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Oral Communications - Item 2 (continued) 2. Chris W. Papalias, 561 Diamond, South San Francisco, property owner of 741 Temescal Way, provided evidence to substantiate his statement that he had reason to believe he would be able to enter into a refunding agreement with the City for reimbursement of the costs of a necessary water line to his property which he is installing. Mr. Papalias said that last week he was told that the City Attorney has advised the City not to enter into any such agreements. He urged the City to approve an agreement with him so that he can afford to proceed with construction of his home. City Attorney Schricker reported that the Water Department regulation permitting a water line reimbursement agreement has been contested in court and is on appeal. Therefore, he recommends the City not enter into any such agreement until the matter has been resolved. Mr. Schricker offered three alternatives for proceeding without such an agreement: 1) to regard the cost of the line as a usual construction cost, with the individual who needs it funding the project; 2) to attempt independently to have the prospective beneficiaries of the water line enter into a private agreement to share the expense of construction; and 3) to establish an assessment district for the needed improvements, if it is economically feasible. In further response to question, Mr. Schricker said that his recommendation against entering into a water line reimbursement agreement is both because of the pending issue of legality and because of the policy question relating to the possibly disproportionate cost to the City of administration of such agreements in relation to any benefits received. CONSENSUS: Mayor Britschgi determined it to be the consensus of Council to accept the offer of City Manager Smith to contact the people in the Temescal Way area who are prospective beneficiaries of the water line and point out that it may be in their collective best interest to share the cost of the line and that he will communicate further with Mr. Papalias. Mr. Smith said he will report back next week. (March 10th) (1204 -01) MEMO 3/7/86 ---------------------------------------------------------------------------- - - - - -- REPORTS OF BOARDS, COMMISSIONS AND COMMITTEES None ---------------------------------------------------------------------------- - - - - -- REPORTS OF CITY MANAGER 4. Municipal Financing Reports of City Manager 2/24/86 Titles read. M /S: Chandler /Stangel a. RESOLUTION NO. 10151 APPROVING AND AUTHORIZING EXECUTION OF AGREEMENT FOR SPECIAL LEGAL SERVICES IN CONNECTION WITH FINANCING CERTAIN PROPOSED CAPITAL IMPROVEMENTS (FIRE STATION, LIBRARY, CITY HALL PROJECT) (702 -02) adopted; and Reg.Mtg. 3/3/86 MINUTE BOOK NO. 46 Page 5 Page No. 188