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O1108 -" ... " .. . - . ORDn-:A!'.]CE i:W. ll08CCS (Clty CounCIl SerIes) AN ORDI~ANCE OF TH= CITY COUNCIL OF THE CITY OF SA~1TA !lONICA GR;:JTI:'JG TO SOUTH:CRU CALIFORNIA GAS CO!!PAI~'!, A CORPORATIO~, THE RIGHT, PRIVI~E~E, A~D FRA~CHISE TO LAY AND use PIPES A....:'JD APPURTENAXCES FOR TRi:l.NStlIT'!'n\G AND DISTRIBUTI~G GAS FOR ANY A~D ALL PURPOSES UNDER, ALONG, ACROSS OR upo~r THE PUB~IC ST~ETS, b'AYS, ALL:CYS AND, PLACES, AS TF:C SA:'IE :101-; OR i>L;;Y m:':RE.'\.f''IER EXIST, \..'ITEIN SAID t1TJ:-;ICIPALITY. TEE CITY COUNCIL OF TEE CITY OF SA~';LA !10:~ICA DOCS ORDAIN AS FOLLO'llS: SECTION 1. W~enever In tblS Deflnltlons. ordlnance the'~ords or p~rases hereInafter In tbIS sectIon def lned are used, they shall have tJoe respect 1 "e reanIngs asslgped to them In the followIng de~lnltlo~S (unless, In the gl uen lns tance, the con text r,,,l1ere lD they are used sha 11 clearly Import a dIfferent meanIr.g) : A. The \-mrd "grantee" shall mean the corporatIon to WhlCh the franchIse contemplated ln th1S ord~nance 15 granted and ~ts lawful successors or ass~gns~ B. The word "c~t:/" shcJ.ll mCil~ the CIty of Santa non~ca, a mun~c~pal corporilt~on of the State of Callfornla, In Its present lncorporatcd forw Or ~n any later reorganlzed, consolIdated, cnlarqcd or rel~car?oratPd ~orn; C. 'I~e word "streets" shall mean the publIC streets, "'a,/s, alleys, and plaCE s as the saTlle no~" or nC1 -1- - ~. hereafter eXlst w~th~n sa~d Clty; D. The word "englneer" shall mean the D~rector of General Serv~ces of the Clty; E. The word I1gas" shall mean natural or manufactured gas, or a ffilxture of natural and manufactured gas; F. The phrase "plpes and appurtenances" shall mean plpe, plpellne, ~aln, serVlce, trap, vent, vault, manhole, ~eter, gage, regulator, valve, condult, appl1ance, attachnent, appurtenance and any oth~r property located or to be located ln, upon, along, across, under or over the streets of the Clty, and used or useful ln tra~smlttl~g and dlstr1but1ng gas. G. The phrase "lay and use" s1:al1 mea~ to lay, construct, erect, lPstall, operate, malntaln, use, repalr, replace, or rewove. H. The word "franchlse" shall nean and lnclude any authorlzat1on granted hereu~der 1n terms of a franchlse, prlvllege, ?erm~t, 11cense or otherW1se to lay and use plpes and appurtenances for transm1tt~ng and dlstrlbutlng gas for any and all purposes under, along, across or upon the publ1C streets, ways, alleys, and places 1n the shall Any such authorlzatloD, ~n whatever ter~ granted, mean and 1nclude any llceDse or permlt rcqulred Clty. for the pr1v1lege of transact1ng and carrY1ng on a bus~ness w1thlD the Clty 1n accordance w1th Artlcle VI of the Sa~ta -2- . . - . Monlca Munlclpal Code entltled "Buslness, professions, and Trades." SECTIUL'J 2. That the non-excluslve rlght, prlvl1ege and franchlse, subJect to each ana all of the terms and condltlons contalned in thlS ordlnance, and pursuant to the provlslons of Sectlon 1600 et seq. of the Santa Monlca Clty Charter, and In confor~lty wlth the provis1ons of D1V1Slon 3, Chapter 2, of the PubllC'Utllltlcs Code of the State of Callfornla, known as the Franchlse Act of 1937, be and the sane is hereby granted to Southern Cal1fornla Gas Company, a corporation organlzed and existlng under and by virtue of the laws of the state of Califor~la, its successo~s and asslgns, hereinreferred to as U:e "grantee, II to lay and use pipes and appurtenances for trarsffiittlng and dlstr1b~tl~g gas for an7 and all purooscs, under, along, across or upon the streets, of the City, for an l~dctermlr.ate term or perlod from and after the effect~ve date hereof, to Wlt: This franchlse shall endure 1n full force and effect until the same shall, wlth the consent of the PubliC Utlllt~es CommlSS1on of the State of Callfornla, be voluntarlly surrendered or abandoned by lts possessor, or untll the State of Callfor~la or any nunlclpal or publ1C corporatlon thereunder duly autnorlzed by law shall purchase by voluntary agreement or shall condemn or take under the power of emlnent dowaln, all property actually used and ~seful 1n the exerClse of thlS ~ranchlse, and sltuated wlth1n ~he -)- . .. . terrltorlal llmlts of the state, Munlclpal or pubI1C corporatlon purchaslng or condemnlng such property, or untll thlS franchlse shall be forfelted for nonCO~?llanCe wlth lts terms by the possessor thereof. SECTIO~ 3. The grantee shall pay to the Clty at the tlmes herelnafter spec1fled, 1n lawful money of the Un1ted States, a SUM annually WhlCh shall be equlvalent to two (2~) percent of the gross annu01"rece1pts of grantee arlslng f~om the use, operatlon or possesslon of sald franchlse; provlded, however, that such payment shall 1n no event be less than one (1%) percent of the gross annual rece1pts of the grantee derlved from the sale of gas Plth1TI the Ilmlts of the Clty under t01S =ranC~15e; provlced, DCFcver, 1n the event that the leglslature shall ame~d the Broughtor Act (PubllC Utllltles Code Sectlon 6001 - 6017) or the Franch1se Act of 1937 (Publ1C Utllltles Code Sectlon 6201 - 6302) to prov1de for a franchlse paYQent greater than two (2%) percent of the gross annual recelpts of grantee ar1slng from the use, operat1cn or possesslon of a franchlse, then the two (2%) percent franchlse fee agreed upon hereln shall be automatlcally lncreased to the level expressed by the leg~slature 1n amendlng sald acts; -~- , - ~ .- The grantee of thlS franchlse shall flle wllh the Dlrector 0 f FUlance of the Cl t1" ""1 tbin -:::hree (3) :rIon ens of the eXplratlon of the calendar year, or fractlonal cale~dar year follm-nng the date of the grant 0:: thlS rra:lchl.se, ar:d wlthln three (3) months of the eXplratlcn of each and every calendar year thereafter, a duly verlfled statexent showlng lD detall the total gross reCElpts of the gra~~ee, lts successors or asslgns, durlng the preCedlnq calencar year, or such fractlonal calendar year, from the sale of the ut1l1ty serVlce wlthln the Clty for WhlCh thlS fra~chlse 15 granted. It shall be the duty of the grantee to pay to the Clty w1thln f1fteen (15) days after the tlme of f1l1ng such statement 1n lawful money of the Unlted States, the speclfled percentage of 1ts gross rece1pts for the calendar year, or such fractlonal year, covered by such statement. Any neqlect, OM1SSlon or refusal by sa1d grantee to fl1e such verlfled statement, or to pay sald percentage, at the t1~es or 1n t~e ~anner herelnbefore provlded, shall be grounds for the declaratlon of a forfelture of thlS franchlse and of all the r1ghts thereupder. -5- - . SECTION 4. Th1S grant lS made lP. lleu of all other fra~chlses owned by the grantee, or by a~y successor of the grantee to any r1ghts under th1S fra,chlse, for transMlttlng and dlstrlbutlng gas ~lthln the llrnlts of the C1ty, as sald 11~lts now or ~ay hereafter eXlst, and the acceptance of a franchlse hereby granted shall operate as an abandonment of all such franch1ses wlt~ln the ll~lts of thlS C1ty, as such Ilmlts no~ or nav.~ereaEter eXlst, lD l1eu of WhlCh thlS franchlse lS granted. SECTIOU 5. The franchlse granted hereu~der shall not becone effectlve u~tll wrltten acceptance thereof shall have been flIed by the grantee thereof '-nth the Clerk of the CltV. When so flIed, such acceptance shall cons'Ll :_'ILe a cont1nu1ng agreement of the grantee that If ar>d ,,,,Den the C1 ty shall thereaf ter annex or consollca te 'In th addltlonal terrltory, any and all francjlse rlgh~s and pr1v1leges owned by the grantee therelD shall llkewlse be deemed to be abandoned w1thln the llmlts o~ such tcrrltory. SECTIO~ 6. The franchlse granted hereunder s~all ln nO way affect or 1rnpa1r the rlght of the Clty to acqulre the property of the grantee hereof (lncludlng, but not I1mlted to, all of the grantee's physLca1 propertles WhlCh are sltuated wlthl~ the C1ty at ~hc tlne of such purchase and used for SupplYlng gas to consu~ers wlt~ln t~c Clty, whether so used excluslve1y or also used for SU9plYlng gas to consu~ers wlthout the C1ty, all easements for prlvate -6- III - -.... --. rlghts-of-way w~thln the CLty used lD the operatlo~ of sald property, all ~aps and englneerlng, accountl~g, and co~suners records ~nclud~ng any records of orlg~~al costs used In the operatlon of sald property, all then eXlstlng contracts for the sale of gas to consumers wlthln the Clty) elther by purchase or through the exerCLse of the rlght of e~lnent domaln (and by the acceptance hereof, such rlghts are consen ted to by the qrarotee) and not"rung cor. tinned [1erelD shall be construed to contract away or to modlfy or to abrlcge e1ther for a ter~ or 1n perpetu1ty the CltylS r1ght of effilnent do~aLn wlth respect to the grantee. Tile C1- ty reserves the rlght to purchase the property of the grantee at lts falr mar~et value upon one (1) year's wrltten notlce of the exerClse thereof. Such falr mar~et value s~all be determlned by three (3) arbltrators; one selected by the purchaser, one selected by the seller and or.e by the two 50 selected, and the deter~lnatlon of the naJorlty of 5ald three (3) arbltrators shall be cO~clus1ve and bl~dlDg upon the purchaser and seller. In flxlng the falr market value to be pald by the Clty of the grantee for the property, no allowance shall be ~ade for franchlse value (other than the actual amount pald to the Clty at the tlme of the franchlse acqulsltlonl, goOdWlll, gOlng concern, earolng power, ~ncreased cost of rcproductlon, severance damage, or lncreased value of r~ght-of-way. -7- - .' Sald notlce shall operate to termlnate th1S franchlse (except wlth respect to the rlght to transport gas for use outslde the Clt~ If grantee do~s then have sue' rlghtl together wlth the rlght to construct, malnlaln, operate, replace, repalr, and renove all IlnES a~d appur- tenances WhlCh are used excluslvely for the purpose of transportlng gas for use outslde the Cltv and w~lch are sltuated In, on, under, and along t~e streets throug~out t~e C~ty, and to use and occupy the Clty streets l~ the manner and to t~e extent necessar~ for such ?urpose), as of the date of the consummatlor of such purchase. SLCTIO~ 7. The grantee of th~s franch~se shall: A. Construct, lDstalll and ~al~ta~r. all plpes and appurte~anccs In accordance wlth a~d 1n conform~~7 wllh all of the ordlnances, rules and regulatlons bcretofore, or hereafter adopted by the leglslatlve body o~ thlS Clty ln the exerClse of lts pol~ce powers and not pre-e~pted by the authorlty of the State of CallEornlal and, as to sta te :'ngln..a}' s, sub J ect to the nrOV1S lons of genera] laws rclatlng to the locatlon and malntcnance of such facllltles. B. Pay to ~he Clty, on de8and, the cost of all repalrs to publlC property made necessary by any operatloDs of the grantee u~der th~s franchlse. c. Indemnlfy and hold hamJcss the Clty, lts offlcers, agents, servants, employees, ~oards and - 8- -- ~. comm~sslons from any and all l~ablllty for damages prox- 1mately resultlng frOM any operatlons of any klnd under thlS franchlse, and, on demand of the C~ty, defend, at ltS sole expense, any clalm or actlon brought agal~st the Clty, ltS offlcers, enployees, agents, sen'ants, boards or CO~~lSSlons on account of any operatlons under th~s franchlse; and be l~able to the Clty for all damages proxlMately resultlng from the fallure of the grantee well-and falthfully to observe and perform each and every provlslo~ of thlS franchlse, each and every provlslon of Sectlons 1600 through and lncludlng 1606 of the Santa :1onlca Clty Charter, and each and every provlslon of D1V1Slon 3, Chapter 2 of the PubllC Utllltles Code of the Sta~e of Callfornla. D. Re~oVe or relocate, wlthout expense to the Clty, any fac~lltles lnstalled, used, and wa~ntalned under thlS franchlse If and when made necessary by any lawful change of grade, allgnment or wldth of any publlC street, way, alley or place, lnclud~ng the constructlon of any subway or vladuct by the Clty. E. Fll~ wlth the leglslatlve body of the Clty wlt~ln th~rty (30) days after any sale, transfer, asslgnment or lease of thlS fra~cblse, or any part thereof, or of any of the rlghts or pr~vlleges granted thereby, wrltten eVldence of the same, certlfled thereto by t~e ~3- - -- . grantee of ltS duly authorlzed offlcer. SECTIon 8. The eng lCleer s~a 11 have po~'-e:::- to gl-rC the grantee such dlrectlons for the locatlon of ary plpes and appurtenances as may be reasonably necessary to avold sewers, water plpes, condults or other structures lawfullv ln or under the streets; and before the work of constructlng any rLpes and appurtenances lS cOT~enccd, the grantee s~all flle wlth sald eng~neer pla~s ShD~11g the locatlon thereof, WhlCh shall be subJect La the apprcvi11 of SalG engl0eer (such approval not to be unreasoni1bly wlthheld}; 3nd al] such construCtlon shall be subJect to the lnspectlon of sald englneer and done to hlS reasonable sdtlsfactlon. All strGets coverlngs or openlngs of traps, vaults, and ~anho~es shall at all tl~es be kepL flush wlth the surfa2c of the sLreets; provlded, however, that the vents for underground traps, vaults, and manholes ~i1Y extend above the surface of the streets when SalG vents Jre located ln parkways, between the curb and the property llne. Where it lS necessary to lay any ur.derground p1pes through, under or across any portlon of a paved ur -10- -- . macadanlzed street, the same, where practlcable and econonlcally reasonable shall be done by a tunnel or bore, so as not to dlsturb the founaatlon of such ?aved or macadamlzed street: and ln the event that the sane cannot be so done, such work shall be done under a per~lt to be granted by the englneer upon appllcatlon therefor. SECTION 9. If any portlon of any street shall be danaged by reason of defects In any of the plpes and appurte~ances malntalned or constructed under thlS grant, or by reason of any other cause arlsl~g from the operatlon or eXlstence of any plpes and appurtenances constructed or malntalned under thlS grant, sald grantee shall, at lts own cost and expense, l~rredlately repalr acy such damage and restore such street, or portlOTI of street, to as good a condlt~on as eXlsted before such defect or other cause of damage occurred, such work to be done under the dlrectlon of the englneer, and to hlS reasonab12 satlsfactlon. SECTION 10. If the grantee of thlS franchlse shall fall, neglect or refuse to cOffi?ly wlth any of the prOV1Slons or condltlons hereof, and shall not, wlt~ln ten (10) days after wrltten demand for compllancc, beglll the work of cOMpllance, or dfter such beglnn~ng shall not prosecute the sa~e wlth due dll1gence to completlor, then the Cl~Y, by lts leglslatlve body, may declare th~s -11- . . fra~ch15e forfelted. The Clty may sue In lts own nam2 for the forfel- ture of thlS franchlse, In the event of non-co~pllance by the grantee, ltS successors or asslgns, wlt~ any of the condltlons thereof. SECTION 11. The Clty shall have the rlght to lnspect books, accounts, maps, and other records relatlng to the rendltion of serVlce by the grantee wlthln the Clty or pertalnlng to the amounts to be pald under thlS franchlse and such books, accounts, and other records shall be kept wlthln the Clty and/or In such other place as the reasonable convenlence of the grantee may requ1rei ln the event that lt becomes necessary for the Clty or any representatlve deslgnated by the Clty or any offlcer of the Clty to make an exaffilnatlon any place other than wlthln the Clty, then and In that event, any lncreased reasonable costs and expenses lncldent to such examlnatlon wlll be borne by the grantee. -12- . . SECTION 12. Any r1gnt or po~er 1n, or duty lmpressed upon, any offlcer, err.ployee, or department of the Clty shall be subJect to tran5~er by the Clty or any other offlcer, e~ployee or departrent or the C~ty. SECTIO::l 13. ThlS franch~se lS not exclUSlve. SECTION 14. There 15 hereby reserved to the Cl ty every r1gh~ and pm-.'er T..-h2.ch ~s requlred to be here1n reserved or prov1ded by any ordlnancc of the C~tj, a~G the grantee, by lts acceptance of thls franchlse, co~sents to be bound thereby and to COI'lpli. 'y~ th any actlon or requlrenents of the Clty In lts exerClse of suc~ rlgbts or power, heretofore or here1nafter enacted or establlshed. SECTION 15. The grant1ng of thlS franchlse shall not constltute a walver or bar to t~e exerClse of any governxental rlght or power of the C~ty. SECTIO:l 16. The grantee of thlS franchlse shall oaT, ~ .} to the Clty a su~ of mop-ey Su:flc1ent to relr.burse It for all ?ubl~cat~on expenses lncurred by ~t lD connectlon ~~th the grant1ng of thl5 franc~lse; such pay~cnt to be -13- . l , . . made w1thln th~rty (30) days after the Clty sball furn1sh such grantee wlth a wrltten statement of such expenses. SECTIO~l 17. Not later than ten (lO) days after the adoptlon of thlS ordlnance, the grantee shall flle wlth the Clty Clerk a wrltten acceptance of the frar.chlse hereby granted, and an agreement to comply wlth the terms and condlt1ons thereof. SECTlm~ 18. Any prov151onS of the Santa Monlca 11un1C1pal Code, or appenclces thereto 1nconS1ste~t here~lth, to the extent of such 1ncons1stenc1es and no further, are hereby repealed or IToa1fled to that extent necessary to effect the provlslons of thls ord1nance. SEC~IOiJ 19. If any sectlon, subsect~o~, sentence, clause or phrase of thlS ordlnance 15 for any reason held to be lnval1d or unconstltut1onal by a aeClslon of any court of competent ]urlsdlct1on, such declSlon shall not affect the va!ldlty of t~e re~alnlng portlons of the ordlnance. The C1ty Councll hereby declares that lt would have passed th1S ord1nanc2 and each and every sect1on, subsect~on, sentence, clause or phrase not declared lnval~d or unconst1tutlonal w1thaut regard to whether any portlon of the ord~nance would be subseque~tly declared invalld or unconst1tutlcnal. SECTION 20. The :layor shall slgn and the Clty Clerk shall attest to the passage of thlS ordlnar.ce. T0e Clty Clerk shall cause the sa~e to be publlshed once lD the off1clal newspaper w1th1n f~fteen (25) days after 1ts -14- . ~ . ~ , t . -. adop~lon. The ord1nance shall becowe effect~ve arter thlrty (30) days from lts adoptlon. ADOPTED and APPROVED thlS 14th day of November 1978. A ~. ~~_ ~~OR ATT"CSI': ...~~ p:l)f" nI; EJ" (/ ~Y .,D ~d\. STATE OF CALIFORNIA COU~TY O~ LOS ANGELES 55. CITY OF' SANTA f.lO~~ICA I do hereby certlfy that the =oregoln~ ordln2~ce was dulv and regularly lntLod~ced at a neetlng 0: the C1ty Caunell on the 24th day of October , 1978; tr.at thereafter the sald ordlnance was duly adopted at a meetlng of the Clty Counc1l on the 14th day of November , 1978i by the followlng vote of the CaunC1I: Ayr:;S: Counc1lrr.ember: Bambrick, Reed, Scott, Trives, van den Steenhoven and Mayor Pro Tempore Cohen Cauncllmembcr: Kone :.JOI:S: ABseNT: Councllmembcr~Mayor Donna O'Brlen , -Swlnk ~~ CI fe ITY CLeRK . -15- . . " .l f . -~ ~. -16-