Resolution No. 233RESOLUTION NO. 233
A RESOLUTION AUTHORIZING THE PUBLICATION OF NOTICE TO SELL A
FRANCHISE, FOR A PERIOD OF FIFTY (50) YEARS, TO CONSTRUCT, LAY,
OPERATE, MAINTAIN, USE, RENEW, REPAIR, REPLACE, MOVE, CHANGE
THE SIZE AND NUMBER OF, AND REMOVE OR ABANDON IN PLACE A SYSTEM
OF PIPELINES AND APPURTENANCES, FOR THE PURPOSE OF CONDUCTING,
TRANSPORTING, CONVEYING, AND CARRYING GAS, OIL, PETROLEUM,
WATER AND OTHER SUBSTANCES, ON, ALONG, IN, UNDER AND ACROSS THE
PUBLIC STREETS, WAYS, ALLEYS AND PLACES WITHIN THE CITY OF
CYPRESS, TOGETHER WITH THE RIGHT TO CONSTRUCT, OPERATE,
MAINTAIN, AND USE A PRIVATE COMMUNICATION SYSTEM TO BE USED IN
CONNECTION WITH THE OPERATION AND MAINTENANCE OF SAID SYSTEM
OF PIPELINES AND APPURTENANCES AS AFORESAID.
The City Council of the City of Cypress does resolve as
follows:
WHEREAS, Southern California Edison Company, a corporation,
has made application to the City Council of the City of Cypress
for a franchise more particularly described in the "Notice of
Sale of Franchise" hereinafter set forth;
NOW, THEREFORE, BE IT RESOLVED that the City Council
proposes to grant said franchise in the manner provided by law,
substantially in the form and upon the terms and conditions herein-
after set forth in the "Notice of Sale of Franchise ";
BE IT FURTHER RESOLVED, that the City Clerk of the City
of Cypress, be and he is hereby authorized and directed to
publish the following Notice of Sale of Franchise in the Enterprise,
a newspaper of general circulation in said City, once a week for
four (4) successive weeks, beginning with the issue of the 1st
day of March, 1962, and to post said Notice of Sale of Franchise
in three (3) public places in said City within fifteen (15)
days after the passage of this Resolution, substantially in the
following form, to wit:
"NOTICE OF SALE OF FRANCHISE
NOTICE IS HEREBY GIVEN that an application has been
made to the City Council of the City of Cypress, State
of California, by Southern California Edison Company, a
corporation, for the franchise hereinafter described, and
it is proposed by said City Council to offer for sale and
to grant by ordinance, to the highest bidder, said franchise
on the terms and conditions hereinafter mentioned.
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Said franchise is described and will be granted
substantially in the following form:
The franchise is hereby granted to
, a person, firm or corporation,
organized and existing under the laws of the State of
its successors and assigns, for a period
of fifty (50) years from the effective date of this.ordinance
granting said franchise to construct, lay, operate, maintain,
use, renew, repair, replace, move, change. the size and number
of, and remove or abandon in place a system of pipe lines,
together with such valves, fittings, manholes, vaults, pumps
and other appliances, appurtenances, attachments or equipment
as the Grantee, its successors and assigns, may deem
necessary or convenient for the purpose of conducting,
transporting, conveying and carrying gas, oil, petroleum, water
and other substances, on, along, in, under and across the
public streets, ways, alleys and places within the City of
Cypress; said system of pipelines and appurtenances as
aforesaid to extend generally along Moody Street from the
north boundary line of the City of Cypress to a point 350
feet south of the intersection of said street and Orange
Avenue; thence westerly along Orange Avenue from a point 600
feet east of Moody Street to the west boundary line of
the City of Cypress; together with the right to construct,
'operate, maintain, and use a private communication system,
consisting of poles, crossarms, conductors, wires, communica-
tion circuits, and all other necessary or convenient appliances
or attachments to be used in connection with the operation and
maintenance of said system of pipe lines and appurtenances as
aforesaid, on, along, in, under over and across the public
streets, ways, alleys and places within the City of Cypress.
The terms and conditions upon which said franchise is
to be granted are as follows:
1. The word "Grantee" wherever used herein shall mean
and include Grantee and its successors and assigns.
2. The system for conducting, transporting, conveying
and carrying gas, oil, petroleum, water and other substances
to be constructed and operated under this franchise shall
be built and constructed in a good and workmanlike manner
and of good material, and any and all pipelines laid, located
or maintained under said franchise shall be so placed as not
to interfere with the use of said public streets, ways, alleys
and places by the traveling public or for public purposes to
any greater extent than is reasonably necessary, and in laying
said pipe lines the Grantee of said franchise shall make and
backfill all excavations in such manner and way as to leave
the surface of the public street, way, alley or place in as
good condition as it was prior to said excavation, as well as
to conform to the statutes of the State of California and
such instructions and directions as the City Council may, by
ordinance or resolution, require, provided that said instruc-
tions and directions of the said City Council are not in
conflict with any paramount authority of the State of California.
The work to erect or lay said system shall be commenced in
good faith within not more than four months from the grant-
ing of this franchise and if not so commenced the franchise
shall be declared forfeited.
Resolution No. 233
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3. Any damage done directly or indirectly to any
public improvements by Grantee, in exercising directly or
indirectly any right, power or privilege under this
franchise, or in performing any duty under or pursuant to
the provisions of this Ordinance, shall be promptly repaired
by said Grantee at its sole cost and expense.
4. The Grantee, shall during the life of this franchise
pay to the City of Cypress, in lawful money of the United
States, and in the manner provided by law, two per cent (2 %)
of the gross annual receipts of the Grantee arising from
the use, operation or possession of this franchise within
the City of Cypress. This franchise is not a renewal of
a right already in existence and therefore no percentage
shall be paid for the first five (5) years succeeding the
date of this franchise, but thereafter such percentage
shall be paid annually. In the event that such payment
is not made, the City Council of the City of Cypress may
declare said franchise forefeited.
The Grantee of this franchise, not later than three
(3) months after the expiration of the calendar year after
the first five (5) years succeeding the effective date of
this ordinance granting said franchise, and within three
(3) months after the expiration of each and every calendar
year thereafter, shall file with the City Clerk of the City
of Cypress a duly verified statement showing in detail the
total gross receipts of said Grantee during the preceding
calendar year of such fractional calendar year arising from
the use, operation or possession of this franchise within
said City of Cypress, and within fifteen (15) days after
the time for filing the aforesaid statement, the Grantee
shall pay to the City Treasurer of the City of Cypress in
lawful money of the United States, the aforesaid two per
cent (2 %) of its gross receipts arising from the use,
operation or possession of this franchise during said
preceding calendar year, or such fractional calendar year.
Any neglect, omission or refusal of said Grantee to file
said verified statement, or to pay said percentage, at the
time or in the manner hereinbefore provided, shall be grounds
for the declaration of a forfeiture of this franchise and
of all rights of the Grantee hereunder.
5. The said Grantee shall not sell, transfer .x assign
this franchise, or any of the rights or privileges granted
hereby, except by a duly executed instrument in writing,
filed in the office of the City Clerk of the City of Cypress;
and provided, further, that nothing in this franchise contained
shall be construed to grant to said Grantee, any right to
sell, transfer or assign this franchise, or any of the rights
or privileges hereby granted, except in the manner aforesaid.
6. Any neglect, failure or refusal to comply with any
of the conditions of this franchise may work a forfeiture
hereof, and the said City, by its City Council, may there-
upon declare this franchise forfeited, and may exclude said
Grantee from further use of the public streets, ways,alleys,
and places of said City under this franchise; and said
Grantee shall thereupon surrender all rights in and to the
same, and this franchise shall be deemed and shall remain
null, void and of no effect.
7. This Ordinance shall take effect thirty (30) days
after its final passage.
Resolution No. 233
8. The Grantee shall remove or relocate without expense
to the City of Cypress any facilities installed, used, and
maintained under the franchise if and when made necessary by
any lawful change of grade, alignment, or width of any public
street, way, alley, or place, including the construction of
any subway or viaduct, by the City of Cypress; provided that
with respect to facilities installed, used and maintained
under the franchise within a state freeway which was not a
state highway at the time such facilities were originally
installed therein, the obligations of the Grantee shall be
as provided by applicable law and by such agreements between
the Grantee and the State as may be applicable thereto.
9. Whenever any portion of the territory covered by this
franchise shall be annexed to, or otherwise become a part
of any other municipal corporation, or of the County of Orange,
or of any other county, the rights reserved under this
franchise to the City of Cypress, or any officer thereof,
shall inure to the benefit of such municipal corporation or
county, and its appropriate officers.
10. The provisions of this franchise and all rights,
obligations and duties hereunder shall inure to and be
binding upon the Grantee, its successors and assigns.
11. The City Clerk shall cause this ordinance to be
posted within fifteen (15) days after its passage in three
(3) public places within said City of Cypress.
Notice is hereby given that sealed bids in writing
will be received for said franchise up to 7:30 o'clock P. M.,
the 16th day of April, 1962, and at the time above mentioned,
and in the Council Room of the City Council of the City of
Cypress, any and all sealed bids will be opened; that all
bids must be for payment of a stated sum in lawful money
of the United States, and that the franchise will be
struck off, sold, and awarded to the person, firm or
corporation making the highest cash bid therefor; that at
the time of the opening of the bids any person, firm or
corporation, who to the satisfaction of the City Council
is responsible, present or represented, may bid for the
franchise a sum not less than ten per cent (10 %) above
the highest sealed bid therefor, and the bid so made
may be raised not less than ten per cent (10 %) by any other
responsible bidder and the bidding may so continue until the
franchise is finally struck off, sold, and awarded to the
highest responsible bidder therefor in lawful money of the
United States.
Each sealed bid shall be accompanied with cash or a
certified check payable to the Treasurer of the City of
Cypress for the full amount of the bid, and no sealed bid
shall be considered unless said cash or check is enclosed
therewith. The successful bidder shall deposit at least
ten per cent (10 %) of the amount of his bid with the City
Clerk of the City of Cypress before the franchise is struck
off to him. If the successful bidder fails to make the
deposit immediately, his bid shall not be received, and is
void, and the franchise shall then and there be again
offered for sale to the bidder who makes the highest cash
bid therefor, subject to the same conditions as to deposit
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as above mentioned. This procedure shall be had until
the franchise is struck off, sold and awarded to a
bidder who makes the necessary deposit of at least ten
per cent (10X) of the amount of his bid as herein provided.
The successful bidder shall deposit with the City Clerk
of the City of Cypress, within twenty -four (24) hours of
the acceptance of his bid, the remaining ninety per cent
(90X) of the amount thereof. If the bidder fails to deposit
with the City Clerk of the City of Cypress the remaining
ninety per cent (90 %) of his bid within twenty -four (24)
hours after its acceptance, the award to him of the franchise
shall be set aside, the deposit made by him shall be forfeited
and no further proceedings for a sale of the franchise
shall be had unless it is readvertised and again offered
for sale in the manner hereinbefore provided.
DATED this 1st day of March, 1962.
By order of the City Council of the City of Cypress,
California.
City Clerk, City of Cypress"
(SEAL)
The foregoing resolution was duly passed and adopted by
the. City Council of the City of Cypress at a regular meeting of the
said council held on the 19th day of February, 1962, by the following
vote:
AYES: 5 COUNCILMEN: Arrowood, Denni, McCarney, Van Dyke
and Baroldi
NOES: 0 COUNCILMEN: None
ABSENT: 0 COUNCILMEN: None
ATTEST:
City Clerk, City of(Cy,iress,
tate of California
Resolution No. 233