CHAPTER 10
Franchises
Section 10.01. FRANCHISES REQUIRED. No person, firm or corporation shall place or maintain any permanent or semi-permanent fixtures in, over, upon, or under any street or public place for the purpose of operating a public utility or for any other purpose, without a franchise therefore from the City, except where the City’s authority is preempted by state or federal law; provided, however, that temporary uses such as street vendors, periodic displays and sales of food, beverages and merchandise, facilities for short-term public gatherings and similar enterprises shall be regulated by permit or Council approval as the Council may see fit. A franchise shall be granted only by ordinance, which shall not be an emergency ordinance. Every ordinance granting a franchise shall contain all the terms and conditions of the franchise. The grantee shall bear the costs of publication of the franchise ordinance and shall make a sufficient deposit with the City administrator to guarantee publication before the ordinance is passed.
(Ord. 16-758, passed 6-28-2016)
Section 10.02. TERMS. No exclusive or perpetual franchise shall ever be granted. No franchise for a term exceeding twenty years shall be effective until approved by a majority of the electors voting thereon, except for franchises granted for improvements made upon the property of the Hutchinson Municipal Airport in which case the term of the franchise shall not exceed 99 years.
Section 10.03. PUBLIC HEARING. Except where preempted by state or federal law, the City may regulate any rates, fares or prices to be charged by any public utility. Before any franchise ordinance is adopted or any rates, fares, or prices to be charged by any public utility are fixed by the council, the council shall hold a public hearing on the matter. Notice of such hearing shall be published at least once in the official newspaper not less than ten days prior to the date of the hearing.
Section 10.04. POWER OF REGULATION RESERVED. Except where preempted by state or federal law the council may by ordinance reasonably regulate and control the exercise of any franchise, including the maximum rates, fares, or prices to be charged by the grantee. No franchise value shall be included in the valuation of the grantee’s property in regulating utility rates, fares, or prices under any applicable law, ordinance, or regulation or in proceedings for municipal acquisition or in proceedings for municipal acquisition of the grantee’s property by purchase or eminent domain.
Section 10.05. RENEWALS OR EXTENSIONS. Every renewal or modification of a franchise, including any existing franchise, shall be granted in the same manner as a new franchise.