(A) The franchisee shall indemnify and hold harmless the city, the City Council and all city employees and commissions, from any suit, claim or demand whatsoever which may be asserted or recovered against it based upon or arising out of the franchisee’s construction, maintenance or operation of the system or any part thereof, including the city’s grant of this franchise to the franchisee, provided that the suit, claim, or demand is not based upon the city’s own intentional or negligent conduct. The city agrees to immediately notify the franchisee, in writing and within five business days, unless notification within five business days would be unreasonable due to extraordinary circumstances, of any claim or suit against the city for which the franchisee may be required to indemnify the city. In the event the franchisee is required to defend the city in connection with this section, the city agrees to tender control of its defense to the franchisee and the franchisee shall have the right to select defense counsel. The city agrees to cooperate in its own defense.
(B) The franchisee shall maintain throughout the life of this franchise public liability, property damage and liability insurance policies naming the city, the City Council and all city employees and commissions as additional insureds, and in the amount of:
(1) For property damage to any one person, $1,000,000;
(2) For property damage in any one occurrence, $1,000,000;
(3) For bodily injury to any one person, $1,000,000; and
(4) For bodily injury in any one occurrence, $1,000,000.
(C) The insurance policies shall be negotiated and paid for by the franchisee. A certificate of coverage shall be provided to the city. The policy shall state that the city shall be notified in writing by the insurer 30 days in advance of any cancellation or termination of the policy.
(Ord. 186, passed 4-17-00)