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R2019-067 2019-02-25RESOLUTION NO. R2019-67 A Resolution of the City Council of the City of Pearland, Texas, authorizing Amendment No. 5 to the Joint Facility Water Contract between the City, Brazoria County Municipal District No. 2, Brazoria County Municipal Utility District No. 3 and Brazoria County Municipal Utility District No. 6. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That certain Amendment No. 5 to the Joint Facility Water Contract between the City, Brazoria County Municipal District No. 2, Brazoria County Municipal Utility District No. 3 and Brazoria County Municipal Utility District No. 6, a copy of which is attached hereto as Exhibit "A" and made a part hereof for all purposes, is hereby authorized and approved. Section 2. That the City Manager or his designee is hereby authorized to execute and the City Secretary to attest said Amendment No. 5 to the Joint Facility Water Contract between the City, Brazoria County Municipal District No. 2, Brazoria County Municipal Utility District No. 3 and Brazoria County Municipal Utility District No. 6. PASSED, APPROVED and ADOPTED this the 251h day of February, A.D., 2019. ATTEST: NG I j MC Y S ETAR APPROVED AS TO FORM: LAWRENCE PROVINS DEPUTY CITY ATTORNEY TOM REID MAYOR y FIFTH AMENDMENT TO RESTATED JOINT WATER FACILITIES CONTRACT BY AND AMONG BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 2 BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO.3 BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 AND THE CITY OF PEARLAND, TEXAS THE STATE OF TEXAS § COUNTY OF BRAZORIA § This Fifth Amendment to Restated Joint Water Facilities Contract (the "Fifth Amendment") is entered into to be effective the I" day of January, 2019, by and among the CITY OF PEARLAND, TEXAS (formerly Brazoria County Municipal Utility District No. 1 ("BCI"); BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 2 ("BC2"), a body politic and governmental agency of the State of Texas; BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 3 (`BC 3"), a body politic and governmental agency of the State of Texas; and BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 ("BC 6"), a body politic and governmental agency of the State of Texas (BCI, BC2, BC3 and BC6 herein collectively referred to as the "Parties"). WITNESSETH Recitals The Parties have previously entered into that certain Restated Joint Water Facilities Contract, dated September 1, 1999, (the "Original Contract'), as amended by that certain First Amendment dated December 3, 2001 (the "First Amendment"), that certain Second Amendment dated August 1, 2004 (the "Second Amendment"), that certain Third Amendment dated May 25, 2006 (the "Third Amendment"), and that certain Fourth Amendment dated March 2, 2017 (the "Fourth Amendment," and together with the Original Contract, First Amendment, Second Amendment and Third Amendment, are collectively referred to herein as the "Contract"). Subsequent to the Third Amendment, the City of Pearland annexed BCI and assumed its rights and obligations under the Contract. Also, subsequent to the Third Amendment, the Water Plant Engineers, Jones & Carter, Inc., submitted a request to the Texas Commission on Environmental Quality ("TCEQ") to obtain an exemption to the TCEQ's elevated storage tank requirements for the public water supply system greater than 2,500 connections. This request sought alternative capacity requirements which were approved. As a result, the then existing Capacity of 7,200 Connections was raised to the current maximum number of connections which is 7,950 Connections. The Parties to the Contract now wish to amend the Contract to initiate new billing procedures as recommended by the bookkeeper for the Water Plants. AGREEMENT NOW THEREFORE, in consideration of the mutual promises, obligations and benefits herein set forth and set forth in the Contract, the Parties contract and agree as follows: ARTICLE I DEFINITIONS Section 1.01. Definitions. Capitalized terms in this Fifth Amendment shall have the definitions set forth in the Contract. ARTICLE II AMENDMENT TO CONTRACT Section 2.01. Revision to Billing and Payment. The last paragraph of Section 5.04 of the Contract is hereby amended in its entirety and replaced with the following: BC2 shall render bills to the Parties, to their designated representatives, each month for such Parties' share of Operation and Maintenance Expenses for Water services provided during the preceding calendar month, together with any amounts billed pursuant to Section 5.08 or Section 6.03 below, and such bills shall be due and payable thirty (30) days after such bill is deposited into the United States mail properly stamped and addressed. The amount of the monthly bill will be a flat fee computed as one twelfth (1;12) of each of the Parties' pro rata share of the prior year's actual Operation and Maintenance Expenses, as reflected in the budget PA for the Water Plants for the prior year. A true up adjustment of all actual costs compared to actual payments by the Parties will be made in August and March of each year, and adjustments will be billed or refunded to the Parties, as appropriate, within thirty (30) days of said true up adjustment. All extraordinary repairs and capital improvement costs will be billed pursuant to Section 5.08 of the Contract. Copies of all invoices and other documentation in support of the Operation and Maintenance Expenses shall be provided to each Party in the applicable monthly bill. Each district shall make payment to the SRF Water established pursuant to this Contract. ARTICLE III MISCELLANEOUS Section 3.01. Tenn. This Fifth Amendment shall continue in force and effect for the same period as the Contract. Section 3.02. Severability. The provisions of this Fifth Amendment are severable, and if any provision or part of this Fifth Amendment or the application thereof to any person or circumstances shall ever be held by any court of competent jurisdiction to be invalid or unconstitutional for any reason, the remainder of this Fifth Amendment and the application of such provision or part of this Fifth Amendment to other persons or circumstances shall not be affected thereby. Section 3.03. Contract in Effect; Fifth Amendment Controls. All terms and provisions of the Contract, except as amended hereby, shall remain in full force and effect. In the event that any provision of this Fifth Amendment conflicts with the Contract, the provisions of this Fifth Amendment shall control. Section 3.04. Merge . The Contract and this Fifth Amendment embody the entire agreement among the Parties relative to the subject matter hereof and thereof. IN WITNESS WHEREOF, the Parties hereto have executed this Fifth Amendment to Restated Joint Water Facilities Contract in multiple counterparts, each of which shall be deemed to be an original, as of the date first above written. (REMAINDER OF PAGE LEFT BLANK INTENTIONALLY) 3 BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 2 By/ Vice President, Board of Directors r THE STATE OF TEXAS § COUNTY OF HARRIS § This instrument was acknowledged before me on this day of be c?+ 1 tom, 2018, by BERNIE SCARRY, Vice President of BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 2, on behalf of said political subdivision. ..� ALEXIS WALKER 124832315 * � NOTARY Pl18liC, STATE OF TEXAS MY COMMISSION EXPIRES °f FEB. 23, 2020 4 NOTARY PUBLIC - Texas BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 3 By: 1� P- t, d of Directors secrei-n THE STATE OF TEXAS § COUNTY OF HARRIS § This instrument was acknowledged before me on this L"f-` day of j) cc t 6-ej , 20l 8, J EF�cFRy MooRE eetrefW —L' - by , P- "Went �f BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 3, on behalf of said political subdivision. Q✓/l✓,,,�lllllllJYlllrlJ�lllrrQ PrP ALEXIS WALKER {Jl? 124632315 STAT n NOTARY PUBiIC, STATE OF TEXAS 7 Of r My COMMISSION EXPIRES FEB. 23, 2020 �lJJll✓JllJll!!!./lJ!lllll.� NOTARY PUBLIC - Texas BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6 By:41i & a: (—,' resident, oard of Directors THE STATE OF TEXAS COUNTY OF farriy This instrument Jwas acknowledged before me on this day of Mar& , 2017, by � S 1OV I HMSOh , President of BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 6, on behalf of said political subdivision. JENNY LYNN JOHNSON Notary Public, state of Texas ra: My Commission Expires '��OQ August 18, 2017 NOTtPJUFTexas `.,...,. on CITY OF PEARLAND By: I" d� Name: 7—v/77 -/ 1 Title: IW4 zO le THE STATE OF TEXAS COUNTY OF BRAZORIA Exhibit "A" This instrument was acknowledged before me on this $ day ofSe-o��' 2019, by 7Gn-7R� 6 (w e� of the CITY OF PEARLAND, on behalf of said political subdivisi NO Y P LIC - Texas �„ CRYSTAL NEROW+''nNotary Public. SxNMy Commissit January 29NOTARY ID 1 7