20160120Notice of Affiliate Transaction.pdf

YPncrFrConp
January 20,2016
VA OWRNIGHT DELIWRY
Idaho Public Utilities Commission
472West Washington
Boise,ID 83702-5983
Attention:Jean D. Jewell
Commission Secretary
PacifiCorp Notice of Affrliate Transaction
Case No. PAC-E-05-8
Dear Ms. Jewell:
This letter will serve as written notice pursuant to Commitmentl l7(2\ incorporated in
the Idalro 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 (now
known as Berkshire Hathaway Energy Company or "BHE"), of an affiliate interest agreement
with BNSF Railway Company ("BNSF") for a railroad crossing license allowing PacifiCorp to
install certain electric facilities across BNSF property in Big Hom County, Wyoming. A copy of
the License for Electric Supply Line Auoss or Along Railway Property, Tracking #15-54261 (the
"Agreement") is included with this notice as Attachment A.
PacifiCorp is a wholly-owned indirect subsidiary of BHE. BHE is a subsidiary of
Berkshire Hathaway, Inc. ("Berkshire Hathaway"). BNSF is also a subsidiary of Berkshire
Hathaway. Berkshire Hathaway's ownership interest in both PacifiCorp and BNSF may create an
affiliate interest in some PacifiCorp jurisdictions.
PacifiCorp needs to install new lines to serve a retail customer. This will require a license
for the crossing BNSF's railroad property. BNSF uses standardized pricing for these types of
licenses and this pricing is consistent from licensee to licensee. PacifiCorp will pay $3,600 for
the railroad crossing license and has paid or will pay an additional $1,210 in processing,
engineering and insurance fees pursuant to, or in conjunction with, the license. Crossing the
BNSF railroad property is necessary to provide service to the customer. As the owner of the
underlying real estate, BNSF is the only entity that can provide the license to PacifiCorp. The
transaction set forth in the Agreement is therefore in the public interest.
R. Jelf Richails
Vice President and General Counsel
1407 W. North Temple, Suite 320
salt Lake cia, aT 84116
801-2204734 Olftce
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Re:
Jean D. Jewell
Notice of Affiliate Transaction
Jannary 20,2016
Please do not hesitate to contact me at [phone] if you have any questions.
Best Regards,@
R JeffRichards
Vice President and General Counsel
PacifiCorp
Enclosures
Attachment A
The Agreement
License for Electric Supply Line Across or Along Railway
Property, Tracking #I 5-54261
Tnacking #15-5426',
L'CENSE FOR ELECTRIC SUPPLY LINE
ACROSS OR ALOI{G RAILI'TIAY PROPERW
(Elec{ric L[ht, hwer Supply lnmpeo{ive of Voltage, Overhead or Underground)
THIS LICENSE FOR ELECTRIC SUPPLY LINE ("Lioenie") is made to be effacthrc December 4, 2015,(fn "Effectlve Dato') by and betw€en Bi{SF RAILYITAY COllPAilY, a Delaware corporatirn ('Uoenrof) and
PACFICORP BBA ROCI(Y frOUttlTAlN pOUtlER ('Llcnsea'), an Oregon corporaUon.
ln conslderalion oJ the mutualcovBnanls contained herain, the partiee agr6a to the following:
GEI,IERAL
1. Grsnt of Licensg. Llcensor hereby grante Llcensee a non-exclusiva license, su$ect to all righE, irrteresh,
and eslates of third parties, irrcluding, without limltatbn, any leases, use righb, easemants, liens, or other
enctrnbrancos, and upon the terms and mndlffons set forth below, to construct and maintain, in sbid
acoordance wtlh the drawlngs and speclflcations approred by Licansor as part of Licansee's application
prooess (the "Drawlngr ad Sp*lflcatlmt'J, an elechic supply line containlng a maximum of hm (2)
conductors. together wlth lte supporUng or containing s{rucfirrBs (collectjvely, ths "Electdc Supply Linc"),
acroos or dong Lioensor's rail conidor at or near ffre station of Basin, County of Big Hom, State of
L{yoming, Line $egment 0005, Mile Poot &4.74, as shown on tre attachad Draring No. 65739 dated
December ?8, 2015, attached htroto as Eft[ES-E and incorponated herein by reference (the
?lprnlses').
2. Term. This Uoerre shall commenoo on fte Efiec-tive Date and shall contirure br a pariod of nrcnty-ltve
(25) year, subjoct b prior termlnatlon a* hereinafur decribed.
3. Exls{ino lrnoroyements. Llcensee ehall not dbturb any irnprovemen6 of Lioensor or Llcensor's exis0ng
less6€8, lk:aneees, easement berrfidarles or lien holderg, if any, or intarfare wilh the use, rspalr,
malntenance a replacarnenl of st ch imprwements.
4. Use of the Premio6. Lipnsee slmll uss the Premlsos solely for construction, maintenance, and use of the
Electrlc Supply Llne in accordanca witt lhe Drawinge and Specifications. Licansee shall not usa the
kemlses for any other purpo6e.
5. Altrations. Except as set hrth in this License, Licensee rney not make any alteretiom to the Premises or
pannanenty afiix anyhing to the Premiees or any bulldings or oftrer strudurss adjacent to lhe PremisEs
without Ucenaor's prlor mitten oonsent,
cotrPEt{sATtoN
6. License Fea. Licensee sfull pay Llceneor, prior to the Effec,tive Date, ths sum of Three Tlroueand Six
Hundred and No/100 Dollars {S3,600.00} as oornpensation forthe use of ths Premls€s.
7. Costs and Exoonees.
7.1 For the purpose of this License, "oosf' ot "@Ets" and 'expgneeu or '$eon868' includeg, hrt is not
limited to, adual labor and material costs includlng all asslgnaHe addlllves, and matarial end
supply cosb at cunent value whse usod.
F frd 421 : Rai,. 201 /m80,
Trddng *1*X1
7.2 Lhensee sgre$ to reimburse Llcersor (purcuant to $e terms of Eectlon 8 below) for all costs and
expenees incrned by Licensor ln @nnection wllh Llcensee'g use of the PrEmlses or the presence,
onsfirc{ion and maintenance of the Electic Supply Line, including but not limlbd to the furnishing
of Uoensor's flaggens and any vehide rental eoab incuned. Licsns€€ shall bear he cost sf flaggs
s€rvixe and oher saFty measures provided by Lirnsor, ufien deemed necessary by Lirnso/s
repreeer*atve. Flagging colte shall lnclude, but not be limited to, th€ following: pay br al lest en
elsht (8) hour baslo day with time and one-half or douHe time fur ovortime, reat days and holidays
{as applicable); vacation dlowance; pakl holidays (as applicable); raitway and unemploymert
lnourance; publh lhbility and properfy damago insurance; healtft and wetfare benefits;
transpodatlon; mEals; lodglng and auperuision. Negotiafions for railway labor or collediw
bargain{ng agreemen8 and raE cfiange author2ed by appropriate Federal auttrorities may
increase flagging raEs. Flagglrg raEs in effied at tha dme of prformance by the flaggere will be
used to calculate the flagglng costs pursuant to this $ec{lon 7.
8- Parrment Tanns. All inrdces are due thlrty (30) days after the date of lnvoice. lf Lioerree faile to pay any
monleo due to Liceneor within thlrty (30) days aftsr lhe involce dato, then Licensae shall pay inlercst on
such unpaid sum fmm the due date untll paid at an annual rate equal lo lhe lesser of (l) the plme rate hst
published in Tha Wall Sheet Jownal in the praceding Dewnber plus lwo and one-hatf percent l2-1t2%1, or
CIU Ste maxirnum rate p€rmitted by lalrt.
LICENSOR'S RESERVED RIGHTS
L R$erved Rlohts of Use. Lloensor e:(cepB ard reoorves the right lo be exercieed by Ucensor and any
otfrer parties *iro rnayobtain written permission or authorityfom Licerror:
S.1 to maintain, use, operate, rspair, replace, mdiff and relocate arry utility, polver or communicdion
pipe/llnes/cablee ard appur&nances (other than the Electric Supply Line) and othar faclllties or
sbuctures of Uke charac{er upon, ovsr, under or acroee the Premises exlatlng as of the EMirro
Date;
9.2 b construcl malnialn, ngne! r, use, operale, chango, rnodfi and relocate any facks or additional
frcififfes, sfircrtlrs and related appurtenance* uponr (nror, under or across tha Pramises; or
9.3 to use ths Prernlsee ln any manner ae Licensor ln lts eole discrstion daems appropiate, provided
Lhensor uses all cornrnercially ressonable G'fiorF to avoltl matsial interference wtth the use of the
Premiseo by Lioensee for the prlrpo$e specifbd ln Sccdon 4 above.
10. Right to Rooufg Rahcation. tf at any tirne during tha lem of thls Llcenee, Li:ensor desir€e lhe uce of its
rall conldor in such a manner ae urould, ln Licerso/s reasomble opinion, be interfercd \r,ith by the Electric
Supply Llne, Lieneee shall, at lts sole oxpense, within thirty (30) dayt afier receivirg rritten notioe fum
Uconsor to such effect, make suclr changes in fie Elsc&ic Supply Llne as in the sob dltcr€tlon of Licensor
may be naoeesary to arroii intarferenca with the propoaed usa of Llcensofs rail conidor, indudirg, tathorrt
limltation, the relocation of the Ebctrlc Supp{y Line, or lhe contilucthn d a neur eledric line to rcplaoe the
Elec*ric Supply Line. ilotwithstanding the bregoing, Licensee agrc€s to make all emergerrcy changns and
minor adjusffnentB, as deterrnined by Lkxnsor in lb sols discre{ion, to the Electrie Supply Une prompUy
upon Lbensods request.
-2-F tr.tli 421 i Rev. 201 4{,801
Trackirg #1*54m1
LICENSEE'S OPERATIONS
11. Constustion end Maintenance of lhe Eloe'tric Sunplv Line.
11.1 Licsnseo shall notfi Liceneo,'s Roedmasbr, al60Frf Aw N, Greybult, WY 82426, tehplwo
$An 7654235 et least ten (10) buslness days prior lo installatbn of thc Electric Supply Line and
prlor to entering tha Premises for any zuboaquent malntenance thengon. In the event of
emorgerry, Li,censee shall notlfy Licensor of Li:eneea's entsy onb the Premises at the td€phone
number abors aE soon a6 pmctlcable and ehall prompfly tlremafier fdlow up with wri$en notioe of
such enhy.
11.2 Llcenseab on-gito supervisors shallrelalry'malntain a fully etecutad copy of this Licsnse at all timeg
whlle on the Premises.
11.3 l,Yhlle on the Prcmlses, Ueensee shall use only publlc roadwap to cross from one slde of
Liosnsofs tracks to lhe other.
11.4 Any conhadors or subcontrac&rs performing uork on the Electrlc Supply LinE or enterlng the
Prernises on behalf of Lioensee shall be daemed servants and agenB of Licensee for purposm of
thls Lleanee.
11.5 Undar no condltlonE Ehall Licensee be permitted to conduct any bsh, inveatigatione or any other
*tlvtty uslng medranlzed equipment and/or macfilnery, or place or slore arry mechaniad
equipment tools or other materials, rvithin tnenty-five (25) feet of the centedlne d any railroad
tradt on the Premis* unlegs Licansee has obtainad prlor wdtten appoval from Liensor. Licensae
shall, at tF sole co6t and expense, perform all activities on and about the Premlses in euch a
rnanmr as not at any tlme to endanger or interfere with 0 lhe existenoe or uaB of present or future
tracks, roadbeds. or property of Licensor, (li) the safe operation and activltlas of Llcensor or
a<leting third partbe, or (iii) tte rigtrtc or lnteresb of thlrd partles. lf ordered b oeaee uslng the
PremlEes at any time by Liceneor's personnel due trc any hazados condition, Uoeneee shall
immediaHy do so. Notrithstanding the furegoing right of Uoeneor, he partias agree that Liceneor
hro no duty or oHigatbn to monibr Licengee's uea d the Premises b determina the $af6 nafure
thercol lt belng eoldy Liemee'o responsibility to €ntur€ thai Licensoe's use of ihe Premleee is
sde. Neiths the exerciea nor tlp failure by Ucensor to exercisa any righte granted ln thls Sec'tion
wlll alter the liability allocatlon pmvided by this Licenee.
11.4 Lioensee shdl, at its sole cost and expense, consbuct and maintain ihe Electric Supply Une in
such a mam€r and of such materlel that the Electrh Supp{v Line will not at any Ume endarpor or
lnterferc wifr (i) the odstanoe or use of preeent or fufure tracl6, madbeds, or property o,f Llensor,
(ii) the safe operaffon and actMties of LhBrBor or existing third parties, or (iii) the rights or inter€sts
of thkd partias. The construcffon of he Eleddc Supply Line shall be cornpleted within one (1) ysar
of tha Efiecfive Dat€, and arry subsequsnt malntenarrce shdl be completed within one (1) year of
initiation. Wlthln flfieen (15) days after complet'pn of the conattrc'tion st the Elec{ric Supply Line or
the performance of any subsequant mairfrnance ther€on, Llcensee shdl, at Licengeds own oost
and erpeneE, restore tha Premiess lo substantially their Etats aB of the EffBctive Dste, unlecs
ffiierwbs appmrrad in advance by Ucaneor ln wrltlrg. On or before aplratlm or trenniration of th's
Lk;ense fur arry nffixson, Llcensee shall, at lis sole cosl and sxpen66, eurender ttre Premises b
Licensor pursuant to iha brms and conditions sEt forh in Scctlm 24 hered.
11.7 Lbsneor may direct one or more of its ffEld ergineus to obsene or lnepect the corusbrrclion andlor
malntenance of fte Eleetrlc Supply Line al any time for cunpliarrce wlth th6 Drawlngs and
-3-Fqm421; RErr.201{0801
12.
Tnacldng #15-54261
Speclllcatlons and Legal Requirements (defined below). lf ordered at any time to halt consbuction
or maintenanee of the Electic Supply Line by Licsnso,'e personnel due to rnn-compllance wi$r the
Orawings and Specificatbns or any other haardous condition, Licensee shall immediately do so.
Notwifistanding the foregoing rlght of Ucensor, the parti,es agroe thet Licensor hae no duty or
obl'4gation to observe or lnspect, or to halt work on, the Elecflc SrJpply Line, it being solely
Licensee's raeponslblllty b ensure tut th€ Elgcfic Supply Line ls construcbd and maintained in
strict accordance wlth the Drawingc and Speclflcations and ln a sde and wprkmanllke manner ln
compllance wilh all tenns heresf. Nelther the exercis€ of, nor the failure by Licensor b exerdge,
any right granted by thh Sec,tion will alter ln any way the llabillty allocaiion prorided by ttis License.
lf at any Ume Ucensee shall, in the sole fudgment of Licensor, fall to properly perform lts obllgathns
under this Scc{ion l'1, Licensor may, al ib option and at Lbeneee'g sole o<pense, ananga for ttre
perfomance of such uork as it &eme necessary for tre safsty of lta operations and actM$as,
Llcensea shall pmmpUy relmburse Licensor for all costs and expenses of such work, pursuant &
the terms of Srcflon 8. Licensor's fallure b perform any obllgations of Lhene€e ahall not alter the
llabll lty allocation hereunder.
11.8 Ucensee shall, at its Eole mst and expense, comtnrct and al all times malntain the Ebcfic Supply
Line in aocordane with tha l',tational ElEctic Safety Code.
11.9 lf the operatbn or maintenance of lhe Eledric Supply LinE al any ffme causes interbrence,
inc{udlrp but not llmited to physical interference fmm electromagneth induction, electrcstalic
lnduciion, orfom stray or olher cunEnts, witt the facilities of Ucensor or of any less€a or licansee
d Licgnsar, or ln any maruter ir*erfere wilh the operation, rnaintenance, or usg by Licenoor of lb
right-of-rray, hacks, slructrrcs, pole lineo, slgnal and communhaton llnes, radio, or other
equipment devkxs, other pmperty or appurtenancee thereb, Llceneee egroes immedialely to
make sudr changes in tha Electrio Supply Une and fumish srrch protec.tive devies andlor
raplacement equipmant to Li,censor and its leseees or li:ensees as ehall be neessary, in lhe
Judgmenl of Licensor's representative, to eliminab suoh lnErfercnce. The cost of such prutectlve
d€vbee and theh inEtallations shall be bome solaly by Lbensee. lf any of he interferenm coyerd
by thls Sectlon ll.9 shall be, in the judgment d Lipneor, of such importance to the safety of
Lk:ensofe operations as to raquire imnpdHe cotucfive action, Llcaneee, upon notice fom
Licensor, shall either, at Llceneods electirn, oease ualng the Eleelric Supply Lins fur eny purpose
whahoever and rernove same, or reduce the rohage or had on the Electrlc Supply Line, or take
euch oth6r lnledm protsctlve meaeures as Ucensor may deem advlsable, untll the protec{ive
devlces and/or rcplacemanl equlprneril requircd by thls Sac.tion {1.9 have been installed, put in
oporatlon, tgsted, and found to be satisfadoryb conectthe lntqrfercnca.
fi "1A License€ shell, at itb sole coot and expengo, remo\re all combustibla materblfrorn around nnsden
poles oo $e Fremises, lf any, and wlll at all timee keep he speca around zuc*r poles ftee of srlgh
materlal, and if rernoval of euch combustlblo material shall not be aftendEd to wlth llfieon (15) days
der having been mquestod by Uceneor to do so, Ucensor shall have the rlght itrself b perform the
work and Licensse heteby agre€s b ralmburcs Uoenaor for tlre expsnse so inqrred.
Borinq anq Exca\.allon.
'l'2.1 Prior to Llcans€e eondudlng any boring, excavation, or similar r,vurk on or about any porlion of the
Pnerfliass, Licensee shall explore the poposed location for such trvork with hand tools to a desh of
at least tnee (3) feei bdorr tha surf;aoe of lhe ground to determine whEthar pipellnee or other
slructures exist belov the eurfiace, p&!&j(l, horrvernr. that in lieu d the foregoing, Licensee shall
have the right b use sultraHe dEtedion equpment or o&er generally accoptpd industry pradiee
(e.9., consultirg wlth lhe Underyrourd Ssrvbes Association) to datermino the exlstonce sr location
Form 421: Rcy.2014(}8tll
Tmcklrg #1564,281
of pipelines and other subsurface strtJotures prhr to drilling or excavafing with mechenizsd
oqulpm€nt. Lkxnseo may request informalion from Licensor concernlng the existence and
approxlmab bcation of Llcersols undergrcund lines, utilitios, antl pipelines at or near ttre viclnlty
of the poposed Elecbic Supply Lire by contacthg Licenaofs Teleeommunications Helpdeok at
least thirly (30) businoss dayt pnor to inetallation of the Electic Supdy Llne. Upon recetulng
Llceneee's timely r?quest. Llcensor will provlde Lbemee with the intormation Liceneor ha in lts
posseeslon regardlng any exieting undengrpund lines, utilties, and pipelines at or near the vlcinity
of the propoaed Electrlc $upply Line and, I applicable, identily ths lo@tion of srrctr llnes on the
Prernises pursuant b Ucensor's standard prcceduro. Licensor doc mt wanant tha accuracy or
offiiplstaness of lrformation rclatirp to subsurf;ace condilons of fte PrBmises and Liens€e's
operations will bo subjec{ at all times to ttre l'nbility prwisions herein.
12.2 For all bores greater lhan 2&inch diameW and at a depth less than 10.0 feet below bottom of rall,
a soil invastigation musi ba performed by Llccnsee and rwiawad by Lioeneor prior to construc{ion.
Thls rtudy is to dEtermine if granular matedal io prcoant, and to p"vent subsldencs during the
installation prceess. lf the intestlgatbn dEtermlnes in Ucenao/s rcaeomble opinlon that granular
rnaterbl is pres€nt, Licensor may mled a new location br Lhene€a's us/e, or may require Lbensse
to fumlsh ior Lienso/s rwiew and approval, in Licenso/e sole rllscretion, a ramedid plan lo deal
wlth ihe granula materid. Once Ucsrnor has approved any sucfi remedhl phn ln *riting,
Uoemee shall, at Llcensee's sole cosl and expense, carry out the approved plan in aocordance
wih all&rms thereof and haresf.
12.9 Any open hole, boring, or $Ell, oonstrucbd on the Promises by Licanse shall be safely mrrered
and eecured at all tima when Llcenseo is not working ln the actual vhlnity ftereof. Fdlowlng
comdetion of that por0on of the urork, all hds or buings consfitded on lhe Premlsas by Lloensee
eha[ bs:
12.3.1 fllled in to surrourdlng ground lstrel with ompacted bontonltg grout; or
12,3,2 otherutise securcd or retired in accordance with any applkrble Leg€l Roqulr€mafit. tlo
excava(ed matadals may rernain on Llcensor's proporty for mora than tan (10) days, but
must be properly diapood of by Licensee In acoordance wlth applicable Legal
Rqulremente.
LIAEILITY AND INSURAIIICE
13. Liabilitvardlndemniflcatbn.
13.1 For purposes of thie License: (a) "lndemnitaae" means Licensor and Llcansods afiillded
compani€s, partners, st ocggsonl, assigns, legd representatiws, o,fficers, dirac{ors, shsrehold€rs,
employo€& and agents; (b) f-iabllltleto means all chims, liablliti*, finee, penalties, co6tE,
damags, loss*, liena, caug€g sf aclion, suits, demande, Judgmants, and expens€e (ineluding,
lrrlthotrt limitatbn, ootttt cogta, raeonable etbmgla'feea, costs of lnvestigation, lemovat and
rcmediatbn, and gorremmentrl oversight oostB) grwironmental or oherwise; and (c) 'Llcurrc
Parllecn maans Lloenseo or Ucenses'B orfricsrs, agents, invlteee, lbercees, employees, or
contldors, or any party dlrea*ty or lndlrdy emplolred by any of them, or any perty they conhol or
Exeiclse oontrol or/er.
13.2 TO Tl{E FULI-EsT ETTENT FERililTTED BV LAW, UCEI{SEE $}rALl* Al{D SHALL gAUSE
ITS COIIITRAGTOR TO, RELEA,$E, lilDElll{lFY, DEFEIIID AHD HOLD HARITLESS
IilDEilillTEEs FOR, FRO]', ATiID AGAIiIST AiIY AHD ALL LIAB|uNES OF A}.IY XATURE,
Fonr .lilt; Rsv. 20{/t0801
Tncldng #15.54261
K!ND, OR DESCRrpTlOlr DTRECTLY OR TNDIRECTLY ARISIHG Ol,rT OF, RESULTTNG FROttt,
oR RELATEDTO (rll tVl{OLE OR l}I PART}:
13.2.1 THIS LICENSE, INCLUDII\IG, IffITHOUT LIMTTATION, IT$ ET{VIRONTIIENTAL
PROVIStOHS,
{3.2.2 ANY RIGHTS OR INTERESTS GRANTED PURSUANTTO THIS LICEilSE
13.2.3 LICENSEES OCCUPATION AilD USE OF THE PREHISES,
13,2,4 THE EI{V'RONIIIEI{TAL CONDITPI{ AIIID STATUS OF THE PREMIEES CAUSED BY
OR CONTRIBUTED TO BY LICEI{SEE, OR
13.2.5 ANY ACT OR Ollll$SlOil OF AIIIV LICEN8EE FARTY.
13.3 TO THE FULLEST EI(TE'{T PERIIIfTED BY LAW, LrcENSEE HOW AI{D FOREVER WAIVES AiIY
AI{D ALL CLAIT|S THAT BY VIRTUE OF Er{TERlt{G lt{TO THIS UCEI{SE, LICEITISOR lS A
GE{ERATOR, OUrr{ER, OPERATOR, ARRA}IGER, OR TRANSPORTER FOR THE PURPOSES OF
THE COMPREHET{S]VE ENUNONTENTAL RESPONSE, COIIiPEHSANON, AITD LI,ABIUW ACT, A3
AilEHDED {*CERCLA"I OR OTHER ENVIROHIilENTAL LAWS {DEFNED BELOW}. UCEXSEE WLL
INDEHNIFY, DEFEI{D, AND HOLD THE ITTIDEHN'TEES HARiiLESS FROH ATTIY AIiID ALL SUCH
CLAMS. ]'IOTHIT{C IN T}IIS LICETTISE 18 ITIEA}.IT BY EITHER PARTY TO COI'ISTTTUTE A WAIVER OF
ANY IT{DEMil|TEB8 COITUO}I CARR,ER DEFEITISES AND THIS LICEI{SE SHOULD liIO'T BE $O
COIIISTRUED. IF AilY AGENCY OR COURT GOI{8TRUE3 THI$ LICEil$E TO BE A WATVER OF ATTIY
IHDE]SNITEE'S GOTMOII CARRIER DEFENSES, UCET{SEE AGREES TO IHDETUNIFY, HOLD
HAR}ILES3, AND DEFEI{D INDEMI{ITEES FOR /TT{Y LIABILITIEE REI-ITED TO THAT
COilSTRUCTION OF THIS LlCEItlgE lN t{O EltEIuT AS BETWEEI{ UCEilSOR At{D LlCEltlSEE AS
TO UsE OF THE PBEIj|ISES A8 GO}ITEIIIPL TED BY THF UCENSE 6HAIL LICE}TSOR BE
RESPONSIBLE TO LICEI{sEE FOR THE EHVNOilHE}ITAL GOT{DITION OF THE PREHIsE8.
13,4 IF AI{Y EI,PLOYEE OF AHY UCEITISEE PARTY AS$ERTS THAT HE OR 8HE IS A'tI
EilPLOYEE OF ANY INDEIiI{ITEE, TO THE FULLEST EXTEIIIT PERH]TTED BY I..,.AW,
LICEH$EE SllALL, At{D SHALL CAUSE tr$ COi|TRASTOR TO, RELEASE, INDEilH|FY,
DEFEXD, At{D HOLD THE I},DEI$NITEES HARITLE$S FROiI At{D AcAlHgT AtrlY
LlABltmES ARIS|HG OUT OF OR RELATED TO {ril W}|OLE OR ttit pAnn AI{y $UCH
ASSERTION I}ICLUDING, EUT NgT Lffi;TED TO, ASSERTIOiI$ OF EHPTJOYHENT BY Ail
Ii{DEiINITEE RELATED TO Tl{E FOLLOWII{G OR Al{Y PROGEEDIIIIGS THEREUI{DER: THE
FEDERAL EMPTOYERS'LIABIUTY A6f, TTIE SAFETYAPPLIANCE ACT, THE LOGOT$OTTVE
INSPECIIOil ACT, THE OCCUPEirPNAL SAFETY AilD HEALTH ACT, THE RESOUBCE
GOITISERVATION A$lD RECOVERYACT, AND AIIIV SIiilILARSTATEORFEDERALSTATUTE.
13.5 TI{E FOREGOII{G OBUGATIOHS OF LICENSEE $HALL XOT APPLY TO THE E'CTEilT LIABILITIES
ARE PROXIMATELY CAU$ED BY THE GROSS HEGLIGENCE OR WILLFUL TIIITTCONDUCT OF AITIY
ITIIDEHilITEE, BUT SHALL APPLY TO ALL OTHER LIABIUTIE$ fiCLT,DIHG THO$E ARIBIi{G FROM
OR ATTRIBUTED TO AI'IY OTHER ALLEGED OR AETUAL I{EGUGENCE, I]{TENTIOI{AI ACTS, OR
STRICT LIABILITY OF ET{Y II{trEI'I{ITEE.
13.6 Upon wrlhen notiee from Licensor, Licensm agro€s to aseume the defense of any laurutt or olher
proceedirp brought againsl any lndemnitee by any entity, relating to sny matter oovgrsd by this
Lbsnse for which Llcensaa haa an oblilption to assume lhbilityfor andlor save and hold harmless
any lrdsmr$tee. Licensee shall pay dl cosls and expensee incident b guch dsfanse, lncluding, but
*8-Forn 421: Rst.20140801
13.
Trackirg #15-542S1
not limitd lq reasonaHe atbrneys'fees, investigators' feas, lltigatlon and appeal expeftiesr
setffement paymenB, and amounh paid in satisfaotion of Judgmenb.
Parsonal Prooerty Risk of Loss. ALL PERSONAL PROPERTY, tNGLUBIilG, BUT HOT LHffiD TO,
H)ffURES, EQUIPTE}TT, OR RELATED iIATERIALIT UFOI{ THE PRE]frISES U'ILL EE AT THE RISK
OF LICEilSEE ONLY, AtrlD HO lilDEMillrEE W|LL BE LIABLE FOR ANY DAlllAcE THERETO OR
THEFT THEREOF, i'TIHETIIER OR NOT DUE IN WHOLE OR Iil PART TO THE HEGUOEilCE OF ANY
11{DEmilmE.
lnsurance. Liersee shall, at its sole oost and Expense. procur€ and maintiain durlng the life of thls Lioense
the followlng tnsuence coverage:
15.1 Commerdal General Llabilltv lnsurance. This insurance shall contain boad form oontr*tual
liabilily with a cornbined single llmlt of a mlnlmum of $2,0(m,000 ecft occurrence ard an aggregab
limlt of al leagt $4,000,000 but in no event less than the arnount otherwke canied by Licensee.
Coverage must ba purchased on a post 2m4 lSO {rccurenco or quivalent and include covemge
for, but not limitad to, the folloring:r Bodlly lniury and Proporty Damagei Personal lniury arxd Adwrtislng Injury
' Fire legalliability
' Products ard compHed operatone
This pollcy shall also contaln the folbwing endorsernenb or langu4e, wtrlch shall be indlcstsd on
the cartiliate of lnsuranco:I The deflnltion of insured confact shall be amerded to remove any excluslon or other lirnilation
for any rork belng done within 50 feet of railrcad property.. Waiver of subrogathn ln favor of and acceptable to Llmnsor.. Addltlonal lneumd endorsernent in favor of and ampttable to Licensor and Jones Lang LaSalle
Bmkarage,lnc,. Separatlcn of ineureds.
The policy shall be pnmary and nonontrfluting wlth negpact to any insunnoe canhd by
Lloensor.
It is agrced that the rrurkero' cornpenBallon and employars' liabillty related exclusions in the
Commerclal General Lhblity lnsurance polic(s) required harcin arc intended to apply to
ampbpm of the pollcy holder and shall nol apply b Lknsofs emfioycee.
No otherendosaments limltlng coverage maybe indudd on the policy.
16,2 Business Aubmobile lngurance. This insurancs ehall contain a comHned slng{e limit of at least
$1,000,000 per occunarrce, and irxdude cor€rage for, but not lirnlbd to the following:. Bodily injuryand propedydamage.. Any and all vehit:les oulned, used or hired.
Thb policy shall also mntain the following endorsements, wtrich shell bo indieated on thg cartiflcate
of insumnco:
. Waiver of subrcgntiron in favw of an<l aceptable to Llcensor.. Addlsonal lnsured endorsemeflt in favr of and amptable to Llcansor.. Soper?tion of lnsufds.
-7-Form,l21; Rcv. 20'la080l
Trackhg #15-41261
. The polhy shall be pimary and non*onsibuling with respect to any inEurance cenird by
Lhensor.
15.3 Workers' Comoensatlon and Emdovers' Lhbilitv lnsurane. Thls iruurance shall include coverage
for, but not llrnited to:. Licensee's statutory liability under the wsrkers'compensation laue of the shte(s) in which tte
sarvim are to ba performed. lf optlornl under stsle laue, thE insurarre musl covsr all
amSoyees anywaY.
" EmpLe!,ers' Liability (Part B) with llmlts of at lea$ $500,000 each accilent, $500,000 by
disease polirry lim[, S500,000 by dbease eadt employree.
Thls pollry shall also contain tho follorvlng endoreemsnts or language, wtrich shall be lndicated on
the certfiete of insurance:
' Waivsr of subrogation in farmr of and acceptaHe to Llcensor.
15.4 Rallroad Pmtec'tiva Liabilitv lnsurance. This insurance shall narne only Licensor as the lnsured
with mveragE of at laast $2,000,0(X) per occursnca and $6,000,000 in the a{lgr6gata. The
coverry€ obtainad under thls policy shall only be sffecti'rc during the Inltlal inslrallation and/a
construction of rh€ Boctric Snpply Llne. THE COilSTRUCTION OF THE ELECTRIG SUPPLY
LIHE SHALL BE COIIPLETEO MTHIN OilE (l) YEAR OF THE EFFECTIVE DATE. F further
maintenane of $e Eleotrlc Supply Une b n€eded at a leter date, an additional Railroad Protec{iw
Liabillty lnsurance Pollcy shall be required. The policy shall be lssued on a standard ISO form CG
00 35 12 03 and include the following:
' Endorsed to indude ihs Pollution Exdusion Arnendment.. Endonsed to include the Umited Seepage and Pollution Endorsement.. Endorced to lnduda Eracuation Expense Coverage Endorsament.
' No other endorsemEnb resbicting co/€regg may be addsd.. The orlglnal policy must be provided to Li{Bnsor prior to performing any work or servicas under
this Lioense.. Definltlon of 'l,hyeical Damage to Propertf shall be erdorsed to rsad: *means dlt€et and
accidenhl loss of or damage to all property orned by any named lneured and all poperty in
any nam6d insurcd's car€, cusbdy and confol ariaing oul of tho ac{s or omi$bns of the
contracbr named on tha Dmlanations.'
ln lieu d provilW a Raikoad Protective Lbbil@ PaW, for a period of one (1) par frorn the
Efiecliw Date, Lbensee may partidpato in Licanso/s Elanket Railroad Prdeetive Liability
Irxuranr,e Policy availaHe to Lioen$ee or lE oontractor. The limits cf covsrage ar€ the sam6 ffi
above. The coat is 34,fi1.00.
n ldoct to partldpate in Ucensor's Blanket Policy;
il lalmt not !o partidpate in Lhansor"e Blankot Poliey.
15.5 Ofisr Reauifempnb:
15.5.1 Where allorable by law, all polbies (applyrns to coverage listed above) shall contaln no
excluslon for punitive damages.
15.5.2 Lbensea agrses to walve ib rigtrt of recovery against Liensor for all daime and suits
4ralnsl Lloensor. ln addiilon, Llcensee's irsurers, through the terms of the policy or a
policy erdorsament, must waive their dght of subrogation against Licaneor fur all daims
.8-Fqn421t Rcv.20140801
Tt.s]ckirg#1$542O1
and suits, and the oertificate of insurancs must reflect the $lalver of subrogaUon
endorsement. Licsns€€ further uairres its right of recovery, and its insurers must also
walve thelr rlght of srSrogntion against Licensor for loss of Licensee's srned or lasd
property, or proparly under Licensee's care, cusbdy, or control.
15.5.3 Liensee ls not allowed to self{nsura wlthout the prior written consent of Lioensc. lf
granted by Licensor, any self-irsurcd retentlon or other financial responsibflity for daims
shall be covered dilectly by Llceneee in lieu of insurance. Any and all Liceneor llabilifies
that utorld othenrtise, in acmrdance wtth the provkions of his Llcense, be covered by
Liensee's insurance will be cwtred as if Licensee elecled not to inchde a seJf-insured
retention or olhry fi nancial responslblllty for claims.
15.5.4 Prlor b entering tha Pramises, Licensee shall furnbh to Licensor an arcptable
certificEto(s) of insurance including an original signafurd of tha aulhodzed repr$entatlve
evidencing the requlrcd coverage, endonements, and amendments. Llcensee shall
notlfy Llcensor in urlting at least 30 days prior to any canmllation, non-Jsnenilal,
substi&rtion, or material atteration. ln the event cf a daim or hvusuit involving Licensor
arislng out sf this Uoenae, Lhensee will mako avallable any required polhy cowring
such chim or latreui{.
15.5.5 Any insurance poltcy slell be wrfiten by a reputable insurance company acceptab{e to
Lkrneor or wlth a currenl Besfs Guide Rating of A- ard Clms Vll or better, and
authorizod to do buslness in lhe state(s) in which the service is to be prwidd.
15.5.6 lf mverage is purciased on a 'claims made' basig, Licensae tereby agrees to rnaintain
coverage in forcs for a mhlmum of firee years after expiratlon or tarmination of thls
Lioense. Anrudly, Llcense€ agrees to povide evldance of suc*r coverags a requked
hereunder,
15.5.7 Licenree r€prosents that thls Licenae has b6en thormghly reviewed by Licensee's
insuranse agen(s[broke(s), wtto hava been instruded by Licensee to procure the
lnsurance covorage required by this Llcense. Allocated Loss Expenea ehall bs in
addlton to all polby limib for ooverages refarenced above.
15.5.8 l.lot more frequently than once every five years, Licensor rnay reasonebly modlff he
required hsuranca oo\rsrage to refieot thenq.rnent risk management pradices in the
railroad industy and underwriting prdies in the in$urenoe industry.
15.5.9 lf any portion of the operation is to be subcontracted by Llcensee, Ucensee shall require
that the subcontraaor shall provide and maintain insurance covorees as set forth
herein, namirg Lic.eneor m an additional insured, and ehall mquira that the suboontrastor
slmll release, d*nd and indernnlff Licenaor b the same extent and undEr the same
terms and condltions m Lioensee is requlred to nEhass, defend and lndemniff Licensor
hereln.
15.5.10 Failum to provide evldence as Fqulred by this $eotlon t5 shall entitle, but not require,
LicensCIr to tgrminate this License immediately. Accaptanca of a oertificale that dom not
comply with lhls Sedion shall not operate as a t*ahaer of Liensee's obligalions
hersunder.
-9-Form 421: Rsv. 2014080t
Trae*ing #1S54261
15.5.11 The fac-t that insurance (lncluding, without limitation, self-insurance) is obtained by
Lloens$ shall not bE desmed to relea$e or diminhh the liaHlity sf Uc6nsee, induding,
without limitation, lhbility under lhe indemnity provisionr ol his License. Damages
recovereble by Licensor ehall not be limlted by th6 amount of the required lnsurance
cov€rags.
15-5.12 Thesa insuranca provisions are interded to be a separate and distinct obligation on the
parl of the Licensee. Thergfore, hesa provisions shall be enfurceable and Licrnsee
shall ba bound thereby regardleas of whether or not indemnity provisiors are determined
to be enforeeable.
15.5.13 For prrpoaea of &i$ $ection 15, Licengor ehall mean 'Burlington Norhem Santa Fe
LLC", 'BNSF Railvuay Companf and the subsidiarieg, sucffisoxs, asolgrs and afiiliateg
of each.
COMPLIANCE wlTH LAWs. REGUISTIONS. AND ENVIROIII}IENTAL ]UATTERS
t6. CompliarEe with l-aws, Rules. and Rqulations.
16.1 Licensee ehall observe ard comply with any and all lauc, s&tutes, regulations, ordlnances, orders,
covstanb, restidhns. or decisions of any court of competont jurlsdiction ("Legal Requlrenrentr')
relating to ihe construction, maintenanoe, and use of the Elegtrie Supply Line and the usa of the
Prembes.
162 Prior to entaring the Prcmiees, Lirxnsee shall ard shall cause ib contractor(s) to comfly wlth all of
Licensods applicable safiety rules and reguldions. Lloensee must ernure that each cf ih
employees, @ntractors, agente or inviteEg enlering upon fie Premisw oomphtes the safety
orbnhlion program at the Webslle "wuar,ElVSFoontact*.oonf (th€ tddy Orbnffiion') within
one yrgar prior to entering upon lhe Prembas. Additionally, Licansee muEt ensura ttral eactr and
errery emf,oyee of Licenss, hs conhacbrs, agenb and invltees possoss a cad cerlifying
mmpbtion of fte $afety Orientation ffir to aniaing upon the Prembes. Licensee must renew the
Safety Orientation annually.
16.3 Liceneoa eflall obtain on or before the date it s its ontactor entars the Prsrnises, any and all
addi[onal rights.of way, easemsnB, licenses and other 4reernents relating b the grant of righb
and intelesb in and/or eocst to $e Prernbes (collectivelp the'Rights") and surch ofier rights,
Iicanses, pennlte, authorizations, and approvals (lrrcludlng without llmihtion, any n€cesssry local,
stiato, &rd or flbal authorizations and erwirunmental pennits) that are nocesBary in order to
permlt Lioensee to corstruct mainbin, own and oporste the Ebctie Supply Line and otterulse to
perfrrn ih oblbations hsreunder In aooordance u4th the lerms and condltions hereof.
16.4 Llffineee shall efthsr require that lhe inltid e@d term d each such Righb be for a p€riod that
does not otpilt, in acordance with lb ordinary lerms, p&x to the lasl day ol the term of this
License or, if the lnltial statect lerm of any sucfi Rlght expires in accardane with its ordinary terms
on a dde eadhr than the last day of the term cf thls Llcense, Licansee shall, at ib oost, orerEise
any Fencwal rights thszunder, or otherwise acguire such extensions. addlfons Endlor
rcplacemenB as may be neoessary, In order lo cau8e the stated torm lhercof to be oontinued unul
a date that ls not ealler $an the het day d the term of thh Llcenae.
-10-Fclnl2l; Rev.20140801
Traeking*155/,261
16.5 Upon the expfuration or terrnination of any Rigtrt ttrat is ItecaEsery in oder for Llcensee to ofli1,
operate or use the Electric Supply Line in accordance with the terms and cordiUons of lhis Liense,
this LicensE theneby ahall automatlcally opire upon such explration or tarmination of &a Right.
17 Envlronmental,
17.1 Licaneee shall slictly comply with all federal, state and local envlronmental Legal ReguiremenE
and rqulatlons in tb use of lhe Prtmbes, irrcluding, but not limited to, the Reeouroe Conservation
and RmveryAE*, as amended (RCRA), tha Clean WaterAct, tha Oil Pollution Ad, the Hazardqis
Matedals Transportation Act, and CERCLA (collectlvdy refened to as the Snvironmrntal Lilr).
Licensee shall not mainbin a treatment, storage. trangfer or disposal faclllty, or undergmund
shrege tank, as deflned by Envircnmental Laws on the Pemises. Lhensee shall not ralease or
suffEr the releae of oil or hazardous substan@s, as delirpd by Environmental Laurs on or about
the Premises.
17.2 Liceneee mrretunb frrat it will no( lrandle or hansport Trazadous tlesteo or trazardoue
sub6liances", as *haardous wast€" and 'hazardous substancos" may now or in the future be
definsd by any fedaral, stat€. or local goranmsnbl agensy or body on the Premia*. Uensee
agra€s pgriodically to furnish Uconsor with proof, *aUsfa$ry lo Licensor that Lioensee is in
compliane vt ith $e provblons of this Sedlon I 7.2.
17.9 Lloenseo ahallgiw Lbneor lmmedialo notice to Ucenso/s Resource Operations Csntar al (800)
832-5452 of any knottn {il rdease of hazardoua substances on, ffom, or affiecting the Premises, (ii}
vlolatlon of Envlronmental Lauc, or (lll) lnspection or inquiry by gorernmantal authoritiee charged
with enforclrg Environrnental Laws wi6t rcspeet to Llenseeb uee dthe Prcmises. Ucensee shall
usa the baet efforle to promp$y reepond to any rdeaee on, from, or affec*ing lhe Premieos.
Licens€e also shall give Licensor immediate rptce of all measures undertaken on behalf of
Uoensee to inweligate, rgmedlate, respond to or otherwiss ctrB sncfi relase orviolation.
17.1 lf Li,censor has notioe from Lhansee or othenrvisa of a release or vidatlon of Environmer{al Laun
arislng in any way wlth rsspsct tro the Electric &Jpply Une whlc*r omrrred or may ocanr durlrg tha
term of tfrls Llcenee, Lbensor may rsquir€ Licensee, at Llaansae'e soh risk and oeense, to take
tlmely measurea to lnvestgEte, remedhte, respond to or othanrisa curc sueh releas€ or violation
affec{ng ths Prernisas or Llcensods right<f-way.
17.6 Llcansee shall prompty reptrt to Licensor ln writing any conditlons or aotivities upon the Premises
knorn tp Li:ensee which wte a rbk of ham lo p€rsons, propsly or tle environment and shall
take whabver action b neceusary tc prevent injury to pE BonE, property, or the envimnment arising
out of sucfr condilions or actvlliar; prwided, hoilavor, that Licenseeb reporting to Licansor shall
rpt rslle\r€ Lirrrsee of any obligalbn whaboever impoeed on it by thb Ltoense. Lhensee ehall
pfiompw rspond to Lkrnsols request br infomatirx regarding saH oonditions or mtivilies.
DIECLAIiIER OF WARRAI{TIES
18. No Vl/anantieo.
18.1 UcElrlSOR'E DUTIES AND UYARRANTIES ARE LHffED TO THO$E Ef,PRESSLY STATED N
THIS LICEHSE AND S}IAIL NOT IHCLUDE AHY IMPLIED DI.'TIES OR IMPUED
1IVARRANilES, NOYY OR lN THE FUTURE NO REPRESEITITAIOIIS OR WARRANTIE$ HAVE
BEEN MADE BY LICENSOR OTHER THA}I THOSE CONTAINED N TTIIS LICEI{SE.
LICENEEE TIEREBY SIAII'ES AilY AilD ALL IIIARRANTIES, EXPRESS OR ITPL'ED, ITIT}I
-11 *Form /Pl: Rev. 201'O801
Tracking #1Se1261
RESPECT TO THE PREHISES OR YIIHICH MAY EXIST BY OPERATION OF LAW OR IN
EQUITY, IHCLUDI}{G, WTHOUT LIlllTATlON, ANY IYARRAiTTY OF ltiERCHAlilTABlLlTY,
HABITABILITY OR FITNESS FOR A PARTICULAR PURPOSE.
18.2 LEEN$OR UAI(ES NO WARRANTY, REPRESENTATTOT{ OR COt{DrTtOt{ OF At{y K|ND,
EXPRESS OR r[rPLrED, COt{GERr{rilG (A} THE SCOPE OF Tr{E LICEI{SE OR OTHER
RTGHTS GRANTED HEREUNDER TO LTCEilgEE OR (Bl WHETHER OR NOT L|CE[{$EPS
coNsTRt cTtoi,t, IiAINTENAi{GE, oUYI{ERSH!P, UgE OR OPERAT|oN OF THE ELEGTRTC
SUPPLY LINE wlLL lrlOLATE OR IXFRINGE UPON THE RIGHTE, INTERESTS Al'lD ESTATES
OF THIRD PARTIES, IilCLUDIilG, I,UITI{OUT LMTTAT|OT.I, ANV LEASES, USE RIGHTS,
EA8EilENT8 AND LIEH$ OF AT{Y THIRD PARTY.
19. Dlsdaimer of Waranly for Quiet Eniovmant. LICEHSOR DOES NOT WARRANT ITS TffLE TO THE
PREM|$ES l{OR UNDEHTAI(E TO DEFEND LICETTISEE IH THE PEACEABLE POSSE$EIOH OR USE
THEREOF. NO COI,ENAIIT OF SUIET E}IJOYTJTENT Ig UADE
20. Eviction at Bilk_of L@nsee. ln case of the evistion sf Licensee by anlone ownlng, clalming tiile to, or
ctsiming any interest in he Premlses, or by the abandonment by Licensor of the Efieded rall conidor,
Licensor slull not be liable (l) b r€frrnd Licensee any compensalion paid hereunder, excepl for ihe prarata
part of any reanning charge paid ln adrnanco, or (ii) for any damage Licansee sushlns ln connection wlth
the evlction.
LIET{S AT{D TAXES
21. Lieng and Q.lEtrues. Licensee shall pmmptly pay and discharge any and all lierxs arbing out cf any
oonsfudion, alterathns or rcpairs done, suffEred or permitted b be done by Uenseg on PrernlE*.
Licsnsor is heraby authorized to poat any notices or take any other action upon or wlth resped to Premises
that is or may be permitted by lar to prevent the attiachment of any sucfi liens to Prcmlses; provided,
howevel that failure of Licensor to take any such actbn ehall not relleve Ucensee of any oblfation or
lhblltty urder this $cc*lan 21 or any other $edlon of thls Lloense.
22. Tarce. Lhenss€ shall pay when due any tiaxos, assessmefiE or olher chargos (collectively, Taxer')
leyled or easees€d by any gonmmental or quasi-gowrnmenbl body upon the Elaoffh $upply Llne or any
o$rer lmprorements constructed or lrstalled on the Prumi,ses by or for Lioensee (coHeclively, tha
'lmprovornonts') or any Tacaa levied or asscsod agairct Licensor or the Prsmlse that ara altrifutabh to
lhe lmpovements.
DEFAULT. TERIIiIi{ATIOH. A]{D SURRENDER
23. Default and Tenntnafion ln addition to and not in limltration of Llcenso/s right to lerminate for failurs to
govlde anldence of hsurance as rcquired pursuant to the terms of Socffon 15, tte follon{ng evenb are
also deemed b be evente of default pursuant to which Licensor has ttE rlght to terminate es s€,t hrth
below:
23J lf dEfault shall be rnade in any of Licensee's covsnants, agruernenb, or obligations aontalned in
this License and Lkrnseo {aib to cum said default wlthln thirty (30} dap after ryri&en notioe is
provided to Llcensee by Li,oensor, or ln case of any assignment or banEfer of thls Llcense in
violation of Sectlon 26 belot#, Ucensor may, al its optlon, terminate this License by servlng five {5)
dala' notice in writing upon Lkensee. Notwifrstandlng the foregoing, Licensor shgll have the right
b ierminate thie Lierrs Immedbtaly il Llcanse falle to prorlde evklenoe of lnsuranct * roquircd
ln Scc{on 15.
-12-Form'l2l; Rey. 20f 40801
24.
Tra*lng #1$,54261
23.2 Should Licensee rrt comply tully with the obligations of $ectlon 17 regarding the handling or
heneporting of hazardous wasta or haurdous material, notwtlhctanding anything contalned in any
other provlsion of this License, Lioensor may, at lts optlon, terminate this Lloense by serving fr,re (5)
da16'notioe of brmination upon Licansee.
23.3 Any uahrer by Llcensor of any defiault or defauhs shall not constitute a waiver of the right b
ierminate this License for any subsequent default or defaults, nor slpll any *uch waiver in any way
affecl Llcensods ability to enforce any Section of thia Llcenss. The remedy set forth ln thie Section
23 shall ba in addttlon b, and not ln llmhtion d, any ofier remedles that Llcensor mry luve at lau
or in aquity.
23.4 ln addition to and not in limitation of Licenso/s rights to terminab this Lloense forfaitlure to provide
widence of insurance or occur?Brrce sf defaulls as described abor6, thls Llense may be
terminatsd by elthor party, at any time, by sorving thirty (30) days' *ritian notlle of tsrminatbn
upon the other party. Such tormination shall not releaae Either party hEreto from any liability or
obllgatbn under the Llcense, whether d indemnity or olhemdse, resulting fiom any ac{s, omlsshns
or events happening prior to the date of termination or ther€aftor in case by the terms of the
Ucense it is provided that anything shall or may be done after tsrmination horeof.
Sunen{gr of the Premises.
24.1 On or before expiralion or termination sf thie License for any reaEon, Lhenss€ Stall, at lts sob cost
and expense:
24.'1.1 if so dirested by LicEnsor in uriting, remorrs tha lmprovemenB. the Electrlc Supply Line
and all appurtenances thereb, or, at tlp sole discrstion of Lkrnsor, approprhtely
demmmbsion the Elecfic SupplyLine with a method satisfactoryto Licansor;
24.1.2 report and rcstore any damage to tha ftami8es o,r Llcensofe othe property arising from,
grmving out of, or conneded with Lhansee's use of tha Premises;
24.1.3 rcmedy arry unsafe conditirt on the Premises created or 4pravabd by Liceneee; and
24.',.4 lmve the hemisas ln subotantiallythe condilion which exhted as of the Efiective Date,
24,2 Upon any elpiration or Hminalion d thls Lloense, If Limnsee falls to sunender tha Premlsee b
Llcensor or lf Licemsae fuils to corndete lts obllgatione under Scctlon 2iLl above (the
tstoretion Obllgetione'], Lilensee shall have a limited li:ense b enter upon the Premiees
solely b the extent neoessery for Licsnsee to complate the Restoraflon Obligetions, and all
llabllltles and obligalions of Licensee hereunde shall continue in efrsl until the Premlses are
eunendered and the Restoration Obligaiione are oomphted. Neither termination nor expimtion
shall r€l€ass Llosnsec ftom any llablllty or obllgatlon under ihie Licsnse, whethar of lndernnity or
otherwbe, resultlng fom any ads, omissions or evenB happening prior to lhe date of termination,
or, lf latar, the date when Licensee eunenders the Premiess and all of the Resbration Obligatbns
are completed.
24.3 lf Ucensee fails to complete the Reetomtlon Obllgallons wlthln thirty i30) dap afier the dato of
such tonnination of ils tenancy, then Licansor may, at its elec.t'pn, elther (i) ramove the Eledric
Supply Une ard the olher lmprovements or ofiervvlee restore the Premlses. *rd ln such event
Licensee shall, wlthln thlrty (30) dap dler receipt of blll therdor, relmburga Liensor for coet
incurred, {ii} upon rmitten notice to Licengee, take and hdd the Elechic $upply Line and the offier
- 13-
Frt,n121l Rciv.2011080{
Tracking #1ffi4261
lrnprovements and p€rsonal propsrty as its $ole proprty, withoui peymant or obligation to
Lioensee lherefor, or (lll) specifcally enforce Lioensee's obligntion to restore and/or pursue any
remedy at law or ln equity against Licensee for failure to so ttstore. Further, lf Licensor has
consented to the Eledric Supply Llne and the other lmprorremonts remalnlng on the Prembes
following t€rminatlon, Lkxnsee shall, upon request by Llcensor, provide a bill of sale in a form
acceptable to Licensor conveying the Electic Supply Line and the ottpr lmprovements to Licensor.
i[!!rGEfLANEouS
25. Succossors ad Asshm. All ptovisions conteined ln thls Licanoo Ehall be binding upoo, inure to the benefit
of, and be anforceable by the respaclive suocessorc and asslgns of Lloensor and Llcenese to the same
extent as if each such successor and assign was named a party to this License.
28. Aesjonmont.
26.1 Uoensee rnay not sell, asslgn, transfer, or hypothecate this Licenss or any right, oHigation, or
intereet herein (eithar voluntarily or by operation of law, merger, or othenube) rvlthout the prior
written com€nt of Lioensor, yvhhh consant may not be unreasonably wilhheH or &ayed by
Licensor. Any atbmpfud assignment by Licensee in violation of this Ssctlon 26 shall be a breaoh
of thls Llcenss and, ln addition, ehall be voidaUa by Llcernor in ib sole and absolute dlscrgtlon.
X.2 For purposes of thls Scctlon 28, the uord "aseign'ehall include withoui limitatbn (a) any sale of
the equity int6r€68 of Llcensee follodng wfrich the equl$ lntereet holdars of Licensee lmmedhBty
prior to zuch sale own, dlreotly or Indircctly less than SAoh of the corfibinod voting potrer of the
ontstranding votlng equity lnbresb of Llcensee, (b) any sale of all or substantially all of the assats
of (il Licensee and (il) to thE er&nt zush entities exist, Li:ansael parent and subsidiarkx, taken as
a whole, or (c) any reorganization, recapltallzatlon, merger or corsolHafion involvlng Llcsndoe.
Notwilhstanding the foregoing, any raorganization, recapltalization, merger or consolldation
fiolloring wtrich the equity lntereet hoHers of Licenaee immediately prior to sucfr reorganizatlon,
recapltallza{on, merger or conEolidation orrn, dkectly or lndlredly, at least 50% of the comblned
voting poner of the outsbndlng wtlng equlty lnteresta of Lbensse or arry succ€sgor thsreb or the
entity resultlng hom suclr reorganization, racapltallzatlon, msrgpr or consolidation shall not be
deemed an ass$nrnent. THIS LICENSE SHALL NOT RUN WITH THE LAND WIIHOUT THE
$(PRESS WRITTEN CONSENT OF LICENSOR, SUCH CONSENT TO BE IN LICENSOR'8
SOLE DISCRENON.
263 Nqtwtttlstrrdlng lhe provlslons of Sec{lon 26.1 above or any{hing oontalned in thh Liense to the
contrary, if Lixnsee sells, asslgns, transfers, or hypotheoatas this Lbonso or any intorest hereln in
confavention of Ete provisions of tris Lbense {a 'Purported Acdgnrnent'} b another party (a
'Purpoltd Traneforee'), the Purportad Transfuree's enioyrnent of the rlghts and privileges
granted uMer thls Licsno€ ehall be deemed to be tha Puporbd Transferee'g agroemenl to be
bor.lnd by all of tha terrns and provisions st this Li:ensq includlng but rnt llmlted to tte obligation to
comply udth the pmvisions of Ssctbn 15 abotle conceming insurance requlmmonls. ln addition to
and not ln llrnltation of the foreplng, Lloenso€, for ihelf, lb sumsort and mslgns, shall
indemnify, defend and hold harmleas LicEnsor for all Linbililies of any nature, klnd or description of
any p€rson or entity directly or indirec.tly alslrg out of, rmulting firorn or r€latod to (ln ufide or in
part) a Purported A.ssignment.
X.4 The prwiskms of this Secdlon 26 sl'pll aurviva the explratlon or earlbr brmination ol this Lbrse.
- 14-
Form 421: RrM. 201,10801
27"
Tracklng #J5-54261
Noticeg. Any notiee, inwlce, or otfH |siting r€guirsd or pormlttod to be gllren hereunder by one party to
lhe other shall be in writing and the sarne shall be given and shall be deemed to have been senred and
glven if (l) placed in the United Etahs mall, cerffied, r€tum receipt rcquested, or (ii) depositEd into the
custody of a nationally recognized orrernlght delivery sen ice, addressad to th6 party to be notTied at the
address for such party spec{fied below, or to suctt other addrose as the party to be notfled may designata
by giving the other party no le$ than thmy (30) days' adrrance written notim of such change in addrEss.
lf to Lirxnsor:Jonee Lang LaSalle Brukerage, lnc.
4300 Amon Carter Blvd., Suite 100
FortWorth, TX 76155
Attn: Permlts/Lienses
BNSF Railway Cornpany
2flX Lou Menk Drive
G0B-3Yt,
FortWorh TX76131
Attn: Senior Manager Real Estab
Paciftcorp dba Rocky Mountain Power
1,[07 W. ],lorth Tsmple, Sutts '110
$alt Lake City, UT 84116
with a copyto:
llto Licensee:
Survival. Nelther terminal[on nor explation will rclmse efrher party from any liability or obllgation under
thls LicEnsa, wfiethar of lndemnlty or otherurise, resulling from arry acts, ombsions or ovants happenirg
prior to ttre date of termlnation or expiration, or, if later, the date when the Electic Sumly Line and the
ofter lmprovements are nemorcd and the Premisos are restoled to lts cordition as of lha Effective Date.
Recordation. lt is understood and agreed ihat flfs Lbense shall not be placed or allov*ed to be placed on
public reoord.
Apolbable Law. AII questlom concamirg the interprertation or applicatlon of pruvisbns of this Ucense shall
ba deckled according to ths substantive lalvs sf the State of Texas wihout regard to conf,icts of lar
provisions.
Severablitv. To the madmum extant possible, eacfi provlsion of thls Llcense slsll be interpeted in euctr
mann€r as to b€ afiec{lve and valkl under applicable law, but lf any prcvbion d ttis Uoense shall be
pmhibiled by, or hdd to be invalH under, applicaHa lavrr, $rh povision shall be inefiectlve soldy to the
e*ent oF sucfr prohibition or irnralUity, and ttis slull not lnvalldate the Bmainder of euch provision or any
ofrrar provision of thE Ucenss.
lnteora$on. This License ls the full ard complete agr€ement between Licensor and Lioensee wi&r rcspect
to all matters relatlng to Licenses's uee of ths Prcmisee, and supergodss any and all other agrrsernEntg
bet$€en the partis hercto relating to Licensee's use of the Premiem as desalbed lrersin. l.lovwver,
nothirg terein is intended to brminate any survlvlng oHlgation of Licensea or Lbsnsess obligathn to
deftnd and hdd Lhensor harmless in any pdor wrltten agreemant betuisen the partles.
Joint and Sareral Liabilitv. lf License conslsts of two or more parths, all the covenanls and agreemenb
of LioenB€a hareln contained shall bs the joint and several correnants ard agreernenls of such parties.
Walvar, The uralver by Licensor of the breaoh of any provision hercln by Llcenseo shall in no nray impair
fte right of Licensor to enfotw tfut provision for any aubeequent beach thseof.
28.
29.
30.
31.
32.
33.
u.
-16-Fom 421 I FlBv. 20140801
35.
Traoking #1$-54261
lntemreiation.
35.1 This Ueenee shall be interpreted in a neutral mannor, ard not more sfongly for or against any
party ba6sd upon the sourca of the draflsmanship; both parties hareby agree that thio Licerm shall
not b6 subject to the principb that a conkac* would be consbued agairst tha pafiy wtrich drafted
the same, Artide titee, headlngs to sec{ons and paregraphs and fte table of contente (lf any) are
inserted for convEnisnce sf referonco only and are not intended to be a part or to affect the
meanlng or intsrpratalion heraof, The exhlbit or sxhibiE relened to herein shall be construed with
and as an lntegral part of lhls License to the same ortent as if they were sel forth verbatim herein.
35.2 As ussd hareln, 'includeo. "includes' and 'includlng' are dmmed to be follawad by \yithout
limitatlon' whether or nol they are ln fact follotrr€d by such words or r,rords of like import; 'kriting",
\yritbn' and comparable larms efsr to printing, typing, llthography and oths means of
eproducing words in a vbible funn; references lo any person are deo to that p€reon'g st coogsolt
and permifted assbns; 'heref, 'hor€in', 'hareunder" and compraHe terms rufer to the entlrety
hereof and not lo any partiorlar article, gec-tion, or other Eubdivision hareof or atlachment hereto;
rsfsrenm io any gander include refelenoes to tlrc mascullne or lamlnlne as lhe conlext regulres;
references to the plural indude ths singular snd vb versa; and referenees to thls License or other
documents are a3 amended, modified or supplemented from time to time.
Counteroarts. This Llcense may be executed ln rnultlpla countsrparts, emh of wirich shall, for all purposes,
be deemed an original but whidt tog6&or shall onstitute one and the same instumenf and lhe signahrre
pages from any counterpart may be appanded to any other munterparl to assemble fully executed
documsnb, and aounterparh of thb Llcense may also be exchanged via email or elecbonlc fmimih
machlnes and any email or elacfonic faceimile of any party's signature shall bE daemed io be an original
signature for all purposes.
Licensor'a Reoresentative. Jones Lang La$alle Brokeraga, lnc. is acting as representative for BNSF
Railuray Company.
EHD OF PAGE. SIGITIATURE PAGE FOLLOWS
38.
37,
" 18-
Fom 421: Rev.2!14{1801
Tracking #1Set261
This Limnse has been duly exeo{ecl by tha pafies hersto ae d the dale bdow each partfs signafure; to
be efiEctlw, horre\rer, as dUte Effec,tive Date.
L!9ES!!PB:
BiISF RAILIiAY COilPAi{Y a Delauare corporaton
By: Jones Lang La$alle Bmkarage, Irc.,
4300 Amon Carter Blvd, Suite 100
Fort Wofih, ?( 76155
Bp
Title:
Date:
Ed Dartor
Senlor Vice Presldent - Natlonal Accounb
LICEN$EE:
PACIFICORP OBA ROCKY MOUHTAIN POUTER an Oregon corporation
By: I4OTW,ltlorthTemde
Sulb 110
sa't Lake city, uT 84116
By:
Tille:
Dats:
-17 -
Form 4Et; Rry.4n140801
COORDINATE SYSTEM: VVY EC TRACKTNG NO. 1$s426r
Fl.d.naG{q
t!IIJt
o.
E
DRAWING NO.65739