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02/17/2010 - Packet Completeness Review _ for Boards, Commissions and Committee Records CITY OF TIGARD Intergovernmental Water Board Name of Board, Commission or Committee o Date of Me ting To the best of my knowledge this is the complete meeting packet. I was not the meeting organizer nor did I attend the meeting;I am simply the employee preparing the paper record for archiving. This record came from Greer Gaston's office in the Public Works Building. Kristie Peerman Print Name Signature /2, 13 Date Intergovernmental Water Board — Agenda SERVING TIGARD, KING CITY,DURHAM AND THE UNINCORPORATED AREA MEETING DATE: Wednesday, February 17, 2010, 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 Call the meeting to order, staff to conduct roll call. 2. Approval of Minutes —January 13, 2010 Action: Motion to approve the January 13, 2010 minutes. 3. Public Comments Call for comments from the public. 4. Elect the Member at-Large Position— Commissioner Carroll Vote for one of the Member at-Large position candidates. - Paul Aronson - Steve Huynh - Jill Rosenberg - Michael Stone - Gary Strealy 5. Credit for Leak Adjustment —Commissioner Carroll a. Autumn Hill Homeowners Association b. Gretchen Downey 6. Water Supply Update -John Goodrich 7. Permit Amendment for Ground Water Registration Modification—John Goodrich Modification for changing diversion points 8. Informational Items • Update from Commissioner Buehner on Lake Oswego/City of Tigard Oversight Committee activities. • Tigard Water District Board Voting Requirement 9. Non-Agenda Items Call for non-agenda items from the Board. INTERGOVERNMENTAL WATER BOARD AGENDA—JANUARY 13, 2010 City of Tigard 1 13125 SW Hall Blvd.,Tigard,OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 1 oft 10. Presentation of Draft 1993 Intergovernmental Agreements between Durham and the City of Tigard, King City and the City of Tigard, and the Tigard Water District and the City of Tigard - Commissioner Scheiderich Action: No action required. 11. Future Agenda Items Schedule Date Item 3/10/10 Water Rate Study Consultant Project Introduction 4/20/10 Joint Council/IWB Workshop Meeting. Consultant Presentation on Water Rate Study Findings 5/18/10 Joint Council/IWB Workshop Meeting. Consultant Presentation on Final Recommendations on Water Rate Study. To Be Announced Consider an Anchor Easement with PGE Company on the Public Works Building Property To Be Announced Additional Tenancy in Common Agreements for Properties within the Tigard Water Service Area. To Be Announced Approve Water System Master Plan To Be Announced Willamette River Water Coalition 12. Next Meeting: ■March 10, 2010 at 5:30 p.m. Tigard Public Works Building, 8777 SW Burnham Street, Tigard, Oregon 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-JANUARY 13, 2010 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 2 of2 Intergovernmental Water Board (IWB) Meeting Minutes February 17, 2010 Tigard Public Works Building 8777 SW Burnham Street Tigard, OR 97223 Members Present: Gretchen Buehner Representing the City of Tigard Patrick Carroll Representing the City of Durham Ken Henschel Representing the Tigard Water District Dick Winn Representing the City of King City Bill Scheiderich Member At-Large Members Absent: None Staff Present: Public Works Director Dennis Koellermeier Utility Division Manager John Goodrich IWB Recorder Kathy Mollusky 1. Call to Order, Roll Call and Introductions Commissioner Carroll called the meeting to order at 5:34 p.m. 2. Approval of Minutes—January 13, 2010 Commissioner Buehner motioned to approve the January 13, 2010 minutes; Commissioner Winn seconded the motion. The minutes were approved by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. 3. Public Comments: None 4. Elect the Member At-Large Position Commissioner Carroll asked for nominations for the member at-large position. Commissioner Winn nominated Michael Stone. Commissioner Carroll seconded. The nomination was approved by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. Commissioner Henschel requested staff send a letter to all the applicants thanking them for their interest. 5. Credit for Leak Adjustment Mr. Goodrich explained the credit for leak adjustment requests for Autumn Hill Homeowners Association and Gretchen Downey. Commissioner Carroll asked if there were any objections. Hearing none, Commissioner Carroll moved to approve both credits for leak adjustment. The credits for the water leaks Intergovernmental Water Board Minutes February 17,2010 1 were approved by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. 6. Water Supply Update • Mr. Goodrich reported that water demand is currently 4.3 million gallons per day (mgd). We have injected 21 million gallons of water into Aquifer Storage and Recovery(ASR) 1. This is about 20% to the goal of 100 million gallons of water; we have until May to reach the goal. ASR 2 has reached the goal of 160 million gallons of water. • Commissioner Carroll inquired if it was possible to fill both ASR wells at the same time and if it would cost more. Both ASR wells can be injected at the same time and the cost is the same. 7. Permit Amendment for Groundwater Registration • Mr. Goodrich supplied groundwater modification information at the last meeting. The IWB Board wanted more information, for instance, if the modifications could be done under a joint tenancy agreement. The Oregon Water Resources Department (OWRD) needs an affidavit of consent from TWD, the name holder. OWRD provided a new application sheet for all four signatures. Mr. Goodrich provided a copy of the actual modification of the ground water modification for anyone who wanted to view it. • The City is asking for a widening of the diversion points, of where water can be drawn out of the ground. These water rights will have to be adjudicated in the future. Currently, OWRD is treating them as unpermitted water rights. • Mr. Goodrich met with the TWD, February 9, to provide them with information regarding these water rights and to answer any questions. • Mr. Goodrich has the permit amendment application for signatures. The IWB Board needs to decide if they are comfortable signing or if they have to bring to each individual council. TWD is not comfortable signing without their attorney's approval. • Commissioner Carroll inquired as to how we are able to withdraw water from the ground if we have no water rights. Mr. Koellermeier explained the process. First, the hole is dug, then you have to run the well and show beneficial use -what areas it will serve, then the state issues water rights. Tigard is in a critical groundwater zone area. At this time, no one else can apply for water rights in our area. Municipal water rights are different, as they do not go with property. Groundwater registrations are different because they were issued before the permit and certificate process was law. • The Lake Oswego water rights stay in Lake Oswego's name. They commit so much water to Tigard. Tigard is in the area of beneficial use. • Mr. Koellermeier clarified that the intent of the IWB is that groundwater rights are viewed as system assets in the IGA. We still have to do work to modify with OWRD. The reassignment will be done in joint tenancy. 8. Informational Items a. Update from Commissioner Buehner on Lake Oswego/City of Tigard Oversight Committee activities. • Commissioner Buehner requested that the FY 10-11 budget be submitted soon so it could be available for the committee budget meetings. Tigard's goal is to bring the City water budget, which will include Lake Oswego cost, to the IWB in March. • The committee received a presentation on the public information outreach program. Part of the program is a video on the website. • The Lake Oswego/Tigard oversight committee is working to set up a citizen group. One or two citizens, in addition to one or two members of the IWB, should be our committee. Intergovernmental Water Board Minutes February 17,2010 2 • Commissioner Buehner met with the group running the outreach program to talk about what happened with the Willamette project. This could help with planning for the outreach program. b. Tigard Water District Board Voting Requirements • This item was not addressed during the meeting. 9. Non-Agenda Items • The IWB was invited to the Clackamas River Consortium meeting March 3. It is an update on the watershed and how it is being managed on the Clackamas River. • Mr. Koellermeier recommends we find two citizens who are not knowledgeable about water business and a couple of IWB members. The goal is that we send four members to the sounding board to help validate the treatment option process. The IWB Board should appoint two members. The Board recommended Commissioner Henschel and Commissioner Stone. • Commissioner Winn reported on the West Bull Mountain Technical Advisory Committee meeting. It would cost Tualatin Valley $25 million to serve Areas 63 and 66; it would cost Tigard $8 million. Washington County is spending a lot of money on planning. They are going to make it an ordinance so it has weight. Metro council, no matter what the county does, must approve the plan. There are two issues - transportation and water issues. Tigard has planned for the area, except for the urban reserve piece. 10. Discussion of Draft 1993 Intergovernmental Agreements between Durham and the City of Tigard, King City and the City of Tigard, and the Tigard Water District and the City of Tigard — Commissioner Scheiderich • Page 1, Section 1A— Commissioner Scheiderich will put system assets definition in agreement. • Page 2, Section 1 C - System revenues are to be disbursed annually. • Page 3, Section 3 - A Party notified that a position is vacant because someone is not showing up shall promptly appoint a replacement. • Page 5, Section 7A— This is proposed language. The Parties have equitable shares. Tigard shall issue bonds in its name and will let the issuer know the other members have ownership shares. • Page 6, Section 7D - If anything is sold, Tigard will keep the revenue in the Water Capital Improvement Fund, not the general fund. Commissioner Scheiderich will remove the word "trust" for clarification, • Page 6, Section 7F— Each party shall be entitled to dispose of its percentage of annual revenue collected from customers within that Party's boundary. Commissioner Henschel would like "by written direction" (third line) deleted. • Page 6, Section 7G —Added whether or not the meeting is related to the water system, the IWB members may use the meeting space. • Page 7, Section 8A— Commissioner Scheiderich added a note to add provisions for assumption of debt. This relates to what happens when a city withdraws territory from the district and the district has debt. The area withdrawn must pay the debt either up front or over so many years. • Page 7, Section 8B —This makes an exception for 7F. All revenue generated is pledged for use for the water system except the percentage mentioned in 7F. • Page 7, Section 8D— Mr. Koellermeier will get the date of the lease to Commissioner Scheiderich to put in the IGA. Intergovernmental Water Board Minutes February 17,2010 3 • Page 8, Section 10 — If there are any changes in the service area, the Parties agree in good faith to execute any documents. • Page 9,Section 14 - Multiple counterparts mean we can have separate signature pages. The effective date will be when Tigard signs or when everyone signs. Commissioner Scheiderich will put as an issue. • Next month will be Commissioner Carroll's last IWB meeting. The new appointee will begin in May. Commissioner Scheiderich will remain as Durham city attorney, so he will not be out of the picture. • Commissioner Winn asked the City of Tigard to run the IGA through their legal before the other cities. After the City of Tigard completes their review, then the TWD needs to run it by their legal. After TWD finishes, the rest of the IWB members will discuss the issues. Issues Remaining: • Lake Oswego system assets - Commissioner Carroll wants it stated that what we are building is a system asset and everyone has a share. Look at both agreements and define as system asset wherever located. Commissioner Scheiderich could define in the agreement that if purchases are made with water system revenue, it is a system asset and all IWB members have a percentage ownership in it wherever located. • Page 6, Section 7F— Commissioner Henschel wants the percentage changed. • Page 9, Section 14 - Commissioner Scheiderich — is the effective date when signed by Tigard or when everyone signs? 11. Future Agenda Items • The Water Rate Study will not be done next month. 12. Next Meeting: ■ March 10, 2010 at 5:30 p.m. Tigard Public Works Building, 8777 SW Burnham Street, Tigard, Oregon 13. Adjournment At 7:05 p.m., Commissioner Winn motioned to adjourn the meeting; Commissioner Buehner seconded the motion. The meeting was adjourned by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. IWB Chair Kathy Mollusky, IWB R order Date: U Intergovernmental Water Board Minutes February 17,2010 4 Agenda Item No.: IWB Meeting Date: ebrUcw, Intergovernmental Water Board (IWB) Meeting Minutes January 13, 2010 Tigard Public Works Building 8777 SW Burnham Street Tigard, OR 97223 Members Present: Gretchen Buehner Representing the City of Tigard Patrick Carroll Representing the City of Durham Ken Henschel Representing the Tigard Water District Dick Winn Representing the City of King City Bill Scheiderich Member At-Large Members Absent: None Staff Present: Public Works Director Dennis Koellermeier Utility Division Manager John Goodrich IWB Recorder Kathy Mollusky 1. Call to Order, Roll Call and Introductions Commissioner Carroll called the meeting to order at 5:27 p.m. 2. Approval of Minutes — December 9, 2009 Commissioner Buehner motioned to approve the December 9, 2009 minutes; Commissioner Winn seconded the motion with changes as noted. The minutes were approved, as amended, by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. 3. Public Comments: None 4. Member-at-Large Position Candidates Paul Aronson, Jill Rosenberg, Michael Stone, and Gary Strealy each had five minutes to address the board as to why they are interested in the member-at-large position and ask any questions of the current Board members. Steve Huynh, another candidate, was not in attendance. 5. Water Supply Update • Mr. Goodrich reported that water demand is currently 4 million gallons per day (mgd). Aquifer storage and Recovery (ASR) 2 injection is at 1,5 mgd. The injection is ending this week because we have reached capacity, 160 million gallons (mg). Tigard has a total of 260 mg of water in storage, or 107 days supply at the current rate of consumption, at ASR 2. • The City is switching over to ASR 1 which has been operating as a native groundwater well for the last year and a half. Utilizing native groundwater is cheaper than purchasing Intergovernmental Water Board Minutes January 13,2010 1 water. It does not have to be pumped in and out. The target goal for ASR 1 is 100 mg. Eight hundred gpm will be injected into ASR 1 which translates to around one mgd. • The native groundwater has been tested, there are no health hazards. There is a change in hardness noticed by citizens closest to the well. • There are three wells in operation. One that stores native groundwater and two ASR wells. ASR 3 (the fourth well) will be designed starting in July. • Currently, the ASR wells are not a primary water source. The ASRs are designed to eventually be used as a primary source of water for us, not just a peak use or emergency supply. When operational with Lake Oswego, we will not have peaking costs like those that we have now. Tigard will be an owner receiving water at operation costs. • No requirement for fire suppression in Oregon. OAR states must have certain amount of storage capacity. The City of Tigard (Tigard) is storage rich. We currently have two to three days of storage above ground, not counting ASR. • The 550' pump station is the main pump station that moves water from the 10-million water reservoir on Bull Mountain Road to higher elevations. It pumps water to two different elevations; it will be half of our water supply. It will cost $4.8 million to build. The money is coming from an American Recovery and Reinvestment Act (ARRA) grant we won. Half the grant is "forgivable loan" money, half of it is a low interest loan that is subsidized down to 1% or so. The money budgeted to use on this project is now going to pay off operating the Lake Oswego project for one year. Very few municipalities were able to tap into this fund money. 6. Motion to Withdrawal from the Joint Water Commission Mr. Koellermeier stated the process of withdrawing from the Joint Water Commission (JWC) is concluded. A requirement of being a member of the JWC is investing in the Haag Lake project, so we withdrew. The previous $134,000 JWC dues paid out of water capital improvement funds for JWC real estate holdings will go back into the fund. Commissioner Buehner moved that the Board recommend approving Resolution 10- XX withdrawing the City of Tigard from the Joint Water Commission, Commissioner Henschel second the motion. The motion was approved by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. 7. Informational Items a. Update from Commissioner Buehner on Lake Oswego/City of Tigard Oversight Committee activities. • Commissioner Buehner reported on the joint meeting, referring to the PowerPoint presentation and oversight committee report handouts included in meeting minute files, stating a firm was hired to run the project. The Values & Principles handout may need to be updated since the relationship has changed. Commissioner Buehner would like to be informed of any changes needed. The draft environmental process will come back to committee for finalization. • Public outreach information needs to get out in front of misinformation campaign. For instance, a public health expert is needed to talk about the chemistry involved. Some groups are not interested in facts. Some groups get upset about ancillary issues like less water for fish. Experts need to be available to address those issues. • Mr. Koellermeier is concerned decisions are made based on technical experts and then a citizen group creates a political issue to stop progress. The schedule is rather aggressive; we cannot allow public misinformation to make us miss the two-year deadline. The cities are expecting legal challenges. Money is budgeted in the capital Intergovernmental Water Board Minutes January 13,2010 2 budget for the Lake Oswego partnership. The Waterwatch lawsuit, stating we cannot take any additional water out of the river, has been going on for about two years. Southfork Water Board is arguing constitutional issues. Tigard joined with Lake Oswego and North Clackamas Water Commission's legal firm, Bateman Seidel. The lawsuit hearings should occur in March. State agencies are also involved in our defense. b. Copy of the letter from the Portland Water Bureau • A copy of the letter received from the Portland Water Bureau (PWB) regarding the November 28, 2009 Boil Water Incident is enclosed in the packet. Mr. Koellermeier and Mr. Goodrich wrote a good letter. Mr. Koellermeier is in contact with the PWB Administrator. • Tigard is working on the IWB contact information procedure, the protocol of who needs what information when. Tigard will complete the communication plan in one month. c. Tigard Water District Board Voting Requirements Commissioner Henschel reported he would get back to the Board next month. 8. Non-Agenda Items • Since Commissioner Scheiderich is resigning, the IWB needs to appoint a new representative to the West Bull Mountain Technical Advisory Committee, who will need to attend the next meeting on February 11. Commissioner Buehner nominated Commissioner Winn to be the IWB representative to the West Bull Mountain Technical Advisory Committee; Commissioner Carroll seconded. The motion passed by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Scheiderich and Winn voting yes. Commissioner Henschel abstained. • Mr. Goodrich is working on modifications to rights in the Groundwater Rights book. The water rights are still in Tigard Water District's (TWD) name. An affidavit of consent is required from TWD. Water rights were not discussed in the 1994 agreement. • How would the IWB like to approach water right issues, as a system asset? Whose name should the assets be held in? Mr. Goodrich has until Feb 5`h to get consent. He is going to ask Oregon Water Resources Department (OWRD) for an extension of time. The Board considered adding discussion about water rights and water right issues in the new IGA. • Groundwater rights are generally associated with each individual well. The City is trying to change diversion points to utilize all the water rights in any well in the system. Instead of being able to only pull 400 gallons per minute (gpm) from ASR 1, and 600 gpm from ASR 2, Tigard wants to be able to pull 800 gpm at ASR 2. • The City is trying to modify the two wells located at Canterbury. The property was put into joint tenancy last year as part of the sale agreement. Water rights do not automatically transfer with ownership, it is a different process. Staff could have initiated the change when the property deed changed to a tenancy-in-common. The question is, can water rights be in a tenancy-in-common? Staff suggests the water rights be put in the City of Tigard's name and have the IGA state that it is a system asset. Commissioner Carroll feels this would be a benefit to all members as a tenancy-in- common. Commissioner Winn wants water rights to go to Tigard, rather than a tenancy- in-common agreement. • The second well, ASR 2, is located on 119`h Avenue (private drive). This property was annexed into Tigard; however, the property is still in TWD's name. This property is on Intergovernmental Water Board Minutes January13,2010 3 the list for a tenancy-in-common agreement. One property of the tenancy-in-common agreement is a claim of beneficial use which means if water rights are not used for five years, they are lost. Mr. Goodrich just went through the process of securing all the water rights through the claim of beneficial use, having to prove the City took water. • The Board does not want this issue to hold up the agreement; it will take time to complete. Commissioner Scheiderich will put a placeholder in for now. 9. Discussion of Draft 1993 Intergovernmental Agreements between Durham and the City of Tigard, King City and the City of Tigard, and the Tigard Water District and the City of Tigard — Commissioner Scheiderich The Board wanted to review the changes from last month prior to continuing with the agreement. Page 3, Paragraph 3 —The member at-large must reside in the water service area. A water service area map will be attached to the agreement. Party members appoint the member at- large. Middle of paragraph —the IWB acts on behalf of the governing body of that Party. When voting on any issue before the IWB, if they vote affirmative, it is presumed they will be recommending it to their government body; they are not binding their government body. End of paragraph — If a member has three consecutive unexcused absences from the IWB meetings, the IWB may declare a position vacant and shall notify the Party of the vacancy to fill the position. The Party members shall appoint a member at-large for the remainder of the existing term of that position when the position becomes or is declared vacant. It was suggested that a separate line is created for Party members and the member at-large position. Page 4, Paragraph 513 — States more specifically what Tigard shall provide for the IWB meetings. Page 4, Paragraph 5C -Tigard shall hold at least one public meeting with the councils and the governing bodies of the served Parties on matters relating to the water supply system. Page 4, Paragraph 6A - IWB members present and voting may advise the Tigard City Council. Page 4, Paragraph 613(1) - The IWB decision shall be final and binding when Tigard proposes to serve to another reseller. Last time it was worded that IWB could bind Tigard, that was not the intent. Page 4, Paragraph 613(2) - The IWB decision shall be final and binding when Tigard proposes to issue revenue bonds to finance capital improvements outside the service area Page 5, Paragraph 66(4) - The valuation of a Party's ownership shares shall be recalculated from time to time and upon termination. Page 5, Paragraph 7A - Each party owns equitable, undivided shares as per Section 7B. The Parties share the Lake Oswego project within the service area as shown on Exhibit A. Last sentence - The Party's shares are pledged to the repayment of any debt issued to finance further capital improvements. After the bonds are paid off, the assets revert to the TWSA. Mr. Koellermeier is not sure how to resolve the Lake Oswego project issue. The assets become part of Tigard's share of the system assets. Commissioner Carroll stated that since the Parties Intergovernmental Water Board Minutes January 13,2010 4 are paying for the Lake Oswego project, the Parties want ownership of the project. Mr. Koellermeier stated that Tigard owns the assets. It is listed as if we are purchasing real estate, that there is a deed out there. In year 21 of the Lake Oswego-Tigard agreement, Tigard will then be a partner. Commissioner Buehner suggested another section should be created for other assets (i.e., Lake Oswego and Willamette)for when the bonds are retired and these capital improvements become system assets. This is a new piece to the agreement; in the 1994 agreement, everything was paid for. Mr. Koellermeier needs to make sure the agreements work together. Page 6, Paragraph 7D - No change. Commissioner Winn would like to take the paragraph out. All money goes back to water capital improvement fund. Page 6, Paragraph 7E — Commissioner Scheiderich shall put General Accounting Standards Board before GASB. Tigard creates and maintains a list of all the assets. Certain things have to be confidential due to sabotage concerns. Also, all customer personal information is confidential. _Page 6, Paragraph 7F— The current agreement is 1%; the Parties have not agreed to 2%. Tigard shall disperse the amount to a Party after the audit, at least once per year. _Page 6, Paragraph 7G - Clarified the space shall be available to any Party for a meeting, whether or not it is related to the water system. Page 6, Paragraph 8A—The Parties will use the state law to divide assets when a city takes territory out of the district. If the Parties do not agree, it will go to court. The provisions for assumption of debt for terminating party will be added. The terminating Party may pay off the debt either in a lump sum at present value or pay every year. When a Party terminates, that is the end of their claim to revenues. Revenues are prorated up to time of termination, this is referenced in Paragraph 7F. Page 7, Paragraph 8C - Instead of dividing up assets, a terminating Party may offer to convey its ownership share of system assets to Tigard and may waive its rights to a division of assets. Page 7, Paragraph 8D - Tigard has the first right of refusal to purchase a Party's share of system assets on that Party's termination. Tigard already has the right of first refusal on this Public Works Building. Page 7, Paragraph 9A—Tigard shall operate and maintain the water system as an enterprise fund. Page 7, Paragraph 9B - Tigard makes all the water supply system supply records available to any Party for inspection and copying at reasonable notice. Page 7, Paragraph 9C - Tigard presents the proposed budget to the IWB for recommendation prior to Tigard's adoption of the budget. Tigard shall provide a copy of the year-end financial audit to any Party upon that Party's request. Page 7, Paragraph 10 - No change. Annexation is subject to Metro Code and state land use law. In case of boundary changes, the Parties agree to execute all documents in a timely manner. Intergovernmental Water Board Minutes January 13,2010 5 Island annexation is consistent with Metro law; IWB cannot say we will not serve the area. An annexation will change the ownership percentage. Tigard will serve an area if it is annexed. Page 8, Paragraphs 12 & 13 - only housekeeping changes. 9. Future Agenda Items Future agenda items were not discussed. 10. Next Meeting: ■ February 10, 2010 at 5:30 p.m. Tigard Public Works Building, 8777 SW Burnham Street, Tigard, Oregon 10. Adjournment At 7:45 p.m., Commissioner Winn motioned to adjourn the meeting; Commissioner Henschel seconded the motion. The meeting was adjourned by unanimous vote of the Commissioners present, with Commissioners Buehner, Carroll, Henschel, Scheiderich and Winn voting yes. IWB Chair Kathy Mollusky, IWB Recorder Date: Intergovernmental Water Board Minutes January 13,2010 6 Sign-in Sheet Intergovernmental Water Board Meeting Date: February 17, 2010 Name Do you wish If yes, please give your address please print to speak to the Board? John Q. Public Yes 13125 SW Hall Blvd. Tigard OR 97223 ' 01/13/2010 14:07 Received: Agenda Item No.: rjo. IWB Meeting Date: 11 ap to CREDIT FOR LEAK ADJUSTMENT The City of Tigard has a policy of issuing partial credits for leaks that are repaired in a timely q manner. The city expects leaks to be repaired within tc n days of discovery. Coedits are � based on your average usage for the same period in previous years. This average is deducted from the total consumption used during the time of the leak The excess usage is charged at the wholesale rate of water, with the differewe between wholesale and resale cost deducted from the utility account as the C cda for Leak Please describe the specific cirrurnstznces of your request e .a vt� lay e 1Af� e I �✓ c a � S S� - �1— G S t°� �-- � d r� s1� ' ✓ Cvni1- -b 0 dk Date leak found: o 1 Date leak repaired: —//0 I Accoun : O a Lf -7 —boo Location of Service: Customer Name: A� *c m n �4►I1 Uoreow evws AsS6e<</t1/()14 Mailing Address! P0 0 Y. 23 7 ltd 0k, X72? 5U3- 5253 So" address Gqj Stare Zip Phone DOCUMENTATION YOU MUST SUBMIT COPIES OF PLUMBER'S BILLS AND/OR RECEIPTS FOR PARTS,REQUIRED TO FIX THE LEAS. - --------------------------------------------------------------FI-------CE--U'--S---E-O�----------------------------------------_-------- FOA OF l d I $2,51 $2,49 $2.93 52.43 $3.13 - . 3 RES MUR COM IND IRR Markup Previous years usage: of Y . — _ #Periods used �-�5- X sem( - -(Qs Avmp Leak Period Leakccf Markup GeditAdjusuneot Total Credit:$�� Date Issued: Issued B . Received: Jan 13 2010 01:16pm 01/13/2010 14:07 NO.39e 1?02 AU6 0 3 2009 Sierra Landscape Maintenance 17681 S.Springwater Rd Oregon City,OR 97046.503-631-3516.503-793-2173 i INN TO: NW Community Management"Autumn Hill" PO Box 23099 Tigard,OR 97281 PRICE TOM DUE 3,695.09 OTY DESCRIPTION EACH TOTAL Invoke dale July 30,tonS 1 Basic mainL month of July 2,8W.00 2 81X/.00 Deas Started 07101109 1 IrNation lateral line replair on Willow top T&M 175.00 175.00 Dote Fkhhed 07131109 1 I ' ation driine re air come(of Mchtree 6 Willow 50,00 50.00 I� 1 0gation ddpllne repair m leview 35.00 35.00 pp 1 Sprinkler Yeplawd Crestlins'rotor 35.00 35.00 f nvnicr n U I 1L1_. pprov o Total Matedalsl 3,095.00 HOURS LABOR DESCRIPTION PRICE labrrpgAsrt $0.00 SILR.0 M SQ FT LABOR DESCRIPTION PRICE Mbef ewwt $0.00 TOTAL IL11 70TUMATH 3.095.00 PIENS[PAY TO A1111OT 3,095.00 TFNIO�:M11 sO I� 01i13i2010 14:07 Received: Jan 13 2010 01:16pm NO.3138 903 Sierra Landscape .Maintenance 17681 S.Springwater Rd Oregon City,OR 97045•503-631-3516-503-793-217^F _W Q HW O 1 M B111 TO: NW Community Management"Autumn Hill" PO Box 23D99 Tigard, OR 97281 TOTAL DDE 2.945-00 PRICE qT1' DESCRIPTION EACH TOTAL Invoice date Ault 26,2009 1 Basic main(.month of Au u61 2,800.00 2,13D0.00 Data Started 08101100 2 Splinkier teplacement on Peach(ree'Rotars' 35.00 7000 ' Dare Flnlahed 08131109 1 IrrIanon drip system repair on willow top 75.00 75.00 h�M Iw+�kr Cl I i c� I— re+Mtr�-u.a Total Matenals 2,945.00 fOMI�Ulee� APPROVED SEP o a M HOURS LABOR DESCRIPTION PRICE tAbn9zrlillour $0 01", S .iT.WON SQ.FT LABOR DESCRIPTION PRICE g6wtllte/5t►R $0.00 TOTAL LU08 Y0TjU MATFJWS 2,945.00 PHASE PAW Teiaoo9r 2,946,00 TEIMS:Net 30 devs Agenda Item No.: 5 b ' IWB Meeting Date: CREDIT FOR LEAK ADJUSTMENT 1 The City of Tigard has a policy of issuing partial credits for leaks that are repaired in a timely manner. The city expects leaks to be repaired within ten days of discovery. Credits are based on your average usage for the same period in previous years. This average is deducted from the total consumption used during the time of the leak. The excess usage is charged at the wholesale rate of water, with the difference between wholesale and resale cost deducted from the utility account as the Credit for Leak Please describe the specific circumstances of your request: -VI-t 1141IWds r Q Jg4k 1 Y,( �� o ;7U tLkL dw V'd Zora6'3m a4t�k Date leak found: 2 Date leak repaired: 2� Account#• r j Location of Service: go 7 o Sw ��-s 'D '1K6aWC-'- Customer Name: Mailing Address: 9d y U 9;1) Pg," -s < 7a:)-- I Street address City State Zip Phone -P3 6?- 30Z DOCUMENTATION YOU MUST SUBMIT COPIES OF PLUMBER'S BILLS AND/OR RECEIPTS FOR PARTS, REQUIRED TO FIX THE LEAK. ------------------------------------------------------------------------------------------------------------------------------------ n FOR OFFICE USE ONLY - l $2.68 $2.66 $3.13 $2.60 $3.34 - $1.22 = $ 1 R MUR COpt IND I R Markup Previous years usage: � i..oy � � �_ + SC p o�g- - x $ Average Leak Period Leak ccf Markup Credit Adjustment S3'e� Total Credit:$ Date Issued: Issued By: 1 PVC pipe - .. -. and source of leak. r T Y' Repaired . .- ws�' '�,!-+wr+e!wr'y�w' w{+�'+�.: ► :.`1"1. mpP _ Advanced Leak Detection P.O. Box 244 Invoice# 071925 Gladstone, OR 97027 503-650-LEAK(5325) Date /1- 2-7-09 Fax 503-655-7207 PO#/Claim# Terms GAS AIR ER �EWER ABOVE OR BELOW GROUND Service Tech Bill to: Z1 Phone: Fax: Mobile: ❑ Leak and Pipe location service ❑ Fault locating ❑Tape 0''Leak location service ❑ Claim investigation ❑ No tape made ❑ Pipe location service ❑ Consulting 0 No tracer wire ❑ Camera and locate service: ❑ Tank location/ ❑Tracer wire broken ❑ Other: 13'Water fl Irrigation ❑Gas ❑Sanitary sewer ❑Catch basin ❑ Boiler/Radiant heat ❑Storm sewer ❑ Electric ❑ Other: ❑ Fire ❑ Cable ❑ Rain drain ❑Telephone Type of pipe: Method used: ❑ ABS ❑ Quest ❑ Cast iron ❑ AC pipe M"Audio ❑ Ultrasonic -fat Visual ❑ Black poly ❑ Big blue ❑ Clay ❑Fiberglass ❑ Radio frequency ❑ Tracer wire ❑ Camera ®PVC ❑ 3034 plastic ❑Concrete ❑Glass -M Air 41-Water ❑Tracer Gas ❑CPVC ❑Galvanized ❑ Ductile iron ❑Other: ❑ Sonde ❑ Infrared Ell Other: ,;i . u ❑ Wirsbo ❑ Copper ❑ C 900 ❑Vacuum Tested ❑ Pressure tested We do not offer a guarantee on locates other than if not located at point marked we will return for relocate or refund all or a portion of locate cost solely at our discretion.We do not guarantee or warranty locates. Signature /r' j Date: /1-?_`T-09 Comments: c. w ; (-A h< <S i Site of Service: Contact: PO#/Claim# oV Rate: JY\', r1,r�n...�r c, Amount: 30 0 Payment method: ❑ Cash tk-Check ❑ Visa ❑ Mastercard ❑ American Express ❑ Discover ❑ Other 71, Check # 1 Amount: _:`' "r ' Date: Agenda Item No.: tb IWB Meeting Date: �eb� � y1, a-o�p AMENDED AND RESTATED INTERGOVERNMENTAL AGREEMENT BETWEEN DURHAM, KING CITY AND THE TIGARD WATER DISTRICT AND THE CITY OF TIGARD FOR WATER SUPPLY 4th Draft 2/97/10-New Matter in Bold Italic- This Agreement is made and entered into under authority of Chapter 190, Oregon Revised Statutes, by and between the cities of Durham and King City and the Tigard Water District, an ORS Chapter district ("District") and the City of Tigard ("Tigard"), all Oregon municipal corporations ("the Parties"), in Washington County, Oregon. This Agreement is an amendment and restatement of those individual agreements entered between Tigard and each of the other two other cities and the District in or about 1993 This Agreement shall be effective as of the date that all Parties have signed. RECITALS: A. The three cities withdrew the areas included within their boundaries from the political boundary of the District effective July 1, 1993. In consideration of their separate contracts with Tigard for the operation and maintenance of a water supply to serve all four Parties, Tigard granted to Durham, King City and the Tigard Water District (all Parties other than Tigard being the "Parties served") an equitable interest in those assets (described as "system assets" in those contracts) located within the combined service area. Water supply, storage and distribution facilities ("system assets") were not divided between the cities and the District as provided for by ORS 222.540 and instead, all such assets wherever located were pledged to the use of the City of Tigard for the operation and maintenance of a single water supply, storage and distribution system to serve all four Parties. All Parties now desire to clarify the method to determine the value of those assets and the Parties' equitable ownership interest in same and to establish the methods for valuation of both real and personal property. B. The Parties intend that Tigard continue to provide and manage a water supply system serving all Parties for the duration of this Agreement including use of assets and facilities not within the combined service area that are owned by Tigard and other entities that are not parties to this Agreement. C. The Parties desire to clarify the role of the Intergovernmental Water Board ("IWB") as to those matters where its actions are advisory to Tigard or are binding on Tigard. In consideration of those premises as generally recited the Parties now AGREE: 1. Purpose and Scope. 1A. Tigard shall continue to furnish and maintain a domestic water supply, storage and distribution system serving all Parties to this Agreement. All Parties pledge the use and benefit of all assets of that system, wherever located whether inside or outside the Tigard Water Supply Agreement 4th Draft 02/17/10 Page 1 Parties combined service area, as they now exist and hereafter are constructed or accrue, for the duration of this Agreement as to each Party served. Each Party's equitable interest in any and all system assets located within the combined service area shall be deemed held as an undivided common interest until the Party terminates this Agreement or until the Agreement is dissolved. 1 B. All other Parties delegate to Tigard the authority to enact water system rates and charges, including systems development or connection charges, with the advice of the IWB and as limited by state law, in such amounts as are necessary to maintain the system for the benefit of all Parties. Any and all such rates and charges shall be applied evenly to all customers in similar rate classes throughout the area now served by the system and each Party agrees to enforce those rates and charges without exception within that Party's political boundary. 1 C. Tigard shall enter into all contracts necessary or desirable to operate the system in its own name whether or not any such contract is subject to IWB approval. Tigard shall issue and make provisions for repayment of any and all municipal bonds issued to finance capital improvements to the system and may pledge any and all system revenues for repayment of such bonds except those shares of system revenues that are to be disbursed annually to each other Party under Section 7E of this Agreement. Tigard shall prepare and issue all statements and filings necessary to issue such bonds and shall make all continuing disclosures regarding the bonds as may be required by state and federal law. A served Party may not issue or contract for any debt that is to be secured by any assets that are necessary to operate or maintain the water supply system. 1 D. A served Party shall consider any request by Tigard to exercise powers of eminent domain if needed to acquire property within that Party's political boundary for use for the water supply system. A Party shall not unreasonably withhold its consent to such a request. A Party may condition its exercise of such authority on Tigard's agreement to pay all attorney fees and costs incurred in any such proceedings. 2. Term of Agreement. 2A. The term of this Agreement shall be perpetual. Any served Party may terminate this agreement as between that Party and all other Parties by delivering written notice to the other Parties not less than 5 years prior so as to allow the Parties to reconfigure the supply, storage and distribution system serving the remaining Parties after any division of assets that may result from such termination. 2B. Tigard may terminate this Agreement as to any served Party only for cause and only after Tigard has served written notice to that Party of that Party's default as to a material term of this Agreement and has allowed that Party not less than 30 days to cure that default. On a Party's continued default Tigard may serve written notice of termination to that Party not less than 5 years prior so as to allow that Party to arrange Tigard Water Supply Agreement 4th Draft 02/17/10 Page 2 for a replacement water source and supply system with Tigard or with another supplier. 2C. Tigard agrees to negotiate in good faith a wholesale water supply contract with a terminating Party on that Party's request. Tigard and the terminating Party may mutually agree to a different date of termination. 3. Intergovernmental Water Board. The Intergovernmental Water Board (IWB) is continued. The IWB shall consist of five members, with one member to be appointed by each of the four Parties to serve at the pleasure of the appointing Party and a fifth "at large" member who resides in the service area as shown in Exhibit— to this Agreement to be appointed by a majority vote of the other members and who shall represent the interest of the general public. The IWB shall decide the process by which it seeks candidates for and appoints the member at large. A member representing a Party shall hold a current elective office for that Party and shall be deemed to act on behalf of the governing body of that Party when voting on any issue before the IWB. The extent to which that Party's member's vote at the IWB is binding on the Party that the member represents shall be determined by each Party. Each Party may appoint an alternate IWB member who may take the place of the regular member who is absent at any IWB meeting. An alternate member shall have the same qualifications as the regular member. A person appointed to fill a vacancy shall serve the term of the position that was vacated. The IWB by majority vote may declare a position to be vacant for that member's unexcused absence for more than 3 consecutive IWB meetings and shall notify the Party of any such declared vacancy. A Party so notified shall promptly appoint a replacement to fill the term of that vacancy. The Party members shall appoint a member a large for the remainder of the existing term of that position if and when that position becomes or is declared to be vacant. 4. Term Of IWB Membership. An IWB member shall continue to occupy the same position on the IWB from and after the adoption of this Agreement for the duration of that member's term. Each IWB position including the Member at Large shall have a term of two years that begins on January 1 and expires on December 31 of the second year of each term. There is no limit on the number of terms that any person may serve in any position. Notwithstanding that the term of a position has expired, the Member occupying that position may continue to serve on the Board until a successor is appointed. 5. Conduct of IWB Meetings. 5A. The IWB shall schedule regular meetings and shall conduct all meetings according to Oregon public meetings law. At its first meeting in every calendar year the IWB shall elect a chairperson for the ensuing calendar year and may elect other officers, all of whom shall have such powers and duties as assigned by the IWB. The Chair shall set the agenda for each meeting. A quorum of the IWB shall be three (3) members and no vote shall be taken on any matter requiring a vote without a quorum. All matters Tigard Water Supply Agreement 4th Draft 02/17/10 Page 3 requiring a vote shall be enacted by affirmative vote of at least three (3) members present and voting except where this Agreement provides a different voting requirement. 5113. Tigard shall budget for and provide a sufficient number of employees to provide staff support to the IWB during and between meetings. Tigard employees shall serve at the pleasure of Tigard and shall have no voting privileges. Tigard shall provide adequate facilities and equipment for use for all IWB meetings. 5C. Tigard shall provide for at least one public meeting to be held annually between and among the Tigard City Council and the governing bodies of the served Parties on matters relating to the water supply system. 6. Jurisdiction of IWB. 6A. The IWB shall hear and by a majority vote of those members present and voting may advise the Tigard City Council on the following issues: 1) Uniform rates to be charged to all water system customers throughout the system, including connection charges, with different rates to be allowed only for different classes of use (e.g., residential, commercial, industrial, irrigation, high elevation surcharge) and all rates and charges to be limited to the costs of service; 2) Operation and maintenance issues referred to the IWB by Tigard or that a majority of the IWB raise on the IWB's own motion: 3) The proposed annual budget for the Parties' water supply system; 4) Policies and rules for curtailing water consumption in the same manner throughout the service area in cases of emergency: 5) Billing methods and customer account management, including any contracts with third Parties for meter reading; 6) Capital improvements not listed or scheduled in a capital improvements plan that is adopted as part of Tigard's annual budget for the system; 7) Tigard's proposed issuance of municipal revenue bonds to be used to finance water system capital improvements or to refinance existing water system revenue bonds; 8) Any and all rules and regulations issued by Tigard as to the use of the water system. 66. The IWB shall hear, and by majority vote of the Parties shall decide the following issues, as to which the IWB's decision shall be final and binding on Tigard: 1) A proposal by Tigard to provide water service to any area or to any public or private reseller of the water that is located outside the Parties' combined service area as shown on Exhibit— to this Agreement, or a proposal by Tigard to serve by wholesale contract a once-served Party who has terminated this Agreement; 2) A proposal by Tigard to issue municipal revenue bonds to finance capital improvements to serve any area or customer located outside the Parties combined service area as shown on Exhibit_ to this Agreement; 3) A proposal by Tigard to enter a contract or partnership with a water source other than Tigard Water Supply Agreement 4th Draft 02/17/10 Page 4 a mutual aid or similar emergency supply agreement; 4) The valuation of a served Party's ownership share(s) of system assets when recalculated from time to time and when calculated at the time of a Party's termination of this Agreement, as further provided in this Agreement; 5) The sale or purchase of any real property used or proposed for use in the water system, and the terms of any such sale or purchase; 6) Tigard's proposed issuance of any debt other than municipal revenue bonds for capital improvements for the water system serving the exising service area, for which repayment is secured by a lien or other encumbrance on system assets. 7) The assignment, sale or other conveyance or transfer of any Party's rights or liabilities under this Agreement to any person or entity other than another Party. 6C. In all cases where an action taken by the IWB shall be advisory to Tigard the City of Tigard shall address and consider the Board's recommendation when taking action or a position on the matter. In all cases where an action by the IWB is final and binding on Tigard, no Party shall unreasonably withhold its consent to such action. 7. Ownership and Valuation of Assets. 7A. In consideration of the 1994 agreement with Tigard for a water supply system, each of the Parties owns an equitable, undivided common share (as calculated per Section 7B of this Agreement) of all capital improvements and real property used in the system that are located within the Parties' combined service area, including those improvements to be constructed by Lake Oswego and Tigard under that certain contract between those cities entered in or about August 2008 that are located within the service area shown on Exhibit_ to this Agreement if constructed using revenues or the proceeds of debt to be repaid from revenues generated by the sale of water within the Parties' combined service area. The Parties' equitable shares of ownership of any and all such capital improvements shall be pledged to the repayment of any debt issued to finance further capital improvements to the extent required by the debt instrument(s). The Parties' equitable shares of ownerhsip of any and all system assets shall be subordinated to the interest of the debt holder(s) as to any and all revenue bonds sold by Tigard to finance capital improvements to the Parties' water supply system. 7B. A Party's equitable share of a system asset, whether real or personal property, shall be calculated using cumulative meter equivalency values. Tigard shall recalculate those shares every two years in the course of Tigard's annual budget process for that year and will recalculate the Parties' shares on any Party's termination or on dissolution of this Agreement. The Parties' shared interests in any system asset that is real property and that Tigard uses in part for purposes other than operation of the water system shall be shown by lease agreements between the Parties and Tigard and recorded in county deed records. The Parties ownership shares of any property subject to a lease agreement with Tigard shall be set out in the lease agreement and any Tigard Water Supply Agreement 4th Draft 02/17/10 Page 5 change in those shares (after recalculation as provided for herein) shall be set out by amendment to the lease agreement. 7C. The value of a system asset shall be calculated by one method for assets that are personal property and another method for real property. An asset that is personal property shall have that asset's depreciated value over its useful life using straight line depreciation as are set out in the "Tigard Water District System Assets and Liabilities Final Report" of November 1994 , Section II. The depreciated value shall be based upon the useful life of the capital improvement under generally accepted accounting principles using a straight line method of depreciation. An asset that is real property shall be valued by an independent appraisal at such time as the property or a portion of same is assigned, sold or otherwise conveyed and at the time of any Party's termination or the dissolution of this Agreement. 7D. The proceeds of any sale or other conveyance of any portion or all of a system asset that is real property shall be allocated to each Party according to its current ownership share and shall be held by Tigard in trust for use for capital improvements to the Parties'water supply system. 7E. Tigard shall maintain all system assets and shall recommend to the IWB the disposition of any asset that is or becomes surplus to the needs of the water supply system. Tigard shall adequately insure all system assets against all risks of loss. Tigard shall prepare and maintain a current list of all system assets including but not limited to intake facilities, treatment plants, transmission lines and storage and pumping facilities showing the general location relative to major streets and political boundaries, the original date in service and the original cost to acquire or to construct the asset. A list of such facilities that is current as of the date of this Agreement is attached as Exhibit X to this Agreement and incorporated by this reference. Tigard on any served Party's request shall calculate the value of that Party's ownership share of a system asset for that Party's use in its annual budget as may be required by General Accounting Standards Board rules. 7F. For the duration of this Agreement each Party shall be entitled to dispose of ?? percent of the annual revenue (pro-rated to the date of the Party's termination, if applicable) collected from customers within that Party's boundary by written direction to Tigard. Tigard shall dispense that amount to a served Party at least once annually. A Party may direct Tigard to hold such revenue in a segregated fund in trust for that Party pending the Party's further direction on the disposition of that revenue. 7G.Tigard shall make the same public meeting space(s) that are used for IWB meetings available to any Party on request free of charge on reasonable advance notice for that Party's occasional use for a public meeting whether or not the meeting is related to the water system. Tigard Water Supply Agreement 4th Draft 02/17/10 Page 6 [Discussion at December 9, 2009 meeting ended here] 8. Division of Assets on Termination or Dissolution. 8A. Upon termination of this Agreement, the Parties shall divide assets using the same procedures as are set out in ORS 222.540 for partial withdrawals of territory from a water district upon annexation to a city. Add provisions for assumption of debt by terminating party allocated to area withdrawn from the service area. 813. Except for the annual distribution of water system revenues provided for in Section 7F of this Agreement, all other revenue generated by operation of the water supply system shall not be subject to distribution or accounting on a served Party's termination and shall not be subject to an equitable- or other claim by that Party. 8C. A terminating Party may offer to convey its ownership share of system assets to Tigard and may waive its rights to a division of assets as provided in this Agreement in consideration of a wholesale contract for water supply between the terminating Party and Tigard. Any such contract is subject to IWB review and approval as provided for herein. If the asset is not essential to the operation of such jurisdictions' water system, Tigard may terminate such jurisdiction's rights in the system asset capital improvement by payment of a sum equal to the Jurisdiction's proportionate Interest in the depreciated value of such system asset. 8D. Tigard shall have the first right of refusal to purchase a served Party's share of a system asset on that Party's termination of this Agreement or on the Parties' decision to sell all or a portion of a system asset, on the same terms and conditions as offered to any other person or entity. The offer to purchase and Tigard's exercise of its rights as to that offer shall be on the same terms as in that certain lease agreement between the served Parties and Tigard for the property commonly known as 8777 Burnham Street, Tigard, Washington County, Oregon entered in or about DATE. 9. Accounting and Records. 9A. Tigard shall account for the operation and maintenance of the water system as an enterprise fund using generally accepted accounting principles applicable to utility enterprises for the recording and identifying of all revenues and expenditures. The IWB may review and make recommendations on the means and methods of such accounting from time to time. 9B. Tigard shall respond in the normal course of business to all requests for public records by persons who are not Parties and shall defend the other Parties and hold them harmless from any and all claims or legal actions made or filed by the person making the records request. Tigard shall make all financial records relating to the supply system available to any Party for inspection and copying on reasonable advance notice and during Tigard's ordinary business hours. Tigard Water Supply Agreement 4th Draft 02/17/10 Page 7 9C. Tigard shall present the proposed annual budget for the water system to the IWB for its consideration and recommendation(s) prior to Tigard's adoption of that budget. Tigard shalll provide a copy of each year-end financial audit of its accounts to any Party upon that Party's request. 10. Annexation and Changes to Service Area. The Parties' combined service area as it exists on the effective date of this Agreement is shown, with relation to the Parties' political boundaries, on Exhibit X to this Agreement, attached and incorporated by this reference. An annexation of new territory to any Party's political boundary and annexation-related changes to political boundary between any of the Parties shall be subject to the process for boundary changes set out in Metro Code and in state law. The determination of what Party or what other entity shall be the water supply provider for the area to be annexed shall be decided by that process. Each Party to this Agreement reserves all of the rights granted by Metro Code and state law to appear and be heard in those proceedings. Each of the Parties agrees in good faith to execute any and all documents as is reasonable and necessary to effectuate a final decision on any boundary change as between any two or more Parties. Any of the served Parties may enter an urban services provider agreement with Tigard as to the water supply provider within all or a portion of that served Party's political boundary by the process set out in state law for such urban service provider agreements. 11. Amendment. No amendment to this Agreement, including a substitution of any exhibit to this Agreement with a different version of same shall be effective unless in a writing signed and dated by all Parties and shall not be effective before the date last signed. 12. Severability. If any portion of this Agreement is for any reason held to be invalid or unconstitutional by a court of competent jurisdiction, all remaining portions of this Agreement shall remain in effect until this Agreement is terminated or expired. After any declaration of invalidity or unconstitutionality of a portion of this Franchise, any Party may demand that one or more other Parties meet to discuss amending the terms of this Agreement to conform to the original intent of the Parties. If the Parties are unable to agree on a revised agreement within ninety (90) days after such a court decision is final and binding, any Party whose rights and obligations are affected by the decision shall have cause to terminate this Agreement by delivering one hundred and eighty (180) days notice to the other Party. 13. Property Conveyances. All parties agree in good faith to execute any and all real property conveyances deemed necessary or desirable to show each Party's share of ownership of such property as provided for in this Agreement. Tigard Water Supply Agreement 4th Draft 02/17/10 Page 8 14. Execution and Effective Date. May be executed in multiple counterparts. Effective as to Tigard and any served Party when signed by Tigard and that served Party. Tigard Water Supply Agreement 4th Draft 02/17110 Page 9 City of Tigard �1 13125 SW Hall Blvd. - Tigard, OR 97223 Phone: 903-639-4171 TIGARD FAX TRANSMITTAL Date February 8,2010 Number of pages including cover sheet 3 To: The City of King City (Fax No. 503-639-3771) 12"'The City of Durham (Fax No. 503-598-8595) From: Kathy Mollusky Co: City of Tigard Fax#: 503-684-8840 Ph#: 503-718-2594 SUBJECT: Intergovernmental Water Board Meeting Agenda MESSAGE: Please post the attached agenda for the upcoming meeting of the Intergovernmental Water Board. Thank you. 11ENG%FAX.DOT trp office jet 4200 series 4215 Personal Printer/Fax/Copier/Scanner Log for City of Tigard PW 5036848840 2/8/2010 10: 49RM Last Transaction Date Time Type Identification Duration Pages Result 02/08 10: 49a Fax Sent 5035988595 0: 35 3 OK hp officejet 4200 series 4215 Personal Printer/Fax/Copier/Scanner Log for City of Tigard PW 5036848840 2/8/2010 10: 48RM Last Transaction Date Time Type Identification Duration Pages Result 02/08 10: 47a Fax Sent 5036393771 0: 55 3 OK