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Council delays action on downtown sewer main ILA; district and city continue negotiations
Summary
City staff presented an interlocal agreement (ILA) with the Lake Stevens Sewer District to construct a sewer main in the downtown Public Workshop area; staff and the district have not finalized cost-sharing terms and the council voted to table action on the ILA to mid-March while negotiations continue.
The Lake Stevens City Council heard an update from Public Works Director Aaron Halverson on a proposed interlocal agreement (ILA) with the Lake Stevens Sewer District to construct a sewer main near Public Workshop and other downtown parcels and then voted to table the item to mid-March to allow further negotiation.
Why it matters: The sewer main is part of a Capital Improvement Program (CIP) project listed at about $1.2 million and is intended to extend sewer service to industrial and redevelopment areas. Cost-sharing arrangements and the appropriate legal mechanism (developer-extension agreement versus ILA) were contested in staff discussions with the sewer district.
Halverson told council that the district’s initial approach treated the work like a developer extension and that the current draft ILA lacked clear cost-sharing language. He said the district’s general manager later indicated possible district contributions in the range of $700,000 and that negotiations are ongoing. "The current ILA... doesn't address cost sharing," Halverson said.
City attorney Greg Robstello told council he had repeatedly raised concerns about the draft agreement and said the document offered by the district was not one he would recommend. "This is a horrible agreement," Robstello said, adding that the council must decide how long to wait for district cooperation and whether to proceed differently. He said the city could choose to press for different terms, proceed on city-funded construction, or pause until the district finalizes a more equitable cost-share.
City engineer Kim Klinkers said she had exchanged emails with the district’s general manager; Klinkers reported that the district had provided preliminary numbers and expressed interest in proportionate sharing of sewer-related construction costs. She said the district’s rough contribution tied to sewer construction items equated to about $715,000 in one set of notes, and that the district and city were pursuing a coordination meeting in early March to resolve remaining differences and produce a signed agreement before advertising the project for construction.
Council action: The council voted unanimously to table the ILA action item until mid-March to allow more negotiation and for staff to return with a refined agreement and cost-sharing terms. The council discussion noted practical alternatives such as constructing a line farther to connect to city-owned infrastructure or funding the project from city resources if negotiations stall.
Ending: Staff said they will continue coordination with the Sewer District to finalize a cost-sharing agreement and return in March with an updated ILA for council action; the council asked staff and legal counsel to press for clarity before authorizing work or advertising for bids.
