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Works and

Emergency

Services

October 21, 1998

To:Works and Utilities Committee

From:Michael A. Price, General Manager, Water and Wastewater Services

Subject:Water Servicing Charges- 118R Clinton Street (Ward 20-Trinity Niagara)

Purpose:

To provide comment regarding the contribution of funds by the City of Toronto for the installation of water servicing for no. 118R Clinton Street in response to the communication from Councillor Mario Silva dated September 2, 1998.

Funding Sources, Financial Implications and Impact Statement:

N/A

Recommendations:

It is recommended that this report be received for information.

Council Reference/Background/History:

118R Clinton Street (the Property) is an existing severed property located at the rear of 118 Clinton Street and fronting a municipal lane located to the west of the property. Access to Clinton Street from the property is achieved through a 3.3 metre wide surface right-of-way running along the south property line of no. 118 Clinton Street. The location of the property is indicated on attached sketch plan.

According to Departmental records, water servicing to the property was provided through the surface right-of way adjacent to 118 Clinton Street, however at the time 118R Clinton Street was purchased by the current owner, Ms. Astra Burka, in October 1997, the existing building on the property was abandoned and water service had been disconnected.

Concurrently with her application for a building permit to construct a residential unit on the property, Ms. Burka submitted an application to my Department for the provision of a new water service to the proposed unit.

The existing right-of-way across 118 Clinton Street did not include provision for the construction of underground services and Ms. Burka was unable to obtain permission, under reasonable terms, from the owner of no. 118 Clinton Street to reconstruct a water service within the right-of-way. As a result, it was determined that in order for water servicing to be provided to the Property, a new watermain would have to be constructed within the lane at the rear of the Property, north to the City's existing watermain on Jersey Avenue, at an estimated cost of $58,160.

Under the existing cost sharing policy adopted by the Council of the former City of Toronto, a contribution of $21,000 (the estimated average servicing cost within the former City of Toronto), was made toward the construction of the new watermain. The outstanding balance of $37,160 was paid by Ms. Burka.

In response to a communication from Councillor Mario Silva dated September 2, 1998, the Works and Utilities Committee requested that I report on Councillor Silva's request that a rebate be provided to developers in the event that future connections are made to infrastructure constructed under the cost sharing policy.

Comments and/or Discussion and/or Justification:

Under the policy adopted by the Council of the former City of Toronto, the City assumes responsibility for the construction of sewers and watermains within existing public streets, provided:

1.the cost of this servicing is not significantly higher than the average servicing cost within the City; and

2. the need is not created by the severance of a parcel of land.

If the need for the servicing is created by severance, the developer is responsible for the full cost of the infrastructure required. If the cost of providing servicing is higher, on a per unit basis, than the average cost within the City, then the developer is responsible for the additional cost. At present, the average per unit cost of providing water servicing within the City is $21,000 (based on a three year average ).

In the case of 118R Clinton Street the estimated cost of installing the watermain within the lane was $58,160. The City contributed $21,000 towards the servicing and Ms. Burka paid the balance of $37,160.

Watermains or sewers constructed within a municipal street allowance become the property of the City and part of its distribution or collection system respectively. There is no provision under the cost sharing policy of the former City of Toronto to reimburse developers should future connections be made to infrastructure assumed by the City.

I should note that if more than one existing lot were serviced from this watermain, then the City's contribution is multiplied by the number of existing lots serviced.

I would also note that at the time of application for servicing, Ms. Burka attempted to solicit commitments from the adjacent property owners to connect to the proposed watermain, however, the owners contacted were already connected to Clinton Street through existing rights-of -way, and consequently no additional City cost sharing can be justified under the former City of Toronto policy at this time.

With regard to Consumer's Gas servicing policies referred to by Councillor Silva, I can advise that the gas company establishes a servicing cost for each property based on obtaining a full cost recovery for the main from an estimated number of properties which will benefit from the main. I can also advise that although an opportunity does exist for property owners (developers) to receive a refund of contributed funds, this would only occur when the number of properties connected to a main is greater than the number used in the initial estimate.

The former City of Toronto's approach of cost-sharing in the construction cost of the watermain is not directly comparable to the Consumer's Gas policy. I believe, however, that the former City of Toronto's policy of a $21,000 grant to the developer for each existing lot serviced from the watermain is more beneficial arrangement for the developer.

Conclusions:

No changes to the cost sharing policy described herein are recommended at this time.

Contact Name and Telephone Number:

W. Green, P.Eng.

Director, Quality Control and System Planning

Water and Wastewater Services

Phone: (416) 392-8242

Fax: (416) 392-2974

E-Mail "wgreen@city .toronto.on.ca"

Michael A. Price, P. Eng. FICE

General Manager

Water and Wastewater Services

TM/ea

118RCLIN.

Attach.

 

   
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