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HomeMy WebLinkAboutGrant of Easement to Southern California Gas Company for New (2) 0,0INGrp 2000 Main Street, opzoA4sa,t Huntington Beach,CA ' L City of Huntington Beach g264$ ro Qa 1/6-73 7-D „Nowtre 00111vTV GPI File #: 23-061 MEETING DATE: 2/7/2023 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Al Zelinka, City Manager VIA: Sean Crumby, Director of Public Works PREPARED BY: Lili Hernandez, Senior Civil Engineer Subject: Grant of Easement to Southern California Gas Company for new gas utility line extension at 6900 Brunswick Drive, a location known as North Greer Park Parcel Statement of Issue: It is requested that the City Council approve execution of a Grant of Easement to Southern California Gas Company (SCGC) to extend a new gas utility line within 6900 Brunswick Drive (North Greer Park) that will provide gas service to a City-owned gas generator for the new sewer lift station on McFadden Avenue. Financial Impact: No funding is required for this action. Recommended Action: A) Approve and authorize the Mayor and City Clerk to execute the Grant of Easement between the City of Huntington Beach and Southern California Gas Company; and, B) Authorize the City Clerk to record the Grant of Easement with the Orange County Recorder. Alternative Action(s): Do not authorize execution of the Grant of Easement between the City of Huntington Beach and SCGC, and provide staff with an alternate action. One alternative is to utilize propane as an alternative source of energy. However, a propane tank will require the City to increase the size of the block wall enclosure around the generator, and its use would also be less secure and less reliable than natural gas service. Additionally, using propane necessitates a fueling service contract, yearly inspections, and state permits. Lastly, the contract for the sewer lift station and natural gas generator is already in construction. If the City were to remove the natural gas service from the project, it would still remain responsible to City of Huntington Beach Page 1 of 2 Printed on 2/1/2023 powerea5Dly LegistarTM File #: 23-061 MEETING DATE: 2/7/2023 fund construction costs expended to date. Analysis: Public Works is currently constructing a sewer lift station at McFadden Avenue and Dawson Lane. The project includes installation of a natural gas powered generator in North Greer Park located at 6900 Brunswick Drive. The generator will provide an emergency back-up power source to the new sewer lift station in the event of an electrical power outage. This requires SCGC to extend a 2-inch gas line from Goldenwest Street, head west in McFadden Avenue, and terminate at the new generator location. Pursuant to the definition of"street" in the Franchise Agreement per Ordinance No. 3880, the agreement authorizes SCGC to construct, access, and maintain gas facilities only within public streets, ways, alleys and places, state highways, and freeways. Because this portion of McFadden Street is technically not a public street, SCGC is requesting a 40-foot (length) by 10-foot (width) easement to construct, access, and maintain a 2-inch gas line within the southerly portion of the North Greer Park parcel. Environmental Status: The project is categorically exempt pursuant to Section 15304 of California Environmental Quality Act. Strategic Plan Goal: Infrastructure & Parks Attachment(s): 1. Power Point Presentation 2. Location Map - Gas Powered Generator 3. Southern California Gas Company - Proposed Grant of Easement 4. Exhibits A and B - Proposed Legal Description and Plat 5. Franchise Agreement between the City of Huntington Beach and Southern California Gas Company per Ordinance No. 3880 dated May 17, 2010 6. Recorded Grant Deed for 6900 Brunswick Drive dated August 24, 1961 City of Huntington Beach Page 2 of 2 Printed on 2/1/2023 powere Legistarr" Z I- 0 Z Z M MI M I— a W Z u) a 0 wW ZU c� W I I II tili 0 Ce0 _ W 0 LI_ I- Z z > � JZJ / Q v III Z a a3 MMM COW 0re < . 1 I Z Z ° 0 sw"° W W Ce >' p Z � V W W pa 1 < Q _I F- fl, Z LI_ a nE ct O w 0 0 0 M OC co O LL Arno M''/+.r. ilir low r \\Oli V/410 '1%., •iiiiii••4. vo Milk Al° 4 ,00„., 1 i ' \ °°. ‘>."#/Illitk A r ..• ( , ''''' 4 A, c, i l 1 , , • • ,, . ‘ 4 • k ilz. ii, • .. , ,,..,._.- , , , ,, . , 1I 0, • ...„,... k • c_ al 2 co N CO 1 i L O U) C� Q O O O E O m -0 c a3 O Q — ON E _ 0 cm (nO Q —L —4 - O O a) O a..) ON •p � cnN(6 U co+ O Q o a) a)a) a (o V D — N L O7a) N) UUNOL U ca +0 O( L ry co (n o L a) co o o 0 - a) a >, O o O • o ,. I .t O. coE O Sim p LL a (/) O co 0) U f' U o • X ELL ' it i - 4i. 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I .fi i i 1,4 g 40 i f _h _ dd '1 , - - ----i.',__, ,,' r.,, , , ..„ . 3 1 Proposed Gas Powered Generator , ;' °ry Proposed 2"SoCal Gas Line __ _.k.,,,,,. „ .,,,t,,,,, ‘ 7' x ' I Proposed 40'x10' ----= irr Easement Dedication T,,-McFadden Avenue t I ray Existing Parcel Line 1 I NORTH GREER PARK-6900 BRUNSWICK DRIVE LOCATION MAP 357 Recorded in Official Records, Orange County Hugh Nguyen, Clerk-Recorder 101 II III II III ill II NO FEE * $ R 0 0 1 4 2 1 7 4 5 6 $ * ';. 2023000042592 9:26 am 02/24/23 371 NC-5 E01 6 0.00 0.00 0.00 0.0015.00 0.00 0.000.000.00 0.00 Recording Requested by and when recorded mail to: Southern California Gas Company 8101 Rosemead Blvd.,ML SC722K Pico Rivera,California 90660-5100 Attn.:Land&Right of Way DOCUMENTARY TRANSFER TAX SO CONVEYA17CE OF EASEMENT(OIL AND GAS Leak LEASE)AND CONSIDERATION&VALUE IS LESS THAN S 100,R&T 11911, Survey Area: OC 161-2 APN: 145-132-08 Computed on full value of property conveyed 0345 CPD#: 30950010 Computed on full value less liens and encumbrances remaining at time of sale DISTRIBUTION R.W. 273095 Southern California Gas Company GRANT OF EASEMENT FOR VALUABLE CONSIDERATION, CITY OF HUNTINGTON BEACH, a Municipal Corporation, ("Grantor"), hereby grants to Southern California Gas Company, a California corporation, its successors and assigns ("Grantee"): A (10.00) foot in width permanent non-exclusive easement ("Easement") to excavate for, lay, construct, reconstruct, relocate, reconfigure, use, inspect, maintain,operate,repair,replace,patrol,change the size of,add to,or remove from time to time,as Grantee deems necessary, one or more pipelines and conduits, together with devices for metering, measuring, regulating,cathodic protection, communications and other appurtenances (all hereinafter referred to as the "Facilities") for the transportation and distribution of natural gas and communications as Grantee deems necessary, convenient or beneficial over, under, through, along, and for all other purposes connected therewith,and together with the reasonable right of ingress and egress to and from the Easement to access the Facilities and the right to use Grantor's abutting property during construction and maintenance of the Facilities,the strip of land located in the City of Huntington Beach in the County of Orange,California, described in Exhibit"A" and depicted in Exhibit"B"attached hereto, and made a part of this agreement. Grantor,for its heirs,successors and assigns,agrees that, except as provided below,no change of grade of the Easement shall be made, that it shall not be inundated, that it shall be kept free of trees, deep-rooted shrubs, buildings and structures of all kinds (except for Grantee's Facilities), that nothing shall be done to impair Grantee's vehicular access to or along the Easement,and that nothing shall be done that unreasonably interferes with Grantee's use of the Easement. Grantee shall have the right, but not the duty, to trim or remove trees, brush, roots or material from the Easement whenever Grantee deems it necessary. Said right shall not relieve Grantor of the duty as owner to trim or remove trees,brush or material to prevent danger or hazard to property or persons. This document is solely for the official Wiriness of the City of Huntington Beech, Distribution Easement Form 1390 N Contemplated under Government Code Reviewed by Legal Dept.Michelle Meghrouni 3/5/13 Sec. 27383 and should-be recorded free of charge. Recording Requested by and when recorded mail to: Southern California Gas Company 8101 Rosemead Blvd.,ML SC722K Pico Rivera,California 90660-5100 Attn.:Land&Right of Way DOCUMENTARY TRANSFER TAX SO CONVEYAKE OF EASEMENT(OIL AND GAS Leak LEASE)AND CONSIpERATION&VALUE IS LESS THAN P OO.R&T 1I 911. Survey Area: OC 161-2 APN: 145-132-08 Computed on full value of property conveyed CPD#: 30950010 Computed on full value less liens and encumbrances remaining at time of sale DISTRIBUTION R.W. 273095 Southern California Cu Company GRANT OF EASEMENT FOR VALUABLE CONSIDERATION, CITY OF HUNTINGTON BEACH, a Municipal Corporation, ("Grantor"), hereby grants to Southern California Gas Company, a California corporation, its successors and assigns ("Grantee"): A (10.00) foot in width permanent non-exclusive easement ("Easement") to excavate for, lay, construct, reconstruct, relocate, reconfigure, use, inspect, maintain,operate,repair,replace,patrol,change the size of,add to,or remove from time to time,as Grantee deems necessary, one or more pipelines and conduits, together with devices for metering, measuring, regulating,cathodic protection, communications and other appurtenances(all hereinafter referred to as the "Facilities") for the transportation and distribution of natural gas and communications as Grantee deems necessary, convenient or beneficial over, under, through, along, and for all other purposes connected therewith, and together with the reasonable right of ingress and egress to and from the Easement to access the Facilities and the right to use Grantor's abutting property during construction and maintenance of the Facilities, the strip of land located in the City of Huntington Beach in the County of Orange,California, described in Exhibit"A"and depicted in Exhibit"B"attached hereto,and made a part of this agreement. Grantor,for its heirs,successors and assigns,agrees that,except as provided below, no change of grade of the Easement shall be made, that it shall not be inundated, that it shall be kept free of trees, deep-rooted shrubs, buildings and structures of all kinds(except for Grantee's Facilities), that nothing shall be done to impair Grantee's vehicular access to or along the Easement,and that nothing shall be done that unreasonably interferes with Grantee's use of the Easement. Grantee shall have the right, but not the duty, to trim or remove trees, brush, roots or material from the Easement whenever Grantee deems it necessary. Said right shall not relieve Grantor of the duty as owner to trim or remove trees,brush or material to prevent danger or hazard to property or persons. Distribution Easement Form 1390 Reviewed by Legal Dept.Michelle Meghrouni 3/5/13 R.W. 273095 Grantor reserves the right to (1) use any surface or subsurface areas, provided such use does not unreasonably or substantially interfere with Grantee's use of the Easement; (2) improve the Easement area surface with landscaping (except trees and deep-rooted shrubs), paved driveways, parking surfaces, sidewalks, curbs and gutters; provided, however, that before making any such improvements involving a change of grade, Grantor and its heirs, successors and assigns, shall notify the Grantee in advance and comply with underground service alert notification requirements pursuant to Government Code Sections 4216 and following. This Easement shall be binding upon and inure to the benefit of successors, heirs, and assigns of Grantor and Grantee. APPROVED A FORM By: MICHAEI E. ATES CITY i-r' RNEY CITY OF HU GTON BEACH R.W. 273095 IN WITNESS WHEREOF,these presents are hereby signed this 8thday of February ,2023 GRANTOR: CITY OF HUNTINGTON BEACH,a Municipal Corporation ---/ /6---\ 1‘‘4.'n.' &-/-aMee). _.64.4-- Signature Sig ture Tony Strickland Robin Estanislau Name Name Mayor City Clerk Title Title ALL-PURPOSE ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached,and not the truthfulness,accuracy,or validity of that document. STATE OF CALIFORNIA ) )ss COUNTY OF ) On , 20 before me, , a Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ties), and that by his/her/their signature(s)on the instrument the person(s),or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. (Seal) Signature Commission #: Commission Expiration: 2d4 el a,arteke•Ci GGfi/t/rX1&d A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. ACKNOWLEDGMENT STATE OF CALIFORNIA ) ) ss COUNTY OF ORANGE ) On February 8, 2023 before me, Donna Switzer, Notary Public, personally appeared Robin Estanislau and Tony Strickland who proved to me on the basis of satisfactory evidence to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. DONNA SWITZEII WITNESS my hand and official seal. 4 , COMMISSION.2311601 1,4 Notary Public-Californiaf ORANGE COUNTY ~ _ My Ccmm.ENSYN Nov.S.302S t it_0(41,11.4. 40,) (Seal) (Notary Signature) / EXHIBIT"A" LEGAL DESCRIPTION THAT CERTAIN PARCEL OF LAND LYING WITHIN GRANT DEED 17932 RECORDED ON 8/24/61 IN BOOK 5827, PAGES 5-6, SAID PARCEL LYING WITH A PORTION OF THE NORTHEAST QUARTER OF SECTION 15, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN IN RANCHO LA BOLSA CHICA AND RANCHO LAS BOLSAS IN THE CITY OF HUNTINGTON BEACH, COUNTY OF ORANGE, STATE OF CALIFORNIA AND SHOWN ON A MAP RECORDED IN BOOK 51, PAGE 13 OF MISCELLANEOUS MAPS IN THE OFFICE OF SAID COUNTY, MORE PARTICULARLY DESCRIBED AS FOLLOWS: A STRIP OF LAND 10.00 FEET WIDE THE CENTERLINE OF WHICH IS DESCRIBED AS FOLLOWS; BEGINNING (POB) AT THE SOUTHEAST CORNER OF THE NORTHEAST QUARTER OF SAID SECTION 15, SAID CORNER BEING THE CENTERLINE INTERSECTION OF GOLDENWEST STREET 60.00 FEET WIDE AND McFADDEN AVENUE(FORMERLY SUGAR AVENUE 40.00 FEET WIDE); THENCE SOUTH 89°34'26" WEST ALONG THE SOUTH LINE OF SAID NORTHEAST QUARTER OF SECTION 15 AND THE CENTERLINE OF SAID McFADDEN AVENUE A DISTANCE OF 230.00 FEET; THENCE NORTH 0°39'35" WEST PARALLEL WITH THE EAST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15, AND SAID CENTERLINE OF GOLDENWEST STREET A DISTANCE OF 30.00 FEET TO THE TRUE POINT OF BEGINNING (TPOB); THENCE SOUTH 89°34'26" WEST A DISTANCE OF 40.00 FEET MORE PARTICULARLY SHOWN ON EXHIBIT"B"ATTACHED HERETO AND BY THIS REFERENCE MADE A PART HEREOF; CONTAINING 400 SQUARE FEET, MORE OR LESS. _---- SUBJECT TO COVENANTS, CODES AND RESTRICTIONS, IF ANY. (. /c kti /Gl/ `L. 2„ ��. .ci` ca;�f DEREK J. McGREGOR, PLS#6496 EXP. 6/30/2023 1:\1OSS\1252_0ry Of H8 On Call Consulting Svcs\1252-712 6900 Bninswkk DAWOBIDf1G\E.h AOoa EXHIBIT "B" -< 33 J I = BRUNSWICK DRIVE m --� 1 (1 0') z m 0 I0 MELBOURNE DRIVE o Irn Iz rn w Cl)-1 33 m I -I \ • ' 1 CY 01 10', \,�f ilk I SE CORNER � ° s (TPOB) (50), (50) NE QUARTER _ .J _ SECTION 15/ r =-- 2 N (POB) MCFADDEN AVE E v - I 1I c (FORMERLY SUGAR AVENUE) I 1 A SE CORNER OF GRANT DEED 17932 RECORDED 8/24/61 IN BOOK 5827 PAGES 5-6 IMI 0 ON D S�9� LINE DATA: ���SQ,��• Mc�RF�Lo_ 150 75 0 150 Cs,'\ 16 § 389' 34' 26"W 230.00' ' o� N0.6496 0� D NOD' 39' 35"W 30.00' * Expg/34/23 * SCALE IN FEET n S89' 34' 26"W 40.00' ,„ ��Q 1 inch = 150 ft. •9)' Q. - tF cA.ftO 11/21/2022 3 _ 11/09/2022 3 DMC ENGINEERING DATE: 11.21.22 EXHIBIT "B" CIVIL■SURVEYING■PLANNING■CONSTRUCTION DRAFTED: DJG 6900 BRUNSWICK DRIVE Tel:(949)753-9393 LI HUNTINGTON BEACH, CALIFORNIACHECKED: DJM G 18 Technology Drive,Suite 100,Irvine,California 92618 8 AL E-Mail:dmc@dmceng.com 1 www.dmceng.com SHEET: 1 OF 1 •� 0/�\ T I N G TO City of Huntington Beach 2000 Main Street ♦ Huntington Beach, CA 92648 Q/1� (714) 536-5227 • www.huntingtonbeachca.gov 41� %A (��P�'11 Office of the City Clerk �� Robin Estanislau, City Clerk February 22, 2023 Southern California Gas Company 8101 Rosemead Blvd., ML SC722K Pico Rivera, CA 90660-5100 Attn: Land & Right of Way To Whom It May Concern: Enclosed is a fully executed, recorded copy of the Grant of Easement to Southern California Gas Company for new gas utility line extension at 6900 Brunswick Drive, approved by City Council on February 7, 2023. Sincerely, edhlililaitu) Robin Estanislau, CMC City Clerk RE:ds Enclosure Sister City: Anjo, Japan ORDINANCE NO. 3880 AN ORDINANCE GRANTING TO SOUTHERN CALIFORNIA GAS COMPANY,ITS SUCCESSORS AND ASSIGNS, THE FRANCHISE TO CONSTRUCT, MAINTAIN AND USE PIPES AND APPURTENANCES FOR TRANSMITTING AND DISTRIBUTING GAS FOR ANY AND ALL PURPOSES IN,ALONG, ACROSS, UPON,AND UNDER THE PUBLIC STREETS AND PLACES WITHIN THE CITY OF HUNTINGTON BEACH. The City Council of the City of Huntington Beach does hereby ordain as follows: SECTION 1. The City of Huntington Beach hereby grants a gas pipeline franchise to Southern California Gas Company. SECTION 2. The franchise is granted in accordance with the terms and conditions set forth in the attached Pipeline Agreement between the City of Huntington Beach and Southern California Gas Company to construct,maintain and use pipes and appurtenances for transmitting and distributing gas for any and all purposes in, along, across,upon, and under the public streets and places within the City of Huntington Beach which agreement is incorporated herein by this reference. SECTION 3. Charter Sections 550(a)and 615 requires that a franchise shall be granted by ordinance. SECTION 4. This ordinance shall become effective 30 days after this adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 17tr day of May , 2010. '16 May ATTEST: INITIATED AND APPROVED: 4111Li ) C7c,,„," c-X 4. ..=___ 1 City Clerk Director of ublic Works REVI ,4/' '► 1 D APPROVED: APPROVED AS TO FORM: Ili A (-4-‘ "-)c)°Pc it Administrator City Attorney 363 Ordinance No. 3880 AN AGREEMENT GRANTING TO SOUTHERN CALIFORNIA GAS COMPANY, ITS SUCCESSORS AND ASSIGNS, THE FRANCHISE TO CONSTRUCT,MAINTAIN AND USE PIPES AND APPURTENANCES FOR TRANSMITTING AND DISTRIBUTING GAS FOR ANY AND ALL PURPOSES IN,ALONG,ACROSS,UPON,AND UNDER THE PUBLIC STREETS AND PLACES WITHIN THE CITY OF HUNTINGTON BEACH This Franchise Agreement (Agreement) adopted by ordinance of the City of Huntington Beach is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California hereinafter referred to as `City" and Southern California Gas Company,a ,hereinafter"Grantee ' SECTION 1 DEFINITIONS Whenever in this Agreement the words or phrases hereinafter in this section defined are used, they shall have the respective meaning assigned to them m the following definitions (unless, in the given instance the context wherein they are used shall clearly import a different meaning) (a) The word "Grantee" shall mean Southern California Gas Company, and its lawful successors or assigns, (b) The word "City" shall mean the City of Huntington Beach, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated,enlarged or reincorporated form, (c) The word "streets" shall mean the public streets, ways alleys and places as the same now or may hereafter exist within the City, including state highways, now or hereafter established within the City, and freeways hereafter established within the City, (d) The word franchise shall mean and include any authorization granted hereunder in terms of a franchise,privilege,permit license or otherwise to construct,maintain and use pipes and appurtenances for the business of transmitting and distributing gas for all purposes under, along, across or upon the public streets,ways alleys and places in the City, and shall include and be in lieu of any existing or future City requirement to obtain a license or permit for the pnvilege of transacting and carrying on a business within the City Any proposed telecommunication facilities not related with gas utility services or other non-gas system uses must be approved by the City under a separate franchise or other applicable permit (e) The phrase "pipes and appurtenances" shall mean pipes, pipelines, mains, services, traps, vents, cables conduits, vaults manholes, meters, appliances, associated communications infrastructure, attachments, appurtenances, and any other property located or to be located in,upon,along, across, or under the streets of the City,and used or useful in the transmitting and/or distributing of gas, (f) The word "gas" shall mean natural or manufactured gas, or a mixture of natural and manufactured gas, (g) The phrase "construct, maintain, and use" shall mean to construct, erect, Page 1 of 7 09 2035 003/46006 364 Ordinance No. 3880 install lay,operate,maintain,use,repair,or replace and (h) The phrase "gross annual receipts" shall mean gross operating receipts received by Grantee from the sale of gas to Grantee's customers less uncollectible amounts and less any refunds or rebates made by Grantee to such customers pursuant to California Public Utilities Commission("CPUC")orders or decisions SECTION 2 PURPOSE AND TERM (a) That the right, privilege and franchise, subject to each and all of the terms and conditions contained in this Agreement, and pursuant to the provisions of Division 3, Chapter 2 of the Public Utilities Code of the State of California, known as the Franchise Act of 1937, be and the same is hereby granted to Grantee to construct, maintain and use pipes and appurtenances for transmitting and distributing gas for any and all purposes,under, along,across or upon the streets of the City for a twenty-five(25)year term from and after the effective date hereof(January 1,2010) (b) Early Termination In the event the CPUC has not approved Grantee's application for imposition of a surcharge for payment of the franchise fee m the manner provided for in Section 3(a)(2)within eighteen(18) months of the effective date of this Agreement, or if the CPUC has denied Grantee's application as filed, then at the request of either party,the parties shall meet and confer to determine the proper compensation for the remaining term of this franchise If no agreement on compensation is reached by the parties prior to a date that is twenty-one (21) months after the effective date of this franchise Agreement, then this Agreement and the franchise granted herein shall terminate and be of no further force and effect (c) City shall have the right to terminate this franchise by ordinance, at any time should any of the following events occur (i) the Grantee fails to comply with any material provision hereof or(ii)the City purchases(through its power of eminent domain or otherwise) all of the franchise property of Grantee The Grantee shall be given ninety(90) days written notice prior to the beginning of any termination proceeding SECTION 3 CONSIDERATION (a) The Grantee shall pay to the City at the times hereinafter specified in lawful money of the United States, a total annual franchise fee commencing as of January 1 2010,that is equal to the sum of three (3) plus either one (1) or two (2) below (whichever is then in effect) as follows 1 The higher of (i) Two percent (2%) of the gross annual receipts of the Grantee derived from the use operation or possession of this franchise or (u) One percent (1%) of the gross annual receipts of the Grantee derived from the sale, transmission or distribution of gas, withm the limits of the City under this franchise 2 Grantee shall apply to the CPUC with the City's concurrence for authority to implement a franchise fee surcharge to be charged solely on the Crty's ratepayers to recover an additional one percent(1%)of gross annual receipts for a total payment to the City based on two percent (2%) of gross annual receipts from the sale, transmission, or distribution of gas Page 2 of 7 09 2035 003/46006 365 Ordinance No. 3880 within the limits of the City as described in Section 1(n) above After receipt of CPUC approval acceptable to Grantee, Grantee shall calculate and pay the City as of the first day of the quarter immediately following receipt of such approval,the higher of the following two formulas instead of the payment pursuant to Section 1 above (i) Two percent (2%) of the gross annual receipts of the Grantee derived from the use,operation or possession of its franchise,or (u) Two percent (2%) of the gross annual receipts of the Grantee derived from the sale, transmission, or distribution of gas, within the limits of the City under this franchise 3 In addition to either Section 1 or Section 2 above (whichever is then in effect), Grantee shall also pay Grantor an In Lieu Fee which is that certam fee described in the "Municipal Lands Use Surcharge Act," Chapter 2 5 of Division 3 of the Calhforma Public Utilities Code (b) The franchise fee shall be paid in four installments The first three installments shall be based on the total gross receipts of the preceding calendar quarter employing the formula of subsection a 1 (ii) or a 2 (in) above (whichever is then in effect), plus the amount of the In-Lieu Fee of Section a 3 for the preceding calendar quarter The final installment shall be a true up mstallment using the applicable formula from either subsection a 1 or a 2 above (whichever is then m effect)plus the In-Lieu Fee under Section a 3 above plus any adjustment, if applicable, as provided m Section (c) for the total franchise fee Each installment shall be paid to the City on or prior to the twenty-fifth (25th) day of the second month following the respective quarter for which payment is made, except for the final quarterly true up payment for the year, which shall be paid on or prior to March 31st For example, the installment for the first quarter of the year (January through March)shall be paid to the City no later than May 25th (c) Any overpayment shall be recovered by Grantee by setoff against future installments, or,if the franchise has been terminated such overpayment, or the balance thereof,shall be payable by City to Grantee upon submission of a written claim, under penalty of perjury, to the City Clerk within two years of the overpayment Such claim must clearly establish clavmant's right to the refund by written records showing entitlement thereto (d) The Grantee shall file with the City Clerk within three (3) months after the expiration of the calendar year, or fractional calendar year, following the date of the granting hereof, and within three(3)months after the expiration of each and every calendar year thereafter, a duly verified statement showing in detail the total gross annual receipts and Surcharge Payment of such Grantee during the preceding calendar year or such fractional calendar year, from the sale of gas within the City (e) In the event the legislature amends Division 3, Chapter 2, of the Public Utilities Code during the term of this Franchise whereby the City is allowed by change in the Actio increase the amount that may be charged to the Grantee,then the City may implement the allowed increased payment together with all .other associated changes to the Act by amending this Agreement by ordinance and consistent with the City's Charter The changes, including the payment of the increased fee amount, shall be applicable as of the first day of the month following the effective date of such amendment Page 3 of 7 09 2035 003/46006 366 Ordinance No. 3880 SECTION 4 OTHER FRANCHISES This grant is made in lieu of all other gas utility franchises owned by the Grantee, or by any successor of the Grantee to any rights under this franchise, for transmitting and distributing gas within the limits of the City,as said limits now or may hereafter exist, and the acceptance of the franchise hereby granted shall operate as an abandonment of all such gas utility franchises within the limits of this City, as such limits now or may hereafter exist, in lieu of which this franchise is granted This Grant after its effective date also supersedes the Revocable License executed by the parties in December 2009 SECTION 5 OBLIGATIONS OF GRANTEE (a) All facilities or equipment of Grantee shall be constructed, installed and maintained in accordance with and in conformity with all of the ordinances, rules and regulations heretofore, or hereafter adopted by the legislative body of this City in the exercise of its police powers and not in conflict with the paramount authority of the State of Cahforma, and as to state highways, subject to the provisions of the general laws relating to the location and maintenance of such facilities (b) If any portion of any street shall be damaged by reason of defects in any of the pipes and appurtenances maintained or constructed under this grant, or by reason of any other cause ansing from the operation or existence of any pipes and appurtenances constructed or maintained under this grant, Grantee shall at its own cost and expense,immediately repair any such damage and restore such portion of such damaged street to as good condition as existed before such defect or other cause of damage occurred (c) The Grantee shall pay to the City, on demand,the cost of all repairs to public property made necessary by any operations of the Grantee under this franchise (d) Except for such losses or damages caused by the sole negligence or willful misconduct of City and any officers and employees, grantee shall indemnify, save, and hold harmless, City and any officers and employees thereof against and from all damages,judgments, decrees costs and expenditures which City, or such officer or employee may suffer, or which may be recovered from or obtainable against City or such officer or employee, for or by reason of, or growing out of or resulting from the exercising by Grantee of any or all of the rights or privileges granted hereby, or by reason of any act or acts of Grantee or its servants or agents in exercising the franchise granted hereby, and Grantee shall defend any suit that may be instituted against City, or any officer or employee thereof, by reason of or growing out of or resulting from the exercise by Grantee of any or all of the rights or privileges granted hereby, or by reason of any act or acts of Grantee, or its servants or agents,in exercising the franchise granted hereby SECTION 6 REMOVE OR RELOCATE FACILITIES (a) City shall have the right for itself to lay,construct erect,install,use, operate, repair replace, remove relocate or maintain below surface or above surface improvements of any type or description in,upon,along, across,under or over the streets of the City Page 4 of 7 09 2035 003/46006 367 Ordinance No. 3880 Further City shall have the nght to change the grade, width or location of any street or improve any street in any manner, including but not limited to the laying of any sewer storm drain, drainage facility, or construct and install any pedestrian tunnel, traffic signal, street lighting facility or other public improvement, provided, however, that nothing herein is intended to expand or limit the duty of Grantee to relocate at its expense under CPUC Section 6297 or common law If such work shall require a change in the position or location of any Grantee's facilities or equipment, Grantee, at its sole expense, within ninety (90) days after written notice from the Public Works Director, shall commence the work of doing any and all things to effect such change in position or location in conformity with the Public Works Director's written instructions Grantee shall proceed promptly to complete such required work (b) Irrespective of any other provision of this Agreement, Grantee's right to construct maintain, and use, or remove pipes and appurtenances thereto shall be subject at all times to the right of the City, in the exercise of its police power to require the removal or relocation of said pipes and appurtenances thereto at the sole cost and expense of Grantee, except (1) as the law may otherwise provide or, (2) except where Grantee s right to possession is pursuant to instruments evidencing right-of-way, easements or other interest in real property, or (3) except where the removal or relocation is made at the request of the City on behalf of or for the benefit of any private developer,CalTrans or other third party (c) In the event that the City is made aware of a project developed by a governmental agency, water company private party or the City that would be located within five hundred feet of a regulator station or other major gas facilities City shall notify Grantee and initiate discussions among the implicated parties m order to assess potential economic and community impacts and facilitate coordinated and economically reasonable outcomes (d) In the event the use of any franchise property is discontinued, Grantee shall promptly notify the Public Works Director of any material discontinuance and remove from the street all such discontinued property, unless the Public Works Director permits such property to be abandoned in place m accordance with the requirements of the Public Works Director (subject to applicable requirements of the CPUC) After abandonment, at the option of City, Grantee shall submit to the Public Works Director, an instrument, reasonably approved by the City and Grantee, transferring to the City the ownership of such franchise property SECTION 7 TRANSFER OR SALE OF FRANCHISE Grantee of the franchise granted hereby shall file with the City Administrator and the City Council within thirty(30) days after any sale,transfer, assignment or lease of this franchise or any part thereof, or of any of the rights or privileges granted thereby, written evidence of the same certified thereto by the Grantee or its duly authorized officers This franchise may not be transferred (voluntarily, mvoluntanly, or by operation of law), leased, or assigned by Grantee except by consent in writing of the City Council which shall not be unreasonably withheld or unreasonably conditioned and unless the transferee or assignees thereof shall covenant and agree to perform and be bound by each and all of the terms hereof, provided, however that the foregoing shall not apply to any sale transfer assignment or lease of this franchise, or any part thereof, or of any of the rights or privileges granted thereby, that has been authonzed by the CPUC or Grantee's inclusion of the franchise as security under a mortgage, deed of trust or other security Agreement securing the repayment of bonds or notes Grantee shall file with the City Clerk and City Page 5 of 7 09 2035 003/46006 368 Ordinance No. 3880 Administrator of the City within thirty(30) days after any sale,transfer, assignment,or lease of this franchise, or any part hereof, or any of the rights or privileges granted hereby, written evidence of the same certified thereto by the Grantee or its duly authorized officers SECTION 8 FORFEITURE This franchise is granted upon each and every condition herein contained Nothing shall pass by the franchise granted hereby to Grantee unless it be granted in plain and unambiguous terms Each of said conditions is a material and essential condition to the granting of the franchise If Grantee shall fail, neglect or refuse to comply with any of the conditions of the franchise granted hereby, and if such failure, neglect or refusal shall continue for more than thirty (30) days after written demand by the City Admimstrator for compliance therewith, then City, solely by act of the City Council, in addition to all rights and remedies allowed by law, thereupon may terminate the nghts pnvilege, and franchise granted in and by this Agreement, and all the rights, privileges and the franchise of Grantee granted hereby shall thereupon be at an end Thereupon and immediately Grantee shall surrender all rights and privileges in and to the franchise granted hereby No provision herein made for the purpose of securing the enforcement of the terms and conditions of the franchise granted hereby shall be deemed an exclusive remedy or to afford the exclusive procedure for the enforcement of said terms and conditions but the remedies and procedure outlined herein or provided,including forfeiture shall be deemed to be cumulative SECTION 9 ACQUISITION AND VALUATION The franchise granted hereunder shall not in any way or to any extent impair or affect the right of the City to acquire the property of the Grantee hereof either by purchase of through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge, either for a term or in perpetuity, the City's right of eminent domain in respect to the Grantee, nor shall this franchise ever be given any value before any court or other public authority in any proceeding of any character in excess of the cost to the Grantee of the necessary publication and any other sum paid by it to the City therefor at the time of the acquisition thereof SECTION 10 PUBLICATION COSTS The Grantee shall pay to the City a sum of money sufficient to reimburse it for all publication expenses incurred by it in connection with the granting thereof; such payment to be made within thirty (30) days after the City shall have furnished such Grantee with a wntten statement.of such expenses SECTION 11 EFFECTIVE DATE The franchise granted hereby shall not become effective until the effective date of the Ordinance adopting this Agreement and written acceptance thereof shall have been filed by the Grantee with the City Clerk When so filed, such acceptance shall constitute a continumg Agreement of the Grantee that if and when the City shall thereafter annex or consolidate with additional territory, any and all franchise rights and privileges owned by the Grantee therein shall likewise be deemed to be abandoned within the limits of the additional temtory Page 6 of 7 09 2035 003/46006 369 Ordinance No. 3880 SECTION 12 WRITTEN ACCEPTANCE After the publication of the Ordinance adopting this Agreement the Grantee shall file with the City Clerk a written acceptance of the franchise hereby granted, and agree to comply with the terms and conditions hereof SECTION 13 PUBLICATION The City Clerk shall certify to the adoption of this Agreement, and within fifteen (15) days after its adoption, shall cause the same (with a list of the councilmembers voting for and a•arnst) to be published in the Huntington Beach Independent, a newspaper of general circulation published and circulated in the City SECTION 14 AUDIT OF RECORDS The City Treasurer,or any certified public accountant, or qualified person designated by the City, at any reasonable time during business hours may make an examination at the Grantee's office of its books, accounts and records, germane to and for the purpose of verifying the data set forth in the statement required by Section 3(b) IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed by and through their authorized officers on M d-3 20/Q SOUTHERN CALIFORNIA GAS COMPANY CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California By 4:4, f alli,q---go:t �1c print�un,4 M or ITS (circle one)Chauman/PresidentNice President e AND ity Cler By INIT TED AND APPROVED print name ITS (circle one Secretary/Chief Financial Officer Director of Pub c Works Secretary,jI reasw REVIE APPROVED CI Administrator APPROVED TO FORM g.4e...... 6 0 Ci Attorney fz" to q v Page 7 of 7 09 2035 003/46006 370 Ord. No. 3880 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 May 3,2010,and was again read to said City Council at a regular meeting thereof held on May 17,2010, and was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council. AYES: Coerper, Hardy, Green, Bohr NOES: Carchio, Dwyer, Hansen 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 May 27,2010. In accordance with the City Charter of said City tf"- TM Joan L. Fl nn CityClerk el' Clerk and ex-officio lerk kot/titi 1r - Senior Deputy City Clerk of the City Council of the City of Huntington Beach, California 371 1'' v(e&A.t BOOK 5827 PACE 5 a , lU 1 .�..� • • RECORDING REQUEST D BY 17932 RECDED CO OF MPInn Riew QUEST OF MW -j , r WHEN RECORDED MAIL TO IN OFFICIAL RECORuS �%t-- i � C'n L / ORANGE COUNTY, CALIF, a`v Jw �C�h,/ w .-, 9:05 AM AUG 24 1961 �K�-�C� FREE /+Cv 1 RUBY McFARLAND,County Recorder SPACE ABOVE THIS LINE FOR RECORDER'S USE 1 fJ` AFFIX I.R.S.$ IV THIS SPACE Grant Deed THIS FORM FURNISHED BY TITLE INSURANCE AND TRUST COMPANY FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, ESSEX COMPANY, a co-partnership hereby GRANT(S) to CITY OF HUNTINGTON BEACH, a Municipal Corporation the following described real property in the county of Orange ,state of California: for municipal purposes including, but not limited to, park, recreational, water, Police and Fire facilities: t t C . A ,. ., Dated:. ESSEX COMPANY, a co-partnership. Q.'STATE OF CALIFORNIA By: Voysan Corporation _ .= "- c -'` COUNTY OF Orange } SS. � ' ��� " '< On thil� ZSt day of_�t1A'iA>,t, ,19. before meBy: ___ a maderaigue .-..�.,a Notary Public in and for said songs S2X1 , Presicteilt,� ' B (! y, e county and state personally appeared---. Orge_ ►Sant__ yl �/ a Secretary sib known to me to be the-_-._--_--_-_President,and_�._)�- Viney ' _ 71 known to me to be the_ oSecretary of-.- - cQRQA II -Z the cordon that efecu the within instrument and known to me to be the pwho executed-thFAwitbin instrument on behalf of said co ration, • salti cokeystioii-being•knowp:o me to be one of the partners of'?aaex • -0014 _aN ,the.stnership that executed the within instrument, and aoknowl ed°to-mc1 at sash corporation executed the same as such C parn2eisitiljbatliich etship executed e. . 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RECORDING REQUESTED BY 17932 RE 'TY SF IitID RAATo BEAM T OF WHEN RECORDED MAIL TO IN OFFICIAL HECORi.•S , ORANGE L CON 1Y. u !4/4-eQ_ FREE S:05 AM AUG 24 1961 a -;1 RUBY McFARLAND,County Recorder SPACE ABOVE THIS LINE FOR RECORDER'S USE • AFFIX I.R.S.5.............__.n Tttls SPACE Grant Deed THIS FORM FURNISHED SY TITLE INSURANCE AND TRUST COMPANY FOR A VALUABLE CONSIDERATION. receipt of which is hereby acknowledged, ESSEX COMPANY, a co-partnership hereby GRAND to CITY Off' HTJ TINGTON BEACH, a Municipal Corporation the following described real prdperty in the 1 n of Orange .state ofCalifornia: for municipal purposes including, but not limited to, park, redreational, water, Police and Fire facilities: • Being a portion of the Northeast quarter of Section 15, • Township 5 South, Range 11 West, San Bernardino Base and . Meridian in Rancho La Bolsa Chica and Rancho Las Boisas in the city of Huntington Beach, county of Orange, state of California as said section is shown on a map recorded in book 51 page 13 of Miscellaneous Maps in the office of -,I the County Recorder described as follows: Beginning at the southeast corner of the Northeast quarter of Section 15, said corner being the centerline intersection of Golden West Street o0.00 feet wide and Sugar Aar;eue 4,1,00 US feet wide; thence, South qce, 34' 26" West along the south line of the Northeast quarter of Section 15 a di:ita ce of 230,00 feet to the true point of begin-ring; thence. continuing along said coarse South 690 34' :6" eet a distance of /01,1- feet; therc ._ Aorta OC 3`'' est parallel with thc. I'HCt line k-,t7 till' Northeast 'o•,rter of Section 15, ace thl :aid r'ntr- line of (.;ol,ilr: rrr.. r'••et a distance of 316.54 feet; thence, North 89' ",,4' .16" East parallel ,Oth the •!so.h 'ice ;t' the Norihe.._r •,':,rter of Section 15 a distance of 101,85 fret; ther.co, Sl4t.h ^c 39' 7,5" East parallel with the east line f t'ie Northeast quarter. of Section 15 and said cartecline .If Gciden West Street a distance of 315,04 fees, t•3 a paint in the south line of the Northeast quarter o) °ection 13, . id sotnt being the true point o h,'gineing, The ahltae parcel contains 0:74t0 o; . e:deet. -,i(rach 1 c. rl: 375