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Council grants 10‑year franchise to pipeline operator after public hearing; two members recuse
Summary
After a public hearing and a brief public comment calling for larger community contributions, Southgate’s council approved a clarified 10‑year franchise for the Torrance pipeline company to continue operating an oil pipeline under city streets; two council members recused for appearance reasons.
The City Council voted May 12 to approve a clarified 10‑year franchise agreement to allow Torrance Pipeline Company to continue operating an existing oil pipeline beneath Southgate public rights‑of‑way. Staff said the franchise includes operational, liability and emergency‑response obligations and that federal and state pipeline safety regulators retain inspection and enforcement authority.
Department staff said the franchise would generate approximately $411,000 in franchise fee revenue over the 10‑year term. During public comment a resident urged the council to demand a higher annual contribution from the operator (suggesting $65,000 per year or more), calling the proposed revenue "scraps." Council members discussed potential conflicts or appearances of conflicts: two members announced recusals because of prior employment proximity to the pipeline route or other reasons and left chambers for the vote.
After the recusals, remaining members voted to adopt the franchise. Council and staff noted the city attorney and franchise terms would be revised to reflect the corrected 10‑year term (a clerical error on the agenda referenced five years).
