Ord. No. 22-90-1462ORDINANCE NO.22-90-1462
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF SOUTH MIAMI,FLORIDA ACKNOWLEDGING AND
APPROVING THE TRANSFER OF THE FRANCHISE OF
ELIZABETHTOWN GAS COMPANY'S RIGHTS THEREUNDER TO NUI
CORPORATION PURSUANT TO A NATURAL GAS FRANCHISE FROM
THE CITY OF SOUTH MIAMI,FLORIDA;PROVIDING FOR
SEVERABILITY;PROVIDING FOR ORDINANCES IN CONFLICT;AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS,the City ofSouthMiami,Florida (the"City")by
Ordinance Nos.468,478and526grantedanaturalgasfranchise
(the"Franchise)toCityGasCompanyofFlorida("CityGas"),a
Florida Corporation ;and
WHEREAS,by Ordinance Nos.526-A and 526-B,the City
approved the merger of City Gas,a division of Elizabethtown Gas
Company ("Elizabethtown"),aNew Jersey corporation anda wholly
owned subsidiary ofNUI Corporation ("NUI"),a public utility
holding company alsobasedinNewJersey,into Elizabethtown;and
WHEREAS,pursuant to the Franchise,the approval ofa
transfer of rights underthe Franchise mustbe given by
Ordinance;and
WHEREAS,the City desires to reaffirm and ratify its prior
approval of the merger of City Gas into Elizabethtown and to
grant its approval of the transfer of the Franchise or
Elizabethtown*s rights thereunder,to its parent,NUI,by
Ordinance;
NOW,THEREFORE,BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION
OF THE CITY OF SOUTH MIAMI,FLORIDA:
Section 1.The City hereby reaffirms and ratifies the
City's prior approval of the merger of City Gas into
Elizabethtown.
Section 2.The City hereby acknowledges that,asofthe
date hereof,the Franchise is in full force and effect and is
heldandownedby Elizabethtown andthe rights and privileges
granted thereunder inuretothe benefit of Elizabethtown,its
successors and assigns.
Section 3.The City hereby approves any transfer of the
Franchise or rights thereunder to NUI,effective upon the
consummation of the meraer of Elizabethtown into NUI.
Section 4.In the event the meraer is not effected,for
any reason,the terms and conditions of the Franchise shall
remain in full force and effect as to the franchisee,
Elizabethtown.
Section 5.If any section,clause,sentence,or phrase of
this Ordinance is held tobe invalid or unconstitutional by any
court of competent jurisdiction,then said holding shall inno
way affect the validity of the remaining portions of this
Ord inance.
Section 6.All Ordinances or parts of Ordinances in
conflict herewith be,and the same hereby are,repealed.
Section 7.This Ordinance shall take effect immediately at
the time of its passage.
PASSED AND ADOPTED this6thdayof November ,1990.
APPROVED:
ATTES
MAYOR L~'
READ AND APPROVED AS TO FORM
CITY ATTORNEY
CITY GAS COMPANY OF FLORIDA
955 EAST 25th STREET /HIALEAH.FLORIDA 33013-3498 /[305]691-8710 /FAX [305]691-7112
August 13,1990
Martin Berg,City Attorney
City of South Miami
6130 Sunset Drive
Miami,Florida 33143
Dear Mr.Berg:
Asyouare aware,our company,CityGasCompanyof
Florida ("City Gas")hasa Natural Gas franchise withtheCity
ofSouthMiami(the"City")effective through September 18,1992
(the "Franchise").TheFranchisewasgrantedunderyour
Ordinance Nos.468,478,526on September 18,1962.In July
1988,CityGasmergedwith Elizabethtown GasCompany ("ETG"),a
wholly owned subsidiary of NUI Corporation ("NUI"),a public
utility holding company based inNew Jersey.The merger ofCity
Gas,adivisionof ETG,intoETGwasapprovedbyyourOrdinance
Nos.526-A and 526-B on April 5 and September 6,1988,
respectively.Wehavebeen informed thatETGisexpectedto
mergewithits parent,NUI,bytheendofNovember 1990,but
thatallapprovalsmustbeobtainedbeforeSeptember 30,1990.
The Franchise requires approval bythe City by
ordinance in the event the Franchise or any rights under the
Franchise are "transferred".Under Florida law,ETG's interest
in the Franchise will automatically vest in NUI upon the
merger.Ratherthandebatewhetheramergerconstitutesa
"transfer"forpurposesofthe Franchise,weherebyrequestthat
theCityapproveany"transfer"oftheFranchisewhichmay
result,effective upon the consummation ofthe merger ofETG
into NUI./The Franchise also requires that written notice of
the transfer be given tothe City Clerk 60days before the
transfer./Accordingly,by means ofa copy of this letter we
herebynotifytheCityClerkofanytransferwhichmay result.
All the terms and conditions of the Franchise will remain the
sameand continue through the expiration date.The merger of
ETGintoNUIisnot expected tochangethe services provided
under the Franchise.City Gaswill retain itsname,its
management,andwillcontinuetooperateasithasforthepast
40 years.
Pleaseplace City Gasontheagendaforreviewbythe
City in order to obtain the City's approval as soon as
possible.Weenclosea draft ordinance for approval bythe
An MEff Company
Mr.Martin Berg
August 13,1990
Page -2-
City upon following the necessary procedures for passage of the
ordinance.Duetotimerestrictionsitisveryimportantthat
City Gas be put on the agenda even though the enclosed ordinance
may need to be changed later.Your immediate attention to this
request will be appreciated.Do not hesitate to call if you
have any questions or need any further information.
Very truly yours,
CITY GAS g6mPANY OF FLORIDA
MTC/1137
Enclosure
cc:City Clerk
CERTIFIED MAIL #P 900 395 201
RETURN RECEIPT REQUESTED
Langer \
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