R95-17 04-10-95 w �.r —mow
RESOLUTION NO. R95 -17
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS, AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT
AND AGREEMENT BY AND BETWEEN THE CITY OF PEARLAND AND THE
CITY OF FRIENDSWOOD FOR THE PROVISION OF WATER AND SEWER
SERVICE.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND,
TEXAS:
Section One: That certain agreement by and between the
Cities of Pearland and Friendswood relating to the furnishing of
water and sanitary sewer service, a facsimile of which is annexed
hereto, designated Exhibit "A" hereof and incorporated herein for
all purposes, is authorized and approved.
Section Two: The City Manager is hereby authorized to
execute and the City Secretary to attest the original counterparts
of the annexed contract documents for and on behalf of the City.
PASSED, APPROVED and ADOPTED this /0 day of
1995.
A0
David ith
Mayor Pro -Tem
ATTEST:
CP-d-A/rJati
Tommie Jean Via
Interim City Secretary
APPRO d AS TO ORM:
:,b., mo. I
Mot :s 1 o
City Attorney
INTERLOCAL AGREEMENT BETWEEN
CITY OF PEARLAND, TEXAS
AND
CITY OF FRIENDSWOOD, TEXAS
FOR WATER AND SANITARY SEWER SERVICES
This Agreement is made and entered into as of the 1st day of
May 1995, by and between the City of Pearland, a home
rule municipality located in Brazoria and Harris Counties, Texas
(hereinafter "Pearland and the City of Friendswood, a home rule
municipality located in Harris and Galveston Counties, Texas
(hereinafter "Friendswood
WITNESSETH:
WHEREAS, it is the desire of the City Councils of Pearland and
Friendswood to cooperate with each other in providing water and
sanitary sewer services to residents of each City where reasonably
possible to do so; and
WHEREAS, there are areas within each City where water and
sanitary sewer services are not readily available from the City in
which the area is located but to which such services are available
from the other City; and
WHEREAS, it is not the desire of either City to enter into
this agreement for the purpose of profit or gain; and
WHEREAS, it is the intention and desire of each City to make
adequate provision for water and sanitary sewer services for all
residents within their respective corporate limits; and
WHEREAS, there are certain areas of Friendswood which
currently can best be provided with water and sanitary sewer
service by Pearland and certain araaz of Pearland which currently
can best be provided with water and sanitary sewer service by
Friendswood; now, therefore,
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For and in consideration of the mutual obligations and
benefits to be derived hereunder, Pearland and Friendswood do
hereby agree as follows:
I.
TERM
This Agreement shall be effective for a period of one (1) year
commencing on the effective date hereof, subject to annual renewals
by the City Councils of each City.
II.
AREAS SERVED
If either City has an area to which it cannot reasonably
provide water and sanitary sewer services but which it believes is
within the service area of the other, it shall notify the other
City of such need and request such services. Such notice and
request shall contain a statement that the City Engineer of the
requesting City has reviewed the plans and specifications of the
applicable property owner relating to water and sanitary sewer line
installations, that same meet all requirements of the requesting
City's regulations, and that the Engineer will inspect all such
installations as they are made. The City which will provide the
service shall have the right to have its Engineer review such plans
and specifications. If the City which will provide the service
deems that it has the capacity to provide such service, it shall so
notify the requesting City and provide water and sanitary sewer
services under the terms and conditions of this Agreement. No
extension or provision of water and /or sanitary sewer services by
either City to any area located within the corporate limits of the
other shall be undertaken except in accordance with the procedures
hereof.
III.
OWNERSHIP OF M!TFRS AND LINES
The installation and maintenance of water and sanitary sewer
service lines and related transmission facilities shall be as
required and provided by the City in which the area being served
hereunder is located. Each City shall be responsible for the
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installation and maintenance of water meters within its boundaries.
Neither City shall be prohibited hereby from imposing applicable
impact or other service fees as authorized by law. Neither City
shall provide service to an area of the other unless the lines
through which the service will be provided has been conveyed to the
City in which the area lies. In this connection, it is agreed that
Pearland will not own any lines or meters within Friendswood, and
vice versa. All maintenance of lines or meters shall be done by
the City within which such lines and meters lie. Either City
shall, at the request of the other, calibrate or test any meter
located within their respective City limits and through which the
other is providing service, if the City requesting calibration or
testing reasonably believes such meter is not functioning properly.
IV.
READING METERS, BILLING, AND RATES
The City providing water service shall read customer meters
and submit to customers all billings in the same manner and at the
same rate as other customers being provided like service. Customer
charges for sanitary sewer service shall be determined in the same
manner.
V.
TAKE-OVER BY CITY BEING SERVED
At any time either City desires to furnish water and sanitary
sewer service to an area within its own limits then being served by
the other City pursuant hereto, thirty (30) days advance written
notice thereof shall be given to the City then providing such
service. After receiving such notice, the serving City shall send
final bills and take other appropriate action to consummate the
take -over by the other City. It is understood that water and
sanitary sewer service must be taken over simultaneously and that
neither water or sewer service can be taken over singularly.
VI.
DEBT SERVICE REQUIREMENTS
Both Pearland and Friendswood have financed Water and Sanitary
Sewer Improvements through the issuance of Bonds, Warrants, or
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other forms of indebtedness; Pearland having issued General
Obligation Bonds and Warrants; Friendswood having issued General
Obligation and Revenue Bonds.
Pearland has issued Bonds and Warrants for purposes other than
Water and Sanitary Sewer Improvements. The yearly debt service
requirements for such other purposes have been deducted from
Pearland's total annual debt requirement and the remainder for
Water and Sanitary Sewer has been divided by its estimated tax
yield to derive the percentage used in Example (1) of Exhibit "A"
attached hereto and made a part hereof.
Friendswood has issued Bonds and Certificates of Obligation
for purposes other than Water and Sanitary Sewer Improvements. The
yearly debt service requirements for such other purposes have been
deducted from Friendswood's total annual debt requirement and the
remainder for Water and Sanitary Sewer has been divided by its
estimated tax yield to derive the percentage used in Example (2) of
Exhibit "A" attached hereto and made a part hereof.
VII.
AD VALOREM TAXES
Subject to applicable annual adjustment, the following payment
shall be made, to -wit:
(1) Friendswood shall pay Pearland, from Friendswood's
general revenue, an amount equal to 14.27 percent of the ad valorem
taxes collected from property being served by Pearland.
(2) Pearland shall pay Friendswood, from Pearland's general
revenue, an amount equal to 12.24 percent of the ad valorem taxes
collected from property being served by Friendswood.
These payments shall be made in the interest of fairness and
equity, it being recognized that taxpayer within a City and paying
taxes but not receiving water and sanitary sewer service from such
City would have a legitimate complaint that such taxpayer was
subsidizing other residents therein who are receiving water and
sanitary sewer service from the City in which their property is
located.
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These amounts shall be paid on or before August 1 of each year
and shall be payable based on all property served water and
sanitary sewer services hereunder.
VIII.
ANNEX BOUNDARY LINES
This Agreement shall have no effect on either City's corporate
boundaries or areas of extraterritorial jurisdiction, and no
annexation or exchange or release of either City's extraterritorial
jurisdiction shall be implied as a result hereof.
IX.
PRECEDENT
This Agreement is intended only for the situation existing
between Pearland and Friendswood during the term hereof. It is not
the intention of either City to establish precedent for any
agreements between either City and other cities not a party hereto.
X.
INSPECTION OF BOOKS
Either City shall have the right to inspect the books and tax
records of the other by any designated officer or agent thereof
concerning taxes collected and payments made pursuant to this
Agreement.
XI.
APPROVAL
This Agreement has been duly authorized by the governing
bodies of each City as expressed in the official minutes of the
Council meeting at which such authorization was granted.
EXECUTED IN DUPLICATE ORIGINALS this A) day of
rkfaa2—
1995.
CITY OF PEARLAND, TEXAS
SfAL i Lt 'n
Paul Grohman 62 P
City Manager
)ttd; ,0 9 ne-de... 17, Pb r v" 1-14-A 24.° -14-)
ATTEST:
1�y 1, t iLAl
ommie J ean Vi 1
Interim City Secretary
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RESOLUTION NO. R95 -17
Date: -2 /0- 9.5J
APPRO AS TO FORM:
by Mo es cCullo ^h
CITY OF FRIENDSWOOD, TEXAS
Evel ik_
Ne an
Mayor
ATTEST:
Deloris McKenz e,■ C
City Secretary
Date: t 1 J
APPROVED AS TO FORM:
J F. Olson
City Attorney
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EXHIBIT "A"
EXAMPLE: On a house and lot market valued AT $20,000
(1) Pearland's assessed value of the house and lot would be
$20,000. At the current rate of 0.6974 per $100.00 of
assessed value, this would equal $139.48. Of this amount
10.62% ($14.81) would apply to bonded indebtedness.
(2) Friendswood's assessed value of the house and lot would be
$20,000. At the current rate of 0.663 per $100.00 of
assessed value, this would equal $132.60. Of this amount
12.01% (515.92) would apply to bonded indebtedness.
(3) RESULT: Pearland pays to Friendswood an amount equal to
11.41% of the ad valorem taxes collected on homes receiving
water and sewer service from Friendswood.
(4) RESULT: Friendswood pays to Pearland an amount equal to
11.17% of the ad valorem taxes collected on homes receiving
water and sewer service from Pearland.
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