HomeMy WebLinkAboutMinutes - City Council - Special - 5/3/1996CITY OF LUBBOCK
SPECIAL CITY COUNCIL MEETING
May 3,1996
8:30 A.M.
The City Council of the City of Lubbock, Texas, met in special session on the 3rd
day of May 1996 in the City Council Chambers, first floor, City Hall, 1625 13th
Street, Lubbock, Texas, at 8:30 A.M.
Present: Mayor Pro Tem Randy Neugebauer, Councilmember Victor Hernandez,
Councilmember T. J. Patterson, Councilmember Windy Sitton, Councilmember
Max L. Ince, Councilmember Alex Cooke, First Assistant City Manager Gavino
Sotelo, City Attorney Anita Burgess, and City Secretary Betty M. Johnson.
Absent: Mayor David R. Langston and City Manager Bob Cass.
Mayor Pro Tem Neugebauer called the meeting to order at 8:34 A.M.
(1.) The Invocation was given by Mayor Pro Tem Randy
Neugebauer.
( 2.) Pledge of Allegiance was given in unison by those in the
Council Chambers.
( 3.) Consider Resolution #5170 authorizing the Mayor to execute a
contract between the City of O'Donnell and the City of
Lubbock for sale of water to the City of Lubbock.
RESOLUTION #5170
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a contract to be entered by
and between the City of Lubbock and the City of O'Donnell for the sale of water from the
City of O'Donnell to the City of Lubbock as provided in said contract, attached hereto
and which shall be spread upon the minutes of the Council and as spread upon the
minutes of this Council shall constitute and be part of this Resolution as if fully copied
herein in detail.
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May 3, 1996
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Passed by the City Council this 3rd day of May 1996.
/s/ David R. Langston
DAVID R. LANGSTON, MAYOR
ATTEST:
/s/ Betty M. Johnson
Betty M. Johnson, City Secretary
APPROVED AS TO CONTENT:
/s/ Terry Ellerbrook
Terry Ellerbrook, Director of Water Utilities
APPROVED AS TO FORM:
/s/ Donald G. Vandiver
Donald G. Vandiver, First Assistant City Attorney
A copy of the Contract by and between the City of Lubbock and the City of O'Donnell
for the sale of water is filed with Resolution No. 5170.
Terry Ellerbrook, Director of Water Utilities, presented staff
comments. To make it possible to participate in the Canadian River
Municipal Water Authority (CRMWA) North Panhandle Ground
Water Project, the City of O'Donnell has agreed to sell the City of
Lubbock a portion of its CRMWA water allotment in exchange for
the funds necessary to pay its shares of the capital costs for the
project. O'Donnell has advised that it does not need the additional
water and does not have the financial resources to pay its share of
the project. The O'Donnell contract calls for the sale of 2 billion
gallons for a total price of $225,000. This amount would be paid in
two installments, the first of which ($52,900) would correspond to
the initial issuance of project bonds which is estimated to be in
June 1996. The second installment of $172,100 would correspond
to the second bond issuance which is anticipated to be in June
1997. In return, the City of Lubbock would received a total of 40
million extra gallons of water per year from CRMWA for the
50-year life of the ground water project. For the 50-year period,
Lubbock would receive a total of 2 billion gallons of water for
$225,000, which is approximately $0.11 per thousand gallons.
City staff recommended approval of this resolution.
Motion was made by Councilmember Patterson, seconded by
Councilmember Sitton to authorize Resolution #5170 as
recommended by staff. Motion carried: 5 Yeas; 1 Nay--
Councilmember Victor Hernandez.
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May 3, 1996
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( 4.) Consider Resolution #5171 authorizing the Mayor to execute
an agreement between the Canadian River Municipal Water
Authority and the City of Lubbock for the purchase and
acquisition of conjunctive use groundwater supply.
RESOLUTION #5171
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock an Agreement, attached
herewith, by and between the City of Lubbock and the Canadian River Municipal
Water Authority for the purchase and acquisition of conjunctive use groundwater
supply, and any associated documents, which Agreement shall be spread upon the
minutes of the Council and as spread upon the minutes of this Council shall constitute
and be a part of this Resolution as if fully copied herein in detail.
Passed by the City Council this 3rd day of May 1996.
/s/ David R. Lang_ston
DAVID R. LANGSTON, MAYOR
ATTEST:
/s/ Bette M. Johnson
Betty M. Johnson, City Secretary
APPROVED AS TO CONTENT:
/s/ Terry Ellerbrook
Terry Ellerbrook, Director of Water Utilities
APPROVED AS TO FORM:
/s/ Donald G. Vandiver
Donald G. Vandiver, First Assistant
City Attorney
A copy of the Agreement by and between the City of Lubbock and the Canadian River
Municipal Water Authority for conjunctive use groundwater supply is filed with
Resolution No. 5171.
Terry Ellerbrook, Director of Water Utilities, presented staff
comments. On February 9, 1995, the City Council approved a
resolution which stated its intent to participate with other member
cities of the Canadian River Municipal Water Authority
(CRMWA) in the North Panhandle Ground Water Project. This
project called for the purchase of 42,765 acres of water rights
northeast of Borger, the drilling of wells, and installation of
pipelines and other improvements. The ground water would be
blended with Lake Meredith surface water prior to delivery to
member cities. Thus, the quantity and quality of water available
would be enhanced. Lubbock would receive 100 percent of its
allocation, compared to the current 80 percent, and ultimately
could anticipate receiving almost 12.5 billion gallons per year from
CRMWA. This amount is comparable to Lubbock's average water
demand over the past 10 years. It is also anticipated that the
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May 3, 1996
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blending of ground water would enable Lubbock to meet the Texas
secondary standards for water quality relating to aesthetic quality.
Lubbock currently meets only the state's primary standards.
Lubbock's consent to the proposed purchase of underground water
rights was contingent upon the legal assurance of the ability of
CRMWA to export the ground water from Roberts County to
member cities. These legal questions have now been resolved. The
resolution approve in February 1995 also expressed the City of
Lubbock's intent to enter into a contract with the CRMWA for the
payment of Lubbock's share of construction, maintenance, and
operation of the project facilities to provide this additional water.
The total cost of the ground water project is now estimated to be
$81 million, of which Lubbock's share would be approximately
$30.2 million, based on the allocated share of water from the
reservoir. Lubbock's share of the initial ground water rights
acquisition would be approximately $5.6 million. This amount,
plus other up -front costs, would equal $7.1 million. In order to
delay a water rate increase until FY 1997-98, the staff
recommended that the City of Lubbock fund the $7.1 million
initial costs from existing reserves. The balance of the City's share
of the project ($23.1 million) would need to be financed. It is
estimated that a water rate increase of up to 15 percent will be
required to fund the ground water project.
Staff recommended approval of this resolution.
Motion was made by Councilmember Patterson, seconded by
Councilmember Sitton to authorize Resolution #5171 as
recommended by staff. Motion carried: 5 Yeas; 1 Nay--
Councilmember Victor Hernandez.
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There being no further business to come before Council, motion was made by
Councilmember Ince, seconded by Councilmember Patterson to adjourn the meeting at
8:46 a.m. Motion carried: 6 Yeas; 0 Na
ATTEST:
�� A � (-�c
Betty M. Jo on, City Secretary
Read and approved this the 23rd day of
ATTEST:
betty M. Johnso , City Secretary
.10
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