Carson City officials agreed Thursday to provide sewer and water to residents and businesses in the Mound House area of Lyon County.
The Board of Supervisors said they agreed to take the initial step of signing a memorandum of understanding with Lyon County to develop a good relationship for the future and avoid problems the city is having with Douglas County.
"Maybe today we get the relationship started off on the right foot," said Mayor Ray Masayko.
Supervisors described the situation with Douglas County Thursday as a "contest." They were referring to the neighboring county's luring of several large retailers -- like Wal-Mart -- across the county line and taking with them millions in potential tax revenue for Carson City.
Thursday's signing allows Carson City and Lyon County to begin making plans to design a sewer inter-tie to Mound House and develop a contract for future sewer service.
It also allows the city and county to proceed with designing a larger water system to serve the area.
Mound House property owners currently use septic tanks. Lyon County officials said they need to serve 1,172 Mound House residential and 292 commercial connections by 2020.
City staff said the agreement between the counties would be mutually beneficial since Lyon County would pay for all costs of sewer lines and the expansion of the existing wastewater treatment plant. The county will pay the same costs as any other industrial user, staff reported.
In return, Carson City can use the additional treated wastewater in its own jurisdiction.