HomeMy WebLinkAboutR-2014-137 3-Party Wholesale Service Agreement with the City of Union Gap and Terrace Heights Sewer District RESOLUTION NO. R -2014 -137
A RESOLUTION authorizing the City Manager to execute a "3 -Party Wholesale Service
Agreement" with the City of Union Gap and the Terrace Heights Sewer
District for the provision of wholesale wastewater treatment and disposal
service by the City of Yakima's Wastewater Division
WHEREAS, the City of Yakima (City) owns and operates wastewater collection and
treatment facilities in accord with applicable Federal, State and Local regulations, and
WHEREAS, the City, the City of Union Gap (Union Gap), the Terrace Heights Sewer
District (Terrace Heights), and Yakima County have been operating under the "4 -Party
Agreement" with its several amendments and special agreements since February 23, 1976, for
the purposes of providing wastewater treatment and disposal service to developed areas within
the Yakima Urban Area, and
WHEREAS, each member of the 4 -Party Agreement, excluding Yakima County, has
"capacity allocation" of the City's wastewater treatment plant (WWTP) , City 87 9 %, Union Gap
8 1%, Terrace Heights 4 0% and pay a pro -rata share of expenditures based on such capacity
allocation, and
WHEREAS, Union Gap also has a capacity allocation of the Rudkin Road lift- station
(57 7 %, City 42 3 %), and
WHEREAS, the City retains 100% ownership of the WWTP and the Rudkin Road lift -
station; and
WHEREAS, the participation of Yakima County in the 4 -Party Agreement was
significantly limited to only planning purposes within the Urban Growth Area and became
unnecessary upon the enactment of the Growth Management Act in 1990, and
WHEREAS, the new "3 -Party Agreement" shall become effective January 1, 2015,
superseding the 4 -Party Agreement and all amendments thereto, the Settlement Agreement
among the City, Union Gap and Terrace Heights executed on August 19, 1997; the Special
Agreement between the City and Terrace Heights executed on June 27, 2000, the Special
Agreement between the City and Union Gap executed on July 10, 2000, the Special Agreement
between the City and Terrace Heights executed on September 20, 2006; the Special Agreement
among the City, Terrace Heights and the City of Moxee executed on September 20, 2006; the
Special Agreement between the City and Union Gap executed on September 25, 2006, and the
Special Agreement among the City, Yakima County, Terrace Heights, Union Gap and the City of
Moxee executed on October 10, 2006, and
WHEREAS, the new "3 -Party Agreement" is a Wholesale Service Agreement between
the City, Union Gap, and Terrace Heights, with the percentages for capacity allocation
remaining the same for each party member; and
WHEREAS, any provision of wastewater service to retail customers outside its
respective city limits but within its urban growth area, shall be in accordance with the Growth
Management, Act; and
WHEREAS, the new 3 -Party Agreement eliminates any subsidy by the citizens of
Yakima as was previously allowed under the 4 -Party Agreement for wholesale wastewater
treatment and disposal provided for Terrace Heights and Union Gap, providing for fair and
equitable costs for wholesale wastewater treatment and disposal, capital improvements, and
repair /replacement; and
WHEREAS, the new 3 -Party Agreement complies with the US Environmental Protection
Agency's directive for Pretreatment Rules and Regulations and enforcement, including Control
Authority by the City for multi - jurisdictions discharging to its WWTP, and
WHEREAS, the City Council has determined that it is in the best interest of the City to
enter into the 3 -Party Agreement with the City of Union Gap and the Terrace Heights Sewer
District to continue to provide equitably allocated wastewater treatment and disposal service,
now therefore;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized to execute the "3 -Party Wholesale
Service Agreement" with the City of Union Gap and the Terrace Heights Sewer District,
attached hereto and incorporated herein by this reference, for the provision of wholesale
wastewater treatment and disposal service by the City of Yakima's Wastewater Division
ADOPTED BY THE CITY COUNCIL this 18 day of November, 2014.
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ATTEST. Micah C ley, Mayor
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3 -PARTY WHOLESALE SERVICE AGREEMENT
City of Yakima, City of Union Gap and
Te brace Heights Sewer District
Agreement For Wholesale Wastewater Treatment And Disposal Service
This 3 -Party Wholesale Service Agreement ( "Agreement ") is entered into this 12 day of
November, 2014, and becomes effective January 1, 2015, by and between the City of Yakima
( "City "), a Washington municipal corporation, the City of Union Gap ( "Union Gap "), a
municipal corporation, and the Terrace Heights Sewer District ( "Terrace Heights "), a
Washington quasi - municipal corporation. The City, Union Gap and Terrace Heights are
sometimes referenced individually in this Agreement as "Party" and collectively as "Parties."
Further, Union Gap. and Terrace Heights are sometimes referenced in this Agreement as
"Wholesale Users."
The purpose of this Agreement is to establish the terms and conditions for the City's
provision of wholesale wastewater treatment and disposal service from the City's Regional
Wastewater Treatment Plant to the Wholesale Users.
This Agreement supersedes the Agreement for Wastewater Treatment and Disposal Service
known as the Four Party Agreement as entered into by the Parties and Yakima County on
February 23, 1976 and all amendments thereto; the Settlement Agreement among the City,
Union Gap and Terrace Heights executed on August 19, 1997; the Special Agreement
between the City and Terrace Heights executed on June 27, 2000; the Special Agreement
between the City and Union Gap executed on July 10, 2000; the Special Agreement between
the City and Terrace Heights executed on September 20, 2006; the Special Agreement among
the City, Terrace Heights and the City of Moxee executed on September 20, 2006; the
Special Agreement between the. City and Union Gap executed on September 25, 2006; and
the Special Agreement among the City, Yakima County, Terrace Heights, Union Gap and the
City of Moxee executed on October 10, 2006.
Any Party's provision of wastewater service to retail customers outside its respective city
limits but within its urban growth area, or in the case of Terrace Heights its designated
service territory, shall be in accordance with the Growth Management Act, chapter 36.70A
RCW, and the related requirements of Yakima County.
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Table of Contents
Page
,
1.0 DEFINITIONS 1 1
1.1 Asset Management 1
1.2 Asset Value i 1
1.3 Biochemical Oxygen Demand (BOD) 1
1.4 Capacity Allocation 1
1.5 Capital Costs and Expenses 1
1.6 Capital Improvement Projects (CIP) 1
1.7 CIP Charge Calculation 1
1.8 Clean Water Act l 1
1.9 Comprehensive Flans 1
1.10 Control Authority 1
1.11 Depreciation I 2
1.12 Ecology I 2
1.13 Extra'„Jurisdictional Customer 2
1.14 Industrial User I 2
1.15 Industrial Waste or 1W 2
1.16 Minor Industrial User (MIU) 2
1.17 Publicly Owned Treatment Works (POTW) 2
1.18 Pretreatment Charge 2
1.19 Pretreatment Program 2
1.20 Pretreatment Requirement 2
1.21 Pretreatment Standard 2
1.22 Pumping Capacity Allocation 2
1.23 Pumping Rate Calculation 2
1.24 Repair /Replacem Charge 2
1.25 Repair /Replaceme Projects 3
1.26 Significant Industrial User (SIU) 3
1.27 Treatment Capacity Allocation 3
1.28 Treatment Rate I 3
1.29 Treatment Rate Calculation 3
1.30 Unmetered Flows 4
1.31 Urban' Growth Area 4
1.32 Wastewater Facilities 4
1.33 Wastewater Treatment Plant (WWTP) 4
1.34 Wholesale User I 4
1.35 YMC I 4
2.0 CAPACITY ALLOCATION 4
2.1 The City Owns the Wastewater Facilities 4
2.2 Capacity Allocation 4
2.3 Wastewater Facilities Expansion 5
2.4 Temporary Increase 5
2.5 Effect of Termination upon Capacity Allocation 6
3.0 SAMPLING AND TESTING 6
3.1 Testing of Influent 6
3.2 Sampling 6
3.3 Split Sampling I 7
3.4 Testing 7
3.5 Notification of Sampling Results 7
3.6 Sampling and Testing Costs 7
4.0 RATE AND CHARGE CALCULATIONS 7
4.1 Rates and Charges 7
4.2 Treatment Rate Calculation 7
4.3 CIP Rate Calculation 8
4.4 Repair /Replacement Charges 9
4.5 Pumping Rate Calculation 9
4.6 Rate Schedule 9
4.7 Corrosion and Odor Control Charges 10
4.8 Calculation of Monthly Billing 10
4.9 Calibration and Reporting 11
4.10 Unmetered Flows 11
4.11 Acquisition or Operation by Other Entity 12
5.0 QUARTERLY MEETINGS 12
6.0 UTILITY TAXES 12
7.0 PRETREATMENT PROGRAM 12
7.1 Purpose 12
7.2 Objectives 13
7.3 Control Authority 13
7.4 Enforcement 14
7.5 Right of Entry I 14
7.6 Duties and Responsibilities 15
7.7 Annual Pretreatment Report 18
7.8 Pretreatment Costs 19
8.0 INFILTRATION AND INFLOW EVALUATION 19
8.1 Infiltration and inflow Evaluation 19
9.0 INDUSTRIAL WASTE COLLECTION SYSTEM 19
9.1 City's Urban Growth Area 19
9.2 Designated Users! 19
9.3 Outside Utility Agreement 20
9.4 Terrace Heights' Users 20
9.5 Outside the City's Urban Growth Area 20
10.0 EXTRA - JURISDICTIONAL CUSTOMERS 20
10.1 City of Moxee I 20
10.2 Agreement Required 20
10.3 Extra- Jurisdictioial Customer Requirements 21
10.4 No Capacity Allocation 21
11.0 CORROSION AND ODOR CONTROL 21
11.1 Force Mains 21
11.2 Damages 21
12.0 DISPUTE RESOLUTION 21
12.1 Mediation 22
12.2 Litigation/Other 22
13.0 EMERGENCY ACTIONS 22
14.0 TERMINATION OF SERVICE 22
14.1 Termination for Cause - Procedures 22
14.2 Termination for Cause - Grounds 23
14.3 Withdrawal of Wholesale User from Agreement 23
14.4 Conditions of Service upon Termination of Agreement 23
15.0 INDEMNIFICATION 24
15.1 Indemnification of City by Wholesale Users 24
15.2 Indemnification of Wholesale Users by City 24
15.3 Indemnification of Wholesale Users by Each Other 24
16.0 GENERAL PROVISIONS 25
16.1 Severability 25
16.2 Binding Effect 25
16.3 Governing Law 25
16.4 Force ,Majeure 25
16.5 Non - Waiver 25
16.6 No Third -Party Beneficiary 25
16.7 Litigation 25
16.8 Modification of Agreement 25
16.9 Entirety 26
17.0 EFFECTIVE DATE AND TERM OF AGREEMENT 26
17.1 Effective Date; EXpiration 26
17.2 Extension 26
WASTEWATER TREATMENT AND DISPOSAL
1.0 DEFINITIONS
The following definitions shall apply to this Agreement, unless specifically provided
otherwise herein.
1.1 Asset Management: "Asset Management" is a systematic process of operating,
maintaining, and upgrading assets cost - effectively.
1.2 Asset Value: "Asset Value" is the value of an entity as a whole, or individual pieces
of equipment less the value of depreciation.
1.3 Biochemical Oxygen Demand (BOD): "BOD" means the quantity of oxygen
utilized in the biochemical oxidation of organic matter under standard laboratory
procedures in five days at twenty degrees centigrade, expressed in milligrams per liter
(mg/L).
1.4 Capacity Allocation: "Capacity Allocation" is the percentage of the Wastewater
Facilities' design capac that a Wholesale User is authorized by this Agreement to
utilize. A Capacity Allocation does not convey ownership interest in any Wastewater
Facilities.
1.5 Capital Costs and Expenses: "Capital Costs and Expenses" means Wastewater
Facilities costs for capital facilities, which costs shall include but are not limited to
loan repayment, debt service, cash used for capital improvement, and capital facility
assessments.
1.6 Capital Improvement Projects (CIP): "Capital Improvement Projects" are projects
undertaken for new Wastewater Facilities construction improvements, permit
requirements, and process changes to meet regulatory mandates, including future
growth and capacity requirements.
1.7 CIP Charge 1 1 Calculation: "CIP Charge Calculation" is based on funds transferred
into Wastewater Facility Project Fund 478 by the City each year for capital
improvements of the W TTP. Funds include cash, wastewater connection charge
revenue, and debt service for loans and/or bonds. Each Party is responsible for
paying its pro -rata share of the total amount transferred into this fund.
1.8 Clean Watery Act: The Federal Water Pollution Control Act of 1972, as amended, 33
U.S.C. § 1251 et seq.
1.9 Comprehensive Plans: `Comprehensive Plans" mean those comprehensive, utility,
or facility plans adopted by the Parties under state law.
1.10 Control Authority: "Control Authority" has the meaning set forth in 40 CFR
403.3(f) and is the entity; directly administering and enforcing pretreatment standards
and requirements for individual Industrial Users.
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1.11 Depreciation: "Depreciation" is the decrease in value of assets over a period of time
due to wear and tear and/or age.
1.12 Ecology: "Ecology" is the Washington State Department of Ecology and any
successor agency for purposes of the Clean Water Act.
1.13 Extra - Jurisdictional Customer: "Extra - Jurisdictional Customer" means a retail
customer that discharge sanitary and/or process wastewater to the City through the
wastewater collection system of a Wholesale User. An Extra - Jurisdictional Customer
is not granted any Capacity Allocation.
1.14 Industrial User: "Industrial User" is defined as set forth in chapter 7.65 of the
Yakima Municipal Code, as it may be amended from time to time.
1.15 Industrial Waste or IW: "Industrial Waste" or "IW" is defined as set forth in
chapter 7.65 of the Yakima Municipal Code, as it may be amended from time to time.
1.16 Minor Industrial User (MIU): "Minor Industrial User (MIU)" is defined as set forth
in chapter 7.65 of the Yakima Municipal Code, as it may be amended from time to
time. ,
1.17 Publicly Owned Treatment Works (POTW): "Publicly Owned Treatment Works
(POTW)" is defined as et forth in chapter 7.65 of the Yakima Municipal Code, as it
may be amended from time to time.
1.18 Pretreatment Charge: 1"Pretreatment Charge" means the actual cost incurred by the
City for any pretreatment activities conducted in enforcing the Pretreatment Standards
on discharges to the POTW from Union Gap and Terrace Heights.
1.19 Pretreatment Program: "Pretreatment Program" means a program authorized and
delegated by the State and administered by a POTW which meets the criteria
established in accordance with 40 CFR 403.8 and 403.9.
1.20 Pretreatment Requirement: "Pretreatment Requirement" means any substantive or
procedural requirement to pretreatment other than a pretreatment standard.
1.21 Pretreatment Standard: "Pretreatment Standard" means discharge standards,
categorical pretreatment standards and local limits.
1.22 Pumping Capacity Allocation: "Pumping Capacity Allocation" means an interest
and right to 'discharge a predetermined capacity allocation of wastewater into the
Rudkin Road Lift Station. It does not convey an ownership interest in any Wastewater
Facilities.
1.23 Pumping Rate Calculation: "Pumping Rate Calculation (Pumping O &M Costs)"
means the costs associated with the proper conveyance of wastewater through the
Rudkin Road Lift Station to the WWTP.
1.24 Repair /Replacement Charge: "Repair /Replacement Charge" means the annual
costs associated in funding the repair and replacement of existing facilities at the
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City's Wastewater Treatment Plant. Union Gap shall in addition, have a
Repair /Replacement Charge associated with the repair and replacement of the Rudkin
Road Lift Station.
1.25 Repair /Replacement Projects: "Repair /Replacement Projects" means work
conducted in 'the repair and/or replacement of any of the City's wastewater equipment
or facilities associated with providing service to the Wholesale Customers that are
parties to this Agreement.
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1.26 Significant Industrial User (SIU): "Significant Industrial User (SIU)" means a
nondomestic user of the POTW who:
a. Is subject to categorical pretreatment standards; or
b. Discharges an average of twenty -five thousand gallons per day or more of
process wastewater to the POTW (excluding domestic wastewater and
noncontact cooling water); or
c. Contributes ajprocess waste stream which makes up five percent or more
of the average dry weather hydraulic or organic capacity of the POTW
treatment plant; or
d. Is designated as such by the city on the basis that it has a reasonable
potential for adversely affecting the POTW' s operation or for violating
any pretreatment standard or requirement.
Upon a finding that a nondomestic user meeting the criteria of subsection b, c,
or d of this definition has no reasonable potential for adversely affecting the
POTW' s operation or for violating any pretreatment standard or requirement,
the city may at any time, on its own initiative or in response to a petition
received from a nondomestic user, and in accordance with procedures in 40
CFR 403.8(f)(6); determine that such user should not be considered a
significant industrial user.
1.27 Treatment Capacity Allocation: "Treatment Capacity Allocation" means an
interest and right to discharge a predetermined capacity allocation of wastewater into
the City's sanitary sewer system for treatment. It does not equate to ownership.
1.28 Treatment Rate: "Treatment Rate" means the rate charged by the City to the
Wholesale Users for flow, BOD and TSS pursuant to Section 4.0 of this Agreement.
1.29 Treatment Rate Calculation: "Treatment Rate Calculation (Treatment O &M
Costs)" means the calculation of costs other than Capital Costs Expenses,
pretreatment costs and e associated with monitoring the specific activities of
the Wholesale Users, and odor control and corrosion costs associated with the proper
treatment and disposal of wastewater in accordance with the City's NPDES permit
with Ecology. Such costs involve specific testing required at the WWTP, as well as
the costs for the treatment, operation, and maintenance conducted by the City.
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1.30 Unmetered Flows: " Unmetered Flows" means wastewater being discharged into
the City's sanitary sewer system without the use of flow meters; actual quantity of
wastewater is unknown.
1.31 Urban Growth Area: r "Urban Growth Area" or "UGA" are those areas designated
by Yakima County consistent with the Growth Management Act, chapter 36.70A
RCW.
1.32 Wastewater h Facilities: "Wastewater Facilities" means the Wastewater Treatment
Plant; the Rudkin Road Lift Station at 1916 Rudkin Road and its related force main;
and to the extent agreed upon by the Parties, any other facilities that the City may
construct, in the future, for joint use by the Parties.
1.33 Wastewater IiTreatment Plant (WWTP): "WWTP" means the City's wastewater
treatment plant at 2220 East Viola Avenue, currently providing wastewater treatment
for Yakima, Terrace Heights, and Union Gap, as it may be improved, expanded, or
replaced from time to time.
1.34 Wholesale User: "Wholesale User" means Union Gap and Terrace Heights, each a
wholesale customer that discharges sanitary and/or process wastewater through their
respective wastewater collection system to the City for wastewater treatment and
disposal. A Wholesale User has Capacity Allocation but no ownership in the City's
POTW.
1.35 YMC: "YMC" means the Yakima Municipal Code as it may be amended from time
to time.
2.0 CAPACITY! ALLOCATION
2.1 The City Owns the Wastewater Facilities. The City of Yakima owns 100% of the
Wastewater Facilities.
2.2 Capacity Allocation. Union Gap and Terrace Heights have a right to use a portion of
the capacity ( "Treatment Capacity Allocation ") of the WWTP. In addition, Union
Gap has a right to use a portion of the capacity ("Pumping Capacity Allocation ") of
the Rudkin Road Lift 'Station and its related force main. Treatment Capacity
Allocation and Pumping Capacity Allocation are referred to collectively as "Capacity
Allocation." I A Capacity Allocation is not an interest in real property.
2.2.1 Terrace Heights. Upon execution of this Agreement, Terrace Heights shall
have a Capacity Allocation of 4.0% of the existing WWTP for the treatment
and disposal of wastewater.
2.2.2 Union Gap. Upon execution of this Agreement, Union Gap shall have a
Capacity Allocation of 8.1% of the existing WWTP for the treatment and
disposal of wastewater. In addition, Union Gap shall have a Pumping
Capacity Allocation of 57.7% of the existing Rudkin Road Lift Station and its
related force main.
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2.2.3 Capacity Allocation Term. The Treatment Capacity Allocation under Sections
2.2.1 and 2.2.2 and any change under Section 2.3 shall remain in effect for the
duration of this Agreement per Section 17.0. The Pumping Capacity
Allocation under Section 2.2.2 and any change under Section 2.3 shall remain
in effect for the duration of this Agreement per Section 17.0. For purposes of
this section, operation includes any period of non - operation for repair,
renovation, construction or improvement. Further, the Treatment Capacity
Allocation and Union Gap's Pumping Capacity Allocation shall be binding on
any successor or assign, including but not limited to a contract operator or
regional agency, owning or operating the Wastewater Facilities.
2.2.4 The City of Moxee and/or any other entity discharging to a Wholesale User's
sanitary sewer system is strictly a customer of that Wholesale User and does
not have any allocation of capacity or other rights under this Agreement. The
City does not have a duty to serve any entity discharging to a Wholesale
User's sanitary sewer system. The wastewater flow and characteristics from
the City of Moxee or any other customer of a Wholesale User become that of
the respective Wholesale User and count against the Wholesale User's
Capacity Allocation.
2.3 Wastewater Facilities Expansion. The City shall expand its Wastewater Facilities
based upon service needs that are set forth in the Comprehensive Plans of all the
Parties and based on regulatory requirements to provide Terrace Heights and Union
Gap their Capacity Allocations of 4.0% and 8.1% respectively of the design capacity
of the WWTP for the term of this Agreement. The Wholesale Users shall provide the
City with copies of their wastewater planning documents (and amendments)
indicating their respective wastewater treatment needs. The City shall include the
Wholesale Users' wastewater treatment needs in its own planning documents and
shall plan for expansion of the Wastewater Facilities based on the total capacity needs
of all the Parties. When the City commences planning for Wastewater Facilities
improvement or expansion, the City shall notify the Wholesale Users, and upon
reasonable notice by either Wholesale User, the City shall include the Wholesale
User's comprehensive or system plans into its facility design. The Wholesale Users
shall bear their pro -rata share of Capital Costs and Expenses associated with the
improvements or expansion of the Wastewater Facility to ensure the preservation of
the Wholesale Users' Capacity Allocations in accordance with Section 2.2.1 and 2.2.2
of this Agreement. Each Party shall give prior written notice to the other Parties of
Comprehensive Plan processes, drafts, submittals to regulatory agencies and public
hearings.
2.4 Temporary Increase. Either Wholesale User may wish to seek a temporary increase
in its Capacity Allocation in the event that it expects to require more capacity than its
current Capacity Allocation. The City shall consider a request for temporary
additional capacity, if at the time of the request, allocating more capacity to the
requesting Wholesale User would not adversely affect the City's ability to serve its
other customers. Rates established in accordance with Section 4.2, 4.3 and 4.4 of this
Agreement shall apply during the term of the temporary increase in Capacity
Allocation. Additionally, the Wholesale Users may re- allocate between each other by
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separate agreement the WWTP Capacity Allocation set forth in Section 2.2, or as
later authorized by the Parties. If Union Gap is requesting the increase, rates
established in accordance with Section 4.5 of this Agreement shall also apply during
the temporary increase in Capacity Allocation. A copy of any such agreement shall
be provided to the City. Parties shall remain responsible for their individual costs as
originally allocated per the 3 -Party Agreement and any modifications to cost
allocation resulting from re- allocation of capacity between Wholesale Users shall be
resolved between the Wholesalers.
2.5 Effect of Termination upon Capacity Allocation. Termination of this Agreement
as to either or both Wholesale Users will terminate the Capacity Allocation of the
terminated Wholesale User(s). Upon termination, the City shall have no further duty
to provide wastewater treatment and disposal service to such Wholesale User(s) or to
their respective Industrikl Users and Extra - Jurisdictional Customers except to the
limited extent set forth in Section 14.3.1 of this Agreement.
3.0 SAMPLING AND TESTING
3.1 Testing of Influent. To determine the amounts of BOD and TSS in Terrace Heights'
and Union Gap's influent to the City's system, the Parties agree to the following
protocol.
3.2 Sampling. The City shall take samples, both composite and grab, of wastewater at
all locations in which the Wholesale Users' discharge into the City's sanitary sewer
system. Samples shall he representative and collected in accordance with 40 CFR
Part 136 and 40 CFR 403.12(b)(5)(vi). Each sample taken at a point of discharge into
the City's sanitary system shall be treated as a separate sample. The point of
discharge(s) shall be determined by the City and may be amended from time to time.
A sampling port and flow meter shall be made available by the Party Member at each
point of discharge to allow for representative sampling of each Party Member's
discharge into the City's collection system. Test results of each individual sample to
be applied to the flow measured at the point of discharge in which the sample was
originally taken to determine its concentration. The City shall take samples a
minimum of seven (7) tunes per month. However, if a Party Member has more than
one point of discharge into the City's collection system, the City shall sample and test
each point of discharge at least once per month. In order to obtain the true
characteristics of the wastewater being discharged from the Wholesale Users, the City
may conduct additional tests. The City in its sole discretion shall determine when
samples are taken and whether to take them on consecutive days. The Wholesale
Users may request that the City take additional samples during a particular month. At
their option, representatives of the Wholesale Users may attend sampling events. The
City shall give reasonable notice of the date and time of such sampling at least once
per year in working with the Party Members. However, to remain consistent with its
legal authority and obligation to conduct a delegated Pretreatment Program in
accordance with 40 CFR 403.8(f)(2)(v), the City shall exercise its right to conduct
random, unannounced ;sampling of the Parties' wastewater discharge for the
remaining samples. Failure to maintain a monitoring facility in good working order
shall not be grounds for Party Members to claim that sample results are
unrepresentative of such discharge(s). However, should it be determined that the
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integrity of the sample(s) has been compromised due to forces outside the control of
the Party Members, re- sampling of such event shall be conducted in the presence of
the involved Party Members.
3.3 Split Sampling. The City shall prepare split samples when it takes samples pursuant
to Section 3.2. The City shall give a split sample to any Wholesale User
representative who attends the sampling. If no representative attends the sampling,
the City shall dispose of the split sample after noon the following day.
3.4 Testing. Analysis of all samples shall be done by laboratories accredited by Ecology.
Each Party shall make its Quality Assurance /Quality Control ( "QA/QC ") results
available to any other Party upon that other Party's request, and any Party may
observe any other Party's testing procedures.
3.5 Notification of Sampling Results. Each Party shall promptly notify the other Parties
of its test results.
3.6 Sampling and Testing Costs. Pursuant to Section 4.8.1iv of this Agreement, the
Wholesale Users shall be responsible for the actual costs of the sampling and testing
conducted by the City.
4.0 RATE AND CHARGE CALCULATIONS
4.1 Rates and Charges. The City shall not assess a strong waste surcharge to Terrace
Heights or Union Gap for service provided by the City under this Agreement
regardless of the strength of wastewater discharged. Instead, the City shall bill
Terrace Heights and Union Gap for treatment of all wastewater based upon the actual
costs to the City to treat and dispose of the wastewater, including Capital Costs and
Expenses, as provided in this Agreement. The City shall allocate costs to the
following components:
(1) Flow — per million gallons received
(2) BOD — per pound of BOD received.
(3) TSS — per pound of TSS received.
(4) Capital Improvement Projects (CIIP) — for expansion, improvements,
and permit requirements of equipment and processes.
(5) Repair /Replacement Charge — for repair and replacement of existing
equipment and processes.
(6) Corrosion and Odor Control Charge — for the control of corrosion and
odor from force mains and other discharge sources.
4.2 Treatment Rate Calculation. The City shall calculate the Treatment Rates for
Terrace Heights and Union Gap wholesale wastewater treatment based upon actual
treatment costs for Flow, BOD, and TSS;
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i. Flow measured in volume without considering biochemical oxygen
demand (BOD) and total suspended solids (TSS);
ii. BOD measured in mass; and,
iii. TSS measured in mass.
The annual Treatment Kate for each component (Flow, BOD, and TSS) shall be
updated and become effective January 1 of each year based on the total treatment
plant operations and maintenance costs minus the costs for Corrosion and Odor
Control as recorded within the Wastewater Operating Fund 473 Service Unit 232
from the previous fiscal year (July 1 — June 30 producing a "Total Treatment
Cost." The cost for Corrosion and Odor Control shall be addressed separately in
accordance with Section 4.7 of this Agreement. The total number of gallons of flow
and pounds of BOD and TSS treated and utilized in the Treatment Rate, shall also be
based on the information provided during the same fiscal year as was utilized to
determine the Total Treatment Cost.
The Treatment Rate for each component shall be calculated as such:
Flow = Total Treatment Cost /Total million gallons treated.
BOD = Total Treatment Cost/Total pounds of BOD treated.
TSS = Total Treatment Cost/Total pounds of TSS treated.
The rate for each component shall then be applied to the monthly measured flow and
calculated loading concentrations determined through sampling of each Party
Member to determine actual monthly treatment costs for each Wholesale User.
Capital costs and expenes, pretreatment costs and expenses, and costs for corrosion
and odor control shall not be included in Treatment Costs.
4.3 CIP Rate Calculation. 1 The City shall calculate charges to the Wholesale Users
associated with CIP each year as set forth in Section 4.6 based on funds transferred
into Wastewater Facility Fund 478 by the City for capital improvements. This
includes cash and/or wastewater connection charge revenue. In addition,
expenditures within Fund 473 Service Unit 645 identified as debt service for loans
and/or bonds.
4.3.1 Each Party is responsible for paying its pro -rata share of the total CIP Charge
based on its respective Capacity Allocation percentages per Section 2.2.1 and
2.2.2 of this Agreement.
4.3.2 Amounts transferred to Fund 478 shall be used to pay for the costs incurred
for capital improvement projects in addition to the funds received from grants
and loans, or issuance of bonds for such capital improvement projects.
4.3.3 It is recognized the annual amount transferred to Fund 478 may vary
depending on the capital improvements made at the WWTP during the fiscal
year. Therefore, each Party is responsible for managing its own cash flow and
8
developing a reserve fund. For financial planning purposes, the City shall
provide annually the estimated costs for anticipated capital improvements and
proposed financing for the upcoming five (5) year period based on projects
identified in the City's Wastewater Facility Plan.
4.4 Repair /Replacement Charges. Through Asset Management, the City shall report
the value of assets of theF WWTP each year for the purpose of funding asset repair and
replacement. The report shall also include the projected useful life- expectancy of
each asset. As new assets are incorporated into the WWTP, each shall be added to
the total asset value of the WWTP. Likewise, as assets are replaced or depreciated
out, their value shall be eliminated from the total asset value of the WWTP. The
Repair /Replacement Charge shall be calculated based on the asset value and the life -
expectancy of each asset. The sum of all the Repair /Replacement Charges shall be
calculated each year pursuant to Section 4.6 of this Agreement with funds being
transferred into the Wastewater Facilities Capital Reserve Fund 472.
4.4.1 Each Party is responsible for paying its pro -rata share of the total
Repair /Replacement Charge based on its respective Capacity Allocation
percentage per Section 2.2.1 and 2.2.2 of this Agreement.
4.4.2 Phase In Period - Effective 2014, the funds transferred into Fund 472 for
Repair /Replacement shall be in the amount of $500,000. The amount for each
sequential year Or the next five (5) years shall be the previous year's amount
plus $100,000 with each Party Member paying their pro -rata share of the total
cost in accordance with Section 4.4.1 of this Agreement. After this period,
Repair /Replacement Charges shall be based on the actual repair /replacement
financial needs of the City's WWTP with each Party Member paying their
pro -rata share of the total cost in accordance with Section 4.4.1 of this
Agreement.
4.5 Pumping Rate Calculation. A Pumping Rate for Union Gap shall be calculated
each year pursuant to Section 4.6 utilizing the expenditures of Wastewater Operating
Fund 473 Service Unit 215- Rudkin Road Pump Station within the City Wastewater
Division's annual budget. The established Pumping Rate shall be applied to the
Union Gap discharge volume measured at the Rudkin Road Lift Station. Capital
Costs and Expenses shall not be included in the Pumping Rate. Union Gap retains
Pumping Capacity Allocation as defined in Section 2.2.2 of this Agreement.
4.5.1 A Repair /Replacement Charge as defined in Section 4.4 of this Agreement
shall be applied to Rudkin Road Lift Station.
4.5.2 Union Gap is responsible for paying its pro -rata share of the total
Repair /Replacement Charge of Rudkin Road Lift Station based on its
Capacity Allocation percentage per Section 2.2.2 of this Agreement.
4.6 Rate Schedule. The City shall establish a new rate schedule for the Treatment Rate,
CIP Rate, Repair /Replacement Charge and Pumping Rate in accordance with Section
4.2, 4.3, 4.4 and 4.5 of this Agreement to become effective in January of each year.
Such rates shall remain effective for the entire year.
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4.6.1 Data utilized to calculate and set the annual rates by the City shall be made
available to each Party by October 1 of each year prior to the rates becoming
effective.
4.7 Corrosion and Odor Control Charges
4.7.1 Equipment Cosh Costs associated with the purchase and installation of
equipment for corrosion and odor control, as well as its operation and
maintenance, shall be chargeable to the Wholesale Users as follows:
a. Union Gap and the City shall equally share these costs for the Rudkin
Road Lift Station because Union Gap and the City both utilize Rudkin
Road Lift Station to convey wastewater to the WWTP. If a Union Gap
discharge source(s) other than the Rudkin Road Lift Station is identified
and determined by the City to require corrosion and odor control, Union
Gap shall be s hall be assessed and responsible for 100% of the equipment
cost for such l discharge(s).
b. If the City determines that corrosion or odor control is necessary for
wastewater discharged by Terrace Heights, Terrace Heights shall be
assessed and responsible for 100% of this equipment cost since Terrace
Heights' force main discharges directly into the headworks at the WWTP.
4.7.2 Chemical Usage Cost. Costs associated with chemical usage for corrosion and
odor control shall be chargeable to the Wholesale Users as follows:
a. Union Gap shall be assessed and responsible for 80% of the cost of
chemical usage on its discharge. The City shall be responsible for the
remaining 20% since Union Gap and the City both utilize Rudkin Road
Lift Station to convey wastewater to the WWTP. If a Union Gap
discharge soirce(s) other than the Rudkin Lift Station is identified and
determined by the City to require corrosion and odor control, Union Gap
shall be assessed and responsible for 100% of the chemical usage cost on
such discharge(s).
b. If the City determines that corrosion or odor control is necessary for
wastewater dischar by Terrace Heights, Terrace Heights shall be
accessed and responsible for 100% of the chemical usage cost on its
discharge for corrosion and odor control since Terrace Heights' force main
discharges directly into the headworks at the WWTP.
4.8 Calculation of Monthly, Billing
4.8.1 Monthly Billing: Each Wholesale User's monthly billing shall be the sum of
the following:
i. Established Treatment Rates applied to actual measured Flow, BOD,
and TSS values measured from that Party's discharge for the month.
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ii. Each Party's respective pro -rata share of the established CIP Charge;
divided up into twelve (12) equal monthly payments.
iii. Each Party's respective pro -rata share of the established
Repair /Rplacement Charge; divided up into twelve (12) equal
monthly payments.
iv. Costs associated with any pretreatment sampling and testing conducted
by the City.
4.8.2 Union Gap, in addition to the components of the Pumping Rate defined in
Section 4.5 and the monthly billing defined in Section 4.8.1 of this
Agreement, shall be charged each month for Unmetered Flows as defined in
Section 4.10 of this Agreement until such time as all flows to the City's
sanitary sewer system from Union Gap are metered for the Pumping Rate of
Rudkin Road Lift: Station in accordance with Section 4.5 of this Agreement.
4.8.3 The City shall separately invoice the Wholesale Users for any applicable
equipment cost and chemical usage cost for corrosion and odor control.
4.9 Calibration and Reporting. The Wholesale Users are responsible for the
maintenance and calibration of all wastewater discharge meters measuring their
wastewater discharge flows into the City's sanitary sewer system and for all
associated costs. Each Wholesale User shall provide the City with all records and
documents related to the calibrations and maintenance performed on such meters as
part of their Annual Pretreatment Report in accordance with Section 7.7 of this
Agreement.
4.10 Unmetered Flows
4.10.1 Charges: The charge for the Union Gap Unmetered Flow shall be payable in
addition to charges established under Sections 4.1 through 4.8 of this
Agreement. Such charges for Union Gap Unmetered Flow shall be calculated
as follows: the quantity of such flow shall be multiplied by 0.5 times the
Treatment Rate and the Pumping Rate as defined in Sections 4.2 and 4.5 of
this Agreement. On a monthly basis, Union Gap shall provide the City with
the flow information for all accounts which contribute to Union Gap
Unmetered Flow!
4.10.2 Wastewater Flow Meter: At such time that Union Gap installs a wastewater
flow meter at the point of discharge of any unmetered flow into the City's
sanitary sewer system, this charge for Union Gap Unmetered Flow for the
flow at that now metered location shall be discontinued. Charges thereafter
assessed shall be based on the metered flow volume.
4.10.3 Union Gap's unmetered connections to the City's wastewater collection
system consist Of both collection system pipelines and individual direct
connections. Efforts shall be made to meter the discharges from the existing
collection system pipelines as well as implement collection system
improvements to combine and bring individual direct connections to a
common metering point. Union Gap shall submit a report as part of their
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Annual Pretreatment Report describing the process being made to install
wastewater flow meters at the locations of existing unmetered discharges.
The first annual report submitted by Union Gap for the Year 2014 shall
include a Capital Improvement Plan and schedule for installing infrastructure
needed to address the remaining unmetered wastewater flows as required of
Ecology and EPA. The Capital Improvement Plan and schedule date for
completion must be approved by the City. Upon approval, establishes a
compliance schedule with Union Gap in accordance with Section 7.0 of this
Agreement.
4.11 Acquisition or Oper by Other Entity
4.11.1 Public Entity. In the event the WWTP is acquired or operated by a state,
county, or other governmental entity ( "agency ") such agency may establish
rates and charges or costs for services for wastewater treatment
notwithstanding the provisions of Section 4.0 of this Agreement; provided,
however, that Terrace Heights, Union Gap, and the City shall all be subject to
the same rate structure for wastewater treatment services.
4.11.2 Private Entity. iIn the event the WWTP is acquired or operated by a non-
governmental entity, the Parties acknowledge that payments under Section 4.0
of this Agreement may include reasonable profit as may be authorized by the
contract between the City and the non- governmental entity; provided,
however, that Terrace Heights, Union Gap, and the City shall all be subject to
the same rate structure for wastewater treatment services. Rates charged to
Terrace Heights and Union Gap shall not include amounts for City utility tax,
however other taxes related to the provision of wastewater treatment service
shall apply.
5.0 QUARTERLY MEETINGS
Quarterly Meetings. In the interest of all the Parties, it is highly recommended that
quarterly meetings be held at the City's WWTP between the Party Members to
review the City's current and proposed capital projects, comprehensive plans, budget
process, and the development of the annual Rate Charges and Calculations in
accordance with Section 4.0 of this Agreement.
6.0 UTILITY TAXES
Utility Taxes. The Ciity shall not assess its utility tax on revenues from service
under this Agreement. Other taxes such as state, county and those imposed by other
third parties related to the Wastewater Facilities and their operation shall apply.
7.0 PRETREATMENT PROGRAM
7.1 Purpose. The Pretreatment Program sets forth uniform requirements for dischargers
into the City's POTW, and enables the City to protect public health in conformity
with all applicable local, state, and federal laws relating thereto, including the Clean
Water Act and the General Pretreatment Regulations (40 CFR 403).
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7.2 Objectives. The objectives of the Pretreatment Program are:
i. To promote the health, safety, and welfare of those persons within the
City's sewer service area;
ii. To ensure proper and safe connections to the POTW;
iii. To prevent the introduction of pollutants into the POTW that could
interfere with the normal operation of the POTW;
iv. To prevent the introduction of pollutants into the POTW that would
not receive adequate treatment in the POTW and would pass through
the POTW into receiving waters or the atmosphere or otherwise be
incompatible with the POTW;
v. To ensure that the quality of biosolids from the POTW is maintained at
a level which allows its utilization and beneficial reuse in compliance
with applicable statutes and regulations;
vi. To protect POTW personnel who may be affected by wastewater and
biosolids in the course of their employment and to protect the general
public;
vii. To improve the opportunity to recycle and reclaim wastewater and
biosolids from the POTW; and
viii. To enable the City to comply with its NPDES permit conditions,
biosolids utilization and beneficial reuse requirements and any other
federal or state laws to which the POTW is subject.
7.2.1 Control of Discharges The City is a fully delegated Pretreatment Program
and is required to control such discharges from all Industrial Users of its
wastewater treatment system pursuant to requirements set out in 40 CFR Part
403, Chapter 90.48 RCW, Chapters 173 -208 WAC, 173 -216 WAC, 173 -201A
WAC, and 173 -240 WAC and the National Pollution Discharge Elimination
System Permit issued by Ecology to the City ( "NPDES Permit "), all as they
may be amended from time to time, to prevent the discharge of waste that
could cause interference with the operations of the wastewater treatment
system or pass through in violation of the NDPES Permit.
7.2.2 SIUs and MIUs Owners and operators of facilities located in Terrace Heights
and Union Gap' currently contribute discharges of pollutants from non-
domestic sources that have the potential to upset or interfere with the POTW
and are therefore .regulated under Section 307(b), (c) or (d) of the Clean Water
Act. Such facilities are classified as Minor Industrial Dischargers (MIUs) in
accordance with Section 7.65.020 YMC or Significant Industrial Dischargers
(SIUs) in accordance with Section 7.65.020 YMC and 40 CFR 403.3(t).
7.3 Control Authority. The NPDES Permit identifies Ecology as the Control Authority
and Ecology therefore has the responsibility of writing and issuing wastewater
discharge permits to SIUs, while enforcing Pretreatment Standards for all Industrial
Users discharging to the City's POTW located outside the City's limits within the
service areas;iof Union Gap, Terrace Heights, and the City of Moxee and/or any other
Extra - Jurisdictional Customer.
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7.3.1 As a delegated Pretreatment Program, the City has the responsibility of
sampling, testing, and of enforcing the Pretreatment Standards on discharges
to the POTW from Union Gap and Terrace Heights in accordance with
Section 7.3.3 of this Agreement. Should the Control Authority be delegated
to the City from Ecology, the City shall also obtain the responsibility of
writing and issuing wastewater discharge permits to SIUs, while enforcing
Pretreatment Standards for all Industrial Users discharging to the City's
POTW located outside the City's limits within the service areas of Union Gap,
Terrace Heights, and the City of Moxee and/or any other Extra- Jurisdictional
Customer.
7.3.2 The Control Authority for the enforcement of Pretreatment Standards and
Requirements on discharges to the City's POTW from extra jurisdiction
customers of the i Wholesale Users shall be in accordance with Section 7.3 or
7.3.1 of this Agreement; provided, however, that upon termination of this
Agreement with regard to either Wholesale User for any reason, the City will
have no obligation to serve as the Control Authority for the terminated
Wholesale User(s). The Parties anticipate that Control Authority status will
revert to Ecology with regard to the terminated Wholesale User.
7.3.3 Each Wholesale', User shall implement a sampling program and other
pretreatment requirements as set forth in Sections 7.6.3 and 7.6.4 of this
Agreement. To the extent a Wholesale User fails to implement such program
and requirements, the City at its election may conduct sampling and other
activities for the 1 Wholesale Users' IUs as needed to comply with the City's
NPDES Permit. I The Wholesale Users shall reimburse the City for all costs
incurred by the 'City pursuant to this Section, including without limitation
costs ' , ; of program implementation, penalties and defense costs. A Wholesale
User's failure to 'implement such program and requirements shall constitute a
material breach for purposes of Section 14.2 of this Agreement.
7.4 Enforcement. The City shall have all enforcement remedies available to it in
accordance with YMC Chapter 7.65 Sewer Use and Pretreatment Regulations, this
Agreement, and applicable law as required to conduct a fully delegated Pretreatment
Program in accordance 1 with 40 CFR 403.8(0(1), to enforce the requirements of
sections 307 ?(b) and (c) ' and 402 (b)(8) of the Act and any regulations implementing
those sections in the event that the City finds that wastewater discharged from
Terrace Heights' or Union Gap's sewer system has violated or is violating the
Pretreatment 'Standards and requirements of the City Sewer Use Ordinance.
7.5 Right of Entry. As a delegated Pretreatment Program, the City is required to allow
or carry out inspections,[ entry, or monitor activities of Industrial Users in accordance
with 40 CFR 403.8(f)(1)(vi)(B). Therefore, each Party hereby acknowledges by
signature of this Agreement that the City, in coordination with the Parties, has the
permission and the authority, upon the presentation of credentials and other
documents as may be required by law, to:
a. Enter upon the premises of the Wholesale Users and their respective
Industrial; Users where a regulated facility or activity is located or
14
conducted, or where records must be kept under the conditions of this
Agreement;
b. Have access to and the opportunity to copy, at reasonable times, any
records that must be kept under the conditions of this Agreement;
c. Inspect at reasonable times any facilities, equipment (including
monitoring and equipment), practices, or operations regulated or
required under this Agreement;
d. Sample or monitor, for the purposes of assuring compliance with the
City's Sewer Use Ordinance, any substances or parameters at any
location; and
e. Inspect any production, manufacturing, fabricating or storage area
where pollutants regulated under the City's permit with Ecology could
originate, be stored, or be discharged into the sanitary sewer system.
1. In! the event any Party and/or Industrial User fails to provide
the City with access to any discharger's premises for
inspection, monitoring, or sampling, the City shall not enter
such premises without first obtaining a duly issued judicial
warrant in accordance with Section 7.65.160.D. of the YMC.
2. Each Party acknowledges its understanding that refusal of such
permission shall be sufficient grounds for enforcement action
in accordance with the City's Enforcement Response Plan
leading up to and including termination of this 3 -Party
Wholesale Service Agreement with respect to the refusing
Party, together with termination of the right granted herein to
discharge to the City of Yakima's POTW in accordance with
Section 7.65.270 of the YMC.
7.6 Duties and Responsibilities
7.6.1 Sewer Use Ordinance. Each Wholesale User shall maintain and diligently
enforce a Sewer, Use Ordinance that is no less stringent and is as broad in
scope as the Sewer Use Ordinance of the City (Chapter 7.65 YMC) as it may
be amended from time to time. This includes without limitation rights of
entry at least as broad as those set forth in YMC 7.65.160. The Wholesale
Users' Sewer Use Ordinances shall include pollutant - specific local limits that
address at least the same pollutant parameters and that are at least as stringent
as the local limits included in the City Sewer Use Ordinance. Each Wholesale
User's Sewer Use Ordinance shall provide the Wholesale User with the
authority to control, through a permit, order, agreement, or similar means, the
contribution to the City's wastewater treatment system from each Industrial
User within its jurisdiction, pursuant to 40 CFR 403.8(f)(1)(iii).
15
it
7.6.2 Revision of Sewer Use Ordinance. Before revising the City Sewer Use
Ordinance or any component thereof, the City shall forward a copy of the
proposed revision(s) to the Wholesale Users for review. The Wholesale Users
shall provide any comments on such revision(s) within thirty (30) days of
receipt of the City's proposed revisions. The City shall take into
consideration such comments prior to finalizing its revision(s).
a. When the Cily completes any revisions to the City Sewer Use Ordinance
or any component thereof, it shall forward a copy of the final revisions to
the Wholesale Users. Each Wholesale User shall adopt revisions to its
Sewer Use Ordinance that are at least as stringent as those adopted by the
City. Each; Wholesale User shall forward to the City its proposed
revisions for' review within forty -five (45) days of receipt of the City's
enacted revisions. Each Wholesale User shall adopt the necessary
compatible revisions within forty -five (45) days of receiving approval
from the City' of its content.
b. Nothing in this Agreement precludes Terrace Heights or Union Gap from
enacting and enforcing regulations more stringent than those set forth in
the City Sewer Use Ordinance.
7.6.3 Pretreatment Activities. Each Wholesale User shall take all actions
reasonable and necessary to ensure that Industrial Users, which includes both
SIUs'and MIUs, within its boundaries are subject to an approved Pretreatment
Program to the ektent required by 40 CFR. 403.8. Such actions shall include,
but are not limited to, the Wholesale User's performance of all technical and
administrative duties necessary to implement its sewer use ordinance (except
for the issuance of waste discharge permits and the associated permit
enforcement authority, which remain the responsibility of the Control
Authority). The Wholesale Users shall:
a. Update their industrial waste survey as set out in more detail in
Sections 1 . and 2. below;
1. The Wholesale Users shall maintain a current list of Industrial
Users, both SIUs and MIUs, located within their respective
jurisdictions ( "non- domestic inventory "). The non - domestic
inventory shall include, but not be limited to, name and address
of owner and operator, nature of discharge, emergency contact
and a copy of all discharge permits. The Wholesale Users shall
require each existing wastewater customer located within their
respective jurisdictions that may be an Industrial User to
provide an industrial waste survey. The Wholesale Users shall
provide an updated copy of their industrial waste survey to the
City and Ecology each year by February 10 as part of their
Pretreatment Report.
2. Whenever a new Industrial User begins operations in an area
served by a Wholesale User, or any time an existing Industrial
16
User implements changes in its operations or processes that
significantly affect its wastewater constituents or
characteristics, or storage of chemicals (these changes include,
but are not limited to, flow increases by twenty percent (20 %)
or greater, the commencement of discharge of any substance
prohibited or limited under the City Sewer User Ordinance, and
the addition of any process covered by national categorical
pretreatment standards), or has an enforcement action brought
against it, or at any time requested by the City or Ecology, the
Wholesale User shall require that such Industrial User respond
to , an industrial user survey that includes information
reasonably requested by the City for purposes of permit
compliance. The Wholesale User shall forward a copy of the
completed survey to the City and Ecology.
3. Ensure that all Industrial Users required to obtain a wastewater
discharge permit (or equivalent individual control mechanism)
have been issued such permit or authorization by the Control
A thority prior to discharge;
4. Conduct annual inspections, sampling, and analyses of all
SITJs, as well as a representative number of Industrial Users
(Mills) that may have the potential to affect the City's
wastewater treatment system;
5. Enforce its Sewer Use Ordinance against Industrial Users, both
SIUs and MIUs, that do not comply with Pretreatment
Requirements, Pretreatment Standards or its Sewer Use
Ordinance and inform the City and Ecology of all violations of
its sewer use ordinance or of any other need for enforcement
action immediately by phone and/or email, followed by a
written report within five (5) business days of the violation;
and
6. Take emergency action to stop or prevent any discharge that
presents or may present an imminent danger to the health or
welfare of humans that reasonably appears to threaten the
environment, that reasonably threatens to cause interference,
pass through, or sludge contamination, or that may cause the
City to fail to comply with the terms of its NPDES Permit.
b. Provide the City and Ecology access to and/or copies of all records or
documents relevant to the Pretreatment Program for any Industrial
User discharging to the City located in Terrace Heights or Union Gap
or discharging through Terrace Heights or Union Gap.
7.6.4 Inspection and Sampling. Each Wholesale User shall inspect and sample all
SIUs and a representative number of MIUs located within its jurisdiction each
year. The Wholesale Users shall sample SIUs and MIUs more frequently if
17
u i
required by Federal or State law or if determined necessary by the City due to
actual or potential violations of the Pretreatment Requirements or
Pretreatment Standards.
7.6.5 Inspection Notice. The Wholesale Users shall submit written notice of
scheduled inspections a minimum of five (5) working days prior to such
inspection to the i l City and Ecology, providing the opportunity for the City and
Ecology to attend the inspections. If an inspection is in response to an
emergency situation and such notice is not possible, the Wholesale Users shall
make every effort to informally notify the City and Ecology of the impending
inspection so the City and Ecology may attend. The Wholesale Users shall
forward copies of all inspection reports, including, if available, the laboratory
data associated with the samples taken during the inspection, to the City and
Ecology within thirty (30) days of the inspection. Each Wholesale User shall
submit to the City and Ecology its procedures for sampling and analysis,
including all procedures in place for quality assurance and quality control. All
procedures shall conform to those set out in 40 CFR 403.12(b)(5)(ii) -(v) and
40 CFR Part 136, except as otherwise required by the U.S. Environmental
Protection Agency.
a. As a dele 'gated Pretreatment Program, the City is required to have the
legal authority to conduct inspections and sampling of any Industrial
User discharging to the City's POTW located within the Wholesale
Users' jurisdiction, as well as that of their respective Extra -
Jurisdictianal Customers' service areas, without previous or written
notification in accordance with 40 CFR 403.8(f)(1)(iii)(B)(v). The
Wholesale Users shall include provisions in their municipal codes,
regulations and permits for Industrial Users that authorize the City to
conduct such inspections and sampling.
b. The City may coordinate inspections and sampling of any Industrial
User discharging to the City's POTW located within the Wholesale
Users' jurisdiction, as well as that of their respective Extra -
Jurisdictional Customers' service areas, with written advance notice in
order for the Wholesale Users and/or their respective Extra -
Jurisdictional Customers to attend.
7.7 Annual Pretreatment Report. The Wholesale Users shall submit an annual report
to the City and Ecology. Such report shall be received by the City and Ecology on or
before Febru 10 of each year and consist of a summary of the pretreatment
activities conducted during the previous calendar year. The report shall include the
following information:
(1) An updated non - domestic inventory;
(2) Laboratory data results for all Industrial Users, both Sills and MIUs,
sampling that was conducted in the previous year;
18
(3) Compliance status of each SIU and of additional Industrial Users that
have the potential to affect the City's wastewater treatment system, or
have violated Pretreatment Standards or Pretreatment Requirements as
set out in the City Sewer Use Ordinance within the past year;
(4) Copies of all wastewater discharge permits or discharge agreements
issued to SIUs; and
(5) A list of Industrial Users, both SIUs and MIUs, scheduled for
inspection and/or monitoring for the next year, and the expected
frequency of the inspection and monitoring activities.
7.8 Pretreatment Costs. Each Wholesale User shall be responsible for all costs related
to its performance of the technical and administrative duties necessary to implement
its Pretreatment Requirements under this Agreement; including sampling and testing
costs in accordance with 'Section 4.8.1.iv of this Agreement.
8.0 INFILTRATION ANDjINFLOW EVALUATION
8.1 Infiltration and inflow (Evaluation. The Wholesale Users shall conduct an annual
infiltration and inflow evaluation on their respective systems in accordance with the
U.S. EPA publication, I'I Analysis and Project Certification. They shall prepare a
report from the results of this evaluation which summarizes any measurable
infiltration and inflow, and said report shall be used as a baseline measurement for
future evaluations and reports. If in subsequent evaluation reports infiltration and/or
inflow have increased by more than fifteen (15) percent from that found in the first
report, presuming equivalent rainfall, the report shall contain a plan and a schedule
for locating the sources of infiltration and inflow and correcting the problem. The
report shall be submitted by February 10 of each year as part of the Annual
Pretreatment Report to both the City and Ecology.
9.0 INDUSTRIAL WASTE COLLECTION SYSTEM
9.1 City's Urban Growth Area. Terrace Heights provides sanitary sewer service within
the eastern portions of the City's Urban Growth Area (UGA), as the City UGA is now
designated.
9.2 Designated Users. Terrace Heights shall direct any existing or new food processors
that discharge high strength wastewater and that are located within the portions of the
City's UGA served by Terrace Heights to discharge their Industrial Waste into the
City's designated Industrial Waste (IW) line. ]Domestic wastewater shall not be
discharged into the IW line. Terrace Heights shall not accept such Industrial Waste
into its collection system unless the City has made a determination pursuant to
Section 9.4 of this Agreement that connection to the City's IW line is not feasible. If
the IW line is not readily; available, it shall be the responsibility of the Industrial User
requesting such wastewater service and/or Terrace Heights to arrange with the City
for extension of the IW line in order to provide service.
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9.3 Outside Utility Agreement. The City shall determine which Industrial Users are
required to connect to the IW line. This determination is based on the characteristics
and loading strength of the process waste discharge. Prior to connecting to the City's
IW line, the discharger must pay wastewater connection charges to the City in
accordance with Chapter 7.58 of YMC. In addition, an "Outside Utility Agreement"
shall be required between the City and each Industrial User connection to the City's
IW line in accordance' with Resolution R- 2004 -30, which sets forth the City's
annexation policy. Execution of an Outside Utility Agreement subjects the Industrial
User to annexation by the City, to be carried out at the discretion of the City. Until
annexation is finalized, all Industrial Users discharging to the IW line shall be
assessed "Outside City ": rates in accordance with Section 7.60.025 and 7.60.105 of
YMC. Such usage and loading shall not be incorporated into or counted against
Terrace Heights' Capacity Allocation.
9.4 Terrace Heights' Users. If the City determines that it is unfeasible to connect an
existing or new Industrial User that discharges high strength food processing IW to
the City's IW line, the Industrial User shall be allowed to connect to the sanitary
sewer line of Terrace Heights. It then becomes the Industrial User's responsibility to
pretreat its process wastewater to loading levels acceptable to both Terrace Heights
and the City. Such usage and loading shall be incorporated into and counted against
Terrace Heights' Capacity Allocation.
9.5 Outside the City's Urban Growth Area. It shall be the sole discretion of the City
to allow industries outside the City's urban growth area to connect and discharge into
the City's industrial waste line. If allowed, the rates established in accordance with
7.58 and 7.60 of the City's YMC shall be applicable with all requirements of Section
7.0 of this Agreement enforced.
10.0 EXTRA - JURISDICTIONAL CUSTOMERS
10.1 City of Moxee. The City of Moxee (Moxee) is recognized as an established
customer of Terrace Heights and not a Party to this Agreement. No capacity
allocation is granted to j Moxee under this Agreement. As such, Terrace Heights
intends to accept wastewater collected and delivered by Moxee from within Moxee's
wastewater service area. Moxee's service area is located outside of Terrace Heights'
service area. In addition, the City has agreed to accept such wastewater and to
provide treatment and idisposal for that wastewater, pursuant to the Capacity
Allocation held by Terrace Heights in accordance with Section 2.2.1 of this
Agreement. Terrace Heights will not accept any discharge from Moxee after the
effective date of this Agreement unless Terrace Heights, the City and Moxee have
entered into a new agreement pursuant to Section 10.2 of this Agreement.
10.2 Agreement Required. Before a customer located outside a Wholesale User's service
boundaries, as such boundaries have been approved by Ecology through a general
sewer plan pursuant to WAC 173- 240- 050(3)(c), discharges into the Wholesale
User's sanitary sewer s)/stem, the Wholesale User and the City shall enter into an
agreement with the Extra- Jurisdictional Customer. Such agreement must be fully
executed and in force prior to the discharge and must include terms equivalent to this
Agreement.
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10.3 Extra - Jurisdictional Customer Requirements. The Wholesale Users shall require
all Extra - Jurisdictional Customers to comply with the Pretreatment Standards and
Requirements in accordance with Section 7.0 of this Agreement. The Wholesale
Users shall also require all Extra - Jurisdictional Customers to perform the actions
required by Section 8.0 of this Agreement. The failure of an Extra - Jurisdictional
Customer to 'comply with the Pretreatment Standards and Requirements or to carry
out the requirements of Section 8.0 constitutes grounds for the City to require the
applicable Wholesale User to terminate service to the Extra - Jurisdictional Customer.
Failure of the Wholesale User to obtain compliance from the Extra - Jurisdictional
Customer is grounds for the City to terminate service to the Wholesale User in
accordance with Section 14.2 of this Agreement.
10.4 No Capacity Allocation. No capacity allocation at the City's WWTP shall be
assigned to any Extra - Jurisdictional Customers. As specified in Section 2.2.4 of this
Agreement, usage and loading from an Extra-Jurisdictional Customer shall be
incorporated into and counted against the Capacity Allocation of the Wholesale User
with which the Extra - Jurisdictional Customer has an agreement.
11.0 CORROSION AND ODOR CONTROL
11.1 Force Mains. The Wholesale Users use force mains to convey wastewater to the
City's sanitary sewer system. The utilization of corrosion and odor control
equipment and/or chemical usage if applicable, for the removal of dissolved hydrogen
sulfide from the waste stream generated from the discharge of the Wholesale Users'
force mains and/or other discharge sources shall be determined and controlled by the
City in its discretion due to the sensitivity of the WWTP process, particularly the
Ultra Violet (UV) disinfection system, and to protect safety of its personnel. The City
shall retain ownership of any equipment and determine its location to best treat the
Wholesale Users' waste ,stream. The City shall control the dosage of any chemical
used in the process. Costs associated with the equipment and/or chemical usage shall
be the responsibility of the Wholesale Users in accordance with Section 4.7 of this
Agreement.
11.2 Damages. The Wholesale Users shall be responsible for the cost of all repairs,
replacement, and associated expenditures that arise in whole or in part from damage
caused to the City's Wastewater Facilities or other infrastructure by the Wholesale
Users' discharge to the Wastewater Facilities of wastewater exhibiting corrosive
characteristics. In addition, the Wholesale Users are responsible for the costs to
reduce or eliminate odors from their discharges at all times and are responsible for all
damages incurred by the City in connection with said odors.
12.0 DISPUTE RESOLUTION
In the event that any dispute arises as to the interpretation or applicability of this
Agreement, the Parties shall attempt to resolve the dispute by informal negotiation,
pursuant to an informal process agreed to by the Parties. If the Parties fail to agree
upon an informal process, or fail to resolve the dispute through an agreed upon
informal process, then the Parties to the dispute shall first pursue mediation as a
means to resolve the dispute.
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12.1 Mediation. Any Party may request mediation by written notice of dispute to
other�;Party(s). If a mediator is not selected within thirty (30) days, any Party
may make application to the Presiding Judge of the Yakima County Superior
Court for appointment of the mediator. The costs of the mediator and
mediation proceedings shall be divided equally among the participating
Parties; provided each Party shall bear its own fees, costs, and expenses of
mediation. The mediation shall continue until 1) the mediator determines that
further mediated j efforts to resolve the dispute are no longer warranted, or 2)
one or more of the participating Parties elects to terminate the mediation
effort.
12.2 Litigation/Other. If the aforementioned methods are not successful, then any
dispute relating to this Agreement shall be decided in a court of competent
jurisdiction located within Yakima County in accordance with the laws of the
State II of Washington. Each Party shall bear its own costs and expenses
relating to any litigation that may result from the performance of this
Agreement. If ! the Parties involved mutually consent in writing, other
available means of dispute resolution may be implemented.
' I
13.0 EMERGENCY ACTIONS
The City may take, or direct the Wholesale Users to take, reasonable emergency
action necessary to stop or prevent any discharge that (a) presents, or in the sole
judgment of the City may present, an imminent danger to the health or welfare of
humans; (b) 'reasonably 'appears to threaten the environment, to cause interference,
pass through,�i or biosolids contamination, or (c) may cause the City to fail to comply
with the term's of its NPDES Permit. To the extent reasonably possible the City will
provide informal notice to the affected Industrial User(s) of its intent to take
emergency action prior to taking said action. The City will also use reasonable
efforts to notify each applicable Wholesale User (such efforts to include telephone
contact) of its intent to take emergency action prior to taking action. Depending on
the immediacy of the need for action, however, the opportunity to respond may not
arise until after the emergency powers of the City have been exercised.
14.0 TERMINATION OF SERVICE
14.1 Termination for Cause - Procedures. Any Party may terminate this Agreement for
wholesale wastewater treatment and disposal based upon a material breach by another
Party as follows. The non- breaching Party must provide written notice of the material
breach to the other Party for Parties. If the breach remains uncured after one hundred -
eighty (180) day cure period, the non - breaching Party or Parties may commence an
action for specific enforcement or other cause under Section 12.0 of this Agreement.
The cure or remedy period shall include the period for negotiation and mediation
under Sections 12.0 and 12.1 of this Agreement.
14.1.1 By mutual written agreement of the Parties, the cure or remedy period may be
extended.
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14.1.2 If the breaching Party is a Wholesale User, the City may terminate this
Agreement only as to the breaching Wholesale User and this Agreement shall
remain in effect as to the City and the non - breaching Wholesale User.
14.1.3 The Parties shall be bound by the outcome of litigation (or other process)
under Section 12!.0 of this Agreement, including all appeals, at the conclusion
of the litigation (the "Order "). The first remedy available to a Party under an
Order shall be specific performance. If a Party does not comply with the
Order within the; time specified for compliance in the Order, the prevailing
Party may elect ;to terminate the Agreement without further process under
Section 14.3 of 1this Agreement. If a Party chooses to not terminate the
Agreement, the Party may pursue such other remedies as are available under
law or this Agreement.
14.2 Termination for Cause!- Grounds. Any material breach shall constitute grounds for
termination pursuant to Section 14.1 of this Agreement. A material breach includes,
but is not limited to, all Wholesale User's failure to adhere to and implement the
PretreatmentlProgram in accordance with Section 7.0 of this Agreement or to address
infiltration and inflow as required by Section 8.0 of this Agreement. All applicable
costs generated up to and including the date of termination shall be and remain the
responsibility of the terminated Party to pay.
14.3 Withdrawal of Wholesale User from Agreement. Either Wholesale User may elect
to withdraw from this Agreement as follows.
14.3.1 Notice. The withdrawing Wholesale User shall provide the City with at least
five (5) years' advance written notice of its intent to withdraw. Such notice
shall ;include documentation sufficient to demonstrate that the withdrawing
Partythas compl''ed with the requirements of Section 14.4 of this Agreement.
Such notice shall be delivered to the City Manager with a copy to the
Wastewater Division Manager and to the City Attorney. The effective date of
withdrawal shall ;be 11:59 PM on December 31 of the year following the five
(5) years' notice (including sufficient documentation) is issued.
14.4 Conditions of Service upon Termination of Agreement. The following conditions
apply to the City's provision of wastewater treatment and disposal service to a
Wholesale User terminating this Agreement whether by withdrawal, for cause or
upon expiration. This Section 14.4 shall survive the termination of this Agreement.
14.4.1 Termination of Rights under Agreement. If this Agreement is terminated as to
either or both Wholesale Users, the respective benefits, responsibilities, and
obligations of the City and the Wholesale User(s) under this Agreement,
including permission for any Industrial Users to discharge directly or
indirectly to the :City's Wastewater Facilities, shall cease and the terminated
Wholesale User(s) shall have no Capacity Allocation. The terminated
Wholesale User(s) shall pay all amounts due under this Agreement for service
provided up to and including the date of termination.
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14.4.2 Obligation to Meet own Wastewater Needs. The Wholesale User shall have
the obligation to 1 meet the needs of all retail customers in its service territory
and any Extra - Jurisdictional Customers that it serves for wastewater treatment
and disposal service without use of the City's Wastewater Facilities and to
comply with all I applicable permitting and other requirements of the Clean
Water Act. 1
14.4.3 Temporary Service under YMC. If the Wholesale User cannot immediately
meet the requirements of Section 14.4.2 upon termination of this Agreement,
it may purchase wastewater treatment and disposal service from the City for a
period of time not to exceed five years as a non -owner (outside city) customer
pursuant to chapter 7.60 YMC, provided that the Wholesale User is subject to
a binding compliance schedule issued by the City or Ecology. The Wholesale
User must comply with all requirements of chapter 7.65 YMC.
15.0 INDEMNIFICATION !
15.1 Indemnification of City by Wholesale Users. The Wholesale Users shall indemnify
and hold the City harrriless for all damages, fines, and costs (including, without
limitation, attorneys', consultants' and experts' fees) incurred as a result of
wastewater and/or industrial waste discharged from the Wholesale Users' sanitary
sewer system into the City's sanitary sewer system in violation of federal or state
laws or regulations or the pretreatment program maintained pursuant to this
Agreement. '1In addition; the Wholesale Users shall indemnify and hold harmless the
City, its elected officials, officers, employees, agents and representatives, from and
against any and all damages, fines, costs (including, without limitation, attorneys',
consultants' ';and expert' fees, and fees to establish the right to indemnification),
judgments, and liabilities (except to the extent that any of the same results from the
indemnified City's negligent act or omission), arising out of or related to any act or
omission of the Wholesale Users, their employees, subcontractors, agents, or
servants; PROVIDED that such act or omission is directly related to the Wholesale
Users' duties or responsibilities under this Agreement. These rights to
indemnification shall survive the termination of this Agreement.
15.2 Indemnification of Wholesale Users by City. The City shall indemnify and hold
harmless the Wholesale lUsers, their elected officials, officers, employees, agents and
representatives, from and against any and all damages, fines, costs (including, without
limitation, attorneys', consultants' and experts' fees, and fees to establish the right to
indemnification), judgments, and liabilities (except to the extent that any of the same
results from the indemnified Wholesale Users' negligent act or omission), arising out
of or related 'to any act or omission of the City, its employees, subcontractors, agents,
or servants; PROVIDED that such act or omission is directly related to the City's
duties or responsibilities under this Agreement. This right to indemnification shall
survive the termination of this Agreement.
15.3 Indemnification of Wholesale Users by Each Other. Each Wholesale User shall
indemnify and hold harmless the other Wholesale User, its elected officials, officers,
employees, agents and representatives, from and against any and all damages, fines,
costs (including, without limitation, attorneys', consultants' and experts' fees, and
24
1
fees to establish the right to indemnification), judgments, and liabilities (except to the
extent that any of the same results from the indemnified Wholesale User's negligent
act or omission), arising out of or related to any act or omission of the first Wholesale
User, its employees, subcontractors, agents, or servants; PROVIDED that such act or
omission is directly related to the first Wholesale User's duties or responsibilities
under this Agreement. This right to indemnification shall survive the termination of
this Agreement.
16.0 GENERAL PROVISIONS
16.1 Severabilitv If one or more sections or provisions of this Agreement are held to be
unlawful, invalid or unenforceable by any court with jurisdiction, the remainder of
this Agreement shall not ;be affected thereby.
16.2 Binding Effect. This Agreement, including but not limited to any Capacity
Allocation under Section 2.2, shall be binding upon and inure to the benefit of the
Parties hereto and their predecessors, successors, heirs and assigns.
16.3 Governing Law. This Agreement shall be governed by and construed in accordance
with the laws of the State of Washington. Any legal action taken to enforce the
provisions of this Agreement shall be maintained in a court of competent jurisdiction
in Yakima County, Washington.
16.4 Force Majeure. If a Party is rendered unable by Force Majeure due to acts of God,
strikes, lockouts, labor ;disputes, civil disorder, acts of terrorism or other causes
beyond the reasonable control of the affected Party, to carry out, in whole or part, its
obligations under this Agreement and such Party gives notice and full details of the
event to the other Party as soon as practicable after such occurrence, the obligations
of the Party affected by the event (other than the obligation to make payments due for
performance ,',prior to the; event) shall be suspended to the extent required. The Party
claiming Force Majeure 'shall remedy the Force Majeure as soon as possible.
16.5 Non - Waiver. The failure on the part of any Party to enforce its right as to any
provision of the Agreement shall not be construed as a waiver of its rights to enforce
such provision in the future.
16.6 No Third -Party Beneficiary. Except as expressly provided herein, this Agreement
is entered into for the exclusive benefit of the Parties hereto and shall not be
construed to create any rights in, or to grant remedies to, any third party as a
beneficiary of this Agreement or of any duty, obligation or undertaking established
herein.
16.7 Litigation. Each Party shall bear its own costs and expenses relating to any mediation
and litigation that may result from the performance of this Agreement, and the City
shall not include its mediation or litigation costs and expenses in charges to Terrace
Heights and Union Gap.
16.8 Modification of Agreement. No modification or waiver of this Agreement or any
part hereof shall be valid or effective unless in writing and signed by all then - current
25
Parties to this Agreement; no waiver of any breach or condition of this Agreement
shall be deemed to be a waiver of any other subsequent breach or condition, whether
of like or different nature.
16.9 Entirety. This Agreement merges and supersedes all prior negotiations,
representations, and agreements between the Parties hereto relating to the subject
matter hereof and constitutes the entire contract between the Parties for the purposes
described herein.
17.0 EFFECTIVE DATE AND TERM OF AGREEMENT
17.1 Effective Date; Expiration. This Agreement shall become effective January 1, 2015
upon execution by the City and at least one Wholesale User. It shall remain in full
force and effect until January 1, 2035, unless it has been terminated earlier by all
Parties pursuant to Section 14.0.
17.2 Extension. Upon expiration, this Agreement shall be of no further force or effect
except as set forth in Section 14.4; provided, however, that:
17.2.1 Either or both Wholesale Users may extend this Agreement by one 10 -year
period by providing written notice to the City on or within the 30 days
preceding January 1, 2034 if such Wholesale User(s) wish to retain its or their
respective Capacity Allocation(s).
26
City of Yaki • Cit of nion Gap
%
By: lat. _ By: _ om _
Tony O'Ro ,, ke; _ ity Manager Roo ey :1 e ity Manager
Date: 1/' — / tof Date: /7 — �7
Atte / 1 ► • Attest:
•
Sonya ClIbl ee, City Clerk a � are r 'Clifton, City 1 - rk
Contract No. /t0/ — /9
Resolution No. R- ?;O /+/- -
Terrace Heights Sewer District
By: .
Orman Alderson, District Manager
Date: ////4 /y
Attest:
Frank Sliger, D S >. e ary
27
F x .11
4
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 14.
For Meeting of: November 18, 2014
ITEM TITLE: Resolution authorizing execution of a "3 -Party Wholesale
Service Agreement" with the City of Union Gap and the
Terrace Heights Sewer District for the provision of wholesale
wastewater treatment and disposal service by the City of
Yakima's Wastewater Division
SUBMITTED BY: Scott Schafer, Public Works Director, 576 -6411
Debbie Cook, Utilities & Engineering
Director
SUMMARY EXPLANATION:
The City of Yakima (City), the City of Union Gap (Union Gap), the Terrace Heights Sewer
District (Terrace Heights), and Yakima County have been operating under the "4 -Party
Agreement" with its several amendments and special agreements since February 23, 1976, for
the purposes of providing wastewater treatment and disposal service to developed areas within
the Yakima Urban Area. The wastewater treatment and disposal was to be provided by the City
at its Regional Wastewater Treatment Plant.
Each member of the 4 -Party Agreement, excluding Yakima County, has "capacity allocation" of
the City's wastewater treatment plant (WWTP); City 87.9 %, Union Gap 8.1%, Terrace Heights
4.0% and pay a pro -rata share of expenditures based on such capacity allocation. Union Gap
also has a capacity allocation of the Rudkin Road lift- station (57.7 %, City 42.3 %). The City
retains 100% ownership of both the VWVTP and the Rudkin Road lift- station. The participation
of Yakima County in the 4 -Party Agreement was significantly limited to only planning purposes
within the Urban Growth Area and became unnecessary upon the enactment of the Growth
Management Act in 1990.
The new "3 -Party Agreement" is a Wholesale Service Agreement between the City, Union Gap,
and Terrace Heights; with the percentages for capacity allocation remaining the same for each
party member and shall become effective January 1, 2015; superseding the 4 -Party Agreement
and all amendments thereto; including the Settlement Agreement and any Special Agreements
attached to the 4 -Party Agreement.
The new 3 -Party Agreement eliminates any subsidy by the citizens of Yakima as was previously
allowed under the 4 -Party Agreement for wholesale wastewater treatment and disposal
provided for Terrace Heights and Union Gap; providing for fair and equitable costs for wholesale
wastewater treatment and disposal, capital improvements, and repair /replacement. The new 3-
Party Agreement also complies with the US Environmental Protection Agency's directive for
Pretreatment Rules and Regulations and enforcement, including Control Authority by the City
for multi - jurisdictions discharging to its VWVTP. (See attached Agreement)
Resolution: X Ordinance:
Other (Specify):
Contract: X Contract Term:
Start Date: 1/1/15 End Date: 1/1/34
Item Budgeted: NA Amount:
Funding Source /Fiscal N/A
Impact:
Strategic Priority: Partnership Development
Insurance Required? No
Mail to:
Phone:
APPROVED FOR
SUBMITTAL: City Manager
RECOMMENDATION:
Staff respectfully requests City Council approve the Resolution authorizing the City Manager to
execute the accompanying 3 -Party Wholesale Service Agreement.
ATTACHMENTS:
Description Upload Date Type
0 Resolution - 3 -Party Wholesale Agreement 11/6/2014 Resolution
0 3 -Party Agreement 11/12/2014 Contract