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Home My Public Portal About91-061 RESOLUTION NO. 91-061 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON DECLARING ITS INTENTION TO CONSIDER GRANTING A PIPELINE FRANCHISE TO POWERINE OIL COMPANY WHEREAS, Powerine Oil Company, a California 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 consider granting 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 hereinafter set forth, which the City Clerk is hereby directed to publish at least once in the Daily Breeze, 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 CONSIDER GRANTING A FRANCHISE "NOTICE IS HEREBY GIVEN that Powerine Oil Company, a California 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 Resolution No. 91-061/Page 2 of 5 are not more hazardous than the aforesaid substances, together with all manholes, valves, conduits, wires, cables, 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 Powerine Oil Company, and its assigns, hereinafter designated Grantee, will annually pay to said City the following fees: A. Base Annual Fee. A base annual fee in the following amounts which shall be subject to revision in accordance with Paragraphs D and E of this notice before or after the adoption of the franchise ordinance: 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 inches 58.4 cents Pipelines with an internal diameter of 12 inches 70.3 cents Pipelines with an internal diameter of 14 inches 82 . 3 cents Pipelines with an internal diameter of 16 inches 93.5 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 -2- 910703 1i A225.14CB (1) Resolution No. 91-061/Page 3 of 5 between the higher and lower price times the 'multiplier. ' The '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 installation, 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 fractional part thereof installed, replaced or relocated on major streets, and $1,550 for each one-half mile or fractional part thereof on minor streets, which charges shall be adjusted as provided in paragraph D below. C. Base Grantor's Fee. A base grantor's fee of $7,500 as adjusted as provided in paragraph D below. D. Adiustments. The amount of each payment under paragraphs A, B and C 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-Long Beach-Anaheim area (1967=100) for the period January 1, 1983 to December 31, 1987 and the percentage change in its successor index, the Consumer Price Index, All Urban Consumers, for the Los Angeles-Anaheim- Riverside area (1982-84=100) , for the period January 1, 1988 to the date which is ninety (90) days prior to the due date of the fee. 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 consider granting 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 -3- 910703 lj A225.MCB (1) Resolution No. 91-061/Page 4 of 5 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 terms 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 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: 00 p.m. on August 6, 1991 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. -4- 910703 lj A225.MCB (1) Resolution No. 91-061/Page 5 of 5 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 2nd day of July , 1991, declaring its intention to consider granting said franchise. DATED: July 3 , 1991 City Clerk" PASSED, APPROVED, AND ADOPTED by the City Council of the City of Carson on the 2nd day of July , 1991. ATTEST:' YO CITY CLE APPROVED AS TO FORM: ASST. CITY ATTO Y 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. 91-061 was duly and regularly adopted by the City Council of said City at a regular meeting of said Council, duly and regularly held on the 2nd day of July, 1991, and that the same was so passed and adopted by the following vote: AYES: COUNCIL MEMBERS: DeWitt, Muise, McDonald, and Mitoma NOES: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: Calas tLL= City Clerk, City of Carso , C lifornia -5- 910703 lj A225AC6 (1)