§ 121.04 CONDITIONS IN EVERY FRANCHISE.
   All conditions specified in this subchapter shall be a part of every franchise, even though they may not be expressly contained in the franchise:
   (A)   The grantee shall be subject to, and will perform on its part, all the terms of this subchapter, and will comply with all pertinent provisions of the City Charter and city code, as the same may, from time to time, be amended;
   (B)   The grantee shall, in no case, claim, or pretend, to exercise any power to fix fares, rates, and charges; but that fares, rates, and charges shall, at all times, be just, fair, and reasonable for the services rendered, and shall, in all cases, be fixed and, from time to time, changed, unless regulated by an agency of the state in the manner following:
      (1)   A reasonable rate shall be construed to be one which will, with efficient management, normally yield above all operating expenses and depreciation, a fair return upon all money invested;
      (2)   If possible, maximum rates and charges shall be arrived at by direct negotiation with the Council; and
      (3)   If direct negotiations fail to produce an agreement, the Council shall, not less than 30 days before the expiration of any existing rate schedule or agreement, appoint an expert as its representative, the franchisee shall likewise appoint an expert as its representative, and the two of them shall appoint a third person, preferably an expert, and the three of them shall constitute a board of arbitration. The board shall report its findings as soon as possible, and the rates and charges it shall agree upon by majority vote shall be legal and binding, subject only to review by a court of competent jurisdiction upon application of one of the parties.
   (C)   The Council shall have the right to require reasonable extensions of any public service system from time to time, and to make rules and regulations as may be required to secure adequate, and proper, service, and to provide sufficient accommodations for the public;
   (D)   The grantee shall not issue any capital stock on account of the franchise, or the value thereof, and that the grantee shall have no right to receive, upon condemnation proceedings brought by the city to acquire the public utility exercising the franchise, any return on account of the franchise, or its value;
   (E)   No sale, or lease, of the franchise shall be effective until the assignee, or lessee, shall have filed with the city an instrument, duly executed, reciting the facts of the sale or lease, accepting the terms of the franchise, and agreeing to perform all the conditions required of the grantee thereunder;
   (F)   Every grant of a franchise permitting the erection of poles, masts, or other fixtures in the streets, and for the attachment of wires thereto, or for the laying of tracks in, or of, pipes or conduits under the streets or public places, or for placing in the streets, or other public places, any permanent, or semi-permanent, fixtures whatsoever, shall be subject to the conditions that the Council shall have the power to require alterations therein, or relocation or rerouting thereof, as the Council may, at any time, deem necessary for the safety, health, or convenience of the public. Particularly, the Council shall have the power to require the removal of poles, masts, and other fixtures bearing wires, and placing underground all facilities for whatsoever purpose used;
   (G)   Every franchise shall contain a provision granting the city the right to acquire the same in accordance with statute; and
   (H)   The franchisee may be obligated by the city to pay the city fees to raise revenue, or defray increased costs accruing as a result of utility operations, or both, including, but not limited to, a sum of money based upon gross operating revenues, or gross earnings, from its operations in the city.
(Prior Code, § 2.62)