Title
Subject: Sturtevant Water Utility acquisition
Recommendation: To approve the acquisition of the Sturtevant Water Utility by the Racine Water Utility. Further recommends that this item be referred to the Executive Committee of the Racine Common Council
Fiscal Note: Funds are available in the 2006 Water Utility budget.
Recommendation by Executive Committee: Recommends that the City, in conjunction with the Racine Water Utility, acquire the Village of Sturtevant water system under the terms and conditions as negotiated, and that the City, through the Racine Water Utility, provide water to the Village of Sturtevant on a retail basis.
Further recommends that the Mayor and City Clerk be authorized and directed to enter into a three party Water Utility Purchase Agreement between the Village of Sturtevant, City of Racine and the Racine Water Utility, and an Intergovernmental Retail Water Service Agreement between the same parties.
Fiscal Note: The purchase price to be paid by the Utility is approximately $1,400,000 to be adjusted by transition costs and capital project costs, and the Utility will receive revenues from Village customers on the same retail basis as paid under the Village of Mt. Pleasant retail agreement.