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Ordinance No. 16,143 ORDINANCE NO. 16,143
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS,
APPROVING A NEW UNTREATED WATER SUPPLY CONTRACT BETWEEN THE
BAYTOWN AREA WATER AUTHORITY AND THE CITY OF HOUSTON,
CONSOLIDATING THE PREVIOUS FOUR (4) CONTRACT AMENDMENTS AND
MODIFYING THE CONTRACT EXPIRATION DATE TO DECEMBER 31,2055;AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
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BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN,TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby approves a new
Untreated Water Supply Contract between the Baytown Area Water Authority and the City of Houston for
the purpose of consolidating the previous four(4) amendments and modifying the contract expiration date
to December 31, 2055. A copy of such amendment is attached hereto as Exhibit "A" and incorporated
herein for all intents and purposes.
Section 2: This ordinance shall take effect immediately from and after its passage by the City
Council of the City of Baytown.
INTRODUCED, READ and PASSED by the affirmative vot of the City Council o the City of
Baytown this the 8"day of May, 2025.
�k; ANT 0%,,,1j; CHARLES JOHNSO or
A EST. ,��.•.• °•mfi
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ANGEL C °pity Clerl�
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APPROVED AS T FO
SCOTT LEMON City Attorney
R:Ordinances and Resolutions Ordinance Drafts 2025-05-08 Ord-Water Supply Agt.docx
Approved Form for Untreated Water Contract
Rev. December 2, 2020 EXHIBIT "A"
UNTREATED WATER SUPPLY CONTRACT
BETWEEN THE CITY OF HOUSTON,TEXAS AND
BAYTOWN AREA WATER AUTHORITY
THIS UNTREATED WATER SUPPLY CONTRACT ("Contract") is made and entered
into by and between the CITY OF HOUSTON, TEXAS, a municipal corporation and homerule
city which is principally situated and has its City Hall in Harris County, Texas ("Houston"), and
Baytown Area Water Authority, a governmental entity and a body politic and corporate which is
situated and has its principal office at Baytown, Harris County,Texas ("Customer").
RECITALS:
WHEREAS, Houston has the right under certain water rights permits to store, divert, and
use surface waters from the Trinity River Basin and San Jacinto River Basin; and
WHEREAS,Houston desires to sell Untreated Water to Customer for distribution and non-
wasteful beneficial uses consistent with Houston's water rights and applicable laws and regulations,
including, without limitation, the Texas Water Code; and
WHEREAS, Houston has authority to enter into this Contract pursuant to its Home Rule
Charter and Texas Local Government Code Section 552.021; and
WHEREAS,Houston has constructed and or is constructing facilities to enable delivery of
Untreated Water to Customer, and Customer has constructed and/or is constructing facilities to
enable Customer to receive Untreated Water from Houston; and
WHEREAS,Customer has had an Untreated Water contract with Houston since 1994 with
four separate amendments; and
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Rev. December 2, 2020
WHEREAS,Customer has submitted an Amendment Application for a fifth amendment to
modify the contract expiration date to match the terms of 30-year bonds to be issued in 2025; and
WHEREAS,Houston and Customer desire to combine past contract and amendments into
one contract; and
WHEREAS,Customer is a governmental entity and body politic and corporate; and
WHEREAS, Houston desires to sell Untreated Water to Customer, and Customer desires
to purchase Untreated Water from Houston for use at its facilities located at 7425 Thompson Rd.,
Baytown,TX 77521 ("Customer's Facilities").
NOW, THEREFORE, as set out in the Recitals above, the truth of which the Parties
acknowledge, and for and in consideration of the premises and the mutual covenants and
agreements herein contained, the Parties agree as follows:
ARTICLE I
Definitions
As used in this Contract,the following terms are intended and used herein to have meanings
as follows:
The term "Applicable Laws" means, but is not limited to, limitations, restrictions,
conditions, standards, prohibitions, and requirements of any law, statute, ordinance, rule,
regulation,order,or determination of any government authority with jurisdiction, including,
without limitation,the Water Service Manual,as amended,all applicable zoning ordinances,
building codes, flood rules and regulations, health laws and regulations, and environmental
laws.
The term "Application for Untreated Matei" means the Application for Untreated
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Approved Form for Untreated Water Contract
Rev. December 2, 2020
Water in the approved form attached to this Contract as Exhibit A and incorporated in this
Contract for all purposes.
The term "Amendment Application" means an application to amend the Untreated
Water Supply Contract, filed in the approved form for the Application for Untreated Water,
referencing the existing Contract and stating the requested changes.
The term "Best Management Practices" means voluntary efficiency measures that
save a quantifiable amount of Untreated Water, either directly or indirectly, and that can be
implemented within a specific time frame, as defined by the Texas Commission on
Environmental Quality in its riles at 31 Texas Administrative Code, Section 288.1(3).
The term "City Code" is a shorthand reference to the Code of Ordinances of the
City of Houston,Texas.
The term "Coastal Water Authority" means Coastal Water Authority, or any
successor entity, which operates Houston's Surface Water System transmission lines.
"CWA" is an abbreviation for Coastal Water Authority.
The term "Coastal Water Authority Raw Water Service Connection General
Requirements"means the Coastal Water Authority Raw Water Service Connection General
Requirements, as amended from time to time,which clarifies, supplements, and defines the
terms of this Contract. The current version of the Coastal Water Authority Raw Water
Service Connection General Requirements is attached to this Contract as Exhibit D and
incorporated in this Contract by reference for all purposes.
The term"Contract Quantity"means the maximum quantity of Untreated Water in
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Rev. December 2, 2020
millions of gallons per day that Houston agrees to sell and deliver to Customer, in
accordance with the terms and conditions set forth in this Contract.
The term "Contract Term" means the term of this Contract, beginning on the
Effective Date and ending on the Expiration Date, as addressed in Article IX.
The term "Customer's Facilities" means Customer's Facilities described in the
Recitals, including Facilities as defined herein below and any facilities required by Article
II of this Contract.
The term "Director" means the Director of Houston Public Works or any successor
department and all persons designated by the Director to administer the sale and delivery of
Untreated Water to Customer. The term"Director"shall also mean the"Utility Official" as
defined below.
The term "Effectii-e Date" means the date of Countersignature by the Houston City
Controller and the date this Contract takes effect.
The term "Expiration Date" means the date this Contract expires as referenced in
Article II and Article IX.
The term "Facilities" means all facilities determined by the Director or Coastal
Water Authority to be required to connect to Houston's Surface Water System, or CWA's
system as specified in Article II, the Water Service Manual,and the Coastal Water Authority
Raw Water Service Connection General Requirements.
The term "GPM" is an abbreviation for gallons per minute.
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Rev. December 2, 2020
The term "Measuring Equipment"means any meters,totalizers, or other equipment
for which the design, construction, installation, and operation has been approved by the
Director and accepted by Houston for ownership, operation, and maintenance for the
purpose of measuring accurately all Untreated Water delivered to Customer at the Point of
Measurement in accordance with this Contract.
The term "MGD" is an abbreviation for million gallons of water per day.
The term"Notice"means all written Notices required or permitted to be given to the
other party under the terms and conditions of this Contract.
The term"Party"means either Houston or Customer in accordance with the context.
The term"Parties"means both Houston and Customer.
The term "Peak Rate" means the maximum rate in gallons per minute at which
Customer can take Untreated Water at the Point of Delivery as specified in Article II of this
Contract.
The term "Point of Delii-erv" means a location to be determined in a future
addendum by the parties, to which Houston agrees to deliver Untreated Water to Customer,
which will be described and shown on the map signed and sealed by a Texas Registered
Professional Land Surveyor attached to this Contract when determined and incorporated in
this Contract by reference for all purposes. Until this Addendum is completed, the parties
agree to use the existing connection between the parties as shown in Exhibit B.
The term "Point of Measurement" means the location, in Texas coordinates, of the
meter where Customer's consumption of Untreated Water is measured, which is more
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Rev. December 2, 2020
particularly described and shown on the map signed and sealed by a Texas Registered
Professional Land Surveyor attached to this Contract as Exhibit B.
The term"Surface Water System"means all facilities and surface water sources now
owned or hereinafter acquired or constructed by Houston for the purpose of supplying
Untreated Water.
The term "Sari face Water System Costs" means all costs budgeted for expenditure
by Houston in Houston's annual budget as approved by Houston's governing body or
actually incurred by Houston in acquiring, designing, constructing, financing,
administrating, operating, and maintaining the Surface Water System and a reasonable
allowance for depreciation and replacement of the Surface Water System.
The term"Svstem Return Flotius" means Untreated Water or treated (potable) water
supplied or produced by Houston which is returned to surface watercourses as return flows.
The term "TCEQ" is an abbreviation for the Texas Commission on Environmental
Quality, and any of its successors or predecessors.
The term "TWDB" is an abbreviation for the Texas Water Development Board and
any of its successors or predecessors.
The term "Threshold"is a shorthand reference for the required take of seventy-five
percent of the unreserved portion of the Contract Quantity as defined herein above.
The term "Untreated Water" means raw water, from whatever source, that is not
potable.
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The term "Utility Official,"as used herein and in the City Code, means the Director
of Houston Public Works, or the Director's designee.
The term "Water Service Manual" means the Water Service Manual for Standard
Water Supply Contracts, as amended from time to time, which clarifies, supplements, and
defines the terms of this Contract and Houston's procedures to be used in implementing the
tenns and conditions of this Contract. The current version of the Water Service Manual is
attached to this Contract as Exhibit C and incorporated in this Contract by reference for all
purposes.
ARTICLE II
Sale and Delivery of Water
2.1 Deliveiy Terins. Subject to the terms and conditions of this Contract and the then-
applicable provisions of the City Code, including,without limitation,Chapter 47 Water and Sewers,
during the Contract Term, Houston agrees to sell and deliver to Customer, and Customer agrees to
purchase and receive from Houston at the Point of Delivery, Untreated Water at daily rates of
delivery not in excess of the Contract Quantity or Peak Rate as may be needed by Customer.
Customer is prohibited from taking Untreated Water in volumes in excess of the Contract Quantity
and/or at rates in excess of the Peak Rates specified in this Contract at the authorized Point of
Delivery.
2.2 Dates ol'Untreated Water Delivery. Houston stands ready to deliver Untreated
Water to Customer as of the Effective Date; provided, however, that in no case shall Houston
provide Untreated Water at any time before the terns and conditions of delivery specified in this
Contract and in the Water Service Manual are satisfied. After the Expiration Date, Houston has
no further obligation to deliver Untreated Water to Customer, and this Contract shall automatically
terminate.
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2.3 Extension of Time to Take Untreated Water. If Customer has a valid reason for
extending the time before delivery of Untreated Water, the Effective Date may be extended by the
Director, in his or her sole discretion. Customer must submit a written request for an extension of
time, dated before the Effective Date, stating the reason the extension is needed. No extension of
time is valid until it is approved in writing by the Director. The Director's decision on the extension
of time is final and not subject to formal or informal appeal.
2.4 Conditions of Delivery. Houston's delivery of Untreated Water to Customer is
conditioned upon the approval, permitting, construction, and installation of all Facilities required
by the Director and Coastal Water Authority for connection to Houston's Untreated Water System,
including, without limitation, the following:
2.4.1 Facilities specified in the Service Manual;
2.4.2 Facilities required by CWA Raw Water Service Connection General
Requirements;
2.4.3 Measuring Equipment and associated meter facilities as specified in the
Water Service Manual;
2.4.4 Cross connection control, air gap and or other appropriate backflow
prevention devices and equipment;
2.4.5 Rate of flow controller valve and sufficient storage facilities to prevent
Customer from exceeding the Peak Rate;
2.4.6 Facilities necessary for compliance with the City Code and Uniform
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Rev. December 2, 2020
Plumbing Code, as amended from time to time; and
2.4.7 Facilities necessary for compliance with Applicable Laws.
2.5 Time for Construction or Installation of Customer's Facilities. If any new
construction,installation,or retrofitting is necessary for Customer's compliance with Sections 2.4.4
and 2.4.5 of this Article I1,then Customer shall have up to eighteen months from the Effective Date
of this Contract to complete construction or installation of Customer's Facilities as required in this
Article 11.
2.6 Rate o 'Deliverv. The Contract Quantity of Untreated Water to be delivered under
this Contract is 32 MGD; 20 MGD at the Point of Delivery shown in Exhibit`B", and 12 MGD at
the Point of Delivery shown in Exhibit"B-1".
2.7 Peak Rate. Customer's Peak Rate is 31,111 GPM. Customer shall not take
Untreated Water in excess of the Peak Rate, and Customer shall not take Untreated Water at any
rate that will cause Customer to exceed the Contract Quantity on any day or for any month.
2.8 Purchase Requirements. Customer is required to purchase at least ninety percent of
its Untreated Water requirements at Customer's Facilities at the Point(s)of Delivery for its own use
from Houston as required under Article IV of this Contract. Customer will provide written evidence
of meeting this requirement by submitting the quarterly reports in accordance with Article IV.
2.9 Source of Water. Houston may deliver Untreated Water to Customer from any source
or combination of sources available to Houston.
2.10 Limitations on Customer's Use. Customer understands and agrees that Houston
maintains control of the Untreated Water supply provided under this Contract and all surface water
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Rev. December 2, 2020
supplies under water rights and permits owned by Houston. Specifically, Customer agrees to the
following requirements:
2.10.1 Customer may not take Untreated Water at any location other than the
Point(s) of Delivery authorized under this Contract;
2.10.2 Customer has no expectation of increases in the Contract Quantity under
this Contract; any increase to the Contract Quantity must be approved by Contract
amendment signed by both Parties upon Customer's written application in the form
specified by the Director; and
2.10.3 Customer is not authorized to use Houston's storage to meet Customer's
Peak Rate. To protect the City's Untreated Water supply for all customers. Customer must
maintain storage facilities to meet any demands where Untreated Water must be taken in
excess of the Peak Rate.
2.11 Prohibition of Sale, Lease, Assignment, or Other Provision of Untreated Grater.
Except as specifically provided for in Article XV, Customer may not resell, assign, lease, or
otherwise provide Untreated Water delivered by Houston under this Contract to any other person
or entity without written Notice and the written approval of the Director.
2.12 Contract Amendment Reguiied. Customer shall complete an Amendment
Application under the following circumstances:
2.12.1 If Customer desires to resell,assign,or otherwise provide Untreated Water
to any other person or entity, an application to amend the Contract must be made in writing
to the Director on forms provided by the Director for requested sales,leases,or assignments.
Such resale, assignment, or other provision of Untreated Water to any other person is not
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Rev. December 2, 2020
authorized unless or until a Contract Amendment is granted.
2.12.2 If, at any time after the Effective Date, Customer wishes to reserve for
itself additional Contract Quantities of Untreated Water, Customer must submit an
Amendment Application. Upon review of the application, the Contract may be amended in
accordance with applicable contract amendment procedures, to increase the Contract
Quantity of Untreated Water supplied to Customer subject to appropriate terms and
conditions.
2.13 Provision of Untreated Water. Houston intends to provide Untreated Water on a first
come, first served basis to protect the Untreated Water supply for those who will put the Untreated
Water to beneficial use. All Untreated Water to be supplied under this Contract is expected to be
put to beneficial use as of the Effective Date. Customers must state on the Application the date on
which all or part of the Contract Quantity will be taken.
2.14 Reservation of Untreated Water for up to Three Years. It is understood and agreed
that there may be certain circumstances, such as, by way of example only, an extensive and long-
term construction contract,which require the reservation of Untreated Water service to some future
date or circumstance. If all or any part of the Contract Quantity is not needed immediately, then
that portion of the Contract Quantity may be reserved for a time period not to exceed three years,
and Customer must pay Houston the Untreated Water Reservation Charges as specified in Article
III, below.
2.15 Reservation of Untreated Water Bevond Three Years. If all or any part of the
Contract Quantity is not needed for any time period beyond three years, then, Customer must
submit a written request for reservation of Untreated Water for any time after beyond three years
of the Effective Date. Written requests for reservation of Untreated Water beyond three years of
the Effective Date will be forwarded by the Director with the Director's recommendation and the
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Rev. December 2, 2020
reasons therefor, to the City Council for consideration. The action by the City Council to grant or
deny the request for reservation of Untreated Water beyond three years is final and unappealable.
ARTICLE III
Rates and Prices
3.1 Untreated Water Rate. The charge for all Untreated Water sold and delivered by
Houston to Customer shall be calculated in accordance with the rates for Untreated Water customers
as set forth in the Water Service Manual, and the City Code, Chapter 47, especially Section 47-84,
et seq., as amended from time to time or renumbered in the future and incorporated herein by
reference.
3.2 Billing for Untreated Water. Billing at the rate for Untreated Water shall
commence on the Effective Date. If any portion of the Contract Quantity is reserved and authorized
not to be taken on the Effective Date, then Customer will be billed the Untreated Water Reservation
Charges. For all Untreated Water Supply Contracts, Customer billing will begin at the appropriate
rate as of the Effective Date.
3.3 Excess Consumption Charge. If, at any time, during any day or month, Customer's
consumption of Untreated Water delivered by Houston exceeds the Contract Quantity by ten
percent (101/o) or more, then Customer shall be required to pay the excess consumption surcharge
established by Houston and set forth in City Code Section 47.85, as amended or renumbered.
3.4 Untreated Water Reservation Charges. To reserve all or any portion of the Contract
Quantity of Untreated Water for up to three years beyond the Effective Date, the following charges
shall apply:
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3.4.1 For all months up to the first twenty-four months following the Effective
Date, Customer must pay Houston an Untreated Water Reservation Charge of twenty-five
percent(250 o)times the Contract Rate for Untreated Water times the reserved portion of the
Contract Quantity to be calculated as follows:
(Contract Price for Untreated Water x 0.25) x (Reserved Portion of the Contract
Quantity) x (Days in the month)
3.4.2 For the next twelve months after the first twenty-four-month period,
Customer must pay Houston an Untreated Water Reservation Fee of fifty percent (50%)
times the Contract Rate for Untreated Water times the reserved portion of the Contract
Quantity to be calculated as follows:
(Contract Price for Untreated Water x 0.50) x (Reserved Portion of the Contract
Quantity)x(Days in the month)
3.5 CWA Fees and Charges. Customers are responsible for paying any and all fees
charged by the Coastal Water Authority, in accordance with the Coastal Water Authority Raw Water
Service Connection General Requirements.
ARTICLE IV
Reports
4.1 Quarterly Reports. Within thirty days after the end of each quarterly period during
the Contract Term, Customer shall furnish Houston with a statement under oath showing the
quantities and sources of all Untreated Water used or sold by Customer during such quarterly
period.
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4.2 Annual Water Loss Audit. Customer shall also prepare and file an Annual Water
Loss Audit as specified in Section XI.
ARTICLE V
Measuring Equipment
5.1 Untreated Water.Meter Required. At Customer's own cost and expense, Customer
shall furnish and install at the Point of Measurement shown on Exhibit B Measuring Equipment for
measuring and recording accurately the quantity of Untreated Water delivered under this Contract
as specified in the Water Service Manual. The Measuring Equipment must be installed, inspected,
operated, and maintained in accordance with the Water Service Manual.
5.2 Access to Measuring Equipment. During all reasonable hours, Houston, Customer,
and CWA shall have access to the Measuring Equipment. Customer may have access to all records
pertinent to determining the measurement and quantity of Untreated Water delivered under this
Contract, but the reading of the Measuring Equipment for purposes of billing shall be performed
by Houston.
ARTICLE VI
Customer Billing and Payment
6.1 Customer Liability for Rates, Fees, and Charges. Customer shall pay all rates, fees,
and charges billed by Houston in accordance with the duly adopted rates, fees, and charges
established by Houston's City Council and as specified in City Code Chapter 47, the Citywide Fee
Schedule, and the Water Service Manual; provided, however, that in any case of conflict between
the Water Service Manual and the City Code, the City Code prevails.
ARTICLE VII
Title to and Responsibility for Water
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7.1 No Title: Customer Responsibility. As between Customer and Houston, Houston
shall be in exclusive control and possession of, and solely responsible for,all Untreated Water until
the same shall pass through the Point of Delivery. Thereafter, Customer shall be in exclusive
control and possession of, and solely responsible for, all Untreated Water; provided, however, that
title to the Untreated Water shall remain with Houston at all times as provided in Article VIII.
7.2 NO WARRANTIES. HOUSTON MAKES NO WARRANTY, EXPRESS OR
IMPLIED, REGARDING THE QUANTITY, QUALITY, OR DELIVERY PRESSURE OF
UNTREATED WATER, INCLUDING THE IMPLIED WARRANTIES OF
MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
7.3 INDEMNITY. CUSTOMER COVENANTS AND WARRANTS THAT IT
WILL PROTECT, DEFEND,AND HOLD HOUSTON HARMLESS FROM ANY AND ALL
THIRD PARTY CLAIMS,DEMANDS,AND LIABILITY,INCLUDING DEFENSE COSTS,
RELATING IN ANY WAY TO DAMAGES, CLAIMS, OR FINES ARISING BY REASON
OF OR IN CONNECTION WITH DAMAGE OR INJURY CAUSED BY HOUSTON'S
DELIVERY TO CUSTOMER OR CUSTOMER'S POSSESSION OF UNTREATED
WATER PURSUANT TO THIS CONTRACT, WHERE SUCH INJURY ARISES OUT OF
CUSTOMER'S ACTUAL OR ALLEGED NEGLIGENCE OR WRONGFUL ACTION.
CUSTOMER FURTHER EXPRESSLY COVENANTS AND AGREES TO PROTECT,
DEFEND, INDEMNIFY, AND HOLD HARMLESS HOUSTON, ITS OFFICIALS,
OFFICERS, EMPLOYEES,AGENTS, SUCH AS COASTAL WATER AUTHORITY, AND
ASSIGNS FROM ALL DAMAGES, CLAIMS, OR FINES (1)ARISING BY REASON OF,
OR IN CONNECTION WITH, DAMAGE OR INJURY CAUSED BY THE DELIVERY TO
CUSTOMER OR POSSESSION OF UNTREATED WATER PURSUANT TO THIS
CONTRACT AFTER PASSAGE OF THE UNTREATED WATER THROUGH THE POINT
OF DELIVERY, AND (2) RELATING IN ANY WAY TO THE ACTUAL OR ALLEGED
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JOINT AND/OR CONCURRENT NEGLIGENCE OF HOUSTON AND CUSTOMER,
WHETHER CUSTOMER IS IMMUNE FROM LIABILITY OR NOT. IT IS THE
EXPRESSED INTENTION OF THE PARTIES THAT THE INDEMNITY PROVIDED
HEREIN IS AN AGREEMENT BY CUSTOMER TO INDEMNIFY AND PROTECT
HOUSTON FROM HOUSTON'S OWN NEGLIGENCE WHERE SAID NEGLIGENCE IS
AN ALLEGED OR ACTUAL CONCURRING PROXIMATE CAUSE OF ANY ALLEGED
THIRD-PARTY HARM. THE INDEMNITY PROVISION PROVIDED HEREIN SHALL
HAVE NO APPLICATION TO ANY CLAIM OR DEMAND WHERE BODILY INJURY,
DEATH, OR DAMAGE RESULTS ONLY FROM THE SOLE NEGLIGENCE OF
HOUSTON UNMIXED WITH ANY FAULT OF CUSTOMER. NOTWITHSTANDING
ANYTHING HEREIN TO THE CONTRARY, THE LIABILITY OF CUSTOMER UNDER
THIS INDEMNITY PROVISION SHALL NOT EXCEED$1,000,000 PER OCCURRENCE.
7.4 Untreated Water Handling Facilities. With respect to all water handling facilities
(if any) located between the Point of Delivery and the Point of Measurement, Customer and
Houston specifically agree that:
7.4.1 All such facilities, other than the Measurement Equipment itself, shall be
and remain the property of Customer, subject to the terms of this Contract;
7.4.2 Customer shall take all reasonable steps to maintain such facilities and to
prevent leaks or discharges from such facilities;
7.4.3 Customer shall repair any such leak or discharge at once upon receiving
Notice thereof and pay Houston the price of any Untreated Water or water lost by reason of
such a leak or discharge;
7.4.4 Customer shall correct or repair any damage caused by any leak or discharge
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and shall hold Houston harmless from and against any damage and claims therefor;
7.4.5 Customer shall promptly remove such facilities and restore their locations to
their pre-existing conditions whenever this Contract is no longer in effect and Houston so
requests; and
7.4.6 Customer shall alter or relocate, at its sole cost, any such facilities whenever
Houston shall reasonably request in writing that the same be done.
• Suspension of Service During Emergency Conditions. If Customer does not take the
reasonable actions specified in this Article VII,or if major leaks, compliance with Applicable Laws
issues, or emergency conditions occur, then Houston may suspend service with no Notice to
Customer as needed to address the circumstances of the major leak,compliance issue,or emergency
condition. Houston will use its best efforts to provide Notice to Customer of the circumstances and
the actions undertaken.
ARTICLE VIII
Title to System: Return Flows
8.1 No Title to Return Flows. Customer acknowledges that the Untreated Water
supplied to it by Houston may be returned to watercourses as System Return Flows. The Parties
agree that, other than for purposes of liability, title to all Untreated Water delivered hereunder
remains with Houston. The Parties also agree that Houston has the right, subsequent to Customer's
use of the Untreated Water, to make whatever reuse of the Untreated Water Houston deems
desirable.
8.2 No Compensation for Return Flows. Customer will receive no compensation,
credit, or offset for making System Return Flows available to Houston.
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ARTICLE IX
Tern: and Termination
9.1 Contract Terra. This Contract shall be in force and effect beginning on the Effective
Date and will continue in effect until December 31, 2055 at 11:59 p.m., which is the Expiration
Date.
9.2 Contract Ternlination1or Cause. This Contract may be terminated by the Director
for nonpayment of Untreated Water bills. The Director is also authorized to terminate the Contract
for convenience on behalf of Houston or reduce the Contract Quantity upon thirty days' Notice to
Customer under the following circumstances:
9.2.1 If Customer habitually violates the terms of this Contract, including without
limitation taking in excess of the Peak Rate or Contract Quantity, or if Customer becomes
and remains out of compliance with Applicable Laws after reasonable opportunity to
comply.
9.2.2 Subject to the Untreated Water Reservation provisions and the Contract
Termination Provisions of this Contract if Customer does not begin taking Untreated Water
within thirty-six months of the Effective Date, or for any calendar year after Customer has
begun taking Untreated Water under this Contract, then this Contract shall automatically
terminate. This provision shall not be applicable if the Director has granted written
permission for Customer to delay or suspend delivery of Untreated Water under this
Contract pursuant to Section 2.3.
9.2.3 If,after a Customer begins taking Untreated Water after the Effective Date,
Customer has not taken any Untreated Water for twelve consecutive months after the
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Effective Date, not including any portion of the Contract Quantity for which the Untreated
Water Reservation Fee has been paid,then this Contract may be terminated by the Director.
9.2.4 If Customer has failed to take the Threshold, at least seventy-five percent
of the unreserved portion of the Contract Quantity, in any of nine months of a calendar year,
not including any portion of the Contract Quantity for which the Untreated Water
Reservation Fee has been paid, the Director may decrease the unreserved portion of the
Contract Quantity to the average monthly consumption by Customer during the latest
calendar year. In calculating the twelve-month period, the Director shall disregard any
month where a Force Majeure prevented Customer from taking at least seventy-five percent
of the Contract Quantity. The Director shall also disregard any months related to special or
unusual circumstances which are not likely to affect Customer's ability to satisfy the
Threshold in the fiiture.
9.3 Customer Termination. Customer may terminate this Contract upon ninety days'
Notice to the City of Houston.
9.4 No Guarantee of Continued Untreated Water. Customer acknowledges that there is
no guarantee that Houston will continue to provide Customer with Untreated Water beyond the
Contract Term.
ARTICLE X
Compliance with Applicable Laws and Performance by Houston and Customer
10.1 Compliance with Applicable Laws. Compliance with Applicable Laws is required
as follows:
10.1.1 Houston and Customer assert that the Contract Quantity will not be
UNTREATED WATER SUPPLY CONTRACT PAGE 19
Approved Form for Untreated Water Contract
Rev. December 2, 2020
supplied under this Contract in any instance where to do so would involve a violation of
Applicable Laws. Customer and Houston will provide written Notice to the other Party in
any case where performance under this (-ontract is likely to violate Applicable Laws.
10.1.2 This Contract is subject to the Parties' compliance with Applicable Laws,
including TCEQ and TWDB rules. In the event of changes to Applicable Laws, the
requirements of this Contract shall automatically be modified so that Customer's
compliance with Applicable Laws shall constitute compliance with this Contract.
10.2 No Impairment by Houston. Houston covenants and agrees that it will not contract
for the sale of Untreated Water to other users to such an extent or for such quantities as to impair
Houston's ability to perform fully and punctually its obligations to Customer under this Contract.
In case of a temporary shortage of Untreated Water, notwithstanding Houston's compliance with
the provisions of this Article X, Houston shall distribute the available supply of Untreated Water
as provided by the laws of the State of Texas, particularly Texas Water Code Section 11.039 (a),
as amended.
10.3 Emery Untreated Water Supply- Customer is strongly encouraged to maintain,
at its sole expense, its groundwater wells and/or other Untreated Water storage facilities, in good
repair and working order to facilitate the use of such groundwater wells or Untreated Water storage
facilities as an emergency source of supply, if required, should Houston be unable to deliver the
Contract Quantity for any reason. Customer shall bear all costs of maintaining and supplying such
emergency sources of supply.
ARTICLE XI
Environmental Considerations
11.1 Water Conservation Plan Required. On or before the first anniversary of the
UNTREATED WATER SUPPLY CONTRACT PAGE 20
Approved Form for Untreated Water Contract
Rev. December 2, 2020
Effective Date, Customer shall create, update, and approve, as necessary, and implement, at all
times throughout the term of this Contract an Untreated Water Conservation Plan in compliance
with Applicable laws, including TCEQ and TWDB rules and consistent with Houston's current
Water Conservation Plan and water demand reduction target goals. Such Water Conservation Plan
(and any amendments thereto) shall provide for the utilization of reasonable practices, tools,
measures,and technologies for Untreated Water use that reduce the consumption of water on a per-
unit basis, reduce the loss or waste of water, and improve efficiency for both domestic and
commercial uses. If required by TCEQ and TWDB rules related to Customer's profile, the
Customer must submit the Water Conservation Plan to the appropriate regulatory authority for
review and approval as required by Applicable Laws. In the event that the TCEQ and:'or the
TWDB adopt new requirements, Customer shall adopt an amended Water Conservation Plan and
submit it to the appropriate regulatory authorities for review and approval. Customer's Water
Conservation Plan must contain requirements for the use of practices, tools, measures, and
technologies for water conservation consistent with those adopted by Houston's City Council.
Customer must provide a copy of its approved Water Conservation Plan to Houston within three
days of its adoption.
11.2 Maintenance of Water Conservation Plan Required. At all times during the term
of this Contract, Customer must maintain full compliance with the approved water conservation
plan.
11.3 Prohibition of Waste of Untreated Water. Customer agrees to implement waste
prohibition actions and measures that increase water-efficiency and prohibit wasteful activities,
such as prohibiting water waste during irrigation practices, scheduling, single pass cooling, non-
recycling decorative fountains, non-recirculating systems in all new conveyer or in-bay automatic
vehicle wash and commercial laundry systems; discharge of process water that could potentially be
reused within the facility for another process use or for irrigation;and use of inefficient water softeners.
UNTREATED WATER SUPPLY CONTRACT PAGE 21
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Rev. December 2, 2020
Other water waste practices may include wash and rinse processes which run for longer time periods
or at greater flow rates than needed or processes in which water is used as a conveyance.
11.4 Irrigation Water Waste. Water waste during irrigation includes water running down
the gutter; irrigation heads or sprinklers spraying directly on paved surfaces such as streets, parking
lots,and driveways;operating an automatic irrigation system without a functioning rain shut off device;
operating an irrigation system that has misting heads due to broken heads or failure to install pressure
reduction device; irrigating between 10 a.m. and 6 p.m. during seasons with high evapotranspiration;
and irrigating more than required by actual or reference evapotranspiration.
11.5 Process Water Waste. Proper controls can limit water use to the minimum necessary
in many facility processes. Limiting or eliminating the use of water in facility wash down operations
is also another potential means to reduce water waste. Significant water savings can also be achieved
through a proactive and frequent facility leak detection and repair program that addresses all facility
pipes,valves, plumbing fixtures, and process equipment.
11.6 Water Loss Audit Report. Customer agrees to track non-revenue water through
the implementation of an annual water loss audit. If required by TWDB rules, Customer must
submit a Water Loss Audit Report on an annual or five-year cycle in compliance with Applicable
Laws. The Water Loss Audit Report must be submitted to the applicable regulatory authority and
included in the Customer's Water Conservation Plan specified in Section 11.2, above, including
prohibitions against wasting water, and required water-efficiency measures.
11.7 Water Management Requirements. As part of Customer's compliance with
Applicable Laws, Customer shall make and document all reasonable efforts to prevent and
discourage waste of water and use of Best Management Practices provided by the TCEQ and the
TWDB. Customer agrees to satisfy Houston's Customer water management requirements
prescribed in this Contract, including the Water Service Manual, in addition to the above
requirement for a water conservation plan.
UNTREATED WATER SUPPLY CONTRACT PAGE 22
Approved Form for Untreated Water Contract
Rev. December 2, 2020
11.8 Water Distribution During Water Shortage or Drought. Customer's acceptance of
this Contract and its water conservation plan includes an acceptance of the Parties' responsibility
for compliance with Applicable Laws and an acceptance that during periods of water shortage or
drought, Houston and Customer shall distribute water in accordance with Texas Water Code
§11.039.
11.9 Water Conservation in Customer Contracts. Customer agrees that in the event
Customer furnishes or sells Untreated Water to a third party, Customer shall require that the water
conservation requirements of this Contract be included in any contractual agreements between
Customer and the third party receiving Untreated Water, and that the contractual agreements
provide for the implementation and continued compliance with a water conservation program
consistent with the requirements of the TCEQ and this Contract as specified in this Article X1.
ARTICLE XII
Remedies Upon Default
12.1 Default and Remedies. In the event any default by Customer in the performance of
any of Customer's obligations hereunder continues for a period of thirty days or more, Houston
shall give written Notice to Customer specifying the matter with respect to which Customer is in
default and requesting that the default be remedied within thirty days. If Customer remains in
default and does not cure the default within thirty days after receiving the written Notice from
Houston, then Houston may suspend further delivery of Untreated Water to Customer under this
Contract. If Customer does not cure the default within sixty days, then Houston may, by an
additional written Notice to Customer, cancel and terminate this Contract. If Houston terminates
or cancels the Contract under this section,then all rights of Customer and all obligations of Houston
under this Contract shall terminate and expire. The exercise of the rights in this section shall be in
addition to any other legal, equitable,or extrajudicial remedies available to Houston under the laws
UNTREATED WATER SUPPLY CONTRACT PAGE 23
Approved Form for Untreated Water Contract
Rev. December 2, 2020
of the State of Texas.
12-r No Wah-er or Contract Requirements. The failure of either Party to insist in any one
or more instances upon performance of any of the terms, covenants, or conditions of this Contract
shall not be construed as a waiver or relinquishment of the future performance of any such term,
covenant, or condition by the other Party, and the obligation of such Party with respect to future
performance shall continue in full force and effect.
ARTICLE XIII
Force Majeure
13.1 Definition. Force Majeure means fires, interruption of utility services, epidemics
or pandemics affecting the City of Houston service area, floods, hurricanes, tornadoes, ice storms,
and other natural disasters,explosions, war, terrorist acts against Houston or Customer, riots, court
orders, and acts of governmental or military authority, and which the affected party is unable to
prevent by the exercise of reasonable diligence. The term does not include any changes in general
economic conditions such as inflation, interest rates,economic downturn,or other factors of general
application, or an event that merely makes performance more difficult, expensive, or impractical.
13.2 Relief for Force Majeure. Timely performance by both Parties is essential to this
Contract. However, neither Party is liable for delays or other failures to perform its obligations
under this Contract to the extent the delay or failure is caused by a Force Majeure.
13.3 Requirements for Relief This relief is not applicable unless the affected Party does
the following:
UNTREATED WATER SUPPLY CONTRACT PAGE 24
Approved Form for Untreated Water Contract
Rev. December 2, 2020
13.3.1 Uses due diligence to remove the effects of the Force Majeure as quickly as
possible and to continue performance notwithstanding the Force Majeure; and
13.3.2 Provides the other Party with prompt written Notice of the cause and its
anticipated effect.
13.4 Director's Review. The Director will review claims that a Force Majeure that
directly impacts Houston or Customer has occurred and render a written decision within fourteen
days. The decision of the Director is final.
13.5 Termination for Force Majeure. If the Force Majeure continues for more than thirty
days from the date performance is affected, the Director may terminate this Contract by giving
seven days'written Notice to Customer. This termination is not a default or breach of this Contract.
CUSTOMER WAIVES ANY CLAIM IT MAY HAVE FOR FINANCIAL LOSSES OR OTHER
DAMAGES RESULTING FROM THE TERMINATION.
13.6 No Relief During Labor Action. Customer is not relieved from performing its
obligations under this Contract due to a strike or work slowdown of its employees. Customer shall
employ only fully trained and qualified personnel during a strike.
13.7 Additional Force Majeure for Houston. It is understood and agreed that Houston
receives its supply of Untreated Water from others, and this Untreated Water must be transported
over long distances before it is received by Houston. Accordingly, it is agreed that stoppage or
diminution of the Untreated Water received by Houston from one or more of its sources(other than
by reason of Houston's failure to make payments due to its suppliers) shall be deemed a Force
Majeure, and that Houston cannot and does not guarantee constant availability of Untreated Water
hereunder but does agree to use its best efforts to maintain such availability. It is further agreed
that Houston may, without liability or default, interrupt the delivery of Untreated Water under this
UNTREATED WATER SUPPLY CONTRACT PAGE 25
Approved Form for Untreated Water Contract
Rev. December 2, 2020
Contract to make necessary alterations to or repairs to its facilities or CWA facilities, but only if
such interruption cannot otherwise reasonably be avoided. Houston shall give reasonable prior
Notice of any such interruption to Customer and, to the extent possible, Houston shall schedule
interruptions in advance after consultation with Customer.
ARTICLE XIV
Addresses and Notices
14.1 Addresses for Notices. Until Customer is otherwise notified in writing by Houston,
Customer shall communicate with Houston on matters involving this Contract as follows:
For Billing and Payment Issues:
Houston Public Works Utility Billing
P.O. Box 1560
Houston, Texas 77251-1560
Email address: Co11tI'act.�VateCcc!•hoUstolltx.izo\'
For all Notices:
Houston Public Works
Attn: Director
611 Walker, 25`" Floor
Houston,Texas 77002
Email address: PublicWorks u,lloustont,\.(—To\*
Until Houston is otherwise notified in writing by Customer, the address of Customer is and shall
remain as follows:
Attn: Director of Public Works and Engineering, 2123 Market St., Baytown, Texas 77520
UNTREATED WATER SUPPLY CONTRACT PAGE 26
Approved Form for Untreated Water Contract
Rev. December 2, 2020
• Notice Requirements. Notices required under this Contract sent by U.S. Mail as
specified herein must also be simultaneously transmitted by electronic mail to the other Party.
ARTICLE XV
Miscellaneous Provisions
15.1 Assignment. This Contract shall bind and benefit the Parties and their legal
successors, but shall not otherwise be assignable, in whole or in part, by either Party without first
obtaining the written consent of the other; provided, however, that Customer shall have the right,
with the consent of the Director based on a written request by Customer, to pledge or otherwise
assign Customer's rights hereunder to the extent required by any mortgage, deed of trust, or other
similar agreement to which Customer may now be, or hereafter become, a party or to otherwise
assign Customer's rights and obligations hereunder in connection with any merger or consolidation
or any sale of all or substantially all of Customer's Facilities. The Director will consent to the
assignment as stated herein if the Director can determine that Customer's successor or assignee is
a responsible person and shall (by operation of law or otherwise) expressly assume Customer's
obligations hereunder in a written document appended to the assignment request.
15.2 No Third-Party Benefits. This Contract shall be for the sole and exclusive benefit
of Customer and Houston and shall not be construed to confer any rights upon any third party.
Houston shall never be subject to any liability in damages to any customer of Customer for any
failure to perform under this Contract.
15.3 No Waiver of Sovereizn Immunity. The City and Customer expressly
acknowledge that the City is a home-rule city and political subdivision of the State of Texas, and
nothing in this Contract will be construed as a waiver or relinquishment by the City of its right to
claim such exemptions, privileges, and immunities, including sovereign immunity, as may be
provided by law. Additionally, if Customer is a body politic and:or political subdivision of the
UNTREATED WATER SUPPLY CONTRACT PAGE 27
Approved Form for Untreated Water Contract
Rev. December 2, 2020
State of Texas, nothing in this Contract shall be construed as a waiver or relinquishment by
Customer of its right to claim such exemptions, privileges, and immunities, including sovereign
immunity, as may be provided by law regarding the purchase of goods and services as set forth
herein.
15.4 Governing Law and Venue. This Contract shall be subject to all present and future
valid laws, orders, rules, and regulations of the United States of America, the State of Texas, and
any regulatory body having jurisdiction. Venue for any disputes relating in any way to this Contract
shall lie exclusively in Harris County, Texas.
15.5 Severabilitv. If any provision of this Contract is held to be illegal, invalid, or
unenforceable, such provision shall be frilly severable; this Contract shall be construed and
enforced as if such illegal, invalid, or unenforceable provision had never comprised part hereof,
and the remaining provisions shall remain in full force and effect and shall not be affected by the
illegal, invalid, or unenforceable provision or by its severance therefrom.
15.6 Entire Agreement. This Contract contains all the agreements made between the
Parties concerning the sale and delivery of Untreated Water by Houston to Customer at the Point
of Delivery.
15.7 Right to Enforce. Houston's City Attorney or his or her designee shall have the right
to enforce all legal rights and obligations under this Contract without further authorization.
Customer covenants to provide to Houston's City Attorney all documents and records that
Houston's City Attorney reasonably deems necessary to assist in determining Customer's
compliance with this Contract,with the exception of those documents made confidential by federal
or state law or regulation.
15.8 Continuing Obligations. With respect to any prior agreements between the Parties
UNTREATED WATER SUPPLY CONTRACT PAGE 28
Approved Form for Untreated Water Contract
Rev. December 2, 2020
or their predecessors for the sale of Untreated Water to Customer at any Point of Delivery
hereunder, the future obligations of both Parties to perform under any such prior agreement are
terminated effective as of the Effective Date; provided, however, that any obligations which arose
prior to the Effective Date, including specifically the obligations of Customer to pay money to
Houston for time periods or deliveries prior to the Effective Date, are not terminated.
15.9 Signatures.
IN WITNESS WHEREOF,the Parties have executed this Contract in multiple copies,each
of which is an original. Each person signing this Contract represents and warrants that he or she is
duly authorized and has legal capacity to execute and deliver this Contract. Each Party represents
and warrants to the other that the execution and delivery of this Contact and the performance of
such Party's obligations hereunder have been duly authorized, and that this Contract is a valid and
legal agreement binding on such Party and enforceable in accordance with its terms. The Parties
hereby agree that each Party may sign and deliver this Contract electronically or by electronic
means and that an electronic transmittal of a signature, including but not limited to, a scanned
signature page, will be as good, binding, and effective as an original signature.
[The rest of this page intentionally left blank. Signature pages follow]
UNTREATED WATER SUPPLY CONTRACT PAGE 29
Approved Form for Untreated Water Contract
Rev. December 2, 2020
CITY OF HOUSTON,TEXAS
("Houston')
ATTEST/SEAL:
By:
City Secretary Mayor of the City of Houston
APPROVED: COUNTERSIGNED:
Chief Operating Officer, Houston Public Works City Controller
Date:
APPROVED AS TO FORM: DATE OF COUNTERSIGNATURE:
Senior Assistant City Attorney
L.D. File No.
UNTREATED WATER SUPPLY CONTRACT PAGE 30
Approved Form for Untreated Water Contract
Rev. December 2, 2020
BAYTOWN AREA WATER AUTHORITY
("Customer")
ATTEST/SEAL(if a corporation):
WITNESS (if not a corporation):
By: By:
Name: Name:
Title: Title:
Date:
CUSTOMER'S ACKNOWLEDGMENT
THE STATE OF TEXAS §
COUNTY OF §
The foregoing Untreated Water Supply Contract was acknowledged before me on
by
(date) (name)
of ,
(title) (name of company)
a corporation, on behalf of said corporation.
(State of incorporation)
Notary Public in and for the
State of
UNTREATED WATER SUPPLY CONTRACT PAGE 31
Approved Form for Untreated Water Contract
Rev. December 2, 2020
Attachments:
Exhibit A- Customer's Application for Untreated Water Supply Contract
Exhibit B- Map showing Customer's Point of Delivery and Point of Measurement
Exhibit C— Current version of the Water Service Manual
Exhibit D— Current version of Coastal Water Authority Raw Water Service Connection
General Requirements
UNTREATED WATER SUPPLY CONTRACT PAGE 32
��7rU7t1it��
�� 11 Exhibit A
. .
wiE '1 '1
H O U S T O N HOUSTON WATER
PUBLIC WORKS EXISTING CONTRACT ACTION REQUEST
�•ni NJ�
FORM
If you require action on an existing contract,please complete the information below:
CONTRACT INFORMATION
Current Customer Name: Baytown Area Water Authority
Contract Type: Untreated Water Supply Contract Contract No.: 34739
Ordinance: Account No.(s): 7099-0007-1008
If any other customer names have been associated with this contract,please list them below:
POINT OF CONTACT
Name: Sterling Beaver Affiliation: Baytown Area Water Authority
Address: 2123 Market St.,Baytown,TX Zip: 77520
Phone: 281-420-5306 Email: sterling.beaver@baytown.org
ACTION REQUESTED
❑ Increase(Please include the Water Conservation Plan.)
Contracted: MGD/MGM Current: MGD/MGM Requested: MGD/MGM
Is this to support new development? Yes No (If yes,please include the buildout schedule.)
Do you require a new meter to support the requested increase? Yes No
Are you requesting an additional point of connection?(Include location map.) Yes No
Will this require a change to the peak amount? Yes No
Amount requested:
❑ Decrease
Contracted: MGD/MGM Current: MGD/MGM Requested: MGD/MGM
❑ Name Change(Please attach any supporting documentation related to the change.)
Existing Contract Customer Name:
Requested Contract Customer Name:
❑ Termination(Please provide an explanation and any supporting documentation for the request.)
❑ Assignment
O Other/Unknown(Please provide an explanation and any supporting documentation for the request.)
-Term Extension request attached
Desired Effective Date: 09/01/2024
Authorized Representative Name(Printed): Frank O.Simoneaux,Jr.
Authorized Representative Title: Director of Public Works and Engineering
Authorized Representative Signature: Date: 02/20/2024
Please email all requests to: watercontracts@houstontx.gov WRT 24004
_Request No.
Revised 1/2024
BAYTOWN AREA WATER AUTHORITY
l ti) 7423 Thompson Road
Baytown,Texas 77521
(281) 420-5310
Baytown Area Water Authority
Untreated Water Supply Contract
Contract#34739
Account#7099-0007-1008
BAWA proposes the following changes to the contract:
1. Modify expiration date to 12/31/2055 to match term of 30-year bonds to be issued in 2025.
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Exhibit C
WATER SERVICE MANUAL
FOR WATER SUPPLY CONTRACTS
CITY OF HOUSTON
Department of Public Works & Engineering
�- 1111
OCTOBE 2020
TABLE OF CONTENTS
1. DEFINITIONS.........................................................................................................2
2. OVERVIEW............................................................................................................5
3. ESTABLISHING AND CHANGING WATER SERVICE.........................................6
4. BILLING...............................................................................................................11
5. SERVICE AND OPERATIONS ............................................................................14
6. METERING AND FACILITIES REQUIREMENTS................................................16
7. SYSTEM RETURN FLOWS.................................................................................17
1. DEFINITIONS
Unless the context requires otherwise, the following terms as used in the Contract
and this Service Manual shall have meanings as follows:
Amended means substantively changed, superseded, expanded, renumbered
rewritten, or otherwise altered and is interpreted broadly to include new provisions, such
as chapters, Ordinances, laws, and regulations that may affect this Contract but may not
exist at the time this Contract is executed.
Authorized Monthly Capacity means the amount of Water for a given month that
the Utility Official determines the Customer is entitled to receive under the Contract as
indicated in a Service Letter.
Capacity Charge means a capital recovery fee or any other charge for utility
extensions that are (a) outside of the City's Capital Improvement Plan Service Area, (b)
consistent with state law, and (c) required by Houston under its Ordinances or contracts
to obtain funds to defray the cost of providing water utility infrastructure to new customers.
City Attorney means the City Attorney of Houston, Texas or his or her designees.
Construction Phasing Plan means a document originally created by the
Customer's engineer that describes the future construction plans for the Customer
System and the Customer's plans to purchase capacity in the Houston System. The
Construction Phasing Plan may be attached as an exhibit to the Contract or as an
application for a Service Letter.
Contract is the agreement executed between the Customer and Houston's City
Council providing terms for the sale and delivery of Water and includes all exhibits,
attachments, Service Letters, and items reasonably incorporated by reference.
Contract Quantity is the Contract Quantity, including authorized amount, Peak
Usage and Peak Rate as specified in the Contract.
Customer is the entity identified in the preamble of a Contract, or any authorized
successor or assign, or, to the extent applicable, any water utility that acquires treated
Water under a contract. The Customer is solely responsible for complying with and
enforcing all provision of this Contract on behalf of any other entity receiving water under
the Contract and Customer's Representative, within his or her official capacity.
Customer's Representative means the Customer and any person that the
Customer authorizes in writing to the Utility Official to act on behalf of the Customer
regarding the Contract or Customer System.
Customer System means all facilities necessary to enable the Customer to receive
Water from the Houston System, including without limitation, inter-connection lines,
storage and re-pressurization facilities, meter vaults, casings, air gap and other backflow
prevention controls, valves and flow control devices as may be reasonably required by
the Utility Official (subject to the terms of the Contract). (Contract 5.05, Manual 4.3)
Customer Water Management Requirements means terms the Customer must
meet as a condition of service under the Contract or Service Manual.
Delivery Date means the day on which the City begins delivering Water in
measurable quantities through the Point of Measurement and may begin charging the
Customer for Water. Delivery date may also mean the date on which an increased amount
of water is first delivered.
Department means the City of Houston Public Works Department.
Director means the Director of the Department, or his or her designee.
Facilities means any lines, taps, measuring equipment, valve control devices,
backflow prevention devices, or other related improvements to property required by the
Contract to enable the Customer to receive and measure Water from Houston at the Point
of Delivery or the Point of Measurement.
Houston System means Houston's treated water system, including groundwater
and surface water plants, transmission and distribution mains, storage facilities, valves
and flow control devices.
Houston Water Management Requirements means the requirements in Article VII,
Chapter 47 of the Houston Code of Ordinances, as amended, related to water
conservation, drought management, plumbing code or similar policies and any authorized
and subsequent policy document issued by the Director.
Impact Fee means a fee authorized under Texas Local Government Code Chapter
395, or any successor statute, and charged by Houston within its Capital Improvement
Plan Service Area in accordance with applicable Ordinances.
Maximum monthly amount means the maximum amount of Water measured in
gallons that the Customer may be authorized to take during a given month under the
Contract without incurring a penalty and potentially defaulting on the Contract.
Meter or Houston's meter means the measuring device maintained by Houston at
the Point of Measurement.
Minimum monthly amount means the minimum amount of Water measured in
gallons the Customer must pay for during any given month under the Contract regardless
of actual use, without being in default of the Contract.
Notice means any notice required to be given under the Contract, which Notice
must be given to the person and in accordance with the terms of the Contract section
concerning notices.
Ordinance(s) means the Code of Ordinances of Houston, as amended from time
to time.
Overdue describes a bill which has not been paid by the Customer on the 21 sty
31st, or 46th day, as applicable, after the bill date.
Parties means the Customer and Houston, collectively,
Point of Delivery means the output flange of the tap on Houston's water line that
will serve the Customer under the provisions of the Customer's Contract.
Point of Measurement means the location of the meter(s) and associated facilities
at which the Customer's consumption of Water is measured in accordance with the
Customer's Contract.
Project Boundaries means the area served by the Customer at the time of the
execution of the Contract as illustrated in Exhibit "A", and as said boundaries may be
amended from time to time through annexation (subject to Houston Consent if required
by law) or exclusion (subject to notice requirements herein) of land.
Service Letter means a document complying with Article VI of the Contract and
signed by the Utility Official that changes or supplements the Terms of Service.
System Return Flows means Water that has passed the Point of Delivery and
subsequently collected after non-consumptive use as authorized by the Customer's
Contract.
Reuse means legal and beneficial use of System Return Flows or wastewater after
treatment by the Customer or Customers' wastewater treatment plant owner/operator.
Utility Official means the Director of the Houston Public Works Department of or
his or her designee (or that person's designee), who may hereafter exercise the functions
of the said Utility Official under the Contract, this Manual and/or any applicable
Ordinances.
Water means treated or untreated surface water or groundwater obtained by or on
behalf of the Customer from the Houston System pursuant to the Contract.
Water Course means the channel of a stream referenced in a TCEQ permit that
authorizes the Customer to discharge Water.
Written or writing means reduced to words in an official document (a) on paper or
(b) in an electronic medium that, under the laws of Texas, has the same legal effect as
a paper equivalent.
CITY OF HOUSTON Water Service Manual
Department of Public Works & Engineering Treated Water Contracts
2. OVERVIEW.
In 2013, Houston updated its standard Water Contract and Code of Ordinance provisions
to address future water shortages; drought planning and management, and to address
recommendations of the 2012 State Water Plan by encouraging water supply
management and reuse. This Service Manual is part of the Standard Water Contract for
both treated and untreated water supply customers and provides Houston and Customers
the flexibility to respond to future supply and regulatory constraints and development
demands.
2.1 Purpose. This Service Manual provides procedures and guidance for
Customers with a City of Houston Treated Water Supply Contract. The
Customer-specific Contract contains the essential contract terms. This Service
Manual supplements the Contract terms to allow for adaptive management of
Houston's regional Water service, the Customer's System, and applicable
Regulatory Standards. This Service Manual also ensures that all Treated Water
Supply Contract Customers receive service on similar terms. The language in
this Service Manual applies to all Customers.
2.2 Changes & Updates. Houston's Public Works Department, with assistance from
Houston's Legal Department is responsible for maintaining this Service Manual.
Houston will update this Service Manual to address changing state, federal, and
other governmental requirements as well as other changes that affect regional
water planning. Houston will notify Customers of proposed changes using
notices inserted with the Customer's bill or notice sent to the Customers' notice
addresses and website updates at least 30 days before implementing final
changes to this Service Manual. Upon a request from any Customer, Houston
will provide up to 30 more days to further consider the proposed changes to the
Service Manual. Customers should read this document periodically and check
the Department's website to ensure the Customers have the most current
Service Manual. The most current manual will supersede all previous manuals
and apply to the Customer's Waterservice.
2.3 Notice Information.
Utility Official. The Department Director, or his or her designee, will serve as the
Utility Official for functions referenced in this Service Manual. Customers seeking
more specific contact information regarding the Utility Official may contact 311 or
visit the Public Works website. Customers should send official notices required
under the Contract and this Service Manual to the following address:
5
CITY OF HOUSTON Water Service Manual
Department of Public Works & Engineering Treated Water Contracts
Utility Official, City of Houston
Houston Public Works Department
—Water Contracts/Regulatory
P.O. Box 1560
Houston, Texas 77251-1560
Customer. Notices to the Customer will be sent to the notice address in the Contract
until the Customer requests to change the notice address. The Utility Official will
change the Customer's notice address, which may be an electronic account, through
a Service Letter, after the Customer verifies the new address or account. The
Customer, in accordance with any bylaw or governing documents, may provide the
Utility Official with the names and contact information of Customer Representatives
authorized to perform under the Contract and receive notice on behalf of the
Customer. In emergencies, the Customer should call the Utility Official with a
Customer Representative's information and then send notice by mail as soon as
possible.
3. ESTABLISHING AND CHANGING WATER SERVICE
The following terms are prerequisites to service and to the extent applicable, remain
conditions precedent to service or changes to service.
3.1 Application. Before taking other steps to obtain Water service, the Customer must
submit to the Utility Official an application(s) provided by the Department. The
Customer should retain a copy of the application as well as any letters, permits, file
numbers, and other related documents and references that will assist Houston in
the establishment of Water service.
3.2 Points of Measurement. All Water delivered to the Customer must be metered
according to the requirements of this Service Manual at the Point of Measurement
identified in the Contract in Exhibit"A".
3.3 Construction of Facilities. The Utility Official, in his or her sole discretion, may
require the Customer to install, replace, or repair facilities, such as a meter, service
line, backflow prevention system, flow inhibitor, or other equipment ("Facilities")
deemed necessary or desirable for the uniform, efficient, and secure operation of
the Houston System. The Utility Official may also require the Customer to obtain
rights of way or other interests in land necessary for the construction and operation
of these Facilities, including extensions of service to the Facilities. The Customer
must design, obtain, improve, construct, and convey or cause to be designed,
obtained, improved, constructed, or conveyed, at no cost to Houston, such
Facilities, including associated property interests, as directed by the Utility Official.
3.3.1 Before the Delivery Date is set, the Customer must install the Facilities
according to the specifications approved by Utility Official.
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3.3.2 The Customer must not install the Facilities or equipment related to the
Facilities without the prior and continuing approval of the Utility Official. The
Customer, and not Houston, remains responsible and liable for operating,
maintaining, and monitoring the Customer's System in accordance with all
applicable laws and regulations, even after approval by the Utility Official.
3.3.3 The Customer must provide the Utility Official full access, including rights of
entry and inspection, to the installation site for the Facilities.
3.4 Construction and Operational Standards. To protect the Houston System, the
Customer must design, construct, operate, and maintain the Customer System to
comply with all applicable Regulatory Standards, the rules promulgated by the
TCEQ, the Plumbing Code, Infrastructure Design Manual, Ordinances,
requirements of applicable subsidence and/or groundwater conservation districts,
and related regulations regarding backflow prevention and cross connections.
3.4.1 Before the Delivery Date is set, the Customer must obtain, and afterwards
maintain, any necessary permits, licenses, approvals, easements, or
rights necessary for construction and operation of the Facilities.
3.4.2 The Customer must provide at the Customer's expense metering
equipment that is approved by the utility official and that is compatible
without modification with the City's standard remote meter reading
equipment at the Point of Measurement.
3.4.3 The Customer must (a) notify the Utility Official before the disinfection of
the Customer System and (b) disinfect the Customer System in
accordance with requirements approved by the Utility Official before the
connection is made.
3.5 Customer Water Management Requirements. Before the Delivery Date is set by
the Utility Official, the Customer must adopt and implement the Water Management
Requirements below.
3.5.1 The Customer's Water Management Requirements must include the
following:
3.5.1.1 A Water Conservation Plan which meets the requirements of 30
T.A.C. Chapter 288, as amended, and provides for the utilization
of reasonable practices, techniques, technologies, for domestic
and commercial use, reduces the consumption of water on a per-
unit basis, reduces the loss or waste of water, and improves
efficiency for both domestic and commercial uses that meet or
exceed Houston's current Water Conservation Plan and the
Customer's most recent Water Conservation Plan; and
3.5.1.2 A Drought Contingency Plan which meets the requirements of 30
T.A.C. Chapter 288, as amended, in which the Customer commits
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to achieve reductions in domestic and commercial water
consumption equal to or greater than the commitments made by
Houston in Houston's current Drought Contingency Plan.
3.5.2 The Customer must be responsible for remaining familiar with the Houston
Water Management Requirements and revising and updating the Customer's
Water Management Requirements that provide similar levels of increases in
water efficiency, reduction in waste or loss, and, during times of drought,
similar goals to reduce Water consumption.
3.5.3 If the Customer is authorized under the Contract to furnish or sell Water to
a third-party utility, the Customer must include in any contract or contract
Renewal, provisions that require the third-party utility to adopt Water Management
Requirements that meet or exceed the Customer's Water Management
Requirements.
3.5.4 If the Customer is authorized under the Contract to resell Water to others,
the Customer must include in any contract for resale of Water, or any
renewal, language assigning all rights to System Return Flows to Houston.
3.5.4.1 Similarly, if the Customer (or any third-party it is authorized to sell or
furnish Water to) does not treat its own wastewater, the Customer
must include in any contract for wastewater treatment language
assigning all rights to System Return Flows to Houston and requiring
the cooperation of the wastewater treatment and/or disposer in
making System Return Flows available to Houston.
3.5.4.2 Prior to the Delivery Date and as a condition of the Contract, the
Customer must make every reasonable effort to amend any existing
water and/or wastewater contracts contemplated above to fully
implement the Customer's Water Management Plan Requirements.
3.6 Acceptance and Conveyance. Upon completion of construction, the Facilities
must be approved by the Utility Official and, when appropriate, accepted by the
Utility Official prior to the Delivery Date.
3.6.1 Using a form approved by the City Attorney and as required by the Utility
Official, the Customer must convey to Houston all portions of the Facilities
necessary or desirable for the uniform, efficient, and secure operation of the
Houston System.
3.6.2 The Customer may not alter, modify, tamper with, or connect with Houston's
Facilities except as authorized in writing by the Utility Official.
3.7 Setting the Authorized Monthly Amount and Delivery Date. After the Facilities
are approved by, and when applicable, conveyed to Houston, the Utility Official may
set or modify the Customer's Authorized Monthly Amount and Delivery Date in a
Service Letter.
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3.7.1 If the Customer wishes to increase the Authorized Monthly Amount after the
Delivery Date, the Customer must request a Service Letter.
3.7.2 The Authorized Monthly Amount must be based on the volume of available
Water for which impact fees or capacity charges have been paid by or on
behalf of the Customer. The Authorized Monthly Amount must never exceed
the Maximum Monthly Amount.
3.7.3 The Utility Official will provide the Customer with the amount of the impact
fees or capacity charges in Houston's response to the Customer's
application.
3.7.4 The Utility Official must not set the initial Authorized Monthly Amount, or
authorize any increase, without having received full payment for impact fees
or capacity charges.
3.7.5 The Utility Official and the Customer may agree to a Construction Phasing
Plan (Subsection 2.8.5) to address future Facilities to be constructed at a
later date and future changes in the Authorized Monthly Amount.
3.8 Service Letters. Although no increases in the Contract Quantity are authorized
except through amendment of the Contract, the Utility Official may issue Service
Letters as necessary or desirable to administer the terms of the Contract. As
authorized by the Contract, the Utility Official shall be required to respond to only
one request for a Service Letter per Customer per calendar year. However, the
Utility Official may respond to additional requests by a Customer within the same
calendar year if the Customer pays, in addition to any other applicable charges, a
fee equivalent to Houston's charge for a water capacity reservation letter.
3.8.1 The Contract may allow the Customer to request and the Utility Official to
grant certain changes to the Customer's Water service through a Service
Letter, which do not increase the Contract Quantity, but which may affect or
reduce:
3.8.1.1 Points of Measurement and Delivery;
3.8.1.2 Minimum Monthly Amount;
3.8.1.3 Authorized Monthly Amount;
3.8.1.4 Current Monthly Amount;
3.8.1.5 Peak Usage;
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3.8.1.6 Use of System Return Flows;
3.8.1.7 Construction Phasing Plans; and
3.8.1.8 The Contract Term.
3.8.2 The Utility Official may issue the Customer a Service Letter if the Utility
Official, in his or her sole discretion, determines the following:
3.8.2.1 Granting the request will not increase the Contract Quantity;
3.8.2.1.1 Granting the request will not create an undue hardship on the
Houston System;
3.8.2.2 Sufficient production, treatment, and service pumping capacity
exists within the affected area of the Houston System to grant the Customer's
request without creating undue hardship for Houston or other customers;
3.8.2.3 The Customer has provided adequate information to evaluate
the risks, if any, associated to the Houston System resulting from the request;
3.8.2.4 The Customer agrees to obtain all necessary permits, plan
approvals, bonds, or other requirements of the Ordinances or Customer
Water Management Requirements;
3.8.2.5 The Customer does not owe Houston any outstanding funds
for Water, capacity, or other charges or taxes the City must collect in order to
contract with or provide service to the Customer; and
3.8.2.6 Granting the request will not provide a benefit not reasonably
available to other similarly situated customers.
3.8.3 The Utility Official shall promptly review the Customer's request for a Service
Letter and notify the Customer in writing after the Utility Official reviews the
Customer's request. The Utility Official may provide Customer conditions, if
any, required to grant the Service Letter.
3.8.4 Prior to issuance of a Service Letter, the City Attorney shall verify that the
Service Letter complies with applicable Regulatory Standards and is
consistent with the terms of the Contract and applicable Ordinances.
3.8.5 The Customer may request multiple increases in authorized monthly
amount, peak usage, and other changes in a single application for a Service
Letter by submitting a Construction Phasing Plan.
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3.8.5.1 The Construction Phasing Plan must provide the Customer's
projected demand for Water authorized under the Contract as build-out
occurs.
3.8.5.2 In order to expedite the issuance of a Service Letter approving the
Construction Phasing Plan, the Utility Official may offer a modified
Construction Phasing Plan based on the constraints of the Houston System.
3.8.6 The Customer must pay impact fees or capacity charges before issuance of
the Service Letter or according to the terms of the approved Construction
Phasing Plan.
4. BILLING
4.1 Commencement of Billing. Houston may begin billing for Water using the
applicable rate and fee, including any Water Reservation Fee at 12:01 a.m. on the
actual Delivery Date in accordance with the Contract.
4.2 Charges for Water or Water Reservation. Charges for treated water contract
customers are calculated according to Section 47-61(f) of the Ordinances and are
available on the Houston Fee Schedule and the Department website. Charges for
untreated water contract customers are calculated according to the City Fee
Schedule per 1,000 gallons as specified in the Section 47-85 of the Ordinances and
are also available on the Houston Fee Schedule and the Department website.
Charges for water reservation are as specified in the water supply contracts.
4.3 Bills. At the end of each monthly billing period, Houston shall send a bill (or invoice)
to the Customer showing Water delivered at the Point of Measurement and the
appropriate charges for that given month.
4.4 Billing Address. As a default, the Customer's notice address will be the
Customer's billing address. The Customer may request in writing and the Utility
Official may accept a different billing address, which may be an electronic account.
The Utility Official may require the Customer to complete a billing address form.
4.5 Impact Fees and Capacity Charges. When requesting an increase to the
Authorized Monthly Amount, the Customer must pay impact fees or capacity
charges within 45 days of Houston's response to the Customer's application unless
Houston's response provides additional time. If the Customer does not pay within
the allotted time, the Customer's request and application will expire.
4.6 Additional Charges. In addition to other charges, the Utility Official may:
4.6.1 Apply a surcharge on all amounts of Water the Customer takes above the
peak rate restriction or the authorized monthly amount, or Customer's Peak Rate
or Peak Usage equal to the disincentive permit fee charge a customer would pay
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the applicable Subsidence District on the same volume of Water.
4.6.2 Calculate the surcharge described above using the following formula:
Formula: Example (Using HGSD 2013 Disincentive Fee):
S - (A- C) x F (50,000 gal. -40,000 gal.) x ($7.00 /1,000 gal.)
S = $70.00
Where
S = Surcharge
A = Actual Amount Used
C = Contracted Amount (Peak Usage or Monthly Maximum Amount)
F = Harris Galveston Subsidence District (disincentive) Fee
4.6.3 Require the Customer to pay for portions of costs reasonably attributable
to the Customer that Houston incurs to achieve compliance or modification
of Houston's water rights or applicable Regulatory Standards.
4.7 Payment of Charges. The Customer must make bill payments to Houston at the
following address:
HPW Customer Account Services
P.O. Box 1560,
Houston, Texas 77210-4863
or to a specified electronic account administered by the Utility Official.
4.7.1 Bills shall be considered as received by the Customer, whether actually
received or not, when deposited by Houston in the United States mail,
postage prepaid, addressed to the Customer's last known billing address or
when electronically transmitted to the user's last known electronic address or
account.
4.7.2 The bill is overdue on the:
21 st day after the bill date of the bill for commercial customers;
31 st day after the bill date of the bill for most government customers;
and 46th day after the bill date if the Customer is a municipal utility
district.
4.7.3 The Customer is in default of the Contract when the bill becomes overdue.
The Customer's failure to pay the bill before it becomes overdue will be
deemed to constitute receipt of the notice of default described in the
Water Supply Contracts.
4.8 Interest on Overdue Payment. The Customer, including a commercial customer,
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shall pay interest on any overdue amount of bills at the maximum rate allowed by
Texas Government Code Chapter 2251 or any successor statute, whether the
Customer is a government or non-government entity.
4.9 Suspension of Delivery. If the Customer does not cure the default within 30
days after a bill is overdue, Houston may suspend delivery of Water as set out
in the Contract without the need of providing any further notice to the Customer
beforehand. Suspending delivery of Water is in addition to any other remedy
available to Houston.
4.10 Billing Adjustment. If the Utility Official finds that meter testing reveals the
measuring equipment is not within the Meter Accuracy Requirement, or the account
should otherwise be subject to a billing adjustment, such as due to meter reading
errors, the Utility Official shall determine the Adjusted Period and the Adjusted
Volume as specified in the City Code.
4.10.1 The Adjusted Period is the (a) the based on the number of days during which
the Utility Official reasonably determines the measuring equipment was not
operating within the Meter Accuracy Requirement or the date in which the meter
measured accurately (b).
4.10.2 The Adjusted Volume is the number of days in the Adjusted Period multiplied by
the Customer's average daily consumption. The Utility Official shall determine
the Customer's average daily consumption based on billing periods substantially
similar to the Adjusted Period.
4.10.3 Houston shall adjust the charge to the Customer only for the Adjusted Volume
for the Adjusted Period.
4.11 Billing After Contract Term. The Customer is not guaranteed Water after the end
of the Contract Period. After the Contract Period, Houston may continue to provide
water service on a month-to-month basis to the Customer at the Resale Rate
prescribed in Section 47-61(d)(2) of the Ordinance, or any successor ordinance, for
rates for resale customers.
4.12 Waiver of Amount Requirement. In order to protect the Houston System and
accommodate the Customer, the Utility Official may waive or reduce the minimum
monthly amount, without Council approval or a Service Letter, for no more than one
month at a time by sending written notice to the Customer.
4.12.1 The Utility Official is not limited to the number of written notices that may
be sent as long as the Utility Official determines that waiver of the minimum
monthly requirement is in the best interest of the Houston System.
4.12.2 During any month in which Houston is unable to deliver to the Customer
the minimum amount then specified, whether as a result of curtailments or
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suspensions under the Contract, or as a result of Force Majeure, the
Customer shall be obligated to pay Houston only for the amount of Water
delivered to the Customer under the Contract during such month.
5. SERVICE AND OPERATIONS
5.1 Houston System Operations. Houston shall provide Water to the Point of Delivery
that meets the Regulatory Standards provided in the Contract.
5.1.1 OTHER THAN REGULATORY STANDARDS, HOUSTON MAKES NO
WARRANTY EXPRESS OR IMPLIED, REGARDING THE QUALITY OR
DELIVERY PRESSURE OF THE WATER, INCLUDING THE IMPLIED
WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A
PARTICULAR PURPOSE OR USE.
5.1.2 Houston has no responsibility for meeting the Customer's Regulatory
Standards, maintaining the Customer System, or improving the Houston
System to improve service to the Customer System.
5.2 Access to Facilities. During the term of the Contract, Houston shall have the right
of ingress and egress in, upon, under, and over any and all land, easements and
rights of way of the Customer on which Houston, with the Customer's consent,
constructs or maintains facilities to deliver Water to the Customer.
5.2.1 Houston may conduct inspections from time to time to determine that no
conditions exist in the Customer System or the Project Boundaries that might
adversely affect the Houston System.
5.2.2 Houston's inspectors and authorized contractors shall have full and
unlimited rights of entry to the Customer's premises, although Customer has
the right to request to accompany Houston's inspectors and authorized
contractors. The Customer shall provide the Utility Official with any site
safety rules prior to starting construction.
5.3 Customer System Operations. The Customer System begins at the Point of
Delivery but excludes Houston's meter. The Customer must immediately correct
any practices or operating conditions of the Customer System that the Utility
Official, in his or her sole discretion, determines may negatively impact the Houston
System.
5.3.1 If the Customer is a water utility, the Customer must set the rates it charges
for utility service to its customers high enough to pay for the quantities of
Water contemplated in the Contract.
5.3.2 Practices and operation conditions that require immediate correction include
but are not limited to
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5.3.2.1 Pressure variations that have the potential to damage the Houston
System or cause the Houston System to violate applicable
Regulatory Standards;
5.3.2.2 Inadequate or compromised backflow prevention devices; and
5.3.2.3 Leaks or breakage between the Point of Delivery and the Point of
Measurement.
5.3.3 The Customer must promptly reimburse Houston for the cost for repairs or
replacements necessary to repair damage on either party's System if
Houston corrects such conditions.
5.3.4 The Utility Official may temporarily discontinue service if the Utility Official,
in his or her sole discretion, determines that the Customer's System:
5.3.4.1 Violates applicable regulatory standards or the Contract terms;
5.3.4.2 May cause serious harm to the Houston System.
5.3.5 Except in cases of imminent harm or danger to the public, provides the
Customer with notice.
5.4 Customer Maintenance and Regulatory Standards. The Customer is solely
responsible for maintenance and regulatory compliance on Customer's System,
including service lines between the Point of Measurement and the Point of Delivery.
5.4.1 The Customer must comply with all applicable sampling and reporting
requirements, including those prescribed in Title 30, Section 290 of the
Texas Administrative Code, as amended, and any successor regulation.
5.4.2 When reporting is required by federal or state regulation, the Customer will
contemporaneously report to Houston's Regulatory Compliance Section any
information contained in such reports that may affect Houston's System or require
Houston to take action. Examples include, but are not limited to, Customer reports
to comply with 30 T.A.C. Sections 290.109(c)(4)(C) and 290.115(e) (Stage 2
Disinfectant Byproducts).
5.4.3 The Customer must report to Houston's Regulatory Compliance Section any
violation of or lapse in compliance requirements to the Utility Official
immediately and must promptly cure the violation.
5.5 Groundwater Reduction Plan. The Utility Official must determine how Water
delivered to the Customer will be included in any groundwater reduction plans
according to the rules of the Customer's applicable subsidence district or
groundwater conservation district. The Contract does not automatically provide the
Customer inclusion in Houston's Groundwater Reduction Plan.
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6. METERING AND FACILITIES REQUIREMENTS
6.1 Meter Installation. Customer must notify Houston so that Houston can be present
when the meter is installed and inspect the meter. If the meter fails any meter
inspection as specified below, the meter must be replaced.
6.2 Metering Accuracy. Houston shall maintain the meter at the Point(s) of
Measurement in accordance with the manufacturer's specifications (in the case of
Mag (Electromagnetic) or AWWA specifications (for all other types of meters) for
the given rate of flow ("Meter Accuracy Requirement").
6.3 Meter Testing. Houston shall conduct periodic meter tests on the meter in
accordance with the meter manufacturer's recommendations and within applicable
AWWA Standards and shall notify the Customer at least 48 hours in advance of the
time and location at which tests are to be made.
6.3.1 If the Customer requests an additional test within 12 months of test conducted
by Houston, Houston shall charge the Customer an amount equal to
Houston's cost to perform such test, unless the test reveals that the
measuring equipment is not within the Meter Accuracy Requirement.
6.4 Meter and Facilities Replacement. Unless otherwise specified in this Service
Manual or the Contract, Houston shall be responsible for replacing Houston meters
and facilities and the Customer shall be responsible for replacing the Customer's
meters and facilities.
6.4.1 As a prerequisite to continued service or change of service (see Sections 2.3
and 2.8), the Utility Official may determine that the Customer must, at no cost
to Houston, replace the existing meter and other equipment at the following
times:
6.4.1.1 After the Customer takes water above the current authorized peak
usage or the maximum monthly amount;
6.4.1.2 When the Utility Official grants the Customer's request for an
increased peak usage; or
6.4.1.3 Before the Department Director approves assignment of the
Contract.
6.5 Customer Check. At the Customer's own cost, the Customer may independently
check Houston's meter and related equipment upon reasonable request. A
reasonable request must provide the Utility Official 48 hours notification and the
opportunity for the Utility Official to witness such tests and reschedule if the Utility
Official is not available.
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6.5.1 In the event of a dispute between Houston and the Customer as to the
accuracy of the testing equipment used by Houston to conduct the accuracy
test, the Parties may agree for the test to be conducted by an independent
measuring equipment company suitable to both the Customer and the Utility
Official.
6.5.2 The Customer must pay all costs associated with such testing. The Utility
Official may accept the test result of the independent measuring equipment
company but is not required to do.
6.6 Check Meters. The Customer may install, at the Customer's own cost and
expense, such check meters as it deems appropriate in each of the Customer's
pipelines, but Houston shall have the right of ingress and egress to such check
meters during all reasonable hours.
7. SYSTEM RETURN FLOWS
7.1 Rights to System Return Flows. Houston has all rights to System Return Flows
and may make whatever use of the System Return Flows Houston deems
desirable, except as otherwise provided below.
7.2 System Return Flow Use Requirements. To the extent permitted by law and as
provided in this Manual, the Utility Official may authorize the Customer to use some
part of the System Return Flows it generates by a Service Letter.
7.2.1 In order to maintain freshwater flows into the Galveston Bay and the
associated estuary system and as a condition of service, the Customers may
use System Return Flows only if:
7.2.1.1 The Customer diverts no more than 50% of the total volume
produced by the Customer on a daily basis under the Customer's TPDES or
other wastewater permit, whether discharged, applied to direct reuse, or
otherwise used, from the permitted wastewater treatment plant and
discharges the remaining volume and allow the same to flow into a state
watercourse as authorized;
7.2.1.2 At no cost to Houston, the Customer installs, maintains, and
updates meters, SCADA, and other AWWA recommended
equipment to collect information reporting all discharges and reuse
and provides the Utility Official with full access to the information
collected;
7.2.1.3 The Customer limits its reuse of Water provided under the Contract
to within the Project Boundary;
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7.2.1.4 The Customers' reuse complies with all relevant provisions of the
Ordinances, state and federal laws, and applicable regulations, as
such Ordinances, laws, and regulations may be amended and may
be reasonably interpreted by the Director;
7.2.1.5 Prior to seeking and also prior to implementing any permit or permit
amendment related to reuse, discharge, or acquisition of surface
water, the Customer provides the Utility Official with information that
the Utility Official reasonably determines is necessary to evaluate any
effect on System Return Flows and Houston's water rights;
7.2.1.6 The Customer complies with all applicable federal and state laws
regarding reuse; and
7.2.1.7 After the Customer uses its 50% of the System Return Flows, and as
permitted by regulatory standards, the Customer will return the
unconsumed portion of the System Return Flows supplied to the
Customer by Houston to watercourses consistent with this Manual,
the Service Letter, Houston's water rights permits and State law.
7.2.2 The Utility Official shall approve the Customers' request to use System Return
Flows if the Utility Official finds that:
7.2.2.1 the Customers' re-use request in the Service Letter meets the
requirements of this Section 6.2;
7.2.2.2 the Customer does not owe Houston any outstanding funds for
Water, capacity, or other charges or taxes the City must collect in
order to contract with the Customer; and
7.2.2.3 The Customers' reuse causes no materially adverse impact on
Houston's water rights, the Houston System, and Houston's
obligations to the watercourse.
7.3 Review of System Return Flow Use. The Utility Official may conduct performance
audits and review the findings for the Customer's System Return Flows every three
years, during water shortage periods, or after a breach of the Contract.
18
Exhibit D
d
COASTAL WATER AUTHORITY
RAW WATER SERVICE CONNECTION GENERAL
REQUIREMENTS
REVISED AUGUST 2020
(SUPERSEDES MARCH 2O19 REVISION
Issued by:
Coastal Water Authority
1801 Main Street, Suite 800
Houston, Texas 77002
4 Raw Water Service Connection Requirements—May 2020
Contents
1.0 GENERAL...................................................................................................................1
1.1 THE CWA SYSTE:%l ..............................................................................................1
1.2 RAW WATER SERVICE CONNECTION GENERAL REQUIREMENTS.......1
2.0 APPLICATION PROCESS......................................................................................3
2.1 CONTRACT WATER SERVICE REQUESTS.....................................................3
2.2 NON-CONTRACT WATER SERVICE REQUESTS...........................................5
2.3 CWA FEES..............................................................................................................5
2.4 INDEMNIFICATION .............................................................................................6
2.5 INSURANCE...........................................................................................................7
3.0 ACCESSING WATER FROM THE CWA SYSTEM ........................................10
3.1 GENERAL CONDITIONS...................................................................................10
3.2 GENERAL DESIGN REQUIREMENTS ............................................................11
3.3 RAW WATERLINE CONNECTION GUIDELINES.........................................14
3.4 CANAL PUMP STATION GUIDELINES..........................................................16
3.5 ACCESS REQUIREMENTS................................................................................16
3.6 CONSTRUCTION REQUIREMTENTS .............................................................17
3.7 SERVICE AND OPERATIONS...........................................................................19
3.8 ABANDONMENT................................................................................................20
Attachements
A. KAW WATER SERVICE CONNECTION APPLICATION
B. RAID'WATER STANDARD CONNECTION DETAIL
C. TYPICAL PUMP STATION INTAKE STRUCTURE DETAIL
D. FORM TCEQ-20700
s
Raw Water Service Connection Requirements—May 2020
1 .0 GENERAL
1.1 THE CWA SYSTEM
The following guidelines are general in nature and can be used for initial planning and coordination
of raw water service requests. Each water service request should, at a minimum, address these
guidelines. The physical water service connection shall meet current Coastal Water Authority
(CWA) Raw Water Service Connection General Requirements. Connection drawings must
accompany each raw water service requests and shall be developed based on the specific conditions
and requirements.
The CWA conveyance and distribution system performs an integral function in providing fresh
water to the City of Houston (City) and surrounding communities and the continued uninterrupted
operation is a vital governmental function. CWA delivers untreated water owned by the City to the
City facilities and their municipal, industrial, and agricultural customers. Industrial customers must
enter into a contract for the purchase of untreated water from the City, meet City meter
requirements, and meet CWA requirements for connection to the CWA System.
1.2 RAW WATER SERVICE CONNECTION GENERAL
REQUIREMENTS
CWA has developed specific requirements to help fulfill its obligation to protect the welfare, health
and safety of the public's primary water supply. These revised/updated requirements supersede all
previous editions and revisions. The requirements identify the rules and guidelines that must be
satisfied to encroach upon or cross a CWA right-of-way or easement when making a service
connection as well as the procedures to obtain authorization for such activities. These requirements
contain the following sections:
• Application Process
• Accessing Water from the CWA System
CWA rights-of-way andbr easements are identified as "CWA Corridors" in this document. Each
section addresses the most common procedures and requirements related to the specific section.
These requirements may not be all-inclusive depending on specific situations and circumstances.
Each Water Set-vice Application will be considered on an individual basis and additional
information and br precautions may be required. All Water Setvice Application reviews will focus
on the protection of CWA facilities and the ability for CWA to construct, operate, maintain, repair
or replace CWA facilities. These guidelines are available on the CWA website at
https: cwacrossing.org. The Customer is responsible for becoming and remaining informed of the
General Requirements. FAILURE TO OBTAIN AN EASEMENT OR CONSENT TO
ENCROACH MAY RESULT IN THE REMOVAL OF INSTALLED FACILITIES.
NOTE: THIS DOCUMENT PROVIDES MINIMUM REQUIREMENTS THAT MAY BE
AMENDED FROM TIME TO TIME. CWA RESERVES THE RIGHT TO INCREASE
THE STATED REQUIREMENTS BASED ON PROJECT SPECIFIC CIRCUMSTANCES
TO PROTECT CWA FACILITIES.
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° Raw Water Service Connection Requirements—May 2020
The General Requirements delegate to the Executive Director approval authority for certain
easements and encroachments. The General Requirements do not limit or restrict the CWA Board's
exercise of any powers, duties, or jurisdiction conferred by law. The CWA Board may vote to
amend or otherwise alter the General Requirements from time to time.
The references to parts, sections, and other headings in the General Requirements are for reference
purposes only and will not affect the meaning or interpretation of the rules. If any one or more of the
General Requirements is for any reason held to be invalid or unenforceable in any respect, the other
General Requirements shall remain valid and be construed as if the invalid or unenforceable
requirement was not included in the General Requirements.
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Raw Water Service Connection Requirements—May 2020
2.0 APPLICATION PROCESS
Applications for Raw Water Service Connections should be sent to the address below. Submittals
should include the completed Raw Water Service Connection Application (Attachment A), design
drawings and the appropriate fee.
Executive Director
Coastal Water Authority
1801 Main Street, Suite 800
Houston, Texas 77002
Attn: Raw Water Service Connection Application
2.1 CONTRACT WATER SERVICE REQUESTS
A. Planning a System Connection
The following guidelines are general in nature and can be used for initial planning and
coordination to obtain water service from the Coastal Water Authority. Each water
service request should address the conditions described in these guidelines as a
minimum. Water service connections shall also meet the applicable requirements of
other Sections of this Document. Connection plans shall be developed for each request
based on operational criteria, specific site conditions, and installation requirements.
B. Application to City of Houston
To obtain raw water from CWA, the applicant request is coordinated through the City of
Houston (City) Public Works and Engineering/Planning and Development
Services/Houston Water Planning (HWP). Potential CWA raw water customers
should contact HWP.
C. Receipt of Draft Contract
Upon receipt of the above information and subject to availability of water, HWP will
send a draft contract for review. The applicant will also receive a letter giving
instructions to contact CWA regarding tap location and installation requirements and to
contact the City Meter Shop for meter location and meter type.
D. Coordination of Functions
The City meter requirements can be obtained from City of Houston Utility Customer
Service(UCS). City departments provide the following functions:
1. City Meter Shop: Provides information to the applicant regarding appropriate
meter(s), engineering drawings (by PE) of meter and tap locations on Texas
coordinates, and meter inspection of existing meters, if any.
2. City Engineer: Reviews drawings, assists the Meter Shop in evaluation of
drawings for tap and meter location. Also determines and advises HWP of the
need, if any, for special clauses in the contract. The City determines the water
availability and will require an easement for its meter location.
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° Raw Water Service Connection Requirements—May 2020
3. City Drinking Water Operations: Reviews and approves applicant
backflow/air gap and conservation plan and advises HWP of the need, if any, for
special clauses in the contract.
4. City Council: Upon return of signed contracts from the applicant, HWP
coordinates with City Council for approval and arranges support staffing
through several City departments. HWP then returns an original signed contract
to the applicant and advises CWA of final approval
E. CWA Application
1. Accessing water from the CWA system is described in Section 3.0.
2. After HWP notifies CWA of water availability and intent to sell, the applicant
may arrange site meeting with CWA representatives where CWA will assist in
identifying the connection's location and possible alternatives.
3. Upon request, CWA will provide reference drawing sheet numbers of proposed
location and CWA's Easement and Right-of-Wav Encroachment General
Requirements. Applicant will be referred to CWA Engineer for pertinent
drawing copies and design information needed to prepare engineer drawings.
4. Applicants requesting CWA raw water service shall submit the following:
a. Application (Appendix A) signed by the Applicant or the Applicant's
authorized representative;
b. A general physical description and address of the location of the connection;
c. Corporate check or cashier's check for applicable fees (§ 2.3);
d. A certificate of insurance that meets the Insurance Requirements(§ 2.5);
e. Submittals including calculations, specifications, and design drawings
showing plan views, profiles, and sections of the proposed project within the
CWA Corridor that meet the Design Requirements of this document;and
f. A Certificate of Account Status, issued by the Texas Comptroller of Public
Accounts, or if an Applicant was formed in another state a comparable
document from the state of formation, no more than 30 days prior to date of
this application. CWA may require statements and/or instruments of
financial assurance of individual Applicants at the discretion of CWA's
Executive Director.
5. To Facilitate the Application process, the Applicant must satisfy the following
requirements, as applicable:
a. Obtain CWA's General Engineering Consultant (GEC) approval of all
application drawings and other documents applicable under the General
Requirements;
b. Pay all outstanding fees and complete all tasks related to CWA facility
relocation(s), as the CWA GEC deems prudent and reasonable;
c. Obtain and provide to CWA a title report for the CWA Corridor affected by
the proposed project;
d. Secure any additional rights from all third parties owning an interest in the
CWA Corridor affected by the proposed project;
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° Raw Water Service Connection Requirements—May 2020
e. Notify all owners of other pipelines, communication lines or other third-
party facilities located within the CWA Corridor of CWA's grant of the
application;
f. Provide written confirmation that Federal, State and local permitting and
enviromnental requirements are fully addressed; and
g. For easement requests, the Applicant must obtain an appraisal from a Texas
licensed appraiser that holds a MAT, SRPA or SRA member of the Appraisal
Institute designation establishing the value of the requested easement.
6. CWA Engineer shall review drawings and specifications for approval. The
CWA response, whether approved or returned for revision, may include written
comments and recommendations. If necessary, the drawings and specifications
must be revised until CWA approval is obtained.
7. Once the application package is approved, a copy of the signed City of Houston
water contract must be provided before the overall process can continue.
8. On return of signed contracts from applicant, HWP coordinates staffing through
several City departments and City Council approval. HWP provides an original
signed contract to applicant and advises CWA of final approval. CWA will
provide written approval of the application package, which will allow
construction to begin in accordance with approved plans and specifications.
Written approval from CWA will include a point of contact and phone number
for making notification prior to start of construction.
2.2 NON-CONTRACT WATER SERVICE REQUESTS
A. Planning for Temporary Connection
The following guidelines are general in nature and can be used for requesting the
purchase of water from CWA for temporary use such as hydrostatic testing, water for
construction purposes, and similar short-term usage.
B. Application to City of Houston
To obtain raw water from CWA, the applicant request is coordinated through the HWP.
C. Receipt of Application
Upon receipt of the above information and subject to availability of water, the City will
send a letter giving instruction regarding the location and procedure for purchase of
temporary water from the CWA system.
2.3 CWA FEES
A. Administrative Fee
There is a non-refundable $5,000 administrative fee for each connection in a CWA
Corridor. The fee must be submitted with the initial application and does not cover costs
associated with the grant of an easement, special encroachment consideration, or review
requiring specialized knowledge or consideration for which additional fees may be
charged.
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` Raw Water Service Connection Requirements—May 2020
B. Easement Fee
CWA may charge Applicants requesting an easement a fee based on the appraisal
submitted by the Applicant along with other factors identified by CWA in an invoice.
This fee is in addition to the Administrative Fee described above.
C. Payment Method
All fees must be paid by corporate or cashier's check made payable to Coastal Water
Authority and submitted with the application. Any fees assessed after the initial
submittal must be paid within 30 days. BANK DRAFTS ARE NOT ACCEPTABLE.
D. Bayport Area User
Customers designated by the City water service contract as being"Bayport Area Users"
may be charged a conveyance fee by the Coastal Water Authority. The Bayport Water
System is a CWA-owned asset designed to provide facilities for the transportation of
water purchased from the City of Houston. The conveyance fee allows CWA to operate
the Bayport System on a self-supporting basis. To accomplish this, an annual budget is
established based on estimated operation and maintenance expenses, debt services (if
applicable), administrative charges, and a capital improvement fund for major
rehab/replacement projects within the Bayport System. The conveyance fee rate is
established based on estimated annual water consumption that will fully recover these
costs.
2.4 INDEMNIFICATION
TILE PROJECT OWNER AGREES TO AND DOES HEREBY, INDEMNIFY AND
DEFEND CWA AND ITS OFFICERS, DIRECTORS, AGENTS, SERVANTS,
REPRESENTATIVES, EMPLOYEES, ENGINEERS AND ATTORNEYS
(COLLECTIVELY REFERRED TO HEREIN AS THE "INDEMNIFIED
PARTIES") FROM AND AGAINST ANY AND ALL SUITS, DEMANDS, OR
CLAIMS AND ALL COSTS, LOSSES SETTLEMENTS (VOLUNTARY OR
OTHERWISE), LIABILITIES, EXPENSES AND JUDGMENTS INCURRED IN
CONNECTION THEREWITH, INCLUDING ATTORNEY'S FEES AND COURT
COSTS; WHETHER ARISING IN EQUITY, AT COMMON LA`N' OR BY
STATUTE (INCLUDING THE TEXAS DECEPTIVE TRADE PRACTICE ACT OR
OTHER SIMILAR STATUTES), OR UNDER THE LAW OF CONTRACTS,
TORTS (INCLUDING WITHOUT LIMITATIONS NEGLIGENCE OR STRICT
LIABILITY WITHOUT REGARD TO FAULT) INCLUDING WITHOUT
LIMITATION ALL CLAIMS, DEMANDS AND SUITS FOR DAMAGES OR
INJURIES, INCLUDING DEATH TO ANY AND ALL PERSONS OR PROPERTY,
WHETHER REAL OR ASSERTED, BASED UPON, IN CONNECTION WITH,
RESULTING FROM OR ARISING OUT ANY ACTION OR OMISSION
WHETHER NEGLIGENT OR OTHERWISE ON THE PART OF THE PROJECT
OWNER OR ITS AGENTS, SERVANTS, REPRESENTATIVES, EMPLOYEES
AND SUBCONTRACTORS. SUCH INDEMNIFICATION WILL INCLUDE
WORKERS' COMPENSATION CLAIMS OF OR BY ANYONE WHOMSOEVER
IN ANY WAY BASED UPON, IN CONNECTION WITH, RESULTING FROM OR
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ARISING OUT OF THE PROJECT OWNER'S WORK, AND OPERATIONS IN
CONNECTIONS HEREWITH INCLUDING OPERATIONS OF
SUBCONTRACTORS ENGAGED BY PROJECT OWNER,IF ANY.
PROJECT OWNER'S CONTRACTUAL OBLIGATIONS OF INDEMNIFICATION
WILL EXTEND TO AND COVER CLAIMS, DEMANDS AND CAUSES OF
ACTION ALLEGING ACTS OF NEGLIGENCE, FAULT OR OTHER ACT OR
OMISSION BY OR ON THE PART OF THE INDEMNIFIED PARTIES.
HOWEVER, IN THE EVENT THAT ONE OR MORE OF THE INDEMNIFIED
PARTIES ARE ADJUDICATED AT FAULT WITH RESPECT TO DAMAGE OR
INJURY SUSTAINED BY A CLAIMANT, PROJECT OWNER WILL INDEMNIFY
THE INDEMNIFIED PARTIES ONLY FOR THAT PORTION OF THE DAMAGE
OR INJURY ADJUDICATED TO HAVE BEEN CAUSED BY PROJECT OWNER
AND/OR ITS AGENTS, SERVANTS, REPRESENTATIVES, EMPLOYEES AND
SUBCONTRACTORS.)
2.5 INSURANCE
A. Required Insurance Periods
For all periods of time the Applicant and subcontractors are working within CWA
Corridors, the Applicant and Applicant's contractors and subcontractors must provide
insurance,at no cost to CWA, meeting the requirements described in this section.
B. Insurance Requirements
Field activities will not be permitted without proof of insurance on a Texas Department
of Insurance (TDI) approved certificate of insurance form (certificate). The certificate
must be valid for as long as the consent or easement exists. The Applicant shall obtain
endorsement to cover Insurance Requirements not covered by the terms of the
Applicant's underlying insurance policy or contract. The certificate shall reference all
endorsements applicable to the policy or contract. All policies, except Workers'
Compensation coverage, shall name CWA as an additional insured. The Applicant's
policy must include a waiver of subrogation in favor of CWA.
C. Insurer Requirements
The Applicant shall obtain coverage from (1) an insurer with a Certificate of Authority
from the Texas Department of Insurance to issue policies in Texas or(2) a non-admitted
insurer eligible to issue policies in Texas with a current Best's rating of at least B t and a
Best's financial size category of class VI or better.
D. Policies and Minimum Limits of Liability
The Applicant shall provide, at no cost to CWA, minimum coverage during period that
the Applicant performs or authorizes work within CWA's rights-of-way or easements as
described in Table 1 on the following page.
E. Material or Lack of Coverage
The Applicant will provide CWA with 30 days written notice if any of the Applicant's
policies or endorsements are cancelled, materially changed, or non-renewed. If CWA
staff determines that Applicant's coverage does not meet the requirements of this
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Y ° Raw Water Service Connection Requirements—May 2020
section, at the sole discretion of the CWA Executive Director, CWA may (1) purchase
the required insurance and invoice Applicant for the full cost; or (2) suspend the
Applicant's encroachment or easement approval until CWA staff detenuines the
Applicant's coverage meets the requirements of this section.
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° Raw Water Service Connection Requirements—May 2020
Table 1
Policies and Minimum Limits of Liability
Kinds of Insurance Limits of Liability
(A)Workers Compensation;Texas Operations Statutory
(B) Employer's Liability • Accident$1,000,000 Each Accident
• Disease S 1,000,000 Each Employee
• Disease 51,000,000 Policy Limit
(C) Commercial General Liability including,but not limited to: • $2,000,000 General Aggregate
1. premises/operations • $2,000,000 Products/Completed
2. independent contractors' protective Operations Aggregate
3. products and completed operations . $1,000,000 Each Occurrence
4. personal injury liability with employment exclusion deleted . $1,000,000 Personal and Advertising
5. contractual Injury
6. owned,non-owned and hired motor vehicles • • $500,000 Fire Damage Liability
(D)Business Automobile Liability including All Owned,Hired and $1,000,000 Combined Single Limit Per
Non-owned Automobiles Occurrence
(E) Umbrella Liability: Such insurance shall be excess over and be . $5,000,000 Per Occurrence
no less broad than all coverages described above and shall . $5,000,000 Aggregate Bodily Injury
include a drop-down provision for exhaustion of underlying and Property Damage
limits. This policy shall have the same inception and expiration
date as the commercial general liability insurance required
above.
(F) Builder's Risk: An all risk policy form covering,without The initial Contract Price and any
limitation,perils of fire and extended coverage and physical loss subsequent modifications thereto for the
or damage, including theft,earthquake,hurricane, flood, entire Work and materials stored at the
windstorm,tornado,vandalism,malicious mischief,collapse, site, stored offsite or being shipped to
false work,testing and start-up,temporary buildings and debris the site,on a replacement cost basis
removal and covering reasonable compensation for CWA's and without voluntary deductibles
Engineer's services and reasonable expenses of C WA and
Engineer which are required as a result of such loss.
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Raw Water Service Connection Requirements—May 2020
3.0 ACCESSING WATER FROM THE CWA SYSTEM
3.1 GENERAL CONDITIONS
A. Reservation of Surface and Subsurface
CWA reserves for itself and its successors and assigns the right to use of the
surface and subsurface of the project area for any and all purposes that do not
interfere with and are not inconsistent with rights granted by CWA. Subject to
the foregoing, CWA's right to use the project area shall include, without
limitation, CWA's right to: (i) maintain its existing facilities located within the
project area and to install,place and maintain future facilities within or below the
surface of the project area; and (ii) cross over the project area by foot or with
wheel and track vehicles to the extent necessary to efficiently prosecute the work
described in item (1) provided that CWA notify Customer in advance of any
action CWA will undertake in the area covered by this Consent except for
emergency situations.
B. Right of Removal
CWA may remove project facilities to install a new pipeline, perform
maintenance on existing pipeline(s), or remove a Customer's project facilities
not authorized by an easement or encroachment. CWA shall not be responsible
to pay any costs incurred by Customer to replace the project facilities removed
as a result of CWA's actions.
C. Confirm Regulatory Compliance
The Customer will provide written confirmation that Federal, State and local
environmental requirements are fully addressed prior to the issuance of an
Easement or Consent to Encroach. Throughout construction activities, all
environmental requirements must be complied with and any issues resolved.
Provisions will be made and enforced to prevent contamination of groundwater,
surface water, or canal water during construction.
D. CWA Facilities Protection
The Customer will protect in place CWA facilities and appurtenances, such as
existing blow-offs, air valves, vents, manholes and cathodic protection test
stations, prior to and during constriction. Upon request, CWA personnel
familiar with CWA facilities, such as valves, manholes, or cathodic protection
systems,will be made available to identify the locations of such facilities.
E. Avoid Project Conflicts
The Customer will constrict and maintain any project facilities within the CWA
Corridor to avoid conflict with CWA's existing or future facilities. Additional
requirements beyond these guidelines may be imposed if CWA's concludes
additional safeguards are necessary to protect CWA's existing or future facilities.
F. Assumption of Risk
The Customer assumes all risks associated with the project within CWA
property rights-of-way or easements including, but not limited to, worker
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° Raw Water Service Connection Requirements—May 2020
injuries, damage to CWA facilities, damage to contiguous utility lines, damages
or injuries from improper installation and/or maintenance of facilities as shown
in the approved design documents.
G. Project Adjustment
The Customer or owner of any project facility constructed in a CWA Corridor
that causes interference with the use of such corridor will be notified by CWA in
writing and will remove, lower, adjust or relocate any such facility at the
owner's expense.
H. Repair/Adjustment Cost Responsibility
The Customer or owner of any facility constructed in a CWA Corridor shall be
fully responsible for reimbursement to CWA for all cost associated with any
damage to CWA facilities during construction, removal and/or replacement of
the facility. In the event CWA must excavate within CWA's Corridor for future
maintenance or installation of new pipelines and/or related appurtenances and
this affects the Customer or owner's constructed facility, the Customer or owner
is responsible for all associated constructed facility repair or reinstallation.
I. Venue
Venue for any dispute between the Customer and CWA relating to an easement
or right-of-way encroachment is Harris County,Texas.
J. Applicable Laws
Any dispute between the Customer and CWA relating to an easement or
encroachment is subject to the laws of the State of Texas, the laws of the federal
government of the United States, and all rules and regulations of any regulatory
body or officer having jurisdiction.
3.2 GENERAL DESIGN REQUIREMENTS
In addition to the completed Raw Water Service Connection Application in Attachment A.
the owner must submit design drawings to CWA for approval. Preference is to use existing
unused service valves or an available air vacuum valve riser, if CWA determines it is
appropriate. A typical detail for connection to an existing service valve is provided as
Attachment B and a typical detail for a raw water pump station as Attachment C. The design
must include the following information/requirements and must be shown on the drawings:
A. Drawing Format
Customer shall submit at least one legible 8'.i-inch x 1 I-inch copy of documents
in an acceptable format. Portable document format (PDF) is the generally
acceptable file format, but CWA may require files in a different format.
Drawings must clearly show the proposed limits of construction.
B. Legal Department Drawing Requirements
The Customer may be required to submit a metes and bounds description of the
property and all relevant drawings must contain the following minimum
requirements):
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Raw Water Service Connection Requirements—May 2020
1. North arrow& scale;
2. County name;
3. Survey name& abstract number;
4. Point of beginning and termination (with State Plane Coordinates if
available);
5. CWA Corridor boundaries;
6. Tie to closest CWA property corner;
7. Tie to centerline of closest CWA above ground and underground facility
or pipeline (showing distance and structure number) and offset or
parallel distance from CWA easement or fee strip line;
8. Type and size of crossing (outer pipe diameter, width of road and ditch
crossings, or area for surface sites);
9. Stationing along the proposed project;
10. Bearing and distance of crossing or longitudinal occupation;
11. If CWA will issue an easement, the easement boundaries must be shown
on the drawings and easement metes and bounds description included
with the submittal;
12. Locative reference tie to a street;
13. CWA tract reference & ad joiner information, including CWA right-of-
way width;
14. Reference to recorded instrument granting CWA property rights that will
be affected by Customer's request;
15. Basis of bearings(and coordinates if used);
16. Reference to CWA as-built drawing(s);
17. Registered professional land surveyor's certification, seal, signature &
printed name with registration number;
18. Total area or distance, separated by fee & easement, within CWA right-
of-way;
19. Name address and phone number of registered professional land
surveyor or firm that prepared the survey;
20. Ties to existing pipelines every 500 feet or at a change in direction and
position;
21. Swales, ditches, ponds, rivers, and/or canals locations in the right-of-
way; and
22. A profile of the facility if it crosses any underground facilities of CWA
or others.
23. CWA project name number and customer name
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° Raw Water Service Connection Requirements—May 2020
C. Design Submittals
The design must include the following information/requirements and must be
shown on the drawings:
1. Peak, average and contracted flow rates
2. Pipe size, schedule, and material
3. Valve size,and type with unique valve number
4. The "Point of Delivery" at the valve connection point to the CWA
system(both on the design drawings and in the contract with the City).
5. The"Point of Measurement"at the meter site approved by the City(both
on the design drawings and in the contract with the City).
6. Service Line Discharge Termination(Storage tank, Holding Pond, Etc.)
7. Design drawings prepared and sealed by a Licensed Texas Professional
Engineer
At CWA's request, the customer shall provide all relevant design calculations
for review.
D. Service Line Routing
The horizontal alignment and vertical profile of the service line routing across
the CWA right-of-way shall not impact future CWA pipeline installations.
Service line criteria, such as depths, clearances, etc., are identified in CWA 's
Easeinent of'Right-o1=Wain General Requirements. The service line's horizontal
alignment and vertical profile will be evaluated on a case-by-case basis.
E. Air Gap Requirement
Any customer provided pump station must include an air gap to atmosphere
between the pump station and the CWA transmission pipeline or Point of
Delivery. Do not connect a pump directly to any CWA waterline.
F. Backflow Prevention Equipment
Customers shall furnish and install Backflow Prevention Equipment at the
Customers own cost and expense. The Backflow Prevention Equipment must
have a capacity for the quantity of water delivered and conform to required
specifications. The Backflow Preventer must be installed in a way that prevents
bypass during standard operations. A bypass Backflow Preventer may also be
installed at customers expense. If a bypass Backflow Preventer is installed is
must conform to same testing and specifications as the main preventer. The
customer shall maintain ownership, operation and maintenance in accordance
with this document and any applicable COH codes.
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4 Raw Water Service Connection Requirements—May 2020
3.3 RAW WATERLINE CONNECTION GUIDELINES
A. General
The following applies to all raw water connections:
1. All coiuiections must be installed in a vault.
2. The connection must be sized appropriately for the contracted amount of
water. The maximum waterline connection size is 18-inches.
3. All downstream pipe must be restrained joint piping.
4. Provide a pipe support under the valve.
5. If not connecting to a Tee downstream of valve/blind flange, install Tee
with an additional service valve/blind flange within vault.
6. Do not locate raw water flow meter, backflow preventer, or an airgap in
CWA right-of-way or easement.
7. Only one customer per point of delivery connection.
B. Existing Valve Condition
The contractor is responsible to check the condition of the existing valve and
notify CWA of that condition. If CWA or customer determines the valve is not
in acceptable condition, customer will be responsible for the replacement or
repair of the existing valve. If repair or replacement is not in the best interest of
both parties a different service location will be identified.
C. Valves
The block/gate valve, to conform to AWWA C509 or C515. Gate valves shall
have a ductile iron body, 125 lb. flat-faced, flanged ends, cast iron double disc
gate, bronze trim, non-rising stem, extension rod, a two-inch (2") AWWA
square operating nut in lieu of an operating wheel, and a by-pass valve to
equalize the pressure on both sides of the gate valve. Bolting for all valves shall
be in accordance with ASTM A307, Grade B with hexagonal heads. Install valve
stem and appropriate supports to operate all valves from surface.
D. Pipe Alignment
Arrange and adjust connection piping to meet the service valve at its precise
angle and elevation. Force shall not be applied to the service valve to align it
with connection piping. Provide fitting(s) and align connection piping exit vault
below grade; make sure all piping and valves within the vault are supported. The
connection pipe must span 40 foot and be cased entirely within the CWA ROW.
E. Pipe Support
A pipe support of sufficient size shall be installed under each joint within the
vault to carry the combined load of the pipe and water. Pipe supports shall span
across the pipe joint.
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° Raw Water Service Connection Requirements—May 2020
F. CWA Pipe Excavation
All excavation adjacent to the CWA pipes must have a CWA representative
present. A 1-foot lift of cement stabilized sand may be required in the excavation
bottom to provide the foundation to support the valve box and pipe supports.
G. Backfill
All excavations must be backfilled to original ground level with suitable fill
materials as approved by CWA. Backfill must be placed in 6-inch maximum
loose lifts and compacted to 950 0 of maximum density at optimum moisture
content,plus or minus 30 o as specified by ASTM D6988,or latest edition.
H. Corrosion Protection
The piping and valves shall be coated in accordance with CWA piping
specifications to be consistent with existing corrosion protection. An insulating
flange gasket in accordance with City of Houston Standard Specification Section
15640 Joint Bonding and Electrical Isolation is to be provided between the valve
and the service line piping should the service line piping material be downstream
of the valve be electrically conductive. If an insulating flange is provided, test
leads shall be installed on the pipe on each side of the insulating flange and
brought to an above ground test station. A CWA representative must verify
electrical isolation before initiation of service. Customer is responsible for
upkeep and repair of isolation flange. CWA is not responsible for any damage to
customer pipeline or facilities as a result of electrical currents. Service will be
suspended if CWA determines a customer's pipeline is not electrically isolated
from CWA system.
I. Thrust Restraint
All service lines shall be installed with necessary thrust restraints required by the
valve and piping arrangement.
J. Ground Water Control
The contractor shall provide necessary measures to control ground water from
all sources. CWA's bedding and pipe zone backfill is sand, therefore there is a
potential for groundwater to migrate along the pipeline into the excavation. The
contractor is required to provide necessary measures to control groundwater
without loss of pipe bedding material.
K. Vault
All new connections are to be installed inside a vault. if no vault is present
customer is responsible for design, procurement and installation. Upon
completion ownership of vault shall be turned over to CWA. CWA will be
responsible for all upkeep and repairs of said vault. All vaults must be designed
in accordance with Attachment B Raw Water Standard Connection Detail and
meet the following design specifications: ASTM C857, ASTM C858 and ASTM
C891.
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"14 Raw Water Service Connection Requirements—May 2020
3.4 CANAL PUMP STATION GUIDELINES
A. Canal Pumping Facilities
Pumping facilities shall be located outside of the CWA right-of-way with the
intake pipe extending through the canal embankment. Pipe, valves, manholes
and appurtenant items cannot be installed aboveground within the CWA right-
of-way. Installation must provide CWA access along both canal embankments
and a minimum of 30 fect between the pumping facility and the canal water line.
Design submittals will include:
1. Pump station plan and profile with details
2. Piping inside the canal embankment
3. A cross-section showing normal operating and maximum canal levels
4. Pipe location within the embankment
5. Pump quantity and size
A typical detail for a canal pumping station is provided as Attachment C.
B. Valves
A block/gate valve, controlled by CWA, shall be installed inside the CWA right-
of-way in the pipe coming from the canal. Valves shall be Waterman AC-31 or
approved equivalent gate valve designed for canal use.
C. Headwalls
Intake piping extending into the CWA canal may require protection with a
concrete headwall to prevent maintenance activities from damaging pipe ends.
D. Cofferdam/Canal Diversion
A cofferdam must be designed by a licensed state of Texas professional engineer
to industry standards and built to specifications. Dam must be frilly removed and
any damage to canal repaired upon completion of construction. Customer is
responsible for evaluating the impact of the dam on downstream canal flows and
provide results to CWA for evaluation prior to approval of design. If CWA
determines bypass flows are not sufficient customer must redesign dam or
provide a plan to temporary divert canal flows.
3.5 ACCESS REQUIREMENTS
A. Access Notice
The Customer will notify CWA staff a minimum of 48 hours prior to any
activity in or adjacent to CWA facilities, property, rights-of-way, or easements.
Except for approved access for installation and routine maintenance, Customer
must obtain CWA's consent before entering CWA's Corridor. A copy of the
right of entry form can be found on the CWA Crossing Application Website
(https://cwacrossing ors/).
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° Raw Water Service Connection Requirements—May 2020
B. Installation Access
The Customer's right of access for installation will expire 180 calendar days
from the date CWA approves the application, unless otherwise noted or
extended. If the Customer does not begin project installation within the approved
time frame, the right of access expires, and the Customer must submit a new
application in accordance with CWA's current policy.
C. Routine Maintenance Access
Routine maintenance activities accomplished remotely without any access or
invasive activities to CWA Corridors require a 48-hour advance CWA
notification, but do not require a new application CWA's prior consent. The
Customer must obtain a special encroachment for routine maintenance that
includes invasive activities. The CWA GEC will reasonably determine what
constitutes routine maintenance and when CWA's prior consent is required.
D. Emergency Maintenance Access
All emergency maintenance access requires advanced or simultaneous CWA
Representative notification at (281) 424-2312 or the name and phone number
provided in writing by CWA staff. If CWA determines this access is a new
activity, an encroachment application and associated fee will be required.
Updated as-built drawings are required if the emergency maintenance activity
alters the pre-access location of the installed facilities.
E. Open Access
CWA's ongoing operations and maintenance activities will not be disrupted due
to any Customer activities. Maintenance access and roads along open canals
must be kept accessible and available for CWA use at all times.
F. Vehicle Access
Vehicular access across all facilities or improvements will be provided to CWA
personnel at all times.
3.6 CONSTRUCTION REQUIREMTENTS
A. Pre-construction Conference
CWA staff, CWA's GEC, the Customer's agent and construction inspectors must
schedule and attend a pre-construction conference before any work commences
on CWA's Corridor. A minimum 48-hour pre-construction meeting advance
notice is required.
B. Construction Work Plan
The Customer may be required to submit procedures, excavation plans,
schedules and the type and weight of the construction equipment to be used
when working within or crossing the CWA Corridor. No equipment with a net
surface loading that exceeds the equivalent of standard HS-20 loading, as
17
° Raw Water Service Connection Requirements—May 2020
defined by American Association of State Highway and Transportation Officials
(AASHTO) will be permitted. When crossing under a CWA facility, the
installation means and methods will be specified and followed during the
construction phase. Means and methods revisions must be submitted to CWA
prior to the start of any construction near the CWA facility.
C. Advanced Notification
ADVANCE NOTIFICATION OF TWO WORKING DAY`; IS REQUIRED
PRIOR TO STARTING ACTIVITIES WITHIN COASTAL WATER
AUTHORITY CORRIDOR. Contact the CWA Representative at (281) 424-
2312 or the name and phone number provided on approval documents. ALL
WORK COMPLETED WITHIN CWA RIGHTS-OF-WAY,
EASEMENTS, OR PROPERTY MUST BE ;MONITORED AND
OBSERVED BY CWA PERSONNEL.
D. Site Inspections
Prior to construction, the condition of CWA's roads, fences, and adjacent land
areas will be jointly inspected and documented by the Customer or the
Customer's agent and CWA staff. Upon completion of the proposed
construction activities, a final inspection will be conducted. The Customer is
responsible for all costs associated with returning the site features to pre-
construction conditions or better.
E. Customer's Inspector
The Customer will assign a qualified inspector to be on site during construction
operations within CWA's Corridors. The inspector will order the cessation of the
work when so requested by CWA's field representative.
F. Required Communication
The Customer will keep CWA staff advised at all times when working adjacent
to or within CWA's Corridor. No work will be done on CWA's Corridor
without CWA's representatives present, unless authorized by a CWA
representative.
G. Safety
The Customer will be responsible for creating, implementing, and following a
safety program to perform the work, maintain a safe work place, and comply
with the Customer's standard of care and all applicable laws bearing upon safety
and any standards of care, laws, or regulations applicable to the Customer's
agents, contractors, and subcontractors. These parties will perform work in a safe
and reasonable manner and seek to avoid injury, loss or damage to persons or
property by taking reasonable steps to protect: (a) employees and other persons
at the project site, and (b) all property and structures located at the project site
affected by the work or adjacent areas.
is
° Raw Water Service Connection Requirements—May 2020
H. Security
If permanent fencing is removed, the area must be secured with temporary
fencing or a guard when workers are not present. Permanent fencing must be
reinstalled to existing or better condition when construction is complete.
1. Site Restoration
The Customer must remove all equipment and materials from CWA property
and return property to "as before or better" condition (to be verified and
approved by CWA's representative)before the expiration of the Customer's right
of access for installation or special encroachment. If the Customer fails to
comply, CWA will take appropriate action to return property to "as before"
condition and the Customer will reimburse CWA for all associated expenses or
forfeit its encroachment or easement.
J. Record Drawings
The Project Owner will provide CWA with record drawings showing location,
horizontal coordinate values, and elevations within 60 days of project
completion. These drawing must include plan and profile information, use South
Central Texas State Plane Coordinate NAD 83 grid. Drawings to be submitted
electronically in PDF formant, and CAD file if applicable. An ESRI shapefile
including the point of delivery, point of measurement, service line routing and
all easements is required upon project completion.
3.7 SERVICE AND OPERATIONS
A. Maintenance Plan
All improvements, modifications, or facilities installed within CWA Corridors
must be maintained in reasonable operating condition per typical industry
standards.
B. Measuring Equipment
During all reasonable hours, The Coastal Water Authority shall have access to
the measuring equipment.
C. Backflow Prevention Equipment
At customers own cost and expense, customer shall have backflow prevention
inspected and tested by CWA approved independent tester. Test shall be
conducted on an annual basis and shall provide written notice to CWA at least
48 hours in advance indicating the time and location where the testing is to be
done. Should any testing of the customers Backflow Prevention Equipment
demonstrate the equipment is damaged or improperly functioning, customer is
responsible for immediate repair or replacement. Upon completion of any repair,
replacement or modification of customer Backflow Prevention Equipment, the
equipment must be retested by an approved independent test agency. If at any
time customer becomes aware of Backflow Prevention Equipment that is
19
° Raw Water Service Connection Requirements—May 2020
damaged or improperly functioning, customer must immediately inform CWA
in writing and conduct any necessary repairs or replacement.
Customers are required to have a licensed inspector submit the Texas
Commission on Environmental Quality form TCEQ-20700 Backflow Prevention
Assembly Test and maintenance Report, see Attachment D, to CWA at
backflowprevention(u_coastalwaterauthorit,rLorg upon completion of any testing
or maintenance of backflow prevention devices. During all reasonable hours.
Coastal Water Authority shall have access to the Backflow Prevention
Equipment.
D. Service Line Termination
During all reasonable hours, The Coastal Water Authority shall have access to
the customer facilities to inspect and verify water discharge location.
E. Required Immediate Corrections
The following practices and operation conditions require immediate
correction:
I. Pressure variations that have the potential to damage the CWA
System.
2. Inadequate or compromised backflow prevention devices.
3. Leaks or breakage between the Point of Delivery and the Point of
Measurement.
4. Inadequate or compromised electrical isolation flanges.
3.8 ABANDONMENT
A. Installed Facilities
Prior to abandoning any existing facilities within CWA Corridors, submit a
facility abandonment request that completely describes all abandonment
activities for CWA review and approval.
B. Abandonment
Prior to abandoning any ongoing facility installation within CWA Corridors,
Customer must submit a project abandonment request that describes how any
partially installed facilities will be removed, the site will be returned to
preconstruction condition, and how CWA facilities will be protected during the
abandonment activities for CWA review and approval.
C. Contract Termination
Upon termination of COH raw water contract, customer must remove all
facilities from CWA corridor. CWA reserves the right to reassign service outlet
upon termination of contract.
20
ATTACHMENT A
Coastal Water Authority
Raw Water Service Connection Application
Raw Water Service Connection Application
Coastal Water Authority Phone: (713) 658-9020
1801 Main Street, Suite 800 http:lrwww.coastalwaterautliorit�orgl
Houston,TX 77002-8120
Attn: Executive Director
REQUESTOR INFORMATION: (Print or 7)pe Only) Date
Individual Dame Company Name Phone Number
Address City State Zip Code
Email Address Site Location!Key Map(attach)
LEGAL NAME OF FACILITY OWNER REQUESTING RAW WATER SERVICE:
Company Name Raw Water Use
Address City State Zip Code
Authorized Representative:Name&Title
State requesting company is incorporated
SUBMITTAL REQUIREMENTS
All requestors must agree to comply with"CWA Raw Water Service Connection Requirements—Revised August 2020"and as amended
periodically. If CWA facility relocation is required due to this request,the relocation(s)cost(s)will be borne by the requesting party and must
be paid before the request is granted.The following documents will be issued per CWA property rights:
• Fee ownership: an easement will be prepared and executed by CWA
• An easement A Consent to Encroach will be issued
It is the requestoi's responsibility to secure additional needed rights from parties where CWA's rights are limited or less than a fee simple
ownership. The requestor must notify owners of other pipelines, communication lines or other third-party facilities located within CWA's
grant to requestor.
FEE
The easement or consent to encroach fee is defined in the CWA Water Service Connection Requirements Revised August 2020. THE
$5,000.00 NON-REFUNDABLE ADMINISTRATIVE FEE MUST ACCOMPANY THE REQUEST SUBMITTAL.
INDEMNIFICATION
BY SIGNING THIS APPLICATION,THE FACILITY OWNER REQUESTING WATER SERVICE IS LEGALLY BOUND
BY THE INDEMNIFICATION AGREEMENT IN THE CWA Water Service Connection Requirements — Revised August
2020.
REQUESTS SUBMITTED WITHOUT THE REQUIRED APPLICATION FEE OR THAT DO NOT CONTAIN THE SPECIFIED
INFORMATION,WILL NOT BE APPROVED. Deficiencies will be identified,and a revised package can be resubmitted.
The undersigned authorizes CWA to contact the Surveying firm that prepared the attachments and certifies that the information
provided is accurate and acknowledges that incomplete information may delay processing or invalidate this application.
By. �
Printed Name f
J e
Signature:
Title:
(revised August 2020)
ATTACHMENT B
Coastal Water Authority
Raw Water Standard Connection Detail
ATTACHMENT C
Coastal Water Authority
Typical Pump Station Intake Structure Detail
ATTACHMENT D
Texas Commission on Environmental Quality
Form TCEQ-20700
