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HomeMy WebLinkAboutReso 118-2001RESOLUTION NO. 118-2001 CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLUTION AUTHORIZING THE FIRST AMENDMENT TO THE PRIMARY RESPONSIBLE PARTY AGREEMENT FOR THE GIBSON ENVIRONMENTAL SITE REMEDIATION WHEREAS, staff recommends that the City Council adopt the First Amendment to the Primary Responsible Party Agreement in order to ensure that the City remains a Cooperating Entity under the Primary Responsible Party Agreement, as attached hereto as Exhibit A. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco that the City Council hereby authorizes the First Amendment to the Primary Responsible Party Agreement for the Gibson Environmental Site Remediation. BE IT FURTHER RESOLVED that the City Manager is hereby authorized to execute the Agreement on behalf of the City of South San Francisco. I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of South San Francisco, held on the 14th day of November 2001, by the following vote: AYES: Councilmembers Pedro Gonzalez, Karyl Matsumoto and John R. Penna, Mayor Pro Tem Eugene R. Mullin and Mayor Joseph A. Fernekes NOES' None. ABSTAIN: None. ABSENT: None. ATTEST: City Clerk EXHIBIT A FIRST AMENDMENT TO PRP AGREEMENT FOR THE GIBSON ENVIRONMENTAL SITE IN BAKERSFIELD, CALIFORNIA This First Amendment to PRP Agreement for the Gibson Environmental Site in Bakersfield, California (the "First Amendment to Agreement") is effective as of June 6, 2001 (the "Effective Date"), and is by and among the undersigned parties (the "Cooperating Entities"). DEFINITIONS 1. Unless specifically defined in this First Amendment to Agreement, defined terms shall have the same meaning as in the "PRP Agreement for the Gibson Environmental Site in Bakersfield, California," effective as of June 1, 2000 (the "Agreement"). RECITALS 2. In June 2000, certain of the Cooperating Entities signed the Agreement, including Exhibit E thereto, the Joint Defense, Joint Prosecution and Information Sharing Agreement (the "Joint Defense Agreement"). The Agreement and its Exhibits, including the Joint Defense Agreement are incorporated herein by this reference. 3. The Cooperating Entities that signed the Agreement in June 2000 have been cooperatively performing and financing investigative and remedial work at the Site required by the Order issued by DTSC on November 8, 1999. 4. In April 2001, certain of the Cooperating Entities were invited to contribute to the performance and funding of the work at the Site required by the Order. 5. The Cooperating Entities wish to amend certain provisions of the Agreement to facilitate the addition of Cooperating Entities to the Agreement. 6. This First Amendment to Agreement is entered into between and among the Cooperating Entities to comply with the Order by facilitating the performance of necessary work at the Site required by the Order in a cooperative and cost-effective manner, and in a manner consistent with the requirements of CERCLA and the National Contingency Plan. 7. Nothing in this First Amendment to Agreement is intended as or shall constitute an admission or concession on the part of any of the Cooperating Entities of any liability or wrongdoing of any kind or an admission or concession on the part of the Cooperating Entities concerning the merit of lack of merits of DTSC's or any other party's claims regarding environmental conditions at and around the Site. AGREEMENT NOW, THEREFORE, based on the above Definitions and Recitals and in consideration of the mutual agreements, covenants, and other good and valuable consideration, the receipt of 1 306414.1 which is hereby acknowledged, the Cooperating Entities agree and hereby amend the Agreement as follows: 8. Contract, Exclusive Benefit. The first sentence of Paragraph 38 of the Agreement is amended to state: "The Cooperating Entities agree to be contractually bound by the provisions of the First Amendment to Agreement, the Agreement and the Joint Defense Agreement, and to cooperate to effectuate the purposes of the First Amendment to Agreement, the Agreement and the Joint Defense Agreement." 9. Management Committee. The first sentence of Paragraph 43.a. of the Agreement is amended to state: "The Management Committee shall consist of the representatives of at least eight (8) and no more than twelve (12) of the Cooperating Entities, who are willing to serve and who are elected by vote of a majority of the allocated percentages of those Cooperating Entities in compliance with this Agreement." The last sentence of Paragraph 43.a. of the Agreement is amended to state: "As soon as possible after the Effective Date of the First Amendment to Agreement an election shall be held to fill the two new Management Committee vacancies created by the First Amendment to Agreement plus any other Management Committee vacancies that exist at the time of such election. Thereafter, open elections for the entire membership of the Management Committee shall be held every two years, with the first such open biannual election to be held in December 2002." 10. Cost Accounting, Assessment and Payment Procedures, Site Response Costs. The last sentence of Paragraph 44.c. of the Agreement is amended to state: "The Cooperating Entities agree that the $6,000,000 spending cap formerly contained in the last sentence of Paragraph 44.c. is no longer necessary or appropriate, and that cap is hereby deleted." 11. Interim Cost Allocation, Relative Volumetric Shares. Paragraph 45.a. of the Agreement is amended to state: "The interim cost allocations shall be based on the relative volumetric shares of liquid wastes and solid wastes of the Cooperating Entities reported on Exhibit A hereto ("May 2001 Interim Allocation Tables"). The May 2001 Interim Allocation Tables shall supersede the volumetric shares recorded on the SAIC Tables, formerly Exhibit D to the Agreement. Every reference in this Agreement to the SAIC Tables is hereby amended to refer to the May 2001 Interim Allocation Tables." 2 306414.1 I2. Interim Cost Allocation, Additional Cooperating Entities. The first two sentences of Paragraph 45.c. of the Agreement are amended to state: "In the event the Cooperating Entities approve entry into the Agreement by additional entities listed on the May 2001 Interim Allocation Tables after the Effective Date of the First Amendment to Agreement, each such additional entity shall pay its interim cost allocation percentage share, as a Liquids Cooperating Entity or Soils Cooperating Entity, or both as the case may be, calculated as set forth in paragraph 45.b., of Common Benefit Past Costs and Site Response Costs and Administrative Costs incurred pursuant to the Agreement, plus a late-entry premium to be determined in the discretion of the Management Committee. At the time of entry of any such additional Cooperating Entity, the interim cost allocation percentage shares of the Cooperating Entities affected shall be recalculated from the time of entry forward." 13. A new Paragraph 45.h. is hereby added to the Agreement. Paragraph 45.h. states: "Refinements to Interim Cost Allocation Percentages. The Cooperating Entities agree that refinements of interim cost allocation percentages may occur prior to a Final Cost Allocation under the Agreement only by the consent of eighty-five (85) percent of the interim cost allocation percentages of the Liquids and Soils Cooperating Entities participating at the time the vote is taken." 14. A new Paragraph 45.i. is hereby added to the Agreement. Paragraph 45,i. states: "Adjustments to Future Cash Calls Based on Changes to Interim Cost Allocation Percentages. Whenever, for any reason (including, without limitation, changes to interim cost allocation percentages pursuant to Paragraphs 45.c. or 45.h.), it appears that a Cooperating Entity has paid more than its currently-allocated share of the total assessed costs under the Agreement, then that Cooperating Entity shall receive a credit against future assessments until the overpayment has been corrected. Similarly, whenever, it appears that a Cooperating Entity has paid less than its currently-allocated sham of the total assessed costs under the Agreement, then that Cooperating Entity pay a surcharge in the next assessment in an amount equal to the underpayment." [continued on following page] 3 306414.1 IN WITNESS WHEREOF, the Cooperating Entities hereto enter into this First Amendment to Agreement. By signing this First Amendment to Agreement, the Cooperating Entities are also entering into the Agreement and the Joint Defense Agreement. Each person signing this First Amendment to Agreement represents and warrants that he or she has been duly authorized to enter into this First Amendment to Agreement, the Agreement and the Joint Defense Agreement by the company or entity on whose behalf it is indicated that the person is signing. Dated: Cooperating Entity: Name Title Address By: Designated Representative for Receipt of Notices and Invoices: (Signature) (Name) (Title) Telephone Number Facsimile Number Email Address 4 306414.1 Gibson Environmental Site, Bakersfield, California September 2001 Interim Volume Table Solid Waste Generators Company/Entity 1 CAL TRANS 2 Sears Roebuck and Co. 3 Ultramar, Inc. 4 Pacific Gas & Electric Company 5 Union Oil Company of California 6 Tidelands Oil & Gas Corp. 7 City of Los Angeles 8 Los Angeles MTA 9 Arco Products Co. 10 Tuntex Properties (Sunquest) 11 Pacific Bell 12 Owens-Illinois Inc. 13 City of South San Francisco 14 Valley Crest Landscape 15 Chevron U.S.A. 16 Port of Oakland 17 Southern California Edison 18 Ralphs Grocery Store 19 Pilot Chemical Co. 20 East Valley Water District 21 Church of Jesus Christ of Latter Day 22 IASCO 23 Mid-State Bank 24 Penske Truck Leasing Co., L.P. 25 Anderson Clayton (Producers) 26 Dart Container Corp. 27 Coca-Cola Enterprises 28 Pepsi Cola 29 Johnson & Johnson (Neutrogena) 30 Long Beach School District 31 U-Haul Corp. 32 City of Santa Barbara 33 Kraft (Knudsen) 34 City of Monterey 35 Exxon/Mobil 36 Disneyland 37 The Fresno Bee 38 Greyhound Lines, Inc. 39 Texaco Inc. 40 Baker Hughes TOTAL Tonnage 45,733 38,724 36,132 27,018 23,665 7,820 5,752 4,967 4,808 4,520 4,36O 3,976 3,509 3,467 2,919 2,814 2,420 2,399 2,237 2,052 2,005 1,972 1 795 1 786 1 652 1 614 1 610 1 580 1 561 1 552 1 477 1 476 1 447 1 422 1 422 1,419 1,380 1,329 923 652 259,366 Percent 17.633% 14.930% 13.931% 10.417% 9.124% 3.015% 2.218% 1.915% 1.854% 1.743% 1.681% 1.533% 1.353% 1.337% 1.125% 1.085% 0.933% 0.925% 0.862% 0.791% 0.773% 0.760% 0.692% 0.689% 0.637% 0.622% 0.621% 0.609% 0.602% 0.598% 0.569% 0.569% 0.558% 0.548% 0.548% 0.547% 0.532% 0.512% 0.356% 0.251% 100.000%