HomeMy WebLinkAbout2006.06.26 Council Workshop Packet AGENDA
PASCO CITY COUNCIL
Workshop Meeting 7:00 p.m. June 26,2006
1. CALL TO ORDER
2. VERBAL REPORTS FROM COUNCILMEMBERS:
3. ITEMS FOR DISCUSSION:
(a) Franchise Agreement for Cascade Natural Gas Corporation:
1. Agenda Report from Gary Crutchfield, City Manager dated June 19,2006.
2. Proposed Franchise Agreement.
(b) Sign Code Amendment(MF#CA06-001-CA):
1. Agenda Report from David 1. McDonald, City Planner dated June 20, 2006.
2. Summary of the Proposed Code Changes.
3. Proposed Ordinance (Council packets only; copy available in Planning Office and Pasco
Library for public review).
(c) Neighborhood Improvement Action Plan:
1. Agenda Report from Rick Smith, Community & Economic Development Director dated
June 22,2006.
2. Map of Proposed Improvement Areas.
4. OTHER ITEMS FOR DISCUSSION:
(a)
(b)
(c)
5. EXECUTIVE SESSION:
(a) Acquisition of Real Estate
(b)
(c)
6. ADJOURNMENT.
Reminders:
1. 4:00 p.m., Monday, June 26, Port of Benton — Hanford Area Economic Investment Fund Board
Meeting. (COUNCILMEMBER MATT WATKINS,Rep., JOE JACKSON, Alt.)
2. 8:00 a.m., Friday, June 30, Pasco Red Lion — 591h Annual Meeting Washington State Refuse and
Recycling Association—Welcome Address. (MAYOR JOYCE OLSON)
3. 10:00 a.m., Friday,June 30, Marcus Whitman Hotel, Walla Walla—U.S. Army Corps of Engineer's
Change of Command Ceremony. (MAYOR JOYCE OLSON)
4. 10:00 a.m., Tuesday, July 4 — Pasco's Annual Grand Old 4t'' of July Parade. (Check in at
registration table at 4tn & Marie at 9:00 a.m.) (MAYOR JOYCE OLSON, COUNCILMEMBERS
REBECCA FRANCIK, JOE JACKSON,TOM LARSEN and MATT WATKINS)
5. 12:00 p.m., Wednesday, July 5, 1135 E. Hillsboro Street, #B —Franklin County Mosquito Control
District Meeting. (COUNCILMEMBER BOB HOFFMANN, Rep.; JOE JACKSON,Alt.)
6. 5:30 p.m., Thursday, July 6, Parks & Rec. Room — Parks & Recreation Advisory Council Board
Meeting. (COUNCILMEMBER REBECCA FRANCIK,Rep., MIKE GARRISON,Alt.)
The City Council Business meeting of July 3, 2006 has been canceled.
City Hall will be closed Tuesday,July 4 in honor of the 4th of July Holiday.
The next City Council Workshop meeting will be held Monday,July 10 at 7:00 p.m.
AGENDA REPORT
TO: City Council June 19, 2006
FROM: Gary Crutch Manager Workshop Mtg.: 6/26/06
SUBJECT: Franchise Agr ement for Cascade Natural Gas Corporation
I. REFERENCE(S):
1. Proposed Franchise Agreement
H. ACTION REQUESTED OF COUNCIL/ STAFF RECOMMENDATIONS:
6126: Discussion
III. FISCAL IMPACT:
IV. HISTORY AND FACTS BRIEF:
A) The City of Pasco granted Cascade Natural Gas Corporation a 50-year franchise in
1955, which expired at the end of 2005. The City Council conducted a public
hearing on December 19, 2005 to consider public input regarding the request by
Cascade Gas to renew its franchise with the City of Pasco. No public comment was
offered.
B) City staff and Cascade Natural Gas representatives have negotiated a new franchise
agreement (attached) to replace the old on. The new franchise agreement reflects the
following major differences:
1. The franchise is for an initial 10-year period with automatic five year extensions,
but either party can terminate the franchise with six-months written notice prior
to the end of the five-year term.
2. Greater limitations on Cascade Natural Gas use of city property.
3. Requires permits from the city for work in the city right-of-way, provides for
contemporary construction standards and requires a performance bond for work
in the city right-of-way.
4. Requires an emergency response plan be prepared by Cascade Natural Gas and
that Cascade Natural Gas meet annually with city emergency personnel to review
the plan.
5. Provides for relocation and/or removal of Cascade Natural Gas facilities at
Cascade Natural Gas expense when required to accommodate a bona fide city
project.
6. Provides for an administrative resolution process, including mediation, before a
dispute ends up in court.
7. Requires Cascade Natural Gas to indemnify the city and provide at least $5
million in insurance, naming the city as an additional insured.
V. DISCUSSION:
A) The proposed franchise agreement is a result of substantial discussion between the
city and Cascade Natural Gas representatives over the past six months. As such, it is
recommended for Council approval. Representatives of Cascade Natural Gas will
attend the June 26 workshop meeting in case Council has any questions of Cascade
Natural Gas.
B) Staff reminds Council that state law requires a franchise agreement to be approved
by a "majority plus one" of.the City Council; thus, approval of the franchise
agreement requires five affirmative votes on the Council.
3(a)
ORDINANCE NO.
AN ORDINANCE of the City of Pasco, Washington,
Granting Cascade Natural Gas Corporation, a Washington
Corporation, its Successors, Grantees and Assigns the
Nonexclusive Right, Privilege, Authority and Franchise to
Construct, Operate, Maintain, Remove, Replace, and Repair
Existing and Future Pipeline Facilities, Together with
Equipment and Appurtenances Thereto, for the
Transportation and Distribution of Natural Gas Within and
Through the City of Pasco.
WHEREAS, Cascade Natural Gas Corporation, a Washington Corporation (hereinafter
"Grantee") has applied for renewal of a nonexclusive Franchise to operate and maintain a natural
gas distribution system, together with all required and necessary appurtenances for the purpose
of supplying gas for heat, power, light and other purposes to customers within and through the
City of Pasco, a Washington Municipal Corporation (hereinafter the "City"); and,
WHEREAS, the State statutes and City ordinances authorize the City to grant
nonexclusive Franchises; NOW THEREFORE,
THE CITY COUNCIL OF THE CITY OR PASCO, WASHINGTON, DO ORDAIN
AS FOLLOWS:
Section 1. Definitions.
For the purposes of this Franchise, the following terms, phrases, words and their
derivations shall have the meaning given herein. When not inconsistent with the context, words
used in the present tense include the future, words in the plural include the singular, and words in
the singular include the plural. Words not defined shall be given their common and ordinary
meaning.
1.1 Construct or Construction shall mean excavating, installing, assembling new
Facilities and removing, altering, replacing and repairing existing pipeline(s) and/or facilities.
1.2 Effective Date shall mean the 1st day of January, 2006, or such date after
approval, passage, and legal publication of this Ordinance and acceptance by the Grantee occurs
and upon which the rights, duties and obligations shall come in effect and the date from which
the time requirements for any notice, extension and/or renewal will be measured.
1.4 Facilities shall mean the Grantee's existing and future distribution system, lines,
valves, mains, appurtenances, and all other facilities necessary for the purpose of transportation
and/or distribution of Grantee's product(s).
1.5 Franchise shall mean this franchise and any amendments, exhibits, or appendices
to this franchise.
Cascade Natural Gas Ordinance-1
1.6 Franchise Area means the area within the jurisdictional boundaries of the City,
including any areas annexed by City during the term of this Franchise, in which case the annexed
area shall become subject to the terms of this Franchise.
1.8 Maintenance or Maintain shall mean examining, testing, inspecting, repairing,
maintaining and replacing the Facilities or any part thereof as required and necessary for safe
operation.
1.9 Public Ways shall mean any highway, street, alley, utility easement (unless their.
use is otherwise restricted), or other public Rights-of-way as encompassed by RCW 47.24.020
and RCW 47.52.090 under the jurisdiction and control of the City.
1.10 OQperate or Operations shall mean Grantee's use of the Facilities for the delivery,
distribution and handling of natural gas within and through the Franchise Area.
1.11 Rights-of-Way means the surface and the space above and below streets,
roadways, highways, avenues, courts, lanes, alleys, sidewalks; easements, rights-of-way and
similar public ways located within the Franchise Area.
Section 2. Grant of Authority.
2.1 Pursuant to RCW 35A.47,040, the City hereby grants to Grantee, a corporation
organized and existing under and by virtue of the laws of the State of Washington, and which is
authorized to transact business within the State of Washington, its successors and assigns (as
provided in Section 4), the right, privilege, authority and Franchise to Construct, Operate and
Maintain all Facilities necessary for the transportation, distribution and handling of natural gas
within the Franchise Area.
2.2 This Franchise is non-exclusive. City reserves all rights to its property, including,
without limitation, the right to grant additional franchises, easements, licenses and permits to
others to use the Rights-of Way and Public Ways,provided that the City shall not grant any other
franchise, license, easement or permit that would unreasonably interfere with Grantee's
permitted use under this Franchise. This Franchise shall in no manner prohibit the City or limit
its power to perform work upon its Rights-of-Way, Public Ways or make all necessary changes,
relocations, repairs, maintenance, establishment, improvement thereto, or from using any of the
Rights-of Way and Public Ways, or any part of them, as the City may deem fit from time to time,
including the dedication, establishment,maintenance and improvement of all new Rights-of-Way
and other Public Ways of every type and description. This Franchise shall not grant any
rights to Grantee for the use or location of its Facilities upon public property of the .City other
than specifically described above as Rights-of-Way and Public Ways, without prior written
agreement identifying the terms and conditions of such use.
2.3 This Franchise is granted subject to the police powers, land use authority and
franchise authority of the City and is conditioned upon the terms and conditions contained herein
and Grantee's compliance with all applicable federal, state or other regulatory programs that
currently exist or may hereafter be enacted by any regulatory agencies with jurisdiction over
Grantee.
Cascade Natural Gas Ordinance-2
2.4 By granting this Franchise, the City is not assuming any risks or liabilities
therefrom, which shall be solely and separately borne by Grantee. Grantee agrees and covenants
to, at its sole cost and expense, take all necessary and prudent steps to protect, support, and keep
safe from harm its Facilities, or any part thereof, as necessary to protect the public health and
safety.
2.5 This Franchise is only intended to convey a limited right and interest. None of the
rights granted herein shall affect the .City's jurisdiction over its property, streets or Rights-of-
Way.
2.6 The limited rights and privileges granted under this Franchise shall not convey
any right to Grantee to install any new Facilities without required permitting by the City, which
permitting shall not be unreasonably conditioned, delayed or withheld.
2.7 Grantee acknowledges and warrants by acceptance of the rights and privileges
granted herein, that it is fully aware of the terms and conditions of this Franchise and is willing
to and does accept all reasonable risks assumed herein.
Section 3. Term. Each of the provisions of this Franchise shall become effective upon the
Effective Date, subject to Grantee's acceptance of the terms and conditions of this Franchise and
shall remain in effect for ten (10) years thereafter, herein referred to as the primary term. This
Franchise will automatically renew for successive periods of five (5) years each unless cancelled
at the end of a term by either party by written notice to the other party no less than 184 calendar
days prior to the end of the primary term or the then current successive term.
Section 4. Assignment and Transfer of Franchise.
4.1 This Franchise shall not be leased, assigned or otherwise alienated without the
express consent of the City by ordinance, which approval shall not be unreasonably withheld,
except for the expressed purpose of mortgaging this franchise along with the gas utility facilities
and other property of the Grantee to secure any legal bond issue or other bona fide indebtedness
of the Grantee, however, such mortgage shall provide notice to the City of any default thereon
prior to realization on the property by the mortgagee.
4.2 Subject to the foregoing, Grantee and any proposed assignee or transferee shall
provide and certify the following to the City not less than 120 days prior to the proposed date of
transfer: (a) Complete information setting forth the nature, terms and conditions of the proposed
assignment or transfer; (b) All information reasonably required by the City of a franchise
applicant with respect to the proposed assignee or transferee; c) Any other information
reasonably required by the City, including information about the proposed assignee's or
transferee's safety record; and, d) An application fee which shall be set by the City, plus any
other costs actually and reasonably incurred by the City in processing and investigating the
proposed assignment or transfer.
4.3 No transfer shall be approved unless the assignee or transferee has at least the
legal, technical, financial, and other requisite qualifications to carry on the activities of Grantee.
Cascade Natural Gas Ordinance-3
4.4 Any transfer or assignment of this Franchise without the prior written consent of
the City shall be void and result in revocation of the Franchise.
4.5 If such consent is given by the City, Grantee shall, within thirty (30) days, file
with the City a written statement evidencing such sale, assignment or transfer of ownership,
whereby the assignees/transferees shall agree to accept and be bound by all of the provisions of
this Franchise.
Section 5. Compliance with Laws and Standards.
5.1 In carrying out any authorized activities under the privileges granted herein,
Grantee shall meet accepted industry standards and comply with all applicable laws of any
governmental entity with jurisdiction over the Facilities. This shall include all applicable laws,
rules and regulations existing at the Effective Date of this Franchise or that may be subsequently
enacted by any governmental entity with jurisdiction over Grantee and/or Facilities.
5.2 In the case of any conflict between the terms of this Franchise and the terms of
City's ordinances, codes, regulations, standards and procedures, this Franchise shall govern. In
the event of a conflict between City regulations and federal or state laws, in which is has been
determined that federal law has preemption, the federal or state law shall govern.
Section 6. Construction and Maintenance.
6.1 All pipeline Construction, Maintenance or Operation undertaken by Grantee,
upon Grantee's direction or on Grantee's behalf shall be completed in a workmanlike manner.
6.2 Except in the case of an emergency, prior to commencing any Construction and/or
Maintenance work in the Franchise Area, Grantee shall first file with the City such detailed plans
and specifications of the intended work as may be required by the City public works
requirements in effect at the time of filing. The City may require such additional information,
plans and/or specifications as are in the City's opinion necessary to protect the public health and
safety during the Construction and/or Maintenance work and for the remaining term of this
Franchise.
6.3 All Construction and/or Maintenance work shall be performed in general
conformity with the maps and specifications filed with the City and in conformity with City-
issued permits. The City reserves the right to identify the exact location within the right-of-way
for the location of Grantee's Facilities reserving portions of the right-of-way for the specific
location of other future utility lines.
6.4 All pipe and other components of any Facilities used in Construction and/or
Maintenance activities within the Franchise Area will shall comply with applicable federal
regulations, as from time to time amended
Cascade Natural Gas Ordinance-4
6.5 Except in the event of an emergency, Grantee shall provide the City at least ten
(10) calendar days written notice prior to any Construction and/or Maintenance, or other
substantial activity, other than routine inspections and maintenance, by Grantee, its agents,
employees or contractors on Grantee's Facilities within the Franchise Area.
6.6 Work shall only commence upon the issuance of applicable permits by the City,
which permits shall not be unreasonably conditioned, withheld or delayed. However, in the event
of an emergency requiring immediate action by Grantee for the protection of the Facilities,
City's property or other persons or property, Grantee may proceed without first obtaining the
normally required permits. In such event Grantee must (1) take all necessary and prudent steps to
protect, support, and keep safe from harm its Facilities, or any part thereof; the City's property;
or other persons or property, and to protect the public health and safety; and (2) as soon as
possible thereafter, must obtain the required permits and comply with any mitigation
requirements or other conditions in the after-the-fact permit.
6.7 Unless such condition or regulation is in conflict with a federal or state
requirement, the City may condition the granting of any permit or other approval that is required
under this Franchise, in any manner reasonably necessary for the safe use and management of the
public right-of-way or the City's property including, by way of example and not limitation,
bonding, maintaining proper distance from other utilities, protecting the continuity of pedestrian
and vehicular traffic and protecting any Rights-of-Way improvements, private facilities and
public safety.
6.8 Whenever necessary, after Constructing or Maintaining any of Grantee's
Facilities within the Franchise Area, Grantee shall, without delay, and at Grantee's sole expense,
remove all debris and restore the surface as nearly as possible to as good or better condition as it
was in before the work began. Grantee shall replace any property corner monuments, survey
reference or hubs that were disturbed or destroyed during Grantee's work in the areas covered by
this Franchise. Such restoration shall be done in a manner consistent with applicable codes and
laws, under the supervision of the City and to the City's satisfaction and specifications. The
restoration shall be done under a bond in an amount appropriate to guarantee adequate
restoration.
6.9 Grantee shall continuously be a member of the State of Washington "One -
Number Locator Service" under RCW 19.122, or an approved equivalent, and shall comply with
all such applicable rules and regulations. Grantee shall provide reasonable notice to the City
prior to commencing any Maintenance or Construction requiring City approval under this
Franchise. Grantee shall provide a design locate upon request and One-Call notification prior to
the initiation of any construction within the City right-of-way or public ways.
6.10 Markers demarcating certain Facilities shall be placed in accordance with
applicable pipeline safety regulations, but in a manner that does not interfere with trails or other
public uses in that area.
6.12 Upon written request from the City, Grantee shall also provide detailed as-built
design drawings showing the size, depth and location of specific Facilities within the Franchise
Area.
Cascade Natural Gas Ordinance-5
6.14 Nothing in this Franchise shall be deemed to impose any duty or obligation upon
City to determine the adequacy or sufficiency of Grantee's plans and designs or to ascertain
whether Grantee's proposed or actual construction, testing, maintenance, repairs, replacement or
removal is adequate or sufficient or in conformance with the plans and specifications reviewed
by City.
6.15 Grantee shall be solely and completely responsible for workplace safety and safe
working practices on its job sites within the Franchise area, including safety of all persons and
property during the performance of any work.
6.16 Grantee agrees to provide the City with a performance bond in the amount of
fifteen thousand dollars ($15,000.00). The City reserves the right to require such other or
additional construction and/or Right-of-Way bonds, in amounts necessary to meet all costs of
restoration and for a period that the City, in its sole discretion, reasonably deems necessary and
prudent based on its consideration of the nature of the activity, public safety, potential damage,
potential liability and/or potential expenses to the City. If the City requires additional bonding
which the Grantee considers unreasonable, Grantee may initiate dispute resolution provided in
Section 14 below.
Section 7. Customer Service Line Location Standards.
7.1 All pipelines of Grantee's Facilities shall be laid at least 15 inches below the
surface of any City right-of-way or public way, and at least 15 inches below the bottom of any
other buried City utility in such a manner as to not interfere with the present and future delivery
of such utility services. Such pipelines shall be laid no closer than four feet laterally from any
other pipe or conduit of other utilities. All above ground Facilities shall be located in such a
place and manner as not to present a hazard to vehicle and pedestrian traffic in accordance with
the standards adopted by the City. To the extent reasonable, Grantee shall utilize common
trenching practices with other utilities when such other utilities are cooperative with such
practices and with surface locators and facilities located near other utility outlets.
7.2 Grantee shall install, maintain and extend Facilities to service customers within
the Franchise Area in response to all reasonable requests for service and in accordance with its
rules and tariffs, as approved by the Washington Utilities and Transportation Commission.
Cascade Natural Gas Ordinance-6
Section 8. Operations and Maintenance.
8.1. Grantee shall operate and maintain its pipeline(s) and Facilities in the Franchise
Area in full compliance with the applicable provisions of Title 49, Code of Federal Regulations,
Part 192, as now enacted or hereinafter amended, and any other current or future laws or
regulations that are applicable to Grantee's Facilities, enacted by any governmental entity with
jurisdiction over the Grantee or its Facilities. Grantee shall, upon detection, notice from the
City, or Grantee's customer, promptly investigate all damages, leaks or defects to Grantee's
Facilities and complete appropriate repairs in accordance with pipeline .safety regulations and
City permit approval.
8.2 If Grantee becomes aware that a third parry conducts any excavation of other
significant work that may affect the Facilities, Grantee shall conduct such inspections and/or
testing as is necessary to determine that no direct or indirect damage was done to the Facilities.
Section 9. Encroachment Management.
9.1 Grantee and the City shall comply with current applicable federal, state and local
requirements regarding encroachment management including participation in the "One-Call
Number Services" system (RCW 19.122).
Section 10. Leaks, Ruptures, Spills and Emergency Response.
10.1 Grantee warrants that during the term of this Franchise, it will maintain an
Emergency Response Plan that is in compliance with the applicable requirements of local, state
and federal agencies with jurisdiction. Within ninety (90) days of entering into this Franchise,
and on an annual basis thereafter, Grantee shall meet with City emergency management
personnel.
10.2 Grantee's Emergency Response Plan and procedures shall designate Grantee's
responsible local emergency response officials and a direct 24-hour emergency contact number
.for the control center operator. Grantee shall, after being notified of an emergency, cooperate
with the City and make every effort to respond as soon as possible to protect the public's health,
safety and welfare, and to comply with all state and federal emergency response requirements.
Section 11. Required Relocation of Facilities.
11.1 In the event that the City undertakes or approves the construction of or changes to
the grade or location of any water, sewer or storm drainage line, street, sidewalk or other City
improvement project, and the City determines that the project might reasonably require changes
to or the relocation of Grantee's Facilities, the City shall provide Grantee at least one hundred
and twenty (120) calendar days prior written notice. Grantee may request additional time based
on good cause which the City shall not unreasonably deny.
Cascade Natural Gas Ordinance-7
11.2 Grantee shall not be required to relocate its Facilities at its expense for the benefit
of private owners or developers. However, if the City reasonably determines and notifies the
Grantee. that the primary purpose for requiring such changes to or relocation of Grantee's
Facilities by a third party is to cause or facilitate the construction of an improvement project
consistent with the City's Capital Facilities Plan, Transportation Improvement Program, or the
Transportation Facilities Program, or other similar plan, then Grantee shall change or otherwise
relocate its Facilities at Grantee's sole cost, expense and risk. The City shall take all reasonable
steps to cooperate with Grantee on any effort by Grantee to apply for and obtain any local, state
or federal funds that may be available for the relocation of Grantee's Facilities provided,
however, that Grantee's application for such funds may not delay the City's improvement
project.
11.3 The City shall provide Grantee with copies of pertinent portions of the plans and
specifications for any improvement project that will potentially affect Grantee's Facilities. Upon
request, Grantee shall, at its cost and expense, determine and identify for the City the exact
location of its Facilities potentially affected by the improvement project.
11.4 Grantee may, after receipt of written notice requesting a relocation of its
Facilities, submit to the City written alternatives to the relocation within forty five (45) calendar
days of receiving the plans and specifications. The City shall evaluate the alternatives and advise
Grantee in writing if one or more of the alternatives is suitable to accommodate the work that .
would otherwise necessitate relocation of the Facilities. If requested by the City, Grantee shall
submit additional information to assist the City in making the evaluation. The City shall give
each alternative proposed by Grantee full and fair consideration but retains full discretion to
decide for itself whether to utilize its original plan or an alternative proposed by Grantee. In the
event the City ultimately determines that there is no other reasonable alternative, Grantee shall
relocate its Facilities as proposed by the City.
i
11.5 The City shall work cooperatively with Grantee in determining a viable and
practical route within which Grantee may relocate its Facilities, in order to minimize costs while
meeting the City's project objectives.
11.6 Provided that Grantee has received timely advance notice as required by this
section, Grantee shall complete relocation of its Facilities so as to accommodate a City
improvement project at least ten (10) calendar days prior to commencement of the improvement
project or such other time as the parties may agree in writing.
Section 12 Removal,Abandonment in Place.
12.1 In the event of the removal of all or a portion of the Facilities, Grantee shall
restore the Franchise Area to as good or better condition as it was in before the work began.
12.2 Removal and restoration work shall be done at Grantee's sole cost and expense
and to the City's reasonable satisfaction. Grantee shall be responsible for any environmental
review required for the removal of any Facility and the payment of any costs of the
environmental review.
Cascade Natural Gas Ordinance-8
12.3 If Grantee is required to remove its pipeline(s) and/or Facilities and fails to do so
and/or fails to adequately restore the Franchise Area or other mutually agreed upon action(s),
City may, after reasonable notice to Grantee, remove the pipeline(s) and/or Facilities, restore the
premises and/or take other action as is reasonably necessary at Grantee's expense. This remedy
shall not be deemed to be exclusive and shall not prevent the City from seeking a judicial order
directing that the Facilities be removed.
12.4 In the event of Grantee's permanent cessation of use of any Facilities, or any
portion thereof within the Franchise Area, damage, destruction, or removal of such abandoned
portions shall be permitted by the Grantee without any obligation for repair or restoration of such
Facilities. Upon abandonment, Grantee shall provide notice to the City. In the event an
abandoned facility directly causes disturbance to the surface of a City right-of-way as a result of
settling, collapse, or other causes as a direct result of the Facility, Grantee, upon notice from the
City, shall remove or remediate the abandoned Facility and restore the right-of-way surface.
Section 13. Violations, Remedies and Termination.
13.1 In addition to any rights set out elsewhere in this Franchise, or other rights it may
possess at law or equity, the City reserves the right to apply any of the following remedies, alone
or in combination, in the event Grantee violates any material provision of this Franchise. The
remedies provided for in this Franchise are cumulative and not exclusive; the exercise of one
remedy shall not prevent the exercise of another, or any rights of the City at law or equity.
13.2 The City may terminate this Franchise if Grantee materially breaches or otherwise
fails to perform, comply with or otherwise observe any of the terms and conditions of this
Franchise, or fails to maintain all required licenses and approvals from federal, state, and local
jurisdictions, and fails to cure such breach or default within thirty (30) calendar days of the
City's providing Grantee written notice thereof, or, if not reasonably capable of being cured
within thirty (30) calendar days, within such other reasonable period of time as the parties may
agree.
13.3 In the event of termination under this franchise, either party may in such case
invoke the dispute resolution provisions. Once the Grantee's rights to operate in the Franchise
Area have terminated, Grantee shall comply with Franchise provision regarding removal and/or
abandonment of Facilities.
13.4 The City's failure to exercise a particular remedy at any time shall not waive the
City's right to terminate, assess penalties, or assert that or any other remedy at law or equity for
any future breach or default of Grantee.
13.5 Termination of this Franchise .shall not release Grantee from any liability or
obligation with respect to airy matter occurring prior to such termination, nor shall such
termination release Grantee from any obligation to remove or secure the Facilities pursuant to
this Franchise and to restore the Franchise Area.
I
13.6: The City may cure any default upon Grantee's failure to do so within the default
period and the reasonable costs of such cure shall be borne by the Grantee.
Cascade Natural Gas Ordinance-9
Section 14. Dispute Resolution.
14.1 In the event of a dispute between the City and Grantee arising by reason of this
Franchise, the dispute shall first be referred to the Chief Operational Officer on behalf of the
Grantee, or the City Manager, or their designees. These parties shall meet within thirty(30)
calendar days of either party's request for a meeting, whichever request is first, and the parties
shall make a good faith effort to achieve a resolution of the dispute
14.2 If the parties are unable to resolve the dispute under the procedure-set forth in this
section, the parties hereby agree that the matter shall be referred to mediation. The parties shall
mutually agree upon a mediator to assist them in resolving their differences. Any expenses
incidental to mediation shall be borne equally by the parties.
14.3 If the parties are unable to select a mediator or fail to achieve a resolution through
mediation; either party may then pursue any judicial remedies. Venue shall be placed in.Franklin
County, Washington, before the Franklin County Superior Court or the United States District
Court of the Eastern District of Washington, and the substantially prevailing party shall be
awarded, as additional judgment against the other, its reasonable attorney fees and costs incurred
in the judicial action.
14.4 Subject to state and federal regulation, Grantee shall be permitted to continuously
operate and maintain its Facilities during dispute resolution..
Section 15. Indemnification.
15.1 General Indemnification. Grantee shall indemnify, defend and hold harmless the
City, it agents, officers or employees, from any and all liability, loss, damage, cost, expense,and
claim of any kind, including reasonable attorneys' and experts' fees incurred by the City in
defense thereof, arising out of or related to, directly or indirectly, the installation, construction,
operation, use, location, testing, repair, maintenance, removal, or abandonment of Grantee's
Facilities, or from the existence of Grantee's Facilities, and the products contained in,transferred
through, released or escaped from said Facilities, including the reasonable costs of assessing
such damages and any liability for costs of investigation, abatement, correction, cleanup, fines,
penalties, or other damages arising under any environmental laws. If any action or proceeding is
brought against the City by reason of the Facilities, Grantee shall defend the City at the
Grantee's complete expense, provided that, for uninsured actions or proceedings, defense
attorneys shall be approved by the City,which approval shall not be unreasonably withheld.
Cascade Natural Gas Ordinance- 10
Section 16. Insurance and Bond Requirements.
16.1 During this Franchise, Grantee shall provide and maintain, at its own cost,
insurance in the minimum amount of FIVE MILLION UNITED STATES DOLLARS
($5,000,000.00) for each occurrence, in a form and with a carrier reasonably acceptable to the
City, naming City as an additional insured, to cover any and all insurable liability, damage,
claims and loss as set forth in Section 15.1 above. In the event that a deductible applies to the
insurance herein,Grantee agrees to pay the amount of that deductible.
16.2 Proof of insurance shall be provided to the City. Said insurance shall contain a
provision that it shall not be canceled without a minimum of thirty(30) days prior written notice
to the City.
16.3 Grantee shall retain the right to self-insure any insurance requirement contained in
this Agreement. If Grantee elects to self-insure, Grantee shall provide the City.a letter of self-
insurance in lieu of a certificate of insurance. However, if Grantee elects to self-insure, the City
retains the right to require such other surety from Grantee as it determines is reasonable and
necessary in lieu of being named an additional insured.
16.4. On or before the Effective Date of this Franchise, Grantee shall furnish a bond
executed by Grantee and a corporate surety authorized to do surety business in the State of
Washington, with an AM Best rating of A XII in a sum to be set and approved by the City as
sufficient to insure performance of Grantee's obligations and performance under this Franchise,
such bond to be conditioned that Grantee shall well and truly keep and observe all of the
covenants, terms and conditions and faithfully perform all of Grantee's obligations under this
Franchise. If Grantee determines that the sum requested by the City is unreasonable, Grantee
may initiate dispute resolution provided in Section 14 above.
Section 17. Taxes.
17.1 Grantee shall collect and pay any taxes such as a utility tax as authorized by RCW
35.21.865 which shall be an amount levied pursuant to PMC 5.32.040:
Section 18. Legal Relations.
18.1 Nothing contained in this Franchise shall be construed to create an association,
trust, partnership, agency relationship, or joint venture or to impose a trust, partnership, or
agency duty, obligation or liability on or with regard to any party. Each party shall be
individually and severally liable for its own duties, obligations, and liabilities under this
Franchise.
Cascade Natural Gas Ordinance- 1]
18.2 Grantee accepts any privileges granted by City to the Franchise Area, public
Rights-of-Way and other Public Ways in an "as is" condition. Grantee agrees that the City has
never made any representations, implied or express warranties or guarantees as to the suitability,
security or safety of Grantee's Facilities or location in public property or rights of way or
possible hazards or dangers arising from other uses of the public rights of way or other public
property by the City or the general public. Grantee shall remain solely and separately liable for
the function, testing, maintenance, replacement and/or repair of the Facilities or other activities
permitted under this Franchise.
.18.3 This Franchise shall be governed by, and construed in accordance with, the laws
of the State of Washington and the parties agree that in any action, except actions based on
federal questions,venue shall lie exclusively in Franklin County, Washington.
Section 19. Miscellaneous.
19.1 In the event that a court or agency of competent jurisdiction declares a material
provision of this Franchise Agreement to be invalid, illegal or unenforceable, the parties shall
negotiate in good faith and agree, to the .maximum extent practicable in light of such
determination, to such amendments or modifications as are appropriate so as to give effect to the
intentions of the parties as reflected herein. If severance from this Franchise Agreement of the
particular provision(s) determined to be invalid, illegal or unenforceable will fundamentally
impair the value of this Franchise, either party may apply to a court of competent jurisdiction to
reform or reconstitute this Franchise so as to recapture the original intent of said particular
provision(s). All other provisions of the Franchise shall remain in effect at all times during which
negotiations or a judicial action remains pending.
19.2 Whenever this Franchise sets forth a time for any act to be performed, such time
shall be deemed to be of the essence, and any failure to perform within the allotted time may be
considered a material violation of this Franchise.
19.3 In the event that Grantee is prevented or delayed in the performance of any of its
obligations under this Franchise by reason(s) beyond the reasonable control of Grantee, then
Grantee's performance shall be excused during the force majeure occurrence. Upon removal or
termination of the force majeure occurrence the Grantee shall promptly perform the affected
obligations in an orderly and expedited manner under this Franchise or procure a substitute for
such obligation or performance that is satisfactory to the City. Grantee shall not be excused by
mere economic hardship nor by misfeasance or malfeasance of its directors, officers or
employees.
19.4 The section headings in this Franchise are for convenience only, and do not
purport to and shall not be deemed to define, limit, or extend the scope or intent of the Section to
which they pertain.
19.5 By entering into this Franchise, the parties expressly do not intend to create any
obligation or liability, or promise any performance to, any third party, nor have the parties
created for any third party any right to enforce this Franchise.
Cascade Natural Gas Ordinance- 12
19.6 This Franchise and all of the terms and provisions shall be binding upon and inure
to the benefit of the respective successors and assignees of the parties.
19.7 Whenever this Franchise calls for notice to or notification by any party, the same
(unless otherwise specifically provided) shall be in writing and directed to the recipient at the
address set forth in this Section, unless written notice of change of address is provided to the
other parry. If the date for making any payment or performing any act is a legal holiday,payment
may be made or the act performed on the next succeeding business day which is not a legal
holiday.
Notices shall be directed to the parties as follows:
To the City:
Gary Crutchfield, City Manager
City of Pasco
525 North 3rd
Pasco,Washington 99301
To the Grantee:
Cascade Natural Gas Corporation
Attn: Operations/Franchise
PO Box 24464
Seattle,Washington 98124-0464
19.8 The parties each represent and warrant that they have full authority to enter into
and to perform this Franchise, that they are not in default or violation of any permit, license, or
similar requirement necessary to carry out the terms hereof, and that no further approval,permit,
license, certification, or action by a governmental authority is required to execute and perform
this Franchise, except such as may be routinely required and obtained in the ordinary course of
business.
19.9 This Franchise and the attachments hereto represent the entire understanding and
agreement between the parties with respect to the subject matter and it supersedes all prior oral
negotiations between the parties. This Franchise can be amended, supplemented, modified or
changed only by an agreement in writing which makes specific reference to the Franchise or the
appropriate attachment and which is signed by the party against whom enforcement of any such
amendment, supplement, modification or change is sought. All previous franchise agreements
between the parties pertaining to Grantee's Operation of its Facilities are hereby superseded.
19.10 Grantee shall, within thirty (30) days after passage of this Ordinance, file with the
City Clerk, its unconditional written acceptance of all the terms and conditions of this Franchise.
If Grantee shall fail to so file its written acceptance within such period, then the rights and
privileges granted hereunder shall be deemed forfeited.
Cascade Natural Gas Ordinance- 13
PASSED by the City Council of the City of Pasco, Washington, and approved as
provided by law this day of July_ , 2006.
Joyce Olson, Mayor
Attest: Approved as to Form:
Webster U. Jackson, City Clerk Leland B. Kerr, City Attorney
Date of Publication:
UNCONDITIONAL ACCEPTANCE BY GRANTEE
I, the undersigned official of Cascade Natural Gas Corporation, am authorized to bind
Cascade Natural Gas Corporation and to unconditionally accept the terms and conditions of the
foregoing Franchise (Ordinance No. ), which are hereby accepted by Cascade
Natural Gas Corporation this day of , 20_.
Cascade Natural Gas Corporation
By:
Name: Daniel E. Meredith
Title: Sr. Director, Safety & En ing, Bering
Subscribed and sworn to before me this day of 92006
Notary Public in and for the State of Washington
My commission expires
Received on behalf of the City this day of , 2006
Name:
Title:
Cascade Natural Gas Ordinance- 14
AGENDA REPORT NO. 51
FOR: City Council Date: June 20, 2006
TO: Gary Crutchfie iconomic rt Manager Workshop: 6-26--06
Richard J. Smi Director Regular:
Community & Development
FROM: David McDonald, City Planne9PL-k-
SUBJECT: Sign Code Amendment (MF # CA06-001-CA)
I. REFERENCE(S):
A. Summary of the Proposed Code Changes
B. Proposed Ordinance*
*(Note: Items B is in Council packets only-Copies available in
Planning Office and Library for public review)
II. ACTION REQUESTED OF COUNCIL/STAFF RECOMMENDATIONS:
Review and Discussion
III. FISCAL IMPACT None
IV. HISTORY AND FACTS BRIEF:
A. Some time ago the City retained the services of the Beckwith
Consulting Group to assist with updating the City's sign
regulations.
B. The Planning Commission held a public workshop in June and a
public hearing in July of last year to consider amendments to the
sign code. Following the public hearing the Planning Commission
recommended the sign code be amended as per the code proposal
in attachment "B". Work on the proposed sign code regulations
was foreshadowed by efforts to update the landscaping code and
by other code amendments efforts (manufactured homes, Stealth Cell
Towers, Short Plats & Shipping Containers). In May of this year the
Planning Commission reviewed and reaffirmed their
recommendations for the sign code.
V. DISCUSSION:
A. The current City sign code was enacted in 1970 and has served the
City well for the past 34 years. However certain sections of the code
are dated and make reference to things that no longer exist, such as .
the board of adjustment. The chapter dealing with zoning does not
contain instructions for or references to the six new zoning districts.
The sign code permits signs on residences with offices located in R-1
zones yet the zoning regulations prohibits such signs. The update of
the sign code was designed to address these and other problems.
B. In addition to correcting obvious cross reference conflicts and
formatting changes the proposed code makes several significant
changes. The first major change was the expansion of the definition
section that added 58 new definitions. The new definitions more
accurately describe the numerous types of signs that are now used
in the business world.
C. The major chapters dealing with regulations for different sign types
(wall signs, roof signs, etc) have all been consolidated in one ����
Chapter. This new Chapter, 17.10 "Sign Allowance Table", provides
much of the information needed to determine where different types
of signs are permitted in the City. This chapter provides direction for
the location of political campaign signs, yard sale signs, signs that
are prohibited and signs that are exempt from permits. For example
emblems of local non profit groups, bona fide religious symbols and
temporary signs/decorations for special holidays have been added to
the listing of signs exempt from permits. On the other hand signs
on fences, inflatables attached to roofs, damaged signs, signs on
utility poles, billboards and other signs have been included in the
prohibited list.
D. Attachment "A" provides a brief summary of the major proposed sign
code changes.
E. This matter was originally scheduled to be reviewed by the City
Council on June 12th. However due to a medical emergency the city's
consultant was not able to attend the Council meeting. The
consultant has been rescheduled to be present during the June 26th
workshop to review the proposed code changes with the City
Council.
Title 17
Sign Code
Summary of Proposed Code Changes
Major Proposed Code Changes
Chapter 17.08 Definitions
• The 38 definitions in the current code have been expanded to
96 definitions. Every possible type of sign has been included in
the definitions.
Chapter 17.10 Sign Allowance Table
• This is a completely a new chapter that provides guidance on where
various types of signs are permitted and under what conditions. The
sign allowance table combines the information that is currently found in
the various (wall signs, roof, signs, tract signs etc) chapters dealing
with different types of signs. The sign allowance chapters contains
provisions or guidance for temporary, exempt and prohibited signs as
follows:
Temporary Signs:
• Real estate signs are permitted only on the property that is for sale.
• Political Signs: may be placed upon the periphery of streets provided
they do not interfere with traffic or with the use of adjoining property.
They may also be permitted on private property with consent of the
owner. Political signs must be removed 5 days after the election. (The
current regulations provide no direction on the location of political signs
and require them to be removed within 10 days elections.)
• Yard Sale Signs: Prohibits yard sale signs on roads, utility poles,
street signs and fences. Yard sales signs are permitted on private
property for no longer than 72 hours. (The current code does not
provide guidance for yard sale signs)
• Grand Opening Signs: Grand Opening signs are permitted only on the
site where the new business is located.
• Temporary signs are permitted for 30 days unless otherwise specified
Exempt Signs (17.10.030):
The following signs have been added to the list of sign exempt from
permits
Temporary signs and decorations for special holidays,
Sign on a municipal building,
Traffic control sings,
Fountains/sculptures,
Flags of government,
Official government notices,
Lettering on a vehicle meant for incidental identification,
Identification signs on recycling containers,
Emblems of local nonprofit groups
Bona fide religious symbols.
Prohibited Signs 17.10.040
• The following signs are prohibited in the proposed code:
Swinging projection signs
Signs placed on vehicles or trailers parked on private or public
property designed to operate as a de facto sign
Private signs place in the right-of-way
Any sign constituting a traffic hazard
Any sign that is damaged torn defaced or destroyed
Signs attached to utility poles
Billboards, roof signs strobe lights, lasers, strings of streamers
and all other signs not otherwise specifically authorized or
exempted by the code.
Off-premise signs except those expressly permitted.
Sign on fences
Balloons or inflatables attached or anchored to the roof of a
building.
• Sign Allowance Table:
Explains in table format the types, sizes, and height of signs
permitted in the various zoning districts.. The table also explains
which sign require permits.
The sign table includes information on Freeway Signs. The
current code does not list freeway signs as a separate class of
sign. The proposed freeway sign is similar to Freeway
interchange sign but is smaller in size---350 sq. ft. verses 480
sq. ft. Both the freeway interchange sign and the freeway sign
are permitted to be 70 feet high.
Chapter 17.08 General Regulations
• The section on abandoned signs has been modified to require all sign
frames and supports to be removed within one year of the date of
abandonment or business closure. The current code only requires the
advertising copy to be removed or painted out.
Chapter 17.46 Off-Premise Signs
Because billboards have been listed as prohibited signs (Sec
17.10.040) the off-premise sign regulations dealing with billboards has
been eliminated.
Chapter 17.46 Permits & fees
• A separate sign permit is required for a sign or group of signs per
business location.
• Sign permits are valid for 120 days
• Advertising copy can be changed with out obtaining a permit.
• A permit can be revoke if it was issued in error of on the basis of
incorrect information.
• The $5 permit fee was eliminated. It cost the City more than $5 in staff
time to issue a sign permit.
Chapter 17.46 Non Conforming Signs
• A nonconforming signs must be made conforming if a non conforming
sign is moved or changed.
Chapter 17.20 Construction
• Language has been added to require signs to be made in a
workmanship like manner.
House Keeping Code Changes
Due to the length of time since the sign code was last amended many
of the changes in the proposed code relate to formatting and general
house keeping changes. The general formatting changes are listed as
follows:
Chapter 17.02 Uniform Sign Code
• This chapter was deleted. The chapter adopted the 1973 addition of
the Uniform Sign Code. The City no longer operates under the uniform
codes.
Chapter 17.04 Title, Purpose & Enforcement
• Section 17.04.020 the purpose statement was rewritten to provide
enhanced guidance for development and implementation of the
remainder of the sign code.
• Section 17.04.030 was modified to eliminate references to uniform
citations, enforcement by the City Attorney and interpretation by the
board of Adjustment. (The City utilizes a Code Enforcement Board for
these functions)
• Section 17.04.040 The nonliability clause was clarified.
• Section 17.04.050 added a section dealing with conflicting
provisions between the sign code and other city codes.
• Section 17.04.060 added severability clause.
Chapter 17.08 General Regulations
• Section 17.12.040 expands the explanation of obscene
matter.
• Minor changes have been made to sections 17.12.030,
17.12.050, 17.12.100 and 17.12.120.
• Sections 17.12.090, 17.12.130 were rewritten for clarity.
• Table No 3-A was deleted in favor of the new allowance table
chapter.
Chapter 17.20 Construction
• Minor changes were made in this chapter to eliminate
references to signs that have been prohibited, such as roof
signs and combination signs.
Chapter 17.24 Freestanding Signs
• This chapter has been deleted in favor of the sign allowance
chapter.
Chapter 17.28 Roof Signs
• This chapter has been deleted. Roof signs are no longer
permitted
Chapter 17.32 Wall Signs
• This chapter has been deleted in favor of the sign allowance
chapter.
Chapter 17.20 Construction
• Language has been modified slightly and rearranged
AGENDA REPORT NO. 57
FOR: City Council Date: June 22, 2006
TO: Gary Crutchfield, City Manager Workshop: 06/26/06
FROM: Richard J. Smith, Director Vw
Community 8s Economic Development
SUBJECT: Neighborhood Improvement Action Plan
L REFERENCE(S):
A. Map of Proposed Improvement Areas
I1. ACTION REQUESTED OF COUNCIL/STAFF RECOMMENDATIONS:
06/26/06: DISCUSSION
III. FISCAL IMPACT
None.
IV. HISTORY AND FACTS BRIEF:
A. On March 24-25, 2006 the City Council conducted a retreat to discuss
and then develop goals for 2006-2007.
B. During the Retreat staff presented a proposal to establish a
Neighborhood Improvement Action Plan.
The goal of this proposed program is to assist property owners in various
neighborhoods by addressing nuisance conditions and improving aging
infrastructure through joint neighborhood/City initiatives.
It is proposed that the City be divided into "neighborhoods." Planning
staff, in a series of neighborhood meetings, would solicit opinions from
residents regarding specific issues that people feel will tangibly improve
their neighborhoods. Cost estimates for the physical improvements and
programs would be prepared for consideration by Council during the
annual budget process.
C. The initial step in this process is the division of the City into
"neighborhoods" for analysis and solicitation of input by residents.
D. The areas that will be evaluated, at least initially, are all located in the
central area of the city.
V. DISCUSSION:
A. The attached map Identifies six areas that are comprised of Census block
groups. The division of the City into US Census block groups will allow
staff to utilize prior and future census information to monitor changes in
neighborhood owner/renter ratios, incomes, etc.
B. Staff is proposing to start this process in Area #1. This is an area of East
Pasco south of East Lewis Street which contains less than 400 homes.
This area is relatively small and has already been identified as in need of
infrastructure improvements such as sidewalks.
C. If Council concurs, Planning staff will begin the process in Area #1.
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