HomeMy WebLinkAboutContract 18565 li jf d f0
• CITY SECRETA ..
AGREEMENT CONTRACT c .
WHEREAS, on the 6th day of July, 1989, the City of Fort Worth
(Fort Worth) and the City of Kennedale, (Customer) , entered into
an agreement , same being City of Fort Worth City Secretary Contract
No. 17211 whereby Fort Worth agreed to provide treated- water to
Customer; and
WHEREAS, Fort Worth and Customer desire to amend said City of
Fort Worth City Secretary Contract No. 17211 ,
Now, therefore, the City of Fort Worth and the City of
Kennedale, hereby agree as follows :
1.
Subsection 1 . 15 of Section 1 of City of Fort Worth City
Secretary Contract No. 17211 is hereby amended, and after having
been so amended shall be and read as follows :
"1 . 15 Wholesale System Access Fee - A capital
contribution funding or recouping the costs of
General Benefit Facilities capital
improvements or General Benefit Facilities
facility expansions necessitated by and
attributable to new development . "
2 .
Section 1 of City of Fort Worth City Secretary Contract No'.
17211 is hereby amended by adding subsection 1.18 , which shall be
and read as follows :
"1 .18 Capital improvements means any of the
f
following facilities which provide utility
services and benefits common to all customers
CRY, SE E ;gTn
FT. WORTH,
and that have a life expectancy of three or
more years, whether such capital improvements
are located within the jurisdictional limits
of Fort Worth or Customer: water treatment
facilities, metering facilities , control
systems and appurtenances, storage facilities ,
pumping facilities and all mains that are
sixteen inches (16") and greater in diameter. "
3.
Section 1 of City of Fort Worth City Secretary Contract No.
17211 is hereby amended by adding subsection 1. 19, which shall be
and read as follows :
"1 . 19 Facility Expansion - The expansion of
the capacity of an existing facility that
serves the same function as an otherwise
necessary new capital improvement, in order
that the existing facility may serve new
development. The term does not include the
repair, maintenance, modernization, or an
expansion of an existing facility to better
serve existing development . "
4 .
City of Fort Worth City Secretary Contract No.. 17211 is hereby
amended by substituting the following for Section 16, and after
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such substitution, Section 16 of City Secretary Contract No. 17211
be and read as follows :
"16. System Access Fees
"16. 1 On a quarterly basis, Customer agrees to pay to Fort
Worth a Wholesale System Access Fee for each new or enlarged
connection for water service made within Customer's service area
served by the General Benefit Facilities of the Fort Worth Water
System. The Wholesale System Access Fee to the Customer for each
such connection -shall be based upon the size of water meter and
shall be equal to the Wholesale System Access Fee collected for the
same size water meter made within the jurisdiction of Fort Worth.
The calculation of said Wholesale System Access Fee shall be
consistent with all applicable state and federal regulatioris , and
shall include only those costs associated with General Benefit
Facilities expansions and General Benefit Facilities capital
improvements necessary to provide service to new development .
Nothing within this contract shall be deemed to prevent either Fort
Worth or Customer from charging their own retail customers impact
fees in excess of the Wholesale System Access Fee provided for
herein.
"16.2 Fort Worth agrees that all monies remitted to it
pursuant to this Section will be placed in a separate interest
bearing account to pay only for the cost of constructing capital
improvements or facility expansions as permitted by Chapter 395,
Texas Local Government Code, or any amendment thereto, or by any
successor statute thereto, and will not be used for operation and
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maintenance expenses . once expended, such funds and all interest
earned thereon will be considered a "contribution" for rate setting
purposes only.
"16. 3 Customer shall provide to Fort Worth such information
that relates to the making of new and/or enlarged connections
within its jurisdiction as may be requested by the Director,
including but not limited to building permits, with each quarterly
payment required in this section.
"16 . 4 Neither Fort Worth nor Customer shall forgive or credit
any impact fee due from new or enlarged connections to its
respective system within its jurisdiction. However, either Fort
Worth or Customer may pay such impact fee into the fund required
for paying for the capital improvements .
"16.5 The Water System Advisory Committee created pursuant
to Section 29 hereof shall select five (5) of its members to a
subcommittee' to be known as the Customer Impact Fee Committee
(CIFC) . Every three years , beginning June, 1992 , the CIFC shall
submit a list of five qualified engineers or planning consultants
to the Director. The Director shall select a consultant from such
list to assist Fort Worth in developing land use assumptions,
identifying capital improvements, and formulating capital
improvement plans and access fees . The consultant shall be
responsible to Fort Worth and its citizen's advisory committee,
but shall also report to the CIFC. The cost of the consultan't
shall be deemed a System Cost. In the event the CIFC fails to
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submit a list of five consultants to Fort Worth, Fort Worth shall
select a consultant to perform in the manner described herein.
"16. 6 Fort Worth agrees that only those capital improvements
as defined in section 1 . 18 hereof shall be included in the capital
improvements plan for the purpose of determining Wholesale System
Access Fees; provided however, Fort Worth may include other capital
improvements for the purpose of determining impact fees to its own
retail customers . Fort Worth shall not be required to include all
capital improvements in any capital improvements plan. The CIFC
shall be responsible for working with Fort Worth and its consultant
to determine the capital improvements to be included in the
calculation of any Wholesale System Access Fees . The CIFC shall
recommend to the Water System Advisory Committee which capital
improvements should be included in the calculation of any Wholesale
System Access Fees. The CIFC shall also meet with Fort Worth's
citizen advisory committee as such citizen's advisory committee
reviews and considers land use assumptions, the capital
improvements plan and impact fees .
"16.7 Prior to the adoption of any land use assumptions,
capital improvements, or access fees , the CIFC shall be furnished
a copy of the proposed capital improvement plan or fees at least
30 days prior to any scheduled hearing thereon.
"16. 8 Each year Fort Worth shall provide to the Wholesale
Water Advisory Committee an audited financial statement of the Fort
Worth Water Department 's records .
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1116. 9 For the period of time from January 1, 1991 until June
5, 1993, Customer agrees to pay to Fort Worth the water access fees
per new connection based upon Exhibit "A" attached hereto and
incorporated herein for purposes and intents .' After June 5 , 1993 ,
Customer agrees to pay access fees in such amounts as may be
determined in the manner provided elsewhere herein.
"16. 10 Fort Worth and Customer agree that the methodology for
the calculation of access fees required herein is consistent with
the methodology prescribed by Chapter 395, Texas Local Government
Code. In the event that such statutory methodology is amended or
replaced by a new statute, the Wholesale Water Advisory Committee
may engage legal counsel to work with Fort Worth to propose
amendments to this contract to conform it to such amendment or new
statute. The reasonable cost of such legal counsel shall be system
cost . "
5.
All other terms and conditions of City of Fort Worth City
Secretary Contract No. 17211 not amended hereby are unaffected and
continue in full force and effect .
IN WITNESS WHEREOF, the parties hereto have caused this
agreement to be executed by their respective , officers thereunto
duly authorized.
...........
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ATTEST: CITY OF jFORTRT
City Secretary City Manager
APPROVED AS TO FORM
AND LEGALITY:
Date:
11427C" y Atto ey
ATTEST: CITY OF NNEDALE
By:
Mayor
APPROVED AS TO FORM
AND LEGALITY:
Date: \��..-QJ`
Attorney
Contract'Authorization
20 - ,�. -
Date
7 �y rT P
EXHIBIT "A"
I . Wholesale System Access fee schedule to be
collected, effective January 1, 1991 .
METER EQUIVALENCY WATER ACCESS
SIZE FACTOR FEE
3/4" 1 $ 251.70
1" 1 .75 440 . 48
1 1/2" 4 1 ,006. 80
211 7 1,761. 90
31' 16 4 ,027 . 20
4" 28 7 ,047 . 60
611 64 16 ,108 . 80
811 100 25 ,170 .00
1011 150 37 ,755 .00
Wholesale System Access Fee schedule to be
collected, effective October 1 , 1991 .
METER EQUIVALENCY WATER ACCESS
SIZE FACTOR FEE
3/41' 1 293 . 65
ill 1 . 75 513 .89
1 1/2" 4 1 ,174 . 60
211 7 2 ,055 . 55
311 16 4, 698 . 40
4'v 28 8,222 . 20
611 64 18,793 . 60
8" 100 29,365 .00
1011 150 44,047 . 50
Wholesale System Access Fee schedule to be
collected, effective October 1 , 1992 until June 5,
1993 .
METER EQUIVALENCY WATER ACCESS
SIZE FACTOR FEE
3/4" 1 335 . 60
ill 1.75 587 .30
1 1/2" 4 1,342 . 40
2" 2 ,349 . 20
3 16 5,369 ,60
4" 28 9,396.18,,0,
611 64 21,478 .146
811 100 33 ,500 .100p-";
10 150 50 ,340 .rbiL' `
T FEE
E PROPOSED
SCHEDULE 2 WHOLESALE IMPACT
DATE ( ORDINANCE 10601 ) FEE
Jan . 1 , 1991-Sept . 30 , 1991 30% of max 30% Of max
Oct . 1 , 1991-Sept . 30 , 1992 40% of max 35% of max
Oct.. 1 , 1992-Sept . 30 , 1992 50% of max 40% of max
( 10/1/92-6/5/93 )
WASTEWATER PROPOSED
SCHEDULE 2 WHOLESALE IMPACT
DATE ( ORDINANCE 10601 ) FEE
June 5 , 1990-Sept . 30 , 1991 $161 $161
( Approx . 12 .5%
of max )
Oct . 1 , 1991-Sept . 30 , 1992 35% of max
Oct . 1 , 1992-Sept . 30 , 1993 40% of max
'.000UNTINO.2 V • Texas
, l
RANSPORTATIONiPUBLIC WORKS.O
• O
efCrER ADM INI31RAT aygr and Coun
A 07/02/91 R E U B **C-12936 60WHOLE PAGE
1 of 2
SUBJECT CONTRACT AMENDMENT TO THE WHOLESALE WATER AND WASTEWATER AGREEMENTS AND
AMENDMENT TO CITY ORDINANCE NO. 10601, REVISING THE IMPACT FEE COLLECTION
SCHEDULE
RECOMMENDATION:
It is recommended that
1. The City Council approve the contract amendment revising the wholesale water and
wastewater contracts concerning impact fees, and._
2. Amend Ordinance 10601, revising the impact fee collection schedule and Section
1.10(a) deleting the phrase "whichever comes first."
DISCUSSION:
On June 5, 1990 the City Council adopted Ordinance 10601 establishing water and
wastewater impact fees and amending Chapter 35 of the Code of Fort Worth. The
ordinance also included Schedule 1 and Schedule 2 for assessment and collection of
impact fees. Under the ordinance a new development in Fort Worth is assessed at the
time of final platting using Schedule 1 and pays the fee at the time a building permit
_ is approved using the fees established in Schedule 2.
The wholesale water and wastewater contracts include provisions for charging wholesale
customers a fee equal to the charge imposed for the same size and/or type of connection
made within the jurisdiction of Fort Worth. The amount of the fee is tied to Schedule
2 of the Fort Worth impact fee ordinance.
On September 6, 1990 the Tarrant County Mayor's Council , City of Forest Hill , City of
Hurst, City of Keller, City of North Richland Hills and City of Edgecliff Village
jointly filed a lawsuit against the City of Fort Worth seeking to invalidate Fort Worth
Ordinance 10601 and the section of their contracts concerning access fees.
City Council directed staff to negotiate with representatives from the wholesale
customers. A settlement agreement was reached and approved by the Tarrant County
Mayor's Council and each wholesale customer has signed a contract amendment.
The major changes included in the contract amendment include:
o amending or adding definitions for the terms-"whole'sale system access fee,
capital improvement and facility expansion;
o allowing either the wholesale customer or Fort Worth to charge impact fees
in excess of the wholesale system access fee;
o establishing a separate interest bearing account which is audited annually;
Printed on racyded paper
City of Fotf Wortk Texas
mayor and couned comnsunication '
DATE
07/02/91 1 REFERENCE NUMBER **C-12936-7 G NAME 60WHOLE _FPW 2 of 2
SUBJECT CONTRACT AMENDMENT TO THE WHOLESALE WATER AND WASTEWATER AGREEMENTS AND
AMENDMENT TO CITY ORDINANCE NO. 10601, REVISING THE IMPACT FEE COLLECTION
SCHEDULE
0 creation of a wholesale advisory committee which assists in the selection of
a consultant to assist Fort Worth in developing land use assumptions,
identifying capital improvements and formulations of access fees every three
years;
0 an exhibit detailing the maximum wholesale system access fee amount
effective until June 5, 1993.
The revision of the wholesale system access fee establishes fee collection schedules
which are different from those contained in Schedule 2. The collection schedule for
the water impact fee was set at 30% of the maximum assessable for January 1, 1991 to
September 30, 1991, 40% of the maximum assessable for October 1, 1991 to September 30,
1992 and 50% of the maximum assessable for October 1, 1992 to September 30, 1993. The
wastewater impact fee was established at $161 for a 3/411 meter, or approximately 12.5%
of the maximum assessable effective for the date of the ordinance through September 30,
1991. No fee was established for wastewater beyond that date.
The wholesale water contract amendment reduces the collection schedule percentages
after September 30, 1991 to 35% of the maximum assessable for October 1, 1991 to
September 30, 1992 and 40% of the maximum assessable from October 1, 1992 until June
5, 1993.
MG:t
Adopted Ordinance JA,!j.
Submitted for City Manager's FUND I ACCOUNT CENTER T77AMOUNT 0&MgnFRWy
Office by: to FIN A 1AV V LU U1
CITY COUNCIL
--Mike Groomer 6140
Originating Department Head:
JUL 2 1991
Richard Sawey 8207 -Tf—romT
For Additional Information
Contact: CitV Secretary of the
Richard Sawey 8207 City of Fan Worth, Texcm
0 PrIntad on recyded paper