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CAPTION:


A PLAN TO REGIONALIZE WASTEWATER TREATMENT IN NORTH CLACKAMAS COUNTY


QUESTION:


Shall the voters accept the Clearwater Project to consolidate wastewater treatment in a single facility over the next ten years?


SUMMARY


The Board of County Commissioners approved the Clearwater Project on September 1, 2005.  The goal of the Clearwater Project

is to optimize the efficient and effective treatment of wastewater in north Clackamas County while reducing ratepayer costs for

the long term.  The Clearwater Project will regionalize wastewater treatment services for the partner jurisdictions of Gladstone,

Happy Valley, Johnson City, Milwaukie, Oregon City and West Linn, and a large unincorporated area of Clackamas County.


The Project calls for the consolidation of wastewater treatment at an expanded Tri-City facility in Oregon City.  The Project will

provide significant community benefits, including the removal of the Kellogg Creek Plant which will allow for development of

that area.  The Project requires rate increases for the twenty-five year life of the Project, which are estimated at 8% for each of

the first five years, tapering off to estimated increases of 1% for each of the final eleven years of the Project.  The rate increases

will approximate the estimated rate of inflation assumed for the total life of the Project.

When you file a referendum to challenge a county board order, there are certain election

laws that you must follow.  Since this is a referendum and not an initiative, the actual

language of the board order becomes the legal language of the referendum. Election law

further states that the ballot title shall not be biased.  The following is a ballot title we

received from John Foote, the district attorney and since it is so miss-leading, we will have

to challenge his ballot title in circuit court. This will cost us about $2700.00 in attorney and

filing fees and be just another attempt by the county to stop the Citizens from voting in

Clackamas County Service District #1.

This the factual ballot title we wrote following the rules and word count limit.  We will be

taking the following ballot title to court on Nov. 10, 2005 in the Oregon City:

(Area in red goes to the election dept and is not part of the ballot title)


CAPTION:

Refers adoption of the Clearwater implementation plan and rate tables


QUESTION:

Shall the voters accept the Clearwater plan and rate increase for CCSD#1?


RESULT OF "YES" VOTE: "Yes" vote authorizes the Clearwater plan and rate tables.


RESULT OF "NO" VOTE: "No" vote rejects the Clearwater plan and rate tables.


SUMMARY:

The Clearwater plan calls for the consolidation of two sewage treatment plants into one by expanding the

Tri-Cities plant and demolishing the Kellogg treatment plant. The plan calls for expanding and modifying

the sewage collection system, and installing a pressurized sewage pumping system from Milwaukie to

Oregon City.  Included within the plan are several "Intergovernmental Agreements" that call for special

service rates for some cities, hosting fees, waterfront and streetscape developments.


ESTIMATE OF FINANCIAL IMPACT:

The plan will cost $1.7 billion over the next 25 years and be paid for by system development charges, user

fees, and monthly service rates. Ten bonds shall be issued valued at $243 million. Interest is estimated at

$145 million, making the total bond indebtedness of $388 million. The last bond will be paid off in 2045.

If interest rates or construction costs exceed plan projections, incurred costs will be paid for by the people

of the district. If this Referendum fails, the county will adopt the Tri-Cities 'Master Plan' and build a

smaller plant in Oregon City for new growth in both districts.