Loading...
HomeMy Public PortalAboutOrd. 1466 CITY OF LYNWOOD LOS ANGELES COUNTY, CALIFORNIA ORDINANCE NO. 1466 AN ORDINANCE OF THE CITY OF LYNWOOD GRANTING TO PACIFIC PIPELINE SYSTEM, INC., A DELAWARE CORPORATION, A FRANCHISE TO LAY AND USE PIPES AND APPURTENANCES FOR TRANSMITTING AND DISTRIBUTING OIL, OR PRODUCTS THEREOF, FOR ANY AND ALL PURPOSES IN, UNDER, ALONG, OR ACROSS, THE PUBLIC STREETS, WAYS, ALLEYS AND PLACES, AS THE SAME NOW OR MAY HEREAFTER EXIST, WITHIN THE CITY OF LYNWOOD. THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES ORDAIN AS FOLLOWS: Section 1. Defined Terms. The following words and phrases that are used in this Ordinance are defined below in Section 17: "City," "Franchise," Grantee," "Lay and Use," "Oil or Products Thereof," "Pipes and Appurtenances," and "Streets." Section 2. Grant of Franchise. A. The right, privilege, and franchise is hereby granted to Grantee, to use, or to lay and use, and to operate, maintain, repair and replace, pipes and appurtenances for transmitting and distributing oil or products thereof for any and all purposes in, under, along, and across certain public streets within the City, as authorized by resolution of the City Council. B. This franchise is granted subject to all of the terms and conditions contained in this Ordinance, in Chapter 17 of the Lynwood Municipal Code as amended from time to time, and in Division 3, Chapter 2 of the California Public Utilities Code as amended from time to time. If any provision of this Ordinance is in conflict or inconsistent with any provisions of Chapter 17 of the Lynwood Municipal Code, this Ordinance will be deemed to be controlling. C. This franchise is for a term of thirty (30) years from and after the effective date of this Ordinance, or until such earlier time that this franchise is forfeited for noncompliance by the Grantee with its terms and provisions, or it is terminated by the Grantee's voluntary surrender or abandonment. Section 3. Franchise Fee. A. The Grantee must pay annually to the City at the times specified below, in lawful money of the United States, an annual franchise fee, as provided for in Section 6231.5 of the California Public Utilities Code. This annual fee is currently computed as follows: 1. The length of Grantee's pipelines located within the City, expressed in feet, is multiplied by the applicable base rate, as adjusted in accordance with subsection 2 below, in accordance with the following schedule: Pipe Size (internal Base Rate diameter in inches) per lineal foot 0--4 $0.088 6 0.132 g 0.176 10 0.220 12 0.264 14 0.308 16 0.352 lg 0.396 2p 0.440 22 0.484 24 0.528 26 0.572 2g 0.616 30 0.660 For pipelines with an internal diameter not listed above, the fees will be in the same proportion to the fees of a 12-inch-diameter pipe as the diameter of the unlisted pipe is to 12 inches. 2. The Grantee's annual payment for each lineal foot of pipeline will be computed and revised each calendar year as follows: (a) The applicable base rate will be multiplied by the Consumer Price Index, All Urban Consumers, for the Los Angeles-Anaheim-Riverside Area ("CPI"), as published by the United States Department of Labor, Office of Information, for the month of September immediately preceding the month in which payment is due and payable, and divided by the CPI for June 30, 1989, which is deemed to be 100.0. TJnder ro circumstances may the multiplying factor be less than one. (b) If the United States Department of Labor, Office of Information, discontinues the preparation or publication of a Consumer Price Index for the Los Angeles-Anaheim-Riverside Area, and if no translation table prepared by the Department of Labor is available so as to make those statistics that are then available applicable to the index of June 30, 1989, the City's legislative body must prescribe a rate of payment that will, in its judgment, vary from the rates specified in this Section 3 in approximate proportion as commodity consumer prices then current vary from commodity consumer prices current in December 1988. On this point, the determination by the City's legislative body will be final and conclusive. B. The Grantee must file with the City Clerk, within 15 working days after the expiration of each calendar-year following the effective date of this franchise, a verified statement setting forth in detail the Grantee's computation of the annual franchise fee that is payable for the preceding calendar year. This verified statement must be accompanied by payment of the annual franchise fee. Any neglect, omission, or refusal by the Grantee to file the verified statement, or to pay the annual franchise fee, at the times or in the manner herein provided, will constitute grounds for the declaration of a forfeiture of this franchise and of all rights of the Grantee hereunder. Section 4. Termination of Other Franchises. This franchise is granted in lieu of all other franchises for pipelines having public utility status held by the Grantee, or by any authorized successor of the Grantee, for the 970818 10512-00001 syc 0592709 3 - 2 - transmission and distribution of oil or products thereof within the limits of the City, as those limits now or may hereafter exist. The acceptance of this franchise will operate as an abandonment of all such franchises within the limits of the City, as those limits now or may hereafter exist, in lieu of which this franchise is granted, and as an agreement to comply with all terms and conditions of this Ordinance. Section 5. Acceptance of the Franchise. The franchise granted by this Ordinance does not become effective until written acceptance thereof has been filed by the Grantee-with the City Clerk. When so fi-led, that acceptance -- constitutes a continuing agreement by the Grantee that, if and when the City may thereafter annex, or consolidate with, additional territory, all franchise rights and privileges owned by the Grantee within the limits of that additional territory will be deemed to be abandoned. Section 6. Acquisition of Grantee's Property by Purchase or Eminent Domain. The franchise granted by this Ordinance does not in any manner or to any extent impair or affect the right of the City to acquire the property of the Grantee, either by purchase or through the exercise of the right of eminent domain, and nothing herein contained may be construed to contract away, or to modify or to abridge, either for a term or in perpetuity, the City's right of eminent domain in respect to the Grantee, nor may this franchise be given any value before any court or other public authority in any proceeding of any character in excess of the necessary publication costs and any other sums paid by Grantee to the City at the time of the acquisition of this franchise. Section 7. Duties of the Grantee. The Grantee of this franchise must comply with all of the following provisions: A. Within 60 days after the effective date of this franchise, Grantee must file with the City Engineer improvement plans relating to all facilities located or proposed to be located within the City, and a map or maps showing the location, length and size of all such facilities that have been.or will be installed, relocated, removed or abandoned, as may be applicable. B. Within 6 months after the installation of any new pipelines under this franchise, Grantee must file with the City Engineer an "as built" map or maps showing the location, length and size of all pipelines so installed. C. Grantee must construct, install, operate, maintain, replace and repair all pipes and appurtenances in compliance with the following standards and requirements: 1. The latest revision of the American National Standard Institute Code for Pressure Piping, ANSI/ASME B31.4- 1979. 2. American Petroleum Institute Standard 1104. 3. Part 195 of Title 49 of the Code of Federal Regulations. regulations. 4. Title 49, United States Code, §§2001, et se . 5. All applicable State statutes and 6. All ordinances, rules, and regulations now existing or hereafter adopted by the legislative body of the City in the exercise of its police powers, and not in conflict with s~osis ~osix-Doom ~< os9z~os s - 3 - the paramount authority of the State of California or the Federal Government. In the event of any conflict or inconsistency in the Federal or State standards and requirements, the more stringent standards and requirements will be applicable. D. Grantee must pay to the City, on demand, the cost of all repairs to public property made necessary by any operations of the Grantee under this franchise. E. Grantee will indemnify, defend, and hold harmless the City,~its officers, agents and employees, from and-against- any and all liability for all damages proximately resulting from any operations under this franchise, and for all damages proximately resulting from the failure of Grantee well and faithful'_y to observe and perform each and every provision of this franchise and of Division 3, Chapter 2 of the California Public Utilities Code. Grantee is solely responsible for compliance with all laws, regulations, and other orders, whether federal, sate, or local, that are applicable to the installation, operation, repair, relocation, or removal of its facilities. City's approval of any such installation, operation, repair, relocation, or removal does not relieve Grantee of any liability Grantee may have for contaminated soils or other environmental liability attributable to or arising from Grantee's pipes, appurtenances and other facilities. Grantee acknowledges that the City has no obligation or responsibility to undertake or to complete any such installation, operation, repair, relocation or removal, or to comply with any laws, regulations, or orders applicable thereto. Grantee agrees that the City will not be liable or responsible in any manner for any loss, claim, or damage, including environmental damage, attributable to or arising out of any such installation, operation, repair, relocation, or removal. F. Within 30 days after any City-authorized transfer, sale, or assignment of this franchise, or any part thereof, or of any of the privileges 'rerein granted, Grantee must provide the City with written evidence of the consummation of that transfer, sale, or assignment, including a certification executed by a duly authorized officer of the Grantee. G. If, during the term of this franchise, or upon its expiration or revocation, the Grantee desires to discontinue the use and to abandon all or any portion of its pipeline or appurtenances, the Grantee must comply with the requirements of Section 17-46 of Chapter 17 of the Lynwood Municipal Code. H. If, for any reason, the Grantee intends to suspend its operation of the pipeline and appurtenances for a period in excess of 180 days, the Grantee must notify the City Engineer. During this period of suspended operations, the Grantee must maintain its normal safety surveillance of the pipeline and continue the operation of all cathodic protection systems to ensure the integrity of the pipeline. Grantee must continue these protective measures until such time as the pipeline is returned to service or is requested to be abandoned in accordance with paragraph G above. Section 8. Removal or Relocation of Grantee's Facilities. T.n connection with any change in grade, alignment, or width of any public street, way, alley, or place, or the construction of any subway or viaduct, or any other street improvement of any kind undertaken by the City in accordance with Section 6297 of the Public Utilities Code, Grantee must, at the request of the City and at Grantee's sole cost and expense, comply with all of the following provisions, as applicable: A. Within 90 days after Grantee's receipt of a notice in writing from the City that work is to be done pursuant to any reserved right and specifying the general nature of the work and 970818 10512-00001 syc 0592709 3 - d - the area in which the work is to be performed, the Grantee must do all things necessary to protect and support its franchise property during the progress of that work. If so ordered by the City, Grantee must disconnect, remove, or relocate those pipes and appurtenances installed, used and maintained within the street to such extent, in such manner, and for such period as may be necessary to permit the performance of the work in an economical manner, and in accordance with rules and regulations of the California Public Utilities Commission, and to permit the maintenance, operation and use of the street improvement. B. Grantee must pay to the City the full amount of any increase in cost for the construction, installation,_or repair...of any bridge, or any artificial support in or underlying any street in which any pipes or appurtenances of the Grantee are located, if that increase in cost is required in order to provide for the installation, maintenance, or operation of Grantee's pipes or appurtenances in or on the street area which the bridge or other artificial support covers or underlies. C. Grantee will cooperate with the City in taking all actions reasonably necessary in order to accomplish the comple- tion of any City street improvement project, as referenced in this Section 8, within a reasonable period of time. After receipt by Grantee of a notice in writing from the City that such improvement work is to be done, the Grantee will diligently discharge its obligations hereunder. Section 9. Construction of Facilities in Public Rights-of- Way. A. The Grantee must obtain an excavation permit, and pay the applicable fee therefor, prior to commencing any excavation in the public right-of-way. The Grantee may obtain an excavation permit by filing a set of excavation plans with the City Engineer, which plans are subject to the City Engineer's review and approval. The excavation plans must show the location of the proposed excavation, as well as the location of all existig pipes, sewers, cordults, improvements, and other facilities in or under any street or public property in which the franchise property is located or proposed to be located. The excavation plans must also contain an adequate description of the proposed work, including an estimate of the duration of interference with any street traffic. B. In addition to the excavation plans referenced above in paragraph A, the Grantee must submit to the City Engineer documents that evidence compliance by the Grantee with those requirements set forth in Section 17-26 of Chapter 17 of the Lynwood Municipal Code that are applicable to pipelines for the transportation of hazardous liquid substances or highly volatile substances, including hydrocarbon substances. C. Where it is necessary to lay any underground pipes through, under, or across any portion of a paved or macadamized street, that work, where practicable and economically feasible, must be done by a tunnel or bore so as not to disturb the foundation of the paved or macadamized street. If this cannot be done, or if it is necessary to cut the street in order to access existing pipes and appurtenances, that work must be done pursuant to an excavation permit, as provided in paragraph A above, to be issued by the City Engineer upon application therefor. D. All work is subject to inspection by the City Engineer. All street coverings or openings, valves, vaults, and manholes must at all times be kept flush with the surface of the streets; provided, however, that vents for underground vaults and manholes may, subject to the prior approval of the City Engineer, extend above the surface of the streets when those vents are located in parkways, between the curb and the property line. The Grantee must provide adequate traffic safety barriers, signs, devices, and traffic safety warning equipment in accordance with City ordinances, rules and regulations, and must comply with such 970818 10512-00001 eyc 0592709 3 - 5 - additional safety measures as may be required by State statutes and regulations. Section 10. Emergency Situations. A. The Grantee must develop and maintain an emergency response plan that meets all applicable requirements of Federal and State law, and that covers all franchise operations within the City. The emergency response plan will require the Grantee to have available, on a 24-hour basis, personnel to operate and maintain the pipeline, as well as adequate standby equipment and trained standby emergency crews for the purpose of implementing emergency-r-esponses including-repairs, oil-spill cleanup, and other remedial actions to prevent or minimize damage, or the threat of damage, to persons and to the environment resulting from an earthquake, act of war, civil disturbance, flood, leakage, rupture, explosion, fire or other cause. 'Unless otherwise mandated by State or Federal law, the emergency response plan must include an immediate notification program and proof of arrangements capable of providing emergency response services, including but not limited to traffic control, street excavation, pipeline repair, and supplies and services as necessary, within two (2) hours after notification of any problem. Repairs to a public street, alley, or parkway must be completed within 72 hours unless otherwise authorized by the City Engineer. The City Engineer must be notified 10 days in advance of any proposed change in those arrangements. B. Whenever any pipeline or appurtenance breaks or leaks so as to cause the release of oil or products thereof into the public right-of-way, Grantee, and any other person using or controlling the pipeline or appurtenance, must immediately notify the City's Fire Department and Public Works Department and must implement precautionary safety measures including traffic control, system shutdown, valve closures, and public notification. In the event of an emergency that threatens life, health, safety, or property, and where it is not possible to obtain an excavation permit prior to commencement of the work, the Grantee may commence that work; provided, however, that within 72 hours thereafter the Grantee must make application to the City Engineer for an excavation permit in accordance with the procedures specified herein. The City Engineer may impose conditions upon the issuance of the excavation permit, and all work will be subject to inspection. Adequate traffic safety barriers must be maintained at all times, and any damaged portion of the street must be restored to its original condition. Section 11. Repair of Damage to Public Rights-of-Way. A. If any portion of any street is damaged by reason of defects.in any of the pipes and appurtenances maintained or constructed by Grantee, or by reason of any other cause attributable to or arising from the operation of any pipes and appurtenances constructed or maintained by Grantee, the Grantee must, at its sole cost and expense, immediately repair all damage and restore the street to the condition existing before that damage occurred. This work must be done under the direction of the City Engineer, and to the reasonable satisfaction of the City Engineer. Grantee must repair the damage and restore the street within 3 working days after written demand therefor by the City Engineer, or such other period as the City Engineer may authorize when required for the protection of the public health and safety. B. If the Grantee, after reasonable notice, fails or refuses to pave, surface, grade, repave, resurface, or regrade as required by the provisions of this franchise, the City may cause the work to be done and will prepare an itemized account of all costs incurred. The Grantee will reimburse the City for all such costs, including reasonable administrative overhead expenses, within 30 days after presentation to Grantee of an itemized account of those costs. 970818 10512-00001 syc 0592709 3 - 6 - Section 12. Disclaimer Regarding Information Provided by the City. Grantee acknowledges that the City's records may not be complete and that pipes and appurtenances previously unknown to the City are frequently discovered. Consequently, by granting this franchise, or by approving any excavation permit requested by Grantee, the City does not warrant the accuracy of information supplied to the Grantee by the City regarding the location or existence of other facilities. Nothing herein may be deemed to make the City, or any officer, agent, or employee of the City, responsible or liable to the Grantee, or to any other person, by virtue of~the City's approval of excavation permit plans, regardless of whether any information is supplied by the City to the Grantee pertaining to the location of existing pipes, facilities, or other improvements on, in, or under any street or other public property. Section 13. Remedies Upon Grantee's Default. A. If the Grantee fails, neglects or refuses to comply with any of the provisions or conditions of this franchise, and does not, within 10 days after written demand for compliance, begin the work of compliance, or after commencing that work of compliance, fails to prosecute that work with due diligence to completion, then the City, acting by and through its legislative body, may declare this franchise to be forfeited. B. In the event of noncompliance by the Grantee with any of the conditions of this franchise, the City may, in addition to all other remedies provided for herein, bring suit for the forfeiture or termination of this franchise. C. If Grantee is unable to comply with any of the terms, provisions, or conditions of this franchise by reason of strikes, riots, acts of God, acts of public enemies, or other such causes beyond its control, Grantee will not be deemed to be in default or to have forfeited its rights under the franchise if it commences and prosecutes such compliance with reasonable promptness as soon as it is possible to do so. Section 14. Filing of Documents of the Grantee. Within 3o days after passage and adoption of this Ordinance granting the franchise, the Grantee must file with the designated officers of the City the following instruments or documents: A. File with the City Clerk the Grantee's written acceptance of the terms and conditions of this Ordinance. B. File with the City Clerk the following: (1) A copy of the Grantee's policy of Worker's Compensation Insurance covering the Grantee's statutory obligations to its employees under California law. If Grantee is self-insured, evidence must be provided that Grantee has been certified by the state to self-insure and that the required bond is in effect. (2) A copy of the policies of liability insurance, or, in lieu thereof, certificates evidencing that insurance, which policies must be in compliance with the requirements of Section 17- 10 of Chapter 17 of the Lynwood Municipal Code. (3) Evidence that the State Fire Marshal has certified that the Grantee has demonstrated sufficient financial responsibility to respond to liability in the maximum amount of one hundred million dollars ($100,000,000) as required by Civil Code Section 3333.4. 970818 10512-00001ayc 0592709 3 - 7 - C. File with the Director of Public Works, on or before the effective date of this Ordinance, a bond issued by an admitted surety insurer, and in a form approved by the City Attorney, in the penal sum of one hundred thousand dollars ($100,000), conditioned that the Grantee will 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 specified will be recoverable from the principal and surety upon that bond. If the bond is not filed, or if it does not receive the approval of the City Attorney, the franchise may be revoked or forfeited and any money paid to the City in connection therewith will be retained by the City. Section 15. Reimbursement of Publication Expenses. The Grantee must pay to the City a sum of money sufficient to reimburse the City for all posting and publication expenses incurred in connection with the granting of this franchise. That payment must be made by Grantee within 30 days after the City provides to the Grantee a written statement of those expenses. Section 16. Miscellaneous Provisions. A. Cumulative Remedies. No provision of this franchise having the purpose of securing the enforcement of its terms and conditions will be deemed to be an exclusive remedy, or to afford the exclusive procedure, for the enforcement of those terms and conditions, and the remedies and procedures herein provided, in addition to those provided by law, are deemed to be cumulative. B. Notices. Where the manner of service of any notice required to be giver. u:,der the terms of this franchise is not specified, that notice may be served as follows: (1) Upon the City, by personally serving the City Manager or the City Clerk, or by addressing a written notice to the City Clerk of the City of Lynwood, at 11330 Bullis Road, Lynwood; California 90262, and depositing that notice in the United States mail, postage prepaid. (2) Upon the Grantee, by personal delivery to the Secretary of the corporation or by addressing a written notice to Grantee addressed to the General Manager, Pacific Pipeline System, Inc., 333 South Grand Avenue, Suite 1600, Los Angeles, California 90071, and depositing that notice in the United States mail, postage prepaid. Either party may change its address for delivery of notice by delivering written notice of any change of address to the other party. C. Costs of Litigation. If any legal action is instituted to enforce any terms and conditions of this franchise, or to recover damages attributable to an alleged breach of any terms and conditions of this franchise, the prevailing party is entitled to recover from the losing party all reasonable costs and expenses incurred in that litigation and such amount as the court may determine to be reasonable attorney's fees for the representation of the prevailing party in that action or proceeding. D. Governing Law. The terms and provisions of this ordinance granting the franchise will be interpreted and construed in accordance with the laws of the State of California. 970616 10512-00001 syc 0592709 3 - 8 Section 17. Definitions. Whenever the words or phrases defined in this section are used in this Ordinance, they have the following meanings: A. "City" means the City of Lynwood, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated, enlarged, or reincorporated form. B. "Franchise" means the authorization from the City to the Grantee to transmit and distribute oil or products thereof for any and all purposes in, under, along, or across the public streets, ways, alleys, and places in the City by means of pipes and appurtenances. C. "Grantee" means Pacific Pipeline System, Inc., a corporation organized and existing under the laws of the State of Delaware, and its lawful successors or assigns. D. "Lay and use" means to lay, construct, erect, install, operate, maintain, use, repair, replace, or remove. E. "oil or products thereof" means oil, gasoline, petroleum, wet gas, hydrocarbon substances, water, waste water, mud, steam and other liquid substances not more hazardous than the aforesaid substances. F. "Pipes and appurtenances" means pipes, pipelines, manholes, valves, scraper traps, flanges, appurtenances and service connections necessary or convenient for the operation of those pipes or pipelines, including conduits, cathodic protection devices, a fiber optic cable communications system, wires, cables and other appurtenances necessary or convenient for the exercise of the Grantee's business in, upon, along, across, or under those streets of the City that are described in the Resolution entitled "A Resolution of the City Council of the City of Lynwood Delineating Certain Locations for the Installation and Operation of Pipelines and Other Facilities in Connection with a Franchise Granted to Pacific Pipeline System, Inc.," adopted on October 7 , 1997. G. "Streets" means the public streets, ways, alleys, and places within the City as the same now or may hereafter exist, and in which the City has the authority to grant a franchise. Section 18. The City Clerk is directed to certify to the passage and adoption of this Ordinance and to cause it to be posted or published as required by law. First read at a regular meeting, of the City Council. of Said City held on the 16th 'day of September, 1997, and finally ordered published at a regular meeting of said Council held on t 7th day of October,1997. PAUL ICHARDS, II, MAYOR ATTEST: ANDREA L. HOOPER, CITY CLERK APPROVED AS TO FORM: V~'~Al,...:. ~. I~.~- CITY ATTORNEY 970618 10512-00001 eyc 0592709 3 - 9 r '~+ STATE OF CALIFORNIA ) SS. COUNTY OF LOS ANGELES ) I, the undersigned, City Clerk of the Lynwood City Council do herPhy rertify that the above and foregoing is a full, true and conect copy of Ordinance No. 1466 on file in my office and that said ordinance was adopted on the NTH day of OCTOBER , 19 97 ,and passed by the following vote: AYES: COUNCILMEMBER BYRD, HENNING, RICHARDS NOES: NONE ABSENT: COUNCILMEMBER REA ~~ ~~ City Clerk, City of Lynwocd