Electric Franchise Ordinances

Transcription

1 One-Pager Plus Electric Franchise Ordinances Legislation affecting the restructuring of the electric utility industry has begun in other states and is anticipated in the state of Michigan within the next several years. Electrical restructuring will permit customers to purchase their power from third-party providers for delivery through the local utility s system. The Michigan constitution and current statutes raise two specific issues which may be impacted by the new legislation: 1) Is the public utility required to secure the consent of the governmental body for use of its right-of-way? 2) Is the public utility required to obtain a franchise from the governmental body in order to transact business within its jurisdiction? The applicable constitutional and statutory provisions which have provided the basis for local governance of public utility providers include the following: Michigan Constitution of 1963 art 7, sec. 25 art 7, sec. 29 MCL et seq; MSA et seq. (1929 PA 69 Act 69 ) MCL ; MSA A recent Michigan Court of Appeals case which has interpreted the provisions cited above with respect to restructuring is Detroit Edison Company v Michigan Public Service Commission, No (1998). The court of appeals, relying upon art 7, sec. 29 and Act 69 (MCL et seq; MSA et seq.) held that a third-party provider is a public utility required to obtain a franchise from the local governmental body if it intends to use the highways, streets, alleys or other public places, or if it seeks to transact a local business within the governing body. Courts have held that the power to regulate utility rates and services is reserved to the legislature which power has been delegated to the Public Service Commission. (Detroit Edison v PSC). The two attached sample electric franchise ordinances address the issues of use of the governmental right-of-way and transaction of business. Draftors of electric franchise ordinances must carefully consider what issues are significant to any particular municipality. Consideration should be given to the following factors and conditions: 1) type of franchise, i.e., right-of-way use and/or transaction of business 2) term 3) revocability 4) most favored nation clause 5) terms of service to customer 6) price information 7) requirement to provide regular performance reports 8) customer service information 9) characteristics of fuel and emissions 10) avoidance of duplicate electric service lines 11) public safety 12) aesthetics 13) fees 14) non-exclusivity of franchise 15) location of facilities within right-of-way 16) maintenance of facilities Phone ; Fax ; info@mml.org Page 1 of 11

2 Sample Electric Franchise Ordinance No. 1 An ordinance granting to the right, power and authority to market and/or supply electricity and electrical services to customers within the city/village of through and over existing and/or future electrical transmission lines and equipment owned and operated by an authorized public utility and located within the corporate limits of the city/village of for a period of years; to charge for such electricity and electrical services; and to hold the city/village harmless from all claims arising from the granting of said franchise and the operations of the franchise thereunder. SECTION NUMBER 1. GRANT. (A) The city/village of ( Grantor ) hereby grants to, its successors and assigns ( Grantee ) the right, power and authority to market and/or supply electricity and electrical services to customers within the city/village of through and over existing and/or future electrical transmission lines and equipment owned and operated by an authorized public utility under a franchise with the Grantor and located within the corporate limits of the city/village, and to do local electrical business as an electrical power marketer and third-party supplier of electricity in the city/village. (B) The Grantor further grants to the Grantee the right, power and authority to construct and/or maintain electrical equipment in the following circumstances where such construction is necessary to connect the Grantee s customers to facilities owned and operated by an authorized public utility under a franchise with the Grantor and located within the corporate limits of the city/village. SECTION 2. TERM. This franchise shall be for a term of council. years; subject, however, to revocation of the term of the SECTION 3. CONSIDERATION. In consideration of the rights, powers and authority granted, the Grantee shall faithfully perform all things required by this franchise. SECTION 4. CONDITIONS. As an electric power marketer and third-party supplier of electricity and electrical services, the Grantee will not impair, obstruct or attempt to control any street, alley, bridge, highway, waterway or other public place. The Grantee shall at all times utilize the existing transmission lines and equipment owned and operated by an authorized public utility under a franchise with the Grantor, the terms and conditions of which as may be applicable are incorporated by reference, except as otherwise provided in section 1 (B). SECTION 5. HOLD HARMLESS. The Grantee shall at all times keep and save the Grantor free and harmless from all loss, costs and expense to which it may be subject by reason of the operations of the Grantee. In case any action is commenced against the Grantor on account of the permission granted, the Grantee shall, upon notice, defend the Grantor and save it free and harmless from all loss, cost and damage arising out of such negligent construction and maintenance. SECTION 6. FRANCHISE NOT EXCLUSIVE. The rights, power and authority granted by this franchise are not exclusive. Phone ; Fax ; info@mml.org Page 2 of 11

3 SECTION 7. FRANCHISE FEE. The Grantee shall pay to the Grantor a franchise fee in the amount of $ be paid to the Grantor within 30 days from the adoption of this ordinance.. The franchise fee shall SECTION 8. RATES. The Grantee shall be entitled to charge the inhabitants of the city/village for electricity furnished therein at the rate approved by Grantee and its customer(s) and as may be approved by the Michigan Public Service Commission, to the extent such Commission or its successors has the authority and jurisdiction to fix and regulate electric rates and rules regulating such service in the city/village. Such rates and rules shall be subject to review and change at any time upon petition therefor being made by either the Grantor, acting by its council/board, or by the Grantee. SECTION 9. RIGHTS OF THE GRANTOR. The franchise shall be subject to the right of the Grantor: (1) To require proper and adequate extension of plant and service maintenance at the highest practical standard of efficiency; (2) To establish reasonable standards of service and quality of products and prevent unjust discrimination in service or rates; (3) To require service in accordance with the terms of the franchise throughout the entire period; (4) To impose such other regulations as may be determined by the council/board to be conducive to the safety, welfare, and accommodation of the public; (5) To require the Grantee to permit joint use of its property and appurtenances located in the streets, alleys, and public places of the city/village by the Grantor and other utilities insofar as such joint use may be reasonably practicable and upon payment of reasonable rental; provided, that, in the absence of agreement, upon application by the Grantee, the council/board shall provide for arbitration of the terms and conditions of such joint use and the compensation to be paid therefor. The rights of the Grantor shall not be exercised or construed in a manner which conflicts with the express terms and conditions of this franchise nor with the rules and regulations set forth by the Michigan Public Service Commission governing the provision of electric service by Grantee. SECTION 10. VACATION OF RIGHTS-OF-WAY AND RELOCATION OF FACILITIES. The Grantor has the right to vacate any public right-of-way within the Grantor as well as any right to use same possessed by the Grantee, and/or the Grantor may require the Grantee to relocate its lines and facilities at Grantee s expense when such vacation and/or relocation is made necessary to secure the public health and welfare or is otherwise required by the Grantor in the exercise of a governmental function. SECTION 11. REVOCATION. The franchise granted by this ordinance is subject to revocation at will by the Grantor. SECTION 12. JURISDICTION. The Grantee shall be and remain subject to all ordinances, rules and regulations of the Grantor now in effect or which might subsequently be adopted for the regulation of land uses or for the protection of the health, safety and general welfare of the public; provided, however, that nothing shall be construed as a waiver by the Grantee of any or its existing or future rights under state or federal law or a limitation upon the existing or future powers of the Grantor pursuant to its charter or state or federal law. Phone ; Fax ; info@mml.org Page 3 of 11

4 SECTION 13. MICHIGAN PUBLIC SERVICE COMMISSION (A) (B) Jurisdiction. The Grantee shall, as to all other conditions and elements of service not fixed, be subject to the reasonable rules and regulations of the Michigan Public Service Commission or its successors, applicable to electric service in the city/village, to the extent such Commission (or its successors) has such jurisdiction. Filing. The Grantee shall provide the Grantor such copies of all documents which the Grantee sends to the Michigan Public Service Commission and copies of all orders, decisions or correspondence the Grantee receives from the Michigan Public Service Commission. The Grantee shall permit the Grantor to inspect and examine all records the Grantee is required to maintain or file under the rules and regulations of the Michigan Public Service Commission, relating to service under this ordinance. SECTION 14. UNDERGROUND RELOCATION. If the Grantee has its facilities on aboveground utility poles and the owner of said poles relocates its facilities to an underground conduit, the Grantee shall relocate its facilities in the same underground conduit. SECTION 15. EFFECTIVE DATE. This ordinance shall take effect on. It shall, however, cease and be of no effect unless and until 30 days after adoption the Grantee shall file its written acceptance with the clerk. Upon acceptance and publication, this ordinance shall constitute a contract between the Grantor and the Grantee. Clerk Phone ; Fax ; info@mml.org Page 4 of 11

5 Sample Electric Franchise Ordinance No. 2 An Ordinance, granting a non-exclusive franchise to use local public ways and transact local electrical business in the city/village of. Section 1. ORDINANCE NO. THE PEOPLE OF THE CITY/VILLAGE OF Grant of Non-Exclusive Right DO ORDAIN: A. Term. City/Village of (Grantor) grants to its successors and assigns (Grantee), subject to the terms and conditions set forth below, the non-exclusive right, power and authority to use electric lines consisting of towers, masts, poles, cross-arms, guys, braces, feeders, transmissions and distribution wires, transformers and other electrical appliances (hereinafter "Electric System") that are owned either by or by any other electric utility which has the necessary authority from the Michigan Public Service Commission and a valid franchise from Grantor, which Electric System exists on, along, across and under the highways, streets, alleys and bridges of the Grantor (hereinafter "P ublic Ways") and to do local electric business in the city/village of, County, Michigan, for a period of years. B. Expansion of System. After first obtaining approval from Grantor of the route and placement of the Electric System components, which approval shall not be unreasonably withheld, Grantee may expand its use of the Public Ways by constructing and maintaining its own towers, masts, poles, cross-arms, guys, braces, feeders, transmission and distribution wires, transformers and other electric appliances. Any expansion of the Electric System by the Grantee as approved by the Grantor shall be subject to all terms and conditions of this Ordinance, including the requirements of paragraph 3L related to the expansion of the Electric System. C. Location in Public Ways. To the maximum extent possible, Grantee shall place its Electric System on, within and along existing utility facilities in the Public Ways. D. Lease. Grantee shall not lease or sublease any portion of its Electric System within the city/village to a person who by law is required to obtain the city s/village s permission or consent to transaction of business in the Grantor and who lacks such permission or consent. Grantee shall not allow the property of a third party or non-electric system wires or any other facilities to be overlashed, affixed or attached to any portion of its Electric System or allow other actions with a similar result without the written consent of the chief executive officer or that person's designee. Phone ; Fax ; info@mml.org Page 5 of 11

6 Section 2. Consideration; Costs; Right-of-Way Fees. A. In consideration of the rights, power and authority granted by the Grantor, Grantee shall faithfully perform all duties required by the terms of this Ordinance. B. In further consideration of the rights, power and authority granted by the Grantor, Grantee agrees: 1) to pay to the Grantor a non-refundable application fee in the amount of $ ; and 2) to compensate the Grantor: (a) for the amount of its actual expenses incurred by the Grantor in the drafting and preparation of this Ordinance, including reasonable actual attorney fees, and (b) for the amount of its actual expenses resulting from the process of adopting this ordinance. Grantee's total obligation to compensate the City for its actual expenses under this paragraph B shall not exceed $. C. In the event that Grantee, or any company which is a subsidiary, affiliate or other related company to Grantee, pays a fee, charge or other payment of any kind on a periodic basis (such as monthly, quarterly, annually) to any municipality in the State of Michigan as a condition, or in consideration for the right to transact a local utility business in that municipality, Grantee shall notify the Grantor, in writing, of the details of the fee or periodic charge within sixty (60) days of the effective date of the fee or periodic charge, at which time the franchise granted by this Ordinance shall be automatically revoked. Any new franchise granted by the Grantor to Grantee shall require payment of a similar fee or periodic charge as a condition of the new franchise. D. Grantee agrees to abide by any future ordinance(s) of the Grantor, if and when formally adopted, which may require the payment by Grantee of a fee, charge or other payment on a periodic basis (such as monthly, quarterly, annually), provided that any such future ordinance(s) apply equally to all electric franchise holders, including. The Grantor shall notify Grantee within sixty (60) days of the formal adoption of such an ordinance by the Grantor, at which time the franchise granted by this Ordinance shall be automatically revoked. Any new franchise granted by the Grantor to Grantee shall be subject to the provisions of such future ordinance(s), and shall require payment of a similar fee or periodic charge as a condition of the new franchise. Section 3. Use of Public Rights-of-Way by Grantee A. No Burden on Public Ways. Grantee and its contractors, subcontractors and the Grantee's Electric System shall not unduly burden or interfere with the present or future use of any of the Public Ways within the city/village. Grantee shall erect and maintain its Electric System so as to cause minimum interference with the use of the Public Ways and with the rights or reasonable convenience of property owners. No Public Way shall be obstructed longer than necessary during the work of construction or repair to the Electric System. Grantee's cable, wires, structures and equipment shall be suspended or buried so as to not endanger or injure persons or property in the Public Ways. If the Grantor in its reasonable judgment determines that any portion of the Electric System constitutes an undue burden or interference, Grantee at its expense shall modify its Electric System or take such other actions as the Grantor may determine is in the public interest to remove or alleviate the burden, and the Grantee shall do so within the time period established by the Grantor. B. Restoration of Public Ways. Grantee and its contractors and subcontractors shall immediately restore, at Grantee's sole cost and expense and in a manner approved by the Grantor, any portion of the Public Ways that is in any way disturbed, damaged, or injured by the construction, operation, maintenance or removal of the Electric System to as good or better condition than that which existed prior to the disturbance. In the event that Grantee, its contractor or subcontractors fail to make such repair within the time specified by the Grantor, the Grantor shall be entitled to complete the repair and Grantee shall pay the costs of the Grantor for such repair. Phone ; Fax ; info@mml.org Page 6 of 11

7 C. Easements. Any easements over or under private property necessary for the construction or operation of the Electric System shall be arranged and paid for by Grantee. Any use or intrusion on private property without an easement or other instrument evidencing permission of the property owner shall constitute a trespass by Grantee and a violation of this Ordinance. Any easements over or under property owned by the Grantor other than the Public Ways shall be separately negotiated with the Grantor. D. Tree Trimming. Grantee may trim trees upon and overhanging the Public Ways so as to prevent the branches of such trees from coming into contact with the Electric System. Grantee shall minimize the trimming of trees to trimming only those that are essential to maintain the integrity of its Electric System. No trimming shall be done in the Public Ways without previously informing the Grantor. E. Pavement Cut Coordination/Additional Fees. Grantee shall coordinate its construction program and all other work in the Public Ways with the Grantor's program for street construction, rebuilding, resurfacing and repair (collectively, Street Resurfacing ). Grantee shall meet with the official of the Grantor primarily responsible for the Public Ways at least two times per year to this end. The goals of such coordination shall be to require Grantee to conduct all known work in the Public Ways in conjunction with or immediately prior to any Street Resurfacing planned by the Grantor, and to prevent the Public Ways from being disturbed by Grantee for a period of years after such Street Resurfacing. In addition to any other fees or payments required by this Ordinance, Grantee shall pay to the Grantor the sum of $ for each feet cut into or excavation of any Public Way, or portion thereof which was subject to Street Resurfacing within eighteen (18) months prior to such cut or excavation. This fee is in addition to and not in lieu of the obligation to restore the Public Ways and is in addition to all other fees required by this ordinance or any other ordinances of the Grantor. F. Marking. Grantee shall mark its Electric System as follows: Aerial portions of the Electric System shall be marked with a marker on its lines on alternate poles which shall state Grantee s name and provide a toll-free number to call for assistance. Direct buried underground portions of the Electric System shall have (1) a conducting wire placed in the ground at least several inches above the Grantee s cable or wire (if such cable or wire is non-conductive), (2) at least several inches above that a continuous colored tape with Grantee s name and a toll-free number and a statement to the effect that there is buried cable beneath, and (3) stakes or other appropriate aboveground markers with Grantee's name and a toll-free number and indicating that there is buried cable below. G. Compliance with Laws. Grantee shall comply with all laws, statutes, ordinances, rules and regulations regarding the installation, construction, ownership or use of its Electric System whether federal, state or local, now in force or which hereafter may be promulgated (including, without limitation, any ordinance requiring the installation of additional conduit when Grantee installs underground conduit for its Electric System). Before any installation is commenced, Grantee shall secure all necessary permits, licenses and approvals from all appropriate departments, agencies, boards or commissions of the Grantor or other governmental entity as may be required by law, including, without limitation, all utility line permits and highway permits. Grantee shall comply in all respects with applicable codes and industry standards, including but not limited to the National Electrical Safety Code (latest edition) and the National Electric Code (latest edition). Grantee shall comply with all zoning and land use ordinances and historic preservation ordinances as may exist or may hereafter be amended. Phone ; Fax ; info@mml.org Page 7 of 11

8 H. Street Vacation. If the Grantor vacates or consents to the vacation of a street or alley within its jurisdiction, and such vacation necessitates the removal and relocation of Grantee's facilities in the vacated Public Way, Grantee agrees, as a condition of this Ordinance, to consent to the vacation and to move its facilities at its sole cost and expense when asked to do so by the Grantor or a court of competent jurisdiction. Grantee shall relocate its facilities to such alternative route as the Grantor, acting reasonably and in good faith, shall designate. I. Relocation. If the Grantor requests Grantee to relocate, protect, support, disconnect, or remove its facilities because of street or utility work, Grantee shall relocate, protect, support, disconnect, or remove its facilities, at its sole expense, to such alternate route as Grantor, acting reasonably and in good faith, shall designate. J. Public Emergency. The Grantor shall have the right to sever, disrupt, dig up or otherwise destroy facilities of Grantee, without any prior notice, if such action is deemed necessary because of a public emergency. Public emergency shall be any condition which, in the opinion of any of the officials named, poses an immediate threat to the lives or property of the citizens of the Grantor, caused by any natural or man-made disaster, including, but not limited to, storms, floods, fire, accidents, explosions, major water main breaks, hazardous material spills, etc. Grantee shall be responsible for repair at its sole expense of any of its facilities damaged pursuant to any such action taken by the Grantor. K. Miss Dig. If eligible to join, Grantee shall subscribe to and be a member of "MISS DIG", the association of utilities formed pursuant to 1974 PA 53, as amended (MCL et seq.) and shall conduct its business in conformance with the statutory provisions and regulations promulgated thereunder. L. Use of Existing Facilities; Compensation to Grantor. Grantee shall utilize existing poles, conduits, and other facilities wherever practicable, and shall not construct or install any new, different, or additional poles, or other facilities unless expressly authorized by the Grantor. Where existing utility wiring is located underground, either at the time of initial construction or subsequent thereto, Grantee's Electric System shall also be located underground unless otherwise expressly authorized by the Grantor. In the event Grantee desires to utilize existing poles, conduits or other facilities owned by the Grantor, Grantee shall be obligated to pay the existing standard charge for attachment to, placement in, or other use of those facilities. To the extent that Grantee chooses to construct its own utility wiring or other new facilities, Grantee agrees to compensate the Grantor for use of the public rights-of-way. Unless otherwise agreed by the Grantor and Grantee, the compensation shall be paid at the same rate per lineal foot of wiring or other facilities installed as that rate which is charged to telecommunications providers under the then current Grantor ordinance regulating telecommunications systems. M. Underground Relocation. If Grantee has its facilities on or any other public utility company s aboveground utility poles and the owner of said poles relocates its facilities to an underground conduit, Grantee shall relocate its facilities underground in the same location. N. Pole/Conduit License Agreement; Notification. If Grantee forfeits or otherwise loses its rights under a pole/conduit license agreement with or other entity, then Grantee shall notify the chief executive officer in writing within 10 days. O. Employee Identification. All personnel of Grantee or its contractors or subcontractors who have as part of their normal duties contact with the general public shall wear on their clothing a clearly visible identification card bearing their name and photograph. Grantee shall account for all identification cards at all times. Every service vehicle of Grantee, its contractors or subcontractors shall be clearly identified as such to the public. Phone ; Fax ; info@mml.org Page 8 of 11

9 Section 4. No Grantor Liability; Indemnification. A. Grantor Not Liable. The Grantor, and its agents, employees, and contractors, shall not be liable to Grantee or Grantee's customers for any interference with or disruption in the operation of Grantee's Electric System, or the provision of service over or through the Electric System, or for any damages arising out of Grantee's use of the Public Ways. B. Indemnification. As part of the consideration for this Ordinance, Grantee shall defend, indemnify, protect and hold harmless Grantor, its officers, agents, employees, departments, boards, and commissions from any and all claims, losses, liabilities, causes of action, demands, judgments, decrees, proceedings, and reasonable expenses of any nature (including, without limitation, actual fees and expenses of attorneys, expert witnesses and consultants), arising out of or resulting from the acts or omissions of Grantee, its officers, agents, employees, contractors, successors, or assigns, but only to the extent of the fault of the Grantee, its officers, agents, employees, contractors, successors, or assigns. C. Assumption of Risk. Grantee undertakes and assumes for its officers, agents, contractors and subcontractors and employees, all risk of dangerous conditions, if any, on or about any Grantorowned or controlled property, including Public Ways, and Grantee hereby agrees to indemnify and hold harmless the Grantor against and from any claim asserted or liability imposed upon the Grantor for personal injury or property damage to any person arising out of the installation, operation, maintenance or condition of the electric system or Grantee's failure to comply with any federal, state or local statute, ordinance or regulation. D. Notice, Cooperation and Expenses. The Grantor shall give Grantee prompt notice of the making of any claim or the commence of any actions suit or other proceeding covered by the provisions of this Section. Section 5. Nothing herein shall be deemed to prevent the Grantor from cooperating with Grantee and participating in the defense of any litigation by Grantor's own counsel. Grantee shall pay all expenses incurred by Grantor in defending itself with regard to any such actions, suits or proceedings. These expenses shall include all out-of-pocket expenses such as attorney fees and shall also include the reasonable value of any services rendered by or on behalf of the Grantor s attorney, and the actual expenses of Grantor's agents, employees or expert witnesses, and disbursements and liability assumed by Grantor in connection with such suits, actions or proceedings. Insurance. Grantee shall, at the time of ownership or construction of any systems, equipment, lines, and/or buildings independent of its use of the existing transmission and distribution system, obtain and maintain in full force and effect, for the entire effective period of this Ordinance, the following insurance covering all insurable risks associated with its ownership and use of its Electric System: (a) (b) A comprehensive general liability insurance policy, including Completed Operations Liability, Independent Contractors Liability, Contractual Liability coverage and coverage for property damage from perils of explosion, collapse or damage to underground utilities, commonly known as XCU coverage, in an amount not less than Five Million Dollars ($5,000,000.00). An Automobile Liability Insurance Policy to cover any vehicles used in connection with its activities under this Ordinance, in an amount not less than Two Million Dollars ($2,000,000.00). Phone ; Fax ; info@mml.org Page 9 of 11

10 Section 6. Section 7. Section 8. (c) Workers' Compensation and Employer's Liability Insurance with statutory limits. The Grantor shall be named as an additional insured in all applicable policies. All insurance policies shall provide that they shall not be canceled or modified unless thirty (30) days prior written notice is given to the Grantor. Grantee shall provide the Grantor with a certificate of insurance evidencing such coverage as a condition of this Ordinance and shall maintain on file with the Grantor a current certificate. All insurance shall be issued by insurance carriers licensed to do business by the State of Michigan or by surplus line carriers on the Michigan Insurance Commission approved list of companies qualified to do business in Michigan. All insurance and surplus line carriers shall be rated A+ or better by A.M. Best Company. Each policy which is to be endorsed to add the Grantor as an additional insured hereunder, shall contain cross-liability wording, as follows: In the event of a claim being made hereunder by one insured for which another insured is or may be liable, then this policy shall cover such insured against whom a claim is or may be made in the same manner as if separate policies had been issued to each insured hereunder. If the insurance policies required by this Section are written with deductibles, the deductibles shall be approved in advance by the Grantor. Grantee agrees to indemnify and hold harmless the Grantor from and against the payment of any deductible and from the payment of any premium on any insurance policy required to be furnished by this Ordinance. Grantee shall require that its contractors and subcontractors working in Public Ways carry, in full force and effect, workers' compensation, comprehensive public liability and automobile liability insurance coverages of the type which Grantee is required to obtain under the terms of this Section with appropriate limits of insurance. Franchise Not Exclusive The rights, power and authority granted herein are not exclusive. Rates Grantee shall be entitled to charge the inhabitants of the Grantor for electricity furnished at the rates approved by the Michigan Public Service Commission, which body, or its successors, have authority and jurisdiction to fix and regulate electrical rates and promulgate rules regulating such service in the City/Village. Such rates and rules shall be subject to review and changed any time upon petition being made by either the Grantor acting through the council/board or by Grantee. Revocation The franchise granted by this Ordinance is subject to revocation at the will of the council/board upon sixty (60) days written notice to the Grantee. Phone ; Fax ; info@mml.org Page 10 of 11

11 Section 9. Section 10. Section 11. Jurisdiction Grantee shall be and remain subject to all Ordinances, rules and regulations of the Grantor now in effect or which might subsequently be adopted for the regulation of land uses or for the protection of the health, safety and general welfare of the public; provided, however, that nothing herein shall be construed as a waiver by grantee of any of its existing or future rights under Michigan or federal law or a limitation upon the existing or future powers of the Grantor pursuant to its charter or Michigan or federal laws. Michigan Public Service Commission A. Jurisdiction. Grantee shall, as to all other conditions and elements of service not addressed or fixed by this Ordinance, remain subject to the rules and regulations applicable to electric service by the Michigan Public Service Commission, or its successor bodies. B. Filing. Grantee shall provide the Grantor with copies of all documents which Grantee sends to the Michigan Public Service Commission and copies of all orders, decisions, or correspondence Grantee receives from the Public Service Commission. Grantee shall permit Grantor inspection and examination of all records it is required to maintain or file under Michigan Public Service Commission rules and regulations. Effective Date. This Ordinance shall take effect sixty (60) days after adoption by the council/board and shall continue in effect for a period of five (5) years thereafter, subject to revocation at the will of the Grantor at any time during said five (5) year period; provided, however, it shall cease and be of no effect unless and until within fifteen (15) days after adoption the Grantee shall file its written acceptance of the same with the clerk, and pay to the Grantor the sum required by Section 2B hereof. Clerk Phone ; Fax ; info@mml.org Page 11 of 11