2021/01/27 Council Agenda Packet

4.3. Acceptance of Payment and Recomputation No acceptance of any payment shall be construed as an accord by the City that the amount paid is, in fact, the correct amount, nor shall any acceptance of payments be construed as a release of any claim the City may have for further or additional sums payable or for the perfoiinance of any other obligation of Grantee. 4.4. Quarterly Fee Reports If the franchise fee or utility tax set forth in Sections 4 1 1 and 4.1.2, respectively, are applicable to Grantee, each payment shall be accompanied by a written report to the City, verified by an authorized representative of Grantee, containing an accurate statement in summarized form as well as in detail, of Grantee's Gross Revenues and the computation of the payment amount. Such reports shall detail all Gross Revenues of the Telecommunications System and shall be drafted in accordance with GAAP 4.5. Annual Fee Reports If Grantee makes any payments due hereunder based on its Gross Revenues during any given calendar year, then Grantee shall, within sixty (60) days after the end of each year, furnish to the City a statement stating the total amount of Gross Revenues for the year and all payments, deductions and computations for the period. 4.6. Audits On an annual basis upon thirty (30) days prior written notice, the City shall have the right to conduct an independent audit of Grantee's records reasonably related to the administration or enforcement of this Franchise, in accordance with GAAP If the audit shows that fee payments due hereunder have been underpaid by three percent (3%) or more, Grantee shall pay the total cost of the audit. 4.7. Late Payments In the event any payment due quarterly is not received within thirty (30) days from the end of the calendar quarter, Grantee shall pay interest on the amount due at the rate of one percent (1%) per month, compounded monthly, calculated from the date the payment was originally due until the date the City receives the payment. 4.8. Tax Liability The fees shall be in addition to any and all taxes or other levies or assessments which are now or hereafter required to be paid by businesses in general by any law of the City, the State or the United States including, without limitation, sales, use and other taxes, business license fees or other payments Payment of the fees under this Franchise shall not exempt Grantee from the payment of any other license fee, peuuit fee, tax or charge on the business, occupation, property or income of Grantee that may be lawfully imposed by the City. 4DPK2242501.DOCX;4/13113.000007/ 1 Wireline Franchise 11 of 30