Any utility using and/or occupying and continuing to use and/or occupy the whole or any part of the streets, avenues, lanes, alleys, public highways, public grounds, or public places within the corporate limits of the city without a franchise agreement shall pay a privilege tax for the use and occupancy of the whole or any part of the streets, avenues, lanes, alleys, public highways, public grounds, or public places within the corporate limits of the city. A privilege tax shall be in the amount of 3.5 percent of the gross revenue earned by the utility every month within the corporate limits of the city. The privilege tax shall be computed as of the commencement of business, or upon the expiration of any franchise agreement under which the utility might formerly have operated and shall be due and payable as hereinafter provided so long as the utility continues to operate within the city and to use and/or occupy the whole or any part of the streets, avenues, lanes, alleys, public highways, public grounds, or public places without a franchise. In the event a franchise is granted to any utility that is subject to the privilege tax herein required, then the franchise becomes effective, and then the privilege tax shall cease to apply from the fee date of the franchise. But, the franchise agreement holder shall pay the proportionate earned amount of the privilege tax for that period. The privilege tax shall in such cases become immediately due and payable. In the event that any such utility shall operate under a permit granted by the city council and accepted in writing by it, there shall be no privilege tax applicable under this section.
(Ord. 880 § 3, 1985)