HomeMy WebLinkAboutResolution 1977 - 0097i
RESOLUTION NO.77-97-7
A RESOLUTION OF THE BOARD OF DIRECTORS OF
COUNTY SANITATION DISTRICT NO.7 APPROVING
AN AGREEMENT FOR COLLECTION OF SEWER CON
NECTION CHARGES AND RESCINDING THE EXISTING
AGREEMENT IMPLEMENTING COUNTY SANITATION
DISTRICT NO.7 ORDINANCE NO.705 WITH THE
CITY OF TUSTIN
WHEREAS,County Sanitation District No.7 enacted
Ordinance No.705 providing for rules and regulations relating
to connections to District sewage facilities,establishing
charges therefor;and,
WHEREAS,County Sanitation District No.7,and the
City of Tustin,made and entered into an agreement dated
July 18,1962,as amended October 10,1962,which provided
for,among other provisions,the collection of connection
charges imposed by County Sanitation District No.7 pursuant
to Ordinance No.705 as amended;and,
WHEREAS,County Sanitation District No.7 and the City
of Tustin,have determined that the terms and conditions
of the presently-existing agreement are no longer in the
practical best interests of the respective parties,and
therefore,desire to rescind said agreement and re-enter
into a new and different agreement setting forth the intent
of the parties as of this date;and,
WHEREAS,the City of Tustin has approved the
agreement for the collection of sewer connection charges
as proposed by County Sanitation District No.7;
NOW,THEREFORE,the Board of Directors of County
Sanitation District No.7 does hereby resolve:
Section 1 That certain agreement attached hereto as
Exhibit “A”,providing for the collection of sewer connection
charges by the City of Tustin,is hereby approved,to be
effective September 1,1977.
Section 2 The General Manager,the District Secretary,
and General Counsel are all instructed and authorized to
prepare and execute all necessary documents required to
implement the provisions of Ordinance No.716 of County
Sanitation District No.7 pertaining to the establishment
of sewer connection charges and to implement the provisions
of the above—referenced agreement.
PASSED AND ADOPTED at a regular meeting this 13th day
of July,1977.
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1 AGREEMENT FOR COLLECTION OF SEWER CONNECTION
CHARGES --COUNTY SANITATION DISTRICT NO.7
2
3 TillS AGREEMENT,made and entered into this
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day of
4 _____________________,1977,by and between the CITY OF
5 TUSTIN,a municipal corporation,hereinafter referred to as
6 “City”,and COUNTY SANITATION DISTRICT NO.7 OF ORANGE COUNTY,
7 CALIFORNIA,hereinafter referred to as “District”.
8
9 WITNESSETH:
10 WHEREAS,District has,by the enactment of Ordinance No.
II 705 as amended,established a schedule of sewer connection
12 charges;and
13 WHEREAS,all or a portion of the improved territory of
14 the District is within the City limits of City;and
15 WHEREAS,the City,by and through its building depart-
16 ment,regulates all new construction within the City;and
17 WHEREAS,it is for the mutual benefit of City and District
18 that the sewer connection charges provided for in said Ordi—
19 nance No.705 as amended,of the District he collected in a
20 manner most expedient and least burdensome on the owners of
21 property within the City;and
22 WHEREAS,the City will benefit by the construction and
23 maintenance of sewage facilities of District within the City
24 limits of City by District from the funds to be collected
25 from said sewer connection charges;and
26 WHEREAS,City and District have heretofore,on the 18th
27 day of July,1962,entered into an agreement for the collection
28 of District sewer funds,and the parties hereto have agreed to
29 terminate said contract as of the date set forth herein.
30 NOW,THEREFORE,it is mutually agreed between the
31 parties as follows:
32 /1
1 1.City and District,for and in consideration of the
2 payments which have already been made upon said original
3 contract,and for and in consideration of the further covenants
4 and agreement herein set forth,now agree that this Agreement
5 shall be substituted in place of and instead of said original
6 agreement.
7 2.City as agent will and does hereby agree to issue
8 permits and collect the charges established by District under
9 said Ordinance No.705 as amended from time to time.
10 3.District shall prescribe those classifications of
11 charges to be collected by City.
12 4.City will account for the charges collected and remit
13 to District monthly the monies collected,except as provided
14 in Section 7 hereof.
15 5.Procedures mutually agreeable to City and District
16 shall be established for collection and remittance of said
17 fees.
18 6.District does hereby appoint and nominate City and
19 its agents and employees as the same may he designated by
20 City as agents of the District for the purpose of issuing permits
21 and determining and collecting the sewer connection charges
22 established under Ordinance No.705 as amended.This does
23 not authorize City to act as agent for the General 3~1anager
24 or to perform the duties of the General ~anager of the District,
25 except as expressly set forth in this Agreement.
26 7.City agrees to act as agent for District as herein
27 provided for a fee equal to five (5%)percent of the fees col
28 lected by City for permits issued pursuant to the provisions
29 of this Agreement.Said five (5%)percent ~ee of~City shall
30 he deducted from the charges collected by City and remitted
31 to District pursuant to Section 4 herein.
32 8.City has prepared and submitted to District a
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1 detailed accounting statement of the fees collected and the
2 interest earned thereon through December 31,1976,pursuant
3 to the previous agreement executed on the 18th day of July,
4 1962.The parties agree that the respective rights pertaining
5 to the receipts,disbursements and earned interest are as
6 shown on Exhibit “A”,attached hereto and incorporated herein
‘/by reference.
8 9.District agrees to credit City with a sum equal to
9 five (5%)percent of the fees collected under said previous
10 agreement during the period of July 18,1962 through December
1].31,1976,as reimbursement for costs expended by City relating
12 thereto.Said reimbursement in the amount of Fifty-Six
13 Thousand Four Hundred Seventy—Two and 00/100 ($56,472.00)
14 Dollars shall be deducted from the fund balance provided for
15 under Section 8 hereof,and credited to City.
16 10.The balance of said fund owing to the District in
17 the amount of Ninety-One Thousand Nine Hundred Eighty-Two
18 and 00/100 ($91,982.00)Dollars shall be paid to District by
19 cash payment in the sum of Forty-Eight Thousand Seven Hundred
20 Sixty-One and 00/100 ($48,761.00)Dollars concurrently with
21 the execution of this Agreement and the remaining balance
22 of Forty-Three Thousand Two Hundred Twenty-One and 00/100
23 ($43,2~l.00)Dollars shall be paid by offsetting an amount
24 equal to the fees otherwise to be earned by City for the future
25 administration of this Agreement.Until such time as the en—
26 tire balance is paid in full by the aforesaid offset of charges,
27 payment of administrative fees earned by City is waived by
28 City.The balance due shall not bear interest.Upon payment
29 of the balance due to District,City shall be er~tit1ed to
30 receive payment of the five (5%)percent administrative fees
31 in accordance with the terms of this Agreement.
32 11.District and City agree that if the City is presented
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1 with a dispute as to the validity,reasonableness,enforci—
2 bility,or applicability of the charges agreed to be collected
3 by it for the District,the City shall notify the District of
4 the problem and the District shall take over the collection
5 and enforcement of its ordinances in subject cases.It is
6 contemplated that this shall be the procedure for serious
I disputes made upon some current legal right or basis as dis—
8 tinguished from crank—type or ill-founded disagreements.
9 12.City shall not he liable to the District for its
10 unintentional and inadvertent failure to collect a connection
11 charge actually due District or its unintentional or inadver—
12 tent miscalculation of the amount of the charges,fees,or
13 fees due District.
14 13.District hereby agrees to hold City free and harmless
15 of any and all liability that might arise if any such fees col
16 lected by the City shall he determined to have been illegally
17 collected.
18 14.District agrees to provide legal services in the
19 defense of any action seeking to collect sewer connection
20 fees alleged to have been illegally collected.
21 15.It is agreed that at the request of either party
22 hereto,formal renegotiation of this Agreement shall be made
23 at two years from the effective date hereof.
24 16.This Agreement may be terminated by either party
25 giving 180 days written notice to the other party designating
26 a termination date,which date shall be the first day of a
27 calendar month.
28 /
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ATTEST:
City Clerk~—._
APP~~
Ci~,Xtt6rney
IN WITNESS WHEREOF,the parties hereto have executed
this Agreement,t.he day and year first above written.
CITY OF TUSTIN,
a municipal corporation
By_____________
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COUNTY SANITATION DISTRICT NO.7 OF
OR1~NGE COUNTY,CALIFORNIA,a public
corporation
By
--
By~
Chairman,Board of Directors
AS TO FORM:
Secretary,Board of Directors
General Counsel
II
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1 DISTRIBUTION
2
3 Cash Payment Due to County Sanitation
District No.7 on Execution of
4 Agreement $48,761.00
5
6 Balance to be Credited Against Future
Administrative Fees Earned by
‘/City of Tustin $43,221.00
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EXHIBIT “A”
30 (Page 1)
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1 Total Connection Fees Collected
Through 12/31/76 $826,526.00
2
Total Interest Earned Through
3 12/31/76 by ~1ain Trunk Fund $99,693.00
4 TOTAL RECEIPTS $926,219.00
5
6 DISBURSEMENTS
I Remitted to District No.7
Quarterly Through 12/31/76 $206,210.27
8
Other Authorized Disbursements $571,555.00
.9
TOTAL DISBURSEMENTS $777,765.00
10 ___________
11
12 County Sanitation District No.7
Main Trunk Connection Fees
13 Fund Balance Through 12/31/76 $148,454.00
14
15 CREDITS TO CITY OF TUSTIN
16 5%Administrative Fee on Total
Collections ($826,526.00)$41,327.00
17
ProRata Share of Interest Earned
18 on Total Deposits Allocated to
City’s Share of Deposit $15,145.00
19
TOTAL CREDITS $56,472.00
20 __________
2].Balance Due County Sanitation
District No.7 $91,932.00
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27 EXHIBIT “A”
(Page 2)
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STATE OF CALIFORNIA )
)SS.
COUNTY OF ORANGE )
I,J.WAYNE SYLVESTER,Secretary of the Board of Directors of
County Sanitation District No.7 of Orange County,California,do
hereby certify that the above and foregoing Resolution No.77-97-7
was regularly passed and adopted at a regular meeting of said Board
on the 13th day of July
,1977
,by the following vote,to wit:
AYES:Pete Barrett (Chairman),Bill Vardoulis,Thomas Riley,
Vernon Evans,Francis Glockner,Don Saltarelli and
Don Smith
NOES:None
ABSENT:None
IN WITNESS WHEREOF,I have hereunto set my hand and affixed the
official seal of County Sanitation District No.7 of Orange County,
California,this 13th day of July
,
1977
•Wa~e :S5~4vester,Secretary,
B ar~’of t~/rectors of County
arii,~ation District No.7
of Orange County,California
S-104