By Myrna Trauntvein
Times-News Correspondent
The natural gas transported in the interstate pipeline
used by Nephi City is no longer being odorized and Nephi
City will need to add an agent to the gas supply for Juab
County consumers.
The council agreed to approve the agreement and authorize
the mayor, Chad Brough, to sign the completed document.
Questar Pipeline Company owns a measurement station,
referred to as Payson Gate, near the city of Payson in Utah
County. Nephi desires to lease a 100 square-foot space in
the Payson Gate for the placement of natural gas odorizing
equipment.
"Nephi City will need to odorize the gas as it enters the
line serving Juab County," said Randy McKnight, city
administrator. "The odorization station will be located at
the Payson gate."
In order for the city to place the station on property
controlled by Questar Pipeline, however, the city council
needed to enter into a lease agreement with Questar. The
property is in Utah County where the gate is located.
"The agreement is pretty straightforward," said Denton
Hatch, city attorney. It sets out what is to be done and the
terms which are acceptable to both parties to the
agreement.
For example, the initial term of the lease is for one
year, and then continuing from month to month until either
party gives 30 day's written notice to terminate the
agreement.
After the first year, Questar may increase the rental
fee.
Questar will also furnish 120 volt single phase electric
power to the site in the cost of the annual rent.
Nephi will also maintain insurance coverage and will
attach a certificate of insurance to the agreement.
The general liability clause is usual and, on that small
a piece of property, the liability for contamination is
pretty small. In addition, the equipment is within the
compound, he said.
"It is a pretty standard liability agreement," said
Hatch. "The city agrees to hold harmless Questar Pipeline
Company from liabilities."
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