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HomeMy WebLinkAboutResolution #3393~ , N • ~ . +.` f ~ ~ I RESOLUTION NO. 3393 A RESOLUTION APPROVING AN AMENDED WATER PURCHASE CONTRACT BETWEEN THE CITY OF CANTON AND THE CITY OF CUBA AND AUTHORIZING AND DIRECTING THE MAYOR AND CITY CLERK OF THE CITY OF CANTON TO EXECUTE SAID CONTRACT ON BEHALF OF THE CITY OF CANTON. WHEREAS, the City of Cuba, Illinois has entered into negotiations with the City of Canton, Illinois, relative to the sale of water by the City of Canton to the City of Cuba; and WHEREAS, the City Council of the City of Canton, Illinois has reviewed the terms of the proposed Amended Water Purchase Contract, a copy of which is attached hereto and made a part hereof as Exhibit A; and WHEREAS, the City Council of the City of Canton, Illinois has determined that it is desirable and in the best interest of the City of Canton to approve said Amended Water Purchase Contract. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF CANTON, ILLINOIS, AS FOLLOWS: 1. That the Amended Water Purchase Contract between the City of Canton and the City of Cuba, which is attached hereto and made a part hereof as Exhibit A, is hereby approved in the form attached as Exhibit A, said Contract to be subject to and effective pursuant to the terms and conditions set forth therein. 2. That the Mayor and the City Clerk of the City of Canton, Illinois are hereby authorized and directed to execute said Contract on behalf of the City of Canton. 3. That this Resolution shall be in full force and effect immediately upon its passage by the City Council of the City of Canton, Illinois and approval by the Mayor thereof. -1- . .~ ^ , ~, PASSED by the City Council of the City of Canton, Illinois at a regular meeting this 2nd day of September 1997 upon a roll call vote as follows: AYES: Aldermen Shores, May, Nidiffer, Meade, Sarff, Molleck, Hartford, NAYS: None. ABSENT : Alderman Phillips , APPROVED: r Dona d E. Edwards Mayor ATTEST: P ~ ~~~~ Nanc S. Whites Ci y Clerk -2- :_ ~ Position S • ~ 'USDA-FHA ' Fbrm FHA 442-30 (Rev. 4-19-72) AMENDED WATER PURCHASE CONTRACT This contract for the sale and purchase of water is entered into as of the day of Seatember 19 97 ,between the City of Canton, an Illinois Municipal Corporation (Address) , hereinafter referred to as the "Seller" and the C1 ty Of Cuba, an I11 i not s Municipal Corporation (Address) hereinafter referred to as the "Purchaser", WITNESSETH: Whereas, the Purchaser is organized and established under the provisions of an Act to provide for the ~fc~ incorporation of villages approved ,A ril 10, 1872 and olerates Xa6iIA( "~tA6Xla~p~(r1~Xa4K~Sd4~~1f~t3~l6~KcXlfDl(~(~ water supply distribution system serving water users within the area described in plans now on file in the office of the Purchaser and to accomplish this purpose, the Purchaser will require a supply of treated water, and Whereas, the Seller owns and operates a water supply distribution system with a capacity currently capable of serving the present customers of the Seller's system and the estimated number of water users to be served by the said Purchaser as shown in the plans of the system now on file in the office of the Purchaser, and Whereas, by Resolution No. 974 enacted on the 7th day of December 19 82 by the Seller, the sale of water to the Purchaser in accordance with the provisions of 14fWC46itd( thi S contract was approved, and the execution of this contract carrying out the said contract by the Mayor and attested by the ~3~dE~iy, was duly authorized, and er whereas, by Resolution of the City Counci 1 of the Purchaser, enacted on the 15th day of December ,19 82 , the purchase of water from the Seller in accordance with the terms set forth in 1aihXt thl S Contract was approved, and the execution of this contract by the Mayor and attested by the ~ was duly authorized; C er Now, therefore, in consideration of the foregoing and the mutual agreements hereinafter set forth, A. The Seller Agrees: 1. (Quality and Quantity) To furnish the Purchaser at the point of delivery hereinafter specified, during the term of this contract or any renewal or extension thereof, potable treated water meeting applicable purity standards of the State of Illinois and United States of America for use by consumers of Purchaser. in such quantity as may be required by the Purchaser ](~Ql6k~ltlt8tldxxxxxxxxxxxx o~]'dt~~X?G1fdQlt. {~ U. 5. GOVERNMENT PRINTING OFFICE: 1978-665-052/23 FHA 442-30 (Rev. 4-19-72) • 7 ' . 2. (Point of Deliverj+ and Pressure) That water will be furnished et a reasonably constant pressure calculated at 45PSI from an existing eight inch mein supply at a point located at the junction of Fulton County Routes 5 and 22. sLazea aoove If a greater pressure than that KOQfb)[DI~(~1it0aY~bYd(at the point of delivery is required by the Purchaser, the cost of providing such greater pressure shell be borne by the Purchaser. Emergency failures of pressure or supply due to main supply line breaks, power failure, Elood, fire and use of water to fight fire, earthquake or other catastrophe shall excuse the Seller from this provision for such reasonable period of time as may be necessary to restore service. 3. (Metering Equipment) To XiYdfilklf)(Xd~1tdQX operate, X~2lXdl~(lltail4J(YQ(Xt?~XdQiiJ(X>If~ at point of delivery, the necessary metering equipment, including a meter house or pit, and required devipes of standard type for properly measuring the quantity of water delivered to the Purchaser and to calibrate such metering equipment whenever requested by the Purchaser but not more frequently than once every twelve (12) months. A meter registering not more than two percent (2%) above or below the test result shall be deemed to be accurate. The previous readings of any meter disclosed by test to be inaccurate shall be corrected for the 51 X months previous to such test in accordance with the percentage of inaccutacy found by such tests. If any meter fails to register for any period, the amount of water furnished during such period shall be deemed to be the amount of water delivered in the corresponding period immediately prior to the failure, unless Seller and Purchaser shall agree upon a different amount. The metering equipment shall be read on a monthly basis . An appropriate official of the Purchaser at all reasonable times shall have access to the meter for the purpose of verifying its readings. 4. (Billing Procedure) To furnish the Purchaser at the above address not later than the 20th day of each month, with an itemized statement of the amount of water furnished the Purchaser during the preceding month. ~(XXTIf~(R~Kd(s>~I(X~X~FX 71XX(Xd6~(~iX3H~(1C~dldfdGatX~ti(ycT~1~161jtJCt~t)9E1d~x~6XX3~trxXi~XpE~Ex x x x x x x x x x~R~~~x,~,Y~X d~itflPdf~CXdcYw!id6i~db~XX~dfiX~fiif ~S~ii~Yi~X~d4~€lt!Xd4~t'f~: ~cx~i6t smcdaK> s~d1~>sac>K4~x4c>~>~~x-zkb~adkxb~c:bx~c MiId6lW(ix k~ ~14i(igdliitK 7WcX~c l~yY~tMMOpcl~ll~xX~Xp~t~kXU(J~tlc&t~t9f x x x x x x x x xx x x x x x x x x x x~~g~ygtX X~Qlt34i( ~IP616Il. ~lcX~c 2tAlrft#~KXOI>~c~eSD61IKXdWCJt~fitiifc~ot~4iAC~6K ~4161f2IX B. The Purchaser Agrees: 1. (Rates and Payment Date) To pay Seller, not later than the 20th day of the following month, for water delivered in accordance with the water rate schedule presently existing under an ordinance of the City of Canton, a copy of the schedule being attached as Exhibit A to this contract, as the same may from time to time be amended or changed. Seller agrees that at no time will rates for water furnished purchaser exceed rates charged to general public consumers residing within the City of Canton. Purchaser understands that the schedule of rates for water delivered under the terms of this contract are subject to modification from time to time. However, any increase or decrease in said rates shall be based on a demonstrable increase or de- crease in the costs of production of water. Purchaser agrees not to sell water to customers outside its corporate limits without first obtaining the written consent of Seller for each proposed sale. 2. (Connection Fee) To pay as an agreed cost, a connection fee to connect the Seller's system with the system Seller's tap fee effective May 1, 1982 of the Purchaser, It~X~l6Xi(xxxxxxxxxxxxxxxx~g which shall covet any and all costs of the Seller for installation of the metering equipment and appurtenances r~ ' ' 3. To furnish and install at its own expense at point of delivery specified in Section A 2 above, the necessary metering equipment, including a meter house or pit, and required devices of standard type for propperly measuring the quantity of water delivered to Purchaser. Meter to be approved by Seller. C. It is further mutually agreed between the Seller and the Purchaser as follows: 1. (Tenn of Contract) That this contract shall extend for a term of S1 Xty-f 1 Ve years from the date of the initial delivery of any water as shown by the first bill submitted by the Seller to the Purchaser and, thereafter may be renewed or extended for such term, or terms, as may be agreed upon by the Seller and Purchaser. 2. (Delivery of Water) That thirty days prior to the estimated date of completion of construction of the Purchaser's water supply distribution system, the Purchaser will notify the Seller in writing the date for the initial delivery of water. 3. (Water for Testing) When requested by the Purchaser the Seller will make available to the contractor at the point of delivery, or other point reasonably close thereto, water sufficient for testing, flushing, and trench filling the system of the Purchaser during construction, irrespective of whether the metering equipment has been installed at that time, at,X rates in accordance with Seller's ordinance XI~tXa4-16N~(~D($ which will be paid by the contractor or, on his failure to pay, by the Purchaser. reasonably 4. (Failure to Deliver) That/the Seller will, at all times, operate and maintain its system in an efficient manner and will -take such action as may be ecessary to furnish the Purchaser with quantities of water required by the Purchaser. Temporary or partial failures to deliver water shall be remedied with all JRX '4dR dispatch. In the event of an extended shortage of water, or the supply of water available to the Seller is otherwise diminished over an extended period of time, the supply of water to Purchaser's consumers shall be reduced or diminished in the same ratio or proportion as the supply to Seller's consumers is reduced or diminished. reasonabl e 5. (Modification of Contract) 'XDf~t)tI(9(~fOdatlGx~X661~x7~6!(1%~tl(~ltDt~6~lk1~l[x0B(i(O~Htldli)b!(X~tlt9(XiC6rB(plAi$~~( x-~cl~x~xi~cxao-xac~rx~catsl~~dx~r~~a6y~axoaudcoulbta~tDax~txlc~cxtrdcxbcl~v~c~Cx x x x x x x x wx~~x~An~cxacxu~x~x ~dxcsxa~sexiiou~,t~c~tbckeclar~dxw9c~xbF>Qx~t~~bFx~x~;~cn~c~sl<xstaa~~xxHts~~tx~xgf ~x>~'~alxsa~>~sax~lwc4c~w~4~ J~BI9tl(~1(b1J~[0(IbJitkadKXdq(9p~1f0(X~iI1d~X9(q(4t1X4~lii~l(1>f9t)SKIQDGI(AOKXld1fOCXProvisions of this contract may be modified or altered by mutual agreement. 6. (Regulatory Agencies) That this contract is subject to such rules, regulations, or laws as may be applicable to similar agreements in this State and the Seller and Purchaser will collaborate in obtaining such permits, certificates, or the like, as may be required to comply therewith. 7. (Miscellaneous) That the construction of the water supply distribution system by the Purchaser is being financed by a loan made or insured by, and/or a grant from, the United States of America, acting through the Farmers Home Administra- tion of the United States Department of Agriculture, and the provisions hereof pertaining to the undertakings of the Purchaser are conditioned upon the approval, in writing, of the State Director of the Farmers Home Administration. 8. (Successor to the Purchaser) That in the event of any occurence rendering the Purchaser incapable of per- forming under this contract, any successor of the Purchaser, whether the result of legal process, assignment, or otherwise, shall succeed to the rights of the Purchaser hereunder. 9. The Purchaser agrees to pay for the installation of a main from the existing terminus of the City of Canton water main on West Hickory Street at the junction of Fulton County Routes 5 and 22 to connect the service to the present water system of the Purchaser. 10. The Seller agrees to acquire and bear the expense of all easements for the project required within the Seller's corporate limits and the Purchaser agrees to acquire and bear the expense of all easements required outside the corporate limits of the Seller. 11. This agreement is subject to the Purchaser receiving a commitment from Farmers Home Administration of the United States of America or other lender to finance the improvements contemplated by this agreement. In the event no commitment for financing is received for this project on or before December 31, 1984, then at the option of either party hereto, this agreement may be declared null and void by giving the other party notice in writing of the declaration. ~. ~ ~ In witness whereof, the parties hereto, acting under authority of their respective governing bodies, have caused this contract to be duly executed in three counterparts, each of which shall constitute an original. Seller: Attest: C1T ~Lr~P Attest: Secretary City of ton By Title Mayor Purchaser: City of Cuba By Title Mayor This contract is approved on behalf of the Farmers Home Administration this 19 By Title day of ~• :. '~ . EXHIBIT A Water Rate Schedule: Effective May 3, 1995, the minimum monthly charge for water services shall be Two Dollars Fifty Cents ($2.50). Effective May 1, 2005, the minimum monthly charge for water services shall be Two Dollars Seventy Cents ($2.70). In addition to such minimum charge, the following rates shall be charged for water actually used: AMOUNT USED PRICE PER 100 CU. FT. Effective May 3, 1995: For 100 cubic feet or portion thereof $1.20 Effective May 1, 2000: For 100 cubic feet or portion thereof 1.25 Effective May 1, 2005: For 100 cubic feet or portion thereof 1.35 Water Rate Amendments: In addition to the foregoing charges, the water rates shall be amended from time to time by City staff with prior Council approval to reflect the actual cost, including administrative expenses, of special electrical costs or expenses incurred by the City in the operation and maintenance of the City water well(s) at not to exceed twenty cents ($.20) per one hundred (100) cubic feet of water per well when in operation. Such actual costs shall be spread evenly and billed to City water customers in the same manner as the foregoing charges are spread and billed. Such special or extraordinary costs or expenses shall be immediately reduced or removed as the actual cost or expense to the City is reduced or removed, except that if a pump runs for fifty percent (50~) or more of a billing cycle, the surcharge shall be billed for the entire billing cycle.