HomeMy WebLinkAbout040 - 08/24/1967 - SUBMITTING TO THE TAXPAYING ELECTORS OF THE CITY THE QUESTION OF GRANTING A FRANCHISE TO PUBLIC SER J
AN
ORDINANCE NO 40 1967
BEING AN ORDINANCE SUBMITTING TO THE TAXPAYING ELECTORS OF
THE CITY OF FORT COLLINS LARIMER COUNTY COLORADO THE
QUESTION OF GRANTING A FRANCHISE BY THE CITY OF FORT
COLLINS TO PUBLIC SERVICE COMPANY OF COLORADO ITS
SUCCESSORS AND ASSIGNS TO CONSTRUCT PURCHASE ACQUIRE
LOCATE MAINTAIN OPERATE AND EXTEND INTO WITHIN AND
THROUGH SAID CITY OF FORT COLLINS PLANTS WORKS SYSTEMS
AND FACILITIES FOR THE PRODUCTION MANUFACTURE PURCHASE
STORAGE TRANSMISSION AND DISTRIBUTION OF GASEOUS FUELS OR
MIXTURES THEREOF BY MEANS OF PIPES MAINS OR OTHERWISE
OVER UNDER ALONG AND ACROSS ALL STREETS ALLEYS VIADUCTS
BRIDGES ROADS LANES PUBLIC WAYS AND OTHER PUBLIC PLACES
IN THE CITY OF FORT COLLINS, TO SELL FURNISH AND DISTRIBUTE
SAID PRODUCT TO THE CITY OF FORT COLLINS AND THE INHABITANTS
THEREOF AND FIXING THE TERMS AND CONDITIONS THEREOF AND
PROVIDING FOR THE CALLING AND HOLDING OF A SPECIAL ELECTION
UPON SAID QUESTION THE DETERMINATION OF THE RESULT THEREOF
AND FOR THE EXECUTION AND DELIVERY OF SAID FRANCHISE ACCORDING
TO ITS PROPOSED TERMS IF THE RESULT OF SUCH VOTE OF THE
TAXPAYING ELECTORS AT SUCH ELECTION SHALL HAVE BEEN DETER
MINED TO HAVE BEEN AFFIRMATIVE FOR THE GRANT OF SAID FRANCHISE
WHEREAS Public Service Company of Colorado has filed its application
with the City of Fort Collins for the granting to it by the City of Fort
Collins of a franchise in terms as hereinafter set forth and
WHEREAS Public Service Company of Colorado as applicant for such
franchise has made a deposit with the Director of Finance of the City of Fort
Collins in the sum of Three Thousand Five Hundred and No/100 Dollars ($3 500 00)
for the expense of the submission of the question of the granting of such fran
chase to the taxpaying electors and
WHEREAS the Director of Finance of the City of Fort Collins has
determined that the expense of such submission to the taxpaying electors is in
the amount of Three Thousand Five Hundred and No/100 Dollars ($3 500 00) as
deposited by Public Service Company of Colorado and
WHEREAS Section 1 of Article XIII of the Charter of the City of Fort
Collins provides that no franchise shall be granted except upon the vote of the
taxpaying electors and
WHEREAS said City Charter requires that the Council shall provide
by Ordinance for the manner of holding City elections and such additional
requirements in respect thereto as may be necessary to accomplish the intent
of said Charter y
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NOW THEREFORE BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS
Section 1 That a special City election be and the same is hereby
called to be held in the several precincts of the City of Fort Collins Colo
rado on Tuesday the tenth day of October A D 1967 and at said election
there shall be and hereby is submitted to a vote of the taxpaying electors of
the City of Fort Collins the question of granting the franchise hereinafter
set forth to Public Service Company of Colorado its successors and assigns
Section 2 Said franchise by the City of Fort Collins to Public
Service Company of Colorado its successors and assigns is as follows
A FRANCHISE BY THE CITY OF FORT COLLINS, LARIMER
COUNTY, COLORADO, TO PUBLIC SERVICE COMPANY OF
COLORADO, ITS SUCCESSORS AND ASSIGNS, TO CONSTRUCT,
PURCHASE, ACQUIRE, LOCATE MAINTAIN, OPERATE AND
EXTEND INTO WITHIN AND THROUGH SAID CITY, PLANTS,
WORKS, SYSTEMS AND FACILITIES FOR THE PRODUCTION,
MANUFACTURE, PURCHASE, STORAGE, TRANSMISSION AND
DISTRIBUTION OF GASEOUS FUELS OR MIXTURES THEREOF,
BY MEANS OF PIPES, MAINS, OR OTHERWISE, OVER, UNDER,
ALONG AND ACROSS ALL STREETS, ALLEYS VIADUCTS,
BRIDGES, ROADS, LANES, PUBLIC WAYS AND OTHER PUBLIC
PLACES IN SAID CITY OF FORT COLLINS, TO SELL, FUR-
NISH AND DISTRIBUTE SAID PRODUCT TO THE CITY AND THE
INHABITANTS THEREOF, AND FIXING THE TERMS AND CON-
DITIONS THEREOF
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ARTICLE I
Whenever the word City is hereinafter employed it shall designate
the City of Fort Collins, Larimer County Colorado, the grantor and when
ever the word Company is used it shall designate not only Public Service
Company of Colorado a Colorado corporation, the grantee but also its suc-
cessors and assigns Whenever The Public Utilities Commission of the State
of Colorado is referred to it shall be deemed to include any authority
succeeding to the regulatory powers thereof
ARTICLE II
Section 1 Grant of Authority There is hereby granted by the
City to the Company the franchise right, privilege and authority to con
struct purchase, acquire locate maintain operate and extend into within
and through said City, plants works, systems and facilities for the produc-
tion, manufacture storage purchase transmission and distribution of gaseous
fuels (natural artificial synthesis, liquefied natural liquefied petroleum
manufactured or any mixture thereof), for heating cooking cooling or
other similar utilitJ purposes with the right and privilege for the period
and upon the terms and conditions hereinafter specified, to sell furnish
and distribute any or all of said products to the City and the inhabitants
thereof, by means of pipes mains, or otherwise over, under, along and across
any and all streets alleys viaducts bridges roads lanes public ways
and other public places in the City, and over under along and across any
extension connection with or continuation of the same and over under
along and across all new streets alleys viaducts bridges roads lanes
public ways and other public places as may be hereafter laid out opened
located or constructed within the territory now or hereafter included in the
boundaries of said City
Section 2 Manner of Use Repair The Company is further granted
the right privilege and authority to excavate in occupy and use any and
all streets alleys viaducts bridges roads, lanes public ways and other
public places under the supervision of properly constituted authority for the
purpose of bringing gaseous fuels into, within and through the City and supply
ing gaseous fuels to said City and the inhabitants thereof and in the terra
tory adjacent thereto provided however that the Company shall so locate
its plants works transmission and distribution structures equipment mains
and pipes within said City as to cause minimum interference with the proper
use of streets alleys and other public ways and places and to cause minimum
interference with the rights or reasonable convenience of property owners whose
property adjoins any of the said streets alleys or other public ways and
places Should it become necessary for the Company in exercising its rights
and performing its duties hereunder to interfere with any sidewalk graveled
or paved streets roads or alleys or any other public or private improvement
the Company shall repair in a workmanlike manner such sidewalk graveled or
paved street road alley or other improvement after the installation of its
mains pipes or other structures The Company shall use due care not to
interfere with or damage any water mains sewers or other structures in said
streets alleys or other public places
Section 3 City Held Harmless The Company shall so maintain its
structures apparatus, mains, pipe and other equipment as to afford all
reasonable protection against injury or damage to persons or property there
from and the Company shall save the City harmless from all liability or
damage and all reasonable expenses necessarily accruing against the City
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arising out of the negligent exercise by the Company of the rights and
privileges hereby granted provided that the Company shall have had notice
of the pendency of any action against the City arising out of such exercise
by the Company of said rights and privileges and be permitted at its own
expense to appear and defend or assist in the defense of the same
Section 4 Changes at Company Expense If at any time it shall
be necessary to change the position of any gas main or service connection
of the Company to permit the City to change street grades or make street
or sidewalk improvements such changes shall be made by the Company at its
own expense
ARTICLE III
Section 1 Heating Value The natural gas to be supplied here
under shall contain a monthly average gross heating value of not less than
the heating value set forth in applicable and effective Rules and Regulations
as are from time to time filed with The Public Utilities Commission of the
State of Colorado
Section 2 Adequacy of Supply The Company shall at all times
during the term of this franchise take all reasonable and necessary steps
to assure an adequate natural gas supply but if unable to reasonably procure
the same the Company shall and is hereby authorized to supply an adequate
amount of other gaseous fuels as hereinbefore defined or mixtures thereof
to satisfy the requirements of the City and the inhabitants thereof The
Company shall have the further right to supply said other gaseous fuels or
mixtures thereof at periods of peak usage or at such other times or for
such purposes which will result in efficiencies in the operation of the
Company s system provided that the supply of said other gaseous fuels will
not impair service to the Company s customers Such other gaseous fuels or
mixtures thereof shall be supplied by Company in accordance with all apple
cable rules and orders of The Public Utilities Commission of the State of
Colorado
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ARTICLE IV
Section 1 Rates Regulation The Company shall furnish gaseous
fuels within the corporate limits of the City or any addition thereto to
the City and to the inhabitants thereof and to any person or persons or
corporation doing business in the City or any addition thereto at the rates
and under the terms and conditions set forth in the Rate Schedules Stan
dards for Service Rules and Regulations and Service Connection and Exten
sion Policies as are from time to time filed with or fixed by The Public
Utilities Commission of the State of Colorado
Section 2 No Discrimination The Company shall not, as to rates
charges service facilities rules, regulations or in any other respect make
or grant any preference or advantage to any corporation or person or subject
any corporation or person to any prejudice or disadvantage provided that
nothing in this grant shall be taken to prohibit the establishment from time
to time of a graduated scale of charges and classified rate schedules to
which any customer coming within an established classification would be
entitled
Section 3 Extensions Company will from time to time make such
enlargements and extensions of its distribution system as the business of
the Company and the growth of the City justify in accordance with its Rate
Schedules Standards for Service Rules and Regulations and Service Connec
tion and Extension Policies for gas service currently in effect and as are
from time to time filed with or fixed by The Public Utilities Commission of
the State of Colorado
Section 4 Rules and Regulations The Company from time to time
may promulgate such rules regulations terms and conditions governing the
conduct of its business including the utilization of gaseous fuel and pay
ment therefor and the interference with or alteration of any of the Com
pany s property upon the premises of its customers as shall be necessary
to insure a continuous and uninterrupted service to each and all of its
customers and the proper measurement thereof and payment therefor provided
that the Company shall keep on file in its office in the City, available to
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the public copies of its Rate Schedules Standards for Service Rules and Regulations
and Service Connection and Extension Policies currently in effect and as are from
time to time filed with The Public Utilities Commission of the State of Colorado
ARTICLE V
Section 1 Franchise Payment As a further consideration for this
franchise and accepted by the City in lieu of all occupancy or occupation and
license taxes and all other special taxes assessments or excises on the right to
do business or upon the pipes mains meters or other property of the Company
or other levies that might be imposed either as a franchise tax occupancy or
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occupation tax license tax or for the inspection of pipes mains meters or
other property of the Company or otherwise the Company shall pay to the City
a sum equal to two percent (2%) of its gross revenue derived from the sale of
gaseous fuel within the corporate limits of the City As a further consideration
for this franchise Company agrees in lieu of the franchise consideration pay-
ments provided in Ordinance No 13 series of 1947 to retroactively apply
the percentage of revenue payment provided herein to the gross revenue of the
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Company recerve//c�January 1 1967 Payments shall be made on or before the
first day of March each year for the calendar yearnext previous Payments
for the portion of the terminal year of this franchise shall be made on the basis
of revenue as above derived for the months and portions of months in which
this franchise is in effect For the purpose of ascertaining or auditing the
correct amount to be paid under the provisions of this paragraph the City
Clerk and/or any committee appointed by the City Council of said City shall
have access to the books of said Company for the purpose of checking the gross
revenue received from operations within said City The percentage payment of
gross revenue as the franchise consideration provided herein shall be subject to
mutual review during the 10th year after the effective date of this franchise
Such review shall be initiated by the City upon 60 days notice in writing to
the Company The term gross revenue as used herein shall be construed to
mean any revenue derived under authorized rates temporary or permanent
within the City from the sale of gaseous fuels after the net write-off of uncollect-
able accounts corrections of bills theretofore rendered and any adjustments of
charges Hhereto6ome made h ,-
ARTICLE VI
Section 1 Term The franchise set forth in Articles I through
VI hereof shall become effective upon the approving vote of the qualified
taxpaying electors of the City as required by Section 1 of Article XIII of
the City Charter The terms and conditions hereof shall remain in full
force and effect for a period of twenty (20) years from and after said
effective date Within ten (10) days after approval by the said vote of the
qualified taxpaying electors the Company shall file in the office of the
Clerk of the City an acceptance in writing of the terms and conditions
thereof
Section 2 Removal Upon the expiration of this franchise if
the Company shall not have acquired an extension or renewal thereof and
accepted same it is hereby granted the right to enter upon the streets
alleys bridges viaducts roads lanes public ways and other public places
of the City for the purpose of removing therefrom any and all of its plants
structures pipes mains, or equipment pertaining thereto at any time after
the City has had ample time and opportunity to purchase condemn or replace
them In so removing said pipes mains or other property the Company shall,
at its own expense and in a workmanlike manner refill any excavations that
shall be made by it in the graveled or paved streets alleys bridges
viaducts roads lanes public ways and other public places after the removal
of its mains, pipes or other structures
Section 3 Acquisition by City The City shall at any time here
after have the right and power to purchase or condemn such plants works and
distribution system of the Company in the City or adjacent areas served from
said system as an operating unit at its fair valuation and at a price
excluding all value of this franchise or right of way through the streets
avenues and alleys of the City as provided by the laws of the State of
Colorado and the Charter of the City
Section 4 Valuation Arbitration The fair valuation shall be
made as provided by laws of the State of Colorado and the Charter of the
City and shall be determined by agreement of the parties hereto In the
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event of a failure to reach such agreement within ninety (90) days after
the City notifies the Company of its desire to purchase such property in
whole or in part and as provided in Section 3 above the City, at its elec
tion may demand an award by arbitration or may condemn said property
The arbitration shall be by three disinterested persons one of
whom shall be chosen by the City, one by the Company herein, and the third
by the two first chosen If the two chosen cannot within ten days after
their appointment agree upon a third arbitrator such third person shall
be appointed by the presiding Judge of the United States Circuit Court of
Appeals Tenth Circuit In the event the Company herein fails to appoint
an arbitrator within ten days after notice from the City then he shall be
appointed for the Company by any judge of the District Court for Larimer
County Colorado
Section 5 Transfer of Ownership If the property of the Com
pany herein is purchased by the City the plant and property so purchased
and paid for shall become the property of the City by virtue of the grant
and payment thereunder and without the execution of any instrument of con
veyance and the City after purchasing the property of the Company herein,
shall have the right to operate the same or it may sell the same and grant
a new franchise as is provided by the Charter and the new owner of the pro-
perty may proceed to operate said plant
Section 6 Restriction on Stock Issuance The Company shall be
prohibited from issuing any stock upon the value of this franchise
Section 7 Police Power Reserved The right is hereby reserved
to the City to adopt, from time to time, in addition to the provisions herein
contained such regulations as may be deemed necessary in the exercise of
its police power provided that such regulations shall be reasonable and not
destructive of the rights herein granted and not in conflict with the laws
of the State of Colorado, or with orders of other authorities having juris-
diction in the premises
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Section 8 Non Exclusive The right to use and occupy the
streets alleys and other public places for the purposes herein stated
shall not be exclusive
Section 9 Forfeiture In the event of the failure of Company
to perform and carry out any of the stipulations and agreements herein set
forth in any substantial particular and with respect to which redress is
not otherwise herein provided the City acting by and through its Mayor
and Council may after hearing determine such substantial failure and
thereupon after notice given the Company of such determination the Company
shall have six (6) months time in which to remedy the conditions respecting
which such finding shall have been made After the expiration of such six
months period and failure to correct such conditions, the Mayor and Coun-
cil may declare this franchise forfeited and thereupon the Company shall
have no further right or authority hereunder
Section 10 Restriction on Assignment This franchise shall not
be leased, assigned or otherwise alienated without the express consent of
the City agreed to by ordinance or resolution of the City Council of the
City and any assignment or sale of this franchise to any corporation with
out the consent of the City as aforesaid shall at the option of the City
Council of the City operate as a forfeiture of the grants hereunder No act
other than above stated by the City shall constitute a consent to such lease
assignment or alienation
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Section 3 The said election shall be held at the following places
in the election precincts in the City of Fort Collins Colorado to wit
Precinct Al Fire Department Old City Hall at 238 Walnut Street
Precinct B1 City Hall at 300 LaPorte Avenue
Precinct B3 Washington School at 223 South Shields Street
Precinct B4 - Putnam School at 1400 Wilson Street
Precinct Cl Lincoln Junior High School at 417 South Meldrum Street
Precinct C3 Dunn School at 501 South Washington Street
Precinct C6 - Immanuel Southern Baptist Church at 1725 West Mulberry
Street
Precinct C7 Colorado State University Men s (G ymnasium Building at
the 900 Block of South College Avenue
Precinct C9 Shepherd of the Hills Lutheran Church at 1200 South
Taft Hill Road
Precinct Dl Remington School at 318 Remington Street
Precinct El Laurel School at 330 East Laurel Street
Precinct E2 Fort Collins High School at 1400 Remington Street
Precinct E4 Barton School at 703 East Prospect Street
Precinct E5 0 Dea School at 312 Princeton Road
Precinct E6 Lesher Junior High School at 1400 Stover Street
Section 4 The polls shall be opened at the hour of 7 00 A M and
shall remain open continuously until and be closed at 7 00 P M of said day
Section 5 The said election shall be held and conducted as nearly
as may be in the manner prescribed by law in the case of elections for municipal
officers Each elector offering to vote in said election must be a qualified
taxpaying elector and must be registered in accordance with the provisions of
the Charter
Section 6 The use of automatic voting machines to record the votes
at said election is hereby authorized
Section 7 Absentee voting shall be permitted in accordance with the
provisions of applicable State laws
Section 8 That the official ballot on the automatic voting machines
(and on any written paper ballots required) shall show the nature of the question
to be voted upon as set forth below and the voting machines and paper ballots
used at said election shall carry the following designation which shall be the
submission clause and each elector voting at said election aid desirous of
voting for or against the following question shall indicate his choice by
depressing the appropriate counter of the voting machine which indicates the
word FOR or the word AGAINST or by appropriate marking upon paper ballots
where used
Shall the City of Fort Collins grant to Public Service
Company of Colorado its successors and assigns a franchise
to render gas public utility service within the City of Fort
Collins as set forth in Ordinance No 40 1967
FOR THE FRANCHISE AGAINST THE FRANCHISE
Section 9 That no vote either for or against the question so sub-
mitted shall be received by the judges unless the person offering the same
shall be a duly qualified voter in the precinct in which he offers to vote and
in addition thereto said person is a taxpaying elector as defined in the
election laws applicable in the premises
Section 10 The City Clerk shall give notice of registration by
advertisement in the Fort Collins Coloradoan an official newspaper in the
City of Fort Collins Colorado for ten days prior to September 29 1967 and
by posting a printed notice of registration on the outside of the City Hall
at least ten days prior to September 29 1967 to the effect that registration
will be held in the City and the City Council finds and determines that such
notice is sufficient adequate and reasonable notice to all qualified taxpaying
electors to register for said election to be held on October 10 1967 Regis
tration for voting will be open as soon as convenient and continue open until
the close of the office of the City Clerk at 5 00 P M on September 29 1967
Section 11 The City Clerk under the direction of the Board of
Election shall prepare the ballots to be used at the aforesaid election as
provided in Section 7 Article XVI of the City Charter and the City Clerk
shall publish notice and call said special election as herein authorized in
accordance with Section 5 Article XVI of the City Charter Said City Clerk
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under the direction of the Board of Election, shall arrange the polling places,
matters of registration and all other details necessary for the election
Section 12 That the votes cast at said election on the question so
submitted shall be canvassed by the Board of Elections tallied and the
return thereof made and the resultthereof declared substantially in the same
manner as is provided by law of the canvass tally return and declaration of
the results of votes at election for officers of the City of Fort Collins If
a majority of all the votes cast at said election shall be for the grant of
said franchise to Public Service Company of Colorado, its successors and
assigns, then upon the filing by said Company of its acceptance of such
franchise with the City of Fort Collins, the same shall be in full force and
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effect
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Introduced considered favorably on first reading and ordered
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published this 3rd day of August, A D 1967, and to be presented for final
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passage on the 24h day of August, A D 1967 I
May r Assistant)
ATTEST
.mac-vzc__
City Clerk
Passed and adopted on final reading this 24th day of August A D
1967
/Y 1
Mayor CAsssistant
ATTEST
City Cl Iftk
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