Fort Walton Beach Council minutes — 03-09-1954 Regular — reading text

located within said municipalities; and WHEREAS, there is proposed ' hy the Electric Institute Tax Policy CorrillUttee two hills to ' he introduced in the 1954 Session of the Congress directed to the taxation of nonds issued ' hy pU'hl~ c nodies to finance the construction of utilities and to mmpose federal income tax upon municipally owned utilities; and WHEREAS, usch proposal strikes at the very SU'hstance and in- dependence of municipalities to which they entitled and which are has heen recognized hy the Federal Government as a field of govern- ment of equal dignity, close to the taxpayer and citizens and which the Federal Government has respected as essential and necessary for the welfare of the entire country; NOW, Tffi~REFORE, BE IT RESOLVED ~ Y THE CITY COUNCIL OF THE CITY OF FORT WALTON EACH, FLORIDA: SECTION 1. That the City Council of the City of Fort Walton Beach does hereh' y unanimously condemn the proposal of the Elec- tire Institute Tax Policy Committee, whereny the Federal Govern- ment will undertake to invade the historic prerogative of the municipalities and its citizens to govern themselves without fede- ral interference and does herehy go on record as heing opposed to the encouragement ' hy this committee of the taxation of municipal honds and federal taxation of municipally owned utilities, and declare that such effort hy the Federal Government will 'he the opening wedge whereny the smallest segments of government and the closest to the people will ne dominated ny the cnetralization of the Federal Dominion, and is one step closed to the confiscation of individual li~ erties of government. SECTION 2. ~ e it further resolved that a copy of this re- solution 'he forwareed to the Senators and Congressman of the State of Florida together \"'i th an urgent appeal that they undertake the defeat of this type of legislation, and that they fight for the preservatJon of the integrity and individualism of states, counttes. and cities.  255 SECTION 3. This Resolution shall take effect immediately its adoption ~ y the City Council, and shall ~ e pu~ lished. ZS6 upon 1954 I ADOPTED: March 9, ATTEST: sl O. K. Rodgers APPROVED: sl Thomas E. Brooks City Clerk Mayor A motion was made ~ y Mr. Ro~ erts and seconded ~ y ~ IT. ~ ass that the resolution ~ e passed. Vote aye, unanimous. The Clerk then read a letter from Mr. Fisher regarding the interest on his note. A motion was made ~ y Mr. Harneson and seconded ~ y Mr. Walker that the $ 120. 00 interest on the note due Mr. Fisher ~ e paid. Vote aye, unanimous. The following ordinance was introduced in writing ~y Mr. Theo Bass, a written copy thereof was furnished to each mem~ er of the Council, and said ordinance Was read ~ y sections, including its title: t?l- r' U- t! : J 4- ~ AN ORDINANCE GRANTING A FRANCHISE FOR THE OPERATION OF A GAS DISTRI~ UTION SYSTEM TO THE OKALOOSA COUNTY GAS DISTRICT AND PRESCRI~ ING THE TERMS, CONDITIONS AND PROVISIONS OF SAID FRANCHISE, DEFINING ' THE TERMS SET FORTH IN YBE ORDINANCE, PROVIDING THAT THE FRAN- CHISE GRANTED MAY BE COVERED ~ Y ANY MORTGAGE OR I~~ EN- I TURE OF TRUST OF THE DISTRICT FOR SECURING ITS BONDS, PROVIDING THAT THE FRANCHISE SHALL BE EXCLUSIVE INSOFAR AS AN EXCLUSIVE FRANCHISE IS OR NAY HEREAFTER ~ E AUTH- ORIZED OR PERMITTED pY LAW TO A P~ LIC CORPORATION SUCH AS THE DISTRICT, PROVIDING THAT THE DISTRICT WILL CONSTRUCT AND OPERATE THE DISTRIBUTION SYSTEM AND KEEP IT IN GOOD REPAIR AND OPERATING COIIDITION, PROVIDING THAT THE FRANCHISE SHALL CONTINUE IN FORCE AND EFFECT FOR A PERIOD OF THIRTY YEARS, RESERVING TO THE CITY THE RIGHT AT THE EXPIRATION OF THE TERM OF THE FRANCHISE TO PURCHASE THE GAS PLANT OR OTHER PROPERTY USED UNDER OR IN CONNECT10N WITH THE FRANCHISE, PROVIDING THAT THE TERH OF THE FRANCHISE SHALL CONMENCE UPON ITS ACCEPTANCE BY THE DISTRICT, PROVIDING FOR ANNUAL PAYMENTS BY THE DISTRICT TO THE CITY, PROVIDING THAT THE CITY WILL NOT DURING THE TERM OF THE FRANCHISE CONSTRUCT, ACQUIRE, OWN OR OPERATE OR CAUSE TO ~ E OPERATED A PLANT OR SYSTEM FOR THE DISTRI~ UTION OF NATURAL GAS WITHIN THE CORPORATE LHUTS OF THE CITY AIID THE AREA ADJACENT THERETO EXCEPT THROUGH THE EXERCISE OF AN OPTION TO PURCHASE PROVIDED FOR THEREIN" GRANTING TO THE CITY AN OPTION TO PURCHASE THE DISTRIBUTION SYSTEH AND PRESCRI~ ING TIlE TERMS MJD CO~mITIONS THEREOF, PROVIDING FOR AN AN} ffiAL AUDIT OF THE BOOKS, RECORDS AND ACCOUrITS OF THE DISTRICT, PRES- CBIPING THAT THE O~ LIGATIONS UrIDERTXKEN PY THE DISTRICT I 25q UNDER THE FRANCHISE SHALL - qE P AYARLE AND illSCHARGEABLE 25J> SOLELY FROM THE PROCEEDS OF THE SALE OF ITS BONDS OR THE REVENUES DERIVED BY THE DISTRICT FROM TIill OPERATION OF ITS GAS TRANSMISSION SYSTEM OR SYSTEMS AND ITS GAS DISTRI'8UTION SYSTEM OR SYSTEMS, PHOVIDING THAT THE CONTI~mATION OF THE FRANCHISE SHALL NOT BE SUBJECT TO OR CONDITIONED OR LHlITED UPON THE IvlAKING OF THE PAY- 118NTS PROVIDED THEREIN OR COMPLIANCE WITH THE OTHER COVENANTS AND PROVISIONS CONTAINED THEREIN, PROVIDING THAT T"BE MUNICIPALITY SHALL HAVE THE HIGHTS SET FORTH IN SECTION 46 OF ITS CITY CHARTER AND THAT UPON THE EXERCISE OF SUCH BIGHTS THE CITY \' lILL TAKE AND PRUCHASE GAS FROM THE DISTRICT AND PRESCRIT)ING THE ' rERNS At\[!) COrIDITIONS THEREOF, AND PROVIDING FOR THE PU- q L I C A T I O N OF SAID ORDINANCE. BE IT ORDAINED BY THE CITY OF FORT WALTON ~ EACH, Florida, as follow s : Section 1. Whenever used in th&s Ordinance, the following words shall have the following meaning: Municipality" the City of Fort Walton Beach. means Districtll Okaloosa County Gas District. means the Corporate Limits" means the corporate limits of the Municipality as said limits are now esta1jlished or as such limits may hereafter ~ e extended. Distrih'ution System" means the distril"1ution system of the District lying within the corporate limits of the Munici- pali ty and all such distrP-, ution facilities of the District- I in the area adjacent thereto as the Municipality and the Dis- trict, With the consent and advice of the Consulting Engineer, shall determine to constitute a component part of such distri- ution system. The term, however, shall not include any Inter- rupti~le Customer or any connections or metering facilities for Interupti'hle Customers, or any transmission mains or other facilities of the District used in connection with its gas transmission system or any transmission line tap connec- tions for individual customers or metering facilities for such connections. Interupti"l1le customer who receives Customer" means a gas on an interupti"l1le " I1asis, as now or hereafter defined in the gas tariff or rate schedule of the supplier of sup- pliers of gas to the District, in an amount of 200, 000 cU'hic feet or more on any day. Non- Interupti'hle Gas" means gas sold to all classes of customers other than Interupti'hle Customers. Consulting Engineer" means such engineer or engineering firm as may from time to time ' he employed ' hy the District as consulting engineer in accordance with the requirements of the f', Mortgage. Bonds of the Districtll means any ' honds or O'hligations,  259 including refunding ~ onds or ohligations issued ' hy the Dist~ict for anyone more of the following purposes, or to- wit, for the purpose of securing funds with which to acquire, construct, en- large, extend, improve or oDerate the Distrinution System, or I for the purpose of securing funds with which to ac~ uire, construct, enlarge extend, improve or operate the whole or any part of the gas transmission system of the District, or for the purpose of securing funds with which to acquire, construct, enlarge, extend, improve or operate any other gas distrihution system or systems which the District may acquire, construct, enlarge, extend, im- prove or operate in any other municipality or municipalities. Mortgage" menas any mortgages or indentures of trust authorizing, providing for or securing any of the Bonds: of the District. Trustee" means any ' hank or trust company named as trustee under the Mortgage, or its successor