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HomeMy WebLinkAboutDaon Corporation; 1981-05-27;MEMORANDUM OF UNDERSTANDING ' This Memorandum of Understanding for purposes of identification is hereby dated and effective the 27th day of May , 1981, and Is by and between DAON ,CORPORATION, a Delaware corporation, authorized to do business in California ("Daon"), and COSTA REAL MUNICIPAL WATER DISTRICT ("CMWD"), with reference to the following facts : A. Daon has designed and is in the process of constructing a sewage treatment plant and wastewater reclamation facilities for development of its Shadow Rid.ge residential subdivision located in Vista: B. As part of the sewage treatment plant and wastewater , reclamation facilities, Daon is proposing to construct a reclaimed water remote distribution excess effluent pipeline (hereinafter "Pipeline") connecting the Shadow Ridge wastewater treatment and reclamation plant to the San Marcos County Water District failsafe ocean outfall pipeline. C. CMWD has made a request that there be Installed in the Pipeline certain outlets to serve as a future point of connection' so that customers of CMWD would have available to them a source of supply for non-potable water service. NOW, THEREFORE, it Is understood and agreed as follows: 1. Daon hereby consents to the construction of tee outlets in the Pipeline, the number and location of which shall be determined to the mutual satisfaction of Daon and CMWD. 2. Within ten (10) .days of the date of execution of this Memorandum of Understanding, CMWD shall deposit a sum of money ^1 n an amount designated by CM Engineering in an interest-bearing trust account at a mutually agreeable financial institution to pay all costs associated with construction of the tee outlets as provided in this agreement. CMWD shall make additional deposit(s) into the trust account, if necessary, at the request of Daon if the original estimate of costs prepared by CM Engineering is Insufficient. Any funds rema1n1ng In the trust account upon completion of construction of the tee outlets shall be refunded to CMWD. 3. It is further understood and agreed by the parties hereto that construction of the tee outlets in the Pipeline and payment of the costs associated therewith shall not be construed as either an express or implied representation' by Daon that CMWD has any capacity or other rights in the Pipeline or said tee outlets, and that acquisition of any such rights shall be subject to an appropriate agreement to be negotiated by and between Buena Sanitation District ("BSD") and CMWD. 4. CMWD agrees to Indemnify, defend, and ho Id Daon harm less from and against all claims and liability arising out of or in relation to any disputes between CMWD and BSD regarding any rights to or In said Pipeline or tee outlets that may develop as a result of the installation of said tee outlets. COSTA REAL MUNICIPAL WATER DISTRICT By:;CX..^^/^ 7^^^^-A^ Donald A. MacLeod, President Board of Directors Fred W. Maerkl Board of Di re Sec retary rs -2- wrw* ! .iUL - 9 1981 i V/OODSIDE-KUBO-,. - A 1 ' CONSULTING ENGiNE:;i<b CARLSBAD