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PLX.DOC 940206 Fonn Approved, A VP-Law Folder No. 1636-87 PIPELINE CROSSING AGREEMENT Mile Post 208.47, Austin Subdivision Location: San Marcos, Hays County, Texas THIS AGREEMENT is made and entered into as of the 13th day of January , I 99!l, by and between UNION PACIFIC RAILROAD COMPANY, a Utah corporation (hereinafter the Licensor) and CITY OF SAN MARCOS, a municipality to be addressed at 630 E Hopkins, San Marcos, Texas 78666 (hereinafter the Licensee). IT IS MUTUALLY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: ARTICLE 1 - LICENSE FEE Upon the execution of this Agreement, the Licensee shall pay to the Licensor a one-time license fee of ONE THOUSAND SEVEN HUNDRED FORTY FIVE DOLLARS ($1,745.00). ARTICLE 2 - LICENSOR GRANTS RIGHT In consideration of the license fee to be paid by Licensee and in further consideration of the covenants and agreements herein contained to be by the Licensee kept, observed and performed, the Licensor hereby grants to the Licensee the right to construct and thereafter, during the term hereof, to maintain and operate an underground 8" pipeline crossing for conveying water only (hereinafter the Pipeline) in the location shown and in conformity with the dimensions and specifications indicated on the attached print dated December 16, 1997 and marked Exhibit A. Under no circumstances shall Licensee modify the use of the pipeline for a purpose other than conveying water, and said pipeline shall not be used to convey any other substance, any fiber optics, or for any other use, whether such use is currently technologically possible, or whether such use may come into existence during the life of this Agreement. ARTICLE 3 - CONSTRUCTION. MAINTENANCE AND OPERATION The grant of right herein made to the Licensee is subject to each and all of the terms, provisions, conditions, limitations and covenants set forth herein and in Exhibit B, hereto attached. ARTICLE 4 - IF WORK IS TO BE PERFORMED BY CONTRACTOR If a contractor is to do any of the work performed on the Pipeline (including initial construction and subsequent relocation or substantial maintenance and repair work), then the Licensee shall require its contractor to execute the Licensor's form Contractor's Right of Entry Agreement. Licensee acknowledges receipt of a copy of Contractor's Right of Entry Agreement and understanding its term, provisions and requirements, and will inform its contractor of the need to execute the Agreement. Under no circumstances will Licensee's contractor be allowed onto Licensor's premises without fIrst executing the Contractor's Right ofEntrv Agreement. I 63687.plx Articles of Agreement Page I of3 December 16, 1997