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HomeMy WebLinkAbout1983-05-25; City Council; Resolution 72281 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 \- RESOLUTION NO. 7228 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA APPROVING A WATER SERVICE AGREEMENT BETWEEN THE CITY OF CARLSBAD AND COSTA REAL MUNICIPAL WATER DISTRICT FOR THE ALLOCATION OF RESPONSIBILITIES FOR THE PROVISION OF WATER SERVICE. WHEREAS, the City of Carlsbad and Costa Real Municipal Water District have reached an agreement regarding the allocation of responsibilities for the provision of water serivce in the City of Carlsbad NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad as follows: 1. That certain agreement between the City of Carlsbad and Costa Real Municipal Water District for the allocation of responsibilities for the provision of water service marked Exhibit A and made a part hereof, is hereby approved. 2. That the Mayor of the City of Carlsbad is hereby authorized and directed to execute said agreement for and on behalf of the City of Carlsbad. adjo rned PASSED, APPROVED AND ADOPTED at a/regu!?ar meeting of the City Council of the City of Carlsbad,California, held on the 25th day of May 1983 by the following vote, to wit: AYES: Council Members Casler, Lewis, Kulchin, Chick and NOES: None Pres cott ABSENT: None %!f&//L MARY H. 0 SLER, Mayor ATTEST : WATER SERVICE AGREEMENT 1. Introduction. This Agreement is the outgrowth of negotiations between the City of Carlsbad and the Costa Real Municipal Water District which began in the summer of 1982. These negotiations have been part of an effort to set- tle the legal action entitled Costa Real Municipal Water Dis- trict V. City of Carlsbad, et al., San Diego Superior Court, No. N 20027, and the complex issues which underlie that case. The basic dispute between the City and the District concerns the way in which water service should be provided to that ter- ritory which lies within their overlapping boundaries. basic understanding has now been reached on a functional allo- A cation of responsibilities between the City and the District for the provision of such water service. this Agreement to set forth that understanding, but with the It is the purpose of realization that certain details will need to be worked out by the Joint Committee. The Agreement czn be implemented in phases as the Joint Committee determines. ' The functional division of responsibilities between the City and District is not tied to the ownership of facili- ties, OK the territory in which the parties have previously -1- rendered service. gather, it represents a cooperative arrange- ment between the parties aimed at avoiding duplication of ser- vice; pooling their resources and reducing overall costs; di- viding responsibilities for specific aspects of water service in ways that reflect the special interests and capabilities of the parties and will best serve the public interest; settling the existing litigation; avoiding future disputes; and provid- ing a basis for a continuing closer working relationship be- tween the City and District. ; 2. Area Included. The provisions of this Agreement shall apply to all territory and customers now located within the bou'ndaries of the Costa Real Municipal Water District. The District boundaries encompass most of the City, and substan- tially all of the District lies within the City's designated Sphere of Influence, the District boundaries, and that territory is not included within the terms of this Agreement. A portion of the City extends outside of 3. Water System Included. Within the included area, this Agreement shall apply to the complete water systems of each of the parties, without regard to which party may own -2- the facilities, and also to water facilities which either party may hereafter construct or acquire. water rights of the City, though located outside of the bound- aries of the City, are also included, as well as certain other The present wells and parcels of real property and funds of the City, to the extent specified in this Agreement. The cooperative use or transfer of personnel, certain items of equipment, supplies, vehicles, and other pe.rsona1 property will be determined by the City Manager and District General Manager. 4. Customer Service. The City will provide the retail water service to all customers in the area, including those now receiving agricultural service from the District, and including subdivisions and individual services. functions shall include: The City's (a) Processing all applications for water ser- vice, reading meters, billing, collecting accounts, and turning water service on and off. (b) Installation of all retail meters. (c) Handling all routine service calls, includ- ing complaints about pressure leaks, and water taste, color and odor. Any matters within the District's responsibilities will be referred by the City to the District. -3- 5. Retail Water Rates and Charges. The City will establish and collect all retail water rates, deposits and charges, provided that all such funds shall be used solely for the water system, and not for any other City functions. Such rates and charges shall be uniform €or like classes of serv- ices throughout all territory within the District. Proceeds collected by the City shall remain its property, except for any charges collected on behalf of the District. The District shall transfer to the City all rebates for interruptible ser- vice received from the San Diego County Water Authority. 6. Wholesale Water Supply and Rates. The District shall be responsible for providing the necessary wholesale water supply to the City to enable it to carry out its func- tions under this Agreement, and shall sell such water to the City at a single wholesale rate to be established by the Dis- trict. 7. Operation and Maintenance. The District shall operate and maintain the water system for the area, including all facilities from the San Diego County Water Authority Aque- duct to the customer's meter. This responsibility shall in- clude the present City reservoirs and pipelines, and also all -4- wells and pumping equipment owned by the City. Repair and maintenance of all customer meters shall be the responsibility of the City. 8. Subdivision Development. (a) The District, with input from the City, will adopt a master plan of facilities, plans and specifications, and regulations for the installation, construction and opera- tion of potable water facilities. (b) The City will process applications for water service to subdivisions and will be responsible for the design, construction and inspection of all water distribution facili- ties, subject to the following procedure: I (1) When a tentative map is filed with the City, a copy shall be forwarded to the District for review to determine if there will be any transmission facilities necessary as a result of the subdivision. (2) The District shall advise the City in writing as to whether any transmission facilities will be necessary as a result of the subdivision in- dicated by the tentative map. (3) If the District advises the City that -5- the subdivision will not require any transmission facilities, the City will thereafter be responsible for the design, construction and inspection of the water facilities within such subdivision in accord- ance with the applicable standard plans and speci- fications. (4) If the District advises the City that the subidivison will require transmission facilities, the District shall review and approve all plans for such work, and shall participate in the inspection thereof. At the outset of such a project, the Dis- trict Engineer may request a conference with the City Engineer and the developer for the purpose of determining how the contributed transmission facili- ties will be designed, constructed, inspected, and financed with respect to oversizing and any reim- bursement to the developer. Any disagreement over what constitutes transmission facilities, or with respect to any other matter in this subsection, shall be referred to the City Manager and District General Manager for settlement. I (c) In all cases the City shall furnish to the District a copy of the "as built" plans, including inspection -6- notes, of water facilities within the subdivision. (d) The City shall establish, collect and retain any fees or deposit5 connected with the subdivision or individ- ual water service, subject to the following: (1) The City shall reimburse the District for any of its costs or expenses incurred in connec- tion with the transmission facilities connected with the subdivision. (2) The District shall establish any con- nection fees or major facilities charges for the con- struction of major capital water facilities. Any such fees imposed on developers or others for subdi- , vision water service shall be collected by the City 9 on behalf of the District, and transferred to the District to be deposited in the capital development fund of the District. . (e) Title to new in-tract subdivision facilities shall be dedicated to the City. Rights of way therefor shall be dedicated jointly to the parties. Title to any new transmis- sion facilities required in connection with any subdivision de- velopment, and the necessary rights of way or easements the-re- for, shall be dedicated to the District. In the event of ter- -7- mination of this Agreement, title to all in-tract facilities acquired after the date of this Agreement shall be transferred to the party who becomes responsible for the operation and maintenance of such facilities. 9. Major Capital Improvements. The District will be responsible for the planning, financing and construction of all major capital facilities necessary to provide potable water service within the District. Such responsibility shall include not only facilities necessary for the storage and distribution of imported water, but also the development of any local sup- plies which may be needed and feasible in the fu.ture, including the desalting of brackish water. A capital development fund shall' be established, to be administered by the District with input from the City, and to be used for such capital facilities. Both the City and District shall contribute to such fund. The City will contribute the proceeds from the sale or lease of Lake Calavera, together with any undesignated reserves in the City's water utility fund. . charges collected by the City on behalf of the District shall Connection fees or major facilities also be deposited in such fund. The District will coordinate the capital improvement program with the City. -8- 10. Reclaimed Water. (a) The City will be responsible for all phases of the reclaimed water system in the area and for the supply and distribution of reclaimed water. The City, with input from the District, will adopt a master plan of facilities, plans and specifications, and regulations for the installation, construc- tion and operation of reclaimed water facilities. (b) In all cases the City shall furnish to the District a copy of the "as built" plans of reclaimed water fa- cilities, such plans to be used solely €or information and co- ordination purposes in the operation of the potable water sys- tem by the District. ' ' 11. Existing Debt. The City will pay off the re- maining balance of its water revenue bonds. This shall be ac- complished before any transfer of the City's water utility funds to the capital improvement fund. The District will pay principal and interest on its remaining and outstanding im- provement district bonds from real property taxes levied for that purpose. 12. Joint Committee. The parties will form a Joint Committee, composed of parallel and equal membership from the -9- .. .- . .. . . . ..-It City and District. The purposes of the Committee shall be to implement this basic Agreement, to attempt to resolve any dis- putes which may arise over it, and to undertake such other ac- tivities as may promote the sound management of water service for the area. 13. Implementation. This Agreement shall be incor- porated into a Stipulated Judgment in the existing law suit. Such litigation shall be settled on that basis, and the parties shall be ordered to perform their respective obligations. The Judgment, subject to Court approval, shall provide for the con- tinuing jurisdiction of the Court. Such jurisdiction shall be invoked .by appropriate motion and shall include the power: to settle disputes that may arise out of the interpretation of the.Agreement or the performance of the parties hereunder; to approve and incorporate any Agreement amendments into the Judg- ment: to terminate the Agreement upon a showing of good cause in the public interest; and upon any such decision to terminate the Agreement, to issue such orders and to establish such con- ditions as may be necessary to provide for the future water service of the area, and to determine the respective roles, if any, of each of the parties, and to provide for an orderly ' - 10 - transition from the conditions established under this Agree- ment. Until the Joint Committee shall determine otherwise, water service shall be provided in accordance with the Stipu- lation that has already been filed in the existing law suit. None of the negotiations that have occurred between the parties, nor the period of time involved in such negotiations, nor the terms of this Agreement shall be used as an admission or claim of laches or estoppel, or otherwise in any way used in any litigation to the prejudice of either party. The parties will not commence or undertake any proceedings to establish the Dis- trict as a subsidiary District of City without prior approval of the Court. e 14. Indemnity. The parties shall each indemnify and hold the other harmless from any costs or liability arising out of failure to perform its responsibilities under this Agreement, or the negligent or tortious conduct in the performance of its responsibilities thereunder. This Agreement is dated and effective on the 25% - 11 - , tr 1983' day of CITY OF CARLSBAD ATTEST : COSTA REAL MUNICIPAL WATER DISTRICT ATTEST: BY ./President - 12 -