Proposed deal would nearly double wastewater capacity reserved for Falcon-area properties
The 99-year agreement would reserve up to 0.59 million gallons a day for mapped eligible properties and require an annual water-quality fee based on wastewater flows and Utilities’ water-quality costs.
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Colorado Springs Utilities and the Falcon Area Water and Wastewater Authority (FAWWA) are proposing to nearly double the wastewater-treatment capacity reserved for eligible properties, from an anticipated 0.29 million gallons per day to a maximum of 0.59 million gallons per day.
The proposed agreement would replace a 2024 contract and run for 99 years from the date of the final signature. Utilities would not be required to treat flows above the daily cap.
The added capacity would apply only to properties marked “Colorado Springs Utilities Eligible” on the agreement’s Exhibit A map, not to every property in FAWWA’s service area. The agreement names the Schmidt Property and requires its connection point to be completed before Utilities provides service there. It sets no construction deadline, but requires the parties to meet annually by Feb. 15 to discuss FAWWA’s development plans and anticipated expansion timelines.
FAWWA would pay a recurring Water Quality Impact Fee, calculated and billed annually. The fee is based on FAWWA’s pro rata share of Utilities’ combined yearly wastewater-treatment flows, multiplied by Utilities’ costs for water-quality monitoring and studies and Fountain Creek watershed improvements. The agreement does not state the fee’s dollar amount.
Separately, FAWWA would owe a $25,330 wastewater regional system availability fee within 30 days after the agreement takes effect. The contract calculates that fee as the $64,390 charge for the 0.30-to-0.59 million-gallon-per-day flow range, minus a $39,060 credit for a prior payment by FAWWA’s predecessor.
The availability fee is separate from additional recovery charges for infrastructure covered by recovery agreements. The proposed contract says FAWWA had already paid $1,645,928.01 in recovery charges under the 2024 agreement. Utilities would calculate any further applicable charges, notify FAWWA and bill it within 30 days of that notice. The contract does not set an amount for further charges; it describes them generally as proportional shares of construction costs for qualifying collection lines, pumping stations and force mains.
The City Council agenda lists the proposed authorizing resolution as consent-calendar item 4B.M for consideration Nov. 10. The agreement’s 99-year term would begin on the date of the last signature.