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HomeMy WebLinkAbout9882 - Oil Tank Farm & Treatment PlantA RESOLUTION NO. 98132 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH AUTHORIZING WORK, SUPPLIES AND MATERIALS TO BE PURCHASED ON THE OPEN MARKET IN CONJUNCTION WITH THE ESTABLISHMENT OF AN OIL TANK FARM AND TREATMENT PLANT WHEREAS, the City Council of the City of Newport Beach finds and determines that it is in the best interest of the City to own, maintain and operate an oil tank farm and treatment plan in conjunction with the City wells producing oil and other hydro- carbons from City tidelands in the West Newport area; and WHEREAS, the existing agreement for the operation of the City's oil wells in West Newport will expire on January 25, 1981; and WHEREAS, in order for the City to continue oil produc- tion after January 25, 1981, it is essential that the City build and have in operation an oil tank farm and treatment plant on or about January 25, 1981; and WHEREAS, the lead time required for the construction and operation of an oil tank farm and treatment plant is con- trolled by the necessity to obtain regulatory permits, the time of which is beyond the control of the City, the long lead time required to purchase specialized oilfield equipment, and the necessity to acquire necessary property rights for the construc- tion, operation and maintenance of the oil tank farm and treat- ment plant is such that there does not exist sufficient time to comply with all the formal bidding requirements of the City's Charter and have the work completed on or near January 25, 1981; and f .t WHEREAS, the City Council finds and determines that it . is necessary, pursuant to Section 1110 of the Charter of the City of Newport Beach for the preservation of property to permit the • purchase of work, supplies and materials in conjunction with the oil tank farm and treatment plant on the open market without advertising for bids due to said long lead time required and fur- ther due to the fact that a termination of the oil production on or about January 25, 1981, could result in the loss of certain City rights to produce oil from its tidelands, to the great detriment of the citizens of the City of Newport Beach; and WHEREAS, the City Council further finds, in its opinion and based upon estimates from the City Manager, that the work in question may be better and more economically performed by the City with its own employees and that the work, supplies and mate- rials in conjunction with the proposed oil tank farm and treat- ment plant may be purchased more economically on the open market without advertising for bids, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach that the City Manager may proceed to have work done by City forces, that work, supplies and materials may be purchased on the open market in conjunction with the oil tank farm and treatment plant, and that no public bid need be had for any such work, supplies or materials due to the necessity for the preservation of property and the property interest of the City of Newport Beach in the tidelands oil, all pursuant to Sec- tion 1110 of the Charter of the City of Newport Beach. Page 2 :t • • ADOPTED this 22nd day of September, 1980. ATTEST: • � 6 Ci y Clerk iW� , THE OWMA1 090880 _ 090880 CITY CLERK OF THE CITY Of HEY B6AW DATE! Page 3