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Commission approves county MOU to extend water, sewer lines on Halifax; $3.2M wastewater investment pledged
Summary
Oak Hill approved a memorandum of understanding with Volusia County to extend sewer along Halifax Avenue and add a water main loop; the county pledged $3.2 million for wastewater work and agreed to inspect construction, but residents pressed for stronger on-site oversight after problems on an earlier project.
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The Oak Hill City Commission voted unanimously to approve a memorandum of understanding with Volusia County to bring sewer and a county-built water main into the Halifax Avenue corridor, a project county officials said will improve pressure and system redundancy.
Mike Oliver, Volusia County water-resources/utilities director, told the commission the county is committing approximately $3,200,000 for the wastewater portion and will construct a water main that completes a loop from East Halifax back up U.S. 1 to the fire station. "This will be a full loop," Oliver said, and he described the project as improving water pressure and operational resilience for existing homes and future growth.
Residents and commissioners pressed officials about construction oversight and the lessons from Indian Harbor Estates, where earlier utility work led to service interruptions and property damage. Neil Bonds, a River Breeze resident, said the prior contractor’s work led to multiple utility cuts and injuries and demanded "a responsible party" be assigned to oversee work in the field. The county and city attorney said the MOU contemplates county inspections of construction; the city attorney pointed to Section 3.c of the draft agreement that assigns inspection responsibility to county inspection staff and requires reporting of deficiencies to the city.
Commissioners discussed connection fees and incentives; the county director said it typically considers waiving or incentivizing connection fees during the first year to encourage hookups and noted grant money helped pay for abandonment of septic tanks in prior projects. Commissioners also discussed future needs for a ground storage tank — staff estimated between 500,000 and 1,000,000 gallons and roughly five acres for a site — and said acquisition or rental options will be pursued later.
The commission moved to approve the MOU with the understanding the county will present the final interlocal/contract details at bid award stage, including explicit inspection and oversight clauses. The agreement will go to Volusia County Council for separate consideration; the city’s vote authorizes staff to proceed with the MOU as negotiated.
Next steps: the county will read bids (bid date cited as May 20 in staff remarks), the city will review the bid package, and commissioners said they expect clear contract language specifying who will be accountable on-site during construction.

