HomeMy WebLinkAboutResolution - 2001-R0206 - Contract Agreement - BP Pipelines, Inc. - 06/14/2001Resolution No. 2001-RO206
June 14, 2001
Item No. 32
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to
execute for and on behalf of the City of Lubbock an Agreement between the City of Lubbock
and BP Pipelines (North America) Inc. to relocate and maintain pipeline, and any other related
documents. Said Agreement is attached hereto and incorporated in this Resolution as if fully
set forth herein and shall be included in the minutes of the Council.
Passed by the City Council this 14th day of Jpne 2001.
WINDY SITT N, MAYOR
ATTEST:
Rebecca Garza, City Secretary
APPROVED AS TO CONTENT:
Ed Bucy, Right -of -Way Agent
APPROVED AS TO FORM:
Linda L. Chamales
Supervising Attorney/Office Practice
LLC:gs/ccdocs/BP Pipelines.Res
June 1, 2001
Resolution No. 2001-RO206
June 14, 2001
Item No. 32
AGREEMENT TO LOWER AND MAINTAIN PIPELINE
THIS AGREEMENT TO RELOCATE AND MAINTAIN PIPELINE
("Agreement"), made this 30th day of May , 2001, subject to the terms
and conditions set forth herein, between the City of Lubbock, Lubbock International
Airport, located at 5401 N. MLK Blvd, Lubbock, Texas 79403 (herein called "City"), and
BP Pipelines (North America) Inc., 801 Warrenville Road, Suite 700, Lisle, Illinois
60532 (hereinafter called "Utility Company")
WHEREAS, the City of Lubbock desires to construct a rail spur to provide access
from Burlington Northern Santa Fe Railroad mainline to the proposed Interport Trade
Center at the Lubbock International Airport; and
WHEREAS, said construction activities will require certain adjustments, and/or
relocation of the existing facilities of the PIPELINE; and
WHEREAS, the parties desire to allocate the costs and responsibilities for
relocation of the existing facilities and maintenance of the relocated facilities across and
along the rail spur corridor;
NOW, THEREFORE, the parties hereto, for the consideration hereinafter expressed do
covenant and agree as follows:
1. Subject to the terms and conditions hereinafter set forth, the parties agree that Utility
Company shall lower its existing PIPELINE across and along the rail spur corridor at
or near rail spur centerline station 47+70 [general description of location], the
location being more particularly shown in Exhibit A and made a part hereof. City
agrees that in return for Utility Company agreeing to lower its PIPELINE, City shall
reimburse Utility Company for the costs associated with such lowering on the
condition that Utility Company performs such lowering in conformance with the
plans and specifications provided to the City and approved by the City in advance of
Utility Company undertaking such work.
2. This agreement shall be effective May 30, 2001 , and shall continue so long
as City maintains the rail spur facility in this location.
3. Utility Company agrees to acquire all required rights-of-way for the relocation of the
PIPELINE. City agrees to reasonably cooperate with Utility Company to make
application for and obtain all necessary permits, licenses or grants of any nature
whatsoever required or imposed by any governmental body or other party with
respect to the PIPELINE to be lowered.
4. Utility Company agrees to relocate the PIPELINE in accordance with applicable
pipeline industry and railroad industry (AREMA) specifications, in a manner
satisfactory to City, and without interference with other structures now in place.
Utility Relocation & Maintenance Agreement
Page 1
5. City agrees to reimburse Utility Company for reasonable actual costs and expenses,
incurred in the lowering of the PIPELINE, (including, but not limited to labor,
materials, and supplies, handling and storage charges, subcontractors, transportation
and equipment, preliminary engineering, construction engineering and inspection,
permit fees, taxes and overheads), which costs have been estimated to be
$ 70,000
a. Should the costs of the work materially exceed preliminary estimated cost,
due to conditions not known or anticipated at the time of the estimate
preparation, and/or substantial change in the scope of work, method of
installation, change in location, or other changes of similar nature have
taken place, Utility Company shall notify City in writing of such fact and
the reasons therefore as promptly as possible after making such
determination.
b. Following completion of the relocation, Utility Company shall submit a
final invoice detailing all direct and indirect costs incurred by Utility
Company in installing the PIPELINE. Utility Company shall maintain
records verifying cost incurred for a period of two years and shall provide
said records to the City for review if requested. It is agreed that Utility
Company shall be reimbursed for total project work or project expense as
soon as reasonably possible after submitting the final invoice for such
costs.
C. If the relocation is not performed in accordance with the plans and specs
previously agreed to by the City or if Utility Company fails to give proper
notice to the City pursuant to Paragraph 5(a) above, costs for adjustments
to the lowered utility shall be the responsibility of Utility Company.
d. By agreeing to or by lowering its PIPELINE pursuant to this Agreement,
Utility Company shall not thereby be deemed to have abandoned,
modified, released, or otherwise destroyed any of its rights existing at the
time of the execution of this Agreement under valid and subsisting public
or private right-of-way easements granted to or otherwise vested in the
Utility Company unless Utility Company shall have released same by
written instrument. All PIPELINES relocated by Utility Company will
continue to be owned and operated by Utility Company.
6. Utility Company agrees at its own cost and subject to the supervision and control of
City, to maintain the PIPELINE in such a manner and to construct of such material
that it will not at any time be a source of danger to or interference with the tracks,
roadbed or rail corridor of City or the safe operation of the railroad, as the railroad is
constructed initially.
Utility Relocation & Maintenance Agreement
Page 2
a. Utility Company will perform any maintenance or repairwork in such a
manner to preclude damage to the property of City and preclude
interference with the operation of the railroad spur. After performing
maintenance Utility Company shall at its own cost restore City's premises
to their former state and within fifteen (15) days pay City the entire cost
incurred by City in providing flagmen protection or any other means of
protection which, in the judgment of City may be required during the
maintenance of the PIPELINE.
b. Utility Company assumes, and agrees to defend, indemnify and hold City
harmless from and against all loss, costs, expenses (including attorneys'
fees), claims, suits and judgments whatsoever in connection with injury to
or death of any person(s) or loss of or damage to any property caused by
or in any way connected with the installation, maintenance, use, presence,
reconstruction, relocation, renewal or removal of PIPELINE, except when
caused by the sole fault or negligence of City.
C. When the railroad spur is in active use, Utility Company will provide or
require all contractors employed for any construction, repair, maintenance,
replacement or removal to procure and to maintain during the course of
such work at Utility Company or contractor's expense, a policy of
Commercial General Liability (CGL) Insurance and Railroad Protective
Liability (RPL) Insurance covering liability assumed by [Utility
Company] under this Agreement with a coverage limit of not less than two
million dollars ($2,000,000) Combined Single Limit per occurrence for
bodily injury and property damage and at least six million dollars
($6,000,000) aggregate limit during each annual policy period.
Notwithstanding the above, Utility Company reserves the right to self -
insure.
d. If at any time after being given timely notice, Utility Company shall, in the
judgment of City, fail to perform properly its obligations under this
paragraph, City may, at its option, arrange for the performance of such
work as it deems necessary for the safe operation of its railroad, and in
such event Utility Company agrees to pay, within fifteen (15) days after
bill is rendered therefor, the cost incurred by City. Failure on the part of
City to perform the obligations of Utility Company shall not release
Utility Company from liability for any loss or damage occasioned thereby.
7. Utility Company agrees to comply with all federal, state and local environmental laws
and regulations in its use of the rail spur, including, but not limited to the Resource
Conservation and Recovery Act, as amended (RCRA), and the Comprehensive
Environmental Response, Compensation and Liability Act, as amended (CERCLA).
a. Utility Company will not release or suffer the release of oil or hazardous
substances, or cause the sudden or nonsudden pollution of air, water, land,
Utility Relocation & Maintenance Agreement
Page 3
and /or groundwater on City's rail corridor arising from or in connection
with the PIPELINE or resulting from any chemical or electronic reaction
caused by transmission in or over Utility Company PIPELINE. Utility
Company agrees to assume responsibility for the investigation and cleanup
of such release and shall indemnify and defend City and it agents for all
costs and claims, including consultant and attorney fees, arising in any
manner out of such a release or with Utility Company's failure to comply
with environmental laws, except to the extent such costs or claims are
proximately caused by City's gross negligence or intentional misconduct.
b. Utility Company will give City timely notice of any release, violation of
environmental laws or inspection or inquiry by governmental authorities
charged with enforcing environmental laws with respect to City's rail
spur. Utility Company will also give City timely notice of all measures
undertaken by or on behalf of Utility Company to investigate, remediate,
respond to or otherwise cure such release or violation.
8. This Agreement shall be governed by the Laws of the State of Texas.
9. If any part, section or paragraph of this Agreement is determined to be invalid, illegal,
or unenforceable, for any reason, such determination shall not affect the validity,
legality or enforceability of all other parts of this Agreement.
10. Unless otherwise so designated in this Agreement, the terms and conditions of this
Agreement shall inure to the benefit of and be binding upon the parties hereto and
their respective successors, and assigns.
11. This Agreement is the full and complete agreement between the parties with respect
to all matters relating to the relocation and/or maintenance of the PIPELINE, and
supercedes all other agreement between the parties on this subject.
IN WITNESS WHEREOF, the parties have executed this agreement in duplicate on the
day and year first above written.
ATTEST:
(Q-- 2 I�J I — 0;. �
Rebecca Garza, City Secre y
Utility Relocation & Maintenance Agreement
Page 4
- :.. mss' •�- . .
APPROVED AS TO CONTENT:
Ed Bucy, Right -of -Way Agent
Linda L. Chamales, Supervising Attorney
Utility Relocation & Maintenance Agreement
Page 5
hxhibit A - Part 1 of 3
Resolution No. 2001- R0206
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CITY OF LUBBOCK
LUBBOCK
INTERNATIONAL
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G03 of 21
Exhibit A - Part 3 of 3
I
Resolution
No.
2001-R02
I
1
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PROPOSED 8- FLAT BOTTOM DITCH
WfIH 3:1 SIDE SLOPE TO MATCH EXISTING
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GRADE FROM STA 38+SD -STA 42+50
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CITY OF LUBBOCK
LUBBOCK
INTERNATIONAL
AIRPORT
RAILROAD SPUR TO SERV
THE INTERPORT TRADE
CENTER
EDA # 08.49.03071
Reduced
1/2 Scale
Drawing
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INDUSTRIAL SPUR
PLAN AND PROFILE
STA. 35+00 TO 49+00
C04 of 28