HomeMy WebLinkAbout1957-12-17; Notices Proofs (7)L . Jidavit of Publication
STATE OF CALIFORNIA j
County of San Diego ; ss>
B£Q2r.t...2*..:j3J?l:;.K& , being duly sworn, says that he is the .....?.9M l.aiier
of The Carlsbad Journal, a weekly newspaper of general circulation, printed and published in the
Town of Carlsbad, County of San Diego, and State of California, and that the notice, of which the
annexed is a true copy, was published .1. time in said newspaper, commencing on
the 2At.h day of Qctgbe.r , A. D. 195.Z., namely on the following dates:
- -— ^T I City »bau ,<»i1_^rJ.i";U™nUS!e ag'-l
-LEGAL NOTICE
iCi OF EJECTION:
--*' ','ie is hereby given 't'at a «P«ial
"'liipai election will be held in thew of Carlsbad on the 17th day of
December, 1967, for the purpose of sub-mitting to the, qualified voters of theCity of Carlsbad for their approval, orrejection the following- contract betweenthe City of Carlsbad and the CarlsbadMutual Water Company:AGREEMENT FOR PURCHASEThis Agreement made in duplicate this30th day of August, 1967, between theCity of Carlsbad, a municipal corporationof the State of California, sometimesj hereinafter referred to as the "City" andthe Carlsbad Mutual Water Company, aCalifornia corporation, sometimes herein-
after referred to as the "Mutual"WITNESSETHJTHAT, WHEREAS, the area served byMutual has changed in its character froma semirural to an urban community, re-sulting in a change in the character ofuse of the water provided by Mutual; andWHEREAS, the change in the characterof the use of the water has disqualifiedMutual from obtaining financing fromagricultural lending institutions ; andWHEREAS, the change in the characterof the use of the lands served by Mutualhas resulted in the stick of Mutual beingdivided into many fractional shares! andWHEREAS, the administrative burdensthat have been imposed, as a result ofthe many fractional shares of stock, has
rendered the administration of Mutualunwieldy and expensive; andWHEREAS, the City desires to acquire
the rights and properties of said Mutualand has offered to "purchase such rightsand properties upon terms and conditionshereinafter set. forth, which terms andconditions are satisfactory to shareholdersof the Mutual who are entitled to exercisea majority of the voting power of the
Mutual ; andWHEREAS, it is anticipated that thevote and written consent of shareholders
entitled to exercise a majority of the vot-ing power of the Mutual will be filedwith the Secretary of the Mutual author-izing the Mutual to sell its assets to theCity upon terms contained in this con-
tract; andWHEREAS, acquisition of such rightsand privileges of the Mutual will give
the City, ownership and control of thevaluable water distribution system servinga large percentage of the City's populationand thereby will be a benefit to the City
and its residents ;NOW, THEREFORE, in consideration1 of the mutual covenants and agreementsof the parties hereto to be by said par
ties respectively kept and performed amof the mutual advantages to the parties
hereto and to the shareholders of Mutualand the residents and property owners
of City, the parties hereby agree as fol-
lows:
naii wiimiw~ v- —appropriate differential between the ag-ricultural and domestic rates.3. The City covenants and agrees to con-tinue to furnish water to all areas out-side the incorporated limits of the Citythat are presently being served by thefacilities of the Mutual, as the sameare delineated and described by thenon cross-hatched areas on "Exhibit C",at substantially the same rated as «recharged in areas within the incorporat-
ed limits of the City, provided thatin no event shall the City charge adifferential of more than five per centfor water served outeide said City
limits. r
9. The City covenants and agrees to submitto the voters of the City of Carlsbad
the following three propositions:(a) Shall the City of Carlsbadincur a bonded indebtedness, repay-able solely from the proceeds ob-tained by the City from the revenuefrom the sale of water, in an amount-* - —. ntfromof $550,000.00 for te puroeipurchasing the assets of the Carls-bad Mutual Water Company and todischarge all fixed liabilities of the
Carls-bad Mutual Water Company?* (b) Shall the City of Carlsbadincur a bonded indebtedness, repay-
able solely from the proceeds obtained by the City from the revenue,from the sale of water, in the amountof $150,000 for the purpose of re-habilitating the water transmission,
storage and production^ facilities of theCity of Carlsbad, and for extending,
acquiring and constructing new waterproduction and transmission facili-
ties for the City of Carlsbad?(c) Shall the City of Carlsbad enterinto a contract with the CarlsbadMutual Water Company for the pur-
chase by the City of Carlsbad of theassets of the Carlsbad Mutual WaterCompany, in accordance with theterms and conditions of a proposedcontract as the same were publishedin the legally published notice of this
election ?That the exact wording of the "• f ore-KOtng propositions shall be subject toapproval and revision of bond counselselected by the City. In the event thatboth propositions set forth in subparagraphs (a) and (c) are approvedthe voters of the City, the Citybythisshall be obliged to consummatecontract; in the event that either oneor both of the propositions set forthin sub-paragraphs (a) and (c) aboveare not approved by the voter* of theCity, then this contract may, at theoption of either party. Upon writtennotice to the other party, be declared
null and void and of no further force !
and effect.10. Each party hereto agrees to executepromptly all documents, instruments andpapers required for the purpose of
effectuating this agreement.11. The obligation of the Mutual to selland of the City to buy the rights andproperties herein agreed to be con-veyed shall become effective only whenall the following conditions have been
comnlied with :
Subscribed and sworn to before me this
.day o
My Commission
Subject to all the terms ana ccmuiuu*,herein contained, the City agrees tbur, and the Mutual agree* to sell tothe Cr agree* to sell tothe CJifcr all of the assets of the Mutuashown in 6h« "Inventory of Asset*'marked ''Exhibit A," (Exhibit A t<const-|-«;-a*fHg»iittiSe8l,;ii»tincluding, but not .limitedwater ri»hte._^b*tlie*jke«mi
-T~*-«,ii,T!i~»rwiPV.;"'— „, —.-,., expectarncie*, and ca»non deposit in any bant, i-ir, trust: com-pany, (g) all. ..watejfcrfc^V'' W?'«Jlequipment, tool*,: supplied and inven-tory. Said Exhibit A to be compiled
by the Mutual as of the effective dateof this contract and to bear the en-dorsement o< the managers of th*Mutual and of thtj CtoF. attached here-to, and by reference: thereto made a parthereof a* if fully set^ forth herein, for
ment and- faithf utiy to comply with andcarry out all obHgatlona of Mutualunder, any and, all contract* to
which Mutual I* <# may be a party onthe effwrtiv* dato^of this agreement ta statement of tnefc indebtedness anda list of such contraeta , i* hereunattached, marked "
referenc* , thereof, It,' fitof the contrMutuiji mayontract, cancel
th« oil* *««.and dlacontlnuil «n<•
_^. _ „„,,.in such event
iftM. tff<ww»iu «n< of th» contract*•a*?, to*' Cttyf Seem." advisable- ft*' th*best interests of th* City; the Cityspecifically set* forth its intention tocancel insurance contracts of all type*,contracts for retirement benefits foremployees of the Mutual, and suchother contracts as the City may deter-mine. It is specifically understood andagreed, however, that the legal andcontractual rights heretofore held by
'tKii';$niiiijj
«oWit§Oel:^:"me«g!^h^^^:i,wheJ^altithe conditions Werred to in this IParagraph 11 have been accomplished.Such effective date shall be endorsed
upon this agreement, and all documentsexecuted pursuant to this agreementshall bear, or refer to, and) unless
otherwise stated therein, shell be ef-fective as of *u$»,:efiec.tii«.'diltfji;<h'.;:i', •'-•:,.r.The Mutual herewith covenant* andagrees that, between the Aite of thfsigning of this contract and the; effe«ift.live- date, "o^thi. contract-It^ -iSll eon*:_.-Unu*:;iii-:.opJ^gte^.|hi|!.^^1lu*l;M^,4;-K^d^n||
:.triffinfc'«(to^.S,p^:^|A;iau'bjMkt§(jp;!''"'*1''1
. t?oii:,efJ11»f '"'—''" •"3rc*.«<™re7r"'" -
' any further indebtedness, eJtciptlng""^; tUI:- ordinary., course • of - business, with-out first securing the" consent of thecity.-- ',";:;. •,;••.'•• .;,".'• •.;•;••-•9. Except, as to the covenants and con-ditions contained in Paragraphs », B,and 8 of this Agreement, the remaining
covenant* and conditions of this contractshaH .remain in full fores and effectfor so long as there exist* an unpaidbonded indebtedness incurred a* a • re**ult;r;<jf, tliwii,; voters;: appifovnt'1: o* propo-sitions contained in sub-paragraphs (a)and (b) of Paragraph 9 of thi* A»r*e-mentt After expiration of such' timeW|:Ki«t^*W|ljB«^^diti>wW(l ;*Jj^$£«M
the;: City; excepting, however, the cove-nants and conditions of Paragraph* 8and 8 shall continue for so long asallowed by law, and the provisions,;covenants snd conditions of Paragraph "ft
shall continue for the time thereinprovided.
4. It is agreed between the parties thatthe Mutual shall retain all funds re-(Continued on page 10)
(a) The voters of the uity naveapproved Uw issuance of bonds and
**!S**-.*»' •>««>» Provided;TBe sa% of the- rfghU and
shareholders of Mutual to specific pro-portions of the water supply availableto, or produced by, the Mutual, depend-ent upon their ownership of stock, shallnot apply to or be binding upon the
City.
8. The City specifically agrees to assumethe burdens, and to be bound bythe terms: of that particular contractentered into between the South CoastLand Company and the City of Ocean-side, under date of August 1', 1918,• and recorded in the office of thCounty Recorder of the County of SanDiego, State of California, on Septem-ber 19. 1913, in Book 627 of Deeds,Page 245 et 5eq., records of the County
of San Diego, Insofar aa such contract".. relates to the waters naturally tribu-i' tory to the San Luis Rey River, or thelMission Basin, in the valley of saidlriver.' : .;•'. : .:•;•.' '' •',' :•-.-,;. .'• '
4. The City covenants and: agree* to|maintain and protect alt; water right*"> to which the Mutual heretofore may•(. have been entitled, and to distribute; all water produced undir the waterrights heretofore and now owned by theMutual, within that area outlined on"Exhibit B", (Exhibit B to contain out-line of Mutual service area ai outlinedin Exhibit A attached to "Oceanside"contract .referenced in Paragraph 8 ofthis contract), attached hareto, and byreference thereto made a part hereof as
if fully set forth herein^ r
6. The City covenant* and agree*, that fora period of ten years, from and after: "the- effective date of, this contract, thej
'••_: City, will charge owners of an» oj tkftjlands that are marked with cross-hatching on "Exhibit G'M ! (Exhibit:: 6|to show Mutual service, area the same
a* outlined by Exhibit B. with all landfto which water stock jn the Mutual>• is ' appurtenant,'- at the effective : date;': .hereof ;v..l#,' befe »&K,e*m§*WWiSi":*WIother lands ' to ' b« crosi-hatched), atf::_ tached hereto, and by reference theretoimade a part hereof as if fully sietj
forth herein, who make application forthe delivery of water to such .landsand which delivery of water involve*the use of any portion of the Mutualdistribution system, as outlined In themap attached to "Exhibit AJ*. i fee,of $109 an acre, such fee. to be denomi.nated an "inclusion fee" and in addi-tion thereto to pay for all cost* of labor,pipe*, pipe lines, service materials, and
other incidental charges that are re-quired to make- such connection,; thatthe inclusion fee* so received by theCity of Carlsbad shall, at the option ofthe City, either be applied to the Bond
Continued from page four)
of•l-fc assets>wnedfunds
from distriTnif!.'account of Treac'.--: the Mutual, and i; received by the M-'
;;" or ' wrcBSsor, shaP > used to pay or'' defray .11* of the distribution!• of the assets . f Mutual; that nnyexcess funds remaining after the fore-going deduction shall be paid over tothe;;.. City. , • ' . .
16. The City covenants and agree* to con-tinue the employment of those personnelwhd are employed by the Mutual as ofth<t data of signing of this contract fora period of not Us* than one year
front and after the effective date ofthis contract; excepting, however, theCity reserve*' the right to dischargeemployee* for misfeasance, malfeasance,
'.. .o|j;f»onfiWj«'no«£r':v."% . /• "."••..
,', •*^:'.':<','''. •••^]'^ ;•''- .',":.:;,.'•;:.;'" '''...' :
16. It is recognized by the parties hereto,that upon the; consummation of thesale contemplated by this contract, the
Mutual may dissolve and distribute itsassets in kind to the shareholdersstanding of record as of the date of* dissolution;, in the event of such dis-solution; the rights and benefits inuring
to the benefit of the Mutual shall beenforceeJjl* by the individual share'|V hold***^ sWnding1 of record on the date;..', of dissolution of the Mutual or their;; respective successors or assigns.
'•''•' ifti WITNESS : WHEREOF, the Mutual
has, by resolution of Board of DirectorsAdopted on the 30th day of August, 1957,order«a, it3 President to affix his sig-nature for and in behalf of the Mutualand', further ordered its Secretary to at-test to his signature.*
Redemption Fund which hereafter maybe created by the City for the redemp-tion of any bond* issued by the Cityfor the purpose of purchasing right*and properties of Mutual,' or be.: paddby the City to the person* who maybe shareholders of Mutual at the effec-tive date hereof, in proportion to theirRespective stock ownership.
6.1n the event of a water shortage, theCity covenants' and agrees, insofar aspermitted by law or good water dis-tribution practices? to grant priorityj of allocation of all natural .water ex-tracted from the Mission Basin, of SanLuis Rey River to those areas whichare not cross-hatched, in said "Ex-
hibit C".7. The City agrees to maintain at least
Carlsbad Mufual Water CompanyBy C. A. ANTHONY(SEAL) , President
Attest: W, DENNIS WOOD
Secretary
Of:-' WITNESS WHEREOF, the City |
„]««— jfo. 280 adopted
the 30th day of
Mayor for and
, *« w»i-N.KSS WHEREOF, the CCouncil ha^ by Resolution No. 280 adopted I"by the Cite Council on the 30th day of IAugust, 1967, caused its Mayor for and!In behalf of the City of Carlsbad to signl
this contract and ordered his City Clerk Ito attest to the same. '
(SEAL)OF CARLSBADBy M. M. CASTORENA
MayorAttest: M. 0. EWALD
City Clerk
The polls will be opened between thehours of seven o'clock A M «-^o'clock P.M.o'clock A.M. and
Dated October 22
M. O. EWALDCity Clerk
1057.
two varying rate structures, which rate i Published OctoW 94 ^r,^,structures shall include an agricultural - --- ™_iJ«oberJU, 1957
rate and a domestic rate and suchother rate structures as may be here-after created by the City; and the