The Village of Hamburg municipal gas utility shall acquire the necessary
facilities and either establish necessary functions for or procure contracts
for the maintenance, management, service and billing of the gas energy system
and a supply of gas as are necessary for the creation and operation of the
Hamburg municipal gas utility. The proposed method of constructing, leasing,
purchasing or acquiring the facilities necessary for the operation of the
Hamburg municipal gas utility, if any, together with both the maximum and
the estimated costs thereof, the method of furnishing such service and the
method of obtaining gas supply shall be as follows:
A. Plant and facilities.
(1) The Village of Hamburg municipal gas utility will obtain
access to or acquire the portion of the gas distribution system within the
village, if any, that it is necessary for the village to operate the municipal
gas utility, by purchase, lease or condemnation from that which is currently
owned by the National Fuel Corporation (National), or such other utility that
may be servicing the village, or by obtaining other facilities as necessary.
The Hamburg municipal gas utility will only construct or obtain that equipment
and facilities, if any, which are necessary for the municipal gas utility
to provide gas supply to the users of gas energy in the village, or other
users as the municipal gas utility may provide gas to, and segregate and operate
the municipal gas utility and as may be needed to separate itself from the
National system or to meter the gas supplied to or used by the Village of
Hamburg municipal gas utility.
(2) The maximum and estimated cost of the items set forth in Subsection
A(1) hereof is expected to be not more than $25,000.
(3) The cost of the necessary facilities, if any, and distribution
and any other costs that are necessary for the implementation of the Village
of Hamburg municipal gas utility and the entire costs of the implementation
and operation of the Village of Hamburg municipal gas utility will be paid
from the revenues generated by the Village of Hamburg municipal gas utility.
(4) None of the costs of the implementation or operation
of the Village of Hamburg municipal gas utility shall be included in or have
any effect on the village general budget or the assessment of village property
taxes.
B. Service and maintenance of plant, facilities and distribution
system.
(1) The Village of Hamburg municipal gas utility will obtain
service and maintenance for the equipment and infrastructure of the Hamburg
municipal gas utility, if any, and the other remaining gas distribution and
other equipment that is within the village from national or such other utility
that is providing service in the village, or the existing gas utility for
the time that the utility is mandated to provide those services or it remains
in the best interests of the village to receive the maintenance from that
source, and will otherwise contract out the service and maintenance to other
suitable contractors as necessary or when in the best interests of the village
and the municipal gas utility.
(2) The Village of Hamburg municipal gas utility will obtain
billing and management services by obtaining contracts with suitable and acceptable
maintenance, management, service and billing companies. The contracts will
be supported wherever possible by a performance bond of an amount acceptable
to the village.
(3) The village will also consider and retain the ability
and power to create its own maintenance, management and billing department,
including the equipment, materials and supplies required for that department,
in order to provide billing, service and maintenance to the Village of Hamburg
municipal gas utility if the village deems it to be in the best interests
of the village to do so.
C. Gas supply. The Village of Hamburg municipal gas utility
will obtain its supply of gas by contracting with another utility or supplier
to provide the supply of gas to the municipal gas utility.