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HomeMy WebLinkAboutReso. 1989-329 - Approving the amendatory agreement between the united states of america I RESOLUTION NO. g/G ',V7 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE AMENDATORY AGREEMENT BETWEEN THE UNITED STATES OF AMERICA AND THE CITY OF REDDING PROVIDING FOR WATER SERVICE (BUCKEYE WATER CONTRACT) , CONTRACT NO. 14-06-200- 5272A AMENDATORY, AND AUTHORIZING THE MAYOR TO SIGN SAME. BE IT RESOLVED by the City Council of the City of Redding that: 1 . The City Council of the City of Redding hereby approves the Amendatory Agreement Between the United States of America and the City of Redding Providing for Water Service (Buckeye Water Contract) , Contract No. 14-06-200-5272A Amendatory, a true copy of which is attached hereto and incorporated herein by reference. 2 . The Mayor of the City of Redding is hereby authorized and directed to sign said Amendatory Agreement on behalf of the City of Redding, and the City Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the City of Redding on the aforesaid Agreement, when appropriate. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 3rd day of October , 1989 , and was duly adopted at said meeting by the following vote: AYES : COUNCIL MEMBERS: Buffum, Dahl , Fulton, Johannessen, & Carter NOES : COUNCIL MEMBERS : None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS : None )( 7/1042t; SCOTT CARTER, Mayor City of Redding ATTEST: O�• PPROVED: 'll e g '' li ETHEL A. NICHOLS , City Clerk NDALL A. HAYS , ity Attorney Y33 • • • AIL R. 0. Draft 6/29-1988 Rev. R.O. 6/30-1988 Rev. R.O. 9/7-1988 Rev. R.O. 10/25-1988 Rev. R.O. 12/7-1988 Rev. R.O. 12/30-1988 Rev. R.O. 4/26-1989 Rev. R.O. 7/10-1989 Rev. R.O. 7/18-1989 Contract No. 14-06-200-5272A Amendatory UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF RECLAMATION Central Valley Project, California AMENDATORY CONTRACT BETWEEN THE UNITED STATES OF AMERICA AND THE CITY OF REDDING PROVIDING FOR WATER SERVICE Table of Contents { Article No. Title Page No. Preamble 1 Explanatory Recitals 1- 2 1 REVISIONS OF EXISTING ARTICLES OF THE ORIGINAL CONTRACT (a) Article 1 (Definitions) Subdivision (f) 2 (b) Article 1 (Definitions) Subdivision (g) Replaced 2 (c) Article 3 (Water to be Furnished to the City--Resale) Subdivisions (c) and (d) 3 (d) Article 4 (Water Schedules) 3- 4 (e) Article 5 (Rate and Method of Payment for Water) Subdivision (a) and (b) 4- 6 (f) Article 6 (Renegotiation) is Deleted and a New it Article 6 Use of the 6-inch Pipeline is Substituted 6 (g) Article 8 (Operation, Maintenance, Replacement and Ownership of the 6-inch Pipeline--United States to be Held Harmless) Subdivisions (a) and (b) 6- 7 (h) Article 9 (Points of Delivery--Measurement and Responsibility for Distribution of Water--Temporary Reductions) Subdivision (a). 7 (i) Article 11 (Quality of Water) 7 (j) Article 12 (Water Pollution Control) and title changed to Water and Air Pollution Control 8 (k) Article 13 (Benefits Conditioned Upon Payment--General Obligation) and title changed to General Obligation-- Benefits Conditioned Upon Payment 8 • (1) Article 14 (Penalty for Delinquent Payments) and title changed to Charges for Delinquent Payments 8- 9 (m) Article 15 (Books, Records, and Reports) 9 (n) Article 16 (Contingent on Appropriation or Allotment of Funds) 9 (o) Article 17 (Officials Not to Benefit) 10 (p) Article 18 (Notices) 10 (q) Article 19 (Changes in Service Area Boundaries) and title changed to Changes in City's Service Area 10 (r) Article 20 (Assignment Limited--Successors and Assigns Obligated) 10 (s) Article 21 (Rules Regulations and Determinations) 11 (t) Article 22 (Equal Opportunity) 11-12 ADDITIONS TO THE ORIGINAL CONTRACT 2 (a) Article 24 (Water Conservation) 13 (b) Article 25 (Compliance with Civil Rights Laws and Regulations) 13-14 (c) Article 26 (OMR and Ownership of Toyon Pipeline) 14 (d) Article 27 (Water Wheeling Through 6-Inch Pipeline) 14 3 Provisions of the Original Contract to Remain Effective 14 Signature Page 15 II II , II I ' i I it I 110 Contract No. 14-06-200-5272A Amendatory UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF RECLAMATION Central Valley Project, California AMENDATORY CONTRACT BETWEEN THE UNITED STATES OF AMERICA AND THE CITY OF REDDING PROVIDING FOR WATER SERVICE THIS AMENDATORY CONTRACT, made this day of 19___, in pursuance generally of the Act of June 17, 1902 (32 Stat. 388), and acts amendatory thereof or supplementary thereto including but not limited to the Act of August 26, 1937 (50 Stat. 844), as amended and supplemented, and the Act of August 4, 1939 (53 Stat. 1187), as amended and supplemented, all collectively hereinafter referred to as the Federal Reclamation laws, between THE UNITED STATES OF AMERICA, hereinafter referred to as the United States, and the CITY OF REDDING, hereinafter referred to as the City, an incorporated City of the State of California, duly organized, existing, and acting pur- suant to the laws thereof, WITNESSETH, That: EXPLANATORY RECITALS WHEREAS, the parties have executed a water service contract, No. 14-06-200-5272A, dated February 22, 1971, and hereinafter referred to as the original contract, to provide a municipal and industrial IIS it 1 'i. i ! j • • water supply from the Sacramento River or the 6-inch pipeline originating from the Toyon Pipeline to that portion of the City known as the Buckeye area; and WHEREAS, the original contract provides that the City's entitlement to take water from and its responsibility for operation and II maintenance and replacement (OMSR) of the 6-inch pipeline terminates on II December 31, 1988; and WHEREAS, the original contract provides for a new contract or amendatory contract to be negotiated if the City desires to receive Shasta Reservoir water from the 6-inch pipeline after that date; NOW, THEREFORE, in consideration of the covenants herein contained, ' I it is agreed as follows: REVISIONS OF EXISTING ARTICLES OF THE ORIGINAL CONTRACT 1. (a) Subdivision (f) of Article 1 of the original contract is amended to read as follows: 1 1. (f) "year" shall mean the period from and including March 1 of each calendar year through the last day of February of the following calendar year; and (b) Subdivision (g) of Article 1 of the original contract is replaced with the following: (g) "Toyon Pipeline" shall mean that 16-inch pipeline which originates from the left abutment of Shasta Dam and runs to the section line between Sections 14, 23 and 26 of Township 32 North, Range 5 West, as shown on Exhibit A of this contract. 2 � I 1 111. • • • • (c) Subdivisions (c) and (d) of Article 3 of the original ;1 contract are amended to read as follows: (c) The City may take water from the Sacramento River at points of delivery agreed on pursuant to Article 9 herein or Shasta Reservoir water from the 6-inch pipeline as it may schedule: Provided, That in no event shall the United States be obligated to furnish Shasta Reservoir water at the meter vault on the 6-inch pipeline in excess of 40 acre-feet per year: Provided further, That the City's entitlement to take Shasta Reservoir water from the 6-inch ISI li pipeline under this amendatory contract shall terminate 12 months after the Contracting Officer provides written notice to the City that the capacity of the upstream Toyon Pipeline is needed by the United States for other Project purposes: Provided further, That the City shall continue to perform all duties required by Article 8 of this contract through the effective date of the termination. (d) If at any time or times during the term of this contract the City determines that its water needs for the remainder of said term are for quantities less than those set forth in subdivision (a) of this article, such quantities may be reduced II by written agreement of the parties. }� (d) Article 4 of the original contract is amended to read as h i follows: II I, 3 1 . II/ WATER SCHEDULES 4. Immediately following execution of this amendatory contract, the City will submit a written schedule to the Contracting Officer indicatingthe times, quantities and point(s) of diversion of all water to be delivered to the City during the remaining months of the year following contract execution. Thereafter, prior to March 1 of each year the City shall submit a written schedule to the Contracting Officer indicating the desired times, quantities and point(s) of diversion of all water to be delivered pursuant to this contract during each month of the upcoming year. All such schedules shall be satisfactory to the Contracting Officer. The United States shall furnish water to the City in accordance with the schedule, or any revision thereof, satisfactory to the Contracting Officer, submitted by the City before the desired time of delivery. (e) Subdivisions (a) and (b) of Article 5 of the original ' I contract are amended to read as follows: (a) On the effective date of this amendatory contract, a determination shall be made of the funds on deposit with the United States which are creditable to the City under Article 5 of the original contract. The City shall report water usage by the seventh day of each month to the Shasta Office of the Bureau of Reclamation. No later than the 10th day of each month thereafter the United States shall deduct from said deposit the amount which the City is required to pay for water during the preceding month. Said monthly I ' 4 I i • 111 deductions shall continue as long as the amount on deposit is sufficient to pay for water scheduled to be delivered during that month and the month immediately following. Before the first day of each II month thereafter, the City shall pay for the water to be delivered in accordance with the latest approved schedules during the second month immediately following. Adjustments between the payment for the scheduled amounts of water and the payment for quantities delivered each month shall be made during the following month: Provided, That is any revised schedule which increases the City's water deliveries shall �I I be accompanied with an appropriate payment to assure water is not delivered in advance of payment. By February 1 of each year, the City f ' shall make any additional payment it is obligated to make for water delivered during that year pursuant to Article 3. { (b) The City shall make payments to the Contracting Officer 1 I at the following rates: (1) $ 9.00 per acre-foot for water diverted from the Sacramento River that is not delivered through the 6-inch pipeline to the service area: Provided, That starting on March 1, Ii 1996, this rate shall be redetermined annually in accordance with Reclamation law and the then current MSI rate policy of the Project. (2) $9.00 per acre-foot for water diverted from the Sacramento River and delivered through the 6-inch pipeline to the ' I service area: Provided, That this rate shall be redetermined 5 i . • • II annually in accordance with Reclamation law and the then current II M&I rate policy of the Project. (3) $9.00 per acre-foot for Shasta Reservoir water diverted from the 6-inch pipeline: Provided, That this rate shall be redetermined annually in accordance with Reclamation law and the then current M&I rate policy of the Project, including any appropriate rate changes provided by the policy as a result of the transfer of OM&R, or OMR and ownership of the Toyon Pipeline as detailed in Article 26 of this contract. (f) Article 6 of the original contract is deleted and the following substituted in lieu thereof: USE OF THE 6-INCH PIPELINE 6. The City may take Shasta Reservoir water from the 6-inch pipeline in strict accordance with the terms and limitations of subdivision (c) of Article 3 of this contract; use the 6-inch pipeline for approved water transfers between the City and Project water users II located upstream of the City's service area in accordance with subdivision (e) of Article 3 of this amendatory contract; and provide for pressurized deliveries through the 6-inch pipeline of Sacramento River water diverted pursuant to this contract to the service area. (g) Subdivisions (a) and (b) of Article 8 are amended to read read as follows: 6 11 • • (a) The City at its own expense shall OM6R the 6-inch pipeline as identified on Exhibit A of this contract to the extent reasonably necessary to keep that project facility operating in a satisfactory manner. By letter agreement, including provision for reimbursement by the City of all costs incurred by the United States, the City may be relieved of its responsibilities to OM6R one or more { sections of the 6-inch pipeline and Exhibit A shall be modified accordingly. (b) Unless otherwise provided by the Congress of the United States, ownership of both the 6-inch and Toyon Pipelines shall remain in the name of the United States. II (h) Subdivision (a) of Article 9 is amended to read as follows: (a) The water to be furnished to the City pursuant to this contract will be delivered at the meter vault on the 6-inch pipeline and the point or points of delivery from the Sacramento River below Keswick Dam as may be mutually agreed upon in writing. (i) Article 11 of the original contract is amended to read as follows: QUALITY OF WATER 11. The operation and maintenance of Project facilities shall be performed in such manner as is practicable to maintain the quality of raw water made available through such facilities at the highest level reasonably attainable as determined by the Contracting Officer. The United States does not warrant the quality of water and is under no obligation to construct or furnish water treatment facilities to maintain or better the quality of water. � I •• • (j) Article 12 of the original contract is retitled and amended to read as follows: WATER AND AIR POLLUTION CONTROL 12. The City, in carrying out this contract, shall comply � I with all applicable water and air pollution laws and regulations of } the United States and the State of California, and shall obtain all required permits or licenses from the appropriate Federal, State, or local authorities. (k) Article 13 of the original contract is retitled and amended to read as follows: GENERAL OBLIGATION--BENEFITS CONDITIONED UPON PAYMENT 13. (a) The obligation of the City to pay the United States as provided in this contract is a general obligation of the City notwithstanding the manner in which the obligation may be distributed among the City's water users and notwithstanding the default of individual water users in their obligations to the City. Li (b) The payment of charges becoming due hereunder is a condition precedent to receiving benefits under this contract. The United States shall not make water available to the City through Project facilities during any period in which the City may be in arrears in the advance payment of water rates, or any operation and maintenance charges due the United States. The City shall not furnish water made available pursuant to this contract for lands or parties which are in arrears in the advance payment of water rates or operation and maintenance charges levied or established by the City. (1) Article 14 of the original contract is retitled and amended to read as follows: r , CHARGES FOR DELINQUENT PAYMENTS 14. (a) The City shall besubject to interest, administrative and penalty charges on delinquent installments or payments. When a payment is not received by the due date, the City shall pay an interest charge for each day the payment is delinquent beyond the due date. When a payment becomes 60 days delinquent, the City shall pay an administrative charge to cover additional costs of billing and processing the delinquent payment. When a payment is delinquent 90 days or more, the City shall pay an additional penalty charge of 6 percent per year for each day the payment is delinquent beyond the due 8 �I t II • • • ,� II date. Further, the City shall pay any fees incurred for debt collection services associated with a delinquent payment. (b) The interest charge rate shall be the greater of the rate prescribed quarterly in the Federal Register by the Department of the Treasury for application to overdue payments, or the interest rate of 0.5 percent per month prescribed by Section 6 of the Reclamation Project Act of 1939 (Public Law 76-260). The interest charge rate shall be determined as of the due date and remain fixed for the duration of the delinquent period. (c) When a partial payment on a delinquent account is received, the amount received shall be applied, first to the penalty, second to the administrative charges, third to the accrued interest, and finally to the overdue payment. (m) Article 15 of the original contract is amended to read as follows: BOOKS, RECORDS AND REPORTS 15. The City shall establish and maintain accounts and other books and records pertaining to administration of the terms and conditions of this contract, including: the City's financial transactions, water supply data, Project operation, maintenance and replacement logs, Project land and right-of-way use agreements, eater-use data; and other matters that the Contracting Officer may ;I require. Reports thereon shall be furnished to the Contracting Officer in such form and on such date or dates as the Contracting Officer may require. Subject to applicable Federal laws and regulations, each party to this contract shall have the right during office hours to examine and make copies of the other party's books and records relating to matters covered by this contract. (n) Article 16 of the original contract is amended to read as follows: CONTINGENT ON APPROPRIATION OR ALLOTMENT OF FUNDS 16. The expenditure or advance of any money or the performance of any obligation of the United States under this contract shall be contingent upon appropriation or allotment of funds. Absence of appropriation or allotment of funds shall not relieve the City from any obligations under this contract. No liability shall accrue to the United States in case funds are not appropriated or allotted. II 9 • " (o) Article 17 of the original contract is amended to read as follows: OFFICIALS NOT TO BENEFIT 17. No Member of or Delegate to Congress, Resident Commissioner or official of the City shall benefit from this contract other than as a water user or landowner in the same manner as other water users or landowners. (p) Article 18 of the original contract is amended to read as follows: NOTICES ' I 18. Any notice, demand, or request authorized or required by this contract shall be deemed to have been given, on behalf of the City when mailed, postage prepaid, or delivered to the Regional Director, Mid-Pacific Region, Bureau of Reclamation, 2800 Cottage Way, Sacramento, California 95825-1898, and on behalf of the United States, when mailed, postage prepaid, or delivered to the Mayor of the City of Redding, 760 Parkview Avenue, Redding, CA 96001. The designation of the addressee or the address may be changed by notice given in the same manner as provided in this article for other notices. r ; (q) Article 19 of the original contract retitled and amended to read as follows: CHANGES IN CITY'S SERVICE AREA 19. While this contract is in effect, no change may be made in the City's service area, by inclusion or exclusion of lands, dissolution, consolidation, merger or otherwise, except upon the Contracting Officer's written consent. (r) Article 20 of the original contract is amended to read as follows: it ASSIGNMENT LIMITED--SUCCESSORS AND ASSIGNS OBLIGATED 20. The provisions of this contract shall apply to and bind the successors and assigns of the parties hereto, but no assignment or transfer of this contract or any right or interest therein shall be valid until approved in writing by the Contracting Officer. 10 - • i (a) Article 21 of the original contract is amended to read as follows: RULES, REGULATIONS, AND DETERMINATIONS 21. (a) The parties agree that the delivery of water or the use of Federal facilities pursuant to this contract is subject to Reclamation law, as amended and supplemented, and the rules and regulations promulgated by the Secretary of the Interior under Reclamation law. (b) The Contracting Officer shall have the right to make determinations necessary to administer this contract that are consistent with the expressed and implied provisions of this contract, the laws of the United States and the State, and the rules and regulations promulgated by the Secretary of the Interior. (t) Article 22 of the original contract is amended to read as follows: • EQUAL OPPORTUNITY 22. During the performance of this contract, the City agrees as ii follows: q � (1) The City will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. The City will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, or national origin. Such action shall include, but not be limited to, the following: Employment,p yment, upgrading, demotion, or transfer; recruitment or recruitment advertising; II layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The City agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Contracting Officer setting forth the provisions of this nondiscrimination clause. (2) The City will, in all solicitations or advertisements for employees placed by or on behalf of the City, state that all qualified applicants will receive consideration for employment 'I without discrimination because of race, color, religion, sex, or national origin. I ' (3) The City will send to each labor union or representative of workers with which it has a collective bargaining agreement or 11 • • • II other contract or understanding, a notice, to be provided by the Contracting Officer, advising the said labor union or workers' representative of the City's commitments under Section 202 of Executive Order 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. (4) The City will comply with all provisions of Executive Order No. 11246 of September 24, 1965, as amended, and of the rules, regulations, and relevant orders of the Secretary of Labor. (5) The City will furnish all information and reports required by said amended Executive Order and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to its books, records, and accounts by the Contracting Officer and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. (6) In the event of the City's noncompliance with the nondiscrimination clauses of this contract or with any of the said rules, regulations, or orders, this contract may be canceled, terminated, or suspended, in whole or in part, and the City may be declared ineligible for further Government contracts in accordance with procedures authorized in said amended Executive Order, and such other sanctions may be imposed and remedies invoked as provided in said Executive Order, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. (7) The City will include the provisions of paragraphs (1) through (7) in every subcontract or purchase order unless exempted by the rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of said amended Executive Order, so that such provisions will be binding upon each subcontractor or vendor. The City will take such action with II respect to any subcontract or purchase order as may be directed by the Secretary of Labor as a means of enforcing such provisions, including sanctions for noncompliance: Provided, however, That in the event the City becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction, the City may request the United States to enter into such litigation to protect the interests of the $ United States. II , 12 Ii II 6 ii . * • � • ADDITIONS TO THE ORIGINAL CONTRACT 2. (a) Article 24 is added to the original contract to read as follows : WATER CONSERVATION 24. Within eighteen months of the delivery of water provided from or conveyed through Federally constructed or Federally financed facilities pursuant to this contract, the City shall develop an effective water conservation program acceptable to the Contracting Officer. The water conservation program shall contain definite water conservation objectives, appropriate economically feasible water conservation measures, and time ii schedules for meeting those objectives. At subsequent six—year intervals, following the acceptance of the City's program, the City shall submit a report on the results of the program to the Contracting Officer for review. Based on the conclusions of the review, the Contracting Officer and the City shall consult and agree to continue or to revise the existing water conservation program. (b) Article 25 is added to the original contract to read as follows: COMPLIANCE WITH CIVIL RIGHTS LAWS AND REGULATIONS 25. (a) The City shall comply with Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d), Section 504 of the Rehabilitation Act of 1975 (P.L. 93-112, as amended), the Age Discrimination Act of 1975 (42 D.S.C. 6101, et seq.) and any other applicable civil rights laws, as well as with their respec— t tive implementing regulations and guidelines imposed by the U.S. Department of the Interior and/or Bureau of Reclamation. (b) These statutes require that no person in the United States � ! shall, on the grounds of race, color, national origin, handicap, or age, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity receiving finan— cial assistance from the Bureau of Reclamation. By executing this contract, the City agrees to immediately take any measures necessary to implement this obligation, including permitting officials of the United States to inspect premises, programs, and documents. (c) The City makes this agreement in consideration of and for the purpose of obtaining any and all Federal grants, loans, contracts, property discounts or other Federal financial assistance extended after the date hereof to the City by the Bureau of Reclamation, including installment payments after such date on account of arrangements for Federal financial assistance which were approved before such date. The City recognizes and agrees that such Federal assistance will be extended in reliance on the 1 13 I , i,, • • representations and agreements made in this article, and that the United States reserves the right to seek judicial enforcement thereof. (c) Article 26 is added to the original contract to read as follows: OM&R AND OWNERSHIP OF TOYON PIPELINE 26. In the event the United States transfers OM&R, or OMR and ownership of the Toyon Pipeline to a non-Federal entity, this contract will be revised as needed by letter agreement to conform with the terms and conditions of such contract: Provided, That the United States will consult with the Contractor prior to entering into any such OM&R, or OM&R and ownership agreement with the non-Federal entity. (d) Article 27 is added to the original contract to read as follows: WATER WHEELING THROUGH 6-INCH PIPELINE 27. Due to the availability of capacity in the 6-inch pipeline in excess of that required to wheel Shasta Reservoir water to the City and upon Ili request of the United States, the City shall wheel Project water allocated to and paid for by other Federal contractors through the 6-inch pipeline for I . use in areas adjacent to the 6-inch pipeline but outside the City's service area. Prior to the conveyance of any such water, the Federal contractors benefiting from such wheeling shall be required to have an approved executed agreement with the City which provides for reimbursement of all reasonable OM&R costs incurred by the City arising from such wheeling. Any and all such agreements shall be approved pproved by the Contracting Officer. PROVISIONS OF THE ORIGINAL CONTRACT TO REMAIN EFFECTIVE 3. Except as herein modified the original contract shall be and II remain in full force and effect as originally written and executed. i► 14 li II • • IN WITNESS WHEREOF, the parties hereto have executed this amendatory contract the day and year first above written. THE UNITED STATES OF AMERICA IJ i li By Regional Director, Mid-Pacific Region JI Bureau of Reclamation iI I CITY OF REDDING '+ I By Mayor (SEAL) Attest: I , I I City Clerk DTREDDIO/14 II I 15