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
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! .iUL - 9 1981
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