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HomeMy WebLinkAbout1467r• ORDINANCE NO. /1/4)7 47 AN ORDINANCE granting to Natural Gas Transmission Co., a Washington corporation, its successors and assigns, a non - exclusive franchise and right to construct, operate and maintain a natural and /or artificial gas distribu- tion system in the City of Port Angeles, Washington. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT ANGELES, as follows: Section 1. Grant of Franchise: Natural Gas Transmission Co. (hereafter called the "Grantee "), a Washington corporation, its successors and assigns, is hereby granted the right, privilege and franchise to construct, maintain and operate in, through and along the present and future % streets, alleys, parkings, public and other places in the City of Port Angeles, Washington, (hereafter called the "City "), trans- mission mains, pipes, reducing and regulating stations, boxes, laterals, conduits and connections, including service connections, together with all the necessary appurtenances for the purpose of supplying gas for heat, power, light and other purposes thereof, for the full term of this franchise, subject, however, to the limitations herein set forth and provided. Provided further that this grant is a non - exclusive grant. Section 2. Duration: The rights, privileges and franchise hereby granted to and „ conferred upon the Grantee shall, unless this franchise be sooner terminated, extend for the full term of twenty -five (25) years from the date of acceptance hereof by the Grantee. Provided, however, that if the Grantee shall fail to commence construction' of its system within one (1) year from the date of acceptance hereof by the Grantee, as provided in Section 16 hereof, then the City may, upon giving of thirty (30) days written notice to Grantee, repeal this ordinance -- the provisions of Section 12 hereof do not apply in such event. Section 3. Assignability: This ordinance and the written acceptance thereof by the Grantee shall constitute the contract between the City and the Grantee. The same shall be binding and inure to the benefit of the Grantee, its successors and assigns, under the conditions herein imposed, but this privilege and the rights granted under this ordinance cannot be transferred by the Grantee either by assignment, sale, merger, consolidation, operation of law or other- wise without the written consent of the City first having been ob- tained. Such consent shall be granted only by an ordinance. The Grantee may, without securing approval of the City, assign all rights and privileges granted by this ordinance under any presently outstanding or future mortgage or mortgages given to secure bonds or other bona fide indebtedness of the Grantee. Section 4. Installation -- standards; Regulations: All of the Grantee's gas property and facilities shall be constructed and maintained in good order and condition at all times, and in accordance with standard engineering practices and all lawful governmental regulations. The City shall have the authority at all times to control and further by appropriate regu- lations the safety, convenience and welfare of the public and the location, elevation and manner of construction and maintenance of 1 a the Grantee's gas property and facilities on the City streets and public places. Grantee agrees to promptly conform with all such regula- tions, providing such regulations by the City shall be in conform- ance with standard engineering practices, reasonable from the standpoint of the City's and the Grantee's operations and facili- ties, and that this authority be subject to the provisions of any applicable State laws. Section•5. Protection of Other Utilities and Public Improvements: All pipelines of the Grantee shall be laid in a manner that will not interfere with any present public or private irrigation or drain ditches, drains, sewers, water mains, conduits, sidewalks, paving or'other public improvements. All required repairs thereto or replacements thereof shall be accomplished as provided in Sec - tion 6 hereof. The City reserves the right to construct, change or repair any public improvements, and to change the grades of any streets, alleys, or sidewalks. The Grantee shall first be given written notice of such intention to change any street or sidewalk where any part, or parts, of the Grantee's distribution system may be involved. If any changes or repairs are required, Grantee shall, at its own expense, lower, change or alter those pipelines or appurtenances involved accordingly and in accordance with stand- ard engineering practices and any regulations pertaining thereto. Grantee shall not interfere with the conduits, water lines, drains, sewers, sidewalks, paving or other public improvements or public utilities or City operated utilities therein. If practi- cable, no pipeline shall be laid closer than two feet (2') to any water mains or other pipe or conduit of other utilities. Section 6. Restoration of Streets, etc.: All earth, materials, sidewalks, paving, crossings or im- provements of any kind that are disturbed, injured or removed by the Grantee shall be fully repaired or replaced properly and promptly by the Grantee, and the Grantee shall protect and save ' harmless the City for any loss or damage thereon. The Grantee { shall further be required to conform to any ordinance of the City with reference to cutting any streets or sidewalks and the re- placement thereof. Whenever deemed necessary, the proper municipal authorities of the. City shall have the right to appoint its engineer or a competent and experienced person to superintend and supervise the repairing or replacing of that portion of the public properties disturbed in the construction, laying, operating and maintaining of the Grantee's gas system, and the expense thereof shall be borne by the Grantee. Should the Grantee fail or refuse to restore and replace the public property to its approximate original condi- tion within a reasonable period of time after completion of Gran- tee's construction, laying, removal, operating and maintaining work, then the same may be restored by the City at the expense of the Grantee, which shall reimburse the City within ten (10) days after demand. Section 7. installation of Service Devices, etc.: The Grantee shall at all times during the term of this franchise install and maintain at its own expense such service • devices, street services, regulating and measuring devices (ex- clusive of meters), as may be necessary for supplying service to the consumers, such requirement extending only to the property line along the line of the main where the main is in the Street and to the abutting property line where the main is in the alley. All reasonable extensions for supplying service to the con- sumers who are inhabitants of the City shall be made, supplied and furnished by the Grantee under such reasonable rules and regulations as may be prescribed by the body or authority having jurisdiction thereover, in accordance with the provisions herein contained. Section 8. Rates and Service: The gas to be supplied shall be merchantable gas. Said gas shall be supplied to the consumers' meters at such reasonable pressure as may be prescribed by the Public Service Commission. The rates, rules and regulations in respect to the condition, character, quality and standards of services to be furnished by the Grantee, and all such matters shall be that which is lawfully prescribed by the Public Service Commission of the State of Wash- ington. Section 9. Maps and Records: The Grantee shall at all times keep maps and records show- ing the locations and sizes of all gas mains laid or owned by it in the City, and such maps and records shall be available to the officials of the City at all reasonable times. Two copies of an up-to -date map of the location of mains, lines and service connec- tions shall be furnished to the City Engineer. Section 10. Rules and Regulations of Grantee: The Gran- tee, its successors and assigns, may make such reasonable rules and regulations for the protection of its property, the service to its customers and charges for said service, the prevention of loss and waste, safety measures, the conduct and operation of its busi- ness in respect to the sale or distribution of gas as may be ad- visable or necessary from time to time, all in accordance and conformity herewith and with existing laws and regulations. Section 11. Fees: In consideration of the grant of this franchise, the Gran- tee agrees to pay to the City each year a percentaye of its gross income from sales, as shall be required by the City by separate ordinance. Such ordinance shall prescribe the percentage of gross income to be paid, upon what sales the same shall be based and shall provide the time, method and manner of payment. Such ordi- nance shall be adopted concurrently with the commencement of the construction by the Grantee of its system, and the same shall be subject to change by the City at such times as the said City shall determine that the economy of the community is such that said franchise payment, and the amounts thereof, should be in- creased or decreased. Any such changes shall be accomplished, how- ever, only after a discussion and consideration of the entire matter by the City and the Grantee. Grantee further agrees to pay all license fees and taxes which it may be required to pay under any ordinance now in effect or which the City may hereafter pass levying a business and occupation or public utility tax on persons engaged in the business carried on by the Grantee. • Section 12. FORFEITURE: In case of failure on the part of the Grantee, its success- ors or assigns, to comply with any of the provisions of this ordi- nance, or if the Grantee, its successors or assigns, do or cause to be done any act or thing in violation of or prohibited by this ordinance, the Grantee, its successors or assigns, shall forfeit all rights and privileges granted by this ordinance, and all rights hereunder shall cease. Provided, such forfeiture shall not occur nor take effect until the City shall carry out the following proceedings: Before the City may proceed to forfeit this franchise, it shall serve upon the Grantee, its successors or assigns, by registered mail, a written notice setting forth clearly and in de- tail the failure or violation complained of. The Grantee, its successors or assigns, shall have ninety (90) days thereafter in which to comply with the conditions of this franchise. Should the failure or violation continue beyond the said ninety (90) days, the City Council of the City, at its sole discretion, shall have the right to forthwith determine that this franchise is forfeited. Said determination shall be made, however, only upon proof that is established to the satisfaction of the City Council to be considered competent evidence in any court of record showing a breach of franchise and that the rights of the City and /or its inhabitants have been materially and substantially effected there- by. Provided, however, such failure, default or violation shall not constitute grounds for forfeiture of this franchise if due materially, substantially and reasonably to the acts of God, fire, flood, storm or other element or casualty, theft, war, dis- aster, strike, lockout, boycott, prevailing war or war induced conditions, war preparation or bona fide legal proceedings beyond the control of the Grantee, its successors or assigns. Section 13. Remedies: The City reserves and has the right to pursue any remedy to compel or enforce the Grantee,, its successors or assigns, to comply with the terms hereof, and furnish the service.hecein,' called for. The pursuance of any right or remedy by the City shall not prevent the City from thereafter declaring a forfeiture for any reason herein stated, nor shall the delay of the City in declaring a forfeiture stop it from thereafter doing so, unless 1 the action of the City shall have prevented, caused or contri- buted materially to the failure of the Grantee to perform to do the act or things complained of. Section 14. Indemnity - Insurance: The Grantee, by its acceptance of this ordinance, for it- self, its successors or assigns, covenants and agrees to and with the City of Port Angeles at all times to protect and save harm- less the said City from all claims, actions, suits, liability loss, expense or damage of every kind and description which may accrue to or be suffered by person or persons arising out of the ownership, construction or operation of said gas system or by reason of any infringement of any patent or any article or system used in the construction or use of said gas distribution system. Grantee agrees that during the life of its franchise, and /or re- newal hereof, it will maintain in full force and effect with a carrier or carriers satisfactory to the City, the following: A. 'Compensation insurance complying with all the workmen's insurance and safety laws of the State of Washington and amendments thereto. B. Bodily injury liability insurance with limits of not less than $100.,000.00 each person and $500,000.00 each occurrence. C. Property damage liability insurance with limits of not less than $100,000.00 each accident and $500,000.00 aggregate. In each policy of insurance referred to in B and C, the City shall be named as an additional insured, and appropriate certificates of such insurance shall be delivered to the City. Nothing herein contained shall ever be held or construed so as to obligate the City of Port Angeles, Washington, for the responsibility of the Grantee. Section 15. Reservation - Grading, Improvements: The City of Port Angeles shall not be liable for any damage to the pipes or mains of the Grantee, its successors or assigns, done by its agents, employees or contractors in grading or improv- ing streets, alleys, avenues, highways or public places when the Grantee has been given written notice that such grading or im- provement is to be undertaken in accordance with the provisions contained in Section 5 hereof. Section 16. Acceptance: In the event that any sentence, clause, paragraph or sec- tion of this ordinance be held void by any court, it shall not effect the balance hereof, and this ordinance shall become effect- ive upon passage and approval by the City of Port Angeles, Wash- ington, and its acceptance, in writing, by the Natural Gas Trans- mission Co., which must be filed within thirty (30) days after the passage and approval of the City Council. Section 17. Records -- Inspection: Grantee agrees to keep an up -to -date accurate record of the installation, repair and maintenance costs of its gas distribution system. Such record or records shall be maintained to establish the value of the physical properties of the Grantee's gas distri- bution system located within the City and Grantee agrees to furn- ish the City a copy of said record upon request by the City Mana- ger. Grantee also agrees to keep an accurate record of all accounts pertaining to the sale of gas to customers located with- in the City limits. To determine the amounts due under any busi- ness and occupation or public utility tax now in effect or here- after levied, the City shall have the right to inspect such books of account and other records at any time during business hours and may audit them from time to time and may require Grantee to make available all pertinent records for such purpose. Section 18. Office: The Grantee agrees to maintain an office within the City at all times if it sells gas to residential users while operating within the City under this franchise. The general public shall have access to the office during business hours and all bills for service rendered by Grantee may be paid therein. Section 19. Condemnation: In the event that the City should take by condemnation proceedings the Grantee's utility system, the Grantee by its acceptance of this franchise, waives compensation for the value of the unexpired term of the franchise, for the loss of future earn- ing capacity and for the loss of future good -will to be expected from its holding of this franchise. Section 20. Removal of Facilities: Upon expiration of the rights and privileges granted herein, unless renewed or extended, or upon any prior termination of Grantee's rights and privileges hereunder, Grantee shall (unless further time shall be granted by the City Council of the City), within one year thereafter, take and remove from the streets, alleys and other public places its property therein and forthwith replace the streets, alleys and public places disturbed in their former conditions; and if not so done, the City may remove all or any part of the same and replace any street, alley or public place disturbed thereby or by Grantee as may be required, and Grantee shall upon demand pay to the City its reasonable costs incurred therein; or if not so removed within such time, the City may elect to leave all or any part of such mains, pipes, conduits, and service lines in place. In such event, the Grantee shall have not further right to go upon, in or under or excavate upon, in or under any street, alley or public place and take or remove any such property therefrom, and such properties thereafter re- maining shall become and be the property of the City. Section 21. Extensions of Mains: Grantee agrees to con- struct or extend a main along, into or through a block at its sole expense when four (4) consumers living within 250 feet of said main or two (2) consumers living within 200 feet of said main or one (1) consumer living within 100 feet of said main, each of whom shall be served from the said constructed or extended main, agree in writing to take and install Grantee's service in whole or in part. In addition thereto, Grantee agrees to con- struct or extend said main an additional 50 feet for each addi- tional consumer who agrees as hereinabove provided. PASSED by the City Council of Port Angeles, Washington, this v2 day of , 1961. APPROVED by the Mayor of the City of Port Angeles, Washing- ton, this 2 day of , 1961. ti Attest: f � . City "Clerk Appro e• as City Attorn Mayor BLISHED: eb ru et_ ry /96l APPROVED by the Natural Gas Transmission Co., this /S "r/ day of , 196 4 Attes Secretary r 11-19 14