(a) In consideration for the franchise rights granted herein, and in lieu of all occupation and license taxes, other special taxes, assessments, excises, fees, charges, permit fees or rental fees upon the facilities and operations of the Company, the Company shall pay to the Town the franchise fee as set by the fee schedule adopted by resolution for all gas sold or delivered within the Town. This fee shall be effective the first billing cycle after this Franchise becomes effective. Payments shall be made quarterly. Upon written notice to the Company, the Town may, on or before September 1, 2008, request review of the per ccf franchise fee. Such review will consider franchise fees assessed by the Company in surrounding towns within a one-mile radius of the Town. After such review and at its written election provided to the Company on or before December 31, 2008, the Town may elect as the applicable per ccf franchise fee the higher of the current franchise fee or that of the surrounding towns within a one-mile radius in effect on January 1, 2009. The Company will begin assessing the new franchise fee within thirty (30) days of such written election provided to the Company.

(b) The Company shall pay the Town an initial lump sum franchise fee of no more than nine thousand dollars ($9,000.00) The Company shall pay such initial franchise fee within thirty (30) days of the effective date of this Franchise or when determined by the Town. The Company reserves the right to recover this initial fee from residential and commercial customers over the effective period of this Franchise. The Company shall retain any collections of this initial franchise fee. The Company shall also be responsible for all publication costs related to the Town’s approval of this franchise agreement in accordance with applicable regulations.

(c) Adjustment for the net write-off of uncollectible amounts and corrections of bills theretofore rendered shall be allowed. Payments of the franchise charge to the Town shall be made on or before the first day of March of each year for the calendar year next previous. For the purpose of ascertaining or auditing the correct amount to be paid under the provisions of this Subsection, the Town or committee appointed by the Trustees shall have access to the books of said Company for the purpose of checking the gross revenue received and volume of gas sold and delivered from operations within said Town. (Ord. 850 § 10, 2006; Ord. 1161 §5, 2013)