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Home My WebLink AboutR-763-11-86RESOLUTION NO. 763-11-86 (R) A RESOLUTION OF THE CITY COUNCIL, CITY OF ALLEN, TEXAS, AUTHORIZING THE rAYOR TO EXECUTE AN AGREEMENT BETWEEN THE NORTH TEXAS MUNICIPAL WATER DISTRICT AND THE CITY OF ALLEN FOR AN ADDITIONAL POINT OF DELIVERY. Whereas, the City Council, of the City of Allen has requested an additional point of delivery from the McKinney Parallel Pipeline constructed by the North Texas Municipal Water District; and, Whereas, it is in the best interest of the City providing for current usage and future growth to have an additional point of delivery for water at a location immediately east of State Highway 5 on Stacy Road, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL, OF THE CITY OF ALLEN, COLLIN COUNTY TEXAS: Section 1. The mayor of the City of Allen is hereby authorized to execute said contract with the North Texas Municipal Water District for an additional point of delivery for water. Section 2. A copy of this resolution will be attached to the executed copies of the contract and distributed accordingly. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN, COUNTY, TEXAS, ON THIS THE 6th DAY OF NOVE11BER, 1986. APPROVED: ATTEST: f Y\ 2I ' Marty Hendrix, 'MC, CITY SECRETARY NORTH TEXAS P. O. DRAWER C WYLIE, TEXAS 75098 PHONE NO. 442-5405 Mr. Jon McCarty City Manager City of Allen One Butler Circle Allen, Texas 75002 MUNICIPAL WATER DISTRICT RE: City of Allen Water Delivery Point No. 2 Dear Jon: REGIONAL SERVICE THROUGH UNITY November 19, 1986 NOV 2 0 7986 CITY OF ALLEN CITY MANAGER Enclosed please find a fully executed copy of the agreement between the NTMWD and the City of Allen for an additional point of water delivery to the City of Allen. The delivery point will be located on the NTMWD 42 -inch pipeline in Stacy Road at a location approximately 765 feet east of the centerline of State Highway 5 on Stacy Road. The new delivery point shall be restricted to a maximum delivery of five million gallons per day until at such time in the future when the NTMWD would hope to be in a position to offer the City of Allen greater volumes at this point when other water deliveries are available from other sources. Should you have any questions or need additional information, please do not hesitate to contact my office. Sincerel , W. RIEHN Executive Director CWR:md NORTH TEXAS MUNICIPAL WATER DISTRICT STATE OF TEXAS S 5 COUNTY OF COLLIN S AGREEMENT BETWEEN THE NORTH TEXAS MUNICIPAL WATER DISTRICT AND THE CITY OF ALLEN FOR AN ADDITIONAL POINT OF DELIVERY. WHEREAS, the City Council of the City of Allen has requested a connection from the McKinney Parallel Pipeline which was con- structed under the agreement for a new delivery point at the McKinney Pump Station; WHEREAS, the NTMWD has constructed the McKinney Parallel Pipeline after approval of the Board of Directors, and the planning provided for the City of Allen to have a second point of delivery east of State Highway 5 on Stacy Road and its intersection with the pipeline for a volume flow rate not to exceed a maximum of five million gallons per day. NOW THEREFORE, the two governing bodies of the City of Allen and the North Texas Municipal Water District mutually agree to the following conditions in accordance with NTMWD Water Dis- trict Policy No. 8: A. CITY RESPONSIBILITIES 1. The City will furnish a site and construct adequate water storage and pump station facilities to not exceed the NTMWD maximum rate of delivery of 2.5 times daily average from the pump station located 765 feet east of State Highway 5 and its intersection of the McKinney Parallel Pipeline at NTMWD Station 257 + 10. 2. The City will provide the metering facilities in accor- dance with the NTMWD specifications and the connecting pipeline to the tap from the McKinney Parallel Pipeline all to be constructed in accordance with the NTMWD specifications with tap not to exceed twenty-four inch and pipe through meter not to exceed thirty-six inch. 3. The City would agree to accept a new minimum on the new delivery point established as follows: a. The capital component in the Customer City rate would be calculated for the then current year which would be divided into the actual total cost of project including engineering, right of way, and construction to determine the annual minimum necessary to retire the annual debt service that would then be established as the sixth year minimum. NTMWD - ALLEN AGREEMENT FOR ADDITIONAL POINT OF DELIVERY PAGE TWO b. For that fractional part 'of the calendar year in which the first tender of water at the new delivery point shall be made available to the City, the amount of the minimum shall be de- termined by multiplying the ratio which the frac- tional part of the calendar year remaining bears to the first years annual minimum, which is appli- cable in the ensuing calendar year. The first tender of water shall occur when city completes its construction or October 1, 1987, whichever occurs first. C. The following shall be the actual percentage of the sixth year minimum applicable to each year and the annual minimum in gallons at the new point of delivery. First - 25% or 35,865,000 Second - 40% or 57,384,000 Third - 55% or 78,903,000 Fourth - 70% or 100,422,000 Fifth - 85% or 121,942,000 Sixth - 100% or 143,461,000 d. The sixth year minimum shall be in effect at the new delivery point as long as any bonds are outstanding in the bond issue applicable to the construction. After the sixth year minimum has been reached, the minimum shall be increased in accordance with the then policy of the Board for all minimums. e. The total applicable cost of the project to the new point of delivery is calculated to be $2,652,500.70 with 20% allocable to City's Delivery Point No. 2. 4. The City agrees to pay the full Customer City rate applicable each year for all water purchased through the new delivery point until the sixth year annual minimum is achieved without the benefit of excess water sales through the new delivery point until the consumption at the new delivery point is in excess of the sixth year minimum. The minimum for each year during the six year period shall be in accordance with the schedule provided above, except that in any year that the City exceeds the next projected year's minimum, the higher of the two shall be the new minimum. B. DISTRICT RESPONSIBILITIES 1. The District shall review and has the right of approval or disapproval of plans and specifications for the connection to the pipeline and construction through the meter and air gap connection. 2. The District has constructed a forty-two inch (42 -inch) E NTMWD.- ALLEN AGREEMENT FOR ADDITIONAL POINT OF DELIVERY PAGE THREE transmission pipeline from District Facilities to the McKinney Pump Station with provisions for connection by City at agreed upon location 765 feet east of the center line of State Highway 5 on Stacy Road. 3. The District will use every effort to provide the required volume at the new delivery point to be known as "Allen No. 2", but this agreement in no way binds the District to provide volumes at the new delivery point in excess of the capacity of the new facility. 4. All regulations and provisions for restrictions on usage or water applicable to any other delivery points in the City would also be applicable to the new delivery point, "Allen No. 2". The governing bodies of the North Texas Municipal Water District and the City of Allen have adopted proper resolutions to execute this agreement between the District and the City in accordance with the covenants heretofore provided. This agreement authorized by the City Council of the City of Allen in Resolution No. 763-11-86(R)adopted on November 6 , of 1986 CITY OF ALLEN, TEXAS ATTEST: fY\ CA 4-V% City Secretary Approved by the Board of Directors of the North Texas Municipal Water,��istrict by the Adoption of Resolution No. 7- 2 approved on /!/DdE/'r16&-2 /A, of 198_. NORTH TEXAS MUNICIPAL WATER DISTRICT BY : Q� CONWAY SE ER, PRESIDENT ATTEST: i LONCY LEAKE, SECRETARY