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UNDERGROUND PIPELINE RIGHT OF WAY UTILIZATION AGREEMENTClearwater Gas System CLT- 241 -242, & CC- 242 -243 ETS #20140095 This document prepared by: Kristy Boss Return to: Duke Energy Attn: Real Estate Document Center 3300 Exchange Place, NPIR Lake Mary, FL 3276 UNDERGROUND PIPELINE RIGHT -OF -WAY UTILIZATION AGREEMENT THIS AGREEMENT, between DUKE ENERGY OF FLORIDA, a Florida corporation, d /b /a DUKE ENERGY, INC., with its principal office located at 3300 Exchange Place, Lake Mary, Florida 32746, ( "DUKE ENERGY" herein) and City of Clearwater d /b /a Clearwater Gas System ( "APPLICANT" herein), a municipal Corporation, organized and existing under laws of the State of Florida, and duly authorized to transact business in the State of Florida and maintaining its principal office for the conduct of business in the State of Florida at 400 North Myrtle Ave., Clearwater Florida 33755. WITNESSETH WHEREAS, DUKE ENERGY owns, operates and maintains electric transmission and distribution lines and related facilities in the State of Florida on both easements and fee owned properties held by DUKE ENERGY ("Properties" herein); and WHEREAS, APPLICANT intends to construct, operate and maintain an underground Four (4) Inch natural gas pipeline ("Pipeline" herein) in Pasco County, Florida and desires to construct, operate and maintain a portion of such Pipeline facilities for a single polyethylene four inch (4 ") diameter Pipeline across DUKE ENERGY's 295 foot wide Fee owned electric transmission and distribution line properties held by DUKE ENERGY as more specifically described in EXHIBIT "A" and per the PIPELINE COLLOCATION GUIDELINES IN EXHIBIT `B" pages 1 thru 5; and WHEREAS, the Pipeline includes, but is not limited to, line pipe, cathodic protection system, above ground items necessary for operating, maintaining and identifying the location of the Pipeline, pipeline markers and other appurtenances necessary• for a single polyethylene four inch (4") Pipeline located in the South East 1/4 of Section 19, Township 26 South, Range 17 East, Pasco County, Florida, being generally located between DUKE ENERGY Structure numbers CLT -241 & 242 and CC -242 & 243; and WHEREAS, DUKE ENERGY is willing to permit, to the extent that it may do so lawfully, APPLICANT to construct, operate, inspect, maintain, repair, remove and replace the Pipeline in the area described in attached EXHIBIT "A" ( "Pipeline Utilization Area" herein); NOW, THEREFORE, in consideration of the mutual covenants, terms and conditions herein contained, DUKE ENERGY and APPLICANT do hereby agree as follows: Page 1 of 9 1. PERMISSION TO USE RIGHT OF WAY. DUKE ENERGY, to the extent that it may do so lawfully, hereby grants to APPLICANT permission to access, construct, operate, inspect, maintain, repair, remove, and replace the Pipeline in the Pipeline Utilization Area shown on EXHIBIT "A" attached hereto and by this reference incorporated herein and made a part hereof. DUKE ENERGY will have the right to review for compatibility with DUKE ENERGY's use of DUKE ENERGY's properties APPLICANT's proposed use of the Pipeline Utilization Area or other adjacent DUKE ENERGY properties and approve any and all parts, installations or facilities of the Pipeline located on DUKE ENERGY property including the Pipeline Utilization Area prior to and after the installation of the Pipeline, which approval shall not be unreasonably withheld. Construction of venting and blow off valves in DUKE ENERGY's properties is strictly prohibited. The permission to use the Pipeline Utilization Area includes permission to use adjacent portions of DUKE ENERGY's properties identified by DUKE ENERGY as temporary workspace and for ingress and egress to the Pipeline Utilization Area as necessary for construction, maintenance, repair and replacement of the Pipeline during the term of this Agreement, ( "Approved Temporary Workspace" herein). In the event that APPLICANT's facilities interfere with DUKE ENERGY's present or future use of the Pipeline Utilization Area, APPLICANT agrees to relocate its facilities within the Pipeline Utilization Area at its sole cost and expense. DUKE ENERGY agrees to coordinate the timing of such relocation of APPLICANT's facilities so such relocation will not unreasonably interfere with APPLICANT's operation of its facilities. In exchange for this permission, APPLICANT agrees to strictly comply with all the terms and conditions of this Agreement and its attachments (as may be amended), which includes the Duke Energy's Non - Metallic Pipeline Collocation Guidelines dated July 28, 2003, described in EXHIBIT "B" attached hereto and by this reference incorporated herein and made a part hereof. APPLICANT agrees to post clearly visible hazard notification warning signs within the Pipeline Utilization Area which state "DUKE ENERGY transmission rights of way contain high voltage power lines. Extreme caution must be used when working in the right of way." APPLICANT acknowledges that the use of DUKE ENERGY's properties herein granted by DUKE ENERGY is non - exclusive. DUKE ENERGY and others so authorized by DUKE ENERGY may occupy, traverse or otherwise utilize any portion of DUKE ENERGY's properties, including that portion designated herein as the Pipeline Utilization Area, provided that DUKE ENERGY and /or others authorized by DUKE ENERGY to utilize such DUKE ENERGY properties will comply with all applicable laws, rules and regulations and will not unreasonably interfere with APPLICANT's occupation and urilization of the Pipeline Utilization Area. 2. TERM AND CONSIDERATION. This Agreement will become effective upon its execution by the parties, delivery of a fully executed copy to APPLICANT, and payment by APPLICANT to DUKE ENERGY of the sum of $10.00 and other good and valuable consideration. Payment is due prior to execution by DUKE ENERGY of this Agreement. All other fees or reimbursements due under the terms of this Agreement will be due within thirty (30) days of receipt of invoice by the responsible Party. Unless terminated in accordance with any of the terms of this Agreement, this Agreement will continue in effect in perpetuity. (A04 -02064 /167893/1] Page 2 of 9 APPLICANT agrees to reimburse DUKE ENERGY for all expenses associated with (1) the relocation of any DUKE ENERGY facilities necessitated by APPLICANT's utilization of DUKE ENERGY's properties which are the subject of this Agreement, and (ii) all costs associated with any DUKE ENERGY safety inspectors or crews DUKE ENERGY deems reasonably necessary during the construction, operation, or maintenance of the Pipeline. In further consideration of DUKE ENERGY's permission to use this Pipeline Utilization Area, APPLICANT agrees to give preferential consideration, subject to approval by the Clearwater City Council, to any proposed DUKE ENERGY use of APPLICANT's existing or future right of way where required by DUKE ENERGY to fulfill DUKE ENERGY's own service requirements. Any such permission by APPLICANT to DUKE ENERGY will be granted under substantially similar terms and conditions as are provided herein or othcnvise as mutually agreed. 3. REQUIRED PERMITS, LICENSES OR EASEMENTS. APPLICANT acknowledges that DUKE ENERGY's transmission line easements and fee owned properties contain property or lands in which persons other than DUKE ENERGY may own or control an interest over which DUKE ENERGY may not have lawful authority to permit the construction and maintenance of the Pipeline insofar as the rights of such persons are concerned. APPLICANT will secure and maintain legally sufficient easements, permits, or licenses from all owners of property upon which the Pipeline Utilization Area or Approved Temporary Construction Area may be located as necessary to construct, operate, and maintain the Pipeline. Upon reasonable request by DUKE ENERGY, APPLICANT will provide to DUKE ENERGY copies of any and all such easements, permits, or licenses authorizing APPLICANT's use of the Pipeline Utilization Area. APPLICANT will comply with all applicable federal, state and local laws, rules and regulations with respect to the use of any of DUKE ENERGY's properties. APPLICANT will secure and maintain all permits, licenses and /or approvals from all federal, state and local entities or agencies necessary to the construction, operation and maintenance of the Pipeline. DUKE ENERGY agrees to cooperate with APPLICANT in any application process for such necessary= permits, licenses and /or approvals. 4. DAMAGE AND REPORTS. Each party will exercise all reasonable precautions to avoid damage to DUKE ENERGY's properties, the Pipeline and the facilities of DUKE ENERGY and of others located on DUKE ENERGY's properties. APPLICANT or DUKE ENERGY, will make an immediate report to other Party's nearest local office of the occurrence of any such damage to DUKE ENERGYs or APPLICANT's facilities. APPLICANT, to the extent permitted by the Florida Constitution and the Florida Statutes, hereby agrees to reimburse DUKE ENERGY for all expenses incurred in making repairs to DUKE ENERGY facilities or properties for any and all loss on account of any such damage arising out of or resulting from the negligent construction, operation, inspection, maintenance, repair, removal, and replacement of the Pipeline by APPLICANT, except when caused by the sole negligence of DUKE ENERGY, its employees, agents, contractors, representatives or other persons engaged in DUKE ENERGY's activities. DUKE ENERGY hereby agrees to reimburse APPLICANT for all expenses incurred in making repairs to APPLICANT's facilities or properties for any and all loss on account of any such damage arising out of or resulting from the negligent construction, operation, inspection, maintenance, repair, removal, and replacement of the DUKE ENERGY facilities by DUKE ENERGY located on DUKE ENERGY's properties described by this Agreement, except when caused by the sole negligence of APPLICANT, its employees, agents, contractors, representatives or other persons engaged in APPLICANT's activities. [A04.02064 /167893/1] Page 3 of 9 APPLICANT will assume the sole duty, responsibility and obligation to restore the entire disturbed area within DUKE ENERGY's properties used by APPLICANT, including DUKE ENERGY's patrol roads and the berms existing on DUKE ENERGY's properties, to a condition reasonably as good as that which existed ptior to APPLICANT's disturbance of the area. Nothing herein contained will be construed to compel DUKE ENERGY to maintain DUKE ENERGY's properties except as needed for DUKE ENERGY's own senTice requirements. 5. INSPECTION. That DUKE ENERGY shall have the right, at any time to inspect the Pipeline Utilization Area and APPLICANT's activities thereon. Provided, however, APPLICANT and its contractors expressly acknowledge and agree that any such inspection shall be solely for the benefit of DUKE ENERGY. APPLICANT and its contractors expressly acknowledge and agree that DUKE ENERGY shall have no legal duty to any persons or entities to provide a safe place for APPLICANT to conduct its activities on the Pipeline Utilization Area or to provide a safe place to work or to provide any warnings of any kind. APPLICANT and its contractors shall continuously inspect and review site conditions on the Pipeline Utilization Area and work procedures to assure the Pipeline Utilization Area is a safe place to work for Applicant and its contractors in the course of their occupation of the Pipeline Utilization Area, and construction and maintenance of the pipeline in accordance with the terms hereunder. Upon completion of construction by APPLICANT, DUKE ENERGY shall continue to inspect, at the APPLICANT's expense, the Pipeline Utilization Area for a period up to ninety (90) calendar days. Should the approved DUKE ENERGY inspector find a deviation or deficiency, APPLICANT shall correct any such deviation or deficiency within a reasonable time period and pay the full cost of correcting said deviation or deficiency. 6. LIMITATIONS OF LIABILITY. DUKE ENERGY reserves to itself, its successors and assigns, the right to construct, maintain, renew and operate its facilities over, under and upon all properties held by DUKE ENERGY in such manner as to enable it to fulfill DUKE ENERGY's own service requirements. However, DUKE ENERGY will accomplish such activities in a manner that will not interfere with the safe operation of the Pipeline. Similarly, APPLICANT will not interfere with the safe operation of DUKE ENERGY's facilities. Neither APPLICANT nor DUKE ENERGY will be liable to the other Party for any temporary interruption of services which may be caused by the presence, operation, maintenance, breakdown or alterations of, or additions to, the lines and facilities of either DUKE ENERGY or APPLICANT. DUKE ENERGY and APPLICANT specifically release any claims against the other Party for any consequential damages, which result from APPLICANT's or DUKE ENERGY's use of DUKE ENERGY's properties. 7. INDEMNIFICATION AND INSURANCE. A. As to any claims arising on DUKE ENERGY's properties occasioned or caused by any third party damaging the Pipeline or any of APPLICANT's operations thereon, APPLICANT, to the extent permitted by Chapter 166 and Section 768.28, Florida Statutes and Article VII, Section 10 of the Florida Constitution, hereby expressly and specifically assumes all risks and agrees to indemnify and hold DUKE ENERGY, its directors, officers, employees, agents, contractors, representatives and other persons engaged in DUKE ENERGY's activities harmless from and against any and all claims, costs, expenses, damages, actions and causes of action, in whole or in part, from such third party's act or claim, except when directly caused by the negligence of DUKE ENERGY, its employees, agents, contractors, representatives or other persons engaged in DUKE ENERGY's activities. APPLICANT agrees to immediately report such incidents to DUKE ENERGY. (A04 -02064 /167893/1] Page 4 of 9 B. Other than the above stated indemnification, APPLICANT and DUKE ENERGY will each be responsible for their respective operations on DUKE ENERGY's properties and will each indemnify and hold the other harmless from such respective operations, except to the extent of the negligence attributable to either in a court of Law or as may be agreed upon between the Parties. In no event shall DUKE ENERGY or APPLICANT be responsible or liable for any consequential damages arising from the other's operations on DUKE ENERGY's properties. Notwithstanding anything contained herein to the contrary, this indemnification provision shall not be construed as a waiver of any immunity to which City is entitled or the extent of any limitation of liability pursuant to § 768.28, Florida Statutes. Furthermore, this provision is not intended to nor shall be interpreted as limiting or in any way affecting any defense City may have under § 768.28, Florida Statutes or as consent to be sued by third parties C. APPLICANT will secure and maintain all insurance as provided for in Exhibit "C ", and will require all of its contractors to secure and maintain all insurance required herein and in EXHIBIT "C -1" to this agreement in a form and amount acceptable to DUKE ENERGY in DUKE ENERGY's sole discretion insuring against all risks to all persons or entities which may sustain property damage or personal injury as a result of the combined acts and omissions of the APPLICANT, its contractors, or DUKE ENERGY which may be related in any way to APPLICANT's use of the Pipeline Utilization Area. DUKE ENERGY shall be named as an additional insured on all insurance policies carried by APPLICANT's contractors. Prior to commencing initial construction activities within the Pipeline Utilization Area APPLICANT will furnish DUKE ENERGY with a completed certificate of insurance, in duplicate, on an Accord form or equivalent suitable to DUKE ENERGY evidencing insurance coverage of the liability assumed above. APPLICANT may satisfy this requirement by providing to DUKE ENERGY a Certificate of Se1f- Insurance in a form and amount acceptable to DUKE ENERGY in DUKE ENERGY's sole discretion or other form of security mutually agreed to by APPLICANT and DUKE ENERGY. 8. TERMNATION. If APPLICANT materially fails to comply with any of the provisions of this Agreement or defaults in any of its obligations hereunder, and fails within sixty (60) days after written notice from DUKE ENERGY to correct such default or non - compliance, DUKE ENERGY may at its option correct any such defective performance hereunder and invoice APPLICANT for all actual expenses incurred by DUKE ENERGY in such correction, or terminate this Agreement. In the event that APPLICANT has notified DUKE ENERGY in writing that correction of such default or non- compliance cannot reasonably be accomplished within such sixty* (60) day period, and APPLICANT demonstrates to DUKE ENERGY's reasonable satisfaction that APPLICANT is diligently completing correction of such default or non- compliance, DUKE ENERGY may extend such sixty (60) day period. Upon termination of this Agreement, and after approval authority to abandon the Pipeline and related facilities has been granted by all regulatory agencies, APPLICANT, at APPLICANT's sole expense, will cease use of and remove the Pipeline from DUKE ENERGY's properties in a manner consistent with all applicable federal, state and local laws and regulations. Concurrently with said removal APPLICANT, at APPLICANT's sole expense, will restore the affected portion of DUKE ENERGY's properties to a condition reasonably identical to that which existed prior to APPLICANT's utilization of DUKE ENERGY's properties. If APPLICANT fails to remove the Pipeline and /or restore DUKE ENERGY's properties, then DUKE ENERGY will have the right to remove all or portions of such Pipeline and /or restore DUKE ENERGY's properties at APPLICANT's expense and without any liability for such removal or restoration. In the event that DUKE ENERGY terminates this Agreement [A04 -02064 /167893/1] Page 5 of 9 under this Section, APPLICANT will not be entitled to any refund of any amounts paid or due to DUKE ENERGY by APPLICANT pursuant to this Agreement. 9. NON - WAIVER OF TERMS. Failure to enforce or insist upon compliance with any of the terms or conditions of this Agreement shall not constitute a general waiver or relinquishment of any such terms or conditions, but the same will be and remain at all times in full force and effect. 10. OTHER PERMITEES. Nothing herein will be construed to affect in any manner any rights or privileges previously conferred by DUKE ENERGY, by contract or otherwise, to others to use the DUKE ENERGY owned properties described by this Agreement, and DUKE ENERGY will have the right to continue and extend such rights and privileges. Upon request by APPLICANT, DUKE ENERGY will provide copies of all such contracts and arrangements. The privileges herein granted will at all times be subject to such existing contracts and arrangements, including any renewals or extensions thereof. The privileges herein granted will be non - exclusive, and DUKE ENERGY shall have the right in DUKE ENERGY's sole discretion to grant privileges of any sort to any person, firm or corporation, provided such grant will not unreasonably interfere with APPLICANT's utilization of DUKE ENERGY's properties or APPLICANT's safe operation and maintenance of the Pipeline under this Agreement. 11. ASSIGNABILITY. APPLICANT will not assign, transfer or sublet the privileges hereby granted without the prior consent in writing from DUKE ENERGY, which consent will not be unreasonably withheld. Transfer of this Agreement to any APPLICANT affiliate, including any partnership in which APPLICANT or its parent company has a majority interest, with the financial and legal ability to satisfy the terms and conditions of this Agreement will not be deemed an assignment hereunder. Any APPLICANT affiliate or partnership receiving such a transfer of rights must accept all terms and conditions of the Agreement and notify DUKE ENERGY of such transfer and acceptance in writing. 12. SUCCESSORS AND ASSIGNS. Subject to the provision of Section 11 hereof, the Agreement will extend to and bind the successors and assigns of the parties hereto. 13. GOVERNING LAW. This Agreement and each of its provisions shall be governed by and construed in accordance with the laws of the State of Florida. 14. SEVERABILITY. The provisions of this Agreement are intended to be severable, and the invalidity or unenforceability of any provision will in no manner affect the validity or enforceability of any other provision. 15. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which will be deemed an original, but all of which together shall constitute but one and the same Agreement. 16. ACKNOWLEDGMENT OF ENCUMBRANCE. Uses allowed herein constitute an encumbrance on DUKE ENERGY's properties, and the stated consideration compensates for that encumbrance, as well as for additional benefits realized by APPLICANT in occupying said properties. 17. NOTICES. Any notice or demand required under this Agreement or by law, will be in writing and will be deemed to have been delivered upon hand delivery or five (5) days following the mailing of such notice by Certified Mail Return Receipt Requested, and addressed to the following: [A04 -02064 /167893/1] Page 6 of 9 DUKE ENERGY: APPLICANT: Duke Energy Florida d /b /a Duke Energy Florida Timothy Mumford, Asset protection Specialist 2501 25th Street, SP -18 St Petersburg, FL 33713 City of Clearwater d /b /a Clearwater Gas System Jorge Hernandez 400 North Myrde Ave. Clearwater, Florida 33755 IN WITNESS WHEREOF, the parties hereto have caused these presents to be executed, by their respective officers thereunto duly authorized on the dates indicated below: COUNTERSIGNED: c ,0f Qt Crt �S George N. Cretekos, Mayor APPROVED AS TO FORM: CITY OF CLEARWATER, FLORIDA William B. Horne II, City Manager ATTEST: writ j. �L.4..,.....41.... ; l- d-oLCC2 & 04-a Laura Mahony, Assistant City Allorney Rosemarie Call, City Clerk [A04 -02064 /167893/1 Page 7of9 SIGNED,SEALED AND DELIVERED DUKE ENERGY FLORIDA,a Florida F KE Corporation,d/b/a DUEMERGY, 1 E O S' of Fiat _ ar+r►,rtS ,1cL13 � DaM HiIdticks,bh=&ec Lead Sen'ices. P* t r TypcVc E ust% smcss Tnunacoow *Mture of wend Pttness Print or Type Name of Secon ttness aastdtm r<Nam m dirt rt State of Radda ) County of t ) The farcgaiag Agtccmcnt was acknowledged before me this t Y day of r t`_J if)t 2015, by Daniel Henddclm Manages Land Sarvices- Tnuactioae, DUKE ENERGY FLORIDA, a Florida Corpdation d/b/a DUNE ENERGY FLORIDA,INC., on behalf of the cotpomua He pcnon*appRted befoae me at the time of notation,and is perso any knonrq NOTARY SEAL Num Nogg•Public 5c"Numbca ars coa�mn TIMOTHY C HOWARD _•; W COMMISSION a EEI)04S'38 ,. EXPIRES JamMY 13.3017 e<s -_ AM [A04.02064 /167893/11 Pars 9 of s Exist.+g 12- 'Nater Maio\ Ex 1st NS' Sonitwp -- Force Moln Exhibit A Description BEGIN AT INTERSECTION OF SOUTH BOUNDARY OF SW1 /4 OF SECTION 19 TOWNSHIP 26 RANGE 17 EAST AND WESTERLY BOUNDARY OF DUKE ENERGY OF FLORIDA (d /b /a DUKE ENERGY, INC.) RIGHT OF WAY, THEN N34 •08'06 "E 296.47 FT MOL TO POINT OF BEGINNING, THEN 551 °51'37 "E 295.64 FT MOL, THEN N34 °07'58 "E 20 FT MOL, THEN N51 °51'37 "W 295.64 FT MOL, THEN S34 °07'58 "W 20 FT MOL TO POINT OF BEGINNING. Sketch Parcel ipa 19 26 17 0000 00100 0019 Trinity Lutheran Church of Trinity FL Ina Parcel b, 19 26 17 0000 00140 0080 Longleaf Property LE Pa cat 10; 14 26 17 0000 00200 0000 0ukc Energy F1ork0 ir+c Patch ID: 19 26 17 17000 00200 0000 Dote Energy Florida Inc. 19 129 RI PROPOSEI] MAIN CROSS/NC 530 129 R17E 84.6' £ziat€ g BrIstR Hose CMOs Existing 12' Sanitnry Force 440n 216' ExfoUng Sidevolk 77.5 1 E.etssg Ground 1441044 E.m1*'4 4" co. Main Exssthg 18" RCP. PROPOSED 4" PE Existing 16" 9140 eel Force MCM Existing 18" RCP and Mss feel: Existing 18" RCP Exte4ng 8" Role Me4 Puce to 19 26 17 0000 00100 0011 Staley Ranch Investment Company LI.0 Parcel ID: 10 26 17 0000 00200 0030 Pror+de 4' es minimum caw w0 crossing Duke PtC0.1), Existing 25' Coe Ng. EDT (depth par FCT field 30 "v' dies) Exis4Mg 24" Recininwi Face kin g Wrotre1 10 w Moos 4' an woo 004140 44(40 M wgT Me. V *1008000.41.00 w4( P ced4+0 ewe 10 w urn TO o/ tap 00 Of +w 01(04. hell ?4a0Y 00000 Mot 04040! 00X1 4 w144* 14w0 ws MAD/ TO 0TTIluu1wx 441 el 4" R 404 era. 0TE$; 1 ALL NATURAL, GAS AWNS AND SERVICE LINES SHALL BE INSTALLED 1N ACGORDANCE. WON THE 2415 FLORR74 DEPARTMENT OF TRANSPORTATION UTILITY ACCOMMODATION MANUAL. 2. PROPOSED PE NATURAL CAS MAIN MEETS OR EXCEEDS (MOT PIPELINE SAFETY REGULATIONS PART 192.321 (d }.. 3. MAINTAIN 4*84 24' CLEARANCE PROM ALL EXISTING UTk4fe s WHEN POSSIBLE. INCLUDING STORM STRUCTURES. a. INSTALLS : IONS SHALL SE PERFORMED BY HORIZONTAL DIRECTIONAL. DRILLING WHERE INDICATED. S. ALL 1N5'ALLATIOIiS UNDER PAVEMENT SHALL BE INSTALLED BY FOOT APPROVED DIRECTIONAL BORE ME14TOD. NO PAVEMENT SHALL BE OPEN CUT UNLESS SPECIFICALLY NOTED ON THE PANS, 7. M.AZMUM OPERATING GAS MAIN PRESSURE WILL BE ED P5i. 9 of 9 City of Clearwater d /b /a /Clearwater Gas ETS #20140095 CLT- 241 -242 & CC- 242 -243 EXHIBIT "B" DUKE ENERGY FLORIDA d /b /a DUKE ENERGY, INC. PIPELINE COLLOCATION GUIDELINES 1. OBJECTIVE The purpose of these guidelines is to identify* minimum safety requirements for potential collocation of non - metallic Pipeline facilities within DUKE ENERGY's properties. The Pipeline and related facilities in question must consist of 100% non - metallic pipe (thus excluding Pipelines with metallic liners or reinforced concrete components), with no exposed metallic appurtenances (such as valve handles). All design and construction approval must be secured through DUKE ENERGY's Transmission Right of Way Use Program /Licensed Encroachment process. 2. LOCATION GUIDELINES A. No excavation is allowed within fifty (50) feet of transmission structures or foundations including all guy wires, anchors and other attachunents. Exceptions are possible with prior written approval from DUKE ENERGY, if proper support of the structures is maintained through use of sheet piling or other appropriate support methods. B. Pipelines shall not conflict with DUKE ENERGY's future expansion plans on DUKE ENERGY'S properties. C. No above ground appurtenances, including manholes, are permitted within fifty (50) feet of DUKE ENERGY's structures and associated grounding systems without DUKE ENERGY's prior written approval. Aboveground appurtenances should be located as far away as practical from these structures. D. Transitions of the Pipeline within DUKE ENERGY's properties from one side to the other arc prohibited without prior review and written approval by DUKE ENERGY. E. Venting valves and blow off valves shall be placed outside and not within DUKE ENERGY's properties and shall be vented away from any potential ignition sources. F. APPLICANT shall furnish, install and maintain permanent markers showing the location of the underground Pipeline(s). Any and all piping installed by APLICANT shall have sufficient earth cover to prevent breakage due to DUKE ENERGY's trucks and heavy equipment. DUKE ENERGY's trucks and heavy equipment commonly exceed gross vehicle weights of 100,000 pounds or 50 tons. G. APPLICANT shall provide a clear, level and easily passable thirty (30) foot wide maintenance road along the entire length of the Pipeline Utilization Area. Fences within the Pipeline Utilization Area are prohibited without prior written approval by DUKE ENERGY. If permission is granted and if a fence is metallic, then DUKE ENERGY may require that calculations be performed and submitted to DUKE ENERGY to ascertain that fence voltages are not excessive during both normal and abnormal power line operating conditions. Page 1 of 5 3. DESIGN GUIDELINES A. DUKE ENERGY's properties shall not be used to satisfy wetland mitigation requirements. 4. CONSTRUCTION GUIDELINES A. All of APPLICANT's operations, activities and equipment used within DUKE ENERGY's properties beneath or in proximity to any of DUKE ENERGY's facilities shall at all times be in strict compliance with the applicable provisions of the following: National Electrical Safety Code — NESC OSHA Crane Construction Standards For Power Line Safety, Sections 1926.1408 & .1409. National Association of Corrosion Engineers NACE Standard RP -01 -77 Occupational Safety and Health Administration - OSHA Federal State and Local Requirements US D.O.T. Pipeline Safety Regulations - Part 192 or 195 as applicable. B. All requirements to de- energize, reroute, cover or mark any power line must be submitted in writing to DUKE ENERGY, Attn: Timothy Mumford, Asset Protection Specialist, 2501 25th Street North, SP-18,St. Petersburg, Florida 33713 before any work is commenced on the project or on any involved spread. DUKE ENERGY shall not be required to process any requests in less than fifteen (15) days, excluding weekends. If a request is pending, no work shall proceed until the request is processed and approved by DUKE ENERGY. All costs associated with the request shall be borne by APPLICANT. The Encroachment Agent shall have sole jurisdiction to receive and grant such requests. It is specifically acknowledged that DUKE ENERGY employees from other Departments are not authorized to receive and determine such requests. C. APPLICANT must notify all personnel working on DUKE ENERGY's properties that under fault conditions, touching a power line structure, standing near it, or touching a grounding metallic piece of equipment located near it could constitute a hazard if adequate safety precautions are not taken. D. APPLICANT shall secure all necessary permits or licenses from Federal, State or Local Government and must provide copies to DUKE ENERGY prior to construction. E. An APPLICANT's electrical safety inspector is required on each spread until installation is complete. APPLICANT shall institute a safety program to inform and train its workers on how to work near electrical facilities. Clearly visible hazard notification warning signs shall be posted within the Pipeline Utilization Area which state "DUKE ENERGY transmission rights of way contain high voltage power lines. Extreme caution must be used when working in the right of way." F. If 15V between a metallic structure or piece of equipment and earth or between two (2) metallic structures or pieces of equipment are exceeded during construction, then adequate protection or procedures must be utilized by APPLICANT including, but not limited to, temporary gradient control mats or grids that extend beyond the work area or bonding between the metallic surfaces in question Page 2 of 5 G. All metallic structures must be grounded and rubber tire vehicles will be grounded by straps and by rod, if stationary. No refueling operations shall take place within DUKE ENERGY's properties. H. Work must cease during high winds, storms and pre arranged switching. I. No equipment shall ever be operated in proximity to power lines where the equipment, including any boom or extension thereof, shall have the capability of violating any clearance distance set forth in any applicable codes, including the NESC, NEC, OSHA and /or OSHA Crane Construction Standards For Power Line Safety, Sections 1926.1408 & .1409. Lift equipment shall comply with NESC clearances. J. APPLICANT shall not use, store, dispose, treat or generate any hazardous substances in DUKE ENERGY's properties. K. Ground elevation must not be changed more than two (2) feet from existing grade. APPLICANT is responsible for restoration of the Pipeline Utilization Area to equal or better condition that existed prior to construction. L As a safeguard in respect of the above, APPLICANT shall carry Workers' Compensation Insurance in the minimum amounts required by statute and shall carry policies of insurance acceptable to DUKE ENERGY with respect to (a) General Liability not Less than $5,000,000 combined single limit and (b) Pollution Liability not less than $5,000,000 combined single limit and (c) Automobile Liability not less than $1,000,000 combined single limit. APPLICANT shall have the insurance policies mentioned in (a), (b) and (c) above, respectively, endorsed by its insurance carrier to provide blanket contractual coverage, expressly with respect to this section, to the full limits of and for the liabilities insured under said policies; and prior to the commencement of any construction of APPLICANT's facilities hereunder, the APPLICANT shall furnish DUKE ENERGY with a certificate of insurance, in duplicate, on an Acord form or equivalent acceptable to DUKE ENERGY, completed by the APPLICANT's insurance carrier showing APPLICANT carries the requisite insurance and that the specified policies insure the liability assumed by the APPLICANT under this section. Effective on initial construction activities, and in five (5) year increments thereafter, the aforementioned insurance coverage shall be adjusted by adding to the coverage amounts of the previous five (5) year period, the increase if any of the CPI - All Urban Consumers as reported by the Bureau of Labor Statistics for the previous five (5) year period (or in the event the Index is discontinued, an equivalent cost of living index of some other appropriate governmental agency elected by DUKE ENERGY). M. APPLICANT is hereby advised that the generation, transmission and /or distribution of electrical energy involves the handling of a natural force which, when uncontrolled, is inherently hazardous to life and property. APPLICANT is further hereby advised that, due to the nature of the work to be performed pursuant to these guidelines, other hazardous or dangerous conditions (not necessarily related to the inherent danger of electricity) may also be involved in the work. Accordingly, prior to the commencement of any work, APPLICANT shall inspect the job site specifically to ascertain the actual and potential existence and extent of any hazardous or dangerous conditions, and instruct its employees and contractors with respect to said conditions and the safety measures to be taken in connection therewith; and, during the course of the work, APPLICANT shall take all such measures as may be deemed Page 3 of 5 necessary or advisable to protect and safeguard the person and property of APPLICANT and the general public against all hazardous or dangerous conditions as the same arise. 5. OPERATION /POST CONSTRUCTION A. In addition to the foregoing requirements, APPLICANT shall comply with the requirements of "Subpart B - Reporting Accidents and Safety- Related Conditions" of the United States Department of Transportation Pipeline Safety Regulations Part 192/195 (Transportation of Hazardous Liquids by Pipeline, 49 CFR), as appropriate and shall promptly provide to DUKE ENERGY a duplicate copy of all correspondence or other notification made to the US DOT pursuant to incidents as they may occur on lands utilized by this Agreement. B. APPLICANT further hereby agrees that if any member of the public, or any employee of the APPLICANT or APPLICANT's agents, contractors, representatives or other persons engaging in APPLICANT's activities upon DUKE ENERGY's properties, or if any property including DUKE ENERGY's or the public is injured in the course of work being performed under the provisions of this Agreement, APPLICANT shall first notify DUKE ENERGY's Coastal Transmission Area Maintenance Engineer at (800) 700 -8744 and if unable to reach, contact DUKE ENERGY's Claims Department at (727) 826 -4373 during regular business hours from 8 a.m. to 5 p.m., Monday through Friday, or (727) 826 -4001 at night, weekends or holidays. Such notification shall be made immediately upon knowledge, in person or by telephone and promptly confirmed in writing within twenty-four (24) hours and shall include all pertinent data such as name of injured party, location of accident, description of accident, nature of injuries, names of witnesses, disposition of injured or deceased person. C. DUKE ENERGY's Coastal Transmission Area Maintenance Engineer at (800) 700 -8744 shall be notified within fifteen (15) days when any Pipeline is to be charged or pressure tested during maintenance of the Pipeline and /or or post- construction activities. APPLICANT's Construction Manager (or his designated representative) will make reports to DUKE ENERGY's Transmission Maintenance Engineer regarding any damages to DUKE ENERGY's properties, private property or other public facilities which occurs during any maintenance or post - construction activities. APPLICANT agrees to pay all expenses incurred in connection with the repair of such damages. D. APPLICANT may at any time remove any or its entire Pipeline from DUKE ENERGY's properties, provided that APPLICANT gives DUKE ENERGY written notice a minimum of thirty (30) days in advance of the planned removal. DUKE ENERGY shall not be obligated to refund any amounts received from APPLICANT. Should it be necessary, in the sole judgment of DUKE ENERGY, for the Pipeline to be relocated or removed, DUKE ENERGY shall notify APPLICANT of the changes which DUKE ENERGY deems necessary, and APPLICANT agrees to make such changes, at APPLICANT's sole expense. DUKE ENERGY shall exercise its best efforts to identify alternative space on DUKE ENERGY's properties for the equipment and facilities of APPLICANT that will comply with clearance and separation standards and satisfy safety requirements of applicable codes and government regulations, and that will reasonably accommodate APPLICANT's purposes under this Agreement. APPLICANT agrees to complete any partial relocation of any of its Pipeline(s) within thirty (30) days of notification from DUKE ENERGY, unless APPLICANT determines that such partial Page 4 of 5 relocation cannot reasonably be accomplished within the said thirty (30) days, in which case APPLICANT shall provide to DUKE ENERGY for review and approval a schedule for the timely accomplishment of such partial relocation, consistent with any necessary- permitting, right of way acquisition and /or mobilization of resources to make such partial relocation. APPLICANT further agrees to complete any major relocation or removal of the Pipeline or portions thereof within ninety (90) days of notification from DUKE ENERGY, unless APPLICANT determines that such major relocation cannot reasonably be accomplished within ninety (90) days, in which case APPLICANT shall provide to DUKE ENERGY for review and approval a schedule for the timely accomplishment of such major relocation, consistent with any necessary permitting, right of way acquisition and /or mobilization of resources to make such major relocation. In the event it should be necessary for APPLICANT to remove or relocate any portion of the Pipeline from DUKE ENERGY's properties as required pursuant to this paragraph, the parties agree to exercise their best efforts to resolve the conflict in a timely manner, provided, however; that such removal or relocation does not exceed one - hundred and eighty (180) days. E. Requests for modifications of existing or proposed facilities or for the placement of future Pipeline(s) within in DUKE ENERGY's properties shall be submitted in writing to DUKE ENERGY's Coastal Florida Transmission Area Encroachment Agent. Future Pipelines shall require a minimum of a twenty -five (25) foot separation. Exceptions may be permitted with prior written approval by DUKE ENERGY's Encroachment Agent. F. Notification of completion of construction on the designated Pipeline Utilization Area must be made to DUKE ENERGY's Coastal Florida Transmission Area Encroachment Agent (800) 700 -8744 within thirty (30) days of completion. Within one - hundred and eighty (180) days of completion, APPLICANT shall provide to DUKE ENERGY three (3) complete sets of As -Built Drawings, sealed by a registered surveyor, noting the location of the APPLICANT's facilities and DUKE ENERGY's nearest structures. Page 5 of 5 EXHIBIT "C" Insurance Requirements for APPLICANT: The APPLICANT shall, at its own cost and expense, acquire and maintain during the term with the DUKE ENERGY, through self - insurance, insurance, and/or excess insurance, sufficient insurance to adequately protect the respective interest of the parties. Purchased insurance coverage shall be obtained with a carrier having an AM Best Rating of A -VII or better. Specifically the APPLICANT must carry the following minimum types and amounts of insurance on an occurrence basis or in the case of coverage that cannot be obtained on an occurrence basis, then coverage can be obtained on a claims -made basis with a minimum three (3) year tail following the termination or expiration of this Agreement: a. Commercial General Liability Insurance coverage, including products/completed operations, in the minimum amount of $2,000,000 (two million dollars) per occurrence and $5,000,000 (five million dollars) general aggregate. b. Commercial Automobile Liability Insurance coverage, including property damage liability and bodily injury liability, for any owned, non - owned, hired or borrowed automobile is required in the minimum amount of $ I,000,000 (one million dollars) combined single limit. c. Unless waived by the State of Florida, statutory Workers' Compensation Insurance coverage in accordance with the laws of the State of Florida, and Employer's Liability Insurance in the minimum amount of $100,000 (one hundred thousand dollars) each employee each accident, $100,000 (one hundred thousand dollars) each employee by disease and $500,000 (five hundred thousand dollars) aggregate by disease with benefits afforded under the laws of the State of Florida. Coverage should include Voluntary Compensation, Jones Act, and U.S. Longshoremen's and Harbor Worker's Act coverage where applicable. Coverage must be applicable to employees and volunteers, if any. The above insurance limits may be achieved by a combination of primary and umbrella/excess liability policies. Other Insurance Provisions for APPLICANT: a. Prior to the execution of this Agreement, and then annually upon the anniversary date(s) of the insurance policy's renewal date(s) for as long as this Agreement remains in effect, the APPLICANT will furnish DUKE ENERGY with a Letter of Sctf- Insurance (SIGNED by the Risk Manager), and/or Certificate of Insurance(s) (using appropriate ACORD certificate, SIGNED by the Issuer) evidencing all of the coverage set forth. DUKE ENERGY understands that DUKE ENERGY will not be named as an "Additional Insured" on any of APPLICANT coverages. When requested in writing from DUKE ENERGY, APPLICANT will provide DUKE ENERGY with certified copies of all applicable policies. The address where such certificates and certified policies shall be sent or delivered is as follows: Duke Energy Florida d/b /a Duke Energy Florida Coastal Area Attn: Timothy Mumford, Asset Protection Services 2501 25th St., SP -18 St. Petersburg, FL 33713 b. APPLICANT shall provide thirty (30) days written notice of any cancellation, non- renewal, termination, material change or reduction in coverage. c. APPLICANT's insurance as outlined above shall be primary and non - contributory coverage for APPLICANT's negligence. d. DUKE ENERGY agrees that nothing contained herein shall be construed as a waiver of any sovereign immunity from or limitation of liability the APPLICANT may be entitled to under the doctrine of sovereign immunity, or §768.28, Florida Statutes. Furthermore, this provision is not intended to nor Page 1 of 3 shall it be interpreted as limiting or in any way affecting any defenses the APPLICANT may have under §768.28, Florida Statutes or as consent to be sued by third parties. DUKE ENERGY's failure to request evidence of this insurance shall not be construed by the APPLICANT as a waiver of APPLICANT's obligation to provide the insurance coverage specified. APPLICANT currently maintains the following excess insurance coverage for FY2014 -2015. DUKE ENERGY understands that the self - insurance retention and insurance limits may change at each renewal based on the APPLICANT'S budgetary requirements and the insurance available in the marketplace at the time of renewal. 1. Auto Liability, General Liability, Police Professional Liability, and Public Official Liability: Excess Insurance: $7,000,000 ($14,000,000 Aggregate) with BRIT/Lloyds of London with self - insured retention of $500,000 for the policy period 10/01/14- 10/01/15. 2. Workers' Compensation: Statutory coverage per Occurrence with self - insured retention of $600,000 Excess Insurance via Safety National for the policy period 10/1/14 - 10/01/15. 3. Property: $60,000,000 per occurrence for the policy period 411/2014 - 4/1/2015 after either: a. $100,000 self - insured retention for perils other than named storm OR 5% self - insured retention per value per unit for named storm, with a $500,000 minimum per occurrence. NFIP limits for Zones A and V. b. Flood and earthquake losses are subject to a $100,000 per occurrence deductible (excluding flood zones within Special Flood Hazard Areas, which are subject to a deductible of 5% of the value per unit) and limits are $60,000,000 aggregate. Flood Zones V, VE. VO, and V1 -30 have an occurrence limit of $30,000,000 aggregate. 4. Equipment Breakdown: $50,000,000 of coverage effective 04/01/14- 04/0I/15. EXHIBIT "C -1" The CONTRACTOR shall, at its own cost and expense, acquire and maintain (and cause any subcontractors, agents, or representatives to acquire and maintain) during the term with the CITY, sufficient insurance to adequately protect the respective interest of the parties. Coverage shall be obtained with a carrier having an AM Best Rating of A -VII or better. In addition, the CITY and/or DUKE ENERGY have the right to review the CONTRACTOR's deductible or self - insured retention and to require that it be reduced or eliminated. Specifically the CONTRACTOR must carry the following minimum types and amounts of insurance on an occurrence basis or in the case of coverage that cannot be obtained on an occurrence basis, then coverage can be obtained on a claims -made basis with a minimum three (3) year tail following.the termination or expiration of this Agreement: a. Commercial General Liability Insurance coverage in the minimum amount of $2,000,000 (two million dollars) per occurrence and $5,000,000 (five million dollars) general aggregate. b. Commercial Automobile Liability Insurance coverage for any owned, non - owned, hired or borrowed automobile is required in the minimum amount of $1,000,000 (one million dollars) combined single limit. Page 2 of 3 c. Unless waived by the State of Florida, statutory Workers' Compensation Insurance coverage in accordance with the laws of the State of Florida, and Employer's Liability Insurance in the minimum amount of $100,000 (one hundred thousand dollars) each employee each accident, $100,000 (one hundred thousand dollars) each employee by disease and $500,000 (five hundred thousand dollars) aggregate by disease with benefits afforded under the laws of the State of Florida. Coverage should include Voluntary Compensation, Jones Act, and U.S. Longshoremen's and Harbor Worker's Act coverage where applicable. Coverage must be applicable to employees, CONTRACTORs, subcontractors, and volunteers, if any. The above insurance limits may be achieved by a combination of primary and umbrella/excess liability policies. Other Insurance Provisions: d. Prior to the execution of this Agreement, and then annually upon the anniversary date(s) of the insurance policy's renewal date(s) for as long as this Agreement remains in effect, the CONTRACTOR will furnish the CITY and DUKE ENERGY each with a Certificate of Insurance(s) (using appropriate ACORD certificate, SIGNED by the Issuer, and with applicable endorsements) evidencing all of the coverage set forth above and naming the CITY and DUKE ENERGY as "Additional Insured" on the Commercial Liability Insurance policy. In addition when requested in writing from the CITY or DUKE ENERGY, CONTRACTOR will provide the CITY and/or DUKE ENERGY with certified copies of all applicable policies. The address where such certificates and certified policies shall be sent or delivered is as follows: City of Clearwater Attn Jorge Hernandez 400 North Myrtle Ave. Clearwater, FL 33755 DUKE ENERGY Florida d/b /a DUKE ENERGY Florida Coastal Area Attn: Timothy Mumford, Asset Protection Services 2501 25th St., SP -18 St. Petersburg, FL 33713 c. CONTRACTOR shall provide thirty (30) days written notice of any cancellation, non - renewal, termination, material change or reduction in coverage. f. CONTRACTOR'S insurance as outlined above shall be primary and non - contributory coverage for CONTRACTOR's negligence. g. CONTRACTOR hereby expressly and specifically assumes all risks and agrees to indemnify and hold CITY and DUKE ENERGY, including their directors, officers, employees, agents, representatives and other persons engaged in the CITY's and /or DUKE ENERGY's activities, harmless from and against any and all claims, costs, expenses, damages, actions and causes of action, including legal fees, costs or other legal expenses, in whole or in part, from such third party's acts or claims, except when directly caused by the negligence of the CITY or of DUKE ENERGY, their employees, agents, representatives or other persons engaged in the CITY's or DUKE ENERGY's activities The stipulated limits of coverage above shall not be construed as a limitation of any potential liability to the CITY or DUKE ENERGY, and failure to request evidence of this insurance shall not be construed as a waiver of CONTRACTOR's obligation to provide the insurance coverage specified. Page 3 of 3