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Res 1988-044
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Res 1988-044
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8/6/2007 11:29:05 AM
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8/6/2007 11:29:05 AM
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City Clerk
City Clerk - Document
Resolutions
City Clerk - Type
Lease
Number
1988-44
Date
4/11/1988
Volume Book
91
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<br />are a necessary part of the plant operation to treat surface <br /> <br />water. <br /> <br />There <br /> <br />are some costs, <br /> <br />while an essential part of the <br /> <br />treatment function, are indirectly involved and, therefore, will <br /> <br />.need some additional scrutiny. <br />these indirect costs: <br /> <br />The following is a list of some of <br /> <br />1. <br /> <br />General Administration - General <br /> <br />administrative <br /> <br />costs <br /> <br />are <br /> <br />those that are related to management and support personnel <br />which provide services to those staff which are actually <br /> <br />directly involved with the treatment of surface water. <br />Depreciation - Depreciation of vehicles and small equipment <br /> <br />2. <br /> <br />which <br /> <br />might <br /> <br />be <br /> <br />necessary <br /> <br />in <br /> <br />the <br /> <br />operation <br /> <br />would <br /> <br />be <br /> <br />a <br /> <br />reasonable cost item. <br /> <br />However, the depreciation of the plant <br /> <br />facility should be borne by both cities as part of the debt <br /> <br />services requirements. <br /> <br />3. <br /> <br />Hazard and Liability Insurances - Since New Braunfels will be <br />the primary operator of the facility, it will be inçumbent on <br /> <br />New Braunfels to obtain the hazard and liability insurance <br /> <br />for the project. <br /> <br />The City o£ San Marcos would be responsible <br /> <br />for its pro rata share of the costs of required insurance <br /> <br />policies. <br />These indirect costs could be billed to San Marcos on a flat <br /> <br />percentage amount or on an annual estimate basis each year <br /> <br />and subject to an annual review and adjustment. <br /> <br />In the event <br /> <br />that an annual estimate basis is utilized for indirect costs, <br /> <br />New Braunfels will provide an itemization of all indirect <br />cost as part of the annual audit. <br />
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