HomeMy WebLinkAboutORD 13 (1989)ORDINANCE NO. 89-13_
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF DIAMOND BAR, GRANTING TO SOUTHERN CALIFORNIA
GAS COMPANY, A CALIFORNIA CORPORATION, ITS
SUCCESSORS AND ASSIGNS, THE RIGHT, PRIVILEGE
AND FRANCHISE TO INSTALL, MAINTAIN AND USE
PIPES AND APPURTENANCES FOR TRANSMITTING AND
DISTRIBUTING GAS FOR ANY AND ALL PURPOSES
ALONG, ACROSS, UPON, UNDER AND IN THE PUBLIC
STREETS, HIGHWAYS, ROADS, ALLEYS AND PLACES,
AS THE SAME NOW OR MAY HEREAFTER EXIST, WITHIN
THE CITY OF DIAMOND BAR.
A. Recitals.
(i) On May 16, 1989, the City Council of the City of
Diamond Bar adopted its Resolution No. 89-34 setting forth said
Council's intention to grant a franchise under and pursuant to
the provisions of Chapter 2 of Division 3 of the California
Public Utilities Code, commencing at Section 6201, and set the
date of June 6, 1989, at the hour of 7:00 p.m., as the time for a
public hearing wherein any and all persons having an objection to
the granting of such franchise could be heard.
(ii) On June 6, 1989, the City Council of the City of
Diamond Bar conducted a duly noticed public hearing with regard
to the granting of such franchise and concluded such hearing
prior to the adoption of this Ordinance.
(iii) All legal prerequisites to the enactment of this
Ordinance have occurred.
B. Ordinance.
THE CITY COUNCIL OF THE CITY OF DIAMOND BAR DOES ORDAIN
AS FOLLOWS:
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Section 1.
In all respects as set forth in the Recitals, Part A,
of this Ordinance.
section Z.
Whenever in this Ordinance the following words or
phrases in this section are used, they shall have the respective
meanings ascribed to them in the following definitions, unless,
in the given instance, the context clearly imports a different
meaning:
a. The word "Grantee" shall mean SOUTHERN CALIFORNIA
GAS COMPANY, a California Corporation, and its lawful successors
or assigns;
b. The word "City" shall mean the City of Diamond Bar,
a municipal corporation, in its present incorporated form or in
any later reorganized, consolidated or reincorporated form;
c. The word "streets" shall mean the public streets,
highways, roads, alleys, ways and places as the same may now or
hereafter exist within the City;
the City;
d. The word "Engineer" shall mean the City Engineer of
e. The word "gas" shall mean natural or manufactured
gas, or a mixture of natural and manufactured gas;
f. The phrase "pipes and appurtenances" shall mean
pipes, pipelines, mains, services, traps, vents, vaults,
^ manholes, meters, gauges, regulators, valves, conduits,
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^. appliances, attachments, appurtenances and any other property
located or to be located in, along, across, over, upon or under
the Streets of the City, and used or useful in the transmission
and distribution of gas;
g. The phrase "lay and use" shall mean to lay,
construct, erect, install, operate, maintain, use, repair,
replace or remove.
h. The word "franchise" shall mean and include any
authorization granted hereunder in terms of a franchise,
privilege, permit, license, or otherwise to lay and use pipes and
appurtenances for transmitting and distributing gas for any and
all purposes in, along, across, over, upon or under Streets
within the City. The franchise granted hereunder, and the
franchise fee required to be paid to City hereunder, shall be in
lieu of any other license or entitlement for the privilege of
transacting and carrying out the business of Grantee within the
City with respect to the distribution and sale of gas.
Section 3.
The right, privilege and franchise, subject to each and
all of the terms and conditions contained in this Ordinance, and
pursuant to the provisions of Chapter 2 of Division 3, of the
Public Utilities Code of the State of California, be and the same
hereby is granted to Grantee, its successors and assigns, to lay
and use pipes and appurtenances for transmitting and distributing
gas for any and all purposes along, across, upon, over, under and
^ in the streets of the City.
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91-0-ti—OM 4.
The term or period of this franchise shall be
indeterminate from and after the effective date hereof and shall
endure in full force and effect until the same; with the consent
of the Public Utilities Commission of the State of California, is
voluntarily surrendered or abandoned by its possessor, or until
the State of California or some municipal or public corporation
authorized by law shall purchase by voluntary agreement or
condemn under the power of eminent domain, all property actually
used and useful in the exercise of this franchise, situated
within the territorial limits of the State, municipal, or public
corporation purchasing and condemning said property, or until
this franchise shall be forfeited for non-compliance with its
terms by the possessor thereof.
sea i 5.
The Grantee shall pay to the City, at the times
hereinafter specified, in lawful money of the United States, a
sum annually which shall be equivalent to two percent (2%) of the
gross annual receipts of Grantee arising from the use, operation
or possession of said franchise; provided that such payment shall
not be less than one percent (1%) of the gross annual receipts
derived from the sale of gas within the City of Diamond Bar.
section 6.
The Grantee shall file with the City Clerk of the City,
within three (3) months after the expiration of the calendar
year, or fractional calendar year, following the date of the
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grant of this franchise, and within three (3) months after the
expiration of each calendar year thereafter, a duly verified
statement showing in detail the total gross receipts of the
Grantee, its successors or assigns, during the preceding calendar
year, or such fractional calendar year, arising from the sale of
the utility service for which this franchise is granted. It
shall be the duty of the Grantee to pay to the City within
fifteen (15) days after the time for filing such statement the
specified percentage of its gross receipts for the calendar year,
or such fractional calendar year, covered by such statement. Any
neglect, omission or refusal by said Grantee to file such
verified statement, or to pay said percentage, at the time or in
the manner herein provided, shall be grounds for a declaration of
a forfeiture of this franchise and of all rights hereunder.
Section 7.
This franchise is granted in lieu of all other
franchises owned by the Grantee, or by any successor or assign of
the Grantee, to any rights under this franchise for transmitting
and distributing gas within the limits of the City, as said
limits now or may hereafter exist, and the acceptance of the
franchise hereby granted shall operate as an abandonment of all
such franchises within the limits of City, as such limits now or
may hereafter exist, in lieu of which this franchise is granted
except as to any franchise derived under Section 19, Article XI
of the Constitution as that Section existed prior to the
amendment thereof adopted October 10, 1911.
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section 8.
The franchise granted hereunder shall not become
effective until written acceptance thereof shall have been filed
by the Grantee with the City Clerk of the City. When so filed,
such acceptance shall constitute a continuing agreement of the
Grantee that if and when the City shall thereafter annex or
consolidate with additional territory, any and all franchise
rights and privileges owned by the Grantee therein shall likewise
be deemed to be abandoned within the limits of such territory,
and the terms of this franchise shall apply to such territory.
section 9.
The franchise granted hereunder shall not in any way 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 shall 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 with respect to the Grantee or any public utility,
nor shall this franchise ever be given any value before any court
or other public authority in any proceeding of any character in
excess of the cost to the Grantee of the necessary publication
and any other sum paid by it to the City at the time of the
acquisition thereof.
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section 10.
The Grantee shall:
(a) construct, install and maintain all pipes and
appurtenances in accordance and in conformity with all and any of
the ordinances, rules and regulations heretofore, or hereafter,
adopted by the City Council of City in the exercise of its police
powers and not in conflict with the paramount authority of the
State, and, as to State highways, subject to the provisions of
general laws relating to the location and maintenance of such
facilities;
(b) 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, including, but not limited to,
reasonable overhead expenses in the sum of thirty percent (30%)
of City's direct costs;
(c) indemnify and hold City and its elected and
appointed officials, officers, agents and employees free and
harmless from all claims for damage or injuries to persons or
property by reason of Grantee's negligence or Grantee's acts or
those of Grantee's officers, agents or employees in connection
with Grantee's operations under this franchise. Grantee shall be
liable to City for all damages proximately resulting from the
failure of Grantee to well and faithfully observe and perform
each and every provision of this franchise and each and every
provision of Chapter 2 of Division 3 of the Public Utilities Code
of the State of California, including, but not limited to, any
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amounts for attorneys' fees and court costs assessed by a court
of competent jurisdiction;
(d) remove or relocate, at the request of the
City and without expense to the City, any pipes and appurtenances
installed, used and maintained under this franchise if and when
made necessary by any lawful change of grade, alignment or width
of any Streets, including the construction of any subway or
viaduct by the City; provided, however, that Grantee shall not be
required to bear the expense of any removal or relocation made at
the request of the City on behalf or for the benefit of any
developer or other third party;
(e) file with the City Council of the City at
least thirty (30) days after any sale, transfer, assignment or
lease of this franchise, or any part thereof, or of any of the
rights or privileges granted thereby, written evidence of the
same, certified thereto by the Grantee or its duly authorized
officers.
section 11•
Grantee shall, at all times during the term of this
franchise, maintain on a twenty-four (24) hour -a -day basis
adequate emergency equipment and properly trained emergency crew
as required by applicable regulations and laws for emergency
response purposes, including shutting off the pressure or
regulating the flow of the contents of such pipes and
appurtenances, in whole or in part.
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Section 12.
The Engineer shall have power to give the Grantee such
directions for the location of any pipes and appurtenances as may
be reasonably necessary in the opinion of the Engineer to avoid
sewers, water pipes, conduits or other structures in or under the
streets. Prior to the commencement of any work to construct any
pipes and appurtenances, the Grantee shall file with the Engineer
plans showing the location thereof, which shall be subject to the
reasonable approval of said Engineer and such construction shall
be subject to the inspection of said Engineer and done to his
reasonable satisfaction and in compliance with all and any City
rules, regulations, ordinances, standards and/or specifications,
subject to the paramount authority of the State. All street
coverings or openings of traps, vaults, and manholes shall at all
times be kept flush with the surface of the streets; provided,
however, that vents for underground traps, vaults and manholes
may extend above the surface of the streets when said vents are
located in parkways, between the curb and the property line
subject to the reasonable approval of the Engineer.
Section 13.
Where it is necessary to lay any underground pipes in,
across or under any portion of a paved or macadamized street, the
same, where practicable and economically reasonable, shall be
done by a tunnel or bore, so as not to disturb the foundation of
such paved or macadamized street. In the event that the same
cannot be so done, such work shall be done under a permit to be
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granted by the Engineer upon application therefor and subject to
all and any City rules, regulations, ordinances, standards and/or
specifications and not in conflict with the paramount authority
of the State.
S ct O.
If any portion of any street shall be damaged by reason
of breaks, leaks or defects in any of the pipes and appurtenances
maintained or constructed under this franchise, or by reason of
any other cause arising from the operation or existence of any
pipes and appurtenances constructed or maintained under this
franchise, Grantee shall, at its own cost and expense,
immediately repair any such damage and restore such street, or
portion of street, to as good a condition as existed before such
defect or other cause of damage occurred, with such work to be
done under the direction of the Engineer and in accordance with
all and any rules, regulations, ordinances, standards and
specifications of the City not in conflict with the paramount
authority of the State.
Section 15.
If the Grantee or its successors or assigns shall fail,
neglect or refuse to comply with any of the provisions of
conditions hereof, and shall not, within ten (10) days after
written demand for compliance, begin the work of compliance, or
after such beginning shall not prosecute the same with due
diligence to completion, then the City may declare this franchise
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forfeit.
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section 16.
Upon the permanent discontinuance of use of the pipes
and appurtenances or any portion thereof, Grantee shall, within
twenty (20) days thereafter, make written application to the
Engineer for authority to either (1) abandon all, or a portion,
of such pipes and appurtenances in place, or (2) remove all, or a
portion, of such pipes and appurtenances. Such application shall
describe the location of the pipes and appurtenances desired to
be abandoned or removed, and such other information as the
Engineer may reasonably require. The Engineer shall determine
under what conditions and terms the proposed abandonment or
removal may be safely effected and shall then notify the Grantee
of such requirements. Grantee shall, within ninety (90) days
thereafter, either remove all or such portion of such pipes and
appurtenances or abandon in place all or a portion of such pipes
and appurtenances, as directed by the Engineer.
If any pipes and appurtenances to be abandoned in place
subject to prescribed conditions are not abandoned in accordance
with all such conditions, the Engineer may make additional orders
including, if deemed desirable, an order that the Grantee remove
all such pipes and appurtenances in accordance with applicable
requirements. Any decision of the Engineer with respect to
conditions, interpretations of plans, specifications, rules,
regulations and/or standards shall be final subject to the
paramount authority of the State.
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Section 17.
The City may sue in its own name for the forfeiture of
this franchise in the event of noncompliance by the Grantee, its
successors or assigns, with any of the conditions thereof. In
the event of any such suit or other legal proceeding, the
prevailing party shall be entitled to attorneys' fees.
section }g.
Not later than thirty (30) days after Grantee receives
proof of posting of this ordinance, the Grantee shall file with
the City Clerk of the City a written acceptance of the franchise
hereby granted and an agreement to comply with the terms and
conditions hereof.
section
Grantee shall, at Grantee's sole cost and expense, keep
or cause to be kept in full force and effect, a comprehensive
form of general public liability insurance against claims and
liability for personal injury, death, bodily injury or property
damage arising from the use, construction, or maintenance of this
franchise in a combined single -limit amount of not less than $1
million for any one incident or occurrence. All such insurance
required by the express provisions of this ordinance shall be
carried only with responsible insurance companies and may be in
the form of insurance, self-insurance or self-insured retention.
For any insurance, as required herein, maintained by self-
insurance or a self-insured retention, Grantee hereby expressly
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agrees to waive the right of subrogation against the City and
against City's agents and representatives.
Any insurance policies maintained pursuant to the terms
of this Ordinance, other than self-insurance or self-insured
retention, shall, to the extent obtainable, contain language to
the effect that (1) the insurer waives the right of subrogation
against the City and against City's agents and representatives,
(2) the insurance is primary and noncontributing with any
insurance that may be carried by the City, and (3) it cannot be
canceled or materially changed except after thirty (30) days'
notice by the insurer to the City. Grantee shall furnish City
with certificates evidencing the insurance, as set forth in this
1-\ section. Grantee may effect for its own account any insurance
not required under this Ordinance.
Grantee shall deliver to City, in the manner provided
for notices, certificates of all insurance required by this
Ordinance.
If Grantee fails or refuses to procure or maintain
insurance as required by this Ordinance, or fails or refuses to
furnish City with required proof that the insurance has been
procured and is in force, City shall have the right at City's
election and on thirty (30) days' notice, to declare this
franchise forfeit.
Section 20.
Except as otherwise specified herein, or required by
law, notices may be served as follows:,
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Upon the City, by serving the City Manager or the
City Clerk personally, or by addressing a written notice to the
City Manager of the City of Diamond Bar, 21660 E. Copley Drive,
Suite 330, Diamond Bar, California 91765, and depositing such
notice in the United States mail, postage prepaid.
Upon the Grantee, by addressing a written notice
to Grantee addressed to Right of Way Department, Southern
California Gas Company, 3208 North Rosemead, P.O. Box 3249,
Terminal Annex, Los Angeles, California 90051 and depositing said
notice in the United States mail postage prepaid. Notice shall
be deemed received on date of receipt if given personally and
three (3) days after mailing, if mailed.
Any change of address shall be given as provided for herein
for notices.
Section 1.
The City Council declares that, should any provision,
section, paragraph, sentence or word of this Ordinance be
rendered or declared invalid by any final court action between
City and Grantee in a court of competent jurisdiction, or by the
California Public Utilities Commission, the remaining provisions,
sections, paragraphs, sentences, and words of this Ordinance
shall remain in full force and effect.
Sectio 22.
This Ordinance shall take effect thirty (30) days after
its adoption and upon acceptance by Grantee.
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Section 23.
The City Clerk of the City of Diamond Bar shall
certify to the passage of this Ordinance and shall post this
Ordinance in three public places within the City of Diamond Bar
within fifteen (15) days after its passage in the manner
prescribed by Resolution No. 89-6.
1989.
ADOPTED AND APPROVED this —nt-hday of line ,
I, ROBERT L. VAN NORT
, City Clerk of the
City of Diamond Bar, do hereby certify that the foregoing
ordinance was introduced at a regular meeting of the City
Council of the City of Diamond Bar held on the 6th day of
June , 1989, and was finally passed at a regular meeting
of the City Council of the City of Diamond Bar held on the
20th day of June , 1989, by the following vote:
AYES: COUNCIL MEMBERS: FORBING, Mayor Pro Tem HORCHER
and Mayor PAPEN
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: MILLER and WERNER
ABSTAINED: COUNCIL MEMBERS: NON
ATTEST :
City Clerk ot - thy, eitg
of Diamond Ba -r
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