Submitted By: William E. Sexton, City Attorney
Presentation By: William E. Sexton
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Department: City Attorney
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FORMAL TITLE:
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Ordinance 2027-3 representing a franchise fee agreement with Peoples Gas System, a Division of Tampa Electric Company, which grants a non-exclusive franchise to use the public rights-of-way of the City of Ocala for the construction, maintenance, and operation of a natural gas distribution system
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OCALA’S RELEVANT STRATEGIC GOALS:
Quality of Place
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PROOF OF PUBLICATION:
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BACKGROUND:
In or about September of 2012, the City of Ocala entered into a franchise fee agreement with Peoples Gas System, a Division of Tampa Electric Company (TECO) through the adoption of Ordinance 2012-51 (attached as Exhibit 1).
At all times since then, both the City of Ocala and TECO have operated in compliance with the terms and conditions of the franchise fee agreement contained within Ordinance 2012-51, including the period of time following the expiration of that agreement.
As a result of said franchise fee agreement, the City of Ocala receives approximately $622,000 per year in General Fund revenue.
TECO and the City of Ocala now desire to enter into a new, revised franchise fee agreement which, although updated, contains approximately the same terms and conditions as the 2012 agreement.
FINDINGS AND CONCLUSIONS:
The City Council of the City of Ocala, Florida finds and concludes that entry into a franchise fee agreement with Peoples Gas System, a Division of Tampa Electric Company, for the construction, maintenance, and operation of a natural gas distribution system within the rights-of-way of the City of Ocala has a public purpose, supports the health, safety, and welfare of and is in the best interest of the citizens of the City of Ocala, Florida.
FISCAL IMPACT:
Entry into this franchise fee agreement (through adoption of this Ordinance) will allow the City of Ocala to continue generating approximately $622,000 per year i...
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