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ORDINANCE 1255ORDINANCE NO. 1255 AN ORDINANCE OF THE CITY OF EL SEGUNDO, CALIFORNIA, GRANTING TO SHELL PIPE LINE CORPORATION A FRANCHISE FOR A PERIOD NOT TO EXCEED TEN (10) YEARS TO OPERATE AND MAINTAIN TWO (2) PIPELINE SYSTEMS CONSISTING OF A SINGLE LINE OF PIPE SIX (6) INCHES AND A SINGLE LINE OF PIPE EIGHT (8) INCHES IN INTERNAL DIAMETER FOR THE PURPOSE OF TRANSPORTING PETROLEUM PRODUCTS WITHIN SAID CITY. WHEREAS, SHELL PIPE LINE CORPORATION ( "Shell "), filed an application with the City of E1 Segundo, California for a franchise to operate and maintain two (2) pipelines for the transportation of petroleum products; and WHEREAS, the City Council by Resolution No. 3967, adopted on the 2nd day of April 1996, declared its intention to grant said pipeline franchise to Shell and did set May 21, 1996 as the date of the public hearing thereon; and WHEREAS, the City Clerk did publish a notice of the Public Hearing as directed by the City Council; and WHEREAS, on the 21st day of May 1996, said Public Hearing was held and it was determined by the City Council to grant said pipeline franchise to Shell. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL SEGUNDO CALIFORNIA, DOES ORDAIN AS FOLLOWS: SECTION 1. The City hereby grants a non - exclusive Franchise to Shell to operate and maintain a single line of pipe of six (6) and single line of pipe eight (8) inches internal diameter for the transportation of petroleum products by means of executing the Franchise Agreement ( "Agreement" - Exhibit A). SECTION 2. The Mayor is hereby authorized to execute this ordinance, the Agreement and the attendant Grant of Subsurface Easement (Exhibit B) on behalf of the City. SECTION 3. The Franchise granted by this ordinance becomes effective after a duly authorized representative of Shell executes the agreement and delivers it to the City Clerk. Page 1 of 2 PWMAY- 21.ORD (Friday 5/3/96 9tOO and 1 2_55 SECTION 4. Upon Shell's delivery of the duly executed agreement to the City Clerk, the City Clerk shall cause the Grant of Subsurface Easement to be recorded in the Los Angeles County Recorder's office. SECTION 5. This ordinance shall become effective at midnight on the thirtieth (30) day from and after the final passage and adoption hereof. SECTION 6. The City Clerk shall certify to the passage and adoption of this ordinance; shall cause the same to be entered in the book of original ordinances of said City; shall make a note of the passage and adoption thereof in the records of the meeting at which the same is passed and adopted; and shall within 15 days after the passage or adoption thereof cause the same to be published or posted in accordance with the law. PASSED, APPROVED AND ADOPTED this 4th day of June 1996. ATTESTED: C1 y Mort n C y Cler ( eal) APPROVED AS TO FORM: ,:-� -I J-,D City Attorney X" �9� Sandra Jacobs ayor of the City o 1 Segundo, California Page 2 of 2 PwMAY -n.ORD (Friday 5/3/% 400" 14-55 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS CITY OF EL SEGUNDO 1 I, Cindy Mortesen, City Clerk of the City of El Segundo, California, DO HEREBY CERTIFY that the whole number of members of the City Council of the said City is five; that the foregoing ordinance, being ORDINANCE NO. 1255 is a full, true correct original of ORDINANCE NO. 1255 of the said City of El Segundo, California, entitled: AN ORDINANCE OF THE CITY OF EL SEGUNDO, CALIFORNIA, GRANTING TO SHELL PIPE LINE CORPORATION A FRANCHISE FOR A PERIOD NOT TO EXCEED TEN (10) YEARS TO OPERATE AND MAINTAIN TWO (2) PIPE=LINE SYSTEMS CONSISTING OF A SINGLE LINE OF PIPE SIX (6) INCHES AND A SINGLE LINE OF PIPE EIGHT (8) INCHES IN INTERNAL DIAMETER FOR THE PURPOSE OF TRANSPORTING PETROLEUM PRODUCTS WITHIN SAID CITY. which was duly passed and adopted by the said City Council, approved and signed by the Mayor of said City, and attested by the City Clerk of said City, all at a regular meeting of the said Council held on the 4TH DAY OF JUNE . 1996, and the same was so passed and adopted by the following vote: AYES: Mayor Jacobs, Councilwoman Friedkin and Councilman Gordon NOES: None ABSENT: Mayor ProTem Wernick and Councilman Weston ABSTAINED: None I do hereby further certify that pursuant to the provisions of Section 36933 of the Government Code of the State of California, that the foregoing ORDINANCE NO. 1255, was posted and /or published in the manner prescribed by law. A c o %IeKrkoft� City e City of El Segundo, California (SEAL) 14-55 AX2:139850.5 PIPELINE FRANCHISE AGREEMEN (COMMON CARRIER PIPELINES) This Agreement is made and entered into by and between the CITY OF EL SEGUNDO, California, a general law city ( "City ") and SHELL CALIFORNIA PIPELINE COMPANY, a California corporation ( "Grantee "), this 4th day of June 1996. WITNESSETH The parties hereto agree as follows: SECTION 1. NATURE OF FRANCHISE. City hereby grants a non- exclusive Franchise ( "this Franchise ") to Grantee for the term of ten (10) years from and after April 20, 1996 to lay and use pipelines not to exceed eight (8) inches in nominal internal diameter for transportation of oil, or products thereof, ( "the products ") in, under, along and across the public streets, highways and alleys (collectively "the Streets ") in City, particularly described in Exhibit "A" attached hereto and incorporated herein by this reference. Grantee shall provide a minimum of thirty (30) days prior written notice to the City Fire Department of any changes to the type and nature of the oil, or products thereof, to be transported in the pipelines under this Franchise Agreement. This Franchise is hereby granted to Grantee and its lawful successors and assigns subject to the terms hereof. This Franchise shall include the right, for the period and subject to such terms, to maintain, operate, repair and renew the pipeline system of Grantee already laid out and constructed in the Streets as previously authorized. SECTION 2. APPURTENANCES. Grantee shall have the right, subject to prior approval of the City Engineer, to construct and maintain such traps, manholes, conduits, valves, appliances, attachments and appurtenances (collectively "appurtenances ") as may be necessary or convenient for proper maintenance and operation of EXHIBIT " A " 1 L55 the pipelines. Appurtenances shall be kept flush with the surface of the Streets and located so as to conform to any requirement of the City Engineer in regard thereto and not to interfere with the use of the Streets. Grantee shall have the right, subject to such ordinances, rules or regulations as are now or may hereafter be enacted or in force, to make all necessary excavations in the Streets for construction and repair of the pipelines and appurtenances (collectively hereinafter "the Facilities ") subject to prior approval of the City Engineer and acquisition by Grantee of all necessary City permits. The City Engineer may impose reasonable conditions on the excavation work. SECTION 3. LOCATION OF THE FACILITIES. So far as is practicable, the Facilities shall be located along the edge or shoulder of the Streets or in parking areas adjacent thereto so as to not unreasonably disturb the flow of traffic, and where possible shall be laid in the unpaved portions of the Streets, if any. SECTION 4. CONSTRUCTION OF THE FACILITIES A. Terms of Construction The Facilities shall be installed, maintained and inspected by Grantee in a satisfactory, safe, and workmanlike manner, of good material, and in conformity with all ordinances, rules or regulations now or hereafter adopted or prescribed by the City Council or state or federal authorities. The Facilities shall conform to applicable standards for pipelines imposed by the California State Fire Marshal and any other applicable regulatory authority, including but not limited to those standards under the California Pipeline Safety Act of 1981 (Government Code $51010 et seq.). The Facilities shall have cathodic protection, and a description of all protective devices shall be furnished to the City Engineer which will show the locations and types of anodes, including a description of the methods used as protection against corrosion and electrolytic leakage. The Facilities shall be constructed in such a manner that sections thereof may be closed off and isolated from the flow of product. LAX2:139850.5 2 1 ��5 B. Restoration of the Streets The work of laying constructing, maintaining, operating, renewing, repairing, changing and moving any segments of the Facilities, and all other work in exercise of the rights under this Franchise, shall be conducted with the least practicable hindrance or interference to use of the Streets by the public or City, and Grantee shall provide all necessary warning, safety and traffic control devices as are or may be required by City, county, state or federal regulations. All excavations shall be back - filled and adequately compacted. The surface of the Streets shall,be placed in as good and serviceable condition as existed before commencement of the work and to the satisfaction of the City Engineer. Restoration of the Streets is to be completed in accordance with plans approved by City. If Grantee fails to restore the excavation to the satisfaction of the City Engineer, City or its agents may, at City's sole discretion, restore the excavation site to the satisfaction of the City Engineer. Grantee shall pay all costs associated with such restoration of the excavation site within thirty (30) days after receipt of City's itemized bill therefor. SECTION 5. COMMENCEMENT OF CONSTRUCTION AND PLANS. Grantee, in good faith, shall commence the work of laying the Facilities within six (6) months from the Effective Date of this Franchise, and if such construction is not so commenced within such time, this Franchise may be declared forfeited; provided, however, that if Grantee is maintaining and operating an existing pipeline system in the Streets, it shall be deemed to be in compliance with the foregoing. Grantee shall not commence construction of the Facilities or add to existing facilities comprising the Facilities, if any, until it first shall have obtained City approval of construction plans and specifications and all necessary permits from City. The plans shall contain a construction schedule detailing the time period during which certain portions of the Streets will be excavated and the dates upon which the Streets .AX2:139850.5 3 AM2139850.5 shall be restored to their original condition. i The permit application of Grantee shall also contain the following data: the length, approximate depth and proposed location of the Facilities proposed to be laid or constructed, the size and description of the pipe intended to be used, and such other data as the City Engineer may reasonably require. Grantee shall pay any and all reasonable inspection fees of City. Upon completion of the construction Grantee shall render a statement to City showing in detail the permits issued and the total length of the Facilities constructed under such permits. SECTION 6. DOCUMENTS TO BE FURNISHED A. Maps Within ninety (90) days following the execution of this Agreement, Grantee shall file with City a map or maps, in such form as may be required by the City Engineer, showing accurately the locations and sizes of all of the Facilities currently in place, and shall, upon installation of any additional facilities or upon removal, change or abandonment of all or any portion thereof, file with City a revised map or maps showing the locations and sizes of all such additional and /or abandoned facilities as of that date. B. Documents Submitted Concurrently with the submission to any other governmental agency of any report, document or writing (including but not limited to reports of incidents and inspections, safety reports, and permit applications or documents) concerning the Facilities, Grantee shall submit true, complete and correct copies thereof to the City Director of Public Works and City Fire Chief. C. Documents Received Within two (2) weeks of receiving any report, document or other writing from any other governmental agency (including but not limited to permits, approvals, notices of violations, actions, inspection reports and incident reports) concerning the Facilities, Grantee shall submit true, correct and complete copies thereof to the City Director of Public Works and City Fire Chief. 12-55 4 SECTION 1. COMPENSATION TO THE CITY A. Amount of Annual Franchise Fee As consideration for the granting of this Franchise, Grantee shall pay an annual Franchise Fee to City. The Franchise Fee shall be paid annually to City in lawful money of the United States within sixty (60) days after the end of each calendar year. Any neglect, omission or refusal of Grantee to pay the Franchise Fee or provide any information required under this Section at the time or in the manner reasonably required shall constitute grounds for declaration of a forfeiture of this Franchise and 'all rights hereunder. Acceptance by City of any payment of the Franchise Fee shall not be construed as a release, waiver, acquiescence or accord and satisfaction of any claim City may have for further or additional sums payable under this Franchise or for the performance of any other obligation hereunder. B. Base Rate The base rate for the Franchise Fee shall be computed as follows: The length of the Facilities expressed in feet shall be multiplied by the applicable base rate, as adjusted pursuant to subparagraph C, in accordance with the following schedule as set forth in California Public Utilities Code §6231.5: Pipe Size (internal diameter in inches) Base rate per lineal foot 0 - 4 $0.088 6 0.132 8 0.176 10 0.220 12 0.264 14 0.308 16 0.352 18 0.396 20 0.440 22 0.484 24 0.528 26 0.572 28 0.616 30 0.660 lAX2:139850.5 5 1255 For pipelines with an internal diameter not listed above, the Franchise Fee shall be in the same proportion to the above - indicated "Base rate per lineal foot" of a 12- inch - diameter pipe as the diameter of the unlisted pipe is to 12 inches. The calculation of the Franchise Fee under this Subparagraph B shall be subject to recalculation if the fee provisions of California Public Utilities Code §6231.5 are amended. C. Computation of Payments Grantee shall be subject to the Franchise Fee for each calendar year from the Effective Date of this Franchise, to and including the date of either actual removal of the Facilities or the date on which a properly approved abandonment "in place" becomes effective as authorized by City, and until Grantee shall have fully complied with all provisions of this Franchise and all other applicable provisions of law or ordinance relative to such removal or abandonment. All such payments shall be made payable to City, and shall be supported by Grantee's verified statements concerning the computation of the amounts thereof. Provided, however, that the amount of each payment of the Franchise Fee shall be revised each calendar year as follows: (1) The amount of the payment shall be adjusted at the time payment is due by multiplying the aforesaid base rate by the Consumer Price Index, All Urban Consumers for the Los Angeles- Anaheim - Riverside Area as published by the United States Department of Labor, Office of Information, for the month of September immediately preceding the month in which payment is due and payable, and dividing by the Consumer Price Index for June 30, 1989 which is declared to be 100.0. Under no circumstances shall the multiplying factor be less than one. LA A39950.5 6 I t.5 5 (2) If the United States Department of Labor, Office of Information discontinues preparation or publication of the aforesaid Consumer Price Index for such Area, and if no translation table prepared by the Department of Labor is available so as to make those statistics which are then available applicable to the Index for June 30, 1989, City shall prescribe a rate of payment which shall, in its judgment, vary from the rates specified in this Section in approximate proportion as- commodity consumer prices then current vary from consumer prices current in December, 1988. on this point, the City's reasonable determination shall be final and conclusive. (3) If said office of Information shall revise said Index, the parties hereto shall accept the method of revision or conversion recommended by said office. C. Administrative Fee for Processing this Franchise In consideration for the granting of this Franchise, and to reimburse City for its administrative expenses in preparing and approving the documents for this Franchise, Grantee shall pay City Two Thousand, Five Hundred Dollars ($2,500.00) within thirty (30) days after the Effective Date of this Franchise. SECTION 8. EMERGENCY PREPAREDNESS A. Spill Prevention and Response Planning 1. At all times during the term of this Franchise, Grantee shall maintain : a. An oil spill prevention and response Plan consistent with and conforming to California Office of Oil Spill Prevention and Response Regulations (OSPR) at Title 14, Division 1, Subdivision 4, Chapter 2, Subchapter 3, § §815 -817 of the California Code; LAX2:139850.5 7 b. A Business Plan pursuant to Chapter 6.95 of the California Health and Safety Code; C. A Chemical Inventory pursuant to Chapter 6.95 of the California Health & Safety Code; d. Pipeline maps and diagrams, and a contingency Plan for pipeline emergencies pursuant to California Government Code §51015. 2. Grantee shall pay City all applicable fees for review and approval of each such Plan for which City holds prime jurisdiction. 3. Grantee shall also comply with any requirements for Plans imposed by any federal, state or local authority during the term of this Franchise. 4. Grantee shall offer to meet with the City Fire Chief or Fire Chief's designee not less often than once each calendar year to discuss and review Plans and response plans for pipeline emergencies. All emergency response work performed by Grantee shall be performed in accordance with the applicable Plans and in cooperation with the City Fire Department. B. operational Requirements a. Grantee shall cause the Facilities to be secure against unauthorized entry and tampering. b. Remotely operable valves shall be provided which will be capable of shutting off flow of product. SECTION 9. OPERATIONS, MAINTENANCE AND REPAIR. Grantee shall operate, maintain and repair the Facilities in accordance with the California Pipeline Safety Act (Government Code § §51010- 51019), U.S. Department. of Transportation Hazardous Liquid Pipeline Regulations (49 C.F.R. Part A5) and any and all other applicable federal and state rules. Grantee shall immediately make all repairs to the Streets and City property made necessary by any of the 0A LAX2:139 5 r 8 145 operations of Grantee, upon approval of plans by the City Engineer, obtaining all necessary City permits. If Grantee fails to make said repairs to the Streets or City property, Grantee shall pay to City upon demand all costs which City incurs in making said repairs. SECTION 10. REARRANGEMENT OF FACILITIES A. Expense of Grantee 1. If any portion(s) of the Facilities shall, in the opinion of City, endanger the public in the use of the Streets or interfere with or obstruct the use of any street by the public or for public purpose, City shall have the right to require Grantee to move, alter or relocate such portion(s) to avoid such danger, interference or obstruction, in conformity with written notice from the City Engineer, at Grantee's sole expense. In such an event, City agrees to provide Grantee with a reasonable alternative location to relocate such portion(s) of the Facilities so as to provide an unbroken connection between the relocated portions and the portions that remain in place. 2. whenever, during the term of this Franchise, City, including any water, electric, gas or other utility system hereafter owned or operated by City, any community facilities or assessment district, or any other agency established by City in its ministerial capacity, shall change the grade, width, alignment or location of any street, way, alley or place, or improve any said street in any manner, including but not limited to the laying of any sewer, storm drain, conduits, gas, water or other pipes, pedestrian tunnels, subway, viaduct or other work of City (the right to do all of which is specifically reserved to City without any admission on its part that it would not otherwise have such rights), Grantee shall, at its own cost and expense, do any and all things to effect such change in position or location of any portion(s) of the Facilities in conformity with the written approval of the City Engineer, including but not limited to removal or relocation of any portion(s) of the Facilities, if and when made necessary by the determination of the City Engineer. LAM:139850.5 9 5 B. Expense of Others 1. City shall also have the right to require Grantee to rearrange any part of the Facilities for the accommodation of any private person, firm or corporation. When such rearrangement is done for the accommodation of any private person, firm or corporation, the cost of such rearrangement shall be borne by the accommodated party. Such accommodated party, in advance of such rearrangement, shall deposit with Grantee cash in an amount, as in the reasonable discretion of Grantee, shall be required to pay the costs of such rearrangement. - 2. The rearrangement referred to in subsection 1 of subparagraph B of this Section shall be accomplished in conformity with the written notice of the City Engineer and plans approved by the City Engineer. C. Rearrangement of Other Facilities. Nothing contained in this Franchise shall be construed to require City to move, alter or relocate any of its facilities upon any of the Streets, at its own expense, for the convenience, accommodation or necessity of any other public entity, person, firm or corporation now or hereafter owning a public utility system of any type or nature, or to move, alter or relocate any part of its system upon any of the Streets for the convenience, accommodation or necessity of Grantee. D. Notice. Grantee shall be given not less than ninety (90) days written notice of any rearrangement of any portion(s) of the Facilities which Grantee is required to make under this Section. Such notice shall furnish final, approved plans detailing the necessity for the rearrangement of such portion(s) of the Facilities, specify in reasonable detail the work to be done by Grantee, and shall specify the time that such work is to be accomplished. In the event that City shall change the provisions of any such notice given to Grantee, Grantee shall be given an additional, reasonable period of time to accomplish such work. lAX2:139850.5 10 � L.- I SECTION 11. REMOVAL OR ABANDONMENT OF FACILITIES. At the time of non - renewal, revocation or termination of this Franchise or the permanent discontinuance of use of the Facilities or any portion thereof, Grantee shall, within thirty (30) days thereafter, make a written application to the City Engineer to either: (1) abandon all, or a portion, of the Facilities in place, or (2) remove all, or a portion of the Facilities as the City Engineer, in his or her reasonable discretion, shall consider to be appropriate. Such application shall include a closure plan, which shall demonstrate to the satisfaction of the City Engineer and City's Fire Chief that any regulated materials which have been stored or transported in the Facilities or such portions(s) thereof have been or will be transported, disposed of or reused in a manner consistent with public health and safety, and shall describe the portion(s) of the Facilities desired to be abandoned by reference to the map or maps required by Section 6 hereof and shall also describe with reasonable accuracy the relative physical condition of such portion(s) of the Facilities. Thereupon, the City Engineer and the Fire Chief shall determine whether any proposed abandonment or removal may be effected without detriment to the public interest or under what conditions such proposed abandonment or removal may be safely effected and shall notify Grantee, according to such requirements as shall be specified in the City Engineer's and the Fire Chief's order to either: 1. Remove all or a portion of the Facilities, or 2. Abandon in place all or a portion of the Facilities, subject to reasonable conditions imposed by the City Engineer, Fire Chief and the City Attorney to protect public health, safety and welfare, and to protect City against future liability. If any portion(s) of the Facilities to be abandoned in place subject to the prescribed conditions shall not be abandoned in accordance with all such conditions, the City Engineer may make additional appropriate orders, including, as the City Engineer • {, I.AX2:139850.5 I L � r••.� .r deems desirable, an order that Grantee shall remove all such portion(s) of the Facilities in accordance with applicable requirements. If any portion(s) or all of the Facilities are abandoned, all right, title and interest in those abandoned shall remain with Grantee, and City shall not acquire any possessory, equitable or other interest therein. SECTION 12. COMPLETION OF WORK. In the event that Grantee fails to commence any work or act and diligently proceed therewith, or to complete any such act or work required of Grantee by the terms of this Franchise within the time limits required hereby, City may cause such act or work to be completed by City or, at the election of City, by a private contractor. Grantee agrees to pay City within thirty (30) days after delivery of an itemized bill the cost of performing such act or work plus an amount equal to fifteen percent (15 %) thereof for overhead. If Grantee is dissatisfied with any decision made by the City Engineer hereunder or the determination of the cost of any work performed by City pursuant to this Franchise, it may petition the City Council to review the same within ten (10) days after such decision or determination is communicated to Grantee. The decision of the City Council shall be final and conclusive. SECTION 13. BOND. Grantee shall, within thirty (30) days of the Effective Date of this Franchise, file with the City Clerk, and yearly thereafter maintain in full force and effect, a bond in favor of City in the penal sum of Five Hundred Thousand Dollars ($500,000.00) with a surety to be approved by the City Finance Director, conditioned that Grantee shall truly observe, fulfill and perform each and every term and condition of this Franchise, and in the case of a breach of a condition of this Franchise and Grantee's refusal to remedy such breach, at the discretion of the City Council, the whole amount of the penal sum therein shall be paid to City in addition to any damages recoverable by City from the principal and sureties of the bond. If said bond is not so filed, the award of this Franchise will be set aside and any money paid by Grantee hereunder will be forfeited. L4X2:139850.5 12 G.d Whenever a bond is taken and deemed to be liquidated damages for any breach of a term or condition of this Franchise not remedied by Grantee, Grantee must immediately file another bond of like amount and character, and if Grantee fails to do so within the time set by the City Council, the Council may, by resolution, declare this Franchise forfeited. Nothing herein shall insulate Grantee from liability in excess of the amount of said bond or shall be construed as a waiver by City of any remedy at law against Grantee for any breach of the terms and conditions of this Franchise, or for any damage, loss or injuries suffered by City in case of any damage, loss or injury suffered by any person, firm or corporation by reason of any work done or any activity conducted by Grantee in the exercise of this Franchise. SECTION 14. INSURANCE REQUIREMENTS. A. Liability Insurance. The Grantee shall, prior to the effective date of this Franchise, provide to the City a signed certification acknowledging the Grantee is self- insured for liability claims arising out of Grantee's use of this Franchise, in lieu of a policy or policies of general liability insurance, in the following amounts: comprehensive general liability insurance endorsed for contractual, broad form property damage and personal injury with a combined single limit of not less than $1,000,000.00 per occurrence; comprehensive auto liability endorsed for all owned and non -owned vehicles with a combined single limit of not less than $1,000,000.00 per occurrence; and hazardous materials and hazardous waste discharge coverage in an amount of not less than $1,000,000.00 per occurrence. B. Workers' Compensation Insurance. Prior to the Effective Date of this Franchise, Grantee shall file with City the following signed certification: "Grantee is aware of, and will comply with, Section 3700 of the Labor Code, requiring LAX2:139850.5 13 � `,! every employer to be insured against liability for workers' Compensation or to undertake self- insurance before commencing any of the work." Grantee shall also comply with Section 3800 of the Labor Code by securing, paying for and maintaining in full force and effect for the duration of the term of this Franchise, complete workers' Compensation Insurance as required by the State of California, or satisfactory evidence of self- insurance. C. Additional Insured. City and its respective elective and appointive officers, officials, employees and agents shall be named as additional insureds on the liability policies required under this Franchise. The coverage shall contain no special limitation on the scope of protection afforded to City, its officers, officials, employees and agents. For any claims related to this Franchise, Grantee's insurance coverage shall be primary insurance as respects City, its officers, officials, employees and agents. Any insurance or self- insurance maintained by City, its officers, officials, employees or agents shall be excess to Grantee's insurance and shall not contribute with it. D. Insurance Certificates. Prior to the Effective Date of this Franchise, Grantee shall file with City a certificate of insurance evidencing coverage in the amounts specified in this Section. Such certificate shall be subject to approval by City's risk manager. Such certificate shall bear an endorsement providing that the policy to which it relates shall not be terminated or materially altered except after thirty (30) days prior notice to City. E. Termination for Lack of Required Insurance Coverage. If Grantee for any reason fails to have in place at all times during the term of this Franchise all required insurance coverage, City may terminate this Franchise forthwith. LAY2:139850.5 I x.55 14 SECTION 15. INDEMNIFICATION BY GRANTEE. Grantee shall indemnify, defend, protect and hold harmless City, its elective and appointive boards, officials, officers, employees, agents, volunteers, assigns and any successor or successors to City's interest from and against any and all claims, demands, losses, defense costs, reasonable attorney fees, fines, penalties, expenses, causes of action and judgments at law or in equity, damages, losses or liability of any kind or nature, including but not limited to personal injury or death or property damage, arising out of Grantee's exercise of this Franchise or operation of the Facilities, regardless whether any act or omission is authorized, allowed or prohibited by this Franchise. Additionally, Grantee shall indemnify, defend and hold harmless City, its elective and appointive boards, officials, officers, employees, agents, volunteers, assigns and any successor or successors to City's interest from and against all claims, demands, losses, defense costs, reasonable attorney fees, fines, penalties, expenses, causes of action and judgments at law or in equity, damages, losses or liability of any kind or nature, including but not limited to personal injury or death or property damage, and other expenses of any nature including but not limited to all foreseeable and all unforeseeable consequential damages, and the cost of any required or necessary repair, cleanup or detoxification, or the preparation and implementation of any response, remedial, removal, closure or other required plans (regardless of whether undertaken due to government action) arising out of or attributable to the presence, use, generation, storage, transportation, release, or disposal of Hazardous Material arising out of Grantee's exercise of this Franchise or the operation of the Facilities, regardless of whether any act or omission is authorized, allowed or prohibited by this Franchise. As used in this Section, Hazardous Material means any substance, product, waste or other material of any nature whatsoever which is or becomes listed, regulated or addressed pursuant to: (1) the Comprehensive Environmental Response, Compensation and Liability IAX2:139850.5 15 _ t. J Act of 1980, 42 U.S.C. §9601, et seq. (CERCLA); the Hazardous r Materials Transportation Act, 49 U.S.C. 51801, et seq.; the Resource Conservation and Recovery Act, 42 U.S.C. §6901, et seq.; the Toxic Substances Control Act, 15 U.S.C. §2601, et seq.; the Clean Water Act, 33 U.S.C. §1251, et seq.; the California Hazardous Waste Control Act, Health and Safety Code §25100, et seq.; the California Hazardous Substance Account Act, Health and Safety Code §25330, et seq.; the California Safe Drinking Water and Toxic Enforcement Act, Health and Safety Code §25249.5, et seq.; California Health and Safety Code §25280, et seq. (Underground Storage of Hazardous Substances); the California Hazardous Waste Management Act, Health and Safety Code §25170.1, et seq.; California Health and Safety Code §25501, et seq. (Hazardous Materials Response Plans and Inventory); or the Porter - Cologne Water Quality Control Act, Water Code §13000, et seq., all as amended; or (2) any other federal, state or local law regulating, relating to, or imposing liability or standards of conduct concerning any hazardous, toxic or dangerous waste, substance or materials, as now is, or at any time hereafter may be, in effect; or (3) any rule or regulation adopted or promulgated under or pursuant to any of said laws. If Grantee receives any notice, whether oral or written, of any inquiry, test, investigation, enforcement proceeding, environmental audit or the like regarding any Hazardous Material relating to this Franchise or the Facilities, Grantee shall immediately notify City in writing of such notice. The liability of Grantee hereunder shall not be limited to the insurance provisions of this Franchise. The indemnification, legal defense and hold harmless provisions of this Section shall survive the expiration or termination of this Franchise or the abandonment of the Facilities authorized hereunder and shall relate back to all periods of time in which Grantee maintained pipelines in City pursuant to this Franchise or previous franchises. LAX2:139850.5 16 The provisions of this Section are intended to operate as an agreement pursuant to S107(e) of CERCLA, 42 U.S.C. §9607(e), and California Health and Safety Code §25364, to insure, protect, hold harmless and indemnify City from liability pursuant to such laws. SECTION 16. LIQUIDATED DAMAGES. A. City finds and Grantee agrees that as of the time of the execution of this Franchise it is impractical if not impossible to reasonably ascertain the extent of damages which would be incurred by City as a result of a material breach by Grantee of its obligations under this Franchise. The factors relating to the impracticability of ascertaining damages include, but are not limited to, the facts that: (i) substantial damage can result to members of the public when access to public rights of way are impeded or prevented due to construction. within said rights of way; (ii) faulty or negligent repair or restoration of streets and public rights of way excavated pursuant to this Franchise can present particular danger to public health, safety and welfare; (iii) failure to restore streets in a timely manner can exacerbate all of the dangers and concerns outlined above; (iv) such breaches can cause inconvenience, anxiety, frustration and deprivation to individual members of the general public in subjective ways and in varying degrees of intensity which are incapable of measurement in precise monetary terms; (v) the monetary loss resulting from such breaches is impossible to calculate in precise monetary terms; and (vi) termination of this Franchise for such breaches, and other remedies are, at best, a means of future correction and not remedies which make the public whole for past breaches. B. Accordingly, the City Council may, in its discretion, assess liquidated damages not to exceed the sum of FIVE HUNDRED DOLLARS ($500.00) per day, for each calendar day that Grantee is in material breach of this Franchise. This provision for liquidated damages shall not be deemed an exclusive remedy or afford the exclusive procedure for remedying a material breach of this Franchise. LAX2:139850.5 17 C i c.�r LAX2:139850.5 C. City finds, and Grantee acknowledges and agrees that the above described liquidated damages provisions represent a reasonable sum in light of all of the circumstances. Said liquidated damages sums shall be applicable to each calendar day of delay during which Grantee has been found by City to be in material breach of this Franchise, following Grantee's receipt of notification of such finding. Grantee shall pay any liquidated damages assessed by City within twenty (20) working days after they are assessed. If they are not paid within the twenty working day period, City may, in addition to any other remedies, order the termination of this Franchise. D. Grantee specifically agrees that failure to complete any portion of construction work or restoration of streets in accordance with the schedule set forth in the approved plans shall constitute a material breach of this Franchise for purposes of this Section, unless such failure is caused by conditions or actions not under Grantee's control. E. Both parties acknowledge and agree to the liquidated damages provisions of this Section as evidenced by their signatures below: "Grantee" "City" SHELL CALIFORNIA PIPELINE COMPANY by: L (�z ( � Name typed oY prWhted: �N . -,� . :3 R CVl$a ('i Title: k -��CnN.,IN Fnc� SECTION 17. ASSIGNMENT A. Grantee shall not transfer, sell, hypothecate, sublet or assign this Franchise, nor shall any of the rights or privileges herein be hypothecated, leased, assigned, sold or transferred, either in whole or in part, nor shall title thereto, 00 No IN either legal or equitable, or any right, interest or property herein, pass to or vest in any person, except Grantee, its affiliates or subsidiaries, either by act of Grantee or by operation of law, without the prior consent of City expressed by resolution. The aforesaid provisions of this Section shall not prohibit Grantee from using the Facilities for the purpose of transporting for other persons the products, but in such event Grantee shall be responsible to City for full performance and observance of the terms and conditions of this Franchise. B. Any sale, lease or assignment of this Franchise or the rights and privileges granted hereby, or any of them, except to Grantee, its affiliates or subsidiaries, without the prior written consent of the City Council shall be null and void. C. City shall not unreasonably withhold its consent to a transfer of this Franchise. For the purpose of determining whether it shall consent to such change, transfer or change in control, City may inquire into the qualifications of the prospective transferee or controlling party, and Grantee shall assist City in any such inquiry. In seeking City's consent to any change of ownership or control, Grantee shall have the responsibility of ensuring that transferee completes an application in form and substance reasonably satisfactory to City. An application shall be submitted to City not less than ninety (90) days prior to the date of transfer. Grantee shall be required to establish that it is in material compliance with this Franchise. The transferee shall be required to establish that it possesses the qualifications and financial and technical capability to operate and maintain the Facilities and comply with all Franchise requirements for the remainder of the term of this Franchise. If City finds that the'legal, financial, technical and other public interest qualities of the applicant are satisfactory, and that the proposed transferee has the capability to operate and maintain the Facilities and comply with requirements of this Franchise for the remaining term hereof, City shall consent to the transfer and LAM: 139850.5 19 CC assignment of the rights and obligations of this Franchise. City may condition the transfer to ensure that the transferee is and remains in material compliance with this Franchise. D. City consent pursuant to this Section is further required for any change in control of Grantee. "Change in control" shall mean any sale, transfer or acquisition of Grantee, Grantee's parent, the parent of Grantee's parent, etc. If Grantee or its parent(s) is /are a corporation or corporations, any acquisition of more than ten percent (10 %) of Grantee's voting stock by a person or group of persons acting in concert, who already own less than 50% of the voting stock, shall be deemed a change in control. E. Notwithstanding the above, Grantee shall be entitled to pledge, encumber, or grant any security interest in this Franchise, provided that Grantee shall first notify and obtain City consent in writing of such proposed transaction. City shall consent to such transaction, subject, however, to the following conditions: 1. Any consent so granted shall not be deemed a consent to such pledgee, encumbrancer, or secured party to exercise any rights or prerogatives of Grantee under this Franchise, nor to its exercise of any rights or prerogatives as a holder of an ownership interest in this Franchise. 2. Any consent so granted shall not be deemed a consent to any subsequent transfer or assignment as referred to in this Section. Any such subsequent transfer or assignment shall be deemed assignment of this Franchise within the meaning of this Section, and shall be subject to the provisions of this Section. 3. The pledgee, encumbrancer, or secured party shall have executed and delivered to City an instrument in writing agreeing to be bound by the provisions of this Franchise. I °XI:1398�50.5��+ 20 SECTION 18. RECEIVERSHIP AND FORECLOSURE A. Subject to applicable provisions of the Bankruptcy Code, this Franchise shall, at the option of City, cease and terminate one hundred twenty (120) days after appointment of a receiver or trustee to take over and conduct the business of Grantee whether in a receivership, reorganization, bankruptcy or other action or proceeding unless such receivership or trusteeship shall have been vacated prior to the expiration of said one hundred twenty (120) days, or unless: 1. Such receiver or trustee shall have, within one hundred twenty (120) days after its election or appointment, fully complied with all terms of this Franchise and remedied all breaches of this Franchise or provided a plan for the remedy of such breaches which is satisfactory to City; and 2. Such receiver or trustee shall, within said one hundred twenty (120) days, execute an agreement duly approved by the court having jurisdiction, whereby such receiver or trustee assumes and agrees to be bound by each and every term, provision and limitation of this Franchise. B. Upon the foreclosure or other judicial sale of all or a substantial part of the Facilities, Grantee shall notify the City Clerk of such fact, and such notification shall be treated as a notification that a change in ownership of Grantee has taken place and that the provisions of this Franchise governing such changes shall apply. SECTION 19. WAIVER OF BREACH. No waiver of the breach of any of the covenants, agreements, restrictions or conditions of this Franchise by City shall be construed to be a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Franchise. No delay or omission of City in exercising any right, power or remedy herein provided in the event of default shall be construed as a waiver thereof, or LAM:139850.5 21 '� �•-�` acquiescence therein, nor shall the acceptance of any payments made in a manner or at a time other than is herein provided be construed as a waiver of or variation in any of the terms of this Franchise. LAX2:139850.5 E ti= SECTION 20. DEFAULT A. Default In any event that Grantee shall default in the performance of any of the terms, covenants and conditions of this Franchise, the City Manager may give written notice to Grantee of such default. In the event that Grantee does not commence the work necessary to cure such default within thirty (30) days after such notice is received or prosecute such work diligently to completion, the City Council may declare this Franchise forfeited by giving written notice thereof to Grantee, whereupon this Franchise shall be void and the rights of Grantee hereunder shall terminate and Grantee shall execute an instrument surrendering this Franchise and deliver same to City. If the City Council declares this Franchise forfeited, it may thereupon and thereafter exclude Grantee from further occupancy or use of all City streets for the purposes authorized under this Franchise. Forfeiture of this Franchise shall not of itself operate to release the bond filed for this Franchise. Upon declaring this Franchise forfeited, the City Council may elect to take and accept the bond as liquidated damages therefor and pursue any other legal remedy for any damage, loss or injury suffered by City as a result of such breach. After forfeiture, the bond shall remain in full force and effect for a period of one (1) year unless exonerated by the City Council. No bond shall be exonerated unless a release is obtained from the City Engineer and is filed with the City Clerk. The release shall state whether all excavations have been backfilled, all obstructions removed, and whether the substrata or surfaces of the Streets have been placed in good and serviceable condition. A release shall not constitute a waiver of 22 any right or remedy which City may have against Grantee or any person, firm or corporation for any damage, loss or injury suffered by City as a result of any work or activity performed by Grantee in the exercise of this Franchise. B. Cumulative Remedies No provision herein made for the purpose of securing enforcement of the terms and conditions of this Franchise shall be deemed an exclusive remedy or to afford the exclusive procedure for enforcement of said terms and conditions, but the remedy and procedure herein provided, in addition to those provided by law, shall be deemed cumulative. SECTION 21. SCOPE OF RESERVATION. Nothing herein contained shall ever be construed so as to exempt Grantee from compliance with all ordinances of City now in effect or which may be hereafter which are not inconsistent with the terms of this Franchise. The enumeration herein of specific rights reserved shall not be construed as exclusive, or as limiting the general reservation herein made or as limiting such rights as City may have or hereafter have in law. SECTION 22. NOTICE. Any notice required to be given under the terms of this Franchise, the manner of service of which is not specifically provided for, may be served personally or by depositing same with First Class postage prepaid in the United States Mail addressed as follows: To City: Director of Public Works City of E1 Segundo 350 Main Street E1 Segundo, California 94250 To Grantee: Shell California Pipeline Company ATTN Manager, West Coast Area Shell Pipe Line Corporation Box 4848 Anaheim, California 92803 -4848 LA :139850,5 23 Or such other address as may from time to time be furnished in writing by one party to the other. when service of any such notice is made by mail, the time of such notice shall begin within and run from three days after the date of the deposit of the same in the United States Mail. SECTION 23. SUCCESSORS. The terms of this Franchise shall inure to the benefit of and shall bind, as the case may be, the successors and assigns of the parties hereto, subject, however, to the provisions of Section 17 hereof. SECTION 24. INTERPRETATION. This Franchise is granted upon each and every condition herein contained, and shall be strictly construed against Grantee. Nothing shall pass to Grantee by this Franchise unless it be granted in plain and unambiguous terms. Each of said conditions is a material and essential condition to the granting of this Franchise. This Franchise shall be interpreted and construed according to the laws of the State of California. SECTION 25. ATTORNEYS' FEES. If litigation is reasonably required to enforce or interpret the provisions of this Franchise, the prevailing party in such litigation shall be entitled to an award of reasonable attorneys' fees, in addition to any other relief to which it may be entitled. SECTION 26. ENTIRE AGREEMENT. This Franchise contains the entire understanding between City and Grantee. Any prior agreements, promises, negotiations or representations not expressly set forth herein are of no force or effect. Subsequent modifications to this Franchise shall be effective only if in writing and signed by all parties. If any term, condition or covenant of this Franchise is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Franchise shall be valid and binding. LAX2:139850.5 24 SECTION 27. PUBLICATION EXPENSE. Grantee shall pay to City a sum of money sufficient to reimburse City for all publication expenses incurred in connection with the granting of this Franchise, said payment to be made within thirty (30) days after City shall have furnished Grantee a written statement of such expenses. Such sum is in addition to the Administrative Fee indicated in subsection C of Section 7 hereof. SECTION 28. EFFECTIVE DATE OF FRANCHISE. This Franchise shall not be in effect unless and until the ordinance of the City Council granting this Franchise is in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this Franchise to be executed by their authorized representatives as of the Effective Date hereof CITY OF EL SEGUNDO ( "City" MAYOR ATTEST: by 612, 4i ty_ printed: C TY ERR APPROVED AS TO FORM Name typed or printed: i CITY ATTORNEY SHELL CALIFORNIA PIPELINE COMPANY ("Grantee") by : /'W, Name ty ed printed: Vq Title: %o2UE FAC- , LAX2:139850.5 u - I k § � § / § ) \ � k � / � § \\ � 2f B § /f E 3 E IM $ k) //) ( ¢/ 104 � Q tt] ) ±a� k /rA ± § 22 � wee -a /G){ 2� § � ~ k § /\G w � � ) X27 \ EXHIBIT '" / } /% °Q @ »2 2 1 OF 6 E� }§a � =f O\/ $ � ( ( K 3� m � § / § ) \ � k � / � $� > §f £2 § }\ § \\ � 2f B §§ /f E 3 E IM $ k) //) } ¢/ 104 � Q tt] ) §)§ k /rA ± $� > §f £2 § }\ § \\ 2f Hot /f E 3 E IM \3/ k) } k § 2f Re 22 � � ~ k � � ) \ \ EXHIBIT '" / } 2 1 OF 6 SHELL CALIFORNIA PIPELINE COMPANY 6 -INCH DIAMETER VENTURA PRODUCTS PIPELINE IN CITY OF EL SEGUNDO, LOS ANGELES COUNTY, CALIFORNIA A portion of A 6 -inch diameter pipeline, 1. entering the jurisdiction of said City in Aviation Boulevard at a point on the common City of El Segundo /City of Hawthorne boundary line, said point being on the southeasterly property line of a railroad right of way, approximately 16 feet east of the centerline of Aviation Boulevard and 926 feet north of a prolongation of the centerline of a street designated Utah Avenue in the City of El Segundo and 135th Street in the City of Hawthorne; 2. thence northerly in Aviation Boulevard approximately 2,946 feet following the meanderings thereof, in an alignment varying from approximately 16 feet to 18 feet east of the centerline thereof, to a point on the common City of El Segundo /County of Los Angeles boundary line, said point being approximately 17 feet east of and 112 feet south of the intersection of the centerline of Aviation Boulevard with a prolongation of the centerline of 124th Street, exiting the City of El Segundo and entering County of Los Angeles jurisdiction; 3. thence north in County of Los Angeles jurisdiction 1,323.5 feet to a point, said point being approximately 18 feet east of the intersection of the centerline of Aviation Boulevard with a prolongation of the centerline of 120th Street, re- entering City of El Segundo jurisdiction; 4. thence north in Aviation Boulevard 463 feet to a point, said point being approximately 18 feet east of the centerline of Aviation Boulevard and approximately 202 feet south of the centerline of 119th Street, where the pipeline exits the City of El Segundo and enters County of Los Angeles jurisdiction. 482desc2.doc „ _ EXHIBIT A PAGE 2 OF 6 L J w 47 a W OD N VMl N Yb1 h h V1 a �f oho Pe++��D ro�+oN z Q > 3 3 3 3 3 3 3 3 q o M 3 � z3z3zzzz �� Z. yr� M M +pn ONO V l+� o+o N y� .'�. p+pry y+j r N aa{{ r 00 00 00 OMO OO ONO ONO OHO OHO N P n ano a � 'zQ 0 6 O 7g a �' SZ z m a M + ono ono a v a U �a s f%S uw n a M O. N g V F m � h o z W Ri R ^v' XXa a".i oa F o aV �a y d�o`a; Fes- 00 r9 � 6 �yl V FA FO Ib }p r9 TO F4 YO {i3 �. x € TA O � U Vi W vi W vi Vi vi vi vi h ui _ vi 3 o 'b v F F � h d W 47 a W OD N VMl N Yb1 h h V1 a �f oho Pe++��D ro�+oN z Q > 3 3 3 3 3 3 3 3 q o M 3 � z3z3zzzz �� Z. yr� M M +pn ONO V l+� o+o N y� .'�. p+pry y+j r N aa{{ r 00 00 00 OMO OO ONO ONO OHO OHO N P n ano a � 'zQ 0 6 O 7g a �' SZ z m a M + ono ono a v a U �a s f%S uw n a M O. u Q u]rnC7 =�2 1ai Z b !�PPPPPP!�� F. 0 a G a 0 S Y F Uv�o? 0 C W IQ b s Z .� Vl Q N U EXHIBIT "A" e PAGE 3 OF 6 V a U °' z z¢ o r9 � 6 �yl V FA FO Ib }p r9 TO F4 YO {i3 �. x € TA O � V d Vi W vi W vi Vi vi vi vi h ui _ vi 3 ui u Q u]rnC7 =�2 1ai Z b !�PPPPPP!�� F. 0 a G a 0 S Y F Uv�o? 0 C W IQ b s Z .� Vl Q N U EXHIBIT "A" e PAGE 3 OF 6 26. thence northwesterly in Walnut Avenue approximately 75 feet; 27. thence west in Walnut Avenue, approximately 158 feet; 28. thence north, perpendicular to the sidelines of Walnut Avenue approximately 5 feet to the north right of way line thereof and to privately owned land; 29. thence north in privately owned land approximately 415 feet; 30. thence northwesterly in privately owned land approximately 3 feet to a point on the east right of way line of a north/south alley 20 feet wide; 31. thence continuing northwesterly in said alley approximately 20 feet to a point, said point being 6.5 feet east of the west right of way line of said alley and opposite the east terminus of an alley 20 feet wide extending west from said north/south alley; 32. thence north in said north/south alley approximately 190 feet to a point on the south right of way line of Imperial Avenue, said point being approximately 645 feet east of the centerline of California Street; 33. thence north in Imperial Avenue approximately 55 feet to a point 25.1 feet north of the centerline thereof; 34. thence west in Imperial Avenue 5,903.2 feet to a point, said point being approximately 5 feet south of the north right of way line of Imperial Avenue and 110 feet east of a prolongation of the centerline of Virginia Street; 35. thence north in Imperial Avenue perpendicular to the sidelines thereof approximately 5 feet to a point on the north right of way line thereof. 36. The pipeline then enters a median owned by the City of El Segundo and continues northerly therein approximately 91 feet at which point it exits the City of El Segundo. 482descl.doc EXHIBIT "A" PAGE 6 OF 6 a �.J SHELL CALIFORNIA PIPELINE COMPANY POWER OF ATTORNEY SHELL CALIFORNIA PIPELINE COMPANY, a California corporation, with offices at Two Shell Plaza, 777 Walker Street, in Houston, Texas 77252 ( "SCPC "), hereby appoints and authorizes R. G. Ryman, J. A. Davis, or W. J. Jackson, its Agents and Attorneys in Fact, in SCPC name and behalf, to execute and deliver, accept, assign, amend, extend, terminate or release the following instruments and documents in the usual course of SCPC business relating to its pipelines and appurtenant facilities: (a) deeds, leases, subleases, easements, rights of way, licenses, permits, franchises, consents and other agreements for use of real property, whether or not to SCPC; and (b) applications for any of the foregoing relating to lands, waters or other property owned by or under the jurisdiction of any government or governmental authority, as well as any other applications or reports or statements (excepting tax reports or returns) required by any government or governmental authority; IN WITNESS WHEREOF the Corporation has caused this Power of Attorney to be signed by its President (duly authorized by resolution adopted by the Board of Directors on November 25, 1985) and attested by its Secretary. EXECUTED this 25th ATTEST: W. J, cson, Secretary STATE OF TEXAS ) SS. COUNTY OF HARRIS ) day of May , 1989. SHELL CALIFORNIA 6W.19. .,instrument was acknowledged before me on fMa ?5 pi b. Jas person on behalf of Shell California P e line 4 •j� rnia corporation. or �DOt c Q L �sT t.'�f 14+ sN�;•.•�x.rna,;a� Notary Public '=14AM89SCPC .01 RECORDING REQUESTED BY: City of E1 Segundo City Clerk 350 Main Street E1 Segundo, CA 90245 WHEN RECORDED MAIL TO: City of E1 Segundo City Clerk 350 Main Street E1 Segundo, CA 90245 GRANT OF SUBSURFACE EASEMENT WHEREAS, on July 20, 1959, the City of Los Angeles conveyed to the City of E1 Segundo certain real property described in that certain Grant Deed recorded in Book D561 at Page 787 through 790 of official records of the County of Los Angeles; and WHEREAS, said Deed imposed certain restrictions upon the use of said property by the City of E1 Segundo; and WHEREAS, on April 16, 1970, Ordinance No. 140,297 entitled: "AN ORDINANCE AUTHORIZING THE PRESIDENT OR TWO MEMBERS OF THE BOARD OF PUBLIC WORKS TO EXECUTE A CONSENT TO THE GRANTING OF CERTAIN SUBSURFACE PIPE LINE EASEMENTS BY THE CITY OF EL SEGUNDO; ", was passed by the Los Angeles City Council on April 16, 1970, approved by the Mayor of Los Angeles on April 20, 1970, and will become effective on May 31, 1970; and WHEREAS, by said Ordinance the City of Los Angeles consents to the granting of subsurface easements by the City of E1 Segundo for pipeline purposes in, under, through, and across, that certain parcel of real property conveyed by the City of Los Angeles to the City of E1 Segundo by Grant Deed recorded August 5, 1959, in Book D561 at Page 787 through 790 of official records of Los Angeles County, and further authorized the President of, or two members of, the Board of Public Works of the City of Los Angeles to execute the consent to grant said subsurface easements and the City Clerk to attest thereto; NOW, THEREFORE, THE CITY OF EL SEGUNDO, a municipal corporation, does hereby grant to Shell California Pipeline Company, a California Corporation, a corporation (Grantee), a subsurface easement for a period commencing with the approval of this Grant of Subsurface Easement, ending on the 22nd day of April, 2006, for the purpose of maintaining and operating one pipeline not exceeding eight (8) inches internal diameter for the purpose of transporting aviation jet fuel over, across and along the following described real property: EXHIBIT "B" N PW- MAY21.EAS (Wednesday 5122/96 11:00 am) A strip of land 10.00 feet in width the center line of which is described as follows: BEGINNING at a point in the north line of Imperial Avenue (60 feet wide) 109.00 feet easterly of the center line of Virginia Street (50 feet wide); THENCE northerly 111.00 feet to the north city boundary. The City of E1 Segundo is to fully use and enjoy the premises except for the purpose granted to the Grantee. Grantee hereby agrees to maintain all pipes a sufficient depth so as not to interfere with the use of the property by the City of E1 Segundo, and to pay any damages which may arise as a result of its use. This grant of subsurface easement is not intended to and shall not be construed to permit the exercise of any rights which would cause a reversion of said premises to the City of Los Angeles, or to its successors or assigns. This Grant of Subsurface Easement will be of no virtue, force, or effect, except to the extent the same is consented to by the City of Los Angeles, pursuant to the authorization of the said Ordinance No. 140,297. IN WITNESS WHEREOF, the said City of E1 Segundo has hereunto caused its corporate name and seal to be hereunto subscribed and affixed by its proper officers first thereunto duly authorized. APPROVED this 4th day Of .innp P 1996 ATTESTED: C�jlndy Mo , *eeh ,City Clerk (Seal) APPROVED 7 TO FORM: i City Attorney � andra Jacobs, or of the City of Segundo, California rW- nu+rn.ens Friday 5/3/96 9:00 AM SHELL OIL COMPANY 8-INCH DIAMETER CARSON PLANT #6 (LAX PRODUCTS) PIPELINE IN CITY OF EL SEGUNDO, LOS ANGELES COUNTY, CALIFORNIA A portion of an 8 -inch diameter pipeline, 1. entering the jurisdiction of said City at the common City of El Segundo /City of Hawthorne boundary line on the centerline of Aviation Boulevard at a point approximately 270 feet north of the centerline of Rosecrans Avenue; 2. thence northwesterly in Aviation Boulevard approximately 50 feet to a point on the west right of way line thereof, said point being approximately 310 feet north of the centerline of Rosecrans Avenue; 3. thence generally northwesterly in privately owned land various courses and distances totaling approximately 7,243 linear feet to a point on the south right of way line of El Segundo Boulevard, said point being approximately 185 feet east of the centerline of Sepulveda Boulevard; 4. thence northwesterly across E1 Segundo Boulevard 154 feet to a point on the north right of way line thereof, said point being approximately 100 feet east of the centerline of Sepulveda Boulevard. 5. At this point the pipeline enters privately owned land and proceeds generally northnorthwesterly therein various courses and distances totaling approximately 190 linear feet to a point on the east right of way line of Sepulveda Boulevard, said point being approximately 200 feet north of the north right of way line of El Segundo Boulevard; 6. thence west across Sepulveda Boulevard perpendicular to the sidelines thereof 100 feet; thence in privately owned land northwesterly approximately 1,016 feet to a point on the south right of way line of Grand Avenue, said point being approximately 190 feet east of a prolongation of the centerline of Illinois Street; 8. thence north across Grand Avenue perpendicular to the sidelines thereof 60 feet to privately owned land; 9. thence north in privately owned land 36.6 feet; 10. thence northwesterly in privately owned land 473.3 feet to a point on the east right of way line of Illinois Street, said point being approximately 288 feet north of the north right of way line of Grand Avenue; 482descl.doc EXHIBIT "A" PAGE 4 OF 6 11. thence west across Illinois Street perpendicular to the sidelines thereof 50 feet to privately owned land; 12. thence west in privately owned land 63.3 feet; 13. thence northwesterly in privately owned land 150 feet; 14. thence northerly in privately owned land approximately 1,036 feet to a point on the south right of way line of Mariposa Avenue, said point being approximately 143 feet west of the centerline of Illinois Street; 15. thence north across Mariposa Avenue perpendicular to the sidelines thereof 50 feet to privately owned land east of Washington Street; 16. thence north in privately owned land approximately 139 feet; 17, thence northwesterly in privately owned land approximately 28 feet; 18. thence north in privately owned land approximately 326 feet to a point on the south right of way line of Palm Avenue, said point being approximately 30 feet east of the centerline of Washington Street; 19. thence across Palm Avenue perpendicular to the sidelines thereof 40 feet to privately owned land east of Washington Street; 20. thence north in privately owned land approximately 656 feet to a point on the south right of way line of Maple Avenue, said point being approximately 30 feet east of the centerline of Washington Street; 21. thence across Maple Avenue perpendicular to the sidelines thereof 50 feet to privately owned land east of Washington Street; 22. thence north in privately owned land approximately 322 feet to a point on the south right of way line of Sycamore Avenue, said point being approximately 30 feet east of the centerline of Washington Street; 23. thence across Sycamore Avenue perpendicular to the sidelines thereof 50 feet to privately owned land east of Washington Street; 24. thence north in privately owned land approximately 314 feet to a point on the south right of way line of Walnut Avenue, said point being approximately 25 feet east of the centerline of Washington Street; 25. thence north in Walnut Avenue approximately 15 feet; 48rr2desc l .doc EXHIBIT "A" PAGE 5 OF 6