HomeMy WebLinkAbout4035 ETA Policy Update for Class 2 Cost RecoveryRESOLUTION 4035
A RESOLUTION OF THE CITY OF MOSES LAKE REPEALING AND REPLACING
RESOLUTION 4013 REGARDING EXTRA TERRITORIAL AGREEMENTS
Recitals:
1. The City of Moses Lake City Council adopted Resolution 4013 establishing an
Extra Territorial Agreement (ETA) Policy.
2. The City of Moses Lake City Council has determined that the costs of Class 2 and unclassified ETA requests should be borne by the applicant.
3. The City of Moses Lake City Council wishes to repeal Resolution 4013 and
replace it with Resolution 3024 to reflect that change.
NOW, THEREFORE, THE GOVERNING BOARD OF THE CITY OF MOSES LAKE
TRANSPORTATION BENEFIT DISTRICT DOES RESOLVE AS FOLLOWS:
Section 1. Repeal. Resolution 4013 is hereby repealed in its entirety.
Section 2. Adoption. This Resolution No. 4035 is hereby adopted to update the City’s
ETA Policy, attached as Exhibit A and incorporated as if fully set forth herein, to ensure that the actual costs of a Class 2 or unclassified ETA application are borne by the
applicant.
Section 3. Effective Date. This resolution shall take effect and be in full force
immediately upon passage by the Council.
ADOPTED BY THE MOSES LAKE CITY COUNCIL this 24th day of March, 2026.
____________________________________________
Dustin Swartz, Mayor
ATTEST:
____________________________________
Debbie Burke City Clerk
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Extra Territorial Agreement
(ETA) Policy
Resolution 403513
Effective 07.08.202503-24-2026
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ETA Policy
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Contents
Preamble ....................................................................................................................................................... 3
Principles and Requirements for Providing Water and Wastewater Utilities in the Urban Growth Area ... 3
Water ........................................................................................................................................................ 3
Wastewater ............................................................................................................................................... 4
Annual Deadlines .......................................................................................................................................... 5
ETA Application and Evaluation .................................................................................................................... 6
Definitions ............................................................................................................................................... 1110
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Preamble
The City of Moses Lake is the primary purveyor of water and wastewater services within the city
limits. Historically, the City Council has elected to extend water and wastewater services within the
City’s Urban Growth Area (UGA) pursuant to an Extra-Territorial Utility Extension Policy (ETA Policy)
which sets forth the discretionary terms and conditions of such utility extensions. The City’s first
responsibility is to its existing ratepayers and customers within the city limits. The City must
ensure that existing water and wastewater infrastructure is adequately maintained and that
system capacity for its existing residents and businesses is ensured for the long term. The city
does not hold itself out as the sole or primary water purveyor in the UGA and recognizes that
other water purveyors provide water service within the UGA.
The Growth Management Act encourages growth within city limits and urban growth areas. The
City also encourages growth within the City and the UGA to increase the local housing inventory
and allow for more primary industry employers. Allowing for more housing units to be built is
essential in preventing housing unaffordability and keeping pace with the growing population.
Encouraging and facilitating primary industry lifts and diversifies Moses Lake’s economy, brings
in family-wage jobs, and provides economic mobility for our residents.
Principles and Requirements for Providing Water and Wastewater
Utilities in the Urban Growth Area
To assist with housing and job growth, the City can choose to provide water and wastewater
utilities to new development in the UGA, either through annexation or what is known as extra
territorial utility extension agreements or ETAs. ETAs are contracts through which the City can
choose to provide water and/or wastewater utilities in the UGA without concurrent annexation
and subject to additional conditions of service.
Water
The City recognizes the region’s limitations on and value of potable water. While the City
continues to improve its system capacity through water conservation efforts and the
acquisition of new water sources, providing water for new housing and business development
in the UGA must be done carefully and according to the following primary principles and
requirements:
1. The city water system has sufficient capacity to serve the added development without
causing negative service impacts or disruption to existing customers both within the city
limits and in the UGA.
2. The City will provide potable water only. ETAs and new connections in the UGA will not
allow the use of City water for irrigation. Therefore, before the City will provide potable
water for new development in the UGA, the developer must adequately demonstrate in
writing and to the City’s satisfaction that they can acquire water for irrigation from a
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reliable source. As a condition of the service agreement, the City will acquire the legal
authority to access and inspect the receiving property throughout the term of the
service contract to ensure irrigation is not connected to the City’s potable distribution
system. Violation of this condition shall be enforced pursuant to City ordinance and
shall include the City’s right to terminate water service upon discovery of an
unauthorized connection or a property owner’s refusal to permit City inspection, in
addition to fines and injunctive relief.
3. The City will charge the necessary application fees, system development charges,
connection fees, capacity reservation fees, and rates to recover its long-term costs for
providing water service in the UGA. Developer will pay for the installation of the
necessary infrastructure to reach their development and provide service – this may
include, but is not limited to, main lines, lateral lines, service lines, storage, system
upgrades/upsizing, and all associated service connections. Infrastructure requirements
are dependent upon the development proposed and may be onsite or offsite– City staff
will identify the needed improvements based on plans submitted for review. Failure to
supply sufficient plans may result in a delay in determination of required improvements.
City may, at its sole discretion, conduct a rate study to adequately determine the cost of
providing water in the UGA at the sole cost of the developer.
4. Property owner shall agree to grant the City power of attorney on its behalf to sign an
annexation petition for the UGA properties being served, should annexation be
considered in the future.
5. Limited Connection Window – as part of the application for service, the property owner
must pay any required fees, rates, and costs as established by the City including a non-
refundable capacity reservation fee, execute an ETA, and comply with the terms of the
ETA which shall establish a deadline for connection to the City potable water system for
the allocated and reserved Equivalent Residential Units (ERUs). Failure to meet that
deadline will result in termination of the ETA and capacity reservation and any
letter(s)/certificate(s) of water availability will be rescinded. All fees paid by property
owner are non-refundable.
Wastewater
1. The wastewater system must have sufficient capacity to serve the added development
without causing negative service impacts or disruption to existing customers both within
the city limits and in the UGA.
2. The City will charge the necessary system development charges, connection fees, and
rates to recover its costs for providing wastewater service in the UGA. Developer will
pay for the installation of the necessary infrastructure to reach their development and
provide service – this may include, but is not limited to, mains lines, lateral lines, lift
stations, service lines, system upgrades/upsizing, and all associated service connections.
Infrastructure requirements are dependent upon the development proposed and may
be onsite or offsite – City staff will identify the needed improvements based on plans
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submitted for review. Failure to supply sufficient plans may result in a delay in
determination of requirement improvements. City may, at its sole discretion, conduct a
rate study to adequately determine the cost of providing wastewater service in the UGA
at the sole cost of the developer.
3. Property owner shall agree to grant the City power of attorney on its behalf to sign an
annexation petition for the UGA properties being served, should annexation be
considered in the future.
4. Limited Connection Window – as part of the application for service, the property owner
must pay any required fees, rates, and costs as established by the City including a non-
refundable capacity reservation fee, execute an ETA, and comply with the terms of the
ETA which shall establish a deadline for connection to the City wastewater system for
the allocated and reserved ERUs. Failure to meet that deadline will result in automatic
termination of the ETA and capacity reservation and any letter(s)/certificate(s) of
wastewater availability will be rescinded. All fees paid by the property owner are non-
refundable.
Annual Deadlines
Annual Deadline Action/Item Due
September 15 System models are updated and available ERUs are provided to
City Council; ERU capacity will be provided by zone with a
projection for the next 5 years. Any vested development in the
permitting pipeline will also be provided and subtracted from
available capacity.1
November 1 Semiannual application deadline #1: ETA applications for
consideration of allocation in December of same year.
First City Council
Meeting in December
(but no later than
December 15)
Staff will bring forward to Council all applications for
approval/denial
January of the Following
Year
Construction Management will execute ETA with property
owner(s) for approved applications.
Community Development will begin Developer Agreement
negotiations (if applicable)
May 1st of the Following
Year
Semiannual application deadline #2: ETA applications for
consideration in June of current year. Number of ERUs available
will be calculated using the previous September’s original
1 Identifying vested ERUS for permits in the pipeline for previous two years will take additional staff time to
compile as historically the water availability letters/certificates were not required for all permits.
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allocation less any allocations for development within city limits
or the UGA since that date.
In the UGA the permitting authority is Grant County – not the City of Moses Lake – making it
more difficult to monitor and ensure fees are paid prior to construction beginning. As such,
staff recommend that ETA applications require payment of all associated fees (i.e. connection
charges, system development charges, capacity reservation fees, etc.) as outlined in the policy
at the time of ETA application.
Additionally, staff support City Manager approval authority for any ETA application that is
accompanied by a Grant County Health District public health emergency hookup request and
proposed connection is within 660 feet of an existing main line. For any connection that
requires extension of infrastructure to provide service, that cost is the sole responsibility of the
applicant.
ETA Application and Evaluation
ERU allocation relies on the City of Moses Lake utility system models. The system models utilize
the data from our installed infrastructure to estimate and evaluate the effects of new
development(s). The estimates do not guarantee fire flow or available source and cannot be
construed as a guarantee. Our model will require annual, ongoing, maintenance as new
sources are brought online, new infrastructure is installed, and environmental conditions
fluctuate to ensure ERU allocation in the UGA does not put the City at risk of service disruption
to existing customers both inside the city limits and the UGA.
Annually, staff will provide City Council with the projected system capacity for five years, by
zone (factoring in connected zones). Available zone capacity will be reduced by vested
development in the permitting pipeline.2 The City shall only allow UGA potable water
connections, as such, UGA allocations will be based on an average daily demand of 200 gpd.
UGA development will be required to bring an alternative irrigation source for any non-potable
use. If/when more sources or capacity become available, the City, through its modeling, will
recalculate annual allowed new connections in the UGA.
Step 1 – Application:
2 Identifying vested ERUS for permits in the pipeline for previous two years will take additional staff time to
compile as historically the water availability letters/certificates were not required for all permits.
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The applicant formally makes a request for City water and/or wastewater for specified parcels
outside of the corporate limits by a letter from the property owner(s) to the Public Works
Director. The letter shall include a narrative and conceptual site plan that describes the
numbers of residential units to be served, commercial uses to be served, or industrial process
volumes and fire flows to be served. The applicant shall include all materials as required by staff
to review the request and as required by city ordinance or this policy.
Upon submission of a complete application as determined by the Public Works Director for a
Class 2 or unclassified request, further review and evaluation by staff, including staff’s time
spent processing the application through Steps 3A-5B below, including drafting, reviewing, and
editing any documents, shall be conditioned on applicant’s payment of a processing fee in the
amount of $ 2,500.00. The actual costs of staff time (including city attorney) shall paid out of
the processing fee. Should processing fees exceed the initial amount, applicant shall be
required to deposit additional sufficient funds to cover remaining processing. Should
processing fees be less than the initial amount, the City shall refund the excess funds to the
applicant.
Step 2 – Evaluation:
Staff reviews the formal requests and classifies them based on the criteria below:
CLASSIFICATION DESCRIPTION
CLASS 0
IN/ABUTTING CITY
LIMITS
The parcel(s) are contiguous (touching/abutting) to existing corporate limits of
the City. Water and/or wastewater mains have already been extended to the
area and tapping into the main by a lateral is all that is required for connection.
These requests for water and wastewater will require annexation as part of
service. Irrigation by means other than City potable water is preferred. No ETA
to be issued. Applications accompanied by a Grant County Health District
public health emergency hookup request may have an ETA executed while the
property owner works through the process of annexation.
CLASS 1
PUBLIC HEALTH The parcel(s) are not contiguous to existing corporate limits of the City.
However, the application is accompanied by a state or local agency public
health emergency hookup request. Water and/or wastewater mains have
already been extended to the area and tapping into the main by a lateral is all
that is required for connection. Irrigation by means other than City potable
water is required.
Residential Lot Example: An existing home in the UGA has water from a well
and a septic system. The existing septic system fails, and the Department of
Health declares it a public health emergency and refers them to the City to
connect. There is an existing main along the frontage of the property and the
resident can tap into the main for their service line.
CLASS 2
SHORT EXTENSION The parcel(s) are not contiguous to existing corporate limits of the City.
However, the parcel(s) have a short, developer provided, water extension,
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sewer extension, and/or reservoir placement, with extensions of 0-660FT (1/8
mile) to connection point, with no pressure or fire flow capacity issues.
Consideration shall be given if parcels are touching or abutting other parcels
that are contiguous to existing corporate limits but not yet annexed and
developer can secure commitment by those parcel(s) to annex to the City,
thereby rendering this a Class 0 application. Irrigation by means other than City
potable water is required.
Residential Lot Example: New house in UGA has City water main on their
frontage street and they are requesting water service. An existing home with a
failing septic system, has sewer main on their frontage street and they are
requesting sewer service. Property owner/developer will be required to
complete main extension to their property and install service line at their sole
cost.
Applications for utility connection within the UGA, that cannot be classified as outlined above
(herein, “unclassified request”), will be evaluated and presented to City Council for
consideration as detailed in Step 3B (below).
Step 3A – Classified Request Staff Processing:
If the request for connection can be classified as 0, 1, or 2 as outlined above, staff shall contact
the applicant and request they complete the application process by furnishing any required
documents not already provided. This may include, but is not limited to, materials required by
staff and any applicable ordinance, Extra Territorial Agreement Form, and this ETA Policy. Staff
will review the application and prepare a Staff Report which includes a narrative analysis,
proposed conditions of approval, and staff recommendation for the City Manager.
Step 3B – Non-classified Request Staff Processing:
For applications that do not meet the classification criteria to be considered a class 0, 1, or 2
application, staff will review the application based on Principles and Requirements for Providing
Water and Wastewater Utilities in the Urban Growth Area previously identified in the policy,
addressing system capacity concerns (if any), fees required, and questions/concerns/comments
pertaining to the specific application. A summary report is created to be provided to Council
with the application for consideration of ERU allocation – which includes narrative analysis,
proposed conditions of approval, and staff recommended action. Any requests for more than 1
ERU may be required to complete a Development Agreement addressing the required
improvements, phasing/timing, deadlines, etc., or have similar language included in their ETA.
Step 4 – Council Action / ERU Allocation:
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Council reviews the Staff Report and associated application materials for approval
consideration of the Extra Territorial Agreement presented.
Priority ERU allocation will be given to applications classified as 0, 1, and 2, in that orde,r and
will be approved or denied by the City Manager.
For requests that do not meet those classifications, City Council will determine ERU allocation
by reviewing the staff summary report and will consider reasonable criteria such as:
Distance from the City limits,
Distance from existing water/sewer infrastructure,
Impact on City services and road network,
Percentage of available capacity to be used by the development,
Council’s determined need for certain types of development to meet the needs of the
City. For example, Council may give higher priority for a proposed development that
includes primary industry that diversifies the City’s employment. As another example,
the City Council may place a higher priority on housing types that are needed to keep
pace with job and population growth.
Consistency with the City’s Comprehensive Plan, Water System Plan, Sewer System Plan,
and other relevant long term planning documents.
Capacity by zone or connected zones – considers pressure and source dependency
between zones
Known or projected new development within zones (will require Community
Development to supply data regularly)
Step 5A – ETA Not Processed:
If the City Council denies the application, staff will inform the applicant of the denial and take
no further action.
Step 5B – ETA Finalization:
With Council approval, the applicant shall pay any outstanding fees and staff will prepare the
ETA forms, along with any conditions of approval, for the City Manager and property owner(s)
signatures. Required Development Agreements must be negotiated and executed prior to/in
conjunction with signing the ETA. The ETA will then be recorded with Grant County and the
corresponding covenant will run with the land in perpetuity unless otherwise lawfully
terminated. Applicant must return the signed ETA to Construction Management within 45 days
of the date of Council ETA approval. Failure to return by the deadline will result in loss of
allocated ERUs unless the applicant has obtained Council approval for an extension.
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ETA Inaction and Returns:
Any formal commitment given by the City to provide water and/or sewer utilities outside the
corporate limits of the City shall remain in effect for two (2) years. Within the two (2) year
commitment period, the terms of the ETA must be met, through service connection and/or
meter installation, or it terminates without further consideration by the City. The terminated
ETA shall be returned to the landowner and the City will record a release of the covenant. The
ERUs will become eligible for use on other developments in the current year within city limits or
the following year for UGA allocation.
ETA Exemptions (carried over from Resolution 3717):
1. Property which contains a county-owned and operated agricultural fair as defined by
RCW 36.37 (currently the Grant County Fairgrounds located at Valley Road and Airway).
2. Property owned and operated by the Port of Moses Lake as of February 27, 2018.
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Definitions
Application Number – a number assigned by the City’s portal system. This identifier allows for
applications to be referenced without providing full developer/development name.
Development – any proposed plat, subdivision, binding site plan, or building permit request for
single family residential, multifamily, commercial, or industrial uses.
Development Agreement – a voluntary contract between a local jurisdiction and a person who
owns or controls property, detailing the obligations of both parties and specifying the standards
and conditions that will govern development of the property; although the agreements are
voluntary, once made they are binding on the parties and their successors.
Equivalent Residential Units (ERU) – one ERU represents the amount of water used by one
single-family residence for a specific water system. The demand of other customer classes can
be expressed in terms of ERUs by dividing the demand of each of the other customer classes by
the demand represented by one ERU. ERUs in the UGA are considered to have an average daily
demand of 200 gallons per day (gpd) since City water shall only be supplied for potable use.
Lateral – branch line extended off main line to serve more than one single-family residence.
Potable Water – water that is safe for consumption and meets state and federal standards; can
come from surface or ground sources and is treated for various contaminants.
Property Owner – means the property owner(s) and its authorized legal representative(s).
Service Connection – service connections create a potential for service and do not necessarily
result in immediate meter installation; service connections are typically one per single family
residence or multifamily unit.
Supply – water that is delivered to a water system by one or more supply facilities that may
consist of supply stations, booster bump stations, and wells.
Storage – water that is “stored” in a reservoir to supplement the supply facilities of a system
and provides water supply for emergency conditions.
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REF. NUMBER
KVCT2-SN93C-PBPHX-GHYZJ
DOCUMENT COMPLETED BY ALL PARTIES ON
31 MAR 2026 19:10:05
UTC
SIGNER TIMESTAMP SIGNATURE
MAYOR DUSTIN SWARTZ
EMAIL
DSWARTZ@CITYOFML.COM
SENT
30 MAR 2026 20:50:42
VIEWED
31 MAR 2026 15:33:21
SIGNED
31 MAR 2026 15:33:44
IP ADDRESS
104.193.239.74
LOCATION
MOSES LAKE, UNITED STATES
RECIPIENT VERIFICATION
EMAIL VERIFIED
31 MAR 2026 15:33:21
DEBBIE BURKE
EMAILDBURKE@CITYOFML.COM
SENT
30 MAR 2026 20:50:42
VIEWED
31 MAR 2026 15:30:01
SIGNED
31 MAR 2026 19:10:05
IP ADDRESS
63.135.54.162
LOCATION
MOSES LAKE, UNITED STATES
RECIPIENT VERIFICATION
EMAIL VERIFIED
31 MAR 2026 15:30:01
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