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HomeMy WebLinkAboutReso. 1988-318 - Resolution approving and authorizing execution of amendment no. 1 to project agreement no.2 for the california-oregon transmission project R411 . , RESOLUTION NO. g2 -5/8. RESOLUTION APPROVING AND AUTHORIZING EXECUTION OF AMENDMENT NO. 1 TO PROJECT AGREEMENT NO. 2 FOR THE CALIFORNIA-OREGON TRANSMISSION PROJECT WHEREAS, the City of Redding has entered into that certain Project Agreement No . 2 for the California-Oregon Transmission Project (the "Agreement" ) dated as of September 30, 1985, with the Transmission Agency of Northern California ("TANC") and the other members of TANC; and WHEREAS, this City and the other parties to the Agreement desire to amend the Agreement as provided in the Transmission Agency of Northern California Project Agreement No . 2 for the California-Oregon Transmission Project Amendment No . 1 (the "Project Agreement Amendment" ) ; NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF REDDING as follows : Section 1. The City, having participated in the preparation and review of the Draft Environmental Impact Report for the California-Oregon Transmission Project (the "Project" ) and having reviewed the Final Environmental Impact Report for the Project does hereby approve the Final Environmental Impact Report for the Project ; adopt the findings made by TANC as lead agency under the California Environmental Quality Act ("CEQA" ) ; and approve the Project for purposes of CEQA. Section 2 . The Project Agreement Amendment, in substantially the form submitted to this meeting and made a part hereof as though set forth in full herein, be and the same • • is hereby approved . The Mayor is hereby authorized and directed to execute and deliver the Project Agreement Amendment in the form presented to this meeting with such changes , insertions and omissions as may be approved by the Mayor , said execution being conclusive evidence of such approval . Section 3 . The Mayor and each other proper officer of the City, acting singly, is authorized and directed to execute and deliver any and all documents and instruments , and to do and cause to be done any and all acts and things , necessary or proper for carrying out the transactions contemplated by the Project Agreement Amendment and by this resolution. Section 4 . This resolution shall take effect immediately upon its adoption. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 6th day of September , 1988 , and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS : Buffum, Carter, Dahl, Fulton, & Johannessen NOES: COUNCIL MEMBERS : None ABSENT: COUNCIL MEMBERS : None ABSTAIN: COUNCIL MEMBERS: None ' ;e/ K�MAUR'ICE PJOHANNESSEN, Mayor City of Redding ATTEST: FORM PPROVED: ".7:0'44.4e, ETHEL A. N CHOLS RAMDALL A. HAYS , ity Attorney City Clerk 2 a 410 EXECUTION COPY TRANSMISSION AGENCY OF NORTHERN CALIFORNIA PROJECT AGREEMENT NO. 2 FOR THE CALIFORNIA-OREGON TRANSMISSION PROJECT AMENDMENT NO. 1 TRANSMISSION AGENCY OF NORTHERN CALIFORNIA PROJECT AGREEMENT NO. 2 FOR THE CALIFORNIA-OREGON TRANSMISSION PROJECT AMENDMENT NO. 1 AMONG THE TRANSMISSION AGENCY OF NORTHERN CALIFORNIA THE CITY OF ALAMEDA THE CITY OF BIGGS THE CITY OF GRIDLEY THE CITY OF HEALDSBURG THE CITY OF LODI THE CITY OF LOMPOC THE MODESTO IRRIGATION DISTRICT THE CITY OF PALO ALTO THE PLUMAS-SIERRA RURAL ELECTRIC COOPERATIVE THE CITY OF REDDING THE CITY OF ROSEVILLE THE SACRAMENTO MUNICIPAL UTILITY DISTRICT THE CITY OF SANTA CLARA THE TURLOCK IRRIGATION DISTRICT THE CITY OF UKIAH • 410 PREAMBLE This Amendment No. 1 is made and entered into as of , by and among the Transmission Agency of Ncrthern California, hereinafter referred to as "TANC" ; the Cities of Alameda, Biggs, Gridley, Healdsburg, Lodi , Lompoc, Palo Alto, Redding, Roseville, Santa Clara, and Ukiah; the Sacramento Municipal Utility District ; the Modesto Irrigation District; the Turlock Irrigation District; and the Plumas-Sierra Rural Electric Cooperative; hereinafter collectively referred to as "Members" and individually as "Member" , for the purpose of amending the September 30 , 1985, "Transmission Agency of Northern California Project Agreement No. 2 for the California-Oregon Transmission Project" among the same parties, hereinafter referred to as "Project Agreement No. 2" . RECITALS WHEREAS: A. On December 10, 1984, TANC was duly established as a joint powers agency, pursuant to Section 6500 et seq. of the California Government Code, by an agreement among the Members entitled "Joint Powers Agreement, Transmission Agency of Northern California" ; and B. TANC, in its own name, or for the benefit of its Members, has the power to acquire by purchase, or eminent domain, construct, finance, operate and maintain facilities for electric power transmission including, without limitation, the power to purchase, lease, operate, develop, contract for, or own, new or upgraded transmission lines, and facilities for the benefit of the Members; and C. Each Member of TANC owns and operates a system for the distribution of electric power and energy, and is authorized to obtain transmission facilities or rights to transmission transfer -1- Amendment No. 1 Project Agreement No. 2 • • capability for its present or future requirements, through ccntracts with TANC or otherwise; and D. TANC, on behalf of its Members, executed the December 19, 1984 , "Memorandum of Understanding, California- Oregon Transmission Project, " among certain California entities and the Western Area Power Administration, which sets forth principles for the development of the California-Oregon Transmission Project including the designation of TANC as Project Manager ; and E. The Members of TANC entered into the June 19, 1985, "Project Agreement" for the purposes of issuing and selling a promissory note for financing studies and other preliminary costs to be incurred prior to making a decision, after environmental and other review, of whether to undertake construction of the California-Oregon Transmission Project; and F. The Members of TANC entered into the September 30, 1985, "Transmission Agency of Northern California Project Agreement No. 2 for the California-Oregon Transmission Project" for the purpose of refinancing the promissory note and to finance certain feasibility and planning studies, and to provide for TANC' s share of the costs for Project Development Work for the California- Oregon Transmission Project; and G. TANC, on behalf of its Members, executed the September 30, 1985, "California-Oregon Transmission Project Development Agreement" for the purpose of completing required activities such as obtaining approvals, certificates, licenses and permits as required by law and regulation before undertaking construction of the Project; and H. TANC, on behalf of its Members, entered into the Memorandum of Understanding Annex dated February 6, 1986, with the initial Participants and additional non-federal public entities which allocated a 3 .125 percent Project entitlement among the additional Participants and re-allocated the remaining entitlement among the initial Participants; and -2- Amendment No. 1 Project Agreement No. 2 4 • I . On January 20, 1988, TANC certified the Final Environmental Impact Report for the California-Oregon Transmission Project , the Los Banos-Gates Transmission Project , and the Pacific Northwest Reinforcement Project, made findings pursuant to the California Environmental Quality Act, and approved the California-Oregon Transmission Project; and J. Each Member executing this Amendment No. 1 has participated in the preparation and review of the Draft Environmental Impact Report and has reviewed and approved the Final Environmental Impact Report for the California-Oregon Transmission Project and adopted the findings made by TANC as lead agency for the California-Oregon Transmission Project; and K. The Members of TANC have approved the California-Oregon Transmission Project for the purposes of the California Environmental Quality Act and desire to authorize TANC to undertake additional work in the California-Oregon Transmission Project beyond planning and feasibility studies. NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth in this Amendment No. 1, TAMC and the Members agree as follows: 1 . Except as modified herein, all capitalized terms used in this Amendment No. 1 shall have the same meaning as set forth in Project Agreement No. 2 . 1 . 1 Section 1 . 1 of Project Agreement No. 2 is amended to read as follows: "1 . 1 Agreement - This Project Agreement No. 2 among the Members and TANC, as amended and supplemented from time to time in accordance with the terms hereof . " 1 . 2 Project Agreement No. 2 is amended by adding a new Section 1. 24 which reads as follows: -3- Amendment No. 1 Project Agreement No. 2 • • . "1 . 24 Acquisition and Construction Work - Any work necessary or useful for acquisition and construction of the Project , including any land or rights in land in connection therewith; and, in addition, that work to be done pursuant to or in the negotiation of Intertie Agreements for : management and administrative services; economic, legal , engineering, and other activities; and services which may be necessary or convenient in connection with Intertie Agreements. " 1 . 3 Section 1 . 9 of the Project Agreement No. 2 is amended to read as follows: "1 .9 Intertie Agreements - Agreements related to the Project which have been or which may be entered into by the Participants, including TANC, which include, but are not limited to, the MOU, the Interim Cost Sharing Agreement , the Project Development Agreement, any amendments to the foregoing agreements, and other agreements related to the Project entered into by TANC as Project Manager or by TANC on behalf of the Members. " 2 . Section 2 .1 of Project Agreement No. 2 is amended to read as follows: "2 .1 Scope - TANC is hereby authorized and directed to act on behalf of the Members in activities related to Phase I and Phase II of the Project as a Participant and as Project Manager pursuant to the Intertie Agreements, subject to procedures for Member approval and authorization established by the TANC Commission pursuant to this Agreement and the Joint Powers Agreement . " -4- Amendment No. 1 Project Agreement No. 2 • 3 . Section 2. 2 . 2 of Project Agreement No. 2 is amended to read as follows : "2 . 2 . 2 Phase II shall consist of Acquisition and Construction Work . " 4 . Section 2 . 3 of Project Agreement No. 2 is amended to read as follows: "2 . 3 Participation - Pursuant to Paragraph 15 of the Joint Powers Agreement , the Members executing this Agreement have each elected to participate in Phase I in the Participation Percentages set forth in Appendix C, as Appendix C may be amended, and to participate in Phase II in those same Participation Percentages to the extent of amounts available from Phase I Indebtedness; provided, however that such election to participate in Phase II shall not constitute an election to take a Participation Percentage for purposes of Section 5.1. " 5 . The introduction to Section 3. 2 of Project Agreement No. 2 is amended to read as follows: "3. 2 Specific Duties and Responsibilities - TANC, through its Commission, shall perform all duties appropriate for the implementation of Phase I and Phase II of the Project, subject to the terms hereof, including but not limited to: " 6 . Section 3 . 2. 5 of Project Agreement No. 2 shall not apply to Phase II . 7 . Section 4 . 1 .6 of Project Agreement No. 2 is amended by adding a new Section 4. 1 .6 . 3 which reads as follows: "4 . 1 .6.3 Acquisition and Construction Work. " -5- Amendment No. 1 Project Agreement No. 2 • 411 8. Project Agreement No. 2 is amended by adding a new Section 4 . 1 . 8 which reads as follows: "4 . 1 . 8 Each Member severally agrees that the obligations and covenants set forth in Section 4. 1 shall extend to Phase II to the extent that any Phase II work is undertaken pursuant to this Agreement . " 9 . Project Agreement No. 2 is amended by adding a new Section 4 . 1 . 9 which reads as follows: "4 . 1 .9 Phase I Indebtedness, as defined in Section 4 . 1 . 5 . 1, shall be limited to a principal amount not to exceed $26,800, 000. " 10 . Project Agreement No. 2 is amended by adding a new Section 4 . 1 . 10 which reads as follows: "4 . 1 .10 All expenditures by TANC pursuant to this Agreement shall be in accordance with the budgets approved by the TANC Commission. " 11. Except as modified herein, all provisions of Project Agreement No. 2 shall remain in full force and effect. 12 . To the extent permitted by law, each Member agrees that it shall , promptly after executing this Amendment No. 1, take all actions as are reasonably necessary to amend existing authorizations or financing ordinances in order to permit the use of Phase I Indebtedness for Acquisition and Construction Work . 13 . This Amendment No. 1 may be executed in several counterparts, each of which shall be deemed to be an original and all of which, when taken together, shall constitute a single agreement . -6- Amendment No. 1 Project Agreement No. 2 • IN WITNESS WHEREOF, the Parties have executed this Amendment No. 1 as of the date first written above. CITY OF ALAMEDA By And Address CITY OF BIGGS By And Address CITY OF GRIDLEY By And Address CITY OF HEALDSBURG By And Address CITY OF LODI By And Address -7- Amendment No. 1 Project Agreement No. 2 { • • CITY OF LOMPOC By And Address MODESTO IRRIGATION DISTRICT By And Address CITY OF PALO ALTO By And Address CITY OF REDDING By And Address CITY OF ROSEVILLE By And Address SACRAMENTO MUNICIPAL UTILITY DISTRICT By And Address -8- Amendment No. 1 Project Agreement No. 2 • CITY OF SANTA CLARA By And Address TURLOCK IRRIGATION DISTRICT By And Address CITY OF UKIAH By And Address PLUMAS-SIERRA RURAL ELECTRIC COOPERATIVE By And Address TRANSMISSION AGENCY OF NORTHERN CALIFORNIA By And Address P. 0. Box 661030 Sacramento, CA 95866 -9- Amendment No. 1 Project Agreement No. 2 1