Monday - February 13, 2017

Future Partnership Governance Structure

In 2008, the cities of Lake Oswego and Tigard formally endorsed a partnership agreement for sharing drinking water resources and costs. Under the current agreement, the City of Lake Oswego is the managing agency responsible for the permitting, design, construction and operation of the new facilities. An Oversight Committee, made up of two elected officials from each city, also acts an advisory group that provides oversight on project issues.

The partnership agreement included a requirement that within a certain time following completion of construction, the Oversight Committee (and elected officials of each city) would begin a process to determine whether changes are necessary to adjusting the current structure – transitioning from an agreement regarding construction, to an agreement regarding longer term operations.

Of the several options identified and reviewed with the Oversight Committee, two options are currently undergoing further evaluation and discussion. These two options are:

  • Retaining the current governance model, with Lake Oswego as the managing partner.
  • Creating a new, separate entity, jointly owned by Lake Oswego and Tigard, to manage and operate the new facilities. The model for this option is the South Fork Water Board, an ORS 190 entity created by the cities of Oregon City and West Linn. The new entity would manage the interconnected system and could have the authority to establish fees and rates, issue or sell bonds for new or replacement supply facilities, establish system development charges, appoint a general manager and manage land, right-of-way and water rights on behalf of the two cities.

Lake Oswego and Tigard councils will be holding a joint meeting at Tigard City Hall on Tuesday, February 28 at 6:30 p.m. to discuss these possible governance models. No decisions are expected to be made at this meeting.