File #: 16-825    Name: Cooperative Service Agreement with NTMWD and NCSUD
Type: Resolution Status: Approved
In control: City Council Regular Meeting
On agenda: 8/16/2016 Final action: 8/16/2016
Title: Consider/Discuss/Act on a Resolution Authorizing the City Manager to Execute a Cooperative Service Agreement with North Texas Municipal Water District and North Collin Special Utility District to Provide Temporary Water Supply Service to North Collin Special Utility District Customers in the Vicinity of Trinity Falls
Attachments: 1. Resolution, 2. Cooperative Service Agreement 2014, 3. Potable Water Agreement 2014, 4. Location Map, 5. New Cooperative Service Agreement

Title

Consider/Discuss/Act on a Resolution Authorizing the City Manager to Execute a Cooperative Service Agreement with North Texas Municipal Water District and North Collin Special Utility District to Provide Temporary Water Supply Service to North Collin Special Utility District Customers in the Vicinity of Trinity Falls

 

Summary

 

COUNCIL GOAL:                        Direction for Strategic and Economic Growth

 

MEETING DATE:                     August 16, 2016

 

DEPARTMENT:                     Development Services / Engineering

 

CONTACT:                     Michael Hebert, PE, Assistant Director of Engineering

 

 

RECOMMENDED CITY COUNCIL ACTION:

                     Approval of the Resolution.

 

ITEM SUMMARY:

                     This item authorizes the City Manager to enter into an agreement with North Collin Special Utility District (NCSUD), formerly known as North Collin Water Supply Corporation, and North Texas Municipal Water District (NTMWD) regarding temporary water service in the NCSUD service area in the vicinity of Trinity Falls.

                      In February 2014, the City entered into the attached Cooperative Service Agreement with NCSUD and NTMWD such that NCSUD could provide water to the Trinity Falls Development.

                     This original agreement was put in place due to the low volume of water then consumed within the Trinity Falls Development. 

                     Without the original agreement, a 30” City of McKinney waterline over two miles in length would have needed to be constructed.  With the low demand at the time, a significant volume of water would have needed to be flushed during drought conditions.  The agreement allowed the development to be served without the loss of any water during drought conditions.

                     In 2014 there was also a potable water supply pass through agreement executed between the City, NCSUD and the Trinity Falls developer.  This agreement, attached herewith, obligated Trinity Falls to install the infrastructure necessary for the connection to the NCSUD system.

                     That potable water supply pass through agreement also considered the time when Trinity Falls had adequate water demand to be able to install the 30” waterline, at which time the city would then supply NCSUD with an equivalent amount of water that was provided by them for Trinity Falls.  Both the City and NCSUD have paid for the water each entity respectively uses since NTMWD modifies the quantities billed based on readings taken at the master meter located adjacent to the Trinity Falls development.

                     The 30” waterline serving Trinity Falls is now in place, and the agreement (being considered now) between the City, NCSUD and NTMWD will authorize the City to provide that equivalent amount of water to NCSUD from the City of McKinney’s 30” line.

                     In addition to the benefits described above, this agreement will:

o                     Provide more use of the water in the City’s 30” line, maximizing water quality in that line and minimizing the potential need to flush the line.

o                     Allow NCSUD to make any needed repairs to their lines near Laud Howell Parkway and Trinity Falls Parkway.  This line is a single feed to NCSUD’s service area west of US 75.

o                     Honor the deal points of the 2014 Potable Water Pass Through Agreement.  

o                     Foster improved understanding and cooperation among the city, NCSUD, and NTMWD.

 

BACKGROUND INFORMATION:

                     This item is being considered by NCSUD and NTMWD at their respective meetings this month.

                     The term of the contract is for a period not to exceed five (5) years.

 

FINANCIAL SUMMARY:

                     NTMWD will deduct the quantity of water provided to NCSUD from McKinney’s water use and add it to NCSUD’s water use.  Thus there will be no change in the City’s or NCSUD’s take or pay with NTMWD.

 

BOARD OR COMMISSION RECOMMENDATION:

                     N/A