Developers will cover 80 percent of the cost of a Town of Clayton sewer-line extension.
The Town Council on Monday signed agreements with two developers, whose subdivisions will add hundreds of homes on the north side of Clayton.
Together, the developers will pay $941,000 of the $1.18 million cost of the Sam’s Branch Phase II sewer-line extension, which will serve both neighborhoods. Construction will likely begin in the fall.
Developers routinely pay for infrastructure near their planned subdivisions. However, Town Manager Steve Biggs said the deals signed Monday are part of a somewhat new approach in which the town orchestrates the deal among the different parties.
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In the past, developers have sometimes struggled to cooperate when completing infrastructure improvements in the same area, Biggs said. This time around, the town took the lead by coordinating with the different developers and drawing up the agreements.
That required more work for the town; however, Biggs said the extra effort will ensure timely construction and a good product.
“It’s important we maintain control of the process,” he said.
Developer Reid Smith of Clayton, who is building the 330-unit ParkView subdivision on City Road, will pay about $355,400 toward the 6,600-foot extension, according to one of the agreements.
Everland-Lee LLC, which is planning a mixed-use subdivision near the intersection of Shotwell and Covered Bridge roads, will pay about $586,000, according to the other agreement.
In return, Clayton will reserve about 82,500 gallons of sewage capacity for ParkView and about 63,107 gallons for Everland-Lee.
After the line extension is finished, both companies would be eligible for reimbursement from sewer acreage fees collected by the town, according to the agreements.
The project will extend westward an existing line that ends at North O’Neil Street near the Sam’s Branch Greenway trail-head. It will run past the two neighborhoods and end at the so-called Creech tract, where Everland-Lee will build its planned subdivision.
The town will award the $1.18 million contract to J.W. Wilkerson Construction, Biggs said. The town manager hopes construction will start in September and take eight to nine months to complete, assuming good weather.
The sewer-line extension was supposed to serve Steeplechase, a proposed 2,200-home subdivision. However, the deals approved Monday don’t include Steeplechase.
The Clayton Town Council has been considering Steeplechase for months after Wakefield Development Co. proposed the sprawling subdivision last fall. After tabling a scheduled vote for two months so the landowners and developer could work through “issues,” the Clayton Town Council agreed in July to delay the vote again until Aug. 17.
Town staff say Wakefield Development is no longer involved in the project. The landowners have not responded to requests for comment.
Town Manager Steve Biggs said the town is not communicating with any other developer, and the landowners are evaluating the benefits of getting approval on their own. Biggs said he expects the Steeplechase application to be withdrawn on Aug. 17.