16-3 GAS FRANCHISE.

As used in this section, the following words or phrases shall have the following meanings: Construct, install, maintain and use shall mean to lay, construct, erect, install, operate, maintain, use, repair or replace. Gas shall mean natural or artificial gas, or a mixture of natural and artificial gas.

Grantee shall mean Pacific Gas and Electric Company and its lawful successors or assigns.

Pipes and appurtenances shall mean pipes, pipelines, mains, services, traps, vents, vaults, manholes, meters, gauges, regulators, valves, conduits, appliances, attachments, appurtenances, and, without limitation to the foregoing, any other property located or to be located, in, upon, along, across, under or over the streets of Town, and used or useful in transmitting and/or distributing gas.

Streets shall mean the public streets, ways, alleys and places as the same now or may hereafter exist within Town, including State highways, now or hereafter established within Town.

Town shall mean the Town of Danville, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form. (Ord. 08-02, § 2)

The franchise to construct, install, maintain and use in the streets of Town all pipes and appurtenances, including communication circuits, necessary or proper for transmitting and distributing gas to the public for any and all purposes is hereby granted to Grantee.

(Ord. 08-02, § 2)

16.3.3 Term of Franchise.

The franchise shall be for twenty-five (25) years. The franchise shall endure in full force and effect until the same shall, with the consent of the Public Utilities Commission, be voluntarily surrendered or abandoned by Grantee, or until the State or some municipal or public corporation thereunto duly authorized by law shall purchase by voluntary agreement or shall condemn and take under the power of eminent domain, all property actually used or useful in the exercise of said franchise and situated in the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until said franchise shall be forfeited for noncompliance with its terms by Grantee. (Ord. 08-02, § 2)

The franchise is granted under the Franchise Act of 1937. (Ord. 08-02, § 2)

a. Grantee shall relocate, without expense to Town, any pipes and appurtenances installed, maintained or used under this franchise, if and when made necessary by any lawful change of grade, alignment or width of any streets by Town, including the construction of any subway or viaduct.

b. Grantee shall indemnify and hold harmless Town and its officers from all liability for damages proximately resulting from any operations under the franchise.

c. Grantee shall obtain encroachment permits for all excavations in the streets of Town and restore streets disturbed or altered as a result of Grantee's actions to the applicable and lawful Town ordinances, regulations and standards. (Ord. 08-02, § 2)

a. Grantee shall during the term of said franchise pay to Town two percent (2%) of the gross annual receipts of Grantee arising from the use, operation or possession of said franchise; provided, however, that such payment shall in no event be less than one percent (1%) of the gross annual receipts of Grantee derived from the sale of gas within the limits of Town.

b. Grantee shall file with the City Clerk within three (3) months after the expiration of the calendar year, or fractional calendar year, following the date of the granting, hereof, and within three (3) months after the expiration of each and every calendar year thereafter, a duly verified statement showing in detail the total gross of receipts of Grantee during the preceding calendar year, or such fractional calendar year, from the sale of gas transmission and ancillary services within Town. Grantee shall pay to Town within fifteen (15) days after the time for filing such statement, in lawful money of the United States, the aforesaid percentage of its gross receipts for such calendar year, or such fractional calendar year, covered by such statement. Any neglect, omission or refusal by Grantee to file such verified statement, or to pay said percentage at the time and in the manner specified, shall be grounds for the declaration of a forfeiture of this franchise and of all rights of Grantee hereunder. (Ord. 08-02, § 2)