Chapter 13.35
SALE OF BULK WATER
Sections:
13.35.020 Mayor authorized to negotiate contracts.
13.35.030 Base rate for bulk water.
13.35.060 Rights of city protected and reserved.
13.35.070 Violation – Penalty.
13.35.010 Application.
This chapter shall apply do the sale of water by the city in bulk quantities (more than 400 CF) to entities not on the existing water system and who intend to export the water out of the region associated with the city’s water system. The chapter shall not be applicable to demands for water for fire fighting purposes. (Ord. 477 § 1, 2001)
13.35.020 Mayor authorized to negotiate contracts.
The mayor, in working with city staff, shall have the authority to negotiate contracts for the sale of bulk water with prospective purchasers, brokers, agencies or entities (purchasers) pursuant to the terms of this chapter. Said contracts, if in compliance with this chapter, shall be deemed to be approved by the council and will not require review and individual approval of the council. (Ord. 477 § 2, 2001)
13.35.030 Base rate for bulk water.
In negotiating contracts, the mayor shall ensure that at a minimum the rate charged to the bulk water purchasers shall be four times the established rate for noncity users. The basis for this rate is that the bulk purchaser has not born any of the expenses over the last five decades of the city’s existence that are associated with the acquisition, maintenance, upgrade and repair of the city’s water system. (Ord. 477 § 3, 2001)
13.35.040 Fees.
In addition to the base rate, the following fees shall be applied to the purchasers of bulk water:
(1) Contract and Negotiations Fee. Each purchaser shall pay a one-time contract development and negotiations fee of at least $500.00 and no more than $1,000.
(2) Load Fee. Purchasers shall be charged a load fee of at least $0.02 per gallon and no more than $0.07 per gallon to cover the costs associated with city crews having to schedule and load vehicles and/or containers with water.
(3) Treatment and Certification Fee. If purchasers are acquiring treated water, purchasers shall be charged a treatment and certification fee of not less than $0.04 a gallon and not more than $0.10 a gallon to cover the costs associated with the operation of the treatment plant The city utilities superintendent shall be authorized to issue a certificate indicating at the tire of loading the water had been treated in compliance with applicable state and federal regulations. (Ord. 477 § 4, 2001)
13.35.050 Taxes.
All sales of bulk water shall be subject to the established city utilities tax schedule. (Ord. 477 § 5, 2001)
13.35.060 Rights of city protected and reserved.
Rights of city shall be protected and reserved. Any contracts with purchasers of bulk water shall ensure that:
(1) The city has the right to end any such contracts if it is deemed by the mayor and/or the utilities superintendent that:
(a) The continuation of the contract would be detrimental to the health and welfare of the citizens of the city of Forks; or
(b) The continuation of the contract would not be in the best interest of the city as viewed and determined by the city’s representatives noted herein.
(2) Purchasers shall indemnify and hold harmless, pursuant to language used in the regular course of business by the city, of any and all causes of action, real or imagined, that are not the direct intentional act of the city, its employees, and/or agents. (Ord. 477 § 6, 2001)
13.35.070 Violation – Penalty.
Any city water customer who utilizes their water connection in a manner as to sell, gift or transfer water to an individual, organization, corporation, agency or subdivision thereof, or institution or subdivision thereof, for the purpose of using the water outside of the geographic coverage of the city’s water system shall be deemed to have violated this chapter. The penalty for violation of this chapter shall be the payment of a civil penalty of not less than $500.00 and not more than $1,000 and also be responsible for restitution equal to treble the amount of the value (rate plus fees) of the water removed from the city’s system. (Ord. 477 § 7, 2001)