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BACKGROUND The property recently received approval from Alameda County to subdivide an existing 32,000 square foot parcel located at 385 Linden Way into two lots, with the condition to connect both parcels to the City's water and sewer systems. The property is located within the unincorporated area known as the Remen Tract. This parcel currently has an existing single-family residence, which is currently receiving City water. Preannexation and Provisions of Water and Sanitary Sewer Agreement Historically, when an owner of property located outside the City limits requests sewer and water services, the City has granted such a request only after determining that the subject property's use is consistent with the City's General Plan, and after the property owner enters into a preannexation agreement. This agreement allows the owner to connect to the City's sewer and water systems prior to the property being annexed to the City, providing the following requirements are met: the property owner agrees to (a) pay the sewer and water connection fees; (b) pay all costs associated with extending the sewer and water systems to serve this property; (c) pay all costs associated with the connection to and use of the sewer and water systems; (d) abandon the existing septic system on the property; (e) pay all City and County processing fees for LAFCo approval; and (f) support any subsequent annexation initiative that may occur. The two lot subdivision meets the County's development standards R-1-B-10 (Single- Family residence, 10,000 square foot minimum building site area); and meets the City's R-1-10,000 Zoning District regulations. The existing house will be located on Parcel 1 and Parcel 2 will be vacant. The City will have the opportunity to review any future residence proposed for parcel 2 to ensure the proposal meets the City's R-1-10,000 Zoning District regulations. The Alameda County Department of Environmental Health restricts repairs or installation of septic systems for lots less than 40,000 square feet or when a sanitary sewer is within 200 feet of the property, which applies in this case. The water main on Linden Way will need to be extended in order to serve Parcel 2. Both parcels can be served from existing sewer mains. The Livermore Pleasanton Fire Department is requiring the extension of the water main on Vine Street easterly to Bernal Avenue (approximately 250 feet) in order to provide sufficient water for fire protection to the area. The developer will be responsible for the cost of this extension. The extension will complete the water main loop through Remen Tract in order to maintain existing and future water usage for both domestic and fire uses. The following conditions are included in the Preannexation Agreement: 1. Owner shall extend the water main on Linden Way from Vine Street. The water main on Vine Street will be extended approximately 250 feet easterly to Bernal Avenue. The plans for and installation of the new water mains shall be subject to the review and approval of the City Engineer. Page 2 of 3