HomeMy WebLinkAboutC7. Easement Modification NW Eneergy
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Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Karen Stambaugh, Assistant City Attorney
SUBJECT: Easement Modification Agreement with NorthWestern Energy for
Revised Pipeline Alignment in North Park property
MEETING DATE: February 29, 2016
AGENDA ITEM TYPE: Consent
RECOMMENDATION: Authorize the City Manager to sign an Easement Modification
Agreement with NorthWestern Energy for a revised gas pipeline alignment and a License
Agreement for construction and installation of the pipeline in the City’s “North Park” property.
BACKGROUND: NorthWestern Energy (NWE) holds an existing easement for a gas pipeline,
which serves northeast Bozeman and vicinity and traverses the City’s North Park property. NWE
submitted a proposal to the City to abandon a portion of the existing easement and obtain an
additional easement for a new pipeline installation. This proposal forms part of a larger gas
pipeline replacement and realignment project NWE is currently undertaking which also includes
NWE’s gas pipeline through the Story Mill Community Park property. The attached agreements
are nearly identical to the agreements approved by the City Commission on January 25, 2016 for
the Story Mill Community Park property.
Legal staff and Brit Fontenot, Director of Economic Development, met several times with NWE
personnel to review the proposed pipeline alignment and to discuss the terms of the Easement
Modification Agreement (Attachment A). A separate License Agreement (Attachment B) covers
the terms of, and construction access restrictions for, the pipeline installation. Throughout the
negotiations with NWE, document drafts were provided to representatives of Micropolitan
Enterprises, LLC and Powder River Company, LLC, who hold a right of first offer to purchase
the North Park property.
Construction activities on the realignment of the pipeline will take place between May 1, 2016
and December 31, 2016. The terms of the License Agreement state that NWE shall restore all
disturbed areas to the existing condition to the satisfaction of the City.
ATTACHMENTS: Attachment A – Easement Modification Agreement
Attachment B – License Agreement for Use of City Property
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UNRESOLVED ISSUES: None identified.
ALTERNATIVES: As Directed by Commission.
FISCAL EFFECTS: The proposal includes compensation in the amount of $23,650; $16,117
for the additional pipeline easement area and $7,488 for the temporary construction easement
area, which is in accordance with a fair market value appraisal provided by NWE dated
December 15, 2015. A hard copy of the full appraisal is available in the City Clerk’s office and
an electronic copy is available here.
Report compiled on: February 18, 2016
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EASEMENT MODIFICATION AGREEMENT PAGE 1 OF 9
After Recording, Return To:
NorthWestern Energy
Lands & Permitting Dept.
40 East Broadway
Butte, MT 59701
EASEMENT MODIFICATION AGREEMENT
This Easement Modification Agreement (“Agreement”), dated the ___ day of
__________, 2016, is made and entered into by and between NorthWestern
Corporation, d/b/a NorthWestern Energy, a Delaware corporation, with a mailing
address of 40 East Broadway, Butte, Montana 59701-9394 (“NorthWestern”), and the City
of Bozeman, a self-governing municipality operating pursuant to its Charter and the laws
of the State of Montana, with a mailing address of P.O. Box 1230, Bozeman, MT 59771
(“Owner”), and provides as follows:
Recitals
1. Owner is the owner of certain real property, located in Gallatin County, Montana,
which is described as follows:
Tract 1-A and Tract 4-A of Certificate of Survey No. 2153, situated in
the NW¼ of Section 36, Township 1 South, Range 5 East, P.M.M.,
Gallatin County, Montana, according to the official plat thereof on file
and of record in the office of the County Clerk and Recorder of Gallatin
County, Montana. (the “Real Property”)
2. NorthWestern is the holder of a Right of Way Deed for a natural gas pipeline, affecting
the Real Property, dated April 12, 1950 and recorded on May 17, 1950 in Book 101, at
Page 444, in the records of the Gallatin County Clerk and Recorder (the “Easement”).
3. NorthWestern desires to relocate a segment of the natural gas pipeline from its
present location the Real Property to a new location on the Real Property, subject to
the terms and conditions of this Agreement.
Agreement
Now therefore, in consideration of not less than the appraised value and other good and
valuable consideration in hand paid, the receipt of which is acknowledged,
NorthWestern and Owner agree as follows:
1. Relocation of Pipeline. The segment of the pipeline to be relocated, including both
the existing location to be abandoned (the “Abandoned Easement”) and the new
location where the pipeline will be built (the “Relocated Easement”), are depicted
on the attached Exhibit “A”. Subject to the other provisions of this Agreement,
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EASEMENT MODIFICATION AGREEMENT PAGE 2 OF 9
NorthWestern shall use best efforts to ensure that the relocation of the pipeline
segment is completed by December 31, 2016. All costs and expenses of relocating
the segment of the pipeline shall be paid for by NorthWestern. It is understood
that the existing pipeline, now located underneath the area to be abandoned, shall
remain buried in the ground and that NorthWestern shall have no obligation to
remove it.
2. Release of Easement. Effective immediately at the time the relocated pipeline is
put into operation NorthWestern shall be deemed to release, remise and quitclaim,
without warranty of any kind, that segment of the Easement located upon the Real
Property and depicted on Exhibit “A” as “Abandoned Easement” and shall record
at the Gallatin County Clerk and Recorder’s Office, within a reasonable time
thereafter, a legal document satisfactory to the Bozeman City Attorney evidencing
the release. The pipeline in the Abandoned Easement will be evacuated of all
natural gas and will be capped in accordance with a separate agreement between
the Parties. NorthWestern has agreed to allow the City, its successors or assigns
the use of the abandoned pipeline for a potential development conduit
infrastructure. If and at such time as the City seeks to utilize the abandoned
pipeline, the parties hereto agree to execute any additional agreements, waivers
or releases of liability and ownership as may be required by NorthWestern to
complete the transfer of the abandoned pipeline to the City.
Nothing herein shall be deemed to release or in any way affect any other easement
which may benefit NorthWestern, other than the Easement as expressly identified
herein, and then solely as is described herein. Further, nothing herein shall affect
the Easement in the event it should burden lands other than the Real Property.
3. Grant of Easement. Owner hereby grants unto NorthWestern, for its benefit, and
that of its successors, assigns and permittees, a perpetual, non-exclusive easement
forty (40) feet in width, upon which to construct, operate, maintain, replace,
upgrade and remove one natural gas pipeline, no more than sixteen (16) inches in
diameter, and necessary appurtenances, over, under, along and across those
portions of the Real Property which are depicted on the attached Exhibit “A” as
“Relocated Easement”, together with reasonable right of access to and from the
easement area over lands of the Owner using existing roads and trails, which are
also depicted on the attached Exhibit “A”; the right to use and keep the easement
area free and clear of any and all obstructions or structures, except fences; and the
right to clear and remove all timber, brush, or vegetation from the easement area
that may in Grantee’s opinion endanger the pipeline, or necessary appurtenances.
Before conducting any maintenance or repair of the pipeline, and before clearing
or removing any timber, brush or vegetation from the easement area,
NorthWestern shall provide notice to the Owner or its designee at least ten (10)
days in advance unless (i) access to the easement area is made from an existing
road, or (ii) exigent circumstances reasonably require a shorter notice period or no
notice. It is agreed that the pipeline, and necessary appurtenances shall all be
located within the forty (40) foot easement area, and other than the signage and
cathodic protection test leads as required under federal regulation, the pipeline,
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EASEMENT MODIFICATION AGREEMENT PAGE 3 OF 9
and appurtenances shall be buried. NorthWestern further agrees that when
maintenance and repair activities are undertaken all vehicles, equipment and
personnel involved in such activities will be contained within the forty (40) foot
easement area or within such other area for which Owner may give prior consent in
writing, which consent shall not be unreasonably withheld. Owner reserves all
right to utilize its Real Property provided such use does not unreasonably interfere
with the easement granted herein.
4. Reclamation. NorthWestern shall at its own cost and expense and promptly
following initial construction of the pipeline and any subsequent maintenance or
repairs to the pipeline, replace or repair all roads, drainage, fences, vegetation, and
other property damaged by the construction, maintenance or repairs to a condition
substantially the same as existed prior to such work and acceptable to the Owner or
its designee.
5. Abandonment. If at any time after the pipeline is put into operation,
NorthWestern, its successors or assigns, intentionally and voluntarily ceases to
operate the pipeline for a period of more than five (5) years, the easement as
granted herein shall terminate and be of no further force or effect.
6. Indemnification. NorthWestern agrees to release, defend, indemnify and save
Owner, its agents, representatives, employees and officers (collectively, “City”)
harmless from:
a. any and all claims, demands, costs, expenses, damages and liabilities for
injury, loss or damage to any person, entity or property arising out of,
resulting from, or occurring in connection with NorthWestern’s, its
contractor’s, and subcontractor’s, use of the easement granted herein for the
construction, installation, testing, operation, maintenance or repair to the
pipeline and any appurtenances;
b. any and all claims, demands, costs, expenses, damages, and liabilities
directly caused by the abandoned pipeline; and
c. any and all claims, demands, costs, expenses, damages, and liabilities
arising out of, resulting from, or occurring in connection with any labor
problems or disputes or any delays or stoppages of work associated with
such problems or disputes.
Nothing in this Agreement shall obligate NorthWestern to remove the abandoned
pipeline. Should the City be required to remove the abandoned pipeline by law,
court order, or any federal or state regulatory authority determination,
NorthWestern agrees to reimburse the City for all expenses related to such
removal.
Such obligations shall not be construed to negate, abridge, or reduce other rights
or obligations of indemnity that would otherwise exist. The indemnification
obligations of this Section must not be construed to negate, abridge, or reduce
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EASEMENT MODIFICATION AGREEMENT PAGE 4 OF 9
any common-law or statutory rights of the indemnitee(s) which would otherwise
exist as to such indemnitee(s).
NorthWestern’s indemnity under this Section shall be without regard to and
without any right to contribution from any insurance maintained by Owner.
Should any indemnitee described herein be required to bring an action against
NorthWestern to assert its right to defense or indemnification under this
Agreement or under NorthWestern’s applicable insurance required below the
indemnitee shall be entitled to recover reasonable costs and attorney fees
incurred in asserting its right to indemnification or defense but only if a court of
competent jurisdiction determines NorthWestern was obligated to defend the
claim(s) or was obligated to indemnify the indemnitee for a claim(s) or any
portion(s) thereof.
In the event of an action filed against Owner resulting from the Owner’s
obligations under this Agreement, the Owner may elect to represent itself and
incur all costs and expenses of suit.
NorthWestern also waives any and all claims and recourse against the Owner or
its officers, agents or employees, including the right of contribution for loss or
damage to person or property arising from, growing out of, or in any way
connected with or incident to the performance of this Agreement except
“responsibility for his own fraud, for willful injury to the person or property of
another, or for violation of law, whether willful or negligent” as per 28-2-702,
MCA.
These obligations shall survive termination of this Agreement.
7. Insurance. NorthWestern maintains insurance, including self-insured retention
and excess coverage, as set out on Exhibit “B”. At no time during the term of this
Agreement shall NorthWestern reduce its self-insured retention and excess
coverage as set out in Exhibit “B” or permit its insurance coverage insuring the
indemnification obligations assumed by NorthWestern in Section 6 fall below the
limits set out below:
• Workers’ Compensation – statutory;
• Employers’ Liability - $1,000,000 per occurrence; $2,000,000 annual
aggregate;
• Commercial General Liability - $1,000,000 per occurrence; $2,000,000
annual aggregate;
• Automobile Liability - $1,000,000 property damage/bodily injury;
$2,000,000 annual aggregate
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EASEMENT MODIFICATION AGREEMENT PAGE 5 OF 9
Subcontractors hired by NorthWestern to provide services related to the gas
pipeline on the Property shall carry insurance in the above amounts and shall
name the City of Bozeman as an additional insured.
8. Modifications and Assignments. This Agreement supersedes all prior discussions
and agreements between the parties with respect to the subject matter hereof and
contains the sole and entire agreement between the parties with respect to such
subject matter. This Agreement may not be modified or terminated unless in
writing signed by the party against whom the same is sought to be enforced.
9. Controlling Law. This Agreement shall be interpreted under and governed by the
laws of the State of Montana, without regard to conflict of law rules.
10. Interpretation. This Agreement has been reviewed by both parties, each of whom
has had the opportunity to consult with independent counsel regarding it and has
done so to the extent that such party desired. No stricter construction or
interpretation of the terms hereof shall be applied against either party as the
drafter hereof.
11. Severability. The invalidity or unenforceability of any provision of this Agreement
shall not affect the other provisions hereof, and this Agreement shall be construed
in all respects as if such invalid or unenforceable provisions were omitted.
12. Headings. The headings of sections and paragraphs of this Agreement are for
convenience of reference only and are not intended to restrict, affect or be of any
weight in the interpretation or construction of the provisions of such sections or
paragraphs.
13. Certification. Owner represents that it is the sole owner of the Real Property, and
has the right to enter into this Agreement. NorthWestern represents that it is the
owner of the Easement, and has the right to enter into and perform this
Agreement. Further, the individuals signing for the parties each hereby represent
that they are duly authorized and empowered to execute this Agreement on behalf
of the party for whom each signs, and that once signed that this will be binding on
the parties hereto.
14. Attorneys’ Fees. In the event either party finds it necessary to employ counsel in
order to enforce or rescind any term or provision of this Agreement, including
any proceeding in bankruptcy before any officer or judge of the U.S. Bankruptcy
Court or any proceeding pertaining thereto, the prevailing party shall be entitled
to recover from the other party in addition to costs and disbursements allowed by
law, the prevailing party's reasonable attorneys’ fees, to include fees, salary and
costs of in-house counsel including those in the office of the Bozeman City
Attorney. Attorneys’ fees shall include any attorneys services rendered prior to
the institution of litigation or proceedings in bankruptcy and include all matters
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EASEMENT MODIFICATION AGREEMENT PAGE 6 OF 9
pertaining to litigation, or proceedings in bankruptcy and include all matters
pertaining to litigation, or proceedings in bankruptcy as may be necessarily
incurred in such proceedings and shall include an estimate of the attorneys’ fees
to be incurred by the prevailing party following any initial decision or judgment
entered in connection with that matter.
15. Effect. The Easement, as modified hereby, and the additional grants and
agreements made by the parties shall run with the land and shall be binding on
and shall inure to the benefit of the parties to this Agreement and their respective
successors, assigns and permittees. Except as expressly set forth herein, the
Easement remains unchanged and in all other respects any other easements held
by NorthWestern which are not referenced herein remain unchanged.
* * * * *
Signatures and Notary Acknowledgements on Next Page
* * * * *
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EASEMENT MODIFICATION AGREEMENT PAGE 7 OF 9
City of Bozeman, a political subdivision
of the State of Montana
By: ______
Chris Kukulski
Its:_City Manager_______________
_
NorthWestern Corporation d/b/a
Northwestern Energy a Delaware Corporation
By: __
Patrick Asay
Its: Manager - Land & Permitting
STATE OF MONTANA )
).ss
COUNTY OF SILVER BOW )
This instrument was acknowledged before me on _____________, 2016, by
Patrick Asay, known to me to be the Manager - Land & Permitting for NorthWestern
Corporation, d/b/a NorthWestern Energy.
NOTARY SEAL
______ _
Printed Name: ___________________
Notary Public for the State of Montana
Residing at: _____________________
My Commission Expires: ____________
STATE OF MONTANA )
)ss.
COUNTY OF GALLATIN )
This instrument was acknowledged before me on , 2016,
by Chris Kukulski, known to be the City Manager for The City of Bozeman, a Montana
municipal corporation.
NOTARY SEAL ______ _
Printed Name: ___________________
Notary Public for the State of Montana
Residing at: _____________________
My Commission Expires: ____________
Project: Bozeman East Dry Creek Pipeline
Agent: Jeff Harmon
SAP No: PR 108813 - 6017262-0110
E#
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EASEMENT MODIFICATION AGREEMENT PAGE 8 OF 9
EXHIBIT A
Relocated Easement
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R:\GGAS-DFT\BOZEMAN_SERVICE_CENTER\6310-06-BOZEMAN REROUTE MODIFIED-SITE MAP MODIFIED 08-11-15\C15037-1.DWG 1/15/2016 8:52 AM 00018313C15037-1ExhibitBozeman - Butte Line 12"Pipeline Crossing City Of BozemanTotal Length = 959.2'Total Area = 37,978.8 FtTotal Acres = 0.872Proposed RerouteProposed Reroute20'
20'
40'Property20'20'40'Relocated EasementRelocated EasementRelocated EasementTotal Length = 868.0'Total Area = 36,741.5 FtTotal Acres = 0.842Abandoned EasementAbandoned EasementAbandoned Easement20'
40'
20'
20'
40'Tract 1-ALength - 607.9'Area - 23,925.5 FtAcres - 0.552Tract 4-ALength - 351.3'Area - 14,053.3 FtAcres - 0.32277
EASEMENT MODIFICATION AGREEMENT PAGE 9 OF 9
EXHIBIT B
Proof of Self-Insurance Coverages 2014-2015 NorthWestern Corporation (dba NorthWestern Energy) Insurance Coverages NorthWestern Corporation
• Is a large publicly traded (Delaware) corporation:
o Federal Tax ID number: 46-0172280
• Is self-insured to $1 million for property and property of others in our care, custody, and control
• Is self-insured to $2 million for general liability
• Is self-insured to $1 million for auto liability
• Is self-insured to $2 million for workers compensation liability and is duly registered with the State
of Montana as a self-insured entity
• Maintains excess liability coverage above the self-insured amounts for catastrophic situations
Additional info may be obtained from:
Chad Wilde Risk Analyst
NorthWestern Energy 600 Market St. W
Huron, SD 57350 605-353-7620
Cell 605-354-2705 chad.wilde@northwestern.com
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NorthWestern Energy License Agreement for the North Park Property
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LICENSE AGREEMENT FOR THE USE OF CITY PROPERTY
BY NORTHWESTERN ENERGY
This License Agreement (the “Agreement”) is an agreement between the City of Bozeman, a
self-governing municipality operating pursuant to its Charter and the laws of the State of
Montana, with a mailing address of P.O. Box 1230, Bozeman, MT 59771 (the “City”) and
NorthWestern Corporation, d/b/a NorthWestern Energy, a Delaware corporation, with a mailing
address of 40 East Broadway, Butte, MT 59701-9394 (hereinafter the “Licensee”, and together
with the City the “Parties”).
In consideration of Licensee’s promises herein, and other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows:
1. Purpose. The City desires to authorize Licensee to temporarily access a portion
of the “North Park” property, located in Gallatin County and consisting of Tract 1-A and Tract 4-
A of Certificate of Survey No. 2153, situated in the NW¼ of Section 36, Township 1 South,
Range 5 East, P.M.M., Gallatin County, Montana, according to the official plat thereof on file
and of record in the office of the County Clerk and Recorder of Gallatin County, Montana (the
“Property”) for purposes of installing a re-routed section of a gas utility pipeline in the Property,
which generally consists of the following work and at the locations illustrated in Exhibit A
(“Pipeline Access and Layout Diagram”):
a. On Tract 1-A:
i. Accessing the construction area via a 20 foot wide by 1,457 linear feet
access road as depicted on Exhibit A (page 1 of 2);
ii. Excavation of an approximately 608 linear feet by 18 feet wide trench
for direct bury of the pipeline as depicted on Exhibit A;
iii. Work activities related to the pipeline installation in an approximately
670 feet by 100 feet area as depicted on Exhibit A;
iv. Assembly and layout of the pipe in a 505 feet by 25 feet pipe layout
corridor as depicted on Exhibit A.
b. On Tract 4-A:
i. Accessing the construction area via an existing 20 foot wide by 1,300
linear feet access road as depicted on Exhibit A (page 2 of 2);
ii. Excavation of an approximately 351 linear feet by 18 feet wide trench
for direct bury of the pipeline as depicted on Exhibit A;
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NorthWestern Energy License Agreement for the North Park Property
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iii. Assembly of the pipeline and other work activities related to the
pipeline installation in an approximately 351 feet by 100 feet area as
depicted on Exhibit A.
c. Accessing and performing construction-related activities within the Easement as
described in the Easement Modification Agreement attached hereto as Exhibit B
and incorporated herein by reference; and
d. Reclamation activities as needed to return all impacted areas of the Property to the
existing condition and to the satisfaction of the City.
2. Title. Licensee hereby acknowledges this license grants a privilege and not an
interest in the Property and the title of the City to the Property, and Licensee agrees never to
deny such title or claim, at any time, or claim any interest or estate of any kind or extent
whatsoever in the Property by virtue of this Agreement or Licensee’s occupancy or use
hereunder. The City may enter the site at any time to assert its real property interest or for other
purposes which do not unreasonably interfere with the activities of the Licensee. Nothing in this
Agreement shall limit, negate or abrogate the interests and rights of the Licensee arising pursuant
to that certain Right-of-Way Easement, dated April 12, 1950 and recorded on May 17, 1950 in
Book 101, at Page 444, in the records of the Gallatin County Clerk and Recorder, as modified by
that certain Easement Modification Agreement entered into contemporaneously with this
Agreement.
3. License. The City hereby grants permission to construct the pipeline,
revocable and terminable as provided herein, during the period commencing on or around
May 1, 2016 until December 31, 2016 on the terms and conditions set forth herein, which
Licensee promises to comply with and abide by. Such permission shall include the
permission of Licensee to use the Property to fulfill its obligations under this License and for
no other purpose. Provided however, Licensee shall have permission to enter the Property by
foot, light duty vehicles and a vacuum truck prior to May 1, 2016 to conduct utility locates,
surveys or other such pre-construction activities as may be needed. The term of this License may
be extended by mutual agreement of the Parties in writing.
Licensee agrees to comply with all City ordinances and other rules and regulations regarding
permits and approvals related to operations on the Property as well as those of any other
governmental entity having jurisdiction.
4. New Pipeline Installation.
a. The pipeline will be installed by a trenching operation, except for the crossing
of Mandeville Creek, which will be installed by a horizontal drilling
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NorthWestern Energy License Agreement for the North Park Property
Page 3
operation. In the area where the pipeline will be installed by a trenching
operation, NorthWestern will bury the pipeline to a depth of at least 42 inches
below the surface of the ground to the top of the pipeline. Where the pipeline
will be installed by a horizontal directional drilling operation, the pipeline will
be installed below 42 inches deep to such depths sufficient to accommodate
the engineering requirements of a horizontal directional drill, and to
adequately protect any stream riparian areas.
b. Within a reasonable time after completion of the pipeline construction,
Licensee will provide a drawing acceptable to the City including GPS
coordinates detailing the specific location of the new pipeline and the pipeline
appurtenances on the Park Property.
5. Reclamation Work. Licensee shall restore the Property to its existing condition
and to the City Representative’s satisfaction.
6. Abandonment of Existing Pipeline. Upon abandonment in place of the existing
pipeline on the Property, Licensee will evacuate all natural gas from the abandoned pipeline,
then cut and plate the pipeline at the west side of the Interstate 90 crossing on the northwesterly
end of the abandoned line, and cut and plate the pipeline on the west side of the future expansion
of Flora Lane on the State of Montana property at the southeasterly end of the abandoned
pipeline.
7. Indemnification/Insurance. The insurance and indemnification provisions of the
Easement Modification Agreement entered into contemporaneously with this Agreement, shall
apply equally to the terms of this Agreement.
8. Construction/Restrictions/Repair and Maintenance.
a. Licensee shall, at its sole cost and expense, install and maintain in good condition
wooden lath around the perimeter of any portion of the Property currently under
construction by Licensee. Any such wooden lath shall be provided for in a manner
to ensure emergency responders’ access.
b. For the use of any public rights-of-way or any real Property of the City other than
the Property the Licensee shall obtain an encroachment permit from the City’s
Director of Public Works or other applicable approvals.
c. Licensee shall keep the adjacent public properties including streets, alleys, and
sidewalks free from construction debris, snow, ice, and other materials stored or
located on the Property. Sediment, rock, mud, ice, snow, and other debris entering
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NorthWestern Energy License Agreement for the North Park Property
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upon public property outside the Property from the Licensee’s project shall be
cleaned or removed immediately.
d. Licensee agrees to immediately repair any damage caused by Licensee, its agents,
invitees, guests, contractors or subcontractors to any public property outside the
Property including but not limited to streets, curbs, sidewalks, and other
infrastructure to, for public infrastructure, the current City standard for that
infrastructure. Licensee agrees to timely comply with any request of the City to
perform maintenance and repairs to streets, curbs, sidewalks and other
infrastructure damaged by Licensee or Licensee’s agents, invitees, guests,
contractors, or subcontractors.
e. Any damage to the Property shall be repaired to a condition acceptable to the
City.
9. Waste, Nuisance, and Unlawful Use Prohibited. Licensee shall not commit, or
suffer to be committed, any waste on the Property, nor shall Licensee maintain, commit, or
permit the maintenance of any nuisance on the Property or use the Property for any unlawful
purpose. Licensee shall not do or permit anything to be done in or about the Property which
shall in any way conflict with any law, ordinance, rule, or regulation affecting the occupancy and
use of the Property, which are or may hereafter be enacted or promulgated by any public
authority.
10. Hazardous Materials. Licensee agrees and represents that it shall not store or
dispose of on the Property any “Hazardous Materials” as defined by Federal, State or local law
as from time to time amended.
11. Signage. Licensee and Licensee’s agents may not install any signage except as
approved by the City’s Representative or as required by federal regulation.
12. Termination.
a. If Licensee fails to comply with any condition of this Agreement at the time or in
the manner provided for, the City may, at its option, terminate this Agreement and
be released from all obligations if the Licensee’s default is not cured within sixty
(60) calendar days after written notice of the default is provided by the City to the
Licensee. Said notice shall set forth the items to be cured. Notices shall be
provided in writing and hand-delivered or mailed to the parties at the addresses
set forth in the first paragraph of this Agreement. Failure to cure any default may
result in an order by the City’s Representative for the Licensee to cease all
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NorthWestern Energy License Agreement for the North Park Property
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operations and remove all personal Park Property from the Park Property
immediately.
b. Licensee may terminate this Agreement upon thirty (30) days prior written notice
to City. Upon termination, Licensee shall remove its equipment and
improvements, and will restore the site to substantially the condition existing as of
the commencement date of this Agreement, normal wear and tear excepted.
13. Due Diligence. Licensee shall at all times exercise due diligence in the protection
of the Property against damages.
14. Nondiscrimination. Licensee agrees that all hiring by Licensee of persons
performing this Agreement shall be on the basis of merit and qualifications. The Licensee shall
not discriminate in the fulfillment of this Agreement on the basis of race, color, religion, creed,
sex, age, marital status, national origin, or actual or perceived sexual orientation, gender identity
or disability. The Licensee shall require these nondiscrimination terms of its agents and sub-
contractors providing services under this Agreement.
15. Amendment. Any amendment or modification of this Agreement or any
provision herein shall be made in writing or executed in the same manner as the original
document and shall after execution become a part of this Agreement.
16. Assignment. Licensee may not assign this Agreement in whole or in part and
may not sublet all or any portion of the Property without the prior written consent of the City.
No assignment will relieve Licensee of its responsibility for the performance of the Agreement
(including its duty to defend, indemnify and hold harmless). This license shall not run with the
land.
17. Waiver of Claims. Licensee waives all claims against City for injury to persons
or property on or about the Property or from its use of the Property except “responsibility for his
own fraud, for willful injury to the person or property of another, or for violation of law, whether
willful or negligent” as per 28-2-702, MCA. It shall be understood that the responsibility for
protection and safekeeping of equipment and materials on or near the Property will be entirely
that of the Licensee and that no claim shall be made against the City by reason of any act of an
employee, officer, or, agent of the City or any trespasser.
18. Representatives.
a. City’s Representative. The City Representative for the purpose of this
Agreement shall be Brit Fontenot, Director Economic Development, or his
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NorthWestern Energy License Agreement for the North Park Property
Page 6
successor or designee. Whenever approval or authorization from or
communication or submission to City is required by this Agreement, such
communication or submission shall be directed to the City’s Representative and
approvals or authorizations shall be issued only by such Representative; provided,
however, that in exigent circumstances when City’s Representative is not
available, Licensee may direct its communication or submission to other City
personnel or agents and may receive approvals or authorization from such
persons.
b. Licensee’s Representative. The Licensee’s Representative for the purpose of
this Agreement shall be Patrick Asay or his successor or designee. Whenever
direction to or communication with Licensee is required by this Agreement, such
direction or communication shall be directed to Licensee’s Representative;
provided, however, that in exigent circumstances when Licensee’s Representative
is not available, the City may direct its direction or communication to other
designated employees or agents of Licensee.
19. Permits. Unless otherwise agreed to in writing by the parties, Licensee shall
provide all notices, comply with all applicable federal, state, and local laws, ordinances, rules,
and regulations, obtain all necessary permits, licenses, and inspections from applicable
governmental authorities, and pay all fees and charges in connection therewith.
20. Intoxicants; DOT Drug and Alcohol Regulations. Licensee shall not permit or
suffer the introduction or use of any intoxicants, including alcohol or illegal drugs, upon the
Property. Licensee acknowledges it is aware of and shall comply with its responsibilities and
obligations under the U.S. Department of Transportation (DOT) regulations governing anti-drug
and alcohol misuse prevention plans and related testing. The City shall have the right to request
proof of such compliance and Licensee shall be obligated to furnish such proof. The City may
order removal from the Property of any employee or agent of Licensee or any of its
subcontractors for use of intoxicants on the Park Property.
21. Liens and Encumbrances. Licensee shall not permit any liens or encumbrances
to be filed on the Property related to the Licensee’s use of the Property. Prior to the expiration of
this Agreement or termination by the City or Licensee as provided herein Licensee shall furnish
the City with satisfactory proof that there are no outstanding liens or encumbrances in connection
with the Licensee’s use of the Park Property.
22. Dispute Resolution. Any claim, controversy, or dispute between the Parties, their
agents, employees, or representatives shall be resolved first by negotiation between senior-level
personnel from each party duly authorized to execute settlement agreements. Upon mutual
84
NorthWestern Energy License Agreement for the North Park Property
Page 7
agreement of the Parties, the Parties may invite an independent, disinterested mediator to assist
in the negotiated settlement discussions. If the parties are unable to resolve the dispute within
thirty (30) days from the date the dispute was first raised, then such dispute shall be resolved in a
court of competent jurisdiction in compliance with the Applicable Law provisions of this
Agreement.
23. Survival. Licensee’s indemnification obligations shall survive the termination or
expiration of this Agreement for the maximum period allowed under applicable law.
24. Headings. The headings used in this Agreement are for convenience only and are
not be construed as a part of the Agreement or as a limitation on the scope of the particular
paragraphs to which they refer.
25. Waiver. A waiver by City of any default or breach by Licensee of any covenants,
terms, or conditions of this Agreement does not limit City’s right to enforce such covenants,
terms, or conditions or to pursue City’s rights in the event of any subsequent default or breach.
26. Severability. If any portion of this Agreement is held to be void or
unenforceable, the balance thereof shall continue in effect.
27. Applicable Law. The Parties agree that this Agreement is governed in all
respects by the laws of the State of Montana. Jurisdiction for any dispute or claim raised under
this Agreement or proceeding brought to interpret the Agreement shall lie solely in the State of
Montana, Gallatin County.
28. Binding Effect: This Agreement is binding upon and inures to the benefit of the
heirs, legal representatives, successors, and assigns of the parties.
29. No Third-Party Beneficiary: This Agreement is for the exclusive benefit of the
parties, does not constitute a third-party beneficiary agreement, and may not be relied upon or
enforced by a third party except the City.
30. Counterparts. This Agreement may be executed in counterparts, which together
constitute one instrument.
31. Authority. Each party represents that it has full power and authority to enter into
and perform this Agreement and the person signing this Agreement on behalf of each party has
been properly authorized and empowered to sign this Agreement.
32. Independent Contractor. The Parties agree and acknowledge that in the
performance of this Agreement Licensee shall not be considered an agent, representative,
85
NorthWestern Energy License Agreement for the North Park Property
Page 8
subcontractor, or employee of the City. The Parties further agree that all individuals and
companies retained by Licensee at all times will be considered the agents, employees, or
independent contractors of Licensee and at no time will they be the employees, agents, or
representatives of the City.
33. Integration. Except as otherwise provided, this Agreement constitutes the entire
agreement of the Parties. Except as otherwise provided, covenants or representations not
contained therein or made a part thereof by reference, are not binding upon the parties. Except
as otherwise provided, there are no understandings between the parties other than as set forth in
this Agreement. Except as otherwise provided, all communications, either verbal or written,
made prior to the date of this Agreement are hereby abrogated and withdrawn unless specifically
made a part of this Agreement by reference.
########### End of Agreement except for signatures ###########
86
NorthWestern Energy License Agreement for the North Park Property
Page 9
Executed this _____ day of __________________, 2016.
City:
By: _____________________
Bozeman City Manager
STATE OF MONTANA )
: ss.
County of Gallatin )
This instrument was acknowledged before me on the _____ day of ________________, 20___
by Chris A. Kukulski, as City Manager for the City of Bozeman, Montana.
__________________________________________
Notary Public for the State of Montana
Printed Name: _____________________________
(SEAL) Residing in________________________________
My Commission Expires:_____________________
_____________________________________________________________
Name of Entity (Licensee)
By: _______________________
STATE OF MONTANA )
: ss.
County of Gallatin )
This instrument was acknowledged before me on the _____ day of ________________, 20___
by Patrick Asay, as Manager – Lands and Permitting of NorthWestern Corporation.
__________________________________________
Notary Public for the State of Montana
Printed Name: _____________________________
(SEAL) Residing in________________________________
My commission expires: _____________________
87
Exhibit B – NorthWestern Energy License Agreement for the North Park Property
EXHIBIT A
(Pipeline Access and Layout Diagram)
88
R:\GGAS-DFT\BOZEMAN_SERVICE_CENTER\6310-06-BOZEMAN REROUTE MODIFIED-SITE MAP MODIFIED 08-11-15\C15037-1.DWG 9/25/2015 11:20 AM 00018313C15037-1ExhibitBozeman - Butte Line 12"Pipeline Crossing City Of BozemanProperty Exhibit A20'20'40'Total Length = 524.2'Total Area = 20,738.1 FtTotal Acres = 0.472Abandoned EasementAbandoned Easement20'
20'
40'20'100'25'505' x 25'Pipe LayoutCorridor505' x 25'Pipe LayoutCorridor669.4' x 100'Work Area1,457.0' x 20'Access RoadTotal Length = 2,631.4'Total Area = 105,867.5 FtTotal Acres = 2.432Work Area/Access RoadTotal Length = 2,631.4'Total Area = 105,867.5 FtTotal Acres = 2.432Work Area/Access Road669.4' x 100'Work Area1,457.0' x 20'Access RoadTotal Length = 608.1'Total Area = 23,925.5 FtTotal Acres = 0.552Proposed RerouteRelocated EasementRelocated EasementTotal Length = 524.2'Total Area = 20,738.1 FtTotal Acres = 0.472Abandoned EasementAbandoned EasementTotal Length = 608.1'Total Area = 23,925.5 FtTotal Acres = 0.552Proposed RerouteRelocated EasementRelocated Easement89
R:\GGAS-DFT\BOZEMAN_SERVICE_CENTER\6310-06-BOZEMAN REROUTE MODIFIED-SITE MAP MODIFIED 08-11-15\C15037-1.DWG 9/21/2015 3:19 PM 00018313C15037-1ExhibitBozeman - Butte Line 12"Pipeline Crossing City Of BozemanProperty Exhibit BTotal Length = 343.8'Total Area = 16,003.4 FtTotal Acres = 0.372Abandoned EasementAbandoned Easement20'
20'
40'351.3' x 100'Work Area1,300.0' x 20'Access RoadTotal Length = 1,651.3'Total Area = 61,244.9 FtTotal Acres = 1.412Work Area/Access RoadTotal Length = 1,651.3'Total Area = 61,244.9 FtTotal Acres = 1.412Work Area/Access Road351.3' x 100'Work Area1,300.0' x 20'Access RoadTotal Length = 351.1'Total Area = 14,053.3 FtTotal Acres = 0.322Proposed RerouteRelocated EasementRelocated EasementTotal Length = 343.8'Total Area = 16,003.4 FtTotal Acres = 0.372Abandoned EasementAbandoned EasementTotal Length = 351.1'Total Area = 14,053.3 FtTotal Acres = 0.322Proposed RerouteRelocated EasementRelocated Easement20'10
0
'
20'
40'90
Exhibit B – NorthWestern Energy License Agreement for the North Park Property
EXHIBIT B
(Easement Modification Agreement)
91
EASEMENT MODIFICATION AGREEMENT PAGE 1 OF 9
After Recording, Return To:
NorthWestern Energy
Lands & Permitting Dept.
40 East Broadway
Butte, MT 59701
EASEMENT MODIFICATION AGREEMENT
This Easement Modification Agreement (“Agreement”), dated the ___ day of
__________, 2016, is made and entered into by and between NorthWestern
Corporation, d/b/a NorthWestern Energy, a Delaware corporation, with a mailing
address of 40 East Broadway, Butte, Montana 59701-9394 (“NorthWestern”), and the City
of Bozeman, a self-governing municipality operating pursuant to its Charter and the laws
of the State of Montana, with a mailing address of P.O. Box 1230, Bozeman, MT 59771
(“Owner”), and provides as follows:
Recitals
1. Owner is the owner of certain real property, located in Gallatin County, Montana,
which is described as follows:
Tract 1-A and Tract 4-A of Certificate of Survey No. 2153, situated in
the NW¼ of Section 36, Township 1 South, Range 5 East, P.M.M.,
Gallatin County, Montana, according to the official plat thereof on file
and of record in the office of the County Clerk and Recorder of Gallatin
County, Montana. (the “Real Property”)
2. NorthWestern is the holder of a Right of Way Deed for a natural gas pipeline, affecting
the Real Property, dated April 12, 1950 and recorded on May 17, 1950 in Book 101, at
Page 444, in the records of the Gallatin County Clerk and Recorder (the “Easement”).
3. NorthWestern desires to relocate a segment of the natural gas pipeline from its
present location the Real Property to a new location on the Real Property, subject to
the terms and conditions of this Agreement.
Agreement
Now therefore, in consideration of not less than the appraised value and other good and
valuable consideration in hand paid, the receipt of which is acknowledged,
NorthWestern and Owner agree as follows:
1. Relocation of Pipeline. The segment of the pipeline to be relocated, including both
the existing location to be abandoned (the “Abandoned Easement”) and the new
location where the pipeline will be built (the “Relocated Easement”), are depicted
on the attached Exhibit “A”. Subject to the other provisions of this Agreement,
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EASEMENT MODIFICATION AGREEMENT PAGE 2 OF 9
NorthWestern shall use best efforts to ensure that the relocation of the pipeline
segment is completed by December 31, 2016. All costs and expenses of relocating
the segment of the pipeline shall be paid for by NorthWestern. It is understood
that the existing pipeline, now located underneath the area to be abandoned, shall
remain buried in the ground and that NorthWestern shall have no obligation to
remove it.
2. Release of Easement. Effective immediately at the time the relocated pipeline is
put into operation NorthWestern shall be deemed to release, remise and quitclaim,
without warranty of any kind, that segment of the Easement located upon the Real
Property and depicted on Exhibit “A” as “Abandoned Easement” and shall record
at the Gallatin County Clerk and Recorder’s Office, within a reasonable time
thereafter, a legal document satisfactory to the Bozeman City Attorney evidencing
the release. The pipeline in the Abandoned Easement will be evacuated of all
natural gas and will be capped in accordance with a separate agreement between
the Parties. NorthWestern has agreed to allow the City, its successors or assigns
the use of the abandoned pipeline for a potential development conduit
infrastructure. If and at such time as the City seeks to utilize the abandoned
pipeline, the parties hereto agree to execute any additional agreements, waivers
or releases of liability and ownership as may be required by NorthWestern to
complete the transfer of the abandoned pipeline to the City.
Nothing herein shall be deemed to release or in any way affect any other easement
which may benefit NorthWestern, other than the Easement as expressly identified
herein, and then solely as is described herein. Further, nothing herein shall affect
the Easement in the event it should burden lands other than the Real Property.
3. Grant of Easement. Owner hereby grants unto NorthWestern, for its benefit, and
that of its successors, assigns and permittees, a perpetual, non-exclusive easement
forty (40) feet in width, upon which to construct, operate, maintain, replace,
upgrade and remove one natural gas pipeline, no more than sixteen (16) inches in
diameter, and necessary appurtenances, over, under, along and across those
portions of the Real Property which are depicted on the attached Exhibit “A” as
“Relocated Easement”, together with reasonable right of access to and from the
easement area over lands of the Owner using existing roads and trails, which are
also depicted on the attached Exhibit “A”; the right to use and keep the easement
area free and clear of any and all obstructions or structures, except fences; and the
right to clear and remove all timber, brush, or vegetation from the easement area
that may in Grantee’s opinion endanger the pipeline, or necessary appurtenances.
Before conducting any maintenance or repair of the pipeline, and before clearing
or removing any timber, brush or vegetation from the easement area,
NorthWestern shall provide notice to the Owner or its designee at least ten (10)
days in advance unless (i) access to the easement area is made from an existing
road, or (ii) exigent circumstances reasonably require a shorter notice period or no
notice. It is agreed that the pipeline, and necessary appurtenances shall all be
located within the forty (40) foot easement area, and other than the signage and
cathodic protection test leads as required under federal regulation, the pipeline,
93
EASEMENT MODIFICATION AGREEMENT PAGE 3 OF 9
and appurtenances shall be buried. NorthWestern further agrees that when
maintenance and repair activities are undertaken all vehicles, equipment and
personnel involved in such activities will be contained within the forty (40) foot
easement area or within such other area for which Owner may give prior consent in
writing, which consent shall not be unreasonably withheld. Owner reserves all
right to utilize its Real Property provided such use does not unreasonably interfere
with the easement granted herein.
4. Reclamation. NorthWestern shall at its own cost and expense and promptly
following initial construction of the pipeline and any subsequent maintenance or
repairs to the pipeline, replace or repair all roads, drainage, fences, vegetation, and
other property damaged by the construction, maintenance or repairs to a condition
substantially the same as existed prior to such work and acceptable to the Owner or
its designee.
5. Abandonment. If at any time after the pipeline is put into operation,
NorthWestern, its successors or assigns, intentionally and voluntarily ceases to
operate the pipeline for a period of more than five (5) years, the easement as
granted herein shall terminate and be of no further force or effect.
6. Indemnification. NorthWestern agrees to release, defend, indemnify and save
Owner, its agents, representatives, employees and officers (collectively, “City”)
harmless from:
a. any and all claims, demands, costs, expenses, damages and liabilities for
injury, loss or damage to any person, entity or property arising out of,
resulting from, or occurring in connection with NorthWestern’s, its
contractor’s, and subcontractor’s, use of the easement granted herein for the
construction, installation, testing, operation, maintenance or repair to the
pipeline and any appurtenances;
b. any and all claims, demands, costs, expenses, damages, and liabilities
directly caused by the abandoned pipeline; and
c. any and all claims, demands, costs, expenses, damages, and liabilities
arising out of, resulting from, or occurring in connection with any labor
problems or disputes or any delays or stoppages of work associated with
such problems or disputes.
Nothing in this Agreement shall obligate NorthWestern to remove the abandoned
pipeline. Should the City be required to remove the abandoned pipeline by law,
court order, or any federal or state regulatory authority determination,
NorthWestern agrees to reimburse the City for all expenses related to such
removal.
Such obligations shall not be construed to negate, abridge, or reduce other rights
or obligations of indemnity that would otherwise exist. The indemnification
obligations of this Section must not be construed to negate, abridge, or reduce
94
EASEMENT MODIFICATION AGREEMENT PAGE 4 OF 9
any common-law or statutory rights of the indemnitee(s) which would otherwise
exist as to such indemnitee(s).
NorthWestern’s indemnity under this Section shall be without regard to and
without any right to contribution from any insurance maintained by Owner.
Should any indemnitee described herein be required to bring an action against
NorthWestern to assert its right to defense or indemnification under this
Agreement or under NorthWestern’s applicable insurance required below the
indemnitee shall be entitled to recover reasonable costs and attorney fees
incurred in asserting its right to indemnification or defense but only if a court of
competent jurisdiction determines NorthWestern was obligated to defend the
claim(s) or was obligated to indemnify the indemnitee for a claim(s) or any
portion(s) thereof.
In the event of an action filed against Owner resulting from the Owner’s
obligations under this Agreement, the Owner may elect to represent itself and
incur all costs and expenses of suit.
NorthWestern also waives any and all claims and recourse against the Owner or
its officers, agents or employees, including the right of contribution for loss or
damage to person or property arising from, growing out of, or in any way
connected with or incident to the performance of this Agreement except
“responsibility for his own fraud, for willful injury to the person or property of
another, or for violation of law, whether willful or negligent” as per 28-2-702,
MCA.
These obligations shall survive termination of this Agreement.
7. Insurance. NorthWestern maintains insurance, including self-insured retention
and excess coverage, as set out on Exhibit “B”. At no time during the term of this
Agreement shall NorthWestern reduce its self-insured retention and excess
coverage as set out in Exhibit “B” or permit its insurance coverage insuring the
indemnification obligations assumed by NorthWestern in Section 6 fall below the
limits set out below:
• Workers’ Compensation – statutory;
• Employers’ Liability - $1,000,000 per occurrence; $2,000,000 annual
aggregate;
• Commercial General Liability - $1,000,000 per occurrence; $2,000,000
annual aggregate;
• Automobile Liability - $1,000,000 property damage/bodily injury;
$2,000,000 annual aggregate
95
EASEMENT MODIFICATION AGREEMENT PAGE 5 OF 9
Subcontractors hired by NorthWestern to provide services related to the gas
pipeline on the Property shall carry insurance in the above amounts and shall
name the City of Bozeman as an additional insured.
8. Modifications and Assignments. This Agreement supersedes all prior discussions
and agreements between the parties with respect to the subject matter hereof and
contains the sole and entire agreement between the parties with respect to such
subject matter. This Agreement may not be modified or terminated unless in
writing signed by the party against whom the same is sought to be enforced.
9. Controlling Law. This Agreement shall be interpreted under and governed by the
laws of the State of Montana, without regard to conflict of law rules.
10. Interpretation. This Agreement has been reviewed by both parties, each of whom
has had the opportunity to consult with independent counsel regarding it and has
done so to the extent that such party desired. No stricter construction or
interpretation of the terms hereof shall be applied against either party as the
drafter hereof.
11. Severability. The invalidity or unenforceability of any provision of this Agreement
shall not affect the other provisions hereof, and this Agreement shall be construed
in all respects as if such invalid or unenforceable provisions were omitted.
12. Headings. The headings of sections and paragraphs of this Agreement are for
convenience of reference only and are not intended to restrict, affect or be of any
weight in the interpretation or construction of the provisions of such sections or
paragraphs.
13. Certification. Owner represents that it is the sole owner of the Real Property, and
has the right to enter into this Agreement. NorthWestern represents that it is the
owner of the Easement, and has the right to enter into and perform this
Agreement. Further, the individuals signing for the parties each hereby represent
that they are duly authorized and empowered to execute this Agreement on behalf
of the party for whom each signs, and that once signed that this will be binding on
the parties hereto.
14. Attorneys’ Fees. In the event either party finds it necessary to employ counsel in
order to enforce or rescind any term or provision of this Agreement, including
any proceeding in bankruptcy before any officer or judge of the U.S. Bankruptcy
Court or any proceeding pertaining thereto, the prevailing party shall be entitled
to recover from the other party in addition to costs and disbursements allowed by
law, the prevailing party's reasonable attorneys’ fees, to include fees, salary and
costs of in-house counsel including those in the office of the Bozeman City
Attorney. Attorneys’ fees shall include any attorneys services rendered prior to
the institution of litigation or proceedings in bankruptcy and include all matters
96
EASEMENT MODIFICATION AGREEMENT PAGE 6 OF 9
pertaining to litigation, or proceedings in bankruptcy and include all matters
pertaining to litigation, or proceedings in bankruptcy as may be necessarily
incurred in such proceedings and shall include an estimate of the attorneys’ fees
to be incurred by the prevailing party following any initial decision or judgment
entered in connection with that matter.
15. Effect. The Easement, as modified hereby, and the additional grants and
agreements made by the parties shall run with the land and shall be binding on
and shall inure to the benefit of the parties to this Agreement and their respective
successors, assigns and permittees. Except as expressly set forth herein, the
Easement remains unchanged and in all other respects any other easements held
by NorthWestern which are not referenced herein remain unchanged.
* * * * *
Signatures and Notary Acknowledgements on Next Page
* * * * *
97
EASEMENT MODIFICATION AGREEMENT PAGE 7 OF 9
City of Bozeman, a political subdivision
of the State of Montana
By: ______
Chris Kukulski
Its:_City Manager_______________
_
NorthWestern Corporation d/b/a
Northwestern Energy a Delaware Corporation
By: __
Patrick Asay
Its: Manager - Land & Permitting
STATE OF MONTANA )
).ss
COUNTY OF SILVER BOW )
This instrument was acknowledged before me on _____________, 2016, by
Patrick Asay, known to me to be the Manager - Land & Permitting for NorthWestern
Corporation, d/b/a NorthWestern Energy.
NOTARY SEAL
______ _
Printed Name: ___________________
Notary Public for the State of Montana
Residing at: _____________________
My Commission Expires: ____________
STATE OF MONTANA )
)ss.
COUNTY OF GALLATIN )
This instrument was acknowledged before me on , 2016,
by Chris Kukulski, known to be the City Manager for The City of Bozeman, a Montana
municipal corporation.
NOTARY SEAL ______ _
Printed Name: ___________________
Notary Public for the State of Montana
Residing at: _____________________
My Commission Expires: ____________
Project: Bozeman East Dry Creek Pipeline
Agent: Jeff Harmon
SAP No: PR 108813 - 6017262-0110
E#
98
EASEMENT MODIFICATION AGREEMENT PAGE 8 OF 9
EXHIBIT A
Relocated Easement
99
R:\GGAS-DFT\BOZEMAN_SERVICE_CENTER\6310-06-BOZEMAN REROUTE MODIFIED-SITE MAP MODIFIED 08-11-15\C15037-1.DWG 1/15/2016 8:52 AM 00018313C15037-1ExhibitBozeman - Butte Line 12"Pipeline Crossing City Of BozemanTotal Length = 959.2'Total Area = 37,978.8 FtTotal Acres = 0.872Proposed RerouteProposed Reroute20'
20'
40'Property20'20'40'Relocated EasementRelocated EasementRelocated EasementTotal Length = 868.0'Total Area = 36,741.5 FtTotal Acres = 0.842Abandoned EasementAbandoned EasementAbandoned Easement20'
40'
20'
20'
40'Tract 1-ALength - 607.9'Area - 23,925.5 FtAcres - 0.552Tract 4-ALength - 351.3'Area - 14,053.3 FtAcres - 0.322100
EASEMENT MODIFICATION AGREEMENT PAGE 9 OF 9
EXHIBIT B
Proof of Self-Insurance Coverages 2014-2015 NorthWestern Corporation (dba NorthWestern Energy) Insurance Coverages NorthWestern Corporation
• Is a large publicly traded (Delaware) corporation:
o Federal Tax ID number: 46-0172280
• Is self-insured to $1 million for property and property of others in our care, custody, and control
• Is self-insured to $2 million for general liability
• Is self-insured to $1 million for auto liability
• Is self-insured to $2 million for workers compensation liability and is duly registered with the State
of Montana as a self-insured entity
• Maintains excess liability coverage above the self-insured amounts for catastrophic situations
Additional info may be obtained from:
Chad Wilde Risk Analyst
NorthWestern Energy 600 Market St. W
Huron, SD 57350 605-353-7620
Cell 605-354-2705 chad.wilde@northwestern.com
101