During the term of this lease agreement, all
service connections shall be made by the Authority in accordance with
the customer rules of the Authority as they may be from time to time
amended.
The term of this lease agreement shall be for a period of 40 years, commencing as set forth in §
A151-1A of this agreement and terminating on the last day of June 2014. If this lease agreement is not renewed at the end of such term or any renewal thereof or is terminated for any cause whatsoever prior to the expiration of said term or any renewal thereof, the village may, if it determines it to be in the public interest, acquire from the Authority any replacement, addition, betterment or improvement installed pursuant to §
A151-2C hereof during the lease period by the Authority at its own cost and expense for the sole benefit of the village water system hereby leased. Value of any such capital improvement shall be computed at original cost less depreciation as such original cost and depreciation shall appear upon the books and records of the Authority. If the village elects not to acquire such improvements upon termination as set forth in this section, the Authority may, at its option, remove such capital improvement from the village water system hereby leased or may, if both parties agree, lease such capital improvement to the village under such terms and conditions as may be mutually agreed upon by the parties hereto. The Authority during the term of this agreement will make its books, records and accounts available for examination by the village with respect to the actual cost and depreciation of replacements, additions, betterments or improvements installed pursuant to §
A151-2C hereof. Furthermore, in the event that this agreement is not renewed at the end of such term or any renewal thereof or is terminated for any cause whatsoever prior to the expiration of said term or any renewal thereof, the village agrees to reimburse the Authority for any and all sums paid or credits made by the Authority to the village, if any, pursuant to the terms hereof without interest.
It is understood and agreed that this lease
agreement is subject to the following conditions precedent before
the same shall become binding upon the Authority:
A. Approval by Stone & Webster as Consulting Engineers
of the Authority.
B. Approval by the County of Onondaga (Metropolitan Water
Board), if required by law.
C. Approval by the Bureau of Water Regulation, Division
of Resource Management Services of the New York State Department of
Environmental Conservation, if required by law.