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HomeMy WebLinkAboutSCRWA - 1979 JPA:.979 JOINT EXERCISE OF POWERS ACREEMFNT BETWEEN CITY OF rILROY AND THE CITY OF MORGANT HILL �..' ::.ATING TO JOINT WASTEWATER MANAGEMENT FACILITIES This AGREEMENT, dated for convenience as of April 18, 1919, is by and between the CITY OF GILROY ( "GILROY ") and the CITY OF MORGAN HILL ( "MORGAN HILL_ "), County of Santa Clara, State of California. W I T N E S S E T H WHEREAS, under a prior Joint Exercise of Powers Agreement dated. July 1, 1967, as amended by a Supplement dated January 8, 1969, and a Second Supplement dated December 19, 1977, GILROY and MORGAN HILL have established an inter -city boundary line., have constructed a joint sewage interceptor line from Monterey Highway and California Avenue to Farrell Avenue with a flow meter thereon at Harding Avenue, and have expanded the capacity of the sewage treatment plane at Gilroy to accom- modate the requirements of both cities on an interim basis; and WHEREAS, under said prior Agreement, both .,i_ies contemplated the execution of a new Joint Bowers Agreement for the construction of a new sewage treatment plant and for the continued operation and maintenance of all joint facilities; and WHEREAS, the joint exercise of powers provided for herein will inure to the benefit of both cities. NOW, THEREFORE, GILROY and MORGAN HILL hereby agree as follows:. A. PURPOSE GILROY and.MO?.GAN HILL make this agreement Pursuant to Chapter 5, Division 7, Title I of the Government Code (Sections., 6500 et seq.) in order to exercise jointly the powers common to both as set forth herein. B. TERM This Agreement shall become effective when executed by both cities pursuant to resolutions of their Councils and shad continue in force and effect so long a� any of the facilities gover -ed hereby remain jointly :)wned, maintained, o? �±perated, or until amended cr superseded by written agreement of GILROY 3•:: VORGAN HILL. -1- C'..- BOUNDARY AGREEMENT GILROY and MORGAN HILL have established an approved inter -city boundary line as shown on Exhibit "A" attached hereto. Neither city shall extend its city limits beyond the inter -city boundarly line without the consent of the other evidenced by a resolution of-the Council of the consenting city. Each city agrees to give such consent whenever necessary to prevent the boundary line of any area to be annexed to either city or the city limit lines of either city from bisecting any parcel of real property owned by a single owner. The cities agree that, if either city shall by annexation proceed- ings of any kind extend its city limits beyond the inter -city boundary line without the consent of the other city, then no part of the area to which such annexation proceedings relate shall be served by the joint facilities. D. INTERCEPTOR SEWERS GILROY and MORGAN HILL have constructed, under the prior agreement, an interceptor sewer from .Monterey Highway and California Avenue to Farrell Avenue which is a joint sewage interceptor line. 1. Monterey- Highway to Farrell Avenue The capacity allocated to MORGAN HILL in the portion of said joint facility Trom California Avenue to Farrell Avenue is established as 3.1 million gallons per day by the above - mentioned prior agreement. It is hereby agreed that MORGAN RILL shall purchase from GILROY an additional 0.9 million gallons per day allocation of capacity for a total sum of $30,000, said sum being mutually agreeable to both cities. It is, therefore, agreed that upon completion of said purchase, the capacity allocated,to MORGAN HILL in the portion of the joint interceptor sewer from the intersection.of Monterey Highway and California Avenue to Farrell Avenue shall be 4.0 million gallons per day with the balance of the capacity in said portion of joint interceptor sewer allocated to GILROY as shown on Exhibit "B ", attached hereto. GILROY agrees to discuss a sale or lease of additional capacity in the joint interceptor line if it is determined in the future that -2- ' y T, that a portion of the remaining capacity in said line is surplus to GILROY'S needs. All costs incurred in the maintenance, repair or replace- ment of said joint interceptor sewer shall be shared by MORGAN HILL and GILROY in the same ratio as the capacity allocated to each city is to the total capacity of said interceptor sewer. 2. Farrell Avenue to. the _Glrpy Treatment' Plant Until completion of the new interceptor sewer from Farrell Avenue to the Gilroy Treatment Plant, MORGAN HILL and GILROY shall share equally in the capacity of the existing sewer between said locations. Upon completion of the new interceptor line; all capacity in'the existing GILROY sewer shall revertto GILROY. 4 The new interceptor sewer between Farrell Avenue and the Gilroy Treatment Plant shall be constructed to provide a design capacity of 15.5 million gallons per day. MORGAN.HILL and GILROY shall share equally in the cost of engineering, construction, repair, maintenance, and all easements or rights of way necessary for said new interceptor sewer, and shall share equally in the capacity thereof. E. FLOW METER The meter installed by MORGAN HILL on the joint interceptor line at Harding Avenue shall be used to determine the volume of flow attri- butable to MORGAN HILL. The meter shall be read by the GILROY staff and the readings furnished to MORGAN.HILL on a weekly basis. MORGM.1 HILL staff,may arrange with GILROY staff for joint meter readings. The volume of flow attributable to GILROY shall be the measured weekly flow through the sewer plant, less the concurrent weekly volume of flow attributable to MORGAN HI_LL through the flow meter. Sewer plant flow records kept by GILROY shali,be open to inspection by MORGAN HILL. F. PRESENT SEWAGE TREATMENT PLANT 1, Allotment of Capacity The cities agree that the current authorized capacity of the present GILROY sewage treatment plant is 3,700,000 gallons -3- per day. Of this total, the capacity allocated to MORGAN HILL shall be 1,400,000 gallons per day and to GILROY is 2,300,000 gallons per day._ Any increase or decrease of present plant capacity authorized or ordered by any supervising governmental, authority shall be shared or suffered by the parties in propor- tion to their- current allocated capacities. GILROY agrees to discuss with.MORGAN HILL the allocation of additional capacity in the present plant. Such-discussions can commence after the date construction of the new treatment facility actually begins. 2. Rental Until completion of the new joint treatment plant, MORGAN HILL shall pay rent computed as follows for rental of capacity in the existing Gilroy Treatment Plant: For the first 500,000 gallons of flow per day, 7.75 cents per 100 cubic,feet. °.For. the excess flow over500;000 gallons per day, 3.875 cents per 100 cubic feet. These rental rates shall be reviewed annually and adjusted each March l.to provide reimbursement of actual costs to GILROY on the portion of the plant allocated to MORGAN HILL. 3. Operation Costs In addition, until completion of the new joint treatment plant, MORGAN HILL shall pay GILROY, as its share of the cost of operating and maintaining the existing treatment facilities and of disposing of treated sewage at the existing treatment plant, the sum of five (5) cents per.100 cubic feet of sewage treated as measured by the flow meter. This rate shall be adjusted annually each March 1, if required, to reflect increases or decreases in GILROY'S actual costs of operation. G. NEW JOINT SE14AGE TREATMENT PLANT The cities.are in the process of obtaining the governmental clearances and financial grants necessary to construct a new joint sewage treatment plant on land presently owned by GILROY in the vicinity of the present GILROY treatment plant. -4- 1. Allotment of Capacity The cities agree that MORGAN HILL shall have .a 42 percent (42 %) share and GILROY a 58 percent (58 %) share of the new plant capacity, and that each city shall contribute to the cost of construction, operation, and maintenance of the new plant, and shall share in plant ownership and any government grants, in proportion to its share of capacity, 2. Wastewater Reclamation GILROY, in cooperation with the two local water districts, has constructed and installed a wastewater reclamation project now in operation to provide treated irrigation water from the present sewer treatment plant to the area west of GILROY and Along Hecker Pass-Highway. GILROY represents that the project will be utilized as a part of the ultimate wastewater management facilities and will continue in operation in conjunction with the new plant and will be approved As part of the final facilities plan. Therefore, based.on GILROY'$ representations, the costs of construction and operation of the wastewater reclamation project are considered to be part of the new sewage treatment plant, and MORGAN HILL agrees to contribute 42 percent (42 %) of the costs incurred by GILROY in the retirement of debts incurred in con- strutting said project and in the maintenance and operation thereof. MORGAN HILL will also share in 42 percent (42 %) of whatever revenues GILROY receives from the operation of the facility. 3. Purchase of Land In addition, MORGAN HILL shall purchase from GILROY a 42 percent (42 %) share of existing land and improvements utilized for sewage treatment and disposal, and 42 percent (42 %) of all new land acquired for the new joint treatment plant and disposal facility. Said land is illustrated on Exhibit 'C" and does not include the present treatment plant. The price for purchase of the existing land shall be paid by MORGAN HILL upon completion of the new joint treatment plant. The other land shall be paid for on a progressive basis during -5- the course of the project. The obligation of MORGAN HILL for land purchase is illustrated as follows,. although a portion of the costs shown may be grant funded: ° Existing Land 47.2 acres at $7,500 /acre x 0.42 $148,680 Existing. Levee and Improvements 18,000 ° New Treatment Plant Site 14.821 acres at $7,500 1acre x 0.42 46,686 ° New Percolation Pond 39..5 acres at $7,500 /acre x 0.42 124,425' TOTAL ESTIMATED PURCHASE PRICE $_33`7',_791 4. Sewer Advisory Committee The new plant will be operated and administered by GILROY, with recommending authority vested in a sewer advisory committee . to be composed of five (5) members to be appointed by and to serve at the pleasure of the respective City Councils of the cities.. Each city shall be entitled to appoint one member to the committee for each 20 percent (20%) interest or majority fraction thereof, in the capacity of the new plant. The committee shall have the responsibility of recommending policy for the day -to -day operation of the new plant, expansions, capital improvements, and the annual budget of the total wastewater management facilities. Any four members of the committee shall constitute a quorum for the conduct of business at any meeting legally called and held. The committee shall provide for dates upon which it shall hold regular meetings, and special meetings may be called and held upon 24 hours advance written notice to each committee member by the committee chairman or any member thereof. The approving votes of at least three members of the committee shall be required to recommend any operational rule, regulation, or operational budget change. The committee shall deliver- a report of all actions taken at each meeting to the Council of each city for approval prior to imple- mentation. If one city objects to a recommendation of the committee,, the action shall not be implemented until the issue is resolved. The Council of each city may refer to the committee any questions 10 relating to changes in-rules or regulations or to the general ..;management of the new plant. It is the intention of the cities that,.all applications for, 'any ;sewage output from any single industrial or commercial plant exceeding 50-,000, gallons ,per day proposed :to -be trdAttd° by the new plant shall be reviewed and:recommendedby a majority :vote `(f the committee; that the"' c"8mIIiititle:�6 could recommend that the producer of any such sewage output be' required to provide pre- treatment, at its own expense, of any effluent that the committee r. determines will be injurious or over- burdening to the new plant. 5. Expansion If the committee should recommend to each City Council that additional capital outlays are required to provide more capacity for the new plant or for any part of the sewer system . serving the cities, then upon concurrence of both City Councils, each city will provide its proportionate share of each such capital_ outlay. In the event that either city declines to or is unable to provide its said share of any required capital outlay for a period of one (1) year after demand therefor, such city's share of the capacity of the new plant will not be increased after the date of such demand Tantil such city does provide its said share of such capital outlay. In the event either city does not wish to provide its share of any such capital outlay, the other city will have the option to increase the capacity.of the new plant and of the sewer system serving it to the extent required for its own needs only and thereby increase to that extent its interest in the new plant and said sewer system and its representatives upon the committee. Both GILROY and MORGAN HILL-shall have the right to sell to the other any portion of their unused allocated sewage treatment capacity in the new plant. H. HOLD HARMLESS Each city shall save the other harmless and indemnify its officers, agents, and employees, from any and all claims, suits, and actions of any kind whatever brought on account of injuries or damages sustained by any person or property and arising out of or resulting from any negligent or -7- wrongful act or omission by that city, its agents, officers or employees in and during that city's performance in the operation of the present and future wastewater management system under the terms of this Agreement. I. GENERAL 1. All rental and operation cost payments required by this Agreement shall be paid monthly, shall be delinquent 30 days after receipt of appropriate itemized billing, and thereafter, shall incur a five percent (.5 %) delinquency penalty and a twelve percent (12 %) per annum interest charge until paid. 2. The cities agree that neither city shall permit, without consent of the other City Council, any connection to its sewer system by, or provide any sewer service to, any area outside its pity limits as they then exist; except for any connection made by GILROY to its independent industrial sewer facilities and except for the area served by MORGAN HILL described in Exhibit "D" attached hereto entitled "Holiday Lake Estates." 3. Each city agrees that it will not permit any connection to be made to its sewer system that will result in any effluent entering the joint facilities that does not meet the standards set forth in Sections 19.99, 19.102,'19.104 and 19.105 of the Gilroy City Code as they now exist or may hereafter be amended, by agreement of both cities, that will be harmful to the sewage treatment plant or its equipment or that will upset the balance . of the treatment processes. 4. In the event either city exceeds any allocated capacity in the Agreement by 10,000 gallons per day, or more, dry weather average daily flow, the city so exceeding its capacity shall pay to the other city a cash penalty of $250.00 per day for each day of excessing average daily flow determined on a weekly basis. 5. In addition to the penalties provided for herein,- either city shall have the right to obtain a_ restraining order, injunction, damages or other proper relief, in any court of competent juris- diction for any violation of this Agreement�by the other city, requiring that adequate steps be taken to stop such violations, subject to such penalties as the court deems proper. The pre- IF:19 wailing party shall be entitled to a reasonable attorney's fees to.be fixed by the court. 6. Any controversy or claim arising out of or relating to this contract, or the breach thereof, may be settled at the-request of either city by arbitration in accordance with the then current Rules of the American Arbitration Association, and judgment upon the award rendered by the arbitrators maybe entered in,any court having jurisdiction thereof. Costs of ,arbitration ;proceedings shall be borne by the city against which the ruling is made., 7. GILROY operates industrial filter beds, separate and apart from its sewage collection system, the existing interceptor line and the GILROY plant, and MORGAN HILL agrees that none of the. provisions of this Agreement shall affect, in any way, GILROY'S freedom of action relating to the operation of said industrial filter- beds or in connection with any separate industrial waste disposal program.which GILROY or MORGAN HILL may.undertake within its portion -of the inter -city boundary line. 8. Any facilities constructed by the cities pursuant to this Agreement shall, upon termination of this Agreement, be.jointly owned by the cities in the proportion in which each contributed to the cost of construction and completion thereof. 9. Each city shall establish and maintain such funds and accounts and small maintain such records in connection with the matters covered by this Agreement as may be required by good accounting or sound business practice. All books and records of each city relating in any of the matters provided for in this Agreement shall be open to inspection at all reasonable times by the other city and its representatives. 10. Should any part, term or provision of this Agreement be decided by the courts to be illegal or in conflict with any law of the State, or otherwise be rendered unenforceable or ineffectual, the validity of the remaining portions of provisions of this Agreement shall not be affected thereby. ME 11. This Agreement shall be binding upon and shall inure to the benefit of the respective successors of the cities. Neither city may assign any right or obligation hereunder without the consent of the other. 12. This Agreement may be amended at any time by a written supple- ment properly executed by both cities. 13. Upon proper execution of this agreement, the prior .Agreement of July 1, 1967, all all supplements thereto shall be rescinded in full. IN WITNESS WHEREOF, GILROY and MORG_AN HILL have caused this Agreement to be executed and attested by their proper officers thereunto duly authorized and their official seals to be hereto affixed, as of the day and year first above written. ATTEST: VA W-'M�E po-ro-.j �'. X. Wwiy' VA K V, e �'_ "_ ___ galfiv- PAR ATTEST: ity Clerk--- -10- CITY OF GILROY By _ ayor lAf By CITY OF MORGAN HILL I ON TIM rk, 5-1 �At^ e 4x, IN V 4t "I Pa 731, CIO -vr Alp 41 Ipp NN, 'Oorw rk, 5-1 �At^ e 4x, IN V 4t "I Pa 731, CIO -vr Alp 41 Ipp NN, {1 tatuat.rl - �. Al Clh W i-s V 1 771 - -. � � B r O' id soup hr_� - i � � _ �� rt � ,r ■ � z � C r 12 ®0! 126 - 1Iwo 0 / 106 1Fr dd . - � ✓�I - , , � � m .canto �� '�A� �� -- -� 7` � �. Z% p � IQ 30 L y r I \ ) JL ,JOINT INTERCEPTOR PIPELINE CAPACITIES REACH TOTAL MORGAN HILL GILROY _ 1-Z 4.0 4.0- 0 2 -3 5:5 4.0 1. S �\ 3 -4 5.5 1q.0 1, 5 I "= 31000 4-5 537 4.0 1.7 5 -6 6.6 4.0 2.6 6-7 8.7 4.0 4.7 _ ..._ 7 -8 7.0 4.0 3:0 8 -9 815 440 4,'S x 9 -10 10.3 4.0 6.3 (.0 10 -11 11.5 4.0 7.5 11-1Z 10.8 3.1 7.:7 IZ -13 2.74 1.37 1.37 _ P NEW PLANT ig SITE 14.821 Acl, A I"= +00, 'I LEGEND -OF WASTEWATER GILROY r11A NM LAND 58% EXIST. PERC. FOND5 58% OTHER 100% EXISTING PLANT &TE EXISTING GILROY INDU5TRIP1 WASTE WATER. FACILITIES 21 NEW PERCOWION • ol F6105 59.5 AC. a. ir MT 4 OWNE95Ht? MORGM Hll,1 -lZyG .UH1151T C RESOLUTION NO. 79 - 3$ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY AUTHORIZING THE EXECUTION OF A JOINT POWERS AGREEMENT WITH THE CITY OF MORGAN HILL DATED APRIL 18, 1979. BE IT RESOLVED that the City of Gilroy.be authorized to execute the Joint Exercise of Powers Agreement with the City of Morgan Hill, in the form attached hereto as Exhibit "A" and incor- porated herein; and BE IT FURTHE_R'RESOLITED that the Mayor- Protempore of the City of Gilroy be authorized to execute said agreement for and on behalf pf the City of Gilroy, and that the City Clerk of the City of Gilroy be authorized to attest said execution, and,affix the seal of the City of Gilroy to said agreement. PASSED AND ADOPTED this 16th day of April, 1979,. by the following vote: AYES: COUNCIL MEMBERS: HUGHAN, LINK, PATE, STOUT and GOODRICH NOES: COUNCIL *AMBERS: None ABSENT: COUNCIL MEMBERS: CHILDERS and CUNNINGHAM APPROVED: /s/ NORMAN B. GOODRICH Mayor ATTEST: City Clerk RESOLUTION NO. 79,- 33 RESOLUTION NO. 1.464 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORGAN HILL, CALIFORNIA, AUTHORIZING THE EXECUTION OF THE 1979 JOINT EXERCISE OF POWERS'AGREEMENT BETWEEN THE CITY OF GILROY AND THE CITY OF MORGAN HILL RELATING TO JOINT WASTEWATER MANAGEMENT FACILITIES BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MORGAN HILL, CALIFORNIA AS FOLLOWS: SECTION 1. That the Mayor and City Clerk hereby are authorized to execute on behalf of the City of Morgan Hill, California, that certain.agreement entitled "1979 Joint Exercise of Powers Agreement Between the City of Gilroy and the City of Morgan Hill Relating to Joint Wastewater Manage- ment Facilities ".which is dated April 18, 1979 and pertains to the wastewater facility in Gilroy. PASSED AND ADOPTED this 18th day of April, 1979, by the following vote: AYES: COUNCILPERSONS: Bertelli, Castle., Heiman, Wengert-, Wyman NOES: COUNCILPERSONS: None ABSENT: COUNCILPERSONS: None APPROVED /s/ Werner S. Wenge_rt vIERNER S. WENGERT, Mayor ATTEST: /s/ Madge W. Soares MADGE W. SOARES, City-Clerk CERTIFICATE OF THE CITY CLERK I, MADGE W. SOARES, City Clerk of the City of Morgan Hill, California, do hereby certify that the foregoing is a true and correct copy of Resolution No. 1464 of the City Council of the City of Morgan Hill, passed and adopted at a meeting thereof held on the 18th day of April, 1979. WITNESS my hand and the seal of the City of Morgan Hill this 19t ay of _Apr. T_ 19 79 MADGE W. SOARES, City Clerk S I, SUSATNE E. STEI_NPIETZ, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 79 -3_ 3 is an original resolution, duly adopted by the Council of the City of Gilroy at a regular, meeting of said Council held on the 16th day of April �g 1979, at which meeting a quorum was present. Irl WIVTESS WHEREOF, I have hereunto set my hand and affixed the official Seal of the City of Gilroy, this 19th day of April 19 79 City Clerk of the City of Gilro