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HomeMy WebLinkAbout2011-189sAlegahour documentslordinances1111energy assets to legend consent to assign ordinance.doc ORDINANCE NO. 2011-189 AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A CONSENT TO ASSIGNMENT AND ASSUMPTION OF OBLIGATIONS, BY AND BETWEEN THE CITY OF DENTON, TEXAS ("CITY"), ENERGY ASSETS OPERATING COMPANY, LLC ("ENERGY ASSETS") AND LEGEND GATHERING COMPANY LLC ("LEGEND"), PROVIDING THE CONSENT OF THE CITY TO THE ASSIGNMENT OF THAT CERTAIN RIGHT OF WAY LICENSE TO USE CERTAIN CITY PROPERTY FOR THE PLACEMENT OF TRANSMISSION PIPELINES ("ROW LICENSE"), DATED ON OR ABOUT OCTOBER 26, 2007, BY AND BETWEEN THE CITY AND ENERGY ASSETS, PROVIDING THE RIGHT TO USE CERTAIN CITY PROPERTY FOR PLACEMENT OF TRANSMISSION PIPELINES AS DESCRIBED IN THE ROW LICENSE; PROVIDING FOR SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Denton has determined that it is advisable to consent to the transfer of the ROW License, encumbering certain real property located in the City of Denton, Texas, as more particularly described in the ROW License, from Energy Assets to Legend, as set forth in the Consent to Assignment and Assumption of Obligations (the "Consent"), attached hereto and incorporated herein by reference; and WHEREAS, the City desires to authorize the City Manager to execute the Consent with Energy Assets and Legend; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The City Manager or his designee is hereby authorized to execute the Consent between the City of Denton, Texas, Energy Assets Operating Company, LLC and Legend Gathering Company LLC, as attached hereto and incorporated herein by reference. SECTION 2. If any section, article, paragraph, sentence, clause, phrase or word in this ordinance or application thereof to any person or circumstance is held invalid or unconstitutional by a court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance, and the City Council hereby declares it would have passed such remaining portions of this ordinance despite such invalidity, which remaining portions shall remain in full force and effect. SECTION 3. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the n day of hlrem) , 2011. ATTEST: JENNIFER WALTERS, CITY SECRETARY B APT VED A O LEGAL FORM: ANITA BURGESS, CITY ATTORNEY BY: qmARK 1GHS, MAYOR Page 2 sAlegahour documentskontrutAl1lenergy assets to legend row -consent to assign.doc CONSENT TO ASSIGNMENT AND ASSUMPTION OF OBLIGATIONS This Consent to Assignment and Assumption of Obligations (the "Consent's is dated this L day of ki , 2011, but effective as set forth below, by and between the City of Denton, Texas, a Texas home rule municipal corporation ("City"), Energy Assets Operating Company, LLC, a Delaware limited liability company ("Energy Assets") and Legend Gathering Company LLC, a Delaware limited liability company ("Legend"). WHEREAS, pursuant to that certain Right of Way License to Use Certain City Property for Placement of Transmission Pipelines (the "ROW License"), dated on or about October 26, 2007, the City granted to Energy Assets the right to cross roads, streets and easements under the jurisdiction of the City, as more particularly described in the ROW License, the ROW License being attached hereto and made a part hereof as Exhibit "A"; WHEREAS, pursuant to that certain Assignment and Bill of Sale (the "Proposed Assignment"), dated effective February 1, 2011, and recorded in Book No. 2843, Page 215, Real Property Records of Parker County, Texas, Energy Assets assigned, subject to the consent of the City, the ROW License to Legend; WHEREAS, the ROW License prohibits assignment of any portion thereof absent the written consent of the City; WHEREAS, the City is amenable to consenting to the Proposed Assignment upon the terms, conditions and provisions hereof, WHEREAS, Legend or Energy Assets, as applicable, has paid all fees related to the transfer of the ROW License and has posted their performance bond and provided the insurance as required by the ROW License, to and in favor of the City. NOW THEREFORE, for and in consideration of Ten and no/100 Dollars ($10.00), the covenants, representations and warranties provided herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by all parties hereto, City, Energy Assets and Legend hereby agree as follows: 1. Legend hereby expressly assumes, the same as if Legend were the original "Licensee" under the ROW License, all obligations and responsibilities of Licensee as provided in the ROW License for all purposes and interests. Nothing contained herein shall be construed to release Energy Assets from any obligation or liability related to the ROW License occurring, arising or accruing prior to the effective date of the Proposed Assignment. 2. Energy Assets hereby represents and warrants to the City that it does not own or possess, or have the right to own or possess, any interest or right whatsoever, present or future, in the ROW License, as of the effective date of the Proposed Assignment, subject to City consent as provided herein. 3. In reliance upon the representations, warranties and agreements made herein by Legend and Energy Assets, the City hereby provides its written consent to the Proposed Assignment, upon the terms and conditions provided herein. 4. Legend hereby provides to the City, for all notices contemplated by Section 17 of the ROW License, the following: Legend Gathering Company LLC 410 W. Grand Parkway South, Suite 400 Katy, Texas 77494 Attn: 5. Legend and Energy Assets hereby ratify and acknowledge the validity and subsistence of the ROW License. b. This Consent may be executed in one or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. 2 7. The effective date of this Consent shall be February 1, 2011. Attest: Jennifer Walters, City Secretary r B Approved as to legal form: Anita Burgess, City Attorney By: !� 3 City of Denton By: �L deorlde C. Campbell, City Manager Legend Gathering Company LLC, a Delaware limited liability company I .L' ► / :1 Energy Assets Operating Company, LLC, a Delaware lied liabiljWcompany By: ,✓ Name: Title: STATE OF TEXAS COUNTY OF DENTON § T is instrument is acknowledged before me, on this the day of n 2011, by GEORGE C. CAMPBELL, City Manager of the City of Denton, on behalf of the City of Denton, Texas. Given seal of office this day of �� 2011. JANE E. RICHARDSON ?+ ' Notary Public, state of Texas _t s, ?. My Commission Expires June 27, 2013 N ary Public My Commission Expires: STATE OF TEXAS CZ COUNTY OF This instrument was acknowledged before me on this 22rVday of 5(-pt-em6 tr , 2011 by CQxl W'iW419 1t.11 as SVP*C-e-nerak (S-wn—SBjof Legend Gathering Company LLC, a Delaware limited liability company, on behalf of said liability company. and and seal of office this 2lay of SP_ptewt be+' , 2011. J,PY �b�y COBY NATHANSON -�; __ Notary Public, State of Texas �.n •.4: My Commission Expires r. July 22, 2015 Notar lic, State of Texas My Commission Expires: " 22 201' j STATE OF TEXAS COUNTY OF DENTON This instrument was acknowledged before me on this 2011 by as Company, LLC, a Delaware limited company. day of of Energy liability company, on behalf of sai Given under my hand and seal of office this My Commission Expires: 4 d day of , 2011. Notary Public, State of Texas STATE OF TEXAS COUNTY OF DENTON This instrument is acknowledged before me, on this the day of , 2011, by GEORGE C. CAMPBELL, City Manager of the City of Denton, on behalf of the City of Denton, Texas. Given under my hand and seal of office this day of 2011. My Commission Expires: STATE OF R C*') COUNTY OF Notary Public This ins:um ent was acknowl of eon this vy(day of 2Q11 by U�ilh/IVX.�' 1 nsof Legend Gathering Company LLC, Delaware limi lability company, on alf of said liability company. Given my hand and seal of office this day of 2011. Notary Public, State of Texas My Commission Expires: STATE OF TEXAS COUNTY OF DENTON This instrument was acknowledged before me on this (� day of +e v- , b-,� j- 2011 by -tow, 4 P -f,o I � . as Sen`.o'- U ;tee �s� • of Energy Assets Operating Company, LLC, a Delaware limited liability company, on behalf of said limited liability company. Given under my hand and seal of office this � day of , ,,b e c-- , 2011. ,� Notary Public, Stat of exas My Commission Expires: ........... 2o�P�v PLB<< SUSAN S HUGHES 4 My Commission ExpIrW OF september 23, 2015 Exhibit A _ t;njval cst%pn To Consent to Assignment & Assumption of Obligations RIGHT OF WAY LICENSE TO USE CERTAIN CITY PROPERTY FOR PLACEMENT OF TRANSMISSION PIPELINES THE STATE OF TEXAS KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DENTON THAT the City of Denton, Texas, a home rule municipal corporation ("Licensor"), acting by and through its duly authorized City Manager pursuant to Denton Development Code Section 35.16.19.7.h., for the consideration set out below, the receipt and sufficiency of which is hereby acknowledged; does hereby grant unto, Energy Assets Operating Company, ("Licensee"), its successors and assigns, the right to enter upon, construct, operate, maintain, repair, replace and expand oil and gas pipelines in certain parcels of land or easements owned by the City of Denton in Denton County, Texas. Licensee to cross roads, streets and easements under the jurisdiction of Licensor as described in attached Exhibit* "A" attached hereto and incorporated herein by reference ("Licensed Premises''). Licensee shall provide "as built drawings" to the office of the City Engineer and to the Fire Marshal of the City of Denton upon construction. Licensee may amend Exhibit "A" upon written consent by the City of Denton by providing the location of additional proposed oil and gas pipelines to the City Engineer and to the Fire Marshal of the City of Denton. Licensee shall provide "as built drawings" to the office of the City Engineer and to the Fire Marshal of the City of Denton upon construction of proposed oil and gas pipelines added by amendment to Exhibit "A''. Compensation for additional road, street and easement crossings for proposed oil and gas pipelines added ,by amendment to Exhibit "A" shall be paid to the City of Denton pursuant to the terms and conditions of this agreement ("License''). Section I -Application. The Licensee has submitted a complete application for the license to the Development Review Committee of the City of Denton ('°DRC"), a plan accurately showing the proposed location, course and alignment of the proposed pipeline(s); a written application, which application show the time, manner, means and method of the proposed construction, the particular commodity proposed to be transported through the pipeline(s) and the maximuin pressure and maximum temperature under which the same may be pumped or othenvise caused or permitted to flow through any and 'all of the particular portions of the pipeline(s). The application includes: �'aral rstlprojceis`ruw slivcd',prujectstcaoc• park$ ILktncrgy assets aperating co row liceme IG-WUZdocx a. Maps or schematic dravings, in a format to be approved by DRC showing the route within the city of each pipeline including its location and elevation in every street - (elevation need not be supplied for gathering systems, or if not economically feasible); b. The diameter, normal operating pressure range and the maximum allowable operating pressure of each existing pipeline; other than a gathering system, within the city; c. The materials transported by each existing pipeline within the city; d. The location of shutoff valves for every segment of a pipeline in a street; e. The business address and telephone number of the person -responsible for the operation of each existing pipeline: f. The business address and telephone ntunber of the owner of each existing pipeline; g. The telephone number of at least one emergency contact available on a 24-hour basis; and, h. Certificates of insurance for the coverages set forth in this License; and; i. The name, address and telephone number of Licensee. _j. Such other information as the DRC shall reasonably request that relates to placement of the pipeline's in the streets and as to appropriate compensation herein. An application review fee of S I.000.00 shall be paid by Licensee at the . time 'each application is submitted along with do application review fee of $500.00 per right of way crossing and $250 per easement crossing_ Said plans shall consist not only of the plan but also of a suitable profile, accurately shoNving the location of all cutoff valves relative to the location of all streets or alleys across or along which the proposed pipeline(s) shall be laid. Two copies thereof along -vvith two copies of the application shall be presented to the office of the City Engineer and to the Fire Marshal of the City of Denton. One of the copies of the plan and profile delivered to the City Engineer shall be a producible negative. No construction shall begin until such plans have been reviewed and approved by the office of the City Engineer and to the Fire Marshal of the City of Denton. The application is incorporated herein. Section 2. Terms and conditions. For and in consideration of the execution of this License and the mutual Promises and covenants of the parties hereto, it is mutually promised, understood and agreed as follows, to wit: I , Term. This License shall be for a tern of ten (10) years unless terminated i v:�7Ca! r,tiprnlcc�+l�i�'shorcJ'�nrjccts;cxnc� parks iikncrg%assets olicrattlig co mw liccnsa I 0-040%.duc:: earlier as provided hereafter. 2. Material transported. licensee may operate pipelines authorized under this License for the purpose of transporting; the material or materials indicated in the application or in accordance or in accordance nith any notice filed with the Directors pursuant to subsection 3. below. if Licensee changes the material transported in a pipeline, the Licensee shall notify the Directors in accordance u-ith subsection 3. below. 3. Updating information. Licensee shall update permit application information within 30 days after changes occur. Licensee shall not transport in a pipeline any material other than materials set forth in its application and prior notices, or operate pipelines in excess of their maximum operating pressure or disable any shutoff valve. without notifying the Directors of such change ten days. or more prior to such change. Upon request by the Directors. made no more frequently than annually, Licensee shall certify in writing to the Directors that Licensee's information fled with the city is true, correct and complete. 4. Not Authorized by License. This License does not authorize the transport or distribution of natural gas by Licensee whose use of streets is subject to city action or approval under Teas Revised Civil Statutes Article 1175. 5. Option to Terminate. Licensee shall have the option to terminate this License at any time upon giving the Licensor written notice sixty (60) days in advance of such termination, and upon termination shall not be entitled to any reimbursements of the license fee from tine City. 6. Option to Terminate. Licensor shall have the option to cancel and terminate this License for failure of Licensee to comply with any provisions or requirement contained in this License after sixty (60) days %mitten notice to do so. 7. Condition Upon Termination. Upon termination of this License, Licensee shall abandon the Licensed Premises leaving all improvements on or to the Licensed Premises in a good and serviceable condition, or Licensee may remove the improvements upon written consent by the City. 8. Abandoned pipeline. In the event a pipeline that is permitted by this License becomes an abandoned pipeline; Licensee shall notify the Directors as soon as practicable. The City may request the Licensee to remove such abandoned pipeline from the street (and if objected to by Licensee, only if City Council so directs), and in such instance. Licensee shall obtain all building permits and street -cut pennnits, and effect such removal within 120 days. Licensee shall not bd required to pay.any fees under this License for an abandoned pipeline following the date of its abandoiunent; however. Licensee shall not be allowed any credit or rebate for any fees previously paid for an abandoned pipeline. s `seal estlprojecWrv«• +harcdkpnOctskaar- parks I hkcarrgy assets nperating co rutc liccnsr 1t)-O4•07.ducx 9. City Inspection. 'The City retains the right to make visual, non-invasive inspections of the pipeline and on request of the City from time to time, to require Licensee to provide available records or data to demonstrate its current compliance with the terms of this License. Licensee shall pay to the Fire Marshal its customary fee for pipeline inspections. 10. Consideration. (a) In consideration of the execution of this License, Licensee shall pay an initial License fee in these amount of One Thousand Dollars ($1,000.00) per Local Street Crossings, h'ifteen Hundred Dollars ($1500.00) per Collector Street Crossings, and Two Thousand Dollars ($2,000.00) per Arterial Street Crossings per pipeline(s) approved by this .License payable upon Licensee's execution of this License for a ten year terns. Licensee shall pay a fee of Ten dollars. ($10.00), per linear foot to the Cit} of Denton for a license to encroach, upon any of Licensor's easement, for a ten (10) year term upon execution of this agreement. Licensee shall obtain whatever rights and permission. other than the City of Denton, that may be necessary when Licensee encroaches on an easement- License shall pay any and all amounts as may subsequently be set by ordinance as authorized in this Section 2 (10)(b) below. The payment shall be made to Licensor at the office of the City Manager, City of Denton, 215 E. McKinney, Denton, Texas, 76201. The license fee payment shall be exclusive of and in addition to all general applicable permit fees and all municipal taxes of whatever nature, including but not limited to ad valorem taxes and special taxes and assessments for public improvements. Licensor may notify the City of additional oil and gas pipelines by submitting proposed drawings of the oil and gas pipelines. Additional oil and gas pipelines maybe added to the initial ten (10) year term at the amounts set for above for Local, Collector or Arterial Streets per year per pipeline upon written consent of the City Manager. The foregoing fees are commensurate with the city's expenses in administering, supeivising, inspecting, and regulating pipelines in streets. (b) The City does not naive by assessing the fees herein and expressly reserves its right (i) under Texas Tax Code § 182.025 to make a reasonable lawful charge far tl,e use of a street in the city by a "public utility", as delined therein, to distribute gas, and (ii) to assess any other lawful fees or charges. Further; nothing contained in this License shall preclude the City from imposing other or additional fees or charges for the use or presence of pipelines in its streets if the City is required or allowed to assess such fees or charges pursuant to Texas Tax Code § 182.025, or other applicable federal, state or local law, now or hereafter existing. which authorizes the City to make a charge for the use of its streets in excess of the charges set forth in this Section 2 (10) (a). Such other toes or chat- es. if assessed by the city, shall be in addition to and not in lieu of the charges set forth in this Section ? (10) (a), to the extent allowed by law, but the remaining terms and provisions of this License shall remain in full force and effect, save and except of any conflict with the applicable law tinder which the other fees or charges are assessed. 11. Option to Renew. Licensee shall have the option of reneN-6ng and extending I ai-acal eseprojecOns« shwedIptojeclslcaoc- parks lhkner_y a<xlc operating co roan license 10-04-07.dncx the term of this License for one additional term of ten (10) dears, by giving notice of renewal in writing to the Licensor not less than ninety (90) days in advance of the date of termination of the initial (10) year tern. The license fee or payment shall be adjusted by the Consumer Price Index (CPI) for the additional ten-year term or as may be set by the City Council by Ordinance. 12. Construction Upon Execution. Licensee shall have the right to begin construction of oil and gas pipelines upon the execution of this License by all parties hereto. Licensee shall obtain all applicable City permits from the City Engineer, who shall approve the plans and specifications for the crossing of the right of way or easement. Licensee shall obtain a permit to operate the oil and gas pipeline from the Fire Marshal of the City of Denton prior to activating the oil and gas pipeline. Except as may be permitted or authorized by the Licensor, no street or highway in the City of Denton shall be blocked or obstructed during construction or regular maintenance after construction. The placement of the oil and gas pipeline shall interfere as little as practicable with the use of the streets, sidewalks, alleys, easements or private property and shall be in accordance with the directives of the city Engineer of the Citv of Denton. Licensee shall bore tinder the Licensed Premises and shall not open cut any of the Licensed Premises. If Licensee is found to be using the Licensed Premises for other purposes than those granted herein- this License shall be null and void and Licensee shall have no further rights for Licensed Premises usage. 13. Insurance and Indemnity. Licensee shall provide or cause to be provided the insurance described below upon execution of this agreement. a. Commercial General Liability -Insurance. This coverage must include premises, operations, blowout or explosion, products, complete operations, blanket contractual liability, underground property damage. broad form property damage, independent contractors and personal injury. This coverage should be a minimum Combined Single Limit of $1,000,000 per occurrence for Bodily injury and Property Damage. The insurance shall also include coverage for environment impairment. b. Automobile Liability Insurance. (1) Minimum Combined Single Limit of $500,000 per occurrence for Bodily Injury and Property Damage; and (2) The Business Auto Policy must show Symbol 1 in the Covered Autos Portion of the liability section in Item 2 of the declarations page which includes coverage for hired, leased and non -owned vehicles. C. Worker's Compensation Insurance. In addition to the minimum statutory requirements: v s:'ac d e,t;l+rpj«ts`tuu Aarcdlprgjects%A:auc- parks JbIvi r p asscu; operating co io% tiunse I"4417.docx (1) Employer's Liability limits of at least $100,000 for each accident, $100,000 for each employee, and a $500,000 policy limit for occupational disease; and (2) The insurer agrees to waive rights of subrogation against the city, its officials, agents, employees, and volunteers for any work performed for the city by the Licensee. (3) The Licensee shall comply with the provisions of with Section 406.096 of the Texas Labor Code and rule 28TAC I10,110 of the Texas Worker's Compensation Commission. d. Excess Liability Insurance. Excess Liability Insurance shall be provided Aith limits of not less than Five Million, ($5,000,000.00) annual aggregate. C. Indemnification. Licensee shall and hereby does indemnify, defend and satire harmless the Licensor, its officers, agents and employees from all suits, actions or claims of any character, name and description brought for or on account of any. injuries or damages received as sustained by any person, persons or property on account of the operations of the Licensee, its agents, employees, contractors or subcontractors; or on account of any negligent act of fault of Licensee, its agents, employees, contractors or subcontractors in connection with the obligations of the Licensee tinder this Agreement; and shall pay any judgment, with costs, which may be obtained against the Licensor growing out of such injury or damage INCLUDING BUT NOT LIMITED TO LIABILITY. CLAIMS AND DAMAGES ARISING IN WHOLE OR IN PART FROM THE NEGLIGENCE OF THE CITY OF DENTON IN THE COURSE AND SCOPE OF PERFORMING ITS DUTES UNDER THIS AGREEMENT, IT _IS UNDERSTOOD AND AGREED THAT THE INDEMMITY PROVIDED FOR IN THIS SECTION IS AN INDEMNITY EXTENTED BY _THE LICENSEE TO INDEMNIFY AND PROTECT THE CITY OF DENTON, TEXAS AND/OR ITS OFFICERS EMPLOYEES DEPARTMENTS_ AGENTS OR SERVANTS WHETHER THAT :NEGLIGENCE IS THE SOLE OR THE CONTRIBUTING OR CONCURENT CAUSE OF THE RESULTANT INJURY, DEATH ' AND/OR DAMAGE, L General provisions (1) All policies shall be endorsed tci read "THIS POLICY WILL NOT BE CANCELLED OR NON -RENEWED WITHOUT 30 DAYS ADVANCED WRITTEN NOTICE TO THE OWNER AND THE CITY EXCEPT WIZEN THIS POLICY IS BEING CANCELLED FOR NONPAYMENT OF PREMIUM, IN WHICH CASE 10 DAYS ADVANCE WRITTEN NOTICE IS REQUIRED". sArca1 vsf!prujecWro%v sfuuedtprnjecOesoc- parks I Vwnc ,y assm 0peraung CO rcn+ license 1 U-Od-U7.doex (2) Commercial General Liability and Automobile Liability insurance shall be written by companies with A: WIT or better rating in accordance with the current Best hey Rating Guide (3) Commercial General Liability, Automobile Liability, and Excess Liability insurance policies shall name as "Additional Insured" the Licensor and its officials, agents, employees, and volunteers. (4) Certificates of insurance trust reflect all coverages and endorsements required by this section. (5) Coverage shall be placed with insurance carriers licensed to do business in the State of Texas or with notiadmitted carriers that have a financial rating comparable to carriers licensed to do business in Texas approved by the City. 14. Performance Bond, Licensee shall provide a performance bond, in the amount of Fifty thousand dollars, ($50,000.00). Licensee may add additional oil and gas pipelines and the Director of Engineering shall determine the amount of the performance bond for additional oil and gas pipelines as approved by the Licensor in accordance with this Agreement. In any event the amount of the performance bond shall not exceed fifty thousand dollars $50,000. The performance bond shall be executed by a surety company authorized to, do business in the. State of Texas in accordance with Chapter 2253 of the Texas Government Code. 15. Subordination. 'Ibis License is subordinate to the Licensoe's interests in the Licensed Premises. Licensor reserves the right to use the Licensed Premises and the airspace above the Licensed Premises for any public purpose allowed by law and to do and permit to be done, any wort: in connection therewith which may be deemed necessary or proper by the Licensor on, across, along, under or over said Licensed Premises; and vOienever by reason of said work in connection with said other purposes it shall be necessary by the City to alter, change, adapt, conform or relocate Licensee's lines or other property in any part of the Licensed Premises occupied by the Licensee, such alterations or changes or relocations shall be made by the Licensee when ordered in writing by the Licensor pursuant to directionsfrom the City Manager without any claitn for reimbursement for the costs of the relocation or for damages against the City; provided, that Licensee shall at all times be entitled to receive from the appropriate governmental bodies, excluding the City, payment for alteration or relocation of its lines or facilities to which Licensee may be lawfully entitled under applicable federal or state laws with respect to relocation payments. 16. Conflicts. In the event ofany conflict between the parties hereto such that either party brines or commences any legal action or proceeding related to this agreement, including, but not limited to any action pursuant the provisions of the Texas Uniforn Declaratory Judgments Act (Tex. CN. Prac. &: Reny. Code §37.001, et, seq.), the 'parties hereto agree to waive any and all rights to attorneys tees to which the prevailing party might otherwise be entitled. x '.real esLtprglrcLs:ron sha'edlprojen9xjoc- parks 111k ncrgt ass&,y opm.`LUng co*row Iaccnie 1 U-04-07.doa 17. Notice. Any notice or communication required in 'the administration of this License shall be sent to the Licensor as follows: City Manager of the City of Denton 215 E. McKinney Denton. Texas 76201 Any notice or communication required in the administration of this License shall be sent to the Licensee as follows: Energy Assets Operating Company Attn: Mike Watkins 100 Throckmorton, Suite 1200 Fort Worth. Texas 76102 18. Police Powers. Licensee is subject to all police powers of the City of Denton in the placement and maintenance of its oil and gas pipelines, as well as all other ordinances as currently exists and as may be amended in the future of the City of Denton. The City of Denton retains regulatory authority over all health, welfare and safety issues that may arise in regard to the transport of oil and gas in the pipelines, except to the extent preempted by State or Federal law. Licensor shall have the right to inspect Licensors safety reports and to require the inspection or review of the oil and gas pipeline by the Fire Marshal, or his designee or the City Engineer, or his designee, of the City of Denton. Licensor shall pay the City of Denton the cost of the inspection by the Fire Marshal, or his designee or the City Engineer, or his designee of the City of Denton. 19. Non -Transferrable Without Consent. The rights granted by this agreement inure to the benefit of the Licensor. The rights shall not be assigned or transferred without the express written consent of the governing body of the City of Denton. Any required consent is to be evidenced by ordinance or resolution of the City Council of the City of Denton. 20. Transfer or Partial Assignment. Except as otherwise provided herein, or except as lmay be hereafter determined by the parties, no part, to this Agreement may sell, assi4,n, partially assign or transfer its interest in this Agreement, or any of its right, duties, or obligations hereunder, without the prior %%,i itten consent of the other party. Whenever the consent or the approval of a party is required herein, such party shall not unreasonably withhold. delay, or deny such consent or approval. No transfer, assignment or other change in rights granted by this License until there is paid to the City a transfer fee of Five Hundred Dollars ($500.00) to the City 21. Waiver. No Nvaiver or modification of this Agreement or of any covenant. condition, limitation herein contained shall be valid unless in writing and duly executed by the party to be charged therewith. No evidence of any Nvaiver or �'vcrl Cst,prvjects\M% parks 110energy mmu uperating co rots hecnse 10-041 0 i.docx modification shall be offered or received in evidence in any proceeding arising between the parties hereto out of or affecting this Agreement, or the rights or obligations of the parties hereunder, unless such waiver or modification is in writing, duly executed. The parties further agree that the provisions of this Article will not be waived unless as herein set forth 22. Unenforceable Provisions. In the event that any one or more of the provisions hereof contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforeeability shall not effect the other provisions, and the Agreement shall be construed as if such invalid; illegal, or unenforceable provision had never been contained in this Agreement 23. Entire Agreement. This Agreement and the exhibits attached thereto, constitute the entire agreement among the parties hereto with respect to the subject matter hereof, and supersede any prior understandings or written or oral agreements between .the parties with respect to the subject matter of this Agreement. No amendment, modification, cancellation or alteration of the terns of this Agreement shall be binding on any parts- hereto unless the same is in writina, dated subsequent to the date hereof, and is duly authorized and executed by the parties hereto. 24. No Waiver for Failure to Enforce. The failure of either party to enforce or insist upon compliance --Aith any of the terms or conditions of this Agreement shall not constitute a general waiver or relinquishment of any such terms or conditions, but the same shall be and remain at all times in full force and effect: 25. Captions. The captions contained in this License are for informational purposes only and shall 'not in any way affect the substantive terms or conditions of this License. 26. Laws of Texas. This License shall be governed by and construed in accordance with the laws of the State of Texas. Venue for any disputes arising from the performance of this License shall be in Denton County, Texas. All payments under this License shall take place in Denton. County, Texas. IN WITNESS WHERF��}F, the��r ' hereto have executed this License in duplicate originals on thi� day o ?0007 LICENSOR THE CITY OF DENTO AS B•4C,zunpbcll ` y Georg City Manager %Neal esfprojccts`,rmv sharcd•litojectsIcaoc• parks IK%ener y assets opxat ing co row license 10-0-07.docv ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPR ED AS O LEGAL F RM. EDM. S ER. CITY TTORNEY BY: LICENSEE By Tit e: vtr G� fz�Sl� E7tir; STATE OF TEXAS § § COUNTYOF DENTON § Before me.. lf' the and rsigned notary public, on Us day person - y alweared the of , known to me; to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he/she executed that instrument for the purposes and consideration therein expressed. Given under my hand and seal of office this day of 07. 90�� ' RHO IffTxa` NoFry Publi c"xpires 'Jog JENNIFER J. PHILLIPS Notary Public, State of Texas My commission Expires August 02, 20D9 o.'rcaleit'.projcuL rotyparr tipcmtin_eor,,";occn,r Inau.07doex STATE OF TEXAS COUNTY Or DENTON Before me, _ L. iw t4 . / flee undersigned notary public, on this day personally appeared 6'&—t —C. C . C,a,�.ir.��c� the of Cyr cr=_tnc-�J-+v-..c known to me; to be the. person name is subscribed to the foregoing instrument, and acknowledged to me that he/she executed that instrument for the purposes' and consideration therein expressed. Given under my hand and seal ofoffice this AG day ofG7tr 2007, LINDA HOLLEY r Notary Public State of Texas ()t Public My Commisslon Expires Dooember 08, 2009 F %- EXHIBIT A (PAGE 2 OF 5) 0' 50' 100e 150' wa- FIRST APOSTO fC 4SJS NAME CHVP.CH OF DEN-10I4 :11 vaw%c, 4aG5. PACE fs9E CALLED 6.^al ACRES " ! ! NEWTON RAYTOR YO_UME 454, PAGE 659 CALLED 75.701 AC It I O 1 tm f EXHIBIT C _P + + A iO m C } + + lSIC +1 A N NCI" m 8 8 * $,tt..f,�� C A is N "Yrll'1 Z S CC Rg w o ISM 2 g 686 653 45,12 n j PROPOSED PIPELINE 6 ELEVATION MEW OF PIPELINE CROSSING BONNIE BRAE ROAD NOT TO SCALE CARRIER PIPE a' 00 COATED An %-XA2 P.pc YrAAW4CI under"Und UUJ1'44 en— h.— we epp—i-1. eny., Thwe may aNe M alher Unaagw,04 UEFUaa mot 0•a not 8t10rn. S.W.." ••rorOUIn ar cyn•{r,w:n:n 0par0Cena 0agle Mf (OW0004 01.nl [enLaa On* Cwl Ulaty Lc.atan 54rtio0. and th,r 0rn.r7 a ln• VUl:tiea to —:11 111e:r InLdllan. Fa, ^mra w1wrtro'i0n to, pre ec0 in rh.a. See the RFC NEB n, 01 help://wr..r..•tale.la.u9/e:lsr0ns/i•%VJ%/ann:eil-^tnP• LEGEND —E— ovauarn l" Wa —T— OWN" TOEPMtJXE ® TQL Pw —H— vw fm —S/i.— WAVEY IEE NOT_; No underground ut dies fourd #XCCp! 6Deropk Wfsphore. i;nes, EXHIBIT A (PAGE 3 OF 5) taei a ? I s� 1 I t pQ I I Ib y.w[YaM1 I 11I vr� uJID •/fi anti '7 hrN S Jircmww -^ �_ IKaMO N•rlra ave. /Y-1 i ^ � �+ K*U4'..1LfliYA'i� A t I lit t n wz r o m Z f W w +2+ titUm kv _�aI 1 697 L f ti 692 ` 692 2_ a 1Qn o a N M 'd. L N - 1: 100 44.57r PROPOSED PIPELINE �tiTw; No tu:derground t:tilftias fc.vnd exce„ f„crop`.;-, telCphore tines ELEVATION VIEW OF PIPELINE CROSSING BONNIE BRAE ROAD °Y °"' °OMPAW C9RRIER PIPE NOT TO SCALE PROPOSED PARKS a' 00 MATEO our, LEGEND PIPELINE CROSSING 9t-fla; P:oC —T— amaaw mEPHaIt EXHIBIT A (PAGE- 4 OF 5) W z ji;� 003 VItiv wg c N <2~. MIN� IL 2 S t�1r`1 J I D b N YQ+6z 1 00+BZ � 99+6z aNnm iywri N EXHIBIT A (PAGE 5 OF 5) , RO 03 �� k50 ■ a _ @ | to p z # § p 9 p 7 \# �> ƒ> - e Bay � ° � A £ \ tf � ƒ o o - �L { Imo@ n / k »§ § «`Go ■� a 4. 00 ■!■ §$� ��£