04-15-1985 (City Council) Agenda Packet AGENDA
CALLED MEETING CITY COUNCIL
CITY OF WYLIE, TEXAS
MONDAY, APRIL 15, 1985
7:00 F.M. CITY HALL
CALL TO ORDER
ORDER OF
BUSINESS , BUSINESS
1 JOINT WORK SESSION With
the City Council of
the City of Saint Paul
ADJOURN
WASTEWATER TREATMENT AGREEMENT
This WASTEWATER TREATMENT AGREEMENT, made effective on the
date provided for hereafter , is between the CITY OF WYLIE,
TEXAS, hereinafter referred to as WYLIE and the CITY OF ST.
PAUL, TEXAS, hereinafter referred to as ST. PAUL.
1 . BACKGROUND: Both parties hereto are duly
chartered municipal corporations created and
existing under the laws of the State of Texas .
Wylie is in the business of treating wastewater
and operates wastewater treatment facilities .
This instrument sets forth the terms and
conditions under which Wylie will accept and treat
wastewater generated in the city limits and/or
service area of ST. PAUL . All exhibits are by
this reference made a part of this agreement . The
parties acknowledge that the City of Wylie is
planning to improve and construct additional
sewage treatment facilities .
2 . TERM: The term of this agreement shall be equal
to thirty (30) years or the number of years for
retirement of any bond issue used to improve or
construct the proposed wastewater treatment plant ,
whichever is greater .
3 . WASTEWATER TREATMENT: During the term of this
agreement , Wylie agrees to treat the wastewater
generated within the city limits and/or service
area of ST. PAUL upon the terms and provisions set
forth in this paragraph :
3 . 1 EXCLUSIVE AREAS OF SERVICE:
ST. PAUL agrees that during the term of this
agreement ST . PAUL will not enter into any
renewals or new contracts with any third
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parties for sewage treatment service without
the prior written consent of Wylie . The
intent of this paragraph is to guarantee that
Wylie will treat one hundred percent ( 100%)
of all the sewage generated by customers of
ST. PAUL . ST. PAUL will make every
reasonable and good faith effort to expand
its need for wastewater treatment in terms of
both the area of service and the number of
customers throughout the term of this
agreement . Wylie ' s responsibility under this
agreement is solely limited to bulk treatment
of wastewater contained in this agreement
shall imply any power or authority of Wylie
over individual customers of ST. PAUL and
individual customers shall not be deemed
third party beneficiaries of this contract
and Wylie shall have no obligation of any
type to said individual customers of ST.
PAUL.
3 . 2 INSTALLATION AND MAINTENANCE OF FACILITIES:
ST. PAUL shall have sole responsibility for
construction , maintenance , repair and
extension of all internal lines and laterals
within the city limits of ST. PAUL and/or its
service area . ST. PAUL shall be solely
responsible for construction of any and all
lift stations which are deemed necessary by
Wylie in connection with providing the
aforesaid wastewater treatment service . Said
lift stations shall be constructed in
accordance with specifications as may be
established from time to time by Wylie .
Wylie agrees to provide regular and special
maintenance required because of breakdowns at
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any lift station . Such maintenance by Wylie
shall be paid for by ST. PAUL in accordance
with the fee structure established herein .
Said maintenance by Wylie shall extend only
to maintenance by Wylie employees . Any
additional costs such as parts , services of
third parties or any other costs associated
with repairs or maintenance shall be the sole
responsibility of ST . PAUL.
ST. PAUL shall be solely responsible for
costs of installation of any lift stations
and the electrical and operating costs of the
lift stations .
ST. PAUL shall be solely responsible for the
costs and installation of metering devices
which are acceptable and approved by Wylie at
all points where ST . PAUL sewage enters the
Wylie treatment system. Wylie agrees to
maintain and service the metering devices .
The records concerning readings of the
metering devices shall be open to audit and
review to ST. PAUL upon reasonable notice and
request .
4 . FUTURE EXPANSION OF WASTEWATER TREATMENT
FACILITIES:
ST. PAUL agrees that operation of the wastewater
treatment facilities , future design and capacity ,
selection of personnel and policies and all
matters concerning the wastewater treatment
facilities are under the sole authority of Wylie .
Wylie shall endeavor and attempt to provide all
sewage treatment service requested by ST. PAUL
within its city limits and/or its service area as
reflected on the attached Exhibit A which is
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incorporated by reference herein . Upon reasonable
notice and request by ST. PAUL, Wylie shall make
all good faith efforts to provide wastewater
treatment service to meet the needs of ST . PAUL
during the term of this agreement .
Notwithstanding the foregoing , Wylie shall have no
responsibility for delays or failure to provide
wastewater treatment service as a result of acts
of God , conditions or circumstances which are
beyond the control of Wylie , or as a result of
non-payment or breach of any other term of this
agreement by ST. PAUL. The intent of this
paragraph is such that the customers of ST. PAUL
will receive wastewater treatment to the same
extent as the retail customers of Wylie . In the
event of any inability to provide wastewater
treatment because of lack of capacity in existing
facilities , or for any other reason , such
condition shall affect all customers of Wylie
equally , including customers who are residents of
the city .
Wylie agrees to invite a representative from the
City of ST. PAUL to attend any public meeting
where matters relating to wastewater plant
improvements , customer rates or other provisions
affecting ST . PAUL are discussed . ST . PAUL agrees
to invite a representative of Wylie to attend any
public meeting where developments are considered
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which may involve entry into the wastewater
treatment facilities of more than one hundred
( 100) residential or other comparable units .
5 . FORMULA OF CHARGES FOR WASTEWATER TREATMENT:
ST. PAUL shall make payments to Wylie for basic
wastewater treatment in accordance with the
following formula :
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WW = (1 . 1 x 0) + D + R x 1 .20 x 1 ,000
12M
WW = Reimbursement Rate (per 1 , 000 gallons)
for wastewater treatment .
1 . 1 = Reserve for inflation .
0 = Annual operation and maintenance
expenses for all wastewater treatment
facilities based on previous fiscal
year ' s experience as reflected in the
audited financial statement of the City
of Wylie water and sewer fund .
(Including administrative expense and
depreciation . )
D = Annual debt service for capital
improvements for all existing wastewater
treatment facilities and for all future
additional wastewater treatment
facilities .
R = Annual required bond debt reserve
coverage as established by the bond
covenants .
1 . 20 = Reserve to provide for unanticipated
expenses and equipment renewal and
replacement .
1 ,000 = To convert to a rate per thousand
gallons .
AP = The annual pumpage to be received by and
into the sewage treatment system of the
City of Wylie . This figure would be
estimated or covered by minimum service
provisions in the initial year . After
the initial year , this figure would be
based on actual pumpage rounded up to
the nearest even 1 , 000 gallons .
GR = Growth rate . This factor is added to
the formula in order to project the
actual previous year pumpage forward
into the next contract period . This
figure is stated as a multiplier on a
percentage basis .
Payments for wastewater treatment by ST . PAUL
shall be on a monthly basis . Payment shall be
made within tgn ( 10) days after receipt of an
invoice from Wylie . Any failure to pay the
invoice within thirty ( 30) days shall require a
late charge in the amount of five percent ( 5%) of
the invoice and shall continue to accrue interest
at a rate of five percent ( 5%) per month on the
outstanding balance until paid in full . The rate
established by the above set forth formula shall
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be reviewed during January of each succeeding year
of this agreement and as a result of said review
the new rate , according to the formula , shall take
effect on April 1 , of each succeeding year .
6 . IMPACT FEES:
The parties hereto recognize that an additional
water sewage treatment plant is in the design
stage at the time of the signing of this
agreement . ST . PAUL agrees that on the date that
ST. PAUL approves the terms of this agreement and
continuing thereafter throughout the term of this
agreement , ST. PAUL shall continue to assess an
impact fee for new sewage customers . Said fee , at
a minimum, shall be equal to the impact fees
charged by Wylie for its new sewage customers .
At the time of collection of said fee by ST. PAUL ,
ST. PAUL shall pay forty percent (40%) of said
impact fee to Wylie .
7 . AUDIT:
Wylie agrees to provide , upon reasonable request
and notice , a copy of its annual audit and a
detailed breakdown of costs of maintenance and
operation for the wastewater treatment plant and
the debt service referred to in the above
referenced formula for wastewater treatment
charges .
8 . WATER RATES BY ST. PAUL:
u1,I J
Decisions concerning water rates , fees , policy ,
!\ } G
engineering and other matters relating to charges
'�'1`; by the City of ST. PAUL to its customers are
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solely the decision of ST. PAUL except as
otherwise setforth herein .
9 . COOPERATION BETWEEN CITIES :
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ST. PAUL and Wylie agree to work together for the
most efficient use of existing lines and the
laying of new lines for the purpose of
interconnecting the two sewage systems to provide
the least number of possible connections for the
most efficient cost and effective use of the
systems .
10. SERVICE CALL PROCEDURES:
When maintenance is desired by ST. PAUL in
connection with the lift stations , ST. PAUL shall
contact the Wylie Director of Public Works during
daytime work hours . In the event the need for
service arises after daytime work hours , the
police dispatch facilities shall be used for
communicating a need for service .
11 . FUTURE NEEDS:
The reserve factor built into the water treatment
formula is to provide protection against
unforeseen expenditures . Wylie may from time to
time request that ST. PAUL join in application for
grants or other formal requests for wastewater
treatment possibilities . The parties agree to
cooperate in connection with insuring the
provision of adequate facilities both now and in
the future so as to provide sewage service to the
citizens of Wylie . If the present or future
treatment facilities become inadequate , Wylie will
use its best efforts to improve or expand the
facilities at the same or an alternate site in
order to meet the wastewater treatment needs of
the two cities . The cost of such efforts shall be
incorproated into the formula provided for herein .
Wylie currently operates a wastewater treatment
plant with a capacity of . 8 million gallons per
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day and plans to construct a new municipal plant
with a higher capacity . The costs for such
construction will be reflected in the debt service
contained in the formula referred to herein .
12 . MINIMUM SERVICE:
The parties acknowledge and agree that Wylie will
be incurring additional bonded indebtedness in the
near future in connection with construction of
improvements to the water treatment facilities .
ST. PAUL agrees that within the first year that
payments are to be made in connection with the new
bonded indebtedness that ST . PAUL will guarantee
to provide and pay for , at a minimum one thousand
( 1000) minimum service unit customers . A minimum
service customer is defined as a user of the
sewage treatment service who uses at a minimum
three thousand (3000) gallons of sewage per month .
ST. PAUL further agrees that for each and every
year , following the initial fiscal year , ST . PAUL
will provide and pay for an additional five
hundred (500) minimum service customers until ST.
PAUL establishes ten thousand ( 10 , 000) minimum
service customers , at which time the five hundred
(500) unit per year requirement will no longer be
mandatory . Nothing contained herein is deemed to
limit or modify in any way the provisions of
paragraph 3 . 1 relating to exclusive areas of
service of this agreement which guarantees Wylie
will treat one hundred percent ( 100%) of all
sewage generated by customers of ST. PAUL .
13 . INDUSTRIAL WASTEWATER:
In the event any industry located within the city
limits or service area of ST. PAUL agrees to
require a complete wastewater characterization
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study for said industry . Said study shall be
analyzed by the city engineer or such other
consulting engineering firm as Wylie may desire ,
to determine the suitability of accepting the
wastewater generated by said industry . Wylie ,
upon recommendation of said engineers , may require
ST. PAUL to provide pre-treatment of said
wastewater so that the same may be reduced to
domestic strength prior to acceptance by the city .
ST. PAUL and/or Wylie may further require control
over the quantities and rates of discharge of said
wastewater from said industry . Furthermore , Wylie
may require additional charges for the treatment
of said wastewater , if the same is stronger than
the domestic wastewater listed on the attached
Exhibit B . Said additional charges shall be a
condition precedent to the acceptance of
wastewater by Wylie. ST. PAUL agrees that it will
not transmit to the Wylie treatment facilities any
poisonous or deleterious substances which might
affect the wastewater treatment processes .
Further , ST. PAUL shall levy and collect fees ,
penalties or other assessments permitted by law
within its city limits or service area , in order
to enforce the provisions of this paragraph .
Wylie may monitor the strength of the wastewater
transmitted to it by ST. PAUL and in the event the
characterization of the wastewater , on a monthly
average , shall exceed by at least ten percent
( 10%) any of the concentration values of typical
domestic wastewater as set forth in said Exhibit
B , or exceed the maximum allowable concentration
of various contaminants as set forth on the
attached Exhibit C , then ST . PAUL agrees to levy
and collect within its city limits or service area
such fees , penalties and other assessments as
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permitted by law in order to defray the actual
additional costs to Wylie or ST . PAUL to complete
the required treatment of said wastewater .
14 . GENERAL PROVISIONS:
Time is of the essence of all terms of this
contract . This agreement will be executed in two
counterparts each of which will be considered an
original . This agreement shall be binding upon
the successors and the assigns of the parties
hereto . The provisions of this agreement
constitute the entire terms and provisions of the
agreement between the two parties and no
amendments or alterations shall be binding unless
the party affected thereby shall have executed a
written instrument amending this agreement .
The parties agree to submit any disagreements
arising under this agreement to arbitration in
accordance with Chapter Vernon ' s Annotated
Civil Statutes ; and the parties agree that the
prevailing party shall receive all costs ,
including reasonable attorney fees incurred .
EXECUTED this day of 1985 ,
WYLIE, TEXAS
CITY OF WYLIE, TEXAS
A HOME—RULE CHARTERED
POLITICAL SUBDIVISION
OF THE STATE OF TEXAS
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