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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
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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
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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
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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;
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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.
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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
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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.
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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
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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
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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
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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
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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.
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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
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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
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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
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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':
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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
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CI fe ITY CLeRK .
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