HomeMy WebLinkAboutRES 18-018RESOLUTION NO. 18-018
WHEREAS, Sunoco Pipeline L.P. approved an Encroachment Agreement with
the City of Beaumont to provide for the installation of a concrete saddle over an existing
pipeline that will allow access to City -owned property adjacent to the pipeline, which will
provide fill dirt required at the Beaumont Landfill; and,
WHEREAS, the City of Beaumont wishes to enter into an Encroachment
Agreements with Sunoco Pipeline L.P. to provide for the installation of a concrete
saddle over the existing pipeline to access the adjacent City -owned property which will
provide fill dirt required at the Beaumont Landfill; and,
WHEREAS, it is also necessary to enter into an Engineering Cost
Reimbursement Agreement with Sunoco Pipeline L.P. for the purpose of performing a
detailed engineering design for the construction of the approximately eighty foot (80')
protective concrete saddle;
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the statements and findings set out in the preamble to this resolution are
hereby, in all things, approved and adopted; and,
THAT the City Manager be and he is hereby authorized to enter into an
Encroachment Agreement and Engineering Cost Reimbursement Agreement with
Sunoco Pipeline L.P. for the purpose of performing a detailed engineering design for the
construction of approximately eighty feet (80') of a protective concrete saddle in relation
to a sixteen inch (16") diameter carbon steel pipe. The Encroachment Agreement and
Engineering Cost Reimbursement Agreement are substantially in the form attached
hereto as Exhibits "A" and "B," respectively, and made a part hereof for all purposes.
The meeting at which this resolution was approved was in all things conducted in
strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter
551.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 16th day of
January, 2018.
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Pipeline Name/ID# Mariner South 16" 21045 (21044)
R/W File # TX -JE -116.000 -ROW
ENCROACHMENT AGREEMENT
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF JEFFERSON §
THIS ENCROACHMENT AGREEMENT (the "Agreement"), is made this day of
, 20_, by and between SUNOCO PIPELIlVE L.P., a Texas limited partnership
("Sunoco") whose mailing address is 1300 Main Street, Houston, Texas 77002, and CITY OF
BEAUMONT, ("Grantee"), whose mailing address is P 0 Box 3827, Beaumont, Texas 77704.
WITNESSETH:
WHEREAS, pursuant to the terms of a certain right-of-way agreement dated July 17, 1941, executed and
delivered by W.E. Howth Jr. and Sarah Willard to Magnolia Petroleum Company_ and recorded in the
Office Public Records in Jefferson County, State of Texas, Book No. 479, Page 382, ("Right of Way
Agreement"); and
WHEREAS, all right, title, interest, and estate originally granted by said Right -of -Way Agreement are
now owned by Sunoco; and
WHEREAS, Grantee represents and warrants that he is the present Grantee of that certain tract of land
described in a Deed dated October 18, 1983 and recorded via film code 100 36 0545, Instrument number
8329704 of the Official Public Records for Jefferson County, State of Texas. Said tract of land is subject
to the above described Right of Way Agreement, and
WHEREAS, Grantee desires to construct a commercial roadway, hereinafter as shown on Exhibit "A",
(hereinafter referred to as "Improvements"), which will (or portions of which will) encroach over, across
or within Sunoco's right of way and easement area as described above.
NOW THEREFORE, in consideration of the mutual promises, covenants and other good and valuable
consideration, the receipt and sufficiency of which are hereby mutually acknowledged, it is agreed by and
between the parties hereto as follows:
1. Except as hereinafter provided, Grantee shall not construct nor permit others to construct any
buildings, engineering works or other improvements, nor change the grade, within Sunoco's right
of way and easement, an area measuring twenty five feet on each side of the centerline of
Sunoco's existing pipeline.
2. Sunoco hereby consents and agrees, insofar as it has the lawful right to do so, to the construction
of said Improvements as limited and described above and in accordance with Sunoco's
Engineering and Construction Guidelines, Revision 4 dated 8/15/2017 incorporated herein by
reference. Any deviation, change, or revision to the proposed Improvements is strictly prohibited
without the express written consent and approval of Sunoco.
3. Grantee shall restore all areas disturbed during installation and maintenance of the Improvements
in accordance with state and local laws and to prevent the erosion of Sunoco's right of way.
4. If in Sunoco's opinion, it deems it necessary to remove any portion of said Improvements to gain
access to its pipeline for repair, maintenance, or for any other purpose whatsoever, or in the
exercising any rights granted to it by the above-described Right of Way Agreement, Sunoco may,
at its sole cost and expense and without notice first being given to Grantee, remove all or any
portion of said improvements; and after Sunoco has completed the work for which said
Improvements were removed, Grantee, agrees to replace same at its sole cost and expense.
Sunoco shall not be responsible or liable to Grantee for any damage caused to said Improvements
in the performance of the work above-described or from the placing of barricades and sealing off
of Grantee's land from the public use.
Grantee, its agents, contractors, successor and assigns shall give Sunoco seventy-two (72) hours
notice prior to any proposed excavation, grading or construction over or near Sunoco's pipeline
and right of way in accordance with state law by contacting the National Call Before You Dig
Hotline at 811. A Sunoco representative must be present during any of the aforementioned
construction activities. The presence of Sunoco's representative will not relieve Grantee of any
liability under this Agreement.
6. It is understood and agreed that any rights acquired under the above-described Right of Way
Agreement shall remain in full force and effect.
Rev 030816 CNS EXHIBIT "A"
7. Grantee agrees to immediately contact Grantor's offices in the event of any incident involving, or
potentially involving, the Pipeline
8. This encroachment agreement is subject to the existing easement rights of Grantor, and the
permission herein granted by Grantor is limited to its interest and authority in the subject land and
Grantee acknowledges the possible obligation to obtain the required permission from other parties
of interest or local, state or federal agencies.
9. The terms and conditions of this Agreement shall constitute covenants running with the land and
shall be binding upon the parties hereto, their respective heirs, representatives, successors and
assigns.
10. Wherever Grantee will cross the Sunoco Pipeline and/or easement with heavy equipment,
Grantee will place matting or other suitable materials over the Sunoco Pipeline/Easement as
determined by Sunoco's representative in the field. No materials or heavy equipment will be
stored on the Easement without Sunoco's express written consent.
11. Excavated material will not be placed over the Sunoco Pipeline except fill material necessary to
provide at least four (4) feet of cover about the Pipeline if there is presently insufficient cover
over the Pipeline. Grantee agrees to clean up and repair all damages to the Easement resulting
from the work on or across the Easement in a manner which is reasonably acceptable to Sunoco.
12. In the event that the existence, construction, operation, maintenance, relocation, or removal of the
Encroachment causes Sunoco to incur any cost that in any manner is related to Sunoco's
operation, maintenance, removal, repair, replacement, protection, construction, alteration,
relocation, changing the size of, addition to and/or inspection of the Sunoco Pipeline, or the
cleanup or handling of any spills of petroleum products, Grantee will reimburse Sunoco for any
costs that would not have been incurred, but for the existence of the Encroachment. Grantee
hereby agrees that Sunoco will not be held liable for any damages to the Encroachment arising
from Sunoco's operation, maintenance, removal repair, replacement, protection, construction,
alteration, relocation, changing the size of, addition to and/or inspection of the Sunoco Pipeline.
13. This Agreement may not be modified or amended except on or after the date hereof by a writing
signed by the other party against whom such modification or amendment is to be enforced and no
party shall be liable or bound to any other party in any manner except as specifically set forth
herein.
14. This Agreement, together with any amendments previously entered into between the parties
relating to the Right of Way Agreement, along with the Right of Way Agreement, constitutes the
entire understanding between the parties relating to the subject matter hereof and supersedes and
revokes any prior understandings or agreements on such matters.
15. All other terms, conditions, provisions and restrictions of the Right of Way Agreement, except as
modified by this Agreement, are hereby ratified and confirmed and shall remain in full force and
effect. The terms, conditions and provisions of this Agreement shall extend to and be binding
upon the heirs, executors and administrators, personal representative, successors and assigns of
the parties hereto
[Signature Page(s) Follow]
IN WITNESS WHEREOF, the parties have caused these presents to be executed the day and year first
above written.
GRANTEE: SUNOCO:
CITY OF BEAUMONT SUNOCO PIPELINE L.P.
By: Sunoco Logistics Partners Operations GP LLC,
its General Partner
By:_
Name:
Title:
By:
Name: Robert R. Rose
Title: Vice President — Land & Right of Way
ACKNOWLEDGEMENTS
STATE OF TEXAS §
COUNTY OF JEFFERSON §
This instrument was acknowledged before me by
of the CITY OF BEAUMONT, known to me to be the person
whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the
same for the purposes therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this the day of
20
Notary Public in and for the State of Texas
STATE OF TEXAS §
COUNTY OF FORT BEND §
This instrument was acknowledged before me by Robert R Rose, Director, Vice President —
Land & Right of Way, known to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed the same for the purposes therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this the day of
20
Notary Public in and for the State of Texas
3
Exhibit "A"
The "As -Built Survey Plat" shall be provided and made part of this agreement after the execution of this
agreement and completion of work. The As -Built Survey Plat shall replace this page and be included as
part of this agreement for recordation purposes.
ENGINEERING COST REIMBURSEMENT AGREEMENT
This Reimbursement Agreement ("Agreement") is made and entered into, and is effective, this
day of , 2018, by and between Sunoco Pipeline L.P., a Texas limited
partnership (hereinafter referred to as "COMPANY"), whose address is 1300 Main Street, Houston, Texas
77002, and City of Beaumont (hereinafter referred to as "OWNER"), whose address is P O Box 3827,
Beaumont, Texas 77704.
WITNESSETH:
WHEREAS, COMPANY is the owner of that certain 21045 - 16" 14/16 Junction to Nederland,
Mariner South Liquid Propane pipeline, (hereinafter referred to as the "Facilities") located in Jefferson
County, Texas; and
WHEREAS, OWNER desires to develop a commercial roadway, hereinafter referred to as the
"Project"); and
WHEREAS, to accommodate the Project, OWNER desires that COMPANY perform a detailed
engineering design review (herein referred to as the "Work") described as follows:
WHEREAS, the scope of the Work is to perform a detailed engineering design and construct
approximately Eighty feet (80') of a protective concrete saddle in relation to a Sixteen -inch (16") diameter
carbon steel pipe.
To accommodate the proposed development of the Project by OWNER, as further described on
Exhibit "A"; and
WHEREAS, COMPANY, under the terms hereinafter stated, is willing to perform the Work,
provided OWNER reimburses COMPANY for 100% of its final actual costs, both direct and indirect, for
performing the Work. Unless as otherwise provided in this Agreement, such reimbursement shall not
exceed 125% of the total estimate of costs and expenses stated in Section 4 below.
NOW, THEREFORE, in consideration of the promises and mutual covenants herein contained,
COMPANY agrees to perform the Work subject to the following terms and provisions:
1. OWNER agrees that the description of the Work on Exhibit "A" contains a complete
representation of the Work requested of COMPANY to accommodate the Project.
OWNER agrees to bear 100% of all direct and indirect costs incurred by COMPANY and relating
to the Work by COMPANY hereunder in an amount not to exceed 125% of the total estimate of
costs and expenses stated in Section 4 below, unless otherwise provided in this Agreement. Such
costs and expenses shall include, but not limited to, labor, materials, construction damages,
administrative overhead, taxes and legal fees relating to the engineering and modification of the
Facilities to accommodate the Project ("Project Estimate"); provided, however, that to the extent
that the costs exceed 125% of the estimated amount stated in Section 4 below, COMPANY shall
provide OWNER notice, with an estimate of such excess costs before they are incurred by
COMPANY and OWNER shall have the right to approve or disapprove of such excess costs
within three (3) days of OWNER's receipt of such notice, such approval not to be unreasonably
withheld, conditioned or delayed. In the event OWNER does not approve of such excess costs,
in addition to all costs and expenses incurred to date, OWNER shall bear 100% of all direct and
indirect costs and expenses incurred by COMPANY to return the relocated pipe segment to its
original location and condition prior to commencement of the Work, and COMPANY and
OWNER shall execute all such documents, including easements and releases, as are deemed
necessary by each of the parties to evidence such return to the original location.
EXHIBIT "B"
OWNER recognizes that COMPANY may use one or more contractors to perform the Work.
4. The Project Estimate is estimated to be $72,500.00. Final actual costs may be more or less than
such estimate, which shall not be construed as a limitation of costs for such Work. For purposes
of this Agreement, the Project Estimate includes all costs and expenses including, but not limited
to labor, materials, construction damages, administrative overhead, taxes and legal fees relating
to the engineering and modification of the Facilities.
Intentionally deleted.
Within ninety (90) days following the completion of the Work, COMPANY shall make an
accounting of all costs and provide OWNER an invoice of the same. The final cost may be greater
or less than the Project Estimate. OWNER shall be liable to COMPANY for the full amount of
the total cost regardless of whether that amount exceeds the Project Estimate, so long as such
costs have been approved by OWNER in accordance with Section 2 above and do not exceed
125% of the Project Estimate stated in Section 4. In the event any expenses are disapproved in
accordance with the procedures provided in Section 2, the billing and payment provisions in this
Section 6 shall apply, the necessary changes having been made, regarding reimbursement for work
to date plus work to return the relocated pipe segment to its original location.
7. OWNER shall perform all operations and construction activity above or adjacent to the Facilities
in a workmanlike and safe manner and in conformance with all applicable industry and
governmental standards and reasonable conditions that may be imposed by COMPANY from time
to time. No construction activity by OWNER shall be performed over, across, or adjacent to the
Facilities until the Work of COMPANY has been completed. COMPANY shall perform the Work
in a workmanlike and safe manner and in conformance within all applicable industry and
governmental standards and reasonable conditions that may be imposed by OWNER from time
to time (subject to reimbursement as provided herein for any costs incurred as a result of such
conditions).
Exclusive of Saturday, Sunday and legal holidays, notice shall be given to COMPANY by
OWNER, at least seventy-two (72) hours in advance of commencement of any construction
activity on or adjacent to the Facilities, except only in cases of emergency when such advance
notice shall not be required. Said notice shall be given to Texas One -Call (811). In the event
either party commences any litigation to enforce any provisions of this Agreement or of the
easements of COMPANY relating thereto, the substantially prevailing party shall be entitled to
recover from the other party the cost of reasonable attorneys' fees, interest and the attendant
expenses.
TO THE EXTENT ALLOWED BY APPLICABLE LAW, OWNER SHALL INDEMNIFY,
SAVE, HOLD HARMLESS, AND AT COMPANY'S OPTION, DEFEND COMPANY AND
ITS AFFILIATED COMPANIES AND THEIR DIRECTORS, OFFICERS, EMPLOYEES AND
AGENTS FROM ANY AND ALL CLAIMS, DEMANDS, COST (INCLUDING
REASONABLE ATTORNEY AND EXPERT WITNESS FEES AND COURT COSTS),
EXPENSES, LOSSES, CAUSES OF ACTION (WHETHER AT LAW OR IN EQUITY), FINES,
CIVIL PENALTIES, ENVIRONMENTAL DAMAGE, AND ADMINISTRATIVE
PROCEEDINGS ("DAMAGES") FOR INJURY OR DEATH TO PERSONS OR DAMAGE OR
LOSS TO PROPERTY OR OTHER DIRECT BUSINESS LOSSES INCLUDING THOSE
MADE OR INCURRED BY COMPANY OR ITS DIRECTORS, OFFICERS, EMPLOYEES,
OR AGENTS (BUT EXCLUDING ANY CONSEQUENTIAL, SPECIAL OR INDIRECT
DAMAGES, OR LOSS OF ANTICIPATED PROFITS), ARISING FROM OR CONNECTED
WITH OWNER'S NEGLIGENCE, GROSS NEGLIGENCE, OR WILLFUL MISCONDUCT
RELATED TO THE CONSTRUCTION, MAINTENANCE, REMOVAL OR OTHER
OPERATIONS OF THE WORK AS DESCRIBED IN THIS AGREEMENT, AS WELL AS
2
OWNER'S NEGLIGENCE, GROSS NEGLIGENCE, OR WILLFUL MISCONDUCT
RELATED TO THE CONSTRUCTION AND/OR USE OF THE PROJECT.
10. It is expressly understood by the parties hereto that COMPANY is not abandoning any right, title
or interest it may have in the above described land.
11. COMPANY shall maintain and preserve, and shall cause contractors and subcontractors of the
WORK to maintain and preserve, complete and accurate documentation and data pertaining to
performance of the WORK sufficient for OWNER to determine COMPANY's compliance with
all terms and conditions of the Agreement. Such documentation and data shall include, without
limitation, CHANGE ORDERS and any gift or entertainment expenses incurred by COMPANY
or other contractors and subcontractors performing the Work, written and electronic records,
books of account, correspondence, plans, instructions, permits, licenses, drawings, payroll
records, memoranda, receipts, vouchers, data stored in computer libraries, documentation of
transactions subject to export controls, and documentation of related systems and controls. All
documentation and data necessary for OWNER's accurate audit and verification of COSTS shall
be prepared in accordance with generally accepted accounting practices. This documentation and
data shall be maintained and preserved for a period of five (5) years after termination of the
WORK or ACCEPTANCE. Sunoco corporate policy calls for automatically deleting email
correspondence at a minimum of ninety (90) days and maximum of 365 days after it enters the
Sunoco email system. To the extent that such email correspondence relates to the terms,
conditions and compliance with this Agreement, such email correspondence over ninety (90) or
365 days old will not be available for examination.
a. At all reasonable times during performance of the WORK and for five (5) years after
termination of the WORK or ACCEPTANCE, COMPANY shall permit and cause its
other contractors and subcontractors to permit personnel and other representatives of
OWNER to have access to their respective offices and other locations to examine,
reproduce, and retain copies of the documentation and data and to interview the personnel
of COMPANY and its contractors and subcontractors in connection with such
documentation and data as necessary for OWNER to verify and monitor the following:
Completeness and accuracy of REIMBURSABLE COSTS;
ii. Existence and effectiveness of COMPANY's business standards; and
iii. Compliance with all other terms of the AGREEMENT.
12. COMPANY shall permit OWNER's personnel and other representatives to have sufficient audit
access to satisfy OWNER that WORK to be compensated pursuant to Exhibit "A" is invoiced or
otherwise valued properly. In addition, OWNER shall have access by COMPANY to the
documentation and data necessary to ensure that materials and services are provided in accordance
with Exhibit "A". OWNER shall not be liable for costs incurred by COMPANY or any other
contractor or any other subcontractor resulting from such audit, unless such costs are otherwise
reimbursable under Exhibit "A". If errors or deficiencies are identified by an audit or otherwise,
COMPANY shall make appropriate invoice adjustments or promptly refund any overpayment.
13. This Agreement supersedes every antecedent or concurrent oral and/or written declaration and/or
understanding pertaining to the Work or construction activity by and between COMPANY and
OWNER, but such limitation does not include any other agreements with respect to the Facilities,
such as rights -of way and easements.
14. The provisions of this Agreement and the documents delivered pursuant hereto shall be governed
by and construed and enforced in accordance with the Laws of the State of Texas (without regard
to any conflicts -of -law rule or principle that would require the application of same to the Laws of
another jurisdiction).
15. This Agreement shall not be assigned in whole or in part by Company or Owner without the
written consent of the other party, except that Company or Owner may upon written notice to the
other party assign its interest hereunder to any corporation or other business entity which is a
subsidiary of or affiliated with the assignor. Any assignment not in compliance with this article
shall be void and of no effect.
16. This Agreement may be executed in one or more counterparts, each of which shall be deemed an
original, but all of which together shall constitute one and the same instrument. Facsimile or other
electronic copies (such as .pdf files delivered by electronic mail) of signatures shall constitute
original signatures for all purposes of this Agreement and any enforcement hereof.
17. The Parties agree that from and after the date hereof, each of them will, and will cause their
respective Affiliates to, execute and deliver such further instruments and take such other action
as may reasonably be requested by any Party hereto to carry out the purposes and intents hereof.
Without limiting the foregoing, in the event COMPANY determines, in its sole discretion, that an
amendment to its existing easements, or new easement(s), are necessary or desirable in connection
with its Facilities and the foregoing Work, OWNER shall execute such recordable documents to
reflect COMPANY's rights with respect to the relocated pipeline.
18. OWNER agrees that this AGREEMENT meets the requirements of Chapter 271 of the Local
Government Code.
[Signatures appear on the following page]
IN WITNESS WHEREOF, this Agreement is executed as of the date first set forth above.
COMPANY:
SUNOCO PIPELINE L.P.
By: Sunoco Logistics Partners Operations GP LLC,
its general partner
By:
Name: Robert R. Rose
Title: Vice President — Land & Right of Way
CITY OF BEAUMONT
By: _
Name:
Title:
File Nos. RC -0178, RC -0179
Exhibit "A"
The Work
Protective concrete saddle located in James Rowe, Abstract 45, Tract 8, 36 acres, Jefferson County,
Texas, being further described in that Deed to granted to the City of Beaumont on October 18, 1983 and
recorded on 10-21-1983 via film code 100 36 0545, Instrument number 8329704
Saddle Construction
$ 47,000.00
Inspection Services
$ 15,000.00
Survey plats / Eng. drawings / As -Built Survey
$ 10,500.00
(Plus Taxes)
Total Cost
$ 72 500.00
Notes:
1. Work duration estimate is ten (10) days.
2. Upon the execution of this agreement, the preliminary plan sheet will be replaced by the fmal
plan sheet.
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