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WS Item 3C Attachment DMASTER ROAD REPAIR AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF TARRANT § This Road Repair Agreement, (“Agreement”), is made and entered into on this the ____ day of _____________, 2004 by and between the City of Southlake, Texas (“City”), a Texas home rule municipality, and CORPORATION NAME, (“CORPORATION NAME”) for the repair of certain streets and/or roadways maintained by the City of Southlake, Texas as more fully described herein. WHEREAS, CORPORATION NAME is in the business of drilling gas and oil wells and, in connection therewith, shall be engaged in gas and oil well drilling and production activities within the City and will use a truck route or truck routes on roadways maintained by the City of Southlake; and WHEREAS, use of the roadways by CORPORATION NAME for the purpose of performing the activities described hereinabove may cause damage to the roadways; and WHERAS, the City of Southlake and CORPORATION NAME, for the mutual consideration hereinafter stated, desire to enter into an Agreement for CORPORATION NAME to temporarily repair said roadways for the duration of the term of this Agreement in consideration of CORPORATION NAME’s use of said roadways for the purpose of the activities described hereinabove. NOW, THEREFORE, IT IS AGREED THAT: ARTICLE 1. REPAIR OBLIGATION 1. CORPORATION NAME agrees to repair damages, excluding ordinary wear and tear, on truck routes as identified on the approved Specific Use Permit and associated site plan submitted by CORPORATION NAME, its contractors, subcontractors, employees, agents, or representatives in connection with gas well activities authorized by an approved Gas and Oil Well Permit. This obligation shall continue during the term of this Agreement and shall include any site plans, Gas and Oil Well Permits, or other associated matters approved after the date of this Agreement. Prior to the termination of this Agreement, CORPORATION NAME shall pay for the repair of the damages to the roadways to restore them to the condition in which they existed, excluding ordinary wear and tear prior to the execution of this Agreement. CORPORATION NAME shall make a videotape of the roadways within one (1) mile of the drill site prior to the start of CORPORATION NAME’s drilling and operation of its gas wells. CORPORATION NAME shall provide a copy of the videotape to the City’s Public Works Department. CORPORATION NAME shall notify the City’s Public Works Department when gas and oil well drilling, fracing or reworking operations are complete so that the City’s Public Works Department can determine if repairs are required. Upon inspection, City’s Public Works Department shall notify CORPORATION NAME of what repairs, and their associated costs, if any, are required or shall notify CORPORATION NAME that repairs are not required. 2. CORPORATION NAME shall be responsible for the costs associated with the repair of roadways damaged by CORPORATION NAME’s use in accordance with the provisions contained herein. Upon determination by the City of the cost to repair damage to the roadways caused by CORPORATION NAME, City shall invoice CORPORATION NAME for the full amount. CORPORATION NAME agrees to remit payment in full within 30 days of the date of the invoice. City shall be responsible for contracting the roadway repair services and, where required by State law, shall employ a competitive bidding process to ensure that the roadway repairs are performed in the most cost effective manner possible. Should payment be insufficient to fully repair the damage caused to the roadways by CORPORATION NAME, City may invoice CORPORATION NAME for the balance and payment shall be due within 30 days of the date thereof. Conversely, the City agrees to reimburse CORPORATION NAME the balance of any funds not used in the repair of the roadways. 3. Not withstanding the foregoing, if, in the City’s sole discretion, the damage to the roadways affects the immediate health and safety of individuals, the City may take immediate remedial action to repair the roads at its own expense and invoice the CORPORATION NAME for the full amount thereafter. 4. During the term of this Agreement, CORPORATION NAME shall periodically inspect said roadways during drilling, fracture stimulation or reworking of the gas well to determine whether or not any damage has occurred as a result of CORPORATION NAME’s activities. Within 48 hours of discovering the existence of any such damage to the roadways, CORPORATION NAME shall notify the City’s Director of Public Works of the need for repair. City shall then invoice CORPORATION NAME in accordance with Section 3, above. ARTICLE 2. TERM OF AGREEMENT This Agreement shall commence upon the date indicated above and shall continue in full force and effect until all damage caused to the roadways by CORPORATION NAME’s activities have been repaired, CORPORATION NAME has paid all invoice amounts in full and the CORPORATION NAME has permanently discontinued the activities upon the roadways, as described hereinabove. ARTICLE 3. BLANKET INSURANCE AND INDEMNITY 1. CORPORATION NAME shall provide or cause to be provided insurance that meets the requirements of Chapter 9.5, Article IV, “Gas & Oil Well Drilling and Production,” of the Southlake City Code. Such insurance shall continue until the well is abandoned and the site restored. 2. CORPORATION NAME shall and hereby does indemnify, defend and save harmless the City, its officers, agents and employees from all suits, actions or claims of any character, name and description brought for or on account of any injuries or damages received or sustained by any person, persons or property on account of the operations of the CORPORATION NAME, its agents, employees, contractors, subcontractors or representatives; or on account of any negligent act of fault of CORPORATION NAME, its agents, employees, contractors, subcontractors or representatives in connection with the obligations of the CORPORATION NAME under this Agreement; and shall pay any judgment, with costs, which may be obtained against the City growing out of such injury or damage. ARTICLE 4. BLANKET PERFORMANCE BOND CORPORATION NAME shall provide or cause to be provided a security instrument in the form of a performance bond, irrevocable letter of credit or certificate of deposit that meets the requirements of Chapter 9.5, Article IV, “Gas & Oil Well Drilling and Production,” of the Southlake City Code to secure the obligation of CORPORATION NAME to pay for the repair of damages, excluding ordinary wear and tear, to public streets, including but not limited to bridges. Such bond shall continue until the well is abandoned and the site restored. ARTICLE 5. MISCELLANEOUS PROVISIONS 1. CORPORATION NAME understands and agrees that CORPORATION NAME, its employees, agents, contractors, subcontractors or representatives shall at no time represent themselves to be employees, agents, contractors, subcontractors or representatives of the City. 2. By entering into this Agreement, the City does not waive, nor shall it be deemed to waive, any immunity or defense that would otherwise be available to it against claims arising by third parties. ARTICLE 6. FORCE MAJEURE The performance of this Agreement shall be subject to events of Force Majeure. Events of Force Majeure shall mean any contingency or cause beyond the reasonable control of a party including, without limitation, acts of God or the public enemy, war, riot, civil commotion, insurrection, government or de facto government action (unless caused by acts or omissions of the party), fires, explosions, rain or other weather delays, floods, strikes, slowdowns or work stoppages. ARTICLE 7. ASSIGNABILITY/CONSENT Except as otherwise provided herein, or except as may be hereafter determined by the parties, no party to this Agreement may sell, assign, partially assign or transfer its interest in this Agreement, or any of its right, duties, or obligations hereunder, without the prior written consent of the other party. Whenever the consent or the approval of a party is required herein, such party shall not unreasonably withhold, delay, or deny such consent or approval. Notwithstanding the foregoing, the CORPORATION NAME may assign this Agreement if the Gas and Oil Well Permit has been assigned in accordance with Chapter 9.5, Article IV, “Gas & Oil Well Drilling and Production,” of the Southlake City Code. ARTICLE 8. NOTICE Any notice given by one party to the other in connection with this Agreement shall be in writing and shall be by personal delivery; sent by registered mail or certified mail; or by U.S. Mail, return receipt requested, postage prepaid; to: CITY: Office of the City Manager City of Southlake, 1400 Main Street, Southlake, Texas 76092 OPERATOR: CORPORATION NAME ADDRESS Notice shall be deemed to have been received on the date of receipt as shown on the return receipt or other written evidence of receipt. ARTICLE 9. MODIFICATION No waiver or modification of this Agreement or of any covenant, condition, limitation herein contained shall be valid unless in writing and duly executed by the party to be charged therewith. No evidence of any waiver or modification shall be offered or received in evidence in any proceeding arising between the parties hereto out of or affecting this Agreement, or the rights or obligations of the parties hereunder, unless such waiver or modification is in writing, duly executed. The parties further agree that the provisions of this Article will not be waived unless as herein set forth. ARTICLE 10. SAVINGS/SEVERABILITY In the event that any one or more of the provisions hereof contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not effect the other provisions, and the Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained in this Agreement. ARTICLE 11. GOVERNING LAW AND VENUE This Agreement shall be construed under and governed by, and in accordance with the laws of the State of Texas, and all obligations of the parties hereto, created by this Agreement are performable in Tarrant County, Texas. Venue of any suit or cause of action under this Agreement shall lie exclusively in Tarrant County, Texas. ARTICLE 12. ENTIRE AGREEMENT This Agreement and the exhibits attached thereto, constitute the entire agreement among the parties hereto with respect to the subject matter hereof, and supersede any prior understandings or written or oral agreements between the parties with respect to the subject matter of this Agreement. No amendment, modification, cancellation or alteration of the terms of this Agreement shall be binding on any party hereto unless the same is in writing, dated subsequent to the date hereof, and is duly authorized and executed by the parties hereto. ARTICLE 13. WAIVER OF TERMS AND CONDITIONS The failure of either party 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 shall be and remain at all times in full force and effect. ARTICLE 14. CAPTIONS The captions contained in this Agreement are for informational purposes only and shall not in any way affect the substantive terms or conditions of this Agreement. ARTICLE 15. COUNTERPARTS This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and constitute one and the same instrument. IN WITNESS WHEREOF, the parties do hereby affix their signatures and enter into this Agreement as of the _____day of _________, 20___. CITY OF SOUTHLAKE, TEXAS By: ____________________________ Billy Campbell, City Manager ATTEST: ____________________________________ Lori A. Farwell, City Secretary APPROVED AS TO FORM AND LEGALITY ____________________________________ Allen Taylor, City Attorney STATE OF TEXAS § § COUNTYOF TARRANT § Before me, the undersigned notary public, on this day personally appeared Billy Campbell of the City of Southlake, Texas, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for the purposes and consideration therein expressed, in the capacity therein stated, and as the act and deed of said City of Southlake, Texas. Given under my hand and seal of office this ____ day of ________________, 2004. _____________________________________ Notary Public CORPORATION NAME ___________________________ (Name and Title) Texas Rail Road Commission Operator Number: _______________________ STATE OF TEXAS § § COUNTYOF TARRANT § Before me, the undersigned notary public, on this day personally appeared ____________________of CORPORATION NAME, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for the purposes and consideration therein expressed, in the capacity therein stated, and as the act and deed of said CORPORATION NAME. Given under my hand and seal of office this ____ day of ________________, 2004. _____________________________________ Notary Public