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418ORDINANCE NO. AN ORDINANCE GRANTING TO SOUTH FLORIDA NATURAL GAS CO., A FLORIDA CORPORATION, ITS SUCCESSORS AND ASSIGNS, A RNMOBOW FRANCHISE FOR THE OPERATION OF A GAS DISTRIBUTION SYSTEM IN THE CITY OF EDGEWATER, FLORIDA AND IMPOSING CONDI- TIONS AND PROVISIONS RELATING THERETO. BE IT ENACTED BY THE PEOPLE OF THE CITY OF EDGEWATER, FLORIDA: VD SECTION 1. There is hereby granted to SOUTH FLORIDA NATURAL GAS<4644 a Florida Corporation, (hereinafter referred to as the "Company'), its successors and assigns, the right, privilege and franchise for the full period of twenty (20) years from the effective date hereof, to construct, maintain, equip and operate gas distribution facilities and all necessary and desirable appurtenances thereto for the supplying and distribution of gas in the City of Edgewater, Florida, and to construct, equip, maintain and operate in, under, upon, over and across the present and future streets, avenues, alleys, highways, bridges, easements and other public places in the City of Edgewater, Florida (hereinafter referred to as the "City"), gas mains, pipes, conduits, laterals and other means of distribution, to- gether with all the necessary and desirable appurtenances, including dis- tribution mains, supply lines, valves, connections, meter boxes, stations, and/or other physical facilities and property installations that are re- quired in the construction, extension, operation and maintenance of a gas system for the purpose of distributing, selling and supplying gas to the said City and its successors, the inhabitants thereof, and to persons and corporations beyond the limits thereof for heating, cooling, cooking and other purposes. No franchise is herein granted or intended for areas outside of the corporate limits of City. SECTION 2. After the Company has extended its gas distribution ser- vice into the area encompassed by this franchise, it will continuously provide, at its own cost and expense in such area, but always in accordance with the other provisions of franchise, including the rules and regulations of the Company and rate schedules, gas distribution service to the residences and inhabitants of said property, in a manner to conform with all reasonable requirements of any and all public or governmental agencies having juris- diction over the Company's gas distribution operations. SECTION 3. The Company's facilities shall be so located or relocated and so constructed as to interfere as little as possible with traffic over streets, alleys, bridges and public places and with reasonable egress from and ingress to abutting property. The location or relocation of the Company's facilities shall be made under the supervision and with the approval of such representatives of the Governing Body of the City may designate for the purpose but not so as to unreasonably interfere with the proper operation of the Company's facilities and services. The cost Of relocation of the Company's facilities when necessitated by a purely municipal purpose, ie: the widening of existing roadway or the construction borne of new roadways shall be kmaed solely by the Company. The City shall not permit the Company's pipes, mains and appurtenances or other physical facilities constructed, installed or maintained in streets, highways and other public places at any time subsequent to the effective date of this franchise to be moved or transferred to accommodate purposes or interests other than those of the City, ie: 09093BBBBM telephone, electrical, etc.,, - except without cost to the Company, and then only upon condition that any necessary alterations shall be made under direction of the Company in such manner as shall not permanently impair the right hereby granted nor un- reasonably interfere with or injure the present or future structures, operations or business of the Company. SECTION 4. The City shall in no way be liable or responsible for any accident or damage that may occur in the construction, operation or maintenance by the Company of their systems hereunder and the acceptance of this Ordinance shall be deemed an agreement on the part of the Company to indemnify the City and hold it harmless against any and all liability, loss, cost, damage or expense which may accrue to the City by reason of the negligence, default or misconduct of the Company in the construction, operation or maintenance of its facilities hereunder. SECTION 5. Upon the annexation of any territory to the City, the portion of the Company's facilities that may be located within the annexed -2- territory and upon the public streets, alleys or public spaces thereof, shall thereafter be subject to all the terms of this Ordinance as fully as though by express extension of this Ordinance. SECTION 6. The cost of this franchise shall be payment of One Dollar ($1.00) by the Company to the City. SECTION 7. All gas facilities used, useful or held for use in connec- tion with the supplying of gas and gas services and installed by the Company shall at all times remain the sole, complete and exclusive property of the Company, its successors and assigns, and under the exclusive, com- plete and sole ownership, title and operation of the Company. No person, firm or corporation connecting to or using any of the gas services furnished by the Company shall have any right, title, claim or interest at and to such facilities. The Company shall have the right and privilege to use such facilities or any part of them for the purpose of furnishing gas services to persons, firms and corporations within and beyond the terri- torial limits of the City. No franchise is hereby granted or intended for areas outside of the corporate limits of the City. SECTION 8. The Company is authorized and empowered to charge to con- sumers of gas services the initial rates shown on the rate schedules annexed hereto and made a part hereof and marked as Exhibit "A", and the rates so established and enforced from time to time by the Company must at all times be reasonable and provide a fair return on the fair value of the facilities used and useful in the public service of providing gas to the consumers, and shall be subject to such regulations as may be pro- vided by law. The Company further agrees that such Governmental Agencies as are designated by law, may regulate the rates which the Company shall charge so as to provide a fair return on the fair market value of the facilities used and useful in the public service of providing gas facilities to consumers, including therein as an element of value the present and future earning capacity of the facilities, its goodwill and exclusive privileges. (a) No owner, tenant or occupant of any building shall have the right to connect to the gas facilities of the Company unless and until -3- formal written application has been made by the prospective user of such gas services, to the Company in accordance with the then rules and regula- tions of the Company and compliance made by such prospective user with such rules and regulations and until any and all sums of money have been paid by the party required to pay same. (b) The Company may establish, amend or revise from time to time and enforce rules and regulations for gas services, provided, however, that all such rules and regulations established by the Company from time to time shall at all times be reasonable and subject to such regulations as may be provided by law. SECTION 9. The Company shall indemnify the City against, and assume all liabilities for, damages which may arise or accrue to the City for any injury to persons or property from the doing of any work herein authorized, or the neglect of the Company or any of its employees to comply with any ordinance regulating the use of the streets of the City and the acceptance by the Company of this Ordinance shall be an agreement by it to pay to the City any sum of money for which the City may become liable from or by reason of such injury. SECTION 10. The City agrees to pass all ordinances necessary or suitable both for the reasonable protection of the rights and property of the Company and to enable the Company to enforce any of its reasonable rules and regulations for the management, operation and control of the services to be granted hereunder and to pass any reasonable ordinance or ordinances that will be necessary or suitable in order to fully confirm to the Company the rights herein or hereby granted, or intended so to be. SECTION 11. The Company is hereby given the right and authority to make assignments of this right, privilege and authority, and the rights hereunder, and all assignees shall be bound to the same extent as if they were originally named as the Company hereunder provided, however, that no assignment of this franchise to any other municipal or governmental agency shall be valid without the prior written consent of the City herein. Any assignee, prior to commencing operations under this franchise, shall be required to file current certified financial statements with the City council. SECTION 12. The City shall have the right at any reasonable time during normal business hours to inspect the financial books and records of the Company; provided, however, that prior to the said inspection the City shall give to the Company three (3) days' written notice by mail that such inspection will take place. The said inspection shall be made by an accountant or auditor of the City's choice and at the sole expense of the City and shall be conducted at the Company's principal place of business. Such inspection shall not, however, be made during such time as the books and records of the Company are in possession of the Company's accountants or auditors for the purposes of making the regular monthly audit or for the purposes of preparing the Company's tax returns. SECTION 13. The Company shall file with the City Clerk of the City its acceptance of this Ordinance within sixty (60) days of its effective date. SECTION 14. (a) Before this Ordinance shall become effective, it shall be the duty of the City Council of the City of Edgewater, Florida, to call an election within said City, which said election shall be called and held on the 3rd day of November, 1964. Notice of the holding of said election shall be by the posting of this Ordinance as prescribed by the Charter of said City, and the City Clerk is hereby directed to post accordingly. (b) The County Supervisor of Registration, Katherine S. Odham, is hereby authorized and directed to place the question of said franchise upon the voting machines of the City of Edgewater, Florida, and such shall be phrased as follows: "Are you in favor of the proposed gas franchise in the City of Edgewater, Florida?" - 5 - At said election, only those electors who are qualified electors in said City of Edgewater, Florida, at the date of said election shall be per- mitted to vote in said election. If a majority of the voters so qualified to vote and voting in said election vote for the adoption of said Ordinance, then such Ordinance shall become effective from and after the date of said election, or otherwise it shall not. The results of said election shall be duly certified to the said City Council. SECTION 15. The City hereby reserves the right at and after the expiration of this franchise to purchase the property of the Company used under this franchise as provided by the laws of the State of Florida in effect at the time of the Company's acceptance hereof, and in determin- ing the value of the facilities of the Company, there shall be taken into account the fair replacement value of the property used and useful in the public service and the present and future earnings of the Company, its goodwill and other intangible assets pertaining thereto. SECTION 16. Acceptance of this Ordinance shall operate as a grant by the Company to the City of the said right to purchase. SECTION 17. The provisions, stipulations, agreements, portions and sections of this Ordinance are severable and if any stipulation, agreement, portion or section or any part, or any of them, are held by any court of competent jurisdiction to be invalid, illegal or void, the illegality or invalidity of such provision, stipulation, agreement, portion or section or any part of them shall in no manner affect the validity or legality of the remainder of this Ordinance. SECTION 18. This Ordinance shall be in force and effect upon its passage and upon its publication as provided by law, and upon its subsequent approval by a majority of the qualified voters of the City voting at the election provided for herein. SECTION 19. The Company agrees that it will bill, collect and remit monthly all taxes lawfully levied on gas service charges of the Company. The billing and collection of such taxes shall be at the sole cost of the Company. SEG' 014 20. The Company agrees that pursuant to the terms of this franchise, it will continue to serve natural gas so long as the same is economically feasible. In the event that the Company should, subsequent to the date of this franchise, deem it necessary to convert its system to the distribution of any other form of gas, it will at no cost to its then existing customers, convert all customer appliances and gas burning equipment to accommodate the use of such other gas without cost to its customers. SECPION 21. That all Ordinances or parts of Ordinances in conflict herewith be, and the same are hereby repealed. The above Ordinance was read in full and passed by vote of the City Council of the City of Edgewater, Florida, at a Special Meeting of said Council held on October 2, 1964. Upon motion duly made, seconded and carried, the requirement of reading such Ordinance upon second reading was waived and the Ordinance was ordered put upon passage. Passed by vote of the City Council of the City of Edgewater, Florida, at a Special Meeting of the said Council held on the 2nd day of October, 1964, and approved as provided by law, the vote of said Council being as follows: �a,-0-- IQ, 60, Mayor CoupCounVima October,Attest: Approved this 2nd day of ,. �� _ I L _, ") - - 4 - - "/ - 7 - E X H I B I T A Schedule No. GS-100 General Service Rate: Gross Net First 5 Therms or less @ $1.85 $1.75 per month minimum Next 35 Therms @ 0.24 0.23 per Therm Next 30 Therms @ 0.19 0.18 per Therm Next 330 Therms @ 0.14 0.14 per Therm All over 400 Therms @ 0.12 0.12 per Therm Rate Schedule No. LV-100 Large Volume: First 40 Therms or less Next 460 Therms Next 500 Therms All over 1000 Therms $10.00 per month minimum @ 0.12 per Therm @ 0.10 per Therm @ 0.085 per Therm For Rate Schedule No. LV-100, the gross amount will be determined by adding 5% to the net amount.