HomeMy WebLinkAbout02534 ORD - 06/07/1949AN ORDINANCE
AUTHORIZING AND DIRECTING THE MAYOR,
CITY CONTROLLER AND CITY MANAGER, IN
THE NAME OF THE CITY, TO ENTER INTO
A CONTRACT WITH THE REPUBLIC NATURAL
GAS COMPANY, IN SUPPLEMENT OF THE
PRESENT CONTRACT WITH SAID COMPANY,
DESCRIBING THE TERMS OF SAID CONTRACT
AND DECLARING AN EMERGENCY.
HE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI,
TEXAS:
SECTION 1. That the Mayor, City Controller and City
Manager of the City of Corpus Christi, Texas, are hereby auth-
orized and directed to execute in the name of the City and to
deliver to the Republic fiatural Gas Company a supplemental con-
tract between the City and said Company, in supplement of the
enntract existing between said parties heretofore executed be-
tween the predecessor of the Republic Natural Gas Company and
the City, heretofore executed and approved by Ordinance, duly
and legally passed by the City Council, the supplemental contract
hereby authorized to be executed being substantially as follows:
THE STATE OF TEXAS
COUNTY OF I ?UECES
YMORANDUM OF SUPPLEMENTAL CONTRACT AND AGREEMENT, this
day made and entered into by and between the REPUBLIC NATURAL GAS
COMPANY, a corporation organized under the laws of the State of
Delaware, with a permit to do basiness in the State of Texas, hav-
ing its principal office in Dallas, Dallas County, Texas, acting
by and through William H. Wildes, its President, and the CITY OF
CORPUS CHRISTI, a municipal corporation, acting by and. through
its duly constituted officers; and
WHEREAS, heretofore on the 4th day of August, 1922, W. L.
Pearson & Company, a corporation of Houston, Texas, entered into
a certain contract in writing with the City of Corpus Christi for
the development of a gas well on the south side of hueces Bay and
to sell and deliver to the City of Corpus Christi a gas line con-
necting such well with the city limits, as fully appears from the
Minutes of the City Council of that date; and
WHEREAS, said contract between W. L. Pearson & Company and
the City cf Corpus Christi was amended and supplemented by agree-
ment as evidenced by the resolution of the City Council of the City
of Corpus Christi, passed and approved on April 10, 1925; and
WHEREAS, said contract was further supplemented by ordin-
ance. duly Passed of date October 4, 1930; and
WHEREAS, said contract was further amended by ordinance
duly passed of date July 15, 1942; and
WHEREAS, under said amendment of April 10, 1925, it was
provided that all gas used by the City should be metered on the
20th day of each month and paid for on or before the 15th day of
the next succeeding month; and
WHEREAS, said contract was further supplemented by'con-
tract of date January 4, 1945, authorizing the City to change the
measuring station for the gas at a metering station located on
the John Dunn Lease in Nueces County, Texas; and
WHEREAS, said contract, together with its supplements,
are now owned and held and all rights and liabilities thereunder
are now due and owned by the Republic Natural Gas Company; and
WHEREAS, the City of Corpus Christi is now engaged in and
contemplates continuing to engage in the furnishing of gas to
domestic and industrial consumers located both within and without
the city limits; and
WHEREAS, the City of Corpus Christi has determined that
it is to the best interests of the City of Carpus Christi to pur-
chase its supply of gas beyond and above 4,000,o00 cubic feet per
day minimum, which it is required to take from Republic Natural
Gas Company until August 4, 1952, from other sources: and
WHEREAS, under the terms of the supplemental agreement
entered into between the City of Corpus Christi and the predecessor
to the Republic Natural Gas Company of date October 4, 1930, Parti-
cularly under the terms of Paragraph 11 thereof, and the exercise
of the option by the Republic Natural Gas Company, provided in Para-
graph 11, that there presently exists a contract between the
Republic Natural Gas Company and the City of Corpus Christi wherein
under the terms of said contract, the City of Corpus Christi is
required to take a minimum of 4,000,00o cubic feet per day from the
Republic Natural Gas Company and pay therefor at the rate of 7R
per thousand cubic feet for the first 2,Oo0,000 cubic feet of gas
and K per thousand cubic feet for the second 2,000,000 cubic feet
of gas; and
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WHEREAS, it suits the convenience of the parties for
said gas to be delivered by the Republic Natural Gas Company to
the City at the metering station or stations of the Houston
Natural Gas Corporation provided for in Article III of that
certain contract between Houston Natural Gas Corporation and
the City of Corpus Christi of date March 1, 1949, or at the
Dunn Lease metering station; and
WHEREAS, it further suits the convenience of the parties
that the provisions concerning the payment for the gas delivered
hereunder shall be as follows: On or before the tenth (10th)
day of each calendar month Republic Natural Gas Company shall
render a statement to the City of Corpus Christi showing the
quantity of gas delivered to the City during the preceding calen-
dar month or billing period, and the amount payable therefor by
the City for all gas delivered during the preceding calendar
month or billing period under the terms hereof, the City shall
pay Republic Natural Gas Company on or before the twenty -fifth
(25th) day of each calendar month:
NOW, THEREFCRE, for and in consideration of the mutual
benefits.arising to the City of Corpus Christi and to the Republic
Natural Gas Company, it is agreed as follows:
1.
Except as hereinafter otherwise provided, the existing
contract as supplemented and amended shall be in full force and
effect, as determined by said contract and the exercise of the
option by Republic Natural Gas Company, as provided by Paragraph
11 of supplement dated October 4, 1930•
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2.
It is agreed that the City of Corpus Christi shall pur-
chase a minimum of 4,000,000 cubic feet per day of its supply
from the Republic Natural Gas Company are, pay for the same at
the price provided for in said contract at 7i¢ per thousand
cubic feet for the first 2,000,000 cubic feet and 5¢ per thous-
and cubic feet for the second 2,000,000 cubic feet; and that the
Republic Natural Gas Company shall, on or before the tenth (10th)
day of each calendar month, render a statement to the City of
Corpus Christi showing the quantity of gas delivered to the City
and henceforth etch calendar north shall constitute a s:etexdn� reriod,
during the preceding calendar month or billing period/ and the
amount payable therefor by the City for all gas delivered during
the preceding calendar month or billing period under the terms
hereof, the City shall pay Republic Natural Gas Company on or
before . the twenty -fifth (25th) day of each calendar month; and
that said gas may be delivered to the City by Republic Natural
Gas Company either through the delivery points designated in
Article III of the contract between Houston Natural Gas Corpora-
tion and the City of Corpus Christi of date March 1, 1949, or
through the metering station on the Dunn Lease.
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It is further agreed and understood that this contract
shall be binding upon both the parties hereto and their success-
ors and assigns until the 4th day of August, 1952; and that ex-
cept as herein modified, the existing contract shall remain in
full force and effect.
IN WITNESS WMEREOF, the Republic Natural Gas Company has
executed this instrument in duplicate originals by its President,
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William H. Wildes, thereunto duly authorized, and the City of
Corpus Christi, acting by and through its City Council, has
caused the same to be so executed by its Mayor, Honorable Leslie
Wasserman, and its City Manager, M. W. Cochran, countersigned by
its City Controller, and attested by its City Secretary, and a
copy thereof entered in the Minutes of its City Council, this
the day of June, 1949.
COUNTERSIGNED:
ATTEST:
City Controller
City Secretary
APPROVED AS TO LEGAL FORM:
ity Attcrney
REPUBLIC NATURAL GAS COMPANY
By
William H. Wildes,
its President.
CITY OF CORPUS CHRISTI
By
Leslie Wasserman,
its Mayor
By
M. W. Cochran,
its City Manager
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SECTION 2. Nothing in this Ordinance nor in said contract
shall be construed as varying or changing the provisions of said
heretofore existing contracts, amendments and supplements unless
In said supplement expressly provided, and this Ordinance shall
not be construed as repealing the other Ordinances hereinbefore
referred to, but said existing contracts, amendments and supple-
ments shall be in full force and effect except as modified or
amplified in the Supplemental Contract contained in Section 1
hereof.
SECTION 3. The fact that it is deemed necessary to make
changes in the Contract of the City with the Republic Natural Gas
Company creates a public emergency and a public imperative neces-
sity requiring the suspension of the charter rule, provided 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 several meetings of the City Council, and the Mayor having
declared that such public emergency and imperative necessity exist,
and recuests that said charter rule be suspended, and that this
Ordinance take effect and be in full force and effect from and after
Its passage, IT IS SO ORDAINED.
PASSED AMD APPROVED this `'�
� day of June, 1949.
Leslie Wasserman, Mayor of the
City of Corpus Christi, Texas.
ATTEST:
�` 4f
City Secretary
APPa9VED:
F ul
ity Attgjney
Corpus Christi, Texas
June 'I�" 199
TO THE ME1,1BERS OF THE CITY COUNCIL
OF THE CITY OF CORPUS CHRISTI:
Corpus Christi, Texas
Gentlemen:
For the reasons set forth in the emergency clause of
the foregoing Ordinance, a public emergency and imperative neces-
sity 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. I therefore hereby
request that you suspend said Charter rule or requirement and pass
this Ordinance finally on the dp_te it is introduced, or at the
present meeting of the City Council.
Respectfully,
Ttycr, City of Corpus Christi,
Texas.
Tjae Charter rule was suspended by the following vote:
Leslie Wasserman t.f_
Barney Cott
Jack DeForrest
Sydney E. Herndon .: -_4
George L. Lowman 'g 4
The above Ordinance was passed by the following vote:
Leslie Wasserman
Barney Cott
Jack DeForrest
Sydney E. Herndon
George L. Lowman
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