Res 1985-019 - Laserfiche WebLink

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Letter to Mr. Gonzales -2- April 20, 1984 Phases of the project. After the bids are received and opened, the University may, at its option, cancel the agreement by written notice to the City within 10 days of the date of the bid opening. However, if the University fails to cancel within 10 days, the project will proceed and the City will contract with the lowest and best bidder. At the time of contract the University will pay the City one-half the cost of Phase I of the project or $15,000.00, whichever is less. The City will then be responsible for the remaining payment due the successful bidder for Phase 1. If the engineering study, test hole, and pump test in Phase I of the project indicate that the wells on the Sessoms Drive property would not be capable of producing as much water as the City's present wells near Comanche Street, the City may elect to terminate this agreement by giving the University written notice within 15 days' of the date of the Phase I report. In that event, neither party will owe any further obligation to the other. If, on the other hand, the engineering study, test hole, and pump test indicate that wells on the Sessoms Drive property will produce as much water as the City's present wells, the project will pro- ceed to Phase II, and the successful bidder will construct the wells on the Sessoms Drive property. The University will, within a reasonable time, pay the City an amount equal to the bid submitted by the successful bidder, less the amount paid the bidder by the University for Phase I of the project. It is agreed, however, that the maximum total pay- ment from the University under this agreement shall not exceed $175,000.00. 3. At the time it receives the payment from the Uni- versity described immediately above, the City will convey to the University, by general warranty deed, its Comanche Street property. This is the identical tract described in a deed from the San Marcos Baptist Academy to the City of San Marcos recorded in Volume 217, Pages 232-234, Hays County Deed Records, and is further shown on the attached and incorporated exhibit. The University's payments described above constitute the consideration for this conveyance. The City may continue to use the water pumps on the land conveyed to the University for a reasonable time. However, after six months from the date of the con- veyance, the University may require that the City abandon the use of the wells on the Comanche Street property.