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ORDINANCE NO. 76 . . . . I' .... " ..... r"'; ... i!LC, 1tJ' ORDINANCE NO. -'1If-- AN ORDINANCE RELATING TO THE ACQUISITION OF A WATERWORKS SYSTEM BY THE CITY OF SCHERTZ, TEXAS; CONTAINING PROVISIONS PERTAlNING TO SAID SYSTEM AND ITS SERVICES; CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT; AND PROVIDING THAT THIS ORDINANCE SHALL BE IN FULL FORCE AND EFFECT FROM AND AFTER ITS ADOPTION 7/ to THE STATE OF TEXAS ~ COUNTY OF GUADALUPE ~ The City Council of the City of Schertz, Texas, convened . in ~ session at the City Hall within said City on the ~~ay of ~~, 1962, with the following members pres- ent, to-wit: Dr. Roy W. Richard Mayor Ralph R. Ikels Alderman Elgin Beck Alderman George P. Bolton Alderman W. E. Ebert Alderman R. R. Cosby Alderman G. W. Pickrell City Secretary and,the following members(s) absent, to-wit: ~~ , when the following, among other business, was transacted, to-wit: The Mayor introduced an ordinance which was read in full. Alderman ~ made a motion that the ordinance Alderman~econded the motion for be adopted as read. adoption of said ordinance. The motion, carrying with it the adoption of the ordinance, prevailed by the following vote: AYES: Aldermen Ikels, Beck, Bolton, Ebert, Cosby, and Mayor Richard. NOES: None. The Mayor thereupon announced that the motion had dUly and lawfully carried, and that the ordinance had been duly and lawfully adopted. The ordinance thus adopted follows: . . . . . . " . . 70 ORDINANCE NO. ......73... AN ORDINANCE RELATING TO THE ACQUISITION OF A WATERWORKS SYSTEM BY THE CITY OF SCHERTZ, TEXAS; CONTAINING PROVISIONS PERTAINING TO SAID SYSTEM AND ITS SERVICES; CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT; AND PROVIDING THAT THIS ORDINANCE SHALL BE IN FULL FORCE AND EFFECT FROM AND AFTER ITS ADOPTION WHEREAS, Schertz Water Works, Inc., a Texas corporation (hereinafter sometimes called "Corporation"), owns and operates a waterworks system which serves the inhabitants of the City of Schertz, Texas (hereinafter sometimes called "Schertz"), and j10ther inhabitants in the habitants of the Town of vicinity of Schertz, including certain in- Universal City, Texas (hereinafter some- times called "Universal City"); and WHEREAS, Corporation is. operating in Schertz under a franchise granted by Ordinance No. 71 which was adopted by the governing body of Schertz on the 1st day of March, 1962, and is operating in Universal City under a franchise granted by Ordinance No. 24 which was adopted by the governing body of Universal City on the 20th day of December, 1960; and WHEREAS, Schertz has been, and is, negotiating with Corporation for the purchase by Schertz of said waterworks system; and WHEREAS, it is recognized that: (a) Schertz may purchase and operate the entire system, or (b) Universal City may purchase from Schertz, Corporation, or otherwise, and operate, those distribution lines of the system which are withih the corporate boundaries of Universal City (the remainder of the system, including the water wells, water storage tanks, transmission mains transporting water to Schertz, and pumps of the system which are located within the corporate limits of Universal City, to be owned and operated by Schertz) ; . . . . and WHEREAS, if Universal City does purchase those distribution lines of the system which are within the corporate boundaries of Universal City, it is agreed that the purchase prioe therefor is the sum of $257,500 plus the cost of any and all capital improvements made by corporation to said distribu- tion lines from date of this ordinance to date of conveyance of distribution lines to Universal City (any such capital improvements being subject to approval by Universal City); and WHEREAS, in the event that Schertz does purchase and operate the entire system, then Schertz will operate that part of the system which is with- in Universal City; and WHEREAS, in such event, Schertz wishes to obtain the consent of Universal City covering the operation thereof within Universal City; There- fore BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS: Section 1: That the matters and facts recited in the preamble to this ordinance are hereby found and declared to be true and correct. Section 2: That, concerning the waterworks system owned and operated by Schertz Water Works, Inc., it is hereby recognized: That the City of Schertz, Texas, may purchase and operate said entire waterworks system, or That the Town of Universal City, Texas, may purchase from said City of Schertz, from said Schertz Water Works, Inc., or otherwise, and operate, those dis- tribution lines of said waterworks system which are within the corporate limits of Universal City (the remainder of the system including the water wells, water storage tanks, transmission mains transporting water to Schertz, and pumps of the system which are located within the corporate limits of Universal City, to be owned and operated by Schertz). Section 3: That, in the event that the City of Schertz purchases and operates said entire waterworks system, it will operate . . . . that part of the system which is within Universal City. Section 4: That a certified copy of this ordinance shall be furnished the governing body of Universal City, and the same shall be considered as a request to said governing body to adopt an ordinance consenting and agreeing, in the event that Schertz does purchase and operate said entire system, that Schertz shall have the right and authority to operate the same within Universal City. The formal consent or agreement shall be made at the time that Schertz acquires the entire system, and shall be accomplished either: by Universal City's approval of the assignment and transfer to Schertz of the franchise of said Schertz Water Works, Inc., granted by Ordinance adopted by Universal City on December 20, 1960, or by a separate franchise or other agreement con- taining essentially the same provisions as the above-mentioned franchise, in either event, the rates for the services of said system in Universal City to be the same, within classes, as those rates charged for such services in Schertz, and, further, that neither Schertz nor the properties of said system within Universal City shall be subject to taxation of any kind. Section 5: That, in the event that Universal City purchases those distribution lines of the system which are within its corporate boundaries and Schertz purchases or owns the remainder of said system, including the water wells, water storage tanks, transmission mains transporting water to Schertz, and pumps of the system which are 10- cated within the corporate limits of Universal City, and neither Schertz nor the properties of the remainder of said system shall be subject to taxation of any kind; and Universal City agrees that Schertz may operate said remainder of the System in Universal City. .....if . . . . Section 6: That it is hereby recognized and declared that neither this ordinance nor any ordinance adopted by Universal City in compliance with the request contained in this ordinance shall in any way affect the right of Universal City to purchase or otherwise acquire on or prior to the ~ day of ~, 196~, those distribution lines of said system lying within the corporate boundaries of Universal City. Section 7: That it is further recognized Schertz will have to issue and sell bonds in order to obtain moneys to purchase said system, and that such bonds must have been previously authorized at a bond election called by and held in Schertz, and it is agreed that if the issuance of the bonds submitted at said election fail to receive a majority vote of those voting at the election, this ordinance shall be held for naught. Section 8: That this ordinance shall be in full force and effect from and after its adoption. PASSED AND APPROVED this 2:'%iRdday of NI'lIJPMbPR , 1962. Texas ATTEST: Jf l(I-2.<'i~et{ City Secretary (SEAL)