(A) Annual franchise payment. A grantee awarded hereunder shall pay to the grantor an annual fee in an amount as designated in a franchise agreement for the use of the public rights-of-way. Such payment shall be in addition to any other franchise requirement and commence as of the effective date of a franchise awarded hereunder. At the request of the grantor, the grantee shall furnish a statement, certified by an officer of a grantee, reflecting the total amounts of annual gross revenues and all payments, deductions, and computations for the period covered by the payment.
(B) Acceptance by grantor. No acceptance of any payment by the grantor shall be construed as a release or as an accord and satisfaction of any claim the grantor may have for further or additional sums payable as a franchise fee under this chapter or for the performance of any other obligation of a grantee.
(C) Failure to make required payment. In the event that any franchise payment or recomputed amount is not made on or before the dates specified herein, the grantee shall pay as additional compensation:
(1) An interest charge, computed from such due date, at the annual rate equal to the commercial prime interest rate in effect upon the due date or as otherwise established within a franchise awarded hereunder; and
(2) A sum of money equal to 5% of the amount due in order to defray those additional expenses and costs incurred by the grantor by reason of delinquent payment.
(D) Payment computation. Payment due the grantor under this provision shall be computed quarterly, for the preceding quarter as of March 31, June 30, September 30, and December 31. Each quarterly payment shall be due and payable no later than 30 days after the dates listed in the previous sentence. Each payment shall be accompanied by a brief report showing the basis for the computation and such other relevant facts as may be required by the grantor.
(E) Fee payment initiation. Following the issuance and acceptance of a franchise awarded hereunder, a grantee shall initiate franchise fee payments to the grantor at the intervals and rate specified in a franchise agreement.
(2011 Code, § 14.08.090)