Ord 1985-117 - Laserfiche WebLink

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ARTICLE IV OPERATION AND MAINTENANCE A. ( 1) The District, the City and Storm Development acknowledge and agree that, to achieve economies of scale and the most efficient operation of water and wastewater facilities serving the District and the regional area, the water and wastewater system located within the District (other than any internal waste treatment and irrigation disposal system) and any regional facilities as described in the Service Plan shall be operated and maintained by the City, with water and wastewater services provided by the City to the property within the District. The beneficial interest in the regional facilities as described in the Service Plan and associated land and easements constructed or acquired by Storm Development shall be conveyed to the City upon completion by Storm Development and acceptance by the City of the construction of the regional facili ties.. The City shall then be responsible for operation and maintenance of the regional facilities at its expense. The rights of Storm Development in the capacity of the regional facilities assigned to it under this Agreement shall be and are hereby expressly reserved and Storm Development shall have exclusive ownership in perpetuity in such assigned capacity in the regional facilities. Storm Development's reservation of capacity shall be equal to the number of living unit equivalents purchased or constructed by Storm Development other than those constructed for the City, such living unit equivalents to be computed in accordance with the formulations in the Service Plan. The legal title of Storm Development in the regional facilities as described in the Service Plan shall transfer to the District on the date of disbursement of the proceeds of the sale of bonds by the District to reimburse Storm Development to the extent authorized by the Texas Water Commission for such facilities. (2) The District, the City and Storm Development agree that the water and wastewater system located within the District (the "District Facilities") shall be operated and maintained by the City through an agreement which shall be entered into between the City and Storm Development or the District, as appropriate. The District and the City shall immediately upon confirmation of the District begin to negotiate in good faith to complete the agreement. The District shall have the obligation to inspect all water and wastewater connections made in the District for compliance with the requirements of the Standard Plumbing Code and the rules and regulations of the Texas Water Commission. It is agreed that to the extent that there are easements or land owned or acquired by Storm Development on which facilities are located which benefit other water districts, such other districts shall pay Storm Development for the fair market value of the land in an amount equal to that other water district's pro-rata share of capacity received. It is understood and agreed by the parties that additional wells will not be installed on well sites within the District and dedicated to the City by Storm Development without the written permission of Storm Development, and that the safe yield of water for use of this District and the San Marcos Municipal Utility District No. 2 from wells on the property within the Dist~icts shall always be maintained at a minimum of 6346 gallons per minute. Such reservation of capacity is based upon the City's present criteria of 1.0 gallon per minute per living unit equivalent. Should City criteria change in the future or should the Land Plan be amended so as to provide for a different total number of living unit equivalents of water service than the 6346 living unit equivalents reserved herein, such reservation shall be amended to conform to the new criteria or the amended Land Plan so that the District's reservation will provide for the appropriate number of living unit equivalents of water service. The City may place a total of four (4) additional wells in the aggregate within greenbelts, parks or pub 1 1- c facility sites and water storage sites in this District and San A: SMl',.UDI. 3- 7 (1/22/86)