HomeMy WebLinkAbout1988-01-12; City Council; 9115-1; Temporary Lease of Sewer Line Capacity from Buena Sanitation DistrictQLUsI
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CI^OF CARLSBAD - AGENDA BILL
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MTG. 1-12-88
DEPT FNT.
TITLE:
TFMPORARY LFA^F OF <?FWFR 1 INF CAPACITY
FROM BUENA SANITATION DISTRICT
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RECOMMENDED ACTION:
Adopt Resolution No. ffi^/o approving modification to Temporary Lease
Agreement with Buena Sanitation District.
ITEM EXPLANATION:
At its August 4, 1987 meeting, the City Council approved the subject
Agreement leasing 800,000 gallons of capacity in the Buena Interceptor.
The lease was necessitated by capacity ownership deficiencies in the
upper reaches of this line. When approved, the Agreement was for-
warded to the Buena Sanitation District for execution. Upon further
review. District staff requested that the lease rate penalty cap con-
tained in Section 3 of the Agreement be removed.
Under provisions of the original Agreement, lease payments are to equal
$7,500 per year until 75% of pipeline flows are reached. At that time,
Carlsbad is to initiate construction of parallel lines to provide the excess
capacity needs. When this point is reached, annual payments will double
each year until the City vacates the pipeline. Under the original Agree-
ment, staff placed a $30,000 cap on lease payments. The County-approved
Agreement removes that cap to provide a more significant incentive for
the City to move expeditiously to vacate the pipeline.
FISCAL IMPACT:
Removal of the lease cap payment would increase payments significantly
if the City exceeds the provisions of the Agreement for more than three
years. Failure to approve the Agreement would stop development in the
upper reaches of the system and require immediate construction of a
parallel interceptor sewer estimated to cost $121,600.
EXHIBITS:
1. Resolution No. P<f-/o of the City of Carlsbad, California authorizing
execution of revised agreement between the Buena Sanitation District
and the City of Carlsbad for lease of additional capaity in the Encina
outfall.
2. Agreement Between the Buena Sanitation District and City of Carlsbad
for the Lease of Additional Capacity in the Encina Outfall.
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3. Buena/San Marcos Interceptor System Map
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2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
, CALIFORNIA, AUTHORIZING EXECUTION OF A REVISED AGREEMENT
0 BETWEEN THE BUENA SANITATION DISTRICT AND THE CITY OF
CARLSBAD FOR LEASE OF ADDITIONAL CAPACITY IN THE ENCINA
OUTFALL
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RESOLUTION NO. 88-10
WHEREAS, the City Manager recommends and the City Council concurs
that there is a need to lease surplus capacity from the Buena Sanitation
District; and
WHEREAS, a revised lease agreement for Buena Sanitation District to
provide additional capacity to the City of Carlsbad has been negotiated;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
°f Carlsbad, California, as follows:
1. That the above recitations are true and correct.
2. That the Mayor is authorized to execute the lease agreement between
the Buena Sanitation District and the City of Carlsbad, California.
3. That the City Council authorizes a transfer of $7,500 from the
Sanitation retained earnings to the Sanitation Operation Budget, Account
Number 511-6110-2360.
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad
City Council held on 12th day of January 1938 by the following vote,
to wit:
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25 CLAUDE A. LEWIS, Mayor
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AYES: Council Members Lewis, Kulchin, Pettine, Mamaux and Larson
NOES: None
ABSENT: None
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ALET>IA L. RAUT^NICRANZ, City Clerk
KSREN-irT KUNDTZ, Deputy
AGREEMENT BETWEEN THE BUENA SANITATION
DISTRICT AND CITY OF CARLSBAD FOR THE
LEASE OF ADDITIONAL CAPACITY IN THE
ENCINA OUTFALL
This Agreement, made and entered into this day
of _, 1987, by and between BUENA SANITATION DISTRICT, a
county sanitation district, formed and existing under the
County Sanitation District Act (Section 4700, et seq.,
Health and Safety Code) hereinafter referred to as "Buena"
and the CITY OF CARLSBAD, a municipal corporation
hereinafter referred to as "Carlsbad."
WITNESSETH:
1. Carlsbad and Buena Sanitation District entered into
an Agreement for the lease of capacity in a land sewage
outfall on June 20, 1966.
2. The City of Carlsbad and Buena Sanitation District
rescinded the 1966 Agreement and replaced it with a new
agreement in 1981.
3. Now the City of Carlsbad desires to temporarily
lease additional capacity in the land sewage outfall from
Buena.
NOW THEREFORE, the parties hereto agree as follows:
Section 1. EFFECTIVE DATE: This Agreement shall take
effect .
Section 2. LEASE OF CAPACITY: Buena agrees to lease
to Carlsbad on a temporary basis .8 peak mgd until a
replacement sewer is constructed in accordance with Section
3 of this Agreement.
Section 3. NEW CONSTRUCTION: When peak flows in the
interceptor reach 75% of the depth of the pipe in any reach
of the Encina Outfall, as determined by the Buena Sanitation
District, Carlsbad shall construct a replacement outfall to
eliminate the need for this lease. When the construction is
completed thi^ lease shall terminate. When flows reach 75%
of the depth of flow of the pipe all payments required in
Section 4 of this agreement shall double and they will
until the flows are removed from the line. If other
unanticipated .capacity problems arise relating to this
lease, Carlsbad, at Buena's request, will be required to pay
their share to correct the problem.
Section 4. TERMS OF LEASE: Carlsbad shall pay to
Buena $7,500 per year for the terra of this lease. If
permanent capacity should become available for acquisition
Carlsbad shall retain the option to acquire said capacity
and apply previous lease payments towards the acquisition
price.
Section 5. CONNECTIONS: Carlsbad, at its sole
expense, shall be responsible for the construction,
installation, maintenance, repair, replacement or
reconstruction of any necessary transmission facilities from
the Carlsbad Service Area to the Encina Outfall and for the
connection of such transmission facilities together with any
necessary appurtenances to the Encinas Outfall.
Section 6. ENGINEER'S APPROVAL: The location,
installation, construction, repair (except emergency
repairs) replacement and/or reconstruction of the
connections to the Encinas Outfall shall be according to
plans and specifications first approved by Buena's engineer.
Section 7. LIMITATIONS ON TYPE AND CONDITION OF
SEWAGE: All sewage discharged by Carlsbad into Encina
Outfall shall conform to the ordinances, resolutions, rules
and regulations which Buena must adopt in accordance with
Agreements of the Encina Joint Powers concerning the
condition of sewage and waste permitted to be discharged to
the Joint System or any part thereof.
Section 8. METERING: Carlsbad shall, upon request of
Buena, provide a device to meter the flow of sewage in the
Encina Outfall at a point below any lateral connection, but
above the Encina Sewage Treatment Facility. The meter will
be installed and operated solely at Carlsbad's expense.
Section 9. INFILTRATION: It is understood and agreed
that there will be inflow of water into the Encina Outfall
because of leakage between the Carlsbad connection and the
Encina Treatment Plant. Buena shall estimate the total
waters that infiltrate the Encina Outfall between said
connection and treatment plant (sometimes referred to herein
as "infiltration") and apportion the same among all of such
users of the Encina Outfall in the proportion that the
amount of sewage discharged into the Encina Outfall by each
such user bears to the total amount o.f sewage discharged
into the- Encina Outfall by all of such users of said
Outfall. - The amount of infiltration apportioned to each
such user shall be deemed a part of the sewage of such user
for all purposes.
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Section 10. MAINTENANCE CHARGE:
1, During such period as Carlsbad is authorized to use
a portion of the capacity of the Encina Outfall, whether as
lessee or owner of such capacity, Carlsbad shall pay to
Buena a share of the cost of the maintenance and operation
of the Encina Outfall, said share of the cost to be in
proportion to the average flow of sewage discharged into the
Encina Outfall through Carlsbad's connections to said
outfall as compared to the total average flow of sewage
discharged into said Encina Outfall.
2. Buena shall bill Carlsbad for its share of the cost
from time to time, but at least annually, and Carlsbad shall
pay its share of the cost to Buena within thirty (30) days
after being so billed.
3. Buena shall keep accurate records of its cost of
maintaining and operating the Encina Outfall and such
records shall be open to inspection by Carlsbad at all
reasonable times.
Section 11. CHARGE AGAINST CAPACITY RIGHTS IN ENCINA
TREATMENT PLANT AND OCEAN OUTFALL: All sewage discharged
into the Encina Outfall through Carlsbadfs connection, under
the terms of this Agreement and thereafter discharged into
the Encina Treatment Plant, and all infiltration allocable
to Carlsbad as determined by Section 9 of this Agreement,
shall be charged against Carlsbad's capacity rights in and
to the Encina Treatment Plant and Ocean Outfall.
Section 12. REPAIRS: The Encina Outfall Sewer shall
be maintained by Buena in good repair and working order in
accordance with sound engineering practices. It shall be
the duty of Buena to make repairs on said Encina Outfall
required to keep such outfall sewer in good operating
condition. Except as provided in Section 13, the cost of
all repairs shall be part of the maintenance costs of the
Encina Outfall.
Section 13. INTERRUPTION OF SERVICE: In the event of
an interruption of services to Carlsbad in the Encina
Outfall, as a result of disaster, operation of State or
Federal law, discontinuance or interruption of service to
Buena by the Encina Treatment Plant or Ocean Outfall, or any
other cause beyond the control of Buena, Buena shall bear no
liability and shall be held harmless by Carlsbad from any
claims and liabilties for any injury to or damage to any
person or persons or property or for the death of any person
or persons arising from or out of such interruption of
service or for any other damages or costs incurred by Buena
as a result of such interruption of service.
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Section 14. ^ARBITRATION: Except as otherwise provided
herein, all controversies arising out of the interpretation
or application of 5 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 Buena,, one by Carlsbad 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
shall be a resident of, or taxpayer in, or own property in,
or have a place of business in, or be employed in or by, or
have any contract with, or be an officer or employee 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 member of the American Society of
Civil Engineers 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.
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Section 15. NOTICE: Notices required or permitted
under this agreement shall be sufficiently given if in
writing and if either served personally upon or mailed by
registered or certified mail to the clerk or secretary of
the governing body of the affected party to this agreement.
Section 16. LIABILITY: Nothing herein contained shall
operate to relieve Carlsbad of any liability for damages to
persons or property arising from or out of the installation,
construction, operation, maintenance, repair, replacement or
reconstruction of the aforesaid sewer connections and
appurtenances or from any action of inaction of Carlsbad or
its officers, agents or employees in connection therewith.
And except as provided in Section 17 nothing herein
contained shall operate to relieve Buena of any liability
for .damages to persons or property arising from or out of
the installation, construction, operation, maintenance,
repair, replacement and/or reconstruction of the aforesaid
sewer connections and appurtenances or from any action or
inaction of Buena or of its officers, agents or employees in
connection therewith.
Section 17. INDEMNITY: To the extent it may legally
do so, Carlsbad shall defend and save and hold free and
harmless Buena and its agents, officers and employees from
any claims, liabilities, penalties or fines for injury to or
damage to any person or property or for the death of any
person arising from or out of any act or omission of
Carlsbad, its agents, officers, employees or contractors,
arising from or out of any defects in the installation,
construction, operation, maintenance, repair, replacement or
reconstruction of said sewer connections or appurtenances.
Sectioj 18. TIME OF ESSENCE: Time is of the"essence
of this agreement.
Section 19. SEVERABILITY: If any section, subsection,
sentence, clause, phrase or word of this agreement, or the
application thereof, to any party', or to any other person or
circumstance is for any reason held invalid, it shall be
deemed severable and the validity or the remainder of the
agreement or the application of such provision to the other
parties or to any other persons or circumstances shall not
be affected thereby. Each party hereby declared that it
would have .entered into this agreement and each section,
subsection, sentence, clause, phrase and work thereof
irrespective of the fact that one or more sections,
subsections, sentences, clauses, phrases or words, or the
application thereof to any party or any other person or
circumstance be held invalid.
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Section 20. This agreement shall be binding upon the
parties hereto and the successors and assigns of each of
them.
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IN WITNESS WHEREOF, each party hereto' has pursuant to
resolution duly. passed and adopted by its respective
governing body caused this agreement to be executed the date
first above written.
BUENA SANITATION DISTRICT
CITY OF CARLSBAD
CLAUDE A. LEWIS, Mayor
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