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Tri-Municipal MOA 1989uARFARARO & QUARTARARC7 ATTORNEYS AT 4AW 9 CANNON 5'fR EET pOVOO KEEP91E, NEW YORK AMENDED MEMORANDUM OF UNDERSTANDING BETWEEN TRI-MUNICIPAL SEWER COMMISSION AND THE TOWN OF WAPPINGER. This Memorandum of Understanding sets forth the basic terms of a proposed agreement between the Tri-Municipal Sewer Commission ("Commission") and the Town of Wappinger ("Town") with respect to the treatment of sewage to be generated in the Town of Wappinger and to be treated by the Tri-Municipal sewage treatment plant. The terms of the agreement shall contain the following conditions: 1. Scope -- it is anticipated that the agreement will be directed toward. the initial treatment of 1,000,000 gallons per day of sewage generated in the Town of Wappinger (Phase 1) in the Wappinger Sewer Improvement Area #1 and The Rockingham Farms Sewer District with the understanding that the delivery of the sewage will be in phases. It is anticipated that the eventual total flow being provided for will be 4,000,000 gallons per day. The Town of Wappinger shall have the right to first refusal on using the last 3 million gallons of treatment available at the site for a future specified time period. 2. It is anticipated that the sewage will be delivered by the Town of Wappinger to the existing 'Tri-Municipal pumping station located in the Village of Wappingers Falls. From that point on, the Tri--Municipal Commission will have jurisdiction over the modifications of the existing pump station and all delivery systems to the treatment plant. Furthermore, the enlargement of the treatment plant will be performed by the Tri•TMunicipal Sewer Commission and its Consultants. 7 RARTARARO S OUARTARARO ATTORNEYS AT LAW 9 CANNON STREET POUGHKE.EPSIE, IIEW YORK 3. The Commission will be responsible for the preparation of map plan and report for all facilities that need to be enlarged or modified from the point of entry at the Village Pump Station through the expansion of the plant and the modification of any outfall lines to the Hudson River, a copy of which map plan and report shall be furnished to the Town of Wappinger. The map plan and report, as well as all environmental and legal work and the detail design for any modifications and expansion, shall be performed by the consultants of the Tri-Municipal with the understanding that payment therefor shall be made by the Town of. Wappinger. Estimates for cost of work will be provided on a staged basis. 4. The Commission will treat the sewage and charge the Town of Wappinger at a rate computed in the same manner as presently computed for the existing Town of Poughkeepsie First Ward Sewer District or the Village of Wappingers Fails, Operations and Maintenance will be charged quarterly in advance based on flow. 5'. Existing Tri-Municipal facilities which can accommodate the increased flow generated by the expanded district herein in the Town will be paid for proportionately, based on design flow. The value shall be determined by the consultants and engineers based on actual out-of-pocket cost to the Commission (which includes the cost of indebtedness), subject to review by the Town of Wappinger Consultants for 2 UARTARARO a OUARTARARO ATTORNEYS AT LAW CAUNOR STREET PCLC}{KEF.PSIC, NEW YORY. mathematical accuracy. The flow formula shall be computed by the Commission's Engineers using the percentages which have been established. by the Commission Accountants. Fees from additional users or payments made subsequent to those payments made or agreed to by the Town of Wappinger will be adjusted with the Town of Poughkeepsie, the Village of Wappingers Falls, and the Town of Wappinger on the same basis as above shown to be determined by the Commission Accountants. Payment for existing facilities shall be made by the Town of Wappinger over a twenty (20) year period without interest and shall be in equal annual amounts. 6. New facilities which necessarily must be constructed will be paid for separately by the Town of Wappinger. The payments called for shall be paid to the Tri-Municipal. Sewer Commission prior to commencement of construction through the issuance of serial bonds by the Town of Wappinger-: The Town of Wappinger shall have the right to refuse to award the bids for construction of new facilities, which right shall not be unreasonably exercised, This tight shall relate to costs of construction which would become apparent at the time of receipt of the bids. 7 The design, construction and administration of the new facilities, under the responsibility of the Commission including necessary legal work regarding the design and construction, shall be performed by the Commission consultants. 3 NAPO & QUARTANARO rORNEY3 AY LAW CANNON STREET 'KEEPS'S. NEW YORK New facilities falling under the responsibility of the Tri-Municipal Sewer Commission are defined as: Any and all modifications or improvements required to any of the transmission facili- ties, downstream of the Village Pump Station (including pump station), pump stations and wastewater treatment facilities installed. The services provided for above shall be coordinated with the Town of Wappinger consultants. 8. All transmission facilities, pumps and similar facilities designed and installed by the Tri-Municipal Sewer Commission shall be maintained by the Tri--Municipal Sewer Commission. Tri-Municipal shall approve the design of the facilities in the Town of Wappinger. a) The quality of the effluent at the entry point shall comply with the sewer use ordinances in existence in the Town of Poughkeepsie and the Village of Wappingers Falls as well as complying in all respect to the SPEDES Permit requirements of the New York State D.E.C. and the United States E.P.A. 9. In addition to the costs computed and the fund to be created for construction, the Town shall further deposit with the Commission, on a phased basis in a separate account, the necessary funds to pay for the consultants during the design in the early phases of work. All consultants will work on a time basis and will submit vouchers monthly for work performed on behalf of the project. Payment will be made monthly based on copies of vouchers. 4 '7 UARTARARO h QUARTARARO ATTORNEYS AT LAW CAKNON STREET POUG}IKEEPSIE, NEW YORK 10. All future capital expenses not related to the necessary expansion and modifications called for herein shall be paid for by the Town of Wappinger together with the Village of Wappingers Falls and the Town of Poughkeepsie and other users, if any, based on an allocated flow basis. 11. The parties hereto acknowledge that there are some claims for damages made by contractors who have constructed the existing facilities. It is understood that any recovery by the contractors shall be added to the value of the existing facilities and factored into the formula with respect to costs of the existing facilities. The parties understand that there is also an action by Irmingard Klebe, Index No. 1987/4421, and that any damages awarded in that action by acts of the Commission committed prior to November 14, 1988 shall not be part of any monies recoverable against the Town of Wappinger. 12. The term of the agreement to be entered into between the parties shall be for as long a period of time that the law will allow with the understanding that it is the intent of the parties to be bound hereby for an indefinite term, 13. The parties understand that there is an additional. 3,000,000 gallons per day of sewage which is presently being generated by the Town of Wappinger which may be treated by the Tri-Municipal plant. The Town of Wappinger understands that should the Town deliver said additional 3,000,000 gallons per day, that the. terms and conditions of the treatment of such additional sewage shall be essentially in accordance with the terms hereof. 5 VAR;ARARO Q QUARTARARC ATTORNEYS AT LAW 9 CANNON STREET PO UnNKRER51E, NEW YORK 14. It is distinctly understood that any expenses incurred or required to be made due to a flow contributed by the Town of Wappinger in excess of the amount contracted for shall be paid for by the Town of Wappinger, 15. Settlement of Disputes: Any disputes between the parties hereto arising out of the application or interpretation of the agreement shall be submitted for declaratory judgment to the Supreme Court of the State of New York in Dutches s County. 16 . It is unders food by the par ties that any improvements made hereto to accommodate the Town of Wappinger shall be paid for as described above and that the delivery of said sewage to the treatment_ plant shall continue throughout the life of this agreement. This clause is being inserted inasmuch as some of the payments made by the Town of Wappinger will be made over a term of years based on flow. The Town of Wappinger understands that i t will not divert said flow to a different facility , provided neither party is in breach. 17. The method of payment and amounts thereof shall be computed by the Tr1-Municipal Sewer Commission as above mentioned. The agreement between the parties shall contain language which will indicate that billings to the Town of Wappinger must be paid for within 30 days. Should the Town of Wappinger disagree with the amount, it agrees that it will nevertheless pay the amount billed and contest the same subsequent to the time the money is due since the billing is based on budget. 6 18. Any tenants to the Town of Wappinger, will be charged on an actual cost basis based on flow in accordance with a formula similar to the one applied herein to the Town of Wappinger. 19. The rights hereunder accruing to the Town of Wappinger cannot be assigned to third parties outside of the municipal boundaries of the Town of Wappinger without the consent of the Tri-Municipal Sewer. Commission. TRI-MUNICIPAL SEWER COMMISSION By: L Imo. JENSENi Chairman B y : a UARTAHARO a OHARTARARO ATTORNEYS AT L.AW 9 CAHHOH STREET POHcHKEZPSIE, NEW YORK TOWN OF.WAPPINGER STATE OF NEW YORK ) COUNTY OF DUTCHESS ) ss.: On this ( ('(' day of 198 before me personally came , to me known and known to me to be the same person who subscribed the foregoing iris trumen t, and tha t (s) he signed the same as of the Town of Wappinger , and tha t (s) he execu te6 the above agreement pursuant to a Resolution duly adopted by the Town Board of said Town, and (s) he duly acknowledged to me tha (s) he executed the same. THOMAS F. WOOD NOTARY PUBLIC, State of New York No. 4684926 Qualified in Dutchess County Commission Expires '0, 19 tlri 30 STATE OF NEW YORK COUNTY OF DUTCHESS NOTARY PUBLIC On the day o.f 1989, before me personally. came: Aii4 of the, TRI-MJNIC1PAL SEWER COMM 1SS ION, to me known to be. the G-Ar4•-imr......--- of the Tr i-Municipal Sewer Commiss on , and who execLed the for ego ing ins tr umen t pursuan L to a Resolu Lion passed by the member s of the commission dur ing their regular nine ting on the gt. day of ',.-.....,. :1,k4U----- , 1989, and who acknowledged (I tha t (s) he ex eci: Led. the for ego ing ins I -rumen L.. ANTHONY M. QUARrAPArtO Notary Public Ot New York State Resitting in Ootritioss Counly Common Ex Or el Janimry 31, 1Sii, ILIAFIYARARO QUARTAPARO ATTO9NEYS AT LAW 9 r:A9909 rillIEET POYO3HYPEPSIE, NEM YORK