9/22/1976 - Laserfiche WebLink

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SEP 2 21976 M M - In my review of the file I find two pertinent Contracts; the first being entitled an "Agreement executed by the City of Vero Beach and Indian River County on January 11, 19131'. The second document is entitled "Annex 1" and was executed by the City and the County on November 6, 1973. In analyzing these documents, Indian River County takes the position that the "present consumption" areas (.2828 million gallons per day) as outlined in Mr. Lloyd's letter, has arbitrarily been offset against Indian River County's 1.3 million gallon per day allocation for the following reasons: A. Areas such as County Club Pointe were being serviced by the City of Vero Beach with water service prior to the Agreements being entered -into. B. The Agreements do not specifically include areas such as Country Club Pointe as being within the County's allocation. C. The January 11, 1973 Agreement states as follows, paragraph 4, page 3: "It is the intent of the County to provide all water and sewer services to the mainland portion of the County, except within areas where the City now 'January, 1973' provides water and sewer service. The right of the City to enter into interim agreements for water and/or sewer services or both within areas outside the hereinabove for the City shall be subject to approval from the County,. and Tripartite Agreements between the customer, the City and the County shall be entered into in such instances." It is the County's -position that the City of Vero Beach intended to continue to serve areas such as Country Club Pointe with water; and, further that a right was established for the County to enter into agreements with the City whereby allocations could then be established for the County. In this case Indian River County has not entered into any agree- ments as to the present consumption areas, and, therefore, the County's allocation cannot be offset.by the present consumption areas. D. Paragraph 5 of page 4 provides in the mainland Portion of the County, where the City owns water distribution facilities and supplies water service only, the City may sell those facilities to�thu County pubject to the Bond Ordinance w3,thir, • one year afte- written request from the Coun-yt•.. As all the parties know, the County has not purchased any of the water distribution facilities from the City of Vero Beach yet these facilities lie in the area that the County is being charged for. This is inconsistent and again a reason why the County should not have its allocation assessed for areas within which they have not exercised.their option to purchase. Further, you should note that the option to purchase is one year and that one year has expired. It is inconsistent to argue that the County has to have its allocation reduced since it has an option to purchase when, in fact, that option to purchase has expired. E. Now referring to Annex 1, executed on November 6, 1973,.on page 1, paragraph 1, beginning at the bottom of L and continuing on to page 2, the Agreement states: p4ge "The City shall provide water distribution service and sewage collection service to the areawithin the City Limits of the City of Vero Beach. The City may continue to serve those customers connected to the City system as of the date of this Annex until the County is capable of and authorized to take over such service." 0Gtco 8 26 --x,-.377