CHAPTER XVIII
UTILITIES AND FRANCHISES
Section 18.1 City Powers, Functions and Authority.
a. The Council shall have, with regard to all public utilities and cable television, all Home Rule municipal powers, functions, and authority now existing and which may be hereafter provided by the Constitution and the Statutes of the State of Colorado.
b. Subject to the laws of the State of Colorado applicable to Home Rule Cities and the Constitution of the State of Colorado, the Council, upon obtaining a majority vote of the registered tax-paying electors of the City, subject to Section 18.1, subsection c, shall have the power and authority within or without the territorial limits of the City, to construct, condemn, purchase, acquire, and lease public utilities and cable television assets, equipment and everything in relation to or in connection therewith, in whole or in part, for the use of the City and its inhabitants.
(1) The term “public utility” or “public utility corporation” when used in this Charter shall mean any person, firm or corporation operating a heat, power, gas or light system, a communication system, or a water, sewer or scheduled transportation system, and serving or supplying the public. It shall not include any person, firm or corporation owning or operating sidetracks or switches for the accommodation of manufacturing plants and business houses, or private telephone lines, and shall not include City owned utilities.
c. In the event that it is established by law applicable to Home Rule Cities, that the qualifications for voting on any issue provided for in this Chapter are otherwise than as prescribed in this Chapter, then such law shall govern said qualifications.
d. The Council shall further have the power to buy, sell, exchange, lease, own, control, and otherwise deal in water rights.
e. Any exercise of authority pursuant to this Chapter, subsequent to acquisition of facilities hereunder, shall be administered through a regular department of the City government under the management and supervision of the City Manager organized as provided in Section 7.1.
f. Council, by ordinance, upon recommendation of the City Manager, may authorize the extension of any City service or City owned facilities, provided under authority of this Chapter, to consumers outside the corporate limits of the City, under such terms and conditions as may be agreed upon, subject to laws applicable to Home Rule Cities.
Section 18.2 Use of Public Places by Utilities.
a. Every public utility, whether it has a franchise or not, may use the City streets, alleys, bridges, and other public places upon such terms, conditions or requirements as are provided by Council or by the City Manager, and such public utility shall pay that part of the cost of improvement or maintenance of City streets, alleys, bridges, and other public places as shall arise from its use thereof and shall protect and save the City harmless from all damages arising from said use.
b. Every such public utility may be required by the City to permit joint use by the City and other public utilities of its property and appurtenances located in the City streets, alleys or other public places insofar as such joint use may be reasonably practicable and upon payment of reasonable rental therefor.
c. In the absence of agreement and upon application by public utility or by the City, the Council shall provide for arbitration of the terms and conditions of such joint use and the compensation to be paid therefor, and the arbitration award shall be final.
Section 18.3 Utility Rates.
The Council shall, by ordinance, establish rates, rules and regulations and extension policies for services provided by City owned utilities, both within and outside the corporate limits of the City.
Section 18.4 Present Franchises.
All franchise ordinances and agreements of the City in effect at the time this Charter is effective shall remain in full force and effect in accordance with their respective terms and conditions unless modified by another franchise.
Section 18.5 Grant to Public Utility Franchises.
a. Grants of public utility franchises and all extensions, and amendments shall be granted only by ordinance, and no public utility franchise shall be granted except upon the majority vote of the registered tax-paying electors of the City, subject, however, to Section 18.1 subsection c.
(1) No such franchise ordinance shall be approved by the Council for referral to the electorate in less than thirty (30) days after application therefor has been filed with Council nor until the grantee named therein has filed with the Clerk his unconditional acceptance of all terms of such franchise.
(2) With respect to any franchise, after mutual agreement with the holder of the franchise, the Council may, by ordinance, extend the area served by the franchise including streets, alleys, public places and property not originally embraced in such franchise. When public convenience and necessity requires, subject to the terms and conditions of such original franchise, and co-extensive with the terms thereof, without a vote of the registered tax-paying electors of the City, or without a vote of any other electors of the City, if the provisions of Section 18.1, subsection c, should apply. Provided, however, that if provision is made for such extension of facilities in the original franchise agreement. Council need not act by ordinance to permit such extension, and the holder of the franchise may proceed to extend facilities in accordance with the terms and conditions of the original franchise.
(3) For the purposes of this Charter, cable television and garbage, trash or rubbish disposal shall not be deemed to be public utilities and permits or licenses for cable television or garbage, trash or rubbish disposal may be granted to one or more companies without a vote of the registered taxpaying electors of the City, or without a vote of any other electors of the City if the provisions of Section 18.1, subsection c, should apply.
b. No exclusive franchises shall be granted.
c. No franchise election shall be held until the applicant deposits the cost thereof with the City Treasurer in an amount determined by the City Treasurer as approved by the City Manager.
d. No franchise shall be granted without reserving to the City such fair fee arising from the use thereof as shall be fixed in the grant of such franchise.
Section 18.6 Compensation for Franchises.
Every grant of a franchise shall fix the amount and manner of payment of the compensation to be paid by the grantee for the use of the franchise and no other compensation shall be exacted for such use during the life of the franchise. This provision shall not exempt the grantee from any lawful taxation upon his or its property, nor from any license, charge, or other impositions levied by the Council, not levied on account of the use granted by the franchise.
Section 18.7 Conditions of Franchises.
All public utility franchises granted after the effective date of this Charter, whether it be so provided in the granting ordinance or not, shall be subject to the following rights of the City, except as otherwise provided by the Statutes of Colorado applicable to Home Rule Cities and the Constitution of the State of Colorado; but this enumeration shall not be exclusive or impair the right of the Council to insert in such franchise any provision within the power of the City to impose or require:
a. To repeal the same for inadequate service, for misuse, nonuse or failure to comply with the provisions thereof.
b. To require proper and adequate extension of plant facilities and service and maintenance thereof at the highest practicable standard of efficiency.
c. To establish reasonable standards of service and quality of products and prevent unjust discrimination in service or rates.
d. To require continuous and uninterrupted service to the public in accordance with the terms of the franchise throughout the entire period thereof.
e. To use, control, and regulate the use of its streets, alleys, bridges, and other public places and the space above and beneath them.
f. To permit the City as provided in Section 18.1, upon the payment thereof of fair valuation, to purchase and take over the property and plant of the grantee in whole or in part. Such valuation shall be made as provided in the franchise grant or otherwise as provided by law.
g. To impose such other regulations as may be determined the Council to be conducive to the health, safety, and welfare of the public.
Section 18.8 Assignment and Leasing of Franchises.
a. No franchise granted by the City shall be leased, assigned, or otherwise alienated without the approval of Council given by ordinance and no negotiation with the lessee or assignee on the part of the City to require the performance of any act or the payment of any compensation by the lessee or assignee shall be deemed to operate as such consent. Any assignment, lease or sale of such franchise without the consent of the City shall, at the option of the Council, operate as a forfeiture of such franchise.
b. The right of Council to deny any assignment, lease or sale of a franchise is reserved.
c. Council, upon approving any such assignment, lease or sale of franchise, may impose such reasonable conditions and terms deemed necessary.
Section 18.9 Revocable Permits.
The Council may grant a permit at any time for the temporary use or occupation of any street, alley, or City owned place, provided such permit shall be revocable by the Council at its pleasure, regardless of whether or not such right to revoke be expressly reserved in such permit.
Section 18.10 Franchise Records.
a. The Council shall cause to be kept in the office of the City Clerk an indexed franchise record which shall contain copies of all public utility franchises granted by the City.
b. The index shall give the name of the grantee and any assignees. The record shall be a complete history of all such franchises, shall include a convenient reference to all actions at law affecting the same, copies of all annual reports, and such other information as the Council or City Manager may require.