As you are already aware, the City entered into an Interlocal Agreement with Pasco County in December of 1984 in relationship to the operation and maintenance of the New Port Richey Wastewater Treatment Facility. Eight addendums to this agreement have been subsequently entered into by the parties relating to among other things the design and construction of Phases II and III of the Plant expansion project as well as cost sharing for other related items.
The Eighth Addendum, which incidentally is provided as an attachment to this communication, specifically addresses a methodology to be applied in the event that at some point one party desires to exclusively own all or any portion of the additional land for a purpose agreed upon by the parties. The party desiring to exclusively own and use all or a portion of the land must make a cash payment to the other party equal to the other party’s pro rata share of the original purchase price of the land per acre which was $56,704.34 plus a five percent annual increase in value. In respect to the assignment of the pro rata shares between the parties New Port Richey carries 60% and Pasco County carries the remaining 40%.
With all that being said, Pasco County has indicated an interest in a 10.75 acre parcel of property that is located on the southeast section of the Wastewater Treatment Plant. The property is currently vacant and there are no future plans for its use relating to the support of the operation of the plant. The purpose of Pasco County’s interest is to construct a four-bay replacement for Fire Station #19 which is currently situated on Cross Bayou.
Using the above mentioned methodology, the total amount due to the City from Pasco County calculates to $818,289.64.