County to purchase wastewater treatment plant from developer

DAYTON -- After resolving a dispute over $126,000, Lyon County officials have agreed to purchase a $1.7 million waste-water treatment plant expansion from a Dayton Valley developer.

In August, Lyon commissioners balked at making a decision on developer Joe Wade's offer to sell the South Dayton Wastewater Treatment Plant expansion to the county when he insisted $26,000 in accrued interest be included in the certified costs of constructing the project.

Wade withdrew his demand after negotiations with the county.

The plant purchase will cost the county $1.27 million, to be recouped in future hookup fees. The developer reserved 165 hookups for future homes and businesses, which reduced the county's costs by $504,075.

Dayton Utilities Director Mark Clarkson said negotiations were congenial and complimented Wade, chief executive officer of Dayton Valley Investors and owner of properties surrounding the Dayton Valley Golf Course, for his cooperation with county staff.

"They have developed a very good plant. We have worked hand in hand with their contractor and engineer," Clarkson told the board.

Clarkson said the plant is sending 108 acre-feet per year of reclaimed water to the golf course.

The county's payment will be in one lump sum, amending the original agreement requiring the developer to receive payment out of 50 percent of the hookup fees received by the county.

The county recently changed its policy of requiring developers to construct improvements to wastewater and utility systems that serve their developments. They will construct facilities themselves and finance such improvements through connection fees.