09/11/2013 - Packet Completeness Review
for Boards, Commissions
x and Committee Records
CITY OF TIGARD
Intergovernmental Water Board
Name of Board, Commission or Committee
09/11/2013
Date of Meeting
I have verified these documents are a complete copy of the official record.
Judy Lawhead
Print Name
Signa �a-e
01/07/2015
Date
Intergovernmental Water Board Agenda
SERVING TIGARD,KING CITY,DURHAM AND TIGARD WATER DISTRICT
MEETING DATE: Wednesday, September 11, 2013, 5:30 p.m.
MEETING LOCATION: Tigard Public Works Building
8777 SW Burnham Street
Tigard, OR 97223
1. Call to Order, Roll Call and Introductions
2. Approval of Minutes —July 10, 2013
Action: Motion to approve the July 10, 2013 minutes.
3. Public Comments
Call for comments from the public.
4. Water Supply Update —John Goodrich
No action required.
5. Update on King City/Tigard Draft Intergovernmental Agreement—Dennis Koellermeier
No action required.
6. Update on Negotiations with Lake Oswego Regarding Additional Capacity— Dennis
Koellermeier
No action required.
7. Briefing on Contract Awards for the Lake Oswego-Tigard Water Treatment Plant and Phase 5
Pipeline — Dennis Koellermeier
No action required.
8. Update on Land Use Board of Appeals (LUBA) and Court of Appeals Cases —
Dennis Koellermeier
No action required.
9. Discuss the Selection of a Member-At-Large - Greer Gaston
Action: Direction from the board on how it would like to fill the member-at-large position.
10. Informational Items
11. Non-Agenda Items
Call for non-agenda items from the board.
12. Next Meeting:
October 9, 2013 at 5:30 p.m.
8777 SW Burnham Street, Tigard, Oregon
INTERGOVERNMENTAL WATER BOARD AGENDA— September 11, 2013
City of Tigard 1 13125 SW Hall Blvd.,Tigard,OR 97223 1 503-718-2591 1 www.tigard-or.gov I Page 1 of 2
13. Adjournment
Action: Motion for adjournment.
Executive Session
The Intergovernmental Water Board may go into Executive Session. If an Executive Session is called to
order, the appropriate ORS citation will be announced identifying the applicable statute. All discussions
are confidential and those present may disclose nothing from the Session. Representatives of the news
media are allowed to attend Executive Sessions, as provided by ORS 192.660(4), but must not disclose
any information discussed. No Executive Session may be held for the purpose of taking any final action or
making any final decision. Executive Sessions are closed to the public.
INTERGOVERNMENTAL WATER BOARD AGENDA— September 11, 2013
City of Tigard 1 13125 SW Hall Blvd.,Tigard,OR 97223 1 503-718-2591 1 www.tigard-or.gov I Page 2 of 2
Intergovernmental Water Board JWB) Minutes
SERVING TIGARD, KING CITY,DURHAM AND TIGARD WATER DISTRICT
MEETING DATE: Wednesday,July 10, 2013 5:30 p.m.
MEETING LOCATION: Tigard Public Works Building
8777 SW Burnham Street
Tigard, OR 97223
Members Present:
Gretchen Buchner Representing the City of Tigard
Ken Henschel Representing the Tigard Water District
Keith Jehnke Representing the City of Durham
Andrew Barrett Member-At-Large
Members Absent:
Dick Winn Representing the City of King City
City of Tigard Staff Present:
Dennis Koellermeier Public Works Director
Greer Gaston IWB Recorder
1. Call to Order, Roll Call and Introductions
Commissioner Buchner called the meeting to order at 5:31 p.m.
2. Approval of Minutes —May 8, 2013
Commissioner Henschel moved to approve the May 8, 2013, minutes. Commissioner
Barrett seconded the motion. The motion passed by unanimous vote of the
commissioners present,with Commissioners Barrett, Buchner, Henschel, and Jehnke
voting yes.
3. Public Comments
There were no comments from the public.
4. Water Supply Update
Mr. Koellermeier reported:
■ Average water use for the month of June was about 6.83 million gallons per day
(mgd). This usage is 1 mgd higher when compared to the same time period last
year.
■ Tigard is also using water from its aquifer storage and recovery (ASR) wells. The
city has used 17 mg from ASR well #1 and 58 mg from ASR well #2.
Approximately 90 mg of water remains in ASR wells; this equates to a 70-day
supply.
■ Water consumption will be greater than last year.
■ The Portland Water Bureau does not anticipate any water supply issues.
5. Update on Portland Contract Dispute
Mr. Koellermeier referred to a memo in the IWB packet. The Portland Water Bureau
(PWB) has changed its interpretation of the regional water sales agreement as the
agreement pertains to summer interruptible water purchases. The new interpretation
results in higher costs to those wholesale customers purchasing this water.
Tigard did not purchase any summer interruptible this year, but has requested mediation
with the PWB to support other wholesale customers—like the Tualatin Valley Water
District and the City of Tualatin—that did intend to purchase this water.
6. Update on Ownership Percentage Adjustment with Lake Oswego
Mr. Koellermeier briefed the board on Lake Oswego's offer to allocate an additional four
million gallons (mg) of water to Tigard under the Lake Oswego Tigard Water
Partnership.
The additional water would increase Tigard's allocation from 14 to 18 million gallons per
day and would also increase Tigard's cost share in the project. Depending on growth, 18
mgd could be enough water to meet customer demand within the Tigard Water Service
Area through the year 2025 or 2030.
The Tigard City Council authorized staff to enter into negotiations with Lake Oswego
regarding the additional water.
Commissioner Henschel inquired how the additional water would affect rates. Mr.
Koellermeier said there were too many variables in play to determine how rates may be
impacted. The cost of the additional water may be eligible for system development
charge funding; this may offset rate increases to some extent. Mr. Koellermeier said the
additional water was the least expensive means to meet future water demand.
7. Briefing on Water Treatment Plant Bid
Mr. Koellermeier distributed a memo from Joel Komarek regarding construction bids to
expand the water treatment plant. The memo is on file in the I" record.
Seven bids were received ranging from $50 to $90 million. The two lowest bids were
ultimately disqualified, and the Lake Oswego City Council is slated to award the
expansion project to the third lowest bidder, Slayden Construction Group. Slayden's bid
was $3 million under the engineer's estimate.
8. Update on King City/Tigard Intergovernmental Agreement
Mr. Koellermeier reported that Tigard and King City have met twice to work on an
intergovernmental agreement. The agreement will be made available to other IWB
jurisdictions once it is in near-final form and Tigard and King City are ready to release it.
The agreement will likely be discussed at a King City council meeting.
Commissioner Henschel said the Tigard Water District felt there were advantages to
having all the IWB member jurisdictions sign one agreement. Commissioner Jehnke
concurred.
9. Informational Items
None
10. Non-Agenda Items
The board did not discuss any non-agenda items.
11. Next Meeting
August 14, 2013 at 5:30 p.m.
Public Works Auditorium, 8777 SW Burnham Street, Tigard, Oregon
Commissioner Buehner and Mr. Koellermeier reviewed possible agenda topics for
upcoming meetings:
■ The intergovernmental agreement between Tigard and King City.
■ Negotiations on additional water with Lake Oswego. This may be discussed in
executive session.
■ Water treatment plant expansion contract award.
■ National Marine Fisheries Service permitting issue.
■ Summer water supply update.
■ Oral arguments at the Land Use Board of Appeals.
■ WaterWatch case with the Court of Appeals.
■ Update on the contract dispute with the Portland Water Bureau.
12. Adjournment
At 6 p.m. Commissioner Henschel moved to adjourn the meeting. Commissioner
Jehnke seconded the motion. The meeting adjourned by unanimous vote of the
commissioners present, with Commissioners Barrett, Buehner, Henschel and Jehnke
voting yes.
d_ 4___JVJ
BueI hair neer Gaston, IWB Recorder
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Date: Date: ' �►�. Q�.1�"
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September 4, 2013
Intergovernmental Agreement
Regarding Water System Ownership and Water Service
This Intergovernmental Agreement Regarding Water System Ownership and Water
Service (Agreement) is made by and between the City of Tigard, a municipal corporation of the
State of Oregon (Tigard) and the City of King City, a municipal corporation of the State of c A
Oregon (King City).
RECITALS
vo
WHEREAS, effective July 1, 1993, the Cities of Tigard, Durham and King City withdrew the
area and water system infrastructure within their boundaries from the Tigard Water District. In
lieu of the division of Tigard Water District assets as provided by 222.540,the City of Tigard
entered into intergovernmental agreements for the delivery of water service to areas within the
then-existing District boundaries including the cities of Durham, King City and the Tigard Water
District; and,
WHEREAS, this arrangement was memorialized in three separate agreements (IWB
Agreements) between Tigard and the City of Durham, Tigard and the City of King City, and
Tigard and the Tigard Water District; and
WHEREAS, the IWB Agreements provided, among other things, for City of Tigard operation
and management of the entire water system wherever located and that all users within the Tigard
Water Service Area would obtain service at the same rates and on the same terms and conditions;
and
WHEREAS, the IWB Agreements also provided for participation by the Parties through an
Intergovernmental Water Board to make recommendations on various water-related issues to the
Tigard City Council; and
WHEREAS, the City of Tigard has provided all services under the IWB Agreements since their
effective date and the existing IWB Agreements expire on December 31, 2018. King City
desires to terminate and cancel its existing IWB Agreement with the City of Tigard prior to the
current expiration date and to replace it with this Agreement whereby the City of Tigard assumes
complete ownership and responsibility of the Water Supply System Assets within King City and
agrees to supply water to King City along with the obligations set forth herein; and
WHEREAS, entry into this Agreement by the Parties is consistent with ORS 225.020 and the
Parties' respective city charters, municipal codes, comprehensive plans and public facilities
Plans; and
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WHEREAS, pursuant to the Tigard City Charter and ORS 225.020, Tigard has the authority to
acquire, own and operate the King City water system located outside the incorporated boundaries
of Tigard and provide direct service to King City water system users; and
WHEREAS, as set forth below in the terms and conditions of this Agreement, King City desires
to transfer ownership and responsibility of the water system to Tigard and Tigard agrees to:
a) Assume ownership and full responsibility to operate, maintain and repair the King City
water system, and
b) Continue to supply water and to secure future supply as needed, and
C) Provide all water-related administration; and
WHEREAS, the parties have authority to enter into this Agreement pursuant to ORS 190.003
through 190.030, and being fully advised.
NOW, THEREFORE THE PARTIES AGREE AS FOLLOWS:
I. DEFINITIONS
1.1 "City of King City" shall mean the City of King City, an Oregon municipal corporation
(King City).
1.2 "City of Tigard" shall mean the City of Tigard, an Oregon municipal corporation
(Tigard).
1.3 "Distribution System," or"Distribution System Assets" shall mean the potable water
distribution systems of each Party providing direct service to that Party's system users through
pipelines twelve (12) inches or less in diameter.
1.4 "Intergovernmental Water Board Agreements," shall mean those three (3) separate
agreements that took effect on January 1, 1994, between Tigard and the City of Durham, Tigard
and the City of King City, and Tigard and the Tigard Water District (IWB Agreements).
1.5 "Oregon Health Authority" shall, mean the State of Oregon Health Authority (OHA).
1.6 "Party" or"Parties" shall mean any signatory entity to this Agreement or any other local
government or domestic water supply district that may join this Agreement.
1.7 "Safe Drinking Water Act," shall mean the Federal Safe Drinking Water Act of 1974 as
amended(SDWA).
1.8 "Tigard Water Services Area," shall mean the area of the Tigard Water District, as it
existed on July 1, 1993, the effective date of the IWB Agreements and as set forth on Exhibit 1,
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attached and incorporated by reference and all additions to the TWSA by annexation to either
Party, amendments to the Urban Growth Boundary or designation as Urban Reserve.
1.9 "Water Supply System" or"Water Supply System Assets" shall mean all water sources
and facilities, appurtenances, real property and personal property used in treatment, pumping,
storage and transmission of potable water within the TWSA to provide water to distribution
system.
II. EFFECTIVE DATE
2.1 The effective date of this Agreement is and shall continue in perpetuity
unless terminated as provided in Article VIII.
III. OWNERSHIP
3.1 Water Supply System Assets. In consideration of the assumption of obligations and
responsibilities by Tigard in Article IV below, King City grants, conveys, transfers and assigns
all ownership right, title and interest in any and all Water Supply System Assets that King City
owns or has any rights of whatsoever kind and wherever situated in the TWSA to Tigard and
Tigard accepts ownership AS-IS. The Water Supply System Assets are identified on Exhibit. 2,
attached hereto and incorporated by reference. King City agrees to execute all documents to
effectuate such conveyances as requested by Tigard. Upon conveyance, Tigard will own 100%
of King City's interest in the Water Supply System Assets wherever situated and King City shall
have no shared ownership or tenancy in common in any Water Supply System Assets or the
Distribution System located within King City's boundaries.
3.2 Distribution System Asset. In consideration of the assumption of obligations and
responsibilities by Tigard in Article IV below, King City grants, conveys, transfers and assigns
all ownership right, title and interest in any and all King City Distribution System Assets of
whatsoever kind and wherever situated within the incorporated area of King City to Tigard and
Tigard accepts ownership AS-IS. The Distribution System Assets are identified on Exhibit 3,
attached hereto and incorporated by reference. King City agrees to execute all documents to
effectuate such conveyances as requested by Tigard. Upon conveyance, Tigard will own 100%
of the Distribution System Assets located within King City's boundaries and King City shall
have no shared ownership or tenancy in common in any Distribution System Assets.
IV. TIGARD COVENANTS AND OBLIGATIONS
In consideration of King City's release, transfer and conveyance of assets in Article III above,
Tigard agrees to:
4.1 Water Supply. Secure and supply all water to King City at the same quality and on the
same terms, conditions and price for the same customer types and classes as exist in Tigard.
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Tigard has obtained water supply sources and will continue to develop water supply sources to
achieve reliable and redundant supplies for the future demands of King City including present
boundaries, areas within the Urban Growth Boundary that may be annexed and urban reserves.
Tigard agrees to provide water to King City so long as King City is a Party to this Agreement.
4.2 System Management. Tigard will plan, design, build, finance, operate, maintain, repair
and replace those components of the Water Supply System and the Distribution System located
within King City's boundaries as necessary for source, treatment, transmission, pumping and
storage to deliver water as necessary to King City water system users with recovery of costs
through rates so that users in King City pay their share under Section 4.9 below.
4.3 Curtailment. Tigard maintains a curtailment plan to meet shortages in water supply.
Curtailment shall be consistent and equal throughout Tigard and King City so that all users are
treated equally.
4.4 Demand Forecasting. Tigard will be responsible for demand forecasting and planning
based on population or other information provided by King City. King City will provide
information as reasonably requested by Tigard to enable Tigard to complete this task.
4.5 Regulatory Matters. Tigard will be responsible for compliance with all federal and state
statutes, rules and administrative processes related to water source and water supply and the
Distribution Systems within King City. Tigard will provide or will contract for all water quality
sampling, testing, monitoring and reporting for SDWA and OHA compliance, as well as any
other required reporting for regulatory compliance. Tigard will provide all interfaces with the
Oregon Water Resources Department and other related regulatory agencies regarding provision
of drinking water.
4.6 Cross Connection Control. Tigard maintains a cross connection and backflow prevention
1 program that meets current state rules and regulations.
4.7 Mapping. King City will provide all available maps, drawings, as-builts, AUTOCADS,
or other information to enable Tigard to develop a mapping system compatible with Tigard's
information system
4.8 Budget. Tigard's rcquested budget will be provided to King City by February 28 of each
year for review. King City may provide comments or questions to Tigard by April 15 of each
year. The Tigard City Council is the sole and final decision maker on budget and rate matters.
4.9 Rate Methodology. Tigard will be responsible for calculation of rates and charges,
including system development charges, as related to the Water Supply System. Tigard will adopt
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rates in accordance with the current edition of the American Water Works Association Principles
of Water Rates, Fees, and Charges (known as M1 standards), including any system-related debt
coverage requirements. Tigard will include in the rates such amounts it deems necessary for the
operation, maintenance, repair and replacement of the Distribution System located within King
City's boundaries. Tigard and King City users shall obtain service at the same rates and on the
same terms and conditions.
4.10 Billing. Tigard will assume all billing and collection functions, including management of
any existing agreements King City may have for meter reading and'other billing and collection
services. King City may include a newsletter to citizens to be included in customer bills so long
as Tigard does not incur additional costs beyond a typical bill. If inclusion of a newsletter or
other publication increases mail processing costs, (printing, folding, stuffing, etc.), or postage
costs, King City must pay the additional costs.
4.11 Public Relations. Tigard will be responsible for communications and public messaging
regarding water-related issues involving King City.
4.12 Council/City Staff Meetings. Tigard representatives familiar with the Distribution System
located within King City's boundaries or familiar with current issues of interest to King City will
attend King City City Council meetings and will meet with the King City city manager as
requested.
4.13 Emergency Service. Tigard will respond to water emergencies 24-hours-a-day, including
weekends and holidays. Tigard will retain records of emergency calls in accordance with Oregon
public records law. King City will forward all water emergency calls to Tigard.
4.14 Water Management and Conservation. Tigard will be responsible for all water
management and conservation planning as required by the Oregon Water Resources Department.
Tigard will also be responsible for the water master planning as required by the Oregon Health
Authority. In the course of water management and conservation planning, Tigard may perform
water audits and leak detection services in the Distribution System located within King City's
boundaries.
4.15 System Operation and Maintenance. Tigard will operate and maintain the Distribution
System located within King City's boundaries Tigard will install services and meters as needed
in accordance with Tigard's standards. Additions, replacements or repairs to the Distribution
System will be according to Tigard's standards for construction. Tigard will develop
maintenance schedules consistent with prudent water utility practices. Tigard will be responsible
for service requests and account inquiries.
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4.16 Capital Improvement. Tigard will be responsible to budget and appropriate money for
capital improvements. Capital improvements shall be made according to Tigard's Capital
Improvement Plan and timing of projects reasonably designated by Tigard. Tigard will manage
the Capital Improvement Program. All capital improvements shall be constructed according to
Tigard construction standards.
4.17 Telemetry. Tigard will manage, maintain, and upgrade or replace, as necessary, the
telemetry system. King City will cooperate when radio frequency license renewal is required, if
necessary.
4.18 Activities in King City's Right of WaX. King City will not charge Tigard any right of
way permit fees for water-related projects. Tigard will seek the appropriate permits prior to
working in King City's right of way. Tigard will make reasonable efforts to notify King City of
projects affecting King City's right of way so that King City may coordinate traffic and other
construction-related impacts.
4.19 Pay Stations. King City will designate publicly accessible location(s) for pay stations
where users can submit Tigard utility payments.
4.20 Consumer Confidence Reports. Tigard will provide consumer confidence reports to King
City users, commencing with the report due June 30, 2014.
4.21 New Development. King City shall refer all applicants who require water service to
Tigard. Tigard will review and provide comments to King City on development applications.
These comments will be provided within the timelines set in current land use statutes. Tigard
will provide the review, approval of engineering plans, inspections and final acceptance of
additions or modifications to the water Distribution System. The Tigard City Engineer has the
authority regarding public improvement design standards, including any variances within those
standards.
4.22 Other Matters. Tigard will perform such other functions as the Parties hereto mutually
agree in writing.
V. RIGHT OF WAY
5.1 Use and Occupancy. Tigard shall have the right to use and occupy the streets and roads
of King City where Water Supply System Assets or the Distribution System now exist or are
installed in the future.
5.2 Fee for Use of Right of Way. Tigard will pay King City a mutually-agreed fee for use of
King City rights of way for Water Supply System Assets and the Distribution System. The
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Parties agree that such payment is mutually-agreed and voluntary and that such payment cannot
be imposed on Tigard under existing law. The amount shall be set by a formula set forth on
Exhibit 5 attached hereto and incorporated by reference. Exhibit 5 may be periodically revised
by mutual agreement every five (5) years but will not at any time exceed % of revenues
collected by Tigard from King City users.
VI. ANNEXATION
6.1 Service to Annexed Areas. Tigard has planned for and will provide water service
according to anticipated densities under the applicable comprehensive plan and zoning codes of
Tigard and King City. Tigard will also serve areas annexed to King City, areas added to the
Urban Growth Boundary and any designated Urban Reserves where King City will ultimately be
required to provide water service. Service will only be provided on annexation to King City or
Tigard, unless the health hazard annexation statutory process compels Tigard to provide water
service to the subject property(ies).
VIII. WITHDRAWAL AND TERMINATION
7.1 Voluntary Withdrawal. If King City elects, King City may voluntarily withdraw from
this Agreement upon at least one (1) year prior written notice. Withdrawal will occur on the next
July 1St being at least 12 months from the date of notice. Tigard will transfer back to King City
the Distribution System Assets. Master meters will be installed at all connection points to the
Distribution System located within King City's boundaries. Master meters will be owned by
Tigard but installed at King City expense. If bonds or indebtedness have been incurred against
the Water Supply System Assets or Distribution System Assets, withdrawal cannot occur until
the debts have been paid or satisfactory arrangements to Tigard have been made for payment of
the proportionate share of debt through a wholesale contract with Tigard where the calculated
rate contains a debt service component. The most current edition of the American Water Works
Association Principles of Water Rates, Fees, and Charges (known as M 1 standards) will be
used to determine wholesale rates.
7.2 Material Breach. In consideration of the conveyance of all right, title and interest to the
Water Supply System Assets to Tigard in Exhibit 2, Tigard agrees to provide water service to
King City. King City may withdraw for material breach of this Agreement and upon one year
written notice. Termination and withdrawal shall be effective on the date specified in notice,
unless the Parties agree otherwise in writing.
7.3 Notice and Opportunity to Cure. Subject to Article VIII, if Tigard materially breaches
the Agreement and fails to reasonably commence cure of the default, following a 60day notice
by King City, King City may give notice of termination and withdrawal. King City may elect to
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re-acquire only those Distribution System Assets located within King City's boundaries. If
bonds or indebtedness have been incurred against the Water Supply System Assets or
Distribution System Assets, withdrawal cannot occur until the debts have been paid or
satisfactory arrangements to Tigard have been made for payment of the proportionate share of
debt through a wholesale contract with Tigard where the calculated rate contains a debt service
component.
7.4 Water Supply System Assets. Recognizing the conveyance to Tigard under Section 3.1,
King City shall have no right to obtain or re-acquire ownership in any Water Supply System
Asset wherever located. King City shall not re-acquire any Distribution System Assets owned
by Tigard that serve Tigard users within or outside King City's boundaries.
7.5 Source. If King City terminates the Agreement and re-acquires the Distribution System,
King City must negotiate a wholesale water purchase contract with Tigard or obtain its own
source. If King City negotiates wholesale purchase contract with Tigard, then billings will be
based on water through master meters according to the terms of the contract. The cost of the
master meter, installation thereof, and master meter operations, maintenance repair and
replacement will be included in the rate. The proportionate cost of debts under Sections 7.1 or
7.3 will also be included in the rate.
7.6 Cross Connections. If King City obtains water from another source, then in addition to
the master meters at connection points, Tigard approved backflow prevention devices must be
installed at the expense of King City, unless, in Tigard's sole discretion, it waives this
requirement.
7.7 No Further Obligations. Following withdrawal and/or termination, King City shall be
solely responsible for all aspects of the Distribution System located within King City's
boundaries. Tigard shall have no further responsibility for supply and shall be completely
released from further obligations under this Agreement, known or unknown.
VIII. DISPUTE RESOLUTION
1.1 The Parties hereby agree that resolution of any and all disputes arising out of the terms of
this Agreement or interpretation thereof shall follow the steps as set forth hereunder. Nothing
shall prevent the disputing Parties from waiving any of the steps by mutual consent.
1.2 Dispute Resolution Steps.
Step One (Negotiation):
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A Party who has a dispute will give written notice (Dispute Notice) to the other Party
setting forth the reasons for such dispute. Within ten (10) calendar days following the Dispute
Notice, each Party will designate an authorized representative to negotiate on behalf of the Party
he/she represents and attempt to negotiate a proposed resolution. If the representatives negotiate
a proposed resolution within ninety(90) days of the Dispute Notice, the representatives shall
reduce the resolution to writing and submit the same for approval by the King City and Tigard
city managers, subject to approval by the governing bodies if necessary. A resolution so
approved shall be binding. If the proposed resolution is not approved within sixty(60) days, the
Parties shall proceed to Step Two.
Step Two (Mediation):
If the dispute cannot be resolved within the timeframe outlined in Step One, the Parties
shall submit the matter to non-binding mediation. The Parties shall attempt to agree on a
mediator. If they cannot agree, within thirty(30) days (or one hundred and ninety days 190 days
of the Dispute Notice), the Parties will select a mediator through the Rules of the American
Arbitration Association's Mediation Service or such other neutral service as the Parties may
agree upon.
Step Three (Legal Action):
If the parties cannot agree on a mediator or if mediation is unsuccessful after two hundred
and fifty(250) days from the date of Dispute Notice, a Party may initiate litigation in the Circuit
Court of the State of Oregon for Washington County and may seek all available remedies. Each
Party shall bear its own legal and expert witness fees at all stages of the dispute resolution
process, including at trial or on any appeals.
IX. INDEMNITY AND INSURANCE
9.1 Mutual Indemnity. Subject to the Constitution and laws of the State of Oregon and the
damage limitations of ORS 30.260 to 30.300, each Party shall defend, indemnify, and hold each
other harmless from and against any and all claims, demands, suits, actions,judgments,
recoveries, liabilities, damages,penalties, costs and expenses, including but not limited to
reasonable attorneys' fees resulting from damage to property or bodily injury, including death, to
the extent caused by a Party's breach of this Agreement or the negligent actions or omissions of
that Party, or its employees, servants, agents, or officers elected or appointed. The
indemnification obligation provided in this section shall survive any withdrawal from, or any
expiration or termination of this Agreement for the duration of any applicable statute of
limitations.
9.2 Tigard Indemnity. Tigard agrees to hold harmless and save King City from any and all
obligations and claims arising out of the IWB Agreement between Tigard and King City and
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those similar agreements between Tigard and the City of Durham and Tigard and the Tigard
Water District.
9.3 Insurance. If Tigard hires a consultant or contractor to work on any portion of the Water
Supply System located within King City's boundaries, the contract documents shall require that
consultant/contractor obtain, prior to beginning any work, and maintain in full force and effect
for the term of the contract, at consultant's/contractor's expense, comprehensive general liability,
to include bodily injury and property damage on a combined single limit per occurrence and
aggregate basis; automobile liability with a combined single limit coverage to include bodily
injury and property damage; and other insurance appropriate to the work to be performed in
amounts not less than what Tigard would typically require for similar work. The named insureds
on any policies shall be the consultant/contractor, Tigard and King City. Consultant/contractor
shall name Tigard and King City, their elected and appointed officials, officers, agents,
employees and volunteers as additional insureds. The policies shall be primary to and non-
contributory with any insurance or self-insurance carried by Tigard or King City, and shall be
issued by a company authorized to do business in the State of Oregon. The consultant/contractor
shall provide Tigard written notice within thirty(30) days of cancellation or material
modification of the insurance contract at the addresses listed below. Consultant/contractor shall
provide certificates of insurance and additional insured policy endorsement to Tigard prior to
commencement of any work. If requested, complete copies of insurance policies shall be
provided to Tigard and King City. Consultant/contractor shall be financially responsible for all
pertinent deductibles, self-insured retention and/or self-insurance used to satisfy these
requirements.
X. GENERAL PROVISIONS
10.1 Amendments. Any Party may request changes to this Agreement. Amendments to this
Agreement must be proposed in writing and approved by a vote of the governing body of each
Party.
10.2 Access to Records. To the extent permitted by law, all records, accounts and documents
relating to matters covered by this Agreement shall be subject to inspection, copying, review or
audit by any requesting Party. Upon reasonable notice, during normal working hours, each Party
shall provide the other Party with access to its facilities for copying said records at the requesting
Party's expense.
10.3 Public Records.
a) Tigard and King City will comply all public records laws. A public records
request will be reviewed to identify possible disclosure exemptions prior to
DRAFT for Distribution to 1 WB Jurisdictions
September 4, 2013
disclosure of the record.
10.4 Confidential Information. If a Party considers any portion of a record it provides under
this Agreement, whether in electronic or hard copy form, to be protected from disclosure under
law, the Party shall clearly identify any specific information that it claims to be "Confidential."
A Party receiving a request for a record marked as Confidential shall notify the other Party of the
request and the date that such record will be released to the requestor unless another Party
obtains a court order to enjoin that disclosure. If another Party fails to timely obtain a court
order enjoining disclosure, the receiving Party will release the requested information on the date
specified. No Party shall be liable for any records that the Party releases in compliance with this
section or in compliance with an order of a court of competent jurisdiction.
10.5 Agreement Complete. This Agreement is a complete expression of the terms herein and
any oral or written representations or understandings not incorporated herein are excluded.
10.6 Time of Essence. Time is of the essence in the performance of the provisions of this
Agreement.
10.7 Waiver. No term or provision of this Agreement shall be deemed waived and no breach
excluded unless such waiver or consent shall be in writing and signed by the Party claimed to
have waived or consented.
10.8 Subsequent Breach. Waiver of any default shall not be deemed a waiver of any
subsequent default. Waiver of breach of any provision of this Agreement shall not be deemed to
be a waiver of any other or subsequent breach and shall not be construed to be a modification of
the terms of the Agreement unless stated to be such through written approval of all Parties.
10.9 Rights Reserved. Except as specifically provided herein, each Party retains all rights and
claims that may exist now or in the future against another Party.
10.10 Notice. Any notice shall be in writing and shall be addressed to the person designated
below. Any notice may be given by certified mail, overnight delivery, facsimile, or personal
delivery. Notice is deemed given when delivered. Email may be used for notice that does not
allege a breach or dispute under this Agreement. The following contact information shall apply
until amended in writing by a Party providing new contact information to each other Party.
King City
Name: City Manager
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September 4, 2013
Address: 16580 SW 85th Avenue, Tigard, Oregon 97224
Email:
Telephone: 503-547-8150
Fax:
Tigard
Name: City Manager
Address: 13125 SW Hall Boulevard, Tigard, Oregon 97223
Email:
Telephone: 503-639-4171
Fax:
10.11 Partial Invalidity. If any of the provisions of this Agreement are held to be invalid, illegal
or unenforceable, the remaining provisions shall remain in full force and effect. If the
invalidated section is essential to the benefit of the bargain, the Parties will in good faith
negotiate a replacement provision to make the Parties whole to the greatest extent possible.
10.12 Assignment. No Party may sell or assign any of its rights or benefits under this
Agreement without approval of the governing bodies of each Party.
CITY OF KING CITY CITY OF TIGARD
By: By:
ATTEST: ATTEST:
City Recorder City Recorder
4817-8350-3124,v. 1-9620-9684,v. 1-5299-1252,v. 1
Agenda Item No.:
IWB Meeting Date: 11 X013
`` City of Tigard
Memorandum
=
To: Intergovernmental Water Board Commissioners
From: Office Manager Greer Gaston
Re: Term Expirations & Selection of a Member-At-Large
Date: September 4, 2013
Staff is seeking direction as to how the commissioners would like to fill the member-at-large
position.
Commissioner Barrett serves as the board's member-at-large, and his term expires on
December 31, 2013. The member-at-large is selected by a majority vote of the other
members. The board has wide discretion over how it selects the member-at-large. Options
range from simply appointing someone to conducting an extensive recruitment, application
and interview process.
There are no term limits for board positions; commissioners may be appointed to successive
terms.
As an aside, Commissioner Jehnke's position also expires on December 31, 2013. I have
contacted Durham City Administrator Roland Signett regarding an appointee for the next
two-year term.
Intergovernmental Water Board JWB) Minutes
SERVING TIGARD,KING CITY,DURHAM AND TIGARD WATER DISTRICT
MEETING DATE: Wednesday, September 11, 2013, 5:30 p.m.
MEETING LOCATION: Tigard Public Works Building
8777 SW Burnham Street
Tigard, OR 97223
Members Present:
Gretchen Buchner Representing the City of Tigard
Tom Fergusson Alternate representing the Tigard Water District
Keith Jehnke Representing the City of Durham
David Newham Representing the City of King City
Andrew Barrett Member-At-Large
Members Absent:
Ken Henschel Representing the Tigard Water District
City of Tigard Staff Present:
Dennis Koellermeier Public Works Director
John Goodrich Utility Division Manager
Greer Gaston IWB Recorder
Visitors:
David Wells City Manager City of King City
1. Call to Order, Roll Call and Introductions
Commissioner Buchner called the meeting to order at 5:31 p.m.
2. Approval of Minutes —July 10, 2013
Commissioner Jehnke moved to approve the July 10, 2013, minutes. Commissioner
Barrett seconded the motion. The motion passed by a majority vote of the
commissioners present, with Commissioners Barrett, Buchner and Jehnke voting yes.
Commissioners Fergusson and Newham abstained.
3. Public Comments
There were no comments from the public.
4. Water Supply Update
Mr. Goodrich reported:
• Average water use for the month of August was about 8.5 million gallons per day
(mgd). This usage is comparable to the same time period last year. Demand
peaked on August 5 at 10.2 mgd.
• 62 million gallons (mg) of native ground water were pumped from aquifer
storage and recovery (ASR) well 1 this summer.
• 90 mg remains in ASR well 2 from last year.
• Approximately 68 mg of water remains in ASR wells; this equates to a 32-day
supply.
Mr. Koellermeier recognized new board member Commissioner Newham and alternate
Tigard Water District member Tom Fergusson.
5. Update on King City/Tigard Draft Intergovernmental Agreement
Mr. Koellermeier and King City City Manager David Wells announced the draft
agreement (KC Agreement) would be placed on future City Council agendas in Tigard
and King City.
Commissioner Fergusson stated the Tigard Water District (TWD) voted in support of a
single agreement for all jurisdictions served by Tigard.
Mr. Koellermeier said that once Tigard and King City are satisfied with the KC
Agreement, other I" member jurisdictions could decide if they wanted to be included
in that agreement.
6. Update on Negotiations with Lake Oswego Regarding Additional Capacity
Mr. Koellermeier briefed the board on Lake Oswego's offer to allocate additional water
to Tigard under the Lake Oswego-Tigard Water Partnership.
Over the past six to eight months, representatives from Tigard and Lake Oswego have
discussed shifting an additional 4 mgd of water capacity from Lake Oswego to Tigard. A
shift in capacity would also increase Tigard's cost share in the project. Formal
negotiations are now underway regarding the shift, and the tone of those negotiations
has been positive. It will be at least a month before there is more to report.
Commissioner Buchner reported on the activities of the Oversight Committee. Financial
reports show projects are on budget. Bids have come in below initial cost estimates.
Overall partnership projects are going well.
7. Briefing on Contract Awards for the Lake Oswego-Tigard Water Treatment Plant
and Phase 5 Pipeline
Mr. Koellermeier reported partnership projects will result in seven different construction
contracts. Three contracts were awarded and the remaining four should be awarded over
the next six months. Bids have come in consistently come in below initial cost estimates.
8. Update on Land Use Board of Appeals (LUBA) and Court of Appeals Cases
Mr. Koellermeier said the Land Use Board of Appeals was considering whether it would
allow new testimony as was requested by Stop Tigard Oswego Project, LLC. The request
has been pending for three weeks, and the time clock for calculating deadlines is on
pause until a decision is made.
Mr. Koellermeier said he was waiting for the WaterWatch Court of Appeals case to be
added to the docket; it may be scheduled in November.
9. Discuss the Selection of a Member-At-Large
Ms. Gaston provided a brief explanation on the selection process for the member—at-
large position. The options ranged from an extensive recruitment process to appointing
someone through a nomination process.
The board preferred the nomination process because the commissioners wanted to
appoint someone who had some knowledge of water systems, etc.
Mr. Koellermeier said Tigard staff would proceed with the nomination process.
Note:Following the meeting,, staff and two commissioners identified threepotential nominees.
10. Informational Items
Commissioner Buehner gave a brief update on the Willamette River Water Coalition
(WRWC).
• The current members are Tigard, Tualatin, Sherwood and Tualatin Valley Water
District (I`VWD).
• Hillsboro and Wilsonville are not current members, but are interested in joining.
• The coalition will need to rewrite/update the current intergovernmental
agreement prior to bringing on new members.
In conjunction with WRWC discussions about the Willamette River, Commissioner
Buehner suggested that a presentation on the Sherwood water option be placed on an
agenda in early 2014.
11. Non-Agenda Items
The board did not discuss any non-agenda items.
12. Next Meeting
October 9, 2013, at 5:30 p.m.
Public Works Auditorium, 8777 SW Burnham Street, Tigard, Oregon
13. Adjournment
At 6:06 p.m. Commissioner Newham moved to adjourn the meeting. Commissioner
Barrett seconded the motion. The meeting adjourned by unanimous vote of the
commissioners present with Commissioners Barrett, Buehner, Fergusson,Jehnke and
Newham voting yes.
'.�
Andrew Barrett, IWB Vice-Chair Greer Gaston, IWB Recorder
Date: /o Date: M