Loading...
HomeMy WebLinkAbout77-0608 Northern Illinois Gas RESOLUTION ACCEPTING AMENDMENT TO THE FRANCHISE AGREEMENT WITH NORTHERN ILLINOIS GAS COMPANY WHEREAS, the City of Elgin has heretofore granted Northern Illinois Gas Company the right to construct, operate and maintain a gas distribution system; and WHEREAS, Northern Illinois Gas Company, in consideration of said franchise, has agreed to provide the City of Elgin with gas to be used in buildings owned or occupied by the City of Elgin for municipal purposes; and WHEREAS, it is necessary and desirable to amend the obligation of Northern Illinois Gas Company; and WHEREAS, Northern Illinois Gas Company has submitted its written agree- ment to provide service in lieu of an agreement dated October 30, 1974. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby accepts the written agreement of Northern Illinois Gas Company, dated December 2, 1976, a copy of which is attached hereto and made a part hereof by reference, to provide gas to the City of Elgin for the purpose of maintaining a gas distribution system within the City of Elgin. BE IT FURTHER RESOLVED that said agreement shall supersede, replace and be in lieu of the written agreement of Northern Illinois Gas Company, dated October 30, 1974. Richard L. Verbic, Mayor Presented: June 8, 1977 Adopted: Vote: Yeas Nays Recorded: Attest: Marie Yearman, City Clerk \ • 1 4 • • • GENERAL OffiCE ORM* fASr WEST TOL,V,AY Pr 59 poSI OFFICE BOX 19) , PROW AURORA 010.015 AEA A - TELEPHONE 355 A9f LON 3,, December 2, 1976 Mayor and City Council City of Elgin Elgin, Illinois Gentlemen: The undersigned, Northern Illinois Gas Company, for good and valuable considerations, hereby agrees , for itself, its successors and assigns, that so long as that certain ordinance passed by the City Council of the City of Elgin , September 24, 1959 , granting to Northern Illinois Gas Company, its successors and assigns, the right until October 24, 2009 , to construct, operate and maintain a gas distribution system in the City of Elgin , shall remain in full force and effect, it will during each billing year (start and finish of each year shall begin and end with regular meter reading date nearest to January 1) throughout the remainder of the life of said ordinance, supply without charge to the City of Elgin , an amount of gas not to exceed Ninety-One Thousand One Hundred Fifty (91,150) therms, to be used in buildings which may be occupied from time to time by the municipality solely for governmental purposes, or such part thereof as may from time to time be so occupied, and not for purposes of revenue. The amount of said gas being so supplied without charge is based upon a population of 61,137 in said City. No additional amount of free fran- chise gas will be allowed until a new census has resulted in a change in population. The new census can be caused by annexation or even by a special census. When the undersigned has been notified by the City along with a copy of the official State notification then the amount of natural gas to be supplied without charge shall be adjusted on the basis of three (3) therms per person up to 10,000 of population and two (2) therms per person for the next 10,000 of population and one (1) therm per person for the next 80,000 of population. None of said gas to be supplied without charge to the City of Elgin shall be resold for any purpose whatsoever, and in the event the City uses less than the above mentioned number of therms of gas in any billing year, there shall be no payment due to the City from the Company, or its successors and assigns, for gas not used during that billing year, nor shall any such unused therms be carried over for the following year's use. In the event Northern Illinois Gas Company's policy in regard to the practice of supplying gas without charge to municipalities in its present service area is changed at any time in the future, or in the event that said Company in the future provides any other gas utility service benefit as a matter of general policy to all municipalities in said service area, it will inform the City Council of any such change and will grant to your municipality the benefits of such change or benefits under the same conditions ap?licable to other municipalities. AN INVESTOR-OWNED TAXPAYING BUSINESS . . . • City of Elgin Page Two December 2, 1976 The Company, for itself, its successors and assigns, reserves the option, however, to reduce tie total amount of gas supplied during any one billing year without charge as aforesaid by the amount of any fees which the municipality may charge the Company for street or parkway openings or inspections of any kind. Such reduction will be arrived at by the use of the Company's applicable rate for such calculation. This agreement shall supersede, replace and he in lieu of the provisions as to the supply of gas without charge to the City of Elgin contained in a letter of Northern Illinois Gas Company addressed to the riayor and City Council of the City of Elgin dal-L .1 October 30, 1974. Very truly yours, NORTHEtIT ILLINOIS GAS COMrANY By Vice President