Although we are making this threshold evaluation, we express no opinion as to whether the City could, if it chose, deem a 911 ambulance service agreement a franchise for purposes of collecting franchise fees, and/or taxes, for the possessory use of public property. In Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 988-989 [ 93 Cal.Rptr. 649], the court noted that a contract between a governmental body and a private party which creates a franchise "ordinarily refers to such services and functions as government itself is obligated to furnish to its citizens and usually concerns such matters of vital public interest as water, gas, electricity or telephone services, and the right to use the public streets and ways to bring them to the general public." Although franchises pertain to vital public services, when presented with an attack on a government contract delegating to a private party the performance of a vital public service, such as garbage collection, the courts have not necessarily deemed the contract a franchise.

A franchise granted by local government, "ordinarily refers to such services and functions as government itself is obligated to furnish to its citizens and usually concerns such matters of vital public interest as water, gas, electricity or telephone services, and the right to use the public streets and ways to bring them to the general public." ( Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 988-989 [ 93 Cal.Rptr. 649].) The authority exercised by a local government when it grants a franchise to a private company is not necessarily the same power it uses when it negotiates a contract.

(10) A franchise agreement is granted by a governmental agency to enable an entity to provide vital public services with some degree of permanence and stability, as in the case of franchises for utilities. ( Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 989 [ 93 Cal.Rptr. 649].) Examples of franchises granted by local governments in California are gas and electric utility franchises (Pub.

In Motor Transit Co. v. Railroad Commission (1922) 189 Cal. 573, 580 [ 209 P. 586], the court held that the statute requiring a certificate of public convenience and necessity in order to operate a motor stage line over the public highways was a regulatory measure. In Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 987 [ 93 Cal.Rptr. 649], the court said: "However, not every privilege conferred by government upon an individual or corporation achieves the dignity of a franchise." "While the courts have found it difficult to draw an exact line of demarcation between a franchise and a license, their general character and nature are well-defined, and there is a distinction.

A municipality may grant franchises, business licenses and licenses to use real estate, exacting fees when appropriate. (See In re Petersen (1958) 51 Cal.2d 177, 183 [ 331 P.2d 24, 77 A.L.R.2d 1291]; Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 987-988 [ 93 Cal.Rptr. 649].) A private entrepreneur may grant a franchise, in the sense of a privilege of marketing his product or service or of utilizing his business format.

A governmental franchise is a special privilege granted to a private enterprise by a duly-empowered governmental entity to use public property to provide vital public services which the government itself is otherwise obligated to furnish to its citizens, such as providing water, gas, electricity or telephone services, and the right to use the public streets and ways to bring them to the general public. Copt-Air, Inc. v. City of San Diego, 15 Cal.App.3d 984, 987-88, 93 Cal.Rptr. 649 (1971); Santa Barbara County Taxpayer Assn. v. Board of Supervisors, 209 Cal.App.3d 940, 948-49, 257 Cal.Rptr. 615 (1989); see also 34A Cal. Jur.3d, Franchises from Governmental Bodies, § 1 (2008). A franchise is created by contract; it grants to the private enterprise a relatively long-term possessory right in public land to provide public services in exchange for payment of franchise fees.

A governmental franchise is a special privilege granted to a private enterprise by a duly-empowered governmental entity to use public property to provide vital public services which the government itself is otherwise obligated to furnish to its citizens, such as providing water, gas, electricity or telephone services, and the right to use the public streets and ways to bring them to the general public. Copt-Air, Inc. v. City of San Diego, 15 Cal.App.3d 984, 987-88, 93 Cal.Rptr. 649 (1971); Santa Barbara County Taxpayer Assn. v. Board of Supervisors, 209 Cal.App.3d 940, 948-49, 257 Cal.Rptr. 615 (1989); see also 34A Cal. Jur.3d, Franchises from Governmental Bodies, § 1 (2008). A franchise is created by contract; it grants to the private enterprise a relatively long-term possessory right in public land to provide public services in exchange for payment of franchise fees.

A contract between a governmental body and a private party which creates a franchise "ordinarily refers to such services and functions as government itself is obligated to furnish to its citizens and usually concerns such matters of vital public interest as water, gas, electricity or telephone services, and the right to use the public streets and ways to bring them to the general public." (Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 988-989.) Public Utilities Code section 6297 states: "The grantee shall remove or relocate without expense to the municipality any facilities installed, used, and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct, by the municipality."

The corporation's certificate of public convenience and necessity constitutes a license; it is a regulatory permit. (Subriar v. City of Bakersfield (1976) 59 Cal.App.3d 175; see Motor Transit Co. v. Railroad Commission (1922) 189 Cal. 573, 580; Copt-Air v. City of San Diego (1971) 15 Cal.App.3d 984, 987.) The rate schedule is adopted as part of the certificate of public convenience, and any modification of the rate schedule is a modification of the certificate itself.