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<br />e <br /> <br />e <br /> <br />REQUEST FOR CITY COUNCIL AGENDA ITEM <br /> <br />Agenda Date Requested: <br /> <br /> <br />Appropriation <br /> <br />Requested By: S. Gillett <br /> <br />Source of Funds: GEN 902 <br /> <br />Department: Public Works <br /> <br />Account Number: N/A <br /> <br />Report: <br /> <br />Resolution: <br /> <br />Ordinance: <br /> <br />xx <br /> <br />Amount Budgeted: !Ii 1 ,900,000 <br /> <br />Exhibits: <br /> <br />Ordinance <br /> <br />Amount Requested: <br /> <br />$516,321 <br /> <br />Exhibits: <br /> <br />Pipeline Adiustment Agreement <br /> <br />Budgeted Item: YES <br /> <br />Exhibits: <br /> <br />Letter from Kinder Morgan <br /> <br />SUMMARY & RECOMMENDATION <br /> <br />The upcoming construction of Canada Road and Utilities will require pipeline adjustments to <br />accommodate proposed storm sewer and utility installations. Kinder Morgan and the City have <br />previously agreed that the City of La Porte would be responsible for 65.58% of the cost (see attached <br />letter dated July 29,2002). The total cost to adjust the two pipelines was estimated at $692,302, or <br />$454,012 as La Porte's share. The Agreement was never executed due to funding questions and the lack <br />of right of way. <br /> <br />The City has recently acquired all rights of way in the southern portion of the Project, and has identified <br />funding sources, including participation by Harris County. Kinder Morgan was requested to update the <br />cost estimate and provide a new agreement (attached). The new estimate totals $787,315, with La Porte's <br />share at $516,321. <br /> <br />Once the adjustment is complete, the actual cost will be determined, and the City will be required to pay <br />65.58% of the cost. Although Harris County has agreed, in principal, to participate in the Project, there is <br />no agreement at this time. <br /> <br />Action Required bv Council: Approve ordinance authorizing the City Manager to execute a Pipeline <br />Adjustment Agreement with Kinder Morgan Tejas Pipeline, L.P. for $516,321. <br /> <br /> <br />.?/;olor <br />I Jtate <br />