DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT: Growdon Road Well Operating Agreement
SUMMARY:
The Office of Public Utilities and the staff of the San Antonio Water System (SAWS) have negotiated an operating agreement for the well at the City vehicle impound facility. The agreement provides that SAWS will operate and maintain the well, which provides the only sources of non-potable water to the impound facility which is located at 3625 Growdon Road, San Antonio, Texas.
BACKGROUND INFORMATION:
On March 6, 2008, City Council passed Ordinance 2008-03-06-0180, which authorized an agreement between SAWS and the City for the operation and maintenance of a groundwater well at the Growdon Road facility, and for the plugging of an abandoned well. The agreement has expired and City staff and SAWS have negotiated a new agreement for City Council approval. The major terms of the agreement are as follows:
(a) The new agreement will be for a period of five years and both parties may jointly agree to a five year extension;
(b) SAWS will operate and maintain the well at Growdon Road, which provides the exclusive source of non-potable water for the vehicle impound facility for a monthly payment of $2,000, down $224 from the previous monthly payment of $2,224 in the prior agreement; and,
(c) For an annual lease fee of $420, SAWS will make available to the City for withdrawal from the well at Growdon Road, 3 acre feet of groundwater per annum, with the City reserving the right to increase this amount up to 5 acre feet.
ISSUE:
The Well Operating Agreement between the City and SAWS has expired and a new agreement is needed to ensure the efficient operation of the well at the vehicle impound facility.
ALTERNATIVES:
The City could continue operating the vehicle impound facility without an operating agreement and the related preventative maintenance. Repairs could be performed on an ad-hoc basis.
FISCAL IMPACT:
The Sa...
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