Manufacturing and Supply Capacity
- The grantee must manufacture and supply ice up to the capacity limit of the plant.
- This capacity limit and the applicable rates shall be determined and regulated by the Public Service Commission.
Equipment Standards and Maintenance
- All equipment and appurtenances used must be modern, safe, and of first-class quality.
- The grantee shall comply with any directives from the Public Service Commission to alter or replace apparatus if public interest demands, at the grantee's expense.
Commencement of Construction and Franchise Validity
- Construction must begin within one year from the approval of the law, unless delayed by uncontrollable events such as force majeure, natural disasters, martial law, riots, civil commotion, or military usurpation.
- Failure to commence construction within this timeframe will result in the franchise becoming null and void.
Legislative Authority and Public Interest Clause
- The franchise is subject to amendment, alteration, or repeal by Congress when public interest requires.
Inspection and Reporting Requirements
- The grantee's books, records, and accounts must be open to inspection by the Auditor General or authorized representatives at all times.
- The grantee is obligated to submit quarterly reports in duplicate to the Auditor General, indicating gross receipts for the preceding quarter.
Franchise Tax and Allocation of Revenues
- The grantee must pay a franchise tax of 5% of gross earnings derived from the franchise.
- Of this tax, 3% accrues to the National Government and 2% to the municipality where the franchise operates.
Effectivity
- The Act becomes effective upon its approval on June 19, 1965.