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Home My WebLink About09420 ORD - 07/02/1969JKH:6 -25 -69 A RESOLUTION 9420 MAKING FINDINGS REGARDING THE COST OF TREATED WATER FOR THE PERIOD OCTOBER 1, 1966 TO OCTOBER 1, 1971, AS PROVIDED IN THE CONTRACT BETWEEN REYNOLDS METALS COMPANY AND THE CITY OF CORPUS CHRISTI DATED OCTOBER 5, 1951; AND DECLARING AN EMERGENCY. WHEREAS, THE COUNCIL HAS HEARD AND TAKEN INTO ACCOUNT ALL OF THE REPORTS, OPINION$, STATEMENTS AND DATA SUBMITTED TO THE COUNCIL CONCERNING THE RE- DETERMINATION OF THE COST OF TREATED WATER FOR THE PERIOD OCTOBER 1, 1966, TO OCTOBER 1, 1971, BY THE CITY OF CORPUS CHRISTI AND REYNOLDS METALS COMPANY AS PROVIDED IN THE CONTRACT BETWEEN REYNOLDS METALS COMPANY AND THE CITY OF CORPUS CHRISTI DATED OCTOBER 5, 1951; AND WHEREAS, REYNOLDS METALS COMPANY, BY LETTER TO THE CITY DATED JUNE 27, 1969, HAS AGREED THAT THE COST OF TREATED WATER, AS RE- DETERMINED UNDER SUCH CONTRACT, IS 10.2 CENTS PER 1,000 GALLONS FOR THE PERIOD OCTOBER 1, 1966, TO OCTOBER 1, 1971, A COPY OF WHICH AGREEMENT OF REYNOLDS METALS COMPANY IS ATTACHED HERETO AND MADE A PART HEREOF: NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. THE MATTER OF THE RE- DETERMINATION OF THE COST OF TREATED WATER BY THE CITY OF CORPUS CHRISTI AND REYNOLDS METALS COMPANY HAVING BEEN CONSIDERED BY THE CITY COUNCIL, IT IS FOUND THAT THE COST OF WATER TO BE FURNISHED BY CITY TO REYNOLDS METALS COMPANY AT CALALLEN, TEXAS, UNDER THE CONTRACT BETWEEN REYNOLDS METAL COMPANY AND THE CITY OF CORPUS CHRISTI, COMPUTED BY USING AN INCREMENTAL COST BASIS AND LIMITING THE COMPUTATION TO THE COST OF RAW WATER AND THE TREATMENT THEREOF, IS 10.2 CENTS PER 1,000 GALLONS FOR THE PERIOD COMMENCING OCTOBER 1, 1966, AND ENDING OCTOBER 1, 1971. SECTION 2. THE NECESSITY FOR IMMEDIATE DETERMINATION OF THE COST OF WATER UNDER THE REYNOLDS METALS COMPANY CONTRACT TO CLARIFY THE BILLINGS OF THE WATER DIVISION OF THE CITY OF CORPUS CHRISTI UTILITIES DEPARTMENT CREATES A PUBLIC EMERGENCY AND AN IMPERATIVE PUBLIC NECESSITY REQUIRING THE SUSPENSION OF THE CHARTER RULE THAT 9420 NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE SEVERAL MEETINGS OF THE CITY COUNCIL, AND THE MAYOR HAVING DECLARED SUCH EMERGENCY AND NECESSITY TO EXISTS HAVING REQUESTED THE SUSPENSION OF SUCH CHARTER RULE AND THAT THIS RESOLUTION BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND TAKE EFFECT AND BE IN FULL FORCE AND EFFECT FROM AND AFTER ITS PASSAGE, IT IS ACCORDINGLY SO RESOLVED, THIS THE AY OF JULYS ig6g. A MAYOR oTE/l THE CITY 0 CDR C T1, TEXAS CI 7fy SEC ETA 4L� APPROVED: .L „A DAY OF JULY, 1969: s CITY TTO7 REYNOLDS METALS COMPANY REYNOLDS METALS BUILDING RICHMOND, VIRGINIA 23218 Mayor and Council June 27, 1969 of the City of Corpus Christi Corpus Christi, Texas Gentlemen: Our letter'to the Mayor and Council dated February 12, 1963, and Resolu- tion No. 6817 adopted by the Council on February 20, 1963, acknowledged and confirmed our studies that the cost of water delivered to us at Calallen, Texas, under the Reynolds - City Contract dated October 5, 1951, should be 10.30 cents per 1,000 gallons for the five -year period begin- ning October 1, 1961, and ending October 1, 1966. At the request of the City Manager, members of your administrative staff and of our accounting department have been studying the cost of water for the five -year period October 1, 1966, to October 1, 1971. Following the formulas used in the 1959 study for the cost of raw water and the treatment thereof and updating such formulas to the current period, it is our conclusion that the cost is 10.20 cents per 1,000 gallons. This letter is to evidence our agreement to the redetermined cost of 10.20 cents per 1,000 gallons for the period October 1, 1966, to October 1, 1971. We have been informed that during the current period there may be an ad- justment between the Lower Nueces River Water Supply District and the City of Corpus Christi in the price to be paid by the City to the District for water from the Wesley Seale Reservoir. Therefore, we further agree that should such adjustment occur during the period October 1, 1966, to October 1, 1971, the cost of 10.20 cents per 1,000 gallons heretofore agreed to shall be increased by an amount per 1,000 gallons equal to the adjustment in the City - District rates per 1,000 gallons. Such increase being effective on the same date as the adjustment in the City - District rates. Yours very truly, V. G. Kneeskern / Vice President Alumina and Reduction Division VGK:d Corpus Christi, Texas 4 day of , 19L,- TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspen- sion of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council; I, therefore, request that you suspend said Charter rule or requirement and pass this ordi- nance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, MAYOR "6 THE CITY F Co S C ISTI, TEXAS The Charter rule was suspended by the following vote; Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick"Bradley, Jr. Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore —s The above ordinance was passed by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. E. de Ases ' Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore