File #: ORD-05:193    Version: 1 Name: Franchise fees
Type: Ordinance Status: Passed
File created: 8/18/2005 In control: Finance & Administration Council Committee
On agenda: Final action: 9/20/2005
Title: AN ORDINANCE FIXING THE AGGREGATE AMOUNT OF LICENSE FEES, OCCUPATION FRANCHISE FEES, CHARGES, AND SPECIAL FRANCHISE FEES ON PUBLIC UTILITIES OPERATING WITHIN THE CITY OF JONESBORO, ARKANSAS WITH THE EXCEPTION OF SBC, CENTERPOINT ENERGY, COX COMMUNICATIONS AND CITY WATER AND LIGHT; AND FOR OTHER PURPOSES
Indexes: Franchise agreement
Related files: MIN-05:120, ORD-70:2579

title

AN ORDINANCE FIXING THE AGGREGATE AMOUNT OF LICENSE FEES, OCCUPATION FRANCHISE FEES, CHARGES, AND SPECIAL FRANCHISE FEES ON PUBLIC UTILITIES OPERATING WITHIN THE CITY OF JONESBORO, ARKANSAS WITH THE EXCEPTION OF SBC, CENTERPOINT ENERGY, COX COMMUNICATIONS AND CITY WATER AND LIGHT; AND FOR OTHER PURPOSES

body                     

WHEREAS, various independent utility companies (hereinafter the Utility Companies) are duly authorized, by franchise ordinances heretofore enacted or by agreements heretofore entered into, to provide certain utility services and systems in the City of Jonesboro, Arkansas, (hereinafter the City )and,

 

WHEREAS, the Utility Companies are now and will be occupying the streets, alleys and rights of way of the City for the purpose of operating, maintaining, and extending their various services to the City and supplying the City and residents therein , and

 

WHEREAS, the City is entitled to receive just and reasonable franchise fee from the Utility Companies which the City may lawfully impose and the Utility companies are entitled to receive reasonable rates for services supplied the City, and.

 

NOW THEREFORE, BE IT ORDAINED by the City Council of the City of Jonesboro, Arkansas, that:    

 

SECTION 1: That the term all Utility Companies refers to all utilities companies with the exception of Centerpoint Energy, SBC; Cox Communications and City Water and Light.

 

SECTION 2: For the purposes of this ordinance, independent utility companies shall be defined as any person, firm, corporation or other business entity not owned in whole or in part by the City, which shall be authorized or enfranchised to provide utility systems and services within the City.  Such systems and services shall include, but shall not necessarily be limited to, gas and telephone.

 

SECTION 3: Each Utility Company, shall pay to the City beginning January 1, 2006 and thereafter, 4.25 per centum (4.25%) of its gross revenues collected for services (excluding industrial and municipal revenues) was paid to the Utility Company by customers residing within the corporate limits of the City.  Such tax is to be calculated on gross revenues for the current year.  Payment shall be made by each Utility Company to the City by the 15th day of the month after collection.  Industrial revenues are those revenues defined by the Utility Company as such and approved as such by the Arkansas Public Service Commission or other public body having oversight authority.  Municipal revenues excluded shall be those covered in Section 3 hereof.

 

It is expressly agreed and understood by the City that said payments shall constitute and be considered as complete payment and discharge by the Utility Companies of all licenses, fees, occupation and privilege franchise fees, charges, impositions, or other franchise fees (other than automobile license fees, special millage taxes and general ad valorem taxes) which are now and may in the future be imposed by the City under authority conferred upon the City by law.

 

SECTION 4: Utility services furnished by each Utility Company to the City for public purposes shall be paid by the City in accordance with the applicable rate schedules of the Utility company now on file or hereafter filed by the Utility Company with, and approved by, the Arkansas Public Service Commission or other public body having oversight authority.  It is expressly agreed and understood between the city and the Utility Company that if any additional licenses, charges, fees, impositions or franchise fees (other than automobile license fees, special millage franchise fees, and general ad valorem franchise fees) be charged, imposed, or levied by the City in the future, then in such event the obligation of the company set forth in Section 3 hereof shall immediately terminate.

 

SECTION 5: All ordinances, resolutions, agreements and parts of ordinances, resolutions and agreements in conflict herewith are hereby repealed.

 

SECTION 6: The provisions of this ordinance are declared to be severable.  In the event part or parts of this ordinance are declared invalid or unenforceable, the remainder of said ordinance shall remain in full force and effect.

 

SECTION 7: This ordinance shall be in effect on and after January 1, 2006.

 

PASSED on the 20th day of September, 2005.