HomeMy WebLinkAbout1973 Assignment of Lease for a City Water Transmission Line from Crown Zellerbach Corp. to Port Townsend Paper Corp.ORDINANCE NO. lq73
AN ORDINANCE AUTHORIZING THE EXECUTION OF A
MODIFICATION OF A WATER TRANSMISSION LINE
LEASE, AND FURTHER AUTHORIZING THE APPROVAL
OF THE ASSIGNMENT OF SAID LEASE
WHEREAS, after negotiations had between the City of Port
Townsend and representatives of Crown Zellerbach Corporation
and Port Townsend Paper Corporation, it has been agreed that a
lease of a water transmission line by the City to Crown
Zellerbach may be assigned to Port Townsend Paper Corporation,
and
WHEREAS, it has been further agreed in said negotiations ~
that the amount of water reserved for City use in said lease
shall be increased from a maximum of four million gallons per
day to a maximum of five million gallons per day, that the City
shall be permitted to divert up to one million gallons per day
from said transmission line at a point near "Four Corners" in
Jefferson County, Washington, that said lease term shall be
extended twenty (20) years, and that the ~degree of City
participation in replacement to said transmission line shall be
reduced from 4/14 share to 5/18 share of said replacement
costs, and
WHEREAS, it is deemed in the best interests of the City
that such amendments be made, now, therefore
THE CITY COUNCIL OF THE CITY OF PORT TOWNSEND, IN REGULAR SESSION
ASSEMBLED, DO ORDAIN AS FOLLOWS:
Section 1. The Mayor and City Clerk are here and hereby
authorized and directed to execute, on behalf of the City of Port
Townsenc~ a .modifiea~i~3n. of that certain water transmission line
lease by which the City leases said transmission line to Crown
Zellerbach Corporation for a term from March 15, 1956 to March 15,
2000, and to approve the assignment thereof to Port Townsend
Paper Corporation, in the form and manner of the "Modifaction of
Lease" presented to and accepted by the City Council on November
15,1983, filed with the City Clerk, and by this reference
incorporated hemein the same as though a part hereof.
Section 2. The aforesaid modification of lease and approval
of assignment shall become effective only upon completion of the
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transfer of the paper mill owned by Crown Zellerbach in Jefferson
County, Washington to Port Townsend Paper Corporation, and
thereupon said lease shall be extended twenty years, to March
15, 2020, as provided in said modification agreement.
Section 3. Subject to the provision of the condition for
transfer of the paper mill made in Section 2 hereinabove, this
ordinance shall take effect upon its passage, approval and public-
ation in the form and manner required by law.
Read for the first, second and third times; passed by the
Council and approved by the Mayor on November 15, 1983.
ATTEST:
DAVID GROVE
City Clerk
APPROVED AS TO FORM:
Ci~Attorney
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