Title
A Resolution of the City of Lee’s Summit, Missouri, affirmatively assenting to the issuance of revenue bonds payable from revenues to be derived from the operation of the Middle Big Creek Subdistrict sewer system in an amount not to exceed $106,000,000 for the purpose of acquiring, constructing, improving or extending sewer system serving the Middle Big Creek Sewer Subdistrict, including, but not limited to the improvements described herein, in accordance with section 204.569(3), revised Missouri Statutes. (PWC 12/13/21)
Body
Issue/Request:
A Resolution of the City of Lee’s Summit, Missouri, affirmatively assenting to the issuance of revenue bonds payable from revenues to be derived from the operation of the Middle Big Creek Subdistrict sewer system in an amount not to exceed $106,000,000 for the purpose of acquiring, constructing, improving or extending sewer system serving the Middle Big Creek Sewer Subdistrict, including, but not limited to the improvements described herein, in accordance with section 204.569(3), revised Missouri Statutes.
Key Issues:
The City of Lee’s Summit and Middle Big Creek Subdistrict to Little Blue Valley Sewer District (LBVSD) have a long-standing service contract for sanitary sewer treatment.
The City of Lee’s Summit is a Member City of the Subdistrict with representation on its Advisory Board
The City of Lee's Summit is a Member City of LBVSD with representation on its Board of Trustees
The plant for the Subdistrict is approaching its maximum capacity
A major pump station which serves Lee's Summit in the Middle Big Creek Sewershed is at its capacity
This Bond Issue will upsize the plant to meet the future needs of those served by the District
This Bond Issue will remove the existing pump station and replace it with a gravity interceptor
Proposed City Council Motion:
[Enter text here]
Background:
The City of Lee's Summit has been a member of the Middle Big Creek Subdistrict (MBC) to the Little Blue Valley Sewer District (LBVSD) since 1992. MBC serves a large portion of southeast Lee's Summit with treatment of the collected wastewater at the MBC plant located in Pleasant Hill. The existing sewers west of Highway 291 and south of the north edge of Summit Ridge and Arbor Walk to roughly Pryor Road flow under Raintree Lake by gravity to the MBC treatment plant. The existing sewers east of Highway 291 and south of 50 Highway to the east City limit flow south through Greenwood to the Greenwood Pump Station where they are pumped to the Raintree Pumpstation to gravity flow to the MBC Treatment Plant.
Currently the MBC treatment plant is at capacity and a considerable amount of flow is diverted to the LBVSD treatment plant for treatment there Via the Raintree Lake Pump Station. Expansion of this plant was planned from its inception and has been scheduled to be completed based on growth in the system. The existing Greenwood Pump Station is at capacity and near the end of its useful life. This pump station services the Big Creek Sewer Shed west of Highway 291.
The proposed bond issue will provide for the upsizing of the MBC existing treatment plant and the removal of the Greenwood Pump Station and its replacement with a gravity interceptor.
Impact/Analysis:
The MBC sewer district is transitioning to flow based billing through the next couple of years. The average charge from MBC to is projected to be $4.70 per thousand gallons and is projected to increase to as high as $5.10 per thousand through the next 10 years.
Presenter
Jeff Thorn, Deputy Director of Water Utilities
Jeff Shook, Director Little Blue Valley Sewer District
Recommendation
Recommendation:
Staff recommends approval of a resolution of the City of Lee’s Summit, Missouri, affirmatively assenting to the issuance of revenue bonds payable from revenues to be derived from the operation of the Middle Big Creek Subdistrict sewer system in an amount not to exceed $106,000,000 for the purpose of acquiring, constructing, improving or extending sewer system serving the Middle Big Creek Sewer Subdistrict, including, but not limited to the improvements described herein, in accordance with section 204.569(3), revised Missouri Statutes.
Committee Recommendation
Committee Recommendation:
I move for approval to City Council a Resolution of the City of Lee’s Summit, Missouri, affirmatively assenting to the issuance of revenue bonds payable from revenues to be derived from the operation of the Middle Big Creek Subdistrict sewer system in an amount not to exceed $106,000,000 for the purpose of acquiring, constructing, improving or extending sewer system serving the Middle Big Creek Sewer Subdistrict, including, but not limited to the improvements described herein, in accordance with section 204.569(3), revised Missouri Statutes.