HomeMy WebLinkAbout2007-015ORDINANCE NO. 2007- of 5
AN ORDINANCE GRANTING TO FLORIDA POWER & LIGHT
COMPANY, ITS SUCCESSORS AND ASSIGNS, AN
ELECTRIC FRANCHISE; IMPOSING PROVISIONS AND
CONDITIONS RELATING THERETO; PROVIDING FOR
MONTHLY PAYMENTS TO INDIAN RIVER COUNTY;
PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL
OF OTHER CONFLICTING ORDINANCES AND
RESOLUTIONS; PROVIDING FOR INCLUSION IN THE CODE
OF ORDINANCES OF INDIAN RIVER COUNTY; PROVIDING
FOR FILING WITH THE DEPARTMENT OF STATE; AND
PROVIDING FOR AN EFFECTIVE DATE.
BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF INDIAN RIVER
COUNTY, FLORIDA, as follows:
PART I: CREATION OF PART II OF CHAPTER 312, "RIGHTS-OF-WAY", OF THE
CODE OF INDIAN RIVER COUNTY, FLORIDA TO BE KNOWN AS "GRANT OF
ELECTRIC FRANCHISE TO FLORIDA POWER & LIGHT COMPANY."
SECTION 1. LEGISLATIVE FINDINGS.
A. The Board of County Commissioners of Indian River County ("County")
recognizes that the citizens of the County need and desire the benefits of electric service;
and
B. The provision of such service requires substantial investments of capital and
other resources in order to construct, maintain and operate facilities essential to the
provision of such service in addition to costly administrative functions, and the County
does not desire to undertake to provide such services; and
C. Florida Power & Light Company ("FPL") is a public utility which has the
demonstrated ability to supply such services; and
D. The County adopted Resolution No. 77-104, effective October 19, 1977, that
granted a franchise to FPL for 30 years, ending October 18, 2007.
E. FPL and the County desire to enter into a new franchise agreement providing
for the payment of fees to the County in exchange for the nonexclusive right and privilege
of supplying electricity and other services throughout the County free of competition from
the County, pursuant to certain terms and conditions set forth in this Ordinance;
ORDINANCE NO. 2007- G15
SECTION 2. TITLE AND CITATION.
Commencing on the Effective Date of this Ordinance, Part II of Chapter 312 of the Code
is hereby created and shall be known and cited as "GRANT OF ELECTRIC FRANCHISE
TO FLORIDA POWER & LIGHT COMPANY."
PART II: FRANCHISE AGREEMENT
CREATION OF NEW SECTION 312.20 OF THE CODE.
Commencing on the Effective Date of this Ordinance, the following section is created to
read as follows:
SECTION 312.20. GRANT OF FRANCHISE.
Section 1. There is hereby granted to Florida Power & Light Company, its
successors and assigns (herein called "FPL"), for the period of 30 years from the
effective date hereof, the non-exclusive right, privilege and franchise (herein called
"franchise") to construct, operate and maintain in, under, upon, along, over and across
the present and future roads, streets, alleys, bridges, easements, rights-of-way and other
public places (herein collectively called "public rights-of-way") throughout all of the
unincorporated areas, as such unincorporated areas may be constituted from time to
time, of Indian River County, Florida, and its successors (herein called "County" ), in
accordance with FPL's customary practice with respect to construction and maintenance,
electric light and power facilities, including, without limitation, conduits, poles, wires,
transmission and distribution lines, and all other facilities installed in conjunction with or
ancillary to all of FPL's operations (herein collectively called "facilities"), for the purpose
of supplying electricity and other services to the County and its successors, the
inhabitants thereof, and persons beyond the limits thereof.
Section 2. The facilities of FPL shall be installed, located or relocated so as to
not unreasonably interfere with traffic over the public rights-of-way or with reasonable
egress from and ingress to abutting property. To avoid conflicts with traffic, the location or
relocation of all facilities shall be made as representatives of the County may prescribe in
accordance with the County's reasonable rules and regulations with reference to the
placing and maintaining in, under, upon, along, over and across said public rights-of-way;
provided, however, that such rules or regulations: (a) shall not prohibit the exercise of
FPL's right to use said public rights-of-way for reasons other than unreasonable
interference with motor vehicular traffic; (b) shall not unreasonably interfere with FPL's
ability to furnish reasonably sufficient, adequate and efficient electric service to all of its
customers; and (c) shall not require the relocation of any of FPL's facilities installed before
or after the effective date hereof in public rights-of-way unless or until widening or
otherwise changing the configuration of the paved portion of any public right-of-way used
by motor vehicles causes such installed facilities to unreasonably interfere with motor
vehicular traffic. Such rules and regulations shall recognize that above -grade facilities of
FPL installed after the effective date hereof should be installed near the outer boundaries
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ORDINANCE NO. 2007-G15
of the public rights-of-way to the extent possible. When any portion of a public right-of-
way is excavated by FPL in the location or relocation of any of its facilities, the portion of
the public right-of-way so excavated shall within a reasonable time be replaced by FPL at
its expense and in as good condition as it was at the time of such excavation. The
County shall not be liable to FPL for any cost or expense in connection with any
relocation of FPL's facilities required under subsection (c) of this Section, except,
however, FPL shall be entitled to seek reimbursement of its costs from others and as may
be provided by law.
Section 3. The County shall in no way be liable or responsible for any accident
or damage that may occur in the construction, operation or maintenance by FPL of its
facilities hereunder, and the acceptance of this franchise shall be deemed an agreement
on the part of FPL to indemnify the County and hold the County harmless against any
and all liability, loss, cost, damage or expense which may accrue to the County by reason
of the negligence, default or misconduct of FPL in the construction, operation or
maintenance of its facilities hereunder.
Section 4. All rates and rules and regulations established by FPL from time to
time shall be subject to such regulation as may be provided by law.
Section 5. As a consideration for this franchise, FPL shall pay to the County,
commencing 90 days after the effective date hereof, and each month thereafter for the
remainder of the term of this franchise, an amount which added to the amount of all
licenses, excises, fees, charges and other impositions of any kind whatsoever (except ad
valorem property taxes and non -ad valorem tax assessments on property) levied or
imposed by the County against FPL's property, business or operations and those of its
subsidiaries during FPL's monthly billing period ending 60 days prior to each such
payment will equal 5.9 percent of FPL's billed revenues, less actual write-offs, from the
sale of electrical energy to residential, commercial and industrial customers (as such
customers are defined by FPL's tariff) within the unincorporated areas of the County for
the monthly billing period ending 60 days prior to each such payment, and in no event
shall payment for the rights and privileges granted herein exceed 5.9 percent of such
revenues for any monthly billing period of FPL.
5.1. The County understands and agrees that such revenues as described in the
preceding paragraph are limited to the precise revenues described therein, and that such
revenues do not include, by way of example and not limitation: (a) revenues from the
sale of electrical energy for Public Street and Highway Lighting (service for lighting public
ways and areas); (b) revenues from Other Sales to Public Authorities (service with
eligibility restricted to governmental entities); (c) revenues from Sales to Railroads and
Railways (service supplied for propulsion of electric transit vehicles); (d) revenues from
Sales for Resale (service to other utilities for resale purposes); (e) franchise fees; (f) Late
Payment Charges; (g) Field Collection Charges; or (h) other service charges (as such
terms are defined in FPL's tariff).
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ORDINANCE NO. 2007- 015
Section 6. As a further consideration, during the term of this franchise or any
extension thereof, the County agrees: (a) not to engage in the distribution and/or sale, in
competition with FPL, of electric capacity and/or energy to any ultimate consumer of
electric utility service (herein called a "retail customer") or to any electrical distribution
system established solely to serve any retail customer formerly served by FPL; (b) not to
participate in any proceeding or contractual arrangement the purpose or terms of which
would be to obligate FPL to transmit and/or distribute, electric capacity and/or energy
from any person to any other retail customer's facility(ies); and (c) not to seek to have the
FPL transmit and/or distribute electric capacity and/or energy generated by or on behalf
of the County at one location to the County's facility(ies) at any other location(s). Nothing
specified above shall prohibit the County from engaging with other persons in wholesale
transactions which are subject to the provisions of the Federal Power Act.
6.1 Nothing herein shall prohibit the County, if permitted by law, (i) from
purchasing electric capacity and/or energy from any other person, or (ii) from seeking to
have FPL transmit and/or distribute to any facility(ies) of the County electric capacity
and/or energy purchased by the County from any other person; provided, however, that
before the County elects to purchase electric capacity and/or energy from any other
person for consumption in any facility(ies) being served by FPL before such election, the
County shall notify FPL in writing. Such notice shall include a summary of the specific
rates, terms and conditions which have been offered by the other person and identify the
County's facilities to be served under the offer. FPL shall thereafter have 90 days to
evaluate the other person's offer and, if FPL agrees to meet or beat the other person's
offer, the County shall be obligated to continue to purchase from FPL electric capacity
and/or energy to serve the County's identified facilities for a term no shorter than that
offered by the other person.
Section 7. If the County grants a right, privilege or franchise to any other
person or otherwise enables any other such person to construct, operate or maintain
electric light and power facilities within any part of the unincorporated areas of the County
in which FPL may lawfully serve or compete on terms and conditions which FPL
determines are more favorable than the terms and conditions contained herein, FPL may
at any time thereafter terminate this franchise if such terms and conditions are not
remedied within the time period provided hereafter. FPL shall give the County at least 60
days advance written notice of its intent to terminate. Such notice shall, without prejudice
to any of the rights reserved for FPL herein, advise the County of such terms and
conditions that it considers more favorable. The County shall then have 60 days in which
to correct or otherwise remedy the terms and conditions complained of by the FPL. If
FPL determines that such terms or conditions are not remedied by the County within said
time period, FPL may terminate this agreement by delivering written notice to the
County's Chairman of the Board of County Commissioners and termination shall be
effective on the date of delivery of such notice.
Section 8. If as a direct or indirect consequence of any legislative, regulatory or
other action by the United States of America or the State of Florida (or any department,
agency, authority, instrumentality or political subdivision of either of them) any person is
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ORDINANCE NO. 2007- 015
permitted to provide electric service within the unincorporated areas of the County to a
customer then being served by FPL, or to any new applicant for electric service within any
part of the unincorporated areas of the County in which FPL may lawfully serve, and FPL
determines that its obligations hereunder, or otherwise resulting from this franchise in
respect to rates and service, place it at a competitive disadvantage with respect to such
other person, FPL may, at any time after the taking of such action, terminate this
franchise if such competitive disadvantage is not remedied within the time period provided
hereafter. FPL shall give the County at least 90 days advance written notice of its intent
to terminate. Such notice shall, without prejudice to any of the rights reserved for FPL
herein, advise the County of the consequences of such action which resulted in the
competitive disadvantage. The County shall then have 90 days in which to correct or
otherwise remedy the competitive disadvantage. If such competitive disadvantage is not
remedied by the County within said time period, FPL may terminate this agreement by
delivering written notice to the County's Chairman of the Board of County Commissioners
and termination shall take effect on the date of delivery of such notice.
Section 9. Failure on the part of FPL to comply in any substantial respect with
any of the provisions of this franchise shall be grounds for forfeiture, but no such forfeiture
shall take effect if the reasonableness or propriety thereof is protested by FPL until there
is final determination (after the expiration or exhaustion of all rights of appeal) by a court
of competent jurisdiction that FPL has failed to comply in a substantial respect with any of
the provisions of this franchise, and FPL shall have six months after such final
determination to make good the default before a forfeiture shall result with the right in the
County at its discretion to grant such additional time to FPL for compliance as necessities
in the case require.
Section 10. Failure on the part of the County to comply in substantial respect
with any of the provisions of this ordinance, including: (a) denying FPL use of public
rights-of-way for reasons other than unreasonable interference with motor vehicular
traffic; (b) imposing conditions for use of public rights-of-way contrary to Florida law or the
terms and conditions of this franchise; (c) unreasonable delay in issuing FPL a use
permit, if any, to construct its facilities in public rights-of-way, shall constitute breach of
this franchise and entitle FPL to withhold all or part of the payments provided for in
Section 5 hereof until such time as a use permit is issued or a court of competent
jurisdiction has reached a final determination in the matter. The County recognizes and
agrees that nothing in this franchise constitutes or shall be deemed to constitute a waiver
of FPL's delegated sovereign right of condemnation and that FPL, in its sole discretion,
may exercise such right.
Section 11. The County or its auditors may, upon reasonable notice and within
90 days after each anniversary date of this franchise, at the County's expense, examine
the records of FPL relating to the calculation of the franchise payment for the year
preceding such anniversary date. Such examination shall be during normal business
hours at FPL's office where such records are maintained. Records not prepared by FPL
in the ordinary course of business may be provided at the County's expense and as the
County and the FPL may agree in writing. Information identifying FPL's customers by
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ORDINANCE NO. 2007- 015
their electric consumption shall not be taken from FPL's premises except in accordance
with FPL's standard confidentiality agreement to be signed by the County and FPL prior
to the audit. Such audit shall be impartial and all audit findings, whether they decrease or
increase payment to the County, shall be reported to FPL. The County's right to examine
the records of FPL in accordance with this section shall not be conducted by any third
party employed by the County whose fee, in whole or part, for conducting such audit is
contingent on findings of the audit.
PART III: GENERAL PROVISIONS
SECTION 1: SEVERABILITY.
If any section, sentence, clause or phrase of this Ordinance is held to be
invalid or unconstitutional by any court of competent jurisdiction, then said holding in no
way affects the validity of the remaining portions of this Ordinance. Notwithstanding the
foregoing, it is expressly provided that if any of the provisions of Part ll, Sections 1, 2, 5,
6, 7, 8, and 10 are found or adjudged to be invalid, void or of no effect, the entire
Ordinance shall be null and void and of no force or effect.
SECTION 2: REPEAL OF CONFLICTING ORDINANCES AND RESOLUTIONS.
The provisions of any other Indian River County ordinance or resolution,
including Resolution 77-104, that are inconsistent or in conflict with the provisions of this
Ordinance are repealed to the extent of such inconsistency or conflict.
SECTION 3: INCLUSION IN THE CODE OF LAWS AND ORDINANCES.
The provisions of this Ordinance shall become and be made a part of the Code
of Laws and Ordinances of Indian River County, Florida. The sections of the Ordinance
may be renumbered or relettered to accomplish such, and the word "ordinance" may be
changed to "section", "article", or any other appropriate word.
SECTION 4: CERTAIN DEFINITIONS..
As used herein "person" means an individual, a partnership, a corporation, a
business trust, a joint stock company, a trust, an unincorporated association, a joint
venture, a governmental authority or any other entity of whatever nature.
SECTION 5: EFFECTIVE DATE..
A certified copy of this ordinance shall be filed by the County with the Florida
Department of State within 10 days after its enactment. As a condition precedent to the
taking effect of this ordinance FPL shall file its written acceptance hereof with the
County's Chairman of the Board of County Commissioners within 30 days of enactment
of this ordinance. The effective date of this ordinance shall be the date upon which FPL
files such acceptance.
ORDINANCE NO. 2007- 015
This Ordinance was advertised in the Vero Beach Press Journal on May 21, 2007, for a
public hearing to be held on June 5, 2007. During the June 5, 2007 public hearing, this
Ordinance was moved for adoption by Commissioner S. L. Bowden , and
seconded by Commissioner J - E. Fl escher , and adopted by the following vote:
Chairman Gary C. Wheeler
Aye
Vice -Chairman Sandra L. Bowden
Aye
Commissioner Wesley S. Davis
Aye
Commissioner Joseph E. Flescher
Aye
Commissioner Peter D. O'Bryan
Aye
DULY PASSED AND ADOPTED THIS 5th DAY OF JUNE, 2007.
Attest: J. K. Barton, Clerk
Deputy Clerk
Approved:
Aarfi
Baird, County Administrator
as to form and legal sufficiency:
E. Fell, Assi
ey
INDIAN RIVER COUNTY, FLORIDA
BOARD OF COUNTY COMMISSIONERS
By
Ga . Wheeler, Chairman
EFFECTIVE DATE: This Ordinance was filed with the Department of State on the
day of June, 2007, and becomes effective on _ a ZULy Uo.7
J:Vaw\PMR\FPL\Franchise\Indian River County 2-15-07 Adoc
7
ACCEPTANCE OF ELECTRIC FRANCHISE
ORDINANCE NO. 2007-015
BY FLORIDA POWER & LIGHT COMPANY
Indian River County, Florida
July 2, 2007
Florida Power & Light Company does hereby accept the electric franchise in Indian River County,
Florida, granted by Ordinance No. 2007-015, being:
AN ORDINANCE GRANTING TO FLORIDA POWER & LIGHT COMPANY, ITS SUCCESSORS AND
ASSIGNS, AN ELECTRIC FRANCHISE; IMPOSING PROVISIONS AND CONDITIONS RELATING
THERETO; PROVIDING FOR MONTHLY PAYMENTS TO INDIAN RIVER COUNTY; PROVIDING FOR
SEVERABILITY; PROVIDING FOR REPEAL OF OTHER CONFLICTING ORDINANCES AND
RESOLUTIONS; PROVIDING FOR INCLUSION IN THE CODE OF ORDINANCES OF INDIAN RIVER
COUNTY; PROVIDING FOR FILING WITH THE DEPARTMENT OF STATE; AND PROVIDING FOR AN
EFFECTIVE DATE.
which was passed and adopted on June 5, 2007.
This instrument is filed with the Chairman of the Board of County Commissioners of Indian River
County Florida, in accordance with the provisions of Part III, Section 5 of said Ordinance.
ATTEST:
n, Assistant Secretary
FLORIDA POWER & LIGHT COMPANY
Bye''
J� rey S. Bartel, Vice President
I HEREBY ACKNOWLEDGE receipt of the above Acceptance of Electric Franchise
Ordinance No. 2007-015by Florida Power & Light Company, and certify that I have filed the same for
record in the permanent files and records of the County of Indian River, Florida on this day of July,
2007.
f2 GQ
+1nian
of the Board of County Commissioners,
er County, Florida