Monte Sereno Municipal Code Ch. 11.04 Water Distribution Franchise

San Jose Water Works, a California corporation, (the "Grantee") and its successors and assigns, are hereby granted the right, privilege and franchise, to lay, construct, maintain, repair and operate a system of water pipelines and other apparatus (the "System") in, over, along, across, under, through and upon the public streets, roads, alleys and highways of the City of Monte Sereno, County of Santa Clara, State of California (the "City"), for the transportation and distribution for domestic, agricultural, industrial, commercial and other lawful uses and purposes.

All pipes and necessary appliances and fixtures used in connection with the System shall be laid, constructed, maintained and removed in conformity with law. Whenever it is proposed by the Grantee to open public streets, roads, alleys, and highways of the City, the Grantee shall serve notice upon the City Engineer of the City, a reasonable length of time prior to commencing the operation. Nothing herein shall be construed to mean that the Grantee need secure approval of any such operation, provided that reasonable regulations may be imposed by the City Engineer to protect the public of the City. Where emergency operations are indicated by circumstances beyond the control of this Grantee, notice need not be delivered to the City Engineer prior to remedial action being taken.

The Grantee, and its successors and assigns, shall at all times keep said water pipeline system and all accessory appliances and fixtures used in connection with said system in good order and condition, provided that if damage should result to the ground and road surfaces there over, the Grantee shall repair the same immediately.

The franchise shall commence on the effective date hereof and shall continue and endure in full force and effect until voluntarily surrendered or abandoned by the Grantee, its successors or assigns, with the consent of the Public Utilities Commission of the State of California, or until all property used and useful in the exercise of said franchise and situated within the territorial limits of the City shall be transferred to the State of California or some municipal or public corporation pursuant to pursuant to voluntary agreement or the exercise of the power of eminent domain, or until said franchise shall be forfeited for noncompliance with its terms by said Grantee.

The Grantee, its successors and assigns, must, during the life of said franchise, pay to the City, two percent (2%) of the gross annual receipts arising from the use, operation or possession of said franchise, payable annually at the end of each calendar year after the effective date of this Chapter with respect to the gross annual receipts for the preceding calendar year. In the event that such payment is not within thirty (30) days after end of calendar year, said franchise shall be forfeited.