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HomeMy WebLinkAbout09083 ORD - 10/16/1968IMS:JKH:10- 14 -68' ? r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tt,13AY OF OCTOBER, 1968. ATTEST: I- ITY SECRETARY APPROVED: DAY OF OCTOBER, 1968: i12 CITY ATT RNE DICK CITY OF CORPUS CHRISTI, TEXAS THE STATE OF TEXAS COUNTY OF NUECES 4 WHEREAS, CORPUS CHRISTI MUNICIPAL GAS CORPORATION, HEREINAFTER CALLED "MUNICIPAL GAS," IS THE OWNER OF CERTAIN RESIDENTIAL, COMMERCIAL, AND INDUSTRIAL GAS CUSTOMERS LOCATED OUTSIDE OF THE CITY OF CORPUS CHRISTI, AND RELATED FACILITIES NECESSARY TO SUPPLY THOSE CUSTOMERS; AND WHEREAS, THE CITY OF CORPUS CHRISTI, HEREINAFTER CALLED "CITY,", IS PRESENTLY PROVIDING WATER SERVICE TO MANY OF THESE SAME CUSTOMERS AND IT WOULD BE CONVENIENT AND ECONOMICAL FOR THE CITY ALSO TO PROVIDE GAS SERVICE TO THESE CUSTOMERS; AND WHEREAS, MUNICIPAL GAS DESIRES TO LEASE SAID CUSTOMERS TO CITY: NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS, THAT THE FOLLOWING AGREEMENT IS ENTERED INTO BY AND BETWEEN THE PARTIES HERETO: 1. CITY HEREBY LEASES ALL THE EXISTING AND FUTURE FACILITIES OF MUNICIPAL GAS LOCATED OUTSIDE OF EXISTING CITY LIMITS OF CITY. IT IS UNDERSTOOD THAT THESE FACILITIES PRESENTLY INCLUDE APPROXIMATELY 247 ACTIVE METERS AND 64 INACTIVE METERS. 2. THIS LEASE SHALL BE EFFECTIVE NOVEMBER 1, 1968, AND TERMINATE AS OF OCTOBER 31, 1970. THIS LEASE SHALL BE AUTOMATICALLY EXTENDED FROM MONTH TO MONTH UNLESS CANCELLED BY EITHER PARTY BY WRITTEN NOTICE AT LEAST THIRTY (30) DAYS PRIOR TO THE EFFECTIVE DATE OF CANCELLATION. 3. MUNICIPAL GAS WILL CONSTRUCT ALL EXTENSIONS AND IMPROVEMENTS TO THE SYSTEMS HEREIN LEASED AND SAID EXTENSIONS SHALL REMAIN THE PROPERTY OF MUNICIPAL GAS. 4. CITY GUARANTEES THAT IT WILL PROVIDE GAS SERVICE TO THE EXIST- ING AND FUTURE CUSTOMERS SERVED BY THE SYSTEM BEING LEASED AND WILL CHARGE SAID CUSTOMERS THE SAME RATES AS ARE PRESENTLY BEING CHARGED OTHER CUSTOMERS OF THE CITY IN LIKE CLASSIFICATIONS OF CUSTOMER. 5. CITY WILL PAY MUNICIPAL GAS TWENTY -FIVE DOLLARS ($25.00) PER ACTIVE ACCOUNT PER YEAR. PAYMENT BY CITY TO MUNICIPAL GAS WILL BE PAID ON A MONTHLY BASIS WITHIN TWENTY (20) DAYS AFTER THE END OF EACH MONTH AND WILL BE ONE- TWELFTH (112) OF $25.00 TIMES THE AVERAGE NUMBER OF ACTIVE CUSTOMERS FOR THAT MONTH. `f 6. IT IS UNDERSTOOD THAT THIS LEASE INCLUDES PROPERTIES OF MUNICIPAL GAS LOCATED IN AREAS 1, Z AND 3. MUNICIPAL GAS WILL BILL CITY SEPARATELY FOR THE AVERAGE NUMBER OF ACCOUNTS IN AREA 3 AND THE AVERAGE NUM- BER OF ACCOUNTS IN AREAS 1 AND Z. EXECUTED IN DUPLICATE, EACH OF WHICH SHALL BE CONSIDERED AN ORIGINAL, THIS THE DAY OF OCTOBER, 1968. ATTEST: CORPUS CHRISTI MUNICIPAL GAS CORPORATION BY SECRETARY PRESIDENT ATTEST: CITY OF CORPUS CHRISTI BY CITY SECRETARY R. MARVIN TOWNSEND CITY MANAGER APPROVED: DAY OF OCTOBER, 1968: CITY ATTORNEY r > TO THE MEMBERS OF THE CITY COUNCIL CORPUS CHRISTI, TEXAS CORPUS CHRISTI, TEXAS p � /6y- DAY OF U1�.L'..r!.B..At..Qy�� 1966 . FOR THE REASONS SET FORTH IN THE EMERGENCY CLAUSE OF THE FOREGOING ORDINANCE, A PUBLIC EMERGENCY AND IMPERATIVE NECESSITY EXIST FOR THE SUSPEN- SION OF THE CHARTER RULE OR REQUIREMENT THAT 140 ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE IT IS INTRODUCED, AND THAT SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE 14EETINGS OF THE CITY COUNCIL; I, THEREFORE, REQUEST THAT YOU SUSPEND SAID CHARTER RULE OR REQUIREMENT AND PASS THIS ORDI- NANCE FINALLY ON THE DATE IT IS INTRODUCED, OR AT THE PRESENT Id EETING OF THE CITY COUNCIL. RESPECTFULLY, jdAYOR THE CITY OF CORPUS CHRISTI, TEXAS THE CHARTER RULE WAS SUSPENDED BY THE FOLLOWING VOTE: JACK R. BLACKMON RONNIE SIZEMORE - I V. A. "DICK" BRADLEY, JR. P. JIMENEZ, JR., M.D. a-c L� ff GABE LOZANO, SR. KEN MCDANIEL W. J. "WRANGLER" ROBERTS THE ABOVE ORDINANCE WAS PASSED BY THE FOLLOWING VOTE: JACK R. BLACKMON v RONNIE SIZEMORE V. A. "DICK" BRADLEY, JR. C P. JI'MENEZ, JR., M.D. GABE LOZAN O, SR. KEN MCDANIEL W. J. "WRANGLER" ROBERTS