12181989
16
HARNETT COUNTY BOARD OF COMMISSIONERS SPECIAL MEETING, DECEMBER 18, 1989
The Harnett County Board of Commissioners met in special session on Monday,
December 18, 1989, in the County Office Building, Lillington, North Carolina,
with the following members present: Bill Shaw, Mack Reid Hudson, Mayo Smith,
and Chairman Lloyd G. Stewart presiding. Commissioner Rudy Collins was
absent. Others present were Dallas H. Pope, County Manager; W. Glenn Johnson, I
County Attorney; Vanessa W. Young, Clerk to the Board; and Kay S. Blanchard,
Recording Secretary.
Chairman stewart called the meeting to order at 7 p.m.
Commissioner Smith offered the invocation.
PUBLIC HEARINGS Carla Stephens, Planning Director, briefed the group that there would be two
RE: ZONING DISTRICT public hearings concerning applications for proposed zoning district changes
CHANGE APPLICA. and explained the purpose was to obtain public comments concerning the
proposed zoning district changes.
DAVID COOMER Chairman Stewart called to order a public hearing concerning application for
David Coomer, from RA-40 Zoning District to RA-30 Zoning District, located in
Stewart's Creek Township on S.R. 2038.
Carla Stephens, Planning Director, presented the application to the Board.
Chairman Stewart opened the meeting for public comments. No comments were
offered and Chairman stewart closed the public hearing concerning application
for proposed zoning district change for David Coomer.
ROETTA TAYLOR Chairman Stewart called to order a public hearing concerning application for
Roetta Taylor, from Commercial Zoning District to RA-30 Zoning District,
located in Upper Little River Township, S.R. 1274.
Carla Stephens, Planning Director, presented the application to the Board.
Chairman Stewart opened the meeting for public comments. No comments were
offered and Chairman stewart closed the public hearing concerning application
for proposed zoning district change for Roetta Taylor.
CONSIDERATION OF The Board considered the following applications for zoning district change: I
ZONING CHANGE
APPLICATIONS 1. David Coomer, from RA-40 Zoning District to RA-30 Zoning District,
located in Stewart's Creek Township on S.R. 2038. The Planning Board
recommended approval of the application. Commissioner Shaw moved
that the zoning district change application request be approved.
Commissioner Smith seconded the motion and it passed with a unanimous
vote.
2. Roetta Taylor, from Commercial Zoning District to RA-30 Zoning
District, located in Upper Little River Township on S.R. 1274.
The Planning Board recommended disapproval of the application.
Commissioner Shaw moved that the zoning district change application
be denied. Commissioner Hudson seconded the motion and it passed
with a unanimous vote.
SUBDIVISION PLAT Carla Stephens, Planning Director, presented a subdivision plat for
FOR SIERRA VILLA Sierra Villa, Section Five, consisting of 12 lots owned by Gene Taylor, and
SECTION 5 located in Anderson Creek Township on S.R. 1120. Commissioner Shaw made a
motion to approve the subdivision plat with a completion date for road
construction for the subdivision to be June 30, 1990. Commissioner Smith
seconded the motion and it passed with a unanimous vote.
EXECUTIVE SESSION Commissioner Hudson moved that the Board go into executive session.
Commissioner Shaw seconded the motion and it passed with a unanimous vote.
Commissioner Hudson moved that the Board come out of executive session.
Commissioner Shaw seconded the motion and it passed with a unanimous vote.
RECESSED & RECON. Chairman stewart recessed the meeting to reconvene in the Assembly Room with
IN ASSEMBLY ROOM the Buies Creek-Coats Water and Sewer District Advisory Board where a I
discussion was held concerning membership of Cape Fear Regional Wastewater
System Board involving Buies Creek-Coats Water and Sewer District and Harnett
County.
ACTION Commissioner Hudson made a motion that a resolution be prepared by the Public
Utilities Attorney for the Buies Creek-Coats Water and Sewer District Advisory
Board to designate two members to work with the Cape Fear Regional Wastewater
System Board. Commissioner Smith seconded the motion and it passed with a
unanimous vote.
RECESSED & RECON. Chairman stewart recessed the meeting in the Assembly Room and reconvened in
IN CO~~1ISSIONERS the Commisisoners' Board Room.
BD. ROOM
17
RESOLUTION RE: Dallas H. Pope, County Manager, presented a Resolution Authorizing Execution
AGREEMENT WITH of Agreement with the Town of Angier concerning the Cape Fear Regional
TOWN OF ANGIER FOR Wastewater System. Commissioner Smith moved for the adoption of the
CAPE FEAR WASTEWATER resolution. Commissioner Shaw seconded the motion and it passed with a
SYSTEM unanimous vote. The resolution with agreement attached as Exhibit "A" is
copied in full at the end of these minutes dated December 18, 1989, as
I document no. 1.
RESOLUTION RE: Dallas H. Pope, County Manager, presented a Resolution Authorizing Execution
AGREEMENT WITH TOWN of Agreement with the Town of Lillington concerning the Cape Fear Regional
OF LILLINGTON FOR Wastewater System. Commissioner Shaw moved for the adoption of the
CAPE FEAR WASTEWATER resolution. Commissioner Hudson seconded the motion and it passed with a
SYSTEM unanimous vote. The resolution with agreement attached as Exhibit "A" is
copied in full at the end of these minutes dated December 18, 1989, as
document no. 2.
SPECIAL MEETING OF Chairman Stewart called to order a special meeting of the Harnett County Board
BUIES CREEK-COATS of Commissioners sitting as the governing body of the Buies Creek-Coats Water
W & S DISTRICT and Sewer District.
RESOLUTION RE: John M. Phelps, II, Pu~lic utilities Attorney, presented a Resolution
AGREEMENT WITH COUNTY Authorizing Execution of Agreement with the Buies Creek-Coats Water and Sewer
FOR CAPE FEAR WASTE- District concerning the Cape Fear Regional Wastewater System. Commissioner
WATER SYSTEM Hudson moved for the adoption of the resolution. Commissioner Smith seconded
the motion and it passed with a unanimous vote. The resolution with agreement
attached as Exhibit "A" is copied in full at the end of these minutes dated
December 18, 1989, as document no. 3.
ADJOURNED BUIES CREEK Chairman stewart adjourned the meeting of the Harnett County Board of
COATS MEETING Commissioners sitting as the governing body of Buies Creek-Coats Water and
Sewer District.
RESOLUTION RE: John M. Phelps, II, Public utilities Attorney, presented a Resolution
AGREEMENT WITH Authorizing Execution of Agreement with the Buies Creek Coats Water and Sewer
BUIES CREEK-COATS District concerning the Cape Fear Regional Wastewater System. Commissioner
FOR CAPE FEAR WASTE- Hudson moved for the adoption of the resolution. Commissioner Smith seconded
WATER SYSTEM the motion and it passed with a unanimous vote. The resolution is copied in
I full at the end of these minutes dated December 18, 1989, as document no. 4.
The agreement is copied as Exhibit "A" in document no. 3.
ADJOURNEMENT There being no further business, the Harnett County Board of Commissioners
Special Meeting, December 18, 1989, duly adjourned at 9:40 p.m.
L~ar!!c~
J~- A. ~d
Kay S.OBlanchard, Recording Secretary
LeOf' /..d. ~"",/
Vanessa W. Young, C1iYk to the Board
DOCUMENT NO.1.
USOLftIO. AftBORIlI.G BUCftIO. or AGPRI!MI!1I'f
WID DB !1!01111 or JWQID RBGARDI_ DB
CD. rBAR UGIO.u. 1fASTnAftJl 8~8!fBM
WHEREAS, the Harnett county Board of Commissioners,
(hereinafter sometimes referred to as the -Board-) has heretofore
caused a comprehensive wastewater study to be conducted for the
purpose of examining and analyzing the wastewater facilities needs
of Harnett County; and
I WHEREAS, pursuant to the recommendations of said study, the
County of Harnett formulated a plan to construct a wastewater
facility system designated as the Cape Fear Regional Wastewater
System; and
WHEREAS, the County of Harnett has requested the Town of
Angier to participate in the construction and use of said System
and the Town of Angier has agreed so to do; and
Ml.l:aAEAS, attached to this Resolution as Exhibit -r is a copy
of an Agreement between the County of Harnett and the Town of
Angier setting forth the various details of the agreements of said
parties with respect to the Cape Fear Regional Wastewater System;
and
WHEREAS, upon review and consideration of said Agreement, it
is the finding of the Board that the construction of said regional
wastewater system will be of great benefit to the current and
future health and well being of the citizens of Harnett County and
the Town of Angier; and
18
WHEREAS, it is the desire of the Board that the County of
Harnett enter into said Agreement so to implement the Cape Fear
Regional Wastewater System.
NOW, THEREFORE, BE IT RESOLVED by the Harnett County Board of
Commissioners that:
1- The County of Harnett shall and is hereby
authorized to enter into the Agreement between
said County and the Town of Angier, a copy of
which is attached hereto as Exhibit "A".
2. The appropriate officers of the County of I
Harnett are hereby directed to execute the
originals of said Agreement.
Duly adopted this 18th day of December, 1989 upon motion made
by Commissioner Smith , seconded by Commissioner ~ ,
and adopted by the following vote:
Ayes 4 Noes 0 Abstained 0 Absent 1
Harnett County Board of Commissioners
By: ~~~'
Attest: Liby, G. Stewart, Chairman
~"J{/,~,~
Vanessa W. Young, 6lerk
the Board
EXHIBIT "A"
NORTH CAROLINA
A9~EEMENT
HARNET'f COUNTY
'I'll I S AGln:EMlm'f is made and enlt! I:eel into this H~tb. day of
December, 1989 by and between the COUNTY OF HARNETT, a body politic I
organized and existing under the laws of the State of North
Carolina (hereinafter sometimes referred to as the "County" ) and
the TOWN OF ANGIER, a municipal corporation organized and existing
under the laws of the State of North Carolina (hereinafter
sometimes referred to as the "Town");
WIT N E S S 1'; 'I' H :
THAT WHEREAS, the County has caused a Comprehensive Wastewater
Study to be conducted for the purpose of examining and analyzing
the wastewater facilities needs of Harnett County; and
WHEREAS, one of the resultrJ of that Study was the
identification of a need for a regional sewer collection and
treatment system to serve several local governmental entities
nxistinq in the central portion of Harnott: County; and
WHEREAS, in order to meet the demands of the existing and
future wastewater disposal needs as .ichmt.ified, the COI1Btruct.i.on
of a wastewater facility system, designated as the Cape Fear
Regional Wastewater System, has been recommended; and
WHERI!~AS , the plans for the Cape FeRr Regional Wastewater
System include the replacement of the existing waste treatment
facilities serving the Town of Lillington, the Town of Angier and I
the Buies Creek - Coats Water and Sewer District of Harnett Coun~y,
the conotruction of a new regional wastewater treatment facility
and the construction of main interceptor pipelines to connect the
above named local governmental entities to the new treatment
facility; and
WHEREAS, in anticipation of the need for construction of
wastewater facilities in Harnett County, the Board of Commissioners
of Harnett County requested Federal and State assistance in funding
the construction of the Cape Fear Regional Wastewater System; and
19
WHEREAS, pursuant to the North Carolina Clean Water Revolving
Loan and Grant Act of 1987 an~~the provisions of the Federal Water
QUc'lli,ty Act of 1987, the State of North Carolina, thr'ol1gl1 its
I) i 1/ if: .i f I J I ()J: ";l1vi I' lI1melltal MilnageJll'~1I1 I I)(ll''' r.tmt'llI: n r: 1';1\\1 i I~nllll\(~nt,
Health and N.1t.urtll Resources, advised l'.lw County that monies for
I u .LOc'ln to fund the costs of the Cilpe Ji'o,lr Regional Wastewater
SYRtem have been reserved for Harnett County; flnd
WHEREAS, the County determined that it desired to proceed with
the implementation, construction and eventual operation of the Cape
l~ear Regional Wastewater System, and in connection therewith
requcoted the Town of Angier to enter. into an agreemmlt. with the
county regarding the participation of the Town in said System; and
WHEREAS, the Board of Commissioners of the Town of Angier has
determined that the Cape Fear Regional Wantewater syotem will be
of great benefit to the health and well being of the citizens of
the Town of Angier, and
WHEREAS, the Town has therefore determined that it desires to
participate in the Cape Fear Regional Wastewater System; and
WHEREAS, pursuant to the provisions of Chapter 160A, Article
7.0, Pal:t 1 of the North Caro1.i.ni:1 General Statuten entitled
"Inter-locHl Cooper-fltion, Joint ExeJ:r.i,fO(~ of Powers," thl~ Cn11llty and
the Town desire to enter into this Agreement with respect to the
Cape Fear Regional Wastewater Syst.em Flotting forth the terms and
conditions of their mutual agreementB r.egarding the sallie.
I NOW, 'l'HEREFORE, in consideration of the mutual
representations, warranties, covenants and agreements herein
contained, and for good and valuablE! cOllsideration, the u':lccipt and
sufficiency of which are hereby acknowledged, the County and the
Town agree as follows:
SECTION I
Definitions
The following definitions, designations and/or explanation of
terms shall be used for the purposes of this Agreement:
A. "Project" shall refer to the Cape Fear Regional
Wastewater System construction project.
8. "Regional Treatment Facility" shall refer to the
wastewater treatment and disposal facility to be constructed as
I'i1I'1. 0 r: Ihe "I:oject, Hnd thereBftl~1 oWllc,l, opl!l:att~d , IIIilllil9lHl ill1d
maintained by the County, except as hereinafter set for.th.
c. "Rcgiollill Interceptor ".i,pelin()" shall rc r lH' to the
w80tewater interceptor pipeline to be conatructed and inRtalled as
part of the Project which shall connect the existing system of the
I Town to the wastewater interceptor pipeline (also to be constructed
and installed as part of the Project) which shall run parallel to
the Capll Fear: River to the RegiolHl J '''r.ea l:ment Faci.l.ity. 1\s now
provided in design criteria, said "Regional Interceptor Pipeline"
shall have a hydraulic capacity of 1,300,000 gallons per day.
D. "Regional System" shall refer to the entire wastewater
collection, treatment and disposal system constructed and installed
pursuant to the Project, and shall include all lands required for
the installation of the same, together with continuous and adequate
easements and rights of way over other lands necessary to erect,
20
construct, install and lay and thereafter use, operate, inspect,
repair, replclce, remove, change the f;.iZC of such facilities as
namnd, nnd .i.n addition shall .illcllldn I',he Hegionlll Troatment
l"acility, the Regional Interceptor PIpeline and the TOWII Effluent
Meter.
E. "Town Effluent Meter" shall refer to that meter facility I
and related appurtenances constructed or otherwise provided for as
part of the Project to which wastewater from the Town shall be
trclnsm,itted by the Town and which l3 II a .I.l llIeasure the quantity of
wastewater being delivered by the Town into the Regional
Interceptor Pipeline.
F. Any terminology referring to the existing collection
system of Town shall mean that network of sewer collection
pipelines, mains and/or related facilities composing the Town's
sewer collection system as shall exist on the date the County
COl1llncnccn accepting wastewater from the 'rown into the Hcgional
System.
G. Any terminology referring to the existing treatment
facilities of Town shall mean those facilities, facility sites,
lagoons, lagoon sites, basins, basin sites, land application
systems, land application system sites, and all appurtenances
nl1.i1Lnrl I,hernto comprising the TowlI':: nOWt'l' treatment "lid diaposal
fad 1.1. t.i. os (1 r; shall exist on the date the Count.y commences
ilcceptillg wantewater from the Town into the Regional Syc;tem.
II. "FlIlldinq Agency" shall ,'..fel' to tho D.ivin.ion of I
Environmental Management, Department of l!:nvironment, Health and
Natural Resources of the state of North Carolina, or any successor
agency thereto.
I. "County Department of Public Utilities" shnll refer to
the Harnett County governmental department existing as of the date
of this Agreement which administera, operates, and otherwise
mllnagOG the pllbl.i.c water and sewer nyr:tenw owned nod/Ill: operated
by the County, and shall include any other successor department or
subdivision of the County which shall perform such functions.
J. Any terminology referring to the local governmental
entities involved with the Project shall refer to the Town, the
County, the Town of Lillington and the Buies Creek-Coats Water and
Sewer District of Harnett County. A reference to the other local
qover.nmental entities involved with I:he ProjN:t nhe 1.1 mean the
('(.lllm i.nd(H' of the above named locnl. govornmental clILi.ties not
specifically the subject of the pnrticular provision within which
the reference is made.
K. "Regional Board" shall refer to the Cape Fear Regional
Wastewater Board as established in Section XIV of this Agreement. I
SEC!'ION II
!'erm
This Agreement shall be a continuing contract relative to the
furnishing of essential wastewater treatment and disposal services
for the citizens of the Town, and shall exist and continue until
the County and the Town shall mutually modify or terminate the
same, BU'l' IN NO EVENT shall the same terminate until the loan
(including principal and interest) described in section III has
been paid in full.
21
SIC1'ION III
Funding Agency and Funds for Construction
A. ~nQ.1n~ Sou~
I The funds for construction of the project are anticipated to
hI') nur>plied in the form of a loan mArl" to the County pursuant to
the North Carolina Clean Water Revolving Loan and Grant Act of 1987
and the provisions of the Federal Water Quality Act of 1987 as
administered by the Division of Environmental Management,
Department of Environment, Health illld Natural Resources of the
State of North Carolina. The terms of this Agreement are
conditioned upon the receipt of said loan and approvals required
therefor, and in the event said loan is not obtained by the County,
or the Regional System is otherwise not constructed, then the
County shall have no obligations hereunder to the Town, and the
Town shall have no obligations hereunder to the County.
B. Agreement Subiect to ~remeptB oJ Fundina Aaenc~
The County and Town agree to comply with all the conditions
and requirements imposed by the Funding Agency, which shall
include, but not he limited to, thH Revolving Lonn conditions, the
establishment of pretreatment requirements, and the adoption of
appropriate nAwer use ordinances and uner charge system!>.
C. ~J1 to Act ~melv ~annor
I When, in the course of providing the various ordinances,
information and/or other documents to the Funding Agency, the
County must ohtain such items from the Town prior to submission to
the Funding Agency, the Town agrees to prepare, adopt and/or
otherwise provide the same to the County in a timely manner.
D. Loan Pavment Sources
All funds paid by the County and the Town as principal and
interest on the aforementioned loan shall be derived only from
those sources specified by the Funding Agency.
SBC1'ION IV
Construction and ownership of Regional System
A. County Lead Agencv
The County shall be responsible for administering and
managing the construction and installation of the Regional System
illl<.1 j 11 C:Ilnnct:l.iol1 therewith shall:
1. Cause the appropriate pre-construction studies to be
completed as c1l:-e required by the Fundil1q ACJBncy r"Ind Clny other State
I or Federal agencies.
2. Calise such funding and pnrmit applications as lIlay be
required to be completed and filed with the appropriate
Federal nnd State agencies.
3. Cause plans and specifications for the Regional
System to be completed in accordance with acceptable engineering
pr~ctices and procedures, and in complinncn with applicnble rules,
regulations and requirements of the [o'ulldillg Agency and such other
State and Federal agencies as may be applicable.
22
4. Obtain and acquire in its name continuous and
adequate easements and rights of way on private lands necessary to
erect, construct, install and lay, and thereafter use, operate,
inspect, repair, maintain, replace, I:emove, change the size of or
protect the Regional System.
S. Obtain and acquire in its name permits, franchises,
and authorizations or other instr.uments by whatfloever name I
designated, from public utilities and public bodies, commissions
or agencies such as are necessary to erect, construct, install and
lay, and thereafter usE!, operate, inspect, repair, maintain,
replace, remove, change the size of or. protect the Regional System
upon, along or across streets, roads, highways and public.
utilities.
6. Obtain and acquire in its name such parcels of real
property as are necessary for the construction of the Regional
'l'rciltment Facility, pump stations, and ilny o1:her building or
structure required for the completion of the Regional System.
7. Cause the contract or contracts for construction and
installation of the Regional System to be advertised in accordance
with applicable law, and to thereafter award and enter into such
contract or contracts for said construction and installation as the
County deems in the best interest of the Regional System. The
determination as to which bidder or bidders shall be awarded
contracts shall be made by the County.
8. Cause the installation and construction of the
Regional System to be supervised by qualified and competent I
engineers.
9. Provide for the administration of the construction
and installation of the Regional System and to provide for
inspection of the same.
10. Provide for the administration of the funds obtained
for the implementation, construction and installation of the
Regional System.
11. Otherwise, manage the implementation, construction
and installation of the Regional System.
B. OwnerShip of Reoional Svst~
The Regional System shall be and remain the property of
the County, and the Town shall have only that right, title or
interest as expressly provided in this Agreement. It is understood
that except as to the rights of the Town expressly provided in this
Agreement, as owners of the Regional System, the County may
operate, maintain, manage, regulate and control the same, subject
to the terms of this Agreement, and otherwise exercise with respect
thereto any rights, authorities or privileges it may be granted by
statute.
C. ~t Coooeration I
During the course of the implementation, design and
construction of the Regional System, the Town and the County agree
to collaborate and cooperate with respect to the gathering of the
documentation, data and/or other information necessary to properly
design and construct the Regional System. Additionally, when
requested by the County and/or the contractor(s) the Town agrees
to cooperate with the said County and/or the contractor(s) with
respect to the testing of the Regional System, and preparation for
connection of the same to the existing collection system of the
Town.
23
D. Conveyance o'-Ease~
The Town agrees to convey to the County, without charge,
easements and rights of way over, upon and across properties owned
by the Town when such easements and rights of way are necessary to
ill::l.ilJI 01 lid .:onnl ['ucl: the l{egioJld I. 11I1',el'.:ept(ll' Pipet illt', ilml/or
otherwise necessary to connect the Ih~~Jiona1 Interceptor pipeline
I to the Town I':fflucnt Meter.
SECTION v
Capacity Allocations in Regional System
A. ~anner of Exoression
The allocations of capacity ill the Regional System shall
be expressed in terms of treatment capacity in the Regional
Treatment Facility.
D. ~~XL-Allocat12n. The TowlI shall have allocated and
reserved for treatment of its wastewater twenty-five (25\> percent
of the treatment capacity of the Regional Treatment Facility. It
is understood that the capacity of the Regional Treatment Facility
is to be two million (2,000,000) gallons per day, and that
therefore, the allocation and reservation herein made to the Town
equals five hundred thousand (500,000) gallons per day.
C. R.IDTl~,.ln,i nUllocatioU,g.. Thn remaining seventy-five (75\>
percent of the treatment capacity of the Regional 'l'r'eatment
Facility shall be allocated to the other local governmental
entities involved with the Project or retained by the County for
I its lIse.
SECTION VI
Payment for Capacity Allocations in Regional System
A. Loan Determination
The amount of the loan awarded for the construction and
installation of the Regional System shall be determined pursuant
to the directives of the Funding Agency. As soon as practicable
after final determination of the loan amount and related debt
instrument details, the County shall provide such information to
the Town.
B. Loan ~vment Portion pavable bv TowQ
The Town shall pay that portion of each and every paymeht
due on the loan obtained through the Funding Agency as hereinafter
provided:
1. 'l'IH! por.tion of each 1'01)'1110111 mad{! by tlw 'l'oWII shall
eqllal the product of the total I'Imnllllt of thp. prinei,..,"l and/or
illtcn'~f>l: due for such payment rnultipl.i,()d by the perccntclge of the
capacity allocation in the Regionnl Syntcm allocated And reserved
I for the Town herein.
2. The portion of the payment to be made by Town shall
be paid to the County at least fifteen (15) days prior to the due
date of the Hilme.
3. It is understood that: according to the Funding
Agency, principal payments will be mlJde annually on or before May
1 of enc:h Yflar, and that all i ntm-est payments will be made
semiannually on or before May 1 and November 1 of each year. The
portion of the payments to be made by Town as herein provided shall
apply to both the principal and interest and the interest only
payments due on the loan.
24
c. Remainder of Loan PBvment~
Tlw rnmaining portion of Lhe loan paymollt: for the
Regional System, that is, that portion not paid by TOWII, shall be
obtained by the County from the other governmental entities
participating in the Project, and/or Rupplied by the County.
D. Transmission of Loan Pavment
The County shall be responsible for transmitting the loan I
payments to the Funding Agency or other appropriate agency as
directed by the Funding Agency. . County ahall make said payments
on a timely basis and any penalty or late charges shall not be paid
by Town, provided Town has made its payment by the time required
in Section VI (B) (2) .
E. Costs in ~xcess of Loaq
It is the understanding of the County and the Town that
the current estimated Project cost is $7,500,000. The County and
the Town agree that should the Project exceed one percent ( 1%) of
the estimated project cost, including closing costs and other costs
associated therewith then the Town shall have the option of either
retaining its level of capacity allocations in the Regional System
herein agreed upon, and thereby incur its share of the additional
costs for the same, or reduce its level of capacity allocation in
the Regional System herein agreed upon and thereby not incur the
additional costs. In the event that during the pre-construction
phases of the Project it becomes apparent that the estimated
Project cost, together with closing costs and other costs
associated therewith, shall exceed $7,500,000 by more than one I
percent (1\) of such amount, then the County shall notify all
entities involved with the Project so that they may collaborate and
cooperate as to cost overruns. The Town shall determine which
option it desires, and shall advise the County as to such
determination within twenty (20) calendar days after notification
to the Town of the apparent cost overrun.
Unless otherwise agreed, if the Town shall elect to retain its
level of capacity allocation as described above, or if the Project
exceeds $7,500,000 by less than one percent (1\) thereof, then the
Town shall pay such portion of the applicable excess as equals said
excess multiplied by the percentage of the capacity allocation in
the Regional System allocated and reserved for the Town herein.
SEer ION VII
Wa8~ewa~er Trea~men~ and Me~erlng
A. ~tv to ~t Town Wastewater
County agrees to treat at the Regional Treatment Facility
during the term of this Agreement or any renewal or extension
thereof, quantities of wastewater which flow through the Town
Effluent Meter up to and including the maximum amount of Five I
hundred thousand (500,000) gallons per day, which said maximum
amount equals the allocation made and reserved for the Town herein.
The wastewater shall be treated pursuant to those standards
specified by the applicable Federal and State agencies, including,
but not limited to, the standards of the Division of Environmental
Health of the North Carolina Department of Environment, Health and
Natural Resources.
B. Town Effluent Mete~
County agrees to furnish and install as part of the
Project and thereafter operate and maintain at such point as is
25
agreed upon by the engineers for the Regional System and the
engineers employed by the Town the necessary metering equipment,
including a meter house or pit, and the required devices of
standard type for properly measuring the quantity of wastewater
transmitted into the Regional Interceptor Pipeline for treatment
I and to calibrate such metering equipment whenever requested by
Town, but not more frequently than once every twelve (12) months.
However, the Town may obtain independent verification of the
calibration of the metering equipment. In this event, should the
test result be deemed to be accurate, (as hereinbelow stated), then
the Town shall pay the costs of obtaining such test. If the test
result is not deemed to be accurate, (as hereinbelow stated), then
the County shall pay the costs of obtaining the test. A meter
registering not more than two (2\) percent above or below the test
result shall be deemed to be accurate. The previous readings of
any meter disclosed by test to be inaccurate shall be corrected for
the three (3) months previous to such test in accordance with the
percentage of inaccuracy found by such tests. If the meter fails
to register for any period, the amount of wastewater treated during
such period shall be deemed to be that amount of wastewater which
equals the average monthly reading for the three (3 ) months
previous to such failure, unless County and Town shall agree upon
a different amount. Appropriate officials of Town shall have
access to the meter at all reasonable times in order to verify
I readings.
C. tteter Readings
The Town Effluent Meter shall be read by the County on
the first day of each month.
SI!:CTIOIf VIII
Operation and Maintenance
of Regional System
A. ManaQement of ReQional System
Except as otherwise set forth in this Agreement, the
Regional System shall be managed, operated, and maintained by the
County throu(jh its Department of Public utiLitieB, iHI i.\ County
operated public enterprise, and in connection therewith the County
B Iw J. J. :
1. Fonllulat-.a and there"f' (,'0 mni.utaioll propelo i1ccollnting
proc;cdurQs wi th respect to the Regionid System in L1ccon1ance with
the North Carolina Local Government Budget and Fiscal Control Act
as set forth in Article 3, Chapter 159 of the North Carolina
I Gener.al Statutes.
2. Operate and maintain the Regional System on an annual
budget, which budget shall be formulated and maintained in
accordance with the North Carolina Local Government Budget and
Fiscal Control Act as set forth in Article 3, Chapter 159 of the
North Carolina General Statutes.
3. Contract with a certified public accountant for
annual audits of the Department of Public utiliti.es and the
Regional System accounting procedures and records.
4. Obtain, and thereafter maintain, insurance and bonds
an re<}ui.roed by State law.
26
5. Comply with all Federal, State, and Local laws and
regulations relative to the management, operations and maintenance
of the Regional System.
6. Invoke moratoriums in accordance with Section VIrI
(G) hereof to prevent the addition of wastewater customers to the
Regi.onal Systnm and/or the increase ill wastewater flow into the
Regional System so as to protect the allocation in the Regional
System reserved for the Town herein. I
7. Invoke surcharges in accordance with Section VIII (F)
hereof upon the local governmental entities involved with the
Project, in the event such entities exceed their maximum flow input
amounts (reserved allocations) into the Regional System.
8. Report to the Town on a monthly basis, or upon
request, with respect to wastewater flow from all the entities
involved with the Project and other matters as are appropriate.
9. Otherwise, provide for the orderly and efficient
management, operation, and maintenance of the Regional System.
B. ~r::illons and Maintenance 1~~DenBe Provjded bv Town
l. The Town shall , on Cl monthly basis, provide that
portion of the costs incurred for Operations and Haintenance of the
Rnq i 0111\] Systnm an io described hCJ:llill. Said monthly r.oot ({hall
be based upon a Bulk Municipal Sewer Rate as hereinafter
formulatnd.
2. The portion of the costs incurred for Operations and
Maintenance of the Regional System to be provided by Town shall be
that amount of money which equals the product of the Bulk Municipal I
Sewer Rate multiplied by the number of gallons of wastewater
transmitted i.nto the Regional Interceptor Pipeline as measured
through the Town Effluent Meter.
3. The Bulk Municipal Sewer Rate (hereafter "Bulk
Ra te" ) shall be the Operations and Maintenance expense of the
Regional System expressed in cost per one thousand (1000) gallons
of wastewater treated. The Bulk Rate shall be determined on an
annual cycle, and shall be based upon demonstrable expenditures for
the operations and maintenance of the Regi.onal System as indicated
on the accounting records for the Regional System, together with
anticipated increases or decreases in the same. The Bulk Rate
shall be determined as follows:
(a) The total amount of Operations and Maintenance
costs incurred by the County during a fiscal year shall be
calculated.
(b) Such total amount of Operations and Maintenance
costs shall then be divided by the number of gallons of wastewater
treated at the Regional Treatment facility during the corresponding
fiscal year. The per gallon cost thereupon derived shall be
multiplied by one thousand (1000) to determine actual cout per one I
thousand (1000) gallons.
(c) The actual cost per one thousand (1000) gallons
shall thereupon be adjusted to reflect projected and anticipated
increases or decreases in the Operations and Mai.ntenance expenses
reasonably expected to be incurred by the County in the forthcoming
rate period.
(d) The actual cost: PI:I onl' thou nand (1000) qnllons
adjusted as provided in (c) above shall be the Bulk Rate for the
next fiscal year.
--_..~..,-",- --,....--.
27
4. Prior to the adopti.on of ., bulk rate, the County
shall seek the advice and recommendations of the Regional Board
with respect thereto, and shall provide documentation to the
regional Board to support its conclusions and opinions regarding
tho IImnn.
5. On or before April 1 of each year, the County shall
I advise the Town of an estimate of the bulk rate it intends to adopt
and shall adopt such rate on or before May 1 of each year.
6. The Town shall be furnished by the County, not later
than the tenth (10th) day of each month, an itemized statement or
bill (including the amount of wastewater treated, the rate and the
amount due) for the amount of wastewater transmitted into the
Regional Interception Pipeline through the Town Effluent Meter
during the preceding month, as established by the meter readings
made on the first day of each month.
7. The Town shall pay to the County the amount billed
to them by the County on or before the twentieth (20th) day of the
month in which the bill is rendered.
C. Procedures Pr.\.Q.r t.o Im~Jm?JJt.Rt..i.on of Annuat Cvcle
1. The Bulk Municipal Sewer Rate, prior to the
implementation of the Annual Cyclical Procedures outlined in
Section B above, shall be determined as follows:
(a) During the period beginning on the date the
County commences accepting wastewater from the Town into the
I Regional System and continuing through the end of the fiscal year
following the fiscal year during which wastewater is first
accepted, the Bulk Municipal Sewer Rate shall be based upon
estimated Operations and Maintenance expenses of the Regional
System as determined by the County and the Project engineers.
(b) During the first year in which the Annual
Cyclical Procedures are implemented, the Bulk Municipal Sewer Rate
shall be based upon demonstrable expenditures for the operations
and maintenance of the Regional System as indicated on the
..,,;1;01lI1L1n9 n~(:ordn for the Region;!.1 Sy:;tl:rn made dlll:i.l1q the first
fiscal year of its operation (that period beginning on the date the
County commences accepting wastewater from the Town into the
Regional System and continuing through the end of the Bame fiscal
year) , together with projected and anticipated increases or
decreases in the operations and mailltenance expenses reasonably
expected to be incurred by the County in the forthcoming rate
period.
2. The first billing to the Town shall be made not
later than the tenth (10th) day of the month following the month
during which the County commences accepting wastewater from the
I Town.
3. All other procedures provided in Section B above
shall be utilized in the calculating of the monthly bill to be
rendered to and paid by Town.
D. .s.vsteJll FBUure
The County will, at all t:imcs, operate and maintain the
Regional System in an efficient manner and will take such action
as may be neces"lry to furnish sewer services to the Town.
Temporary or partial system failurefl shall be remedied with all
possible dispatch. Any reduction in services to the Town shall be
28 reduced or diminished in the same ratio or proportion as the same
is reduced or diminished with respect to the other local
governmental entities involved in the Project. Emergency failures
caused by main pipeline breaks, power failure, flood, fire,
earthquake, or other catastrophe shall excuse the County from the
obligation to provide sewer servicen to the Town for such
reasonable period of time as may be necessary to restore service.
E. Indemnification of Tow~ I
The County shall and hereby does indemnify and hold
IWt"lnlens the 'fown from and against illl C:Ostf; , loss, Hxpenses,
(including attorney's fees), claims, suits and judgments whatsoever
in connection with any and all liability arising out of any error
or omission made or caused by the County and/or its officers,
agents and employees in connection with any of the Regional System
operated by the County.
F. S U l.'.c:llAnlM
1. Invoking Surcharges. The County shall invoke
nurcharges upon the local governmentil.l entities involved with the
Project when ouch entities:
(a) Discharge into the Regional System a quantity
of wastewater which exceeds such entities maximum flow input
amounts (reserved allocations), hereinafter referred to as "excess
use surchargen" or
(b) Discharge into the Regional System wastewater
which violates the regulations of the applicable federal, state,
and/or local governments and/or ~9cnc:ie9, hereinafter referred to
as "violation caused surcharges." I
2. Excess Use Surcharges. The procedures for
processing excess use surcharges shall be as follows:
(a) Such surcharges shall be imposed and calculated
based on each monthly meter reading period.
(b) The surcharges shall he invoked effective the
monthly meter reading period duri.ng which the excess use first
occurs and shall continue until such use is ended.
(C) The amount of the surcharge shall be calculated
based upon the surcharge as set by the Regional Board.
(d) Surcharges shall be payable twice a year, on
or before May 1 and November 1- Such surcharges shall be
distributed as provided in Section 3 below.
3. Distribution of Excess Use Surcharges. Surcharges
imposed and collected by reason of excessive discharges shall be
distributed among the local governmental entities involved with the
Project as follows; subject, however to the conditions set forth
in (e) and (f) below:
(a) For each month the Town of Lillington exceeds
.i.tn /:'cflcrved ilJ.location, the surcharge i\l3S(!fJSed to il. shall bc paid I
36% to the Town of Angier, 36' to the Buies Creek-Coats Water and
Sewer District of Harnett County, and 28% to the County of Harnett.
(b) For each month the Town of Angier exceeds its
reserved allocation, the surcharge assessed to it shall be paid 40%
to the Town of Lillington, 33% to the Buies Creek-Coats Water and
::lower: I>intrict of liar nett County, Hlld ;!'/\ to tho COllnty of lIt1rllctt.
(C) For each month t.he Buies Creek-Coats Water and
Sewer Di9trict of Harnett County excends its reserved allocation,
the surcharge aSRessed to it shall he pi\id 33\ to the 'fown of
Angier, 40% to the Town of Lillington, and 27% to the County of
HArn~t.t.
29
(d) For each month the County of Harnett exceeds
its regerved allocation, the surchargo ussessed to it fJhal.1 be paid
31% to the Buies Creek-Coats Water and Sewer District of Harnett
County, 31% to the Town of Angier, and 38% to the Town of
I...i.lli.ngton.
(e) The above distribution percentages have been
I calculated assuming that the respect.i.ve reserved allocations for
the entities involved with the Project are as follows:
1. Lillington- 600,000 gallons per day
ii. Angier- 500,000 gallons per day
iii. Buies Creek-Coe-lts Di.strict- 500,000 gallons per
day
iv. Harnett County- 400,000 gallons per day
In the event that anyone or more of the entities has
increased its reserved allocation by expansion, purchase or
otherwise, the percentages as set forth in paragraphs a - d above
shall be modified and shall be stated as that portion which each
entity owns, expressed as a percentage of the reserved allocations
of all receiving entities.
(f) In the event the total amount of gallons of
capacity used by a potential receiving entity during a month,
together with that number of gallons of capacity which equals the
respective percentage applicable to such entity multiplied by the
number of gallons of excess upon which the surcharge is calculated,
exceeds the number of gallons of reserved capacity for that entity,
I then such entity shall receive only the amount of the surcharge
which applies to the difference between its reserved allocation and
the total amount of gallons of capacity used by that entity during
a month. Such portion of the surcharge not paid to the entity
shall be prorated among the other receiving entities based on the
1"!ll:l!IlI'.illl'!S ill>ove ntal:ed.
4. Violation Cau'sed Surcharges. The procedures for
processing surcharges invoked by r08"On of violations shall be as
follows:
(a) The amount of the surcharge shall be calculated
based upon the surcharge as set ,by the Regional Board and based on
the strength of the waste being received above the average domestic
wantu COllcentnltions as may be def.i.rwd by .law.
(b) The surcharge shall be added to the Operation
and Maintenance costs billed to the loci'll governmental entity
.involved with tllfl Project upon whl,,:h the f'lll r.chtlrg(~ IWrl been
i.nvoked.
(C) The surcharges shall be invoked effective the
monthly meter reading period during which the violation first
I occurs and shall continue until such violation is remedied.
(d) The surcharges shall be placed into the
Operations and Maintenance budget of the Regional System.
G. 1'10 ra...t,' ) r~)I.lIn
The County shall invoke moratoriums upon the local
governmental entities involved with the Project when such entities:
1. Discharge into the Regional System for a period of
four (4) out of six (6) consecutive calendar months a quantity of
wastewater which exceeds such entity's maximum flow input amounts
(reserved allocations); or
30
2. Discharge into the lle9i.ona1 System wastnwilter which
violates the regulations of the applicable federal, state and/or
local governments and/or agencies and such entities do not promptly
act to remedy such violations.
A moratorium as provided herein shall mean a suspension
of the issuance of all . building permits for the entity. The
moratorium shall remain in effect until the condition causing the
same has been resolved satisfactory to the County. I
SECTION IX
Regional System Distinct From Town System
It is understood that the Regional System shall be distinct
and separate from the existing system of the Town. As such, except
f'1f) oxpr:ensly provided in this 1\ql'nomcnl: , the County milY, with
respect to the Regional System:
A. Operate, maintain, manag(~ , regulate and control the
Regional System;
B. Establish and set all rates, fees, and other charges
applicable thereto;
C. Adopt such ordinances, rules, regulations and other
procedur~s as it deems appropriat(~ thel.'afoq
D. Collect and retain revenues and other monies obtained in
the operation of the same; and
E. Otherwise, exercise with I:nflpect thereto uny and all
rights, authorities or privileges it may be or has been granted by
law.
SECTION X I
Existing Collection System of Tow~
1\. Ownershio
The existing collection system of the Town shall be and
remain the sole property of the Town.
B. ~~r~t~ons and Maintenan~~
The Town shall be solely responsible for the operations
and maintenance of its existing collection system.
C. Rates. Fees t.-Wl9 Otber Charoes
1- Establishment. The Town shall establish and set all
rates, fees, and other charges for sewer connections and services
provided from its existing collection system.
2. Billing and Collection. The Town shall be
responsible for billing all sewer service customers served or to
be served by its existing collection system. All costs related to
billing and collection shall be paid by Town.
D. ,Adm.i.nistrative ~}coenses
The Town shall be responsible for all administrative,
1 ega 1 , and other costs associated with its existing collection
system. I
E. lndem~atioU-Qt CountY
The Town shall and herehy docs indemnity [Ind hold
harmless the County from and against all costs, loss, expenses,
(including attorneys' fees) claims, I1llits ilnd judgmcntn whal:soever
i.n CC)llllN:tioll wil:h any and all liobi 1.1 I Y rrr-isinq out of' nny error
or 011\1f.1s10n made or caused by the 'l'oWII nnd/or its officers, agents
and employees in connection with Il:s existing sewer collection
system or any other sewer collection system operated by the
Town.
31
SECTION XI
Certain Expansions Related to the Town
A. ~oansions to Collection Svstem of Tow~-Countv
~onoMt icioan1;,
1. Applicability. The provisions of this subsection
I shall apply in the event sewerage collection pipelines, force
mains, and/or related facilities are constructed such that effluent
therefrom shall flow through the Town Effluent Meter, and the same
hnve bAen either:
(a) constructed or cillwed to be constrllcted solely
by the Town, OR
(b) constructed by some person, firm, or entity
other than the County, and accepted by the
Town as part of its collection system.
2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection A(l)
above shall be and remain the sole property of the Town.
3. Operation and Maintenance. The Town shall be solely
responsible for the operation and maintenance of any sewerage
collection pipelines, force mains, and/or related facil !ties as
identified in subsection A(l) above.
4. Rates, Fees, and Other Charges. The 'fown shall
establish and set all rates, fees, and other charges for sewer
connections and services provided from any sewerage collection
I pipelines, force mains, and/or related facilities as identified in
subsection A(l) above.
S. Billing and Collecl.i.oll. The Town shall be
responsible for billing all service customers served by
sewer
seWArtlge collection pipeline, force mains, and/or related
filcil.i.ti.Afl an identified in subsocLi.on ^ ( 1 ) ;lbove. ^ 11 costs
related to billing and collection shall be paid by Town.
6. Administrative Expenses. The Town shall be
responsible for all administrative, legal, and other costs
associated with sewerage collection pipeline, force mll.inG I and/or
related facilities as identified in subsection A(l) above.
B. EXQansions for Benefit of Town-Countv NonDarticioant
1. AppHcability. The pJ:ov.is ions of this subsection
shall apply to sewerage collection pipelines, force mains, and/or
related facilities to be constructed RllCh that effluent therefrom
shall not flow through the Town Effluent Meter, but shall flow
otherwise into the Regional Interception Pipeline, and the same are
to be either:
(a) constructed or cBused constructed solely by the
Town, OR
I (b) constructed by some person, firm, or entity
other than the County and the arens serviced
therefrom are to be incorporated into the
municipal boundaries of the Town.
2. Connection Subject to County Approval. Any sewerage
collection pipeline, force mains, and/or related facilities
identified in subsection B(l) above nhnll not be connected to the
Regional Interception Pipeline or any other pipeline or main owned
by the County until such connection is approved in writing by the
County.
32
3. Ownership. Any sewerage collection pipelines, force
mains, and/or related facilities identified in subsection B(l)
above shall bc and remain the sole property of the Town.
4. provisions Subject to Mutual Agreement. With respect
to any sewerage collection pipelines, force mains, and/or related
facilities identified in subsection B(1) above, it is agreed that I
County and Town shall collaborate, and prior to construction of the
same, agree to provisions with respect thereto regarding the
[ol.low.i.nq:
(a) Metering of effluent transmitted therefrom,
(b) Operation and maintenance thereof,
(c) Rates, fees, nnd other chargee: applicable
thereto,
(d) Responsibility for bi.llings and collections
related thereto; and
(0) Responsibility [01' mlmin.i.utrll tion expenses
regarding the same.
C. Countv ExoaruU..2ns to Collect ic:m Svstem of Town
1- Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains and/or
related facilities to be constructed outside the corporate limits
of the Town and such that effluent therefrom shall flow through the
Town Effluent Meter and the same are to be either:
(a) constructed or caused to be constructed solely
by the County, or
(b) constructed by ROlne person, firm or entity I
other than the Town and are to be accepted by
the County as part of its collection system.
2. Connection Subject to Town Approval. Any sewerage
collection pipelines, force mains and/or related facilities
identified in subsection C(1) above shall not be connected to the
existing collection system of the Town or any system identified in
subsection A(l) hereof until such connection is approved in writing
by the Town.
3. Ownership. Any sewerage collection pipeline, force
mains and/or related facilities identified in subsection C(1) above
shall be and remain the sole property of the County.
4. provisions Subject to Mutual Agreement. with
uwpcct to any sewerage collection pipelines, force JIIcl.i.ns and/or
related facilities identified in subsection C(l) above, it is
agreed that County and Town shall collaborate, and prior to
construction of the same, agree as to provisions with respect
thereto regarding the following:
(a) Metering of effluent transmitted therefrom,
(b) Operation and IlItl.i.lIlunance thoreof, I
(c) Rates, fees and oth(!r charges ilpplicable
thereto,
(d) Responsibility f (ll~ bi 11 ings and collections
related thereto; and
(e) Responsibility for administrative expenses
regarding the same.
D. Counl:.L..J1:xoansions in vic.i,.o.Lt;.y,..2.l._~
1- Applicability. The provisions of this subsection
nhall apply to sewerage collection pipolincs, force mains and/or
-
33
related facilities constructed such thflt effluent therefrom shall
not flow through the Town Effluent Meter, but shall flow otherwise
into the Regional Interceptor Pipeline, and the same has been
either:
I (a) constructed pr caused to be constructed solely
by the County, or
(b) constructed by some person, firm or entity
other than the 'rown, and accepted by the county
as part of its collection system.
2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection 0(1)
above shall be and remain the sole property of the County.
3. Operation and Maintenance. The County shall be
Holnly nwponsible for the operation and maintenant;e of any
sewerage collection pipelines, force mains and/or related
facilities as identified in subsection D(l) above.
4. Rates, Fees and Other Charges. The County shall
establish and set all rates, fees and other charges for sewer
connections and services provided from any sewerage collection
pipeline, force mains and/or related facilities as identified in
subsection D(l) above.
5. Billing and Collections. The County shall be
responsible for billing all sewer service customers served by
I sewerage collection pipelines, force mains and/or related
facilities as identified in subsection 0(1) above. All costs
related to billing and collection shall be paid by County.
6. Administrative Expel1ne~i . The County fJ Ita 11 be
responsible for all administrative, legal and other costs
associated with any sewerage collection pipelines, force mains
ond/or related facilities as identified in subsection 0(1) above.
E. ~nsions Resulting from .lo.tnt Coot~eration of 'I'own and,
County/Other Expansions Not Ident~
1- Applicability. The provisions of this subsection
shnll apply to sewerage collection pipelines, force mains and/or
related facilities constructed or caused to be constructed as a
result of a joint effort of the COl1nty ilnd 'l'own or planned or
caused to be constructed pursuant to Barno other plan not identified
herein.
2. Prov is ions Subject to Mutual Agreement. with
respect to any sewerage collection pipelines, force mains and/or
related facilities as identified in subsection E(l) above, it is
agreed that County and Town shall collaborate and, prior to
I construction of the same, agree 1'\S to provisions with respect
thereto rogarding the following:
(a) Ownership thereof,
(b) Metering of effluent transmitted therefrom,
(C) Operation and maintenance thereof,
(d) Responsibility for establishment of rates, fees
and other charges applicable thereto,
(e) Responsibility for billings and collections
related thereto, fllld
( f ) Responsibility for administrative expenses
regarding the same.
34
SECTION XII
Expansion of Regional System
A. Section AQolic~litv
The provisions of this Section shall apply in the event
one or more of the following circumstances should arise:
l. The Town determines that it desires additional
wastewater treatment plant capacity such that an expansion must be I
milfll' III I. hl1 H,'(/iollil.l. 'l'reatment Fac.i 1 i I.y \"0 llbta i 1\ sllch ;\lld.i.tinl\a!
capacity.
2. The County determines Lhat it desires ilddi tional
Wiwl:'!Will:nr' treilt:ment: plant capacity HllCh thilt an expam:.i.ol\ must be
made to the Regional Treatment Facility to obtain such additional
capacity.
3. A determination is made that wastewater flow from
the 'rown into the Regional Interceptor Pipeline has increased or
is anticipated to increase to such extent that the Regional
Interceptor Pipeline must be upgraded, expanded, and/or enlarged
to 1Il(.:el: f'.he f] ow r.equirements of the "'own.
4 . The County determines that it desires to upgrade,
expand, and/or enlarge one of the main interceptor pipelines
constructed as part of the Project.
S . The County determines that it desires to provide
wastewater treatment services to other local governmental entities
not involved with the Project.
n. NegaUvELlmoacts
With respect to the implementatiun of any expal\sion to I
l:he Regional System as described in thin Section, a negative impact
shall be deemed to result from the same, if .it is reasonably
expected to cause:
l. Additional debt service costs to be incurred by the
local governmental entity or entities not participating therein;
or
2. A reduction or diminution in services to any or all
the local governmental entities involved in the project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental entity or entities not
participating therein.
C. Procedure
In the event the County and/or the Town desire to
implement an expansion as described in this Section, then the
following procedures shall be utilized:
1- The County and/or the Town shall cause appropriate
investigations, studies, and/or evaluations to be conducted to
dnt.eJ:JlI.i.I1'! wllllt-her or not negative .i.IIII'oICI: ;; will rnsult f 1:0111 the
desired expansion. I
2. In the event a detennil\iltion is made that negative
i.m[lflct:n wlll n~sull: from the expanF:.inll, tlll~ Count.y llnd/nr: tho ']'own
will fonnulclte actions to be puL into effect with the
implementation of the expansion which will remedy the effect of
such negative impacts.
3. The County and/or the Town I,hall pt'clHmt any
proposal relative to the implementation of an expansion to the
Regional Board. Such proposal shall include such documentation as
will r.eilBonab.l y support its concltw.i.onn and opinions n~li1l:ive to
negative impacts.
------- ~ -- ----
4. The County and/or the Town shall cooperate with the 35
Regional Board as said Board carries out its functions as set forth
in Section XIV of this Agreement.
5. Upon approval of the proposed expansion by the
Hegional Board, the party or parties involved shall be i:llll:horized
\".0 .impl.ement Lhe proposed expansion.
D. Add.i,tional Proced.llt::"f'l AuthoI'j.]~d fo,:" B0nefi~Q.f Count'!:
I In ",he event that the Regioni.] Board does no1: appJ-ove an
expansion desired by the County, and/or fails to carry out its
duties with respect to making its decision regarding such expansion
in a timely manner, then it is understood that the County may
pr.oceed to implement an expansion if the expansion is reasonably
expected to cause no negative impacts on the local governmental
(om tit Y or entities not involved in the exprlllsion; or, those
negative impacts r.easonably expected to renult from the expansion
hi:tve been or will be, upon implementation of the expansion, remedied
by the County. Such expansion as is her:ein authorized may be
jointly implemented by the County and another of the local
gover:nmental entities involved in the Project. It is agreed that
any wastewater treatment plant capacity and/or any interceptor line
capacity resulting pursuant to such expansion shall be allocated
to th(~ County and, if applicable, the other local governmental
entity involved with said expansion.
I'; . l\.cl~1 i tJ.Qni!L~dure ~.IH,,, i ::(~! (or [lgu.aJJ....!:... of, 'I'PY~!l
In the event that the Regional Board does not approve an
cxpanfJ.i.on desired by the Town, and/or fi\iln to carry out its duties
I wi Lh nWJ!p.ct "0 milking its decision I I~qanli ng nllch oXJlilnr:.i nn in a
timely IIlilnner, then it is understood that the 'l'own may proceed to
implement an expansion if the expanBioll is reasonably expected to
cause no negative impacts on the local governmental entity or
entltiflfJ not involved in the expansion; or, thone negative impacts
reasonably expected to result from the expansion have been or will
be, upon implementation of the expel n f.J .ion, remedied by the Town.
Such expansion as .is herein author.i;;ml may be jointly .implemented
by the Town and another of the local governmental entities involved
.in the Project.
PROVIDED, HOWEVER, that should the Town determine to
proceed as provided hereunder, that it shall do so under the
following terms and conditions:
1. The Town shall emp]oy consulting engineers,
c'1CCnpl:ilhl fl to and approved by COUllt' Y , (',0 dp.f3ign the desired
expansion. Upon completion, the plans Hnd specifications for the
f'lxptlns.i on aha 11 br! presented to the COllnty for rr!view and Approval.
The County shall approve such plans and specifications unless good
cause exists to disapprove the same. The County agrees to not
I unreasonably withhold approval of such plans and specifications.
2. The County, as operator: of the Regional System,
shall collaborate and cooperate with the Town in order to obtain
the necessary permits from the applicable federal, state and/or
.locell governments and/or agencicH fiO as to pr.oceed with
construction of the expansion.
3. The County, as operator of the Regional System, and
the Town shall make provision for the joint submission of the
expansion project for bids. The c:ontract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the Town.
36 4. During construction it is agreed that the County
shall be authorized to inspect and observe the construction process
:;0 iln I-.() tnl.wl f1 tl1(: acceptable comp.!!'1 i.oll of the expallH.i.llll.
5. All costs associated with the expansion shall be
pi-li.d by t.he 'I'own. l\dministrative COHI:s incun~ed by the County
/;hal.1. be paid hy the Town to the COI1Il!"Y I1pon billing by l:h0. County.
Costs of design, construction observation and other engineering
services shall be paid directly by t.he Town to the engineer. In I
the event it is necessary for the County to enter into contracts
10/. th(~ conotl."l1ction of the expansioll ([or Lhe bellefit of !"he 'I'own)
costs incurred pursuant to such contracts shall be paid by the Town
over the course of the construction period within ten ( 10) days
ilfl.nr slIbmisni.on of periodic pay ell I: .i.mfll:es [as isr:ued by the
contractor(s) and/or engineer).
6. It is agreed that any wastewater treatment plant
capacity and/or any interceptor line capacity resulting pursuant
to the above described procedure shall be allocated to and owned
by the Town.
7. As set forth in this proviso, the term Town shall
.i.nr.lllde, if applicable, the ot IHH' loci'll. governmental entity
illvolved with oaid expansion.
SECTION XIII
Sale of Capacity Allocations in Regional System
A. Section Aoo1icaQi1itv
The provisions of this Section shall apply ill the event
one or more of the following circumstances should arise:
1. The Town determines that: it desires to sell all or I
a portion of its capacity allocation in the Regional System to one
or more of the other local governmental entities involved with the
Project.
2. The Town determines that it desires to purchase all
or a port ton of the capacity allocation in the Regional System held
by one or more of the other local governmental entitles involved
with the Project.
3. The County determines that it desires t.o sell all
or a portion of its capacity allocation in the Regional System to
one or more of the other local governmental entities involved with
til,! I',.ojnl:t.
4. The County determines that it desires to purchase
all or a portion of the capacity allocation in the Regional System
hnld hy nne or more of the othnr I(lCAl gov(~rnmentil.l entities
involved with the Project.
B. ~tive Imoact
With respect to the purcllilse and/or sale of dlpaci ty
(I I .I Oei! L ion9 ill tho Regional System (I!; dosc I.' ibed in thi.n Section,
a negative impact shall be deemed to result from a purchase and/or I
sale if such purchase and/or sale is rensonably expected to cause:
1. Additional debt service costs to be incurred by the
local governmental entity or entities not parties to the purchase
and/or sale; or
2. A reduction or diminution in services to any or all
the local governmental entities involved in the project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental Ant- i I-y or ent: i.ties not parties
to the purchase and/or sale.
37
c. Proce.dY.r~
In the event the County find/or: the Town desire to
purchase and/or sell capacity allocations in the Regional System
as described in this Section, then the following procedures shall
bo utilized:
1. The County and/or the Town shall cause appropriate
I investigations, studies and/or evaluations to be conducted to
determine whether or not negative impacts will result from the
purchase and/or sale.
2. In the event a determination is made that negative
impacts will result from the purchase and/or sale, the County
ancl/oJ:' thl) Town will formulate actions to be put inl:o effect
together with the purchase and/or sale which will remedy the effect
of such negative impacts.
3. The County and/or the Town shall present any
proposal relative to the purchase and/or sale of capacity
allocations in the Regional System to the Regional Board. Such
1'1'''1'01;111 nh,,11 i nl:ludo such dOCllllll~lIt oIt:.i "n 1:1 r: wj LJ "l'ilnonilbly
support .its conclusions and opinions relati.ve to negative .impacts.
4. The County and/or tho 'l'own shall coopenlte with the
Heflion.ll floard as said Board carriol; 0111 its functions nn Bet forth
in ~ection XIV of this Agreement.
S. Upon approval of the proposed purchase And/or sale
by the Regional Board, the parties involved shall be authorized to
complete r;aid purchase and/or sale.
I D. Additiona.urocedu~uthori?_ed for Beqjlfit of Countv
In the event that the RegionAl Board does not approve a
proponsl made by the County to pu n:hasn and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it is understood that the
County may proceed to consummate the proposed purchase and/or sale
if the purchase and/or sale is reasonably expected to cause no
negative impacts on the local governmental entity or entities not
involved in the purchase and/or snIp. or, thosp. negat.ive impacts
reasonably expected to result from till': pUI:chase and/or sale have
been or will he, upon consummation of the purchase and/or sale,
remedied by the County.
E. Additional Proc~c:ll.1t'e Authori~_f:}~ fo~ Benefit of Town
In the event that the Regional Board does not approve a
proposal made by the Town to puu;hase and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it i.s understood that the Town
I may proceed to consummate the proposed purchase and/or sale if the
P'Il'C Iw 13 C ilnd/ ()J: sa 1 e is reasonably expHctod to caur;e 110 negiltive
impacts on the local governmental entity or enti.ties not involved
.i.n Lhe pUI:cha:;e and/or sale or, those negative .impacts J:eaoonably
expected to result from the purchase and/or sale have been or will
be, upon consummation of the purchase and/or sale, remedied by the
Town.
PROVIDED HOWEVER, that should the Town consummate a sale
of all or a portion of its capacity allocation in the Regional
38 ~.:ynLr'!Hl to anol:her. local govermncn L;t I elll ity invol v(.d .i n the
Project, the 'rOWIl shall be and I:AII1i:t in liable to the County
hr:reunder for. the Town's portion uf I he cost!': of tho I~eg iOlla 1
System.
AND FUR'l'HER PROVIDED, that Bhould a purchase and/or sale
as provided hereunder cause any modi.fication t.o be made to the
Regional System, then, such modification shall be completed upon
l.hp rllllowi.ng lerll1n and conditi.ons:
1- The Town shall oll1ploy consulting engineers I
acceptable to and approved by County, 1:0 design the desired
modificati.on. Upon completion, the plollls and npecificntions for
the modification shall be presented to the County for review and
approval. The County shall approve such plans and specifications
unless good cause exists to disapprove the same. The County agrees
to not unreasonably withhold approval of such plans and
specifications.
2. The County, as ope\.HLII'. of the Reg.Lollctl Syst.em,
nhnll collaborRte and cooperate with thn Town in order to obtain
the necessary permits from the applicable federal, st:ate and/or
local governments and/or agencies so as to proceed with
construction of the modification.
3. The County, as operator of the Regional System, and
the Town shall make provision for the joint submission of the
modification pr.oject for bids. 'I'hl'! contract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the Town.
4. During construction it is agreed that the County I
Rhnll be authorized to inspect and observe the construction process
so as to insure the acceptable completion of the modification.
,- ^ll costs associated with tho modific"tillll nhitll be
..) .
paid by the Town. Administrative costs incurred by the County
shall be paid by the Town to the County upon billing by the County.
Costs of design, construction observation and other engineering
services shall be paid directly by the Town to the engineer. In
the event it is necessary for the County to enter into contracts
['01: the constructi.on of the modificiil. i"n (for Lhe benofit of the
'rown ) costs incurred pursuant to such contracts shall be paid by
Lh'! '['own over the course of the con:::I:I,"'l.ion period with i n I:en (10)
dilyn ill'[-.nr. slIllIniBni.on of per.iodic PilY ,.!;tilllater: [an il:!:twd by the
contractor(s) and/or engineer).
SECTION XIV
Cape Fear Regional Wastewater Board
^. CrE:}l~!;ion
The County and the 'row n agr:ee to cooperate and
[Jar-lid.pate in the establishment oJ. the Cc.lpe Feill. !legional I
Wastewater Board (hereinafter sometimes referred to as the
"Regional Board II ) in accordance with the provisions of this
Section. It is acknowledged that the County has entered into
Agreements with the other local governmental entities involved with
the Project and that each such Agn'lement contains a Section
regarding the Regional Board which is in substance identical to
l.ILi!: ~nc: I ion. It .i!; understood that I he' 'rown and tho Collnl.y hel"t1by
agree that they shall abide by those pr.ovisions of this Agreement
concer.ning the Regional Board as the same apply to the other local
governmental entities In'nlved with the Project.
-,,--
39
B. Puroose of Reoiona1 Board
It .is the desire of the .local govel'nmenta 1. entities
involved with the project to create the Regional Board for the
following purposes:
1. To create a forum where the concerns and desires of
stich entities may be freely and openly discussed so as to insure
I that all entities will be made aware of the status of all aspects
of the Regional System and its operation.
2. To promote cooperation between such cnl.i.t.i.en.
3. To insure that all such entities will be provided
an opportunity to make suggestions and comments relative to the
status of the Regional System and its operation.
4. To review proposals to modify the existing status
of the Regional System and its operation.
5. To review proposals to expand the Regional System
and to promote agreement and cooperation between such entities with
respect thereto.
6. To carry out and implement its duties and
authorities set forth in this Agreement.
C. Membership'
Two members of the Regional Board shall be appointed by
each local governmental entity involved with the Project, one of
which shall be a member of the governing body of the entity
appointing such members. The members of the Regional Board shall
I serve at the pleasure of the Board appointing them.
D. Initial Appointment
The Regional Board shall be initially appointed prior to
January 17, 1990.
E. MeetinQs
Regular meetings of the Regional Board shall be held on
the fourth Tuesday of the first month in each calendar quarter of
the year at 7:00 o'clock p.m., and at such other times as requested
by any entity represented on said Board. The Board shall meet in
the Conference Room of the Northeast Metropolitan Water Plant
Facility located on West Duncan Street in Lillington, North
Carolina.
F. Voting
Each entity represented on the Regional Board shall be
entitled to one vote on each issue coming before the Board and that
vote may be cast by either member of the Regional Board
representing such entity. Both members representing an entity need
not be present for that entity's full vote to be cast.
I G. Qf.fj r;~n
At the first meeting of the Regional Board each calendar
year, the Regional Board shall elect from its membership a Chairman
and a Vice-Chairman. The fact that a Board member shall be elected
to either office shall have no effect upon the voting rights of
that member or of the entity such member represents.
H. QperatinQ Procedures
The proceedings of the Regional Board shall be conducted
.i II ilCGOJ:danc.: wiLh the most recelll: ..c1iti"n of Robert~rr__Rl! les of
Qrc;ter, except where the provisions of this Agreement provide
(Jtherwis(~ .
40
I. Q.~L\ i, <a..__ 0 f Rea.i.onal BOtll:d 1l1J.!:H' "!-li no ._..f!l.J,~ill;~~l.l ~:i~L!"!~___Qf
~nal Sv~tem r.1.IU".IJ.i..t:" Allocations and R.f:'l9.i.ona1 S"stem
Exoansions
1- Statement of Intent. It is the intent of the local
governmental entities involved with the Project to provide, through
the Regional Board, a forum for discussion, review and approval of I
any proposal to purchase and lor sell capacity allocations in the
It<HJ.i.onal Systnrn or to expand the Reqiunal System. III connection
therewith , the Board shall not unreasonably withhold approval of
such proposal, but rather shall be required to approve the same ,
unless good cause shall be shown not to do so. Additionally, the
Board shall use its best efforts to promote cooperation and
agreement between the several entities involved with the Project
with respect to such proposals.
2. Procedure. At such L.illlll .HI one 0': mo,:e or: the local
governmental entities involved with the Project present a proposal
to thl~ Board 1:0 implement an expansion .:IS provided in Sect..i.on XII
of this Agreement and/or a propol.:ii11 to purchase and/or sell
Regional System capacity allocations as provided in Section XI II
of this Agreement the Regional Board shall:
(a) Discuss and evaluate the proposal presented
Clnd explore the possibility of formulating an agreement between
all the local governmental entities involved with the Project to
achieve a mutually beneficial result for all such entities.
(b) Discuss and evaluate the conclusions and I
opinions of the proposing entity or entities with regard to
negative impa~ts of the proposal and, .i.f applicable, the plans of
such proposing entity or entities to remedy negative impacts.
(c) In the event of disagreement, offer conunents
and suggestions with regard to terms and conditions to be
implemented as part of the proposal which will remedy negative
impacts.
WiII;I_l!wnLnr: Synl.em Hllall be made ill WI i 11nll to (~ach membm- of the
Board at the regular meetings. Snch r.eports shall include
stntements of revenues and expendi tu n-~s, the operations status,
flow .i.nformal:ion and other pertinelll d..I.:1.
SECTION XV
General provisions
1\. Suc(.<.(;l..1UiSH'S to the Countv 9r .1 h.!L Town
In the event of any occurrence rendering the County
and/or the Town incapable of performing under this Agreement, any
SUC(;C~;ROr of the County and/or tho 'I'own, whether l:hc renult of
legal process, assignment, or otherwirJe, shall Sllcceed to the I
rights of the COllnty and/or Town hereunder.. The covenants and
agreements contained in this Agreement are binding on the parties
hereto and their successors, assigns and legal representatives.
B. Reaulatorv Aaencies
This Agreement is subject to Stich rules, regulations,
ntatutes and/or laws as may be "'ppl icable to such or similar
agreements in this state and the particu aq~ee to collaborate when
necessary to obtain such permits, certificiltions, or the like, as
/IIay be I:equired to comply therewith.
41
C. Modification
The provisions of this Agreement may be modified or
i.lltered by mutual agreement, EXCEPT with reqard to Section XIV when
any modification or alteration thereto shall be agreed upon by all
I governmental entities represented on said Regional Board.
PROVIDED, HOWEVER, that when applicable, prior to such modification
or alteration, approvals therefor will be obtained when necessary
from the appropriate Federal and/or State agencies. All
modifications or alterations shall be in writing, and presented to
all other entities prior to any entities' modifying their original
Agreements.
D. Modifications Resul.t.iPc from a Chance in Pro;ect
particioants
This Agreement has been entered into upon the assumption
that in addition to the County, the Town and the Buies Creek-Coats
Water and Sewer District of Harnett County, that the Town of
Lillington will participate in the Project. In the event the Town
of Lillington does not participate, it is agreed that provisions
herein referencing its participation and provisions herein
requiring modification as a result of i 1:0 nonpnrticipntion shall
be amended, modified or otherwise corrected.
E. Autll9..titv to DetAD1liDe Cerj;,~J{LJ~~.t.A.ll2
Whenever, in the course of performing the various terms
I of l:h1s Agreement, it becomes necessnry for the parti.es to make
determinations with respect to certain details not specifically
provided for herein, such as inspections, system testing or the
like, appropriate representatives of the parties may collaborate
and mutually agree upon such matters, without need fo.r the
amendment or modification hereof.
F. Assianments
Unless specifically provided in this Agreement, it is
agreed that neither the County nor the Town may assign, transfer
and/or convey their respective rights and/or obligations hereunder
without the express written consent of the other.
G. Local Government Comrn~ssion
Where applicable, with respect to this Agreement and the
Gorwtructi.on of the Project, the 'l'own and the County agree to
obtain the necessary approvals from the Local Government Commission
as are required thereby.
H. Ordinances
The Town covenants that prior to the commencement of the
transmission of wastewater into the Regional Interceptor Pipeline,
I it will i'ldopt an Ordinance regulating the use of its sewerage
collection systems. Said Ordinance shall, among other things,
limit and/or prohibit (where appropriate) the discharge of
wastewater into the said sewerage collection systems where such
wastewater would, singly or by interaction with other wastewater,
cause harm or damage to, or interfere with the proper operation of
the Regional System, and/or treatment process or cause adverse
effects upon the receiving vaters from the Regional Treatment
Facility.
--_....~-~
42
I. NoticeB
Any notice required to be given hereunder by the County
to the Town shall be made by the County in writing and mailed by
first class mail to the Town of Angier at the following address: I
Post Office Box 278
Angier, North Carolina 27501
Any notice required to be given hereunder by the Town to the
County shall be made by the Town in writing and mailed by First
Class mail to the County Manager, Harnett County, at the following
address:
Post Office Box 759
Lillington, N. C. 27546
J. ~uthorlli
The County and the Town represent and warrant, each to
the other, the existence of all capacity, authority, resolutions
and actions necessary to execute this Agreement.
K. ~icate AQreements
This Agreement is executed in duplicate originals, one
of which is retained by each party hereto.
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed on the day and year written.
Executed by Town of Angier this 18thday of December, 1989.
Town of Angier I
By h1'AL 111ad,
/ Jack Marley, ~yor
A~ l-
. 'l, 01t1111_luW
J n j, Ma~hews, Clerk
Executed by the County of Harnett, this 18th day of December,
1989.
COUNTY OF HARNETT
By~/J~~
Llo d . Stewart, Chairman
Harnett County Board of
Commissioners
;;:st:
~ --uJ. '-{/ =";(
Vanessa w. Young~cie
to the Board
I
43
DOCUMENT NO.2.
RBSOLlnI08 AlnIIORIII8G BDClnI08 01' AGRBBIIEIft
WID TIIB mn 01' LILLIIIGm8 RBGARDIIIG '-'lIB
CAPS FUR UGIOIIAL lIUTDADR S1'STBM
WHEREAS, the Harnett County Board of Commissioners,
(hereinafter sometimes referred to as the "Board") has heretofore
I caused a comprehensive wastewater study to be conducted for the
purpose of examining and analyzing the wastewater facilities needs
of Harnett County; and
WHEREAS, pursuant to the recommendations of said study, the
County of Harnett formulated a plan to construct a wastewater
facility system designated as the Cape Fear Regional Wastewater
System; and
WHEREAS, the County of Harnett has requested the Town of
Lillington to participate in the construction and use of said
System and the Town of Lillington has agreed so to do; and
WHEREAS, attached to this Resolution as Exhibit "A" is a copy
of an Agreement between the County of Harnett and the Town of
Lillington setting forth the various details of the agreements of
said parties with respect to the Cape Fear Regional Wastewater
System; and
WHEREAS, upon review and consideration of said Agreement, it
is the finding of the Board that the construction of said regional
wastewater system will be of great benefit to the current and
future health and well being of the citizens of Harnett County and
the Town of Lillington; and
WHEREAS, it is the desire of the Board that the County of
Harnett enter into said Agreement so to implement the Cape Fear
Regional Wastewater System.
NOW, THEREFORE, BE IT RESOLVED by the Harnett County Board of
Commissioners that:
1. The County of Harnett shall and is hereby
authorized to enter into the Agreement between
said County and the Town of Lillington, a copy
of which is attached hereto as Exhibit "A".
2. The appropriate officers of the County of
Harnett are hereby directed to execute the
III originals of .aid Agrasmant.
Duly adopted this -UUhday of December, 1989 upon motion made
by Commissioner --..Shalf , seconded by Commissioner Hudson ,
and adopted by the following vote:
Ayes 4 Noes 0 Abstained 0 Absent 1
Harnett County Board of Commissioners
~ ~I L-.
By: 11 /O~
loyd G. Stewart, Chairman
Attest:
'-L /
va~ ~ng~~:~
the Board
EXHIBIT "A"
NORTH CAROLINA
AGREEMENT
HARNETT COUNTY
THIS AGREEMENT is made and entered into this 18th day of
III December, 1989 by and between the COUNTY OF HARNETT, a body politic
organized and existing under the laws of the State of North
Carolina (hereinafter sometimes referred to as the "county.) and
the TOWN OF LILLINGTON, a municipal corporation organized and
existing under the laws of the State of North Carolina (hereinafter
sometimes referred to as the "Town");
" I T N E SSE T H :
THAT WHEREAS, the County has caused a Comprehensive Wastewater
Study to be conducted for the purpose of examining and analyzing
the wastewater facilities needs of Harnett County; and
44
WHEREAS, one of the results of that Study was the
identification of a need for a regional sewer collection and
treatment system to serve several local governmental entities
existing in the central portion of Harnett County; and
WHEREAS, in order to meet the demands of the existing and
future wastewater disposal needs as identified, the construction
of a wastewater facility system, designated as the Cape Fear
Regional Wastewater System, has been recommended; and I
WHEREAS, the plans for the Cape Fear Regional Wastewater
System include the replacement of the existing waste treatment
facilities serving the Town of Lillington, the Town of Angier and
the Buies Creek - Coats Water and Sewer District of Harnett County,
the construction of a new regional wastewater treatment facility
and the construction of main interceptor pipelines to connect the
above named local governmental entities to the new treatment
facility; and
WHEREAS, in anticipation of the need for construction of
wastewater facilities in Harnett County, the Board of commissioners
of Harnett County requested Federal and State assistance in funding
the construction of the Cape Fear Regional Wastewater System; and
WHEREAS, pursuant to the North Carolina Clean Water Revolving
Loan and Grant Act of 1987 and the provisions of the Federal Water
Quality Act of 1987, the State of North Carolina, through its
Division of Environmental Management, Department of Environment,
Health and Natural Resources, advised the County that monies for
a loan to fund the costs of the Cape Fear Regional Wastewater
System have been reserved for Harnett County; and I
WHEREAS, the County determined that it desired to proceed with
the implementation, construction and eventual operation of the Cape
Fear Regional Wastewater System, and in connection therewith
requested the Town of Lillington to enter into an agreement with
the County regarding the participation of the Town in said System;
and
WHEREAS, the Board of Commissioners of the Town of Lillington
has determined that the Cape Fear Regional Wastewater System will
be of great benefit to the health and well being of the citizens
of the Town of Lillington, and
WHEREAS, the Town has therefore determined that it desires to
participate in the Cape Fear Regional Wastewater System; and
WHEREAS, pursuant to the provisions of Chapter 160A, Article
20, Part 1 of the North Carolina General Statutes entitled
"Interlocal Cooperation, Joint Exercise of Powers," the County and
the Town desire to enter into this Agreement with respect to the
Cape Fear Regional Wastewater System setting forth the terms and
conditions of their mutual agreements regarding the same.
NOW, THEREFORE, in consideration of the mutual
representations, warranties, covenants and agreements herein I
contained, and for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the County and the
Town agree as follows:
SBCTIOR I
DefiDi~ion.
The following definitions, designations and/or explanation of
terms shall be used for the purposes of this Agreement:
A. "Project" shall refer to the Cape Fear Regional
Wastewater System construction project.
B. "Regional Treatment Facility" shall refer to the 45
wastewater treatment and disposal facility to be constructed as
part of the Project, and thereafter owned, operated, managed and
maintained by the County, except as hereinafter set forth.
C. "Regional Interceptor Pipeline" shall refer to the
wastewater interceptor pipeline to be constructed and installed as
part of the Project which shall connect the existing system of the
I Town to the wastewater interceptor pipeline (also to be constructed
and installed as part of the Project) which shall run parallel to
the Cape Fear River to the Regional Treatment Facility.
D. "Regional System" shall refer to the entire wastewater
collection, treatment and disposal system constructed and installed
pursuant to the Project, and shall include all lands required for
the installation of the same, together with continuous and adequate
easements and rights of way over other lands necessary to erect,
construct, install and lay and thereafter use, operate, inspect,
repair, replace, remove, change the size of such facilities as
named, and in addition shall include the Regional Treatment
Facility, the Regional Interceptor Pipeline and the Town Effluent
Meter.
E. "Town Effluent Meter" shall refer to that meter facility
and related appurtenances constructed or otherwise provided for as
part of the Project to which wastewater from the Town shall be
transmitted by the Town and which shall measure the quantity of
wastewater being delivered by the Town into the Regional
Interceptor Pipeline.
I F. Any terminology referring to the existing collection
system of Town shall mean that network of sewer collection
pipelines, mains and/or related facilities composing the Town's
sewer collection system as shall exist on the date the County
commences accepting wastewater from the Town into the Regional
System.
G. Any terminology referring to the existing treatment
facilities of Town shall mean those facilities, facility sites,
lagoons, lagoon sites, basins, basin sites, land application
systems, land application system sites, and all appurtenances
related thereto comprising the Town's sewer treatment and disposal
facilities as shall exist on the date the County commences
accepting wastewater from the Town into the Regional System.
H. "Funding Agency" shall refer to the Division of
Environmental Management, Department of Environment, Health and
Natural Resources of the State of North Carolina, or any successor
agency thereto.
I. "County Department of Public Utilities" shall refer to
the Harnett County governmental department existing as of the date
I of this Agreement which administers, operates, and otherwise
manages the public water and sewer systems owned and/or operated
by the County, and shall include any other successor department or
subdivision of the County which shall perform such functions.
J. Any terminology referring to the local governmental
entities involved with the Project shall refer to the Town, the
County, the Town of Angier and the Buies Creek-Coats Water and
Sewer District of Harnett County. A reference to the other local
governmental entities involved with the Project shall mean the
remainder of the above named local governmental entities not
specifically the subject of the particular provision within which
the reference is made.
_.~
46
K. "Regional Board" shall refer to the Cape Fear Regional
Wastewater Board as established in Section XIV of this Agreement.
SECnOR II
Term
This Agreement shall be a continuing contract relative to the
furnishing of essential wastewater treatment and disposal services I
for the citizens of the Town, and shall exist and continue until
the County and the Town shall mutually modify or terminate the
same, BUT IN NO EVENT shall the same terminate until the loan
(including principal and interest) described in Section III has
been paid in full.
SECTIOR III
Funding Agency and Funds for Construction
A. Fundina Source
The funds for construction of the Project are anticipated to
be supplied in the form of a loan made to the County pursuant to
the North Carolina Clean Water Revolving Loan and Grant Act of 1987
and the provisions of the Federal Water Quality Act of 1987 as
administered by the Division of Environmental Management,
Department of Environment, Heal th and Natural Resources of the
State of North Carolina. The terms of this Agreement are
conditioned upon the receipt of said loan and approvals required
therefor, and in the event said loan is not obtained by the County,
or the Regional System is otherwise not constructed, then the I
County shall have no obligations hereunder to the Town, and the
Town shall have no obligations hereunder to the County.
B. Aareement SUQ.;ect to Requirements of Fundin9 Agency
The County and Town agree to comply with all the conditions
and requirements imposed by the Funding Agency, which shall
include, but not be limited to, the Revolving Loan conditions, the
establishment of pretreatment requirements, and the adoption of
appropriate sewer use ordinances and user charge systems.
C. ~ to ~ct iP Timely Manne~
When, in the course of providing the various ordinances,
information and/or other documents to the Funding Agency, the
County must obtain such items from the Town prior to submission to
the Funding Agency, the Town agrees to prepare, adopt and/or
otherwise provide the same to the County in a timely manner.
D. Loan ~nt Sources
All funds paid by the County and the Town as principal and
interest on the aforementioned loan shall be derived only from
those sources specified by the Funding Agency.
SECTIOR IV I
Construction and OWnership of Regional System
A. County Lead Aaency
The County shall be responsible for administering and
managing the construction and installation of the Regional System
and in connection therewith shall:
1. Cause the appropriate pre-construction studies to be
completed as are required by the Funding Agency and any other State
or Federal agencies.
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47
2. Cause such funding and permit applications as may be
required to be completed and filed with the appropriate
Federal and State agencies.
3. Cause plans and specifications for the Regional
System to be completed in accordance with acceptable engineering
I practices and procedures, and in compliance with applicable rules,
regulations and requirements of the Funding Agency and such other
State and Federal agencies as may be applicable.
4. Obtain and acquire in its name continuous and
adequate easements and rights of way on private lands necessary to
erect, construct, install and lay, and thereafter use, operate,
inspect, repair, maintain, replace, remove, change the size of or
protect the Regional System.
5. Obtain and acquire in its name permits, franchises,
and authorizations or other instruments by whatsoever name
designated, from public utilities and public bodies, commissions
or agencies such as are necessary to erect, construct, install and
lay, and thereafter use, operate, inspect, repair, maintain,
replace, remove, change the size of or protect the Regional System
upon, along or across streets, roads, highways and public
utilities.
6. Obtain and acquire in its name such parcels of real
property as are necessary for the construction of the Regional
Treatment Facility, pump stations, and any other building or
structure required for the completion of the Regional System.
I 7. Cause the contract or contracts for construction and
installation of the Regional System to be advertised in accordance
with applicable law, and to thereafter award and enter into such
contract or contracts for said construction and installation as the
County deems in the best interest of the Regional System. The
determination as to which bidder or bidders shall be awarded
contracts shall be made by the County.
8. Cause the installation and construction of the
Regional System to be supervised by qualified and competent
engineers.
9. Provide for the administration of the construction
and installation of the Regional System and to provide for
inspection of the same.
10. Provide for the administration of the funds obtained
for the implementation, construction and installation of the
Regional System.
II. Otherwise, manage the implementation, construction
and installation of the Regional System.
I B. Ownershio of Reqional System
The Regional System shall be and remain the property of
the County, and the Town shall have only that right, title or
interest as expressly provided in this Agreement. It is understood
that except as to the rights of the Town expressly provided in this
Agreement, as owners of the Regional System, the County may
operate, maintain, manage, regulate and control the same, subject
to the terms of this Agreement, and otherwise exercise with respect
thereto any rights, authorities or privileges it may be granted by
statute.
48 C. Joint coooerati~
During the course of the implementation, design and
construction of the Regional System, the Town and the County agree
to collaborate and cooperate with respect to the gathering of the
documentation, data and/or other information necessary to properly
design and construct the Regional System. Additionally, when
requested by the County and/or the contractor(s) the Town agrees
to cooperate with the said County and/or the contractor(s) with
I
respect to the testing of the Regional System, and preparation for
connection of the same to the existing collection system of the
Town.
D. Convevance ot Easements
The Town agrees to convey to the County, without charge,
easements and rights of way over, upon and across properties owned
by the Town when such easements and rights of way are necessary to
install and construct the Regional Interceptor Pipeline, and/or
otherwise necessary to connect the Regional Interceptor Pipeline
to the Town Effluent Meter.
SBCTIO. V
Capacity Allocations in Regional Systea
A. Manner of ExpresstQn
The allocations of capacity in the Regional System shall
be expressed in terms of treatment capacity in the Regional
Treatment Facility.
B. Town Allocation. The Town shall have allocated and
reserved for treatment of its wastewater thirty (30\) percent of
the treatment capacity of the Regional Treatment Facility. It is I
understood that the capacity of the Regional Treatment Facility is
to be two million (2,000,000) gallons per day, and that therefore,
the allocation and reservation herein made to the Town equals six
hundred thousand (600,000) gallons per day.
C. Remainina Wocatl2wl. The remaining seventy (70\)
percent of the treatment capacity of the Regional Treatment
Facility shall be allocated to the other local governmental
entities involved with the Project or retained by the County for
its use.
SBCTIO. VI
payaent for Capacity Allocations in Regional Systea
A. ~ Determination
The amount of the loan awarded for the construction and
installation of the Regional System shall be determined pursuant
to the directives of the Funding Agency. As soon as practicable
after final determination of the loan amount and related debt
instrument details, the County shall provide such information to
the Town. I
B. ~n Pa~ent Portion pavable by Town
The Town shall pay that portion of each and every payment
due on the loan obtained through the Funding Agency as hereinafter
provided:
1- The portion of each payment made by the Town shall
equal twenty-five percent (25\) of the total amount of the
principal and/or interest due for such payment.
2. The portion of the payment to be made by Town shall
be paid to the County at least fifteen (15) days prior to the due
date of the same.
-.--
3. It is understood that according to the Funding 49
Agency, principal payments will be made annually on or before May
1 of each year, and that all interest payments will be made
semiannually on or before May 1 and November 1 of each year. The
portion of the payments to be made by Town as herein provided shall
apply to both the principal and interest and the interest only
payments due on the loan.
I C. Remainder of Loan Pavme~
The remaining portion of the loan payment for the
Regional System, that is, that portion not paid by Town, shall be
obtained by the County from the other governmental entities
participating in the Project, and/or supplied by the County.
D. ITansmiss~n of Loa~PavmeUi
The County shall be responsible for transmitting the loan
payments to the Funding Agency or other appropriate agency as
directed by the Funding Agency. County shall make said payments
on a timely basis and any penalty or late charges shall not be paid
by Town, provided Town has made its payment by the time required
in Section VI (B) (2) .
E. Costs in Excess of L2An
It is the understanding of the County and the Town that
the current estimated Project cost is $7,500,000. The County and
the Town agree that should the Project exceed one percent (1%) of
the estimated Project cost, including closing costs and other costs
associated therewith, then the Town shall have the option of either
retaining its level of capacity allocations in the Regional System
herein agreed upon, and thereby incur its share of the additional
I costs for the same, or reduce its level of capacity allocation in
the Regional System herein agreed upon and thereby not incur the
additional costs. In the event that during the pre-construction
phases of the Project it becomes apparent that the estimated
Project Cost, together with closing costs and other costs
associated therewith, shall exceed $7,500,000 by more than one
percent (1\) of such amount, then the County shall notify all
entities involved with the Project so that they may collaborate
and cooperate as to cost overruns. The Town shall determine which
option it desires, and shall advise the County as to such
determination within twenty (20) calendar days after notification
to the Town of the apparent cost overrun.
Unless otherwise agreed, if the Town shall elect to retain its
level of capacity allocation as described above, or if the Project
exceeds $7,500,000 by less than one percent (1%) thereof, then the
Town shall pay such portion of the applicable excess as equals
twenty-five percent (25%) thereof.
SBCTIOII VII
.a.~.wa~.r Tr.a~m.n~ and M.~.ring
I A. ~ntv to ~eat Town Wastewater
County agrees to treat at the Regional Treatment Facility
during the term of this Agreement or any renewal or extension
thereof, quantities of wastewater which flow through the Town
Effluent Meter up to and including the maximum amount of Six
hundred thousand (600,000) gallons per day, which said maximum
amount equals the allocation made and reserved for the Town herein.
The wastewater shall be treated pursuant to those standards
specified by the applicable Federal and State agencies, including,
but not limited to, the standards of the Division of Environmental
Health of the North Carolina Department of Environment, Health and
Natural Resources.
50 B. Town Effluent Meter
County agrees to furnish and install as part of the
Project and thereafter operate and maintain at such point as is
agreed upon by the engineers for the Regional System and the
engineers employed by the Town the necessary metering equipment,
including a meter house or pit, and the required devices of
standard type for properly measuring the quantity of wastewater
transmitted into the Regional Interceptor Pipeline for treatment I
and to calibrate such metering equipment whenever requested by
Town, but not more frequently than once every twelve (12) months.
However, the Town may obtain independent verification of the
calibration of the metering equipment. In this event, should the
test result be deemed to be accurate, (as hereinbelow stated), then
the Town shall pay the costs of obtaining such test. If the test
result is not deemed to be accurate, (as hereinbelow stated), then
the County shall pay the costs of obtaining the test. A meter
registering not more than two (2%) percent above or below the test
result shall be deemed to be accurate. The previous readings of
any meter disclosed by test to be inaccurate shall be corrected for
the three (3) months previous to such test in accordance with the
percentage of inaccuracy found by such tests. If the meter fails
to register for any period, the amount of wastewater treated during
such period shall be deemed to be that amount of wastewater which
equals the average monthly reading for the three (3 ) months
previous to such failure, unless County and Town shall agree upon
a different amount. Appropriate officials of Town shall have
access to the meter at all reasonable times in order to verify I
readings.
C. Meter Read.i...wm
The Town Effluent Meter shall be read by the County on
the first day of each month.
SEC!'ION VIII
Operation and Maintenance
of Regional System
A. HAnAgeme~ Re~l Svstem
Except as otherwise set forth in this Agreement, the
Regional System shall be managed, operated, and maintained by the
County through its Department of Public Utilities, as a County
operated public enterprise, and in connection therewith the County
shall :
1. Formulate and thereafter maintain proper accounting
procedures with respect to the Regional System in accordance with
the North Carolina Local Government Budget and Fiscal Control Act
as set forth in Article 3, Chapter 159 of the North Carolina
General Statutes. I
2. Operate and maintain the Regional System on an annual
budget, which budget shall be formulated and maintained in
accordance with the North Carolina Local Government Budget and
Fiscal Control Act as set forth in Article 3, Chapter 159 of the
North Carolina General Statutes.
3. Contract with a certified public accountant for
annual audits of the Department of Public Utilities and the
Regional System accounting procedures and records.
4. Obtain, and thereafter maintain, insurance and bonds
as required by State law.
,~.'~-~ '. -~,-=-,- ,-_._~- _._~--
and Local laws and 51
s. Comply with all Federal, State,
regulations relative to the management, operations and maintenance
of the Regional System.
6. Invoke moratoriums in accordance with Section VIII
(G) hereof to prevent the addition of wastewater customers to the
Regional System and/or the increase in wastewater f low into the
I Regional System so as to protect the allocation in the Regional
System reserved for the Town herein.
7. Invoke surcharges in accordance with Section VIII (F)
hereof upon the local governmental entities involved with the
Project, in the event such entities exceed their maximum flow input
amounts (reserved allocations) into the Regional System.
8. Report to the Town on a monthly basis, or upon
request, with respect to wastewater flow from all the entities
involved with the project and other matters as are appropriate.
9. Otherwise, provide for the orderly and efficient
management, operation, and maintenance of the Regional System.
B. Ooerations and Maintenance Expense Provided bv Town
1. The Town shall , on a monthly basis, provide that
portion of the costs incurred for Operations and Maintenance of the
Regional System as is described herein. Said monthly cost shall
be based upon a Bulk Municipal Sewer Rate as hereinafter
formulated.
2. The portion of the costs incurred for Operations and
Maintenance of the Regional System to be provided by Town shall be
that amount of money which equals the product of the Bulk Municipal
I Sewer Rate multiplied by the number of gallons of wastewater
transmitted into the Regional Interceptor Pipeline as measured
through the Town Effluent Meter.
3. The Bulk Municipal Sewer Rate (hereafter "Bulk
Rate" ) shall be the Operations and Maintenance expense of the
Regional System expressed in cost per one thousand (1000) gallons
of wastewater treated. The Bulk Rate shall be determined on an
annual cycle, and shall be based upon demonstrable expenditures for
the operations and maintenance of the Regional System as indicated
on the accounting records for the Regional System, together with
anticipated increases or decreases in the same. The Bulk Rate
shall be determined as follows:
(a) The total amount of Operations and Maintenance
costs incurred by the County during a fiscal year shall be
calculated.
(b) Such total amount of Operations and Maintenance
costs shall then be divided by the number of gallons of wastewater
treated at the Regional Treatment facility during the corresponding
fiscal year. The per gallon cost thereupon derived shall be
I multiplied by one thousand (1000) to determine actual cost per one
thousand (1000) gallons.
(C) The actual cost per one thousand (1000) gallons
shall thereupon be adjusted to reflect projected and anticipated
increases or decreases in the Operations and Maintenance expenses
reasonably expected to be incurred by the County in the forthcoming
rate period.
(d) The actual cost per one thousand (1000) gallons
adjusted as provided in (c) above shall be the Bulk Rate for the
next fiscal year.
4. Prior to the adoption of a bulk rate, the County
shall seek the advice and recommendations of the Regional Board
with respect thereto, and shall provide documentation to the
52 regional Board to support its conclusions and opinions regarding
the same.
5. On or before April 1 of each year, the County shall
advise the Town of an estimate of the bulk rate it intends to adopt
and shall adopt such rate on or before May 1 of each year.
6. The Town shall be furnished by the County, not later
than the tenth (10th) day of each month, an itemized statement or
bill (including the amount of wastewater treated, the rate and the I
amount due) for the amount of wastewater transmitted into the
Regional Interception Pipeline through the Town Effluent Meter
during the preceding month, as established by the meter readings
made on the first day of each month.
7. The Town shall pay to the County the amount billed
to them by the County on or before the twentieth (20th) day of the
month in which the bill is rendered.
C. procedures Prior to ImD1e~tation of Annual Cvc1e
1. The Bulk Municipal Sewer Rate, prior to the
implementation of the Annual Cyclical Procedures outlined in
Section B above, shall be determined as follows:
(a) During the period beginning on the date the
County commences accepting wastewater from the Town into the
Regional System and continuing through the end of the fiscal year
following the fiscal year during which wastewater is first
accepted, the Bulk Municipal Sewer Rate shall be based upon
estimated Operations and Maintenance expenses of the Regional
System as determined by the County and the Project engineers.
(b) During the first year in which the Annual
Cyclical Procedures are implemented, the Bulk Municipal Sewer Rate I
shall be based upon demonstrable expenditures for the operations
and maintenance of the Regional System as indicated on the
accounting records for the Regional System made during the first
fiscal year of its operation (that period beginning on the date the
County commences accepting wastewater from the Town into the
Regional System and continuing through the end of the same fiscal
year) , together with projected and anticipated increases or
decreases in the operations and maintenance expenses reasonably
expected to be incurred by the County in the forthcoming rate
period.
2. The first billing to the Town shall be made not
later than the tenth (10th) day of the month following the month
during which the County commences accepting wastewater from the
Town.
3. All other procedures provided in Section B above
shall be utilized in the calculating of the monthly bill to be
rendered to and paid by Town.
D. .SvAtem Failure
The County will, at all times, operate and maintain the I
Regional System in an efficient manner and will take such action
as may be necessary to furnish sewer services to the Town.
Temporary or partial system failures shall be remedied with all
possible dispatch. Any reduction in services to the Town shall be
reduced or diminished in the same ratio or proportion as the same
is reduced or diminished with respect to the other local
governmental entities involved in the Project. Emergency failures
caused by main pipeline breaks, power failure, flood, fire,
earthquake, or other catastrophe shall excuse the County from the
obligation to provide sewer services to the Town for such
reasonable period of time as may be necessary to restore service.
- CO.. .--'c-.~ ,
53
E. Indemnificatio~ TowU
The County shall and hereby does indemnify and hold
harmless the Town from and against all costs, loss, expenses,
(including attorney's fees), claims,suits and judgments whatsoever
in connection with any and all liability arising out of any error
or omission made or caused by the County and/or its officers,
I agents and employees in connection with any of the Regional System
operated by the County.
F. Surcharan
1. Invoking Surcharges. The County shall invoke
surcharges upon the local governmental entities involved with the
Project when such entities:
(a) Discharge into the Regional System a quantity
of wastewater which exceeds such entities maximum flow input
amounts (reserved allocations), hereinafter referred to as "excess
use surcharges" or
(b) Discharge into the Regional System wastewater
which violates the regulations of the applicable federal, state,
and/or local governments and/or agencies, hereinafter referred to
as "violation caused surcharges."
2. Excess Use Surcharges. The procedures for
processing excess use surcharges shall be as follows:
(a) Such surcharges shall be imposed and calculated
based on each monthly meter reading period.
(b) The surcharges shall be invoked effective the
I monthly meter reading period during which the excess use first
occurs and shall continue until such use is ended.
(c) The amount of the surcharge shall be calculated
based upon the surcharge as set by the Regional Board.
(d) Surcharges shall be payable twice a year, on
or before May 1 and November 1. Such surcharges shall be
distributed as provided in Section 3 below.
3. Distribution of Excess Use Surcharges. Surcharges
imposed and collected by reason of excessive discharges shall be
distributed among the local governmental entities involved with the
Project as follows; subject, however to the conditions set forth
in (e) and (f) below:
(a) For each month the Town of Lillington exceeds
its reserved allocation, the surcharge assessed to it shall be paid
36% to the Town of Angier, 36% to the Buies Creek-Coats Water and
Sewer District of Harnett County, and 28% to the County of Harnett.
(b) For each month the Town of Angier exceeds its
reserved allocation, the surcharge assessed to it shall be paid 40%
to the Town of Li11ington, 33% to the Buies Creek-Coats Water and
I Sewer District of Harnett County, and 27% to the County of Harnett.
(c) For each month the Buies Creek-Coats Water and
Sewer District of Harnett County exceeds its reserved allocation,
the surcharge assessed to it shall be paid 33% to the Town of
Angier, 40\ to the Town of Lillington, and 27\ to the County of
Harnett.
(d) For each month the County of Harnett exceeds
its reserved allocation, the surcharge assessed to it shall be paid
31' to the Buies Creek-Coats Water and Sewer District of Harnett
County, 31% to the Town of Angier, and 38' to the Town of
Lillington.
54 (e) The above distribution percentages have been
calculated assuming that the respective reserved allocations for
the entities involved with the project are as follows:
L Li1lington- 600,000 gallons per day
iL Angier- 500,000 gallons per day
iii. Buies Creek-Coats District- 500,000 gallons per
day
iv. Harnett County- 400,000 gallons per day
In the event that anyone or more of the entities has I
increased its reserved allocation by expansion, purchase or
otherwise, the percentages as set forth in paragraphs a - d above
shall be modified and shall be stated as that portion which each
entity owns, expressed as a percentage of the reserved allocations
of all receiving entities.
(f) In the event the total amount of gallons of
capacity used by a potential receiving entity during a month,
together with that number of gallons of capacity which equals the
respective percentage applicable to such entity multiplied by the
number of gallons of excess upon which the surcharge is calculated,
exceeds the number of gallons of reserved capacity for that entity,
then such entity shall receive only the amount of the surcharge
which applies to the difference between its reserved allocation and
the total amount of gallons of capacity used by that entity during
a month. Such portion of the surcharge not paid to the entity
shall be prorated among the other receiving entities based on the
percentages above stated.
4. Violation Caused Surcharges. The procedures for
processing surcharges invoked by reason of violations shall be as I
follows:
(a) The amount of the surcharge shall be calculated
based upon the surcharge as set by the Regional Board and based on
the strength of the waste being received above the average domestic
waste concentrations as may be defined by law.
(b) The surcharge shall be added to the Operation
and Maintenance costs billed to the local governmental entity
involved with the Project upon which the surcharge has been
invoked.
(c) The surcharges shall be invoked effective the
monthly meter reading period during which the violation first
occurs and shall continue until such violation is remedied.
(d) The surcharges shall be placed into the
Operations and Maintenance budget of the Regional System.
G. MQrator1Y!1l.&i
The County shall invoke moratoriums upon the local
governmental entities involved with the Project when such entities:
1. Discharge into the Regional System for a period of
four (4) out of six (6) consecutive calendar months a quantity of I
wastewater which exceeds such entity's maximum flow input amounts
(reserved allocations); or
2. Discharge into the Regional System wastewater which
violates the regulations of the applicable federal, state and/or
local governments and/or agencies and such entities do not promptly
act to remedy such violations.
A moratorium as provided herein shall mean a suspension
of the issuance of all building permits for the entity. The
moratorium shall remain in effect until the condition causing the
same has been resolved satisfactory to the County.
-",
55
SBC~IOIf IX
Regional Syste. Distinct Fr~ ~OWD System
It is understood that the Regional System shall be distinct
and separate from the existing system of the Town. As such, except
as expressly provided in this Agreement, the County may, with
I respect to the Regional System:
A. Operate, maintain, manage, regulate and control the
Regional System;
B. Establish and set all rates, fees, and other charges
applicable thereto;
C. Adopt such ordinances, rules, regulations and other
procedures as it deems appropriate therefor;
D. Collect and retain revenues and other monies obtained in
the operation of the same; and
E. Otherwise, exercise with respect thereto any and all
rights, authorities or privileges it may be or has been granted by
law.
SBC~IO. X
B.isting Collection Syste. of ~OWD
A. OWnership
The existing collection system of the Town shall be and
remain the sole property of the Town.
B. Operations and Maintenance
I The Town shall be solely responsible for the operations
and maintenance of its existing collection system.
C. ~. FeesL-ADd Other Charaes
1- Establishment. The Town shall establish and set all
rates, fees, and other charges for sewer connections and services
provided from its existing collection system.
2. Billing and Collection. The Town shall be
responsible for billing all sewer service customers served or to
be served by its existing collection system. All costs related to
billing and collection shall be paid by Town.
D. Administrative Expenses
The Town shall be responsible for all administrative,
legal, and other costs associated with its existing collection
system.
E. Indemnification of Cou~
The Town shall and hereby does indemnify and hold
harmless the County from and against all costs, loss, expenses,
(including attorneys' fees) claims, suits and judgments whatsoever
in connection with any and all liability arising out of any error
I or omission made or caused by the Town and/or its officers, agents
and employees in connection with its existing sewer collection
system or any other sewer collection system operated by the
Town.
SBC~IO. XI
Certain B.pansions Related to the ~OWD
A. Expansions to Collection Svstem of Tow~-Countv
Nonoarticipant
1- Applicability. The provisions of this subsection
shall apply in the event sewerage collection pipelines, force
56 mains, and/or related facilities are constructed such that effluent
therefrom shall flow through the Town Effluent Meter, and the same
have been either:
(a) constructed or caused to be constructed solely
by the Town, OR
(b) constructed by some person, firm, or entity
other than the County, and accepted by the
Town as part of its collection system. I
2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection A(l)
above shall be and remain the sole property of the Town.
3. Operation and Maintenance. The Town shall be solely
responsible for the operation and maintenance of any sewerage
collection pipelines, force mains, and/or related facilities as
identified in subsection A(l) above.
4. Rates, Fees, and Other Charges. The Town shall
establish and set all rates, fees, and other charges for sewer
connections and services provided from any sewerage collection
pipelines, force mains, and/or related facilities as identified in
subsection A(I) above.
5. Billing and Collection. The Town shall be
responsible for billing all sewer service customers served by
sewerage collection pipeline, force mains, and/or related
facilities as identified in subsection A( 1) above. All costs
related to billing and collection shall be paid by Town.
6. Administrative Expenses. The Town shall be
responsible for all administrative, legal, and other costs
associated with sewerage collection pipeline, force mains, and/or I
related facilities as identified in subsection A(I) above.
B. Expansions for Benefit of Town-County NonDarticio~
1. Applicabili ty . The provisions of this subsection
shall apply to sewerage collection pipelines, force mains, and/or
related facilities to be constructed such that effluent therefrom
shall not flow through the Town Effluent Meter, but shall flow
otherwise into the Regional Interception Pipeline, and the same are
to be either:
(a) constructed or caused constructed solely by the
Town, OR
(b) constructed by some person, firm, or entity
other than the County and the areas serviced
therefrom are to be incorporated into the
municipal boundaries of the Town.
2. Connection Subject to County Approval. Any sewerage
collection pipeline, force mains, and/or related facilities
identified in subsection B(I) above shall not be connected to the
Regional Interception Pipeline or any other pipeline or main owned
by the County until such connection is approved in writing by the I
County.
3. Ownership. Any sewerage collection pipelines, force
mains, and/or related facilities identified in subsection B(I)
above shall be and remain the sole property of the Town.
4. provisions Subject to Mutual Agreement. With respect
to any sewerage collection pipelines, force mains, and/or related
facilities identified in subsection B(I) above, it is agreed that
County and Town shall collaborate, and prior to construction of the
same, agree to provisions with respect thereto regarding the
following:
57
(a) Metering of effluent transmitted therefrom,
(b) Operation and maintenance thereof,
(c) Rates, fees, and other charges applicable
thereto,
(d) Responsibility for billings and collections
I related thereto; and
(e) Responsibility for administration expenses
regarding the same.
C. ~tv Exoansions to Collection Svste~Towq
1- Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains and/or
related facilities to be constructed outside the corporate limits
of the Town and such that effluent therefrom shall flow through the
Town Effluent Meter and the same are to be either:
(a) constructed or caused to be constructed solely
by the County, or
(b) constructed by some person, firm or entity
other than the Town and are to be accepted by
the County as part of its collection system.
2. Connection Subject to Town Approval. Any sewerage
collection pipelines, force mains and/or related facilities
identified in subsection C(l) above shall not be connected to the
existing collection system of the Town or any system identified in
subsection A(l) hereof until such connection is approved in writing
I by the Town.
3. Ownership. Any sewerage collection pipeline, force
mains and/or related facilities identified in subsection C(l) above
shall be and remain the sole property of the County.
4. provisions Subject to Mutual Agreement. With
respect to any sewerage collection pipelines, force mains and/or
related facilities identified in subsection C(l) above, it is
agreed that County and Town shall collaborate, and prior to
construction of the same, agree as to provisions with respect
thereto regarding the following:
(a) Metering of effluent transmitted therefrom,
(b) Operation and maintenance thereof,
(c) Rates, fees and other charges applicable
thereto,
(d) Responsibility for billingS' and collections
related thereto; and
(e) Responsibility for administrative expenses
regarding the same.
D. County Exoansions in Vicinity of Town
1- Applicability. The provisions of this subsection
I shall apply to sewerage collection pipelines, force mains and/or
related facilities constructed such that effluent therefrom shall
not flow through the Town Effluent Meter, but shall flow otherwise
into the Regional Interceptor Pipeline, and the same has been
either:
(a) constructed or caused to be constructed solely
by the County, or
(b) constructed by some person, firm or entity
other than the Town, and accepted by the County
as part of its collection system.
58 2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection 0(1)
above shall be and remain the sole property of the County.
3. Operation and Maintenance. The County shall be
solely responsible for the operation and maintenance of any
sewerage collection pipelines, force mains and/or related
facilities as identified in subsection 0(1) above.
4. Rates, Fees and Other Charges. The County shall I
establish and set all rates, fees and other charges for sewer
connections and services provided from any sewerage collection
pipeline, force mains and/or related facilities as identified in
subsection 0(1) above.
5. Billing and Collections. The County shall be
responsible for billing all sewer service customers served by
sewerage collection pipelines, force mains and/or related
facilities as identified in subsection 0(1) above. All costs
related to billing and collection shall be paid by County.
6. Administrative Expenses. The County shall be
responsible for all administrative, legal and other costs
associated with any sewerage collection pipelines, force mains
and/or related facilities as identified in subsection D(1) above.
E. Expansions Resultino from Joint Coooe~atiou of Town aqg
Countv/Other Exoansions Not Identified
1. Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains and/or
related facilities constructed or caused to be constructed as a
result of a joint effort of the County and Town or planned or I
caused to be constructed pursuant to some other plan not identified
herein.
2. Provisions Subject to Mutual Agreement. With
respect to any sewerage collection pipelines, force mains and/or
related facilities as identified in subsection E(1) above, it is
agreed that County and Town shall collaborate and, prior to
construction of the same, agree as to provisions with respect
thereto regarding the following:
. (a) Ownership thereof,
(b) Metering of effluent transmitted therefrom,
(c) Operation and maintenance thereof,
(d) Responsibility for establishment of rates, fees
and other charges applicable thereto,
(e) Responsibility for billings and collections
related thereto, and
(f) Responsibility for administrative expenses
regarding the same.
SEC~IO. XII
Expansion of Regional Sys~.. I
A. Section Aoolicabilitv
The provisions of this Section shall apply in the event
one or more of the following circumstances should arise:
1. The Town determines that it desires additional
wastewater treatment plant capacity such that an expansion must be
made to the Regional Treatment Facility to obtain such additional
capacity.
2. The County determines that it desires additional
wastewater treatment plant capacity such that an expansion must be
59
made to the Regional Treatment Facility to obtain such additional
capacity.
3. A determination is made that wastewater flow from
the Town into the Regional Interceptor Pipeline has increased or
is anticipated to increase to such extent that the Regional
Interceptor Pipeline must be upgraded, expanded, and/or enlarged
I to meet the flow requirements of the Town.
4. The County determines that it desires to upgrade,
expand, and/or enlarge one of the main interceptor pipelines
constructed as part of the Project.
5. The County determines that it desires to provide
wastewater treatment services to other local governmental entities-
not involved with the Project.
B. NeQativA Impacts
With respect to the implementation of any expansion to
the Regional System as described in this Section, a negative impact
shall be deemed to result from the same, if it is reasonably
expected to cause:
1. Additional debt service costs to be incurred by the
local governmental entity or entities not participating therein;
or
2. A reduction or diminution in services to any or all
the local governmental entities involved in the Project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental entity or entities not
I participating therein.
C. Procedure
In the event the County and/or the Town desire to
implement an expansion as described in this Section, then the
following procedures shall be utilized:
1. The County and/or the Town shall cause appropriate
investigations, studies, and/or evaluations to be conducted to
determine whether or not negative impacts will result from the
desired expansion.
. 2. In the event a determination is made that negative
impacts will result from the expansion, the County and/or the Town
will formulate actions to be put into effect with the
implementation of the expansion which will remedy the effect of
such negative impacts.
3. The County and/or the Town shall present any
proposal relative to the implementation of an expansion to the
Regional Board. Such proposal shall include such documentation as
will reasonably support its conclusions and opinions relative to
negative impacts.
4. The County and/or the Town shall cooperate with the
I Regional Board as said Board carries out its functions as set forth
in Section XIV of this Agreement.
5. Upon approval of the proposed expansion by the
Regional Board, the party or parties involved shall be authorized
to implement the proposed expansion.
D. Additional Procedure Authorized for Benefit of Coun~
In the event that the Regional Board does not approve an
expansion desired by the County, and/or fails to carry out its
duties with respect to making its decision regarding such expansion
in a timely manner, then it is understood that the County may
proceed to implement an expansion if the expansion is reasonably
60
expected to cause no negative impacts on the local governmental
entity or entities not involved in the expansion; or, those
negative impacts reasonably expected to result from the expansion
have been or will be, upon implementation of the expansion,
remedied by the County. Such expansion as is herein authorized may
be jointly implemented by the County and another of the local
governmental entities involved in the Project. It is agreed that
any wastewater treatment plant capacity and/or any interceptor line I
capacity resulting pursuant to such expansion shall be allocated
to the County and, if applicable, the other local governmental
entity involved with said expansion.
E. ~dditional Procedure Aut~zed for Be~t of Town
In the event that the Regional Board does not approve an
expansion desired by the Town, and/or fails to carry out its duties
with respect to making its decision regarding such expansion in a
timely manner, then it is understood that the Town may proceed to
implement an expansion if the expansion is reasonably expected to
cause no negative impacts on the local governmental entity or
entities not involved in the expansion; or, those negative impacts
reasonably expected to result from the expansion have been or will
be, upon implementation of the expansion, remedied by the Town.
Such expansion as is herein authorized may be jointly implemented
by the Town and another of the local governmental entities involved
in the Project.
PROVIDED, Hvj~6"ER, that should the Town determine to
proceed as provided hereunder, that it shall do so under the
following terms and conditions: I
l. The Town shall employ consulting engineers,
acceptable to and approved by County, to design the desired
expansion. Upon completion, the plans and specifications for the
expansion shall be presented to the County for review and approval.
The County shall approve such plans and specifications unless good
cause exists to disapprove the same. The County agrees to not
unreasonably withhold approval of such plans and specifications.
2. The County, as operator of the Regional System,
. shall collaborate and cooperate with the Town in order to obtain
the necessary permits from the applicable federal, state and/or
local governments and/or agencies so as to proceed with
construction of the expansion.
3. The County, as operator of the Regional System, and
the Town shall make provision for the joint submission of the
expansion project for bids. The contract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the Town.
4. During construction it is agreed that the County I
shall be authorized to inspect and observe the construction process
so as to insure the acceptable completion of the expansion.
5. All costs associated with the expansion shall be
paid by the Town. Administrative costs incurred by the County
shall be paid by the Town to the County upon billing by the County.
Costs of design, construction observation and other engineering
--~-,-
61
services shall be paid directly by the Town to the engineer. In
the event it is necessary for the County to enter into contracts
for the construction of the expansion (for the benefit of the Town)
costs incurred pursuant to such contracts shall be paid by the Town
over the course of the construction period within ten (10) days
after submission of periodic pay estimates [as issued by the
I contractor(s) and/or engineer].
6. It is agreed that any wastewater treatment plant
capacity and/or any interceptor line capacity resulting pursuant
to the above described procedure shall be allocated to and owned
by the Town.
7. As set forth in this proviso, the term Town shall
include, if applicable, the other local governmental entity
involved with said expansion.
SBCTIOR XIII
Sale of Capacity Allocations in Regional Syst..
A. $ection ~pplicabilitv
The provisions of this Section shall apply in the event
one or more of the following circumstances should arise:
1. The Town determines that it desires to sell all or
a portion of its capacity allocation in the Regional System to one
or more of the other local governmental entities involved with the
Project.
2. The Town determines that it desires to purchase all
I or a portion of the capacity allocation in the Regional System held
by one or more of the other local governmental entities involved
with the Project.
3. The county determines that it desires to sell all
or a portion of its capacity allocation in the Regional System to
one or more of the other local governmental entities involved with
the Project.
4. The County determines that it desires to purchase
all or a portion of the capacity allocation in the Regional System
, held by one or more of the other local governmental entities
involved with the Project.
B. ~ative Im~
With respect to the purchase and/or sale of capacity
allocations in the Regional System as described in this Section,
a negative impact shall be deemed to result from a purchase and/or
sale if such purchase and/or sale is reasonably expected to cause:
1. Additional debt service costs to be incurred by the
I local governmental entity or entities not parties to the purchase
and/or sale; or
2. A reduction or diminution in services to any or all
the local governmental entities involved in the Project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental entity or entities not parties
to the purchase and/or sale.
C. Procedure
In the event the county and/or the Town desire to
purchase and/or sell capacity allocations in the Regional System
as described in this Section, then the following procedures shall
be utilized:
62
1- The County and/or the Town shall cause appropriate
investigations, studies and/or evaluations to be conducted to
determine whether or not negative impacts will result from the
purchase and/or sale.
2. In the event a determination is made that negative
impacts will result from the purchase and/or sale, the County
and/or the Town will formulate actions to be put into effect
together with the purchase and/or sale which will remedy the effect I
of such negative impacts.
3. The County and/or the Town shall present any
proposal relative to the purchase and/or sale of capacity
allocations in the Regional System to the Regional Board. Such
proposal shall include such documentation as will reasonably
support its conclusions and opinions relative to negative impacts.
4. The County and/or the Town shall cooperate with the
Regional Board as said Board carries out its functions as set forth
in Section XIV of this Agreement.
5. Upon approval of the proposed purchase and/or sale
by the Regional Board, the parties involved shall be authorized to
complete said purchase and/or sale.
D. Additional Procedure Authorized for Benefit of Cou~
In the event that the Regional Board does not approve a
proposal made by the County to purchase and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it is understood that the
County may proceed to consummate the proposed purchase and/or sale I
if the purchase and/or sale is reasonably expected to cause no
negative impacts on the local governmental entity or entities not
involved in the purchase and/or sale or, those negative impacts
reasonably expected to result from the purchase and/or sale have
been or will be, upon consummation of the purchase and/or sale,
remedied by the County.
E. Additional Procedure Authorized for Benefit of Town
In the event that the Regional Board does not approve a
, proposal made by the Town to purchase and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it is understood that the Town
may proceed to consummate the proposed purchase and/or sale if the
purchase and/or sale is reasonably expected to cause no negative
impacts on the local governmental entity or entities not involved
in the purchase and/or sale or, those negative impacts reasonably
expected to result from the purchase and/or sale have been or will
be, upon consummation of the purchase and/or sale, remedied by the
Town. I
PROVIDED HOWEVER, that should the Town consummate a sale
of all or a portion of its capacity allocation in the Regional
System to another local governmental entity involved in the
Project, the Town shall be and remain liable to the County
hereunder for the Town's portion of the costs of the Regional
System.
AND FURTHER PROVIDED, that should a purchase and/or sale
as provided hereunder cause any modification to be made to the
Regional System, then, such modification shall be completed upon
the following terms and conditions:
- ----
63
1. The Town shall employ consulting engineers
acceptable to and approved by County, to design the desired
modification. Upon completion, the plans and specifications for
the modification shall be presented to the County for review and
approval. The County shall approve such plans and specifications
unless good cause exists to disapprove the same. The County agrees
to not unreasonably withhold approval of such plans and
I specifications.
2. The County, as operator of the Regional System,
shall collaborate and cooperate with the Town in order to obtain
the necessary permits from the applicable federal, state and/or
local governments and/or agencies so as to proceed with
construction of the modification.
3. The County, as operator of the Regional System, and
the Town shall make provision for the joint submission of the
modification project for bids. The contract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the Town.
4. During construction it is agreed that the County
shall be authorized to inspect and observe the construction process
so as to insure the acceptable completion of the modification.
S. All costs associated with the modification shall be
paid by the Town. Administrative costs incurred by the County
shall be paid by the Town to the County upon billing by the County.
Costs of design, construction observation and other engineering
I services shall be paid directly by the Town to the engineer. In
the event it is necessary for the County to enter into contracts
for the construction of the modification (for the benefit of the
Town) costs incurred pursuant to such contracts shall be paid by
the Town over the course of the construction period within ten (10)
days after submission of periodic pay estimates [as issued by the
contractor(s) and/or engineer).
SBCTIOR XIV
Cap. r.ar Regional Wa.tewater Board
. A. Creation
The County and the Town agree to cooperate and
participate in the establishment of the Cape Fear Regional
Wastewater Board (hereinafter sometimes referred to as the
MRegional Board M ) in accordance with the provisions of this
Section. It is acknowledged that the County has entered into
Agreements with the other local governmental entities involved with
the Project and that each such Agreement contains a section
regarding the Regional Board which is in substance identical to
this Section. It is understood that the Town and the County hereby
I agree that they shall abide by those provisions of this Agreement
concerning the Regional Board as the same apply to the other local
governmental entities involved with the Project.
B. fYXpose of ReQional Board
It is the desire of the local governmental entities
involved with the Project to create the Regional Board for the
following purposes:
1. To create a forum where the concerns and desires of
such entities may be freely and openly discussed so as to insure
that all entities will be made aware of the status of all aspects
of the Regional System and its operation.
64
2. To promote cooperation between such entities.
3. To insure that all such entities will be provided
an opportunity to make suggestions and comments relative to the
status of the Regional System and its operation.
4. To review proposals to modify the existing status
of the Regional System and its operation.
5. To review proposals to expand the Regional System I
and to promote agreement and cooperation between such entities with
respect thereto.
6. To carry out and implement its duties and
authorities set forth in this Agreement.
C. Membershi~
Two members of the Regional Board shall be appointed by
each local governmental entity involved with the Project, one of
which shall be a member of the governing body of the entity
appointing such members. The members of the Regional Board shall
serve at the pleasure of the Board appointing them.
D. Initial Aooointment
The Regional Board shall be initially appointed prior to
January 17, 1990.
E. Heet.s.mm
Regular meetings of the Regional Board shall be held on
the fourth Tuesday of the first month in each calendar quarter of
the year at 7:00 o'clock p.m., and at such other times as requested
by any entity represented on said Board. The Board shall meet in I
the Conference Room of the Northeast Metropolitan Water Plant
Facility located on West Duncan Street in Lillington, North
Carolina.
F. Votinq
Each entity represented on the Regional Board shall be
entitled to one vote on each issue coming before the Board and that
vote may be cast by either member of the Regional Board
representing such entity. Both members representing an entity need
not be present for that entity's full vote to be cast.
G. Officers
At the first meeting of the Regional Board each calendar
year, the Regional Board shall elect from its membership a Chairman
and a Vice-Chairman. The fact that a Board member shall be elected
to either office shall have no effect upon the voting rights of
that member or of the entity such member represents.
H. Ooeratina Procedure~
The proceedings of the Regional Board shall be conducted
in accordance with the most recent edition of Robert's RYles ot
~, except where the provisions of this Agreement provide I
otherwise.
I. ~s of Reaional Board Reqardinq Purchase/Sale ot
Reqional Svs~ Caoacity Allocations and Reaional Svstem
Expansions
1. Statement of Intent. It is the intent of the local
governmental entities involved with the Project to provide, through
the Regional Board, a forum for discussion, review and approval of
any proposal to purchase and lor sell capacity allocations in the
Regional System or to expand the Regional System. In connection
65
therewith , the Board shall not unreasonably withhold approval of
such proposal, but rather shall be required to approve the same ,
unless good cause shall be shown not to do so. Additionally, the
Board shall use its best efforts to promote cooperation and
agreement between the several entities involved with the Project
with respect to such proposals.
2. Procedure. At such time as one or more of the local
I governmental entities involved with the Project present a proposal
to the Board to implement an expansion as provided in section XII
of this Agreement and/or a proposal to purchase and/or sell
Regional System capacity allocations as provided in Section XIII
of this Agreement the Regional Board shall:
(a) Discuss and evaluate the proposal presented
and explore the possibility of formulating an agreement between
all the local governmental entities involved with the Project to
achieve a mutually beneficial result for all such entities.
(b) Discuss and evaluate the conclusions and
opinions of the proposing entity or entities with regard to
negative impacts of the proposal and, if applicable, the plans of
such proposing entity or entities to remedy negative impacts.
(c) In the event of disagreement, offer comments
and suggestions with regard to terms and conditions to be
implemented as part of the proposal which will remedy negative
impacts.
(d) In the event of disagreement, require the
disagreeing entity or entities or the Board members representing
I the same to provide appropriate documentation and/or data to
support its or their respective position concerning the
SBCTI08 D
General Provisions
A. Successors to tbe Countv or the TowU
In the event of any occurrence rendering the County
and/or the Town incapable of performing under this Agreement, any
successor of the County and/or the Town, whether the result of
legal process, assignment, or otherwise, shall succeed to the
rights of the County and/or Town hereunder. The covenants and
agreements contained in this Agreement are binding on the parties
hereto and their successors, assigns and legal representatives.
B. Reoulatory Aoencies
This Agreement is subject to such rules, regulations,
statutes and/or laws as may be applicable to such or similar
agreements in this State and the parties agree to collaborate when
necessary to obtain such permits, certifications, or the like, as
may be required to comply therewith.
C. ModificatjJm
I The provisions of this Agreement may be modified or
altered by mutual agreement, EXCEPT with regard to Section XIV when
any modification or alteration thereto shall be agreed upon by all
governmental entities represented on said Regional Board.
PROVIDED, HOWEVER, that when applicable, prior to such modification
or alteration, approvals therefor will be obtained when necessary
from the appropriate Federal and/or State agencies. All
modifications or alterations shall be in writing, and presented to
all other entities prior to any entities' modifying their original
Agreement.
66
D. Modifications ResultinCL..-f.rom a Chancre in Pro;ect
partic'-oants
This Agreement has been entered into upon the assumption
that in addition to the County, the Town and the Buies Creek-Coats
Water and Sewer District of Harnett County, that the Town of Angier
will participate in the Project. In the event the Town of Angier
does not participate, it is agreed that provisions herein I
referencing its participation and provisions herein requiring
modification as a result of its nonparticipation shall be amended,
modified or otherwise corrected.
E. Authoritv to Determine Certain Details
Whenever, in the course of performing the various terms
of this Agreement, it becomes necessary for the parties to make
determinations with respect to certain details not specifically
provided for herein, such as inspections, system testing or the
like, appropriate representatives of the parties may collaborate
and mutually agree upon such matters, without need for the
amendment or modification hereof.
F. Assianments
Unless specifically provided in this Agreement, it is
agreed that neither the County nor the Town may assign, transfer
and/or convey their respective rights and/or obligations hereunder
without the express written consent of the other.
G. ~ Gove~t Commission
Where applicable, with respect to this Agreement and the
construction of the Project, the Town and the County agree to I
obtain the necessary approvals from the Local Government Commission
as are required thereby.
H. Ordinances
The Town covenants that prior to the commencement of the
transmission of wastewater into the Regional Interceptor Pipeline,
it will adopt an Ordinance regulating the use of its sewerage
collection systems. Said Ordinance shall , among other things,
limi t and/or prohibit (where appropriate) the discharge of
wastewater into the said sewerage collection systems where such
wastewater would, singly or by interaction with other wastewater,
cause harm or damage to, or interfere with the proper operation of
the Regional System, and/or treatment process or cause adverse
effects upon the receiving waters from the Regional Treatment
Facility.
I. Notices
Any notice required to be given hereunder by the County
to the Town shall be made by the County in writing and mailed by
first class mail to the Town of Lillington at the following
address: I
Post Office Box 296
Lillington, North Carolina 27546
Any notice required to be given hereunder by the Town to the
County shall be made by the Town in writing and mailed by First
Class mail to the County Manager, Harnett County, at the following
address:
Post Office Box 759
Lillington, N. C. 27546
67
J. Authoritv
The County and the Town represent and warrant, each to
the other, the existence of all capacity, authority, resolutions
and actions necessary to execute this Agreement.
K. nwu..icate weeme~
This Agreement is executed in duplicate originals, one
of which is retained by each party hereto.
I IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed on the day and year written.
Executed by Town of Lillington this 18thday of December, 1989.
Towo of Li} lingtoo A
~w h
BY' ,/\. 1 -
Attest: , / A. inco~~.~ /
;j,~i (' ~
Deborah C. Phill ps, erk
Executed by the County of Harnett, this ~hday of December,
1989.
COUNTY OF HARNETT
By~A JJ~J-
'Llbyd G. Stewart, Chairman
Harnett County Board of
Commissioners
A2:t:
-~'UJ.~/
Vanessa w. ioung Cieri
to the Board
. . ' . .,
I
NORTH CAROLINA
ACKNOWLEDGMENT
HARNETT C"'u,lI.. Y
I, a Notary Public of the County and state aforesaid, certify
that A. LINCOLN FAULK, who, being by me duly sworn, says that he
is Mayor of the Town of Lillington and that Deborah C. Phillips is
Clerk of said Town, that the seal affixed to the foregoing and
attested instrument is the seal of said Town, and that said
instrument was signed by him as Mayor of said Town and by the Clerk
of said Town, who affixed the official seal of said Town to said
instrument; and that the said A. Lincoln Faulk, Mayor, acknowledged
said instrument to be the act and deed of the Town of Lillington.
Witness my hand and notarial ."0 tbi. tho If!! day of
December, 1989. }!Jf);g g, !Jj,!~ 1
7-J~-91J v Notary PUbl~
My Caamission Expires:
NORTH CAROLINA
ACKNOWLEDGMENT
HARNETT COUNTY
I, a Notary Public of the County and State aforesaid, certify
that LLOYD G. STEWART, who, being by me duly sworn, says that he
is Chairman of the Board of Commissioners of Harnett County, and
that Vanessa W. Young is Clerk of said Board, that the seal affixed
to the foregoing and attested instrument is the seal of Harnett
County, North Carolina, and that said instrument was signed by him
as Chairman of the Board of Commissioners of said County and by the
I Clerk of said Board, who affixed the official seal of Harnett
County to said instrument; and that the said Lloyd G. Stewart,
Chairman of the Board of Commissioners, acknowledged said
instrument to be the act and deed of Harnett County North Carolina.
Witness my hand and notarial seal, this the ...l.8tJl day of
December, 1989. J(p ~d(~rl
My Commission Expires: 7-22-92 1'Notary Pub ic
:\\,.....n......
~~ '3lANC/f4l#,,~
,~~ ~
( "OlA"~ \
10 PI18l\~ ~)
"~1t ....... \ ~, ..~
""'''''' rr CO\}~ :\..",,,
...,........',.
68
DOCUMENT NO.3.
RBSOLUTIO. AUTBOaIIIBG BSBCUTIOB or AGRB~ WITR TRB
BUlBS caBBX - COATS WAfta UD s_a DISDICT or BAR......- COUlftY
RBGARDIBG 'fD CAItB rBAR RBGIOIIAL 1IAS~Ha 81,.:.........1
WHEREAS, the Harnett County Board of Commissioners, I
(hereinafter sometimes referred to as the "Board") has heretofore
caused a comprehensive wastewater study to be conducted for the
purpose of examining and analyzing the wastewater facilities needs
of Harnett County; and
WHEREAS, pursuant to the recommendations of said study, the
County of Harnett formulated a plan to construct a wastewater
facility system designated as the cape Fear Regional Wastewater
System; and
WHEREAS, the County of Harnett has requested the Buies Creek -
Coats Water and Sewer District of Harnett County to participate in
the construction and use of said System and the Buies Creek - Coats
Water and Sewer District of Harnett County has agreed so to do; and
WHEREAS, attached to this Resolution as Exhibit "A" is a copy
of an Agreement between the County of Harnett and the Buies Creek -
Coats Water and Sewer District of Harnett County setting forth the
various details of the agreements of said parties with respect to
the Cape Fear Regional Wastewater System; and
WHEREAS, upon review and consideration of said Agreement, it
is the finding of the Board that the construction of said regional
wastewater system will be of great benefit to the current and
future health and well being of the citizens of Harnett County and
the Buies Creek - Coats Water and Sewer District of Harnett County;
and
WHEREAS, it is the desire of the Board that the County of
Harnett enter into said Agreement so to implement the Cape Fear
Regional Wastewater System.
NOW, THEREFORE, BE IT RESOLVED by the Harnett County Board of
Commissioners that:
1. The County of Harnett shall and is hereby
authorized to enter into the Agreement between
said County and the Buies Creek - Coats Water I
and Sewer District of Harnett County, a copy
of which is attached hereto as Exhibit "A".
2. The appropriate officers of the County of
Harnett are hereby directed to execute the
originals of said Agreement.
Duly adopted this ~day of December, 1989 upon motion made
by Commissioner Hudso,," , seconded by Commissioner Smith ,
and adopted by the following vote:
Ayes 4 Noes 0 Abstained 0 Absent 1
Harnett county Board of Commissioners
By: ;O~ )J ~.
- IJLoyc:l G. Stewart, Chairman
Attest: IJ
-~ 'UJ. '-()' ~Nl"- i/
Vanessa W. Young, sierk ~o
the Board
EXHIBIT "A"
NORTH CAROLINA
AQ.REEMENT
HARNETT COUNTY
THIS AGREEMENT is made and entered into this 18th day of I
December, 1989 by and between the COUNTY OF HARNETT, a body politic
organized and existing under the laws of the State of North
Carolina (hereinafter sometimes referred to as the "County") and
the BUIES CREEK-COATS WATER AND SEWER DISTRICT OF HARNETT COUNTY,
a county water and sewer district organized and existing pursuant
to the provisions of Article 6, Chapter 162A of the North Carolina General Statutes (hereinafter sometimes referred to as the
"District");
69
WIT N E SSE T H :
THAT WHEREAS, the County has caused a Comprehensive Wastewater
Study to be conducted for the purpose of examining and analyzing
the wastewater facilities needs of Harnett County; and
WHEREAS, one of the results of that Study was the
identification of a need for a regional sewer collection and
I treatment system to serve several local governmental entities
existing in the central portion of Harnett County; and
WHEREAS, in order to meet the demands of the existing and
future wastewater disposal needs as identified, the construction
of a wastewater facility system, designated as the Cape Fear
Regional Wastewater System, has been recommended; and
WHEREAS, the plans for the Cape Fear Regional Wastewater
System include the replacement of the existing waste treatment
facilities serving the Town of Lillington, the Town of Angier and
the Buies Creek - Coats Water and Sewer District of Harnett County,
the construction ~f a new regional wastewater treatment facility
and the construction of main interceptor pipelines to connect the
above named local governmental entities to the new treatment
facility; and
WHEREAS, in anticipation of the need for construction of
wastewater facilities in Harnett County, the Board of Commissioners
of Harnett County requested Federal and State assistance in funding
the construction of the Cape Fear Regional Wastewater System; and
WHEREAS, pursuant to the North Carolina Clean Water Revolving
I Loan and Grant Act of 1987 and the provisions of the Federal Water
Quality Act of 1987, the State of North Carolina, through its
Division of Environmental Management, Department of Environment,
Health and Natural Resources, advised the County that monies for
a loan to fund the costs of the Cape Fear Regional Wastewater
System have been reserved for Harnett County; and
WHEREAS, the County determined that it desired to proceed with
the implementation, construction and eventual operation of the Cape
Fear Regional Wastewater System, and in connection therewith
requested the District to enter into an agreement with the County
regarding the participation of the District in said System; and
WHEREAS, the Board of Commissioners of the County of Harnett,
sitting as the governing body of the Buies Creek-Coats Water and
Sewer District of Harnett County, has determined that the Cape Fear
Regional Wastewater System will be of great benefit to the health
and well being of the citizens of the District, and
WHEREAS, the District has therefore determined that it desires
to participate in the Cape Fear Regional Wastewater System; and
WHEREAS, pursuant to the provisions of Chapter 160A, Article
I 20, Part 1 of the North Carolina General Statutes entitled
"Interlocal Cooperation, Joint Exercise of Powers," the County and
the District desire to enter into this Agreement with respect to
the Cape Fear Regional Wastewater System setting forth the terms
and conditions of their mutual agreements regarding the same.
NOW, THEREFORE, in consideration of the mutual
representations, warranties, covenants and agreements herein
contained, and for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the County and the
District agree as follows:
- ~~
70 SECTION I
Definitions
The following definitions, designations and/or explanation of
terms shall be used for the purposes of this Agreement:
A. "Project.. shall refer to the Cape Fear Regional
Wastewater System construction project. I
B. "Regional Treatment Facility" shall refer to the
wastewater treatment and disposal facility to be constructed as
part of the Project, and thereafter owned, operated, managed and
maintained by the County, except as hereinafter set forth.
C. "Regional Interceptor Pipeline" s ha 11 refer to the
wastewater interceptor pipeline to be constructed and installed as
part of the Project which shall connect the existing system of the
District to the wastewater interceptor pipeline (also to be
constructed and installed as part of the Project) which shall run
parallel to the Cape Fear River to the Regional Treatment Facility.
D. "Regional System" shall refer to the entire wastewater
collection, treatment and disposal system constructed and installed
pursuant to the Project, and shall include all lands required for
the installation of the same, together with continuous and adequate
easements and rights of way over other lands necessary to erect,
construct, install and lay and thereafter use, operate, inspect,
repair, replace, remove, change the size of such facilities as
named, and in addition shall include the Regional Treatment
Facility, the Regional Interceptor Pipeline and the District
Effluent Meter. I
E. "District Effluent Meter" s ha 11 refer to that meter
facility and related appurtenances constructed or otherwise
provided for as part of the project to which wastewater from the
District shall be transmitted by the District and which shall
measure the quantity of wastewater being delivered by the District
into the Regional Interceptor Pipeline.
F. Any terminology referring to the existing collection
system of District shall mean that network of sewer collection
pipelines, mains and/or related facilities composing the District's
sewer collection system as shall exist on the date the County
commences accepting wastewater from the District into the Regional
System.
G. "Funding Agency" shall refer to the Division of
Environmental Management, Department of Environment, Health and
Natural Resources of the State of North Carolina, or any successor
agency thereto.
H. "County Department of Public Utilities" shall refer to
the Harnett County governmental department existing as of the date I
of this Agreement which administers, operates, and otherwise
manages the public water and sewer systems owned and/or operated
by the County, and shall include any other successor department or
subdivision of the County which shall perform such functions.
I. Any terminology referring to the local governmental
entities involved with the project shall refer to the District, the
County, the Town of Lillington and the Town of Angier. A reference
to the other local governmental entities involved with the Project
shall mean the remainder of the above named local governmental
entities not specifically the subject of the particular provision
within which the reference is made.
J. "Regional Board" refer to the Cape Fear Regional 71
shall
Wastewater Board as established in Section XIV of this Agreement.
SECTION II
Term
This Agreement shall be a continuing contract relative to the
furnishing of essential wastewater treatment and disposal services
I for the citizens of the District, and shall exist and continue
until the County and the District shall mutually modify or
terminate the same, BUT IN NO EVENT shall the same terminate until
the loan (including principal and interest) described in Section
III has been paid in full.
SBCTIOB III
Funding Agency and Fund. for Construction
A. Fundina Source
The funds for construction of the Project are anticipated to
be supplied in the form of a loan made to the County pursuant to
the North Carolina Clean Water Revolving Loan and Grant Act of 1987
and the provisions of the Federal Water Quality Act of 1987 as
administered by the Division of Environmental Management,
Department of Environment, Health and Natural Resources of the
State of North Carolina. The terms of this Agreement are
conditioned upon the receipt of said loan and approvals required
therefor, and in the event said loan is not obtained by the County,
I or the Regional System is otherwise not constructed, then the
County shall have no obligations hereunder to the District, and the
District shall have no obligations hereunder to the County.
B. Aareement Subiect to Reouirements of Fundina Aaencv
The County and District agree to comply with all the
conditions and requirements imposed by the Funding Agency, which
shall include, but not be limited to, the Revolving Loan
conditions, the establishment of pretreatment requirements, and the
adoption of appropriate sewer use ordinances and user charge
systems.
C. ~strict to Act in Ti~v Manne~
When, in the course of providing the various ordinances,
information and/or other documents to the Funding Agency, the
County must obtain such items from the District prior to submission
to the Funding Agency, the District agrees to prepare, adopt and/or
otherwise provide the same to the County in a timely manner.
D. Loan Pavment Sources
All funds paid by the County and the District as principal and
interest on the aforementioned loan shall be derived only from
I those sources specified by the Funding Agency.
SBCTION IV
Con.truction and Owner.hip of aegional Sy.te.
A. ~tv Lead Agency
The County shall be responsible for administering and
managing the construction and installation of the Regional System
and in connection therewith shall:
1. Cause the appropriate pre-construction studies to be
completed as are required by the Funding Agency and any other State
or Federal ~gencies.
72
2. Cause such funding and permit applications as may be
required to be completed and filed with the appropriate
Federal and State agencies.
3. Cause plans and specifications for the Regional
System to be completed in accordance with acceptable engineering
practices and procedures, and in compliance with applicable rules,
regulations and requirements of the Funding Agency and such other I
State and Federal agencies as may be applicable.
4. Obtain and acquire in its name continuous and
adequate easements and rights of way on private lands necessary to
erect, construct, install and lay, and thereafter use, operate,
inspect, repair, maintain, replace, remove, change the size of or
protect the Regional System.
5. Obtain and acquire in its name permits, franchises,
and authorizations or other instruments by whatsoever name
- designated, from public utilities and public bodies, commissions
or agencies such as are necessary to erect, construct, install and
lay, and thereafter use, operate, inspect, repair, maintain,
replace, remove, change the size of or protect the Regional System
upon, along or across streets, roads, highways and public
utilities.
6. Obtain and acquire in its name such parcels of real
property as are necessary for the construction of the Regional
Treatment Facility I pump stations, and any other building or
structure required for the completion of the Regional System.
7. Cause the contract or contracts for construction and I
installation of the Regional System to be advertised in accordance
with applicable law, and to thereafter award and enter into such
contract or contracts for said construction and installation as the
County deems in the best interest of the Regional System. The
determination as to which bidder or bidders shall be awarded
contracts shall be made by the County.
8. Cause the installation and construction of the
Regional System to be supervised by qualified and competent
engineers.
9. Cause the District's existing sewerage collection
pipelines and/or force mains which now connect to the existing
County wastewater treatment facility near Buies Creek to be
disconnected therefrom and reconnected to the Regional Interceptor
Pipeline.
10. Provide for the termination of use of the County's
wastewater treatment facility near Buies Creek as is specified as
part of the Funding Agency loan -package and/or provisions and
guidelines.
II. Provide for the administration of the construction I
and installation of the Regional System and to provide for
inspection of the same.
12. Provide for the administration of the funds obtained
for the implementation, construction and installation of the
Regional System.
13. Otherwise, manage the implementation, construction
and installation of the Regional System.
B. Ownershio of Regional Svstem
The Regional System shall be and remain the property of
the County, and the District shall have only that right, title or
interest as expressly provided in this Agreement. 73
It is understood
that except as to the rights of the District expressly provided in
this Agreement, as owners of the Regional System, the County may
operate, maintain, manage, regulate and control the same, subject
to the terms of this Agreement, and otherwise exercise with respect
thereto any rights, authorities or privileges it may be granted by
statute.
I C. ~t cooneration
During the course of the implementation, design and
construction of the Regional System, the District and the County
agree to collaborate and cooperate with respect to the gathering
of the documentation, data and/or other information necessary to
properly design and construct the Regional System. Additionally,
when requested by the County and/or the contractor(s) the District
agrees to cooperate with the said County and/or the contractor(s)
with respect to the testing of the Regional System,
and preparation for connection of the same to the existing
collection system of the District.
D. Convevance of Easeme~
The District agrees to convey to the County, without
charge, easements and rights of way over, upon and across
properties owned by the District when such easements and rights of
way are necessary to install and construct the Regional Interceptor
Pipeline, and/or otherwise necessary to connect the Regional
Interceptor Pipeline to the District Effluent Meter.
I SBCTION V
Capacity Allocations in Regional System
A. Manner of EXDress~
The allocations of capacity in the Regional System shall
be expressed in terms of treatment capacity in the Regional
Treatment Facility.
B. District Allocation. The District shall have allocated
and reserved for treatment of its wastewater twenty-five (25%)
percent of the treatment capacity of the Regional Treatment
Facility. It is understood that the capacity of the Regional
Treatment Facility is to be two million (2,000,000) gallons per
day, and that therefore, the allocation and reservation herein made
to the District equals five hundred thousand (500,000) gallons per
day.
C. Remaining Allocations. The remaining seventy-five (75%)
percent of the treatment capacity of the Regional Treatment
Facility shall be allocated to the other local governmental
entities involved with the Project or retained by the County for
its use.
I SBCTI08 VI
payaent for Capacity Allocations in Regional System
A. ~oan Determination
The amount of the loan awarded for the construction and
installation of the Regional System shall be determined pursuant
to the directives of the Funding Agency. As soon as practicable
after final determination of the loan amount and related debt
instrument details, the County shall provide such information to
the District.
74 B. Loan ~avment PO!~~~p_~ay~ry~e bv District
The District shall pay that portion of each and every
payment due on the loan obtained through the Funding Agency as
hereinafter provided:
1- The portion of each payment made by the District
shall equal the product of the total amount of the principal and/or
interest due for such payment multiplied by the percentage of the
capacity allocation in the Regional System allocated and reserved
for the District herein. I
2. The portion of the payment to be made by District
shall be paid to the County at least fifteen (15) days prior to the
due date of the same.
3. It is understood that according to the Funding
Agency, pr~ncipal payments will be made annually on or before May
1 of each year, and that all interest payments will be made
semiannually on or before May 1 and November 1 of each year. The
portion of the payments to be made by District as herein provided
shall apply to both the principal and interest and the interest
only payments due on the loan.
C. Rem~nder of ~oan P~vments
The remaining portion of the loan payment for the
Regional System, that is, that portion not paid by District, shall
be obtained by the County from the other governmental entities
participating in the Project, and/or supplied by the County.
D. Transmission of Loan Payment
The County shall be responsible for transmitting the loan
payments to the Funding Agency or other appropriate agency as
directed by the Funding Agency. County shall make said payments I
on a timely basis and any penalty or late charges shall not be paid
by District, provided District has made its payment by the time
required in Section VI (B) (2) .
E. Costs lP Excess of Loan
It is the understanding of the County and the District
that the current estimated project cost is $7,500,000. The County
and the District agree that should the Project exceed one percent
(1% ) of the estimated Project cost, including closing costs and
other costs associated therewith, then the District shall have the
option of either retaining its level of capacity allocations in the
Regional System herein agreed upon, and thereby incur its share of
the additional costs for the same, or reduce its level of capacity
allocation in the Regional System hereln agreed upon and thereby
not incur the additional costs. In the event that during the pre-
construction phases of the Project it becomes apparent that the
estimated Project cost, together with closing costs and other costs
associated therewith, shall exceed $7,500,000 by more than one
percent (1% ) of such amount, then the County shall notify all
entities involved with the Project so that they may collaborate and I
cooperate as to cost overruns. The District shall determine which
option it desires, and shall advise the County as to such
determination within twenty (20) calendar days after notification
to the District of the apparent cost overrun.
Unless otherwise agreed, if the District shall elect to
retain its level of capacity allocation as described above, or if
the project exceeds $7,500,000 by less than one percent (1\)
thereof, then the District shall pay such portion of the applicable
excess as equals said excess multiplied by the percentage of the
capacity allocation in the Regional System allocated and reserved
~__ ~L_ _!_._1_. ~___1_
75
&BCTIOB VII
Wa.~ewa~er Trea~..n~ and Metering
A. Countv to Treat Qistrict Wastewater
County agrees to treat at the Regional Treatment Facility
I during the term of this Agreement or any renewal or extension
thereof, quantities of wastewater which flow through the District
Effluent Meter up to and including the maximum amount of Five
hundred thousand (500,000) gallons per day, which said maximum
amount equals the allocation made and reserved for the District
herein. The wastewater shall be treated pursuant to those
standards specified by the applicable Federal and State agencies,
including, but not 1 imi ted to, the standards of the Division of
Environmental Health of the North Carolina Department of
Environment, Health and Natural Resources. The County agrees to
continue treating wastewater from the District at the County
wastewater treatment facility near Buies Creek in accordance with
that Contract entered into between the County and the District
dated July 23, 1984 until such time as the use of said wastewater
treatment facility is terminated, and to thereafter provide for an
orderly transition of treatment services from said facility to the
Regional Treatment Facility.
B. District Effluent Meter
County agrees to furnish and install as part of the
I Project and thereafter operate and maintain at such point as is
designated by the engineers for the Regional System the necessary
metering equipment, including a meter house or pit, and the
required devices of standard type for properly measuring the
quantity of wastewater transmitted into the Regional Interceptor
Pipeline for treatment and to calibrate such metering equipment
whenever requested by District, but not more frequently than once
every twelve (12) months. However, the District may obtain
independent verification of the calibration of the metering
equipment. In this event, should the test result be deemed to be
accurate, (as hereinbelow stated), then the District shall pay the
costs of obtaining such test. If the test result is not deemed to
be accurate, (as hereinbelow stated), then the County shall pay the
costs of obtaining the test. A meter registering not more than two
(2') percent above or below the test result shall be deemed to be
accurate. The previous readings of any meter disclosed by test to
be inaccurate shall be corrected for the three (3) months previous
to such test in accordance with the percentage of inaccuracy found
by such tests. If the meter fails to register for any period, the
I amount of wastewater treated during such period shall be deemed to
be that amount of wastewater which equals the average monthly
reading for the three (3) months previous to such failure, unless
County and District shall agree upon a different amount.
Appropriate officials of District shall have access to the meter
at all reasonable times in order to verify readings.
C. MeteLReadi.Jum
The District Effluent Meter shall be read by the County
on the first day of each month.
76
SECTION VII I
Operation and Maintenance
of Regional System
\
A. Manaaement af Reaiona1 Svstem
Except as otherwise set forth in this Agreement, the I
Regional System shall be managed, operated, and maintained by the
County through its Department of Public Utilities, as a County
operated public enterprise, and in connection therewith the County
shall :
1. Formulate and thereafter maintain proper accounting
procedures with respect to the Regional System in accordance with
the North Carolina Local Government Budget and Fiscal Control Act
as set forth in Article 3, Chapter 159 of the North Carolina
General Statutes.
2. Operate and maintain the Regional System on an annual
budget, which budget shall be formulated and maintained in
accordance with the North Carolina Local Government Budget and
Fiscal Control Act as set forth in Article 3, Chapter 159 of the
North Carolina General Statutes.
3. Contract with a certified public accountant for
annual audits of the Department of Public Utilities and the
Regional System accounting procedures and records.
4. Obtain, and thereafter maintain, insurance and bonds
as required by State law. I
5. Comply with all Federal, State, and Local laws and
regulations relative to the management, operations and maintenance
of the Regional System.
6. Invoke moratoriums in accordance with Section VIII
(G) hereof to prevent the addition of wastewater customers to the
Regional System and/or the increase in wastewater flow into the
Regional System so as to protect the allocation in the Regional
System reserved for the District herein.
7. Invoke surcharges in accordance with Section VIII (F)
hereof upon the local governmental entities involved with the
Project, in the event such entities exceed their maximum flow input
amounts (reserved allocations) into the Regional System.
8. Report to the District on a monthly basis, or upon
request, with respect to wastewater flow from all the entities
involved with the Project and other matters as are appropriate.
9. Otherwise, provide for the orderly and efficient
management, operation, and maintenance of the Regional System.
B. Qoerations A~~ ~~~ntenance Expep~~ ~rovided bv Distr~
1- The District shall, on a monthly basis, provide that I
portion of the costs incurred for Operations and Maintenance of the
Regional System as is described herein. Said monthly cost shall
be based upon a Bulk Municipal Sewer Rate as hereinafter
formulated.
2. The portion of the costs incurred for Operations and
Maintenance of the Regional System to be provided by District shall
be that amount of money which equals the product of the Bulk
Municipal Sewer Rate multiplied by the number of gallons of
wastewater transmitted into the Regional Interceptor Pipeline as
measured through the District Effluent Meter.
77
3. The Bulk Municipal Sewer Rate (hereafter "Bulk
Rate" ) shall be the Operations and Maintenance expense of the
Regional System expressed in cost per one thousand (1000) gallons
of wastewater treated. The Bulk Rate shall be determined on an
annual cycle, and shall be based upon demonstrable expenditures for
the operations and maintenance of the Regional System as indicated
I on the accounting records for the Regional System, together with
anticipated increases or decreases in the same. The Bulk Rate
shall be determined as follows:
(a) The total amount of Operations and Maintenance
costs incurred by the County during a fiscal year shall be
calculated.
(b) Such total amount of Operations and Maintenance
costs shall then be divided by the number of gallons of wastewater
treated at the Regional Treatment facility during the corresponding
fiscal year. The per gallon cost thereupon derived shall be
multiplied by one thousand (1000) to determine actual cost per one
thousand (1000) gallons.
(c) The actual cost per one thousand (1000) gallons
shall thereupon be adjusted to reflect projected and anticipated
increases or decreases in the Operations and Maintenance expenses
reasonably expected to be incurred by the County in the forthcoming
rate period.
(d) The actual cost per one thousand (1000) gallons
adjusted as provided in (c) above shall be the Bulk Rate for the
next fiscal year.
I 4. Prior to the adoption of a bulk rate, the County
shall seek the advice and recommendations of the Regional Board
with respect thereto, and shall provide documentation to the
regional Board to support its conclusions and opinions regarding
the same.
5. On or before April 1 of each year, the County shall
advise the District of an estimate of the bulk rate it intends to
adopt and shall adopt such rate on or before Hay 1 of each year.
6. The District shall be furnished by the County, not
later than the tenth (10th) day of each month, an itemized
statement or bill (including the amount of wastewater treated, the
rate and the amount due) for the amount of wastewater transmitted
into the Regional Interceptor Pipeline through the District
Effluent Meter during the preceding month, as established by the
meter readings made on the first day of each month.
7. The District shall pay to the County the amount
billed to them by the County on or before the twentieth (20th) day
of the month in which the bill is rendered.
C. frocedures ~ to lmRJementation of Annual Cvcle
I l. The Bulk Municipal Sewer Rate, prior to the
implementation of the Annual Cyclical Procedures outlined in
Section B above, shall be determined as follows:
(a) During the period beginning on the date the
County commences accepting wastewater from the District into the
Regional System and continuing through the end of the fiscal year
following the fiscal year during which wastewater is first
accepted, the Bulk Municipal Sewer Rate shall be based upon
estimated Operations and Maintenance expenses of the Regional
System as determined by the County and the Project engineers.
78
(b) During the first year in which the Annual
Cyclical Procedures are implemented, the Bulk Municipal Sewer Rate
shall be based upon demonstrable expenditures for the operations
and maintenance of the Regional System as indicated on the
accounting records for the Regional System made during the first
fiscal year of its operation (that period beginning on the date the
County commences accepting wastewater from the District into the
Regional System and continuing through the end of the same fiscal I
year) , together with projected and anticipated increases or
decreases in the operations and maintenance expenses reasonably
expected to be incurred by the County in the forthcoming rate
period.
2. The first billing to the District shall be made not
later than the tenth (10th) day of the month following the month
during which the County commences accepting wastewater from the
District.
3. All other procedures provided in Section B above
shall be utilized in the calculating of the monthly bill to be
rendered to and paid by District.
D. Svstem Fulure.
The County will, at all times, operate and maintain the
Regional System in an efficient manner and will take such action
as may be necessary to furnish sewer services to the District.
Temporary or partial system failures shall be remedied with all
possible dispatch. Any reduction in services to the District shall
be reduced or diminished in the same ratio or proportion as the
same is reduced or diminished with respect to the other local I
governmental entities involved in the Project. Emergency failures
caused by main pipeline breaks, power failure, flood, fire,
earthquake, or other catastrophe shall excuse the County from the
obligation to provide sewer services to the District for such
reasonable period of time as may be necessary to restore service.
E. Indemnification of District
The County shall and hereby does indemnify and hold
harmless the District from and against all costs, loss, expenses,
(including attorney's fees), claims,suits and judgments whatsoever
in connection with any and all liability arising out of any error
or omission made or caused by the County and/or its officers,
agents and employees in connection with any of the Regional System
operated by the County.
F. Surcharaes
1. Invoking Surcharges. The County shall invoke
surcharges upon the local governmental entities involved with the
Project when such entities:
(a) Discharge into the Regional System a quantity
of wastewater which exceeds such entities maximum flow input I
amounts (reserved allocations), hereinafter referred to as "excess
use surcharges" or
(b) Discharge into the Regional System wastewater
which violates the regulations of the applicable federal, state,
and/or local governments and/or agencies, hereinafter referred to
as "violation caused surcharges."
2. Excess Use Surcharges. The procedures for
processing excess use surcharges shall be as follows:
(a) Such surcharges shall be imposed and calculated
based on each monthly meter reading period.
79
(b) The surcharges shall be invoked effective the
monthly meter reading period during which the excess use first
occurs and shall continue until such use is ended.
(C) The amount of the surcharge shall be calculated
based upon the surcharge as set by the Regional Board.
(d) Surcharges shall be payable twice a year, on
I or before May 1 and November 1. Such surcharges shall be
distributed as provided in Section 3 below.
3. Distribution of Excess Use Surcharges. Surcharges
imposed and collected by reason of excessive discharges shall be
distributed among the local governmental entities involved with the
Project as follows; subject, however to the conditions set forth
in (e) and (f) below:
(a) For each month the Town of Lillington exceeds
its reserved allocation, the surcharge assessed to it shall be paid
36% to the Town of Angier, 36% to the Buies Creek-Coats Water and
Sewer District of Harnett County, and 28% to the County of Harnett.
(b) For each month the Town of Angier exceeds its
reserved allocation, the surcharge assessed to it shall be paid 40%
to the Town of Li11ington, 33% to the Buies Creek-Coats Water and
Sewer District of Harnett County, and 27% to the County of Harnett.
(c) For each month the Buies Creek-Coats Water and
Sewer District of Harnett County exceeds its reserved allocation,
the surcharge assessed to it shall be paid 33% to the Town of
Angier, 40% to the Town of Lillington, and 27% to the County of
I Harnett.
(d) For each month the County of Harnett exceeds
its reserved allocation, the surcharge assessed to it shall be paid
31% to the Buies Creek-Coats Water and Sewer District of Harnett
County, 31% to the Town of Angier, and 38% to the Town of
Lillington.
(e) The above distribution percentages have been
calculated assuming that the respective reserved allocations for
the entities involved with the Project are as follows:
1- Lillington- 600,000 gallons per day
H. Angier- 500,000 gallons per day
HL Buies Creek-Coats District- 500,000 gallons per
day
iv. Harnett County- 400,000 gallons per day
In the event that anyone or more of the entities has
increased its reserved allocation by expansion, purchase or
otherwise, the percentages as set forth in paragraphs a - d above
shall be modified and shall be stated as that portion which each
entity owns, expressed as a percentage of the reserved allocations
I of all receiving entities.
(f) In the event the total amount of gallons of
capacity used by a potential receiving entity during a month,
together with that number of gallons of capacity which equals the
respective percentage applicable to such entity multiplied by the
number of gallons of excess upon which the surcharge is calculated,
exceeds the number of gallons of reserved capacity for that entity,
then such entity shall receive only the amount of the surcharge
which applies to the difference between its reserved allocation and
the total amount of gallons of capacity used by that entity during
80 a month. Such portion of the surcharge not paid to the entity
shall be prorated among the other receiving entities based on the
percentages above stated.
4. Violation Caused Surcharges. The procedures for
processing surcharges invoked by reason of violations shall be as
follows:
(a) The amount of the surcharge shall be calculated
based upon the surcharge as set by the Regional Board and based on
the strength of the waste being received above the average domestic I
waste concentrations as may be defined by law.
(b) The surcharge shall be added to the Operation
and Maintenance costs billed to the local governmental entity
involved with the Project upon which the surcharge has been
invoked.
(c) The surcharges shall be invoked effective the
monthly meter reading period during which the violation first
occurs and shall continue until such violation is remedied.
(d) The surcharges shall be placed into the
Operations and Maintenance budget of the Regional System.
G. Moratoriums
The County shall invoke moratoriums upon the local
governmental entities involved with the Project when such entities:
1. Discharge into the Regional System for a period of
four (4) out of six (6) consecutive calendar months a quantity of
wastewater which exceeds such entity's maximum flow input amounts
(reserved allocations); or
2. Discharge into the Regional System wastewater which I
violates the regulations of the applicable federal, state and/or
local governments and/or agencies and such entities do not promptly
act to remedy such violations.
A moratorium as provided herein shall mean a suspension
of the issuance of all building permits for the entity. The
moratorium shall remain in effect until the condition causing the
same has been resolved satisfactory to the County.
SECTION IX
Regional System Distinct From District System
It is understood that the Regional System shall be distinct
and separate from the existing system of the District. As such,
except as expressly provided in this Agreement, the County may,
with respect to the Regional System:
A. Operate, maintain, manage, regulate and control the
Regional System;
B. Establish and set all rates, fees, and other charges
applicable thereto;
C. Adopt such ordinances, rules, regulations and other
procedures as it deems appropriate therefor; I
D. Collect and retain revenues and other monies obtained in
the operation of the same; and
E. Otherwise, exercise with respect thereto any and all
rights, authorities or privileges it may be or has been granted by
law.
SBCTIOR X
Bxisting Collection Systea of District
A. Ownershio
The existing collection system of the District shall be
and remain the so], operty of the District.
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B. Ooerations and Maint.~n~nce and Related Matters
It is acknowledged that the County and the District have
previously entered into a Contract dated July 23, 1984 relative to
the operation of the existing collection system of the District.
Pursuant thereto, the County shall be responsible for the following
I matters regarding the District's existing collection system:
1. Operation, management and maintenance thereof;
2. Establishment and setting of all rates, fees, and
other charges for sewer connections and services provided
therefrom;
3. Billing and collection of all such rates, fees and
other charges;
4. Administrative, legal, and other costs associated
therewith.
SECTIOB XI
Certain Expansions Related to the District
A. ExoaUjions to Col~ection Svst.em of District-Countv
Nonoarticioant
1. Applicability. The provisions of this subsection
shall apply in the event sewerage collection pipelines, force
mains, and/or related facilities are constructed such that effluent
therefrom shall flow through the District Effluent Meter, and the
same have been either:
(a) constructed or caused to be constructed solely
I by the District, OR
(b) constructed by some person, firm, or entity
other than the County, and accepted by the
District as part of its collection system.
2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection A(l)
above shall be and remain the sole property of the District.
3. Operations, Maintenance and Related Matters. With
respect to any sewerage collection pipelines, force mains, and/or
related facilities as identified in subsection A ( 1 ) above, the
terms of that Contract previously entered into between the County
and the District dated July 23, 1984 shall control with regard to
the following matters:
a. Operation and maintenance thereof;
b. Rates, fees, and other charges applicable
thereto;
c. Responsibility for billings and collections
related thereto; and
d. Responsibility for administrative expenses
I regarding the same.
B. Exoansions for B~~~t o~ District-Countv Nonoarticioant
1. Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains, and/or
related facilities to be constructed such that effluent therefrom
shall not flow through the District Effluent Meter, but shall flow
otherwise into the Regional Interceptor Pipeline, and the same are
to be either:
. (a) constructed or caused constructed solely by the
District, OR
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(b) constructed by some person, firm, or entity
other than the County and the areas serviced
therefrom to be incorporated into the
are
boundaries of the District.
2. Connection Subject to County Approval. Any sewerage
collection pipeline, force mains, and/or related facilities
identified in subsection 8(1) above shall not be connected to the I
.. th ipeline or main owned
Regional Interceptor P1pel1ne or any 0 er p
i 't' by the
by the County until such connection is approved n wr1 1ng
County.
3. OWnership. Any sewerage collection pipelines, force
mains, and/or related facilities identified in subsection B(l)
above shall be and remain the sole property of the District.
4. provisions Subject to Mutual Agreement. with respect
to any sewerage collection pipelines, force mains, and/or related
facilities identified in subsection 8(1) above, it is agreed that
county and District shall collaborate, and prior to construction
of the same, agree to provisions with respect thereto regarding
the following:
(a) Metering of effluent transmitted therefrom,
(b) Operation and maintenance thereof,
(c) Rates, fees, and other charges applicable
thereto,
(d) Responsibility for billings and collections
related thereto; and
(e) Responsibility for administration expenses I
regarding the same.
C. cou~v ExoBQsions to Collection Svstem of District
l. Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains and/or
related facilities to be constructed outside the boundaries of the
District and such that effluent therefrom shall flow through the
District Effluent Meter and the same are to be either:
(a) constructed or caused to be constructed solely
by the County, or
(b) constructed by some person, firm or entity
other than the District and are to be accepted
by the County as part of its collection system.
2. Connection Subject to District Approval. Any
sewerage collection pipelines, force mains and/or related
facilities identified in subsection C(l) above shall not be
connected to the existing collection system of the District or any
system identified in subsection A(l) hereof until such connection
is approved in writing by the District.
3. OWnership. Any sewerage collection pipeline, force I
mains and/or related facilities identified in subsection C(l) above
shall be and remain the sole property of the County.
4. Provisions Subject to Mutual Agreement. With
respect to any sewerage collection pipelines, force mains and/or
related facilities identified in subsection C(l) above, it is
agreed that County and District shall collaborate, and prior to
construction of the same, agree as to provisions with respect
thereto regarding the following:
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(a) Metering of effluent transmitted therefrom,
(b) Operation and maintenance thereof,
(c) Rates, fees and other charges applicable
thereto,
(d) Responsibility for billings and collections
related thereto; and
I (e) Responsibility for administrative expenses
regarding the same.
D. Countv Exoansions in VicioJtv of District
1. Applicability. The provisions of this subsection
shall apply to sewerage collection pipelines, force mains and/or
related facilities constructed such that effluent therefrom shall
not flow through the District Effluent Meter, but shall flow
otherwise into the Regional Interceptor Pipeline, and the same has
been either:
(a) constructed or caused to be constructed solely
by the County, or
(b) constructed by some person, firm or entity
other than the District, and accepted by the
County as part of its collection system.
2. Ownership. Sewerage collection pipelines, force
mains and/or related facilities as identified in subsection D(l)
above shall be and remain the sole property of the County.
3. Operation and Maintenance. The County shall be
solely responsible for the operation and maintenance of any
I sewerage collection pipelines, force mains and/or related
facilities as identified in subsection 0(1) above.
4. Rates, Fees and Other Charges. The County shall
establish and set all rates, fees and other charges for sewer
connections and services provided from any sewerage collection
pipeline, force mains and/or related facilities as identified in
subsection D(l) above.
5. Billing and Collections. The County shall be
responsible for billing all sewer service customers served by
sewerage collection pipelines, force mains and/or related
facilities as identified in subsection D(l) above. All costs
related to billing and collection shall be paid by County.
6. Administrative Expenses. The County shall be
responsible for all administrative, legal and other costs
associated with any sewerage collection pipelines, force mains
and/or related facilities as identified in subsection D(l) above.
E. Exoansions Resultina fr~m Joint Coooeration of District
and Countv/Other. Exoansi~ns Not Identified
1. Applicability. The provisions of this subsection
I shall apply to sewerage collection pipelines, force mains and/or
related facilities constructed or caused to be constructed as a
result of a joint effort of the County and District or planned or
caused to be constructed pursuant to some other plan not identified
herein.
2. provisions Subject to Mutual Agreement. With
respect to any sewerage collection pipelines, force mains and/or
related facilities as identified in subsection E(l) above, it is
agreed that County and District shall collaborate and, prior to
construction of the same, agree as to provisions with respect
thereto regarding the following:
------..--------
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(a) Ownership thereof,
(b) Metering of effluent transmitted therefrom,
(C) Operation and maintenance thereof,
(d) Responsibility for establishment of rates, fees
and other charges applicable thereto,
(e) Responsibility for billings and collections I
related thereto, and
(f) Responsibility for administrative expenses
regarding the same.
SBCTIOR XII
Bxpansion of Regional System
A. Section Aoo1icabi1itv
The provisions of this Section shall apply in the event
one or more of the following circumstances should arise:
l. The District determines that it desires additional
wastewater treatment plant capacity such that an expansion must be
made to the Regional Treatment Facility to obtain such additional
capacity.
2. The County determines that it desires additional
wastewater treatment plant capacity such that an expansion must be
made to the Regional Treatment Facility to obtain such additional
capacity.
3. A determination is made that wastewater flow from I
the District into the Regional Interceptor Pipeline has increased
or is anticipated to increase to such extent that the Regional
Interceptor Pipeline must be upgraded, expanded, and/or enlarged
to meet the flow requirements of the District.
4. The County determines that it desires to upgrade,
expand, and/or enlarge one of the main interceptor pipelines
constructed as part of the Project.
5. The County determines that it desires to provide
wastewater treatment services to other local governmental entities
not involved with the Project.
B. Neaative Imoacts
With respect to the implementation of any expansion to
the Regional System as described in this Section, a negative impact
shall be deemed to result from the same, if it is reasonably
expected to cause:
l. Additional debt service costs to be incurred by the
local governmental entity or entities not participating therein;
or
2. A reduction or diminution in services to any or all I
the local governmental entities involved in the Project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental entity or entities not
participating therein.
C. Procedu~
In the event the County and/or the District desire to
implement an expansion as described in this Section, then the
following procedures, shall be utilized:
85
1. The County and/or the District shall cause
appropriate investigations, studies, and/or evaluations to be
conducted to determine whether or not negative impacts will result
from the desired expansion.
2. In the event a determination is made that negative
I impacts will result from the expansion, the County and/or the
District will formulate actions to be put into effect with the
implementation of the expansion which will remedy the effect of
such negative impacts.
3. The County and/or the District shall present any
proposal relative to the implementation of an expansion to the
Regional Board. Such proposal shall include such documentation as
will reasonably support its conclusions and opinions relative to
negative impacts.
4. The County and/or the District shall cooperate with
the Regional Board as said Board carries out its functions as set
forth in Section XIV of this Agreement.
5. Upon approval of the proposed expansion by the
Regional Board, the party or parties involved shall be authorized
to implement the proposed expansion.
D. Add~tional Procedure Authorized {Qr Be~t of Countv
In the event that the Regional Board does not approve an
expansion desired by the County, and/or fails to carry out its
duties with respect to making its decision regarding such expansion
I in a timely manner, then it is understood that the County may
proceed to implement an expansion if the expansion is reasonably
expected to cause no negative impacts on the local governmental
entity or entities not involved in the expansion; or, those
negative impacts reasonably expected to result from the expansion
have been or will be, upon implementation of the expansion, remedied
by the County. Such expansion as is herein authorized may be
jointly implemented by the County and another of the local
governmental entities involved in the Project. It is agreed that
any wastewater treatment plant capacity and/or any interceptor line
capacity resulting pursuant to such expansion shall be allocated
to the County and, if applicable, the other local governmental
entity involved with said expansion.
E. Additional Procedure Authorized for Benefit of District
In the event that the Regional Board does not approve an
expansion desired by the District, and/or fails to carry out its
duties with respect to making its decision regarding such expansion
in a timely manner, then it is understood that the District may
proceed to implement an expansion if the expansion is reasonably
I expected to cause no negative impacts on the local governmental
entity or entities not involved in the expansion; or, those
negative impacts reasonably expected to result from the expansion
have been or will be, upon implementation of the expansion,
remedied by the District. Such expansion as is herein authorized
may be jointly implemented by the District and another of the local
governmental entities involved in the Project.
PROVIDED, HOWEVER, that should the District determine to
proceed as provided hereunder, that it shall do so under the
following terms and conditions:
86
1. The District shall employ consulting engineers,
acceptable to and approved by County, to design the desired
expansion. Upon completion, the plans and specifications for the
expansion shall be presented to the County for review and approval.
The County shall approve such plans and specifications unless good
cause exists to disapprove the same. The County agrees to not
unreasonably withhold approval of such plans and specifications. I
2. The County, as operator of the Regional System,
shall collaborate and cooperate with the District in order to
obtain the necessary permits from the applicable federal, state
and/or local governments and/or agencies so as to proceed with
construction of the expansion.
3. The County, as operator of the Regional System, and
the District shall make provision for the joint submission of the
expansion project for bids. The contract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the District.
4. During construction it is agreed that the County
shall be authorized to inspect and observe the construction process
so as to insure the acceptable completion of the expansion.
5. All costs associated with the expansion shall be
paid by the District. Administrative costs incurred by the County
shall be paid by the District to the County upon billing by the
County. Costs of design, construction observation and other
engineering services shall be paid directly by the District to the I
engineer. In the event it is necessary for the County to enter
into contracts for the construction of the expansion (for the
benefit of the District) costs incurred pursuant to such contracts
shall be paid by the District over the course of the construction
period within ten (10) days after submission of periodic pay
estimates [as issued by the contractor(s) and/or engineer).
6. It is agreed that any wastewater treatment plant
capacity and/or any interceptor line capacity resulting pursuant
to the above described procedure shall be allocated to and owned
by the District.
7. As set forth in this proviso, the term District
shall include, if applicable, the other local governmental entity
involved with said expansion.
SBCTION XIII
Sale of Capacity Allocations in Regional System
A. $ection Applicability
The provisions of this Section shall apply in the event
one or more of the following circumstances should arise: I
1. The District determines that it desires to sell all
or a portion of its capacity allocation in the Regional System to
one or more of the other local governmental entities involved with
the Project.
2. The District determines that it desires to purchase
all or a portion of the capacity allocation in the Regional System
held by one or more of the other local governmental entities
involved with the Project.
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87
3. The County determines that it desires to sell all
or a portion of its capacity allocation in the Regional System to
one or more of the other local governmental entities involved with
the Project.
4. The County determines that it desires to purchase
I all or a portion of the capacity allocation in the Regional System
held by one or more of the other local governmental entities
involved with the Project.
B. ~ative Imoact
With respect to the purchase and/or sale of capacity
allocations in the Regional System as described in this Section,
a negative impact shall be deemed to result from a purchase and/or
sale if such purchase and/or sale is reasonably expected to cause:
1- Additional debt service costs to be incurred by the
local governmental entity or entities not parties to the purchase
and/or sale; or
2. A reduction or diminution in services to any or all
the local governmental entities involved in the Project; or
3. Additional Operations and Maintenance costs to be
incurred by the local governmental entity or entities not parties
to the purchase and/or sale.
C. froced~
In the event the County and/or the District desire to
I purchase and/or sell capacity allocations in the Regional System
as described in this Section, then the following procedures shall
be utilized:
1- The County and/or the District shall cause
appropriate investigations, studies and/or evaluations to be
conducted to determine whether or not negative impacts will result
from the purchase and/or sale.
2. In the event a determination is made that negative
impacts will result from the purchase and/or sale, the County
and/or the District will formulate actions to be put into effect
together with the purchase and/or sale which will remedy the effect
of such negative impacts.
3. The County and/or the District shall present any
proposal relative to the purchase and/or sale of capacity
allocations in the Regional System to the Regional Board. Such
proposal shall include such documentation as will reasonably
support its conclusions and opinions relative to negative impacts.
4. The County and/or the District shall cooperate with
the Regional Board as said Board carries out its functions as set
I forth in Section XIV of this Agreement.
5. Upon approval of the proposed purchase and/or sale
by the Regional Board, the parties involved shall be authorized to
complete said purchase and/or sale.
D. Additional Procedure Authorized for Benefit of County
In the event that the Regional Board does not approve a
proposal made by the County to purchase and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it is understood that the
88
County may proceed to consummate the proposed purchase and/or sale
if the purchase and/or sale is reasonably expected to cause no
negative impacts on the local governmental entity or entities not
involved in the purchase and/or sale or, those negative impacts
reasonably expected to result from the purchase and/or sale have
been or will be, upon consummation of the purchase and/or sale,
remedied by the County. I
E. Additional Procedure Authorized for Benefit of District
In the event that the Regional Board does not approve a
proposal made by the District to purchase and/or sell capacity
allocations in the Regional System, and/or fails to carry out its
duties with respect to making its decision regarding such purchase
and/or sale in a timely manner, then it is understood that the
District may proceed to consummate the proposed purchase and/or
sale if the purchase and/or sale is reasonably expected to cause
no negative impacts on the local governmental entity or entities
not involved in the purchase and/or sale or, those negative impacts
reasonably expected to result from the purchase and/or sale have
been or will be, upon consummation of the purchase and/or sale,
remedied by the Town.
PROVIDED HOWEVER, that should the District consummate a
sale of all or a portion of its capacity allocation in the Regional
System to another local governmental entity involved in the
Project, the District shall be and remain liable to the County
hereunder for the District's portion of the costs of the Regional I
System.
AND FURTHER PROVIDED, that should a purchase and/or sale
as provided hereunder cause any modification to be made to the
Regional System, then, such modification shall be completed upon
the following terms and conditions:
1. The District shall employ consulting engineers
acceptable to and approved by County, to design the desired
modification. Upon completion, the plans and specifications for
the modification shall be presented to the County for review and
approval. The County shall approve such plans and specifications
unless good cause exists to disapprove the same. The County agrees
to not unreasonably withhold approval of such plans and
specifications.
2. The County, as operator of the Regional System,
shall collaborate and cooperate with the District in order to
obtain the necessary permits from the applicable federal, state
and/or local governments and/or agencies so as to proceed with
construction of the modification.
3. The County, as operator of the Regional System, and
the District shall make provision for the joint submission of the I
modification project for bids. The contract or contracts for
construction shall thereafter be awarded according to law. The
decision as to which bid or bids to accept or any decision to rebid
the project shall be made by the District.
4. During construction it is agreed that the County
shall be authorized to inspect and observe the construction process
so as to insure the acceptable completion of the modification.
5. All costs associated with the modification shall be
paid by the District. Administrative costs incurred by the County
shall be paid by the District to the County upon billing by the 89
County. Costs of design, construction observation and other
engineering services shall be paid directly by the District to the
engineer. In the event it is necessary for the County to enter
into contracts for the construction of the modification (for the
benefit of the District) costs incurred pursuant to such contracts
shall be paid by the District over the course of the construction
I period within ten (10) days after submission of periodic pay
estimates [as issued by the contractor(s) and/or engineer].
SECTION XIV
Cape Fear Regional Was~ewa~er Board
A. ~eation
The County and the District agree to cooperate and
participate in the establishment of the Cape Fear Regional
Wastewater Board (hereinafter sometimes referred to as the
"Regional Board" ) in accordance with the provisions of this
Section. It is acknowledged that the County has entered into
Agreements with the other local governmental entities involved with
the Project and that each such Agreement contains a Section
regarding the Regional Board which is in substance identical to
this Section. It is understood that the District and the County
hereby agree that they shall abide by those provisions of this
Agreement concerning the Regional Board as the same apply to the
other local governmental entities involved with the project.
I B. fYroose of Regional Bo~
It is the desire of the local governmental entities
involved with the Project to create the Regional Board for the
following purposes:
l. To create a forum where the concerns and desires of
such entities may be freely and openly discussed so as to insure
that all entities will be made aware of the status of all aspects
of the Regional System and its operation.
2. To promote cooperation between such entities.
3. To insure that all such entities will be provided
an opportunity to make suggestions and comments relative to the
status of the Regional System and its operation.
4. To review proposals to modify the existing status
of the Regional System and its operation.
5. To review proposals to expand the Regional System
and to promote agreement and cooperation between such entities with
respect thereto.
6. To carry out and implement its duties and
I authorities Bet forth in this Agreement.
C. Membershio
Two members of the Regional Board shall be appointed by
each local governmental entity involved with the Project, one of
which shall be a member of the governing body of the entity
appointing such members. The members of the Regional Board shall
serve at the pleasure of the Board appointing them.
D. lPitiat-&oootntment
The Regional Board shall be initially appointed prior to
January 17, 1990.
_..~-
90
E. Meetings
Regular meetings of the Regional Board shall be held on
the fourth Tuesday of the first month in each calendar quarter of
the year at 7:00 o'clock p.m., and at such other times as requested
by any entity represented on said Board. The Board shall meet in
the Conference Room of the Northeast Metropolitan Water Plant
Facility located on West Duncan Street in Lillington, North I
Carolina.
F. Voting
Each entity represented on the Regional Board shall be
entitled to one vote on each issue coming before the Board and that
vote may be cast by either member of the Regional Board
representing such entity. Both members representing an entity need
not be present for that entity's full vote to be cast.
G. Officers
At the first meeting of the Regional Board each calendar
year, the Regional Board shall elect from its membership a Chairman
and a Vice-Chairman. The fact that a Board member shall be elected
to either office shall have no effect upon the voting rights of
that member or of the entity such member represents.
H. OoeratinQ Procedure~
The proceedings of the Regional Board shall be conducted
in accordance with the most recent edition of Robert's Rules of
Order, except where the provisions of this Agreement provide
otherwise. I
I. Duties of Rea i..Qng). BOlUd Reaau;U.pa Purchase/Sale of
Reaional ~v~t~~~~~tv .~~lJ~cations and ReaiQnA] Svstem
.Exl2AP s ioU!l
1. Statement of Intent. It is the intent of the local
governmental entities involved with the Project to provide, through
the Regional Board, a forum for discussion, review and approval of
any proposal to purchase and lor sell capacity allocations in the
Regional System or to expand the Regional System. In connection
therewith, the Board.sha11 not unreasonably withhold approval of
such proposal, but rather shall be required to approve the same ,
unless good cause shall be shown not to do so. Additionally, the
Board shall use its best efforts to promote cooperation and
agreement between the several entities involved with the project
with respect to such proposals.
2. Procedure. At such time as one or more of the local
governmental entities involved with the Project present a proposal
to the Board to implement an expansion as provided in Section XII
of this Agreement and/or a proposal to purchase and/or sell I
Regional System capacity allocations as provided in Section XIII
of this Agreement the Regional Board shall:
(a) Discuss and evaluate the proposal presented
and explore the possibility of formulating an agreement between
all the local governmental entities involved with the Project to
achieve a mutually beneficial result for all such entities.
(b) Discuss and evaluate the conclusions and
opinions of the proposing entity or entities with regard to
negative impacts of the proposal and, if applicable, the plans of
such proposing entity or entities to remedy negative impacts.
(c) In the event of disagreement, offer comments 91
and suggestions with regard to terms and conditions to be
implemented as part of the proposal which will remedy negative
impacts.
(d) In the event of disagreement, require the
disagreeing entity or entities or the Board members representing
the same to provide appropriate documentation and/or data to
I support its or their respective position concerning the
disagreement.
(e) Upon satisfactory determination of no negative
impacts or substantiated reasonable plans to remedy negative
impacts, approve the proposal presented.
J. DutieFl ~L~\~(,!QA,,:,J .80ard Re9ardina !,=,ta2l.ishment o{
~rcharae Amount
Prior to the time any of the local governmental entities
involved with the Project commence obtaining services from the
Regional System, the Regional Board shall set the amount of the
surcharges to be invoked pursuant to Section VIII (F) hereof. Said
surcharge amount shall thereafter be set on a yearly basis at the
first meeting of each calendar year.
K. Other Duties of Reaiona1 Board
In addition to the other duties of the Regional Board as
set forth in this Agreement, the Regional Board shall advise the
County on the various aspects of operation and maintenance of the
Regional System.
L. AdministratioU-Q! Reqional Board
I The County shall provide for the administration of the
Regional Board, and in connection therewith:
1- Designates the Director or Head of the County
Department of Public Utilities as the coordinator of the Regional
Board. In such capacity, the Director shall coordinate meetings
of the Regional Board, provide such administrative staffing as may
be required therefor and to do such other acts, in keeping with
the purposes of the Regional Board, as the Board requests.
2. Shall provide the designated meeting place for the
Board.
3. Shall provide for such administrative personnel as
may be required by the Regional Board to carry out its functions.
H. Reoorts to the Reaional Board
Reports regarding the operation of the Cape Fear Regional
Wastewater System shall be made in writing to each member of the
Board at the regular meetings. Such reports shall include
statements of revenues and expenditures, the operations status,
flow information and other pertinent data.
I SECTION XV
General Provisions
A. Successors to the Countv or t.he District
In the event of any occurrence rendering the County
and/or the District incapable of performing under this Agreement,
any successor of the County and/or the District, whether the result
of legal process, assignment, or otherwise, shall succeed to the
rights of the County and/or District hereunder. The covenants and
agreements contained in this Agreement are binding on the parties
hereto and their successors, assigns and legal representatives.
~.~. - .---..--
92
B. Reau1atory Aaencies
This Agreement is subject to such rules, regulations,
statutes and/or laws as may be applicable to such or similar
agreements in this State and the parties agree to collaborate when
necessary to obtain such permits, certifications, or the like, as
may be required to comply therewith.
C. MQgj.1ication
The provisions of this Agreement may be modified or I
altered by mutual agreement, EXCEPT with regard to Section XIV when
any modification or alteration thereto shall be agreed upon by all
governmental entities represented on said Regional Board.
PROVIDED, HOWEVER, that when applicable, prior to such modification
or alteration, approvals therefor will be obtained when necessary
from the appropriate Federal and/or State agencies. All
modifications or alterations shall be in writing, and presented to
all other entities prior to any entities' modifying their original
.
Agreements.
D. MQillications R~~1l1 1::.i.11Q U:Q1n ~ Chanae in proiect
Particioants
I
This Agreement has been entered into upon the assumption
that in addition to the County, the District and the Town of
Angier, that the Town of Lillington will participate in the
Project. In the event the Town of Lillington does not participate,
it is agreed that provisions herein referencing its participation
and provisions herein requiring modification as a result of its
nonparticipation shall be amended, modified or otherwise corrected.
E. ~ut~v to Dete~e Certain Details I
Whenever, in the course of performing the various terms
of this Agreement, it becomes necessary for the parties to make
determinations with respect to certain details not specifically
provided for herein, such as inspections, system testing or the
like, appropriate representatives of the parties may collaborate
and mutually agree upon such matters, without need for the
amendment or modification hereof.
F. ~ssianments
Unless specifically provided in this Agreement, it is
agreed that neither the County nor the District may assign,
transfer and/or convey their respective rights and/or obligations
hereunder without the express written consent of the other.
G. ~al Gove~nt Co~sioU
Where applicable, with respect to this Agreement and the
construction of the Project, the District and the County agree to
obtain the necessary approvals from the Local Government Commission
as are required thereby.
H. QIJUnances
The District covenants that prior to the commencement of I
the transmission of wastewater into the Regional Interceptor
Pipeline, it will adopt an Ordinance regulating the use of its
sewerage collection systems. Said Ordinance shall , among other
things, limit and/or prohibit (where appropriate) the discharge of
wastewater into the said sewerage collection systems where such
wastewater would, singly or by interaction with other wastewater,
cause harm or damage to, or interfere with the proper operation of
the Regional System, and/or treatment process or cause adverse
effects upon the receiving waters from the Regional Treatment
Facility.
-.,--,. ----- '"
I. Notices
Any notice required to be given hereunder by the County 93
to the District shall be made by the County in writing and
delivered to the Buies Creek-Coats Water and Sewer District of
Harnett County at the following address:
Post Office Box 759
Lillington, North Carolina 27546
Any notice required to be given hereunder by the District to
I the County shall be made by the District in writing and delivered
to the County Manager, Harnett County, at the following address:
Post Office Box 759
Lillington, N. C. 27546
J. Authority
The County and the District represent and warrant, each
to the other, the existence of all capacity, authority, resolutions
and actions necessary to execute this Agreement.
K. Duplicate 19reements
This Agreement is executed in duplicate originals, one
of which is retained by each party hereto.
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed on the day and year written.
Executed by the Buies Creek-Coats Water and Sewer District of
Harnett County this 18th day of December, 1989.
Buies Creek-Coats Water and
Sewer District of Harnett County
By~):1~
Ll . Stewart, Chairman,
Harnett County Board of
Commissioners, sitting as the
governing body of the Buies
I Creek-Coats Water and Sewer
District of Harnett County
;LT:
v~w.'{~L;&i.iY~o the
Board and of the uies Creek-
Coats Water and Sewer District
of Harnett County
Executed by the County of Harnett, this 18th day of December,
1989.
COUNTY OF HARNETT
BY ~~~.&~n
Harnett County Board of
Commissioners
ATTEST:
L~~ '1J. ~/~~4-~.r/
Vanessa W. Young, /lerk()
of the Board
NORTH CAROLINA
HARNETT COUNTY ACKNOWLEDGMENT
I, a Notary Public of the County and State aforesaid, certify
that LLOYD G. STEWART, who, being by me duly sworn, says that he
is Chairman of the Board of Commissioners of Harnett County, and
that Vanessa W. Young is Clerk of said Board, that the seal affixed
I to the foregoing and attested instrument is the seal of Harnett
County, North Carolina, and that said instrument was signed by him
as Chairman of the Board, who affixed the official seal of Harnett
County to said instrument; and that the said Lloyd G. Stewart,
Chairman of the Board of Commissioners, acknowledged said
instrument to be the act and deed of Harnett County, North
Carolina.
Witness my hand and notarial seal, this the l.B1h.- day of
December, 1989.
My Commission Bxpires: 7-22-92
94
DOCUMENT NO. 4
RBSOLWIOH AWBORIIIHG BDCWIOR 0.. AGRBBMBIIT
WID DB CO~~ 0.. JIARIIBft UGARDIRG DB
CAPB "BAR UCJIOItAL WU'RWADR 8~SDM I
WHEREAS, the Harnett County Board of Commissioners, sitting
as the governing body of the Buies Creek - Coats Water and Sewer
District of Harnett County, (hereinafter the "Board-) has reviewed
the Agreement between the Buies Creek - Coats Water and Sewer
District of Harnett County and the County of Harnett, a copy of
which is attached hereto as Exhibit "A"; and
WHEREAS, it is the desire of the Board that the Buies Creek -
Coats Water and Sewer District of Harnett County enter into said
Agreement as provided.
NOW, THEREFORE, BE IT RESOLVED by the Harnett County Board of
Commissioners, sitting as the governing body of the Buies Creek -
Coats Water and Sewer District of Harnett county, that:
1. The Buies Creek - Coats Water and Sewer
District of Harnett County shall and is hereby
authorized to enter into the Agreement between
said District and the County of Harnett, a
copy of which is attached hereto as Exhibit
-A" .
2. The appropriate officers of the District are
hereby directed to execute the originals of
said Agreement.
Duly adopted this 18th day of December, 1989 upon motion made
by Commissioner Hudson , seconded by Commissioner Smith ,
and adopted by the following vote:
Ayes 4 Noes 0 Abstained 0 Absent 1
Buies Creek - Coats Water and Sewer
District of Harnett County
~~ s!!.a&.~ ... I
By:
Harne t County Board of
Commissioners, sitting as the
governing body of the Buies
Creek - Coats Water and Sewer
At7l... District of Harnett County
'I;~ '(,LI. :;;f.u4
Vanessa W. Young, erk t~
the Board and of the Buies Creek
Water and Sewer District of
Harnett County
I