2012-163
2012-163
Resolution Ratifying the Execution of an Agreement in Principle Between the Town of
Wappinger and the City of New York Acting by and through Its Department of
Environmental Protection
At a regular meeting of the Town Board of the Town of Wappinger, Dutchess County,
New York, held at Town Hall, 20 Middlebush Road, Wappingers Falls, New York, on May 15,
2012.
The meeting was called to order by Barbara Gutzler, Supervisor, and upon roll being
called, the following were present:
PRESENT: Supervisor
Councilmembers
Barbara Gutzler
William H. Beale
Vincent F. Bettina (arrived at 7:51 PM)
Ismay Czarniecki
Michael Kuzmicz
ABSENT:
The following Resolution was introduced by Councilman Bettina and seconded by
Councilman Beale.
WHEREAS, New York City owns and its Department of Environmental Protection
(DEP) operates New York City's water supply system, which provides, on average, 1 billion
gallons of high quality drinking water to the residents of New York City, and others; and
WHEREAS, the drinking water is supplied through three (3) primary aqueducts, one of
which is the Delaware aqueduct which can provide up to 50% of New York City's water supply;
and
WHEREAS, the DEP has identified two leaks in a section of the Delaware Aqueduct and
has undertaken a project to address the leaks to assure the long term sustainability of its ability to
supply water to New York City; and
WHEREAS, the aqueduct repair project is known as the "Water for the Future" (WFF)
and involves, among other things, the construction of a bypass tunnel that will cross underneath
the Hudson River; and
WHEREAS, the WFF project is scheduled to last through calendar year 2021; and
WHEREAS, as a component of the WFF project, DEP will construct a new shaft on the
eastern side of the Hudson River on City property located in the Hamlet of Chelsea, in the Town
of Wappinger (Shaft 6B); and
WHEREAS, the tentative operational date for the bypass tunnel completion is scheduled
to occur in 2021; and
WHEREAS, DEP will require a supply of water at the Shaft 6B Site for construction and
potable water purposes by September 1, 2013; and
WHEREAS, the average demand for water at the Shaft 6B site is estimated to be
169,200 gallons per day;
WHEREAS, the Town needs to provide a source of good quality water to the Chelsea
Hamlet area, where many of the residences are located on small parcels that currently use
individual well sources that have become unreliable; and
WHEREAS, DEP proposes to contract with the Town for the construction of a 12" water
main utilizing the water facilities of the United Wappinger Water District (UWWD); and
WHEREAS, the Town and DEP have entered into an Agreement in Principle, outlining
the terms and conditions pursuant to which the Town of Wappinger will construct a 12" water
main from a point of connection with the UWWD water system to the Chelsea Shaft 6B site,
upon terms and conditions outlined in the Agreement in Principle, a copy of which is affixed
hereto and made a part hereof; and
WHEREAS, on April 9,2012, after a presentation by representatives ofDEP, the Town
Board authorized the Supervisor to negotiate the terms and conditions of the Agreement in
Principle; and
WHEREAS, the terms and conditions of the Agreement in Principle were finally
resolved on May 10, 2012; and
WHEREAS, on May 10,2012, Supervisor, Barbara A. Gutzler, executed the Agreement
in Principle, a copy of which is affixed hereto; and
WHEREAS, the Agreement in Principle was forwarded to Deputy Commissioner, Paul
Rush ofDEP.
NOW, THEREFORE, BE IT RESOLVED, as follows:
1. The recitations above set forth are incorporated in this Resolution as if fully set
forth and adopted herein.
2. The Town Board hereby confirms the authority given to Supervisor, Barbara A.
Gutzler to negotiate and enter into an Agreement in Principle with DEP for the construction of a
12" water main from a point of connection with UWWD to the Chelsea Shaft 6B site, upon terms
and conditions more particularly set forth and contained in the Agreement in Principle, a copy of
which is affixed hereto.
3. The Town Board members individually confirm that they have each read the
Agreement in Principle, understand the terms thereof, and concur with the terms and conditions
stated therein.
4. The Town Board hereby ratifies the action of Supervisor, Barbara A. Gutzler in
executing the Agreement in Principle and forwarding same to Deputy Commissioner, Paul Rush
of the DEP.
5. The Town Board further acknowledges that the Agreement in Principle authorizes
an advance of $100,000 from DEP to the Town for the purposes of conducting preliminary
studies associated with the construction of the 12" water main.
6. The Town Board further acknowledges that the Agreement in Principle is to be
replaced by a more formal intergovernmental agreement which will specify in greater detail the
terms and conditions pursuant to which DEP will fund the construction of the water pipe to the
Shaft 6B site, as well as to provide additional funds for the supply of a potable water system to
the Chelsea Hamlet area.
The foregoing was put to a vote which resulted as follows:
BARBARA GUTZLER, SUPERVISOR
WILLIAM H. BEALE, COUNCILMAN
VINCENT F. BETTINA, COUNCILMAN
ISMA Y CZARNIECKI, COUNCILWOMAN
MICHAEL KUZMICZ, COUNCILMAN
Voting:
Voting:
Voting:
Voting:
Voting:
AYE
AYE
AYE
AYE
AYE
Dated: Wappingers Falls, New York
5/15/2012
The Resolution is hereby duly declared adopted.
CHRISTINE FULTON, TOWN CLERK
AGREEMENT IN PRINCIPLE BETWEEN THE NEW YORK CITY DEPARTMENT OF
ENVIRONMENTAL PROTECTION AND THE TOWN OF WAPPINGER REGARDING
TOWNAPPROVALS~ATERSUPPLY
TIDS AGREEMENT IN PRINCIPLE ("AlP") made the _ day of May, 2012,
pursuant to Article 5-G of the General Municipal Law of the State of New York, by and
between:
THE CITY OF NEW YORK ("CITY"),
acting by and through its
DEPARTMENT OF ENVIRONMENTAL PROTECTION ("DEP"),
having its principal address at 59-17 Junction Boulevard, Flushing New York 11373,
and
THE TOWN OF WAPPINGER ("WAPPINGER"),
a Municipal Subdivision
having its offices at Town Hall,
20 Middlebush Road, Wappingers Falls, New York 12590,
sets forth mutual commitments and understandings between DEP and WAPPINGER (hereinafter
referred to as the "Parties") related to: i) DEP's intent to provide funding for certain water supply
projects to be designed and constructed by WAPPINGER for both Parties' benefit; and ii) other
commitments and intentions of the Parties related to planning, design and construction of such
water supply projects, including permitting and environmental review.
The purpose of this AIP is to establish a framework to provide DEP with a supply of water for.
construction of the new Shaft 6B (hereinafter defined), and to provide a water supply system to
WAPPINGER, as the host community for the Shaft 6B project, in the form of municipal water
distribution in the Chelsea Hamlet district.
1. Water for the Future Proj ect Background
New York City owns, and DEP operates, New York City's water supply system ("System"), .
which provides, on average, one billion gallons per day of high quality drinking water to
approximately nine million consumers. Water is supplied through three primary aqueducts:
the Delaware; Catskill and Croton. The Delaware Aqueduct ("Aqueduct") can provide up to
50% of the CITY'S supply.
DEP has identified two leaks in a section of the Delaware Aqueduct and has committed
capital funds to address the leaks to insure the long-term sustainability of its ability to supply
water through the Aqueduct. This project, known as Water for the Future ("WFF") involves,
among other things, the construction of a bypass tunnel that will cross underneath the
Hudson River. This tunnel will bypass the section of the Aqueduct that is leaking. Overall
construction of the WFF Proj ect is scheduled to last through 2021.
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c. Description of Water Supply Projects
i. Phase I: construct 12-inch water main from the nearest UWWD
interconnection point to either the eastern or northern property line of the
Site (first district extension).
11. Phase 2: a) construct a water main extension from Phase 1 termination
point into Chelsea Hamlet district and b) construct a distribution system in
the Chelsea Hamlet district, exclusive of service connections (second
district extension).
d. It is contemplated that WAPPINGER intends to apply for a Land Use Permit
from DEP for the installation of a water filtration facility on Shaft 6 property,
such water filtration facility being necessary for WAPPINGER to treat City water
it would take from the Shaft 6 or 6B connection.
3. Understanding of the Parties
In an effort to establish the mutual considerations and commitments of the Parties, the Parties
intend that the following items represent the understanding of the Parties:
a. DEP intends to provide funding to WAPPINGER for the Phase 1 and Phase 2
proj ects described herein to a maximum amount of $11 million:
i. DEP intends to fund $9 million for Phase 1:
1. Funding would cover costs associated with planning, permitting,
design and construction of the 12-inch water main, inclusive of
costs associated with environmental review, legal and project
administrative costs. WAPPINGER shall use best efforts to
complete construction of 12-inch water main by August 2013 for
operational date of September 1, 2013 for Shaft 6B construction.
2. Funding payable in phases based on design and construction
milestones for the 12-inch water main as developed and agreed to
by the Parties.
11. DEP intends to fund $2 million for Phase 2:
1. Funding contingent on: 1) creation of a tenant water district or
extension to UWWD for the Chelsea Hamlet area; 2) completion
of the environmental review for Phase 2; and 3) expeditious design
and implementation of the Phase 2 distribution project.
2. In order to exercise the option for the Phase 2 funding,
WAPPINGER shall have met such milestones towards the Phase 1
Project and Phase 2 development that will be agreed upon by the
Parties.
3. The Parties intend that the Phase 2 funding will be used for a water
distribution system in the Chelsea Hamlet district and not for areas
outside of that district.
4. In no event shall DEP fund more than $2 million for the Phase 2
project. Any costs above $2 million will be borne by
WAPPINGER.
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of the Parties that WAPPINGER would be reimbursed for all costs associated
with good faith efforts to conduct the project work up to the time of a transfer to
DEP or project termination.
1. Prior to registration of the Inter-Governmental Agreement, the City intends to pay
for contract costs associated with initial project planning and design up to
$100,000 via the New York City Water Board. Any funds expended prior to
registration would be deducted from the $11 million total amount dedicated to the
projects.
m. DEP intends to provide staff assistance to WAPPINGER in the planning and
permitting of the project, including SEQR and DEC permits. It would be
WAPPINGER'S obligation to conduct necessary studies, make applications, and
obtain all necessary permits and approvals.
n. DEP intends to continue to take a supply of potable water from UWWD for the
personnel working at the Site when the Shaft 6B facility becomes operational.
4. Term and Termination
The term of this AlP will be through the date when the Inter-Governmental Agreement is
registered by the New York City Comptroller, upon which the terms and conditions
contained therein will be binding on the Parties. The Inter-Governmental Agreement will
operate as the binding contract upon the Parties once registration is obtained. If the Inter-
Governmental Agreement is not registered by the City Comptroller within a reasonable
period of submission, this AIP will terminate.
5. Agreement in Principle Subject to Other Approvals
The Parties intend that the terms and understandings in this AIP are subject to all applicable
state and local laws and regulations. The Parties intend to use their best efforts to obtain all
necessary state and/or local permits and approvals as quickly as practicable to effectuate the
terms and understandings herein.
6. Non-Binding Nature of Agreement in Principle
The Parties intend for this AIP to be a statement of their mutual intentions only, and unless
the Inter-Governmental Agreement is executed by the Parties and registered by the City
Comptroller, there are no legally binding agreements between DEP and WAPPINGER with
respect to the water supply projects or funding obligations described herein.
7. Governing Law
This Agreement shall be governed by the laws of the State of New York.
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ACKNOWLEDGEMENTS
STATE OF NEW YORK )
) ss:
COUNTY OF )
On the _ day of May, 2012, before me, the undersigned, personally appeared PAUL V.
RUSH known to me or proved to me on the basis of satisfactory evidence to be the individual
whose name is subscribed to the within instrument and acknowledged to me that he executed the
same in his capacity, and that by his signature on the instrument, the individual, or the person
upon behalf of which the individual acted, executed the instrument.
Notary Public
STATEOF NEWYORK )
) ss:
COUNTY OF DUTCHESS )
On the \ O~ay of May, 2012, before me, the undersigned, personally appeared BARBARA A.
GUTZLER known to me or proved to me on the basis of satisfactory evidence to be the
individual whose name is subscribed to the within instrument and acknowledged to me that she
executed the same in her capacity, and that by her signature on the instrument, the individual, or
the person upon behalf of which the individual acted, executed the instrument.
~~~..
. Notary Public
AlBERTP. ROBERTS
Notary Public Stale of New Vorfc
No.02R03301620
Oualifled in Dutchess County 14
Commission Expires February 28, 20_
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