17-R-15 - 1st Amendment to Mutual Regional Water Supply Contrct between SSLGC and SAWSWHEREAS, the Schertz Seguin Local Government Corporation, the City of Schertz, the
City of Seguin, and San Antonio Water System (collectively the Parties ") entered into a certain
Mutual Regional Water Supply Contract (the "Water Supply Contract ") effective on January 1,
2011, for delivery and treatment of water; and
WHEREAS, the Parties desire to amend the Water Supply Contract to change certain
requirements for administration, water delivery and water purchase;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
I-1 01W
Section 1. The City Council hereby authorizes the City Manager to execute and
deliver the Amendment with Schertz /Seguin Local Government Corporation and San Antonio
Waters System in substantially the form set forth on Exhibit A.
Section 2. The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 3. All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 4. This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 5. If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
Section 6. It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
Section 7. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this 28th day of February, 2017.
CITY ODjlj�,U,]�RTZ, TEXAS
R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
50234811.1
50234811.1 A -1
First Amendment to Mutual Regional Water Supply Contract
This First Amendment to Mutual Regional Water Supply Contract ( "First Amendment')
is entered into by and among the Schertz/Seguin Local Government Corporation (the
"Corporation "), a non - profit corporation of the State of Texas (the "State"), created and existing
under the laws of the State, including the Texas Transportation Corporation Act, as amended,
Texas transportation Code Section 431.001 et. Seq., the City of Schertz, Texas, a home -rule city
( "Schertz "); the City of Seguin, Texas, a home -rule city ( "Seguin "); and the City of San
Antonio, Texas, a home -rule city, acting by and through its San Antonio Water System
( "SAWS ").
Recitals
Whereas, the Corporation, Schertz, Seguin, and SAWS (collectively the Parties ") entered
into that certain Mutual Regional Water Supply Contract (the "Water Supply Contract') effective
on January 1, 2011, for delivery and treatment of water; and
Whereas, the Parties desire to amend the Water Supply Contract to change certain
requirements for administration, water delivery and water purchase;
Now therefore, in consideration of the mutual covenants and agreements herein
contained, the sufficiency of which are hereby acknowledged, and upon and subject to the terms
and conditions hereinafter set forth, the Parties mutually undertake, promise and agree as
follows:
1. Section 1.01.13. Notice is deleted and replaced in its entirety by the following:
Section 1.01,13. Surplus Dater Commitment Subject to Section 1.1 LB and further
subject to a delivery schedule mutually determined by the Parties on an annual basis,
SAWS shall be obligated to accept into the SAWS Water System and pay the
Corporation for Surplus Water in the following amounts in calendar years 2018
through 2020 (the "Minimum Surplus Water Amounts"):
a. 500 acre -feet in calendar year 2018;
b. 500 acre -feet in calendar year 2019; and
c. 500 acre -feet in calendar year 2020.
After December 31, 2020, SAWS shall not be obligated to accept any amount of
Surplus Water into the SAWS Water System and shall not be obligated to pay the
Corporation for any Surplus Water not accepted by SAWS. SAWS shall pay the
Corporation on a monthly basis at the rate set forth in Section 2.03.B for (a)
Minimum Surplus Water Amounts which have been actually delivered by the
Corporation in compliance with this Contract, (b) any additional amount of Surplus
Water for which timely notice of acceptance has been given by SAWS and which has
been actually delivered by the Corporation, and (c) such incidental additional
amounts of water not to exceed twenty -five acre -feet per calendar year delivery of
which is attributable to accounting and operational procedures. The Corporation shall
use data obtained from the SAWS Supervisory Control and Data Acquisition System
(`SCADA ") at 11:59 p.m. on the final day of each month as the official monthly
measurement of the water volume delivered to SAWS. The Corporation may make
available to any person the amount of Surplus Water in excess of the volume of
Surplus Water that SAWS agreed to accept.
2. Section 1.O 1.E. SurvIus Waster Commitment is deleted and replaced in its entirety by
the following:
Section 1.O1.E. Su lus Water Notice. The Corporation hereby notifies SAWS that
the Minimum Surplus Water Amounts will be available from the Corporation in
calendar years 2018 through 2020. The Corporation may notify SAWS in writing at
any time if an additional amount of Surplus Water ( "Additional Surplus Water
Amount ") in excess of the Minimum Surplus Water Amount for the following
calendar year becomes available for SAWS. Within thirty (30) calendar days of
receipt of the written notice, SAWS shall notify the Corporation in writing of the
Additional Surplus Water Amount SAWS agrees to accept.
3. The second sentence of Section 2.02.D. SAWS Water is amended to read as follows:
SAWS shall notify the Corporation in writing on or before April 1 of each year
during the term of this Contract of the amount of groundwater SAWS and its sources
will be authorized by the GCUWCD to pump in the following calendar year (the
"Annual Authorized Pumping Amount ").
4. Section 2.03.G.;Annual Projected Volume; is deleted and replaced in its entirety by
the following:
Section 2.03.G. Annual Preliminary and Final Notice of Rates.
1. Each year on or before May 1 beginning in 2017, the Corporation shall
provide preliminary written notice to SAWS of the anticipated rate to be paid
by SAWS for (a) treatment and transportation of SAWS water, and (b)
Surplus Water; subject only to unforeseen adjustments necessitated by the
Corporation's final budget development before July 1.
2. Each year on or before July 1 beginning in 2017, the Corporation shall
provide written notice to SAWS of the rate to be paid by SAWS for (a)
treatment and transportation of SAWS water, and (b) Surplus Water; all in
accordance with this Section 2.03, for the following calendar year.
3. Both the preliminary written notice and the final written notice shall include
supporting information and documentation sufficient to enable SAWS to
evaluate the basis for any adjustments to the current rates.
4. Within fourteen (14) calendar days of receipt by SAWS of each notice, SAWS
will notify the Corporation in writing, of any objections to the adjustments.
Within fourteen (14) calendar days of receipt by the Corporation of the written
objections, the parties shall meet and attempt to resolve any objections by
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SAWS. This subsection G relates only to the determination of Operation and
Maintenance Charges and does not relate in any way to the debt service on the
Contract Revenue Bonds.
5. The terms of this First Amendment shall be construed as part of the terms of the
Water Supply Contract in all respects. In the event the terms, covenants or conditions
of this First Amendment conflict with the terms, covenants or conditions of the Water
Supply Contract, the terms of this First Amendment shall control. All other terms and
conditions of the Water Supply Contract remain in full force and effect. Capitalized
terms used but not otherwise defined herein shall have the respective meanings
ascribed to such terms in the Water Supply Contract.
6. This First Amendment may be executed in counterparts, each of which shall be an
original and all of which together shall constitute but one and the same instrument.
7. The effective date of this First Amendment is January 1, 2017,
IN WITNESS WHEREOF, the Parties acting under authority of their respective
governing bodies have caused this First Amendment to be duly executed as of the
Effective Date.
Aite�t
Secretary, Board of Directors
Attest:
Attest: c
City Secretary
Attest:
City Secretary
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SCHERTZ /SEGUIN LOCAL GOVERNMENT
CORPORATION
By:
President, Board of Directors
SAN ANTONIO WATER SYSTEM
By:
Robert R. Puente
President/Chief Executive officer
CITY SCHERT TEXA
By:
City Manager
CITY OF SEGUIN, TEXAS
City Manager