HomeMy WebLinkAbout177931 ORDINANCE NO. 17,793
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3 AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE CITY
4 OF LITTLE ROCK, ARKANSAS, AUTHORIZING THE MAYOR AND
5 CITY CLERK TO ENTER INTO AN AGREEMENT FOR THE SALE
6 OF WATER TO THE CITY OF ALEXANDER, ARKANSAS.
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8 WHEREAS, the City of Little Rock, Arkansas ("Little Rock ") is a city of the first
9 class created under the laws of the State of Arkansas, and the Little Rock Municipal Water
10 Works ( "Water Works ") is a municipal utility created by Little Rock pursuant to Ark. Code
11 Ann. § 14- 234 -303 (Michie 1987); and
12 WHEREAS, the City of Alexander, Arkansas ( "Alexander ")is a city of the second
13 class created under the laws of the State of Arkansas, and is interested in buying water from
14 Little Rock, acting through Water Works, to serve the needs of Alexander's customers; and
15 WHEREAS, the Board of Directors of the City of Little Rock approved Little Rock,
16 Arkansas, Resolution No. 10,279 (May 19, 1998), by which Little Rock acknowledged its
17 intent to permit the sale of excess water to Alexander and directed that a contract for such
18 services be drafted in accordance with state statute; and
19 WHEREAS, a contract has been drafted in accordance with state law.
20 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS
21 OF THE CITY OF LITTLE ROCK, ARKANSAS:
22 SECTION 1. The Agreement to sell excess water to Alexander is approved by the
23 Little Rock Board of Directors.
24 SECTION 2. The Mayor and City Clerk are hereby authorized to execute the
25 Agreement on behalf of the City of Little Rock, Arkansas in substantially the form attached
26 as Exhibit A to this Ordinance.
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I Passed: August 11, 1998
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4 Attest:
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8 Robbie Hancock, City Clerk
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11 Approved as to Legal Form:
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15 Thomas M. Carpenter, City ttorney
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Approved:
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Jim D. i y, Mayor
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• EXHIBIT "A"
® AGREEMENT
This Agreement is entered into this day of 1998, between the 383
CITY OF LITTLE ROCK, ARKANSAS ("Little Rock ") for its use and benefit and for the use
and benefit of the Little Rock Municipal Water Works ( "Water Works ") and the CITY OF
ALEXANDER, ARKANSAS ( "Alexander ").
WHEREAS, Little Rock is a city of the first class created under the laws of the state of
Arkansas, and Water Works is a municipal utility created by Little Rock pursuant to Ark.
Code Ann. § 14- 234 -303 (Michie 1987); and
WHEREAS, Alexander is a city of the second class created under the laws of the
state of Arkansas, and is interested in buying water from Little Rock, acting through Water
Works, to serve the needs of Alexander's customers; and
WHEREAS, the Board of Directors of the City of Little Rock approved Little Rock,
Arkansas, Resolution No. 10,279 (May 19, 1998), by which Little Rock acknowledged its
intent to permit the sale of excess water to Alexander and directed that a contract for such
services be drafted in accordance with state statute; and
WHEREAS, Little Rock owns and operates the public drinking water system inside
Alexander and is presently selling water to individual customers located within Alexander
and is interested in selling water to individual customers located in the Saline County portion
of Alexander; and
WHEREAS, as a condition to the sale by Little Rock of its excess water to
Alexander, Alexander agrees: (1) to ensure quality growth within its city limits, (2) to limit
its growth by annexatiAthin its own extraterritorial plann*ea, and (3) not to annex
into Little Rock's extraterritorial area.
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NOW THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL
COVENANTS, AGREEMENTS AND CONDITIONS CONTAINED HEREIN, LITTLE
ROCK AGREES TO SELL TO ALEXANDER, AND ALEXANDER AGREES TO
PURCHASE FROM LITTLE ROCK, POTABLE WATER UPON THE FOLLOWING
TERMS AND CONDITIONS:
1. The terms of this Agreement shall apply to all of the water sold by Little Rock to
Alexander.
2. The water sold to Alexander pursuant to this Agreement shall be delivered to Alexander's
customers through individual meters and priced at the rate determined by Water Works for its
customers outside Little Rock city limits.
3. Additional Alexander customers may be added to the water service area supplied by Water
Works pursuant to the terms of this Agreement.
4. Alexander agrees to furnish all labor and material and bear the entire cost of constructing
the facilities by which Little Rock water is provided to Alexander's customers.
5. No new water facilities may be commenced until the plans and specifications are approved
in writing by Water Works, and the contract for construction of water facilities has been approved
by Water Works.
6. Alexander or any customer located with the city limits of Alexander shall give notice of
proposed facilities by submitting a plat or the plans that have been approved by Water Works to the
appropriate planning agency for review as follows: (a) the City of Little Rock Planning Commission
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("Planning Commission's any part of the facilities are to bated within the territorial 385
jurisdiction of said Planning Commission, or (b) the Saline County Planning Board if any part of
the facilities are to be located in Saline County.
7. Alexander or any customer located within the city limits of Alexander shall obtain or
cause to be obtained all permits required in connection with the construction of the facilities.
8. Upon completion of the construction of the facilities and acceptance by Water Works,
ownership of the facilities shall vest by this Agreement in Little Rock for the use and benefit of
Water Works without the necessity of any other conveyance. The facilities shall become a part of
the Water Works distribution system.
9. Alexander acknowledges that the provision of water service through or from the facilities
will not be commenced by Water Works prior to Alexander's fulfillment of all of its obligations in
accordance with the terms of this Agreement.
10. In the event the Water Works determines it necessary or advisable by reason of an
emergency, or routine operation, maintenance, repair or replacement of any part of the Water Works
facilities, Water Works shall have the right and option to restrict delivery to Alexander. In the event
Water Works determines that consumption by Alexander hinders Water Works effective distribution
pressures or endangers in any manner the service to citizens of Little Rock; in the event Water
Works deems it necessary or advisable for any reason, Water Works shall also have the right and
option to restrict delivery to Alexander, either by reducing flow at the point of delivery or requesting
Alexander to implement controlled consumption.
11. Alexander hereby indemnifies, releases and forever discharges Little Rock and Water
Works and waives any right of or claim for damages of any kind or nature whatsoever under this
Agreement arising out A resulting from water quality, inade&e pressure, or restriction,
interruption or stoppage of the flow of water for any reason whatsoever, including, but not limited g �,
to, negligence of Water Works. Alexander shall save Little Rock and Water Works harmless from
any damage to person or property as a result of the performance of this Agreement by Water Works
or its agents and employees. All loss or damage to Alexander or its water users and customers
arising out of earthquake, flood, fire, acts of God or pollution of Water Works' facilities shall be
sustained by Alexander.
12. The term of this Agreement shall be twenty (20) years, and shall be renewable
automatically for like periods unless terminated by either party. Notice of termination shall be given
in writing one year prior to the end of the tern or any renewal term; provided, however, that if the
current sources of water for Water Works prove inadequate for any reason whatsoever, then, in such
event, this Agreement may be terminated by Water Works giving Alexander two years notice of
intent to terminate.
13 The parties agree that Water Works does not guarantee to provide any certain water
pressure and that the transfer of title to water delivered pursuant to this Agreement is subject to all
the terms and conditions contained herein.
14. This Agreement and the rights hereunder shall not be assigned or transferred by
Alexander, but shall be binding upon the successors of either party.
15. (A) Alexander covenants and agrees that it will not, without prior written approval of
the Board of Directors of the City of Little Rock, sell, supply or deliver water to any person or
customer outside the city limits of Alexander.
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(B) Alexander cots and agrees that it will not, without or written approval of Water
Works, allow the extension of water facilities to any new customer whose average daily consump-
tion exceeds five percent (5 %) of the volume of water required, at the time of such sale or
connection, to supply all of Water Works' customers located in Alexander at the time of peak daily
consumption of Alexander's water system.
(C) Alexander further agrees to restrict its area growth by annexation to twenty percent
(20 %) of its extraterritorial planning area, as of the date of this Agreement, for the first five (5)
years of the cotitract; to fifty percent (50 %) for the second five (5) years; and to one hundred percent
(100 %) after ten years. Alexander's extraterritorial area is described in Exhibit A to this Agreement.
16. This Agreement may be terminated by Little Rock or Water Works if Alexander fails
to fully comply with its terms and provisions. Termination of water service may occur only after
actual notice is given of the nature of the breach.
17. All notices hereunder shall be in writing and shall be deemed to have been duly given
when sent by registered or certified mail, postage prepaid, as follows:
If to Little Rock:
Little Rock Municipal Water Works
Post Office Box 1789 AND
Little Rock, Arkansas 72203
Attention: Waterworks Manager
If to Alexander:
City of Alexander
City Hall
Alexander, Arkansas 72002
Attention: Mayor
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City of Little Rock
City Hall, 500 West Markham
Little Rock, Arkansas 72201
Attention: City Manager
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18. Alexander ag* to abide by the rules and regulationsoceming the consumption of
water published from time to time by the Board of Water Works Commissioners of the City of Little
Rock, Arkansas; and the rules and regulations concerning operation, maintenance and protection of
public water supplies published from time to time by the Arkansas Department of Health.
19. The parties recognize that furnishing potable water is a governmental function and this
Agreement shall be performed by the parties hereto in their governmental capacity.
20. The parties agree that in the event any term or provision of this Agreement shall be held
to be invalid, illegal or unenforceable, all other terms and provisions of this Agreement shall remain
in full force and effect, and this Agreement shall be construed as if not containing the particular
provision or provisions held to be invalid.
21. Water Works agrees to the terms of this Agreement which have been accepted and.
approved by the Board of Water Works Commissioners of the City of Little Rock, Arkansas, and
the Board of Directors of the City of Little Rock, as evidenced by the signatures affixed hereto.
22. Little Rock retains the unilateral right to amend the terms of this Agreement to reflect
that water service to Alexander shall be provided to a point of delivery in the form of a meter station
at or near the Little Rock city limits. Little Rock shall provide notice to Alexander two (2) years in
advance of exercising this provision.
In the event that Little Rock exercises this provision, Alexander shall at its expense: (a)
obtain necessary easements and construct a transmission line between Alexander and the point of
delivery; (b) obtain a site for and construct a meter station at the point of delivery containing a flow
meter or meters and other necessary equipment required by and acceptable to Water Works; and
(c) construct and install pipelines, valves, hydrants, and appurtenant equipment required by and
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acceptable to Water Wo *(the "Equipment "); (d) purchase all Oes, pipelines, hydrants, and
appurtenant equipment within Alexander's city limits from Water Works.
The parties agree that the design and materials used in the construction and installation of 389
the meter station and Equipment shall conform to specifications of Water Works.
The parties further agree that all easements, or interests in real property, of any nature
whatsoever, for the meter station and Equipment shall be acceptable to Water Works.
Alexander covenants and agrees that its water system shall be designed and constructed to
maintain adequate storage for all of its customers' needs, including, but not limited to, peak
customer demands, fire flows, and interruption of supply.
23. This Agreement shall guarantee unfettered right of Water Works' personnel to have
access to the facilities at any time for any purpose deemed necessary by Water Works.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement:
Attest:
Secretary
Attest:
City Clerk
BOARD OF WATER WORKS
COMMISSIONERS OF THE CITY
OF LITTLE ROCK, ARKANSAS
Un
Chairman
CITY OF LITTLE ROCK, ARKANSAS
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Mayor
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CITY OF ALEXANDER, ARKANSAS
Attest:
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City Clerk
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