AN ORDINANCE ACCEPTING A TELECOMMUNICATIONS FRANCHISE CONTRACT BETWEEN UNITED TELEPHONE OF EASTERN KANSAS D/B/A SPRINT AND THE CITY OF WELLSVILLE, KANSAS, COUNTY OF FRANKLIN, KANSAS, STATE OF KANSAS.

United Telephone of Eastern Kansas d/b/a Sprint, Grantee, a corporation organized under the laws of the State of Iowa, with a license to do business in the State of Kansas, and its successors and assigns, and the City of Wellsville hereby enter into a Telecommunications Franchise Contract pursuant to K.S.A. 12-2001 and 17-1902. The Telecommunications Franchise Contract shall be effective upon final passage of this ordinance and shall continue for a term of 5 years from its effective date and for successive terms of like duration unless written notice is given by either Sprint or the City to the other 120 days or more prior to the expiration of the initial term or any successive term of its intention to terminate the same at the expiration of the then current term. Compensation for the Telecommunications Franchise Contract shall be established pursuant to K.S.A. 12-2001(j). Pursuant to K.S.A. 12-2001(j)(2), the City requires Sprint to collect and remit to it a fee of 3% of gross receipts as defined by K.S.A. 12-2001(c)(6). The compensation shall be made twice yearly during the term of this ordinance. The City agrees the compensation pursuant to K.S.A. 12-2001(j) shall be in lieu of any general, or special license tax, occupation tax, or any other such tax for the term of this ordinance.

Nothing herein shall affect any prior or existing rights of Sprint to maintain a telecommunications company within the City. All ordinances and agreements or parts of ordinances and agreements in conflict with this ordinance are hereby repealed.

If this Telecommunication Franchise Contract expires and the City and Sprint are engaged in good faith negotiations intended to result in the passage of such a subsequent ordinance acknowledging a Telecommunications Franchise Contract, the terms of this ordinance shall apply until the effective date of the subsequent ordinance.

(10-8-2003)