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HomeMy WebLinkAbout2002.04.16_OPWA AgendaPUBLIC NOTICE OF THE MEETING OF THE OWASSO PUBLIC WORKS AUTHORITY TYPE OF MEETING: Regular DATE: April 16, 2002 1< TT IM E: 30 P.M. kj:.11 PLACE: Council- Chambers, Owasso Community Center Notice and agenda filed in the office of the City Clerk and posted at City Hall at 4:00 p.m. on Friday, April 12, 2001 Marcia �outwel'l, �Authority S�ecreta�ry� AGENDA 1. Call to Order Chairman Barnhouse 2. Flag Salute 3. Roll Call 4. Consideration and Appropriate Action Relating to a Request for Approval of the Consent Agenda. All matters listed under "Consent" are considered by the Trustees to be routine and will be enacted by one motion. Any Trustee may, however, remove an item from consent by request. A motion to adopt the Consent Agenda is non-debatable. A. Approval of the Minutes of April 2, 2002 Regular Meeting. Attachment #4-A Owasso Public Works Authority April 16, 2002 Page 2 B. Approval of Claims. Attachment #4-B A P r] C. Action Relating to an Independent Audi', of Financial Transaction for the OP-IAT . Pun— V for FY 2000 -2001; and a Request for the rrustees to Receive the Audit Report, See Council Attachment The staff recommends the Authority "receive" the audit for review and information. 5, Consideration and Appropriate Action Relating to Emergency Water Connection Agreements. Mr Carr Attachment #5 The staff will recommend Trustee approval of agreements with Rural Water District No, 3, Washington County, for temporary emergency water service for Bailey Ranch Estates I and Country Estates V, and authorization for the Chair to execute the agreements. Owasso Public Works Authority April 16, 2002 Page 3 8e New Business. (New Business is any item of business which could not have been foreseen at the time of posting of the agenda.) 9. Adjournment, OWASSO PUBLIC WORKS AUTHORITY MINUTES OF REGULAR MEETING Tuesday, April 2, 2002 The Owasso Public Works Authority met in regular session on Tuesday, April 2, 2002 in the Council Chambers at the Owasso Community Center per the Notice of Public Meeting and Agenda posted on the City Hall bulletin board at 4:00 p.m. on Friday, March 29, 2002. ITEM 1: CALL TO ORDER Chairman Bainhouse called the meeting to order at 6:37 p.m. ITEM 2: FLAG SALUTE The flag salute was held during the City Council meeting preceding this meeting. ITEM 3: ROLL CALL PRESENT Mary Lou Barnhouse, Chair Randy Brogdon, Vice Chair Michael Helm, Trustee STAFF Rodney J Ray, City Manager Ronald D Cates, Authority Attorney Marcia Boutwell, Authority Secretary ABSENT Will Williams, Trustee Rebecca -Armstrong, Trustee ITEM 4: RE UEST APPROVAL OF THE CONSENT AGENDA. A. Approval of the Minutes of March 19, 2002 Regular Meeting. B. Approval of Claims. The consent agenda included minutes of the March 19, 2002 regular meeting, by reference made a part hereto. Item B on the consent agenda included the following claims: (1) Owasso Public Works Authority $52,396.61; (2) OPWA Capital Improvements Fund $105,381.95; (3) OPWA Sales Tax Fund $136,173.16; (4) Payroll $33,074.26. Mr Brogdon moved, seconded by Mr Helm to approve the consent agenda AYE: Brogdon, Helm, Barnhou" NAY: None I Motion carried 3-0. None. EA3 Owasso Public Works Authority ITEM 6: REPORT FROM OPWA ATTORNEY. No report. ITEM 7: NEW BUSINESS. ITEM 8: ADJOURNMENT Mr Helm moved, seconded by Mr Brogdon to adjourn, AYE: Helm, Brogdon, Barnhouse NAY: None Motion carried 3-0, and the meeting was adjourned at 6:38 p.m. Marcia Boutwell, Authority Secretary March 19, 2002 Mary Lou Barnhouse, Chair OPWA CLAIMS TO BE PAID 4/16/02 YENDCR NAME. AMOUNTS QDEBZOTAL BUNDTOTAL TREASURER PETTY CASH DEPOSIT REFUNDS 4818 OFFICE DEPOT OFFICE SUPPLIES 18.47 VVALMAF T OFFICE SUPPLIES 5.54 RONALD DCATES.ATTORNEY LEGAL SERVICES �8nO0 RONALD DC/A'ES.AJTORNEY RETAINER 700.00 P00 03/02 USE 539.68 VVALMART VACUUM 88.73 IKON OFFICE SOLUTIONS COPIER MAINTENANCE 75.82 METROCALL 02/02 USE 6.32 VVORKMEQ OCCUPATIONAL HEALTH PRE-EMPLOYMENT SCREENINGS 400.00 TREASURER PETTY CASH MEETING EXPENSE 17.84 OPWA ADMINISTRATION DEPT -------- 2.091.58 DAVID R0L|NGM0USE METER READINGS 201.51 MARK MEYER METER READINGS 852.05 O8CARMCLAUR|N METER READINGS 126.00 BRANDON HAMILTON METER READINGS 15930 SHANE HALE METER READINGS 344.85 TYRONED|NK|N@ METER READINGS 352.80 TECHNICAL PROGRAMMING 8VS BILLING SERVICE 829.00 UTILITY BILLING DEPT -------- 2.765.57 WATER PRODUCTS INC WATER METERS/LIDS O8/19/01 3.981.60 WATER PRODUCTS INC WATER METERS/LIDS 8/19N1 4.080.07 R0ARK TRUE VALUE HARDWARE REPA|R/MA|NTSUPPL|ES 50.05 KIMBALL ACE HARDWARE REPA|FVMA|NT8UPPL|EG 40.82 WATER PRODUCTS INC WATER METERS/LIDS 019/01 3.981.00 FARM PLAN PROTECTIVE CLOTHING 43.00 WATER PRODUCTS INC MA|NT/REPA|RSUPPL(ES 581.30 ROwRK TRUE VALUE HARDWARE REPA|FUMA|NT8UPPL|ES 2.50 BROWN FARMS SOD SOD 85.00 LOVVE'8 COMPANIES INC REPA|R/MA|NTGUPPL|E3 4.56 MILL CREEK LUMBER &SUPPLY REPA|R/MA|NT8UPPUEG 9.18 TREASURER PETTY CASH VEHICLE WASH 8.00 L0VVE'S COMPANIES INC REPA|R/MA|NTOUPPL|Eg 6.90 CUNNINGHAM PLUMBING INC METER SETS (V19/01 4.036.93 PSO 03/02 USE 21026 METROCxLL 02/02 USE 86.91 WATER DEPT --------- 17.764.72 VVAL-MART CLEANING SUPPLIES 25.80 R0ARK TRUE VALUE HARDWARE REPA|R/MA|NTSUPPL|EG 27.38 EVANS ENTERPRISES INC REBUILD MOTOR 1.340.24 LOVVE'8 COMPANIES INC RERA|R/MA|NT8UPPL|E8 35.70 BAILEY EQUIPMENT EQU|PMA|NT 34.53 RxMEY TESTING LABORATORY CONCRETE ANALYSIS 780.00 POO 03/02 USE 5.223.89 METROCALL 02/02 USE 632 OFFICE DEPOT OFFICE FURNITURE 47574 VVA8TERVxATEn TREATMENT PLANT DEPT -------- 7.355.25 VENDDR NAME OFFICE DEPOT OFFICE SUPPLIES WATER PRODUCTS INC CHEMICALS U8VABLESTEELYARD GATEPOST FARM PLAN REPA|R/MA|NTGUPPL|ES YVAL-MART REPA|R/MA|NTSUPPUES WATER PRODUCTS INC SANITARY SEWER MATERIALS KIMBALL AGE HARDWARE nEPA|FVfVIA|NTGUPPL|ES BROWN FARMS SOD SOD MILL CREEK LUMBER @SUPPLY RER&|R/MA|NT@UPPL|ES KIMBALL ACE HARDWARE REP&|FVMA|NT@UPPL|E8 FARM PLAN SMALL TOOL WW GRA|NGER|NC TOOLS P8O 03/02 USE METROCALL 02/02 USE WASTEWATER DEPT KIMBALL AGE HARDWARE REPAR/MANTSUPPLES ROARK TRUE VALUE HARDWARE REPA|R8NA|NTSUpPL|BS LOvVE'3 COMPANIES |MC REPA|R/MA|NTSUPPuES REFUSE COLLECTION DEPT D.GOSG& ASSOCIATES, LLC PROFESSIONAL SERVICES BOND PROJECTS FUND FIRST BANK 0FOvwS8O ELM CREEK NOTE OPVv*SEVVERUNEEXTFUND &MDUNTS QE2ZDQTAL B��0� 26A6 84.00 104.54 34.99 542.00 55.00 17.04 89.08 8.98 52.09 1,324.70 44.24 2�50.93 48.09 9.99 5.43 --' o^11 41.81 5.00 49.94 12.64 79.99 67.42 33,348.96 1,200.00 1,200.00 23,000.00 Rujims, MAY CITY GARAGE WORKERS'COMP SELF-INS GENERAL FUND TRANSFERS TOTAL , -11 �F.Wlw A/P TRANSFER REPORT DESCRIPTION TRANSFER FROM OPWA TRANSFER FROM OPWA TRANSFER FROM OPWA ammum PAY PERIOD ENDING DATE 04/06/02 OVERTIME TOTAL DEPARTMENT EXPENSES EXPENSES Utility Billing 0.00 924.60 Wastewater 60.69 7,643.54 7 S. � r { { u'^. �% j. r t °�° 9"t �' �� r- r"a "'fix `.?� Z �' � rF n,r /; ✓„ . ,� � ea.sa ;�'r+s' 3 Refuse 12.00 4,401.35 APPROVED: April 15 TO- THE HONORABLE CHAIR & TRUSTEES OWASS O PUBLIC WORKS AUTHORITY FROM- RODNEY J RAY CITY MANAGER SUBJECT- RE, QUEST FOR APPROVAL OF AGREEMENTS BETWEEN THE OP WA AND RURAL WATER DISTRICT 93, WASHINGTON COUNTY, FOR EMERGENCY WATER SERVICE DATE: April 5, 2002 BACKGROUND: Then in December of 1999, the water district began having concerns about the extended ' "emergency" use of their water supply, and the City, in May of 2000, began serving Bailey Ranch Estates I with city water and closed the interconnect. On May 30, 2000, the City was notified by the water district that a rate review was needed and that the agreement provided for such review and increase. The correspondence from the District indicates there was concern that the District was serving as a "bulk" water provider and that such a sale was not the mission of the District. The indications were that, at that time, the District was desirous of eliminating the agreement and the interconnect. At that time, the City began the process of trying to bring the District to the table for negotiation of an extension of the agreement. During the next 18 months, those negotiations did not make much progress. However, two other agreements relating to a territory trade and a street repair policy were executed during that 18-month period. About four months ago (December), the rural water district recognized that they needed an emergency interconnect with the City in order to ensure their service to the Country Estates V Emergency Water Service April 5, 2002 Page 2 subdivision. The District was in the same position in Country Estates V that the City experienced in Bailey ranch Estates I, and found that the only reasonable resolution was an emergency interconnect. At that point, negotiations began to accelerate and progress was made on developing a final agreement for both the Bailey and Country Estates V interconnect. On March 11, 2002, final drafts of the proposed agreements were completed by attorneys for the two parties. Those agreements are attached for your review. The two agreements are exactly the same and reflect the exact conditions for the supplier and receiver in both cases. 3. Require the receiving party to provide a two-hour notice on weekdays and a four -hour notice on weekends before activating the interconnect, 4. Allow for three emergencies of 30 days duration for each party annually, 5. Establish rates at $3.00 per 1000 gallons during any of the three emergency periods and $3.58 per 1000 gallons during an extended period (a period longer than 30 days), 6. Provide for service to be discontinued at any time if the supplier's customers will receive sub - standard service due to the emergency service, 7. Provide for a 10 -day notice of a breach of the agreement by either party, 8. Allow the supplier party to discontinue service if the water pressure of the supplying party falls below 25 pounds per square inch, and 9. Indemnifies the supplier from liability. The agreements were negotiated and developed by the City Attorney and the District's attorney. A letter from Mr Cates is attached for your review. Emergency Water Service April 5, 2002 Page 3 STAFF RE COMMENDATION- The staff has reviewed the two agreements and recommend Trustee approval of both documents and that the Chair be authorized to execute such agreements. A,rTACHMENTS: 1. Correspondence from Mr Cates dated March 11, 2002 20 Proposed agreement for Country Estates V 3. Proposed agreement for Bailey Ranch Estates I RONALD D. CATES Attorney at Law Suite 680, ParkCentre 525 South Main Tulsa, Oklahoma 74103 918-582-7447 March 111, 2002 Rodney j. Ray, City Manager City of Owasso R O. Box 180 Owasso, OIL '74.055 FAX 918-582-0166 RE: Emergency Connection Contracts Owasso Public Works Authority and Rural Water District No. 3, Washington County, Oklahoma - Bailey Ranch I and Country Estates V Dear Mr. Ray: As I previously advised, I would be communicating with you for purposes of transmittal of proposed agreements relating to emergency water service between the Owasso Public Works Authority and Rural Water District No. 3, Washington County, Oklahoma, pertaining to the above referenced subdivisions within the City of Owasso, Oklahoma. I apologize for the delay in the transmittal of these agreements; however, the attorney for Rural Water District No. 3, Washington County, Oklahoma, Larry Steidley, as well as myself felt that it would be advantageous to run the proposed agreements through the Rural Development Division of the United States Department of Agriculture prior to presentation to our respective bodies. The Rural Development Division of the United States Department of Agriculture has indicated that, based upon the nature of the agreements, it is not necessary for them to approve such and therefore the parties are at liberty to proceed as they deem in their best interest. By way of background, representatives of the City of Owasso as well as the Rural Water District No. 3, Washington County, Oklahoma, have been meeting for some time over the course of the last three years for purposes of discussing inter-connections to provide emergency water service. Initially, the discussions centered around provision of emergency water service for Bailey Ranch Estates I by Rural Water District No. 3, Washington County, Oklahoma, to the Owasso Public Works Authority. In actuality, this inter-connection has been in place for some time. A previous agreement that we had with Rural Water District No. 3, Washington County, Oklahoma, had expired and we were negotiating a successor agreement. The issues that existed between the parties would be the term of the agreement, the number of annual utilizations of the inter-connection, as well as the price to be paid for the emergency water service. We have now arrived at what I submit is a mutually acceptable resolution of those issues; however, in that respect, I will defer to yourself as well as the Trustees of the Owasso Public Works Authority. Subsequent to the negotiations regarding Bailey Ranch Estates 1, it became apparent that the Rural Water District No. 3, Washington County, Oklahoma, was desirous of an emergency water service agreement relating to Country Estates V, a subdivision located within the city limits of the City of Owasso, Oklahoma; however, within the service area of Rural Water District No. 3, Washington County, Oklahoma. The approach taken on the agreement relating to Country Estates V is basically identical to that for Bailey Ranch Estates I with merely the provider and the recipient of the service being changed. Accordingly.. I am transmitting the original of these documents to Marcia Boutwell; as City Clerk fog° her retention pending further action. I am transmitting copies to yourself as well as Mr. Carr for review and consideration. Should you have any questions concerning this matter, please do not hesitate to contact me. Original Documents: Marcia Eoutwell XCn E. Robert Carr, P.E. Director of Public Works RDC:rsh City Attorney AGREEMENT FOR TEMPORARY EMERGENCY WATER SERVICE Country Estates V Recitals I The Water District and OPWA operate water distribution systems which provide water to residents within their respective territorial boundaries, both parties by agreement being respectful of the other's territorial boundaries. 2. In emergency situations the need may arise wherein Water District will need assistance from OPWA in order to provide water service to a certain subdivision lying within its territory commonly known as Country Estates V, an addition to the City of Owasso, County of Tulsa, State of Oklahoma, according to the recorded plat thereof 3. OPWA may, at some time, be in need of the same emergency water set-vice in the area. 4. OPWA agrees, on a temporary basis only, to assist Water District in serving Country Estates V by agreeing to provide for temporary emergency water service pursuant to the terms of this Agreement as outlined below. 5. Water District agrees, on a temporary basis only, to assist OPWA in serving water to the area adjacent to Country Estates V which is served by OPWA should the need arise during the term of this Agreement. 6. Therefore, since each party may from time-to-time require an emergency supply of water, both parties agree to reciprocally purchase and sell water to and from each other on a temporary emergency basis to serve the area in and around Country Estates V pursuant to the covenants and terms hereinafter described. 01-mm=1111 NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and for such other good and valuable consideration, the adequacy and receipt of which is hereby acknowledged, Water District and OPWA hereby agree as follows: Page 1 of 7 For the purposes of this Agreement, the following terms have the following meanings: 1.1. Water Service. Water Service shall mean either Emergency Service or Extended Service. However, an emergency need is a. prerequisite for any right to water service herein (See Article 111 below). 1. 2. Emergency Service. Emergency Service shall mean water service by one of the parties to the other party to meet a bona fide emergency need or demand for water during an Emergency Service Period. Water service shall not be deemed to be Emergency Service for any period or periods outside those set forth in paragraph 3.3. 1.3. Extended Services Extended Service shall mean all other water service provided by one of the parties to the other which is not provided during an Emergency Service Period, said Emergency Service Period(s) being limited by Paragraph 3.3. 1.5. Extended Service Period. Extended Service Period shall mean all those periods not deemed an Emergency Service Period herein. 1.6. Emergency Service Water Date. Emergency Service Water bate shall mean $3.00 per thousand gallons of water received by Deceiving Purveyor. 1.7. Extended Service Water Date. Extended Water Service Date shall mean$3.58 per thousand gallons of water received by Deceiving Purveyor. 1.8. Supply Point. Supply Point shall mean the "Country Estates V Meter" located at the eastern most corner of Lot 1, Block 1, to the Country Estates V subdivision. 1.9. Deceiving Purveyor. Deceiving Purveyor shall mean either Water District or ®PWA, whichever is receiving water service (either Emergency Service or Extended Service) from the other pursuant to this Agreement. 1.10. Supplying Purveyor. Supplying Purveyor shall mean either Water District or ®PWA, whichever is supplying water service (either Emergency Service or Extended Service) to the other pursuant to this Agreement. Page 2 of 7 2.10 This Agreement, unless otherwise terminated as provided for herein, shall be in effect from the I" day of January, 2002, until the 31St day of December, 2007. Article 3 Water Service 3.2® Notice Required. The Receiving Purveyor shall, in the event of circumstances requiring water service, provide as much notification as possible to the Supplying Purveyor, but not less than two (2) hours notice from Monday through Friday, and at least four (4) hours notice otherwise, including Saturdays, Sundays and holidays. 3.4. Extended Service Period® Any period wherein there is a request for water service outside the parameters of Paragraph 3.3. shall be deemed to be an Extended Service Period and all water and services received will be subject to the Extended Service Water Rate. 3.5. Payment for Water Service. The Receiving Purveyor shall, on or before the 10th day of each month, pay the Supplying Purveyor for all water delivered for Emergency Service and/or Extended Service during the preceding calendar month at the corresponding rate. Page 3 of 7 3.6. Rationing and Conservation of Waters If the emergency which precipitates the need for Water Service occurs during a drought or other emergency requiring conservation, the Receiving Purveyor shall curtail the use of water by resolution and enforcement, and shall call for the same conservation or other measures in the same manner as required by the Supplying Purveyor under such circumstances. .Article 4 Service Curtailment or Suspension 4.2. Curtailment or Suspension of Water Service m Other Conditions. The panties may also curtail or suspend delivery of water service under this Agreement if any of the following conditions exist: 4.4. Supplying Purveyor Not Liable for Failure to Provide Water Service, or Curtailment or Suspension of Water Service. In no event shall the Supplying Purveyor be liable to the Receiving Purveyor, or to any customer of the Receiving Purveyor, for failure to deliver water, or for suspension or curtailment of water service. 4.5. mater Service ® Costs of Turning Meter On and Off. Every time the Receiving Purveyor requests Water Service, the Deceiving Purveyor shall promptly pay to the Supplying Purveyor $25.00. Receiving Purveyor shall also be required to pay Supplying Purveyor for turning off the meter when service is discontinued at a rate of $25.00 per occurrence. Page 4 of 7 5 ®1a Termination Upon Breach. Whenever a party breaches any of the terms of this Agreement, the other party may terminate the Agreement upon ten (10) days written notice of its intention to do so, unless the breach is cured by the offending party within ten (10) days of receipt of notice. It is mutually understood and agreed that this Agreement is violated and a material breach has occurred when the Receiving Purveyor fails to pay any bill accruing under this Agreement pursuant to the teens set forth herein, or if the Deceiving Purveyor fails to curtail the use of water by resolution and enforcement as required in Paragraph 3.6. above. Article 6 Maintenance and Operation 6840 Water Pressure. The Receiving Purveyor understands and agrees that the water pressure to the Supplying Purveyor's delivery point may vary depending upon the demands placed on the Supplying Purveyor's water system, and that the Receiving Purveyor's rate of taking water from the Supplying Purveyor's water system shall not reduce the residual pressure of the Supplying Purveyor's water system at the Supply Point below twenty -five (25) pounds per square inch (25 psi) at any time. Page 5 of 7 6.5a No Water Volume or Pressure Warranties® The Deceiving Purveyor understands and agrees that Supplying Purveyor makes no warranties, express or implied, with respect to water volume or pressure under any circumstances or conditions, including, but not limited to, any water volume or pressure needed for fire protection. Emergency failures of pressure or supply due to line breaks, power failure, flood, fire, and use of water by fire fighters, or other catastrophes or acts of nature, shall excuse the Supplying Purveyor for such reasonable periods of time as may be necessary to restore service. Article 7 Miscellaneous 7a1a Benefit; Binding Effect. This Agreement shall inure to the benefit of both of the parties herein, and to each of the parties' respective successors and assigns. Likewise, this Agreement shall be binding on the parties hereto and their respective successors and assigns, 7.2. Captions. The captions, headings, and arrangements used in this Agreement are for convenience only and do not in any way affect, limit, amplify, or modify the terms and provisions hereof. 73. Partial Invalidity. if any part of any provision of this Agreement shall be invalid or unenforceable under applicable law, such part shall be ineffective to the extent of such invalidity only, without in any way affecting the remaining parts of such provision or the remaining provisions, terms, covenants or conditions of this Agreements 7.4. Laws of the State of Oklahoma Govern. This .Agreement shall be governed by the laws of the State of Oklahoma. 7.6. Duplicate Originals. This Agreement may be executed in duplicate originals, each such duplicate original shall be deemed to be an original, and all such duplicate originals taken collectively shall constitute one instrument for all purposes. Page 6 of 7 RURAL WATER DISTRICT NO. 3 ATTEST: WASHINGTON COUNTY, OK-LAHOMA Secretary Chairman ATTEST: OWASSO PUBLIC WORKS AUTHORITY Secretary Chairman Approved as to Form: Larry R. Steidley, Jr. Attorney for Water District Ronald D. Cates Attorney for OPWA DATE: Page 7 of 7 i 1. The Water District and OPWA operate water distribution systems which provide water to residents within their respective territorial boundaries, both parties by agreement being respectful of the other's territorial boundaries. 2. OPWA is in need of a supply of water in order to set -rice a subdivision in its territory commonly known as Bailey Ranch Estates I, an addition to the City of Owasso, County of Tulsa, State of Oklahoma, according to the recorded plat thereof. 5. OPWA agrees, on a temporary basis only, to assist Water District in serving water to the area adjacent to Bailey Ranch I which is served by Water District should the need arise during the terra of this Agreement. 6. Therefore, since each party may from time-to-time require an emergency supply of water, both parties agree to reciprocally purchase and sell water to and from each other on a temporary emergency basis to serve the area in and around Bailey Ranch I pursuant to the covenants and terms hereinafter described. .. � NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and for such other good and valuable consideration, the adequacy and receipt of which is hereby acknowledged, Water District and OPWA hereby agree as follows: Page 1 of 7 rl WN I � 0111" C. For the purposes of this Agreement, the following terms have the following meanings: 101. Water Service. Water Service shall mean either Emergency Service or Extended Service. However, an emergency need is a prerequisite for any right to water service herein (See Article III below). 102. Emergency Service. Emergency Service shall mean water service by one of the parties to the other party to meet a bona fide emergency need or demand for water during an Emergency Service Period. Water service shall not be deemed to be Emergency Service for any period or periods outside those set forth in Paragraph 3.3. 1 ®3a Extended Service. Extended Service shall mean all other water service provided by one of the panties to the other which is not provided during. an Emergency Service Period, said Emergency Service Period(s) being limited by Paragraph 3.3. 1 ®5a Extended Service Period. Extended Service Period shall mean all those periods not deemed an Emergency Service period herein. 1.6. Emergency Service Water Date® Emergency Service Water Rate shall mean $3.00 per thousand gallons of water received by Receiving Purveyor. 1 ®7a Extended Service Water Rate® Extended Water Service Rate shall mean$3.58 per thousand gallons of water received by Receiving Purveyor. 1.8. Supply Point, Supply Point shall mean the "Bailey Ranch Estates I Meter ". 1 ®9a Receiving Purveyor. Receiving Purveyor shall mean either Water District or ®PWA, whichever is receiving water service (either Emergency Service or Extended Service) from the other pursuant to this Agreement. 1.100 Supplying Purveyor. Supplying Purveyor shall mean either Water District or ®PWA, whichever is supplying water service (either Emergency Service or Extended Service) to the other pursuant to this Agreement. Page 2 of 7 Article 2 Term of Agreement 2.1. This Agreement, unless otherwise terminated as provided for herein, shall be in effect from the I" day ofianuary, 2002, until the 31 " day of December, 2007. Article 3 Water Service 3.2. Notice Required. The Receiving Purveyor shall, in the event of circumstances requiring water service, provide as much notification as possible to the Supplying Purveyor, but not less than two (2) hours notice from Monday through Friday, and at least four (4) hours notice otherwise, including Saturdays, Sundays and holidays. 3 ®a Extended Service Period. Any period wherein there is a request for water service outside the parameters of Paragraph 3.3. shall be deemed to be an Extended Service Period and all water and services received will be subject to the Extended Service Water Rate. 3.5. Payment for Water Service. The Receiving Purveyor shall, on or before the I& day of each month, pay the Supplying Purveyor for all water delivered for Emergency Service and/or Extended Service during the preceding calendar month at the corresponding rate. Page 3 of 7 3.6. Rationing and Conservation of Water. If the emergency which precipitates the need for Water Service occurs during a drought or other emergency requiring conservation, the Receiving Purveyor shall curtail the use of water by resolution and enforcement, and shall call for the same conservation or other measures in the same manner as required by the Supplying Purveyor under such circumstances. Article 4 Service Curtailment or Suspension 4.2. Curtailment or Suspension of Water Service - Other Conditions® The parties may also curtail or suspend delivery of water service under this Agreement if any of the following conditions exist: 4.4® Supplying Purveyor Not Liable for Failure to Provide Water Service, or Curtailment or Suspension of Water Service. In no event shall the Supplying Purveyor be liable to the Receiving Purveyor, or to any customer of the Receiving Purveyor, for failure to deliver water, or for suspension or curtailment of water service. 4.5. Water Service ® Costs of Turning Meter On and Off. Every time the Receiving Purveyor requests Water Service, the Receiving Purveyor shall promptly pay to the Supplying Purveyor $25.00. Receiving Purveyor shall also be required to pay Supplying Purveyor for turning off the meter when service is discontinued at a rate of $25.00 per occurrence. Page 4 of 7 Article 5 Termination of ° g r e,1 5.1. Termination Upon Breach. Whenever a party breaches any of the terms of this Agreement, the other party may terminate the Agreement upon ten (10) days written notice of its intention to do so, unless the breach is cured by the offending party within ten (10) days of receipt of notice, It is mutually understood and agreed that this Agreernent is violated and a material breach has occurred when the Receiving Purveyor fails to pay any bill accruing under this Agreement pursuant to the terms set forth herein, or if the Receiving Purveyor fails to curtail the use of water by resolution and enforcement as required in Paragraph 3.6, above, Article 6 Maintenance and Operation 6.4. Water Pressure® The Receiving Purveyor understands and agrees that the water pressure to the Supplying Purveyor's delivery point may vary depending upon the demands placed on the Supplying Purveyor's water system, and that the Receiving Purveyor's rate of taking water from the Supplying Purveyor's water system shall not reduce the residual pressure of the Supplying Purveyor's water system at the Supply Point below twenty -five (25) pounds per square inch (25 psi) at any time. Page 5 of 7 Article 7 Miscellaneous 7.1. Benefit; t; Binding Effect This Agreement shall inane to the benefit of both of the parties herein, and to each of the parties' respective successors and assigns. Likewise, this Agreement shall be binding on the parties hereto and their respective successors and assigns. 7.2. Captions. The captions, headings, and arrangements used in this Agreement are for convenience only and do not in any way affect, limit, amplify, or modify the terms and provisions hereof, 7830 Partial Invalidity. If any part of any provision of this Agreement shall be invalid or unenforceable under applicable lava, such part shall be ineffective to the extent of such invalidity only, without in any way affecting the remaining parts of such provision or the remaining provisions, terms, covenants or conditions of this Agreement, 704® Laws of the State of Oklahoma Govern® This Agreement shall be governed by the lags of the State of Oklahoma. 7060 Duplicate Originals® This Agreement may be executed in duplicate originals, each such duplicate original shall be deemed to be an original, and all such duplicate originals taken collectively shall constitute one instrument for all purposes. Page 6 of 7 RURAL WATER DISTRICT NO, 3 ATTEST: WAS14-I1_ GTON COUNTY, 01<:LAIJOMA Secretary Chairman DATE: ATTEST: OWASSO PUBLIC WORKS AUTHORITY Secretary Chairman Approved as to Form: Larry R. Steidley, Jr. Attorney for Water District Ronald D. Cates MWA # &ALwa Le" Page 7 of 7