Council to take action on the Delegation Agreement for the Operation and Maintenance of a Water Reclamation Facility, by and between the City of Buckeye, an Arizona municipal corporation, and Trillium

4.E
CITY OF BUCKEYE
Regular Council Meeting
COUNCIL ACTION REPORT
AGENDA ITEM: 4.E. WR - Delegation
Agreement for the Operation and
MEETING DATE: 10/20/26 Maintenance of a Water Reclamation
Facility between the City of Buckeye and
Trillium Land Company, LLC.
DATE PREPARED: 10/15/26 DISTRICT NO.:
STAFF LIAISON: Terry Lowe, Water Resources Director, tlowe@buckeyeaz.gov,
(623) 349-6102
AGENDA ITEM TYPE: Consent Agenda
DEPARTMENT: Water Resources
Items / New Business
ACTION/MOTION: (This language identifies the formal motion to be made by the Council)
Council to take action on the Delegation Agreement for the Operation and Maintenance of a Water
Reclamation Facility, by and between the City of Buckeye, an Arizona municipal corporation, and Trillium
Land Company, LLC, a Delaware limited liability company; authorizing the City Manager to execute and
deliver said Delegation Agreement on behalf of the City of Buckeye; and authorizing the City Manager to
take all steps necessary to carry out the purpose and intent of said Agreement.
GOALS AND OBJECTIVES FOR THE STRATEGIC PLAN FOCUS AREAS:
Not Applicable
SUMMARY
PROJECT DESCRIPTION:
The Floreo at Teravalis Interim Water Reclamation Facility (Interim WRF) will provide interim wastewater
treatment services for the Floreo at Teravalis Service Area until a permanent wastewater treatment
facility is commissioned. The Interim WRF will be located on approximately 9.82 acres within the Floreo
at Teravalis development.
Trillium Land Company, LLC, as Master Developer, is responsible for the design, permitting,
construction, and interim operation of the facility. The City will delegate operational authority to the
Master Developer, while retaining its responsibilities as the Designated Management Agency and
municipal utility provider. The project also includes the necessary regulatory permitting, third-party
operations, User Fee collection and remittance, and City step-in rights to ensure continued wastewater
service.
BENEFITS:
The project will provide interim wastewater treatment capacity to support development within the Floreo
at Teravalis Service Area and ensure continuity of wastewater service until a permanent treatment facility
is commissioned. The Delegation Agreement clarifies operational responsibilities, supports ADEQ
regulatory compliance, and allows the Master Developer to utilize a qualified third-party operator. It also
protects the City and customers by establishing City step-in rights to maintain reliable service and
provides a mechanism for the collection and remittance of User Fees to reimburse the Master Developer
for delegated wastewater treatment services.

FINANCIAL IMPACT STATEMENT:
Costs associated with the Interim WRF will be reimbursed through User Fees collected and remitted to
the Developer. The remitted fees will need to be budgeted. For FY2027, staff will monitor the budget
capacity and the expected operational date to determine if additional budget capacity is needed. If
needed, staff will return to Council to request a budget transfer. The FY2028 budget will include
anticipated expenditures associated with this facility.
CURRENT FISCAL YEAR TOTAL COST:
Current fiscal year costs are unknown at this time. The costs depend on the date the facility becomes
operational and the number of customers utilizing the facility. Staff will monitor each of these variables.
No additional budget is being requested at this time.
Items related to a project or facility location must include an attached vicinity map for Council
Review.
ATTACHMENTS:
Delegation Agreement.pdf