Ohio River Power Co. v. City of Steubenville

Citations

• 99 Ohio St. (N.S.) 421

Syllabus

<p>Municipal corporations — Authority to fix electric light rates— Acceptance of ordinance by company constitutes contract, when — Public utilities commission has no jurisdiction thereof, when — Section 614-47, General Code — Constitutional power to contract— Section 4, Article XVIII, Constitution, 1912.</p> <p>1. The council of a municipality has authority to fix the price that an electric light company may charge the city or its inhabitants for electric current for light and power purposes. {City of Washington v. Public Utilities Commission, ante, 70, approved and followed.)</p> <p>2. Where the price of such electric current for light or other purposes is fixed by ordinance for a period not exceeding ten years, and the electric light company files in the office of the auditor or clerk of the corporation its written acceptance, such ordinance and acceptance in writing constitute a contract between the municipality and the electric light company binding on both parties thereto during the term named in the ordinance.</p> <p>3. By the provisions of Section 614-47, General Code, such contracts are specifically exempted from the operation of the statutes of this state defining the powers and duties of the public utilities commission of Ohio in relation to the rate, price, charge, toll or rental that such public utility may charge, demand, exact or collect for any service rendered, or to be rendered by it.</p> <p>4. A contract entered into between a public utility and a municipality of this state, whereby the public utility agrees to supply its product or service to the municipality or its inhabitants for a period of ten years, at a rate, price, charge, toll or rental specified in such contract, is expressly authorized by Section 4, Article XVIII of the Constitution of Ohio, and is valid and binding upon the parties thereto, unless disapproved by a majority of the electors voting thereon, at a referendum election held under the provisions of Section 5, Article XVIII of t