The annual franchise fee to be paid by the franchisee to the city shall be the greater of:
(A) 5% or more of the franchisee's gross revenue from telecommunications services; or
(B) (1) A fee based on the length of the right-of-way occupied or length of boring drilled expressed in feet multiplied by a base rate of at least $.59 per lineal foot for rights-of-way zero to 20 inches wide and at least $.88 per lineal foot for rights-of-way greater than 20 inches wide plus the height of all above-ground telecommunications equipment expressed in feet multiplied by a base rate of at least $900 per foot, or fraction thereof, for each piece of equipment zero to ten feet in height and at least $1800 per foot, or fraction thereof, for each piece of equipment over ten feet in height. The amount of each annual payment shall be computed and revised each calendar year as follows: the base rate shall be multiplied by the Consumer Price Index for the area, as published by the United States Department of Labor for the month of September immediately preceding the month in which payment is due and payable, and divided by the Consumer Price Index for June 30, 1999, which is declared to be 100.0. If for any reason, this computation is not available, the city shall, in its sole discretion, select a comparable method for adjusting the fee based upon inflation.
(2) Such payments shall be computed from the effective date of the franchise to and including the date of either actual removal of the telecommunications equipment or the effective date of an approved abandonment "in place" authorized by the city. Franchise fees shall be paid quarterly within 60 days after the close of each quarter for which the fees apply. The city shall have the right, but not the obligation, to inspect, at city's expense, franchisee's records to determine franchisee's compliance with this chapter. If any such inspection results in the city's determination that franchisee has underpaid its franchisee fee by more than 5%, then franchisee shall reimburse the city for the city's costs in performing such inspection. Franchise fees impose by this section are in addition to any other fees customarily imposed by the city including, but not limited to, street cut fees and permit fees.
(Ord. 4387, passed 1-24-00)