The referendum to sell the City’s Water System to Fairfax Water in exchange for $40 million dollars and a Boundary Adjustment to bring several parcels from Fairfax County into the City of Falls Church passed by a wide margin, according to a news release from the City of Falls Church.
(Referendum on Proposed Sale of City's Water System, unofficial results: 4,139 "Yes"/87.93% to 568 "No"/12.07%)
As a result, all Falls Church water customers will become Fairfax Water customers on or about January 3, 2014. At that time all Falls Church Water System assets will convey to Fairfax Water, to create a single water system with 3 separate water treatment facilities and a fully integrated water transmission and distribution system. Commodity rates charged by Fairfax Water to customers of the City water system will be lowered to the Fairfax Water rate within 2 years.
“I am pleased with the result of the referendum,” said Mayor Nader Baroukh, “and am especially optimistic about the possibilities the Boundary Adjustment opens for educational and economic development in the City.”
In addition to the $40 million sale price, the City can also retain up to $3 million cash. The debt and retirement liabilities, totaling a maximum of $30 million, will remain with the City. To protect our long term sustainability, the City will ensure a transparent process for the investment of those funds.
Together, the City and Fairfax Water have established a comprehensive transition plan for customer service, billing, equipment, and employees and are confident this will be a seamless transfer.
The Boundary Adjustment will be reviewed by a special court, and pending their approval, the George Mason High School and Mary Ellen Henderson Middle School campus, along with the City Property Yard on Gordon Road will be brought into the City's boundaries.
Per the agreement of sale, 70% of the school properties must be used for educational purposes for a term of 50 years. The Property Yard and the remaining 30% of the school campus may be used immediately for any purpose. In collaboration with the School Board and Planning Commission, the City will embark on a land planning process in conjunction to determine the best possible use
The City is incredibly grateful to the Water System employees for their years of dedicated service and look forward to them continuing their world-class service with Fairfax Water. The legacy they built in managing the City’s Water System will not be soon forgotten.
City officials are appreciative of the relationship with Fairfax Water and Fairfax County that has come about during this process and look forward to furthering that in the weeks, months, and years ahead.
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