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CITY OF COLTON AGENDA REPORT FOR COUNCIL MEETING OF JUNE 20. 2006 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: ERIC FRASER, DIRECTOR OF WATER/WASTEWATER ITEM #1 SUBJECT: APPROVAL OF FIRST AMENDMENT TO REIMBURSEMENT AGREEMENT WITH ROSEMARY SHADID FOR WATER AND SEWER IMPROVEMENTS RELATED TO RECHE CANYON HILLSIDE ESTATES. DATE: June 13, 2006 BACKGROUND: On May 7, 1996, a reimbursement agreement was executed between the City of Colton and Rosemary Shadid. This agreement allowed for the reimbursement of costs incurred by Rosemary Shadid who at the request of the City installed oversize water and sewer pipelines on Reche Canyon Road which also benefits others. The agreement required that parcels which benefit from the water and sewer lines be identified; connection fees in the amount of $30.60 per front foot for water and $30.30 per front foot for sewer be collected from the developers of the identified parcels and reimbursed to Rosemary Shadid; and it authorized the parties to extend said reimbursement agreement if agreed upon by both parties. See attached reimbursement agreement as Exhibit "A". DISC USSION/ANALYSIS: Rosemary Shadid has not received any compensation from the reimbursement agreement because no development has occurred on the identified parcels affected by the offsite water and sewer improvements. Ms. Shadid is requesting a thirty-six (36) month extension to the agreement. Staff agrees that extending the reimbursement agreement for an additional thirty-six (36) months will allow time for development to occur on the identified parcels and provide an opportunity for reimbursement of costs to be made to Rosemary Shadid. See proposed First Amendment attached hereto as Exhibit "B". FINANCIAL IMPACT: None ENVIRONMENTAL IMPACT: None CONFLICT OF INTEREST: None