93-021 ORD PROVIDING ORDINANCE NO 2564 WHICH GRANTED FRANCHISE TO LONE STAR GAS COMPANY
ORDINANCE N0. 93-021
AN ORDINANCE OF THE CITY OF PARIS, PARIS, TEXAS, PROVIDING
THAT ORDINANCE N0. 2564, WHICH GRANTED A FRANCHISE TO LONE
STAR GAS COMPANY, PASSED Aiv'D ADOPTED ON THE 13TH DAY OF
APRIL, 1981, BE AMENDED BY REVISING SECTION 9 OF SAID
ORDINANCE; PROVIDING FOR QUARTERLY PAYMENTS OF FRANCHISE FEE
ON ALL GAS SOLD AND UPUN THE VALUE OF ALL GAS TRANSPORTED;
PROVIDING FOR AN EFFECTIVE DATE IN ACCORDANCE WITH THE
CHARTER OF THE CITY OF PARIS.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PARIS:
Section 1. That Ordinance No. 2564 of the City of
Paris be amended by changing Section 9 therein so that the
complete ordinance as amended reads as follows:
"AN ORDINANCE GRANTING TO LONE STAR GAS COMPANY, A
CORPORATiON, ITS SUCCESSORS AND ASSIGNS, A FRANCHISE TO
FURNISH AND SUPPLY GAS TO THE GENERAL PUBLIC IN THE CITY OF
PARIS, LAMAR COUNTY, TEXAS, AND THE ENVIRONS THEREOF;
PROVIDING FOR THE PAYMENT OF A FEE OR CHARGE FOR THE USE OF
THE STREETS, ALLEYS AND PUBLIC WAYS, AND PROVIDING THAT IT
SHALL BE IN LIEU OF OTHER FEES AND CHARGES, EXCEPTING AD
VALOREM TAXES.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PARIS:
Section l. That the City of Paris, Paris, Texas,
hereinafter called CITY, hereby grants to Lone Star Gas
Company, hereinafter called COMPANY, its successors and
assigns, consent to use and occupy the present and future
streets, alleys, highways, public places, public thorough-
fares and grounds of CITY tor the purpose of laying,
maintaining, constructing, operating and replacing therein
and thereon pipelines and all other appurtenant equipment
needed and necessary to deliver and sell gas to persons,
firms and corporations, including all the general public,
within the CITY'S corporate limits and the environs thereof,
said consent being granted for a term of twenty-five (25)
years from and after the date of the final passage and
approval of this ordinance.
Section 2. For the purpose of erecting, laying,
extending and maintaining its gas lines and appurtenant
equipment, said COMPANY shall have the right and be permitted
to dig up the pavements, parkways between sidewalks and
street curb, streets, alleys or other public highways within
the City of Paris, after due written notice of such intended
work is given to the City Manager, and said COMPANY shall
replace and repair the same and be responsible for any and
all damage that may arise therefrom to adjoining property or
owners thereof, or for personal injury inflicted on any
person or member of the general public caused by or resulting
from its negligence in the performance of said work, and any
and all damage that may arise from failure to place the same
in as good repair as when dug up, and tor unreasonable delay
in replacing the same. All repairing or replacing of said
pavements shall be done in accordance with provisions of CITY
ordinances under the supervision and to the satisfaction of
the City Manager and City Engineer.
Section 3. Said COMPANY expressly agrees, covenants
and guarantees to said CITY that its present gas lines and
appurtenant equipment, as now erected and in use in said CITY
under previous grants, are equipped and constructed with the
most modern safety appliances in general use in this State
for the safety and protection of its employees, the customers
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of said COMPANY and ail members of the general public in
their ordinary use of any ot the premises named in Sections 1
and 2 of this ordinance, and that said COMPANY will so
maintain them and all additional or new works constructed
during the life of this ordinance; if not so equipped,
COMPANY will so equip within ninety (90) days after passage
of this ordinance, and thereafter so maintain.
Said CUMPANY further expressly agrees to defend at its
cost any suit or suits that may be filed against the CITY for
negligence of said COMPANY or any of its employees in the
maintenance, erection, use or repair of its plant, gas lines
or wcrk done on or in connection therewith, or any work
described in Sections 1 to 3, inclusive, of this ordinance,
and pay any judgment that may be finally rendered against
said CITY in any such suit or suits.
Failure or refusal to comply with either or both of the
foregoing provisions of this section shall constitute good
and sufficient cause for forfeiture of this franchise and
same may be forfeited by CITY, if, after thirty days' written
notice to COMPANY of CITY'S intention to forfeit, compliance
is still refused.
Section 4. In addition to the rates charged for gas
supplied, COMPANY may make and enforce reasonable charges,
rules and regulations for service rendered in the conduct of
its business including a charge for services rendered in the
inauguration of natural gas service, and may require, before
furnishing service, the execution of a contract therefor.
COMPANY shall have the right to contract with each customer
with reference to the installation of, and payment for, any
and all of the gas piping from the connection thereof with
the COMPANY'S main in the streets or alleys to and throughout
the consumer's premises. COMPANY shall own, operate and
maintairi all service lines, which are defined as the supply
lines extending from the COMPANY'S main to the Customer's
meter where gas is measured by COMPANY. The consumer shall
own, operate, and maintain all yard lines and house piping.
Yard lines are defined as the underground supply lines
extending from the point of connection with COMPANY'S
customer meter to the point of connection with consumer's
house piping.
Section 5. COMPANY shall not be required to extend
mains longitudinally on any street more than one hundred
(100) feet for any one consumer of gas, nor shall COMPANY be
required to connect consumer to high-pressure lines.
Section 6. COMPANY shall be entitled to require from
each and every consumer of gas, before gas service is
commenced, a deposit of twice the amount of an estimated
average monthly bill, which said deposit may be retained by
COMPANY until service is discontinued and all bi11s therefor
have been paid. COMPANY shall then return said deposit to
the consumer, together with six percent (6%) interest thereon
from the date of said deposit up to the date of
discontinuance of service. COMPANY shall be entitled to
apply said deposit, with accrued interest, to any
indebtedness owed COMPANY by the consumer making the deposit.
Section 7. The rights, privileges and franchises
granted by this ordinance are not to be considered exclusive,
and CITY hereby expressly reserves the right to grant, at any
time, like privileges, rights and franchises as it may see
Iit to any other person or corporation for the purpose of
furnishing gas for light, heat and power to and for CITY and
the inhabitants thereof.
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Section 8. COMPANY shall furnish reasonably adequate
service to the public at reasonable rates and charges
therefor; and COMPANY shall maintain its property, equipment
and appliances in good order and condition.
Section 9. COMPANY, its successors and assigns,
agree to pay and CITY agrees to accept on or before the 15th
day of May, 1993, a sum of money which shall be equivalent to
three percent (3%) of the gross receipts received by COMPANY
from the sale of all gas within the corporate limits of said
CITY from January l, 1993, through March 31, 1993, and for
the period, May 17, 1993 to June 30, 1993, COMPANY, it's
successors and assigns, agree to pay dnd CITY agrees to
accept on or before the 15th day of August, 1993, a sum of
money which shall be equivalent to three percent (3%) of the
fees received by the COMPANY for the transportation of gas to
a customer within the corporate limits of the CITY and three
percent (3%) of the customer purchase price of the gas
transported by the CUMPANY into the corporate limits of the
CITY; with a like payment for each quarter thereafter to be
made on the 15th day of the second month following the end of
each quarter, which payment shall be based on the preceding
quarter's gross receipts from gas sold, regardless of its
ultimate end use, including compressed natural gas,
hereinafter referred to as CNG, transportation fees, and on
the purchase price of transported gas, and continuing
throughout the life of this franchise up to and including the
May 15, 2006, quarterly payment, which quarterly payments
shall be for the rights and privileges herein granted to
COMPANY including expressly, without limitation, the right to
use the streets, alleys and public ways af said CITY. The
May 15, 2006, quarterly payment shall be based on gross
receipts from gas sold, transportation fees, and on the
purchase price of transported gas for the period January l,
2006 through April 13, 2006. The May, August and November
quarterly payments shall be for the calendar year in which
the payments are made. The February payment shall be for the
quarter ending December 31st of the previous year, and the
May 2006 quarterly payment shall be for the rights and
privileges herein provided for the period this franchise is
in effect in the year 2006. It is also expressly agreed that
the aforesaid quarterly payments shall be in lieu of any and
all other and additional occupation taxes, easement and
franchise taxes, or charges (whether levied as ad valorem,
special or other character of tax or charge), in lieu of
municipal license and inspection fees, street taxes and
street or alley rentals or charges, and all other additional
municipal taxes, charges, levies, fees and rentals of
whatsoever kind and character which CITY may impose or
hereafter be authorized to levy and collect, excepting only
the usual general or special ad valorem taxes, which CITY is
authorized to levy and impose upon real and personal property
and charges for repair and damage caused by COMPANY in using
the streets, alleys, public ways and public properties.
Should CITY not have the legal power to agree that the
payment of the faregoing sums of money shall be in lieu of
taxes, licenses, fees, street or alley rentals or charges,
easement or franchise taxes or charges aforesaid, then CITY
agrees that it will apply so much of said sums of money paid
as may be necessary to satisfy COMPANY`S obligations, if any,
to pay such taxes, licenses, charges, fees, rentals, easement
or franchise taxes or charges.
In order to determine the gross receipts received by COMPANY
from the sale of gas within the corporate limits of CITY and
from the fees received by the COrIPANY for transporting gas to
customers within the COMPANY'S lines into the corporate
limits of the CITY, and in order to determine the customer
purchase price of all gas transported by COMPANY into the
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corporate limits of the CITY, COMPANY agrees that on the same
date that payments are made as provided in the preceding
paragraph of this Section 9, it will file with the City Clerk
a sworn statement showing the gross receipts received by the
COMPANY from fees for the transportation of gas within the
COMPANY'S ]_ines to customers within the corporate limits of
the CITY, and from the sale of all gas, within said corporate
limits, and will include the customer purchase price of all
gas transported by the COMPANY into the corporate limits of
the CITY, for the calendar quarter preceding the date of
payment. CITY may, if it sees fit, have the books and
records of the COMPANY examined by a representative of said
CITY to ascertain the correctness of the sworn reports agreed
to be filed herein.
Each transportation customer of the COMPANY shall
disclose to the COMPANY the purchase price of said gas.
Should the transportation customer fail or refuse to disclose
or furnish such purchase price to COMPANY, COMPANY shall
establish same by utilizing 110% of the Houston Ship Channel
index of prices for large packages of gas published each
month in "Inside FERC's Gas Niarket Report" (or a successor
publication or another publication agreed upon by the CITY
and COMPANY) for the period of time the transportation
service is performed. COMPANY shall use all due diligence in
collecting from traiisportation customers any and all fees
required by this franchise agreement, but shall not be
responsible for paying same to the CITY if the COMPANY'S
custamer refuses to pay. Provided, however, that if the
COMPANY'S transportation customer refuses to pay the fee
imposed on the purchase price of the gas transported, and
remains delinquent in payment of such fee for a period
greater than thirty days, COMPANY shall be responsible for
the uncollected fee of any gas thereafter transported through
the rights of way of the CITY to COMPANY'S transportation
customer, but in no event shall the customer be relieved of
its obligation to reimburse the COMPANY for any fees paid to
the CITY. For all customer classes other than transportation
customers, COMPANY shall collect charges and franchise fees
from customers in accordance with COMPANY'S Quality of
Service rules, as amended from time to time.
Section 10. The franchise granted herein shall be
subject to the valid provisi.ons of Section 122 of the Charter
of the City of Paris and other applicable valid sections
therein, which are hereby incorporated by reference and
expressly made a part hereof, the same as if copied verbatim.
Section 11. This franchise ordinance shall not change
the COMPANY'S rate or charge currently in effect within the
city limits of Paris, Texas. The rates currently charged by
COMPANY may be changed and amended at any time by either the
CITY or COMPANY furnishing g,as in the manner provided by law.
Section 12. This franchise ordinance shall be
considered effective sixty (60) days from arid after the date
of its final passage and approval by the City Council and the
Mayor of the City of Paris and shall cancel, repeal,
supersede, nullify, take the place and be in lieu of that
certain franchise Ordinance No. 2564 passed and approved on
April 13, 1981, recorded in Ordinance Book 9, Pages 148, 149,
150 and 151 of the City of Paris, and being styled:
"An ORDINANCE GRANTING TO LONE STAR GAS COMPANY, A
CORPORATION, ITS SUCCESSORS AND ASSIGNS, A
FRANCHISE TO FURNISH AND SUPPLY GAS TO THE GENERAL
PUBLIC IN THE CITY OF PARIS, LAMAR CGUNTY, TEXAS,
AND THE ENVIRONS THEREOF; PROVIDING FOR THE PAYMENT
OF A FEE OR CHAKGE FOR THE USE OF THE STREETS,
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ALLEYS AND PUBLIC WAYS, AND PROVIDING THAT IT SHALL
BE IN LIEU OF OTHER FEES AND CHARGES, EXCEPTING AD
VALOREM TAXES."
Section 13. CUMPANY shall file its written acceptance
of this franchise ordinance within sixty (60) days after the
effective date of this ordinance as provided in the Charter
ot the City of Paris, Paris, Texas.
Section 14. This ordinance shall become effective
sixty (60) days after third and final reading at three
separate regular meetings of the City Council of the City of
Paris, the last of which shall take place not less than
thirty (30) days from the first.
INTRODUCED AND READ at a regular meeting of the City
Council of the City of Paris at the Council Chambers thereof
on the 12th day of April, 1993; read at a regular meeting of
the City Council of the City of Yaris at the Council Chambers
thereof on the 6th day of May, 1993; and third and final
reading at a regular meeting of the City Council of the City
of Paris at the Council Chambers thereof on the 17th day of
May, 1993, the last reading being not less than thirty (30)
days from the first.
Section 15. All ordinances or parts of ordinances in
conflict herewith are hereby expressly repealed.
Section 16. This ordinance shall become effective in
accordance with the Charter of the City of Paris.
FINALLY passed, adopted and approved by the City Council
of the City of Paris, at a regular meeting, this the 17th day
of May, 1993.
,
Ggkrge'Fisher, Mayor
ATTEST:
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Mattie Cunningham, City Cler
APPROVED AS 'FO FORM:
T.` . ay es, ity Attorney
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STATE OF TEXAS §
§
COUNTY OF DALLAS §
WHEREAS, there was finally passed and approved on May 17, 1993, Ordinance
No. 93-021 granting to Lone Star Gas Company, a Division of ENSERCH CORPORATION,
a corporation, its successors and assigns, a franchise to furnish and supply gas to the
general public in the City of Paris, Lamar County, Texas, for the transporting, delivery,
sale and distribution of gas in, out of and through said municipality for all purposes, which
is recorded in the Minutes of the City Council of said City; and
WHEREAS, Section 13 of said ordinance provides as follows:
"SECTION 13: Company shall file its written acceptance of this
franchise ordinance within sixty (60) days after the effective date of this
ordinance as provided in the Charter of the City of Paris, Paris, Texas."
AND, WHEREAS, it is the desire of Lone Star Gas Company, a Division of
ENSERCH CORPORATION, the holder of the rights, privileges and grants under the
aforesaid franchise ordinance, to comply with the above-quoted provisions of Section 13
thereof.
NOW, THEREFORE, premises considered, Lone Star Gas Company, a Division of
ENSERCH CORPORATION, acting by and through its duly authorized officers, and within
the time prescribed by Section 13 quoted above, does hereby agree to and accept the
franchise granted to it by the above-described ordinance, in accordance with its terms,
provisions, conditions and requirements and subject to the stipulations and agreements
therein contained.
WITNESS THE EXECUTION HEREOF, on this the day of
19
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' LONE STAR GAS COMPANY
ATTEST: A DIVISION OF
ENSERCH CORPORATION
~
~ .
K c
4si nt ecreta / ice President
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STATE OF TEXAS §
COUNTY OF LAMAR §
CITY OF PARIS §
I, City Secretary of the City of Paris, Texas, do
hereby certify that the above and foregoing is a true and correct copy of a formal
acceptance of a franchise ordinance finally passed and approved by said City on May 17,
1993, and of record in the Minutes of the City; and I do further certify that said
acceptance has been duly presented to the City Council and filed in connection with and
as a part of said franchise ordinance.
OF WHICH, witness my official signature and the seal of said City on this the
day of 19
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City ecretaryCity of Paris, Texas
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