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Consent   1.H.
Regular City Council Meeting
Meeting Date:
06/23/2014
TITLE
Conveyance of Utility Easement to NorthWestern Energy within Shiloh Conservation Area
PRESENTED BY:
David Mumford
Department:
Public Works
Presentation:

PROBLEM/ISSUE STATEMENT

NorthWestern Energy has asked if they can purchase a 25-foot wide easement from the City of Billings along a portion of the north property line of the Shiloh Conservation Area so they can provide added capacity to their system in west Billings.  The easement will begin at 44th Street West and run east a distance of 1573-feet.  NorthWestern Energy approached the City during the design of the Shiloh Conservation Area and the design was able to accommodate space for this easement without the site losing functionality.  At this time NorthWestern Energy does not know the size of the poles and voltage to be transmitted, but there is a chance the easement could be used for transmission which may require poles as tall as 65-feet. There would probably be five or six poles in the easement.         

ALTERNATIVES ANALYZED

The Council may:
  • Grant the sale of a utility easement to NorthWestern Energy in the amount of $7,469.47; or
  • Do not grant the sale of a utility easement to NorthWestern Energy in the amount of $7,469.47. 

FINANCIAL IMPACT

NorthWestern Energy will pay the City of Billings $7,469.47 for the utility easement.  The price for the easement was based upon charging NorthWestern Energy the same square foot price the City of Billings purchased the land for the Shiloh Conservation Area.  The area of the easement is 39,313 square feet and the price per square foot is $0.19 for a total of $7,469.47.  

RECOMMENDATION

Staff recommends that Council accept the purchase of the utility easement by NorthWestern Energy along a portion of the north boundary of the Shiloh Conservation Area in the amount of $7,469.47.

APPROVED BY CITY ADMINISTRATOR

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