HomeMy WebLinkAboutRES 2005-053 RESOLUTION NO. 2005-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS AUTHORIZING AND DIRECTING
THE EXECUTION OF THE TRINITY RIVER AUTHORITY
OF TEXAS — CITY OF GRAPEVINE WATER FACILITIES
CONTRACT (TARRANT COUNTY WATER PROJECT);
AND PROVIDING AN EFFECTIVE DATE
WHEREAS, the Trinity River Authority (TRA) provides potable drinking water to
the City of Grapevine; and
WHEREAS, future development in the City will increase the need for TRA to
provide potable drinking water in the City; and
WHEREAS, to meet this increased potable drinking water demand, a booster
pump station and ground storage facility is necessary to provide the volumes and
pressures in the TRA delivery trunk lines; and
WHEREAS, TRA and the City have reached an agreement to share in the cost of
this pump station and ground storage facility on a 50 percent TRA and a 50 percent City
basis.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. That all matters stated in the preamble of this resolution are true
and correct and are incorporated herein as if copied in their entirety.
Section 2. That for and on behalf of the City of Grapevine, Texas (the "City"),
the Mayor of the City is hereby authorized and directed to sign, deliver, and otherwise
execute, and the City Secretary of the City is hereby authorized and directed to sign and
attest the "Trinity River Authority of Texas — City of Grapevine Water Facilities Contract
(Tarrant County Water Project)" (the "Contract") in substantially the form and substance
attached to this Resolution and made a part hereof for all purposes as Exhibit "A".
Section 3. That upon its execution by the parties thereto, the Contract shall be
binding upon the City in accordance with its terms and provisions and the appropriate
officials of the City are authorized and directed to take any and all action, to execute
and deliver any and all documentation and to perform any and all functions as may be
necessary or appropriate according to the terms of the Agreement.
Section 4. That this Resolution shall take effect and be in full force and effect
from and after the date of its adoption, and it is so resolved; and all resolutions of the
City Council of the City in conflict herewith are hereby amended or repealed to the
extent of such conflict.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 15th day of November, 2005.
APPROVED:
M
Ted R. Ware
Mayor Pro Tem
ATTEST:
Li a Huff
f 14e
City Secretary
APPROVED AS TO FORM:
John F. Boyle, Jr.
City Attorney
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RES. NO. 2005-53 2
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TRINITY RIVER AUTHORITY OF TEXAS -CITY OF GRAPEVINE
WATER FACILITIES CONTRACT fTARRANT COUNTY WATER PROJECT)
•
THE STATE OF TEXAS
•
TRINITY RIVER AUTHORITY OF TEXAS
This Trinity River Authority of Texas - City of Grapevine Water Facilities Contract
("Contract")is made and entered into as of the day of ,2005,by and between the CITY
OF GRAPEVINE,TEXAS("City"),a municipal corporation acting under the laws of the State
of Texas, and its Home Rule Charter, and the TRINITY RIVER AUTHORITY OF TEXAS
("Authority"), a conservation and reclamation district and political subdivision of the State of
Texas created and functioning under Article 16, Section 59,of the Texas Constitution,pursuant
to Chapter 518, Acts of the 54th Legislature of the State of Texas, Regular Session, 1955, as
amended ("Authority Act").
RECITALS
WHEREAS,in connection with the Authority's Tarrant County Water Project,hereinafter
described,water supply contracts,each dated as of January 21,1972,and amended as of January
22,1975 and December 5,1979(with respect to the City of Euless)and December 11, 1979(with
respect to the City of Bedford),have been duly executed between the Authority and the Cities
of Bedford and Euless, Texas, respectively, and water supply contracts, each dated as of April
25, 1979, and amended as of December 5, 1979 and April 23, 1980, have been duly executed
between the Authority and the Cities of Colleyville and North Richland Hills,Texas,and the City
with all of the above named cities being hereinafter collectively called and defined as the
"Cities",and with all ofthe above contracts,as amended,being hereinafter collectively called and
defined as the "TCWP Contracts"; and
WHEREAS, the TCWP Contracts relate to the financing of the acquisition and
construction of the Tarrant County Water Project,being water supply facilities to serve the Cities
and others, as described in the engineering report entitled"Report on Proposed Bedford-Euless
Water System to Trinity River Authority of Texas",dated July 1,1971,and as such report has been
amended and supplemented to provide expanded service, including the supplement thereto
entitled "Trinity River Authority of Texas Tarrant County Water Project Master Plan
Modification to serve Bedford,Euless,Colleyville,Grapevine,and North Richland Hills",dated
October, 1976, prepared by Knowlton-English-Flowers, Inc., and including all additional
amendments and supplements thereto made thereafter; and
WHEREAS, pursuant to the TCWP Contracts and appropriate bond resolutions the
following Series of bonds were duly issued and delivered by the Authority and are now in whole
or in part outstanding and secured by payments pursuant to the TCWP Contracts:
Trinity River Authority of Texas (Tarrant County Water Project) Improvement and
Refunding Revenue Bonds, Series 1999, dated June 15, 1999 (the "Series 1999 Bonds"),
in the original principal amount of$32,765,000 and
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Trinity River Authority of Texas (Tarrant County Water Project) Improvement and
Refunding Revenue Bonds, Series 2003, dated January 1, 2003 (the "Series 2003
Bonds"), in the original principal amount of$72,700,000; and
WHEREAS, under the TCWP Contracts and the resolutions authorizing the above
described bonds,the Authority may issue junior lien revenue bonds as"Improvement Bonds"to
acquire and construct improvements to the Authority's Tarrant County Water Project as
"Additional Bonds"; and
WHEREAS, the Authority heretofore issued its Trinity River Authority of Texas(Tarrant
County Water Project) Improvement and Refunding Revenue Bonds, Series 2005 (the "Series
2005 Bonds") to obtain funds to refund certain of the Series 1999 Bonds and Series 2003 Bonds
and to acquire and construct improvements and extensions to the Tarrant County Water Project,
which Bonds were issued on a junior and subordinate lien basis relative to the unrefunded Series
1999 Bonds and Series 2003 Bonds; and
WHEREAS, as the Tarrant County Water Project has been constructed, improved and
expanded to date, and, in anticipation of further planned construction, improvement and
expansion projects which are being implemented through the issuance of the Bonds (as
hereinafter defined),the Authority and the Cities have concluded that the Tarrant County Water
Project has experienced, and will continue to experience in the absence of construction of the
facilities hereinafter provided for, limitations in delivering water to the Cities at their various
delivery points at higher pumping rates during peak flow periods; and
WHEREAS,the City has requested that the Authority participate in the construction cost
and ownership of certain water transportation and storage facilities within the City's water system
which have been designed to provide adequate water pressure and volume to the water customers
of the City as an alternative means to address the limitations of the Tarrant County Water Project
described above; and
WHEREAS,the Authority and the Cities have determined that participation of the Tarrant
County Water Project in the construction cost and ownership of such facilities is the most cost
effective manner of addressing the limitations of the Tarrant County Water Project described
above; and
WHEREAS,the Authority is willing and able,in order to carry out a purpose for which
it was created,to acquire,by purchase and construction,for the benefit of the Authority and the
Tarrant County Water Project,certain water facilities to provide water to inhabitants of the City
(with such water facilities being hereinafter called the "Project"); and
WHEREAS, the Project is described in an engineering report considered to be an
amendment and supplement to the 1976 Modified Master Plan heretofore described and
captioned "Tarrant County Water Supply Project Master Plan of 2005", dated July, 2005, by
Malcolm Pirnie, Inc.; and
WHEREAS, such report, including all amendments, supplements, and change orders
thereto, heretofore or hereafter made, is hereinafter called the "Engineering Report"; and
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WHEREAS,the Authority has issued the Series 2005 Bonds in an amount which,together
with funds provided by the City,will be sufficient to provide, amongst other purposes, Phase I
of the Project, 50% of which, upon completion, will be owned by the Authority as part of the
Tarrant County Water Project, and to be operated by the City on behalf of itself and the
Authority; and
WHEREAS,subsequently,the construction of Phase II of the Project will be funded by
the Authority and the City as hereinafter provided; and
WHEREAS, the City and the Authority are authorized to make and enter into this
Contract under the Authority Act and other applicable laws; and
WHEREAS,this preamble is made a part of this Contract for all purposes.
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein
contained, the Authority agrees to provide 50% of the cost of Phase I of the Project, and to
subsequently issue Bonds to fund 50%of the cost of Phase II of the Project under this Contract,
and the City agrees to acquire, construct and operate the Project, upon and subject to the terms
and conditions hereinafter set forth,to-wit:
Section 1. DEFINITIONS. The terms and expressions used in this Contract,unless the
context shows clearly otherwise, shall have meanings as follows:
(a) "Board" and "Board of Directors" means the Board of Directors of the
Authority.
(b) "Bonds"or"Authority's Bonds"means any bonds issued by the Authority,
including the Series 2005 Bonds, for acquiring, by purchase and
construction, its interest in the Project,whether in one or more series or
issues, or any bonds issued to refund same or to refund any refunding
bonds.
(c) "Bond Resolution" means any resolution of the Board authorizing the
issuance of Bonds and providing for their security and payment, as such
resolution(s)may be amended from time to time as therein permitted.
(d) "Engineering Report" means the engineering report as described and
defined in the preamble to this Contract, together with any amendments
and supplements thereto.
(e) "Project" means the Project as described in the Engineering Report.
Section 2. OBLIGATION TO ACQUIRE; PROJECT FUNDING. (a)The City agrees
to pay from its available sources,subject to the further terms and provisions of this Contract,50%
of all of the actual costs of acquiring,by purchase and construction,the Project,all in the manner
hereinafter described;and the City,by such payment,will thus acquire 50%of the Project. The
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entire output and usefulness of the Project, however, is for the direct benefit of the City and
indirectly for the benefit of the Tarrant County Water Project
(b) The Authority agrees to pay to the City, and will pay solely from, and to the extent
of the availability of,either the proceeds derived from the issuance and sale of its Bonds or funds
available to the Authority from its ownership and operation of the Tarrant County Water Project,
or both,and subject to the further terms and provisions of this Contract, 50%of all of the actual
costs incurred by the City in acquiring, by purchase and construction, the Project, all in the
manner hereinafter described;and the Authority,by such payment,will thus acquire 50%of the
Project for the benefit of the Authority and the Tarrant County Water Project.
(c)Unless otherwise agreed upon in writing,the Authority shall pay such 50%of the cost
of the acquisition,by purchase and construction, of the Project to the City in partial payments
based upon written statements with documentation presented to the Authority by the City as the
Project is designed and acquired,by purchase and construction. The Authority shall make such
progress payments within 30 days of receipt of such written statements.
(d) As described in the Engineering Report, Phase I of the Project is estimated to cost
$7,008,000 and Phase II of the Project is estimated to cost$3,220,000. The Authority's share of
the Project costs shall not exceed$3,504,000 for Phase I,nor$5,114,000 in total.
Section 3. CONSULTING ENGINEERS. The City has selected Consulting Engineers
for the Project and the Project will be acquired, by purchase and construction, in substantial
accordance with the Engineering Report and in accordance with plans and specifications prepared
under the supervision of the Consulting Engineers. It is further agreed that the Consulting
Engineers may be changed,but only with the agreement of both the Authority and the City.
Section 4. ACQUISITION CONTRACTS. The City, acting on its own behalf and on
behalf of and as agent for the Authority,will enter into such contracts as are necessary to provide
for acquiring, by purchase and construction, the entire Project, and said contracts shall be
executed as required by the laws applicable to the City. The Authority, upon written request
made to the City,shall have the right to review and approve,in writing,any bids submitted to the
City relating to the acquisition,by purchase and construction,of the Project. The City shall cause
the amounts due under such contracts to be paid proportionally from the combined funds of the
City and the Authority, as provided under this Contract. The Authority shall deposit proceeds
from the sale of any of its Bonds, to the extent the Authority has issued its Bonds for said
purpose,into a special Project Construction Fund. Said Project Construction Fund shall be used
for paying to the City the Authority's share of the costs and expenses incident to the Project,
pursuant to specific written requests therefor, in accordance with Section 2 hereof.
Section 5. THE PROJECT; OWNERSHIP; OPERATION. (a) The City will provide,
make available, and render, to and for the benefit of the City and its inhabitants, the water
facilities and services of the Project paid for and acquired by both the City and the Authority
pursuant to this Contract. As further consideration,it is agreed that the City will have the sole
responsibility for causing the Project to be operated and maintained,and that the City will cause
the Project to be operated and maintained; and the City agrees, to the extent permitted by law,
to indemnify and to save and hold harmless the Authority from any and all claims, damages,
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losses, costs, and expenses, including reasonable attorneys fees, arising at any time from the
acquisition, existence, ownership, operation and/or maintenance of the Project. It is hereby
provided that in further consideration of the payments made by the City and the Authority under
this Contract,the City and the Authority shall become the owners of undivided 50%interests in
the Project upon completion of the acquisition, by purchase and construction, of the entire
Project.
(b) After completion of the acquisition, by purchase and construction, of the entire
Project, and when the entire Project is ready to be placed in service, the City and the Authority
shall jointly inspect the same and if it is found by the City and the Authority to have been
acquired, by purchase and construction, as required by this Contract, the City, acting by and
through the Mayor of the City, shall notify the Authority in writing that it has accepted the
Project on behalf of both the City and the Authority. Upon such acceptance, 50% of the right,
title and interest of every nature whatsoever in and to the Project automatically shall vest
irrevocably in the City, and 50% thereof shall vest irrevocably in the Authority, without the
necessity of the execution of any conveyance by either party,and such transaction shall result in
the automatic vesting of title to the Project in the City and Authority in consideration for the
mutual agreement of the City and the Authority to perform their respective obligations and make
the payments and indemnities required under this Contract. If requested in writing by the
Authority,the City,acting by and through the Mayor of the City,will execute and deliver to the
Authority an appropriate instrument acknowledging that vesting of title has occurred,but such
instrument shall not be necessary to effect the vesting of title, which shall occur as described
above. Until the acceptance of the Project by the Authority,all right,title,and interest in and to
the Project shall be in the City. The payments required to be made by the City and the Authority
under this Agreement shall be made in all events,regardless of whether title to the Project or any
part thereof is in the Authority or in the City. The Project shall be operated and maintained as
part of the City's Water System. The City shall carry insurance on the Project,naming both the
City and the Authority as the insured parties, in the same manner and to the same extent that it
carries insurance on other similar facilities constituting part of said System.
Section 6. ACQUISITION. The City and the Authority agree to proceed promptly with
the acquisition,by purchase and construction,of the Project in accordance with the terms of this
Contract and the Engineering Report. The City and Authority hereby covenant that they will
make a diligent effort to complete such acquisition as soon as practicable. The City and the
Authority do not anticipate any delays in completing the acquisition of the Project,but the City
and the Authority shall not be liable to each other for any damages caused by any delays in
completion of the Project.
Section 7. FORCE MAJEURE. If,by reason of Force Majeure, any party hereto shall
be rendered unable wholly or in part to carry out its obligations under this agreement then such
party 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 upon, and 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, except as hereinafter provided,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
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Government of the United States or the State of Texas or any civil or military authority,
insurrections,riots,epidemics,landslides,lightning,earthquake,fires,hurricanes,storms,floods,
washouts, droughts,arrests,restraint of government and people,civil disturbances, explosions,
breakage or accidents to machinery, pipelines or canals, or other causes not reasonably within
the control of the party claiming such inability. It is understood and agreed that the settlement
of strikes and lockouts shall be entirely within the discretion of the party having the difficulty,
and that the above requirement that any Force Majeure shall be remedied with all reasonable
dispatch shall not require the settlement of strikes and lockouts by acceding to the demands of
the opposing party or parties when such settlement is unfavorable to it in the judgment of the
party having the difficulty.
Section 8. REGULATORY BODIES. This Contract and the Project shall be subject to
all valid rules, regulations, and laws applicable thereto passed or promulgated by the United
States of America, the State of Texas, or any governmental body or agency having lawful
jurisdiction or any authorized representative or agency of any of them.
Section 9. TERM OF CONTRACT. That the term of this Contract shall be for the useful
life of the Project.
[The balance of this page is intentionally left blank.]
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IN WITNESS WHEREOF, the Authority and the City, acting under authority of their
respective governing bodies have caused this Contract to be duly executed in several counter-
parts, each of which shall constitute an original.
TRINITY RIVER AUTHORITY OF TEXAS
By
General Manager
ATTEST:
Secretary
CITY OF GRAPEVINE, TEXAS
By
Mayor
ATTEST:
City Secretary
7
CERTIFICATE FOR
A RESOLUTION AUTHORIZING AND DIRECTING THE EXECUTION OF THE
TRINITY RIVER AUTHORITY OF TEXAS - CITY OF GRAPEVINE WATER
FACILITIES CONTRACT (TARRANT COUNTY WATER PROJECT), AND PROVIDING
FOR THE EFFECT OF SAID RESOLUTION AND CONTRACT
•
THE STATE OF TEXAS
COUNTIES OF TARRANT,DALLAS AND DENTON :
CITY OF GRAPEVINE
I, the undersigned, City Secretary of the City of Grapevine, Texas, hereby certify as
follows:
1. The City Council of the City of Grapevine convened in REGULAR MEETING ON
THE 15TH DAY OF NOVEMBER, 2005, in the City Council Chamber in the City Hall, and
the roll was called of the duly constituted officers and members of said City Council, to-wit:
William D. Tate, Mayor Linda Huff, City Secretary
Ted Ware, Mayor Pro Tem Clydene Johnson
C. Shane Wilbanks Darlene Freed
Sharron Spencer Roy Stewart
and all of said persons were present, except the following absentees: dI oyek ,
thus constituting a quorum. Whereupon, among other business, the following was transacted
at said Meeting: a written
A RESOLUTION AUTHORIZING AND DIRECTING THE EXECUTION OF THE
TRINITY RIVER AUTHORITY OF TEXAS - CITY OF GRAPEVINE WATER
FACILITIES CONTRACT(TARRANT COUNTY WATER PROJECT), AND PROVIDING
FOR THE EFFECT OF SAID RESOLUTION AND CONTRACT
was duly introduced for the consideration of said City Council and duly read. It was then
duly moved and seconded that said Resolution be adopted; and, after due discussion, said
motion, carrying with it the adoption of said Resolution, prevailed and carried with all
members present voting "AYE" except the following:
NAY: None.
ABSTAIN: None.
2. That a true, full, and correct copy of the aforesaid Resolution adopted at the
~~~ Meeting described in the above and foregoing paragraph is attached to and follows this
Certificate; that said Resolution has been duly recorded in said City Council's minutes of said
Meeting; that the above and foregoing paragraph is a true, full, and correct excerpt from said
City Council's minutes of said Meeting pertaining to the adoption of said Resolution; that the
persons named in the above and foregoing paragraph are the duly chosen, qualified, and
acting officers and members of said City Council as indicated therein; and that each of the
officers and members of said City Council was duly and sufficiently notified officially and
personally, in advance, of the time, place, and purpose of the aforesaid Meeting, and that said
Resolution would be introduced and considered for adoption at said Meeting; and that said
Meeting was open to the public, and public notice of the time, place, and purpose of said
Meeting was given, all as required by Chapter 551, Texas Government Code.
SIGNED AND SEALED the 15th day of November, 2005.
74
City Secretary e
(CITY SEAL)