Minutes 09/26/1989 - Laserfiche WebLink

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TUESDAY, SEPTEMBER 26, 1989 filed with the Clerk of the City Council. For the purposes of this franchise, any rates for comparable insurance coverage which shall be approved by the Insurance Commissioner of the Commonwealth of Virginia (or other state official having authority to fix or approve insurance rates) shall be deemed to be reasonable rates, and the grantee agrees that it will in good faith seek such approval. This insurance is not to be considered as the limit of the grantee's liability under Section 14 (a), but is merely a minimum requirement to fund such liability~~ '= ''~!~ ~ . (c) Surety Bond. Upon acceptance by the grantee of a franchise contract under the conditions of this Ordinance, and before the grantee shall have any rights hereunder, the grantee shall file with the Clerk of the City Council, for the benefit of the city, a corporate bond, in a form approved by the City Attorney, in the sum of Five Thousand Dollars ($5,000) securing the city against any default on the part of the grantee whereby the city or its property shall be damaged, and conditioned to the effect that the grantee will comply in all respects with the termS, provisions and conditions of this Ordinance. SECTION .15. RESTORATION OF IMPAIRED SERVICE. In the event of any interruption or impairment of service or failure of supply of gas by reason of force, nature, act of God, strike, breakdown, accident or other happening beyond the control of the grantee, the grantee shall use every reasonable effort and prompt diligence to restore such service with as little interruption as possible and in all events within a reasonable time, and such interruption or failure for such reasons shall not constitute a breach of this franchise. SECTION 16. TRANSFER OF FRANCHISE. No sale, transfer, disposition or assignment of this franchise (except with all or substantially all of the operating properties of the grantee as security for debt) shall be effective unless the grantee shall file with the City Manager written notice of the proposed sale, transfer, disposition or assignment, such noti,ce to clearly summarize the proposed procedure and the terms and conditions thereof. The proposed vendee, grantee or lessee shall similarly file an instrument, duly executed, reciting such proposal, accepting the terms of this franchise and agreeing to perform all of the conditions thereof. SECTION 17. FORFEITURE. The violation of any material portion of this franchise by the grantee or its successor in interest, or its failure promptly to perform any of the material provisions of this franchise, shall be cause for the forfeiture hereof and the termination of all rights hereunder. Such forfeiture shall be accomplished by resolution of the City Council after written notice to the grantee, and continuation by the grantee of the violation, failure or default specified in the notice for at least ninety (90) days from the date when the notice is served. In the event of forfeiture as herein set forth, the city may proceed in such manner as the City Council may deem best in an endeavor to maintain service of gas to the consumers of the grantee.