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Gas Facilities. Gas transmission and distribution pipes, lines, ducts, fixtures, and all necessary equipment and appurtenances owned or operated by the Company for the purpose of providing gas energy for public or private use. Gas. Natural gas, manufactured gas, mixture of natural gas.and manufactured gas or other forms of gas energy. Non-Betterment Costs. Costs incurred by Company from relocation, removal or rearrangement of Gas Facilities that do not result in an improvement to the Gas Facilities. Notice. A writing served by any party or parties on any other party or parties. Notice to Company shall be mailed to CenterPoint Energy Minnegasco, V.P., Regulatory& Supply Service, 800 LaSalle Avenue, Minneapolis, MN 55402-2006. Notice to the City shall be mailed to the City Manager, City of St. Anthony, 3301 Silver Lake Road, St. Anthony, Minnesota 55418. Any party may change its respective address for the purpose of this Ordinance by written notice to the other parties. Public Way. Public right-of-way within the City as defined in Minn. Stat. § 237.162, subd. 3. Public Ground. Land owned or otherwise controlled by the City for park, open space or similar public purpose. SECTION 2. ADOPTION OF FRANCHISE. 2.1. Grant of Franchise. City hereby grants Company, for a period of 20 years from the Effective Date, the right to import, manufacture, distribute and sell gas for public and private use within and through the limits of the City as its boundaries now exist or as they may be extended in the future. This right includes the provision of Gas that is (i) manufactured by the Company or its affiliates and delivered by the Company, (ii)purchased and delivered by the Company or(iii) purchased from another source by the retail customer and delivered by the Company. For these purposes, Company may construct, operate, repair and maintain Gas Facilities in, on, over, under and across the Public Ways and Public Grounds, subject to the provisions of this Ordinance. Company may do all reasonable things necessary or customary to accomplish these purposes, subject however, to such lawful regulations as may be adopted by separate ordinance and as currently exist under Section 1165 of the City Code. The City shall give the Company notice 60 days in advance of proposed changes to Section 1165 of the City Code. The City and Company shall negotiate in good faith to reach mutually acceptable changes. If the City and Company are unable to agree, disputes will be handled under the terms of Section 2.5 of this Ordinance. If a provision of Section 1165 of the City Code conflicts with a provision on the same subject in this Ordinance, this Ordinance will control. 2.2. Effective Date; Written Acceptance. This franchise shall be in force and effect from and after its passage of this Ordinance and publication as required by law and its acceptance by Company. If Company does not file a written acceptance with the City within 90 Days after the date the City Council adopts this Ordinance, or otherwise places the City on written notice, at JMS-178096v12 2 SH155-77