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City, Board of Public Utilities and South Cheyenne district finalize combined water‑wastewater agreement
Summary
After multi-year negotiations the Board of Public Utilities and the South Cheyenne Water and Sewer District agreed on a combined water and wastewater contract: the district will begin paying system development fees, a previously unpaid revenue source, and the parties resolved connection and assessment details.
The City of Cheyenne and the Board of Public Utilities (BOPU) reported on June 23 that they have reached a negotiated, combined water and wastewater agreement with the South Cheyenne Water and Sewer District that updates arrangements originally made in the 1970s and 1980s. BOPU Director (name on file) told council the agreement resolves legacy issues and modernizes financial and operational relationships between the city and the district.
Key changes described in the meeting include the district’s agreement to pay the city’s system development fees going forward (the district previously charged the fees to its customers but had not remitted them to the city), consolidation of several water connections (reducing the district’s five connections to three), inclusion of a 2% assessment fee that the city will invoice and that the district has begun remitting as of January, and clarification that disputes will be handled in the district and Laramie County courts rather than by arbitration as in the old agreement.
Councilmembers noted the annexation clause remains in the agreement, which they consider important given expected growth. BOPU and city staff described the new agreement as the product of several years of negotiation and recommended council approval. The council approved the agreement as presented.
