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<br />storage facility to the San Marcos system. <br /> <br />These mains will be <br /> <br />designed, <br /> <br />constructed <br /> <br />and <br /> <br />paid <br /> <br />for by <br /> <br />San Marcos, <br /> <br />and <br /> <br />owned <br /> <br />entirely by the City of San Marcos. <br /> <br />STORAGE FACILITY <br /> <br />As mentioned above, the City of San Marcos intends to construct a <br /> <br />storage facility at the intersection of Kolenberg and IH-35. <br /> <br />It <br /> <br />will <br /> <br />be <br /> <br />San <br /> <br />Marcos' <br /> <br />responsibility <br /> <br />to <br /> <br />acquire <br /> <br />the <br /> <br />property <br /> <br />necessary for the storage facility and to pay for its design, <br /> <br />construction, <br /> <br />repair and maintenance, <br /> <br />as well as the costs of <br /> <br />testing <br /> <br />the <br /> <br />tanks. <br /> <br />The <br /> <br />facility <br /> <br />shall <br /> <br />be <br /> <br />constructed <br /> <br />with <br /> <br />sufficient size to handle the base load requirements of the City <br /> <br />of San Marcos. <br /> <br />At the inlet valve of the storage facility, a <br /> <br />meter will be installed to measure the treated water which will be <br /> <br />delivered to the facility by New Braunfels. <br /> <br />The meter will be <br /> <br />placed at this location because <br /> <br />New Braunfels intends to use its <br /> <br />transmission mains as part of <br /> <br />its distribution system in the <br /> <br />northern section of their water system. <br /> <br />San Marcos will pay of <br /> <br />the cost <br /> <br />of <br /> <br />the meter, <br /> <br />its maintenance and repair, <br /> <br />and both <br /> <br />parties will have the right to inspect and test the meter at its <br /> <br />expense. <br /> <br />OPERATIONS <br /> <br />COST OF SERVICE <br /> <br />In general, the cost of the treatment of the surface water will be <br />based on the direct expenses incurred to operate the treatment <br /> <br />facility. <br /> <br />As such, New Braunfels will be required to identify and <br /> <br />isolate those costs which are involved in that function. <br /> <br />These costs will include personnel, materials, chemicals, power, <br />equipment and vehicle maintenance, contract services, etc. which <br />