Agenda

Return

C.174

To:	Board of Supervisors
From:	Julia R. Bueren, Public Works Director/Chief Engineer
Date:	June 9, 2015

Contra

Costa

County

Subject:

Granting of a Pipeline Franchise to CPN Pipeline Company

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 06/09/2015

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

ABSENT:

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: June 9, 2015
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2015/168 granting a pipeline franchise to CPN Pipeline Company 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 Pittsburg, Brentwood and Oakley.

FISCAL IMPACT:

The pipeline franchise will generate approximately $19,600.00 commencing with calendar year 2014. The annual franchise payment will be calculated at the rate of $1.77 per cubic foot of pipeline within the County right-of-way. The number of cubic feet of pipeline will be calculated by taking the area of the inside diameter of the pipeline plus 1” and multiplying it by the length of the pipeline within the County right-of-way. The annual franchise fee rate of $1.77 per cubic foot 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), with December 2012 (239.53) as the base CPI month.

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).

CPN Pipeline Company has filed a written application with the County, dated December 4, 2013 wherein it has requested the granting of a pipeline franchise for the transportation of natural gas lines pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305. CPN Pipeline Company 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. 2015/168 will grant a pipeline franchise to CPN Pipeline Company for the pipelines shown in the table below for an initial term of 10 years. The pipelines were previously covered under an existing County pipeline franchise agreement which has since expired.

Pipeline Name	Type	Diameter	Length
Brentwood East	Natural Gas	10"	1,635 ft
Brentwood West	Natural Gas	10"	3,065 ft
Marsh Creek 2 Lateral	Natural Gas	8"	1,723 ft
Sellers Avenue Lateral	Natural Gas	8"	10,392 ft
Stenzel Lateral	Natural Gas	4"	6,895 ft
Taylor Slough No. 2	Natural Gas	4"	843 ft

CONSEQUENCE OF NEGATIVE ACTION:

CPN Pipeline Company will not obtain the required authorization to operate and maintain their pipelines within the County right-of-way.