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THE STATE OF TEXAS §
INTERLOCAL AGREEMENT FOR INTERIM OPERATIONS
COUNTY OF LLANO §
This "Interlocal Agreement for Interim Operations" (the "Interim Agreement") is made and entered into pursuant to the provisions of Chapter 791 of the Texas Government Code (the Interlocal Cooperation Act) by and between the Lake LBJ Municipal Utility District (the "District"), a municipal utility district created and operating pursuant to Chapters 49 and 54 of the Texas Water Code, and the Village of Horseshoe Bay (the "City"), a Type A General Law municipal corporation, organized and operating pursuant to Chapter 51 of the Texas Local Government Code for the purposes and consideration set forth below. The District and the City are sometimes collectively referred to herein as the "Parties".
RECITALS
1. The District is a municipal utility district created and operating under Chapters 49 and 54 of the Texas Water Code and located within Llano and Burnet Counties, Texas. The District owns and operates a water distribution system and a wastewater system and provides water and wastewater service to retail customers within the District. The District also provides certain other services, including police and fire protection services, to the residents within the District and to certain other residents outside the District.
2. The City, a Type A General Law municipal corporation, was incorporated on September 20, 2005. The municipal boundaries of the City essentially coincide with the boundaries of the District.
3. A portion of the District, referred to as the Trails Subdivision (the "Trails"), is located outside the boundaries of the City.
4. The City desires to effectively annex the Trails and dissolve the District in due time and succeed to all of the District's powers, duties, assets, and obligations.
5. The City and the District desire that effective, efficient and responsible local government be provided to the citizens of the District and the City prior to, during and after the time that the District is dissolved. To that end, the District and the City also desire to avoid any unnecessary duplication of resources and taxes, and to provide for the orderly and seamless succession of the District.
6. The City and the District intend to negotiate and enter into a Strategic Partnership Agreement detailing the manner in which the two Parties will co-exist and in which the District will ultimately be dissolved.
7. The purpose of this Interim Agreement is for the Parties to set forth an interim operating agreement pursuant to which the Parties will operate during the time it will take to complete the negotiation and execution of the proposed Strategic Partnership Agreement.
NOW, THEREFORE, for and in consideration of the mutual agreements, covenants, and conditions contained in this Interim Agreement, the District and the City agree as follows:
Article I.
PURPOSE
Section 1.01 The purpose of this Interim Agreement is to establish through contractual agreement the terms and conditions pursuant to which the City and the District will operate during the time in which the Parties will be negotiating and finalizing the proposed Strategic Partnership Agreement.
Article II.
SERVICES OF THE DISTRICT
Section 2.01 The District will continue to operate and perform all District services in the manner and to the extent determined by the District's Board of Directors.
Section 2.02. In anticipation of the City succeeding to the powers and functions of the District, the District will provide copies of all agendas and minutes of the meetings of its Board of Directors to a designated representative of the City as such agendas are posted and such minutes are approved by the District's Board of Directors.
Article III.
SERVICES OF THE CITY
Section 3.01 The City will provide city services as deemed appropriate by its City Council provided that such services do not duplicate or interfere with the services provided by the District.
Section 3.02 The City will regularly apprise the District of its plans and actions as it progresses toward full operations of a city.
Article IV.
CITY USE OF DISTRICT FACILITIES
Section 4.01 To the extent the District determines reasonably practical in consideration of its obligations to continue its normal and customary work, the District will provide the City with the use of its facilities and personnel in order for the City to maintain basic operations until such time that the City is able to provide such facilities and personnel itself including, by way of example and not in limitation, the following:
(a) The City is authorized to designate the District's offices on Community Drive, Horseshoe Bay, Texas as its municipal office.
(b) The City may utilize bulletin boards in the District's offices for purposes of posting legal notices or, alternatively, may locate additional bulletin boards in the offices for such purposes.
(c) The City may schedule and use the District’s boardroom and education center room for council meetings, committee or commission meetings or other meetings so long as such use does not conflict with the District’s usage. At a minimum, the City may have priority over scheduling either of the two rooms for the afternoons of the first and third Tuesdays of each month for council meetings.
(d) The District's telephone operator will take calls and messages for the City. Efforts will be made to either provide the City with its own dedicated line and phone number or new service. If this is not practical, the City may use the District’s phone number as its number, and the telephone operator will answer the phone “Lake LBJ Municipal Utility District, Village of Horseshoe Bay.”
(e) The District’s receptionist will also serve as the City’s receptionist, and an “In-Box” will be located at the reception area for purposes of receiving written materials addressed to the City.
(f) The City may designate a District employee as City Secretary who will perform those duties usually conducted by an officer of a city so designated.
(g) The District will provide the City with file space adequate for the City Secretary to maintain the files and records for the City. If additional space is required, the City and the District will work on an alternate arrangement.
(h) The City shall be entitled to utilize the District’s copiers at cost.
(i) The City may use the District’s computer system to maintain a City Web site, send and receive emails and to allow the City Secretary to perform his/her functions.
(j) The City and the District will work together, predominantly using District personnel, to develop maps and plat records for use in showing their respective boundaries and areas and maintaining records of subdivision plats, roads, utility locations, lot locations and designations.
Section 4.02 The City agrees to pay for the services being provided it by the District in the amount of $2,500 per month so long as this Interim Agreement is in effect. Payments shall accrue monthly and shall be paid in full upon the termination of this Interim Agreement or at such other time as the Parties may be subsequently agree.
Section 4.03 All such services and facilities shall be provided by the District in accordance with District policies and procedures and under the general supervision of the District's General Manager.
Section 4.04 The initial term of this Interim Agreement is three (3) months from the effective date set forth below and shall continue from month to month thereafter until the earlier of (i) the date the Parties mutually agree to terminate the Interim Agreement or (ii) the date the aforementioned Strategic Partnership Agreement is effective or (iii) the date the Interim Agreement is terminated pursuant to Section 4.05, below.
Section 4.05 Either party may terminate this Interim Agreement without cause upon sixty days written notice to other party.
This Interim Agreement is entered into and effective on the ___25th___ day of November, 2005.
| ____________/ S /________________ | ____________/ S /________________
| Ed Ayers, President
| Bob Lambert, Mayor
| Lake LBJ Municipal Utility District
| Village of Horseshoe Bay
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| Attest:
| Attest:
| ____________/ S /________________
| ____________/ S /________________
| Bob Lowrey
| Jim Babcock
| District Secretary
| City Secretary
| | |
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