04-22-1998 Meeting - Laserfiche WebLink

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• RESOLUTION 98-01 A RESOLUTION APPROVING WATER CAPACITY PURCHASE AND SALE AGREEMENT AND ESCROW AGREEMENT WHEREAS, the Gulf Coast Water Authority (the "Authority"), as a co-owner of the City of Houston's Southeast Treatment Plant (the "Southeast Plant"), and the City of Galveston, Texas ("Galveston") have indicated a desire to sell a portion of the capacity in the Southeast Plant in which Galveston has an equitable interest to other parties; and, WHEREAS, pursuant to Resolution No. 97-01, approved by the Board of Directors on August 27, 1997, the La Porte Area Water Authority has previously expressed an interest in purchasing 3 MGD of such capacity at a price of $1.1688, and has expressed its desire to contract for the purchase and/or financing of such capacity; and WHEREAS, the City of Houston ("Houston") and the La Porte Area Water Authority have entered into an amendment to the Cost Sharing Water Contract between such parties dated as of January, 1998 (the "Amendment"), which Amendment will, upon satisfaction of the conditions contained therein, increase La Porte Area Water Authority's right to production capacity and pumping capacity from the Southeast Plant; and WHEREAS, the Board of Directors has been presented with a Water Capacity Purchase and Sale Agreement to be entered into among the La forte Area Water Authority, the Authority and Galveston, pursuant to which 3 MGD of capacity in the Southeast Plant will be conveyed from Galveston to La Porte Area Water Authority, and the Board desires to approve La Porte Area Water Authority's entering into such agreement and escrow agreement. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE LA PORTE AREA WATER AUTHORITY: Section 1. That the Board of Directors hereby approves the Water Capacity Purchase and Sale Agreement substantially in the form as presented to the Board of Directors for their review. Section 2. That the Board of Directors hereby authorizes the President and Secretary/Treasurer of the La Porte Area Water Authority to execute and deliver such Water Capacity Purchase and Sale Agreement, with such additions, deletions and other changes by such document as such La Porte Area Water Authority shall approve, such approval to be conclusively evidenced by their execution and delivery thereof.