§ 4. [Disposition of grantee's property upon termination of franchise.]

Upon the termination of this franchise, whether by expiration of the franchise or forfeiture thereof, the grant of franchise, as well as the property of the Grantee, if any, in the streets, avenues, alleys, and other public places in the then City limits of the City of Uvalde shall thereupon, upon a fair valuation thereof being paid to the Grantee, be and become the property of the City of Uvalde, and the Grantee shall not be entitled to any payment or valuation because of any value derived from said franchise or that it is or may be a going concern duly installed and operating; provided, however, it shall be optional with the City of Uvalde whether or not it acquires title to said properties in said manner.

The mode of ascertaining the fair value of the grant and the property of the Grantee in the streets, avenues, and public places of the City of Uvalde shall be as follows:

The City of Uvalde shall appoint one competent electrical engineer, who shall have had not less than five (5) years actual experience in appraising electric public utility properties, and the Grantee shall, upon receipt at least sixty (60) days prior to the termination of said franchise, if the termination is by expiration, or within sixty (60) days after the termination of said franchise if the termination is by forfeiture, of a duly authorized notice in writing from the City that it has elected to purchase said properties at the fair value thereof determined as in this section provided, appoint an engineer of like qualifications, or may, at its option, appoint its Chief Engineer. Said two engineers shall make an actual examination of the properties and report their agreement of the fair value to the City and to the Grantee. In the event the said two engineers are not able to agree as to a fair value, they shall jointly select a third electrical engineer of like qualifications and a majority of the three so appointed may report a value which shall be binding upon both the City of Uvalde and the Grantee. If the two engineers selected as above outlined by the City of Uvalde and the Grantee are unable to agree upon the fair valuation and are unable to agree upon a third engineer to act with them, then and in that event the senior Judge of the United States District Court for the Western District of Texas shall appoint a third engineer.

Should the City, acting through its City Council, elect to purchase said properties and give notice of said election at least sixty (60) days before the expiration of this franchise, or within sixty (60) days after the termination of this franchise by forfeiture, such notice shall not bind the City of Uvalde to purchase said properties until such proposition to purchase has been submitted to a vote of the qualified voters of said City, nor unless the result of such vote and election authorizes the purchase of said properties. It is understood, however, that such proposition to purchase shall be so submitted to such vote within a reasonable time after the giving of such notice by the City Council of its election to purchase.