EDC directs staff to include $600,000 GVSUD sewer payment in FY27 budget

EDC staff told the board that, under a 2024 settlement with GVSUD, a $600,000 payment for a Bolton Road sewer line extension is due and that the corporation’s fund balance can cover the one-time cost. Staff recommended including the amount in the FY27 Type B fund budget; the board signaled agreement and directed staff to coordinate with the city manager’s office and finance director on timing and budgeting.

Presenters noted the payment is a one-time obligation under the settlement and that Type B funds are an allowable use for infrastructure that supports economic development. Board members argued in favor of funding the work now to lock in current unit prices and to avoid repeated disruptions from tearing up Bolton Road multiple times. Staff noted GVSUD’s current estimate—about $155 per linear foot for roughly 3,900 linear feet—and cautioned that future price increases could raise the cost if the city delayed.

The action recorded in the transcript was direction to staff rather than a formal roll‑call or ordinance vote: staff reported the board’s agreement to include the $600,000 in the FY27 budget and to pursue coordination with GVSUD, GV SUD’s general manager and the engineer to optimize timing and reduce duplicate construction.

Why it matters: The sewer improvement serves the community’s primary growth corridor and could enable future employer recruitment and development along Bolton Road; funding it from fund balance reduces the need for future incentives tied to development in that area.

What’s next: Staff will report back to the city manager and finance director and incorporate the $600,000 as a one-time line in the FY27 budget materials presented to the board in July.