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. . t. ,,,. SECTION 8. CHANGE IN FORM OF GOVERNMENT. Any change in the form of government of the City shall not affect the validity of this Ordinance. Any governmental unit succeeding the City shall, without the consent of Company, succeed to all of the rights and obligations of the City provided in this Ordinance. SECTION 9. FRANCHISE FEE. 9.1 Fee Schedule. During the term of the franchise hereby granted, and in lieu of any permit or other fees being imposed on the Company, the City may impose on the Company a franchise fee by collecting the amounts indicated in a Fee Schedule set forth in a separate ordinance from each customer in the designated Company Customer Class. The parties have agreed that the initial fee collected by the Company and paid to the City in accordance with this Section 9 shall not exceed the following amounts. Cbss Fee Per Therm Residential Comm. Finn Non~Demand Comm. Firm Demand Small Interruptible Large Interruptible Firm Transportation Interruptible Transportation $0.017 $0.016 $0.005 $0.005 $0.005 $0.005 $0.005 9.2 Separate Ordinance. The franchise fee shall be imposed by a separate ordinance duly adopted by the City Council, which ordinance shall not be adopted until at least 60 days after written notice enclosing such proposed ordinance has been served upon Company by certified mail. The fee shall not become effective until at least 60 days after written notice enclosing such adopted ordinance has been served upon Company by certified mail. Section 2.5 shall constitute the sole remedy for solving disputes between Company and the City in regard to the interpretation of, or enforcement of, the separate ordinance. No action by the City to implement a separate ordinance will commence until this Ordinance is effective. Notwithstanding the formula set forth above, during the term of this franchise at intervals no more frequenrly than one year, the City may impose a lesser fee under Section 9.4 or the City may request an amendment pursuant to Section 11 allowing the City to impose a greater fee on one or more Cbsses of customer and/or a different fee design, including but not limited to, a percentage of gross revenue from Company's operations within the City, or a meter fee. If the City proposes such an amendment, it shall notify Company in writing no less than six (6) months prior to the anniversary date of the then current franchise fee required by the City. Promprly thereafter, City and Company shall attempt to negotiate a mutually acceptable modification to the fee amount and design for intended future collection by Company. If City and Company are unable to agree on a modification, all disputes shall be resolved pursuant to Section 2.5 of this franchise ordinance. Nothing in this Section is intended to be a limitation on the City's right to raise revenue under Minnesota Statutes, Section 216B.36. JMS-223419v4 NE136-154 6