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HomeMy WebLinkAboutContract 41110 CITY SECRETARY CONTRACT NO. C) AGREEMENT FOR WATER SERVICE BETWEEN THE CITY OF FORT WORTH, TEXAS,AND THE CITY OF SOUTHLAKE, TEXAS STATE OF TEXAS § COUNTY OF TARRANT § This Contract and Agreement ("Agreement") is made and entered into this I Vtay of 20/0, by and between the City of Fort Worth, a municipal corporation located in Tarrant County, Texas, acting by and through '2NVd0 CaST�, its duly authorized Assistant City Manager, hereinafter called "Fort Worth," and Southlake , located in Tarrant County, Texas, acting by and through John Terrell its duly authorized Mayor hereinafter called"Customer,"and hereinafter collectively referred to as the"Parties". WHEREAS, 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 Fort Worth; WHEREAS, Customer has provided at its own expense and now owns, operates, and maintains a distribution system,and furnishes water service to the customers within its boundaries; WHEREAS, Customer does not have and cannot provide economically and within a reasonable period of time, any other source of water supply, fully adequate to meet its present and/or future needs or potential emergency needs; WHEREAS, it is deemed to be in the best interest of both Fort Worth and Customer that the Parties enter into a mutually satisfactory agreement by means of which Customer may obtain from Fort Worth a supply of treated water at a reasonable rate; WHEREAS, by the execution of this Agreement, neither Fort Worth nor Customer will surrender any of its rights to the ownership and operation of its present water production and distribution facilities; WHEREAS, Customer desires to continue to contract for the purchase of treated water and Fort Worth desires to continue to sell treated water to Customer; WHEREAS Customer and Fort Worth desire to provide for reasonable wholesale contract rates for the purchase of treated water sufficient to assure confidence in the financial soundness of the Fort Worth utility, adequate to maintain and support the utility's credit and sufficient to enable Fort Worth to raise the money necessary for the proper discharge of its public duties in the provision of water service and WHEREAS. Chapters 552 of the Texas Local Government Code and 791 of the Texas Government Code authorize Fort Worth and Customer to enter into this Agreement. OFFICIAL RECORD f CITY SECRETARY ,II �I FY WORTH, T� NOW, THEREFORE, KNOW ALL BY THESE PRESENTS that for and in consideration of the mutual covenants, promises and agreements contained herein, Fort Worth and Customer do hereby covenant and agree as follows: Table of Contents ARTICLE1. Definitions...........................................................................................................5 1.1 Annual Consumption.................................................................................................... 5 1.2 Average Daily Use........................................................................................................5 1.3 Calendar Day ................................................................................................................5 1.4 Capital Improvements................................................................................................... 5 1.5 Chapter 395................................................................................................................... 5 1.6 Customer's Service Area.............................................................................................. 5 1.7 Customer System.......................................................................................................... 5 1.8 Delivery Facility ........................................................................................................... 5 1.9 Director......................................................................................................................... 5 1.10 Emergency............................................................................................ ...... 5 ................... 1.11 Equivalent Meters or EM.............................................................................................. 5 1.12 Facility Expansion ........................................................................................................6 1.13 Fiscal Year....................................................................................................................6 1.14 Fort Worth...................................................................................................... 6 1.15 Fort Worth System........................................................................................................ 6 1.16 Impact Fee.....................................................................................................................6 1.17 Maximum Day Demand................................................................................................ 6 1.18 Maximum Hour Demand..............................................................................................6 1.19 MG and MGD...............................................................................................................6 1.20 Parties............................................................................................................................6 1.21 Rate of Use Charge....................................................................................................... 6 1.22 Raw Water Charge........................................................................................................ 6 1.23 Return Water.................................................................................................................6 1.24 Service Charge.............................................................................................................. 6 1.25 Street Rental.............................................................. 6 1.26 Stand-by Charge............................................................................................................ 7 1.27 System Cost.................................................................................................................. 7 1.28 TCEQ............................................................................................................................ 7 1.29 Treatment, Pumping and Transmission Charge............................................................ 7 1.30 Volume Charge............................................................................................................. 7 ARTICLE 2. Delivery of Water............................................................................................... 7 2.1 Delivery......................................................................................................................... 7 2.2 Acceptance and Payment.............................................................................................. 7 2.3 Operations..................................................................................................................... 7 2.4 Raw Water Contract...................................................................................................... 8 2.5 Water Use Restrictions and Conservation .................................................................... 8 2.6 Requirements of 30 Tex. Admin. Code Chapter 288.................................................... 8 2.7 Consultation with WCAC.............................................................................................9 Agreement for Water Service 2 f ARTICLE 3. Location and Maintenance of Measuring Devices................................................9 3.1 Metered Water..............................................................................................................9 3.2 Point(s) of Delivery.......................................................................................................9 3.3 Cost of New or Additional Connections.................................... 3.4 Check Meter.......................................... 9 ................................................. ARTICLE 4. Meters............................................ ................... 10 ................................................. 4.1 Testing......................................................................................................................... 10 4.2 Corrections................................................. 4.3 Requested Testing....................................................................................................... 10 4.4 Out of Service Meter................................................................................................... 10 ARTICLE 5. Meter Reading and Billing...................... ........................ 11 ................................... 5.1 Reading Meters........................................................................................................... 11 5.2 Records....................................................................................................................... 11 5.3 Multiple Meters........................................................................................................... I 1 5.4 October Billing............................................................................................................ 11 5.5 Billing and Payment.................................. 5.6 Billing Disputes .......................................................................................................... 11 ARTICLE6. Rates................................................................... 11 .................. 6.1 Method of Rate Determination. ................................ ...--.. 11 .................................... 6.2 Rates to be Used.................................................................... ARTICLE 7. Payment for Water............................................... ......... 14 .................................... 7.1 Annual Payment.......................................................................................................... 14 7.2 Withdrawal Rate is ...................................... 7.3 Monthly Payments...................................................................................................... 15 7.4 Total Annual Payments..................................... ................... 15 ....................................... 7.5 Rate of Use Charge.......................................................................... 15 ............................ 7.6 Applicability of Stand-by Charge....................... ......................................................... 16 ARTICLE 8. Effective Date........................................................................ .... 16 ....................... ARTICLE 9. Term.................................... ARTICLE 10. Rights-of-Way.................................................. ............ 16 ............... ARTICLE 11. TCEQ Public Water Supply Approval............................................................... 17 ARTICLE 12. Resale of Water................................. 17 ............................................. 12.1 Outside Service Area...................................................... 17 ........................................... 12.2 Exceptions...................................................................................... ARTICLE 13. Sanitary Sewer Facilities........................ .................. 17 .......................................... ARTICLE 14. Additional Wholesale Customers....................................................................... 17 ARTICLE 15. Wholesale Customer Advisory Committee........................................................ 18 ARTICLE 16. Impact Fees....................................... 16.1 Calculation and Payment of Impact Fees.................................................................... 18 16.2 Multiple Surface Water Providers ............. 16.3 Use of Impact Fees................................. ............ 18 .......................................... 16.4 Impact Fee Report........................... ............................ 19 ................................................ 16.5 No Waiver................................................................... ......................................... 19 16.6 CIFC............................................................................................................................ 19 16.7 Capital Improvements Plan......................................................................................... 19 16.8 Dissemination of Documents.................. Agreement for Water Service 3 16.9 Audited Financial Statement.......................................................................................20 16.10 Current Impact Fees....................................................................................................20 16.11 Changes to Chapter 395..............................................................................................20 ARTICLE 17. Breach, Termination and Other Remedies..........................................................20 17.1 Termination by Mutual Consent.................................................................................20 17.2 Termination for Material Breach................................................................................20 17.3 Termination for Repeated Breach...............................................................................20 17.4 Material Breach...........................................................................................................20 17.5 Notice and Cure..........................................................................................................21 17.6 Notice and Cure for Nonpayment of Impact Fees......................................................21 17.7 Notice and Cure for Breach of Water Use Restrictions and Conservation.................21 17.8 Failure to Provide Notice of Withdrawal Rate under§ 7.2 ........................................21 17.9 Effect of Termination..................................................................................................22 17.10 No Waiver by Fort Worth...........................................................................................22 17.11 No Waiver by Customer.............................................................................................22 ARTICLE 18. Ownership and Liability....................................................... 18.1 No Joint Venture.........................................................................................................22 18.2 Liabilities....................................................................................................................22 18.3 Contractors..................................................................................................................23 ARTICLE19. Force Majeure....................................................................................................23 19.1 Notice and Suspension................................................................................................23 19.2 Definition....................................................................................................................23 ARTICLE20. Notices...............................................................................................................23 20.1 Required Notice..........................................................................................................23 20.2 Delivery and Receipt...................................................................................................24 20.3 Change of Address Notices.........................................................................................24 ARTICLE 21. Inspection and Audit..........................................................................................24 ARTICLE 22. Miscellaneous....................................................................................................24 22.1 Favored Nations..........................................................................................................24 22.2 Suspension of Rate of Use Charges..............................................................................24 22.3 Water to Adjacent Areas.............................................................................................24 22.4 Subject to Laws and Permits.......................................................................................25 22.5 Entry on Customer's Premises....................................................................................25 22.6 Alternative Dispute Resolution...................................................................................25 22.7 Information.................................................................................................................26 22.8 Assignment.................................................................................................................26 22.9 No Waiver...................................................................................................................26 22.10 VENUE.........................................................................................................................26 22.11 Construction................................................................................................................26 22.12 Severabil ity.................................................................................................................26 22.13 Use of Return Water...................................................................................................27 22.14 System Regulatory Actions.........................................................................................27 22.15 Additional Contract Terms .........................................................................................27 22.16 Exhibits.......................................................................................................................27 Agreement for Water Service 4 ARTICLE 1. Definitions The following definitions, when capitalized, apply throughout this Agreement: 1.1 Annual Consumption. The total quantity of water purchased under the terms of this Agreement by Customer during the Fiscal Year as determined by the difference in the annual October meter readings. 1.2 Average Daily Use. The Annual Consumption divided by the number of calendar days in the Fiscal Year year. 1.3 Calendar Day. The period from midnight of one day to 11:59 PM of the next day. 1.4 Capital Improvements. Any of the following facilities which provide utility services and benefits common to all customers (both retail and wholesale)and that have a life expectancy of three (3) or more years,whether such improvements are located within the jurisdictional limits (including the extra-territorial jurisdiction) of Fort Worth or Customer, and consisting of: 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. Capital Improvements include the initial construction or the expansion of such facilities, as necessary to serve new development. 1.5 Chapter 395. Chapter 395 of the Texas Local Government Code, as it may be amended or re-codified from time to time. 1.6 Customer's Service Area. The area inside the Customer's boundaries and inside the Customer's Certificate of Convenience and Necessity, as shown on Exhibit A, except that the Customer may,with written notice to the Director, exclude a contiguous area that receives its entire water service from provider(s)other than Fort Worth. 1.7 Customer System. All necessary Customer mains and distribution facilities on the Customer's side of the meter from and beyond the point of delivery of treated water by Fort Worth. 1.8 Delivery Facility. Any facility necessary for the transmission of water from the Fort Worth System that is on the Customer's side of the point of delivery that is constructed specifically to allow Fort Worth to serve Customer. 1.9 Director. The Director of Fort Worth Water Department or his designee. 1.10 Emergency. A situation, event or condition created by unforeseeable mechanical failure, unprecedented high rate of treated water usage (such as might result from a major fire or a major water main break) or circumstances beyond the Party's reasonable control. 1.l 1 Equivalent Meters or EM. A means of relating a large-use customer with a base (residential)use customer. Fort Worth Water Department uses 5/8 x'/4 inch meter capacity as an EM. The ratio of larger meter's capacity to the 5/8 x '/4 inch meter capacity is the number of EMs for each meter size. Agreement for Water Service 5 MAL - 1.12 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. 1.13 Fiscal Year. The fiscal year of Fort Worth, which is from October 1 s`through September 30th. 1.14 Fort Worth. The City of Fort Worth, acting by and through it's duly authorized Assistant City Manager,who may delegate to the Director. 1.15 Fort Worth System. The Fort Worth water treatment and distribution system. 1.16 Impact Fee. A capital contribution funding or recouping the cost of Capital Improvements necessitated by and attributable to new development, subject to and as provided in Article 16 of this Agreement. 1.17 Maximum Day Demand. The maximum quantity of water used by Customer during one calendar day of the Fiscal Year. 1.18 Maximum Hour Demand. The quantity of water used by Customer during the one hour of the Fiscal Year that more water passed through the meter or meters serving the Customer than during any other hour of the Fiscal Year,multiplied by 24 hours and expressed as MGD. 1.19 MG and MGD. MG is million gallons; MGD is million gallons per day. 1.20 Parties. Fort Worth and the Customer, or each individually. 1.21 Rate of Use Charge. The charge for Maximum Day Demand in excess of Average Daily Use and for Maximum Hour Demand in excess of Maximum Day Demand, as provided in § 7.5 and Exhibit C. 1.22 Raw Water Charge. The rate for 1,000 gallons charged by the Tarrant Regional Water District to Fort Worth for raw water to be sold to the Customer plus four percent (4%), representing Fort Worth system losses of four percent(4%). 1.23 Return Water. All water that is returned to Fort Worth via discharge into Fort Worth's wastewater system for treatment by Fort Worth's Village Creek Wastewater Treatment Plant or another wastewater treatment plant that is owned or operated (directly or through contract) by Fort Worth. 1.24 Service ChaMe. A fixed monthly charge per wholesale meter, as set forth in the annual cost-of-service rate study, designed to include a portion of Fort Worth Water Department's cost for wholesale customer billing and accounting. 1.25 Street Rental. The Street Rental charged to the wholesale customers of the Fort Worth System is intended to be compensation for use of public rights-of-way. The Street Rental is established at five percent (5%)of the revenue requirements. excluding Payment in Lieu of Taxes Agreement for Water Service 6 (PILOT). The Street Rental can not be decreased without the consent of Fort Worth in its sole discretion and, iu the event o[uu increase, can only bc increased iu one percent(|YQiucrennon1s once every �vc (5)yousm�utingou the anniversary d�eof this Ago:ennc/tiu2� |6'and shall never exceed the rate being collected from the natural gas franchised utility serving oCityn[ Fort YVodb or the rate collected from the retail water customers of Fort VVodb, whichever is /cxx. 1.26 The fee ac1 forth in 8 7.1.3 and Exhibit B. The Stand-by charge is intended to allow uv/bolcuulo customer to rely on the Fort Worth System for stand-by delivery of water for the Customer's Bonorgoucy use only,as provided in 8 7'6. 1.27 System Cost. Bymtcnn Cnst,as provided in 8 6'8'2. 128 ICEU. The Texas Commission on Environmental Quality or its successor agency. 1.29 Treatment, Pumping and Transmission Charge. The rate,per l,O0O gallons used, ^`g'"u.csv of/utc of use,as uom:on/uou by the annual cost-of-service rate study,and which ohuU include the maintenance and operation costs, and the capital facilities cost on the part of the production and transmission system related to annual use. 1.30 Volume Charge. The combined total of the Treatment, Pumping and Transmission Charge plus the Raw Water Charge iu effect for the current Fiscal Year. ARTICLE 2. Delively of Water 2.1 DeliveEy. Fort Worth agrees, subject to the amount of raw and treated water available to Fort Worth,to furnish and uo1|to Customer treated water ofpotable quality meeting all applicable governmental standards, delivered under the normal operating pressure prevailing in the Fort Worth System at the Customer point or points of delivery mutually agreed upon, without guarantee ofu specific minimum pressure. Mutually agreed pnio1(s)ofdelivery un the Effective Du10 are shown on Exhibit A. 2.2 Acceptance and Payment. Customer agrees to accept delivery of and to pay for the water in accordance with the terms and conditions of this Agreement. Customer understands and acknowledges that Customer is responsible for maintaining water pressure in the Customer's System, and that maintaining a certain water delivery pressure requires use of storage or pumps on Customer's 8yytcnn. 2.3 Operations. Fort VVor1b is entitled ut any and all times to install, repair, nnuiutuio, and replace any equipment or devices in the Fort Worth System. /nuu Emergency, Fort Worth may take necessary action (including reduction or cessation of water service to Customer) as necessary or appropriate toallow Fort Worth u1 all times to maintain uonininnuno pressure as required by law u1all notui| service locations directly served by Fort Worth, and Fort Worth is excused from the requirements of82,1 to the extent caused byun Emergency orhyForce M jourcorPonVVodb`xo:uxonuh|coffodstuncspond0ouuchcondihono. ln the event o[such service interruptions, Fort Worth shall make every reasonable effort to expedite the restoration of service in u timely manner. and yhull not unreasonably interrupt. withhold or delay service to Customer. Agreement k`r \Vutor Service 7 2.4 Raw Water Contract. u /u accordance mdhthe terms ofFo� Wo Worth ~ Bccrctory Co��No. l2�O ��� Fm1 �/� t� C� of �i��� t�Ci ' o[Mansfield, Trinity �' y RiverA�borhv,und�bcTuoaut Regional Water District, this Agreement shall bedeemed subordinate in all respects to the water requirements of the above contracting Parties as specified io Section 3o[that contract. 2.5 Water Use Restrictions and Conservation. 2.5.1 l[Fort Worth io any way restricts, rations o,conserves the use ofwater throughout its CCN during an Emergency declared by the Director, then within 24 hours of being notified oy the action u[Fort Worth, Customer shall institute and apply the same restrictions and/or measures umto the use of the water bv the ruoiorucroofCuotozuec ' 2.5.2 |f Fort Worth io any way restricts, rations or conserves the use ofwater throughout its CC/wau authorized by the then Fort Worth City Council and adopted by ordinance,then Customer agrees to institute, apply and enforce the same rationing, conservation measures, or restrictions to the use of water by the customers of Customer for so long as any part of the total water supply of the Customer is being furnished by Fort Worth. Cootonocc xbuU submit to Fort Worth,within sixty (6O)days of the action taken hv the City Council ofFort Worth, u copy of the Customer's city council and/or gnvorniogbourdnceo|ubou and/or ordinance adopting the same measures uo Fort Worth. 2.5.3 [f Customer falls to comply with its obligations under this 0%,5then, in addition to the rcnuodicsavailable under��rticle87, Fodl�odbnn -inmiuUoca600iany rutcofOov/oonUn||ccmncccuourytoobymicu||yuohioveco'compliance,regardless of whether the rate of flow controller to be installed ocudiuote' is on Fort Worth's or Customer's side of the meter. 2.d ("Ch. 288"). 2.6.1 As required bv3O Tex. Admin. Code § 280.5(l)([),this Agreement requires Customer to develop and implement u water conservation plan ocwater conservation measures using the applicable elements of Tex. /\dnninCodc Ch. 288. 2.6.2 /\x required by3O Tez. Adrnio. Code § 288.22(u)(8), this Agreement requires that, io case ofu obodugc of water resulting from drought,the water to be distributed mbu|| he divided io accordance with Texas Water Code § 11.03 9. 2.6.3 To the extent that Customer fails 1ocomply with Q%,5 above or meet any additional requirements under 30 Tex. Admin. Code Chapter 288, Cuoturncc ugs:cy to implement and comply with Fort Worth's water conservation plans and measures and drought contingency plan until the Customer's own plans and measures are brought into compliance. Agreement for Water Service 8 2.7 Consultation with WCAC. Except when the Director determines that emergency conditions require short-term restriction, conservation or rationing to meet all necessary water demands, Fort Worth agrees to consult with the Wholesale Customer Advisory Committee, in the development of any restriction, conservation, rationing, or drought contingency plans that the Director determines may be necessary to address operational constraints, whether or not required by any state or federal regulatory agency, or deemed advisable by the Wholesale Customer Advisory Committee to manage long term System Costs, except where emergency conditions may dictate short-term restriction, conservation or rationing requirements as may be determined by the Director to meet all necessary water demands. ARTICLE 3. Location and Maintenance of Measuring Devices 3.1 Metered Water. All water furnished under this Agreement by Fort Worth shall be measured by one or more suitable meters equipped with continuous flow, chart recording devices, and telemetering equipment connected with the Fort Worth control center. All meters_, recording devices, telemetering equipment and appurtenances(including any flow control equipment required by§ 7.2) shall be approved and installed by Fort Worth. Customer shall pay for the meter vault and all metering equipment, including telemetering equipment to the Fort Worth control center, and appurtenances,plus the installation cost thereof. Fort Worth shall pay all costs associated with the operation and maintenance of said equipment and shall pay for the replacement of said equipment as necessary. Such costs, as well as charges for the telelink line and microwave transmitter and the power to operate same, shall be a System Cost. 3.2 Point(s) of Deliver. The point or points of delivery of treated water by Fort Worth shall be the meter vault connection to Customer's side of the meter,and all necessary mains and distribution facilities from and beyond that point shall be the responsibility of Customer. The location of each meter shall be mutually agreed upon in writing by and between the Parties and the meter or meters shall not be moved or relocated except by mutual consent in writing by the Parties. 3.3 Cost of New or Additional Connections. Customer shall pay the cost of each new, enlarged or additional Customer connection to the Fort Worth System, including the cost of the wholesale meter and the Customer's proportionate share of any improvements required for that connection or related service to be provided at the delivery point. The Customer's cost shall be calculated in the same manner as the "developer's cost"for special facilities, including pipelines under Fort Worth's then-existing Water and Wastewater Installation Policy, as determined by the Director. The Customer will pay that amount to Fort Worth before making the new or additional connection to the Fort Worth System, and the amount shall not be a System Cost. 3.4 Check Meter. Either Party, at its own expense, may install a check meter to check or measure the volume of water passing the master meter,provided that, if such check meter is installed,the same rules and regulations relative to its operation, maintenance and reading shall apply as to the master meter being tested. Agreement for Water Service 9 if kXhi .x�:wlr 5s3^_.i,e w,,. iP,1kN[1 r ARTICLE 4. Meters 4.1 Testing. Fort Worth shall routinely test for accuracy, and service and calibrate if necessary,the master meter at each point of delivery no less than once during each twelve (12) month period. Copies of the results of such calibration and all related information shall be provided to Customer. Customer shall have access to the metering facilities at all reasonable times; provided, however,that any reading, calibration or adjustment to such metering equipment shall be done by employees or agents of Fort Worth, or other mutually approved third party calibration agent, in the presence of representatives of Customer and Fort Worth, if so requested by Customer. Notification of any proposed test shall be provided to the Customer at least seventy-two (72)hours prior to such test being conducted and Customer may observe such test, if so desired. 4.2 Corrections. Upon any calibration of a Wholesale Customer's meter, if it is determined that the accuracy envelope of such meter is found to be lower than ninety-five percent(95%)or higher than one-hundred-five percent(105%)expressed as a percentage of the full scale of the meter,the registration of the flow as determined by such defective meter shall be corrected for a period extending back to the time such inaccuracy began, if such time is ascertainable; or, if such time is not ascertainable, then for a period extending back one-half(1/2)of the time elapsed since the date of the last calibration, but in no event further back than a period of six(6)months. All meters will be properly sealed, and the seals shall not be broken unless representatives of both Parties have been notified and given a reasonable opportunity to be present. If the meter, after testing, is found to be in error outside the parameters established in this Agreement,the amounts due to or due from Fort Worth shall be determined based upon the prevailing wholesale rates which were in effect at the time the meter was determined to be malfunctioning. The amount due to or due from Fort Worth shall be payable within thirty (30) days from the date of receipt of the invoice for said amounts by Fort Worth or by Customer. In addition, the Wholesale Customer's volume and rate of use records shall be corrected, as determined by the meter testing. 4.3 Requested Testing. Customer shall have the right to request Fort Worth to test any meter(s), but no more frequently than quarterly. Upon any such request, Fort Worth agrees to perform its testing and calibration of the meter(s)with notice to Customer, and the Parties shall be entitled to jointly observe any testing, calibration, and adjustments that are made to the meter(s), in the event such modifications are necessary. For such additional testing request, Fort Worth shall give Customer notice forty-eight(48)hours in advance of the time when that testing will occur. Customer shall pay the cost of the additional test requested for any meter(s) if the test shows that the meter(s) is accurate (within five percent(5%)registration), but Fort Worth shall pay the costs of the additional test if the results indicate that the meter(s) is not accurate (in excess of five percent(5%) registration). 4.4 Out of Service Meter. If any meter used to determine the flow of treated water to Customer is out of service or out of repair so that the amount of water metered cannot be ascertained or computed from reading the meter, then the water delivered during the period that the meter is out-of-service or out of repair shall be estimated and agreed upon by the Parties upon the basis of the best data available. The basis for estimating such flow includes, but is not limited to. extrapolation of past patterns of flow for that metering station under similar Agreement for Water Service 10 conditions. U[the Parties cannot agree onthe extrapolated estimate of water volume delivered, then agreement uuthe Dov/ volume will be determined by W22.6 dispute resolution. ARTICLE 5. Meter Reading and Billiniz 5.1 Reading Meters. Fort Worth will noud all meters provided for herein u1monthly iotnn/u|y, and the Parties shall have free access to read these respective meters daily, if either Party xo desires. Each Party has the duty to give immediate notice 10 the other of any meter that it finds is not functioning properly. Upon such notice, repairs tu such meter shall homade promptly. 5.2 Records. All readings of meters will be entered into the records maintained by Fort Worth. Customer shall have access io such records during reasonable business hours and shall be furnished with monthly readings for each point of delivery metering facility. 5.3 Multiple Meters. lf Customer has more than one point u[connection io the Fort Worth System,the sum of all meter readings and rates of flow shall be used for the purpose of calculating the water Volume Charge and the Rate of Use Charge. 5.4 October BitUM. A review of water usage amounts by Customer for the past twelve(l2\ ruonihsobuUbeozadndudng the presentation of the ()otoherbill each yeuc The October ` ' statements shall be prepared so as to reflect any and all Rate of Use Charges for the Fiscal Year just ended which have not been previously billed and paid. /\copy of the rate of flow charts or other records showing the Maximum Day Demand and the Maximum Hour Demand for the Fiscal Yeuc 'umtcndod ubuU be furnished to Customer with the October billing. 5.5 Billing and Payment. Bills for water service shall be rendered to Customer monthly hy Fort Worth, and shall ho due and payable hy Customer not more than thirty (�0) days broonthe billing date. The bills will uhov/ouorotcharges, as well uopuot'due charges, if any. Pomi-Juc charges shall be the total amount unpaid from all prior billings as of the current billing date. Payments received by Fort Worth shall fiothe applied to the past-due charges, if any, and thereafter ro the current charges. 5.6 Billing Disputes. [f Customer disputes a bill and io unable 10 resolve the difference ioJuonuUy, Customer shall notify the Director iuwriting. If the Director and Customer are unable to resolve the disputed bill, ugrcerneui oo the bill will be determined by -�2%,hdiupu0o ou resolution procedures. Dispute o[u bill shall not hc grounds for uou'puynuL If u bill orother payment io not paid uo specified iu this Agreement, u finance charge of ten percent (lO%)per annum will be calculated from the date which the payment was required to be made. l[ 'hil|iog adjustment is agreed upon or otherwise established by dispute resolution, then the amount found to be incorrect will be credited to Customer's account together with an interest charge of ten percent (10%) per annum calculated from the date payment of the disputed bill was received. ARTICLE 6. Dates 6.1 Method of Rate Determination. h.|.l Wholesale water rates will bc based upon on annual cost'of-scrvicr rate studv with rate study conducted cvcr� three Nears hv an independent utility nstc ' Agreement for Water gcn/ice I I consultant as provided for in §6.1.4. The independent utility rate consultant shall be selected by the Director from a list of five qualified firms submitted to the Director by the Wholesale Customer Advisory Committee. The cost of any such study shall be a System Cost. All cost-of-service studies shall be conducted utilizing the utility cost basis of determining revenue requirements applicable to the wholesale customer class. 6.1.2 The System Cost(i.e., the cost-of-service for the wholesale class)shall include allocated reasonable and necessary operation and maintenance expense; depreciation expense;a fair and reasonable return on allocated capital facilities as provided in§ 6.1.3; general and administrative costs; commodity charges including the Raw Water Charge;the cost of treated water;transmission losses; Street Rental (calculated as provided in§ 1.25); and Payment In Lieu of Taxes ("PILOT"calculated as provided in Exhibit D). To determine the allocation and distribution of costs to the wholesale customer class,the independent utility rate consultant shall consider at least the following factors: total volume, rate of flow, metering, and customer related costs such as accounting,billing, and monitoring. Capital related costs will consist of depreciation expense and return on original cost rate base. The"rate base" shall consist of all allocated capital facilities, net of depreciation and contributions, and shall include construction work in progress, a reasonable allowance for working capital, and a reasonable inventory of materials and supplies necessary for the efficient operation of the Fort Worth System. The methodology shall be that used in the most recent wholesale water rate study completed and approved by the Fort Worth City Council before the Effective Date,which Customer acknowledges having received prior to executing this Agreement. Records of the original cost and the accumulated depreciation of all capital facilities shall be maintained in the Fort Worth Fixed Asset Tracking System. These records shall be available for inspection at the Fort Worth Water Department during reasonable business hours upon request by Customer. 6.1.3 Fort Worth shall be allowed to earn and recover in rates a rate-of-return on the rate base as described in§ 6.1.2. That rate of return shall be equal to the weighted average imbedded cost of outstanding debt plus one and one-half percent (1-1/2%). The parties agree that this rate of return is reasonable. 6.1.4 For the Fiscal Years beginning October 1, 2011,2014, 2017, 2020, 2023 2026 and 2029, a detailed wholesale water rate study will be performed by an independent utility rate consultant selected by the Director in conformance with§ 6.1.1. The same methodology used in the immediate previous rate study will be utilized by the rate consultant so selected. In the interim Fiscal Years between detailed rate studies, Fort Worth will adjust wholesale water rates annually, using the same methodology as the last detailed rate study. and will utilize the actual operating data for the twelve(12) month period ending September 30`' of the prior year, adjusted for all known and measurable changes in cost data that may have occurred since the last audited financial statement. Such adjustments should allow for year-end trending and the spreading of non-recurring expenses over an appropriate benefit period. Agreement for Water Service 12 JIM 6].5 Changes in the wholesale water rate methodology will be allowed if /ocomnzcodcd by u majority vote of the Wholesale Customer Advisory Committee and approved 6v the Fort Worth City Council. For purposes ofthis 86.1'5, n majority iu defined uu any combination ofFort Worth wholesale customers that took more than fifty percent(5O%) of the wholesale water delivered by Fort Worth during the immediate past Fiscal Year. 6.2 Rates to be Used. 62.1 The rates and charges to be effective upon approval of this Agreement shall be those calculated by the most recent cost of service study and adopted by the Fort Worth City Council to take effect during the current Fiscal Year. 6.2.2 The Raw Water Charge shall be increased or decreased when the raw water cost paid by Fort Worth for water available for treatment and sale to Customer is increased ur decreased uu determined by the Tarrant Regional Water District in accordance with Fort Worth City Secretary Contract No. 12720. 62.3 The Parties agree that services obtained pursuant tu this Agreement are cxucrtiul and necessary to the operation of Customer's vvatcnxurka facilities and that all payments made by Customer hereunder shall constitute reasonable and necessary operating expenses o[Customer's waterworks and wastewater systems within the meaning of§ 1502.056 of the Texas Government Code,and the provisions of any and all ordinances of Customer authorizing the issuance of any revenue bonds of Customer which are payable from its waterworks and wastewater systems. 6.2.4 Customer agrees,throughout the term of this Agreement,to fix and collect such rates and charges for water service to be supplied as will produce rcvcouca in an amount equal toui least(i)all of operation and maintenance expenses ofsuch system, including specifically its payments under this Agreement; and(ii) all other amounts uu required hy law and the provisions uf the ordinances or resolutions authorizing its revenue bonds or other obligations now or hereafter outstanding, including the amounts required to pay all principal of and interest on such bonds and other obligations. 62.5 Customer understands that Fort Worth City Council has the right to annually revise the rates charged to cover all reasonable, actual, and expected costs. Revision of rates mhuU be pursuant iothe provisions set forth in this Agreement. Fort Worth shall give Customer a minimum of six(6) months notice of intent to revise rates. Fort Worth will furnish members o[the Wholesale Customer Advisory Committee a draft copy of the cost-of-service study of the proposed rates sixty (60) days prior to Fort Worth submitting rate increase request to its City Council. Within thirty (30) days of receiving the draft study, the Wholesale Customer Advisory Committee will submit its written comments on the draft study to Fort Worth, and Fort Worth will respond to these comments as soon thereafter unpossible. If the Wholesale Customer Advisory Committee has not provided its written comments within said period, the Wholesale Customer Agreement for Water Service 13 Advisory Committee is deemed to have accepted the proposed rates contained in the draft study, and Customer agrees that it will be bound by the rates as approved by the Fort Worth City Council. The rates approved by the Fort Worth City Council shall be the rates to be used in this Agreement for the succeeding Fiscal Year. ARTICLE 7. Payment for Water Payment of charges to Fort Worth for water used by Customer shall be made as follows: 7.1 Annual Payment. The annual payment will be the charges computed based on all water delivered by Fort Worth to Customer during the current Fiscal Year at rates set pursuant to this Agreement. For purposes of calculating the annual payment, the current year will be the Fiscal Year during which the water usage occurred. However,the minimum annual payment will be the greater of the following: 7.1.1 the current Fiscal Year Volume Charge times the current Fiscal Year Annual Consumption,plus the Service Charge,plus the current Fiscal Year Rate of Use Charges(Exhibit C, Example 1); or 7.1.2 the current Fiscal Year Volume Charge times the current Fiscal Year Annual Consumption,plus the Service Charge,plus the current Fiscal Year Rate of Use Charges applied to the average of the Maximum Day Demand above Average Daily Use and the average of the Maximum Hour Demand above Maximum Day Demand for the most recently completed three (3)Fiscal Years (to include the current Fiscal Year) (Exhibit C,Example 2); or 7.1.3 if applicable to Customer, a Stand-by Charge equal to: (a) twelve(12) months; (b) times the total number of EM units for all of the Customer's wholesale meters connected to the System; (c) times 28,800 gallons per day; (d) times a dollar amount equal to a three(3)year numerical average of the Treatment, Pumping and Transmission Charge per 1,000 gallons, using the Treatment, Pumping and Transmission Charge from most recent annual cost-of-service rate study performed by the independent utility rate consultant as provided in § 6.1.4 and the two years prior to the year of that study. This dollar average will remain in effect for purposes of calculating this § 7.1.3 Stand- by Charge until the next cost-of-service rate study is performed by an independent utility rate consultant as provided in § 6.1.4. Exhibit B presents an example calculation of the Stand-by Charge. Agreement for Water Service 14 IN 7.2 Withdrawal Rate. The rate at which water is withdrawn from the Fort Worth System by Customer 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 Demand experienced during the previous year unless Customer has notified the Director at least(6) months before the date of the anticipated increase in the Maximum Day Demand; provided, however that in an Emergency such as a line break, Customer shall advise the Director within 24 hours of the increase in the maximum rate of withdrawal. Customer shall furnish the Director with all pertinent information regarding the proposed increase in maximum rate of withdrawal. The Director may waive the notice requirement if, in his sole opinion,that notice is not necessary to protect the interests of Fort Worth. 7.3 Monthly Payments. The monthly payment will be the sum of(a)plus (b)plus(c): (a)the greater of- (i)one-twelfth (1/]2)of the amount calculated in § 7.1, or (ii)the Volume Charge times the actual volume of water taken that month; (b)one-twelfth(1/12)of the sum of the annual Rate of Use Charges, determined as provided in §7.5 and Exhibit C; and (c) one-twelfth(1/12)of the sum of the Fiscal Year Service Charge. 7.4 Total Annual Payments. The total annual payment for water delivered to Customer shall be based on the annual and peak volumes delivered to Customer during the Fiscal Year, as determined by meters, flow recording devices or other approved methods, and calculated as provided in the annual payment provisions set forth above and in Exhibits B and C. The October monthly payment for September's usage shall contain any adjustments necessary to update the Rate of Use Charge calculations as necessary to recover the Annual Payment for the Customer's actual withdrawals from the Fort Worth System (including Rate of Use Charges for Maximum Hour and Maximum Day Demands) for the Fiscal Year just ended, during which the water usage occurred. Exhibit C provides examples of the Annual Bill Calculation. 7.5 Rate of Use Charge. As provided in§§ 7.1, 7.3 and 7.4 and shown in Exhibit C, Monthly Payments and the Annual Payment shall include Rate of Use Charges, unless the Stand- by Charge applies. The Rate of Use Charges consist of: (a) Maximum Day Rate of Use Charge, calculated by multiplying the"Excess Max Day Charge"per MGD from the annual cost-of-service rate study, times the Maximum Day Demand (in MGD) in excess of Average Daily Use(in MGD); and (b) Maximum Hour Rate of Use Charge, calculated by multiplying the'`Excess Max Hour Charge"per MGD from the annual cost-of-service rate study, times the Maximum Hour Demand (expressed as MGD) in excess of Maximum Day Demand (in MGD). Exhibit C presents example Rate of Use Charge calculations. Rate of Use Charges are estimated by applying the current Fiscal Year Excess Max Day and Excess Max Hour Charges to the prior Fiscal Year's Maximum Day Demand, Maximum Hour Demand and Average Daily Use in the October through September bills. with adjustments in the October bill as necessary to recover the Agreement for Water Service 15 Annual based oo the Customer's actual withdrawals(including Rate of Use Charges for Maximum Hour and Maximum Day Demands) for the Fiscal Yearjust ended, during which the water usage occurred. 7.6 . Customer iu subject»o the Stand-by Charge ifthe umouotoftbc5tuod-byChurgcioihcgreutorufthcAnouulPoymncn1optioom |iotedio87.U. Customer iouStand-by Customer ifii receives water from the 8yok:nu for Emergency use only, and the Director has approved that use. A Stand-by Customer's obligations under this Agreement include the requirements of@3./ for the location, approval and installation ofmeters. By execution of this Agreement and approval of the Stand-by service meter, Fort Worth agrees to provide the wholesale Emergency service through the approved meter to the Stand-by Cuolonnc/, subject to the terms of this Agreement; however, notwithstanding§2,8, delivery of water 1ou Stand-by Customer insubordinate tu Fort Worth's other delivery obligations. Further, this Agreement does not grant oc imply that the 81uodhv Customer has reserved any water service, capacity or delivery from the S9utcno, other than for Emergency use as provided in this Q7.6. Any change in the Stand-by Customer's use from Emergency to non-Emergency must be approved io writing 6ythe Director. Unless odbcnvioc agreed in writing by Customer and Director,the Stand-by Customer is not required to pay the Impact Fees required by Article 16 until it requests or takes deliveries of water from the System that exceed the approved Emergency use. ARTICLE 8. Effective Date The effective date and time of this Agreement for all purposes is January 1, 2011 at 12:01 a.m. Upon the Effective date,the wholesale water service agreement then in effect between Fort Worth and the Customer iu terminated and superseded by this Agreement. ARTICLE 9. Term This Agreement-expires on September 30, 203(. lt may be renewed on terms mutually agreeable to the Parties. ARTICLE 10. Customer shall grant,without charge 10 Fort Worth, such easements and 6uhtu'of-xav along public higbvvuysor other pvopcdyovwnedbyCuotorner, us requested byFo �VVonh, io' order to construct or maintain mains or facilities within the Customer's Service Area to provide water to Customer and 10 other areas. Upon notice from Customer and utFort Worth's expense incurred uxuSystem Cost, Fort Worth will move such water mains orfacilities located in such street rights-of-way, or other property owned by Customer when reasonably necessary to the performance of essential governmental duties hyCustomer. Fort Worth shall grant, without charge to Customer, such easements and rights-of-way along public highways or other property owned by Fort Worth, as requested by Customer, in order to construct and maintain water mains or facilities within Fort Worth to provide water to Customer. Upon nuboc from Fort Worth and at Customer's expense, Customer will move such water mains or facilities when located in such street rights-of-way or other property owned by Fort Worth when reasonably necessary to Agreement 1or Water Service 16 performance of essential governmental duties bvFort Worth. All work done hvmou behalf oy Fort Worth under this paragraph will he performed iu accordance with specifications equu to those applying to work of a similar nature perfonned within Fort Worth, and the applicable Party will use its best efforts to restore the others property touu near original condition as feasible unless otherwise mutually agreed iowriting. Fort Worth and Customer agree to coordinate the location of the mains and/or facilities in the other's easements and rights-of-way in order to prevent further conflicts insofar asimreasonably practicable. ARTICLE 11. TCEQ Public Water Supply Approval The Customer System shall be approved by the TCEQ during the life of this Agreement. If,u1 any time,the Customer System io not approved by the 7-CE0' ori[Customer does not have an active cross-connection control program,there shall not be any direct physical connection between the Fort Worth System and the Customer System unless an approved backflow prevention device has been provided and installed and this installation has been approved by the TCBQ All expenses to provide and install buckOow prevention dcvioe(m)will hc borne 6� Customer. ' ARTICLE 12. Resale of Water 12.1 Outside Service Area. Customer agrees that ii will not share facilities for water a�m0onn use vvithany other goverucneoia| ur corporate entity outside of{�uutooucr'u Service/\rcuvvithout the express written consent of Fort Worth, which consent shall not be unreasonably withheld. Fort Worth neither recognizes nor approves any existing agreements entered into by Customer with other governmental nr corporate entities outside ofCustomer's Service Area,unless expressly approved io writing by the Director before the Effective Date. 12.2 Exceptions. Only those existing connections outside of the Customer's Service Area shown in Exhibit E may continue. Customer agrees that J will not enter into any resale or transportation agreement other than as a part of its normal offering and supply of water to existing and future subscribers tu its Customer System without the recommendation of the Wholesale Customer Advisory Committee and express written consent of Fort Worth. /k&TlCLO 13. Sanitaa Sewer Facilities The Customer agrees that it will require all of its customers, who are provided water from the Fort Worth System,to have adequate sanitary sewage facilities meeting TCEQ requirements. ARTICLE 14. Additional Wholesale Customers Fort Worth will use its best efforts to provide an adequate water supply for all of its customers. Prior tothe uppoonu| of additional wholesale customers, Fort Worth will obtain in writing reasonable assurances from the Tarrant Regional VYutcr District that the projected ten (10)year water demands of the then-existing wholesale customers being served and any proposed additional customers can be fulfilled, and will charge the new customer an appropriate connection fee pursuant to 83.3. Fort Worth will consult with the VVbo|oou|c Customer Agreement for Water Service 17 Advisory Committee and the Tarrant Regional Water District before contracting with additional new wholesale water customers. ARTICLE 15. Wholesale Customer Advisory Committee Customer's governing body shall annually appoint a representative to be a voting member of the Wholesale Customer Advisory Committee, whose purpose shall be to consult with and advise Fort Worth,through the Director, on matters pertaining to conservation,wholesale planning, improvements,grants, wholesale rate studies, administration, budgets, and additional wholesale customers,whether same be wholesale customers of Customer or Fort Worth. The Wholesale Customer Advisory Committee may establish bylaws governing the election of officers, meeting dates and other matters pertinent to its functioning. ARTICLE 16. Impact Fees 16.1 Calculation and Payment of Impact Fees. On a quarterly basis, Customer agrees to pay to Fort Worth an Impact Fee for each new or enlarged connection for water service made within Customer's Service Area served by the Fort Worth System. The Impact Fee to the Customer for each such connection shall be based upon the size of water meter and shall be equal to the Impact Fee adopted by Fort Worth and collected for the same size water meter and type of connection within the jurisdiction of Fort Worth. The calculation of the Impact Fee shall be consistent with the Fort Worth ordinance adopting the Impact Fee in accordance with all applicable state and federal regulations, including Chapter 395, and shall include only those costs allowed under § 395.012 (or its amended or successor statute)that are associated with Capital Improvements necessary to provide service to new development. Nothing within this Agreement shall be deemed to prevent either Fort Worth or Customer from charging their own retail customers' Impact Fees in excess of the Impact Fee authorized by this Agreement. 16.2 _Multiple Surface Water Providers. If Customer receives surface water from more than one water provider for use by potable water customers within its Service Area, then the Customer's impact fees due to Fort Worth shall be proportionately reduced. The charge will be a fractional part of the Impact Fee imposed within Fort Worth for the same size of meter based on the ratio of the annual amounts of water purchased from Fort Worth to the total annual combined amount of surface water purchased from Fort Worth and the Customer's other surface water provider(s). For purposes of calculating this fractional part,this ratio will be the greater of the most recent prior annual ratio or the most recent 3 year average ratio occurring after the first Fiscal Year after the Effective Date. 16.3 Use of Impact Fees. As required by Chapter 395, Fort Worth agrees that all money remitted to it pursuant to this Article 16 will be placed in an interest bearing account to pay only for the cost of constructing Capital Improvements included in the Chapter 395 capital improvements plan, and will not be used for operation and maintenance expenses. Once expended, such funds and all interest earned thereon will be considered a "contribution" for rate setting purposes only. To the extent that the cost of any Capital Improvement is recovered through Impact Fees, it shall not be included in the System Cost. Agreement for Water Service 18 16.4 Impact Fee Report. Customer shall provide to Fort Worth information that relates to the making of new and/or enlarged connections within its jurisdiction as may be requested by the Director, including building permits,with each quarterly payment required in this Article 16. 16.5 No Waiver. Neither Fort Worth nor Customer shall waive 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 interest bearing Impact Fee account required by § 16.3. 16.6 CIFC. The Wholesale Customer Advisory Committee created pursuant to Article 15 shall select five(5) of its members to a subcommittee to be known as the Customer Impact Fee Committee("CIFC"). As required by Texas Local Government Code § 395.052, at least every five (5)years, beginning June, 2014, or sooner, Fort Worth will update the land use assumptions and capital improvements plan upon which the Fort Worth Impact Fees are based, or make the determination under Chapter 395 that no update is required. Fort Worth shall submit a copy of the annual report of Fort Worth Impact Fee projects and expenditures to the Wholesale Customer Advisory Committee Rate Subcommittee. In June 2014 and at least every five years thereafter, 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 Impact 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 consultant shall be deemed a System Cost, except to the extent that such cost is recovered through Impact Fees. If the CIFC fails to submit a list of five consultants to Fort Worth,Fort Worth shall select the consultant. 16.7 Capital Improvements Plan. Fort Worth agrees that only the Capital Improvements as defined in§ 1.4 shall be included in the capital improvements plan for the purpose of determining Impact 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 of its capital improvements in its Chapter 395 capital improvements plan. The CIFC shall be responsible for working with Fort Worth and its consultants to determine the Capital Improvements to be included in the calculation of any Impact Fees. The CIFC shall recommend to the Wholesale Customer Advisory Committee which Capital Improvements should be included in the calculation of any Impact 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. 16.8 Dissemination of Documents. Prior to the adoption of any land use assumptions, capital improvements plan, or Impact Fees assessed by Fort Worth,the CIFC shall be furnished a copy of the proposed land use assumptions, capital improvement plans or Impact Fees at least thirty (30)days prior to any scheduled hearing thereon. Any revised Impact Fee adopted pursuant to such updated capital improvements plan shall not take effect for a period of at least ninety (90) days after adoption by Fort Worth. Agreement for Water Service 19 16.9 Audited Financial Statement. Upon request, Fort Worth shall make available to the Wholesale Customer Advisory Committee the most recent audited financial statement of the Fort Worth Water Department's records. 16.10 Current Impact Fees. Customer agrees to pay Impact Fees in the amounts determined pursuant to this Article 16. On the Effective Date,those impact fees are the Impact Fees most recently adopted by the Fort Worth City Council before the Effective Date. Thereafter the Impact Fees are those in effect by Fort Worth ordinance at the time the new or enlarged connection is made. 16.11 Changes to Chapter 395. Fort Worth and Customer agree that the methodology for the calculation of Impact Fees required by this Agreement shall be consistent with the methodology prescribed by Chapter 395. if that statutory methodology is amended or replaced by a new statute,the Wholesale Customer Advisory Committee may engage legal counsel to work with Fort Worth to propose amendments to this Agreement to conform it to such amendment or new statute. The reasonable cost of such legal counsel shall be a System Cost. ARTICLE 17. Breach,Termination and Other Remedies 17.1 Termination by Mutual Consent. This Agreement may be terminated in whole or in part by the mutual consent of Customer and Fort Worth. Fort Worth's decision on whether to consent to termination remains within it's sole discretion; however, before consenting to termination, Fort Worth shall consult with WCAC regarding the circumstances of the proposed termination. 17.2 Termination for Material Breach. Notwithstanding anything in this Agreement to the contrary, any material breach by either Party to perform any of its duties or obligations under this Agreement, or to faithfully keep and perform any of the terms, conditions and provisions of this Agreement, shall be cause for termination of this Agreement by the non-breaching Party in the manner set forth in this§ 17.2. Upon such breach,the non-breaching Party may notify the breaching Party of the non-breaching Party's intention to terminate this Agreement if the breaching Party fails to cure such breach within ninety(90)days from the date of the notice. The notice must include a reasonable description of the breach. The non-breaching Party shall notify the breaching Party in writing upon acceptance of the cure of any breach. If by the ninetieth (90th) day the breaching Party fails or refuses to cure such breach pursuant to the terms and conditions of this Agreement,then the non-breaching Party shall have the right to terminate this Agreement with six months additional notice to the breaching Party. 17.3 Termination for Repeated Breach. Upon a second (or any repeated) breach of a similar nature by a Party and irrespective of any cure of such breach, the non-breaching Party may, after six (6) months notice to the breaching Party, terminate this Agreement. That notice must be provided within a reasonable time after the repeated breach that is the basis for the termination. 17.4 Material Breach. The following breach, default or failure to perform a duty or obligation under this Agreement is a material breach: Agreement for Water Service 20 u. FuUun: to comply with 8§ 2.5 or 2.6 requirements regarding conservation measures or restrictions; , b. Failure to pay any bill, charge, or fee as required by this including fees required uudc,Articlm16; C. Making any connection tothe Fort Worth System u1 any point except as provided in W3'2; d. Puboe to correct any potentially hazardous connection in uocorduuoc with the terms of Article 88,after notice delivered by certified mail; e. Failure 0n provide Fort Worth iugo:oo and egress for purposes of operation and maintenance ofany metering facility; f. Failure to provide Fort Worth debtx-Nf-vvayax required herein;nr 9. Failure tn provide Fort Worth unImpact Fee report ua required in Article 16. All other breaches are deemed tobcnon-mnate,iu|. 17.5 Notice and Cure. ln the event o[u material or non-material breach, default or failure to perform u duty under this Agreement,the non-breaching Party may send u notice of such default to the breaching Party. The notice must include u reasonable description of the breach. If the breaching Party fails to cure the breach, default or failure within 60 days of that notice,then the uuu'brcoohiog Party may give the breaching Party u second notice ofits failure to cure the breach. Failure to cure the breach within 30 days after the second notice shall constitute a repeated breach, and may result intermination of this Agn:erncut as provided in 8 17.3 for repeated breach. Fort Worth may, upon breach hyu Customer, surcharge the Customer uu amount developed and calculated hy Fort Worth intended to reimburse Fort Worth for any damages each month, including 10%interest,until Customer cures that breach. Because failure to perform obligations under this Agreement cannot be adequately compensated in money damages alone,the Parties shall have available 10 them the equitable remedy ofspecific performance in addition to any other legal or equitable remedy as may be provided by law. 17.0 Notice and Cure for Nonpayment of Impact Fees. If the breach is based on the non- payment or underpayment of Impact Fees,then the Customer shall pay Fort Worth the amount of the000'puynnentnruudwr'puyrucutvvitbin6Oduyaoftheooticcrcquivcdhy8& l7.2or87.5, p|uu interest at a rate of 10%of the amount owed, accruing from the time at which the payment was due. /\u additional charge of$500.00 will hc added ifno Impact Fee report was fi|cd. 17.7 Notice and Cure for Breach of Water Use Restrictions and Conservation. If Customer bn:uchcu 8&2.5wr%'6. then the 8 17'2 notice provisions do not apply and the Director, in his uo|c discretion, may, in writing, set such time in which the Customer shall cure the breach. If Customer fails o,refuses to cure the b,cucb within the stated dnno, then Fort Worth sho|| have the right to declare this Agreement terminated after six (6) months additional notice toCustomer. 17.8 7.2. Failure to provide W7'% notice, provided the Director did not waive notice requirements. will be considered a non- material breach of the Agreement and, in addition to other remedies available under this /\gcoenncot, ohu|| result in an automatic surcharge in the amount specified in 8 17.5 for such non- material breaches o[the Agreement, without further notice requirements. Agreement for Water Service 21 17.9 Effect of Termination. Upon termination of this Agreement under this Article 17,all rights,powers, and privileges of Customer and Fort Worth under this Agreement shall cease and terminate, and neither Party shall make any claim of any kind whatsoever against the other Party, its agents or representatives, by reason of termination or any act incident to termination, if the terminating Party acted reasonably and the termination was not unreasonable, or arbitrary and capricious. If this Agreement is not renewed before it expires, and the Parties are negotiating in good faith regarding the provisions of a new agreement,then the Parties may extend the date for termination, in writing that refers to this § 17.9 and is signed by both Parties. If this Agreement is not renewed,or if the Agreement is terminated by one of the Parties pursuant to this Article 17, then,as authorized by Texas Water Code § 11.036,this Agreement requires the Customer to develop alternative or replacement supplies before the expiration or termination of this Agreement;this requirement may be enforced by the equitable remedy of specific performance, sought by court order, in addition to any other legal or equitable remedy as may be provided by law. No continuation of the service obligation exists or will be implied after expiration or termination. 17.10 No Waiver by Fort Worth. Any failure by Fort Worth to terminate this Agreement,or the acceptance by Fort Worth of any benefits under this Agreement, for any period of time after a material breach, default or failure by Customer shall not be determined to be a waiver by Fort Worth of any rights to terminate this Agreement for any subsequent material breach,default or failure. 17.11 No Waiver by Customer. Any failure by Customer to terminate this Agreement,or the acceptance by Customer of any benefits under this Agreement,for any period of time after a material breach, default or failure by Fort Worth shall not be determined to be a waiver by Customer of any rights to terminate this Agreement for any subsequent material breach, default or failure. ARTICLE 18. Ownership and Liability 18.1 No Joint Venture. No provision of this Agreement shall be construed to create any type of joint or equity ownership of any property, any partnership or joint venture,nor shall same create any other rights or liabilities and Customer payments(whether past,present, or future) shall not be construed as granting Customer partial ownership of,pre-paid capacity in, or equity in the Fort Worth System. 18.2 Liabilities. Liabilities for damages arising from the proper treatment, transportation and delivery for all water provided hereunder shall remain with Fort Worth to the point of delivery and, upon passing through the meter, liability for such damages shall pass to the Customer, save and except that Fort Worth's sole responsibility is to provide to Customer water of a quality which meets state and federal drinking water standards. Each Party agrees to save, release and hold harmless the other Party from all claims. demands, and causes of action which may be asserted by anyone on account of the quality,transportation and delivery while water is in the control of such Partv. This covenant is not made for the benefit of any third party. Fort Worth takes the responsibility as between the Parties for the proper treatment,quality, transportation, and delivery of all such water provided by it to the point of delivery. Agreement for Water Service 22 18.3 Contractors. Agreements made and entered into by either Customer or Fort Worth for the construction, reconstruction or repair of any Delivery Facility shall include the requirement that the independent contractor(s) must provide adequate insurance protecting both the Customer and Fort Worth as co-insured. Such Agreement must also provide that the independent contractor(s) covenant to indemnify,hold harmless and defend both the Customer and Fort Worth against any and all suits or claims for damages of any nature arising out of the performance of such Agreement. ARTICLE 19. Force Majeure 19.1 Notice and Suspension. If by any reason of force majeure either Party shall be rendered unable,wholly or in part, to carry out its obligations under this Agreement, other than the obligation of the Customer to make payments required under the terms hereof,then if such Parties 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 Parry shall endeavor to remove or overcome such inability with all reasonable dispatch. 19.2 Definition. 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,restraints of government and people, civil disturbances, explosions, breakage or accidents to machinery,pipelines or canals,partial or entire failure of water supply, and inability on the part of Fort Worth to deliver water hereunder or the Customer to receive water hereunder on account of any other cause not reasonably in the control of the Party claiming such inability. ARTICLE 20. Notices 20.1 Required Notice. Except in the case of an Emergency, any notice or other communication that is required, given or provided for under this Agreement shall be in writing, and addressed as follows: To Fort Worth: Water Director City of Fort Worth 1000 Throckmorton Street Fort Worth, TX 76102 To Customer: Mayor City of Southlake Address : 1400 Main St. , Suite 270 Southlake, Texas 76092 Agreement for Water Service 23 With an additional copy to be given to a Customer representative, if designated in writing by Customer. 20.2 Delivery and Receipt. Notice shall be either(a) delivered personally, (b) sent by United States certified mail, postage prepaid, return receipt requested, (c)placed in the custody of a nationally recognized overnight carrier for next day delivery, or(d) sent via telecopy or facsimile (fax)transmission. Notice shall be deemed given when received if delivered personally or sent via telecopy or facsimile transmission with written confirmation of receipt; forty-eight (48) hours after deposit if sent by mail, and twenty-four(24) hours after deposit if sent by nationally recognized overnight carrier for next day delivery. 20.3 Change of Address Notices. Each Party shall provide notice in writing, as provided in § 20.1 of any change in its address. ARTICLE 21. Inspection and Audit Complete records and accounts required to be maintained by each Party shall be kept for a period of five (5)years. Each Party shall at all times, upon notice, have the right at reasonable times to examine and inspect said records and accounts during normal business hours; and further, if required by any law, rule or regulation, make said records and accounts available to federal and/or state auditors. The responding Party shall make the records available promptly upon request. ARTICLE 22. Miscellaneous 22.1 Favored Nations. Fort Worth and Customer agree that if Fort Worth should enter into any future Agreement for supplying treated water to any municipality under more favorable terms or conditions than set forth herein,this Agreement shall be amended to provide the same terms and conditions with respect to the sale of treated water to Customer. 22.2 Suspension of Rate of Use Charges. During an Emergency it may be necessary that water be withdrawn from the Fort Worth System at a rate of usage in excess of the Customer's contractually established Maximum Daily Demand and Maximum Hour Demand. It is agreed that extra Rate of Use Charges that would normally be applicable shall not apply for such bona fide emergency withdrawals provided that Fort Worth is notified in writing within forty-eight (48) hours of the occurrence of the Emergency. In any event,the normally applicable Rate of Use Charges the Customer would have incurred had it not been an Emergency,plus the Volume Charges for all water delivered, shall be due and payable as described elsewhere in this Agreement. 22.3 Water to Adjacent Areas. At the request of the Director, Customer agrees to furnish water to areas and premises situated adjacent to the boundary of Customer and within the boundaries of Fort Worth, subject to the Texas Water Code and TCEQ regulations regarding service areas. The metered quantity of water used in this area each month by Fort Worth shall be the total of all individual customer meter readings. At the option of Customer or Fort Worth, a master meter may be installed where practicable at the expense of Fort Worth to meter all water used by Fort Worth under the terms of this §22.3. The metered quantity of water furnished by Agreement for Water Service 24 is' Y- 1.; T Y:, a.f:✓ 3 fi 1 � 1 Yi/4:tm _ Customer to Fort Worth shall be deducted from the total quantity of water withdrawn from the Fort Worth System by Customer before the charge for water service to Customer is computed in accordance with the payment computations set forth and based on the Volume Charge,the quantity of water so withdrawn from the Fort Worth System and, if the meter serving those customers has been equipped to measure it, Maximum Day Demand and Maximum Hour Demand. 22.4 Subject to Laws and Pen-nits. This Agreement is subject to all applicable federal and state laws and any applicable permits, amendments, orders, or regulations of any state or federal governmental authority having or asserting jurisdiction, but nothing contained herein shall be construed as a waiver of any right to question or contest any such law, order, rule or regulation in any forum having jurisdiction. Customer agrees to abide by any changes in this Agreement made necessary by any new, amended, or revised state or federal regulation; however the Parties may not enact rules or laws that conflict with this Agreement. 22.5 Entry on Customer's Premises. Upon prior notice by the Director, Customer shall allow any duly authorized employee of Fort Worth who presents proper credentials to access any premises located within Customer's Service Area or served by Customer as may be necessary for the purpose of inspections and observation, measurements, sampling and testing and/or auditing, in accordance with the provisions of this Agreement. Customer may elect to accompany the Fort Worth representative. To the extent permitted by law, Fort Worth agrees to be responsible to Customer for any damage or injury to person or property caused by the negligence of such duly authorized employee while such employee is in the course and scope of their employment. 22.6 Alternative Dispute Resolution. 22.6.1 The parties shall endeavor, but only to the extent permitted by applicable law and at no additional cost to Customer,to settle all disputes arising out of or relating to this Agreement by amicable negotiations. 22.6.2 Any and all disputes arising out of or relating to this Agreement that cannot be resolved informally will be submitted to mediation. The place of mediation shall be in Tarrant County, Texas. A mediator shall be jointly agreed to by both Parties, and the mediator selected shall have expertise in the sale and supply of treated water. Either Party may apply for injunctive relief until the mediation decision is rendered or the controversy is otherwise resolved. Either party may, without waiving any remedy under this Agreement, seek from any court having jurisdiction any interim or provisional relief that is necessary to protect the rights or property of that Party,pending the mediator's determination of the merits of the controversy. Each Party shall initially bear its own costs and expenses; however, unless otherwise agreed in mediation, Fort Worth's costs in mediation. including expenses, reasonable attorneys' fees and other costs, shall be a System Cost. Nothing occurring during mediation shall be considered evidence in court. 22.6.3 If mediation is not successful, either Party may commence litigation to resolve the dispute. Fort Worth's litigation costs shall be a System Cost. Agreement for Water Service 25 22.7 Information. If requested by the Director, Customer shall provide quarterly the following data or information: 22.7.1 Actual number of customer accounts consuming directly or indirectly from the Customer System within Customer's Service Area; 22.7.2 Classification of domestic and nondomestic accounts within its Customer's Service Area by number and percentage of accounts consuming directly or indirectly from Customer System within its Customer's Service Area; 22.7.3 Customer water usage from all sources other than the Fort Worth System, including ground water, other surface water, and water supply agreements with other entities; and 22.7.4 Additional data which may assist Fort Worth and/or Customer in developing methodology for cost of service studies,planning studies for analyzing federal grants, and Impact Fees;provided, however,that neither Party shall request data that will require either Party to incur unreasonable expenses in providing such data. 22.8 Assignment. Customer may not assign this Agreement without the prior written consent of Fort Worth. Fort Worth may not assign this Agreement without the prior written consent of Customer, except that if Fort Worth's water utility is designated as a regional water agency by a duly authorized regulatory body, or if Fort Worth elects to contract with or assign this Agreement to a regional water authority or utility to provide all or part of the services covered by this Agreement,the Customer hereby agrees and grants Fort Worth the right to assign this Agreement under the following conditions. The regional water authority or utility shall assume and receive the same obligations, responsibilities and benefits as Fort Worth, and Fort Worth or the regional authority or utility will notify the Customer of such assignment at least ninety (90) days prior to its effective date. 22.9 No Waiver. No waiver by either Party of any term or condition of this Agreement,or failure to give notice of any breach, shall be deemed or construed to be a waiver of any other term or condition or subsequent waiver of the same term or condition. 22.10 VENUE. THE PARTIES AGREE THAT THIS AGREEMENT IS PERFORMABLE IN TARRANT COUNTY,TEXAS AND THAT THE COURTS OF TARRANT COUNTY ARE A PROPER FORUM FOR THE DETERMINATION OF ANY DISPUTE ARISING UNDER THIS AGREEMENT. 22.11 Construction. As used in this Agreement, the term "including" means "including without limitation,"the words "shall" and "will" are mandatory and the word "may" is permissive. and the term "days" means calendar days, not business days. Wherever required by the context,the singular shall include the plural, and the plural shall include the singular. 22.12 Severability. If any term or provision in this Agreement is held to be invalid or unenforceable by any legislative act or court of competent jurisdiction, and the extent of such invalidity or unenforceability does not cause substantial deviation from the underlying intent of the parties as expressed in this Agreement, then such invalid or unenforceable provision shall be Agreement for Water Service 26 deemed severed from this Agreement without invalidating the remainder mfthis Agreement, and m new provision mbu|| be deemed substituted in lieu ofthe provision severed, which new provision shall,tothe extent possible, accomplish the intent ofthe parties uuevidenced by the provision severed, and without affecting any other term or provision in this y\grcenoroL 22.13 Use of Return Water. Customer agrees that Fort Worth has the right 1n own and to use or sell any Return Water. Customer will not seek or receive any compensation, credit, or offset from Fort Worth for making the Return Water available to Fort Worth through discharges into Fort V9nctb`a wastewater collection and to:uUncot system(s), and agrees that it will not provide water service under any ordinance or agreement that conflicts with Fort Worth's rights under this §22.83. 22.14 System Regulatory Actions. Customer agrees, upon the request of Fort Worth,togive reasonable consideration tosupporting Fort Worth, and shall not oppose Fort Worth, onany permit applications or governmental approvals rc|uzcd to the Fort Worth Byutcno. 22.15 Additional ContractTerms. Additional contract terms that apply to the Customer, but not Fort Worth's other wholesale customers, are contained in Exhibit Dr "Additional lonmo." 22.|6 . All exhibits attached to this Agreement are incorporated into this Agreement 6v n:Q:ncooc, focuU �� iotcu�o uodpuqpoucoofthiogrcornco� ua follows: ^ Exhibit Customer Service Area and nuuiuuUy ugrccdpoiut(e) of de/iwcryon(beBffec6vcDate. Exhibit Stand-by Charge (Example Calculation) Exhibit Example oy the Annual Bill Calculation Exhibit Calculation oy PILOT and Cost ofService &cvouuo Requirement toRecover the Cost ofPilot Exhibit Map of Existing Connections Outside Customer's Service Area [if any]. Exhibit Additional Tconx [if any] [THIS SPACE INTENTIONALLY BLANK] Agreement t`6r Water Service 27 i1t.'. i4t3il�J&tBls. ..r ',:3.�,cw fir.. -" i'auzfESa.' n`C �1rl. .e «!r. Fi..tS m,;^;s.fiee7�9 •; , ::<'@'�fiLa _ .r,;i,.� -,u,',fx, _ ? IN TESTIMONY WHEREOF,after� 0t by the respective governing bodies of the Parties, this Agreement has been executes 4t�c�i°'"A1'i��copies, each of which is considered to be an original. o o° °0 0�� 0 0 v� o��� ATTEST: TY OF FORT WORTH o° �a r y• ° °°°°a°° City Secretary, ity of Fort Worth pb° Assistant City Manager City of Fort Worth APPROVED AS TO FORM AND LEGALITY: avj ft) c. -V City Att ey,Ci of F rt Worth 1�_"' Date: 11, APP VAL RECO NDED: _ r� u ' t contract Authorization Director City of Fort Worth Water Department Date ATTEST: CUSTOMER SOUTHLAKE By Secretary John Terrell Mayor, City of Southlake APP OVE AS O F �WITY: Attorney Date: APPROVAL RE/CO�M Print Name: Robert H. Price, P.E. , FNSPE Title: Director of Public Works OFFICIAL RECORD y CITY SECRETARY FT. WORTH, TX Agreement for Water Service 28 1 J ta EXHIBIT A SERVICE AREA AND POINTS OF CONNECTION .......... ................. FORTWORTH Wholesale Customer Meters For WATER Southlake I . xrwq Legend amr E SROOU I ■ Wholesale Customer Water Meter Adjacent City CFWCfty Limit G) W 4' Ili 10DEA"I WAVOA AKNNAYCRBEK 7 L "O"w"ONE5AROOKS Omwa,, Sou I t WOOE WRM IWASAKI ma? L) I TALBOT wo", TREWOWEj MWES 49 m 4M ROBX swo--� 15, 9Ak30LTREE OAKfAL %A 17 Ila 7z NOPMVIEST M1 'd ENV xa"5R SOCCER MOR vsw a-RIVO, my �M ww �RCREM BEAR ma �TAW ACCESS WSTAMO PO, CR� "O Jw%UPA=EKQ1.Ep vAV—lO 17TH Vo ZANOT 69P LAYALA A— TUdGNr 03 A*J 0,,-- LAKESIDE % dG&FA0 4EW OOE�� LIJFCL I 19 'I A"GV AE�SILE ."00 "�R 74, "0 CLA*A." AA CS=FJ bEMI AA. 44". 4 SW 9,000 18,000 NAD-1963-StalaPlane-Texas North Centrai FINS 4202 Feet 1 inch ecuals 9000 feet A M CL ., 2 w m c 67 V 'y E aS C ] C E C O O CO a) m 0 O O_ E U1 "0 C a U 0 m .O Im EO U .05 a U d 0 ai N U) U) U) a) w z z a. L a N N (n N d N (O a) W Qw m � = w X 2 CD U) U � L 'a m Q -o Y N io a] >L E :3 O O ca U o °o °o I- M N Cl) C O ❑ U O N m >1 m m m U CL a� a) q m cYv m L L L 7 7 7 R Y O d Y Y E is 2 O z L r r ++ tl! 7 7 7 O O U fA <A FORTWORTH Wholesale Customer Meters For WAM Southlake y v iC1541 Legend g � ! mod° >3 J . 10532 s\ tw e — p 2 o " �, ' -1052-1 ----- --- __._ ____- � -- TR�fIL{ . OLIDVP - -�: y ......I..T -.� 'Jol. tL0"Y 1i?41 I n 1 • —, II � I0401 we T m J&•r . ° -.} • :V .... 8� 1D375 1038:7 ° �� .-..I- ... , ..L 10345 10336 I �`— ----- '10340 s a v(-� � � to 1032a I � 18320 - 10315 ....._..----...— Q } I Q SOUTHLAKE F%�C�H { 4rf1 -- onCrett3 L 0o PRIMARY ACTIVE z 4707 RAY WHITE R io3a5 S _. 36° ; _ 1.7 L i• 24' n CD ncrew m 0 I A w _ r�F ° GJ-- c •f -V I O ';�dL 4708 n 4 ( !t 70<!0 )+ H?fin) I 4710 4712 4722- � 30212 4 FM 407 224 g b Lake 10250 1ST 11 Lewisvili 70 o o � yI FM 1171 - 10218 \ I O° W10HlTA 10200 t= (3•Z 174 0 _____. _.._.__- ., ,.. ' 110 17078 7j4 ® Grapevine '8' 1021a r 2r I au LL m � 130 17° DOVELake 4 ! I � DOLE ? _ JOHNSON �1t v ti U E FM 1708 WALL I n o _ XELL VOI 50 10056 cp BURSEY W o = STARNES , g Q U ,L6 GLADE o --- \ ..1 10041' o ^� U HARWOOD Z t�...—. ` > U ,� nOG•1 , iCN X71 Y _820 _ LL r83 I PJIU_ 1 ��v i 820 GCFNV/EW P1PEI INE 121 183 1 ii BROADWAY 183 10 ! f 0 150 300 450 600 NAD_198351etePane_Teaas_Nortn_Cantral_F1PS_4202 Feel 1 inch equals 300 Heel Feet FORTWORTH Wholesale Customer Meters For Southlake WATU U,- ;0 12836 co Legend I 1 53 12851 12629 I 12832 = I md-W.C,M—vwar wt., 601 -12848-- 12825 12828 G) 8• 12845 0_: 12344 L) 12824 .3 128,11 12840 12817 a 12820 00 12816 jL; 12813 -- 12809 I2812 12805 ------ 12808 "j l-'804 U c z al 4133 V.P V. 0137 4141 > la: .1145 4148 *0 4149 1 3 12' 12' P.V.G.' I 2: 1 4i 4153 4056 2 co 4040 128 4132 ILI :0 .2 TA*DtSBb"— 2 CAYlQR INCL 21 4040 16'N2 v f f E IV q PRIMAR AM 3POO N E 2,- 41XG 21 '2 24 Li Z5. > 20 1 12745 12801 12833 12557 S 9 1e 121121 o FU 407 LIZ k Lake c 1ST 1p Le.wis vilk FM 1171 E ' -"�R � E MG141TA 126pr) it�- �� 170 Ae �1� J70 M Grapevine - 0 o DOVFLake b DOVE 12541 -1 M JOHNSON i3 F.KELLE WALL ts FM i•t c'n 9 U RSE Y 9 STARNES GLADE HAPACOE 8w 183 508 1 820 183 SR I1 6"��W PIPELINE 121 ?S PROADWAY 183 EE 0 150 300 450 600 NAD,1983 SlalePlana-Texas-Narlh,,CeNrsl F IPS-4202-Feel 1 inch equals 300 fErm Feet �1 k: FORTWORTH Wholesale Customer Meters For wATM Southlake 317 907 210 Legend 416 N--C�stomrt Nitr AM7R 313 345 3095 2995 200 c) 309 333 s. s 128 201 300 3300 3210 3110 124 0 i 3 151 3301 3211 3201 3111 120 -- 141 $ 1924 1928 .1832 116 3250 8 -- a 131 112 JORDAN — _,s ° 3125 3115 108 r, 3255 3225 121 1939 $l 104. M 24,'W4 METER U PRIMARY MOPOi gED ._ a 3200 W SOUTHLAKE BLVD 8 -9S 1975 101 3200 3120 - gg yy 2900 3 SO Yy � FAN 9709 3280 3220 FM 407 / 3119 g L 100 8 1sT Lewisvill 110 / 105 3051 3001 A FM 1171 E S+ .0 116 $ - WICMIA 2910 >14 3101 17C'- �,� _® G 130 220 230 LL i-t 1'10 {10 170 DOVIL @ _ JOHNS T, ..KELLF� FM 1709 WALL 3140 3130 EEE1If����Y�t .. 205 215 225 236 245 2y 2914 GLADE Z 3 7135 3105 j 820 HARW000 1 223 3145 �{.... 1 820"'LEI AFW PJPEL I&E 121 183 h 2 I 1 LL BROADWAY 183 10 0 150 300 450 600 NAD 1983 StatePlane Texas North Contra FIPS 1202 Fee 1 nch equals 300 feet Feet - - - - - - - - kY EXHIBIT B AGREEMENT FOR WATER SERVICE BETWEEN THE CITY OF FORT WORTH,TEXAS, AND CITY OF SOUTHLAKE ,TEXAS SECTION 7.1.3 Stand-by Charge Example Calculation 1) Stand-by Charge Calculation Inputs: • 10 inch meter=210 EMs • 1 EM=20 Gal per Minute X 60 Minutes per Hour X 24 Hours per Day or 28,800 Gallons per Day • Does not include Cost of Raw Water 3-Year Average Treatment,Pumping and Transmission Charge($/1,000 Gals)Calculation: FY05 FY06 FY07 $0.5398 $0.6829 $0.6291 Three Year Average $D.6173 2) Stand-by Charge Calculation: Monthly Standby Charge = 28,800 Gallons per Day X 210 EM X $0.6173 per 1,000 Gallons or$3,733 per Month. Annual Standby Charge= 12 Months X $3,733 per Month or$44,801. STANDBY CHARGE ASSUMPTION AND DEFINITIONS: The Minimum Standby Charge is based on the maximum amount of water a connection could draw in a 24-hour period. The calculation assumes that any usage would be temporary and of an emergency basis. The calculation is also based on the number and size of each connection. The Transmission Charge is the 3-year average for that charge as calculated in the most recent independent cost-of-service study. Reserved Capacity is defined as the maximum amount of water a connection could draw in a 24-hour period. "Equivalent Meters"or"EM" is a means of relating a large-use customer with a base (residential)use customer. Fort Worth uses 5/8 x 3/4 inch meter capacity as an EM. The ratio of larger meter's capacity to the 5/8 x 3/4 inch meter capacity is the number of EMs for each meter. The ratios can be found in the AWWA Standard C700-02. 1 EM delivers 20 Gallons per Minute. 1 EM delivers 28,800 Gallons per Day (20 GPM * 60 Minutes/Hour* 24 Hours/Day). Maximum Reserved Emergency Usage equals EM * 28.800 EXHIBIT C SECTION 7.4 Total Annual, Monthly and Rate of Use Example Calculations The calculations shown below assume a customer drawing water from one metering station. The volumes, peaks,rates and charges in this Exhibit C are for demonstration purposes only and are not based on adopted rates or on actual usage for the Customer. The annual Volume Rate is charged as a rate per 1,000 gallons. The Annual Payment also includes the monthly service charge. Volume Rate of Month Gallons Rate Volume Service Use Total $/1,000 Charges Charges Charges* • Gallons Oct 1,000,000 $1.43 $1,430 $25 $2,209 $3,664 Nov 1,000,000 $1.43 $1,430 $25 $2,209 $3,664 Dec 1,000,000 $1.43 $1,430 $25 $2,209 $3,664 Jan 1,000,000 $1.43 $1,430 $25 $2,209 $3,664 Feb 1,000,000 $1.43 $1,430 $25 $2,209 $3,664 Mar 2,000,000 $1.43 $2,860 $25 $2,209 $5,094 Apr 3,000,000 $1.43 $4,290 $25 $2,209 $6,524 May 3,000,000 $1.43 $4,290 $25 $2,209 $6,524 Jun 3,000,000 $1.43 $4,290 $25 $2,209 $6,524 Jul 3,000,000 $1.43 $4,290 $25 $2,209 $6,524 Aug 4,000,000 $1.43 $5,720 $25 $2,209 $7,954 23,000,000 $32,890 $275 $24,299 $57,464 Sep 3,000,000 $1.43 $4,290 $25 $7,021 $11,336 26,000,000 $37,180 $300 $31,320 $68,800 * Example calculation for Rate of Use Charges is on Page 2 of 4. 1 of EXHIBIT C SECTION 7.4 Total Annual Payment Example Calculation(con't) Example Calculation for monthly Rate of Use Charges Gallons Average Daily Use for the prior year 60,000 Maximum Day Demand for the prior year 175,000 Maximum Hour Demand for the prior year 480,000 (converted to gallons per day) Maximum Day Demand above Average Daily Use(Max Day-Avg Day) 115,000 Maximum Hour Demand above Maximum Day Demand(Max Hour- Max Day) 305,000 Monthly Excess Maximum Day and Excess Maximum Hour Payment Calculation: Excess Max MGD Charges/MGD* Total Max Day Above Avg Day 0.115 $135,000 $15,525 Max Hour Above Max Day 0.305 $36,000 $10,980 $26,505 Monthly Rate of Use Charge Payment(Total Divided by 12) $2,209 *The Excess Max Charges/MGD are the Excess Max Day Charge and the Excess Max Hour Charge,each in$/MGD,taken from the current Fiscal Year annual cost-of-service rate study As shown,the monthly Rate of Use Charges are calculated using the prior year's Average Daily Use, Maximum Day Demand and Maximum Hour Demand,times the current Fiscal Year Excess Max Charges/MGD. The final Annual Payment required by Article 7 is calculated using the current Fiscal Year Average Daily Use,and the Maximum Day Demand and Maximum Hour Demand for the current Fiscal Year or for the average of the most recent three(3) Fiscal Years,whichever is greater(as provided in § 7.1 and shown in the following Examples 1 and 2),times the current Fiscal Year Excess Max Charges/MGD. 2 of 4 h EXHIBIT C SECTION 7.4'total Annual Payment Example Calculation(con't) Example 1 —Current year exceeds the average of the most recent three Fiscal Years Gallons Average Daily Use for the year 71,233 Maximum Day Demand for the current year 215,000 Maximum Hour Demand for the current year 545,000 (converted to gallons per day) Maximum Day Demand above Average Daily Use 143,767 Maximum Hour Demand above Maximum Day Demand 330,000 Fiscal Year Average of Most Recent Three Years Current FY FY Average FY 2008 2007 Max Day Above Avg Day (MG) 129,178 143,767 115,000 128,766 Max Hour Above Max Day (MG) 318,333 330,000 305,000 320,000 Annual Payment Calculation Volume Rate Gallons $/1,000 Gallons Total 26,000,000 x $1.43 = $37,180 Service Charge Months $25 x 12 = $300 Max Day Above Excess Max Avg Day(MGD) Charges/MGD 0.144 x $135,000 = $19,440 Max Hour Above Max Day Excess Max (MGD) Charges/MGD 0330 x $36,000--- _ $11,880 Total Annual Payment Due $68,800 Previous Billings for October through August Usage $57,464 October Billing for September Usage $11.336 3 of4 EXHIBIT C SECTION 7.4 Total Annual Payment Example Calculation(con't) Example 2—The average of the most recent three Fiscal Years exceeds Current year. Gallons Average Daily Use for the year 71,233 Maximum Day Demand for the current year 190,000 Maximum Hour Demand for the current year (converted to gallons per day) 500,000 Maximum Day Demand above Average Daily Use 118,767 Maximum Hour Demand above Maximum Day Demand 310,000 Fiscal Year Average of Most Recent Three Years CURRENT FY FY Average FY 2008 2007 Max Day Above Avg Day (MG) 120,844 118,767 115,000 128,766 Max Hour Above Max Day (MG) 311,667 310,000 305,000 320,000 Annual Payment Calculation Volume Rate Gallons $/1,000 Gallons Total 26,000,000 X $1.43 = $37,180 Service Charge Months $25 X 12 = $300 Max Day Above Avg Day Excess Max (MGD) Charges/MGD 0.121 x $135,000 = $16,335 Max Hour Above Max Excess Max Day (MGD) Charges/MGD 0.312 x $36.000 = $11,232 Total Annual Payment Due $65,047 Previous Billings for October through August Usage $57,464 October Billing for September Usage $7,583 4 of 4 EXHIBIT D Calculation of PILOT and Cost of Service Revenue Requirement to Recover the Utility's Cost of PILOT DESCRIPTION A payment in lieu of taxes ("PILOT') assessed against the Water Operating Fund is an annual assessment to offset the ad valorem taxes lost, due to the non-profit status of the Water System. The Water Operating Fund pays the amount of the assessment into the General Fund. PILOT assessed against the Water Operating Fund is calculated by applying the most recently adopted property tax rate per$100 assessed value to the net book value of the applicable assets. These assets are limited to the assets classified as Plant and Property (in the specific NARUC accounts listed on the next page), and do not include Transmission Mains, Connections, Collection Structures and Meters. The PILOT is a component of the Water Operating Fund Cost of Service. The Cost of Service Revenue Requirement that is necessary to recover PILOT is allocated between Retail and Wholesale customer classes according to the volume usage in the most recently completed fiscal year,prorated between the two customer classes. The Wholesale Cost of Service component of PILOT is then allocated amongst the wholesale customers according to each wholesale customer's percentage of the wholesale customer class's volume usage in the most in the most recently completed fiscal year. EXAMPLE The following example further explains the calculation of the City's PILOT, the related revenue requirement, and its recovery through rates. The methodology applied in this example will remain in effect for the life of the Agreement; however, the specific dollar figures, volumes and other numerical values used in the following example will be updated from the sources identified below for each fiscal year that the contract is in effect. 1 10 �fi NET BOOK VALUE CALCULATION FOR PILOT ASSESSMENT PILOT assessed against the Water Operating Fund is calculated by applying the most recently adopted property tax rate per$100 assessed value to the net book value of the applicable assets, calculated as: Historical Cost of Water System Assets at most recent audited year end; LESS Historical Cost of Non-Plant and Non-Property Water System assets defined by NARUC (National Association of Regulatory Utility Commissioners)codes: 316 Raw Water Conduit and Valves 343 Transmission Mains 345 Service Connections 346 Meters 347 Meter Installation 348 Hydrant 372 Structures& Improvements/Collection (If any of these account codes are amended,the equivalent code will be substituted.) LESS Accumulated Depreciation on Plant and Property at most recent audited year end; PLUS Construction Work in Progress on Plant and Property at most recent audited year end; Example calculation: NET BOOK VALUE CALCULATION LESS Historical Cost Total of Non-Plant LESS PLUS Historical and Non- Life-to-Date Construction EQUALS NET Cost of Water Property Accumulated Work In BOOK System Assets Depreciation Progress VALUE $982,385,273 ($655,261,618) ($105,793,316) $26,990,180 $248,320,519 (Dollar figures from most recent Cost of Service Study.) -..wauzr.si�,w..� °� ,oc.s•;..,a..w e.,a:.�nu._.v•s�.x:sa;�e .iu,..,a w-vsa:n�.wn:.eru�rs_•�,r�::�u2�..,:z,° d..,,:c.•.aec- .u., ua-i�.aer �.+e..,.-,. •..5 NET BOOK VALUE ALLOCATION BETWEEN RETAIL AND WHOLESALE The Cost of Service Revenue Requirement necessary to recover PILOT is allocated between Retail and Wholesale customer classes according to the volume usage in the most recently completed fiscal year,prorated between the two customer classes. Example Retail/Wholesale allocation calculation: Volume(MG) Total Annual Volume(MG) 66,917 Wholesale Volume(MG) 21,639 Wholesale Allocation 3234% Retail Allocation 67.66% (Dollar figures and percentages from most recent Cost of Service Study.) Total Net Book Value Base $248,320,519 Wholesale Net Book Value Base $80,299,602 CALCULATION OF WHOLESALE REVENUE REQUIREMENT (PILOT COST OF SERVICE COMPONENT) FY 2010 Tax Rate per$100 Value $0.8550 Total PILOT Cost of Service $2,123,140 Wholesale Allocation 32.34% Wholesale PILOT Cost of Service $686,562 EXHIBIT E SOUTHLAKE EMERGENCY INTERCONNECTIONS WITH OTHER SYSTEMS These are three (3) emergency interconnections with other water systems. It is not Southlake's intention to resell water to either Grapevine or Southlake Park Water Corporation. Southlake Park Water Corporation and the City of Southlake have overlapping CCN's for a small area of the city. The emergency interconnections are metered in both directions and all water exchanged between the two cities is accounted for. Mil CI I Y Of SOUTHLAKE 9 Public Works Administration 1400 Main Street I Suite 320 i Southlake, Texas 76092 1 (p)(817)748-8098 July 28, 2010 Mr. Frank Crumb, P.E. Director, Ft. Worth Water Department City of Fort Worth 1000 Throckmorton Fort Worth, TX 76102-6311 RE: Emergency Water Connections: With City of Grapevine and Southlake Park Services, Inc. Dear Frank: The Cities of Southlake and Grapevine passed an ordinance in 2008 adjusting the city limit boundary transferring approximately 11.35 acres from the City of Southlake to the City of Grapevine. A copy of the ordinance and the exhibit map are included with this correspondence. Among other considerations included in the mutual exchange is the desire by both cities to provide an emergency water connection between the two cities along the new city boundary. The new emergency water connection will be the second such connection between Southlake and Grapevine. A map showing the location of the existing and the proposed emergency connections is also included with this letter. Both the old and the new interconnection are eight inches with parallel meters and check valves allowing water to flow in only one direction through each of the parallel meters. A detail of this configuration is included with this correspondence. In addition, the City of Southlake also has an emergency water connection with Southlake Park Services, Inc., a separate water supply corporation with their own TCEQ certified CCN (12556). As of the date of this letter, a new 4-inch meter is being installed to meter emergency water flows to the Southlake Park Service Water Corporation. An exhibit showing the location of this emergency water connection is attached to this correspondence. This water supply corporation is located entirely within the jurisdictional boundary of the City of Southlake. In accordance with the agreement dated July 16, 1991, between the City of Southlake and Southlake Park Services Inc., Innovation 0 Integrity 0 Accountability 0 Commitment to Excellence 0 Teamwork www.cityofsouthlake.com NO I Mr. Frank Crumb, P.E. July 28, 2010 the City of Southlake is required under Paragraph 8 to provide an emergency water connection in the event of outage. I have attached a copy of that agreement to this document for reference. Section 12 of the Ft. Worth/Southlake Wholesale Water Contract prohibits the resale or transport of water to another entity without the approval of the Water System Advisory Committee and the City of Fort Worth. As with the first interconnection, all three of these emergency connections would be metered and would allow water to move from Southlake to the other entity and vice-versa in the case of Grapevine. It is not the intention of any of the involved entities for these connections to provide the ability for resale of water on a routine basis. The purpose of these interconnections is strictly to provide an altemate water supply in the event of a water system failure in either provider. The purpose of this letter is to provide formal documentation of these emergency connections as part of the renewal of the 2010 Wholesale Water Purchase Contract. By virtue of the inclusion of this document within the 2010 Wholesale Water Purchase Agreement between the Cities of Fort Worth and Southlake, it is deemed that these emergency water connections meet the conditions of the subject agreement and are considered acceptable under provisions of said agreement. Sincerely, Robert H. Price, P.E., FNSPE Director of Public Works Enclosures C: Matt Singleton, Public Works Director, Grapevine John S. Laster, P.E., Deputy Public Works Director, Grapevine Chuck Kendrick, Deputy Public Works Director, Southlake 2010-7-26($LK Emergency Water Connections Notifmtlon).docx Innovation 0 Integrity 0 Accountability 0 Commitment to Excellence 0 Teamwork www.cityofsouthlake.com OFFICIAL RECORD _ CITY OF SOUTHLAKE ORDINANCE NO.950 GRAPEVINE ORDINANCE NO.2008-61 JOINT ORDINANCE AND BOUNDARY AGREEMENT WHEREAS,both the City of Southlake and the City of Grapevine are home rule cities located in Tarrant County,Texas;and WHEREAS, Southlake and the City of Grapevine share a common boundary, and WHEREAS, Section 43.031 of the Texas Local Government Code authorizes adjacent municipalities to make mutually agreeable changes in their boundaries of areas that are less than 1,000 feet in width; and WHEREAS, an area of property north of Highway 114 which contains the Grapevine Plaza shopping center currently is located in the City of Southlake, but is isolated from the rest of the City by Highway 114;and WHEREAS, the geographic isolation of that tract from the rest of the City of Southlake makes it more difficult and expensive for the City of Southlake to provide municipal services to that area;and WHEREAS, the current city limits of the respective cities bisect a building, f resulting in confusion and create the possibility of delay in the providing of emergency services;and WHEREAS,the City of Southlake and the City of Grapevine now desire to enter into an agreement to adjust their corporate bouxdary lines,whereby the City of Southlake will rcicasc from its corporate limits that certain area described herein, and the City of Grapevine will incorporate said land as part of its corporate limits; and WHEREAS, the area subject to this boundary adjustment is less than 1,000 feet in width;and NOW,THEREFORE,BE IT ORDAINED AND MUTUALLY AGREED BY THE CITY COUNCILS OF THE CITY OF GRAPEVINE AND THE CITY OF SOUTHLAXE: SECTION I. AGREEMENT TO ADJUST COMMON BOUNDARY Pursuant to Section 43.031 of the Texas Local Government Code, the City of Grapevine and the City of Southlake hereby agree that the boundary between the cities ( will be adjusted as described herein, and depicted on Exhibit "A", which is attached lid in ill hereto and incorporated herein for all purposes. SECTION 2. RELINQUISHMENT OF TRACT OF LAND BY SOUTHLAKE AND ACCEPTANCE AND INCORPORATION OF LAND BY GRAPEVINE In accordance with the terms of this Joint Ordinance and Boundary Agreement, the City of Southlake hereby relinquishes approximately 18.22 acres described on "Exhibit A"attached hereto and depicted on "Exhibit B" attached hereto, to the City of Grapevine and discontinues such property as a part of the City of Southlake corporate limits,and the City of Grapevine accepts said Tract into its corporate limits. SECTION 3. ADDITIONAL PROVISIONS In addition to the terms and provisions set forth above, the City of Southlake and City of Grapevine agree as follows: 1. Grapevine agrees to purchase the remaining value of the 8-inch water line extending eastward from a point located at the west right-of-way line of Austin Oaks Boulevard located in the Austin Oaks Addition,Grapevine,Texas,an approximate distance of 2,500 L.R. to provide service to the Grapevine Plaza addition. The equity value remaining in the aforementioned lines shall be$28,575.00 as agreed upon by the two cities. 2. Furthermore, it is understood that Grapevine will assume the full cost of connecting the lines described in paragraph 1 to its water system and will assume full ownership and maintenance of these lines for the benefit of its citizens. 3. Grapevine and Southlake will share the cost (50% - 50%) of installing an 8-inch gate valve located at approximately the west right-of way line of Austin Oaks Boulevard to provide each city with emergency access to the other city's water supply should it become necessary under existing protocols. 4. The City of Southlake and City of Grapevine hereby agree to execute an Interlocal Agreement under a separate document for the construction of Kimball Road between Shady Lane and Dove Road. 5. Grapevine agrees to the connection between the two separate (closely aligned but not abutting) roadways known in both cities as Nolen Drive at no cost to the City of Grapevine. Grapevine will attempt to acquire the necessary right-of-way for this connection within its City Limits at no cost. However,any costs that may be incurred for this acquisition shall be reimbursed by Southlake to Grapevine;provided that Southlake shall have the right to approve the purchase price prior to acquisition of the right-of-way. f ORD_ NCI- 2008-61 2 b&824?12� P ��1 6. The City of Southlake and City of Grapevine hereby agree to execute an Interlocal Agreement under a separate document for the City of Grapevine providing sanitary sewer service for the Simmons Service area in the City of Southlake. 7. Grapevine agrees to reimburse Southlake for all property(and sales)taxes for Southlake properties, which have been misappropriated to the City of Grapevine since January 1, 1998. This amount shall be agreed upon by the respective cities' financial officers. The location of the city limit boundary is determined by the attached map, Exhibit B. In addition, a text description is attached as Exhibit A to this document. For clarification purposes,the westbound SH 114 frontage roads shall lie within the city limit boundaries of Grapevine upon execution of this document. 8. The provisions of paragraphs 1 through 7 of this Section 3 create binding obligations, however,Grapevine and Southlake hereby agree that the performance of such obligations is not a condition precedent to the boundary adjustment provided for in Sections 1 and 2 of this Joint Ordinance and Boundary Agreement and that such performance does not affect the validity or enforceability of the boundary adjustment. 9. When either party is required to make a payment under the provisions of this Section 3, that party shall make the payments from current revenues available to such party. SECTION 4. ! PROVISIONS CUMULATIVE i This ordinance shall be cumulative of all provisions of ordinances of the City of Grapevine and the City of Southlake,except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances, in which event the conflicting provisions of such ordinances are hereby repealed. SECTION 5. PROVISIONS SEVERABLE It is hereby declared to be the intention of the City Councils of the City of Grapevine and the City of Southlake that the phrases,clauses, sentences,paragraphs and sections of this ordinance are severable,and if any phrase, clause,sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction,such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted without the incorporation in this ordinance of any such unconstitutional phrase,clause,sentence,paragraph or section. i 4 ORD. NO. 2008-61 3 1�20924?12� p. 3 SECTION 6. AGREEMENT TO PROTECT The City of Grapevine and the City of Southlake do hereby covenant and agree to protect,preserve and defend the herein described boundary adjustment. SECTION 7. NO DIMINISHMENT OF RIGHTS TO CHALLENGE The City of Southlakc and the City of Grapevine agree and ordain that the adoption by both cities of this Joint Ordinance and Boundary Agreement, and the boundary change resulting therefrom, do not mitigate,diminish or lessen in any way the rights that either party may have, at law or in equity, to challenge or contest any other annexations, attempted annexations or extraterritorial jurisdiction claims made by the other party. SECTION S. RIGHTS AND REMEDIES SAVED All rights and remedies of the City of Southlake and the City of Grapevine are expressly saved as to any and all violations of the provisions of the cities' ordinances and codes amended or revised herein,or any other ordinances affecting the matters regulated herein which have accrued at the time of the effective date of this ordinance; and, as to such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such ordinances, same shall not be affected by this ordinance but may be prosecuted until final disposition by the courts. SECTION 9. EFFECTIVE DATE This Joint Ordinance and Boundary Agreement shall become effective and shall become a binding agreement upon the City of Grapevine and the City of Soud lake by the adoption of same in regular open city council meetings of the City of Grapevine and the City of Southlake. SECTION 10. DUPLICATE ORIGINALS This Joint Ordinance and Boundary Agreement, upon adoption by both cities, shall be executed in duplicate originals by the Mayor of each city. i i ORD. NO. 2008-61 4 11 Miss Mill PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SOLE ON THIS " DAY OF i�r=bM ,2008. THE ONORAB ANDY WAMBSGANSS, MAYOR ATTEST: r�r0�� NI J LORI PAYNE,crq SECRETARY N,.. ��+.eau*••'•�• EFFECTIVE DA (2 AP RO AS TO ORM AND LEGALITY: TIM G. SRALLA,C ATTORNEY State of Texas County of Tarrant Before me, Tara A. Brooks, Notary Public on this day personally appeared Andy Wambsganss, Lori Payne and Tim G. Sralla known to me to be the persons whose names are subscribed to the foregoing instrument and acknowledged to me that they executed the same for the purposes and consideration therein expressed. Given under my hand and seal of office this 2nd day of December, 2008. Notary Public my Commission Expires: 10/08/2010 ��DRap ��Afil t f >� ORD. NO. 2008$1 5 ,x 4 s i PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE ON THIS 18th DAY OF November _,2008. THE HONORABLE WILLIAM D.TATE,MAYOR ti ATTEST: LINDA HUFF,C CRETARY EFFECTIVE DATE: November 18, 2008 APPROVED AS TO FORM AND LEGALITY: JOHN F.BOYLE,JR., Y ATTORNEY State of Texas County of Tarrant iiefore me, Anne Baker, Notary Public on this day personally appeared William D. Tate, Linda Huff and John F. Boyle, Jr. known to me to be the persons whose names are subscribed to the foregoing instrument and acknowledged to me that they executed the same for the purposes and consideration therein expressed. Given under my hand and seal of office this 18th day of November, 2008. /4-nm�� of y Public My Commission Expires: 01/1412012 AM MW low, Maury Pdit tlomm�011 ORD. NO. 2Qt)8 -61 6 j)2D92gP121 p.G �/0 E.xlubit A EXI ST A TO D0. 206.0-6/ pop ._ of a` Southlake-Grapevine Boundary Adjustment Southlake Disaanexation Tract f Situated in the County of Tarrant,State of Texas,being a tract of hand out of the Thomas Easter Survey,Abstract No.458,the Thomas Easter Survey,Abstract No.474 and the Ambroser Foster Survey,Abstract No.518,graphically represented by Exhibit`A'herein and being more particularly described as follows: BEGINNING at a point being the most easterly northeast comer of that certain tract of land establishing the initial incorporation of the Town of Soutblake on September 25, 1956(hereinafter the"Incorporation Tract',said point being in the east line of the T. Easter Survey,Abstract No.458,and currently within the ROW of Park Blvd approximately 500 feet north of Northwest Highway; THENCE south along the east line of said T. Easter Survey,continuing to a point being the northeast comer of a tract disannexed by the City of Southlake by Ordinance No. 168 approved on the 21"day of October, 1969 and recorded in V.4815,P. 837,DRTCT and being in the south ROW of Northwest Highway; THENCE continuing along the north and westerly boundaries of said tract,also being the south ROW line of Northwest Highway and the north ROW line of S.11. 114; THENCE continuing in a southeasterly direction along the north ROW of S.H. 114 across the park BoulevardfWaU Street Intersection along a 0.63 acre tract of land also disannexed by the City of Southlake by Ordinance No. 168 approved on the 21"day of October, 1969 and recorded in V.4815,P.837,DRTCT; THENCE continuing,in a southeasterly direction along the north ROW of S.H. 114 to a point for the most easterly southeast corner of the City Limits of Southlake,point also being in the west line of Lot 2,Block 1,of the Baylor Medical Surgery Center Addition, an Addition to the City of Grapevine recorded in Cabinet A,Slide 6734,PRTCT; THENCE westerly along the common city limit line continuing across the west-bound frontage road of S_H_ 114 and across the west-bound off-ramp to a point being a perpendicular distance of 1.0 feet from the most westerly back of curb of said off-ramp; THENCE continuing in a northwesterly direction along and a perpendicular distance of 1.0 feet from the back of the southerly curb of said off amp to a point a perpendicular distance of 1.0 feet from the back of curb of the west-bound frontage road of S.H. 114; THENCE continuing in a northwesterly direction along and a perpendicular distance of 1.0 feet from the back of the most southerly curb of said west-bound frontage road of S.H. 114,crossing Wall Street,crossing Northwest Highway,crossing the Kimball Road off-ramp,and continuing to a point in the west line of the T.Easter Survey,Abstract No. 458; D2(�12q�I2(o p-71 /0 a e6Lftra,�J9`dt.+_1 Exhibit A EXHIBIT...TO D1-ViE�Pa ge THENCE northerly across the west bound frontage road,along the common north-south city limit line between the City of Southlake and the City of Grapevine,and being the west line of said T.Easter Survey to a point being the southwest comer of Lot 1,Block 2, of the Austin Oaks Addition,an Addition to the City of Grapevine recorded in Cabinet A, Slide 408,PRTCT; THENCE easterly along a common east-west city limit line between the City of Southlake and the City of Grapevine and the south line of said Austin Oaks Addition to a point in the south line of Lot 6,Block 1,of the Austin Oaks Addition; THENCE in a southwesterly direction along a common north-south city limit line between the City of Southlake and the City of Grapevine to a point in the north line of the Incorporation Tract; THENCE in an easterly direction along the North line of the Incorporation Tract to the POINT OF BEGINNING. iF41 • •• r k • ! - �� Imo, or tA lz r CITY OF GRAPEVINE MY SECRETARY `* t ► PO BOX 95104 �i4 GRAPEVINE TX 76099 SubmMer: CITY OF GRAPEVINEIPUBLIC WORKS SUZANNE HENDERSON TARRANT COUNTY CLERK TARRANT COUNTY COURTHOUSE 100 WESTNVEATHERFORD FORT WORTH,TX 76196.-0401 DO NOT DESTROY WARNING THIS IS.PART OFTTHE OFFICIAL RECORD. F lion: 0811 02:1 PM InstnrnsrR :9 126 10 PGS $48.00 By: I�I�IINIIIN�II�II�I ��IN� D209248126 ANY PROVISION WHICH RESTRICTS THE SALE, RENTAL OR USE OF THE DESCRIBED REAL PROPERTY BECAUSE OF COLOR OR RACE IS INVALID AND UNENFORCEABLE UNDER FEDERAL LAW. Printed by: DS z' w r f n t� b 1r2�r � Z M "Meters $rr (Grapevine Line) L ... ji 4 n d G •�••� FM 1709 i :y DISCLAIMER 9 This data has been compiled for the Le end ty of SouthlaKe Vanous official and unofiaal sources were used to gather this nlormatiw Every effort Z Valves was made to e'sure me accuracy o 0 20 40 80 N th s data however no guarantee is Feet given or implied as to the accuracy of said data -Es V e ° mac r »: hs6 ' Y. w =z' . M ��$ (Grapevin Line) 8rr Z M r {. FM 1709 5 DISCLAIMER T1,1 data has been compiled for ihf Legend �ny of Southlake Vanous offical and unofRcel sources were used to gatherthis nformation Every effor was made to ensure the accuracy c Z Valves 0 30 60 20 N this data however no guarantee is Feet given or imolled as to the accuracy of said data OFFICI � a CORD UTILITY CERTIFICATION AND SERVICE AGREEMENT STATE OF TEXAS § § COUNTY OF TARRANT § This Agreement is made and entered into by and between Southlake Park Services, Inc. , a corporation organized pursuant to and existing under the laws of the State of Texas (hereinafter referred to as "Corporation") and the City of Southlake, Texas, a homerule municipal corporation, operating pursuant to the laws of the State of Texas and located in Tarrant County, Texas (hereinafter referred to as "City") . WHEREAS, the City of Southlake is a general purpose unit of government existing pursuant to the laws of the State of Texas and located principally in Tarrant County, Texas; and WHEREAS, in performing its responsibilities and providing services as a general purpose unit of government the City of Southlake provides public water and waste water utility service to certain areas lying within its corporate boundaries; and WHEREAS, the City of Southlake currently has a Certificate of Convenience and Necessity issued by the Texas Water Commission under which it is authorized to provide water utility service to areas lying within its corporate limits; and WHEREAS, Southlake Park Services, Inc. , is a corporation existing pursuant to the laws of the State of Texas whose purpose is to provide water utility services to a specific geographic area which lies within the boundaries of the City of Southlake; and WHEREAS, Southlake Park Services, Inc. has provided public water service to this same identified area for approximately I VON 11 51 11 NMI �i - 1 - thirty-three (33) years; and WHEREAS, Southlake Park Services, Inc_ , has provided water utility service within this area pursuant to rights it acquired as an existing water utility service provider under various provisions of the Texas Water Code and the administrative rules and regulations relating to the enforcement of such code which provide that Southlake Park Services has been entitled under the laws of the State of Texas to deliver water service to this area without the issuance of a Certificate of Convenience and Necessity during its past operations; and WHEREAS, Southlake Park Services, Inc. , has recently been advised by the Texas Water Commission that it should request a Certificate of Convenience and Necessity to comply with certain changes in the administrative regulations relating to water commission operations; and WHEREAS, the City of Southlake and Southlake Park Services, Inc. , jointly agree that the application for and issuance of the Certificate of Convenience and Necessity to Southlake Park Services is nothing more than a ratification of its existing status as a legitimate utility service provider within the geographic area that it now serves; and WHEREAS, during the period that Southlake Park Services, Inc. has been providing public water service to this area, it has operated in full compliance with the rules and regulations of the Texas Water Commission and the Texas Department of Health and has consistently demonstrated its capability to provide adequate supplies of safe potable water to the area which it serves; and 2 - Mill! WHEREAS, Southlake Park Services, Inc. has no desire to extend its service area or alter the character of service that it presently provides to its current service area; and WHEREAS, Southlake Park Services, Inc. , pursuant to amendments in the Texas Water Code, effective September 1, 1990, has sought the issuance of a Certificate of Convenience and Necessity certifying it to provide water utility service to the same area for which it has been providing service for the last thirty-three (33) years; and WHEREAS, Southlake Park Services, Inc. , has demonstrated to the Water Commission and the City Council of the City of Southlake that it has the desire and capability to continue to provide adequate, high quality service to this area into the future; and WHEREAS, the City of Southlake has no desire to expend funds to duplicate lines and service now provided by Southlake Park Services, Inc. for this same geographic area; NOW, THEREFORE, the Corporation and the City for the mutual consideration herein stated agree as follows: 1. The effective date of this Agreement will be 1991. 2. The Corporation hereby agrees to continue to provide water service to the area for which it is now providing service and to ensure that the water service provided continues to be of adequate supply and quality to meet the public health needs of its identified service area as defined by the Texas Water Code. 3. The Corporation agrees that in the event it should ever decide to discontinue service to the area in question or to reduce - 3 - Jill J­11 is 1 service to the area in question it will advise the City at least ninety (90) days in advance of such termination or reduction of service in order to permit the City to undertake arrangements necessary to extend service into the area. This provision is not intended to apply to an emergency based service reduction due to unanticipated damage, breakage or other interruption of service which is clearly temporary in nature and provided for under the terms of the Texas Water Code, including but not limited to reduction in services to customers for non-payment of services for water delivered. 4. The City hereby agrees to support the application for a Certificate of Convenience and Necessity to provide public water service now pending before the Texas Water Commission in the name of Southlake Park Services, Inc. The support of this application shall be for the area now served by Southlake Park Services, Inc. and shall not include any expansions of the current service area. 5. The City will continue to possess a Certificate of Convenience and Necessity to service all areas within its corporate limits. The City will retain certificated status to ensure its ability to provide service without the need for further administrative action by the City in the event that Southlake Park Services, Inc. should choose to discontinue service to the area in question. 6. The City agrees that it will not seek to disrupt water utility service provided by the Corporation or attempt to erode the Corporation's service base. The City will not seek to acquire water utility customers within the Corporation service area. It 4 - is the agreement and intent of the parties that Southlake Park Services continue to provide water utility service in this area on a continuing basis without the City being required or expected to lay duplicate lines and service facilities within that area. 7. The City and the Corporation have agreed to continue to operate under the Texas Water Code with dual certification of the area to be served by the corporation under this agreement. If either party decides to seek decertification of the other service area, or if the City decides to provide service to the Corporation's service area, the City and the Corporation agree to attempt to negotiate, in good faith, a mutually satisfactory agreement. Such negotiations will be conducted for a period of not less than 120 days. Only upon failure to reach a mutual agreement may the parties file formal motions with the Texas Water Commission to determine the appropriate service provider for the service area in question. The City will never seek to terminate, reduce or interfere with water utility service provided by the Corporation save and except through proper hearing before the Texas Water Commission subsequent to participating in the negotiations set out above. The parties to this Agreement recognize that the corporation has expended and will continue to expend significant sums of money in developing and upgrading the water utility service infrastructure now providing service to the Southlake Parks Subdivision. It is the intent of the parties to allow the Corporation to continue to be the sole water service provider for its current service area for a sufficient period of time to allow 5 - the Corporation to recover and amortize the cost of its infrastructure investment. The parties have agreed that if the City of Southlake should seek to involuntarily decertify the Corporation as a water service provider for this area within twenty-five (25) years from the date of this Agreement, the City of Southlake will purchase the entire water utility system owned and operated by the Corporation at fair market value at the time that decertification occurs. The City will pay the fair market value of the complete system whether or not it utilizes all or any portion of the system. It has been agreed by the parties that the fair market value of the water utility system will be determined by a panel of three arbitrators. The City will select one arbitrator, the Corporation will select a second arbitrator and the two arbitrators will select the third member of the arbitration panel. The arbitration panel shall be free to undertake an investigation and to conduct such hearings as they deem appropriate to establish a fair market value at the actual time that decertification occurs. In the event that the City should seek decertification of the Corporation with the consent of the Corporation or under a directive from the federal or state government, it shall compensate the Corporation for the taking in accord with the provisions of state and/or federal law or as may otherwise be agreed. 8. The City agrees to provide a connection point from the City's water system to some portion of the Corporation system to allow emergency flows to be diverted to the Corporation's service area in the event of unanticipated disruption of the service 6 - i I provided by the Corporation or to meet emergency fire flow requirements. The point of connection will be at the location identified on the map attached as Exhibit "A" and incorporated herein for all purposes. The City of Southlake agrees to pay the entire cost of extending a six inch line to the point of connection with the Southlake Park Services system. The City will pay for and install the appropriate valves and meter necessary to complete the connection and to allow the metering of water delivered through the city's system into the Corporation's system. 9. All water delivered from the City's system to the Corporation's system will be required to pass through the master meter located at the point of connection of the City system to the Corporation system. The Corporation will be billed for water consumed or used for routine domestic purposes at the lowest rate available to residential and commercial water customers within the City. The Corporation will not be billed a monthly service charge for the mere existence of the connection, but shall only be required to pay for water delivered through the meter at the lowest rate available. The Corporation will not be required to pay for water delivered through the system for fire suppression purposes in the event of a fire emergency. The City of Southlake agrees to use its best efforts to identify clearly and accurately the amount of water that is used in any fire suppression emergency so that it may be deducted from meter usage at the end of any routine billing period. The City agrees that it will bill the Corporation on a monthly basis for water used as reflected by the master meter. The billing statement will be directed to the address of 7 - MINI Southlake Park Services, Inc. In the event that Southlake Park Services, Inc. should have any questions concerning the appropriateness of any item invoiced for payment, it will advise the City Manager of the City of Southlake of the nature of the disagreement within a reasonable period of time so efforts may be undertaken to identify the facts surrounding any item in dispute in a timely manner. 10. The City of Southlake hereby agrees that the Corporation may install its water lines within the public rights-of-way and easements that lie within the Southlake Parks Subdivision to the City of Southlake. The City agrees to facilitate the use of these rights-of-way and will use its best efforts to ensure there are no delays in permitting, inspection, staking or any other support activities necessary to allow the corporation to make timely use of these easements. The City hereby waives any requirement for the payment of franchise or any other fees for the use of these easements by the Corporation. The City agrees that it will not charge the Corporation any permit, inspection, or other fees for water utility work done within the boundaries of the Southlake Park Service area by the Corporation. The Corporation agrees that it will coordinate with the City for the use of the City rights-of- way and easement to ensure that a minimum disruption of existing utility and roadway system occurs when water system improvements are made. The Corporation further agrees that it will restore any areas excavated to approximately the condition at which they existed prior to the inception of construction work in installing or maintaining utility systems. The agreement to return to - 8 - approximate original condition extends to easement areas and public roadways and road surfaces. 11. The City and Southlake Park Services agree that the master meter connecting the City water utility system to the Corporation system will be located in a public right-of-way or easement for purpose of reasonable access by all interested parties. The meter will be placed within a vault or box which is to be locked to prevent unauthorized usage. Keys which provide access to the meter and/or valve arrangement that permits City water to flow into the Corporation system will be in the possession of designated officers of the Corporation and of designated City representatives to allow timely activation of the emergency system when its use should be deemed necessary. 12. The Corporation hereby agrees that it will develop a timetable for upgrading its internal system to permit the extension of a six inch (or larger) water line from the point where the City's emergency connection exists to a fire hydrant location now existing within the interior of the Southlake Park Subdivision. The purpose of this improvement is to assure fire flow capability for emergency fire response within the subdivision. The Corporation agrees to connect the existing fire hydrant within the Southlake Park subdivision to the existing Southlake Park Services water delivery system within thirty days following the City's completion of its emergency connection described above. 13. The City agrees that it will have completed the extension of the line and the installation of the appropriate meter and valve establishing connection to the Corporation's existing water utility - 9 - system on or before November 1, 1991. 14. The City designates its City Manager, while the Corporation designates its President or such other representative as it may identify in writing, as the respective representatives of each body authorized to coordinate activities between the two entities and to transmit and receive all correspondence necessary to implement this Agreement. 15. This Agreement and any of its terms and provisions, as well as the rights and duties of the parties hereto, shall be governed by the laws of the State of Texas and the regulations of the Texas Water Commission. In the event that any cause of action is filed by either party arising out of the terms of this Agreement, venue for said lawsuit shall be in Tarrant County, Texas. 16. The parties to this Agreement mutually agree that in the event a breach or default of this Agreement is alleged to occur and one of the parties initiates litigation or administrative hearing to enforce the Agreement or recover damages, the prevailing party shall be entitled to recover reasonable and necessary attorney fees and costs of Court incurred in the litigation or administrative hearing. 17. In the event that any portion of this Agreement shall be contrary to law, it is the intent of the parties hereto that the remaining portion shall be remain valid and in full force and effect to the extent legally permissible. 18. The undersigned officers and/or agents of the parties hereto are the properly authorized officials and have the necessary 10 - authority to execute this agreement on behalf of parties hereto and each party hereto certifies to the other that any other necessary resolutions or orders extending said authority have been duly passed and are now in full force and effect. Executed in duplicate originals this the /l0 day of 1991. CITY OF SOUMLAKE By ATTEST: Mayor I ity Secretary SOUTHLAKE PARK SERVICES, INC Pres dent, Board of Directors ATTEST: dLa�_ ev C Corporate Secretary - 11 - -1607 DENTON TARRANT 1 ID i 17 VE � -IS , 16 23 11 T 2C 2C LANE SftT" � \ / Once( (AST 6 2F2 IA r1 SOUK LANE I R 1 4t _ � --�-- 2e 281 - _ -2c Its ZA l 2 A 2 — �►^O eaj COON toe � 3F / + L Li - 216AC 901 Ac i KID p1N 11 L ITS 5 0R 1E 0 5 — - 3 18 7 j 2F ' 1977 AC r7 �._ � SURVEY A85T N! 1207 3 81A 2F6 ' , 1 8 ' ZA1 3E '361 6 25 Ac I 613 AL 6.96 Ac 12c1 �_ ... 1 G CC Cl `• ' l"w s OU T ,c �c1 ,�N pp - E IGI 2873A< IE2 A _ ickR D pA �' 1 S i-Flt� (rHp 0. Al .1 1E —�_ ��EY ABST N! 350 (CR J t -- 1CIDf rclA SUR EY AB T N* 349 1G � I 3.Ty Ac 231 2c 13 Ac. 181 4Ac. IOAC. O3Ae. 4�A, 324 Ac . l- E 1p - ,r, I IA 78 � , CARWXL ' OF 281 i HI � N � �s GH 2Ar 3 __ _ EAST OOVE _ STREETS I 'A' l SCHO( rr, JJ r - boo1`i - 1A3 7 I- 182�d1 1 _L I T . . 16 Ig 19i A I �r� l01 Ell _.>;.. FE.DiNG, BARR= &TAYLOR CsavAN E.ADKM ATTORNEYS SUSAN E.HUTC=W Rovwr M.Au nom 8851 HIGHWAY 80 WEST.SUITE 300 CHRIS S.AYS K B Im I DANIEL R.BALUnT# FORT WORTH,T XAS 76116 W IL O[,S ON N oY ELIzAW H ELAM TELEPHONE(817)560-WO AYN DAvrD Fm Dm FAX(817)560-3953 J. A �� Josvtm+ffi GARRErr J. ALL S AYIJO H E.E.GLEN Gw& JA B P. TAVL R JR DwAYT�D.Hrrr JAla:3 P.WA @al "BOARD AT *BOARD CIl7114ED PELSONAL OUURY TRIAL LAW— TEXAS BO ARD OF LEGAL SPECIALIZATION IEXM BOARD OF LBOAL SPOCIALMATION aM TRIAL SPECIALIST— NATIONAL BOARD OF TMAL ADVOCACY December 16, 1991 D Q DEC IT 1991 D Mr. Curtis Hawk City of Southlake OFFICE OF CITY 667 N. Carroll Avenue MANAGER Southlake, Texas 76092 Re: Final Water Commission Action on Southlake Park Services Certificate of Convenience and Necessity Dear Curtis: I have enclosed for your information and files a copy of the final order of the Texas Water Commission relating to the issuance of a Certificate of Convenience and Necessity for Southlake Parks Services. As you can tell from the enclosed correspondence, the Water Commission did exactly what we anticipated and simply rubber- stamped the agreement which was presented to the Hearing's Examiner, Clay Harris. The order from the Water Commission is relatively brief, but it adopts our settlement agreement by reference and instructs and orders all parties to implement the agreement as rapidly as possible. We are still awaiting the order from Victor Boswell, but to my knowledge no hearing has been set for final resolution of that matter. I have also heard nothing further as to the West Beach permit hearing, but will advise you immediately upon receipt of any correspondence relating to that issue. If I may provide you with any additional information or assistance, please feel free to contact me. Sincerely, 3 Tz� E. 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CL A THE BTATS OF TI NM OOtTN TI-r OF TRAVIS I he-----,, ==rtiiy that this is a toe aed corn* TEXAS WATER CONNSSSIMs water Commudw doeummk dw origin:1 cf which is 6W in the Permmwmt Neeids of the CommisdaiL Given under my hand and the Mal of office on • /� 25&00, Idle0o Gisela A.Vapasr;aAfCIA 7 ■ Nobw a mobaba AN ORDER issuing Certificate of Convenience and Necessity No. 12556 to Southlake Park Services, Inc. ; Docket No. 8930-C On October 23, 1991, the Texas Water Commission (Commission) considered the application of Southlake Park Services, Inc. (Southlake) pursuant to Chapter 13 of the Texas Water Code. The application was presented to the Texas Water Commission by William Clay Harris, Attorney, a Commission Hearings Examiner, who conducted a public hearing concerning the application on April 18 and July 31, 1991, in Austin, Texas, after appropriate notice was given. The following were designated as parties to the proceeding: the applicant, Southlake Park Services, Inc. ; the Executive Direc- tor of the Commission; the Public Interest Counsel of the Commission; and the City of Southlake, protesting the application. After considering the Hearings Examiner' s Memorandum and the evidence and arguments presented, the Texas Water Commission makes the following Findings of Fact and Conclusions of Law: FINDINGS OF FACT 1. Southlake Park Services, Inc. mailed notice of an application for a water certificate of convenience and necessity (CCN) to customers and other affected parties by first class mail on January 12, 1991, in accordance with 31 TAC 5291.107. b. Mailed notice of the hearing on the application for a CCN was provided to all interested persons and potential parties filing complaints regarding the application, and to statutory parties to the proceeding. 7 . A public hearing on the CCN application was held on April 18 and July 31, 1991, in Austin, Texas. At the July 31 hearing session, the parties announced that they had reached an agreement on all issues in controversy. 8. The following terms of the parties' agreement are relevant to the provision of service by Southlake Park Services, Inc. and the City of Southlake to the requested area under CCN Nos. 12556 and 10101, respectively: a. Effective July 16 , 1951, zhe applicant, Southlake Park Services, Inc. , will receive dual certification, under CCN No. 12556, with the City of Southlake (CCN No. 10101) provide service to the areas requested under the current application only. b. The City of Southlake and Southlake Park Services, Inc. , have further agreed among themselves to certain terms and conditions, as set forth in their agreement of record, marked as Exhibit No. 5 in the record. C. The City of Southlake' s current service area under CCN No. 10101 will not be decertified. 9 . The agreed terms of service are applicable to all water service rendered on or after July 16, 1991. 3 3 . The Chief Clerk of the Texas Water Commission shall forward a copy of this Order to all parties. 4 . If any provision, sentence, clause, or phrase of this Order is for any reason held to be invalid, the invalidity of any portion shall not affect the validity of the remaining portions of the Order. Issue Date: OCT 3 1 19Bf TEXAS WATER COMMISSION Joh Hall, Chairihan ATTEST: Gloria A. Vasquez, Cj ief Glerk :a 5 TEXAS WATER COMMISSION CERTIFICATE OF CONVENIENCE AND NECESSITY To Provide Water Service Under V.T.C.A. , Water Code and Texas Water Commission Substantive Rules Certificate No. 12556 I. Certificate Holder: Name: Southlake Park Services Inc. Address: 3400 Southlake Park Road Southlake, Texas 76092 II. General Description and Location of Service Area: The area covered by this certificate is located approximately 17 miles northeast of downtown Fort Worth generally bounded on the north by Lake Grapevine, on the south by Woodland Drive and Briar Lane, on the east by the Corps of Engineers Grapevine Lake Property and on the west by Hilltop Road, in Denton County and Tarrant County. III. Certificate Maps: The certificate holder is authorized to provide water service in the area identified on the Commission's official water service area maps, WRS-61 and WRS-220, maintained in the offices of the Texas Water Commission, 1700 North Congress, Austin, Texas with all attendant privileges and obligations. This certificate is issued under Application No. 8930-C and subject to the rules and orders of the Commission, the laws of the State of Texas, conditions contained herein and may be revoked for violations thereof. The certificate is valid until amended or revoked by the Commission. Issued Date: ATTEST: For the Commission t K� 3 171 at Water Line f r� 4" Billing ills Southlake Park Addition (F r Em rgency Omly�) z ,r a i �4 114 Dove Rd to } DISCLAIMER Legend This data has been oomi for the Crty of Southlake Vanous official and unoffioal sources were used to z Valves gather this info m accuracy of Every effort 0 20 40 80 was made to ensure the a of this data however.no guarantee is Feet N given or implied as to the accuracy of said data ..4 M&C Review Page Official site of the city of Fort worth,Tex CIW COUNCIL AGENDA FORTWORTt COUNCIL ACTION: Approved on 10/12/2010 DATE: 10/12/2010 REFERENCE 60WHOLESALE WATER NO.: C-24541 LOG NAME: CODE: C TYPE: NOW PUBLIC AGREEMENT CONSENT HEARING: NO SUBJECT: Authorize the Execution of a Standard Wholesale Water Agreement with Various Municipalities/Authorized Entities RECOMMENDATION: It is recommended that the City Council authorize the City Manager to execute a Standard Wholesale Water Agreement with various municipalities/authorized entities to sell them treated water. DISC The Fort Worth Water Department has agreements with 29 municipalities/entities to sell them treated water. Those agreements expire on December 31, 2010. The department selected R W Beck and a team of local experts and legal counsel to review the current contract, to update it as needed, to assess needs and opinions of the wholesale customers and to assist in negotiations and approvals of a new agreement. During the study, staff briefed the Infrastructure and Transportation Committee on the process in December 2009 and June 2010. While the new agreement remains mostly the same as the expiring one, the following significant changes are included in the new agreement: " Revises the Standby Charge for"emergency-only" customers to more accurately capture the cost of reserving capacity " Enhances water system operation and emergency g y preparedness requirements Clarifies Fort Worth's Ownership of Return Flows " Raises Street Rental from four percent to five percent to match Fort Worth Retail customer charge Adds a Payment in Lieu of Taxes (PILOT) cost component to System Charge The new agreement begins on January 1, 2011 and expires on September 30, 2031. The following municipalities/entities have approved the new agreement: Aled° pHaslet ie Bethesda Water Supply Oaks PP Y Corp.rp. Burleson Crowley Hurst Sansom Dalworthington Gardens Park" Keller Dallas-Fort Worth Airport Kennedale Trophy Club MUD http://apps.c fwnet.org/council_packet/mc_revi ew.asp?I D=13 968&c ounc i Idate=l 0/12/2010 10/22/2010 j M&C Review Page 2 of No. 1 Ed ecli7Village g Lake Worth Westlake Everma Northlake Westover Hills Forest H North Richland Westworth Hills Village Richland Hills White Settlement 'These customers are for emergency standby service. Benbrook Water Authority has determined that it does not need emergency standby services. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that the Water Department is responsible for the collection and deposit of funds due to the City. TO Fund/AccounVCenters FROM Fund/Account/Centers PE45 493122 0601000 $0.0o Submitted for City Manager's Office by: Fernando Costa (6122) Originating Department Head: S. Frank Crumb (8207) Additional Information Contact: Skipper Shook (8402) ATTACHMENTS http://apps.cfwnet.org/council_packet/mc_review.asp?ID=13968&councildate=10/12/2010 10/22/2010 hw n � � i<ra . 1,. tps.n `rs s.,rdr,T ✓2� ..