Pasco approves $62M SR‑52 utility plan and joint funding agreement; board adds grant-protection language
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Summary
County staff told commissioners the SR‑52/Old Pasco Road utility project will cost about $62 million over four phases; the board approved a joint funding agreement with developers to advance water and sewer extensions and added language preserving the county’s right to seek grant funds and to recalculate surcharges if assumptions change.
Pasco County approved a resolution and a companion joint funding agreement to extend water and sewer infrastructure along State Road 52 and Old Pasco Road to serve the Central Pasco Employment Village and surrounding development.
Adolfo Gonzalez, director of utilities engineering and contract management, presented master-plan findings and a timeline to align the utility work with an anticipated Florida DOT road-widening project. Gonzalez said the overall project will be delivered in four phases, with an estimated current cost of about $62 million. “With those water-main extensions being planned for that area, we expect to serve around 16,000 ERUs,” Gonzalez said, describing the anticipated service area and phasing strategy.
County staff told the board it would fund roughly $15 million up front for water and sewer improvements and expects to recover a portion through a connection-fee surcharge assessed to new connections; private investors/property owners have committed to finance approximately 40% of the project, and a surcharge is planned for the remainder. Commissioners asked about grant eligibility and requested language protecting the county’s ability to pursue state or federal grants without triggering adverse adjustments that would “claw back” county funds.
Property-owners’ counsel Clark Hobby and other developer representatives said they support a savings clause that allows the county to reduce the surcharge if grants reduce the county loan amount, but they warned against language that would eliminate protections for property owners or third parties who must pay surcharges to capture their fair share of the system’s cost. Counsel recommended adding a clause to the funding agreement confirming the county may pursue grants and that any grant amount would reduce the county’s loan amount and could trigger a recalculation of the surcharge.
After discussing language placement and legal mechanics, the board authorized staff to add grant-protection language to the agreement, approved the joint funding agreement with developers (total agreement amount reflected in materials as $40,722,000 for the developer funding portion), and approved the related surcharge resolution. Staff said the county will coordinate the work with the FDOT widening project to minimize disruptions and to capture construction savings by “touching the roadway once.”