Fiscal Note
The proposed resolution authorizes the City of Madison Sewer Utility to enter into a license agreement with Canadian Pacific (SOO Line Railroad Company) for construction, rights, and maintenance of a sanitary sewer main at 1894 E. Johnson St for a one-time fee of $9,375. Funding is available in Munis #14922. No additional appropriation is required.
Title
Authorizing the City Engineer to enter into a Utility Occupancy License agreement and future Right of Entry agreements with the SOO Line Railroad Company (Canadian Pacific Kansas City Rail or CPKC) for the construction, rights and maintenance of a sanitary sewer main within the property at 1894 E. Johnson St. and authorizing the indemnification of Canadian Pacific, SOO Line Railroad Company, their subsidiaries, affiliates, and other rail operators. (District 12)
Body
The City of Madison has existing sanitary sewer utilities located within properties and railway corridors of Wisconsin Department of Transportation and Canadian Pacific Railway, which facilities were contructed in 1946. These sewer utilities have been found to be in poor condition and in need of replacement. A project to complete this work was approved under file 89745, RES-25-00556 , and a public works contract for construction of these improvements was awarded under file 93376, RES-26-00324.
City Engineering staff and Canadian Pacific have been unable to find formal documentation associated with the City's existing sanitary sewer main at the property located at 1894 E. Johnson St., where the City's sewer crosses the track. Before allowing the City to enter its Property to replace the sewer facilities, Canadian Pacific is requiring the City to enter into a license agreement, which is how the railroad allows for utilities on their property. In addition when it is necessary to enter its Property to conduct any work, including maintenance work, the railroad requires a Right of Entry agreement.
The Utility Occupancy License and the Right of Entry agreement requires indemnification of the Canadian Pacific, SOO Line Railroad Company, their subsidiaries, affiliates, and other rail operators. APM 1-1 allows the City to indemnify other parties with Common Council approval. The indemnification language is to be reviewed by the City Attorney and the City’s Risk Manager.
As construction and maintenance is an ongoing and occasionally of an urgent and critical nature, this resolution allows the City Engineer to enter into this Utility Occupancy License and, if needed in the future, Right of Entry agreements, for the sanitary sewer main, provided the agreements are reviewed and approved by the City Attorney and insurance is bound through the City Risk Manager.
NOW THEREFOR BE IT RESOLVED that the City Engineer is hereby authorized to enter into a Utility Occupancy License agreement on behalf of the City with the SOO Line Railroad Company (Canadian Pacific Kansas City Rail or CPKC) for the construction, maintenance and rights of public utilities on railroad property located at the 1894 E. Johnson St, in a format approved by the City Attorney and the Risk Manager;
BE IT FURTHER RESOLVED that the City Engineer is hereby authorized, as necessary, to enter into future Right of Entry agreements on behalf of the City with the SOO Line Railroad Company (Canadian Pacific Kansas City Rail or CPKC), or its successors, associated with the maintenance of the pubic utilities on railroad property located at 1894 E. Johnson St, in a format approved by the City Attorney and the Risk Manager.
BE IT FURTHER RESOLVED that the Mayor and Common Council hereby approves of the indemnification of Soo Line Railroad Company, Delaware and Hudson Railroad Corporation, Inc., Dakota, Minnesota and Eastern Railroad Corporation ,Soo Line Corporation, Canadian Pacific Railway Company, Wyoming Dakota Railroad Properties, Inc., The Kansas City Southern Railway Company, the Texas Mexican Railway Company, Gateway Eastern Railway, any company doing business as Canadian Pacific, Canadian Pacific Kansas City, or CPKC, and any railway company or contractor operating trains or rail equipment upon railway tracks in close proximity to the Property or the Utility Line, together with the parent companies, subsidiaries, and affiliated companies of all of the foregoing, as a condition of the License Agreement and/or future Rights of Entry agreements.