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R-749 - 05/23/2000 - AGREEMENT - Resolutions ExhibitsINTERGOVERNMENTAL AGREEMENT FOR SECOND INTERCONNECTION OF MUNICIPAL WATER SYSTEMS THIS AGREEMENT made this 13th day of June 2000 by and between the CITY OF OAKBROOK TERRACE, an Illinois municipal corporation with offices at 17W275 Butterfield Road, Oakbrook Terrace, Illinois (hereinafter referred to as "Oakbrook Terrace ") and the VILLAGE OF OAK BROOK, an Illinois municipal corporation with offices at 1200 Oak Brook Road, Oak Brook, Illinois (hereinafter referred to as "Oak Brook ") concerning a second water main interconnection ( "Second Interconnection ") between the water systems owned and operated respectively by Oakbrook Terrace and Oak Brook; WITNESSETH: WHEREAS, Oakbrook Terrace and Oak Brook are each authorized pursuant to Article 7, Section 10 of the Illinois Constitution to jointly exercise their powers and functions in any manner not prohibited by law or ordinance and to enter into intergovernmental agreements such as contained herein; and WHEREAS, Oak Brook operates an independent water pumping, treatment and distribution system; and WHEREAS, Oakbrook Terrace is constructing and thereafter will operate an independent water pumping, treatment and distribution system; and WHEREAS, Oakbrook Terrace and Oak Brook are authorized pursuant to the Intergovernmental Cooperation Act, 5 ILCS 220/1, et seq., to enter into agreements with other political subdivisions of the State of Illinois; and WHEREAS, on or about July 15, 1998, the City and the Village entered into an agreement styled "Intergovernmental Agreement for Interconnection of Municipal Water Systems" wherein the City and the Village provided for an interconnect near the junction of Summit Avenue and Southlane Drive (hereinafter referred to as the "First Interconnection "); and WHEREAS, Oakbrook Terrace and Oak Brook find it necessary and desirable to enter into this Agreement to provide for a Second Interconnection between the two water systems; and , WHEREAS, Oakbrook Terrace and Oak Brook desire to interconnect the Oakbrook Terrace and Oak Brook water systems at the intersection of TransAm Plaza Drive and Lincoln Avenue as more specifically depicted on Exhibit A hereto; and WHEREAS, the parties and third parties hereto also entered into an intergovernmental agreement styled "Intergovernmental Agreement Between the City of Oakbrook Terrace, the Village of Oak Brook, and Lincoln" ( "Interim Agreement ") providing for the construction and initial use and operation of the Second Interconnection that is the subject of this Agreement and said Interim Agreement contemplates the City and the Village entering into a separate agreement setting forth their respective obligations to each other to become effective when the Interim Agreement expires; NOW THEREFORE, in consideration of the mutual covenants and agreements herein set forth, the sufficiency of which is mutually acknowledged, the parties agree as follows: 1. The recitals set forth hereinabove are incorporated herein by reference and made a part of this Agreement. 2. Oak Brook authorizes Oakbrook Terrace to interconnect the Oakbrook Terrace water system with the Oak Brook water system at the junction of TransAm Plaza Drive and V Lincoln Avenue, as more specifically depicted upon the plans styled "Village of Oak Brook Interconnect at Lincoln Centre, Site Plan and Details," dated 3 -20 -00 (the "Plans and Specifications ") prepared by Consoer Townsend Envirodyne Engineers, Inc. and approved by the Illinois Environmental Protection Agency pursuant to Permit 1798- FY2000 and which are incorporated herein by reference and made a part of this Agreement. Such second connection is herein referred to as the Second Interconnection. 3. The construction, use and operation of the Second Interconnection shall initially be controlled and governed by the Interim Agreement and by an agreement by and between Oakbrook Terrace, Oak Brook and the DuPage Water Commission (the "Commission "), approved by the Commission's Ordinance No. 0 -2 -00 (the "DWC Agreement "). Upon expiration of the Interim Agreement, use and operation of the Second Interconnection shall be governed and controlled by this Agreement and the DWC Agreement. In the event of a conflict between the DWC Agreement and either one or both of the Interim Agreement and this Agreement, the DWC Agreement shall govern and control. 4. Upon the expiration of the Interim Agreement and in accordance with the DWC Agreement and this Agreement, either party is authorized to open interconnection valve B (owned by Oakbrook Terrace) and interconnection valve A (owned by Oak Brook) as depicted upon Exhibit A in the case of an emergency and upon the mutual consent authorized by the City Administrator of Oakbrook Terrace and the Village Manager of Oak Brook or their authorized agents. Subject to the prior written approval of the Commission if required pursuant to the DWC 3 Agreement, an emergency is: A. An unforeseen malfunction of equipment, including pumps, treatment equipment, water mains, sudden loss of a well, or any equipment malfunction which would make it difficult or impossible for Oakbrook Terrace or Oak Brook to adequately maintain service to all or a part of its customers and, at the same time, maintain adequate reserves for firefighting purposes. B. Any unforeseen, heavy demand on water supplies due to a major fire or an act of God. C. Water requirements due to scheduled maintenance and as approved, in advance, by both the City of Oakbrook Terrace by its City Administrator and the Village of Oak Brook by its Village Manager. An emergency is not: A. A general water shortage. B. Failure by either municipality to properly expand or improve its water and delivery system in conformance with growth development of the territory being served. The interconnection valves B and A shall be closed as soon as the emergency has passed. If either Oakbrook Terrace or Oak Brook receives a request to furnish water to the other, the municipality receiving the request retains the right to deny or limit said request if granting such request would create a water shortage or reduction in quantity or quality of water for its own customers. Oak Brook acknowledges that the segment of the Oakbrook Terrace Water Supply and Distribution System that will connect to the Second 4 Interconnection is presently under construction and that water will not be available to Oak Brook through the Second Interconnection until the system has been completed and is operational. 5. Except as otherwise provided in the DWC Agreement, Oakbrook Terrace and Oak'Brook agree that each other, and the Commission, shall have plenary rights of access to the interconnection valves and vault designated on Exhibit A. 6. The parties agree that the Second Interconnection shall not be constructed, operated or maintained except in compliance with the DWC Agreement and the following terms, conditions and limitations: (i) Oak Brook and Oakbrook Terrace shall submit to the Commission, for its review and approval, within 60 days following construction of the Second Interconnection, a report detailing the exact location of the Second Interconnection, the manner in which the Second Interconnection has been and will be operated and maintained, and the terms of any written or oral agreement for the operation and maintenance of the Second Interconnection. Such report shall include as -built drawings of the Second Interconnection and exact duplicates of any written agreement for the operation and maintenance of the Second Interconnection. The Second Interconnection shall not be operated unless and until the Commission shall have approved such report. No approval of such report shall be withheld unless the Second Interconnection, or any agreement for the operation and maintenance of the Second Interconnection, violate the Charter Customer Contract (as defined in 5 the DWC Agreement), the Subsequent Customer Contract (as defined in the DWC Agreement), the Chicago Contract (as defined in the Subsequent Customer Contract), or applicable laws or regulations, or pose a threat to the Commission or the Commission Waterworks System (as defined in the DWC Agreement). (ii) The Second Interconnection shall be utilized only under emergency conditions unless otherwise approved, in writing, by the Commission. An emergency condition shall be defined to mean the inability to provide average day flow demands to regular, non - emergency supply customers during a limited period of time due to conditions beyond the control of the party requesting Lake Water. An emergency condition shall not mean any limitation imposed by the Commission on the supply of Lake Water to Oak Brook or Oakbrook Terrace specifically related to Oak Brook or Oakbrook Terrace pursuant to the Charter Customer Contract or the Subsequent Customer Contract, as the case may be, and the Second Interconnection shall not be utilized to circumvent the provisions of any agreement approved by the Commission for the Alternate Delivery of Lake Water pursuant to Subsection 4B of the Subsequent Customer Contract. (iii) The Second Interconnection shall be operated and maintained in such a manner as at no time to place or threaten to place the Commission or the Commission Waterworks System in jeopardy of failing to meet the terms of the Charter Customer Contract, the Subsequent Customer Contract, the M Chicago Contract, or the regulations of any agency or governmental authority having jurisdiction over the operation of a public water supply. (iv) The party experiencing the emergency condition shall give telephonic notice to the Commission and to the other party of the emergency condition, the j expected duration of the emergency condition, and the amount of Lake Water needed, prior to the operation of the Second Interconnection. The Second Interconnection shall not be operated unless and until the party experiencing i the emergency condition shall have given said notice to the Commission. (v) The party receiving Lake Water through the Second Interconnection shall provide daily telephonic notice to the Commission and the party delivering Lake Water for so long as the emergency deliveries continue, and shall provide telephonic notice to the Commission before final shut -off of the emergency flow of Lake Water through the Second Interconnection for each such emergency condition. NO Oak Brook and Oakbrook Terrace shall keep a joint record of the amount of Lake Water delivered through the Second Interconnection, a copy of which shall be provided to the Commission within five days following termination of the use of the Second Interconnection for each such emergency condition and, in any case, every five days where the Second Interconnection is in continuous operation for more than five days. (vii) Except as otherwise provided in the DWC Agreement, the amount of Lake Water delivered to the Oak Brook Water System or to the Oakbrook Terrace 7 Water System through the Second Interconnection, as the case may be, shall be paid to the Commission directly by the party receiving Lake Water through the Second Interconnection at the rates applicable pursuant to, and in accordance with, that party's water purchase and sale contract with the Commission. In case of service curtailment, Oak Brook's flow of water through the Second Interconnection shall be considered as a portion of Oak Brook's allocation from the Commission. In case of service curtailment, Oakbrook Terrace's flow of water through the Second Interconnection shall be considered as a portion of Oakbrook Terrace's allocation from the Commission. (viii) The Commission shall have the right to inspect the Second Interconnection, and its operation and maintenance. The Commission shall have the right to install seals or such other devices as the Commission, in its sole and absolute discretion, determines are necessary to determine the operation of the Second Interconnection, and all equipment required to be installed to allow the installation of the seals or such other devices shall be installed at Oakbrook Terrace's sole cost and expense. (ix) The Commission shall bear no responsibility for, and Oak Brook and Oakbrook Terrace shall and do hereby release the Commission from, and agree that the Commission shall not be liable for, and agree to indemnify and hold the Commission harmless from, any claims, damages, liabilities, and litigation that may be occasioned by, connected with, or in any way related to the construction, operation, and maintenance of the Second Interconnection. Oak Brook and Oakbrook Terrace shall and do hereby agree to pay all fees, costs, and expenses, including legal and administrative fees, costs, and expenses, incurred by the Commission in defending itself with regard to any and all of the matters mentioned in this Section 6. (x) The operation and maintenance of the Second Interconnection shall comply in all other respects with the Water Commission Act of 1985, the Charter Customer Contract, the Subsequent Customer Contract, the Chicago Contract, and Commission Resolution No. R- 13 -90, entitled uA Resolution Expressing the Policy of the DuPage Water Commission Regarding Subsequent Customers," as clarified by Commission Resolution No. R- 29 -95, entitled uA Resolution Clarifying Resolution No. R- 13 -90, being A Resolution Expressing the Policy of the DuPage Water Commission Regarding Subsequent Customers," and the requirements of the Commission thereunder. (xi) Notwithstanding anything to the contrary contained in any written or oral agreement for the operation and maintenance of the Second Interconnection, the Second Interconnection shall be operated and maintained only in accordance with this Section 6 and such additional or other terms, conditions, and limitations as the Commission shall impose pursuant to any policy established by the Commission with respect to emergency interconnections. No such agreement shall be amended, modified, or otherwise changed except upon the prior written approval of the Commission. 01 NO The Commission reserves the right to order all use of the Second Interconnection to be discontinued, and Oak Brook and Oakbrook Terrace shall and do hereby agree to discontinue such use, at any time the terms, conditions, and limitations of this Section 6 and any such additional or other terms, conditions and limitations imposed by the Commission pursuant to any policy established by the Commission with respect to emergency interconnections are not satisfied. 7. Upon the expiration of the Interim Agreement, maintenance costs for the interconnection vault and meter shall be paid equally by Oakbrook Terrace and Oak Brook. Oakbrook Terrace and Oak Brook shall be jointly responsible for the determination of need for and the performance of said maintenance on the interconnection vault and meter, and the party performing such maintenance shall be reimbursed by the other party. Each municipality shall reimburse the other for its share of every maintenance cost including, but not limited to, labor, engineering, equipment (at State of Illinois, Department of Transportation equipment rental rates) and materials costs. A statement of maintenance costs shall be prepared by the community doing the work and presented to the other community for prompt reimbursement. Each community's water superintendent or his authorized representative shall notify the other community's water superintendent or his authorized representative regarding possible maintenance requirements prior to undertaking such maintenance. 8. Oakbrook Terrace shall own the water main on the east side of the interconnection vault and Oak Brook shall own the water main on the west side of the 10 interconnection vault. Oakbrook Terrace shall own the interconnection vault and the water meter. 9. Each party agrees to prevent excessive use and waste of water and to notify the water department of the other party immediately in the event of a ruptured line involving water supplied by either party. Each party shall be obligated to repair any ruptured line as expeditiously as possible to avoid unnecessary waste. 10. During the period of construction of the segment of Oakbrook Terrace Water Distribution System that will connect to the Second Interconnection, valves A and B shall each remain in a closed position except whenever the contractor building that segment requires water for purposes of pressure testing the new water lines being installed. During construction, Oakbrook Terrace, or its contractor, may operate valve B, provided Oakbrook Terrace or its contractor also notifies Oak Brook's Water Superintendent or his designee. Valve A will be operated only by Oak Brook. 11. From and after the segment of the Oakbrook Terrace Water Distribution System that will connect to the Second Interconnection receiving final IEPA certifications and,approvals to deliver water, each party agrees to keep its water system free from bacteria and I contamination and will sample in accordance with the IEPA rules for Public Water Supplies and provide copies of IEPA required test results to the other party upon request. Each party will regularly survey for illegal cross connections and possible sources of contamination. Each party agrees to rechlorinate the water, if necessary, to maintain a proper chlorine residue pursuant to IEPA standards in its respective system. 12. Any violation of any provision of this Agreement shall be considered a default 11 and can result in the shutting off of water within a reasonable period of time after written notice has been delivered to the office of the City Administrator (Oakbrook Terrace) or Village Manager (Oak Brook). Each party shall have free access to the interconnection valve and vault and all other facilities provided for herein for the purpose of shutting off water and for the purpose of reading meters or testing same. 13. Neither party will be responsible for damages for any failure to supply water or for interruption of the water furnished. Each party will carry commercial general liability, workers' compensation, and other such insurance or self - insurance necessary to protect it i in the operation of its water distribution system. Said insurance coverage shall hold the other party harmless for any claims against the other party arising out of any action or inaction of that parry in the distribution and /or sale of water provided by the other party. 14. This Agreement is not assignable or transferable. 15. Any written notice required hereunder shall be served by personal delivery or by deposit in the United States mail with proper postage prepaid, and properly addressed to the other party at the following addresses, and shall be deemed served three (3) days after delivery or depositing in the United States mail as aforesaid: If to Oakbrook Terrace: CITY OF OAKBROOK TERRACE City Administrator 17W275 Butterfield Road Oakbrook Terrace, IL 60181 12 If to Oak Brook: VILLAGE OF OAK BROOK Village Manager 1200 Oak Brook Road Oak Brook, IL 60521 16. This Agreement, together with the DWC Agreement, represents the entire agreement between the parties with respect to the use and operation of the Second i Interconnection upon the expiration of the Interim Agreement. i 17. This Agreement shall continue in effect for ten (10) years, unless sooner terminated as provided below. After the segment of the Oakbrook Terrace water system to i be connection to the Second Interconnection has begun to receive water directly from the DuPage Water Commission, this Agreement may be terminated at any time by 180 days written notice by either party, or sooner by mutual agreement. At the end of the ten (10) year term, this Agreement shall continue in full force and effect for succeeding period of ten (10) years each, unless one party notifies the other that it wishes to terminate the Agreement at the end of a ten (10) year term or the Agreement has been terminated prior to the end of a ten (10) year term as provided above. 13 r t IN WITNESS WHEREOF, the parties hereto have affixed their respective signatures and seals this 13th day of June , 2000. CITY OF OAKBROOK TER CE, a municipal corporation f� ATTEST: City Clerk ro o . Npin\j on 3 Mayor VILLAGE OF OAK BROOK, a municipal corporation By: �;5. 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