Contract - Nelson Homestead Family Partnership LTD - 9/22/2016 (2)OUT -OF -CITY WATER SERVICE AGREEMENT
THIS OUT -OF -CITY WATER SERVICE AGREEMENT ("Agreement"), is made and
entered by and between NELSON HOMESTEAD FAMILY PARTNERSHIP, LTD., a Texas
limited partnership, 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 4401, 4801, and 4811
N. AW Grimes Blvd., Round Rock, Texas 78665 (the "Property"), being more particularly
described in Exhibit "A" which is hereby incorporated for all purposes; and
WHEREAS, the City has determined that it is desirable for the Property to receive water
service from the City, notwithstanding the fact that the Property is outside the City's corporate
limits; and
WHEREAS, the Property is a part of the real property describe in the "Annexation
Development Agreement with Nelson Homestead Family Partnership" between the City and the
Customer of even date herewith (the "Development Agreement"); and
WHEREAS, the Customer and the City desire to enter into an agreement to formalize the
terms by which the City will provide water service to the Property; and
WHEREAS, pursuant to Sec. 44-3, Code of Ordinances, 2010 Edition, the City Council
hereby determines that there is adequate capacity of water services available for the purpose of
servicing the 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 I. Customer's Obligations Under this Agreement
1.01 The Customer shall be required to own and install a standard water service line
which will connect with the City's water system located as shown in Exhibit "B". Prior to the
installation, the Customer shall submit a detailed drawing prepared by a licensed engineer in the
State of Texas for review and approval by the City.
1.02 The Customer shall grant the City the right of entry and access to the Customer's
private water line attached to the City's water system at all times to inspect, to investigate the
source of operational or maintenance problems, to prevent or detect, minimize, or avert
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operational or maintenance problems, or for any other purpose reasonably 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 the Customer at least one
working day's written notice or, in the event of an emergency, prior notice by telephone or
confirmed facsimile, of its need for access.
1.03 The Customer shall be responsible for securing any rights required for the
Customer to construct, install, operate, maintain, inspect, reconstruct, enlarge, relocate, rebuild,
repair, and remove the water service line and meter described in 1.01 and 1.02 above in, upon,
over, under, above and across any necessary areas of private property not owned by the
Customer or public property to connect to the City's water system.
1.04 The Customer shall comply with all requirements of Sec. 44-3 Code of
Ordinances, 2010 regarding the furnishing of water services outside the city limits, a copy of
such Sec. 44-3 being attached hereto as Exhibit C. Failure to comply with any of these
requirements shall give the City the option of terminating this Agreement.
Article II. Provision of Water Services
2.01 The City agrees to sell the Customer water service as required by the Customer
for domestic use on an as needed basis for three single-family residences and appurtenant
improvements located on the Property.
2.02 The water service to be provided herein is for the Property as described in Exhibit
A and no other property.
2.03 The Customer agrees to abide by all mandatory and voluntary use restrictions
imposed by the City on its own citizens.
2.04 Nothing in this Agreement affects or impairs the Customer's right to use any
water well located or that currently serve the Property.
Article III. Rates
3.01 The Customer agrees to pay the City for all water services provided to the
Customer at the rate authorized by Chapter 44, Section 44-30, Code of Ordinances, 2010 Edition,
City of Round Rock, Texas, as amended from time to time, applicable to customers located
outside the corporate limits of the City.
3.02 The City shall render a monthly bill to the Customer for water services. Payment
shall be made no later than the sixteenth (16`x') day following the mailing of the bill. Failure by
the 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.
3.03 The Customer shall be subject to the penalty provisions for late payment as now
exist in Chapter 44, Code of Ordinances, 2010 Edition, City of Round Rock, Texas, and as may
be amended from time to time.
2
Article IV. Compliance with Ordinances
4.01 The Customer agrees to comply with all of the City's ordinances as they now
exist or may be amended from time to time regarding the use of the water supply system.
4.02 The Customer agrees to take all necessary precautions to maintain the sanitary
conditions of the City's water supply system.
4.03 The Customer agrees to pay a Water Impact Fee in the amount of four thousand
twenty-five dollars ($4,025) for each of the three living unit equivalents, or a total of $12,075;
and to pay all other fees applicable to water service.
4.04 The Customer agrees and understands that the City's willingness to provide water
service to the Property is expressly contingent on the Property continuing to be used for its
current uses, namely single-family residential use and related appurtenances, or agricultural use
as provided in the Development Agreement. The 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.
4.05 The Customer agrees that it will comply with all of the City's ordinances
regarding subdivision, zoning, development, and building permits, except as otherwise provided
in the Development Agreement.
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 "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 the City from liability to
the Customer for failure to provide water service due to an inability covered by this article.
Force majeure shall not relieve the Customer of its obligation to make payments to the City as
provided in this Agreement.
3
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 The Customer is prohibited from selling or giving water service purchased herein
to anyone else.
7.02 The 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 water service to the Property. This Agreement does not affect the Development Agreement,
which will remain in full force and effect. In the event of any conflict between this Agreement
and the Development Agreement, the Development Agreement will control.
7.07 The violation by the Customer of any of the City's ordinances related to the use or
disposition of water, or to subdivision, zoning, development or building ordinances shall render
this Agreement voidable at the option of the City.
9
IN WITNESS HEREOF, the parties have executed this Out of City Water Service
Agreement in two (2) counterparts, each of which will be deemed an original on this the
'=� day of .1�T, 2016.
NELSON HOMESTEAD FAMILY PARTNERSHIP,
LTD., a Texas limited partnership
By: Nelson Homstead Management, L.L.C., a Texas
limited liability company, its general partner
By:. A&-�
J n C. Nelson, Manager
Customer's Address:
3404 Glenview Avenue
Austin, TX 78703
CITY =ROCK,XAS
By:
Alan McGraw, Mayor
Attest:
!2�fl",�M1
Sara White, City Clerk
*Stepha
proved as t Form:
heets, City Attorn y
Exhibit "A"
(Property Description)
2.500 acres more or less in Williamson County, Texas, and being a portion of that 1629.95 acres
tract of land described in a Deed to Nelson Homestead Family Partnership Ltd., more fully
described in Document No. 9824078 of Williamson County, Texas Public Records.
G'!
Exhibit `B"
(Water service connection line)
(Attached behind this page)
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Exhibit "C"
Sec. 44-3. Furnishing of water, reuse water, and sewer services outside city limits.
(a) Conditions under which city services will be provided. The city shall furnish water, sewer and/or
reuse water services to residential and commercial users located outside the city limits only upon the
following conditions:
(1) Adequate capacity exists. There is adequate capacity of city 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 be determined solely by the city council,
and the determination of the city council shall be final.
(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 rights-of-way for 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 (any plat 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 of Williamson County, Texas, at the time of the passage of the original Ord.
No. 269 (January 8, 1976) can be furnished with water and sewer services without the necessity
of having sanitary sewer collection and treatment facilities.
(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 is to be provided.
(6) Water and sewer facility requirements. Except as provided in subsection (4) of this section, all
residential and commercial users shall have sanitary sewer collection and treatment facilities.
Water will not be provided to residential and commercial users who utilize septic tanks save and
except water can be provided to subdivisions whose plats were recorded with the County Clerk
of Williamson County, Texas, at the time original Ord. No. 269 was adopted (January 8, 1976).
(7) Water, sewer, and/or 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 to serve the ultimate requirements of the city.
(8) Extended lines to be designed and inspected by city's engineer. All water, sewer, and/or reuse
water lines and appurtenances extending from existing city facilities to any tract of land outside
the city limits requesting water, sewer, and/or reuse water service shall be designed and
inspected by the city's engineer. The owner, developer, or political entity requesting the service
shall pay for these services in keeping with the current contract between the city and the
engineer employed by the city.
(9) City may reimburse owner for oversized lines. Where the size of the water, sewer, and/or reuse
water lines required to meet the ultimate requirements for the city is larger than eight inches and
the total capacity is not required to serve the tract of land to be developed, the city may enter
into a contract with the owner, developer, or entity constructing the lines 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 owner, developer, or entity who paid for the line
construction shall be made only from those tap fees paid to the city by users of the facility paid
for by the said owner, developer, or entity.
M
(10) Pro rata 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 total cost of the facility
plus five percent interest. The total cost shall include, 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, operated, and maintained
by that entity. Such facilities shall purchase water from the city at a negotiated wholesale bulk
rate. The city shall own, operate, and maintain all other facilities.
(b) Rates. The rates paid by residential and commercial 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 44-34.
6
CERTIFICATE OF INTERESTED PARTIES
1.295
FORM
lofl
Complete Nos. 1- 4 and 6 if there are interested parties.
OFFICE USE ONLY
Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties.
CERTIFICATION OF FILING
Certificate Number:
1 Name of business entity filing form, and the city, state and country of the business entity's place
of business.
2016-104911
Nelson Homestead Family Partnership, Ltd.
Austin, TX United States
Date Filed:
08/26/2016
2 Name of governmental entity or state agency that is a party to the contract for which the form is
being filed.
City of Round Rock
Date Acknowledged:
3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a
description of the services, goods, or other property to be provided under the contract.
Nelson Properties
Out -of -City Water Services
4
Nature of interest
Name of Interested Party
City, State, Country (place of business)
(check applicable)
Controlling
I Intermediary
Littlefield, Sue - Attorney
Austin, TX United States
X
Nelson, John C.
Austin, TX United States
X
Nelson Homestead Management, LLC (General Partner)
Austin, TX United States
X
5 Check only if there is NO Interested Party. ❑
6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct.
AC)SO,J (�pnnes�eo,� I=a�►r,-II PG��ners�rP, L4,A .
ti�,PY PVe ; GLORIA A VELASQUEZ
OF TEXAS [� � 1 Q � �-4 OM @
sNOTARY PUBLIC -STATE y
COMM. EXP. 01-03-2020 19
NOTARY ID 12884109-3
Signature 8f aut ori ed agent of contracting business entity
AFFIX NOTARY STAMP / SEAL ABOVE
I
Sworn to and subscribed before me, by the said SO h s� (, U V-2 (5 a vL this the day of �,
20 ! LP , to certify which, witness my hand and seal of office.
�•�,�� 6101 l 1q. VQ lti5o,ue2
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Signature of officer admi eri oath Printed name of officer administering oath Title of officer adminis ering oath
Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277
CERTIFICATE OF INTERESTED PARTIES
FORM 3.295
10f1
Complete Nos. 1- 4 and 6 if there are interested parties.
OFFICE USE ONLY
Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties.
CERTIFICATION OF FILING
Certificate Number:
1 Name of business entity filing form, and the city, state and country of the business entity's place
of business.
2016-104911
Nelson Homestead Family Partnership, Ltd.
Austin, TX United States
Date Filed:
08/26/2016
2 Name of governmental entity or state agency that is a party to the contract for which the form is
being filed.
City of Round Rock
Date Acknowledged:
09/23/2016
g Provide the identification number used by the governmental entity or state agency to track or identify
description of the services, goods, or other property to be provided under the contract.
the contract, and provide a
Nelson Properties
Out -of -City Water Services
Nature of interest
4
Name of Interested Party
City, State, Country (place of business)
(check applicable)
Controlling I
Intermediary
Littlefield, Sue - Attorney
Austin, TX United States
X
Nelson, John C.
Austin, TX United States
X
Nelson Homestead Management, LLC (General Partner)
Austin, TX United States
X
5 Check only if there is NO Interested Party. ❑
6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the
above disclosure is true and correct.
Signature of authorized agent of contracting business entity
AFFIX NOTARY STAMP / SEAL ABOVE
Sworn to and subscribed before me, by the said this the
day of
20 , to certify which, witness my hand and seal of office.
Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath
Forms orovided by Texas Ethics Commission www.etrucs.state.tx.us version vl.u.ct r