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HomeMy WebLinkAbout5272&J"'La X AN ORDINANCE FOR A CONTRACT WITH THE ARKANSAW WATER COMPANY IN CONNECTION WITH SECURING A SUPPLY OF WATER FOR THE CITY hND ITS INHABITANTS FROM ALUM FORK OF SALINE RIVER. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LIT`T'LE ROCK: Section 1. That the following contract between the City and Arkansaw Water Company is hereby entered into in furtherance of plans to secure a supply of water for the City and its inhabitants from a new source, and the said contract shall be signed on behalf of the City by the Mayor, attested by the City Clerk, with the Seal of the City: W Vii. rA .L FL n C T This contract, made by and between the City of Lit- tle Aock, in the State of Arkansas, herein termod *City", and Ark-ansaw Water Comp , a corporation organi * *d under the laws of the $ta +.e of +Arkans*s, herein t+erzed *Companyv, WHJM69 it i s desired by the parties hereto to se- cure a new source of water to be distributed by the Coat gy to its customers in the cities of Little Rock, North Little ngock, and vicinities; ando KRAUS, surveys have been made by the City that show it is f*asibl* to secure water for tll�tcse purposes from an impounded grater reservoir on Alas Fork of Caline diver, in ff,ali,.ne County, Arktras ia> and, WROMASp the preiiainar * lanF; Iave been prepared by the City for such reservoir, damp and onk continuous pip* linre, with emvity flow of tie water from said reservoir to the er4myr s settling basins, all to be construct4d at an *stiiated cast not exceeding Three lillion Fivo hundred Thous. and Dollars � 'k�,�t3, �t�Q}, send, t'�. R AE', it ib contompl toed th t the City car, setlw* f- ds for th -e construction of such ispoundiny, r+eservsi r. its data # end continuous .pipe line# by E, free Brent from i.!,,.e United St tes Goveriizent of forty-five r =er cent (4504) of the cost, and a loon from the United f6tutez Govor ek t Virough the Pub- lie York Ad.Ani tration of fifty-five f er cent (55) of the IMIN COMACT costs the legit r not to exceed One llion Nine Hundred amd 2►mty-five Thousand r,011cm; ('vI'lv9P5,t000)p to bear four per cent (4%) interest, payable se ti- annu&lly, V',�_,,e total princi- pal and interest in each year to be payable ccording to the following scheduUt U" 100.0000. M9 100,080. 1940 100,120. 1941 1000120. 1942 100,080. 194Z 100,000. 1944 990880. 1945 990720. 1946 990520. 1947 100 X280. 1948 99j960. 1949 990600. 1950 990200. 1951 991760. 1952 100,240. 1953 990640. 1954 990000. 1956 1000V20. 1956 99,520. 1957 99p680. 1958 99,760. 1959 992760. 1 X60 990680. CONTRACT YEAR MOUNT PAYABLE 1961 99.9520 1962 99$280. 1963 99,960. 1964 99,520. 1965 100,000. 1966 99p360. 1967 99,640. 1968 99,800. 1969 990880. 1970 990760. 1971 97,560. 1972 9f,0320. 1973 92,030. 1974 90,760. 1975 88,04,00. #3 And, WHEREAS, it is further contemplated that should the United States Government make the grant only, and not the loan, then the City may obtain from other sources a loan not to exceed One Million Nine Hundred and Twenty-five Thousand Dollars (61..925,000)., secured by revenue bonds, in order to carry out the projects NOW* THEELFOREO to carry out the project if the grant and loan are made by the United States Government through the Public Works Administration, or if the grant is made by the United States Government through the Public Works Adminis- tration and the balance of the fund is obtained. through the sale of revenue bonds to others., the parties hereto agree as follows: l.. VIO City shall: :t its OWn cost and ex ense# a*— quire all necessary land, rights-of-way and water rightz an6 shall construct and complete &nd pay for the damp reservoir and continuous pipe lire with gravity flaw of the watery from said reservoir to the Company's settling basins# substantial- ly according to the plans and specifications made therefor by the Engineer for the City, copy of which hes been authern -. tio&tod by the Clem of the City anal -Lieliveree4 to the Company before the making of tbis agreement. 2• The Compreny h4.ve the right to and z4hall supply all users of such water* if any industry located outside of the city" limits of Little hoar should desire water and the Company in any instance should consider thy-: t it could not *f- ford to supply such industry with Filtered grater at the ss- tablishod rates# the City stem hsve the right to supply any such consumer with filtered eater, and to connect its pipes theereefor with tlLe pipes of the Company at � point and with the connections to be reasonably designated and s pproyed. by the Company, coy sideeri.rz V-0 location of the industry; and for the grater so taken from this pipes of the Company the (Aty shall p&3r to the Company therefor according to the Companyr s schedule of r tos in force in the City of Little Roc`c at the time. It is contemplated Vy the parties that service connac- ti.ons with the pipe line from the City's reservoir to the Company's settling basins are undees ,rabl. ,,, but that tie gar- ties have the right to permit ,.uch at v i ces and in vituation.s C"VoTaACT 4W #5 where, the City and the Co: ptny consider then unobjectionabl*1 the Cozpnny to 'Nell the unfilt*rad vi,,-,tor delivorfnj tlrl,refrozv and credit the City with the quantity of i�,uch *ater Pa thotwll it h&d been delivered by the City to the Company's settling basin$j aad it In any instance the Company conviders vny connoc U-an 1Ind omp-p►y objeew tI,Qr.1-'1blev the City ahall t rit_,,bt to permit zuch conn*o-tion #rd to deliver the unfiltered water V-'ten therefro to con rworsp p, air g the Company th*refor ono-b lf cent -,',sr one thousond 1, :3C gallone le 6z than its rbt*s for eupplying Tilt ored water in the City of Little look; the V"ity to have credit for the jutntity of such vater an though It had been delivered by it to the Co—� peny at the Company'r- settlinC-, bosinso The Company shall be entitled to roceive and the City' deliver to the Company, at its aettling, basins ar afore acid, all ureter needed by the Co;mpany for its cur. use and to sup p-ly AV, eonsixiors in thv Cities of Little Locic# North Little Rock# zi-nd vicinities; thpt supplied to all con2uaer-z to be trented end filtered, *Ycept that distributed before it. rerchez the Cor-,panyla settling besins at provided In arbgraph .7, hereofo 4* The Company shall pay to the City annually for a portoaf not 1,o exceed thirty-eight (M) yo*rsp beginning when still: dal, reservoir and pipe line are complotod, and 4� SUffiCient supply of water is available for delivery to the Coo ny &t Its settlins, basins ba hereinbefors described$ to supply all of its consuiersp the am of One Hundred Vtousand Ylve RwWred Dollbro (tloovlwo.00) 0 such tnxival amounts to to paid in equal quarter-yearly Installments in ;Pdvan**,O end being prediested upon the City obtaining both the rant End: the loan hereir described from the United Etates Government throuch the Public Works Jidministrationo If the asount of said 1"n to the City is less then On* AIlion Nine hundred und Tent -fire Thousand Doll re (tl#925jOO4)jp tl'On the 8.-40unt to be pa annum illy by the Cotpany to 'the Cityp r-s providled in this partt-Taph,# is ll. be 10 CONS 14 oft #6 proportionately educed. On the ot.)%er hand, if the funds neceasuT are obtained it pert by a grant from th�e United E"Utes Uovernitert Vircuf,h the Public Wor1es 4dduiniztrvtion _snd in. part from amounts derived from the zale of revenue bonds to oth. r if the money borro�*d by the City to Complete Vie project for thick revenue bonds ire i,,sued by It Is One gi-Ilion Nine Hundred T%oenty-five 'Molizend Dollars U1.9 5,000); Uhe Co: olany will pay the City One Jiunered Thouracrd Five Hundred Dollars (41000500,00) yearly until such bon4s are Trtaid in fulli if t),A rrincipal of suah loan is ie s, vie &-yinual p,,ay'ments by Vie (;ozwp.&,.ny il-all be ; roportionotely, rt,,.4duced; pf--yments to be 4z.de in e � ual -,,uartor-yearly installiments co*aenclng throe ,aor.tha after beginning of the delivery of voter from the nev source of supply -11;o to constructed by +J_e City to Vie Co-apanyvt settling basins as provided for herein, During thf- continuance of this Con- truct the Comp*ny rolrall h&vo no -Yight to, offset t,,eairvt ary such psymont any wummt that aay be owing it by the City. 5* In r,Y ddition to the ps,7--am to tl,* City berelnlwfore set forV.# ­.be Com*.,any -lb-&-11 pay for ,an 4 hove charge of tt* for ,lial maintenente and oporatton of t) ,o no roservoirp dam and pipe line# vich talntenanee consisting of tre-%tm,ont of the lxate;, cutting gresss patrollin Tg tors hed and pip* linep *.nd ording,,'ry reps irs; and the Company shfill, like ts* have c+ trot of the f-lirface of tll:e rater In the reservoir vAt" the rigbt to regultte or prohlbit boating# fi&. i> a, swiaminf# or znny other such ute$# Providodj �'ovovorp •holt Pt UVI�%, election of the City, (tvl,,Jenced b-, ninety (00) d&YF tritterl niAlce from the City �.o ° he Co-.peny# the City shall have the right to tt",ce over said maintenanee dutilr_,z i ccntrol and r-ay all Vo costs tZereof; and in skint event tLe Colupany qhall pay to the City the cidditior, aL zsum of &Ax Ltxty-vix &,nd 61100 Dollars (il,666.66) per mox-Ah so long as Vie C-ity disah&rges such dutiesp vtkieh the parties es ti. zato vIll be the cost to ti's City of COUTRACT OW #7 zueh cont"10 noraal maintenz:$nce and ordinary repairs, 60 The City shall -za-ke Troiptly, &t it o*n expense, &" re,twirs needed in t aid reservoir, d and Pipe line# cther thar. the ordiilsry reprkirs th-Et sE.,Lll be by V.7"e Coarmny as horeinabove, prr-vid*dl and if the City tbker over the Control &nd muintenanto of tte re ervoir, d&x vnd p1pe line as herein provideel't It sl ll Promptly 'tak* any ordt-<,try repairs tbrr,,t iey be needed And shall protaptly and proporl► rorfors all duties co=ected Atli �uch control and maintenanae# 7* The (�c-.ipany shall telke from 3&id. it.'z Pounding reze.-Aroir constructed by the 'City all water needed by the Cozpany for Its o�n uve and to supply Little FoC'.k* North Little Roc"�.'O 6nd all e6jveent territory# mien z-ach supply is re&sonrbly avail- able, B. TI i I I le prrtiez understand &rid ,,,.,4-ree t V* Plans, for the new reservoir and jape line do not# ;1nd the eozplet�*d work will not# ,',srrjvide t, reserve r;,P�ter sw-lply fr*,,n the rev source on Completion; and the Compnny shall eontinuourly -Saintain Its ;-rezeiat p.u.-AlAng plantp teces tort es &-nd tuxlliary water ,�,ixpply A-orlers in t usefiij tnd opertting cox-nditions, a� a standby for ndditional <; ter su-,gily from the Arkansas River and Co piny wells for tl",e ule of it eurtci.aers in the event of interrup.. tion in ".he from tine new stl rce,, imtil such tine at the Coarany or the City may provide the necepsary reserve zu;�ply either by a duplication of t} ,le pipe lire from the new reservoir to the Co pony' settlinr, bz#sinz# or other venuns vl:t-lt 7.111 CONT14ACT #8 provide an ade-.Nate reserve 3uPply of water avail ablo,at all A-.,umping ti!aesp the n reby elimiitting I, e nece:i 5ity for said p plant# accessories and auxillbry water supply rorxs; and it is found an a f&etv #M. egr**d to by the I*rties �,,ereto,, that the laintemnee of said pumping pUnt and said ottv r rork,s ass, a sta,ndby is of ­rite ", porttv.ace to the City and th-e Cori ,parxy In order to assure an adequate supply of water at all times or venerol uses si.nd for the extinguishment of fires,, as proteetion aj, aL zt the sup f:-,ly I-f 'water from tbe now source beirW Interruptod or Insufficients ind this ,,rovision is of the of this c-.­�ntruct, P* There shall be installed by the City && ---, r*rt of this project a proper metisuring device adjoicent to Vie C*,,ap*nyts i ettling btsins to mea!vure ttip, water delivered to th.-O COrqany by the City. The City shall have the to inspect t is dovlce$ and both pasties to be present. at thae meter readings, For Oe annual payments to t"City to be _,u&ide by the Company as provided in pargrruphl. 4 he"of,, tkX.a Co{zq,)&ny bo ent,tled to reeeive in each yearly ppriod after �&riico from the City to the Coo any as provided for in this c-: ntract is aotes monce-do two billior fivo hundred Mlion (PpS00#000,#0001-0) gallors 4_ f "r- a t e r and for Ul *titer delivered to it by the City In excess thereof in any such ysa-urly period th* Co 1J'+ Shall pay to the City fin addAtionv-1 of three and one-half cents for eacb one thouzaria (1#000) gallonal but from sue h aux so r*yatile to t'ir;* City by the Company for such excess rater in each yetrly period thero st;x1l lbe dediieted by the Compeny f,4n 'e,-.20unt equal to the difference Let,'een t1to siAx *r Eigh+WY-five Thousr-,nd Six Hundred Dollars ($85#600) and the 6nnual asount r*r,1x1red to be paid to the City t.3 provided for in parvgraph 4 herooft Each :' ACT rn yearly period : all ztGnd *lone In ":.tic Coziputtiticn of the respective t � �,ywrts end credits rtrovided for in V s r grs h, and V- -Iall not be cu tr ,.etivea zG . uch payments and credit's carry over into any future years, M On lotting of the contract for corstrt ction of the b e -aCrvoirp d z eared pie liner folloting approval of the loan ndlcr gr;,.rt by the Public Tor` ,s td inistreti.Cn of th* United C t tess t1ac Company shall ray for t)�e City Fifteen Thou and Dollar (415600) in cash, on ordor of t•;!-:e ayor. III* The Company "ill cooperate with the City in the con- summation of rzaid 1. ro jo-ct# :And at its ovu expense lend such ;Ads advice end service to the Cavity as Uie Cotaipsny Adeeutz proporl t e tat juirement„ k,1,c over f to t',,'o so# cr ras ns!..bil ty for the plar's or work doge V.i i eun or . ...a No y",ents made by the Compony to the City on said roJocts a .gain prov dtod "ter,* shall be -Aritten up, ta a capit. i tnvet-t:aent of they Company* but shall be included in its oper6ting expenses. 126 • This contract : J 1I not oper&te as t, valver by the City of my right the City may now have to purchnse th* property of s ter C:e ny at a date subsov uent to the date of gals contract, if it should so desire* but any such 'arch#.se by the C=ity of the property of they C oupany, or a substantial pert CONTBACT do #10 thertof# SIM11 relieve the COMParY of all of its liabilities under t!;%A.s c-=tract, tW this eontrket shall, teralv&te, Nor al-all V-is cortract operate za n r,.-Av*r of Rny rit;hts V7e C-o,nYpany mey h&v* unt.'er existing franchlaos *r indletermiOtte p��risltz. 14o 6hMad thS 104n for completion of the project be m�:d,q by the Public rorks AdmInistration. of -he 11nited Ltat*x Gove. ment rn as hereinWore described, then as security to it End subsequent holders of the bond& evldeneir4 said loan by it againSt der aluit of the Company In paying the City the AmoUnt dueo In fqny year :luring t1v�, *or-tinuarce of this contrcat,, described in j*,ragraph 4# the Comptr,y xhall deposit with so-so bark in the City of Little Lock or in the City of her yofkv de!Ignated by Ltid Public ,ors Adminis- trationp One hundred TJ1-Aou,.,i&nd Dollvrs (k411000,000) par value of bcnds of the United StPtez t;; -Iverrvipertj or bonds tt;e principal of �'Jeh is guaranteed by the United Ctttes Govornment; such dsp�-sit of bonds to be mt,de in tit- follovinr amounts in t.�'. o Afol"Aowlar, ye &rz; lamodiaUly gfter comgletion of the dap reservoir �nd, .1 ,,.ipe line and delivery of thze writer by the City to , b e Co:°spa"t Fifteen Thousand Ikillars and bt the beginning of each Yep >r tip to w,nd Including, seventeen (17) years thereofter# Five Th.ousan-41, Dollars 45,00006 6uch depesit of bf�nda to be iiv-Ade rith ar; appropriate inztruzant of pladye# executed by the Comp :tom: providini: t14 at tte ir-capary default in any -uch payment due the C"ityo sufficiont ntviber of vtid banes to mike good nich default hall 11.0 sold by the b&nk in which deposited, xt public sale after rive i2c­-s public notice., The inte.rest on said bonds *o 44eposited by the Co,7,.pany under Aedge accruirgg and paid after wtuch deposit by the Co:'I,pany twill belong to und be turrod over to the Co,-apany by such bar,X -Ahen collectedo If any luch deposited bond matures t=nd iz psid **Ale in the depceit aforesaid* on substituting other Govern- C 'ACT #11 meet bondas or bLn -J the principal of icy In guartnteed by the United k i to a Governme t# of par v lue er1ual to the ti.moth of cash". received by th# depositary, 5uell. ez h shall be Paid to -Lb C'o pany. AnY 5IJ s thvt may be in raid deposit can t r�lne- tion of this c r tract 'be returnk.d to ti t* o,,-, r;riy, Az the annual 1..'*ymerts by the r:: Mr ny to q,re City horein pr� vt ed for to zftet t a :t-; Aurities of 1 =ri.neipn.l �r..d inter- est of the rovenue bonds to he 1 wued: by the + ity will o,x � t exceed t e a.aount ne cee dry to ray a uch msturiti s in all or nearly all t.-e years, Ovch One Thwwen d Dollars (i. fo ) tcctt�uie�ted by the City fro* suety ezeers parjeilt o cfter payment o.f leglti to expeYISOS inCt a tel to he payzent of said revenue bonds, a al.l be l*poa #.ted by it it3 the said bate'# :,..nd Lr. ereu on bonds in th t too .t at 1wr &hall be released from the dep*s t and plad e arW rr't- ra ed to a Co p r. li evi +�t e: y euza ttut may j 0,*iag by the Cor parry to they City for excess water token by the CO-1; a ny from *he City is dceacri,taed ir. pbrag'raph 3 hereof, after all. of A r credits tlfe Co pany may ;:eve ,- eiU; t such ezcesv water c s rte swell be deposited by the tio2 ith the depo it: ry of :-"Azch Govornment bonds„ bnd th.oreupon t x�n v of * .e per value equal to the mount of such cash deposited chtll be reset e+d frox said de -c T .t nd pledge and returned to the Cc.pony. CV-Sh :-o deposited in lieu of bonds,, ; s provided for in this ,part., rap.hp 2hall be ender iend subject to the pledge* in h 3 manner and to too g ate extent reiot ed by i ;wh Otai ds ited. t R. 2 • This contract ial for One ; r'iod of thi,lrt ° -i-AF (.!Q ye .re from ,,he date the first q-.iarterly payment for eater is due fro,n the Coy. -,perry to the City# St provided in T4 :r raph 4 !': reof -nd until ,'aid losn isa paidl but termint,te if before the oxpi.ra- tior of t%o t tY P Yt in fll the lopin.. ."rr covpleti,on of the CONTRACT project herethbota" dezerlbedj and a� „ntr&et xh&,111 bo bir4irgs on tie rot;*etivo 5ucc*ssors &nd tasigns of Use per- tios horoto* 11-M This contract a(ball be binding on VIM P"009 *hOn all of Its r"Itals cnd provisio AV* b0on tPPr*"d by the Deportoont of Pnblir. Utilities of the State of Arkanx&a# and *r-ten t proper officials of Use P�bllc fors i-A-mintstration of trio U,,r.,jt4,d states riav-, appromed the final pl*n3 for gon- struction of tbo "serVotro d-am r.,-Ad pipe lin*; it bed ne ur4er- ,vtoor. tt-at tho firAl 16MS t't-lall be rmbstantially the seze eat Vhle preltainary planso WITNUS our hards &” osalso this Ulrd 4a7 of Ceptember, M% (E-14) Attezt: CITY Or 14ITTL-Ir 11R=0 by, *CITY " "rula'Aw WATM COAPANIM WC 0 9 P P1, m x 0 APPROVEDO tntv Vi=e pt .-0 19'35. DEPART-11WT OF' PU -,UC O T.`''-E MAT IS OF ARKIV.-,Ali Section 2. It is found that the Arkansas River, as the present source of supply of water for the City and its inhabitants, is unsatisfactory, in that it often carries large salt content, and that the available sources of water from wells to dilute it are hard, making it necessary, when it can be reasonably afforded, that water for the City and its inhabitants be secured from a new source; and it is further found that in pursuance to Acts of the Congress of the United States, the Public YTorks Administration is author- ized to make a grant of forty -five (45) per cent of the cost of public vorks, and a loan on liberal terms of fifty -five (55) per cent of the cost thereof; and that the i,ater that can be obtained from an impounding reservoir on Alum Fork of Saline River is soft and in all respects exceedingly good for supplying the City and its inhabitants; and that applica- tions for grants and loans to the Public v "forks Administration for Torks of that nature must be filed immediately; and it is further found that ty,ithout the Government aid hereinbefore described it would be impracticable to secure water from said new source; and the immediate operation of this ordinance being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared and this Ordinance shall take effect and be in force from and after its passa e. �e PASSED: 3 — , 1935 APPROVE (SEAL) Mayor. ATTEST • --'' City Clerk. RECORDED: (SEAL)