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1988-062CITY OF SOUTHLAKE, TEXAS RESOLUTION NO. PY - 2-7 A RESOLUTION OF THE CITY OF SOUTHLAKE, TEXAS, APPROVING AN AGREEMENT BETWEEN THE CITY AND WALNUT GROVE WATER SYSTEM RELATING TO THE ISSUANCE OF A CERTIFICATE OF CONVENIENCE AND NECESSITY TO WALNUT GROVE WATER SYSTEM BY THE TEXAS WATER COMMISSION FOR WATER SYSTEM WITHIN AN AREA RECENTLY ANNEXED INTO THE CITY; APPROVING OTHER PROVISIONS RELATING THERETO; DECLARING AN EFFECTIVE DATE WHEREAS, Walnut Grove Water System has filed with the Texas Water Commission (hereinafter, the "Commission") its application for a Certificate of Convenience and Necessity for Water Utility Service (hereinafter referred to as a "CCN") for a proposed service area located in Denton County, Texas, approximately five (5) miles east of the Town of Roanoke, Texas, and generally bounded by Grapevine Lake, Bob Jones Road and Whites Chapel Road (hereinafter, the "Service Area"); and WHEREAS, the Service Area is a portion of an area of land which was annexed into the City of Southlake, Texas hereinafter referred to as the "City"), on May 17, 1988, by Ordinance No. 432 of the City; and WHEREAS, due to such annexation, the City has filed with the Commission its protest to the issuance of a CCN to Walnut Grove Water System for the Service Area; and WHEREAS, water service to the Service Area is not currently available from the City, however, in accordance with the service plan adopted by the City at the time of such annexation, the City intends to provide water service to the annexed area, including the Service Area, within four and one-half (4-1/2) years from the date of annexation, as required by Chapter 43.056, Local Government Code, V.T.C.A.; and WHEREAS, the City Council hereby determines that it is in the best interest of the City to enter into an agreement with Walnut Grove Water System whereby the City would agree to immediately withdraw its protest to the issuance of a CCN to Walnut Grove Water System covering the Service Area, and Walnut Grove Water System would agree (1) not to object or oppose the City's application, when filed, for a CCN for water utility service for the Service Area, and (2) that, upon the City being granted a CCN for the Service Area, Walnut Grove Water System would immediately file a petition with the Commission to 0 2 8 0 a/ 1 1 discontinue its operations in the Service Area, and would satisfy all requirements imposed by the Commission and State law for such discontinuance of service, and further that no monetary compensation would be due Walnut Grove Water System from the City as a result of such application for discontinuance or the discontinuance itself. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS: Section 1. That all of the above premises are found to be true and correct and are incorporated into the body of this Resolution as if copied in their entirety. Section 2. That the City Council hereby approves and authorizes the execution of an Agreement between the City and Walnut Grove Water System substantially in the form attached as Exhibit "A" hereto. Section 3. That the City Manager is hereby directed, upon execution of such Agreement by both parties, to immediately mail, or cause to be mailed, a fully executed copy of the Agreement to the Texas Water Commission and to notify the Commission of the City's withdrawal of its protest to the issuance of a CCN for water utility service to Walnut Grove Water System covering the Service Area. Section 4. This Resolution shall become effective immediately upon its approval by the Council. PASSED, APPROVED AND EFFE TIV"js the d of July, 1988./ Mayor ,) pityof South a IS t a ry , 1y ..0. 6ff thlake, Texas i X? y INl tU tt W -C 0 2 8 0 a/ 1 2 Texa—sem EXHIBIT A TO RESOLUTION NO. 88- 6.2-, STATE OF TEXAS COUNTY OF DENTON THIS AGREEMENT made as of this 5th day of June, 1988, between the CITY OF SOUTHLAKE, TEXAS (hereinafter referred to as the "CITY"), a municipal corporation of the State of Texas, and WALNUT GROVE WATER SYSTEM (hereinafter referred to as WALNUT GROVE"), a retail public utility system, witnesseth: WHEREAS, WALNUT GROVE has filed with the Texas Water Commission (hereinafter, the "Commission") its application for a Certificate of Convenience and Necessity for Water Utility Service (hereinafter referred to as a "CCN") for a proposed service area located in Denton County, Texas, approximately five (5) miles east of the Town of Roanoke, Texas, and generally bounded by Grapevine Lake, Bob Jones Road and Whites Chapel Road (hereinafter, the "Service Area"); WHEREAS, the Service Area is a portion of an area of land which was annexed into the CITY on May 17, 1988, by Ordinance No. 432 of the CITY; and WHEREAS, due to such annexation, the CITY has filed with the Commission its protest to the issuance of a CCN to WALNUT GROVE for the Service Area; and WHEREAS, water service to the Service Area is not currently available from the CITY, however, in accordance with the service plan adopted by the CITY at the time of such annexation, the CITY intends to provide water service to the annexed area, including the Service Area, within four and one-half (4-1/2) years from the date of annexation, as required by Chapter 43.056, Local Government Code, V.T.C.A.; NOW, THEREFORE, in consideration of the mutual agreements hereinafter contained and subject to the terms and conditions hereinafter stated, it is hereby understood and agreed by the parties hereto as follows: I. WALNUT GROVE agrees not to object to or oppose the CITY'S application, when filed, for a CCN for water utility service for the Service Area. II. WALNUT GROVE agrees that, upon the CITY being granted a CCN for the Service Area, it will immediately file a petition with the Commission to discontinue its operations in the 0 2 8 0 a/ 8 Service Area, and will satisfy all requirements imposed by the Commission and State law for such discontinuance of service; and WALNUT GROVE further agrees that no monetary compensation will be due it by the CITY as a result of such application for discontinuance or the discontinuance itself. The CITY agrees to withdraw its protest to the issuance by the Commission of a CCN to WALNUT GROVE for the Service Area. IV. The terms of this Agreement shall commence on the date set forth above and shall continue in effect until such time as the CITY is granted a CCN for the Service Area, WALNUT GROVE'S operations in the Service Area are discontinued, and all things required to be done and performed in accordance with this Agreement have been done and performed. V. The parties hereto agree that an originally signed and acknowledged copy of this Agreement shall be filed with the Commission and, with the consent of the Commission, shall be incorporated into the CCN granted to WALNUT GROVE. IN WITNESS WHEREOF, the parties have, in triplicate original, hereto signed this Agreement by the respective parties authorized to execute same, as of the date set forth above. CITY OF SOUTHLAKE, TEXAS BY 1k%ydxQxxU&tt&xxax- Acting City Manager, William D. LeGrand WALNUT GROVE WATER SYSTEM By: 2- 0 2 8 0 a/ 9 T. J. Edwards Sole Owner Ir ACKNOWLEDGMENTS STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on this the / day of July, 1988, by --0. Latta, Jr., City Manager of the City of Southlake, Texas. William D. LeGrand ofy Public in and for the Std a of Texas My Commission Expires: STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on this the day of , 1988, by T. J. Edwards, sole owner of Walnut Grove Water System. 0 2 a 0 a/ 1 0 Notary Public in and for the State of Texas My Commission Expires: 3-