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HomeMy WebLinkAboutCarlsbad Mutual Water Company; 1954-06-17;COPY August 18, 1954 b AGREEMENT THIS AGREEMENT, made and entered into as of the 17th day of June, 1954, by and between CARLSBAD MUNICIPAL WATER DISTRICT, a Municipal Water District organized and incorporated under the Municipal Water District Act of 1911, as amended, here- inafter referred to as "The District", and CARLSBAD MUTUAL WATER COMPANY! a California corporation, hereinafter referred to as "The Mutual", WITNESSETH: WHEREAS, The District neither owns nor operates facilities for the transportation, storage or distribution of water, and the Board of Directors of The District has by resolution found and declared that it is not practical, feasible or possible ,to install or construct facilities for the transportation, storage or distri- bution of water during the calendar year 1954; and WHEREAS, The District has heretofore declared (a) that The District does not endorse or recommend the practice of establish- ing temporary connections by separate entities for the distribution of Colorado River Water within The District*s corporate area to the facilities of the City of Oceanside or the San Diego County Water Authority, hereinafter referred to as "The City" or "The Authority", respectively; (b) that an emergency exists within the District's corporate area caused by drought and other causes beyond the control of The District; (c) that because said emer- gency does exist, The District would, upon request, cooperate with those areas and agencies located entirely wit,hin its corporate area that desire to obtain a supplemental supply of water from The District through the facilities of member agencies of The Authority from the date the annexation of its corporate area to The Authority and to The Metropolitan Water District of Southern -1- California becomes effective until July 1, 1955; and WHEREAS, The Mutual has heretofore (a) applied to The District for permission to install or cause to be installed temporary service connections from the facilities owned , and operated by The City upon the terms and conditions set forth in that certain contract entered into by and between The City and The District dated June 16, 1954, attached hereto as "Exhibit A"; and (b) has made application to The District to purchase water from The District subject to such rules and regulations as may from time to time be adopted , by The District, and such rules and regula- tions of the Metropolitan Water District of Southern California and The Authority in so far as they may pertain to The Mutual; and WHEREAS, The Mutual acknowledges that it is thoroughly familiar with thjrfe policies of The District and the terms and condi- tions upon which water will be delivered to The District by The Authority; and WHEREAS, the parties mutually desire that The Mutual may purchase and receive until July 1, 1955, water from the con- nections being installed under the contract entered into between The City and The District attached hereto as Exhibit A during the life of said contract or any extension thereof; and WHEREAS, the service area of The Mutual comprises the major portion of the developed area within The District; and WHEREAS, Terramar Water Company, which serves water to an area included within the corporate area of The District, but outside the service area of The Mutual, desires to purchase water from The District and is entitled so to do, but the water system of said Water Company is located at a considerable distance from the nearest point at which the District could deliver water, and The District has no facilities to enable it to deliver water to said Terramar Water Company; and -2- WHEREAS, The Mutual is willing to transport water furnished by The District through its facilities from the con- nection installed under said contract, a copy of which is attached hereto as Exhibit A, to a point in its system , to be mutually agreed upon by The Mutual and said Terramar Water Company, upon and subject to all the agreements, conditions and covenants herein contained; NOW, THEREFORE, in consideration of One Dollar and other valuable consideration, and the covenants and agreements hereinafter contained, the parties hereby agree as follows: (1) SERVICE CONNECTION; The Mutual will immediately take any and all steps necessary to complete the installation at its expense of any and all facilities required to be installed by The District under and pursuant to the terms of said contract entered into between the City of Oceanside and the Carlsbad Municipal Water District dated June , 1954, a copy of which is attached hereo, made a part hereof, and marked Exhibit HAW. The Mutual will also pay all costs incurred in conaection with the maintenance and removal of said facilities, including the cost of all valves, pipe, chlorinating plants, buildings, metering equip- ment, or other equipment required in connection with the installa- tion, operation or maintenance of said connection. Any and all equipment paid for by The Mutual shall be the property of The Mutual and may be removed at the expiration of said contract be- tween The City and The District. In the event that The City elects to purchase the chlorination plant under and pursuant to the terms of said contract, any and all sums paid to The District by said City shall within thirty (30) days after receipt thereof be delivered and paid over to the Mutual. (2) WATER RATE; Any and all water delivered through said connection from The City's facilities shall be deemed to be -3- delivered to The District and shall be billed to The Mutual by The District on the fifth day of each and every succeeding month during the term of this contract. All bills or charges shall be due and payable at the office of The District on the 15th day of the month in which they are billed. Bills not paid on or before the 22nd of such month will thereupon become delinquent and a penalty of ten per cent (10$) will be a, dded thereto, charged to and collected from the Mutual. If the bill and added penalty is not paid by the 25th day of the month, water may be turned off by the District without further notice, and a further charge of One Hundred Dollars ($100.00) may be made, and shall be paid before water service is reestablished to The Mutual, If The Mutual shall fail to pay its water bill prior to delinquency, The District may, as a condition far further service, require a cash deposit equal to the amount of the average monthly bill of The Mutual, to guarantee the prompt payment of its account in the future. (3), The Mutual shall and hereby agrees to pay The District at the rate of Twenty Dollars ($20.00) an acre foot , for any and all waters discharged through said temporary service con- nection and meter, and The District agrees upon receipt of such money to pay to The Authority, at its current rate, for all water discharged through said connection and meter and The City its charges for the use of its facilities, as set forth in Exhibit A. If The Authority shall, during the term of this contract, in- crease the per-acre-foot charge for water delivered to The District, then and in that event The Mutual agrees , with The District that the price per acre foot specified , to be paid by the terms of this paragraph shall be increased by a like amount. As compensation for unrecoverable expenses incurred by The Mutual in connection with the making of said temporary service connection, The District agrees to make an allowance to The Mutual on amounts -4- becoming due from The Mutual to The District for water delivered to The Mutual for its use, as herein provided, of an amount equal to $1,50 for each acre foot of water so delivered to The Mutual pursuant to this agreement. (4) If any question or dispute arises as to the amount of water delivered to The Mutual by The District, the decision of The District shall be final and ,conclusive as to the amount of water delivered to The Mutual, The District is also authorized and empowered to fix and , apportion the loss of water, if any, in- curred in the transportation of water from the facilities of The City to the point of delivery to The Mutual. (5) The District shall not be obligated to pay or ad- vance any sums to The Authority for water used by The Mutual, except from funds advanced by or paid ,by The Mutual to The District, (6) DELIVERY OF WATER; The obligation, if any, which The District may have for the delivery of water to The Mutual under this agreement; under the Municipal Water District Act of 1911, as amended; or otherwise, shall at all times be subject to any and all conditions, restrictions, rules or regulations which The Metropolitan Water District of Southern California or the San Diego County Water Authority may from time to time lawfully impose upon The District in connection with the delivery of Colorado River water to or through The District. It is further agreed that The District, by the execution of this contract, does not have and does not , incur any obligation whatsoever to The Mutual or to its stockholders to deliver water to The Mutual in any quantity in excess of that which is delivered to The District by The Authority through the temporary connection installed on The City's facilities, and that The District shall not be liable for damages by reason of The District's inability or failure to deliver to The Mutual the amount of water requested or the , failure to be able to deliver any water at all. -5- (7) It is understood that this contract will terminate July 1, 1955, and that there is no obligation on The District to renew or extend this contract or to enter into any arrangements with The Mutual for the delivery of water through said temporary service connection beyond the expiration date of the contract be- tween The City and The District, or any extension thereof; that this contract is being entered into as a matter of accommodation to The Mutual by reason of the emergency which exists in The Mutual1s service area due to periods of prolonged drought, and is entered into purely as a emergency measure to preserve property values in The Mutual1s area and to protect the public health. (8) It is understood that The Mutual is to furnish with- out cost to The District all facilities including any rights of way, pipe lines, or meters or other measuring devices, valves, vaults, facilities and equipment for the delivery,and transportation of water from the temporary service connection mto be installed to the distribution system ofv The Mutual, and that The Mutual will pay all and every cost, charge or expense in any way incurred in connecting its lines to, maintaining its lines to, and disconnecting its lines from the temporary service connection to be installed by The City. The Mutual shall also furnish, operate and maintain its own lines and distribution system for the distribution of any water received by The Mutual from The District, and The District shall not be under any duty relative thereto or obligated to install or pay for any distribution or storage facilities to be used in distributing water to be delivered by The District to The Mutual. (9) It is understood and agreed that all water that is delivered by The District to The Mutual is raw or untreated water, and is agricultural water only, and that there is no obli- gation on The District to chlorinate said water or to take any steps so as to qualify said water for domestic use. (10) INDEMNIFICATION; The Mutual promises and agrees that it will at all times indemnify and save harmless The District -6- from any and all loss, cost, damage and expense and from and against any and all claims or demands on account of injury to person or property, including reasonable engineer's and attor- ney's fees, which may be incurred by or asserted against The District, growing or rising out of The Mutual*s operation or the attachment, maintenance and operation of its facilities to or the removal of its facilities from the facilities of The City or from the discharge of water from said temporary service connections to be installed by The City at the request of The District for the benefit of The Mutual. (11) The execution of this contraxct does not give The Mutual any greater right or impyose any greater obligation, if any obligation there now be, upon The District with regard to the delivery of water to The Mutual or its stockholders, and The District is to have no responsibility whatsoever with regard to the quality or the amount of water delivered or made available to The Mutual. (12) RATIONINGS If for any reason there is insufficient water available to The District to meet the demands of The Mutual, and its stockholders, and to meet the demands of other corporations, public agencies and individuals purchasing water from The District for use within its corporate area, then and in that event the water available to The District shall be prorated among its consumers in accordance with the terms of the Act under which it is organized; and if for any reason there is insufficient water available to The Mutual to meet the demands of its stockholders and consumers, The Mutual agrees that any and all water delivered to it by The District under and pursuant to this agreement shall be delivered and rationed to its stockholders and users in accordance with the Municipal Water District Act of 1911, as amended, and in accordance with the rules and regulations duly adopted by The District. It is further agreed that in event it becomes necessary for The District -7- in connection with the rationing of water, to limit water to use for domestic purposes, the quantity of water to be delivered to Terramar Water Company under the provisions hereof shall be such proportion of the total quantity delivered into the facilities of The Mutual by or For The District, including quantities intended for Terramar Water Company, as the total use of water for domestic purposes in the area supplied by said Terramar Water Company bears to the total use of domestic water in the area served by The Mutual, and the area served by Terramar. (13) MISCELLANEOUS; It is mutually understood and agreed that The District may at all times have access to any and all meters and measuring devices through which water is , furnished to The Mutual either by The City or by The District. The Mutual agrees to abide by all rules and regulations which The District or The Authority or The Metropolitan Water District of Southern California may from time to time establish or adopt, insofar as they apply to The Mutual*s operations. Water will not be turned on through said temporary service connection for a run of less than forty-eight (48) hours, and the head of water will not be changed, nor will water be turned on or off through such service connection without a minimum advance notice of forty-eight hours, except in the case of an emergency beyond the control of The District or The Mutual, in which event the water may be turned on and off , immediately to prevent the waste of water; and The Mutual shall so conduct its operations that there shall be no back pressure on the facilities of The City or The Authority. (14)- DELIVERY OF WATER TO TERRAMAR WATER COMPANY; (la) The Mutual agrees that, at any time or times when there ii capacity in its facilities in excess of that re- quired to furnish water to its shareholders and others entitled to water service from The Mutual, and only at such times, it w, ill, -8- at the request of The District, transport through its facilities for The District, water to be delivered to Terramar Water Company (Hereinafter called Terramar) and deliver such water into facili- ties furnished by The District or Terramar at a point on The Mutual's system which may be mutually agreed upon , by The Mutual and Terramar. (b) It is definitely understood and agreed that water so to be delivered to Terramar is limited to a quantity of water equal to the quantity delivered to The Mutual for that pur- pose by The District, and that The Mutual will not deliver to Terramar any water developed or received by The Mutual from any source other than water delivered into The Mutual1s facilities by or for The District for that purpose. The Mutual agrees, to the best of its ability, to operate it s system so as to provide the greatest possible amount of excess capacity for transportation of water to Terramar. The Mutual further agrees that unless restrained by order of court, , or prevented from so doing by failure of any of its facilities, or other cause beyond its control, it will provide capacity sufficient to transport water to Terramar in the minimum amount of .25 acre feet per day. It. is further agreed that in the event The Mutual is prevented by such cause or causes from delivering such quantity of water to Terramar, The Mutual shall not be liaftle either to Terramar or to The District for failure to deliver such quantity of water. It is further agreed that in the event of any occurence which, in the opinion of the Manager of The Mutual, will prevent delivery of such quantity of water to Terramar, The Mutual will notify The District immediately of such occurrence, and that in the event it should be determined by a Court of competent -9- jurisdiction that the discontinuance of the delivery of water to Terramar by The Mutual was not justified under the provisions hereof, The District thereupon, at its option, may discontinue the sale of water to The Mutual. (c) The District agrees to allow to The Mutual a credit on sums becoming due to The District for water furnished to The Mutual under this agreement in an amount equal to Thirty- Five Dollars ($35.00) for each acre foot of water delivered to Terramar through said facilities of The Mutual, under the provi- sions hereof, for the first twelve (12) acre feet in any calendar month, and Fifteen Dollars ($15) per acre foot for water in excess of that amount, during such calendar month; provided, however, that if Terramar provides facilities satisfactory to The Mutual and to The District to take delivery of water from The Mutual along the right of way of the A. T. & S. F. Railway at or near the inter- section thereof with Chinquapin Street, Carlsbad, the respective credits of $35,00 and $15.00 herein provided to be allowed The Mutual for transporting water, shall be reduced to $25.00 and $10.00, respectively. (d) All pipes, fittings,meters,valves and other facilities necessary for the delivery of water from the facilities of The Mutual into the facilities of Terramar shall be furnished by Terramar at its own expense; the design thereof shall be sub- mitted to, and shall, be subject to the approval of The Mutual; the work of making the physical connection with the facilities of The Mutual shall be performed by The Mutual and the cost thereof shall be paid by Terramar upon demand. Both The Mutual and The District shall have access at all times to said meter. The meter shall be read by The Mutual at the close of each calendar month, and The Mutual immediately shall notify The District of the amount of the meter reading. The Mutual shall have control of the valve controlling the delivery of water from -10- the facilities of The Mutual into the facilities of Terramar and may close such valve and discontinue service to Terramar at any time when there is not capacity in The Mutual*s facilities in excess of the capacity required to furnish water to The Mutual's shareholders and others entitled to water service from The Mutual. (e) It is specifically understood and agreed that The Mutual has and exercises the right to extract water from the surface or subterranean flow of the San Luis Rey River for use of its shareholders; that The Mutual is limited, under its Articles of Incorporation, to furnishing such water for use on lands located within an area defined , in said Articles; that the area served by Terramar is not located within said area; that water from said San Luis Rey River is of a different quality from that to be supplied to The District by The Authority; that The Mutual does not intend or agree to deliver water from said source &> Terramar, but only water supplied by The District, as herein pro- vided. It is further understood and agreed, however, that the facilities through which The Mutual intends and agrees to trans- port water delivered to it by The District, for delivery to Terramar under the provisions hereof, constitute a portion of the same facilities through which The Mutual transports water from said San Luis Rey River to its own service area, and that if will, or may be, necessary, in order to transport water for de- livery to Terramar, for The Mutual to mingle water delivered to it for that purpose with water extracted by it from said San Luis Rey River source of supply, and that neither The District nor Terramar shall have the right to demand that The Mutual transport or deliver to Terramar water of the same quality as that delivered into The Mutual*s facilities through the aforesaid temporary service connection. (15) This contract is subject to securing the consent of The Authority to the delivery of water through the facilities of The City. -11- (16) The District hereby appoints the Manager of The Mutual as its representative to notify The City and The District of any and all changes in connection with the flow of water. (17) This contract may be revised or amended by mutual consent of the parties hereto at any time. CARLSBAD MUNICIPAL WATER DISTRICT By (SIGNED) BILLY C. FRY(S E A L) President By (SIGNED) WILLIAM W. ROGERS Secretary CARLSBAD MUTUAL WATER COMPANY, a California corporation By (SIGNED) E. G. HAGEN (SEAL) President By (SIGNED) C. E. TRYGG Secretary (SUBJECT TO APPROVAL BI OCEAHSIDE CITY COBHCIL) AGBKEMENT EXTENDING, MODIFYING AND OTHERWISE CHANGING TERMS OF WRITTEN AGREE- MEHTS DATED JUNE 16, 1954 AND JUNE 17, 1955 BETWEEN THE CITY OF OCEANSIDE AND THE CARLSBAD MUNICIPAL WATER DISTRICT GRANTING PERMISSION TO THE CARLSBAD MUN- ICIPAL WATER DISTRICT TO TRANSMIT WATER THROUGH ACQUEDUCT SUPPLY PIPE LIHE OWNED ABD OPERATED BY THE CITY OF OCEANSIDI. This agreement made and entered Into as of the 17th day of June, 1956, between the City of Ooeanslde, a mt nicipal eorporation, looatedTin San Diego County, California, party of the first part, hereinafter referred to as $Gity«, and CARLSBAD MUNICIPAL WATER DISTRICT, a municipal corporation, also located in the County of San Diego, California, party of the second part, hereinafter referred to as "District", WITNESSETH: WHEREAS, the parties hereto, under date of June 16, 1954, executed a writtten agreement effective for the period of one year from the date thereof tmder the tenas of which the DISTRICT, for certain considerations, was permitted to use the CITY'S Acqueduct Supply Pipe Line fc* the purpose of conveying and transporting water purchased by DISTRICT from San Diego County Water Authority, and WHEREAS, the parties hereto, tinder date of June 17, 1955, executed & second written agreement effective for the period of one year from the date thereof under the terms of which DISTRICT, for certain considerations, was permitted to use the CITI'S Acqueduct Supply Pipe Line for an additional period of one year for the purpose of conveying and transporting water purchased by DISTRICT from San D±ego County Water Authority under terms and conditions appearing in said contract, which differed from the terms and conditions set forth in the original agreement dated June 16, 1954, and WHEREAS, it is the desire of said parties to extend for a period of six (6) months only, that is to say, from the 17th day of June, 1956 to and inclusive of the 16th day of December, 1956, the privileges and obligations of said written agreements of June 16, 1954 and June 17, 1955, subject however to the additional modifications and changes herein stated, NOW, THERE1BBS, in consideration of the mutual promises of the parties herein undertaken and agreed upon and th© fulfillment of such promises, the CITY and the DISTRICT agree that said written agreements of June 16, 1954 and of June 17, 1955, as said agreements are herein modified and changed, are extended for the period of six (6) months from the date hereof, that is to say, from the 17th day of June, 1956 to and inclusive of the 16th day of December, 1956, it being specifically understood and agreed to by the parties hereto that said six (6) months' extension in addition to the terms, conditions, modifications and changes set forth in the said two agreements, is subject to the following and additional terms, conditions, modifications and changes: 1, The consideration for the privilege extended said DISTRICT of transporting water through the CITY1S acqueduct Supply Pipe Line shall be in the amount of Six Dollars and Fourteen Cents (#6,14) for each acre foot of water so transported* 2« The City of Oceanside agrees that the water of said DISTRICT so transported through said Aequeduct Supply Pipe line shall be delivered at the points of delivery agreed upon to the Carlsbad Mutual Water Company that contains a chlorine concentration of n&t to exceed one-half of one part per million, 3. Xn The event of mechanical failure of the CITY's eidht-inch meter, located at Hunsaker and California Streets in said City, or in the event said mater becomes congested with debris and the DISTRICT'S cheek meter, also located near said Hunsaker and California Streets, records for any calendar day less water than said CITY'S meter, the DISTRICT'S check meter reading shall be used for recording purposes. The CITY and the DISTRICT Immedi- ately, upon the execution of this agreement, shall cause their respective meters, above identi- fied, to be tested by the mfcte* manufacturers and shall exchange copies of the written report of such tests, 4, The DISTRICT, on or before May 15, 1956, shall impound and/or cause to be impounded, in the Galaveras Reservoir owned by Carlsbad Mutual Water Company and located in the vicinity of the City of Carlsbad, an amount of water sufficient to fill said reservoir to its ultimate capacity to and until May 15, 1956, The purview of this provision of this agreentei requires said reservoir to be filled to capacity on May 15, 1956 regardless of whether the water im- pounded therein is discharged into said »©servoir artificially or is the result of run-off from rainfall on the water-shad of the reservoir. The Superintendent of the Water Department of said City shall be permitted at all times to inspect said reservoir for the purpose of determining the amount of water impounded therein. COPY 5« To become effective, this agreement extending, modifying, and changing said written agreemtefc* of June 16, 1954 and June 17, 1955 , must be approved by the San Diego County Water Authority within a period of thirty (30) days from the date hereof. This agreement shall not be subject to renewal for any additional period of time* On behalf of the CITI, this agreement is signed and executed by its Mayor and its City Clerk pursuant to Resolution of its City council. On behalf of the DISTRICT, this agreement is signed and executed by its President and its Secretary pursuant to Resolution of its Board of Direetors* DATED at OceansMe, California, this 17th day of June, 1956. CITI OF OCEANSIDE CARLSBAD MUNICIPAL WATER DISTRICT T