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HomeMy WebLinkAboutO-2022-3892 - Airgas Specialty Products water service agreementORDINANCE 2022-3892 AN ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT AND A SANITARY SEWER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE AND AIRGAS SPECIALTY PRODUCTS, 11426 W. FAIRMONT PARKWAY; 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 the reference. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. The City Manager is hereby authorized to execute said contact, agreement, or other undertaking described in the title of this ordinance. 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 City 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 confines 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. PASSED AND APPROVED this, the day of „� �_ , 2022. CITY OF P RTE, TEXAS Louls,gAgby, MUo APPROVED AS TO FORM: Clark T. Askins, Assistant City Attorney STATE OF TEXAS § COUNTY OF HARRIS § CITY OF LA PORTE WATER SERVICE AGREEMENT 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 Airgas Specialty Products hereinafter called "COMPANY". I. COMPANY is the owner of certain real property which is situated within the CITY'S Battleground or Bayport Industrial District and not within the corporate limits of the CITY. CITY and COMPANY are parties to a current Industrial District Agreement. II. COMPANY is desirous of purchasing potable water from CITY for usual human domestic uses. Previous planning considerations for the long-range potable water supply of CITY did not include the needs of properties located outside the corporate limits of CITY. COMPANY recognizes that CITY cannot at this time provide permanent and unlimited water service. 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: COMPANY has made certain representations to CITY as to the number of employees that will be located at the COMPANY'S property as of the date of this agreement, upon which representations CITY has relied in entering into this Agreement. Upon review of these representations, the City has determined the following: Number of Full -Time Employees on site 15 + Number of Full -Time Contract Employees on site 0 = Total On -Site Full -Time Employees 15 Potable Water Approved for Domestic Use (Total on -site Employees times 50 gpd per employee) 750 Total Amount of Potable Water Approved for 750 COMPANY (Average Daily Volume, gpd) IV. 2 CITY has determined that adequate resources are available to CITY to furnish potable water to COMPANY based on the following terms and conditions, to -wit: (A) COMPANY shall pay to CITY a one-time administrative fee of $ 5000.00. (B) The total amount of potable water approved to COMPANY is established at seven_ hundred fifty (750) gallons per day. This number is based on an average of fifty (50) gallons per employee per day as established by CITY. (C) The average monthly volume of _ twenty-two thousand eight -hundred seventy-five (22,875) gallons is established by multiplying the average daily volume by a factor of 30.5, which shall be used to facilitate CITY'S utility service billings. (D) Nothing contained in this Agreement shall obligate CITY to finnish more than the average monthly volume of twenty-two thousand eight -hundred seventy, (22,875) gallons. Repeated consumption greater than the established average monthly volume may result in termination of service. (E) COMPANY shall pay the standard water tap/meter fee based on CITY'S current tap/meter fee schedule. Upon final approval of COMPANY'S on -site and/or off -site utility construction by CITY, COMPANY shall pay the CITY'S standard water deposit fee through CITY'S Utility Billing Division prior to receiving water service from CITY. (F) The cost of water up to the average monthly volume of twenty-two thousand eight - hundred seventy .five (22,875) gallons shall be billed at one hundred fifty percent (150%) of the CITY'S rate as established from time to time for commercial customers inside its corporate limits. (G) The cost of water for amounts used in excess of the established average monthly volume shall be billed at two hundred percent (200%) of the CITY'S rate as established from time to time for commercial customers inside its corporate limits. (H) COMPANY shall submit a preliminary site plan showing the total acreage of the tract including present and proposed improvements and a suitable location map of the site. COMPANY'S development may be subject to certain additional requirements as described in Exhibit A. These requirements shall be shown on the final site plan and approved by City. (I) COMPANY'S site design and site development will, in certain cases, be subject to specific "Rules and Regulations" as defined in Exhibit "C" of COMPANY'S Industrial District Agreement with 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. (K) A reduced pressure zone backflow preventer shall be installed and maintained by COMPANY to protect CITY from any possible cross -connections. (L) COMPANY'S potable water supply system will be segregated from any existing and ki future fire protection system. (M) The total cost for the engineering design and construction of any potable water main, service line, back flow preventer, meter or other required appurtenances will be the responsibility of COMPANY. (N) COMPANY agrees to be bound by all applicable ordinances of CITY, relative to the furnishing of potable water to customers within the corporate limits of CITY. (0) There shall be no resale of water provided by CITY, nor any extension of service lines by COMPANY to serve other parties. (P) CITY'S personnel shall have the right of prior review and approval of COMPANY'S plans and specifications for the plumbing system(s). CITY shall have the right to inspect any and all work related to the furnishing of potable water to COMPANY. (Q) 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. (R) CITY reserves the right to enforce its drought contingency plan on all water customers at CITY'S sole discretion. (S) CITY does not guarantee its water system to provide specific water pressure and/or water volume requirements of COMPANY. 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 and maintain all service lines and plumbing facilities beyond the meter. CITY shall own the meter. VI. In the event a State or 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, reading its water meter(s) and to observe compliance with the terms and conditions of this Agreement. When exercising its right of entry, CITY shall notify COMPANY in advance. CITY also agrees to follow established health and safety policies in effect at COMPANY'S facility. VIII. 4 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) calendar days from date of written notice by CITY 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. X. In the event of any conflict between the terms and provisions of this Water Service Agreement 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 expire on December 31, 2031 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 day of Signature of Company's Authorized Representative Printed Name: Company Representative's Title: Company's Address: Approved: By: AAA" Clark Askins Assistant City Attorney CITY OF LA PORTE Am Corby . Alexand City Manager .:. EXHIBIT "A" to Water Service Agreement The Water Service Agreement is hereby amended and supplemented to include the following additional requirements agreed to by CITY and COMPANY. These requirements represent contractual obligations of COMPANY to receive water service from CITY per the terms of the Water Service Agreement and this addendum. COMPANY shall fulfill each of the following additional requirements as set forth below. Additional Requirements of COMPANY: 1. Requirements set forth in "EXHIBIT C" of Industrial District Agreement, 2020-IDA-96. Initial for Approval: CITY APPROVAL: COMPANY APPROVAL: STATE OF TEXAS § COUNTY OF HARRIS § CITY OF LA PORTE SANITARY SEWER SERVICE AGREEMENT 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 Airgas Specialty Products hereinafter called "COMPANY". I. COMPANY is the COMPANY of certain real property, which is situated in CITY'S Battleground or Bayport Industrial District and not within the corporate limits of the CITY. CITY and COMPANY are parties to a current Industrial District Agreement. II. COMPANY is desirous of purchasing sanitary sewer service from CITY for usual human domestic uses. COMPANY recognizes that CITY cannot at this time provide permanent and unlimited sanitary sewer service. CITY agrees, however, to provide limited sanitary sewer service to COMPANY. For and in consideration of furnishing sanitary sewer service by CITY, the parties hereto agree as follows, to -wit: COMPANY has made certain representations to CITY as to the number of employees, as of the date of this agreement, upon which representations CITY has relied in entering into this Agreement. Upon review of these representations, the City has determined the following: Number of Employees on -site 15 Number of Contract Employees 0 Total on -site Employees 15 Sanitary Sewer Desired for Domestic Use (Total on -site times 50 gpd per employee) 750 Total Amount of Sanitary Sewer Approved For COMPANY (Average Daily Volume, gpd) 750 2 IY CITY has determined that adequate facilities are available to allow CITY to furnish sanitary sewer to COMPANY based on the following terms and conditions, to -wit: (A). COMPANY shall pay to CITY a one-time administrative connection charge of 5000.00. (B). COMPANY shall pay the standard sewer tap fee based on CITY'S current sewer tap fee schedule. Upon final approval of COMPANY'S on -site and/or off -site utility construction by CITY, COMPANY shall pay the CITY'S standard sewer deposit fee through CITY'S Utility Billing Division prior to receiving sewer service from CITY. (C). The average daily volume is established at seven -hundred fifty 750 gallons per day. This number is based on an average of fifty (50) gallons per employee per day established by CITY. (D). The average monthly volume is calculated to be eighty-five percent (85%) of the average daily volume multiplied by a factor of 30.5, which shall be used to facilitate service billings. (E). The cost of sanitary sewer service up to the average monthly volume of nineteen - thousand four -hundred fo -four (19,444) gallons shall be one hundred fifty percent (1501/16) of the CITY'S rate as established from time to time for commercial customers inside its corporate limits. (F). The cost of sanitary sewer service for amounts in excess of the established average monthly volume shall be two hundred percent (200%) of the CITY'S rate as established from time to time for commercial customers inside its corporate limits. (G). Nothing contained in this Agreement shall obligate CITY to furnish more than the average monthly volume of nineteen -thousand four -hundred forty-four (19,444). Repeated sanitary sewer delivery greater than the established average monthly volume may result in termination of service. (H). COMPANY agrees that during periods when the CITY'S collection system is surcharged, the CITY may require the suspension of use of the sanitary sewer system for periods not to exceed thirty-six hours. (I). CITY shall have the right to interrupt or temporarily suspend said sanitary sewer service to COMPANY if an emergency arises and there is not an adequate sewer collection or treatment capacity to meet the needs of the citizens of La Porte. (J). COMPANY shall file application with CITY for an Industrial Waste Permit and hereby agrees to be bound by CITY'S Industrial Waste Ordinance (Chapter 74, Article II of the Code of Ordinances) and any subsequent amendments or revisions. 3 (K). Owner shall install a sanitary sewer sampling well in accordance with CITY'S standards to ensure no sewer waste, other than domestic waste enters its sanitary sewer system. {L). The total cost for the engineering design and construction of any sanitary sewer main, service line, lift station, meter or other required appurtenances will be the responsibility of COMPANY. (M). COMPANY agrees that it shall be bound by all applicable ordinances of CITY, relative to the furnishing of sanitary sewer service to customers within the corporate limits of CITY. (N). COMPANY shall install a sanitary sewer sampling well in accordance with CITY's standards. (0). All plumbing installed by COMPANY connected to the sanitary sewer 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 sanitary sewer service to COMPANY. (P). There shall be no resale of the sanitary sewer service provided by CITY, nor any extension of service lines by COMPANY to serve other parties. (Q). COMPANY shall submit a certified site plan showing the total acreage of the tract including present and proposed improvements and a suitable location map of the site. COMPANY'S development project may be subject to certain additional requirements as described in Exhibit "A", attached. These requirements shall be shown on the site plan and approved by City. V. All expenses of the installation of service lines from the main to the COMPANY'S facilities shall be solely at the expense of COMPANY. COMPANY shall own and maintain all service lines and plumbing facilities. VI. In the event a State or Harris County license, permit, or permission to install the sanitary sewer main is revoked, or relocation or adjustment is required, CITY will not be responsible for the expense of such relocation, adjustment, or replacement. 4 CITY reserves the right of entry at all reasonable times for the purpose of inspection of COMPANY'S sanitary sewer facilities, and to observe compliance with the terms and conditions of this Agreement. When exercising its right of entry, CITY shall notify COMPANY in advance. CITY also 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 sanitary sewer system is threatened. IX. Upon receipt of written notice of termination, COMPANY shall have up to six (6) months to prepare for transition to another sanitary sewer service provider. If the transition is not complete within said six-month period, CITY shall have the right to terminate sanitary sewer service at its sole discretion. X. In the event of any conflict between the terms and provisions of this Sanitary Sewer Service Agreement and the terms and provisions of the Industrial District Agreement between the parties, the terms and provisions of the Sanitary Sewer Service Agreement shall control, to the extent of such conflict. The term of this Agreement shall terminate on December 31, 2031. 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 day of Signature of Company's Authorized Representative Printed Name: Company Representative's Title:_ Company's Address: City Secretary APPROVED: IN Clark Askins Corby . Alexander Assistant City Attorney City Manager 7 EXHIBIT "A" to Sanitary Sewer Service Agreement The Sanitary Service Agreement is hereby amended and supplemented to include the following additional requirements agreed to by CITY and COMPANY. These requirements represent contractual obligations of COMPANY to receive sewer service from CITY per the terms of the Sanitary Service Agreement and this addendum. COMPANY shall fulfill each of the following additional requirements as set forth below. Additional Requirements of COMPANY: 1. Requirements set forth in "EXHIBIT C" of Industrial District Agreement, 2020-IDA-96. Initial for Approval: CITY APPROVAL: COMPANY APPROVAL: