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HomeMy WebLinkAboutMINUTES - 12192006 - C.27 ,Y yli t Contra TO: BOARD OF SUPERVISORS Costa FROM: MA[JR]CE M. SIIIi.J, PUBLIC WORKS DI[ZIC'[OR DATE: December 19, 2006 County SUBJECT: Approve the extension of the franchise agreement with Calpine Pittsburg Inc. through .December 31, 2007 and accept Calpine's replacement surety bond with Westchester Fire Insurance Company in the amount of$1,000 Pittsburg and Antioch Area (District V). Project No.: 005-9120: SPIa.CIFIC REQI_ll?ST(S)OR RECOMMF.NDA I'ION(S)&BACKGROUND AND.IUSTIFIC'ATION Recommended Action: EXTEND the franchise agreement between Contra Costa County(County)and Calpine Pittsburg, Inc (Calpine) through December 31, 2007, and replace Calpine's surety Bond No. 059085 issued by Lumbermands Mutual Casualty Co in the amount of$1,000 with Westchester Fire Insurance Company's Bond No. K04999964. I+inancial Impact: There will be no fiscal impact from this actio Continued on Attachment: SIGNA'T'URE: RECOMMENDATION OF COUNTY.ADM[NIS' AOR _ RECOMMENDATION OF BOARD CONI TTE APPROVE OTFIER SIGNATURE(S): AC'T'ION OF BOARD ON APPROVED AS RECOMMENDED t) ER VOTE OF SUPERVISORS Y 11401 S(ABSENT) AES: I hereby certify that this is a true and correct AYES: _ _ i ABSENT: ABS N: copy of an action taken and entered on the minutes of the Board of Supervisors on the c;:�Ite:,u'ro�,2ooe-Files..rso,c l:es c,►30. Cr 3. u_.dog �'"'�'"f/ date shown. Orifi.Div: Public Worls(Ilii') i Contact:D.Kramer (3-2227) ATTESTED: �)kU-VV4-0,1 q, cc: County Adminim,ator JOHN CULLEN, Clerk of the Board of Audi:nr-Controlicr(via 1v'I') 1' w Aee,t� ti Supe ors and County Admi i trator 1.13crgeron,Computer Services Recorder(via R/11) By © Deputy SUBJECT: Approve the extension ofthe franchise agreement with Calpine Pittsburg Inc. through December- 31, 2007 and accept Calpine's replacement surety bond with Westchester Tire Insurance Company in the amount of$1,000 Pittsburg and Antioch Area (District V). DATE: December 19, 2006 PAGE: .Page 2 of 2 III. Reasons for Recommendations and Back,-round: The original franchise agreement granted under Resolution 1735, was for a 40 year term, and expired on June 4, 2003. County staff has been working on developing a new County Franchise Fee Ordinance, which should be in place in 2007. Calpine has requested an extension of the existing franchise agreement Under the same terms and conditions of County Resolution 1735. In addition, Calpine has requested that its surety :Bond No. 059055 in the amount of $1,000 issued by the now defunct Lumbermens Mutual Casualty Company be replaced with Bond No. IC04999964 in the amount of$1,000 issued by Westchester Fire Insurance Company. IV. Consequences of Ne(ative Action: Calpine will not have an effective Bond on file with the County. Also, Calpine's Franchise Agreement will not be extended and would continue on a month to month basis. I THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA Adopted this Order on 2006 by the following vote: AYES: NOES: ABSENT: ABSTAIN: RESOLUTION NO. 2006/ SUBJECT: Approve the extension of the franchise agreement granted to Calpine Pittsburg, Inc. pursuant to County Ordinance 1735 until December 31, 2007 and replacement of Calpine's surety Bond No. 059085 in the amount of$1,000 issued by Lumbermens Mutual Casualty Co. with Bond No. K04999964 in the amount of$1,000 issued by Westchester Fire Insurance Company. This Board on June 4, 1963 adopted Ordinance 1735, which granted three pipeline franchises to (1) Shell Oil Company, (2) The Dow Chemical Company, and (3) Shell Oil Company and The Dow Chemical Company (joint ownership franchise) to operate and maintain pipelines within certain County rights-of-way. On October 13, 1998, pursuant to Board Resolution No. 98-546 the Dow Chemical Company franchise was transferred to Calpine Pittsburg, Inc. ("Calpine"). The original Dow Chemical Company franchise agreement granted under Ordinance 1735, was for a 40 year term, and expired on June 4, 2003. County staff has been working on developing a new County Franchise Fee Ordinance, which should be in place in 2007. Calpine has requested an extension of the existing franchise agreement under the same terms and conditions of County Ordinance No. 1735, until such time as the County adopts a new Franchise Fee Ordinance. In addition, Calpine has requested that its surety Bond No. 059085 in the amount of$1,000 issued by Lumbermens Mutual Casualty Company be replaced with Bond No. K04999964 in the amount of$1,000 issued by Westchester Fire Insurance Company. IT IS BY THE BOARD ORDERED that the franchise agreement transferred to Calpine pursuant to Resolution 98-546 be extended under the same terms and conditions as set forth in County Ordinance 1735, to December 31, 2007, and that Lumbermens Mutual Casualty Company Bond No. 059085 in the amount of$1,000 be replaced with Westchester Fire Insurance Company Bond No. K04999964 in the amount of$1,000. GARea1Prop\2006-Fi1es\B0s&Res 06\Calpine Res01ulion_0rd.._.1735.doc Orig. Dept: Public Works (AD) Contact person:David Kramer (313-2227) Cc: County Auditor/Controller County Counsel IN THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY;, STATE OF CALIFORNIA June 11, 1963 In the Matter of Ordinance. . No . 1735 Granting Three Franchises to Shell Oil Company, Dow Chemical Company and to Shell Oil Company and Dow Chemical Company in Jvint Ownership. This Board having on May 14, 1963 adopted Resolution No. 1914 declaring intention to advertise and sell franchise:,: in the manner provided by law and particularly referred to In Notice of Sale of Franchise attached to and made a part of said Resolution No. 1934, and a.aid Board having fixed this date for receiving sealed bids; NOW, THEREFORE-,. the Clerk proceeds to open bids re-• . ceived From the follaering Shell Oil Company The Dow Chemical Company .Shell. Oil Company and The Dow, Chemical Company, and. the Board •,considers said bids; NOW.. THEREFORE, on motion of Supervisor Coll., seconded by Supervisor Linscheid, IT IS BY THE BOARD. ORDERED that the bids be and the same are hereby ACCEPTED, and the Clerk is di- rected to deposit with the County Treasurer cashiers cheeks totaling $300, which accompanied said bids as cash consideration for franchises for pipe lines along•-'the 'public' highways partic- ularly referred to in said bids . .._ l IT IS BY .THE BOARD FURTHER ORDERED that Ordinance No. x-735- granting three franchises Ito. said bidders, Shell' Oil Company, The Dow Chemical Company, and Shell Oil. Combany and The Dow Chemical Company (joint ownership franchise), be Wand the same is hereby APPROWK0, copy :of said,.Ordinance to be published in "rhe Post Dispatch` in the manner and for the time required by law, The foregoing order was passed by the following vote of the Board: AYES: ' Supervisors Mel P".• Nielsen, Thomas- .Tohn Coll, Edmund A. Linscheid, Joseph S. Silva, Janes P. Kenny. NOES. None . ABAJi T,1 None. �.:ii!!_-trj f'-'•i cc : Shell Oil Company .. ..!.. ,.t,;:r: The Dow Chemical Company .Right of .Way Agent dura r;,..,,. .:TT, ',T- ,; Public Works Director �' er-rfficio clar�a rf eaiJ Il.ar1 v, rlaputg Clark. `:u}•vrrr.or.+. 1,. County Administrator County Treasurer County Auditor ORDINANCE NO, 1735 T. AN ORDTNANCE GRANTING THREE FRANCHISES FOR THE RIGHT AND PRIVILEGE TO CONSTRUCT, MAINTAIN, OPEP11TE REPAIR, RENEW.; AND RELATED PURPOSES IN CONNECTION Wlf-ql PIPE LINES FOR THE TRANSPORTATION OF PETROLEUM, LIQ UID. HYDROCARB09 SUBSTANCES, AND VARIOUS OTRER SUDSTPJ4CES AS HEREIN DESCRIBED TO SHELL OIL CWPANY, DOW CHEMICAL C.OMPANY AND TO SHETZ OIL COMPANY XUD DC14 CHIE'DIICAL C.OMPAITY IN JOINT 010FERSHIP, The. Board of Supervisors of the County of Contra Costa do ordain as -follows: SECTION Z. The right, privilege and franchise is .hereby- granted erebygranted from time to time to construct,, maintain., operate, repair, renew and remove or abandon in place, two pipe lines. not to ex- ceed twenty (20) inches in inside diameter for the transportation of petroleum, liquid, hydrocarbon substances, gas, including hydrogen, natural gasoline, water, waste water., mud,, steam. and other liquid and gaseous substances, together with all manholes., service con- nections and other appurtenances necessary or convenient for the operation of said pipe lines for the term of forty (40) years from. and after the date when the franchise shall become effective, in,. under, along and across the public highways, streets, and alleys in each of the unincorporated portions of the County of Contra Costa for separate franchises, as -follows: 1® To Shell Oil Company., a Delaware corporation: a. Loveridge Road from a point 3.050 feet Horth of the A.T. & S.F.R.R. tracks to the Pittsburg-Antioch Highway, b, Pittsburg-Antioch Highway froilu a point. 400 feet easterly of the centerline of Loveridge Road to the East boundary of the City of Pittsburg. c. North ParksIde Drive from the West boundary of the City of Pittsburg to Willow Pass Road. d. Willow Pass Road from North Parkside Drive: to the Shell Chemical Corporation plant. East of Manor Drive. 2. To Dow Chemical Company, a corporation: a. Loveridge Road from a point 1050 feet North of the A.T. & S.F.R.R. tracks to the Pittsburg-Antioch Highway. 3. To Shell Oil Company, a corporation and Dow Chemical Company, a corporation, in joint. ownership: a. Lone Tree Way from A point 25 feet South of the East Bay Municipal Utility District 100 Foot fee strip in Section 36, T. 9 Nm, R. 2 E. , M.D.B. & M. to a point on the North line of said Section 36. b. Buchanan Road from the East. 1ine of Somersville Rd. to the West line of the Standard Oil Company Los. Medanos Tank Parm Road. c. Pittsburg-Antioch Highway from Loveridge Road to a point 2,500 feet East of the centerline of Loveridge Rd. SECT-ION 2. (a) The word "Grantee" herein means and includes Grant-ee and its successors and assigns. (b) The we "County" herei.r, means thk- Jounty of Contra Cos ta. (c) "Public highway" hereinmeans and includes all thearea- within the right of way for all public highways, streets and alleys in the uri3neorporate d portions of the County, hereinabove set forth. (d) Iie words "franchise property°t herein mcaiis all property constructed, installed., operated or maintained in any public highway, pursuant to arcy right or privilege granted by this franchise. SECTION 3.. This franchise and privilege is granted :and shall be held and enjoyed only upon the provisions and conditions prescribed by law and those contained in this Ordinance. 11-ie grantee(s) must, within thirty (30) days after the effective date of this Ordinance, file with the Clerk of the Hoard of Supervisors of Contra Costa County, a written acceptance of the terms and conditions of this Ordinance. SECTION 4. All franchise property to be constructed and operated under this franchise shall be built and constructed in a good and workmanlike manner and of good material, and any pipe line, manhole or other appurtenance laid, located, or maintained under said franchise shall be so placed as not to interfere with the use of said public highway by the traveling public or for public purposes. In constructing, installing and maintaining the franchise property, the Grantee shall make and backfill all excavations in such manner and way as to leave the surface of the public highway in as good condi- tion as it was prior to said excavation, and to repair any trench subsidence as well as to conform to the statutes of the .State of California and to existing ordinances and specifications of the County, with respect to the securing of permits and the excavation, filling and obstruction of County highways. County shall have the right to designate the location, or approve plans for the location, of all pipe lines prior to commencement of construction. The work to erect or lay said system shall be commenced in good faith within not more than four (4) months .from the granting of this franchise and if not so eorarenced the franchise shall be forfeited. SECTION 5. Whenever any portion of the territory covered by this franchise shall be annexed to, or otherwise become apart of any municipal corporation, or of any other County, or of any other political -3- subdivision. of the .;ate of California, the rights reserved under this franchise to the County, or any officer thereof, shall inure to the benefit 0. such municipal corporation or Coun ty, and its ap- propriate officers. SECTION 6. Grantee shall not sell, transfer or assign this franchise or any of the rights or privileges granted hereby without the consent of the Board of Supervisors, nor shall this franchise or rights or privileges be sold, transferred or assigned except by a duly executed instrument in writing, filed in the office of the County Clerk of the County; and provided, further, that nothing in this franchise shall be. construed to grant to said Grantee, any right to sell, transfer or assign this franchise, or any of the rights or privileges hereby granted, except in the manner aforesaid. SECTION 7. The County reserves the right to improve any high- way, street, alley or other public places, or portion thereof, over .and within which this franchise is granted, including. the widening, change of grade, construction or reconstruction of. such highway, street, alley or other public places, or any portion thereof, and there is further reserved to the County and any municipal corpora- tion, political subdivision or district within the County the right to construct., reconstruct, install, repair and maintain in any such highway, street., alley or other publfc places, or portion thereof, any public Improvement. If notice in writing is given. to the Grantee ten (10) days in advance of the fact that work is to be done pursuant to any right reserved above in this section, specifying the general nature of the work and the area in which the same is to be perforired, then the Grantee shall do all things necessary to protect it.s franchise .property during the progress of such work, and if ordered by the Board of Supervisors of the County, the Grantee shall temporarily disconnect or temporarily remove or shall relocate its franchise property within tae public highway to such extent, in suc=h manner, and for such period as shall be necessary to permit the performance of such work in an economical manner, and in accordance with the generally recognized engineering and construction methods, and to -4- permit the maintenance, operation and use of such public improvement or of the highway, street, alley or other public places as so im- proved. All of such things to be done and work to be performed by the Grantee shall be at the sole cost and expense of the Grantee. In the event that the County or any municipal corporation, political subdivision or district within the County shall hereafter construct, install, reconstruct or repair any bridge, culvert, storm drain, sanitary sewer or other facility owned or operated by any of such agencies over or underlying any highway, street, alley or other public places in which the Grantee's franchise property is located, and in the event that the cost of such work as may reasonably be re- quired is Increased in order -to provide for the installation, main- tenance or operation of Grantee's franchise property in or on the area covered by or underlain by said bridge or other artificial sup- port, then the Grantee shall pay to the County or such municipal corporation, political subdivision or district doing such work the .full amount of such increase of cost, upon completion of such con- struction, installation or repair. Any damage done directly or indirectly to any public street, highway, alley or other public Improvement by the Grantee, in exercising directly or indirectly any -right, power or privilege un- der this franchise, or in performing any duty under or pursuant to the provisions of this Ordinance, shall be promptly repaired by said Grantee, at its sole cost and expense, to the complete satisfaction of the County. SECTION 8. If the Grantee shall fail to comply or to commene e and. diligently proceed toward compliance with any instructions of the Board of Supervisors or Public Works Director with respect to the location of any of said franchise property or the repair of any damage to streets, alleys, highways, or other public facility within the highway right of way within ten (10) days after the service of written notice upon the Grantee requiring compliance therewith, then the Board of Supervisors may immediately cause to be done whatever work is necessary to carry out the instructions at the cost and expense of the Grantee, which cost the Grantee agrees to pay upon demand. SECTION 9. -.e Grantee shall hold the Canty, its authorized officers, agents and employees, harmless from and idemnify it against any and all liability or loss resultin`�-from claims for damages by any person arising out of the acts or omissions of the Grantee, its Agents or employees in the performance of any work authorized hereunder or arising out of the existence., reconstruction or maintenance of Grantee's facilities within the public highway or right of way. SECTION 10. The Grantee shall, during the use of this franchise, pay to the County an annual franchise fee in the amount of one cent ($0.01) per inch of nominal internal diameter per lineal foot for those parts of the pipe lines which lie arid. remain within the County rights of way. The fees shall be paid on or before the 31st of January for the preceding calendar year or any part thereof as prorated. SECTION .11. Any neglect, failure or refusal to comply with any of the conditions of this franchise, which neglect, failure or refusal shall continue for more than fifteen (15) days following notice thereof to the . Grantee from the County, shall work a for- feiture hereof, and the said County, by its Board of Supervisors, may thereupon declare this franchise forfeited,. and may exclude said Grantee from further use of the public highways of said County under this franchise; and said Grantee shall thereupon surrender all rights in and to the same,. and this franchise shall be deemed and shall remain null, void and of no effect. SECTION 12, The Grantee, during the life of this franchise, shall keep on file with the Board of Supervisors and maintain in good standing a bond naming County as obligee with a duly qualified corporate surety, in the penal sum of One. Thousand Dollars ($1.000), and conditioned that such Grantee shall well and truly observe, fulfill, and perform each term and condition of the franchise, and that in case of any breach of condition of such. bond, the whole amo-ant of the penal suns therein named shall be deemed to be liquidated damages and shall be recoverable from the principal and OF sureties upon said bond. Said -bond thall be filed by the Grantee • with the Board of Supervisors within five (5) days after this -franchise is awarded. SECTION i3, T'he provisions of this franchise and all rights, obli,,gations and duties hereunder shall inure to and be binding upon the Grantee, Sts successors and assigns. SECTION 14. This ordinance was adopted after notice of sale of franchises given pursuant to an order of this Board passed and adopted on rfi.ay 14, 1963. SECTION 15. EFFECTIVE DATE. This ordinance shall take ef- feet and be in force on and after the 5th day of July, 1963; and before the expiration of fifteen (15). days after the date of its passage the same shall be published once with the names of the members voting for aftd against the same in the Pittsburg Post Dispatch, a newspaper printed and published in the County of Contra Costa, State of California. PASSED AND ADOPTED by the Board of Supervisors of the County of Contra Costa on the 4th day of June, 1963, by the following vote: AYES: Supervisors - James P. . Kenny, Mel F. Nielsen, Thomas John Coll, Edmund A. Linscheid, Joseph S. Silva NOES: Supervisor - Xone. ABSENT: Supervisor - None, Chdirman of the Board 01, Super- visors of the County of Contra Costa, State of California AT'MST: W. T. PA-ASCH County Clerk and ex-officio Clerk of the Boavd of Supervisors of the County of Contira Costa, State of California (SEAL) BY —Deputy CLII- j.d