HomeMy WebLinkAboutResolution - 4087 - Extends Lease Agreement - LCCIWR - Waste Water Disposal - 02_25_1993Resolution No. 4087
February 25, 1993
Item 1113
RESOLUTION
WHEREAS, the City of Lubbock did enter into a Waste Water Lease
Agreement with L.C.C. Institute of Water Research; and
WHEREAS, the L.C.C. Institute of Water Research did lease certain land
to City for use by the City in disposal of waste water; and
WHEREAS, L.C.C. Institute of Water Research granted an option of
renewal for a ten year period to City, upon written notice by City; and
WHEREAS, City desires to exercise its option to extend the Waste Water
Lease Agreement for an additional ten year period, commencing January 1,
1999; NOW THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
SECTION 1. THAT the City Council of the City of Lubbock does hereby
exercise its option of renewal granted to it in Sec. 4 of that certain Waste
Water Lease Agreement executed by and between the City and L.C.C. Institute
of Water Research on the 14th day of August, 1980.
SECTION 2. THAT the City Secretary shall deliver a certified copy of
this Resolution to L.C.C. Institute of Water Research, which delivery shall
serve as written notice to L.C.C. Institute of Water Research of the City's
desire to exercise the option granted to it in Sec. 4 of said Waste Water
Lease Agreement, executed by the City and L.C.C. Institute of Water Research
on August 14, 1980.
Passed by the City Council o this 25t ay f Februgxy, 1993.
DAVID R. G 0 ,MMOR
ATTEST:
Sally StU l Abbe,Acti n�i ty
Secretary
A JPRVED A T CONTE
A. Hawkins, Director o ater
Ut Vities
TOVED AS TO FORM:
l
n o�., City Attorney
JCR:dw/Agenda-D1/L0C.Rea
rev. February 10, 1993
Office of
City Secretary
City of Lubbock
P.O. Box 2000
Lubbock, Texas 79457
606-767-2026
FAX: B06-762-3623 April 14, 1993
Dr. Steve Barham
LCC Institute of Water Research
5601 19th Street
Lubbock, Texas 79407
Dear Dr. Barham:
Enclosed is a certified copy of Resolution #4087 approved by the Lubbock City
Council on February 25, 1993, exercising the City's option to extend the
Waste Water Lease Agreement for an additional ten-year period, commencing
January 1, 1999.
If you need additional information, please don't hesitate to give us a call.
Sincerely,
6Bett M
y M. JoVson
City Secretary
BMJ/blc
cc: Dr. Harvie Pruitt
Mr. Bill Phillips
LCC Investment Corporation
bxc: John C. Ross, Jr., City Attorney
Dan Hawkins, Director of Water Utilities
Carrol McDonald, Assistant City Manager
for Utilities
CITY OF LUBBOCK
COUNTY OF LUBBOCK
STATE OF TEXAS
AFFIDAVIT
Before me, the undersigned authority, a Notary Public in and for
Lubbock County, Texas, personally appeared Betty M. Johnson, who, being by
me duly sworn, deposed as follows:
My name is Betty M. Johnson, I am of sound mind, capable of making
this affidavit, and personally acquainted with the facts herein stated:
I am the custodian of the records of the City Secretary's Office for
the City of Lubbock, Texas. Attached hereto is one (1) page of records
known as Resolution #4087 from the permanent minutes of the City of
Lubbock. This one (1) page of records is kept by me as City Secretary in
the regular course of business, and it was the regular course of business
of the City Secretary of the City of Lubbock, Texas or an employee or
representatives of the City Secretary of the City of Lubbock, Texas, with
knowledge of the act, event, condition, opinion, or diagnosis recorded to
make the record or to transmit information thereof to be included in such
record; and the record was made at or near the time or reasonably soon
thereafter. The records attached hereto are the original or exact
duplicates of the original.
Affian/ Vcj-k-�--
Betty M. Johnson, who is known to me to be the person whose name is
subscribed to the foregoing instrument, acknowledged to me that she
executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this 14th day of April, 1993.
(seal)
Notary Public, State of Texas
My commission expires: 10-17-96
Resolution No. 4087
February 25, 1993
Item 113
RESOLUTION
WHEREAS, the City of Lubbock did enter into a Waste Water Lease
Agreement with L.C.C. Institute of Water Research; and
WHEREAS, the L.C.C. Institute of Water Research did lease certain land
to City for use by the City in disposal of waste water; and
WHEREAS, L.C.C. Institute of Water Research granted an option of
renewal for a ten year period to City, upon written notice by City; and
WHEREAS, City desires to exercise its option to extend the Waste Water
Lease Agreement for an additional ten year period, commencing January 1,
1999; NOW THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
SECTION 1. THAT the City Council of the City of Lubbock does hereby
exercise its option of renewal granted to it in Sec. 4 of that certain Waste
Water Lease Agreement executed by and between the City and L.C.C. Institute
of Water Research on the 14th day of August, 1980.
SECTION 2. THAT the City Secretary shall deliver a certified copy of
this Resolution to L.C.C. Institute of Water Research, which delivery shall
serve as written notice to L.C.C. Institute of Water Research of the City's
desire to exercise the option granted to it in Sec. 4 of said Waste Water
Lease Agreement, executed by the City and L.C.C. Institute of Water Research
on August 14, 1980.
Passed by the City Council o this 25t _ ad y, Februa -, , 1993.
f
ATTEST:
aa---
Sally StUl Abbe, Acting City
Secretary
A O�RVED A T CONTE
aw ns, birector of Water
UtX1 ities
AP OVED AS TO FORM:
� L
n G. Ross, Jr., City torn y
JCR:dw/A6ea4a-01/LCC.R4s
r*v. FebruuT 10, 1993
No Text
®SENDER: Complete items 1 and 2 when additional
services are desired, and complete items
3 end 4.
Put your address in the "RETURN TO" Space on the reverse side. Failure to do this will prevent this card
from being returned to you. The return recei t fee will rovide ou the name of the arson delivered to and
the date of deliver .For ad Mona ees t e: .1 lowing services
are available. onsu1, postmaster tor tees
and c heck oxles or additional services) requested.
1. ❑ Show to whom delivered, date, and addressee's address.
2. ❑ Restricted Delivery
(Extra charge)
(Extra charge)
3. Article Addressed to:
.4. Article Number
P 545 284 736
Mr. Bill Phillips
Tx pe of Service:
LCC Investment Corporation
L Registered ❑ Insured
5601 19th Street
® Certified ❑ COD
Lubbock, Texas 79407
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❑ Express Mail ❑ forRet MerReceipte
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or agent and DATE DELIVERED.
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®SENDER: Complete items 1 and 2 when additional services are desired, and complete items
3 and 4.,/
Put your address in the "RETURN ro- Space on the reverse side. Failure to do this will prevent this card
from being returned to you. The return recei t fee will provide ou the name of the person delivered to and
the date of deliver .For ad monal ees t e o allowing services are avai ab e. onsu t postmaster or ees
an ' ec axles or additional service(s) requested.
1. ❑ Show to whom delivered, date, and addressee's address. 2. ❑ Restricted Delivery
(Evra charge) (Extra charge)
3. Article Addressed to: 4. Article Number
Dr. Steve Barham P 545 284 734
LCC Institute of Water Research Type of Service:
5601 19th Street ❑ Registered ❑ Insured
® Certified, ❑ COD �p
Lubbock, Texas 79407 ❑ Exprjurn s mail ❑ Returnfor Receipt
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RECEIPT FOR CERTIFIED MAIL
NO INSURANCE COVERAGE PROVIDED
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LCC InstitB of Water
Street and No. KesearE
5601 19th Street
P.O., State and ZIP Code
L ock Tx 79407
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LCC Investment Cor orati
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WASTE WATER LEASE AGREEMENT
1. Parties:
a. LCC Institute of Water Research
b. LCC Investment Corp.
C. J. E. Hancock and wife Eileen Hancock
d. City of Lubbock
2. Exhibits:
a. Property Description
b. Farm Lease and Option to Purchase (as amended)
C. Lease and Land Use Agreement between LCC Water Research and
LCC Investment Corp.
d. Addendum To Lease Agreement between City of Lubbock and Standefer
and Gray Corp.
e. Map
3. Release and Acknowledgnent
C
LAW OFFICES OF
BA�K�E�RBROWN
& HOMPSON
Notion Baker
A PROFESSIONAL CORPORATION
Deborah Brown
THE PLAINS NATIONAL BANK BLDG.—FOURTH FLOOR
Wm Mark Thompson
5010 UNIVERSITY
LUBBOCK, TEXAS 7W13
Edward R. Smith
(Retired)
December 1, 1992
Telephone
(806)792-1014
Facsimile
(806)792-0894,
12 3,-
Mr. John Ross, Jr. n G 1992
City Attorney ca
City of Lubbock �+ w
P. O. Box 2000
c'
Lubbock, TX 79457
RE: J. E. Hancock and Lubbock Christian University
Dear John:
Enclosed are four (4) duly executed Release and Acknowledgments
with respect to the Waste Water Lease Agreements and Land Use
Agreements between Lubbock Christian College Investment
Corporation, the LCC Institute of Water Research and the City of
Lubbock. I am sorry for the delay in returning this. I have had
some difficulty in getting the documents circulated and correctly
executed.
I understand that you will present this to the City Council and,
after it has been on the agenda and approved, you will return to
us one duly executed copy signed by Mayor Langston.
I look forward to hearing from you in this regard.
Yours very truly,
Aah
��gjorown
DB:kw
Enclosures
cc: Mr. J. E. Hancock
4713 22nd Street
Lubbock, TX 79407
Resolution No. 4073
n Jam �y 28, 1993
Item No. 24
RESOLUTION
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 Release and
Acknowledgment by and between the City of Lubbock and Lubbock Christian
College Investment Corporation and Lubbock Christian Institute of Water
Research releasing J. E. Hancock and the Estate of Eileen Hancock from any
and all obligations incurred as a result of the execution of a Waste Water
Lease Agreement dated August 14, 1980, attached herewith, which 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
ATTEST:
Sally Stio Abbe, Acting City Secretary
APPROVED AS TO CONTENT:
6V-'6"1Z 0'�22
Carroll McDonald, Assistant City Manager
APPROVED AS TO FORM:
LL C-
Cam`=
n C. Ross, Jr., City A orn
JCR:da/AGEN1)A-D1/R-NNC0CR.Les
January 19, 1993
i
THE STATE OF TEXAS §
§
COUNTY OF LYNN §
n E—q lution No. 4073
RELEASE AND ACKNOWLEDGMENT
KNOW ALL PERSONS BY THESE PRESENTS, THAT:
WHEREAS, all of the undersigned (other than LUBBOCK
CHRISTIAN UNIVERSITY ENDOWMENT FOUNDATION TRUST and J. E. HANCOCK
in his capacities as herein set forth brought about by the death
of EILEEN HANCOCK a/k/a EILEEN M. HANCOCK), are parties to one or
more of the following agreements:
a. Waste Water Lease Agreement dated August 14, 1980, by
and among Hancock, LUBBOCK CHRISTIAN COLLEGE INVESTMENT
CORPORATION ("LCCIC"), L.C.C. INSTITUTE OF WATER
RESEARCH ("Institute"), and the City of Lubbock, Texas
(11City") ;
b. Lease and Land Use Agreement dated August 13, 1980, by
and among Hancock, LCCIC and Institute; and
C. Sewage Effluent Supply Contract dated August 13, 1980,
by and among Hancock, LCCIC, Institute and STANDEFER &
GRAY, INC. ("Standefer & Gray"),
(all of said agreements being hereinafter collectively called the
"Agreements");
WHEREAS, J. E. HANCOCK and wife, EILEEN HANCOCK
(collectively called "Hancock") executed the Agreement in their
capacity as owners of all or portions of the real property
described therein; and
WHEREAS, Hancock has conveyed all of their interest in said
property to LCCIC and LUBBOCK CHRISTIAN UNIVERSITY ENDOWMENT
FOUNDATION TRUST ("LCUEFT") and are no longer the owners of any
interest in any property covered by such Agreement; and
WHEREAS, LCCIC and LCUEFT accepted the conveyance of said
property subject to the Agreements; and
WHEREAS, Standefer & Gray have transferred and assigned unto
the City all right, title, and interest of Standefer & Gray in
the Sewage Effluent Supply Contract dated August 13, 1980,
hereinabove referred to in Subparagraph C, a true and correct
copy of such assignment and transfer being attached hereto as
Exhibit "A", and made a part hereof for all purposes.
WHEREAS, the undersigned desire to confirm that the
conveyance of such property by Hancock releases Hancock from any
and all obligations under the terms of the Agreements, and desire
to further confirm such release and also release the Estate of
Eileen M. Hancock, her heirs and assigns, and the EILEEN M.
HANCOCK ESTATE TRUST; and
WHEREAS, LCCIC and the Institute desire to confirm that the
release of Hancock and the Estate of Eileen M. Hancock, her heirs
and assigns, and the EILEEN M. HANCOCK ESTATE TRUST from any and
all obligation under the terms of the Agreements in no way
modifies LCCIC's nor the Institute's obligation under said
Agreements; and
WHEREAS, LCUEFT joins herein to confirm that its interest in
the property remains subject to the Agreements following the
release of Hancock; and
WHEREAS, J. E. Hancock, individually and as Independent
Executor of the Estate of Eileen M. Hancock, deceased, and
Trustee of the Eileen M. Hancock Estate Trust desires to confirm
that if he in said capacities or his successors in such
capacities or interest reacquire an interest in such property
(other than a security interest), he or his successors in
capacities or interest shall have reassumed their obligations
under such Agreements as a result of such acquisition;
NOW THEREFORE, for and in consideration of the recitals and
other good and valuable consideration to the undersigned in hand
paid, the receipt and sufficiency of which is hereby
acknowledged, the undersigned agree, except as otherwise herein
provided, to release, and by these presents do release, acquit
and forever discharge Hancock, and each of them, and the Estate
of Eileen M. Hancock, her heirs and assigns and the Eileen M.
Hancock Estate Trust, from any and all obligations Hancock has or
may ever have had under the terms of the Agreements, the parties
acknowledging that all of Hancock's obligations under said
Agreements have been assumed by LCCIC. The foregoing
notwithstanding, LCCIC and LCUEFT acknowledge that the interest
they have acquired from Hancock in the property remains subject
Release and Acknowledgement - Page 2
r°
to the Agreements, and further acknowledge that they, and each of
the, are bound herein by the terms of the agreements as
successors in title and interest to Hancock. Furthermore, the
foregoing notwithstanding, J. E. Hancock, individually and as
Independent Executor of the Estate of Eileen M. Hancock and
Trustee of the Eileen M. Hancock Estate Trust agrees and
acknowledges that if tie or his successors in capacities or
interest acquire an interest in the real property described in
the Agreements, other than a security interest, that he or his
successors in capacities or interest shall assume all obligations
originally agreed to by Hancock in the Agreement. This Release
and Acknowledgement shall be binding upon the undersigned and
their respective successors, legal representatives and assigns,
and shall inure to the benefit of J. E. Hancock and the Estate of
Eileen M. Hancock, her heirs and assigns and the Eileen M.
Hancock Estate Trust and the City of Lubbock, their respective
heirs, successors, legal representatives and assigns.
EXECUTED this day of S., p ,tr,.,. h e r- , 1992,
effective for all purposes as of March 31 , 1992
piyjf*:2&40 . 1-6 0--fRumi
( -,0-4cdW'O
Carroll McDonald
Assistant City Manager
of Utilities
LUBBOCK CHRISTIAN COLLEGE
INVESTMENT CORPORATION
By: w�
h7,
Hdrvie M. Pruitt,` F'Fesident
L.C.C. INSTITUTE OF WATER R EARCH
om A. H e� �i�!
TH C OF B
By
vid R. Lang n, May
J 1% FrANCOCK, IndivicTually and as
ndependent Executor of the Estate of
Eileen M. Hancock and Trustee of
the Eileen M. Hancock Estate Trust
APPROVED AS TO FORM: LUBBOC ISTIAN UNIVERSITY
E O ENT OUNDATION TRUST
Byf r
C. Ross, Jr. ell Lennis Baker, Trustee
City Attorney Y.
Nort Ba�kerTrustee
By: ,�
J. Ham , Truste
Release and Acknowledgement - Page 3
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This 'nstrument was acknowledged before me on the �[� day
of pV C � tpZ, 1992, by Harvie M. Pruitt, President of LUBBOCK
CHRISTIAN COLLEGE INVESTMENT CORPORATION, a Texas Corporation, on
behalf of said corporation.
e...w.� � h,O
�� BOLL F PHILLIPS Notary ublic, S_t to f x
NOTARY PUBLIC Printed Name: i r S
State of Texas
`o, f Comm. Exo 10.26-93 My commission expires O
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
7:!�
This
instrument was
acknowledged before me on the
2-0 day
of
� 1992,
by Thomas A. Hicks, President
of L.C.C.
INSTITUTE
OF WATER RESEARCH, a Texas corporation, on
behalf of
said corporation.
BILL F PHILLIPS
NOTARY PUBLIC
State of Texas
Notary Public, State f
Printed Name: , /1
exa
s
Comm. Ex;)10-26-93
My commission expires
-a
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
T is instrument was acknowledged before me on the day
of , 1991, by David R. Langston, Mayor of the City
of Lubbock, Texas.
•° �, OLIVIA R. SOLIS ti4
fQOfAP,Y PUBLIC. State of Texas 1 Nota Public, State of Texas
MY Commission Expires
NOVEMBER301,1993 Printed Name:
+'✓�^�.�vs�.�r.,.�.��,,,,,r�,, My commission expires
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This in trument was acknowledged before me on the � `day
of O `e p, 1992, by J. E. HANCOCK, Individually and as
Independent Executor of the Estate of Eileen M. Hancock and
Trustee of the Eileen M. Hancock Estate Trust.
l
Notary P blic, tate .f T as ,
i ; BILL F PHILLIPS Printed Name: ,
NOTARY PUBLIC My commission expires
/� \j State of Texas
Comm. Exp, 10-26.93
Release and Acknowledgment --Page 4
THE STATE OF TEXAS §
COUNTY OF LUBBOCK
T is in trument was acknowledged before me on the 0201,
day
of 1992, by Lennis Baker, Trustee of Lubbock
Christian Universtiy Endowment Foundation Trust.
BILL F PHILLIPS
f+�e
NOTARY PUBLIC
State of Texas
Comm. Exp. 10.26 93
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
Notary Public, State of xa
Printed Name: ��
My commission expires
This instrument was acknowledged before me on the 1-94-44\. day
of O.1 , 1992, by Norton Baker, Trustee of Lubbock
Christian University Endowment Foundation Trust.
L '�� &,-)
Notary Public, State of Texas
Printed Name:
My commission expires
J46 DEBORAH BROWN I
THE STATE OF TEXAS § IIeMry ►eblm, Smie d e
i d
�, ,Oi MY Cemmh.len tapim 6_33.77-97
COUNTY OF LUBBOCK §"eon'
This in nt was acknowledged before me on the day
of trume1992, by J. W. Hamby, Trustee of Lubbock
Christian University Endowment Foundation Trust.
BILL F PHILLIPS Notary P blic, State o as
W61NOTARY PUBLIC P�
State of Texas Printed Name:Comm. Exp 10-26-93 My commission expires p -
Release and Acknowledgment --Page 5
I
f � ^
6
THE STATE OF TEXAS §
ASSIGNMENT
COUNTY OF LUBBOCK
STANDEFER & GRAY, INC., a Texas Corporation, as Assignor, does
hereby transfer and assign unto CITY OF LUBBOCK, TEXAS, as Assignee,
all right, title and interest which Assignor has in and to that
certain Sewage Effluent Supply Contract dated August 13, 1980, by
and between Standefer & Gray, Inc., a Texas Corporation, as
"Company," and LCC Institute of Water Research, a Texas Corporation,
as "Institute," as amended by Addendum dated March 15, 1982, true
and correct copies of said Contract and Addendum are attached hereto
and incorporated herein for all purposes.
It is the intent by this transfer and assignment that Assignee
acquire all rights of Assignor under said Sewage Effluent Supply
Contract. This Assignment is made without any warranties, expressed
or implied, and is given in accordance with the Contract of Sale
dated June 9, 1986, where City of Lubbock is "Buyer" and J. Frank
Gray, joined pro forma by his wife, Imogene Gray, and Jack P.
Driskill, as Independent Executor of the Estate of Lily W. Gray,
Deceased, and Standefer & Gray, Inc., a Texas Corporation,
Debtor -in -Possession in Cause No.�583-00119, are Sellers.
SIGNED AND EXECUTED this 6-tk day of October, 1988, and
effective as of September 30, 1986.
STANDEFER & GRAY, INC., a Texas
Corporation
By r
J. Frank Gray, President
THE STATE OF TEXAS §
COUNTY OF LUBBOCK § /
This instrument was acknowledged before me on the 4i day of
October, 1988, by J. Frank Gray, President of STANDEFER & GRAY,
INC., a Texas corporation, on behalf of said Corporation.
TARY PUBLIC, State of Texas
' �To rc),40DI,�L
Printed or Typed Name of Notary
My Commission Expires: 9
gdp/gray02/assigni
THE STATE OF TEXAS 5
5 SEWAGE EFFLUENT SUPPLY CONTRACT
COUNTY OF LUBBOCK §
THIS AGREEMENT is made this 13 day of , 1980,
by and between STANDEFER & GRAY, INC., a Texas corporation;�as
"Company", and LCC Institute of Water Research, a Texas corporation,
as "Institute".
W I T N E S S E T H:
WHEREAS, Company has a lease agreement with the City of
Lubbock, as "City", dated flay 1, 1968, as amended March, 1978, a
copy of which is attached hereto as Exhibit "A"; and
WHEREAS, the agreement attached as Exhibit "A" provides that
City will pump all of its sewage effluent to lands owned or under
control of Company; and
WHEREAS, Institute has approached Company with an offer to
provide an additional discharge site for sewage effluent located in
Lynn County, Texas, hereafter referred to as "Institute lagoon"; and
WHEREAS, an addendum to Exhibit "A" is required to allow City
to pump sewage effluent to the Institute lagoon and said addendum
is attached hereto as Exhibit "B"; and
WHEREAS, said Exhibit "B" requires an agreement to be executed
between Company and Institute; and
NOW THEREFORE, Company and Institute agree as follows:
Recitations as to Current Volume and Usage
A. The present volume of sewage effluent delivered to Company
is approximately 15,000,000 gallons per day averaged over the
entire year. As the city grows, this volume is expected to increase
proportionately.
B. Under the contract and addendum attached as Exhibit "A"
and Exhibit "B" the City may divert sewage effluent for its own
use or for industrial purposes at any time and thereby limit the
volume of effluent available to Company or Institute.
C. It is contemplated that there is a sufficient volume of
sewage effluent to satisfy the requirements of Institute for the
4,000 acres and the agricultural needs of Company.
II.
Amount of Sewage Effluent to be Pumped to Institute Lagoons
Company agrees to furnish to Institute the following sewage
effluent to be used only for agricultural or research purposes:
A. The total effluent available to Company and Institute
shall be divided 50% to Company and 50% to Institute.
B. To the extent Company has excess effluent from its 50%
over and above its needs for its own use or for service to others,
then Institute additionally agrees to accept all such excess up to
its maximum pipeline capacity.
C. To the extent that Institute has an excess from its 50%
over and above its needs, then Company shall have the right to
such excess to meet its needs for its own use or service to others.
D. J. Frank Gray, or his successor; as Agent for Company,
shall also be appointed and designated by Institute, Hancock, and
LCCIC•as the person -to advise the city of the percentage of effluent
to be pumped to the Institute lagoons and to the Company lagoons.
From time to time and at least annually Institute shall submit
in writing to Frank Gray an estimate -of its requirements of effluent
for research purposes. In no event shall Frank Gray or his successor
have any liability to Institute or Company for the volume of
effluent actually pumped by City to the Institute lagoons or to the
Company lagoons, except for willful.fraud or capricious acts.
E. .Institute agrees to pay a reasonable service charge to
Company for all sewage effluent which is used or disposed of on the
4,000 acre tract•, by any firm, person, association, partnership,
or corporation, including Hancock, LCCIC and Institute, whether
for agricultural or research purposes] provided, however, neither
EPA nor Institute will be obligated to pay any service charge for
sewage effluent used in any particular year for intensive research
on any of the 5% of the 4,000 acre tract designated and used in that
year for intensive research and not for agricultural purposes.
2
The amount of this service charge shall be $21.00 per year
per acre of land to be used for agricultural purposes for the
calendar years 1981, 1982, and 1983. Said service charge is to
be paid in advance in January of each calendar year and shall
be based upon the total acreage to be used foragricultural
purposes during said year. The service charge is paid for the
right to use the sewage effluent and is therefore fully accrued
and non-refundable, even if no sewage effluent is actually used
by a particular tract or farmer.
It is anticipated that the pipeline to the 4,000 acres will
be completed during the first part of 1981, and therefore during
this year the $21.00 per acre shall be calculated on a pro-rata
basis according to the percentage of months remaining in the year
after the effluent is available and shall be paid in December,
1981.
The amount to be paid as service charge shall be renegotiated
every 3 years during the existence of this contract. During the
last 3 months of 1983 the parties will negotiate and agree upon
the amount of service charge to be paid for the calendar years
1984, 1985, and 1986. During the existence of this contract the
same procedure shall be followed during the last 3 months of each
3-year term for the following 3 years.
The price.to be negotiated shall be based upon the current
fair market value of such use•of effluent during the next 3 years;
provided, however, during the existence of this contract the
amount of this service charge shall never be less than $21.00 per
year per acre of land to be used for agricultural purposes. All
service charge paid by any party for effluent used or
disposed on said 4,000 acres shall always be paid to Company, and
no other party shall claim or collect any additional service charge.
In the event the amount of the service charge cannot be agreed
upon by the parties, the issue of the fair market value shall be
submitted to arbiters as hereinafter provided.
3
I
F. Institute agrees to defend and hold harmless J. Frank Gray;
the Estate of Lily Wilkins Gray, Deceased; and Company from any
claim or claims arising out of the use, transportation, or storage
of the sewage.effluent from and after the time it is placed in the
Institute pipelines.
III.
Contract between City and Company
This agreement is subordinate to and specifically subject to
all the terms and conditions set forth in Exhibit "A" and Exhibit
"B", which provide, among other things:
(1) The City's right to use at no cost for its purposes
during any calendar year the volume of sewage effluent specified
in paragraph 2 of Exhibit'B.
(2) The City's right to sell and deliver to others any
sewage effluent for industrial purposes and the right to use for
its own purposes sewage effluent in excess of the volume set.out
in the immediately preceding paragraph (paragraph 2 of Exhibit B;
paragraph VIII 2, Exhibit A), but said right is subject to payment
of service charge (referred to as royalty in Exhibit A) to Company
by City. In.this respect Institute understands that Company shall
be solely entitled to any and all such payments and'that neither
Institute nor any other party shall ever be entitled to or claim
any such payments.
(3) Notwithstanding any agreement herein between Company and
Institute, City has the absolute right when necessary for the com-
plete disposal of the sewage effluent at any point in time, to pump
any amount of sewage effluent to either Company's lagoons or lagoons
under control of Institute. Company and Institute both agree to
take all such sewage effluent under such circumstances.
(4) Company's right to deliver sewage effluent to other
entities as provided in Article X 1 of Exhibit "A In this
respect, Institute agrees that Company shall be solely entitled
4
tl �
to any and all such payments and that neither Institute nor any
other party shall ever be entitled to or claim any such payment.
(5) This contract is specifically conditioned upon Company's
being able to enter into a contract similar to that attached hereto
as Exhibit "B".
(6) The term of this agreement shall run contemporaneous
with and expire or terminate at the same time as Exhibit "A".
IV.
Contract Runs with Land
It is understood that Institute subleases approximately 4,000
acres from LCCIC, which in turn leases the property from J.E. Hancock.
It is also understood that this 4,000 acres is to'be used for the
disposition of the sewage effluent diverted to Wilson. Accordingly,
LCCIC and Hancock specifically agree to all the terms and conditions
herein as if their names were inserted every place the Institute's
name appears in this agreement. In the event the Institute, LCCIC,
or other party in possession of the property fail to perform the
obligations of this contract, then and in that event, Hancock and
LCCIC fully agree jointly and severally to be bound by this contract
and to accept and dispose on said 4,000 acres all water to be
diverted to the Institute lagoon herein and'to pay the service charges
as herein specified.
The covenants and obligations of this agreement, so long as
it exists, shall be considered covenants running•.with the land, and
any sale, assignment, lease, conveyance or other transfer of all
or any portion of the lands shall be subject to the obligations,
covenants, and agreements of this contract, and any purchaser,
assignee, lessee, or other transferee of all or any portion of the
lands shall be required to assume and perform to the extent
necessary those obligations, covenants and agreement of the
Institute, LCCIC, and/or Hancock hereunder.
5
V.
General
A. Nuisance. Institute agrees to properly distribute such
effluent at its expense onto the lands owned by Hancock, which
lands have been subleased to Institute as shown by the sublease
attached hereto as Exhibit "C". It is further agreed that when
necessary, due to extended.wet or inclement weather, or any other
reason, Institute may, in order to comply with its obligations
hereunder, provide emergency storage facilities at its own cost
and expense, and does hereby covenant with Company to exercise
care to prevent such effluent from draining onto lands not owned
or controlled by Institute unless otherwise permitted by the owner
or owners of such land gieen•in writing, which shall be subject to
all of the terms, conditions and covenants contained in this
-Agreement. Institute does further covenant with Company to handle,
distribute and/or store and to otherwise dispose of such sewage
effluent upon such lands in such manner as not to substantially
increase the density of odors emitting therefrom, or from spreading
and causing additional discomfort -and annoyance to nearby inhabitants,
and not to use or suffer to be used.such effluent in such a manner
as to constitute a nuisance, when and after- the same is placed on
said lands and to keep and maintain all premises in such condition
as to conform with all federal, state, and local health regulations, -
whether now or hereafter established.
Institute, LCCIC, and Hancock, jointly and severally, further
agree that, upon receipt of written notice, authorized by any
governing body, that the sewage effluent disposal is operating as a
nuisance in violation of said federal,.. state, or local health regu-
lations, to correct and abate such condition in a reasonable time.
B. Specific Performance. The parties hereby declare that it
is impossible to measure in money the damages which will accrue to
a party hereto by reason of a failure to perform any of the
6
obligations under this agreement. Therefore, if any party hereto.
shall institute any action or proceeding to enforce the provisions
hereof, any party or person against whom such action or proceeding
is brought hereby waives the claim or defense therein that the
party instituting such action or proceeding has an adequate remedy
at law, and such party or person shall not urge in any such action
or proceeding the claim or defense that such a remedy at law exists.
C. Delivery or Disposal of L•'ffluent to Other Parties. With
the written consent of Company, which consent shall not be unrea-
sonably withheld, Institute may also dispose of or deliver sewage
effluent for agricultural purposes onto lands other than the 4,000
acres described in Exhibit "C".
Such delivery or disposal shall be by written agreement between
Institute and the person or entity to whom the effluent is delivered.
This written agreement shall provide that it is subject to the terms
and.conditions of this contract and shall provide for a service
charge to be paid annually in advance for the use or disposal of
said effluent; provided, however, that said charges shall never be
less than. $21.00 per acre per year. All such charges to be paid
to Institute shall also be paid by Institute to Company, and no
j
person or entity shall ever claim or collect additional charges. -
Immediately upon the execution of any such contract, Institute shall
pay to Company all such charges contracted to be paid to Institute
during the first year, and thereafter Institute shall be liable and
responsible to pay Company all such charges as they accrue to be
paid to Institute whether or not Institute ever collects said
charges from said personor entity,
D. Arbitration. If arbitration is required to establish the
fair market value of the services for the disposal of sewage effluent,
.then each party shall name and appoint a person (one)• as an arbiter
on its part, and thereupon the two arbiters who are appointed shall
have authority to appoint a third arbiter; but if they shall fail
7
to do so within ten (10) days after being notified of their
appointment, then either party to this contract may, upon two (2f
days' written notice to the other party, apply to any judge of
a district court residing in Lubbock County, Texas, and if such judge
should refuse to make such appointment within ten (10) days, then
to any other district judge residing in said county, for the appoint-
ment of such third arbiter, which shall thereupon, by such judge, be
duly made, and the three arbiters.so chosen shall appraise and
thus determine the fair market value, and the award duly made by
such arbiters or any two of them, shall be binding and final for
the purposes of this contract except that either party hereto
reserves the right of appeal, as provided by law, and the court to
which said appeal may be made shall hear said cause de novo.
E. Force Majeure. Neither party shall be liable for any
delay or default in performance hereunder due to any cause beyond
its control, including but not limited to acts of God, or the
public enemy, acts or requests of any County, State, or Federal
officer, agent or agency purporting to act under duly constituted
authority or any court order, wars, floods, riots, fires, storms,
strikes, lockouts, interruptions of transportation, freight embargos
or failures, exhaustion or unavailability on the open market or
delays in delivery of material, equipment or services necessary to
performance of -any provision hereof, or happening of unforeseen
acts, misfortune or casualty whereby performance hereunder is
delayed or prevented, which performance is prevented by such cause;
provided, however,'that the party so affected will use its best
efforts to remedy the situation.
F. Not Assignable. This contract may not be assigned, sublet,
or assumed without the expressed written consent of Company.
G. Notice." Any notice"required to be given Institute in
writing shall be sufficient if by certified mail to the following
" address: LCC Institute of Water Research
5601 19th Street
Lubbock, Texas 79407
8
Any notice required to be given Company in writing shall be suffi-
cient if by certified mail to the following addresses:
Standefer & Gray, Inc. and J. E. Hancock
c/o McWhorter, Cobb & Johnson c/o Norton Baker
1502 Avenue Q 2112 Indiana
Lubbock, Texas 79401 Lubbock, Texas
H. Contingent upon Construction of Pipeline. This contract is
contingent upon the pipeline's being constructed to the 4,000
acre tract at Wilson, Texas.
I. Release of Hancock. 'The personal liability of J. E. Iiancock
and wife, Eileen Hancock, and their estates under this contract
shall pass to their successors in interest in all or any part of
the ownership of said 4,000 acres, and they shall have no further
personal liability if and when they have no further interest in
said 4,000 acres.
J. Rights on Termination. In the event the contract between City
and Company (Exhibit A) is terminated and Institute continues to
have access to said sewage effluent, then Institute agrees to con-
tinue to divide the available effluent with Company on a 50/50 basis
for as long as it has access to said effluent.
THIS AGREEMENT, executed in multiple originals, is binding upon
the respective successors, executors, and assigns of the parties
hereto.
Attest•
. Potts, Secretary
Attest:
i
Secretary
Attest:/
�! { Secretary
STANDEFER & GRAY, INC.
J
By:
J. Prank Gray, Presi nt
LCC INSTITUTE F WATER RESEARCH
By:
LUBBOCK CHRISTIAN.COLLEGE
INVESTM• T CORP TION
By:
t'
-L L e e.,._h-
. E. Hancock Eileen Hancock
9
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared J. FRANK GRAY, known
to me to be the person and officer whose name is subscribed to the
foregoing instrument and acknowledged to me that the same was the
act of the said STANDEFER & GRAY, INC., a Texas corporation, and
that he executed the same as the act of such corporation for the
purposes and consideration therein expressed, and in..thP capacity
therein stated.
GIVEN UN ER MY HAND AND
1980.
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
SEAL OF OFFICE this day_of
I"/ l r� ,.
bta y Public in and for
ubbock County, Texas
BEFORE ME, the undersigned authority, Iyf and Jo dCounty
and State, on this day personally appeare _ known to
me to be the person and officer whose name is subsc ed to the
foregoing instrument and acknowledged to me that the same was the
act of the said LCC INSTITUTE OF WATER RESEARCH, a corporation, and
that he executed the same as the act of such corporation for the
purposes and consideration therein expressed, and in the capacity
therein stated.
GIVE14 U DER MY HAND AND SEAL OF OFFICE this 3 day of
1980.
Nota y Public in and fo-
Lubbock County, Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE NE, the undersigned authority, i• nd for d unty
and State, on this day personally appeared ,
known to me to be the person and officer se narde subscribed
to the foregoing instrument and acknowledged to me that the same
was the act of the said LCd INVESTMENT CORPORATION, a Texas
corporation, and that he executed the same as the act of such
corporation for the purposes and consideration therein expressed,
and in the capacity therein stated.
IVEN Ut ER MY HAND AND SEAL OF OFFICE this day of
1980. \
Not ry Public in and for
Lubbock County, Texas
r1
THE STATE OF TEXAS §
§
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared J. E. IiANCOCK, known
to me 'to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed the same for
the purposes and consideration therein expressed.
GIVEN U DER MY HAND AND SEAL OF OFFICE this 13 Y- day of
1960.
Nota y Public in'aTnd fIr
Lubbock County, Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared EILEE14 HANCOCK, known
to me',to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that she executed the same for
the puiiposes and consideration therein expressed.
GIVEN UN ER MY HAND AND SEAL OF OFFICE this / 3 1� day of
Alij 1980.
Notary Public in and 9forJ
Lubbock County, Texas
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
WHEREAS, On August 13, 1980, STANDEFER & GRAY, INC.,
hereinafter called ASSIGNOR, entered into an agreement with
LUBBOCK CHRISTIAN COLLEGE INSTITUTE OF WATER RESEARCH, styled
"Sewage Effluent Supply Contract," under the terms of which
ASSIGNOR was entitled to receive payments under the provisions of
Paragraph II, Subparagraph E, of the "Sewage Effluent Supply Contract"
for a period ending December 31, 1998; and
WHEREAS, VLADIC CORPORATION is acquiring all of the
stock in STANDEFER & GRAY, INC., and is acquiring certain lands
from LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION, and as a part
of the consideration for.such acquisition, the said VLADIC CORPORATION
is transferring to LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION
all sums due and to become due under Paragraph II, Subparagraph E,
of the "Sewage Effluent Supply Contract";
NOW, TIIEREFORE, KNOW ALL MEN BY THESE PRESENTS that for and
in consideration of the premises, STANDEFrR & GRAY, INC., has this
day and does by these presents transfer and assign to LUBBOCK
CHRISTIAN COLLEGE IIIVF.STMENT CORPORATION all of its right, title,
and interest in and to all payments due or to become due under the
provisions of Paragraph II, Subparagraph E, of the said "Sewage
Effluent Supply Contract" dated August 13, 1930, such right to receive
such sums being applicable to the 4,000 acres of land therein
described and for a period of time ending on December 31, 1998.
FRANK GRAY executes this agreement for the sole purpose of
evidencing his consent thereto. VLADIC CORPORATION and LUBBOCK
CHRISTIAN COLLEGE INVESTMENT_ CORPORATION each executes this agreement
for the purpose of acknowledging that the terms and conditions of
the contract of sale between the parties dated January 29, 1962,
shall survive the closing of the transaction. I.1IKE VLADIC executes
__ e
I
this instrument individually for the purpose of guaranteeing the
obligations of VLADIC CORPORATION under the terms of the said
contract of sale.
EXECUTED this the 15th day of March, 1982.
ATTEST: STANDEFER & GRAY, INC.
V//41 art 1i �-cdi
. BY :
Secretary President
ATTEST:
Secretary
ATTEST:Attza
Secretary
LUBBOCK CHRISTIAN COLLEGE
INVESTMENT CORPORATION
BY: ar
Ye- si ent
VLADIC CORPORATION
President
FRANK GRAY
MIKE VLADIC
-2-
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
This instrument was acknowledged before me on the 1:5-
day of March, 1982, by tp l Vr ► ) . 111 ianl C President
of STANDEFER & GRAY, ITIC., a Texas corporation, on behalf of said
corporation.
Notary Public in and for
the State of Texas
My Commission expires:
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
This instrument was acknowledged before me on the
day of March, 1982, by o1 - PRo l-T-► , President
of LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION, a Texas
corporation, on behalf of said core ation_.
Notary Public in and for
the State of Texas
My Commission expires:
7- 3 - 9V
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
This instrument was acknowledged before me on the
day of March, 1982, by 111116-r al u,,I,i�1'11�' President
of VLADIC CORPORATION, a corporati , on behalf of said corporation.
1, CC (''
Notary Public in and for
the State of Texas
My Commission expires:
-3-
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
This instrument was acknowledged before me on the
day of March, 1982, by FRANK GRAY.
l�
Notary P blic in and for
the State of Texas
My Commission expires:.
THE STATE OF TEXAS X
COUNTY OF LUBBOCR X
This instrument was acknowledged before me on the 1_
day of March, 1982, by MIKE VLADIC.
A,
iJo ary Pu lic in and for
the State of Texas
My Commission expires:
-3,z
-4-
t
Y
CERTIFICATE OF CORPORATE RESOLUTION
I,. IMOGENE GRAY, Secretary of STANDEFER AND GRAY, INC., a
Texas Corporation, do hereby certify that said Corporation is
duly organized and existing under the laws of the State of Texas;
that it is duly qualified to do business in the State of Texas
and is in good standing in such State; that on the 9th day of
June, 1986, there was held a joint meeting of the stockholders
and Board of Directors of said Corporation, held in accordance
with the Charter and By -Laws of the Corporation; that JACK P.
DRISKILL, as Independent Executor of the Estate of Lily W. Gray,
deceased, and J. FRANK GRAY, being all of the stockholders and
that J. FRANK GRAY and IMOGENE GRAY being all of the Directors
were present; that at said meeting the following resolution was
duly adopted by unanimous vote of all stockholders and Directors
and that the same is now in full force and.effect:
RESOLVED, that J. FRANK GRAY, as President of STANDEFER
AND GRAY, INC., be and is hereby authorized and di-
rected for and on behalf of STANDEFER AND GRAY, INC.,
to execute that certain written Contract of Sale by and
between the CITY OF LUBBOCK (as Buyer) and J. FRANK
GRAY and wife, IMOGENE GRAY, and JACK P. DRISKILL, as
Independent Executor of the Estate of Lily W. Gray,
deceased, and STANDEFER AND GRAY, INC., (as Sellers)
covering approximately 2,929 acres of land and personal
property as described in said Contract of Sale, at-
tached herewith.
Be it further RESOLVED that J. FRANK GRAY be and he is
hereby authorized and directed for and on behalf of
STANDEFER AND GRAY, INC., to execute any and all deeds,
bills of sale, plan of reorganization, and other
papers, documents and instruments as he may deem appro-
priate to consummate and close said Contract of Sale,
including any modifications or amendments thereto which
he may deem appropriate.
IN WITNESS WHEREOF, I have hereunto set my hand as Secretary
of said'Corpbration, and have attached hereto the official seal
of said Corporation on this 9th day of June, 1986.
(SEAL)
IMOG E GRAY, S retary
I hereby certify that I am a Director of said Corporation
and that the foregoing is a correct copy of the resolution passed
as therein set forth, and that the same is now in full force.
J. FRANK GRAY, Dire for
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This instrument was acknowledged before me on the �`' day
of �/ i' ��, by IMOGENE GRAY.
NO ARY PUBLIC in and for the
ate of Texas
J-0U)60t)14L
Printed or Typed Name of Notary
My Commission Expires:
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This instrument was acknowledged before me on the thl day
of �� "d �%�, by J. FRANK GRAY.
c 'u&l)
N ARY PUBLIC in and for the
S ate' of Texas
J"o w/rrn�iL
Printed or Typed Name of Notary
My Commission Expires:
2
JCR:cl RESOLUTION #580=8/14/80
RESOLUTION `(7)
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
Addendum to the Lease Agreement between the City of Lubbock and Standefer
and Gray, Inc., attached herewith which 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 14th day of August ,1980.
r
STf
L MCALISTER, MAYOR
ATTEST:
Evelyn Ga ga, City Se re ary Treasurer
APPROVED AS TO FORM:
J-dhn C. Ross, Jr., City ArttoVney
THE STATE OF.TEXAS n
COUNTY OF Ll� OCK I,
LCC INSTITUTE OF WATER RESEARCH
RESOLUTION
CALLED MEETING
August 13, 1980
BOARD OF DIRECTORS
LCC INSTITUTE OF WATER RESEARCH
LUBBOCK, TEXAS
BE IT. RESOLVED: Lubbock Christian College Institute of Water
Research (LCCIWR) hereby approves and accepts and authorizes
execution of that certain lease agreement entitled "WASTEWATER
LEASE. AGREEMENT" by and between said LCCIWR and the City of
Lubbock, Lubbock County, Texas, said "WASTEWATER LEASE AGREEMENT"
providing for payment by the City of Lubbock for lease of certain
lands •in Lynn County, Texas, to LCCIWR, for the purpose of pro—
viding a City of Lubbock site for disposal of effluent sewage from
City of Lubbock Treatment Plant through a pipeline to be
constructed by LCCIWR from funds provided through Environmental
Protection Agency Grant to LCCIWR, and also providing for granting
of operation and maintenance rights on said pipeline by the City of
Lubbock; and said LCCIWR also hereby authorizes T.A. Hicks and
Harvie Pruitt of said LCCIWR to execute said agreement in the name
of and as the act of said LCCIWR, and to prepare and negotiate and
execute and approve any other documents necessary for the carrying
out of said "WASTEWATER LEASE AGREEMENT" in the name of and as the
act of said LCCIWR.
MAJORITY OF BOARD MEMBERS PRESENT: Yes
MOTION TO PASS RESOLUTION: Lennis Baker, Board Member
MOTION SECONDED BY: T.A. Hicks, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
LCC Institute of Water Research Corporation at a called meeting
held on the 13th day of August 1980, at which meeting a majority of
the members of the said Board were present, and I further certify
that said resolution is in full force and effect as of the date
hereof.
DATED: This 13th day of--_A_ugust ...... A.D. 9�80—.
----------------------------
Secretary, Board of Directors,
LCC Institute of Water Research
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
__T.A. Hicks , known to me to be the person and
of_ficer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
LCC Institute of Water Research.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th day of
August A.D., 1980
,,, No y Pu b l i c---------
Lu bock County, Texas
My Commission Expires__`_____
JCR:cl
?f RESOLUTION 41581�—,8/14/80
�. RESOLUTION
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 Waste
Water Lease Agreement between the L.C.C. Institute of Water Research, Lubbock
i_ Christian College Investment Corporation, J.E. Hancock and wife Eileen
i; Hancock and the City of Lubbock, attached herewith which 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 14th day of August ,1980.
ILL McALISTER, MAYOR
L ATTEST:
I �
E elyn Gaffg , City Secr a - asurer
APPROVED AS TO FORM:
Jdk x' C. Ross, Jr., City Attorney
r
WASTE WATER LEASE AGREEMENT
STATE OF TEXAS 4
COUNTY OF LUBBOCK 4
This Agreement entered into by and between the L.C.C. Institute of Water
Research hereinafter called Lessor, Lubbock Christian College Investment Cor-
poration, hereinafter called L.C.C. Investment Corporation, J.E. Hancock and
wife Eileen Hancock, hereinafter referred to as Owners and the City of Lubbock
a Home Rule Municipal Corporation hereinafter referred to as Lessee:
WITNESSETH
WHEREAS, J.E. Hancock and wife Eileen Hancock are owners of certain real
property in Lynn County, Texas, which property is more particularly described
in Exhibit "A" attached hereto and made a part hereof for all purposes; and
WHEREAS, the said Owners did enter into a Farm Lease and Option to Pur-
chase Agreement with Lubbock Christian College Investment Corporation which
Lease Agreement was executed by said parties on the 15th day of December, 1978,
(as amended) a copy of which is attached hereto as Exhibit "B" and made a part
hereof for all purposes; and
WHEREAS, the Lubbock Christian College Investment Corporation, a non
profit corporation of the State of Texas, did enter into a Lease Agreement with
the Lubbock Christian Institute of Water Research, a non profit corporation of
the State of Texas, on the day of f zz') , a copy of
which is attached hereto as Exhibit "C" and made a part hereof for all pur-
poses; and
WHEREAS, the Lubbock Christian Institute of Water Research (Lessor in this
document) is desirous of leasing to the Lessee (City of Lubbock) for a period
of time as herein after specified all of the property described in Exhibit "A"
attached hereto and made a part hereof; and
WHEREAS, the Lessor has received a grant from the Environmental Protection
Agency for purpose of doing water research; and
WHEREAS, the Lessor is desirous of providing the land described in Exhibit
"A" to the Lessee as a disposal site for Lessee's sewage effluent; and
WHEREAS, the Lessee finds it to be in the best interest of the City of
Lubbock to acquire the rights hereinafter granted to Lessee for an additional
waste water disposal site; and
WHEREAS, Lessor finds it to be in its best interest to take said waste for
the purposes of its research projects.
NOW THEREFORE THE PARTIES HERETO DO A = E AS FOLLOWS:
1. DESCRIPTION: Lessor does by these presents lease and grant to the
Lessee the following described real property situated in the County of Lynn,
State of Texas:
All that property described in Exhibit "A" attached hereto and
made a part hereof for all purposes.
for the consideration of the rents and covenants hereinafter provided.
2. PURPOSE: The purpose of this Lease is to provide to Lessee an additional
site as more particularly described in Exhibit "A" for the purpose of disposing
of sewage effluent and to allow Lessor to use such sewage effluent in dis-
charging its responsibilities in providing research on waste water usage which
research will also involve agriculture usage of said waste water.
3. TERM: This lease shall take effect on the date of execution
hereof by all parties and shall terminate on the 31st day of December, 1998.
4. OPTION: Lessor does hereby further grant to Lessee, in consideration
of Lessee's undertaking hereunder, an option to extend this lease agreement in
accordance with the terms and conditions herein contained for a period of 10
years from the expiration date herein above specified. In the event Lessee is
desirous to extend the term of this agreement it may do so by notifying the
Lessor in writing of its intenetion to do so. Said written notification to be
delivered to Lessor not later than September 1, 1993. In the event Lessee
exercises this option the sole consideration due Lessor for same shall be
payment by Lessee to Lessor of the sum of $1,000.00 per year for each year of
the option term not exceeding the total sum of $10,000.00 said consideration to
be paid on an annual basis commencing on January 1, 1999 and each January 1st
thereafter until the ten years have expired. Save and except the consideration
hereinabove specified all of the terms and conditions contained in this agree-
ment shall continue in effect during said extended time period. Both Owner and
Investment Corporation by their signature hereto agree to honor this option and
be bound by its terms.
5. THIRD PARTY AGREEMENT: Lessor hereby acknowledges that it is aware
of the fact that Lessee did enter into an agreement with Standefer and Gray, Inc.,
a Texas Corporation, on the 1st day of May, 1968. That said agreement does require
Lessee to deliver all sewage effluent which City does not sell for industrial use
or use for its own purposes to said Standiefer and Gray, Inc., in accord with
the terms of the aforesaid agreement. In order for Lessee to execute this
(01
lease agreement with Lessor it has been necessary to secure an addendum to said
original Lease Agreement between the Lessee and'Standefer and Gray, Inc., a
copy of said addendum being attached hereto as Exhibit "D" and made a part
hereof for all purposes. Lessor agrees that it will with all dispatch under-
take the negotiations set forth in paragraph 5 of Exhibit "D" and see that the
contract contemplated by said paragraph 5 will contain all of the items and
terms set forth in paragraph 5 subparagraph a through e. Lessor further
agrees to comply with paragraph 6 of Exhibit "D" as set forth.
6. IMPROVEMENTS: As part of the consideration flowing to Lessee and as
an inducement for Lessee to execute this document Lessor agrees to undertake
the following:
(a) To construct a 27" pipeline for purposes fo transporting Lessee's
sewage effluent to the property described in Exhibit "A" attached
hereto and made a part hereof.
(b) To construct the above mentioned pipelines together with all
appurtances necessary for operation of said pipeline on the location
set forth in Exhibit "E" attached hereto and made a part hereof for
all purposes.
(c) To allow the Lessee the right of inspection during the construction
of said pipeline.
(d) To furnish to Lessee two sets of complete plans and specifications
of the above mentioned pipeline.
(e) To construct said pipeline in such a manner as will allow said
pipeline .to tie into Lessee's sewage effluent discharge site.
(f) To deliver to Lessee all necessary legal documents conveying
title to the above mentioned pipeline together with all appurtances
necessary for its operation to Lessee as soon as Lessor is granted
title to said property by the E.P.A. of the U.S. Government.
(g) To convey title to said pipeline to Lessee as set forth in sub-
paragraph (f) above free and clear of all liens, encumbrances or
claims of any nature.
7. OPERATION OF IMPROVEMENT - It is agreed by Lessor and Lessee that
after completion of the improvements contemplated in paragraph 6 above that
Lessee is hereby granted the right to operate and maintain such improvements.
It is acknowledged that said improvements will be connected with Lessee's dis-
charge site at Lessee's sewage treatment plant and it is necessary for Lessee
to have the right to operate and maintain said improvements so as not to en-
danger the operation of its sewage treatment plant.
8. LESSOR'S FAILURE TO CONSTRUCT IMPROVEMENTS: It is understood between
the parties hereto that Lessee is executing this lease agreement so as to
acquire an additional site for disposal of its sewage effluent and that Lessor
has agreed to construct certain improvements as described in paragraph 6 above
in order to provide a means of transporting Lessee's sewage effluent to the
real property described in Exhibit "A" attached hereto. In the event that
Lessor fails to construct said improvements described in paragraph 6 above then
in such event the rentals hereinafter set forth payable from Lessee to Lessor
shall.be refunded to Lessee and this lease agreement shall terminate.
9. REFUND RESPONSIBILITY: In the event the events occur that require
this lease to terminate and the rentals paid by Lessee to Lessor to be refunded
then in such event, as an inducement to Lessee for executing this lease, L.C.C.
Investment Corporation does hereby agree that in the event Lessor is unable to
make a total refund of said rentals that L.C.C. Investment Corporation will
make such refund payment to Lessee or any part thereof that Lessor is unable to
make.
10. RESPONSIBILITY TO TAKE: It is agreed between Lessor and Lessee that
Lessor will enter into an agreement with Standefer and Gray, Inc., pursuant to
paragraph 5 of this agreement. That the Contract between Standefer and Gray,
Inc. and Lessor shall determine the percentage of sewage effluent that Lessee
shall pump to the property described in Exhibit "A" attached hereto and operated
by Lessor or to the property operated by Standefer and Gray, Inc. It is further
recognized that the parties to said contract shall appoint one individual to
notify Lessee of the percentages to be pumped to each location. Lessee hereby
agrees to honor said percentage requests so long as said percentage requests
are sufficient to take 100% of Lessee's sewage effluent at any given point in -
time. In the event that said requests for sewage effluent are insufficient to
take 100% of Lessee's sewage effluent at any given point in time then in such
event Lessee is free to pump any amount of said sewage effluent over the re-
quested percentages to the property described in Exhibit "A" of this agreement
and Lessor does hereby agree to take and dispose of said excess in a proper
manner.
11. RIGHT TO ENTER: It is understood and agreed by all the parties
who are signatories to this agreement that in the event that Lessor or any of
Lessor's predecessors in interest cease to operate the property described in
Exhibit "A" in such a manner so as to allow Lessee to discharge its sewage
effluent upon such lands then in such event the Lessee by these presents is
granted the absolute right to enter onto the land and operate said lands in a
manner so as to allow the proper discharge of Lessee's effluent upon said
lands. In the event that Lessor and Lessor's predecessors in interest fail to
operate the premises described in Exhibit "A" in a manner so as to allow Lessee
to discharge its sewage effluent thereon and it becomes necessary for Lessee to
enter upon the property for purposes of operation, then in such events Lessee's
rights to re-enter shall be accomplished as follows:
(a) Lessee shall give written notice to Lessor and Lessor's pre-
decessors in interest which notice shall point out the area of de-
fault or the failure to properly operate the premises described in
Exhibit "A" attached hereto and made a part hereof.
(b) The written notice of default or failure shall give Lessor or
Lessor's predecessors in interest 15 days to correct the default or
failure of operation complained of by Lessee.
(c) If Lessor or Lessor's predecessors in interest fail to make the
necessary corrections or cure the -failure of operation,complained of
by Lessee then such failure to make corrections or to cure the
operational problems shall be deemed as a conclusive breach of this
agreement and Lessee shall be entitled to enter the premises de-
scribed in Exhibit "A" and take any action necessary to operate said
property as a sewage effluent discharge site.
In the event Lessee does enter the premises in accordance with the above
written procedure it may or may not operate said property in such a manner as
to produce income therefrom. It is agreed by all parties signatory to this
agreement that Lessee's decision in this regard shall be binding on them. In
the event Lessee does operate the premises described in Exhibit "A" in such a
manner that income is produced therefrom then in such event said income will
be distributed as follows:
(1) The income shall first be used to pay all expenses incurred by
Lessee in connection with the operation of the property described in
Exhibit "A".
(2) After all expenses have_.been paid as described in subparagraph
(1) above then the balance of income shall be determined and Lessee
shall be entitled to 20% of said balance for its efforts in operating
the property.
(3) After deducting Lessee's 20% as set forth in subparagraph (2)
above, the remaining funds (80%) shall be paid to Lessor. In the
case of any dispute between Lessor or Lessor's predecessors in interest
as to who is entitled to said 80% of the remaining funds then in
such event Lessee shall deposit said 80% balance into the registery
of the Court in Lubbock County, Texas, and once having so deposited
said sum Lessee shall be forever discharged from its duty to pay said
money to Lessor or Lessor's predecessors in interest.
It is further agreed by all parties signatory to this agreement that if
Lessee does enter the property described in Exhibit "A" attached hereto that
Lessee shall further have the absolute right to lease the premises to a third
party for purposes of operating same and such lease shall be upon such terms
and conditions as Lessee deems to be in its best interest and shall be for a
term of years not to exceed the remaining term of this lease or, the terms
provided for in paragraph 4 of this lease exercises its option therein granted.
12. ENVIRONMENTAL COMPLIANCE: Lessor does hereby agree that it will
use the sewage effluent discharged -by Lessee onto the lands described in Exhibit
"A" in such a manner as to comply with all Federal or State laws or the regu-
lations of any Federal or State agency. In this respect Lessor agrees to save
the Lessee harmless and to defend any and all claims made by any branch of the
Federal or State Government or any individual alleging a failure to comply with
Federal or State law or Federal or State regulations applicable to Lessor's use
of sewage effluent.
13. NUISANCE: Lessor further agrees that it will operate its research
project upon the land described in Exhibit "A" in such a manner so as not to
create either a public or private nuisance as those terms are known in Texas
law. Lessor does agree to hold Lessee harmless and to defend any claim brought
upon such basis.
14. HEALTH REGULATIONS: Lessor further agrees that it will operate its
research project upon the land described in Exhibit "A" attached hereto in such
a manner so as to comply with all Federal, State or local health regulations,
whether now or hereafter established. Lessor does agree to hold Lessee harmless
and to defend any claim brought upon such basis.
15. INDEMNITY: In the event that a claim is made against the Lessee
as a result of any alleged violation of paragraph 11, 12 or 13 of this agreement
and Lessor is unable to, or refuses to hold Lessee harmless and defend said
claim or claims, then L.C.C. Investment Corporation, as an inducement to Lessee's
execution of this agreement agrees to assume the responsibility of Lessor and
defend and hold Lessee harmless.
16. RENTALS: Lessee does hereby agree to pay to Lessor for and in
consideration of the Lease herein granted by Lessor to Lessee the total sum of
$623,398.00. Said Rental payments to be made as follows:
(a) $150,000.00 to be paid on September 1, 1980.
(b) $200,000.00 to be paid on September 1, 1981.
(c) $200,000.00 to be paid on September 1, 1982.
(d) $73,398.00 to be paid on September 1, 1983.
Lessor does hereby agree that the payment to it of the monies set forth in sub-
paragraph (a) - (d) above will be the total rental it is to receive for the
initial term of this lease and that once Lessee has made the payments set forth
above Lessee is discharged from further rentals during the initial term of this
lease.
17. LESSORS PREDECESSORS IN INTEREST: Lessor's predecessors in interest
are as follows:
(1) L.C.C. Investment who acquired a farm lease and option to
purchase from owners on the 15th day of December, 1978, (as amended)
a copy of which is attached to this agreement as Exhibit "B" and made
a part hereof.
(2) J.E. Hancock and wife Eileen Hancock who own the fee title to
the real property described in Exhibit "A" attached hereto .
In the event that Lessor for any reason whatsoever ceases to operate its research
program upon the lands discribed in Exhibit "A" and L.C.C. Investment Corporation
or Owner enter upon the lands described in Exhibit "A" and the possession of
same then in such event both L.C.C. Investment Corporation and Owner, over and
above any specific agreement heretofore undertaken by either of them, agree to
be bound by the terms of this lease agreement and to honor this agreement in
accord with said terms.
18. AGREEMENT RUNNING WITH THE LAND: This agreement between all parties
signatory hereto shall be a condition and covenant running with the land described
I
in Exhibit "A" attached hereto and shall further constitute an equitable ser-
vitude thereon and shall bind Lessor and Lessor's predecessors in interest who
are signators to this agreement and shall also be binding upon any successor
in title to the land described in Exhibit "A" attached hereto. Any further
conveyance of thie land described in Exhibit "A" shall contain this covenant
and equitable servitude. It is further agreed by all parties hereto that this
condition, covenant and equitable servitude shall terminate upon the expiration
of this lease according to its terms.
EXECUTED THIS THE 2YZZAay of U 1980.
THE CITY OF LUBBOC
A�41
BILL McALISTER, MAYOR
ATTEST:
Evelyn Gaf ga, City Secretar reasurer
LUBBOCK CHRISTIAN COLLEGE INVESTMENT
CORPORATION
- 14,1�
ATTEST:
//A
Secretary
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
L.C.C. INSTITUTE OF WATER RESEARCH
I fla,
ATTEST:
Secretary
J.E. HANCOCK
EILEEN HANCOCK
OWNER
BEFORE ME, the undersigned authority, a Notary Public in and for said
County, Texas, on this day personally appeared BILL McALISTER, known to me to
be the person whose name is subscribed to the foregoing instrument and ac-
knowledged to me that he executed the same as the act and deed of the CITY OF
LUBBOCK and as MAYOR for the purposes and consideration therein expressed and
in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE,
1980.
this the P_kday of
`�'. AIrl n { t .hjnr_
Notary Public in and for �-
Lubbock County, State of Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned, a Notary Public in and for said County and
State, on this day personally appeared i`:-'6u,�/ ,
of L.C.C. INSTITUTE OF WATER RESEARCH, a Texas Corporation, known to me to be
the person whose name is subscribed to the foregoing instrument, and acknowledged
to me that he executed the same for the purposes and consideration therein
expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the ��day of
1980.
of y Public in and fo
6.LjAock County, State of Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned, a Notary Public in and for said County and
State, on this day personally appeare/d Wa c.Cf��J�/
of LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION, a Texas Corporation, known
to me to be the person whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and consideration
therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the �,--'�4day of
1980.
tary Public in
Lubbock County, State of Texas _
THE STATE OF TEXAS 4
COUNTY OF LUBBOCK 4
BEFORE ME, the undersigned, a Notary Public, in and for said County,
Texas, on this day personally appeared J.E. HANCOCK and EILEEN HANCOCK, his
wife, both known to me to be the persons whose names are subscribed to the
foregoing instrument, and acknowledged to me that they each executed the same
for the purposes and consideration therein expressed, and the said EILEEN
HANCOCK, wife of the said J.E. HANCOCK, having been examined by me privily and
apart from her husband, and having the same fully explained to her, she, the
said EILEEN HANCOCK acknowledged such instrument to be her act and deed, and
she declared that she had willingly signed the same for the purposes and con-
sideration therein expressed, and that she did not wish to retract it.
GIVEN MIZER MY HAND AND SEAL OF OFFICE, this J -- day of
ary Public in a
bbock County, cas
THE STATE OF TEXAS
COUNTY OF LUB1; K
LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION
RESOLUTION
CALLED MEETING
August 13, 1980
BOARD OF -DIRECTORS
LUBBOCK CHRISTIAN COLLEGE
4 INVESTMENT CORPORATION
LUBBOCK, TEXAS
BE IT RESOLVED: Lubbock Christian College Investment Corporation
(LCCIC) hereby approves and accepts and authorizes execution of
that .c,ertarn,lease agreement entitled "WASTEWATER LEASE AGREEMENT"
by and between said I,CCIC and the City of Lubbock, Lubbock County,
Texas, said "WASTEWATER LEASE AGREEMENT" providing for payment by
the City of Lubbock for lease of certain lands in Lynn County,
Texas, to LCCIC, for the purpose of providing a City of Lubbock
site for disposal of effluent sewage from City of Lubbock Treatment
Plant through a pipeline to be constructed by LCCIC from funds,
provided through Environmental Protection Agency Grant to LCCIC,
and also providing for granting of operation and maintenance rights
on said pipeline by the City of Lubbock; and said LCCIC also hereby
authorizes J.B. Potts and Harvie Pruitt of said LCCIC to execute
said agreement in the name of and as the act of said LCCIC, and to
prepare and negotiate and execute and approve any other documents
necessary for the carrying out of said "WASTEWATER LEASE AGREEMENT"
in the name of and as the act of said LCCIC.
MAJORITY OF BOARD MEMBERS PRESENT: Yes
MOTION TO PASS RESOLUTION: J.W. Hamby, Board Member
MOTION SECONDED BY: J.B. Potts, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
LCC Investment Corporation at a called meeting held on the 13th day
of August 1980, at which meeting a majority of the members of the
said Board were present, and I further certify that said resolution
is in full force and effect as of the date hereof.
DATED: This _13th_— day of ___Au ust _ A.D., 19 80&�-------------------------
S ytetary, Board of Directors,
LC Investment Corporation
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public In and
for said County and State, on this day personally appeared
_--T.A. Hicks ___--- , known to me to be the person and
officer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
LCC Investment Corporation.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th _ day of
-- August A.D., 1980 _
_F
N to ubIis —�
L o c k County, Texas
'._ My C o mm i s s i o n E x p i r e s____—__
EXHIBIT "A"
The following described trr-ts or parcels of land lying and being
situated in Lynn County, Texas', to -wit:
All of Tracts 2, 3, 4, 5, 6 and 8, in League One,
and Tract 7 of League Two, according to the map or
plat of Wm. D. Green's Subdivision of a part of
Leagues 1, 2, 3, and 4, Wilson county School Lands,
Lynn County, Texas, which map or plat is of record
in Book 57, Page 38, of the Deed Records of Lynn
County, Texas, containing 1214.52 acres.
All of Tracts 1, 7, 9 and 10 in League.l; Tracts 1,
2, 6, 8, 11, 12, 13 a::? 14 in League 2p Tract 3 in
League 3; and Tracts 1, 2, 3 and 4, in League 4,
according to the Map or Plat of William D. Green
Subdivision of a part of Leagues 1, 2, 3 and 4,
Wilson County School Lands, Lynn County, Texas,
which Map or Plat is of record in Book 57, Page 38,
of the Deed Records of Lynn County, Texas.
THE SURFACE ESTATE ONLY OF TIIE ABOVE DESCRIBED TRACTS OF LAND ARE
INTENDED TO BE COVERED BY THIS EXHIBIT "A" AND ALL OIL, GAS AND OTH
MINERAL INTERESTS ARE HEREBY RESERVED AND EXCEPTED.
ALL OF THE ABOVE DESCRIBED TRACTS OF LAND ARE SUBJECT TO ROADS, EAS
MENTS AND RIGHTS -OF -WAY OF RECORD OR VISIBLE ON THE GROUND.
THE STATE OF TEXAS
y l
COUNTY OF LYNN
I
S FARM LEASE AND OPTION TO PURCHASE ! '
d;
This Farm Lease and option to Purchase Contract made this
/ S day of December, 1978, by and between J. E. HANCOCK
and,wifd,.EILEEN HANCOCK, (hereinafter sometimes referred to as
"Lessor"), both of Lubbock County, Texas and LUBBOCK CHRISTIAN
COLLEGE INVESTMENT CORPORATION, (hereinafter referred to as
"Lessee"), -with principal offices in Lubbock, Lubbock County,
Texas:
W I T N E S S E T'fi
1. DESCRIPTION: LESSOR does by these presents lease and
demise to the LESSEE the following described property situated
in the County of Lynn, State of Texas:
(See Exhibit "A" attached hereto and incorporated
herein for all intended purposes)
for the consideration of the rents and covenants herein provided
for, and such lease to be in accordance with and subject to the
conditions, provisions and covenants hereinafter set forth.
2. PURPOSE AND ASSIGNMENTS: This is a Farm Lease, and the
purpose for which the land shall be used by the LESSEE is the
cultivatign of said land, the raising and harvesting therefrom
of agricultural products, and for demonstration and experimen-
tation relating to the use of waste water on agriculture lands.
Said land may be used, for such purposes, by either LESSEE or
its assigns. LESSEE may, during the term hereof, enter into
an agency relationship or "Independent Contractor" relationship
whereby a third party undertakes the farming of the land and/or
may assign any of its rights hereunder to a third party.
3. TERM: This Lease shall be for a term of twenty (20)
years, commencing on either the lst day of January, 1979, or
upon completion of the harvest .of the 1978 crop, whichever is
later, and ending at the completion of the crop harvest in 1998.
Upon the termination of this Lease, LESSEE may remove its equip-
ment and/or improvements made by either itself or its assigns
from said premises, but this right to remove said equipment
shall exist after and only after LESSEE has paid to the LESSOR
in full all obligations here undertaken by LESSEE and all rents
and payments due in accordance with the terms hereof.
4. LESSEE'S'FAILURE TO PERFORM: It is agreed that in the
event,of LESSEE'S inability to perform the obligation here
undertaken;,LESSOR may, at his option, and after the occurrence
of such inability, assume the operation of such Lease for the
balance of,the term of this Lease and charge the costs of such
operations, which would have otherwise been payable to LESSEE,,
to LESSEE'S portion of the crop.
5. THE EXPIRATION OF LEASE: At the expiration of the term
of this Lease, it shall not be necessary for LESSOR to give
LESSEE notice in writing or otherwise of the termination thereof;
but, upon such expiration, LESSEE shall deliver said premises,
and the full possession thereof, to LESSOR, without damage
or waste to said land or improvements and in as good condition
as the same were at the beginning of this Lease, ordinary wear
and tear excepted. LESSEE, at its own cost and expense, shall
keep all improvements on the premises, including those erected
by LESSEE, in as good a state of repair as LESSOR has hereto -
for kept such improvements, and shall suffer no waste. LESSEE
shall pay all utility bills in connection therewith, and all
utility bills incurred in connection with the operation of the
farm.
6. FARMING PRACTICES: LESSEE agrees to farm said land in
a.good and farmlike manner.
LESSEE further agrees that it will plant, cultivate and
attempt to harvest crops that, according to good farmer pra-
tices, are most profitable to both LESSOR and LESSEE. Pro-
vided, however, LESSEE shall plant and cultivate whatever
crops it deems in the best interest of the waste water experi-
mentation program on that intensive experimentation area de-
scribed in Paragraph 20 hereinbelow.
If applicable, LESSEE agrees that prior to planting, it
will have the land measured for the purpose of planting thereon
the proper number of acres in accordance with the allotments
granted under any government program then in existence.
-2-
7. RENT: Of all cotton, grains and other farm products
grown on the premises (with the exception of that portion more
fully described in Paragraph 20, hereinafter), LESSEE,shall de-
liver to1L£S9OR one-fourth (1/4) thereof. Such delivery shall
be at the elevator or point of sale, free and clear o� all costs.
Provided, however, if the total fair market value of the
products grown on the premises and determined to be delivered
to LESSOR fot any one (1) crop year (computed at the time for
such -delivery) is greater than Two Hundred Twenty-five Thousand
($225,.000.00) Dollars, LESSEE shall deliver to LESSOR, only
that amount of such products having a fair market value, at that
time of Two Hundred Twenty-five Thousand ($225,000.00) Dollars:
This provision is included so as to furnish LESSOR a maximum
rental of Two Hundred Twenty-five Thousand ($225,000.00) Dollars
as farm rental per crop year, as such figure might be adjusted
hereinafter for inflation.
The said maximum rental, payable as aforesaid, shall, be-
ginning with the 1980 lease year, be adjusted after the end of
each lease year and during the term of this Lease according to
changes in the Consumer Price Index (hereinafter referred to
as the "CPI"). The CPI shall mean the average for "all items"
shown on the United States city average for urban wage earners
and clerical workers (including single workers), "all item groups,
subgroups and special groups of items" as promulgated by the
Bureau of Labor Statistics of the United States Department of
Labor using the years 1979 to 1980 as a base of 100.
Adjustments of said maximum annual rental shall be made as
follows: (a) CPI as of the 1st month of the •lst lease year shall
be disignated as the "Base CPI." (b) The annual rental, promptly
after the termination of the 1st lease year and of each and every
lease year thereafter, shall be so adjusted that the ratio of
the CPI for the first month following the termination of each and
every such lease year to the adjusted rental is identical with
the ratio of the Base CPI to the maximum rental. (c) There shall
be no adjustment in the annual rental for any lease year un-
less the adjusted rental computed as set forth above varies
-3-
f
by more than twenty-five (25%) percent from the then current
rental. (d) No adjustment made in the annual rental as set
forth above shall reduce the•said annual rental below the max-
imum rental. (e) An adjusted rental, determined as set forth
above, 'shall be retroactive for the prior lease yeaF and shall
continue to be payable until readjusted, according to the .pro-
visions of this Paragraph 7. (f) An adjustment shall be made
according -to the provisions of this Paragraph 7 for the partial
lease year, if any, in which this Lease terminates, except
that the CPI referred to in subparagraph,„(b) of this Paragraph
7 shall be the CPI for the month following termination of this,
Lease, and except that such adjustment shall be retroactive
only to the commencement of the lease year in which this Lease
terminates.
In the event that either party claims to be entitled to
an adjustment of the rental according to the provisions set
forth above, such party shall send a notice to the other set-
ting forth the new rental claimed to be payable. The notice
shall be sent within one (1) month after publication of the
applicable CPI. An upward adjustment in the rental means
that the LESSEE shall pay the LESSOR within thirty (30) days
of receiving such notice, the additional rental owed for the
prior lease year and for the months which have elapsed in the
then current lease year. An adjustment in the rental appli-
cable to the lease year in which this Lease terminates, means
that the LESSEE shall pay to the LESSOR any additional rental
owed for the months equal to the reduction in rental for the
months elapsed in such lease year within thirty (30) days of
receiving such notice.
If a substantial change is made in the method of estab-
lishing such CPI, the CPI shall be adjusted to the figure
that would have resulted had no change occurred in the manner
of computing of such CPI. If such CPI (or a successor of
substitute Index) is not available, a reliable governmental
or other nonpartisan publication evaluating the information
theretofore used in determining the CPI shall be used in lieu
of such CPT.
-4-
S. FERTI LR- ',ESSEE agrees to fertilizesill lan( to the extent
that it is necessary and bear all the costs of such fertilizer, including
the costs of appiyinj such fertilizer.
9.; INSECTS: Once the crop is up, and from then through harvest,
LESSEE agrees to keep'and make continuous close inspections thereof for
the'pu,rpose of detecting the presence of insects, disease, plant infections,
or any other -conditions detrimental to the production of a,good 'crop._
In the event of a threat of damage from any such conditions, poison shall
bear all of the cost of the chemicals applied in connection with this
paragraph.
10;"• IMPROVEMENTS: During the term of this Lease, LESSEE shall, at
its own cost and expense, maintain all equipment and improvements located
'on the premises in a good state of repair.
The parties hereto agree that there may be substantial improvements
made to the property during the term hereof, either by LESSEE or by the
LCC INSTITUTE OF WATER RESEARCH and that the principal funding for such
improvements will come through an EPA grant for demonstration and exper-
imentation relating to the use of waste water on agriculture lands.
Ownership of all improvements shall remain in LESSEE (or its assigns) both
during the term of this Lease and upon termination, subject to the op-
tion to purchase granted to LESSOR hereinafter. Should LESSEE fail to
exercise its option to purchase provided in Paragraph 19, LESSOR shall,
upon termination of this Lease agreement, for any purpose, have the option
to purchase such improvemnts and pay to LESSEE (or its assigns) the
greater of the following: (1) the then Fair Market Value of all the im-
provements placed on the property pursuant to such EPA grant; or (2)
an amount equal to the pricing standards established by the United States
government for such improvements (as if the grantee of the EPA grant is
going to purchase them from the government). Should LESSOR fail to
exercise such option to purchase such improvements, LESSEE shall have
the right to remove same or take such other action as is then necessary
to comply with government regulations related to the EPA grant.
11. INSPECTION: LESSOR shall have the right in person or by
his agent to enter upon the premises at all times and to make inspec-
tions, repairs or improvements thereon.
12. MINERAL DEVELOPMENT: The LESSEE, through this Lease
and option to purchase, acquires no right or interest in oil,
gas or other minerals in and under the lease land and if oil
-5-
or gas wel fare drilled on the land or portions ther�f LESSEE
shall hav�_..o rig,of any kind in any such or wells.
This Lease is subject to the provisions of all present and
future oil and gas mineral leases. LESSOR, for himself and
his assigns and heirs and the LESSEE under oil and gas leases
and all'other persons in privity with LESSOR, retain the free
right of ingress and egress for exploration, drilling and
devglopment'end mining and laying of pipelines and erection
of tanks and installation of related equipment, and LESSEE
has no right to consent to or forbid persons under authority
from LESSOR such ingress or egress. Nothing herein contained
shall be construed to affect the rights of the owners of mineral
rights in and under such property. LESSOR retains the right
to grant easements for pipelines related to his mineral in-
terests and LESSEE shall receive none of the considerations
therefor and no compensation for the laying and maintenance
thereof. The granting of any right to seisomograph, shoot or
otherwise explore for the presence of oil, gas or other min-
erals upon the premises shall be exclusively in LESSOR. Any-
thing to the contrary herein notwithstanding, LESSEE shall
have the right to claim compensation for damages to growing
crops caused by any oil, gas and other mineral exploration.
13. RECORDS: LESSEE agrees to keep records of all matters
of joint interest to LESSOR and LESSEE, and to make said re-
cords available to LESSOR. Said records shall be complete
and without limiting the coverage thereof, they shall speci-
fically include the amount of each crop grown and the number
of acres from which it was taken, the amount and proceeds real-
ized from all crops sold and harvested and/or placed in govern-
ment loans and/or stored for later sale and of all expenses of
marketing, as well as costs of fertilizers.
14. CROPS: Should the LESSEE fail or refuse to plant,
work, harvest or protect the crops, then LESSOR shall have the
right to have them worked or gathered in due season and to
take a sufficient amount out of the part going to the LESSEE
to cover the expenses incurred by LESSOR in such work done.
-6-
15. LIVESTOCK: LESSEE shall have the right to permit
livestock to be grazed upon the demised premises if LESSEE
deems'same to be in the best interest of LESSEE under the
purposes of this lease.
16'.,'LIEN: LESSEE ,hereby grants to LESSOR a lign upon
all crops -grown or harvested from said land (except those
properties described in Paragraph 20, hereinafter), to secure
the payment of the rent herein provided for, and the perform-
ance --of the obligations here undertaken by the LESSEE.
11 LESSOR'S REMEDIES: It is agreed that if the LESSEE
shall make default for space of twenty (20) days after written
demand by LESSOR in payment of said rent when any of the same
shall become payable or in failure to comply with any of the
other obligations imposed on LESSEE hereunder, then the LESSOR
may at his option do either of the following:
(a) By written notice to the LESSEE declare this Lease
and lease contract fully terminated and all rights of the
LESSEE thereunder shall be forfeited and shall lapse as fully
as if this Lease had expired by lapse of time, and the LESSOR
shall at once have the right of reentry upon said premises and
to possess, have and enjoy the same which the LESSOR would have
upon expiration of this lease by lapse of time. In such event
all obligations of LESSEE which would otherwise thereafter
accrue shall immediately terminate.
(b) Or the LESSOR may reenter upon said leased pre-
mises and resume possession of the same and relet said pre-
mises, together with the improvements situated thereon, to any
person or persons to whom LESSOR may see fit, and the rental
received from such reletting shall first be applied to all
expenses incurred by the LESSOR in retaking and reletting the
property and the balance shall be applied upon the rental
that has accrued or will accrue under this lease.
(e) Or LESSOR may pursue any other remedy or right
available to the LESSOR under this contract or under the law.
18. TAXES, INSURANCE AND LAND COSTS: LESSOR agrees to
pay the ad valorem taxes on the property leased, all insurance
-7-
necessary to f_au're the improvements located thereon and`'All
purchase money land costs that might still be currently outstanding.
19. OPTION TO PURCHASE: The LESSEE is hereby given the exclusive
right and option to purchase the above described property owned by
LESSOR at any time on or before the termination date of ,this Lease
agreement,'at, a purchase price of either: (a) Four,Hundred ($400.00)
Dollars per'acre if such option is exercised on or before the 31st
"day of December, 1984; or (b) if such option is exercised thereafter
at a price equal to the same amount then being paid for adjoining and/or
similar #.ry land acreage located in Lynn County, Texas (provided, how-
ever such amount shall not be less than Four Hundred ($400.00) per acre).
This option is irrevocable as long as LESSEE is not in default under
the terms and conditions of this Lease agreement and shall be excercised
by the LESSEE through written notice to the LESSOR, delivered to LESSOR
on or before the termination date of this Lease agreement. The lease
payments provided herein shall not be applied against the purchase
price.
Should LESSEE elect to exercise its option to purchase hereunder,
LESSOR shall, at his option, have the right to immediate payment
of the purchase price or the right to require that LESSEE pay
such purchase price out over a period of years at the then current
interest rate being paid on farm land in Lynn County, Texas. Provided,
that if LESSOR fails to give LESSEE immediate notice of his election
related to method of payment, after having received LESSEE'S notice
of its option to purchase, the purchase price shall be paid in cash,
at closing (which shall occur within 60 days after LESSEE'S notice).
20. RESEARCH PROPERTY: LESSOR agrees that LESSEE shall deliver
no farm products from nor pay cash rental for, a tract or tracts to
be periodically identified and divided out of the real property
described on Exhibit "A" (which identified and divided tract or
tracts shall have an aggregate surface area of not more than five
(5%) per cent of the total surface area of all such real property)
and to be used by LESSEE, and/or its assigns, for more intensive
demonstration and experimentation relating to the use of waste water
on agriculture lands.
-8-
The.exact location and indentification of such tract or tacts
shall be designatedPannually by LESSEE as needed in such experimental
program; taking into consideratign the rights of the�LESSOR to rental
under Paragraph 7,-above.
21. EASEMENTS: The LESSEE is hereby given the exclusive right to
grant easemexits�to third parties for the laying of pipelines and other
improvements necessary to its use of waste water, for irrigation purposes,
on such property.
2Z. WASTE WATER: The parties agree that one of the primary purposes
of this agreement is for demonstration and experimentation relating to the
use of waste water on agriculture lands and that the waste water to be used
in such demonstration and experimentation will, in all probability, come
from the City.of Lubbock, Texas. Should this Lease terminate, for any
reason (and the LESSEE fails to exercise its option to purchase such
property) LESSOR agrees to honor any agreement then *in effect relating to
receiving waste water from the City of Lubbock and shall have all rights
of LESSEE to use of such waste water.
23. ATTORNEYS' FEES: In the event the LESSOR requires the services
of an attorney in connection with the enforcement of his rights hereunder,
then in addition to any other right or remedy the LESSOR shall be entitled
to receive a reasonable sum by way of attorneys' fees.
24. SUCCESSORS AND ASSIGNS: This contract shall be binding upon the
parties hereto, their heirs, executors, assigns and administrators.
25. ENTIRE AGREEMENT CLAUSE: This agreement supersedes any and all
other agreements, either oral or in writing, between the parties hereto
with respect to the subject matter hereof and contains all of the cove-
nants and agreements between the parties with respect to said matter.
IN WITNESS WHEREOF this contract is signed on the date first above
written.
.LUBBOCK CHRISTIAN COLLEGE
INVESTMENT CORPORATION
BY
LESSEE
HANCOCK
E LEEN HAN OCK
LESSOR
-9-
EXHIBIT 'A"
.The following described tracts or parcels of land lying and being
situated in Lynn County, Texas, to -wit:
All of Tracts 2, 3,4, 5, 6 and-8, in League Onc,
and Tract 7 of League Two, according to the map or
plat of Wm. D. Green's Subdivision of a part of
Leagues 1, 2, 3, and 4, Wilson County School Lands,
Lynn County, Texas, which map or plat is of record
in Book 57, Page 38, of the Deed Records of Lynn
County, Texas, containing 1214.52 acres.
All of Tracts 1, 7, 9 and 10 in League.l; Tracts 1,
2, 6, 8, 11, 12, 13 and 14 in League 2; Tract 3 in
League 3; and Tracts 1, 2, 3 and 4, in League 4,
according to the Map or Plat of William D. Green
Subdivision of a part of Leagues 1, 2, 3 and 4,
Wilson County School Lands, Lynn County, Texas,
which Map or Plat is of record in Book 57, Page 38,
of the Deed Records of Lynn County, Texas.
THE SURFACE ESTATE ONLY OF 'PILE ABOVE DESCRIBED TRACTS OF LAND ARE
INTENDED TO BE COVERED BY THIS EXHIBIT "A" AND ALL OIL, GAS AND OTHER
MINERAL INTERESTS ARE HEREBY RESERVED AND EXCEPTED.
ALL OF THE ABOVE DESCRIBED TRACTS OF LAND ARE SUBJECT TO ROADS, EASE-
MENTS AND RIGHTS -OF -WAY OF RECORD OR VISIBLE ON THE GROUND.
• CIO-,
^ ��
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned, a Notary Public in, and for
said Coiinty and State, on this day personally appeared J. E.
HANCOCK 14 and EILEEN HANCOCK, known to me to be the persons
whose names'are subscribed to the foregoing instrument, and
acknowledged to me that they executed the same for the pur-
poses and consideration therein expressed and in the capa-
city therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this /6' day of
Ole e--K.. b r 1978.
Qv=� if,' 24,,,_, -
ary Public in 4+iti.a5cm—_
ti�bbock County, State ot-Y�exas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned, a Notary Public in and for
said County and State, on this day personally appeared/lhay,r: ip(. E-E-i j r
/I!y ti U r H • 1 , of LUBBOCK CHRISTIAN COLLEGE INVEST-
MENT CORPORATION, a Texas corporation, known to me to be the
person whose name is subscribed to the foregoing instrument,
and acknowledged to me that he executed the same for the pur-
poses and consideration therein expressed and in the capacity
therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this /j- day of
1978.
r xf,
Notary Publi=-iji _armor
!Lubbock County, State of ~Texas
-10-
THE STATE OF TEXAS X
COUNTY OF LYNN z
a
-AMENDMENT TO FARM LEASE AND OPTION TO PURCHASE
THIS AGREEMENT is an amendment to a Farm Lease and Option to
Purchase Contract made the 15th day of December, 1978, by and between
J. E. •HANCOCK and wife, EILEEN HANCOCK, hereinafter sometimes referred
to as "Lessor", both of Lubbock County, Texas, and LUBBOCK CHRISTIAN
COLLEGE INVESTMENT CORPORATION, hereinafter referred to as "Lessee",
with its principal offices in Lubbock, Lubbock County, Texas;
W I T N E S S E T H:
WHEREAS, the parties hereto executed a Farm Lease and Option
to Purchase Agreement dated December 15, 1978; and
WHEREAS, the parties desire to amend such agreement as herein-
after provided;
NOW, THEREFORE, for and in consideration of the mutual bene-
fits and considerations to each of the parties hereto, the receipt
and sufficiency of which is hereby acknowledged and confessed, the
parties hereto agree as follows:
I.
The above described Farm Lease and Option to Purchase Agree-
ment is hereby amended by adding Paragraph 26, as follows:
"26.
Default under Sewage Effluent Supply Contract or any other
contract between Standefer & Gray, Inc., L.C.C. Institute
of Water Research, Lessee, City of Lubbock, a Home Rule
Municipal Corporation
Lessor herein has agreed to perform certain acts under certain
contracts relating to the disposal of sewage effluent to lands covered
by this lease agreement. In order for Lessor hereunder to perform
under any such guaranties or other obligations imposed on him under
T ( ,
such agreements, it -may be necessary for Lessor to obtain possession
of the premises covered.by this lease, which is approximately 4,000
acres located in Lynn County, Texas. Accordingly, the parties hereto
agree,.that in the event Lessor, his executors or assigns, are called
upon to perform any of the obligations set forth in a Sewage Effluent
Supply Contract made and entered into the day of August, 1980,
by and. between Standefer & Gray, Inc., a Texas corporation, and L.C.C.
Institute of Water Research, a Texas corporation, or a Waste Water
Lease Agreement dated the / day of , 1980, entered
into by and between L.C.C. Institute of Water Wsearch, Lessee, and
Lessor herein, and the City of Lubbock, or any other contract, this
lease agreement shall terminate upon five (5) days' notice from Lessor,
his executors and assigns, to Lessee hereunder, and Lessor shall
obtain immediate possession to all of the premises covered by this
lease."
II.
As amended, such lease agreement is hereby ratified and con-
firmed in all respects.
EXECUTED this /3 _ day of August, 1980.
. HANCOCK
EILEEN HANCOC
LESSOR
ATTEST: LUBBOCK CHRISTIAN COLLEGE INVESTMENT
CORPORATION
By
Secretary I V1 President
LESSEE
-2-
THE STATE.OF TEXAS X
COUNTY Off• LUBBOCK X
BEFORE ME, the undersigned, a Notary Public in and for said
County and State, on this day personally appeared J. E. Hancock and
Eileen -Hancock, known to me to be the persons whose names are sub-
scribed to the foregoing instrument and acknowledged to me that they
executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this 13 day of
August, 1980.
• 1
Rota y Publib in and for/Lubbock
County, Texas
THE STATE OF TEXAS X
COUNTY OF LUBBOCK X
BEFORE ME, the undersigned, a Notary Public in and for aid
County and State, on this day personally appeared /jok p
President of Lubbock Christian College Investment Corporation,
known to me to be the person and officer whose name is subscribed to
the foregoing instrument and acknowledged to me that the same was
the act of the said Lubbock Christian College Investment Corporation,
a corporation, and that he executed the same as the act of such
corporation for the purposes and consideration therein expressed, and
in.the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13 day of
August, 1980.
&77-
Notary Public in and fq Lubbock
County, Texas
In consideration of Lessor consenting to L.C.C. Institute
of Water Research having certain rights in the property covered by
this lease, Lubbock Christian College Institute of Water Research
hereby agrees to be bound by all the provisions of this lease the
same as if it were the original lessee and hereby agrees to give
pussessiun of such property to J. E. Hancock and/or wife, Eileen
Hancock, their executors and assigns, in the event such lease agree-
ment is terminated for any reason.
ATTEST: LUBBOCK CHRISTIAN COLLEGE INSTITUTE
OF WATER RESEARCH
l_ e� By
Secretary
-3-
THE STATE Or TEXAS X
COUNTY OF LUBBOCK X
BEFORE ME, the undersigned, a Notary Public in and fo said
County and State, on this day personally appeared ;,�p���
Pra!s nt: of Lubbock Christian College Institute o Water Research,
known to me to be the person and officer whose name :is subscribed to
the foregoing instrument and acknowledged tome that the same was
the act of the said Lubbock Christian College Institute of Water
Research, a corporation, and that he executed the same as the act of
such corporation for the purposes and consideration therein expressed,
and in -.the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the /i_11 day of
August, 1980. t
l Notary Public in and for ubbock
County, Texas
-4-
THE STATE OF TEXAS
r^
.COUNTY OF LUBE K
LCC INSTITUTE OF WATER RESEARCH /
RESOLUTION
CALLED MLE'rING
August 13, 1980
BOARD OF•DIRECTORS
a LCC INSTITUTE OF WATER RESEARCH
LUBBOCK, TEXAS
BE IT RESOLVED: That Lubbock Christian College Investment
Corporation (LCCIC) hereby approves and accepts a certain agreement
entitled "AMENDMENT TO FARM LEASE AND OPTION TO PURCHASE", and also
hereby authorizes execution of same; said "AMENDMENT TO FARM LEASE
AND OPTION TO PURCHASE" is an agreement by and between LCCIC and
J.E. Hancock and Eileen Hancock to amend a previous Farm Lease and
Option to Purchase Agreement entered into by and between parties
hereto on 15th of December, 1978. Said Amendment shall be executed
in the name of and by the authority of said LCCIC, and HarviP-
P ruitt and T.A. Hicks of said LCCIC is hereby authorized to execute
said document as the act of said LCCIC and in its name, and also Is
hereby authorized to prepare and negotiate any other documents and
execute same necessary to bring about the carrying out of this said
amendment or of said original lease and option dated 1 5 t h December,
1978.
MAJORITY OF BOARD MEMBERS PRLSLNT: Yes
MOTION TO PASS RESOLUTION: T.A. Hicks, Board Member
MOTION SECONDED BY: Harvie Pruitt, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
LCC Institute of Water Research Corporation at a called meeting
held on the 13th day of August 1980, at which meeting a majority of
the members of the said Board were present, and I further certify
that said resolution is in full force and effect as of the date
hereof.
DATED: This 13th day of ___Ay_&ust...... A.D., 19 80 .
-----===��e�------ - - - - - -
Secretary, Board of Directors,
LCC Institute of Water Research
THE STATE OF TEXAS
'•OCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
T.A. Hicks , known to me to be the person and
—
------------------------
officer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
LCC Institute of Water Research.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th day of
A.D., 19 80—
i' o any Public
ubbock County, Texas
My Commission Expires
THE STATE OF e-1XAS
COUNTY OF LUBBOCK
LUBBOGK -CHR I S'T IA_N_CO_LLEGE I NVESTMJ NT CORPORATION
----------- ------------ ----------
RESOLUTION
CALLED MEETING
August 1.3, 1980
BOARD OF DIRECTORS
° LUBBOCK CHRISTIAN COLLEGE
INVESTMENT CORPORATION
LUBBOCK, TEXAS
BE IT RESOLVED: That Lubbock Christian College Investment
Corporation (LCCIC) hereby approves and accepts a certain agreement
entitled "AMENDMENT TO FARM LEASE AND OPTION TO PURCHASE", and also
hereby authorizes execution of same; said "AMENDMENT TO FARM LEASE
AND OPTION TO PURCHASE" is an agreement by and between LCCIC and
J.E. Hancock and Eileen Hancock to amend a Previous Farm Lease and
Option to Purchase Agreement entered into by and between parties
hereto on 15th of December, 1978. Said Amendment shall be executed
in the name of and by the authority of said LCCIC, and Harvie
Pruitt and J.B. Potts of said LCCIC is hereby authorized to execute
said document as the act of said LCCIC and in its name, and also is
hereby authorized to prepare and negotiate any other documents and
execute same necessary to bring about the carrying out ,f this said
amendment or of said original lease and option dated 15th December,
1978.
MOTION TO PASS RESOLUTION: Guy Goen, Board Member
MOTION SECONDED BY: Harvie Pruitt, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
1 hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
Lubbock Christian College Investment Corporation at a called
meeting held on the 1 3 t h day of August 1980, at which meeting a
majority of the members of the said Board were present, and I
further certify that said resolution is in full force and effect as
of the date hereof.
DATED: This 13th-- day of---_ApEustA.D., 19 SO_.
-,�- - - - - - - - -
Sec/r'�-tary, Board of Directors,
Lubbbock Christian College
Investment Corporation
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
j .B. Potts known to me to be the person and
officer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
Lubbock'Christian College Investment Corporation.
G)VEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th_ day of
A.D., 1980 .
N t a y P u b l i c
l:u ock County, Texas
My Commission Expires__—_
THE STATE AFC TEXAS
COUNTY OF LUBBOCK
LEASE AND LAND USE
AGREEMENT
The following agreement is entered into by and between LUBBOCK
CHRISTIAN COLLEGE INVESTMENT CORPORATION, a non-profit Texas Corpo-
ration, organized under the laws of the State of Texas, and USC 501
(c)-(3), and LUBBOCK CHRISTIAN COLLEGE INSTITUTE OF WATER RESEARCH,
a non-profit Texas Corporation, organized under the laws of the State
of Texas, and USC 501 (c) (3)..
1. WHEREASt THE LUBBOCK CHRISTIAN COLLEGE INSTITUTE OF WATER
RESEARCH (hereinafter referred to as LCCIWR or as The Institute), was
organized as a Research and Demonstration entity for conservation,
use and treatment of wastewater, commonly referred to as effluent or
wastewater, from the City of Lubbock, Lubbock County, Texas, by use,
storage and application of same to certain portions.of lands in Lynn
County, Texas (See Exhibit A for description of lands involved in this
agreement), and whereas said LCCIWR has been funded for this purpose
by United States Environmental Protection Agency Grant No. CS806204-
01-2 and amendments thereto (hereinafter referred to as EPA Grant)t
and a major portion of said project involves heal effects, and,
2. WHEREASi Said Research and Demonstration Project involves
and requires use of and access to portions of certain lands in Lynn
County, Texas (See ExhibitA) which said lands are now under lease
anc con trol of LCCIC (LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION)
under agreement and lease and option to purchase by and between said
LCCIC and J. E. AND EILEEN HANCOCK, said agreement dated 15 December
1978. as amended, and
3. WHEREASt The City of Lubbock which entity (referred to herein
as City) will be responsible for maintenance and operation of a pipe-
line from the City Sewage Treatment Plant in the City to lands herein
involved in Lynn County, Texas and across portions of said lands)
NOW THEREFORE, in consideration of Ten ($10,00) Dollars and the
premises herein, and other good and valuable consideration furnished
by City and LCCIWR , receipt of which is hereby acknowledged, the said
LCCIC hereby grants, gives and assigns to City necessary easements and
To L)4STE- W#76L tx,4SE AG�E�mEtiT
r
LCCIC AND LC%,IWR-p-2
r�
I'
access in On"or across said lands for the purpose of servicing and
operating and maintaining said pipeline for the term of this contract
or agreement or as'same may be amended.
4, LCCIC hereby gives, grants and assigns to said LCCIWR, the
rights, privileges and easements on above land reasonably necessary
to carry out the Research and Demonstration Project in accordance
with terms of said EPA Grant agreement and amendments, which, among
other detailed scientific procedures, (not deemd pertinent to this
agreement and not included herein) includes construction of the above
referred to pipeline for carrying of effluent from City to Lynn County
lands and storage lagoons and dispersal of said wastewater on portions
of said lands described in Exhibit A and receiving effluent from said
pipeline and storing same or dispersing same on portions of said
lands for research and demonstration project.
$. In addition to the above privileges and easements necessary
to carry out Research and Demonstration Project, the said LCCIC here-
by assigns and grants the said LCCIWR the rights and privileges to
enter into any agreements, leases and arrangements or granting of ease-
ments to City for the delivery of wastewater (effluent) from said City
to and/or upon portions of said lands and/or to storage lagoons located
on said lands for the term of this agreement or amendments thereto.
All construction of the pipeline from the City and all pipeline lo-
cated on lands described in Exhibit A., and construction of any and
all storage lagoons and any dispersal pipelines on said lands is to
be funded by LCCIWR through Environmental Protection Agency Grant
No. CS806204-01-2, and not by City of Lubbock.
6. LCCIC also hereby grants and gives to LCCIWR the rights,
privileges and authority to enter into any other agreement, lease or
contract, including amendments to any said agreements, with the City
of Lubbock and with any other entities and/or persons involved in
disposal of effluent from City of Lubbock sewage treatment plant,
and including persons engaged in farming on lands described in Exhibit
A, which agreements are necessary and reasonable to effect disposal
of said effluent from and by City, and carrying out of Research and
Demonstration Project by LCCIWR. No agreements, however, involving
disposal or dispersal of said effluent and involving carrying out of
-2-
l
LCCIC AND LCcIWR-p-3
Research and Cemonstration Project shall unduly or unreasonably
interfere with or obstruct any normal and reasonable commercial
farming operations or leases or any oil, gas and mineral leases
on any of.said lands, and shall be confined to disposal and research
and demonstration programs on determined portions of said lands
herein described and shall be subject to written approval of LCCIC
and J. E. AND EILEEN HANCOCK, if they are still owners of said lands
subject to this agreement or subsequent agreements.
LCCIC has entered into certain commercial farming leases with
individuals farming lands described in Exhibit A., and LCCIC in-
cluded in said lease a clause calling for payment of damages to
said individuals for crops destroyed or damaged as a result of
research operations under the project herein described, and will,
in future leases, include suitable provisions for such damages.
7. The term of this agreement and the terms of any other agree-
ments executed pursuant to this agreement by and between LCCIC and
LCCIWR and/or other persons or entities or entities involved herein,
shall be from the date of execution hereof through the date of
termination of a certain Lease Agreement entered into by and tween
the City of Lubbock. Texas and Standefer and Gray, Inc, dated 1 May,
1968 and any extensions thereto. Termination of this agreement,
however, may be extended by agreement between City of Lubbock, LCCIC
and LCCIWR, and J. E. and EILEEN HANCOCK. if said Hancocks are still
owners of said lands at time of amendment. Amendments to the con-
ditions hereof may also be made by written instrument executed by the
parties hereto who are owners of who control said lands in Exhibit A.
8. If, at any time during the term of this agreement or amend -
meats hereto J. E. and EILEEN HANCOCK divest themselves of ownereip
of lands involved in this agreement, then terms herein shall not apply
to them in any way from date of said divestiture.
9. In the event the pipeline herein described is not constructed
for any reason, then this contract or agreement is terminated as of
the date it is determined that said pipeline will not be constructed.
EXECUTED IN MULTIPLE ORIGINALS, THIS1-H-DAY OF &d-o"1980.
61
at LUBBOCK, LUBBOCK COUNTY. TEXAS.
LUBBOCK CHRISTIAN COLLVGE INVESTMEN 0RPORATIOI
By
ATTEST a :L1dl7,tll
-3-
LCCIC AND I"IWR-p-4 LEASE AND LAND USF AGREEMENT
Signatures Cont'd)
LUBBOCK CHRISTIAN COLLEGE INSTITUTE
ATTESTi
�,1� �`' OF WATER RFSEARCH
,
BY:
Title
j
p �J.—E. HA//NCOCK
EILEEN HANCOCK
-4-
7
EXHIBIT "•A"
The following described tracts or parcels of land lying and being
situated in Lynn County, Texas, to -wit:
~ All of Tracts 2, 3, 4, 5, 6 and'8, in League Onc,
and Tract 7 of League Two, according to the map or
plat of Wm, D. Green's Subdivision of a part of
Leagues 1, 2, 3, and 4, Wilson County School Lands,.
Lynn County, Texas, which map or plat is of record
in Book 57, Page 38, of the Deed Records of Lynn
County, Texas, containing 1214.52 acres.
All of Tracts 1, 7, 9 and 10 in League 1; Tracts 1,
2, 6, 8, 11, 12, 13 and 14 in League 2; Tract 3 in
League 3; and Tracts 1, 2, 3 and 4, in League 4,
according to the Map or Plat of William D. Green
Subdivision of a part of Leagues 1, 2, 3 and 4,
Wilson County School Lands, Lynn County, Texas,
which Map or Plat is of record in Book 57, Page 38,
of the Deed Records of Lynn County, Texas.
THE SURFACE ESTATE ONLY OF THE ABOVE DL•'SCRIBL•'D TRACTS OF LAND ARE
INTENDED TO BE COVERED BY THIS EXHIBIT "A" AND ALL OIL, GAS AND OTHEI
MINERAL INTERESTS ARE HEREBY RESERVED AND EXCEPTED.
ALL OF THE ABOVE DESCRIBED TRACTS OF LAND ARE SUBJECT TO ROADS, EASE-
MENTS AND RIGHTS -OF -WAY OF RECORD OR VISIBLE ON THE GROUND.
-5-
ACKNOWLEDGEMENTS
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BE70RE'ME, the undersigned authority, a Notary Public in and for
sai County and Stag, on his day personally appeared
^rr� M. 1`� of Lubbock Christian College In-
vettment Corporation, known to me to be the person and officer whose
name'is subscribed to the foregoing instrument and acknowledged to me
that•the same was the act of the said Lubbock Christian College Invest-
ment Corporation, a corporation, and that he executed the same as the
act of said corporation for the purposes and consideration therein
expressed,'and in the capacity therein stated. 111
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of
A. D., 1980.
Notary Pub is in and for Pubb6ck County,
i Texas
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and for
said unty.and Sta�, orj�his day personally appeared
. etd of Lubbock Christian College Insti-
tute'of Water Research, khbwn to me to be the person and officer whose
name is subscribed to the foregoing instrument and acknowledged to me
that the same was the act of the said Lubbock Christian College Insti-
tute of Water Research, a corporation, and that he executed the same
as the act of such corporation for the purposes and consideration there-
in expressed, and in the capacity therein stated.
GIVEN UNDER MY HAND
, A. D., 1980.
f 1,
THE STATE OF TEXAS
COUNTY OF LUBBOCK
AND SEAL OFFICE, this the gtf ay of
�
:Votary Public i and for Lub ock County,
Texas
BEFORE ME, the undersigned authority, a Notary Public in and for
said County and State, on this day personally appeared J. E. Hancock
and Eileen Hancock, known to me to be the persons whose names are sub-
scribed to the foregoing instrument and acknowledged to me that they
executed the same for the purposes and consideration therein ez ressed
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this 3 ay ofZ�,,, J
A. D., 1980. O
Rij V, 'j'4
Notary Plublic ih and for Lubck County,
Texas
M
COUNTY OF LU(^)CK
LCC INSTITUTE OF WATER RESEARCH
-------------------------
RESOLUTION
CALLED MEETING
August 13, 1980
BOARD OF DIRECTORS
LCC INSTITUTE OF WATER RESEARCH
LUBBOCK, TEXAS
BE IT RESOLVED: Lubbock Christian College Institute of Water
Research (LCCIWR), a Texas Corporation, approve and accept a "LAND
AND LAND USE AGREEMENT" by and between sa-1d LCCIWR and Lubbock
Christian College Investment Corporation (LCCIC), a Texas
Corporation, in which agreement said LCCIC grants to LCCIWR the
rights and privileges to enter into any and all agreements, leases
and contracts necessary to give LCCIWR or other entities and/or
persons, including the City of Lubbock, Texas, easements, rights
and privileges relating to buiFding of a sewage effluent pipeline
from City of Lubbock, Texas sewage treatment plant to and onto
certain lands in Lynn County, Texas, presently under control of
LCCIC by virtue of a lease agreement between said LCCIC and J.E.
Hancock and Eileen Hancock, and certain rights and privileges
concerning placing of said effluent on said lands for various uses,
including research and demonstration purposes described in a
certain Environmental Protection Agency Grant No. CS806204-01-2 to
LCCIWR. Said agreements shall be executed in the name of and as
the act of said LCCIWR, and authority is hereby granted to T.A.
Hicks and Harvie Pruitt of said LCCIWR to prepare, approve and
execute any and all documents relating to this agreement with LCCIC
and with any and all other entities and persons with whom any
agreements may be reached.
MAJORITY OF BOARD MEMBERS PRESENT: Yes
-MOTION TO PASS RESOLUTION: T.A. Hicks, Board Member
MOTION SECONDED BY: Harvie Pruitt, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
LCC Institute of Water Research Corporation at a called meeting
held on the 13th day of August 1980, at which meeting a majority of
the members of the said Board were present, and I further certify
that said resolution is in full force and effect as of the date
hereof.
DATED: This 13th day of----_A�!_Eust____, A.D., 1980 .
-----------------------------
Secretary, Board of Directors,
LCC Institute of Water Research
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
T.A. H_icksknown to me to be the person and
officer whose name is subscribed to the .foregoing instrument, and
a c k n o w 1, e d g e d to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
LCC Inst•:tute of Water Research.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th day of
A.D. , 19 8 0 -----
No a y Publics_
Lubbock County, Texas
My Commission Expires__----_----
THE STATE OF TEXAS
COUNTY OF LU ...')CK n
LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION
------------------------------ ---------
' RESOLUTION
CALLED MEETING
August 13, 1980
BOARD OF DIRECTORS
LUBBOCK CHRISTIAN COLLEGE
° INVESTMENT CORPORATION
LUBBOCK, TEXAS
BE IT RESOLVED: That Lubbock Christian College Investment
Corporation (LCCIC), A Texas Corporation; hereby approves and
accepts a "C AND AND LAND USE AGREEMENT" by and between said LCCIC
and Lubbock Christian College Institute of Water Research (LCCIWR),
a Texas Corporation In which agreement said LCCIC grants to LCCIWR
the rights and privileges to enter into any and all agreements,
leases and contracts necessary to give LCCIWR and/or other entities
and/or persons including the City of Lubbock, Texas, easements,
rights and privileges relating to building of a sewage effluent
pipeline from Clty of Lubbock, Texas sewage treatment plant to and
onto certain lands in Lynn County, Texas, presently under control
of LCCIC by virtue of a lease agreement with J.E. Hancock and
Eileen Hancock, and certain rights and privileges concerning
placing of said effluent on said lands for various uses, including
research and demonstration purposes described in a certain
Environmental Protection Agency Grant No. CS906204-01-2 to LCCIWR.
Said agreements shall be executed in the name of and as the act of
said LCCIC, and authority is hereby granted to Harvie Pruitt and
J.B. Potts of said LCCIC to prepare, approve and execute any and
all documents relating to this agreement with LCCIWR and with any
and all other entities and persons with whom any agreement/s may be
reached.
MOTION TO PASS RESOLUTION: Guy Goen, Board Member
'NOTION SECONDED BY: J.W. Hamby, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
Lubbock Christian College Investment Corporation at a called
meeting held on the 13th day of August 1980, at which meeting a
majority of the members of the said Board were present, and 1
further certify that said resolution is in full force and effect as
of the date hereof.
DATED: This 13th_ day of _—Au ust_-- A.D., 19 80 .
L s!
Se ary, Board of Directors,
Lubbock Christian College
Investment Corporation
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public In and
for said County and State, on this day personally appeared
.B. Potts known to me to be the person and
officer whose name Is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
Lubbock,•iChristian College Investment Corporation.
GIVEN.UNDER MY HAND AND SEAL OF OFFICE, this the —13th day of
_As tA.D. , 1980 _
N ry Public "�
bbock County, Texas
My Commission Expires
ADDENDUM TO LEASE AGREEMENT
THE STATE OF TEXAS 4
COUNTY OF LUBBOCK 4
This addendum is entered into on this the -,Z. day of ,
1980, by and between the City of Lubbock, a home rule municipal corporation,
hereinafter referred to as City, and Standefer and Gray Inc., a corporation
existing under the laws of the State of Texas, with its principal offices at
Lubbock, Texas, hereinafter called Company.
WITNESSETH:
WHEREAS, the City and Company did enter into a lease agreement on the 1st
day of May 1968, as amended, a copy of said agreement as amended being attached
hereto as Exhibit "A"; and
WHEREAS, the agreement attached as Exhibit "A" did provide that the City
would pump all of its sewage effluent to lands owned or under the control of
Company; and
WHEREAS, Company and,City do recognize that it would be advantageous for
additional lands to be provided for the purposes of properly handling the
sewage effluent delivered by City to Company; and
WHEREAS, it would be difficult for Company to provide additional land
deemed necessary under the premises at this time; and
WHEREAS, the City and Company have been approached by the L.C.C. Institute .
of Water Research with an offer to provide an additional discharge site for
sewage effluent; and
WHEREAS, both City and Company would benefit by having an additional dis-
charge site:
NOW THEREFORE THE CITY AND COMPANY AGREE AS FOLLOWS:
1. That notwithstanding any provision contained in the lease agreement
between City and Company, which agreement is attached hereto as Exhibit "A",
the Company does hereby grant to City the right to pump sewage effluent to a
discharge site located in Lynn County, Texas, said site to be operated by the
L.C.C. Institute of Water Research and hereinafter referred to as Institute
Lagoon.
2. The City shall meter the volume of sewage effluent, which City is
instructed under paragraph 8 to pump to the Institute Lagoons. The total
volume of such effluent pumped in any calendar year to the Institute Lagoons
EXN.zax7" "D" rD UM57E W,47,54 4 545E 4azez4 rnEar
EXHIBIT "B" TO SEWAGE EFFLUENT SUPPLY CONTRACT
h
shall entitle the City during the immediately following year to use an equal
volume of sewage effluent (not to exceed 7,200,000 gallons per day) for its own
purposes without obligation to pay Company any payments of money. It is under-
stood by the parties hereto that sewage effluent produced by the sewage treat-
ment plant or plants, at locations more than 5,280 feet from the Northwest
corner of Section 1, Block B. is specifically excluded from the addendum.
3. The Company further releases the. City from any claim for payment of
money for any sewage effluent City may pump to the Institute Lagoon sites in
Lynn County, Texas.
4. That Company does hereby agree that it will use the sewage effluent
discharged by City onto the lands operated by Company in such a manner as to
comply with all Federal or State laws or regulations and City agrees to deliver
sewage effluent to Company's reservoir in conformity with such laws and regu-
lations.
5. That Company will with all dispatch commence negotiation with L.C.C.
Institute of Water Research leading to an execution of a contractual agreement
•between them which will specifically cover the following points:
(a) The Agreement shall determine the percentage of sewage effluent which
the Company shall be entitled to have pumped to its lands and the per-
centage of sewage effluent that shall be pumped to land in Lynn County to
be used by L.C.C. Institute of Water Research.
(b) The agreement shall designate one party to advise City as to what
percentage of sewage effluent shall be pumped to either the properties
operated by Company or to the Lynn County property upon which L.C.C.
Institute of Water Research is conducting its activities.
(c) The agreement shall recognize the City's right to use for its pur-
poses any sewage effluent at no cost to City (see paragraph 2 of this
agreement).
(d) The agreement shall recognize the City's right to sell and deliver to
others such sewage effluent as outlined in the lease agreement between
City and Company paragraph VIII 2 (see Exhibit "A" attached hereto) but
such right is subject to payment by City to Company as provided in par-
agraph VIII 3 of the lease agreement above mentioned. The agreement shall
further contain a provision that only Company is entitled to payment as
above set out and L.C.C. Institute of Water Research shall never be
entitled to any such payments and will make no claim for same.
n
(e) The agreement shall further recognize that the City is entitled to
dispose of all sewage effluent upon the lands owned or controlled by
Company or land being controlled, owned or used by L.C.C. Institute of
Water Research and notwithstanding any other provisions of the agreement
between Company and L.C.C. Institute of'Water Research. City will have
the absolute right to pump to either the Company's sites or sites under
control of L.C.C. Institute of Water Research, any amount of sewage
effluent necessary to provide for complete disposal of City's sewage
effluent at any point in time. Company and L.C.C. Institute of Water
Research will further agree to take all such sewage effluent under such
circumstances.
6. Company will file an executed copy of the agreement provided for in
paragraph 5 above with the City Secretary within a reasonable period of time
after the execution of this agreement.
7. Except as altered or changed by this Addendum Agreement the original
lease agreement as amended in *larch, 1978, shall remain in effect between the
parties hereto in accordance with the terms and conditions of said original
lease agreement attached hereto as Exhibit "A".
8. City agrees to pump the percentages of sewage effluent to the Company
properties and to the Institute properties as directed by the individual appoint-
ed by Company and Institute, provided, however, should it become necessary to
provide for a complete disposal of City's sewage effluent at any point in time,
the City shall have the absolute right to pump to either the Company sites or
Institute sites.
9. It is understood that Institute, et al, and City will execute a Waste
Water Lease Agreement which provides that in the event of certain defaults by
Institute that City has certain rights to enter upon the 4,000 acre tract and
operate same for discharge of effluent.
City accordingly agrees with Company that, in the event that it is re-
quired to enter upon said 4,000 acre tract, and determines to operate same in a
manner to produce income therefrom, it will give Company first option to manage
and operate said 4,000 acres for the disposal of said effluent.
In the event Company elects not to operate said 4,000 acres, then City
shall not be obligated to pay the service charge herein provided for disposal
W
of the effluent on said 4,000 acres; provided, however, should any party or
entity pay a service charge for the use or disposal of said effluent, said
Aarges shall be paid to Company; provided that City shall have no obligation
in the collection of said charges and shall make no claim against Company for
said charges.
Executed this the �h day of 1980.
THE CITY OF LUBBOCK
BZ McALIS'ER, MAYOR
ATTEST:
elyn Gaff a, City SecritaiyZyreasurer
THE STATE OF TEXAS §
STANDEFER & GRAY, INC.
i5z� . /Zac
ATTEST:
cr tary
COUNTY OF LUBBOCK §
BEFORE HE, the undersigned, a Notary Public in and for said County and
State, on this day personally appeared ,k of
STANDEFER and GRAY, INC., a Texas corp, or tion, known to me to be the person
whose name is subscribed .to the foregoing instrument, and acknowledged to me
that he executed the same for the purposes and consideration therein expressed
k'""And in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13 day ofAy
1980.
At' �^"t
t r'y Public in and for
U bock County, State of Texas
THE STATE OF TEXAS 4
COUNTY OF LUBBOCK 4
BEFORE ME, the undersigned authority, a Notary Public in and for said
County, Texas, on this day personally appeared BILL McALISTER, known to me to
be the person whose name is subscribed to the foregoing instrument and acknowledged
to me that he executed the same as the act and deed of the CITY OF LUBBOCK and
as MAYOR for the purposes and consideration therein expressed and in the capacity
therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 1 "day of ,
1980.
Notary Public in and for
Lubbock County, State of Texas
LEASE AGREEMENT
THE STATE OF TEXAS X
X KNOW'ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X-
THIS CONTRACT made this ,th day of d� , 1968, by and
N
between the City of Lubbock, a home rule municipal corporation of -
Lubbock County, Texas (hereinafter called "CITY"), and Standefer
& Gray, Inc., a corporation existing under the laws of the State of
Texas, with its principal offices at Lubbock, Lubbock County, Texas
(hereinafter called "COMPANY"), each acting herein by and through
its respective officers -heretofore duly authorized.
W I T N E S S E T H T H A T
That the CITY and COMPANY hereby mutually agree that for and
in consideration of the extension of the terms of that certain lease
contract dated April 28,.1960, executed by the parties hereto, and
`the additional consideration of the terms, conditions and covenants
to be kept, done and performed by COMPANY, CITY does hereby lease
the lands hereafter described to the COMPANY for a period beginning
at the date hereof and ending on the 31st day of December, 1990,
subject.to the terms,:.conditions and covenants to be kept, done and
performed.by the.parties hereto as follows:
ARTICLE I. '
The land herein leased consists of approximately four hun-
dred seventy (470) acres of land, described as follows:
Being all of Section 1, Block B, Lubbock County, Texas,
except the areas used for highway purposes and except
that part of said Section 1 owned by J. Frank Gray and
Wylie Hudman;land the Southwest One -Fourth (SW 1/4) of
Section 2, Block B, Lubbock County, Texas, except that
portion thereof containing about fifty-three (53) acres
lying North of the Fort Worth & Denver Railway. Company
right of way; and all of that part of Section Eleven (11),
Block B, owned by CITY and described as follows, to -wit:
BEGINNING at a point in the Northwest corner of said
Section 11; '
THENCE South along its West line 1421 feet to a point;
THENCE East 1176 feet;
THENCE North 427 feet;
THENCE West along the North line of said Section 1176
feet to the Place of Beginning.
I.1 The purposes for which the lands herein are leased is declared
to be for agricultural and livestock purposes and any other contrary
use thereof shall, at the option of CITY,,terminate this lease.
�I.2 The consideration to be paid by -COMPANY shall be a cash rental
of $3.00 per acre per year for all lands now .in cultivation or that may
be placed in cultivation by COMPANY. and it is agreed that $1,4.10.00 per
year is the agreed annual rental to be paid to CITY by COMPANY here-
under. All rentals shall be•payable on the first day of January of
each year, beginning January 1, 1969. Any installment of rental not .
paid at the due date hereof, shall bear interest from said due date
until paid, at the rateof eight per. cent (8%) per annum. If COMPANY
fails to pay the rentals when due within sixty (60) days after demand
in writing and delivered to COMPANY by registered or certified mail.
(%,.ith receipt requested) CITY may at its option terminate this agree
BRIPTr T.r TT
II.1 It is understood that the City of Lubbock's Sewage Treatment Plar
is presently -located and situated on the above described land and the
City. reserves the right to maintain, expand, operate,' change and alter
said plant or abandon or discontinue using the present sewage treatment
plant and'to construct and maintain a sewage -treatment plant .of equal
or greater capacity. at another location in lieu of operating and main-
taining the sewage plant constructed or to be constructed in the
Northwest corner of Section 1, _Block B,. and the City agrees to pump I--,
all of the effluent from the 'present plant or additions thereto or plant
constructed in lieu of this plant into the existing earthen storage
reservoirs now presently supplied from the existing plant at the expense
of the City, less and .except such parts or portion of -effluent that-.
the City may sell to industry and other recipients (specifically
e:,:.:;l,:ding sales of effluent for agriculture purposes) and that effluent
City may use 'for its own purposes as hereinafter provided. Sew-
age affluent produced at sewage treatment plants at 'locations more
t1hr_n 5280 feet from the Northwest corner of Section 1, Block B,` is
s::.acifically excluded from this contract. The City agrees no indus-
Page 2.
.trial users of effluent supplied from the plants in the Northwest corne:
of Section 1, Block B, shall be supplied from other sewage treatment
plants without the mutual consent of the parties hereto. As a part
of the consideration hereof company binds itself to accept such sewage
effluent at the earthen reservoirs referred to above and those reservoir
which may by agreement of the parties hereto be constructed in the futu.
d And the COMPANY further agrees to properly distribute such effluent at..
its expense onto the lands herein leased a•nd the lands.now owned by J.
Frank Gray and Wylie Hudman, which lands have been leased to COMPANY
from said J. Frank Gray and Wylie Hudman as shown by the Lease attached
hereto as Exhibit ."A". It is further agreed'that when necessary, due ..
to extended wet or inclement weather, or any other.reason, the COMPANY
may, in order to comply with its obligations hereunder, provide emer-
gency storage 'facilities at its own cost and expense, and does hereby
covenant with CITY.to exercise care to prevent such effluent from
draining into the Yellowhouse Canyon or onto lands not covered by this
.Lease or to lands not owned -or controlled by COMPANY, unless otherwise
permitted by the owner. or owners of such land given in writing, which
shall be subject .to all of the terms,' conditions and covenants containe
in this Agreement. COMPANY does further.covenant with CITY to handle,_
distribute and/or store and to.otherwise dispose of such sewage effluen
upon such .ands as aforesaid including the .lands covered by said Lease,
or under. control of CITY in such manner as not .to substantially increas
the -density. of odors emitting therefrom, or from spreading and .causing
additional discomfort and annoyance to nearbyinhabitants, and not to
use or suffer to be used such effluent in such a manner as to constitut
a nuisance, when and after the same is placed on said lands and to keep
and maintain all premises in such condition as to conform with all Stat
and local health regulations, whether now or hereafter established by
State law or promulgated by the State Department of Health,.providedy_ h
ever, that such effluent is delivered. to the reservoirs herein referred
to in conformity with such regulations and laws.
II.2 COMPANY further agrees that upon receipt of written notice,.
authorized by the governing body of the City of Lubbock, that COMPANY
' 1
is cperating due to its negligence a nuisance in violation of said
State or local health regulations, to correct and abate such condi-
tion in a reasonable time and to do such things as may be .
Page 3. ,/�Y
• i
SUPPLEMENTAL CONTRACT
THE STATE OF TEXAS X
KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X
THIS CONTRACT is made and entered into this 23 day of
March, 1978, by and between THE CITY OF LUBBOCK, a home rule
municipal corporation of Lubbock County, Texas, (hereinafter
called "CITY"), and STANDEFER & GRAY, INC., a corporation existing
under the laws of the State of Texas, with its principal offices
at Lubbock, Lubbock County, Texas (hereinafter called "COMPANY"),
each acting herein by and through its respective Officers
heretofore duly authorized.
W I T N E S S E T H:
Heretofore, on the 1st day of April, 1968, the Parties
hereto entered into that certain Lease Agreement, a copy of which
is attached hereto and marked "Exhibit A" for reference. Said
attached Lease Agreement has a primary term, as set forth in Article
XII. 1 thereof, which terminates on December 31, 1990, or subsequent
thereto after five (5) years notice in writing to terminate has
been given by either Party. And, it is the desire of the Parties
hereto to extend the primary term of such Contract dated April 1,
1968, as hereinafter provided.
NOW THEREFORE, in consideration of the mutual agreements
and the considerations of the terms, conditions and covenants to
be kept, done and performed by the Parties hereto, the Parties
do mutually agree and contract that Article XII.1. of Exhibit A,
is hereby amended to read as follows:
ARTICLE XII.1 TERM OF CONTRACT
Notwithstanding any other provision of this Contract,
the term of this Contract is from the date set forth
hereinabove until December 31, 1998, and thereafter until
a date five years (5 yrs.) subsequent to written notice
of termination of this Contract by either Party. A five
year (5 yr.) termination notice may be given by either
Party to the other, at any time subsequent to December 31,
1993. Notice is to be transmitted by registered or
certified mail with return receipt requested.
pointed.out in writing necessary to correct and abate such .condition.'
If. such effluent should drain into the Yellowhouse Canyon through
negligence onithe part of Company or off the described lands onto
other lands, or if effluent should be 'allowed or permitted to become•
a•nuisance on account. of the manner in which the COMPANY handles -or
fails to handle -'said effluent and is allowed to remain in such con-
dition without. -abatement for an. unreasonable time after. -notice in .
writing to COMPANY,• or if such sewage•effluent should be handled,.
distributed ,or stored in such a manner as to increase :the density
of -the odors -emitting therefrom or spreading so as to cause other
than normal'annoyance'and discomfort to nearby inhabitants, the.•CITY
may, after written notice, terminate .this 'contract..• The proper
spreading, '.storage or use of the effluent'as delivered.by. the CITY-•:
shall not be -construed as a nuisance under: the terms -of .this con-
tract.. -
ARTICLE III:
:. III.•1 City -retains -and reserves the 'right during the term of this-.:...
contract,.if it should elect, to use .any part .of the'lands owned by
it along.the Yellowhouse•Canyon rim, for the establishment and en-
..•largement of the _:City. Dump ground for the disposal of trash.and.gar-
bage hauled from the City', and to excavate where necessary iri the •
opinion of CITY to provide•more volume for disposal of such -trash
4
and garbage, together. with necessary road and roads for ingress and. •:.
egress and.necessary utilities: to and from said dump ground and over-;:
and across said land to. accomplish the .intent of this reservation.
'It further reserves the•right to construct housing and living
quarters 'sufficient to accommodate City employees engaged in the
' maintenance and operation of the dump grounds, provided, however,
upon the exercise . of such 'option CITY will',• at its own cost and
expense,. replace :to the:use and benefit of COMPANY a like amount
of land refilled, ledelled and terraced in the same manner as that
lard so taken for additional dump -ground hereunder and -CITY will
Page '4 . ; .
,also make effluent available at the highest point on such substituted
.land.
ARTICLE IV.-
IV.1 COMPANY. by these prsents obligates: -itself to take 'good care
of and cultivate. the lands leased to it hereunder in a good',.farmer-
like manner and not to make or suffer to be 'made any alteration.or
waste .that would be injurious to said land.
IV.2 COMPANY shall not, without the written. consent of CITY,
assign this lease• or sublease any part of the 'above leased land and
should said COMPANY attempt to assign this lease or sublease any or .
all of the above.described land, then and in that event, ,this con-
tract•shall, at .the option of CITY,•,terminate as to all parties and
be of no further .force and effect..
IV.3* At.the termination of this Contract, COMPANY shall return
the .land and leased improvements and surrender the -possession thereof
to'the'CITY-in as good condition as when received, ordinary wear and
tear excepted.
IV.4 It is agreed that COMPANY shall have the right upon termin-
ation of this'lease contract to remove.from.the above described City
lands, any improvements that may have been placed thereon by it, in-
cluding fences,•'except outside boundary fences, the two fences sep-
arating -the cultivated lands from the canyon or pasture lands, and
fences around the'sewage plant.
IV.5 Should the COMPANY during the life of this contract fail or" -
refuse -to.keep and perform any of the'covenants or conditions of -
the same'at the time and in.the manner stated, CITY shall have the
right to enter into•'said premises and take possession thereof without
notice or demand,..except as herein provided, and without being guilty.....
of trespass and without. prejudice '.to any other. remedy the CITY may_.•
have:
Page.5.*
ARTICLE V.
V.1 It is mutually agreed and understood that :the above described
lands owned by CITY are possessed by. the CITY.for the primary purpose .
,.of operating the City Sewage Disposal Plant,: and any -other plants.
that may be constructed for this purpose,' and for `the 'additional
purpose of disposing of City sewage,' and it is the primary purpose'
of this lease and contract to arrange for the continued disposal,
of City sewage effluent -in order to further. safeguard the health
of its inhabitants, by. providing for the above method•of effluent
disposal and care, and that .the leasing of such :land by the CITY
,to COMPANY for agricultural purposes is merely incidental to. the
CITY's ownership and this lease is.made .primarily for the purpose -
of affording additional facilities as hereinafter defined and man-
agement of effluent emitting from the City.'s sewage disposal sys-
tem and the consideration herein agreed to be paid by CITY as
Lessor herein, ,is in consideration of the services. to be performed
by COMPANY, as Lessee herein, in handling, caring for and disposing,'.
of all CITY effluent delivered to reservoirs by CITY and the taking
thereof by COMPANY. in'non-constant quantities,- all as is -anticipated.
and provided for in this contract...
V.2 This Lease and Contract is executed subject .to all of the.
rights 'of. the City. of Lubbock which '.it has in said lands, and -sub-.
ject .to the. terms of -any oil. and gas leases iniexistence, or to be...�
executed1by the 'City.of•Lubbock affecting such lands.
V.3 It is further. agreed that if'the .effluent is delive.red.to,,•::
the reservoirs -in such condition that the maintenance of said water
in said reservoirs or the -distribution thereof creates a nuisance'
or it becomes toxic to such an extent that injury would result to
the land upon which it is spread or make it impractical to use as
irrigation' for. Agricultural products or toxic to livestock, then,,•
in either ev6nt;'COMPANY may terminate .this contract after giving
Page '6.
written'notice .to CITY to correct or remove the conditions causing '
same;. :.
ARTICLE VI. ,•
VI.1 Notwithstanding other provisions of this agreement it is
agreed that a breach by COMPANY of•any obligation arising hereunder.'.
- shall not work a forfeiture or terminate this lease or contract or
cause -the same'.to be terminated nor be grounds for cancellation hereof.
in whole or in part except as herein provided.-. In the event.CITY
considers:the.COMPANY is not complying with.the terms of this con -
..tract,. CITY shall notify COMPANY in writing of the facts relied upon.
.as constituting a breach hereof and COMPANY, if in default, shall.
,. have.a reasonable time., not exceeding one hundred fifty (150) days
after the receipt- of such notice, in .which to comply with the obli-
gations hereunder -ad they may have been pointed out in writing as
aforesaid.
ARTICLE VII.
VII..l Whereas,'it is anticipated that COMPANY will install.or
cause .to be installed underground.pipelines to convey the effluent
upon .lands under its. control; hence, it is -agreed that in such event,.,..:
and if'this contract is terminated before the term hereof, that the
CITY will pay to COMPANY for such .pipe which will be depreciated
so far as this. agreement is concerned at .the rate .of five per' 'cent
(5%) per year upon its costs, and that.after applying such depreci-
ation, the .CITY.will pay to the. COMPANY, its.'successors and assigns, _-
a'sum equal to one-half, (1/2.) of the remaining cost thereof, provided
such pipe is in a good state of repair and COMPANY has filed written
statement with:the City -Engineering Department showing actual cost
of pipe 'and its. location..
VII.2 It is further. agreed that CITY. reserves. the right to con- `
struct necessary utility. lines and pipelines:,- in, above and below
the ground at any location on CITY owned land, provided -it does not
• . •, Page .7. ✓ "• ��
interfere with.the orderly operation by COMPANY of its effluent dis- •
posal system•and subject to paying reasonable crop damages to.
COMPANY, if any occurs. CITY agrees to furnish at commercial rates
and COMPANY. agrees to use and timely pay for electric power. used
and to be used in connection therewith'.: 4
VII.3 It is agreed the CITY will at its.own expense maintain four
44) eighteen -inch .(1.8 in.) outlets in the lagoon. reservoir consisting--
of approximately twenty-three .(2.3) acres.,- and CITY. will provide and.'
maintain at its -own cost two .(2). pumps capable of pumping thirty
five hundred (3.1'500)..gallons of effluent per. minute at a head of
twenty-five..(25) feet.. In the maintenancelof. the two.pumps, the.
CITY will keep installed and maintained the.pipe from the reservoir
to the intake side of the pumps and provide valves at this point and.
COMPANY will take'the effluent from the output side .of the two pumps
and at COMPANY'S cost provide and maintain pipe,.valves and other
appurtenances•necessary to carry effluent from the output side, In.
the event of any default by. COMPANY or its. tenants.,. agents, servants.'
or authorized assigns, the right to take effluent as provided in this.
paragraph shall cease and terminate..
VII A It is further agreed that.in the eventthe CITY ever abandons
the use of the twenty-three (23) acre reservoir constructed by the
CITY upon Section ll, Block B, owned by. J.• Frank -Gray and Wylie
Hudman for the purposes of effluent storage, whether at the end of
the term of this contract,'or if terminated previously thereto, then -
CITY shall level the surface of.said reservoir and place'it in a..
condition suitable for agricultural purposes at CITY'S expense.
ARTICLE VIII.
VIII U It is mutually concededand agreed by the parties hereto
that COMPANY has for many years contracted for and has satisfactor
ily disposed of all of the CITY effluent resulting in a financial
benefit to CITY in that the CITY has not been compelled to construct,
:maintain and operate additional facilities and sewage disposal and
t_zatment plants., The CITY recognizes' that as a result of this
Page 8.!'1 j�
satisfactory contractual arrangement between CITY and COMPANY for
many years heretofore that CITY'S effluent has been disposed of
at less cost to CITY than any other city in Texas experiencing the
same growth and population increase. CITY further recognizes that
COMPANY has expended large sums of money and made extensive capital
investment upon the lands owned by J. Frank Gray and Wylie Hudman
and upon other lands leased and controlled by said land owners,
in order to adequately dispose of the CITY effluent during wet and
inclement weather, and particularly during the winter months when
such effluent is unsuitable for agricultural purposes.
VIII.2 It is mutually agreed by the parties hereto that CITY may
y� sell and deliver to any other firm, corporation, partnership, associ-
ation or individual, for industrial use, City effluent upon such
terms and conditions and for such price as it may determine, and
further, that CITY may take, use and divert CITY effluent for its
own uses and purposes during the term of this contract and upon the
following terms, provisions, conditions and payments to COMPANY,
to -wit:
VIII.3 RATE AND PAYMENT
For and in consideration of.the sewage effluent water to
be sold by CITY under the terms of any contract, executed with
Southwestern Public Service Company, Amarillo, Texas, or any other
person, firm, partnership, corporation or association, herein agreed
to for industrial purposes, or for effluent diverted by the CITY
for its own use and benefit,.as contemplated by this contract, the
rate per one thousand (1,000) gallons of effluent so sold or used
is to be paid each month by CITY to COMPANY as follows:
A. CITY agrees to pay COMPANY an amount equal to one cent
(14�) per one thousand (1,000) gallons of constant flow
of City effluent as hereinafter defined and two and
one-half cents (2 1/2G) per one thousand (1,000) gal-
lons of demand flow as hereinafter defined.
Page 9.
y j
r < < n
B.. "CONSTANT FLOW" shall be defined herein as the average•'. •
daily flow of effluent delivered to.all recipients,
including the City of Lubbock,. and other. than COMPANY,.
computed on the minimum weekly flow .of a• contract • year .
hereunder'..
C.. "MINIMUM WEEKLY'FLOW" shall be 'defined herein as the
smallest number of gallons of effluent delivered to
all recipients, including the City of Lubbock,. but ex
cluding COMPANY,, during. any one week in a contract year., .
D. "A CONTRACT.'YEAR". shall be defined herein'as each success
ive twelve. -month *period beginning on the effective date:
-of this contract and ending on -each successive`anniver"
sary date -during the term hereof.
E..- "DEMAND FLOW" for purposes of this agreement shall be
defined as.•a117 effluent furnished to'all recipients
including the .City of Lubbock,. excluding the COMPANY,.
in excess of the constant flow hereinabove defined.:.
VIII A All payments. -due COMPANY hereunder. shall be finally - cal- '
culated'as of the.end of each .contract year as defined above...
Provided, however, such payments shall.be made in twelve .(12) eguai,..
monthly 'installments during such .contract year. The anticipated
amount of the monthly payments shall be agreed .upon in advance by.
the .parties. hereto._ and shall be substantially equal to one -twelfth '.. •'
(1/12th): of the anticipated annual payment due COMPANY. It is
understood in this regard that good faith 'shall- be exercised by ,
the 'parties in arriving at .the amount of the monthly payment.and '
due consideration shall be given to past'annual payments hereunder;
it is further agreed that.during the first contract year an esti-
mation.will be made.by. the parties of the probable constant flow
and the probable -demand flow, taking into consideration the projected
usage"by. industrial , or other recipients, including CITY,., of •,effluent •
Page 10.
� R - �
and. an annual payment will be projected- therefrom and one -twelfth
(1/12th) of that projected payment will be made monthly to COMPANY. .
Such monthly payments shall be made on the first.day of each and
• every month::
Within thirty. (30) days after: termination of each contract
year during the term hereof, appropriate'.calculations based upon
metered effluent flow will be made by. the .parties hereto as to con-
stant flow (as herein defined) and demand flow .(as, herein defined)"
e` effluent not delivered to COMPANY during the prior contract year
as well as the payment due and owing COMPANY. under. the payment terms
hereinabove provided. If it be determined that the estimated monthly -
payments theretofore paid by CITY during the prior contract year was. -
less than the calculated.payment due COMPANY as herein provided, then
CITY agrees to pay COMPANY such deficiency within seven (7) Hays.
In the event it be'determined that the estimated monthly payments
theretofore paid C0:QANY by CITY exceeded the _calculated payment .
.'due 'COMPANY as. herein, provided, then such overpayment will be ad-
justed by subtracting such overpayment from the first monthly pay-
ments 'due COMPANY during the following contract year.
ARTICLE 'IX.
IX.1' 'MEASURING EQUIPMENT -AVAILABILITY OF CITY RECORDS TO COMPANY
It shall be the responsibility of CITY at its. expense'to
install and maintain a controllsystem for the purpose of making
satisfactory delivery of effluent to all recipients, including CITY,: -
other than COMPANY, and to meter the daily flow thereof by a master
-meter of standard type for properly measuring the flow of water or.
a number of master meters,'.as the CITY elects.. The unit of measure-
ments for effluent metered as herein provided shall be one thousand
gallons (1,004 gal.) of water, U. S. Standard Liquid Measure. COMPANY_
shall have access at -all times to such metering equipment, but the
reading, calibration•'and adjustment of the meters shall be done'
Page ll.-
' �-C
only by employees or agents of the CITY. COMPANY will be notified'
when CITY plans to test or calibrate any of its meters so that
..COAIPANY may be represented if it so desires. Thq CITY shall keep
a true record of all meter readings as transcribed from the reports
..of CITY'S employees or agents with respect thereto. Upon written
request of COMPANY, the CITY will give COMPANY such information as
it may request fromthe .CITY'S record books or journals or permit .
the COMPANY to have access to the 'same'in the office, of.the City.
during business hours.- The CITY hereby agrees to calibrate its
metering equipment as often as it considers necessary and at such
other time-as.COMPANY may show reasonable evidence of error in
such metering equipment. In the event a meter is out of service
or out of repair so that the amount of effluent cannot be ascertained'.
or computed from the reading thereof, the effluent flowing during
such period the meter is out -of service .or repair,.shall be agreed
upon by the parties hereto, by.correcting the error if the percent-
age .of the error is ascertainable by calibration tests or mathemati-
cal calculations or by estimating the quantity of effluent delivered
during preceding periods under similar conditions when the meter was
registering accurately.
2 •
CITY agrees to furnish unto COMPANY. three (3) outlets on
the Southwestern Public Service Company pipeline .to be .constructed
from the City Sewage Disposal•Plant to the Southwestern Public Service
Company facilitiy, at locations to be agreed by the parties hereto,.
in order to facilitate the disposal of effluent by COMPANY upon lands'
controlled by it. It is agreed that COMPANY will not make demand
for delivery of effluent from such outlets if it will reduce or make
impossible the delivery of the demand flow of effluent to Southwestern
Public Service Company and other third party recipients. CITY
further agrees that it will bend every effort -in negotiating
future contracts to secure authority with purchasers of effluent
Page
for -provisions of additional outlets for the benefit of COMPANY to
facilitate effluent dispersal and disposal.
IX.3
In order to facilitate the expedient and,efficient disposal
of -City effluent by COMPANY on lands controlled by COMPANY, the CITY
t
agrees to immediately give notice to COMPANY of all contracts for the,
sale of effluent to third parties, additional usage of effluent by
the CITY for its own purposes, and the anticipated projected amounts
of. effluent to be -sold or used by the CITY on a daily demand and
constant flow basis. it being recognized that such notice needs to
be given as far in advance as possible in order that COMPANY may make
necessary adjustments in its effluent disposal program.
ARTICLE X.
X.1 SALE OF EFFLUENT BY COMPANY
Nothing contained in this contract shall prohibit COMPANY from
selling or disposing of any or all of the effluent delivered to it
to any other firm, person, association, partnership or corporation
for agricultural use. Such sale shall be subject to all of the other
terms and conditions and rights of the CITY to sell effluent to third
parties or its own.use thereof. Provided COMPANY may sell effluent
for other purposes with consent of CITY.
T Om Tt`T.F VT
Xi.I
If for any reason CITY fails to pay unto COMPANY the monthly
payments as herein provided, then CITY hereby agrees that the certain
water lease contract entered into by and between J. Frank Gray and
Wylie Hudman and the City of Lubbock on even date herewith shall,
at the option of J. Frank Gray and Wylie Hudman terminate if such
payment remains delinquent and unpaid after sixty (60) days from
mailing notice of such delinquency, without waiving any remedy at
law or in equity.
ARTICLE XII.
X::I.l TERM OF CONTRACT
I
Notwithstanding any other provisions of this contract, the
Page 13.
term of this contract is from the date set forth hereinabove until
December 31,.1990, and thereafter until either party shall give
the other party five years .(5.yrs.) notice in writing of its
intention to terminate the'same.. Notice to be transmitted by
registered or certified mail with return receipt requested.
ARTICLE XIII.;
XIII.1 GENERAL PROVISIONS
It is agreed that all of the terms, provisions and conditions
of this contract fully supersede and cancel all of the terms, condi-
tions and provisions of that certain contract entered into by the .
parties hereto on the 28th day of April, 1960.
XIII.2 Where the terms of this contract provide for action to be
based upon the opinion or determination of either party to this
contract, whether or not stated to be conclusive, said terms shall
not be construed as permitting such action to be predicated upon
arbitrary, capricious, or unreasonable opinions or determinations.
XIII.3 Any notice authorized or_required by this contract shall
be deemed properly given, if mailed, postage prepaid, Certified
Mail, Return Receipt Requested, to the Office of the City Secretary
of the 'City of Lubbock, on behalf of the'CITY, and to COMPANY at
Box 711, Lubbock, Texas.,
XIII.4 In the event CITY should acquire title to the Gray and
Hudman lands,.this contract shall terminate.
XIII.5 If any provision of this agreement be invalid under exist-
ing law or would operate under existing law to render this agreement
unenforceable, then such provision, insofar as it is necessary to
render this agreement enforceable under existing law, shall be
deemed to be deleted herefrom and this agreement in all other
respects shall remain in full force and effect, subject to specific
options granted to Company hereinabove.
.Page 14.
XIII..6 FORCE MAJEURE
Neither party shall be liable for any delay or default in
performance hereunder due to any cause beyond its control, including
but not limited to acts of God., or the public enemy, acts or requests'
t
of any County, State or Federal officer,,' agent or agency purporting
to act under duly constituted authority or any court order, wars,
floods, riots, fires, storms, strikes,.lotkouts, interruptions of
transportation, freight embargos or failures, exhaustion or unavail-
ability on the open market or delays in delivery of material, equip-
ment or services necessary to the performance of any provision here-
of, or happening of unforeseen acts, misfortune or casualty whereby.
performance hereunder is delayed or prevented, which performance.
is prevented by such cause; provided, however, that the party so
affected wili use its best efforts to remedy the situation:
ARTICLE XIV.
This agreement is binding upon the respective successors,.
._executors and assigns of the parties hereto.
CITY OF L OCK
ATTEST: \
By ..
LL Q W. D. Rogers, r. Mayor
taty
STANDEFER .& GRAY, INC.
By .. %�.
Pres dent
Attest:.
Se�.cretpery
Page 15.
PROVIDED, HOWEVER, that the above Amendment is conditioned
upon the following two (2) contingencies:
(A) That a sewage effluent pipeline contemplated
to be constructed with funds derived from a grant from
a U. S. Governmental Agency and extending from the
present City of Lubbock sewage disposal system to the
North boundary line of the proposed research and develop-
ment tract of land consisting of approximately four
thousand (4,000) acres lying immediately North of Wilson,
Lynn County, Texas, is constructed;
(B) That Mr. and Mrs. J. E. Hancock, their heirs
or assigns, have executed a Contract whereby said four
thousand (4,000) acre tract referred to in Paragraph (A)
above, shall be obligated to and used for the purpose of
environmental and crop production research and disposal
of sewage effluent thereon.
WITNESS OUR HANDS and seal of office the date first herein -
above written.
ATTEST:
City Secretary
ATTEST:
% '� i
Secretary
THE CITY OF LUBBOCK
By:
ROY BASS, Mayor
STANDEFER & GRAY, INC.
BY: �� ' K
•J. FRANK GRAY, President
-2-
KJ: th
BE IT RESC .'ED BY THE CITY COUNCIL OF THE CITY 01 ,UBBOCK:
THAT the MAYOR of the CITY OF LUBBOCK, BE and is hereby
authorized and directed to execute a Supplemental Contract between the
CITY OF LUBBOCK and STANDEFER & GRAY, INC., attlached herewith
which 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 23 day of March
ROY BASS, MAYOR
ATTEST:
11% v% ' S
Treva Phillips, City Secr'tary-Treasurer
APPROVED AS TO FORM:
� �14 ��- Z'
Fred O. Senter, Jr., City Attorndy
, 1978
r,
r
CERTIFICATE OF CORPORATE RESOLUTION
I, J. B. POTTS, Secretary of STANDEFER & GRAY, INC., do
hereby certify that said corporation is duly organized and existing
under the laws of the State of Texas; that all franchise and other
taxes required to maintain its corporate existence have been paid
when due and that no such taxes are delinquent; that no proceedings
are pending for the forfeiture of its Certificate of Incorporation
or for its dissolution, voluntarily or involuntarily; that it is
duly qualified to do business in the State of Texas and is in good
standing in such State; that there is no provision of the Articles
of Incorporation or By -Laws of said corporation limiting the power
of the Board of Directors to pass the resolution set out below and
that the same is in conformity with the provisions of said
Articles of Incorporation and By -Laws; that the Secretary is the
keeper of the records ancj minutes of the proceedings of the Board
of Directors of said corporation, and that on the llth day of
August, 1980, there was held a meeting of the Board of Directors
of said corporation, which was duly called and held in accordance
with the law and the By-laws of the corporation, at which meeting
all of the Directors were present; and that at said meeting the
following resolution was duly and legally passed and adopted and
that the same has not been altered, amended, rescinded or repealed
and is now in full force and effect:
RESOLVED, that STANDEFER & GRAY, INC. ("Corapany")
execute with the City of Lubbock the Addendum to
Lease Agreement, a copy of which is attached hereto;
RESOLVED, that Company execute with Lubbock Christian
College Institute of Water Research ("Institute") the
Sewage Effluent Supply Contract, a copy of which is
attached hereto;
RESOLVED further, that J. Frank Gray as President and
J. B. Potts as Secretary be authorized to execute on
behalf of Company any and all instruments necessary
or appropriate to effect or carry out these contracts;
BE IT FURTIiER RESOLVED that J. Frank Gray be appointed
as the designated agent of Company for -purposes of
advising City as to the percentage of sewage effluent
to be delivered to Company Lagoons.
Y
IN WITNESS WIiEREOF,.I have hereunto set my hand as Secretary
of said corporation and have attached hereto the official seal
of said corporation this llth day of August, 1980.
// Itl
J Potts, Secretary
(Seal)
I hereby certify that I am a Director of said Corporation
and that the foregoing is a correct copy of the resolutions passed
as therein set forth, and that the same is now in full force.
�Til.Gd�
J. Frank Gray, Dire 6Pr
I
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Controls and valve
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L C C "INSTITUTE OF R1
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.WATBR
'x T Y r ti '.TW .
- k
EXHIBITS
(a)
LEASE AGREEMENT BETWEEN Y
CITY OF LUBBOCK AND
STANDEFER & GRAY, INC
*x
(as amended)
? (b)
ADDENDUM TO ABOVE
iA�S
I n n J l ." V f 1 C. Al .
COUNTY OF LUB -K
..I
LCC INSTITUTE OF WATER RESEARCH
-------------------------
RESOLUTION
CALLED MEETING
August 13, 1980
BOARD OF DIRECTORS
LCC INSTITUTE OF WATER RESEARCH
LUBBOCK, TEXAS'
BE IT RESOLVED: That Lubbock Christian College Institute of Water
Research hereby approves and authorizes execution of a certain
contract entitled "SEWAGE EFFLUENT SUPPLY CONTRACT", a contract by
and between .Lubbock Christian College Institute of Water Research
and Standefer and Gray, Inc., a Texas Corporation said contract
providing for supply of City of Lubbock Sewage effluent of Lubbock
Christian College Institute of Water Research by said Standefer and
Gray, Inc.; and that T.A. Hicks and Harvle Pruitt of Lubbock
Christian College Institute of Water Rese'arch be and is hereby
authorized to execute said contract in the name of and as the act
of said Lubbock Christian College Institute of Water Research
(LCCIWR), and to prepare and negotiate and execute any other
documents, Including amendments thereto, necessary to bring about
the carrying out of said contract.
MAjORiTY OF BOARD MEMBERS PRESENT: Yes
MOTION TO PASS RESOLUTION: Harvle Pruitt, Board Member
NOTION SECONDED BY: Don Gregory, Board Member
NOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above Is true and
correct copy of the resolution passed by the Board of Directors,
LCC Institute of Water Research Corporation at a called meeting
held on the 13th day of August 1980, at which meeting a majority of
the members of the said Board were present, and I further certify
that said resolution is in full force and effect as of the date
hereof.
DATED: This 13th — day of August__, A.D., 19 80 .
------_�' -r -----------
Secretary, Board of Directors,
LCC institute of Water Research
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
T.A_HIcIts , known to me to be the person and
officer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
LCC In's-titute of Water Research.
IVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of
N y u b l i c — —— -----
u ock County, Texas
y Commission Expires________
THE STATE OF TEXAS
COUNTY OF LUB� K
LUBBOCK CHRISTIAN COLLEGE INVESTMENT CORPORATION
------------------------------
RESOLUTION —
CALLED MEETING
August 13, 1980
• BOARD OF•DIRECTORS
LUBBOCK CHRISTIAN COLLEGE
" INVESTMENT CORPORATION
LUBBOCK, TEXAS
BE IT RESOLVED: Lubbock Christian, College Investment Corporation
(LCCIC) hereby approves and accepts and authorizes the execution of
a certain contract entitled "SEWAGE EFFLUENT SUPPLY CONTRACT", a
contract by and between Lubbock Christian College Institute of
Water Research and Standefer and Gray, Inc., a corporation, said
contract providing for supply of City of Lubbock Sewage effluent to
Lubbock Christian College Institute of Water Research by said
S a n d e f e r and Gray, Inc.; and that Harvie Pruitt and J.6. Potts of
said Lubbock Christian College Investment Corporation be and is
hereby authorized to execute said contract in the name of and as
the act of said Lubbock Christian College Investment Corporation,
and to prepare and negotiate and execute any other documents,
including amendments thereto, necessary to bring about the carrying
out of said contract.
MAJORITY OF BOARD MEMBERS PRESENT: Yes
MOTION TO PASS RESOLUTION: J.W. Hamby, Board Member
MOTION SECONDED BY: J.B. Potts, Board Member
MOTION PASSED: By Unanimous Vote of Board Members Present
CERTIFICATION
I hereby certify and acknowledge that the above is true and
correct copy of the resolution passed by the Board of Directors,
Lubbock Christian College Investment Corporation at a called
meeting held on the 1 3 t h day of August 1980, at which meeting a
majority of the members of the said Board were present, and I
further certify that said resolution is in full force and effect as
of the date hereof.
DATED: This_ 13th-- day of.....Augus/ A.D., 19 80 .
- -- -J --- -------------
Secr ary, Board of Directors,
Lub ock Christian College
Investment Corporation
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, a Notary Public in and
for said County and State, on this day personally appeared
_ .B. Potts ________ , known to me to be the person and
officer whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and
consideration therein expressed and as the act and deed of the said
Lubbock Christian College Investment Corporation.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 13th _ day of
A.D., 19 80 .
r
to y Public
L ock County, Texas
My Commission Expires
a
THE STATE OF TEXAS §
§ SEWAGE EFFLUENT SUPPLY CONTRACT
COUNTY OF LUBBOCK §
THIS AGREEMENT is made this 1a7 day of ,� �, , 1980,
by and between STANDEFER & GRAY, INC., a Texas corpora ion, as
"Company", and LCC Institute of Water Research, a Texa, corporation,
as "Institute". V
W I T N E S S E T H:
WHEREAS, Company has a lease agreement with the City of
Lubbock, as "City", dated May 1, 1968, as amended March, 1978, a
copy of which is attached hereto as Exhibit "A"; and
WHEREAS, the agreement attached as Exhibit "A" provides that
City will pump all of its sewage effluent to lands owned or under
control of Company; and
WHEREAS, Institute has approached Company with an offer to
provide an additional discharge site for sewage effluent located in
Lynn County, Texas, hereafter referred to as "Institute lagoon"; and
WHEREAS, an addendum to Exhibit "A" is required to allow City
to pump sewage effluent to the Institute lagoon and said addendum
is attached hereto as Exhibit "B."; and
WHEREAS, said Exhibit "B" requires an agreement to be executed
between Company and Institute; and
NOW THEREFORE, Company and Institute agree as follows:
I.
Recitations as to Current Volume and Usage
A. The present volume of sewage effluent delivered to Company
is approximately 15,000,000 gallons per day averaged over the
entire year. As the city grows, this volume is expected to increase
proportionately.
B. Under the contract and addendum attached as Exhibit "A"
and Exhibit "B" the City may divert sewage effluent for its own
use or for industrial purposes at any time and thereby limit the
volume of effluent available to Company or Institute.
C. It is contemplated that there is a sufficient volume of
sewage effluent to satisfy the requirements of Institute for the
4,000 acres and the agricultural needs of Company.
II.
Amount of Sewage Effluent to be Pumped to Institute Lagoons
Company agrees to furnish to Institute the following sewage
effluent to be used only for agricultural or research purposes:
A. The total effluent available to Company and Institute
shall be divided 50% to Company and 50% to Institute.
B. To the extent Company has excess effluent from its 50%
over and above its needs for its own use or for service to others,
then Institute additionally agrees to accept all such excess up to
its maximum pipeline capacity.
C. To the extent that Institute has an excess from its 50%
over and above its needs, then Company shall have the right to
such excess to meet its needs for its own use or service to others.
D. J. Frank Gray, or his successor, as Agent for Company,
shall .also be appointed and designated by Institute, Hancock, and
LCCIC,as the person to advise the city of the percentage of effluent
to be pumped to the Institute lagoons and to the Company lagoons.
From time to time and. at least annually Institute shall submit
in writing to Frank Gray an estimate of its requirements of effluent
for research purposes. In no event shall Frank Gray or his successor
have any liability to Institute or Company for the volume of
effluent actually pumped by City to the Institute lagoons or to the
Company lagoons, except for willful. fraud or capricious acts.
E. institute- agrees to pay a reasonable service charge to
Company for all sewage effluent which is used or disposed of on the
4,000 acre tract, by any firm, person, association, partnership,
or corporation, including Hancock, LCCIC and Institute, whether
for agricultural or research purposesi provided, however, neither
EPA nor Institute will be obligated to pay any service charge for
sewage effluent used in any particular year for intensive research
on any of the 5% of the 4,000 acre tract designated and used in that
year for intensive research and not for agricultural purposes.
2
The amount of this service charge shall be $21.00 per year
per acre of land to be used for agricultural purposes for the
calendar years 1981, 1982, and 1983. Said service charge is to
be paid in advance in January of each calendar year and shall
be based upon the total acreage to be used for agricultural
purposes during said year. The service charge is paid for the
right to use the sewage effluent and is therefore fully accrued
and non-refundable, even if no sewage effluent is actually used
by a particular tract or farmer.
It is anticipated that the pipeline to the 4,000 acres will
be completed during the first part of 1981, and therefore during
this year the $21.00 per acre shall be calculated on a pro-rata
basis according to the percentage of months remaining in the year
after the effluent is available and shall be paid in December,
1981.
The amount to be paid as service charge shall be renegotiated
every 3 years during the existence of this contract. During the
last 3 months of 1983 the parties will negotiate and agree upon
the amount of service charge to be paid for the calendar years
1984, 1985, and 1986. During the existence of this contract the
same procedure shall be followed during the last 3 months of each
3-year term for the following 3 years.
The price to be negotiated shall be based upon the current
fair market value of such use of effluent during the next 3 years;
provided, however, during the existence of this contract the
amount of this service charge shall never be less than $21.00 per
year per acre of land to be used for agricultural purposes. All
service charge paid by any party for effluent used or
disposed on said 4,000 acres shall always be paid to Company, and
no other party shall claim or collect any additional service charge.
In the event the amount of the service charge cannot be agreed
upon by the parties, the issue of the fair market value shall be
submitted to arbiters as hereinafter provided.
3
t t,
F. Institute agrees to defend and hold harmless J. Frank Gray;
the Estate of Lily Wilkins Gray, Deceased; and Company from any
claim or claims arising out of the use, transportation, or storage
of the sewage effluent from and after the time it is placed in the
Institute pipelines.
Contract between City and Company
This agreement is subordinate to and specifically subject to
all the terms and conditions set forth in Exhibit "A" and Exhibit
"B", which provide, among other things:
(1) The City's right to use at no cost for its purposes
during any calendar year the volume of sewage effluent specified
in paragraph 2 of Exhibit B.
(2) The City's right to sell and deliver to others any
sewage effluent for industrial purposes and the right to use for
its own purposes sewage effluent in excess of the volume set out
in the immediately preceding paragraph (paragraph 2 of Exhibit B;
paragraph VIII 2, Exhibit A), but said right is subject to payment
of service charge (referred to as royalty in Exhibit A) to Company
r
by City. In this respect Institute understands that Company shall
be solely entitled to any and all such payments and that neither
Institute nor any other party shall ever be entitled to or claim
any such payments.
(3) Notwithstanding any agreement herein between Company and
Institute, City has the absolute right when necessary for the com-
plete disposal of the sewage effluent at any point in time, to pump
any amount of sewage effluent to either Company's lagoons or lagoons
under control of Institute. Company and Institute both agree to
take all such sewage effluent under such circumstances.
(4) Company's right to deliver sewage effluent to other
entities as provided in Article X 1 of Exhibit "A". In this
respect, Institute agrees that Company shall be solely entitled
4
N
to any and all such payments and that neither Institute nor any
other party shall ever be entitled to or claim any such payment.
(5) This contract is specifically conditioned upon Company's
being able to enter into a contract similar to that attached hereto
as Exhibit "B".
(6) The term of this agreement shall run contemporaneous
with and expire or terminate at the same time as Exhibit "A".
IV.
Contract Runs with Land
It is understood that Institute subleases approximately 4,000
acres from LCCIC, which in turn leases the property from J.E. Hancock.
It is also understood that this 4,000 acres is to be used for the
disposition of the sewage effluent diverted to Wilson. Accordingly,
LCCIC and Hancock specifically agree to all the terms and conditions
herein as if their names were inserted every place the Institute's
name appears in this agreement. In the event the Institute, LCCIC,
or other party in possession of the property fail to perform the
obligations of this contract, then and in that event, Hancock and
LCCIC fully agree jointly and severally to be bound by this contract
and to accept and dispose on said 4,000 acres all water to be
diverted to the Institute lagoon herein and to pay the service charges
as herein specified.
The covenants and obligations of this agreement, so long as
it exists, shall be considered covenants running with the land, and
any sale, assignment, leaser conveyance or other transfer of all
or any portion of the lands shall be subject to the obligations,
covenants, and agreements of this contract, and any purchaser,
assignee, lessee, or other transferee of all or any portion of the
lands shall be required to assume and perform to the extent
necessary those obligations, covenants and agreement of the
Institute, LCCIC, and/or Hancock hereunder.
V.
General
A. Nuisance. Institute agrees to properly distribute such
effluent at its expense onto the lands owned by Hancock, which
lands have been subleased to Institute as shown by the sublease
attached hereto as Exhibit "C". It is further agreed that when
necessary, due to extended wet or inclement weather, or any other
reason, Institute may, in order to comply with its obligations
hereunder, provide emergency storage facilities at its own cost
and expense, and does hereby covenant with Company to exercise
care to prevent such effluent from draining onto lands not owned
or controlled by Institute unless otherwise permitted by the owner
or owners of such land given in writing, which shall be subject to
all of the terms, conditions and covenants contained in this
Agreement. Institute does further covenant with Company to handle,
distribute and/or store and to otherwise dispose of such sewage
effluent upon such lands in such manner as not to substantially
increase the density of odors emitting therefrom, or from spreading
and causing additional discomfort and annoyance to nearby inhabitants,
and not to use or suffer to be used such effluent in such a manner
as to constitute a nuisance, when and after the same is placed on
said lands and to keep and maintain all premises in such condition
as to conform with all federal, state, and local health regulations,
whether now or hereafter established.
Institute, LCCIC, and Hancock, jointly and severally, further
agree that, upon receipt of written notice, authorized by any
governing body, that the sewage effluent disposal is operating as a
nuisance in violation of said federal, state, or local health regu-
lations, to correct and abate such condition in a reasonable time.
B. Specific Performance.' The parties hereby declare that it
is impossible to measure in money the damages which will accrue to
a party hereto by reason of a failure to perform any of the
6
obligations under this agreement. Therefore, if any party hereto
shall institute any action or proceeding to enforce the provisions
hereof, any party or person against whom such action or proceeding
is brought hereby waives the claim or defense therein that the
party instituting such action or proceeding has an adequate remedy
at law, and such party or person shall not urge in any such action
or proceeding the claim or defense that such a remedy at law exists.
C. Delivery or Disposal of Effluent to Other Parties. With
the written consent of Company, which consent shall not be unrea-
sonably withheld, Institute may also dispose of or deliver sewage
effluent for agricultural purposes onto lands other than the 4,000
acres described in Exhibit "C".
Such delivery or disposal shall be by written agreement between
Institute and the person or entity to whom the effluent is delivered.
This written agreement shall provide that it is subject to the terms
and conditions of this contract and shall provide for a service
charge to be paid annually in advance for the use or disposal of
said effluent; provided, however, that said charges shall never be
less than $21.00 per acre per year. All such charges to be paid
to Institute shall also be paid by Institute to Company, and no
person or entity shall ever claim or collect additional charges.
Immediately upon the execution of any such contract, Institute shall
pay to Company all such charges contracted to be paid to Tnstitute
during the first year, and thereafter Institute shall be liable and
responsible to pay Company all such charges as they accrue to be
paid to Institute whether or not Institute ever collects said
charges from said person.or entity,
D. Arbitration. If arbitration is required to establish the
fair market value of the services for the disposal of sewage effluent,
then each party shall name and appoint a person (one)_ as an arbiter
on its part, and thereupon the two arbiters who are appointed shall
have authority to appoint a third arbiter; but if they shall fail
7
to do so within ten (10) days after being notified of their
appointment, then either party to this contract may, upon two (2)
days' written notice to the other party, apply to any judge of
a district court residing in Lubbock County, Texas, and if such judge
should refuse to make such appointment within ten (10) days, then
to any other district judge residing in said county, for the appoint-
ment of such third arbiter, which shall thereupon, by such judge, be
duly made, and the three arbiters so chosen shall appraise and
thus determine the fair market value, and the award duly made by
such arbiters or any two of them, shall be binding and final for
the purposes of this contract except that either party hereto
reserves the right of appeal, as provided by law, and the court to
which said appeal may be made shall hear said cause de novo.
E. Force Majeure. Neither party shall be liable for any
delay or default in performance hereunder due to any cause beyond
its control, including but not limited to acts of God, or the
public enemy, acts or requests of any County, State, or Federal
officer, agent or agency purporting to act under duly constituted
authority or any court order, wars, floods, riots, fires, storms,
strikes, lockouts, interruptions of transportation, freight embargos
or failures, exhaustion or unavailability on the open market or
delays in delivery of material, equipment or services necessary to
performance of any provisionhereof, or happening of unforeseen
acts, misfortune or casualty whereby performance hereunder is
delayed or prevented, which performance is prevented by such cause;
provided, however, that the party so affected will use its best
efforts to remedy the situation.
F. Not Assignable. This contract may not be assigned, sublet,
or assumed without the expressed written consent of Company.
G. Notice. Any notice required to be given Institute in
writing shall be sufficient if by certified mail to the following
address: LCC Institute of Water Research
5601 19th Street
Lubbock, Texas 79407
8
W
Any notice required to be given Company in writing shall be suffi-
cient if by certified mail to the following addresses:
Standefer & Gray, Inc. and J. E. Hancock
c/o McWhorter, Cobb & Johnson c/o Norton Baker
1502 Avenue Q 2112 Indiana
Lubbock, Texas 79401 Lubbock, Texas
H. Contingent upon Construction of Pipeline. This contract is
contingent upon the pipeline's being constructed to the 4,000
acre tract at Wilson, Texas.
I. Release of Hancock. The personal liability of J. E. Iiancock
and wife, Eileen Hancock, and their estates under this contract
shall pass to their successors in interest in all or any part of
the ownership of said 4,000 acres, and they shall have no further
personal liability if and when they have no further interest in
said 4,000 acres.
J. Rights on Termination. In the event the contract between City
and Company (Exhibit A) is terminated and Institute continues to
have access to said sewage effluent, then Institute agrees to con-
tinue to divide the available effluent with Company on a 50/50 basis
for as long as it has access to said effluent.
THIS AGREEMENT, executed in multiple originals, is binding upon
the respective successors, executors, and assigns of the parties
hereto.
STANDEFER & GRAY, INC.
Attest: By: il
✓ ,�llLyG 1,�-'<`�'��
�/J. Frank Cray, Pre dent
J(./B. Potts, Secretary
Attest:
Secretary
Attest:
Y.
j Secretary
LCC INSTITUTE OF WATER RESEARCH
By:
LUBBOCK CHRISTIAN COLLEGE
INVESTMENT CORPORATION
By: 9L&t__
T. Hancock Eileen Hancock
9
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared J. FRANK GRAY, known
to me to be the person and officer whose name is subscribed to the
foregoing instrument and acknowledged to me that the same was the
act of the said STANDEFER & GRAY, INC., a Texas corporation, and
that he executed the same as the act of such corporation for the
purposes and consideration therein expressed, and in the capacity
therein stated.
IVEN UNDFR MY HAND AND SEAL OF OFFICE this / day of
1980.
No y Public in and for
L b ock County, Texas
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, and f aid County
and State, on this day personally appear �e�� known to
me to be the person and officer whose na is subs abed to the
foregoing instrument and acknowledged to me that the same was the
act of the said LCC INSTITUTE OF WATER RESEARCH, a corporation, and
that he executed the same as the act of such corporation for the
purposes and consideration therein expressed, and in the capacity
therein stated.
GIVEN DER MY HAND AND SEAL OF OFFICE this day of
1980.
Notary Public in 4anAttoor
Lubbock County, Texas
THE STATE OF TEXAS
COUNTY OF LUBBOCK
BEFORE ME, the undersigned authority, nd for id ounty.
and State, on this day personally appeared ,
known to me to be the person and officer se name s su scribed
to the foregoing instrument and acknowledged to me that the same
was the act of the said LCC INVESTMENT CORPORATION, a Texas
corporation, and that he executed the same as the act of such
corporation for the purposes and consideration therein expressed,
and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
1980.
gj� � -
Notary.Public in and for
Lubbock County, Texas
10
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared J. E. HANCOCK, known
to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed the same for
the purposes and consideration therein expressed.
GIVEN U DER MY HAND AND SEAL OF OFFICE this )- day of
1980.
Nota y Public in and fo
Lubbock County, Texas
THE STATE OF TEXAS §
§
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, in and for said County
and State, on this day personally appeared EILEEN HANCOCK, known
to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that she executed the same for
the purposes and consideration therein expressed.
GIVEN UIDER MY HAND AND SEAL OF OFFICE this �3 day of
1980.
Notar u lic in and for
Lubbock County, Texas
11
TH't STATE OF TEXAS' X
X
COUNTY OF LUBBOCK X
LEASE AGREEMENT
KNOW ALL MEN BY THESE PRESENTS:
THIS CONTRACT made this day of d` , 1968, by and
between the City of Lubbock, a home rule municipal corporation of
Lubbock County, Texas (hereinafter called "CITY"), and Standefer
& Gray, Inc., a corporation existing under the laws of the State of
Texas, with its principal offices at Lubbock, Lubbock County, Texas
(hereinafter called "COMPANY"), each acting herein by and through
its respective officers heretofore duly authorized.
W I T N E S S E T H T H A T
That the CITY and COMPANY hereby mutually agree that for and
in consideration of the extension of the terms of that certain lease
contract dated April -28, .1960, executed by the parties hereto, and
the additional consideration of the terms,. conditions and covenants
to be kept, done and performed by COMPANY, CITY does hereby lease
the lands hereafter described to the COMPANY for a period beginning
at the date hereof and ending on the 31st-day of December,.1990,
d"
subject.to the terms,; conditions and 'covenants.to be kept, done'and
perf ormed:by.the. parties hereto as follows:
ARTICLE I.
The land herein leased consists of approximately four hun
dred seventy (470) acres of land, described as follows:
Being all of Section 1, Block B, Lubbock County, Texas,
except the areas used for highway purposes and except
that part of said Section 1 owned by J. Frank Gray and
Wylie Hudman;and the Southwest One -Fourth (SW 1/4) of
Section 2, Block B, Lubbock County, Texas, except that
portion thereof containing about fifty-three (53) acres
lying North of the Fart Worth & Denver Railway Company
right of way; and all of that part of Section Eleven (11),
Block B, owned by CITY and described as follows, to -wit:
BEGINNING at a point in the Northwest corner of said
Section 11;
THENCE South along its West line 1421 feet to a point;
THENCE East 1176 feet;
THENCE North 427 feet;
THENCE West along the North line of said Section 1176
feet to the Place of "Beginning.
EXHIBIT "A" TO. SEWAGE �PFFLUENT•SUPPLY CONTRACT
i
1.1 The purposes for which the lands herein are leased is declared
to be for agricultural and livestock purposes and any other. contrary
use thereof shall, at the option of CITY, terminate this lease.
�I.2 The consideration to be paid by COMPANY shall be *a cash rental
of $3.00 per acre per year for all lands now in cultivation or that•ma•
be placed in cultivation by COMPANY. and it is agreed that $1,4.10.00 pe;
year is the agreed annual rental to be paid to CITY by'COMPANY.here
under. All rentals shall be•payable on the first day of January of
v .
each year, beginning January 1, .1969. Any installment of rental not .,
paid at the due date hereof, shall bear interest from said due date
until paid, at the rate -of eight per. cent (8%) per annum. If COMPANY
Y fails to pay the rentals when due within sixty (60) days after.demand
in.writing and delivered to COMPANY by registered or certified mail.
(with receipt requested) CITY. may at its option terminate this agree
\ment.
ARTICLE II.
II.1 It is_understood that the City of Lubbock's Sewage Treatment Pl
is presently.located and situated on the above'described land and the
City. -reserves the right to maintain, expand., operate,: change and alter
said plant or abandon or discontinue using the present sewage treatment
plant-and'to construct and maintain a sewage :treatment plant of equal
or greater capacity at another location in lieu of operating and main-
_ taining the sewage plant constructed or to be constructed in the
Northwest corner of Section 1,..Block B,. and the City agrees to pump
all of the effluent from the -present plant or additions thereto or pla
constructed in lieu of this plant into the'existingearthen storage
reservoirs now presently supplied from the existing plant at the expen
of the Ci-y, less and except such parts or portion of'effluent that-.
the City may sell to -industry and other recipients (specifically
excluding sales of effluent for agriculture purposes) and that effluen
W hic: City may use 'for its own purposes as hereinafter provided. Sew-
.• Zge affluent produced at sewage treatment plants at -locations more.
than 5280 feet from the Northwest corner of Section 1, Block B, is
specifically excluded from this contract.- The'City agrees no inaus-
• - Page 2.
c �-
trial users of effluent supplied from the plants in the Northwest corn(
of Section 1, Block B, shall be supplied from other sewage treatment
plants without the mutual consent of the parties hereto. As a part
of the consideration hereof company binds itself to accept such sewage
effluent at the earthen reservoirs referred to above 'and those reservo`
which may by agreement of the parties hereto be constructed in the futi
And the COMPANY further agrees to properly distribute such effluent at
its expense onto the lands herein leased and the lands.now owned by J.
Frank Gray and Wylie Hudman, which lands have been leased to COMPANY
from said J. Frank Gray and Wylie Hudman as shown by the Lease attache(
hereto as Exhibit,."A". It is further'agreed'that when necessary, due
to.extended wet or inclement weather, or any other. reason, the"COMPANY
may, in order to comply with its obligations hereunder, provide emer-
gency storage"facilities at its own cost and expense -,.and does hereby
covenant with CITY to exercise care to prevent such effluent from
draining into the Yellowhouse Canyon or onto lands not covered by this
.,Lease or to lands not owned or controlled by: COMPANY, unless otherwise
.permitted by the owner or owners of such .land given in writing, which
shall be subject .to all of the terms, conditions and covenants contain
in this Agreement. COMPANY does furthercovenant with CITY to handle,
distribute 'and/or store and to.otherwise dispose of such sewage.efflue:
--
upon such lands as aforesaid including the .lands covered by said Lease
or under. control of CITY in such manner as not .to substantially increa
the density. of odors emitting therefrom, or from spreading and causing
additional discomfort and annoyance to nearby inhabitants, and not to
use or suffer to be used such effluent in such a manner. as to constitu
a nuisance, when and after the same is placed on said lands and to kee
and maintain all premises in such condition as to conform with all Sta
and local health regulations, whether now or hereafter established by
State law or.promulgated by.the State Department of Health,.providedy.
ever, that such effluent is delivered.to the reservoirs herein referre
to in conformity with such regulations and laws.
I1.2 COMPANY further agrees that upon receipt of written notice,.
authorized by the governing body of the City of Lubbock, that COMPANY
is cperating due to its negligence.a nuisance in violation of said
State or local health regulations, to correct and abate such condi-
tion inA•reasonable time and to do such things as may be
- Page 3.
tA
gointed.out in: writing necessary to correct and abate such .condition.
If. such effluent should drain into the Yellowhouse Canyon through
negligence onithe part of Company or off the described lands onto
other lands, or if effluent should be*allowed or permitted to become
a•nuisance on 'account.of the manner in which 'the COMPANY handles. or.
fails to handle 'said effluent and is allowed to remain in such con
dition without -abatement for an unreasonable time after -.notice in
writing to COMPANY, or if such sewage effluent should be handled,.,
distributed ,or stored in such a manner as to -increase 'the density
of the odors -emitting therefrom or spreading so as to cause, other
than normal'annoyance and discomfort to nearby,inhabitants, the •CITY
may, after written notice, terminate .this contract.. The proper
spreading, 'storage or use ,of the effluent'as delivered. by.' the .CITY':
shall not be.*construed as a nuisance under: the. terms :of •this con—
tract.._ .
ARTICLE III:=
I1I.1 City -retains -and reserves the 'right during the teria of this-....'.
contract,. if it should elect, to use. any part of-the•lands owned by
it along•the Yellowhouse'Canyon rim, for the establishment and en-
largement of. the ."City. Dump ground for the disposal of trash'.and. gar-
bage hauled from the City., and to excavate where'necessary in the.:-
opinion of CITY to -provide more volume .for disposal of such ,trash
4
and garbage, together.with necessary road and roads for ingress and.
egress and necessary utilities to and from said dump ground and over-,,
and across said land toaccomplish 'the intent of this reservation.''°
'It further.reserves the -right to construct housing and living
quarters 'sufficient to accommodate City employees engaged in the
maintenance"and'operation of the dump grounds, provided, however,
upon the exercise of such 'option CITY will',• at its own cost and
expense,. replace the use and benefit of COMPANY a like amount.
of land refilled, ledelled and terraced in the :same manner- as .that
land so taken for additional dump ground hereunder. and• CITY will'
- ' Page A.
also make effluent available at the highest point on such'substituted
land..
ARTICLE IV.
IV.1 COMPANY. by these .prsents obligated. 'itself to take good care
of and cultivatethe'lands leased to it hereunder in a 'good*, farmer --
like• manner and not to make or suffer to be 'made. any alteration_ or
waste .that would be'in jurious to said land.'
IV.2 CON+PANY shall not, without the written. consent of CITY,
assign this -lease or sublease any part of the 'above leased land and
should said COMPANY -:attempt to assign -this 'lease or. sublease 'any or
all of.the above.des'cribed land, then and in that event, this -con-
tract-shall,`.at .the option of CITY, -.terminate as to all parties and
be'of no further.iorc*e and effect..
IV.3At.the termination of this Contract, COMPANY shall return
the land and leased improvements and surrender the possession thereof....,.
to'the'CITY'•in•as good condition as when received, ordinary wear and
tear excepted.:
- . IV A It is agreed that COMPANY shall -have the right upon termin- =
ation of this'1'ease contract to remove•from.the•above described City
.lands,.any improvements that may have been placed thereon by. it, in-
cluding fend s',• -.except 'outside boundary fences, .the two fences sep-
' arating•the cultivated lands from the canyon or pasture lands, and.
fences around the'sewage plant.
IV.5 Should.the`COMPANY during the life :of this contract fail or"••
refuse .to.keep and perform any of the 'covenants or conditions of
the same 'at the time and iis.the manner stated, CITY shall have the
right to enter into'said premises and takqt possession thereof without
notice or demand; except as-herein'provided, and without being guilty...-'
of trespass "and"without• re udice'-'to any other. remed the . CITY may
have::
- ' ...: .• ` . • Page. 5 ...
ARTICLE V. ,
V.l It is mutually agreed and understood that 'the above described
lands owned by CITY are possessed by. the CITY.for the primary purpose
of operating the City Sewage Disposal Plant,: and any'othee plants..
that may be constructed for this purpose,' and for the 'additional
purpose of disposing of City sewage,' and it is -the primary purpose'.
of this lease and contract to arrange 'for the continued disposal
of City sewage effluent in order to further. safeguard the health ..:
of its inhabitants, by. providing for the .above method'of effluent
disposal and care, and that .the .leasing of such .land by the CITY.
to COMPAzr for agricultural purposes is merely incidental to. the
CITY's ownership and this lease is.made .primarily for the purpose'
of affording additional facilities as hereinafter defined and man-
agement of effluent emitting from the City.'s sewage disposal sys-
tem and the consideration herein agreed to be paid by CITY as
Lessor herein, is in consideration of the services. to be performed
by CO,'iPANY, as Lessee herein, in handling, caring for and disposing.'_;
of all CITY effluent delivered to reservoirs by. CITY and the taking
thereof by.COMPANY. in'non-constant quantities,- all as is anticipated:
and provided for in this contract..
V.2 This Lease and Contract is,executed subject to all of the.
rights of. the City. of Lubbock which :it has in said lands, and, sub
ject .to the ..terms of . any oil and gas leases iniexistence, or to be ...
executed►by the .City of_Lubbock affecting such lands.
-V.3 It is further. agreed that if 'the effluent is delivered.to....
the reservoirs -in such condition that the maintenance of said water
in said reservoirs or the distribution thereof creates a nuisance
or it becomes toxic to such an extent that injury would result to
the land upon which :it is spread or make it impractical to use as
irrigation for. agricultural products or toxic to livestock, then,,•
in either -'event; COMPANY may. terminate .this contract after:,giving.
r
Page .6
I
written' notice .to CITY to correct or remove the conditions causing""
same,
ARTICLE VI.
VI.l Notwithstanding other provisions of this agreement it is
agreed that a breach by COMPANY of.any obligation arising hereunder. .'
•� -shall not -work a forfeiture or terminate this lease or -contract or -
"cause -the same .to be terminated nor be grounds for cancellation hereof
in whole or in part except as herein provided.'. 'In the event. CITY
considers:the.COMPANY is not complying with.the terms of this con-
: tract,• CITY :shall notify COMPANY in writing of the facts relied upon.
as constituting a breach hereof and COMPANY, if in default, shall
,. have a reasonable 'time., not exceeding one hundred fifty (150) 'days
after the receipt of such -notice, in which'to comply with the obli-
gations hereunder. as they may have been pointed out in writing as.
aforesaid..
ARTICLE VII.
VII..1 'Whereas;it is -anticipated that COMPANY will install. or.. -
cause .to be installed underground.pipelines to convey the effluent
upon.lands under its. control; hence, it is agreed that in such event,
and-if*this contract is terminated before .the term hereof, that -the
•.CITY will pay to COMPANY for such .pipe which 'will be depreciated
so far as this. 'agreement is -concerned at .the rate of five per.'cent
(5$) per year upon its costs,- and that.after applying such depreci-
ation, the.CITY.will pay to the.COMPANY, its.'successors and assigns,
a'sum equal.to one-half, (1/2) of the remaining cost thereof' provided
such pipe 'is in a good state of repair acid COMPANY has filed written
statement with:the City. Engineering Department showing actual cost
of pipe "and its. -location.. '
VII.2 .. '. ''It is Further. agreed that CITY. reserves: the right to con
struct necessary utility. lines and pipelines', in, Above,*and below
` the ground at any location on CITY owned land, provided -it does not
• Page .7.���
1�
interfere with the orderly operation by COMPANY of its effluent dis
posal system'•and subject to paying reasonable crop damages to.
COMPANY, if any occurs. CITY agrees to furnish .at commercial rates:.
and COMPANY agrees to use and timely pay for electric power.used '
and to be used in connection therewith•.:
VII.3 It is agreed the CITY will at its. own expense maintain four
•� (4) eighteen -inch .(1.8-in.) outlets -in the lagoon,reservoir consisting
of approximately twenty-three .(2.3) acres,- and CITY will provide and.
maintain at its own cost two .(2). pumps capable of pumping thirty
five hundred (3.1'500)..gallons of effluent per. minute at a head of
twenty-five..(25) feet.. In the maintenance'of the two pumps, the..
CITY. will keep installed and maintained the -pipe from the reservoir
to the intake -side of the pumps and provide valves at this point and.
COMPANY will take'the effluent from the output side of the two pumps
and at COMPANY'S cost provide and maintain pipe,. valves and other
appurtenances'necessary to carry effluent from the output'side,- In..
the .event of any default by COMPANY or its. tenants., agents,. servants.
or authorized assigns, the right'to take effluent as provided in this.
paragraph'shall cease and terminate..
VII.4 It is further agreed that in the eventthe CITY ever abandons
the use of the :twenty-three (23) acre reservoir constructed by the
` CITY upon Section 11,' Block B, owned by. J.• Frank .Gray and. Wylie
Rudman for.the purposes of effluent storage, whether at the end. of
the term of this contract,•or if terminated previously thereto, then
.CITY shall level .the surface of.said reservoir and place 'it in a
condition} suitable'for agricultural purposes at CITY'S expense.
ARTICLE VIII .- •
VIII11 It is mutually conceded.and agreed by the parties hereto
that COMPANY has for many years contracted for and has satisfactor-
I. ily disposed of•all of the. CITY effluent resulting in a financial
benefit to CITY in that the CITY has not been compelled .to construct,'
•• maintainand operate 'additional'f acilities' and sewage disposal and
treatment, plants., • The 'CITY recognizes' that as .a result of this
,•.:- Page 8..J
satisfactory contractual arrangement between CITY and COMPANY for
many years heretofore that.CITY'S effluent has been disposed of
at less cost to CITY than any other city in Texas experiencing the
same growth and population increase. CITY further recognizes that
COMPANY has expended large sums of money and made extensive capital
investment upon the lands owned by J. Frank Gray and Wylie Hudman
and upon other lands leased and controlled by said land owners,
in order to adequately dispose of the CITY effluent during wet and
inclement weather, and particularly during the winter months when
such effluent is unsuitable for agricultural purposes.
It is mutually agreed by the parties hereto that CITY may
sell and deliver to any other firm, corporation, partnership, associ-
ation or individual, for industrial use, City effluent upon such
terms and conditions and for such price as it may determine, and
further, that CITY may take, use and divert CITY effluent for its
own uses and purposes during the term of this contract and upon the
following terms, provisions, conditions and payments to COMPANY,
to -wit:
VIII.3 RATE AND PAYMENT
For and in consideration of the sewage effluent water to
be sold by CITY under the terms of any contract, executed with
Southwestern Public Service Company, Amarillo, Texas, or any other
person, firm, partnership, corporation or association, herein agreed
to for industrial purposes, or for effluent diverted by the CITY
for its own use and benefit,.as contemplated by.this contract, the
rate per one thousand (1,000) gallons of effluent so sold or used
is to be paid each month by CITY to COMPANY as follows:
A. CITY agrees to pay COMPANY an amount equal to one cent
(1�) per one thousand (1,000) gallons of constant flow
of City effluent as hereinafter defined and two and
-' one-half cents (2 1/2�) per one thousand (1,000) gal-
- Ions of demand flow as hereinafter defined.
Page 9.
' B.. "CONSTANT FLOW" shall be defined herein as -the average-* ;
daily flow .of effluent delivered to. all recipients,
including the Ctty. of Lubbock,. and other._ than COMPANY,
computed on the minimum weekly flow of a• contract year-...
hereunder..
C.. "MINIMUM WEEKLY'FLOW" shall be defined herein as the
- smallest number of gallons of effluent delivered to
all recipients, including the City of Lubbock,. but`ex-
eluding COMPANY, during.any one week in a contract year.
D. "A CONTRACT. *YEAR".shall be defined herein*as each success
ive 'twelve-month 'period beginning on the effective date
-of this contract and ending on -each successive"anniver=
sary date.during the term hereof.
.:' E.. "DEMAND FLOW" for purposes of this agreement shall be
defined as. -all effluent furnished to'all recipients
including the City of Lubbock,. .excluding the COMPANY,
in excess. of the constant flow hereinabove'defined..
:` VIII A All payments. due -.COMPANY hereunder. shall be finally • cal-
culated' as of the .end of each .contract year as -defined above..
Provided, however, such payments'shall be made in twelve.(12) equal.
'•'monthly installments during such .contract year. The anticipated
amount .of the monthly payments shall be'agreed.upon in advance by
' the parties. ,hereto., and shall be 'substantially equal to one -twelfth *.. ••
(1/12th): of the anticipated annual payment due COMPANY It is
understood in this regard that good faith'shall•be :exercised by .
•. ' the 'parties in arriving at .the amount of the monthly payment.and
due consideration shall be'given to past'annual payments hereunder;
it is further agreed that during the first contract year an esti-
mation.will be made.by. the parties of the probable constant flow'
and the probable''demand flow, -:taking into consideration the projected
usage`'by.industrial•or other recipients,' including CITY,.of..effluent-
.. •' ._ _ - •-, ' Page 10.
and an annual payment will be projected -therefrom and one -twelfth '
(1/12th) of that projected payment will be 'made monthly to COMPANY... -
Such monthly payments -shall- be made on .the 'first. day of each .and
`every month.:
Within thirty. (30) days after: termination of each contract'
year during the term hereof, appropriate'.calculations based upon
metered effluent flow will be made by the .parties hereto as to con
stant. flow (as herein defined) and demand flow .(as. herein defined) " ..."*
cf effluent. not delivered to COMPANY during the prior contract year
` as well as the payment due and owing COMPANY.under.the payment terms
hereinabove provided.: If it be determined that the estimated monthly•
payments theretofore paid by. CITY during the 'prior contract ye'ar.was.-
less than the calculated payment due COMPANY as herein provided, then...
CITY agrees to pay COMPANY such deficiency within seven (7) hays:
In the event it be 'determined that the•.estimated monthly payments
theretofore paid COMPANY by CITY exceeded the calculated payment':.-"
-due 'COMPANY as, herein. provided; then such 'overp ayment will be ad-
• justed by. subtracting .such 'overpayment from the 'first monthly pay-. } `°
ments due COMPANY during the' following -contract year.
ARTICLE I.X.
IX.I " 'MEASURING EQUIPMENT -AVAILABILITY OF CITY RECORDS TO COMPANY
It shall be -the responsibility of CITY at itsexpense to
install and maintain a controllsystem for the purpose of making
•' satisfactory delivery of. effluent to all recipients, including CITY,;•
other than COMPANY,• and to meter the ;daily flow thereof by a master.-....
..meter of standard type for properly measuring the flow of water or --
a number of master meters, as the CITY elects..* The unit of measure-
ments for effluent metered as herein provided shall be one thousand .
:gallons (1,000-gal:) of.water, U. S. Standard Liquid Measure: COMPANY .
shall have acFess-at -all 'times to such metering equipment, but the'.
reading;_calibration=and adjustment of the meters shall be done'
• Page 11.
(711
only by employees or agents of the CITY.• COMPANY will be notified.*
when CITY plans to test or calibrate any of its meters so that
COMPANY may be represented if it so desires. The CITY shall keep''
a true record of all meter readings as transcribed from the reports.:'
of CITY'S employees or agents with respect thereto. Upon written
request of COMPANY, the CITY will give COMPANY such information as
it may request fromthe.CITY'S record books or journals or permit .
the CON.PANY to have access to the 'same 'in the office of the City.
during business hours. The CITY hereby agrees to calibrate its
metering equipment as often as it considers necessaryand at such
other time as COMPANY may show reasonable evidence of error in
such metering equipment. In the event a meter is out of service
or out of repair'so that the amount of effluent cannot be ascertained'. -
or computed from the reading thereof, the effluent flowing during
such period the meter -is out of service or repair, shall be agreed
upon by the parties hereto, by correcting the error if the percent-
age of the error is ascertainable by calibration tests or mathemati-
cal calculations or by estimating the "quantity.of effluent delivered
during preceding periods under similar conditions when the meter was
registering accurately.'
CITY agrees to furnish unto COMPANY three (3) outlets on
the Southwestern Public Service Company pipeline to be constructed
from the City Sewage Disposal.Plant to the Southwestern Public Service
Company facilitiy, at locations to be agreed by the parties hereto,
in order to facilitate the disposal of effluent by COMPANY upon lands
controlled by it.. It is agreed that COMPANY will not make demand
for delivery of effluent from such outlets if it will reduce or make
impossible the delivery of the demand flow of effluent to Southwestern
Public Service Company and other third party recipients. CITY
further agrees that it will bend every effort in negotiating
future contracts to secure authority with purchasers of effluent
Page '12.
I
for -provisions of additional outlets for the benefit of COMPANY to
facilitate effluent dispersal and disposal.
IX.3
In order to facilitate the expedient and efficient disposal
of -City effluent by COMPANY on lands controlled by COMPANY, the CITY
agrees to immediately give notice to COMPANY of all contracts for the -
sale of effluent to third parties, additional usage of effluent by
the CITY for its own purposes, and the anticipated projected amounts
of. effluent to be -sold or used by the CITY on a daily demand and
constant flow basis. It being recognized that such notice needs to
be given as far in advance as possible in order that COMPANY may make
necessary adjustments in its effluent disposal program.
ARTICLE X.
X.1 SALE OF EFFLUENT BY COMPANY
Nothing. contained in this contract shall prohibit COMPANY from
selling or disposing of any or all of the effluent delivered to it
to any other firm, person, association, partnership or corporation
for agricultural use. Such sale shall be subject to all of the other
terms and conditions and rights of the CITY to sell effluent to third
parties or its own.use thereof. Provided COMPANY may sell effluent
for other purposes with consent of CITY.'
ARTICLE XI.
XI.1
If for any reason CITY fails to pay unto COMPANY the monthly
payments as herein provided, then_CITY hereby agrees that the certain
water lease contract entered into.by and between J. Frank Gray and
Wylie Hudman and the City of Lubbock on even date herewith shall,
at the option of J. Frank Gray and Wylie Hudman terminate if such
payment remains delinquent and unpaid after sixty (60) days from
mailing notice of such delinquency, without waiving any remedy at
law or in equity. `
ARTICLE XII. .
XII.1 TERM OF CONTRACT
Notwithstanding any other provisions of this contract, the
Panes
term of this contract is from the date set forth hereinabove until
December 31, 1990, and thereafter until either party shall give
the other party five.years .(5. yrs.) notice in writing of its
intention to termfnate'the "same.. Notice .to be transmitted by
registered or certified mail with return receipt requested.
ARTICLE XIII.;
XIII.1 GENERAL PROVISIONS
It is agreed that all of the terms, provisions and conditions
of this contract fully supersede and cancel all of the terms, -.condi-
tions and provisions of that certain contract entered into by the.
parties hereto on the 28th day of April, 1960.
XIII.2. Where the terms of this contract provide for action to be
based upon the opinion or determination of either: party to this
contract, whether or not stated to be conclusive, said terms shall
not be 'construed as permitting such action to be predicated upon
arbitrary, capricious, or unreasonable opinions or determinations.
x= .3 Any notice authorized or.required by this contract shall
be deemed properly given, if mailed, postage -prepaid, Certified
Mail, Return Receipt Requested, to the Office of the City Secretary
of the 'City of Lubbock, on behalf of the'CITY, and to COMPANY at
Box 711, Lubbock, Texas.
XIII.4 In the event CITY should' acquire title to the Gray and
Hudman lands,.this contract shall terminate...
XIII.S If any provision of this agreement be invalid under exist-
ing law or would operate under. existing law to render this agreement
unenforceable, then such provision, insofar as it is necessary to
render this agreement enforceable under existing law,.shall be
deemed to be deleted herefrom and this agreement in -all other
respects shall remain in full force and effect, subject to specific
options granted to Company hereinabove..
Page 14.
XIII.6 FORCE MAJEURE
Neither party shall be liable .for any delay or default in
performance hereunder. due to any cause beyond its control, including
but not limited to acts of God., or the public enemy, acts or requests"
of any County, State "or Federal officers agent or agency purporting
to act under duly constituted authority. or any court order, wars, .
floods, riots, fires, storms, strikes, lookouts, interruptions of
transportation, freight embargoss-or failures, exhaustion or unavail-
ability on the open market or delays -in delivery of material, equip-
ment or services necessary to the .performance of any provision here-
of, or happening of unforeseen acts, .misfortune or casualty whereby
performance hereunder is delayed or prevented, which performance•
is prevented by such "cause; provided, however, that the -party so
affected will use -its best -efforts to remedy the situation.
ARTICLE- XIV.
This agreement is binding.upon the respective successors,
executors and assigns of the parties hereto:.
CITY OQL
ATTEST:ga—By.
azz Q W. D. Rogers, r. Mayor
CLty.SecretaLy
STANDEFER.& GRAY, INC.
By
President 6,1
Attest:.
�1
Sef.cretp&y ,
• Page 15. r
SUPPLEMENTAL CONTRACT
THE STATE OF TEXAS X
KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X
THIS CONTRACT is made and entered into this day of
March, 1978, by and between THE CITY OF LUBBOCK, a home rule
municipal corporation of Lubbock County, Texas, (hereinafter
called "CITY"), and STANDEFER & GRAY, INC., a corporation existing
under the laws of the State of Texas, with its principal offices
at Lubbock, Lubbock County, Texas (hereinafter called "COMPANY"),
each acting herein by and through its respective Officers
heretofore duly authorized.
W I T N E S S E T H:
Heretofore, on the 1st day of April, 1968, the Parties
hereto entered into that certain Lease Agreement, a copy of which
is attached hereto and marked"Exhibit A" for reference. Said
attached Lease Agreement has a primary term, as set forth in Article
XII. 1 thereof, which terminates on December 31, 1990, or subsequent
thereto after five (5) years notice in writing to terminate has
been given by either Party. And, it is the desire of the Parties
hereto to extend the primary term of such Contract dated April 1,
1968, as hereinafter provided.
NOW THEREFORE, in consideration of the mutual agreements
and the considerations of the terms, conditions and covenants to
be kept, done and performed by the Parties hereto, the Parties
do mutually agree and contract that Article XII.1 of Exhibit A,
is hereby amended to read as follows:
ARTICLE XII.1 TERM OF CONTRACT
Notwithstanding any other provision of this Contract,
the term of this Contract is from the date set forth
hereinabove until December 31, 1998, and thereafter until
a date five years (5 yrs.) subsequent to written notice
of termination of this Contract by either Party. A five
year (5 yr.) termination notice may be given by either
Party to the other, at any time subsequent to December 31,
.'.593 . Noticr is to be trans nitted by registered or
certified mail with return receipt requested.
n
PROVIDED, HOWEVER, that the above Amendment is conditioned
upon the following two (2) contingencies:
(A) That a sewage effluent pipeline contemplated
to be constructed with funds derived from a grant from
a U. S. Governmental Agency and extending from the
present City of Lubbock sewage disposal system to the
North boundary line of the proposed research and develop-
ment tract of land consisting of approximately four
thousand (4,OOO) acres lying immediately North of Wilson,
Lynn County, Texas, is constructed;
(B) That Mr. and Mrs. J. E. Hancock, their heirs
or assigns, have executed a Contract whereby said four
thousand (4,000) acre tract referred to in Paragraph (A)
above, shall be obligated to and used for the purpose of
environmental and crop production research and disposal
of sewage effluent thereon.
WITNESS OUR HANDS and seal of office the date first herein -
above written.
ATTEST:
Q G✓ �.tiC t�'g�
City Secretary
ATTEST:
Secretary
THE CITY OF LUBBOCK
By:
ROY 8ASS, Mayor
STANDEFER•& GRAY, INC.
'J. FRANK GRAY, President
-2-
J : th
BE IT RJ SOL`v ..D BY THE CITY COUNCIL OF TIT CI:IY OF 1 . BBOCK:
THAT the MAYOR of the CITY OF LUBBOCK, BE and is hereby
authorized and directed to execute a Supplemental Contract between the
CITY OF LUBBOCK and STANDEFER & GRAY, INC., attached herewith
which 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 23 day of
I ATTEST:
March
D
ROY BASS, MAYOR.
�.S
Treva Phillips, City Secretary -Treasurer
APPROVED AS TO FORM:
Fred O. Senter, Jr., City Attorntry
. 1978
ADDENDUM TO LEASE AGREEMENT
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This addendum is entered into .on this the day of {/ ,
1980, by and between the City of Lubbock, a home rule municipal corporation,
hereinafter referred to as City, and Standefer and Gray Inc., a corporation
existing under the laws of the State of Texas, with its principal offices at
Lubbock, Texas, hereinafter called Company.
WITNESSETH:
WHEREAS, the City and Company did enter into a lease agreement on the 1st
day of May 1968, as amended, a copy of said agreement as amended being attached
hereto as Exhibit "A"; and
WHEREAS, the agreement attached as Exhibit "A" did provide that the City
would pump all of its sewage effluent to lands owned or under the control of
Company; and
WHEREAS, Company and.City do recognize that it would be advantageous for
additional lands to be provided for the purposes of properly handling the
sewage effluent delivered by City to Company; and
WHEREAS, it would be difficult for Company to provide additional land
deemed necessary under the premises at this time; and
WHEREAS, the City and Company have been approached by the L.C.C. Institute
of Water Research with an offer to provide an additional discharge site for
sewage effluent; and
WHEREAS, both City and Company would benefit by having an additional dis-
charge site:
NOW THEREFORE THE CITY AND COMPANY AGREE AS FOLLOWS:
1. That notwithstanding any provision contained in the lease agreement
between City and Company, which agreement is attached hereto as Exhibit "A",
the Company does hereby grant to City the right to pump sewage effluent to a
discharge site located in Lynn County, Texas, said site to be operated by the
L.C.C. Institute of Water Research and hereinafter referred to as Institute
Lagoon.
2. The City shall meter the volume of sewage effluent, which City is
instructed under paragraph 8 to pump to the Institute Lagoons. The total
volume of such effluent pumped in any calendar year to the Institute Lagoons
EXHIBIT "B" TO SEWAGE EFFLUENT SUPPLY CONTRACT.
shall entitle the City during the immediately following year to use an equal
volume of sewage effluent (not to exceed 7,200,000 gallons per day) for its own
purposes without obligation to pay Company any payments of money. It is under-
stood by the parties hereto that sewage effluent produced by the sewage treat-
ment plant or plants, at locations more than 5,280 feet from the Northwest
corner of Section 1, Block B, is specifically excluded from the addendum.
k
3. The Company further releases the City from any claim for payment of
money for any sewage effluent City may pump to the Institute Lagoon sites in
Lynn County, Texas.
4. That Company does hereby agree that it will use the sewage effluent
discharged by City onto the lands operated by Company in such a manner as to
comply with all Federal or State laws or regulations and City agrees to deliver
sewage effluent to Company's reservoir in conformity with such laws and regu-
lations.
5. That Company will with all dispatch commence negotiation with L.C.C.
Institute of Water Research leading to an execution of a contractual agreement
between them which will specifically cover the following points:
(a) The Agreement shall determine the percentage of sewage effluent which
the Company shall be entitled to have pumped to its lands and the per-
centage of sewage effluent that shall be pumped to land in Lynn County to
be used by L.C.C. Institute of Water Research.
(b) The agreement shall designate one party to advise City as to what
percentage of sewage effluent shall be pumped to either the properties
operated by Company or to the Lynn County property upon which L.C.C.
Institute of Water Research is conducting its activities.
(c) The agreement shall recognize the City's right to use for its pur-
poses any sewage effluent at no cost to City (see paragraph 2 of this
agreement).
(d) The agreement shall recognize the City's right to sell and deliver to
others such sewage effluent as outlined in the lease agreement between
City and Company paragraph VIII 2 (see Exhibit "A" attached hereto) but
such right is subject to payment by City to Company as provided in par-
agrapli VIII 3 of the lease agreement above mentioned. The agreement shall
further contain a provision that only Company is entitled to payment as
above set out and L.C.C. Institute of Water Research shall never be
entitled to any such payments and will make no claim for same.
(e) The agreement shall further recognize that the City is entitled to
dispose of all sewage effluent upon the lands owned or controlled by
Company or land being controlled, owned or used by L.C.C. Institute of
Water Research and notwithstanding any other provisions of the agreement
between Company and L.C.C. Institute of -Water Research. City will have
the absolute right to pump to either the Company's sites or sites under
control of L.C.C. Institute of Water Research, any amount of sewage
effluent necessary to provide for complete disposal of City's sewage
.effluent at any point in time. Company and L.C.C. Institute of Water
Research will further agree to take all such sewage effluent under such
circumstances.
6. Company will file an executed copy of the agreement provided for in
paragraph 5 above with the City Secretary within a reasonable period of time
after the execution of this agreement.
7. Except as altered or changed by this Addendum Agreement the original
lease agreement as amended in March, 1978, shall remain in effect between the
parties hereto in accordance with the terms and conditions of said original
lease agreement attached hereto as Exhibit "A".
8. City agrees to pump the percentages of sewage effluent to the Company
properties and to the Institute properties as directed by the individual appoint-
ed by Company and Institute, provided, however, should it become necessary to
provide for a complete disposal of City's sewage effluent at any point in time,
the City shall have the absolute right to pump to either the Company sites or
Institute sites.
9. It is understood that Institute, et al, and City will execute a Waste
Water Lease Agreement which provides that in the event of certain defaults by
Institute that City has certain rights to enter upon the 4,000 acre tract and
operate same for discharge of effluent.
City accordingly agrees with Company that, in the event that it is re-
quired to enter upon said 4,000 acre tract, and determines to operate same in a
manner to produce income therefrom, it will give Company first option to manage
and operate said 4,000 acres for the disposal of said effluent.
In the event Company elects not to operate said 4,000 acres, then City
shall not be obligated to pay the service charge herein provided for disposal
of the effluent on said 4,000 acres; provided, however, should any party or
entity pay a service charge for the use or disposal of said effluent, said
charges shall be paid to Company; provided that City shall have no obligation
in the collection of said charges and shall make no claim against Company for
said charges.
Executed this the /6/ . day of 1980.
THE CITY OF LUBBOCK STANDEFER h GRAY INC
B L MCALISTER, MAYO
ATTEST:
1
velyn Ga fga, City Secre ar Treasurer
THE STATE OF TEXAS 5
COUNTY OF LUBBOCK 3
ATTEST:
SdZetary
BEFORE ME, the undersigned, a Notary Public in and for said County and
State, on this day personally appeared , of
STANDEFER and GRAY, INC., a Texas corporation, known to me to be th person
whose name is subscribed to the foregoing instrument, and acknowledged to me
that he executed the same for the purposes and consideration therein expressed
and in the capacity therein stated.
\!1J.,GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of ,
1980.
A",/
Z,
otAry Public in and for
L bock County, State of Texas
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority, a Notary Public in and for said
County, Texas, on this day personally appeared BILL McALISTER, known to me to
be the person whose name is subscribed to the foregoing instrument and acknowledged
to me that he executed the same as the act and deed of the CITY OF LUBBOCK and
as MAYOR for the purposes and consideration therein expressed and in the capacity
therein'stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the /q-,�2- day of ,
1980.
Notary Public in and for
Lubbock County, State of Texas
ref •
r
�_
•
1�
LEASE AGREEMENT
THE STATE OF TEXAS X
X KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X-.
�1-
THIS CONTRACT made this day of 6` , 1968, by and
F
between the City of Lubbock, a home rule municipal corporation of
Lubbock County, Texas (hereinafter called "CITY"), and Standefer
& Gray, Inc., a corporation existing under the laws of the State of
Texas, with its principal offices at Lubbock, Lubbock County, Texas
.(hereinafter. called "COMPANY"), each acting herein by and through
its respective officers heretofore duly authorized.
W I T N E S S E T H T H A T:
That the CITY and COMPANY hereby mutually agree that for and
in consideration of the extension of the terms of that certain lease
contract dated April 28,..1960, executed by the parties hereto, and
;'`the additional consideration of the terms, conditions and covenants
to be kept, done and performed by COMPANY, CITY does hereby lease
the lands hereafter described to the COMPANY for a period beginning
at the date hereof and ending on the 31st day of December, 1990,
subject.to the terms,:.conditions and covenants to be kept, done and
performed by the•parties hereto as follows:
ARTICLE I.
The land herein leased consists of approximately four hun-
dred seventy (470) acres of land, described as follows:
Being all of Section 1, Block B, Lubbock County, Texas,
except the areas used for highway purposes and except
that part of said Section 1 owned by J. Frank Gray and
Wylie Hudman;.and the Southwest One -Fourth (SW 1/4) of
Section 2, Block B, Lubbock County, Texas, except that
portion thereof containing about fifty-three (53) acres
lying North of the Fort Worth & Denver Railway Company
right of way; and all of that part of Section Eleven (11),
Block B, owned by CITY and described as follows, to -wit:
BEGINNING at a point in the Northwest corner of said
Section 11;
THENCE South along its West line 1421 feet to a point;
THENCE East 1176 feet;
THENCE North 427 feet;
THENCE West along the North line of said Section 1176
feet to the Place of Beginning.
i
I.1 The purposes for which the lands herein are leased is declared
to be for agricultural and livestock purposes and any other contrary
use thereof shall, at the option of CITY,.terminate this lease.
I^2 The consideration to be paid by -COMPANY shall be a cash rental..
or $3.00 per acre per year for all lands now .in cultivation or that may
be placed in cultivation by COMPANY and it is agreed that $1,410.00 per
year is the agreed annual rental to be paid to CITY by COMPANY :here
under. All rentals shall be•payable on the first day of January of
each year, beginning January 1, 1969. Any installment of rental not
paid at the due date hereof, shall bear interest from said due date
until paid, at the rate of eight per. cent (8%) per annum. If COMPANY
fails to pay the rentals when due within sixty (60) days after demand
in writing and delivered to COMPANY by registered or certified mail.
(with receipt requested) CITY. may at its option terminate this agree
�ment.
ARTICLE II.
II.1 It is understood that the City of Lubbock's Sewage Treatment Plant
is presently.located and situated on the above described land and the
City -reserves the right to maintain, expand; operate, change and alter
said p lant or abandon or discontinue using the present sewage treatment
plant and'to construct and maintain a sewage .treatment plant of equal
or greater capacity. at anotherlocation in lieu of operating and main-
taining the sewage plant constructed or to be constructed in the
Northwest corner of Section 1,.Block B, and the City agrees to pw-np P! -
all of the effluent from the present plant or additions thereto or plants
constructed in lieu of this plant into the existing earthen storage
reservoirs now presently supplied from the existing plant at the expense
of the City, less and except such parts or portion of'effluent that -
the City may sell to industry and other recipients (specifically
e:,•.:;luding sales of effluent for agriculture purposes) and that effluent
City may use for its own purposes as hereinafter provided. Sew-
z;e affluent produced at sewage treatment plants at locations more.
than 5280 feet from the Northwest corner of Section 1, Block B, is
s_o�cifically excluded from this contract. The City agrees no indus-
Page 2.
trial users of effluent supplied -from the plants in the Northwest corner
of Section 1, Block B, shall be supplied from other sewage treatment
plants without the mutual consent of the parties hereto. As a part
of the consideration hereof company binds itself to accept such sewage
effluent at the earthen reservoirs referred to above and those reservoirs
which may by agreement of the parties hereto be constructed in the future
4
�✓ And the COMPANY further agrees to properly distribute such effluent at
its exper_se onto the lands herein leased and the lands•now owned by J.
Frank Gray and Wylie Hudman, which lands have been leased to COMPANY
from said J. Frank Gray and Wylie Hudman as shown by the Lease attached
hereto as Exhibit "A". It is further agreed that when necessary, due
to extended wet or inclement weather, or any other.reason, the COMPANY
may, in order to comply with its obligations hereunder, provide emer-
gency storage'facilities at its own cost and expense, and does hereby
covenant with CITY to exercise care to prevent such effluent from
draining into the Yellowhouse Canyon or onto lands not covered by this
Lease or to lands not owned.or controlled by.COMPANY, unless otherwise
permitted by the owner or owners of such .land given in writing, which
shall be subject .to all of the terms, conditions and covenants contained
in this Agreement. COMPANY does further covenant with CITY to handle,
distribute and/or store and to.otherwise dispose of such sewage effluent
upon such lands as aforesaid including the .lands covered by said Lease,
or under. control of CITY in such manner as not .to substantially increase.
the -density. of odors emitting therefrom, or from spreading and causing
additional discomfort and annoyance to nearby inhabitants, and not to
use or suffer to be used such effluent in such a manner. as to constitute
a nuisance, when and after the same is placed on said lands and to keep
and maintain all premises in such condition as to conform with all State
and local health regulations, whether now or hereafter established by the
State law or promulgated by the State Department of Health,. provided;.ho,�
ever, that such effluent is delivered.to the reservoirs herein referred
to in conformity with such regulations and laws.
II.2 COMPANY further agrees that upon receipt of written notice,.
authorized by the governing body of the City of Lubbock, that COMPANY
is operating due to its negligence a nuisance in violation of said
State or local health regulations, to correct and abate such condi-
tion in a reasonable time and to do such things as may be
Page 3.
pointed•out in.writing necessary to correct and abate such condition. '.
If"such effluent should drain into the Yellowhouse Canyon through
negligence onithe part of Company or off the described lands onto
other lands, or if effluent should be•allowed or permitted to become
,.
a•nuisance on account. of the manner in which"the COMPANY handles.or
fails to handle '.said effluent and is allowed to. remain in such con-
dition without abatement. for an.unreasonable time after •notice in
writing to COMPANY, or if such sewage effluent should be handled,
distributed ,or stored in such a manner as to -increase .the density
of the odors -emitting therefrom or spreading so as to cause other
than normal"annoyance'.and discomfort to nearby inhabitants, the..CITY
may, after written notice, terminate this,,contract..- The proper
spreading, storage or use -of the effluent'as delivered. by. the CITY':
shall not be.construed as a nuisance under: the. terms -of .this con
tract.. '
ARTICLE III.•.
III.1 City retains -and reserves the right during the term of this
contract,. if it should elect, to use any part of the 'lands owned by
it along the: Yellowhouse'Canyon rim, for the establishment and en-
largement of the :City.Dump ground for the disposal of trash ind.gar-
bage hauled from the City", and to excavate where necessary in' the..
opinion of CITY to.•provide more volume for disposal of such.trash
and garbage, together. with necessary road and roads for ingress and
egress and.necessary utilities: to and from said dump ground and over:;,.
and across said land to. accomplish:the .intent of this reservation.'
'It further reserves the right to construct housing and living
quarters"sufficient to accommodate City employees engaged in the
maintenance and operation of the dump grounds, provided, however,
upon the exercise of such *option CITY will',..t its own cost and
expense,. replace":to the :use and benefit of COMPANY'a like amount
of land refilled, levelled and�terraced in the same manner as that.
land sa taken for additional dump ground hereunder: and CITY will•
Page .4•
also make effluent available at the highest point on such .substituted
land.
ARTICLE IV.
IV.1 COMPANY. by these prsents obligates' itself to take good care
of and cultivate. the .lands leased to it hereunder in a good', farmer
like manner and not to make or suffer to.bemade any alteration_or
waste .that would be injurious to said land.
IV.2 COMPANY shall not, without the written. consent of CITY,
assign this lease: or sublease any part of the above leased land and
should said COMPANY attempt to assign this lease orsublease any or
all of the above. described land, then and in that event, this con-
tract shall, at .the option of CITY,•terminate.'as to all parties and
be of no further.force and effect..
IV.3 At the termination of this Contract,' COMPANZY shall return
the land and leased improvements and surrender the possession thereof
to'the'CITY in as good condition as when received, ordinary wear and
tear excepted.
IV.4. It is agreed that COMPANY shall have the right upon termin-
ation of this lease contract to remove from the 'above described City.
lands, any improvements that may have been placed thereon by. it, in-
cluding fences, except outside boundary fences, the two fences Sep-
arating•the cultivated lands from the canyon or pasture lands, and
fences around the sewage plant.
IV.5 Should the COMPANY during the life of this contract fail or' -
refuse .to keep and perform any of the'covenants or conditions of
the same'at the time and ih-,the manner stated, CITY shall have the
right to enter into"said premises and take possession thereof without
notice or demand,;except as herein provided, and without being guilty
of trespass and without prejudice .to any other remedy the_.CITY pay....
have.
Page .5..
I� v
ARTICLE V.
V.1 It is mutually agreed and understood that :the above described
lands owned by CITY are possessed by the CITY for the primary purpose..
of operating the City Sewage Disposal Plant,. and any other plants.
that may be constructed for this purpose,' and for ``the 'additional
purpose of disposing of City sewage,' and it is the primary purpose'.
of this lease and contract to arrange 'for the continued disposal-..
of City sewage effluent -in order to further. safeguard the health r
of its inhabitants, by. providing for the above method'of effluent
disposal and care, and that the leasing of such .land by the CITY
✓.,to COMPANY for agricultural purposes. is merely incidental to. the
CITY's ownership and this lease is.made .primarily for the purpose
of affording additional facilities as hereinafter defined and man-
agement of effluent emitting from the City.'s sewage disposal sys-
tem and the consideration herein agreed to be paid by CITY as
Lessor herein, :is in consideration of thee services. to be performed
by COMPANY, as Lessee herein, in handling, caring for and disposing.*.:
of all CITY effluent delivered to reservoirs by. CITY and the taking
thereof by COMPANY;in'non-constant quantities,' all as is -anticipated:
and provided for in this contract..
V.2 This Lease and Contract is .executed subject .to all of the
•.rights of.the City. of Lubbock which .it has in said lands, and sub
ject .to the..terms of.any oil. and gas leases intexistence, or to be...t
executed�by the :City of.Lubbock affecting such lands.
V.3 It is further. agreed that if'the effluent is delivered to,
the reservoirs in such condition that the maintenance of said water..
in said reservoirs or the -distribution thereof creates a nuisance.
or it becomes toxic to such an extent that injury would result to
..the land upon which'it is spread or make it impractical to use as
irrigation for. agricultural products or toxic to livestock,.then,,-
in either event;'COMPANY may terminate .this contract after.giving
" ' Page '6.
written•notice .to CITY to correct or remove the conditions causing- `
same.
ARTICLE VI.
VI.1 Notwithstanding other provisions of this agreement it is. -
agreed that a breach by COMPANY of•any obligation arising hereunder
shall not work a forfeiture or terminate this lease or contract. or -
cause -the same .to be terminated nor be grounds for cancellation hereof.•
in whole or in part except as herein provided.". *In the event.CITY
considers.the.COMPANY is not complying with.the terms of this con-
tract,• CITY shdll•notify COMPANY in writing of the facts relied upon.
as constituting a breach hereof and COMPANY, if in default, shall r
have.a reasonable time., not exceeding one hundred fifty (150) days
.after the receipt of such -notice, in which to comply with the obli-
gations hereunder as they may have been pointed out in writing as
aforesaid.
ARTICLE VII.'
VII•.l . Whereas, -'it is anticipated that COMPANY will install. or
cause .to be installed underground pipelines to convey the effluent
upon.lands under its control; hence, it is agreed that in such event,
and if this contract is terminated before the term hereof, that.the
.-CITY will pay to COMPANY for such .pipe which will be depreciated
so far as this. -agreement is concerned at the rate .of five per cent
(5%) per year upon its.costs, and that•after applying such depreci-
ation, the.CITY. will pay to the COMPANY, its successors and assigns,':..
a'sum equal.to one-half. (1/2.). of the remaining cost thereof, provided
such pipe is in a good state of repair and COMPANY has filed written
statement with:the City.Engineering Oepartment showing actual cost
of pipe Wand its. location.,
VII.2 "'It is further agreed that CITY. reserves. the right to con
struct necessary utility.lines' and pipelines.,- in, above. and below
the ground at any location on CITY owned land, provided•it does not
Page .7.
interfere with.the orderly operation by COMPANY of its effluent dis-
posal system .and subject to paying reasonable crop damages to.
COMPANY, if any occurs CITY agrees to furnish at commercial rates:. ;
and COMPANY agrees to use and timely pay for electric power.used
and to be used in connection therewith'.: t
VII.3 It .is agreed the CITY will at its.own expense maintain four
(4) eighteen -inch .(1.8 -in.) outlets -in the lagoon,reservoir consisting'
of approximately twenty-three .(23) acres., and CITY.will provide and -
maintain at its -own cost two .(2). pumps capable of pumping thirty
five hundred (3.,'500.)..gallons of effluent per. minute at a head of
twenty-five.'.(25) feet.. In the maintenancelof the 'two. pumps, the.
CITY will keep installed and maintained the•pipe from the reservoir
to the intake side of the pumps and provide valves at'this point and.-
COMPAl`TY will take the effluent from the output side of the two pumps
and at .COMPANY'S cost provide and maintain pipe,. valves and other
appurtenances'necessary to carry effluent from the output side. In..
the event of any default by COMPANY or itstenants,.agents, servants
or authorized assigns, the right to take effluent as provided in this.
paragraph shall cease and terminate..
VII.4 . It is further agreed that in the eventthe CITY ever abandons
the use of the :twenty-three (23) acre reservoir constructed by the
CITY upon Section ll, Block B, owned by J.-Frank-Gray and Wylie
Hudman for the purposes of effluent storage, whether at the end of
the term of this •contract,'or if terminated previously thereto, then
CITY shall level.the surface of.said reservoir and place*it in a
condition suitable for agricultural purposes at CITY'S expense.
ARTICLE VIII.•
VIII:1 It is mutually conceded -and agreed by the parties hereto
that COMPANY has for many years contracted for and has satisfactor-
ily disposed of all of the. CITY effluent resulting in a financial
benefit to CITY in that the CITY has not been compelled to construct,
maintain and operate additional facilities and sewage disposal and
t_aatment.plants., The'CITY recognizes' that as.a result of this
Page S. T�
I
satisfactory contractual arrangement between CITY and COMPANY for
many years heretofore that CITY'S effluent has been disposed of
at less cost to CITY than any other city in Texas experiencing the
same growth and population increase. CITY further recognizes that
COMPANY has expended large sums of money and made extensive capital
investment upon the lands owned by J. Frank Gray and Wylie Hudman
and upon other lands leased and controlled by said land owners,
in order to adequately dispose of the CITY effluent during wet and
inclement weather, and particularly during the winter months when
such effluent is unsuitable for agricultural purposes.
VIII.2 It is mutually agreed by the parties hereto that CITY may
sell and deliver to any other firm, corporation, partnership, associ-
ation or individual, for industrial use, City effluent upon such
terms and conditions and for such price as it may determine, and
further, that CITY may take., use and divert CITY effluent for its
own uses and purposes during the term of this contract and upon the
following terms, provisions, conditions and payments to COMPANY,
to -wit:
VIII.3 RATE AND PAYMENT
For and in consideration of the sewage effluent water to
be sold by CITY under the terms of any contract, executed with
Southwestern Public Service Company, Amarillo, Texas, or any other
person, firm, partnership, corporation or association, herein agreed
to for industrial purposes, or for effluent diverted by the CITY
for its own use and benefit, as contemplated by this contract, the
rate per one thousand (1,000) gallons of effluent so sold or used
is to be paid each month by'CITY to COMPANY as follows:
A. CITY agrees to pay COMPANY an amount equal to one cent
(1C) per one thousand (1,000) gallons of constant flow
of City effluent as hereinafter defined and two and
one-half cents (2 1/24) per one thousand (1,000) gal-
lons of demand flow as hereinafter defined.
Page 9.
B.. "CONSTANT. FLOW" shall be defined herein as the average
daily flow .of effluent delivered to. all recipients,•
including the C}ty.of Lubbock,. and other. than COX .1Y,
computed on the minimum weekly flow .of a•contract year
hereunder..
C.. "MINIMUM WEEKLY'FLOW" shall be:defined herein as the
smallest numberof gallons of effluent delivered to
all recipients, including the City of Lubbock, but ex-
cluding COMPANY, during.any one week in a contract .year.
D. "A CONTRACT.'YEAR".shall be defined herein'as -each succeps
ive'twelve.-month period.beginning on the: effective date
-of this contract and ending on -each successive`anniver
sary date.during the term hereof.
E..,• "DEMAND FLOW" for purposes of this agreement shall be
defined as.•all effluent furnished to'all recipients
including the City of Lubbock,. excluding the COMPANY,
in excess: of the constant flow hereinabove defined..
VIII A All payments. due COMPANY hereunder. shall be finally cal-
culated'as of the .end of each contract year as -defined above..
Provided, however, such payments shall ,be made in twelve .(12) equal;.
monthly installments during.such .contract year. The anticipated
amount .of the monthly payments shall be'agreed upon in advance by
the .parties.hereto..and shall be substantially equal to one -twelfth
(1/12th): of the anticipated annual payment due COMPANY It is
.,understood in this regard that good faith'shall be :exercised by .
the*parties in arriving at .the amount of the monthly payment and
due consideration shall -be given to past'annual payments hereunder;
.it is further agreed that .during the first .contract year an esti-
mation.will be inade.by. the parties os" the probable constant flow
and the probable -demand flow, taking into consideration the projected
usage'•by industrial°or other. recipients,- including CITY, of..effluent
. � •• .' • � < • . �. /fir .��+�TrYitll
and.an annual payment will be projected -therefrom and one -twelfth
(1/12th) of that projected payment will be made monthly to COMPANY.-.
Such monthly payments shall be made on the first.day of each and.
every month .
Within thirty. 00) days after: termination of each contract
year during the term hereof, appropriate•.calculations based upon
metered effluent flow will be made by. the .parties hereto as to con-
stant flow (as herein defined) and demand flow .(as herein defined)"
cf effluent not delivered to COMPANY during the prior contract year =
as well as the payment due and owing COMPANY. under. the payment terms
hereinabove provided.! If it be determined that the estimated monthly -
payments .theretofore paid by. CITY during the prior contract year was.-
less than the calculated.payment due COMPANY as her provided, then
CITY agrees to pay COMPANY such deficiency within seven (7)'days.
In the event it be'determined that thd'estimated monthly payments
theretofore paid COMPANY by CITY exceeded the .calculated payment':.
*due'COMPANY as . herein. provided, then such 'overpayment will be ad-
justed by subtracting such'overpayment.from the'first monthly pay
ments due COMPANY during the following contract .year.
ARTICLE 'IX.
IX.l' 'MEASURING EQUIPMENT -AVAILABILITY OF CITY RECORDS TO COMPANY
It shall be .the responsibility of CITY at its expense•to
install and maintain a control system for the purpose of making
satisfactory delivery of effluent to all recipients, including CITY,.•
.other than COMPANY,• and to meter the daily flow thereof by a master.... •
..meter of standard type for properly measuring the flow of water or.•
a number of master meters, as the CITY elects.. The unit of measure-
ments for effluent metered as herein provided shall be one thousand
:gallons (1.,000 gal.) of water, U. S. Standard Liquid Measure. COMPANY.;
shall have access at -all times to such metering equipment, but the
reading, calibration•and adjustment of the meters shall be done'
Page ll.-
� i�
only by employees or agents of the CITY. COMPANY will be notified'
when CITY plans to test or calibrate any of its meters so that
COb/PANY may be represented if it so desires. The. -CITY shall keep
a true record of.all meter readings as transcribed from the reports
.of CITY'S employees or agents with respect thereto. Upon written
request of COMPANY, the CITY will give COMPANY such information as
it may request fromthe .CITY'S record books or journals or permit
the COMPANY to have access to the •same"in the office of the City.
during business hours.- The.'CITY hereby agrees to calibrate its
metering equipment as often as it considers necessary.and at such
other time as.COMPANY may show reasonable evidence of error in
such metering equipment. In the event a meter is out of service
or out of repair so that the amount of effluent cannot be ascertained':-:.
or computed from the reading thereof, the effluent flowing during
such period the meter is out -of service .or repair,•shall be agreed
upon by the parties hereto, by.correcting the error if the percent-
age .of the error is ascertainable by calibration tests or mathemati-
cal calculations or by estimating the •quantity of effluent delivered
during preceding periods under similar conditions when the meter was ,.
registering accurately.
2.
CITY agrees to furnish unto COMPANY. three (3) outlets on
the Southwestern Public Service Company pipeline .to be .constructed
from the City Sewage Disposal•Plant to the Southwestern Public Service
Company facilitiy, atlocations to be agreed by the parties hereto,•
in order to facilitate.the disposal of effluent by COMPANY upon lands
controlled by it.. it is agreed that COMPANY will not make demand
for delivery of effluent from such outlets if it will reduce or make
impossible the delivery of the demand flow of effluent to Southwestern
Public Service Company and other third party recipients. CITY
further agrees that it will bend every effort -in negotiating
future contracts to secure authority with purchasers of effluent
Page 12.:
for -provisions of additional outlets for the benefit of CovPANY to
facilitate effluent dispersal and disposal.
IX.3
In order to facilitate the expedient and,efficient disposal
of -City effluent by COMPANY on lands controlled by COMPANY, the CITY
t
agrees to immediately give notice to COMPANY of all contracts for the -
sale of effluent to third parties, additional usage of effluent by
the CITY for its own purposes, and the anticipated projected amounts
of.effluent to be sold or used by the CITY on a daily demand and
constant flow .basis. It being recognized that such notice needs to
be given as far in -advance as possible in order that COMPANY may make
necessary adjustments in its effluent disposal program.
ARTICLE X.
X.1 SALE OF EFFLUENT BY COMPANY
Nothing contained in this contract shall prohibit COMPANY from
selling or disposing of any or all of the effluent delivered to it
to any other firm, person, association, partnership or corporation
for agricultural use. Such sale shall be subject to all of the other
terms and conditions and rights of the CITY to sell effluent to third
parties or its own.use thereof. Provided COMPANY may sell effluent
for other purposes with consent of CITY.•. -
ARTICLE XI.
XI.1
If for any reason CITY fails to pay unto COMPANY the monthly
payments as herein provided, then CITY hereby agrees that the certain
water lease contract entered into by and between J. Frank Gray and
Wylie Hudman and the City of Lubbock on even date herewith shall,
at the option of J. Frank Gray and Wylie Hudman terminate if such
payment remains delinquent and unpaid after sixty (60) days from
mailing notice of such delinquency, without waiving any remedy at
law or in equity.
ARTTrT.R XTT _
Xtl.l TERM OF CONTRACT
Notwithstanding any other provisions of this contrac-, the
Page 13.
4 N �
term of this contract is from the date set forth hereinabove until
December 31,.1990, and thereafter until either party shall give
the other party five years .(5 yrs.) notice in writing of its
intention to terminate the same.. Notice to be transmitted by
registered or certified mail with return receipt requested.
ARTICLE XIII.;
XIII.1 'GENERAL PROVISIONS
It is agreed that all of the terms, provisions and conditions
of this contract fully supersede and cancel all of the terms, condi-
tions and provisions of that certain contract entered into by the .
parties hereto on the 28th day of April, 1960.
XIII.2 Where the terms of this contract provide for action to be
based upon the opinion or determination of either. party to this
contract, whether or not stated to be conclusive, said terms shall
not be construed as permitting such action to be predicated upon
arbitrary, capricious, or unreasonable opinions or determinations.
XIII.3 Any notice authorized or.required by this contract shall
be deemed properly given, if mailed, postage prepaid, Certified
Mail, Return Receipt Requested, to the Office of the City Secretary
of the City of Lubbock, on behalf of the CITY, and to COMPANY at
Box 711, Lubbock, Texas.
XIII.4. In the event CITY should acquire title to the Gray and
Hudman lands,.this contract shall terminate.
XIII.S If any provision of this agreement be invalid under exist-
ing law or would operate under existing law to render this agreement
unenforceable, then such provision, insofar as it is necessary to
render this agreement enforceable under existing law, ,shall be
deemed to be deleted herefrom and this agreement in all other
respects shall remain in full force and effect,.subject to specific
options granted to Company hereinabove.
Page 14.
XIII..6 FORCE MAJEURE
Neither party shall be liable for any delay or default in
performance hereunder due to any cause beyond its control,.including
but not limited to acts of God., or the public enemy, acts or requests'
4
of any County, State or Federal officer., agent or agency purporting
to act under duly constituted authority or any court order, wars,
floods, riots, fires, storms,.strikes, lockouts, interruptions of
transportation, freight embargos or failures, exhaustion or unavail- .....,.
ability on the open market or delays in delivery of material, equip-
ment or services necessary to the performance of any provision here-
of, or happening of unforeseen acts, misfortune or casualty whereby.
performance hereunder is delayed or prevented, which performance•
is prevented by such -cause; provided, however, that the party so
affected.will use 'its best efforts,to remedy the situation.
ARTICLE• XIV.
This agreement is binding upon the respective successors,
..executors and assigns of the parties hereto.
ATTEST:
C ty. Secret
Attest:.
/V Z,
��., sue•'
SFJ. crety
CITY OF LUo
.By AZV :+
W. D.
s,-Vr.
STANDEFER &GRAY, INC.
By
Pres'dent
Page 15.
I
SUPPLEMENTAL CONTRACT
THE STATE OF TEXAS X
KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X
THIS CONTRACT is made and entered into this 23 day of
March, 1978, by and between THE CITY OF LUBBOCK, a home rule
municipal corporation of Lubbock County, Texas, (hereinafter
called "CITY"), and STANDEFER & GRAY, INC., a corporation existing
under the laws of the State of Texas, with its principal offices
at Lubbock, Lubbock County, Texas (hereinafter called "COMPANY"),
each acting herein by and through its respective Officers
heretofore duly authorized.
W I T N E S S E T H:
Heretofore, on the 1st day of April, 1968, the Parties
hereto entered into that certain Lease Agreement, a copy of which
is attached hereto and marked "Exhibit A" for reference. Said
attached Lease Agreement has a primary term, as set forth in Article
XII. 1 thereof, which terminates on December 31, 1990, or subsequent
thereto after five (5) years notice in writing to terminate has
been given by either Party. And, it is the desire of the Parties
hereto to extend the primary term of such Contract dated April 1,
1968, as hereinafter provided.
NOW THEREFORE, in consideration of the mutual agreements
and the considerations of the terms, conditions and covenants to
be kept, done and performed by the Parties hereto, the Parties
do mutually agree and contract that Article XII.1. of Exhibit A,
is hereby amended to read as follows: V
ARTICLE XII.1 TERM OF CONTRACT
Notwithstanding any other provision of this Contract,
the term of this Contract is from the date set forth
hereinabove until December 31, 1998, and thereafter until
a date five years (5 yrs.) subsequent to written notice
of termination of this Contract by either Party. A five
year (5 yr.) termination notice may be given by either
Party to the other, at any time subsequent to December 31,
1993. Notice is to be transmitted by registered or
certified mail with return receipt requested.
PROVIDED, HOWEVER, that the above Amendment is conditioned
upon the following two (2) contingencies:
(A) That a sewage effluent pipeline contemplated
to be constructed with funds derived from a grant from
a U. S. Governmental Agency and extending from the
present City of Lubbock sewage disposal system to the
North boundary line of the proposed research and develop-
ment tract of land consisting of approximately four
thousand (4,000j acres lying immediately North of Wilson,
Lynn County, Texas, is constructed;
(B) That Mr. and Mrs. J. E. Hancock, their heirs
or assigns, have executed a Contract whereby said four
thousand (4,000.) acre tract referred to in Paragraph (A)
above, shall be obligated to and used for the purpose of
environmental and crop production research and disposal
of sewage effluent thereon.
WITNESS OUR HANDS and seal of office the date first herein -
above written.
ATTEST:
City Secretary
ATTEST:
Secretary
THE CITY OF LUBBOCK
By:
ROY BASS, Mayor
STANDEFER & GRAY, INC.
y: �
IJ. FRANK GRAY, President
-2-
KJ:th r, RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF `vBBOCK:
THAT the MAYOR of the CITY OF LUBBOCK, BE and is hereby
authorized and directed to execute a Supplemental Contract between the
CITY OF LUBBOCK and STANDEFER & GRAY, INC., attached herewith
which 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 23 day of March , 1978
ROY BASS, MAYOR
1 ATTEST:
�CyffS
Treva Phillips, City Secr tary-Treasurer
APPROVED AS TO FORM:
Fred O. Senter, Jr., City Attorn-dy
s
The following described tr..-ts or parcels of land lying and being
situated in Lynn County, Texas', to -wit:
All of Tracts 2, 3, 4, 5, 6 and 8, in League One,
and Tract 7 of League Two, according to the map or
plat of Wm. D. Green's Subdivision of a part of
Leagues 1, 2, 3, and 4, Wilson county School Lands,
Lynn County, Texas, which map or plat is of record
in Book 57, Page 38, of the Deed Records of Lynn
County, Texas, containing 1214.52 acres.
All of Tracts 1, 7, 9 and 10 in League.. 1; Tracts 1,
2, 6, 8, 11, 12, 13 an, 14 in League 2; Tract 3 in
League 3; and Tracts 1, 2, 3 and 4, in League 4,
according to the Map or Plat of William D. Green
Subdivision of a part of Leagues 1, 2, 3 and 4,
Wilson County School Lands, Lynn County, Texas,
which Map or Plat is of record in Book 57, Page 38,
of the Deed Records of Lynn County, Texas.
EXHIBIT "C" TO SEWAGE EFFLUENT SUPPLY CONTRACT