Res. No. 065-03-116141 RESOLUTION NO.65-03-11614
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4ARESOLUTIONOFTHEMAYORANDCITYCOMMISSION
5OFTHECITYOFSOUTHMIAMI,FLORIDA,RELATINGTOA
6 SHORT TERMEXTENSIONUNTILJUNE2003,OFTHECITY
7OFSOUTHMIAMIAND NUI UTILITIES,INC.'S FRANCHISE
8 AGREEMENT,AT7 Vi PERCENT UNTIL ANEWLONG TERM
9AGREEMENTISNEGOTIATEDANDEXECUTEDINJUNE,
102003;PROVIDINGAN EFFECTIVE DATE.
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13 WHEREAS,the Mayor and City Commission of the City of South Miami
14 pursuant to Ordinance 468,the City granted in 1962 to Florida Gas Utilities
15 Company,and its successors and assigns,a non-exclusive franchise (the
16 "Franchise")to construct,maintain and operate its gas system facilities within the
17 City's municipal boundaries;and,
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19 WHEREAS pursuant to Ordinance 478,the City corrected an inadvertent
20 error by changing the franchisee to Florida Gas Company,d/b/a Florida Gas
21 UtilitiesCompany;and,
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23 WHEREAS,pursuant to Ordinance 526,the City approved the assignment
24 and assumption of the Franchise by Franchisee's predecessor-in-interest,Florida
25 Gas Company,to Franchisee's predecessor-in-interest,City Gas Company;and
2627 WHEREAS,pursuant to Ordinance 526-A,the City approved an
28 amendment to the Franchise changing the franchisee from Franchisee's
29 predecessor-in-interest,City Gas Company,to Franchisee (which was then known
30asNUI Corporation);and
3132 WHEREAS,pursuant to Ordinance 526-B,the City approved an
33 amendment to the Franchise changing the franchisee from Franchisee to
34 Franchisee's wholly-owned subsidiary,Elizabethtown Gas Co.,which has since
35beenmergedinto Franchisee;and
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37 WHEREAS,the term of the Franchise has expired and the City and
38Franchiseedesiretoenterintoanew franchise agreement,buthavenotyet
39 concluded negotiations on the acceptable terms of such agreement;and
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41 WHEREAS,the Mayor and City Commission desire to allow the City and
42 Franchisee timetoenter into anew franchise agreement on terms and conditions
Additions shown by underlining and deletions shown by ovorstriking.
Res.No.65-03-11614
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mutually agreeable to the parties,the city and franchisee have agreed to extend the
termofthe Franchise through June,2003 at7 !/2%,asset forth in attachment one.
NOW THEREFORE BEIT RESOLVED BYTHE MAYOR ANDCITY
COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA;
Section 1.That the City of South Miami enter intoa utility franchise
extension agreement with NUI Utilities,Inc.as provided for in attachment one
untilJune 2003,whenthe parties will have completed negotiations onanew
mutually acceptable long term utility franchise agreement.
Section2.Thisresolutionshalltakeeffect immediately uponapproval.
PASSEDANDADOPTED this22nd dayof April ,20nj.
ATTEST:APPROVED:
CITY CLERK
READ AND APPROVED AS TO FORM:
/^.«6>=r//«/^
CITY ATTORNEY
4jl^
COMMISSION VOTE:5-0
Mayor Feliu:Yea
ViceMayor Russell:Yea
Commissioner Wiscombe:Yea
Commissioner Bethel:Yea
Commissioner McCrea:Yea
Pace 2 of 2
?.-h~«*.iO
FRANCHISE EXTENSION AGREEMENT
TfflS FRANCHISE EXTENSION AGREEMENT (this "Agreement")is made and
entered into by and between the CITY OF SOUTH MIAMI,FLORIDA,a Florida municipal
corporation (the "City"),and NUI UTILITIES,INC.,a New Jersey corporation,d/b/a NUI City
Gas Company of Florida ("Franchisee"),authorized to conduct business and conducting business
m the State of Florida (jointly,the "Parties").
WITNESSETH:
WHEREAS,pursuant to Ordinance 468,the City granted in 1962 to Florida Gas Utilities
Company,and its successors and assigns,a non-exclusive franchise (the "Franchise")to
construct,maintain and operate its gas system facilities within the City's municipal boundaries;
WHEREAS pursuant to Ordinance 478,the City corrected an inadvertent error bychangingthefranchiseetoFloridaGasCompany,d/b/a Florida Gas Utilities Company;and
WHEREAS pursuant to Ordinance 526,the City approved the assignment and
assumption of the Franchise by Franchisee's predecessor-in-interest,Florida Gas Company to
franchisee s predecessor-in-interest,City Gas Company;and
WHEREAS pursuant to Ordinance 526-A,the City approved an amendment to the
Franchise changing the franchisee from Franchisee's predecessor-in-interest,City Gas Company
to Franchisee (which was then known as NUI Corporation);and
WHEREAS,pursuant to Ordinance 526-B,the City approved an amendment to the
Franchise changing the franchisee from Franchisee to Franchisee's wholly-owned subsidiary
Ehzabethtown Gas Co.,which has since been merged into Franchisee;and
WHEREAS,the term of the Franchise has expired and the City and Franchisee desire to
enter into a new franchise agreement,but have not yet concluded negotiations on the acceptable
terms of such agreement;and
WHEREAS,in order to allow the City and Franchisee time to enter into a new franchise
agreement on terms and conditions mutually agreeable to the Parties,the City and Franchisee
have agreed to extend the term ofthe Franchise as set forth herein;
NOW THEREFORE,in consideration of the premises and $10.00 and other good and
vahiable consideration,the receipt and sufficiency of which the Parties hereby acknowledge me
Parties hereby agree that the Franchise granted by the above-referenced Ordinances is hereby
extended to Franchisee and continued on all of the same terms and conditions as set forth in such
Ordinances,except that the increased franchise fee rate of 754%currently being paid by
Franchisee is hereby ratified and approved,until the earlier of June 2003 [NOTE-Insert
here date of June City Commission meeting]or the date immediately preceding the effective dateofanysubsequentfranchiseagreemententeredintobytheParties.Telecopies of counterparts of
1-MI/481035.2
this Agreement,executed by all of the Parties hereto,shall be considered for all purposes,
including delivery,as originals.
INWITNESS WHEREOF,the Parties have executed this Franchise Extension
Agreementontherespectivedatessetforthbelow.
ATTEST:
A tUUUlOL^V_
City Clerk
Approved astoform:
7 G>&
City Attorney
WITNESS:
Witnesstosignabove
Print Name:
l-MI/481035.2
Jlg/U
CITY OFSOUTH MIAMI,
a Florida municipal corporation
&\c~S&~*»^
Name:3anford YouKms
Its:Interim City Manager
Date:April<£!_,2003
Ot**^-t^C^a
NUIUTILITIES,INC,
a New Jersey corporation,d/b/a NUI City
GasCompany of Florida
By:
Name:
Its:
Date:April ,2003