2.7 ERMUSR 12-12-2017 - Laserfiche WebLink

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ARTICLE 2 FEES Section 2.1. In consideration of ERMU's agreement to accept ownership of and responsibility for the street lights and related infrastructure within the Transfer Areas, City agrees to pay ERMU a one-time transfer fee of Thirty-Five Thousand Dollars ($35,000), payable on or before the effective date of this Agreement. The transfer fee has been calculated based on the 2017 ERMU Fee Schedule, attached hereto as Exhibit E. Section 2.2. In addition to the transfer fee, City will pay, for each existing, replacement or additional street light within the Transfer Areas, beginning on the effective date of this Agreement, all monthly fees due pursuant to the then effective ERMU Street/Security Light Service Tariff("Tariff') for street lights within ERMU's electric service territory. Pursuant to the Tariff, attached as Exhibit F hereto, fifty-two (52) of the existing street light locations within the Transfer Areas will be subject to a Fifteen Dollar ($15) per month fee, and fifty-six (56) street lights/locations within the Transfer Areas will be subject to a Nine Dollar ($9) per month fee. Monthly street lighting fees shall be billed by ERMU and paid by City pursuant to all ERMU billing procedures and requirements in effect and as subsequently modified or amended. ARTICLE 3 MAINTENANCE AND REPLACEMENT Section 3.1. ERMU shall be responsible for servicing, maintaining, repairing, replacing and supplementing the street lights and related infrastructure within the Transfer Areas and shall do so pursuant to the same policies, requirements and procedures applicable to the existing ERMU street lights in Otsego, as hereafter modified or amended. Section 3.2. In order to make it cost effective for ERMU to service and maintain street lights in the City, it is important that the existing street lights in the Transfer Areas be replaced and/or relocated pursuant to ERMU's scheduling requirements and with equipment that matches ERMU's standardized street lights and related infrastructure. Therefore, ERMU shall have exclusive authority to determine the street light fixture styles for all street lights in the Transfer Areas that are replaced or added, and the schedule pursuant to which street lights will be replaced or relocated. Section 3.3. (i). The City of Elk River is currently contemplating replacing the street lights within downtown Elk River with decorative street lights. If Elk River proceeds with such an upgrade, City may desire to have some or all of the street lights within the Transfer Areas upgraded to match the Elk River decorative street lights. Whether and when such an upgrade could occur would depend on a number of factors, including the costs for such an upgrade, ERMU's schedule for replacing the existing street lights in the Transfer Areas, and ERMU's work load at the time. (ii). If decorative street lights are installed in downtown Elk River, ERMU will, prior to replacing any more street lights in the Transfer Areas, advise City whether there will be an opportunity to replace any of the street lights in the Transfer Areas with decorative street lights and, if so, the cost per street light to do so. If City gives ERMU written notice within 30 days that it would like ERMU to proceed with the decorative street lights and is prepared to pay the costs identified by ERMU to do so, ERMU will be authorized to proceed 2 '3A