AN ORDINANCE, GRANTING TO THE KANSAS POWER AND LIGHT COMPANY, A KANSAS CORPORATION, ITS SUCCESSORS AND ASSIGNS, A NATURAL GAS FRANCHISE, PRESCRIBING THE TERMS THEREOF AND RELATING THERETO, AND REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES INCONSISTENT WITH OR CONFLICTING WITH THE TERMS THEREOF.

Section 1. That in consideration of the benefits to be derived by the City of Galva, Kansas, and its inhabitants, there is hereby granted to The Kansas Power and Light Company, hereinafter sometimes designated as “company”, the company being a Kansas corporation operating a system for the transmission of electric current between two or more incorporated cities in the State of Kansas, and also operating a system for the transmission and distribution of natural gas in the State of Kansas, the right, privilege, and authority for a period of 20 years from the 1st day of November, 1985, to occupy and use the several streets, avenues, bridges, parks, parkings, and public places of the city for the placing and maintaining of pipelines and other equipment necessary to carry on the business of selling and distributing natural gas for all purposes to the city and its inhabitants, and through the city and beyond the limits thereof; to obtain the natural gas from any source available, and to do all things necessary or proper to carry on the natural gas business in the city.

Section 2. As further consideration for the granting of this franchise, and in lieu of any city occupation, license, or revenue taxes, the company shall pay to the city, two percent of its gross revenue from the sale of natural gas during the term of this franchise to all consumers within the corporate limits of the city. Such monthly payment shall be made monthly for the preceding monthly period after the effective date of this franchise.

Section 3. That all mains, services, and pipe which shall be laid or installed under this grant shall be so located and laid as not to obstruct or interfere with any water pipes, drains, sewers, or other structures already installed.

Section 4. Company shall, in the going of the work in connection with its gas mains, pipes and services, avoid, so far as may be practicable, interfering with the use of any street, alley, avenue, or other public thoroughfare, and where company disturbs the surface of a street, alley, avenue or other public thoroughfare, it shall at its own expense and in a manner satisfactory to the duly authorized representatives of the city replace such paving or surface in substantially as good condition as before the work was commenced.

Section 5. It is recognized that the natural gas to be delivered hereunder is to be supplied from a pipeline system transporting natural gas from distant sources of supply; and the company, by its acceptance of this franchise as hereinafter provided, does obligate itself to furnish natural gas in such quantity and for such length of time, limited by the terms hereof, as the sources and the pipelines are reasonably capable of supplying.

Section 6. That company, its successors and assigns, in the construction, maintenance and operation of its natural gas system, shall use all reasonable and proper precaution to avoid damage or injury to persons and property, and shall hold and save harmless the city from any and all damage, injury, or expense caused by the sole negligence of the company, its successors and assigns, or its or their agents or servants.

(12-3-1984)