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HomeMy WebLinkAbout2013-319 License Agrmt - PacifiCorp CONDITIONAL LICENSE AGREEMENT This CONDITIONAL LICENSE AGREEMENT ("Agreement") is entered into by and between PACIFICORP, an Oregon corporation ("PacifiCorp") and theCITY OF ASHLAND, a political subdivision of the State of Oregon("Licensee") with reference to the following: A. PacifiCorp owns certain real property, known as Jackson County tax lot 391 E13D1900, (the "Oak Knoll Substation Property"),and more particularly described in Exhibit A attached hereto and incorporated herein by reference (the "Property"). B. Licensee receives firm power from the Bonneville Power Administration (`BPA") over PacifiCorp's transmission system under the terms and conditions of a General Transfer Agreement ("GTA"). C. Licensee, PacifiCorp and BPA entered into an Agreement for Distribution System Transfer Services (the "Distribution Agreement"), which provides for the transfer of PacifiCorp power and energy over Licensee's distribution system for delivery to PacifiCorp's retail customers. D. Licensee desires to use a portion of the Property, as more particularly shown on Exhibit A (the "Premises"),for the construction, operation, maintenance and repair of three distribution poles and necessary appurtenances thereto(the "Permitted Use") as depicted on Exhibit B. E. PacifiCorp desires to grant Licensee a non-exclusive, non-transferrable, conditional license to use the Premisesfor the Permitted Use, subject to the terms and conditions contained herein (the "License"). NOW THEREFORE, PacifiCorp and Licensee hereby agree as follows: 1) Grant of License.PacifiCorp hereby consents to Licensee's use of the Premisessolely for the Permitted Use and subject to. the terms and conditions contained herein. 2) Conditions to License. PacifiCorp's grant of the License to Licensee isexpressly conditioned upon the complete and continuing satisfaction of the following: a) PacifiCorp Pronerty Ownership. Licensee agrees that nothing in this Agreement or Licensee's use of the Premises shall give Licensee any right, title, or interest in the Property other than the right to use the Property in accordance with this Agreement. b) Permits.Licensee shall secure any and all necessary permits and other necessary land use approvals in order to allow for the Permitted Use. c) Associated Agreements. In the event that either the GTA or Distribution Agreement is terminated,Licensee shall promptly notify PacifiCorp. 1 6 d) Compliance with Law. Licensee's use of the Premisesshall, at all times, comply with and be subject to all applicable regulations, codes and laws, including, without limitation, the National Electrical Safety Code as may be amended from time to time, and all safety rules prescribed by PacifiCorp. e) Responsibility for Contractors. Licensee shall provide a copy of this Agreement to and shall be responsible for adherence to the terms and conditions contained herein by its contractors, employees, agents and representatives who will access the Premisesin accordance with this Agreement. f) No Interference. Licensee's use of the Premisesshall not interfere with PacifiCorp's present or future access to or use of the Premises,nor shall Licensee's use create a hazard or clearance issue of any sort.Licensee shall not restrict PacifiCorp's access to the Property or the substation main gate and the mobile access gate on the southwest corner of the Property. Licensee shall be a minimum of five feet from PacifiCorp's substation fence.In the event Licensee's use interferes with PacifiCorp's present or future use, Licensee shall promptly discontinue the interfering use or relocate/remove Licensee's interfering facilities at Licensee's sole cost and expense. g) Indemnity. Licensee shall indemnify, protect, and hold harmless PacifiCorp and its directors, officers, employees and agents (hereinafter collectively "PacifiCorp Indemnified Parties") against and from any and all claims, demands, suits, losses, costs and damages of every kind and description, including attorneys' fees and/or litigation expenses, brought or made against or incurred by the PacifiCorp Indemnified Parties resulting from, arising out of, or in any way connected with any act, omission, fault or negligence of Licensee, its employees, agents, representatives or contractors, their employees, agents or representatives related to this Agreement or Licensee's activities hereunder, except to the extent that such claim, demand, loss, cause of action, or costs arises from PacifiCorp's gross negligence or willful misconduct. The indemnity provisions herein shall survive termination of this Agreement. h) Insurance. Without limiting any liabilities or any other obligations of Licensee, Licensee shall procure and continuously maintain for the duration of this Agreement, with insurers having an A.M. Best's rating of A-VII or better or having an equivalent rating,insurance against claims for injury to persons or damage to property which may arise from or in connection with this Agreement or Licensee's use or occupancy of the Premises or Property as follows: i) Workers' Compensation. Coverage as required by law. Licensee shall furnish proof thereof satisfactory to PacifiCorp within fourteen (14) days prior to commencing any work on the Property. All Workers' Compensation policies shall contain provisions that the insurance companies will have no right of recovery or subrogation against PacifiCorp, its parent, divisions, affiliates, subsidiary companies, co-licensees, co- venturers, agents, directors, officers, employees, servants, and insurers; it being the intention of PacifiCorp and Licensee that the insurance as effected shall protect all 2 parties. ii) Commercial General Liabilitv. The most recently approved Insurance Services Office ("ISO") policy, or its equivalent, written on an occurrence basis, with limits not less than $1,000,000 per occurrence and $2,000,000 general aggregate (on a per location basis) to protect against and from any and all loss by reason of bodily injury or property damage on or about the Property, including the following coverages: (1) Bodily injury, property damage, and personal injury coverage, including damage to PacifiCorp's electric facilities or improvements as a result of Licensee's, its contractors', subcontractors' or agents' negligence. (2) Property and Products/Completed Operations iii) Independent Contractors. Independent contractors of Licensee shall meet the requirements set forth in Section 2.h.x, Insurance Requirements for Licensee's Contractor of this Agreement, and such requirements shall be administered by Licensee as stated under 2.e. Responsibility for Contractors of this Agreement. iv) Automobile Liability. The most recently approved ISO policy, or its equivalent, with a minimum single limit of $1,000,000 for bodily injury and property damage including sudden and accidental pollution liability, With respect to Licensee's vehicles whether owned, hired or non-owned, assigned to or used in any way on the Property. v) Umbrella Liability. Insurance with a minimum limit of $5,000,000 each occurrence/aggregate, where applicable, to the excess of the coverages and limits required in, Commercial General Liability, and Automobile Liability insurance required above. Such insurance policies shall be maintained to cover any liability arising from Licensee's use of the Property and indemnification identified in Section 2. g. of this Agreement. vi) Certificate of Insurance. Licensee shall annually provide to PacifiCorp a certificate of insurance evidencing its insurance coverage. The policies required herein, except Workers' Compensation, shall include provisions or endorsements naming PacifiCorp, its parent; affiliates, subsidiaries, its officers, directors, agents, employees or servants as additional insured. vii)Licensee's Insurance Primary. To the extent of Licensee's negligent acts or omissions, all policies required under this Agreement shall include provisions that such insurance is primary with respect to the interest of PacifiCorp and that any other insurance maintained by PacifiCorp is excess and noncontributory insurance with the insurance required hereunder, and provisions that the policy contain a cross liability or severability of interest clause or endorsement. e 3 viii) No Right of Recovery or Subrogation. Unless prohibited by applicable law, all required insurance policies shall contain provisions that the insurer will have no right of recovery or subrogation against the PacifiCorp, its parent, divisions, affiliates, subsidiaries companies, co-Licensees, or co-venturers, agents, directors, officers, employees, servants, and insurers, it being the intention of the PacifiCorp and Licensee that the insurance as affected shall protect all parties. ix) Notice Prior to Change or Cancellation. Licensee's insurance required under this Section shall contain provisions that such policies cannot be cancelled or their limits of liability reduced without;(i) ten (10) calendar days' prior written notice to PacifiCorp if cancelled for nonpayment of premium, or (ii) thirty (30) calendar days' prior written notice to PacifiCorp if cancelled for any other reason. x) Insurance Requirements for Licensee's Contractor. The following insurance coverage shall be required from all contractors and subcontractors as agreed in items 2.e. and 2.h.ii. of this Agreement. Prior to commencing using the Premises for the Permitted Use, Licensee shall provide written confirmation from its contractors and subcontractors of compliance with the following insurance requirements: (1) Without limiting any liabilities or any other obligations of Contractor, Contractor agrees to secure and continuously maintain for the term of the Work being provided to Licensee at the [insert location of the Property/Premises] specified herein, with insurers having an A.M. Best's rating of A-VII or better, such insurance as will protect Licensee and PacifiCorp from liability and claims for injury to persons or damage to property which may arise out of or result from Contractor's use of the Premises for the Permitted Use as granted under this Agreement and for which Licensee or PacifiCorp may be legally liable, whether such operations are by Contractor or its subcontractor of any tier or other independent contractor (its contractors) or by anyone directly or indirectly employed by any of them, or by anyone for whose acts any of them may be liable. Contractor shall insure the risks associated with its work with minimum coverages and limits as follows: (a) Workers' Compensation: Contractor shall comply will all applicable Workers' Compensation Laws. (b) Employers' Liability: Contractor shall carry Employers' Liability insurance with a minimum limit of$1,000,000 each accident/$1,000,000 by disease- each employee/$1,000,000 by disease-policy limit. (c) Commercial General Liability: Contractors shall carry Commercial General Liability insurance with limits of not less than $1,000,000 per occurrence and $2,000,000 general aggregate covering bodily injury and property damage including the following coverages: 4 (i) Premises and operations (ii) Independent contractor's liability (iii)Contractual liability (iv)Coverage for explosion, collapse, and underground property damage (v) Broad form property damage liability (vi)Sudden and accidental pollution liability, hired, or non-owned. (d) Business Automobile Liability: Contractor shall cant' Business Automobile Liability insurance with a minimum combined single limit of $1,000,000 each accident for bodily injury and property damage, including sudden and accidental pollution liability, with respect to Contractor's vehicles whether owned, hired, or non-owned. (e) Umbrella Liability: Contractor shall carry Umbrella Liability with a minimum limit of $5,000,000 each occurrence/aggregate in excess of coverages and limits required in Employers' Liability, Commercial General Liability, and Business Automobile Liability insurance stated under Sections 2.x. Lb., 2.x.I .e., and 2.x. Ld. above. Contractor shall provide notice to Licensee if at any time its minimum umbrella limit is not available and will purchase additional limits, if required by Grantor. (f) In addition to the requirements stated above any and all parties providing underground locate, engineering, design, or soil sample testing services to Licensee or Contractor shall be required to provide the following insurance: (i) Professional Liability: Licenseeor Contractor shall maintain Professional Liability insurance covering damages arising out of negligent acts, errors or omissions committed by Licenseeor Contractor prior to or whileusing the Premises for the Permitted Useallowed under this Agreement, with a liability limit of not less than $2,000,000 each claim. Licensee orContractor shall maintain this policy for a minimum of two (2) years after completion of the work or shall arrange for a two (2) year extended discovery (tail) provision of the policy is not renewed. (g) Additional provisions are required as follows: (i) Commercial General Liability and Business Automobile Liability policies shall include endorsements naming PacifiCorp, its parent, divisions, affiliates, subsidiary companies, co-lessees, co-venturers, officers, directors, agents, employees, servants and insurers as additional insureds. 5 (ii) Commercial General Liability shall include the following provisions or endorsements: 1. shall be primary and not excess to, or contributing with any insurance or self-insurance maintained by PacifiCorp, and 2. shall contain a cross liability or severability of interest clause or endorsement. (iii)Unless prohibited by applicable law the Commercial General Liability, Business Automobile Liability, and Workers' Compensation insurance policies shall contain provisions or endorsements that the insurer will have no right of recovery or subrogation against PacifiCorp, its parent, divisions, affiliates, subsidiary companies, co-lessees, co-venturers, agents, directors, officers, employees, servants, and insurers, it being the intention of PacifiCorp and Licensee that the insurance as effected shall protect all parties. (iv)Contractor shall notify Licensee immediately upon receipt of notices of cancellation of any insurance policy(ies) required herein for nonpayment Certificates of insurance shall be provided to PacifiCorp, prior to commencement of use of the Premises for the Permitted Useby Licensee and its contractors, confirming compliance with the insurance requirements as stated and shall be replaced with certificates reflecting renewal coverage prior to the expiration of each required policy or premium or for any other reason, and shall provide PacifiCorp with written proof of replacement insurance prior to the effective date of such cancellation. (h) Certificates of insurance shall be provided to PacifiCorp, prior to commencement of use of the Premises for the Permitted Useby Licensee and its contractors, confirming compliance with the insurance requirements as stated and shall be replaced with certificates reflecting renewal coverage prior to the expiration of each required policy. (i) PacifiCorp does not represent that the insurance coverage specified herein (whether in scope of coverage or amounts of coverage) are adequate to protect the obligations of Licensee or its contractors, and Licenseeand its contractors shall be solely responsible for any deductibles and deficiencies thereof. i) Assumption of Risk. Licensee acknowledges and agrees that its use hereunder is at its sole risk and that PacifiCorp shall not be liable for damage to Licensee's property or facilities resulting from PacifiCorp's maintenance, construction, repairs or other operating activities within the Property. 6 j) Minimum Distance. Licensee shall maintain a minimum distance of ten (10) feet between equipment traveling through oC occupying the Premises and PacifiCorp's transmission/distribution line conductors (wires). k) Access to Premisesthrough Gate. Licensee may access the Premises through the gate on Highway 66, or such other access as PacifiCorp may designate from time to time. All gates on the Property shall be kept closed and locked during all hours. Licensee may place a lock on the gate, but said lock shall not bar PacifiCorp employees from use of the same gate. 1) Notifying Dispatch.Licensee shall call Southern Dispatch ("Dispatch") at (503) 251-5239 within sixty (60) seconds of entering Property and sixty (60) seconds prior to exiting Property. Licensee must notify Dispatch of business need for entering Property. m) Minimum Clearance. Licensee shall maintain a minimum clearance of at least five (5) feet between approved facilities and the point where the transmission line steel structure enters the earth. n) Heavy Equipment. Licensee acknowledges and agrees that the Property may be crossed by PacifiCorp's heavy equipment, including, without limitation, vehicles in excess ofthirty-five (35) tons. o) Identification of Facilities. Licensee shall mark the location of any of its underground facilities allowed under this Agreement, if any, with permanent signs, and shall maintain such markings throughout the tern of this Agreement. p) Permitted Structures. Licensee shall not place or maintain any permanent structures, including control houses or equipment shelters within the Property, without submitting final design and plans to PacifiCorp for prior written approval. Conditions and modifications must be acceptable to PacifiCorp including any subsequent changes. q) Hazardous Materials. Licensee shall not use nor permit the use of any hazardous materials within the Property, without prior written approval by PacifiCorp. 3) Default. In the event Licensee violates any of the terms or conditions of this Agreement and fails to cure such default within thirty (30) days following written notice thereof, PacifiCorp may elect to immediately terminate this Agreement and Licensee, at its own cost, shall promptly restore the Property to the condition existing prior to Licensee's use. 4) Notices. Any notice required hereunder shall be sent via first class mail to the followingaddresses: PacifiCorp City of Ashland Property Management Warren DiNapoli, Electric Distribution Manager 825 NE Multnomah Street # 1700 90 N.Mountain Ave. Portland, OR 97232 Ashland, OR 97520 7 5) Termination. This Agreement shall terminate upon the earlier o£ (i) the date oftermination of the GTA; (ii) the date of termination of the Distribution Agreement; (iii) discontinuance of the Permitted Use for a consecutive period of thirty (30) days; or (iv) upon PacifiCorp's election following Licensee's failure to cure a default hereunder within thirty (30) days following written notice thereof. 6) Restoration. Upon termination, Licensee, at its own cost, shall promptly restore theProperty to the condition existing prior to Licensee's use. 7) Jury Trial Waiver. To the fullest extent permitted by law, each of the parties heretowaives any right it may have to a trial by jury in respect of litigation directly or indirectly arising out of, under or in connection with this Agreement. Each party further waives any right to consolidate, or to request the consolidation of, any action in which a jury trial has been waived with any other action in which a jury trial cannot be or has not been waived. 8) Effective Date. This Agreement shall become effective upon full execution by the parties. 9) Assignment. This Agreement shall not be assigned without PacifiCorp's prior writtenconsent. 10) As-Built Drawings. Within sixty (60) days of substantial completion of construction, or any subsequent substantial modification thereto, Licensee shall provide PacifiCorp a set of As- Built drawings showing the project as constructed. 11) Execution in Counterparts; Electronic Transmittal. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. Said counterparts may be transmitted by one party to the other by facsimile or electronic mail. IN WITNESS WHEREOF, the parties have executed this Agreement in counterpartsas of the dates below. PACIFICORP CITY OF ASHLAN By: / 46 - By~ . Name: ~ea~..a Adr.w s Name: OA46 Ka ~ < kon a stR4: o(~ Its: Its: C-41,7-/ Date: 9 Date: - hK APOVEp A T ORM Ashland Ctfy Date d - oZ - I 8 EXHIBIT A The Property and Premises Tax lot 391E13D1900 8 1.63 AC 0.32 AC o 33,75 1200 274 Ac o N 4 S CS 21E .1820 80.75• 281.1fi (1286 135 - 267D - 15" 150.0 185.83 522 NW COR Via VE CO 1 DLC 57 I 11900 180 3LQ~C 54 an 8547746 I 3.42 Ac CS 20837 - 0'42 DM FK M 65a l 11113i I PC • CS 11114S 8,801 I LldD' j ~ I I Pacific Power 39Ac 18( ?fifi+xs Oak Knoll Substation 128 VA73 PM \ \ I I 4 • b 8 V ~ e 2000 r : , CGS cs sass a 1811 77.8c n, Approx. location of City of 7 - Ashland distribution poles . 180 ALL 9 EXHIBIT B Permitted Uses ~~~~~cn ! ~ jig 11§g aE 3 m g $ g 0 8- @Jg N .5 Ago Kit Kit 0 AIo 910 goy 31 ~ IV i . i 10