HomeMy Public PortalAboutOrd. 1189ORDINANCE N0. 7)gg
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LYNWOOD GRANTING A FRANCHISE TO MOBIL OIL CORPORATION
TO OPERATE AND MAINTAIN A PIPELINE SYSTEM FOR THE
TRANSPORTATION OF OIL AND GAS UNDER CERTAIN PUBLIC
HIGHWAYS IN THE CITY OF LYNWOOD; SETTING FORTH CONDITIONS
ACCOMPANYING A GRANT OF FRANCHISE; PROVIDING FOR AMOUNT
AND METHOD OF PAYMENT BY GRANTEE FOR THE PRIVILEGE
GRANTED, AND PROVIDING FOR THE TERM THEREOF.
The City Council of the City of Lynwood does hereby ordain as
follows:
SECTION 1. This ordinance shall be known and may be cited as
the "Mobil Oil Corporation franchise Ordinance."
SECTION 2. For the purposes of this ordinance, the following terms,
phrases, words and their derivatives shall have the meaning given herein.
When not inconsistent with the context, words used in the present tense include
the future, words in the plural number include the singular number, and words
in the singular number include the plural. The word "shall" is always mandatory
and not merely directory.
(1) "City" means the City of Lynwood.
(2) "Company" means the grantee of the rights under this franchise.
(3) "Council" means the City Council of the City of Lynwood.
(4) "Person" means any person, firm, partnership, association,
corporation, company, or organization of any kind.
SECTION 3. Grants of Authority. There is hereby granted by the City
to the Company the right and privilege to construct, operate and maintain oil and
gas pipelines (all of which shall be referred to hereinafter as the "facilities"),
under the streets, alleys, public ways and public places now laid out or dedicated,
and all extensions thereof, and additions thereto, to the City of Lynwood, and
more particularly described as follows:
(1) Imperial Highway from the east City limit to
Norton Avenue, thence along Norton Avenue to
line of State Street; thence southerly along
Santa Fe Avenue to the southerly boundary lip
(2) Alameda Street from the northerly City limit
City limit.
the intersection of
the westerly boundary
State Street and
ie of Weber Avenue.
to the southerly
SECTION 4. Non-exclusive Grant. The right to use and occupy said
streets, highways, public ways~and public places for the~purpose.herein set forth,
shall not be exclusive, and the City reserves the right to grant a similar use
of such streets, alleys, public ways and places, to any person at any time during
the period of this franchise.
SECTION 5. Compliance with Applicable Laws and Ordinances. The
Company shall, at all times during the term of this franchise, be subject to
all lawful exercise of the police power of the City, and to such reasonable
regulation as City shall hereafter by resolution or ordinance provide.
SECTION 6. Company Liability - Indemnification. The City of Lynwood
and its officers, agents, and employees shall not be answerable or accountable
in any manner for any loss or damage that may happen to the facilities or to
any part thereof, or for any of the materials or other things used or employed
in constructing, maintaining, and/or operating the facilities, or for injury or
damage to any person or persons, including employees of the Company, employees of
the City, as well as the public, or for any damage to adjoining or other property,
from any cause whatsoever arising out of or in connection with the exercise
by the Company of the rights granted to it hereunder, except damage caused by the
sole negligence or willful conduct of the City of Lynwood, itsagents, officers,
employees, or independent contractors who are directly responsible to the City
of Lynwood.
The Company will indemnify the City of Lynwood, its agents, officers,
and employees and will hold and save them and each of them harmless from any
and all actions, claims damages to persons or property, penalties, obligations
or liabilities that may be asserted or claimed by any person, firm, entity,
corporation, political subdivision, or other organization, arising out of the
construction, operation, and for maintenance of the facilities or arising out
of or in connection with the exercise by the Company of the rights granted to it
by this ordinance, whether or not there is concurrent passive or active negligence
on the part of the City of Lynwood, its agents, officers, and employees, and in
connection therewith:
a. The Company will defend any action or actions filed in connection
with any of said claims, damages, penalties, obligations or liabilities and will
pay all costs and expenses, including attorneys' fees, incurred by the City of
Lynwood in connection therewith;
b. The Company will promptly pay any judgment rendered against the
City of Lynwood covering such claims, damages, penalties, obligations, and
liabilities arising out of or in connection with the construction, maintenance,
and/or operation of the facilities or arising out of or in connection with the
exercise by the Company of the rights granted to it by this ordinance; and Company
agrees to save and hold the City of Lynwood harmless therefrom.
c. In the event the City is made a party to any action or proceedings
filed or prosecuted for damages or other claims arising out of or in connection
with the exercise by the Company of the rights granted toit hereunder, the Company
agrees to pay to the City any and all costs and expenses incurred by the City in
action or proceeding togetherwith reasonable attorneys' fees.
SECTION 7. Conditions on Street Occupancy.
(1) Use. All transmission and distribution structures, lines and
equipment erected by the Company within the City limits shall be so located as
to cause minimum interference with the proper use of the streets, alleys and
other public ways and places, and to cause minimum interference with the rights
or reasonable convenience of property owners who adjoin any of said streets, alleys
ur other public ways and places.
(2) Restoration. In case of any disturbance of pavement, sidewalk or
driveway or other surfacing, the Company shall, at its own cost and expense and
in a manner approved by the City Engineer, replace and restore all paving, sidewalk,
driveway or surfact of any street or alleys disturbed, in as good condition as
before said work was commenced, and shall maintain the restoration in an approved
condition for a period of ten (10) years under said franchise.
(3) Relocation. In the event that at any time during the period of this
franchise the City shall lawfully elect to alter, or change the grade of any street,
alley or other public way, the Company, upon reasonable notice by the City, shall
remove, relay and relocate its cables, pipelines, and other fixtures or facilities
at its own expense.
SECTION 8. The right is hereby reserved to the City to adopt, in addition
to the provisions herein contained and in existing applicable ordinances such
additional regulations as it shall find necessary in the exercise of its police
power, provided that such regulations, by ordinance or otherwise, shall be reason-
able, and not in conflict with the rights herein granted, and shall not be in
conflict with the laws of the State of California.
SECTION 9. Payment to City. Company shall pay to the City for the
privilege of operating said pipelines under this franchise, a sum equivalant`to
five ($0.05) cents per inch of internal diameter per foot, or two percent (2%)
of the gross annual receipts arising from the use, operation, or purpose of this
franchise with Mobil Oil Corporation, whichever is the greater, of the pipelines
heretofore or hereafter installed and maintained in public streets, alleys and ways
by virtue of the authority granted by the City. Said payment shall be made on or
before the first day of April of each and every calendar year during the term
hereof, beginning as of the effective day of the ordinance granting the franchise,
for the twelve-month fiscal period ending on the preceding October 31. In the
event any pipeline shall have been subject to the terms of this franchise for
only a fractional part of said twelve-month period, the payment therefor shall
be computed in the proportion in which the number of days in said fractional
part of the twelve-month period bears to three hundred and sixty-
five (365) days. The annual payment shall be accompanied by two copies of a report,
verified by the oath of a duly authorized representative of the Company, showing
the length of pipeline in public highways, the internal diameter of such lines, the
rate per foot and the total amount due. In the event new pipelines have been laid
longitudinally in public highways subsequent to the previous report, there shall be
included with the current report a statement showing the permit number, date laid,
feet applied for, feet laid, and size of all new lines located or constructed.
SECTION 10. Term of Franchise. The franchise and rights herein granted
shall take effect and be in force from and after the final passage hereof, as re-
quired by law, and upon filing of acceptance by the Company with the City Clerk,
and shall continue in force and effect for a term of ten (10) years after the effec-
tive date of this franchise, provided that if acceptance is not filed within thirty
(30) days, the provisions of this franchise shall be null and void.
SECTION 11. Company to Make All Repairs. Company shall repair, at its
own expense, any damage caused to any street, alley, way ors,other~,public~~.~~property
of the City of Lynwood by reason of any leaks, breaks or failure of any of the
pipelines or facilities maintained or operated under said franchise, at its sole
cost and expense. In the event the Company shall fail to make any such repairs
within ten (10) days after receipt of a notice and demand therefor from the City,
City may make such repairs at the cost and expense of the Company, which cost, by
the acceptance of the franchise, the Company shall agree to pay upon demand.
SECTION 12. Non-assigned. The Company shall not permit any right or
privilege granted by the franchise to be exercised by another, nor shall the fran-
chise or any interest therein or any right or privilege thereunder, be in whole or
in part sold, transferred, leased, assigned or disposed of, except to a corpora-
tion acquiring or owning a portion of the assets of the Company, through consoli-
dation, merger, or reorganization, or to a subsidiary of Company, or to any person,
firm or corporation having assets of more than Five Million Dollars ($5,000,000)
without the consent of the City expressed by resolution, provided, however, that
the provisions of the franchise shall not require any such consent, and no consent
shall be required for any transfer of grantee in trust or by way of mortgage or
hypothecation covering all or any part of the Company's property, which transfer,
mortgage or hypothecation shall be for the purpose of securing as indebtedness of
Company or for the purpose of renewing, extending, refunding, retiring, paying or
cancelling, in whole or in part, any such indebtedness at any time or from time
to time. Any such sale, lease, assignment or other disposition of franchise for
which consent is required hereunder, shall be evidenced by a duly executed instru-
ment, in writing, filed in the office of the City Clerk.
SECTION 13. Company to Notify City of Construction and Abandonment of
Pipelines. On or before the first day of May and November of each year during the
life of the franchise, the Company shall render to the City a statement showing in
detail the total length of any pipeline constructed, removed, or abandoned under
the franchise during the preceding six-month period, together with a map or maps
accurately showing the location in the public streets, alleys or ways of such pipe-
line thus constructed, removed or abandoned. Said statements and maps shall be
accompanied by the payment of an amount equal to the rate of One Hundred Dollars
($100.00) per mile for all pipeline constructed, if any there be shown on said
statement and maps.
SECTION 14. Insurance. The Company agrees to take out and maintain at all
times during the term of this franchise the following policies of insurance:
a. Public liability - bodily injury (including automobile) $500,000 each
person and $1,000,000 aggregate;
b. Public liability - property damage (including automobiles) $500,000
each accident and $500,000 aggregate. Each such policy of insurance shall:
1. Be issued by an insurance company which is qualified to do busi-
ness in the State of California and which has been approved in writing by the City
Manager;
2. Name and list as'an additional insured the City of Lynwood and
provide that the inclusion of more than one named insured shall not operate to im-
pair the rights of one insured against another insured and further provide that the
coverages afforded shall apply as though separate policies had been issued to each
insured;
3. Contain a provision that it acts as primary insurance and that
no insurance held or owned by the City of Lynwood shall be called upon to cover a
loss under said policy;
4. Contain a clause providing that the policy shall not be cancelled
or altered without 30 days written notice thereof given to the City by registered
mail; and
5. Otherwise be in a form satisfactory to the City. The requirements
of this section may also;be met by providing a self-insurance letter of agreement
containing liability and.protection provisions as seemed necessary~by the City Manager.
SECTION 15. Remedies in Event of Default. In the event the Company shall
fail to keep, fulfill or 'perform any of the terms. or conditions of the franchise,
and shall fail to remedy such defaults within thirty (30) days after notice from the
City, the City may, at its option, exercise, by resolution or ordinance, declare the
franchise forfeited. Upon such declaration of forfeiture the franchise shall be
deemed cancelled and terminated, and all of the rights and privileges of the Company
under the franchise shall! be deemed surrendered and terminated, and the City may
thereafter exclude the Company from any further use of the public streets, alleys
and way under the franchise.
SECTION 16. Publication. The Company shall assume the cost of publica-
tion of this franchise, as such publication is required by law. A bill for publica-
tion costs shall be presented to the Company by the City Clerk upon the Company's
filing of acceptance and shall be paid at the time.
SECTION 17. Severability. If any section, subsection, sentence, clause,
phrase, or portion of this ordinance is for any reason held invalid or unconstitu-
tional by any Court of competent jurisdiction, such portions shall be a separate,
distinct and independent provision and such holding shall not affect the validity
of the remaining portions thereof.
SECTION 18. Ordinances Repealed. City Ordinance No. 925 and previous
franchise ordinances shall be deemed repealed from and after the filing by Company
of acceptance by the Company with the City Clerk of this franchise.
SECTION 19. The City Clerk is hereby ordered and directed to certify to
the passage of this ordinance, and to cause the same to be published once in the
Lynwood Press, a newspaper of general circulation printed and circulated in the
City of Lynwood.
First read at airegular meeting of the City Council of said City held on
the 7th day of December 1982_, and finally ordered published at a
regular meeting of said Council held on the 71¢t day of December 19~.
i,
AYES: Councilmen Byork, Green, Morris, Rowe, Thompson
NOES: None
ABSENT: None
ATTEST:
Andrea L. Hooper, CITY CLER
City of Lynwood
APPROVED AS TO FORM:
Ci y Atto ney
" Louis A. Thompson, MAYOR
City of Lynwood
APPROVED AS TO CONTENT:
1 `, / , JI /`7D'1
f~L~~l%~~N.~%C~Za/
/arold C. Williams, DIRECTOR OF
PUBLIC WORKS/CITY ENGINEER
City of Lynwood
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
ss.
I, the undersigned, City Clerk of the City of Lynwood, and
ex-or"ficio clerk of the Council of said City, do hereby certify that the
above is a true and correct copy of Ordinance No. 1189 adopted by
the City Council of the City of Lynwood, and that the same was passed on
the date and by the vote therein stated.
Dated this2lst day of December 1982.
(SEAL)
City Clerk, City of Lynwood '