(A) Indemnification of grantor.
(1) A grantee shall indemnify, defend, and hold harmless grantor, its officers, boards, committees, commissions, elected officials, employees and agents, from and against all liability, damages, and penalties which they may legally be required to pay as a result of the exercise of a franchise granted pursuant to this chapter, except claims covered by worker's compensation insurance or any claims arising from or related to grantor's negligence. Nothing in this chapter relieves a person from liability arising out of the failure to exercise reasonable care to avoid injuring the grantee's facilities while performing work connected with grading, regarding, or changing the line of a street or public place or with the construction or reconstruction of a sewer or water system.
(2) In order for grantor to assert its rights to be indemnified, defended, and held harmless, grantor must with respect to each claim:
(a) Promptly notify a grantee in writing of any claim or legal proceeding which gives rise to such right;
(b) Afford grantee the opportunity to participate in and fully control any compromise, settlement or other resolution or disposition of any claim or proceeding; and
(c) Fully cooperate with reasonable requests of grantee, at grantee's expense, in its participation in, and control, compromise, settlement or resolution or other disposition of such claim or proceeding subject to division (A)(2)(b) above.
(B) Insurance. A grantee shall maintain in full force and effect at its sole expense, a comprehensive general liability insurance policy, including contractual liability coverage, in protection of grantor in its capacity as such. The policies of insurance shall be in the sum of not less than $300,000 for personal injury or death of any one person, and $1,000,000 for personal injury or death of two or more persons in any one occurrence, $300,000 for property damage to any one person and $1,000,000 for property damage resulting from any one act or occurrence.
(C) Franchise fee.
(1) A grantor is authorized to charge grantee a monthly franchise fee up to 5% of the grantee's monthly gross revenue. Grantor may institute this fee by resolution and 90 days' notice to the grantor.
(2) The franchise fee shall be payable monthly, together with a brief report showing the basis for the computation.
(3) The period of limitation for recovery of any franchise fee payable hereunder shall be three years from the date on which payment by grantee is due.
(Ord. passed 9-16-2021)