R2007-190 2007-11-26
RESOLUTION NO. R2007 -190
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS, AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
ENTER INTO A SUPPLEMENT AGREEMENT WITH BRAZORIA COUNTY
MUNICIPAL UTILITY DISTRICT NO.4.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That certain Supplemental Agreement by and between the City of
Pearland and Brazoria County Municipal Utility District No.4, 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 a Supplemental Agreement Brazoria County Municipal
Utility District NO.4.
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ITY S CRET ARY
PASSED, APPROVED and ADOPTED this the 26th day of November, A.D., 2007.
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TOM REID
MAYOR
APPROVED AS TO FORM:
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DARRIN M. COKER
CITY ATTORNEY
Exhibit II A"
Resolution No. R2007 -190
07 -0088
SUPPLEMENT TO:
1. AGREEMENT FOR
a. OWNERSHIP, OPERATION AND MAINTENANCE OF WATER FACILITIES,
b. EMERGENCY WATER SUPPLY PROVISIONS,
c. OWNERSHIP OF REGIONAL WASTEWATER TREATMENT FACILITIES
AND
2. CONTRACT FOR FINANCING, CONSTRUCTION AND OPERATION OF
REGIONAL WASTEWATER TREATMENT FACILITIES
Parties and Effective Date
This Supplement ("Supplement") is entered into as of the "?)Cjr'0 day of
()CW D.e...K , 2007 ("Effective Date"), by and between the CITY OF
PEARLAND ("City"), a home rule municipality, and BRAZORIA COUNTY MUNICIPAL
UTILITY DISTRICT NO. 4 ("District"), a political subdivision of the State of Texas,
organized and operating pursuant to Article XVI, Section 59 of the Texas Constitution and
Chapters 49 and 54 of the Texas Water Code.
Purpose
The District and formerly existing Brazoria County Municipal Utility District No.5
("MUD 5") entered various agreements prior to MUD 5's annexation by the City. The City
has succeeded to the rights and obligations of MUD 5 following annexation of MUD 5 by
the City. The purpose of this Supplement is to reassign and modify certain of the Parties'
rights, obligations and duties under those agreements following dissolution of MUD 5 by
the City.
Recitals
The District and MUD 5 have previously entered into the following agreements
("Previous Agreements") for water production facilities and regional wastewater treatment
facilities:
(1) Restated Agreement for Ownership, Operation, and Maintenance of Water
Facilities and Emergency Water Supply Provisions and for Ownership of
Regional Wastewater Treatment Facilities, dated November 21,1995;
(2) Supplement to Restated Agreement for Ownership, Operation, and
Maintenance of Water Facilities and Emergency Water Supply Provisions and
for Ownership of Regional Wastewater Treatment Facilities, dated January
19, 1998;
(3) Second Supplement to Restated Agreement for Ownership, Operation, and
Maintenance of Water Facilities and Emergency Water Supply Provisions and
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for Ownership of Regional Wastewater Treatment Facilities, dated March 22,
1999; and
(4) Contract for Financing, Construction and Operation of Regional Wastewater
Treatment Facilities ("Original Wastewater Conh'act"), dated May 18, 1983.
MUD 5 was annexed and dissolved by the City on or about December 31, 2005, at
which time the City succeeded to all of MUD 5' s rights and obligations under the Previous
Agreements.
The annexation and dissolution of MUD 5 have necessitated certain
supplementation of the Previous Agreements, which is set forth herein.
Consideration
The City and the District agree that this Supplement is supported by good, valuable
and sufficient consideration and acknowledge their respective receipt of same.
Mfirmation of City's Status
and Nominal Change of Parties
The Parties affirm that, upon MUD 5's annexation and dissolution by the City, the
City succeeded to all of MUD 5's rights and obligations under the Previous Agreements
and is therefore the proper party and signatory to this agreement. When the Previous
Agreements specify "No. 5," the Parties understand that to identify the City.
ARTICLE I
Water
1.01 District to own, operate, maintain and control Water Facilities. 1 The City
hereby conveys and relinquishes to the District all of its right, title and interest in the Water
Facilities, whether in ownership, operation, maintenance or control. From the Effective
Date: (a) the District shall be the sole owner and operator of the Water Facilities, shall own
all capacity in the Water Facilities and shall be responsible for all maintenance of the Water
Facilities; (b) the City shall have no liability for any ownership, operation, maintenance,
repair or replacement costs of the Water Facilities; (c) the City shall have no right to any
water produced by the Water Facilities other than on an emergency basis as set froth herein;
(d) neither the City nor the District shall have any obligation to insure the Water Facilities,
or any part of them; and (e) neither the City nor the District shall have any obligation to
maintain a separate operating account as to the Water Facilities. '
I For purposes of this Agreement, "Water Facilities" shall mean all water wells, water plants and related
appurtenances, no matter when constructed, located within the boundaries of the District.
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1.02 Emergency water supply. The City and the Disb'ict agree to continue to
provide water to each other under emergency conditions as set forth in the Previous
Agreements, except that the price to be paid for water supplied under emergency
conditions shall be the then-current rate for residential water usage within the supplying
Party, unless otherwise agreed in writing by the Parties. This Supplement does not affect
the terms and conditions of any emergency water supply agreement(s) between: (a) MUD 5
or the City and any person other than the District; or (b) the Disb'ict and any person other
than the City or MUD 5.
1.03 Ownership of water wells in MUD 5. The District hereby conveys and
relinquishes to the City all of its right, title and interest, if any, whether in ownership,
operation, maintenance or control, in any water wells witl1in tl1e boundaries of MUD 5.
ARTICLE II
Wastewater
2.01 Elimination of capacity charges, The District shall not be charged any
"capacity charges" as defined in Section 3.03(b) of the Original Wastewater Contract.
2.02 Routine maintenance. So long as the cost of a routine maintenance item (or
series of related items) of the Waste Disposal Facilities (as defined in tl1e Original
Wastewater Contract) does not exceed $5,000.00, tl1e City shall be solely responsible for tl1e
cost of such maintenance. For routine maintenance items (or series of related items)
exceeding $5,000.00, the Parties shall share in the cost on tl1e following pro rata basis:
52.71 % to the City and 47.29% to the Disb"ict. The City shall determine whether an item(s)
constitutes routine maintenance. Except in an emergency, routine maintenance items
exceeding $5,000.00 must be approved in advance by the Parties' respective governing
bodies.
2.03 Revised pro-rations. One purpose of this Supplement is to allocate the
maintenance cost of the Wastewater Disposal Facilities among all parties that benefit
from the facilities. Therefore, if tl1e City expands the Waste Disposal Facilities, the
District's proportionate share of maintenance costs as set forth in Section 2.02 above shall be
reduced accordingly. No additional person or entity, including any person or entity
affiliated with or controlled by the City or the District, shall be allowed to use the
Wastewater Disposal Facilities or cause an expansion of the Wastewater Disposal
Facilities without a reallocation of the parties' proportionate shares executed by all
users.
ARTICLE III
Supplement Controls
3.01 No additional changes. All terms and conditions of tl1e Previous Agreements
that are not specifically addressed by this Supplement remain in full force and effect. In the
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event, however, of any conflict between this Supplement and any provision(s) of the
Previous Agreements, the terms of this Supplement control.
[EXECUTION PAGES FOLLOW]
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SUPPLEMENT TO: 1. AGREEMENT FOR a. OWNERSHIP, OPERATION AND
MAINTENANCE OF WATER FACILITIES, b. EMERGENCY WATER SUPPLY
PROVISIONS, c. OWNERSHIP OF REGIONAL WASTEWATER TREATMENT
FACILITIES AND 2. CONTRACT FOR FINANCING, CONSTRUCTION AND
OPERATION OF REGIONAL WASTEWATER TREATMENT FACILITIES,
Effective as of the Effective Date
CITY OF PEARLAND, TEXAS
ATTEST:
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By ~mJ f(~
Title: Mayor, City of Pearland
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itle: City Secretary, Young Lorfi ng
COUNTERSIGNED:
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By:______________________________
Title: Darin Coker, City Attorney
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SUPPLEMENT TO: 1. AGREEMENT FOR a. OWNERSHIP, OPERATION AND
MAINTENANCE OF WATER FACILITIES, b. EMERGENCY WATER SUPPLY
PROVISIONS, c. OWNERSHIP OF REGIONAL WASTEWATER TREATMENT
FACILITIES AND 2. CONTRACT FOR FINANCING, CONSTRUCTION AND
OPERATION OF REGIONAL WASTEWATER TREATMENT FACILITIES,
Effective as of Effective Date
BRAZORIA COUNTY MUNICIPAL
UTILITY DISTRICT NO.4
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~resident, B9a- of Dir tors
ATTEST:
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SeGretary, Board of/Directors
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