HomeMy WebLinkAbout13724 ORD - 05/11/1977M:hb:5 110/77 ' AN ORDINANCE AUTHORIZING THE CITY MANAGER TO APPROVE A CONTRACT BETWEEN THE CITY OF ALICE AND THE JIM WELLS COUNTY FRESH WATER SUPPLY DISTRICT NO. 1 AT BEN-BOLT TO ALLOW THE CITY OF ALICE TO SELL TREATED WATER TO THE DISTRICT, ALL AS MORE FOLLY SET FORTH IN THE CONTRACT, A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARRED EXHIBIT "A ", AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the City Manager be and he is hereby authorized to approve a contract between the City of Alice and the Jim Wells County Fresh Water Supply District No. 1 at Ben Bolt, to allow the City of Alice to sell treated water to the District. SECTION 2. The necessity to authorize approval of the afore- said contract at the earliest practicable date creates a public emergency and an imperative public necessity requiring the suspension of the Charter rule that no ordinance or resolution shall be passed finally on the date of its introduction but 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 exist, having requested the suspension of the Charter rule and that this ordinance take effect and be in full force and effeck _ from and after its passage, IT IS ACCORDINGLY SO ORDAINED this the _ L day of May, 1977. ATTEST: «� �� W/ APPROVED: ff*C�'DAY OF MAY, 1977: J. BRUCE AYCOCK, CITY ATTORNEY By WR "/ City Ottorney 13121 (2�"z� MAYO THE CITY OF CORPUS CHRISTI, TEXAS MICROFILI jED Jul 0 71980 14ATER 9iJPrNACF rnMTQ.ArT THE STATE OF TEXAS COUNTY OF JIM WELLS d THIS CONTRACT FOR THE SALE AND PURCHASE OF :LATER is entered into the __ day of , 1973, between the CITY OF ALICE, TEXAS, (CITY) and ALICE !LATER AUTIIORITY (A.W.A.), P. 0. Box 119, Alice, Texas 78332, hereafter referred to as the "SELLER" and the JIM WELLS COUNTY FRESH 14ATER SUPPLY DISTRICT NO. 1 AT BEN BOLT, hereafter referred to as the "PURCHASER ". W I T N E S S E T H: The Purchaser is organized and established under the laws of The State of Texas for the purpose of constructing and ooerating a water supply distribution system serving approximately two hundred (200) water users, and to accomplish this purposes, the Purchaser will require a supply of treated water; and, WHEREAS, the Seller owns and operates a municipal water supply system from which Purchaser desires to obtain water for resale to residential users and small retailers only, which Seller is willing to supply, at its cost, on the terms and conditions hereinafter set forth, and upon receipt and approval by Seller of Purchaser's plans for the construction of a water supply distribution system. NOW, THEREFORE, THIS CONTRACT this day made and entered into by and between Seller and Purchaser, witnesseth: In consideration of the premises and the sum of Ten and ;lo /100 ($10.00) Dollars cash in hand paid to Seller by Purchaser, the benefits arising to both parties through the sale of water, and mutual covenants and agreements of the parties herein contained, it is agreed as follows: 1. CONSTRUCTION OF FACILITIES: Purchaser shall construct or cause to be constructed a pipe line to connect to Seller's twelve inch water line at the intersection of South Johnson Street and U. S. Highway 281 in City and extend said pipe line South along the :Jest side of South Johnson Street to a point that inLersects with burns Road then East along the North Right -of -Way of Burns Road to the intersection of South U. S. Highway 281 then South along the West Right -of -Way of U.S. Highway 281 to a point just North of Farm to Market Highway 625, where the master meter will be installed and which point will be the point _of delivery under this Contract. Facilities erected by Purchaser shall be in accordance with plans and specifications prepared by Purchaser and accepted by Seller in writing before the start of construction. Approval by Seller shall relate solely to those matters which might affect: the potential rate and quantity of taking, land owned by Seller, and dependability or safety of the Seller's water supply, except Seller shall have the right to provide alternate bidding on water line North of the metering point. 2. POINT OF DIVERSION: The point of diversion hereunder shall be at the master meter to be erected on the West side on Highway 281, just North of its intersection with Farm to Market Highway 625. All of the facilities shown on the plans shall be erected at the sole cost and expense of Purchaser, but the Seller shall pay the increased cost as determined by alternate bids, of any line larger than a six (6 ") inch line if Seller requests such larger line, but the pipe line and all facilities erected lying North of the point of delivery as aforesaid shall belong to and become the sole property of Seller, and Seller shall be entitled to allow other customers to tap said line North of the point of delivery and receive all the revenue from any sales North of said point of delivery, subject to the other provisions of this Contract. The master meter shall be purchased and maintained by the Purchaser and shall be the property of Purchaser. 3. RIGHT -OF -WAY AND EASEMENTS: Seller shall assign to Purchaser the necessary easements and rights -of -way along, and across all lands over which Seller now has ownership or easement, but Purchaser shall at its sole cost and expense obtain all other easements. Such Ease- ments and rights -of -way shall be assigned to Purchaser, without cost, _ intc . f t fact l it: _s Use for Llle LU11]Lf -'u 1, i; 'iUn, QpCIQt1U11, uii 4' lluu ��. ��ur�C2 A �1� of any easements obtained by Purchaser North of the metering point - 2 - t • should be assigned to the Seller upon completion of construction and shall be transferred to Seller with title to the facilities North of the metering point. Purchaser shall hold Seller harmless from all claims for injury or death of persons and property damage arising out of the construction of such facility for one year following completion of such construction. 4. RELOCATION: If Seller or whatever governmental subdivision acquires the right to provide expanded water facilities, or if, any Governmental Agency determines that it is necessary to adjust or relocate facilities constructed by Purchaser in order that land or easements belonging to Seller can be used for water transmission or water supply improvement, Purchaser shall bear the cost of such facility adjustments or relocations South of the metering point, and Seller shall bear such costs, North of the metering point. Seller will give due and careful consideration to the location of Purchaser's facilities in planning new facilities and will, within the limits of sound engineering and ultimate total project cost to all agencies, minimize the required relocation of the facilities of Purchaser. 5. MAINTENANCE OF FACILITIES: Facilities constructed by Pur- chaser shall be maintained and operated by or on behalf of'Purchaser, South of the master meter. Seller will maintain and own the facilities North of the master meter and point of delivery stated above. Seller shall have the right to require Purchaser to maintain its air -gap tank on Purchaser's property or easement in a manner comparable to the level of maintenance at similar Seller facilities. 6. INDEMNIFY: Purchaser will indemnify and hold Seller harmless from any liability which might accrue because of facilities constructed by Purchaser on land or right -of -way, and Purchaser assumes all res- ponsibility for adequately maintaining and safeguarding said facilities South of the metering point. 7. QUANTITY: Seller agrees to sell and guarantees to deliver, subject to the conditions hereinafter set forth, such treated waterto Purchaser ds Purchaser might require to a maximum of three million gallons per month and a maximum of one hundred thousand gallons in any one day. In the case of extreme emergency such as a large fire, Purchaser may - 3 - exceed the 100.000 gallons daily limit if in the opinion of the Seller surplus water is available. S. QUALITY CONSIDERATIONS: It is understood and agreed that Seller shall use reasonable diligence to provide potable treated drink- ing water of the same quality it provides to its customers. 9. MEASUREMENT: Water delivered under this Contract shall be measured by a suitable water meter or meters to be furnished and ins- talled by Purchaser, meter house or pit and required devises of standard type for properly measuring the quantity of water delivered to the Purchaser and to calibrate such metering equipment whenever requested by the Seller. Registering not more than two percent above or below the test results shall be deemed to be accurate. The readings of any meter disclosed by test to be inaccurate shall be corrected for the six months previous to such test or to the date of the last calibration which ever is less in accordance with the percentage of inaccuracy found by such test. If.any meter fails to register for any period the amount of water furnished during such period shall be deemed to be the amount of water delivered in the corresponding period immediately prior to the failure, unless Seller and Purchaser shall agree upon a different amount. The equipment shall be read on the last day of each month or as soon there- after as possible. An appropriate official of the Purchaser at all reasonable times shall have access to the meter for the purpose of verifying its readings. Seller shall service the recording and inte- grading instruments of the meter or meters and shall retain the charts and integrator reading for two (2) years as a part of the Seller's water records. All such charts and integrator readings shall be made available to Purchaser's representatives at all reasonable office hours. Any duplicate recorders providing charts for Purchaser shall be purchased, maintained and serviced by and at the expense of Purchaser. 10. PRICE: The price to be charged for water sold by Seiler to Purchaser will be seventy (.70d) cents per thousand gallons with a minimum charge of Five Hundred Twenty -five and No /100 (4525.00) Dollars per month, subject to the provisions of paragraph No. 14 and 20. - 4 - 11. PAYMENTS: Seller shall, monthly, submit a statement to Purchaser indicating the quantity of water withdrawn by and sold to Purchaser during the preceding meter reaoing cycle with a minimum pay- ment each month of Five Hundred Twenty -five and No /100 ($525.00) Dollars regardless of amount of water used. Purchaser shall make payment at Alice, Texas, within fifteen (15) days of receipt of said statement. Purchaser's obligation to nay for water taken and Seller remedies for Purchaser's failure to pay for water taken shall be the same as required of other water customers: Clerical error or minor question regarding said statement will not be sufficient grounds to delay payment by Pur- chaser to Seller. Any such question shall be promptly settled under the terms of this Contract and by agreement of both parties hereto. Any adjustment in the amount paid as a result of such agreement shall be added to or deducted from the following month's bill. 12. RESTRICTIONS ON RESALE: It is distinctly understood and agreed that without prior written consent of Seller, Purchaser shall not deliver or sell water obtained under this Contract to any other persons, firms or corporations except such persons, firms, or corpora- tions which are bona fide residential and small retail customers of the water distribution system of Purchaser and who do not resell such water, Purchaser agrees to bind all of its customers to the effect that the stipulation contained in this Contract, not to resell water, shall be binding upon each of said customers, including the further stipula- tion that should there be a shortage in the basic supply of water which requires the restriction or curtailing of any consumer of water within the City Limits of Seller that coincident with such restriction or limitation within the Seller, Seller may limit and restrict Purchaser to the same extent. This section expressly forbids the resale of water by a customer of Purchaser to any consumer without the written consent of such resale by Seller. 13. WATER RIGHTS: It is mutually agreed and understood that Purchaser does not acquire any participation or other right to water rights or permits which the City of Alice may have but its rights here- under are solely restricted to a contract right under the terms of this contract. - 5 - • 14. FUTURE !MATER SUPPLY: Purchaser agrees to cooperate with Seller in investigating the need for, methods to obtain, and most aavantageous construction timetable for enlarged water supply facilities. If Seller determines that it is necessary in order to accomplish such purpose to construct or reconstruct additional facilities or distribution systems, this Contract shall terminate unless Purchaser recognizes and agrees to an additional element of cost occasioned by the installa- tion of such facilities and the price paid by the Purchaser to Seller for water adjusted to adequately cover such increased cost on a pro rata "average usage" basis between Purchaser and Seller, averaged over the previous twelve (12) month period. 15. RIGHT TO TERMINATE CONTRACT: If Purchaser's need for water from Seller should cease for a period of at least thirty (30) days, then in such event, Purchaser may, by giving thirty (30) days written notice to Seller by registered mail, cancel and terminate this Contract in its entirety. If Purchaser should elect to give and actually gives Seller said written notice, then after the expiration of thirty (30) days from the date said notice is mailed to Seller,'this Contract and all of its provisions shall become null and void. If after two (2) years from the date of this Contract, Purchaser has not provided facilities for the taking of water under the terms hereof, or in the event Purchaser fails to meet any of the obligations herein imposed on it for a period of sixty (60) days after Seller requests Purchaser to correct its delinquency, Seller shall have the right to cancel this Contract by giving written notice to Purchaser of such intention. 16. FORCE MAJEURE: If Seller should be prevented, wholly or in part, from fulfilling its obligations under this Contract by reason of any act of God, unavoidable accident, acts of enemy, strikes, fires, floods, conservation of water, shortage of water, Governmental restraint or regulation, or other causes of force majeure, or by reason of circumstances reasonably beyond its control, then the obligations of Seller to deliver water to Purchaser, as hereinabove provided, shall be suspended during continuation of such force majeure. No damage shall be recoverable by Purchaser or its customers from Seller by reason of the raJuctiuu ui subNeusiun of ueiiveriea ui water due to any of the causes above mentioned. If Seller's obligations should be affected - 6 - by any such cause, Seller shall promptly notify Purchaser in writing, giving full particulars of such force majeure as soon as possible after the occurrence of the cause or causes relied upon. 17. ASSIGNABILITY: This Contract may be assigned by Purchaser only with the written prior consent of the governing body of Seller, but if assigned, this Contract shall be binding uP9n parties hereto as well as their successors and assigns. 18. TERM OF CONTRACT: When this Contract shall have been duly executed, the obligations of the parties hereto shall be binding and shall extend from the date hereof for a period of forty (40) years subject to the termination provisions herein contained. 19. WATER: That prior to the estimated date of completion of construction of the Purchaser's water supply distribution system, the Purchaser will notify the Seller in writing, the date for the initial delivery of water. When requested by the Purchaser, the Seller will make available to the contractor at the point of delivery, or other points reasonably close thereto, water sufficient for testing, flushing and trench filling the system of the Purchaser during construction, at a price of seventy (.70¢) cents per thousand gallons, will be paid by the contractor or, on his failure to pay within twenty (20) days from billing by the Purchaser. 20. ANNUAL COST ADJUSTMENT: Following the end of each calendar year, Seller's cost of water shall be audited and any increase or decrease in cost to Seller for the preceding year will be adjusted between Seller and Buyer retroactive to the lst day of the preceding year, by payment by Seller of any overpayment to Buyer or payment by Buyer of any underpayment to Seller, in either case in fifteen (15) days. 21. CITY RIGHT TO SELL: Seller retains and Purchaser recognizes Seller's right to sell treated or untreated water at points and to customers that are located outside of the boundaries of the Seller upon such terms and conditions and at such price or prices as Seller in its sole aiscretion may elect. - 7 - 22. FIXED MINIMUM, OBLIGATIONS: The Purchaser is obligated and hereby agrees to purchase all of its water from City, subject to paragraph 15 above. 23. APPROVAL: The Purchaser has been furnished with a copy of the Contract between Seller and The City of Corpus Christi, Texas, dated May 4, 1962, as amended. It is necessary that.this Contract be approved by the City of Corpus Christi, Texas, and Lower Nueces Water Supply District under the terms of the*Contract and the provisions hereof pertaining to the undertakings of the Seller are conditioned upon approval, in writing, of the City of Corpus Christi, Texas and Lower Nueces Water Supply District. 24. AUTHORITY TO EXECUTE: In order to make this contract fully binding each of the parties has been duly authorized hereunto and in the execution hereof by proper ordinance or resolution of the respective governing body and certified copies furnished by each party to the other party for attachment hereto. 25. It is agreed by the parties hereto that this instrument contains in writing all of the agreements between the parties hereto and that nothing, except those things required by law, not incorporated herein or by reference shall be binding on the parties. IN WITNESS WHEREOF, the parties hereto have caused this instru- ment to be executed in several counterparts, each copy of which so executed shall be considered as an original, by their respective duly authorized representatives, effective this the day of . 19 CITY OF IC TEXAS BY: May - 8 - CITY OF ALICE, TEXAS BY: o k- v City Manager ATTEST:' C9ty Secretary ATTEST: Secretar ATTEST: 1 Secretary APPROVED: TEXAS WATER DEVELOPMENT BOARD BY: ALICE WATER AUTHORITY BY: .6-4 President JIM WELLS COUNTY FRESH WATER SUPPLY DISTRICT MO. 1 AT BEN BOLT, TEXAS / BY: 4i1�c�i,.�/ - 9 - President � t CITY OF CORPUS CHRISTI, TEXAS BY: City Manager ATTEST City Secretary APPROVED: DAY OF MAY, 1977: J. BRUCE AYCOCK, CITY ATTORNEY LOWER HUECES RIVER WATER SUPPLY DISTRICT By Assistant City Attorney BY: President ATTEST: Secretary - 10 - Corp Christi, Texas _day of 197 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 suspension 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 ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, MAYOR THE CITY OF CORPUS CHRISTI, TEXAS The Charter rule was suspended by the following vote: Jason Luby Eduardo de Ases David Diaz Ruth Gill Bob Gulley Gabe Lozano, Sr. Edward L. Sample The above ordinance was passed by the following vote: Jason Luby Eduardo de Ases David Diaz Ruth Gill Bob Gulley Gabe Lozano, Sr. Edward L. Sample JL 3%24