Title
Consider and take action on a resolution authorizing an Interlocal Agreement between Dickinson Water Control and Improvement District (WCID) and the City of League City, Texas (611 FM 517 Rd West), for temporary sanitary sewer services (Director of Public Works)
Background:
Approval of this item will authorize an Interlocal Agreement between Dickinson Water Control and Improvement District (WCID) and the City of League City for the provision of temporary sanitary sewer services to the property located at 611 FM 517 Rd West.
WCID recently initiated discussions with the City to evaluate and potentially eliminate out-of-district water and sewer connections along the FM 517 corridor. This effort is tied to WCID’s upcoming utility improvement bond project, which resulted in increased out-of-district service charges for applicable businesses in the area. Historically, WCID has served approximately five commercial accounts along FM 517 Rd West between FM 646 and the City’s eastern boundary. These accounts were originally ineligible for City services due to the absence of nearby City water and sewer infrastructure. The property at 611 FM 517 Rd West is one of three commercial accounts identified for possible service transfer.
Sutherland’s Lumber, located at 611 FM 517 Rd West, has received sanitary sewer service from WCID since its establishment around 1982. From 1982 to 1998, both water and sewer services were provided by WCID under the Dove Meadows Service Agreement. In 1998, the City began providing both services to all accounts covered under that agreement, including water service to Sutherland’s. However, unbeknownst to either party, the sewer connection at Sutherland’s remained connected to WCID’s sanitary sewer infrastructure. This connection remains active today. The City has reimbursed WCID for the sanitary sewer services for the aforementioned time period (1998 - present) in the amount of $14,857.56.
Currently, Sutherland’s is permanently closed but maintains an active water and sewer account with the City. The proposed agreement seeks to formally acknowledge and authorize the continued sewer service by WCID on a temporary basis, addressing the oversight from 1998.
To minimize the cost associated with extending the new sanitary sewer infrastructure, City staff proposed that WCID continue providing sewer service "as-is" until the property is sold, redeveloped, or otherwise changes ownership or use.
Under the agreement:
• WCID will continue providing sewer service and bill the City monthly based on water usage provided by the City.
• This temporary arrangement will remain in effect until one of the following occurs:
1. The property is reopened under new ownership or lease
2. The property is redeveloped
3. There is a significant impact to WCID’s sewer line capacity
This Agreement shall become effective upon the date of execution by both parties and shall continue unless and until terminated in writing by mutual agreement of the parties. The District agreed to waive Out-of-District Customers (ODC) charges based on current service volume but will reimplement ODC charges if volume increases and service is extended beyond a reasonable time period.
The City Attorney has reviewed and approved the agreement as presented. WCID’s Board of Directors reviewed and approved the proposed agreement during their meeting on August 11, 2025.
Attachments:
1. Proposed Resolution
2. Exhibit A - Interlocal Agreement
3. FM 517 Corridor Utilities Map
CONTRACT ORIGINATION: Agreement has been reviewed by City Attorney’s Office
FUNDING
{X} Funding is available in Wastewater - Water Contract Purchases account 10207500-53910
STRATEGIC PLANNING
{X} Addresses Strategic Planning Critical Success Factor #1 - Develop and Maintain our Infrastructure