HomeMy WebLinkAboutRES NO 125-13RESOLUTION NO 125- 13
A RESOLUTION OF THE CITY OF BAKERSFIELD ACCEPTING
THE APPLICATION OF SOUTHERN CALIFORNIA GAS
COMPANY REQUESTING A GAS FRANCHISE
WHEREAS, in March 1964, the City granted to Southern California Gas
Company ( "SCG ") a franchise to lay and use pipes and appurtenances for
transmitting and distributing natural gas with the City;
WHEREAS, the franchise has a term of 50 years and is set to expire on or
about March 23, 2014;
WHEREAS, SCG has submitted the attached formal application to the City
requesting a new franchise with an indeterminate term;
WHEREAS, under the proposed franchise, SCG will pay to the City the
greater of 2% of the gross annual receipts received by SCG from the use,
operation, or possession of the franchise or 1% of the gross annual receipts
derived by SCG from the sale of natural gas within the City limits;
WHEREAS, SCG will also pay City a 1% surcharge of gross annual receipts
derived from the sale of natural gas with the City limits from all ratepayers
except for those customers participating in SCG's California Alternative Rates for
Energy (CARE) program; provided, however, that the payment of this surcharge
by SCG to City is contingent on approval of the surcharge by the California
Public Utilities Commission;
WHEREAS, if the franchise requested by SCG is granted, the terms of the
franchise and the related fees and surcharge obligations will be essentially the
same as those found in the current Pacific Gas & Electric natural gas franchise.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Bakersfield as follows:
1. That the above recitals, incorporated herein, are true and correct;
and
2. That SCG's application for a natural gas franchise within the City
limits is hereby accepted.
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OF131 G1NALr
HEREBY CERTIFY that the foregoing Resolution was passed and adopted
by the Council of the City of Bakersfield at a regular meeting thereof held on
September 25, 2013, by the following vote:
AY
NOES:
ABST
ABS
APPROVED
COUNCILMEMBER RI
COUNCILMEMBER_
COUNCILMEMBER_
COUNCILMEMBER_
SEP 2 5 2013
✓ ✓ ✓
MAXWELL, WEIR, SMITH, I SU LIVAN, .
CITY CLERK and Ex Officio C of the
Council of the City of Bakersfield
Mayor
APPROVED AS TO FORM:
VIRGINIA GENNARO, CITY ATTORNEY
By " —0
ANDREW HEGLUN
Deputy City Attorney
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Southern
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Gae Company
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APPLICATION OF SOUTHERN CALIF, GAS COMPANY
FOR A GAS FRANCHISE PURSUANT TO THE PROVISIONS OF DIVISION 3, CHAPTER 2 OF
THE PUBLIC UTILITIES CODE OF THE STATE OF CALIFORNIA, KNOWN AS THE FRANCHISE
ACT OF 1937
To the City Council of Bakersfield, California
Ladies and Gentlemen:
The undersigned applicant hereby makes an application, under and pursuant to the provisions of
Division 3, Chapter 2 of the Public Utilities Code of the State of California, for a franchise, and, in
compliance with the provisions of Section 6231 thereof, states:
(a)The name of the applicant is Southern California Gas Company. The applicant is a corporation
organized and existing under and by virtue of the laws of the State of California and engaged as a
public utility corporation in transmitting and distributing gas for all purposes to consumers in
various municipalities and communities in the State of California, including the City of
Bakersfield.
(b)The purpose for which the franchise herein applied for is desired to lay and use pipes and
appurtenances for transmitting and distributing gas for any and all purposes, under, along, across,
or upon the public streets, ways, alleys and places, as the same now or may hereafter exist within
the City of Bakersfield.
(c)The term for which the franchise herein applied for is desired for an indeterminate term, pursuant to
Section 6264 of the Public Utilities Code of the State of California.
(d)The applicant, if granted the franchise herein applied for, will pay to the City of Bakersfield during
the life of such franchise, the greater of (1) two per cent of the Gross Annual Receipts received by
applicant from the use, operation or possession of said Franchise or (2) one per cent of the Gross
Annual Receipts derived by applicant from the sale of Gas within City's limits under the
Franchise. Applicant shall apply to the California Public Utilities Commission for authority to
implement a franchise fee surcharge to be charged solely on Bakersfield ratepayers excluding
those customers participating in Applicant's California Alternative Rates for Energy (CARE)
Program or successor low- income assistance program, to recover an additional one percent (1 %) of
gross annual receipts derived for the sale of gas within the limits of the City of Bakersfield.
Dated this � day of 12013
SOUTHERN CALIF RNIA GAS COMPANY
Be -�.`�
Y
Richard M. Morrow
Vice Preside t Engineering & Operations Staff
Abe J. Garcia
Seni r C unsel
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