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HomeMy WebLinkAbout02476 ORD - 03/01/1949TITLE OF AN ORDINANCE GRANTING A FRANCHISE , TO HOUSTON NATURAL GAS CORPORATION An Ordinance of the City Council of the City of Corpus Christi granting to Houston Natural Gas Corporation the right, privilege and franchise to construct and operate gas pipes and mains along the streets, avenues, alleys and public places of a portion of the City of Corpus Christi,fiWly described in such Ordinance for distribu- tion and sale of natural gas - providing that work be done under supervision of City Engineer - providing for extensions to new customers - reserving to City the right of regulation - providing for gas of good quality - prohibiting interference with drainage - providing that said franchise is not exclusive - reserving to City the right to inspect meters - prohibiting interference with sewers and other pipes and drains - reserving right to r City to repair street. at Corporation's cost in event of unreasonable delay - requiring removal of rubbish and material - subjecting work of refilling and repairing ex- cavations and streets to supervision of City Council - limiting interference with use of streets for travel - reserving to City full regulatory powers - providing for bond - reserving to City right to decide conflicting rights under this franchise and other franchises - re- quiring r.locatioa of pipe. to accommodate public works - reservation of lien by City to secure monies due City under franchise and for taxes - providing 7¢7('` franchise shalt not impair right of City to prescribe cbarges. - prescribing consideration for franchise - providing fox payment by said .Corporation to City of t— per cant (Z %) of gross receipts from sale of gas in territory covered by and included in this franchise - requiring amm�al statement in City - requiring proper maintenance of pipeage system - prescribing term of freacivtse and option of City to purchase physical Properties of the Corporation and prescribing basis for valuation - prescribing terms of forfeiture - re- serving right to City to regulate Corporation - sub- jecting books and records of Corporation to esamfn- stioa and inspection - making franchise binding on Cor- porai3on's successors or assigns - repealing ord#n- eacea and portions thereof in conflict herewith, and &dAg generally the rights of the parties under such franchise and f dng penalties. BE IT OR13AIMED By THE Crry COUNCIL OF THE CITY OF CORPUS CHRWL- SECTION L There is hereby grantad.to Roast_ Nat- ural Gas Corporation, a Texas corporatioa with its domicile and principal place of business at Houston, in Harris County, Texas, hereinafter referred to as Grantee, its successors and assigns, subject to the teems and conditions hereof, the right, privilege and franchise to construct, extend, operate and maintain, from t m is time and -]%U nously during the term hereof, a plant and pipeage system, iucludi.,g all, lines, connections and other equipment nec- essary and incident thereto. for the distribution and sale of natural gas to the people residing in and the industrial, Caminereial, edu- catioasl and other institutions located in the portion or portions of the City of Corpus Christi as designated and described in , SgCTION 3 hereof at such rates as the City Council of the City of Corpse Christi shall make, from time to time, and for the transportation and sale by Grantee of natural gas in, into and through the portion or por- tions of the City of Corpus Christi designated and described in SEC- TION 3 hereof, upon, beneath, over and across the streets, avenues, thoroughfares, bridges, streams, alleys, parks, lanes and squares of said City of Corpus Christi located in the territory designated and described to SECTION 3 hereof, upon the -auditions and stipulations set forth in this ordinance. SECTION Z. Throughout this ordinance the Houston Natural Gas Corporation is referred to as "Grantee*', the City of Corpus Christi is referred to as "The City ", and the City Council of the City of Corpus Christi is referred to as "City Council', and shall, be so understood. SECTION 3. The territory within said City covered by this franchise and to which the franchise is applicable fs described as follows. to -wit: AREA ONE Beginning at a point OR the South boundary The of Doddridge Street and Shomlin.e of Corpus Christi Say, same being 100 fact N. See 54' E, of the Northee.st comer of 8ydc Park Additiom Thence in a Southwesterly direction. with the South boundary line of Roddridge Street to the East houndary Tine of Alameda Drive; Thence in a Southeasterly direction with the East boundary line of Alameda Drive to the west bounder, line of Everhart Road; Thence in a. Southwesterly direction with the West boundary line of Everhart Road to a point Opposite the Southwest corner of Lot 1, Section 2, of the Flour Sluff and Fmcinat Farm and Garden Tracts; Thence in a southeasterly direction. with the South boundary line of Lot 1, .section Z, Flour Sluff and Fun- C4­1 Farm and Garden Tracts, same being the South boundary liae of Alameda Park Addition, to a point 150 feet East of the center -line of Everhart Road, the pres- ent City Limits Line; Thence and following the present City Limits Line in a Northeasterly direction parallel to and 150 feet East of the centerline of Everhart Road to the North boundary tine of Section t of Flour Sluff and Formal Farm and Garden Tracts; Thence in a Southeasterly direction with the pres- ent City Limits Une and the North property line of Sections 2 & 14, same being the centerline of Alameda Drive and Alameda Drive projected, to the Northwest corner of Lot 5, Section 14, Flour Sluff and Fnrinn; Farm and Garden Tracts; Thence in a Southweaterly direction with the pres- ent City Limits Line to the southwest corner of Lot 5, section.. 14, Floor Sluff and r,,,.4,.,.1 Farm and Garden Tracts; Thence in a Southeasterly direction with the pres- ent City Limits Line to the Southeast Corner of Lot 5, Section 14, Flour Bluff and Eaciaal Farm and Garden Tracts; Thence in a Northeasterly direction with the pres- ent City Limits Line to the Northeast corner of Lot 5, Section 14, Flour Sluff and Fncine; Farm and Garden Tracts; Thence in a Southeasterly direction with the North property line of Sectioas 14 & 17, Floor SluiF and Eacia- al Farm and Garden. Tracts, and with the present City Page 2. T.1 —it. Lire to the West hank of Cayo Del Oso; Thence in a Northwesterly direction following the mean of the West bank of Cayo Dal Oso and the present City Limits ie to its intersection with Cor- pus Christi $ayl Thence fn a Northwesterly direction with the shoreliaa of Corpus Christi Bay to the South boundary line of Doddridge Street, the place of beginning. AREA TWO Beginning at a point In the present City Limits Lime 180 feet South of the centerline of G llihar Road and opposite the East boundary line of Carroll Lane; Thence In a Northeasterly direction with the East boundary line of Carroll Lase to a point 185 feet North of the North boundary line of Houston Street; Thence in a Northwesterly direction with a line that is 185 feet North of and parallel to the North boundary line of Houston Street to a point in the Sout$- east boundary line of the Lora I4eespies Eat 51.6 acre tract, "out of the Lewis and Willard Tract"; Thence in a Southwesterly direction with the Southeast boundary line of the Lora Meespies Est. 51.6 acre tract and the Northwest boundary line of the Guat Heys .Subdivision, to the North boundary line of Horne Rnad; Thence in a Northwesterly direction with the North boundary line of Horne Road to a point in the South boundary line of Cliff Mans Municipal Airport; Thence fn a Westerly direction with the South boundary line Of Cliff Maus Municipal Airport to the Northeast corner of Lot 8, Section 5, Range 9, Gugen- heim and Cohn Farm Lots, same being a point in the present City Limits Line; Thence in a Soutti erly direction with the East property him of Lots S. 9. & 16, Section 5, Range 9. Gugenheim and Cohn Farm Lute. and following the present City Limits Tine to a point 180 feet South of the centerline of Gollikar Read projected; Thence ina Southeasterly direction with a line that is 180 feet South of and parallel to the centerline of Gollihar Road, said line being the present City Limits T,s,.,. to the East boundary lime of Carroll Lam, the place of beginning. It is specifically naderstood that the franchise granted hereby relates to and covers only the above described portion or portions of said City and the rights and privileges granted hereby are applicable to Page 3. such territory only and no other portion or portions of said City. SECTION 4. Grantee, subject to the performance by it of all obligations herein assumed by it, shall have the right, subject to the Charter and Ordinances of The City, and the terms and conditions hereinafter set forth, to extend, replace and repair its pipesge system now in use and hereafter constructed coextensive with the limits of the territory described in SECTION 3 hereof, bat shall restore the streets upon which the pipes are extended, replaced, repaired or constructed, putting them in as good condition as before. Grantee shall be required, before doing any work in the streets, to first notify the City Engineer Of its intention to do so{ all such work shall be done under approved specifications and supervision of said Engineer. To this end, The City hereby grants and concedes to Grantee the right and privilege to enter upon, and to construct, operate and maintain its mains and pipes in, upon, across and along any and all of the streets, squares, perks, lanes, alleys and public thoroughfares of The City, and over and across any stream or streams, bridge or bridges, owned or controlled by The City, when approved by the City Engineer, and to take up paving and sidewalks in and upon said streets, alleys, and lanes, and over and across any stream or bridge, and to make such excavations as may be necessary, and to take up, construct, repair, replace, operate and main- tain its pipes and lines in, along, over and across the same, such rights and privileges being restricted, however, to the territory described in SECTION 3 hereof. All excavations made in any of said streets, lanes, alleys and bridges ahall be done in such a manner as to give the least inconvenience to the public, all work shall be done speedily and all ex- cavations and openings shall be replaced in good condition at the cost and expense of Grantee, and to the satisfaction of City Council. Page 4. This grant and franchise to so use the streets, alleys, lases and avenues is based upon and the consideration therefor is the sum of Five Thousand ($5,000.00) Dollars paid by Grantee to said City and the further consideration of the strict performance by Grantee of all of the obligations undextakea by it under the terms and provisions of this franchise. SECTION 5. Grantee shall extend its pipes within the terri- tory described in SECTION 3 hereof and shall furnish services, from time to time, as City Council may demand, upon a showing that one new customer for gas for every one hundred feet (100') of new exten- sion has agreed in writing to take and use gas on such extension. SECTION 6. In granting this franchise The City does not waive its regulatory powers, or any other rights, under its Charter as it now exists, or as it may be amended hereafter, nor any of its rights under the laws, present and future, of the State of Texas, nor any of its rights under present or future Ordinances of said City. SECTION 7. Grantee shall furnish gas of a good, high grade, first class quality, as ascertained and determined, from lime to time, by the City Council under its present or future regulatory Powers. SECTION S. Grantee shall not impair in any manner the na- tural or artificial drainage of The City or its underground fixtures, and in crossing any stream with its lines it shall do so in such manner as not to impair navigation or the natural drainage of the stream, and to the satisfaction of the City Council. SECTION 9. The rights herein granted shall not be exclus- ive and The City reserves the power to grant like rights for similar uses, subsequent grants, however, not to interfere unreasonably with the proper exercise of the rights and privileges herein granted, and Page 5. a further reserves the right to extend its own lima and distribute gas in the territory covered by this franchise. SECTION 10. Grantee's meters shall be subject, at all reasonable times., to inspection by the authorized agents of The Cite. Grantee shall be subject to all or,te,.a., a now is force and all ordin- ances that may be hereafter passed by the City Council. SECTION IL In making extensions or repairs to its pipeage system Grantee shall not interfere with any sewer, water or heating pipes or public or private drains in any street, highway or alley, nor shall the same be disturbed or molested in any manner ex- cept with the consent and undex the direction of the City Council. SECTION 12. If, in the opinion of the City Council, there is an nnxeassnahte- delay.by =Grantee in restoring streets, highways, bridges, etc., after excavations, repairs and extensions have been made, The City shall have the right to restore or repair same and to require Grantee to pay the reasonable coat thereof. SECTION 13. All dirt, rubbish and material left after the streets, highways or alleys have been restored or repaired by Gran - tee shall be removed by it at once. If, after such restoration or re- pairing, the places excavated and refilled become depressed or sink because of work done by Grantee so as not to be in as good condition as before the excavations were made, then, and in such event, Grantee shall again, and from time to time, as necessary, restore said streets, highways or alleys so that same shall be in as good condition as before the excavations were made, and upon Grantee's failure so to do the City Rh-11 have the right to make such restorations, for the reasonable cost of which Grantee shall be liable to The City, SECTION 14. In the construction, maintenance and repair Of its lines, Grantee, without express consent of City Council, shah not permit the existence of any —MI Ied excavation or ditch is excess Page b, of a d9..,1,.,...e of five hundred feet (500' ) oa any public trect. allay. thoroughfare or other public place. Any work being done, whether extensions or repairs, necessitating the excavating or tearing up of a street shall be done with all reasonable dispatch and in such man- ner as not to interfere ^nnecessarfly with the use of the street for travel. SECTION 15. The enumeration herein of special duties required of Grantee shall not be construed as a limitation of tba powers and duties conferred upon The City by its Charter, the laws of the State of Texas and all present and future ordinances, and Grantee shall perform all duties required of it by the Charter and all valid Ordinances of The City and the lawa of the state of Texas. BECTMN 16, if Grantee, in laying its pipes, comes in con- flict with the rights of any other person or corporation having a fran- chise from The City, the City Council shall decide all questions con- cerning any conflicting rights o£ the respective parties, and shall de- termine the location of the structures of said parties and what cbanges, if any, should be glade and at whose coat, and shalt reconcile the dif- ferences of the parties in such matter. SECTION 17. 9 The City, in contracting its sawers, streets or other public works, should require any pipe or pipes of Grantee to be shifted or relocated, such pipe or pipes shall be prompt- ly shifted or relocated by Grantee, at its awn expense as a i whoa re- quired by The City. SECTION 18. For any and all moneys which may be just- ly due, or become due, to The City, under the provision of this ordin- a„^°, as well as any lawful taxes which may be imposed and become due and payable to The City upon this franchise, or any other property of Grantee, situated within the corporate limits, The City shall have a valid and enforceable lien upon all of Grantee's property as well as Page 7. 10 the franchises and rights herein granted. SECTION 19. If any pipe or other equilunent of Gran- tee should get out of order or in bad condition, so as to affect or threaten to affect the public health, safety, or conveniences of the Public, Grantee, an request of the City Council, will restore same to good condition; and upon Grantee's failure so to do, The City sha11 have the right to remove such pipe or equipmeat, or put the same in good condition, for the reasonable cost of which Grantee shall be liable. M. CTION 20. in granting this franchise The City re- serves its rights to regulate all public utilities, including Grantee, and to regulate the rates or charges for services within The City agreeable to the Constitution and laws of the State of Texas. SECTION 21. As further consideration for the granting of this franchise, Grantee shall pay to The City annually, during the period of this franchise, two per cent (2 %) upon its annual gross re- ceipts from the sale of gas within the territory covered by this fran- chise, such payment to be made on or before sixty (60) days after the end of each calendar year. SECTION 22. Grantee sha11 furnish, on or before sixty (60) days after the closing of each calendar year during the life of this franchise, to the City Council, a written statement showing its gross receipts from the sale of gas in the territory covered by this franchise, for the previous calendar year, and Grantee sha11 simul- taneously with the furnishing of the aforesaid statement, make pay- ment to The City of the two per cent (2%) of the gross receipts as pro- vided for in the preceding section. The books of the Grantee shall be subject, at all times, to inspection by the City Council and other au- thorised City officials. SECTMN 23. At any time after ten (10) years from the ef- feeiive date of this franchise, The City, at its option, may purchase the Page 8. gas distribution lines of Grantee then owned and used by it within the then corporate limits of The City, including service lines, meters, house regulators and other property used in connection with the dis- tribution of gas in The City and situated within its corporate limits, at the then fair and reasonable value thereof. If The City elects to exer- cise its option aforesaid the fair and reasonable value of such property shall be determined by agreement between Grantee and the City Council. In the event Grantee and the City Council cannot agree upon the fair and reasonable value of said property such veins sha1,1 be determined by a Board of Arbitrators consisting of five (5) members, two (2) of such mem- bers to be selected by Grantee, two (2) of such members to be selected by the City Council and the fifth (5th) member to be selected by the four (4) members so selected by Grantee and the City Council. in the event the four (4) members so selected. by Grantee and the City Council cannot agree upon a fifth (5th) member then such fifth (5th) member of said Board of Arbitrators shall be selected by the Senior judge of the United States District Court in and £or the District is hick the City of Corpus is then .- situated. The five (5) members of the Hoard of Arbitrators shall then fix the fair and reasonable value of said properties and Grantee and The City agree to abide, and be bound, by the value so flsed by the Board of Arbitrators, and a decision by a majority of said Board of Arbitrators -ball be considered the decision of said Board. In fixing such value, as herein provided, Grantee shall not be entitled to any payment or vaiue- tioa beoenae of value derived from the fraacmae b—in granted, or the fact that Grantee may, at the time of said valuation, be a going concern du- 13r installed and operating. The City shall give Grantee six (6) months written notice of its election to exercise the option hereby created. SECTION 2A. In addition to the rights, privileges, and fran- chise granted to Grantee, a- bereinabove set forth, Grantee is hereby Page 9. granted the right of ingress and egress for the purpose of operating, maintaining, repairing, and replacing that portion of Grantee's gas' transmission line located within the corporate limits of The City, which transmission line Grantee is new using for the purpose of serving the areas described herein and areas beyond the present City Limits,includ- ing the U. S. Naval Lair Training Station. SECTION 25. The rights, privileges and franchise herein granted to Grantee shall extend to and include its successors and assigns, and the terms, conditions, provisions, requirements, and agreements in this ordinance contained, and each of them, shall be binding upon the suc- cessors and assigns of Grantee. No assignment of this franchise, howev- er, shall be binding upon the City without its consent and approval thereof having been obtained. SECTION 26. Grantee shall file with The City, within twenty, (20) days after the final passage of this Ordinance, its bond and obliga- tion, to be approved by the Mayor, in the sum of Twenty -five Thousand ($25,000.00) Dollars, conditioned that no excavations shall be made un- necessarily, and that any and all excavations made or obstructions placed in any street, alley or public grounds of The City, under this franchise, shall at all times be properly guarded by Grantee, and any and all pave- ments, sidewalks and intersections that may be opened or torn up by Grantee shall be replaced speedily, properly and safely, with all reason- able dispatch and in first class manner, and such obligation shall be re- newed when and as often as the City Council shall require. SECTION 27. If Grantee fails to maintain its plant and pipeage system, including all of its lines, connections and other equipment in good condition, or fails to operate the same with efficiency and at reason- able rates, or if Grantee fails to comply with the provisions of We fran- chise, such failure to be judicially determined, then at the option of the City Council the Grantee shall forfeit and surrender all the rights, fran- chises and privileges herein granted, and the same shall thereupon imme- diately terminate; the power here given to forfeit the franchise herein Page 10. granted is in addition to powers reserved or given to The City by oth- er parts of this ordinance and by the Charter of said City and the laws of the State of Tax—, and this section shall not be construed as limit- ing or restricting such other powers. SECTION 28. All ordinances and parts of ordinances which in any manner conflict with the provisions of this ordinance are hereby repealed insofar as they may be in conflict with this ordinance or any part thereof. SECTION 29. upon the faithful compliance by Grantee with the terms and conditions of this ordinance, Grantee shall have and en- joy the rights, powers and privileges herein granted for a term ending and expiring twenty -five (25) years from and after the effective date of this ordinance. SECTION 30. Simultaneously with the final passage of this ordinance Grantee has filed its written acceptance of same with the City Secretary. SECTION 31. This Ordinance shall be effective immediately upon its passage and approval as provided by the City Charter and upon Grantee filing and the Mayor approving the Bond as provided for in SECTION 26 hereof. The foregoing Ordinance was read the first time and passed to the second reading on the _ S— day of , 1949, by the following vote: Wesley E. Seale George R. Clark, Jr. John A. Ferris R. R. Henry Joe T. Dawson The foregoing Ordi a o was read a second time and passed to the third reading on the ,0t:P- dap of r;22a�� f/ G_, 1949, by the following vote: - ll - Wesley E. Seale George R. Clark, Jr. John A. Ferris R. R. Henry, Joe T. Dawson The foregoing Ordinance was read third lime and passed and ordered approved by the Mayor, on the /— day of 1949, by the following vote: Wesley E. Seale George R. Clark, Jr. John A. Ferris R. R. Henry Joe T. Dawson APPROVED this _� day of , 1949. MAYO City of Corpus Christi, Texas. ATTEST: ity 7y APPRYO /� )gJgAS TO /T'L'GT" FORM: City Attorr. U ''m HOUSTON NATURAL GAS CORPORATION [{O gPUH 0 -18TI, TE%AB Nro MM Po Rutbafad, Olty Atwrm 2mg., (4) GmVflmtG fm 09 dUm Of ths SG=et*7 Ot ftufftfm latua On OWpmtlm dded fthnwy 250 1949, uborda the 8002d of Dinctm of the tIon at a most- Ift h93A an Fe r7 19, 1949P watUled and approved the C*amhlw Wanted T' tha altv to Cm conqraw. Y e CHF/M.ft fte2malm (5) Mr. R. 8. mm, alty VARUM city an Garpum CbrlsU, Temo Mr. mt A. ftVf Jr. 0 01tv s8mtu7 city Kau OMPO ObvistA, Tema HOUSTON NATURAL OAS CORPORATION CORPUS CHRISTI, TEXAS MqWdh 34 IM LMF:hm 2 -23 -49 ACCEPTANCE OF FRANCHISE THE STATE OF TEXAS i COUNTY OF NUECES KNOW ALL MEN BY THESE PRESENTS, That Houston Natural Gas Corporation, a corporation organized and existing under and by virtue of the laws of the State of Texas, having its domicile and princi- pal office in the City of Houston, Harris County, Texas, but maintain- ing an office in the City of Corpus Christi, Nueces County, Texas, does hereby accept that certain franchise, and all the terms and provisions thereof, granted to said Houston Natural Gas Corporation by the City of Corpus Christi, Nueces County, Texaa, by Ordinance No. 2.'y" I � , finally passed and approved by the City Council of the City Of Corpus Christi on March 1, 1949, after having been authorized by the qualified voters of said city at a special election held for such purpose on Febru- ary 12, 1949, which special election was duly called and held in accord- ance with the provisions of the Charter of the City of Corpus Christi and the laws of the State of Texas as fully appears in the records of said city, to which reference is here made: said Houston Natural Gas Corpor- ation does herewith pay to the City of Corpus Christi the sum of Five Thousand ($5,000.00) Dollars as provided in Section 4 of said franchise and herewith tenders its bond in the sum of Twenty -five Thousand ($25,000.00) Dollars in accordance with Section 26 of said franchise, and hereby files this its acceptance of said franchise as provided in Sec- tion 30 thereof, and agrees to perform and be bound by all of the terms and provisions of said franchise as finally passed and approved by the City of Corpus Christi as above mentioned. WITNESS the hands of the officers and official seal of the said Houston Natural Gas Corporation this the I4W day of March, A.D. 1949. HOUST9N NAT CORPORATION ATTEST: `a By ! i-✓ / L1 'r resident. Assistant Secretary. Receipt of the foregoing Acceptance of Franchise together with the sum of Five Thousand ($5,000.00) Dollars and bond refer- red to therein, which bond has been duly approved by the Honorable Wesley E. Seale, Mayor of the City of Corpus Christi, is hereby ac- knowledged this the ��� day of March. 1949. APPRb};F,.� TO F�RJ�oI: v Ty AtbDrney. ZtF ?4 il�ecretarp.