HomeMy WebLinkAboutContract 39739-A1 CSC No. 39739-A1
FIRST AMENDMENT TO
CITY SECRETARY CONTRACT NO. 39739
THE DALLAS/FORT WORTH INTERNATIONAL AIRPORT BOARD
AGREEMENT FOR RECLAIMED SERVICES
WHEREAS, on the February 2, 2010, the City of Fort Worth and the Dallas/Fort
Worth International Airport Board("DFW")entered into City of Fort Worth City Secretary
Contract No. 39739 (the "Contract"),providing for Reclaimed Water Service; and
WHEREAS, Section 2.5 provides for DFW to designate an Annual Amount to
reflect the total annual Reclaimed Water use estimate by DFW; and
WHEREAS, Section 7.5 of the Contract details the Charges to be made to DFW for
Reclaimed Water Services based off the Annual Amount to be applied to DFW to include
a Minimum Monthly Charge as well as a credit when DFW incurs a Minimum Monthly
Charge for a month, but its annual withdrawal is equal to or greater than its Annual
Amount; and
WHEREAS, Section 7.5.2 and Section 7.5.4 of the Contract refer to Exhibit D
which provides three examples for calculation of the charges and credits to DFW; and
WHEREAS, on June 23, 2020, the parties participated in a Reclaimed Water
Wholesale Advisory Committee and agreed that Section 7.5 did not accurately express
actual procedures and that Exhibit D contained erroneous examples; and
WHEREAS, the Reclaimed Water Wholesale Advisory Committee agreed to
execute this amendment to revise the Contract language and Exhibit D.
NOW,THEREFORE,KNOW ALL BY THESE PRESENTS:
1.
Section 7.5.2 Minimum Charge shall be amended to now be:
7.5.2 Minimum Charge. If the Reclaimed Water withdrawn from the
System at the Customer's point of delivery for any one monthly billing
period is less than half of the Customer's Annual Amount, divided by
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
twelve (12), then the Customer shall pay a Minimum Monthly Charge
instead of the § 7.5.1 Volume Charge. The Minimum Monthly Charge
is calculated as:
a. fifty percent(50%) of the Customer's Annual Amount
(in gallons x 1000) divided by twelve (12) months,
multiplied by
b. the Rate in effect for that monthly billing period.
The parties agree that this monthly minimum charge is just and
reasonable, and is necessary to establish a minimum cash flow
to meet the operating expenses and debt service for the
System. Exhibit D presents examples of how the monthly
minimum and any credit shall be calculated.
2.
Section 7.5.4 Credits shall be amended to now be:
7.5.4 Credits. In any Fiscal Year that Customer incurs a Minimum
Monthly Charge for a month, and its Fiscal Year total charges exceed
50% of the combined Annual Amount at the Agreement rate, Fort
Worth will credit the Customer's account with a credit (in dollars)
calculated as:
a. the total charges for that Fiscal Year, minus
b. the combined Actual Annual usage x the Rate.
Second Amendment to Wholesale Reclaimed Water Exhibit D 2 of 5
Examples of this calculation are shown in Exhibit D. Fort Worth
will first apply the credit to past-due charges, if any, and
thereafter to current charges.
3.
Exhibit D Volume Charge Calculation Example: shall be amended to now be as shown
in the attachment to this First Amendment.
4.
All other terms, conditions, and covenants contained in City Secretary Contract No. 39739
not amended herein shall continue in full force and effect.
Executed on this day, Dec 23, 2020 ,2020.
CITY OF FORT WORTH THE DALLAS/FORT WORTH
INTERNATIONAL BOARD
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Dana Burghdoff( c22,20 13:07 CSC
Dana Burghdoff By: Ron Duncan
ASSISTANT CITY MANAGER ASSISTANT VICE PRESIDENT
Date: December 10,2020
Recommended By:
Christopher Har (Dec 11,202014:27 CST) APPROVED AS TO FORM AND
Christopher P. Harder, PE LEGALITY
WATER DEPARTMENT DIRECTOR
Aime M. Coiiseadli e
ATTORNEY
APPROVED AS TO FORM AND
LEGALITY ATTEST
C�Pista 9
Christa R.Lopez-Reynold (Dec21,20201:02 CST)
Christa R. Lopez-Reynolds
SR.ASSISTANT CITY ATTORNEY By:
Title:
Second Amendment to Wholesale Reclaimed Water Exhibit D
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
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Second Amendment to Wholesale Reclaimed Water Exhibit D
FT. WORTH, TX
Contract Compliance Manager:
By signing, I acknowledge that I am the person responsible for the monitoring and
administration of
this contract,including ensuring all performance and reporting requirements.
�'" 12/8/2020
Alexander Pierce
Engineering Manager
EXHIBIT D
Volume Charge Calculation Example
This example illustrates the calculation of Customer Charges under the
Agreement and resulting FY credits for a hypothetical Reclaimed Water Use
scenario.
If Customer uses less than the Minimum Monthly in any month during the FY and
its FY total charges exceed 50% of the combined Annual Amount at the Agreement
rate (Minimum Annual Charge), Fort Worth subtracts the actual annual usage x
the Rate from the actual amount paid and applies the remainder to the Customer's
account for the next FY.
Annual Amount (kgal) 240,000 (x 1,000) Gal
Minimum Monthly Use (kgal) 10,000 (x1,000) Gal = 50% of Combined
Annual Amount/ 12
Rate $/1,000 Gal $1.45
Monthly Minimum Charge $14,500 = Rate x Min. Monthly Use
Minimum Annual Charge: $174,000 = 50% Annual Amount x Rate
Monthly
Example Year X Usage (kcal) Bill
October 30,000 $43,500
November 15,000 $21,750
December 0 $14,500
January 4,000 $14,500
February 0 $14,500
March 6,000 $14,500
April 15,000 $21,750
May 20,000 $29,000
June 35,000 $50,750
July 35,000 $50,750
August 40,000 $58,000
September 30,000 $43,500
FY TOTAL 230,000 $377,000
AMOUNT BASED ON ACTUAL
USAGE 230,000 @ $1.45 per kgal $333,500
FY Total minus Amount Based
NEXT FY CREDIT on Actual Usage $43,500
Second Amendment to Wholesale Reclaimed Water Exhibit D 5 of 5