GAS
I
I
RESOLUTION NO. 96-06
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
CLEARWATER, FLORIDA, ACCEPTING THE FRANCHISE,
PRIVILEGE AND CONCESSION OF THE CITY OF NEW PORT
RICHEY, FLORIDA, FOR THE PURPOSE OF FURNISHING GAS
WITHIN NEW PORT RICHEY AND TO ITS INHABITANTS, AND
APPROVING THE INTERLOCAL AGREEMENT RELATED
THERETO; PROVIDING AN EFFECTIVE DATE.
WHEREAS, on January 8, 1996, the City of New Port Richey, Florida, adopted
Ordinance No. 1388 and approved an Interlocal Agreement with the City of Clearwater,
copies of which are attached to the original of this resolution and incorporated herein by
reference, granting the City of Clearwater a franchise for the purpose of furnishing natural gas
service within New Port Richey; and
WHEREAS, the terms and conditions of the franchise and the Interlocal Agreement are
acceptable; now, therefore,
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF
CLEARWATER, FLORIDA:
Section I. The terms and conditions of the gas system franchise, privilege and
concession granted by the City of New Port Richey, Florida, by the adoption of Ordinance No.
1388 and the approval of the Interlocal Agreement 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 Interlocal Agreement and with all reasonable ordinances
adopted by the City Council of New Port Richey 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 New Port
Richey.
PASSED AND ADOPTED this 1st
Rita Garvey
Mayor-Commissioner
ATTEST:
Q~~ ~ tL..{}Lft
Cynthi . Goudeau
City CI k
I}-/ -0 I ( --,f i('
I (0 ,_/ \~I
q (,. _C)(_ (J;)
I
I
Section 2.
TERM. GRANT: DEFINITION OF GAS.
For a period of 30 years beginning January 1, 1996 and ending December 31, 2025, NEW
PORT RICHEY, its successors, and assigns, does hereby give and grant to CLEARWATER, its
successors, and assigns, the non-exclusive right, privilege and franchise to furnish gas and to
construct, operate and maintain within the corporate limits of NEW PORT RICHEY, as such
limits may be expanded, all facilities required by CLEARWATER to supply gas to NEW PORT
RICHEY, its inhabitants and the places of business located within the corporate limits of NEW
PORT RICHEY, as such limits may be expanded, and other customers and areas now or hereafter
supplied, or to be supplied, gas by CLEARWATER. The exercise of this authority and franchise
by CLEAR WATER shall be consistent with the terms and conditions of the Ordinance attached
hereto as Exhibit "A" which is incorporated herein by reference.
The word "Gas" shall mean natural gas and/or commingled gas which is distributed in
pIpes. It shall not mean bottled gas or any other fuel; however, nothing herein shall be interpreted
to prohibit CLEARWATER from engaging in the sale of liquid petroleum (propane) gas.
Section J. TERMS AND CONDITIONS.
All terms and conditions as set forth in NEW PORT RICHEY Ordinance No. 1388 , a
copy of said franchise ordinance being attached hereto as Exhibit" A", are incorporated herein by
reference as if fully set forth herein.
2
9{p-J&
Countersigned:
I
Rita J. Garvey
Mayor-Commissioner
Approved as to form and
legal sufficiency:
Pamela K. Akin
City Attorney
CM-95-10-50
R-12-11-95
I
CITY OF CLEARWATER, FLORIDA
By:
Elizabeth M. Depula
City Manager
Attest:
Cynthia E. Goudeau
City Clerk
4
1 ~ -o~
I
ORDINANCE NO.
I
1388
AN ACT GRANTING TO THE CITY OF
CLEARWATER A FRANCHISE TO CONSTRUCT,
OWN, AND OPERATE A PUBLIC UTILITY FOR TIlE
DISTRIBUTION AND SALE OF GAS AND TO USE
THE PUBLIC STREETS AND HIGHWAYS FOR
THAT PURPOSE; PROVIDING FOR GRANT OF
AUTHORITY; PROVIDING FOR TERM;
PROVIDING FOR INDEl\1NIFICA nON; PROVIDING
FOR CONDITIONS OF USE OF STREETS AND
HIGHWAYS; PROVIDING FOR CONSTRUCTION
WORK; PROVIDING FOR RATES; PROVIDING FOR
PAYMENT OF FRANCHISE FEE; PROVIDING FOR
COMPLIANCE WITH REGULATIONS AND CITY
ORDINANCES; PROVIDING FOR COMPETITIVE
OPERATIONS BY THE CITY; PROVIDING FOR
SERVICE TO ANNEXED AREAS; PROVIDING FOR
EXTENSIONS OF SERVICE; PROVIDING FOR
SUFFICIENCY OF SUPPLY; PROVIDING FOR
FORFEITURES AND REVOCATION OF
FRANCHISE; PROVIDING FOR
NONTRANSFERABILITY; PROVIDING FOR
INTERLOCAL AGREEMENT; PROVIDING FOR
CONFLICT; PROVIDING FOR SEVERABILITY;
PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NEW
PORT RICHEY AS FOLLOWS:
Sectioll I.
DefinitiollS
For the pwposes of this Ordinance, the following tenns, phrases,
words and derivatives shall have the following meaning:
1
1 &~ -:J tt'
I
I
maintain GAS mains, service pipes and any other equipment necessary to tlle sale and
distribution of GAS in tlle CITY.
(I) Nonexclusive Grant. The rights herein granted shall not be exclusive and
the CITY reselVes the right to grant a similar use of its STREETS AND HIGHWAYS
to any PERSON during the period of the franchise herein granted.
Section 3. Term
The tenn of tllis franchise is for a period of thirty (30) years beginning
JanuaIy 1, 1996 and ending December 31, 2025 . CLEARWATER shall be
subject to all lawful ordinances of the CITY and to the lawful exercise of tlle police
power of the CITY and to those laws, rules, and REGULATIONS enacted by the State
of Florida or its regulatory agencies. Any material violation of the REGULATIONS
shall be deemed to be a default of CLEAR WATER's obligations under tlus franc1use
ordinance and shall subject CLEARWATER after notice and hearing and determination
by the COUNCIL, pursuant to Section 14, to a finding that the tenns of tllis francluse
have been breached and to the cancellation of the franchise.
Sectio1l 4. 11Idenmijicatio1l.
CLEAR WATER shall save the CITY hannless from and indemnify the CITY
at all times against all loss, costs, or damages sustained by the CITY on account of any
suit, claim or demand resulting from act or omission on the part of CLEAR WATER in
the construction, operation or maintenance of the GAS system in the CITY, including
the payment of reasonable attorneys fees and the cost of defense. The CITY shall
notify CLEARWATER in writing within sixty (60) days after the presentation of any
claim or demand either by suit or otherwise made against the CITY on account of any
act or omission on the part of CLEARWATER.
In the event that Florida Statutory or common law should prohibit
indelmtification as provided herein, or imposes limitations of liability (Other tllan as set
forth in Section 768.28 Florida Statutes, or other applicable law), CLEARWATER
shall be required to purchase, or acquire, liability insurance witll aggregate limits of
$3,000,000 and will name CITY as an additional insured under said policies of
insurance, including any plan or program for self insurance or retained limits by
CLEARWATER. Notl1ing herein is intended to waive or limit sovereign immunity of
the CITY or CLEAR WATER.
3
11::/ -()GJ
I
I
(30) days after the completion of that work, shall replace or restore any trees,
vegetation, paving, street or highway to as good a condition as obtained immediately
prior to CLEAR WATER's work. In the event CLEAR WATER fails to make necessary
restoration within a reasonable period of time, or in the event the restoration made or
attempted by CLEARWATER is disapproved by the CITY, or in the event the
restoration fails and renders damage or depreciates the CITY's streets or highways
within a period of two (2) years except sod, trees, and vegetation for which the period
shall be ninety (90) days, after CLEAR WATER's work, the CITY shall notify
CLEAR WATER in writing of the restoration needed or of the reasons for the CITY's
disapproval of the restoration made or attempted to be made by CLEAR WATER.
CLEARWATER shall then have thirty (30) days after the written notice is received to
make tlle necessary restoration required in the notice, failing which, the CITY shall be
autllOrized to make the necessary restoration and charge the cost to CLEARWATER.
Sectio" 6. Construction Work.
TIle CITY reserves the right to lay and pennit to be laid electric conduits, water,
GAS, and other pipelines, or cables, sewers, and to do and permit to be done any
underground work that may be deemed necessary or proper by the CITY in, across,
along or under any street or highway. In laying or pennitting such work to be done, the
CITY shall not be liable to CLEARWATER herein for any damages so occasioned.
Whenever, by reason of establishing a grade or by reason of changes in the grade of
any street, or by reason of the widening, grading, paving, or otherwise improving
present or future streets or highways or in tlle location or manner of construction of any
water pipes, electric conduits, sewers, or otller oodergrowld structure, it shall be
deemed necessary by the CITY, to alter, change, adapt, or conform the mains,
pipelines, service pipe, or otller apparatus or appurtenances of CLEAR WATER hereto,
such alternations, or changes, shall be made by CLEAR WATER as ordered in writing
by the CITY, without claim for the reimbursement or compensation for damages
against the CITY; provided, however, if the CITY shall require CLEARWATER to
adapt or confirm its FACILITIES OR EQUIPMENT , or in any way to alter, relocate,
or changes its FACILITIES OR EQUIPMENT to enable any other person or
corporation except the CITY, any other agency exercising powers and duties of the
CITY, Pasco County or the State of Florida to use the STREETS AND lllGHWAYS,
CLEAR WATER shall be reimbursed by the PERSON or corporation desiring or
occasioning such changes for any loss, cost or expense caused by or arising out of such
change, alternation or relocation of CLEARWATER's FACILITIES OR EQUlPMENT.
CLEAR WATER further agrees that it shall not interfere with, change, or injure any
water pipes, drains, or sewers of the CITY, unless it has received specific pennission
from the CITY's Director of Public Works.
5
q &,-- C)l~
~
I
I
not in conflict with the tenns of this franchise. CLEAR WATER shall have the right to
make, establish, or maintain and enforce such reasonable REGULATIONS for the
operation of its distribution system as may be reasonably necessary and proper, not
inconsistent with the tenns of this franchise and any ordinance of the CITY.
CLEAR WATER may, in its discretion, refuse to furnish GAS or service to any
customer who is delinquent on any bill rendered, or for other reasonable grounds, in
accordance with the same procedures as CLEAR WATER provides for its customers
within the CITY of CLEARWATER. CLEARWATER agrees that all documents
relating to this franchise shall be and remain a public record.
Section 10. Competitive Opertatiolls by tl,e CITY.
As a further consideration of tins franclnse, the CITY agrees not to engage in the
business of distributing and selling GAS during the life of this franchise or any
extension thereof, in competition with CLEARWATER, its successors, and assigns.
Notlnng herein is intended to prohibit the CITY from approving any other GAS
franchise ordinance to any other GAS service provider.
Section 11. Anllexation.
In the event of the annexation of any territory to the present corporate limits of
the CITY, such annexed territory and all portions of the GAS system of
CLEARWATER located therein shall become subject to all of the teons and conditions
of this franchise and ordinance as of the time such annexation becomes effective. It
shall be the responsibility of the CITY to notify CLEARWATER in writing witlnn
thirty (30) days after the effective date of every such annexation.
Section 12. Extellsioll of Service.
hI consideration of the rights granted ooder this franc1nse and the duration of this
franclnse, CLEAR WATER agrees that its facilities to be installed within the corporate
limits of the CITY will be expanded to provide service to new customers on the teons
and conditions hereinafter set forth. Such expansion shall occur on the following tenns
and conditions, to-wit:
(1) GAS service shall be extended to customers desiring said service based
on a feasibility fonnula. Such fonnula shall be the fonnula currently in effect system-
wide as then admitnstered by CLEARWATER, but, at a minimum, shall be as follows:
7
1~i-()0;
I
I
a period of sixty (60) days after service of such notice within which to tenninate
such violation or default; and provided further that any violation or default arising
from an act of God, strike, riot, public enemy or other calamity or restriction in the
supply of GAS beyond the control of CLEAR WATER or its interstate suppliers or
by reason of the regulation exerted by the Public Service Commission or the Federal
Energy Regulatory Commission or other regulatory body having jurisdiction on the
premises shall not constitute groWlds for revoking and canceling any rights
hereunder. In the event that CLEAR WATER, upon receipt of said written notice
from the CITY, does not desist from such violation within the time aforesaid, then
CLEAR WATER shall be deemed to be in default and subject to an appropriate
action to tenninate the said franchise, grants, privileges, rights, licenses and
immunities given by this franchise. CLEAR WATER is required to make every
effort to maintain operation and service at all times in the event of any work
stoppage by its employees.
Any material discontinuation, or interruption, of service to a significant
number of customers in the CITY in excess of three (3) consecutive days, except in
cases arising from act of God, strike, riot, public enemy or other calamity, or
restriction in the supply of GAS beyond the control of CLEAR WATER or its
interstate supplier, or by reason of the regulation exerted by the Florida Public
Service Commission or the Federal Energy Regulatory Commission or other
regulatory body having jurisdiction on the premises or other cause beyond the
control of CLEARWATER, shall constitute a default WIder this agreement and may
subject CLEARWATER to the remedies set forth herein; provided, however, that
CLEAR WATER shall not be required to lay replacement FACILITIES OR
EQUlPMENT beyond such point as it detennines to be economically feasible, and
unless the revenue from such additional FACILITIES OR EQUIPMENT shall
warrant such installation on a basis of reasonable compensation or return on
CLEARWATER's investment. Such policy shall be the same as CLEARWATER
applies within the CITY of CLEARWATER.
Section 15. NOI,transferability of Francl,ise.
CLEAR WATER shall not sell, assign, or otherwise transfer its franchise
granted under this Ordinance to any other PERSON without the prior written
approval of the CITY COUNCIL. No sale or transfer of any interest in the franchise
shall be effective lmtil CLEARWATER has filed with the CITY Clerk the executed
legal instrument reciting the sale, assigmnent, lease or other transfer. TIus Section
shall not be deemed to limit the right of CLEARWATER to pledge and encumber
9
en,' _I":' ',,_
- / c".- / '-<...,: ,./
~
I
The above and foregoing Ordinance was read and approved on first reading
at a duly convened meeting of the City Council of the City of New Port Richey,
Florida, this ~ day of~, 1995.
The above and foregoing Ordinance was read and approved on second reading
at a duly convened meeting of the City Council of the City of New Port Richey,
Florida, this -2nd...- day of JanuaJy, 1996.
ATTEST:
~~.~
J Sachse Bottner
City Clerk
Peter A. Altman
Mayor-Councilmember
~;c&~
Thomas K. Morrison, Esquire
City Attorney
CM-95-10-56
R-12-26-95
11
qL?-()~)