HomeMy Public PortalAbout00-089 RSON, C
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CITY OF CARSON
CITY COUNCIL
RESOLUTION NO. 00-089
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARSON, CALIFORNIA, DECLARING ITS INTENTION TO
GRANT A NONPUBLIC UTILITY PIPELINE FRANCHISE TO
ARCO PIPELINE COMPANY
The City Council of the City of Carson hereby finds and resolves:
Section 1. Recitals.
A. ARCO Pipeline Company ("APL" herein), a Delaware corporation and wholly-
owned subsidiary of Atlantic Richfield Company, has filed with the City Council an
application requesting that a nonpublic utility pipeline franchise be granted to it of the
character and for the purposes mentioned in the form of notice set forth in Section 4.
B. The City Council has determined that the public good requires the granting
of the requested franchise.
Section 2. Declaration of Intent. The City Council hereby declares its
intent to grant APL's nonpublic utility pipeline franchise. The character of the APL
franchise, and the terms and conditions upon which it is proposed to be granted, are
described in the form of notice set forth in Section 4 below.
Section 3. Consideration of Objections. All persons having any
objection to the granting of the APL franchise may appear before the City Council and
be heard thereon in the Council Chambers located at Carson City Hall, 701 E. Carson
Street, Carson, California, on August 15, 2000 at 6:00 p.m., or as soon thereafter as
the matter may be heard. 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 the APL franchise. Any such protest shall be signed by the protestant and delivered
to the City Clerk. At the time set for hearing objections, the City Council shall proceed
to hear and pass upon all protests so made.
CARSON CITY COUNCIL RESOLUTION NO.00-089
REGULAR MEETING Page 1 of 5 JULY 18,2000
Section 4. Publication of Notice. 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, a notice substantially in the words and figures set
forth below. Such notice shall be published within 15 days after the passage of this
Resolution.
"NOTICE OF INTENTION TO GRANT A FRANCHISE
"NOTICE IS HEREBY GIVEN that ARCO Pipeline Company (hereinafter
referred to as "Franchisee"), a Delaware corporation, has filed an application with the City
Council of the City of Carson requesting that the City Council grant to it a nonpublic utility
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, grant,
repair, change the size of, remove or abandon in place pipes and pipelines for the
collection, transportation or distribution of industrial gas, gasoline, petroleum oil, gas and
other hydrocarbon substances, fiber optic cable, water, wastewater, mud, steam and other
liquid or gas substances incident to the oil industry, 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.
"if the franchise shall be granted to it, pursuant to Carson Municipal Code
Section 6832, the Franchisee will pay the City of Carson the fees set forth below or the
franchise will be forfeited:
Base Grantinq Fee.
A base granting fee of seven thousand five hundred ($7,500.00) dollars for
pipelines with a total length of one-quarter (1/4) mile or more or one
thousand six hundred ($1,600.00) dollars 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 granting the franchise and prior to signing
the written acceptance of the franchise pursuant to Carson Municipal Code
Section 6805. If at any time during the first five (5) years following the grant
of the franchise additional pipeline is added that will result in a total length
of pipeline of one-quarter (114) mile or more, the seven thousand five
hundred ($7,500.00) dollars granting fee shall be required at the same time
such footage is added.
Base Franchise Fee.
1. A base franchise fee shall be paid by the Franchisee to the City of
CARSON CITY COUNCIL RESOLUTION NO.00-089
REGULAR MEETING Page 2 of 5 JULY 18,2000
Carson for the pipeline area occupied by the pipelines at an annual
rate of one dollar and sixty-eight ($1.68) cents 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
granting 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 therefore 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 1 st and July 1 st of each calendar year. A
penalty at the rate of ten (10) percent 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 (50) percent.
2. The City of Carson reserves the right to adjust the base fees
established above at any time after the effective date of the ordinance
granting the franchise, but the base fees applicable to the franchise
may only be changed five (5) times during the life of the franchise,
and may only be changed in accordance with the provisions of
California Public Utilities Code Section 6231.5(e).
Base Construction Charges.
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 ($3,384.00) dollars for each one-half ('/) mile of trench or
fractional part thereof installed, replaced or relocated on major streets and
two thousand two hundred thirty two ($2,232.00) dollars 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 the ordinance
granting the franchise, but the base fees applicable to the franchise may
only be changed five (5) times during the life of the franchise.
CARSON CITY COUNCIL RESOLUTION NO. 00-089
REGULAR MEETING Page 3 of 5 JULY 18,2000
Adiustments.
1. 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.
"The City Council of the City of Carson proposes to grant the requested
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 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 State, municipal, or public corporation purchasing
or condemning such property, or until such franchise is forfeited for noncompliance with
its terms by the Franchisee.
"NOTICE IS FURTHER GIVEN that the Franchisee 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 Franchisee 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 such bond. Such bond shall be filed
with the Revenue Manager of the City on or before the effective date of the ordinance
granting the franchise. If such bond is not filed, or if it does not receive the approval of the
City Attorney, then the franchise may be refused or forfeited and any money paid to the
City in connection therewith shall be retained by the City. The Franchisee will also be
required to obtain insurance as provided in Carson Municipal Code Section 6809.
CARSON CITY COUNCIL RESOLUTION NO.00-089
REGULAR MEETING Page 4 of 5 JULY 18,2000
"NOTICE IS FURTHER GIVEN that all persons having any objection to the
granting of the subject franchise may appear before the City Council and be heard thereon
in the Council Chambers located at Carson City Hall, 701 E. Carson Street, Carson,
California, on August 15, 2000 at 6:00 p.m., or as soon thereafter as the matter may be
heard. 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 the subject franchise.
Any such protest shall be signed by the protestant and delivered to the City Clerk. At the
time set for hearing objections, the City Council shall proceed to hear and pass upon all
protests so made.
"For further particulars, reference is hereby made to the application which
is on file in the office of the City Clerk, and also to the resolution adopted by the City
Council on the 18th day of July, 2000, declaring its intention to grant the subject franchise.
DATED: July 18 , 2000
PASSED, APPROVED AND ADOPTED this 18th day of July, 2000.
ATTEST:
I_
CITY CLERK AAYOR
APPROVED AS TO FORM:
CITY ATTORNEY
CARSON CITY COUNCIL RESOLUTION NO.00-089
REGULAR MEETING Page 5 of 5 JULY 18,2000
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 is five; that the foregoing resolution,being Resolution No.
00-089 was duly and regularly adopted by said Council at a regular meeting duly and regularly held on the
18th day of July, 2000, and that the same was passed and adopted by the following vote:
AYES: COUNCIL MEMBERS: Mayor Fajardo, Sweeney, Frank, and Ontal
NOES: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Calas
City Clerk, City o arson( California