Minutes of the special City Council meeting held Wednesday, March 21, 2006 at 5:30 p.m. in the Centerville City Council Chambers, 250 North Main Street, Centerville, Utah.

CITY COUNCIL MEMBERS PRESENT:

Mayor: Ron Russell

Council Members: Justin Y. Allen

Paul A. Cutler

Jack Dellastatious

David Gutke

Sherri Lyn Lindstrom

PLANNING COMMISSION MEMBERS PRESENT:

Kathy Helgesen

David Hirschi

Jim Pedersen

PLANNING COMMISSION MEMBERS ABSENT:

Lee Duncan

Jim Palmer

Brent Sanderson

STAFF PRESENT: Steve Thacker, City Manager

Cory Snyder, Community Development Director

Lisa Romney, City Attorney

Fred Campbell, City Engineer

Randy Randall, Public Works Director

Connie Larson, Recording Secretary

VISITORS:

John Rapp, HEP

Mark Cunningham, HEP

Steven Christiansen, Parr Waddoups HEP

Roger Henricksen, Parr Waddoups for HEP

Dale Fox, Willbros Engineering

Mimi Charles, Wilkinson Ferrari/Holly Energy Partners

H. Michael Keller, VanCott Bagley (special counsel for Centerville City)

DISCUSSION WITH MARK CUNNINGHAM, MANAGER FOR THE PROPOSED PORCUPINE RIDGE PIPELINE PROJECT

Mayor Ron Russell stated the law firm he works for represents Holly Energy Partners, and he recused himself from any decision making on this item.

Mark Cunningham, Holly Energy Partners, explained Holly Energy Partners (HEP) is the pipeline part of the business for Holly Corporation, and even though they are a separate company,  they support the efforts of the refining part of the business. Mr. Cunningham said the crude oil supply to the refineries is lacking and Holly Refinery, as well as other refineries in the area, would like to lay a pipeline beginning at the southwest corner of Wyoming. He said the pipeline would go through Coalville and over the mountain, following the Kern River Pipeline for 75 percent of the distance before turning north at the "B" on the mountain above Bountiful. Mr. Cunningham said the pipeline would follow the firebreak road above Centerville, turning west at Lund Lane to I-15, and then south to Holly Oil Refinery on the Rio Grande right-of-way.

Mr. Cunningham said this plan was proposed at a public forum last month in Farmington, and concerns have been raised about the proposed route. Centerville City sent a letter to the U S Forest Service about their concerns of the proposed route which are:

1.  Proposed pipeline crosses several recharge zones for wells that supply much of the water for Centerville.

2.  City Council and staff are concerned why the pipeline does not follow the Kern River Pipeline corridor, or why HEP does not participate with other oil companies in building a second pipeline down Weber Canyon. Mr. Cunningham explained the Kern River Pipeline comes down the mountain and diverges in a southerly direction to the Chevron refinery.

3.  Centerville City questioned if there are other options available that would not require the pipeline to be built along the mountainside.

4.  There are concerns of being able to maintain the visual aspect of building a pipeline, as well as seismic issues of the fault line and debris flow.

Mr. Cunningham displayed a map showing the recharge zones, and he said the most favorable route for the pipeline would be to go west on Pages Lane, as this would avoid most of the recharge zones. Mr. Cunningham said the pressure with the pipeline is 350 - 450 lbs. per square inch, with the strength of the pipe rated for three thousand pounds per square inch. Mr. Cunningham explained there would be two pressure reduction valves along the pipeline that would control the pressure, with one located at the "B" on the mountain and another valve located on Pages Lane. He said the pipeline is monitored at a control station 24/7 for any problems in the pipeline. Mr. Cunningham explained that most accidents to pipelines are caused by third party damage through digging by not using proper procedures. Mr. Cunningham explained the pipes are made of carbon steel because of its strength and ability to withstand pressure.

Fred Campbell, City Engineer, asked how many miles of pipeline are currently maintained by Holly. Mr. Cunningham explained about 2,000 miles of pipeline are maintained with a very good safety record. He said if there should be an oil spill, the shut off valves would be located near the "B", Chalk Creek, the seismic area, and East Canyon Reservoir. Mr. Cunningham said if clean-up of an oil spill were required, Holly Oil would respond first and if necessary, they would contract with a disaster clean-up company which would respond within a matter of hours. He said the biggest threat is not an oil spill, but water that collects in the pipeline, which could cause corrosion. The water is removed by "sweepers" that are in the pipeline. Mr. Cunningham said revegetation of the terrain would begin as soon as the pipeline is laid, weather permitting.

Mr. Cunningham stated the cost of the Centerville segment is between $7- $8 million. He said to construct the pipeline through urban areas is more costly because it takes more labor and time to deal with utilities and money to replace the roads in urban areas. He said it is not feasible to follow the Kern River Pipeline, because of a 50-foot right-of-way on this pipeline and the extreme slope of the mountain. Mr. Cunningham explained it is not feasible to go through Weber Canyon.

Mr. Cunningham agreed to work with City staff in evaluating the Pages Lane option and other alignments using existing roadways.

CONSIDER RESOLUTION NO. 2006-10 ENCOURAGING COUNTY COMMISSIONERS TO ADOPT THE LOCAL OPTION TRANSPORTATION CORRIDOR PRESERVATION FEE AND WITH SUCH REVENUE TO PRESERVE THE NORTH LEGACY HIGHWAY CORRIDOR.

Mayor Russell explained the Davis County Commission has indicated they will vote in favor of the corridor preservation fee that will charge $10 for each vehicle registration in Davis County, if there is sufficient support from the city councils throughout the County. He said these revenues will be matched from the $10 million the State has appropriated for this purpose, and used for the preservation of future roads and corridors in Davis County. Mayor Russell explained that at the most recent COG meeting, it was agreed that the Legacy Highway north corridor is a County-wide priority, and the County Commission has asked each city to adopt a resolution that the Legacy corridor will be the first priority for this money. He said each mayor in Davis County agreed this is where the money should go.

Councilwoman Lindstrom made a motion to approve Resolution No. 2006-10, and be forwarded to the County Commission with a recommendation that they consider a "sunset" date for the fee. Councilman Dellastatious seconded the motion, which was passed by unanimous vote (3-0-Council member Allen and Cutler had left the meeting prior to this vote ).

The meeting was adjourned at 6:55 p.m.

Marilyn Holje, City Recorder                     Date Approved

Connie Larson, Recording Secretary