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HomeMy WebLinkAboutR-2014-078 First Amendment to Contract with Missouri American Water Company RESOLUTION NO. R-2014-078 A RESOLUTION APPROVING THE FIRST AMENDMENT TO CONTRACT WITH MISSOURI- AMERICAN WATER COMPANY AS SUCCESSOR IN INTEREST TO MISSOURI CITIES WATER COMPANY. BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI AS FOLLOWS: THAT the Board of Aldermen ('Board") hereby approves the First Amendment to Contract (a copy of which is attached hereto in its substantial form) with Missouri-American Water Company as successor in interest to Missouri Cities Water Company and authorizes the Mayor to execute the same on behalf of the City; and FURTHER THAT the Mayor, the City Administrator, and other appropriate City officials are hereby authorized to take any and all actions as may be deemed necessary or convenient to carry out and comply with the intent of this Resolution and to execute and deliver for and on behalf of the City all certificates, instruments, agreements and other documents, as may be necessary or convenient to perform all matters herein authorized. „PASSED D ADOPTED by the Board of Aldermen of the City of Riverside, Missouri, the day of �Ajje77� • 2014. Mayor Kathleen L. Rose ATTEST: (Robin Liftrell,u Cit Clerk A RESOLUTION NO. R-2014-078 First Amendment to Contract This First Amendment to Contract is made and entered this day of2014, between Missouri-American Water Company, as successor in interest to the Missouri C ' s Water Company ("MAWC") and the City of Riverside, Missouri ("Riverside"). 1. MAWC and Riverside are parties to a water storage lease contract ("Contract") dated March 17, 1987, a copy of which is attached and incorporated by reference. 2. The original term of the lease was for twenty (20)years which expired on March 17, 2007. 3. The Contract allows for additional five (5)year lease extensions by mutual agreement of the parties. 4. MAWC and Riverside desire to continue the agreement. Therefore, by mutual agreement, the original Contract is extended for an additional two five (5)year terms, the first of which was from March 17, 2007 to March 17, 2012. The second term commenced on March 17, 2012 and will expire on March 17, 2017, unless extended by mutual agreement. CITY OF RIVERSIDE, MISSOURI By: Mayor 7: MISSOURI-AMERICAN WATER COMPANY,AS SUCCESSOR IN INTEREST TO MISSOURI CITIES WATER COMPANY By: ` Its ATTEST: C(�I1A 91. C'bFa�al 1 CONTRACT THIS CONTRACT made and entered into this 17th day of March , 19�[' , by and between Missouri Cities Water Company, a corporation, and the City of Riverside, Missouri. WITNISSITH: For and in consideration of the mutual covenants hereinafter set forth, the parties hereby agree as follows: 1. That the City of Riverside, Missouri is exploring the possibility of installing an elevated water storage faeflity, along with the necessary connecting pipes to the present water distribution system owned and operated by Missouri Cities Water Company. Said water storage facility would be located within the city limits of the City of Riverside, Missouri in the area north of Missouri Highway No. 9 and west of Interstate Hwy. No. 635. 2. That if such a water storage facility is constructed, Missouri Cities Water Company agrees to lease said facilities and improvements from the City of Riverside, Missouri for a twenty (20) year term for the sum of One Dollar ($1.00) per year following the expiration of the initial term, the lease may be renewed by the mutual agreement of the parties for additional five (5) year terms. Provided however, notwithstanding any other provision of this contract, the City of Riverside may at any time during the first seven (7) years of this contract terminate this lease agreement after six (6) months written notice. Missouri Cities agrees that neither the value of this lease nor the tower site nor the necessary connecting portions of the distribution system shall be a part of the rate base nor a part of any value determinations in the event of sale, installation of parallel linea or condemnation.' 3. That Missouri Cities Water Company agrees to use and maintain said water storage facility and related improvements and to supply adequate water to fully utilize the water storage facility. 4. That the elevated storage facility, all water lines and all appurten- ances thereto, together with any other items or property constituting a part of the extension of water supply from the existing water distribution system to and from the storage facility, including water right of way, shall remain the absolute property of the City of Riverside, Missouri. 3. That the parties agree that Missouri Cities Water Company shall hold the City of Riverside, Missouri harmless from any and all loss sustained by 1 the City on account of any suit, Judgment, execution, claim, or demand whatso- ever, resulting from negligence on the part of Missouri Cities Water Company in the operation or maintenance of the above-described improvements and the adjoining real property. Missouri Cities Water Company agrees to maintain liability insurance on said property with the City of Riverside, Missouri named as an additional insured in the sum of Five Hundred Thousand Dollars ($500,000.00). 6. Missouri Cities Water Company agrees to do all maintenance that may be necessary or appropriate and to maintain the same maintenance schedule for this facility as for other facilities Missouri Cities has in the Platte County area. The maintenance shall include the maintenance of all of the tower site and right of way. The maintenance shall include mowing when appropriate. Missouri Cities acknowledges the contract with the original owner of this prop- erty conveying to the City of Riverside provides the following language: "It is agreed that there shall be a restrictive covenant in the deed requiring that the water tower on the site be painted either white, light gray, light blue, light green or else approval from Seller shall be obtained for any different color. It is further agreed that the site will be maintained so as not to be a nuisance or violate now existing City ordinances." Missouri Cities agree that they maintain the property in accordance with the restrictive covenant. 7. It is agreed that Missouri Cities Water Company shall provide F quate insurance against all perils including physical damage for so long this lease may remain effective with the City of Riverside as an additional ured. In the event that there is an insurance lose then the City of River- e shall be entitled to the proceeds from said insurance claim or claims. insurance shall be maintained in a value equal to the value of the water storage facility and related improvements. 8. This Contract shall be binding upon the parties hereto, their succes- sors and assigns and shall be in full force and effect from the date of execu- tion hereof. 9. Nothwithstandiug any other provision of this contact, the City reserves the right to install antennas, civil defense equipment or similar equipment and the City may allow others to make this kind of installation on the water tower, if the City decides it is in the public interest. It is agreed the installation will be done in a workmanlike manner and in a way not to impair the safety of others or the operation of the tank. 2 10. In consideration of the additional Buis of Ten ($10.00) Dollars and other good and valuable considerations paid by Missouri Cities Water Company to the City, receipt of which is hereby acknowledged, the City agrees to and does hereby indemnify and save the Missouri Cities Water Company harmless from and against any and all losses, damage, claims, actions, liability and expense in contract or in tart, in connection with loss of life, bodily injury and/or property damage occurring on or about or arising out of those portions of the water storage facility under City's control pursuant to Paragraph 9 hereof, or wherever arising if occasioned wholly or in part by any act or omission of, or any defect in workmanship or material furnished by the City, its subcon- tractors, sub-subcontrac tore of any of them, or by its agents, servants, employees or materialmen. The City agrees to maintain liability insurance with Missouri Cities Water Company being named as an additional insured in the sum of Five Hundred Thousand ($500,000.00) Dollars. IN WITNESS WHEREOF, the parties have caused this instrument to be executed by their duly authorised officers on the day and year first above written. MISSOURI CITIES WATER COMPANY J VrA Pre dant & General Manager ATTEST: 1117 Assistant Secretary CITY $ VE , 1/�S80 I t By: Mayor ATTTTT6E'SSTT s City ari� DIA-36 3