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HomeMy WebLinkAboutContract 26661 �1 U CITY SECRETARY I�p EXHIBIT "A" CONTRACT INTERLOCAL AGREEMENT BETWEEN THE CITY OF FORT WORTH AND TARRANT COUNTY STATE OF TEXAS COUNTY OF TA.RRANT KNOW ALL BY THESE PRESENTS: This Agreement is entered into this day of 2001, between the County of Tarrant, acting by and through its County Administrator, hereinafter referred to as "the County" or "Tarrant County", and the City of Fort Worth, acting by and through its duly authorized Assistant City Manager, hereinafter referred to as "the City" or"Fort Worth", both of Tarrant County, State of Texas. WHEREAS, this Agreement is made under the authority of Sections 791.001 - 791.029, Texas Government Code; and WHEREAS, each governing body, in performing governmental functions or in paying for the performance of governmental functions hereunder, shall make that performance or those payments from current revenues legally available to that party; and WHEREAS, each governing body finds that the performance of this Agreement is in the common interest of both parties, that the undertaking will benefit the public and that the division of costs fairly compensates the performing party for the services or functions under this agreement; and WHEREAS, each governing body agrees to share in the cost of the services as stated below; and WHEREAS, on ( 2001, Tarrant County and Fort Worth entered into a Compromise Settlement Agreement related to the City's June 24, 1999 application to the Texas Natural Resource Conservation Commission (TNRCC) to amend its water service Certificate of Convenience and Necessity (CCN) to include additional retail service areas within the City's extraterritorial jurisdiction ("ETJ") in Tarrant, Denton and Wise Counties (Application No. 32683-C); WHEREAS, under the terms of the Compromise Settlement Agreement, the County and the City agreed to establish an Interlocal Board for the implementation of 10�)MCZ ���(��J��C�W 451130-2 '���U ��''II�L�IW y oMYTH, TE, procedures for non-binding mediation of disputes that may arise under certain provisions of the Compromise Settlement Agreement. NOW THEREFORE, Tarrant County and the City of Fort Worth agree as follows: 1. Establishment of Board. An Interlocal Water Service Mediation Board (herein referred to as "the Mediation Board") may from time to time be convened to serve as a non-binding mediation panel for disputes arising under Paragraph 3 of the Compromise Settlement Agreement. The Mediation Board shall be composed of three members, one of whom shall be a Tarrant County commissioner representing at least some portion of an area for which water service is being requested from the City (or such Commissioner's designee); one of whom shall be a Fort Worth City Council member representing the precinct located nearest to the area for which water service is being requested from the City (or such council member's designee); and one of whom shall be a member appointed by the Executive Vice-President of the Greater Fort Worth Builders Association ("GFWBA") (or such Executive Vice-President's designee). 2. Functions of the Board. The specific function of the Board shall be to assist the parties in arriving at an agreement concerning the extension cost pursuant to Paragraph 3. of the Compromise Settlement Agreement, and only with regard to developers' and landowners' requests for City water service for developments within those portions of Tarrant County which are located within the City's ETJ and are covered by the City's CCN No. 12311 now existing and as it may be amended as a result of Application No. 32683-C or other TNRCC-approved applications for CCN amendment. Accordingly, the Board shall assist the parties in arriving at an agreed determination of(1) the estimated cost of extending a water main sized to serve only the water demands of the residential development at projected maximum build-out (the "Extension Cost"); and (2) the cost to install and operate a local groundwater system for the residential development at project maximum build-out (the "Local System Cost"). 3. Convening of Board. Any developer or landowner who believes that the cost of extending City water service to a residential development is "uneconomical" because 451130-2 INIC- END U the Extension Cost exceeds the Local System Cost by more than 15% of the Local System Cost may submit a written request to the City to convene a meeting of the Board, with copies to the Tarrant County Administrator and the Executive Vice- President of the GFWBA. Within 7 business days of receipt of the request for a convening of the Board, the City, the County and the GFWBA shall designate a representative to serve on the Board who meets the qualifications described in Paragraph 1. In the event of a conflict involving the person who would otherwise be or designate a representative, the highest ranking member (or, if none, then the senior member) of the City Council, the Board of GFWBA, or the Commissioners Court, respectively, shall be or designate the representative. The initial meeting of the Board shall be at the earliest practical time and at a place mutually agreeable to the developer/landowner, the Director of the Fort Worth Water Department and the three Board members. The Board may continue the mediation proceeding from time to time and from place to place. 4. Mediation Procedures. The Board may use any non-binding mediation procedures which the Board in its sole discretion determines will produce an amicable resolution of the dispute. The Board may employ the services of one or more qualified professional mediators to assist it if all parties to the mediation proceeding agree to a sharing of the costs for the professional mediator(s). 5. Costs of Mediation. The City, the County and GFWBA shall each bear the costs of providing its representative to serve on the Board. Unless otherwise agreed by the parties to the mediation, all other costs of the mediation shall be shared by each party on an equal basis. 6. Unsuccessful Mediation. The failure of the Board to achieve an agreed determination of the Extension Cost and the Local System Cost shall not impair or affect the rights of the developer/landowner to make an application to the TNRCC to contest or appeal the City's rates and/or service under the laws then in effect, and not inconsistent with the terms of the Compromise Settlement Agreement. In the event such an application is filed at the TNRCC, the City agrees not to contest the TNRCC's jurisdiction to hear such a case. 451130-2 U 'a '"J'J�U�_UIIUy ��Wo 7. Effect of Agreement. (i). Nothing in the performance of this Agreement shall impose any liability for claims against either Fort Worth or Tarrant County other than claims for which the Texas Tort Claims Act may impose liability. (ii). All rights of GFWBA and any landowner/developer who participates in the mediation shall be deemed to arise under and be determined by the Compromise Settlement Agreement and not this Agreement. Accordingly, the parties to this Agreement do not intend for any third party to obtain a right by virtue of this Agreement. (iii). By entering into this Agreement, the parties do not intend to create any liabilities or obligations express or implied other than those stated in the Agreement; further, this Agreement shall not create any rights in any party not a signatory to the Agreement. (iv). No provision or term contained in this Agreement shall be construed to create any type of partnership or joint venture between the parties hereto, nor shall same create any rights or liabilities except as stated herein. (v). This Agreement is subject to all applicable federal and state laws and any applicable permits, amendments, orders or regulations of any state or federal government authority having or asserting jurisdiction. (vi.). Nothing in this Agreement shall be construed to alter, expand or limit the Constitutional or statutory jurisdiction of Tarrant County nor to infringe upon the Constitutional or statutory jurisdiction of Denton and Wise Counties. (vii). In addition to any other remedy as may be provided by law, this Agreement shall be specifically enforceable by the parties hereto. Venue for any action shall lie exclusively in Tarrant County, Texas. (viii). This Agreement shall become effective immediately upon the execution by the authorized official from each entity. (ix.). The term of this Agreement shall be for one year from the signature date of the latest of the two signatories. This Agreement shall be renewed annually by the respective governing bodies of the City and the County. The City and the County shall schedule the renewal of this Agreement as an action item on the agendas of their 451130-2 respective governing bodies at least 45 calendar days prior to the end of the then-effective annual term of this Agreement. Notwithstanding the annual obligation to renew, this Agreement shall not terminate unless at least 90 calendar days prior to the end of the then-effective annual term of this Agreement a signatory seeking to non-renew shall give written notice of such intention to non-renew to the other signatory. 8. Severability. Should any part of this Agreement be found to be void or unenforceable, the remainder of this Agreement shall continue in full force and effect. AT T: CO Y OFT RRANT r -"L� By: 'L M arrant CounIf Clerkaemus County Administrator Date: Pursuant to Tarrant County Commission Order No. Approve as Form: Assistant DfIrict Attorney -I CIT O FO H i r �A T 10 00 &�d4 By: City Secret e � oomer I- Assistant City Manager Date: U Approved as to Form and Legali ,6�t_Aetit City Attorne (�_- Contract Authorization 451t3o-2 Date ����U���qh��.�, U 0, U ,R W�N11di �! EXHIBIT "B" AGREEMENT FOR INTERIM WATER SERVICE This Agreement For Interim Water Service ("Agreement"), is made and entered into as of the day of , 2001 by and between Development Company, a Texas corporation duly acting by and through its duly authorized corporate officer ("Developer") and the City of Fort Worth, Texas ("Fort Worth" or "the City"), duly acting by and through its Assistant City Manager. WHEREAS, the Developer has submitted a preliminary plan for approval by Fort Worth of a new -lot subdivision named located in Tarrant County ("the Subdivision") within the City's extra-territorial jurisdiction("ETJ"); WHEREAS, the City has obtained from the Texas Natural Resource Conservation Commission ("TNRCC") a certificate of convenience and necessity ("CCN") to provide water service to various portions of the City's ETJ, including the area proposed for the Subdivision; and WHEREAS, in order to proceed with the development of the Subdivision, and to promote orderly development and regionalization of water service within Fort Worth's ETJ, the Parties hereto desire to establish a procedure for providing interim water service to the Subdivision until Fort Worth water service is provided under the City's existing water utility extension ordinance and policies; NOW, THEREFORE, in consideration of the mutual covenants set forth herein, the parties hereto agree as follows: 1.0 Construction of Water System 1.1 The Developer hereby agrees to construct, solely at its own cost, a water distribution system within the Subdivision, including local water mains, valves, service connections, and fire hydrant connections that comply with City construction standards and is suitable for connection to the City's water system at such time as the City's system is extended to the Subdivision. 1.2 The Developer (or a qualified water system operator contracted by the Developer) shall also be responsible for obtaining all easements, rights-of-way, licenses, interests, and rights necessary for the construction, installation, use, maintenance, repair, replacement, extension or improvement of the water distribution system. 451703-2 2.0 Interim Water Service 2.1 At any time prior to connection of the Subdivision to the City's water system, the Developer (or a qualified water system operator contracted by the Developer) may, at no cost to the City, construct and operate a local groundwater system sufficient to serve the Subdivision at maximum buildout. 2.2 The local groundwater system may consist of one or more water wells, storage tanks, treatment facilities, service pumps, pressure tanks and such other facilities as are necessary to provide water service in accordance with all applicable quality of service and public water system statutes and rules of the TNRCC. 2.3 To the extent allowed under Chapter 13 of the Texas Water Code (or successor law) and TNRCC rules, the Developer's costs of the local groundwater system may be recovered through retail water rates charged to subdivision residents for the first ten years of the useful life of the local groundwater system. 2.4 To effectuate the provision of interim water service, the City shall support any application filed by the Developer (or the Developer's qualified contractor) at the TNRCC for a term transfer of the City's CCN, or for a term CCN, to provide water service to the Subdivision on an interim basis until City water service is provided as set forth in Sections 3.0 or 4.0 of this Agreement. 3.0 Water Service at the City's Election 3.1 When the City has constructed the water lines and related water service facilities necessary to serve the Subdivision, it may elect to connect its water system to the Subdivision's water distribution system. 3.2 The decision to connect the Subdivision to the City's water system, and the timing of such decisions, shall be in the sole discretion of the City, except as set forth in paragraphs 4.1 and 4.2 below. 3.3 At such time as Fort Worth elects to connect its water system to the Subdivision, the Developer will convey the Subdivision's water distribution system to the City for a purchase price of$10. 3.4 If Fort Worth elects to connect its water system to the Subdivision at any time within ten years after the Developer commences water service to residents of the Subdivision, then, in addition to the purchase of the water distribution system pursuant to paragraph 3.3 above, Fort Worth will purchase from the Developer all water production and treatment facilities. The purchase price shall be the original cost to the Developer of purchasing or constructing the water production and treatment facilities (not to exceed the fair market value in Tarrant County for facilities of the same type and specifications), less accumulated depreciation (calculated following generally accepted utility ratemaking practices), and 451703-2 contributions in aid of construction, all at the time of purchase by Fort Worth (collectively "Net Book Value"). 4.0 City Water Service at the Homeowner's Election 4.1 At any time prior to Fort Worth's connection of its water system to the Subdivision, the homeowners residing in the Subdivision, acting by and through a legally constituted homeowners association or other representative entity ("the Homeowners"), may request the City to provide water service to the Subdivision. 4.2 In response to the Homeowners' request pursuant to paragraph 4.1, the City will construct the necessary extension and connect its system to the Subdivision upon the performance of the following conditions: the Homeowners shall (1) pay the City for the cost of extending the nearest available City water main from its then- existing termination point to the Subdivision; and (2) pay the Developer any amounts that would otherwise be owed by the City to the Developer under Paragraphs 3.3 and 3.4 above. The water production and treatment system (including all water wells) shall become the property of the Homeowners, and the distribution system shall be transferred to Fort Worth. 4.3 The Developer shall provide written notification to all Subdivision property owners of the rights and obligations described in Paragraphs 4.1 and 4.2 at the time of lot conveyance. The Developer shall also set forth the rights and obligations described in Paragraphs 4.1 and 4.2 in a notation on any recorded subdivision plat for the Subdivision or in some other instrument recorded in the Deed Records of Tarrant County. 5.0 Miscellaneous 5.1 The Parties agree that the designation under this Agreement of areas and customers to be provided water service is valid and enforceable and may be submitted to the TNRCC for approval at the appropriate time pursuant to Section 13.248 of the Texas Water Code regarding contracts designating areas to be served by retail public utilities. 5.2 To effectuate the transfer of the water distribution system to the City, upon connection of the City's water system to the Subdivision pursuant to the terms of this Agreement, the Developer shall cooperate and assist City to the extent reasonably necessary to obtain TNRCC approval of any City application to transfer both the Subdivision water system and the water CCN covering the Subdivision to the City. 5.3 At such time as the City water system is connected to the Subdivision pursuant to this Agreement, the Developer will provide the following to Fort Worth (i) the water pumpage flow volumes in writing for each month of the preceding calendar 451703-2 year (ii) the names, addresses, and monthly water meter readings from all water system customers, in writing and (iii) all water customer deposits. 5.4 If the Developer engages a contractor to provide water service to the Subdivision, then the Developer will first contractually obligate such contractor to the terms and conditions of this Agreement. 5.5 This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective legal representatives, corporate affiliates, successors and assigns. 5.6 The Parties acknowledge that each party and its counsel have reviewed and revised this Agreement and that the normal rules of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or exhibits hereto. 5.7 This Agreement constitutes the sole and only agreement of the parties with respect to the subject matter hereof and supersedes any prior understandings or written or oral agreements among the parties concerning the subject matter hereof. Wherefore, premises considered, the parties hereto have executed this Agreement on the dates set forth below. ATTEST: CITY OF FORT WORTH By: Gloria Pearson Mike Groomer City Secretary Assistant City Manager APPROVED AS TO FORM AND LEGALITY: Assistant City Attorney ATTEST: DEVELOPMENT COMPANY By: Corporate Secretary Date: Its 451703-2 COMPROMISE SETTLEMENT AGREEMENT This Compromise Settlement Agreement is made and entered into as of the 1 day of A 4ge i I , 2001 by and between the City of Fort Worth, Texas ("the City" or "Fort Worth") duly acting by and through its Assistant City Manager; the County of Tarrant ("Tarrant County"), a county and political subdivision of the State of Texas duly acting by and through its County Administrator; the Greater Fort Worth Builders Association ("GFWBA"), a building industry trade association duly acting by and through its Executive Vice-President; and Danny R. Moss ("Moss") acting in his individual capacity (collectively, the "Parties"). WHEREAS, on June 24, 1999, the City filed an application with the Texas Natural Resource Conservation Commission (TNRCC) to amend its water service Certificate of Convenience and Necessity (CCN) No. 12311 to include additional retail service areas within its extraterritorial jurisdiction in Tarrant, Denton and Wise Counties (Application No. 32683-C); and WHEREAS, at the July 20, 2000 preliminary hearing on the City's CCN application in SOAH Docket No. 582-00-1092, Tarrant County, GFWBA, and Moss (collectively, "the Intervenors") intervened and were given party status in that docket; and WHEREAS, the Parties hereto desire to establish terms and conditions under which Fort Worth will seek to extend water service to residential and commercial developments within the CCN area if approved as applied for in Application No. 32683- C ("the Requested CCN Service Area") and subject to the issuance of the CCN; and WHEREAS, the County, GFWBA and Moss by entering into this Compromise Settlement Agreement are neither agreeing nor disagreeing with the issuance of the CCN as applied for by the City, and no provision of this Agreement shall be construed to support or oppose the City's CCN application; and WHEREAS, the City and the Intervenors desire to resolve their differences in a manner that will permit the Intervenors to withdraw their protests of the City's CCN Application No. 32683-C and save the Parties the time and expense of litigating issues of concern to the Parties, NOW, THEREFORE, KNOW ALL BY THESE PRESENTS, that the City and the Intervenors do hereby agree as follows: 1. Extension of City Water Service. The City will provide retail water service to developments within the Requested CCN Service Area under the terms and conditions of the City's water utility extension policy and ordinances, as amended from time to time, except as set forth in Paragraphs 3 and 5, subject to applicable state law and TNRCC rules. Page ] 451146-1 vUll U ��vNal4{�ll►y� 2. Water Distribution Lines and Meters. Water distribution lines, fire hydrant connections, metered connections and all other water production, treatment, storage and distribution facilities serving a development within the Requested CCN Service Area will be constructed to specifications established by City Code and applicable City construction standards and specifications. At the time a City water main is made available for connection to a development within the Requested CCN Service Area, all such water production, treatment, storage and distribution facilities serving the development will be contributed to the City free and clear of encumbrances not expressly assumed by the City. 3. City Water Main Extensions. The cost charged by Fort Worth for extension of a City water main to a development within the Requested CCN Service Area will be the estimated cost of extending a line sized to serve only the water demands of the development at the projected maximum build-out (the "Extension Cost"), unless: a. the City and the developer agree on an alternative cost-sharing arrangement; or b. for residential developments, the extension of the water main is determined to be uneconomical because the Extension Cost exceeds the cost to install and operate a local groundwater system for the development at the projected maximum build-out (the "Local System Cost") by more than 15% of the Local System Cost. 4. Interlocal Mediation Procedures. An Interlocal Board shall be created to establish procedures for non-binding mediation of disputes that may arise concerning the determination of whether a water line extension is "uneconomical" pursuant to Paragraph 3.b. The terms and conditions for the establishment of the Interlocal Board and mediation procedures are set forth in an Interlocal Agreement between Fort Worth and Tarrant County attached hereto as Exhibit "A" and incorporated herein for all purposes. 5. City Options for Extensions. In the case of a City water main extension determined to be uneconomical under Paragraph 3. b., the City may elect one of the following two options (a) or(b): (a) Reduce the Extension Cost to be paid by the developer to an amount equal to 115% of the Local System Cost and provide service through one of the following options: (i) by constructing the City water main extension to the development. In such case, to the extent authorized under Chapter 13 of the Texas Water Code (or its successor law), the City may recover the difference between the reduced Extension Cost paid by the developer and the true Extension Cost in a rates surcharge on customers within the development with such recovery amortized over the useful life of the City water main extension; EI Page 2 CJID 451146-1 i�'Q�V��i5JC7M�J /J U Uo v`1�,ll tI 11D �ISWo (ii) by constructing and operating a local groundwater system on an interim basis until the City's water mains are available for connection to the development. (b) Allow the developer to construct and operate, either itself or through a subcontractor, an interim local groundwater system subject to an agreement, the form of which is attached as Exhibit "B". To effectuate such interim groundwater service, the City agrees to cooperate with the developer or the developer's subcontractor in obtaining a term transfer of the City's CCN. If the developer or the developer's subcontractor is unable for any reason to provide continuous and adequate water service to the development, the City shall have no obligation to provide water service unless and until the term CCN expires or the City otherwise obtains a CCN to serve the development. 6. Private Water Wells. Nothing in this Agreement shall be construed to alter or affect the rights of residents in the City's ETJ to obtain water through the use of private water wells serving lots of a minimum size of one acre as set forth in City ordinances and policies. Property owners and developers may continue to rely on private water wells for lots that comply with the City's large lot development policy so long as it does not contravene state law. 7. Effect of Agreement on Non-Parties. Intervenors and the City agree to make all reasonable good faith efforts to promote and encourage the members of GFWBA and any other persons who request water service from the City to become familiar with the substantive terms of this Agreement and to abide by the procedures and the agreements set forth herein. The Parties agree and acknowledge that persons not a party hereto are not bound by the terms hereof and that, to the extent any non-parties fail or refuse to abide by the terms and conditions hereof, the rights and obligations of such non-parties and the Parties hereto shall be as provided for by applicable law and rules of the TNRCC. Each Party further agrees, however, that it will not intervene in a contested case brought by a non-party regarding water service within the area of Fort Worth CCN No. 12311 unless that intervening Party's position is consistent with the terms of this Agreement. 8. Withdrawal of Protests. Within three (3) business days of execution of this Agreement by all Parties, Intervenors agree to submit a written withdrawal of their protests of Fort Worth's CCN Application 32683-C and to withdraw as parties from SOAH Docket No. 582-00-1092. 9. Submission of Agreement to TNRCC. The City, GFWBA, and Moss agree that the designation under this Compromise Settlement Agreement of areas and customers to be served by water utility providers is valid and enforceable and may be submitted to the TNRCC for approval at the appropriate time pursuant to Section 13.248 of the Texas Water Code regarding contracts designating areas to be served by retail public utilities. 10. TNRCC Approvals. The City will exercise its best efforts to obtain the agreement of the TNRCC staff to incorporate provisions in any amended CCN issued to the City to effectuate the purposes of this Agreement. The failure or refusal of the TNRCC to Page 3 451146-1 fOftSIC-y��MM� s RY U Uo J J JI1,11 N 711 incorporate any such special provisions in the CCN will not impair or otherwise affect the rights and obligations among the Parties to this Agreement. 11. No Admissions. Nothing in this Agreement shall be deemed to constitute an admission as to the qualification of the City for the CCN amendment as applied for in TNRCC Application No. 32683-C. Nothing in this Agreement shall affect the Parties' rights under the jurisdiction of the TNRCC to seek review of charges that are part of the City's tariff under its CCN; however, the Parties agree not to take any position in any rate case or CCN dispute before the TNRCC that is adverse to the terms of this Agreement, in particular (but not limited to) the service alternatives and determinations made pursuant paragraphs 3 and 5 above. Nothing in this Agreement shall obligate the City to reduce the size of the Requested CCN Service Area or to seek an amendment of its pending CCN application to reduce or enlarge the size of the Requested CCN Service Area. The Parties acknowledge that Tarrant County, GFWBA, and Moss take no position on whether the size of the Requested CCN Service Area should be reduced or enlarged or whether the CCN amendment applied for by the City should or should not be granted. 12. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties and their respective legal representatives, corporate affiliates, successors and assigns. 13. Construction of Agreement. The Parties acknowledge that each party and its counsel have reviewed and revised this Agreement and that the normal rules of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or exhibits hereto. 14. No Prior Agreements. This Agreement constitutes the sole agreement of the Parties with respect to the subject matter hereof and supersedes any prior understandings or written or oral agreements among the Parties concerning the subject matter hereof. This Agreement may be modified only by a written instrument executed by the Parties. 15. Venue. This Agreement may be enforced by any Party hereto by a civil action brought in the appropriate courts in Tarrant County, Texas, or by an administrative action at the TNRCC and in the appropriate courts of Travis 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. 16. Filing of Agreement. Copies of this Agreement may be filed in all TNRCC certification applications arising hereunder to evidence the agreement of the Parties to the terms hereof to effectuate all consents and approvals that may be required by the TNRCC. 17. Open Records/Public Information. This document, when executed, along with attachments hereto is an Open Record available to the public upon request. e 4 4581146-1 �V �Cc' 18. Sharing of Costs. Each Party shall bear its own costs and attorneys fees incurred in this matter. Wherefore, premises considered, the Parties hereto have executed this Compromise Settlement Agreement on the It L, day of , 2001. TEST: CITY OF F W TH c (�.(1,�• By: Gloria �retary rson �- _p Mike Gr omer City Sc Assistant City Manager APPROVED AS TO FORM AND LEG TY: - /�5-45- Contract Authorization Amity Attorney Date ATTEST: COTY NT By: . t� Tarrant County Clerk d. K. Maenius County Administrator APPROVED AS TO FORM: Pursuant to Tarrant County Commissioners Court Order No. OGS Assistaroistrict Attorney 7GRAEAR?FORWO TH BUILDERS SSO ATION KdAti S tterfield Executive Vice-President .�,.. anny R. Wss, Individually Page 5 451146-1 !"T. U U1flW EI City of Fort Worth, Texas 4volyor And Council Communication DATE REFERENCE NUMBER LOG NAME PAGE 4/10/01 C-18545 1 6000MPROMISE 1 of 2 SUBJECT APPROVAL OF COMPROMISE SETTLEMENT AGREEMENT WITH TARRANT COUNTY, THE GREATER FORT WORTH BUILDERS ASSOCIATION, KEN W. HACKETT AND DANNY R. MOSS REGARDING THE CITY OF FORT WORTH WATER CERTIFICATE OF CONVENIENCE AND NECESSITY APPLICATION AND AUTHORIZATION TO EXECUTE AN INTERLOCAL AGREEMENT WITH TARRANT COUNTY RECOMMENDATION: It is recommended that the City Council: 1. Authorize the City Manager to execute the attached Compromise Settlement Agreement with Tarrant County, the Greater Fort Worth Builders Association, t and Danny R. Moss regarding the City of Fort Worth Water Certificate of Convenience and Necessity (CCN) application; and 2. Authorize the City Manager and City Attorney to execute the attached Interlocal Agreement with Tarrant County (attachment °A° to the Compromise Settlement Agreement). DISCUSSION: Tarrant County, the Greater Fort Worth Builders Association (Association), KannAim= nd Danny Moss all requested and were granted status to intervene in the City of Fort Worth CCN application currently pending before the Texas Natural Resource Conservation Commission. A compromise settlement has been negotiated with all parties involved. The settlement provides for resolution of issues concerning costs and procedures and provides for a mechanism by which disagreements between extraterritorial jurisdiction developers and^the City m' ht be resolved at the local level. Lt,ci d'l� The basic terms of the settlement are: • Tarrant County, the Greater Fort Worth Builders Association, Ken Hackett and Danny Moss will withdraw their opposition to the Fort Worth CCN application; and • Developments within the granted CCN area will be built with utilities that meet City policies for installation and extension; and • A formula will be used to determine whether the extension of the City"s system would be economically unfeasible and an alternative provider provision is included. In addition, the agreement provides for the creation of an Interlocal Water Service Mediation Board to be made up of representatives of the Tarrant County Commissioners, City Council Members, and the Association to serve as a non-binding mediation panel. The interlocal agreement creates the Interlocal Water Service Mediation Board. City of Fort Worth, Texas 4baffor And council Communication DATE REFERENCE NUMBER LOG NAME PAGE 4/10/01 C-18545 6000MPROMISE 2 of 2 SUBJECT APPROVAL OF COMPROMISE SETTLEMENT AGREEMENT WITH TARRANT COUNTY, THE GREATER FORT WORTH BUILDERS ASSOCIATION, KEN W. HACKETT AND DANNY R. MOSS REGARDING THE CITY OF FORT WORTH WATER CERTIFICATE OF CONVENIENCE AND NECESSITY APPLICATION AND AUTHORIZATION TO EXECUTE AN INTERLOCAL AGREEMENT WITH TARRANT COUNTY FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that approval of the settlement agreement will have no material effect on City funds. MG:k Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) Mike Groomer 6140 APPROVED originating Department Head: CITY COUNCIL Dale Fisseler 8207 (from) APR 10 2001 Additipqal Information Contact: City Secretary of the Dale Fisseler' 8207 City 61 Fort Warty,Tarte