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HomeMy WebLinkAbout1993-086 Nob Hill Water Association 4110 ORDINANCE NO. 93- 86
AN ORDINANCE granting to Nob Hill Water Association, a Washington Association,
its successors and assigns, a domestic water franchise and the
right to construct, operate, and maintain a water distribution
system in the City of Yakima, Washington, and prescribing the
terms of such grant.
BE IT ORDAINED BY THE CITY OF YAKIMA:
Section L Grant There is hereby granted by the City of Yakima,
hereinafter referred to as "the City," to Nob Hill Water Association, a Washington
Association, its successors and assigns, hereinafter collectively referred to as the
"Grantee," the right, privilege, and franchise to construct, operate, and maintain a
domestic water distribution system in, through, and along the present and future
streets, alleys, parkways, public and other places in that portion of the City which is
legally described in Exhibit A, attached hereto and incorporated by reference herein,
and which area is depicted in the map attached hereto as Exhibit B, including mains,
pipes, pumps, boxes, reducing and regulating stations, laterals, conduits, and
connections, including service connections, together with all of the necessary
0 appurtenances, for the purpose of supplying domestic water to the City and the
persons and organizations therein, for the full term of this franchise, subject,
however, to the limitations herein set forth and provided. This ordinance does not
apply to any real property or right -of -way owned by the City and located outside the
City's corporate boundaries. If Grantee desires to cross or use any City property
located outside the City's corporate boundaries, then Grantee must separately obtain
prior written consent to do so from the City
Section 2 Term The rights, privileges, and franchises hereby granted to
and conferred upon the Grantee shall, unless this franchise be sooner terminated as
herein provided, extend for the full term of twenty-five (25) years from the date of
the acceptance hereof by the Grantee, its successors or assigns.
Section 3 Ordinance and Acceptance Constitute Contract. This ordinance
and the written acceptance thereof by the Grantee shall constitute the contract
between the City and the Grantee, and the same shall be binding upon and inure to
the benefit of the successors and assigns of the Grantee under the limitations herein
imposed.
Section 4 Water Distribution System. The Grantee now has a water
0 distribution system in the City As additions to the water distribution system are
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made, the Grantee shall submit a map of the location of all existing mains in the
•
streets, alleys, parkways, and public places in the City, which map shall be submitted
to and filed with the Clerk of the City or other designated official of the City, and such
shall also apply to any material alteration of the present main system in use. In
respect of any such additions, mains of suitable size shall be laid in the alleys except
where necessary to cross streets as determined by the Grantee, except for areas
where there are no alleys or where it is otherwise impractical to serve customers
from mains laid in alleys, in which event the alignment of the mains shall be
determined by consultation between Grantee and the Yakima City Engineer.
Section 5 Pipe Installation. All water mains to be installed by Grantee shall
be constructed at a depth of at least four and one -half (4 1/2) feet below the surface
of the streets and alleys of the City and shall be laid so as not to interfere with any
City utilities unless consented to by a proper City authority All water mains shall be
constructed not more than five (5) feet from the street right -of -way line and not less
than five (5) feet from the edge of an existing paved /hard surface road, unless
written consent is obtained from the Yakima City Engineer to install the water main
in a different manner All construction and installation work that involves crossing
City streets or rights -of -way or other City property shall be subject to the advance
written approval and pass the inspection of the City Engineer. All repairs and
replacements entailed by the construction, operation, and maintenance of Grantee's
water distribution system and enlargements thereof shall be as provided in Section 6.
If any future improvement or construction by the City of sewers, water lines, streets,
or alleys make necessary changes in the location of water mains, pipes, services,
attachments, or appurtenances of the Grantee, the Grantee shall, upon reasonable
notice by the City and after reasonable evaluation of alternatives by the City in
cooperation with the Grantee, at Grantee's expense move or change such water
mains, pipes, services, attachments or appurtenances to conform to such public
improvements. The City will avoid the need for such moving or changing whenever
possible. In the event Federal, State or other funds are available in whole or in part
for utility relocating purposes, the City shall apply for such funds and the Grantee
will be reimbursed to the extent any such funds are actually obtained.
Section 6 Repairs and Replacements All earth, materials, sidewalks,
paving, crossings or improvements of any kind disturbed, injured or removed by the
Grantee shall be fully repaired or replaced promptly by the Grantee, and the Grantee
shall protect and save the City harmless from any loss or damage resulting
therefrom.
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ID Section 7 Construction and Excavations. Any construction or excavations
by the Grantee in any of the streets, alleys or public grounds within the limits of said
City shall be done in accordance with reasonable rules, regulations, resolutions, and
-- ordinances now enacted or to be enacted by the government of the City relating to
construction or excavations in streets, alleys, and public grounds of said City. Prior
to commencement of construction or excavation as to any portion of the water
distribution system, Grantee shall first file with the Yakima City Engineer five (5)
copies of its application for permit to do such work together with plans and
specifications showing the position, depth, and location of all lines and facilities
sought to be constructed, laid, installed, or erected at that time, showing the relative
position to existing City streets, rights -of -way, or other City property, upon plans
drawn to scale, hereinafter collectively referred to the "Map of Definite Location."
The distribution system shall be laid in exact conformity of said Map of Definite
Location, except in instances in which deviation may be allowed thereafter in
writing by the City Engineer pursuant to application by Grantee. The plans and
specifications shall specify the class and type of material and equipment to be used,
do manner of excavation, construction, installation, backfill, erection of temporary
structures, erection of permanent structures, traffic control, traffic turnouts and
road obstruction, etc. No such construction shall be commenced without the Grantee
first securing a written permit from the City Engineer, including approval endorsed
on two sets of plans and specifications returned to the Grantee. All such work shall
be subject to the approval of and shall pass the inspection of the City Engineer The
Grantee shall pay all reasonable costs of and expenses incurred in the examination,
inspection, and approval of such work on account of granting the said permits. All
applications for permits in the granting or denial of same under this section shall be
subject to review by the Yakima City Council, and the Grantee and the City Engineer
shall each have full rights of appeal to and review by the full City Council.
Section 8 Construction Affecting City Streets. In any work which requires
breaking of surface of the City streets, rights -of -way or other City property subject
to this franchise for the purpose of laying, relaying, connecting, disconnecting, and
repairing the said distribution system, and making connections between the same to
structures and buildings of consumers or making connections to other facilities of
the Grantee now in existence or hereafter adopted by the officers charged with the
0 supervision and care of such City roads, rights -of -way, and other City property; and
the Grantee at its own expense and with all convenient speed shall complete the work
for which the surface has been broken and forthwith replace the work and make
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good the City road, rights -of -way or other City property according to the issued
permit leaving the same in as good condition as before the work was commenced,
provided, however, that no such breaking of the surface on the City roads, rights -of-
way or other City property shall be done prior to the obtaining of a permit issued by
the City Engineer; provided, however, that in cases of emergency arising out of
office hours when an immediate excavation may be necessary for protection of
private or public property the same shall be reported to the Police Department and
the necessary excavation may be made upon the express condition that an
application be made in the manner herein provided on or before noon of the next
following business day Application for such a permit shall be accompanied by
specifications for the restoration of the City street, right -of -way or other City
property to the same condition as it was prior to such breaking, and such
specifications must be approved by the City Engineer before such breaking of the
surface is commenced, provided further, that the City Engineer may require a
performance bond in a sum sufficient to guarantee to the City that such City street,
right -of -way or other City property shall be restored to the same condition as it was
prior to such breaking of the surface, the amount of said bond to be fixed by the City
al
Engineer The Grantee shall pay all reasonable costs of and expenses incurred in the
examination, inspection, and approval of such restoration. The City Council, upon
notice to the Grantee, may at any time do, order to have done any and all work that
they consider necessary to restore to a safe condition any such City street, right -of-
way or other City property left by the Grantee or its agents in a condition dangerous
to life or property, and the Grantee upon demand shall pay to the City all costs of such
work. All construction or installation of such lines and facilities, service repair, or
relocation of the same, performed along or under the City streets, rights -of -way or
other City property subject to this franchise shall be done in such a manner as not to
interfere with the construction and maintenance of other utilities, public or private,
drains, drainage ditches and structures, irrigation ditches and structures, located
therein, nor with the grading or improvement of such City streets, rights -of -way or
other City property The owners of all utilities, public or private, installed in such
City streets, rights -of -way or other City property prior in time to the lines and
facilities of the Grantee shall have preference as to the positioning and location of
such utilities so installed with respect to the Grantee. Such preference shall
continue in the event of the necessity of relocating or changing the grade of any
such City street or right -of -way
al
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4110 Section 9 Standard of Work. All work done under this franchise shall be
done in a thorough and workmanlike manner. In the laying of water distribution
lines and the construction of other facilities and the opening of trenches, the boring
under City streets, rights -of -way or other City property, the Grantee shall leave such
trenches, ditches, and bore sites in such a way as to interfere as little as possible with
public travel, and shall take all due and necessary precautions to guard the same, so
that damage or injury shall not occur or arise by reason of such work, and where
any of such trenches, ditches or bore sites are left open at night, the Grantee shall
place warning lights and barricades at such a position as to give adequate warning of
such work according to MUTCD standard. The Grantee shall be liable for any injury
to person or persons or damage to property sustained through its carelessness or
neglect, or through any failure or neglect to properly guard or give warning of any
trenches or ditches or tunnels dug or maintained by the Grantee.
Section 10. Non - Waiver. The City in granting this franchise does not waive
any rights which it now has or may hereafter acquire with respect to City streets,
rights -of -way or other City property and this franchise shall not be construed to
deprive the City of any powers, rights or privileges which it now has or may
hereafter acquire to regulate the use of and to control the City streets, rights -of -way
and other City property covered by this franchise.
n
Section 11 Alterations of City Property If at any time the City shall improve
or change any City street, right -of -way or other City property subject to this
franchise by grading, regrading, planking or paving the same, changing the grade,
altering, changing, repairing or relocating the same or by constructing drainage
facilities, the Grantee upon written notice from the City Engineer shall, at its sole
expense, within thirty (30) days change the location or readjust the elevation of its
water distribution lines and other facilities so that the same shall not interfere with
such City work and so that such lines and facilities shall conform to such new grades
or routes as may be established. The City shall in no way be held liable for any
damages to said Grantee that may occur by reason of any of the City's improvements,
changes or work above enumerated. All work performed by the Grantee under this
section shall be under the direction, approval and shall pass the inspection of the
City Engineer. The Grantee shall pay all reasonable costs of and expenses incurred in
the examination, inspection, and approval of such work.
Section 12 Work by City Forces The laying, construction, operation, and
OD maintenance of the Grantee's water distribution system authorized by this franchise
shall not preclude the City, its agents, or its contractors from blasting, grading,
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excavating, or doing other necessary road work contiguous to the lines and facilities
411.
of the Grantee provided that the Grantee shall be given forty-eight (48) hours notice
of said blasting or other work from the City Engineer.
Before any work is performed under this franchise which may affect any
existing monuments or markers of any nature relating to subdivisions, plats, roads,
and all other surveys, the Grantee shall reference all such monuments and markers.
The reference points shall be so located that they will not be disturbed during the
Grantee's operations under this franchise. The method of referencing these
monuments or other points to be referenced shall be approved by the City Engineer
The replacement of all such monuments or markers disturbed during construction
shall be made as expeditiously as conditions permit, and as directed by the City
Engineer The cost of monuments or other markers lost, destroyed, or disturbed, and
the expense of replacement by approved monuments shall be borne by the Grantee
A complete set of reference notes for monuments and other ties shall be filed with
the Yakima City Engineer's Office.
Section 13 Vacation of City Streets. If at any time the City shall vacate any
City street, right -of -way or other City property which is subject to rights granted by
a o this franchise and said vacation shall be for the purpose of acquiring the fee or
other property interest in said street, right -of -way or other City property for the use
of the City, in either its proprietary or governmental capacity, then the Yakima City
Council may at their option, by giving thirty (30) days written notice to the Grantee
and after granting any alternate route, terminate this franchise with reference to
such City street, right -of -way or other City property so vacated, and the City shall not
be liable for any damages or loss to the Grantee by reason of such termination.
Section 14 Grantee to Make Extensions and Install Service Devices The
Grantee shall at all times during the term of this franchise install and maintain, at its
own expense, such services and regulating devices, and meters, as may be necessary
for supplying service to its consumers. The Grantee shall make all reasonable
extensions for supplying service to consumers who are inhabitants of the City. The
same shall be made, supplied, and furnished under such reasonable rules and
regulations as may be prescribed by the Washington Utilities and Transportation
Commission, or such other agency of the State having jurisdiction over said matters.
Section 15 Meters All water sold and distributed by the Grantee shall be by
meter measurement, on the property of, or at, or in the building of, the consumer
0
served, and the Grantee, its agents, licensees or employees shall have the right to
read and inspect the water meters at all reasonable times and to go on the premises
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• therefor The Grantee shall furnish good and 'reliable meters for the consumers, and
the terms and conditions of furnishing and testing thereof shall be as prescribed by
the Washington Utilities and Transportation Commission, or the regulatory body
having jurisdiction over such matters.
For the purpose of billing City sanitary sewer customers located within the
area served by the Grantee, the Grantee shall provide the City Utility Division with
monthly water meter readings and other pertinent information as prescribed by the
Customer Service Manager of the City of Yakima. The monthly meter readings shall
be made available or delivered to the City Utility Division no later than the last day of ``
the month in which the meters were read.
The water meter readings shall be transmitted or made available to the City
Utility Division utilizing one of the three following methods• nine track tape; 8
millimeter tape; or a telephonic modem device link between the Grantee's computer
and the City's computer Transmission of the readings via telephonic device shall be
initiated and controlled by the Grantee. All expenses necessary for developing and
utilizing any of the above - transmission modes shall be borne by the Grantee.
0 Installation of a link between the Grantee's computer and the City's computer will be
under the direction of the Grantee and the Information Systems Manager and
Customer Service Manager of the City
Section 16 Grantee to Make Rules and Regulations. The Grantee, its
successors, and assigns may make such reasonable rules and regulations for the
protection of its property, for the prevention of loss and waste, for safety purposes,
for the conduct of business, and in respect of the sale or distribution of water, as may
be advisable and necessary from time to time, all in accordance herewith and with
valid, applicable state laws, rules, and regulations.
Section 17. Acquisition by City The City may acquire the public utility, for
the exercise of which this franchise is granted, either by agreement or by
condemnation, and upon such purchase by the City, either by agreement or by
condemnation, no value of this franchise itself shall be taken into account in fixing
the price to be paid by the City for such utility.
Section 18. Compensation to City. In consideration of the granting of this
franchise, Grantee shall pay to the City two percent (2 %) of the gross income from
the sale of water in the City, such payments to be made annually within sixty (60)
4110 days from the first of the year for the amount due on account of the preceding year
In order to determine the amount of such compensation to be paid by Grantee to the
City, Grantee shall submit to the City, within 60 days after the first day of January of
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each year, an annual report verified by the oath of Grantee's Manager or President
•
and which conforms to the requirements set forth in Article XI, Section 7 of the City
Charter, which is incorporated by reference herein. The Director of Finance and
Budget of the City, or such other auditor as may be designated by the City Manager,,
shall be permitted to examine the books of the Grantee, its successors or assigns, at
reasonable times and from time to time to determine or verify the amount of gross
income and franchise fee. For purposes of this Section, "Gross Income" means the
value proceeding or accruing from the sale of tangible property or service, and
receipts (including all sums earned or charged whether received or not) by reason
of the investment of capital in the business engaged in, including rental, royalties,
fees or other emoluments, however, designated (excluding receipts or proceeds from
the use or sale of real property or any interest therein and proceeds from the sale of
notes, bonds, mortgages, or other evidences of indebtedness, or stock and the like)
and without any deduction on account of the cost of the property sold, the cost of
materials, used, labor costs, interest or discount paid, or any expense whatsoever, and
without any deduction on account of losses.
Section 19 Forfeiture of Franchise. In case of failure on part of the Grantee,
its successors or assigns to comply with any of the provisions of this ordinance, or if
the Grantee, its successors or assigns do or cause to be done any act or thing
prohibited by or in violation of the terms of this ordinance, the Grantee, its
successors or assigns shall forfeit all rights and privileges granted by this ordinance
and all rights thereunder shall cease; provided that such forfeiture shall not occur or
take effect until the City shall carry out the following proceedings and procedures:
Before the City may proceed to forfeit this franchise pursuant to
this section, the City shall first give notice of its intention to forfeit.
The notice shall be given to the manager of Grantee (or its successor or
assignee), and notice also shall be given to the mortgagee of any
recorded mortgage, the trustee of any recorded trust instrument, and to
any other representative of investors of which there is a filing on
record in the office of the Yakima County Auditor. The notice may be
given by either personal service in the manner provided by law for the
service of summons, or by certified or registered mail with a return
receipt requested, with full postage prepaid. The notice shall be in
writing and set forth clearly and in detail the failure or violation of
Grantee constituting grounds for the forfeiture. The Grantee, its
OD
successor or assignee, shall have ninety (90) days after the receipt of
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• 1
notice by it within which to comply with the provisions of this
franchise; and in the event such failure or violation continues beyond
the ninety day period, the City may bring an action in Yakima County
Superior Court, or any other court of competent jurisdiction, to forfeit
the franchise If it is determined by that action that the Grantee, its
successor or assignee, shall have failed to comply with this ordinance or
that Grantee, its successor or assignee, shall have done or caused to be
done any act or thing prohibited by or in violation of the terms of this
ordinance, and that the ground or grounds of forfeiture set forth in the
notice had not been cured at the time of commencement of the legal
action, then the City shall have the right to the entry by the court of its
judgment declaring this franchise forfeited and assessing the costs of
the action, including reasonable attorneys fees, against the Grantee, its
successor or assignee; provided, however, that any such failure, default
or violation shall not constitute grounds for forfeiture if due materially,
substantially, and reasonably to act of God, fire, flood, storm or other
element or casualty, theft, war, disaster, strike, lockout, boycott, labor
disturbance or disruption, governmental authority, allocations, rules or
regulations, shortages of materials or labor, shipping or transportation
shortages, prevailing war or war preparation induced conditions, or
bona fide legal proceedings, beyond the control of Grantee, its
successors or assigns.
Section 20. Remedies to Enforce Compliance. The City, in addition to its right
to forfeit this ordinance and franchise, as provided in Section 19, reserves and has
the right to pursue any remedy to compel the Grantee, its successors or assigns to
- - - comply with the terms hereof and furnish the service herein called for, and the
pursuit of any right or remedy by the City shall not prevent the City from thereafter
declaring a forfeiture for any reason herein stated, nor shall the delay of the City in
declaring a forfeiture estop it from thereafter doing so, unless the action of the City
shall have prevented, caused or contributed materially to the failure to perform or to
do the act or thing complained of If any action is commenced to enforce the
remedies provided for herein, the City shall be entitled to recover from Grantee its
reasonable attorneys' fees and costs incurred therein.
Section 21 Assignment of Franchise This franchise is non - exclusive, and
the same shall not be leased, assigned or otherwise alienated without the express
consent of the City Council by ordinance passed for that purpose, and no rule of
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n a1nrA /nnh hill wtr ro
/ .
estoppel shall ever be invoked against the City in case it shall assert the invalidity of
any attempted transfer in violation of this section.
Section 2Z Indemnity The Grantee shall protect, defend, indemnify, and
hold the City harmless against, any and all claims, liabilities, judgments, costs,
damages, and expenses of any kind or nature whatsoever arising by reason of any act
or omission of Grantee under this franchise or relating in any way to the
construction, operation, and maintenance of the water distribution system authorized
by this franchise. In case that suit or legal action is brought against the City of
Yakima for damages arising out of or by reason of any activities relating to this
franchise, the Grantee shall upon notice to it of the commencement of said action
defend the City of Yakima at Grantee's sole cost and expense. In case a final judgment
shall be rendered against the City of Yakima in any such suit or action, the Grantee
shall fully satisfy said judgment within ninety (90) days after said suit or action shall
have been finally determined by a trial court, or courts of appeals if applicable, if
determined adversely to the City Upon Grantee's failure to satisfy said final
judgment within the ninety (90) day period, the Yakima City Council may upon due
notice terminate this franchise and the City of Yakima shall have a lien upon the 0
distribution system which may be enforced against the property for the full amount
of any such final judgment so taken against the City of Yakima, together with any
attorney's fees and costs incurred in connection therewith.
To further protect, defend, indemnify, and save harmless the City from all
claims, actions or damages, the Grantee shall furnish, and during the life of this
franchise, keep in effect, liability insurance covering any and all liability of the
Grantee to the City, including any liability assumed by contract between the Grantee
and any other party, in which the limits of liability for personal injury and property
damage shall be not less than one million dollars ($1,000,000 00) aggregate, and a
certificate establishing said insurance shall be filed with the Yakima City Engineer
Acceptance by the City of any work performed by the Grantee at the time of
completion shall not be a grounds for a voidance of this covenant.
Section 23 Compliance with Ordinances. During the term of this franchise,
Grantee shall fully comply will all applicable federal and state statutes and
regulations, together with all ordinances of the City pertaining to the water business
and the operation and maintenance of water distribution facilities.
Section 24. Dispute Resolution for Potential Duplication of Services. In the
event that either the City or the Grantee deems there to be a potential or actual 4 II
duplication or overlap of services provided by the City and the Grantee in a
Page 10
(ls)ord /nob hill wtr rp
4 110 ,
its option, petition the
particular area, then either the City or the Grantee may, at it op , p
Regional Engineer of the Washington Department of Health to resolve the dispute
regarding duplication or overlap of services. Based upon evidence and arguments
submitted by both the City and the Grantee, the Regional Engineer of the Washington
Department of Health shall make a final determination as to which entity shall
provide the exclusive domestic water service to the particular area in question so that
there will be no duplication or overlap of water services in that area. The Regional
Engineer's determination shall be final and binding upon the parties with no right
of appeal.
Section 25 Saving Clause If any clause, sentence or section of this
ordinance be held void by any court, it shall not affect the balance hereof.
Section 26 Effective. This ordinance shall be published once in the official
newspaper of the City and shall thereafter be submitted to a vote of the electors of the
t City at a special election to be held therein on the 2nd day of November, 1993; and this
ordinance shall become effective on December 1, 1993 if approved by a majority of
such electors voting on the question at said special election; provided that this
0 ordinance shall be void and have no effect unless the Grantee shall within thirty
(30) days''after said election file with the City Clerk a written acceptance thereof. '
PASSED BY THE CITY COUNCIL, signed and approved this 14th day of September
1993
C iLl Zfe.A.,,_.d-/
ATTEST Mayor
)<a,to_vt, A 12,--64}„ta, 1 c...wle.-
City Clerk
Publication Date: 9 - 17 - 93
Effective Date: 12 - - 93
0
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110
Beginning at the Southeast corner of Section 34, Township 13 North, Range 18 E.W.M., thence South
along the East line of said section 34 extended southerly to its mtersection with the center -line of Ahtanum
Creek; thence Westerly following the center -line of Ahtanum Creek to its intersection with the North -
South center section line of Section 14, Township 12 North, Range 17 E.W.M., thence North along the
North -South center section line of Sections 14, 11 and 2, Township 12 North, Range 17 E.W.M. to the
North line of said Section 2; thence East along the North line of said Section 2 to the Southeast corner of
Section 35, Township 13 North, Range 17 E.W.M.; thence North along the East line of said Section 35 to
the Southeast corner of Section 26, Township 13 North, Range 17 E.W.M.; thence West along the South
line of Sections 26 and 27 to the South quarter comer of Section 27, thence North along the North -South
center Section line of Sections 27, 22 and 15 to the North line Section 15, Township 13 North, Range
E.W.M., thence East along the North line of Sections 15, 14 and 13, Township 13 North, Range 17
E.W.M. and along the North line of Sections 18, 17, 16 and 15, Township 13 North, Range 18 E.W.M.
to the Northeast comer of said Section 15, thence South along the East line of Sections 15, 22, 27 and 34,
Township 13 North, Range 18 E.W.M. to the Southeast corner of said Section 34 and the point of
begixming.
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II
NOB HILL WATER ASSOCIATION
� 6111 Tieton Drive • Yakima, Washington 98908 Phone (509) 966 -0272
. FAX (509) 966 -0740
November 30, 1993
The Honorable Mayor
and City Council
City of Yakima
Yakima, WA 98901
Gentlemen.
This letter is to indicate acceptance by the Board of Nob Hill Water Association of the
franchise initiated by the City of Yakima, and voted upon by the registered voters of the
City of Yakima at the election on November 2, 1993
Thank you for your consideration.
Yours very truly,
, NOB HILL \ • TER ASSOel • TION
e 1) 1)
\
Roy John J
President
110
- RA
1-w VR se.