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HomeMy WebLinkAbout2001-06• Ordinance 2001-06 An Ordinance Granting to United Cities Gas Company, a Division of Atmos Energy Corporation, a Texas and Virginia Corporation, a Franchise to Operate and Maintain a Natural Gas Transmission and Distribution System in the Town of Pulaski, Virginia • ADOPTED: June 5, 2001 EFFECTIVE: June 5, 2001 -- ~~ ORDINANCE NO. 2001-06 AN ORDINANCE GRANTING TO UNITED CITIES GAS COMPANY, A DIVISION OF ATMOS ENERGY CORPORATION, A TEXAS AND VIRGINIA CORPORATION, A FRANCHISE TO OPERATE AND MAINTAIN A NATURAL GAS TRANSMISSION AND DISTRIBUTION SYSTEM IN THE TOWN OF PULASKI, VIRGII~tIA. WHEREAS, be it ordained by the Council of the Town of Pulaski, Virginia, that: SECTION I: There is hereby granted to United Cities Gas Company, a division of Atmos Energy Corporation, a corporation organized and existing under the laws of the State of Texas and the Commonwealth of Virginia, its successors and assigns (hereinafter individually and collectively, referred to as "Grantee"), the right, authority, privilege and franchise to construct, maintain, replace, repair and operate a system of gas mains, service pipes, regulator stations and all other necessary and appropriate equipment and facilities for the transmission, distribution and sale of natural gas in, upon, under, along, across and over the highways, streets, avenues, roads, alleys, lanes, ways, utility easements, parkways and other public grounds in the present or future corporate limits and in the environs of the community and Town of Pulaski (hereinafter referred to as "Town"), for the supplying and selling of natural gas and its by-products to said Town and • the inhabitants, industries, institutions and businesses thereof, and for such purposes to construct, lay down, r..aintain, replace, repair and operate all necessary gas mains, service pipes and other appliances, fixtures and facilities as may be necessary for the transmission, distribution and sale of such natural gas to said Town and the inhabitants thereof for domestic, commercial, industrial and institutional uses, and for other purposes for which it may hereafter be used, for a period of thirty (30) years from and after the passage and approval of this Ordinance: SECTION II: All gas mains, service pipes, fixtures, facilities and other appliances so laid, constructed and maintained by virtue of this Ordinance, shall be so laid, constructed and maintained in accordance with the best, latest and most acceptable engineering practices and in full accord with any and all applicable engineering codes adopted or approved by the natural gas distribution industry and/or engineering profession and in accordance with any applicable statutes of the Commonwealth of Virginia and the Rules and Regulations of the Commonwealth of Virginia State Corporation Commission (hereinafter referred to as "State Corporation Commission") or of any other governmental regulatory commission, board or agency having jurisdiction over the Grantee. Said facilities shall be so constructed as not to interfere with the drainage of said Town or interfere with or injure any sewer or any other improvement which said Town as heretofore made or may hereafter make in, upon or along any highway, street, avenue, road, alley, lane, way, utility easement, parkway or other public ground, or unnecessarily impede or obstruct such hightivays, streets, avenues, roads, alleys, lanes, ways, utility easements, parkways and other public grounds of said Town. • SECTION III: When the streets, avenues, alleys and other public ways are opened, or any other • opening is made by Grantee within the Town, whether the same be made for the purpose of laying, constructing, replacing, maintaining or repairing the mains, pipes and other appliances and fixtures of Grantee, said Grantee will place and maintain all necessary safety devices, barriers, ligas and warnings to properly notify all persons of any dangers resulting from such entrances, and will comply with all safety regulations required by federal, state and local laws. SECTION IV: In the event it becomes necessary or expedient for the Town to change the course or grade of any public highway, street, avenue, road, alley, lane, way, utility easement, parkway, or other public ground in which Grantee is maintaining gas mains, pipes or other appliances and fixtures, upon notification by the Town, the Grantee will remove or change the location or depth of such mains, pipes or other appliances and fixtures as necessary to conform to the proposed street alteration at Grantee's own expense. SECTION V: When any public highway, street, avenue, road, alley, lane, way, utility easement, parkway, or other public way is entered by Grantee, it shall, immediately following completion of work, restore the same to its former condition and to the reasonable satisfaction of the Town. In the event the Grantee shall fail to restore said streets, avenues, alleys or other public ways to their former state, the Town may, after giving Grantee reasonable written notice and failure by Grantee to make such restoration, make such restoration itself and charge the costs thereof to Grantee. SECTION VI: Grantee shall at all times indemnify and hold harmless the Town from and against any and all lawful claims for injury to any person or property by reason of said Grantee or its . employees' failure to exercise due care and diligence in and about the installing and maintenance of said system, guarding trenches and excavations while said system is being installed or subsequent extensions, repairs or alterations are being made or generally in the operation and maintenance of said system, provided the Grantee shall have been notified in writing of any claim against the Towr. on account thereof, and shall have been afforded the opportunity fully to defend the same. SECTION VII: Town and Grantee hereby agree that this Ordinance shall from time to time be subject to rules and regulations adopted by Grantee and approved by the State Corporation Commission or any other regulatory body having jurisdiction thereof during the term of this Ordinance, and shall also be subject to all Rules and Regulations adopted and approved by the State Corporation Commission or any other regulatory body having jurisdiction over Grantee, and that all such Rules and Regulations shall be and become a part of this Ordinance to the same extent and with the same effect as if said Rules and Regulations were herein set out in full. Grantee shall not be obligated or required to make any extension of distribution mains or service lines except in accordance with the provisions relating thereto adopted or approved by the State Corporation Commission. SECTION VIII: The granting of this franchise is made upon the express condition that the exercise of the same shall be subject to such regulations as may be adopted by the State Corporation Commission of Virginia or such other body upon which said State may hereafter . confer regulatory power over like corporations for the purpose of securing efficiency of public ~~ service at reasonable rates from said Grantee, its successors and assigns, in said Town of Pulaski, and the maintenance of the property and works of said Grantee in good order throughout the term of this franchise. It shall further be an express condition of the granting of this franchise that the franchise shall be subject to the passing by the legislature of legislation deregulatiog the Gas Utility Industry and that t}iis franchise may be modified in accordance with the adoption and passage of said deregulation legislation. SECTION IX: Nothing herein contained shall be construed as preventing Grantee from installing, placing, replacing, taking up, repairing or removing gas pipes, mains, service pipes or other devices for furnishing gas services, from using any easements for gas service which are shown on any plat or plats of any portion of said Town heretofore or hereafter platted or recorded or any such easement which may hereafter be created, granted or dedicated for any such utility proposed by any person, firm or corporation whatsoever. SECTION X: If any section or portion of any section of this Ordinance shall hereafter be declared or determined by any court of competent authority to be invalid, Grantee at its election (to be given to the Town by notice in writing within thirty (30) days after such declaration or determination) may ratify or confirm the remaining portions of this Ordinance and upon such ratification or confirmation the remaining portions of this Ordinance shall remain in full force and effect. SECTION XI: Grantee shall, within sixty (60) days after the passage of the Ordinance, file with the Town Recorder/Clerk of the Town of Pulaski, Virginia its unconditional acceptance, signed by its authorized officer, of the terms and conditions of this Ordinance and after filing of such acceptance, this Ordinance shall constitute a contract between the parties thereto and shall, subject to the rights and powers vested in the State Corporation Commission or such other regulatory body of the Commonwealth of Virginia as may hereafter succeed to the rights and powers of the State Corporation Commission or as may exercise statutory jurisdiction of natural gas companies furnishing gas service in the Commonwealth of Virginia, be the measure of the rights, powers, obligations, privileges and liabilities of said Town and of said Grantee. SECTION XII: All rights herein granted or authorized shall be subject to and governed only by this Ordinance, provided, however, that the Town expressly reserves unto itself all of its police powers to adopt general ordinances necessary to protect the safety and welfare of the general public in relation to the rights herein granted not inconsistent with the provisions of this Ordinance. All the privileges given and obligations created by this Ordinance shall be binding upon the successors and assigns of Grantee. SECTION XIII: In consideration of the benefits which in the judgment of said Town will accrue to it by reason of the construction and operation of said gas system and as an inducement to Grantee proposing to construct, maintain and operate said system, the Town hereby agrees with Gra~ltee that no franchise or pipe line tax, not now existing, shall be imposed or charged against Grantee by Town during the life of this franchise, but said Town hereby expressly reserves the • 3 • • right of assessing or charging any other valid tax of any nature, whether ad valorem or otherwise, which is now authorized or which maybe hereafter authorized by the general laws of the Commonwealth of Virginia. The cost of the advertisement for bids required by statute shall be reimbursed to the Town by the Grantee. WHEREAS, the United Cities Gas Company has bid the sum of $1 , 000.00 for such franchise and the Mayor having read said bid aloud to the members and inquired if any other bids were offered and whether any other persons were present desiring to bid upon said franchise, and it appearing that no other bids have been received and no other persons were present desiring to bid upon said franchise and the 5~' day of May, 2001 at 7:00 p.m. was set as the date and time Council would receive bids. SECTION XIV: This new Ordinance shall take effect and be in force immediately upon its passage by the Town of Pulaski, Virginia and approval by the Mayor of said Town. Jeffrey S. Worrell - A y e Pauline G. Mitchell - -A-~e Daniel Talbert, Jr. - Aye E. G. Black, Jr. - A y e Bettye H. Steger - A y e James M. Neblett - ~Xe Kenneth M. Fleenor - `ye Lane R. Penn - A y e ATT T: Patricia Cruise, Clerk of Council THE TOWN OF PULASKI, VIRGINIA BY: ~' iEy~.e.~.y Charles W. Stewart, Jr., Mayor ~~ • • I, Patricia Cruise, Clerk of Council, certify that the foregoing Ordinance 2001-06, granting to United Cities Gas Company, a division of Atmos energy Corporation, a Texas and Virginia Corporation, a franchise to operate and maintain a natural gas transmission and distribution system in the Town of Pulaski, Virginia, is a true and correct copy as adopted by the Pulaski Town Council at their regular meeting on June 5, 2001. Patricia Cruise, Clerk of Council tp/c/ordinance/2001-06