ITEM TITLE:
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Consider approval of an amendment to an agreement between Comanche Renewables, LLC and the City of Lawton for the use of the Landfill Gas End Use Program, authorizing an addition outlining responsibilities of both parties.
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INITIATOR: Michael Watrous, Public Works Director
STAFF INFORMATION SOURCE: Michael Watrous, Public Works Director
BACKGROUND: On January 11, 2022, City Council approved the Lease, Easement and Landfill Gas Rights Agreement with Comanche Renewables, LLC. The agreement provides for a landfill gas project to be constructed, operated, and maintained by Comanche Renewables that will produce pipeline quality natural gas to be sold and injected into the natural gas distribution system. The project also reduces landfill gas system operational expenses currently incurred by the city and provides for a new source of revenue generation in the best interest of our citizens through gas royalties.
The amendment to the gas rights agreement does the following
- Establishes a net lease describing costs responsibilities by the Tenant
- Establishing a responsibility matrix between City of Lawton and Comanche Renewables for areas of responsibility between both parties including physical responsibilities and financial responsibilities
- Establishing a covenant to address damages to the Tenant’s property on the wellfield and creating a mechanism to address repair costs and permitting Tenant to recover repair costs from against amounts due or payable to Landlord (City of Lawton)
EXHIBIT: Third Amendment to Lease Easement and Landfill Has Rights Agreement
KEY ISSUES: No issues noted from the landfill staff
FUNDING SOURCE: N/A
STAFF RECOMMENDED COUNCIL ACTION: Approve an amendment to an agreement between Comanche Renewables, LLC and the City of Lawton for the use of the Landfill Gas End Use Program, authorizing an addition outlining responsibilities of both parties.