57R-4174
RESOLUTION NO. 4174
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A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM
AUTHORIZING THE SALE OF THE EUCLID AND MAGNOLIA
TRUNK SEWER LINES OF THE ORANGE COUNTY JOINT OUT-
FALL SEWER TO COUNTY SANITATION DISTRICTS 2 AND :3
AND AUTHORIZING THE EXECUTION OF AN AGREEMENT FOR
THE SALE AND PURCHASE THEREOF.
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WHEREAS, the Cities of Anaheim, Buena Park, Fullerton, Orange,
and La Habra. the Sanitary Districts of Garden Grove, Placentia, Midway
C1 ty, the Board of Supervisors of the County of Orange as the governing
body of that portion of the La Habra Sanitary Distriot (dissolved) being
outside of the oity limits of La Habra, the Stanton Oounty Water District.
Los Alamitos County Water District and Cypress County Water District,
and each of them, are owners of certain undivided fractional interests
in and to all that certain property generally described and commonly
known as the Euolid Trunk Sewer Line and/or the Magnolia Trunk Sewer Line;
and
WHEREAS, the City of Brea has entered into an agreement with
the City of Fullerton to aoquire certain interests and capacity rights
in said Euclid Trunk Sewer Line, after the payment of certain sums of
money, extending over a period of time, to the City of Fullerton, the
payment of which said sums has not yet been completed; and
WHEREAS, County Sanitation Districts Nos. 2 and :3 are Willing
to purchase said Euclid Trunk Sewer Line and Magnolia Trunk Sewer Line
upon the terms and conditions hereinafter mentioned and set forth.
HOW. THEREFORE, BE IT RESOLVED by the City Council
of the City of Anaheim that the sale of the
Euclid Trunk Sewer Line and Magnolia Trunk Sewer Line of the Orange
County Joint Outfall Sewer, as more partiCUlarly desoribed in 80hedule
onA~ attached hereto, to County Sanitation Districts Nos. 2 and 3 for
the sum of $3.333,400.00 payable 1n cash, lawful money of the United
States, on or before the 1st day of Maroh, 1959, and if not paid on or
before said date, to bear interest at five percent (5%) per annum from
March I, 1959 and be payable on or before one year from said date, upon
the terms and conditions as set forth 1n an agreement to be made and
entered into by and between sellers and buyers, be, and the same is hereby
authorized and approved and the proposed agreement to be made and entered
into by and between sellers and buyers, submitted to the City of Anaheim,
is hereby approved and the
Mayor and City Clerk be, and they are
hereby authorized to execute said agreement for and on behalf of
_ the Citv of Ana he iro to consummate said sale
upon the terms and conditions herein speoified.
AND BE IT FURTHER RESOLVED that said purchase price to be paid
for said facilities shall be paid to the City of Anaheim, as disbursing
agent for the sellers, and that said funds shall be distributed to eaoh
of the sellers in proportion to their respective interests and capacity
rights in the facilities sold.
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THE FOREGOING RESOLUTION is
day of October
approved and signed by me this
> 1957.
(l~~./'
~YOO oftM
CITY OF' ANAHEIM
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ATT"ES'l' ;
/.c/;~ )11. -,~>~~.~.....-'
CITY CLERK of the
C I'tY OF ANAHE 1M
~_/
STATE OF CAUFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF ANAHEIM )
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I, DENE M. WILLIAMS, City Clerk of the City of Anaheim, do
hereby certify that the foregoing Resolution was introduced and adopted
at a regular meeting, provided by law, of the City Council of the City of
Anaheim, held on the 22nd day of October, 1957, by the following vote:
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AYES: COUN::I Ilo1EN: Pearson, Coons, Fry and Wisser.
NOES: COUNCILMEN: None.
ABSENT: COUN::ILMENI Schutte.
AND I FURTHBR CERTIFY tha t the Mayor of the Ci ty of Anaheim
approved and signed said Resolution on the 22nd day of October, 1957.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed
the official seal of the city of Anaheim this 22nd day of October, 1957.
~. //f J.Z~;; - ~~~
CITY CLERK OF THE CITY OF ANAHEIM
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.lGREDEHT OJ' SALE AID PUROHASE
THIS AGREEMENT, made and entered into on the date herein-
after set opposite the signatures of the parties hereto, by and
between six oities hereinafter named, eaoh oity being a oity duly
organized and existing under the laws of the State of California
of the General Law Class; three sanitary distriots, eaoh being
organized and existing under the laws of the State of California;
the Board of Supervisors of the County of Orange as the Governing
Body of that portion of La Habra Sanitary Distriot (dissolved)
being outside the oity limits of the City of La Habra; and three
county water distriots, each of whioh is duly organized and exist-
ing under and by virtue of the laws of the State of California and
hereinafter sometimes oalled "Sellers"; and two oounty sanitation
districts named as hereinafter set forth, eaoh of which is duly
organized and existing under and by virtue of the laws of the State
of California and hereinafter sometimes oalled "Buyers"; all of
said cities and districts being situated in the county of Orange.
State of California, and named as follows:
CITY OF ANAHEIM. )
CITY OF BREA, )
CITY OF BUENA PARK. )
CITY OF FULLERTON, )
CITY OF ORANGE, )
CITY OF LA HABRA, )
GARDEN GROVE SANITARY DISTRICT, )
PLACENTIA SANITARY DISTRICT, ) SELLERS.
MIDWAY CITY SANITARY DISTRICT, )
BOARD OF SUPERVISORS OF THE COUNTY OF )
ORANGE as Governing Body of that por- )
tion of La Habra Sanitary District )
(dissolved) being outside the oity )
11mi ts of the City of La Habra )
STANTON COUNTY WATER DISTRICT, )
CYPRESS COUNTY WATER DISTRICT, )
LOS ALAMITOS COUNTY WATER DISTRIOT, )
AND
COUNTY SANITATION DISTRICT NO. 2 of
Orange Oounty,
COUNTY SANITATION DISTRIOT NO. 3 ot
Orange County,
)
)
)
)
BUYERS.
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Y I T N. E SSE T j:
THAT WHEREAS, the Sellers, and eaoh of them, except the
Oity of Brea, are owners of certain undivided fraotional interests
ln oertain parts of property hereinafter generally desoribed and
oommonly known as the Magnolia Trunk Sewer Line and the Euolid
Trunk Sewer Line, and that the City of Brea has made and entered
into a oontraot with the City of Fullerton wherein and whereby it
has aoquired the right to purohase an interest in said faoilities
or portion thereof after the payment of the sums of money speoified
1n said agreement and upon the terms and oonditions therein speoi-
fied; and
WHEREAS, the Buyers are organized and exist for the purpose
of reoeiving, transporting, and disposing of sewage and industrial
wastes and related items originating within their respeotive terri-
torial limits; and
WHEREAS, in the organization and development of the Buyers,
it was oontemplated that the development of treatment and disposal
faoilities would be aooomplished first in oooperation with other
oounty sanitation distriots 1n Orange Oounty and subsequently
there would be aoquisition and oonstruotion by the Buyers of trunk
sewer lines and faoilities for the transporting of sewage and indus-
trial wastes and related items to the aforementioned jointly owned
treatment and disposal faoilities; and
WHEREAS, the Buyers have acoomplished the first portion
of their development and are contemplating the seoond phase of de-
velopment in order to serve the oontingent and inoreasing demands
of the territory within their respeotive boundaries; and
WHEREAS, the Buyers propose to present a bond issue to
,_' the voters within their territorial limits for the purpose of rais-
ing funds to aoquire by purohase oertain trunk sewer lines and
related sewage disposal faoilities owned by the Sellers in varying
percentage of ownership. and in addition thereto to construct
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certain new trunk sewers and other sewerage facilities; and
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WHEREAS, the Sellers are willing to sell said Magnolia
Trunk Sewer Line and Euclid Trunk Sewer Line and appurtenant faoili-
ties, and the Buyers desire to acquire said trunk lines and sewage
disposal facilities at the prices and upon the terms herein stated;
and
WHEREAS, said Buyers are to expand laid facilities
acquired by them as herein provided and to prOVide additional
facilities for the treatment or disposal of sewage so that at all
times the facilities of said Buyers shall be adequate to receive,
treat, and dispose of sewage arising within the boundaries of Buyers
and Seller s; and
WHEREAS, it is neoessary to reaoh an agreement for suoh
trunk sewer lines and sewage facilities as Buyers intend to aoquire
by purohase from Sellers. all of whioh is and shall be oontingent
upon the passage of said proposed bonds by two-thirds of the voters
of each of said County Sanitation District Buyers herein; and
WHEREAS. the voters and taxpayers in the territory of
both Sellers and Buyers are, for the most part, one and the same
persons, and the reasonable value of the subJeot sewerage facili-
ties has been agreed upon as fair and reasonable to both Buyers and
Sellers; and
WHEREAS, after the transfer of the trunk lines and sewage
disposal facilities hereinabove mentioned to the Buyers, it shall
be their duty to reoeive, adequately treat, and dispose of all
sewage delivered into said trunk lines and faoilities and any new
trunk lines or facilities required to be oonstructed by said Buyers,
and to expand and enlarge said facilities, if necessary, in order to
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handle the sewage arising within the boundaries of Buyers and Sellers;
~, and said Buyers are to provide all necessary facilities and to
maintain and operate the same so that the sewage arising within the
boundaries of Buyers and Sellers may at no time endanger the public
health through lack of proper facilities or treatment, which is to
be provided by said Buyers; and
WHEREAS, it is necessary that the Buyers acquire the
facilities hereinabove mentioned in order that they may carry out
and perform fully their obligations as sanitation districts,
NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL
PROKISES AND COVENANTS OF THE PARTIES HERETO, IT IS AGREED BY AND
BETWEEN THEM AS FOLLOWS:
SECTION I. That if Buyers each propose a bond issue
which is approved by two-thirds of the voters in their respeotive
Districts within eight (8) months of the date of this Agreement,
they will then issue and sell within twelve (12) months of the date
of said bond election sufficient of said bonds to purchase the
facilities hereinafter described on the terms and conditions herein-
after set forth, and will pay the amount of $3,333,400.00, as set
forth in Schedule "A~ attached hereto, on or before Karch I, 1959,
and if not paid on or before that date, to bear interest at the
rate of five per oent (5%) per annum from March I, 1959 until paid.
IT IS EXPRESSLY AGREED AND UNDERSTOOD that in the event
the consideration is not paid on or before Maroh 1, 1959 that it
shall~ nevertheless, be paid on or before one (1) year, from and
after said date.
IT IS UNDERSTOOD AND AGREED that this Agreement shall not
become effeotive until and unless the proposed bond issue is approved
by the voters of both Districts and that if the bonds are approved
in only one of said buying Districts, this Agreement shall not
beoome effective and shall be automatically terminated.
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SECTION 2. Subject to the contingencies hereinabove Bet
torth in Section 1, the Sellers will sell the faoilities desoribed
in Sohedule IAn attaohed hereto and made a part hereot as though
set out in full herein, to eaoh respeotive County Sanitation Distriot
in the peroentage of ownership desoribed therein to be aoquired by
eaoh Distriot and for the amounts set forth therein.
a. That with respeot to the bonded indebtedness of the
several Sellers outstanding whioh may oonstitute a lien
on some of the faoilities hereinabove desoribed, the
Sellers will pay suoh outstanding indebtedness as it
beoomes due and make the payments thereon as they may
individually be liable for immediately preoeding the
exeoution of this Agreement.
b. Sellers individually do hereby oovenant and agree to
hold Buyers and their suocessors and assigns safe and
harmless trom any adverse claims against, or cla1m ot
interest or ownership in the property oonveyed to the
extent of their individual interests as they may appear
and be represented by the amount of money eaoh indi-
vidual Seller reoeives from the selling prioe paid by
Buyers herein. In no event shall any Seller be or
beoome liable under the prOVisions ot this seotion in
an amount in exoess of the money it reoeives trom the
total amount paid by Buyers,
SECTION J. That title and posisesaion of the faoili ties
d.soribed 1n Seotion 2 above shall pass to Buyers after the oash
payments agreed to be made as set forth in Sohedule "AM have been
made.
That the payments of oash to Sellers will be made at the
times of and as of a oondition preoedent to the transfer of title
and possession of the subjeot sewerage faoilities.
All payments of money shall be made to the City of Anaheim
as disbursing agent for the Sellers in aooord with the respeotive
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interests of eaoh Seller, all in oompliance wlth separate agreements
hetween Sellers lndependent of Buyers. B~yers are not to be re-
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8ponslble tor nor oonoerned with disbursements made or not made by
the Oity ot Anaheim pursuant to the provl.ions ot this Agreement.
SECTION 4. Said Buyers agree that in the event the bond
issue hereinabove mentioned in Section 1 is approved by two-thirds
of the voters in their respeotive Dlstrlots within eight (8) months
of the date hereof, they will within twelve (12) months thereafter
not only sell suffioient of said bonds to purohase the faoilitie8
hereln desoribed but to oonstruot new and additional faoilities tor
the treatment and disposal of sewage SO that at all t1mes the faoill-
ties of said Buyers shall be adequate to reoeive, treat, and di8pose
of sewage arising within the boundaries ot Buyers and Bellers.
SEOTION S. Buyers further agree that after title to the
trunk lines and faoilitles hereln mentioned and desoribed has been
transterred to them, they will reoelve all sewage arising within the
boundaries of the Sellers or any thereot, and will treat and di.po.e
of such .ewage in full oomplianoe with all of the laws and regula-
tion. of the State ot California, or any Division, Department, or
Publio Oorporation thereof relating to the publio health or to the
treatment and disposal of sewage, and in any event so that suoh
sewage shall not oonstitute a nuisanoe nor a menaoe to the pUblio
health; and further agree to maintain and operate said trunk line.
and facilities so that the sewage arising within the boundaries of
Buyer. and Sellers may at no time endanger the publlo health through
laok of proper faoilities or treatment whioh is to be provided as
herein speoified.
SEOTION 6. It is further understood and agreed that no
person, firm, corporation, assoolation, or public agenoy, other than
the undersigned Sellers shall be permitted or allowed to use or dis-
~ charge sewage into said trunk lines or facilities until new lines
and facilities have been constructed and oompleted that are adequate
to handle any suoh additional disoharge of sewage into said trunk
lines and system.
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SECTION 7. The parties hereto do hereby further find,
determine and agree that the Sellers have heretofore voted bonds
and have oonstruoted faoilities not only to provide adequate sewage
disposal for the inhabitants within their present boundaries but
for large areas adJaoent to their present boundaries to provide tor
future expansion, and that the funds from such bonds SO voted were
used to construot lines larger than were needed for their present
inhabitants and were construoted for the purpose of serving suoh
areas, and that in order to prevent a duplioation of facilities
that suoh areas should be required to annex to suoh oities or
sanitary districts where such faoilities have been provided and
thus avoid double taxation; and, therefore, in further considera-
tion of the sale by the Sellers to the Buyers of said trunk lin.s
and facilitie., it is mutually agreed by and between the Sellers
and Buyers that, from and after the construction and completion ot
said new tacilities, any person, firm, corporation, association, or
publio agency desiring to discharge sewage into said trunk lines and
facilities hereby agreed to be sold to the Buyers or into anJ new
trunk lines or facilities so constructed, shall be required to do
so by annexing to or oontraoting with a city or existing sanitary
district.
SEOTION 8. It is further understood and agreed that no
person, firm, oorporation, assooiation, or publio agency out.ide ot
the boundarie. of Sanitation Distriots 2 and 3 shall be allowed to
disoharge sewage or industrial waite into 8aid trunk lines and
sewage disposal system transterred to the Buyers, or the new trunk
lines and faoilities to be oonstructed by them, unless the territory
to be served shall be annexed to either Sanitation Distriot 2 or ),
nor ~less and until said Sanitation Distriots have provided fac11i-
ties adequate to handle and dispose of such sewage and indu.trial
waste and only when the disoharge thereof into said trunk line. and
sy.tem w11l not intertere with nor deprive any of the Sellers ot ade-
~ quate capaoity in said sewage disposal lines and system tor the treat-
ment and disposal ot sewage within their boundaries. That as a
condition preoedent to the annexation thereot such territory or
territor1es .hall be required to assume their proportionate .hare ot
the cost of suoh trunk lines and taoilitie. and the maintenance thereot.
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The Buyerl Ihall have no right to disoharge .evage into
said trunk l1n.s and taoilitie. herein mentloned and desoribed
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prior to the time that possesslon ls dellvered to them in aooord-
anoe vith this Agreement and the oonstr~otlon and oompletlon ot
the nev taol1ities hereln provided tor.
SEOTION 9. It ls mutually agreed that Buyerl vill exer-
olle no oontrol or Jurildlotion over the taoilitle. here1n agreed
to bs sold, and Buyers vill ..swas no 11ab111ty tor or expen.e in
oonneotion vith the maintenanoe, use and operation of sa1d faoili-
ties until title and pOlses81on have pal,sed to said Buyers as
herelnabove agreed upon.
The Sellers agree to malntaln, repair and replaoe, al
neoessary. said faoilltles so that they remaln ln tirst-cl"l
operating and useful oondition at Sellerll sole expense until
title and pOIsesslon paIs to Buyers.
SIOTION 10. Eaoh of the terms, promisel, oonditions,
and agreements oontained herein shall extend to and be b1nd1ng on
the respectlTe asslgns, legal representatives and suooelsors 1n
interest of eaoh and every party to this Agreement,
IN WITNESS WHEREOF, the parties hereto have oaused the
names and .eals of the publio oorporations and the names ot the
offioers thereof to be subsoribed upon the date set OPPosite their
name. and eilnatures.
Dated this 8th day of Ootober, 1957.
aITY OF AllAHEIH
By
Exeouted th1.
day of
, 19.57.
Hay or
Attest:
Oity Olerk
-
Exeouted thl.
day of
, 19.57.
aITY OF BUA
By
Kay or
Attest:
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aI'fY OF BUENA P .A.RX
Executed this da, of
By
:~ , 1957. Mayor
Attest:
C1ty Clerk
aITY OF FULLERTON
Executed this day of
By
, 19.57. Mayor
AUest:
01ty Olerk
CITY OF ORANGE
Exeouted this day of
By
, 19.57. Mayor
Attest:
01ty Olerk
OITY or LA H.ABRA
Executed this day of
By
, 19.57. Mayor
Attest:
C1ty Clerk
GARDEN GROVE SAHITARY DISTRIOT
Executed this day of
By
, 1957. President
By Seoretary
PLAOENTIA SANITARY DISTRICT
Exeouted th1s day of
By
, J.9.57. Pr..1dent
By
Seoretar)'
KIDWAY CITY SANITARY DISTRIOT
Exeouted this day of
By
, 19.57. Pres1dent
By
Seoretary
;~
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iOAlU) or SUPERVISORS or THE OO,"Y
Z...u1l." 'thb da, or or O~H a8 Gov.rJl.lngl04, ot 11.'
fort10R of La Habra San1tary 118'1'1.'
~ , 19S1. d18801v.d) being out81de the 0111,
11.1t8 ot the 01ty ot La Habra
Bl
Oha1rlDan
I,
OOUQ1, Clerk and ex-otnoio alerk
of the loard ot Sup.rv1,or,
S!AJIITQI oouln VATD DIS'RIO!
beouted. thb day or
I,
, 19.57. huldonll
17
Seoro'tar,
OYPRESS aOUI'lY VA'ln DISTRIO'
II... ut ed. thle da, ot
I,
, 19.51. IT.dd.nt
By
Sooretary
LOS AT . '-1fT TOS aOUITY VATIR DlftJlIClT
Ix..uh4 'thb 4a7 ot
I,
, 19J1. Preddent
i1
Seorotar,
SIIt.J .Illlt!.
ClCU.'Y IWII'l'AUOIl IISTRIO! IG. I
1.80uted. thb day ot or ORAlGE ClOnn
J 1"1. 17
Oh&1r1U.1'l
i,
S.orotar7
OOUlITY SAlITA'lIOI DISTJlICl! 10. ,
J:z.ou'ed this 4ay or OJ' 01W((J.1l OOUI'Y
, 19.51. By
Oha1ran
B7 .
t-.,. Seoretar1
,
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