03-28
RESOLUTION NO. 03-28
A RESOLUTION OF THE CITY OF CLEARWATER,
FLORIDA, ACCEPTING THE FRANCHISE, PRIVILEGE
AND CONCESSION OF THE CITY OF BELLEAIR BEACH,
FLORIDA, FOR THE PURPOSE OF FURNISHING GAS
WITHIN THE CITY OF BELLEAIR BEACH AND TO ITS
INHABITANTS; PROVIDING AN EFFECTIVE DATE.
WHEREAS, renewal of a gas system franchise has been approved by the
adopting of Ordinance No. 03.14 of the City of Belleair Beach on September 8, 2003, a
copy of which is attached to this resolution and incorporated herein by reference; and
WHEREAS, the terms and conditions of the gas system franchise are
acceptable; now, therefore,
BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF CLEARWATER, FLORIDA:
Section 1. The terms and conditions of the gas system franchise, privilege and
concession granted by the City of Belleair Beach, Florida, by the adoption of Ordinance
No. 03.14 of the City of Belleair Beach, are hereby accepted, and the City Commission
of the City of Clearwater does hereby agree to comply with the terms and conditions of
the franchise and with all reasonable ordinances adopted by the City Council of the City
of Belleair Beach not inconsistent with the franchise.
Section 2. This resolution shall take effect immediately upon adoption. Upon
adoption of this resolution, the City Clerk shall deliver a certified copy to the City Clerk
of the City of Belleair Beach.
PASSED AND ADOPTED this 18th day of September
,2003.
Br&~
Mayor-Commissioner
Approved as to form:
~
Laura Lipowski
Assistant City Attorney
Attest: - .
D~..
Resolution No. 03- 28
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CLEARWATER GAS SYSTEM
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ORDINANCE 03-14
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
BELLEAIR. BEACH, FLORIDA GRANTING TO THE CITY OF
CLEARWATER, FLORIDA A FRANCmSE FOR THE PURPOSE OF
FURNISHING NATURAL GAS SERVICES WITHIN THE CORPORATE
LIMITS OF THE CITY OF BELLEAIR BEACH; PROVIDING FOR
DEFINITIONS, PROVIDING FOR NON-EXCLUSIVE FRANCHISE;
PROVIDING FOR TERM OF THE FRANCHISE; PROVIDING FOR
SUFFICIENT GAS SUPPLIES; PROVIDING FOR CONSIDERATION;
PROVIDING. FOR INSTALLATION OF GAS LINE SYSTEMS;
PROVIDING FOR SOLICITATION; PROVIDING FOR
INDEMNIFICATION; PROVIDING FOR PRICING GAS SERVICE;
PROVIDING FOR COMPLIANCE WITH GRANTOR'S ORDINANCES;
PROVDING FOR FRANClDSE FEE; PROVIDING FOR RECORDS
MAINTENANCE; PROVIDING FOR FAVORED NATIONS
PROVISION; PROVIDING FOR NON-COMPETE BY GRANTOR;
PROVIDING FOR ASSIGNMENT OF INTEREST; PROVIDING FOR
RESOLUTION BY GRANTEE; PROVIDING FOR SEVERABILITY AND
PROVIDING FOR AN EFPECTIVE DATE.
THE CITY OF BELLEAIR BEACH, FLORIDA, HEREBY ORDAINS as follows:
SeetiOD 1. Definitiou.
1. Whenever in this ordinance the words or phrases hereafter in this section defined are used, .
they shall have the respective meaningS assigned to them in the following definitions, unless
in the given instance, the context wherein they are used sball clearly import a different
meaning:
(a) "Grantee" shall mean the City of Clearwater; a Florida municipal corporation, in its
present incorporated form, or as it may subsequently be reorgani~ expanded by
annexation, consolidated or reincorporated.
(b) "Grantor" shall mean the City of Belleair Beach, a Florida municipal corporation. in
its present incorporated form, or as it may subsequently be reorganized, expanded by
annexation, consolidated or reincorporated.
(c) The word "Street" shall mean the public street, lanes, alleys, courts, bridges
(excluding the area above the deck of said bridges), or other public places in the
Grantor's corporate limits as they now exist, or as they may be established at any time
during the term of this franchise in the City of Belleair Beach, together with rights-of-
way or easements for street or utility pmposes; the rights in said streets being subject
to the ordinances presently controlling right-of-way and easements within the City as
such ordinances now exist or may be amended in the future.
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(d) The word "Gas" shall mean natural gas and/or commingled gas and/or manufactured
gas, which is distributed in pipes. It shall not mean bottle gas or any other fuel.
( e) The word ''facilities or equipment" shall mean. pipe, pipe-line, tube, main, service,
trap, ven~ vau1~ manhole, meter, gauge, regulator, valve condui~ appliance
attacbmen~ appurtenances, and any other personal property located or to be located in,
upon, along, across, under or over the Grantor's streets used or useful in the
distribution of gas.
Section 2. Non-Exclusive Graat of Franchise, providing map8, meeting with Council
2. Th8t the Grantee is hereby granted a non-ex.clusive franchise; privilege, and concession to
furnish gas within Grantor's municipalt limits, together with the right to use Grantors' streets,
avenues, alleys, squares, bridges, viaducts, utility easements, public rights-of-ways and other
easements for the purpose of laying and maintaining pipes and/or such other apparatus
necessary to supply gas or provide back-up gas supply or services, to Grantor's inhabitants,
and to do all things reasonably necessary to supply gas to its customers, not otherwise in
conflict with any of the terms and conditions of this franchise or ordinances or Grantor.
Grantee shall locate all facilities and equipment so that such will not interfere with Grantor's
use of its streets and its utilities, and shall not cause a hazard to the public health, safety,
welfare, and aesthetics of Grantor, or inconvenience any of the property owners contiguous
thereto. The Grantee shall obtain written approval in the fonn of a utility pennit from the
Grantor as to any proposed route, design or location of proposed facilities prior to installation~
Grantee may do things necessary for the purpose of supplying gas within the said City and to
its inhabitants, provided that the same shall not be in conflict with any of the terms and
conditions of this franchise -or reasonable ordinances, policies or directions of Grantor, and
provided that the remains installed and used for the pmpose of supplying said gas shall be laid
in the manner provided in this franchise and in accordance with the utility construction
pennits issued by Grantor.
At the execution of the within franchise, the Grantee sball furnish to the Grantor a cmrent and
accurate map showing in detail the location of each gas facility owned by Grantee, and
thereafter shall keep such map in current condition with information provided not less often .
than amrually to show changes and shall update such map not less frequently than annually to
show changes and shall supply such cmrent map on or before the yearly anniversary of this
:franchise. .
Grantee shall have the opportunity to be hemd by Belleair Beach's City Council at a duly .
convened meeting of the Council prior to any action being taken by Grantor that will inhibit
or adversely affect the Grantee's rights, obligations or perfonnance hereUnder.
Section 3. Term of Frandtise
3. The franchise, rights and privileges hereby gninted shall continue and be in force for the
period of fifteen (15) years retroactive to August 12, 2003. If Grantee desires to renew this
franchise for an addition:fifteen (15) year period, Grantee shall provide to Grantor with a
written notice at least 180 days, but no more than 365 days, prior to the termination of the
initial term of this franchise. If Grantor agrees with the franchise renewal for an additional
. fifteen (15) year period, Grantor shall provide Grantee with a written notice within ninety (90)
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days ofthe receipt of the Grantee's notice. Failure on the part of the Grantor to provide
Grantee with a notice for renewal shall constitute a denial of the Grantee's request and this
franchise shall then expire at the end of the initial term, subject however to a cure period as
set forth in Section 8 oftms franchise.
Section 4. Maintaining Gas Supply and Solicitation of Services.
4. This franchise is granted upon condition that the Grantee agrees to maintain a supply of
sufficient quantities of gas to meet the needs and requirements of its customers in the City.
The quality of gas shall at a minimum meet the standards set for it by the Public Service
Commission. In the event by act of Ood, strike, riot, public enemy or other calamity, or
restriction in the supply of gas beyond the control of Grantee or its interstate supplier or by
reason of the regulation exerted. by Florida Public Service Commission ofthe Federal Energy
Regulatory Commission or other regulatory body having jurisdiction in the premises, the
supply of gas should be interrupted, the Grantee shall, nevertheless, continue to supply the
available gas to such customers as it is possible, and shall employ its full services to remedy
such deficiency of gas supply, and shall resume complete gas service when that is possible.
In consideration of the rights granted under this franchise and the duration of this franchise,
the Grantee agrees that its facilities within the City of Belleair Beach will be expanded to
provide service to new customers on the terms aDd conditions hereinafter set forth. The
. Grantee's failure to expand its facilities and servicesto its cuStomers within the City of
Belleair Beach shall be deemed to be a material breach of this Agreement. Such expansion
shall occur on the following terms and conditions, to wit:
(a). Gas service shall be extended to customers desiring said service based on a feasibility
formula. Such formula shall be the fo.,nula currently in effect system-wide as then
administered by the Grantee, and as applicable to the citiZens of Clearwater and other
franchise areas.
(b) .The Grantee shall implement and shall continue all aspects of its marketing and sales
programs to promote the use of natura1 gas and expand the customer base within the
Belleair Beach service area. . Such marketing and sales plan shall include at least the
following elements:
(1) Periodic direct mail and door-to-door informational solicitation,
(2) The offering offree water heaters or other incentives along existing gas lines to
increase new hook-ups,
(3) Solicitation of potential customers through the use of direct mail, door hangers
and other information reflecting energy saving opportunities,
(4) The utilization of messages and inserts in utility bills, increased advertising in
local newspapers and on cable television outlets.
The expansion of the use of natural gas within the Belleair Beach service area in accordance
with the above standards shall be deemed to be a material element of this franchise.
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Section S. InstaUation of EquiplBeut.
5. The Grantee shall install the necessary facilities or equipment at its own cost and expense and
the same shall be and remain the property of the Grantee. All mains and pipelines shall be
laid underground. Grantee shall restore, replace or relay, as promptly as possible, all streets,
lanes, alleys,. sidewalks, rights-of way, easements and other public places to their former and
safe condition and with the same quantity and quality of material, or its equivalent, as was
existing prior to the commencement of such work. In all cases, the repair work shall be made
passable to traffic during conduct of such work as soon as is physically possible. Any traffic
disruption shall be coordinated with the police deparbnent of Grantor. Grantee shall obtain a
permit from Grantor, without charge, priotto the construction or installation of any facilities
or equipmen~ and supply Grantor with updated as-built atlas sheets, 8l1d drawing of all such
facilities or equipment. Grantor shall issue such permit within forty-eight (48) hours or such
longer time as is reasonable under the circumStances from application therefore by Grantee.
Should Grantee neglect or refuse to restore or repair without delay after completion of
installation and after ten (10) calendar daYs written notice to Grantee, any streets, alleys,
lanes, squares, sidewalks, rights-of-way, easements or other pUblic places which may have
been. excavated, dug or distwbed by it, then the Grantor may have such repairs and restoration
done, 8nd the expenses incident thereto shall be paid by the Grantee. Grantee shall sccw-e and
otherwise make safe the secured area so excavated, dug or disturbed by it and shall hold
Grantor harmless from any loss or damages arising from injury to persons or property in such
area.
Whenever, by reason of establishing a grade or by reason of changes in the grade of any
street, or by reason of widening, grading. paving orothcrwise improving present or futme
streets or highways or in the location or manner of construction of any water pipes, electric
conduits, sewers, or other underground structUre, it shall be deemed necessary by the Grantor,
to alter, change, adapt, or coiuorm the maiDs, pipelines, service pipe, or other apparalUS or
appurtenances of the Grantee hereto, such alterations, or changes, shall be made by the
Grantee as ordered in writing by the Grantor, without claim for reimbursement or
compensation for damages against the Grantor. If the Grantor shall require the Grantee to
adapt or conform its pipelines, pipes, ~ or apparatus, appurtenances or other
appliances, or in any way to alter, relocate or ~ it's property to enable any other person
or corporation except the Grantor and lIllyother agency exercising powers and duties of the
Grantor, PinellasCounty or the State of Florida to use said street or highway. the Grantee
shall be reimbursed by the person or corporation desiring or" occasioning such change,
altemtion or relocation of Grantee's property. ; The Grantee ftuther agrees that it shall not
interfere with, chllllge, or injure any water pi~ drains or sewers of the Grantor unless it bas
received specific permission from the Grantor~
Section 6. Indeamifi.eation
6. Nothing herein contained shall be so construed as to render the Grantor anywise liable for any
act Of omission or commission of said GranteC" its officers, agents or employees, in the
execution or conduct of the work herein authorized. Grantee shall at all times indemnify and
save Grantor hamlless against all damages, judgments, decrees and cost which may arise or
accrue to Grantor from injury to persons or ~perty caused by negligence in the execution or
conduct of work herein under authorized or by the failme of Grantee, its officers, agents, or
employees, to comply with any reasonable ~~role or regulation relative to streets and
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sidewalks or other public places now in force br hereinafter enacted. In no event shall
Grantor. its employees or agents, be construe4 as the:agent of the Grantee or its employees or
agents.
7.
Semon 7. Quality of Gas Service.
The gas to be furnished by Grantee, its ~ and assigns shall in no case be of less
quality than 1000 British Thermal Units per c.bic foot, and shall be conducted through the
pipes at a pressure sufficient to insure satisfactory operation. The Grantee shall have the
privilege and option of charging reasonable ~ces therefore, provided, however, that in no
case shall the charge therefore exceed the applicable rates for the same services than being
charged Grantee's customer in the City ofCI~, Florida. The Grantee shall have the
further right and privilege of collecting reasoxUible service charges and/or connection fees,
provided, however, such charges and fees are ~o greater than for similar services, charges and
fees in the City of Clearwater, Florida, except~tthey shall additionally include the ftanchise
fees as shown in Section 10 of this agreement.[ ,
8.
Section 8. Expiration and Renewal. ,
Upon expiration of this franchise, said francmk shal~ automatically be renewed on a month-
to-month basis, up to one (1) year and Oran~shaIlPaY the same franchise fees as were in
existence for the last period of the franchise ~til suc~ time as the Grantor refuses renewal in
wwriting. . Upon notification of non-renewal, qte Grantee shall, after thirty (30) days, have the
right, privilege and ~tion of removing all ~~ lpping and equipment. In the event of the
removal of such eqwpment, the Grantee shall (epaIr all of the Grantor's property to the same
condition as theretofore ex.isted. :
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9.
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Section 9. Compliance with Ordinances of ~ranto~
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" I' I .
The Grantee, its successors or assigns, shall atl8ll mnes comply with all reasonable
ordinances, rules and regulations enacted or ~ by Grantor, and the provisions of this
1- , .
franchise shall be modified accordingly. The ~~ shall have the right to make, establish
and maintain and enforce such reasonable re~tionS for the operation of its distributing
system as may be reasonably necessary and ~, il~t inconsistent with the terms oftbis
franchise and the ordinances of the Grantor, ~ to ~ itself from fraud or imposition and
may, in its discretion, refuse to furnish gas an~.to cut~ffthesupply from any customer or .
customers who are in default of any bill rendeied for ~ service or to discontinue service for
other reasonable grounds. aCcording to the saole ~ure as Grantee provides for its own
consumers in the City of Clearwater. Grailt.ee ~ ~ all documents relating to this
franchise shall be and remain public records. Gran~ agrees to furnish Grantor a list of all
franchise customers upon demand. !. I
Sectio~ 10. Franchise Fees and MainteD8D~ of R~rds.
In consideration for the granting of this francJse andl~ use of the rights-of-way,easemen.ts
and other public places allowed hereunder, an4 eff~ve the first day of the month after
approval by Belleai~ Beach o~ this ~greemen~tBelleaF .B. each shall be entitl~ to receive from
Clearwater a franchise fee which wIll equal ~~ (6010) of the gross receIpts from the
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10.
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sale of gas within the corporate limits of Grantor f~ the term of this franchise. Such payinent
shall be made on a quarterly basis.; .
, . .
Grantee shall be required to keep proper books of account showing monthly gross receipts
from the sale of gas within the corporate limits of ~tor) and shall make a statement in
writing showing such receipts for each such q~y period of this franchise, and based upon
such statement shall make payment to Grantor for ~e amoUnt due. In the event that Grantor
shall annex a customer of Grantee dwing this franchise, Grantor shall notifY Grantee of such
annexation. Grantee shall immediately include the Bross receipts of such customers in the
franchise fee payments. ;
Section 11. Favored Natiou Provision
. ; I
11. In the event Clearwater .shall hereafter accept a ~ from any other governmental entity
with any provision more favorable to the govemmebW entity than contained in this frai1chise
where all other conditions of the two :franchises are ~bstantially similar, then Clearwater
shall notify Belleair Beach and Clearwater shall be ~bligated upon written request of Belleair
Beach to agree to an amendment to this OrdinaDce 1P; ilicorporate said provision. To the
extent that any federal or state statute, regulation, or (1rther law is enacted, adopted, repealed,
amended,. modified, changed or interpreted in any #- during the term of this Agreement so
as to enhance Belleair Beach's' ability to regulate ~l~ and the Gas system) or allow
Belleair Beach to increase the franchise fee, Belleait ~ and Clearwater shall negotiate in
good faith, modifications to this franchise to reflect ~h cDactm.~ adoption, repeal,
amendment, modification, change or interpretation. i 'j
Section 12. Non-Compete Provision
: , ~
12.
As further consideration of this franchise, Grantor. not the engage in the business of
distributing and selling gas during the life oftbis ~eor any extension thereof in
competition with the Grantee, its successors and assi~.
13.
;. Ii:
Section 13. ASlIiPment ofI.terest by Grantee! i: t
. lill.
In th~ event.that the ~tee should as:'ign, sell. or ~fer its gas services to an?, other entity,
public or pnvate, dmmg the term Of,this franchise oit:'. .'.' Y, '. rene, wal thereof, then In such event,
the Grantor shall have the exclusive right to accept ., 'iassignment of interest or to terminate
the franchise granted herein upon giving the Oran~ ." ely written notice to the Grantee of
the intent to terminate. ! ;!: '
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14.
:1 Fi-
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The franchise granted herein shall not become effEecti'. :e in whole or in part until the Grantee
shall, by resolution duly passed and adopted by its ':. i, .. !sion, accept the franchise,
privileges and concession herein granted and in said;. i: lution, agree to comply with the
terms and conditions of the said franchise and said" : lution to contain an agreement to
comply with all reasonable ordinances passed by tbQm::' ,ity Council of the City ofBelleair
Beach not in conflict with the telmS of said franc~, . certified copy thereof to be delivered
to the City Clerk of the City of Belleair Beach. u:;: r ~pt of a certified copy of the
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Seetion 14. Resolution by Grantee
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resolution aforesaid, this ordinance and the franchise ,therein provided shall become effective
for all pwposes therein provided for as of August 12,' 2003.
Sedion IS. Severability.
15. It is declared to be the intent of the City ofBelleair Beach, Florida, that if any section,
subsection, clause or provision of this ordinance is held invalid, or unconstitutional by any
court of competent jmisdiction, the ~el' of the ordinance shall be construed as not
having contained said section, subsection, sentence, clause or provision and shall not be
affected by such holding. :
Section 16. Eff'eetive Date.
16. This ordinance shall take effect and be,in force ten (10) days from and after approval of the
same by the City Council of the City of Belleair Beach.
The above and foregoing Ordinance was read by title Qnly and passed by a majority vote upon
its first read4lg at a regular "lJ:f' ofthp City Counc~ of the City of Belleair Beach, Florida,
held on 1110 IK1L. day of -----1M'lt.-2003 . ~
~~/-
~ Cutler, Presiding Officer
ATIEST
~t1<<..l~ l.1 </J1Jb. >1'>. I
Ny McC um, MC, City Clerk
The above and foregoing Ordinance w8s.readby title ~d was passed by a majority vote upon
its second and final reading at.Jhe ~ar,~. 'n~f1he.. City Council of 1110 City ofBelJeair
Beach, Florida, held on the ~ fttlay of L)[l11..ltt4...:,f2003.
APPROVED
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Mi ~ael Kelly, Mayor
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Bert Cutler, Presiding Officer
AITEST
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03-14n-lo-o3IrRevised 7-17-03IRevised 8-19-03lPJM
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