34 of 1928 - Granting franchise to John McFayden and L.B. Denning to construct, operate and maintain gas mains an ROLL CALL
VOTING AYE NAY Salt Lake City,Utah, Pad LiS:t...9, 1928
Burton I move that,the ordinance be passed.
Fehr -
Finch - ¢•
Moran - - ° ((//
Mr.Chairman -
Result _ - _ RDINANCE
- l
AN ORDINANn G C NTING to John 71c={ayden and. L. B.
Denning, their '.cc n; .0 r.'i and assigns, a franchise for the
construction, operation and maintenance of gas mains and su?,_
ply pipes in the City of Salt Lake and prescribing the terms
and conditions thereof.
Be it o dai se'. by the: hos--;. of (berets n
SECTION I. There is hereby granted to John PicPayden
and L. B. Denning, their successors and assigns, hereinafter
called the grantees, the right, privilege and fr nchise to lay,
construct, maintain and ope;rate, in the present and future
streets, alleys, avenues, and other public thoroughfares of
Salt Lake City, Utah, in such places and along such courses
therein as shall have been first approved by the Board. of Com—
missioners of Salt Lake City, a system of subsurface gas mains,
supply pipes and laterals, with the necessary equipment, for the
purpose of supplying to Salt Lake City and its in'eeebitdnts, and
to persons and corporations beyond the corporate limits of said
city, gas for light, heat, power and other purposes for which the
same may be used, during the term of fifty (50) years next fol—
lowing the passage of this ordinance and its acceptance by the
grantees.
SECTION 2. No mains or pines shall be laid within the
limits of any public park living to the City of Salt Lake,
_2-
eithouk ci: ,, , :o a,), nor shall any be so laid,
; placed or maintained as to substantially impair or interfere with
Ithe usefulness or use of water mains or pleas of the City, gas mains
or pipes or conduits, of any character, of any publLc service utilijty
previously laid, constructed, and operatin7; within the corporate
,limits of said city, nor in such proximity thereto as to endanger
general welfare of the public.
health, life, property, or the
Before ,2 any of the initialtor subse-
Iauent :cork or : akin- any of the initial or subsequent excavations
in :e.`d streets or other pniolc thm:,oumnfa-. ::n, the a:It
rcpare and, file with the City '-ngineer of said City plans, profiles
4nd specifications thereof, together with the proposed location of
i.said maids, pipes, ;nd lter h1.s,
thereof to be installed, and shall furnish to Salt Lake City a satis-
factory bond of indemnity in such amount and with such surety or
sureties as the Board of Co.i'Cssioners may require and approve, con-
oditioned. for the careful, diligent and safe cots: eet u.nc >prosecution
i, of said no_C: without loss or damage to sL,ie City, or injury to per-
son or property, wherein it shall be convenanted by the grantees
and such surety that the grantee:-• shall and will ''sons the City helm-
1. . nc all (,1c__ms for , c r pd 1 is bill for C. rid=.gcs,
9t;id shall1, and will recay to said City all loss, damage and. expense
that it may suffer of sustain which shall have been caused, directly
Ilor indirectly, by the act, omission, misconduct or negligence of
Ithe grantees, their servants or agents.
SECTION 4. The grantees shall agree, and by their accept-
ante of this franchise shall be deemed to have agreed to at all
; times indemnify Salt Lake City and save it harmless from any and all
liability for injury to any person or damage to property resulting
directly or indirectly from the construction, maintenance, repair.
'• or operation of the gas distributing plant or system of the grantees,
and assigns, and shall at their own proper cost and expense upon
written notice from said City defend any and. all actions arising
_3-
lout of the construction, maintenance, repair and operation of the
gas distr ibuting plant or system under this franchise.
SECTION 5. ihenever the streets or public thoroughfares of
;the City are excavated or disturbed by the grantees in the construe_.
Lion, extension, or repair of their distributing system, or for any:
'cause, they shall be restored to their original condition es nearly,
as may be by the grantees, at their expense, and to the sa.tisfa.ct_i_o ,
,approval and acceptance of the Board of Commissioners of said city,
end until such restoration proper and sufficient s,' deli ] or
!herriers shall be erected and maintained there-.bouts h,g the matees, I
liChts when ncccs�c ry, to prevent injury to person Maxi jrogerty,
Iai.nd for the safety of the ;:;u.H_ic; a.11 such -.o •k shall be subject to.
'the inspection and supervision o ' the City '.n yineer.
fl CTTOC1 The grantees may cot and enforce reasonable
rules and regulations for the proper and c.0 bc_i_ent conduct anc mana.ge-
F;Iment of their business and. service of the public, not inconsistent,
lhowever, with the laws of the State of Utah, or the ordinances of
the City duly passed and adopted at any time in pursuance of its
'police power as now or hereafter delegated to municipalities within
the State of Utah; however, the laws of the State at any time per-- ,
imitting, or not preventing., the City, through its Board. of Commis---
sioners, shall have and retain the right and. may exercise the
;'power to regulate the service charges or rates of the „ranters for
it
,service to the inhabitants, persons or corporations within the cor
iiporate limits of the City, such regulations and action to be in
Iaccordence with the laws and constitution of the State of Utah and
he laws and constitution of the United States of America.
SECTION 7. In consideration of the granting of this fran
chise, grantees represent as follows:
(a) That they can and will obtain a supply of natural gas
to meet all reasonable requirements of the i.nnabita.nts of Salt Lake
City under this franchise for a period of at least ten grease et a
price at the Salt Lake City gate of not to exceed forty cents ( O )
per thousand cubic feet, i .. L- hhhhto !ha cal 'hr no,h•hoh. our-
II
•
-4-
(b) Grantees will, before beginaing the distribution of
paatural gas under this grant, file v,ith the Public Utilities Commise
i
:,sion of Utah a rate schedule in which the rates to be charged for
[natural gas for domestic use shall not exceed the following:
First 400 cubic feet, or less, not to exceed .90
Next 600 rr not to exceed .15 per huhdred
Next 1000 " u r; rr J-2 rr
Next 1000 " " '' rr " .075 " it
Next 2000 " n It n rr .06 rI +r
/21 over 5000 cubic feet not to exceed .05 "
(c) The said maximum rate schedule is based upon the re-
presentation that there is now available to grantees a. supply of
natural gas which can and will be brought to said city for use by it
ans its inhabitants which will contain a gross heating value of a
lminimum of 800 B. T. U. per cubic foot.
(d) The natural gas that is noe, pvc.ilthle for the present,
;and future sup;'ly of said city and its inhabitants by the grantees
jis natural gas which can be produced in its natural state from wells
located in the States of Vsyoming, Colorado and Utah, and which ex- ,
gas
�iceatizig only that helium and sulphur content and/or naturalnaturals
gasoline may be extracted therefrom upon the condition however, that
i
I;the same is not to be subjected to any treatment which shall change!
;the chemical composition of any of its component parts or which shall
i.xti any wise dilute it.
(e) That the rates to be charged, by the grantees for
rnatura.l gas service to industrial users for heating, manufacturing
and power purposes in Salt Lake City for the term of this franchise,
may be lover and different from those charged for eomestic purposeg,
sand the ;grantees shall have the right to contract with industrial
users in Salt Lake City and elsewhere for the sale of such natural';
Iges, provided that all such contracts contain e ' cut--off" clause
Hlhich recognizes the preferred right of the domestic users over the
�I industrial- users.
(f) Grantees will from time to time during the term of
this franchise make such enlargements and extensions of its distribu-
tion system as the business of the company and growth of the city
justify, and particularly the company will at its own expense ex-
I
itend any distribution main not to exceed one hundred. (100) feet for
each new customer of the company served thereby, if the demand of
such new customer is such c.> to rep'=ce such extension remunerativ
e
li
b to the grantee,.
SECTION 8. In lieu of license or occupation tax the
grantees shall and do agree to pay to Salt Lake City a sum equal to
Ione per centum of the annual gross,receipts from the sale of gas to
:consumers within the corporate limits of said Salt Lake City, said
sum to be paid for each year for ten years beginning with the date
of actual delivery of gas to consumers in said city and during said
ten-year period said payments shall not be less than Five Thousand
]1ars
($5,000.O0)/for any one year nor more th. n Ten Thousand (010,000.00)
hollers for any one year, and for the remainder of the term of this:
:franchise said payment shall be a sum equal to one and one--half per
centum of the annual gross receipts from the sl.e o:' gas to nonsuca
I ers tn(,, corporate limits of said city and said payments shall
Hot be less than Five Thousand 05,000.00) boilars for any one year,
rnor more than Fifteen Thou a._J. C315,000.01 1-altars for any one yeajr
; during the remainder of said term. Said annual payments shall be '
payable, the first at the end of one yeaa. after the first delivery'
y thereafter, and
lot' gas �.� :for yid, or v.itin-n ^:�; ty �€+0) ��Js �
: annually thereafter.
1
1 SECTION 9. No assignment of this franchise and the rightd
} hereunder shall be made or become effloctive without the approval
; and consent of the 7:o9.ri'.of Corni; �io.iads of alt
0 .hy, except
I �
that consent i.- hereby E.iven to the grantees herein to assign this i
1 franchise and the rights and. privileges 'herein granted, subject,
however, to the terms and conditions hereof, to a corporation to
.I i
Ua formed by them and their associates. Such „ , i❑ent, if rna'Ae,
shall be evidenced by an instrument in :ritin, :rh i.n L'-c r:ucc e s-
_v.-
sors or assigns of the grantees h ercina.bove named shall assume and
agree to perform and comply with all the obli; .ti.ono, duties, tcr:as.
anc' cone _o_ts of tht n - *-)7i. 10,7 i;0 ')a ')er-._
formed by the grantees, and an authentic,^.te copy of such assign-
-
ment shall be filed. with the City Recorder of said City.
SECTION 10. This ordinance and the rights herr:in con-
• ferrsb shall 'e null and void unless within ninety (so) days after t j
tine passage and publication hereof the saic3,s,ranteer,; their suc-
cessors or assigns, shall file v:ith the City ReCord.er. o' Salt Lake
''City a written instrument declaring their aceotahce of the terms
and conditions hereof and their intention to' be houndbe boundliyT•ahf dcc.Poem
the sage. d'ot.- is -nlin; the execution and filing of uc'r Britten,
.ccaptanca, i,_,1s or n .:ice and:the rights herein cored shall be'
null and void unless the grantees, their successors or assigns, shall
commence work on the distribution system v:ithin six (6) months a.nc
shall begin delivering s under the terms of this ordinance to con'-
:
sumers in Salt Lake City within fifteen (15) months from the final ,
ranting of e. certificate of public convenience and necessity by
the Public Utilities Conmis?ion of the State of Utah.
SECTION 11. In the opinion of the Board of Commissioners,
it is necessary to the health, pence and safety of the inhabitants
of Salt Lake City that this oruiiance bcc o ,e c. _,ecti t; i. c n . tely•I
SECTION 12. This ordinance shall 1 to.l.ao cL
first publication.
4111 .4e, ‘97- 1 -a."---'-.4"1"."-".-4`"
Pescee by the Board .,f Commissioners of Salt Lake City,
iUta.h, this .1.7 I a:.y of _ .i. .1 A -) .3 . 1928.
cilk
1 FT-C74-1"."-'-`4"*".'"
Mayor.
-uvCt r444Ld.eP44L��it
City Recorder.
•
i I
j I
•
9 ( q
`�t V � )' 6 itY Li,i! i
ci
f.
• SECTION 6,:The grante
es and enforce rules °d adopt
regu-
lations-t.tt the proper and fficient con-duct and management f their business e �
Pra t,howeier,with theDla`ws of[ho SLateuea f ion
1 I Utah, tAo dmancea of the City
dureu passe.of and.adopted at any[line lr.
Its police power n now withinte delegated to municipalities 1 wlthln tlI State of Otah;hp waver, the O wee of the State et ny time Dermit 1 thro r of Preventing, the o°era,!
STATE ON UTAHr) enrndgn Its Beard, I r.^rm„laalnneraa)} shell xCare and sofa o glint
Countyof Salt Lake ervlDe n rA<;"`r° d° r gmttea",!
far se °tea L' he gg,,teeel
rpor io fha within
the. Persons!orporhe Ci wlthln she acne setae action°t.'be CntY.tech eve.wttona[Ica do constitution
• raga ace Ita fht,!laws arid at la we
'f the Santa the and the le e i collet hating of the Vnied states o[Ameia. y
IS ECTPOt T. en nsideratlun of t /�J/� l/ 1
greasonable
ranttng f idle f'enchlse, gFanteee iT-sepals That natural g and will obtetc ( ((( l '- t���/f'�'�—�
supply P natural gee to 11
ado ble requirement. of the°inhabit-I a of Halt Lake City °der this err-
/
Trice
ar elf leposes and says that he is the principal
Lake yearst. 'Salt
i
dad [ City
yb gate °fo not the
f I . AN„ORDINANCE. a A 1 (IOrI) P ttl a°
' t ° "t la ❑n t D'i;T NEWS, a newspaper published in
n g pets a f ten ye '
e.M Ft{ydgaDLE GRANT/NO 4altY f forfeiture- P this Prim.
ANTINO t ,In. 1
t` B Den 1 g th 31 :lib'teas will^ before beginning
(th t tl Ig f hl [, 3y I.Cu en P fugal gas hat le County,in the Slate of Utah. i
t t P ce ip tdudn d 1 [ 1 i Fu 11
[I th th s t
e 4,t e.City et S]t L k . i rates h r a c e oil tl s
at A ii n
and neorri bdibgr f L b charged"'' fo;'"..l n
a BB its data dbyl th thereof d 1'Icc�VV"`ii {/
-I I g tl ea shell not k• �� l�t:t_'�_C(_N���
9-,m 1 oP S]f L k Hoard f.Cot- DI f t,er less,not to ex' 1
SECq ION I, There le heir¢ Vtah;.
th i h M Fnyden and L. H Dining I 5-t bl set,not to exceed .16•
• V celled fife ce and ads gee, herdic(-I N > T -
Y i'ie6! eranteea, the rlgonePriv- fe t°0 t{eLLI feet.not [o exceed
a i Intalnd dranchlne to.lay, exc
and operate, In the presenttl.0 a ,e not to e e d
A.anti,tuturo streets, lleys, u x n te •Next 400°cV dl eett, xc
e ether public thoroughfaree of.`Salt er b n bls teat, not to eeri +
7 Ciiy course In a places ^ 'Weer
o eon[ a thoreioD hell hove Dee. o A)1:rarer 5oh0 obit.feet, not to e approvved by the Hoard e d Pe said ecaair le
i lsetoner,e f Bea Lake City,ut Fitt., () The, maximum rate n that^n bsurfaca fps • tam le-eased.upon the representation that)
and laterals, I[h file n gp➢ly eadPea eeoPly is tanoturel liable Wto ranCileee
scut' for the p,, a p- gol htoh or a S•>to attached,was first publlished in said
Lake City and Its Inhab➢nlYing to will be to in ht to Id city for use by t to Salt ake and c Ilan ts. d It and Its inhabitants which will a
ornoaretlons beyond the lain a gross heating' value Y
4 ii At.S heat lcipowerf. 'aid 'ty, gee.Tor.n f 800 B,T,ll.Der able footcinl l
g g am o�tiar' 'ld)1.4. n iZi dated the v day of
for which (he dam tp Purpgeea a gap that le e lug the terns , flit a be used, dug vailable for fha mTnnt nd futy n t following the passe Y f6th Years next y.tan oI said city and its lnha as which Re of this ordinance Y.the grantees is natural
s and its Poe➢tense by b
SECTION 2. No m In"ahor8 pipes`x;halilcxn in psoduoed 1n Its natural a°toe �.! A.D. j92,
be-laid within from ells located In the Stmes nod
the limits of any public R:ydming, e'"" °,a d Cr"' n d
••Petals belonging to the City pP Salt Lake, etih,Dh r xconten(Palsy that heliury 1
lthgutt basal g@dptisalon so tmao,n a d•r /..-e�� a
aha81 n eo paced ar intain. .ponlln ay extracted of t h relrOhs ✓ Vk•e
ed ab to nbstentf4,,,a:,y lm➢nlr o - �� vVw f�
e
r Cere.with the r Infer• fhemconld[ian h b�erer t a[ t o
enema use[uesa nr use of water same apt w o i< u]<cha e a<ash t of Cityysae malnatreatment' etch shall hansethe \p)Pee arlrndnior hxra!tar. poi�I al<ompoalunn fa (,ta<m-ereof being in the issued ,ed thei
�ilpeCconetrvetedrevtiilty ingevi'ueif uerte or which'seal] In anY
w'hie Mee d Thalutet
1. Yt---
uch rporahe li thereto said city, • er (e) That the rates to be charged by 4p111./Dranimlty thereto as to enftanoer the grantees fof natural gas service to Z�t'1/it �1.D.192-
Ihealth. tee property, or the general earingrno ueera for heating, n[ac-
Cteare tans.public, tutlng a d power Durposea a Salt Lake
SECTION S. Refers beginning any of bety lower• t�and¢rdiffer ntfa tfrnohlea,those
the initial Sr subsequent.work or ak- a
lee•
any
of the lultlal•. t eubantquent .ragged for domestic thernrighir isdcon-
tn-
tear in said -,grantees hall have r g
oughts see, the t�gretnteeeo1 hat blto tfaot with(etch cc rfne Salt fake
pars d file wflh'the sit Engineer
oft• City d elsewhere fora the a lea I.a ch
aid City plane, prorilea d apecitic a. tract al gap,13ravlaat that all such en:
Eons thereof,together with the-proposed reeognie efthe t preferred
offr It of Mich
location of aid mains,pined,and later- mastic a Ter theeeI netr I tCsee do-1
ie, and lee, material and, character users- Ind-times thereof to be Installed,-and hail furnish�auring they term f this-franchise make
<I7 psanteee will irdm time tel time
is Salt Lake City -satisfactory bond h enlargements and a tensions of Its •
2�J, (y.
P-Indemnity i such
•
os.I ft eu tl _amount rya and with distributionsystem as the business of
mach! it .or th (1 dill (I sti[ p Y nd'growth of the city f ch d DY ne a d Slier i ="11-P
e co 1 J..40... y q l age
fll tItnand Del l i the companyo Such d-tilt m, if chat;..hit bI the,
an`u t d to crlt inn p -C extend f acid dwork f Itho t] damage told' tt 1 1 not.t d one Yh,� wherein theInstrument successors , In (fi4C,.
IQ idC o Injury.td as-
yes lot)'feet.far- grantees hereinebove anted o t the
rtY.Wherein It hall b- g n t prop,by of the( pa d th ebv, if custorite I site and agree bl ptionrmaa ,shall pie
rrite
the:.grantees Ltd'such,:surety that the ^n' d [ h rat er le den, and with all the,obligation.,gra grant tl to
h an)ee fh Il and with and hit-Clan Cft to th a t to make D t h91 remunerative dl ante Prtov,a<e(to ee performed,t blY the
d B will
!lability.f damages. 1
ah lld SECTION g, a lieu e#Shall' o grantees.Recorder
d r s authenticated
'Ilnd°yenee said
that stcity mayl] agratl nto tax the pie L 'shall end do I ealgnment shall be tiled withythe nafferdamage a,fa in Which chat] he ve been Oath to toe to Seth Lakee City a City Recorder p( and otterordinance and thed' of
omission; negligence Y e 'receipts from the1 [R torightsh ain conferred shall ntioo land tltt EC Pon . !Th'r g e t t ah ears. of eeaid Salt Lek City. id Sa in.the'corporate be id the ess within ninety acc 'days
d bvdth 1 pit t h f 4hl [tan- Pald[ toPtith ID sage its th nubileCity n ha.-,
lend
h it b d Iraq Its th d tf tt y, I.pig QIgr sit their sucoeeiner or-
d l times(t,I I d n,aH 3 It I keeCIO I ae gee t n ._r 1 Id city dd id Y a[gait Lake t e r the a Ilan Rlnstrrdo-
•
II liability f injury l_t f .and ]l otll ids b l I d Id y t t�°s'°t d 1 1 8f their h cemenan of ter
^rnmge t P tY Pratt ln° e I ei6,00n o0) a 11 e t PA^.'ff'e nd IIt{t tl a do be
conditions.hereof Y as d ?hair
d[r fly f g directly
ecu-
0.a r 21 h Tn la l th n T Thn0r theN t i.sur,`inq �f
" ��th D I d'file goo oQ ei n g e P r n Y ne r e d[u ae<ay gh wrltt P 1C,
the A:, 1 d f th t Y th I can/toted
to dl n e and fha right h accept-
t err t om nA a , ' I Id h l b f. I t t d h 11 bs null and i 'I
It i, Held d anY•i3ad• pnuei d � h_4r p aft rti f fh the'g tl th Ir.eucceeeota 18
(bp;,, c .,t Qa+ fps T -th 4 ld ! Dkllwa k on the dletrlbut!nn
rag Dldt p Ih t f• mPFe LH Ia th b at Flit withinIx (6)months and shall
4 i t M1 id ll iY Zan 1.NI Th 1.elf begin
gthi delivering ree to sae coundee nsumer.
I terms
yy N q7' l600 e) 1 e one r Lake Clty'[thin ntIng<n a c nicato
lid Ib. Self
t'!ughf ee,Oi the citll r Men th IMt't d Ii1Sa00,o0) t
CSVatod Th i am th Cfinal
v a tl g at u sa'trfignte
AI t Ded by the grantees mailers f a Year Hvrine th- nubile'Public
l I d i.ext. p •re. d f ld t the F bll Vtlliti Commission ofv by
pairIn s f th it construction':dl tlhulIn said cane 1 miinion t'the -
..th Y hill b Y f or f �tat h II h bid Lha Prnt pay. Stara of[ttxh. •
may I 1 7 on:111-.0 t sly •'t t is f''axed[ th ire'd II 'SECTION,1L f°the opinion of the
P iy.be-and to a an t th it 6 days.thereafter nd item Ix ( ). to R^arA r C la 1 e fi fe o Nary
Hn a the .t annually thereat- to health,P end [sty t the i
apt f fa B d RPM...) haft t f.Salt I k City 4d-'•this
.,,,,,,,ere f aid- Ity 4 ti]Corn- f AFCine A 0 N 1 der D din b Pf pal Imm 1,�ipgPet.Cpd f11 1 h <0.A ton.rights8ECTION ]2 d f L
Byarda ogg U n rf1Qq.= 4 f C b, d h e _it hereunder h I1 •f f t rap Thl EI p Ph It
pint 1patl th rested a d -oRnv4 ft i 'i11 he t th Faa A a It tl t bfi 'd n.
Y„p,p��.��, np>mlb 1 A n f th Rnn A b the:R A r Oom a.
tlp. V. pad•" tat f»it I k Clt ! t cE Sit I keCtY TrtaN, thl ^oak
• t X .. h P C.�11c� cent',hereby i eq f fhb E p .'v. f. g ! A.D 1B 11
I]` Y _ 4,,,C nth Ilse t yip ra hi d t, •T. F HOWMAN• 4 •t Yg p# ,xn I pt d Into t,Af A Id,Off Reo°'der. r.
gTh^ tl ry,,t h'ids N 3f
' � - --... --_ ,uujpDea a aa Ina'
'i•
:.-•t it
•-)
oi•
\.N ow•
•
- ,-,••ttr.,,,,,oroviosmargo
•
•