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Home My WebLink About06/24/81 AGENDA WATER BOARD - CITY OF BAKERSFIELD WENDESDA¥, JUNE 24, 1981 4:00 P.M. Call meeting to order Roll Call - Board Members: Barton, Chairman, Payne, Ratty, Kelmar, Oberholzer 1. Approve minutes 6f regular meeting of June:t~, 1981. 2. Scheduled Public Statements 3. Correspondence - None ~/4. Adoption of 1981-82 Domestic Water Enterprise Operating and Capital Outlay Program. - MOTION TO APPROVE BUDGET AND SUBMIT TO COUNCIL. /5. Agreement of Sale between the City andl. California Water Service Company for acquistion by the City of the company's water dis- tribution facilities within the Fairhaven Water System. - MOTION TO APPROVE AND RECOMMEND TO CITY COUNCIL FOR EXECUTION. / 6. Fairhaven Water System Ordinance EstabliShing and Adopting Rules of Operation. - MOTION TO APPROVE AND RECOMMEND TO CITY COUNCIL FOR ADOPTING. f7. A Developer Agreement with Lunn Production Service Company to provide water to twenty-nine (29) acres located at'-~the'.~southW~'st-: corner of Burr & Gibson Street from the Fairhaven Water System. - MOTION TO APPROVE AND RECOMMEND TO CITY COUNCIL FOR EXECUTION. ~ 8. A Developers Agreement with Tenneco Realty Development Corporation to provide water to Parcel Map 5726 from the Fairhaven Water System.- MOTION TO APPROVE AND RECOMMEND TO CITY COUNCIL FOR EXECUTION. 9. Staff Comments lO. Board Comments 11. Adjournment x/ ~~!-'~~ CITY OF BAKERSFIELD DEPARTMENT OF WATER ,f~__ ' WATERBOARD MEETING 1St 2nd Person/Enti.t.~ and Phone Numbers ~ .#}//~ Chairman James-('Curley) Barton . /mAC ~//~f ~ Don Ratty res: 322-5776 bus: 327-2681 or 327-2882 /o/~ ~_~~ Tom Payne res: 831-2346 bus: 327-5161 talc} ~/~?~ Richard Oberholzer, City Attorney bus: 326-3721 ~/~q ~/~ ~ Phil~ Kelmar,-City Manager ~oZO bus: 326-3751 /~o~ Owen Goodm~n, Olcese W.D. Attorney bus: 323-2991 Stu Pyle, Kern County Water Agency bus: 393-6200 Chuck Williams, North Kern Water Storage District bus: 325-3116 or"325-5009 Mary Collup, Rosedale-Rio'Bravo Water Storage District bus: 325-4797 Gail Schont~ler, Bakersfield Californian bus: 395-7379 Tom Clark, Nickel Enterprises bus: 366-5581 MINUTES WATER BOARD - CITY OF BAKERSFIELD WEDNESDAY, JUNE 17, 1981 4:00 P.M. The meeting was called to order by Chairman Barton in the Depart- ment of Water Conference Room at 4:15 P.M. The secretary called the roll as follows: Present: Barton, Ratty, Kelmar, Oberholzer Absent: Payne Staff Present: Bogart, Chafin, Core, Hostmyer Others Present: Mary Collup, District Manager, Rosedale-Rio Bravo Water Storage District Tom Clark, Nickel Enterprises Owen Goodman, Attorney, Olcese Water District Gayle McCafferty, The Bakersfield Californian George Nickel, Nickel Enterprises Lloyd Phillips, Assistant Manager, North Kern Water Storage District Rebecca Wiseman, Attorney, William Kuhs Office The minutes from the meeting of June 3, 1981, were approved as presented. CORRESPONDENCE Letters regarding Palm Mutual Water Company: 1) Letter from La Hacienda, Inc. to Olcese Water District dated June 8, 1981; 2) Letter from Olcese Water District to City Water Board dated June 9, 1981, and 3) Letter from Anderson & Anton representing Palm Mutual Water Company dated June 10, 1981, were presented to the board. After discussion Mr. Oberholzer made a motion that the letters be received and referred to staff. The motion was passed. Letter from Gilbert Castle, Water Association President, dated June 8, 1981, was presented to the board. Mr. Obherholzer made a motion that the letter be received and placed on file. The motion was passed. Letter from George D. Nokes, California Department of Fish and Game, dated June 9, 1981, was presented to the board. Mr. Ober- holzer made a motion that the letter be received and referred to staff for report and recommendation. The motion was passed. Olcese Water District presented a letter to the board dated June 15, 1981, as a general outline plan for improvements to the 2800 for board information, this time City's acres At Mr. Kelmar asked if this was a satisfactory response. Mr. Chafin stated the staff did not feel this letter was a satisfactory outline. After discussion .Mr. Oberholzer made a motion that the letter be referred to staff for recommendation. The motion was passed. Final Master Plan Spreading Agreement conceptual outline for conmaunity participation in City's 2800 acre recharge facility was presented to the board for action. After discussion Mr. Kelmar made a motion to approve the form of the, 2800 Acre Master Plan, Agreement as a conceptual basis for negotiations with interested entities and for environmental analysis. The~ motion was passed. Mr. Kelmar made a second motion to request staff and consultants to recommend to Board: a) Appropriate spreading fee and b) Equitable method of charging for long- term spreading facilities. The motion was passed. Hr. B6gart at this time presented to the board two letters that had been received within the last hour before the board meeting. One from Cawelo Water District regarding a request to assign part of their City basic contract water in 1981 to North Kern Water Storage District. The staff recommended that the board approve the letter as to concept and ask for a clarification of the points in this letter. Mr. Oberholzer made a motion that the concept be approved subject to the final approval of staff with respect to the details of this exchange. The motion was passed. The second letter is a request from Rosedale Ranch Improvement District of the North Kern Water Storage District that they would like to make the most efficient use of their Kern-Tulare contract water supply this year by assigning a portion of their basic contract water to the main body of the North Kern Water Storage District. Mr. Obherholzer made a motion t~at the board approve this letter in concept and authorize the staff to execute the agreements when staff is convinced the letters meet the language and pricing require- ments that are necessary. The motion was passed. BOARD COMMENTS Mr. Oberholzer commented in regard to the Public Statements. He stated there is a provision for Scheduled Public Statements and anyone caring to make a Public Statement should notify the staff at some reasonable time before the meeting. There being no further business to come before the board, Chair- man Barton adjourned the meeting at 5:00 P.M. C~ites J. ~arton, Chairman y of Bakersfield Water Board Lihda Ho s tmye~ City of Bakersfield Water Board WATER BOARD - CITY OF BAKERSFIELD ITEMS FOR AGENDA Agenda Section New Business Requesting Department Public Works Department Date for Water Board Action June 24, 1981 1. Description of Item: Adopt$on of 1981-82 Domestic Water Enterprise Operating and Capital Outlay Program. 2. Comments: 3. Suggested Action: Motion to approve budget and submit to council. , 4. Attachments: jDirector of Public W6rks Approved, City Manager NOTE: Items for Water Board Agenda are to be submitted prior to 10 a.m. Friday for the Wednesday meeting of the following week. WATER BOARD - CITY OF BAKERSFIELD ITEMS FOR AGENDA Agenda Section Requesting Department Public W0rNs ~epartment Date for Water Board Action June 24, 1981 1. Description of Item: Agreement of Sale between the City and California Water Service Company for acquisition by the City of the company's water dis- tribution facilities within the Fairhaven Water System. 2. Commen ts: The City proposes to purchase the company's water distribution facilities which are located west of highwaX 99 and within the Fairhaven Water District. The purchase price is $220,000. This sale fulfills a portion of the City's.agreement with Fairhaven Mutual and Fairhaven Industrial Fire Protection District. 3. Suggested Action: Motion to Approve an'd recommend to City Council for execution. Attachments: Agreement. Public tVorks Approved, City Manager NOTE: Items for Water 8oard Agenda are to be submitted prior to 10 a.m. Friday for the Wednesday meeting of the following week. WATER BOARD - CITY OF BAKERSFIELD ITEMS FOR AGENDA Agenda Section NEW .BUSINESS Requesting Department PUBLIC WORKS Date for Water Board Action June 24, 1981 Description of Item: Fairhaven Water System Ordinance Establishing and Adopting Rules of Operation. 2. Comments: The Rules of Operation of the Fairhaven Water System will be identical to the Ashe Water System, with the exception of Mainline Extension Refunds. Main lines will be constructed by developers and donated to the City. 3. Sugges'ted Action: ~otion to approve and recommend to City Council for adopting. ~ 4. Attachments: Proposed Ordinance. irector of Public ~/orks Approved, City Manager NOTE: Items for Water Board Agenda are to be submitted prior to 10 a.m. Friday for the Wednesday meeting of the following week. WATER BOARD - CITY OF BAKERSFIELD ITEMS FOR AGENDA Agenda Section New Business ~t__em A) Requesting Department Public Wor~s Department Date for Water Board Action June 24, 1981 1. Description of Item: A Developer Agreement with Lunn Production Service Company to provide water to twenty-nine (29) acres located at the southwest corner of Burr & Gibson Street from the Fairhaven Water System. 2. Comments: The agreement reserves excess well and storage capacity for use within twenty-nine (29) acres. Water for domestic, industrial, and fire protection uses would be provided to the developer at a fee of $1500 per acre. This fee pays for the cost of capital improvements (wells, storage and booster systems), however the developer will be r~sponsible for constructing all water mains within the subdivisions. The fee for this Developer is $43,500.00 3. Suggested Action: Motion to approve and recommend to City Council for execution. 4. Attachments: Agreement . ~i'rector of Public Works Approved, City Manager NOTE: Items for Water Board Agenda are to be submitted prior to 10 a.m. Friday for the Wednesday meeting of the following week. WATER BOARD - CITY OF BAKERSFIELD ITEMS FOR AGENDA Agenda Section New Business (Item B) Requesting Department Public Wor~s Department Date for Water Board Action June 24, 1981 l. Description of Item: A Developers Agreement with'Tenneco Realty Development Corporation to provide water to Parcel Map 5726 from the Fairhaven Water System. 2. Comments: The agreement reserves excess well and storage capacity for use in Parcel Map 5726. Water for .domestic, industrial, and fire protection uses would be provided tO the developer at a fee of $1500 per acre. This fee pays for the cost of capital.improvements (wells, storage & booster systems), however the developer will be responsible for con- structing all water mains within the subdivision. The fee for this Developer is $112,500. 3. Suggested Action: Motion to approve and recommend to City Council for execution. 4. Attachments: Agreement. f Pu[lzc ~'?orks Approved, City Manager NOTE: Items for Water Board Agenda are to be submitted prior to 10 a.m. Friday for the Wednesday meeting of the following week. CITY OF BAKERSFIELD DOMESTIC WATER E~ERPRISE ESTIb~TED REVENUES AND EXPENSES BUDGET FISCAL YEAR 1981-82 Est. Actual Proposed FY 1980-81 FY 1981-82 REVENUES: Domestic Water Sales $1,337,600 $1,538,200 Construction Water Sales 13,800 50,800 Interest Income 95,000 35,300 TOTAL REVENUES $1,446,400 $1,624,300 OPERATING EXPENSES: Field Expenses: O & M Charges .from Cai-Water $ 344,300 $ 484,000 Power for P~ping 278,000 431,600 Other Maintenance 40,000 80,000 TOTAL FIELD EXPENSES $ 662,300 $ 995,600 Administrative Expenses: Salaries and Fringe Benefits $ 58,000 $ 62,200 Charges frem Other City Depts. 10,000 11,500 Management Fee from Cai-Water 30,400 35,800 Consultant Charges (Engineer, Attorney, etc.) 33,900 37,300 Insurance Expenses 11,700 13,300 Property and Pumping Taxes 149,600 174,000 Misc. General Expenses 25,000 161700 TOTAL ADMINISTraTIVE EXPENSES .$ 318,600 $ 350,800 NET OPE~KTING INCOME Before Depreciation $ 465,500 $ 277,900 Depreciation (125,000) (167,500) $ 340,500 $ 110,400 NON-OPERATING EXPENSES:' Mainline Extension Refunds ($ 33,200) ($ 77,400) Net Operating Income before Capital outlay program $ 307,300 $ 33,000 Transfer to Capital Improvement Budget $ 307,300 $ 35,000 NET INCOME (LOSS) $ 0 $ 0 'CITY OF BAKERSFIELD DOMESTIC WATER ENTERPRISE PROPOSED CAPITAL OUTLAY PROGRAbl FISCAL YEARS 1981-82 and 1982-83 (w/o Rate Increase) Proposed Projected FY 1981-82 FY 1982-85 Source of Funds Capital Improvement Reserves $167,500 $200,700 Net Operating Income 33,000 (330,100) Loan Repayment from Fairhaven Div. -0- 40,000 $200,300 .($ 89,400) Proposed Application of Funds Additional Water Mains 1. Kern River crossing at Coffee Bridge Phase I '$ 91,100 -O- (Phase II Est. cost $110,000) 2. Mohawk St. from Carrier Canal tO Truxtun Ave. 1st payment 12,000 ($48,000 remaining) 3. White Ln. Stine Cknal to 645 feet west of Grissom St. 8,000 Water Meters 75,000 Pumping Station Improvements 1. Building at Station 9 in Quailwood Park $18,600 held over in FY 1980-81 Capital Budget. 29,400 (Est. cost $48,000) 2. Telemetering system at Station 6 S,O00 $2oo,soo CITY OF BAKERSFIELD DOMESTIC W^TER ENTERPRISE OPERATION SUI~ARY Estimated ~ 12/22/76 Actual Actual Actual &ctual Proposed** Projected** 6/30/77 FY 1977-78 FY 1978-79 FY 1979-80 FY 1980-81 FY 1981-82 FY 1982-83 Revenues $170,838 $676,548 $1,098,519 $1,293,114 '$1,446,400 $1,624,300 $1,839,700 Operating and Non-Operating 203,355 663,346 692,321 858,910 1,139,100 1,591,300 2,169,800 Expenses Net Operating Income (129,772) 13,202 311,486 434,204 307,300 33,000 (330,100) (Loss) Before Capital Outlay Depreciation 38,763 81,776 94,7~2 110,855 125,000 167,500 200,700 Total Active Accounts in System 3,831 4,580 5,128 6,059 6,650 8,200 9,500 on June 30* City acquired system on December 22, 1976 with 3,368 total active accounts. **Without rate increase. ¢ OFFICE OF CITY ATTORNEY RICHARE) J. OBERHOLZER CITY HALL JERRY WEBER · City Attorney 1601 TRUXTUN AVENUE Claims Administrator ~,'~,, BAKE RSF IE LD,CALIFO f:~NIA 93301 TERRELLW. KINNEY , ~:HARLES S. WILSON Telephone 861-2721 Assistant, City Attorney · City Attorney Investigator 'ARTHUR J. SAALFIELD June 2~r Deputy City Attorney ,;ITY OF 8AKER~IE~ oEP. NTt/t/lENT OF WATE~ Mr. Jeptha A. Wade, Jr. Vice President and Chief Engineer California Water Service Company 1720 North First Street P. O. Box 1150 San Jose, CA 95108 Re: Agreement off Sale between the City of Bake~sfie].d and California Water Service Company Dear Mr. Wade: Pursuant to our telephone conversation of this date, you will find enclosed a copy of two proposed para- graphs to be inserted into the Agreement of Sale between the City of Bakersfield and CalJ.['~o~nia Water SeI:vice Company. If the p~oposed paragraph ].2 could be reduced to a few simple words, it could be stated that it provides that California Water Service Company is responsible fo~ all of the rights and liabilities of the system that accrue before the closing date. The provision eliminates the need for the City, in the event of such a claim, etc., to have to appear in court to be t-elieved. The present agree- ment contains no provisions, other than damage to the facilities (paragraph 6), with respect to liabilities that may have a~isen before the closing date. Although it would be difficult for .California Water Service Company to a~gue that the City purchased all of the existing liabilities'of the system, it would be a potential dispute that would be eliminated if the proposed clause were incorporated in the Agreement. We believe this proposed paragraph is essential to a clear understanding of what the City is purchasing. ' It appears to put in writing that which everyone understands as being a term of the purchase. · Mi. geptha A. Wade, gr. .~ .z~,,~ California Water Service Company ~"~ Page 2 ~ ~ June 22, 1981 The proposed paragraph ].3 is of lesser importance from the City's position. Some have said that California Water Service Company never actually filed the protest. At any rate, as you suggested, this matter could be resolved by letter. Would you kindly consult with your attorney on this matter at yo.ur convenience.? ' ' Very ~truly yours, Richard J. Oberholzer City Attorney RJO: mm Enclosure 12. Seller agrees to in(~emnify and hold buyer harmless against any penalty or obligation which relates to any nonicomp].ia~.~ce with any federal, state or ].ocs]. ];~w, orc]ir~ance, rule or regu.l.a- tion occurring before the closing ~te~ ;~nd further agrees to indemnify and hold buyer harmless against any suit or action at law or equity arising out.of any c].a.Jm of personal injury or property damage sustained before the closing date as ~ re~-;ult of or relating to the operation or t}.c-'~', owncrshi;.3 of the f~]ci.l, ities being purchased herein. 13. Seller having previously, filed PR.O]}...SI ..... OF CAf, IFORNIA S ~ WATER ~ERVICE, COMPANY BEFORE TIlE DI}<ECTORS OF THE FAIl,HAVEN IN- DUSTRIAL FIRE [~ROTECTION DISTRI('.[}-~ c')oes hereby, through executioh of this agreement, withdraw said }~rotest with Drejudice against refiiing said protest. AGREEMENT OF SALE THIS AGREEMENT, dated , 1981, by and between the CITY OF BAKERSFIELD, a municipal corporation and political subdivision of the State of California ("Buyer"), and cALIFORNIA WATER SERVICE COMPANY,~ a California Corporation ("Seller"). W I T N E S S E T H:. WHEREAS, Seller owns and operates a water system which presently serves the major portio:n of the City of Bakers- field and its inhabitants; and WHEREAS, Buyer has the power of eminent domain and has decided to acquire a portion of Seller's facilities which presently provide service to the Fairhaven area of City nOrth of Kern River and westerly of Pierce Road; and WHEREAS, Seller is willing to sell said facilities to .Buyer; NOW, THEREFORE, for and in consideration of the mutual agreements herein contained, it is hereby agreed between Seller and Buyer as follows: 1. Upon and subject to the terms and conditions hereinafter set forth, Seller agrees to sell and Buyer agrees to purchase that portion of Seller's water distribution facilities which is physically located within that part of the County of Kern, State of California, which is Outlined in-red on the-map attached as Exhibit A, including,, without limiting the generality of the foregoing, all water mains, pipes, pipe lines, valves, connections, services, meters and meter boxes located within said above described area. The facilities to be so purchased by Buyer are herein referred to as the "purchased facilities". 2. (a) The purchase price shall be the sum of Two-Hundred Twenty Thousand Dollars ($220,000), to which there shall be added the cost to Seller of all additions and betterments made to the purchased facilities from December 31, 1980 to the Closing Date and from which there shall be subtracted the amount recorded on Seller's books of all retirements to the purchased facilities from D~cemb~r 31, 1980 to the Closing Date. Seller shall furnish Buyer on the Closing Date with an accounting, certified to be true and correct by Seller's Chief Financial Officer and Treasurer, of all such additions, betterments and retirements. The purchase price shall be paid by Buyer to Seller in cash on the Closing Date on delivery to Buyer of a satisfactory conveyance of the purchased facilities together with the records and documents which are listed in Exhibit B attached hereto. (b) Unbilled charges for metered water service shall be adjusted as hereinafter provided in paragraph 5 hereof. 3. The purchased facilities shall be conveyed '~o Buyer on the Closing Date free and clear of all liens, encumbrances and liabilities. Seller shall deliver to Buyer on the Closing. Date a deed and bill of sale in the form attached as Exhibit C. 4. It is believed by the parties that this trans- action is not subject to California sales or use tax, but if any such tax is claimed or imposed by the State of California, Buyer agrees to assume all responsibility and expense in defending any such claim and to pay any tax found to be due. This sale constitutes an occasional sale by Seller. 5. All accounts receivable and unbilled revenues for water supplied to and including the~Closing Date are 'excluded from the purchased facilities. Meter readings shall be taken on the Closing Date jointly by Buyer and Seller and Seller shall, at its own expense, collect any bills for water service rendered prior to the ClOsing Date. 6. All risk of loss or injury or destruction to any and all of the facilities covered by this agreement shall be upon Seller at all times until the Closing Date and in the event of any such loss, injury or destruction, the purchase price shall be appropriately adjusted, but Seller shall be entitled to retain any insurance proceeds or claims against an insurance carrier relating to any such loss, injury or destruction. · 7. At all times prior-to the Closing Date, Seller ~hall continue such usual upkeep, maintenance and repair of the purchased facilities as it would if it were to continue in ownership and operation of the same and any and all expenses incurred by Seller in so doing, together with any and all operational expenses incurred in connection with the purchased facilities prior to the Closing Date, shall be borne by Seller. 8. Buyer agrees upon the Closing Date to undertake. the distribution of water to all customers then served by the purchased facilities and Buyer shall assume as of that date any and all public service obligations now resting upon Seller within the area outlined in red on Exhibit A, subject, however, to the righ~t of Buyer to fix rates and determine conditions of service as a municipal corporation engaged in the public supply of water. 9. This agreement is hereby expressly made subject to the condition tha~ the sale and transfer of the purchased facilities, upon the terms and conditions herein provided, shall be approved and authorized by the Public Utilites Commission of the State of California ("Commission") and this agreement shall not become effective until such approval and authorization shall have been obtained. Seller agrees promptly upon execution of this agreement to make application to the Commission for appropriate authorization to consummate this transaction and Buyer agrees to join in said application. If such authori- zation shall not have been Obtained on or before December ~1, 1981, the purchase price of $.220,000. shall be subject to renegotiation. 10. If Buyer so desires ~nd shall give written -notice thereof to Seller not later, than ten days after issuance by the Commission of the authorization set forth in paragraph 9 hereof, Seller agrees, following execution by Seller and Buyer of the Interconnection Agreement hereafter described, to construct or cause to be constructed prior to the Closing Date an interconnection in the existing 12-inch pipeline at the point shown on Exhibit A in Gilmore Avenue at the east side of State Freeway 99 for the purpose of providing a separation between the purchased facilities and the remainder of Seller's Bakersfield system. Upon completion of construction, if such construction is authorized by Buyer, ~he parties agree that such interco~nection shall be maintained in a closed position but 'shall include a meter for the measurement of the flow of water in either direction for use by either Buyer or Seller when required in an emergency. If such inter- connection is constructed, Seller agrees to bill Buyer for the cost of such construction promptly upon completion thereof and Buyer agrees to pay such bill within thirty days of receipt. Promptly following the notice by Buyer set forth in the first sentence of this paragraph 10, Seller and Buyer agree to execute an Interconnection Agreement covering the operatioh and maintenance of such interconnection; such Agreement shall City of Bakersfield TRANSMI1TAL SLIP Date ....................................................... From ....................................................................................................................... For Your:-- [] Signature [] Action [] Information I-I File Please :-- [] Return [] See Me [] Follow Up [] Prepare Answer Copy to: ......................................................................................................... Memo: ............................................................................................................ H LS be i~ or substantially, in the form of Agreement attached hereto as Exhibit D. 11. Th~ Closing Date shall be such date as may be designated in writing by Buyer to Seller upon not less than sixty days written notice at any time subsequent to the date upon which appropriate authorization of the Com- mission is obtained, but the Closing Date shall be not later than December 31, 1981, unless the parties agree in writing to extend the period for determination of a Closing Date. -1-~. All notices, demands, or other writings in this agreement provided to be given or made or sent or which may be given or made or sent by the parties hereto shall be deemed to have been fully given or made or sent when made in writing and deposited in the United States mail, addressed as follows: To Seller~ 1720 North First Street P.O. Box 1150 San Jose, CA 95108 Attention: Mr. J. A. Wade Vice-President To Buyer: City Hall 1501 Truxtun Avenue BakErsfield, CA 93301 Attention: City Manager The address to which any notice, demand or other writing may be given or made or sent to either party may be changed upon written notice by such party as above provided. 12. Seller agrees to indemnify and hold buyer harmless a~ainst any penalty or obligation Which relates to any non-con..~liance · with any federal, state or local law, ordinance, rule or regula- tion occurring before the closing date, and further agrees to indemnify and hold ~uyer harmless a%q?.inst any suit or action at law or' ~equity arising out of any claim of personal injury or property damace sustained as a result, or relating to the operation r_,._ owners..ip of the facilities being purchased h,,':~ein. 13. Seller having previously filed PROTEST OF CALIF'DP~'~TA ~,-."'~'~'~',,~:,...,. o:~'[<VICE CO['~.[)ANY BEFORE THE DIRECTORS OF THE FAIRHAV~.u~ ._,~.:.,,[,.1AL FIRE PROTECTION DISTRICT does hereby, throuqh execution of this aqreement, withdraw said protest with ~,r..q~c:c-','.¢': ?:sfainst refiling said protest. IN WITNESS WHEREOF, the parties hereto have caused ~'this agreement, dated as aforesaid~ to be executed by persons thereunto duly authorized. ATTEST: CALIFORNIA WATER SERVICE COMPANY City Clerk Its Vice President ~ov~.~ ~s ~o ~o~: ItS. S~cret'ary CITY OF BAKERSFIELD City Attorney By. Its Mayor By Its City Manager ~ 'AGREEMENT 'FOR THE. S'AI,'E 'OF FACILITI ES " TO THE 'CITY. 'O'F 'BAKERSFIELD Records and DOcuments to be FurniShed to City of Bakersfield by California Water Service Company SYSTEM PLAT MAPS VALVE RECORDS METER HISTORY CARDS COPIES OF ALL EASEMENTS, DEEDS, RIGHTS OF WAY AND ASSIGNMENTS THEREOF TO CITY BILLING RECORDS FIRE HYDRANT RECORDS INVENTORY OF FACILITIES TRANSFERRED COPIES OF ANY AGREEMENTS AFFECTING FACILITIES ACQUIRED OR THEIR OPERATIONS EXHIBIT B DEE~'ANI~-BILL OF SALE . THIS DEED AND BILL OF-SALE made this ..... day of , 1981, by and between CALIFORNIA WATER SERVICE COMPANY, a California corporation ("Sel'ler") and the CITY OF BAKERSFIELD, a municipal corporation and political subdivision of the State of California {"Buyer"). W I T N E S S E T H: FOR GOOD AND VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, Seller hereby sells, grants, conveys, assigns, transfers and sets over to Buyer all of Seller's water distribution facilities physically located within that part of the territory of the'County, of Kern, State of California, which is situated within the area outlined in red on Exhibit A hereto, including, without limiting the generality of the foregoing, the following: All water mains, pipes, pipe lines,'valves, connections, services, meters and. meter boxes located within said above described area. IN WITNESS WHEREOF, California Water Service Company has caused this Deed and Bill of Sale t° be duly executed by its officers thereunto .duly authorized, on the date and year first above written. CALIFORNIA WATER SERVICE COMPANY Its' · Its EXHI'BIT C STATE OF CALIFORNIA ) .County of Santa Clara ) On this .... day of .......... -,-.1981, be£ore me~ ...... , a Notar~ Public in and for said State~ Count), of Santa Clara~ duly commissioned and sworn~ personally appeared J.A. Wade, Jr. and ........... known to me to be the Vice President and ....... respectively, of CALIFOKNIA WATER SERVICE COMPANY,. the corporation named in and which executed the within instrument, and known to me to be the persons who executed the within instrument on behalf of said corporation therein named, and acknm~ledged to me that such corporation executed the same. IN WITNESS WHEKEOF, I have hereunto set my hand and a££ixed my official seal in said County and State, the 'day and year in this certificate first above written. NOT~Y 'PUBLIC in and for the State of California My Commission. Expires AGREEMENT. FOR. 'EMERGENCY WATER. SUPPLY THIS AGREEMENT, made and entered into as of the' day oE ." ''.' , 1981 by and between the CITY OF BAKERSFIELD, a municipal corporation, First Party, hereinafter sometimes referred to as ',Bakersfield'.'; and CALIFORNIA WATER SERVICE COMPANY, a California corporation, Second Party, here- inaft'er sometimes referred to as "California", W I T NE S SETH: WHEREAS, the parties hereto are each engaged in the supply of water in the City of Bakersfield:i~ contiguous service areas; and WHEREAS, each party has its own water supply and under usual and ordinary operating cond'itions neither party would have occasion to purchase water from the other party; and WHEREAS, in view of possible emergency or disaster Of a military nature or otherwise, the parties believe it is a wise precaution to arrange for an interconnection of the Fair- haven water system of Bakersfield with the water system in the Bakersfield District of California to the end that water can be supplied by either party to the other party upon a limited and emergency basis; NOW, THEREFORE, for and in consideration of the premises and of the provisions herein contained, it ii agreed as follows: 1. The water system of Bakersfield-will be connected Zo the Bakersfield District water system of California at Gilmore Avenue east of Highway 99 Freeway in the City of Bakers- £iel'd. The interconnection will consist o£ a 12-inch pipe with ~an 8-inch mete~ that may be readilY, adjusted to the 'direction 'of water flow. The'conne~ti'on to the main of California will be made by California at 'the expense o£ Bakers£iel'd.including the cost o£ the meter. 2. In the event.either party shall require supple- mental water £or a limited period ~£time due to war, civil disaster,' or a £ailure o£ water supply due to power £ailure~ mechanical £ailure o£ alpump' or meter or switchgear or the temporary sanding o£ a well or a pipe break, or other emergency, such party shall have the right' to obtain ~ater f~om the other party on two hourst notice and to the extent the supplying party is able to provide such water in view o£ its.circumstances and demands at that time. Nothing herein shall be deemed to constitute a dedication o£ the ~ater supply o£ either part~ to service the territory o£ the other party or to constitute a commitment to supplx water to the other par~¥ as a regular customer. The obligation to Supply water hereunder is limited to surplus water above and beyond that required to service the needs of the supplying party's regular customers and to a rea- sonable, period of time to permit the party being supplied to effect repairs to its own sources. $. 'To compensate the party supplying water 'hereunder for its costs of operation, any par~receiving water shall pay to the supplying party £or all water delivered in accordance withthe supplying party's then effective regular tariff schedule, charges to be made only for months in which water is actuality -2- .deligered,'such'payment to be made Within ten (10)' days after rec4ipt of a bill. The 'amount of water 'delivered shall be estimated if conditions do not permit metered measurement.,', 4. This agreement shall continue in effect until terminated bY either party upon not less than ninety (90) days' written notice to the other. 5. Any notice which it is herein provided 'may or shall be given by either party to the other shall be delivered to the party to whom such notice is given at the following re- spective addresses: City of Bakersfield 1SO1 Truxtun Avenue Bakersfield, CA 93501 ' Attn: City Manager California Water Service Company 1720 North First Street San Jose, CA Either party by notice given as hereinbefore provided may change the address to which notice shall thereafter be delivered. §. This agreement shall be subject to approval of the Public Utilities Commission of the State of California and shall at all times be subject to such changes or modifications as said Commission may £rom time to time direct in the exercise of its jurisdication. -5- IN WITN~.SS WHHREOF, the parties hereto have executed this agreement in duplicate as of the day and year first above written. CITY OF BAKERSFIELD CALIFORNIA ~ATER SERVICE COMPANY lis Mayor Its' Vice Pr.es-ident By ,,, By,. ' ...... Its CiYy M'anager Its Secretary ApProved as to Form .City Attorney First Party Second Party -4- FORN P6.A M EM ORA N D U M April 22, 1981 FROM ~. ........ Gene Bo.g.a_rt ~ ........ - .............................. SUBJECT '1981-1982 _.A~k.r_i..c_h~_ltural Water EnteT_prise Bu..dget .......... *." ' Attached foE your information and review is the proposed 1981-1982 '" Agricultural Water Enterprise Budget. This year the budget consists of 3 major components that will require three separate actions by the Water Board and confirmation by the City Council. These components are as follows: 1.~ 1981-1982 "OPERATIONS and CAPITAL OUTLAY BUDGET." Attached to the operations budget is a schedule showing the source ..... of estimated 1981-1982 revenues and a summary explanation of I~' ' ........ ~'" the cost centers associated with the operating budget. As you can see from the attached budget, the 1981-1982 fiscal year is estimated to be deficient ($86,790) due 'to the fore- casted low water supply yield. These low-income below-normal water years were anticipated when the original water rights acquisition was ma/de by the City. Since 1977, sufficient re- serve funds have been accumulated to meet the estimated 1981- 1982 deficiency. The formalization of this reserve account is explained in item #3 below. 2. "1981 WATER PRICE & SAND SALE SCHEDULE" recommended for approval ~which would remain in effect until water supply conditions warrant adjustment of these prices. 3. Establishment of a "GENERAL FINANCIAL RESERVE ACCOUNT" within .~. the Agricultural Water Enterprise function 60 provide funding ~ during dry year, low income periods; and to provide a contin- ~ gency fund for emergencies and/or natural disasters. A sum- mary explanation of the General Financial Reserve and a recon- --ciliation of the Agricultural Water Enterprise function 1977 ~ through June 1982 is attached for review. GB:ss attachment s xc: Phil Kelmar W. D. Higginbotham CITY OF BAKERSFIELD AGRICULTURAL WATER ENTERPRISE Estimated Revenues and Expenses For the Period 07/01/81 to 06/30/82 Estimated Actual Current Fiscal Year Fiscal Year OPERATING BUDGET 1980-1981 1981-1982 Revenues From Operations ................................... $2,384,330 $2,175,300 Operating Expenses Field Expenses: Wages and Employee Benefits ............. $ 472,990 $ 529,750 U. S. Corps of Engineers O &'~' ~'~a~eiia' .. i. ~ ~ 30,250 30,250 Maintenance Expense ' 96 330 80 000 Weed Control ............................................. 24,480 25,000 Charges From Vehicle Pool ............................ 155~040 183,300 Charges From General Services Department ...i . i~ ..... ~ 3,230 3,500 Expenses Reimbursed-Clearing Accounts (Joint Facilities).. (92,.500) (90,000) Total Field Expenses ................................. $ 689,820 $ 761,800 Administrative Expenses: Consultants - Engineering and Attorney ................... $ 112,000 $ 115,000 Department of Water Resources - Snow Survey .............. 4,020 4,450 'U S B R Contract Administration 550 550 Self Insurance - Liability & Property Damage Reserve ..... 25,880 27,200 Charges From Administrative Departments .................. 7,200 7,800 Field Office - Rents & Related Expenses .................. 35,550 39,500 Property, In Lieu & Possessory Interest Taxes ............ 33,200 33,SO0 Cloud Seeding Participation .............................. 21,5S0 2S,000 Kern River Investigations (Power Filings, Entitlements, etc.) 10,200 12,000 Misc. General Expense (Assoc. Dues, Security, etc.) ...... . 34,600 38,000 Total~A~ministr~tiveExpenses ........................ $ 284,750 $ 303,000 Net Operating Income Before Depreciatiom ................... $1,409,760 $1,110,500 Depreciation ................... . .......................... (140,000) (148,000) Net Operating Income (Loss) ...... .':. ......................... $1,269,760 $ 962,S00 Non-Operating Expenses 1976 Wat nds I !: $ 802 790 $ 788 240 er Bo - nterest .... ~ .......................... , , 1976 Water Bonds - Principal .... .......................... 235,000 250,000 1965 NKWSD - Isabella Bonds - Interest & Fees ............ 29,600 28,150 1965 NKWSD - Isabella Bonds - Principal .~ ................ 36,250 37,500 Less: Amortization of Bond Premium ...................... (1,100) (1,100) Less: Rental of Isabella-Storage Space .................. (78,800) (53,500) Total Non-Operating Expenses $1,023,740 $1,049,290 Net Income (Loss) Before Capital Transfers ................. $ 246,020 $ (86,790) 1) Repayment of Organization Acquisition Cost ........... 90,000 ~ 1) Transfer to Capital Improvement Budget ............... 156,020 ~ NET INCOME (LOSS) ............................... .. $ M $ (86,790) 1) Repayment and transfer to capital improvement budget are predicated upon receipt of estimated revenues during fiscal year. .. Page Two CITY O~ BAKERSFIELD AGRICULTURAL WATBR ENTBRPRISE Estimated Revenues For the Period 07/01/81 to 06/30/82 Estimated Actual Current Fiscal Year Fiscal Year 1980-1981 1981-1982 Sales to Five (5) Major Districts ........ $1,430,330 $1,416,000 Kern River Canal & Irrigating Co. Sales.. 104,775 110,500 Lake Ming Agreement (County of Kern) .... 4,700 4,700 Oilfield Discharge ...................... 11,800 12,600 Annual Pumping Agreements ............... 4,100 4,200 Temporary Pumping Agreements ............ 800 1,000 Borrow-Payback Exchange Fee ............. 0 158,100 Miscellaneous Irrigation Water Sales .... 529,900 83,200 Non-Kern River Water Sales .............. 22,000 52,000 Groundwater Sales ..................... ]. 100,000 1i8,000 Sand Sales ............................... 15',925 25,000 Interest Income ......................... 160,000 190;000 TOTAL Estimated Revenues .......... $2,384,330' $2,175,300 Page Three CITY OF BAKERSFIELD AGRICULTURAL WATER ENTERPRISE Capital Outlay program For The Period 07-01-80 to 06-30-82 Fiscal Year 1981-1982 Source of Funds ~ Water Revenues in excess of 1981-1982 Budget estimate ..... $690,000 Proposed Applicatipn..o? Funds 1) Replacement of Carrier Weir 18-0-507 (F.S.A.) .......... $190,000 2) Construction of River Canal Spillway @ P.T.O ........... 9S,000 3) Improvements to Kern River Canal [ Irrigating Company Laterals .................................. 25,000 4) New ~ Replacement Fencing on Carrier and River Canal ... 85,000 S) 2800 Acre Basin and River Bed~Properties Improvements .. 175,000 6) Public Works storm drain construction projects ......... 120,000 TOTAL CAPITAL EXPENDITURES 1981-1982 .................. $690,000 Actual Construction is predicated upon receipt of revenues in excess of 1981-1982 budget. Page Four CITY OF BAKERSFIELD AGRICULTURAL WATER ENTERPRISE Explanation of Operating Expenses For Current Fiscal Year Wages & Employee Benefits Based on present staff size with allowance for increment step raises and. temporary help when required. U.S. Corps of Engineers O & M - Lake Isabella This expense is based on the actual operations and maintenance charges reevaluated every five years. For the period 1979-1983 City's share of the annual charge will be $30,250. Maintenance Expense Those expenses included are for specialized equipment such as; gradalls, draglines, etc., also includes steel, weir boards and other contract expenses and materials incurred for maintenance. Weed..-Contr. ol Annual charges made for herbicides and other chemicals, contract labor and equipment used to control weed growth on ditch banks and canal right- of-ways. Charges From Vehicle Pool This figure represents the rental costs as charged by the equipment division of Public Works for fueling, maintenance and replacement of Agricultural Water vehicI~s and heavy equipment. Charges. From General SerPices Department Charges incurred for metal fabrication, machine'work and carpentry for various construction projects. Includes labor and materials. Expenses Reimbursed - Clearing Accounts (Joint Facilities) Moneys collected from other water districts for their proportionate share of labor and equipment costs incurred for recordkeeping and the operation and maintenance of jointly owned facilities. Consultants - Engineering & Attorney Fees Expenses incurred for technical and professional assistance provided by water attorney and engineering firms. Department of Water Resources - Snow Survey This expense covers City's share of the California Cooperative Snow Surveys Program in cooperation with other Kern River interests to fore- cast water supplies. Page Five U.S.B.R. - Contract Administration Under existing agreements, the City is responsible for 34% of the annual charge of the Bureau for administrating the Isabella Reservoir contract. Self Insurance - Liability & Property Damage Reserve This covers Agricultural Water Enterprise premium share for self-insured costs as quoted by Finance Department. ~harges From Administrative Departments These are charges made by other departments, such as; Data Processing, Finance, Personnel, etc. Field Office - Rents & Related Expenses This includes expenses for rents of office space and equipment, maint- enance for communication equipment, office supplies, utilities, etc. Property, In Lieu and Possessory Interest Taxes Taxes for real property and facilities operated by the Agricultural Water Enterprise and those Possessory Interest Taxes associated with Storage Rights at Lake Isabella. Cloud Seeding Participation -:-'-- ......... ~-ity¥'~-"~--~-ann~'a~'~-o~s associated with cloud seeding operations on Kern River Water Shed. Kern River Investigations (Power Filings, Entitlements, etc.) Those specific items in which City has pursued investigations to pre- serve and protect it's Kern River operations a~.d entitlement structure. Miscellaneous General Expenses Charges included are dues to.organizations, literature, professional security agencies, travel expenses for out-of-town meetings, training programs, etc. Depreciation A schedule of depreciation was established on December 22, 1976 based upon the estimated life and replacement value of those physical assets acquired from Tenneco West, Inc. This depreciation schedule will change as new capital assets are added and others are deleted from asset inventory. 1976 Water Bonds General obligation bonds issued for purchase of Kern River Water Rights and physical assets. There are two payments due annually, aprimc~lcand interest payment due on December 15 and a single interest payment due June 15. 1965 N.K.W.S.D. Bonds City's 50% share of the 1965 bonds issued for purchase of conservation storage space at Isabella Reservoir. There is a principal and interest payment due in January and an interest payment due in July.. AGRICULT ~RAL WATER ENTERPRISE 1981 WATER ~RICE & SAND SALE SCHEDULE The following recommend d water prices reflect the current, below- normal water supply conditio~ s of the lower San Joaquin Valley. Of the seven (7) water price ca ~agories shown below, items 3, 5 and 7 are established by existing contracts, with items 5 and 7 escalated by the "Ail Commodities" index.annually. The water prices for items 1 and 2 are dependent upon time of. year and water supPly conditions. The reco~lended water rates for Catagories 1, 2, 4 and 6 would take effect May 1, 1981 and would remain~ in effect until water supply conditions warranted changes or adjustments to these prices. For information and reference, the 1979 and 1980 schedule for surface water sales is showni for comparison: !, PRICE PER ACRE FOOT ~, Prices Effective Actual 1979 Actual 1980 May 1, 1981 TYPE OF WATER ~ (95% of Normal (225% of Normal (72% of Normal Water Year). Water Year) Water Year) l) Miscellaneous Kern River Water .. $20.00 $12.18 $25.00 sold for surface irrigation " March-September 2) Miscellaneous Kern River Water .. $12.18 $12.18 $13.56 sold for surface irrigation October- February 3) Basic Contract Water ......... ~... $20.00 $20.00 $20.00 (price set by contract) ~ 4) City non-Kern River Water Sales~ .. $12.00 $12.00 $20.00 (Oil field Discharge,. etc. ) ~ 5) City "Borrow/Payback" Water ...i. · $11.45 $14.21 $15.81 (price set by contract) 6) Kern River Canal and Irr. Co ..... $12.'00 $12.00 $14.40 (includes 30% Sale to North Kern W.S.D.) '~ 7) Miscellaneous Water that would .. $7.04 = $8.12 $9.04 otherwise be used by City for groundwater replenishment. (price set by contract) For temporary pumping al reements (from canal or river facilities), Annual Pumping Agreements an. Sand Removal Sales from the Kern River primary flood channel (owned by the City), the following rates are recommended and would remain in effect until conditions warranted changes or adjustments. ITEM PRICE 1) Temporary Pumping Agreements .~? ....................... $40.00 per day (from canal and/or River facilities) 2) Annual Pumping Agreements: !i 0 - 2 loads per week .................... $200.00 (minimum charge) 3 - 5 loads per week .................... $300.00 6 - 8 loads per week .................... $400.00 greater than 8 loads per week ........... $500.00 (or greater, depend- !ng upon volume) 3) Sand Removal Sales ............. i~ ...................... $1.00 per cubic yard (plus sales tax when applicable) AGRICULTURAL WATER ENTERPRISE ESTABLISHIVIENT OF "GEN~&L FINANCIAL RESERVE ACOD[Nr" Now that the City has had four years experience in the operations, maint- enance and financial obligations associated with the Agricultural Water Enter- prise function, it appears necessary at this time to establish a "General Financial Reserve" that would insure and protect the City from ever having to use general funds of the City to support the Water Enterprise operations. 1his was a promise that was made to the voters when they supported the General Obligation Bonds for the acquisition of Kern River water rights and properties in 1976. This financial Reserve could be established from Agricultural Water revenues accrued during above-normal water years and would be held in reserve for only the following purposes: 1. Provide an Agricultural Water fund that could be used to cover operating and maintenance expenses during dry years when ~ter revenues are minimal. 2. Provide an emergency reserve for unscheduled major maintenance for such items as canal breaks, pipeline failures, weir failures, etc. 3. Provide a contingency to restore water coveyance facilities in the event of natural diaster, rainflood, earthquakes, etc. Because of the liability and loss in revenues that could occur due to a loss of facilities, it would be imperative to restore service and facilities as soon as possible. In researching local Water Districts with similar operating responsibil- ities, it was found that 25% to 30% of the annual operating budget has been set aside for this General Reserve fund. As it relates to the City's Agri- cultural Water Enterprise operations, this would mean an amount of approxi- mately $500,000 should be set aside to create this General Financial Reserve Account. With this information it is now recommended that this contingency account be created, to be used only for the above mentioned purposes, with a current ceiling amount of this fund to be established at $500,000. ~his amount would be adjusted annually to reflect the effects of inflation. ~his will require action in addition to the acceptance of the 1981-1982 operating budget. Attached for your information is an updated reconciliation of the Agri- cultural Water Enterprise showing that $299,452 is estimated to be available on June 30, 1982 for the .General Financial Reserve account explained above. AGRICULTURAL WATER ENTERPRISE FINANCIAL RECONCILIATION Cash & Accounts Receivable As of 06-30-80 ........ ii .............................. $2,043,227 i: 156,020 Estimated Net Income 1980-1981 ........ ~: ...........' . Estimated Ag. Water Capital Improvement Expenditures 1980-1981 .............. (393,880) Estimated Cash & Receivables As of 06- ii $1 805,367 30 -81 ...... ! ........................... , Estimated Net Loss 1981-1982 ........... ~ .... ' '.' ' . . (86,790) Estimated Public Works Capital Projects-Outla~ From Ag. Water Enterprise in 1981-1982 for construction of Interim Waste! Water Facilities at Treatment Plant No. 3 (By Council action Marc~ 25, 1981) .................... (200,000) Estimated Cash & Receivables As of 06-30-82 .................... $1 518 577 Ag Water Capital Budget Items Approved during ~;;i;~ ~:~:~ ~;~ ' ' 06-30-81 But Not Yet Constructed (This amount is in addition to $393,880 shown above for 1980-1981 expenditures.) .......................... (1,219,125) Hnencumbered Contingency Reserve For~Emergencies, : ~nscheduled Major Maintenance and Operational Reserve For Dry-Year (Low Income) Operations Estimated To Be G On Hand 06-30-82 .............................. ~ .............................. $ 299,452 unencumbered funds estimated be hand of 06-30-~82 These currentl ~ are to on as and would be available to begin the establishment of "General Financial Reserve" account explained on previous page. ORDINANCE NO. NEW SERIES AN ORDINANCE OF THE COUNCIL OF THE CITY OF BAKERSFIELD ADDING CHAPTER 1.48 TO THE MUNICIPAL CODE ESTABLISHING AND ADOPTING RULES FOR THE OPERATION.OF THE CITY'S WATER SYSTEM IN THE FAIRHAVEN WATER SERVICE AREA, AMENDING CHAPTER 1.~46 BY ADDING SECTION 1.46.020D, AND AMENDING SECTIONS 1.46.1'20, ~l.46.150A(.2)a., AND 1.46.150B., RELATIVE TO OPERATIONAL RULES FOR ASHE WATER SERVICE AREA. BE IT ORDAINED by the Council of the City of Bakersfield as follows: SECTION 1'. There is hereby added to the Bakersfield Municipal Code Chapter 1.48 to read as follows: .Chapter 1.48 ESTABLISHMENT AND OPERATIONAL RULES - FAIRHAVEN WATER SERVICE AREA Sections: 1.48.010 Establishment of Fairhaven Water Service Area 1.48.020 Application of Chapter 1.46'to Fairhaven Water Service Area 1.48.030 Excess Capacity Assessment Credit 1.48.010 Establishment of Fairhaven 'Water Service Area. There is hereby established 'the Fairhaven Water Service Area, the boundaries and service area of which shall be as determined by the Council by resolution, which resolution may be amended from time to time. 1.48.020 Application of Chapter 1.46 to Fairhaven Water Service Area. The operation'al rules set forth in Chapter 1.46 of the Bakersfield Municipal Code, except for the provisions of subsections A.(1)b., A(2)c., A.(3)c., A.(4)c., A.(5)c., A.(5)d., A.(6), B.(1)a., B. (1)b., S(1)c., B. (2.)a., B. (2)b., B. ~2)c., B. (2)d., S. (2)e., B. (3), and C. of Section 1.46.140, of subsection A. (1)a. of Section 1.46.150~ and as otherwise provided in this Chapter, as said Chapter may be amended from time to time, apply to the operation of the Fairhaven Water Service'Area. 1.48.030 Excess Capacity Assessment Credits. The City shall make payments to the bond redemption fund of a portion of any con- nection fees charged by the City or any other~funds to provide partial payment of assessments as'they come due, in an amount not to exceed Seven Hundred Forty-three Thousand Dollars ($743,000) as off~et for the cost of constructing excess capacity in the water distribution syste~ for future expansion and acquisition of the portion of said system with the boundaries of the City, consistent with the provisions of Section 1020~ of the California Streets and Highways Code. SECTION 2. Section 1.46.020 of the Bakersfield Municipal Code is hereby amended by adding subsection D to read as'follows: 1.46.020 Description of Service. D. Non-liability. The City shall not'be liable for injury or damage to either persons or property resulting from failure to supply either adequate quantity,· quality, or pressure of the water supplied pursuant to these rules or pursuant to ahy contract hereunder. Acceptance of service by any customer shall Constitute waiver of such liability. SECTION 3. Section 1.46.120 of the Bakersfield Municipal Code is hereby amended to read as follows: 1.46.120 Rates and Charges. A. Effective Rates. A complete schedule of all effective rates authorized to be charge~ for water service shall be kept in the.City's local offices where they will be available for public inspection. B. Availability Rates and Charges. -The City Council, by~resoluti0n, shall establish avail- ability (stand-by) fees and charges for water service facilities fo~ all areas except those described in Exhibit C-1 of the City Agreement No. 76-36, which fees and charges are hereby declared to be necessary to compensate the City for the expense incurred in furnishing source, storage, and water distribution facilities, and related' capital project expenses, including but not' limited to costs of acquisition and financing and 'necessary costs of tion, maintenance, replacement, improvement and extension of the water system. SECTION 4. .Section 1.46.150A. (2)a. of' the Bakersfield-Munic±ca!.C~'~= is hereby amended to read as follows: 1.46.150 Service Connections, Meters and Customers' Faci!Lti~. A. Installation. (2) Meters. a. Meters, where authorized, will be installed by the City at the customer's.expense, unless otherwise provided in the rules and schedule of rates. SECTION 5.~ Section 1.46 150B of ~'~ Bakersfield ~-'-~~ ~ ~ hereby amended to read as follows: 1.46.150 Service Connections, Meters and Customers' F~ci!it±.e~ B. Ownership. The service connections, meters, and other ~--~r~ furnished by the City at the customer's expense' and located wholly or partially upon a customer's premises are and shall remain the property of the City., which has the right to repair, re~lace and remove upon discontinuance of service. SECTION 6. This ordinance shall be posted, i~ accordance with the City Charter provisions and shall become effective thirty (30) days from and .after the date of its passage. o0o ....... ~-- 3. I HEREBY CERTIFY that the foregoing Ordinance was passed and adopted by the Council of the City of Bakersfield at a regular m~eting thereof held on the day of , 1981, by the following vote: /S/ Philip Kelmar CITY CLERK and Ex Officio Clerk of the Council of the City of Bakersfield APPROVED this day of , 1981 /S/ Mary K Shel_ MAYOR of the City of Bakersfield APPROVED as to form: /~/ Richard J. '0berhoizer CITY ATTORNEY of the City of Bakersfield CITY OF BAKEI1SFIELD R^TE OF SgIIEDUI,E ' FAIRII^¥EN W^TI~R DIVISION General Meter Service First 300,000 cu. ft. '' per 100 cu. ft. $0.420 Ail over 300,000 cu. ft. per 100 cu. ft. 0.350 Service Charge (pcr meter per month) 5/8" x 3/4" meter $5 45 3/4" meter S 99 1" meter 8.18 1-1/2" meter 10 89 2" meter 14.70 3" meter 26.53 _ 4" meter 36.09 6" meter 59.96 8" meter 89.14 AGREEMENT THIS AGREEMENT, made and entered into this day of ., 19__, by and between the person o.r persolls listed in paragraplt 1 hereof, hereinaf*.cr collectively referred to ::ts "Develepcr." and CIq'Y OF BAKERSFIELD, a mm:i. cipal corpo:'ation, hereinafter 'referred 'to as "City". · I~ ! T N E S'$ E 1' ti: i~I'iEREA5; The D(:¥,:loper is developing that ~-crtain subdivision of real property situate, lying and being in thc County of Kern, State of California, which-is know'as Tract or Parcot Map N/A located' within the Senti: half of the West half of thc Northwest quarter of Section 26: To~mship 29S., Range 27E., containing twenty-nine (29) acres more or less in accordance with thc Ker~t County A:;sessor~s parcel numbers 332-250-20, 532-230-21 and 332-250-22~ or the ~al) l.bereof filed in the Office of thc Cour, ty Recorder of said County' on the N/A ' day of , .2 in Volume of btaps ut Page __ and , and which is hereinafter referred 'to as thc "~;ubdivisiort" and ~IERkL-~S, Developer is no;,,' selling or i~roposes in tho near future tc sell lets or develop in the Subdivl..;ion :-~mi,/or P:-:rcel Map and to this end desires to have water service availabh: in the subdiv.isio...'~ and/or Parcel through' and by paeans of mains ann appurtenances,' and by services (including service pipes, fittings, gates and .housings thereof and,meter boxes), herein- afte'r referred-to-as the "Facilities," to be installed therein substantially as shown on that certain map prepared by Kern. County Assessor.s Office or Developer attached hereto, marked Exhibit "A" and by this reference made a part hereof; and " WHEREAS, the installation of the Facilities and furnishing of water service by means thereof are necessary and valuable adjuncts to the sale of lots in thc Subdivision., n~:d will materially increase the value of said Lot~; and I~'}iEiiEAS, u~on the terns and conditions herein set forth, Dcv- c.;e~)ex' is wiilin~ ~o insiall thc Pacil[.t'~c,s, or c:.:~.t.,:~ ?he same t'~ [,o instal[ed, at ~.t:~ o~,n expense, all in accordance ~,'ith the provisi:~2s her~'inr~fter set forth; and " ~,;unic[k,:~l tVater S;:stom, which z:m provi:i~2 both g.omc>3tic r;n', ~:~.~'..' NOIr, TIII.~III~FO{(}[~ for ar, d i.n con:,~deratio:[ of ti,,:: 1)rc{:~[:;r~,.; an,! is ag;etd as follows, to wit: 1. ..D. cv¢.loi>e.~i. "he: nm,~es, :~ddrcsse:.; :m,t ,.lc.','i.'ipt 'c.',':s o£ ~.:.,.:~ p,':r£:on herein coilectivcly rc:',,t~',,4 to (is "t.~c',.',:loFc,." ur,.': ;i.~; fc,[l r,.::- Lunn Production P.O. Box 10578 Service Santa Ana, CA 92711 '". .. . ~Ollc,!.[lti,3 hercina/~c,:-~(:t of .the Fairhaven Division of ~ C~ty,of ~a,,e,.sf~eld ~.lun~.clpa] I~ater 37stem, and to provide Domestic lqater anc~ .'ire Prot,~ct. ion :;crvica under thc prevailin}, ~'tt~r rate which ~iay be changed 6:m' ti~::c to ti,l~e ns the C'[t7 sees fi.t. -2- 5. The Developer herein agrees to deposit with City a Developer's "fee of Fifteen Hundred Dollars {$1,____500.00) per acre, which amounts to $43,$00 more or less for the developers sub~.~s-cn of ....... nine r~ .... - less. Said deposit 'to be made within sixty (60) days of this agrec:.;ent. 4. Enqineering and Inscection Fee. City's cost relative tc pre- paring or reviewing plans, specifications and cost estimates for' the Pacititi::s is $ , (to be determined at the time of ~.lainline in~;talla, ti.:.n) or four percent (4%) of blainline install, orion costs and City's cost in supervising and inspegting installation of tl'~e Facilities is $ (to be determined at the time of ~,Iainlin¢ installation) or four percent (41) of ~,lainline ~nstallation costs. City hereby ackno~,'ledges receipt from Develbper of $ , (to'be determined at the time.of :qainline installa~.,.,.', representing the total of said costs. Upon complFtion of installation ef ti~e Facilities, City will connect, or cause to be connected, the same to its cxis;- lng mains and submit a statement of tile cost thereof to Developer, wl~ich sum Developer agrees to pay promptly to City. ~,' S. Installation of Facilities. {a) Developer agrees to install the Facilities, or cause the (to be determined at the s~e to be installed, at its o~m expense on or b&fore time of 5lainline~tallation) 19 . The Facilities shall be installed strictly in accordance with the specificatipns attached hereto, marked Exhibit "B" and by this reference made a part hereof, and the installation thereof shall k:e subject to t~e approval of City in all respects. Tl~e Facilities shall be installed by Developer or by a contractor, hereinafter referred to as "said contractor," .selected b7 Developer. (b) Installation of the Facilities shall be subject to the inspection and approval in all respects. (c) Title to the Facilities shall vest in Cit7 ~n.accordance with the provisions of paragraph 7 hereof. (d) De.veloper agrees to reimburse City upon demand for the cost to City of all replacements and repairs to the Facilities made necessary ~ithin one year f~om 'Completion of installation thereof by reason of defective materials or worlunansltip. City's acceptance of the Facilities, as provided -in pgragraph 7 hereof, shall under no circumstances be deemed, to constitute ".proval of such materials and ~orkmanship for purposes of the preceding 3enxer~ce. (e) The Developer agrees to provide utility easements' for all water mains and other facilities required pursuant to the terms of this agr,~e- mont. Tltcse casements shall be granted to the City for the operation, . ...... anco, and repla~:emenr of the ~,'ater facilities. ' 6. 'Indemnit>2; Insurance (a) City shall not be responsible or held liabte in any whatsoever for any injury or damage which may be done t, any person or property in the course of installation of the facilities by or on behalf of Developer which may result from such installation, and Developer agrees fo indcnmif}' City and hold free, safe and harmless of, fro~a and against any and al'l liability for the death of, or injury to, an7 person and for the loss of, or damage to, any propert7 ~hich may result from such installation, and Developer further agrees to rei~aburse City upon demand for ali costs and expenses hhich City may incur in resisting any claim ~'hich may be made against City for any such injury or d~age to any person or property. Developer expressly agrees that the agree- ments contained in this paragraph shall survive the performance of the re:nainder of this agreement and shall remain in full force and effect not~ithstanding such performance. Developer further agrees that during the period beginning v:ith the comencement 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 Developer or said contractor (if the Facilities are be installed by said contractor) without cost or expenpe tO City: (i) Bodil)' injury liability insur~ce with limits of not less than Three Hundred Thousand Dollars ($300,000.00) per person ~d Five Hundred Thousand Dollars ($500,000.00) per occurrence and (ii) property damage insurance wit~ a limit of not less than ~e H~dred Thousand Dollars ($100,000.0'0) per accident, insuring City against ~y and all liability for the death of or injury to any person ~d for the loss of or d~age to any property, re, spectivel7, which may arise by reason of acts done~ or omitted to bo done in the course of installation of the Facilities or which may result frdm such installation, .. and further insuring City a.g:,~inst all costs and expenses incurred by City in resisting any claim which may be made against City for any such injt~ry or damage to any person or property. Eaci~ su~:h poJ'icy (A) shall be issued by an i~surance company..approred in writii'~g by City, which ik qualified to do and doing business in thc St&re of Ca!l {B) shall n~e City'-as an additional insurg~,' (C) Shall specify 'that it acts as primary ip, surance and that no insurance effected by City shall be ca!led upon to cover a loss under the policy so-procured by Developer, provide that the policy shall not be cancelled or altered without thirty (30) days' prior written notice to City and (E) shall otherwise be'in fo~ s~tis- fqctory to City. Each such policy or a certificate thereof shall' be delivered to the City Finance Operations ~lanagcr concurrently with execution of this agrc~cn:cnt. {b) ~ endorsement or a certificate thereof to the workmen's compensation insurance policy.of Developer or said contractor (if thc 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 She Facilities shall be delivered to City concurrently with execution of this agreement. Said endorsement shall pro- vide that it shall not be cancelled or.altered without thirty (30) days' prior ~ritten notice to City, 7. Title to Facilities. Title to each part or portion of the Facilities shall pass to City forthwith as eacli such part of portion thereof shall be installed regardless of whether the same shall be installed by Developer or ~aid contractor and regardless of whether the s~e shall be attached to the bal~ce 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 a~ being in,tailed in accord~ce with said specifications., Exhibit "B" hereto. Such accept~c~ may only be effected by appropriate written notice from City to Developer. Developer warrants that upon such passage of title, the title shall be free ~d clear of and from any ~d all liens, Charges and encumbrances whatsoever.. streets whose grades have not been brought to those established by public autl,.ority prior to acceptance by City, Developer, upon written notice l:'v Cit:.,, shall deposit with' Cit)' forthwith the estimated cost, ag.determined by City, of relocating, raising or lo;:,eri'n,2 the Facilities, which deposit shal] be.m:~de with.in tl:e (10) da)' after city' has ascertained such actual cost. 'The net deposit representing actual cost shall not be subject to refund. City shall refund the entire deposit relating to such proposed relocations, raising or 'lowering when appropriate auth6rity determines that such displacements are not required. 9. Develope'~"s_ Bon~. Concurrently. with execution of this agree- ment Developer shall deliver to City a surety bond in the aggregate amount of $ , (to be determined at tl~e time of blainline installation) 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 quaranteeing unto City (a) the performance by Applicant and said contractor of all the obligations contracted to be performed hereunder, (b) installation of the Facilities in accordance with the provisions hereof, (c) vesting in City of title to the Facilities in accordance with the provisions hereof, (d) reimbursement of 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 (e) payment in full by Developer or said contractor of th.e claims of.all persons performing labor upon or furnishing material or power to be used in the Facilities. 10. City's Right to Offset. In the event Developer shall become entitled to a refund under the provisions of paragraph 8 of this agreement, City shall have the right at such time to offset: against the amount then due Developer hereunder the' total amount of any indebtedness then due or owing by Developer to City. , 11. Non-Construction of Facilities.. Notwith$.tandinq any other- .provisions of this agreement, should the water distribution system to be con- -6. ' structed anti acquired by the. City, which system is to be knmtn as the Fairhavcn Division of the City of Bakersfield ~.lunicipal Water oyst~m, not be complete3, so as to make performance hereunder by tl-~e city impracticable, the. City'S res~o~:si- bility and liability pursuant to this aereement sha].l be limited to a refund of any monies or release, of an:.' bonds theretofore provided the City by the Dcvelol.~er, less such expenses as thc. t.~.~; may have in good faith incurred in prei)ari~u~ to perform under this agreement. The Dev.eioper ex. pressly accel)tS responsib.ility for providing Domestic and Fire Protection Water to any parcels sold by the Developer to any third party in the event the City's performance of thiz agreement becon:es impracticable under the terms of thio paragraph. 12. Notices. An)' notice which it is herein provided may or simll be given by either part)' to the 'other shall be deemed to have been duly given when deposited in the United States mail, registered.or certified, postage prepaid and addressed to the party to whom such notice i§ given at the following respec- tive addresses: To Applicant: Lunn' Production Service P.O. 'Box 10378 Santa Ana, CA 92711 To City: City of Bakersfield 'City Hall Attn: Domestic Water Superintendent 1SO1 Truxtun Avenue Bakersfield, CA 93301 Either party, by notice given as hereinbefore.provided, maYchange the address to which notice shall thereafter be addressed. ~ 15. Successors and Assigns. The provisions of this agreement shall inure to the benefit of and shall bind the r~spective heirs, executors, admin- istrators, successors and assigns of the parties hereto. 14. Jurisdiction of City.. This agreement, except for refund pro- visions, shall at ali times be subject to such'changes.or modifications by the City of Bakersfield as said City ma>'. from tine to time direct in the exercise of its jurisdiction. : ~ IN WITItNESS WIIER[OI:, l;ffe parCie.s hereto have. executed Chis A~reement in duplicate the day an~ year first-above written. , . CITY 07 [~AKEP. SFIELD MAYOR Cll'Y I:I.:]RK APPROVED AS TO FORM' CITY Ai'TORNEY" DIRECTOR OF PUBLIC WORKS COUNTERS I GNED: ASS ISI'ANT CITY HANAGER-FINANCE DEVELOPER LUNN PRODUCTION SERVICE Tim 'R.' McPherson DJ -, ':23 wv2 O? NW!/4 OF' SEC. 2": = ~'-~ -'. ~ ~ 2 9 S. R. 27 E SCHOOL DIST.70:4 "':~" '" ' ' - =:'~~Z ~"' --' KO- 09. .. >:~X_ ':' ~ .-, k: . '7, "'" "~ _ ,..,,.-.-~ . ,.... ~-[ i;2 2.~-/ ~C. ~ ? 74. ~ 2~ 12 -f ..... 4,-'~' , , ~.-,C. . ~.; :",:.'~ ', : :C'2'_ ',., t, It 2 .' ic, 7~ 40 I ~ ~ ',- " ~'~ i 93& 40 . , . ~ ....Z~ ~-' i~ ~':~ ~, .z .... ~ 55a. 50, ._~_~ ....... ~._. ~ ..... .~r ," i:,~ ,s ~ ,~; fl'''~/ 10.95~C . ~ · ~,...'r,~ i'- Z / z..% ..... ~ ....... : _Z___:' ,Z_J ~. - '~; ~., - it': ...... ~-. · ~ "' 34~MR ~ i ( 5 .,. ~ "' , ,,.~j ~ ' ~, '~'"' "'" ' ~qSES.,~;,S HAP NO. 332-23. · CITY O F BAKERS FIELD .. · SPECIFiCATIOHS FOR WATER M, AII'I EXTENSIONS I. EX-GAVA.TION. TRENCHING.AND BACKFILLING FOR WATER LINES A.., SCOI~E ' This section covers the furnishing of labor and equipment for excavation, ~renching, backfilling and all other earthwork operations ,req~lired to complete the installation of w&ter lines and appurtenances, as indicated on the drawings and herein specified B. EXCAVATION AND TRENCHING a. General. Excavation and trenching shall include the removal of all water and all'materials or obstructions of any nature that interfere with the execution of the work. Unless otherwise indicated on the drawings, excavation for the construction of pipe hnes shall be open trench. Sides of trenches shall be as nearly vertical as pracfic~.ole. The Contractor may use tunnelir~g where open trench excavation is indicated on the drawings, onb' after wr:t:er~ permission has been obtained from the Engineer. b. Width of Trench. The width of trench for all pipe shall provide a minimum of 6 inches clear between the outer surface of tho pipe and the side of the excavation, except pipe 6 inches or smaller in diameter snail h~ve a minimum trench width of 18 inches. c. Depth of Trench. The trench shall be of sufficient depth to provide for an earth cover of one foot over temoorary transmission lines. Depth of cover for permanent transmission lines shall be as indicated on the drawings, but not less than 3 feet. d. Trench Bottom. The trench shall be excavated to a flat botiom, cut true and even to the indicated grade. Where rock or other hard substances are present on the trench bottom they shall be removed to a depth of 6 inches deeper than the indicated trench bottom and refilled with well-tamped granular earth, fine gravel or coarse sand. Any uneven areas in the trench bottom shall be shaved off or filled in w;th well:tamped material as spec!fieo. Recheck after filling. Whenever wet or otherwise unstable soil that is incapable of prooert¥~ supporting ti".e p'pe. as de(ermined by the Engineer. is encountered in the bottom of the trench, such soil shall be removed to tt',e depth required and the trench backfilled to the proper grade with suitable material as specified. 'C. TUNNELING When tunneling is permitted, the Contractor shall obtain written aporoval from the Engineer of the proposed method of support and backfill of the tunnel. Clearances'around the pipe shall be such that backfill can be &deouate~y Compacted by.means that will assure a compaction equal to the undisturbed contiguous material. The Contractor. shall.be responsible for the adequacy of the 'tunnel supports, for any ground subsidence resulting from tunnedng operations, and for the method ¢ excavation and control of water. Should the excavation resui,, in any ','o~cs outsice the permanent tunnel support, such voids shall be immediately filled with a 1 to 5 cement and sand grout forced in under pressure, or by another methcd approved by the Engineer. D. BRACING EXCAVATION Excavation shall be supported in conformance with the rules, orders, and regulations of the Industrial Accident Commission and the Public Utilities Commission, of the State of California. Sheet piling and other timbers snail be drawn in a manner that will prevent caving of the walls of the excavation or other Icad on the pipe or conduit. E. CONTROL OF WATER The trench and other excavation shall be kept entirely free of water while pipe is being placed and until the joints have been made and approved. The Contractor shall have on hand at all times sufficient pumping equipment to prcvide for ordinary emergencies. Water shall be disposed of in such a manner as will not cause injury to public-or prwate property, nor create a public nuisance. F. BACKFILLII~G a. General. Materials for backfilling shall be approved granular material obtained from the excavation, unless imported' material is provided for elsewhere in the contract documents. No material of a perishable, spongy or o~erwise unstable nature shall be used as backfill. Sheeting and shoring shall be completely withdrawn unless permission has been obtained from the Engineer to leave certain portions in place. b. Trench Backfill. Backfilling of pipe trenches shall commence immediately after the pipe joints have been approved to, preclude damage to the' installed pipe. backfill around pipe shall be carefully placed so as not to d.,~.p..j.~c.e.or damage ,'.pe p~pc...::~'-.d ~na.~ ~e carr:e': .;c s'y~..m.e.'.r~c~'.!y on each s~de of t~":fd¢:'of... . the pipe. The mater:al for th:s purpose shall ce ~,=ond or se!ected granuiar mater~al ,~'~,.,,~, ~s ',r_=¢'_ :rom, --- rocks and lumps. The material shall be carefully compacted under and around the pipe. The remaining trench depth shall be backfilled to the surface of the subgrade with approved granular material that is free from rocks and lumps exceeding 3 inches in any dimension. Material shall be placed m separate layers of approximately 8 ;riches loose depth and each layer shall be thoroughly compacted to 90 percent .'"-a:d.m u m c. Tunnel Backfill. Contint,,c. us hmne s sha!l be ccmp!etely backfllled as soon as the water pipe is la!d and !he ~ . · material ha~ properly set. Ai,-b!e,z,n methods may be used for backf:ilir~g provided p,-eper comsact:om of the materia: Is obtair, ed, in ~he opinion of tho Enc].ineer..Otl~erwise, backfiil material sha!; ce placed and rammed w~tti approved pneum.'~tic and(or ha~d tools until the necessary compac[ion has been obta~ne,:i, in either,c=~se, the backfill at ends c.f tunnel shall De see;ed wi[h a mixture of sa.nd a~;d portland cement. 4 inches or ~ grea. ter in thickness. G. CQMPACTION The relative compaction of all backfill will be determined by Method A (5 layer method) as set for:h in ASTM Designation D 1557. Compaction shall be a~con~plished by & combination of tampers. '" - ,o,,er° and heavy construction equipment acceptable to the Emgmeer. Hand tampers, if used. shall weigh not less than 50 pounds and shall have a face are~ of not more than 100 square inches. Mechanical tampers shall ~e of approved standard manufacture. II. MATERIALS FOP, WATER LINE CONSTRUCTION A. SCOPE This section covers water line materials which .shall be furmshed by the contractor, and shall include ail incidental materials noted on the drawings and necessary for the proper mstaqation of the water line systems, except for such materials as are spec~fted to be Owner-furnished in the SPECIAL CONDITIONS. B. AsBESTOS-CEMENT PIPE AND FITTINGS a. Pipe and s!eeves shall conform to AWWA Specification C 400. Class 150, unless otherwise noted or~ the drawings. C!ass 150. 3-inch pipe will be acceptable. Each standard, randc.m, or short leno*,h of ~i~e asbestos-cement sleeve sh~ll t:,e tested as specified m AWWA Speofication C 400. Evidence ~t~a.t pipe and sleeves have successfully passed said test shall be submitted to the Engineer if requested. b. Rubber Ring Couplings shall be "Fluid-Tire" as manufactured by Keasbey & Mattison Company Or "Ring-Tire" as manufactured by Johns-Manville Company, or equal. c. Specials and fittings shall be cast-iron conforming to AWWA Specification C 100, Class D, except that fitdnos shall have all bell connections of standard AWWA dimensions or special dimensions as required, or fitt;.qgs s,",a!l be equipped wi~h adapters of the proper class for the size of pipe, as recommended by the pipe rnanuf&c~urer, or equal. C. STEEL PIPE AND FITTINGS a.. PIPE shall be black steel conforming to AWWA Specification C-202, and shal~ have a wail thick~ess at teast equal to the requirements called for in General Order No. 103 of the Public Utilities Commission, Stsb3 of California. -(1) Temporary transmission pipe shall be double dipped with asphalt and wrapped with asbestos felt or fiberglass in conformance w~th Appendix B of said Ge.~eral Order No. 103 (2)' Permanent transmission, pipe snail be lined and coated with cement mortar in accordance with Federal Specification WW-P-00385. (3) Small size pipe for biowoff piping and similar uses shall be galvanized steel conforming to ASTM' Designation A- 120. b. Specials and fittings for pipes 4 inches and larger in diameter shall be of the same material and thickness as the pipe. Specials and fittings shall be made of standard steel tube turns with ends to accommodate the t. ype of coupling specified for the pipe. Fittings shall be lined, coated and wrapped as specified for the pipe. S0ec;ais and fittings that cannot be mechanically lined, coated and wrapped, snail be lined, coaled and wrapped oy hand, using the same materials as specified for the pipe, with the same number of applications of each ma,'.er~al. carefully and smoothly appiieo. Cast-iron spec~ais and fittings conforming to these specifications may be used with transition fittings or adapters. c. Steel welding fittings shall conform to the requlrements of ASTM Designation A 234. 'd. STEEL PIPE FLANGES shall conform to the requirements of AWWA Specification C 207. e. Bolts. Material for bolts shall, conform to the requirements for open hearth, free cutting grade bar steel, ASTM Designation: A 107. Bolts shall have a minimum tensile strength of 60,000 psi. Bolt heads shall be either square or'hexagon'and nuts 'shall be cold pressured semi-finished hexagon. f: Gaskets. Flanged joints shall be provided with 1/16th-inch thick gaskets, Cranite, or equal. D. VICTAULIC COUPLINGS .. When V~c~q,JI;c os,,F,i?~:;:~ ~re m, _¢.ic.~t,sd on the d,"3,.':in0s. Styi~ 77 V~cta,jlic cou0~ir, gs, or an approve~'equal, shal; be iurr, ished. The wctaui~c co~,phng Shah oe des:.,'gr;e.~ for i50 psi, working pressure. 'E.' ,~LEEVE-TYPE' COUPLINGS Sleeve-type couplings shall be Si'yle 38 Dresser or Smith-Blair adapter couplings, or approved equal, and shall be of · steel with steel bo~ts, without centering ring, and shall be in sizes to fit the pipe and fittings shown on the drawings. The middle ring shall be not less than % of an inch ~n thickness: , F, VALVES a. G3te valves sha~ be desiened'~or a minimum waterworklng pressure of 150 pounds per square in:;n. Vatves shal~ have b~.:il or spigot ends, ,hr screwed, flan~ed; or ring-tire joints as redu;red for the P~!')~n9 in WhiCh they ar(; instatledl Gate valves shall ha,;e a clear waterway equal to the full nora;nat diameter'of the valve, and s!'..a'i be ~' opened hy turning counter o~ockw~se.'The or:,erating 0u.'. or wheel shall have an arrow cast ~n the indieating the direction of Opening. " Each valve shall ha~e the maker's initials, pressure rating and year of manufacture cast on the 15ody. Prior to shipment from tho factory, each valve shall be tested at a hydraulic pressure equal to twice the specified water working pressure. (1) Valves 2-incl'ies and larger shall be.iron-body, bronze-mounted and shall conform to the requirements of AWWA. C-500. (2) Valves smaller than 2-inches shall, conform to the requirements of' Federal Specification WW-V-54. b. Vacuum relief valves shall be equal to No. 31 automatic diaphragm valve as manufactured by CLA-VAL CO., Newport Beach, Cahfornia. or equal. G. FIRE HYDRANTS Fire hydrants shall be No. A-24009, cornplete with proper length bury, as manufactured by Muel',er Co., except where Angle Fire Plug is shown it s~all be No. J-344 as manufactured by Jones Co. Hose threads sba;! be Na~io,nat Standard Hose Threaos. H. VALVE BOXES Valve boxes behind sidewal.k may be of. 6" AC Pipe or shall be et standard manufacture approved by the Engineer. All' welds and cut edges shall be ground smooth and clearance between matching edges shall be umform. Cc','~.r shall be cast-iron and snatl have the 'Nord "Water" cast on the top. Valve boxes s;",3il be asphalt d~p coated. In e,;oas subject to traffic, boxes shall include a Class "B". concrete pad as shown on the drawings. I. SERVICE CONNECTIONS Service Connections shall be installed to each and every parcel of required size to meet the volume required by · type of business but will' be %-inch or larger. III. 'iNSTALLATION OF ASBESTOS-CEMENT PIPE A. SCOPE This section covers the installation of asbestos-cement pipe w~th couplings andca_-~-,ron:"; fittir~gs as sho,^m drawings and herein specified. Pipe. couplings, fittings and other materials shall be as spec:fled in the .... ' MATERIALS FQR WATER LINE CONSTRUCTION, unIess otherwise noted on the drawings or in the SPECIAL CONDITIONS. B. LAYING PIPE a. Before insta!!ation the pipe and couplings shall be inspected for defects prior to lowering in~o the trench. Cas',- iron fittings shall be respected for defects and whde suspended above grade shall be rung w~th a light hammer tO detect cracks. The defec.:ive materials shall be promptly replaced by the Contractor with acceptable r~,ew materials meeting the requirements of these specifications. b. Suitable implements, tools and equipment satisfactory to the Engineer shall be provided and used by the Contractor for the safe and convenient prosecution of the work. All pipe, fittings, valves and hydrants shad be. carefully lowered into the.trench piece by piece by means of a derrick or other suitabie equipment. Shngs or ropes shall support the pipe and fittings during lowering ~ri such a manner as to proven! damage to wa;.er main materials. Under no circumstances shall pipe or accessories be dropped or dumped rote the trenches. C. Every precaution shall be taken to prevent foreign material from entering the pipe while it is being installed. If the pipe-laying crew cannot pu~. the p~pe into the trench and in place without getting eart.t thio it, the Engineer may require that before lowering the p~pe into the trench, a heavv, tightly woven canvas bag of correct size shall be placed over each end and left there until the connection is ready to be made to adjacent pipe. During laying op?ations no debris, tools; clothing or materials shall be placed in the pipe. d. Prior to installation of the pipe the trench bottom shall be shaped to grade as specified in the EXCAVATION, TRENCHING, AND BACKFILLING section. The trench shall be smooth so as to give bearing to the complete length of pipe except at the couplings, where the trench bottom shall be excavated two (2) inches below the bottom of couplings so that the oioe is not suooor~ed by. the cou0!ings. Templates. th.e length of the pipe. may be used in order to trim r = .' .r~; h"e~Cn r}.ot'O,,~F:, [0 ~,~,e "~r?,~,~r C,,,~,.~. e- Cement-asbestos pipe joints shall be sealed with a coupling consisting of an asbestos-cement sleeve and riel less than two rubber rings. The machined ends of the pipe to be jointed, the inside of the sleeve, and the rubber rings shall be wiped clean immediately before lubricating for installation. Lubricant shall be applied to lhe entire circumference of the pipe ends back to the stoo shoulder: this includes the nose, taper and ma':hined surface. The entire surface of each rubber ".nc] shall be !ubr~cated be, for,=,~ .~ insertina_ the rrna into '~e.. ..groove: The assembly el .the pipe and codpl:,r~g shali be made as recornmendea by the r~,.n-, m;:~n,.;~="' ~ha,, ~ , This - "be accomphshed ~n such a manner tl~at the resultin.q position of the sleeve ~s cemerec ore; mc ..... -,-, e, nds. I'be method of asserT'h_.,lv shall be ap, proved by the Engineer. Pise shall no; be .""~'"',-.', O.,~' horizontally in excess ct the ratio recommended by the manufacturer of the ~,oupiin9. f. When pipe laying is not in progi'ess, the o.c, cn ends of t'he pipe shall be ciosed with tight-lift:c.c., wood r.:. :.,cs or '.,.' ~thor approved means. Adequat? backfi~l shall be placed on the piugged empty pipe ,'.o prevent f',oa,.'.m9, ,\r',v pipe that has floated shall be removed from the ~ench and sha!i be relaid as di:ected by the ~ ..... ;" ' shal! be laid in water or when trench conditions are unsuitable in the opinion of the Engineer. 6. ,,IOINTING PIPE TO'CAST-IRON FITTINGS a. Each cast-iron valve, hydrator, or f;ttm¢, ,,',,hen connected to asbestos-cement pipe. shall be co_, ;'o~}¢d bell having an inside diameter sufficient ~o receive the asbestos-cement pice~,",n'-'.,, crevice a.. c~.-tlk .~ ,3 between the pipe and bell of at I .,-.~s, ~ .,-inch for the. full circumference of ,h~ p;!;e. O,, .er ..... ~.,~...'-',~ sr.~':.~ h..,.-, .-.. bell profile such that a seal can be made with a rubber ring between the machined pipe end and the oeiiu," trio ' fitting. · b. When the seal between the pipe end and the bell of the fitting iS made with a rigld joint:ng ---, ~' the pipe eqtering the bell of a fitting' shal! not exceed 3 feet 3 inches, in pipe sizes 6 roches arYx: !e.~s ,;: d, In pipe sizes 9 inch'es and more in diameter, the length of pipe shall not bxceed 6 feet 6 mc,,'-~es. Who," .'~ ring-type cast-iron fitting is u~,eo to make the joint, lengths of p~pe up to a full 13 feet may be used fo:: er:term@ bells of fittings. ¢. Pipe entering or passing through rigid structures such as concrete vaults or bufidinc fOL;sdat;cr~$ ShF'? .'"Ct a length extending more than 3 feet 3 inches beyond the face of that structure when the DIE,3 s,£9 !.~'} 6 ~,,~ .E.-._', or less in diameter, not more than 6 feet 6 inches when the pipe size is 8 inches ant la~cj,sr ir' d. The cutting of pipe for inserting into be',',s of valves and fittings, or for closures, shall be do:-e ir: a ,'-,est workmanlike manner without damage to t~,e pipe. and in accordance w~th the --'*" ¢',~',~. -',-'* e. Before installing the valves, hydrants or fittings, all lumps, blisters, and excess coa:-tar coating she!! be removed from the' bell and spigot ends. The outside of the spigot and the ir:side pi the L~el; shall be '.'.."re- brushed and wiped clean and dry. Ends shall be kept clean until joints are made. .- f. Rubber rings for ring-type cast-iron fittir}.,gs shall be of the same composition as of the rubber fmcs; ...... asbestos-cement couplings. Rings shaii be installed in accordance wilh the pipe manuiact,.,rer's recommendations. IV. INSTALLATION OF VALVES AND HYDRANTS A. SCOPE This section covers the installation of valves and hydrants as shown on the drawings and heroin sr, ec:f:,ed. hydrants, and other materiaiS shall conform to the requirements of MATERIALS FOR WATER L:;.:F_.~ CONSTRUCTION section, unless otherwise noted on the drawings or in the SPECIAL CONDITIONS. B. AIR AND VACUUM RELIEF VALVE INSTALLATIONS a. Air and vacuum relief valves shait be installed as shown on the drawings. b. The gate valve immediately below the relief valve'shall be set to'the grade indicated on the dra'.',',ngs or instaha,.,on approved by the Engineer. Sufficient clearance shall be provided below the valve for the '-'; of concrete pad to support a protective enclosure. O. SETTING VALVES AND VALVE BOXES Valves shall be set truly plumb with valve boxes directly over the wrench nut of the valve. The va!ye box shai; transmit shock or stress to the verve. After being correctly positioned for tine and grade, earth fill sha~l be care[u;~y- tamped around the valve box. D. SETTING HYDRANTS AND ANGLE FIRE PLUGS a. All hydrants shall stand plumb and shall have their nozzles parallel with or at right angles to the curb, with the p~umper nozzle facing the-curb, except that hydrants having two hose nozzles 90 degrees apart shall be se[ ,vith each nozzle facing the curb at an angle of 45 degrees. Hydrants shall be set to the esta~blished grade except that where not shown, nozzles shall be at least 18 inches above ground. b. Unless otherwise noted on the drawings or directed, each hydrant sha!l be connected to the main with a 6-inch · - branch line controlled by an independent 6-inch gate valve. o The bowl of each hy~,=nt shall e,=, ;,;e;l '-' .... '" against undisturbed earth at the end of the trench" backing. d.' Each angle fire plug shall be connected to the main with a 4-inch branch line controiled by an indeeendent 4- inch gate valve· Angle fire plug sha!l be set with the 2!.iz-inch outlet facing the curb and Sha~I be s.st .'.o established grade except, that where not shown, nozzles shall be at least 18 inche~ aho,m V. .MISCELLANEOUS CONCRETE .~ ., - ' A. 'PORT~AND CS. MENT'CONCRETE a. M~(edals for co~,cro[e ~ "' , . ,,n,.,t be 0or[tend cement conforming, to ASTM, Type I or Type II; well-graded, sound. nor~-reactive aggregate; an'J clean water. '~ D.. Class 'B' Concrete shall be used. umemforced concrete including thrust blocks, and other work as '~ Class 'B' concrete shalI contain 5 sacks (470 pounds) of cement per cubic yard. The concrete s~all nave a ~. compressive strength of not leis than 2000 psi at 28, days. The total water content shall be limited to tP.e minimum quantity required Io produce a smooth work3b!e concrete of as stiff a consistency as practicable, and not over 6.5 9al~,ons per sack of cement. 13. CONCRETE THRUST BL(~CKS All plugs caps and fitt~r, gs as ir,'dicated shall be provided w~th suitable concrete thrust blocks. The concrer, e sh~l! be placed hotween sohd ground~,,,,.,~""~ the fitting to be anchored, and the area of bearing surface on the groun,2 shaq . as indicated on the drawings or approved by the Engineer. The concrete shall be so.p!aced that the pipe and fitting joints will be accessible for repair. VI. TESTING AND D.ISINFECTING A. TESTING Immediately after the water liqe is completed, the Contractor shall test the water line for leakage in accordance with the applicable portions of AWWA Specification C 6C0 and in the presence of the Engineer. Any pipe or f,ttin:js tha! fail to pass tt~e maximum a!lo¢,'at;ie ~eakage requirements snr~l! be removed and replaced with new mater;a',s at the expense of the Contractor. The 'ines shall be tested to a pressure equal to the working pressure plus 50 psi. The Cor~tractor shall provide all labor and materiais required for the test. B. DISINFECTING OF LINES a.. Procedure. TI~e work shall be accomplished by the Contractor, after all pressure and leakage tests are completed, in accordance with AWWA Specification C 601. The disinfecting agent shall be tiqu~d chlorine through a mixing equiomen[ which gasifies and dissolves the chlorine in water in strong solution ar',d d6hv.~rs the solut!on immediately rotc the pipe line being treated. The work shatl be supervised by a compete,'fi, t exper.~enced in the process, who shali use an approved chlorine test compamtor wi',.h st,~.ndc..'dized orthototidene solution for making the tests. The' Contractor shall furnish all necessary wa[er, chemicals, equipment arid personnel. b. Application. The rate of applications shall produce a solution Of at least 50 parts per million by we!ght in. samples taken from the portion of the main most distant from the ooint of application ar, d from the end of branch. After completion of [t';e application, the pipe lines shall remain closed for 24 hours. Samples sha~i then*. be taken at the same points as before and shall show not !ess than 10 parts per million avadable ch;ortho by weight: failing which, additional disinfection shall be effected as directed. Chlorine shall be added to the new line at the upper end. If the chlorine residual drops below 50 parts Per.: million in any portion of. the line, additional chlorine shall be added in that vicinity. c. Flushing. After the 24-hour sterilization period the line shall be thoroughly flushed to remove ali strongly," chlorinated water until samples taken at various points as directed test not in excess of 1 part per million. For the protection of property during flushing, the Engineer may require the Contractor to use hoses or p~pe to conduct the waste water to locations where no damage will result. Care shall-be'taken to prevent strong chlorine sol'ution in the line being treated from flowing back into the existing system. During the process of chlorinating the pipeline, all valves and other devices shal! be operated while the pipeline is filled with the heavily chlorinated water. ." A G R E 1; ~'I J! N T 'fills A(;l~;(l?,ll.?:,i')~ made :~.?ld entered .into t'hJ.s . ,'ltl .......... , L,' and between the person or pc~csons in p:~ragraph 1 'nereof~'' l~cF~;k]la{'t,er collectiv, c.t)-FcSer.rc.d to a~; aild C]Ti' .OF' bt,.},l:l,..,l ~[iU), u municipal cOrp~w:;t:ton here.i, nTf~ter as "Cit)''~. IglIL:REAS; Tko Developer is dcvcl0pJ, ng that cc:train subdj, v:i.~Stm of real property, situate',, lying ami being in the County of. Kern, Stp. to of Ca].iforn'[a, Whicl~ is known as ~~Parcel Map 5726 located within the East half of. the Southeast quarter of Section 22, Township 295., 'Range 27E., containing seventy-five (75) acres more or less 5_n accordar~ce ~ith Kern County Ass'essor's parcel number __N/A ; or tke map tlxereof filed in the Office of the County Recorder of said Count)' on tim day of , in Volume of blaps at Pa:~e .and , and wMch is hereinafter referred to as the "Subdivision" and WHEREAS, Deveioper is now sellin'g or proposes in the near future to ~sell lots or develop in the subdivision and/or Parcel ~lap and to this end desires to have water service available in the subdivision and/or Parcel Map througk and by means of mains and appurtenances, and by services (including service pipes, fittings, gates and housings thereof and meter boxes), herein- after referred to as the "FaciJ. il:ies," to be :i.nstalled therein substanti:~li>.' as shown on that certain map prepared Developer attached hereto, marked Exhibit "A" and by this reference recycle a pai't hci'coi'S and I~:IIEREAS, thc illstallarion of the Facilities and f,l~nishing of Water service by means thereof a~'e necessary and valuable adjourn.ts sale of-lots in the Subdivision, and will materially increase II,e value of said lots; and I~}IEREAS, upon the temns and Conditions. hcycin set ~'vrth, Dev- eloper is will' ,, -- ' 111~, tO install the Faci. ii[ics, .or cau~;e the sa~:x~ at its own expense, all in accordance with the provisions hcr,'inaftcr set forth; and I~]IEREAS, City is in the process of constructing a water system to be known as the Fairhaven Division of the [:itv of gakcrsfi, c!d Municipal Water Sygtem, which can proyide both Domestic and I,~ ,'e Protection Water. NOW, THEREFORE,' for and in considerati.on of the pv,.~:~iscs and of the mutual covenants, agreements, terms and provisions herci, n is'agreed as follows, to wit: 1, De~el_qper~ The names, addresses and descript-i,,:,,s of the person or persons herein collectively referred to as "[)eveloper" ave N&',IE ADDRESS DE SC}.), l w - ,-, ,' TENNECO REALTY DEVELOPS. lENT P.O. BOX 9380 CORPORATION BAKERSFIELD, CA 93589 2. Upon.and subject to the terms and conditions lwreinafter set forth,.Cit7 agrees to include developers subdivisions within the service area of the Fairhaven Division of the City of Bakersfield blunicipal. IVater System, and to provide Domestic Water and Fire Protection service under the prevailing water rate which may be changed from time to time as the CitZ. sees fit, ~ 5. Thc Ik':vclopcr herein a!;rce.~; to depo:;Jt with City a · _'J 500 00) vcre, wh[,.:'h vmomt'; to $11~,500 fee of l"i.['tcc'll lltllldrcd I/o][ars (~ .~ .... ._=: pcr more or less for the devclop.or~: z~d~d}vi:;5.~'~: ~,f seventy-five (75)~:c:'ez ::..:.:. !ess. Said deposit' to i<. I{~:It~<' W]l:h.i. ll :4i.>'a)' ;"':0) r~:'~,':; "~l" '~./... 4 lln, i ~cCl'il3' 1: ~,] [;l:;Pct't'.i,~15 }:::':'. (]Jt.','~:; 203C rci'~i'.i,..2: i:nSl-."c t .I.S~.I~,, tllld i iq< .i iiSL :.: I i il ~' i.~"'t o ~: r :ir, 1' aC.i. I ' *":" ' Superv' '; ' '~ , _ o~ dcrcr;nined at tim Lii~Ic ol.' ).i,li. illillO i:tSiill} [aCic, r:) OF ~'Otil' i~c:'cc::lU Facili~i.c,s, City w:il'~ co~noct, o~' cat~:~a to bo corn:cereal, the $~-.i::[.. 17; ~It~.I lll3i. IlS f*lld sul):ni.t, a ',-;t:~tC:li!Clit. 017 t'h(: cost t.l~O~'C,gi5 to OuVc~Ol,C:', Developer,,q~c,,o°d ..... . to l~av. . ,promptly to CJtw,. 5. Installation ot: '"~ ' ' . ~.,.ci 1 (a)- l)evelopei' agrees to 5ns~a!l tile }':acil.iti. cs, or same to bc installed, at irs own cxpcn:;c on or bct'o~:c December 31 , 19 82 Thc Facili. t';es >h,~:l bo install'' . __ .. .,.~ si'.rict!v in accd, rda:icc spccz~z~.a~lons, attac, hcd ~ ,,r., ,...,,~...~.~ and b), this rere:'encc made ;~. part hereof, aad thc Jn:;~a/latJon thereof shall be subject to the api):'Ov:t: of City in ail re~pects. Tho Fhci!ities s!tall bo inst:ailed by Developer or contractor, herein:tftcr "' ...... ' '' . lC~cI:.CC~ tO :iS ~'Si!.l.~ COllEr[tctor,~ selected by (b) Installation of tim Facilities shall be , ~' '- saoje,r to the ir~spcction :;ltd af:l;rovai .t~ all (c} Title to the I':aciliz:i. es shall vezt in City in accordance with the provisions of paragraph 7 hereof'. (d) Developer agrees to rei.mburse City upon demand for the cost to City of all replacements and repairs to the Facilities made necessary ,ithin one year from 'completion of installation thereof by reason of defective ;:::~icrials or ;vorkmanship. Ci.ty's acceptance of the Facilities, as provided "~'in pr, iragraph 7 hcr,:'of, shall undc, r no circumstances be deemed to constit'c~tc 'proval of such materials and ~'orkmansll.i.p for purposes of the prc:cedifi" (c) The [)cve.tolmr agrees to provide t~[iJit)' caSeh:cnts ftJr %~z)tc{' mi~i]ls'r~lld ol.hcr fa,;ili, tics rcqu.ircd i'm-,'su;mt to thc tcrms of tills agree- mcnt. These c~sc~:tcnts sh::.ll be gr:tni, cd to rlte City l~or t?,c oi'~.~z'atioi1 .... 6. I ml{~nmi, tv ~ (a) City shall not be responsible or held liable in an7 manner ~hatso,~ver for any i. nj~,)'y or da~al;e t,'hich ~:my be done to any Fcrson or FrCl~c. rry jn the course of i. nstallaticn of the facilities by or on bchaif of Developer or ~hi. ch l:~i:>' result from such installation, and Developer agrees to index:roi, fy and hold /roe, safe and harmle'ss of, from and against any and all liabiiir7 for the dea'~h of, or in. jury tO, any person and for the loss of, or dm:mae to, any propert7 ~'hich may result fron~ such installation, and Developer further agrees to rein~burse City upon demand for ali costs and expenses ~,'hich City mty incur in resisting any claim ~hich may be made against City for any such injury dmnage to an7 person or property Developer expressly agrees that the aore~- merits contained i.n ~his paragraph shall survive the'perfornance of the of this agreement and shall remain in full force a~d effect not~.:itlistanding suc~ performance.. Developer further agrees th.~t during the period beginning {~'e con~n:ence~nent of construction of ttie Facilities and ter;ninating upon final acceptance of the same b~ City, the follo~,'ing insurance"~v~ll be maintained full force and effect b7 Developer of said contractor (if the Facilities are to be installed b7 said contractor) ~'ithout cost or expense to CitY: [i) Bodily ~jur7 liabilit7 insurace ~ith limits o~ not less than Three Hundred Thous~d Dollars [$300,000.00) per person and Five Hundred Thousand Dollars per occurrence and (ii) property damage insurance ~ith a limit of not less than ~e Hundred Thousand Dollars [$100,000.00) per' a'tcident, insuring City again:-t ~7 ~d all liabiiit7 for the death of or injury .to any person-and for the loss of or d~age to an7 property, ~espectivel),, ~hich ma7 arise b7 reason of acts -4- ~lonc or omitted to be done in the course of installation of tile Fa~'~l'~"t-~--]--~-~ ......... ~hich ~my result from such i.nstallation.,~, m;d further insuring City at;ainst all cost~ an,; C~l~Cnscs il!curre~l b7' Ci. t7 in rcsist:.ng any claim ~hich ~:'ay be m:.d,~ agai. nsr Cit7 for an)'.such in jut7 or daamgc to any pearson or pr.~pert?. ~aci~ such polic7~ (A) Shrill be issued b7 an insurance company al, proved in wri. r~ng by Cit,, ,,,hi. ch i's qualifi,xl to do and doing l>usine$s in the Stat~ of Ca!ifc, mx~ (g) shall naae City as an additional insured, (C) shall specify that it acts as primary insurance and that no insurance effected by City shall be callcd. upon ~o cover a loss uhder the policy so proc'ured by Developer, (~) simll provide that the policy shall not b.e cancelled or altered without thirty (30) days~ prio{ '~,'ritten notice to Cit/ and (E) shall, other,'ise be in fora satis- factory to City. Each such po~ic7 or a certificate thereof shall be delivered to tim City Finance Operat'ions ' , ,lanaaer concurrently ~ith execution of this agreement. (b) ~ endorsement or a certificate thereof to the workmen's compensation insurance polic~ of Developer or said contractor (if the Facili. t.ies are to be installed bM said contractor) providing that the underwriter ~hcrcof waives all right of subrogation against City by reason of any claim arising out of or connected uith installation of the Facilities shall be delivered to City concurrently ~ith execution of this agreement, said endorsement shall pro- vide that it shall not be cancel/ed or altered ~ithout thirty (30) days' prier ['ritten notice to City. '. 7. Title. to'Facilities. Title to each pa7t or portion of the Facilities shall pass to City forthwith as each such part of portion thereof shall be installed regardless of'whether the same shall be installed by Developer or said contractor and regardless of ~hether the same shall be attached to the balance of City's system, provided, ho~'ever, that such passage of title shall under no~circumstances be deemed to constitute acceptance by City of the Facilities as being installed in accordance .~ith said speci, fications, Exhibit "B" hereto. Su~ acceptance may only be effected by appropriate written notice from City to Developer. Developer warrants that upon such passage ,of title, the title shall be-free and clear' of and from ~ny and all liens, ~charges and encumbrances whatsoever. .--Se 8. Street Grades. If the Facilities are installed in casemc.tts br rights-of-WaY as to M~ich.final grades have not been established or in street:, t.;kgsc grades have net been bro, v, hv,.._, t'o those ostrtblishod 1D'_ public authority prJ. or to accci>t:mcc b)' City, Ih:ye]oDer; upon u'ritl, en hal icc: b:.' Ci. tv, shall deposit ~¢.[th City forth~¢it.h thc est] :;:;, ~.co cost, as dc, rcr:nincd by City, of ]'clo,:a~Jng rai ' *, . ...... within thc ('10) day after City has ascertained such actual cost. Thc deposit representing actual cost shall not be subject to refund. City shall refund the entire dcpo~i.t,~.,~"*i"v...~..,,.. to such proposed relocations, raising or lot,'erinll when appropriate authority determines that such disp!acemcnts are not required. 9. Develoimr's~ [k~rrS. Concurrently ~,'ith execution of this ..o.:,c ....... mcnt Developer shall doliv'er to City a surety bond in thc aggregate anount of $~._ A-.:,J;/ , {to be determined at the time of )lainline installation) in'f°rm satisfactory to City~ issued by a bonding company approved in writing .by City which is qualified to do and doing business in the Stare of California quaranteeing unto City (a) the performance by Applicant and said.' contracror of all the obligations contracted to be performed hereunder, (b) installation of the Facilities in accordance %~ith the provisions hereof, (c) vesting in City of title to the ~acilities in accordance with the provisions hereof, (d) reimbursement of the cost to City of all replacements and repairs to tho 'Facilities made necessary: within one (1) year from completion of installation thereof by reason of defective materials or wor~anship, ~nd (e) payment in full by Developer or said contractor of the claims of all persons perfor:ning labor upon or furnishing material or power to be used in the Facilities. '10. City's' R~aat to offset. In the event Developer shall become entitled to a refund under the provisions of paragraph 8 of this agreement, City shall have the right at such time to offset against the amount then due Developer hereunder the' total ~ount of ~y indebtedness then due or owing by · Developer to City, ' , 11. Non-Construction of Facilities. Notwithstanding any other ' "' provisions of this agreement,., should the water distribution system to be eon- ~strt,cled. . and acquired bye thc Ci. tv.., td'~i.c!~ s;'$.tem, is to I,e known as :he .Division of the C~ty of llakcrsfield ~,lun~cJpal Water System, not be CO~:'.plcl:cd, 5o any m:>:~i,:,3 or relt. ase 'of :my boi!ds tbepz, uo~;ore provided ti~(. (:iw by tire perform:: u~der this agroo;::ollt. Ti~e Dcvel01>~'r exFrossly accel)ts rcspon~il~il ity for providiuzl Do::,.cs't5. c and Fire Protcct, 5on l':ater to any parcels sold by the Developer to ~,y t}ti.r(l i.argy in' t-he event the City's l:erfo:'a:ance of this agreement 5mpracti. cab]e under the terms of 'this paragraph. 12. Not:.ccs. Ailf notice Mtich it is herein provided ll!;tf of shall given by either party to the. other shall be deemed to have bcen duly giving'Mien deposited in the United Sta~cs mail, registered or certified', .postage prepaid and a,.Mrossed to the party to whom such notice is given' at th~ following rc?~c ti. ye addresses: To Applicant: Tenneco Realty Development Corporation P.O. Box 9380 'Bakersfield, CA 93389 To City.: City of Bakersfield .. 'City l[all .. Attn.: Dom.estic Water Superifltendent 1501 l'ruxtun Avenue Bakersfield,' CA 93301 Either party, by notice given as hereinbefore provided, may change the address to ¥.'hich notice shall thereafter be addressed. 13. Successors and Assi~.as. The pro~isions of this agreement shall inure to the benefit of and shall bind the respective heirs, executors, admin- , istrators, successors and assigns of the parties hereto. 14. Jurigdiction Of C.ity. This agreement, except for refund pro- visions, shall at all .times be subject to such changes or modifications by the ,Jity cf P.:fi~ersficld :~ :.-.::id 'dlt~' ::::'..y fro.v, ti:nc to ti:ac direct in the cx~rcisc of its jurisdiction. -7- merit i.~l duplicatc:~the day and ),car first-above written. ., CITY OF BAKERSFIELD ...... By. MAYOR CITY CLERK. APPROYED AS-TO FOP2,1: CITY ATTOR×EY DIRECTOR OF 'PUBLIC I~ORKS COUNTERSIGNED: . DEVELOPER: ASS1ST:~;T CITY ~LkNAGER-FINANCE "' TENNECO REALTY