§ 4.04.07. Franchise tax.

The manufacture, sale, furnishing, transmission, and distribution of electric power and energy by the power company within the city is hereby declared to be a special privilege and for such privilege the power company shall pay to the city a special tax, charge, or imposition, as follows:

Beginning in January, 1981, and thereafter during the life of this franchise, the grantee shall pay to grantor each month, a franchise fee in an amount equal to 5.2 percent of the preceding month's electric revenues before the application of any adjustment clause as paid to the grantee by consumers located within the corporate limits of the city. Grantor shall have the right to examine and verify, from the records of the grantee any data relating to the gross revenues of grantee from consumers on which said franchise fee is due. In the event of a controversy between the grantor and grantee as to the amount of revenues received by grantee in the city upon which said fee is due, such controversy shall be referred to the state public service commission, or such successor regulatory agency which may have jurisdiction over the grantee, for final determination, and the decision of said commission shall be binding upon both parties hereto.

It is expressly agreed and understood by the grantor and grantee that eh aforesaid payment shall constitute and be considered as complete payment and discharge by the grantee, its successors and assigns, of all license, fees, charges, impositions or taxes of any kind (other than automobile license fees, special millage taxes, general ad valorem taxes and other general taxes applicable to all citizens and taxpayers) which are not or might in the future be imposed by the grantor under authority conferred upon the grantor by law. In the event such other tax or taxes are imposed by grantor, the obligation of the grantee to pay grantor the franchise fee as set forth herein shall immediately terminate.

( Ord. No. 2004-22, § 1 )