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System Capacity In a phone conversation in July, 2001, with City's Consulting Engineer, I was told that of the 100% available capacity of a 201 system (measured in gallons per minute,) 75% can be used to meet the needs of the homes connected to the system and the remaining 25% should be held in reserve. According to all of the information provided by Staff dating back to July, 2001, the 32nd St. 201 System is at 50% capacity, but it has no additional capacity for new connections resulting from new construction. The information provided in Section 700.04.2.B.2 states that a new connection will be permitted for new construction "if capacity is available over what is needed to accommodate all of the existing structures," It makes no reference to reserving capicity for remodeling or additions to those existing structures. On October 16, 2001, the City approved a new connection to this system for a newly constructed home with 2 bedrooms. Service Area The term service area is new to this discussion. It appears to be based on assumptions made by Staff and on the maps and diagrams presented here tonight. I have found no references to a 201 System service area in Section 700 of the Municipal Code. If a policy regarding service area exists, Staff would have been able to advise me in July, 2001, that my lot was not included in that service area. City Policy Regarding 201 Systems On September 25, 2001, I requested copies of all documents pertaining to 201 Systems in the City, and on November 6, 2001, my attorney requested the City's written policy regarding a new connection to the 201 connection. We hoped that an effective written policy would clearly define the circumstances under which a new connection would be permitted. We were directed to Section 700.04.2.B.2 which doesn't clearly address this matter. Conclusion The written and verbal information provided by Staff in this matter has often been ambiguous, misleading, and contradictory. I believe Staff is using my request to make policy and in the process deny my request. In addition, the City appears to be reserving capacity in the 32nd St. 201 System for selected homeowners without the benefit of an effective written policy. In the past, the City has accommodated other residents in unique situations. I believe this is a unique situation. I am seeking a similar accommodation by asking you to set aside the recommendation before you and approve my request. If, after thoughtful consideration, you choose to deny this request, I am asking you to direct City Staff to provide, in a timely manner, concise and accurate information necessary to meet my goal to develop my lot. Page 2