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HomeMy WebLinkAboutMINUTES - 10162012 - C.104RECOMMENDATION(S): ADOPT Resolution No. 2012/434 approving the Assumption of Contra Costa County Pipeline Franchises and County Consent to Transfer for ConocoPhillips Company to transfer pipeline franchises to Phillips 66 Company. FISCAL IMPACT: No Fiscal Impact. BACKGROUND: On June 24, 1997, the County granted a pipeline franchise to Union Oil Company of California (Unocal) to operate a products pipeline and a natural gas pipeline within the County for a term of 20 years per County Resolution No. 97/330 (97/330 Franchise). Unocal sold the pipelines subject to the 97/330 Franchise to Tosco Corporation, and on October 28, 1997, the County consented to the transfer of the 97/330 Franchise to Tosco Corporation pursuant to County Resolution 97/576. On June 24, 1997, the County granted a pipeline franchise to Unocal California Pipeline Company (UNOCAP) to operate an oil pipeline within the County for a term of 20 years per County Resolution No. 97/331 APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 10/16/2012 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor ABSENT:Federal D. Glover, District V Supervisor Contact: Carrie Ricci, 925 313-2235 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: October 16, 2012 David Twa, County Administrator and Clerk of the Board of Supervisors By: Carrie Del Bonta, Deputy cc: C.104 To:Board of Supervisors From:Julia R. Bueren, Public Works Date:October 16, 2012 Contra Costa County Subject:Assumption and Consent Agreement to transfer pipeline franchises to Phillips 66 Company BACKGROUND: (CONT'D) (97/331 Franchise). Through a series of acquisitions and mergers, ConocoPhillips acquired the rights in, to and under the 97/330 Franchise and the 97/331 Franchise. Effective May 1, 2012, ConocoPhillips transferred certain of its assets to Phillips 66 Company, including its rights in the 97/330 Franchise and the 97/331 Franchise to Phillips 66 Company pursuant to an Assignment and Assumption and Bill of Sale Agreement, dated as of April 27, 2012. ConocoPhillips has filed written applications with the County, dated November 21, 2011, and May 1, 2012 wherein it has requested the consent of County to the transfer and assignment of the 97/330 Franchise and the 97/331 Franchise to Phillips 66 Company. Approval of Resolution No. 2012/434 will transfer the 97/330 Franchise and the 97/331 Franchise to Phillips 66 Company, and authorize the Director of Public Works or her designee to execute the Assumption and Consent Agreement whereby Phillips 66 Company agrees to abide by the terms of the County franchise ordinance and post the required bond. CONSEQUENCE OF NEGATIVE ACTION: Phillips 66 Company will not acquire the pipeline franchises. CHILDREN'S IMPACT STATEMENT: Not applicable ATTACHMENTS Resolution No. 2012/434 Assumption & Consent Agreement