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Number 04® AGENDA REQUEST FORM The cro, With A Bwut!N Futum CITY COUNCIL MEETING: August 23, 1994 ITEM # ITEM CAPTION: Consideration and approval of contract with cities of Irving and Lewisville for Dallas Water Supply Line No.3, and authorizing the Mayor to sign. SUBMITTED BY: Jim Witt TITLE: City Manager STAFF COMMENTS: Please see attached letter and contract. STAFF RECOMMENDATION EXPLANATION: BUDGET AMT.$ FINANCIAL COMMENTS: Approval X AMT. EST.$ INITIALS Denial +/- BUD:$ Funding for this project will be included in the FY 1994 Revenue Bond Sale. FINANCIAL REVIEW: CITY MANAGER REVIEW: Agenda Request Fonn - Revised 1/94 Put •wed• paW in vm+at- OFFICE OF CITY SECRETARY CMIrving copy October 26, 1994 Mr. Jim Witt City Manager City of Coppell 255 Parkway Boulevard Coppell, Texas 75019 RE: Council Resolution No. 10 -6- 94-486 Approving Water Line Agreement with the Cities of Coppell and Lewisville to Share the Costs of a Pro Rata Basis for Construction and Maintenance of the Dallas Water Supply Line No. 3 Dear Mr. Witt: Enclosed is a fully executed original of the aforementioned for your file and information. If anything further is necessary, please do not hesitate to contact this office. Sincerely, Trish McDaniel Acting Deputy City Secretary CITY OF IRVING sma Copy: Steve McCullough, City Manager Ralph Ellis, ACM/Finance Don Rorschach, City Attorney Ron McCuller, Asst. Public Works Director/Water Utilities 1,. FAX NUMBER (214) 721 -2384 0 i m_. _-ir^ 4- . i_'A nn - i.9 I A1. 77 i ,AAA �i City 9f Irving August 10, 1994 Mr. David Ryburn Dallas Water Utilities 1500 Marilla Dallas, Texas 75201 Dear Mr. Ryburn: STEPHEN W. McCULLOUGH CITY MANAGER The cities of Irving, Coppell and Lewisville city staffs have agreed to the attached contract. It is anticipated that the agreements will be formalized by the respective City Council's in August and September. We appreciate the City of Dallas' efforts on this much needed project for our three cities. Sincerely, CITY OF IRVING L) . Stephen W. McCullough City Manager SMC/cg PC: James Witt, City Manager, Coppell Charles R. Owens, City Manager, Lewisville Sandy Cash, Deputy City Manager Don Rorschach, City Attorney Ralph J. Ellis, Jr., ACM/Finance Jack Angel, Dir./Public Works P.O. Box 152288. 75015 -2288 825 West Irving Blvd. • Irving, Texas 75060 • (214) 721 -2521 Fax NO. (214) 721 -2750 ocrvrt cn PAPcc CITY OF IRVING COUNCIL RESOLUTION NO. 10 -6 -94 -486 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IRVING, TEXAS: SECTION I. THAT the City Council hereby approves the attached contract between the City of Irving and the Cities of Coppell and Lewisville whereby Coppell and Lewisville will participate with Irving in the engineering, construction and maintenance of Dallas Supply Line No. 3 and the Mayor is authorized to execute said contract, provided that such approval is subject to the Cities of Lewisville and Coppell performing all of the obligations envisioned by this contract. SECTION II. THAT this resolution shall take effect from and after its final date of passage, and it is accord- ingly so ordered. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF IRVING, TEXAS, this 6th day of October, A.D., 1994. OF IR P .v = �Ir ATTEST: �' %y'?'�•.SEA� -g OF JarljHart Acting City Secretary APPRQVED AS TO FORM: Don J. Royschach City Att ney BOBBY JOE RAPER MAYOR CITY COUNCIL OCT °b 1994 t �rING, ?�.Kr: - THE STATE OF TEXAS § COUNTY OF DALLAS § y-. This Contract made and entered into this the G " COPY day of , 1994 by and between the City of Irving and the Cities of Coppell and Lewisville, Texas. WTTNESSETH: WHEREAS, the Cities of Irving, Lewisville, and Coppell currently have contracts with the City of Dallas to purchase treated water; and WHEREAS, water currently being purchased by Irving and Coppell is delivered through a supply line constructed in the early 1970's, which supply line is owned, operated and maintained by the City of Dallas (hereinafter referred to as the existing supply line); and WHEREAS, the Cities of Irving, Lewisville and Coppell will need additional treated water over and above the capacity of the existing supply line within a few years; and WHEREAS, the Cities of Irving, Lewisville and Coppell intend to co- operate in the construction of a new water supply line from the City of Dallas Elm Fork Water Treatment Plant to the City of Irving Hackberry Pump Station along the approximate route shown on Exhibit 1, attached hereto; and WHEREAS, this supply line, to be known as Dallas Water Supply Line No. 3, can be sized to include capacity for the Cities of Coppell and Lewisville, which capacity may be used to replace any additional capacity used by these cities in the existing supply line; and Page 1 of I 1 WHEREAS, the Cities of Coppell and Lewisville wish to participate with Irving in the engineering, construction, and maintenance of Dallas Supply Line No. 3 as set forth in this contract; and upon transfer of capacities as stated herein, relinquish all claims to ownership and/or capacity rights in said supply line; whereupon Irving shall assume sole ownership, operation and maintenance responsibilities in said line; NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, the City of Irving agrees to provide and the Cities of Coppell and Lewisville agree to pay for extra delivery capacity in the proposed Dallas Water Supply Line No. 3 upon the terms and conditions and for the considerations hereinafter set forth, to -wit: ARTICLE I 1. The City of Irving will proceed with the design and construction of said Dallas Water Supply Line No. 3, such supply line, right -of -way and facilities to be owned by the City of Irving, and the Project will have the following approximate capacities: • Elm Fork Water Treatment Plant to Sandy Lake Road crossing - 91 million gallons per day (MGD). The approximate location of the water supply line and the points referred to are shown on Exhibit 1, which is attached hereto. 2. The Cities of Coppell and Lewisville agree to pay their pro -rata share of the actual cost of constructing, operating and maintaining the supply line, including engineering and right -of -way acquisition costs, in proportion to the capacity each Page 2 of 11 is entitled to in any particular segment of the supply line. These proportions to which said two (2) cities are entitled are, as follows: • Elm Fork Water Treatment Plant to Sandy Lake Road crossing: Coppell .............................. 20 91 Lewisville ........................... 6 91 • Sandy Lake Road Crossing to Hackberry Pump Station Coppell .......................... None Lewisville ....................... None 3. The City of Irving will furnish each City an estimate of their cost to secure capacity in the proposed water supply line as well as an approximate schedule of when funds will be required. Before contracts for construction are awarded by City of Irving, the Cities of Coppell and Lewisville shall deposit their share of the costs with the City of Irving. Funds received by the City of Irving will be placed in escrow and a complete accounting of expenditures will be furnished each City. If additional funds are required, said Cities shall deposit said additional funds with the City of Irving before said City becomes obligated to the contractor(s). Upon termination or completion of the Project, each City is entitled to any excess funds not including any interest. Said funds shall be paid to each entity within ninety (90) days of termination or completion of the Project. Interest earned upon such funds shall be retained by Irving as an administrative charge. Page 3 of 11 4. The Cities of Coppell and Lewisville shall hold the City of Irving harmless for any penalties or levy by the Internal Revenue Service on those cities' bond funds placed in escrow. Each City is responsible for filing its own arbitrage report on bond monies placed in escrow with the City of Irving. 5. In lieu of participating in the after- construction maintenance expense of the Dallas Water Supply Line No. 3 and in consideration for Irving allowing, during the term of this Agreement and any renewal, the use of 20 MGD to Coppell and 6 MGD to Lewisville of Irving's contracted pipeline capacity in the existing Dallas owned water transmission line, said cities agree to pay to Irving as follows: $192,307.50 being paid by Coppell and $57,692.50 being paid by Lewisville. Such payment shall be considered as the full obligation such cities have for future maintenance of the pro -rated portion of purchased capacities in the Irving owned transmission fine, during the term of this Agreement and any renewals thereof. 6. Use of Irving's capacity in the existing Dallas supply line will not be granted until such time as the Dallas Water Supply Line No. 3 is completed and in service, with Lying having access to the entire design capacity of such line, and above described payments are received by Irving. 7. The City of Irving will provide inspection services on the Dallas Water Supply line No. 3 project and agrees to follow the City of Coppell's standards and practices for street cuts. Coppell shall have the right to review street cut plans and inspect the project within its corporate limits. The City of Irving agrees to co- operate with Coppell in the enforcement of street cut standards upon the contractor and minimize inconvenience associated with such construction wherever practical. Page 4 of 11 8. The City of Irving agrees to administer the project and forward promptly to Coppell and Lewisville copies of all bids, pay estimates, change order requests and other documentation pertinent to the project's initiation, progress and completion. The City of Irving agrees to allow Lewisville and Coppell to review and approve all such documents. 9. The City of Coppell will waive inspection fees, review costs, and any other fees that might be associated with the construction of the pipeline within Coppell's city limits. 10. The City of Coppell agrees to co- operate in the acquisition of rights -of -way necessary for the installation of the pipeline and related appurtenances within the City of Coppell and hereby authorizes the City of Lying to exercise the powers of eminent domain necessary for the acquisition thereof for a time period not to exceed 60 months, and if additional time is needed, the City of Coppell will not unreasonably withhold approval. The City of Irving shall not require the City of Coppell to bring or prosecute the action for condemnation. The City of Lying shall not unreasonably refuse requests by the City of Coppell for access across its easements within the City of Coppell for reasons of public purposes, provided that such access shall not utilize the easement for more than 25 feet parallel to Dallas Water Supply Line No. 3. Coppell shall take care to avoid damages to I ving's line and provide appropriate protection for the line as specified by Irving. 11. The City of Coppell will grant to the City of Irving the necessary easements and rights -of -way within its public streets, alleys, and ways to construct and maintain all the City of Irving water facilities that may lie within the City of Coppell. Page 5 of 11 12. The City of Irving agrees to keep the main in good repair. In the event of damage to the road, streets, or alleys through which the main may pass within the City of Coppell as a result of repair or failure to repair such mains, the City of Irving will repair such damage. In the event it is necessary to cut the surface of such street, road or alleys for the purpose of maintaining said main, the City of Irving shall repair any such cuts. Such maintenance procedures and street cut construction shall be according to the City of Coppell standards wherein the project is within the corporate limits of the City of Coppell. 13. Certain interconnections between the Dallas Water Supply Line No. 3 and the existing Dallas Supply line, locations to be determined by the engineer and approved by the City of Dallas, may be installed in order to provide emergency service in the event of failure of one of the pipelines. 14. Whenever by reason of the changes in the grade of any street or in the location or the manner of constructing any underground water or sewer mains that shall be deemed necessary by the governing body of the City of Coppell to alter, change, or adopt the facilities of the City of Irving which are situated in the City of Coppell's right -of -way, such alterations or changes shall be promptly made by the City of Irving when ordered in writing by the City Council of the City of Coppell, and each city shall pay its proportionate share of said cost; and if the City of Coppell shall require the City of Irving to adopt or conform its facilities or in any way to alter, relocate, or change its property to enable any other corporation, person or entity to use, or to use with greater convenience, said streets or public rights -of -way, the City of Irving shall not be bound to make any such changes until such other corporation, person or entity shall have undertaken, with solvent Page 6 of 11 bond, to reimburse the City of Irving for any loss or expense which shall be caused by, or arise out of such change, alteration, or relocation of the City of Irving's property provided that the City of Coppell shall never be liable therefore. ARTICLE H Each City is directly responsible for any metering station cost required to meter water taken from either the existing supply line or the proposed Dallas Water Supply Line No. 3 to serve such City. Such meters shall be equipped with rate of flow controlling devices that will limit the rate of withdrawal to the delivery capacity contracted for. ARTICLE III Each City shall be responsible for directly entering into an agreement with the City of Dallas, or modifying its existing agreement, for the purchase of treated water that it wishes to have transported through either the existing or the proposed pipeline. ARTICLE IV The City of Irving will obtain all right -of -way within or without the boundaries of the City of Coppell necessary to construct the pipeline within its corporate limits. Reimbursement for costs of right -of -way acquisition to the City of Irving shall be in accordance with the provisions of this agreement. ARTICLE V The Cities of Coppell and Lewisville each agree to protect their separate systems from cross connections under the specifications required by health standards of the State of Texas. Page 7 of 11 ARTICLE VI City of Irving shall not be liable in damages for actual and/or consequential damage experienced by the Cities of Coppell or Lewisville resulting from the flow, pressure, or quantity of water through the pipeline. ARTICLE VII This contract shall remain in force and effect for a term of thirty (30) years from and after the date of execution of the contract. This contract shall automatically renew for successive thirty (30) year terms unless all parties hereto agree not to renew. Venue for the resolution of all litigation shall be in a court of competent jurisdiction in Dallas County, Texas. ARTICLE VIII Any notices may be given to the respective parties at the following addresses by certified mail, postage prepaid: City of Irving, Texas Attention: City Manager 825 West Irving Boulevard Irving, Texas 75060 City of Coppell Attention: City Manager 255 Parkway Boulevard Coppell, Texas 75019 City of Lewisville, Texas Attention: City Manager P.O. Box 299002 1197 West Main Lewisville, Texas 75029 -9002 Page 8 of 11 ARTICLE X Force Maieure: If by reason of force majeure any party hereto shall be rendered unable wholly or in part to carry out its obligations under this Contract, then if such parry shall give notice and full particulars of such force majeure in writing to the other party within a reasonable time after occurrence of the event or cause relied on, the obligation of the party giving such notice, so far as it is affected by such force majeure, shall be suspended during the continuance of the inability then claimed, but for no longer period, and any such party shall endeavor to remove or overcome such inability with all reasonable dispatch. The term "Force Majeure" as employed herein shall mean acts of God, strikes, lockouts or other industrial disturbances, acts of public enemy, orders of any kind of the Government of the United States or the State of Texas, or any Civil or military authority, insurrection, riots, epidemics, landslides, lightening, earthquake, fires, hurricanes, storms, floods, washouts, droughts, arrests, restraint of government and people, civil disturbances, explosions, breakage or accidents to machinery, pipelines or canals, partial or entire failure of water supply, or on account of any other causes not reasonably within the control of the party claiming such inability. ARTICLE IX In the event the City of Dallas reduces flow available to all cities because of drought or emergencies, each city shall reduce its withdrawal to a rate that is proportional to its capacity in the supply line delivery facilities. Page 9 of 11 ARTICLE X Severability: The Parties hereto specifically agree that in case any one or more of the sections, subsections, provisions, clauses or words to any situation or circumstance should be, or should be held to be, for any reason, invalid or unconstitutional, under the laws or constitutions of the State or the United States of America, or in contravention of any such laws or constitutions, such invalidity, unconstitutionality or contravention shall not affect any other sections, subsections, provisions, clauses or words of this Contract of the application of such sections, subsections, provisions, clauses or words to any other situation or circumstances, and it is intended that this Contract shall be severable and shall be construed and applied as if any such invalid or unconstitutional section, subsection, provision, clause or word had not been included herein, and the rights and obligations of the parties hereto shall be construed and remain in force accordingly. IN WITNESS WHEREOF, the parties hereto acting under authority of their respective governing bodies have caused this Contract to be duly executed in several counterparts, each of which shall constitute an original, all as of the day and year first above written, which is the date of this Contract. Executed this the y` - day of� ATTEST: BY: CITY OF IRVING By: Page 10of 11 ATTEST: By: �c . Linda Grau, Acting City Secretary ATTEST: By i CITY OF COPPELL By: 4- ��' Iz-, C'0-- Ron Robertson, Mayor Pro Tem CITY OF LEWISVILLE Page I 1 of 11