1998-231AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A WATER MAIN
PRORATA REIMBURSEMENT AGREEMENT BETWEEN THE CITY OF DENTON AND DIETER
SCHWARZ BY NR & RI PROPERTIES L P HIS ATI~ORNEY IN FACT TO REIMBURSE OWNER
FOR THE COSTS OF BUILDING WATER MAIN THROUGH PRORATA CHARGES PAID TO THE
CITY, AND PROVIDING AN EFFECTIVE DATE
WHEREAS, the City of Denton requires that the development named Lakeview Ranch (as shown
m Exhibit I, aRachcd hcr~o and incorporated hcrcxn by refcrencc) located ~n the City of Denton, Texas or
its extratemtorml jurisdiction and ~s required to provide such property w~th adequate water service by
deslgmng, construction and installing a water main, and
WHEREAS THE City of Denton may reimburse the developer for the costs of the water mmn
install by developer based upon prorata charges prod to the City by persons connecting to the water mmn
pursuant to Code of Or&nantes of the City of Denton, Texas §34-118 (b)(3), NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SEeTION I, That the City Manager is anthonzed to execute an agreement with Dieter Schwarz
by NR & RJ Propertaes L P his attorney in fact to allow for the prorata reimbursement for the
construction and installation of nine thousand fifty three (9053) linear feet of 16 inch and 12 inch off site
water main, substantaally in the form of the attached Agreement, wbach ~s made a part of this ordinance
for all purposes, subJeCt to Dieter Schwarz by NR & RI properties L P his attorney in fact entering mto a
Development Contract w~th the City, m accordance wth chapter 34 of the Code of Ordinances of the City
of Denton
SECTION II That flus ordinance shall become effective immediately upon its passage and
approval
PASSED AND APPROVED this the ]']~ ' '-~" day of~~~, 1998
JA~t~LER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
HERBERT L PROUTY, CITY ATTORNEY
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WATER MAIN PRORATA REIMBURSEMENT
AGREEMENT BETWEEN THE CITY OF DENTON
AND DIETER SCHWARZ (OWNER) C/O NR & RJ Properties, L. P. AGENT
WHEREAS, Dieter Schwarz (owner/developer) C/O NR & RJ Properties, L P Agent,
whose business address is P O Box 941, C-reensburg, Pennsylvania 15601, with a copy to
Terra/Bain, Inc, wishes to develop and improve certain real property named Lakcmcw Ranch (as
shown m Exhthlt I, attached hereto and incorporated herein by reference) located in thc City of
Denton, Texas or ItS extratcmtonal jurisdiction, and is required to provide such property with
adequate water service by designing, construction and installing a water main, and
WHEREAS, the City of Denton (City) a municipal corporation located at 215 East
McK~nney, Denton, Texas 76201, in accordance with its ordinances may reimburse Owner for
the costs of the water main installed by Owner based upon prorata charges paid to the City by
persons connecting to the water main,
NOW, THEREFORE, In consideration of their mutual promises, Owner and City agree as
follows
1 Owner shall design, Install and construct, sixteen inch (16") and twelve inch
(12") off-site water mains and all necessary appurtenances thereto, extending a total distance of
approximately nme thousand fifty three feet (9,053) (the "facilities"), located as shown on
Exhibit II, attached hereto and incorporated herein by reference Tlus off-site water main shall
be subject to prorata reimbursement in accordance with this Agreement
2 Prior to beginning construction of the facilities, Owner shall obtmn, at Owner's
sole cost and expense, all necessary permits, licenses and easements If easements are needed,
the deeds therefor obtained by Owner shall be reviewed and approved as to form and substance
by City prior to the beginning of construction If Owner is unable to acqmre needed easements,
Owner shall promde City with any requested docamentatlon of efforts to obtain such easements,
lncludmg exqdence of negotiations and reasonable offers made to the affected property owners
Any easements for the facilities obtained by the Owner shall be assigned to City, if not taken in
City's name, prior to acceptance of the facilities, and Owner warrants clear title to such
easements and will defend City against any adverse claim made against such title
3 The estimated cost of the design, construction and installation of the facilities
subject to prorata reimbursement is two hundred two thousand five hundred forty dollars
($202,540 00) or Twenty two dollars and thirty seven cents ($22 37) per linear foot for the nine
thousand fifty three linear feet (9,053) of off-site facilities
4 Wltlun thirty (30) days of the acceptance of the facilities by the City, Owner shall
submit to the City's Executive Director of Utllmes the actual cost of the facilities To determine
the actual cost of the facilities, City shall have the right to inspect any and all records of Owner,
his agents, employees, contractors or subcontractors and shall have the right to require Owner to
submit any necessary information, documents, invoices, receipts or other records to verify the
actual cost of the facllmes The Executive Director of Utilities shall review and venfy the actual
cost of the facilities and certify the allowable reimbursable cost and the date the facilities were
accepted, which certfficate shall be attached hereto and be incorporated herein by reference
5 After title to the famht~es have vested in the City, the City shall collect a prorata
charge from any person connecting to the off-site facilities m accordance with the provismns of
the Code 0f Ordinances of the City W~thm thirty (30) days of the receipt of prorata charges the
City shall transfer such mount collected to owner
6 The City shall transfer to Owner 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 Owner an amount of funds ~n excess of the certified cost of the
facahtles
7 The pames hereto reeogmze that the facflmes subject to this Agreement are
necessary to provide water service to the Owner's property Should the C~ty dec,de that it wishes
to participate m the cost of funding a water main that would provide greater water capacity than
the facilities Owner ~s required to install The C~ty and Owner will enter into a separate water
Mmn Participation Agreement to prowde for the shanng of cost of such oversized main If such
Agreement ~s entered into, the actual oversized water to be constructed shall be governed by such
Agreement, but the prorate charges to be collected and transferred to Owner shall be based on the
terms ofthts Agreement, as though the facilities subject to this Agreement were installed
8 The prorata charges to be collected by the City and transferred to Owner in
accordance w~th the orchnances of the C~ty and this Agreement are intended to reimburse the
Owner for the Owner's cost of the facilities by requmng persons connecting who benefit thereby
to participate m the cost of the factht~es This Agreement shall not be considered to impose any
obhgatioa or habflaty 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 factht~es
9 Should any court of competent junsdmtlon determine that all or part of the City's
orthnance, on whmh the prorata charges to be prod to owner under this Agreement are based are
found to be unlawful or ~nvahd, the C~ty may cease to charge or collect the profits charges for
connection to the facilities and will have no further obhgat~on hereunder
10 All notmes, payments or communications to be given or made pursuant to th~s
Agreement by the parties hereto, shall be sent to Owner at the business address given above and
to the Executive Director of Uttht~es for the C~ty at the address given above
11 The Owner shall ~ndemmfy and hold the C~ty harmless from any and all clmms,
damages, ,loss or habfl~ty of any kind whatsoever, by mason of injury to property or person
occasioned by any act or ommslon, neglect or wrongdoing of Owner, its officers, agents,
employees, mwtees, contractors or other persons with regard to the performance of th~s
Agreement, and Owner will, at its own cost and expense, defend and protect the City against any
LAKEVIEW RANCH (TERRA]BAIN, INC ) PRORATA AGREEMENT PAGE 2
and all such claims and demands
12 Tins instrument emboches the whole Agreement of the parties hereto and there are
no pronuses, terms, conditions or obligations other than those contained herein This Agreement
shall supersede all previous communications, representations or agreements, either verbal or
written, between the parties hereto
13 Owner shall not assign this Agreement without the express written consent of
City
14 Any and all suits for any breach of tins Agreement, or any other suit pertmmng to
or arising out of this Agreement, shall be brought and maintained in the court of competent
jurisdiction in Denton County, Texas
15 This Agreement shall be effective for a period of twenty (20) years from the date
facilities are accepted by City or until Owner has been prod all allowable reimbursable prorata
charges for the facilities, whichever occurs first, provided, however, should Owner fail to begin
substantial construction of the facilities w~thm one year from the date of execution of this
Agreement, this Agreement shall terminate
Executed tins the g-/~ day of ~~ ,1998
CITY OF DENTON, TEXAS
CITY MANAGER
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERB PROUTY, CITY ATTORNEY
LAKEVIEW RANCH (TERRAfBAIN, INC ) PRORATA AGREEMENT PAGE 3
OWNER - Dieter Schwarz by NR & RJ Properties,
L Plus attorney ~n fact by NR & RJ Properties G P,
General Partner
Nmk Rmmondo, Premdent
ACKNOWLEDGE
Terra/Bran, Iuc
M Paul ~p~ln,
P-'l~m~nt
ATTEST
BY
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LAKEVIEW RANCH {TERRA/BAIN, INC ) PRORATA AGREEMENT PAGE 4