The city of Pflugerville officially entered into a development agreement with Costco on Tuesday night to reimburse the grocery and retail store for the construction of infrastructure. As part of an agreement with the city, Costco agreed to construct a 24-inch water line at the site of its development. The water line will connect to an existing line that runs along Kelly Lane. Originally, the developers had requested approval for a smaller 18-inch water line. According to city documents, the city requested the larger line in order to provide utilities for future development in the area surrounding the Costco site. The city will pay Costco, slated to open in July, no more than $58,418 for the water line upgrade. According to city documents, that will be paid for with revenue from the city’s water funds that exceeded the amount budgeted in FY 2017-18. For more coverage of the Pflugerville Costco development, please read the following articles: Costco on track to open July 2018 following economic development deal Costco traffic impact revealed at Pflugerville City Council Tuesday UPDATE: P. Terry’s Burger Stand coming to Pflugerville in 2019