HomeMy WebLinkAbout2009-047-05/19/2009-AUTHORIZING THE CITY MANAGER TO EXECUTE A LICENSE AGREEMENT WITH PLATTE RIVER POWER AUTHORITY RESOLUTION 2009-047
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE CITY MANAGER TO EXECUTE A LICENSE AGREEMENT
WITH PLATTE RIVER POWER AUTHORITY
WHEREAS,Platte River Power Authority("Platte River")provides electric generation and
transmission service to the City, and to three other municipal members and owners of Platte River;
and
WHEREAS,the City owns a certain parcel of real estate known as the Richards Lake electric
substation in the NW '/4 of Section 33, Township 8 North, Range 68 West of the 6`h Principal
Meridian (the "City Property"); and
WHEREAS,on March 24,2009,the City Council approved the issuance of a license to Platte
River to occupy the City Property pursuant to an Amended and Restated Contract with Platte River
Power Authority for the Supply of Electric Power and Energy; and
WHEREAS,Platte River occupies the City Property and maintains extensive equipment on
the property that is critical to its mission to provide the City with electric generation and transmission
service; and
WHEREAS,Tri-State Generation and Transmission Association,Inc.("Tri-State")provides
electric service to customers in northern Latimer County and has concerns about the reliability of
its service to that area; and
WHEREAS,Tri-State is proposing to construct an overhead electric transmission line project
known as the Richards Lake Substation to Waverly Electrical Transmission Line Project (the
"Project',); and
WHEREAS,as part of the Project,Tri-State has requested that Platte River install two circuit
breakers and a transmission line on the City Property to be owned by Platte River and used for the
benefit of Tri-State so that Tri-State may provide more reliable service to its customers; and
WHEREAS,the City and Platte River have negotiated the terms and conditions of a second
license agreement (the "New License Agreement") that would allow for the installation of the
foregoing equipment, a copy of which is attached hereto as Exhibit"A"and incorporated herein by
this reference; and
WHEREAS,Platte River will pay the City for the value of this additional license in the sum
$14, 500 and Tri-State will, in turn, reimburse Platte River for the same; and
WHEREAS, at its meeting on March 4, 2009, the City's Electric Board recommended
approval of the New License Agreement to Platte River and the installation of the facilities necessary
to provide interconnection to Tri-State at the Richards Lake Substation; and
WHEREAS, Article XI, Section 10 of the City Charter authorizes the City Council to
authorize the use or occupation of any street, alley, or public place,provided that such license shall
be revocable by the City Council at its pleasure, whether or not such rights to revoke is expressly
reserved in such license.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that the City Manager is hereby authorized to execute the New License Agreement, in
substantially the form shown on Exhibit "A", with such modifications or additional terms and
conditions as the City Manager, in consultation with the City Attorney, deems necessary or
appropriate to protect the interests of the City or to effectuate the purposes of this Resolution.
Passed and adopted at a regular meeting of the Co o the City of Fort Coll' this 19th
day of May A.D. 2009.
Mayor
ATTEST:
Chief Deputy City Clerk
EXHIBIT A
LICENSE AGREEMENT
This License Agreement ("Agreement") is entered into as of
2009, by and between THE CITY OF FORT COLLINS, a Colorado municipal
corporation (hereinafter called the "City"), and PLATTE RIVER POWER
AUTHORITY, a political subdivision organized and existing under and by virtue the
laws of the State of Colorado (hereinafter called "Platte River").
1. Revocable license: The City grants a non-exclusive revocable license to Platte
River upon and in consideration of the agreements, covenants, terms and
conditions described below.
A I>S
2. Description of License Property: A portion ofM1a,parcel of landlying entirely
within the City's electric substation known.a*'s*'chard Lake,atmore particularly
described in Exhibit A, attached hereto ("License Property'
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3. Use of License Property: Platte River may use theLicense Propertystb construct,
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install, alter, maintain, reconstruct, remove andZrepair improvements (hereinafter
referred to as the "Improvementsy") as more fullyid;ascribed below in paragraph 1 I
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and in Exhibits B and C, both attached hereto and incorporated by reference. The
purpose of the Improvements is the provision of a transmission interconnection
for the benefit of Tri-State Generation anP%Transmissi6h Association, Inc.
(hereinafter referred,to as Tri-State Rive,,).fi{Platte r will cooperate with Tri-State
in order to allow'T�cr State to obtain any meter information Tri-State requires. If
Platte River[setik6eks to mod�ify or add additional equipment to the Improvements,
Platte River ma- do so provided that the City first determines in writing that the
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modifications will not inter-fere,with City operations.
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4. Construction,and� amtenance: Platte River will, at its expense, construct the
r :Improvements T n�accorda ce with the plans and specifications described in
Exhibits B and C and shalltbe solely responsible to maintain the License Property
and Improvements'in a safe manner to insure the City's usage of the surrounding
substationproperty�and facilities for their original purpose. Platte River may
temporanly,�u�iliz£,�the northeast corner of the substation, an area not included in
the License'Property, to store construction-related materials during construction
of the Improvements. When the Improvements are energized by Tri-State, any
materials stored in the corner of the substation shall be removed.
5. Commencement Date: The date that this Agreement is made and entered into by
the parties.
6. Termination: This is a revocable license that may be terminated at the discretion
the Fort Collins City Council at any time. Upon termination of the revocable
license contemplated by this Agreement, Platte River shall promptly remove all
Improvements and other equipment or facilities placed on the License Property
and restore the property to its original condition, all at Platte River's sole expense.
7. License Fees: Platte River will pay fourteen thousand, five hundred dollars
($14,500.00) to the City as full payment for the rights and privileges described
herein.
8. Assignment: Platte River's privileges under this Agreement shall not be
assignable by Platte River, in whole or in part, without obtaining the City's prior
written approval.
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9. City's Address: x
Original to: City of Fort Collins Utilities ~
P.O. Box 580
Fort Collins, CO 80522
ATTN: Utilities Executive,,Director
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With a copy to: City of Fort Collins 3 ,.
City Attorney's Office,
P.O. Box 580
Fort Col ins,.,O 80522
10. Licensee's Address:
% '"General Mana'er V
n%X g.
Platte River Power Authority
ti 2000 East Horsetooth Road
Fort Collins, COT
86525
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11. Inivrove me-n
t'sZn,`kThe following is a general description of the Improvements: the
addition of two l'-SkV circuit breakers, four switches, associated bus work, and
foundations and control systems. A diagram reflecting the intended design and
configurationof the�Improvements is illustrated on Exhibit B.
12. InsurNnc *SN�During 'h*e term of this Agreement, Platte River shall purchase and
maintain generplliability coverage in connection with the Licensed Property,
including all imorovements thereon, in the amount of One Million Dollars
($1,000,000:00). The City shall be named as an additional insured on all such
policies. All insurance required hereunder shall be issued by an insurance
company authorized to do business in Colorado which meets all of the
requirements of the Division of Insurance for that purpose. Upon execution of
this Agreement, Platte River shall provide to the City proof of the required
insurance and thereafter, at such times as the City requests proof of the required
insurance. Additionally, if insurance coverage is modified or switched to a
different carrier, Platte River shall notify the City in writing ten days in advance
of such action.
13. Indemnification: Platte River agrees, to the extent authorized by law, to
indemnify the City and its respective officers, employees, agents, contractors,
invitees, licensees, customers, and visitors (individually and collectively,
"Indemnitees") from and against all losses, liabilities, claims, demands, suits,
damages, costs and expenses that are incurred by or asserted against Indemnitees
arising out of or connected in any manner with the acts or omissions of Platte
River or Tri-State, their officers, agents, contractors, or employees or such
persons' presence upon or performance of activities with respect to the License
Property.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by
their duly authorized representatives as of the date first written above.
THE CITY OF FORT COLLINS, COLORADO
By:
Name: Darin Atteberry ,
Title: City Manager
APPROVED AS TO FORM BY:
Assistant City Attorney
Lk City of Fort Collins
ATTEST:
City Clerk
City of Fort Collins
LICENSEE. ,
PLATTE RIVER
s
By:
Name: Brian Moeck
Title: General Manager of Platte River Power Authority
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