HomeMy WebLinkAboutOrdinance #4030 ORDINANCE NO. 4030
AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH
PROVIDING CONSENT TO THE ASSIGNMENT OF THE OXY USA, INC. FRANCHISE
TO CONSTRUCT, OPERATE AND MAINTAIN A PIPELINE
SYSTEM FOR THE TRANSPORTATION OF OIL TO SOCAL HOLDINGS, LLC
WHEREAS, on April 1, 2013, the City Council of the City of Huntington Beach adopted
Ordinance No. 3974, which awarded a franchise to construct, operate and maintain a pipeline
system for the transportation of oil to OXY USA, Inc.; and
OXY USA, Inc. desires to assign said franchise to SOCAL HOLDINGS, LLC and the
City wishes to consent to such assignment,
NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby
ordain as follows:
SECTION 1. The terms and conditions of the Consent to Assignment of Franchise
Agreement approved by this ordinance are contained in the "Consent to Assignment of Franchise
Agreement," a copy of which is attached hereto as Exhibit "A" and incorporated by this
reference as though set forth herein.
SECTION 2. The City Clerk shall cause this 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 of Orange or the City and circulated in the City, which is selected by the
City Council for that purpose.
14-4274/111105
Ordinance No. 4030
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 4th day of August , 2014.
Mayor
ATTEST: INITIATED AND APPROVED:
ty Clerk Deputy Director oCjdusiness Development
REVIEWED AND APPROVED: APPROVED AS TO FORM:
Manager City Attor y
14
144274/111105
Ordinance No. 4030
EXHIBIT A
Exhibit "A" - Ord. 4030
CONSENT TO ASSIGNMENT OF FRANCHISE AGREEMENT
This CONSENT TO ASSIGNMENT OF FRANCHISE AGREEMENT is made this
day of ` &VOMW) 7Q, 2014, by and between the City of Huntington Beach, a
California municipal corporation, hereinafter "City," OXY USA Inc., hereinafter "Assignor,"
and SoCal Holding, LLC, hereinafter "Assignee;" and
RECITALS
WHEREAS, Assignor entered into a Franchise Agreement with City identified as
"Franchise Agreement Between the City of Huntington Beach and OXY USA Inc. Pursuant to
City's Pipeline Franchise Ordinance," hereinafter "Franchise Agreement"; and
Assignor wishes to assign all of its rights and obligations under the Franchise Agreement
to Assignee; and
The Franchise Agreement requires the prior written consent of the City for the
assignment thereof,
NOW THEREFORE, In consideration of the mutual covenants herein contained and other
good and valuable consideration, the sufficiency of which is hereby acknowledged, City,
Assignor and Assignee agree as follows:.
1. Assignor hereby assigns all its right,title, and interest, and delegates all its
obligations responsibilities and duties, in and to the Franchise Agreement,to Assignee.
2. Assignee hereby accepts the assignment of all of Assignor's obligations
responsibilities and duties under the Franchise Agreement and all of Assignor's right, title and
interest in and to the Franchise Agreement.
3. City hereby consents to the assignment from Assignor to Assignee.
4. Notwithstanding the foregoing, Assignor agrees to defend and indemnify the City
from any and all claims, actions,judgments, liabilities,proceedings and costs, including reasonable
attorneys' fees and other costs of defense and damages, resulting from Assignor's performance prior
to the assignment of the Franchise Agreement and resulting from Assignee's performance after the
assignment of the Franchise Agreement, provided however, that after the assignment of the
Franchise Agreement the City shall first look to Assignee to satisfy all claims, actions,judgments,
liabilities, proceedings and costs, including reasonable attorneys' fees and other costs of defense
and damages resulting from Assignee's performance.
S. Assignee agrees to indemnify the City from any and all claims, actions,
judgments, liabilities, proceedings and costs, including reasonable attorneys' fees and other costs
of defense and damages, resulting from Assignee's performance after the assignment of the
Franchise Agreement.
6. The City, in executing its consent to this Assignment, does not release Assignor
from any claims or remedies it may have against Assignor under the Franchise Agreement.
1"272/110829 l
Exhibit "A" - Ord. 4030
7. The Parties acknowledge and agree that the Franchise Agreement will continue in
full force and effect until the assignment has been completed as evidenced by execution by all
parties of this Consent to Assignment.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by
and through their authorized officers the day, month and year first above written.
ASSIGNOR: CITY OF HUNTINGTON BEACH,
A municipal corporation of the State
OXY USA INC. of California
By: �-e CJ • ,
Alar-k- cS• .cue�i�2, ay o r
print name
ITS: circle one) Chairman/Presiden ice
Presid y Clerk
AND INITIATED AND APPROVED:
By: �cC�
P 5 p Deputy r ctor of Business
print name Development
ITS: (circle one_Secretary/Chief Financial
Officer sst. Secretary Treasurer
REVIE ND APPROVED:
ASSIGNEE:
SOCAL HOLDING, LLC. Manager
BY.
print name APPROVED AS TO FORM:
ITS: (circle one) Chairman/President(2�- e
Presiden M S�1�1
AND City Attorney � ..� ��_ I
By. P,Zr�
print name
ITS: (circle o Secretary/Chief Financial
Officer Asst. Secretary Treasurer
14-4272/110829 2
Ord. No. 4030
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, JOAN L. FLYNN, the duly elected, qualified City Clerk of the City of
Huntington Beach, and ex-officio Clerk of the City Council of 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 thereof held on July 21, 2014, and was again read to said City Council at a
Regular meeting thereof held on August 4, 2014, and was passed and adopted by the
affirmative vote of at least a majority of all the members of said City Council.
AYES: Katapodis, Hardy, Shaw, Harper, Boardman, Sullivan, Carchio
NOES: None
ABSENT: None
ABSTAIN: None
I,Joan L.Flynn,CITY CLERK of the City of Huntington
Beach and ex-officio Clerk of the City Council,do hereby
certify that a synopsis of this ordinance has been
published in the Huntington Beach Fountain Valley
Independent on August 14,2014.
In accordance with the City Charter of said City
Joan L. Flynn, City Clerk City perk and ex-officio Merk
Senior Deputy City Clerk of the City Council of the City
of Huntington Beach, California