DDW-2024-008411

195 North 1950 West • Salt Lake City, UT
Mailing Address: P.O. Box 144830 • Salt Lake City, UT 84114-4830
Telephone [phone] • Fax [phone] • T.D.D. [phone]
www.deq.utah.gov
Printed on 100% recycled paper
State of Utah

SPENCER J. COX
Governor

DEIDRE HENDERSON
Lieutenant Governor

Department of
Environmental Quality

Kimberly D. Shelley
Executive Director

DIVISION OF DRINKING WATER
Nathan Lunstad
Director

Drinking Water Board
Kristi Bell, Chair
Eric Franson, P.E., Vice-Chair
Dawn Ramsey
Justin Maughan
Corinna Harris
Jeff Coombs
Shazelle Terry
Blake Tullis, Ph.D.
Kimberly D. Shelley
Nathan Lunstad
Executive Secretary

M E M O R A N D U M

TO: Sheri Witucki, Contract/Grant Analyst
DAS, Finance

THROUGH: Wayne Boyce
DDW Finance Manager

FROM: Michael J. Grange, P.E.
Assistant Executive Secretary

DATE:

SUBJECT: Joseph Town Water System
Agreement # 3F2039P
Tax ID # 87-0360387
Contract #

Joseph Town Water System was authorized planning funding by the Drinking Water Board on
April 23, 2024, in the amount of $40,000 with 100% principal forgiveness to update its water
system master plan including a capital projects improvement list. Attached is a planning principal
forgiveness agreement for the principal forgiveness portion in the amount of $40,000 to Joseph
Town Water System. It will be paid from Fund _______ in conjunction with loan 3F2039P once
expenditures have been submitted and approved.

Please sign the agreement and return it to Linda Ross at [e-mail]. If you have any
questions, please contact me at [phone] or [e-mail]. You may also contact
Wayne Boyce at [phone] or [e-mail].

Thanks

Michael Grange
Assistant Executive Secretary

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Contract#
SRF #
Amount:
Recipient:
Tax ID#
3F2039P
$40,000
Jos eph Town W.S .
87-0360387
PLANNING PRINCIPAL FORGIVENESS AGREEMENT
DRINKING WATER ST A TE REVOL YING FUND
STATE OF UTAH
Department of Environmental Quality
Drinking Water Board
This principal forgiveness agreement is entered into by and between the State of Utah,
Department of Environmental Quality, Drinking Water Board (hereinafter the "BOARD") and
Joseph Town Water System
an applicant for principal forgiveness under the Drinking Water Board provisions contained in
R309-705 of the Utah Administrative Code as authorized by Utah Code Title 73, Chapter I 0c
(hereinafter the "RECIPIENT"). Pursuant to the provisions of the Statute, and the powers and
functions of the Drinking Water Board, the BOARD hereby finds and determines, based upon
the formal application of the RECIPIENT, the evidence provided by the RECIPIENT to the
BOARD and its staff, and information developed by the BOARD in its own investigations a nd at
the hearings on the application of the RECIPIENT, the following , that:
1. The RECIPIENT is eligible for financial assistance pursuant to the Safe Drinking Water
Act Section 1452 42 USCA 300j et seq.
2. The BOARD has determined that principal forgiveness is necessary to detem1ine the
economical feasibility of the proposed Project as described hereafter as Exhibit-I.
3 . The RECIPIENT has been authorized by the BOARD pursuant to Section R309-705 o f
the Utah Administrative Code and as authorized by Utah Code Title 73-l0c-4 to rece ive
principal forgiveness.
Based upon these findings, the BOARD is authorized and empowered to, and does he reby, enter
into the following agreement with the RECIPIENT.
242520
GENERAL PROVISIONS
1. The BOARD shall provide the RECIPIENT the amount of $40,000 (PRJN CIP A L
FORGIVENESS AMOUNT) for the compl etion of the Project a s d esc rib ed in Exh ibit-1,
Work Description and Cost Breakdown.
2. The RECIPIENT shall complete the Project described in Exhibit-I, Work Desc ript ion
and Cost Breakdown. If work on the Project is not completed by _______ ~
this principal forgiveness may be canceled by written notice from the BOARD to th e
RECIPIENT. No work completed after receipt of the notice shall be re imbursable.
3. The RECIPIENT shall notify the BOARD in writing of any proposed modificat ions to
the Project which alters Exhibit-!, Work Description and Cost Breakdown. If such
notification is not received , the cost of the proposed modification will be disallowed.
4 . The PRINCIPAL FORGIVENESS AMOUNT shall be deposite d with other funds
necessary to complete the Project into a supervised escrow account at the time this
principal forgiveness agreement is executed. All disbursements from the escrow account
must be reviewed and approved in advance by the RECIPIENT and the BOARD. Upon
completion of the Project unused principal forgiveness funds which remain in the es crow
account must be returned to the BOARD . Funds returned as surplus to the BOARD s ha ll
be applied as a reduction of the PRINCIPAL FORGIVENESS AMOUNT.
5. The RECIPIENT shall comply with all laws which normally govern its affairs in regard
to contracts, fiscal procedures and procurement procedures.
6. The RECIPIENT shall indemnify and hold harmless the State of Utah, the Department o f
Environmental Quality, the Division of Drinking Water, the BOARD and their offi cers ,
agents and employees from and against any and all loss, damage, injury, li ability, and
claims, including claims for personal injury or death, dam ages to person al prope1ty an d
liens of workmen and materialmen, howsoever caused, resultin g directl y or indirec t ly
from the performance of this principal forgiveness agreement by the RECI PIENT, o r the
operations of the Project and the culinary water system for which this Proj ect is a part
including attorneys fees and costs in the investigation or d efense of any cl ai m, wheth e r o r
not the claim has merit.
7. The RECIPIENT shall be an independent contractor, and, as such , shall have no
authorization, express or implied, to bind the State of Utah, the De partm e nt of
Environmental Quality, the Division of Drinking Water, or the Drinking Wate r B oard to
any agreement, settlement, liability, or understanding wh atsoe ve r, nor to perfom1 an y act s
as agent for the State of Utah, except as herein expressly set forth.
June 30, 2025
8 . RECIPIENT expenditures under this principal forgiveness agreement determined by
audit to be ineligible for reimbursement because they were not authorized by the term s
and conditions of the agreement, or that are inadequately documented, and for which
payment has been made to the RECIPIENT will be immediately refunded to the BOARD
by the RECIPIENT upon written demand of the BOARD. The RECIPIENT further
agrees that the BOARD shall have the right to withhold any or all subsequent payments
under this or other contracts to RECIPIENT until recoupment of overpayment is made .
9. This principal forgiveness agreement may be altered, modified, or supplemented only by
written amendment, executed by the parties hereto, and attached to the original signed
copy of this agreement. No claim for services furnished by the RECIPIENT, not
specifically authorized by this agreement will be allowed by the BOARD.
I 0. If it is determined that in any manner the principal forgiveness agreement was improperly
made or entered into, or if the monies are or were used improperly or contrary to the
terms of this agreement, the RECIPIENT shall pay to the BOARD the amount of all
monies and benefits received by the RECIPIENT from the BOARD.
11. The RECIPIENT agrees, in accepting the proceeds, to comply with all applicable state
and federal regulations related to the Utah State Revolving Fund administered by the
Drinking Water Board. These requirements include, but are not limited to, Title XIV of
the Safe Drinking Water Act of 1996, 0MB Circular A-133, the Utah Federal State
Revolving Fund Program (R309-705 of the Utah Administrative Code), the Utah Money
Management Act, the Utah Procurement Code and the State of Utah Legal Compliance
Audit Guide.
EXECUTION
NOW, THEREFORE, by virtue of the authority contained in Utah Code Title 73, Chapter I 0c, as
amended, the parties hereto mut1rnlly agree to perform this Agreement.
IN \V. NESS WHERE~F.A the parties hereto have executed this Agreement on this / IJ-l1vday
of-+....1.4~~--' 20~. This contract will take effect upon approval as evidenced by the
appropnat ignatures .
RECIPIENT
Joseph Town Water System
25 East 100 North
Joseph, Utah 84739
8/~G]Z:Zdv1 ;:d Campbell
Mayor
By:~~,8~
Haley Obray
Treasurer/Recorder
STATE
APPROVED -DRINKING WATER BOARD
By:--------------
Date: --------
Michael J. Grange, P .E.
Assistant Executive Secretary
APPROVED -DIVISION OF FINANfE
By:--------------
Date: --------Sheri Witucki
June 18, 2024
June 1ш, 2024
CamScanner
JURAT
STATE O F UTAH )
:ss
COU TY O F: SEVIER )
On this j U day of m<MA _ . 202tl, personally appeared before me Jared Campbell and
Haley Obray, who being~ sworn did say they are the duly authorized Mayor and
Treas urer/Recorder respectfully, of Joseph Town, a political subdivision of the State of Utah or a
Utah Corporati on , and that the foregoing instrument was signed in behalf of said political fk_.;
subdiv iS or corpor~ by authority of a motion of its governing body_ passed_ on the /.~ .
day of_._.......,._~~• 2 , and said persons acknowledged to me that said poht1cal subd1v1s1on
or corporatio xecuted the same.
TE RRI HARTL.8
NotaryPubllo
State of Utah
11,CaMiisslorl &pm 1t l04l2028
COMMISSION NUMBER 727761
My Commission Expires:
{I-D4-2b24?
Not Public, residing at:
b GVl'a?. COUNTY
Date: 6 .. llt-24
Exhibit No . l
WORK DESCRIPTION & COST BREAKDOWN
Joseph Town
PRINCIPAL FORGIVENESS
PROJECT DESCRIPTION
Joseph Town has requested and been approved for principal forgiveness from the Drinking
Water Board. This principal forgiveness is for the cost of update its water system master plan,
including a capital projects improvement list. To partially fund this work, the Board authori zed a
planning loan with 100% principal forgiveness of $40,000 to Joseph Town.
SCOPE OF WORK
(Please attach a copy of the scopi:ro£WotkJJ f r ' .. l I ;~_\·:., ~~::;~ ( .
· ; 11','ll"'.'~('\r t ,. ·''"'' •"•·~~..... \ , .. · I
Joseph Town needs a Water Master Plan Update to evaluate ~xistta·g,wafur..s ysteni "11ncl -i f it i~ in compliance to t,tate
regul ations . This will provide a water master plan for the commuRi~r ~0 help •l,e eo11mm11ity pm tog eth-e rcapifal
improvement projects and where future water needs will need to be addr essed .
• I
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