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HomeMy WebLinkAboutOrdinance #3041 ORDINANCE NO. 3041 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH GRANTING TO STANDARD GAS COMPANY, SUBSIDIARY OF CHEVRON CORPORATION, A FRANCHISE TO CONSTRUCT, OPERATE AND MAINTAIN A PIPELINE SYSTEM FOR THE TRANSPORTATION OF OIL The City Council of the City of Huntington Beach does ordain as follows : SECTION 1. The terms and conditions of the franchise awarded by this ordinance are contained in Exhibit 1 which is incorporated by reference herein as though set forth in this Section 1 . SECTION 2 . The City Clerk shall cause each ordinance to be posted in three places designated by the City Council within the City and to be published by title with a brief summary at least once within fifteen days after its adoption in a daily, semi-weekly or weekly newspaper, published in the County or the City and circulated in the City, which is selected by the City Council for that purpose. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 7th day of May 1990. Mayor ATTEST: APPROVED AS TO FORM: City Clerk City Attorney REVIEWED AND APPROVED: INI E AP ROVED: City Admi Zstrator ector 4f dminist tive Services , EXHIBIT 1 FRANCHISE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND STANDARD GAS CO. , SUBSIDIARY OF CHEVRON CORP. , PURSUANT TO THE CITY' S "PIPE LINE FRANCHISE ORDINANCE" THIS FRANCHISE AGREEMENT is entered into by and between the City of Huntington Beach, a municipal corporation of the State of California (hereinafter referred to as "CITY" ) , and Standard Gas Co . , subsidiary of Chevron Corp. (hereinafter referred to as "STANDARD" ) , effective as of January 1, 1989 (the "Effective Date") , pursuant to the CITY' s "Pipe Line Franchise Ordinance" as set forth in Chapter 3 .44 of the Huntington Beach Municipal Code (sections 3 . 33 . 010, et seq . ) . RECITALS WHEREAS, by Ordinance No. 494 , the City Council of the City of Huntington Beach granted to STANDARD ' s predecessor in interest, Wilshire Oil Company, Inc . , a franchise for the construction, operation and maintenance of pipe line systems for the transportation of oil, gas and other hydrocarbon substances; and A franchise for a different location was granted by ordinance of the County of Orange, Ordinance No . 486 . This franchise inured to the City. Also included in this agreement are three additional pipe lines not included in the aforementioned ordinances . STANDARD has requested that CITY renew said franchise; and City Council of the City of Huntington Beach has determined that a renewal of said franchise by the granting of this Franchise Agreement would be consistent with the public interest , convenience and necessity; NOW, THEREFORE, CITY and STANDARD agree as follows : 1 . Grant . CITY hereby grants to STANDARD, for a term commencing on the "Effective Date" and continuing twenty five (25) - 1 - 3041 i years thereafter, subject, however, to all limitations, restrictions and conditions set forth herein and/or incorporated herein by specific reference, the right, privilege and franchise to lay, construct, maintain, operate, renew, repair, change the size of , remove or abandon in place one or more existing pipes and pipe lines for the collection, transportation or distribution of oil, gas, gasoline, petroleum, wet gas and hydrocarbon substances, together with all manholes, valves, appurtenances and service connections necessary or convenient for the operation of said pipes or pipe lines including conduits, cathodic protection devices , wires, cables and other appurtenances necessary or convenient for the exercise of STANDARD' s business, in, under and along certain streets, roads, highways, alleys, lanes and other public ways within the City of Huntington Beach as herein designated or as may subsequently be authorized pursuant to Section 3 .44 .330 of the Huntington Beach Municipal Code. 2 . Application of Grant . This Franchise Agreement shall apply to that portion of STANDARD' s pipe lines system within the territorial limits of the City of Huntington Beach in existence on the Effective Date and constructed and operated pursuant to the franchise granted by the City Council of the City of Huntington Beach by Ordinance No . 3041 , including all streets, highways, alleys and public ways : A. Pipeline 1 A right of way in the County of Orange for a b" pipeline, the center line of which is described as follows : Beginning at a point 3 ' West of the easterly side line 2 _ 3041 of Bushard Street and 1400 ' South of the center line of Banning Avenue in Section 19 , Township 6 South, Range 10 West, S.B.B. &M. ; thence northerly along Bushard Street and parallel to the center line thereof, a distance of 2 . 25 miles, more or less, to a point which is 6 ' North of the South side line of Quincy Street (also called Adams Street) ; thence westerly along Quincy Street and parallel to the center line thereof, a distance of 1 .48 miles, more or less, to a point which is 9 . 5 ' East of the city limits of Huntington Beach; thence northwesterly to a point on the city limits of Huntington Beach 14 . 5 ' South of the center line of Quincy Street . B. __Pipeline 2 A right of way in the County of Orange for a 4" pipe line, the center line of which is described as follows : Beginning at a point 17 ' East of the center line of Bushard Street and 12 ' North of the southerly side line of Atlanta Avenue in Section 18, Township 6 South, Range 10 West, S.B. B . &M. ; thence westerly along Altanta Street and parallel to the center line thereof, a distance of 0. 69 miles, more or less, to a point which is 1, 000 ' West of the center line of Cannery Avenue in Section 13 , Township 6 South, Range 11 West, S.B.B. &M. C. Pipeline 3 Rerouting (1 each) 2 inch gas line from 16th Street alley between Walnut and Pacific Coast Highway to 3 _ 3041 Walnut, down Walnut to 17th Street alley; cap off 2 inch piping in Walnut alley between 16th Street and 17th Street alley. D. Pipeline 4 Install a 6" natural gas pipeline on the West side of Goldenwest Street approximately 35 ' Westerly and from 620 ' to 1320 ' Southerly from the Northeast corner of Section 34 , TSS, R11W. E. Pipeline 5 Approximately 1630 ' of 3" pipe, 2192 ' of 4" pipe, 1105 ' of 5" pipe and 3870 ' of 6" pipe beginning in Goldenwest Street approximately 200 ' north of Garfield Avenue; thence south in Goldenwest Street ; thence east in Garfield Avenue to Crystal Street; thence south in Crystal Street approximately 3001 ; also, easterly across Crystal Street beginning approximately 200 ' south of Garfield Avenue; thence easterly across private lands approximately 800 ' ; also in Garfield Avenue between Main and Huntington Streets, all as shown in red on Seller ' s map, revised August 1, 1967, marked Exhibit "B" and attached hereto . 3 . Incorporation of Pipe Line Franchise Ordinance and Definitions . This Franchise Agreement is granted upon and subject to the rules, regulations, restrictions, terms and conditions of CITY' s "Pipe Line Franchise Ordinance" as set forth in Chapter 3 .44 of the Huntington Beach Municipal Code, a copy of which is attached hereto 4 3041 as Exhibit "I" and incorporated herein by this reference. All references in this Franchise Agreement to specific sections of the Huntington Beach Municipal Code are references to those sections as they now exist and are reflected in said Exhibit "I" . The words and phrases in this Franchise Agreement shall have the identical meaning as provided in Section 3 .44 .040 of the Huntington Beach Municipal Code. 4 . Compensation to Citv. STANDARD shall pay the following fees to CITY with respect to the rights and privileges granted to STANDARD hereunder: 4 . 1 Basg granting feg. STANDARD shall pay CITY the sum of five thousand dollars ($5, 000) for all five lines as a one-time base granting fee within thirty (30) days following the Effective Date. 4 . 2 Base annual fee and adjustments . A base annual fee shall be paid within sixty (60) days after the end of each calendar year during the term of this Franchise Agreement, including 1989, in the amount of twelve cents ($. 12) per lineal foot of pipe for all pipe lines with an internal diameter of eight (8) inches or less and an additional two cents ($. 02) per inch of internal diameter per foot of pipe for each inch or portion thereof in excess of eight (8) inches . In determining the number of feet of pipe line upon which the annual fee will be computed, the greatest number of feet of pipe line covered by this Franchise Agreement during the calendar year for which payment is due will be utilized. If the base annual fee is not paid within seventy-five (75) days following the end of any calendar year during the term hereof, a penalty shall be assessed at the rate 5 - 3041 of ten percent (10%) per month or fraction thereof beyond the payment date; provided, however, that in no event shall said penalty exceed the rate of fifty percent (50%) . Said base annual fee shall be subject to annual adjustment pursuant to Section 3 .44 .290 of the Huntington Beach Municipal Code. Furthermore, said base annual fee shall be subject to proration to Section 3 .44 .300 of the Huntington Beach Municipal Code. 4 . 3 Base construction charges . STANDARD shall pay at the time of installation, relocation or replacement of any pipe line or other facility covered by this Franchise Agreement, a base construction charge of one thousand five hundred dollars ($1, 500) for each one-half mile of pipe line or fractional part thereof installed, replaced or relocated on major streets and one thousand dollars ($1, 000) per one-half mile or fractional part thereof on minor streets . 5 . Force Majeure. The obligations of any party hereunder, other than the obligation to pay money, shall be suspended for so long as such party is unable, in whole or in part, to carry out its obligations under this Franchise Agreement by reason of an act of God, strike, walkout or other industrial disturbance, act of the public enemy, war, blockade, public riot, lightning, fire, storm, flood, explosion, governmental action, governmental delay, restraint or inaction, the unavailability of equipment or materials, or any other cause, whether similar or dissimilar to the types specifically enumerated above, which is beyond the reasonable control of the party claiming the right to suspend its obligations . Such affected party 6 3041 shall provide prompt written notice to the other of the details of the "force majeure, " and shall use all reasonable diligence to remove, eliminate or otherwise minimize the fore majeure situation as quickly as is practicable. Nothing herein contained shall require a party to settle a labor dispute contrary to the wishes of such party. 6 . Surrender . STANDARD shall have the right to surrender its rights under this Agreement and be relieved of the obligation to pay the base annual fee herein provided for at any time after the Effective Date hereof by filing written notice of its intention to surrender said right with the City Clerk of CITY; provided, however that STANDARD shall comply with the provisions of the existing "Pipe Line Franchise Ordinance" relating to removal or abandonment of facilities . 7 . Entire Agreement . This Franchise Agreement contains the entire agreement of the parties and supercedes any prior understandings or agreements between STANDARD and CITY with respect to the matters addressed in this Franchise Agreement . PAGE END 7 - 304I IN WITNESS WHEREOF, the parties hereto have executed this Franchise Agreement on the date which is set forth opposite their respective signatures . STANDARD GAS CO. , CITY OF HUNTINGTON BEACH Subsidiary of CHEVRON CORP. a municipal corporation By 1. ASSISTANT S RETARY Mayor OQ-9 A 1A 4A-,,,—' ASSISTAI T S CRETARY ATTES APPROVED AS TO FORM: City Clerk '2-k"City AttorneyCj, °t-^-f\-Rn REVIEWED AND APPROVED: INIT TE P OVED: City Administrator Director of Adminis ati e Services 8 - ,-. 3041 Ord, No. 3041 STATE OF CALIFORNIA ) COUNTY OF ORANGE SS: CITY OF HUNTINGTON BEACH j I, COP1PaiE BROCI:VAY, the duly elected, qualified City Clerk of the City of Huntington Beach and ex-officin Clerk of the City Council of the said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing ordinance was read to said City Council at a regular meeting therof held on the 16th day of April 1990 and was again read to said City Council at a regular liiceti ny i:her o i held on the 7th iiay of May , 1 9)0 , a nd was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council . AYES: Councilmembers: MacAllister, Winchell, Green, Mays, Bannister, Silva HOES: Councilmembers: None — - ABSENT: Councilmembers: Erskine (out of room) 1. Cantle Brockway CITY CLERK of the Cny of HWWvym Beach aW exec Clerk of Me City Coundi,do her" that a gyn +s Of M ordnance han been{xbWed in M t)ai!y PPot on City Clerk and ex-offici Clerk of the City Council of the City haccordance:a&:+:U C11k;iefoi40City. of Huntington Beach, California Connie- Bro&vvay city C k1l,�&" �_� `--. ierik ��. puty City Clerk