HomeMy WebLinkAboutORD 0999 (1988) I ORDINANCE NO. 999
2 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF TUSTIN, CALIFORNIA GRANTING A FRANCHISE TO
3 SAN DIEGO PIPELINE COMPANY TO CONSTRUCT,
MAINTAIN AND OPERATE PIPELINES WITHIN CERTAIN
4 " PUBLIC ROADS, STREETS AND WAYS OF THE CITY OF
TUSTIN, CALIFORNIA
5
6 WHEREAS, San Diego Pipeline Company {"SDPC"), a Calliornia
public utility under Public Utilities Code Section 216(a), has
7 applied to the City of Tustin ("City") for the right to construct,
maintain and operate one 10 inch and one 16 inch pipeline along a
8 route within the City to transmit oil; and
9 WHEREAS, City is authorized to .grant ~ franchise upon the
public streets, ways, alleys and places within the City for, among
10 other purposes, transmitting and distributing oil pursuant to Sec-
tions. 6201, et seq. of the Public Utilities Code of t.he State of
11 California (the Franchise Act of 1937); and
12 WHEREAS, the City Council of City adopted a Resolution of
Intent to grant the franchise and held a hearing on
13 - January 4 ,' 1988, for the purpose of hearing objections
to the granting of the franchise; and
14
WHEREAS, the City Council finds and determines that it is in
15 the best interest and welfare of the City to grant the franchise
upon the terms and conditions hereinafter set forth in this Ordi-
16' Lance.
17 NOW, THEREFORE, TIlE CITY COUNCIL OF THE CITY OF TUSTIN DOES
ORDAIN AS FOLLOWS:
18
Section ~: Grant of Franchise
19
The City grants to SDPC, hereafter sometimes referred to as
20 "Franchisee", the non-exclusive right, privilege and franchise to
construct, maintain, inspect, operate, protect, repair and replace
21 a 10 inch pipeline and a 16 inch pipeline, including control fa-
Mcilities and other appurtenances and any facilities necessary for
22~ cathodic protection thereof, for the transportation of refined
petroleum products in, under, along, over and across the public
23 streets, roads, highways, alleys and other public ways described in
Exhibit "A", attached hereto and incorporated herein by this
24 reference.
25 Section 2: Term of Franch!_s_e
26 This franchise shall be for a period of thirty (30) years
from and after the effective date of this Ordinance.
27=
28
1
1 Section
2 A. ~sonable Regulation
3 City reserves the right to enforce reasonable regulations
concerning the construction and maintenance of granchisee's facili-
4 ties located in, under, along, over and across public streets,
roads, highways, alleys, and other public ways and the placement of
5 such facilities, including the appropriate depth of the pipelines,
subject' to valid and applicable federal and state laws and regula-
6 tions.
7 B. PerfgrmanceBgnd
8 Franchises shall, Concurrent with the filing .of its written
acceptance of franchise, file with the City Clerk, and at all times
9 thereafter maintain in full force and ef=ect for the entire term of
the franchise, at its expense, a faithful performance bond executed
10 by a surety company approved by the City Attorney in the amount of
One Hundred Thousand Dollars ($100,000.00), renewable annually, and
11 conditioned on the faithful performance by Franchises of all the
terms, conditions and covenants contained in t-he franchise. If
12 Franchises fails to comply with any one or more of the provisions
of the franchise, there shall be recoverable j6intly and severally
13 from the principal and surety of such bond any damages or losses
suffered by City as a result thereof. Such bond shall provide that
14 thirty (30) days prior written notice of cancellation, material
change, or intention not to renew such bond be given by the surety
15 ,company to City.
16 Neither the provisions of any bond accepted by City pursuant
hereto nor any damages recovered by City thereunder shall be con-
17 strued to excuse faithful performance by Franchises or limit the
liability of Franchises under the franchise or for damages, either
18 to the full amount of the bond or otherwise, or preclude exercise
of any other right or remedy given to City by law, whether exer-
19 cised concurrently or subsequently.
20 C. Indemnity
21 Franchises shall indemnify, hold harmless and defend City,
its boards, commissions, officers, and employees, acting pursuant
22 to City authority within the scope of their employment, against any
and all loss, damage or liability for injury to or death of any
23 person or any damage to any property caused by Franchises, its of-
ficers, agent's, or 'employees, in the construction, operation, or
24 maintenance of the pipelines, or arising out of the exercise of any
right or privilege under the franchise.
25
D. Comprehensive Liability Insuranc~
26 ' ~ ......
At all times during the term of the franchise Franchises
27 will, at its own cost and expense, maintain in full force and
effect a general comprehensive liability insurance with an insur-
28 ance company approved by the City Attorney. The coverage repre-
2
1 sented by such policy or policie~ shall be for the protection of
City, members of its boards and commissions, and its ~fficers and
2 employees acting pursuant to City authority and within the scope of
their employment against liability for loss or damage for bodily
3 injury, death, and property damage occasioned by the activities of
Franchises under the franchise. Minimum liability limits under the
4 policy or policies are to be One Million Dollars ($1,000,000.00)
for personal injury or death of any one person and One Million
5 Dollars ($1,000,000.00) for personal injury or death of two or more
persons, in any one occurrence, and Pive Hundred Thousand Dollars
6 ($500,000.00) for damage to'property resulting from any one occur-
rence.
7
The policies mentioned in the foregoing paragraph shall each
8 contain a provision that the City be named an additional insured
and a written notice of any cancellation or reduction in coverage
9 of the policies shall be furnished by the insurance company to City
thirty (30) days in advance of the effective date hereof.
10
.E. Limitation of_~_ranch~se
· No Privilege or exemption is granted or conferred upon
12 Franchises by the franchise except those specifically prescribed
herein. Any privilege claimed under the franchlse by Franchisee in
13 any place described in Exhibit "A" shall be subordinate to any
occupancy of same by City and to prior lawful occupancy of same by
any other public or private entity.or person.
15 F. Installation and Maintenance
16 Any pipeline laid, located or maintained pursuant to this
franchise shall be so placed and maintained as not to interfere
17 with the use of any such public ways by'the traveling public to.any
· greater extent than is reasonably necessary, and in laying said
18 pipeline or pipelines the Franchises shall fill the trench and
leave the surface of said public ways in as good condition as it
19 was prior to the excavation for said pipelines and in accordance
with City specifications and standards. Franchises shall comply
20 with federal, state and City laws and regulations applicable there-
to.
21
G. ~.ity Improvement or Repairs in Public Way~
22 - ' '-' .
City reserves the right to improve, widen, vacate, or re-
23 locate any such' public ways or portion thereof, over and within
which this franchise is granted, including the 'widening, change of
24 grade, construction or reconstruction of such public ways or por-
tion thereof. upon reasonable written notice given by City to
25 Franchises that work is to be done pursuant to the right reserved
herein, Franchisee shall, at its expense, do all things reasonably
26 necessary to protect, remove or relocate its property as required
in order to accommodate such work. All such things to be done and
27 work to be performed by Franchises shall be at the sole cost and
expense of the Franchises. Any damage done directly or indirectly
28 to any public ways or public improvement by the Franchisee, in
1 exercising directly or indirectly any right, power or privilege
under this franchise, or in performing any duty under or pursuant
2 to the provisions of' this-franchise, shall be promptly repaired'by
Franchises at its sole cost and expenset to the reasonable satis-
3 faction of City. Franchises shall pay to City on demand the cost
of all repairs to. public property made necessary by any operations
4 of Franchises under the franchise.
5 ~. Other Utilities
6 Franchises shall, in the installation, maintenance, repair,
replacement or reconstruction of its facilities authorized here-
7 under, cooperate and coordinate with all other utilities in
determining the location of and protecting and supporting their
8 facilities existing at the time of installation, replacement or
reconstruction of its facilities in the public rights of way
9 described in Exhibit "A" and shall bear the entire cost of any
necessary relocation, repair or reconstruction made necessary by
-10 reason of damage to such utilties caused by Franchises.
11 Franchises is and expects to.continue to be 'on the basis
currently in existence a member of Underground Service Alert of
12 Southern California, and otherwise agrees to take advantage of
equivalent 'available emergency communication arrangements.
13 .
I. Plans and Specif~qa_tigns
14
Franchises' shall submit detailed plans of the intended in-
15 stallations, for advance approval by the City Director of Public
Works. Upon completion of construction, Franchises shall furnish
t6 to the Director of Public Works a complete set of "as built"' plans
and specifications, including depictions of shutdown locations and
17 facilities. Any modifications to the pipelines orfacilities
during the term of the franchise shall be subject to all of the
18 requirements of thi.s subparagraph.
19 J- CommenCement and_ Completion of Construction
20 Franchises shall commence construction within 120 days from
the effective date of this Ordinance, provided, however, the City
21 Manager may, upon request of Franchises, extend the commencement
date for a reasonable period of time. Once commenced, construction
22 shall be completed within six (6) months. exclusive of any delay
caused by act of God, calamity, labor unrest or any other cause
23 outside the control of Franchises.
24 Section 4: 90nsider.a~on
25 Franchises shall, during the life of this franchise, pay to
City an annual franchise fee computed on the basis of the greater
26 of (i) two percent (2%) of the gr.oss annual receipts of Franchises
arising from the use, operation or possession of this franchise, or
27 (ii) such other'method specified in the Franchise Act of 193/. or
its successor. Franchises shall file with the Director of Finance,
28 within hhree (3) months after the expiration of the calendar year
1 for which payment is due, a verified statement specifying in detail
the total gross receipts of Franchises during the preceding calen-
2 dar year (or fractional calendar year) of the term hereof, arising
from the use, operation or possession of this franchise within the
3 City and the other methods specified above and shall pay to City
the franchise fee coincident with the filing of such statement.
4 Any neglect, omission or refusal of the Franchises to file such
verified statement, or to pay such annual franchise fee, at the
5 time or in the manner hereinbefore provided, shall be grounds for
the declaration of a forfeiture of this franchise and of all rights
6 of Franchises hereunder, if not corrected within ten [10) days
after written demand therefor by City.
7
SeCtion ~: Default
8
If FranChises shall fail, neglect or refuse to comply with
9 any of the provisions or conditions hereof or shall notr within ten
(10) days after written demand for compliance, begin the work of
10 compliance, or, after such beginning, shall not prosecute the same
with due diligence to completion, then the City may declare this
11 franchise forfeited.
12 In the event of such forfeiture, Franchises shall forfeit
and surrender to City all equipment and facilities that may be
13 located along, over, or under any streets, alleys, or other public
places within the corporate limit-~ of the City unless at the option
14 of City (i) such 'equipment and facilities are is removed within
thirty (30) days from the date of forfeiture or {ii) such equipment
15 and facilities are abandoned in place with proper cleaning and
filling. In the event of such. removal, Franchises hereby agree-~,
16 as a covenant and condition of this franchise, that the streets,
alleys and public places from which such equipment and facilities
17 are removed shall be restored and placed in good condition.
18 Section 6: Abandonment
19 In the event that the use and maintenance of Franchisee's
equipment and facilities pursuant to this franchise is' permanently
20 abandoned for any reason, Franchises shall promptly give written
notice thereof to City and shall thereafter-, upon being given ten
21 (10) days notfce by City, either abandon such equipment and facili-
ties in place to City or commence and diligently prosecute the
22 timely removal from the public ways of all such equipment and
facilities and promptly repair and restore the area from which Such
23 property has .been removed to the reasonable satisfaction of City.
24 Section 7: ASs-i.qnm_ent
25 The provisions of this franchise and all rights, obligations
and duties thereof shall inure to and be binding upon Franchises,
26 its successors and assigns. Franchises shall not sell, transfer or
assign this franchise or any of the rights or privileges-hereby
27 granted without the prior written consent of City, which consent.
will not be unreasonably withheld. If consent is given, Franchises
28 shall promptly file a copy of the duly executed sale or transfer
1 instrument in writing with the City Clerk.
2 Section $: Miscellaneous
3 A. Applicable Law
4 All pertinent provisions of Division 3, Chapter 2 of the
Public Utilities Code, as they now exist or are hereafter amended,
5 shall be applicable to the franchise granted hereunder. Franchisee
shall comply with all other valid, applicable state, federal and
6 City laws (including, but not limited to, the mitigation measures
listed in City EIR 87-2 which are incorporated herein by this
7 reference) concerning the construction, maintenance, repair and
replacement of the equipment and facilities installed pursuant to
8 this franchise.
9 B. Ci~' s Publication E_xpen_ses
10 Franchisee shall pay to City a sum of money sufficient to
reimburse City for all publication expenses incurred by it in
11 connection with the granting of this franchise. Such .payment shall
be made within thirty (30) days after City furnishes Franchisee
12 with a written statement of such expenses.
13 Section=. 9: Effective Date
14 This Ordinance shall' become effective thirty (30) days from
its adoption, or upon filing by SDPC of its acceptance of the
15 franchise with the City Clerk, pursuant ot Public Utilities Code
Section 6235, whichever is the later date.
16
PASSED AND ADOPTED at a regular meeting of the City Council
17 of the City of Tustin, California, held on 4th day of January, 1988.
~ " Mayor
21 i ATTEST:
24 ARW:Cj :D: 07/30/87 (C254)
ARW:cj :R:09/22/87 (C254)
25 ARW:Cj :R~12/16/87 (C254)
26
27
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NEWPORT AVENUE--Bryan Avenue to Irvine Boulevard
BRYAN AVENUE--Newport Avenue to Tustin Ranch Road
TUSTIN RANCH ROAD--Bryan Avenue to Edinger Avenue
EXHIBIT "A"
S. TATE OF CALIFORNIA )
COUNTY OF ORANGE ) §
CITY OF TUSTIN )
MARY E. WYNN, City Clerk and ex-officio Clerk of the City Council Of the City of
Tustin, California, does hereby certify that the whole number of the members of
the City Council of the City of Tustin is five; that the above and foregoing
· Ordinance No. 999 was duly and regularly introduced and read at a regular meeting
of the City C~cil held on the 21st day of Dece~er, 1987, and was given its
second reading and duly passed and adopted at a regular meeting held on the 4th
day of ,~anuar~, 1988, by the following vote:
AYES : COUNCILPERSONS: Edgar, Hoesterey, Kennedy, Kelly, Prescott
NOES : COUNCI LPERSONS: None
ABSENT: COUNCILPERSONS:. None
City of
Published in Tustin News
January 1,4, 1988