[Adopted 4-18-1995 by Ord. No. 101; amended in its entirety 6-17-2019 by Ord. No. 239]
The City of New Buffalo ("grantor") grants to the Indiana Michigan Power Company (d/b/a American Electric Power), its successors and assigns ("grantee"), the right, privilege, franchise, and authority to acquire, construct, maintain, and operate in, above, under, across, and along the streets, thoroughfares, alleys, bridges, and public places (as the same now exist and may hereafter be laid out) of the City, lines for the transmission and distribution of electric energy, either by means of overhead or underground conductors, with all the necessary or desirable appurtenances for the purpose of supplying electric energy to the City and inhabitants thereof, and persons or corporations beyond the limits thereof, for light, heat, power, or any other purposes or purpose for which electric energy is now or may hereafter be used, and the transmission of the same within, through or across said City (the electric system"), subject to such reasonable regulations as the City Council shall prescribe from time to time.
The franchise granted by this ordinance from the City to the grantee is subject to the following conditions and restrictions:
A. 
The grantee shall not obstruct public rights-of-way longer than necessary during the construction or repair of the electric system and shall be restored to the same good order and condition as when the work was commenced. The grantee may trim or remove trees that are located within the public rights-of-way if necessary to safely provide or maintain electrical service.
B. 
The grantee shall not damage, harm or injure any street, highway, alley or other public space, or in any manner disturb or interfere with any water main, gas pipes, or public or private sewer lines currently constructed or that may be constructed in the future.
C. 
The grantee's electric system and associated appurtenances shall be maintained in accordance with industry standards, the National Electrical Safety Code and any other standards imposed by the Michigan Public Service Commission and shall not unnecessarily interfere with the use of the public rights-of-way.
D. 
Except in the case of an emergency or storm, the grantee shall notify the City in writing at least 24 hours prior to undertaking any work in the City involving excavation in or the closing of any public rights-of-way. The notice shall state the intended duration of any rights-of-way obstruction, which, except in the case of an emergency or storm, obstruction shall not continue for more than 24 hours beyond the stated time unless the City grants an extension of time. The grantee shall, at the City's request, provide plans and specifications showing the nature and extent of the proposed excavation and construction. Grantee is solely responsible for obtaining any necessary governmental permits for such excavation or construction.
E. 
This ordinance shall not be construed to prevent the grantee from immediately commencing construction or repair work, including tree trimming, resulting from a storm or other natural disaster when deemed necessary to prevent danger to life or property and, in such case, the grantee shall notify the City of the construction or repair work as soon as reasonably practical.
F. 
Upon the City's request for a public improvement project to improve the use of the public right-of-way and only if grantee's electric system components physically interfere with such public improvement, the grantee shall relocate components of the electric system at no charge to the City.
G. 
The City understands that certain planned outages are necessary for the routine maintenance of the electric system, but has an interest in ensuring that businesses and residential users are aware of such outages so they can prepare accordingly. In furtherance of that interest, grantee shall notify the City of any planned outages simultaneously with any notice given to the Michigan Public Service Commission or other regulatory bodies.
Grantee shall pay the City $3,500 to cover any expenses the City may incur in enabling passage of this ordinance.
The grantee shall be entitled to charge its customers in the City the rates as approved by the Michigan Public Service Commission. The grantee shall be and remain subject to the reasonable rules and regulations of the Michigan Public Service Commission, or its successors, applicable to electric service in the City. Grantee shall comply with all applicable laws, statutes, ordinances, rules and regulations regarding the installation, construction, ownership or use of the grantee's electrical system, whether federal, state or local, now in force or which may in the future be promulgated. This ordinance shall not be construed as a waiver by grantee of any of its existing or future rights under state or federal law.
The rights, privileges, and franchise hereby granted shall be in force and effect until December 31, 2029, but revocable at the will of the City Council unless approved by vote of the electors. The rights, privileges, and franchise hereby granted shall not be construed to be exclusive and the City Council hereby reserves the power to grant similar rights, privileges, and franchises to any other person or persons, firms, or corporations.
A. 
The grantee shall indemnify and hold harmless the City and its officers, agents and employees from any and all losses, costs, judgments, damages and expenses to which one or more may be subject as a result of the grantee's negligent construction, maintenance, repair or operation of the structures or equipment, or the grantee's use and occupation of, the public rights-of-way as authorized by this ordinance, or resulting from the grantee's default or negligent omission. If a claim is filed against the City or its officers, agents or employees resulting from the grantee's operation of an electric utility under this ordinance, the grantee shall, upon notice, defend and indemnify the City, with legal counsel reasonably acceptable to the City, from all losses, costs and damages arising out of such negligent construction and maintenance, including court costs and reasonable attorney fees.
B. 
Neither the City nor its officers, agents, employees or contractors shall be liable to grantee or to grantee's customers for any interference with or disruption in the operation of grantee's electrical system, or for any damages arising out of grantee's use of the public rights-of-way, except for the sole negligence or willful misconduct of the City, its agents, officers, employees or contractors.
Whenever in this franchise reference is made to the City or the grantee, it shall be deemed to include the respective successors or assigns, of either and all rights, privileges, and obligations herein contained by or on behalf of the City, or by or on behalf of said grantee, shall be binding upon and inure to the benefit of the respective successors of assigns of the City or of said grantee, whether so expressed or not.