Resolution 1982- 38
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RESOLUTION NO. 82-38
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY ESTABLISHING ~THOD
OF PAYMENT OF AGRICULTURAL PROCESSPJG \,-TASTEHATER FEES.
\mEREAS, Gilroy Foods, Foremost Gentry, Ca1-Can and Garden Valley
Foods (DISCHARGERS) have entered into an agreement with the City of Gil-
roy (CITY) for proper Agricultural Processing \Jastewater (APW) treat-
ment; and
WHEREAS, the APW fund has a sizable negative balance and the re-
quired bond reserves have not been established; and
w~EREAS, it is the desire of the above-mentioned DISCHARGERS to
maintain a positive APW fund balance and create the appropriate bond
reserve and will make necessary payments to accomplish this desire; and
~mEREAS, the above-mentioned DISCHARGERS desire to pay actual
expense and improvements for APW treatme':-:.t.
Nm.:J, THEREFORE, BE IT RESOLVED that the above-mentioned DISCHAR-
GERS will pay for APW fees as follows:
1. The existing APW fund and the bond reserve devicits at the
end of a mutually agreed month shall be paid to the CITY over a 24
month period using the December 1981 usage formula (Gilroy Fods - 49.5%,
Foremost Gentry - 15.6%, Cal-Can - 28.3% and Garden Valley Foods - 6.6%).
2. New capital expenditures that exceed $25,000.00 must be ap-
proved and paid separately as mutually agreed by the DISCHARGERS and
the CITY.
3. The monthly billing for operating expenses and those capital
improvements less than $25,000.00 will be based on the previous year's
flow percentages with adjustments for actual performance in January of
each year. All bills will be due and payable within 20 calendar days
RESOLUTION NO. 82-38
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from billing date. Late payments will be charged the usual CITY ser-
vice charges.
4. Interest will be computed on the APWfund in June of each
year based upon the monthly balance of said fund and average interest
earned by the CITY. Interest charges for fund deficits will be billed
in July. Interest credits for positive balances will be credited to
the DISCHARGERS in July or remain in the fund as mutually agreed by
the DISCHARGERS and the CITY.
5. The above-mentioned monthly billings, fund balance deficit,
and capital improvement payments will be identified as service charges
and right to use charges as set forth in City Code Section 19, Article
III, Division 3.
6. The DISCHARGER'S spokesman will receive a monthly expense
report of the City's APW fund.
7. The members of the APW Committee will participate in the
APW budget review in March of each year for the CITY'S next fiscal
year budget.
8. Flow measurements and samples of APW shall be taken during
each calendar month for each DISCHARGER. These samples shall be analy-
zed for BOD and fixed suspended solids. Said records shall be analyzed
each December and actual discharge percentages during the previous year
shall be determined for each DISCHARGER. Operational costs shall be re-
viewed to determine costs during the previous 12 months for each of the
three factors (i.e.; silt, BOD, and flow). This analysis shall result
in percentages for billing purposes and usage adjustments.
9. Any resolution or policy in conflict with this subject is
hereby rescinded.
PASSED AND ADOPTED this 15th day of March, 1982, by the following
vote:
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RESOLUTION NO. 82 - 38
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AYES:
NOES:
COUNCIL ~EMBERS: ALBERT, GAGE, HUGHAN, LINI(, TAYLOR,
VALDEZ and GOOD~ICH.
COUNCIL }1EMBERS: T\lone
ABSENT:
COUNCIL MEMBERS: None
APPROVED:
/(~~
Hayor
ATTEST:
~LH~lfk~
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RESOLUTION NO. 82 - 38
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I, SUSANNE E. STEINMETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Resolution No. 82-38
is an
original resolution, duly adopted by the Council of the City of
Gilroy at a regular meeting of said Council held on the 15th
day of
March
19 82 at which meeting a quorum was
-'
present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
Official Seal of the City of Gilroy this
18th day of ~arch
, 19~.