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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 '