The city of Bonney Lake has received the final estimates on construction of the Eastown sewer system and they are about what was expected.
But with final numbers in hand, the work on hammering out a Utility Latecomers Agreement with landowners in the region can finally begin.
According to Bonney Lake Public Works Director Dan Grigsby, the final engineer’s estimate is near $4 million, though Grigsby said the actual engineers estimate would not be revealed until after the bids on the project are opened so as not to cloud the bidding process.
But sources in the city indicate the final cost estimate comes at less than $4 million, well within the original estimates of $3.5-4 million.
“In this case, they came out pretty much on the mark,” Grigsby said of the final numbers.
Grigsby said the final cost actually reflects two jobs, the installation of the lift station and the pipes in the region and also the boring under state Route 410 to connect the system to the southern frontage roads that will be constructed.
Once bids are opened and a final amount is settled, attention will turn to creating a ULA between the city and the landowners that will allow the city to begin installation of the pipes and hopefully spur development in Eastown.
Presently, a ULA, in which the city and a “substantial” partner front the money to do construction and charge a latecomer fee as new developments hook into the system.
The city and a group of landowners eager to sell and develop their land have been in negotiations on precisely what the definition of “substantial” is.
During a discussion at a study session earlier this summer, a majority of the city council seemed to indicate that the project was important enough to move forward with a latecomers agreement for sewers for the area, even if it means the minimum participation from landowners in the area, which is prescribed by city ordinance at 5 percent.
City policy states that development should pay for development, including putting pipes in the ground. Presently, city law requires all new buildings to hook up to the city’s sewer system. However, there are no pipes or lift stations east of 214th Avenue East, which prevents construction unless a developer or developers pay to install the pipes.
Using a $4 million estimate and a 5 percent figure for contributions from the landowners, that would mean they are on the hook for approximately $200,000 as their share of the project.
Under the current plan, the city would pick up the remaining amount through revenue bonds.
According to Grigsby, the latecomers fee would include a share of the entire cost of the project, including design as well as construction, though the amount contributed by the landowners is based on the construction estimates.
The city estimates its total investment in Eastown so far to be $2.2 million.
Landowners in the past said though $200,000 is a large sum of money to get from a diverse group of landowners, it would at least be something they could begin working with.
Grigsby said construction of a new sewer system could be completed with a year of completion of a ULA with landowners.
