Agenda

Return

C.146

To:	Board of Supervisors
From:	Brian M. Balbas, Public Works Director/Chief Engineer
Date:	September 10, 2019

Contra

Costa

County

Subject:

Assumption and Consent Agreement for Chevron Pipe Line Company to transfer a pipeline franchise to Crimson California Pipeline, L.P.

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 09/10/2019

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

ABSENT:

John Gioia, District I 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: September 10, 2019
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2019/526 consenting to the transfer of pipeline franchise 2016/12 from Chevron Pipe Line Company to Crimson Pipeline, L.P., as recommended by the Public Works Director, Martinez area. (No fiscal impact)

FISCAL IMPACT:

There will be no fiscal impact from this action.

BACKGROUND:

On March 29, 2016, the County granted a pipeline franchise to Chevron Pipe Line Company to operate two crude oil pipelines within the County for a term of 10 years per County Resolution No. 2016/12 (2016/12 Franchise).

BACKGROUND: (CONT'D)

Effective April 27, 2016, Chevron Pipe Line Company transferred certain of its assets to Crimson California Pipeline, L.P., including its rights in the 2016/12 Franchise, pursuant to an Assignment and Assumption of Right of Way Interests, dated April 27, 2016, between Chevron Pipe Line Company and Crimson California Pipeline, L.P. (as amended by the First Amendment to Assignment and Assumption of Right of Way Interests, dated April 27, 2016).

On May 23, 2016, Chevron Pipe Line Company sent written correspondence to the Public Works Department wherein it requested the consent of County to the transfer and assignment of the 2016/12 Franchise to Crimson California Pipeline, L.P.

Approval of Resolution No. 2019/526 will transfer the 2016/12 Franchise to Crimson California Pipeline, L.P., and authorize the Director of Public Works or his designee to execute the Assumption and Consent Agreement whereby Crimson California Pipeline, L.P. agrees to abide by the terms of the County franchise ordinance and post the required bond.

CONSEQUENCE OF NEGATIVE ACTION:

Crimson California Pipeline, L.P. will not acquire the pipeline franchise.