(A) Pursuant to Section 29 of Article 7 of the Michigan Constitution of 1963, use of the highways, streets, alleys and other public places for operation of a public utility requires the consent of the village and the transaction of local business in the village by a public utility requires that a franchise first be obtained. This chapter is adopted for the purpose of confirming and providing the process, terms and conditions for suppliers of electricity and natural gas to obtain the required consents and franchises and to fully exercise the village’s constitutional authority which includes the reasonable control of its highways, streets, alleys and public places.
(B) As a result of regulatory changes that have or may occur, and interpretations of existing laws, at the state and federal levels, specifically including the Michigan Public Service Commission (deregulation), the persons that may be authorized to supply electricity and natural gas to customers in the village are no longer limited to the public utility that owns and operates the facilities used to deliver electricity and natural gas to customers. This chapter is adopted in recognition of the deregulations which has and may continue to occur, with the intent and purpose of confirming that all persons supplying electricity or natural gas to customers in the village are required to have a franchise as provided in this chapter, regardless of whether it is required as a condition of state or federal regulatory permits, approvals or certificates.
(C) The village will incur costs and expenses in reviewing and acting on franchise requests, and upon granting a franchise, monitoring and enforcing its terms and conditions. Such costs and expenses should be paid by franchise applicants and holders as provided in this chapter.
(Ord. 19.01, passed 6-12-00)