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Res 1145 1/5/1971RESOLUTION NO. 1145 BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF WICHITA FALLS, TEXAS, THAT: The attached Water Purchase Contract to be executed by the City of Wichita Falls and Bowman Water Supply Corporation is approved and the City Manager is authorized to execute the same for the City of Wichita Falls. PASSED AND APPROVED this the 5th day of January, 1971. Mayor ATTEST: ji--6 2 Z cam/ City Clerk WATER PURCHASE CONTRACT THIS CONTRACT for the sale and purchase of water is entered into as of the day of 19 between the City of Wichita Falls, Texas, hereinafter referred to as the "City", and the Bowman Water Supply Corporation, hereinafter referred to as the Corporation". W I T N E S S E T H : WHEREAS, the Bowman Water Supply Corporation is a corporation organized and established under the provisions of the law of the State of Texas. The Corporation is organized for the construction and operation of a water supply distribution system serving water users within the area described in plans now on file in the office of the Corporation and to accomplish this purpose, the Corporation will require a supply of treated water; and, WHEREAS, the City owns several water reservoirs with capacities capable of serving the present customers of the City system and the estimated number of water users to be served by the said Corporation as shown in the plans of the system now on file in the office of the Corporation; and, WHEREAS, by Resolution No. enacted on the day of 19 by the City, (Copy of Exhibit A" attached hereto), which authorized the City of Wichita Falls to sell treated water to the Bowman Water Supply Corporation; and, WHEREAS, the Corporation will operate a water system, and serve the water users within the area described in the plans now on file in. the office of the Director of Utilities and the Corporation; and, 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 shall deliver '.liter ("WATER") to delivery point ("DELIVERY POINT") for sale to Corpor: lion in sufficient quantities to meet Corporation's needs and Corporation shall be permitted to take same for resale to consumers, subject only to the terms and provisions of this Contract. Section 1. 1: Water delivered shall be of the same quality the City furnishes to residents of City and at a pressure the City attempts to maintain in the operation of its transmission and distribution facilities and at the points of delivery to its own users. Emergency failures shall excuse the City from this provision for a reasonable period of time to restore service. Section 1.2: Delivery point shall be located on a 12 inch main on Lake Road near Texas State Hospital or at another satisfactory delivery point with approval of the City. Section 1 .3: Corporation shall have the responsibility to transport the Water from the Delivery Point to its consumers, including imparting additional pressure to adequately serve Corporation's consumers. Corporation shall provide at its own expense necessary transmission and storage from and at the Delivery Point to prevent abnormal demands by the Corporation, which demands would reduce the residual static pressure below 20 PSI in the City's mains at the Delivery Point. If a mechanical facility is required to abate the abnormal demands of the Corporation, Corporation will install a pressure regulating valve and will not allow the residual pressure to be lowered to less than 20 PS1 without permission of City. Section 1.4: Corporation shall furnish, install, operate and maintain at its own expense at the Delivery Point, the necessary metering equipment, including a meter house or pit, and required devices of standard type for properly measuring and recording the quantity of Water taken by the Corporation. Type and location of meter shall be agreed to by City and Corporation prior to delivery of Water. The Corporation shall calibrate such metering equipment whenever requested by the City, but not mor-: frequently than once every twelve (12) months. A meter registering not more than two per cent (2%) above or below the test result of the rated capacity of the meter shall be deemed to be accurate. The previous readings 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 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 pumped in the corres- ponding period immediately prior to the failure, based on existing records unless City and Corporation shall agree upon a different amount. Section 1.5: All services on Corporation's system shall be separately metered. Section 1. 6: Thirty (30) ,days prior to the estimated date of completion of construction of Corporation's water supply distribution system, Corporation will notify City in writing the date for the initial delivery of water. Section 1. 7: When requested by Corporation after the metering equipment has been installed, City will make available to the contractor at the point of delivery, water sufficient for testing, flushing and trench filling the system of Corporation during construction, for which water Corporation will pay City at the rate set out hereafter; however, the minimum rate will not apply to this water used for testing the system. Section 1.8: Maximum amount of water to be furnished by City to Corporation shall be adequate to serve as many as 200 families per day in accordance with Section 1.3 of this Contract unless a greater amount is approved by City. Section 2.0: The cost of water purchased by Corporation shall be based in accordance with the following schedule of rates: The first 66,800 C.P. at 35 cents per 100 C.P . All water over 66,800 C.P. shall be paid for at 30 cents per 100 C.P . Minimum rate will be $200.00 per. month. The rates are subject to modification at the end of every five 5) year period. Any increase or decrease in the rates shall be based on a demonstrable increase or decrease in the cost of performance of the Contract. 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 Corporation 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 the itemized statement for any month not later than the 15th day of the succeeding month. 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 the Corporation. Unless water is taken within two (2) 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 the City extends its city limits to include any consumer of Water from Corporation, the Corporation will continue to provide water to such consumer until the City is able to extend its own water dis- tribution systems to provide such consumer with water. Section 5.0: Corporation shall permit the Water to be used only for normal residential and commercial purposes. Unless written permission is obtained from City, water shall not be used for extensive agricultural irrigation, or by any processing or manufacturing concern which uses such water in substantial quantities or for other municipalities and/or residential and/or commercial subdivisions . Such permission will not be given to serve a subdivision unless the subdivision complies with the Subdivision Regulations,i Regulations, Code, Electrical Code, Plumbing Code and any other ordinances or regulations which applies in the City of Wichita Falls. The Corporation shall not sell any water to any private party for resale by such private parties to third parties. Corporation shall be allowed to make single connections to the Corporation system with notification to the City of such action, provided the maximum daily allowable as set out in the Contract is not exceeded. 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 citizen 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. Where a direct physical connection exists between the Water Supply Distribution Systems of the City and Corporation, Corporation shall operate and maintain its portion of the Water Supply Distribution system in accordance with the standards of the Texas Department of Health and in compliance with Article 4477-1 Vernon's Annotated Civil Statutes and in compliance with those provisions of Section 12 of the Plumbing Code of the City of Wichita Falls entitled Water Supply and Distribution, which are in effect as of the date of this Contract. Section 6. 1: City shall have the authority and responsibility of inspection to determine that no cross connections or condition of back- flow or back-siphonage exist on that portion of the system receiving water Linder pressure from the Wichita Falls water mains. The City shall have the authority to disconnect the Water until correction within the system is made. The City shall also have the right to suspend delivery of water in the vent the Corporation fails to construct, maintain and operate the portion of the Water Distribution System in substantial compliance with such standards referred to hereinabove. Provided, however, unless substantial non-compliance constitutes a safety and/or health hazard, the City shall not suspend the delivery of water without first notifying the Corporation in writing of such non-compliance and affording the Corporation a reasonable opportunity to correct such non-compliance. Provided, further, in no event shall the City suspend delivery of water to any portion of the Corporation's system not necessary in isolating the location of such non-compliance. Section 6.2: City's Director of Utilities shall have the authority and responsibility to approve the plans and specifications of the Corporation's original system and any and all extensions for compliance with approved City standards, and stipulations in this contract. Before any extension other than single meter connections are made to the system, written permission shall be obtained from the City. Section 7.0: Any amendment to this Contract shall be in writing and executed by both City and Corporation. Section 8.0: In the event of any occurrence rendering the Corporation incapable of performing under this Contract, any successor of the Corporation, whether the result of legal process, assignment, or other- wise, shall succeed to the rights of the Corporation hereunder. 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