passed ordinance

*Authorize Director of the Bureau of Environmental Services to execute and amend permits and agreements with railroad companies and their observer entities for construction of storm and sanitary sewer projects

infrastructure utilities
ordinance

Department: Environmental Services
Introduced by: Former Commissioner Mingus Mapps
Status: Passed

Impact statement

Purpose & background

Bureau of Environmental Services needs to access railroad companies’ property and rights-of-way for the construction of various sewer projects, which include both sanitary and storm sewer improvements. There are a number of railroad companies in the Portland area with property and right-of-way including Union Pacific Railroad and Burlington Northern Santa Fe Company as well as other small rail companies (railroads). Railroads require permits and right-of-entry agreements with the City to perform work related to installation and repair of City sewer projects. The agreements include indemnification from the City for any damage caused by the City or its contractor binding the City and requiring authority from Council to enter into the agreement. This legislation authorizes the Director of Environmental Services or their designee to enter into such agreements and amend these agreements as needed. This legislation is intended to give blanket authority to the Director of Environmental Services or their designee to enter into such agreements.

Financial impacts

The permits and right-of-entry agreements typically have fee requirements and possible flagging and insurance requirements. Funds will be made available in the Sewer System Operating Fund. No changes to the BES budget are required. This project will neither generate nor reduce current or future revenue. No new City positions will be created

Community impacts

This legislation has minimal impact on communities of people and is focused on coordination with Railroad Companies.

▸ Full text (the legislation as adopted)

The City of Portland ordains: Section 1. The Council finds: The Bureau of Environmental Services (BES) requires the use of certain property and rights-of-way owned and operated by certain railroad companies for the construction of storm and sanitary sewer projects. Railroad companies require that the City execute permits and agreements for the use of their property and rights-of-way, including indemnification from the City for any damage caused by the City or its contractors. Those permits and agreements often also require the City to enter into separate agreements with, and pay, private entities that observe the work on behalf of the railroad companies. Such permits and agreements can significantly impact schedules and add costs. Delegating authority to the Director of the Bureau of Environmental Services to enter into permit agreements with railroad companies would mitigate the risk of delays. Fees associated with the permits and agreements will be assessed for each project and funds will be made available in the Sewer System Operating Fund, Bureau of Environmental Services. NOW, THEREFORE, the Council directs: The Director of the Bureau of Environmental Services or their designee is authorized to execute and amend permits and agreements with railroad companies and with those companies’ designated oversight entities for the purpose described in Section 1, provided such permits and agreements have been approved by the City Attorney. The total expenditures associated with a permit or agreement authorized under this ordinance may not exceed $500,000. The Mayor and Auditor are hereby authorized to draw and deliver warrants chargeable to the Sewer System Operating Fund Budget when demand is presented and approved by the proper authority. Section 2. The Council declares that an emergency exists because the Columbia Slough Outfall 58 (Project E11279) requires BES to enter into a right-of-way agreement with Union Pacific Railroad to access their property to construct the project. A delay would impact BES’s ability to construct the project during the dry season as needed. In addition, a delay in granting the broader authority to execute such permits and agreements could impact future projects; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.

Tally

5 yea 0 nay