20131218Notice of Affiliate Transaction.pdf

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\ A MIDAilERTCAT{ ENERGY HOIOINGS OOMmNY
Mark C. Moench
Senior Vice President and Generul Counsel
201 S. Mdn Sfieet, Suite 2400
SaltLakeCiA,aT UlIl
801-2201159 OfJice
801-2201058 Fax
mar k. mo e n c h@p a c ili c o rp. c o m
December 18,2013
VA OWRNIGHT DELIWRY
Idaho Public Utilities Commission
472West Washington
Boise,ID 83702-5983
Attention: Jean D. Jewell
Commission Secretary
Re: PacifiCorp Notice of Affiliate Transaction
Case No. PAC-E-05-8
Dear Mr. Widerberg:
This letter will serve as notice pursuant to Commitmentl 17(2), incorporated in the Idaho
Public Utilities Commission Order No. 29973 issued February 13,2006, as supplemented by
Order No. 29998 March 14,2006, in the above referenced proceeding, approving the acquisition
of PacifiCorp by MidAmerican Energy Holdings Company ("MEHC"), of an affiliate interest
transaction. PacifiCorp hereby submits an original and seven (7) copies of the Right-of-Way
Exchange Agreement ("Agreement") entered into by and between PacifiCorp and Kem River
Gas Company ("Kern River"). The Agreement is included as Attachment A hereto.
PacifiCorp and Kern River are both wholly-owned, indirect subsidiaries of MEHC.
MEHC's ownership interest in PacifiCorp and Kern River may create an affiliated interest in
some Pacifi Corp j urisdictions.
PacifiCorp and Kem River entered into that certain Kem River Right-of-Way and
Easement Agreement dated September 26, 2002, (*2002 Easement") whereby PacifiCorp
conveyed to Kern River an easement for the location and construction of a 36" natural gas
pipeline within a certain parcel of real property owned by PacifiCorp held for the construction,
operation, and maintenance of high voltage transmission lines, including the construction of a
future 345,000 kilovolt transmission line referred to as the Terminal to Oquinh 3-4 Transmission
Line. Pursuant to its terms, the 2002 Easement required a defined separation distance between
the natural gas pipeline and PacifiCorp's future Terminal to Oquirrh 3-4 Transmission Line.
PacifiCorp, in planning for the construction of the Terminal to Oquirrh 3-4 Transmission
Line, discovered that the natural gas pipeline was constructed in an alignment that did not allow
sufficient clearance for two transmission structures that will be constructed for the future
Terminal to Oquinh 3-4 Transmission Line requiring the need for additional right of way for the
new transmission line. PacifiCorp also has the need to obtain rights of way over and across lands
encumbered by exclusive utility easements held by Kem River for its natural gas lines.
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Notice of Affiliate Transaction
December 18,2013
Page2
PacifiCorp and Kern River have agreed to enter into an agreement whereby PacifiCorp would
acquire the additional right of way needed for the construction of the future Terminal to Oquinh
3-4 Transmission Line in exchange for Kem River relinquishing its exclusive easement rights
and allowing PacifiCorp to construct PacifiCorp's future Terminal to Oquirrh 3-4 Transmission
Line. The value of the additional right of way has been determined to be roughly equivalent to
the value of obtaining right of way within Kern River's exclusive easements.
The Agreement is in the public interest because it provides PacifiCorp the ability to
obtain legal property rights from Kern River for the future Terminal to Oquinh 3-4 Transmission
Line in exchange for the acquisition of a small segment of right of way that is roughly equivalent
in value to the rights obtained from Kern River.
Please do not hesitate to contact me if you have any questions.
Best Regards,
Vn(,,!LG
Mark C. Moench
Senior Vice President and General Counsel
PacifiCorp
Enclosures
Attachment A
This Agreement forthe Mufual Exchange of Property Interests (the "Agreement') is made
by and among Kem River Gas Transmission CompanS a Texas gen*al parfirership (uKern
River") aod PacifiCo{p, no Oregon corporation, dlbla Rocky Mountain Power ("Rocky Mountain
Powd), efi[ective the
-
day of Decernber.Z}l3.
RECITALSA. Rocky Mountain Power is constnrcting a new transmission liae project referred to
herein as the "Terminal-Oquirrh 3-4 Transmission Line." In connection with the development of
that project and the Future Terminal-Oquirrh 5-6 Trarumission Linq Rocky Mountain Power has
discovered aned to address the location of Kern River's pipelines within its existing ea$e,mEnts
in relation to fhe alignment of the Terminal-Oquirrh 3-4 Transmission Line and the Future
Tfinioal-Oquirrh 5-6 Transmission Line ("Transmission Lines").
B. Rocky Mountain Power and Kern River entered into that cstain Gas Traosmission
Pipeline Location and Encroachment Agreement dated August 5,2OA2, that allowed Kern River
to construct a natural gas pipeline within its existing transmission line corridor, provided howwer
tlrat the alignment of the pipeline was not to intwfore with the identified alignment of the future
transmission lin{s) and the attendant structurss.
C. During the development and design of the Termioal-Oquirrh 3-4 Transmission
Line, Rocky Mountain Power identified two locatioas where &e construction of Kern River's
natural gas pipeline conflicted with the alignment of the Terrninal-Oquirrh 3-4 Transmission
Line. Rocky Mountain Power ssnt a letter to Kern River regarding this matter which is attached
as Exhibit "8." Kern River responded by adopting cmtain mitigation and operational procedures
which was doffmented in al,ettor to Rocky Mountain ?ower (the *Kem R:iver TAM) attached
hereto as Exhibit'0C."
D. Additionally, the alignmeot of the Terrrinal-Oquinh 3-4 and Future Temninal-
Oquirrh 5-6 Transrnission Linm cross over and tbrough wrtatfi lands whme Kem River holds
exclusive easements for the natural gas pipeline. Those locations are identified in Exhibits "A.1-
A.6." attacbed hereto. Those exclusive easerne,nts prer,lude furths encumbrances and other
additional uses includingelffiic kansmission lines without the approval of Kern River.
E. Rocky Mountain Power and Kem Rivm have agred, th*t it is in their collective
best interest I) for Kem River to adopt the mitigation aud operational procedures outlined in the
Kern River Lstt€r ar:,d 2) for Rocky Mountain Power to: i) modify &e locattan of structure 57
approximately 30' north on the ?erminal-Oquirrh 3-4 Transmission Line proj*. centerline (see
Exhibit "D1 to ensure clearance distances between their respective facilities and; ii) incur the
cost of acquiring additional rights-of-way and desigu the location of those stnrcftre$ to mainaia
the cleara*ce distances to Kern River's pipelines for stnrctures 45 and 46 {*ae Exhibit "E') i$
exchange for Kern River granting Rocky Mouniain Pows the right to encroach within those areas
urhere K:snR:iver holds exclusiva eassments, subject ta *ta requirements trrExhlhitn'Y".
NOW THEREFORE, in consideration of the promises, mutual covenants and agreements
herein contained and other good and valuable consideration, the receipt, validity and sufficiency
of which are hereby acknowledged, the parties hereby agree as follows:
AGREEMENT
1. Rocky Mountain Power agrees that in connection with the constmction of the
Terrninal-Oqirir& 3-4 Transmission Line and to eliminate the need for Kern River to relocate its
existing natuml gas pipelines or obtain additional right of way that would allow Rocky Mountain
Power to design its stuctures to maintain proper clearacces, Rocky Mountain Power will, at its
sole cost and expense:
(a) modiry the designed location of structure 57 to alocation that is approximately 30'
north on tlre project ceilterllrre as identified gwrc il in Exhibit ooD:" and;
(b) modiff the designed locations for stusturet 45 and 46 to maintain the clearance
distances &om Kern River's naturai gas pipeline and acquire the additional rights-of-way
nece$sary to locate those stnrctures 45 and 46 accordingly. The modified location of stnrctures 45
and 46 are identified generally in Exhibit *E."
2. In exchange, Kern River agrees to allow Rooky Mountain Power to occupy its
exclusive easements in those locations identified in Exhibits '?.1. - A.-6." without cost but subject
to entennginto an agrd upor €rsroachment agreernent ia the form substantially similar to the
agreunent attached as ftfoibi!.]Ip'.^ No&ing herein conveys auy real property rights or
authorizations &om the underlying property owner(s) and Rocky Mountain Power acknowledges
that it must obtain any additional properfy rights directly &om the underlyrng property owner(s).
The encroachment agreement will be executed at a latr,r date, prior to construction of the
Transmission Lines.
3. ?he Parties acknowledge that they have inclependenfly reviewed the real property
records and land rights and have entersd into ttris Agreement with the best information available.
Howevetr, the intent of this Agreeineirt is that in the weirt it is later determined that there are
additional exclusive rights needed for the fiansmission lines that were ovslooked in the
development of this Agree,rrent that such rights will be deen*d to be included as part of the
consideratio n for sntaing inta tht* Agr..eer*ent.
4. The parties warrant and represent and do hereby state that they are not rslying
upon any statement or re,preseatation, written or oral, of ury party or agent of any party, and that
they are solely relyrng upon their own judgment after consulting with their cowrsel. The parties
firrttrsr warrant and re,preserr* tl:mrt they have read and fully understand the nature ead
consequsnc€s of the tenns sf &ris Agreexrent a*d ngreetobelegallybavndby it.
5. Each par1y warrarts aad represents that (l) it has the requisite powsr and authority
to execute this Agre€mqlt {2) he execution and delivery of this Agreeme.nt has been drdy
avthoizedby all necessary a&iotr, and (3) this Agreemort is valid, binding and fully enforoeable.
6. Each party shall pay its own taxabie costs, expenses of litigntion and legal fees.
7. This Agreearsrt shall be for &e benefit of and binding upon the resptive
successors and assigns ofthe parties.
8. This Agreement shall be governed aad constnrod by the substantive laws of the
state of Utat! without regard to the ohoice of law rules of Utah or of any othu jurisdiction.
Venue for any dispute relating to or arising out of this Agreement shall lie in the Third Judicial
Distrist Court or {bderal disfrict court in and for Salt Lake County, Uta}r.
9. TO T}TE FULLEST EXTENT PERMITTED BY LAW, EACH OF THE
PARTIES HERETO WAIVES A}.IY RIGHT IT L{AY HAYE TO A TRI.AL BY JURY IN
RESPECT OF LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR
IN CONNECTION WITH THIS AGREEMENT. EACH PARry FURTHER WAWES ANY
RIGHT TO CONSOLIDATE A}.TY ACTION IN WHICH A JURY TRI,AL HAS BEEN
WATVED WTTH ANY OTHER ACTION IT{ WHICH A JURY I3'[AL CAHNOT BE OR HAS
NOT BEEN WAIYED.
10. No waiver or ame,ndment of any of the terms of this Agreeineot shall be valid
unless in writiag and signed by allparties to this Agreenrmt.
ll. The parties agree that should any part of this Agree,ment be found to be void,
voidable, invalid or unenforcesble, that determinatioa will not affect &e remaioder of the
Agreananlprovided that tbe releases containd in this Agreeinent remain ia effect.
12. Ea*h party has participatd in the drafting a*dpreparatron of this Aggeement. In
any construction to be made of this Agreement, the sarne shall not be construsd against eitherpw.
13. Both parties agt* ta caoparate fully and exesute any and ali documents and to
take all additional actions thatmay be necessary or appropriateta gsve fulI force and effect to the
basic terms and intei* of this Agreernent.
14. This Agreemeat rnay be executed in multipie cormterparts, all of which, takerr
together, shall constitute but a single agreement, and each of which shall be deemed an original.
Exestted this the dayofDecernbw,2Al3.
Kan Riva Gas Transmission Connpany
By Robert S. Cttcckstts
Titlq Vioe ksid€nt Qrations, ff, &
Engineering
RockyMouatair Power
By Paul Radakovioh
Title: Vioe President, Ope,rations
AXHIBITS AT -A6
$lkrncrf nf Torufud-0$drr& 3** ad htnr fsmind0qdrrt Sd Trrrmfudoa Lire
fi{aturl Gt* @inr Crrrrir$}
BrEt Dto'apd''.ly zgp g - 3im s.
fmEf,rfidUlalffnlgrnnl
EryrrBrr B
(Raetry Momtsin Power l,***ar)
ROCKY IIiOTnITAIN
FOWERAIUMCilIMT
l{07lrhcr Hordrtmph
Srh Irb Ck1,lr* t4ll6
octob€r l7,20l1
Robcrt S. Chccketts
Vise k€sifut of Operafiions, fT aad fasireriog
Kern River Gas Traasmissiotr Company
27 5 5 E Cottonwood Parkway
saltlrkecitylrT E4l2l
DearBob:
As you hmw, Rocky Mormtain Power is in the proccss of building a rew fiansmission line
beturoerr its Oquirh Substation in South Jodan to its Ttrmhal Substation near tbe Salt Lake
Intcrnational Ailport. This poum lirc is being built in oru odsting tan$nission line comidor
where Rooky Mountain Power op€ratss otha parallel trmsmissioa lines. K€m River also
opcrdes t$/o high Fessur€ gss linos and certain othcr facilities locat€d within this conidor
pursumt to agreements wift the compsny. Rocky Mountain Porver and Kem River entcrcd irdo
two se,porde agreemffi allowingths Kcm Rirrer gas lincsto be locatd withiu this nansmission
line corridor.
On Jrme 24,1991, Utah Power &, tigk Compann predccessor in iuterest to Rocky Moudain
Pow€tr, and Kcm River entercd imo ar agre€,meot aUowins the first gas line to be locared within
tbe haomission line corridor. This Agremeirt povides the separdiou requirc,metrs beturEcn thc
gas pipeline aad eadsting tranmission lines. Bsause suffsi€trt land nas acquired in anicip*ion
of a firturc nansodssion lirc trE agtEsmcot also ad&,esscd sqardion fr,om that oontcmplated
tansmissiou lire. A copy of &ar Agreement is dtached to thi$ Ietter for your conveuieirce as
Attachment "A." The l99l aglE@crrt stiputatd thc separation betnrccn blow-of vnlve
locations associated with valve sites and the trmsmissioo ftpilitiec as e minimum of I70 foet
from the existitrg 345kV tmsmigsion line ard a minir,rrm of 1@ foot horizoutal distarce from
the closest mnduc'tor of such additional ngw tran$nission facilitios.
Wheir thc sccond gas line was oorctrustd in,2W2, PaoifiCorp and l&nr River entered imo a
second agrEemcff allowing Kern Riner to install a sosood 3f'dian€t€r nafifiBt gas pidine
ttrough PacifiCorp's right of way (see Attac,hment "B'). Simila to thr 1991 agrcem€rrt
sqaration disbro€s bstrreen blowoff rnlve locations associdcd with nalve sites and
transmission &pilitiee wue include4 requfuiug 170 feet from tbe existing 345kY Emsmission
line and 132 M horimntal distance fiom thc closcst condusbr of additional new traomission
facilities.
An Arnendm.ent to tb 2002 Encmacfrmmt Agreemed was signed in 2006 excludiag a f-ineh
blow offvatvc fiom the separciott rcquircm€ril-the errclusion was specific to a valve tocaed
nertbe Lat<eside Plart in Ubh Couuty, see Attachmemt 'C.o'
Ibe folloryhg tabb (f*le 1) fovidcs a list of &tEqs wtere the locsliou of blow-ofrloc*irons
sssocirtcd with rralve sies nud fre locstion of Ke,nr River's pipeline ditrcr witl the distanes
povidd for in tte sgr€ffior*, It is nst clw trom ee informstion rrye hsve if thc locdions rryerr
approvd atthetime of aonsturctiofi.
Tlhlc 1: Confiie{ poirtr befrvonn Roc}f Mountrh Porcfr nery and edrtbg trrnrmirdoa
lim rr pr*rcnfiy doitggd rrd Krm Rivcr'r rrilling gru linor.
ConffictNo,
Ftrrleture
Ho.
Lmtion
E$ihir
Ifemriptior
Conflist 1:
Sfiretu$c
#33
3500 Sorrh
uD.l e&,!.lA'
The dimnce &om &e poeod€d Oquirrh-Tcrminat corductoris approximsly
Ei fut to a l(ern River meter sadm 2.inch blow-off valvg I 5 fee[ &om a 1 -
itrch &eilr, md 15 feet from sr/t-itr;h blow-offvalne. The rnalrrc locatioas as
govemed by Scetioa {-L of the 1991 Ercroorhnud AgrcemeNrt (Afiaobmmt
"AJ. The required sopratioo ig 100 &et hotizontal distrnoc.
ThErE is also a separatioa distrnce rqufoocneat with rcrycct to ttp cxistitrg 345
kV transmission liae of 170 f€st. Xocky Mouuain Po$er hss idmtified that a 1"
blow-offvalne is locdod 115 &st tm epfianffiission lio3 and a 1" draitr snd
/2" blowqffvelve locatcd 36 ftet fiom tbo trm$nission lhg.
Cnafli&2:
Structures
#5 ad#46
4700 SorilL
Corgfcllsfiioa
EnorgrPtmfi
T.Y'gg,ld,D24"
7b cerrrt*liae of Kcrn Rivcr's 3&,irch plpe is approximely t 1 fut eom tho
proposed 345 kilsvolt centcrline. Tho ryration ru1uir€rnsut from tho ceoter of
ths pipc b &s saffi ofthe ta$missi@ lire is 35<lu- fest as sst foft in $ec'tionll2 af &e 2002 enooachmert ageema* (Altachmffi "8).
ConffetNo.
$tucturc
Itlo.
Location
Erhihtt
Ilacriptktr
Conflidt.3:
Stnrcfires&5srdffii
4700 turth,
Cotrsblletiorl
EffiryPlant
*D.T',d
UD2A:"
Ksn River naieins &ree l' blow-offvakres directly below the poposed
Oqrrirh-Terehal transanission lincs. The rcquired sepantiou ig 100 fcet
todaotal distmp€ pa Sectioc *Loft&r- 1991 Emoac&asotAg:oemgrl
(Arnr,hent"A').
e*iid*rtty, tbe locatim of Kein River's eigh; %-itrclh blon off valvcs locded
inside the Comsolstioa Eoergy elfif yard ue not cotrtist€&t with tho requird
sepdiondifinoe finrntheucw34S hilowlt lire. Ttcrequfued sopardior i*
100 H horiaatal diserce pcr Sectioa 4-L oftbs 1991 Ersoar:hnd
*gmeut (Afaclment'A).
Roclqf Moumain?av,tsr has slso idsntifid&rf *waarethffil" blowoff
valycs roughly 67 M,ft,on thp cxirting trarmission lme, a 7u" blow-offnalve
mughty 98 fdaway md eovcn %'blurr-offrnalyes rcrglly 137 M,fum*r*
&mmissioa lirc. Ilt rsquired s€Frrem afutaao€ is 170 &et &onr the €rdisfug
faosmi$ion iircr pa Sestim 4-L of &e 1991 Encmachmsot Agrwmeot
{ilttricfunsrt"X).
C.aaflist4:.
Strusfiues
#50 ard#51
WertRidgn
6olfCoursr,
WestValley
Crty
nI)3
Ths cetcrtire of KenrRivr'g socord 36-irc,hpips follonils tk cmtaliuc fsr
much of tk span betwoen tnm propored 345 kilovolt smchrcs br[ avoids thp
stnlcfiEe locaCims. Thc scpardim requirucot from tr ccntsr of tb pip to
tle pe,r$er of the taamiesiotr linc is 3ffi fost as r€t fodh in Sestioo ll.2 offu 20AZ clrmomhmoat agrcamcot (Attac&ment'B).
Csrflict5:
$fironrc
#s7
V€dtJoidao
"DA"
The se,peration distarces for Kemr RiveC *2W2 prpline trc nst ooosisht with
tte ssrctioa *om tb€ crxter of fu pip6 ts f.b oecrts oftbe
trmsmission lSaa of 3548 fee{ as #,f*t+hia Sectioa ll.2 af &e20ff2
@sroor,hm$$ agrcmwt (AtCIr,hment B).
ConflictNo.
$tructurr
No.
Locetion
E*ibir
Ihrcriptbn
Couflist 6:
$truEt$es
#58 md 59
6200 South
rD.5" ard,D.5N
Ths disilce froe &E proposed O$drh-Ttrminal corductorto tflo trkm Riner
l2-inc,h blow*f valyee is approximxely 86 f€6t. Tho rcquirld wp*r*iou
dtstarce, is 100 faet" Tlrror?are also two l-inch and th€o yr.itrsh bloq,-of
valvee in the sams area- Th6 requircd scpration is 100 foe{ hffizontal distam€
pu Section *L ef W 1991Ewtcra}crrrud,Agr€r,nrcut (Awrfuo,rt"A).
Roc.ky Mourtaia Povtqrhes elre ittei*ified &nt thre is a 1' ard two W blow-
offvalves 105 fsot fr,om thc €rdstfug fimsnrission lirc. The rnquired reparation
dis&co is I70 fsct &om. ree cxistirg treffiissioo lincs p€r Scction &L ofthe
1991 Ensmachffit Aqr€em@t (AthcM "A1.
Rocky l\dornhin Poner acks that you awlyze the possible solutions md pvide a ple as to holy
Kaa River would like to rcsolvc &is rmfiff.
In additio,r, Rocky Mouatain Po$€r has dis€over€d that &em ra locdions orrtside of its
transmission line conidor wfu a&iliorcd e*seuxma q,ill be rcquired for thc ncw transmissiog
iitrs. h doing the title work for terse p'ojects rw bave discovercd ttnt Iftm River holds
eurclusive ers6,mm*s ftn ir fapilities, Yic would like to sat r inb an eircmaslr"€ot agttxmre*.tar
tbcsc locations eo thd we sao prcooed with the Oquirrh to T€rminal proj*t, Wc havc not
ideotificd aay blow-offvalves 'lnt}rlse lccations tbtr rvould havs similff issuss as ougircd itr this
le{tsr. We look forqnard to yorurerponae.
$incerely, --te6/*-
Pa{ nadakovich
Vioe ksidctrt of Operatiomr
EXHIBIT C
{Kcnr Rlver Lattevl
Y$.-f"ffifu'
Robert Checketta
Vice Presldent of Opentions, lT &
Engineerlng
October 12,2012
Paul Radakovich
Vice President of Operations
Rocky Mountain Power
1407 WestNorth Temple
Salt Lake City, Utah 84116
z,55 Ead Cotb,rrEor, ParlilrEySuibS0
S.i t*t Cly. Ulrh &1t21
P.O. Box 7r{O0
Sslt L.kc Chy, Ulrh E4{7r{'llx}
Dear Paul:
The purpose of this letter is respond to Rocky Mountain Power'$ ('RMF) lsttcr dehd Oetober
17,2011, regarding parallel offset distances and blow-off ceparation distanccs bctwoen Kcm
River Gas Transmission Company (*Kem Rivet'') and RIvIP facilities. In t$o lcupr, RMP
identified six specific locations where the Kern River pipeline aligrrment ond How-off ralve
separation distdnces fiom RMP power lines are in conflict with the Gas Transnission Fipcline
Location and Encroachment Agreement dated June 24, 7991, for Kern Rlver's *A" ;ilpeline(1991 Agreernent") and Gas Transmission Pipeline Location and Encrsactrmcnt AgrEertrcot
dated August 5,2002, for Kem Rivet's *B" pipeline C2002 Agreement], Rh{P did nd state if
approval was given for variances for these cases during construction. RMP askcd Ifum River too'analyzs the possible solutions and provide a plan as to how Kern River would llkc tg rrsolve
this matter." This letter will discuss the six conflists and will identifr Kun River's p,mposed
resolutions to those conflicts.
To address the blow-off valve separation disances, Kem River corunissioned a $tudy by URS
Corporation to identi$, based on three specific site geometries, if flammable amoonB of nffiral
gas would be present at or near RMP pwer lines given the modeled metcorological condifioru
and blow down assumpions. Historical daa regarding temperaturg relativc humidity, td wind
speod and direction were gatherrd to identiS meteorological conditions that may oscur during
blow down operations.
I. Recommcndrtion
Kern River's engineering department recommends the following actions be taken to resolve the
conflicts identified by RMP in their October 17,20ll letter.
o Relocation of the new proposed RMP power line in the vicinity of the West Valley meter
station, specifically relocating new proposed towers 45 and 46 lS-feet to the west. See
discussion for Conflict Number2 for more detail.o Relocation of new proposed RMP tower 57 approximately 2!-feel to the north. See
discussion for Conflict Number 5 for more detail.r Restriction in use of specific Kem River blow-off valves at Hunter Park meter station
(Conflict Numbers lc, ld, and ie) and West Valley meter station (Conflict Numbers 3a
and 3b).
PaulRadakovich- DRAFT
Ostober 12,2812
?*ge2
II. Keru River's Reeommeudations to Resolve Pipoliue Alignment Conflicts
Table I below summarizss the documented RMP conflicts with regard to pipeline alignment
coflcems. The srction that follows describes the suggested resolution or commentary for each of
the centerline conflicts as identified by RMP.
Trble 1 - Summary of Roclsy Mountrin Power Pipeline Alignmcnt Conflict Locetions
'Distanee reflects conflict in prrallcl offscts as defined in the RMP/Kern River encmachment agreements.
2 A region of the Kern River loopline deviates to the cast betueon nerv proposed torrcn 50 and 51.
3 e r4ion of thc Kern fur,er looplino rensitions between one parallel offset location to another.
A. Conllict Number 2 - West Valley M/S
The locatian of &e Kem River rnainline and loopline in &e vicinity of the West Valley mster
stlation are approxirnatcly 40-feet and 56-fee{ from tire existing RMP 345 kV line, respectively.
Under the current RMP design, the Kern River mainline and loopline would b located
appmxirnately 27-f*land I l-feet from the new pmposed RMP power line.
According to the signed easement (signed by Uah Power and Light (UP&L) on September 26,
2W2), the location of the Kern River loopline was known and approved by UP&L beforE
construction. Kem River r€quests the relocation of the new proposed RMP power line, including
towers 45 and 46,15-fwl. to the west. Moving the centsrline of the new proposed power line 15-
feet to the rvpst would create 4}-feet and 26-ferlt offsets fiom the Kem River mainline and
laapline, resg;tively. TtE additional separation would help continue the safe operation of Kern
River facilities in the areq specifically in the area zurrowrding the iowers.
B. Conflict Numbcr { - lVest Ridge GoIf Cource
The location of the Kern River mainline and loopline, in the vicinity of the West Ridge Golf
Course, are primarily at 40-feet and 105-feet offsets from the existing RMP 345 kV line,
respgctively, in accordance with tlre Kem RiverlRMP encroachment agreemants. However, fiere
is a region between towers 50 and 5l in which the loopline is 7&feet fmm the existing pou,er
line and follows the cenrerline of the new proposed power line.
hccor/iing to &e Srptember 76,2002 easement, the location of the Kem River loopline was
known and approvd by UP&L before construction. The ccnterlina of the new proposcd RMP
power line, being close to directly above the Kern Rivcr loopline for a segrilsnt lying betrrueen
towcrs 50 and 51, is compatiblc with the safe operation of Kern River facilities in the arca.
Corfllct Locetion
RMP
Torvcn
DlrllDca tlomErirrir 3{!l IV ljor {ft.t
Eritlirg Deritt
Olf*a tron Nfir
hopomd 3{5 LV
l-ine llerr\
Kcm EiHsuggrrlcd
Ottrcu lbon llcl
PropocrdSS fYItn (ft!0
Mrinlinc toodinc Mdnlim Looplirn Mlinlim Looplinc
2 West Vallev lvllS 45,46 40 56'n'll 42'26',
4 West Ridge Oolf
Course 50,51 40 1a5,70'/35 35,A',*35 35,0't
5 Keams 57 I05 40 3l 35,22"35 35,2y
Paul Radakovich-DRAFT
Octobs 12,2012
?tgt3
According to RJr{P's preliminary design, including the worst case scenario for mg, the minimum
oonductor heistra above ground is 39-feet. The data was obtained via email from RMP on
f€bnrsry 8,2A12 and confirmcd by mea$rement in the field. The safe working clearance
rqluimcnt do,fined in Kern River procedwe 65.00.1I for 345 kV pollrer line is 20-feet. The
di&rmce of lhtwt is suffrcient for Kern River rnaintenance personnel and quipment m
operate s*fely with the power lines overhead.
C. Csnllict Number 5 - Kerrns
ThE locatiun of the Kem River rnainline and loopline in the arta of conflict number 5 are both
agnxtrwtcly 105-feet and 4O-feet from the existing RMP 345 kV line, respctively. Acoording
to Sectiou 6 of the 1991 Ageement and Section ll,2 of the 2W Agreement the location of
tolrer 57 is planrrcd in an area in whieh tlrc Kern River ta*ility is &ansitionirg from one prallel
offs* to ar$ther. The exi*ing RMP tower 57 ptoposed design is 22-fr, frorn the loopline. As
sue!! Kern Riverrcquest$ that the location of new proposed tower 57 br,reloealdapproximately
Ls-feet to the north to help ensure the safe operation of Kern River facilities ir the area This will
rczult in a separation of appr,oximatelyZ9-feet.
III. Blow-olf Valve Locrtion Contentionr Identified by RMP
The distances identified in Table 2 below are measured &om the location of the blow-offvalve to
the nearest conduclor of the identified transmission lines.t 1991 Agr*mer*o fiAfeetftom existing pawar lines (ccnterline)o l{0ic:fwt fiom new power line conductors* 2402 Agreeinento 170 fx;t from existing polver lines (centerline)o l3?fwt from new power line conductorsc 2006 Amendment raz00? Agreemento l-inch blow-offs at lake Side mcter station ttrat are within the distances destribod
in the l99l and 2002 Agrxments can be utilizrd if precautions lised in the
agr*m*nt QA06 Amendment, Exhibit A, s$e followed. the valves ere'
approximataly 40-fwl from the nearest conductors.
A. Kem Riyer'g Recommendation to Rcsolvs BIsw-Off Yelvo $epnrxtion Distsncc
Conflictr
Table 2 below sumrnarizes the documented RMP conflicts with regard to blow-off valve
locations. The "Within Flammability Limit' colurnn identifies which sites, acconding to ttre URS
study, would expcct to have flammable concentrations of natural gas at powsr line conductors
givcn tlrc modeled meteorological conditions and blow down assumptions. ?he columur titled
"Within Flamrnability Limif' signifies Kern River's plan of operation in ar.csrdance with the
latest version of Kern River Procedwe 70.A9.A1, Comrnissioni*g, Rernoving andlar Retuming
Pipetines and/or Facilities h Service (a eopy of which is atlached heroto). The URS strdy was
limited in scopo w wra different sizcd valvcs (l2-inch and l-inch) and three site geometries.
These specific valves and locations were modeled based on thsir criticality to operations and
?*ul**dakwioh- DRAFT
Qs*bor 12,2012
Page4
maintenance and because they are a representative subset of the other conflicting valves and
locations.
Figure I illustrates the horimntal distance to conductors frcm a blaut*fT valve to the nearcst
caladrwtar.Tha swti*nthat follows de*rtbex the suggested resolntion frr eafixnw@ far e**h af
the c,onflicts as id*nttfie"d W RIvt?.
Haruantal Distanw to *anducrars
S'igurc I
Paul Radakovich- DRAFT
Octofur 12,2012
Pago 5
Teblc 2 - Summrry of Rocky Mountsin Powcr Blow-OffVrhs
Seprmtion Distrnce Conflicts
igruGmenB.
2 Use of &is blow-offvahe will be r€slricted due to pmxirnity of blow-offto conductrys
3 Uss of this blox-affvalvc will be resficted duc to potcntisl for ftammability at conducton
a Blow'offyalveislwated within the estimald conductnr span.
l, Conlliet ltrmber I
la\ The UR$ study did not specifically model a2-inch valve, but the l2-inch valve
modeling results can be used to predic{ the 2-inch valve concentrations with a
Conllict
Flumbcr locetion
Yalw
Dh.
IlnchI Velve ID
OrtginrlDecign -
Horkontrl Dlctancc
fo Conduclcrs (fcct)
Kcrn Rivcr $uggorted
Derlgr - Horiront l
Dirtance to
Conducbnr (fcct)
Wlthin
Fhmmrbllity
Llmlt?
EIi$iry
345 kV
Llne
Ncw
proporcd
345 hV
Linc
Exirdng
3{5 kV
Linc
New
propoocd
345 kV
Llnc
la Huntcr Park
Mis 2 xl5-020 155 g3l N/A NIA No
lb Hufltcr Parkpt/s
MAL-t37-
w2 g0r 144 N/A N/A No
lc Huntcr Park
l.tlS
xl5-012
xtAL-t3?-
003
l5r l0l NIA NIA No?
td Hunicr Park
M/S Y2
MAL-137-
00t t5r l0r N/A N/A No2
le Huntcr Park
lvlrs I xt5-0r5xr5{r8 t6t 0rJ NIA NIA Ycss
3a West
Valley IWS I
x33{03
x33-006
x33-009
49l 0r'{4gl 0l'{Ycs3
3b West
Vallev lvllS /2 x33-032 g0t l3r g0l 0l'4 Ycf
3c West
VallcyM/S ,4
x33-0r r
x33414
x33-0t6
x33434
x33-035
x33436
x33-037
l31t 52'l37l 371 No
6a AMLV 142 t2
MAL-142-
00t
MAL.L42.
ow
t57 g7t NIA N/A No
6b AMLY 142 brAL-142-
003 134 g4I N/A NIA No
6c AMLY 147 v,
MAL-142-
&4
*tAL-142-
005
871 2Al N/A NIA No
6d AMLV 142 I MAL-142-
006
g7l 2Bl N/A NiA No
distances locations as defined in thc RMP/I(sl River snctrachmcnt
Psul Radstovich- DRAFT
October 12,2012
Page6
le]l
greater safety factor. The UR$ study predicts that lhe harizantal extent of gas
conccntetion above the lower explosive limit for natural gas (LEL) for a l2-insh
blow-off valve does not exceed 46-feet for the modeled rneteorological
conditions, given a vertical release. The horizontal extent of 46-fect ,is 49Ya {46-
ff/g3-feet*100) of the distancc to the slosest conduclor in this case. The modeling
indisat€s tlat &is valve will not creett fl*mmable concenhations of runral gFs at
any of the considered pourer lines.
The URS study predicts that tlnhonmntzil extent of gas eonMrtabove LEL
for a l-inch blow-offvalve does not exceed 4-feet for the modelod raetoorological
conditions, given a vortical release. The horizontal extent of 4-fcet 'ts 4Vo (4-
feetl90-feet*100) of the distance to the closest conductor. The modeling ird.icates
that this valve will not create flammable concentrations of naturul gas at any of
the considered porruer lines
The URS siudy predicts that the honzorrtd extent of gas cancan&zrtton above LEL
for a l -inch blow-off valve does not exossd 4-feot for the modelod nrereorologrctl
conditions, gsven a vertical release. The horizontal extent of *fcg, is 40oA {4-
feet/l0-feettl00) of the distance to the closest conduclor. The nrodeling idicates
that this valve will not creat€ flarnmable concentations of natural gas at the
power lines. However, due !o the close proximiry of the valve to the power lines,
this valve will not be used.
The URS study did not specifically model a %-inch valve, but the l-inch valve
modeling re$ults car be used to predix ths %-inch v*lve caxr*ntrations with a
grearl*r safaty far;tar. The URS study predictr that the horizortal extent of gas
concentration above LEL for a linch blow-off valve does not exceed 4-feet for
the rnodcled meteorological conditions, given a vertical release. The horizontal
cxtent of 4-feet is 4ff/o (4-feetll&feet*100) of the distsnee io the closest
condustor snd the valve being considered is half the size of the rnodeled valve.
The modeling indicates that this valve will not create flarnmable concentrations of
natnral ga* it the power lines. However, due to the close proxirnity of the valve to
the power lines, this valve will not be used.
The UR$ stndy predicts that the harimntzl exient of gas concenfations above
LEL for a f -inch blow-off valve does not exceed &feel for the modeled
meteorologisal conditions, given a vertical release. The horizontal extent of 4-feet
extends into the qlace occupied by the new proposed 345 kV conductors. The
modeling indicatcs that this valve will potentially creflte flammable
concentations of natural gas at the power lines, and therefore, will not be used.
,. Conflict lYunber 3
3B) Tlre URS study predicts tlut tbelwnz;rlntrilextent of gas e.ancentr'*tianabaveLEL
for a 1-inch blow-offvalve does not exceed 4-feet for the mcd,eled meteorological
conditions, given a vertical release. The horimntral extent of 4-feet extends inio
the space occupied by the new proposed 345 kV conductors. The modeling
indicates that this valve will potentially create flammable concentrations of
1b)
td)
1s)
Paul Radakovich- DRAFT
October 12,2012
?a*7
natural gas at the power lines, and therefore, will not be used.
3b) Thc URS study did not specifically model aYz-isch valve, butthe l-inch vdvc
rnodeling rcsuls can be used to predict the Trinch valve correentratigrs wi& a
greater safety factor. The URS study predicts that the horizontat extitrt of gas
concr;ntrafion above LEL for a l-inch blow-off valve does not exceed 4;gf *,
the modeled met€orological conditions, given a rrertical relase. The horizontial
extent of A-fer* is 3lo/o (4-feetll3-feet*100) of the disaanca to thc cloaest
conductor. If the alternate alignment of the new proposed 345 kV line is mmp&d,
this valve will be within thc span of the conductors. Based on that looation, tbe
horizontal extent of 4-feet extends into the $pace occupied by thc new pmposcd
345 kV conductors. The modeling indicates that this valve will potenti$ly creale
flammable concentrations of natural gas at the power lines, and thereforc, will not
be used.
3c) The URS study did not sppcifically model aYz-inchvalve, butttre l-irch valve
can be used to model the Winch valve with a greater safefy fastot. The URS
study predicts that the eirtent of gas concentrations above LEL for a f -irr& blow-
offvalve does noi exceed 4-feet for the modeled meteorological conditions, given
a vertrcal relsase. The horizontal extont of 4-feet is 8% (4-fr/52-ft*100) of the
distancc to the closest conductor. The modeling indicates that this valve will not
creete flammable concenhations of nsfi.ral gas at any of the considered pourcr
lines.
Caaflrt&Number6
6a) The URS study predicts that the lrorizontal extent of gas concentation above LEL
for a l2-inch blow-off valve does not exceed 46-fffit for the modaled
motmrological conditionE given a vertical relcase. The horizontal cxtent of 46-
feet is 53Yo (46-feet/87-fect*100) of lhe distance to the closest conductor. The
modeling indicaies that this valve will not create flammable conosnEations of
natural ges at any of the consideled power lines.
6b) The URS study predicts that lhehonz.ontal extenf af gas concertrationabveLBL
for a l-inch blow-offvalve does not exceed 4-fenrfor tlre madeled racteoralogical
conditions, given a vertical release. The horizontal extent of 4-fect is SYo (4-
fxtl&4-fwtt l00) of the distance to the closest conductor. The modsliug indicates
that this valvc will nst ereate flanrmable concentrations of natural gx^s et any of
the coneidered power lines.
e) The URS study did not specifically model a Yriach valve, but the f -inch valve
modeling results can be used tc predict tlre t/z-inch valve concentrations rvith a
grentrr saf€ty factar- The URS study predicts that the horizontal extent af gas
*ansetrtr,atians above LEL far a |-insh blow-off ,talve daasnot exced 4-taelfar
the modeled rneteorological conditions, given a ver.tia"al rel€asc. The horizontal
extent af 4-f*t is 20Yo (4-feed20-f*t*100) of the distance to the closest
conductor. The modeling indicaie* that this valvp will not crcate flammable
concentrations of natural gas et the power lines.
Paul Radakovich- DRAFT
October 72,2012
Page 8
6d) The URS study predicts that the horizontal extent of gas concentrations above
LEL for a l-inch blow-off valve docs not excced 4-feet for the modeled
meteorological conditions, given a vertical release. The horizontal extent of 4-fect
isZV/o (4-fett20-feettl00) of the distancc to the slosest conductor. The modeling
indicates that this valve will not crcatc flammable concentrations of natural gas at
the powcr lines.
IV. Summary
The results of the analysis for the RMP conflicts indicate that there arc tulo (2) pipelinc
alignment locations and five (5) blow-offvalve scparation distance locations that rcquirc design
or operational changes to cnsurc the safe operation and maintenance of RMP and Kem River
facilities. Potential rpsolutions to thcse scven (7) conflicts are describcd below.
o Relocation of thc neu, proposcd RMP po\ rer line in thc vicinity of thc West Valley meter
station, specifically, relocating new proposed towers 45 and 46 lS-feet to the west. Kern
River understands ttris relocation will have no financial impact to Kem River per the
parties separatc agreement allowing RMP to cross certain exclusive easements owned by
KemRiver.
o Relocation of new proposod tower 57 approximately 25-feet to the north. Kern River
understands this relocation will have no financial impact to Kcm Rivcr per the parties
separate agreement allowing RMP to cross certain exclusive eascments owned by Kern
River.
r Restriction in use of blow-offvalves at Hunter Park meter station (Conflict Numbers lc,
ld, and 1c) and at Wcst Valley meter station (Conflict Numbers 3a and 3b).
If these recommendations are acceptable to RMP, the agreements betwecn the parties slrculd be
amended to rcflect the changes idcntified herein.
Bascd on the past twenty years of operating experience and the rcsults of the URS study,
implementation of the recommendations provided herein and compliance with Kern River and
RMP operating procedures will continue to create a safe and reliable environment in which ttre
power lines and natural gas pipelines can operate.
Please call me if you have any questions or comments.
EXIIIBITIT
(Locefion af fftrucjrrr*S1 af T*rrniixrffiq*irrh} Trrarmirdoz Lins)
hgond
I PEurdTmrlocdon
I xlodfibdlulrLocatrn
? rrbrsdon
ForcrUmr
lOm Rltrlr G!
l(an Rhfi loop Um
AlffiF*rrllne
Exhibit "D"
0 75 150 25 300
Feet
EX*,tBtT E
lr*etfu\ st $w*x * 4t &, & *l t *rm\rxl @ulwh *4 T ratwr*Man U*l
Legend
I HannedTowarLocdon
I ModlfrcdTowe locdon
ry Metcrsutbn
-r.-..+ Porrorlipg
lGm Riwr Gae
lGrn Rivpr Loop Line
Abfitd€ PorrrerLine
Exhibit rrErt
0 81.25 162.5 243.75 325
Feet
nrl{lrE$l. llo gulGcrrl,tTlBrl3ilr@[Elrlyrl0l3r0rBul'I'I@MTilI i^lTA,NOIEIEMOI'EITTOITIBTDlf,D,pmrD. c@,olntl}uDrroarilorBmrI No.lloElE8DETAilYElItE OI'E.TIIAI{ISATICTMf, rfE [e-mail] vllmr I,t rc EEI(ll ot xE$l r*E GAirl liltElotoo0uft
TXHIBIT T
(Form of Specific Eucrore.hneut *grccment)
rc
Wher Recorded Return t0:
Kern River Cas Trafseission Company
Ia*d and Environmeirt Deparment
P.O. Box 71400
Saltlake City, Utab 84l71.A40A
? arcel Nwrbeds); X)OOO(
SPECIMC ENCROACHMENT AGREEMENT
rON THE ABOYEGROUND ROWER DISTRIBUTION LINE
EXIIIBIT lIY OF MUI'UAL EXCHANGE AGREEMENT
This Specific Encroachment Agreement ('Agreement') is hereby entered into this day of
, by and between Kem River Gas Trrnsmission Compauy, a Texas geoeral
partnership, vrith offices located at2755 E. Cottonwood Parkway, Suite 300, Salt Lake City, Utah 84121
('KemRivef),urdPacifiCorp, an Oregon corporation, d/b/aRoclryMountain Powerrwith anomces
locaret at VA7 West North Temple, #1 10, Salt Lake City, Utah, 841 16 f'Rocky Mountain Power Rocky
Mountain Power'). As usd h€reb Ksm River and Rocky Mountain Power shall also include their
respective agents, contactors, e,mployees, and r€presentativcs. Kem River and Rocky Mountain Power ae
sometimes jointly referred to as the'?arties."
WHEREAS, Kem Rivs owns, operates and maintains 36-inch diameter high pressure interstate
pipelines which transport natural gas frorn southwesteri Wyoming to points of delivery in Utah, Nevada
a$d Califomia; said pipelines are generally hried u$dergpo-1qd pursuant to eqs,gll@.6 and rights of way of
' &--*,WHEREAS, Rocly Mouatain Powerdegires to bonstnrct, ihltall, op7at€,'tccess, and maintain a
higlr voltage Wwer line (the'?oww line') ovE; under aad througli c4rtain WlWXgpipeline easements
held by Kern River (collectively referred to as the *Ksfn River Ealemnerits'\"{K{taa*ires to obtain Kern
river's consmt therefore. A general vicinity map slrowing the locafion ofthe power line and the location of
the Ksn River easemeirts is provided in Exhibits A.1-4.6. The legal descriptions for the Power Line are
ettachedas Exhibit B.
WHEREAS, Kern River is willing to perrnit, and Rodqy Mountain Power desires to construct, the
?ower Line within Kem Riv€,fs Easement subject to the conditions contained in this Agreemeirt.
THEREFORE, in coasideration of the mutual promises and benefits contained haein, the parties
agree as follows:
1. REPRESENTATIONS: Rocky Mountain Power hereby represents and warrants that it has or
will sbtaifi *ll apyopnate agrmtmts, approvals, authorizations, certificate*, licenses, zoning aad permits
*amarry and all landowners and agencies, public md,prnvate,forthe constuction activities contemplated
herein.
2. AIJTTTOXI,ZATION: KsmRiv€rherebyauthorizesRockyMountainPowerto install, construc!
ap*ate,acce,ss, aad maintain the Power Line on the Ksrn River Easements in accordance with the terms of
this Agreement. This Agreernent shall apply only to the two Power Line specifically identified herein. Any
additional encroachments are expresslyprohibited unless this Agreement is amended in writing or another
writtefi exlcr.o*clunerrl agrarrLent ar enr"oachm€nt pr,rmit is entered into by the Parties.
3. NO WARRANTY: Kern River does not warrart the condition of the Kern River Easements nor
its fitness or suitability for anyparticular purpose. In addition, Kern River does not warrant &e Kern River
Easeme.nts for or against zubsidence, compaction, or geotechnical stabiiity of any kind includiug but not
limited to, faults, siddloles or hydrologic integrity.
4. COSTS: Rocky Mountain Power shall cause all constuction activities including but not limited
to, survefng leveling grading, compacting, paving runoval, reclaiming, restoration, revegetation, re-
contouring repairing constuction and re-construction of the Power Line to be compieted at no cost or
expense to Kenr River.
5. CONSTRUCTION OF POWER LINE: Construction will be performed according to tho
Conskuction Drawings attached hereto as Exhibit C. the Scope ofWork attached hersto as Exhibit D, and
using onlythe equipment listd on the Equipmsrt List attached as Exhibit E. All constnrctiorq continued
and future use of the Power Line shall beperforrned inar,card*ncewith theBncraarbl:,rent Specifications
set forth in Exhibit F attached horeta. Any deviation from these Encroachment Specifications, Scope of
Worlq drawings and equipment listmustreceivepriorappmval invniting&omKmnRiverwhichapproval
shall not be unreasoaably witt*reld, conditioned, or delayed.
6. INSPECTION ANp REIMBURSEMENT: Kem River shall provide at least one onsite
inspector ('lnspector') while Rocky Mountain Power is working within Kem Riv€r's Easements. All of
Rocky Mountain Pow€tr's work within Kenr River's Easeineots shall be pxfomrcdto the satisfaction of
Inspector. In the eveflt Inqpector deems Roclry Mouatain Pow€r's work within the Kam River Easome,nts to
be unsafe, ofpoor quality or inconsistent with the tanns of this Agreerrent Inspector is authorized to stop
all work within the Kern RivsEasementswtil the appropriate correctivemeasure$ areimplenrented. The
prssence or nor-presenco of Inspector shall not alleviato Rocky Mountain Power from liability or damages
arising from its constructiou ofthe Power Line andit,shallbe:&ockyMounta$9o'fir s sole responsibility
to perfomr the constuction in a safe and d,prkrnaolikq manndi. Kern Rivef;ehall not be responsible to
Rocky Mountain Power or anythirdparty forfhe oost of any de16ys $ccasian$tffiz'5iiiork stoppage orrdened
by lnsp***r. Kern River agrees not to mar.k ui o1 changd and profit for use ofrthe Inspectors, but simply to
pass througlr &e fully loaded costs of the iirspeaor. Kenr River stratt sutml{A,xand6ly invoice to Rocky
Mountain Power until the project is complete. Rocky Mormtain Power agrees to pay said invoice within 60-
days af mrhsubmittal.
7. ONE-CALLNOTICES: RockyMormtainPowershall notifyKernRiverthroughthelocal One-
Call Service a minimum of 48 hours before excavation or gra&ingwork commences on or near the Kern
River Easements.
8. CATHODIC PROTECTION AND AC MfflGATION: All metallic utilityiines crossingKern
River's pipeiines shall have w*jrradictestleads *awz*tingboth the utrlity and the pipelines. Kem River
wili install, at Rocky Mountain Power's expense, such test leads on its pipelines ifrequired. Ifwithin one
year from the date of energizatian of &e Power Line, Kern River determires in its sole discretioa that AC
mitigation studies and/ar AC raitigation is required, tncluding but not limited to mgtallic or eleetric
aboveground or undergroturd lines, Rocky Mountain Power agrees to pay for the studies and/or rnitigation
that may be necessary to protect the Kem River pipelines. Rocky Mountain Power agrees that the Power
Line constructod pursuant to this Agreernent shall be operated at a nominal voltage rating af 345 kV. If
Rocky Mountain Power determines aneedlo increas*rhe nominal voltage rating of the Power Line, Rocky
Mountain ?ower Shall first give aotice to Ksrn River and Rocky Mountain Pows agrees to pay the cost to
deternrine whether additional cathodic potection or corrosion mitigation should be installed for the
prot*ia* of the Kern River's pipelines. Rocky Mountain Power shall pay all reasonable costs for
additionalprotectionsfhatmayreasonabtyberqvr&byKernRiver.
9. STREETS: Any pannanent acsess rcute.s consfructed over the pipelines shall maintain no less
than five and one half feet (5'-6') of cover from top ofpipe to the finished gade. During construction, any
accessroutes utilizedbylarge construction tlpe vehicles orothertlpes ofheavyequipmantthat crcsses the
KernRiverpipelines willbec.onskucted andmaintained as directedbyKernRiverand itslnspector. These
crossings shall be revie\iled in the field on an individual basis, by Inspector. Any access routes pennitted
underthis Agreearentmustbe approved bylnspoctor and corstructed in accordancewiflrthe specificatiors
set forth in Exhibit "B."
10. RESTORATION: Rocky Mountain Power shall be responsible for restoration of all disturbed
Iand and damageson KemRiver's EasementscausodbyRockyMountainPower, its contractors, agents and
e,lnployees in any way related to or arising from the constnrction or mainienance of the Powa Line.
li. EXCAVATION TECHNIQUES: Any excavation within 5 fwt of &e pipelines slnll be
performed with hand tools and inthe presenceofKernRiver'slnspoctor. Mechanic*I excavation equip,ment
must be positioned so that the equipment cannot reach within 2 fee/.. of the pipelines.
I 2. FENCES : KEm River may require Rocky Mountain Power to install temporary safety fences to
define a corridor surounding the pipelines. Any fences installod shall be the sole responsibility of Rocky
Mountain Power and anycosts incured forfenceinstallatioashallbebomebyRoclryMountainPows. The
type of fence shall be decided in the field by Inspector after consultation with Rocky Mountain Power.
Openings in said fence for road crrossings shall be at locations desigaated by Inspector. Fences shall be
continually rraintained by Rocky Mountain Power until zuch time as construction af the Power Line has
been completed.
13. BLA,STING: Should blasting be required for the prajeot" a blasting pian must be submitted
thirty dap in advance to Kem RivEr for f,rior review and app-roval. No blasting may take place without
priorwritten conse,nt from Kern Rtver. ir{' ,i}'
l
14. PIPELINE MAINTENANCE: If either piireline is excavated and exposed as part of the
activities described h€rei& or at Kem River's reques! IGcrn River will be given the opportunity to inspect
andpwfor*maintenance onthepipelines before they wer*wid,. This inspection andrnaintenancewrllbe
at KEm River's expense; Wvtded,howwer, that Kqu River shall not be responsiblela Rocky Mountaia
Poweror anythirdparty forthe cost ofanydelays occasionodbyKern River's iuspection andmaintenanoo.
15. RESERVATION OF RIGrrfS: KERN RIVER AGREES T0 COORDINATE WTTH ROCKY
MOUNTAIN POWER ANY CONFLICTS THAT ARISE BETWEEN ROCKY MOUNTAIN POWER'S
FACILITIES AND KERN RIVER,S EASEME}-IT. IN THE EVENT OF AN EMERGENCY, KERN
RTVER RESER\rES THE RIGHT TO CAUSE ROCKY MOTINTAIN POWER TO REMOVE ATY OF
fi{E ENCROACHMENTS IF I},I KERN RWER'S JUDOh{ENT IT IS NECESSARY TO DO SO IN
ORDER TO PROTECT ITS PIPELINES FROM IMMINENT HARM OR IN ?HE INTEREST OF
PUBLIC SAFETY.
16. RELATM PRIORITY OF RIGHTS: Kern River, its successors aod assigns retain all rights
that Kmr River eqioys under the Kern River Easements. Although the Parties foresee the use of the Kern
River Easennents in a mutually agreeable maoner, THE PRESENCE OF THE POWER LINE UNDER
THIS AGREEMENT IS SUBORDINATE TO KERN RIVER'S RIGHTS UNDER ITS EASEMENTS.
Rocky Mountan Power agrws to ex:,opuale with Kefir River at suc,h trmw *tatK*rnkver accssses the
right of way or pipeline fwilitte*. In parttcular, Rocky Mountain Power a$es to mave or cause to be
moved any of its or ik contractors'personal property including but not limited ta qaigmertl vehicles, aad
tailers thatrnay prevent Kern River fum reasonably accessing the Kern River Easements and pipeiine
facilities in a timely manner. Rocky Mountain Power agrees that its or its contractors' prese,nce on the Kern
River Ease,rnents shall not; a) prevent the timely and easy removal of Rocky Mountain Power's or its
contractors' personal properfy &om the Kem River Easerne,nts, or b) prwent Ka:r River's reasonable
reconoaissaoce of, or access to, the Easements by amial and/or ground patol ofthe area. Except in cases of
m emerg€ncy, Kern River Lgrffis to glve Rocky Mountain Power prior notice of the areas where
urrestricted accsss is rquired.
1 7. REVOCABILIIY: thi* Agr:eerrrent shall be revocable, in whole or inpxt byKanRiver in the
event ofmaterial or zubstantial no*compliance with the conditions, tetrms, requirenrents o,r specifications of
this Agreement that are not cured by Rocky Mountain Power within a timely manner to Kei:r River's
reasonable satisfastion after writte,n notice or, in Kern River's sole discretion, for safety related reasons,
Kern River shall provide prior written notice of zuch revocation. In the event of such revocatio& as
applicable, the Encroachments shall be re,moved at Encroaching Paty's expense.
18. INDEMNITY: Rocky Mountain Power Lgrees to protect indemnifr and hold harmless Kern
River, its affiliates, par€nt corparatiart(s), subsidiaries, officers, agents and ernployees from aad against any
and all loss, damage, injury or death to any p€rson or property, including KernEjver, which may arise by
reason ofor incident to Rocky Mouatain Power's occupaflcy, use, installation, maiuteirance, or continuation
of the Power Line within Kem River's Easements, except to the extent such loss, damage, injury or death
arises out of ths negligence of Kern fuver.
19. INSURANCE REQUIREMENTS: Prior to performing any work within the Kern River
Easements, Rocky Morurtain Yawer shall carry insurance as described in Exhibit G attached hereto and
provideKernRiverwith insurance cstificates widmcing svchcovwago EnwaacbixgParty shall rquire
its conhactors and zub-contactors ofany tierto maintain andpravideevidence of similar insurance during
aoy construction within the Kern River Easements. Kem River does not repreeent that the required
insurance, whether,ll ;scqpe or q!$ounts,of, coverage, is adequate to protect the obligations of Rocky
Monntain Power oritp conlractolB dii'sub-confractors, and Rocky Mountain Power and / ot its contractors
and sub-contractorsitatlbc sot *y-L*po*iAh foranydgficiacies &ereof. Nothingin this section shall be
deemed to limit Rqgky Mciuntdrn Power's.liability rmds &is Agreecrent.t''sqpj;[ i t
2A. AS-BUILT DRAWINOS: Within six rnonths followingthe substantial wmplettonofthe Pows
Line,Rocky &{ountain Powelr *b*llprovidewitlwutrhxgeto Kern River aoopy of its 'o&s-built" drawings
of the Power Line.
2 1 . NOTICES: All notices to either party hereto stmll be in uriting and sei:rred personally on, or sent
by U. S. postal or comme,rcial delivery service to, the addresses hereinabove gven.
22. CAAPERATION OF SUBCONTRACTORS: Rocky Mountain Yawu shall ensure the
caapemtran of its contractors und ag*nts with Kern River with respect to lhettrlfis and oonditions of this
Apeerneat and their irvolvernent v{rt}lthe actlitres dr;swlb& herein.
23. ATIORNEYS' FEES: The Parties shall be eotitled to its reasonable costs and attomeys' fee$ to
eoforce any provisions of this Agreemant, iogether with intsest at twelve prr.cent ptr annum for any
amounts owing to Kern River hereutrder.
24. SLiBSEQUENT OWNERS OF POWER LINE: it is the intention ofthe Parties that the terrns of
tli* Agrewzant. shall apply to subsequent ownu(s) of the Power Line and th*t arry eubsequent ovmer(s)
shall take ownership of tho Paws Line subject to the terrns of this Agreernent. Tlns }rgrwre;nrt shall nrn
with the land aad Kern River Easwrertts and shall inure to the benefit of and be biading on the respective
succes$ors, assigns, hcirs a$d pcsonal representatives of the Parties and owner(s) of the Power Line.
Nothing coatained herein shall be constnred to abrogate, diminish, or relinquish any rights granted by the
Kern River Easements or to waive statntory, common law or ofher rights that Kem River may have against
subsequent owner(s) of the Power Line.
25. AGREEMEN? SUBORDINATE TO EASEMENT(S): This Agreernent is subordinate and
subject to all terms and conditions of the Kern River Ease.ments with the ,artderlytng fee owners and
easwttrlthoiders of rwordcn said lands"
26. GOVERNING LAW AND JURY WAIVER. This Agreement and the rights and duties of the
parties arising out ofthis Agreernent shall be governed by and construed in accordance with the laws ofthe
state of Utah, exce,pt provisions of that law referring to governaoce or construction of the laws of another
jurisdiction. Any suit, action, or proceeding arising out of or relatiag to this Agreement may only be
institufed in a state ar fdrer:al court in Salt Lake City,Utah.Euchpxty waives aay objectton which itm*y
hwe now or hereafter to *xclusive venue of sur,h action ar procedbgin the state or f&sral courts af Salt
LakeCity, Utah and inevocably submits to &ejurisdiction af eny such state or fd*al court in wry such
zuit, action or proceeding. TO THE FULLEST EXTENT PERMITTED BY IAW, EACH OF THE
PARTIES HERETO VTATYES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OT
LITIGATION DIRECTLY OR INDIRECTLYARISING OUT OF, TINDER OR IN CONNECTION WTM{
THIS AGR.EEMENT. EACH PARTY FURTHER WAIVES ANY RIGHT TO CONSOLIDATE AhIY
ACTiON IN WHICH A JURY TRI,AL HAS BEEN WATYED WITH A TY OTHER ACTION IN WHICH
A JURY TRIAL CANNOT BE OR HAS NOT BEEN WAIVED.
*** Remainder of this Page is intentionallyl,efrBlark - Signature Pageto follow***
The Parties execute this Agreement on the date first written above.
KERN RTYER GAS TRANSMISSION COMPA}'TY,
a Texas general parkrership
ACKNO\ryLEDGMENT
STATE OF UTAH
By:
Its:
)
)$COUNTYOF )
0nthe_dayof
me and being by me duly sworn did say that s/he is the.
behalfof
s/he, as the
personally appeared befo,re
of
aud that the abovs $pecific Encroachmutl Agreerrteat was signd on
and said acknowledgedtomethat
signed the sane.
,Notary ,xfilii':'
t l/,,,, . 7i1::l;t..t,.'/:.,/.:::.:t'.
ACKNOWLADGMEI\TT
personally appeared before
of
of
. 1r,.:la /:,?';i';. .r: \l
l::.:.,,, . , '',
'1., ,, l.: i,
PACIFICORP, an $iegdd co$oranaid6la
Its:
Rocky Mountain PowEr
By:
STATE OF UTAH )
)$
COIINTY OT )
0nthe-dayof
me and being by me duly sworn did say that s/tre is the.
and that the above Specific Encroachmant Ageanent was signed on
acknowledgedto methat
signed the same.
behalfof andsaid
s,/he, as the of
NotaryPublic
EXUIBITA"l-A"6
(Concrrl Vicinif ldrp ffeorfag &e Imfim of tlc Portr Lhe ud &c Locrtfun of trc Ksa
RivrEurmcutr)
DrddmlFat2m8.-&Srrlrtthtllllr-
-bE-FDI13}TIFT-}Ehprr?tsa--Oi;lrp-
EXHIBITB
(tegal Descrlfilons!
Fo be lnserted wlth gach EncruachmcntAdrcememl
SAMflPLE
ETffiISIT C
(Conrtmction Drrri*gr)
Note: Consfructiaa Drawinss to be plovided W?eff 90 days in advmce of co'nstruction
EXHIBITD
(Sope o,f Wort)
Fo be inserted wlth each Enqoaduncnt Agrccmsnt)
SANfiPLE
EXHIBITE
(Equipmcnt Ustl
(To be furertsd nrlth each Encrcachnrent Agruementl
SANflPLE
EXHIBIT T
(Encroaehment $pecificafiona)
KERN RMR GAS TRANSMISSION CO-MPANY, herFinaft€r callqd "KERN B[B':is $rinreElrte-transpprrcr of
;raufti EeS wliimlr r."Colit"a6yi[e U..S., Depprqngit ofTrarppqnatipn O.ffic.e of Pipeline q.afcty,.Tho fo,florOi+g
ffiigr"f#"pTpHf"fs'gned
b comply mm appxcaEle st8ls anc reoeral reguauons to assure ue sarery or me puDIIc aoc lo
2t Ir$IDSCAPING (plaotiugs that reguire excavating dcees ttan
within ihe
The followins soecifications 4's minimum requirem€ots for tsiisdndEaffiE[iitslie. Tkca are not the onlv troes of acti'
depea&lg.Upop $e"ppposed cncroacbments Plees€ contaclyour rncllvrdual srtuatoL
C) Laqrris and veeetable eardens are acc,aslsble.Dl PTOViSiOflS A fud C Ofthc GENERALREOUIB.EMENTS'FpR.SLRFACE ALTERATIONS f,efiain to this type ofplanting.
conflicturith thens mav be reouiredt7Y789-8763 to review
GENERAL REQUIREME{TS FOR BTIRIED LINE
CROSSINGSA)Atl buried linee crossitrs KERI'ehall be installed in accirdanceoEIIGi:*nd reouiB)Al1
:s. droo boxes.
on thdright of
COMMUNICATION I.INES TELEPHONE, T:/, OTHT,R
DATALINES
A)Communication Jines shall meet all orovisions of the.GENERAL REQI,]IREMENTS . BIIRIED LINE
tfiA)wrthiq the rig[t qf
annual surveJls, fi
vy ,JJar,J'lenffircefiay
3)
4)
7)
OPEN WATERWAYSA) Ooen waterwaw snrall6l thnn 3 feet wide at the bottom ar€'defined as "ditihgs" and must have a minimum of 3.5 feet of
cover from the too of the oine to thc bottom of the ditch. or
the ditch mrst belined usinl an annrorrcd method and
material, [,arger open rnqtedfuarry ad-e d€fined as 'tanals" and
C) An oooortrnitv will be orovided for KERN RwER to install'gasinj?rld/or dther skuc^tural protectiou prior to canalinstallation
B) Nb treer or
C)All buried lincs should cross under the oioeline,'However. u&cn obsructions or unfavofable soilconditioris are encountered. or when the KERN RiVERprpeli*e is locptc{.at a dep& gratnr.tharl feet, approvalt0 cross ov€r tne Etre Inav be lrantcd,D)To avoid unsxDect€d setiricc internrotions ofburied lines'crossins over KERN aJyff, ei66linie. s minimrm sf f{
inches 6fcqver (or local r4irdintum reduired depth) mustbe rrovided ovei the cnrasins lire-
E) Alf buried r' "t "*geinq tlrcXERN RIVER pipeline' srhall mrinlain aminimrim seoaration of 24 iichesbetween the two facilities. with the same deDth canied
E, Ja]l Oune0 Unes CTOSSIAE Ule tLEt(N lg.Vtlt( pIPelIAe' srhall mrinlain aminimrim seoaration of 24 iichesbetween the two facilities. with the same deDth canied
asross the e.lrtire risht of urav.F) A ioint trenctr is tlie recorrriended method for multinle' utilitv crossifiss. Undcr nomral circumstaaces ttris '
requires. that drly one permit be obained by the
ltotl.
CROSSINGS
'r flmmr:s*J*ri#l #mn*m ?{#! n a, o,
cr HH; shall be oiaced bv the Rockv Mountain Power at-' eaft_sdlee-of tlip right df way-to niark the underground
cablc arigle and palh ofcrosbiag.
METAITIC }IPE CROSSING$
l4-inch and lrsermetallic oipes crossitrs KERNVER'S oioelind or anv msfallic uioe trafisoortins.zrdaw'niaterials (petiolsum- nafuial eas. 0tc.). shall
ue two cathodic priltection teit leads ifistdllediin the
A)
1l),A)
l3)A)
B)
c)
ald I of
8)A)
B)
e)SEWERAND WATER LTNES
A)
l0)SUB SUP.FACE DRAINAOE TILE {NANNfET 3J-UC)
,d twoon tlie ciossirig pipe
B)
c)'uioe crossffidC'shall hav€ a Derrnanent orotectivefbr'the ful| udtlth of the righf of way.
must install the leade on KERNif necessary will install thei pipelinq(s) a{rd,-ff n ecessary-will iirshlf tliern€ crtssrng prpg. .- -
t2\ABOVE GROUND LINE CROSSINGS
A)Shail naintain a minimrm of 30 feet of vertical clsaraqce'iicross the right of vav,B) Shall have n6 poles of appurt€fi.eces located on the right ofwav.ClAbbve eround crossinss shall not be above or closer than' 25-feet trorizontally lo-any gas escepp_ veat (4 9., reliefvalve veart, etaliontlow dofrn vent,'block *alft'vent"etc.).
B}
wilh the KERN RMRpresert.
tifl to tisht lines onlv.
ar€ not fermitted wr-thin the
BLASTING
ffit sd aaXEFI}.IIUVER forprior to the aaticipetad start of
E}ilIIBIT G
(Insurance Requirements)
A. Workers' Compensation Insurance and Occupational Disease Insurance in accordance with
statutory requiranerts of the state and/or Federal Regulations (FELA, USI*H, Jones Act) and
Empioyers' Liability Insurance with lirnits of not less than:
Bodily Injury by Accident $500,000 Each Accident
Bodily Injury by Disease $500,000 Poliry Limit
Bodily krjuryby Disease $500,000 Each Employre
cov*inglocation of all work place;s involved in this Contrac-t.
B. Commercial General Liability Insurance, writt,en on an Occurrenc,e Basis, with limits not les than
$1,000,000.00 peroccurrence / $2,000,A0A aggregaleBodilylnjuryand PropertyDamage, including
the following covemges.
a Pre.rnises and O .attons Covmge
b. Iadependent Cont?ctor's Coverage
c. Coatactu al Lrabihty coveriag liabilities assurred under this Coafact
d. Products andCompleted Operations Coverage
e. Cove,rage for explosion, collapse, and undergromd prCIperty drnage
f. Broad F.or:n Prope,rty Damage Liability endorsernent
g. Personal lqiury Liability
C. Comprehensive Aut,osrgb rteLiabilitylnsurance covering owned, hired and non-owned vehicles
with limits not less fham $ 1;000,000.00 per occurrence Bodity Inj wy andErvpatyDrnage combined
single limits
D. UmbrellaLiability Insurance with a minimum combined single liurit of S5,000,000.OA wch
occ:urrence/aggegate where applicable to be excess of the coverages and limits requird in A., 8.,
and C. above.
Rocky Mountain Power shall, on or prior to &e effective date of this agreernent dsliv€r to Kern
River certificates ofinsuranc.eevidencingvalidcavaageineffect as specifiedbythisExhibit. All of
the above described insurflnce policies shall contain provisions that the insurance companies will
have no right of rffiyery or subrogation against Kem River, its parent, divisions, affiiiates,
subsidiary companiec, co-lecse6s, or co-venturers, &g€,nts, directors, officers, employees, servaots,
and insurers, it being the intention ofthe Parties that the insurance as cffected shall protect all parties
excr4rt with respect to the negligeirce of additional insureds listed below. All required insurance
policies shall be endorsed to pmvide that the policy is primary and will not conkibute wifh any
policy carried by Kern River.
Kern River, its parenl divisions, affiliates, subsidiary comprnie$, co-less@s, or co-venhrero, ageirrts,
directors, ofEc*rs, employees, and servants shall be narned as an additional irsured in each ofRocky
Mountaia Power' insurance poiicies, except statutory lfforkers' Compensation. The Commercial
General Liabirity ad&tional insured endorse.ment shall be ISO Form CG20l0 or its qaivalent" There
shall be no conditions oa Rocky Mountain Power' polioies restricting defemse expsnses available to
Kern Rivsr.
Any and all deductibles in the above-described insurance policies or inadequacy of limits shall be
assumed by, for the account of and at the sole risk of Rocky Mountain Power.
All policies providing @verago herzunder shall contain provisions that no canrxllation or rnaterial
changes in dre policies shall become effective except on thirty (30) dap' written notice thereof to
Kern River at Kern River's office originating ttre agreement. Rocky Mountain Power shall not cancel
or make aoy material change in any such policies without the prior written consant of Kem River.
Forthoseinsurance cove,rageswherebyKetrtRiverisrequiredtobenarned as as additional insrd,
Rocky Mountain Power shall at any tirne requestod by Kern River prior to or during the tern of the
work or this Contract, deliver to Kern River c€rtified copies of any and all insurance policies so
requeated. Furtho, should a loss arise after final acceptance that may give rise to a claim against
Rocky Mountain Yawx, and/or Kem River as additional ins$red, Rocky Mountain Power shall
deliver to Kern River, or shall cause its insurert or agents to deliver, cetified copies of&e policies
rnaintained drning the terrr of the work or this Contract, if so rquested by Kern River.
Kern River does not represent that the insumrce coverage$ specified herein, whether in scope of
covmegeor amounts *f ooverage, are adequaie to protect the obligations ofRockyhdouniain Power,
and Roclry Mountain Pgwer shall be solely responsible for a*y deficiencies thereof. Nothing in ttris
Agreement shall be deemed to limit Rocky Mountaia Powed liability under this Agreement
SUBCONTRACTOTS INSURANCE
Should Kem River pernrit Rocky Mountain Power to firther zublet or subcontract any portion of the
work, Rocky Mountain Power strall, before permitting anyofits Subcontractors to perform anywork
at the site, require each Subcontractat tCI *ffty insurance with terms and limie similff to that
specified above or provide evideoce that such Subcontractors are coverd as Named Insureds under
Rocky Mountain Power' insurance coverages as required above. Prior to the cotrrmencernent of work
by aay Subconfractor, Rocky Mountain Power shall pmvide to Kem River Certificates oflnsurance
evidencing that each Subcontractor carries insurance as required above or evidencing that such
Subconfiaetors arc *arnd insurods under Rocky Mourtain Pows' insuranoe coyurager,. As with
Rocky Mountain Power'insurance covsrage,Kmn River, itsparwt" divisions, affiliates, subsidiary
companies, co-less@s, or co-ve,nturers, agents, directors, officers, smploye$ and sen/aots shall be
named as an additionai irsured on any Subconkactor insurance required by this section.