HomeMy Public PortalAbout134-2012 - Sanitary - Indiana American Water - Water service teWATER SERVICE TERMINATION AGREEMENT
THIS WATER SERVICE TERMINATION AGREEMENT ("Agreement") is.entered
into as of this P2 3 day of CtNIW2012 (the "Effective Date") by and between the
City of Richmond, Indiana, a municipal corporation acting by and through its Board of
Sanitary Commissioners ("City") and Indiana -American Water Company, Inc. (the
"Company"). Hereafter, the City or Company may also be referred to individually as a
"Party" and collectively as the "Parties".
WHEREAS, pursuant to IC 36-9-25-12(b)(4), the Company is willing to
discontinue water service provided by the Company, at the request of the City, to sewer
users who are delinquent in the payment of their sewer user fees to the City upon the
terms and conditions contained in this Agreement.
NOW, THEREFORE, In consideration of the foregoing and of the mutual
covenants and agreements herein contained, the Parties hereby agree as follows:
1. Effective Date and Term. The provision of services under this Agreement
will not begin until the City has provided the Company with an opinion of legal counsel in
a form satisfactory to the Company that all ordinances have been validly adopted and all
actions have been validly taken by the City to: (a) make this Agreement effective under
IC 36-9-25-12(b)(4); (b) comply with the requirements of IC 36-9-25-11.5(b){3); and (c)
make this Agreement a valid, binding and enforceable obligation of the City. This
Agreement'shall be null and void unless such legal opinion is provided to the Company
within thirty days from the Effective Date of the Agreement. The term of this Agreement
shall be one (1) year from its Effective Date ("Term% and such Term shall be
.automatically renewed for successive one-year Terms, unless written notice of
termination is given by either Party to the other at least sixty (60) days prior to the end of
the original or any renewal Term. Either party may also terminate this Agreement at any
other time by written notice delivered to the other Party at least sixty (60) days prior to
the termination date.
2, Water Utilfty _ Service Disconnection. The City may request that the
Company disconnect water service to delinquent users (as that term is used in IC 36-9-
25-11.5) who are customers of the Company by providing written notice in the manner
and with the information required by the Company. Written notices will only be issued by
the City to coincide with the normal billing and disconnection cycles of the Company,
and the Company shall disconnect service during its next normal billing and
disconnection cycle. If the Company does not have the capacity to shut off all delinquent
sewer users in the next normal cycle, it will shut off such delinquent sewer users in the
following normal cycle. Issuance of this written notice by the City shall, for the
termination of water utility service to the identified sewer service users, constitute a
certification and representation by the City to the Company that all requirements for the
termination of water utility service to the identified sewer service users under IC 36-9-25-
11.5(a) through (e) and the applicable ordinance(s) of the City have been fulfilled, and
that all users for whom water utility service disconnection is requested are "delinquent
users" as that term is used in IC 36-9-25-11.5.
Contract No. 134-2012
3. Disconnection Days. Disconnections shall be made only between 8:00
a.m. and 3:00 p.m. on normal business days, which days ("Disconnection Days") shall
be all days excepting: (a) Fridays, Saturdays and Sundays; (b) Company holidays and
the business days immediately preceding Company holidays; and (c) severe weather
days, as determined by the Company in accordance with its policies. The Company
may alter its Disconnection Days to comply with: (a) the rules for disconnection of water
service as then promulgated by the Indiana Utility Regulatory Commission ("IURC"); (b)
Company Rules and Regulations as approved by the IURC; or (c) legislation. Nothing in
this Agreement shall interfere with, inhibit or delay the Company from discontinuing its
service to any of its customers at any time pursuant to the Company's Rules and
Regulations approved by the IURC relative to water. service or payments owed to the
Company for water service, or for any other reason.
4. Disconnection Refused. Notwithstanding the receipt of a notice from the
City, disconnection of water service.need not be made by the Company if: (a) a local
board of health has found and certified to the Company or the City that the termination of
water service to the delinquent sewer user will endanger the health of the user and/or
others in the municipality; -(b) if such disconnection otherwise would be prohibited under
170 IAC 6-1-16(c)(1) or the Company Ru[es'and Regulations approved by the IURC; (c)
if Company is prohibited from disconnecting by order of any governmental agency,
including the IURC, or a court of law; or (d) the City is delinquent in the payment to the
Company of invoices rendered by the Company pursuant to Section 7 of this Agreement.
In addition, in no event shall the Company be required to disconnect a fire line service
without authorization from the governmental authority responsible for fire protection to
the affected property, even in cases of combined fire and domestic service lines..
5. Charges. Charges to the City shall be as set forth in Exhibit A to this
Agreement. Charges may be adjusted by the Company no more than once per Term,
upon sixty (60) days prior written notice, based upon increased costs to provide the
services in this Agreement.
6. Restoration of Water Service. The Company shall not knowingly restore
Company water service to a disconnected sewer user: (a) until the sewer service fee
delinquency which resulted in the disconnection has been resolved or cured; or (b) after
disconnection it is determined that service must be restored due to the circumstances
listed in Section 4 (a)-(d) above. The City shall provide written notification to the
Company within one (1) business day after such sewer service fee delinquency has
been resolved or cured, in the manner and with the information required by the
Company. The Company, following this written notification, will reconnect water service
in accordance with IURC regulations and Company procedures for reconnection upon
payment of a delinquent Company bill for general water services or as required by law.
7. Company I-labilify for User Fees. If the Company does not discontinue.
service to a delinquent sewet user within the later of thirty (30) days after receiving
notice from City, or the end of the next Company billing and disconnection cycle
following such thirty (30) day period, the Company shall be liable to City for any user
fees incurred from such date and that are not collected from the user, as provided by IC
36-9-25-11.5(f)-
8. Company Reimbursement Procedure_ The Company will record by water
service address, fees to be recovered from the City related to the disconnection and
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reconnection of service. The Company shall submit monthly to the City, no later than the
1 Vh business day of each month, an invoice reflecting the accumulated costs from the
work records since the preceding monthly invoice. Payment of such fees shall be made
by the City within thirty (30) days thereafter.
9. Excused Nonperformance. The Company shall not be liable for
nonperformance under this Agreement caused by an employee work stoppage or other
event or circumstances beyond its reasonable control. The Company shall promptly
notify the City of any such occurrence and expected duration of any cause, which may
affect its capability to perform this Agreement.
10. Responsibility for Claims. Except as provided by law in IC 36-9-25-
11.5(e), if a claim arising out of a disconnection or reconnection pursuant to this
Agreement is made against the Company, or any director, officer, employee or agent
thereof, the City shall indemnify and save harmless the Company and its aforesaid
representatives and shall reimburse them for all expenses incurred by them in defending
against such claim, including attorneys' fees and costs of litigation and any amounts for
which they are found liable or which the Company or any of them, with the City's
consent, pays in settlement of the claim. The City may, at its discretion, undertake the
defense of any such claim made against the Company or its aforesaid representatives,
in any event indemnifying and saving the Company and such persons harmless
therefrom.
11. Nondiscrimination. Pursuant to Indiana Code 22-9-1-10, Indiana
American, or any person acting on its behalf, shall not discriminate against any
employee or applicant for employment to be employed in the performance of this
Agreement, with respect to hire, tenure, terms, conditions or privileges of
employment or any matter directly or indirectly related to employment, because
of race, religion, color, sex, disability, national origin, or ancestry.
12. Compliance with Indiana E-Verify Program Requirements Pursuant to
Indiana Code 22-5-1.7, Contractor is required to enroll in and verify the work eligibility
status of all newly hired employees of the contractor through the Indiana E-Verify
program. Contractor is not required to verify the work eligibility status of all newly hired
employees of the contractor through the Indiana E-Verify program if the Indiana E-Verify
program no longer exists. Prior to the performance of this Agreement, Contractor shall
provide to the City its signed Affidavit affirming that Contractor does not knowingly
employ an unauthorized alien in accordance with IC 22-5-1.7-11 (a) (2). In the event
Contractor violates IC 22-5-1.7 the Contractor shall be required to remedy the violation
not later than thirty (30) days after the City notifies the Contractor of the violation. If
Contractor fails to remedy the violation within the thirty (30) day period provided above,
the City shall consider the Contractor to be in breach of this Agreement and this
Agreement will be terminated. If the City determines that terminating this Agreement
would be detrimental to the public interest or public property, the City may allow this
Agreement to remain in effect until the City procures a new contractor. If this Agreement
is terminated under this section, then pursuant to IC 22-5-1.7-13 (c) the Contractor will
remain liable to the City for actual damages.
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13. Notification and Notices. Each Party shall promptly notify the other Party
in writing of any customer claim or complaint or any demand, notification or other legal
process received by it affecting, or relating to, the performance of either Party under this
Agreement. Such notification shall include a copy of the instrument embodying the
claim, demand, notification or other process, if same if in writing. Any notice, demand or
communication required herein or permitted hereunder shall be deemed to have been
sufficiently given or served for all purposes if. (a) delivered personally to the Party or to
an authorized representative of the Party to whom the same is directed; (b) sent by a
nationally recognized overnight delivery service, charges prepaid; or (c) sent by certified
mail (return receipt requested), postage and charges prepaid, in each case addressed
as follows:
If to the City:
City of Richmond
50 North 5" Street
Richmond, IN 47374
Attn: Mayor
If to the Company:
Indiana -American Water Company, Inc.
555 E. -County Line Road, Suite 201
Greenwood, IN 46143
Attn: Vice -President of Operations
With a copy to:
Indiana -American Water Company, Inc.
555 E. County Line Road, Suite 201
Greenwood, IN 46143
ATTN: Corporate Counsel
or to such other address with respect to a Party as such Party shall notify the
other in writing as above provided. Except as otherwise provided in this Agreement, any
such notice shall be deemed to be given on the day personally delivered, one (1) day
after the date on which the same was deposited with a nationally recognized overnight
delivery service, or three (3) business days after the date on which the same was
deposited in a regularly maintained receptacle for the deposit of United States mail, in
each case addressed and sent as aforesaid.
14. City to Collect_ Amounts and Handle Complaints. All collection of amounts
due by the sewer user, responses to customer inquiries about sewer service and
amounts owed therefore, and disposition of customer complaints about sewer service
and amounts owed therefore will be handled by the City, and the Company shall have no
responsibility with respect thereto.
15. Assignment. This Agreement shall not be assigned in whole or part
without the written consent of the other Party; provided, however, the Company may
assign this Agreement without the City's consent if the successor in interest of the
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Company is an affiliate of the Company or results from a merger or consolidation with
another company or the sale or transfer of the Company's. utility system.
16. Independent Contractors. Both Parties agree that for all purposes of this
Agreement, the Company shall be an independent contractor and not an employee of
the City.
17. Amendments. All amendments to this Agreement must be agreed to in
writing by both Parties and signed by a duly authorized officer of each Warty.
18. Entire Agreement. This Agreement contains the entire agreement among
the Parties hereto with respect to the termination of water service to sewer users who
are delinquent in the payment of sewer user fees, and supersedes all prior agreements
and understandings between the Parties with respect to the subject matter thereof.
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IN WITNESS WHEREOF, the Parties have duly executed this Agreement
effective as of the day and year first above written.
INDIANA-AMERICAN WATER CO., INC.
By: 2 ce A. EC —
Vice President of Operations
THE CITY OF RICHMOND, INDIANA, by and
through its Board of Sanitary Commissioners
Richard Sodiker, President
Gilbert Kiose, Vice President
�Greg Member
Date: it) " .� 3 to
APPROVED: tl\�� 00f
Sarah L. Hutton, Mayor
Date: /0
U.
Exhibit A
CHARGES
The Charge for each disconnection under this Agreement, including the corresponding
reconnection, shall be $65.00, to be billed at the time of disconnection.