HomeMy WebLinkAbout20251218Tariff Advice No. INT-TAG-25-05.pdf VED
AINTERMOUNTAIN° December 18,12 25
GAS COMPANY IDAHO PUBLIC
A Subsidiary of MDU Resources Group,Inc. UTILITIES COMMISSION
In the Community to Serve"
December 18, 2025
Monica Barrios-Sanchez
Commission Secretary
Idaho Public Utilities Commission
P.O. Box 83720
Boise, ID 83720-0074
RE: Intermountain Gas Company
Case No. INT-TAG-25-05
Dear Ms. Barrios-Sanchez:
Enclosed for filing with this Commission is a copy of Intermountain Gas Company's ("Company')
proposed revisions to Rate Schedule FT.
The proposed revisions to Rate Schedule FT reflect new ordinance numbers for the cities listed in
the table below. The table also includes an overview of the executed agreements which are
attached.
City Ordinance No. Date Approved Date Approved Start Date End Date Term
by City by Company
Emmett 02025-05 10/15/2025 10/16/2025 10/16/2025 10/15/2045 20 years
Filer 649 11/17/2025 11/18/2025 11/18/2025 11/17/2045 20 years
Georgetown 116 10/29/2025 10/31/2025 10/31/2025 10/30/2045 20 years
Glenn's Ferry 25-615 10/14/2025 10/21/2025 10/21/2025 10/20/2045 20 years
Hailey 1355 12/08/2025 12/09/2025 12/15/2025 12/14/2030 5 years
Jerome 1245 10/07/2025 10/08/2025 10/11/2025 10/10/2045 20 years
Twin Falls 0-2025-019 11/24/2025 11/30/2025 11/30/2025 11/29/2045 20 years
The franchise fee for each city remains unchanged at three percent.
The Company requests that the proposed revisions to Rate Schedule FT become effective February
1, 2026.
Case No. INT-G-25-05 Page 2 of 2
If you have any questions or require additional information regarding the attached, please contact
me at (509) 528-9223 or Jennifer Gross at (509) 975-9473.
Sincerely,
/s/Michael Parvinen
Michael Parvinen
Director, Regulatory Affairs
Intermountain Gas Company
Enclosures
I.P.U.C. Gas Tariff
Rate Schedules
Thirteenth Revision Sheet No. 15 ( Page 1 of 1)
Name Intermountain Gas Company
of Utility y
Rate Schedule FT
FRANCHISE FEE/TAX ADJUSTMENT
APPLICABILITY:
To all charges for natural gas service rendered within the jurisdiction imposing a fee, tax, or charge
as provided in Section A, paragraph 4.4 of the Company's General Service Provisions.
ADJUSTMENT:
The rates and charges shall be increased by an adjustment equivalent to the amount of the charge
imposed by the jurisdiction. The following cities charge a 3% franchise fee:
CITY ORDINANCE NO. CITY ORDINANCE NO.
Aberdeen 351 Kuna 2023-05
American Falls 628 Lava Hot Springs 1985-3
Ammon 463 Lewisville 2025-2
Arimo 4 Malta 28
Bancroft 210 McCammon 536
Basalt 125 Menan 396
Bellevue 2025-05 Meridian 462
Blackfoot 2140 Middleton 532
Boise 6444 Montpelier 593
Buhl 981 Mountain Home 1064
Burley 1210 Murtaugh 24-02
Caldwell 3036 Nampa 2006
Chubbuck 849 New Plymouth 170
Declo 123 Parker 72
Eagle 715 Parma 579
Emmett 02025-05 Paul 2006-1
Filer 649 Payette 961
Firth 131 Pocatello 2802
Fruitland 358 Rexburg 954
Garden City 849-06 Rigby 2015-576
Georgetown 116 Ririe 136
Glenns Ferry 25-615 Rupert 06-507
Gooding 733 St. Anthony 01-04
Grace 2016-1 Shelley 324
Greenleaf 84 Shoshone 574
Hailey 1355 Soda Springs 654
Hansen 121 Star 66
Heyburn 581 Sugar City 3692021
Homedale 345 Sun Valley 514
Idaho Falls 3052 Twin Falls 0-2025-019
Inkom 85-166 Ucon 196
Iona 319-04-25 Weiser 957
Jerome 1245 Wendell 493
Ketchum 1263 Wilder 365
Kimberly 409
Issued by: Intermountain Gas Company
By: Michael Parvinen Title: Director—Regulatory Affairs
I.P.U.C. Gas Tariff IDAHO PUBLIC UTILITIES COMMISSION
Rate Schedules
T..�If+h Thirteenth Revision Sheet No. 15 ( Page 1 of 1) Approved Effective
October 17, 2025 November 19. 2025
Name
of Utility Intermountain Gas Company Commission Secretary
Rate Schedule FT
FRANCHISE FEE/TAX ADJUSTMENT
APPLICABILITY:
To all charges for natural gas service rendered within the jurisdiction imposing a fee, tax, or charge
as provided in Section A, paragraph 4.4 of the Company's General Service Provisions.
ADJUSTMENT:
The rates and charges shall be increased by an adjustment equivalent to the amount of the charge
imposed by the jurisdiction. The following cities charge a 3% franchise fee:
CITY ORDINANCE NO. CITY ORDINANCE NO.
Aberdeen 351 Kuna 2023-05
American Falls 628 Lava Hot Springs 1985-3
Ammon 463 Lewisville 2025-2
Arimo 4 Malta 28
Bancroft 210 McCammon 536
Basalt 125 Menan 396
Bellevue 2025-05 Meridian 462
Blackfoot 2140 Middleton 532
Boise 6444 Montpelier 593
Buhl 981 Mountain Home 1064
Burley 1210 Murtaugh 24-02
Caldwell 3036 Nampa 2006
Chubbuck 849 New Plymouth 170
Declo 123 Parker 72
Eagle 715 Parma 579
Emmett 78802025-05 Paul 2006-1
Filer 5-54649 Payette 961
Firth 131 Pocatello 2802
Fruitland 358 Rexburg 954
Garden City 849-06 Rigby 2015-576
Georgetown -52-116 Ririe 136
Glenns Ferry -3-7-525-6-615 Rupert 06-507
Gooding 733 St. Anthony 01-04
Grace 2016-1 Shelley 324
Greenleaf 84 Shoshone 574
Hailey 11-901355 Soda Springs 654
Hansen 121 Star 66
Heyburn 581 Sugar City 3692021
Homedale 345 Sun Valley 514
Idaho Falls 3052 Twin Falls 0-2025-0192165
Inkom 85-166 Ucon 196
Iona 319-04-25 Weiser 957
Jerome 6991245 Wendell 493
Ketchum 1263 Wilder 365
Kimberly 409
Issued by: Intermountain Gas Company
By. Lori o__.BTFz�„la tnerMichael Parvinen Title: Director—Regulatory Affairs
ORDINANCE NO. 02025-05
AN ORDINANCE OF THE CITY OF EMMETT, IDAHO, GRANTING TO
INTERMOUNTAIN GAS COMPANY TWENTY(20) YEAR EXTENSION TO ITS
FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A GAS TRANSMISSION AND
DISTRIBUTION SYSTEM; PROVIDING FOR THE USE OF STREETS AND ALLEYS,AND
RULES GOVERNING THE SAME, SUBJECTING THE GRANTEE TO ALL POWERS OF
THE CITY, SETTING FORTH THE RULES OF THE FRANCHISE AND GRANT;
PROVIDING FOR THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S PLANS,
ACCOUNTS,AND BOOKS; REQUIRING GRANTEE TO FURNISH CERTAIN MAPS;
SETTING FORTH THE ANNUAL PAYMENT TO THE CITY,AND THE FILING OF
ANNUAL REPORTS WITH THE CITY; REQUIRING GRANTEE TO INDEMNIFY CITY,
AND FILE EVIDENCE OF INSURANCE; REQUIRING COMPLIANCE WITH SAFETY
REGULATIONS; SETTING FORTH AN AGREEMENT NOT TO COMPETE, RESERVING
POWER OF EMINENT DOMAIN; PROVIDING FOR SURRENDER OF FRANCHISE;
GRANTING RIGHT TO SALVAGE; REQUIRING WRITTEN ACCEPTANCE; PROVIDING
FOR CONSENT TO SALE,ASSIGNMENT OR LEASE; PROVIDING FOR PAYMENT OF
PUBLICATION COST; SETTING FORTH PENALTIES AND FORFEITURES,
SEPARABILITY AND REPEAL.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF EMMETT, IDAHO;
Section 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation, its successors and assigns
(hereinafter collectively referred to as "Grantee") a twenty (20) year extension to the right and
authority to construct, install, maintain and operate a gas transmission and distribution system,
including mains, pipes, conduits, services and other necessary structures and appliances
appertaining in, under, upon, over, across and along the streets, alleys, bridges and public places
within the present and future corporate limits of the City of Emmett, Idaho (hereinafter referred to
as "City") for the furnishing, transmission, distribution and sale of gas, whether artificial, natural,
mixed or otherwise, for heating, domestic, industrial and other purposes and for transmitting gas
into, through and beyond said City. The City represents that it has the sole power and authority to
make this grant of authority and agrees to notify Grantee in writing if the City should cease to have
this power.
Section 2: Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and public places
in the City and shall be subject to all applicable ordinances,but no fee shall be required of Grantee
for any such permit. Grantee may, however, open or disturb the streets, alleys, and public places
without a permit if an emergency exists requiring the immediate repair of facilities. The location
or relocation of all facilities shall be made under the supervision and with the approval of such
representatives as the governing body of the City may designate for such purpose, but not so as
unreasonably to interfere with the proper operating of Grantee's facilities and service. Whenever
the City shall pave or repave any street or shall change the grade or line of any street or public
place or shall construct or reconstruct any conduit, water main, sewer or water connection or other
city public works or city utility, it shall be the duty of the Grantee when so ordered by the City to
change its mains, services and other property in the streets or public places at its own expense so
as to conform to the established grade or line of such street or public place and so as not to interfere
with the conduits, sewers and other mains of the City as constructed or reconstructed; however,
the Grantee shall not be required to relocate pipes, mains and appurtenances when the street, alley
or public ground in which they are located is vacated for the convenience of abutting property
owners and not as an incident to the public improvement, unless the reasonable cost of such
relocation and the loss and expenses resulting therefrom is first paid to Grantee. The City will
avoid the need for such moving or changing whenever possible. In the event Federal, State or other
funds are available in whole or in part for utility relocating purposes, the City shall apply for such
funds and the Grantee will be reimbursed to the extent any such funds are actually obtained.
Whenever the City grants a permit for an excavation in a street, alley or other public ground and
the work contemplated by the permit may expose gas pipes, mains and appurtenances of the
Grantee,the City shall furnish a copy of the permit to Grantee at least 48 hours prior to such work.
Section 3: Grantee Subject to All Powers of City Rules Governing Repair and Reconstruction of
Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers of the
City and all regulatory ordinances adopted pursuant thereto. The Grantee shall not unnecessarily
or unreasonably obstruct the use of or damage any street or alley and shall within a reasonable
time and as early as practicable upon completion of any construction or repair work, restore all
City streets and alleys to the same order and condition as they were before the excavation was
made insofar as reasonably possible.The Grantee shall maintain,repair and keep in good condition
for a period of one year all portions of streets and alleys disturbed by it or its agents. The Grantee
shall be responsible for any obstruction in any street, alley or other public place caused by it in the
operation and maintenance of its properties occurring at any time and shall promptly remove such
obstruction.Any such obstruction which, after proper notice to Grantee demanding removal is not
promptly removed by the Grantee may be taken care of by the City and the costs thereof shall be
charged against Grantee. For purposes of this Section, Grantee's above-ground facilities or
temporary construction materials and equipment shall not be considered an "obstruction".
Section 4: Term of Franchise and Grant.
Such right and authority, permission and power is hereby granted for a term of twenty (20) years
from and after the date of the final acceptance of this Ordinance by the Company, herein referred
to as the primary term. This franchise will automatically renew for successive periods of ten (10)
years unless cancelled at the end of a term by either party by written notice to the other party no
less than 180 calendar days prior to the end of the primary term or the then current successive term.
Section 5: City Right to Inspection of Grantee's Plans,Accounts and Books—Grantee to Furnish
Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments required herein during the normal
business hours of Grantee. The Grantee shall furnish, upon request, the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions. The City shall make every reasonable effort to maintain the confidentiality of any trade
secrets or other proprietary information(such as proprietary maps and other mapping information)
provided pursuant to this Section, including execution of a data sharing agreement with Grantee.
Any map supplied shall not be used for locating gas facilities with the intent of excavating. Prior
to excavating, the City shall request line locates per the requirements of Idaho Statute Chapter 22
Underground Facilities Damage Prevention.
Section 6: Payment To City And Filing Of Annual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns, during the
franchise period, shall pay to the City three percent (3%) of the gross receipts received from all
sales of gas by Grantee within the corporate limits of the City through use, operation or possession
of this franchise and grant.
Such payments shall be made on a quarterly basis and shall be in lieu of any and all other fees,
charges, licenses or taxes (other than ad valorem taxes) related to easements, franchises, rights-of
way, utility lines and equipment installation, maintenance and removal during the term of the
public service providers' franchise with the City which the City may impose for the rights and
privileges herein granted or for the privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with the City a report for the
preceding calendar quarter, which report shall contain a statement of all the gross receipts arising
from all sales of gas by said Grantee within the City for the calendar quarter preceding such report,
and at the same time the Grantee shall pay to the City the stipulated percentage of the gross
quarterly receipts due for the calendar quarter which said report is made and filed.
Section 7: Grantee Liability - Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the Grantee
shall save the City harmless from all loss sustained by the City on account of any suit,judgment,
execution, claim or demand whatsoever, resulting from negligence on the part of the Grantee in
the construction, operation or maintenance of its gas system in the City. The City shall notify the
grantee's representative in the City within ten (10) days after the presentation of any claim or
demand, either by suit or otherwise, made against the City on account of any negligence as
aforesaid on the part of the Grantee.Nothing herein shall require Grantee to save and hold the City
harmless to the extent any loss sustained by the City is caused by the acts,omissions,or negligence
of the City its agents, representatives, contractors, officers, directors, employees, or other parties
subject to its direction or control.
Section 8: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights hereunder,
Grantee shall file with the City Clerk a certificate evidencing the insurance of the Grantee against
property damage in an amount not less than $500,000.00 and bodily injury with limits of not less
than $500,000.00 per person and $1,000,000.00 total for each occurrence. Provided, however, the
minimum limits of insurance as set forth herein shall be automatically increased at any time the
liability limits of the City are increased pursuant to the Idaho Tort Claims Act(Idaho Code Section
6-901 et. seq.) or any similar legislation.
Section 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the United States,
State of Idaho, or any regulatory body having jurisdiction thereof.
Section 10: Agreement Not to Compete—Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance hereof the City
agrees not to engage in the business of distributing and selling gas during the life of this franchise
or any extension thereof in competition with the Grantee, its successor and assigns; but nothing
herein contained shall be construed or deemed to prevent the City from exercising at any time any
power of eminent domain granted to it under the laws of the State of Idaho.
Section 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the distribution and
sale hereunder, Grantee reserves the right to surrender this franchise and in the event of such
surrender prior to any expiration or termination of this franchise, or in any of such events, Grantee
reserves the right to salvage all of its plant, works and facilities, and will restore City's streets and
alleys damaged by such salvage operation.
Section 12: Written Acceptance
The Grantee shall within thirty (30) days after the passage and publication of this ordinance, file
with the City Clerk its acceptance of this franchise in writing signed by its proper officers and
attested by its corporate seal.
Section 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is required
by law.
Section 14: Forfeiture
Any material violation by the Grantee, its vendee, lessee or successors of the provisions of this
ordinance, franchise and grant or any material portions thereof or the failure promptly to perform
any of the provisions thereof shall be cause for the forfeiture of this franchise and grant and all
rights hereunder should Grantee fail to cure such violation within sixty(60)calendar days of City's
providing Grantee written notice, which shall be served upon Grantee by registered mail on its
Region Director at 555 South Cole Road, Boise, ID 83709, or if not reasonably capable of being
cured within sixty (60) calendar days, within such other reasonable period of time as the parties
may agree. This provision shall not prevent the Grantee from submitting such question of forfeiture
to proper court determination.
Section 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be unconstitutional or
invalid, the same shall not affect the validity of any other part or parts hereof which can be given
effect without the part or parts adjudged to be unconstitutional or invalid. The City declares that it
would have passed the remaining parts of this ordinance if it had been known that such other part
or parts thereof would be declared unconstitutional or invalid.
Section 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the same are
hereby repealed.
Section 17: Notifications
Whenever this Franchise calls for notice to or notification by any party,the same(unless otherwise
specially provided) shall be in writing and directed to the recipient at the address set forth in this
Section, unless written notice of change of address is provided to the other parry. If the date for
making any payment or performing any act is a legal holiday, payment may be made, or the act
performed on the next succeeding business day which is not a legal holiday. Notices shall be
directed to the parties as follows:
To the City: City Clerk
City of'Emmett
501 E. Main St.
Emmett, Idaho 83617
To IGC: Region Director
Intermountain Gas Company
555 S Cole Road
Boise, Idaho 83709
This Ordinance shall take effect and be in force immediately, following its passage, approval, and
publication as required by law, and the execution of the "Acceptance and Consent"by Grantee.
1/
DATED this l day of �y¢ 2025
C F EMMETT
ordon Petrie, ayo
ATTEST:
Jake Sweeten, City Clerk
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY, as the franchisee and `Grantee' in the ordinance set forth
above,accepts the franchise set forth therein at the time of Grantee's execution,and agrees to abide
by the terms and conditions thereof. Specifically (and pursuant to I.C. § 50-329A), IGC consents
to the three percent(3%) franchise fee assessed by the City pursuant to this ordinance.
DATED this"day of 20Zs
By: Eric Martuscelli
Its: VP, Field Operations& Customer Experience
ORDINANCE NO. 649
AN ORDINANCE OF THE CITY OF FILER, IDAHO, GRANTING TO INTERMOUNTAIN
GAS COMPANY A TWENTY(20)YEAR EXTENSION TO ITS FRANCHISE TO
CONSTRUCT,MAINTAIN AND OPERATE A GAS TRANSMISSION AND DISTRIBUTION
SYSTEM;PROVIDING FOR THE USE OF STREETS AND ALLEYS,AND RULES
GOVERNING THE SAME, SUBJECTING THE GRANTEE TO ALL POWERS OF THE
CITY, SETTING FORTH THE RULES OF THE FRANCHISE AND GRANT: PROVIDING
FOR THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S PLANS,ACCOUNTS,
AND BOOKS; REQUIRING GRANTEE TO FURNISH CERTAIN MAPS; SETTING FORTH
THE ANNUAL PAYMENT TO THE CITY,AND THE FILING OF ANNUAL REPORTS
WITH THE CITY,REQUIRING GRANTEE TO INDEMNIFY CITY,AND FILE EVIDENCE
OF INSURANCE; REQUIRING COMPLIANCE WITH SAFETY REGULATIONS; SETTING
FORTH AN AGREEMENT NOT TO COMPETE, RESERVING POWER OF EMINENT
DOMAIN;PROVIDING FOR SURRENDER OF FRANCHISE; GRANTING RIGHT TO
SALVAGE;REQUIRING WRITTEN ACCEPTANCE; PROVIDING FOR CONSENT TO
SALE,ASSIGNMENT OR LEASE;PROVIDING FOR PAYMENT OF PUBLICATION COST;
SETTING FORTH PENALTIES AND FORFEITURES, SEPARABILITY AND REPEAL.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF FILER,IDAHO;
Section 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation,its successors and assigns
(hereinafter collectively referred to as "Grantee") a twenty (20) year extension to the right and
authority to construct, install, maintain and operate a gas transmission and distribution system,
including mains, pipes, conduits, services and other necessary structures and appliances
appertaining in, under, upon, over, across and along the streets, alleys,bridges and public places
within the present and future corporate limits of the City of Filer,Idaho (hereinafter referred to as
"City") for the furnishing, transmission, distribution and sale of gas, whether artificial, natural,
mixed or otherwise, for heating, domestic, industrial and other purposes and for transmitting gas
into, through and beyond said City.The City represents that it has the sole power and authority to
make this grant of authority and agrees to notify Grantee in writing if the City should cease to have
this power.
Section 2: Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and public places
in the City and shall be subject to all applicable ordinances,but no fee shall be required of Grantee
for any such permit. Grantee may, however, open or disturb the streets, alleys, and public places
without a permit if an emergency exists requiring the immediate repair of facilities. The location
or relocation of all facilities shall be made under the supervision and with the approval of such
representatives as the governing body of the City may designate for such purpose, but not so as
unreasonably to interfere with the proper operating of Grantee's facilities and service. Whenever
the City shall pave or repave any street or shall change the grade or line of any street or public
place or shall construct or reconstruct any conduit,water main,sewer or water connection or other
city public works or city utility, it shall be the duty of the Grantee when so ordered by the City to
change its mains, services and other property in the streets or public places at its own expense so
as to conform to the established grade or line of such street or public place and so as not to interfere
with the conduits, sewers and other mains of the City as constructed or reconstructed; however,
the Grantee shall not be required to relocate pipes,mains and appurtenances when the street, alley
or public ground in which they are located is vacated for the convenience of abutting property
owners and not as an incident to the public improvement, unless the reasonable cost of such
relocation and the loss and expenses resulting therefrom is first paid to Grantee. The City will
avoid the need for such moving or changing whenever possible. In the event Federal,State or other
funds are available in whole or in part for utility relocating purposes,the City shall apply for such
funds and the Grantee will be reimbursed to the extent any such funds are actually obtained.
Section 3: Grantee Subject to All Powers of City Rules Governing Repair and Reconstruction of
Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers of the
City and all regulatory ordinances adopted pursuant thereto.The Grantee shall not unnecessarily
or unreasonably obstruct the use of or damage any street or alley and shall within a reasonable
time and as early as practicable upon completion of any construction or repair work, restore all
City streets and alleys to the same order and condition as they were before the excavation was
made insofar as reasonably possible.The Grantee shall maintain,repair and keep in good condition
for a period of one year all portions of streets and alleys disturbed by it or its agents. The Grantee
shall be responsible for any obstruction in any street, alley or other public place caused by it in the
operation and maintenance of its properties occurring at any time and shall promptly remove such
obstruction.Any such obstruction which, after proper notice to Grantee demanding removal is not
promptly removed by the Grantee may be taken care of by the City and the costs thereof shall be
charged against Grantee. For purposes of this Section, Grantee's above-ground facilities or
temporary construction materials and equipment shall not be considered an"obstruction".
Section 4:Term of Franchise and Grant.
Such right and authority, permission and power is hereby granted for a term of twenty(20) years
from and after the date of the final acceptance of this Ordinance by the Company,herein referred.
to as the primary term.This franchise will automatically renew for successive periods of ten (10)
years unless cancelled at the end of a term by either party by written notice to the other party no
less than 180 calendar days prior to the end of the primary term or the then current successive term.
Section 5: City Right to Inspection of Grantee's Plans,Accounts and Books—Grantee to Furnish
Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments required herein during the normal
business hours of Grantee. The Grantee shall furnish, upon request, the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions.The City shall make every reasonable effort to maintain the confidentiality of any trade
secrets or other proprietary information(such as proprietary maps and other mapping information)
provided pursuant to this Section, including execution of a data sharing agreement with Grantee.
Any map supplied shall not be used for locating gas facilities with the intent of excavating. Prior
to excavating, the City shall request line locates per the requirements of Idaho Statutes Title 55
Chapter 22 Underground Facilities Damage Prevention.
Section 6: Payment To City And Filing OfAnnual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns, during the
franchise period, shall pay to the City three percent (3%) of the gross receipts received from all
sales of gas by Grantee within the corporate limits of the City through use,operation or possession
of this franchise and grant.
Such payments shall be made on a quarterly basis and shall be in lieu of any and all other fees,
charges,licenses or taxes (other than ad valorem taxes)related to easements, franchises, rights-of
way, utility lines and equipment installation, maintenance and removal during the term of the
public service providers' franchise with the City which the City may impose for the rights and
privileges herein granted or for the privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with the City a report for the
preceding calendar quarter,which report shall contain a statement of all the gross receipts arising
from all sales of gas by said Grantee within the City for the calendar quarter preceding such report,
and at the same time the Grantee shall pay to the City the stipulated percentage of the gross
quarterly receipts due for the calendar quarter which said report is made and filed.
Section 7: Grantee Liability-Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the Grantee
shall save the City harmless from all loss sustained by the City on account of any suit,judgment,
execution, claim or demand whatsoever, resulting from negligence on the part of the Grantee in
the construction, operation or maintenance of its gas system in the City. The City shall notify the
grantee's representative in the City within ten (10) days after the presentation of any claim or
demand, either by suit or otherwise, made against the City on account of any negligence as
aforesaid on the part of the Grantee.Nothing herein shall require Grantee to save and hold the City
harmless to the extent any loss sustained by the City is caused by the acts,omissions,or negligence
of the City its agents, representatives, contractors, officers, directors, employees, or other parties
subject to its direction or control.
Section 8: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights hereunder,
Grantee shall file with the City Clerk a certificate evidencing the insurance of the Grantee against
property damage in an amount not less than$500,000.00 and bodily injury with limits of not less
than$500,000.00 per person and $1,000,000.00 total for each occurrence. Provided,however,the
minimum limits of insurance as set forth herein shall be automatically increased at any time the
liability limits of the City are increased pursuant to the Idaho Tort Claims Act(Idaho Code Section
6-901 et. seq.) or any similar legislation.
Section 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the United States,
State of Idaho, or any regulatory body having jurisdiction thereof.
Section 10:Agreement Not to Compete—Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance hereof the City
agrees not to engage in the business of distributing and selling gas during the life of this franchise
or any extension thereof in competition with the Grantee, its successor and assigns; but nothing
herein contained shall be construed or deemed to prevent the City from exercising at any time any
power of eminent domain granted to it under the laws of the State of Idaho.
Section 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the distribution and
sale hereunder, Grantee reserves the right to surrender this franchise and in the event of such
surrender prior to any expiration or termination of this franchise,or in any of such events,Grantee
reserves the right to salvage all of its plant,works and facilities, and will restore City's streets and
alleys damaged by such salvage operation.
Section 12: Written Acceptance
The Grantee shall within thirty (30) days after the passage and publication of this ordinance, file
with the City Clerk its acceptance of this franchise in writing signed by .its proper officers and
attested by its corporate seal.
Section 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is required
by law.
Section 14: Forfeiture
Any material violation by the Grantee, its vendee, lessee or successors of the provisions of this
ordinance, franchise and grant or any material portions thereof or the failure promptly to perform
any of the provisions thereof shall be cause for the forfeiture of this franchise and grant and all
rights hereunder should Grantee fail to cure such violation within sixty(60)calendar days of City's
providing Grantee written notice, which shall be served upon Grantee by registered mail on its
Region Director at 555 South Cole Road, Boise, ID 83709, or if not reasonably capable of being
cured within sixty (60) calendar days, within such other reasonable period of time as the parties
may agree.This provision shall not prevent the Grantee from submitting such question of forfeiture
to proper court determination.
Section 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be unconstitutional or
invalid, the same shall not affect the validity of any other part or parts hereof which can be given
effect without the part or parts adjudged to be unconstitutional or invalid.The City declares that it
would have passed the remaining parts of this ordinance if it had been known that such other part
or parts thereof would be declared unconstitutional or invalid.
Section 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the same are
hereby repealed.
Section 17:Notifications
Whenever this Franchise calls for notice to or notification by any party,the same(unless otherwise
specially provided) shall be in writing and directed to the recipient at the address set forth in this
Section, unless written notice of change of address is provided to the other party, If the date for
making any payment or performing any act is a legal holiday, payment may be made, or the act
performed on the next succeeding business day which is not a legal holiday. Notices shall be
directed to the parties as follows:
To the City: City Clerk
City of Filer
300 Main Street
Filer, ID 83328
To IGC: Region Director
Intermountain Gas Company
555 S Cole Road
Boise,Idaho 83709
This Ordinance shall take effect and be in force on November 17th, 2025 following its passage,
approval, and publication as required by law, and the execution of the"Acceptance and Consent"
by Grantee.
f41
DATED this 111' day of k)&Vu yt ,2025
CITY OF FILER
Ali ",9111//Z7407
Robert Tem einan, ayor
ATTEST:
Emily Da �er, ty Clerk
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY, as the franchisee and `Grantee' in the ordinance set forth
above,accepts the franchise set forth therein at the time of Grantee's execution,and agrees to abide
by the terms and conditions thereof. Specifically(and pursuant to I.C. § 50-329A), IGC consents
to the three percent (3%) franchise fee assessed by the City pursuant to this ordinance.
DATFD this 18th day of November , 20 25
By: Eric Martuscclli
Its: VP,Field Operations &Customer Experience
ORDINANCE NO. 116
AN ORDINANCE OF THE CITY OF GEORGETOWN, IDAHO, GRANTING TO
INTERMOUNTAIN GAS COMPANY A 20 YEAR EXTENSION TO ITS FRANCHISE TO
CONSTRUCT,MAINTAIN AND OPERATE A GAS TRANSMISSION AND DISTRIBUTION
SYSTEM; PROVIDING FOR THE USE OF STREETS AND ALLEYS, AND RULES
GOVERNING THE SAME, SUBJECTING THE GRANTEE TO ALL POWERS OF THE
CITY, SETTING FORTH THE RULES OF THE FRANCHISE AND GRANT; PROVIDING
FOR THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S PLANS,ACCOUNTS,
AND BOOKS; REQUIRING GRANTEE TO FURNISH CERTAIN MAPS; SETTING FORTH
THE ANNUAL PAYMENT TO THE CITY, AND THE FILING OF ANNUAL REPORTS
WITH THE CITY, REQUIRING GRANTEE TO INDEMNIFY CITY, AND FILE EVIDENCE
OF INSURANCE;REQUIRING COMPLIANCE WITH SAFETY REGULATIONS; SETTING
FORTH AN AGREEMENT NOT TO COMPETE, RESERVING POWER OF EMINENT
DOMAIN;PROVIDING FOR SURRENDER OF FRANCHISE; GRANTING RIGHT TO
SALVAGE; REQUIRING WRITTEN ACCEPTANCE; PROVIDING FOR CONSENT TO
SALE, ASSIGNMENT OR LEASE; PROVIDING FOR PAYMENT OF PUBLICATION COST;
SETTING FORTH PENALTIES AND FORFEITURES, SEPARABILITY AND REPEAL.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF GEORGETOWN, IDAHO;
Section 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation, its successors and assigns
(hereinafter collectively referred to as "Grantee") a 20-year extension to the right and authority
to construct, install, maintain and operate a gas transmission and distribution system, including
mains, pipes, conduits, services and other necessary structures and appliances appertaining in,
under, upon, over, across and along the streets, alleys, bridges and public places within the
present and future corporate limits of the City of Georgetown, Idaho (hereinafter referred to as
"City") for the famishing, transmission, distribution and sale of gas, whether artificial, natural,
mixed or otherwise, for heating, domestic, industrial and other purposes and for transmitting gas
into, through and beyond said City. The City represents that it has the sole power and authority to
make this grant of authority and agrees to notify Grantee in writing if the City should cease to
have this power.
Section 2: Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and public places
in the City and shall be subject to all applicable ordinances, but no fee shall be required of
Grantee for any such permit. Grantee may, however, open or disturb the streets, alleys, and
public places without a permit if an emergency exists requiring the immediate repair of facilities.
The location or relocation of all facilities shall be made under the supervision and with the
approval of such representatives as the governing body of the City may designate for such
purpose, but not so as unreasonably to interfere with the proper operating of Grantee's facilities
and service. Whenever the City shall pave or repave any street or shall change the grade or line
of any street or public place or shall construct or reconstruct any conduit, water main, sewer or
water connection or other city public works or city utility, it shall be the duty of the Grantee
when so ordered by the City to change its mains, services and other property in the streets or
public places at its own expense so as to conform to the established grade or line of such street or
public place and so as not to interfere with the conduits, sewers and other mains of the City as
constructed or reconstructed; however, the Grantee shall not be required to relocate pipes,mains
and appurtenances when the street, alley or public ground in which they are located is vacated
for the convenience of abutting property owners and not as an incident to the public
improvement, unless the reasonable cost of such relocation and the loss and expenses resulting
therefrom is first paid to Grantee. The City will avoid the need for such moving or changing
whenever possible. In the event Federal, State or other funds are available in whole or in part for
utility relocating purposes, the City shall apply for such funds and the Grantee will be
reimbursed to the extent any such funds are actually obtained.
Section 3: Grantee Subject to All Powers of City Rules Governing Repair and Reconstruction of
Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers of the
City and all regulatory ordinances adopted pursuant thereto. The Grantee shall not unnecessarily
or unreasonably obstruct the use of or damage any street or alley and shall within a reasonable
time and as early as practicable upon completion of any construction or repair work, restore all
City streets and alleys to the same order and condition as they were before the excavation was
made insofar as reasonably possible. The Grantee shall maintain, repair and keep in good
condition for a period of three years all portions of streets and alleys disturbed by it or its agents.
The Grantee shall be responsible for any obstruction in any street, alley or other public place
caused by it in the operation and maintenance of its properties occurring at any time and shall
promptly remove such obstruction. Any such obstruction which, after proper notice to Grantee
demanding removal is not promptly removed by the Grantee may be taken care of by the City
and the costs thereof shall be charged against Grantee. For purposes of this Section, Grantee's
above-ground facilities or temporary construction materials and equipment shall not be
considered an"obstruction".
Section 4: Term of Franchise and Grant.
Such right and authority,permission and power is hereby granted for a term of 20 years from and
after the date of the final acceptance of this Ordinance by the Company,herein referred to as the
primary term. This franchise will automatically renew for successive periods of ten (10) years
unless cancelled at the end of a term by either party by written notice to the other party no less
than 180 calendar days prior to the end of the primary term or the then current successive term.
Section S: City Right to Inspection of Grantee's Plans,Accounts and Books—Grantee to Furnish
Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments required herein during the normal
business hours of Grantee. The Grantee shall furnish, upon request,the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions. The City shall make every reasonable effort to maintain the confidentiality of any
trade secrets or other proprietary information (such as proprietary maps and other mapping
information) provided pursuant to this Section, including execution of a data sharing agreement
with Grantee. Any map supplied shall not be used for locating gas facilities with the intent of
excavating. Prior to excavating, the City shall request Iine locates per the requirements of Idaho
Statutes Title 55 Chapter 22 Underground Facilities Damage Prevention.
Section 6: Payment To City And Filing Of Annual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns, during the
franchise period, shall pay to the City three percent (3%) of the gross receipts received from all
sales of gas by Grantee within the corporate limits of the City through use, operation or
possession of this franchise and grant.
Such payments shall be made on a quarterly basis and shall be in lieu of any and all other fees,
charges, licenses or taxes (other than ad valorem taxes) related to easements, franchises, rights-of
way, utility lines and equipment installation, maintenance and removal during the term of the
public service providers' franchise with the City which the City may impose for the rights and
privileges herein granted or for the privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with the City a report for the
preceding calendar quarter, which report shall contain a statement of all the gross receipts arising
from all sales of gas by said Grantee within the City for the calendar quarter preceding such
report, and at the same time the Grantee shall pay to the City the stipulated percentage of the
gross quarterly receipts due for the calendar quarter which said report is made and filed.
Section 7: Grantee Liability- Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the Grantee
shall save the City harmless from all loss sustained by the City on account of any suit,judgment,
execution, claim or demand whatsoever, resulting from negligence on the part of the Grantee in
the construction, operation or maintenance of its gas system in the City. The City shall notify the
grantee's representative in the City within ten (10) days after the presentation of any claim or
demand, either by suit or otherwise, made against the City on account of any negligence as
aforesaid on the part of the Grantee. Nothing herein shall require Grantee to save and hold the
City harmless to the extent any loss sustained by the City is caused by the acts, omissions, or
negligence of the City its agents, representatives, contractors, officers, directors, employees, or
other parties subject to its direction or control.
Section$: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights
hereunder, Grantee shall file with the City Clerk a certificate evidencing the insurance of the
Grantee against property damage in an amount not less than$500,000.00 and bodily injury with
limits of not less than $500,000.00 per person and $1,000,000.00 total for each occurrence.
Provided, however, the minimum limits of insurance as set forth herein shall be automatically
increased at any time the liability limits of the City are increased pursuant to the Idaho Tort
Claims Act(Idaho Code Section 6-901 et. seq.)or any similar legislation.
Section 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the United
States, State of Idaho, or any regulatory body having jurisdiction thereof.
Section 10: Agreement Not to Compete—Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance hereof the
City agrees not to engage in the business of distributing and selling gas during the life of this
franchise or any extension thereof in competition with the Grantee, its successor and assigns; but
nothing herein contained shall be construed or deemed to prevent the City from exercising at any
time any power of eminent domain granted to it under the laws of the State of Idaho.
Section 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the distribution and
sale hereunder, Grantee reserves the right to surrender this franchise and in the event of such
surrender prior to any expiration or termination of this franchise, or in any of such events,
Grantee reserves the right to salvage all of its plant, works and facilities, and will restore City's
streets and alleys damaged by such salvage operation.
Section 12: Written Acceptance
The Grantee shall within thirty (30) days after the passage and publication of this ordinance, file
with the City Clerk its acceptance of this franchise in writing signed by its proper officers and
attested by its corporate seal.
Section 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is required
by law.
Section 14: Forfeiture
Any material violation by the Grantee, its vendee, lessee or successors of the provisions of this
ordinance, franchise and grant or any material portions thereof or the failure promptly to perform
any of the provisions thereof shall be cause for the forfeiture of this franchise and grant and all
rights hereunder should Grantee fail to cure such violation within sixty (60) calendar days of
City's providing Grantee written notice, which shall be served upon Grantee by registered mail
on its Region Director at 12584 W Tyhee Road, Pocatello, Idaho 83202, or if not reasonably
capable of being cured within sixty (60) calendar days, within such other reasonable period of
time as the parties may agree. This provision shall not prevent the Grantee from submitting such
question of forfeiture to proper court determination.
Section 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be unconstitutional or
invalid, the same shall not affect the validity of any other part or parts hereof which can be given
effect without the part or parts adjudged to be unconstitutional or invalid. The City declares that
it would have passed the remaining parts of this ordinance if it had been known that such other
part or parts thereof would be declared unconstitutional or invalid.
Section 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the same are
hereby repealed.
Section 17:Notifications
Whenever this Franchise calls for notice to or notification by any party, the same (unless
otherwise specially provided) shall be in writing and directed to the recipient at the address set
forth in this Section, unless written notice of change of address is provided to the other party. If
the date for making any payment or performing any act is a legal holiday,payment may be made,
or the act performed on the next succeeding business day which is not a legal holiday. Notices
shall be directed to the parties as follows:
To the City: City Clerk
City of Georgetown
382 Main Street
Georgetown, Idaho 83239
To IGC: Region Director
Intermountain Gas Company
12584 W Tyhee Road
Pocatello,Idaho 83202
This Ordinance shall take effect and be in force on October 7. 2025, following its passage.
approval, and publication as required by law, and the execution of the"Acceptance and Consent"
by Grantee.
DATED this day of /�' ,2025
CITY OF GEORGETOWN, ATTEST:
Stephan R. Waechtler,Mayor Lynette Smith, City Clerk
ACCEPTANCE AND CONSENT
NTERNMOUNTAIN GAS COMPA\Y as the franchisee and'Grantee' in the ordinance set forth
above, accepts the franchise set forth therein at the time of Grantee's execution, and agrees to
abide by the terms and conditions thereof_ Specifically (and pursuant to I.C. § 50-329A), IGC
consents to the three percent(3%) franchise fee assessed by the City pursuant to this ordinance.
DATED this 31 st day of October .2025
By: Eric Martuscelli
Its: VP,Field Operations&Customer Experience
HERALD JOURNAL ADVERTISING INVOICE
APG West Payment
V,iitimen Processin
tyre ��d� 9
PO Box 1570
C`Tiie �K ews— Emanaixxer Pocatello, ID 83204
Ph.435-514-1830
BILLING .• • NO:
10/31/25 7197
Lynette Smith
GEORGETOWN CITY CLERK
P.O. BOX 99
GEORGETOWN, ID 83239
AD# DESCRIPTION START STOP TIMES AMOUNT
688954 ORDINANCE NO. 116AN 11/12/25 11/12/25 2 $562.53
Payments:
Date Method Card Type Last 4 Digits Check Amount
Discount: $0.00 Gross:$562.53
Surcharge: $0.00 Paid Amount:$0.00
Credits: $0.00
Amount Due:$562.53
We Appreciate Your Business!
688954
AN 688954AD#
ORDINANCE NO,116
AN ORDINANCE OF THE CITY OF GEORGETOWN.IDAHO,GRUNTING TO INTERMOUNTAIN GAS COMPANY A 20 YEAR
EXTENSION TO ITS FRANCHISE TO CONSTRUCT,MAINTAIN AND OPERATE A GAS TRANSMISSION AND DISTRIBUTION
SYSTEM;PROVIDING FOR THE USE OF STREETS AND ALLEYS.AND RULES GOVERNING THE SAME.SUBJECTING THE
GRANTEE TO ALL POWERS OF THE CITY:SETTING FORTH THE RULES OFTHE FRANCHISE AND GRANT:PROVIDING FOR
THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S PLANS.ACCOUNTS.AND BOOKS;REQUIRING GRANTEE TO
FURNISH CERTAIN MAPS:SETTING FORTH THE ANNUAL PAYMENT TO THE CITY,AND THE HUNG OF ANNUAL REPORTS
WITH THE CITY;REQUIRING GRANTEE TO INDEMNIFY CITY,AND FILE EVIDENCE OF INSURANCE;REQUIRING COMPU•
AfeCE WITH SAFETY REGULATIONS:SETTING FORTH AN AGREEMENT NOT TO COMPETE,RESERVING POWER OF EMI-
NENT DOMAIN;PROVIDING FOR SURRENDER OF FRANCHISE;GRANTING RIGHTTO SALVAGE:REOUIRING WRITTEN AC-
CEPTANCE:PROVIDING FOR CONSENT TO SALE.ASSIGNMENT OR LEASE:PROVIDING FOR PAYMENT OF PUBLICATION
COST:SETTING FORTH PENALTIES AND FORFEITURES,SEPARABILITY AND REPEAL BE IT ORDAINED BY THE MAYOR
AND COUNCIL OF GEORGETOWN,IDAHO:
Secton 1:Grant of Authority.
There is hereby gn-led to Inc 1mIam Gas Cnmpany,a corporainnn,its successors and assigns Meremafter cellecflvely related
To
as'Gromee.a 20-year exfensi_to Me right and authority to constma,inmalh maintain and di opemle a gas transmiswnn and
smbintom sybh,M,mvbming=m 58m,pipes,con0ui15. css andocher necessary stNPture4 and appliances appedaining in,under.
pon,over,xross aM along the streets,alleys.bndgOs aril pudic daces whin the present and future comonte Nmns of lke Ciry of
Georgetown,Bono(heroiroilnr referred to as'City'7 br Me lurmshlnq,Irercmssion.distribution and I.of gas,whelM:r art8icial,
mttunl,mixed Or othemise,br heahng,dmnestx%mdu51na1 and OMet purposes and for Irem_'hMg gas into,through and beyond
said Ciry.The Ciry repmsens mat II has me able power antl authority to make Mis grant of auMonly and agrees to notify Gnnioe in
writing it Ine City Slfoultl¢ease l0 navy IhLs power.
Seetlon 2:Use of Streak and Rules Govemlfg the Same.
Gnnlee shall secure a pertnil for arty Opening n Shall make in me siro"ts,alleys and pubgC PWCes in the Ciry and shall be subjad
to all apPliWble omiwrices,but no fee snail be requiretl of Gtanloe for any such permit.Gronloe may,however,apnn or dismm the
treats,alleys,antl public pintas wanr+ut a permit ii an emergenry exiss requiring Ne immetliale repair of tanlnioG
The IOcatmn Or retoUtlon of all fadtUi04 9nall DB matle under the supervision and with Ma approval of such representatives az Ine
governing Doily of the Ciry may designate ter wch pumoso,Dui rant so az unrea¢owdy t0 aimlere with Me proper operoung Of
Grantee's Iatllnles and seMce.W henever Me Clry snail pave or repave aM 5treel or shall change the grade or line of any 51re01 or
pubic place or snail construct or reron5lNd arty cm+d.iL water main,sewer or wafer tonne lion or olhor u5ry public wnik5 or city
ahoy it abet De the dory of the cremes when so omeretl by me Ciry to enenga is mains,services and Omer property in Mo streets
Dr p.dk Naees at tl5 awn expense 50 as 10 Conbrtn to Ih0 eSnbliShed grotl0 O!line 01 SIxM 51leel or public plate and 50 as not re
interfere with m"conduits,sewers and omer mains of the Ciry as rorislmd00 or reconsWded;howmor,the Grantee shall oral be
required to relocate pipes,mains antl aDpuRenantes when me street.alley Or public humor M which Hey are located 6 vawled Inr
the comeniento of aMit,g prop. owners arm not as an Incident to Me pubic imp m"n4 unless 11 9 reasonable Cost 01 such
relocation and the loss end expo s resuNmg therefrom u first Paid
to Gromee,The City will avoid the need for such moving or
changing whoneler possibl0.In Ine event Federal.State or Other hmds am available in whole or in part for utility relocating purposes,
The Gry shall apply for such hinds and the Grantee will be renmthu sed t0 the extent arty such funds are actually obtained.
Section 3:Grantee SublectlO All Powan of City Rules Governing
Repelr and Recoh, cllon of Strata.
The expense OI pnvilagus hem grand shall be subjoct at all times t0 all Of the powers of Me City and all regulatory Om nancos
adoPled pursuant lherelo.ThO Grantee Shag net unnecessarily or unreasonably obst—I the use 01 or damage any street or alley and
shall wuhln a reasonable time and az Oddy as pncliUDie upon completion OI any rorl5tmmnn Of repair work,resnre all City streets
and alleys IO Mo same omer and condemn as may were bBinre Ma axCeY"bob was matle thsolaf as rOasonaDly posside.ThO Glans
ee snag manw,n.repair ad keop in good cmndilion fora pond of totes roars ag portions of streets and alleys dLammed by it Or its
main Grantee shall De responsibe Mr arty obstruction In arty slrBet.alley or oMer W Nic dace caused by it in me opem6on and
ro of its prapemas oavmng al arty time and..a pmmptiy mmov such obmrudlon.Any such aDmmd'inn wfutlr,aver
Proper notice to Gn�atle�mnSAing removals mlpmma Ibsr�Sat�hon�GnnGae'stebove-io*may be dfaceem enie a temporary re Of by
City consimcind the on
Them'
shall be charged against Granme.For purposes ywun pony
arils and equipment shall not be considered an'nbstrunian.
Section 4:Term of Fnnchlea and Grant
Such right and aulnnriry permission and power is hereby granted for a term 0I 20 years Irpn end attar the date of the final Decay
lance of met Ominabcv by the Company,herein referred 10 as In*primary Ierm.ThLs franchise will aulner ancally renew,for successor.
periods of ten(70)years.Ness Unrolled at the en0 at a term by either party by wrinen nnlica tq me omer path no lass man 160
-tender days prior to the end of me primary term Orth then Nrtertt successive lertn.
Section
5:City Right to Inspection of Grantee's Plana,Accounts end Books•Grantee to Fumish Certain Maps
Upon reasonable advance mmme,Ma City shall have access to Grantee's records to the extent necessary 10 verity Me accu y ofine
Franchise lee payments Two— herein during the r+nrmal business hours of Grantee.The Grantee shall I,misft,upon red...1.the
City Nh a complete set of maps,Including pions end Prone of the disvibini0n system of me Grantee and any future extensions.The
Ciry shall make every reasonable effort to maintain the confidenliaidy d any trade secrets or other Propriemry information(such as
proprietary maps and oilier mapping inMrmOunn)provided pursuanito this Section,including exeCuhen of atlas sharing agreement
with Grantee.Any map wpVlied Shall net be used Inr locating pas laclihes with the t nt OI excavating Prior to axUvaling,the City
shall request line IOtafes per the raquiremenrs of Idaho Stamtas Ttle 55 Chapter 22 Underground F-floies Damage Prevention.
Section 6:Payment To city And Flh..1;Annua�Wrh an Report W IMTh.Olry
M consideration lot this franchise and grant said Grantee,its successors and assigns.during doe franchise period,shall pay to the
City three percent(3 n)of Ma gr�locelpi5 received Imm all sales of gas ey Grant.w�min the corporate limits of the City thmugn
ae.opemhen or possession of this Inn Wise and grant.
Stich payments shall Da made on a quaR"ly bazis and shall be in Ilau of any aM all olnerf9es,charges,licenses ar lases(etharman
ed valorem faxes)related tO easements.Ironehisos.nghls-ol way,utility lines and equipment insnliatien,maimenaneo and removal
during Me term of Me pubic service Pinhe"rs'Innchise with the City wh+ch the City may impose bribe mghs and pnvilcges herein
grdniBd Or br the pllvilOge of tieing Du5ine54 wimm m0 Ci11yy
The Grantee shall lie 30 days aker the aril of each Ularndar quarter with the CM a report for the preceding calendar quarter.which
report shall rontain a slalomem 01 at the gross receipts anun9 from ail sales of gas by said Grantee miNn Me City for Me calendar
quanor preceding wch report,and at me_- ante the Grantee shall pay to the City Me stipulated percentage of the gross quarterly
oce"is dun for the calendar quaver wn"t sad rvporf ism.
and filed.
Sxbm+]:Grantee LlabBity-Indemniticec-d
II i¢Expressly understood and agreed by and bmwean me G"I:.1 and me Cily Mal the Gnnlee shall save Me City harmless iron
all b5s 5ustainetl by ma Cily on aCeounl of any wit,jutlgmen4 execution,claim or demand whaL^oe !resulting Imm negligence on
MB Pan of the Grantee in Ine conalr On opentinn or maintenanro of ifs gas system in Me Ciry.The City shall nosily the grantee's
rep, nutiva in Me City .thin led(10)days after Me presentation of anyclaim ordemand.either by sail or otherwise,made against
the City on xcount ul arty negligence as afomsad on the pal of the Grantee.Nmhmg heroin shall require Grantee to save and hnld
Me Ciry harmless to the extent any loss sustamed by ma Ciry is Uu.^,etl by me aCls.Omi45inn5.Or negligent"of the City as agents,
represenntives,contractors,officers,directors.employees,is other parDes subject to its direction or cgnt1.L
Section 8:Insurance
Upon accopmnco of this l nnchise by Grantee and bebra Grantee shell have any rights hereunder,Gnntga shah file with rain City
Clerk a Certificate Cvidentinp the insurance of the Grantee against properly damage n an amount tint less then$500,000.00 and
bodily Injury With limits of not less Man$500,000.00 per porson and$1,000,000.001otal tw each occurrence.Provided.however,the
mirrm.m limits of inwrance as set tomb herein shot be a.lemanitafly inereasx al arty time Me liability kmits of the City am increased
pursuant 10 the Idaho Tort Claims Act lldaho Code Secrihn 6.901 aL seq.).,any si-filar IegW.b.n.
Section 9:Safety Regulation Compliance
Grantee shall comply with and conform to all safety regutahnns promulgated by the United Stales.State of Kane.or any regulatory
body having junsdid,on Inereol.
Seeders 10;Agreement Not 1e Compete•Reserve to City Power of Eminent Domain
In convifenlinn of cranes',u,2:inking hereunder as ay.delcx by its acceptance hereo/the Ciry agrees not to ongaga in Me
business of dsbibuling and selling gas dung Me life of This Ilandtise or any axtereinn Me—In compelif n with Ina G antou,is
SUCCe150r and assigns;but nothing heron COnnined shall be ronstmx or deemed to pfOV011I Me Ciry from exercising at any time
any power of aminenl domain gnntatl t0 n under the laws of the State of Idaho.
In the h nit SumrWas of annc..s
In the evvnl naluml gas al any limo shall cease t0 b0 avYroble 10 creole.far Itno Onsmkution and Sale heroUntler,Grantee reserves
me o tit 10 Sunonder this Innchiso and in the event of¢ud+surtender plot to any axplmtkm or IBrminalinn of Mis Inr+enise,or in
any t such 0vents,Granite reserves Th right to salvage all of its plant works antl lacifities,and will restore Ciry's streets and alleys
damaged by such salvage Operation.
Section 12:Written Acceptance
The Grantee shall within miry 30)days alter me passage and publicatiara of this eminence,file with the CEy Clerk its acceptance of
this fanchise in writing
signed 7 its proper oN ors and eRe5led by ifs comonls seal.
Section
13:PubllUtlon Costs
The Grantee shall assume Me cost of pubicatinn 01 this franchise as such pubhul.—is required by law.
Section 14:FortelNm
Any material vinlatmm by the Grantee,its vendee.osso9 of successors of the provisions of this ordinance,franchise antl grant or
material portions Mereo1 or me Iadure promptly tO perform any of me provisnns thereof shall be cause for Me forfixt—of this
franchise and grant and all rights hereunder should Grantee tail to eNe such oblation wilhin Sony(60)calendar days OI Cky's Dro-
viding Grantee wthed omits,which shall be served upon Gmntee by registO i mail an its Region Dini at 12584 W Tyro.Road.
Pocatello,Idaho 83202.of if not reasonably Upablo of being cured wilhin sixty(60)calendar days,within such other matchable
periotl of bme as me parties may agree.This p-1,imn shalt not prevent 1.Grantee Irmo submitting such question Of fOd911ur0 to
proper town delerminabnn.
S-ton 15:Separablllry
11 arty al or parts of this onmancro shall be adjudged by the courts to b,unronstitutinnai or invalid,the same shall net affect the
vmitl.1y fairy Omar pan or parts hereof which tan be given effect without Me pan or parts adjudged to be unconstihrmnal or invalid.
The City declares Mat ii would have passatl Me remening pars of this OminanGO it it had been known that surh omer parr 0f pal¢
thereof would be declaratl unnon5btuhnnal or invalid.
Section 16:Repeal
All eminences and parts or ordinances of City in conflict herewith shall be.and the same are hereby repealed.
$action t7:Nolifieationn
Whenever this French-tills for ni to or nerificallnn by any party the same(unlace oUwmise specialty provided)shall be in wiiF
ing and directed to the reaptem at the address set IorM in tins Section,unless writer,him-of change of address is provided to the
other party.If the date rer making any payment or peda-mg any act is a legal holiday,payment may be made,or thed p act
on the next succeeding business day which Is not a legal holiday,Notices Val
be dirscled to Me parties az Inllnws:
To Me City: Ciry Clark
City 01 Georgetnwn
382 Main Street
Georgetown,Idaho 83239
To IGC: Region Director
Im"Ountvin Gas Company
12584 W Tyhoe Read
Pocatello,Idaho 83202
This Ordin a co shall take effect and bon tome on Odgbor].2025,fdlewbg its passage,apprmm,and pi,blt n as regWmd by
law,and the executinn of the'Aweptance antl Consent-by Gnnlee.
DATED this 291h day of October.2025
./ OF GEORGETOW
N
—
Stephen R.Wacchtle,
Mayor
ATTESTVs
Lyn City
Smirk
City clerk
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY,as the franchises and'Gnntee'in the ordinance set tomb above,accepts Me franchise Set brC.
ik
therein at the nine of Grabee's exaenxion,and agrees to abide by the terms and conditions thereof.Spwii scaly(and'pursuant to L
6 501
29A),iGC consents to Me three percent(3.4)franchise lee assessed by Me City pursuant to has ordinance.
DATED this_day of_,2025
BY./s_
Eric Martusceti
Is:VP,Field Openlinns 5 Customer Experience
Published:November 12th.2025(NEXl19]�88954)
ORDINANCE NO.25-615
BY THE CITY COUNCIL: CASE, THOMAS, ALDERMAN, PAYNE
AN ORDINANCE OF THE CITY OF GLENNS FERRY, IDAHO, GRANTING TO
INTERMOUNTAIN GAS COMPANY A TWENTY (20) YEAR EXTENSION TO ITS
FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A GAS TRANSMISSION
AND DISTRIBUTION SYSTEM; PROVIDING FOR THE USE OF STREETS AND
ALLEYS,AND RULES GOVERNING THE SAME, SUBJECTING THE GRANTEE TO ALL
POWERS OF THE CITY; SETTING FORTH THE RULES OF THE FRANCHISE AND
GRANT; PROVIDING FOR THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S
PLANS, ACCOUNTS, AND BOOKS; REQUIRING GRANTEE TO FURNISH CERTAIN
MAPS; SETTING FORTH THE ANNUAL PAYMENTTO THE CITY, AND THE FILING OF
ANNUAL REPORTS WITH THE CITY; REQUIRING GRANTEE TO INDEMNIFY CITY,
AND FILE EVIDENCE OF INSURANCE; REQUIRING COMPLIANCE WITH SAFETY
REGULATIONS; SETTING FORTH AN AGREEMENT NOT TO COMPETE, RESERVING
POWER OF EMINENT DOMAIN; PROVIDING FOR SURRENDER OF FRANCHISE;
GRANTING RIGHTTO SALVAGE; REQUIRING WRITTEN ACCEPTANCE; PROVIDING
FOR CONSENT TO SALE,ASSIGNMENT OR LEASE; PROVIDING FOR PAYMENT OF
PUBLICATION COST; SETTING FORTH PENALTIES AND FORFEITURES,
SEPARABILITY AND REPEAL.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF GLENNS FERRY, IDAHO.,
Section 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation, its successors
and assigns (hereinafter collectively referred to as "Grantee") a twenty (20) year
extension to the right and authority to construct, install, maintain and operate a gas
transmission and distribution system, including mains, pipes, conduits, services and
other necessary structures and appliances appertaining in, under, upon, over, across
and along the streets, alleys, bridges and public places within the present and future
corporate limits of the City of Glenns Ferry, Idaho (hereinafter referred to as "City") for
the furnishing, transmission, distribution and sale of gas, whether artificial, natural,
mixed or otherwise, for heating, domestic, industrial and other purposes and for
transmitting gas into, through and beyond said City. The City represents that it has the
sole power and authority to make this grant of authority and agrees to notify Grantee in
writing if the City should cease to have this power.
Section 2: Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and
public places in the City and shall be subject to all applicable ordinances, but no fee
shall be required of Grantee for any such permit. Grantee may, however, open or disturb
the streets, alleys, and public places without a permit if an emergency exists requiring
ORDINANCE NO.25-615 1 of 6
the immediate repair of facilities. The location or relocation of all facilities shall be made
under the supervision and with the approval of such representatives as the governing
body of the City may designate for such purpose, but not so as unreasonably to
interfere with the proper operating of Grantee's facilities and service. Whenever the City
shall pave or repave any street or shall change the grade or line of any street or public
place or shall construct or reconstruct any conduit, water main, sewer or water
connection or other city public works or city utility, it shall be the duty of the Grantee
when so ordered by the City to change its mains, services and other property in the
streets or public places at its own expense so as to conform to the established grade or
line of such street or public place and so as not to interfere with the conduits, sewers
and other mains of the City as constructed or reconstructed; however, the Grantee shall
not be required to relocate pipes, mains and appurtenances when the street, alley or
public ground in which they are located is vacated for the convenience of abutting
property owners and not as an incident to the public improvement, unless the
reasonable cost of such relocation and the loss and expenses resulting therefrom is first
paid to Grantee. The City will avoid the need for such moving or changing whenever
possible. In the event Federal, State or other funds are available in whole or in part for
utility relocating purposes, the City shall apply for such funds and the Grantee will be
reimbursed to the extent any such funds are actually obtained.
Section 3: Grantee Subject to All Powers of City Rules Governing Repair and
Reconstruction of Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers
of the City and all regulatory ordinances adopted pursuant thereto. The Grantee shall
not unnecessarily or unreasonably obstruct the use of or damage any street or alley and
shall within a reasonable time and as early as practicable upon completion of any
construction or repair work, restore all City streets and alleys to the same order and
condition as they were before the excavation was made insofar as reasonably possible.
The Grantee shall maintain, repair and keep in good condition for a period of one year
all portions of streets and alleys disturbed by it or its agents. The Grantee shall be
responsible for any obstruction in any street, alley or other public place caused by it in
the operation and maintenance of its properties occurring at any time and shall promptly
remove such obstruction. Any such obstruction which, after proper notice to Grantee
demanding removal is not promptly removed by the Grantee may be taken care of by
the City and the costs thereof shall be charged against Grantee. For purposes of this
Section, Grantee's above-ground facilities or temporary construction materials and
equipment shall not be considered an "obstruction".
Section 4: Term of Franchise and Grant.
Such right and authority, permission and power is hereby granted for a term of twenty
(20) years from and after the date of the final acceptance of this Ordinance by the
Company, herein referred to as the primary term. This franchise will automatically renew
for successive periods of ten (10) years unless cancelled at the end of a term by either
ORDINANCE NO.25-615 2 of 6
party by written notice to the other party no less than 180 calendar days prior to the end
of the primary term or the then current successive term.
Section 5: City Right to Inspection of Grantee's Plans, Accounts and Books — Grantee
to Furnish Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the
extent necessary to verify the accuracy of the Franchise fee payments required herein
during the normal business hours of Grantee. The Grantee shall furnish, upon request,
the City with a complete set of maps, including plans and profile of the distribution
system of the Grantee and any future extensions. The City shall make every reasonable
effort to maintain the confidentiality of any trade secrets or other proprietary information
(such as proprietary maps and other mapping information) provided pursuant to this
Section, including execution of a data sharing agreement with Grantee. Any map
supplied shall not be used for locating gas facilities with the intent of excavating. Prior to
excavating, the City shall request line locates per the requirements of Idaho Statutes
Title 55 Chapter 22 Underground Facilities Damage Prevention.
Section 6: Payment To City And Filing Of Annual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns,
during the franchise period, shall pay to the City three percent (3%) of the gross receipts
received from all sales of gas by Grantee within the corporate limits of the City through
use, operation or possession of this franchise and grant.
Such payments shall be made on a quarterly basis and shall be in lieu of any and all
other fees, charges, licenses or taxes (other than ad valorem taxes) related to
easements, franchises, rights-of way, utility lines and equipment installation,
maintenance and removal during the term of the public service providers' franchise with
the City which the City may impose for the rights and privileges herein granted or for the
privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with the City a
report for the preceding calendar quarter, which report shall contain a statement of all
the gross receipts arising from all sales of gas by said Grantee within the City for the
calendar quarter preceding such report, and at the same time the Grantee shall pay to
the City the stipulated percentage of the gross quarterly receipts due for the calendar
quarter which said report is made and filed.
Section 7: Grantee Liability - Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the
Grantee shall save the City harmless from all loss sustained by the City on account of
any suit, judgment, execution, claim or demand whatsoever, resulting from negligence
on the part of the Grantee in the construction, operation or maintenance of its gas
system in the City. The City shall notify the grantee's representative in the City within ten
(10) days after the presentation of any claim or demand, either by suit or otherwise,
made against the City on account of any negligence as aforesaid on the part of the
ORDINANCE NO.25-615 3 of 6
Grantee. Nothing herein shall require Grantee to save and hold the City harmless to the
extent any loss sustained by the City is caused by the acts, omissions, or negligence of
the City its agents, representatives, contractors, officers, directors, employees, or other
parties subject to its direction or control.
Section 8: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights
hereunder, Grantee shall file with the City Clerk a certificate evidencing the insurance of
the Grantee against property damage in an amount not less than $500,000.00 and
bodily injury with limits of not less than $500,000.00 per person and $1,000,000.00 total
for each occurrence. Provided, however, the minimum limits of insurance as set forth
herein shall be automatically increased at any time the liability limits of the City are
increased pursuant to the Idaho Tort Claims Act (Idaho Code Section 6-901 et. seq.) or
any similar legislation.
Section 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the
United States, State of Idaho, or any regulatory body having jurisdiction thereof.
Section 10:Agreement Not to Compete — Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance
hereof the City agrees not to engage in the business of distributing and selling gas
during the life of this franchise or any extension thereof in competition with the Grantee,
its successor and assigns; but nothing herein contained shall be construed or deemed
to prevent the City from exercising at any time any power of eminent domain granted to
it under the laws of the State of Idaho.
Section 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the
distribution and sale hereunder, Grantee reserves the right to surrender this franchise
and in the event of such surrender prior to any expiration or termination of this
franchise, or in any of such events, Grantee reserves the right to salvage all of its plant,
works and facilities, and will restore City's streets and alleys damaged by such salvage
operation.
Section 12: Written Acceptance
The Grantee shall within thirty (30) days after the passage and publication of this
ordinance, file with the City Clerk its acceptance of this franchise in writing signed by its
proper officers and attested by its corporate seal.
Section 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is
required by law.
ORDINANCE NO.25-615 4 of 6
Section 14: Forfeiture
Any material violation by the Grantee, its vendee, lessee or successors of the provisions
of this ordinance, franchise and grant or any material portions thereof or the failure
promptly to perform any of the provisions thereof shall be cause for the forfeiture of this
franchise and grant and all rights hereunder should Grantee fail to cure such violation
within sixty (60) calendar days of City's providing Grantee written notice, which shall be
served upon Grantee by registered mail on its Region Director at 555 South Cole Road,
Boise, ID 83709, or if not reasonably capable of being cured within sixty (60) calendar
days, within such other reasonable period of time as the parties may agree. This
provision shall not prevent the Grantee from submitting such question of forfeiture to
proper court determination.
Section 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be
unconstitutional or invalid, the same shall not affect the validity of any other part or parts
hereof which can be given effect without the part or parts adjudged to be
unconstitutional or invalid. The City declares that it would have passed the remaining
parts of this ordinance if it had been known that such other part or parts thereof would
be declared unconstitutional or invalid.
Section 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the
same are hereby repealed.
Section 17: Notifications
Whenever this Franchise calls for notice to or notification by any party, the same (unless
otherwise specially provided) shall be in writing and directed to the recipient at the
address set forth in this Section, unless written notice of change of address is provided
to the other party. If the date for making any payment or performing any act is a legal
holiday, payment may be made, or the act performed on the next succeeding business
day which is not a legal holiday. Notices shall be directed to the parties as follows:
To the City: City Clerk
City of Glenns Ferry
110 E 2"d Ave
Glenns Ferry, ID 83623
To IGC: Region Director
Intermountain Gas Company
555 S Cole Road
Boise, Idaho 83709
ORDINANCE NO.25-615 5 of 6
This Ordinance shall take effect and be in force following its passage, approval, and
publication as required by law, and the execution of the "Acceptance and Consent" by
Grantee.
DATED this 14th day of October 2025
CITY OF GLENNS FERRY
William L. Gallo , Mayor
ATTEST:
-1--L, --- C
Brenda Chafin, City Clerk
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY, as the franchisee and 'Grantee' in the ordinance
set forth above, accepts the franchise set forth therein at the time of Grantee's
execution, and agrees to abide by the terms and conditions thereof. Specifically (and
pursuant to I.C. § 50-329A), IGC consents to the three percent (3%) franchise fee
assessed by the City pursuant to this ordinance.
DATED this 21 st day of October , 20 25
By: Eric Martuscelli
Its: VP, Field Operations & Customer
Experience
ORDINANCE NO.25-615 6 of 6
FRANCHISE AGREEMENT
(Gas Transmission and Distribution Services)
This Franchise Agreement ("Agreement") is made and entered into this 2:""-day of
off',2025,by and between the City of Hailey,a municipal corporation("Hailey")and
Intermountain Gas Company("Franchisee").
RECITALS
A. Hailey is a municipal corporation and political subdivision of the State of Idaho, and
has authority to enter into this Agreement. Martha Burke is the duly elected Mayor of Hailey. The
Hailey City Council has authorized the Mayor to execute this Agreement.
B. Franchisee is a duly organized and acting corporation in the State of Idaho. Eric
Martuscelli is the duly appointed and acting VP,Field Operations&Customer Experience and has
the authority to enter into this Agreement.
C. The Franchisee and its employees are independent contractors and are not, under this
Agreement, employees or agents of Hailey.
D. Subject to the terms and conditions set forth herein and Hailey Ordinance No. 1355,
the parties hereto are desirous of entering into a non-exclusive franchise agreement, with
Franchisee providing gas transmission and distribution services within the city limits of Hailey,
Idaho.
E. The parties desire to enter into this Agreement with the Franchisee for the construction
and operation of a Gas Service on the terms set forth herein.
NOW, THEREFORE, in consideration of the mutual covenants, terms, and conditions set
forth herein,the parties agree as follows:
1.
DEFINITIONS
For the purposes of this Agreement,the following terms have the meanings set forth herein:
"Council" shall mean the City Council of the City of Hailey, Idaho.
"Customer" shall mean a person or user of the Gas Transmission and Distribution System who
lawfully receives Gas Service within the Service Area with Franchisee's permission.
"Franchise" shall mean the authorization, or renewal thereof, by Hailey under Hailey Ordinance
No. 1355,or as amended,whether such authorization is designated as a franchise,permit, license,
resolution, contract, certificate or otherwise, authorizing the installation, construction,
maintenance or operation of the gas transmission and distribution system for the purpose of
offering Gas Service.
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"Franchisee" shall mean Intermountain Gas Company, the person to whom the Franchise is
granted by the Council under Hailey Ordinance No. 1355, and the. lawful agent, successor,
transferee or assignee of said person,subject to such conditions as may be prescribed by the City.
"Gas Transmission and Distribution System"shall mean a connected set of transmission and
distribution pipes and appurtenant facilities or equipment designed to provide Gas Services to i
Customers within the corporate limits of Hailey.
"Gas Service" shall mean the furnishing, transmission, distribution and sale of gas, whether
artificial,natural,mixed or otherwise,for heating,domestic, industrial and other purposes and for
transmitting gas into,through and beyond the corporate limits of Hailey,
"Gross Revenues" shall mean any and all receipts and revenues received by Franchisee from all
sales'of gas and transportation charges to Customers receiving the gas within the corporate limits
of Hailey.
"Hailey"shall mean the City.of Hailey,a municipal corporation and political subdivision of the
State of Idaho.
i
"Person"shall mean any individual,firm,partnership,corporation,organization,association,trust,
limited liability company or other legal gntity,e e
"Property of Franchisee" shall mean all property owned, installed or used by Franchisee in the
conduct of its Gas Service business in Hailey under the authority of the Franchise.
"Public Way" shall mean the surface of, and the space above and below, any public street,
highway,freeway,bridge,land path,alley,court, boulevard,sidewalk,parkway,way, lane,drive,
circle,other public rights-of-way,including,but not limited to,public utility easements, dedicated
utility strips or rights-of-way dedicated for compatible uses and any temporary or'permanent
fixtures or improvements located thereon, or other public places now or hereafter held by Hailey
in the Service Area which shall entitle Hailey and the Franchisee to the use thereof for the purpose
of installing,operating,repairing, and maintaining the Gas Service.
"Service Area"shall mean the.present municipal boundaries of Hailey,and shall include any
additions thereto by annexation or other legal means.
"Shall" shall mean mandatory,not merely advisory.
GRANT OF FRANCHISE
Hailey hereby grants to the Franchisee, during the term of this Agreement and Hailey
Ordinance No. 1355, a non-exclusive Franchise which grants the Franchisee the right and
privilege to construct and operate a Gas Transmission and Distribution System in, along,among,
upon,across,above,over,under or in any manner connected with Public Ways within the
Service Area,and for that purpose to erect,install,construct,repair,replace,reconstruct,
maintain, or retain in,on,over,under, upon,across, or along any Public Way and all extensions
2
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thereof and additions thereto,such transmission and distribution pipes and regulator stations,
wires,cables,conductors,ducts, conduits,vaults,manholes,pedestals,amplifiers, appliances,
attachments,power supplies,network reliability units and other related property or equipment as
may be necessary or appurtenant to the Gas Transmission and Distribution System, The
Franchise granted shall not preclude Hailey from granting other or further franchises or permits
or preclude Hailey from using any Public Way or affect its jurisdiction over them or any part of
them, or limit the full power of Hailey to make such changes,as Hailey shall reasonably deem
necessary, including but not limited to the dedication,establishment,maintenance and
improvement of all neNN,Public Ways.
ITT.
TERM
Such right and authority,permission and power is hereby granted for a term of five(5).
years from and after the date of the final acceptance of this Ordinance by the Franchisee,herein
referred tows the primary term.This franchise will automatically renew for successive periods of
ten(10)years unless cancelled at the end of a term by either party by written notice to the other
party no less than 180 days prior to the end of the primary term or the then current successive
term.
IV.
e DUTIES AND RESPONSIBILITIES OF FRANCHISEE
4.1 Conditions of OccupancX. The Gas Transmission and Distribution System
installed by the Franchisee pursuant to the terms hereof shall be located so as.to cause a
minimum of interference with the proper use of Public Ways. Any obstruction in the Public
Way that interferes with the proper use of Public Ways that, after proper notice to Franchisee
demanding removal,shall be removed by Franchisee. All of the Gas Transmission and
Distribution System presently or in the future located,maintained or installed in the Public Ways
within the Service Area shall at all times be maintained in good order and condition,in
accordance with standard engineering practices and in compliance with all applicable safety
codes and lawful governmental regulations.
4.2 Restoration of Public Ways. If during the course of the Franchisee's construction,
operation or maintenance of the Gas Transmission and Distribution System there occurs a
disturbance of any Public Way by the Franchisee or its employees,contractors or agents,the
Franchisee shall not unnecessarily or unreasonably obstruct the use of or damage any Public
Way, and shall within a reasonable time as early as practicable replace and restore such Public
Way to a condition reasonably comparable to the condition of the Public Way existing
immediately prior to such disturbance and in accordance with applicable city standards.
Franchisee shall guarantee such restored portions of the Public Ways and will repair any damage
caused by Franchisee for a period of three years after the repair.
4.3 Relocation at Request of Hail The Franchisee shall,at its sole expense,
protect, support,raise,lower,temporarily disconnect,relocate in or remove from the Public
Way,as.necessary,any of the Property of Franchisee when lawfully requested by Haileyfor a .
public purpose. The request to relocate by Hailey shall be preceded by the receipt of reasonable
3
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advance written notice,not to be less than six months,except in an emergency in which case
shall be preceded by such notice as is practicable. Whenever Hailey shall pave or repave a
Public Way, shall change the grade or line of any Public Way or shall construct or reconstruct
any conduit,sewer or water main,sewer or water connection or other public works or utility, it
shall be the duty of the Franchisee when requested by Hailey to change any portion of the Gas
Transmission and Distribution System or other property of Franchisee in the Public Way at its
own expense so as to conform to the established grade or line of the Public Way and so as not to
interfere with the conduits.,sewer or water main,sewer or water connection or other public
works or utility as constructed or reconstructed;however,Franchisee shall not be required to
relocate pipes,mains and appurtenances when the Public Way in which they are located is
vacated for the convenience of abutting property owners and not as an incident to the public
improvement,unless the reasonable cost of such relocation and the loss and expenses resulting
therefrom is first paid to Franchisee. The City shall make a reasonable effort to avoid the need
for such moving or changing whenever possible. In the event federal,state or other funds are
available in whole or in part for utility relocation or alteration purposes,Hailey may apply for
such funds and the Franchisee will be reimbursed to the extent any such funds are actually
expended.
4.4 Permit R uired. Franchisee shall secure all necessary permits within the Public
Ways within the Service Armand shall be subject to all applicable ordinances,but no fee shall
be required of Franchisee for any such permit.
e
V.
REGULATION BY HAILEY
The Franchisee shall pay to Hailey a franchise fee equal to three percent(3%)of Gross
Revenues received by the Franchisee from the operation of the Gas Transmission and
Distribution System to provide Gas Services on a quarterly basis. The quarterly payment for the
franchise fee shall be due and payable at the end of the calendar quarter which shall terminate at
midnight on March 31,June 30, September 30 and December 31 of each year, Each quarterly
payment shall be paid within thirty(30)days after the end of each calendar quarter and shall be
accompanied by a brief report from a representative of the Franchisee showing the basis for the
computation. Such quarterly payments shall be in lieu of taxes,fees or charges(other than ad
valorem taxes)related to easements,franchises,rights-of-way,permits,utility lines and
equipment installation,maintenance and removal during the term of Franchisee's franchise with
Hailey,which Hailey may impose for the rights and privileges herein granted or for the privilege
of doing business within Hailey. All sums which become delinquent shall accumulate interest
established by the Idaho Public Utility Commission for customer deposits,as may be amended.
The accrual of interest is not intended to waive or in any manner restrictHailey's ability to elect
any procedure or method of collection permissible by Iaw or under this Agreement to enforce all
j
the terms and conditions of this Agreement and the Franchise.
VI.
BOOKS AND RECORDS
Upon reasonable advance notice,the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments.required herein during the normal
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business hours of Grantee. The Grantee shall furnish,upon request,the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions.The City shall make every reasonable effort to maintain the confidentiality of any
trade secrets or other proprietary information(such as proprietary maps and other mapping
information)provided pursuant to this Section, including execution of a data sharing agreement
with Grantee.Any map supplied shall not be used for locating gas facilities with the intent of
excavating.Prior to excavating,the City shall request line locates per the requirements of Idaho
Statutes Title 55 Chapter 22 Underground Facilities Damage.Prevention.
V1I.
INSURANCE AND INDEMNIFICATION
7.1 Insurance Requirements.The Franchisee shall maintain in full force and effect or
self-insure,at its sole cost and expense, during the term of this Agreement,commercial general
liability insurance for the purpose of protecting Hailey against liability for loss or damage,for
bodily injury,property damage,personal injury,death;and errors and omissions,relating to the
operations of the Franchisee under this Agreement or the Franchise. Such policy shall provide
insurance against property damage in an amount not less than$1,000,000.00 and bodily injury
with limits ofnot less$1,000,000.00 per person and $2,000,000.00 total for each occurrence;
provided,however,the minimum limits of insurance as.set forth herein shall be automatically
increased at any time the liability limits of Hailey are increased pursuant to the Idaho Tort
Claims Act(Idaho Code Sections 6-901 et seq.). Franchisee.shall provide thirty(30) days
written notice prior to cancellation. Franchisee shall also secure and maintain at least the
statutory amounts of worker's-compensation in accordance with the laws of the State of Idaho.
The Franchisee shall provide evidence of acceptable insurance at limits listed above to City
Clerk, City of Hailey, 1.15 Main Street So., Suite H,Hailey,Idaho 83333, The Franchisee may
opt to self-insure.
7.2 Indemnification/Hold Harmless,
A. The Franchisee covenants and agrees to indemnify,defend and hold
Hailey harmless from and against any and all claims,demands,causes of action,suits, losses,
liabilities, damages,costs and expenses,including attorney fees,sustained.by Hailey to the
extent resulting from negligence on the part of the Franchisee in the construction, operation or
maintenance of its gas system in the City.. Hailey shall notify, in writing,Franchisee within ten
(10) days after presentation of any claim or demand,either by suit or otherwise,made against
Hailey caused by any of the aforesaid acts or omissions on the part of the Franchisee. Franchisee
shall thereupon have the duty to appear and defend any such demand, claim,suit or action on
behalf of Hailey,without cost or expense to Hailey.
B. Hailey covenants and agrees to indemnify,defend and hold Franchisee
harmless from and against any and all claims, demands,causes of action,suits, losses, liabilities,
damages, costs and expenses, including attorney fees, sustained by Franchisee and caused,
directly or indirectly,by any act or omission on the paid:of Hailey, its agents,employees,assigns
or anyone subcontracting with Hailey,in the installation, construction,operation, or maintenance
of the Gas Transmission and Distribution System. Franchisee shall notify, in writing,Hailey
within ten(10)days after presentation of any claim or demand, either by suit or otherwise,made
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against Franchisee caused by any of the aforesaid acts or omissions on the part of Hailey. Hailey
shall thereupon have the duty to appear and defend any such demand,claim,suit or action on
behalf of Franchisee,without cost or expense to Franchisee.
VIII.
ANNEXATION
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In the event Hailey annexes additional territory during the term of this Agreement,the
Franchisee shall have the non-exclusive authority and privilege to engage in Gas Services,in the
annexed territory.for the remainder of the term of this Agreement, i
IX.
DEFAULT AND REMEDIES
9.1 Termination for Cause. Either party may terminate this Agreement for cause if
the other party fails to perform or defaults on any of the material duties or responsibilities set
forth in this Agreement.
9.2 Corrective Action. If the either party finds that the other party has failed to
perform or defaulted on any or all of the material duties or responsibilities set forth in this
Agreement,the non-defaulting party steal)provide defaulting party a written"Notice of Default"
in accordance with-paragraph 10.13 of this Agreement. The Notice of Default shall describe
with sufficient detail the defaulting party's failure to perform and/or default. The defaulting
party shall have a period of sixty(60)days from the receipt or delivery of the Notice of Default
to correct the failure to perform or default,which shall be extended so long as the defaulting
party has commenced a cure and diligently pursues the same. If the defaulting party fails to
correct the failure to perform and/or default within such time frame,the non-defaulting party
may terminate this Agreement. If Hailey terminates this Agreement,Hailey may revoke the
Franchise in accordance with the procedures described in paragraph 9.4 of this Agreement.
9.3 Enforcement. Subject to applicable federal and state law, in the event either party
is in default of any provision of the Franchise,the other party may:
A. Seek specific performance of any provision that reasonably lends itself to
such remedy,as an alternative to damages;
B. Commence an action at law for monetary damages or seek other equitable
relief; and/or
C. In the case of a substantial default of a material provision of this
Agreement or the Franchise,seek to terminate this Agreement and revoke the Franchise in j
accordance with Section 9.4 of this Agreement. i
9.4 Revocation.
A. Should Hailey seek to revoke the Franchise after complying with the
procedures set forth in Section 9.2 of this Agreement,Hailey shall give written notice to the
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Franchisee of its intent to terminate this Agreement and to revoke the Franchise("Notice of
Intent to Revoke')based on a substantial default of a material provision of this'Agreement or the
Franchise. The Notice of Intent to Revoke shall contain the following:
(1) A description of the specific nature of the defauh(s);
(2) A statement of intent to revoke the Franchise;
(3) A statement that a public hearing shall be held to consider the
grounds for the termination of this Agreement and the revocation of the Franchise;and
(4) The date,time and place of a hearing.
The public hearing described herein shall be scheduled between ninety(90)days and one
hundred twenty(120)days from the date of the Franchisee's receipt of the Notice of Intent to
Revolve. The Franchisee shall have ninety(90)days from the receipt of such notice to object in
writing and to state its reasons for such objection.
B. At the designated hearing,Hailey shall give the Franchisee a full and fair
opportunity to state its position on the matter,including without limitation the right to introduce
• evidence,to require the production of evidence,to question witnesses and to obtain a transcript
of the proceeding, after which Hailey shall determine whether this Agreement shall be
terminated and the Franchise revoked. .
C. This provision shall not prevent Franchisee from submitting such question
of revocation to a proper court for determination.
X.
MISCELLANEOUS PROVISIONS
10.1 Paragraph hegAiW. The headings in this Agreement are inserted for convenience
and identification only and are in no way intended to describe, interpret,define or limit the
scope, extent or intent of this Agreement or any of the provisions of the Agreement.
10.2 Provisions Severable. Every provision of this Agreement is intended to be
severable. If any term or provision hereof is illegal or invalid for any reason whatsoever, such
illegality or.invalidity shall not affect the validity of the remainder of the Agreement.
10.3 Rights and Remedies are Cumulative. The rights and remedies provided by this
Agreement are cumulative and the use of any one right or remedy by any party shall not preclude
nor waive its rights to use any or all other remedies. Any rights provided to the parties under this
Agreement are given in.addition to any other rights the parties may have by law, statute,
ordinance or otherwise.
1.0.4' Attorney's Fees. In the event of any dispute with regard to the interpretation or
enforcement of this Agreement, the prevailing party shall be entitled to recover its reasonable
costs and attorneys' fees incurred therein,and on any appeals,and in any bankruptcy proceeding.
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10.5 Successors and Assigns. This Agreement and the terms and provisions hereof
shall inure to the benefit of and be binding upon the heirs,personal representatives,successors
and assigns of the parties hereto.
10.6 Entire Agreement. This Agreement contains the entire agreement between the
parties respecting the matters herein set forth and supersedes all prior agreements between the
parties hereto respecting such matters.
10.7 Governing Law. This Agreement shall be construed in accordance with the laws
of the State of Idaho.
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10.8 Preparation of Agreement. No presumption shall exist in favor of or against any
party to this Agreement as a result of the drafting and preparation of this document.
10.9. No Waiver. No waiver of any breach by either party of the terms of this
Agreement shall be deemed.a waiver of any subsequent breach of the Agreement.
10.10 Counterparts. This Agreement maybe*executed simultaneously in one or more
counterparts,each of which shall be deemed an original,but all of which together shall constitute
one and the dame instrument.
10.11 Amendment. No amendment of this Agreement shall be effective unless the
amendment is in writing,signed by each of the parties. Neither party may unilaterally alter the
material rights and obligations set forth in this Agreement.
10.12 Savings Clause. If any of the provisions of this Agreement shall be held to be
unenforceable or unconstitutional,the remaining provisions shall nevertheless be enforceable.
•10.13 Notices. All notices and demands of any kind which either party hereto maybe
required or desires to serve upon the other party under the terms of this Agreement shall be in .
writing and shall be served upon such other party by personal service, or by leaving a copy of
such notice or demand at the address hereinafter set forth,whereupon service shall be deemed.
complete,or by mailing a copy thereof by certified or registered mail,airmail if the address is
outside the state in which the same is mailed,postage prepaid,with return receipt requested, .
addressed as follows:
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HAILEY: City of Hailey
c/o City Clerk
115 South Main Street
Suite H
Hailey,Idaho 83333
FRANCHISEE: Intermountain Gas Company,Region
Director
555 S. Cole Road
Boise.,Idaho 83709 �
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In case of service by mail,it shall be deemed complete on the day of actual delivery as shown on
the addressee's registry of certification receipt or at the expiration of the third day after the date
of mailing, whichever first occurs. The addresses to which notices and demands shall be
delivered or sent may be changed from time to time by notice served as hereinabove provided by
either party upon the other party.
.10.14 Assignment. The parties agree that this Agreement shall not be assigned, in
Whole or in part,to any other person or entity without the prior written consent of Hailey,which
consent cannot be unreasonably withheld. No such consent shall be required, however, for a
transfer in trust,by mortgage,by other hypothecation,or by assignment of any rights,title, or
interest of the Franchisee in the Franchise or Gas Transmission and Distribution System in order
to secure indebtedness.
10.15 Force Majeure. Neither party shall be liable for failure to perform hereunder, in
whole or in part, due to contingencies.beyond the party's reasonable control, including but not
necessarily limited to acts of God, the public enemy,-fire, floods, epidemics, earthquakes,
quarantine restrictions, and strikes not created by Franchisee, whether now existing or hereafter
created.
10.16 Compliance with Laws. Franchisee shall comply with all applicable federal,state
and local statutes,laws,rules, regulations and ordinances.
10.17 Publication Costs. Franchisee shall assume all costs of publication required by
law for the grant of the Franchise.
10.18 Aareement Not To Compete,Power of Eminent Domain and Other Powers. In
consideration of Franchisee's undertaking hereunder,Hailey agrees not to engage in the business
of distributing and selling gas during the term of the Franchise or any extension thereof in
competition with Franchisee;but nothing herein contained shall be construed or deemed to
prevent Hailey from exercising at any time any power of eminent domain or any other power or
powers granted to it under the laws of the State of Idaho.
16.19 Surrender of Franchise. In the event natural gas at any time shall cease to be
available to Franchisee for the distribution and sale hereunder,Franchisee reserves the right to
surrender the Franchise. Franchisee reserves the right to salvage all of its property and will
restore the Public Ways damaged by such salvage operation to substantially the same order and
condition, as deemed by Hailey, as they were before the salvage was made.
10.20 _Changes,Alterations and Amendments. In the event of an amendment to the
laws,rules or regulations of the State of Idaho or the.Public Utilities Commission of Idaho
applicable to this Agreement and the Franchise,the terms of this Agreement and the Franchise
and the right and privileges thereby conferred and reserved may be changed,altered,amended or
modified upon mutual agreement between Hailey and the Franchisee,which agreement shall not
be unreasonably withheld. i
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IN WITNESS WHEREOF,the parties hereto have executed this Franchise Agreement on
the day and year first above written.
CITY OF HAILEY
By
Martha Burke, Mayor
ATTEST:
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Mary Cone,City Clerk
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FRANCHISEE
Intermountain Gas Company
By:
Name: Eric Martuscelli
Title: VP,Field Operations & Customer Experience
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IN WITNESS WHEREOF, the parties hereto have executed this Franchise Agreement on
the day and year first above written.
CITY OF HAILEY
By
Martha Burke,Mayor
ATTEST:
Mary Cone, City Clerk
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FRANCHISEE
Intermountain Gas Company
By:
Name. Eric Martuscelli
Title: VP,Field Operations&Customer Experience
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AGENDA ITEM SUMMARY
DATE: 12/8/2025 DEPARTMENT: Legal DEPT. HEAD SIGNATURE: CPS/LH
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--SUBJECT: Introduction of Ordinance No.! 1355, a Franchise Agreement with Intermountain Gas
Company.
AUTHORITY: x ID Code 50-329 et seq. ❑ IAR ❑ City Ordinance/Code HMC
(IFAPPLICABLE)
-----------------------------------------------------------------------------------------------------------------------------------------
--BACKGROUND/SUMMARY OF ALTERNATIVES CONSIDERED:
The Franchise Agreement Ordinance was introduced as new business on the October 27, 2025 City
Council Agenda, in compliance with state statute. The Franchise Agreement Hailey has had with
Intermountain Gas Company has been in place since December of 2015, is reaching the end of its term
of ten (10)years. That agreement required Intermountain to pay the City three(3%) of gross billing
revenue. This has resulted in revenues fluctuating between $70,000(2015)to $82,817(2024)with last
year's revenue at$73,105. The proposed new agreement would be on the same financial terms but be
for an initial period of five (5)years, automatically renewed for ten (10) year periods thereafter, unless
cancelled by either party. A strike-underline version is attached to this report, and a clean version is
attached to the proposed Ordinance. We remain on schedule for passage of a Franchise Ordinance:
1) October 27, 2025: Franchise Ordinance introduced to the City Council. No action can be taken
by the Council for at least 30 days, other than establishing a public`hearing date.
2) During this period the Ordinance is published in full at the expense of the franchisee. No
amendments may be made after publication that are less favorable to the City.
3) December 8, 2025: Hold public hearing. Conduct the first reading and waive the second/third
readings. Adoption must be passed by a super majority of the Council (1/2 plus one).
The proposed ordinance has been published in full, as required by law. The ordinance is now back
before council for adoption, waiver of first and second reading, and by title only, proceed with third
reading.
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FISCAL IMPACT/ PROJECT FINANCIAL ANALYSIS:
Budget Line Item# YTD Line Item Balance$
Estimated Hours Spent to Date: Estimated Completion Date:
Staff Contact: Phone#
Comments: NA
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ACKNOWLEDGEMENT BY OTHER AFFECTED CITY DEPARTMENTS: (IFAPPLICABLE)
_x City Attorney _ Clerk/Finance Director _Engineer _ Building
Library _ Planning _Fire Dept. _
Safety Committee _P&Z Commission _Police
Streets _Public Works, Parks _Mayor
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RECOMMENDATION FROM APPLICABLE DEPARTMENT HEAD:
Motion to adopt Ordinance No._1355 , authorize the mayor to sign the proposed franchise
agreement with Intermountain Gas, dispense with the first and second reading and reading in full,
proceed with third reading, by title only, and publication thereof.
FOLLOW-UP REMARKS:
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HAILEY ORDINANCE NO. 1355
AN ORDINANCE OF THE CITY OF HAILEY, IDAHO, GRANTING INTERMOUNTAIN '
GAS COMPANY. A TEN (10) YEAR NON-EXCLUSIVE FRANCHISE TO BUILD,
CONSTRUCT, MAINTAIN AND OPERATE A GAS TRANSMISSION AND DISTRIBUTION
SERVICE IN THE CITY OF HAILEY, IDAHO; PROVIDING FOR RIGHTS AND
OBLIGATIONS OF THE FRANCHISEE AND CITY;PROVIDING FOR THE OBLIGATIONS
OF THE FRANCHISEE'S CUSTOMERS; REQUIRING A FRANCHISE FOR GAS
DISTRIBUTION AND TRANSMISSION SERVICES; PROVIDING FOR EXTENSION OF
THE FRANCHISE IN ANNEXED AREAS; PROVIDING FOR A SEVERABILITY CLAUSE;
PROVIDING FOR A REPEALER CLAUSE; PROVIDING FOR PENALTIES; AND
PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the Hailey City Council finds that Intermountain Gas Company, an Idaho
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corporation, is capable providing gas transmission and distribution services to the citizens of
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Hailey; and
WHEREAS, the Hailey City Council finds that it is in the best interests of the citizens of
Hailey to grant Intermountain Gas` Company a non-exclusive five (5) year, automatically
renewable unless cancelled, for ten (10) year periods, franchise to provide gas transmission and
distribution services to the citizens of Hailey.
BE IT ORDAINED BY THE MAYOR AND THE CITY COUNCIL OF TIIE CITY OF
HAILEY,BLAINE COUNTY, IDAHO:
Section 1. GRANT OF FRANCHISE.
Pursuant to Idaho Code §50-329, the City of Hailey hereby grants to Intermountain Gas
Company("Franchisee"),the authority, right,privilege and non-exclusive franchise for a term of
five (5) years, automatically renewable unless cancelled for ten(10) periods,beginning
December 15, 2025, in accordance and subject to the Franchise Agreement executed by the City
of Hailey and Franchisee on December 8, 2025 and as subsequently amended("Franchise
Agreement")for the term of the franchise granted hereunder(unless otherwise lawfully
terminated in accordance with the terms of the Franchise Agreement),to construct and operate a
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gas transmission and distribution service in,along,among,upon, across, above,over, under or in
any manner connected within public streets, alleys and public ways within the City of Hailey,
and for that purpose to erect, install, construct,repair,replace,reconstruct,maintain, or retain in,
on,over,under,upon, across,or along any public streets,alleys and public ways and all
extensions thereof and additions thereto, such poles,wires,cables,conductors,ducts, conduits,
vaults,manholes,pedestals,amplifiers, appliances, attachments,power supplies, network
reliability units and other related property or equipment as may be necessary or appurtenant to
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the gas transmission and distribution service, and to engage in the business of providing gas
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transmission and distribution services within the corporate limits of Hailey, Idaho.
Section 2. RIGHTS AND OBLIGATIONS OF THE,FRANCHISEE AND
CITY.
A. The Franchisee shall have the right and privilege to use the streets,alleys and
other public right-of-ways within the City of Hailey,in accordance with this Ordinance and the
Franchise Agreement.
B. The City of Hailey is responsible for maintaining the streets, its alleys and its
public ways.in a passable condition.
C. The Franchisee shall provide gas transmission and distribution services in
accordance with this Ordinance and the Franchise Agreement.
D. The Franchisee shall comply with all ordinances of the City of Hailey and all
applicable state and federal laws.
E. Unless otherwise provided in this Ordinance,the specific duties and obligations of
the City of Hailey and Franchisee are more particularly described in the Franchise Agreement.
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Section 3. OBLIGATION OF CUSTOMERS.
Except as otherwise provided in the Franchise Agreement,customers of the Franchisee
shall pay the applicable charge established for gas transmission and distribution services in
accordance with this Ordinance and the Franchise Agreement.
Section 4. FRANCHISE REQUIRED.
It shall be unlawful for any person or legal entity to engage in the business of providing
gas transmission and distribution services over and upon the public right-of-ways within the City
of Hailey,unless the person or legal entity is granted a franchise pursuant to Idaho Code §50-
329.
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Section 5. ANNEXATIONS.
If the City of Hailey annexes additional areas during the term of this franchise,the
Franchisee shall have the non-exclusive authority and privilege to provide gas transmission and
distribution services within the City of Hailey shall extend to the newly annexed area.
Section 6. SEVERABILITY.
Should any section or provision of this Ordinance be declared by the courts to be
unconstitutional or invalid, such decision shall not affect the validity of the Ordinance as a whole
or any part thereof other than the part so declared to be unconstitutional or invalid.
Section 7. REPEALER
Hailey Ordinance No. 1190 is hereby repealed in its entirety and all ordinances or parts of
ordinances in conflict herewith are hereby repealed.
Section 8. PENALTY.
Any person,firm or other legal entity violating any provision of this Ordinance shall be {
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guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not more
than three hundred dollars ($300.00) or imprisonment in the county jail for a period not to
exceed six(6)months, or both such fine and imprisonment. Each day such violation is
committed or permitted to continue shall constitute a separate offense and shall be punishable as
such hereunder.
Section 9. EFFECTIVE DATE.
This Ordinance shall be in full force and effect from and after its passage, approval, and
publication according to law.
PASSED AND ADOPTED BY THE HAILEY CITY COUNCIL AND APPROVED
BY THE MAYOR THIS 3 DAY OF OP—c -2025.
W"MAI
Martha Burke, Mayor
Attest:
Mary Cone,City Clerk ,,
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ORDINANCE NO. 1245
BILL NO. 730
AN ORDINANCE OF THE CITY OF JEROME, IDAHO, GRANTING TO
INTERMOUNTAIN GAS COMPANY A TWENTY (20) YEAR EXTENSION TO ITS
FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A GAS TRANSMISSION
AND DISTRIBUTION SYSTEM; PROVIDING FOR THE USE OF STREETS AND
ALLEYS,AND RULES GOVERNING THE SAME, SUBJECTING THE GRANTEE TO
ALL POWERS OF THE CITY; SETTING FORTH THE RULES OF THE FRANCHISE
AND GRANT, PROVIDING FOR THE RIGHT OF INSPECTION BY THE CITY OF
GRANTEE'S PLANS, ACCOUNTS, AND BOOKS; REQUIRING GRANTEE TO
FURNISH CERTAIN MAPS; SETTING FORTH THE ANNUAL PAYMENT TO THE
CITY, AND THE FILING OF ANNUAL REPORTS WITH THE CITY; REQUIRING
GRANTEE TO INDEMNIFY CITY, AND FILE EVIDENCE OF INSURANCE;
REQUIRING COMPLIANCE WITH SAFETY REGULATIONS; SETTING FORTH AN
AGREEMENT NOT TO COMPETE, RESERVING POWER OF EMINENT DOMAIN;
PROVIDING FOR SURRENDER OF FRANCHISE; GRANTING RIGHT TO SALVAGE;
REQUIRING WRITTEN ACCEPTANCE; PROVIDING FOR CONSENT TO SALE,
ASSIGNMENT OR LEASE; PROVIDING FOR PAYMENT OF PUBLICATION COST;
SETTING FORTH PENALTIES AND FORFEITURES, SEPARABILITY AND REPEAL.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF JEROME,IDAHO;
SECTION 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation, its successors and assigns
(hereinafter collectively referred to as "Grantee") a twenty (20) year extension to the right and
authority to construct, install, maintain and operate a gas transmission and distribution system,
including mains, pipes, conduits, services and other necessary structures and appliances
appertaining in, under, upon, over, across and along the streets, alleys, bridges and public places
within the present and future corporate limits of the City of Jerome, Idaho (hereinafter referred to
as "City") for the furnishing, transmission, distribution and sale of gas, whether artificial, natural,
mixed or otherwise, for heating, domestic, industrial and other purposes and for transmitting gas
into, through and beyond said City.The City represents that it has the sole power and authority to
make this grant of authority and agrees to notify Grantee in writing if the City should cease to have
this power.
SECTION 2: Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and public places
in the City and shall be subject to all applicable ordinances, but no fee shall be required of Grantee
for any such permit. Grantee may, however, open or disturb the streets, alleys, and public places
without a permit if an emergency exists requiring the immediate repair of facilities. The location
or relocation of all facilities shall be made under the supervision and with the approval of such
representatives as the governing body of the City may designate for such purpose, but not so as
unreasonably to interfere with the proper operating of Grantee's facilities and service. Whenever
the City shall pave or repave any street or shall change the grade or line of any street or public
place or shall construct or reconstruct any conduit,water main, sewer or water connection or other
city public works or city utility, it shall be the duty of the Grantee when so ordered by the City to
change its mains, services and other property in the streets or public places at its own expense so
as to conform to the established grade or line of such street or public place and so as not to interfere
with the conduits, sewers and other mains of the City as constructed or reconstructed; however,
the Grantee shall not be required to relocate pipes, mains and appurtenances when the street, alley
or public ground in which they are located is vacated for the convenience of abutting property
owners and not as an incident to the public improvement, unless the reasonable cost of such
relocation and the loss and expenses resulting therefrom is first paid to Grantee. The City will
avoid the need for such moving or changing whenever possible. In the event Federal, State or other
funds are available in whole or in part for utility relocating purposes,the City shall apply for such
funds and the Grantee will be reimbursed to the extent any such funds are actually obtained.
SECTION 3: Grantee Subject to All Powers of City Rules Governing Repair and Reconstruction
of Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers of the
City and all regulatory ordinances adopted pursuant thereto. The Grantee shall not unnecessarily
or unreasonably obstruct the use of or damage any street or alley and shall within a reasonable
time and as early as practicable upon completion of any construction or repair work, restore all
City streets and alleys to the same order and condition as they were before the excavation was
made insofar as reasonably possible.The Grantee shall maintain,repair and keep in good condition
for a period of one year all portions of streets and alleys disturbed by it or its agents. The Grantee
shall be responsible for any obstruction in any street, alley or other public place caused by it in the
operation and maintenance of its properties occurring at any time and shall promptly remove such
obstruction.Any such obstruction which, after proper notice to Grantee demanding removal is not
promptly removed by the Grantee may be taken care of by the City and the costs thereof shall be
charged against Grantee. For purposes of this Section, Grantee's above-ground facilities or
temporary construction materials and equipment shall not be considered an "obstruction".
SECTION 4: Term of Franchise and Grant.
Such right and authority, permission and power are hereby granted for a term of twenty(20)years
from and after the date of the final acceptance of this Ordinance by the Company, herein referred
to as the primary term. This franchise will automatically renew for successive periods of ten (10)
years unless cancelled at the end of a term by either party by written notice to the other party no
less than 180 calendar days prior to the end of the primary term or the then current successive term.
SECTION 5: City Right to Inspection of Grantee's Plans,Accounts and Books—Grantee to
Furnish Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments required herein during the normal
business hours of Grantee. The Grantee shall furnish, upon request, the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions.The City shall make every reasonable effort to maintain the confidentiality of any trade
secrets or other proprietary information (such as proprietary maps and other mapping information)
provided pursuant to this Section, including execution of a data sharing agreement with Grantee.
Any map supplied shall not be used for locating gas facilities with the intent of excavating. Prior
to excavating, the City shall request line locates per the requirements of Idaho Statutes Title 55
Chapter 22 Underground Facilities Damage Prevention.
SECTION 6: Payment to City And Filing of Annual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns, during the
franchise period, shall pay to the City three percent (3%) of the gross receipts received from all
sales of gas by Grantee within the corporate limits of the City through use,operation or possession
of this franchise and grant.
Such payments shall be made on a quarterly basis and shall be in lieu of any and all other fees,
charges, licenses or taxes (other than ad valorem taxes) related to easements, franchises, rights-of
way, utility lines and equipment installation, maintenance and removal during the term of the
public service providers' franchise with the City which the City may impose for the rights and
privileges herein granted or for the privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with the City a report for the
preceding calendar quarter, which report shall contain a statement of all the gross receipts arising
from all sales of gas by said Grantee within the City for the calendar quarter preceding such report,
and at the same time the Grantee shall pay to the City the stipulated percentage of the gross
quarterly receipts due for the calendar quarter which said report is made and filed.
SECTION 7: Grantee Liability- Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the Grantee
shall save the City harmless from all loss sustained by the City on account of any suit,judgment,
execution, claim or demand whatsoever, resulting from negligence on the part of the Grantee in
the construction, operation or maintenance of its gas system in the City. The City shall notify the
grantee's representative in the City within ten (10) days after the presentation of any claim or
demand, either by suit or otherwise, made against the City on account of any negligence as
aforesaid on the part of the Grantee.Nothing herein shall require Grantee to save and hold the City
harmless to the extent any loss sustained by the City is caused by the acts,omissions,or negligence
of the City its agents, representatives, contractors, officers, directors, employees, or other parties
subject to its direction or control.
SECTION 8: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights hereunder,
Grantee shall file with the City Clerk a certificate evidencing the insurance of the Grantee against
property damage in an amount not less than $500,000.00 and bodily injury with limits of not less
than $500,000.00 per person and $1,000,000.00 total for each occurrence. Provided, however, the
minimum limits of insurance as set forth herein shall be automatically increased at any time the
liability limits of the City are increased pursuant to the Idaho Tort Claims Act(Idaho Code Section
6-901 et. seq.)or any similar legislation.
SECTION 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the United States,
State of Idaho, or any regulatory body having jurisdiction thereof.
SECTION 10:Agreement Not to Compete—Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance hereof the City
agrees not to engage in the business of distributing and selling gas during the life of this franchise
or any extension thereof in competition with the Grantee, its successor and assigns; but nothing
herein contained shall be construed or deemed to prevent the City from exercising at any time any
power of eminent domain granted to it under the laws of the State of Idaho.
SECTION 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the distribution and
sale hereunder, Grantee reserves the right to surrender this franchise and in the event of such
surrender prior to any expiration or termination of this franchise,or in any of such events,Grantee
reserves the right to salvage all of its plant,works and facilities, and will restore City's streets and
alleys damaged by such salvage operation.
SECTION 12: Written Acceptance
The Grantee shall within thirty (30) days after the passage and publication of this ordinance, file
with the City Clerk its acceptance of this franchise in writing signed by its proper officers and
attested by its corporate seal.
SECTION 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is required
by law.
SECTION 14: Forfeiture
Any material violation by the Grantee, its vendee, lessee or successors of the provisions of this
ordinance, franchise and grant or any material portions thereof or the failure promptly to perform
any of the provisions thereof shall be cause for the forfeiture of this franchise and grant and all
rights hereunder should Grantee fail to cure such violation within sixty(60)calendar days of City's
providing Grantee written notice, which shall be served upon Grantee by registered mail on its
Region Director at 555 South Cole Road, Boise, ID 83709, or if not reasonably capable of being
cured within sixty (60) calendar days, within such other reasonable period of time as the parties
may agree.This provision shall not prevent the Grantee from submitting such question of forfeiture
to proper court determination.
SECTION 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be unconstitutional or
invalid, the same shall not affect the validity of any other part or parts hereof which can be given
effect without the part or parts adjudged to be unconstitutional or invalid. The City declares that it
would have passed the remaining parts of this ordinance if it had been known that such other part
or parts thereof would be declared unconstitutional or invalid.
SECTION 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the same are
hereby repealed.
SECTION 17: Notifications
Whenever this Franchise calls for notice to or notification by any party,the same(unless otherwise
specially provided) shall be in writing and directed to the recipient at the address set forth in this
Section, unless written notice of change of address is provided to the other party. If the date for
making any payment or performing any act is a legal holiday, payment may be made, or the act
performed on the next succeeding business day which is not a legal holiday. Notices shall be
directed to the parties as follows:
To the City: City Clerk
City of Jerome
152 East Avenue A
Jerome, ID 83338
To IGC: Region Director
Intermountain Gas Company
555 S Cole Road
Boise, Idaho 83709
This Ordinance shall take effect and be in force on Al1 following its passage,
approval, and publication as required by law, and the execution of the "Acceptance and Consent"
by Grantee.
DATED this day of �t�:Ht�"t— , 20_'
CITY OF JEROME
cz— )CL4-a m.�
David M. Davis,Mayor
ST:
r
Bernadette Coderniz, City Clew
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY, as the franchisee and `Grantee' in the ordinance set forth
above,accepts the franchise set forth therein at the time of Grantee's execution,and agrees to abide
by the terms and conditions thereof. Specifically (and pursuant to I.C. § 50-329A), IGC consents
to the three percent (3%) franchise fee assessed by the City pursuant to this ordinance.
DATED this 8th day of_ October , 20 25
-cam^
t3y: Eric Martuscelli
Its: VP, Field Operations &Customer Experience
ORDINANCE NO. 0-2025-019
AN ORDINANCE OF THE CITY OF TWIN FALLS, IDAHO, GRANTING TO
INTERMOUNTAIN GAS COMPANY A TWENTY (20) YEAR EXTENSION TO ITS
FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A GAS TRANSMISSION AND
DISTRIBUTION SYSTEM; PROVIDING FOR THE USE OF STREETS AND ALLEYS,AND
RULES GOVERNING THE SAME, SUBJECTING THE GRANTEE TO ALL POWERS OF f
THE CITY; SETTING FORTH THE RULES OF THE FRANCHISE AND GRANT;
PROVIDING FOR THE RIGHT OF INSPECTION BY THE CITY OF GRANTEE'S PLANS,
ACCOUNTS, AND BOOKS; REQUIRING GRANTEE TO FURNISH CERTAIN MAPS;
SETTING FORTH THE ANNUAL PAYMENT TO THE CITY,AND THE FILING OF ANNUAL
REPORTS WITH THE CITY; REQUIRING GRANTEE TO INDEMNIFY CITY, AND FILE
EVIDENCE OF INSURANCE; REQUIRING COMPLIANCE WITH SAFETY
REGULATIONS; SETTING FORTH AN AGREEMENT NOT TO COMPETE, RESERVING
POWER OF EMINENT DOMAIN; PROVIDING FOR SURRENDER OF FRANCHISE,-
GRANTING RIGHT TO SALVAGE; REQUIRING WRITTEN ACCEPTANCE; PROVIDING
FOR CONSENT TO SALE, ASSIGNMENT OR LEASE; PROVIDING FOR PAYMENT OF
PUBLICATION COST; SETTING FORTH PENALTIES AND FORFEITURES,
SEPARABILITY AND REPEAL,
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF TWIN FALLS,IDAHO;
Section 1: Grant of Authority.
There is hereby granted to Intermountain Gas Company, a corporation, its successors and assigns
(hereinafter collectively referred to as "Grantee") a twenty (20) year extension to the right and
authority to construct, install, maintain and operate a gas transmission and distribution system,
including mains, pipes, conduits, services and other necessary structures and appliances
appertaining in, under, upon, over, across and along the streets, alleys,bridges and public places
within the present and future corporate limits of the City of Twin Falls,Idaho(hereinafter referred
to as "City") for the furnishing, transmission, distribution and sale of gas, whether artificial,
natural, mixed or otherwise, for heating, domestic, industrial and other purposes and for
transmitting gas into,through and beyond said City.The City represents that it has the sole power
and authority to make this grant of authority and agrees to notify Grantee in writing if the City
should cease to have this power.
Section 2:Use of Streets and Rules Governing the Same.
Grantee shall secure a permit for any opening it shall make in the streets, alleys and public places
in the City and shall be subject to all applicable ordinances,but no fee shall be required of Grantee
for any such permit. Grantee expressly acknowledges that some streets within the City are under
the jurisdiction of the Idaho Transportation Department and County Highway Districts, and that
such entity may have fees, rules,regulations, and permit requirements that may be unaffected by
this ordinance.Grantee may,however, open or disturb the streets,alleys, and public places without
a permit if an uncontrolled release of natural gas or an emergency exists requiring the immediate
repair of facilities or restoration of natural gas service. The location or relocation of all facilities
shall be made under the supervision and with the approval of such representatives as the governing
body of the City may designate for such purpose, but not so as unreasonably to interfere with the
proper operating of Grantee's facilities and service. Whenever the City shall pave or repave any
street or shall change the grade or line of any street or public place or shall construct or reconstruct
any conduit, water main, sewer or water connection or other city public works or city utility, it
shall be the duty of the Grantee when so ordered by the City to change its mains,services and other
property in the streets or public places at its own expense so as to conform to the established grade
or line of such street or public place and so as not to interfere with the conduits,sewers and other
mains of the City as constructed or reconstructed; however, the Grantee shall not be required to
relocate pipes,mains and appurtenances when the street, alley or public ground in which they are
located is vacated for the convenience of abutting property owners and not as an incident to the
public improvement, unless the reasonable cost of such relocation and the loss and expenses
resulting therefrom is first paid to Grantee. The City will avoid the need for such moving or
changing whenever possible.In the event Federal, State or other funds are available in whole or in
part for utility relocating purposes, the City may apply for such funds and the Grantee will be
reimbursed to the extent any such funds are actually obtained.
Section 3: Grantee Subject to All Powers of City Rules Governing Repair and Reconstruction of
Streets.
The exercise of privileges herein granted shall be subject at all times to all of the powers of the
City and all regulatory ordinances adopted pursuant thereto. The Grantee shall not unnecessarily
or unreasonably obstruct the use of or damage any street or alley and shall within a reasonable
time and as early as practicable upon completion of any construction or repair work, restore all
City streets and alleys to the same order and condition,as they were before the excavation was
made insofar as reasonably possible.The Grantee shall maintain,repair and keep in good condition
for a period of three years from the completion of work all portions of streets and alleys disturbed
by it or its agents.The Grantee shall be responsible for any obstruction in any street, alley or other
public place caused by it in the operation and maintenance of its properties occurring at any time
and shall promptly remove such obstruction. Any such obstruction which, after proper notice to
Grantee demanding removal is not promptly removed by the Grantee may be taken care of by the
City and the costs thereof shall be charged against Grantee.For purposes of this Section,Grantee's
above-ground facilities or temporary construction materials and equipment shall not be considered
an"obstruction".
$eetion 4:Term of Franchise and Grant.
Such right and authority,permission and power is hereby granted for a term of twenty (20) years
from and after the date of the final acceptance of this Ordinance by the Company, herein referred
to as the primary term. This franchise will automatically renew for successive periods of ten(10)
years unless cancelled at the end of a term by either party by written notice to the other party no
less than 180 calendar days prior to the end of the primary term or the then current successive term.
Section 5: City Right to Inspection of Grantee's Plans,Accounts and Books—Grantee to Furnish
Certain Maps.
Upon reasonable advance notice, the City shall have access to Grantee's records to the extent
necessary to verify the accuracy of the Franchise fee payments required herein during the normal
business hours of Grantee. The Grantee shall furnish, upon request, the City with a complete set
of maps, including plans and profile of the distribution system of the Grantee and any future
extensions.The City shall make every reasonable effort to maintain the confidentiality of any trade
secrets or other proprietary information(such as proprietary maps and other mapping information)
provided pursuant to this Section, including execution of a data sharing agreement with Grantee.
Any map supplied shall not be used for locating gas facilities with the intent of excavating. Prior
to excavating,the City or their contractors shall request line locates per the requirements of Idaho
Statute Title 55 Chapter 22 Underground Facilities Damage Prevention.
Section 6: Payment To City And Filing Of Annual Written Report With The City
As consideration for this franchise and grant said Grantee, its successors and assigns, during the
franchise period, shall pay to the City three percent (3%) of the gross receipts received from all
sales of gas by Grantee within the corporate limits of the City through use,operation or possession
of this franchise and grant,
Such payments shall be made on a quarterly basis and shall be in lieu of any and all other fees,
charges, licenses or taxes(other than ad valorem taxes)related to easements, franchises, rights-of
way, utility lines and equipment installation, maintenance and removal during the tenn of the
public service providers' franchise with the City which the City may impose for the rights and
privileges herein granted or for the privilege of doing business within the City.
The Grantee shall file 30 days after the end of each calendar quarter with'the City a report for the
preceding calendar quarter, which report shall contain a statement of all the gross receipts arising
from all sales of gas by said Grantee within the City for the calendar quarter preceding such report,
and at the same time the Grantee shall pay to the City the stipulated percentage of the gross
quarterly receipts due for the calendar quarter which said report is made and filed.
Section 7: Grantee Liability-Indemnification
It is expressly understood and agreed by and between the Grantee and the City that the Grantee
shall save the City harmless from all loss sustained by the City on account of any suit,judgment,
execution, claim or demand whatsoever,resulting from negligence or intentional acts on the part
of the Grantee in the construction,operation or maintenance of its gas system in the City.The City
shall notify the grantee's representative in the City within ten (10) days after the presentation of
any claim or demand, either by suit or otherwise, made against the City on account of any
negligence as aforesaid on the part of the Grantee. Nothing herein shall require Grantee to save
and hold the City harmless to the extent any loss sustained by the City is caused by the acts,
omissions, or negligence of the City its agents, representatives, contractors, officers, directors,
employees, or other parties subject to its direction or control.
Section 8: Insurance
Upon acceptance of this franchise by Grantee and before Grantee shall have any rights hereunder,
Grantee shall file with the City Clerk a certificate evidencing the insurance of the Grantee against
property damage in an amount not less than$500,000.00 and bodily injury with limits of not less
than $500,000.00 per person and$1,000,000.00 total for each occurrence.Provided,however, the
minimum limits of insurance as set forth herein shall be automatically increased at any time the
liability limits of the City are increased pursuant to the Idaho Tort Claims Act(Idaho Code Section
6-901 et. seq.) or any similar legislation.
Section 9: Safety Regulation Compliance
Grantee shall comply with and conform to all safety regulations promulgated by the United States,
State of Idaho, or any regulatory body having jurisdiction thereof.
Section 10:Agreement Not to Compete—Reserve to City Power of Eminent Domain
In consideration of Grantee's undertaking hereunder as evidenced by its acceptance hereof the City
agrees not to engage in the business of distributing and selling gas during the life of this franchise
or any extension thereof in competition with the Grantee, its successor and assigns; but nothing
herein contained shall be construed or deemed to prevent the City from exercising at any time any
power of eminent domain granted to it under the laws of the State of Idaho.
Section 11: Surrender of Franchise
In the event natural gas at any time shall cease to be available to Grantee for the distribution and
sale hereunder, Grantee reserves the right to surrender this franchise and in the event of such
surrender prior to any expiration or termination of this franchise,or in any of such events,Grantee
reserves the right to salvage all of its plant,works and facilities, and will restore City's streets and
alleys damaged by such salvage operation.
Section 12: Written Acceptance
The Grantee shall within thirty(30) days after the passage and publication of this ordinance, file
with the City Clerk its acceptance of this franchise in writing signed by its proper officers and
attested by its corporate seal.
Section 13: Publication Costs
The Grantee shall assume the cost of publication of this franchise as such publication is required
by law.
Section 14: Forfeiture
.Any material violation by the Grantee, its vendee, lessee or successors of the provisions of this
ordinance, franchise and grant or any material portions thereof or the failure promptly to perform
any of the provisions thereof shall be cause for the forfeiture of this franchise and grant and all
rights hereunder should Grantee fail to cure such violation within sixty(60)calendar days of City's
providing Grantee written notice, which shall be served upon Grantee by registered mail on its
Region Director at 555 South Cole Road, Boise, ID 83709, or if not reasonably capable of being
cured within sixty (60) calendar days, within such other reasonable period of time as the parties
may agree.This provision shall not prevent the Grantee from submitting such question of forfeiture
to proper court determination.
Section 15: Separability
If any part or parts of this ordinance shall be adjudged by the courts to be unconstitutional or
invalid, the same shall not affect the validity of any other part or parts hereof which can be given
effect without the part or parts adjudged to be unconstitutional or invalid.The City declares that it
would have passed the remaining parts of this ordinance if it had been known that such other part
or parts thereof would be declared unconstitutional or invalid.
Section 16: Repeal
All ordinances and parts or ordinances of City in conflict herewith shall be, and the same are
hereby repealed.
Section 17:Notifications
Whenever this Franchise calls for notice to or notification by any party,the same(unless otherwise
specially provided) shall be in writing and directed to the recipient at the address set forth in this
Section, unless written notice of change of address is provided to the other party. If the date for
making any payment or performing any act is a legal holiday, payment may be made, or the act
performed on the next succeeding business day which is not a legal holiday. Notices shall be
directed to the parties as follows:
To the City: City Clerk
City of Twin Falls
203 Main Avenue East
Twin Falls, ID 83301
To IGC: Region Director
Intermountain Gas Company
555 S Cole Road
Boise, Idaho 83709
This Ordinance shall take effect and be in force on , following its passage, approval, and
publication as required by law, and the execution of the"Acceptance and Consent"by Grantee.
DATED this �4�0'day of WL141eY2025
CITY OF TWIN FALLS
Ruth. ierce, Mayor
ATTEST:
Ain L a, #erk
ACCEPTANCE AND CONSENT
INTERMOUNTAIN GAS COMPANY, as the franchisee and `Grantee' in the ordinance set forth
above, accepts the franchise set forth therein at the time of Grantee's execution, and agrees to abide
by the terms and conditions thereof. Specifically (and pursuant to Y.C. § 50-329A), IGC consents
to the three percent(3%) franchise fee assessed by the City pursuant to this ordinance.
DATED this 30th day of November , 2025
By: Eric Martuscelli
Its: VP, Field Operations & Customer Experience