§ 3. FRANCHISE ASSIGNMENT, SALE, OR LEASE.
   (A)   (1)   Grantee shall not have the right to assign, sell, lease, or otherwise transfer in any manner whatsoever either the rights and privileges granted under this ordinance or the distribution system installed, operated, and maintained hereunder, except as hereinafter provided. Any assignment, sale, lease, or other transfer by the grantee of the franchise granted herein or the distribution system installed, operated, and maintained hereunder shall be a breach of this franchise by the grantee, ineffective and void unless:
         (a)   The proposed assignment, sale, lease, or transfer shall be in writing;
         (b)   The prospective assignee, buyer, lessee, or other transferee shall agree in writing to accept and become responsible for full performance of all conditions, covenants, obligations, and liabilities contained in this ordinance; and
         (c)   Such writing shall be submitted to the City Clerk in writing and approved by the Mayor and City Council of the city.
      (2)   This subsection (A) shall not apply to any lease or other arrangement referenced by the provisions of subsection (B) below. This subsection (A) shall not apply to any use of any portion of grantee’s distribution system for the transportation, distribution, or sale to any consumer purchasing, receiving, and using natural gas outside the corporate limits of the city.
   (B)   Grantee shall have the right to enter into or continue to operate pursuant to any lease of capacity in any portion of its distribution system and to enter into or continue any arrangement by which natural gas owned by any party other than grantee shall be transported, distributed, or sold through any portion of grantee’s distribution system for delivery to any consumer within the corporate limits of the city.
(Prior Code, Appendix C, Article II, § 3) (Ord. 809, passed 3-16-1994)