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Resolution No. 7592I RESOLUTION NO. 7592 2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF 3 VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A WATER RIGHT LICENSE BY AND BETWEEN THE CITY OF 4 VERNON AND KAL-KAN FOODS, INC. WHICH GRANTS THE CITY OF VERNON A LICENSE TO EXTRACT 168 ACRE-FEET OF KAL- 5 KAN'S ALLOWED PUMPING ALLOCATION FOR THE PERIOD JULY 1, 2000 THROUGH JUNE 30, 2001 6 7 WHEREAS, the City of Vernon and Kal-Kan Foods, Inc. ("Kal-Kan") 8 have entered into various agreements since 1990 providing for the City to 9 lease Kal-Kan's allowed pumping allocation; and 10 WHEREAS, the Director of Community Services & Water and Kal-Kan 11 have negotiated a new Water Right License with an agreed price for the 12 period of July 1, 2000 through June 30, 2001 of Thirty -Nine Thousand Four 13 Hundred Eighty Dollars and No Cents ($39,480.00), and said money being 14 applied as a credit towards Kal-Kan's regular water bills; and 15 WHEREAS, the City of Vernon sent a "Statement" of account dated 16 July 24, 2000, which provides that the sum of Thirty -Nine Thousand Four 17 Hundred Eighty Dollars and No Cents ($39,480.00) (for 2000-2001) will be 18 applied to the Kal-Kan Water Account No. 12-19740-01-0, for the period 19 of July 1, 2000 through June 30, 2001; and 20 WHEREAS, said "Statement" has been submitted to the City and 21 approved by the Director of Community Services & Water; and 22 WHEREAS, Mr. John Ellsworth, the Technical Purchasing Manager 23 for Kal-Kan, signed said "Statement" on July 28, 2000, agreeing 24 thereto. 25 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE 26 CITY OF VERNON AS FOLLOWS: 271 SECTION 1: The City Council of the City of Vernon hereby 28 finds and determines that the recitals contained hereinabove are true 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 I and correct. SECTION 2: The City Council of the City of Vernon hereby approves the Water Right License and the "Statement," (which is attached to said License), a copy of which is attached hereto as Exhibit "A" and made a part hereof. SECTION 3: The City Council of the City of Vernon hereby authorizes the Mayor and the City Clerk to execute said License for, and on behalf of, the City of Vernon. SCION 4: The City Council of the City of Vernon hereby directs the City Clerk, or his designee, to send a fully executed Water Right License to: Kal Kan Foods, Inc. Attn. John Glenn, Commercial Manager P. O. Box 58828 Vernon, CA 90058 SECTION 5: The City Council of the City of Vernon hereby directs the City Clerk, or his designee, to send a copy of the Water Right License (without the Statement) to: Watermaster Service State of California Department of Water Resources 770 Fairmont Avenue, Suite 102 Glendale, CA 91203-1035 SECTION 6: The City Clerk of the City of Vernon shall certify to the passage of this resolution, and thereupon and thereafter the same shall be in full force and effect. APPROVED AND ADOPTED this 8th day of August, 2000. ATTEST• BRUCE V. MALKENHORST, City Clerk PPI-05 rff(�— LEONIS C. M�LBURG, Iffayor - 2 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 7592, was duly adopted by the City Council of the City of Vernon at an adjourned regular meeting of the City Council duly held on Tuesday, August 8. 2000, and thereafter was duly signed by the Mayor of the City of Vernon. BRUCE V. MALKENHORST, City Clerk (SEAL) - 3 - EXHIBIT A WATER RIGHT LICENSE THIS LICENSE is made, entered into and executed as of this day of 2000. BY AND BETWEEN KAL KAN FOODS,INC. (hereinafter "Licensor") P.O. Box 58828 Vernon, CA 90058 AND CITY OF VERNON, a municipal corporation (hereinafter "Licensee") 4305 Santa Fe Avenue Vernon, CA 90058-0805 RECITALS• Licensor hereby grants to Licensee a License to extract 168 acre-feet of Allowed Pumping Allocation allocated to Licensor (or predecessors in interest) under and pursuant to the Judgment dated October 11, 1965, and entered in Los Angeles Superior Court Case No. 786,656 entitled "Central and West Basin Water Replenishment District vs. Charles E. Adams, et al." during the period commencing July 1, 2000, and continuing to and including June 30, 2001. This License is granted, subject to the following conditions: (1) Licensee shall exercise said right and extract the same on behalf of Licensor during the period above specified and put the same to beneficial use, and Licensee shall not by the exercise hereunder of said right acquire any right to extract water independent of the rights of Licensor. (2) Licensee shall pay assessments levied on the pumping of said ground waters by the Water Replenishment District. (3) Licensee shall notify the District and the Watermaster that said pumping was done pursuant to this License and provide the Watermaster with a copy of this license. (4) Licensee shall note, in any recording of water production for the period of this License, that said pumping was done pursuant to this License. (5) Licensee's Allowed Pumping Allocation shall be increased by the amount hereby leased when computing carry-over of allowable over -extraction as provided by Part III, Subpart A and B in said Judgment. -1- A - 1 Licensor warrants that it has 168 acre-feet of Allowed Pumping Allocation and that it has not pumped and will not pump or permit or license any other person to pump any part of said 168 acre-feet during the period of July 1, 2000 through June 30, 2001. KAL-KAN ODS INC. Licens By: John Glenn Title C mmercia1 Manager By: Jo n Ellsworth T tl Technical_ Purchagina Man;;aPr CITY OF VERNON Licensee By: LEONIS C. MALBURG, Mayor ATTEST: By: BRUCE V. MALKENHORST, City Clerk (SEAL) APPROVED AS TO FORM: By: EDUARDO OLIVO, City Attorney -2- A - 2 1 ' w July 24, 2000 STATEMENT KAL KAN FOODS, INC. grants to the City of Vernon a license to extract 168 acre-feet of KAL KAN FOODS, INC.'s allowed pumping allocation for the 2000-2001 Fiscal Year @ $235.00 per acre-foot for a total cost of $39,480.00. APPLY THE ABOVE PAYMENT TO KAL-KAN ACCOUNT ##12-19740-01-0 KAL OODS, INC. y /// iture Title VERNON agrees to the above Statement. ture statement.fk Title '/Go Date Date A - 3 WATER RIGHT LICENSE _THIS LICENSE is made, entered into and executed as of this r_day of 2000. BY AND BETWEEN KAL KAN FOODS,INC. (hereinaf ter "Licensor") P.O. Box 58828 Vernon, CA 90058 AND CITY OF VERNON, a municipal corporation (hereinafter "Licensee") 4305 Santa Fe Avenue Vernon, CA 90058-0805 RECITALS• Licensor hereby grants to Licensee a License to extract 168 acre-feet of Allowed Pumping Allocation allocated to Licensor (or predecessors in interest) under and pursuant to the Judgment dated October 11, 1965, and entered in Los Angeles Superior Court Case No. 786,656 entitled "Central and West Basin Water Replenishment District vs. Charles E. Adams, et al." during the period commencing July 1, 2000, and continuing to and including June 30, 2001. This License is granted, subject to the following conditions: (1) Licensee shall exercise said right and extract the same on behalf of Licensor.during the period above specified and put the same to beneficial use, and Licensee shall not by the exercise hereunder of said right acquire any right to extract water independent of the rights of Licensor. (2) Licensee shall pay assessments levied on the pumping of said ground waters by the Water Replenishment District. (3) Licensee shall notify the District and the Watermaster that said pumping was done pursuant to this License and provide the Watermaster with a copy of this license. (4) Licensee shall note, in any recording of water production for the period of this License, that said pumping was done pursuant to this License. (5) Licensee's Allowed Pumping Allocation shall be increased by the amount hereby leased when computing carry-over of allowable over -extraction as provided by Part III, Subpart A and B in said Judgment. -1- Licensor warrants that it has 168 acre-feet of Allowed Pumping Allocation and that it has not pumped and will not pump or permit or license any other person to pump any part of said 168 acre-feet during the period of July 1, 2000 through June 30, 2001. KAL-KAN ODS. INC. en161), By: John Glenn CITY OF VERNON Licensee B ONIS C. MAL G�,My®r' ATTEST: By: BRUCE V. MALKENHORST, City Clerk (SEAL) APPROVED AS TO FORM: By: EDUARDO OLIVO, Ci Attorney -2- July 24, 2000 STATEMENT KAL KAN FOODS, INC. grants to the City of Vernon a license to extract 168 acre-feet of KAL KAN FOODS, INC.'s allowed pumping allocation for the 2000-2001 Fiscal Year @ $235.00 per acre-foot for a total cost of $39,480.00. APPLY THE ABOVE PAYMENT TO KAL-KAN ACCOUNT'012-19740-01-0 KAL , INC. ture Title F VERNON agrees to the above Statement. mo, //i ture statement.Rk Title Date L� lad Date