PLEASE TAKE NOTICE that at a meeting of the Fruitport Charter Township Board held on December 13, 2021 the Board had a second reading of and adopted the Consumers Energy Company Revocable Electric Franchise Ordinance for the Charter Township of Fruitport, Michigan
The Ordinance (No. 827) grants the right, power, and authority to the Consumers Energy Company, a Michigan corporation, its successors and assigns (the “Grantee”) to construct, maintain, and commercially use electric lines consisting of towers, masts, poles, crossarms, guys, braces, feeders, transmission and distribution wires, transformers, and other electrical appliances (collectively the “Structures and Equipment”) for the purpose of transmitting, transforming, and distributing electricity on, under, along, and across the highways, streets, alleys, bridges, waterways, and other public places (collectively the “Public Ways”), and to do a local electric business in the Township for a period of 30 years. This Ordinance shall be effective December 17, 2021.
ORDINANCE NO. 827
CONSUMERS ENERGY COMPANY REVOCABLE
ELECTRIC FRANCHISE ORDINANCE
An Ordinance granting to Consumers Energy Company, its successors and assigns, the right, power, and authority to construct, maintain, and commercially use electric lines consisting of towers, masts, poles, crossarms, guys, braces, feeders, transmission and distribution wires, transformers, and other electrical appliances on, under, along, and across the highways, streets, alleys, bridges, waterways, and other public places, and to do a local electric business in the Charter Township of Fruitport, Muskegon County, Michigan, for a period of 30 years.
THE CHARTER TOWNSHIP OF FRUITPORT ORDAINS AS FOLLOWS.
SECTION 1. GRANT. The Charter Township of Fruitport, Muskegon County, Michigan (the “Township”) grants the right, power, and authority to the Consumers Energy Company, a Michigan corporation, its successors and assigns (the “Grantee”) to construct, maintain, and commercially use electric lines consisting of towers, masts, poles, crossarms, guys, braces, feeders, transmission and distribution wires, transformers, and other electrical appliances (collectively the “Structures and Equipment”) for the purpose of transmitting, transforming, and distributing electricity on, under, along, and across the highways, streets, alleys, bridges, waterways, and other public places (collectively the “Public Ways”), and to do a local electric business in the Township for a period of 30 years.
SECTION 2. CONSIDERATION. In consideration of the rights, power, and authority granted, the Grantee shall faithfully perform all things required by the terms of this Ordinance.
SECTION 3. TERM. The franchise granted by this Ordinance shall be for a term of 30 years, subject to the right of revocation stated in this Ordinance.
SECTION 4. REVOCATION. The franchise granted by this Ordinance is subject to revocation at will by the Township or by the Grantee upon 60 days written notice to the Township.
SECTION 5. FRANCHISE NOT EXCLUSIVE. The rights, power, and authority granted by this Ordinance are not exclusive.
SECTION 6. CONDITIONS. The following conditions shall apply to the consent and franchise granted by this Ordinance.
- All of the Grantee’s Structures and Equipment shall be constructed and maintained in accordance with the National Electric Safety Code, as adopted by the Michigan Public Service Commission, and so placed on either side of the highways as not to unnecessarily interfere with their use for highway purposes.
- The Grantee and its contractors shall not unduly burden the use of any Public Way within the Township with regard to the location of its Structures and Equipment. No Public Way shall be obstructed longer than necessary during the work of construction or repair of the Structures and Equipment. All of Grantee’s wires carrying electricity shall be securely fastened so as not to endanger or injure persons or property in the Public Ways.
- The Grantee and its contractors shall, within a reasonable period of time, restore, at the Grantee’s sole cost and expense, any portion of the Public Ways that is in any way disturbed, damaged, or injured by the construction, operation, maintenance, or removal of the Structures and Equipment to a condition at least as good as that which existed prior to the work. In the event the Grantee and its contractors fail to so restore the Public Way promptly and after seven days written notice from the Township to the Grantee of such failure, the Township shall be entitled to make the required restoration of the Public Way and the Grantee shall pay to the Township the costs for the restoration.
- The Grantee shall have the right to trim trees upon and overhanging the Public Ways as necessary to protect and prevent interference with its Structures and Equipment and access thereto. The right to trim trees shall be subject to the supervision of the highway authorities. Except for in the event of an emergency or service restoration, pursuant to the notification requirements provided for in the Michigan Public Service Commission Technical Standards for Electric Service, the Grantee shall inform the Township prior to commencement of tree trimming work within the Public Ways under the jurisdiction of the Township.
- The Township has the right to use and to vacate any Public Ways within the Township. However, nothing in this subsection shall be construed as a waiver of the Grantee’s current and future rights under state or federal laws. Where reasonably practicable, the Grantee shall permit joint use of, or attachment to, its poles and other appurtenances located in the Public Ways in accordance with any applicable rules and regulations of the Michigan Public Service Commission, the Federal Communication Commission, and any other applicable rule, regulation, and order of any state or federal agency having jurisdiction. Furthermore, such joint use of poles and other appurtenances shall be conditioned upon entering into an agreement for the joint use and upon the payment of rental charges.
SECTION 7. INDEMNIFICATION. The Grantee shall defend, indemnify, and hold harmless the Township, its board, officers, agents, and employees from all claims, losses, liabilities, demands, and expenses of any kind that result from or arise out of the acts or omissions of the Grantee, its officers, agents, employees, and contractors by reason of the Grantee’s operations permitted by this Ordinance. However, this hold harmless provision shall not apply to any loss, cost, damage, claims, liabilities, demands, and expenses arising solely out of the negligence of the Township, its employees, contractors, board members, and agents. Furthermore, in the event that any loss, cost, damage, liabilities, demands, expenses, or claims arise out of the joint negligence of the Township and the Grantee, this hold harmless provision shall not apply to the proportional extent of the negligence of the Township, its employees, board members, agents, or contractors.
SECTION 8. INSURANCE. The Grantee represents that it now carries, and agrees it will continue to carry during the term of this Ordinance, Michigan Statutory Workers’ Compensation, Excess Liability (including contractual liability) with minimum limits of $1,000,000.00 per occurrence, and is self-insured for purposes of No-Fault Automobile Liability Insurance. Such coverages are subject to large deductibles or self-insured retentions in accordance with the Grantee’s risk management practices. The risk management practice of maintaining large deductibles or self-insured retentions is considered prudent and consistent with other companies of similar size and operation as the Grantee. Certificates evidencing that the Grantee either maintains the above-mentioned insurance coverage or is an approved self-insurer shall be furnished to the Township if requested.
SECTION 9. EXTENSIONS. The Grantee shall construct and extend its electric distribution system within the Township, and shall furnish electric service to applicants owning property or residing in the Township in accordance with applicable laws, rules, and regulations.
SECTION 10. RATES. The Grantee shall be entitled to charge the inhabitants of the Township, for electric service furnished in the Township, the rates as approved by the Michigan Public Service Commission. The Michigan Public Service Commission or its successors are granted authority and jurisdiction to fix and regulate electric rates and rules for regulating electric service in the Township, for the term of this franchise. The rates and rules shall be subject to review and change at any time upon petition being made by either the Township, acting by its Township Board, or by the Grantee.
SECTION 11. MICHIGAN PUBLIC SERVICE COMMISSION, JURISDICTION. The Grantee shall, as to all other conditions and elements of electric service in the Township not fixed by this Ordinance, be and remain subject to the reasonable rules and regulations of the Michigan Public Service Commission or its successors.
SECTION 12. SEVERABILITY AND CAPTIONS. This Ordinance and its various parts, sections, subsections, sentences, phrases, and clauses, are declared to be severable. If any part, section, subsection, sentence, phrase, or clause is adjudged unconstitutional or invalid, the remainder of the Ordinance shall not be affected. The captions included at the beginning of each section are for convenience only and shall not be considered a part of this Ordinance.
SECTION 13. REPEAL. All ordinances or parts of ordinances in conflict with this Ordinance are repealed to the extent of such conflict.
SECTION 14. EFFECTIVE DATE. This Ordinance was approved and adopted by the Township Board on December 13, 2021, after a first reading on November 22, 2021 and publication after such first reading. This Ordinance shall be effective the day after publication. The Grantee shall reimburse the Township for its actual publication expenses associated with this Ordinance within 30 days of receipt of the Township Clerk’s billing statement for those expenses.