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.