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027-1st Amendment-Effluent DispL 21 FIRST AMENDMENT TO EFFLUENT DISPOSAL/IRRIGATION AGREEMENT THIS FIRST AMENDMENT is made and entered into this 31 sl' day of May 2000, by and between SEMINOLE CLUB, INC., a Florida corporation (hereinafter known as "Permittor ") and the CITY OF SANFORD, FLORIDA, a municipal corporation created by the laws of the State of Florida and existing in Seminole County, Florida (hereinafter known as "Permittee ") as follows: WITNESSETH WHEREAS, Permittor and Permittee entered into that certain Effluent Disposal /Irrigation Agreement dated April 25, 1988 for the disposal of effluent at the Mayfair Golf Course located in Sanford, Florida; WHEREAS, Permittor has sued Permittee in those two cases styled Seminole Club, Inc., v. The City of Sanford in the Circuit Court of the Eighteenth judicial Circuit, in and for Seminole County, Florida, Case No.: 98- 1113- CA -15 -B and Seminole Club, Inc. v. City of Sanford in the Circuit Court of the Eighteenth Judicial Circuit, in and for Seminole County, Florida, Case No.: 00- CA- 906 -15 -B; and WHEREAS, as part of the Mediation conducted on May 11, 2000, between Permittor and Permittee, the parties agreed, inter alia, to amend the Effluent Disposal/Irrigation Agreement dated April 25, 1988. F:\ USERS \MARY\MAYFAIR \CITYLIT\amend agmempd 1 NOW, THEREFORE, in consideration of the mutual promises and covenants herein contained, the parties hereto do agree as follows: 1. Permittee guarantees an average of 450,000 gallons per day, at a minimum, measured over a lease year, to be delivered to Permittor as lessee of the Mayfair Golf Course to irrigate the Mayfair Golf Course. 2. Permittee guarantees to provide no less than 2,250,000 gallons during any one calendar week (7 days) for the remainder of the Lease Term. 3. Permittor shall provide seventy -two (72) hours advance notice, by telefax, to the Utilities Director of the City of Sanford, if Permittor intends to fertilize or apply other chemicals to the Mayfair Golf Course. 4. Permittor may, at its own expense, and upon reasonable notice to Permittee, audit Permittee's reclaimed water flow records to assure compliance with the requirements set forth herein. 5. In the event Permittee fails to meet the above minimums it shall pay Permittor twenty -five cents (25¢) per 1,000 gallons for any shortage with regard to the above annual lease year minimums to be paid at the end of the lease year. Correspondingly, Permittor shall pay Permittee twenty -five cents (25¢) per 1,000 gallons if it does not consume the minimums as determined at the end of this lease year. These sums shall be due and owing within thirty (30) days at the end of any given Lease Year. Payment of these sums will not relieve Permittee of its obligation to provide the minimums set forth in paragraph one (1), for the following years. b. Permittor shall assume responsibility for all maintenance, repair and operation of the irrigation system effective as of March 12, 2000. These duties shall include, but are not limited to, F:\ USERS \MARY\MAYFAIR \CITYLI7lamend agree.wN 2 maintaining and repairing all sprinkler heads, controllers, small diameter pipeline (3 inch and smaller), wires, valves, weather station computer, Maxi Five System electrical system components, power source and other appurtenances. If Permittor determines, after inspection, that a pipeline break occurred in a pipeline with a diameter of more than four inches, or if Permittor believes that the repair is outside the purview of this Amendment, then the Permittor shall contact the Utility Director or his designee, in writing, and the Utility Director will investigate to determine what repairs are necessary. Permittee will make all necessary repairs promptly. Permittor shall employ an appropriate number of professionals with experience in irrigation system operation and maintenance to fulfill the obligations of this Amendment. The irrigation system shall be maintained commensurate with industry standards. 7. Permittor shall maintain records of daily work orders, progress reports, employee's time and materials purchased (invoices) involving the reclaimed water irrigation system. This information, along with system operational data, shall be open for inspection to Permittee's personnel upon reasonable notice. 8. The term of this Amendment shall be concurrent with the terms of that certain Lease dated March 11, 1981, between Permittor and Permittee (as Amended). 9. Permittor agrees to operate the existing reclaimed irrigation system in conformance with all state and local regulations. 10. Permittee shall continue to maintain the master pump station at the golf course and all related pump station components with the exception of the fertigation system. Permittee will continue to maintain the jockey pump at the master pump station, pond level, etc. Permittee shall be responsible for maintaining all large diameter pipelines (4 inch and larger). F:\ USERS\ MARY \MAYFAIR \CITYLIT\amend ag ee:wo 3 11. Permittee shall have the right to enter upon the premises at any time in order to inspect and monitor the irrigation system to ensure that Permittor is operating and maintaining the system according to industry standards. 12. Permittor shall provide proof of insurance naming both Permittor and Permittee as insured parties and protecting each against mutually responsible risks arising out of the reclaimed water irrigation system, including, but not limited to, public liability insurance with limits to be hereafter agreed upon by the parties in writing. 13. Permittee shall pay to Permittor the lesser of the amount paid as rent by Permittor to Permittee under that certain Lease dated March 11, 1981 (as Amended) or $65,000.00 (adjusted annually in accordance with the Consumer Price Index as of March 31, 2001 for the preceding twelve (12) month period). The payment shall be due annually thirty (30) days after the end of any given lease year. As used herein, the term "Consumer Price Index" shall mean the Consumer Price Index for All Consumers, All Items, U.S. City Average (1982 - 1984 = 100) as published by the United States Department of Labor, Bureau of Labor Statistics. 14. This Amendment will be deemed effective from March 12, 2000 through March 11, 2048. IN WITNESS WHEREOF the undersigned parties have executed this Amendment in a form and manner sufficient to bind them as of the date of joint execution. F:\ USERS\ MARY\ MAYFAIR \CITYLInamend agreemo 4 SEMINOLE CLUB, INC., (Permittor) STATE OF FLORIDA COUNTY OF By L _X_ RIC LEARY, as Vice President BEFORE ME, the undersigned authority, this day personally appeared RICHARD CLEARY, whose title is Vice President of SEMINOLE CLUB, INC., and who, being first by me duly sworn, and who produced Fi . L4 c e s as proof of identification/v&)A s � 4a4emr executed the foregoing instrument. WITNESS my hand and official seal this 2q day of _, 2000. ELISE Y LAUgAC ---- '" MY COMMISSION # CC 865161 +` 'o EXPIRES: August 22, 2003 Bonded Thru Notary Public Underwriters Notary Public, State of Florida F: \USERS\MARY \MAYFAIR \CITYLITIamend agreempd 5 WITNESSES: C &ezc� Diane Crews Typed/Printed Name �xlease - C. Davison Typed/Printed Name STATE OF FLORIDA COUNTY OF n C> CITY OF SANFORD (Permittee) Larry A. Dale, Mayor Typed/Printed Name and Title BEFORE ME, the undersigned authority, this day personally appeared L-ar r y A,. - bcle SANFORD, and who, being foregoing instrument. whose title is M V4>r of THE CITY OF first by me duly sworn, and who produced as proof of identification/who , executed the WITNESS my hand and official seal this 31s+ day of fAQ,-V 2000. o V P& DIANE CREWS 6 COMMISSION # CC 655670 I E: EXPIRES JUN 15, 2001 BONDEDTHRU N ATLANTIC BONDING CO., INC., Notary Public, State of Florida F:\USERS\MARY\MAYFAIR\CITYLMamend agree.wpd 6