From left standing, David Leathers, Jamestown Board of Public Utilities general manager; and Mike Saar, BPU deputy general manager; and from left sitting, Louise Ortman, North Harmony deputy supervisor; Eddie Sundquist, Jamestown mayor; and Jesse Robbins, Busti supervisor, during a ceremonial water contract signing at the BPU Steele Street offices Thursday. Busti and North Harmony officials have agreed to a new 10-year water contract with the BPU. P-J photo by Dennis Phillips

The Jamestown Board of Public Utilities has reached a new water agreement with the towns of Busti and North Harmony.

On Thursday, a ceremonial contact signing was held at the BPU Steele Street offices with Eddie Sundquist, Jamestown mayor; Louise Ortman, North Harmony deputy mayor; and Jesse Robbins, Busti supervisor.

David Leathers, BPU general manager, said during the ceremony that its a similar agreement to the last 10-year agreement that went into effect in 2005. He said even though the last contract expired at the start of 2016, there was a one-year automatic renewal clause to continue the contract if no new agreement was reached. He added that the negotiations on a new contract started in March 2019.

Leathers said the rates will stay the same in the new contract, with North Harmony being charged 280% of what city customers pay. Mike Saar, BPU deputy manager, said there is also a 10% transportation fee that Busti and Lakewood charges North Harmony to use its infrastructure to transport the water into the town.

Leathers said the BPU board agreed to the new contract in December and the Jamestown City Council approved it in January.

“I think it’s a great agreement going forward,” Robbins said.

The new contract will not include a one-year automatic renewal clause and the contract stipulates that negotiations should start during the ninth year of the contract.

As part of the agreement, the BPU agrees to perform normal operation, maintenance and repair of the existing water distribution mains located within the town of North Harmony. The costs of any improvements or extensions of the water system in the town, including replacement of damaged or deteriorated lines, shall be the responsibility of the town of North Harmony.

The contract includes agreements of revenue sharing should new industrial or commercial development occur in the town of North Harmony.