Agenda

Return

C. 50

To:	Board of Supervisors
From:	Julia R. Bueren, Public Works Director/Chief Engineer
Date:	October 20, 2015

Contra

Costa

County

Subject:

Granting of a pipeline franchise to SFPP, L.P.

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 10/20/2015

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
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 20, 2015
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2015/381 granting a pipeline franchise for a public utility transmitting oil or oil products to SFPP, L.P. pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305 for pipelines located in the unincorporated area of the County near Bay Point, Brentwood, Concord, Discovery Bay, Martinez, North Richmond, and Rodeo, as recommended by the Public Works Director.

FISCAL IMPACT:

The pipeline franchise will generate approximately $10,500.00 per year commencing with calendar year 2014 for the General Fund. The annual franchise payment is to be calculated pursuant to County Resolution No. 2013/305 and Public Utilities Code section 6231.5, utilizing the base rates shown in the table below for pipelines within the County right-of-way. The annual franchise fee rate will be increased annually by the change in the Consumer Price Index, all Urban Consumers for the San Francisco-Oakland-San Jose Area (1982-84 = 100) for the month of September immediately preceding the month in which payment is due and payable, with June 1989 (126.20) as the base CPI month.

FISCAL IMPACT: (CONT'D)

Pipe Size (internal diameter in inches)	Base Rate (per lineal foot)
0-4	$0.088
6	$0.132
8	$0.176
10	$0.220
12	$0.264
14	$0.308
16	$0.352
18	$0.396
20	$0.440
22	$0.484
24	$0.528
26	$0.572
28	$0.616
30	$0.660

BACKGROUND:

On August 13, 2013, this Board adopted Ordinance No. 2013-19 (establishing regulations for granting pipeline franchises in County rights-of-way) and Resolution No. 2013/305 (establishing pipeline franchise fee amounts).

SFPP, L.P. has filed a written application with the County, dated January 16, 2014 wherein it has requested the granting of a pipeline franchise for the transportation of petroleum products pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305. SFPP, L.P. also provided a $5,000 deposit to cover all administrative costs associated with the granting of this pipeline franchise as required by Ordinance No. 2013-19 and Resolution No. 2013/305.

Approval of Resolution No. 2015/381 will grant a pipeline franchise to SFPP, L.P. for the pipelines shown in the table below for an initial term of 10 years. The following pipelines were previously covered under an existing County pipeline franchise agreement which has since expired.

Pipeline Name	Type	Diameter	Length
Line Section No. 8	Petroleum Products	8”	2,252 ft
Line Section No. 9	Petroleum Products	10”	11,815 ft
Line Section No. 32	Petroleum Products	4”	525 ft
Line Section No. 32	Petroleum Products	8”	525 ft
Line Section No. 37	Petroleum Products	12”	575 ft
Line Section No. 72	Petroleum Products	8”	110 ft
Line Section No. 90	Petroleum Products	12”	100 ft
Line Section No. 130	Petroleum Products	20”	4,275 ft

CONSEQUENCE OF NEGATIVE ACTION:

SFPP, L.P. will not obtain the required authorization to operate and maintain their pipelines within the County right-of-way.

CHILDREN'S IMPACT STATEMENT:

Not applicable.