HomeMy WebLinkAbout2000 12 11 Consent D Florida Public Utilities Company
Date: 12/11/2000
This was moved to the Public Hearings Agenda
per the Commission on 12/11/00.
COMMISSION AGENDA
ITEM
December
Meeting
CONSENT X
INFORMA TIONAL
PUBLIC HEARING
REGULAR
MG~~
Authorization
REQUEST: The General Services Department requests the City Commission extend the
current franchise with Florida Public Utilities Company for One Hundred
Eighty (180) days from its expiration date of December 31, 2000.
PURPOSE: The purpose of this item is to allow time for further negotiations on terms and
conditions of a new franchise agreement with Florida Public Utilities Company,
which provides natural and propane gas services to portion of Winter Springs.
CONSIDERATIONS:
As of December 31, 2000, a franchise agreement with Florida Public Utilities
Company will expire. This agreement between the company and the Village of North
Orlando, was memorialized in ordinance form, and became effective December 31, 1970.
On May 17,2000, FPUC transmitted a proposed agreement to be effective
December 31, 2000.
On June 5, 2000, an initial negotiating session was conducted in City Hall to
discuss terms and conditions in the proposed agreement. Present were the Division
Manager of PFUC, the Director of General Services, and the Director of Public
Utilities/Public Works.
The City requested four changes to the proposed agreement during this
negotiating session, and another during a subsequent telephone conversation between the
FPUC Division Manager and the Director of General Services.
December 11, 2000
Consent Agenda Item "D"
Page 2
During the intervening six months, further discussions were conducted by
telephone, with FPUC indicating it could satisfy only one of the five requested changes,
and it has offered a compromise on another.
Staff wishes to continue negotiations and pursue interests that benefit the City,
but requires additional time to do so.
FUNDING:
N one required.
RECOMMENDATION:
It is recommended that the current franchise agreement be extended through July 1,2001,
to allow for additional negotiations with FPUC.
A TT ACHMENTS:
Ordinance #54 of the Village of North Orlando, passed and adopted December 21, 1970.
COMMISSION ACTION:
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ORDINANCE
AN ORDINANCE OF THE VILLAGE COUNCIL OF THE
VILLAGE OF NORTIl ORLANDO, IN SEMINOLE COUNTY,
FLORIDA, GRANTING TO FLORIDA PUBLIC UTILITIES
CONPANY, ITS SUCCESSORS AND ASSIGNS) A GAS
FRM~alIS~ AND IMPOSING PROVISIONS AND CONDITIONS
RELATING THERETO, PROVIDING AN EFFECTIVE DATE'
BE IT, AND IT' IS HEREBY ORDAINED BY TI-lE VILLAGE
COUNCIL OF THE VILLAGE OF NORTH ORLANDO) IN
SEMINOLE COUNTY) FLORIDA
Sec tion 1. THE VILLAGE' OF NORTH ORIANDO, . IN SEMINOLE
COUNTY, FLORIDA, hereinafter called the Grantor, hereby grants
to FLORIDA PUBLIC UTILITIES COMPANY, a Florida corporation,
hereinaftor culled the Grantee, itB successors and assigns, for
the term of thirty (30) years beginning ten (10) days aftel." the
date of the final passage of this Ordinance, the right, privileg~
and authority or franchise to construct or otherwise acquire and
to own, maintain, equip and operate plants and works, and all
necessary or desirable facilities. appurtenant, thereto, for the
purchase, transmission, distribution and sale of natural gas.
Section 2. The term "natural gas" shall mean and
include either natural gas unmixed as delivered to Grantee or
any mixture of such n~tural gas with artificial gas or with'
liquefied petroleum gas or with both, herein l~ferred to 'generall
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!I as "gas".
Section 3,
This.franchise shall include the right
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without the payment by Grantee of any tax, assessment or charges
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therefor to construct, lay., "extend, maintain, renew, remove.;~
replace, repair,~8e and operate gas pipes and gas mains, and all
appurtenances and appendages thereto, in, under
the present and future public streets, avenues,
.;
oth~rpublic places within the-present pr
or on or across
alleys, highways, I
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bridged, easements and
I. any fu turs corporate '1imi ts of the Grantor or it s suece ssors I
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for the purpose
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selling ..gas: t?;.".,,;...~ ..>,:;~;,
Grantor or its successors, and to persons nnd corporations
inhabitants tharcof as well as to porsonD or corporations beyond
the present or future corporate limits thet'eof.
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Grantee from meating all requirements of the Village building COdl
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Section 5. Grantee's facilities shall be so located or I
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with traffic over said streets, avenues, alloys, hig~mys, bridge~
easemcntD and other public places, and to interfere as little as
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Section 4.
Nothing herein contained shall relieve
and payment of any fees, licenses or ad valorem taxes.
relocated and so erected as to interfere a9 little as possible
possible with reasonable egress rrom and ingress to abutting
property.
The location or relocation of all facilities shall be
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made under the supervision and with the approval or such repre-
~ sentatives as the governing body of Grantor may designate for
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;! the purpose, but not so as unreasonably to interfere \<1ith the
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proper operation of Grantee's faciiitiea and service. When any
portion of a street is excavated by Grantee in the location or
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relocation of any of its facilities the portion of the street
so excavated shall, within a reasonable time and as early as
practicable after such excavation, be replaced by the Grantee
at its expanse and in as good condition 88 it wae at the time of
such excavation, and. in '~dditiont suc~ work shall be done only in,
the manner and pursuant to tho regulations, if any, established
by the ordinances of the Grantor.
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Section 6. Subject to the provisions hereof) Grantee
shall at all times during the term of this franchise promptly
and without discrimination furnish an adequate supply of gas of
standard quality and at a reasonably uniform and adequate pressure
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II to be maintained on Grantee's system, to Grantor and its suc-
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II cessors, and to persons and corporation inhabitants thereof who
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request the same and who agree to abide by Grantee's reasonable
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Section? Grantee shall acquire, construct, maintain
equip and operate all necessary plants, works and facilities for
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and sale of gas. for the ben~fit and convenience of Jrantor and
its inhabitants, and shall make promptly such extensions to
existing facilities as may be required by one or more customers,
or prospective cUBtom~rs, provided that if the revenues to be
derived from such extensions shall not afford a fair and
reasonable return on the cost of providing and rendering the
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required service, then and in that event, Grantee shall be
permitted to, a'nd is hereby authorized to exact from such custome ,
or customers, such reasonable cash advances, contributions, mini-
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mum guarantees oervice guarantees or other arrangements, as Hill
enable Grantee to earn a fair and reasonable return on the cost
of providing and rendering the required service.
Section 8. Grantee's rattls for gas shall at all times
be subject to such regulations as may be provided by lmoJ. Grantee
shall not be entitled to claim any value on account of this
franchise in the value of Grantee's property or rate base.
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Section 9. Subjest to the consumers' consent, Grantee
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shall have the right to install and maintain on the premises of
each of its customers' meters for measuring gas sold and delivere
and shall have the right of ingress and egress to the premises of
each consumer free of charge, from time to time., for the purpose
of reading, repairing, testing and maintaining Grantee's meters
and appurtenances. Such meters and appurtenances shall at all
times remain the property of Grantee, and shall be removable by
Grantee at any time, 'by"lawful means.
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Section 10.
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enforce reasonable rules and regulations with respect to the
extension, initiation and rendoring of gns service, including
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rules providing for the discontinuanoe of service to any customer
on account of non-payment of bills when due, or upon failure to
comlJly with the Grantee's other reasonable rules and regulations.
Section ll~ Grantee shall indemnify and save and keep
Grantor hannless from any and nll liability by reason of damage
or injury to any person or property \vhatsoever on account of
the negligence of Grantee in the installation, maintenance, and
operation of its facilities; provided Grantor shall promptly in
each caBe notify Grantee in writing of any claim against Grantor
on account thereof, and shall afford Grantee opportunity to
defend the same.
Section 12. Within thirty (30) days after the first
anniversary date of this grant and within thirty (30) days after
each succeeding anniversary date during the existence of this
grant, the Grantee, its succossors and assigns, shall pay to
the Grantor or its successors ~_'p'.~ivilege tax equal to the amount
b~._.:~~i.~3_ six (6) per cent of the amoullt_ of its gro~~.~e~~~s
(gross revenues being the~ount of revenues collect less
adjustments) from the sale of gas to residential customers and
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commercial.customers except interruptible customers within
the corporate limits of Grantor for the hJelve (12) calendar mon s
preceding the applicable anniversary date, shall exceed the amou t
of a..!lY. other taxes or licenses levied or imposed by G~~_~E.?.r
against Grantee'~ property, business, revenues,privileg~s, or
operations for the tax year preceding the beginning of the
applicable privilege tax year.
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Section 13.
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Grantee by its acceptance hereof I a.g-ree~~;,....~ " .
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to observe, perform and keep all of the agreements, undertakings
and conditions hereof to be observed, t>erformcd and. kept by
'I Gran tee.
Sectio~;4. Failure on the part of Grantee to comply
I in any substantial respect with any of the provisions of this
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I ordinance, shall be grounds for a forfeitur~ of this grant, but
I nb such forfeiture shall take effect if the reasonableness or
pro~riety thereof is protested by Grantee until a court of com-
petent jurisdiction (with right of appeal in either party)
shall have found that Grantee has failed to complyina sub-
stantial respect with any of the provisions of this franchise,
and the Grantee shall have six (6) months after the final determi-
nation of the question, to make good the default before a forfeit-
ure shall result with the right in Grantor at its discretion to
grant such additional time to Grantee for com~liance as necessitie
in the case require.
Section 15. In any case where there is interruption
or impairment of service, or failure of supply of gas or pressure,
Grantee shall promptly remedy such condition. No interruption
r impairment of service or failure of supply of gas or pressure
reason of force majeure, strike, breakdown, accident or other
auss or happening beyond ,the 'control o~ Grantee shall conStitute
breach of this ,ordinance provided that such interruption, or
mpairment of service or failure of supply of gas ~r pressure
y reason of force majeure, strike, breakdown, accident, or other
of happening shall be remedied promptly.
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... .;, \..:Seetiori :~~"~:~.:;'~q.t#i'ths.tan'din~tGra'ntee.~s~.aeeeptance
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this ordinance GrantEI~;:::sl:1alf:"b'e "under,' no' obligation . to';,begin::the."t~ '.~~:~:'.'~
cons truction ofi~s', P'l:~'~t'~:;::::~:~'~~~' and other facilities <for ~..~~~.::.....:" \.. ,....~:.::
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purehase~.....transmisBi6n';:~'r(:l!~t'~ibution' and sale of gas.' h~reun#r':""';~~:;,. .'...
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untiL:such':t:;im~.~'-'.a-;natuJ::l:1h:;..g~,s,;,is.:.~vail.able for pu'rcha~e~:by'::':;'; ::i:~\, ,.",
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;Grante~: at:'.such. 'poiqt,o~:,:::cie.liverY:t'>:'at such price or pric~s:;: a'nd.:>.>,: .',:.';:
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:in 'su.ch': q~uln'd.ties";;"a8fG.ra~tae": sh~lf:'<in:. its . sole' d1s'creeion',::de'em.::'~i;' ..'.,
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'satisfactory: and:: 'ap'pr.ove',,::'-\:.Graritee': shall have' the right to, :,', .
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. surrender this. francl1~s.e~, an4,',salvage all of its plant ; works ,
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and facilities j.n~ ~he'. .~"eIlt;: iiatural gas:, shall at any' t~e .cease.'.
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J. . to' be, 'availab'le ":~ordi~.t,riblt.tion and sale hereunder as..:'.aforesaid....
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'. .:,....'.'.Untit.'natura~:~~.gaB:.'::iB..available'as above' outlined, .
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, 'Grant~e',' shall:. furn1sli(;,,J..iquegi,ed: pe~roleum gas,' iri'eluding . mixed .:'-",::
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: :i~)~ ~9i~": re.~?~ed.:;'liqu~f~,~d'~..~.~~,~.~.,~~~,:ga~/,.t6 eustom'er~,:~w~t~~.~' the',
.':~.;~.. .::-;..-:. .....:.: ;''''1 ':', ';. >: ':~I'''~;~::':~:'(;i.;..l.~:.\~~?~:~~''''':'>':.':' ....J,~:.... :.: '. ~'.:'i:'..; .'.:;J!.... ,'.
~,':.:.::: 'lim~~S: .~~>~.h~: Y~.~'S,~~:~,;?#~;':'~~7i~.~'.:P{~~~0'.:.~hrOUgh :,~~'::,:~~?l~~~ :~ :..'
". ..':~: owned ~/sub~"idiary ;:;', i<',~'6,~i~B\.c'~'poratio'~,:' a Fi~rida.'c }p9ratipn., . :':;,
.: '" .: :.:..... ':'?<..,:.:;:,::.;i",;;,,:;>,;',:'(<:~\~;;;6P8::.;::!.F:;:,:.',; I:: .:<:...\'.....;.' . "'." ~~:; .' '. "::l':.:.::<. 'i"{::"";-; .::.;;~:.:./<.: ;'.1
" . Grante'e"'shal~"'~e,:.'p.,~"t11l,~~~,~:~y;r.~~''-:.~.t~,;I,dis~~~tion',. to sup ')~'y':sa~'~..'.'",;,
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lique~ied.:: P(3 tro.~e~~'..gl:ls.";.;~~.~ougl~ ',either individual.s to:r::ao. e tanks:':.. ..:;'~
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loea ted on '.cu.s to:~l3.J;8,.~:'.p'r'~~8.~s':;<:>.r,;,:.t:hro~gh .,
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'.. undergrou.nd.. s to~ag~/:~,~~s':':'l~n.~.;',~eryices. as provided herein.. . \:,.. .
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. ............. .,. ...:~~an ~~e.,~~~":),;":2~,~(' ,un~.~;l na ~r al ~as ;: .' f7r:.~ ~ade .. '\..':
available. in".thei')villa'ger::.qf.,:.~orth::Or~ando, it'. shalt' pay :'six '..(6%) .:;. :,.:.
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.pe.r~~.,D.p,; C?~;:';.i~~: ~i4.J~~,~.~d{~k:q:~.~~\~',.~,~~'~~.,.,of. 'all' g~8 :,.'s~~d'.:t9,','.reBi,x ,"-;',' .'
'" :~: "'~:',;':i'~~~::;' i ~,j"{ig:'~,;,. ~i ,~t,\:; i:if~:~;;~:Si:i.~t'~~~fiA~;';/j::\}::;:;,:::;\~~~/:~;.";', . ". ' .' . .:. ',; ,,:';,< '.",' :' . ;,i. :...,.l'; .~...: :~. :. 'j.:;;,. ':.:.,.. "....
...de~t~i:~\7~;~;:~'~I~.:~m~~~;'$j~'i;:~~f.~~~~~'~.d::'.~~bs idi~#y ,W,i th.~n' 'th~: ':::::'.:~' ~,:: ,:::,;:': ..'~
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.corporate;~'limitsi'a8:;prov.ided; herein.. ' . . .,.. "f.('~':""
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':.....).;<::,,: .~.:">: S.e.ct~onA:1.7,,~L~{..iri',!;;~gn~id~~ation of Grantee .18:~.,~nd.erta~'i.~gs.' ,.; .
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hereunder:, as .' evid~n,,:ed;' ~y.i;it;13.' :aceeptancehereof,:. the: .9rantor,:'(~,.~iik:;:..'::
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agrees' no.t:: to :.engage'r~ln': t~e...:,: pusipess . of' distributing. and~ 8ell:i.hg:::~ :'.:;:
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gas during the life of this franchise or any extension"\th'er~of9.?Y;$. ._'ro"
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in com~etition with the Grantee, its successors and assigns. '
Section 18. Grantor hereby reserves the right at and
ofter the expiration or termination of this grant to purchase
the property of..?~a~~ee used under this grant, as ~rovided by
the laws of Florida, in effect at the time of Grantee's acceptanc
hereof, including Section 167.22 of the Florida Statutes, 1969,
and as a condition precedent to the taking effect of this grant,
Grantee shall give and grant to the Grantor the right to p~rchase
so reserved. Grantee shall be deemed to have given and granted
such right of purchase by its acce~tance hereof, which shall be
filed with Grantor's Clerk within thirty (30) days after the
final passage of this .ordinance.
Section 19. All of the terms, provisions and con-
ditions hereof shall inure to and be binding upon the respective
successori and assigns of the Grantor and the Grantee.
Section 20. All gas franchise ordinances and parts of
gas franchise ordinances in conflict herewith shall be, and the
same are hereby repealed as of the effective date of this ordinanc .
Section 21. This ordinance shall take effect immediatel
.iupon its execution by the Mayor and Village C~erk of the Village
of North Orlando, Florida.
FIRST READING December 7 t 1970 '
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SECOND READING December 21, 197'0
THIRD AND FINAL READING December 21, ] 970
PASSED AND ADOPTED this 21st day of Dec\"m])er
, 197..Q.
ATTEST: I
HAYOR
VILLAGE CLERIC
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