Loading...
HomeMy WebLinkAboutResolution 2001-036 IGA with oro valley for provision of water along camino de oeste MARANA RESOLUTION NO. 2001-36. A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, APPROVING THE INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF MARANA, A MUNICIPAL CORPORATION, AND THE TOWN OF ORO VALLEY, A MIYNICIPAL CORPORATION, CONCERNING THE PROVISION OF DOMESTIC WATER SERVICE WITHIN MARANA TOWN BOUNDARIES IN TOWNSHIP 12S, RANGE 12E, SECTION 23 AND ALONG CAMINO DE OESTE SOUTH OF COUNTRYSIDE SUBDIVISION. WHEREAS, the Town of Marana and the Town of Oro Valley are empowered by A.R.S. Section 11-251 to enter into this Intergovernmental Agreement (IGA); and WHEREAS, Oro Valley purchased the assets of the Canada Hills Water Company in 1996 and currently provides domestic water service to the territory previously served by the Canada Hills Water Company ("Water Company"). Oro Valley issued revenue bonds to finance the purchase of the assets of the Water Company; and WHEREAS, a portion of the territory previously certificated to the Water Company is located within the corporate limits and planned service area of Marana as described in Exhibit A attached hereto and incorporated herein by this reference (the "Overlap Area"). Pursuant to the terms and conditions of this IGA, it is the intention of the parties that Marana provide domestic water service to the Overlap Area described in Exhibit A in Section 23, Township 12S, Range 12E and Oro Valley provides service to Overlap Area described in Exhibit A along Camino de Oeste south of Countryside Subdivision within the Marana boundaries; and WHEREAS, Marana agrees to pay Oro Valley Seven Hundred Fifty Dollars ($750.00) for each water service connection made by Marana in the Overlap Area less the water service connections made by Oro Valley in the Overlap Area; and WHEREAS, Oro Valley represents to Marana that the payments shall be used solely to pay principal and interest on the revenue bonds issued to purchase the Water Company. WHEREAS, the Mayor and Council determine that the acceptance of this Intergovernmental Agreement between the Town of Marana and the Town of Oro Valley would be in the best interest of the Town of Marana. Marana, Arizona Resolution No. 2001-36 1 of 3 NOW, THEREFORE, BE IT RESOLVED by the Mayor and Council of the Town of Marana, Arizona, that the Intergovernmental Agreement, attached hereto as Attachment A, and specifically incorporated herein by this reference, is hereby approved. PASSED AND ADOPTED by the Mayor and Council of the Town of Marana, Arizona, this 3rd day of April 2001. M~ayC~or ~ON ATTEST: , JR. Town ¢l rk /Daniel J. Hochuli, Esq. As Town Attorney and not personally Marana, Arizona Resolution No. 2001-36 2 of 3 ATTACHMENT A Intergovernmental Agreement Marana, Arizona Resolution No. 2001-36 3 of 3 F. ANN RODRIGUEZ, RECORDER ~ DOCKET: 11575 RECORDED E~: D K ~ PAGE: 2734 D~PUTX RECORDER NO. OF PAGES: 12 7864 ROOF SEQUENCE: 20011200709 ,SMARA 06/21/2001 TOWN OF MARANA AG 16:29 ATTN: TOWN CLERK 13251 N LON ADAMS RD MAIL MABANA AZ 85653 AMOUNT PAID $ 11.50 INTERGOVERNMENTAL AGREEMENT BETVFEEN THE TOWN OF MAJDtNA A2gD THE TOhVN OF ORO VALLEY This Agreement is between the Town of Marana, Arizona ("Marana"), a murficipal corporatioh, and the Town of Oro Valley, .arizona ("Oro Valley"), a municipal corporation. tLECITALS 1. Oro Valley purchased the assets of the Canada Hills Water Company in 1996 and currently provides domestic water service to the territory previously served by the Canada Hills Water Company ("Water Company"). Oro Valley issued revenue bonds to finance the purchase of the assets of the Water Company. 2. A portion of the territory previously certificated to the Water Company is located within the corporate limits and planned service area of Marana as described in Exhibit A attached hereto and incorporated herein by tkis reference (the "Overlap Area"). It is the intention of the parties that Marana proxfde domestic water service to the Overlap Are~ pursuant to the terms and conditions of th_is Agreement, except for that portion of the Overlap Area depicted on w hint v, ' Ex_h/bit A along Camino de Oeste south of Cotmlxyside Subdivisinn it he To m boundaries, which will continue to be served by Oro Valley. 3. Marana and Oro Valley are empowered by Arizona Revised Statutes Section 9-511 to provide domestic water service and by Arizona Revised Statutes Section 11-251 to enter into this Intergovernmental Agreement. NOW THEREFORE, in consideration of the mutual promises made herein, the parties agree as follows: l. Provision of Waer Service in the Overlaid Area. The parties actmowledge that Marana des/res to provide domestic water service to areas with/n Marana's corporate limits and that Marana's potential water service area may include the Overlap Area). Marana agrees to provide domestic water sen,ice to the Overlap ,~Sd'ea, pursuant to the terms and conditions of this Agreement and Marana's standard ten-ns and conditions of service. So long as Marana complies with this Agreement, Oro \ alle3 agrees not to render serx ice in the Overlap Area. ORIGINAL 2 OF 2 {3 2. Compensation to Oro Valley. Marana acknowledges that Oro Valley issued revenue bonds to finance the purchase of the assets of the Water Company ("Revenue Bonds"), which included within its CC&N, the total area encompassed by the Overlap Area. The parties agree that Marana, through its water service connection'fees repay that portion of those revenue bonds as more specifically set out herein. Therefore, except as provided in Paragraph 2.1, Marana shall pay to Oro Valley the amount of Seven Hundred Fifty Dollars ($750.00) for each water service connection made by Marana in the Overlap Area ("Reimbursement Payments"). Nothing in the Agreement shall be construed to limit the authority of Marana to charge a water service connection fee or development fee for new connections in the Overlap Area different than the amount of the Reimbursement Payment. 2.1 Existing Connections on Camino de Oeste. Oro Valley acknowledges that there are 4 existing water service connections made by Oro Valley on Camino de Oeste and Oro Valley shall continue to provide water service to said existing connections. Marana shall not be required to pay to Oro Valley a Reimbursement Payment for the first 4 water service connections in Section 23 of the Overlap Area. 2.2 Segregated Account. Each time Marana authorizes a water service connection in the Overlap Area, Marana shall place an amount equal to the Reimbursement Payment for such connection in a segregated account. All interest earned on the funds placed in the segregated account shall belong to Marana. 2.3 Schedule of Payments. Reimbursement Payments shall be transferred to Oro Valley on the first day of July and January of each year. 2.4 Adiustments to Reimbursement Payments. The Reimbursement Payments shall be increased annually on the anniversary date of this Agreement by 3%. 3. Representations of Oro Valley. Oro Valley represents to Marana that the Reimbursement Payments shall be used solely to pay principal and interest on the Revenue Bonds, or to reimburse Oro Valley for such payments. 4. Transfer of Facilities and Easements. 4.1 Oro Valley shall convey any Water Delivery Facilities it owns, if any, within the Overlap Area to Marana, except as provided in Paragraph 2.1 ("Water Delivery Facilities"). Oro Valley represents to Marana that as to any Water Delivery Facilities conveyed to Marana: (1) except for the indebtedness represented by the Revenue Bonds, there are no liens or encumbrances on said Water Delivery Facilities; (2) the Water Delivery Facilities are in compliance with all applicable codes and ordinances; and (3) the Water Delivery Facilities are located in fights-of-way dedicated to the public or in easements to be conveyed to Marana pursuant to Paragraph 4.2. Oro Valley shall appear, defend and indemnify Marana against any and all claims and causes of action incurred by Marana with respect to said representations and warranties. The Water Delivery Facilities shall be conveyed by Oro Valley to Marana on or before July 1, 2001. Conveyance of the Water Delivery Facilities, if any, shall be by a Bill of Sale in the form attached hereto as Exhibit B. The Reimbursement Payments shall constitute the total compensation to be paid by Marana to Oro Valley for the right and privilege to serve the Overlap Area, Oro Vatley's commitment to forego the provision of water service in the Overlap Area, the Water Delivery Facilities, the Easements and all other promises and consideration given by Oro Valley to Marana hereunder. 4.2 All easements owned by Oro Valley in the Overlap Area, if any, ("Easements"), shall be conveyed by Oro Valley to Marana on or before July 1, 2001. Oro Valley represents and warrants to Marana that, as to Easements conveyed to Marana, it owns the Easements, fi:ee and clear of all liens or encumbrances. In addition, and not by way of limitation, Oro Valley represents and warrants that any Water Delivery Facilities it may convey pursuant to Paragraph 4.1 are located in Easements it owns, fi'ee and clear of all liens or encumbrances. Conveyance of the Easements, if any, shall be by Special Warranty Deed in the form attached as Exhibit C. The Reimbursement Payments shall constitute the total compensation to be paid by Marana to Oro Valley for the Easements. Oro Valley shall appear, defend and indemnify Marana against any and all claims and causes of action incurred by Marana with respect to any claim by a third party of ownership of the Easements. 5. Limitation of Marana's Liability. Marana shall not by this Agreement incur any obligation whatsoever with respect to the Revenue Bonds and repayment of the Revenue Bonds shall be the sole obligation of Oro Valley. Marana's sole obligation is to remit to Oro Valley the Reimbursement Payments. 6. Term. The term of this Agreement shall commence on June 1, 2001 and shall terminate when the buildout of the Overlap Area is complete and all payments due for each water service connection have been paid to Oro Valley pursuant to Section two (2) above. All parties acknowledge that this Agreement is subject to cancellation pursuant to Section 38-511, Arizona Revised Statutes, as amended, the provisions of which are incorporated herein. 7. Default. 7.1 General. If either party breaches the terms of this Agreement, the non- breaching party shall provide written notice to the other specifying the facts upon which it is believed the breaching party has failed to comply with the terms and conditions of this Agreement. The party alleged to be in breach of this Agreement shall have ten days to cure the breach and, if the breaching party fails to cure the breach, then the remedies set forth in Paragraphs 7.2 and 7.3, as applicable, shall apply. 7.2 Default by Marana. If Marana breaches the terms of this Agreement, Oro Valley may elect to either provide domestic water service in the Overlap Area or sue Marana for damages in the amount of the Reimbursement Payments not paid. 7.3 Default by Oro Valley. If Oro Valley breaches the terms of this Agreement, Marana may sue Oro Valley for specific performance or monetary damages. 8. General Terms and Conditions. 8.1 This Agreement shall not be utilized by the Parties for any purpose other than resolving the issue of service to the Overlap Area and shall not be construed as setting any precedent regarding the Parties' rights to serve the Overlap Area in the absence of this Agreement. 8.2 This Agreement shall inure to the benefit of and be binding upon the parties hereto, their future grantees, respective successors and assigns. 8.4 This Agreement may be executed in one or more counterparts and each executed counterpart shall for all purposes be deemed an original and shall have the same force and effect as an ohginal. 8.5 This Agreement may not be amended or any of its terms modified without written consent of Marana and Oro Valley. 8.6 This Agreement shall be govemed by the laws of the State of Arizona. 8.7 All notices and demands required or permitted by this Agreement shall be in writing and shall be deemed to have been given properly when delivered personally or sent by Certified Mail (postage fully prepaid) to the respective address below or to such other address as may be furnished in writing to the other party. Notice to Oro Valley: Notice to Marana: Town Manager Town Manager Town of Oro Valley Town of Marana 11000 N. La Canadia Drive 13251 N. Lon Adams Oro Valley, Arizona 85737 Marana, Arizona 85653 8.8 This Agreement shall be recorded with the Pima County Recorders Office within ten days after its execution. 8.9 Conflict of Interest. Pursuant to A.R.S. § 38-511, the state, its political subdivisions or any department of either, may, within three (3) years after its execution, cancel any contract, without penalty or further obligation, made by the state, its political subdivisions, or any --: of the departments or agencies of either if any person significantly involved in initiating, negotiating, securing, drailing or creating the contract on behalf of the state, its political subdivisions or any of the departments or agencies of either is, at any time, while the contract or - any extension of the contract is in effect, an employee or agent of any other party to the contract in '.---' any capacity or a consultant to any other party to the contract with respect to the subject matter of ~--" the contract. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed the day and year written above. ORO VALLEY MARANA ]By ~-'~ ~ ATTEST: ATTEST: ATTORNEY DETERMINATION In accordance with the requirements of ARS Section 11-952(D), each of the undersigned att0mcys acknowledge that: (1) they have reviewed the above Agreement on behalf of their respective clients; and, (2) as to their respective clients only, each attorney has determined that this Agreement is in proper form and is within the powers and authority granted under the laws of thc State of Arizona. F~r the Town o~ro Valloy/ Date ~/ Date '/-'~'~ ~ -~/ EXHIBIT A Marana and Oro Valley A Water Service Overlap Area N ~ Oro Valley Water Service/~ea ~ Marana and Oro Valley Service Area Overlap . .-. ~ Marana Town Limits .. 0 0.2 0.4 ~i]es Exhibit B If any Facilities are found in that portion of Section 23 this fom~ will be used. EXHIBIT B-1 BILL OF SALE - PERSONAL PROPERTY OR GOODS Effective Date: County and State of Transaction: Pima County, Arizona SELLER(Name, Mailing Address and Zip Code) BUYER (Name, Mailing Address and Zip Code) Town of Oro Valley, .Arizona Town of Marana 11000 North La Canada Drive 13251 North Lon Adams Road Oro Valley, Arizona 8 5737-7015 Marana, Arizona 85653 Address or Location of Property Sold Marana, Arizona Personal Sold (List Personal Property by Description, Serial Number and other ldenti~,ing Charachteristics.) BILL OF SALE - PERSONAL PROPETY OR GOODS - Page 1 G-8 C LawFormsl0-71. Il-Si 12-90, 6-9! , 8-91 Conlinued on Reverse Side EXHIBIT B-2 1. Conx'eyance. For valuable consideration, receipt of which is ackn,.)wlcdgcd by Seller, Seller sells and conveys to Buyer the Property Sold, lo have and to hold the Property sold to Buyer and the heirs, executors, administrators and assigns of Buyer J'urevcr, and Seller and the heirs, executors, administrators and assigns of Seller warrant to defend the sale of the Property Sold lmto Buyer and the heirs, executors, administrators and assigns of Buyer, against all and-every person whomsoever lawfulb claiming or to claim. ~2. Warranty by Seller· Seller warrants that (1) Seller has title lo the Property Sold, or has the right to possess and convey kitle, (2) the Propurty Sold is free of all liens, and (3) has no defects and is in good workable, usable condition except: 3. Insurance and Risk of Loss· As soon as Seller conveys possession to Buyer by delivery, freight, or mail, the risk of lossI and duty for insurance protection sha pass to Buyer. Until that time Seller shall assume risk of loss and maintain fire, theft, and[ casualty insurance on the Property Sold. IN WITNESS WHEREOF. Seller and Buyer set their hands and seals as of the effective. ' ................................ ............... I STATE OF: Acknowledgement of Seller. ,,On this date, before Signature of Notary Public: ] me, a Notary Public, personatb appeared: I COUNTT OF: known to mc or satislactor~ly pro?n to be the person whose name is subscribed to this Notary Expiration Date: Date of thisAcknowledgement.: instrument and acknowledged that be executed the same. If this person's name is subscribed in a representatb.'e capactlty, it is for the principal named and n the capacity indicated. STATE OF: .Xcknowledgement nf Seller. On this date, before Signature of Notary Public: me. a Notary Public, pcrsunally appeared: COUNTY OF: known to me or saustactordy proven to be th~ Date of this Acknowledgement.: person whose name is subscribed to this Notary Expiration Date: instrument and acknowledged that be executed the same. If this person's n:~:ne is subscribed in a representative capactiw, it is for the principal named and n he capacity indicated. BILL OF SALE - PERSONAL PROPETY OR GOODS - Page 2 EXhibit C If any Facilities are found in that portion of Section 23 this form will be used. i i EXHIBIT C-1 When Recorded Return to: Town Clerk Town of Marana 13251 North Lon Adams Road Marana, Arizona 85653 SPECIAL WARRANTY DEED Exempt pursuant to A.R.S. §42-1614(A)(3) For the consideration of Ten Dollars, and other valuable considerations, I or we, PUT 1N NAME HERE do hereby convey to: Town of Marana, a municipal corporation the following described property situated in the County of Pima, State of Arizona, together with all rights and privileges appurtenant thereto, to wit: SUBJECT TO: Current taxes, assessments, reservations in patents and ail easements, rights of way, encumbrances, liens, covenants, conditions and restrictions as may appear of record. And the Grantor hereby binds itself and its successors to warrant and defend the title, as against all acts of the Grantor herein and no other, subject to the matters above set forth. Dated this day of .200_. [PUT IN NAME HERE] By Its STATE OF ARIZONA ) ) ss. i Count)' of Pima ) -' This instrument was ac 'knowledged before me this day of 200_, by Notary Public My Commission Expires: