These two agreements allows for the construction of new road Hentges Way across the pipeline owned by Magellan Pipeline Company, L.P. and also allows the city to recapture any road repairs necessitated from work on the pipeline from Southwest Logistic Center, LLC, owners of the adjacent property.

The Encroachment Agreement allows for: the construction of a 12-inch water main by Shakopee Public Utilities; construction of Hentges Way Road with curbing; and crossing of the easement by heavy equipment during construction.

Should the city's roadway need repair work at a later date because of work on the pipeline, the Southwest Logistic Center, LLC and its successors or assigns or subsequent owners will pay the city up to $50,000 in reimbursement costs for any road repairs due to pipeline work.