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HomeMy WebLinkAboutOrd 2025-4064 water service agreement, Ingenia Polymers, Inc.ORDINANCE 20254064 AN ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT AND A SANITARY SEWER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE, TEXAS, AND INGENIA POLYMERS, INC., FOR PROPERY LOCATED AT 1300 MCCABE IN THE SOUTH LA PORTE INDUSTRIAL DISTRICT; 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 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 mtifres, 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. PASSED AND APPROVED this, the 12's day of May, 2025. CITY OF LA POR , TEXA Rick Helton, M or APPROVED AS TO FORM: Clark T. Askins, City Attorney STATE OF TEXAS COUNTY OF HARRIS CITY OF LA PORTE R SERVICE AGREEMENT This AGREEMENT made and entered into by and between the CITY OF LA PORTE, TEXAS, a municipal corporation of Hams County, Texas, hereinafter called "CITY", and Ineenia Polymers. Inc. hereinafter called "COMPANY". COMPANY is the owner of.certain real property which is situated within the CITY'S La Porte South Industrial District. CITY and COMPANY are parties to a current Industrial District Agreement. 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 m 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 125 +Number of Full -Time Contract Employees on site 0 = Total On -Site Full -Time Employees 2. 25 Potable Water Approved for Domestic Use (Total on -site Employees times 50 gpd per employee) , 6,250 Total Amount of Potable Water Approved for COMPANY (Average Daily Volume, gpd x 30.5) 19y625 IV. 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 $12,500 (B) The total amount of potable water approved to COMPANY is established at Six Thousand Two - Hundred Fifty (6,250) 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 One Hundred Ninety Thousand Six Hundred Twenty Five (190,625 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 furnish more than the average monthly volume of One Hundred Ninety Thousand Six Hundred Twenty Five 19( 0,6251 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 One Hundred Ninety Thousand Six Hundred Twenty Five 19( 0.625) 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. (1) 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. (.) 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 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, wading 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. Vill. 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 N l day of �1�1 1 CCGII�U Signature of CompM's Amhofi<d aepesenwive �\'rn �jiit'�YIJ Primed Name: Company Repmsemadve's Title : S `% Ir Company's Address: /I oOC`�c�U/h', Rad Loeork r-Fexcl s CITY OF LA PORTED i ATTEST: t i ? ol! ee Woodward gib: m/j Rick Helton City Secretary iA e W.Mayor Ittno., APPROVED: By: Clark T. Askins Corby D. Alexander City Attorney 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 terns 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: All requirements of Industrial District Agreement. Physical separation of all potable water lines from process water sources. Maintain a storage tank for fire suppression needs in accordance with code. Initial for Annroval: CITY APPROVAL: COMPANY APPROVAL: