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HomeMy WebLinkAbout1999-460ORDINANCE NO AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A WATER MAIN PRORATA REIMBURSEMENT AGREEMENT BETWEEN THE CITY OF DENTON AND NATIONWIDE HOUSING SYSTEMS FOR REIMBURSEMENT OF THE COSTS OF BUILDING A WATER MAIN, THROUGH PRORATA CHARGES PAID TO THE CITY, AUTHORIZING THE TRANSFER OF FUNDS PURSUANT TO THE AGREEMENT, AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City of Denton, Texas requires that the development owned by Nationwide Housing Systems, Inc ("Developer") commonly referred to as that real property situated at 4001 South I-35E (as more particularly depicted in Exhibit I, attached hereto and incorporated herein by reference) located in the City of Denton, Texas or its extraterritorial jurisdiction, and said Developer is required to provide such real property with adequate water service by designing, constructing, and installing a water main, and WHEREAS THE City of Denton may lawfully reimburse the Developer for the costs of the water main installation by the Developer based upon prorata charges paid to the City by persons connecting to the water main pursuant to Code of Ordinances of the City of Denton, Texas §34-118 (b)(3), NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SSECTION I That the City Manager is authorized to execute a Water Main Prorata Reimbursement Agreement Between the City of Denton and Nationwide Housing Systems, Inc ("Agreement") to provide for the prorata reimbursement for the design, construction, and installation of One Thousand Six Hundred Thirteen (1613') linear feet of eight (8") inch off -site water main, substantially in the form of the attached Agreement, which is incorporated herewith by reference and made a part of this Ordinance for all purposes, subject however, to Developer, Nationwide Housing Systems, Inc entering into a Development Contract with the City of Denton, in accordance with Chapter 34 of the Code of Ordinances of the City of Denton, Texas SECTION II That the City Manager is hereby authorized to make such expenditures and transfers of funds under such conditions as are set forth in the attached Agreement SECTION III That this ordinance shall become effective immediately upon its passage and approval PASSED AND APPROVED this the - day of &X4&) , 1999 C JACK R, MAYOR ATTEST JENNIFER WALTERS, CITY SECRETARY �0/ll � /,../.��// ��/ /or APPROVED AS TO LEGAL FORM HERBERT L PROUTY, CITY ATTORNEY f By S \Our Documents\Ordinances\99\Water Main Prorata Retmb Ord Nationwide doc WATER MAIN PRORATA REIMBURSEMENT AGREEMENT BETWEEN BETWEEN THE CITY OF DENTON AND NATIONWIDE HOUSING SYSTEMS, INC. WHEREAS, Nationwide Housing Systems, Inc ("Developer"), whose business address is 8035 East R L Thornton, Suite 250, Dallas, Texas 75228, desires to develop and improve certain real property commonly referred to as 4001 South I-35E (as more particularly depicted in Exhibit I, attached hereto and incorporated herein by reference) located in the City of Denton, Texas or its extraterritorial jurisdiction, and Developer is required to provide such real property with adequate water service by designing, constructing, and installing a water main, and WHEREAS, the City of Denton, Texas ("City") is a municipal corporation located at 215 East McKinney, Denton Texas 76201, and in accordance with Section 34-118 (b)(3) of the City of Denton Code of Ordinances, may reimburse Developer for the costs of the water main designed, constructed, and installed by Developer based upon prorata charges paid to the City by persons connecting to the water main, NOW, THEREFORE, in consideration of their mutual promises, Developer and City do hereby AGREE as follows 1 Developer has designed, constructed, and installed an eight inch (8") off -site water main and all necessary appurtenances thereto, extending a total distance of sixteen hundred and thirteen (1613') feet (the "Facilities") located as shown on Exhibit II, attached hereto and incorporated herein by reference This offsite water main shall be subject to prorata reimbursement to the Developer in accordance with this Agreement 2 Prior to beginning construction of the Facilities, Developer shall obtain, at Developer's sole cost and expense all necessary permits, licenses, and easements If easements are needed, the deeds therefor obtained by Developer shall be reviewed and approved as to form and substance by the City prior to the beginning of construction If Developer is unable to acquire needed easements, Developer shall provide City with any requested documentation of its efforts to obtain such easements, including evidence of negotiations and reasonable offers made to the affected property owners Any easements for the Facilities obtained by the Developer shall be assigned to City, if not taken in City's name, prior to acceptance of the Facilities, and Developer warrants clear title to such easements and will defend City against any adverse claim made against such title 3 The actual cost of the design, construction and installation of the Facilities subject to prorata reimbursement is Forty Five Thousand ($45,000) Dollars, or $27 90 per linear foot for sixteen hundred and thirteen (1613') feet of off -site Facilities 4 Within thirty (30) days of the acceptance of the facilities by the City, Developer shall submit to the City's Assistant City Manager for Utilities, the actual cost of the Facilities To determine the actual cost of the Facilities, the 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 ATTACHMENT 1 Facilities The Assistant City Manager Executive Director for Utilities shall review and verify the actual cost of the Facilities and certify the allowable reimbursable cost and the date the Facilities were accepted, which certificate shall be attached hereto and be incorporated herein by reference 5 After title to the Facilities have vested in the City, the City shall collect a prorata charge from any person connecting to the off -site facilities in accordance with the provisions of the Code of Ordinances of the City of Denton Within thirty (30) days of the receipt of prorata charges the City shall transfer such amount collected to Developer 6 The City shall transfer to Developer prorata charges collected for a penod of time of twenty (20) years from the date the 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 7 The parties hereto recognize that the Facilities subject to this Agreement are necessary to provide water service to the Developer's property The prorata charges to be collected and transferred to Developer shall be based on the terms of this Agreement, as though the Facilities subject to this Agreement were installed 8 The prorata charges to be collected by the City and thereafter transferred to Developer in accordance with the ordinances of the City and this Agreement are intended to reimburse the Developer for the Developer's cost of the Facilities by requiring persons connecting who benefit thereby, to participate in the cost of the Facilities This Agreement shall not be considered to impose any obligation or liability 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 9 Should any court of competent jurisdiction determine that all or 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 10 All notices, 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 Assistant City Manager for Utilities for the City at the address provided above 11 The Developer shall indemnify and agrees to hold the City harmless from any and all claims, damages, loss or liability of any kind whatsoever, by reason of injury to property or person occasioned by any act or omission, neglect or wrongdoing of Developer, its officers, agents, employees, invitees, contractors or other persons with regard to the performance of this Agreement, and Developer will, at its own cost and expense, defend and protect the City against any and all such claims and demands 12 This instrument embodies the whole Agreement of the parties hereto and there are no promises, terms, conditions, or obligations other than those contained herein This Agreement shall supersede all previous communications, understandings, representations or agreements, either verbal or written, between the parties hereto regarding the subject matter of this Agreement 13 Developer shall not assign this Agreement without the express written consent of the City 14 Any and all suits for any breach of this Agreement, or any other suit pertaining to ansing out of this Agreement, shall be brought and maintained in the court of competent jurisdiction in Denton County, Texas This Agreement shall be governed by, and construed in accordance with the laws of the State of Texas 15 This Agreement shall be effective for a period of twenty (20) years from the date the Facilities are accepted by City or until Developer has been paid all allowable reimbursable prorata charges for the Facilities, whichever occurs first, provided, however, should Developer begin substantial construction of the Facilities within one (1) year from the date of execution of this Agreement, this Agreement shall terminate EXECUTED this the I day of e/i 4642 , 1999 CITY OF DENTON, TEXAS ATTEST JENNIFER WALTERS, CITY SECRETARY 12 By APPROVED AS TO LEGAL FORM HERBERT L PROUTY, CITY ATTORNEY By "DEVELOPER' NATIONWIDE HOUSING SYSTEMS, INC By � I ATTEST Q'i S \Our Documents\Contracts\99\Water Main Prorate Retmb Agent Nationwide Housing doe LOCATION MAP NATIONWIDE HOUSING 8" WATER LINE ,\ N A T 0 PROJECT LOCATION �r w IE R D 0 F OCKRUS PAGE RD I a I Fik ILITIES 0 0 U N 10 IDE HOUSING 1613 LINI FEET F 8" WA VLI ) \ - U LU c!7 EXHIBIT I