Loading...
R94-33 06-13-94RESOLUTION NO. R94-33 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, REPEALING RESOLUTION NO. R94-13 AND 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 WATERAND 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 and counterparts of the annexed contract documents for and on behalf of the City. this /-~ day of APPROVED and ADOPTED , A. D., 1994. PASSED, ATTEST: Pat Jones,~t~ S~cretary, TRMC APPROVED AS TO FORM: Barry Abrams, Interim 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 16th day of May , 1994, by and between the City of Pearland, a home Brazoria and Harris Counties rule municipality located in ~k~ ~rk~J~, Texas (hereinafter "Pearland"), and the City of Friendswood, a home rule municipality and Galveston Counties, Texas (hereinafter located in Harris "Friendswood"). WI TNE S SETH: 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 FWD\PEARLAND .AGT\O51694 WHEREAS, there are certain areas of Friendswood which currently can best be provided with water and sanitary sewer service by Pearland and certain areas of Pearland which currently can best be provided with water and sanitary sewer service by Friendswood; now therefore, 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 FVVD'~EARLAND .AGT\051694 ~ 2 ~ 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 METERS 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 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. FVVD\PEARLAND .AGT\051694 ' 3 ' IVo 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 otEher 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. VIo DEBT SERVICE REQUIREMENTS Both Pearland and Friendswood have financed Water and Sanitary Sewer Improvements through the issuance of Bonds, Warrants, or 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 Warrant~ for purpo~e~ other than Water and Sanitary Sewer Improvements. The yearly debt service FWD\PEARLAN D.AGT\051694 -- 4 - 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 a 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 FWD\PEARLAND .AGT\O51694 ' 5 ' sanitary sewer service from the City in which their property is located. 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. ANNEXED 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 Thle Agreement has been duly authorized by the governing bodies of each City as expressed in the official minutes of the FWD\PEARLAN D .AGT\051694 -- 6 - Council meeting at which such authorization was granted. EXECUTED IN DUPLICATE ORIGINALS this 16th May , A.D., 1994. ATTEST: day CITY OF PEARLAND, TEXAS City Manager of Date: ~FORM:I~ i.~/ /FY¢ APPROVED AS T CITY OF FRIENDSWOOD, TEXAS E~eZn~~~~ Mayor ATTEST: Sris McKenzie, City Secretary APPROVED AS TO FORM: tOrnO/'~ fVVD~PEAMLAN D .AGT~C)I~ 1084 -- 7 -- EXHIBIT "A" Example: (1) (2) (3) (4) On a house and lot market valued at $20,000: Pearland's net assessed value of the house and lot would be $20,000. At the current rate of $0,715 ~er $100 of net assessed value, this would equal $143.06. Of this amount 13.23 percent ($18.93) would apply to bonded indebtedness. Friendswood's net assessed value of the house and lot would be $20,000. At the current rate of $0.663 per $100 of net assessed value, this would equal $132.60. Of this amount 13.20 percent ($17.50) would apply to bonded indebtedness. RESULT: Pearland pays to Friendswood an amount equal to 12.24 percent of the ad valorem taxes collected on homes receiving water and sanitary sewer service from Friendswood. RESULT: Friendswood pays to Pearland an amount equal to 14.27 percent of the ad valorem taxes collected on homes receiving water and sanitary sewer service from Pearland. F~'D\PEARLAND .AGT\051684 ' 8 '