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Board approves four extraterritorial sewer-service agreements to extend city sewer to nearby county tracts
Summary
The board approved four extraterritorial service agreements to extend sewer service to properties outside city limits: Trophy Properties LLC (Oakdale & Acres), Matheny Tract (grant-funded, ~256 north/80 south households), Lone Oak (≈40 lots) and Soltz (≈35 lots); LAFCO filings and grant conditions were discussed.
City staff presented and the board approved a package of extraterritorial sewer-service agreements (ESAs) to allow the city to extend sewer services to properties outside city limits.
Mario (identified in the meeting as a city staff presenter) described four separate ESAs. The first request, from Trophy Properties LLC, would provide sewer service to a proposed mixed-use development at the southwest corner of Oakdale and Acres and allow staff to coordinate with the county and pursue Local Agency Formation Commission (LAFCO) proceedings if approved. Mario said the owner is willing to annex eventually but noted that contiguity is required for annexation eligibility.
On the Matheny Tract, Mario said the county and nonprofit partners helped secure a State Water Resources Board grant to offset connection costs. He said the project covers the Matheny community boundary in a master extraterritorial agreement and that households would opt in voluntarily; he gave a schedule with design documents over the next year, construction award in early 2027 and completion by early 2028. Mario and other staff said the grant covers connection fees and septic abandonment costs now, and that there is "no cost to the city" for the construction. Staff estimated Matheny includes about 256 households in North Matheny and about 80 households in South Matheny.
Two smaller ESAs were also approved: the Lone Oak tract (about 40 residential lots) and the Soltz Tract (about 35 residential lots). Staff described Lone Oak as part of the city's longer effort to eliminate county-developed islands that lack infrastructure.
Board members asked whether the city had capacity to accept the flows; staff replied that they can convey the additional domestic flow and that the Matheny work involves routing a new line to the plant and identifying connection points. Board members also discussed annexation timing; one member said the property near Oakdale and Acres is not currently contiguous and that annexation, if it occurs, is a multi-year prospect ("within the next 3 to 5 years," a board member said, described as a guess).
All four ESAs were approved following motions and vocal votes. Staff will work with the county and LAFCO as needed and proceed with grant-funded construction for Matheny under the current grant conditions.
