Upon the revocation of a franchise by the city council, or at the end of a term of any franchise, the city shall have the right to determine whether the company shall continue to operate and maintain its plant and distribution system pending mutual agreement upon the future disposition and operation of the plant and distribution system. At such time the city, at its election, and upon the payment of an amount equivalent to the appraised value of the meters and items, other than the distribution system, which the owner would be required to install and own in any event, together with a sum equivalent to the net operating revenues from the company’s retail sales for a period of two (2) years, shall have the right to purchase and take over the property of the company in its entirety. Upon the exercise of this option by the city, the city shall serve an official notice upon the company to that effect, and the company shall immediately execute such instruments of conveyance to the city as shall be required to convey to the city title to the property free from lien and encumbrance. The city shall thereupon have a right to be substituted for the company as a party to any contract with a consumer and succeed to privileges and obligations thereof at its option. (Ord. 1-2-1986)