Title
Authorize the City Manager to finalize and execute a Water Supply Agreement between the City of Mesquite and Bellagio 443 LLC, for provision of water service in the City’s Extraterritorial Jurisdiction (ETJ).
Body
Bellagio 443 LLC, proposed a residential development in Mesquite’s Extraterritorial Jurisdiction (ETJ) through the establishment of a Municipal Utility District (MUD) on Markout Central Road, west of FM 740. The development will be comprised of approximately 1,200 single-family homes.
The proposed development is within Mesquite Certificate of Convenience and Necessity (CCN) which provides the City the ability to provide water service. The City’s water supply and distribution system is capable of providing this service without impact to existing or future water customers.
The developer will be responsible for installing all infrastructure associated with the development and connecting to the City’s system. The system will be designed to the City’s engineering and design standards. Once complete, the City will assume the responsibility of maintenance of the system and billing water customers. Per the agreement, all customers within the development will pay the same rates and fees as utility customers in the City Limits.
Financial Implications
The developer will be responsible for all initial development design and construction costs. The City will assume responsibility of the system and maintenance. All City costs will be covered by utility fees.
Recommended/Desired Action
Staff recommends the City Manager be authorized to finalize and execute a Water Supply Agreement between the City of Mesquite and Bellagio 443 LLC.
Attachment(s)
Water Supply Agreement
Drafter
Cliff Keheley
Head of Department
Cliff Keheley