Resolution No. 6899
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RESOLUTION NO. 6899
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION
OF AN ELECTRICAL SERVICE AGREEMENT BY AND
BETWEEN THE CITY OF VERNON AND CLOUGHERTY
PACKING COMPANY
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WHEREAS, Clougherty packing Company ("Company") operates
a meat processing facility at 3049 E. Vernon Avenue in the City of
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Vernon ("city"); and
WHEREAS, Company intends to expand its operations in the
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City by locating new facilities at the East Annex, a parcel of
property located in the Vernon Redevelopment Project Area
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(hereinafter referred to as "Annex"); and
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WHEREAS, Company is presently receiving electrical
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service from the City at four (4) delivery points and desires to
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receive its electrical service for its entire operation from City
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at a single point of delivery; and
WHEREAS, Company is willing to pay to city the Added
Facility payments for the existing local distribution facilities
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used to provide service to the plant in order to integrate such
facilities with the new Added Facilities, the new substation and
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associated facilities which are required to facilitate the new
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single point of delivery; and
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WHEREAS, Company and City acknowledge that the existing
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four (4) delivery point transformers and ancillary equipment are
used and free of polychlorinated biphenyl (PCB) in excess of one
(1) part per million and, while in working order, are of
depreciated value, which the parties hereby agree to be One
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Hundred Twenty-Five Thousand Dollars ($125,000); and
WHEREAS, Company intends to pay the new Added Facilities
payment for installing new local distribution facilities to serve
the Annex; and
WHEREAS, City is a chartered municipal corporation of the
State of California that owns and operates a system for the
generation, purchase, transmission, distribution, and sale of
electric capacity and energy. City serves electricity to
consumers at retail from City's distribution system located within
its municipal boundaries; and
WHEREAS, City is willing to permit the Company to take
electrical service at a single point of delivery; and
WHEREAS, City is willing to construct a new 66 kV-16kV
Substation ("New SUbstation") and associated facilities at the
Annex at City cost in order to enable Company to take service at a
single point of delivery metered at 16 kV; and
WHEREAS, Company is willing to agree to locate its
expanded manufacturing and distribution facilities on the Annex in
City and to purchase electricity (capacity and energy) from City
for use at its entire plant for the next seven (7) years in
consideration of the terms of this Agreement; and
WHEREAS, City is willing to permit Company to take its
electrical service from City under the most favorable tariff
schedule then in effect for its level of service.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The city Council of the City of Vernon does
hereby find and determine that the recitals contained hereinabove
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are true and correct.
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SECTION 2: The City Council of the City of Vernon hereby
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approves the Electrical Service Agreement, a copy of which has
been presented to the City Council concurrently with this
resolution, and the city Council hereby orders said Agreement to
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be received and filed by the City Clerk.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor and the City Clerk to execute said Agreement
for, and on behalf of, the City of Vernon.
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SECTION 4: The City Clerk of the City of Vernon shall
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certify to the passage of this resolution and thereupon and
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thereafter the same shall be in full force and effect.
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APPROVED AND ADOPTED this
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ATTEST: / // ~
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BRUCE V. MALKENHORST, City Clerk
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STATE OF CALIFORNIA )
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COUNTY OF LOS ANGELES )
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I, BRUCE V. MALKENHORST, city Clerk of the city of
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Vernon, do hereby certify that the foregoing Resolution; being
Resolution No. 6899, was duly adopted by the City Council of the
City of Vernon at a regular meeting of the City Council duly held
on Tuesday, December 17. 1996, and thereafter was duly signed by
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the Mayor of the City of Vernon.
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BRUCE V. MALKENHORST, City Clerk
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( SEAL)
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