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Home My Public Portal About04-1309 c1�N' �lri r� urttt�`— s ORDINANCE N4. 04-1309 E AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, RENEWING A NONPUBLIC UTILITY PIPELINE FRANCHISE GRANTED TO EXXONMOBIL OIL CORPORATION THE CITY COUNCIL OF THE CITY OF CARSON DOES ORDAIN AS FOLLOWS: Section 1. Renewal of Franchise. On or about June 8, 2001, without a change of ownership, Mobil Oil Corporation changed its corporate name to ExxonMobil ail Corporation, a New York corporation. The City Council hereby renews the non- public utility pipeline franchise granted pursuant to Ordinance No. 79-466 to ExxonMobil Oil Corporation (hereinafter referred to as "the Franchisee"), a nonpublic utility pipeline franchise to lay or construct from time to time, and to maintain, operate, renew, repair, change the size of, remove or abandon in place pipes and pipelines for the collection, transportation or distribution of oil, gas, gasoline, petroleum, wet gas, hydrocarbon substances, water, wastewater, mud, steam and other liquid substances not more hazardous than the aforementioned substances, together with all manholes, valves, appurtenances and service connections necessary or convenient for the operation of such pipes or pipelines including conduits, cathodic protection devices, wires, cables - and other appurtenances necessary or convenient for the exercise of the Franchisee's business, in, under, along or across any and all streets within the City of Carson, as approved from time to time by Resolution of the City Council. The franchise shall be solely for a nonpublic utility pipeline system. Section 2. Compensation. The Franchisee shall pay to the City of Carson the following amounts or the franchise will be forfeited: Base Grantinq FeeV A base granting fee of seven thousand five hundred dollars ($7,500.00)for pipelines with a total length of one-quarter (1/4) mile or more or one thousand six hundred dollars ($1,600.00) for pipelines with a total length of less than one-quarter (1/4) mile shall be paid within thirty (30) days after the City Council adopts the ordinance renewing the franchise and prior to 7 signing the written acceptance of the franchise pursuant to Carson CARSON CITY COUNCIL ORDINANCE NO. 04-1309 REGULAR MEETING MARCH 16, 2004 - 1 of4- Y Municipal Code Section 6805. If at any time during the first five (5) years following the renewal of the franchise additional pipeline is added that will result in a total length of pipeline of one-quarter (1/4) mile --or more, the seven thousand five hundred dollars ($7,500.00) granting fee shall be required at the same time such footage is added. Base Franchise Fee. 1. Abase franchise fee shall be paid by the Franchisee to the City of Carson-'for the pipeline area occupied by the pipelines at an annual rate of one dollar and sixty-eight cents ($1.68) per cubic foot. The franchise fee shall be due and payable semi-annually, at the end of each franchise payment period, as defined in Carson Municipal Code Section 6803(h), during the life of the franchise, including the year of renewing the franchise. Such franchise fee shall accrue at the end of each semi-annual period for the pipeline area occupied by the greatest number of feet of pipeline covered by the franchise during the franchise payment period. For purposes of this paragraph, the pipeline area occupied by a pipeline or conduit including protective covering, pipe connections, cathodic protection facilities, pipe casings and other minor appurtenances shall be taken as equivalent to the volume occupied by a cylinder of equal length having a diameter of one (1) inch (for metal pipe) or two (2) inches (for plastic pipe)-.greater than the nominal internal diameter of the pipe or conduit but in no case with an equivalent cylinder diameter less than four (4) inches, and the payment rate therefor shall be computed to the nearest tenth of a cent per lineal foot of — pipe. Pipeline area occupied by any appurtenances such as manholes or vaults shall be computed from the outside dimensions of the structure. The semi-annual fee shall be paid no later than January 1st and July 1st of each calendar year. A penalty at the rate of ten percent (10%) per month or fraction thereof beyond thirty (30) days after the payment due date shall be charged, but in no event shall such penalty exceed fifty percent (50%). 2. The City of Carson reserves the right to adjust the base fees established above at any time after ,the effective date of this Ordinance, but the base fees applicable to the franchise may only be changed five (5) times during the life of the (renewed) franchise, and may only be changed in accordance with the provisions of California Public Utilities Code Section 6231.5(e). CARSON CITY COUNCIL ORDINANCE NO. 04-1309 REGULAR MEETING MARCH 16, 2004 -2of4- Base Construction Charqes.s-- - The Franchisee shall pay at the time of the commencement of installation, relocation, or replacement of any pipeline or other facility covered by the franchise, a base' construction charge of three thousand three hundred eighty-four dollars ($3,384.00) for each one-half ;('/2) mile of trench or fractional part thereof installed, replaced or relocated on major streets and two thousand two hundred thirty two dollars ($2,232.00) per one-half ('/2) mile of trench or fractional part thereof, on minor streets or actual cost of inspection, whichever is greater. The City of Carson reserves the right to change such base fees at any time after the effective date of this Ordinance, but the base fees applicable to the franchise may only be changed five (5) times during the life of the (renewed)franchise. Adjustments. i's The amount of each base fee specified above shall be adjusted at the time payment is due by the percentage change in the Consumer Price Index, all Urban Consumers for the Los Angeles- Anaheim-Riverside area (1982-84 = 100), for the period July 1, 1991 to the date which is sixty (60) days prior to the due date of the fee. 2. In no event shall any base fee be charged which is less than the base fee amount established above. 3. The indices specified in paragraph 1 above are calculated and .published by the United States Department of Labor, Bureau of Labor Statistics. If the Bureau discontinues the calculation or publication of the Consumer Price Index, all Urban Consumers for the Los Angeles-Anaheim-Riverside area (1982-84 = 100), and no transposition table is available to convert to another index, then the amount of each annual adjustment in base fees shall be computed by using a comparable governmental index. Section 3. Term. The franchise renewal granted by this Ordinance shall commence on June 22, 2004 and shall run for a period of twenty-five (25) years from and after its effective date, or until such franchise is voluntarily surrendered or abandoned by the Franchisee, or until the State or some municipal or public corporation thereunto duly authorized by law shall purchase by voluntary agreement or shall condemn and take under the power of eminent domain all property actually used and � useful in the exercise of such franchise and situated within the territorial limits of the CARSON CITY COUNCIL ORDINANCE NO. 04-1309 REGULAR MEETING MARCH 16, 2004 -3of4- State, municipal, or public corporation purchasing or condemning such property, or until such franchise is forfeited for noncompliance with its terms by the Franchisee. Section.4. Compliance with Law. --)The Franchisee shall comply with all applicable statutes, regulations and ordinances, including, but not limited to, the insurance and faithful performance bond requirements of Carson Municipal Code Sections 6849 and 6810. Section 5. Acceptance. The Franchisee shall, within thirty (30) days after passage of this Ordinance, file with the City Clerk of the City of Carson, a written acceptance of the terms and conditions of this Ordinance. Section 6. CEQA. The pipelines which are the subject of this franchise were previously owned and operated by ExxonMobil Oil Corporation under Ordinance Number 79-466. The Franchisee will continue use of the pipelines as previously approved. Therefore, this renewal of franchise is exempt from the requirements of California Environmental Quality Act as a Class 1 Categorical Exemption, Existing Facilities, pursuant to Section 15301 of the CEQA Guidelines. PASSED, APPROVED AND ADOPTED this day of Alpril , 2004. MAYOR ATTEST: CITY CL kl<' APPROVED AS TO FORM: 3 f C CITY ATT*NEY CARSON CITY COUNCIL ORDINANCE NO. 04-1309 REGULAR MEETING MARCH 16,2004 -4of4- Ordinance No. 04-1309 Page 5 of 5 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF CARSON ) , I, Helen S. Kawagoe, City Clerk of the City of Carson, California, do hereby certify that the whole number of members of the City Council of said City is four; that the foregoing ordinance, being Ordinance No. 04-1309, passed first reading on March 16, 2004, was duly and regularly adopted by the City Council of said City at an adjourned regular meeting of said Council, duly and regularly held on the 7th day of April, 2004, and that the same was passed and adopted by the following roll call vote: AYES: COlJNCIL MEMBERS: Mayor Dear, Calas, Santarina, and Raber NOES: COiJNCIL MEMBERS: None ABSTAIN: COiJNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None City Clerk, City oedarson,jalifornia i