Res 1517 3/9/1974r
RESOLUTION NO. &-,27
RESOLUTION APPROVING WATER PURCHASE CONTRACT
WITH WICHITA VALLEY WATER SUPPLY CORPORATION.
BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF
WICHITA FALLS, THAT;
That certain water purchase contract, a copy of which
is attached hereto, between the City of Wichita Falls and
Wichita Valley Water Supply Corporation, whereby the City
will sell raw water from Lake Kickapoo to the Wichita Valley
Water Supply Corporation, is hereby approved, and the City
Manager is authorized to execute the same for the City of
Wichita Falls.
PASSED AND APPROVED THIS THE 19TH DAY OF MARCH, 1974.
M A Y O R
ATTEST:
CITY CLERK /
WATER PURCHASE CONTRACT
THIS CONTRACT for the sale and purchase of water is entered into
as of the day of 1974, between the City of Wichita
Falls, Texas, hereinafter referred to as the "City", and Wichita Valley Water
Supply Corporation, hereinafter referred to as "Corporation".
WITNESSETH:
WHEREAS, Corporation is organized and established under provisions
of the laws of the State of Texas. One of the duties of Corporation is the con-
struction and operation of a water supply and distribution system serving water
useres within the area described in plans now on file in the office of Corporation
and to accomplish this purpose, Corporation will require a supply of raw water;
and,
WHEREAS, the City owns Lake Kickapoo, a water reservoir with ca-
pacity capable of serving the present customers of the City system and the .
estimated number of water users to be served by Corporation as shown on plans
of the system now on file in the office of Corporation; and,
WHEREAS, by Resolution No. 1517 enacted on the 19th
day of March 1974, by City, (Attached hereto as Exhibit "A"),
which authorized the City to sell raw water to Corporation; and,
WHEREAS, the Corporation will operate a water supply and distribution
system, and serve the area of Lake Kickapoo, the town of Mankins and the Town
of Dundee, and the present service area of the Corporation lying south of 287 Ex-
pressway, except for a small area north of the Expressway and east of F.M. 1814,
and east, south and west of Iowa Park, all in Texas; and,
WHEREAS, by resolution of the Board of Directors of Corporation (Attached
hereto as Exhibit "B"), enacted on the day of
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1974, such Board of Directors authorized purchase of raw water by the Corporation
from the City in accordance with the terms set forth in the said resolution and
further authorized execution of this contract.
NOW THEREFORE, KNOW ALL MEN BY THESE PRESENTS, THAT for
value received, the City and Corporation mutually agree to the following,, to-wit:
Section 1. 0: City will allow water (RAW WATER) to be diverted from
Lake Kickapoo at the diversion point shown on the plans and approved by the City,
in sufficient quantities to Meet Corporation's needs for resale to consumers,
subject only to terms and provisions of this contract.
Section 1. 1: Diversion point shall be at the water line and at an intake
structure at Lake Kickapoo, Texas, at a location mutually acceptable to the City
and Corporation.
Section 1. 2: Maximum amount of water to be diverted by Corporation
from Lake Kickapoo shall not exceed one million (1,000, 000) gallons per day un-
less a greater amount is approved in writing by the City.
Section 1.3: Corporation shall furnish, install, operate and maintain
at its own expense at the diversion point or treatment plant, the necessary meter-
ing equipment, including a meter house or pit, and required devices of standard
type for properly measuring and recording the quantity of water diverted from
Lake Kickapoo. Type and location of meter shall be agreed to by City and Corp-
oration prior to diversion of water. Corporation shall calibrate such metering
equipment whenever requested by City but not more frequently than once every
twelve (12) months. A meter registering not more than two percent (2%) above
or below the test result of the rated capacity of the meter shall be deemed ac-
curate. The previous reading of any meter disclosed by test to be inaccurate
shall be corrected for the twelve (12) months previous to such test in accordance
with the percentage of inaccuracy found by such tests and existing records. If
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any meter fails to register for any period, the amount of water furnished during
such period shall be deemed to be the amount of water diverted in the corres-
ponding period immediately prior to the failure, based on existing records
unless City and Corporation shall agree on a different amount.
Section 1.4: Thirty days prior to estimated date of completion of con-
struction of Corporation Water Supply and Distribution System, Corporation will
notify City in writing the date of initial diversion of water.
Section 1.5: When requested by Corporation after metering equipment
has been installed, the City will agree to diversion of sufficient water for test-
ing, flushing, and trench filling the system during construction for which Cor-
poration will pay City at the rate set out of seven and one half cents ($0. 075)
per one thousand (1000) gallons. However, minimum rate will not apply to this
water used for testing the system.
Section 1.6: Location and Easements - The location of the proposed
pump station, intake structure and treatment plant shall be approved by the City,
and the pump station and plant site acquired or obtained by long term lease at
an agreed upon price from the City before detailed plans and specifications are
made. Easements for the pipe lines shall be acquired from the City before any
pipe lines are constructed.
Section 1. 7: Treatment Process Approval - Treatment process, treat-
ment facilities and pipe lines must be approved by Texas State Health Department
before any construction.
Section 1. 8: Plans and Specifications Approval - Plans and Specifications
shall be approved by the City before advertising for construction of any facilities.
Section 2. 0: The cost of water purchased by Corporation shall be based
on the following schedule:
0. 075 per 1000 gallons
MINIMUM MONTHLY BILL $250. 00
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This water rate is subject to modification every five (5) years on the basis of
demonstrated increase or decrease in the cost to provide raw water.
Section 2.1: The City will read the Corporation meter on the first day
of each month during the term of this Contract. Corporation and City shall have
free access to read meters daily if they so desire. The City will provide Corp-
oration no later than the 10th day of each month, with an itemized statement of
the amount of water metered to Corporation during the preceding month.
Corporation shall pay to the City the amount of itemized statement for any month
no later than 20th day for the preceeding month's usage.
Section 3. 0: This Contract shall extend for a term of forty (40) years
from the date of the initial metering of any water to Corporation. Unless water
is taken within three (3) years from date hereof, this Contract shall be void. At
the expiration of the term of this Contract, same may be renewed or extended
for such term or terms, as may be agreed upon by the City and Corporation.
City may cancel this Contract at any time during the life of the Contract in the
event Corporation fails to make any payment due hereunder within sixty (60)
days after same becomes due; or, if Corporation breaches any covenant herein
other than payment of the monthly statement, and such breach continues for
sixty (60) days after City gives Corporation written notice thereof.
Section 4. 0: Corporation shall not be required to furnish water to any
resident of City. If City extends its city limits to include any consumer of water
from Corporation, Corporation will continue to provide water to such consumer.
When City is able to extend its own water distribution system which could provide
such consumer with City's water, such consumer shall be allowed the choice of
remaining on Corporation system or tying into City's system. Provided however,
it is understood and agreed the foregoing Section is subject to the restriction of
U.S. C. Section 1926 (b) as amended.
Section 5. 0: Corporation shall permit the water to be used only for
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normal residential, commercial and municipal purposes. Unless written per-
mission is obtained from City, water shall not be used for agricultural irrigation,
cattle feed Tots, or any processing or manufacturing concern which uses such
water in other than normal residential or commercial quantities. Corporation
shall not permit water to be used by other municipalities or for commercial or
residential subdivisions not in existence at the date of executing this Contract.
Corporation shall not sell any water to any private party for resale by such
private parties to third parties. The service area of the Wichita Valley Water
Supply Corporation shall he restricted to the area as indicated in Exhibit "C"
attached and conditioned by the other restrictions in this section. Any extension
of the service area and system must be approved in writing by the City.
Section 5.1: It is distinctly understood between parties hereto that
City owes its primary obligation and duty to the citizens of Wichita Falls; in the
event of an extended shortage of water, or the supply of water available to City
is otherwise diminished over an extended period of time so that it becomes
necessary to ration the water sold to citizens of Wichita Falls, the supply of
water to Corporation's consumers shall be reduced or diminished in the same
ratio or proportion as the supply to the citizens of Wichita Falls is reduced or
diminished.
Section 6. 0: This Contract is subject to such rules, regulations, or
laws, as may be applicable to similar agreements in the State of Texas; the
City and Corporation will collaborate in obtaining such permits, certificates,
or the like, as may be required to comply herewith.
Section 7. 0: Any amendment to this Contract shall be in writing and
executed by both City and Corporation.
Section 8.0: This contract shall not be assignable without the approval
of the City: however, in the event of any occurrence rendering the Corporation
incapable of performing under this Contract, any successor of Corporation,
whether the result of legal process, assignment, or otherwise, shall succeed to
the rights of Corporation hereunder.
S
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Section 8. 1: The construction of the water supply distribution system
by the Purchaser is being financed by a loan made or insured by, and/or a grant
from, the United States of America, acting through the Farmers Home Admin-
istration of the United States Department of Agriculture, and the provisions
hereon pertaining to the undertakings of the Purchaser are conditioned upon the
approval, in writing, of the State Director of the Farmers Home Administration.
IN WITNESS WHEREOF, the parties hereto, acting under authority
of.their respective governing bodies, have caused this Contract to be duly exe-
cuted in three counterparts, each of which shall constitute an original.
ATTEST: CITY OF WICHITA FALLS, TEXAS
BY:
City Clerk CITY MANAGER
ATTEST: WICHITA VALLEY WATER SUPPLY
CORPORATION
BY:•
Secretary PRESIDENT
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