Oil Pipeline Franchise Fees Raised
Oil pipeline franchise fees are going up in Carson, an action by the City Council that is expected to increase yearly revenues for the financially strapped city by more than $30,000.
The new fees, charged to oil companies for existing pipelines within the city limits, will be based on a rate of $2 per cubic foot, the same rate that had been charged by Los Angeles. Aside from cost-of-living increases, Carson has not increased its base rates since 1983.
City officials said revenue is expected to increase 15%, from $250,000 per year to $287,000. In addition, the fees will be adjusted semiannually, varying with the consumer price index.
In July, the city adopted a $29.1-million 1991-92 spending plan, which is $500,000 lower than last year’s budget.
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.
