by the municipality to the property owners, or may be collected by the county with real estate tax assessments
(B) Privately funded and installed main extensions; cost recovery. The purpose of this provision is to allow for reasonable cost recovery to developers who privately fund a wastewater main extension project where that wastewater main extension directly benefits certain properties. The city may enter into an agreement with a developer where the city collects a pre-determined connection fee through the wastewater service connection process, that pre-determined portion is then forwarded to that developer to off-set the initial cost of the construction of that wastewater main.
(1) Wastewater main extensions that are completely privately funded shall:
(a) First receive approval from the City Council;
(b) Be designed and installed in accordance with plans that have been reviewed and accepted by the Public Works Engineer;
(c) Be inspected by designated city personnel; and
(d) Be certified with a two-year warranty against defects and workmanship.
(2) The cost of privately funded wastewater main extension projects may be recovered, in part or in whole, with the following provisions.
(a) Apportionments, charges and negotiated connection fees are subject to approval by the City Council.
(b) The developer is free to negotiate with potential connectors, and reasonable charges will be accepted by the City Council.
(c) Properties that will potentially benefit from the wastewater main extension, and the owners of those properties, shall be provided on the agreement to be entered into between the developer and the city.
(d) No interest or charges in excess of the cost of construction, including engineering costs, can be collected.
(e) Cost recovery agreements:
1. No agreements shall exceed ten years of commitment by the city; and
2. Developer may pursue private cost recovery methods in lieu of entering into a cost recovery agreement with the city.
(Ord. 1195, passed 12-3-2018)