HomeMy WebLinkAboutBasic Agreement 3-1-1968-
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AG R E E Iii E N T
SEWAGE TRANSPORTATION, �'RFATMEI�T AND DISPOSAL
LOS ALTOS HILLS
THIS AGREEMENT, made and entered into ,this /If7�z day of
,L.�c.�-fti.• , 1968, by and between the CITY OF PALO ALTO, a
municipal corporation, hereinafter called "Palo Alto",.and the
TOWN OF LOS ALTOS HILLS, a municipal corporation, hereinafter.
called "Los Altos Hills";
W I -T N E S S E T H:
WHEREAS, Palo Alto has constructed and is maintaining and
operating a sanitary sewerage collection, treatment and disposal
works and system; and
`y
WHEREAS, Los Altos Hills desires to provide for the collection
of sewage emanating from within a portion of its territorial limits
and to acquire the right to use Palo Alto's sanitary.sewerage works
and system for --the purposes of transporting, treating and disposing
of said sewage; and
WHEREAS, Palo Alto and Los Altos Hills are authorized, pur-
suant to the provisions of the Joint Exercise of Powers Act,
Chapter 5, Division 7, Title 1, of the Government Code of the State
of Califcrnia, and do desire to enter into a joint use agreement
concerning the transportation, treatment and disposal of sewage.
NOW, THEREFORE, in consideration of their mutual covenants
the parties hereto agree as follows:
1. RIGHT OF USE. Subject to all of the conditions, limita-
tions, restrictions, terms and provisions contained in this agree-
ment, and Los Altos Hills' faithful compliance with and performance
of the same, Palo Alto hereby grants to Los Altos Hills the right
to .connect to Palo Alto's trunk sewer lines at the points indicated
on EXHIBIT A hereto, andtheright to discharge -therein domestic
sewage emanating from, and only from, that area within the terri-
torial limits of Los Altos Hills shown on the map marked EXHIBIT B
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hereto :. No ;ether coni ti, )ns to Palo Alto trunk sewE. r lines shall
be permitted except by amendment of this agreement in writing,
e
*provided that -Palo Alto may permit direct connections thereto of
individual services under supervision by Palo Alto and with. prior
written approval of the City Manager of Palo Alto.
2. GALLONAGE RESTRICTIONS. Los Altos Hills shall not cause
or allow to be discharged into any of Palo Alto's trunk sewer lines
any sewage in excess of an average dry weather sewage flow of
830,000 gallons per day nor in excess of a peak wet weather sewage
flow of 3,410,000 gallons per day. Los Altos Hills shall be res-
ponsible for controlling the land use of the territory subject
to this agreement so as not to allow the generation of sewage flows
to exceed said limits. In the event that the above stated sewage
flows are exceeded, Palo Alto shall have the absolute right to
physically prohibit the amount of excess sewage flow.
3. OWNERSHIP AND 1IAINTENANCE OF FACILITIES IN LOS ALTOS HILLS.
All existing and future sanitary sewer facilities and systems
located within the area delineated in EXHIBIT B hereto attached,
except those owned, operated and maintained by Palo Alto as of the
date of this agreement, shall be owned by Los Altos Hills and shall
be operated, maintained and subject to the control of Los Altos
Hills except as herein otherwise.provided or unless there is a
separate written agreement providing for the maintenance and
operation thereof by Palo Alto.
4. CONTROLS AND RIGHTS AS TO USE.
The following regulations
and controls shall apply so as to insure proper use of the sanitary
sewers and sewerage facilities affected by this agreement:
(a) Right of Inspection. Palo Alto may inspect and
.quire into the manner in which Los Altos Hills is maintaining
and operating its sanitary sewer system to the end that it shall
be maintained and operated in gsooa ....,-kJ ng :orae,- ,-d -� r - z
party may examine into the accounts and accounting system of the
other.
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(b) Waters Prohibited. Wa+:ers emanating from leaders
from. roofs, surface drains or storm drains, surface or storm waters,
,tooling waters or unpolluted industrial waste waters, shall not be
permitted to be introduced into Los Altos Hills' sanitary sewer
system.
(c) Types of ?Tastes Prohibited. Except as hereinafter
provided, Los Altos.Hills shall not discharge or cause or permit to
be discharged into any of Palo Alto's trunk sewers any waters or
wastes in such a manner or of such character as to be violative
of Palo Alto's Industrial Waste Ordinance as now established or as
may hereafter be amended, and to this end Los Altos Hills agrees to
enact an ordinance of its own which will contain the same conditions
and restrictions as they now .exist or may hereafter be changed or
amended.
(d) Control Manholes. When required by Palo Alto,.
Los Altos Hills shall install suitable control manholes at points
of connection to Palo Alto's trunk sewers to facilitate the obser-
vation, sampling and measuring of wastes. Such manholes chall be
located and constructed_in accordance with plans approved by
Palo Alto. Such manholes shall be installed by Los Altos Hills
at its sole -cost and expense and,,after acceptance, shall become
the property of and shall be maintained by Palo Alto. All measure-
ments, tests and analyses of the characteristics and quantity of
waters and wastes shall be determined in accordance with standard
sanitary engindering methods.
(e) Authorized Agent.. Unless otherwise provided, the
City Manager of each of the parties, or his delegate, shall be
the agent authorized to act for his city hereunder.
5. PAYMENTS FROM LOS ALTOS HILLS TO -PALO ALTO. For the
service and use to be provided by Palo Alto under the terms hereof,
.Los Altos Hills agrees to pay to Palo Alto the following charges:
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(a) Initial Capital Contribution. Los Altos Hills.shall
pay to Palo Alio the sum of $399,545.00 as an initial capital con-
tribution. Said sum is a portion of Palo Alto's present capital
investment in treatment.and disposal facilities and trunk sewer
facilities as set forth in "Report ora Charges for Sewer Service to
Los Altos Hills" dated April 6, 1967,..attached'hereto as EXHIBIT C
and incorporated 'herein. Said initial capital contribution shall
be paid as follows:
Upon connection or
January 1, 1969, whichever
date occurs first $25,000
July 1, 1969 $55,000
July 1, 1970 $80,000
July 1, 1971 $80,000.
July 1, 1972 $80,000
July 1, 1973 $79,5444
(b) Cost of Transportation, Treatment and Disposal.
Los Altos Hills shall pay to Talo Alto for transporting, treating
and disposing of sewage emanating from the Los Altos Hills area
subject to this agreement, an annual amount based on volume of
sewage so transported, treated and disposed. The amount to be
charged will be calculated according to the formula set forth in
EXHIBIT C for each fiscal year from the cost records of the City -
of Palo Alto and shall include a surcharge of fifty percent (50%).
Los Altos Hills agrees to submit to the Utilities Department of
Palo Alto duplicate original building permits or plumbing permits
for each connection into the Los Altos Hills sewer system covered
by this agreement for the purpose of estimating the annual volume
�f sewage. It is mutually agreed that for each single-family
residential connection, 400 gallons per day per connection will be
used in determining the volume of sewage fro a single-fam.i.l;.s
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residence. For all connections other than single-family, the
annual volume of sewage will be mutually agreed upon.
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6. FUTURE CAPITAL IMPROVEMEN'T'S.
(a) ':Improvements Involving No Additional Capacity.
Los Altos Hills shall share in the actual costs of such capital
improvements to.Palo Alto's treatment and disposal plant and facili-
ties and to Palo Alto's trunk sewers affected by this agreement
as Palo Alto in-4ts,sole discretion may deem necessary from time
to time.
(b) Share Payable by Los Altos Hills. Los Altos.Hills'
share of the costs of capital improvements under 6(a) hereof shall
be calculated on the same basis as forth in section 5(a) for
calculating Los Altos Hills' initial capital contribution.
(c) Payment by Los Altos Hills. Sums payable by
Los Altos Hills pursuant to this section shall be paid in cash upon
completion of the improvement, unless at the time of making any
such improvement the parties mutually agree to payment of the
Los Altos Hills' share of the costs thereof on an installment
basis.
(d) Funding From Oatside Sources. Each.party agrees
to cooperate with the other in applications for grants or funds
from outside sources to cover expansion_, repair or maintenance
of facilities covered by this agreement. The allocation between
the parties hereto of any funds so acquired, including the payment
therewith of any monetary obligation imposed by this agreement,
shall be based as nearly as may be practicable on the legislative
intent supporting the grant or.fund and in relation to the concepts
and purposes upon which the obligations of this agreement are
based.
7. GENERAL PROVISIONS.
(a) Term of Agreement-. This agreement may be termi-
nated by either party only by five (5) years' written notice to
the other party, or upon default in payment, as specified below.
Neither party hereto shall be required to pay to the other, in
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any -year, any sum exceeding the income and revenue of the paying
party provided"for such year, but if at any time Los Altos Hills
fails to make any payment required by 5(a) hereof when due, this
agreement shall be of no further force and effect. If the termi-
nation occurs because of the giving of notice by Los Altos Hills
and the termination -date falls within the first ten (10) years
of this agreement, Los Altos Hills shall be entitled to reimburse-
ment for its initial capital contribution to Palo Alto's facilities
as herein provided, such reimbursement to be allocated in-propor-
tion
npropor-
tion to the number of years of use in relation to ten (10) years.
(b) Limited Rights. Except as expressly provided here-
in, nothing contained in this agreement shall be deemed to give
Palo Alto or Los Altos Hills any ownership rights or any other
right, title or interest in or to the other party's sanitary
sewerage system, or any part thereof, excepting the contractual
rights set forth in this agreement.
(c) Successors. This agreement shall.inure to the
benefit of, and be binding upon, the successors or assigns of any
party, but Los Altos.Hills shall not assign its rights hereunder
to any party other than a duly formed public entity organized and
existing under the laws of the State of California.
8. BREACH AND REMEDIES.
(a) Breach of Covenants. In case of a breach or alleged
breach on the part of either party in the performance of any of its
obligations hereunder, not less than thirty (30) days' notice of
said breach shall be given to it in writing by the other party,
delivered to the office of the Clerk thereof, or mailed to said
)ffice registered mail, postage prepaid, and said party shall have
thirty (30) days from the date of said delivery or registration of
said mail to cure said b.rea6h2
(b) 'Delinq, .>t :payments. In the event th«t either party
shall fail to make any payment or reimbursement herein provided
within thirty " (3 0) days from the due date thereof, , interest at the
rate of five percent (5%) per annum shall accrue thereon from the
due date until paid.
(c) Legal Action. In the event either party shall
fail to cure a breach within said thirty (30) days as provided in
Section 8(a) hereof, or in the event Los Altos Hills shall fail
to pay Palo Alto any amount provided herein within six (6) months
from the due date thereof, the injured party, at its election,
may file and prosecute to.judgment a suit to recover, or in mandate,
or in mandatory or prohibitory injunction, or other legal or
equitable remedy.
(d) Arbitration. In case any dispute should arise be-
tween the parties hereto regarding the construction, meaning or
.ffect of this agreement or any of .its provisions, or the rights,
privileges, duties or obligations of the parties hereto or either
of them, then upon written notice of an ir_tentic- to arbitrate,
given by one party to the other, such dispute shall be arbitrated
and decided by arbitrators pursuant to.the provisions of section
1281, et seq., of the California Code of Civil Procedure, unless
an action or suit is filed by the other party within fifteen (15)
days after said notice is given.
(1) Arbitrators' Qualifications. The persons appointed
shall be trained and qualified in the.matter to be passed
upon. If the matters principally involve engineering, the
arbitrators shall be registered civil engineers. If they
involve accounting, the persons appointed shall be certified
or licensed public accountants. If the matters involve iaw,.
they shall be passed upon by duly licensed attorneys. Where
problems in controversy are complex in nature, to the extent
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a
Practicable, they shall be divided and the separate matters
assigned -,,;.-'o persons qualified.
(2) Appointment - Vacancies.. The arbitrators appointed
shall be notified in writing as well as.the parties hereto,
by the appointing party. If an arbitrator shall refuse to
act or shall resign, another shall be appointed in his place
by the party making the original appointment. If there is a
failure or refusal to appoint an arbitrator for thirty -(30)
days after written demand, a party or arbitrator may apply
to the Superior Court for Santa Clara County and said Court
shall designate and appoint such arbitrator or arbitrators.
(3) Hearings. All arbitrators appointed shall sit at
any hearing.
(e) Nature of Remedies. As to the remedies of either party
,ggrieved hereunder:
(1) Cumulative. No remedy conferred hereby or by the
law is intended to be exclusive of anv other remedy, but each
such remedy is cumulative and in addition to every other
remedy and may be exercised without exhausting and without
regard to any other remedy conferred hereby or by the law.
(2) Waiver. No waiver of any default or breach of
duty or contract shall extend to or shall affect any sub-
sequent default or breach of'duty or contract or shall impair
any rights or remedies herein.
(3) Belays. No delay or omission to exercise any right
or power accruing upon any default shall impair any such
right or power.or shall be construed to be a waiver of any
such default.
IN WITINESS,,WHEREOF, the parties hereto have caused these
resents to be executed by their respective officers -thereunto
duly authorized the day and year first above written.
A EST: CITY OF PALO ALTO
ity' Clerk
Mayor
��APPROVED pAS TO FORM:
CY y Attorney of Palo Alto
APP `VED :
City Ma ager
APPROVED:
Chief Utilities
Engi eer
'1PPROVED :
///,/„ � it � -,, //�• //J
City Contro.Ller
ATT T: CITY OF LOS ALTOS HILLS
To i Clerk BY
Mayor
A OVED AS TO FORM:
City Attorney of the
Town of Los Altos Hills
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E X H I B I T C
REPORT ON
CHARGES FOR SEWER SERVICE TO LOS AI.,TOS HILLS
April 6, 1967
INTRODUCTION
This report is a discussion of what capital facilities should be included in
the charges, the basis to establish the charges, the development of charges for
existing and future capital expenditures, and the development of charges for
volume of: sewage treated.
CAPITAL FACILITIES INCLUDED IN THE CHARGE
Los Altos Hills should pay.for a share of the existing treatment plant, major.
and minor trunk sewer systems, share in the future capital cost .of the treatment
plant and trunk sewer systems, and share in the cost of operation and mainten-
ance of the sewage treatment plant and trunk sewer system.
BASIS FOR THE ESTABLIST-&iENT -OF THE AP• OUNT OF THE CHARGE
The amount to charge for the treatment plant would be in the ratio of the ulti-
mate dry weather flow of Laos Altos Hills to the total Palo Alto plant flow.
The Charles S. McCandless and Company's August, 1966,report for the Town of
Los Alto.s__H,iLl indicates the average dr weather flow`wou'ld be -.0.83 MGD; this
is from Table 5-1, Page 33.
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From the: Jenks and A�amson.,Reuort for the City of Palo Alto, 1966,. Table 3-4,
Page 3-6, the ave =age dry weather flow for the total Palo Alto plant is 22.65
MGD. - -
Ratio = 0.83 t 22.65 = 3.66% --
On this assumption, :los Altos Hills would pay 3.66 percent of all existing and
future capital costs of the sewage treatment plant.
Participation in the capital cost for the major trunk.sewer system would be
bdsa_d cn the ratio of ultimate estimated peak flow rate of Los.Altos Hills to
the estimated ultimate .peak flow rate for the Palo Alto system. Agai:_, from
the McCandless Report, Table 5-1, Page 33, the peak flow for Los Altos Hills is
3.41 1,1GD. from the 1965 Brown and Caldwell Report, Table 4-3, Page 56, the
total peat flow was made up of 41.32 MGD from Palo Alto, 9.40. MGD from Stanford-
Z;riversity, and 3.41 MGD from Los Altos Hills, for a .,total of 54..13.
Ratio = 3.41 ; 54.13 = '6.3%
On this basis, Los Altos Hills -would pay 6.3 percent of all existing and future
capital costs of mayor trunk sewer systems.
0
REPORT ON
CHARGES FOR SEWER SERVICE TO LOS ALTOS HILLS 2.
Los Altos Mills' participation in the two minor trunk systems, the Palo Alto
Unified School District's extension.and foothills extension, would be based on
a ratio of area to be served: Palo Alto, 1,237; Los Altos. Hills, 2,636.
Ratio = 2.,636 t 3,873 = 68.06% –
On this basis, .Los Altos :sills would be charged 68.06% of the cost of the minor
trunk sewer system.
The charge for transportation, treatment, and disposal of sewage would be based
on volume treated. To determine the volume, there would be a. mutual- agreement
as to the volume of sewage per connection and a report of the number of active
connections.
DEVELOPMENT OF CHARGES
Charge for Sewage Transportation. Treatment, and Disposal
— — —
Thei:�964-65jrecorded operation and maintenance cost, exclusive of capital cost
I and �e� preci5ati.on, was $130,174 for treatment and di--pos sal and $6,145 for trunk
--
sewer system. The total plant flow for the year NgaLs 3,350 -milliori gallons. The
average cost for treatment per million gallons was $39.00. In developing the
operating and maintenance cost per million gallons for the trunk sewer system,,,
- we must exclude 390 million gallons flow from the East Palo Alto Sanitary District.
The District owns, operates, and maintains its own trunk sewer system. The total
flow through the Palo Alto trunk system was 2,960 million gallons, for an average
cost of .$_2..00 per million gallons. The, total cost for transportation and treat-
ment was $41,,00 per million gallons.
Assuming 400 gallo�is per day per dwelling unit, the annual cost per dwelling unit
equals:
400 x 365 x 41 t 1,000,000 = $6.00.per year.
Capital Cha des
The attached table shoes all elements of existing, current, and future capital
costs; costs. used are from official City of Palo -Alto records and recent con-
sultant studies. It shows allocations to Los Altos Hills based on.percentages
developed. A twenty-five.percent surcharge has been added to.the capital costs.
Also, we have calculated the cost to Los Altos Hills per gross acre.
Description
CHARGES FOR SEWER. SERVICE TO LOS ALTOS HILLS
CAPITAL CHARGES
Existing Capital Investment
Allocation of Cost to Los Altos Hills
X2,636 Gross Acres)
%Surcharge Cost per.
- Amount (25%) Total Gross Acre
.Treatment Plant
Trunk
$ 580,889
4b
6,000
3.66
-$1,058,861
$ 38,754
,Major
,Minor Trunk
System
System:
991,521
6.30
62,466
Palo Alto
School District
76,283
68.06
51,918
Foothills,
59-1
131,066
68.06
89,204
Total Existing
Capital Investment
$2;257,731
$242;342
Current Expansion
Major Trunk S
�.ajor }•sums:
$ 9,688. $ 48,442 $ 18.38
15,617;1 78,083. 29.62
12,980 64,898"- 24.62
22,301 111,505 42.30
$ 60,586 $302,928 $114.92
ar��ston Trun.e
Chinning Trunk
.,cal Current Expansion.
.
$ 580,889
4b
6,000
6.30 $ 36,596
6;3040,698
$ 77,294
$ 9,149.
10,174
_
$ 19,323
$ 45,745 $ 17.35
_50,872 19,30
$ 96,617 $ 36.05
$1,226,889
_
Total Existing Capital Investment
and Current Expansion9(1^
$3,484,6_0
$319,636
$ 79'9d9
-
1$3S9 545
Future Ex a�ision
Treatrr-Int Plant
Major Trunk Sys ter..,:
Central
East
West
Minor Trunk System:
Foothills
Total Future Expansion
Grand Total
.Summary
Treatment Plant
Major Trunk Sys ten,
Minor Trunk System
Total
$5,000 000 3.66$183,000.-:-'$-45,750
$228,750 S 86.79
18,000 6.30 1,134 284.33
864,700 6.30 54,476 13,619 68,095 25.83
350,000 6.30 22,050 5,512 27,562 10.46
90,000 68.06 51,254 152314 76,563 29.04
322, 0O $321,91'+ $ 80,479 $402,393 $152,65
$9,807,320 $641550 $160,388 $801938
$304.22
$6,053,861 3. 66 $221,754 $ 55,438 $277,1.92 $105.I7
3,451,110 6,30 217,420 54,355 271,775 103.09
_ 2972349 68.06 202,376 50,595 252,971 95,96
$9,807,320 $641,550 $160 388 ?;
__�_ $801,938 x..04.22