HomeMy WebLinkAboutResolution 2007-023 pipeline adjustment agreement and easement with el paso natural gas for tangerine farms road
MARANA RESOLUTION NO. 2007-23
RELATING TO REAL PROPERTY; APPROVING AND AUTHORIZING THE DIRECTOR
OF PUBLIC WORKS TO EXECUTE THE PIPELINE ADJUSTMENT AGREEMENT AND
GRANT A NEW EASEMENT WITH EL P ASO NATURAL GAS COMPANY AS NEEDED
FOR THE TANGERINE FARMS ROAD, PROJECT NO. 2004-36.
WHEREAS the Town of Marana and EI Paso Natural Gas Company both have interest in
a parcel ofland within the Tangerine Farms Road limits, Project No. 2004-36; and
WHEREAS the Mayor and Council of the Town of Marana feel it is in the best interests
of the public to enter into the Pipeline Adjustment Agreement and grant a new Easement to EI
Paso Natural Gas Company as needed for the construction of the Tangerine Farms Road, Project
No. 2004-36.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE
TOWN OF MARANA, that the Agreements between the Town of Marana and EI Paso Natural
Gas Company attached to and incorporated by this reference in this resolution as Exhibit A is
hereby approved, and the Director of Public Works is hereby authorized to execute it for and on
behalf of the Town of Marana.
IT IS FURTHER RESOLVED that the Town's Manager and staff are hereby directed
and authorized to undertake all other and further tasks required or beneficial to carry out the
terms, obligations, and objectives of the Agreement.
PASSED and ADOPTED by the Mayor and Council of the Town of Marana, Arizona,
this 20th day of February, 2007. ~"''''''"
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ATTEST:
APPROVED AS TO FORM:
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Exhibit "A"
Pipeline Adjustment Agreement
State of Arizona )
) SS
County of Pima )
WHEREAS, the Town of Marana, an Arizona municipal corporation hereinafter referred to as
"Marana", is proposing to construct the Tangerine Farms Road Project No. 2004-36 including public
utilities, curb, gutter, sidewalks and appurtenant drainage improvements, hereinafter referred to as the
"Road", located within the south two-hundred fifty feet (250') of Section 35, Township 11 South, Range
11 East of the Gila and Salt River Base and Meridian in Pima County, Arizona.
WHEREAS, EI Paso Natural Gas Company, a Delaware corporation hereinafter referred to as "EI
Paso" is the owner and operator of a 10.75 inch outside diameter natural gas pipeline commonly called
the 1007 Line within a right of way and easement being undefined in width diagonally across said
Section 35, Township 11 South, Range 11 East of the Gila and Salt River Base and Meridian in Pima
County, Arizona hereinafter referred to as "Pipeline".
WHEREAS, Marana has made a request that EI Paso lower a certain portion of Line 1007 where
the Pipeline exists under the Road to accommodate certain appurtenant drainage improvements which
are a part of the design of the Road.
WHERAS, EI Paso is also the holder of certain undefined easement rights across Section 35
where the Road will be located.
WHEREAS, Marana has submitted drawings specifying where the Road will be placed in Section
35 and Marana continues to recognize EI Paso's continuing easement rights.
WHEREAS, EI Paso agrees to lower its pipeline to accommodate the Road subject to Marana
agreeing to certain terms and conditions.
NOW THEREFORE, for and in consideration of the mutual benefits to all parties, it is understood
and agreed as follows:
1. EI Paso will lower approximately 30 feet of Line 1007 to accommodate the placement of
the Road for an estimated cost of $ 97,000.00, as shown on attached "Exhibit A"
(hereafter referred to as the "Project").
2. Marana agrees to pay in advance to EI Paso one hundred percent (100%) of the
estimated Project costs ("Estimated Payment"). The Estimated Payment consists of EI
Paso's good faith estimate of all actual costs EI Paso will incur in performing the Project,
including normal overhead costs.
3. Regardless of Marana's Estimated Payment. Marana shall reimburse EI Paso for all
actual costs incurred, including but not limited to third party out of pocket expenses,
incurred by EI Paso in the Project.
4. EI Paso, upon receipt of a fully executed original of this Agreement, and the Estimated
Payment, will begin to seek appropriate federal regulatory, environmental and permitting
clearances, and as soon as practical thereafter EI Paso shall begin work concerning the
Project.
5. Prior to EI Paso's Project commencement, Marana agrees to provide EI Paso with a
current title report or conveyance document listing the subject property's record title
ownership.
6. Marana hereby agrees to allow EI Paso the use of a portion of their property as a
temporary construction easement defined as a strip of land 20 feet in width adjacent and
contiguous to the granted easement either in whole or in part on each side of the
easement during the Project construction period, to use for the purposes incidental to
construction, the right to use the strip of land ceasing and being terminated at the
Project's completion. Marana also agrees to expedite any approvals required by Marana
for EI Paso to perform the Project.
7. Marana agrees to grant EI Paso a new Right of Way and Easement 60 feet in width more
particularly described in the attached legal description attached hereto as Exhibit B for its
pipeline where it crosses the road; in exchange, EI Paso will release the original grants of
right of way and easement described as the South Two-hundred, Fifty Feet (250') of the
West half of Section 35, Township 11 South Range 11 East.
8. Marana, its successors and assigns, agrees to absorb all actual costs for the restoration
of any improvements constructed within EI Paso's right of way and easement that may be
damaged or destroyed during EI Paso's construction, maintenance, repair, lowering or
removal of its pipeline, including, but not limited to, parking lots, retaining walls, and
landscaping; provided that EI Paso uses commercially reasonable efforts to minimize any
damage or destruction of property and provided further that EI Paso shall be solely liable
for any negligent or willful misconduct by EI Paso, its employees, agents or contractors.
9. EI Paso will present Marana the final invoice for actual costs, including normal overhead
costs, incurred for the Project, by June 30, 2007. Marana shall have a right to audit EI
Paso's accounting for a period of one year from the date of EI Paso's invoice. In the
event that actual costs exceed the Estimated Payment, Marana agrees to pay the
difference to EI Paso within 30 days from its invoice receipt. If Marana fails to make
payment for the difference within the said thirty (30) day period, interest shall accrue on
the unpaid portion of the billing( s) at the then-applicable Federal Energy Regulatory
Commission ("FERC") refund interest rate as specified in Section 154.501(d) of the FERC
regulations. In the event that EI Paso owes Marana a refund of amounts paid, EI Paso
agrees to make that refund to the Marana within thirty (30) days after providing the
accounting to Marana. If EI Paso fails to make payment for the refund within the said
thirty (30) day period, interest shall accrue on the refund at the then-applicable Federal
Energy Regulatory Commission ("FERC") refund interest rate as specified in
Section 154.501(d) of the FERC regulations.
10. EI Paso shall notify Marana of the Project's completion. Marana may then proceed to
commence its construction activities across or within the effected right-of-way and
easement. Marana's construction activities shall incorporate EI Paso's requirements, if
any, made upon its review of Marana's drawings, work plan or development plan.
11. In addition to all other rules and regulations, including, but not limited to, the State of
Arizona's Blue Stake requirements, Marana hereby agrees to notify EI Paso's Tucson
District Representative, at (520) 574-4929 at least forty eight (48) hours prior to
commencing any work in the vicinity of EI Paso's right of way and easement.
12. EI Paso agrees to protect, indemnify and hold harmless Marana, its officials, officers,
agents, servants and employees from and against any and all damages, losses,
2
demands, claims, causes of action and expenses, including injury or death to person, or
damages to property arising from EI Paso's performance of this Agreement. This
indemnification expressly includes indemnification for all the foregoing except in those
instances where the forgoing is caused by the negligence of Marana.
13. Marana agrees to protect, indemnify and hold harmless EI Paso, its officials, officers,
agents, servants and employees from and against any and all damages, losses,
demands, claims, causes of action and expenses, including injury or death to persons, or
damages to property arising from the Marana's performance of this Agreement. This
indemnification expressly includes indemnification for all the foregoing except in those
instances where the foregoing is caused solely by the negligence of EI Paso.
14. Each individual executing this Agreement on behalf of or as representative of a
municipality, corporation, limited liability company, firm, partnership or other entity,
represents and warrants that he or she is duly authorized to execute and deliver this
Agreement on behalf of said municipality, corporation, limited liability company, firm,
partnership or other entity, and that this Agreement is binding upon said entity in
accordance with its terms.
15. This Pipeline Adjustment Agreement (this "Agreement") embodies the entire agreement
between EI Paso and Marana with regard to the matters contained herein. This
Agreement supersedes all previous communications, representations and agreements,
either verbal or written on all such matters. There are no warranties, promises, terms,
conditions, or obligations on these matters other than those contained herein. This
Agreement shall be binding upon and inure to the benefit of all the successors and
assigns of the parties hereto.
WITNESS THE EXECUTION HEREOF this
day of
,2007.
ACCEPTED AND AGREED TO:
TOWN OF MARANA
An Arizona municipal corporation
EL PASO NATURAL GAS COMPANY
A Delaware corporation
B'
Barb ra Johnson
Director of Public Work
By:
Rolando I. Trevino
Attorney in Fact
Approved as to Form
3
EXHIBIT "A"
Lower 25 ft. of Line 1007, ES
R. Miller
Estimated Cost
Reusina 25' Exist Pipe
Open Cut
Material
Prime Contract
Removal
Inspection
Outside Engineering
Reserve Equipment
Survey
X-Ray
Other Contract
Company Cost
R/W & Damages
Environmental
Gas Used
Contingency
Overheads
AFUDC
3,500
3,600
11,600
14,700
4,500
TOTAL
19,100
15,000
7,000
6,000
4,100
4,200
3,700
$97,000
Assumptions:
1 . This project will not be pre-paid, therefore
AFUDC's are applicable.
2. For purposes of gas blow down, 10 miles of
pipe will be blown down at 450 psig
4
February 8, 2007
Exhibit B-1
EI Paso Natural Gas Easement
A 60 foot wide easement extending across the south 250 feet of the southeast quarter of Section 35,
Township 11 South, Range 11 East, Gila and Salt River Meridian, Pima County, Arizona, being also the
Tangerine Farms Road right-of-way as described in Docket 12822 at page 1154;
COMMENCING at the south quarter corner of said Section as monumented by a 1-3/4 inch open pipe
with Parker Kalon nail in the center as referenced by the Pima County Highway Survey Department;
THENCE upon the south line of said southeast quarter and the south line of said Tangerine Farms Road,
North 89 degrees 27 minutes 41 seconds East, a distance of 1205.39 feet to the POINT OF
BEGINNING, said point bears South 89 degrees 27 minutes 41 seconds West, a distance of 117.91 feet
from the east sixteenth corner of said Section 35, as monumented by a 1-1/2 inch aluminum cap on 1/2
inch rebar marked "LS 4532 1/16";
THENCE continue upon said south line North 89 degrees 27 minutes 41 seconds East, a distance of
76.51 feet;
THENCE North 38 degrees 53 minutes 16 seconds West, a distance of 318.81 feet to a point on the
north line of said Tangerine Farms Road right-of-way;
THENCE upon said north line South 89 degrees 27 minutes 35 seconds West, a distance of 76.51 feet;
THENCE South 38 degrees 53 minutes 16 seconds East, a distance of 318.81 feet to the POINT OF
BEGINNING;
SUBJECT to any and all real property and appurtenant rights vested in or owned by the Cortaro-Marana
Irrigation District described in Book 107 at page 151 of Miscellaneous Records, Docket 807 at page 44,
and Docket 1872 at page 373, Records of Pima County, Arizona;
SUBJECT to any and all real property and appurtenant rights vested in or owned by the Tucson Electric
Power Company described in Docket 9306 at page 1553, Records of Pima County, Arizona;
5
SUBJECT to any and all real property and appurtenant rights vested in or owned by Cortaro-Marana
Irrigation District as described in Book 107 at page 151 of Miscellaneous Records, Docket 807 at page
44, and Docket 1872 at page 373, Records of Pima County, Arizona;
Prepared for and on behalf of
See attached Exhibit 'B-2'.
M M L A
PSOMAS
Project No. 03081-04
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M M L A
PSOMAS
EXHIBIT "B"
60' EASEMENT
SECTION 35
T 11 S, R 11 E
SALT RIVER MERIDIAN. PIMA COUNTY.
ARIZONA
800 f. Wetmore Rood, Suite 110, Tucson, AZ 85719
Tel (520) 292-2300 (800) 441-5875
rax (520) 292-1290 GILA &
www.mmla-psomos.com
03081-04
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.F. ANN RODRIGUEZ, RECORDER
RECORDED BY: LLK
DEPUTY RECORDER
0112 PEl
DOCKE T :
PAGE:
NO. OF PAGES:
SEQUENCE:
13022
3255
4
20070610623
03/29/2007
16: 13
SMARA
TOWN OF MARANA
ATTN: TOWN CLERK
11555 W CIVIC CENTER DR
MARANA AZ 85653
EASMNT
MAIL
AMOUNT PAID
$ 8.00
PIPELINE RIGHT OF WAY AND EASEMENT
ST ATE OF ARIZONA
COUNTY OF PIMA
KNOW ALL MEN BY THESE PRESENTS, that the undersigned, hereinafter referred to as Grantor, for and in consideration of the sum
of TEN DOLLARS AND OTHER CONSIDERATIONS, to the Grantor in hand paid by EL PASO NATURAL GAS COMPANY, a
corporation, hereinafter referred to as Grantee. the receipt of which is hereby acknowledged, does hereby grant unto said Grantee, its
successors and assigns, an easement to locate and survey a route, construct, entrench, maintain, operate and protect a pipeline with necessary
valve, cathodic equipment and appurtenances thereto, and in connection therewith, a telephone line, a power transmission line and a road
(said pipeline valves, cathodic equipment, appurtenances, telephone and transmission lines and road being hereinafter sometimes collectively
called the "facilities) over, under and through the hereinafter described land, designated by survey, through and over the said land on a right
of way 60 feet in width, being more particularly described in Exhibit "B-1" attached hereto and made a part hereof.
This easement shall carry with it the right of ingress and egress to and from, and access on and along said easement, with the right to use
existing roads, for the purpose of constructing, inspecting, repairing, protecting and maintaining the facilities and the removal or replacement
of same at will, either in whole or in part, and the replacement of said pipeline with either like or different size pipe. During temporary
periods Grantee may use such portion of the property owned by Grantor along and adjacent to said easement as may be reasonably necessary
in connection with construction, maintenance, repair removal or replacement of the facilities.
TO HAVE AND TO HOLD the above described rights and easements, together with all rights necessary to operate and maintain the
facilities over the easement hereby granted unto the said Grantee, its successors and assigns, and the Grantee may assign the rights and
easements herein granted, either in whole or in part, subject to the terms of this grant, and such rights and easements shall be covenants
running with the land and be binding upon Grantor, his heirs, legal representatives and successors in title.
Grantee may at any time, and upon permanent abandonment of said easement and removal of all improvements constructed thereon, shall
execute and record the conveyance and release hereof, whereupon this easement and all rights and privileges herein mutually granted shall be
fully canceled and terminated.
Grantor reserves the right to the use and enjoyment of said property except for the purposes herein granted, but such use shall not hinder,
conflict or interfere with Grantee's surface or subsurface rights thereunder or disturb its facilities. Grantor agrees not to increase or decrease
the elevation of the earth within the easement, perform any construction activities requiring excavations to a depth of eighteen-inches (18") or
greater, or place permanent structures without Grantee's prior written consent. No vehicles with a weight limit exceeding 30,000 Ibs
maximum axle load shall be permitted across the easement.
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Grantee shall, during construction, bury the pipeline(s) 6 feet below the then existing surface of the land, except when rock is encountered
the pipeline(s) may be buried not less than one foot below the surface.
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Grantee shall pay to Grantor all damages to Grantor's growing crops, timber and personal property caused by the construction,
maintenance, protection, repair, replacement or removal of the facilities.
For the same consideration Grantor grants to the Grantee the right to construct, maintain and operate on said easement, an additional
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pipeline or pipelines and appurtenances thereto, and in the event Grantee exercises this right Grantee shall pay Grantor the sum of $2.00 per
lineal rod for each additional pipeline constructed, as well as damages caused by Grantee to Grantor's growing crops, timber and personal
property; and Grantee shall in such case have the same rights with respect to such additional facilities as are hereby granted with respect to
the original facilities to be constructed.
Grantor represents and warrants that he is the owner in fee simple of the land hereinafter described, subject only to outstanding
mortgages, if any, now of record in said county, and in the event of default by Grantor, Grantee shall have the right to discharge or redeem
for Grantor, in whole or in part, any mortgage, tax or other lien on said land and thereupon be subrogated to such lien and rights incident
thereto.
It is hereby understood that the parties securing this grant in behalf of the Grantee are without authority to make any covenant or
agreement not herein expressed.
DESCRIPTION OF PROPERTY SITUATED IN Pima
COUNTY, STATE OF ARIZONA
Subdivision
Portions of the SE/4
Section
Section 35
Township
Township I I South
Range
Range 11 East
B&M
G&SRB&M
Being more particularly described
In Exhibit "B-1" attached hereto
WITNESS THE EXECUTION HEREOF the
day of
2007
Town of Marana,
An Arizona municipal corporation
Approved as to Form
By
Barbara ohnson
Director of Public Works
i
Project
WIO
R I W 33002
Dwg. No.
Grant No. G-I94
ST ATE OF ARIZONA
) ss.
COUNTY OF PIMA )
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The foregoing document was acknowledged before me this 2B day of r.l bY-I,{ &t'":J ' 2007 by Barbara Johnson as the Director of
Public Works of the Town of Marana, an Arizona municipal corporation on behalf of id c rporaf .
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- Notarv Public-Arizona
~ P'ima County
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February 8, 2007
Exhibit B-1
EI Paso Natural Gas Easement
A 60 foot wide easement extending across the south 250 feet of the southeast quarter of
Section 35, Township 11 South, Range 11 East, Gila and Salt River Meridian, Pima County,
Arizona, being also the Tangerine Farms Road right-of-way "as described in Docket 12822 at
page 1154;
COMMENCING at the south quarter corner of said Section as monumented by a 1-3/4 inch
open pipe with Parker Kalon nail in the center as referenced by the Pima County Highway
Survey Department;
THENCE upon the south line of said southeast quarter and the south line of said Tangerine
Farms Road, North 89 degrees 27 minutes 41 seconds East, a distance of 1205.39 feet to the
POINT OF BEGINNING, said point bears South 89 degrees 27 minutes 41 seconds West, a
distance of 117.91 feet from the east sixteenth corner of said Section 35, as monumented by a
1-1/2 inch aluminum cap on 1/2 inch rebar marked ilLS 4532 1/16";
THENCE continue upon said south line North 89 degrees 27 minutes 41 seconds East, a
distance of 76.51 feet;
THENCE North 38 degrees 53 minutes 16 seconds West, a distance of 318.81 feet to a point on
the north line of said Tangerine Farms Road right-of-way;
THENCE upon said north line South 89 degrees 27 minutes 35 seconds West, a distance of
76.51 feet;
THENCE South 38 degrees 53 minutes 16 seconds East, a distance of 318.81 feet to the
POINT OF BEGINNING;
SUBJECT to any and all real property and appurtenant rights vested in or owned by the
Cortaro-Marana Irrigation District described in Book 107 at page 151 of Miscellaneous Records,
Docket 807 at page 44, and Docket 1872 at page 373, Records of Pima County, Arizona;
SUBJECT to any and all real property and appurtenant rights vested in or owned by the Tucson
,Electric Power Company described in Docket 9306 at page 1553, Records of Pima County,
Arizona;
See attached Exhibit 18_2'.
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PSOMAS
Project No. 03081-04
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M M L A
PSOMAS
EXHIBIT "B"
60' EASEMENT
SECTION 35
T 11 S, R 11 E
SALT RIVER MERIDIAN, PIMA COUNTY,
800 E. Wetmore Rood, Suite 110, Tucson, Al 85719
Tel (520) 292-2300 (800) 441-5875
Fox (520) 292-1290 GILA &
www.mmlo-psomos.com
03081-04
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DATE: 02/08/07. DRAWN BY: SM
Page 8 of 8
:t'" . ANN RODRIGUEZ, RECORDER
RECORDED BY: LLK
DEPUTY RECORDER
0112 PEl
DOCKET: 13022
PAGE: 3253
NO. OF PAGES: 2
SEQUENCE: 20070610622
03/29/2007
PREASM 16: 13
SMARA
TOWN OF MARANA
ATTN: TOWN CLERK
11555 W CIVIC CENTER DR
MARANA AZ 85653
MAIL
AMOUNT PAID
$
8.00
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MARANA
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Town of Marana
Partial Release of Easement
Partial Release of Easement from El Paso Natural Gas
Company dated March 6,2007.
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PARTIAL RELEASE OF EASEMENT
The EI Paso Natural Gas Company, a Delaware corporation, hereby relinquishes all
rights, title and interest in and to a portion of the Pipeline Right of Way and Easement
Recorded with the Pima County Recorder's Office on November 2. 1933 in Docket book
51 Miscellaneous at Page 229.
The portion of the easement being released is more particularly described as the South
250' of Section 35, Township 11 South, Range 11 East, Gila and Salt River Meridian,
Pim ounty Arizona.
fY&.rcA
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Rolando I. T revi 0
Attorney in Fact
J1; k
l p - day of ()l CJ1 [ - J
,2001
STATE OF C%RA do) 55
County of f I Po--s 0) .
The foregoing, instrument was acknowledged before me this to ~ day of
-rn CLiLCJ-U , 2007 by Rolando I. Trevino, Attorney in Fact of EI
Paso Natural Gas Company, a Delaware corporation, on behalf of the corporation.
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