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Saturday, May 18, 2024

$15 million agreement paves way for development of south Leesburg

City commissioners have entered into an agreement with NVR Homes for the construction of a major sewer bypass system in south Leesburg.

NVR Homes will construct a major sewer bypass system along U.S. Hwy. 27. This collection system will deliver wastewater to the Turnpike Wastewater Treatment Facility and provide sewer service for the entire southern Leesburg corridor. The sewer bypass system will be constructed  by the NVR Homes at an estimated cost of $15 million. Upon completion of the system the city will own, operate and maintain the system.

The red line designates the location of the sewer bypass system
The red line designates the location of the sewer bypass system.

In exchange for taking the financial risk to build the system, NVR will receive future sewer impact fee collections:

• for the actual cost to construct the main; and

• from only those developments that connect to the system.

The city has identified that there are potentially 7,434 residential units (at this time), plus proposed commercial development that can connect to the system. NVR will also receive a capacity reservation of 0.4 million gallons per day, up to the time the city has completed the 6.0 million gallons per day plant expiation project. NVR homes will be developing a 1,700-home subdivision along with commercial space along U.S. Hwy. 27. This agreement shifts the cost of the sewer extension to the developer who will receive credit for impact fees for sewer hookups to the project until credits meet the actual cost of the extension. As other subdivisions and commercial properties attach to the lines the impact fees collected will also go to NPR Homes until the cost is recovered. The agreement to compensate NVR homes will extend for 20 years or until the construction costs have been fully reimbursed.

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