HomeMy WebLinkAbout10/19/2010, B7 - SEWERLINE REPLACEMENTS AT RAILROAD CROSSINGS, SPECIFICATION NO. 91046 i
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CITY O F SAN LU IS 0 6 1 S P 0
FROM: Carrie Mattingly,Utilities Director
Prepared By: Jennifer Metz, Utilities Project Manager
SUBJECT: SEWERLINE REPLACEMENTS AT RAILROAD CROSSINGS,
SPECIFICATION NO. 91046
RECOMMENDATIONS
1. Authorize an increase in the total project budget by $982,300, from $944,000 to $1,926,300
for Sewerline Replacements at Railroad Crossings projects (McMillan, Pismo, and San
Carlos/Woodbridge Crossings), Specification Number 91046.
2. Adopt a Resolution to suspend bidding requirements for the Sewerline Replacements at
Railroad Crossings (McMillan Crossing) due to impending Union Pacific Railroad bridge
reconstruction and authorize the City Manager to execute a contract for the construction of
the project if the lowest responsible estimate is within the Engineer's Estimate of$525,000.
3. Authorize the City Engineer to approve plans and specifications and advertise for bids for the
construction of the Sewerline Replacements at Railroad Crossings project (Pismo and San
Carlos/Woodbridge Crossings) and authorize the City Manager to award the contract if the
lowest responsible bid is within the total project budget.
DISCUSSION
The City owns and maintains numerous sewerlines that cross underneath the Union Pacific
Railroad (Railroad) tracks. Work efforts in the Railroad right-of-way are complicated and made
more costly by:
• Railroad requirements and timelines to obtain agreements and rights of entry for surveying,
potholing and construction,
• Railroad safety issues such as contractor insurance, training, and presence of Railroad
flagman,
• Engineering constraints (both physical and Railroad-mandated) related to the repair or
installation of infrastructure under the railroad tracks (boring depths, casing requirements,
setbacks, etc.), and
• The location of numerous fiber optic lines at various depths and associated separation
requirements.
Three City sewerline railroad crossings are the subject of this report (see Attachment 1, Vicinity
Map). Two locations (Pismo and San Carlos/Woodbridge Crossings) have seriously structurally
deficient sewerlines. Failure could result in service interruption, wastewater spills resulting in
water quality violations and fines. Failure would result in a costly emergency by-pass and possible
damage to the Railroad mainline with resulting interruption of railroad service. The third sewerline
location (McMillan Crossing) interferes with an impending Railroad construction project to
correct an unsafe condition.
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Sewerline Replacements at Railroad Crossings,Specification No.91046 Page 2
Railroad personnel are working effectively and cooperatively with City staff in order to help
expedite these three projects.
McMillan Crossing
On August 3, 2010, Utilities staff received written notification that the Railroad would be
replacing a bridge north of the intersection of McMillan Avenue and Morrison Street in October
2010 and that City sewer facilities in conflict with the project must be relocated to accommodate
the Railroad project. The City has a 1999 agreement with the Railroad that requires sewerline
relocation when the Railroad finds such action necessary. The sewerline at the location of the
planned bridge replacement is an 18-inch sewerline encased in a 24-inch steel pipe and runs on
top of the ground through the drainage culvert under the bridge. This sewerline carries
wastewater from 1,500 connections with an estimated flow of 287,000 gallons per day during dry
weather.
City staff immediately contacted Railroad personnel in an effort to obtain a more practical
timeline to move the City's sewerline. While Railroad personnel understood the City's concerns
about the fiscal impact this project would have on the City, Railroad personnel advised City staff
they are highly concerned with train safety as it had been determined that the bridge was
structurally unsound and is in imminent danger of collapsing. Accordingly, the Railroad needs to
take immediate action to replace the bridge, which requires relocation of the sewerline. The
Railroad was willing to work with the City and allow it to temporarily reinstall the sewerline in
the new culvert but ultimately the sewerline would have to be moved to a new location. This
option was explored by City staff and was determined to be infeasible. The construction required
to by-pass wastewater during construction and reinstall the sewerline temporarily in the new
culvert is essentially the same work effort required for a permanent solution. Subsequently, City
Utilities and Public Works staff have been working closely and collaboratively with Railroad
personnel and with a contract engineer to address this project on an emergency basis. A plan and
specifications package has been prepared. The City's project includes:
• Boring approximately 210 feet of new sewerline in a steel casing,
• Reversing direction of flow and upsizing approximately 75 feet of existing sewer main,
• Installing a new manhole, removing a manhole and retrofitting an existing manhole; and
• Abandoning the existing sewer main that passes under the railroad tracks at the bridge to
be replaced by the Railroad.
Generally, the City would be required to follow competitive bidding requirements for the project
at McMillan Crossing. (See City Charter, sec. 901.) However, there are well-recognized
exceptions to requiring an entity to follow the competitive bidding process. (See, e.g., Graydon v.
Pasadena Redevelopment Agency 104 Cal.App.3d 631, 636.) Specifically, Public Contract Code
section 20168 allows the City to suspend the public bidding requirements in an emergency by
adopting a resolution (by four fifths vote) that declares that the public interest and necessity
demand the immediate expenditure of public money to safeguard life, health or property." Here,
the Railroad has approached the City and provided notice that it intends to go forward with a
project to address a threat to both public safety and the Railroad's property. If the City does not
comply with the Railroad's request to move the City's sewerline on its timeframe, the Railroad's
project cannot proceed and the City could be contributing to a public safety risk with the
potential to damage Railroad property as well as the City's ability to provide wastewater
service. Given the timeframe provided by the Railroad, the City is unable strictly to comply with
the usual competitive bidding requirements. However, to be consistent with the policies behind
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Sewerline Replacements at Railroad Crossings,Specification No.91046 Page 3
the public bidding requirements, staff is in the process of soliciting estimates from contractors
who have experience in similar boring projects. Staff recommends authorizing the City Manager
to enter into a contract with the contractor who submitted the lowest, responsible estimate, and to
take any other appropriate action to mitigate the emergency presented by the danger of the
Railroad's crossing at McMillan. (See Public Contract Code sec. 22050.) To the extent that the
City Manager takes any actions beyond entering into a contract, she shall report to the City
Council every two weeks at a regularly scheduled meeting on action taken.
Staff identified an available pool of contractors with experience in similar boring projects, with
the necessary equipment, and available personnel. Three contractors will submit estimates for the
work with an estimated start date of November 1, 2010. City staff recommends awarding the
contract for the Sewerline Replacements at Railroad Crossings project (McMillan Crossing) if
the lowest responsible estimate is within the Engineer's Estimate of$525,000.
Pismo Crossing
The City sewerline that crosses the railroad tracks from San Luis Drive to Pismo Street is identified
in the 2009-11 Financial Plan, Appendix B (page 3-113), and is in the queue to be repaired. The
preliminary budget is $412,000 for the boring work and sewerline replacement to Johnson Drive.
The sewerline is on a six-month preventative maintenance cleaning schedule. During the last
cleaning in July 2010, there was evidence of pipe failure. A subsequent video inspection revealed
corrosion and holes in the steel pipe that lies under the Railroad tracks with several longitudinal
voids at the flow-line leaving the pipe with weak structural integrity. Bedding soil from around the
pipe is missing. The mainline is buried in native material under the Railroad tracks with no
protective casing. Future preventative maintenance will be ceased because the cleaning tool
accelerates the removal of the bedding soil surrounding the pipe, which may cause fiuther damage
to the structurally unsound sewerline and/or the cleaning tool may become lodged in the pipe under
the Railroad tracks.
Due to deterioration evidenced during the video inspection, it is important for the line to be
repaired as soon as possible. City staff is working with Railroad personnel and a contract
engineer to address this project on an expedited basis, but within the public bidding
requirements. Work in this location is complicated by traffic on San Luis Drive, and the presence
of high pressure gas and oil lines in close proximity to the existing sewerline. The site provides
limited area to conduct the necessary work. Excavation and replacement of the existing sewer
line or conventional pipe bursting are not viable construction options. To conduct the repair, a
new line will be bored under the railroad tracks from a location near San Luis Drive or the
adjacent high school parking lot.
The plan and specification package for the Pismo Crossing will be complete in late October
enabling the project to be competitively bid and under construction later this year. Staff is
recommending that Council authorize the City Engineer to approve the plans and specifications
and advertise the project for bid upon approval of the specifications and authorize the City
Manager to award the contract if the lowest responsible bid is within the total project budget.
San Carlos/Woodbridge Crossing
The condition of the City sewerline that crosses the railroad tracks at San Carlos Drive is similar to
the Pismo Street crossing. The San Carlos / Woodbridge project is identified in the 2009-11
Financial Plan, Appendix B (page 3-113) and is in the queue to be addressed. The work is
budgeted at $532,000. This sewerline is corroded and constricted to the point that maintenance can
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Sewerline Replacements at Railroad Crossings,Specification No.91046 Page 4
no longer be performed and video equipment cannot pass through the damaged areas. The clay pipe
on the upstream and downstream sides of the railroad undercrossing within the Railroad right-of-
way is cracked and shattered in many sections. These conditions indicate that the pipe is in danger
of near-term failure and collapse. The sewerline is buried in native material under the Railroad
tracks without protective casing. Excavation and replacement of the existing sewerline or
conventional pipe bursting are not viable construction options. To conduct the repair, a new line
will be bored under the railroad tracks from a location south of San Carlos to a tie-in location
near Woodbridge.
Similar to the Pismo Crossing project, the plan and specification package for the San
Carlos/Woodbridge Crossing will be complete in late October enabling the project to be
competitively bid and under construction later this year. Staff is recommending that Council
authorize the City Engineer to approve the plans and specifications and advertise the project for
bid upon approval of the specifications and authorize the City Manager to award the contract if
the lowest responsible bid is within the total project budget.
FISCAL IMPACT
The total budget for all three projects is estimated at $1,926,300, including preconstruction
design and engineering-related services, construction related services for sewerline replacements
at three railroad crossing including temporary sewer bypassing to maintain services during
construction and a 20 percent contingency on the construction services. Funding in the amount of
$944,000 was approved for a portion of this project in the 2009-11 Financial Plan. Staff is
requesting Council authorization for an increase in the total project budget by $982,300, from
$944,000 to $1,926,300 to fully fund all three components of this high priority City sewerline
project in cooperation with the Railroad construction projects and associated timelines. Utilities
staff will prepare a budget amendment request to transfer funding from the Wastewater
Collection System Improvements Master Account to the project specific account at time of
contract award. The estimated project budget is summarized in the following table.
Sewerline Replacements at Railroad Estimated
Crossin 9104 Project Costs
Preconstruction Services:
Preconstruction Surveys $6,800
Engineering Design Services
McMillan Crossing $29,000
San Carlos/Woodbrid a Crossing $35,100
Pismo Crossing and Sewerline $27,600
Geotechnical Services $9,500
Potholing $7,500
Total Preconstruction Services $115,500
Construction Services:
Sewer Bypass $40,000
Construction
McMillan Crossing $525,000
San Carlos/Woodbridge Crossing $532,000
Pismo Crossing and Sewerline $412,000
Construction Contingencies $301,800
Total Construction Services: $1,810,800
Total Project Budget: $1,926,300
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Sewerline Replacements at Railroad Crossings,Specification No.91046 Page 5
The 2009-11 Financial Plan, Appendix B, pages 3-110 through 3-113, identifies $944,000 for
Sewerline Replacements at Railroad Crossings including: (1) Pismo Boring - Railroad to San
Luis Drive estimated at $287,000 and Sewerline Replacement on Pismo Street from Johnson
Drive to the end of the street at the railroad tracks estimated at $125,000, for a total preliminary
budget for the Pismo Boring and Sewerline Replacement of $412,000, and; (2) Woodbridge
Boring- San Carlos to Woodbridge estimated at $532,000.
The McMillan project is an unanticipated project, with construction estimated at $525,000,
which will impact the City's ability to fund all of the existing wastewater collection system
improvements during the timeframe identified in the 2009-11 Financial Plan. The extent of this
impact will depend on final project costs. Utilities staff is further evaluating pending sewer
related projects, estimated costs, and associated timelines for construction to reprioritize sewer
projects within existing budgeted resources. The Sewerline Replacements at Railroad Crossings
is a top priority.
Sufficient funding is available in the Wastewater Collection System Improvements Master
Account, which has a current available balance of $2,426,977 after accounting for recently
awarded wastewater collection contracts.
CONCURRENCE
The Public Works Department concurs with the recommended actions. The Community
Development Department staff approved a Notice of Exemption for the projects consistent with
the California Environmental Quality Act.
ATTACHMENTS
1. Vicinity Map for Sewerline Replacements at Railroad Crossings
2. Resolution
AVAILABLE FOR REVIEW IN THE COUNCIL OFFICE
Plans and Special Provisions Sewerline Replacements at Railroad Crossings project(McMillan
Crossing)
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Attachment;
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Attachment 1 : Vicinity Map
Sewerline Replacements at Railroad Crossings
Source:City of San Luis Obispo Utilities Department,2010.
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Attachment 2
RESOLUTION NO. (2010 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
AUTHORIZING THE CITY MANAGER TO AWARD A CONTRACT FOR THE IMMEDIATE
REPLACEMENT OF THE SEWERLINE UNDER THE UNION PACIFIC RAILROAD AT MCMILLAN
AVENUE
WHEREAS,on August 3,2010,the City received written notification that Union Pacific Railroad
("Railroad")would be replacing a bridge north of the intersection of McMillan Avenue,and Morrison Street
("Railroad Project"),which is structurally unsound and in imminent danger of collapsing,and that a City sewerline is
in conflict with the Railroad Project and would need to be relocated.
WHEREAS,the City has a 1999 agreement with the Railroad that requires relocation of this sewerline when
the Railroad finds such action necessary;and
WHEREAS,the City has requested that the Railroad delay the Project to allow the City more time to
prepare to move the sewerline,but due to the instability of the bridge,the Railroad is unable to postpone the
Railroad Project for a time period that would allow the City to comply with competitive bidding requirements;and;
and
WHEREAS,if the City does not undertake relocation of the sewerline under the Railroad's timeline the
health,safety and welfare of the public will be compromised;
WHEREAS,at least four fifths of the City Council finds that an emergency exists due the instability of the
bridge north of the intersection of McMillian Avenue and Morrison Street,which requires immediate relocation of
the sewerline to allow the Railroad's Project to go forward to prevent a potential train derailment and/or to prevent
damage to the sewerline;and
WHEREAS,the City has prepared a plans and specification package for the relocation of the sewerline that
is impacted by the Railroad Project;
WHEREAS,the City may suspend bidding requirements for emergency projects when in the best interest of
the public;
NOW,THEREFORE,
SECTION 1. Effective Date.This Resolution shall take effect immediately upon its passage and
adoption.
SECTION 2. Pursuant to Public Contract Code section 20168 and 22050,the City Council hereby
declares that the instability of the bridge north of the intersection of McMillan Avenue,and Morrison Street
constitutes an emergency that requires the City to relocate its sewerline immediately to facilitate the Railroad Project
to stabilize the bridge.
SECTION 3. Pursuant to Public Contract Code section 20168 and 22050,and any other applicable
exception,the City hereby suspends the application of public bidding requirements found in the Charter and state law
to the relocation of the sewerline,which is impacted by the Railroad Project.
SECTION 4. The City Council authorizes the City Manager to execute an agreement between the City
of San Luis Obispo and the Contractor for the relocation of the sewerline impacted by the Railroad's Project.
SECTION 5. The City Manager is hereby authorized to enter into a contract with the contractor who
submits the lowest,responsible estimate to perform the work necessary to relocate the sewerline impacted by the
Railroad's Project not to exceed the Engineer's Estimate,and to take any other action as deemed appropriate to abate
the threat to the public's safety and property caused by the instability of the bridge. If the City Manager takes any
further action or must enter into a contract that exceeds the Engineer's Estimate,the City Manager shall report such
action taken to the City Council at the next regularly scheduled meeting. The authority granted to the City Manager
herein shall terminate upon completion of the relocation of the sewerline impacted by the Railroad's Project.
B7-7
Attachment 2
Upon motion of seconded by
and on the following vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this day of 2010.
Mayor David F.Romero
ATTEST:
Elaina Cano
City Clerk
APPROVED A4 TO ORM:
Christine Dietrick
City Attorney
B7-8—O
RECEIVE®
From: Dietrick, Christine OCT 19 2010
Sent: Tuesday, October 19, 2010 1:52 PM
To: Cano, Elaina; Judge, Christopher SLO CITY CLERK
Subject: FW: Pipeline Crossing Agreement (PH-7)
Please red file the attached agreement, which governs the City's
contractual obligations to UPRR as it pertains to Agenda Item PH-7.
Thank you.
J. Christine Dietrick
City Attorney
City of San Luis Obispo
Direct Line: 805-781-7143
Fax: 805-781-7109
'COUNCIL L'CDD DIR
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FLX.DOC 940206 Folder No.1671-tel
Form Approved.AV?-LAW
PIPELINE CROSSING AUDIT
AGREEMENT
Mile.Post 252.96,Coast Line
Location:San Luis Obispo,San Luis Obispo County,California
THIS AGREEMENT is made and entered into as of the ?L day of
19 by and between UNION PACIFIC RAILROAD COMPANY, a Delaware corpora
(hereinafter the
Li r)and CITY OF SAN LUIS OBISPO,a municipality to be addressed at 955 Marro Street,San Luis Obispo,
California 93401 (hereinafter the Licensee).
IT IS MUTUALLY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS:
ARTICLE 1 -LICENSE FEE
Upon the execution of this Agreement,the peonage shall pay to the Licensor a one-time license fee of FOUR
THOUSAND DOLLARS(54,000.00).
ARTICLE 2- CENSOR GRANTS RIGHT
In consideration of the license fee to be paid by Licensee and in further consideration of the covenants and
agreements herein contained to be by the Licensee kept,observed and performed, the Licensor hereby grants to the
Licensee the right to construct and thereafter,during the term hereof,to maintain and operate
one 18.7 inch sanitary sewer pipeline crossing
(hereinafter the Pipeline)in the location shown and in conformity with the dimensions and specifications indicated on
the attached print dated March 30, 1998 and marked Exhibit A and,Exlubit A-1. Under no circumstances shall Licensee
modify the use of the pipeline for a purpose other than conveying sewage,and said pipeline shall not be used to
convey any other substance,any fiber optics,or for any other use,whether such use is currently technologically possible,
or whether such use.may come into existence during the life of this Agreement.
ARTICLE 3-CONSTRUCTION.MAINTENANCE ANQ OPERATION
The grant of right herein made to the Licensee is subject to each and h1l of the temts,provisions,conditions.
limitations and covenants set forth herein and in Exhibit B,hereto attached.
ARTICLE 4-IF WORK IS TO BE PERFORMED BY CONTRACTOR ifi•
If a contractor is to do an of the work performed on thep;&ine m
Y PG7f (including initial construction and subsequent
relocation or substantial maintenance and repair work),then the Licensee shall require its contractor to execute the
Licensor's form Contractor's Richt of Entry Agreement. Licensee acknowledges receipt of a copy of Contractor's Riehl
of Entry Agreement and understanding its term,provisions and requirements,and will inform its contractor of the need
to execute the Agreement. Under no circumstances will Licensee's contractor be allowed onto Licensoes premises
without first exeeuring the Contnactor's Right of Entry Agreement.
Articles ofwVW=no- January 12,1999
Page t of 2 r,
1
S
ARTICLE s-TERM
This Agreement shall take effect as of the date fust herein written and shall continue in full force and effect
until terminated as herein provided.
ARTICLE 6•INSURANCE
a). The Licensee,at its expense,shall obtain the insurance described in Exhibit B-1,hereto attached. The Licensee
will also provide to the Licensor a Certificate of Insurance issued by its insurance carrier confirming the existence of
such insurance and that the policy or policies contain the following endorsement:
Union Pacific Railroad Company is named as an additional insured with respect to all liabilities arising out
of the existence; use of any work performed an or associated with the underground 18.7 inch sanitary sewer
pipeline crossing located on Railroad right of way at Mile Post 252.96,Coast Line,San Luis Obispo,California.
b). If the Licensee named in this Agreement is a public entity subject to any applicable statutory tort laws,the limits
of insurance described in Exhibit B-1 shall be the limits the Licensee then bas in effect or which is required by
applicable curteat or subsequent law,whichever is greater,a portion of whicb may be self-insured with the consent and
approval of the Licensor. .
c). All inst rce correspondence shall be directcd to:
Folder No: 1617-81
Union Pacific Railroad Company
1800 Famam Street
Omaha,Nebraska 68101
ARTICLE 7.SPECIAL PROVISION
None.
IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed in duplicate as of the
date first bercin written.
0 PACIIrIC RAILR AD OMPAA'Y
By
MANAGER.CONrM=
WITNESS: CITY OF SAN LUIS OBISPO
LlzX L
Mticies of Agreement August 25,1998
Page 2 of 2
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Section 1. I fl,A1TA'nON AND 4f iR0 A40N OF LfiCiM C,.AANTFn,
a) The foregoing grant of right Is rAoct and subordinate to the prior and continuing sight and obligation of the
Lfoeamor to use and maistoii its entre property ttrluft the right art power of the Licensor to construct mdMtafn repair,
renew use,operate,change,modify or relocate railroad tracks,signal,communication fiber optics,or other wlrellnes,
pipelines and a ber facilities upon along or across any or all pmts of as property.all or any of which may be freely done
at any time or times by the Licensor without liability to the Licensee or to my other party for compensation or damages.
b) The foregoing grind is also subject to all outstanding superior tights(including those in tovor of licensees and
lessees of the Licensor*property,and others)and the right of the licensor to renew and extend the same,and is made
without covenant of title or for quiet enjoymw%L
Section Z
a) The Pipeline shall be constructed,oporated maintained,repaired renewed,modified and/or reconstructed by
the Licensee in shirt conformity w&U dan Pathic Rogroad Co.Common Standard Specification M9 adopted November
1949,and all amarilmiwis bored and supplements thereto,which by%Is reference is hereby made a pmt hereof,except
as may be modified and approved by the Licensor's Vice President-Dhghreering Services. In the event such Specification
consic1a in amy respect w1h the requirements of any federal state or municipal law or regulation such requirement shall
govem on all points of conflict but in all other respects the Specification shall apply.
b) All work performed on property of the Licensor in connection with the construction mafrtenanee,repair,mnowal,
modification or reconsbvelfon of the Pipeline sholl be dove to the satisfadionof the Licensor.
C) Prior to the commencement of any work in connection with the construction malrdennaoee, repair, renewal
modification relocation reconstruction or removal of the Pipeline where it parses underneath the roadbed and tract or
traeI of the Licensor,the Licensee,shodi submit to the Licensor plats setth3g out the method and mo mar of handling the
work fnch&V the shoring and cribbing,If a*required to protect the Ilcensots operations,and shall not proceed with
the wort unt!{such plans haw been approved by the Vice Pmddent FngkwwbV Services of the Licensor and than the work
shall be done to the sir of the Vice President-Engineering Services or his authorized representative.The Licensor
shall have the right if it so elects,to provide such support as It may doom necessary for the safety of its trach or tracks
during the time of construction mointena r ce,repair,renewal modification relocation reconstruction or removal of the
P1peBs>Q crA tabs event the Licensor provides such support the Licensee shall pay to be Licensor;within fifteen(15)days
after bile shall haw beenrendered therefor.all expense kwur ed by the Licensor in convection therswifh,which expense
shall include all assignable costs.
d) The Licensee shall keep and maintain the Boll over the Pipeline thoroughly compacted and the grade even with
the adjacent surface of the ground.
Section 3. NOTICE OF Ot71viCF1 HTTP OF WOAx
If an emergency should arise requiring immediate attention the Licensee sha provide an much notice as
practicable to Licensor before commencing mw work. In all other situations,the licensee shall notify the licensor at least
ten(10)days(or such other time as the Licensor may allow)in adreno,of lbs commencement of any work upon property
of the licensor in cszrreetiaa wi4►ihe eomtnxet6on maintenance,repair,renewal,modification recorstrrxetton relocation
or removal of the pipeline. All such work shall be prosecuted diligently to completion.
Section 4.
The Licensee shall bent the enure cost and expense incurred in conru clfon with the construction maintenorm.
repair aodrennewd and arty and all modification revision relocation removal or reconstruction of the Pipeline,including
any aryl all expense which may be incurred by the licensor in connection therewith for supervision inspection flagging,
or otherwise.
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Section.5.
C4 The license humin granted is subled to the needs and requirements of the Licensor In the operation of its railroad
cad lr1 the impaocemerd and use of He properly,and the Licensee sl ua at the sole expense of the Licensee,reinforce the
pipeline,or move all or say portion of the Pipellue to such new location as the Licensor may designate.wheasm in the
furthermwe of its needs cod requiremeads,tare Licensor shall find such action necessary or deatrable.
b) All the tetm. conditions and stipulations helm eaWzessed with reference to the pipeline on property of the
licensor is the tock herelhAxdom described sball so for as the Pipeline remalrs on the property.apply to the pipeline
as modified changed or relocated within the contemplation of this settiom
Section 8.
The Pipeline and all pmts,thereof within and outside of the Wafts of the property of the Liceneo atoll be
constructed and atc3l times.maimaimd repaired,renewed and operated in such mamer as to cause no tnerfereroe
wlataoover wllh the constant continuous and t$tntemrptod use of the traelat,property and facilities of the Licensor,and
nodit abaIl be done or suffered to be dome by the licensee of wW time that would in amy roarmer Impair the safety thereof.
Section 7.
a) Flier optic cable systems may be buried on the Lieensor's property. Plotecd=of the fiber optic cable Wets=
is of sztreme importance since any break could disrupt service to users resulting in business interruption and loss of
renwom a and profits. Licensee shall telephone the Licensor at I-SODMMIS3(a 24-bora number)to determine if fiber optic
cable is buried anywhere on the Licensorle premises to be used by the Licensee. H it is.Licensee will telepborre the
teleexummrrtcations eompwwBes)involved arrange for a cable locator, malre arangements for relocation or other
Protection of the fiber optic cable.oil at Licensee's expense.and wM commence no work on go fright of way urd all such
protection or relocation has been accomplished. Licensee shall indemnify and hold the Licensor harmless from mad
against oil caste,liability and asperse whatsoever(including,without limitation attorneys'fees court costo and expenses)
arising out of or caused In any way by Lk=web failure to comply with the previsions of this paragraph.
b) In addition to other 1rde=dlp provisions in this Agreement the Licensee shall tndemrd[y emd hold the Uceraw
harmless from and against all costs,l&rbdlity and expense whatsoever(indudtng,without limitation attonueye fees,court
costs and expenses)caused by the negligence of On Licensee,Its contractor,agents and/or employees,resulting in(1)
awdamage to or destruction cf any tok=mmmwd=dona system oa Ltoensor's property,and/or(21 any injury to or death
of any person employed by or on behalf of Orly ieleconanumicatlors company. and/or He contractor, agents and/or
employees, an Lfeensorb property, except fi such coats, liability or esperseo are caused solely by the direct active•
nogligerre of the Lica sor. I loan so further agrees that H shall not have or seek recourse against licensor for any claim
or cause of action for alleged loss of profits or revenue or loss of service or other consequential damage to a
teleeommurdeatfon company using Licensor's property or a customer or user of services of the fiber optic cable on
Ucersor'o property.
Section a. CLAWS AND TIMS FOR LABOR AND MATMAL,TM
a) The Licensee shall f*pay for of materials pined or cfBmd to and labor performed upon property of the Lkenear
in eorrtection with the construction moldimar e.repair,renewal modification or reconstruction of the pipeline,and shod
not perm$or suitor arty mechartc%or moterfalmon's lien of any kind or nature to be wiforced against the property for any
work done or materials furnished thereon at the instance or request or on behalf of the 1lcensee. The Licensee*hall
indemnify and hold harmless the Licensor against and from any and all Menus,claims,demands.costs and expenses of
whatsoever ra re to aaywaycor mscted with or growing out of such work done.labor performed,or materials furnished.
b) The licensee shall promptly pay or dfachage all tames,charges and assessments levied upon,in respect to,or
on accour i cf the P4*11t ,b prevent the sane from becoming a charge or lion upon property of the Licensor,and so that
the trmsa,chargee and casessmerds levied upon or In respect to such property shall not be Increased bocmwe of the
11ert cormtruction or maidwaroe of the Pipeline cr a►yimprovemed,appliance or turas comreeted therewith placed
upon such property,or on account of the Licensee's interest therein Whwo such tax;,charge or assessment may not be
separately made or assessed to the licensee but shall be included in the assessment of the property d the Licensor,then
the Licensee shall pay to the Licensor an equitable proportion of such taros determined by the value of the Licarseet
property upon property of the licensor as comparedwith the entire value of such property.
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Section 9. FTSMRATION OF LICENSORS PROMMM
In the event the Licensor authorises the Licensee to tie down caw fence of the Licensor or in any marrow move
or disturb any of the other property of the Licensor in aomnectlon with the const:ucOn.maintenance,repair,renewal,
modMoutias reconstruction.sektoation or removal of the Flinbta,then in that event the 11censee"as soon as possible
and at Licem s sole expense,restore such!sate and other property to the some condition as the same were in before
such farce wars taken down or such other p:ope:ty was moved or diiattzbed and the Licensee shall indemnify and hold
ha:mlesa the Licensor,9s officers,agents and employe ,&against and tram any and all liability,loss,damages,slats,
demands,costs and expenses ofwhntsoever rrttae,bcbxUrV court costs and attorneys'fees,Which may result ham U jury
to or death of persons whomsoever,or damage to or loss or destruction of property whatsoever,When such injury,death
dam lass or destruction grows out of at mines from the taking down of arry fence or the moving or disturbance of any
other property of the Licensor.
section 10. MEMMT.
a) As used in Us Secular Z1cenwe includes other railroad companies using the Lieersor4 property ad or new the
location of the 11certsee's installation and their officers,agents,and employees;'Lose'includes lose,damage,claims,
demands. acdons,causes of action penalties, costs,and asperses of wbalsoevor nahre. including court coots and
attorneye'fees,which may result ham: a)injury to or death of persons whomsoever Onchding the Licensor's officers,
agents and employees,the Licensee%of cera.agents,and employees,as well as any other person):and/or b)damage
to or lass m dash action of property whatsoever bch3&V licensee's property,damage to the roadbed,track®,equipment
or other property of the Licensor,or property in its voce or custody).
Ib) As a mayor inducement and in consideration of the license and permfasian herein granted,the Licensee agrees
to Indemnify and bold harmless the Ucensor from any Lou which is duo to or arises from:
1. The proaecutlon of any work contemplated by aids Agreement hranding the installation construction,
maichmance.repair,renewal modification reconstruction relocation or removal of the Pipeline or arty
part dereaf;or
2. The presence,operation or use of the pipeline or cordents escaping Iherehom
except to the extent that the lass is caused by the sole and direct aegUgerae of the Licensor.
Section 11.
Prior to the termimtlon of this Agreement howsoever.the Licensee shall.at Licensees sole expense,
remove the pipeline Ecom these portions of the property not occupied by the roadbed and track or tracks of the licensor
and shall restore.to the satisfaction of the Licensor,such poniioas of such property to as good a condition as they ware
in at the time of the corsb uction of the pipeline. V the Licensee fails to do the foregoing,the licensor may do such work
of removal and restoration rt die coat and expense of die Licences.The Licensor may.at its option upon such termination,
at the entire coat and espense of tiro Lieeu me,remove the pounces of the pipeline located underneath its roadbed cad
track or hacks and reataze etch roadbed to as good a condition uz!twee in of the time of the construetlonof the Pipeline,
or it may permit the Licensee to do such work of removal and restoration to the satisfaction of the Licensor. In ace evert
of the rotrtoual by the Licensor of the property of the Ilwnsoe and of the restataton of the roadbed and property as herein
provided the Licensor shall In no mmcner be liable to the Licensee for any damage sustained by the Licensee for or on
aeoourd thereat,and such removal and restoration abed in no mormer prejudice or impair any right of action for damages,
or otherwise.that the Licensor may haws against the Licensee.
Section 12.' WANF3t OF MAFACIL
The waiver by the licensor of the breach of any condition,covenant or agreement herein contained to be kept
observed and performed by the Ileensee shall in no tray impair ane right of the Ltcewor to avall itseU of any remedy for
any subsequent breach thereof.
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PLXM112
Pam Appwe4 AVP,4AM
Section 13. .
a) If the Licermee doss not use the right herein granted or the Pipebre for one(1)yew,or ff the Licensee contimm
tndalmalt in the performance of any covemat or agreement herein contained fon a period of Oft(30)days,alter written
notice from the Licensor to the Licensee apeckIng such defmill the Iiaensor may,at its option,forthwith immediately
wrmbx de Ibis Agreement by written notice.
b) In addti=to the provlaimm of subparagraph a)above.this Agreement maybe terminated by written notice given
byelther party bereto to the other on my dabs in such notice stated,not lees,however,than thirty(30)clays subseTmrd to
the date upon which such notice shall be given.
C) Notioe of default and notice of termination may be served personally upon the Licenses or by mailing to the last
known address of the Licensee. Termination of this Agreement for any reason shell not affect any of the rights or
obligafi=of the parties hereto which may have marred,or liar tkm,accrued or otherwise,which may have arisen prior
thereto.
Section 14. A�N�TTOR'ASSI -M-
Its Lbe:mee shall ra4 assign this Agreement,in whole or in part or any rights herein grarded,wi0w%d the written
consent of the Licensor,and it is agreed that any transfer or assignment or attempted transfer or assignment of We
Agreemerd or arq of the rights herein gr rated,whether voluntary,by operation of law,or othorwlse,without such consent
inwrift shall be absotutelyvoid and,at the option of the licensor,shall terminate this Agreement
Section 15. SUOCESJQRS wn ASSIaNs.
Subject toits prwisiarm of Section 14 hereof.this Agreement shall be hi ndhrg upon and inure to the benefit of the
parties hereto,their heirs.executors.administratom successors and assigns.
pt=exb Rote 4 af4 E�38B
CONSEQUENCES ?
WHAT WOULD THE
CITY DO IF, DURING
THE NEXT COUPLE OF
YEARS , A UTILITY DUG
A HOLE AND LEFT A
PATCH IN FRONT OF
EVERY RESIDENCE
AND BUSINESS
FRONTING EACH OF
THESE NEWLY
SURFACED STREETS ?
JAMES F. ARNDT
1080 BLUEBELL WAY
SAN LUIS OBISPO, CA 93401
805 546-9709
OCTOBER 19, 2010
Jim@tbo.net
Honorable Mayor Romero
Members of the San Luis Obispo City Council
San Luis Obispo, CA City Hall
Re: SLO STREET PATCHING
I, James Arndt, 1080 Bluebell Way, San Luis Obispo, am president of The
Summerhills Garden Homeowners Association. Summerhills is located
South of Tank Farm Road on and between Poinsettia and Morning Glory
Streets. We have seventy-eight units mostly situated on Bluebell Way..
Last week I delivered a letter to the Mayor along with copies for members of
the San Luis Obispo City Council. The letter explained our feelings why the
City should slurry-seal Bluebell Way although it is considered "private
property." A copy of the letter is attached.
Since then, the following three points have arisen:
1) A notice was posted advising that the extensive street slurry-sealing
project was being financed by Proposition "J" sales tax revenue. Our
association members pay the same taxes as other residents of the City
and should be treated equally. Our Master association "SANTA
LUCIA HILLS" (of which Summer Hills is a member surrounded by
it) has over 500 homes benefiting from the new street surface.
2) The City has patched our Bluebell Streets after repairing water main
connections with a four-foot square patch for each of out 78 units. It is
the obligation of the City, when doing work on private property, to
restore that property to its previous condition. Our Association had
just completed a slurry-seal project on Blue Belt Way just prior to the
City digging it up. Therefore the City is obligated to restore Blue Bell
Way to its previous unblemished condition.
3) The City gave notice to individual owners on nearby streets currently
being slurry-sealed that they would have to complete any necessary
street work before the slurry-seal since there would be a five-year
moratorium on street cuts afterwards. The City certainly cut up our
Bluebell Way long before five years had elapsed after we paid for the
resurfacing.
We members of The Summer Hills Home Owners Association feel the City
has an obligation to re-surface our Blue Bell Street at this time.
S' erely,
JAMES ARNDT, President Summer Hills Homeowners Association
JAMES F. ARNDT
1080 BLUEBELL WAY
SAN LUIS OBISPO, CA 93401
805 546-9709
OCTOBER 12, 2010
Jim@tbo.net
Honorable Mayor Romero
Members of the San Luis Obispo City Council
San Luis Obispo, CA City Hall
Re: SLO STREET PATCHING
I, James Arndt, 1080 Bluebell Way, San Luis Obispo, am president of The
Summerhills Garden Homeowners Association. Summerhills is located
South of Tank Farm Road on and between Poinsettia and Morning Glory
Streets. We have seventy-eight units mostly situated on Bluebell Way. No-
parking notices have been placed on Morning Glory and Poinsettia for the
purpose of resurfacing these roadways where they provide entrance to
Summerhills' Bluebell Way.
Our association is responsible for the maintenance of Bluebell Way. We did
our last resurfacing a few years ago just before the City of San Luis Obispo
began repairing leaking water supply lines between the City main and the
water meters on an "as fail" procedure. Within the past year, the City
finished repairing all 78 of our unit's supply lines. This resulted in Bluebell
having a patchwork appearance. Because of the intense number of patches,
their appearance is much more obvious than the proliferation of patches
throughout the City. In addition, the patches come with open cracks some
extending from saw cuts beyond the patches. Our next resurfacing is not
scheduled for a few years.
The failure of the water supply lines was due to some factor or factors such
as improper:
1) City Specifications
2) City inspections during construction
3) Faulty materials
4) Faulty installation
t 1
Such installations should last upwards of 50 to 100 years.
Our Association feels that the City has a responsibility in resurfacing
Bluebell Way now that it appears all of the water lines have been repaired.
If the City was not able to recoup the costs of these repairs throughout the
City from contractors or suppliers, then it indicates that the City is culpable
for the failures.
An ABS class II drain pipe in my kitchen wall failed in 2008, 18 years after
our unit was completed and we had moved in. Because of the long
undetected damage, I had to replace my kitchen and was able to obtain
remuneration from the pipe manufacturer. The manufacturer had lost a class
action suit. Has the City recovered any of the costs for the water supply
lines?
I will plan to attend the next meeting of the San Luis Obispo City Council to
discuss this further.
Thank you for your consideration,
es F. Arndt
President, Summerhills Garden Homeowner's Association