HomeMy WebLinkAboutCAG1991-0575 - Original - KC Water District No. 111 - Resolution to Sell Interest in Reservoir to Kent - 04/25/1991 CITY OF
Dan Kelleher, Mayor
Don E. Wickstrorn, P.E., Director of Public Works
June 18, 1991
Robert Morrison, Manager
Water District 111
27224 - 144th Avenue S. E.
Kent, Washington 98042
RE: Purchase Agreement - Joint Use Reservoir
Dear Bob:
Enclosed is your copy of the fully executed agreement for Kent' s
purchase of Water District 111 ' s equity in the Joint Use Reservoir.
As stated in Section 1 of the Agreement, the City will forward to
the District within thirty (30) days of execution of this agreement
the agreed upon sum of $664, 202 . 67 . The District will convey to
the City all rights, title and interest in said tank. Please
coordinate the transfer of same with the City' s Property Manager,
Jerry McCaughan.
Very truly yours,
Don E. Wickstrom, P.E.
Director of Public Works
cc: Public Works Accountant
Property Manager
220 4th AVE. SO., KENT,WASHINGTON 98032-5895 ENGINEERING (206)859-3383 FAX#859-3559,'OPERATIONS(206)859-3395 FAX r 859-3664
RESOLUTION NO. 268-4-91
A Resolution of the Board of Commissioners
of King County Water District No. ill ("District"
herein) , approving sale of the District's inter-
est in the 3 .5 MG steel storage reservoir located
at 124th Avenue and South 286th Street to the
City of Kent.
WHEREAS, King County Water District No. 111, in
conjunction with the City of Kent, developed a 3 . 5 MG steel
storage reservoir (joint reservoir) located at 124th Avenue
and South 286th Street in 1978; and
WHEREAS, the District owns 43% of the equity in the
joint reservoir; and
WHEREAS, commencing in approximately 1984 , the
District began developing its own sources of water in the
form of wells drilled within the District to replace the
prior source, the City of Kent; and
WHEREAS, as the District implemented its own system
of supply, it became apparent that the joint reservoir was
no longer of any use to the District since it would not
work, hydraulically, with the District system when the
District was no longer utilizing Kent water as its sole
source; and
WHEREAS, the City of Kent is willing to purchase the
District's equity in the subject tank at a value equal to
the District' s original investment as adjusted by the cost
RESOLUTION N0. 268-4-91 -1 ORIGINAL
of living index from the date of acquisition to the present
time; and
WHEREAS, after extensive discussion, the Board has
determined that the joint reservoir is no longer used,
useful or necessary in the operation of the District
system; and
WHEREAS, the Board has determined that it would serve
the best interests of the consumers of the District to sell
the District's equity in the tank to the City of Kent and
utilize the funds received to acquire other revenue-
producing facilities.
NOW, THEREFORE, IT IS HEREBY RESOLVED by the Board
of Commissioners of King County Water District No. 111 as
follows:
1. The District shall sell its equity in the joint
reservoir to the City of Kent for the sum of
$ 664,202.67 payable within thirty days of execution
of a sale agreement with the City.
2 . Commissioner Wilson, Secretary of the Board, is
empowered, authorized and directed to execute all documents
on behalf of the District which are necessary or desirable
to consummate the sale of the District' s equity in the tank
to the City of Kent.
RESOLUTION No. 268-4-91 -2
3 . Commissioner Wilson is further empowered,
authorized and directed to execute on behalf of the
District the agreement between the City of Kent and the
District in the form appended hereto as Exhibit "A" .
4. The District hereby ratifies and adopts as its
own all acts of Commissioner Wilson, taken pursuant to the
authority granted in paragraphs 2 and 3 .
PASSED this 25th day of April, 1991.
BOARD OF COMMISSIONERS
KITNrA COUNTY WATER DISTRICT NO. 111
GARY CL , Commi oner
L GOA -)Colt issioner
l
CHA LES WILSON, Commissioner
RESOLUTION NO. 268-4-91 -3