Title
Request to Enter Into License Agreement with Salt River Project (Ordinance S-51342) - District 3
Description
Request authorization for the City Manager, or his designee, to enter into the License Agreement with Salt River Project to access and maintain the intake structure of the Raw Water Pump Station (Facility) within Salt River Project's right-of-way. Further request the City Council to grant an exception pursuant to Phoenix City Code 42-20 to authorize inclusion in the documents pertaining to this transaction of indemnification and assumption of liability provisions that otherwise would be prohibited by Phoenix City Code 42-18.
Report
Summary
The Facility located at the east corner of 25th Avenue and Arizona Canal delivers raw water from the Salt River Project (SRP) Arizona Canal to Moon Valley Country Club INC, and 11111 North 7th Street Property, LLC (collectively, “Parties”).
The facility was funded, designed, and constructed by the Parties, through the Development Agreement 139299 authorized by the City Council under Ordinance S-38975. The City accepted the pump station on February 1, 2023. The City’s Water Services Department owns and operates this pump station.
This Council action is to enter into a land use agreement with SRP to access and maintain the intake structure of the Facility that is located inside SRP’s right of way.
Contract Term
The terms of this agreement shall be for 20 years, beginning November 1, 2024, and ending October 31, 2044.
Financial Impact
This is a zero-dollar land use license agreement, therefore there is no financial impact to the City. However, SRP standard terms and conditions require indemnification by the City for any damage, loss or liability caused in whole or in part by Licensee.
Location
East corner of 25th Avenue and Arizona Canal
Council District: 3
Department
Responsible Department
This item is submitted by Deputy City Manager Ginger Spencer and the Water Services Department.