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HomeMy WebLinkAbout1992 WATER MATH PRQRATA 1992 1 WATER MAIN PRORATA REIMBURSEMENT AGREEMENT BETWEEN THE CITY OF DENTON AND MICHAEL VERRILLI WHEREAS, Michael Verrilli, (Developer), whose business address is 3750 Pookrus Page; Road, Denton, Tx,, 76205, wishes to develop and improve real property located at the southeast corner of the inter- section of Poakrue-Page Road and the Missouri, Kansas and Texas Railroad Right-of-way, (now owned by the union Pacific Railroad), in the City of Denton, Texas or its extraterritorial jurisdiction, and is requirod to provide such property with adequate water service by designing, constructing and installing a water maim and WHEREAS, the City of Denton (City) a municipal corporation located at 215 East MaX inney,; Denton, Texas 76201, in acoordance with its ordinances may reimburse Developer for the costs of the water main installed by Developer based upon prorata charges paid to the City by arsons connecting to the water main NOW, THEREFORE, in consideration of their mutual promises, Devel- oper and City agree as followat 1, Developer shall design, install, and conetruot, at no cost to the City, a six inch (601) water main and all necosuary ap- purtenances thereto, extending a total distance of approximately sixteen hundred seven (1,6071) Peet (the "facilities"), located as shown on Exhibit At attached hereto and incorporated herein by ref- erence, and shall be subject to prorata reimbursement in accordance with this`Agreernent, 24 Prior to beginning construction of the facilities, Devel- oper shall obtain, at Dev©ioper's solo Cost ahd expanse all nmces- sary permits, licensee and easements, if easements are needed, the deeds therefor, obtained by Developer shall be reviewed and approved as to form and substance by City prior to the beginning of oon atruetion, It Developer is urmble to acquire needed easements, be- veloper shall provide city with any reqquested documentation of ef- forts to obtain such easements, inoluding evidence of negotiations and reasonable offers made to the affeoted property ownera, Any easements for the facilities obtained by the Developer shall be asp signed to City, if not taken in City's name, prior to acceptance of the facilities, and Developer warrants clear title to such ease- ments and will defend City against any adverse claim made against such titlo. 46 The estimated cost of the design, construction and in- stallation of the facilities subject to prorata raAmburaemont in Nineteen Dollars and Sixty Cents ($15,60) per linear foot for the estimated Thirty one Thousand Four Hundred Ninety seven Dollars and Twenty Cents ($31,497,20) for the sixtann hundred seven linear feet (106071) of facilities. 51 Within thirty (30) days of the acceptance of the facili- ties by the City, Developer shall submit to the City's Executive Director of Utilities the actual coot of the facilities. To deter- mine the actual cost of the facilities, City shall have the right to inspect any and all records of Developer, his agents, employees, contractors or subcontractors and shall have the right to require - Developer to submit any necessary information, documents, invoices, receipts or other records to verify the actual cost of the faoi,li- ties, The Executive Director of Utilities shall review and verify the actual cost of the facilities and certify the allowable reim- bursable cost and the date the facilities were accepted, which certificate shall be attached La veto and be incorporated herein by reference, 6, After title to the facilities have vested in the City, the City shall collect a prorata charge from any person connecting to the facilities in accordance with the provisions of the Code of Ordinances of the City. Within thirty (30) days of the receipt of prorata charges the City shall transfer ouch amount collected to developer. 7, The City shall transfer to Developer prorata charges collected for a period of time of twenty (20) years from the date facilities are accepted by City, as specified herein, but shall not transfer or reimburse to the Developer an amount of funds in excess of the certified cost of the facilities, g. The parties hereto recognize that the facilities subject to this Agreement are necessary to provide water service to the Developerto property, Should the City decide that it wishes to partiolpate in the cost of funding a water main that would provide ggreater water capacity than the facilities Developer is required to install, the Developer and city may enter into a separate water Main Participation Agreement to provide for the sharino of cost of such oversized main, If such Agreement is entered into, the actual Agreement, but thA prorate charges to be collected and transferred to Developer shall be based on the terms of this Agreement, as through the facilities subject to this Agreement were installed, 9. The prorata charges to be collected by the City and transferred to Developer in acoordanoe with the ordinances of the City and this Agreement are intended to veimburss the Developer; for the Developer f s cost of the facilities by requiring persons connec- ting who benefit thereby to participate in the coot of the facili- ties, This Agreement shall not be considered to impose any obliga- tion or lial,ility upon the City to pay for the facilities from its general revenues, bond funds or any other revenues it may receive, except for those prorata funds received from persons connecting to such facilities. Page 2 all 1O. Should any court of competent jurisdiction determine that ~r part of the city's ordinance on which the prorata charges to be paid to developer under this Agreement are based are found to be unlawful or invalid, the city may cease to charge or collect: the prorata charges for connection to the facilities and will have no further obligation hereunder, 11, All notioes, payments or communications to be given or made pursuant to this Agreement by the parties hereto, shall be sent to Developer at the business address given above and to the Executive Director of Utilities for the city at the address given abuire, 12, The Developer shall indemnify and hold the City harmless from any and all claims, damages, loss or liability of any kind whatsoever, kly reason of injury to property or person occasioned by any act or omission, neglect or wrongdoing of Developer; its'of- ficers, agents, employees, invitees, contractors or other persons with regard to the performance of this, Agreement, and Developer_ will, at its own cost and expenso, defend and protect the City against any and all such claims and demands, 13. This instrument embodies the whole Agreement of the par- ties hereto and there are no promises, terms, conditions or obli- gations other than those contained herein, This Agreement shall supersede all previous communications, representations or agree- menta, either verbal or written, between the parties hereto. 19, This Agreement shall not by assigned by Developer without the express written consent of city, 15. Any and all suits for any breach of this Agreement, or any other suit pertaining to or arising *lut of this Agreement, shall be brought and maintained in the court of competent jurisdio- tion in Denton County, Texas, 15, 'Phis Agreem#ml shall be effective for, a period of twenty (20) years from the da,. facilities are acoepted by City or until Developer has been paid all allowable reimbursable prorata charges for the facilities, whichever occurs firsts provided, however, should Developer fail to begin substantial construction of the'fa- cilities within one year from the date of execution of this Agree- ment, this Agreement shall terminate. Executed this the day of ~ 1992, CITY OF MTON, T8 AS GOD HARRELLt CITY MANAGER Y Page 3 ATTEST) JENNI . R WALTERS# Cl Y SECRETARY BY: APPIZ ED -AS"TO LEGAL FORM DEBRA A. DRAYOVITCH, CITY ATTORN8Y BYj MICHAEL VERRILLI, DEVELOPER //JJ ~'t l Ul ATTEST I BY t //f 2 nt ~Y sECR}*iI'ARY ALL002D9 Page 4 END OF V FILE