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HomeMy WebLinkAboutContract 4877 ' t CITY SECRETARY CONTRACT No. CONTRACT FOR WATER SERVICE BETWEEN THE CITY OF FORT WORTH, TEXAS eC AND THE offices Rite., CITY OF HALTOM CITY, TEXAS CITY SECK1� THE STATE OF TEXAS X f T. (NORTH, TEX. COUNTY OF TARRANT X THIS CONTRACT AND AGREEMENT made and entered into this 16 day of September , 19 6_, by and between the City of Fort Worth, a municipal corporation located in Tarrant County, Texas, acting by and through its duly authorized mayor, Bayard H. Friedman, and the City of Haltom City, a municipal corporation located in Tarrant County, Texas, acting by and through its duly authorized mayor, M. L. Ward. W I T N E $ S E T Ho WHEREAS, the City of Fort Worth has provided at its own expense, and now owns, operates and maintains facilities for processing and distributing a large supply of surface water, and at the present time is qualified to furnish and deliver treated water, both within and without the corporate boundaries of the City of Fort Worth; and, WHEREAS, the City of Haltom. City has provided at its own expense and now owns, operates and maintains an underground water supply system and a distribution system; and, WHEREAS, the underground supply system of the City of Haltom City is expected in the future to be unable to meet the total needs of its residents ; and, WHEREAS, the City of Haltom City does not now have and cannot provide economically and within a reasonable period of time, any other source of water supply ; and, WHEREAS, it is deemed to be in the best interest of both the City of Fort Worth and the City of Haltom City that said Cities do enter into a mutually satisfactory agreement by means of which the City of Haltom City may obtain a supply of treated water at a reasonable rate; and, WHEREAS, by the execution of this contract, neither the City of Fort Worth nor the City of Haltom City will surrender any of its rights to the ownership and operation of its present water production and distribution facilities ; 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 Haltom City do hereby covenant and agree as follows : 1 . TERMS AND CONDITIONS The City of Fort Worth agrees to furnish and sell to the City of Haltom City treated water under the normal operating pressure prevailing in the Holly pressure plane of the City of Fort Worth' s water distribution system at the point or points of delivery. The City of Haltom City agrees to accept delivery of such treated water at the said point or points of delivery under the conditions of this agreement and to pay for the same in accordance with the terms hereof. If at any time during the term of this contract the furnishing of water by the City of Fort Worth to the City of Haltom City shall be to the detriment of water customers within the City of Fort Worth, then and in that event the quantity of water furnished to the City of Haltom City will be reduced in the same proportion to the reductions in quantity of water being furnished other customers served by the Holly pressure plane either in or out of the City of Fort Worth. If the City of Fort Worth shall ration the use of water throughout said City or issue water conservation measures or restrict the use of water in any way, the City of Haltom City shall , at its option, either: -2- 1 . discontinue taking water from the City of Fort Worth under this agreement during the period of rationing, water conservation or restriction by the City of Fort Worth ; or 2. institute and apply the same rationing, conservation measures or restrictions to the use of water by the customers of the City of Haltom City, so long as any part of the total water supply of Haltom City is being furnished by the City of Fort Worth. The City of Fort Worth and the City of Haltom City agree that if the City of Fort Worth should enter into any future contract for supplying treated water to any municipality under more favorable terms or conditions than set forth herein, this contract may be amended to provide the same terms and conditions with respect to the sale of treated water to the City of Haltom City. 2. METERS All water furnished under this agreement shall be measured by one or more suitable meters equipped with continuous flow chart-recording devices, and rate of flow control devices. All meters, recording equipment, and rate of flow devices shall be installed and operated by the City of Fort Worth, with the City of Haltom City paying to the City of Fort Worth the cost of the meter and appurtenances plus the installation and maintenance cost thereof. The point or points of delivery of treated water by the City of Fort Worth shall be the meter vault connection on the customer' s side of the meter, and all necessary mains and distribution facilities from and beyond said point shall be furnished, installed, owned, operated, and maintained by the customer, the City of Haltom City. The location of each meter shall be mutually agreed upon by and between the parties hereto, and the meter or meters shall not be moved or relocated except by mutual consent. The location of each meter shall coincide with the Fort Worth city -I- Section 2 - METERS Continued limit line as nearly as is reasonably possible. The meters first employed shall be located as shown on the map attached hereto marked Exhibit "A" and expressly made a part hereof. In addition to the two metering stations as marked on the map attached hereto as Exhibit "A" it is anticipated that a metering station will be constructed near the corner of Beach Street and Stanley-Keller Road on or about May 15, 1966. Each City shall have the right to test the meters and flow controllers at any time, by first giving the other party notice of its intention to make such a test. No meter shall be adjusted, changed or tested, in place or elsewhere, without giving notice to the other party of this intention to make such a test, and thereafter giving reasonable opportunity to the other party to have representatives participate in such test, change or adjustment. For these purposes the meter and control equipment will be properly sealed, and the seal shall not be broken except in the presence of representatives of all parties or following due notice to all parties. The City of Haltom City or the City of Fort Worth at its own expense, including the cost of maintenance and repairs, may install a check meter to check measure the volume of water passing through the master meter, provided that if such check meter is installed the same rules and regulations relative to its operation and reading shall apply as to the meter being tested. 3• METER READING AND BILLING The City of Fort Worth will read all meters provided for herein at monthly intervals and the parties to this agreement shall have free access to read these respective meters daily, if either party so desires. It shall be the duty of the parties to give immediate notice, each to the other should any meter be found not functioning, and upon such notice repairs to such meter shall be made promptly. Whenever it is evident that a meter has not registered accurately for a period of time, the quantity used shall be estimated in accordance with usage under similar conditions for an equal period. ._t<_ Section 3 - METER READING AND BILLING Continued The meter readings and rates of flow shall be added together when more than one meter is in service and the sum thereof shall be used for the purpose of calculating the charges for water used. A review of water usage amounts by the customer for the past twelve (12) months shall be made during the preparation of the September bill each year. The September statement shall be prepared so as to reflect any and all rates of use charges which have not been previously billed and paid. A copy of the rate of flow charts showing the maximum day and the peak hour of the year shall be furnished to the customer with the September billing. The City of Haltom City agrees to appropriate annually sufficient funds to pay the monthly charge for water service. The water charge to be paid bythe City of Haltom City to the City of Fort Worth shall be deemed a current expense of the City of Haltom City for each year of this contract as such monthly charges become due and payable. The monthly bill shall be due and payable at the office of the Fort Worth Water Department on or before the 15th day immediately succeeding the monthly billing date. 4. DEFINITIONS "Annual consumption" is the total quantity of water purchased under the terms of this contract by the City of Haltom City during the fiscal year of the City of Fort Worth as determined by the difference in the annual September meter readings. "Average daily use" is the annual consumption divided by 365. "Maximum day usage" is the maximum quantity of water usedduring one calendar day of the fiscal year of the City of Fort Worth. "M.G.D." is million gallons per day. "G.P.D." is gallons per day. "T.G.P.D." is thcusar,j gallors r+er day. "Fiscal Year" is the fiscai year of the City of Fort Worth From October 1 to -5- Section 4 _ DEFINITIONS Continued September 30. "Maximum hour rate" or the "peak hour rate" is the quantity of water used during the one hour of the year when more water passed through the meter or meters serving the customer than during any other hour of the fiscal year of the City of Fort Worth, multiplied by 24. "Commodity charge" is that part of the rate charged per 1 ,000 gallons used, regardless of rate of use. The commodity charge shall include the maintenance and operation cost, the capital facilities cost on the part of the production and trans- mission system related to annual use and the raw water costs. "Raw water charge" is a part of the commodity charge and represents the rate per 1 ,000 gallons charged by the Tarrant County Water Control and Improvement District No. 1 to the City of Fort Worth for raw water to be sold to the City of Haltom City, Plus 13% of said rate representing Fort Worth water system losses. "Rate of use charge" is the fixed charge determined for the maximum day and the maximum hour rates of use. "Base rate" is composed of the commodity charge, and the rate of use charge. 5. RATES 1 . Method of rate determination The annual rate charged by the City of Fort Worth for rendering water service under the terms of this contract shall be based upon the functional distribution of the total annual cost incurred in furnishing treated water to its cLIst`7mers , provided that nothing herein shall be construed as contemplating an annual rate of less than the regular City of Fort Worth water only rate, plus 10 per cent of said rate. 2. Rates to be used The annual rate to be charged for water shall include: the proper proportionate parts of the maintenance and operation cost as related to th,' orodul-tion and trans- -rl_ Section 5 - RATES Continued mission facilities of the total Fort Worth Water System, the capital facilities cost (fixed charges) on the production and transmission plant related to the rendition of service at maximum withdrawal rates of use by the City of Haltom City and the raw water costs. The charges for the initial period of the contract which shall terminate September 30, 1967, have been computed to be as follows : a. The commodity charge shall be 16� per 1 ,000 gallons withdrawn by the customer. b. The annual rates of use charges for maximum day usage shall be $16,000 per M.G.D. and maximum hour rate of usage in excess of the maximum day shall be $8,280 per M.G.D. c. The service charge shall be $25.00 per month per master meter. 3. Adiustment of rate a. Raw water 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 Haltom City is increased or decreased. At the time of execution of this contract:, the rate, including 13% for system losses, to the City of Haltom City is 9G per 1 ,000 gallons. The portion of the raw water charge: which reflects system losses shall be adjusted in the manner sett out it sut—paragraph b. below in accordance with actual experience during the preceding period. If the City of Haltom City enters the Tarrant County Water Control and Improvement District No. 1 and the raw water rate then being paid by the City of Fort Worth to the District for water furnished under this contract is reduced as a result thereof, the raw water rate then being paid by the City of Haltom City to the City of Fort Worth hereunder shall be reduced in the same proportion. As an ex:implt , if tt,� pity :)f P:_,ltnn! City entt--5 -7- Section 5 - RATES Continued the District, it is anticipated that the raw water charge to the City of Haltom City will be reduced to 42 per 1000 gallons. b. Commodity charge and rates of use charges The rate shall be reviewed and adjusted every five years except that the first such review shall be based on the annual cost of operation for the fiscal years, 1965-66 and 1966-67. The cost related to the production and transmission function of distributing treated water to the Fort Worth city limits in wholesale quantities plus a service charge shall be determined in accordance with methods herein. Such costs shall be projected through the City of Fort Worth fiscal year 1970 to establish the fair rate for water to be charged during the period October 1 , 19679 to September 30, 1972. The adjusted rate shall be made effective October 1 , 1967. A similar review and rate adjustment shall be made for each succeeding five year period for the term of the contract. 6. PAYMENT FOR WATER Payment of charges to the City of Fort Worth for water used by the City of HaltD m City shall be made as follows : I . Minimum annual payment The City of Haltom City agrees to pay to the City of Fort Worth the annual rate of use charge based on a withdrawal rate of not less than 1 ,500,000 G.P.D. , the commodity charge for 30,000„000 gallons per year, and the service charge. After the metering station at Beach Street and Stanley-Keller Road has been placed in service the minimum annual payment shall be based on the withdrawal rate of 3.,000,000 G.P.D. and 150.,000,000 gallons per year. -8- Section 6 - PAYMENT FOR WATER Continued 2. Maximum rate of delivery The rate at which water is withdrawn from the City of Fort Worth system by the City of Haltom City shall be regulated by rate of flow controllers, pumps or other approved methods. The rate of withdrawal shall be controlled so that the maximum rate shall not exceed 1 .35 times the "maximum day rate" of withdrawal experienced during the previous year unless the City of Haltom City has notified the Director of the Fort Worth Water Department in ,writing at least six months prior to the date of the anticipated increase in maximum rate of withdrawal and has furnished all pertinent information regarding the proposed increase in maximum rate of withdrawal to the Director of the Fort Worth Water Department and said Director has given his written approval thereof, except that the said Director may waive all notice requirements, if, in his opinion, said notice is not necessary to protect the interest of the City of Fort Worth. 3. M i n i mum'month l y charge The minimum monthly charge shall be one-twelfth of the minimum annual rate of use charge plus the service charges. For the first period of the contract the minimum monthly payment shall be $2050 for which payment the City of Haltom City shall be entitled to withdraw water at the rate of 1 .5 million gallons per day from the Fort Worth system. After the metering station at Stanley-Keller and Beach Street is in operation the minimum monthly payment shall be $4000 plus $25.00 for each metering station then in use for which payment the City of Haltom City shall be entitled to withdraw water at the rate of 3.0 million gallons per day from the Fort Worth system. -9- Section 6 - PAYMENT FOR WATER Continued 4. Monthly payment The monthly payment shall include the minimum charge plus the commodity charge multiplied by the quantity of water withdrawn from the Fort Worth system during the month. For example, the monthly charge for 20,000,000 gallons for July, 1964, would be as follows: Minimum charge $2,050,00 20,000,000 x . 16 3,200.00 July billing $5,250.00 5. Annual payment The actual total annual payment for water by the City of Haltom City shall be related to the annual and peak volumes used by the customer during the fiscal year as determined by meters, flow recording devices or other approved methods. The total annual payment shall not be less than the sum of the monthly payments calculated at the regular City of Fort Worth water only rate plus 10%. The September bill shall reflect any necessary adjustment in the annual payment due to the actual rates of withdrawal being larger than the rate paid for each month under the minimum charge. The method of computation for determining the total annual payment and the September bill is shown using assumed quantities in the example as follows : Example - Under these assumed conditions the monthly payments when no water is withdrawn is $2,050,00. _in_ Section 6 - PAYMENT FOR WATER Continued Month Usage Per Month Monthly Payment October -0- $ 2,050.00 November -0- 2,050.00 December -0- 2,050.00 January -0- 2,050.00 February -0- 2,050.00 March -0- 2,050.00 April -0- 2,050.00 May -0- 2,050.00 June 10,000,000 3,650.00 July 20,000,000 5,250.00 August 20,000,000 5,250.00 Sub-total 50,000,000 $30,550.00 September 10'000X000 6,050.00 TOTAL 60,000,000 $36,600.00 Maximum day for the year 1 ,650,000 gallons Maximum hour for the year 1 ,650,000 gallons per day rate Total Annual Payment 60,000 x . 16 = $ 9,600.00 1 .65 x 16,000 = 26,4o0.0o 12 x 2 x 25 = 600.00 TOTAL $36,600.0o Less Previous Payments 50,000 x 016 = $ 8,000 11 x 2050 — 22,550 30,550-00 September Billing $ 6,050.00 7. EFFECTIVE DATE OF CONTRACT FOR BILLING The effective date of this contract for billing purposes shall be September 15, 1963. 8. LIFE OF CONTRACT The life of this contract shall be for thirty (30) years from the date of execution hereof, and may be renewed upon terms mutually agreeable to the parties hereto. _tt_ 9. RIGHTS OF WAY The City of Haltom City shall grant to the City of Fort Worth such easements and rights of way along public highways or other property owned by the City of Haltom City as are appropriate to construct and maintain water mains and facilities within the City of Haltom City to furnish water to the City of Haltom City and in other areas. The City of Fort Worth will move such water mains when reasonably necessary upon notice from the City of Haltom City. The City of Fort Worth will repair any damage to a street in the City of Haltom City caused by the existence of such water mains therein, All work done by or on behalf of the City of Fort Worth under this paragraph will be performed in accordance with specifications equal to those applying to work of a similar nature performed within the City of Fort Worth. 10, MUNICIPALITY MAY BECOME PART OF THE TARRANT COUNTY WATER CONTROL AND IMPROVEMENT DISTRICT NUMBER ONE The City of Haltom City has determined not to be a part of the Tarrant County Water Control and Improvement District Number One at this time but is in no way precluded by this contract from becoming a part of the District at any time in the future. If the District levies an additional ad valorem tax to finance water supply facilities the City of Haltom City will pay to the City of Fort Worth an additional amount for treated water equivalent to the estimated water district tax that would have been levied on property located within the City of Haltom City had the City of Haltom City been a part of the District. The additional payment shall be made annually in December to the City of Fort Worth. The amount of the additional payment shall be determined using tax valuations of property that is furnished water under the terms of this agreement as established by the County Tax Assessor and Collector of the County in which the property is located and the tax rate per $100.00 valuation as established by the Tarrant County Water Control and Improvement District Number 1 for property located in the Tarrant County Water Control and Improvement District Number 1 . -12- 11 . STATE HEALTH DEPARTMENT APPROVAL The water system of the City of Haltom City shall be approved by the Texas State Department of Health during the life of this contract. If at any time the water system of the City of Haltom City is not approved by the Texas State Department of Health, there shall not be any direct physical connection between the Fort Worth Water System and the Haltom City Water System. 12. RESALE OF WATER The City of Haltom City does hereby covenant and agree not to sell water to any user located within its city limits at a rate lower than the equivalent Fort Worth rate charged a similar customer located within the City of Fort Worth. The City of Haltom City agrees to furnish the City of Fort Worth Water Department a complete rate schedule for all City of Haltom City water sales. The City of Haltom City will not make any extension of water lines beyond the city limits of the City of Haltom City as its boundaries now exist or may hereafter exist, nor permit any connections for water outside its city limits, without the approval of the City of Fort Worth. In the event the City of Fort Worth agrees to any other extension by the City of Haltom City of its water service outside its boundaries, the rates to be charged its customers by the City of Haltom City and the compensation to be paid by it to the City of Fort Worth shall be determined and fixed at the time such action is taken. 13 . EMERGENCY RATES OF USE During a temporary emergency condition created by an unforeseeable mechanical failure or by unprecedented high rate of water usage such as might result from a major fire or a major break, it may be necessary that water be withdrawn from the Fort Worth system at a rate of usage in excess of that required to meet the usual -13- Section 13 - EMERGENCY RATES OF USE Continued peak requirements of the City of Haltom City. It is agreed that extra rate of use charges that would normally be applicable shall not apply for such emergency with- drawals However, the commodity charge for such water shall be payable.. It is further agreed that if Fort Worth experiences such similar temporary emergency water supply conditions, water may be released to Fort Worth from the Haltom City system upon request by the Director of the Fort Worth Water Department. The quantity of water used by Fort Worth during such emergency conditions shall be deducted from the quantity of water withdrawn from the Fort Worth System during the month by the City of Haltom City before computing the monthly payment by the City of Haltom. City. 14. FORCE MAJEURE If by reason of force majeure, either party hereto shall be rendered unable, wholly or in part, to carry out its obligations under this agreement other than the obligation of the City of Haltom City to make payments required under the terms hereof, then if such party shall give notice and full particulars of such force majeure in writing to the other party within a reasonable time after the occurrence of the event or cause relied on, the obligation of the party giving such notice, so far as it is affected by such force majeure, shall be suspended during the continuance of the inability then claimed, but for no longer period, and such party shall endeavor to remove or overcome such inability with all reasonable dispatch. The term "force majeure", as employed herein, shall mean acts of God, strikes, lockouts or other industrial disturbances, acts of public enemy, orders of any kind of the Government of the United States or the State of Texas, or any civil or military authority, insurrection, riots., epidemics, landslides, lightning, earthquake, fires, hurricanes, storms, floods„ washouts, droughts, arrests, restraint of government and -14- Section 14 - FORCE MAJEURE Continued people, civil disturbances, explosions, breakage or accidents to machinery, pipe lines or canals, partial or entire failure of water supply and inaLAi ity on the part of the City of Fort Worth to deliver water hereunder or the City of Haltom City to receive water hereunder on account of any other causes not rea on &) v within the control of the party claiming such inability. IN TESTIMONY WHEREOF, after proper action by the respective g,;ver€6ing bodies for the parties hereto, we have caused these presents to be exed, ,t_ed in quadr Upl i caste copies, each of which is considered to be an original , and the seals of the respective parties to be hereto affixed on the date above written. CITY OF FORT WORTH Mayor ATTEST: e1211111-11 z? C° ty retary APPROVED AS TO FORM AND LEGALITY: r 4 .� City Attorney APPROVAL RECOMMENDED: Director, Fort Worth Wat epartment CITY OF HALIOM CITY BY Mayor ATTEST: e- City Se etary -15- ', Fu{ure Merer l�'0 3 �— II ` C CT..Ot� J i n , I Q I w 2 Q w Ea<� Q ��`• O e��%X � I I Q I �,�� j I I BROADWAY 62 i o i - n p ; I I CNES13EP SCYER R,.AC J w 28 Tu EL i 6'REET 7 u^ S7 REE W ui I CITY OF FORT WORTH ,TEXAS �n uj WATER DEPARTMENT EXHIBIT A WATER SERVICE LOCATIONS I FOR THE CITY OF HA LTOM CITY DRAWN PNro OATS ? 24 E3 I IV14"AMAN City of Fort Worth, Texas LINE MORPHI3 Mayor and council Communication GRAHOW DATE REFERENCE SUBJECT: PAGE HARDY' NUMBER Review and Adjustment of 3/11/68 G-1202 Wholesale Water Rates Iof 3 Water service contracts with suburban communities provide that the water rates be reviewed and adjusted every five years and that the first such review will be effective October 1, 1967, based upon actual operating and maintenance costs of the past two fiscal years and projected to fiscal year 1970. The current charges have been reviewed in accordance with the procedures specified in the contract, and the present and proposed rates are tabulated as follows : Present Proposed Rates Rates Commodity Charge, cents per 1000 gallons Used in the Water District 11.5 13.2 Used out of the Water District 16.0(,% 14.4e, Maximum day per 1.0 M.G. $16,000 $15,810 Maximum hour rate in excess of maximum day per 1.0 M.G.D. $ 8,280 $ 7,070 Service charge per meter per month $ 25 $ 25 A detailed explanation of the determination of the wholesale rates for treated water is attached. The wholesale rate is based on the average cost of operation and fixed charges on the facilities used to produce and transport water to the Fort Worth City limits in large quantities. The contracts with other cities provide for a review and adjustment every five years and the new rate is based on the projected cost for the third year of the next five- year period. The proposed rates are therefore in accordance with the estimated costs for 1970. The commodity charge includes payments to the Water District for raw water, the average cost of maintenance and operation of the production and transmission part of the Fort Worth water system, and the cost of the capital facilities that are related to the total average annual usage of water. The charges for maximum day and maximum hour uses represent the capital facilities cost (fixed charges) on the production and trans- mission plant..which is required to provide water service at maximum rates of use by the' wholesale customer. The $25 charge per month per meter is a service charge related to customer billing cost, reading, adjusting, and maintaining the metering facilities used by the customer city. The commodity charge increase of 1.7 cents per 1000 gallons results from increased operating cost plus an increase in the allowance for system losses based on recent experience. • DATE REFERENCE SUBJECT: PAGE NUMBER Review and Adjustment 6f 3/11/68 G-1202 Wholesale Water Rates 2 of 3 The decrease in charges per million gallons for water used on maximum day and maximum hour results from an increase in the actual peak uses generated by the Fort Worth Water System without a proportionate increase in value of plant required to meet the maximum demands. As actual peak uses increase such reductions in fixed charges to meet the peak demands are anticipated. The policy adopted in 1961 by the City Council calls for the actual price to suburban communities to be related to average and peak volumes required by each municipality. The structure of the wholesale rate schedule enables the suburbs to take water in the manner best suited to meet their needs and at the same time, provides that the City will recover its cost of fur- nishing water under varying conditions. Two cities, Westover Hills and Edgecliff Village, purchase all of their water supply from Fort Worth and do not operate pumps and storage reservoirs which would reduce the peak withdrawal rates from the Fort Worth system. The other five cities utilize existing well supplies, pumps and storage reservoirs so that water can be withdrawn at a more uniform rate during the summer months. However, these cities usually buy water mainly during the peak summer usage, and' the annual price paid for water per 1000 gallons varies widely. For example, last year the price paid for treated water per 1000 gallons varied from $0.31 to $1.42 per 1000 gallons. The adopted policy and each treated water contract provides that under no circumstances will water be sold to the suburban city at a price less than the regular Fort Worth water rate plus 10 per cent. The wholesale customer will pay at least 10 per cent more than the inside-City customer using an equal volume of water. Water purchased by contract cities last year is shown in the attached tabu- lation to be 466,341,000 gallons. The payment received was $199,634.40, which resulted in an average price of $0.43 per 1000 gallons. Also shown are the maximum rates of use and the ratios of maximum day to average day and maximum hour to maximum day. Existing contracts will need to be amended in accordance with the new wholesale rates. Summary Contracts with other cities for the sale of treated water provide for a review and adjustment in rates effective October 1, 1967. The cost of operation of the Fort Worth system, maximum usage rates and capital improve- ments have been reviewed and adjusted to anticipated conditions in 1970. New wholesale rates for treated water have been determined in accordance with existing contract provisions and the existing policy of the City for DATE NEMMSC ICL *Uwgcl� Review and.. Adjustment of s 3/11/68 G-1202 Wholesale `Water Rates 3 « the sale of treated water. Amendments to existing contracts are necessary to reflect the new rate schedule and the amended Cedar Creek project con- tract between the City and the Water District. Recommendation It is recommended that the new wholesale water rate for water sold by con- tract be approved effective October 1, 1967, and that the City Manager be authorized to execute amendments to existing contracts for the sale of treated water to outside-City customers to reflect the revised rate schedules. HDM:ms Attach. susMn= BY: Poem""M a w ou By C CT AM4010 O on= ONNOMM env CITY MANA69M =; ;