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SECTION 2. ADOPTION OF FRANCHISE. <br /> 2.1 Grant of Franchise. City hereby grants Company, for a period of 20 years from the <br /> date passed and approved by the City, the right to transmit and furnish electric energy for light, heat, <br /> power and other purposes for public and private use within and through the limits of the City as its <br /> boundaries now exist or as they may be extended in the future. For these purposes, Company may <br /> construct, operate, repair and maintain Electric Facilities in, on, over, under and across the Public <br /> Grounds and Public Ways of City, subject to the provisions of this Ordinance. Company may do all <br /> reasonable things necessary or customary to accomplish these purposes, subject, however, to such <br /> reasonable regulations as may be imposed by the City pursuant to ordinance and to the further <br /> provisions of this franchise agreement. <br /> 2.2 Effective Date; Written Acceptance. This franchise agreement shall be in force and <br /> effect from and after passage of this Ordinance, its acceptance by Company, and its publication as <br /> required by law. The City, by Council resolution, may revoke this franchise agreement if Company <br /> does not file a written acceptance with the City within 90 days after publication. <br /> 2.3 Service and Rates. The service to be provided and the rates to be charged by Company <br /> for electric service in City are established by Company's Board of Directors. The area within the City <br /> in which Company may provide electric service is subject to the provisions of Minnesota Statutes, <br /> Section 216B.40. <br /> 2.4 Publication Expense. The expense of publication of this Ordinance will be paid by <br /> City and reimbursed to City by Company. <br /> 2.5 Dispute Resolution. If either party asserts that the other party is in default in the <br /> performance of any obligation hereunder, the complaining party shall notify the other party of the <br /> default and the desired remedy. The notification shall be written. Representatives of the parties must <br /> promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not <br /> resolved within 30 days of the written notice, the parties may jointly select a mediator to facilitate <br /> further discussion. The parties will equally share the fees and expenses of this mediator. If a mediator <br /> is not used, or if the parties are unable to resolve the dispute within 30 days after first meeting with the <br /> selected mediator, either party may commence an action in District Court to interpret and enforce this <br /> franchise or for such other relief as may be permitted by law or equity for breach of contract, or either <br /> party may take any other action permitted by law. <br /> SECTION 3. LOCATION, OTHER REGULATIONS. <br /> 3.1 Location of Facilities. Electric Facilities shall be located, constructed and maintained <br /> so as not to interfere with the safety and convenience of ordinary travel along and over Public Ways <br /> and so as not to disrupt normal operation of any City Utility System Electric. Facilities shall be located <br /> on Public Grounds as determined by the City. Company's construction, reconstruction, operation, <br /> repair, maintenance and location of Electric Facilities shall be subject to permits if required by separate <br /> ordinance and to other reasonable regulations of the City to the extent not inconsistent with the terms <br /> of this franchise agreement. Company may abandon underground Electric Facilities in place,provided <br /> at the City's request, Company will remove such underground Electric Facilities which interfere with a <br /> City improvement project, but only to the extent such Electric Facilities are uncovered by excavation <br /> 2 <br /> 28 <br />