HomeMy WebLinkAbout1999-374NOTE- Agreement is exempt from public disclosure under provisions of
Section 552 131 of the Texas Government Code (Public Power Exception)
ORDINANCE NO
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE CITY
MANAGER TO EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF
DENTON AND THE DENTON GARLAND GREENVILLE POWER POOL, PERTAINING
TO THE' CITY'S ACQUISITION OF PEAKING CAPACITY AND ENERGY FOR
CALENDAR YEAR 2000, AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR,
AND PROVIDING AN EFFECTIVE DATE
WHEREAS, Denton Municipal Electric ("DME") is a municipally -owned electric utility
which qualifies as a "Public Power Utility" under the provisions of Senate Bill 7 enacted by the
76ih Texas Legislature DME Staff has determined that it is necessary at this time to acquire
additional peaking capacity and energy for calendar year 2000, in order that it can maintain
sufficient firm capacity and energy to meet its daily megawatt load plus reserve megawatt
capacity requirements in accordance with Electric Reliability Council of Texas ("ERCOT")
Operating Guides, and such acquisition further provides for more reliable electric service at peak
load times to DME's customers, and
WHEREAS, the City's purchase of electric peaking capacity and energy provided for in
the letter Agreement dated August 24, 1999 ("Agreement") is exempted from competitive
bidding requirements as an expenditure for electricity, as provided by Section 252 022 (a)(15) of
the Texas Local Government Code, and
WHEREAS, in accordance with the provisions of Section 551 086 of the Texas
Government Code, after public notice, the City Council, a "Public Power Utility Governing
Body" wider Senate Bill 7, has discussed, deliberated, and considered the matter of this
Agreement in a Closed Meeting on the 12th day of October, 1999, after determining by a
preliminary majority vote of its members, that the consideration of this Agreement is related to
DME's competitive activity, including commercial information, which if disclosed, would give
advantage to its competitors or prospective competitors, and thereafter, the City Council, by a
vote taken in said Closed Meeting, voted for approval of the Agreement, and
WHEREAS, the City Council has further determined that the "Agreement" to be entered
into by and between the City and Denton Garland Greenville Power Pool ("DGG") should be
excepted) from any public disclosure, as permitted by the provisions of Section 552 131 of the
Texas Government Code, as a document that is reasonably related to a competitive electric
matter, the disclosure of which document would provide an advantage to DME's competitors or
prospective competitors, and
WHEREAS, the City Council deems it in the public interest for the City of Denton to
enter into the Agreement, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION 1 That the recitations and findings set forth in the Preamble heremabove are
hereby approved and made a part of this Ordinance
SECTION 2 That the City Manager is hereby authorized to execute an Agreement by
and between the City of Denton, Texas and Denton Garland Greenville Power Pool, for the
City's acquisition of additional peaking capacity and energy for calendar year 2000, in
substantially the form of the Agreement attached hereto and incorporated herewith by reference
SECTION 3 That following the execution and delivery of the Agreement, the City
Secretary is hereby directed to seal and maintain said Agreement in her custody and control, as a
document excepted from public disclosure under the provisions of Section 552 131 of the Texas
Government Code (the "Public Power Exception"), unless otherwise lawfully ordered to disclose
said Agreement
SECTION 4 That the expenditure of funds as provided in the attached Agreement is
hereby authorized
SECTION 5 That this ordinance shall become effective immediately upon its passage
and approval �1 " "
PASSED AND APPROVED this the M day ofyC� S�l1�h _ 1999
JA LER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
M
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
By Aa�WIY'l�-�(
S \Our Docmpents\0rd1nances\99\DGG - DME Capacity Purchase Ord doc