Agenda - Charter Commission - 10/21/2013

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SECTION 9. ABANDONED FACILITIES. Company shall comply with City ordinances, Minnesota Statutes, Section 216D.01 et seq, and Minnesota Rules Part 7819.3300, as they may be amended from time to time. Company shall maintain records describing the exact location of all abandoned and retired Electric Facilities within the City, and shall produce such records to City at City's request, and shall comply with the location requirements of Section 216D.04 with respect to all Electric Facilities, including abandoned and retired Facilities. SECTION 10. FRANCHISE FEE. 10.1 Fee Schedule. During the term of the franchise hereby granted, and in addition to any permit or other fees that City may impose or has a right to impose, the City may impose in Company a franchise fee, not to exceed an amount set forth in a Fee Schedule adopted by separate ordinance from each customer in the designated Customer Classification for metered service at each and every customer location. The amount of the fees may be amended from time to time by City. The charge shall be applied monthly and shall be billed per account. Company shall, within 30 days of the City's request, provide City with revenue estimates for establishing a fee schedule. 10.2 Separate Ordinance. The franchise fees shall be imposed by separate ordinance duly adopted from time to time by the City Council, and that separate ordinance shall dictate the date upon which collection of that franchise fee shall commence. Section 2.5 shall constitute the sole remedy for solving disputes between Company and the City in regard to the interpretation of, or enforcement of, the separate ordinance. No action by the City to implement a separate franchise fee ordinance will commence until this Ordinance is effective. 10.3 Terms Defined. For the purpose of this Section 10, the following definitions apply: 10.3.1 "Customer Class" shall refer to the classes listed on the Fee Schedule as defined or determined in Company's electric tariffs on file with the Commission. 10.3.2 "Fee Schedule" refers to the schedule in Section 10.1 setting forth the various customer classes from which a franchise fee would be collected if a separate ordinance were implemented immediately after the effective date of this franchise agreement. The Fee Schedule in the separate ordinance may include new Customer Class added by Company to its electric tariffs after the effective date of this franchise agreement, or may be annually amended to reflect changes in the franchise fees imposed by the City. 10.4 Collection of the Fee. The franchise fee shall be payable not less often than quarterly and shall be based on the amount collected by Company during complete billing months during the period for which payment is to be made by imposing a surcharge equal to the designated franchise fee for the applicable customer classification in all customer billings for electric service in each class. The payment shall be due the last business day of the month following the period for which the payment is made. The franchise fee may be changed by ordinance from time to time; however, each change shall meet the same notice requirements and not occur more often than annually and no change shall require a collection from any customer for electric service in excess of the amounts specifically permitted by this Section 10. No franchise fee shall be payable by Company if Company is 6