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HomeMy WebLinkAbout4.4 - 1993NECEIVED M1P 2G 1993 THIS CONTRACT, made and entered into by and between the CITY OF PORT ANGELES, a municipal corporation, hereinafter called the "City and the PUBLIC UTILITY DISTRICT NO. 1 OF CLALLAM COUNTY, a municipal corporation, hereinafter called the "District WHOLESALE WATER CONTRACT "WITNESSETH" WHEREAS, there has been in existence between the City and the District a Wholesale Water Contract, and the parties hereto desire to continue said contractual relationship and to extend the sale of water by the City to the District as set forth herein; and WHEREAS, the City and the District realize certain mutual benefits from cooperative efforts in the operation and maintenance of their respective water systems and desires to cooperate in planning for the future supply of their customers; and WHEREAS, the City's policy is that the City's primary obligation is to supply water to current and future City residents and businesses and that the District's purchase of City water is subservient thereto; NOW, THEREFORE, the City agrees to deliver and sell to the District, and the District agrees to buy from the City, wholesale water under the following provisions: 1. Rates and Water Use Limits. A. The District shall pay thirty -two cents ($0.32) per 100 cubic feet per month, beginning April 1, 1992. The District shall maintain an average withdrawal rate less than four hundred gallons per minute (400 gpm). The days when peak withdrawal may exceed four hundred gallons per minute (400 gpm) shall be limited to six (6) days per year and at no time shall the District use water at a rate greater than six hundred gallons per minute (600 gpm). B. The District agrees to inform the City, within twenty -four (24) hours, -1- whenever its withdrawal rate exceeds four hundred gallons per minute (400 gpm). 2. Other Conditions. A. The District agrees to manage its water system to stabilize demand on the City's system. B. The District agrees to continue to investigate and develop other feasible sources to supply water to the area serviced by this contract. C. In case of emergency, water shortage, or whenever the public health, safety, or the distribution of water so demands, the City may reduce or limit the time for, or temporarily discontinue, delivery of water to the District. Water delivery may also be temporarily interrupted for the purposes of making repairs, extension, or doing other necessary work. Before altering the delivery of water to the District, the City will attempt to notify the District, in advance, of any changing, reducing, limiting, or interruption of service. The City, however, shall not be responsible for any damage resulting from interruption, change, or failure of the water supply system. D. The water purchased by the District shall be for the customers of the areas served by said District easterly of the City of Port Angeles. The District agrees to obtain the prior approval of the City when any one or combination of new customers of the District are projected to increase the District's water usage, which is served by this contract, by two (2) percent over the flows existing as of April 1, 1992; provided that the District's water use will be governed by the limits set forth in paragraph 1 above. The City agrees to inform the District of any significant new customers that request service inside the City within the area that is serviced by this contract. The City's policy shall be that all new and existing customers inside the City have priority over the District for use of City water and that the City may, at its sole discretion, reduce the delivery of water to the District in order to better supply City customers or may terminate this Contract upon 60 days written notice as set forth in paragraph 4 below. -2- E. All water supplied under this contract, after it passes the point of delivery at the present service connection at the Gales Addition reservoir, shall be the property of the District. The District shall be responsible for all monitoring and reporting requirements to comply with the Safe Drinking Water Act. F. The City shall not be liable for any loss or damage to any person or property, whatsoever, resulting directly or indirectly from the use by the District or its customers of the water supplied under this contract, and the City shall further not be liable for any interruptions in supply of water to the District or its customers. The District agrees to indemnify the City for, and save it harmless from, all losses or damages which the City may suffer or incur by reason of the assertion of any such claim against the City, including all fees, costs, expenses, and attorney fees incurred in defending against such claims. G. The District agrees to allow the City to use access roads and the District's bridge across Morse Creek for access to City facilities. However, the bridge across Morse Creek may be removed if structurally unsound. The District will maintain three -phase electric lines for potential service to the City's Elwha River pump station. H. The District agrees to install at its expense a meter or device, approved by the City, on the service to physically restrict the rate of flow delivered to the District in accordance with the provisions of this contract. I. The District and the City agree to jointly participate in the development of a cooperative water supply plan for the area within the Urban Service Area between the east City Limits and Morse Creek. 3. Payment. Billings for services rendered shall be paid by the District monthly, and in the event the District fails to receive a monthly billing, such failure shall not release the District from liability for payment. The billing, payment, and collection of this contract shall be as -3- specified in the City's Utility Accounts Ordinance, Chapter 13.16 of the Port Angeles Municipal Code. The District shall provide the monthly meter readings to the City for billing purposes. 4. Termination. This contract shall terminate April 1, 1994 or upon 60 days written notice by either party, whichever is earlier. DATED this WA-day of 1993. CITY OF PORT ANGELES PUBLIC UTILITY DISTRICT NO. 1 OF CLALLAM COUNTY es D Hallett, l Mayor President ATTEST: ATTEST: &A.,4, a_YJt_,,,,(A) Carol A. Hagar, Actir ity Clerk retary 4 APPROVED AS TO FORM: l Craig D. tnutson, City Attorney PUDRATE\CONTRACT.PU6