On January 13, the City executed an Agreement with Castlerock Excavating, Inc. (Castlerock) to install a packaged water pumping station previously purchased by the City.  One of the contract requirements is to connect power to the pumping station.  In order to connect power, an underground electric power line must be run from a pole located at the east side of the City-owned property to a padmount transformer and from the transformer to the station. Since Northwestern Energy (NWE) would own the power line between the transformer and the pole and this line would be located outside any existing easement on City the property, the City must grant NWE an easement for that portion of the underground power line as a condition of receiving power service.

The City-owned property is located in the Billings Heights at 805 Constitution Avenue on Lot 1, Block 27, Kimberly Heights Subdivision.  The easement consists of a 40-foot long by 8-foot wide strip of land running generally in a westerly direction from an existing overhead power line to the transformer, which is located 10 feet behind the pump station building in roughly the center of the lot.

The Council may:

• grant the Corporate Underground Electric Easement to NWE, or
• do not grant the Corporate Underground Electric Easement to NWE.

If the City is unable to grant a power easement, NWE will not provide power to run the booster station.

As a condition of granting the easement to NWE, the City would agree to collect a sum of $1.00.

Staff recommends that Council approve a Corporate Underground Electric Easement for NWE and authorize the Mayor to execute the documents.