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HomeMy WebLinkAboutPO 5960: AMEND CODE OF ORDINANCE (SECTION 66-3)P. O. No. 5960 12/03/08 is ORDINANCE NO. AN ORDINANCE AMENDING SUBSECTION (5) OF SECTION 66-3 (A) OF THE CODE OF ORDINANCES AS IT PERTAINS TO- OIL_ AND GAS LEASES AND PROVIDING FOR PUBLICATION WHEREAS, Subsection (5) of Section 66-3 (a) of the Code of Ordinances as it pertains to oil and gas leases reads as follows: "Sec. 66-3. Well Spacing. (a) Permits required. (5) The owners of royalty under leases, non- participating royalty created prior to the execution of .leases, overriding royalties, net profit interests, production payments, and similar interests shall' participate from the production in any well located on a drilling unit in the proportion that the number of surface square feet in the lot, tract, or block affected by such interests bear to the total number of surface square feet in the drilling unit in .which such interests are located. The permittee and other lease owners and the owners of any of such interest, or any of them, shall `be able to alter the obligations as set out in this Section by an Agreement made by 'them in writing, provided that such agreement is not repugnant to the other rules and regulations set out in this chapter." ;and WHEREAS, it is deemed in the best interests of the citizens to amend this Section. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That Subsection (5) of Section 66-3 (a) of z.po5960 , the Code of Ordinances is hereby amended as delineated in Exhibit .~A„ Section 3. That the caption of this Ordinance shall be published at least one (1)-time within ten (10) days after final passage hereof in the official newspaper of the city of Port Arthur. Section 4. That this Ordinance shall take effect immediately after the date of publication. Section 5. That a copy of the caption of this Ordinance be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED on this day of , A.D., 2008, at a Council Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor ' City Council ' NOES: MA ATTEST: ACTING CITY SECRETARY APPROVED AS TO FORM: See Confidential Memo CITY ATTORNEY APPROVED FOR ADMINISTRATION: CITY MANAGER z.Pos96o J EXHIBIT "A" This language will be presented at or before the City Council Meeting z.po5960