1977/08/11 City & Beach Water• Accua:rn:rrr
THIS AGREILMENT made and entered in Lo 00 8 clay of
'Lc rcQL_, 1.977. beLwcen the O►<L~l•:CItOt)t 13 111:A(;II WATER ASSOC1A•rION.
1+!<:,, a Flot•1.0a corpornt:iun will) 11.s principal place u;' business
in Uk e.cchcrhr.e Chun+'y, t•'ltiri~la, lltrrl:itt:t Cl<•r r•c•7 car. rc•~I to :1::
the Association. and the CITY OF O1;E1CIIOUE+„ a inutti.cipal cor-
porati.on,•ltercinafLer referred to vs Lhe CiLy, also located
in Ol:eechvbne County, 1'i.ur.idn,
t•: 111-ISSS2,1111:
1. 1-11113M.-W3, the City of Okeechobee owns Irld opcrat•es
a pol•7ble•water nuphly, l•rellment, pmi%pinq and di.~Lr.ihution
system. Intl
2• Wtthatt:Aa. Lh~ As3oc:.ial;i.on providt::; a w:111•:r dirt vibn-
l:+tm systcill Lo corl.illn rusi.d lt:i ill (11:1:1'Chl)11r`(: Could'y, t' lcll'tri•1,
acid in Glarlc, County, Florida, :uut
3. t•+11CREA5, Lhe parties hereto have )ecn operaLlog
un(lrC till neireeneenl daL•ed Lht At) clay of SrtAcluher, 1970, wherui.n
the CiLy or O1;ecchobce 1iia been selAin•,1 biil.k wal•cr to the
Asno,:iaLion and which volultut aclread ur~ll Ilai; now been cxvvcded
and is i-1-11M i ri.cnl• for the prrscnl. ')nd fnl tlra nc:cds t:t• t hq
A:IzociaLi.on, and
R, tt1iL:IiFAS, the City is explndincl its prescnL wales
supply and LreaLmeit faeili.tLcs, uncle: ILs 177Ci Wales Worka
llnprovement.s contract 1175-1156, and
' 5. WIII`*.WsAS,: the AssociaLlon has requested a t1ttlranLee
: of 500,000 gallons ?per day of poL•able water rrom the city in
older Lo acc:orrlplish its objecti.ves, Intl 1•.0 insure llropr•r r.crvice
to its customers,
VOW T'Itl AE.17OStr in cons ideraLion of 1,hle cunt of p++l; 001,1•Att,
the receipt of whiett is hereby acknowledgi-d. Ind other good
Exhibit "C"
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and valuable considerations, the parties agree as .follows:
1. THAT the Association shall cooperate with the City
Ill its water plant expansion program, contract 1175-1156, known
as Lhe 1976 expannion, as follows:
(a) The Association shall place the sum of ,200,000.00
in an escrow account in a banp.ing facility in Okeechobee County
to be selected by the Association and which sum is agreed to
fairly rep esenl• the value of water plant capacity associated
wiL-h the 500,000 gallons per day guarantee provisions of this
corrtrncL•. Payments shall be made by L•he Association from the
fund so i7erosited an a monthly basis, predicated upon the con-
tractor -,.rho Ilan the conlracL for the construction of the imhrove-
menL submitting to the Association Lhrough the city his payment
request on a monthly basis. The Association will ray to Lhe
City forty (40) per ceiiL of the neL• amount duc Lhe contractor,
on the contractor's monthly payment request; regardless of which
portion of the project- is being constructed during such tray
period: it being the intent- of the Association to be responsible
for its proportionate share, not to exceed $200,000.00. Upon
final payment request of the contractor, the Association shall
pay the remainder of the $200,000.00. Vic Associ.aLion's Loran
payments shall he $200,000.00.
• (b) All interest earned on the money deposited in the
escrow acccxant, Shall accrue to the Association.
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(c) in addition to the ;200,000.00 placed in Lhe esernai
account, as above mentioned, the AssocibL~ion further agrees to
part' L•ownrd the construction or n new 500,000 cgnllon clear well,
the surn of $75,000.00 provided, however, that tho City shall
have an engineer prepare plans and specifi.caLionh for Lite new
clear well within six monl'hs trom L•he data of Lhi.s agreement and
..2_
l,w,, .l1f •ir F1~../Fp (..lIl7. F7V1C ~~•Ort tt.r~h.01I/ ,1.7.11 a u. 1. ••~I...•[r C.•,r ~rf[ r,r., /171.1,.• 71. rt
let bids therefor. If the City sloes not have plans and specifi-
cations prepared wiLhin six months and ready for biddinq in such
time, then in ouch event, the Association shall not: be required
to deposit the additional suin of $75,000.00, unless there is
further extenr,ion of this agreement between Lbe parties in writing.
2. The City agrees as follows:
(a) '1'o provide to the Associat•ioii an average daily
water supply. of not more Lhan 500,000 gallons for a period of
lien (10) years from the effective date of this agreement. said
wnL•er to be delivered to the Association at the plant clear wells
under atmospheric pressure.
(h) if the water supplied to the Association exceeds
500,000 gallons daily for any one n)onth, then the averaga is Lo
he coa),puted from the month when the water supplied exceeded
ti)~. 500,000 (.l:+llo))s Pl.un the Lwo monLi)a Onnic.dIately Prccacli))g
it, it bei.nd understood that the average is to be computed over
a three month period.
(c) To permit the Association Lo 'install a new fi.nishe:d
water pump in the clear well at its own expense, with a capaciL•y
of approximately 700 gallons per minute, at 90 pounds per square
inch discharge pressure.
(0) To permit an interconnect between the finished
water lines of the City and Lhe Association, subject- to joint
approval or the construction plans tlhevefor, at the solve cost
of the Association. .
(e) The Association agrees to nay. monthly, l.o Lha
CLLy the acLual cost of the City pr.oducimt the wa(-.er, plus
$.05 per 1,000 gallons. For the purpose of this agreement,
actual cost shall be computed by the City. The City shall
use the following iL•ems in computing its bill to the Association:
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rormuln for estal>lishi.ng coat uC water production
(Usi.nq cost of plant- operations only)
COST OF PRODUCTION
1. Chemicals (Exclude Post Chlorination)
2. Electric xclude City It. S. t.'umps)
1. Labor: Percent of Following Salaries:
Director of Public Works .(45%)
Supervisor of clper.at.iorn(50 )
Billing Clerk (20%)
Operators (100;)
4.. Other ixpenses: Of all employees of the water.
Plant au follows:
Wor)unen's Compensation, Ilcatlth
Tnsurance, Social SocuriLy, )'erasion
fund cost, Dis7biliCy Insurance,'
Labor Li.abili.L•y, And the Following
Expenses of Water Plant. Property
Damage Insurance, Telephone, Audit
Pee, Office Expense and 10;. of Legal
Counsel salaries of mid for Water
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5. InL•eresL- only on Actual Debt Service.
(1973 Plant Improvement plus old plant)
G. )repairs and Maintenance Actual Cost.
7. 'truck Expense: Actual wit): ,,greed upon Minimum
of $150.00 per month.
8. Depreciation of the present worl"h of the water
plant which is designated at ,,M0,000.00 at 2lsy
per year for a period of forty (40) years, it being
understood that said $900,000.00 does not include
any equipment owned by the Association.
9. Required Lab Test outside bab.
Local [tab.
10. Outside'Special Service: (Legal, Engineering and
AdrninistralAve. Actual
cost of nervivu when 11st•t1)
(A) raL-imated total cost of production Sum of i.Lems
1-10.
(u) Total finished water in taiousands.
Formula: A - Cost/1,000 gallons.
J3.
The Associ.aLion shall be bi.l.led monLbly by Lhe City's
estimated coat per 1,000 gallons as heieinabove 's La Led. The
L.. I'#' 'CIS 01 n .~.n0 q. l.pl t. naV It J,(-at rr 110.11 a 1,, !1. •.Q, 0.11 Cup„tr .•rrr,., nn,N• )1•,Z
actual cost shall be computed every three (3) months by the City
and billings for the subsequent months adjusLad accordingly.
(C) The Association agrees to install, own, operate
and properly maintain iL~ booster pumps, tnai.nline meLer.s and
chlorination facilities at its sole expense.
3. It is understood between the parties hereto Lhat the
Association has applied for and is being financed by a loall
and/or grant made or insured from the United States of America
acLi.nq L•hrough the Farmers Home Administration, United States
Department of Agriculture, and the provisions hereL-o pertaining
to the undertaking of Lhe Association and conditioned upon Lhe
approval in writing of Uie State Director of L-he rarwers dome
AdminisL-raLion, and in the event of any occurrence rendering
the Association incapable of performing under Lhis contract,
any successor of the Association whether the resulL of legal
process, assignuent or otherwise, shall succeed to Lhe rights
of Lhe Assocint•ion hereunder, and the City aclreer, to be bound
by such process, assignment, or otherwise.
4. It is further agreed between the parL-ics here Lo that
the Associationi shall serve all users in the areas south of
the boundary, that is identified between Lhe City and Lhe Associa-
tion per legal description attached hereto and made a part hereof
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as Exhibit A, except for its users presently served by the City.
It is specifically agreed that the City shall not serve.any new
water user itt this area unless such potential user has been
refused service by the Association, and ltel Cher shall Lhe Associa-
tion provide service to any user norl:h or the boundary unless
it is mutually agreed upon by the City and Lhe Association.
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S. The term of this agreemennL sha3.1 be for a period of
ten (10) years as mentioned herein and said term shall commence
when the contract 1175-1156 as contemplated herein has been com-
pleted and so certified Py the City i;ngineer of the CiL•y of
Okeechobee to tho Association. '
6. In the event that L•he.aver.age amount c:f: wales- supplied
the Association exceeds the limit- set for0i in parngraph 2, :u%d
sub-paragralShs thereof, on page 3 of this agreement, Lhen the
[parties hereto agree Lo renegotiate Lhis ngrecmenL- insofar an
the same relates Lo the amount of water to be furnished by the
Ci.Ly t0'Ll,e'AssOciation.
I11 WITZI SS PtilI RFOF, the parties hereto have hereunto set*
their hands and sealn an officials of both Lhe Associ11 ion and
the CiL•y, prior authorization for such execution haviiiy been
duly obtained from Lhe City of Okeechobee and L•he Board of
Directors of Okeechobee-Beach Water Association, I))c.
A'1"l'1'ti'C: 0IU'.I;C11O13131{ BL:ACII WATEM ASSOCIA'kION, IM
.L3~ ~Jf.,,.C.__--
1,ul.,nd mearca, vrouidh_nl
AYPEST: CITY OF 0110>LC11013r•,I4
13y: Z's 11 City Clerk Russell Domes-, President City Cuunr;
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t~+• o,r~ets or mt•••••o w,a'uts,novrc+•+a6 rr~P,l.,otrr nawo a v,+.+•U,o+tre•,oer.[ e•rv,n~•••n. 3).,r
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5EUVICK DIST11M71%
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Beglnnint; at the Township line between T37S and I'38S an Me
t•1nrLin County line proceed west olnng the )forth soctlon Uno of
sections 1, 2 and 3 in 'I'383 to the West cursor of Sucl"loth 3
Lhence north along the east suction Me of nectlun 3), T37S Lo
the norLhonst corner of suction 33 Chance west along the 1wrLh
` Pee Lion Ilno or Sec ti oh 33 and 12 to the hat r sac Liu" 1 Lrtu ut'
aoctlon 32, 29 thence north on tha half seeLlun in" of ItncLiun
t 29 Lo the east wash section line i)etwoon sections 1* nntl 20
thence wash along this section line Kong Lho nurLh side of vuc-
Llons 29, 30, TIM 111613 and section 25 untl section 26, TIM
11)51; to the wnst suction lithe of section 26 Men south al,yig the
west section line of section, 26 to its southwest corner thenca
weal. along the north section Me of section 31, to t:he nor't)twfet
cornor of Suction 34 Lhenco youth along Lhu west. rect'Lon Ili p•or
unction 14 to Lhe north ; aveLiun J !no, Ihuntto west ort Lhn nut-1.11
i n";:Ltnn 11nu to Lho half r:aaLlon LJnu ut' :tt•clA n) )'1 Ihonnn
month on the Iron r seetiuu Llna to the nn:,L wnsL I smALott .I Ins of
sur"Llon )3 thence wnyt ulotig Cho o"sL wvvL j said: Ibis to Me
nt,t•lh south section line between »ocLions :JS and )2 I.hrnco south
Lu Lhn south wash corner no sac tJ un )3 Lhenco wont a I ant; Lho muttl It
soc:Uh) Una of section 32 to the southwest corner of aucLlurt 32
Me"en south to thn enst west half senLion lino of ::ucti.un 5;,
T38S, 11351. hence wont to the Township ltnnlfe ).[no boLwuen 11359
and H34R thence so"Lh to the north k sect.Jort litho or 'ectlon I
thenco wont on the nouLh section ilno or sat:Li.ort I Lu Lho Iwayor
Dyke Ilond, Lhonce vout.haAat along the lloovnr 1)yko Itnatl to 1,nko
Okeechobee, thence norLheust rued south n,lu" Me cl)tcnchuhpu 11tnre
11ne to the Mnrtln County lino, Lhance norL11 alum; Lhn thi;Lin
County line to the pal nt: of bnglrntJug,
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3
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EXHIBIT A
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