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HomeMy WebLinkAboutOceanside, City of; 1982-06-09;AGREEMENT (JOINT USE PIPELINE) THIS AGREEMENT, made this 9th day of June , 1982, between COSTA REAL MUNICIPAL WATER DISTRICT, a municipal water district, hereinafter for convenience referred to as "COSTA REAL", and CITY OF OCEANSIDE, a municipal corporation, hereinafter for convenience referred to as "OCEANSIDE". WITNESSETH: 1. Costa Real and Oceanside operate and maintain public water systems (potable) and have common boundaries along the area of Highway 78 - Vista Way. The two water agencies operate pipeline facilities which connect to the aqueduct system of the San Diego County Water Authority and have an existing intertie for emergency water deliveries between the two agencies. 2. There is in existence a formal agreement between Carlsbad Municipal Water District (predecessor-in-interest to Costa Real Municipal Water District) and City of Oceanside dated August 6, 1975, which provides for the interchange of potable water service by way of a jointly owned pipeline in the interchange of Highway 78 - El Camino Real. 3. Costa Real and Oceanside have responsibilities for water resources pl anni ng i n thei r respecti ve service areas so that the construction and operation of pipeline facilities to convey non-potable water service is recognized as an important feature of providing total water service for their respective service areas. 4. Costa Real and Oceanside recognize the need for a non-potable water service pipeline to be constructed in the Highway 78 - 5. 6. 7. El Camino Real interchange to accommodate their future requirements for non-potable water services. It is now appropriate to formalize the ownership, operation and maintenance of this joint facility which will be utilized to the benefit of both agencies. It is also appropriate to specifically agree as to the terms and conditions under which there will be an exchange of a non-potable water supply to each agency, as well as providing for emergency or supplementary delivery of non-potable water service depending upon the need and the availability of both agencies. The project shall be known as the Oceanside/Costa Real Non- Potable Water Service Intertie -- El Camino Real, hereinafter for convenience referred to as the "pi pel i ne". Oceanside-Carlsbad Intertie is indicated on Exhibit "A" attached hereto and incorporated herein by this reference. IT IS, THEREFORE, AGREED: A. Ownership of Pipeline. The ownership of the pipeline shall be jointly by Costa Real and Oceanside in the following percentage: Costa Real 50% Oceanside 50% Total 100% B. Maintenance and Operation of the Pipeline. 1. Upon completion of the pipeline, Costa Real will maintain and operate the pipeline for the mutual benefit of Costa Real or Oceanside. 2. All costs of such operation and maintenance, including accounting, administrative costs and repairs, will be borne by and paid by each of the parties on an equal one-half share basis. -2- 3. Costa Real will bill Oceanside annually for its proportionate share of such costs and maintenance. Oceanside will pay such statements within thirty (30) days after the receipt thereof. The billing period shall coincide with the fiscal year of Costa Real. 4, Costa Real shall keep and maintain proper books of account and records in which complete and current entries shall be made of a1 1 transactions, i ncl udi ng all receipts and disbursements, relating to the administration, maintenance, operation, and repair of said pipeline. Oceanside shall have the right at reasonable times, from time to time, during regular business hours, to inspect all such books and records to verify any statement rendered by Costa Real to Oceanside for charges payable by Oceanside. Costa Real shall uti 1 i ze the "Uni form Accounting Program" of the State Controller's Office. 5. Prior to making any repairs, except in the case of emergency repairs, which are estimated to cost in excess of $1,000.00, Costa Real shall obtain the prior approval of Oceanside for any such expenditure. 6. Any connections to the pipeline by either party shall be subject to written approval of the other party. 7. Costa Real agrees to hold Oceanside free and harmless from any damage or injury to any person or property arising from the maintenance and operation of the pi pel i ne by Costa Real. C. Future Connections to Non-Potable Water Service Pipeline. 1. Costa Real or Oceanside shall have the right to proceed with the construction of additional pipeline facilities that will render the "pipeline" operational from the standpoint of del i very of non-potable water service from -3- ._ ,. I, Oceanside to Costa Real or vice-versa. Either party will have the right to initiate proceedings for the preparation of plans and sponsor the construction of such facilities. Each agency shall have the right to review and approve of the pipeline extensions in the event the facilities will have an impact upon the service area requirements of that agency . 2. At such time the pipeline is made operational by the appropriate connections, there will be a separate agreement between Oceanside and Costa Real as to the volume of waters that will be permitted to be transported in the "pipeline" and the specific terms and conditions under which there will be delivery of non-potable water service and the appropriate charges that will be made by the agency which is producing the non-potable water. Upon execution of said agreement, its terms and conditions will become a part hereof and incorporated herein by reference. 3. Oceanside and Costa Real will cooperatively develop and approve a speci fi c operational pl an whereby the pi pel i ne will be utilized on a daily basis for non-potable water service. 4. The pipeline is now outfitted with two service connections for water service to the interchange landscaped area that is within the service area of Oceanside. Oceanside shall have the right to make the necessary hook-ups and provide service to all the lands within the boundaries of Oceanside in addition to the utilization of these two connections. D. Notices. Any notice which either party is required to give or desires to give hereunder may be served upon the other party by personally delivering a copy thereof or by mailing any such notice by regular or certified mail, return receipt requested, postage prepaid, and addressed as follows: COSTA REAL: Costa Real Municipal Water District 5950 El Camino Real Carlsbad, CA 92008 OCEANSIDE: City of Oceanside Water and Sewer Department 320 North Horne Street Oceanside, CA 92054 Either party may from time to time designate a different address for notices by notifying the other party. Any notice mailed by regular mail shall be deemed received by the party to whom such notice is addressed forty-eight (48) hours after the mailing thereof. Any notice mailed by certified mail, return receipt requested, shall be deemed received by the party to whom such notice is addressed on the receipt date on the return recei pt. E. Arbitration. In the event any controversy or claim arising out of this agreement cannot be settled by the parties, all controversies arising out of the interpretation or application of this agreement or the refusal of either party to perform the whole or any part thereof shall be settled by arbitration in accordance with the provisions of this section and where not provided by this section in accordance with the statutory provisions of the State of California then in force. The controversy shall be submitted to a board of three (3) arbitrators which shall be appointed, one by Costa Real, one by Oceanside, and the third by the first two. The party desiring arbitration shall notify the other party by a written notice stating the following: (1) that it desires arbitration, (2) the controversy to be arbitrated, (3) that it has appointed its nominee, and (4) that it requests the other party to appoint its nominee. Within thirty (30) days from the receipt of said notice the other party shall appoint its nominee. Within fifteen (15) days after the last party has appointed its nominee, the two nominees shall appoint the third. None of the arbitrators -5- shall be a resident within, or taxpayer in, or be employed within the service area boundaries of either party. None of the arbitrators shall be employed by, or a consultant to, or be an officer, director or council member of either party. The arbitration board shall hold at least one hearing and at least ten (10) days before said hearing shall give each party written notice thereof. The arbitration shall be restricted to matters relative to that stated in the notice requesting arbitration. The arbitration board shall have no authority to add to or subtract from this agreement. Each party shall be given an opportunity to be heard and to present evidence. Upon conclusion of the hearing or hearings, the arbitration board shall reduce their findings of fact, conclusions of law, and the award to writing, and shall sign the same and deliver one signed copy thereof to each public agency. Such award shall be final and binding upon both parties. A majority finding shall govern if the arbitrators' determination is not unanimous. Each party shall pay its own expenses, including the expenses of the arbitrator which it nominates, The expenses of the third arbitrator and the administrative costs of the arbitration proceedings shall be shared equally. Any controversy which can be determined by an engineer's findings and which under this section could be submitted to arbitration may, if the parties thereto agree in writing to do so, be submitted to a named engineer who shall be the sole arbitrator. Such engineer shall be a Registered Ci vi 1 Engineer of the State of California and shall be disinterested as hereinbefore in this section required of arbitrators on an arbitration board. He shall proceed in the same manner and shall make findings, conclusions, and an award in the manner provided herein for an arbitration board. F. Term of Agreement. The term of this agreement in reference to all terms and conditions of the agreement, except Ownership of Pipeline (I1 A), shall be for a period of one year, on a fiscal year basis, commencing July 1, 1982, and terminating June 30, 1983, and shall be automatically renewed thereafter for additional periods of one (1) year at a time, unless either party, at least ninety (90) days prior to the expiration of the then existing term, shall advise the other party in writing that they desire to terminate the then existing agreement at the end of the then existing one (1) year term. IN WITNESS WHEREOF, each of the parties hereto has caused this instrument to be executed by its officers duly authorized as of the day and year first above written. COSTA REAL MUNICIPAL WATER DISTRICT, c I TY~NS I DE, a Muni ci pal Water Di st ri ct a Mu icipa Corporation President By : Mayor By : By: APPROVED AS TO FORM & LEGALITY: n .. A I, 1 , 1 I LEGEND: I I .... Joint City of Oceanside - .. /' 78 N* /- -a t .-.... Joint City of Oceanside - ----....City of Carlsbad facilities. CMWD facilities - Non-Potable. OCEA/t/S/DDE - CQPLSBQD /NT€PT/E 197 H!-YM#P DR. $EL CQM/NO P€@L NON,-POTABLE WATER SERVICE PIPELINE ---...*City of Oceanside facilities. EXHIBIT "A" AGREEMENT OF JUNE 9, 1982