Panhandle Eastern Pipe Line/Reimbursement
.. "
APPROViED.'Jf TO
FORM BY;
PIPELINE RELOCATION AND REIMBURSEMENT AGREEMENT
BETWEEN
PANHANDLE EASTERN PIPE LINE COMPANY, LP
AND
CITY OF CAR1\ffiL
FOR
CASINGREMOV AL ON LINE # 41-06-004-2800 (ZIONSVILLE 400)
AT TOWNE ROAD
HAMILTON COUNTY, INDIANA
Date
AUGUST 29, 2007
TABLE OF CONTENTS
ARTICLE
PAGE
I FACILITY DESCRIPTION AND LOCATION 3
n PAYMENT AND REIMBURSEMENT OF COSTS 4
III AUDIT 5
IV DESIGN AND CONSTRUCTION 5
V RIGHT OF WAY 6
VI INDEMNIFICA TION 6
vn NOTIFICATION 7
vrn ASSIGN1'vrENTS 7
XIV FURTHER ASSURANCES 8
X MISCELLANEOUS 8
XI FORCE MAJEURE 8
AUTHORIZED APPROVALS 10
EXHIBIT A- DRAWING DESCRIPTION Of.FACILITIES
EXHIBIT B - AMENDMENT OF AGREEMENTS
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PIPELINE RELOCA nON AND REIMBURSEMENT AGREEMENT
This Pipeline Relocation and Reimbursement Agreement ("Agreement") is made this
29th day of August, 2007 by and between Panhandle Eastern Pipe Line Company, LP
("COMPANY"), a Delaware limited partnership with its principal office in Houston,
Texas and City ofCamlel ("CUSTOMER"), an Indiana municipal corporation located in
Hamilton County, Indiana, with its principal office in Carmel, Indiana.
WITNESSETH:
WHEREAS, COMPANY is an interstate natural gas transmission company rendering gas
transportation service to the public; and
WHEREAS, CUSTOMER is an Indiana municipal corporation that owns and maintains
roads within its jurisdiction for the benefit of its residents, includingTowne Road; and
WHEREAS, COMPANY owns, operates and maintains a 30-inch diameter high pressure
natural gas pipeline (line number 4]-06-004-2800) (the "Pipeline") within Customer's
city limits; and
WHEREAS, CUSTOMER has requested COMPANY remove its Pipeline to facilitate the
widening of Towne Road; and
WHEREAS, COMPANY is willing to faci litate such casing removal under the terms and
conditions set forth herein; and
WHEREAS, CUSTOMER has agreed to reimburse COMPANY for its casingremoval
costs in an amount not to exceed the amount set f0l1h in Section 2.1 below, ,subject to
the terms of this Agreement,
NOW, THEREFORE, in consideration of the premises above, and the mutual covenants
hereinafter set forth, COM P ANY and CUSTOMER (the "Parties" hereto; each is a
"Party") agree as follows:
ARTICLE I
FACILITY DESCRIPTION AND LOCATION
1.1 COMPANY shall remove its existing 34-inch casing on its Pipeline under the
CUSTOMER's Towne Road property.
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ARTICLE II
PAYMENT AND REIMBURSEMENTOF COSTS
2.1 CUSTOMER agrees to reimburse COMPANY for costs incurred to remove the
existing casing, il\Cluding, but not limited to: engineering, surveying, labor,
equipment use, materials, inspections,. general and administrative expenses, and
any other costs incurred directly or indirectly with respect to the work to be
perfonned not to exceed $34,350 and is contingent on CUSTOMER providing the
following:
2.1.1 All labor and equipment to design, plan and implement a maintenance of
traffic plan to meet all State, County and City requirements for a Monday
through Friday Towne road Closure;
2.1.2 All labor, equipment and material to remove asphalt portion of Towne
Road in the area to be excavated by Company and haul off for disposal
along with the excess spoil from excavation by COMPANY;
2.1.3 All labor, equipment and material to repair damage to Towne Road as a
result of casing removal by COMPANY;
2.1.4 All labor, equipment and material to backfill area of excavation created by
COMPANY for removal of casing after COMPANY backfills excavation
to a minimum of one foot over exiting Pipeline with flowable fill.
2.2 CUSTOMER shall make prepayment to COMPANY of the amount.set forth in
Section 2.1 above. COMPANY is under no obligation to proceed with any phase
of the project until the payment is received from CUSTOMER.
2.3 Upon completion of the project, when all costs are fully determined, COMPANY
shall provide a detailed cost accounting to CUSTOMER. COMPANY shall
refund, within 30 days of the transmittal date of the final cost accounting, any
amount prepaid by CUSTOMER that is in excess of the final cost
2.4 In the event the project should be cancelled for any reason prior to the start of
construction, CUSTOMER shall only be responsible for actual costs incurredby
COMPANY at the time of cancellation, plus any additional costs to Closeout the
project and settle existing commitments and less any refunds to COMPANY.
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ARTICl;EIll
AUDIT
3.1 GUS:rOMER,.shillr~llve the rfghtto audit, atjts,own expense, the records of
COMJ>ANY relevant t(J'COMRANY'sCosIClfthepipeline casing removal. project
for one!( l)year .from.the'dateof coMp ANY's final invoice; provided; how~ver,
that CUSf()ME~shaILnothaye any right.!o audit-COMP ANY'sinilirect ~~sts or
any aspecttlieredf Dlitjng suCljone yeafpenbd, COMPANY shall maintain all
necessary'.records, including baek'up data,Jor stich'costs.
3.2 All audits snail be, p~rformecl d\ll'i'lg CQMP}~NY ~s rioriilalbusiness hours and at.
COMPAN.Y's principal place of-business.in Houston, l~e=$as.
ARTICLE IV
DESIGN ANbCONstRUCTION
4.1 COMPANY shalLhave so1e:.nithority and rpsponsibiJib'Yorthe,d!"sigiloftlie
Pipeline, selection ofmateriaJs,J)rocedures for. relocation and/or,'lowe"ii1g of the
Pipeline, andforthe selectionand.man~gemenlo'fthe contractor utilized. to
perfotil1 the work A)Uj~signsshiil1 be: iriMcord,!ricewithDO,TTitle 49'CFR
Part '192'and applicablefederal, statea,Yd'locai safetY,an.t! environmental
regulations andinaccorciance:with sound and prudent natural' gas.pipeline
industry practices. ThecQntraCtor,shall'beselcctedJhrough C,OlylP ANY's normal
competitive'bid proces.s or lise,of COMPA:NY's"appfoved'~I.li.a.nce,colit[actor'or
use of COMPANY personnel.
4.2 Approximate pipeliJie;casinglemoval,as s(iowh on}he,atla,ched gra!yings
("Exhibit A") shall not be altered without the approval of COMPANY; which
approval. C.OlV1PANY' may'withhold: atits.sole, discretion,
4,3 COMP ANY shall besolelyresponsibldor obtainingallapplicab1e state'img
federal permiispertainingto.\he Pipeline casin? removal project.
4.4 COMPANY\agrees,that it wJlI use reas6nabieefforts.to have t1kaboveW9rK
substanfiallycomplete within 90 days ofreceipt ofthe:prepaymeilt; provided.. ".
JiQw.ever,)Hat under. nocir.cumstances.shall GOMPANYbe hab1eto CUSTOMER
or any bth'er party f6f,collsequertiaJ, special" pUnitiV~ oraJ,1Y otl1~r'.ii1dire<.:t
damages"ciaims.orexpenses broughtabout, by'either C0MPANY's failure to
substantially complete such work by such date or.Jor any other reason.
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CUSTOMER lierebyagrees to !!1edemnity,defend aiid.l1old,COMPAl\JY and its
affiliated companies hannless with'i'espect toany.s~ch liabilities,
AR~tCLE V
RIGHT-Of-WAY
5, I CUSTOMER,agrees.that, \1])011 completion Of the pipe] i lie casing removaLat
CUSTOMER's property, iFShalLbc responsible for any liabilities; costs, expenses,
,claims or,judgments whjcltal1sejll any marillerregarding.theproperty covered,by
the easement and CUST{)tylERagrees tha:titwill deTef,d, iiidemnify;an(! hold
COMPANY' and its affl,Jiated.companieshamllesswith,respecFto such property
and'the'lIse:thereof.
ARTICtE VI
INDEMNWHJATION
6,IIti~ expressly understo6d.tlmt (I) COMPf\.NYisjrino respect.and for no purpose
thC'agent.of CUSJ0MER; ~nd ('.:nCUSTOME;Rshall aLalllimes be responsible
forthe:acts ororriissions o[,its employees, agents and,representatives,
subcontraitors.orsum:iliers or'their employees, agents ai;dxepreselitatives.
AJUICL:E'{fI
NO'FIFIcA1'ION,
7.1. All notices and cithercommuriications between the parties, unless otherwise
specifi~aliy provided; shall be in Writing and deemedlo.l1ave,beeri ~uly:given
when delivered 'in person or deposited with the United StaiesPostal Service, First
Class, with postage prepaid,aadressed,as follows:
If to CUSTOMER:
CUS1;OMER
AITN: Michael McBl'iCle. FE.
'--..- .'. - ....... -"
Gity of CahnelJfidiana
One Civic Square;
Carmel, rn460,3~
Voice: 317-571-2441
Fax: 3h~571-2439
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Uto COMPANY
ForPavments; As instructed on the invoice
For'AII Other GOJumunications:
David Parham, Manager E&C
Panhandle Eastern PipeLine Company.
8910 Purdue,Rbad, Suite 300
_ ' . -." .'0
Indianapolis, InA6268,
Voice: (17) 879:3047
F.ax: (-317) 879-30.09
Ecmaildavid"parham@sug:coni
Or to sucli\)th.era4ar~ssas~eiUier'partY:fromtin1~ to tjme inay des,igr1ate,foritseJ f.
ARTICLE VIII
ASSIGNMENT.S
8: 1 This Kgreementmay b"'.<lssigned Qy~ither.p'ai:ty, wi!tii;lut!he consenrofthe otper, to
an affiJiate:orany'otnercompany wh.icll,shall succeed'itbypurchase,merger,
consolidation, or,othertransfer of substantially all. assetsoftheorjglnalparty: Such
succes~or sh~11 be entitled ,10 the rights.al)dshali be subject to ,theqbligationS. of its
predecessor tinder this Agrceriient: OtheryJlse, heitherpattY.~hilJlasiigIi. this
Agreement withounhe prior written consent of the'otJ,er(,';hich consent,shal1 not be
uru:easonably wit\ih,eld. In no:eyent.shrili the-party.assigningits interest b.ereleased
from any of its obljgatiOTis to the;othefpartY. NClthingherein containedshilllprevent
onestricteitherpaityfrom,pjedging; grantinga,securityinterest in, or assigning as
collateral all or any portion,of sllchpartY'sjni"erestin'this Agreement to secure any
debt.or obligationiofsuchp3ti): ljiid,erany niorfg@l;deed Mtfust;-securily or;sin~ilar
instrument.
ARTTCLEIX
FlJRTJ-IERASSUR:ANCES
9.1 CUSTOMER and~COMI'ANY agre~,arth~ request,oftheothef, to executeil,.iii
deliver alLsuch other and additional instruments:and documents and take such
other reasonable,action as:may .be,necessary or. desirable iil order tomore.fillly-and
effectively carryo'ut lhe'iIltent~ ~nd purr.oses of this agrgement.
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J\RTICLtx
MISCELLANEOUS
10,1 nriS,AGREEMENTSHALLBE GOVERNED BY AND IN'l'ERPRETED IN
ACCORDANCE WITH TflE LAWS OFTHE,'ST ATE OFTEXAS"EXCEPY
FOR, ~I-/EC0:t':l.FLICTOFLAWS PRO\:!~lPNS THEREOF WHlCH WQlJLD
REFER APARTY TO THE LAWS OF ANOTHER'JURl,~DICTION.
10,2 Eacl1'partysh,il1tprqrnpt\y no~ify th~ other of any,actiori, circumsqmce, condition,
or reasonably likely potential occurrence'that might haye,ainaterial effec~ on the
ability ofsuch.partylo' perform:1tsintendectobiig!ltions under,this Agreement
IO.3 This Agreement is, expressly pfadesllbject t6'all'statlites4Ildl6rregtJl~tiljn~of any
governmentaJ'bodyhavil1g Jawfuljurisdictionover Go~panyor Customer, as the
_case,may be,
ARTICLE XI
FORCE MAJEtlRE
11.1 If, by reason offorcemajeur~, any party hereto shall1:ie.rendered unable, wholly
or partially tl) carryoutany6Bligations it may, have under this Agreement, except
CUSTOMER' sobligat\onsto'makepayrnenfto COMPANYW14.e{this
AgreemeIlt, as specified inArticleIT,'then ifsuchpartyshall ,give.notice,as soon
as'practicableand full details thereafler,in ,writing of such force,majeure to the
otherpaity within a'reasonable time after the oc,c{lrr~>>ce anile eyent oTsause
relied on, the obligationsofthe-partY'glvingsuchilotice, socfar as,affccted by such
force majeure;,shalrbe suspended duringtheccontinuance,oftheinallilitYiso
cal,\$edbut fOl\nO 101}ger, period, iln(j:mcl1party:sh~11 endea'lorto,remove (jr
overcomeslIch inabilityoso caused with"all,reasonabledispatch, Theterm "force
majeure:' as employed herein-shail mean acts:o(God, inability to obtain permits;
strike~; lock6Ilt,,~, and any oilier industrial ,disturb.mces; acts o'f-thepublic enemy,
orders ohnykihd oftl1~,go'lenimeiitor a)1yg6veriJrrlentalauthority lfavjIlg or
assertingjuri'sdiction over the premises, any civil or niilitaryauthority,
insurre~tions, riots, ,epid~mics, lamlslides, lighiing; earthqllakes,fires"hunicanes,
storms, acts of;goyerhmellt oT,p"eople, Civil disturbances, explosions; brei'kag,:,-~or
accident'ofmachin~rx or pipelines,or,inability on the part' of anypartyl1ereto to
carryoutits obligations under;this,Agreemenl.on.accountofany other cause or
cases nor reasonably ~itliin'tIie"c0l1tr6l (jf sllchRartySe~t1eITl~nt of all labor,
dIsputes shall be in the sole discretion' of the, party having' the difficulty,
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IN WITNESS THEREOF, the'parties hereto h~vecausec1thisagreenielit to be executed
by theiLduly <lUthorlzed,offlcers as ,ofthe, day"aild yeaLabove first. written,
AGREED TO AND 4.~~~rED
this 2..'1 day oC . " ,'20Q7
PANHANDLE E' STERN PIPE LINE COlVIRAN1\LP
By:
rr1.'k..Aj)~:,. '-
TITEE:
AGREEDTOAN~t4, :rE~ '
this~ day,o ' ,,2007
::'V,AMElA ~
TITLE: ~ 0,/
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