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HomeMy WebLinkAbout021703 RES - 07/20/1993A JOINT RESOLUTION EXPRESSING DESIRE TO RENEGOTIATE COST ALLOCATION AND REPAYMENT TERMS FOR THE CONTRACT AMONG THE CITY OF CORPUS CHRISTI, NUECES RIVER AUTHORITY AND THE UNITED STATES OF AMERICA FOR THE NUECES RIVER RECLAMATION PROJECT, TEXAS IN LIGHT OF CERTAIN DIMINISHMENT IN PROJECT YIELDS FOR MUNICIPAL AND INDUSTRIAL WATER SUPPLY WHEREAS, the City of Corpus Christi, Texas and the Nueces River Authority, as local cosponsors, entered into a contract with the United States of America (United States Department of the Interior, Bureau of Reclamation, hereinafter referred to as the "Bureau") on June 30, 1976 for the construction, operation and maintenance of the Nueces River Federal Reclamation Project, Texas (hereinafter referred to as "Choke Canyon Reservoir"), for the purpose of building the Choke Canyon Dam and Reservoir on the Frio River near Three Rivers Texas in order to store, regulate and furnish water for municipal and industrial (M&I) use, conserve and develop fish and wildlife resources and enhance outdoor recreational activities; WHEREAS, the City of Corpus Christi and the Nueces River Authority agreed to be obligated to repay reimbursable project costs following completion of the facilities, as well as to make advance funding payment toward construction costs, and to pay interest on the unpaid balance of those costs; WHEREAS, while the Bureau originally estimated that Choke Canyon Reservoir, when operated as a system with the existing Lake Corpus Christi reservoir, would provide 252,000 acre-feet of firm annual yield for M&I use, recent studies by the City of Corpus Christi have demonstrated that the firm annual yield for M&I use may be as little as 192,000 acre-feet; WHEREAS, because the diminishment in firm annual yield seriously affects the ability of the Choke Canyon/Lake Corpus Christi reservoir system to meet the long term water supply needs of the system's twelve county service area, the City of Corpus Christi must spend considerable amounts of money to identify, evaluate, acquire and develop compensatory water supplies; WHEREAS, the City of Corpus Christi is actively pursuing various water conservation projects to maximize the benefits of water already diverted from the system; and WHEREAS, significant amounts of the original firm yield of the system for M&I uses are now providing fish and wildlife benefits not originally anticipated in the federal contract; MICROFILMED 021703 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS AND THE BOARD OF DIRECTORS OF THE NUECES RIVER AUTHORITY: SECTION 1. That the City of Corpus Christi and the Nueces River Authority request the Bureau to reconsider and renegotiate the allocation and repayment of certain project costs related to the construction of Choke Canyon Reservoir. SECTION 1 That the City of Corpus Christi and the Nueces River Authority request the Bureau to cooperate in pursuing negotiated agreements with other Federal and State resource agencies, local agencies, and environmental interests relating to the resolution of outstanding issues regarding freshwater inflows to the Nueces Estuary, acquisition of property in the Nueces Delta for environmental purposes, and the acquisition of water supplies. SECTION 3. That the City of Corpus Christi and the Nueces River Authority request the Bureau to cooperate in the local cosponsors' efforts to secure Congressional approval of legislation authorizing the Bureau to reallocate the local cosponsors' share of Choke Canyon Reservoir project costs and approving a discounted prepayment of the remaining share of those costs. Mary Rh es Y Mayor, City of Corpus Christi J v{eph E Gardner, J President, Nueces River Authority ATTEST: °"6-1-"--(r- Armando Chapa, City Secretary ATTEST: Ala glib dy APPROVED: ( DAY OF :70 I / , 1993 JAMES R. BRAY, JR., CITY ATTORNEY By: LMED Corpus Christi, Texas Zo day of The above resolution Mary Rhodes Jack Best Melody Cooper Cezar Galindo Betty Jean Longoria Edward A. Martin Dr. David McNichols David Noyola Clif Moss \forms\066 T Jafici , 19 613 was passed by the following vote: QAT- OUt aitintat .(1''. 2 703