HomeMy WebLinkAboutContract 18367 r r
AGREEMENT cy c l
THIS AGREEMENT is entered into this day , ..
of January, 1991 between BURLINGTON NORTHERN RAILROAD CITY SECRETARY
CONTRACT.
COMPANY, a Delaware Corporation (hereinafter called "BN" ) ,
the CITY OF FORT WORTH, a Texas Home-Rule Municipal
Corporation (hereinafter called "City" ) , the MISSOURI
PACIFIC RAILROAD COMPANY, a Delaware Corporation (herein-
after called "MP") , and PROCTER & GAMBLE OILSEED PRODUCTS
COMPANY, an Ohio Corporation (hereinafter called "P & G") .
WHEREAS, BN intends to discontinue its rail
service on industrial trackage adjacent to Biddison Street
in Fort Worth, TX.
WHEREAS, P & G is an active Industry on the line
to be discontinued.
WHEREAS, P & G wishes to continue to receive rail
service after BN discontinues its service.
WHEREAS, the City supports BN' s discontinuance of
service and will fund the cost of construction of a
connection from the MP mainline to the existing track over
which BN serves the west side of P & G at a total cost not
to exceed $130, 000 .
OFFICIAL RECORD
SHRETARY
T11
WHEREAS, MP is willing to provide service to P & G
on the industry track serving the western side of P & G so
long as MP incurs no cost for the construction or
maintenance of such track.
NOW THEREFORE, the parties agree as follows :
1 . P & G and MP, as successor to Missouri-Kansas-
Texas Railroad Company, shall execute an amendment to the
existing Industrial Track Agreement between their companies
dated July 1, 1981, incorporating new trackage to be owned
by P & G as provided herein. Where conflicts exist between
this contract and said July 1, 1981 agreement, provisions of
this contract will prevail.
2 . BN, MP and City will coordinate the work needed to
upgrade the existing track serving the west side of P & G to
meet the requirements of MP as outlined in Exhibit A and
construct a new switch connecting that track to MP' s track.
The City, at its expense, will only be responsible for
upgrading the Biddison Street crossing on the existing
track. BN will be responsible for the expense of upgrading
the remainder of the industry track to the new connection to
be installed by MP at City expense as outlined in Section 4 .
2
3 . (a) BN agrees to quitclaim to City, in the form
attached hereto as Exhibit B, all of its
right, title and interest, if any, in and to
the right-of-way along Biddison Street
between P & G and the Atchison, Topeka &
Santa Fe Railway connection (ATSF) ,
containing approximately 7. 67 acres as
evidenced on the attached Exhibit C. City
shall obtain a survey, independent appraisal
and environmental report of the quitclaimed
area at no cost to BN prior to the execution
of the quitclaim deed. BN and the City
estimate the value of the quitclaimed area to
be equal to or greater than the amounts to be
paid by City under this Agreement .
(b) Upon execution of this Agreement, City shall
proceed to have an environmental inspection
performed on the property to be quitclaimed.
The environmental inspection shall be at
City' s expense and shall be completed prior
to conveyance of this quiclaim deed. If
either BN or City is unsatisfied in any way
with the results of said inspection, either
party may terminate its participation in this
Agreement by notice in writing to all
3 OFFICIAL RECORD
CITY SECRETARY p
FT. WORTH, TEX.
parties, decline to accept the deed to the
quitclaimed area, and be under no further
obligation to the other parties hereunder.
(c) Within 30 days following date of transfer,
Grantor shall assign to Grantee all leases,
permits, licenses, easements and any other
property related agreements pertaining to the
property described in Exhibit C.
4 . MP, at expense of City, shall construct a turnout
to the clearance point from the MP mainline and approxi-
mately 500 foot of track connecting the MP turnout to the
existing industry track serving the west side of P & G, as
shown by the dashed line on Exhibit D. The City shall pay
MP the sum of $130, 000 prior to construction to cover the
entire cost of this construction, including materials,
labor, overhead, etc. , provided, however, in no event shall
the City' s liability for all costs hereunder exceed the
total amount of One Hundred Thirty Thousand dollars . MP
shall provide a complete accounting of the cost of
constructing the turnout and connecting track to the City
and return any unexpended funds .
4
5 . MP agrees to keep P & G open to reciprocal
switching. MP acknowledges and agrees that this provision
is for the benefit of P & G. MP will indemnify and hold
harmless BN for any liability arising out of MP' s failure to
comply with this commitment to P & G.
6 . This Agreement shall be governed by the laws of
the State of Texas .
7. This Agreement shall not be deemed or construed to
be modified, amended, rescinded, canceled or waived, in
whole or in part except by written amendment signed by all
parties hereto.
8 . All written notices and correspondence shall be
sent to:
Burlington Northern Railroad Company
Business Development
Mr. T. Michael Power
3700 Continental Plaza
777 Main Street
Fort Worth, Texas 76102
City of Fort Worth
James R. Anderson
Chief, Capital Project Activities
Transportation and Public Works Department
100 Throckmorton
Fort Worth, Texas 76102
Procter & Gamble Cellulose Company
Paul Schrier
Distribution Manager
1001 Tillman Street
Memphis, Tennessee 38112
5
Missouri Pacific Railroad Company
Contracts & Real Estate Department
Mr. D. - H. Lightwine
Director-Field Operations
1416 Dodge Street - Room 1100
Omaha, Nebraska 68179
or to any other person or place otherwise designated by the
parties hereto.
IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be executed in quadruplicate as of the day
and year first herein above written.
CITY OF FORT *ORTH;
D A Ivoky, 'C' t --Manager
By
A sistan6' City Manager
MISSOURI PACIFIC RAILROAD COMANY
By
Title -aid
APPRO AS TO FOMf AND LNGALITY:i
PROCTER & G OILS PRODUCTS
COMPANY
Assistant City orney ,�
By
Title:
BURLINGT NORTHERN RAILROAD COMPANY
f'
By:_
Title:
6
ATTEST:
-'City Secretary _
Fort Worth, Texas
contract Authori�zat.�ion
Date �+���
EXHIBIT A
U N 1 0 N P A C I F I C R A I L R 0 A D C 0 M P A N Y
24125 Aldine Westfield Road
Spring , Texas 77373
713/350-7637
December '13 , 1 T
Ir . Mike Power
) irec •or , ShortLine SaLes/Marketing
?ur L i ng ton Northern Ra i Lroad
177 Main Street
it . Worth , Texas 76`102
)ea • Mike :
Referencc our past correspondence and conversations regarding the proposal for
Jnion Pacific to Provide service to Traders Oil Mill an the west side of their
Kant , current Ly being served by your company,
our Manager of Engineering Maintenance has inspected your track and has provided
the following scope of work that will be required to rehabilitate your track
from the end of our new construction to the end of the existing track :
200 7X9X8 ' cross ties (except 9 ' through Biddison St . )
4 cars of ballast
56 ft . heavy duty timber road crossing (B ! ddison St . )
2 crossbuck warning signs with posts
Relay existing 75/80/900 mixed rail with 1 ! 20/104 rail -- approximately
38 rail Lengths from tie in to end (available from other BN tracks to be
retired and removed in the general vac: inity) .
rhis work could be done by your forces while we are constructing the connection.
If you have any questions , Let me know .
TincereLy,
:c : Jim Anderson - City of Ft . Worth
Ron Short - Ft . Worth
f
EXHIBIT B
QUITCLAIM DEED
STATE OF TEXAS )
) KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF TARRANT )
That BURLINGTON NORTHERN RAILROAD COMPANY, (formerly named
Burlington Northern Inc.), a corporation organized and existing under and by virtue
of the laws of the State of Delaware, "Grantor" herein, for and in consideration of
the sum of ONE DOLLAR ($1.00) and other good and valuable consideration, to it in
hand paid by CITY OF FORT WORTH, a Texas municipal corporation, of, "Grantee"
herein,the receipt of which is hereby acknowledged, does by these presents
BARGAIN, SELL, RELEASE and FOREVER QUITCLAIM, without any covenants of
warranty whatsoever and without recourse to the Grantor, its successors and assigns,
unto the said Grantee, its successors and assigns, all its right, title and interest in and
to those tracts or parcels of land lying, being and situate in Tarrant County, Texas,
being more particularly described as follows:
INSERT LEGAL DESCRIPTION HERE
SUBJECT, however, to all existing interests, including but not limited to all
reservations, rights-of-way and easements of record or otherwise.
ALSO, the Grantee, and for its successors and assigns, by acceptance of this
deed, hereby releases and forever discharges the Grantor, its successors and assigns,
from any and all present or future obligations of the Grantor, its successors and
assigns, related specifically to the construction of or continued maintenance thereto
of any railroad fences, snow fences, road crossings, cattle guards, gates, farm
crossings, bridges, drainage or irrigation pipes, if any, located and situate on the
premises herein conveyed.
To the extent permitted by law, Grantee, its successors and assigns, shall
indemnify and hold harmless Grantor from and against any and all suits, actions,
demands, damage, loss, injury, liabilities, claims, costs, expenses, fines, penalties and
judgments, including interest and attorneys' fees, in any way connected with any
injury to any person or damage to any property arising from related to, or
occasioned in any way by the deposit of hazardous substances or contaminants on
the property after Grantee's possession of the property hereunder or by the
negligent or intentional activities of Grantee after Grantee has taken possession of
the property hereunder.
Except as set forth in the immediately preceding paragraph, Grantee, its
successors and assigns, hereby waives, releases and discharges forever Grantor from
all present and future claims, demands, suits, and liability for damages, losses, costs,
liabilities, fees and expenses arising out of or in any way connected with Grantee's
use, maintenance, ownership or operation of the property,
IN WITNESS WHEREOF, the said Grantor has caused this instrument to be
signed by its Director - Title Services, attested by its Assistant Secretary, and its
r
corporate seal to be affixed on the day of ,
19
BURLINGTON NORTHERN
RAILROAD COMPANY
ACCEPTED:
CITY OF FORT WORTH
By By
Title J. H. likka
Director -Title Services
ATTEST: ATTEST:
By By
e Anita D. Wells
Assistant Secretary
STATE OF TEXAS )
) SS.
COUNTY OF TARRANT )
BEFORE ME, the undersigned authority, on this day personally appeared
, known to me to be the
person and officer whose name is subscribed to the toregoing instrument and
acknowledged to me that the same was the act of the said City of Fort Worth, a
corporation, and that he executed the same as the act of such corporation for the
purposes and consideration therein expressed, and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, thisthe
day of A.D., 19
Notary Public in and for the State of
My commission expires:
STATE OF WASHINGTON )
) SS.
COUNTY OF KING )
BEFORE ME, the undersigned authority, on this day personally appeared
J. H. Ilkka, known tome to be the person and officer whose name is subscribed to
the foregoing instrument and acknowledged to me that the same was the act of the
said Burlington Northern Railroad Company, a corporation, and that he executed
the same as the act of such corporation for the purposes and consideration therein
expressed, and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the
day of , A.D., 19
Notary Public in and tor the State ot Washington
My commission expires:
City of Fort Worth, EexLi A'e7
Mayor and Council C ni cation
DATE REFERENCE SUBJECT:AGREEMENT WITH THE BURLINGTON PAGE
NUMBER NORTHERN RAILROAD (BNRR), THE MISSOURI 3
12-11-90 **C-12652 PACIFIC RAILROAD (MPRR), AND PROCTOR & 1of
GAMBLE EED PRODUCTS COMPANY----O,
AND ACQUISTION OF RAILROAD R.O.W. IN VICINTY
OF BIDDISON STREET
RECOMMENDATION
It is recommended that the City Council :
1. authorize the City Manager to execute an agreement with the Burlington
Nor n._ Railroad_ (BNRR), Proctor & Gamble Oilseed Products ompany
P&G) the Missouri Pacific Railroad (MPRR) providing for the
abandonment of trackage along Biddison Street, the acquisition of this
R.O.W. by the City, the funding by the City of a connection to the
Missouri-Pacific main line of the industry track, and the upgrade of
the Biddison Street Crossing; and
2. approve the following bond fund transfer:
FROM TO AMOUNT REASON
GS21-020210239010 GS21-020210340170 $74,458.00 To provide funds
Major Thoroughfares Biddison Street for Biddison Rail-
Unspecified Crossing road track and
crossing.
GS21-020210259010 GS21-020210340170 $25,427.99 To provide funds
Street Resurfacing/ Biddison Street for Biddison Rail-
Reconstruction Crossing road track and
Unspecified crossing.
GS21-020210369010 GS21-020210340170 $44,285.01 To provide funds
New Additions Biddison Street for Biddison Rail-
Unspecified Crossing road track and
BACKGROUND crossing.
In 1985, the City completed the widening and improvement of Biddison Street
between Hemphill and McCart. Most of the widening was on the Burlington
Northern Railroad (BNRR) R.O.W. on the north side. The elevation of the
track in relation to the street elevation effectively closed College Street
at Biddison and made passage difficult at several other cross-streets along
Biddison. In the course of negotiating with BNRR regarding the lowering of
the track, BNRR indicated a willingness to abandon the track providing that
service to the west side of Traders Oil Mill (owned by P&G) could be
preserved. Toward that end, the BNRR has proposed an agreement with the
City, the Missouri Pacific Railroad and P&G as follows:
DATE NUMBER REFERENCE SUBJECT: AGREEMENT WITH THE BURLINGTON PAGE ,
12-11-90 **C-12652 NORTHERN RAILROAD (BNRR), THE MISSOURI 2 — of 34 "y
GAMBLE OILSEED PRODUCTS COMPANY — ABANDONMENT
AND ACQUISTION OF RAILROAD R.O.W. IN VICINTY
OF BIDDISON STREET
(1) BNRR would abandon the existing trackage and fee—owned R.O.W.
along Biddison Street in favor of the City of Fort Worth.
(2) The City of Fort Worth would fund the construction by MPRR of a
connection of the industry track formerly served by BNRR to the
Missouri Pacific main line at a cost not to exceed $130,000. This
includes a new crossing at Bewick Street.
(3) The BNRR would upgrade the industry track to MPRR standards at
BNRR's expense except for the crossing of Biddison Street which
would be upgraded by the City at an estimated cost of $18,000.
(4) The City would perform a survey and appraisal of the land to be
quitclaimed by BNRR to the City which has an estimated value of
$167,000. The cost of the survey and appraisal is estimated at
$4,000.
(5) The MPRR will continue to service Traders' Oil Mill and provide
reciprocal switching options.
(6) P&G agrees to sign the Industry Track Agreement with MPRR.
(7) . The City will perform an environmental survey of the property to
be received from BNRR. The cost of this survey is estimated at
under $3,000.
Although not spelled out in the agreement, the City of Fort Worth would also
remove and repair the BNRR crossing of Hemphill at some future time. This
crossing location is a source of continuous and numerous citizen complaints.
The Fort Worth Western Railroad had been negotiating with BNRR for the
switching rights at Trader' s Oil facility. The staff reviewed all of the
service options as they related to the grade problems with Biddison, the
potential economic development opportunity and associated public/private
expense. Ultimately, BNRR indicated that Trader' s Oil preferred to be
served by a larger organization and BNRR preferred to finalize this
negotiated agreement.
The advantages of this agreement to the City of Fort Worth are:
(1) It represents an economical way of correcting the grade problems
along Biddison Street when compared to conventional methods such
as lowering the track.
(2) It allows the elimination of four railroad grade crossings along
Biddison which improves traffic safety in the area.
(3) It provides the City with valuable R.O.W. along the north side of
Biddison Street.
DATE REFERENCE SUBJECT: AGREEMENT WITH THE BURLINGTO PAGE
NUMBER NORTHERN RAILROAD (BNRR), THE MISSOURI 3 Of 3
12-11-90 **C-12652
GAMBLE OILSEED PRODUCTS COMPANY - ABANDONMENT
AND ACQUISTION OF RAILROAD R.O.W. IN VICINTY
OF BIDDISON STREET
(4) It allows the upgrade of the pavement on Hemphill Street at the
BNRR crossing location and provides for improved ride quality on
Biddison Street at the industry track location.
(5) Property values along Biddison Street between Ryan Street and
Hemphill Street should benefit from the elimination of the
railroad track.
FINANCING
Sufficient funds are available for transfer from Street Improvements Fund
GS21, Center No. 020210239010, Major Thoroughfares Unspecified, Center No.
020210259010 Street Resufacing/Reconstruction Unspecified, and Center No.
020210369010, New Additions Unspecified.
Upon approval and completion of Recommendation No. 2, sufficient funds will
be available in Street Improvements Fund GS21, Center No. 020210340170.
Expenditures will be made from Account No. 541200.
MG:u
20BNRR
APPROVED BY
CITY COUNCIL
DEC 11 1990
U 4a"�—
City Secretary of the
City of Fort Worth,Texas
SUBMITTED FOR THE
CITY MANAGER'S DISPOSITION BY COUNCIL: PROCESSED BY
OFFICE BY Groom r 6122 [] APPROVED
ORIGINATING ❑ OTHER (DESCRIBE)
DEPARTMENT HEAD: Gary Santerre 7800 CITY SECRETARY
FOR ADDITIONAL INFORMATION
CONTACT: Jim Anderson 7906 DATE