huntington beach banner
File #: 18-323    Version: 1
Type: Consent Calendar Status: Passed
File created: 8/29/2018 In control: City Council/Public Financing Authority
On agenda: 9/17/2018 Final action: 9/17/2018
Title: Approve and authorize execution of a License Agreement between the City of Huntington Beach and DCOR, LLC for a booster pump facility located at Pacific Coast Highway and Warner Avenue
Attachments: 1. Att#1 - License Agmnt with DCOR.pdf, 2. Att#2 - Booster Pump Station Map.pdf, 3. Att#3 - Cert of Ins.-2018-19-Endorsment.pdf
REQUEST FOR CITY COUNCIL ACTION

SUBMITTED TO: Honorable Mayor and City Council Members

SUBMITTED BY: Fred A. Wilson, City Manager

PREPARED BY: Kellee Fritzal, Deputy Director of Economic Development

Subject:
title
Approve and authorize execution of a License Agreement between the City of Huntington Beach and DCOR, LLC for a booster pump facility located at Pacific Coast Highway and Warner Avenue
body

Statement of Issue:
The City Council is requested to approve a License Agreement between the City of Huntington Beach and DCOR, LLC. The Agreement authorizes the on-going use of existing City property to operate a booster pump facility, located at PCH and Warner Avenue, that provides freshwater to an offshore oil platform.

Financial Impact:
The rent will be increased from $7,800 per year to $8,100 upon execution with annual increases based on the Consumer Price Index (CPI) thereafter. Revenue will be deposited into the General Fund.

Recommended Action:
recommendation
A) Approve the "License Agreement Between the City of Huntington Beach and DCOR, LLC for Booster Pump Facility at PCH/Warner"; and,

B) Authorize the Mayor, City Manager, and City Clerk to execute the License Agreement and other related documents.

end

Alternative Action(s):
Do not approve the License Agreement and direct staff accordingly.

Analysis:
In 1964, Union Oil Company ("Union") entered into an agreement with the Sunset Sanitary District ("District") to install and operate a booster pump station on property owned by the District, which is located in the parking lot directly across from the Warner Fire Station. In subsequent years, the City acquired the District and Union assigned their interests to Nuevo Energy Company ("Nuevo"). In March 2003, the City Council approved a License Agreement with Nuevo to continue to operate the pump station. In August 2008, DCOR, LLC., acquired all of Nuevo's offshore oil and gas producing assets (including the booster pump facility). Since...

Click here for full text