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ORDINANCE # 16:Board of Water and Light Franchise
ORDINANCE NO. 16
LANSING BOARD OF WATER AND LIGHT
ELECTRIC FRANCHISE ORDINANCE
AN ORDINANCE, granting to LANSING BOARD OF WATER AND LIGHT, its successors and assigns, the right, power and authority to construct, maintain and commercially use electric lines consisting of towers, masts, poles, crossarms, guys, braces, feeders, transmission and distribution wires, transformers and other electrical appliances on, under, along and across the highway, streets, alleys, bridges and other public places, and to do a local electric business in the CHARTER TOWNSHIP OF WATERTOWN, CLINTON COUNTY, MICHIGAN, for a period of twenty (20) years.
THE CHARTER TOWNSHIP OF WATERTOWN, CLINTON COUNTY, MICHIGAN ORDAINS:
SECTION I. GRANT, TERM. The Charter Township of Watertown, Clinton County, Michigan, hereinafter called the Charter Township, hereby grants the right, power and authority to the Lansing Board of Water and Light, a municipal utility operating under the laws of the State of Michigan, its successors ad assigns, hereinafter called the “Grantee,” to construct, maintained and commercially use electric lines consisting of towers, masts, poles, crossarms, buys, braces, feeders, transmission and distribution wires, transformers and other electrical appliances, for the purpose of transmitting, transforming and distributing electricity on, under, along and across the highways, streets, alleys, bridges, and other public places, and to do a local electric business in the Charter Township of Watertown, Clinton County, Michigan, for a period of twenty (20) years.
SECTION II. CONSIDERATION. In consideration of the rights, power and authority hereby granted, said Grantee shall faithfully perform all things required by the terms hereof.
SECTION III. CONDITIONS. All of Grantee’s towers, masts and poles shall be neat and sightly, and so placed on either side of the highways, streets, alleys and bridges as not to unnecessarily interfere with the use thereof for highway, street and alley purposes. The Grantee will furnish the Charter Township with a copy of each pole permit and associated sketch which is furnished to the Clinton County Road Commission at the time such request is made. Upon approval of such permit by the Clinton County Road Commission, the Grantee shall provide a copy of the pole permit to the Charter Township. All of Grantee’s wires carrying electricity shall be securely fastened so as not to endanger or injure persons or property in said highways, streets and alley, and shall be done so as not to interfere with the use thereof, and when completed, the same shall be left in as good condition as when work was commenced. The Grantee shall have the right to trim trees if necessary in the conducting of such business, subject, however, to the supervision of the Charter Township.
SECTION IV. HOLD HARMLESS. Said Grantee shall at all time keep and save the Charter Township free and harmless from all loss, costs and expense to which it may be subject by reason of the negligent construction and maintenance of the structures hereby authorized. In case any action is commenced against the Charter Township on account of the permission herein granted, said Grantee shall, upon notice, defend the Charter Township and save it free and harmless from all loss, cost and damage arising out of such negligent construction and maintenance.
SECTION 5. RATES. The rates, rules and regulations governing the supply and use of electricity shall be the same as in the City of Lansing except that the rates shall be increased within the boundaries of the Charter Township by the amount of any taxes, license fees, or any other charges against the Grantee’s property or its operation, or the production and or sale of electrical energy, levied or imposed by the Charter Township. During the term of this franchise or the operation of the electrical system pursuant to this franchise, the Grantee shall, upon resolution of the township Board, pay the Township for the use of its streets, public places and other facilities, as well as the maintenance, improvements and supervision thereof, a franchise fee in an amount of five percent (5%) of the revenue from the retail sale of electric energy by the Grantee within the Township. Similarly, the Township Board may, by resolution, terminate payments of this amount. The initial franchise fee, and shall reflect revenue based on retail sales from 30 days after the effective date of the franchise fee through December 31. Thereafter, estimated payments shall be rendered to the Township quarterly, subject to a year-end reconciliation to actual retail sales revenues as of December 31.
SECTION 6. FRANCHISE NOT EXCLUSIVE. The rights, power and authority herein granted, are not exclusive. The Board of Water and Light recognizes Watertown Township’s right to limit use of its valuable resources through any legal contractual conditions, and Watertown Township recognizes the Board of Water and Light’s right to dispose of its waste by-products through any legal means. However, disposal of the BWL’s flyash in Watertown Township’s existing landfill would only be sought as a last resort, and then only on a temporary basis. In addition, the BWL agrees that for the duration of this franchise, it will not site or file an application for a new landfill permit in Watertown Township.
SECTION 7. REVOCATION. In accordance with the requirements of Construction Codes 1963, Act VII, Sec. 25 of the Michigan Constitution and MCL 460.603; MSA 22.173, this franchise, until confirmed, is revocable at the will of the Charter Township Board. However, the franchise is subject to the confirmation by a majority of the electors of the Township voting thereon at a regular or special township election to be held in the manner provided by law. If the Grantee requests that a special election be held for this purpose, the Grantee will assume all costs associated with said election. If the Grantee requests that the issue be placed on the ballot at a general election, Grantee will pay for the incremental cost of placing the franchise confirmation on the ballot. Upon acceptance in writing by the grantee filed with the Charter Township Clerk and confirmation by said electors, this franchise shall constitute an irrevocable contract by and between the Charter Township and the Grantee.
The Grantee will, upon revocation of the franchise by the Charter Township, remove all facilities owned by the Grantee with the Charter Township paying the undepreciated value plus the cost of removal less the salvage value of all facilities installed thirty (30) years or less.
SECTION 8. COMPANY RULES. The Grantee shall have authority to promulgate such rules, regulations, terms and conditions governing the conduct of its business as shall be reasonably necessary to enable the Grantee to exercise its rights and perform its obligations under this franchise, and to assure uninterrupted service to each and all of its customers. Provided, however, that such rules, regulations, terms and conditions shall not be in conflict with the provisions hereof or of laws of the State of Michigan.
SECTION 9. EFFECTIVE DATE. This ordinance shall take effect upon the day after date of publication thereof, provided however, it shall cease and be of no effect after thirty (30) days from its adoption unless within said period the Grantee shall accept the same in writing filed with the Township Clerk. Upon acceptance and publication hereof, this ordinance shall constitute a contract between said Charter Township and said Grantee.
SECTION 10. PUBLICATION COST. The Grantee shall assume the cost of publication of this franchise.
SECTION 11. Liability and Indemnification. Said Grantee shall at all times keep and save the Township free and harmless from all loss, costs and expense to which it may be subject by reason of the negligent construction and maintenance of the structures hereby authorized. In case any action is commenced against the Township on account of the permission herein granted, said Grantee shall, upon notice, defend the Township and save it free and harmless from all loss, cost and damage arising out of such negligent construction and maintenance.
We certify that the foregoing ordinance was duly enacted by the Township Board of the Charter Township of Watertown, Clinton County, Michigan on the 15th day of May, 1989.
First Reading: April 24, 1989
First Publication: May 2, 1989
Second Reading: May 15, 1989
Second Publication: May 23, 1989