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HomeMy WebLinkAbout04/26/78 A G~E'.N D A WATER BOARD - CITY OF B~/{ERSFIELD ~{EDNESDAY, APRIL 26, 1978 4: 00 P .M. Call meeting to order Roll Call - Board Members: Rogers, Chairman; Barton, Bergen, Hoagland Ratty 1. Approve minutes of regular board meeting of April 12, 1978. 2. Mainline Extension Agreements - BOARD TO AUTHORIZE THE WATER MANAGER TO SIGN FOR THE CITY. 3. Quitclaim Deed from Elwood Champness and 0uida Champness, husband and wife, as joint tenants to City of Bakersfield for easement on the Beardsley Canal 1-1-0. Section 2.2, Township 29 South, Range 27 East, M.DoB. & M. ~ BOARD TO APPROVE QUITCLAIM DEED AND AUTHORIZE THE CHAI~WLAN TO SIGN. 4. "Memorandum of Understanding" between Cawelo Water 'District and North Kern Water Storage District concerning the immediate en- largement of the Beardsley Canal. - BOARD TO APPROVE AND AUTHORIZE THE CHAIRMAN TO SIGN. 5. Staff Comments 6. Board Comments 7. Adjournment MI'NUT, ES WATER BOARD - CITY OF BAKERSFIELD WEDNESDAY, APRIL 12, 1978 4:00 P.M. The meeting was called to order by Chairman Rogers in the City Hall' Caucus Room. The secretary called the roll 'as follows: Presents Rogers, Bergen, Hoagland, Ratty Absent: Barton Chuck Williams, Manager~Engineer for North Kern Water Storage District, George Nickel~ President Nickel Enterprises, and Mel McColloch, Ranch Manager Nickel Enterprises, also, attended the meeting. The minutes from the regular meeting of April 5, 1978, were approved as 'presented.' A report entitled "city of Bakersfield Ashe Water System Water Revenue Study"-prepared by Thom-as M. SteSsoh; ConS~ultihg 'Engineer for the City of Bakersfield was furnished to the board on Monday, April 10, 1978. Mr. Stetson stated the system'is presently oper- ating at a deficit.. He has reviewed what the City's projected expenditures would be for the next three years and then 'project- ed the required revenue to meet those expenditures. It will require a general rate increase of 35 percent plus a 50 percent surcharge-to.those services-outside .of. the .City to meet these costs. ./%leo, included in this recommendation is dropping the life-line rate structure and increasing the service ~harge. The life.-line rate is not generally accepted by municipal water systems. The reason for the increase in the service charge is to recover more of the fixed expenses incurred by the City. 'Mr. Ratty,, . . questioned, dropping the life-line' rate._~tetson said, .keeping in the life-line rates would only~_~ose persons . who use minimum amounts of water, approxim%~-~I~ ~5 cents per month. ' . . ' Mr. Bergen r'equested an e~x~iana3fion to the Board as to why the rate would be more than California Water Service Company's. Mr. Stetson answered that one reason is that the City has purchased this system and we are paying principal and interest on bonds and that this is a substantial annual amount of expense that now has to be met, which did not have to be met under the pre- vious ownership. The other substantial item of cost is that the area is growing rapidly and there are alot of capital improve- ments to go in and these capital improvements have been projected in this report. Mr. Nickel wanted to know if the subsidy of treated water did not enter into the cost comparison since a large part of California Water Service water is sold at a subsidized price from the Water Treatment Plant. In answer to his question Mr. Stetson stated that California Water is getting water from the treatment plant at a cost- of less than what it is costihg A~e to pump it because are present costs running~,a~bout $29.00 ~~cre foot for power, plus the presen~^..$.15.00 ~:acre foot pump tax which is going to go to $20.00~acre foot in July. It is costing $25.00 acre foot for treated water. ~- ~-~Mr ~oagland made a motion that the board accept the rate schedule ~ · ~s set forth on Tables 14, 15, and 16 of the Ashe Water System Revenue Study. The motion was carried. Th'e above rates are to become effective ~gr all ki!~.mai~cd on ~ May 1, 1978. Mr. Bergen made a motion that the Department of Water'staff make a study of the following items listed on page V-4 of the study: Item No. 2. The. City 'should authorize a study to determine the cause of the unaccounted for water. 3. The Cit~ should initiate a study to determine if better efficiencty of power can be achieved. 4. The City should begin a master plan of its water system which would include at least the following. a. Required improvements b. Potential financing methods c. Possible availability of low cost loans or grants. Board Comments Mr. Hoagland informed the board that the unaccounted for water costs the system approximately $40,000.00 a year this amounts to about $15,600.00 in pump tax alone. The staff should confirm this figure and attempt to get an adjustment on our pump tax charge. Mr. George Nickel addressed the board relative to the~Rio Bravo Annexation area. The'Olcese 'Water District has applied to LAFCO (Local Agency Formation Commission) for annexation of the area be%ween ID-4 and the Olcese Water District that is now in the City· Olcese has been meeting with Tom Stetson on this matter and they want to cooperate fully. Mr. Nickel feels one of the simplest ways to handle this is through a bond issure procedure in the Olcese Water District for the main lines. Mr. Stetson stated that he is in the process of studying th~ area for the City and will probably have the study completed in the latter part of June. In answer to Mr. Bergen's question as to whether of not the Intertie was scheduled to handle the runoff for this yea~, Mr. Chafin stated tha~ so far as his personal feelings were con- cerned he was worried about this. Mr. Chafin, "asked Chuck Williams, Kern River Watermaster if he would like to comment on the matter, and he declined." There is a question as to whether of not the Isabella outflow to date has been adequate to meet the flood control criteria. There being no further business to come before the board, Chair- man Rogers adjourned the meeting at 4:58 P.M. L~nda Hostmye~','g~e~arY City of Bakersfield Water Board REcoL:~'~ING REQUESTED BY ~. ...-'?~::~-' .'~. AND WHEN RECORDED MAIL TO Water Department of the treet ddress City of Bakersfield ~ 1515 Oak Street ~.tate I ,p Bakersfield, CA 93301 I SI'ACE ABOVE THIS LINE FOR RECORDER'S USE MAIL TAX STATEMENTS TO Itreet Water Department of the ~ddress City of Bakersfield I~ 1515 Oak Street tate ip l Bakersfield, CA 93301 __1 TRANSFER TAX $ QUITCLAIM DEED (Escrow No ...................... ) December 15, 1977 By this instrument dated ............................................................................................. , for a valuable consideration, THE CITY OF BAKERSFIELD do..~.~her~yremise, releaseand~reverquitclaimto ELWOOD CHAMPNESS and OUIDA CHAMPNESS, husband and wife, as joint tenants thefollowingdescribedRealProper~intheStateofCalifomia, Countyof ......... ~ ................................................. Cityof ...................................................................... Beardsley 1-1-0 An easement for canal purposes as shown on the Sales Map of Lands of Kern County Land Company in Section 22, Township 29 South, Range 27 East, M.D.B. & M., filed January 11, 1892 in the office of the Kern County Recorder, and as conveyed to the City of Bakersfield by an instrument recorded December 30, 1976 in Book 4999, Page 409, of Official Records. Pertains only to that portion of said easement lying within the boundaries of the South One Half Of Lot 2 and the North One Half of Lot 3 as shown upon said Sales Map of Lands. of the Water Department of the City of __Bak~nsJli_eld. ................................................................ \ STATE OF CALIFORNIA ~ On ................................................ ,19 ...........before me, the undersigned, a Notary Public in and for said SS. County and State, personally appeared .......................................................................................................... COUNTY OF ........................................ ,/ .................................................................................................................................... known to me to be the person ........ whose name ......................................... :....subscribed to the within instrument, and acknowledged to me that .......... he .......... executed the same. Notary's Signature ............................................................................................................................. MAIL TAX STATEMENTS AS DIRECTED ABOVE RECORDING REQUESTED ElY AND WHEN RECORDED MAIL TO ,,ne ] Water Department I sJ~*et City of Bakersfield. Address I 1515 Oak Street city zi~State I Bakersfield, CA j SPACE ABOVE THIS LINE FOR RECORDER'S USE _ MAIL TAX STATEMENTS TO . IN me I Water Department I City of Bakersfield DOCUMENTARYTRANSFERIAX$ Street A~dress 1515 Oak Street COMPUTEDONFULLVALUEO~PROPERTYCONVEYED, City Bakersfield, CA 93301 . OR COMPUTED ON FULL VALUE LESS LIENS AND t~te ~ J I -- J ENCUMBRANCES REM^INING ^T TIME OF S^LE' Signature of Declaranf or Agenf defermJnJng Jax. Firm Name GRANT OF EASEMENT (Escrow No ...................... ) ... December 15, 1977 Bytblsinstrumentoateo ................................................... ~ ......................................... ,fo~avaluableconslderation, ELWOOD CHAMPNESS.and OUIDA CHAMPNESS, husband and wife, as joint tenants herebyGT:/~TS an easffment to The CITY OF BAKERSFIELD for Canal .purposes on, over, or under the~llowingdescribedReaJProDer~intheSmteofCali~mla,~un~of .... i~_~.K~ ..................................................... Cityo~ ..................................................................... B~sle~ La[eral 1-1-0 The North 100 feet of the South One Half of Lot 2 except the West 30 feet thereof, as shown on the Sales Map of Lands of Kern County Land Company in Section 22, Township 29 South, Range 27 East, M.D.B. & M,, filed January 11, '1892 in the office of the Kern County Recorder. ~1.~o o d~ ~h a m/p~ s;w' Ouida Champness ,,,~ . STATE OF CALIFORNIA ) On..D..e-..C..~...m.~....e...r......2..7..~ ........ ~9...7..7...., before me, the undersigned, a Notary Public in and for said SS. County and State, personally appeared......E....]:..":?..o._o...d.......q.h..~..m..P..~..e...8...8.. ................................................ COUNTY OF ........ K.e.r.l'l. .................. ! .... .0...u..~.d....a......C....h..a...m..p...n....e...s...s.. .............................................................................. known to me to be the S a S a r e sub c, t y person ........ whose n me .............................................. s r'be(] to the ~,ith[n instrument, and ad<no'ledger} ~o me that .......... he .......... executed the same. D ABOVE TAT m I LE H. J nKIn5 ATTORNEY AT LAW 1704 NOF~TH CHESTER AVENUE B~qK,E~$FI.ELD, CRLIFOI~IIlfl 93308 TELEPHONE 399-3333 January 18~ 1978 'Mr. John E. Blakemore 1501 Truxtun Avenue Bakersfield, California 93301 Re: Ditch re-alignment Dear Mr. Blakemore: In accordance with your conversation with the North of ~iver Sanitary District #1, it was agreed at their January ~ ~oard ~:eeting to permit the ditch re-alignment across District property. 'Yours truly, ..... /' / // vk /,' [,' Subdivider Installation Form No. 1 -A-.G R E E M E N T THIS AGREEmeNT, made and entered into this day of -. , 19 , by and between the person or persons listed in paragraph 1 hereof, hereinafter 'coilectiv~ly referred to as "Applicant," and CITY OF BAKERSFIELD, a municipal Corporation, here- inafter referred to as "City." -W I T N E S S E T H: WHEREAS, Applicant is now selling or proposes in the near future to sell lots in the Subdivision and/or Parcel Map and to this end desires to have water service available in the Subdivision and/or Parcel Map through and by means Of mains and appurtenances, and by services (in- cluding service pipes, fittings, gates and housings thereof, and meter boxes), hereinafter referred to as the "Facilities," to be installed therein substantially as shown on that certain mgp prepared by Applicant attached hereto, marked Exhibit "A" and by this reference made a part' hereof; and WHEREAS, the installation of the Facilities and the'furnishing of water service by means thereof are necessary and valuable adjuncts to the sale of lots in the Subdivision, and will materially increase the value of said lots; and wHEREAS, upon the terms and conditions herein' set forth, Applicant is willing to install the Facilities, or cause the'same to be installed~ at its own expense, all in acCordance with the provisions hereinafter set forth; and WHEREAS, upon the terms and conditions herein set forth, city is willing to acquire the Facilities and is willing'to furnish water service in the Subdivision and/or Parcel Map through and by means thereof at the rates and in accordance with the rules of City now in'force or that may from time to time be lawfully established~ NOW~ THEREFORE, for and in consideration of the premises and of the mutual covenants, agreements, terms and provisions herein contained, it is agreed as fbllows, to wit: 1.° Ap~!icant. The names, addresses and descriptions of the person or persons herein collectively referred to as "Applicant" are as follows: Name Address Description 2. Applicable-Rule. This agreement is entered into pursuant to the requirements and in accordance with the form of agreement and.the v~rious applicable provisions of citY's Main Extension Rule, hereinafter referred to as the "Rule," in effect and on file wit~ the City; a copy of the Rule is at~ached hereto, marked Exhibit "B" and by this reference made a part hereof. This agreement does not, therefore, require specific authorization of said City to carry out its terms and conditions. ·2. 3. Applicant's Deposit. City's cost relative to preparing or reviewing plans, specifications and cost estimates for the Facilities is'$'- · 837.00 and City's cost in supervising and inspecting install-. ation of the Facilities is $ 837.00 . City hereby acknowledges receipt from Applicant of $' 1,674.00 , representing the total Of said costs.. Upon completiOn of installation of the Facilities, City will connect, or cause to be connected, the same to its existing mains and submit a statement of the cost thereof to Applicant, which sum Applicant agrees to pay promptly to City. The aggregate amount of the foregoing costs is hereinafter referred to as Applicant's Deposit. 4. -Instal~iati0n of' ~acitities. (a) Applicant agrees to install the Facilities, or cause the same to be installed, at its own expense on or before , 19 .. The Facilities shall, be installed strictly in accordance with the SPecifications attached hereto, marked Exhibit "C" and by this ref- erence made a part hereof, and the installation thereof shall be subject to the approval.of City in~all'respects. The Facilities shall be in- stalled by' Applicant or by a contractor, hereinafter referred to as "said contractor," selected by Applicant. City will perform, or cause to be performed, the work of connecting ~he Facilities to City's exist- ing mains at the points designated on Exhibit "A" hereto. (b) Installation of the Facilities shall be subject to the inspection and approval of City in all respects. (c) Title to the Facilities shall vest in City in accordance with the provisions of paragraph ~ hereof. (d) Applicant agrees to reimburse City upon d~mand for the cost to City of all replacements and repairs to the Facilities made necessary within one (1) year from completion of installation thereof by reason of defective materials or'workmanship; and such reimbursement shall not be subject to refund hereunder. City'S' acceptance of the Faciilt~es~aS provided in paragraph 6 hereof, shall under no circumstances be deemed to constitute approval of such materials and workmanship for purposes ~f ~the preceding sentence. -. (e) In the event Applicant prior to City's acceptance of the Facilities, as provided in paragraph 6 hereof, shall be unable to determine the size or location of any service (including service Pipe~ fitt°ings, gates and housings therefor, and meter boxes) required in the Subdivision and/or Parcel Map, Applicant, or User, shall deposit with City the cost of such service at the time service is requested, and City shall install, or cause t6 be installed such service. .The amount of any such deposit so made by Applicant or User shall be add- ed to Applicant's Advance Subject to Refund determined pur~suant to 'the provisions of paragraph 9 hereof. 5. ~Indemnity; Tnsurance. (a) City shall not be responsible or held liable in any manner whatsoever for any injury or damage which may be done to any person or property in the course of installation of the facilities by or on behalf of Applicant or which may result from such installati6n, and Applicant agrees to indemnify City and hold free, safe and harm- less of, from and against any and all liability for the death of, %' or injury to, any person and for the loss of, or damage to, any pro- perty which may arise by reason of acts done or omitted to be done in the course of installation of the Facilities by or on behalf of Applicant or which may result from such installation, and Applicant further agrees to reimburse City upon demand for all costs and expenses 'which citY may incur in resisting any claim which may be made against City for any such injury or damage to any person or.property. Appli- cant expressly agrees~that the agreements contained in this paragraph shall survive the performance 6f the ~emainder of this agreement and shall remain in full force and effect notwithstanding such performance. Applicant further agrees that dUring the period beginning with the commencement of construction of the Facilities and terminating upon final acceptance of the same by City, the following insurance, will be maintained in full force and effect by Applicant or said contractor (if the Facilities are to be installed by said contractor) withou't cost or ~xpense to City: (i) Bodily injury liability insurance with limits of not less than Three Hundred Thousand Dollars ($300,000) per person and Five Hundred Thousand Dollars ($500,000)per occurrence, and (ii) property damage insurance with a limit of not less than One Hundred Thousand Dollars ($100,000) per accident, insuring city against any and all liability for the death of or injury to any person and for the loss of or damage to any property, respectively, which may arise by reason of acts ~done or omitted to be done in the course of installation of the Facilities or which may result from such installation, and further insuring City against all costS and expenses incurred by City in resisting any claim which may be made against City for any such injury or damage to any person or property. Each such policy (A) shall be issued by an insurance company approved in writing by City, which is qualifie~' to do and doing business, in the State of California, (B) shall name City as an-additional insured, (C) shall specify that it acts as primary insurance and that no in- surance effected by City shall be called upon to cover a loss under the.policy so procured or caused %o be procured.~ by Applicant, (D) shalI provide that the policy shall not be cancelled or altered with- 6ut thirty (30) days' prior written notice to City and (E) shall other- wise be in form satisfactory to City. Each such policy or a certificate thereof shall be delivered .to City concurrently with execution of this agreement. (b) ~An endorsement or a'certificate thereof to the ~workmen's compensation insurance policy of Applicant or said contractor (if the Facilities are to be installed by said contractor) providing that the underwriter thereof waives all right of subrogation against City by reason of any claim arising out of or connected with installation of the Facilities shall be delivered to City concurrently with execution of this agreement. Said endorsement shall provide that it shall not be cancelled or altered without thirty (30) days' prior written notice to City. 6. Tit~'e to Facilities. Title to each part or portion of the ~Facilities shall pass to City forthwith as each such part or portion. thereof shall be installed regardless of whether the same shall be installed by Applicant or said contractor and regardless of whether the same shall be attached to the balance of City's system, provided, however, that such passage of title shall under no circumstances be deemed to constitute acceptance by City of the Facilities as installed in accordance with said specifications, Exhibit C hereto. Such accep- tance may only be effected by appropriate written notice from City to 'Applicant. Applicant warrants that upon such passage of title, the title shall be free and clear of and from any and all liens, charges 'and encumbrances whatsoever. 7. .Street-Grades. If the Facilities are installed in easements or rights-of-way where final grades have not been established or°in streets whose grades have not been brought to those established by public authority prior to acceptance by City, Applicant, upon written not~ce by City, shall ~deposit with City forthwith the estimated Cost, as determined by City, of relocating, .raising or lowering the Facilities upon establishment of final grades. Adjustment of any difference between the~ amount so deposited and the actual cost of.relocating, raising or lowering the Facilities shall be made within t~n~. (10) days after City has ascertained such actual, cost. The net deposit representing actual cost shall not be subject to refund. City will refund the entire de- posit relating to such proposed relocation, raising or lowering when appropriate authority determines that such displacements are not re- quired. 8. Applicant3s Bond. ConcUrrently with execution of this agree- ment Applicant shall deliver to City a surety bond in the aggregate amount of ~-. in form satisfactory'to City, issued by a bonding company approved in writing by City which is qualified to do and doing business in the State of California guaranteeing'unto City (a) the performance by Applicant and said contractor of all the obligations 'contracted to be performed here6nder, (b) installation of the Facilities in accordance with the provisions hereof, (c) vest- ing in City of title to the Facilities in accordance with the pro- visions hereof,' (d) reimbursement of the cost to City of all replace- ments and' repairs to the Facilities made necessary within one (1) year from.completion of installation thereof by reason of defective materials or~.workmanship, and (e) payment ~n full by A~plicant or said contractor of the claims of all persons performing labor upon or furnishing materia or power to be used in the Facilities. 9. Applicant's AdVance Subject to Refund. Applicant agrees that promptly upon completion of installation of the Facilities in accordance with said specifications, Exhibit C hereto, and acceptance of the same ~ by City, Applicant will, at its own expense, furnish to City a reason- ably detailed statement of the actual construction cost of the Facil- ities, including in said cost, ~(a) Applicant's Deposit, (b) the cost, if any, to Applicant of complying with the insurance requirements of paragraph 5 hereof, and (c) the cost, if any, to Applicant of the bond required by paragraph 8 hereof. The total.amount of said actual cost as~ shown by said statement, or the sum of $ 22,613.00 (being the price quoted by City to Applicant in City's detailed estimate of the cost of installation of the Facilities), whichever is the lesser, shall be conclusively deemed to be %he actual construction cost Of the Facii- ities and is herein .referred to as Applicant's Advance'Subject to Re- fund. 10. Refund. Provided that Applicant'is not in default hereunder, City agrees to make refunds hereunder to Applicant or such other party as may be entitled thereto in cash, without interest, for a period not to exceed twenty (26) years from the date hereof in annual payments made. within forty-five (45) days of the anniversary of the date hereof.- Refunds shall be determined as follows: City shall determine the reven~ .... received by it~from customers, including fire protection agencies, sup- plied by service pipes directly connected to the Facilities; the refund shall be 22% of the revenue so received.' The total amount so refunded shall not exceed Applicant's Advance Subject to Refund, without interes~ 11. Service from Facilities. The Facilities were designed to serv~ f~v~ (5) customers as shown on E~hibit "A" hereto. If at any time within tWenty (20). years from the date hereof bona fide customers (defined in Section A.(2)a. of the Rule) are being served from the Facilities, City will so notify Applicant,~ and at that time will become obligated to pay Applicant in cash any balance of Applicant's Advance Subject~to Refund which may remain unrefunded at the end of said twenty (20)-year period. Any such balance shall be refunded in five (5) equal annual installments, payable beginning twenty-one (21) years from the date hereof. 12. City's~Right. to Offset. In the event ApPlicant shali become entitled to a refund under the provisions of paragraphs 7, 10, or 11 of this agreement, City shall have the right at such time to offset against the amount then due Applicant hereunder %he total amount of any indebtedness then due or owing by Applicant to City. i3. Notices.· Any notice which it is herein provided may or shall be given by either party to the other shall be deemed to have been duly given when deposited in the bnited States mail, registered or certified, postage prepaid and addressed to the party to whom such notice is given at the following respeCtive addresses: To Applicant: Charles Ghomley HUSH PUPPY RESTAURANT P. O. Box 5821 Las Vegas, Nevada 89102 To City: City Hall 1501 Truxtun Avenue Bakersfield, CA 93301 Either party, by notice given as hereinbefore provided, may change the address to which notice shall'thereafter be addressed. 14. Nature-of. 6bliga~ions~ Assignment. If more than one person is named in Paragraph 1 hereof, the obligations of the persons executing this agreement as Applicant shall be joint and several. Until Applicant shall notify City in writing to the contrary, all refunds hereunder shall be paid by City to~ . Applicant may assign this Agreement upon written notice to City at any time following determination of the amount of Applicant's Advance Subject to Refund. Any such-assignment shall apply only to those refunds here- under which become due more than thirty (30) days after the date of receipt by City of such notice of assignment. City will not make any single refund payment hereunder to more than one person. 15. Successors and Assigns. Subject to the provisions of the preceding paragraph 14, this agreement shall inure to the benefit of and shall bind the respective heirs, executors, administrators, successors and assigns of the parties hereto. 16. Jurisdiction of City. This Agreement, except for refund provisions,- shall at all times be subject to such changes or.modifica- °tions by the City of Bakersfield as .said City may from time to time direct in the exercise of its jurisdiction. IN WITNESS WHEREOF, the parties hereto have executed this Agree- ment in duplicate the day and year first-above written. CITY OF BAKERSFIELD DEPARTMENT OF WATER Water Manager APPLICANT under which become due more than thirty (30) days after the date of receiPt by City of such notice of assignment. City will not make any single refund payment hereunder to more than one person. 15. SucceSsors. and,Assigns. Subject to the provisions of the preceding paragraph 14, this agreement shall inure to the benefit of and shall bind the respective ~eirs, executors, administrators, succes- sors and assigns of the parties hereto. 16. ' Jurisdiction o~citY. This Agreement, except for refund'pro- visions, shall at all times be subject to such changes or modifi'cations by the City of Bakersfield as said City may from time to time direct in the exercise of its jurisdiction. IN WITHNESS WHEREOF, the parties hereto have executed this Agree- ment in duplicate the daY and year first-above written. CITY OF BAKERSFIELD WATER BOARD By APPROVED AS TO FORM: Chairman ~ By - City Attorney SeCretarY COUNTERS IGNED · Finance Dir~ct~r ' -- APPLICANT By, NORTH KERN WATER STORAGE DISTRICT BOX 1195 BAKERSFIELD. CALIFORNIA 93302 (805) 325-3116 April 24, 1978 Memorandum to: John Chafin From: C.H. Williams Subject: Memorandum of Understanding Between Cawelo Water District and North Kern Water Storage District Enclosed please find three copies of the subject Memorandum of Understanding, which have been signed by North Kern Water Storage District and Cawelo Water District. Please have the City representa- tive sign all three copies, retain one for the City's files and return two to North Kern. We will provide Cawelo with one fully executed copy. ch enclosure 4/18/78 --" MEMORANDUM OF UNDERSTANDING BETWEEN CAWELO WATER DISTRICT AND NORTH KERN WATER STORAGE DISTRICT The purpose of this Memorandum of Understanding between Cawelo Water District, hereinafter referred to as Cawelo, and North Kern Water Storage District, hereinafter referred to as North Kern, is to establish a basis for the immediate enlargement and use of the Beardsley and Lerdo Canals of North Kern by Cawelo for transportation of Kern River Water from the Kern River to Cawelo's Pump Station B. The Districts further agree, ~at s~ce there is insufficient time to develop a long term agreement between Cawelo and North Kern prior to the need for completion of the enlargement of the Beardsley Canal, to proceed immediately with the construction of an 18-inch concrete curb and a 1.5- foot embankment addition on each side of the Beardsley Canal from Manor Street upstream to the head of the concrete lined section of said Beardsley Canal subject to the following: 1. Cawelo, at its sole cost and expense, may immediately undertake the const~ction of an 18-inch concrete curb as indicated on Cawelo's plans dated December 12, 1975 on each bank of the Beardsley Canal from Manor Street to the head of the concrete lined section. Said work shall be reinforced with a minimum compacted backfill to the satisfaction of North Kern. Ail work to be performed so as not to interfere with the use and operation of said canal. 2. Plans, 'specifications, Contractors and construction work of Cawelo's may be reviewed, inspected and shall be subject to approval by North Kern. ~ ~ ~-~ 3. ~-Cawelo and North Kern agree the 18-inch addition to the embankments ~ ~ will increase the capacity of the Beardsley Canal and shall provide Cawelo an allocation of space for at least 165 cfs in the Beardsley Canal. North Kern also agrees Cawelo may use any additional available space this year in the Beardsley and Lerdo Canals at any ti~the event, a total diversion of 765 cfs cannot be maintained, any redu~ tion in the diversion will be shared proportionately by North Kern and Cawelo based upon their respective capacities of 165 and 500f 4. Paragraph 7 of the "Contract Among Cawelo Water District, K~rn ~iver Canal and Irrigation Company and North Kern Water Storage District for Use of Portions of Beardsley and Lerdo Canals", dated December 21, 1972, as amended and supplemented shall be applicable to the construction and .temporary use hereby authorized. For convenience said paragraph 7 reads as follows: "7. Indemnification: Cawelo agrees to indemnify and hold harmless North Kern and Kern River Company against any losses, costs or liabilities whatsoever resulting from or arising out of or in connection with the execution or performance of this agreement or Cawelo's enlarging and using said portions of the Beardsley and Lerdo Canals pursuant hereto. In connection herewith, Cawelo shall carry adequate insurance sufficient to cover its obligations assumed hereby and North Kern and Kern River Company shall be named as additional insureds thereon. "If it is determined~ that the provisions of Chapter 21 (commencing with Section 895), Part 2, Division 3.6, Title ! Government Code is applicable to this agreement, the foregoing is intended to establish the contributions and indemnification authorized by Section 895.4 of said Code and is in lieu of the provisions of Section 895.6 of said Code." 5. Cawelo agrees with North Kern for calendar year 1978, Cawelo will, upon demand, pay North Kern a transportation charge of $1.00 per acre-foot for Kern River Water and $0.50 per acre-foot for State water for all water diverted into the Beardsley Canal for to cover costs of operation, water measurement, repair ~and cleaning of Beardsley and Lerdo Canals, including supervision and overhead. Any taxes attibutable to improvements of the Beardsley and Lerdo Canals by Cawelo shall be paid by Cawelo. During the calendar year 1978, North Kern waives and shall assume the obligation under Section 4 of the December 21, 1972 Agreement as amended April 24, 1974. 6. The parties realize that there will be additional seepage losses resulting from Cawelo.'s use of said reach of canal which incidental losses beyond those losses agreed to in the December 21, 1972 Agreement Section 5 and amended April 18, 1974 in Section 4, will be borne by North Kern during calendar year 1978. 7. The parties shall forthwith enter into negotiations for and reach by February 1, 1979 a long term agreement for completion of other improvements of said facilities and to provide certain rights in favor of Cawelo for use of the Beardsley and Lerdo Canals for transportation of Kern River water for use within the Cawelo Water District. 8. No provisions of this agreement shall be used as a precedent for or a declaration against interest in connection with the long-term agreement contemplated in Section 7, above. By copy hereof to the City of Bakersfield, North Kern is fulfilling its obligation to give notice of a proposed use of the Beardsley Canal under paragraph 7 of the "Quitclaim of Canal Easements, Including Certain Appurtenances Thereto and Interests in Real Property', dated February 28, 1978, between City as grantor and North Kern as grantee. Under this provision, the City is a necessary party to any agreement authorizing use for purposes other than transportation of Kern River Water for irrigation use within District boundaries, to fulfill City obligations to meet consumer demands as successor to' Kern River Canal and Irrigating - 3 - C~p~any, a public utility, or to carry out an exchange which provides for ~ses of irrigation water for such purposes. This is to advise you that the City has not yet consented to this.proposal. If the terms hereof are satisfactory to Cawelo, would you so indicate by executing as indicated. We will attempt to obtain the consent of the City as soon as possible. Very truly yours, NORTHKERNWATER STORAGE DISTRICT Lee Froman, President Charlene Hefner, Sectary Accepted and Agreed CAWELO WATER DISTRICT - ~ss~stant Sectary CITY OF BAKERSFIELD By cc: Stephen Wall A. C. Paulden City of Bakersfield, Attn.: Kenneth Hoagland -4-