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HomeMy Public PortalAboutORD11009 ® BILL NO. 87-202 SPONSORED BY COUNCILMAN Halsey ORDINANCE NO. �On2 AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH WATER DISTRICT NO. 2 FOR BILLING AND COLLECTING SEWER USER'S FEES. BE IT ENACTED BY THE COUNCIL OF THE CITY OF JEFFERSON, MISSOURI, AS FOLLOWS: Section 1. The Mayor and Clerk are hereby authorized and directed to execute an Agreement with Water District No. 2 as it pertains to billing and collecting sewer user' s fees. Section 2. The agreement shall be substantially the same in form and content as that agreement attached hereto as Exhibit A. Section 3. This Ordinance shall be in full force and effect from and after the date of its passage and approval. ® Passed Approved S'8 -T" esi Officer r ATTEST: City Clerk AGREEMENT This Agreement, made as of the r' day of , 198 , � pursuant to the action of the City /Counc 1 on , c/ , 198 ,? , authorizing this agreement between tbd City of Jefferson, a municipal corporation, located in Cole County, State of Missouri, (hereinafter called "City") , and Water District Number 2 (hereinafter called "'Water District") : WITNESSETH: In consideration of the premises, and the mutual covenants and agreements hereinafter contained, it is agreed by and between the parties hereto as follows: 1. City does hereby employ Water District as City's agent to bill and receive payments for all sewer service charges arising from sewer service within Water District Number 2 as provided for in Section 26-130 of the Code of the City of Jefferson, Missouri, and Water District does hereby accept said employment from City. 2. City does hereby designate and appoint its Director of Public Works as City's representative to whom all inquiries from Water District with respect to the performance of Water District's obligations under this Agreement shall be referred, and the decisions of said Director of Public Works shall be final, binding upon the Water District and decisions upon which Water District may fully rely. 3 . After the effective date of this Agreement the Water District shall cause monthly bills to be rendered for sewer service charges to all "residential, commercial, and industrial establishments" within Water District, as defined in Section 25-1 of the Code of the City of Jefferson, Missouri. Current sewer service charges shall be billed as a separate item on the water bill rendered by Water District to its customers. On or before the 25th day of each month City shall furnish Water District a complete list of all new or discontinued accounts of residential, commercial and industrial establishments as defined in said Section 26-1, together with the sewer service charges to be billed to each such establishment and the period for which such charges shall be billed. Water District shall bill such charges in accordance with such direction received from City. Water District shall have no obligation whatsoever to render bills to any residential, commercial and industrial establishment as defined in said Section 26-1, other than those who are customers of Water District. In all instances in which Water District shall be in doubt with respect to the applicability and/or determination of sewer service charges, such matters shall be referred to City which shall i 4 ® determine the same transmit such determinations in writing to Water District. Water District shall thereafter cause to be rendered all applicable sewer service bills in accordance with such determinations. In every instance in which City shall adjust the sewer service charge applicable to a given establishment, City shall notify Water District thereof in writing and Water District shall thereafter cause bills to be rendered for sewer service charges to such establishment in accordance with said determination. 4 . Water District shall cause sewer service charges to be billed in accordance with the terms and provisions of Chapter 26 of the Code of the City of Jefferson, Missouri, and any rules and regulations promulgated thereunder. In the event that City shall at any time, or from time to time, in the future make any change in the rate schedule of sewer service charges to be billed by Water District, City shall not make such changes effective sooner than :30 days from and after the date upon which written notice thereof shall have been delivered by City to Water District. City agrees that such adjustments, if any, to billings for over or under registration of Water District's water meters as Water District shall determine should be made for the purpose of billing for water service shall likewise be made for the purpose of billing sewer service charges. ® Nothing in this agreement shall be constructed to limit in any way the Water District's right to discontinue its service to any of its customers at any time in order to enable the Water District to enforce its own regulations relative to water service or to enforce payment or partial payment of water due and owing to Water District or sewer service charges due and owing to City, and Water District shall incur no liability whatsoever to City as the result of any loss in sewer service charges resulting therefrom. Nothing in this Agreement contained shall be construed as obligating Water District to discontinue water service at an establishment because of the non-payment of such establishment of sewer service charges, provided, however, that Water District may discontinue water service at any establishment because of the non-payment of any amount due by such establishment for water. 5. Monthly bills rendered for sewer service charges shall be due and payable at Water District's office at the time that Water District's monthly bills are due and payable. Water District shall on or before the 25th day of each calendar month deposit with the Treasurer of City the full amount of all sewer service charges collected by the Water District during the preceding calendar month. Water District shall also deliver to the Director of Public Works during the months of July and January of each year, or more often if Water District desires, a list of all establishments which have failed to pay sewer service charges and the amount of such establishment's delinquency according to the books and records of the Water District, and �sas Water District shall credit against and amounts due City the ® amount of sewer service charges which have been billed and not received by the Water District during the preceding accounting period, and which sewer charges have been paid by Water District to City when billed. Water District agrees that it will properly account for and transmit to City all sewer service charges billed or collected by Water District for City. Water District agrees to furnish City a fidelity bond in the penal sum of $25, 000.00, countersigned by a surety company satisfactory to City, which shall indemnify City against and loss sustained by reason of the failure of Water District to turn over to City all sums of money billed or collected by Water District and due City under the terms of this agreement. All premiums for such fidelity bond shall be paid by City. 6. Water District's liability under the terms of this Agreement between Water District and City relative to the collection of sewer service charges, shall be limited solely and exclusively to any loss sustained by City by reason of Water District's failure to account of sewer service charges. In consideration of Water District's agreement to perform the duties and responsibilities imposed upon it by this Agreement, City does hereby release and forever discharge Water District of and from any and all claims, demands, damages, actions, causes of action, or suits at law or in equity, of whatsoever kind or nature, which City may hereafter have against Water District on account of any ® action whatsoever either taken or failed to be taken by Water District under the performance of Water District's duties and obligations under the terms of this Agreement, except the Water District's obligation to account for and transmit to City all payments of sewer service charges received or billed by Water District. As further consideration of Water District agreeing to bill and receive payment of sewer service charges as provided in this Agreement City hereby covenants and agrees that it will indemnify and save harmless Water District from and against any and all actions or causes of action, claims, demands, liabilities, loss, damage or expense of whatsoever kind of nature, including attorney's fees which Water District shall or may at any time sustain or incur by reason or in consequence of any alleged act of Water District or alleged failure to act by Water District in performance of Water District's duties and obligations under the terms of this Agreement, except for Water District's obligation to account for and transmit to City all payments of sewer service charges billed and received by Water District. It is agreed between the parties hereto that Water District shall have no obligations to enforce collection of delinquent sewer service charges, provided, however, that Water District may discontinue water service to any establishment for its failure to pay in full all charges for water and sewer service charges • billed, and it shall be the sole and exclusive obligations of City through its duly authorized officers and agents, to enforce collection of sewer service charges, provided Water District ® shall furnish all necessary information from its records that may be required by City to enforce collection of said delinquent sewer service charges. In the event a customer of Water District shall make a partial payment on a bill which contains charges or both water and sewer service charges, Water District shall apply any such partial payment of the charges for water and sewer service charges on a pro-rata basis, based on the amounts of the respective charges. Nothing in this Agreement shall prevent Water District from discontinuing water service to any customer for failure to pay the balance of all charges billed to customers. 7. In consideration of Water District"s rendering bills for and receiving payments of sewer service charges, as provided in this Agreement, and transmitting to City such sewer payments billed and furnishing to City lists of all establishments which are delinquent in the payment of sewer service charges, City shall pay Water District the sum of 450 for each and every bill caused to be rendered by Water District to customers of Water District for the preceding month on which a sewer service charge is set forth and billed. Such charges are based in part on a mail postage rate of 100 per each bill mailed by Water District and it is agreed that in the event the United States postage rate is greater than 140 per bill that the charge of 450 for each bill rendered to customers of Water District shall be automatically increased by 50% of the amount of the postage increase. In the event City requests Water District to render any service other than one of those hereinbefore set forth in this Agreement, such as, but not limited to, providing City with date to be used for the adjustment and/or collection of sewer service charges, sending out delinquency notices on City's forms, or making reclassifications of accounts which are required to be made as a result of (a) special instructions received by Water District from City or (b) amendments made by City to said Chapter 26 or (c) changes in rules and regulations promulgated under said Chapter, Water District shall render such additional service to City and shall make a separate charge therefor. Such additional charge shall be reasonable related to the cost of providing the service. From time to time, as may be appropriate after the date of this Agreement, Water District shall compute the total sum due it for services rendered by it over and above the sum of 450 and 450 per bill for each and every bill rendered by Water District. The amount so computed shall be deducted from the amount of sewer service charges billed by the Water District during the preceding month. At the same time that each monthly deposit of sewer charges billed is made by Water District, Water District shall furnish the City Treasurer with an accounting for the sum ® deducted by Water District as payment of its services rendered under this Agreement. S. The term of this Agreement shall commence on the day of , 198 , and terminate one year later, provided, however, after the termination date the term of this Agreement shall continue on a year to year basis until changed or terminated as hereinafter provided. City or Water District shall have the right to terminate this Agreement, effective on the first day of any calendar month, provided that City or Water District shall give written notice of Water District's or City's intention to cancel said Agreement at least six (6) months prior to the effective date of such cancellation. 9. This Agreement is binding upon the parties hereto and upon their respective successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed the foregoing instrument on the , day of a,2--c-/ , 19 e CITY OF JEFFERSON By May ATTEST: City Clerk WATER DISTRICT #2 By ATTEST: