HomeMy WebLinkAboutContract 30082 CITY SECRETARN'
CONTRACT NO. O
COMPROMISE SETTLEMENT AGREEMENT
This Compromise Settlement Agreement is made and entered into as of the
day of December, 2003 by and between the City -of Fort Worth, Texas, hereinafter
referred to as "Fort Worth", acting herein by and Marc A. Ott, its Assistant City
Manager, and the City of Grand Prairie, hereinafter referred to as "Grand Prairie", acting
herein by and through Tom Hart, its City Manager.
WHEREAS, on March 29, 1999, the Fort Worth and Grand Prairie made and
entered into City of Fort Worth City Secretary Contract Number 24749 (the "Contract")
whereby Fort Worth provides wholesale treated water service to Grand Prairie; and
WHEREAS, Section 16.1 of the Contract requires Grand Prairie to pay to Fort
Worth a Wholesale System Access Fee ("Fees") for each new and enlarged connection
for water service made within Grand Prairie's service area served by the General Benefit
Facilities of the Fort Worth water system; and
WHEREAS, Fort Worth conducted an audit ("Audit") of Grand Prairie's records
related to building permits and Fees for the period of March 1999 through December
1999, and the findings of the audit reflect that the sum of$127,922.38 is owed by Grand
Prairie to Fort Worth for such Fees for the audit period; and
WHEREAS, Grand Prairie collects its impact fees at the time of issuance of the
building permit which were collected prior to the implementation of the said contract
with Fort Worth and disagrees with Fort Worth over the meaning and intent of section
16.1 of the Contract and the amount of Fees owed by Grand Prairie to Fort Worth; and
WHEREAS, Grand Prairie and Fort Worth desire to resolve and settle the above
described-dispute between them.
NOW, THEREFORE, KNOW ALL BY THESE PRESENTS, that the Grand
Prairie and Fort Worth do hereby agree as follows:
1. Payment of Fees. Grand Prairie agrees to pay Fort Worth the sum of$63,961.19
in payment of the Fees owed for the period of March 1999 through December 2000.
2. Acceptance of Fees. Fort Worth agrees to accept the payment of $63,961.19 in
compromise and settlement of the above-described dispute.
3. Settlement. It is understood and agreed that this settlement is the compromise
of doubtful and disputed issues, and that it is not to be construed as an admission of
liability on the part of either Grand Prairie or Fort Worth.
4. No Prior Agreements. This Agreement constitutes the sole agreement of the
Parties with respect to the subject matter hereof and supersedes any prior
or written or oral agreements among the Parties concerning the subjectno
Only a written instrument executed by the Parties may modify this Agree; e
it
FW Compromise Settlement Agreement CC 1/6/04 Page 1 of 2
5. Venue. This Agreement may be enforced by either party hereto by a civil action
brought in the appropriate courts in Tarrant County, Texas. All actions arising hereunder
shall be subject to the laws of the State of Texas, which laws shall be broadly interpreted
to effectuate the manifest intent of this Agreement.
Wherefore, premises considered, the parties hereto have executed this
Compromise Settlement Agreement on the 19.u day of I y , 2004
ATTEST: CITY OF FORT WORTH
C
� t-G By:
t Marc A. Ott
City Secretary Assistant City Manager
I On 1-7 q
APPROVED AS TO FORM AND contract Authoriz tiox
G ITY:
�.� �a
Date
Assistant ity Attorney
A ST: - CITY OF CP.AND PRAIRIE
B
crry To Hart
! T art
City Mana er � �
)k1tw vou' DEP0 7 Y G rY
APPROVED AS TO FORM:
(2�v—m�
Don Postell
City Attorney
i`A WON
FW Compromise Settlement Agreement CC 1/6/04 Page 2 of 2
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 2/24/2004
DATE: Tuesday, February 24, 2004
LOG NAME: 60GRANDPRAIRIE REFERENCE NO.: **C-19974
SUBJECT:
Approval of Compromise Settlement Agreement with the City of Grand Prairie for Payment of Impact
Fees
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute a Compromise Settlement
Agreement with the City of Grand Prairie for payment of impact fees.
DISCUSSION:
On March 16, 1999 (M&C C-17326), the City Council authorized the City Manager to enter into a contract
(City Secretary No. 24749) for water service between the City of Fort Worth and the City of Grand
Prairie. Fort Worth conducted an audit of Grand Prairie's records related to building permits and fees for
the period of March 1999, through December 1999, and the findings of the audit reflected that the sum of
$127,922.38 was owed by Grand Prairie to Fort Worth.
Grand Prairie disagrees with Fort Worth over the meaning and intent of Section 16.1 of the contract which
requires that Grand Prairie pay impact fees for each new and enlarged connection for water service made
within Grand Prairie's service area. Grand Prairie collects its impact fees at the time of issuance of the
building permit, which were collected prior to the effective date of the contract with Fort Worth. Fort Worth
usually collects impact fees at the time that the meters are set.
Grand Prairie and Fort Worth agree to resolve and settle the dispute with a compromise settlement
agreement. Grand Prairie will pay Fort Worth the sum of $63,961.19 in payment of the fees owed for the
period of March 1999, through December 2000. This is the only time period that is in dispute. All other
impact fees and water bills have been paid. As a result of this dispute, Section 16.1 of the Uniform
Wholesale Water and Wastewater Agreements has been rewritten to avoid this type of dispute in the future.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that the Water Department will be responsible for the collection of revenue
associated with this agreement.
TO Fund/Account/Centers FROM Fund/Account/Centers
PW53 488013 060530200040 $63,961.19
Submitted for City Manager's Office by: Marc Ott (8476)
Originating Department Head: Dale Fisseler (8207)
Additional Information Contact: Dale Fisseler (8207)
Logname: 60GRANDPRAIRIE Page I of I