R-2019-0480 - 12/5/2019 RESOLUTION NO. R-2019-0480
WHEREAS, Zoning and Development Code, Chapter 4, Article VI, Section 4-80 Code of
Ordinances (2018 Edition) provides that under certain conditions the City will furnish water and
wastewater services outside of the city limits; and
WHEREAS, ARZ Partners, LLC, the owner of record of the property at Lot 1, Block A, Siena
C Store, a subdivision of Williamson County, Texas, as shown in Exhibit "A" ("Property"), has
requested that the City furnish wastewater service to said Property; and
WHEREAS, the Council hereby determines that the City has adequate capacity of wastewater
service available for the purpose of serving the Property without impairing services within the City;
and
WHEREAS, the owner of the Property must comply with all of the provisions of §4-80 with
respect to costs, construction standards, inspections, etcetera; and
WHEREAS, the owner of the Property must also comply with applicable subdivision and
platting statutes and ordinances,Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
That subject to owner compliance with applicable subdivision and platting statutes and
ordinances, and pursuant to Zoning and Development Code, Chapter 4, Article VI, Section 4-80 Code
of Ordinances (2018 Edition) the City Council hereby approves the furnishing of wastewater service to
the Property, subject to the owner compliance with the requirements of said §4-80, at the rates
specified in §4-80(b) of the Code, and in accordance with the Out-of-City Wastewater Service
Agreement described below, and
BE IT FURTHER RESOLVED,
That the Mayor is hereby authorized and directed to execute on behalf of the City an Out-of-
City Wastewater Service Agreement with ARZ Partners, LLC, a copy of said agreement being attached
hereto as Exhibit "B" and incorporated herein for all purposes.
0112.1902;00435746
The City Council hereby finds and declares that written notice of the date, hour, place and
subject of the meeting at which this Resolution was adopted was posted and that such meeting was
open to the public as required by law at all tunes during which this Resolution and the subject matter
hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act,
Chapter 551, Texas Government Code, as amended.
RESOLVED this 5th day of December, 2019.
CRAI MOAN, Mayor
City of Roui Rock, Texas
ATTEST:
SARA L. WHITE, City Clerk
2
EXHIBIT
„A"
OUT-Old"-CITY WASTEWATER SERVICE AGREEMENT
THIS OUT-OF-CITY WASTEWATER SERVICE AGREEMENT ("Agreement"), is
made and entered by and between A.RZ PARTNERS, LLC, a Texas limited liability company,
referred to herein as the "Customer," and the CITY OF ROUND ROCK, TEXAS a home-rule
municipality located in Williamson and Travis Counties, State of Texas, referred to herein as the
"City." The Customer and the City are hereinafter referred to collectively as "the Parties," or
individually as a"Party."
RECITALS;
WHEREAS,the Customer is the owner of record of the property at Lot 1, Block A, Siena
C Store, a subdivision of Williamson County, Texas, according to the map or plat recorded as
Document No. 2017075514 of the Official Public Records of Williamson County, Texas
("Property"), and
WHEREAS, the City has determined that it is desirable for the parties for the Property to
receive wastewater service from the City notwithstanding the fact that the Property is outside the
City's corporate limits,and
WHEREAS, the City does not have an existing Out-of-City Wastewater Service
Agreement with the Customer to provide wastewater to the Property, and
WHEREAS, the Customer and the City desire to enter into this Agreement to formalize
the terms by which the City will provide five (5) living unit equivalents of wastewater service to
the Property, and
WHEREAS,pursuant to the Zoning and Development Code,Chapter 4,Article VI, Sec. 4-
80, Code of Ordinances (2018 Edition), City of Round Rock, Texas, the City Council hereby
determines that there is adequate capacity of wastewater treatment services available for the
purpose of servicing Customer without impairing services within the City, NOW, THEREFORE:
WITNESSETH:
That for and in consideration of the mutual promises contained herein and other good and
valuable consideration, and the covenants and agreements hereinafter contained to be kept and
performed by the respective Parties hereto,it is agreed as follows:
Article 1. Customer's Obligations Under this Agreement
1.01 Customer shall be required to own and install a standard wastewater service line
which will connect with wastewater lines owned by each of Siena Municipal Utility District No.I
("District I")and Siena Municipal Utility District No.2("District 2"and,together,the"Districts")
via a wastewater line owned by District 1 in the location shown on Exhibit "A." Customer shall
be required to enter into a separate agreement with the Districts for pass-through water service and
maintain said agreement at all times during the term of this Agreement. Customer's wastewater
{W0933728.4)Out of city wastewater contract for Siena C Store(10 15 19) (00433471xA08F8)(W0933728-4xB6045)
flows shall enter the City's wastewater system as shown in Exhibit"A." Customer shall provide
the City with a copy of the executed pass-through agreement with the Districts prior to the parties
executing this Agreement.
1.02 Customer shall grant the City the right of entry and access to Customer's private
wastewater line attached to the Districts' wastewater lines at all times to inspect,to investigate the
source of operational or maintenance problems,to prevent or detect,minimize,or avert operational
or maintenance problems, or for any other purpose reasonable related to the provision of service
under this Agreement. The Customer will cooperate with the City to provide access for these
purposes, provided that the City provides Customer at least one working day's written notice or,
in the event of an emergency,prior notice by telephone,confirmed facsimile,or electronic mail of
its need for access.
1.03 Customer shall be responsible for securing sufficient rights allowing Customer to
construct, install, operate, maintain, inspect, reconstruct, enlarge, relocate, rebuild, repair, and
remove a wastewater system and lines,together with all necessary lines,pipes,conduits,manholes,
ventilators, and other equipment, improvements, accessories and appurtenances or operations
thereto, in, upon, over, under, above and across any necessary areas of private or public property
to connect to the Districts' wastewater lines. Such right shall not conflict with any existing
easements held by the City.
1.04 Customer shall comply with all requirements of the Zoning and Development Code,
Chapter 4,Article VI, Sec. 4-80,Code of Ordinances(2018 Edition), City of Round Rock, Texas,
regarding the furnishing of sewer services outside the city limits, a copy of such Sec. 4-80 being
attached hereto as Exhibit "B," incorporated herein by reference. Failure to comply with any of
these requirements shall give the City the option of terminating this Agreement.
1.05 Customer agrees that in the event the Property becomes contiguous with the City
limits of Round Rock, Texas,and meets all requirements of annexation,the owner of the Property
shall immediately apply for annexation into the City, and cooperate fully with the annexation of
the Property into the City and any zoning requirements of the City.
1.06 The parties agree that in the event the Property becomes annexed by the City or
otherwise becomes included within the City's limits, the City agrees to support C-la zoning for
the Property.
Article 11. Provision of Wastewater Services
2.01 City agrees to sell Customer wastewater service as required by Customer for
domestic use on an as needed basis for the Property.
2.02 The wastewater service to be provided herein is for the Property as described in
Exhibit"A"and no other property.
Article.11I. Rates and Fees
3.01 Prior to connecting to the City's wastewater system, Customer agrees to pay City a
one-time wastewater connection fee of$1.01495.00. Any additional service resulting from future
(W0933728.4) 2
additions built on the Property shall require Customer to pay additional impact fees in accordance
with Zoning and Development Code, Chapter 4, Article VI, Sec. 4-82, Code of Ordinances (2018
Edition), City of Round Rock, Texas,and as may be amended from time to time.
3.02 Customer agrees to pay City for all wastewater services provided to Customer at
the rate authorized by Chapter 44, Article II, Sec. 4-34, Code of Ordinances (2018 Edition), City
of Round Rock, Texas,as amended from time to time, applicable to customers located outside the
corporate limits of the City. Consistent with that provision, the volume charge shall be twice the
rate for commercial customers located within the corporate limits ofthe City.Because the Property
is served with water from Jonah SUD, the wastewater service will be calculated based on the
Customer's average water consumption for December, January, and February of each winter, as
determined from Jonah SUD's water bills. Customer agrees to provide the City with copies of the
aforesaid bills by April 1,of each year.
3.03 The City shall render monthly bills to Customer for wastewater services. Payment
shall be made no later than the sixteenth (16Ih) day following the mailing of the bill. Failure by
Customer to make a payment when and as specified will give the City the option to terminate all
obligations of the City under this Agreement.
3.04 Customer shall be subject to the penalty provisions for late payment as now exist
in Chapter 44, Code of Ordinances (2018 Edition), City of Round Rock, Texas, and as may be
amended from time to time.
Article IV. Compliance with Ordinances
4.01 Customer agrees to comply with all of City's ordinances as they now exist or may
be amended from time to time regarding the sanitary use of the wastewater treatment system.
4.02 Customer agrees to pay the one-time wastewater connection fee as set forth in Sec.
3.01 above and to pay all other fees applicable to wastewater service.
4.03 Customer agrees and understands that the City's willingness to provide wastewater
service to the Property is expressly contingent on the Property continuing to be used for retail sales
and service and gas station commercial uses within a 10,000 square foot building. Customer shall
not change or expand the existing uses without the express written consent of the City,which may
be withheld for any reason. Any change or expansion of uses without the consent of the City will
give the City the option of terminating this Agreement.
4.04 Customer agrees that it will comply with all of the City's ordinances regarding
subdivision, zoning, development, and building permits.
Article V. Force Majeure
5.01 In the event either Party is rendered unable, wholly or in part, by force majeure to
carry out any of its obligations under this Agreement, then the obligations of that Party, to the
extent affected by the force majeure and to the extent that due diligence is being used to resume
performance at the earliest practicable time, shall be suspended during the continuance of the
inability. The cause, as far as possible, shall be remedied with all reasonable diligence. The term
{W0933728.4) 3
"force majeure"includes acts of God, strikes,lockouts or other industrial disturbances, acts of the
public enemy, orders of the government of the United States or the State of Texas or any civil or
military authority, insurrections, riots, epidemics, landslides, lightning, earthquakes, fires,
hurricanes, storms, floods, washouts, droughts, arrests, restraints of government and people, civil
disturbances,explosions,breakage or accidents to equipment,pipelines,or canals,partial or entire
failure of water supply, and any other inabilities of either Party, whether similar to those
enumerated or otherwise,that are not within the control of the Party claiming the inability and that
could not have been avoided by the exercise of due diligence and care. It is understood and agreed
that the settlement of strikes and lockouts shall be entirely within the discretion of the Party having
the difficulty and that the requirement that any force majeure be acceding to the demands of the
opposing party if the settlement is unfavorable to it in the judgment of the Party having the
difficulty. Force majeure shall relieve City from liability to Customer for failure to provide water
service due to an inability covered by this article. Force majeure shall not relieve Customer of its
obligation to make payments to City as provided in this Agreement.
Article VI. Term
6.01 The term of this Agreement shall be for a term of twenty (20) years from the date
hereof.
6.02 This Agreement shall become null and void upon the annexation of the Property by
the City.
Article VII. Miscellaneous Provisions
7.01 Customer is prohibited from selling or giving wastewater service purchased herein
to anyone other than Customer's tenants on the Property.
7.02 Customer shall be permitted to assign its right herein to a bona fide purchaser of
the Property as long as the intended use of the service and the Property remains the same or similar.
7.03 This Agreement shall be construed under and in accordance with the laws of the
State of Texas, and any and all actions brought to enforce the terms of this Agreement shall be
brought in Williamson County,Texas.
7.04 This Agreement shall be binding upon and inure to the benefit of the Parties hereto
and their respective heirs,executors,administrators,legal representatives,successors, and assigns
where permitted by this Agreement.
7.05 In case any one or more of the provisions contained in this Agreement shall for any
reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or
unenforceability shall not affect any other provision thereof,and this Agreement shall be construed
as if such invalid, illegal, or unenforceable provision had never been contained herein.
7.06 This Agreement constitutes the sole and only agreement of the parties hereto and
supersedes any prior understandings or written or oral agreements between the parties respecting
the within subject matter.
{W0933728.4) 4
7.07 The violation by Customer of any of City's ordinances related to the use or
disposition of wastewater, or to subdivision, zoning, development or building ordinances shall
render this Agreement voidable at the option of City.
IN WITNESS HEREOF, the parties have executed this Out of City Wastewater Service
Agreement in two (2) counterparts, each of which will be deemed an original on this the
day of ) 2019.
(W0933728.4)
ARZ PARTNERS,LLC
1f
By: ¢
Name: Mem er
P-7-tutiA 11w
Customer's Address:
407 Talkeetna Lane,
Cedar Park,Texas 78613-2532
(W0933728.41 6
CITY OF ROUND ROCK,TEXAS
By:
Craig Morgan,Mayor
Attest:
Sara White, City Clerk
For City, Approved as to Form:
Stephan L. Sheets, City Attorney
(W0933728.4) 7
EXHIBIT A
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(W0933728.4)
EXHIBIT
Zoning and Development Code, Chapter4,Article VI, Sec. 4-80
Sec. 4-80. - Furnishing of water, reuse water, and sewer services outside city limits.
(o) Conditions under which city services will be provided. The city shall furnish water, sewer and/or reuse
water services to residential and oomnrnoro|al users located outside the city limits only upon the
following conditions:
(1) Adequate capacity exists.There imadequate capacity cUcity services available for the purpose of
servicing residential and commercial users outside the city without impairing services within the
city. Whether such adequate capacity exists shall bedetermined solely bythe city counoi| and
the deherrninationofthe city council shall befinal.
'
(2) Owners outside city limits to bear costs of lines and furnish easements. The construction costs of
water,sewer and/or reuse water lines and appurtenances which serve residential and commercial
users outside the city limits shall be paid for by the owner, developer, or political entity requesting
the service. Such owner, developer, or political entity shall also furnish suitable construction and
permanent easements and riQhtm-of-weyfor utility lines.
(3) Construction to conform to city standards.All design and construction shall be in accordance with
city standards and specifications.
(4) New subdivisions to comply with subdivision regulations. New subdivisions recorded after the
date of passage of this section desiring city water, sewer and/or water reuse services shall comply
with the subdivision regulations of the City of Round Rock, Texas, in effect at the time such new
subdivision is approved. Existing subdivisions whose plats were recorded with the County Clerk
ofWilliamson County, Texas, etthe time ofthe passage ofthe original Ord. No. 26Q(January 8
1078) can be furnished with water and sewer services without the necessity of having sanitary
eevverooUeoUonand tnentnnenthaoU|t|eo.
(5) City to have right of review. The city shall have the right to review and approve all plats and plans
and inspect and approve all water, sewer and/or reuse water construction within subdivisions
where water, sewer, and/or reuse water service|atobeprovided.
(@) Water and sewer facility requirements. Except as provided in subsection (4) of this sect/on' all
residential and commercial users shall have sanitary sewer collection and treatment facilities.
of Williamson County. Texas, at the time original Ord. No. 2O8was adopted (January 8. 1978).
(7) Water, sewer, andlor reuse water lines to meet ultimate requirements of city,Where water, sewer,
and/or reuse water lines and appurtenances are extended outside the city limits, the lines shall
be sized boserve the ultimate requirements ofthe city.
(8) Extended lines br be designed and inspected bycity's engineer All vveter, sewer, and/or reuse
water lines and appurtenances extending from existing city facilities to any tract of land outside
the city limits requesting vvabar' newer, end/or reuse water service shall be designed and
inspected by the city's engineer. The owner, deve!opor, orpolitical entity requesting the service
shall pay for these services in keeping with the current contract between the city and the engineer
employed bythe city.
(B) City may reimburse owner for oversized linea. Where the size of the water, savver, end/or reuse
water lines naqu/nad to meet the u/Urnote requirements for the city is larger than eight inches and
the total capacity is not required toserve the tract ofland to be developed, the city may enter into
o contract with the mwner, devo|opar, or entity constructing the !/nao for reimbursement for the
excess capacity as other users request and are granted service. The developer or entity
requesting service from an existing line shall pay a tap fee on a pro rata basis, as hereinafter set
forth. The reimbursement to the ovvner, deve/oper, orentity who paid for the line construction
(vv0933728.4} 9
shall bemade only from those tap fees paid to the city by users of the facility paid for by the said
owner, developer, orentity.
(10) Pro noba basis for tap fee. The pro rata basis for the tap fee shall be computed based upon the
required demand for use and the fire protection as specified by the engineering criteria approved
by the city's engineer. The basis for cost shall be the actual bzba| cost of the facility plus five
percent(5Y6) interest. The total cost shall ino|uda, but shall not be limited to, construction costs
engineering costs, and inspection costs. '
(11) Wholesale bulk rate sales of water. Facilities constructed and paid for by another public entity or
facilities which will later be acquired by a public entity may be owned, openated, and rnn|nba|nod
by that entity. Such facilities shall purchase water from the city at a negotiated wholesale bulk
nate. The city shall ovvn, openaba, and maintain all other facilities.
(b) Rates. The rates paid by residential and nornrneroia| users located outside the city limits for the use of
the water, sewer, and/or reuse water facilities of the city shall be in accordance with sections 44-32
44-33. and 44-84ofthe Code ofOrdinances. '
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