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HomeMy WebLinkAboutContract 742911311 CCU !ciCiik1-111,'''' Vfilf:131 THE STATE OF TEXAS COUNTY OF TARRANT CONTRACT BETWEEN CITY OF FORT WORTH, TEXAS AND CITY OF CROWLEY, TEXAS FOR JOINT CONSTRUCTION OF A WATER TRANSMISSION MAIN THIS CONTRACT AND AGREEMENT made and entered into this 1973, by and between the City of Fort Worth, a municipal ri 1::(%Ftyrip 110 day of J ) corporation located in Tarrant County, Texas, acting by and through its duly authorized City Manager, R. N. Line, and the City of Crowley, a municipal corporation located in by and through its duly authorized Mayor, Harry Teeter, W I T N E S S E T H: Tarrant County, Texas, acting WHEREAS, the City of Fort Worth has built, or caused to be built, and maintains a water transmission main, with branches and appurtenances, in the right-of-way of Highway I-35W for the purpose of providing water supply to the southerly portion of the City of Fort Worth and to other cities in the southerly portion of Tarrant County with whom the City of Fort Worth may contract to provide such water supply; and, WHEREAS, the City of Crowley desires to obtain a portion of its water supply from the City of Fort Worth through the City of Fort Worth's existing water transmission main facility in Highway I-35W; and WHEREAS, the City of Crowley has constructed a water distribution system within the limits of its own municipality; and WHEREAS, the City of Fort Worth and the City of Crowley, acting jointly, wish to provide for construction of a water transmission main extending in a westerly direction from connection to the City of Fort Worth water transmission main in Highway I-35W along the course of Farm to Market Highway 1187 to the easterly city limit line of the City of Crowley, through which mutually constructed water transmission main the City of Fort Worth is to provide water supply to the City of Crowley under a separate contractual agree- ment, NOW THEREFORE KNOW ALL MEN BY THESE PRESENTS: That for and in consideration of the execution and performance of the mutual covenants herein set forth, the City of Fort Worth and the City of Crowley do hereby covenant and agree as follows: 1. TERMS AND CONDITIONS a. The City of Crowley will contract, solely at its own expense, with the firm of Carter and Burgess, Inc. to provide plans, specifications and right-of-way sketches as necessary for the construction of a 16-inch water transmission main, connecting to the existing City of Fort Worth water transmission main crossing of Highway I-35W, north of the interchange with FM 1187, extending in a southerly direction along the westerly right-of-way line of I-35W to FM 1187, and then extending in .a westerly direction along the course of FM 1187 to the easterly city limit line of the City of Crowley. The plans and specifications prepared by the firm of Carter and Burgess, Inc. for the construction of this 16-inch water transmission main will be subject to approval by the appropriate authorities of both the City of Crowley and the City of Fort Worth, and after both approvals have been obtained, the firm of Carter and Burgess shall provide to the City of Fort Worth fifty sets .of approved plans and specifications for the con- struction of the required 16-inch transmission main. b. The City of Fort Worth will, at its sole expense, advertise the approved plans and specifications for bids for the construction of the required 16-inch transmission main, receive and tabulate the bids, and award a contract for construction of the required 16-inch transmission main with the concurrence of the City of Crowley, and upon receipt by the City of Fort Worth of the City of Crowley's check in the net amount of the Contract Price - less $6 per foot of the total length of the required 16-inch transmission main, plus $1,320 per 16-inch valve to be installed on such 16 inch transmission main - such -2- contract price reductions being the City of Fort Worth's payment of the agreed differen- tial cost between the cost of the 8-inch water transmission main required to provide for the needs of the City of Crowley alone and the cost of the 16-inch transmission main to be constructed hereunder. c. The City of Fort Worth shall, at its sole expense, provide all the necessary construction engineering for construction of the proposed 16-inch water transmission main, including acquisition of required right-of-way, highway permits, and railroad crossing permits, staking and inspection of construction, preparation of as -built re- cords, etc. It is understood that approval of all change orders and the authorization for final payment on the contract will require concurrence by the City of Crowley, and that upon completion of construction of the 16-inch main, the City of Crowley's initial payment of the net contract price of the project - after reduction by the City of Fort Worth's payment for the extra size cost - will be rectified with the net final contract price - after reduction by the City of Fort Worth's payment for the extra size main cost - by refund to the City of Crowley by the City of Fort Worth or by additional pay- ment by the City of Crowley to the City of Fort Worth, as appropriate. d. It is understood by both parties hereto that title to the 16-inch water trans- mission main to be constructed under the terms of this contract shall at all times be vested in the City of Fort Worth, and that the City of Fort Worth will be responsible for the operation and maintenance of the 16-inch transmission main to be constructed under the termsofthis agreement after its completion and after its acceptance by the City Council of the City of Fort Worth. 2. CONTRACT FOR WATER SERVICE It is expressly understood by the parties hereto that entrance into this agreement for construction of the 16-inch water transmission described herein above obligates the City of Crowley and the City of Fort Worth to negotiate a contract for water service by the City of Fort Worth to the City of Crowley under the terms and conditions of the City -3- of Fort Worth's standard policies for providing such water service; however, should the City of Crowley and the City of Fort Worth fail to consumate such a contract, it is expressly understood by .the parties hereto that any payments made by the City of Crowley hereunder to the City of Fort Worth shall be forfeit to the City of Fort Worth and not subject to refund to the City of Crowley, 3. The City of Fort Worth and the City of Crowley each binds itself, its successors and assigns, to the other party of this agreement and to the successors and assigns of each other party with respect to all covenants contained in this agreement. Neither party hereto shall assign, sublet or transfer any rights hereunder without the written consent of the other party. IN TESTIMONY WHEREOF, after proper action by the respective governing bodies of the parties hereto, we have caused these presents to be executed in quadruplicate copies, each of which is considered to be an original, and the seals of the respective parties are hereto affixed on the date hereinabove set forth. ATTEST: CITY OF FORT WORTH By: ity Secretary City Manager APPROVED AS TO FORM AND LEGALITY: City Attorney APPROVAL RECOMMENDED: rec or Fort Worth Water Department, ATTEST: CITY OF CROWLEY etary APPROVED S TO FORM AND LEGALITY: Ck VCS- City Attorney I1 ^ .Ii11 dll gip', iNl rN'� � III IY u o M� N iV eniiiin!'A' iu 1; 40 ANY i dII�N'VIi iBi���n;� , ry y, ro' IIIm H w IN,� r f "III, �ma IIUI l +r m„,, DATE 3/26/73 REFERENCE NUMBER C-2480 ort.Texas I;w 7,5 SUBJECT: Long Term Contract with City o Crowley for Sale of Water and Separate Agreement for Construction of 16-Inch Ma: on PAGE 1 of 4 On October 16, 1972, Mr. John J. Burgess, representing the City of Crowley, advised the Director of the Water Department that the City of Crowley desired to purchase water from the City of Fort Worth. It has been determined that the City of Crowley's requirements can be met by construction of an 8-inch water main, extending west in F.M. 1187 from the City of Fort Worth's Burleson Trans- mission Main in I-35W to the Crowley eastern city limits. The Btzti'eson Trans- mission Main has sufficient capacity to supply the City of Crowley's require- ments in this location. It is proposed that the City of Fort Worth pay the differential cost between an 8-inch main required to serve Crowley alone and a 16-inch main required to conform with the Water Department Master Plan for service to the area in the City of Fort Worth. On January 23, 1973, Carter and Burgess, Inc., submitted preliminary plans to the Water Department for the construction of the proposed 16-inch water transmission main for review. Based on the preliminary plans, the Water Pcnartment staff prepared draft agreements under which: The City of Fort Worth would agree to supply water to the City of Crowley under the terms of a proposed standard long-term water sales agreement, and 2. The City of Fort Worth and the City of Crowley would agree to mutually finance construction of a 16-inch water transmission main extending west in F.M. 1187 from I-35W to the Crowley eastern city limit line. On March 8, 1973, the City Council of Crowley approved execution of the two proposed contract agreements by Mayor Harry Teeter of the City of Crowley, and these agreements have been forwarded to the City of Fort Worth for com- pletion of their execution. The terms of these agreements are outlined in the following paragraphs: WATER SALE CONTRACT Summary of Contract Provisions The proposed contract has been prepared in accordance with the standard policy of the City of Fort Worth for the sale of treated water to the neighbor- ing communities. The proposed contract includes the following major provisions: Rates - The charges for water service are the same charges paid by other City purchasers of treated water under long-term contracts and are based on the following schedule: Commodity Charge - 19.1c per 1,000 gallons purchased. Cost of Facility Charge - An annual charge of $15,810 per M.G.D. for maximum day usage; and $7,070 per M.G.D. for maximum hour usage in excess of maximum day usage. DATE 3/26/73 REFERENCE NUMBER C-2480 SUBJECT: Long Term Contract with City of Crowley for Sale of Water and Separate Agreement for Construction of 16-Inch M Service Charge - $25 per month per meter, for meter reading, billing and miscellaneous expense incurred with metering ' operations. . - Payment for Water - The City of Crowley agrees to purchase and pay for all water delivered into the Crowley Water System by the City of Fort Worth. Monthly payments from the City of Crowley will be computed based on the "D" Schedule. The actual annual payment by the purchaser for water service is related to the annual usage and peak volume used but cannot be less than the charge paid for the equivalent amount used by a water consumer within the corporate limits of Fort Worth, plus 10 per cent, plus a $25 monthly service charge per meter. Rate Adjustments - This contract provides for rate adjustments based on actual costs and rates of use, which will be reviewed at five year intervals during the contract time. The first such review and rate adjustment will be effective retroactive to October 1, 1972, and will be based on the consultant's study. The amount charged for raw water shall be increased or decreased proportionately when the raw water cost paid by the City of Fort Worth for water available for treatment and sale to the City of Crowley is increased or decreased. The term of the contract is 27 years. Resale of Water - The City of Crowley agrees not to sell water at a rate lower than the City of Fort Worth rate for a similar customer located within Fort Worth. Meters - The master meter serving the City of Crowley will be located at the eastern city limits of Crowley on F.M. 1187, and will be equipped with flow recorder and transmitting equipment for peak period recording purposes with such facilities to be installed at no cost to the City of Fort Worth. Other meters may be added in the future at mutually agreeable locations. Water to be Supplied by Crowley to Fort Worth - Should the City of Fort Worth desire to provide water service to an area in Fort Worth contiguous to Crowley, application may be made by the Water Department Director to the City of Crowley for approval of connection to City of Crowley water facilities. If sufficient capacity is available in the City of Crowley system, the requested connection will be approved, and the quantity of water provided by the City of Crowley to the City of Fort Worth through this connection will be deducted from the quantity of water supplied by the City of Fort Worth to the City of Crowley prior to computation of billing to the City of Crowley for water supplied by the City of Fort Worth. 16-INCH WATER TRANSMISSION MAIN CONSTRUCTION CONTRACT Plans and Specifications - The City of Crowley will contract, solely at its expense, with the firm of Carter and Burgess, Inc., to provide plans, specifications and right-of-way sketches as necessary for the construction of the 16-inch water transmission main extending DATE 3/26/73 REFERENCE SUBJECT: Long Term Contract with City of PAGE NUMBER Crowley for Sale of Water and Separate 3 4 C-2480 of Agreement for Construction of 16-Inch Matt west in F.M. 1187, from connection to the City of Fort Worth water main in I-35W to the Crowley city limit line. These plans and specifications will be subject to approval by appropriate authorities of both the City of Crowley and the City of Fort Worth. Advertisement and Construction - The City of Fort Worth will advertise the approved plans and specifications for bids, receive and tabulate the bids, and award a contract for construction of the required 16-inch water transmission main, with the concurrence of the City of Crowley, and upon receipt of the City of Crowley's check in the net amount of the contract price, after deduction of the City of Fort Worth's portion of the contract cost. The City of Fort Worth's share of the construction cost shall be determined as the sum of: a. $6 per foot of the total length of the required 16-inch transmission main (approximately 5200 feet), and b. $1,320 per each of the three 16-inch valves to be installed in lieu of 8-inch valves. Based on the preliminary plans the estimated cost of the proposed 16-inch water transmission main will be approximately $120,000, distributed between the cities as follows: City of Fort Worth 5200' x $6 per foot = 3 ea. 16" in lieu of 8" gate valves @ $1,320 each = Total City of Fort Worth's Share City of Crowley Remainder of Project Cost Total Estimated Project Cost $ 31,200 3,960 $ 35,160 $ 84,840 $120,000 The determination of the extra size cost to the City of Fort Worth, between the 8-inch and the 16-inch main sizes, is based on the price differentials in the City's standard installation policy. Construction Engineering - The City of Fort Worth shall, at its sole expense, provide all the necessary construction engineering on the proposed 16-inch water transmission main, including acquisition of rights -of -way, highway permits, right-of-way crossing permits, stak- ing and inspection of construction, preparation of as -built records, and preparation of contractor's estimates. Approval of all change orders and the authorization of final payment on the contract will require concurrence by the City of Crowley. Final Project Cost Distribution - Upon completion of the construction of the 16-inch transmission main, the City of Crowley's initial DATE 3/26/73 REFERENCE NUMBER C-2480 SUBJECT: Long Term Contract with City of Crowley for Sale of Water and Separate Agreement for Construction of 16-Inch Ma PAGE 4 4 of payment shall be conformed with the final contract cost, less the City of Fort Worth's participation as determined above, by refund to the City of Crowley or by additional payment by the City of Crowley, as appropriate. Ownership of Proposed 16-Inch Water Transmission Main - Title to the 16-inch water transmission main to be constructed under this contract shall at all times be vested in the City of Fort Worth, and the City of Fort Worth will be responsible for the operation and maintenance of this transmission main. Water Service Contract Contingency_ - This contract for mutual construc- tion of the 16-inch water transmission main is contingent upon execution of a contract for water sales as outlined above. Recommendation It is recommended that the contract to sell treated water to the City of Crowley and the contract to construct a mutually financed water transmission main to serve the City of Crowley be approved and that the City Manager be authorized to execute the contracts on behalf of the City of Fort Worth. RNL:ms SUBMITTED BY: DISPOSITION BY COUNCIL: PROCESSED BY 0 APPROVED 0 OTHER (DESCRIBE) CITY SECRETARY DATE CITY MANAGER