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2006-229 S:\Our Documents\Ordinances\06\lnterlocal Agrmt-Argyle.doc ORDINANCE NO.,! 006 - 22q AN ORDINANCE OF THE CITY OF DENTON, TEXAS APPROVING AN INTERLOCAL COOPERATION AGREEMENT BY AND BETWEEN THE CITY OF DENTON, TEXAS AND THE TOWN OF ARGYLE, TEXAS TO PROVIDE GAS WELL INSPECTION SERVICES; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. The City Council hereby approves an InterIocal Cooperation Agreement between the City of Denton, Texas and the Town of Argyle to provide gas wen inspection services substantiany in accordance with the InterIocal Cooperation Agreement which is attached hereto and incorporated herein by reference (the "Agreement"). The City Manager, or his designee, is authorized to execute the Agreement on behalf of the City. The City Manager, or his designee, is authorized to carry out the City's rights and duties under the Agreement. Any prior actions of the City taken pursuant to the Agreement are hereby ratified. SECTION 2. The City Council finds that the Agreement win benefit the City of Denton and is in the public interest. SECTION 3. This ordinance shan become effective immediately upon its passage and approval. PASSED AND APPROVED this the / b t:{ay of ,2006. ATTEST: JENNIFER WALTERS, CITY SECRETARY By: cptllLfJuucUm" {Mdt. APPROVED AS TO EDWIN M. SNY AL FORM: , CI ATTORNEY By: INTERLOCAL COOPERATION AGREEMENT BETWEEN THE CITY OF DENTON AND THE TOWN OF ARGYLE THIS AGREEMENT is made and entered into as of the Effective Date as hereinafter defined, by and between the City of Denton, Texas, a home rule municipal corporation organized and existing under the laws of the State of Texas, hereinafter referred to as " Denton" and the Town of Argyle, Texas, a Texas town general law municipality, hereinafter referred to as "Argyle". WHEREAS, Argyle is in need of gas wen inspection services; and WHEREAS, Denton and Argyle desire to enter into this agreement under the authority and subject to the provisions of Texas Government Code, Chapter 791, the Interlocal Cooperation Act for the provision of gas wen inspection services; and WHEREAS, each party hereto is capable of performing the services provided for herein, and each party paying for the performance of governmental functions or services is making those payments from current revenues available to the paying party and all payments are in an amount that fairly compensates the performing party for the services or functions performed under this agreement; NOW, THEREFORE, it is mutuany agreed by the parties hereto as follows: I. The term of this Agreement shan commence as of the Effective Date and shan expire on September 1,2010 unless terminated earlier as provided herein. II. Denton shall provide gas wen inspection services as follows: 1. Inspection fee of $1 ,200 per wen, unless otherwise agreed to in writing by both parties to this Agreement, would include the fonowing: Two site inspections will be provided with the first inspection fonowing instanation of the drilling rig to inspect for compliance with municipal drilling ordinance and the . second following completion of the drilling and installation of the operating facilities. Each inspection win include two site visits, the first to inspect and identifY any issues of non-compliance to be noted on a Gas Wen Inspection Report and the second to determine if compliance has been achieved in the specified time limit. The site visit fonowing completion of the well win include inspection for proper removal of the rig, remediation of on-site reserve and frac pits, and set-up for operation of tank batteries. Written Inspection Reports will be provided to Argyle and a copy to the gas well operator for each visit. The only items to be inspected by the Gas Well Inspector will be those agreed upon by both parties and set forth on the Gas Well Inspection Report; 2. Each additional inspection in response to a specific request by the Town Administrator will be performed at a cost of $200, unless otherwise agreed to in writing by both parties to this Agreement, per site visit; 3. Complaints filed with other agencies (i.e. TRC; EPA; TCEQ; etc.) will be the responsibility of Argyle without direct participation by the Gas Well Inspector unless requested as an additional service by Argyle; 4. Enforcement of Argyle gas well regulations will be the sole responsibility of Argyle. The Gas Well Inspector may identify violations and report them to the Town Administrator or designee for enforcement action. The Gas Well Inspector may be required, as an additional service, to testify in court regarding any noted violations of the Argyle gas well regulation ordinance; 5. The Gas Well Inspector may inspect for specific operating safety issues as identified on an Inspection Checklist to be approved by both parties to this agreement as a part of the first inspection (i.e. fire extinguisher installation; no smoking signs; etc 6. Site inspection includes collection of water samples from the Reserve Pit for content analysis by a City of Denton Lab. The fee for City of Denton Lab analysis shall be as identified in Exhibit A to this Agreement; additional analysis performed by a non- municipal laboratory may be requested by Argyle for a fee identified in Exhibit A; 7. Site inspection does NOT include inspection of access route and road damage remediation action; and, 8. Any Denton employee that performs services under this agreement will remain an employee of Denton, but will perform gas well inspection services under the supervision and control of the Argyle Town Administrator. In addition to the fees specified above, for the services of the Denton Gas Well Inspector, Argyle will reimburse Denton the sum of $50.00 per hour. In addition to the gas well inspection services specified in this paragraph, the Town Administrator may request additional services from Denton's Gas Well Inspector. Argyle shall reimburse Denton the sum of $50.00 per hour for any additional services, as defined in this agreement and in addition to the gas well inspection services specified above. III. This Agreement may be terminated in whole or in part, with or without cause, by Denton or Argyle upon forty-five (45) days' written notice to the other via certified mail, return receipt requested, or facsimile at the address or fax numbers set forth below. For Denton: Howard Martin, Interim City Manager City of Denton City Hall 215 E. McKinney Street Denton, Texas 76201 Fax No. 940-349-8596 For Argyle: Tobin E. Maples, AICP Town Administrator Town of Argyle P.O. Box 609 Argyle, Texas 76226 Fax No. (940) 464-7274 In the event of termination Argyle shall fully pay Denton for services completed through the effective date of termination. IV. The covenants, conditions and terms hereof are to be construed under the laws of the State of Texas and are performable by all parties in Denton County, Texas. The parties mutually agree that venue for any obligation arising from this Agreement shall lie in Denton County, Texas. V. This writing is intended by the parties as a final expression of their agreement and as a complete and exclusive statement of the terms of their agreement. This Agreement can be modified only in writing signed by both of the parties or their duly authorized agents. VI. This Agreement is not intended to extend the liability of the parties beyond that provided by law. Neither Denton nor Argyle waives, nor shall be deemed hereby to waive, any immunity or defense that would otherwise be available to it against claims arising by third parties. VII In the event that any portion of this Agreement shall be found to be contrary to law, it is the intent of the parties hereto that the remaining portions shall remain valid and in full force and effect to the extent possible. VIII. The undersigned officers and/or agents of the parties hereto are the properly authorized officials and have the necessary authority to execute this Agreement on behalf of the parties hereto and each party hereby certifies to the other that any and all necessary resolutions extending said authority have been duly passed and are now in full force and effect. - Signed to be effective the !I)f{ay of tbLfJILf; ,2006 (the "Effective Date"). ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: QMl!tt dt(}~f f1dt APPROVED AS T EDWIN M. S BY: ATTEST:. . BY: CoL1G fllc&mhv Codi Delcambre, Town Secretary APPROVED AS TO LEGAL FORM: BY: ~ ~"f\ Matthew Boyle, Town Attorney CITY OF DENTON, TEXt BY: ~)Mt\ ~ ~ Howard Martin . , Interim City Manager TOWN OF ~YLE BY: //'7 r:t:?N~ Tobin E. Maples Town Administrator \\\,\111/11", ,,\ OF A"I"" $'.o,,~~..............q, '::. .:- O~~. ...? ~ 't-.:,." ..~~ : I . \ _ -: 'l- = i 1*:: -*.. .. - -: \ . : l .:- '.. '..... ~c.P.... .....C:>~ " ?:t,.;...._......~i-~,~ "" 1]" OF ~ \" "'"'''\1'\\\ -- '\) Exhibit A City of Denton Oil and Gas Monitorina laboratory Analvsis Price Schedule General Water Quality Analysis Performed by City of Denton Lab: (sample collection included as part of initial inspection fee) Cost to be as shown unless otherwise agreed to in writing by both parties to this Agreeemnt. Analvsis pH (Standard Units)-- Conductivity( microsiemens) Salinity;as Chloride (ppm) Total Dissolved Solids Cost $15.00 $15.00 $15.00 $15.00 Chloride (ppm) $25.00 Total $85.00 Note: If requested by Town of Argyle. TPH will be tested by independent lab using a generally accepted test method. Sample collection shall be billed at a minimum of one hour by City of Denton. Independent lab cost to be billed directly to Town of Argyle by lab. Initial: Town of Argyle Date: Initial: City of Denton Date: