(A) Grant of franchise. The city hereby grants company, for a period of 20 years from the effective date this subchapter, the right to import, manufacture, distribute and sell gas for public and private use within and through the territorial limits of the city as its boundaries now exist or as they may be extended in the future. For these purposes, company may construct, operate, repair and maintain gas facilities in, on, over, under and across the public rights-of- way, subject to the provisions of this subchapter and the public right-of-way regulations as applicable to utility services as set forth in this Code of Ordinances. The company may do all reasonable things necessary or customary to accomplish these purposes, subject however, to such reasonable regulations as may be imposed by the city pursuant to ordinance or permit requirements and to the further provisions of this franchise agreement.
(B) Effective date; written acceptance. This franchise shall be in force and effect from and after the effective date of this subchapter. If the company does not file a written acceptance with the city within 60 days after the effective date of this subchapter, or otherwise informs the city, at any time, that the company does not accept this franchise, the City Council by resolution may revoke this franchise or seek its enforcement in a court of competent jurisdiction.
(C) Service and gas rates. The service to be provided and the rates to be charged by company for gas service with the city are subject to the jurisdiction of the Commission.
(D) Publication expense. Company shall pay the expense of publication of this subchapter.
(E) Dispute resolution. If the city or company asserts that the other is in default in the performance of any obligation hereunder, the complaining party shall notify the other party of the default and the desired remedy. The notification shall be written. Representatives of the parties must promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not resolved within 30 days of the written notice, the parties shall jointly select a mediator to facilitate further discussion. Mediation must occur within 90 days after selection of the mediator. The parties will equally share the fees and expenses of the mediation. If the parties are unable to agree on the selection of a mediator or are unable to resolve the dispute within 90 days after first meeting with the selected mediator, either party may commence an action in Dakota County District Court to interpret and enforce this subchapter or for such other relief as may be permitted by law or equity. The mediator shall not be permitted to testify and no evidence of statements or documents used in the mediation shall be admitted in the district court action.
(F) Continuation of franchise. If the city and the company are unable to agree on the terms of a new franchise by the time this franchise expires, this franchise will remain in effect until a new franchise is agreed upon, or until 90 days after the city or the company serves written notice to the other party of its intention to terminate the franchise. However, in no event shall this franchise continue for more than one year after expiration of the 20-year term set forth in division (A) above.
(Ord. 737, passed 10-23-03)