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RiversideCA.gov
TERMINATION AGREEMENT WITH STRONG CAPITAL I LP FOR LICENSE NUMBER 0251979CITY COUNCILJuly 16, 2024Community & Economic Development Department RiversideCA.gov2
1. August 16, 1954, SCE entered into an Indenture Agreement withStrong Capital I, LP granting SCE the rights to construct andmaintain a 14” water pipeline easement.2. In 1978, the Public Utilities Department (RPU) entered into anAssignment Agreement with SCE for a 14” water pipeline(Facilities).3. RPU abandoned the use of the Facilities in 1985.BACKGROUND1 2 6/27/2024
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1. The Facilities encroach upon approximately 3,150 square feet ofSouthern Pacific Railroad right-of-way.2. Prior to abandonment, the Facilities supplied water from the La SierraWell in Grand Terrace to the Riverside Water Company Canal.3. Railroad Management, LLC, the authorized agent for Strong CapitalI LP, contacted staff regarding a lapse in payment of the fees.4. Staff successfully negotiated a Termination Agreement granting PUthe ability to abandon the Facilities in place and absolve RPU fromany outstanding fees.DISCUSSION RiversideCA.gov4
Subject Site:1. Approximately 3,150 sf, outlined in yellow2. Southern Pacific Railroad right-of-way3. City of Grand Terrace, San Bernardino County THE FACILITIES 3 4
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Strategic Plan Priority No. 5 – High Performing GovernmentGoal 5.4 –Achieve and maintain financial health by addressing gaps between revenues and expenditures and aligning resources with strategic priorities to yield the greatest impact.Cross-Cutting Threads
STRATEGIC PLAN ALIGNMENT
RiversideCA.gov6
That the City Council:1. Approve the Termination Agreement with Strong Capital ILP, a Delaware limited partnership, for License Number0251979; and2. Authorize the City Manager, or his designee, to executethe Agreement, including making minor and non-substantive changes.RECOMMENDATIONS5 6