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<br />Councilmember Elvig noted there is a neighborhood that wants a feasibility study for services <br />but many cannot afford to connect. <br /> <br />Mr. Morton stated that from the City's perspective if there is a development of 60 that is fully <br />occupied and it wants to connect, then all of a sudden there are 60 homes connected and there is <br />an immediate cash flow. <br /> <br />Councilmember Elvig questioned how the agreements and rules are worked out. <br /> <br />Community Development Director Trudgeon stated it will depend on the distance to the service <br />and the number of homes. He explained that someone like Connexus could be used to collect all <br />the fees or the developer could be required to escrow the fees. However, if it is ten years before it <br />happens, then you have to determine what happens with the interest and which trunk rate would <br />be charged. <br /> <br />Councilmember Elvig stated no one is looking at cluster development to be a stand-alone in 20 <br />years. He stated he looks at cluster development as a way to allow development to occur now <br />with the homes being connected to services at some point in time. <br /> <br />Councilmember Cook noted that it is reducing the efforts and he thinks there are areas where it <br />may be 25-30 years before services are available. He asked whether people should be charged <br />today's fee or the fee when they actually connect. <br /> <br />Councilmember Strommen stated that no one anticipated originally that they would connect to <br />sewer and water. However, with cluster development, it is anticipated that there will be a <br />connection. <br /> <br />Councilmember Cook stated he thinks the City can reqUIre connection within one year of <br />construction. <br /> <br />Mayor Gamec stated that based on the Charter you don't have to connect but with a cluster <br />development you would have to include a stipulation to require connection within a certain <br />period of time. <br /> <br />Councilmember Cook noted with cluster developments you already have plumbing and pipes in <br />the ground so when you connect, only one connection is needed. However, in his neighborhood <br />it would require more piping and connections. <br /> <br />Councilmember Jeffery suggested that with cluster developments the City require wastewater <br />management. He stated the City will have to assure that each deal is looked at separately to <br />assure safeguards are built in. <br /> <br />Mayor Gamecstated that is why the people running the systems want to own the property. Also, <br />at the time the project is connected they can then sell their property for several homes. <br /> <br />City Council Work Session / April 4, 2006 <br />Page 6 of 19 <br />