PART 4. PRODUCTION AND TRANSMISSION OF PUBLIC UTILITY COMMODITIES AND SERVICES [3001. - 3255.]

Part 4 added by Stats. 1987, Ch. 680, Sec. 1.

§§ 3001–3255 · 80 sections

1. CHAPTER 1. Gas Producers’ Cooperative Associations §§ 3001–3224 · 76 sections

   1. ARTICLE 1. Definitions §§ 3001–3004 · 4 sections

      • § 3001 Unless the context otherwise requires, the definitions in this article govern the construction of this chapter.
      • § 3002 “Association” means any corporation which is organized pursuant to this chapter. An association is incorporated or organized pursuant to this chapter and is a…
      • § 3003 “Member” includes members of associations without capital stock and holders of common stock in associations which are organized with shares of stock.
      • § 3004 “Gas” means all gas produced in this state, natural or manufactured, except propane, for light, heat, or power.
   2. ARTICLE 2. General Provisions §§ 3021–3031 · 11 sections

      • § 3021 The purpose of this chapter is to do all of the following: (a) Promote, foster, and encourage the intelligent and orderly marketing of gas through cooperation.…
      • § 3022 In enacting this chapter, the Legislature finds and declares as follows: (a) California gas production is an important part of the state’s gas supply. (b) The…
      • § 3023 Associations are “nonprofit,” since they are not organized to make profit for themselves, as such, or for their members, as such, but only for their members as…
      • § 3024 Any provision of law which is in conflict with this chapter does not apply to any association.
      • § 3025 Any exemption under any existing law which applies to gas in the possession, or under the control, of the individual producer, applies equally to gas in the…
      • § 3026 No person, corporation, or association, that is hereafter organized or doing business in this state, may use the word “cooperative” as part of its corporate…
      • § 3027 Any person, corporation, or association which is organized pursuant to any previously existing statute for the purpose of cooperatively selling gas is deemed…
      • § 3028 An association is not any of the following: (a) A conspiracy, a combination in restraint of trade, or an illegal monopoly. (b) An attempt to lessen…
      • § 3029 The marketing contracts and agreements between an association and its members, and any agreements authorized in this chapter, are not illegal, in restraint of…
      • § 3030 The General Corporation Law (Division 1 (commencing with Section 100) of Title 1 of the Corporations Code) applies to each association which is organized…
      • § 3031 It is an unfair trade practice, and unlawful, for any gas corporation to do any of the following: (a) Interfere with, restrain, coerce, or boycott any person…
   3. ARTICLE 3. Purposes § 3051 · 1 section

      • § 3051 Three or more natural persons, all of whom are residents of this state, who are engaged in the production of gas within this state, may form an association…
   4. ARTICLE 4. Articles of Incorporation §§ 3061–3063 · 3 sections

      • § 3061 The articles of incorporation of the association shall show that the signers of the articles of incorporation are engaged in the production of gas, state that…
      • § 3062 Articles of incorporation shall be signed, acknowledged, and filed in the manner which is prescribed by the general laws of this state for domestic…
      • § 3063 The articles of incorporation of any association may be amended in the manner and for the purposes which are authorized by the General Corporation Law…
   5. ARTICLE 5. Bylaws §§ 3081–3092 · 12 sections

      • § 3081 Each association shall, within 30 days after its incorporation, adopt for its government and management a code of bylaws that is not inconsistent with this…
      • § 3082 The bylaws may prescribe the time, place, and manner of calling and conducting meetings. Meetings of members shall be held at the place specified in the bylaws…
      • § 3083 The bylaws may prescribe the number of stockholders or members which constitutes a quorum.
      • § 3084 The bylaws may prescribe the right of members to vote by proxy or by mail, or both; the conditions, manner, form, and effects of their votes; the right of…
      • § 3085 The bylaws may prescribe the number of directors which constitutes a quorum.
      • § 3086 (a) The bylaws may prescribe the qualifications, compensation, duties, and term of office of the directors and officers and the time of their election. (b) The…
      • § 3087 The bylaws may prescribe penalties for violations of the bylaws.
      • § 3088 The bylaws may prescribe the amount of entrance, organization, and membership fees, if any; the manner and method of collection of these fees; and the purposes…
      • § 3089 The bylaws may prescribe the amount which each member shall be required to pay annually, or from time to time if at all, to carry on the business of the…
      • § 3090 The bylaws may prescribe the amount of any dividends which may be declared on the stock or membership capital, which shall not exceed 8 percent per annum,…
      • § 3091 The bylaws may prescribe the number and qualification of members of the association and the conditions precedent to membership; the method, time, and manner of…
      • § 3092 The bylaws may prescribe the manner of determining the value of a member’s interest and provision for its purchase by the association upon the death or…
   6. ARTICLE 6. Directors and Management §§ 3101–3110 · 10 sections

      • § 3101 The affairs of the association shall be managed by a board of not less than three directors who are elected by the members.
      • § 3102 The bylaws may provide that the territory in which the association has members shall be divided into districts and that directors shall be elected from the…
      • § 3103 The bylaws may provide that primary elections shall be held to nominate directors. If the bylaws provide that the territory in which the association has…
      • § 3104 The bylaws may provide that the territory in which the association has members shall be divided into districts and that the directors shall be elected by…
      • § 3105 The bylaws may provide that one or more directors may be appointed by any public official or commission or by the other directors selected by the members.…
      • § 3106 The bylaws may provide for an executive committee and may delegate to the committee all the functions and powers of the board of directors, subject to the…
      • § 3107 The association may provide a fair remuneration for the time which is actually spent by its officers and directors in its service and for the service of the…
      • § 3108 If a vacancy on the board of directors occurs except by expiration of a term, the remaining members of the board, by a majority vote, shall fill the vacancy…
      • § 3109 The directors shall elect a president, one or more vice presidents, a secretary, a treasurer, and any other officers that may be prescribed by the bylaws. Any…
      • § 3110 Any member may bring charges against an officer or director by filing them, in writing, with the secretary of the association, together with a petition which…
   7. ARTICLE 7. Powers §§ 3121–3131 · 10 sections

      • § 3121 An association may engage in any activity in connection with the selling, transporting, or storing of gas which is produced and delivered to it by its members;…
      • § 3122 An association may borrow without limitation as to amount of corporate indebtedness or liability and may make advances to members.
      • § 3123 An association may act as the agent or representative of any member in any of the activites specified in Section 3171 or 3172.
      • § 3124 An association may purchase or otherwise acquire, hold, own, and exercise all rights of ownership in, sell, transfer, pledge, or guarantee the payment of…
      • § 3125 An association may establish reserves and invest the funds of the reserves in bonds or in any other property as may be provided in the bylaws.
      • § 3126 An association may buy, hold, and exercise all privileges of ownership of real or personal property as may be necessary or convenient for the conduct and…
      • § 3127 An association may levy assessments in the manner and in the amount as may be provided in its bylaws.
      • § 3128 An association may do all of the following: (a) Do each and every thing which is necessary, suitable, or proper for the accomplishment of any of the purposes,…
      • § 3130 An association may organize, form, operate, own, control, and have an interest in, own stock of, or be a member of any other corporation, with or without…
      • § 3131 An association may, upon resolution adopted by its board of directors, enter into all necessary and proper contracts and agreements and make all necessary and…
   8. ARTICLE 8. Financial Provisions §§ 3151–3154 · 4 sections

      • § 3151 (a) Any share or membership issued by an association is exempt from Part 2 (commencing with Section 25100) of Division 1 of Title 4 of the Corporations Code if…
      • § 3152 If an association issues nonpar value stock, the issuance of that stock shall be governed by the terms of all general laws which cover the issuance of nonpar…
      • § 3153 If an association with preferred shares of stock purchases the stock or any property, or any interest in any property, of any person, it may discharge the…
      • § 3154 The board of directors of an association shall cause to be sent to the members of the association, not later than 120 days after the close of the fiscal or…
   9. ARTICLE 9. Members §§ 3171–3181 · 11 sections

      • § 3171 Under the terms and conditions which are prescribed in the bylaws adopted by it, an association may admit as members or issue common stock to only those…
      • § 3172 If a member of a nonstock association is other than a natural person, that member may be represented by any individual, associate, officer, manager, or member…
      • § 3173 Any association may become a member or stockholder of any other association.
      • § 3174 If a member of an association which is established without shares of stock has paid the prescribed membership fee in full, the member shall receive a…
      • § 3175 An association shall not issue a certificate for stock to a member until it has been fully paid for. The promissory notes of the members may be accepted by the…
      • § 3176 An association, in its bylaws, may limit the amount of common stock which any member may own.
      • § 3177 The bylaws shall prohibit the transfer of the common stock or membership certificates of the associations to any person that is not qualified to be a…
      • § 3178 The association may, at any time, as specified in the bylaws, except when the debts of the association exceed 50 percent of its assets, buy in or purchase its…
      • § 3179 A member is not liable for the debts of the association in an amount which exceeds the sum which remains unpaid on the member’s or stockholder’s membership fee…
      • § 3180 No public utility, corporation holding a controlling interest in a public utility, or subsidiary or affiliate of a public utility may be a member of an…
      • § 3181 No producer of gas owning or controlling petroleum refining capacity of 100,000 or more barrels per day in California, or a producer of gas owned or controlled…
   10. ARTICLE 10. Marketing Contracts §§ 3201–3206 · 6 sections

       • § 3201 The association and its members may make and execute marketing contracts which require the members to sell, for any period of time not to exceed the productive…
       • § 3202 The contract may provide that the association may sell or resell any gas which is delivered by its members, with or without taking title to the gas, and pay…
       • § 3203 Notwithstanding any provision of the Civil Code, a contract which is entered into by a member of an association which provides for the delivery to the…
       • § 3204 The bylaws or the marketing contract may fix, as liquidated damages, specific sums to be paid by the member to the association for the breach of any provision…
       • § 3205 If there is a breach or threatened breach of a marketing contract by a member, the association may file an action for an injunction to prevent the further…
       • § 3206 In any action upon a marketing agreement, it is conclusively presumed that a landowner, landlord, or lessor is able to control the delivery of any gas which is…
   11. ARTICLE 11. Reorganization of Corporations Organized Pursuant to Other Laws §§ 3221–3224 · 4 sections

       • § 3221 Any corporation which is organized or existing pursuant to any other law may be brought under this chapter by amending its articles of incorporation, in the…
       • § 3222 Articles of incorporation are deemed to conform to this chapter within the meaning of Section 3291 in both of the following cases: (a) It is provided or…
       • § 3223 If the amended articles conform, as provided in Section 3222, provisions in the articles of incorporation that appeared in the original articles or some…
       • § 3224 This article applies retrospectively as well as prospectively, and may be availed of by a corporation regardless of the time of incorporation, whether prior or…
2. CHAPTER 2. Gas Producer Acquisition of Easement Rights §§ 3250–3255 · 4 sections

   1. ARTICLE 1. Definitions §§ 3250–3252 · 3 sections

      • § 3250 Unless the context otherwise requires the definitions in this article govern the construction of this chapter.
      • § 3251 “Person” means an individual, partnership, limited liability company, or corporation, but does not include an association, as defined in Section 3002.
      • § 3252 “Natural gas” means all gas produced in this state, natural or manufactured, except propane, for light, heat, or power.
   2. ARTICLE 2. Acquisition of Easement Rights § 3255 · 1 section

      • § 3255 (a) A person involved in the production of natural gas may buy, hold, and exercise all privileges of ownership of real or personal property as may be necessary…