Fort Walton Beach Ordinance — 1297--Adopt New Pay Plan — reading text

READING! PATE. i G-je-Flg City of Fort Walton Beach ‘2; gzé Amerteas Most Beautiful Beaches y Ordinance 1297 AN ORDINANCE OF THE CITY OF FORT WALTON BEACH, FLORIDA, RELATING TO NATURAL GAS UTILITY FRANCHISE; PROVIDING FOR DEFINITIONS; PROVIDING FOR GRANT OF FRANCHISE; PROVIDING FOR NON-EXCLUSIVE GRANT; PROVIDING FOR GEOGRAPHIC AREA; PROVIDING FOR TERM; PROVIDING FOR CONSIDERATION; PROVIDING FOR THE CITY NOT TO COMPETE; PROVIDING FOR ACCOUNTING, AUDIT, INSPECTION; PROVIDING FOR REGULATION OF RATES; PROVIDING FOR ASSIGNMENT; PROVIDING FOR COMPLIANCE WITH LAWS; PROVIDING FOR CONDITIONS OF OCCUPANCY OF PUBLIC WAYS; PROVIDING FOR RESTORATION; PROVIDING FOR PROPER OPERATION; PROVIDING FOR RELOCATION AT DISTRICT EXPENSE; PROVIDING FOR SAFETY REQUIREMENTS; PROVIDING FOR SERVICE POLICIES; PROVIDING FOR MONITORING PERFORMANCE AND COMPLIANCE; PROVIDING FOR INDEMNIFICATION, LIABILITY AND INSURANCE; PROVIDING FOR ANNUAL AUDIT; PROVIDING FOR COLLECTION PROVISION; PROVIDING FOR DEFAULT CLAUSE; PROVIDING FOR RIGHT TO PURCHASE AFTER EXPIRATION OF FRANCHISE; PROVIDING FOR OPERATIONS DURING DISPUTE; PROVIDING FOR CONTINUITY OF SERVICE MANDATORY; PROVIDING FOR MISCELLANEOUS; PROVIDING FOR FAILURE TO REQUIRE PERFORMANCE, NOT A WAIVER; PROVIDING FOR SEVERABILITY; PROVIDING FOR CAPTIONS; PROVIDING FOR REPEALING CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Okaloosa County Gas District is an independent agency of the State of Florida created by the State Legislature by Special Act in the year 1953 to provide natural gas service to areas specified in said Legislation; and WHEREAS, the District has performed its Legislative function since its inception by providing natural gas service; and WHEREAS, the City Council of Fort Walton Beach and the Okaloosa County Gas District find that it is in the public interest to insure that all areas within the City limits are continued to be adequately previded with high quality gas service; and WHEREAS, the City Council of Fort Walton Beach finds it in the public interest to retain control over the use of public rights of way by providers of gas to ensure against interference with the public convenience, to promote aesthetic considerations, to promote planned and efficient use of limited right of way space, and to protect the public investment in right of way property; and WHEREAS, it is mutually desirable and in the public interest to insure that such high quality gas service rendered by the Grantee in the past be maintained in a safe and efficient manner; and WHEREAS, the District is required by Federal and State regulatory agencies to observe safety standards to protect the general public including regulation by the appropriate federal and state agencies as to safety standards; and WHEREAS, the City Council of Fort Walton Beach finds that the granting of a non exclusive franchise to the District to assure that the said objectives are facilitated and promoted; and NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WALTON BEACH, FLORIDA: SECTION 1. DEFINITIONS. For the purposes of this ordinance the following terms, phrases, words, abbreviations and their derivations shall have the meaning herein given. When not inconsistent with the context, words used in the present tense include the future tense, words in the plural number include the singular number and words in the singular number include the plural number. The word "shall" is always mandatory and not merely directory. Words not defined shall be given their common and ordinary meaning. A. “Agreed" shall mean an expressed contractual covenant. B. "Corporate limits" shall mean the corporate limits of the City as said limits are now established or as such limits may hereafter be extended. Cc. "Customer" shall mean any person, firm or public or private corporation served by the Grantee within the franchise area. D. "Dedication" shall mean any real property appropriated to public gas use by its owner and accepted by the City for gas use on behalf of the public. E. "Distribution system" shall mean the distribution system of the Grantee lying within the corporate limits of the City and all such distribution facilities of the Grantee in the area adjacent thereto, as the Grantor and the Grantee shall mutually, in good faith, determine to constitute a component part of such distribution system. The term shall not include any interruptible customer or any connections or metering facilities of the Grantee used in connection with its gas transmission system or any transmission line tap connections for individual customers or metering facilities for such connections. F. "“Easement" shall mean real property, the right to use and enjoyment of which is vested in the public generally or in the Grantor, and which permits natural gas use. G. "Facilities or equipment" shall mean pipe, pipeline, tube, main, service, trap, vent, vault, manhole, meter, gauge, regulator, valve, conduit, appliance, attachment, structure or structures, and appurtenances used or useful in the distribution of gas, located or to be located in, upon, along, across, under or over the streets. H. "Fair market value" shall mean the price that a willing seller would take being under no compulsion to sell and the price that a willing purchaser would pay being under no compulsion to purchase. I. "Franchise Area" shall mean the area subject to the franchise granted pursuant to this ordinance. J. "Gas" shall mean natural gas and/or commingled gas and/or manufactured gas which is distributed in pipes. It shall not mean bottle gas or any other fuel. K. "Grantee" shall mean the Okaloosa County Gas District and its successors. L. "Grantor" shall mean the City of Fort Walton Beach, its successors and assigns. M. "Gross Revenues" shall mean all sums of money which the Grantee receives or becomes lawfully entitled to receive from the sale of gas within the franchise area with the exception of reasonably uncollectible receivables. The Grantee will diligently pursue its collectible receivables. In view of federal and state 2 regulatory uncertainty, monies received from gas transportation sold separately from gas delivered in the franchise area is excluded from gross revenue at this time. However, this subject will be reviewed and negotiated by Grantor and Grantee at such time as Grantee receives a legitimate cusmtomer request for gas trasportation by Grantee, sold separately from gas, within the franchise area. Grantee shall promptly advise Grantor, in writing, of such request. At the time of such request, Grantor and Grantee shall mutually, and in good faith, considering all relevant regulatory factors, decide the issue. N. "Highway" shall mean a way or place of whatever nature, publicly maintained and open to the use of the public for purposes of vehicular travel. Highway shall include street or alley. QO. "Interruptible customer" shall mean any customer who receives natural gas from the Grantee under the Commercial and Industrial Interruptible Gas Service Rate I-1-G or pursuant to any contract which anticipates and permits interruption of gas service on short notice. P. "Legislative Charter" shall mean the legislative act creating the Okaloosa County Gas District, being Chapter 29334, Laws of Florida, Special Acts of 1953, as amended by Chapter 31051, Laws of Florida, Acts of 1955 (Senate Bill No. 1286), and as further amended by Chapter 86-468 (House Bill No. 1418), Laws of Florida. Q. "Public property" shall mean any real property owned by the Grantor other than a highway, sidewalk, easement or dedication. R. "Sidewalk" shall mean that portion of a highway, other than a roadway, set apart by curbs, barriers, markings or other delineation for pedestrian travel, including paths and parkways, not on private lands. Ss. "Transmission system" shall mean the Grantee's main transmission lines, laterals, metering stations, connections and other components thereof used in the transporting of gas to connect to the distribution system within the City and to transport gas to such other distribution systems or points of destination in other cities or unincorporated territories. SECTION 2. GRANT OF FRANCHISE. Grantee is hereby granted a non-exclusive franchise, including every right and privilege appertaining thereto, to erect, construct, own, install, extend, renew, repair, improve, operate and maintain a gas manufacturing plant or plants, gas transmission system, gas distribution system. and such other facilities or equipment as may be necessary or desirable for the purpose of providing gas services, and lawful activities necessary to perform and provide gas services enumerated in Grantee's Legislative Charter, in, upon, above, over, under and across the present and future highways, sidewalks, easements, dedications and other public property within the franchise area, such mains, pipes and conduits and other property as may be necessary and appurtenance to a gas service system, and the right to transmit same to the inhabitants within the franchise area on the terms and conditions hereinafter set forth. In exchange for this grant of franchise, Grantee hereby undertakes to perform each and every obligation assigned to it herein and hereby agreed to. Grantor also agrees to perform each and every obligation assigned to it herein and hereby agreed to. SECTION 3. NON-EXCLUSIVE GRANT. The right to use and occupy said highways, sidewalks, easements, dedications and other public property for the purpose herein set forth shall not be exclusive, and Grantor reserves the right to grant a similar use in said highways, sidewalks, easements, dedications and other public property to any other person. SECTION 4. GEOGRAPHIC AREA. This franchise covers the geographical area of the entire City limits of the City of Fort Walton Beach, Florida. Grantee agrees that the limits of the franchise are subject to expansion or reduction by annexation and contraction of municipal boundaries and that Grantee has no vested right in a specific area. The Grantee hereby agrees to provide service to any and all areas that may be annexed to the City provided feasibility of the area annexed meets the same feasibility requirements for extension of service as other areas serviced by the Grantee. Subject to reasonable and diligent priority, service to all areas proven feasible should be available within six (6) months of notification by the Grantor that the annexed area desires natural gas service. Any and all annexed areas will fall under the same terms and conditions of this ordinance as the current areas now located within the City. The Grantor agrees to notify the Grantee of the names and addresses of the residents in newly annexed areas within sixty (60) days of the date of the annexation. SECTION 5. TERM. The franchise shall be granted for a period of ten (10) years unless sooner terminated by reason of a breach of the terms hereof by the Grantee. Provided however, that the entire franchise is subject to renegotiation by notice of either party issued in writing within ninety (90) days of the fifth anniversary of this franchise. The exercise of its right to renegotiate on the fifth anniversary of this franchise shall not give the Grantor the right to terminate the franchise agreement or the right to exercise its purchase rights under Section 24. SECTION 6. CONSIDERATION. A. Grantee shall pay to the Grantor a sum equal to six percent (6%) of gross revenues. Payment to the Grantor shall be made in quarterly payments during the year with the last payment within ninety (90) days of the close of the fiscal year and without demand by the Grantor. Any adjustment payment due Grantor resulting from the Grantee's annual audit shall be made to Grantor by Grantee within thirty (30) days of the completion of the Grantee's annual audit. B. It is further understood and agreed that the consideration paid pursuant to this ordinance shall not be added