HomeMy WebLinkAboutReso 1982-10757
RESOLUTION NO. 10757
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING AGREEMENT BE'lWEEN THE CITY OF CHULA
VISTA AND SPRING VALLEY SANITATION DISTRICT FOR THE
PURCHASE OF 1.7 MILLION GALLONS PER DAY OF METRO CAPACITY
RIGHTS FROM THE CITY OF CHULA VISTA BY SANITATION DISTRICT
AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT
The City Council of the City of Chula Vista does hereby
resolve as follows:
NOW, THEREFORE, BE IT RESOLVED by the Ci ty Council of the
City of Chula Vista that that certain agreement between THE CITY
OF CHULA VISTA, a municipal corporation, and SPRING VALLEY SANITATION
DISTRICT, for the purchase of 1. 7 million gallons per day of Metropolitan Sewer
System capacity from the City of Chula vista by Spring Valley Sanitation District
dated the 26th day of January , 19 82, a copy of which
is attached hereto and incorporated herein, the same as though
fully set forth herein be, and the same is hereby approved.
BE IT FURTHER RESOLVED that the Mayor of the City of
Chula Vista be, and he is hereby authorized and directed to
execute said agreement for and on behalf of the City of Chula
Vista.
Presented by
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Approved as to form by
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George U. Lindberg, City Attorney
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City Engineer
ADOPTED AND APPROVED by the CITY COUNCIL of
CHULA VISTA, CALIFORNIA, this "26th day of January
19H_1-, by the following vote, to-wit:
the CITY OF
AYES: Councilmen
Cox, Gi11ow, McCand1iss, Scott
NAYES: Councilmen
None
ABSENT: Councilmen
None
ABSTAIN:
Councilman
Campbe 11
II
~ . -t,A~ Mayor
ATTE ~--~~ //'/1 _~
City erkp
STATE or' CALIFORNIA)
COUNTY OF SAN DIEGO) ss.
CITY OF CHULA VISTA)
I, , City Clerk of
the City of Chula Vista, California, DO HEREBY CERTIFY that the
above is a full, true and correct copy of Resolution No. 10757 ,
and that the same has not been amended or repealed. DATEn-----
City Clerk
Form No. 342
Rev. 7/81
Please Heturn To;
DUPLICATE
Jennie M Fulasz, City Oerk . . .
P. o. Box 1087 AGREEr1ENT TO PURCHASE 1.7 MILLION GALLONS.P~R.,DM, "
Chula Vista, California 92012 OF METROPOL ITAN SEWER SYSTEM (METRO) CAP--AeIT'f" FROM p"
THE CITY OF CHULA VISTA BY THE SPRING VALLEY
SANITATION DISTRICT.
, ,
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,. v'")
THIS AGREEMENT is hereby dated and effective this2.ill:h day of
1982, and is
April
BY AND BETWEEN
SPRING VALLEY SANITATION DISTRICT
(herei nafter referred to as "Spri ng
Valley")
AND
"'(2-256921
DOCUMENT tlO.AUti Ii 2 '982
fILED__ __ . ..
OFFICE OF THE CITY a8II
5AN DIf.GO, CAlIFO~
A. Rancho San Di ego, a major subdi vi s i on lyi ng southeasterly of the
CITY OF CHULA VISTA
(hereinafter referred
Vista")
to as "Chula
RECITALS
Cas a de Oro section of Spring Valley, has expressed interest in annexing to
Spri ng Valley.
B. Because of the size of Rancho San Diego, Spring Valley would
experience a major impact on its remaining capacity in METRO.
C. Rancho San Diego is willing to fund purchase by Spring Valley of
additional treatment capacity in Metro.
D. Chula Vista is willing to sell 1.7 million gallons per day (mgd) of
its excess Metro capacity, which will suffice for the needs of Rancho San
Diego in the Spring Valley system.
E. Section 22 of the "Disposal Agreement of 1960" between the Ci1;y of
San Diego and Spring Valley permits adjustments of capacity between
participating agencies.
-1-
County Contract No. 18470-E
;e, - (tJ 75 ;/
DUPLICA1'.lIi
F. Chula Vista is willing to reserve 1.7 mgd of Metro capacity for
Spring Valley and Rancho San Diego on an option to purchase basis until
annexation of Rancho San Diego land is complete.
NOW, THEREFORE, incorporating the recitals of facts set forth above, and
in consideration of the mutual covenants contained herein, the parties hereto
agree as follows:
COVENANTS
1. Cash Payment. Spring Valley will pay interest to Chula Vista for an
option to purchase 1.7 mgd of Metro capacity from Chula Vista at a price of
$363,472.00 per mgd, or a total cash purchase price of $617,902.40 for 1.7
mgd. The cash payment will be made to Chula Vista within 30 days after the
Rancho San Diego annexation is approved by the Board of Directors of Spring
Valley. In the event the annexation is denied, this commitment becomes null
and voi d.
In accordance with Section 22 of the "Disposal Agreement of 1960" the
City of San Diego must approve the transfer of capacity between participating
agencies. In the event the capacity transfer is denied by the City of San
Diego, the cash payment, if paid, will be returned to Spring Valley by Chula
Vista and Chula Vista will retain the interest paid by Spring Valley to that
time.
2. Interest Payment. Interest will be at a rate of 1-1/4% per month on
the cash payment of $617,920.40 and will begin when this agreement has been
executed by both the Chula Vista City Council and the Board of Directors of
Spring Valley. Interest will be payable quarterly and will be invoiced
through the last day of each month of each quarter. Payment to Chula Vista
will be made by the 15th of the following month. Portions of months will be
prorated. Interest payments will cease when the cash payment is made to
Chula Vista. Interest payments will cease when the annexation is either
completed or denied by the Spring Valley Board of Directors or by the Local
Agency Formation Commission.
-2-
!f-/0707
3. Annual Payment. Spring Valley will also assume the annual payment
to Metro of $12,090/mg/yr (total of $20,553.00/yr for 1.7 mgd). These
payments will become effective on the same date that Spring Valley makes the
cash payment of $617,902.40 to Chula Vista for purchase of 1.7 mgd Metro
capacity and will continue until February of Year 2002. If the annexation is
denied, this commitment becomes null and void. Annual capacity payment due
February 1 of each year shall be prorated on the basis of time of ownership
to the nearest full month of each of the participants. Transfer of ownership
for this purpose shall occur simultaneously with the receipt of the cash
payment (para 1 above) by Chula Vista.
A single payment will be made to the City of San Diego February 1 of
each year
4. Capacity Commitment. Chula Vista will reserve 1.7 mgd of its Metro
capacity for sale to Spring Valley in consideration of the above interest
payments and will sell the 1.7 mgd capaciiY upon cash payment described
above.
5. Mutual Cooperation. Chula Vista and Spring Valley mutually agree to
cooperate and assist in obtaining any and all approvals, or other documents
which may be necessary to accomplish the above capacity purchase and
transfer.
6. Time of the Essence. Both parties understand that time is of the
essence in the completion of all matters contemplated by this agreement.
Both parties agree to use all due diligence to complete all phase of the work
contemplated by this agreement at the earliest possible and convenient time.
7. Modification. This agreement may not be altered in whole or in
part except by modification in writing, executed by both parties to this
agreement.
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8. Partial Invalidity. If any term, covenant, condition or provision
of this agreement is held by a court of competent jurisdiction or by an arbi-
tration proceeding as provided herein to be invalid, void or unenforceable,
the remainder of the provisions hereof shall remain in full force and effect
and shall in no way be affected, impaired or invalidated thereby.
9. Successors in Interest. Unless otherwise provided in this agree-
ment, the terms, covenants and conditions contained herein shall apply to,
inure to the benefit of, and bind the heirs, successors, executors, adminis-
trators and assigns of the parties hereto.
10. Arbitration of Disputes. Any controversy or claim between the
parties to this Agreement, including, but not limited to, any claims, dis-
putes, demands, differences, controversies, or misunderstandings arising
under, out of, or in relation to this Agreement, shall be submitted to and
determined by arbitration in accordance with the California Arbitration pro-
visions contained in Code of Civil Procedure Section 1280, et seq., as
amended from time to time.
The arbitrator or arbitrators shall determine the rights of the parties
in accordance with the law and the award shall be subject to review as to the
arbitrator's application of the law by any court having jurisdiction of the
matter, whether or not any mistake of the law shall appear on the face of the
award. As to all questions of fact, however, the determination of the arbi-
trator or arbitrators shall be binding upon all parties and shall be deemed
final and conclusive. Each party shall be entitled to written findings of
fact and conclusions of law as to all issues determined by the award.
Subject to the above limitations, the award granted by the arbitrator shall
be binding upon all parties to the arbitration and judgment upon the award
rendered by the arbitrator or arbitrators may be entered in any court having
jurisdiction over the matter.
.
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-4-
11. Term of Agreement. This agreement shall expire:
1) when the proposed annexation of Rancho San Diego is denied by
the Board of Directors of Spring Valley or by the Local Agency Formation
Commission; or
2) when the proposed transfer of capacity is approved or denied by
the City of San Diego; or
3) when replaced by mutual agreement by both parties hereto.
IN WITNESS WHEREOF, the undersigned have executed this agreement as of
the day and year first above written.
APPROVED BY TtIE
DISTRICT BOARD Of DIRECTORS
r'.PR 27 1982 df::- 3
SPRING VALLEY SANITATION DISTRICT
fiJwA-~
CLERK OF THE DISTRICT 80AllD or DIREC10A<
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Ya...O 0
'r
Y
By: ~~/1'~
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By:
. \PPROVED(~~?e~ /~y
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CiTY i\Tr()I~j\jEY
Attest:
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City C1 erk
APPROVE:) ,n,r; "]"0 fO~~i'.~ f;~:O LEGi\L1TY
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D[FUTY 1) J
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CITY OF SAN DIEGO
By: clo~.u.l. '-1)).(;5.(1 oJ
-'SSISTANT 'TO THE CITY MANAGE"
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12 - 256921
(R-82-2311)
Adopted on
256921
AUG t. 21982
RESOLUTION NUMBER R-
BE IT RESOLVED, by the Council of The City of San Diego, as
follows:
That the City Manager be and he is hereby authorized to
consent to an agreement between the City of Chula Vista and the
Spring Valley Sanitation District, contingent upon the approval
of the City Councils of the City of La Mesa and the City of
Lemon Grove, for the transfer of 1.70 million gallons per day
capacity rights in the Metropolitan Sewerage System from the
City of Chula Vista to the Spring Valley Sanitation District,
under the terms and conditions set forth in the agreement on
file in the office of the City Clerk as Document No. RR-
25692~.
APPROVED: John W. Witt, City Attorney
- & /
)' J /1 ..
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BYe!. //;/' "'~. t "
C. M. Fit~ trick
Senior Chief Deputy
;/
City Attorney
CMF :vl: 453
06/29/82
Or .Dept:W .Util.
Form=r.none
/1-/0757
PAGE 1 OF 1
Passed and
adopted by the Council of
AUG ~. 2 1982
The City of San Diego
on
, by the following vote:
Mitchell, Cleator, Struiksma, Gotch, Murphy, Killea, Mayor Wilson.
YEAS:
NAYS:
None.
NOT PRESENT:
Golding, Williams.
AUTHENTICATED BY:
./
PETE WILSON
Mayor of The City.ofSan Diego, California.
CHARLES G. ABDELNOUR
City Clerk of The City of San Diego, California.
(SEAL)
By
MAYDELL L. PONTECORVO
, Deputy.
I HEREBY CERTIFY
that the above and fJregoing is a full,
IC - 256921
of RESOLUTION NO.
true and correct copy
California, on
passed and adopted by the Council of The City
AUG t. 2 1982
of San Diego,
CHARLES G. ABDELNOUR
City Clerk of The City of San Diego, California.
(SEAL)
BY.~~~
, Deputy.
(Rev. 8/79)
lbc
l{- j{' 757