2.3. ERMUSR 10-8-2019 - Laserfiche WebLink

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Any change in the form of government of the City shall not affect the validity of this Ordinance. Any governmental unit succeeding the City shall, without the consent of Company, succeed to all of the rights and obligations of the City provided in this Ordinance. SECTION 10. FRANCHISE FEE. 10.1 Separate Franchise Fee Ordinance. The City reserves all rights under state law to require a franchise fee, in addition to any permit fees, at any time during the term of this franchise. If the City elects to require a franchise fee, it shall notify Company and negotiate in good faith to reach a mutually acceptable fee agreement, which shall be set forth in a separate ordinance and not adopted until at least 30 days after Notice enclosing such proposed ordinance has been served upon the Company by certified mail. The effective date of any franchise fee and commencement of collecting the fee will be set forth in the separate ordinance. If the City and Company are unable to agree on a franchise fee or on any terms related thereto, each hereby consents to the jurisdiction of State District Court,Hennepin County,to construe their respective rights under the law, subject to all rights of appeal. 10.2 Form. The fee may be (i) a percentage of gross revenues received by the Company for its operations within the City, (ii) a flat fee per customer based on metered service to retail customers within the City or on some other similar basis, or (iii) a fee based on units of energy delivered to any class of retail customers within the corporate limits of the City. The formula for a franchise fee based on units of energy delivered may incorporate both commodity and demand units. The method of imposing the franchise fee, the percentage of revenue rate, or the flat rate based on metered service may differ for each customer class or may combine the methods described in (i)to (iii) above in assessing the fee. The City shall seek to use a formula that provides a stable and predictable amount of fees, without placing the Company at a competitive disadvantage. If the Company claims that the City-required fee formula is discriminatory or otherwise places the Company at a competitive disadvantage, the Company shall provide a formula that will produce a substantially similar fee amount to the City and reimburse the City's reasonable fees and costs in reviewing the formula. The City will attempt to accommodate the Company but is under no franchise obligation to adopt the Company- proposed franchise fee formula and such review will not delay the implementation of the City- imposed fee. 10.3. Condition of Fee. The separate ordinance imposing the fee shall not be effective against the Company unless it lawfully imposes a fee of the same or substantially similar amount on the sale of electric energy within the City by any other electric energy supplier, provided that, as to such supplier,the City has the authority to require a franchise fee. 10.4. Collection of Fee. The franchise fee shall be payable not less than quarterly during complete billing months of the period for which payment is to be made. The franchise fee formula may be changed from time to time, but any change shall meet the same notice requirements and the fee may not be changed more often than annually. The fee shall not exceed any amount that the Company may legally charge to its customers prior to payment to the City. The fee is subject to subsequent reductions to account for uncollectibles and customer refunds incurred by the Company. The Company agrees to make available for inspection by the City at 7 48