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HomeMy WebLinkAboutO-1996-2112 e e ORDINANCE NO. 96- 2112 AN ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE AND GOODYEAR TIRE AND RUBBER COMPANY, BAYPORT CHEMICAL PLANT, FOR PROVISION OF POTABLE WATER SERVICE; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the Ci ty for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. e ORD:INABCE NO. 96- 2112 e PASSED AND APPROVED, this 24th day of June, 1996. ATTEST: ~~ Sue Lenes, city Secretary APP~o/ d Knox W. Askins, City Attorney By: CITY OF LA PORTE ~.~ IN man L~ Malo e, Mayor PAGE 2 e e THE GOODYEAR TIRE & RUBBER COMPANY BAYPORT CHEMICAL PLANT PO BOX 669 LA PORTE, TEXAS 77572 March 29, 1996 Gary Miller The Bayport Plant needs to connect to a city potable water line due to problems with our water quality. This is being mandated by the City of LaPorte. GDYR and our neighbor across the street "Rhom Haas" have elected to go together and split the cost of the line which will come off Bay Area Blvd. The Bayport Plant has been accruing the money for this connection. (Approximately $50,000) The cost of the water is based on industry paying a premium over the residential/commercial user. We will pay a base price of 150% the residential rate. This is standard in this area. The water rates that we are entitled to are limited to the current plant size; however, the plant has stated they would need another line to service any new construction if we elect to expand over the years. The plant has done the engineering and all the work with the city to get this agreement done. I told them we could not sign at the plant level anything that was over one year long. I have routed this to legal and through Mr. Mallamaci then for your signature. C/ jAA7/;17 C I Wendt Regional Purchasing Manager Goodyear Tire & Rubber 960B9RDSl027 e e 'Il'D!.... ~ ..,"l'L-.- ~. tQ'--.11DJl......LJI!.. ~I 11_0 Uom.YII;lmr 11. J1r(G~ ~Illler\llcJIJ()D~ P.O. BOX 669 LA PORTE, TX 77572-0669 PHONE (713) 474-4441 March 26, 1996 G. A. Miller 0/826 Akron Dear Sir: Please sign the attached "Water Service Agreement" covering purchase of potable water from the City of La Porte, Texas for the Goodyear Bayport Chemical Plant. Potable water produced by the plant system on occasion fails to meet State of Texas standards. We have indicated to the state that Goodyear will solve this problem by pur- chasing city water. Local accounting has set up an accrual to facilitate the one time payments required in paragraph IV. (A). Thank you. ~~ S. A. Frahm Plant Manager attachment cm e e City of La Porte Es tablished J 892 March 22, 1996 Mr. Paul Miller Goodyear Tire and Rubber Company PO Box 669 La Porte, TX 77572-0669 Re: Proposed Water Service Agreement Revisions Dear Mr. Miller: Attached for your review is a revised proposed Water Service Agreement. This agreement supersedes the one previously forwarded to you on 2/20/96. In general, the only revisions were to Section IV (A), regarding payment to the City and how that cost is determined. As of 3/18/96, the City has received plans and specifications for the off site water line along Bay Area Boulevard, and is currently being reviewed by staff. We will keep your office informed as to the status of this line. Again, we look forward to serving Goodyear in the near future. If you have any questions or concerns, please call me at 471-5020, Ext. 257. 1tfu" .. f!kI. j) #lPr~ Fred D. Thompson, P.E. City Engineer c: John Joerns, Assistant City Manager Guy Rankin, Director of Planning Steve Gillett, Director of Public Works I'.ll 1).1\ 1111 · ! 11"'f1<', Tl'X:l,77')7Z.1115 · (7IH471.50Z0 e STATE OF TEXAS ~ COUNTY OF HARRIS ~ WATER SERVICE AGREEMENT e This AGREEMENT made and entered into by and between the CITY OF LA PORTE, TEXAS, a municipal corporation of Harris County, Texas, hereinafter called "CITY", and The Goodyear Tire and Rubber Company, Bayport Chemical Plant, a corporation, hereinafter called "COMPANY" . I. COMPANY is the owner of certain real property which is situated in CITY'S Bayport Industrial District and not within the corporate limits of the CITY. are parties to a current Industrial District Agreement. CITY and COMPANY II. COMPANY is desirous of purchasing potable water from CITY for usual human domestic consumption and uses, and not for use for industrial processes of any kind. Previous planning considerations for the long range potable water supply of CITY did not include the needs of property located outside the city limits of CITY. COMPANY recognizes that CITY cannot at this time provide permanent and unlimited water service as requested. CITY agrees, however, to provide limited potable water service to COMPANY. For and in consideration of furnishing domestic potable water by CITY, the parties hereto agree as follows, to-wit: III. COMPANY has made the following representations to CITY as to its number of employees, as of the date of this agreement, upon which representations CITY has relied in entering into this Agreement. Number of Employees on-site Number of Contract Employees 77 33 Total on-sil' 110 e IV. CITY has determined that adequate facilities are available to CITY to furnish potable water to COMPANY based on the following terms and conditions, to-wit: (A) Payment to CITY of a one time administrative connection charge of $11.000. COMPANY shall also be required to pay an amount equal to one-half (1h) of their frontage length adjacent to the utility main, times the average cost per foot for the original construction of the line. The average cost per foot shall be established by dividing the total final construction cost, less any CITY participation, by the total length of the utility main constructed. (B) The average daily demand is established at 5.500 gallons per day. This number is based on an average of fifty (50) gallons per employee per day established by CITY. (C) The average monthly demand of 167.750 gallons is established by multiplying the average daily demand by a factor of 30.5, which shall be used to facilitate service billings. (D) The cost of water up to the average monthly demand of 167.750 gallons shall be one hundred fifty percent (150%) of the CITY'S current rate as established from time to time for commercial customers inside its corporate limits. (E) The cost of water for amounts used in excess of the established average monthly demand shall be two hundred percent (200%) of the CITY'S current rate as established from time to time for commercial customers inside its corporate limits. (F) Nothing contained in this Agreement shall obligate CITY to furnish more than the average monthly demand of 167.750 gallons. Repeated consumptions greater than'e established average monthly demafmay result in termination of service. (G) CITY shall have the right to interrupt or temporarily suspend said water service to COMPANY if an emergency arises and there is not an adequate water supply to meet the needs of the citizens of La Porte. (H) CITY reserves the right to enforce its drought contingency plan on all water customers at CITY'S sole discretion. (I) COMPANY agrees that it shall be bound by all applicable ordinances of CITY, relative to the furnishing of potable water to customers within the corporate limits of CITY. (J) All plumbing installed by COMPANY connected to the domestic water line from CITY, shall meet all applicable State of Texas and CITY plumbing code requirements. CITY'S engineering and code enforcement personnel shall have the right of prior review and approval of COMPANY'S plans and specifications for the plumbing system(s). CITY plumbing inspectors shall have the right to inspect any and all work related to the furnishing of potable water to COMPANY. (K) A reduced pressure zone backflow preventer shall be installed and maintained by COMPANY to protect CITY from any possible cross-connections. (L) The potable water supply system will be segregated from any existing and future COMPANY fire protection system. (M) There shall be no resale of the water provided by CITY, nor any extension of service lines by COMPANY to serve other parties. V. All expenses of the installation of the meter; service lines from the main to the meter; and from the meter to COMPANY'S facilities, shall be solely at the expense of COMPANY. COMPANY shall own anllaintain all service lines and Plumbin~Cilities beyond the meter. CITY shall own the meter. VI. CITY shall have final authority over size, location, materials, and other engineering matters concerning the extension of water mains to COMPANY'S property. CITY will have ownership and maintenance responsibility for its water mains, up to COMPANY'S water meter. In the event the Harris County license, permit, or permission to install the water main is revoked, or relocation or adjustment is required, CITY will not be responsible for the expense of such relocation, adjustment, or replacement. VII. CITY reserves the right of entry at all reasonable times for the purpose of inspection of COMPANY'S water facilities, and to observe compliance with the terms and conditions of this Agreement. When exercising its right of entry, CITY agrees to follow established health and safety policies in effect at COMPANY'S facility. VIII. CITY reserves the right to terminate this agreement in the event of violation of the terms and provisions hereof by COMPANY. CITY will provide COMPANY with written notice of any defects and COMPANY shall have the opportunity to cure any defects. Failure to correct defects within ten (10) days may result in termination of Agreement. CITY shall have the right to summarily correct, at COMPANY's expense, any defect or deficiency, when in its opinion the integrity of the public water supply is threatened. IX. . Upon receipt of written notice of termination, COMPANY shall have up to six (6) months to prepare for transition to another water supply. If the transition is not complete within said six month period, CITY shall have the right to terminate water service at its sole discretion. e x. . In the event of any conflict between the terms and provisions of this Water Service Agreemen~ and the terms and provisions of the Industrial District Agreement between the parties, the terms and provisions of the Water Service Agreement shall control, to the extent of such conflict. The term of this Agreement shall be for five years plus any renewals and extensions thereof. However, this Agreement shall automatically expire at such time as there is no effective Industrial District Agreement between the parties or if CITY exercises its right of termination. ENTERED INTO effective the ~ yd.. day of -::I ~.. ____ , 1996. A~ -L/ City Secretary By: ASST SEe Z OF LA PORTE '- ~~~ Norman L. Malone Mayor By: ARY . By: cx~ T. ~ Robert T. Herrera City Manager City of La Porte PO Box 1115 La Porte, TX 77572-1115 Phone: (713) 471-1886 Fax: (713) 471-2047 Phone: (713) 471-5020 Fax: (713) 471-7168