1987-146 - Laserfiche WebLink

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SECTION XX COUNTY PURCHASE OPTION The County shall have the right to purcLase the Utility's plant at Utility's original construction cost, original land cost, plus costs associated with capital additions and expansions to the plant, less 3-1/2% depreciation per year, and less any contributions in aid of construction. Depreciation on the system shall be calculated to start at the time the County issues an operating permit as provided in Section VI. Upon acquisition of the system and appurtenant real estate, the County would then own the entire system and would terminate this franchise and provide service to the franchise territory. All accumulated escrow fees would vent in the County. In the event of an acquisition by the County, or the use of the County's own plant-,, the County shall recelve the nynterm free or co: -,t and in good repair, ordinary wear and te.1r e:il,-ctrl. The Utility shall pay to the County all enc:roxerl i7pact fettn upon acrliiini.tion or upon c_onnec:tion to County'!; own plants. EST Ic;r..Y'i->. REMAL__Fl.i Iwo and One-half percent (2-1/:t) of the ,Annu,iL np,�r.itLnJ cr-,.t or the Utility 111111by c1€,I.11,'ere.l to the Co i.inty t.o hon in an .interest bearLnJ renewaI and replacn^ent account raC., purposes Of renewal or replacesent of the r.ipit.al .aweets of the sy:;t�rm. The Utility nhal.l 1'iind said account LnitLaLLy with $6,000.00. Cnterest shall accuni.;lit.n. in thn account until t.h*i aCCOLnt reaches 21;; or the entimated value or the system's original costs thereafter Lnt�re:t !;hall. be paid to th.: Utility annually by the County. The funds held by the County :;hill be used only rur rR!nevsl or r,04cesent of the rystem by the utility as the need ,arises and aj,proved by the co;tnty. 'Phe percentage required to be pL u . l In the r,-newal anal r>:pt.e :• m= nt account may be amended after E -vi -d by the County as necPen:;ary to maintain it surricie+nt account b,ilanc.! taF:Lnq into account the general condition or the r.ystem. Upon the County t.ikin,i ovale the syestem all accumulated Renewal and Replacement e;cr0w fund, Shall ve^;t in the County. The county is granted the rLght to m;ikte nerca;;,,rry repair, - using these fundt: in the, event of default: on th,: part of ttie Utility in maintaining the qualLty ntandards el;tabli!;he(t in this franc:•hinn. If the County purchane:; the eorporatlon's utility system then any funds in the renewal anti replacement account shall vest in the County. -11-