Plains LPC First Amendment Rev

City of El Mirage — Regular Meeting (2021-08-17)

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1 
 
FIRST AMENDMENT TO THE 
LPG TRANSPORTATION SYSTEM LICENSE ISSUED TO PLAINS LPG 
SERVICES, L.P., BY CITY OF EL MIRAGE 
 
 
This FIRST AMENDMENT ("Amendment No. 1") to the LPG TRANSPORTATION 
SYSTEM LICENSE ISSUED TO PLAINS LPG SERVICES, L.P., (“License”) is hereby 
made and entered into this 17th day of August, 2021, by and between The CITY OF EL 
MIRAGE, ARIZONA, an Arizona municipal corporation (“Licensor” or “City”), and PLAINS 
LPG SERVICES, L.P., a Delaware limited partnership authorized to transact business in the 
State of Arizona (“Licensee”), collectively (“the Parties”).    
 
RECITALS 
 
WHEREAS, the City/Licensor and Licensee entered into the LPG Transportation System 
License on June 25, 2009 (the “Effective Date”); and, 
 
WHEREAS, the parties desire to amend Section 7.  Term of License, to extend the term 
an additional 10 years, and remove the CPI Adjustment payment to include an annual fee payment.   
 
AMENDMENT 
 
NOW, THEREFORE, in consideration of the mutual promises and obligations set forth 
herein, the Parties, hereby agree to amend the License as follows: 
 
1. Section 7. Term of License.   
 
The License granted herein shall continue and exist for a period of 2030 years from the 
effective date unless sooner canceled as provided in Section 10 below.  The effective 
date shall be the date on which the last party execute the License.  Beginning on the 
second year of the License and annually thereafter for so long as this License is in 
effect, Licensee agrees to pay Licensor the annual fee, as established in Section 6 
above, increased by the “CPI Adjustment” based on the Consumer Price Index, All 
Urban Customers, All Items, U.S. City Average, Not Seasonally Adjusted (Series ID 
#CUUROOOSAO;1982-84 = 100) (the “Consumer Price Index” or the “CPI”), 
published by the United States Department of Labor, Bureau of Labor Statistics, or any 
successor or substitute index published as a replacement of the CPI by an United States 
governmental agency.  If a substitute or successor index is unavailable, the parties shall 
agree to use other comparable statistics to calculate the CPI Adjustment.  The “CPI 
Adjustment” hereunder is a fraction, the numerator of which is the Consumer Price 
Index for the month of June immediately preceding the year in which the adjustment 
in the annual fee is to take place, and the denominator of which is the Consumer Price 
Index for the month of June immediately preceding the year used in the numerator, 
adjusted to the nearest one-tenth of a percent. Commencing on June 25, 2021, the 
annual fee shall be $6,200.00, and shall increase by two and one-half percent (2.5%) 
annually thereafter.

2 
 
   
2. Except as specifically amended, all remaining terms and conditions of said License 
shall remain the same and continue in full force and effect.   
 
IN WITNESS WHEREOF, the Parties have executed this Amendment No. 1 as of the 
date first above written.   
 
 
CITY OF EL MIRAGE, ARIZONA, 
 
PLAINS LPG SERVICES, L.P., 
a municipal corporation 
 
 
 
By: Plains LPG Services GP LLC,  
 
 
 
 
 
 
 
Its General Partner  
 
 
 
_____________________________  
 
By:______________________________   
By: 
J. Crystal Dyches 
 
 
 
 
George N. Polydoros, Jr. 
Its: 
City Manager  
 
 
 
 
Vice President 
 
ATTEST: 
 
 
 
_____________________________  
By:  Sharon Antes 
Its:   City Clerk 
 
APPROVED AS TO FORM:  
 
 
_____________________________ 
Justin Pierce, City Attorney