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HomeMy WebLinkAbout5823AMENDMENT 41 TO KC 111-93 INTERLOCAL AGREEMENT BETWEEN KITSAP COUNTY AND THE CITY OF BREMERTON FOR DISCHARGE OF SEWER WHEREAS, on August 3, 1992, Kitsap County Sewer District No. 1 and the City of Bremerton entered into an interlocal agreement establishing the terms and conditions for the City of Bremerton to provide wholesale sewage treatment for the customers of the Sewer District, and WHEREAS, on March 8, 1993, Kitsap Sewer District No. 1 entered into a contract (KC 111-93) with Kitsap County, a Washington municipal corporation, to transfer all District assets and liabilities to the County, and dissolve the Sewer District, pursuant to the provisions of RCW 36.94.310 through 360, and WHEREAS, the Kitsap County superior court approved this contract, and directed the parties to transfer the assets and liabilities, as provided under the terms and conditions of said agreement, and WHEREAS, through signatures, the Commissioners of Kitsap County accepted the transfers on the terms and conditions of said agreement, and accepted the rights and responsibilities under the terms and conditions of the interlocal agreement with the City of Bremerton, and WHEREAS, the City of Bremerton now desires to amend the agreement entered into with Kitsap County Sewer District No. 1, and NOW, THEREFORE, the agreement shall be amended as follows: Section 5. Wholesale Rate F. (New Section) The City wishes to divert existing sewer flows over to a portion of Kitsap County's gravity system. This will aid the City and County in more effectively utilizing existing wastewater conveyance systems to the treatment plant. In consideration for diverting sewage at Arsenal Way and Oyster Bay Drive and into the county line, the City will remove metering station #3 (MS#3) and will charge the County a flat rate for flow. The flat rate for MS 93 has been calculated at $150 per month and the revised monthly billing flat rate effective for January 1999, will be $17,392.00. This rate shall be adjusted yearly per Section 5 (c) of the original agreement. Should new development occur in the county serviced by this line and result in additional flow, the County shall notify the City of the date of the occurrence and the approximate quantity for rate adjustment per Section 5 (d). Should large fluctuations in flow be suspected, the City of Bremerton reserves the right to use flow totalizers as a check of flow quantities. This revised flat rate shall not be interpreted to include the adjustments in billing done by metering stations #1 and #2 (MS #1 and MS #2) as per Section 5 (d). Any monthly adjustments to the billing due to excess flow through these two metering stations shall remain in effect. All provisions in the basic agreement remain in effect except as expressly modified by this amendment. Dated this day of F Y Y , 1999. Board of Commissioners Attest: 4H11'yA.n son Clerk of the and CJ.... /contracts/Sewer District No. 1/amendment Mayor, City of Bremerton IL Horton, Mayor DEP ti T APPROVAL: 5lW: Eugene Sam Director of Public Works/Utilities APPROVED AS TO FORM: Glenna alanca City Attorney N1 Peggy Lesser Risk Manager Attest: NiN Kathleen McCluskey City Clerk INTERLOCAL AGREEMENT FOR DISCHARGE OF SEWER DISTRICT #1 E C E. VE F"A I - ubli' W o�rk�s R & THIS AGREEMENT, between Kitsap. County Sewer District #1, a municipal corporation, duly organized and existing under the laws of the State of Washington, hereinafter referred to as "DISTRICT", and the City of Bremerton, a municipal corporation organized and existing under the laws of the State of Washington, hereinafter referred to as "CITY", is entered into pursuant to and in u conformity with RCW 39.34, the Interlocal Corporations Act and RCW 39.67.300 THE PARTIES AGREE as follows: Section 1. Purpose and Scope of Contract The CITY shall receive from, treat, and dispose of the DISTRICT's wastewater in accordance with the terms and specifications as hereinafter set forth. This agreement replaces and supersedes all previous agreements entered into between the CITY and the DISTRICT for service. Section 2. Term of Contract This contract will be in effect for a period of five years from 1 August 1, 1991. The agreement will automatically renew for an additional five year term, unless one of the parties gives written notice of an intent to terminate not less than 180 days in advance of the end of the initial five year term. Provided, however, that the CITY may not terminate this agreement unless the DISTRICT has a��yys{{,,uitable alternate source for treatment of its wastewater. of this Section 3. Definitions For the purpose of this agreement, unless it is plainly evident from the context that a different meaning is intended, the following words and phrases when used, are defined as follows: "Allocated Flow" means the maximum average flow that the DISTRICT is permitted to discharge into the CITY System. "Average Flow" means the average daily discharge of sewage computed by dividing the total quantity discharged during a month by the total number of days in said month. The result is expressed in million gallons per day (MGD). "Biochemical Oxygen Demand" (BOD)-means the quantity of oxygen used in the biochemical oxidation of organic matter in a specified time and at a specified temperature. BOD shall be the standard measure of sewage strength. "Capital Costs" means costs relating in whole or in part to the CITY treatment system and conveyance system which CITY has incurred or plans to incur for the purpose of new or expanded facilities and equipment to accommodate population, commercial and industrial growth; to meet federal, state, regional and local regulatory requirements; to replace deteriorated or inefficient facilities and equipment that are beyond the scope of normal maintenance; or for monitoring and data collection facilities. Such costs shall include, but not be limited to both direct and indirect costs for planning, design, construction, equipment, inspection, change orders and claims settlements. "CITY" means authorized employees and officials of the City of Bremerton or its designated agent. "City Treatment System" means the City of Bremerton Wastewater Treatment Plant, any sludge processing facilities (wherever located) designed to be operated in coordination or conjunction with the foregoing facility, and appurtenances necessary for the operation of the same. "Conveyance System" means all main line gravity sewers and force mains and pump stations, including appurtenances necessary or 3 convenient to the operation thereof. Said appurtenances include, but are not limited to, flow metering stations, control equipment, maintenance and cleanout facilities, and easements. These improvements may also be referred to in this contract as the "Transmission System". "Direct Costs" mean those costs to CITY which are identified specifically with a particular project. Direct costs may inc-LucxL--, but are not limited to, direct labor; costs of materials acquired, expended, or consumed; costs of construction contracts; costs of consultant contracts and costs of energy to operate the treatment and conveyance facilities. "DISTRICT" means authorized employees and/or officials of Ritsap County Sewer District No. 1 or its designated agent. "DISTRICT System" means all wastewater collection and conveyance facilities owned and operated by DISTRICT including gravity sewers, force mains, and pump stations. "Domestic Sewage" means wastewater from ordinary living processes discharged from dwellings, business buildings, and institutions. "Domestic Sewage Strength" is defined as not to exceed 220 mg/L HOD and/or TSS. 4 "Excess Flow" means flow over the average flow allocated to the DISTRICT. "Indirect Costs" means those costs to CITY which are applicable to a project or activity but are allocated among organizational units in relation to benefits derived in accordance with generally accepted accounting principles. Indirect costs may include, but are not limited to, labor expenses for elected officials and their staffs, for commissions, and for performance of administrative and supervisory functions; and expenses for data processing services, building services, utilities and materials. "Infiltration" means water other than wastewater which enters a sewer system from the ground through such means as defective pipes, pipe joints, connections, or access structures. Infiltration does not include, and is distinguished from, inflow. "Inflow" means water other than wastewater which enters a sewer system from sources such as roof leaders, cellar drains, yard drains, area drains, drains from springs and swampy areas, access structure covers, cross connections between storm sewers and sanitary sewers, catch basins, storm waters, surface runoff, or drainage. Inflow does not include, and is distinguished from, infiltration. "MGD" means million gallons per day of wastewater flow. 5 "Peak Flow" means the highest instantaneous rate of discharge, expressed as a volume per unit of time. "Point of Delivery" means any connection of a DISTRICTi' Sewer to the CITY System. "Service Area" means the areas located within the City or County jurisdiction designated to be served by CITY or DISTRICT. A service area may extend beyond the CITY or DISTRICT boundaries respectively. Respective Service areas in the vicinity of the DISTRICT shall be as defined in this agreement. "Sludge" means the accumulated settled solids deposited from wastewater or industrial wastes, raw or treated. "System Capacity" means the annual average design capacity of the City System. "System Average Flow" means the system volume divided by the number of time units in a calendar year. "System Volume" means the volume of sewage treated in the CITY ,System during a calendar year. "Total Suspended Solids" (TSS) means solids that either float on the surface of, or are suspended in water, wastewater, or other liquids and are largely removable by laboratory filtrations. TSS is a standard measure of sewage strength. "Wastewater" means the combination of the liquid and water - carried wastes discharged from residences, commercial and industrial establishments, together with infiltration and inflow that may be present. "Wholesale Rate" means a negotiated charge per unit of wastewater discharged to the City system by a customer whose discharge volume represents a significant portion of system volume such that direct cost allocations are feasible. Section 4. Service Levels A. Allocated Flow The DISTRICT is allocated an average flow of .4 million gallons per. day into the city treatment system. All discharges by the DISTRICT to the CITY system shall be through the three flow metering stat-ions: Pump Station WB-1 Flow Metering Station Pump Station WB-2 Flow Metering Station C Street Flow Metering Station No other points of discharge to the CITY system are presently known. Should additional points of discharge be identified in the future, the method of metering such discharges shall be as 7 designated by the CITY. B. Sewage Strength All wastewater discharge by the DISTRICT to the CITY system shall be domestic sewage strength as defined in Section 3 above. Section 5. Wholesale Rate A. Initial Wholesale Rate Commencing with the month of August 1991, the DISTRICT shall pay a wholesale rate of $15,970 per month. This rate assumes the DISTRICT's average flow does not exceed .4 mgd per day. If the average flow exceeds this limit, the rate adjustment provisions found in subsection D below shall apply. B. Basis for Initial Wholesale Rate. The CITY and the DISTRICT agree that the initial monthly wholesale rate is established using the figures set forth below. The CITY and the DISTRICT agree these numbers represent the DISTRICT's appropriate share of the system expense, given the DISTRICT's allocation of plant capacity. The basis for the monthly wholesale rate is as follows: Capital Cost Debt Service $ 130,915.00 Operations and Maintenance 41,175.00 City overhead 6,176.25 SUBTOTAL $ 178,266.25 B & 0 tax of 6% 10,695.98 Excise tax of 1.5% 2,673.99 Total payment in first year of $ i91,636.22 + 12 contract Monthly Ritsap Sewer District Wholesale Rate $ 15,970.00 z C. Adjustments to Initial Wholesale Rate (1) August 1st of each year, the operation and maintenance, and CITY overhead numbers, will be adjusted upward by the percentage increase in the Seattle/Everett all item consumer price index during the preceding calendar year, or the successor to this index. If there is not successor, then any generally accepted index showing the inflation rate, if any, for the United States as a whole shall be used to establish the increase in the rate. (2) At the CITY's request, the capital cost figure will be adjusted upward to reflect the DISTRICT's proportionate share of any treatment system capital cost incurred. Provided, however, this does not include treatment system capital costs to increase plant capacity. The additional debt service shall be computed after deducting any portion of the treatment system capital cost paid by the United States Navy, or grants. ( 3 ) The B & O tax and excise tax expenses shall be adjusted in the next calendar month after any change in their rate. These taxes shall also be adjusted in the next calendar month after any change in the DISTRICT's share of the capitol cost, operation and 9 maintenance, and CITY overhead expense. (4) For any given calendar month, the wholesale rate shall be the sum of the DISTRICT's responsibility for capitol cost debt service, operation and maintenance, CITY overhead, B & 0 taxes, and excise taxes, as they may be adjusted above. It is the CITY's responsibility to advise the DISTRICT of the need for these adjustments, and the basis for their assessment. D. Adjustment for Excess Average Flow (1) The DISTRICT's allocated flow is .4 mgd. As provided in Section 6(A), the CITY will measure the DISTRICT's wholesale flow on the first Monday of each calendar month. For any measuring period when the total wholesale flow exceeds .4 mgd times the number of days in the measuring period, the DISTRICT shall pay the wholesale rate as established under Paragraph 5(A) above, plus the following additional charge: a. For up to 3 million gallons of flow beyond the allocated flow, $2.14 per thousand gallons in flow, or part thereof. 2 b. For all flow beyond 3 million gallons over the allocated flow, $2.81 per thousand gallons, or part thereof. ( 2 ) The additional charge for excess flow will not apply until two years after the date this agreement is executed and approved by both the CITY and KITSAP COUNTY SEWER DISTRICT #1. August 1 of each year, beginning with the first August 1 after the additional 10 charge for excess flow is in effect,I the rates for excess flow shall be adjusted upward by the percentage increase in the Seattle/Everett All Item Consumer Price Index during the preceding calendar year, or the successor to this index. If there is no successor, than any generally accepted index showing the inflation rate, if any, for the United States as a whole shall be used to establish the increase in the rates. E. Wholesale Rate Adjustments for Excess Domestic Sewage Strength X X X X X X X X X X X X X X 11 1. The CITY will periodically test the strength of the DISTRICT's sewage. If for any three consecutive tests, the DISTRICT's sewage strength exceeds "domestic sewage strength" as defined in Section 3 above, the CITY reserves the right to reopen this contract on the issue of whether there should be a surcharge for excess sewage strength. For the purpose of this subparagraph, the CITY shall use the "twenty-four hour composite sample" method to test the sewage strength. Section 6. Metering, Billing, and Payment A. The CITY will be responsible for measuring flows at the points of delivery identified in Section 4 above. The CITY shall install, operate, and maintain the required metering equipment. The CITY will read the flow meters on the first Monday of each month. B. The CITY shall submit a monthly bill for wholesale sewer service to the DISTRICT based on the contract rates defined in this agreement. The bill will include a statement of the DISTRICT's total monthly flows to the CITY's sewage system at each flow monitoring station. C. The DISTRICT shall pay the CITY for services rendered within 60 days of receipt of the bill from the CITY. Interest at the rate of 1% per month will be charged on any invoice not paid with the 60 day limit. A minimum of one month's interest will be charged for 12 all late payments. D. On a bi-monthly basis, the CITY shall provide the DIS`i'RICT with a computerized list showing the domestic water consumption for all CITY water customers found within the service area boundary of the DISTRICT. Section 7. Service Area Boundary (a) For the purposes of this agreement, the boundaries of the DISTRICT service area shall be defined as follows: Beginning at a point that is the junction of the East right- of-way line of McCollum Avenue and the boundary of Sinclair Inlet meander line, then NE along McCollum Avenue to the NW right-of-way line of SR304 the NE along SR304 right--of--way approximately 760 feet, then NW to Lafayette Avenue, then SW along Lafayette Avenue to McCollum Avenue, then North along McCollum Avenue to Preble Street, then West along Preble Street to the center of Section 22 T24N R1E, then North ( along the center of section line) 360 feet, then West from the center of section line to a point 250 feet East of National Avenue, then North parallel to National Avenue to a point 150 feet South of 1st Street, then West parallel to 1st Street to Oyster Bay Avenue, then South along Oyster Bay Avenue and to SR3, then South along the east margin of SR3 to the South 13 section line (Section 22, Township 24 North, Range 1 East) then West along the section line to the 1/8 section corner of Section 28, Township 24 North, Range 1 East, then South along said 1/8 section line to Davis Street, then West on Davis Street to Rent Avenue and South on Kent Avenue to the center of section line (Section 28, Township 24 North, Range 1 East) then East of the center line to Sinclair Inlet. (b) The CITY agrees to not extend service to any resident within the DISTRICT's service area boundaries, except by written permission of the DISTRICT or as may be defined pursuant to R.C.W. 35.13A. The DISTRICT agrees to not extend service or expand its boundaries to any resident beyond the DISTRICT service area boundaries except by written permission of the CITY. (c) If the DISTRICT chooses to reassign any of its allocated flow to the CITY, the DISTRICT's wholesale rate, and the formula for establishing excess flow charges, shall be adjusted proportionate to the reassignment. Section B. Facilities Ownership and operation Responsibilities The CITY and DISTRICT with the execution of this agreement acknowledge that ownership of all facilities lying within the DISTRICT and upstream of the CITY's metering stations shall remain the property of the DISTRICT. The CITY assumes no responsibility 14 for operating, maintaining or replacing the DISTRICT's facilities by this agreement. At the request of the DISTRICT, the CITY may, at its option based upon available resources, provide additional services to the DISTRICT on a time and materials basis. Other services may include, but not be limited to, operation, maintenance or repair of facilities owned and operated by the DISTRICT, surveys, comprehensive planning,and utility billing. The CITY reserves the right to construct, use, own and maintain transmission mains and appurtenances for the purposes of conveyance of CITY wastewater from the CITY's system across the DISTRICT to the CITY's Wastewater Treatment Plant, subject to the terms of its existing and future local and state franchise agreements. Section 9. Transfer Ownership of Facilities The DISTRICT agrees to discontinue use, vacate, and transfer ownership to the CITY the 21- to 24-inch diameter sewage transmission main, originating at a connection point to the CITY's system at Rodgers Road and Auto Center Way and continuing South along the west side of State Highway No. 3, to a connection point to the CITY's system at the north property line of the CITY's Wastewater Treatment Plant. Together with those collection system mains and appurtenances lying West of SR3 and north of the south 15 section line of Section 21, Township 24 North, Range 1 East. The CITY agrees to discontinue use, vacate, and transfer ownership to the DISTRICT the 14- to 21-inch diameter sewage transmission main originating at a connection point with the CITY system at Oyster Bay Blvd. and .Arsenal Way and continuing south along the east side and across State Highway No. 3 to a connection point with the City's system at D Street and Bayview Drive. Section J.O. RegulatoryCompliance The DISTRICT agrees to comply with the provisions of all federal, state, and local rules and regulations governing sewage systems and the introduction of prohibitive discharges. The DISTRICT further agrees to insure that DISTRICT customers comply with all federal, state, and local rules and regulations regarding sanitary sewer construction. In the case of discrepancies between rules or regulations, the most stringent shall apply. Section 11. General Conditions (a) This document, including the exhibits incorporated herein, embodies the entire agreement between the CITY and the DISTRICT. No verbal agreements or conversations with any officer, agent, or employee of the CITY or DISTRICT prior or subsequent to the execution of this agreement shall affect, or modify any of its 16 terms or obligations. Deviation of any sort from the agreement terms must be authorized formally, in writing. No other authority for deviation from this agreement will be recognized as prior or official. The parties expressly reserve the right to renegotiate the provisions hereto, including the terms of this agreement, from time to time as may be necessary and to amend this agreement in response to current and future regulatory or other applicable requirements, provided however, that no alteration or modification of the terms or conditions hereof shall be valid and binding unless made in writing and signed by the authorized representatives of the parties. (b) This agreement shall be binding upon the successors and assigns of each of the parties. But neither party will assign this agreement without the written consent of the other. This written consent will not be unreasonably withheld, and at execution of this agreement, the CITY understands and accepts that the DISTRICT intends to assign its rights and responsibilities under this contract to Kitsap County at some time in the future. (c) It is understood that the relationship of the CITY to the DISTRICT is independent. None of the employees or agents of the respective parties shall be considered employees of the other. 17 (d) Each party warrants and represents that it has authority to enter into this agreement. (e) All notices to be given by either of the parties hereto to the other party shall be in writing and may either be delivered personally or may be deposited in the United States Mail, postage prepaid, as either certified or regular mail, addressed as specified below, or to such other designate in writing. Notices sent by mail shall be deemed to have been given 48 hours after properly mailed; the postmark affixed by the United States Post Office shall be conclusive evidence of the date of mailing. City: Director of Utilities 3027 Olympus Drive Bremerton, WA 98310 City Clerk 239 Fourth Street Bremerton, WA 98310 District: Sewer District No. 1 702 Charlotte Ave S Bremerton WA 98312 (f) In the event that any provision herein is declared illegal or invalid, no other provisions of this agreement shall be affected, and this agreement shall then continue in full force and effect as though such illegal or invalid provisions had not been contained herein. (g) This agreement shall be construed and interpreted in accordance with the laws of the State of Washington. The venue of any action brought hereunder shall be the Superior Court of Ritsap County, Washington. (h) The DISTRICT agrees to complete and present to the CITY by December 31, 1993, a complete infiltration and inflow study, and an engineering report/comprehensive plan establishing the DISTRICT's capital needs, estimated costs for construction, and a schedule for construction, to repair any infiltration and inflow problems or other capital deficiencies found within the DISTRICT's system. (i) The City will agree to defend, and hold the District, and its assigns, harmless from, the pending litigation over the sewer plant, including the costs of litigation. Provided, that if the City is required to provide any capital improvements to the plant, or purchase land to resolve the litigation, the District and its assigns will pay 6.34% of the average annual debt service for this expense. (j) If either party to this agreement is required to use the 19 services of an attorney to enforce any provisions in this agreement, the prevailing party in that dispute shall be entitled to an award of costs, and a reasonable attorney's fee. DATED this � day of �, 19 IQ-, CIT OF BREMERTON k BX: \ LOUIS MENTOR, y1or ATTEST: KATHLEEN L. McCLUSKEY, Perk DEPARTMENT APPROVAL: BY: U ' aA WILLIAM DUFFY, Utilities Director AP D AS FORM: r LL..� IAN R. SI VERS, City Attorney KITSAP CgJJNTY SEWER DISTRICT #1 FAM STATE OF WASHINGTON ) . ss. COUNTY OF KITSAP ) a On this day personally appeared before me Louis Mentor, Bremerton City Mayor, and Kathleen L. McCluskey, Bremerton City Clerk, to me known to be the individuals described in and who executed the within and foregoing instrument, and acknowledged that they signed the same as their free and voluntary act and deed for 20 the uses and purposes therein mentioned. Given under my hand and official seal this..249 Clay of Notary Public in and for the State of , Washington, residing at AfiPq,yyytr)v My Commission Expires: — 0.-y_ pY STATE OF WASHINGTON—-` COUNTY OF KITSAP - ) On this day personally appeared before me JAMES HOOD , LYNN JOHNSON , and GEORGE MURKER , of Kitsap County Sewer District #1, to me known to be the individuals described in and who executed the within and foregoing instrument, and acknowledged that they signed the same as their free and voluntary act and deed for the uses and purposes therein mentioned. Given under my hand and official al this G day of 19�• Notary PuVIic in and for the State of Washingto , residing at My Commission Expires: �. 21