HomeMy WebLinkAbout000303 Original ContractSPECIAL SERVICE AGREEMENT #2 BETWEEN
CITY OF PORT ANGELES
AND
DRY CREEK WATER ASSOCIATION. INC.
This special service agreement is made and entered into this 2 0 March 2012, by and between
Dry Creek Water Association, Inc. (hereinafter called the Association) and City of Port Angeles
(hereinafter called the City).
WHEREAS, on May 3, 2005, the Association and City signed an Interagency Water Facilities
Agreement, which may hereafter be called the IWFA; and
WHEREAS, the Association and City desire to enter into this Agreement to address provision of
potable water to current customers of the Association located within the City limits; and
WHEREAS, the Association and City desire to enter into this Agreement to address the sale to
the City of certain Association facilities located within the City limits; and,
WHEREAS, the Association and City entered into a similar agreement on December 1, 2009,
titled Special Services Agreement #1; and,
NOW, THEREFORE IT IS AGREED between the parties hereto as follows:
1. Incorporation:
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a. The IWFA is incorporated herein by this reference.
2. Special Service To Be Provided By The Association:
City of Port Angeles
Record #000303 i
a. Pursuant to the IWFA, the City requested a special service agreement with the
Association for properties inside the city limits, north of Lauridsen Blvd Edgewood
Drive, and east of Lower Elwha Road, which may hereafter be referred to as "the
special service area.
b. This special service agreement specifies the conditions and charges for service
pursuant to Exhibit "C" of the IWFA.
c. The parties agree that the special service area qualifies for a special service
agreement under the conditions stated in the IWFA.
d. The water customers within the special service area shown in Exhibit "D of the
IWFA are and shall be customers of the City's water utility. The Association
agrees to provide and be responsible for potable water service to and as required by
the City's water customers within the special service area shown in Exhibit "C -l."
As consideration for the special service to be provided by the Association pursuant
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to this agreement, the City shall pay the Association compensation as provided in
Section 6 below.
3. Sale of Facilities: Not Applicable (No customers are to be physically
disconnected from DCWA).
4. Term:
a. This agreement shall become effective on this 20 day of March 2012. It shall
remain in effect until terminated as provided below.
5. Duration and Termination of Agreement:
a. This agreement shall continue in force and effect until terminated in accordance
with the following procedures:
The Association may terminate this agreement at any time upon receiving the
consent of the City. After March 20 2017, the City may terminate this agreement
at any time by giving the Association at least sixty (60) days notice prior to
termination; additionally, after March 20 2017, the Association may terminate this
agreement upon one hundred eighty (180) days written notice to the City when, in
the reasonable opinion of the Association, the preconditions set forth in Section 11
of the IWFA are no longer applicable to this agreement. In the event, at the
expiration of the notice period, the City shall proceed to implement service in the
manner and subject to the time frame as depicted in Section 6 of the IWFA.
6. Payment for Water to Special Service Area:
a. From and after the effective date of this agreement, the City shall pay to the
Association, a monthly amount to be calculated in accordance with the Exhibit "C
which is attached hereto and incorporated herein by reference. The parties agree
that the Association is entitled to payment from the City of the 20% surcharge as
depicted in Exhibit "C" for the period included in billings beginning with May 2005
through December 2011, together with interest on the surcharge due at the rate of
7.45% per annum from the date of each original billing to the date paid. The
Association shall recalculate past due 20% surcharges, plus applicable interest
thereon, and submit an invoice to the City therefore within ten (10) days of the
effective date of this agreement. The balance due shall be paid on or before
April 30, 2012. The time period May 2005 through December 2011 is included in
this agreement for reimbursement from the City to the Association as Exhibit
"C -1
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7. Channes to Agreement:
a. Changes in the terms and conditions of this special service agreement may be made
at any time upon the mutual consent of both parties. Either party desiring a change
shall given the other party written notice. The notice shall contain the desired
changes and with a full explanation of the reasons for the changes. If, the parties
hereto cannot mutually agree to the proposed changes, the agreement shall remain
unchanged.
8. Hold Harmless: Not Applicable
9. Arbitration:
a. The parties agree that any dispute with regard to the interpretation or enforcement
of this agreement shall be resolved by binding arbitration conducted pursuant to the
arbitration statutes of the State of Washington in effect at the time of the dispute.
The arbitration award may be filed with the Clallam County Superior Court and
enforced in that venue
In the event of litigation regarding the enforcement or interpretation of this
agreement, the party who substantially prevails in such litigation shall be entitled,
in addition to any other relief, to an award of reasonable attorney fees incurred in
such proceedings.
10. Authority:
a. Each party warrants that the undersigned representative has full and complete
legal authority to sign for it and to commit it to the performance of the agreement
set forth herein.
11. Priority:
a. This agreement is intended to implement provisions of the IWFA, and the parties
have not intended to create any conflict between the terms of this agreement and
the IWFA. However, in the event of any conflict between the terms of this
agreement, the IWFA shall control.
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WITNESS WHEREOF, the parties hereto have caused the SPECIAL SERVICE AGREEMENT
to be duly signed and executed in two counterparts as of the day and year first above written.
ATTEST: ATTEST:
Je?-e---
James Critchfield, President of the Board
Dry Creek Water Association, Inc.
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Kent My: "s, -ity Manager
City of rt .ngeles
ATTEST:
Turd- 1 ,r,t561,
City Clerk
City of Port Angeles
Lt___
APPROVED AS TO FORM:
ii.;/,-/
William Bloor, Attorney
City of Port Angeles
Randy Alderson
Randy Alderson
AA &W Self Storage LLC
Port of Port Angeles
Port of Port Angeles
Port of Port Angeles
Port of Port Angeles
Port of Port Angeles
Jerry Payne
Mary Payne
Dan Morrison Partners
Sabrina Hamm
Tim Gillespie
Lake Beavers
Cheryl Richmond
Port of Port Angeles
Port of Port Angeles
Port of Port Angeles
Port of Port Angeles
EXHIBIT "A"
PROPERTY OWNERS
1935 Edgewood Drive
1935 Edgewood Drive
1929 W. Duval Place
Edgewood Drive (Office)
1520 S. Critchfield Road
Critchfield Road
Model Airplane Club
1512 S. Critchfield Road
1512 S. Critchfield Road
1509 S. Critchfield Road
Critchfield Road
2917 W. Edgewood Drive
382 Lower Elwha Road
1607 Lower Elwha Road
3230 Saddle Club Road
3210 Saddle Club Road
Lower Elwha Road
Gardner Property
Lower Elwha Road
Bopp Property
Lower Elwha Road
Taylor Property
Lower Elwha Road
Rush Property
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Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Commercial Service (3/4
Commercial Service (3/4
Commercial Service (3/4
Commercial Service (3/4
Commercial Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
Residential Service (3/4
EXHIBIT "C"
SPECIAL SERVICE TERMS
Customers served under this special service agreement are the customers of the City of Port
Angeles, receiving water service by agreement from Dry Creek Water Association.
1. Definitions:
"Special service water rate Dry Creek Water Association will charge the established
Association customer rate (residential or commercial, as the case may be) plus twenty
percent (20
2. Facility Costs Associated with Special Service Agreements:
All costs of new or improved facilities in order to provide water pursuant to this special
service agreement shall be borne by the City. These costs shall include but not be limited
to the cost of providing meters and disconnect between the facilities of the two parties
when applicable. Payment of costs by the City shall be made within forty -five (45) days
of invoice by the Association upon completion of the project.
The Association as owner of the existing facilities shall be responsible for maintenance of
the existing facilities.
3. Special Service Charges:
The Association shall provide monthly statements to the City of the total metered
consumption of all customers included in this special service agreement. Special service
conditions and charges for this service will be as follows:
3 /4 Residential Service: $25.00 Monthly Base Rate
0 -499 cubic feet $.005 per cubic feet
500 -999 cubic feet $.010 per cubic feet
1000 -1499 cubic feet $.015 per cubic feet
1500 -1999 cubic feet $.020 per cubic feet
2000+ cubic feet $.025 per cubic feet
Plus 20% Total Billing
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3 /4 Commercial Service: $28.00 Monthly Base Rate up to 1,000 cubic feet
0 -499 cubic feet $.005 per cubic feet
500 -999 cubic feet $.010 per cubic feet
$38.00 Monthly Base Rate from 1001 to 1999 cubic feet
1000 -1499 cubic feet $.015 per cubic feet
1500 -1999 cubic feet $.020 per cubic feet
$48.00 Monthly Base Rate from 2000 cubic feet and over
2000 -over cubic feet $.025 per cubic feet
Plus 20% Total Billing
If a rate change happens by the membership of the Association before the termination of
this agreement, Dry Creek Water Association will submit a change agreement request to
this special service agreement.
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Payment for Water to Special Service Area:
EXHIBIT "C -1"
SPECIAL SERVICE TERMS
From and after the effective date of this agreement, the City shall pay to the Association, a
monthly amount to be calculated in accordance with Exhibit "C which is attached hereto and
incorporated herein by reference. The calculations below include monthly billings from May
2005 through December 2011.
Customer #1 (Randy Alderson —1935 Edgewood Drive)
2005 -2011 billings $2,943.54 x 20% surcharge $588.71
Customer #2 (Randy Alderson 1935 Edgewood Drive)
2005 -2011 billings $1,821.80 x 20% surcharge $364.36
Customer #3 (AA &W Self Storage, LLC —1929 W. Duval Place)
2005 -2011 billings $3,483.25 x 20% surcharge $696.65
Customer #4 (Port of Port Angeles Edgewood Drive (Office)
2005 -2011 billings $1,932.79 x 20% surcharge $386.56
Customer #5 (Port of Port Angeles —1520 S. Critchfield Road)
2005 -2011 billings $1,947.49 x 20% surcharge $389.50
Customer #6 (Port of Port Angeles Critchfield Road Model Airplane Club)
2005 -2011 billings $1,962.35 x 20% surcharge $392.47
Customer #7 (Port of Port Angeles —1512 S. Critchfield Road)
2005 -2011 billings $1,797.05 x 20% surcharge $359.41
Customer #8 (Port of Port Angeles 1512 S. Critchfield Road)
2005 -2011 billings $1,960.78 x 20% surcharge $392.16
Customer #9 (Jerry Payne —1509 S. Critchfield Road)
2005 -2011 billings $2,588.98 x 20% surcharge $517.80
Customer #10 (Mary Payne Critchfield Road)
2005 -2011 billings $1,817.79 x 20% surcharge $363.56
Customer #11 (Dan Morrison Partners 2917 W. Edgewood Drive)
2005 -2011 billings $2,681.17 x 20% surcharge $536.23
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Customer #12 (Sabrina Hamm 382 Lower Elwha Road)
2005 -2011 billings $2,437.12 x 20% surcharge $487.42
Customer #13 (Tim Gillespie —1607 Lower Elwha Road)
2005 -2011 billings $2,550.03 x 20% surcharge $510.01
Customer #14 (Lake Beavers 3230 Saddle Club Road)
2005 -2011 billings $1,877.37 x 20% surcharge $375.47
Customer #15 (Cheryl Richmond 3210 Saddle Club Road)
2005 -2011 billings $2,224.31 x 20% surcharge $444.86
Customer #16 (Port of Port Angeles Lower Elwha Road Gardner Property)
2005 -2011 billings $1,795.25 x 20% surcharge $359.05
Customer #17 (Port of Port Angeles Lower Elwha Road Bopp Property)
2005 -2011 billings $1,795.25 x 20% surcharge $359.05
Customer #18 (Port of Port Angeles Lower Elwha Road Taylor Property)
2005 -2011 billings $1,795.25 x 20% surcharge $359.05
Customer #19 (Port of Port Angeles Lower Elwha Road Rush Property)
2005 -2011 billings $1,795.25 x 20% surcharge $359.05
Total Due: $8,241.37
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