HomeMy WebLinkAbout07114 ORD - 12/27/1963IMS:JKH:12 -27 -63
AN ORDINANCE
AUTHORIZING AND DIRECTING THE CITY MANAGER TO
EXECUTE AND DELIVER, FOR AND ON BEHALF OF THE
CITY, AN AGREEMENT WITH CORPUS CHRISTI- MUNICII
TERM OF FOUR 141 YEARS, BEGINNING JANUARY I, 1964,
ALL AS SET OUT IN SAID AGREEMENT, A COPY OF WHICH
IS ATTACHED HERETO AND MADE A PART HEREOF; AP-
PROPRIATING AND REAPPROPRIATING THE SUM OF TlOOOOO.00
OUT OF FUNDS ON HAND, DERIVED FROM REVENUE OF T E GAS
SYSTEM OF THE CITY OF CORPUS CHRISTI, BEING GAS FUND
IO AND DECLARING AN EMERGENCY.
WHEREAS, THE CORPUS CHRISTI MUNICIPAL GAS CORPORATION IS
INDEBTED TO THE CITY OF CORPUS CHRISTI FOR OPERATION, MAINTENANCE AND
CONSTRUCTION EXPENSE TO DECEMBER 31, 1963, IN THE ESTIMATED SUM OF
$150,257 -GO AND DESIRES TO CONVEY CERTAIN PROPERTY OF THE CORPUS CHRISTI
MUNICIPAL GAS CORPORATION TO THE CITY IN SETTLEMENT AND CANCELLATION OF
THE INDEBTEDNESS AND THE FURTHER PAYMENT TO THE CORPORATION BY THE CITY
OF $100,000.00 CASH, AND THE FURTHER CONSIDERATION OF A FOUR -YEAR LEASE
ON CERTAIN PROPERTY TO THE CORPUS CHRISTI MUNICIPAL GAS CORPORATION:
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. THE CITY MANAGER BE, AND HE IS HEREBY, AUTHORIZED
AND DIRECTED, FOR AND ON BEHALF OF THE CITY, TO EXECUTE AND DELIVER AN
AGREEMENT WITH CORPUS CHRISTI MUNICIPAL GAS .CORPORATION FOR THE ACQUISI-
TION BY THE CITY OF CERTAIN PROPERTY, IN COMPROMISE OF THE CLAIM AND
SETTLEMENT OF THE CITY FOR THE SAID SUM OF $150,257.00 FOR OPERATION AND
MAINTENANCE OF THE SYSTEM OF THE CORPUS CHRISTI MUNICIPAL GAS CORPORATION,
AND THE FURTHER CONSIDERATION OF THE PAYMENT OF $100,000.00 IN CASH, AND
THE FURTHER CONSIDERATION OF THE LEASING OF CERTAIN PROPERTY TO SAID
MUNICIPAL GAS CORPORATION FOR A TERM OF FOUR YEARS, BEGINNING JANUARY
1, 1964, ALL AS SET OUT IN SAID AGREEMENT, A COPY OF WHICH IS ATTACHED
HERETO AND MADE A PART HEREOF.
7114
SECTION 2. THERE IS HEREBY APPROPRIATED AND REAPPROPRIATED
OUT OF GAS FUND IO6, THE SUM OF $100,000.00 OUT OF FUNDS ON HAND,
DERIVED FROM REVENUE OF THE GAS SYSTEM OF THE CITY OF CORPUS CHRISTI,
SAID SUM TO BE PAID TO THE CORPUS CHRISTI MUNICIPAL GAS CORPORATION.
SECTION 3• THE NECESSITY FOR IMMEDIATE EXECUTION.: FOR THE
PURPOSE OF PUTTING INTO EFFECT THE AGREEMENT HEREBY AUTHORIZED CREATES
A PUBLIC EMERGENCY AND AN IMPERATIVE PUBLIC NECESSITY REQUIRING THS`SUS-
PENSION OF THE CHARTER RULE THAT NO ORDINANCE OR RESOLUTION SHALL BE
PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE
OR RESOLUTION SHALL BE READ AT THREE SEVERAL MEETINGS OF THE CITY COUNCIL,
AND THE MAYOR HAVING DECLARED SUCH EMERGENCY AND NECESSITY TO EXIST,
HAVING REQUESTED THE SUSPENSION OF SAID CHARTER RULE,THAT THIS ORDINANCE
TAKE EFFECT AND BE IN FULL FORCE AND EFFECT /FJJJR•'/OO�M/7 AND AFTER ITS PASSAGE,
IT IS ACCORDINGLY SO ORDAINED, THIS THE_ -QS 'DAY OF DECEMBER, 1963.
ATTEST: �}�fAYOR
(/ THE CITY OF CORPUS CHRISTI, TEXAS
CITY SECRETARY
APPROVED AS TO LEGAL FORM THIS
'a? DAY OF DECEMBER, 1963:
CITY ATTaRN
EE:12/27/63
THE STATE OF TEXAS
COUNTY OF NUECES
KNOW ALL MEN BY THESE PRESENTS: THAT CORPUS CHRISTI MUNICIPAL
GAS CORPORATION, A TEXAS NONPROFIT CORPORATION WITH ITS PRINCIPAL OFFICES
IN CORPUS CHRISTI, TEXAS, HEREIN CALLED "GAS CORPORATION ", HAS ENTERED ,
INTO AN AGREEMENT WITH THE CITY OF CORPUS CHRISTI, A MUNICIPAL CORPORA-
TION, HEREINAFTER CALLED "CITY ", TO ADJUST AND LIQUIDATE CERTAIN CLAIMS
FOR CHARGES FOR OPERATION OF GAS CORPORATION'S GAS FACILITIES WITHIN
THE CITY OF CORPUS CHRISTI AND OTHER CONSIDERATIONS HEREINAFTER MENTIONED, ,
AND TO CONVEY AND ASSIGN TO THE CITY OF CORPUS CHRISTI CERTAIN FACILITIES
NOW OWNED BY GAS CORPORATION, AS FOLLOWS:
(1) GAS CORPORATION, FOR AND IN CONSIDERATION OF THE PAYMENTS
AND AGREEMENTS HEREINAFTER SET FORTH, HAS GRANTED, SOLD, ASSIGNED AND ,
CONVEYED, AND BY 'THESE PRESENTS DOES GRANT, SELL, ASSIGN AND CONVEY TO
CITY PORTIONS OF GAS CORPORATIONS GAS DISTRIBUTION SYSTEM SERVING THE
CITY OF CORPUS CHRJSTI AND ADJACENT AREA IN NUECES COUNTY, TEXAS, AND
APPURTENANCES AND'PROPERTIES AS FULLY DESCRIBED IN AND SET FORTH IN
EXHIBIT "A ", ATTACHED HERETO AND SIGNED BY GAS CORPORATION AND CITY FOR
IDENTIFICATION HEREWITH, WHICH EXHIBIT "AR IS ATTACHED HERETO AND MADE
A PART HEREOF FOR ALL PURPOSES AND TO THE SAME EXTENT AS IF-IT WERE SET
OUT IN FULL AT THIS POINT. `
TO HAVE AND TO HOLD THE SAID PROPERTY UNTO SAID CITY, ITS
SUCCESSORS AND ASSIGNS, AND GRANTOR GAS CORPORATION HEREBY BINDS ITSELF
AND ITS SUCCESSORS AND ASSIGNS, TO WARRANT AND FOREVER DEFEND TITLE TO
'THE SAME UNTO GRANTEE CITY AND ITS SUCCESSORS AND ASSIGNS AGAINST EVERY
PERSON WHOMSOEVER LAWFULLY CLAIMING OR TO CLAIM THE SAME OR ANY PART
THEREOF, BY, THROUGH'OR UNDER GRANTOR GAS CORPORATION. ,
(2) IN CONSIDERATION OF THE CONVEYANCE AND BILL OF SALE AND
ASSIGNMENT HEREINABOVE SET FORTH, IN SECTION 1 HEREOF, CITY DOES HEREBY
o '
RELEASE, RELINQUISH AND REMISE THE CLAIM OF ALL ACCOUNTS PAYABLE'FROM '
GAS CORPORATION AS OF DECEMBER 31, 1963, ESTIMATED TO Be ONE HUNDRED
FIFTY THOUSAND TWO HUNDRED FIFTY -SEVEN DOLLARS 0150,257) HERETOFORE
EXISTING FOR OPERATIONAL CHARGES AND EXPENSES AND CERTAIN CONSTRUCTION
EXPENSES 'INCURRED PRIOR TO DECEMBER 31, 1963, AND SAID CLAIM IS HEREBY
• I
IN ALL THINGS CANCELLED.
(3) IN FURTHER CONSIDERATION OF THE CONVEYANCE SET FORTH
IN SECTION I HEREOF, THE CITY AGREES TO PAY, AND HAS PAID, AND THE RECEIPT)
OF SAME IS HEREBY ACKNOWLEDGED AND CONFESSED BY GAS CORPORATION, THE
SUM OF ONE HUNDRED'THOUSAND DOLLARS ($100,000.00) IN CASH.
(4) IN FURTHER CONSIDERATION FOR THE CONVEYANCE SET FORTH
IN SECTION I HEREOF, THE CITY DOES HEREBY LEASE TO GAS CORPORATION FOR
A TERM OF FOUR (4) YEARS BEGINNING JANUARY 1, 1964, AND ENDING JANUARY .•.w
1,,1968, ALL OF THE FACILITIES DESCRIBED IN EXHIBIT "Au ATTACHED HERETO
AND SITUATED IN NUECES COUNTY, TEXAS, ON THE FOLLOWING TERMS AND CONDITIONS:*--
- A.- THE CITY WILL MAKE NO CHARGE FOR OPERATION OF THE ABOVE
DESCRIBED PORTION OF THE SYSTEM OF GAS CORPORATION UNDER THE TERMS OF THE
OPERATING AGREEMENT NOW IN FORCE AND EFFECT FOR ANY OPERATING, MAIN-
TENANCE, ACCOUNTING AND COLLECTION CHARGES EXCEPT THAT THE CITY WILL
NOT ASSUME THE PAYMENT AND WILL NOT WAIVE ANY PAYMENTS IN LIEU OF PROPERTY
TAXES NOR PAYMENTS IN LIEU OF CITY FRANCHISE TAXES NOR ANY FRANCHISE
TAXES.
B. CITY WILL PROVIDE EXTENSIONS WHERE NEEDED TO FURNISH
GAS FROM THE DISTRIBUTION LINES HEREIN LEASED BY THE CITY TO GAS
CORPORATION. '
C. GAS CORPORATION SHALL CONTINUE TO MEET ALL OBLIGATIONS
UNDER ITS GAS PURCHASE AGREEMENTS AND ITS PAYMENTS IN LIEU OF PROPERTY
TAXES, PAYMENTS IN LIEU OF CITY FRANCHISE TAXES AND CITY FRANCHISE TAXES.
D. THIS LEASE SHALL CONTINUE FOR A TERM OF FOUR (4) YEARS,
JANUARY ANUARY 1, 1964, TO .JANUARY 1, 1968.
WITNESS OUR HANDS IN DUPLICATE, EACH OF WHICH SHALL BE CON-
SIDERED AN ORIGINAL, THIS .THE DAY OF DECEMBER, 1963, BY THE
DULY AUTHORIZED OFFICERS OF THE RESPECTIVE PARTIES HERETO.
CORPUS'CHRISTI MUNICIPAL
ATTEST: GAS COWOFAT ION
t BY
SECRETARY PRESIDENT
-2-
CITY OF CORPUS CHRISTI
ATTEST:
BY
HERBERT W. WHITNEY
CITY SECRETARY CITY MANAGER
APPROVED AS TO LEGAL FORM THIS
DAY OF DECEMBER, 1963:
CITY ATTORNEY ,
APPROVED:
DIRECTOR OF FINANCE
JKH:12 -27 -63 . .
EXHIBIT "A"
TO
CONVEYANCE AND BILL OF SALE
FROM THE CORPUS CHRISTI MUNICIPAL GAS CORPORATION
•_TO THE CITY OF CORPUS CHRISTI,
ITEM N0. ONE: ALL THAT CERTAIN PIPE LINE (CONSISTING OF 6 -INCH AND 4 -INCH
PIPE) BEGINNING'WITH 6-INCH PIPE AT A POINT OF CONNECTION WITH A VALVE
(CONNECTING TO AN ABOVE- GROUND MANIFOLD) LOCATED'JUST NORTH OF THE TEXAS -
'MEXICAN ROBSTOWN- CORPUS RAILROAD TRACKS AT A POINT OF INTERSECTION WITH A
12 -INCH PIPE LINE OFICOMPANY RUNNING ALONG COUNTY ROAD 43 ALSO KNOWN•AS
CORN PRODUCTS ROAD) THENCE RUNNING APPROXIMATELY 7,000 FEET INCA WESTERLY
DIRECTION BEING PARALLEL AND NORTH OF SUCH RAILROAD TRACKS TO A JOINDER
WITH ANOTHER 4 -INCH PIPE CROSSING SUCH TRACKS AND HIGHWAY 44 AT RIGHT
ANGLES, THENCE TO THE SOUTHERLY BOUNDARY OF HIGHWAY 44; THENCE, AT RIGHT
ANGLE, IN A WESTERLY,DIRECTION AND PARALLEL TO HIGHWAY Y4 FOR APPROXIMATELY
10,000 FEET TO THE DOWNSTREAM CONNECTION WITH COMPANY'S MEASUREMENT AND
DELIVERY.FACILITIES FROM GLENN HUMPHRY AND SONS GAS WELLS; AND THERE BEING
ALSO INCLUDED A SHORT 4 -INCH LATERAL TO THE DOWNSTREAM CONNECTION WITH
COMPANY'S MEASUREMENT AND DELIVERY FACILITIES FROM DBK OIL & GAS COMPANY;
AND THERE BEING ALSO INCLUDED ANOTHER 4 -INCH PIPE LINE SITUATED ON THE
NORTHERLY RIGHT OF WAY OF TEXAS - MEXICAN RAILWAY AND PARALLEL THERETO THE
TERMINUS OF SUCH LINE AND BEING THE SAME PROPERTY DESCRIBED AS ITEM 2(C)
IN THAT CERTAIN CONVEYANCE AND BILL OF SALE FROM HOUSTON NATURAL GAS CORPO-
RATION DATED DECEMBER 28, 1962. ,
ITEM No. Two: ALL THAT CERTAIN PIPE LINE (CONSISTING OF 6 -INCH AND 4 -INCH
PIPE) BEGINNING AT THE EAST PROPERTY LINE OF COMPANY'S SAVAGE LANE STATION
SITE (DESCRIBED IN DEED RECORDED IN VOL- 315, P. 4Y6, NUECES COUNTY DEED
RECORDS) AND THENCE RUNNING SOUTH ALONG SAVAGE LANE, THENCE CROSSING
SAVAGE LANE AND RUNNING IN AN EASTERLY DIRECTION TO THE TERMINUS OF SUCH
PIPE LINE ON THE PROPERTY OF SOUTH TEXAS COTTON OIL PLANT AND BEING THE
SAME PROPERTY DESCRTBED AS ITEM 2(D) IN THAT CERTAIN CONVEYANCE AND BILL
OF SALE FROM HOUSTON NATURAL GAS CORPORATDN DATED DECEMBER 28, I962.,
I
ITEM NO. THREE: ALL THAT CERTAIN 2 —INCH PIPE LINE, BEGINNING AT A CONNEC-
TION OF COMPANY'S12 -INCH PIPE LINE (RUNNING NORTH AND SOUTH ALONG COUNTY
ROAD 41) AND EXTENDING IN A WESTERLY DIRECTION FOR A DISTANCE OF APPROXI-
MATELY 2,767 FEET TO THE SPUR LINE OF TEXAS — MEXICAN RAILROAD COMPANY, ON
THE SITE OF THE WUENCHE GRAIN ELEVATOR AND BEING THE SAME PROPERTY
DESCRIBED AS ITEM 2(E) IN THAT CERTAIN CONVEYANCE AND BILL OF SALE FROM
HOUSTON NATURAL GAS CORPORATION DATED DECEMBER 28, 1962.
ITEM N0. FOUR: ALL THE GAS DISTRIBUTION FACILITIES EAST AND SOUTH OF
CANTWELL LANE, NORTH AND EAST OF BALDWIN, SOUTH OF HIGHWAY 44 AND MORE
THAN ONE— FOURTH MILE NORTH AND WEST OF OLD BROWNSVILLE ROAD.
SIGNED FOR IDENTIFICATION
CORPUS CHRISTI MUNICIPAL
GAS CORPORATION '
BY
e PRESIDENT
CITY OF CORPUS CHRISTI
BY
CITY MANAGER
'i
CORPUS CHRISTI, TEXAS
'�LDAY OF
TO THE MEMBERS OF THE CITY COUNCIL
CORPUS CHRISTI, TEXAS
FOR THE REASONS SET FORTH IN THE EMERGENCY CLAUSE OF THE FORE-
GOING ORDINANCEx A PUBLIC EMERGENCY AND IMPERATIVE NECESSITY EXIST FOR
THE SUSPENSION OF THE CHARTER RULE OR REQUIREMENT THAT NO ORDINANCE OR
RESOLUTION SHALL BE PASSED FINALLY ON THE DATE IT IS INTRODUCED, AND THAT
SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE MEETINGS OF THE CITY
COUNCIL; 1, THEREFORE, HEREBY REQUEST THAT YOU SUSPEND SAID CHARTER RULE
OR REQUIREMENT AND PASS THIS ORDINANCE FINALLY ON THE DATE IT IS INTRO -
DUCED, OR AT THE PRESENT MEETING OF THE CITY COUNCIL.
RESPECTFULLY,
/2v
/,04AYOR - I -
THE CITY OF CORPUS CHRISTI, TEXAS.
s
THE CHARTER RULE WAS SUSPENDED BY THE FOLLOWING VOTE:
JAMES L. BARNARD
JAMES H. YOUNG
JACK R. BLACK MON
JOSE R. DELEON
M. P. MALDONADO
W. J. ROBERTS C - - -�
W. H. WALLACE, JR. ( \
THE ABOVE ORDINANCE WAS PASSED BY THE FOLLOWING VOTES
JAMES L. BARNARD
JAMES H. YOUNG
JACK R. BLACKMON L \
JOSE R. DELEON /1
M. P. MALDONADO
W. J. ROBERTS
W. H. WALLACE, JR. j