HomeMy Public PortalAbout87-052RESOLUTION NO. 87-052
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF CARSON DECLARING ITS INTENTION TO GRANT A
PIPELINE FRANCHISE TO TEXACO REFINING &
MARKETING, INC.
WHEREAS, Texaco Refining & Marketing, Inc., a Delaware
corporation, has filed with the City Council of the City of
Carson an application requesting that a franchise be granted to
it of the character and for the purposes mentioned in the form of
notice hereinafter set forth; and
WHEREAS, in the opinion of said City Council the public
good requires that said franchise be granted;
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Carson that the said City Council intends to grant
said franchise; that the character of said franchise, and the
terms and conditions upon which it is proposed to be granted, are
described in the form of notice hereinafter set forth; that
hearing of objections to the granting of said franchise will be
held at the time and place specified in the form of notice here-
_.,after set forth, which the City Clerk is hereby directed to
publish at least once in the Carson Star, a newspaper of general
circulation printed and published nearest to the City of Carson,
within 15 days after the passage of this Resolution; and that
said notice shall be substantially in the following words and
figures:
"NOTICE OF INTENTION TO GRANT FRANCHISE
"NOTICE IS HEREBY GIVEN that Texaco Refining &
Marketing, Inc., a Delaware corporation, has filed its
application with the City Council of the City of Carson
requesting that said City Council grant to it a franchise for a
period of 25 years from and after the date upon which the
franchise shall become effective, 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, waste water,
mud, steam and other liquid substances which are not more
Resolution No. 87-052/Page 2 of 6
hazardous than the aforementioned substances, together with all
manholes, valves, appurtenances and service connections necessary
or convenient for the operation of said 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.
"If said franchise shall be granted to it, said Texaco
Refining & Marketing, Inc., and its assigns, hereinafter desig-
nated Grantee, will annually pay to said City the following fees:
a. Base Annual Fee. A base annual fee in the
following amounts:
Amount Per
Linear Foot
Pipelines with an internal diameter of 0-4 inches 23.2 cents
Pipelines with an internal diameter of 6 inches 35.2 cents
Pipelines with an internal diameter of 8 inches 47.1 cents
Pipelines with an internal diameter of 10 inches58.4 cents
zpelines with an internal diameter of 12 inches70.3 cents
Pipelines with an internal diameter of 14 inches82.3 cents
Pipelines with an internal diameter of 16 inches93.5 cents
Pipelines with an internal diameter of 18 inches $ 1.055
Pipelines with an internal diameter of 20 inches 1.174
Pipelines with an internal diameter of 22 inches 1.287
Pipelines with an internal diameter of 24 inches 1.406
Pipelines with an internal diameter of 26 inches 1.526
Pipelines with an internal diameter of 28 inches 1.638
Pipelines with an internal diameter of 30 inches 1.758
=. The base annual rate applicable to pipelines with an
internal diameter falling between two incremental size
categories shall pay a rate determined by adding the
price corresponding to the lower size to a figure
computed by multiplying the difference between the
higher and lower price times the 'multiplier.' The
-2-
870422 bm R059.WBR
Resolution No. 87-052/Page 3 of 6
'multiplier' will be determined by dividing the
difference between the size of the pipe and the lower
size category by the difference between the two size
categories. In determining the number of feet of
pipeline upon which the annual fee will be computed,
the greatest number of feet of pipeline covered by the
franchise during the calendar year for which payment is
made will be utilized.
b. Base Construction Charges. At the time of instal-
lation, relocation, or replacement of any pipeline or other
facility covered by the franchise, a base construction
charge of $2,350 for each one-half mile of pipeline or frac-
tional part thereof installed, replaced or relocated on
major streets, and $1,550 for each one-half mile or frac-
tional part thereof on minor streets.
C. Base Grantor's Fee. A base grantor's fee of
$7,500.
d. Adiustments. The amount of each payment under
paragraphs a, b and c shall be revised at the time payment
is due in accordance with the following formula:
If ninety (90) days prior to the date on which payment
from the Grantee shall be due the Home Ownership Compo-
nent of the Consumer Price Index for all Urban
Consumers, Los Angeles -Long Beach -Anaheim area, (1967
equals 100.0) prepared by the United States Bureau of
Labor Statistics, Department of Labor, shall stand at a
level different than the 'base level' (as defined
herein), then the rate of payment to the City shall
vary from the amounts specified in paragraphs a, b and
c in direct proportion as said Index has increased or
decreased from the 'base level.' 'Base level' for the
-3-
870422 bm A054.NBR
Resolution NO. 87-052/Page 4 of 6
purposes of this paragraph shall be the level of the
index on December 31, 1982.
e. Modifications. The City will reserve the right to
change the base annual fee at any time, but not more than
five times during the life of the franchise.
"The City Council of the City of Carson proposes to
grant said franchise for a period of 25 years from and after the
date upon which the franchise shall become effective, or until it
is voluntarily surrendered or abandoned by the Grantee, 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 State, municipal,
or public corporation purchasing or condemning such property, or
until such franchise is forfeited for noncompliance with its
+_rms by Grantee.
"NOTICE IS FURTHER GIVEN that the Grantee of said fran-
chise shall file a bond, with a corporate surety authorized to
conduct a surety business in the State of California, and in a
form approved by the City Attorney for the City of Carson, in the
penal sum of One Hundred Thousand Dollars ($100,000.00),
conditioned that the Grantee shall well and truly observe,
fulfill, and perform each condition of the franchise and that in
case of any breach of condition of the bond, the whole amount of
the penal sum therein named shall be recoverable from the
principal and surety upon said bond. Said bond shall be filed
with the Business License Supervisor of the City on or before the
effective date of the ordinance granting said franchise; and if
said bond is not filed, or if it does not receive the approval of
the City Attorney, said franchise may be refused or forfeited and
any money paid to the City in connection therewith shall be
retained by the City. The Grantee will also be required to
-4-
870422 bm A059,WBR
Resolution No. 87-052/Page 5 of 6
obtain insurance as provided in Section 6809 of the Carson
Municipal Code.
"NOTICE IS FURTHER GIVEN, that any and all persons hav-
ing any objection to the granting of said franchise may appear
before the City Council in the Council Chambers located at the
Carson City Hall, 701 E. Carson Street, Carson, California, at
6:30 p.m. on June 15, 1987 and be heard thereon; and at any time
not later than the hour set for hearing objections, any person
interested may make written protest stating objections against
the granting of said franchise, which protest must be signed by
the protestant and be delivered to the City Clerk of said City.
The City Council at the time set for hearing said objections
shall proceed to hear and pass upon all protests so made.
"For further particulars, reference is hereby made to
said application which is on file in the Office of said City
Clerk, and also to the resolution adopted by said City Council on
the 5th day of May 1987, declaring its intention
to grant said franchise.
DATED: MAY 5
1987 Helen S. Kawagoe
City Clerk"
PASSED, APPROVED, AND ADOPTED by the City Council of the
City of Carson on the 5th day of Ma
MAYOR
ATTEST:
022.
CITY CLER
APPROVED AS TO FORM:
%)964.:. a.
CITY ATTORNEY
-5-
870422 bm A059.WBR
, 1987.
Resolution No. 87-052/Page 6 of 6
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 five; that the foregoing
resolution, being Resolution No. 87-052 , was duly adopted by
the City Council of said City at a regular meeting of said
Council, duly and regularly held on the 5th day of May
1987, and that the same was so passed and adopted by the
following roll call vote:
AYES: COUNCILMEMBERS: Mitoma, Muise, DeWitt and Calas
NOES: COUNCILMEMBERS: None
ABSENT COUNCILMEMBERS: Mills
4�(', <
City Clerk,
City of Carson, California
-6-
870422 bm A054.NBR