[R.O. 2006 §715.010; CC 1985 §26.5-1; Ord. No. 94.18 §1, 6-2-1994]
It is the intent of the City, and the purpose of this Chapter
to promote the public health, safety and general welfare by providing
for the grant of one (1) or more franchises for the construction and
operation of a water distribution system; for the regulation, to the
extent permitted by law, of each water system in the public interest;
to provide for the payment of fees and other valuable consideration
by a franchisee to the City for the privilege of using the public
rights-of-way for constructing and operating a water system; to promote
the widespread availability of water service to all City residents;
to encourage the development of water availability and service as
a means of public safety.
[R.O. 2006 §715.020; CC 1985 §26.5-2; Ord. No. 94.18 §1, 6-2-1994]
For the purposes of this Chapter, the following terms, phrases,
words and their derivations shall have the meanings defined below:
American Association of State Highway and Transportation
Officials, Room 341, National Press Building, Washington, D.C. 20045;
(202) 624-5800.
American National Standards Institute, 11 West 42nd Street,
13th Floor, New York, NY 10036; (212) 642-4900.
American Society for Testing and Materials, 1916 Race Street,
Philadelphia, PA 19103; (215) 299-5400.
American Water Works Association, 6666 West Quincy Avenue,
Denver, CO 80235; (303) 794-7711.
The Board of Aldermen of the City.
The City of Osage Beach, Missouri.
The City Administrator of the City.
Standards as stipulated in Proposed Model Land Development
Standards, 1993 Edition prepared for U.S. Department of Housing and
Urban Development by NAHB Research Center, for Water Supply Standards
and Appendix and Temporary Sediment and Erosion Control Standards
and Appendix except as specifically modified by this Chapter.
The legal or practical ability to direct the affairs of the
franchisee or applicant either directly or indirectly, whether by
contractual agreement or by substantial ownership of an economic interest,
including, but not limited to, direct or indirect control of five
percent (5%) of the equity of the franchisee or applicant.
The price that a willing buyer would pay to a willing seller
for a going concern based on the system valuation prevailing in the
industry at the time less any value attributed to the franchise itself.
A device that is either temporarily or permanently connected
to the water distribution system and demands a supply of water.
The right granted by the City to a franchisee to construct,
maintain and operate a water system over, on or under streets, roads
and all other public ways, easements and rights-of-way within all
or specified areas of the City. The term does not include any license
or permit that may be required by this Chapter or other laws, ordinances
or regulations of the City of the privilege of transacting and carrying
on a business within the City or for disturbing the surface of any
street or public thoroughfare.
A contract entered into in accordance with the provisions
of this Chapter between the City and a franchisee that sets forth
the terms and conditions under which the franchise will be exercised.
Any person granted a franchise pursuant to this Chapter who
has entered into a franchise agreement with the City.
Any person granted permission, pursuant to this Chapter,
to receive a franchise but who has not yet entered into a franchise
agreement with the City.
All cash, credits, property of any kind or nature, or other consideration received directly or indirectly by the franchisee, its affiliates, subsidiaries, parent or any person in which the franchisee has a financial interest, arising from or attributable to the sale or exchange of water services by the franchisee within the City region or in any way derived from the operation of its system, including but not limited to monthly fees charged users for service, monthly fees charged users for any optional service; installation, disconnection and reconnection fees. This sum shall be the basis for computing the fee imposed pursuant to Section 715.120 hereof. This sum shall not include any taxes on services furnished by the franchisee which are imposed upon any user by the State, County, City or other governmental unit and collected by the franchisee on behalf of said governmental unit.
The loss of water pressure below five (5) pounds per square
inch, or loss of potable water.
A building greater than four (4) stories in height and intended
for multi-family occupancy.
National Fire Protection Association, Batterymarch Park,
Quincy, MA 02269; (617) 770-4543.
A water system constructed to serve users served by an existing
water system in all or a portion of the existing system geographic
area.
Any individual, corporation, partnership, association, joint
venture or organization of any kind, and any lawful trustee, successor,
assignee, transferee or personal representative thereof.
Water free from impurities in amounts sufficient to cause
disease or harmful physiological effects and conforming to the standards
or regulations of the public health authority with jurisdiction of
the water supply.
The surface and the space above and below any public street,
road, highway, freeway, lane, path, public way or place, sidewalk,
alley-court, boulevard, parkway, drive or easement now or hereafter
held by the City and shall include other casements or rights-of-way
as shall be now held or hereafter held by the City.
The appurtenances and pipe from the municipal main to any
building receiving water. A pipe or line normally serving one (1)
property which may be isolated by a single valve.
Any transaction in which:
An ownership or other interest in a franchisee is transferred
from one (1) person or group of persons to another person or group
of persons so that control of the franchise is transferred; or
The rights held by the franchisee under a franchise agreement
are transferred or assigned to another person or group of persons.
A transfer is pro forma when it involves no substantial change in
the ultimate ownership, control or financial capability of the franchisee.
Any person who legally receives water service delivered over
the water system.
A pipe or conduit designed to transport potable water from
source to multiple users, does not include service lines.
[R.O. 2006 §715.030; CC 1985 §26.5-3; Ord. No. 94.18 §1, 6-2-1994]
A.
The City
may grant one (1) or more franchises in accordance with this Chapter
and the requirements of applicable Federal, State and local law especially
Section 88.773, RSMo.
B.
No person
may construct or operate a water system in the incorporated areas
of the City without a franchise granted by the City in accordance
with this Chapter, and no person may be granted a franchise without
having entered into a franchise agreement pursuant to this Chapter.
[R.O. 2006 §715.040; CC 1985 §26.5-4; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchise
authorizes use of the public rights-of-way for installing lines, underground
conduit, hydrants, valves, and other facilities to operate a water
system within a specified area of the City, but does not expressly
or implicitly authorize the franchisee to provide service to, or install
lines, underground conduit, hydrants, valves, or any other equipment
or facilities upon private property without owner consent, or to use
publicly or privately owned conduits without a separate agreement
with the owners.
B.
A franchise
is non-exclusive, and does not expressly or implicitly preclude the
issuance of other franchises to operate water systems within the City
or affect the City's right to authorize use of public rights-of-way
to other persons as it determines appropriate.
C.
Once
a franchise agreement has been accepted and executed by the City and
a franchisee, such franchise agreement shall constitute a contract
between the franchisee and the City, and the terms, conditions and
provisions of such franchise agreement, together with all duly enacted
and applicable laws, ordinances, codes, rules, regulations and orders,
shall define the rights and obligations of the franchisee and the
City relating to the franchise.
[R.O. 2006 §715.050; CC 1985 §26.5-5; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchisee
is subject to, and must comply with, all generally applicable local,
City, State and Federal laws, ordinances, codes, rules, regulations,
and orders. A franchisee shall at all times be subject to the exercise
of the Police power of the City.
B.
Except
as may be specifically provided in this Chapter or under the terms
of a franchise agreement, the failure of the City, upon one (1) or
more occasions, to exercise a right or to require compliance or performance
under the Chapter or a franchise agreement shall not be deemed to
constitute a waiver of such right or a waiver of compliance or performance
in the fixture.
C.
Except
as to matters which are governed solely by Federal law or regulation,
a franchise agreement will be governed by, and construed in accordance
with, the laws of the State of Missouri.
[R.O. 2006 §715.060; CC 1985 §26.5-6; Ord. No. 94.18 §1, 6-2-1994]
The provisions of this Chapter shall apply to a franchise agreement
as if fully set forth in the franchise agreement, and the express
terms of this Chapter will prevail over conflicting or inconsistent
provisions in a franchise agreement unless such franchise agreement
expresses an explicit intent to waive a requirement of the Chapter.
[R.O. 2006 §715.070; CC 1985 §26.5-7; Ord. No. 94.18 §1, 6-2-1994]
A.
A written
application must be filed with the City for:
1.
Grant
of a new franchise;
2.
Renewal
of a franchise;
3.
Modification
of a franchise agreement;
4.
A transfer
of a franchise; or
5.
Any
other relief from the City pursuant to this Chapter or a franchise
agreement. An applicant has the burden to demonstrate in its application
compliance with all requirements of this Chapter and of applicable
Federal, State and local law.
B.
To be
acceptable for filing, an application must be submitted to the City,
be accompanied by the application filing fee where required, conform
to any applicable request for proposals, and contain all required
information. All applications must include the names and addresses
of persons authorized to act on behalf of the applicant with respect
to the application.
C.
All applications
accepted for filing must be made available by the City for public
inspection.
D.
An application
for the grant of a new franchise may be filed pursuant to a request
for proposals issued by the City or on an unsolicited application,
may issue a request for proposals. If the City elects to issue a request
for proposals upon receipt of an unsolicited application, the applicant
may submit an amended application in response to the request for proposals,
or may inform the City that its unsolicited application should be
considered in response to the request for proposals, or may withdraw
its unsolicited application. An application which does not conform
to the requirements of a request for proposals may be considered non-responsive
and denied on that basis.
E.
An application
for the grant of a new franchise must contain, at minimum, the following
information:
1.
Name
and address of the applicant and identification of the ownership and
control of the applicant, including: the names and addresses of the
ten (10 largest holders of an ownership interest in the applicant,
and all persons with five percent (5%) or more ownership interest;
the persons who control the applicant; all officers and directors
of the applicant; and any other business affiliation and water system
ownership interest of each named person;
2.
An indication
of whether the applicant, or any person controlling the applicant,
or any officer or major stockholder of the applicant, has been adjudged
bankrupt, had a water franchise revoked, or been found by any court
or administrative agency to have violated a security or antitrust
law, or a felony, or any crime involving moral turpitude; and, if
so, identification of any such person or entity and a full explanation
of the circumstances;
3.
A demonstration
of the applicant's technical, legal and financial ability to construct
and operate the proposed water system, including identification of
key personnel;
4.
A description
of the applicant's prior experience in water system ownership, construction
and operation, and identification of communities in which the applicant
or its principals have, or have had, a water franchise or any interest
therein;
5.
Identification
of the area of the City to be served by the water system, including
a description of the service area's boundaries;
6.
A detailed
description of the physical facility proposed, including capacity,
technical design, performance characteristics, and access to satisfy
the requirements of this Chapter;
7.
A description
of the construction of the proposed system as completely constructed,
including an estimate of below-ground mileage and its location, the
proposed construction schedule, a description, where appropriate,
of how services will be converted from existing facilities to new
facilities, and information on the availability and conduits including,
where appropriate, an estimate of the cost of rearrangement of facilities
to accommodate such use;
8.
A description
of the services to be provided initially, including all water main
sizes, hydrant spacing, pressure relief valves, shut-off valves to
be delivered;
9.
For
informational purposes, the proposed rate structure including charges
for other equipment or services;
10.
A
demonstration of how the proposal will reasonably meet the future
water-related needs and interests of the community, including a description
of how the proposal will meet the needs described in any recent community-needs
assessment conducted by or for the City;
11.
Pro
forma financial projects for the first (1st) ten (10) years of the
franchise term, including statement of projected income, and a scheduled
of planned capital additions, with all significant assumptions explained
in notes or supporting schedules;
12.
An
affidavit or declaration of the applicant or authorized officer certifying
the truth and accuracy of the information in the application, and
acknowledging the enforceability of application commitments, and certifying
that the proposal meets all applicable Federal, State and local laws
and regulations;
13.
If an applicant proposes to provide water service to an area already served by an existing water franchisee, the identification of the area where the overbuild would occur, the potential user density in the area which would encompass the overbuild, and other information as necessary for the City to make its determination pursuant to Section 715.080(C); and
14.
Any
other information as may be reasonably necessary to demonstrate compliance
with the requirements of this Chapter and information that the City
may request of the applicant that is relevant to the City's consideration
of the application.
F.
An application
for modification of a franchise must include, at minimum, the following
information:
1.
The
specific modification requested;
2.
The
justification of the requested modification, including the impact
of the requested modification on users and others, and the impact
on the applicant if the modification is not approved; and
3.
Any
other information necessary for the City to make a determination.
H.
An application for approval of a transfer of a franchise must comply with the requirements of Section 715.200.
I.
To be
acceptable for filing, an application must be accompanied by a filing
fee in the following amount, as appropriate:
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For a new franchise
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$50.00
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For a renewal of a franchise
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$50.00
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For a transfer of a franchise (for other than a pro forma transfer)
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$50.00
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For modification of a franchise
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$50.00
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[R.O. 2006 §715.080; CC 1985 §26.5-8; Ord. No. 94.18 §1, 6-2-1994]
A.
The City
may grant one (1) or more franchises for a period not to exceed twenty
(20) years to serve all or a specified area(s) of the City.
B.
The City
may make the grant of a franchise conditioned upon the completion
of construction within a prescribed time or upon the performance of
other specific obligations which are to be set forth in the franchise
agreement, specifying that failure to timely comply with condition(s)
will cause the franchise to become null and void without further action
by the City.
C.
In evaluating
an application for a new franchise, the City shall consider, among
other things, the following factors: the applicant's technical, financial,
and legal qualifications to construct and operate the proposed system;
the nature of the proposed facilities, equipment, and services; the
applicant's record in other communities, if any; the capability of
the City's public rights-of-way to accommodate the proposed system;
the potential disruption to existing users of the City's public rights-of-way
and the resultant inconvenience to the public; and whether the proposal
will meet reasonably anticipated community needs, including fire protection,
and serve the public interest. When an applicant proposes an overbuild
of an existing water system, the City shall also consider the economic
feasibility of multiple water systems, the impact on the existing
franchisee, and whether any adverse consequences to the public interest
will result if the application is granted.
D.
The Board
shall hold a public hearing to consider an application, based upon
the application, the testimony presented at the public hearing, any
recommendations of the City Administrator or staff, and any other
information relevant to the application, the Board shall decide whether
to grant, expand, or deny a franchise application and the terms and
conditions of a grant.
E.
If the
Board grants a franchise, the City Administrator and the grantee must
agree on the terms of a franchise agreement within ninety (90) calendar
days from the date of the resolution making the grant. This period
may be extended for good cause by the City. If the agreement is not
reached with the City Administrator within ninety (90) calendar days,
or if the period is not extended by the City, the franchise grant
shall be null and void without further action by the City.
F.
Following
at least ten (10) days' prior notice to the grantee and the public,
the Board shall hold a public hearing at which it will receive comment
on the proposed franchise agreement.
G.
After
complying with the above requirements, the Board shall approve or
disapprove the proposed franchise agreement by resolution, or may
direct that it be subject to further consideration.
H.
The grant
of an initial franchise, a renewed franchise, an application to modify
a franchise agreement, or an application to transfer a franchise may
be subject to a processing fee in an amount not to exceed the City's
out-of-pocket costs in considering the application, less the amount
of the filing fee. Within thirty (30) calendar days of the date of
the resolution approving the initial franchise, the renewed franchise,
or the modification of a franchise, by the Board, the City must notify
the grantee of the amount of any processing fee and its method of
calculation. If the processing fee is not paid within sixty (60) calendar
days of the date of the Board resolution approving the franchise agreement,
or a modification thereof, the grant shall be null and void.
[R.O. 2006 §715.090; CC 1985 §26.5-9; Ord. No. 94.18 §1, 6-2-1994]
A.
The franchise
agreement must require the following insurance coverage to be in force
at all times during the franchise period: Workers' Compensation insurance
to meet all State requirements and general comprehensive liability
insurance with respect to the construction, operation and maintenance
of a water system, including the operation of motor vehicles, in the
following minimum amounts:
1.
Public liability. One million dollars ($1,000,000.00) per
person, and one million dollars ($1,000,000.00) per occurrence;
2.
Property damage. One million dollars ($1,000,000.00) per
any one (1) claim;
3.
Umbrella liability. One million dollars ($1,000,000.00)
with up to a one millon dollar ($1,000,000.00) deductible and/or base
insurance.
B.
All insurance
policies must be with sureties qualified to do business in the State
of Missouri and in a form reasonably approved by the City Attorney.
The City may require in a franchise agreement coverage and amounts
in excess of the above minimums where reasonably necessary in view
of the franchisee's greater exposure to liability. The City may, from
time to time, require that insurance coverage be broadened or increased
if it is reasonably determined by the City that such adjustment to
coverage is necessary to take into account inflation or changing circumstances
relative to liabilities.
C.
A franchisee
shall, at its sole cost and expense, indemnify, hold harmless, and
defend the City, its officials, boards, commissions, agents and employees,
against any and all third (3rd) party claims, suits, causes of action,
proceedings and judgments for damages or equitable relief arising
out of the construction, maintenance or operation of its water system
regardless of whether the act or omission complained of is authorized,
allowed or prohibited in this Chapter or a franchise agreement.
D.
The franchise
agreement shall require the franchisee to have in force at all times
a performance bond, franchise bond, or an irrevocable letter of credit
in an amount specified in the franchise agreement as necessary to
ensure the faithful performance by the franchisee of its obligation
under the franchise agreement. The franchise agreement may provide
for the reduction of the amount of the performance bond, franchise
bond or letter of credit upon the completion of construction of the
water system. Such surety instruments must be provided by an entity
qualified to do business in the State of Missouri and in a form approved
by the City Attorney. The terms under which the City may draw upon
the letter of credit, franchise bond or performance bond to satisfy
any claim the City may have against the franchisee shall be specified
in the franchise agreement or in the letter of credit, franchise bond
or performance bond.
[R.O. 2006 §715.100; CC 1985 §26.5-10; Ord. No. 94.18 §1, 6-2-1994]
A.
Prior
to the franchise becoming effective, the franchisee must post with
the City a cash security deposit, surety bond, or letter of credit
in such amount as specified in the franchise agreement. This deposit
shall be used as a security fund to ensure the faithful performance
of all provisions of law and the franchise agreement, and compliance
with all orders, permits and directions of the City, and the payment
by the franchisee of any claims, liens or taxes due the City which
arise by reason of the construction, operation or maintenance of the
water system. The security deposit shall be in the minimum amount
of one thousand dollars ($1,000.00) or such other amount as the City
deems necessary, taking into account the extent of the franchisee's
history of compliance with its franchise obligations in the City and
in other jurisdictions.
B.
The City
shall place the security deposit in an interest-bearing account. The
intent will accrue to the benefit of the franchisee but may not be
withdrawn; all interest will be added to and become part of the original
security fund during the term of the franchise.
C.
If a
franchisee fails to pay the City any fees or taxes due, liquidated
damages, damages, or costs or expenses incurred by the City by reason
of any act or default of the franchisee, or if the franchisee fails
to comply with any provision of the franchise agreement that the City
reasonably determines can be remedied by an expenditure of the security
fund, the City may, after ten (10) calendar days' notice to the franchisee,
withdraw that amount with any interest or penalties from the security
fund. Upon such withdrawal, the City shall notify the franchisee of
the amount and date of the withdrawal.
D.
Within
thirty (30) calendar days after notice to it that an amount has been
withdrawn by the City from the security fund, the franchisee must
deposit a sum of money sufficient to restore the security fund to
the original amount. If the franchisee fails to restore the security
fund to the original amount within thirty (30) calendar days, the
entire security fund remaining may be forfeited, and/or such failure
may be considered a material breach of this Chapter and may be used
as grounds for revocation of the franchise.
E.
The security
fund will become the property of the City in the event the franchise
is revoked. The franchisee is entitled to the return of the security
fund that remains following termination of the franchise, provided
that there is no outstanding default or unpaid amounts owned to the
City by the franchisee.
F.
The rights
reserved to the City with respect to the security fund are in addition
to all other rights of the City whether reserved by this Chapter or
authorized by other law, and no action, proceeding or exercise of
a right with respect to such a security fund will affect any other
right the City may have.
[R.O. 2006 §715.110; CC 1985 §26.5-11; Ord. No. 94.18 §1, 6-2-1994]
A.
The following
minimum requirements for facilities and services apply to all franchises.
The City may require in a franchise agreement that a franchisee exceed
these minimum requirements where it determines, under circumstances
existing at the time of the application, that additional requirements
are necessary to meet the reasonable community needs and interests,
and that such requirements are consistent with then current technological
capabilities.
1.
The
water system shall be designed so that individual sections of the
water main may be shut down, for repairs/renovation, relocation, taps,
or other work, by the use of appropriate permanent valves located
not less frequently than each two thousand six hundred forty (2,640)
feet or eight hundred five (805) meters.
2.
The
water system shall be designed so that a fire hydrant shall be located
every six hundred (600) feet (one hundred eighty-three (183) meters)
along the water main. Hydrants do not need to be installed until there
is a development or structures on the property which is within three
hundred (300) feet (ninety-one and four-tenths (91.4) meters) of the
hydrant locations (installation along undeveloped areas may be delayed
until development occurs); installation of hydrants shall be completed
by the water company within thirty (30) days after an occupancy permit
is issued by the City. Every hydrant shall be equipped with a shut-off
valve. Hydrants shall meet construction standards.
3.
The
franchisee shall provide at no cost water for the testing and exercising
of hydrants and will permit testing yearly, for static and residual
pressure and gallons of flow, by the fire district.
4.
The
mains shall not be less than six (6) inches (twenty-one (21) centimeters)
in diameter in order to provide connections to fire hydrants, i.e.,
within three hundred (300) feet of a structure. The City may grant
a waiver if franchisee can demonstrate adequate water flow to meet
fire requirements.
5.
Every
service connection shall have at least one (1) shut-off valve.
6.
The
system shall be designed to deliver a minimum:
a.
Three
thousand five hundred (3,500) gallons per minute under peak demand
in areas designated for Heavy Traffic Commercial or Industrial in
the City's Comprehensive Plan;
b.
One
thousand (1,000) gallons per minute under peak demand for those areas
designated other than Heavy Traffic Commercial, Industrial, or Heavy
Density Residential in the City's Comprehensive Plan;
c.
One
thousand (1,000) gallons per minute in those areas designated High
Density Residential and additional water flows are available to supplement
up to three thousand five hundred (3,500) gallons per minute; and
d.
All
flows indicated above must be sustained for a period of two (2) hours.
7.
The
franchisee shall immediately take steps to repair leaks which exceed
the construction standards.
B.
Unless
a franchise agreement provides otherwise, a franchisee must make water
service available to every unserved dwelling within the franchisee's
service area where the dwelling is in an area with a minimum density
of thirty (30) dwellings per main mile as measured from the franchisee's
existing main. Where potential users reside in a portion of the service
area with dwelling density below the prescribed minimum, the franchisee
shall extend service to such potential users, within six (6) months
after request, under the following conditions:
1.
If potential
users are willing to pay a one-time charge equivalent to the franchisee's
construction cost per dwelling passed at the prescribed minimum dwelling
density for mandatory line extension and agree to purchase water service
for a minimum of twenty-four (24) months;
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Construction Cost Per Mile
30
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=
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one-time charge
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2.
If ten
(10) potential users per main mile measured from existing main commit
themselves to taking service in a manner reasonably satisfactory to
the franchisee; or
3.
Franchisee
is only required to extend main to closest property line of requesting
user.
C.
The City
may waive minimum density requirements for mandatory line extension
of this Section where the City determines, in its sole discretion,
that such waiver is justified in the public interest.
[R.O. 2006 §715.120; CC 1985 §26.5-12; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchisee,
in consideration of the privilege granted under a franchise for the
use of public rights-of-way to construct and operate a water system,
must pay to the City a franchise fee equal to two percent (2%) of
the franchisee's gross revenues derived from the operation of its
water system within its franchise area during the period of its franchise.
A franchisee must pay the franchise fee due to the City on a monthly
basis. Payment for each month shall be made to the City not later
than the last day of the following month.
B.
Unless
a franchise agreement provides otherwise, a franchisee must file with
the City within thirty (30) calendar days of the end of such six (6)
month period a financial statement showing the gross revenues received
by the franchisee during the preceding six (6) month period and the
number of users served.
C.
A franchisee
must file within three (3) months of the end of its fiscal year a
statement setting forth the computation of gross revenues used to
calculate the franchise fee for the preceding year and a detailed
explanation of the method of computation. The statement must be certified
by a certified public accountant or the franchisee's chief financial
officer. The franchisee will bear the cost of the preparation of such
financial statements.
D.
The City,
upon reasonable notice, may inspect and audit any and all books and
records of the franchisee relevant to the franchisee's obligations
under the franchise agreement. The City may inspect the franchisee's
determination of gross revenues and the computation of franchise fee
due, and may assess any unpaid amounts determined to be payable under
the franchise. The cost of the inspection and audit will be borne
by the franchisee if, as a result of the audit, the City determines
that the franchisee has underpaid the franchise fee owed.
E.
In the event that a franchise payment is not received by the City on or before the due dates set forth in Subsection (A) hereinabove, or if it is determined by the City that the franchise fee has been underpaid, the franchisee will be charged interest daily from the due date at the prime interest rate then charged by the Central Bank of Lake of the Ozarks, or its successor. In addition, the franchisee will pay a late charge of five percent (5%) of the amount of the unpaid or underpaid franchise fee payment.
F.
When
a franchise terminates for whatever reason, the franchisee must file
with the City, within ninety (90) calendar days after the date of
the termination, a financial statement certified by a certified public
accountant or the franchisee's chief financial officer, showing the
gross revenues received by the franchisee since the end of the previous
fiscal year.
[R.O. 2006 §715.130; CC 1985 §26.5-13; Ord. No. 94.18 §1, 6-2-1994]
A.
Within
three (3) months of the close of its fiscal year, a franchisee shall
provide the City an annual report that includes the following information:
1.
A summary
of the previous calendar year's activities in development of the system,
including but not limited to, services initiated or discontinued,
number of users (including gains and losses), homes passed, and miles
of main in service. The summary shall also include a comparison of
any construction, including system upgrades, during the year with
any projects previously provided to the City.
2.
A certified
financial statement for the franchisee and all entities controlling
the franchisee, including a statement of income, balance sheet, and
a statement of sources and applications of funds. The statement shall
include notes that specify all significant accounting policies and
practices upon which it is based. A summary shall be provided comparing
the current year with previous years since the beginning of the franchise.
3.
A copy
of updated maps depicting the location of all water mains, hydrants,
and valves.
4.
A summary
of user or consumer complaints, identifying the number and nature
of complaints and their disposition. Where complaints involve one
(1) or more recurrent system problems, the nature of each such problem
and what steps have been taken to correct it shall be identified.
When available, more detailed information on complaints shall be submitted
upon request of the City.
5.
If the
franchisee is a corporation, a list of officers and members of the
board of directors; the officers and board members of any parent or
controlling corporation; and if the franchisee's or any controlling
corporation's or other parent entity's stock or ownership interest
are publicly traded, a copy of its most recent annual report.
6.
If the
franchisee is a partnership, list of the partners, including any limited
partners, and their addresses; and where a general partner is a corporation,
a list of officers and members of the board of directors, the officers
and directors of any parent corporation; and if any controlling corporation's
or other parent entity's stock or ownership interest is publicly traded,
a copy of its most recent annual report.
7.
A list
of all partners or known stockholders holding five percent (5%) or
more ownership interest in the franchisee and any parent corporation;
provided however, when any such entity has fewer than ten (10) persons
holding five percent (5%) or greater ownership interest, the ten (10)
largest holders of an ownership interest.
8.
A copy
of all the franchisee's rules and regulations applicable to users
of the water system.
9.
A report
on the number of elderly and handicapped users receiving any rate
discounts and the amount of such discounts.
10.
A
full schedule and description of services and service hours offered
to users, and a schedule of all rates, fees and charges for all water
services provided.
B.
A franchisee
must maintain a complete set of books and records available for inspection
and audit by the City for purposes of ascertaining compliance with
requirements of this Chapter and the franchise agreement. Such inspection
and audit shall be upon reasonable notice and during normal business
hours.
C.
Upon
written request of the franchisee and to the extent allowed by applicable
law, information of a proprietary nature submitted to the City pursuant
to this Chapter or a franchise agreement will not be made available
for public inspection.
[R.O. 2006 §715.140; CC 1985 §26.5-14; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchisee
must maintain a business office within the City open during normal
business hours with a listed local telephone number. The office must
employ a sufficient number of telephone lines and personnel to allow
a reasonable access by users and others. Telephone answering time
(including hold and transfer time) shall not exceed thirty (30) seconds
or four (4) rings. This standard shall be met ninety percent (90%)
of the time. When the business office is closed, an answering machine
or service capable of receiving service complaints and inquiries must
be employed. The answering service shall comply with the same telephone
answer time standard.
B.
Standard
installation work shall be performed within five (5) business days
after an order has been placed. If scheduled installation is neither
started nor completed as scheduled, the user will be telephoned by
an employee of the franchisee the same day. Evening personnel shall
also attempt to call users at their homes between the hours of 5:30
P.M. and 8:00 P.M. If the call to the user is not answered, a call
shall be placed the next day. Installation work shall be prioritized
as follows:
1.
Service
change and rescheduling of appointments for existing users;
2.
Installation
of service for new users; and
3.
Disconnection
of service for existing users.
|
|
Customers who have experienced two (2) missed installation appointments,
due to the fault of the franchisee shall receive a credit of ten dollars
($10.00) for each missed installation appointment.
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C.
All appointments
for service, installation, or disconnection shall be specified by
date. The franchisee shall offer a choice of morning, afternoon or
all day appointment opportunities.
D.
A franchisee
must have available twenty-four (24) hours a day, seven (7) days a
week personnel, equipment and procedures capable of locating and correcting
major system malfunctions. Major system malfunctions must be corrected
without delay, and corrective measures initiated immediately. Corrective
action for all other malfunctions must be initiated as provided for
in the franchise agreement, but not later than the next business day
after the customer service calls received, and must be completed as
promptly as possible.
E.
A franchisee
shall provide the City with a telephone number where a managerial
employee of the franchisee with full authority to act on behalf of
the franchisee can be reached at all times. In addition, the City
shall be provided with a complete list of the franchisee's employees,
including their titles, telephone, and extension numbers. This list
shall be updated every three (3) months.
F.
A franchisee
shall develop written procedures for the investigation and resolution
of all complaints, including, but not limited to those regarding the
quality of service, which procedures shall be subject to the review
and approval by the City Administrator. A user who has not been satisfied
by following the franchisee's procedures may file a written complaint
with the City. The City Administrator shall investigate the matter
and, in consultation with the franchisee as appropriate, attempt to
resolve the matter. A franchisee's good faith or lack thereof in attempting
to resolve user complaints shall be considered by the City as relevant,
including in connection with a franchisee's renewal application.
G.
A franchisee
must provide each user at the time water service is installed, and
every six (6) months thereafter, written instruction for placing a
service call, filing a complaint, or requesting an adjustment. Each
user must also be provided with a schedule of the user's rates and
charges, a copy of the service contract, delinquent user disconnect
and reconnect procedures, and a description of any other of the franchisee's
policies in connection with its users. In addition, users shall be
provided with the business address and telephone number of the City
Administrator. The franchisee shall furnish copies of these instructions
to the City for review and comment.
H.
A franchisee
must provide users with at least thirty (30) days' advance notice
of any increase in the user rates and charges. Such notice must be
provided with billing. A franchisee must keep available for public
review and provide copies upon request to any user a complete and
detailed description of all service offerings and prices.
I.
A franchisee
may intentionally interrupt service on the water system only for good
cause and for the shortest time possible and, except in emergency
situations, only after prior notice to users and the City Administrator
of the anticipated service interruption. To the extent possible, such
work should be performed between the hours of 2:00 A.M. and 6:00 A.M.
Notice of planned maintenance shall be given to the City Administrator.
J.
A franchisee
must maintain a complete record of all service complaints received
and action taken. These records must be open to the City for inspection
during normal business hours upon reasonable prior notice. Such records
must be retained throughout the franchise term or twenty (20) years
whichever is less.
K.
Billing.
1.
The
franchisee's first (1st) billing statement after a new installation
or service change shall be prorated as appropriate and shall reflect
any security deposit.
2.
The
billing statement must show a specific payment due date not earlier
than twenty (20) days after the date the statement is mailed. Any
balance not received by the due date may be assessed a late fee consistent
with Missouri consumer protection laws. The late fee will appear on
the following months' billing statement.
3.
The
user must be notified that he/she can remit payment in person at the
franchisee's customer service office and its address.
4.
A user
shall not be charged late fees or otherwise penalized for any failure
by the franchisee, its employees, or contractors, including failure
to timely or correctly bill the user or failure to properly credit
the user for a payment timely made.
5.
In the
event of a billing dispute, the franchisee must waive a late fee during
the period until a final resolution of the dispute is agreed upon
between the franchisee and the City.
L.
Disconnection.
1.
Voluntary disconnection.
a.
A
user may terminate service at any time.
b.
A
user may be asked, but not required, to disconnect the franchisee's
equipment and return it to the business office.
c.
Any
security deposit and/or other funds due the user shall be refunded
on disconnected accounts after franchisee owned equipment has been
recovered by the franchisee. The refund process shall take a maximum
of thirty (30) days from the date disconnection was requested to the
date the customer received the refund.
2.
Involuntary disconnection. Service may be disconnected when
a user's account is fifty-one (51) days past due.
[R.O. 2006 §715.150; CC 1985 §26.5-15; Ord. No. 94.18 §1, 6-2-1994]
A.
No franchisee
may in its rates or charges, or in the availability of the services
or facilities of its system or in any other respect, make or grant
undue preferences or advantages to any user or potential user to the
system, nor subject any such persons to any undue prejudice or any
disadvantage; provided however, a franchisee may offer discounts in
order to attract or maintain users provided that such discounts are
offered on a non-discriminatory basis. A franchisee must not deny,
delay or otherwise burden service or discriminate against users on
the basis of age, race, creed, religion, color, sex, physical handicap,
national origin, marital status, sexual orientation, or political
affiliation, except for discount for the elderly or handicapped that
are applied in a uniform and consistent manner.
B.
A franchise
must not deny water service to any potential users because of the
income of the residents of the area in which the users reside.
C.
A franchisee
must not refuse to employ, nor discharge from employment, nor discriminate
against any person in compensation or in terms, conditions or privileges
of employment because of age, race, creed, religion, color, sex, physical
handicap, national origin, marital status, sexual orientation, or
political affiliation.
[R.O. 2006 §715.160; CC 1985 §26.5-16; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchisee
may utilize, with the owner's permission, existing conduits or such
other facilities whenever reasonably feasible. A franchise does not
grant, give or convey to a franchisee the right or privilege to install
its facilities in any manner on equipment of the City. Such right
or privilege may be covered by a separate agreement or ordinance.
Copies of agreements for use of conduits or other facilities must
be filed with the City as required by the franchise agreement or upon
City request.
B.
All lines,
equipment and structures must be installed and located to cause minimum
interference with the rights and reasonable convenience of property
owners. The City may from time to time issue such reasonable rules
and regulations concerning the installation and maintenance of the
water system installed in, on, or over public rights-of-way as may
be consistent with this Chapter and the franchise agreement.
C.
Suitable
safety devices and practices as required by Federal, State and local
laws, ordinance, regulations and permits must be used during construction,
maintenance and repair of a water system.
D.
Following
reasonable notice by the City, a franchisee must remove, replace or
modify at its own expense the installation of any of its facilities
within any public right-of-way when required to do so by the City
to allow it to change, maintain, repair or improve any such public
rights-of-way.
E.
A franchisee
must obtain any required permits before causing any damage or disturbance
to rights-of-way or to private property as a result of its construction
or operations. A franchisee must restore to their former condition
such private property and rights-of-way in a manner approved by the
City. If such restoration is not satisfactorily performed within a
reasonable time, the City, or the property owner in the case of private
property may, after prior notice to the franchisee, cause the repairs
to be made at the expense of the franchisee.
[R.O. 2006 §715.170; CC 1985 §26.5-17; Ord. No. 94.18 §1, 6-2-1994]
A.
The water
system designed shall comply with the construction standards.
B.
The City
may require an annual proof of performance or other tests to be performed
at the expense of the franchisee. The franchisee must provide the
test results promptly to the City.
C.
The franchisee must advise the City when a proof of performance test required in Subsection (B) above is scheduled so that the City may have an observer present.
D.
The franchisee
shall provide potable water with not less than one (1) part per million
of fluoride, and not more than one and five-tenths (1.5) parts per
million of fluoride, or in compliance with County, City, State, or
Federal requirements.
[R.O. 2006 §715.180; CC 1985 §26.5-18; Ord. No. 94.18 §1, 6-2-1994]
A.
In addition
to any other remedies available at law or equity, the City has the
right to apply any one (1) or a combination of the following remedies
in the event a franchisee violates this Chapter, its franchise agreement,
or applicable Federal, State or local law:
1.
The
City may impose liquidated damages in such amount, whether on a per-diem,
per-incident, or other measure of violation, as provided in the franchise
agreement. Payment of liquidated damages by the franchisee will not
relieve the franchisee of its obligation to comply with this Chapter
and the franchise agreement.
B.
In determining
which remedy or remedies are appropriate, the City shall take into
consideration the nature of the violation, the person or persons bearing
the impact of the violation, the nature of the remedy required in
order to prevent further violations, and such other matters as the
City determines are appropriate.
C.
Failure
of the City to enforce any requirements of a franchise agreement or
this Chapter shall not constitute a waiver of the City's right to
enforce the franchise agreement, or subsequent violations, or to seek
appropriate enforcement remedies.
[R.O. 2006 §715.190; CC 1985 §26.5-19; Ord. No. 94.18 §1, 6-2-1994]
A.
If a
franchisee decides to initiate a formal franchise renewal process,
it must provide the City written notice during the period thirty (30)
to thirty-six (36) months prior to the franchise expiration date.
Upon such notification, or at the City's own initiative, the City
must commence the following process:
1.
The
City shall review and evaluate the future water-related community
needs and interests and the franchisee's past performance and prepare
a written report. This review and evaluation process shall include
opportunity for public comment.
2.
During the review and evaluation process, the City must notify the franchisee that it may file a renewal application. The notice must specify the information to be included in the renewal application and the deadline for filing the application, which must be no earlier than thirty (30) calendar days following the date of the notice. The application must comply with the requirements of Section 715.070 and provide the specific information requested in the notice and any other information required in Section 715.070(E) that is applicable. If the franchisee does not submit a renewal application by the specified date, it will be deemed to have waived its rights to further consideration for renewal of its franchise.
3.
Upon
receipt of the renewal application, the City shall publish notice
of its receipt and make copies available for public viewing. Not earlier
than seven (7) calendar days after publication of the public notice,
the City shall hold one (1) or more public hearings at which comments
from the public on the renewal application may be received.
B.
In considering
a renewal application, the City must consider whether:
1.
The
franchisee has substantially complied with the material terms of the
existing franchise and with applicable law;
2.
The
quality of the franchisee's service, including quality, response to
consumer complaints, timeliness of service, and billing practices
has been reasonable in light of community needs;
3.
The
franchisee has the financial, legal and technical ability to provide
the services, facilities, and equipment set forth in its renewal application;
4.
The
franchisee's renewal application will meet the future water-related
community needs; and
5.
Consistent
with other applicable laws, such other criteria as the City may decide
is reasonable.
C.
Following
a public hearing on the renewal application, the Board must either:
E.
If a
preliminary assessment is made that a franchise should not be renewed,
at the request of the franchisee or on its own initiative, the City
must commence an administrative proceeding. Upon the completion of
the proceeding, the Board shall issue a written decision granting
or denying the proposal for renewal based upon the record of the proceeding.
The written decision shall state the reasons for the Board's determination,
and a copy of the decision shall be transmitted to the franchisee.
F.
If the Board grants a renewal application, the City and the franchisee must agree on the terms of a franchise agreement, pursuant to the procedures specified in Section 715.080(E) — (H), before the renewal becomes effective. Failure to agree to terms which the City reasonably requires as necessary to guarantee full performance under the franchise proposed shall be considered a withdrawal of the proposal and will terminate the renewal proceedings.
G.
If renewal
of a franchise is denied, the City may acquire ownership of the water
system or effect a transfer of ownership of the system to another
person upon approval of the Board if the franchise agreement so provides.
Any such acquisition or transfer shall be at fair market value, as
defined by this Chapter.
H.
If renewal
of a franchise is denied and the City does not purchase the water
system, the City may require the former franchisee to remove its facilities
and equipment. If the former franchisee fails to do so within a reasonable
period of time, the City may cause the removal done at the former
franchisee's and/or surety's expense.
[R.O. 2006 §715.200; CC 1985 §26.5-20; Ord. No. 94.18 §1, 6-2-1994]
A.
A transfer
of a franchise shall not occur without prior approval of the City.
B.
An application to transfer a franchise must meet the requirements of Section 715.070 and provide complete information on the proposed transaction, including details on the legal, financial, technical and other pertinent qualifications of the transferee, on the risk of future non-performance of the terms of the franchise agreement, and in other significant community effects, including among other user rates. At minimum, the information required in Section 715.070(E)(5 — 10) must also be provided whenever the proposed transferee expects any material changes to occur.
C.
An application
for approval of a pro forma transfer shall be considered granted on
the thirty-first (31st) calendar day following its filing with the
City unless prior to that date the City notifies the franchisee that
the transfer will not be approved except by formal action of the City.
An application for approval of a pro forma transfer shall identify
the application as such.
D.
In deciding
whether to grant an application to transfer a franchise, the Board
shall consider the legal, financial, technical and other pertinent
qualifications of the transferee to operate the system and whether
operation by the transferee would create any risks that the City,
users or water services would be adversely affected or would otherwise
be contrary to the public interest.
E.
Approval
by the City of a transfer of a franchise does not constitute a waiver
or release of any of the rights of the City under this Chapter or
the franchise agreement.
F.
The City
may require the franchisee to pay a reasonable fee in excess of the
filing fee to cover the City's costs in considering an application
for transfer of a franchise.
[R.O. 2006 §715.210; CC 1985 §26.5-21; Ord. No. 94.18 §1, 6-2-1994]
A.
A franchise
may be revoked or have its term shortened by the Board for the franchisee's
failure to construct, operate or maintain the water system as required
by this Chapter or the franchise agreement or for other material breach
of this Chapter or the franchise agreement, the franchisee has not
taken corrective action or corrective action is not being actively
and expeditiously pursued, the Board may give written notice to the
franchisee of its intent to consider revocation of the franchise or
reducing the term of the franchise, stating its reasons.
B.
Prior
to revoking a franchise or shortening its term, the Board shall hold
a public hearing, upon thirty (30) calendar days' notice, at which
time the franchisee and members of the public must be given an opportunity
to present evidence. Following the public hearing the Board may determine
whether or not to revoke the franchise or reduce its term based on
the evidence presented at the hearing, and other evidence of record.
If the Board determines to revoke a franchise or shorten its term,
it shall issue a written decision setting forth the reasons for its
decision. A copy of such decision shall be transmitted to the franchisee.
C.
Any franchise
may, at the option of the City following a public hearing before the
Board, be revoked one hundred twenty (120) calendar days after an
assignment for the benefit of creditors or the appointment of a receiver
or trustee to take over the business of the franchisee, whether in
a receivership, reorganization, bankruptcy assignment for the benefit
of creditors, or other action or proceedings, unless within that one
hundred twenty (120) day period:
1.
Such
assignment, receivership or trusteeship has been vacated; or
2.
Such
assignee, receiver or trustee has fully complied with the terms and
conditions of this Chapter and the franchise agreement and has executed
an agreement, approved by the court having jurisdiction, assuming
and agreeing to be bound by the terms and conditions of the franchise.
D.
In the
event of foreclosure or other judicial sale of any of the facilities,
equipment or property of a franchisee, the City may revoke the franchise,
following a public hearing before the Board, by serving notice upon
the franchisee and the successful bidder at the sale, in which event
the franchise and all rights and privileges of the franchise will
be revoked thirty (30) calendar days after serving such notice, unless:
E.
If the
City revokes a franchise, or if for any other reason a franchisee
abandons, terminates or fails to operate or maintain service to its
users, the following procedures and rights are effective:
1.
The
City may require the former franchisee to remove its facilities and
equipment. If the former franchisee fails to do so within a reasonable
period of time, the City may have the removal done at the franchisee's
and/or surety's expense.
2.
The
City, by resolution of the Board, may acquire ownership of the water
system at an equitable price if the franchise agreement so provides.
3.
If a
water system is abandoned by a franchisee, the City may sell, assign
or transfer all or part of the assets of the system.
F.
The City
may, upon resolution of the Board, acquire ownership of and operate
a water system, whether or not such ownership is acquired following
revocation or forfeiture of a franchise.
G.
Where
the City has issued a franchise specifically conditioned in the franchise
agreement upon the completion of construction or other specific obligation
by a specified date, failure of the franchisee to complete construction
or comply with other specific obligation as required will result in
the automatic forfeiture of the franchise without further action by
the City where it is so provided in the franchise agreement, unless
the City, at its discretion and for good cause demonstrated by the
franchisee, grants an extension of time.
H.
No adverse
action against a franchisee may be taken by the City pursuant to this
Section except after a notice public hearing at which the franchisee
is given an opportunity to participate.
[R.O. 2006 §715.220; CC 1985 §26.5-22; Ord. No. 94.18 §1, 6-2-1994]
A.
If the City exercises a right to purchase a water system under the terms of a franchise agreement and pursuant to this Chapter and the City and franchisee are unable to agree on a price for the purchase of the system, the price may be determined by arbitration as set forth in Subsection (B) below. No other matter may be arbitrated unless specifically provided for in the franchise agreement. Any matter that is arbitrable under the specific provisions of a franchise agreement may be subjected to the arbitration procedures set forth in Subsection (B) below.
B.
The arbitration
procedure employed shall be consistent with the rules and procedures
of the American Arbitration Association. The City and the franchisee
will each select a qualified arbitrator. The two (2) persons selected
shall select a third (3rd) qualified arbitrator, and the three (3)
arbitrators will constitute a panel whose decision is binding on both
parties. The fees of the first (1st) two (2) arbitrators shall be
paid by the party selecting such person, and the third (3rd) person
shall be compensated one-half (½) by the City and one-half
(½) by the franchisee. The general costs of the proceeding
shall be shared equally by the City and the franchisee.
[R.O. 2006 §715.230; CC 1985 §26.5-23; Ord. No. 94.18 §1, 6-2-1994]
A.
It is
the right of all users to receive all available services from the
franchisee as long as their financial and other obligations to the
franchisee are satisfied.
B.
In the
event of a termination or transfer of the franchise for whatever reason,
the franchisee must do everything in its power to ensure that all
users receive continuous, uninterrupted services regardless of the
circumstances. The franchisee must cooperate with the City to operate
the system for a temporary period following termination or transfer
as necessary to maintain continuity of service to all users. The temporary
period will not exceed twelve (12) months without the franchisee's
written consent. During such period the water system must be operated
under such terms and conditions as the City and the franchisee may
agree, or such other terms and conditions that will continue to the
extent possible, the same level of service to users and that will
provide reasonable compensation to the water operation.
[R.O. 2006 §715.240; CC 1985 §26.5-24; Ord. No. 94.18 §1, 6-2-1994]
Rates and charges may be changed by the franchisee following
a minimum thirty (30) calendar days' prior notice to the City and
users. In the event that the franchisee is not subject to rate regulation
by the Missouri Public Service Commission, the City reserves the rights
to implement procedures to impose such regulation.
[R.O. 2006 §715.250; CC 1985 §26.5-25; Ord. No. 94.18 §1, 6-2-1994]
The City may conduct periodic performance evaluations of a franchisee
as the City determines is necessary. A franchisee shall cooperate
fully with these evaluations. If the City implements a survey of water
system users in connection with a performance evaluation, the City
may require a franchisee to distribute the City's questionnaire to
its users at the City's expense.
[R.O. 2006 §715.260; CC 1985 §26.5-26; Ord. No. 94.18 §1, 6-2-1994]
A.
The City
Administrator or a designee shall have the responsibility for overseeing
the day-to-day administration of this Chapter and franchise agreements.
The Administrator shall be empowered to take all administrative actions
on behalf of the City except for those actions specified in this Chapter
that are reserved to the Board. The Administrator may recommend that
the Board take certain actions with respect to the franchise. The
Administrator shall keep the Board apprised of developments in water
and provide the Board assistance, advice and recommendations as appropriate.
B.
The Board
has the sole authority to grant franchises, enter into franchise agreements,
modify franchise agreements, renew franchises, revoke franchises,
and authorize the transfer of franchises; provided however, the Administrator
may act on pro forma transfer applications.
[R.O. 2006 §715.270; CC 1985 §26.5-27; Ord. No. 94.18 §1, 6-2-1994]
A.
This
Chapter shall be applicable to all water franchises issued by the
City, whether or not such franchises were issued prior to the effective
date of this Chapter; provided however, that such applicability shall
not abrogate any rights or obligations of an existing franchisee or
the City as may be in existence as of such effective date under the
terms of a then existing franchise agreement or the prior ordinance
controlling such existing franchise agreement. Further, any amendments
to this Chapter occurring after such effective date shall not abrogate
any rights as may exist under the terms of a franchise agreement which
was in effect prior to the effective date of such amendment.
B.
Any water
franchisee whose franchise agreement predates the effective date of
this Chapter shall notify the City in writing within ninety (90) calendar
days of the effective date of this Chapter, or any subsequent amendment
thereof, of:
[R.O. 2006 §715.280; CC 1985 §26.5-28; Ord. No. 94.18 §1, 6-2-1994]
A.
To the
full extent permitted by State and Federal law, the City may construct,
own, and/or operate a water system.
B.
Nothing
in this Chapter shall be construed to limit in any way the ability
or authority of the City to construct, own, and/or operate a water
system to the full extent permitted by State and Federal law.
