To: Board of Supervisors
From: Brian M. Balbas, Public Works Director/Chief Engineer
Report Title: Granting of a Pipeline Franchise to Crimson Pipeline, LLC .
?Recommendation of the County Administrator ? Recommendation of Board Committee
RECOMMENDATIONS:
ADOPT Resolution No 24-__ granting a pipeline franchise to Crimson Pipeline, 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 Pacheco, Clayton, and Byron as recommended by the Public Works Director.
FISCAL IMPACT:
The pipeline franchise will generate approximately $14,500 per year commencing with calendar year 2023. 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-San Jose 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).
The 10" Vine Hill Crude pipeline described in the table below was previously covered under an existing County pipeline franchise granted to Equilon Enterprises LLC through the adoption of Resolution No. 2016/619. The 20" Coalinga Avon pipeline described in the table below was previously covered under an existing County pipeline franchise granted to San Pablo Bay Pipeline Company LLC through the adoption of Resolution No. 2016/623. Effec...
Click here for full text