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R97-50 08-25-97 RESOLUTION R97-50 A RESOLUTION INDICATING INTEREST TO AUTHORITY IN PURCHASING WATER. GULF COAST WATER WHEREAS, the Gulf Coast Water Authority (the "Authority"), as a co-owner of the City of Houston's Southeast Treatment Plant (the "Houston Plant"), and the City of Galveston, Texas ("Galveston") have indicated that there may be a portion of the capacity in the Houston Plant in which Galveston has an equitable interest available for sale to other parties within approximately three years; and WHEREAS, Galveston is exploring the feasibility of changing its source of water supply from the Houston Plant to the Authority's water treatment plant located in Texas City (the "Texas City Plant") and in order to determine such feasibility desires to determine the interest of other parties in purchasing Galveston's capacity rights; and WHEREAS, the Authority and Galveston have indicated that the price for such capacity will be at least 81 .1 688/gal.; and WHEREAS, the City of Pearland, Texas desires to acquire approximately four mgd of such water and to enter into negotiations with the Authority to contract for the purchase and/or financing of such capacity if such capacity becomes available for sale; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That the City of Pearland, Texas hereby indicates its interest in purchasing four mgd of capacity in the Houston Plant if the Authority and the City of Galveston agree to sell such water. RESOLUTION NO. R97-50 Section 2. The City Council authorizes the City Manager of the City of Pearland, Texas to enter into negotiations with the Authority to purchase and/or finance the purchase of such capacity. Section 3. That this Resolution shall be in full force and effect from and after its passage and adoption. PASSED, APPROVED, and ADOPTED this the~12.~ay of ~ , 1997. TOM REID MAYOR ATTEST: APP ED AS TO FORM: 2