To: Board of Supervisors
From: Warren Lai, Public Works Director/Chief Engineer
Report Title: Granting of a Pipeline Franchise to Shore Terminals LLC
?Recommendation of the County Administrator ? Recommendation of Board Committee
RECOMMENDATIONS:
ADOPT a Resolution granting a ten-year pipeline franchise renewal to Shore Terminals LLC pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305 for pipelines located in the unincorporated area of the County near Crockett as recommended by the Public Works Director.
FISCAL IMPACT:
The pipeline franchise will generate approximately $2,700 per year commencing with calendar year 2024. The annual franchise payment will be calculated at the rate of $1.77 per cubic foot of pipeline within the County right-of-way. The number of cubic feet of pipeline subject to the franchise fee rate will be calculated by taking the area of the inside diameter of the pipeline plus 1" and multiplying it by the length of the pipeline within the County right-of-way. The annual franchise fee rate of $1.77 per cubic foot is increased annually by the change in the Consumer Price Index, all Urban Consumers for the San Francisco-Oakland-Hayward Area (1982-84 = 100), with December 2012 (239.53) as the base CPI month.
BACKGROUND:
On August 13, 2013, this Board adopted Ordinance No. 2013-19 (establishing regulations for granting pipeline franchises in County rights-of-way) and Resolution No. 2013/305 (establishing pipeline franchise fee amounts).
On July 29, 2014, this Board approved Resolution No. 2014/253 granting a pipeline franchise to Shore Terminals LLC pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305.
Shore Terminals LLC has filed a written application with the County, dated January 17, 2024, wherein it has requested the granting of a pipeline franchise ten-year renewal pursuant to the terms and conditions of County Ordinance No. 2013-19. S...
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