O-6-12-53AN ORDINANCE GRANTING TO LONE STAR GAS COMPANY, A
CORPORATION, ITS SUCCESSORS AND ASSIGNS, A FRAN-
CHISE TO FURNISH AND SUPPLY GAS TO THE GENERAL
PUBLIC IN THE CITY OF ALLEN, COLLIN COUNTY, TEXAS,
AND THE ENVIRONS THEREOF; FIXING RATES AND CHARGES
FOR NATURAL GAS AND GAS SERVICE; PROVIDING FOR THE
PAYMENT OF A FEE OR CHARGE FOR THE USE OF THE
STREETS, ALLEYS AND PUBLIC WAYS, AND PROVIDING
THAT IT SHALL BE IN LIEU OF OTHER FEES AND CHARGES,
EXCEPTING AD VALOREM TAXES.
BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF ALLEN,
TEXAS:
SECTION 1. That the City of Allen, Texas, hereinafter
called "City," hereby grants to Lone Star Gas Company, herein-
after called "Company," its successors and assigns, consent to
use and occupy the present and future streets, alleys, high-
ways, public places, public thoroughfares and grounds of City
for the purpose of laying, maintaining, constructing, operat-
ing and replacing therein and thereon pipe lines and all other
appurtenant equipment needed and necessary to deliver and sell
gas to persons, firms and corporations, including all the gen-
eral public, within the City's corporate limits and the en-
virons thereof, said consent being granted for a term of
-twenty-five (25) years from and after the date of the final
Passage and approval of this ordinance.
SECTION 2. Company shall lay, maintain, construct, op-
erate and replace its pipes, mains, laterals and other equip-
ment so as to interfere as little as possible with traffic and
shall promptly clean up and restore to an approximate original
condition, at its cost, all thoroughfares and other surfaces
which it may disturb. The location of all mains, pipes, lat-
erals and other appurtenant equipment shall be fixed under the
supervision of the Board of Aldermen or an authorized committee
or agent appointed by said Board.SECTION -
.
excavations or shall 1place aobstructionsny shall einrany ustreet, alley
or other public place, the public shall be protected by bar-
riers and lights placed, erected and maintained by Company;
and in the event of injury to any person or damage to any prop-
erty by reason of the construction, operation or maintenance of
the gas distributing plant or system of Company, Company shall
indemnify and keep harmless City from any and all liability in
connection therewith. Company shall repair, clean up and re-
store to an approximate original condition, all streets and al-
leys disturbed during the construction and repair of its gas
distributing system.
SECTION 4. Company may make and enforce reasonable rules
and regulations in the conduct of its business and may require,
before furnishing service, the execution of a contract there-
for and may require each consumer, within the corporate limits
of City, to pay Company for the installation of all service
pipes from the main in the street or alley to and throughout
the consumer's premises; and Company shall have the right to
contract with each consumer with reference to the installation
of service pipes and the control of service pipes from the
connection thereof with Company's main in the streets or al-
leys to and including the meter located on the consumer's
premises. Service lines are defined as supply lines from Com-
pany's mains in the streets or alleys to and ending at con-
sumer s meter.
SECTION 5. Company shall not be required to extend mains
on any street more than fifty /PD) feet for any one consumer
Ot61,;.=
of gas. Nor shall Company be required to connect to inter-
mediate or high-pressure lines.
SECTION 6. Company shall be entitled to require from each
and every consumer of gas, before gas service is commenced, a
deposit of twice the amount of an estimated average monthly
bill, which said deposit may be retained by Company until serv-
ice is discontinued and all bills therefor have been paid.
Company shall then return said deposit to the consumer, to-
gether with six per cent (6,%) interest thereon from the date
of said deposit up to the date of discontinuance of service.
Company shall be entitled to apply said deposit, with accrued
interest, to any indebtedness owed Company by the consumer
making the deposit.
SECTION 7. The rights, privileges and franchises granted
by this ordinance are not to be considered exclusive, and City
hereby expressly reserves the right to grant, at any time, like
privileges, rights and franchises as it may see fit to any
other person or corporation for the purpose of furnishing gas
for light, heat and power to and for City and the inhabitants
thereof.
SECTION 8. Company shall furnish reasonably adequate
service to the public at reasonable rates and charges therefor;
and Company shall maintain its property, equipment and appli-
ances in good order and condition.
SECTION 9. Company, its successors and assigns agrees
to payand City agrees to accept, on or before the ist day of
Jut_L. , 1954., and on or before the same day i each
succee ng—year during the life of this franchise, up to and
including the year 1978 , a sum of money which shall be
equivalent to two per cent (2%) of the gross receipts received
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by Company from the sale of gas to its domestic and commercial
consumers within the city limits of said City (expressly ex-
cluding, however, receipts derived from sales to industrial
and governmental users and consumers in said City) for the
preceding calendar year, which annual payment shall be for the
rights and privileges herein granted to Company, including ex-
pressly, without limitation, the right to use the streets, al-
leys and public ways of said City. And it is also expressly
agreed that the aforesaid annual payment shall be in lieu of
any and all other and additional occupation taxes, easement
and franchise taxes or charges (whether levied as an ad valo-
rem, special or other character of tax or charge), in lieu of
municipal license and inspection fees, street taxes and street
or alley rentals or charges, and all other and additional
municipal taxes, charges, levies, fees and rentals of whatso-
ever kind and character which City may impose or hereafter be
authorized to levy and collect, excepting only the usual gen-
eral or special ad valorem taxes, which City is authorized to
levy and impose upon real and personal property. Should City
not have the legal power to agree that the payment of the
foregoing sums of money shall be in lieu of taxes, licenses,
fees, street or alley rentals or charges, easement or fran-
chise taxes or charges aforesaid, then City agrees that it
will apply so much of said sums of money paid as may be neces-
sary to satisfy Company's obligations, if any, to pay any such
taxes, licenses, charges, fees, rentals, easement or franchise
taxes or charges.
In order to determine the gross receipts received by Com-
pany from the sale of gas (expressly excluding the sales of
gas to industrial and governmental consumers) within the cor-
porate limits of City, Company agrees that on the same date
that payments are made as provided in the preceding paragraph
of this Section 9, it will file with the City Clerk a sworn
report showing the gross receipts received from the sale of
gas to its domestic and commercial consumers within said city
limits for the calendar year preceding the date of payment.
City may, if it sees fit, .have the books and records of Company
examined by a representative of said City to ascertain the cor-
rectness of the sworn reports agreed to be filed herein.
Receipts from sales to governmental users or consumers
shall include all those receipts derived from the sale of gas
to Federal, State, County or City governments or branches and
subdivisions thereof, school districts or other similar dis-
tricts, it being the intention to include within the term
"governmental users and consumers" all tax -supported institu-
tions owned or operated directly or indirectly by said govern-
ments and branches or subdivisions thereof, such as schools,
colleges, hospitals, eleemosynary institutions, army or train-
ing camps, airports, courthouse, city hall and other institu-
tions of like or similar kind and character.
"Industrial users or consumers," as herein used, are
those generally and commonly classified as such by Company.
The payment herein provided shall be for the period
January let to December 31st of the respective year that the
payment is made.
SECTION 10. Effective with the first gas bills rendered
after the effective date of this ordinance the rates and
charges for sales of natural gas and natural gas service ren-
dered to residential and commercial consumers within the city
limits of City by Company are hereby fixed and determined to
be as follows:
(Based on monthly consumption registered on one meter)
Minimum Monthly Bill . . . . . . . $1.53
First
1
m.c.f.
at
$1.70
per
m.c.f..gross;
$1.53
per
m.c.f.
net.
Next
1
m.c.f.
at
1.422
per
m.c.f.
gross;
1.26
per
m.c.f.
net.
Next
3
m.c.f.
at.667
per
m.c.f.
gross;
.76
per
m.c.f.
net.
Next
20
m.c.f.
at
.569
per
m.c.f.
gross;
.53
per
m.c.f.
net.
All Over
25
m.c.f,
at
.533
per
m.c.f.
gross;
.46
per
m.c.f.
net.
Net rate shall apply to all bills paid within ten
(10) days from monthly billing date.
Except with respect to rates, all charges for natural gas
service now in effect shall remain in effect unchanged.
The above rates and charges are applicable to each resi-
dential and commercial consumer per month or for any part of a
month for which gas is used at the same location.
The rates and charges herein provided, however, shall be
subject to revision and change by either the City of Allen or
Company in the manner provided by law.
SECTION 11. Company shall file its written acceptance of
this franchise ordinance within sixty (60) days after its final
passage and approval by said City.
PASSED AND APPROVED on this the !24' day of
A.D. 1953.
ATTEST:
Uity Secret�y—Tayor
City of Allen, Texas
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STATE OF TEXAS I
COUNTY OF COLLIN
Secretary of the City of
Allen, Collin County„ exas, do hereby certify that the above
and foregoing is a true and correct copy of an ordinance
p ssed by the Board of Aldermen of the City of len at a
1� session held on the 2 y day of
in Books t appears of record in the- Minutes or said Board,
t , page _•
TNESS MY HAND AND SEAL OF SAID CITY, this the Z y day
of -.-�.�-G-u- , A.D. 1953. —
[ &
ecretary �—
City of Allen, Texas
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