BC 1991 12 16 - Laserfiche WebLink

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405 amendment to the Treated Water Agreement set forth in Paragraph 10 hereinafter and the mutual covenants and agreements set forth herein, the Board of Commissioners of Cabarrus County, acting as the governing body of the District, shall transfer to Concord all of the District's right, title and interest in and to the District's water system lines within the subdivisions known as Old South and Carolando (the "Water Lines"), of which the construction cost was approximately Eight Hundred Forty-Four Thousand Nine Hundred and Ninety and 15/100 Dollars ($844,990.15) of a total project cost of approximately Ten Million Nine Hundred Eighty-Three Thousand Nine Hundred Ninety-Four and 32/100 Dollars ($10,983,994.32) and upon which an outstanding principal debt of Four Million Seven Hundred Seventy-One Thousand Five Hundred and No/100 Dollars ($4,771,500.00) exists as of December 1, 1991; PROVIDED THAT: (a) Concord shall assume all expenses associated with the operation and maintenance of the Water Lines, excluding debt service, and, to the extent permitted by law, shall indemnify and save Cabarrus County from any liability associated with such operation and maintenance, including, but not limited to, any costs associated with environmental compliance and/or liability for the Water Lines; and (b) The approval of all required state and federal regulatory authorities, and all permits or other documents required by law shall have been obtained, to the extent then available, and, if necessary, the approval of the owner of the general obligation bonds secured in part by the Water Lines shall have been obtained. 10. Treated Water Agreement Modifications. Effective simultaneously with the transfer of the Water Lines set forth in Paragraph 9 hereinbefore, Cabarrus County and Concord hereby amend Paragraph 5 of the Treated Water Agreement to read as follows: 5. Treated Water Charge. For all treated water sold or delivered by Concord to Cabarrus or received by Cabarrus from Concord pursuant to this Agreement or otherwise, Concord shall charge Cabarrus no more than 1.2 times the production cost thereof. The production cost shall include only the expenses of operation and maintenance of the facility or facilities utilized by Concord for treating raw water and shall expressly exclude any and all capital costs for such facilities, whether considered direct or indirect cost, or debt service therefor (the "Treated Water Charge"), provided that: (a) The Treated Water Charge may increase or decrease due to increases or decreases in maintenance and operation costs for production only; (b) Concord shall notify Cabarrus of any change in the Treated Water Charge on or before June 1 of any calendar year for imposition effective July 1 of any calendar year; (c) Concord shall bill Cabarrus in accordance with its established billing cycle based upon readings from metering stations heretofore or hereafter installed. Cabarrus shall pay said bills within thirty (30) days of receipt. Upon failure of payment, Concord may discontinue supplying treated water upon ten (10) days written notice to Cabarrus; (d) Concord shall maintain complete and accurate records of flow from all metering points, if any. At all times, Cabarrus shall have access to such flow measurement facilities for the purpose of review of the accuracy of reading therefrom; and (e) Concord shall maintain complete and accurate records of the production costs for treated water. At all times, Cabarrus shall have access to such records for the purpose of review of their accuracy. 11. Adding Coddle Creek Reservoir to the Authority. Cabarrus agrees to convey the Coddle Creek Reservoir and its half ownership in the Black Run Creek Reservoir to the Authority at such time as the Authority undertakes to produce raw and treated water and to distribute water on a wholesale basis and each Jurisdiction belonging to the Authority leases or transfers to the Authority its facilities for the production and distribution of raw and treated water, as applicable, to include, but not be limited to, the Hillgrove Treatment Plant, the Kannapolis Water Treatment Plant, the Mount Pleasant Treatment Plant,