(a) In consideration of the rights, power and authority granted by the City, the grantee shall faithfully perform all duties required by the terms of this chapter.
(b) In further consideration of the rights, power and authority granted by the City, the grantee agrees:
(1) To pay to the City a non-refundable application fee in the amount of five thousand dollars ($5,000);
(2) To pay an annual franchise fee to the City. Said fee shall be paid upon the execution of a contract to operate an electrical utility franchise, which shall be executed by the grantee prior to conducting business in the City. To the greatest extent possible, the City will execute similar franchise agreements with each applicant that applies to operate an electrical utility franchise within the City. The City reserves the right to modify said agreement to reflect the uniqueness or particular needs of a particular franchisee and its relationship with the City. If the City deems it necessary to protect the public health, safety, or welfare of its citizens, the City may, in its sole and uncontrolled discretion, modify the uniform contract as it deems appropriate.
(3) The franchisee (grantee) shall pay an annual franchise fee in accordance with the following schedule.
A. For the servicing of one customer, seven hundred fifty dollars ($750.00).
B. For the serving of no less than two and no more nine customers, one thousand dollars ($1,000).
C. For the servicing of ten or more customers, one thousand, five hundred dollars ($1,500).
(c) In the event that the grantee, or any company which is a subsidiary, affiliate or other related company to the grantee, pays a fee, charge or other payment of any kind on a periodic basis (such as monthly, quarterly, annually) to any municipality in the State of Michigan as a condition, or in consideration for the right to transact a local utility business in that municipality, the grantee shall notify the City, in writing, of the details of the fee or periodic charge.
(d) The grantee agrees to abide by any future ordinance(s) of the City, if and when formally adopted, which may require the payment by the grantee of a fee, charge or other payment on a periodic basis (such as monthly, quarterly, annually), provided that any such future ordinance(s) apply equally to all electric franchise holders. The City shall notify the grantee within sixty days of the formal adoption of such an ordinance by the City, at which time the franchise granted by this chapter shall be automatically revoked. Any new franchise granted by the City to the grantee shall be subject to the provisions of such future ordinance(s), and shall require payment of a fee or periodic charge as a condition of the new franchise.
(Ord. 2000-02. Passed 1-18-00.)