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HomeMy WebLinkAboutItem 08 - Water and Wastewater to Southlake ATM 5. _— MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER � ' MEETING DATE: JULY 7, 2009 SUBJECT: INTERLOCAL AGREEMENT WITH SOUTHLAKE TO PROVIDE WATER AND WASTEWATER SERVICE TO RESIDENCES IN SOUTH LAKE RECOMMENDATION: City Council consider approving an Interlocal Agreement with the City of Southlake for the City of Grapevine to provide water and wastewater service to three residential sites in Southlake adjacent to Kimball Road, authorize the City Manager to execute said agreement, and take any necessary action. BACKGROUND: The City of Southlake currently serves the area with a 2" waterline that is undersized for any additional residential development west of Kimball Road and north of Dove Road. The City of Southlake has plans being prepared to install an 8" waterline in the Kimball Road corridor that will provide the needed water supply for the area. This line is anticipated to be in place and operational within 24 months. Southlake has two prospective home sites northwest of Kimball Road and Dove Road that are awaiting sufficient water supply to the area. The City of Southlake staff has requested the City of Grapevine consider providing water to the two residential sites on an interim basis until they have completed the 8" waterline design and construction. The Interlocal Agreement provides water service to the two residential sites for a period of no longer than 24 months. In the same area, the homeowner at the corner of Kimball Road and Meadowmere Lane has asked the City of Grapevine to provide him wastewater service and enable him to discontinue his use of a septic system. The home is located in a small corner of Southlake and has no Southlake wastewater system within 5,000 feet of the site Southlake has no plans to extend a wastewater line to serve this area at this time. Grapevine has two wastewater lines in the homeowners' general vicinity. Either route will require the homeowner to pump his flow to a City of Grapevine manhole approximately 400 feet west or 700 feet east of the residence. Both lines have the capacity to serve the single residence. The proposed service for this site will be provided in perpetuity, subject to the cancellation terms of the agreement. Staff recommends approval. July 1,2009(11:58AM) INTERLOCAL AGREEMENT FOR PROVISION OF WATER AND WASTEWATER SERVICE TO NORTH KIMBALL ROAD SERVICE AREAS STATE OF TEXAS § COUNTY OF TARRANT § This Agreement is entered into by and between the City of Grapevine, Texas, a home rule municipality located in Tarrant County, Texas, operating herein by and through its duly authorized Mayor, William D. Tate, and the City of Southlake, Texas, a home rule municipality located in Tarrant County, Texas, operating herein by and through its duly authorized Mayor, John Terrell. A. DEFINITIONS 1. "Force majeure" is an act of God or a public enemy, war, riot, civil commotion, insurrection, terrorism, strike (unless caused by acts or omissions of the party asserting same), governmental or de facto governmental regulatory or eminent domain action (unless caused by acts or omissions of the party asserting same), fire, drought, explosion, flood, or other natural catastrophe. 2. "Grapevine" is the City of Grapevine, a home-rule municipality located in Tarrant County, Texas. 3. "Southlake" is the City of Southlake, a home-rule municipality located in Tarrant and Denton Counties, Texas. 4. "The North Kimball Road Water Service Area" is that area generally described as the area in the City of Southlake immediately west of North Kimball Road, north of Dove Road to the Kimball Road curve, as shown on the map attached hereto and incorporated herein as Exhibit A. 5. "The North Kimball Road Wastewater Service Area" is that area generally described as the area in the City of Southlake immediately west of the intersection of North Kimball Road and Meadowmere Lane, comprised of one single-family residential property, as shown on the map attached hereto and incorporated herein as Exhibit B. B. RECITALS WHEREAS, Southlake has previously permitted development in the North Kimball Road Water Service Area with an existing 2-inch water line and an existing mutual aid agreement with the City of Grapevine for fire protection; and WHEREAS, Southlake desires to allow the development of up to 2 additional residential sites in the service area; and WHEREAS, Southlake currently does not have the facilities necessary to provide adequate fire protection and water service through existing facilities; and WHEREAS, Southlake has plans to construct an adequate water line and appurtenances in the future to serve both the existing and future Southlake residential sites within the North Kimball Road Water Service Area; and WHEREAS, Grapevine currently has the water facilities and capacity to provide the water service to new development (up to 2 residential lots) within the subject area; and WHEREAS, Grapevine is willing to provide water service to the North Kimball Road Water Service Area for a period of up to 24 months; and WHEREAS, Southlake, at the homeowner's request, desires to provide a single existing residential home currently served by a septic system (the North Kimball Road Wastewater Service Area, Exhibit B), located in the northwest corner of Kimball Road and Meadowmere Lane, with wastewater service; and WHEREAS, Southlake has no available wastewater collection system within 5,000 feet of the existing residential home to provide the wastewater service to the homeowner; and WHEREAS, Southlake has no plans to extend a wastewater collection system to this area in Southlake; and WHEREAS, Grapevine has the wastewater facilities and capacity to provide the wastewater service to the existing home in Southlake within the North Kimball Road Wastewater Service Area until such time as Southlake can practically and adequately provide such services in that area; and WHEREAS, Grapevine is willing to provide wastewater service to the North Kimball Road Wastewater Service Area until such time that Southlake has a wastewater system in place that can serve the subject area; and WHEREAS, consideration for Grapevine providing such service will be provided by the revenue generated from the fees for such service generated by the new residential customers located in the two service areas; and Kimball Water line inter-local agreement with Grapevine Page 2 WHEREAS, Chapter 791 of the Texas Government Code (the "Interlocal Cooperation Act") authorizes municipalities to enter into interlocal agreements for the providing of governmental functions and services, including but not limited to, provision of residential water service; and WHEREAS, the parties hereto deem it to be to their mutual benefit and to the benefit of the health, safety and welfare of their respective citizens to enter into this Interlocal Cooperation Agreement to provide for the provision of water services to new development in the North Kimball Road Service Area, , under the terms and conditions set forth herein; NOW THEREFORE, in consideration of the foregoing, and on the terms and conditions hereinafter set forth, Grapevine and Southlake, for good and valuable consideration, specifically, the mutual promises and agreements contained herein, do hereby contract, covenant and agree as follows: C. TERM OF AGREEMENT AND CONDITIONS PRECEDENT That Grapevine and Southlake do hereby covenant and agree as follows: 1. Purpose. The purpose of this Agreement is to (1) provide efficient water service by Grapevine to up to 2 Southlake residential lots located in the North Kimball Road Water Service Area, until such time as Southlake can practically and adequately provide such services in that area and (2) provide efficient wastewater service by Grapevine to one Southlake residential home located in the North Kimball Road Wastewater Service Area, until such time as Southlake can practically and adequately provide such services in that area. 2. Term for provisions related to Water Supply. The term of this Agreement for Grapevine providing water service shall remain in effect until such improvements are completed by Southlake and shall terminate upon the date of completion of the Southlake water line improvements, including completion of residential connections, or on June 30, 2011, whichever occurs earliest. The Agreement shall continue until said date unless one of the parties provides written notice to the other party of the notifying party's intent to terminate the Agreement. In the event such notice is given, this Agreement will terminate one year after the date such notice is given to the non-terminating party, or such earlier time as may be agreed by the parties. Term for provisions related to Wastewater Collection. The term of this Agreement for Grapevine providing wastewater collection shall be for ninety-nine years from the effective date of this Agreement, or until such time that wastewater collection improvements are completed by Southlake sufficient to serve the North Kimball Road Wastewater Service Area, and Southlake provides written notice to Grapevine of Southlake's intent to terminate the Agreement early. Unless terminated earlier as Kimball Water line inter-local agreement with Grapevine Page 3 provided herein, the Agreement shall continue after such ninety-nine year term indefinitely unless one of the parties provides written notice to the other party of the notifying party's intent to terminate the Agreement or until such time that improvements are completed by Southlake sufficient to serve the North Kimball Road Wastewater Service Area, and Southlake provides written notice to Grapevine of Southlake's intent to terminate the Agreement. In the event such notice is given, this Agreement will terminate one year after the date such notice is given to the non-terminating party, or such earlier time as may be agreed by the parties. 3. Grapevine Agreement to provide water service to North Kimball Road Service Area. a. Agreement to provide Water Service. During the term of this Agreement, Grapevine agrees to provide residential water service from the Grapevine water system to new development (up to 2 residential connections) for the North Kimball Road Water Service Area, on the same terms and conditions that Grapevine provides to its residents and other customers, except as provided herein. b. Agreement to provide Wastewater Collection. During the term of this Agreement, Grapevine agrees to provide residential wastewater collection service through the Grapevine wastewater collection and treatment system to the residential home depicted in the North Kimball Road Wastewater Service Area, ,..rk on the same terms and conditions that Grapevine provides to its residents and other customers, except as provided herein. c. Assessment and Collection of Impact Fees. Grapevine agrees that water impact fees will not be assessed nor collected from any properties in the North Kimball Road Water Service Area served under this agreement due to its limited period of service. Grapevine and Southlake agree that wastewater impact fees will be assessed and collected from the property in the North Kimball Road Wastewater Service Area served under this agreement due to its potential long term of service. d. Repair and monitoring responsibilities. Grapevine shall be responsible for monitoring and repairing within a reasonable time any of the water and wastewater system facilities located in Grapevine necessary to provide the water and wastewater service from the Grapevine systems to the North Kimball Road Water and Wastewater Service Areas. Grapevine agrees to maintain the water and wastewater systems located in Grapevine necessary to provide the water and wastewater service to the North Kimball Road Service Areas to insure that quality standards established by applicable ordinances, regulations, and statutes are met. Nothing contained herein shall be construed as expanding Grapevine's liability under existing law, as imposing any greater duties on Grapevine than are otherwise imposed upon it as a municipal corporation under applicable law except Kimball Water line inter-local agreement with Grapevine Page 4 as expressly provided herein, or as waiving any governmental immunity Grapevine is accorded under applicable law, or waiving any damage limitations or caps imposed by applicable law. e. Billing and collection responsibilities - Water. Grapevine shall read the meters for the lots served by Grapevine water facilities under this agreement located within the North Kimball Road Water Service Area on a monthly basis and bill the account holders in the service area at 1.25 times the rate set by Grapevine for residential water service. f. Billing and collection responsibilities - Wastewater. Southlake shall read the water meter for the residential lot located within the North Kimball Road Wastewater Service Area on a monthly basis, bill the account holder the rates set by Southlake for sanitary sewer service, and provide Grapevine with a spreadsheet indicating the dates the meters were read and the total gallons used and the amount Southlake billed for water and wastewater services. Grapevine will then invoice Southlake for the sanitary sewer service provided by Grapevine based upon 1.25 times Grapevine's rate for residential wastewater service only, and Southlake will promptly pay Grapevine the invoiced amount. Southlake will bear the responsibility for collecting the amounts due from the account holder located within the specified service area. g. Indemnification & Hold Harmless — Wastewater. Southlake agrees to Grapevine's requirement that the residential homeowner in Southlake hold harmless and indemnify the City of Grapevine from any damages, fines or other penalties resulting from any type of wastewater spill or release from the homeowner's private system that may reach any public rights-of-way or easements. h. Cooperation regarding repairs. Southlake shall be responsible for maintaining and repairing the water facilities located within the city limits of Southlake, and Grapevine shall be responsible for maintaining and repairing the water facilities located within the city limits of Grapevine. Southlake and Grapevine agree to cooperate in any efforts to repair the water facilities of either Southlake or Grapevine serving the North Kimball Road Service Area, including providing necessary equipment, traffic control and barricades in the respective cities. 4. Regulatory control. It is understood and agreed by the parties hereto that the development regulations of the city in which facilities are located shall be applicable to such facilities. 5. No joint enterprise. No provision of this Agreement shall be construed to create any type of joint ownership of any property, nor shall same be deemed to create a partnership, joint venture or other agreement which would be construed as granting partial control, Kimball Water line inter-local agreement with Grapevine Page 5 ownership of or equity in the facilities described herein. It is understood and agreed that the facilities operated by Southlake shall be owned and controlled by Southlake, and that the facilities operated by Grapevine shall be owned and controlled by Grapevine. Furthermore, the parties hereto acknowledge and agree that the doctrine of respondeat superior shall not apply between the cities. 6. Notice. Any notice, communication or request provided or permitted to be given by either party to the other party must be in writing and addressed as follows: If to Southlake: City of Southlake Attention: City Manager 1400 Main Street Southlake, Texas 76092 If to Grapevine: City of Grapevine Attention: City Manager P.O. Box 95104 Grapevine, Texas 76099 Amok or to such other addresses as may be provided for in writing from time to time. 7. No waiver of immunity or defenses. This Agreement is made pursuant to Chapter 791 of the Texas Government Code. It is expressly understood and agreed that in the execution of this Agreement, neither city waives nor shall be deemed hereby to waive any immunity or defense that would otherwise be available to it against claims arising in the exercise of governmental powers and functions. This section shall be liberally construed to carry out the intent of the city councils of Southlake and Grapevine, and the cities do hereby invoke and preserve said governmental immunity to the greatest extent possible under the law. 8. No third party beneficiaries. It is understood by the parties that this Agreement is entered into for the mutual convenience and purposes of the cities which are parties hereto, and it is the parties' intent that no other parties shall be construed as beneficiaries of this Agreement, including the owners, residents, or operators of property located in either the Grapevine Area or the Southlake area, regardless of whether such persons are anticipated to be customers under this Agreement. 9. Entire Agreement. This Agreement, including any exhibits attached and made a part hereof, is the entire Agreement between the parties and supersedes all prior or Kimball Water line inter-local agreement with Grapevine Page 6 contemporaneous understandings or representations, whether oral or written, respecting the subject matter herein. 10. Venue. This Agreement shall be construed under the substantive laws of the State of Texas, without reference to its choice of law provisions. This Agreement shall be fully performable in Tarrant County, Texas, and the exclusive venue for any action arising under state law under this Agreement shall be the District Courts of Tarrant County, Texas. If any action relating to this Agreement is not properly brought in state court, venue shall be the United States District Court for the Northern District of Texas. 11. Severability. In the event any section, subsection, paragraph, subparagraph, sentence, phrase, or word herein is held invalid, illegal, or unenforceable, the balance of this Agreement shall be enforceable, and shall be read as if the parties intended at all times to delete said invalid section, subsection, paragraph, subparagraph, sentence, phrase, or word. In such event there shall be substituted for such deleted provision a provision as similar in terms and in effect to such deleted provision as may be valid, legal and enforceable. 12. Authority. This Agreement was authorized by the Southlake City Council at its regular meeting on the day of , 20 , authorizing the Southlake City Manager to execute this Agreement on behalf of the City of Southlake, and by the Grapevine City Council at its regular meeting on the day of 20 , authorizing the Grapevine City Manager to execute this Agreement on behalf of the City of Grapevine. 13. Section or Other Headings. Section or other headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 14. Amendment. This Agreement may only be amended, altered, or revoked by written instrument signed by the parties to such amendment. 15. Interpretation. Both parties acknowledge that each party has had an opportunity to review this Agreement in full, discuss it with legal counsel, and negotiate regarding the terms. Therefore, in the event of any dispute over its meaning or application, regardless of the actual drafter or scrivener of this Agreement, this Agreement shall be interpreted fairly and reasonably, and not construed in favor of nor against any party. 16. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. 17. Force Majeure. If, by reasons of Force Majeure, any party will be rendered wholly or partially unable to carry out its obligations under this Agreement after its effective date, then such party will give written notice of the particulars of such Force Majeure to the Kimball Water line inter-local agreement with Grapevine Page 7 other party or parties within a reasonable time after the occurrence of such event. The obligations of the party giving such notice, to the extent affected by such Force Majeure, will be suspended during the continuance of the inability claimed and for no longer period, and any such party will in good faith exercise its best efforts to remove and over come such inability. 18. Mutual Assistance. The parties hereto agree to take all reasonable measures which are necessary or appropriate to carry out the terms and provisions of this Agreement and to aid and assist each other in carrying out such terms and provisions. 19. Recitals. The recitals to this Agreement are incorporated herein, and are intended to aid in the interpretation of this Agreement. 20. Exhibits. All exhibits to this Agreement are incorporated herein by reference for all purposes wherever reference is made to the same. REMAINDER OF PAGE INTENTIONALLY LEFT BLANK Kimball Water line inter-local agreement with Grapevine Page 8 EXECUTED this day of , 20 . CITY OF GRAPEVINE By: Bruno Rumbelow, Grapevine City Manager ATTEST: Linda Huff, Grapevine City Secretary APPROVED AS TO FORM AND LEGALITY: John F. Boyle, Jr., Grapevine City Attorney Kimball Water line inter-local agreement with Grapevine Page 9 EXECUTED this day of , 20 CITY OF SOUTHLAKE By: John Terrell, Southlake Mayor ATTEST: Lori Payne, Southlake City Secretary APPROVED AS TO FORM AND LEGALITY: Tim G. 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