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GAS SYSTEM ?;;(4 /d;;~ (t,-.. RESOLUTION NO. 91-28 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CLEARWATER, FLORIDA, ACCEPTING THE FRANCHISE, PRIVILEGE .AND CONCESSION OF THE CITY OF SAFETY HARBOR, FLORIDA, FOR THE PURPOSE OF FURNISHING GAS WITHIN THE CITY OF SAFETY HARBOR AND TO ITS INHABITANTS; PROVIDING AN EFFECTIVE DATE. \ WHEREAS, the gas system franchise granted by the City of Safety Harbor, Florida, expires in 1991 and a new gas system franchise has been ipproved by the adoption of Ordinance No. 91-21 of the City of Safety Harbor on July 15, 1991; and WHEREAS, the terms and conditions of the new gas system franchise are set forth in Ordinance No. 91-21 of the City of Safety Harbor, a copy of which is attached to the original of this resolution and incorporated herein by reference; and WHEREAS, the terms and conditions of the new gas system franchise are acceptable; now therefore BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF CLEARWATER, FLORIDA: , '~""",..,.:t'" Section 1. The terms and conditions of the gas system franchise, privilege and concession granted by the City of Safety Harbor, Florida, by the adoption of Ordinance No. 91-21 of the City of Safety Harbor, 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 Commission of the City of Safety Harbor not inconsistent with the franchise. Section 2-. This resolution shall take effect immediate upon adoptionl Upon adoption of this resolution, the City Clerk shall deliver a certified copy to the City Clerk of the City of Safety Harbor. PASSED AND ADOPTED this 1st day of August, Attest: 8L Z. /:i~-~__ ia E. Goudeau lerk OFFICE OF THE CITY A rrORNEY City 01 Sa'ety H.,bor 750 Main Slrul ~~.f.ry Hamor, Florida JoC69S ., ORDINANCE 91- 21 AN ORDINANCE OF THE CITY OF SAFETY HARBOR, FLORIDA GRANTING TO THE CITY OF CLEARWATER, FLORIDA, ITS SUCCESSORS AND ASSIGNS, A FRANCHISE FOR THE PURPOSE OF FURNISHING NATURAL GAS WITHIN THE CITY OF SAFETY:HARBOR, AND TO ITS INHABITANTS; PROVIDING THE LIMITATIONS, TERMS, AND CONDITIONS OF SAID FRANCHISE; PROVIDING FOR PUBLICATION IN ACCORDANCE WITH LAW; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF SAFETY HARBOR, FLORIDA: Section 1. Whenever in this ordinance the words or phrases hereafter in this section defined are used, they shall have the meanings assigned to them in the following definitions, unless the context wherein they are used shall clearly import a different meaning: (a) "Grantee" means the City of Clearwater, Florida, a municipal corporation, to which the franchise is granted by this ordinance, and its lawful successors or assigns. (b) "Grantor" means the city of Safety Harbor, a Florida municipal corporation, and all inhabitants and properties therein. (c) "Street" means the public streets, lanes, alleys, courts, bridges (excluding the area above 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. (d) "Industrial" shall mean service to a customer at a single location where such consumei is engaged in an industrial enterprise in which such service is used primarily in the operation involving the extraction from or fabrication of some material or product. ( e) means natural gas and/or commingled gas manufactured gas which is distributed in It shall not mean bottled gas or any other "Gas" and/or pipes. fuel. OFFICE OF THE CITY ATTORNEY City 01 S.,.ty H.rtlor 750 M.." Sln.1 S.,.ry Harbor. Fbrltfa 3<46Q5 ( f) "Facilities or equipment" means pipe, pipe I ine, tube, main, service, trap, vent, vault, manhole, meter, gauge, regulator, valve conduit, appliance attachment, 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 di~tribution of gas. section 2. Grantee is hereby granted a non-exclusive franchise, privilege, and concession to furnish gas within Grantor's municipal limits, together with the right to use Grantor's streets, avenues, alleys, squares, bridges, viaducts, or other public highways and/or easements for the purpose of laying and maintaining pipes, and/or such other apparatus necessary to supply gas to Grantor's inhabitants, and to do all things reasonably necessary to supply gas to Grantor, not otherwise in conflict with any of the terms and condi tions of this franchise or reasonable ordinances of Grantor. Grantee shall locate all facilities and equipment so that such will not interfere with Grantor's use of its streets, and shall not cause a hazard to the public health, safety, welfare, and aesthetics of Grantor, or inconvenience any of the pioperty owners contiguous thereto. The Grantee shall obtain written approval of the Grantor as to any proposed route 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 mains installed an0 used for the purpose-of sup~lying said gas shall be laid in the manner provided in this franchise and in accordance with the written approval issued by Grantor. At the time of execution of this franchise, the Grantee shall furnish to the Grantor a current and accurate map showing in detail the location of each gas facility owned by the Grantee, and thereafter shall keep such map in current condition with information from time to time to show changes. Grantee shall locate all facilities and equipment so that such will not interfere with Grantor f s use of its streets, 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. Should the Grantee sell its facilities to any other person, firm or corporation during the life of this franchise, the Grantor may, at its option, cancel this franchise unless it shall have given its written consent to such purchase or transfer. The Grantor shall have the right to give or j''"-'- ~~/ OFFICE OF IHE CITY ATTORNEY City ot Salary Harbor 150 M4111'l 5u..1 S..h'ry HattJOf, Floflda 34695 withhold its consent within its sole discretion and shall have the absolute right to renegotiate this franchise, in whole or in part, as it deems appropriate and necessary to protect the public interest. In the event that the Grantor and the new owner of the facility shall be unable to negotiate a satisfactory franchise agreement, the Grantor may cancel and terminate this Franchise Agreement and such termination shall act as an expiration of this franchise in accordance with the terms of section 11 of this Agreement. section 3. The franchise, rights and privileges hereby granted shall continue and be in force for the period of ten (10) years from the date the franchise granted herein becomes effective. section 4. In the event Grantee shall hereafter accept a franchise from any other governmental entity with any provision more favorable t,o the governmental entity than contained in this franchise, then Grantee shall notify Grantor and Grantee shall be obligated upon written request of Grantor to amend this. franchise to incorporate said provision. section 5. Grantee shall furnish twenty-four (24) hours of continuous daily service to each person wi thin Grantor desiring such service. Failure of Grantee to furnish gas to any such person for any cause within its control for a period of seventy-two (72) hours shall act as a default of this franchise at the option of the Grantor. In consideration of the rights granted under this franchise and the duratidn of this franchise, the Grantee agrees that its facilities within the city of Safety Harbor will be expanded to provide service to new customers on the terms and conditions hereinafter set forth. The Grantee's failure to expand its facilities and services to its customers within the city of Safety Harbor 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 formula currently in effect system-wide as then administered by the Grantee, but as a minimum shall be as follows: .J7 (EAR) (Construction Cost) 25.0% 4 years (100) OFFICE OF ':HE CITY ATTORNEY Guy of Slf.1y Harbor 750 Main Slreel 5..ah; I'y Hartlor, Fk)fidl :14695 In the event that the system-wide f9rmula provides for a period longer than four (4) years, that longer period shall be used. B. The Grantee shall invest not less than 4% of its capital investment development funds on the system within the boundaries of the city of Safety Harbor providing that the Safety Harbor market provides enough customers to economically justify such expansion. The standard used to evaluate such capital expenditures will be no less generous than that employed in the city of Clearwater or elsewhere in the system. section 6. Grantee shall install the necessary facilities or equipment at its own cost and expense and the same shall be and remain the property of Grantee, and Grantee's facilities or equipment and other physical properties used in connection with the furnishing of gas under this franchise shall be free from any ad valorem and occupational license tax of Grantor so long as such remains Grantee's property. All mains and pipelines shall be laid underground. . Grantee shall repave or relay, as promptly as possible, all streets, lanes, alleys, sidewalks, squares, or public places dug or disturbed by Grantee for any reason unless there is a previously-approved schedule. Grantee shall repair and restore such streets, lanes, alleys, sidewalks and 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 dwring conduct of such work as sopn as physically possible. Any traffic disruption shall be coordinated with the Grantor and the Sheriff's department. Grantee shall obtain a permit from Grantor, without charge, prior to the construction or installation of any facilities or equipment, and supply Grantor with as-built drawings 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 the date the application is received by Grantor. Should Grantee neglect or refuse to restore or repair without delay after completion of installation and after ten (10) daysl written notice to Grantee, any streets, alleys, lanes, squares, sidewalks or public places which may have been excavated, dug or disturbed by it, then the Grantor may have such repairs and restoration done, and the expenses incident thereto shall be paid by Grantee. Grantee shall secure and otherwise make safe the 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. c.: OFFice OF THE CITY ATTORNEY City 01 Slrely Harbor 750 Main 51'... 5.'.ry Hlrbor. FkJrldl 348;5 In the event that the relocation of Grantee's property is subsequently required by Grantor because of its. need to use utilities, easements, rights-of-way, or other public places, or for any reason, the Grantee shall pay for the relocation of all installations or facilities contained in such rights-of- way or easement. Should, in connection with the doing of any public improvement or other exercise of the powers of Grantor, it become necessary or desirable to relocate installed facilities of the Grantee, then the Grantee covenants and agrees to promptly, at its expense, relocate said facilities. Should it become necessary in the installation of gas lines or facilities to relocate water or sewer lines of Grantor, or to otherwise modify the location, design or other attributes or characteristics of any infrastructure of Grantor, now or hereinafter installed, then such ~ork shall be done at the expense of the Grantee and not the Grantor. It is understood that in all instances the facilities of Grantor shall have the right-of-way and preference over that of the Grantee herein. section 7. Nothing herein contained shall be so construed as to render the Grantor in any way liable for any act. of omission or commission of said Grantee, its officer~~ agents or employees, in the execution or conduct of the work herein authorized. Grantee shall at all times indemnify, defend and save Grantor harmless against all damages, judgments, decrees, costs, and attorney's fees which may arise or accrue to Grantor from injury to persons or property in any way arising out of this franchise, caused by the carelessness or neglect in the execution or performance of the J work hereunder authorized or by the failure of Grantee, its officers, agents or employees, to comply with ariy reasonable ordinance, rule or regulation relative to streets and sidewalks or other public places now in force or hereinafter enacted. In no event shall Grantor, its employees or agents, be construed as the agent of the Grantee or its employees or agents. Provided, however, that in no event shall the limits of liability imposed hereunder exceed those limitations contained in section 786.28, Florida statutes. This hold harmless provision shall include any claim made by an employee of Grantee against Grantor unless said claim is founded upon the active negligence of Grantee, or its employees or agents. Nothing contained herein shall be construed as a waiver of any immunity from or limitation of liability Grantor and Grantee may have under the doctrine of sovereign immunity or ~ 768.28, Fla. Stats. section 8. The gas to be furnished by Grantee, its successors and assigns shall in no case be of less quality t',.') ~, OFFICE OF THE CITY ATTORNEY City of Safary Harbor 750 Main Strut S.lety Harbor, florlda 3..eVS than 1000 British Thermal units per cubic 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 prices therefore, provided, however, that in no 'case shall the charge therefore exceed more than the retail price of Grantee's consumers in the city of Clearwater, plus franchise fees as shown in section 10 of this agreement. The Grantee shall have the further right and privilege of collecting reasonable service charges and connection fees, provided, however, such charges and fees are no greater than for similar services, charges and fees to any of Grantee I s other consumers, plus travel expenses to be agreed to between the parties from time to time. section 9. The Grantee, its successors or assigns, shall at all times comply with all reasonable ordinances, rules and regulations enacted or passed by the Grantor and the provisions of this franchise shall be modified accordingly. The Grantee shall have the right to make, establish and maintain and enforce such reasonable regulations for the operation of its distributing system as may be reasonably necessary and proper, not inconsistent with the terms of this franchise and the ordinances of the Grantor, and to protect itself from fraud or imposition and may, in its discretion, refuse \:0 furnish gas and to cut off the supply from any customer or customers who are in default of any bill rendered for such service or for other reasonable grounds, according to the same procedure as Grantee provides for its own consumers in the City of Clearwater. Grantee agrees that all documents relating to this franchise shall be and remain public records. Grantee agrees to furnish Grantor a list of all franbhise customers upon demand. section 10. In consideration for the granting of this franchise, Grantee shall pay to Grantor six percent (6%) of the gross receipts from sale of gas within the limits of the Grantor. In computing the gross receipts from the sale of gas, all revenues received from gas delivered to and consumed by industrial gas customers shall be excluded. Grantee shall keep proper books of account showing monthly gross receipts from the sale of gas wi thin the corporate limits of Grantor, and shall make a statement in writing showing such receipts for each such Quarterly period of this franchise, and based upon such statements shall make payment to Grantor for the amount due. In the event that Grantor shall annex a customer during this franchise, Grantor shall notify Grantee of such annexation. Grantee shall (. """,,- \.....,.,l OFFICE OF THE CITY ATTORNEY City or Sal.ty H.rbor 750 Mam Sir... S.,.ry Hlrbo,r, Florid. 3.695 immediately include the gross receipts of such customers in the franchise fee payments. Such otherwise or other Grantee's franchise fee. shall not be deemed to preempt or exclude the Grantor from levying additional utility taxes which Grantor may lawfully impose upon customers. Section'11. Upon expiration of. this franchise, said franchise shall automatically be renewed on a month-to-month basis until such time as the Grantor refuses renewal. Upon notification of non-renewal Grantee shall, after thirty (30) days have the right, privilege and option of removing all franchise piping and equipment. In such event, Grantee shall repair all of the Grantor's property to the same condition as theretofore existed. section 12. As a further consideration of this franchise, Grantor 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 the Grantee, its successors and assigns. Grantee herein shall reimburse and pay to Grantor all reasonable expense~ incurred by Grantor in the conductlng of' any special elections which might be required'by the charter of the Grantor in connection with this franchise. section 13.' The franchise granted herein shall not become effective in whole or in part until the Grantee shall, by resolution duly passed and adopted by its Commission, accept the franchise, privileges and concessions herein granted and agree to comply with the terms and conditions of the franchise and all reasonable ordinances passed by the city commission of Safety Harbor not in conflict. with the terms of the fra~chise, a certified copy thereof to be delivered to the City of Safety Harbor. Upon the receipt of a certified copy of the resolution, this ordinance and the franchise shall become effective as of August 1, 1991. section 14. All ordinances or parts qf ord inances in conflict with the provisions of this ordinance are hereby repealed. If any section or sections of this ordinance are declared invalid for any reason, such invalidity shall not affect the remaining sections thereof. The parties further acknowledge that each term and provision of this ordinance is material to the franchise, and default in the performance of any such provision shall be grounds for the termination of this franchise. section 15. This ordinance shall become effective immediately upon final passage and adoption. section 16. This Ordinance shall be published in accordance with the requirements of law. PASSED ON' FIRST READING, Jul y 1 , 1991. PASSED ON SECOND AND FINAL READJ;NG, , 1991. \.~",,/ I, Bonita Haynes, City Clerk of the City of Safety Harbor, do hereby' certify the attached to be a true copy of the original as it appears in the files of the City of Safety Harbor. /? -.-L- /1/ n,/ ~d I/' /9""Y- /