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HomeMy WebLinkAboutContract 10564 CQ\T1MCT FOR WATER SER'VICF BL"IEE' 7HE CITY OF FnRT TVIORIN, TEXAS PND TVIE CITY OF KELLER, TEEXA-S 11iE STATE OF TEXAS COUbTfY OF T-APPAITIP 11HIS CONIfRACT AW- D AGREEMEW made and entered into this day of f. 19 by and between the City of Fbrt V k o r t h' a mu&cipal corporation located in Tarrant Gounty, TLxas, acting by and through its duly authorized it Manager, Pbbert L. Her the rt, and the City off" Keller, a munici-pal corporation, located in Tarrant 0--unty, texas, acting by and through its duly authorized Mayor, Harold Pipes. W I T N E S S E T : WHEREAS, t,,-,p city of Fort Itbrith has pro�,,rided at its own expense, and now owns, operates and maintains, facilities for processing and dis- Lributinq a large supply of surface water, and at the present time, is qualified to furnish and deliver treated water, broth within and without the corporate bour.1daries of the City of Fbrt Worth; and, the City of Keller, hereinafter referred to as KELLER, is seriedl by a water supply arid, water distribution system, w n arA adjacent -to -the 'LLmits of the Citl-y of Keller; and, ItTHEREAS, the w-11 water supply and water d'istribution system senying KEL R and its cuslitcrrers cxwned a KELLER; ang-J!, rr WFEREA-S, KELLER has detemined that the most economical and timely source of additional water supply to its distribution system, lies in connecting to the Fbrt Worth water supply system; and, WHEREAS, KELLER is in need of such additional water supply; and, WHEREAS, it is deemed to be in the best interest of both the City of Fort Worth and KELLER that they do enter into a mutually satisfactory agree- ment by means of which KELLER may obtain a supply of treated water from the City of Fort Worth at a reasonable rate, NMI, THEREFORE: KNCW ALL, MR4 BY 1HESE PREMITS: That for and in consideration of the execution and performance of the mutual covenants herein set forth, the City of Fbrt Worth and KELLER do hereby covenant and agree as follovis: TF A 'RMS JjD CM-DTTIONS The City of Fort Worth agrees to furnish and sell to KELLER treated water ury3er the normal operating pressure prevailing in the City of Fbrt Worth's water distribution system at the point or points of delivery mutually agreed upon. KELLER agrees to accept delivery under the condi- tions of this agreement and to pay for the same in accordance with the terms, hereof. If at any time the to during nri of this contract the furnishing of water ., by the City of Fbrt Ttbrlth to KFLLER shall be to the detriment of water customers within the City of Fort Vbrth, teen and in that event, the quantity of viater furnished to KELLER will be reduced in the same propor- tion to the reductions in quantity of water being furnished other custo- mers serve-3 by the Citv of Fort 'vr-,rth in the same vicinity. if the City of Fbr4l- T-,,Ic)rth shall ration the use of water throughout said City or issue water consen-rat-ion rinteasurres or restrict the use of water in any wa�.,,, KELLER shall: 'Nast it.- te and, apply the sap. rationing, conser-vation mteasures or rest"I - tons t ) the ilse or water by the customers of KELLER, so to as any p Y- I be 4 rig rn' -y the City art of the total water supply of KEG, R is f u- L shed b T- h h r-T- -n f F t V-brth, an ari7iv, failure �bv KELLER to comn, ly witi t. is , 0";sic or the other prcy-,ris ions of ti-Iis a rC>e1r­-v.ent shall be -iust cause for the j City of Fr' r '&--.,rth t"C), disc- nt-11"nue t1he salle of water here` x=e,r -2- At the recruest of the Director Qf the Fort lebrt1h, TiNlater Department, FEVER agrees to furnish water to areas and premises situated adjacent to the mains or to the boundary of KELLEY and within en e boundaries of the City of Fort TAbrth. Mains, services, Tmeters and appurtenances shall bee con- structeed by the City of Frbrt pbrth in accordance with the policy for the installation of community facilities in the City of -Fort T'Abrth. 9-be connection of such services shall not be detrhmental to the furnishing of water to existing or potential customer's of KELLER. Approach rflains required to be built by KELLER to serve such areas shall be provided by KELLER in accordance with the policies and procedures of KEULER. Tbe teeter ed (Tuantity of water used in this area each T-Onth by the City of Fart firth shall be the total of all individual customer Peter readings At the option of KELLER or the City of Fbr,"--- Wirth, a iraster, meter shall be installed at the expense of the City of Fbrt 'North to meter all water used by the City of F-brt 'Vbrth under the terms of this section. The metered quantity of water furnished by KELLEY to the City of Fort 1-,brtb shall be deducted -Eram the total quantity of water withdrawn from. the Fbrt Vbrth system by KELLER before the charge for water services to KELLEY by the City of -Fbrt 'Vbrth is camputed in accordance with the pay rent couputations set forth and based on the coarmity charge des- cribed herein and the quantity of water. Consideration shall also be given to the effects of water so supplied- to the City of F-brt tAbrtlh on the mmaximm hour and maxi-ruLn day rates charged by the City of F-brt Vbrth to Keller. It is coat er-upfated that water will be rrade available to KELLER at the City of Fort brth's Nor-Ith Beach Street Ground Storage Site west of the City of Keller. It is agreed that KEL will participate in the cost of extending a 36-inch mater tranmission main north in Beach Street, fron the &mnierfield's Addition vicinity to the Dbrth Beach Street Ground Storage Site, and in the cost of the 5 MG Ground Storage facility to be erected on that site. 'Fbr &,e purposes of this contract, this 36- inch water tran Assion in extension and 5 1MG ground storage erection m ma combination is considered to be a single project- hereinafter referred to as the "Complex," all of which will be solely the property of the Cit,v of Fort Worth. KELLER agrees to pay twenty one and one-half percent (21.5%) of the total project cost of the (:kxrplex, such total project cost to consist of costs for Land and rights-of-way required for its construction, design engineering, plans and specifications production, construction of the Corplex, construction engineering and preparation of as-built drawings of the coriileteadd Cor-iplex. In return for payment of this share of the Complex project cost, KEELLER will I.:x-- entitled to wi.UndrW Up to a Maxi- mi-ri of 2.8 MCM through the initial point of connection at the �brt:hi Beach Street ro und, Storage Site. KELLER further agrees to pay the incremental c-onstruction. cost of in-� creasing the capacity of the pro-posed North Beach Street (3 round Storage facHity from 5 NlIG to 5.5 MG in addition to its 21..% of the total pro- ject cost of the Complex as set out above. The .5 increase in the storage capacity is &d3ded to obtain for KEME R a storage capacity for iCs se, rat, be-niefit in the 5.5 1433 Gro' Storage Taawn_'<�. In return for -3- this additional payment, KELLER will be permitted to withdraw water from the -n- le at a rate not to exceed double its maxin-LP, daily rate of withdra wal in any given year without patent of a maw imlam, homer der-nand- charge, but in no event shall the Trkaximim daily withdrawal ever exceed 2.8 MG. For exarple, should the Maximin- TDay demand for a given year be 1.0 MGM, and shod1d the Maximun, 11our Derand be 2.5 MUD and the Annual Average Day damand be 0.5 VIGD for that same year, the annual charges for these factors wnuld be corruted- as: Maxinmn Day Demand Charge (1.0-0.5) x $29,600 $14,800 Maxim= Four Demand 'Charge (2.5-2.0) x $14,150 7,07-5 TOTIAL IMMMID CHARGES $21,875 the City of Fort Vbrth ray initiate construction of the Complex by advising KELLER by Certified M, it of its intention of proceeding with construction of the Complex, such Certified Mail advisory to be received by KELLER at least 30 days prior to the date on -oh-ilch the (birplex construction is to be advertised for bids. KELLER agrees to deposit with the City of Ebrt WOr ELLER's share of the Coy le construction cost, in cash, bv letter of credit, or by certificate of deposit, within 30 days of receipt of xitten notice from the City of Fort Worth of the amount of that share to ,rr be dray m on incrementally as construction progresses to pay KEEMM's share of each succeeding payment to the Contractor and to cc�Tmlete pay® tent of its share of the final total project cost of the Cbraplex within 30 days after receipt of written notice from the City of Fbrt Vbrth of the an,-ount of that share, conputed as described above, based on final costs of the completed Corplex. KEEMER may initiate construction of the Complex by written request to the City of Fort Worth, with project cost paymnts to be made in the rn.,anner set out above, and the City of Fbrt *)rth will use its best efforts to complete construction of the Cos iplex within 18 i. nths after receipt of such written request from KELLER. 2. LOC-ATI01i AINID MAII MM�LANCE OF MEASURING DDENICES -All dater frurnished under this agreer%- -nt by the City of Fort Vbrth shall Ibe �numeasured bw one or rrore suitable mue-ters ec7,Apped wlth continuous flow -ha , t-recording dexi-ices &nd transmitting and receiving ee<�.ipment. A-11 meters and recording equip Tent shall be installed and o-perate-d by the City of Fort WDrth. -KE shall pay to the City of Fort -brth the cost of the meter, rending and transmitting equi ent a, �n and appurtenances x terances ? plus the installation and, maintenance cost thereof. -4- -he point or points of delivery of treated water by the City of Fbrt Vk)rth shall be the meter vault, connection to the customer's side of the mter, and all necessary mains and distribution facilities -from and beyond said point shall be furnished by KELLEY'. The location of each meter shall -be -mutually agreed i-i-pon by and between the parties arties bereto, and the meter or meters shall not be Mioved or re- located except by -mutual consent. Each party hereto shall have the right to test the meters and appurtenances at any tirte by first giving the other party notice of its intent-ion to make such a test. No rter shall be adjusted, changed, or tested, in place or elsewhere, unless the party intending to � ke such adjustrinent, change, or test shall first give notice to the other party of this inten- tion. and thereafter give reasonable opportunity to the other party to have representatives participa-te in such test, change or adjustment. All L meters will be properly sealed, and the seal shall not be broken unless representatives of both parties have been notified and given a reason- able opportunLty to be present. Either KEL or the City of Fort Worth at its own expense may install a check meter to check measure the volL e of water passing through_ the m.,aster meter, provided that if such check r�mter is installed, the same rules and regulations relative to its operation, maintenance, and reading shall apply as to the r-teter being tested. 3. LMETIER READDU -AN BILLING The City of Fort t brtlh will read all meters provided for herein at month- ly intervals and the parties to this agreemnt 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 imediate notice, each to the other, should any Tmeter be found not functioning, and upon such notice repairs to such n, ter shall be mode propptly. Whenever it is evident that a meter has not registered accurately for a period of time, the quantity used shall be esthnated in accordance with. the usage under sLrnilar conditions for an equal period. Tbe me-ter readings and rates of flaw shall be added together when . re than one meter I_s in se—njice and the sin thereof Shall ix-- used for the purl Ose of calculatt--ing charges for water used. A of water us arnounts by the cusit-cwner for the past twelve (1 2) tenths shall be made during the preparation of the Septernnirber bill each year. The September statement sha-11 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 fl,%., charts or other records snowing the rnaximwt day aryl- the peak, hour of h shall be furnished to the clust-cmer with the Septe-,7bher bi-11111nig. -5- KELLEY agrees to appropriate -nually sufficient funds to pay the rq 0'_nt�ly charge for water service. The water charge to bee paid by KELLER to the City of Fort TVk)rtb shall be deented a current expense of KELLER for each year of this contract as such .mthly charges scone due and payable. The monthly bill shall be due and payable at the office of the Fort Worth Water, r tmnt on or before the l5th day inviediately succeeding the mr.onthly billing date. 4. DEFINITIONS "Annual cons=ption" is the total quantity of water purchased mder the terms of this contract by KELLER during the fiscal year of the City of Fort �40rth as determined by the difference in the annual September meter readings. "Average daily use" is the annual consm-ption divided by 365. "IM aximm dav demand" is the inaxLmLn quantity of water used during one calendar day of the fiscal year of the City of Ebrt Tobrth. "DUD" is million gallons per day. "GPD" is gallons per day. "TIGPD" is toucan: gallons per day. "Fiscal Year" is the fiscal year of the City of Fbrt Worth fromi October 1 to Septenber 30. "Maximum hour demand" or "peak hour rate" is the quantity of water used during the one hour of the vear rhen more water passed through the meter or meters serving the cult erl than during any other hour of the fiscal gear of the City of Ebrt �brth multiplied by 24. "Corarodity charge" is that part of the rate charged per 1,000 gallons used, regardless of rate of use. Tihe conuK)dity charge shall include the maintenance and operation cost, the capital facilities cost on the part of the production and trap Entission systeff, related to annual use and the raw water costs. "Pww water charge" is a part of the corirtiodity charge and represents the rate per 1,000 gallons charged by the Marrain"k- Cbunty Waiter Control and Improvement District #1 to the Citv o-.E it Tv*-,rt--h for raw water to be sold to KELLER plus six percent (6%) of said rate, repreesenti-ria, Fort Worth water system 'Losses, and the street rental charge of three peercent "Plate of use charge" is the f ixedd charge dete .,in for the mo-ximijan daily demnand in excess of average daily usage and the maxirlw- hourly demiwand in excess of lt� tines the rtaxirnLva day demand rates of use. "Rase rate" is comCxo-sed of the ct—orr-dity chars,-je, and the rate of use charge. -6- RATES 1. Method of rate determination The annual rate charged by the City of Fbrt rth 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 customers, provided that nothing herein shall be construed as con- teiTplating an annual rate of less than the regular City of Fort �brth water only rate, plus ten percent (10%) of said rate. 2. Rates to be used The annual rate to be charged for water shall include the proper pro- portionate parts of the maintenance and operation cost as related to the production and transmission facilities of the total Fort C\brth Water System, the capital facilities oost (fixed charges) on the production and transmission -plant related to tl-ie rendition of service at maximum withdrawal rates of use by KELLER and the raw water costs. The charges for the initial period of the contract which shall terminate September 30, 1982, have been computed as follows: a. the cot=yryA- ity charge shall be $0.3270 per 1,000 gallons with- drawn by the customer. b. The annual charge per of daily demand in excess of average daily demand shall be '$29,600 per WD and maximLin hour demand in excess of two tines the maximum- day demand shall be $14,150 per MGD. c. Tlie service charge shall be $25.00 per month per meter. 3. djustment of rate a. Raw water: T'!-,.e amount charged for raw water shall be increased or decreased 7 Fb pm.)portionatelv when the raw water -ro st paid by thC.- fit,_ of E rt "-Ir I Itreatment and sale to KELLER is ,W)rth, 'For water available for increased, or decreased. At to tiRie of execution of this con..... tralct', the rate-, inclLOim six percent (6%) for _ stemn, losses, and, the street rental charge of three percent (3%), to KELLER 4(- a is $0. 170 per 1,000 gal forts. 'Ibe -,xj-r t-L n of the raw wa ter chi arge which reflects system losses shall be ard-justed in t-'-.e manner set j out in Subparagraph b. below in accordance with actual experience during the preceding pe-riod. -7- b. Cbrwlodity charge and rates of use charges: The rate shall be reviewed and adjusted every fie years except that the first such review shall be based on the annual cost of operation for the fiscal years 1980-81 and 1981-82. The cost related to the Production and transmission function of distribu- tincr treated water to the Fort brth City limij, in wholesale CS pantities plus a set-Ace charge shall be determined Jn accordance with methods herein. Such costs shall be projected L through the City of Fbrt Wbrth fiscal year 1985 to establish the fair rate for water to be charged during the period October 1, 19K, to Septedber 30, 1987. 'die adjusted rate shall be made effective with the October, 1982 billing. A similar review and rate adjust® vent shall be spade for each succeeding five-year period- for the to of the contract. 6. PATMNIT FOR 147INER Payment of charges to the City of Fbrt librth for water used by KELLER shall be mde as follows: 1. MinLmm. Annual Pavment The minhmw, annual payr-neent shall be the charges computed for all water delivered by the City of Fbrt °brth to KELLER during the fiscal year has on rates nrovfded herein. -However, the minimum annual payment shall never be less than the pay-ment calculated on the basis of the volLne of water taken and the related rates of withdrawal during- any Previous fiscal year. 2. Maxim= Rate of DeIlVP'MI The mximum- rate of delivery at the initial point of connection shall be 2.8 14M. -MaximLin, rates of delivery at subsequent ',)Dints of delivery, or variations of the rate at the initial point of connection, shall be as mutually agreed upon by the parties hereto. 3. Minimm. !Vbnt-h1--V (hare The minLT,1-tim rronthly charge will be, the char age Computed for all water delivered to FY-T-.rER during the applicable calendar Tmnth bas-d, on rates provided herein. 4. onthl T - P- T Ihe riionthly layr(nent shall be calCulated at the regular City of Fort Vbrth rate roles ten p---rcent (10%) of said rate (which includes the raw water costs} plus the service charge for the quantity of water with- drawri froin the E-1-brt- Vbrthi systern, during, the rkonth. -8- 5. hA!nLnual Pa nt The actual total annual payment for water by KELLER shall be related to the annual and peak volumes used by KELLER during the fiscal year, as determined by meters, flow recording devices or other approved methods, subject to the minim un annual payment provisions set forth above. The Septembe-r bill shall reflect any necessary adjustment to the annual pay- ment due to actual rates of withdrawal from the Fort Worth system. If the initial period of use of water by KELLER under the terms of this agreement is less than a fiscal year, the annual rates of use charges shall be computed in the proportion that the period of use bears to the fiscal year. The method of c utation for determining the total annual payment and the September bill is shown using assumed quantities in the example that follows. Ex Ex le . KELLER will buy all water required to fulfill its additional supply needs from Fort W�rth. The rate used in the example is based on KELLER's not being in the Tarrant County Water and Control Improve- ment District #1 and water being withdrawn at one metering station. Month 1, Usage per Month-Gallons nthly Payments Octdber 1,000,000 $ 578851 Noveinber 1,000,000 578.51 December 1,000,000 578.51 January 1,000,000 578.51 February 1,000,000 578.51 March 2,000,000 996.89 April 3,000,000 1,389.89 May 3,000,000 1,389.89 -T ne 3,000,000 $ 1,389.89 Y 3,000,000 Tiny '489.89 Tu J- August 4,000,000 1,782.89 SUBIRX11-11.1 23,000,000 $11,231.89 Septertx--r pamment 3,000,000 3,080.59 26,000,000 $14,312.48 ,Averac!e daily use for the year 71,233 gallons Max brium day for the year 200,000 gallons Maxi u- day for the year X2 400,000 gallons Maximiuum, 1T.:)ur 1LOr by -vear 520,000 qalbons per day rate -9- Maxim� day rate above average daily use = 128,766 gallons per day rate. ',I,axi-TnLr,-, hour rate above maximum day rate X2 = 120,000 gallons per day rate ual Pay nt Calculation 26,000 X $0.3270 $8,502.00 .1288 X $29,600 3,812.48 .1200 X '$14,150 1,698.00 12 X 25 X 1 300.00 Total Annual Payment $14,312.48 Previous Payments October through August 11,231.89 September $ 3,080.59 7. EFFECTIVE DATE OF CONIRACT FOR BILLING The effective date of this contract for billing purposes shall be the fifteenth (15th) day of the month following the month in which water is first delivered to KELLER under this agreement. 8. LIFE OF CONTRACT The life of this contract shall bee for twenty-one (21) years from the date of execution hereof, and may be renewed upon terms mutually agree- able to the parties hereto. 9. RIGHTS�OF-VIAY :LL�fER sha cirant to the Citai of Fort Vbrth such easements and rights- --%awy, along r)(A lic higInways or other property owneed- b-, -LER as requested KEL V)v '-,he City o-f Fnrt WOrth, in order to moons txuc'L--- and maintain water mains r),r facilities with KE"t-,LER t o furnish water to KELLER and to other areas. AIJI- ox-)rk done fey or on N--MILLE of the City of Port Vbrth 1= der this para- graph, will be- perforr-,T--d in acoor-dance with specifications equal to those appulying, to iK)rk of a shmtilar nature Derfor-rPed within the City of Fort 'Abrth. -101- 1 . STATE HEALTH- DE OIr -APPPOVAL The water system: of KELLER shall te approved by the Texas Stag Depart- ment of Health during the life of thi inability on the part of the City of Fort Worth to deliver water here- under or KELLER to receive water hereunder on account of any other causes not reasonably within the control of the party claiming such inability. 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 to be hereto affixed on the date above written. ATTEST: CITY OF FORT WORTH By: Citv Secretary Robert L. Herchert P TO FORM LEGALITY: C ty Atto y ty ­7 APPRO- D: Direc r, t Worth Water Department ATTEST: CITY OF KELLER By: r Se ry APPROYED AS TO FORM AND LEGALITY: Atr A ty ell for c� 6f r ell -12- City of Fort Worth, Texas Mayor and Council Communication -7-,2/1V DATE REFERENCE SUBJECT: Proposed Contract Between City of PAGE NUMBER Fort Worth and City of Keller for a 3 7/12/79 0-4725 1 °f — f Thy City of e] ler has applied to the City of Fort Worth for a supply of water to be used to meet the needs of its present and future customers, both inside its City Limits and in its adjacent service area. The adjacent service area is the former Keller Rural Water Supply Cooperative, as described in Attachment A to the proposed contract. Each extension of service outside the City Limits of Keller would require the City of Fort Worth' s consent. Providing water service as requested will require construction of the City of Fort Worth' s 36—inch Water Transmission Main E-15 north in Beach Street, from its present terminus in the Summerfields Addition to the North Beach Street Ground Storage Site, and the construction of the proposed 5MG Ground Storage Tank on that site. Construction of these facilities has been tentatively programmed to begin in 1979 in response to continued growth in the summerfields Addition area. Plans and specifications are being prepared by Rady and Associates, Inc. , under the engineering agreement approved by the City Council on October 17, 1978 (M&C C-4390) . However, the decision to proceed with construction of the facilities will be made at the time plans and specifications are completed if the current development pace in the Summer— fields Addition area indicates that additional water supply is necessary, or if either Keller or the Denton County MUD No. I requested that such con- struction be initiated under their respective water supply contracts. In the proposed agreement, the City of Keller has agreed to share in the construction cost of the Transmission Main—Ground Storage Complex in proportion to its water supply needs from that complex as compared to the supply capacity of the complex. On this basis, Keller' s share would be 21.5% of the total project cost, including engineering, rights—of—way and construction costs, and would be due and payalale at the time a construction contract is awarded. Based on the preliminary project cost estimate of $2,000,000, this would result in a cost of approximately $430,000 for Keller. This would be in addition to the 28.51 project cost share (in the estimated &mQum of $570,000) to be paid by the Denton County MUD No. I on this project under ConLracL No. 10331 , approved by the City Council on March 13, 1979 (M&C C-4556) . Either the City of For" Worth or Keller could initiate construction of the cor-aDlex by formal notice to the other party that the facil-ity is needed Lo m,eet their requirements. However, as previously stated, it -is anticipated that the cons-,ruci--ion will be initiated by the City in 1979 to irieet the growing service requirements in the Sumimerfields Addition area. In order to minimize variations in rates of withdrawal from the Fort Worth system, Keller proposes to pay the incremental cost of increasing the proposed Ground Si'Lorage capacity from 5.0 MG to 5.5 MG. In return, Keller will be ent, T to, w i'_t-1-i draw Water at a rate of up to two tirnes its miaxir:r.wm day rate o f a i r-, hour surcharge. ,41 -uax i mu ~ . . � DATE REFERENCE SUBJECT: Proposed Contract Between City of PAGE NUMBER Fort Worth and City of Keller for a I 7/12/79 C-4125 Supply of Water OLher terms of the proposed water service contract are briefly summarized as i Wa�le-�_, would be made available at system pressure from the City of Fort Worth Wa-er lomolex at the North Beach Street Ground Storage site, and Keller would construct, at its own expense, the transmission main necessary to deliver water to its service area. 2. Keller customers would be subject to the same conditions for rationing or otherwise conserving water as would apply to similar customers in Fort WorLh, should such conservation measures be required in Fort Worth. Water suipplied to Keller would be metered and charges for water supplied would be made at the following standard rates applicable to all wholesale custonrier�� located outside the Tarrant County Water Control and Improvement District No. 1: a. A conimodity charge of $0.3270 per 1000 gallons. b. A niaximurn day charge of $29,600 per MGD of maximum daily demand in excess of average daily demand. C A maximum hour charge of $14,150 per MCD of maximum hour demand in excess of twice -the maximum day demand. (This maximum hour demand charge differs from other contracts due to the Keller participation in extra ground Storage capacity. ) d A service charge of $25.00 per month per meter. 14, The charges for water provided would be subject to periodic adjustment in �he same manner as similar charaes to other wholesale customer cities, wilth the first such adjustment to be effective October 1 , 1982. 51 The -minimnum annual payment shall never be less than the payment calculated on the basis of volume of water taken and related rates of wi�_hdrawal during any previous fiscal year. 6 The m.axiaium rate of deliwery shall be 2.8 MGD unless a variation in that rate is muLually agreed upon by both parties and specifically approved by 7, Under circumstances will the annual, rate for water service paid by Keik:�i­ under this contract be less than the regular City of Fort Worth 8 Tile life of the contract is to be 11 years from the date 0" 4tS 9, The wacer system, of the C"ity of Keller shall be approved by the Texas State Department of Health during the life of this contractE, 1 , se,'L ! water receive ' under rhi' s contract at `ower rates DATE REFERENCE SUBJECT: Proposed Contract Between City o' MWE NUMVER Fort Worth and City sf Keller fer a 3 3 T'1209 C-4725 Supply of Water Of-- 11 . Keller will make water available to the City of Fort Worth to serve Fort Wo-rth cu- tomers in areas adjacent to the Keller system supplied under- this contract. with water used by Fort Worth to be credited against water withdrawn by Keller. h e B c, -r birectors of the Tarrant County flate- Control and Improvement District kqo 1 . at its meeting on August 10, 1978, approved the sale of water originating from District sources to those areas designated for service by the District in the North Central Texas Regional Water Supply Study, dated November 1974, which includes the areas to be served under this proposed A is recommended that the City Council authorize the City Manager to execute SUBMITTED FOR THE WSPOSITION BY COUNCIL: PROCESSED BY COY M"AWWS 0"WE Gn r, APPROVED DEPARTMENT HEAD: Les binson CiTY SECRETARY FOR ADGHTIONAL �NFOkMAT1014 DATE che contract under which water service will be provided to the City of Keller.