HomeMy WebLinkAbout02670 ORD - 01/10/1950AN ORDINANCE
EXTENDING AN ORDINANCE AND FRANCHISE FINALLY
PASSED BY THE CITY COUNCIL OF THE CITY OF CORPUS
CHRISTI AND APPROVED BY THE MAYOR ON THE 18TH
DAY OF JULY, A. D., 1935, AND AMENDED BY ORDI-
NANCE FINALLY PASSED BY THE CITY COUNCIL OF THE
CITY OF CORPUS CHRISTI AND APPROVED BY THE MAYOR
ON THE 17TH DAY OF OCTOBER, A. D., 1939, GRANTING
TO CENTRAL POWER AND LIGHT COMPANY, ITS SUCCES-
SORS AND ASSIGNS, AN ELECTRIC LIGHT, HEAT AND POWER
FRANCHISE, AND AMENDING SAID ORDINANCE AND FRAN-
CHISE TO CHANGE THE CONSIDERATION AND COMPENSATION
TO BE PAID TO THE CITY BY THE GRANTEE THEREUNDER.
WHEREAS, the Central Power and Light Company, a corpora-
tion duly incorporated under the laws of the State of Texas, now
owns and holds and is operating in the City of Corpus Christi,
Texas, under an electric light, heat and power franchise granted
to Central Power and Light Company, its successors and assigns,
by an ordinance finally passed by the City Council of the City
of Corpus Christi and approved by the Mayor on the 18th day of
July, A. D., 1935, and amended by ordinance finally passed by
the City Council of the City of Corpus Christi and approved by
the Mayor on the 17th day of October, A. D., 1939, which said
ordinance and franchise are for a term extending until July 1,
A. D., 1965; and
WHEREAS, said Central Power and Light Company has filed
an application for the extension of said ordinance and franchise
so that it will remain in effect for an additional period of four-
teen (14) years and five (5) months and until December 1, 1979,
and for amendment thereof to change and make more favorable to
the City the provision thereof as to the consideration and-com-
pensation to be paid to the City under said franchise by the
Grantee, and, in connection with said application has pointed
out various additional revenues, savings and other advantages
that will be realized by the City and its inhabitants if said ex-
tension and amendment are granted; and
WHEREAS, it appears that the granting of said franchise
extension and amendment will make it feasible for the holder there-
of to finance and make improvements and extensions in its electric
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distribution system and facilities that will aid in the beauti-
fication of the City, in making service more dependable, and in
making the City safer, that the City will receive and realize
additional revenues and other savings and advantages and that it
is to the best interest of the City of Corpus Christi and the in-
habitants and citizens thereof to grant said franchise exten-
sion and amendment to said Central Power and Light Company, its
successors and assigns,
NOW, TIEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF CORPUS CHRISTI, TEXAS:
Section 1. That the ordinance heretofore finally passed by
the City Council of the City of Corpus Christi and approved by
the Mayor on the 18th day of July, A. D., 1935, and amended by
ordinance finally passed by the City Council of the City of
Corpus Christi and approved by the Mayor on the 17th day of
October, A. D., 1939, granting to Central Power and Light Com-
pany, its successors and assigns, an electric light, heat and
power franchise, and the franchise granted thereby, be, and
the same are, extended to cover an additional period of four-
teen (14) years and five (5) months so as to remain in effect
until December 1, 1979, and amended so as to change the pro-
vision thereof with respect to the consideration and compen-
sation to be paid to the City by the Grantee thereunder, and
be and read hereafter as follows:
"SECTION 1. There is hereby granted to Central Power
and Light Company, its successors and assigns, (herein
called "Grantee ") the right, privilege and franchise un-
til December 1, A. D., 1979, to construct, install, main-
tain, repair and operate in the present and future streets,
alleys, public places and ways of the City of Corpus Christi,
as the limits of said City now exist and as they may here-
after be extended, and its successors, electric light and
power lines, with all necessary and /or desirable appurte-
nances, including without limitation thereby, underground
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conduits, poles, towers, wires, transmission lines and com-
munication lines for its own use, for the purpose of sup-
plying electricity to the said City and the inhabitants
thereof and persons and corporations in and beyond the limits
thereof, for light, heat, power and any other purposes for
which electricity may be used.
For and as full consideration and compensation for this
franchise and the rights, privileges and easements granted
and conferred thereby and as rental for the use of the
streets, alleys and other public areas within or that may
hereafter be within said City, the Grantee shall pay said
City each year on July 1 the sum of $5,000.00, and in addi-
tion thereto, each year, during and for the remainder of
the term of this franchise from and after this extension
and amendment thereof becomes effective under and by opera-
tion of law and if and so long as Grantee is the only opera-
tor of an electric distribution system providing electric
energy available to the general public, and the only sub-
stantial supplier of electric energy at retail within the
limits of the City of Corpus Christi, whichever is the
greater, either $80,000.00 or 2% of the Grantee's gross re-
ceipts during the year from the sale of electric energy in
and for use within the corporate limits of the City of
Corpus Christi, in semi - annual installments, as followa:
Grantee, within one (1) month of March 31st
and September 30th of each year, shall file with the
City Secretary a report sworn to by its Auditor or
Treasurer showing its gross receipts for the six (6)
months preceeding March 31st or September 30th, as
the case may be, from the sale of electric energy in
and for use within the corporate limits of the City
of Corpus Christi, and the amount of the additional
consideration to be paid hereunder will be based up-
on said reports and will be paid in semi - annual in-
stallments on or before April 30 and October 31, re-
spectively; that is, the April 30th semi - annual in-
stallment will be, whichever is the greater, either
$40,000.00, being one -half of the additional annual
payment as mentioned herein, or 2% of the Grantee's
gross receipts from the sale of electric energy in
and for use within the corporate limits of the City
of Corpus Christi; and the October 31st semi - annual
payment will be any remaining unpaid portion of the
additional annual payment herein provided for.
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Payments under this provision shall not prevent the levy
or assessment by the City of any gross receipts charge or
other rental for the use of the streets, alleys and public
areas permitted by law, but payments hereunder for each
year shall be applied and credited upon any such gross re-
ceipts charges or other rental imposed by the City for the
use of its streets, alleys and public areas for said year.
SECTION 2. Poles or towers shall be so erected as not
to unreasonably interfere with traffic over streets and
alleys. The location of all poles and towers or conduits
shall be fixed under the supervision of the street and al-
ley committee of the City of Corpus Christi, or the suc-
cessors to the duties of that committee, but not so as to
unreasonably interfere with the proper operation of said
lines.
SECTION 3. The property of Grantee shall be maintained
in good order during the life of this grant, and the ser-
vice furnished hereunder to said City and its inhabitants
shall be first class in all respects and at reasonable
rates, and shall be subject to such reasonable rules and
regulations as the Grantee may make from time to time. This
franchise may be forfeited in a Court of competent juris-
diction by the City of Corpus Christi for failure of the
Grantee to furnish efficient service at reasonable rates
and/or to maintain the property in good order throughout
the life of this grant. The Grantee may require reasonable
security for thepayment of its bills.
SECTION 4. Upon the termination of this grant, the grant
as well as the property, if any, of the Grantee in the streets,
avenues and other public places, in the then city limits of
the City of CorpusChristi, shall thereupon, upon a fair val-
uation thereof being paid to the Grantee,be and become the
property of the City of Corpus Christi, and the Grantee shall
never be entitled to any payment or valuation because of any
value derived from the franchise or the fact that it is or
may be a going concern duly installed and operated, provided,
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however, it shall be optional with the City of Corpus
Christi whether or not it acquired title to said prop-
erties in said manner. The mode of ascertaining the fair
value of the grant and the property of Grantee in the
streets, avenues and other public places of the City of
Corpus Christi shall be as follows:
City of Corpus Christi shall appoint one compe-
tent electrical engineer who has had not less than
five years actual experience in appraising electric
public utility properties, and the Grantee shall ap-
point an engineer of like qualifications, or may, at
its option, appoint its Chief Engineer, which two
said engineers shall make an actual examination of
the properties and report their agreement of the
fair value to the City and the Grantee, and in case
the said engineers are unable to agree as to a fair
value, they shall jointly select a third electrical
engineer of like qualifications, and a majority of
the three so appointed may report a value which shall
be binding upon both the City Of Corpus Christi and
the Grantee. If the two engineers selected as above
outlined by the City of Corpus Christi and the Grantee
are unable to agree upon the fair valuation and are
unable to agree upon a third engineer to act with them,
then and in that event the Judge of the United States
District Court of the Southern District of Texas shall
appoint a third engineer.
SECTION 5. The Grantee shall hold the City harmless
from all expense or liability for any act or neglect of the
Grantee hereunder.
SECTION 6. This franchise is in lieu of and supersedes
and cancels any and all franchises heretofore granted to
Central Power and Light Company and /or its predecessors in
title, except:
(a) A special franchise granted to the Gulf Coast
Power Company on the 10th day of March, 1922, to lay
and construct a pipe line under and across Water Street
from the East lisle of Lot No. 2,in Block No. 15, Beach
Portion of the City of Corpus Christi, to the Western
line of Lot 2, in Water Block No. 1, and acrosssaid lot
Into and under the waters of Corpus Christi Bay; and
(b) A franchise granted to Texas Central Power Com-
pany on the 16th day of July, 1926, for the purpose of
constructing a pipe line from its power plant across
Water Street and Arroyo, and along the Municipal Wharf,
into Corpus Christi Bay, andof building and erecting a
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pumping plant and house on the end of said Municipal
Wharf for the purpose of drawing water therefrom to
be used in connection with said power plant, and to
construct any ditches and lay any pipes necessary along
said route for such purposes;
which shall remain in full force and effect for the purposes
therein named.
SECTION 7. This franchise is not exclusive, and nothing
herein contained shall be construed so as to prevent the
City from granting other like or similar rights and privi-
leges to any other person, firm or corporation."
Section 2. The Grantee shall file its written acceptance of
this extension and amendment within 60 days after same becomes "ef -
fective under and by operation of law.
The foregoing ordinance was read the first time and passed
to the second reading on the day of December, A. D., 1949,
by the following vote:
Leslie Wasserman
Jack DeForrest
Barney Cott Sydney E. E. Herndon
George L. Lowman /J
The foregoing ordinance was read the second time and passed
to the third reading on the _�_ day of January, A. D., 1950, by
the following vote:
Leslie Wasserman
'a*
Jack DeForrest �
Barney Cott t Sydney E. Herndon George L. Lowman a(� J d/
The foregoing ordinance was read the third time and finally
passed and approved on the /d day of January, A. D., 1950, by
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the following vote:
Leslie Wasserman
Jack DeForrest i(��✓ .
Barney Cott
Sydney E. Herndon libu
George L. Lowman
APPROVED, this the /I /� day of January, A. D., 1950.
-Mayor o thee C� orp s Christ�-
R. tg Secretary
APPROVED AS W LEGAL FORM;
City Attor5�y
THE STATE OF TEXAS ¢
Q
COUNTY OF NUECES ¢
Q
CITY OF CORPUS CHRISTI ¢
I, C. W TTERS, duly a
of the Cit of Corp Christi
foregoing i a true and rec
and approve by the City Coun,'
on the day of Januarys'
i
record in Vo ume at a�
ntedd and acti g City Secretary
xak, do hereby certify that the
opy of an Ord - finally passed
of the City o Corpus Christi
1950, qt;h ame appears of
rdinance an d Re-
solution Re ords of t e City of Corpus C sti, Texas.
TO CER H, witne ❑yy hand and as f said city,
this the day of January, . D., 1950.
city Secretary of
the City of Corpus Christi, Texas.
atfgv
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