Title
Proposed Amendment No. 6 to Water Service Contract with Charter Township of Northville
Body
Agenda of: January 22, 2025
Item No.: 2025-010
Amount: Revenue Contract
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: January 8, 2025
RE: Proposed Amendment No. 6 to Water Service Contract with Charter Township of Northville
MOTION
Upon recommendation of David Jones, General Counsel, the Board of Directors (“Board”) of the Great Lakes Water Authority (“GLWA”), authorizes the Chief Executive Officer (“CEO”) to execute Amendment No. 6 to the 30-year water service contract with the Charter Township of Northville; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
On December 12, 2024, the Northville Township (“Member Partner”) Board agreed to the terms of Amendment No. 6 (“Amendment”) to its water service contract with GLWA.
Recently, the Member Partner completed construction of an additional water storage facility and demonstrated over the summer of 2024 that the facility contributed to reducing its peak hour demand on the GLWA system. After reviewing and discussing the data with the Member Partner, the parties agreed to a reduction in the Member Partner’s peak hour flow rate in consideration of the demonstrated effect on peak hour usage. No other contract values are modified by this Amendment. Exhibit A is amended to show the location of the storage facility; it is not attached for Homeland Security reasons. Exhibit B, attached, has been modified only to update the peak hour value.
JUSTIFICATION
Approval of this Amendment provides a mutually beneficial, stable, long-term framework for interactions between GLWA and the Member Partner and incorporates contract peak hour values that better reflect their future usage.
BUDGET IMPACT
The revenues expected to result from this Amendment will be reflected in the FY 2025-2026 schedule of charges.
COMMITTEE REVIEW
This matter is being presented to the Legal Committee for consideration at its meeting on January 22, 2025.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.