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Ordinance 2006-01

ORDINANCE NO. 2006-01
AN ORDINANCE APPROVING A CONTRACT WITH THE
CITY OF SPRINGDALE, ARKANSAS, TO PROVIDE SEWER
SERVICE TO CUTOMERS WITHIN CERTAIN AREAS OF
JOHNSON, ARKANSAS, AND GRANTING A FRANCHISE TO
THE SPRINGDALE WATER AND SEWER COMMISSION TO
PROVIDE SANITARY SEWER SERVICES WITHIN THE CITY
OF JOHNSON AND DECLARING AN EMERGENCY TO
EXIST
WHEREAS, there has been a contract with the City of Springdale for the Springdale
Sewer Commission to provide sewer service to customers in certain areas of the City of Johnson.
WHEREAS, the existing contract dated February 22, 1996, was for ten (10) years and has
by its terms expired.
BE IT ORDAINED BY THE CITY COUNCIL OF JOHNSON, ARKANSAS, that,
Section 1: That the agreement attached hereto which is titled Inter-Municipal
Contract for Sanitary Sewer Service Between the Cities of Johnson and Springdale, Arkansas
bearing the date of March 14, 2006, having been read, studied and considered by the Johnson
City Council should be and hereby is approved and ratified; the Mayor and Recorder-Treasurer
are directed and authorized to execute same for and in the name of the City.
Section 2: Pursuant to the attached agreement there is hereby levied fees/rates for
sanitary sewer service, sewer taps and associated services within that portion of Johnson served
by the Springdale Water and Sewer Commission identical to the fees/rates established by the
relevant Springdale ordinance for users of their sewer system outside of the Springdale city
limits. However, the gross receipts taxes of the City of Johnson shall apply to all charges for
services within the City of Johnson collected by the Springdale Water and Sewer Commission.
Section 3: There is hereby granted to the Springdale Water and Sewer Commission a
license to own, operate, maintain, improve, and place existing and new additional sewer facilities
on existing and new dedicated street rights-of-way, alleys, utility easements and other public
passageways within that portion of the City of Johnson served by the Springdale Water and
Sewer Commission. This license shall enable the Commission to lay, relay, install, improve,
operate and maintain sanitary sewer lines and appurtenances over, under and across such public
rights-of-way, alleys and passageways. This license shall be in full force and effect during the
effective period of the agreement attached hereto.
Section 4: A franchise is hereby granted unto the Springdale Water and Sewer
Commission, without a franchise fee or franchise tax, to own, improve, maintain, expand and
operate a sanitary sewer collection., storage and pumping system within the City of Johnson
corporate limits on properties owned or leased by the Commission and on public rights-of-way,
alleys and passageways as herein provided. Said franchise shall be for the effective dates of the
agreement attached hereto.
Section 5: Provision for sanitary sewer sendee for the residents of the City of
Johnson helps secure the public peace, health and safety. Therefore, an emergency is hereby
declared to exist. This ordinance shall be immediately effective upon its passage and approval.
PASSED AND APPROVED this 14th day of March, 2006.
RICHARD LONG, Mayor
ATTEST:
Jennifer Allen, Recorder/Treasurer
INTER-MUNICIPAL CONTRACT FOR SANITARY SEWER SERVICE
BETWEEN THE
CITIES OF JOHNSON AND SPRINGDALE, ARKANSAS
THIS CONTRACT made and entered into this FFTT daV of
2006, by and between the City of Springdale, Arkansas, a municipal corporation, acting
through its Water and Sewer Commission, hereinafter called SUPPLIER, and the City of
Johnson, Arkansas, a municipal corporation, hereinafter called USER,
WITNESSETH:
WHEREAS, the SUPPLIER now owns and operates a public sewerage system
consisting of gravity lines, sewage lift stations, and force mains located within the
corporate limits of the City of Johnson, Arkansas; and,
WHEREAS, the SUPPLIER owns and operates a wastewater treatment facility
with sufficient capacity to treat current and foreseeable sewage flows generated in its
corporate city limits as well as future sewage flows from the City of Johnson, Arkansas;
and,
WHEREAS, the USER and SUPPLIER have entered into previous agreements
whereby the SUPPLIER furnished sanitary sewer service to customers located in the City
of Johnson on an individual basis; and,
WHEREAS, it is to their mutual advantage that the USER and SUPPLIER enter
into an agreement for the SUPPLIER to own, operate, and maintain a public sewerage
system within certain areas of the City of Johnson, thereby protecting public health and
maintaining the quality of life desired by the USER;
WHEREAS, it is to the parties' mutual benefit that a procedure be established for
future expansion and improvements to the SUPPLIER'S sanitary sewer system in the City
of Johnson;
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS
AND CONDITIONS HEREINAFTER SET FORTH, AND FOR OTHER GOOD AND
VALUABLE CONSIDERATION, THE RECEIPT OF WHICH IS HEREBY
ACKNOWLEDGED, THE SUPPLIER AND THE USER HERETO MUTUALLY AGREE
AS FOLLOWS:
(1) COOPERATION: The SUPPLIER and USER shall cooperate and communicate
in all dealings through the Springdale Water and Sewer Commission and the Johnson
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City Council. Any disagreements, questions, requests, additions to the sewer system,
modifications of the sewer system, connections or otherwise shall be handled through the
Johnson City Council, or its authorized representative, dealing directly with the Springdale
Water and Sewer Commission, or its authorized representative. The Representative of
the Johnson City Council shall have only such authority as is expressly granted by
majority vote of the Johnson City Council.
(2) OWNERSHIP: It is agreed by the parties that the SUPPLIER shall continue to
own, operate, maintain, and from time to time expand its sanitary sewer system located
within the service boundary established in the corporate limits of the City of Johnson,
Arkansas.
(3) CONSISTENT APPLICATION: The rules, procedures, regulations and laws
concerning the construction, operation and maintenance of said sanitary sewer system
shall be applied to Johnson, Arkansas and Springdale, Arkansas in the same and
consistent manner. The SUPPLIER shall act in good faith and shall not unreasonably
withhold service, if economically feasible, to any potential customer located within the
service boundary set forth hereinafter.
(4) SERVICE BOUNDARY: Sanitary sewer service shall be limited to customers
located within the corporate limits of the City of Johnson as delineated on the attached
service boundary map attached hereto as Exhibit "A" and made a part hereof as though
included herein, ft is recognized and agreed by the parties hereto that certain areas
within the City of Johnson are currently being provided sanitary sewer service by the City
of Fayetteville, Arkansas. This contract does not amend or modify areas currently being
served by the City of Fayetteville. The parties agree that if in the future by written
agreement the City of Fayetteville and SUPPLIER change the boundary line between
them, this agreement shall be considered amended as of the execution of
Fayetteville/Springdale agreement to incorporate that new boundary line without any
further action by the parties hereto.
(5) AUTHORITY TO FRANCHISE: The USER agrees that it will, on or before the
effective date of this agreement, cause to be adopted by vote of City Council, an
Ordinance granting to the SUPPLIER a franchise, without charge or franchise tax, to own,
maintain and operate a sanitary sewer collection, storage and pumping system within the
USER'S corporate limits, and within the territory assigned to SUPPLIER per the
memorandum of understanding between the cities of Fayetteville and Springdale, as
amended by the parties from time to time. USER further agrees that it will cause to be
passed by vote of its City Council, an Ordinance granting to the SUPPLIER, without
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charge or cost, easements and rights-of-way to lay, relay, install, maintain, and operate
sanitary sewer lines and appurtenances, over, under, and across public streets, alleys,
and passageways.
(6) TERM OF CONTRACT: The SUPPLIER and USER hereby agree that the term
of this contract shall be for a period often (10) years from the date of this agreement and
shall automatically terminate at such time.
(7) EFFECTIVE DATE: This contract shall become effective and enforceable on the
date of this agreement and shall have the effect of terminating all prior contractual
agreements on this subject between the parties.
(8) CONTRACT RENEWAL: Either party shall have the option to renew this contract
upon terms and conditions as may be negotiated by the SUPPLIER and USER by giving
not less than six (6) months notice in advance of the termination date of this contract.
(9) SEWER RATES: The SUPPLIER shall supply sanitary sewer service through
its collection system and shall charge sewer customer located within USER'S city limits
according to the schedule of rates for customers located outside the corporate city limits
of Springdale, Arkansas as established in the latest Springdale Ordinance prescribing
sewer rates. It is specifically understood and agreed by and between the parties hereto,
that, should the SUPPLIER experience a general rate increase within the corporate limits
of the City of Springdale, the rates established above shall automatically increase in direct
portion to the percentage increase within the City of Springdale. SUPPLIER shall provide
notice to USER of any rate increase. As soon as legally possible, the Johnson City
Council shall pass an Ordinance to mirror any increase or decrease of sewer rates
contained in any ordinance adopted by Springdale City Council. The failure by the
Johnson City Council to pass such an ordinance shall be a breach of this agreement for
which SUPPLIER may seek all remedies available at law or equity, including, without
limitation, the right to seek mandamus, mandatory injunction, specific performance,
damages, or termination of this agreement.
(10) BILLING AND PAYMENTS: The SUPPLIER shall issue billing and collection
of all bills in accordance with ordinances of the City of Springdale and the rules and
regulations of the Springdale Water and Sewer Commission which may be currently in
effect or hereafter adopted, and if any customer fails or refuses to pay said billing, the
SUPPLIER shall discontinue sewer service to such customer in accordance with said
ordinances, rules and regulations.
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(11) LIABILITY: It is stipulated that the furnishing of sanitary sewer service is a
governmental function and that the SUPPLIER does not agree to furnish any specific
amount of sewer service. Sewer service shall be provided only to customers who enter
into separate service contracts with the SUPPLIER, but the right to contract, and the type
of service to be rendered, shall always be subject to such rules, regulations, and policies
of the Springdale Water and Sewer Commission as may be in effect from time to time.
The SUPPLIER'S liability for damages from sewer stoppages and/or overflows shall be
limited to the same as if such stoppage or overflow occurred within the City of Springdale.
SUPPLIER shall not be responsible for acts of God, acts of war, insurrections or
rebellions, acts of a public enemy, acts of any unauthorized person, firms or corporation,
or acts of the USER. Nothing contained herein shall abrogate the tort immunity available
by law to either city.
(12) SEWER SERVICE CONNECTIONS: All water customers of the SUPPLIER
located within the defined service boundary shall be required by the USER to connect to
the sewer system in accordance with the rules and regulations as set out by the City of
Johnson, the City of Springdale, and the Arkansas State Board of Health and Human
Services. The charges and requirements for sewer service connections shall be the
same as for like service in the City of Springdale at the time the sewer service
connections are made. Taps or connections to any and all sewer lines shall be made
only by the SUPPLIER and only for sewer patrons obtaining their water service from the
SUPPLIER. Approval of such taps or connections by the USER shall constitute the
SUPPLIER'S authorization to make street cuts and openings where necessary.
SUPPLIER agrees to repair street cuts required in street crossings, street taps and/or
repairs with materials equal to or better than the materials and street condition prior to
such street cut.
(13) PLUMBING: Each customer shall install all plumbing in accordance with the
ordinance, rules, and regulations of the City of Springdale in effect at the time such
plumbing is installed. All plumbing shall be inspected by a plumbing inspector licensed by
the State of Arkansas.
(14) SEWER LINE EXTENSIONS: Sewer extensions shall be made on the same
basis which they are made for the City of Springdale, based on economic feasibility of
such extensions, and shall be made at the sole discretion of the SUPPLIER, provided that
in no event shall any extension or connection be made without the approval of USER.
The SUPPLIER and the USER specifically agree that no extensions shall be made or
installed within a residential subdivision or private housing development except at the
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expense of the developer or owner.
(15) EASEMENTS: The USER hereby grants to the SUPPLIER the right to own,
operate and place additional sewer facilities on dedicated public streets, alleys, utility
easements and other passageways. In order to facilitate required improvements, the
USER agrees to cooperate with SUPPLIER and assist in obtaining authority to cross
private property with sewer lines. The form of such easements, together with the
provisions contained therein, shall be the same used by the Springdale Water and Sewer
Commission at the time such easements are granted and such easements and fee titles
where necessary shall show the Springdale Water and Sewer Commission as the
Grantee thereon. USER agrees to allow its name to be added to any eminent domain
actions pursued by SUPPLIER regarding property within the corporate limits of USER if
SUPPLIER'S legal counsel deems it necessary. The USER further agrees it will not
unreasonably impair, hinder or delay the obtaining of such easements, or the construction
of said required improvements, but will offer full support in all ways necessary to
accomplish such improvements. All costs and expenses including legal fees in the
procuring of such easements or fee title shall be borne by SUPPLIER.
(16) MAINTENANCE OF FACILITIES: The SUPPLIER shall maintain and service all
facilities including the sewage lift stations and the proposed improvements, and for those
which may be constructed into the system in the future.The SUPPLIER shall use
reasonable diligence to provide and maintain uninterrupted service; but in case of
cessation, deficiency, variation in pressure or any other failure of the service, resulting
from Acts of God, public enemies, accidents, strikes, riots, wars, repairs, orders of a Court
of competent jurisdiction, or other acts reasonably beyond the control of the SUPPLIER,
the SUPPLIER shall not be held responsible for any damages, either directly or indirectly,
resulting from such interruption or failure. If scheduled interruptions in service to the
USER are necessary due to system repair, extension or rehabilitation, USER shall be
notified of such outage prior to start of work. SUPPLIER shall notify its customers in the
city of Johnson on the same basis it notifies its customers within the City of Springdale
concerning interruptions. Notification shall be given by either one or all of the following
media: Press, radio, letter, telephone or personal contact. Emergency repairs, resulting
in temporary interruption of service to customers, can be made without notification to
expedite necessary repairs and restoration of service.
(17) ORDINANCES AND REGULATIONS: The USER agrees to adopt such
resolutions, ordinances, rules and regulations as will allow the SUPPLIER to construct,
maintain and operate the sewage system in accordance with the rules, regulations, and
specifications of the Arkansas Department of Health and Human Services, the U.S.
Environmental Protection Agency, the Arkansas Department of Environmental Quality,
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and the SUPPLIER. Non-compliance with the said rules, regulations, or specifications
may result in the discontinuance of service. The USER also agrees to adopt the
necessary ordinances to provide the SUPPLIER with the necessary authority to
implement any enforcement action of state and federal law, including regulations.
(18) COMPLIANCE: The USER and all sewer customers shall comply with, at all
times, the health ordinances, rules and regulations of the City of Springdale, the
Springdale Water and Sewer Commission, the U.S. Environmental Protection Agency,
the Arkansas Department of Health and Human Services, and the Arkansas Department
of Environmental Quality governing sewer operations and usage which may now exist or
may hereinafter be promulgated. Failure or refusal of any customer to comply with such
ordinances, rules or regulations will subject the customer to immediate discontinuance of
water and sewer service and the SUPPLIER shall in no way be liable for any damages or
expenses which may result from such discontinuance.
(19) TAXES PROHIBITED: The USER will not during the period of this contract or
any renewal thereof, levy any franchise tax, occupation tax or any other tax of any form
whatsoever, by whatever name it may be called, upon the SUPPLIER, the sewer system
or the operations called for by this contract. Nothing contained herein shall preclude the
collection of any gross receipts tax (i.e. state, county or local sales tax) enacted in
accordance with state law and not otherwise made exempt by state law.
(20) NOTICES: Any written notices provided for herein shall be sufficient if sent by
certified mail, return receipt requested, postage prepaid, to the respective parties.
(21) COMPLETE AGREEMENT: It is agreed that neither party hereto is relying upon
any oral or written information made by the other prior to the signing of this contract
unless expressly provided herein, and that this contract constitutes the entire agreement
between the parties and same shall not be hereafter amended or modified unless
reduced to writing and signed by the parties hereto. It is further agreed that all earlier
contracts for sanitary sewer service are hereby rescinded.
(22) SEVERABILITY: If any phrase, clause, sentence or paragraph of this contract
shall be declared invalid by the judgment or decree of a court of competent jurisdiction,
such invalidity shall not affect any of the remaining sentences, paragraphs or clauses of
this contract.
IN WITNESS WHEREOF, the SUPPLIER and the USER have executed these
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presents by their respective authorized representatives, having been authorized to do so
by appropriate resolutions of their respective governing bodies.
SPRINGDALE WATER AND
SEWER COMMISSION
Chris G. Weiser, Chairman
Paul E. Lawrence, Secretary /
CITY OF SPRINGDALE, ARKANSAS
<Jerre M. Van Hoose, Mayor
ATTEST:
Denise Pearce, City Clerk
CITY OF JOHNSON, ARKANSAS
Richard Long, Mayor
ATTEST:
Jennifer Allen, Recorder/Treasurer
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RESOLUTION NO. 3~06
A RESOLUTION AUTHORIZING THE EXECUTION OF AN mTER-MUMCIPAL WATER
SERVICE CONTRACT AND AN INTER-MUNICIPAL SANITARY SEWER SERVICE
CONTRACT WITH THE CITY OF JOHNSON, ARKANSAS.
WHEREAS, the Water and Sewer Commission of the City of Springdale; Arkansas, owns and
operates a water distribution system and a sanitary sewer collection system located within the
corporate limits of the City of Johnson, Arkansas; and
WHEREAS, the cities of Springdale and Johnson have previously entered into agreements
whereby the Springdale Water and Sewer Commission has provided water service and sanitary
sewer service to customers in the City of Johnson on an individual basis; and
WHEREAS, the term, of said agreements will expire on March 1, 2006; and
WHEREAS, it is to the mutual benefit of the cities of Springdale and Johnson that replacement
agreements be executed allowing the continuation of water and sanitary sewer services in the City
of Johnson. Arkansas;
NOW THEREFORE BE RESOLVED that the Chairman and Secretary are hereby authorized
to execute an Inter-Municipal Contract for Water Service with the City of Johnson., Arkansas, and
an Inter-Municipal Contract for Sanitary Sewer Service with the City of Johnson, Arkansas,copies
of each contract are attached hereto and incorporated herein by this reference.
BE IT FURTHER RESOLVED that the execution of each inter-municipal agreement is subject
to the approval of the City Council of the City of Springdale, Arkansas.
PASSED AND APPROVED this 25 day of January, 2006.
Chris G. Weiser, Chairman
Paul E. Lawrence. Seer