June 02, 2014 Minutes
CITY OF DENTON CITY COUNCIL MINUTES
June 2, 2014
After determining in Open Session that a quorum was present, the City Council and Public
Utilities Board of the City of Denton, Texas convened in a Closed Meeting on Monday, June 2,
2014 at 11:30 a.m. in the DME Engineering and Operations Conference Room.:
PRESENT: Mayor Watts, Mayor Pro Tem Engelbrecht, Council Member Gregory, Council
Member Johnson, Council Member Ryan and Council Member Roden.
ABSENT: Council Member Hawkins
Closed Meeting:
1.
A.ID 14-0171
Certain Public Power Utilities: Competitive Matters - Under
Texas Government Code, Section 551.086; and Consultation With Attorneys -
Under Texas Government Code, Section 551.071.
Receive further competitive public power, financial and commercial information
from Denton Municipal Electric (“DME”) staff regarding the procurement,
acquisition, integration and implementation of ERCOT Shadow Settlement
Software in its Energy Management Organization relating to its power purchase
operations, which includes bidding and pricing information for purchased power,
generation and fuel, and Electric Reliability Council of Texas bids, prices, offers,
and related services for purposes of supporting the Energy Management
Organization of the Power Supply Administration of DME; discuss, deliberate,
provide staff with direction, consider and take final action on the Master
Customer Agreement and any and all ancillary Agreements pertaining thereto.
Consultation with the City’s attorneys regarding legal issues associated with the
above acquisition where a public discussion of these legal matters would conflict
with the duty of the City’s attorneys to the City of Denton and the Denton City
Council under the Texas Disciplinary Rules of Professional Conduct of the State
Bar of Texas, or would jeopardize the City’s legal position in any administrative
proceeding or potential litigation; Consider an ordinance of the City Council of
the City of Denton, Texas providing for, authorizing, and approving the execution
by the City Manager of a “Master Customer Agreement” by and between the City
of Denton, Texas and Ventyx, Inc., a Delaware Corporation, further authorizing
and approving the execution of such other ancillary and related documents,
including without limitation, licensing agreements and statements of work related
to the Master Customer Agreement by the City Manager or his designee, which
are incident or related thereto; confirming and ratifying that the City of Denton,
Texas, its Mayor, its City Council members, its City Manager, its City Attorney,
and their respective designees, shall be authorized and empowered to perform
such acts and obligations as are reasonably required to complete and consummate
this transaction; ratifying and confirming all prior actions taken by the City
Council in furtherance of this procurement; and determining that said agreements
pertain to a “Competitive Electric Matter” as set forth under the provisions of
§§551.086 and 552.133 of the Texas Government Code, as amended; finding and
determining that the approval of this transaction in a closed meeting of the City
Council is further authorized under Texas law; adopting significant recitations,
findings and conclusions, as are set forth in the preamble of this ordinance;
finding that the matter of approval of the Master Customer Agreement was posted
City of Denton City Council Minutes
June 2, 2014
Page 2
as required by law and was duly considered in a closed meeting of the City
Council on the 2nd day of June, 2014 by a quorum of the Denton City Council
and was duly approved by a vote taken in said closed meeting; providing that
upon approval of the Ordinance, Master Customer Agreement and any and all
ancillary agreements, by the City Council that the City Secretary is hereby
authorized and directed to seal the said documents as Public Power documents, as
provided by applicable Texas law; that this procurement is in the public welfare
and is in the best interests of the ratepayers of Denton Municipal Electric;
authorizing the expenditure of funds therefor; providing an effective date.
B.ID 14-0173
Certain Public Power Utilities: Competitive Matters - Under
Texas Government Code, Section 551.086
Receive a briefing and information from Denton Municipal Electric (“DME”)
pertaining to certain competitive public power and financial issues regarding, and
discuss pertaining to: (1) the City’s 21.3% ownership interest in Texas Municipal
Power Agency (“TMPA”), the indebtedness due thereon, related planning and
strategic issues regarding such ownership interest; (2) projections of future
improvements to the generation requirements and probable resources of the DME
System; (3) opportunities and strategies relating to selecting and acquiring
ownership of future generation resources for the City in the foreseeable future; (4)
discuss and deliberate opportunities and strategies for the City to acquire energy
supplies to provide for its peak load by entering into certain agreements regarding
the purchase of energy and ancillary services by its DME - Energy Risk
Management Organization, in order to meet the future energy needs of the City;
and discuss, deliberate, and provide Staff with direction regarding such matters.
The Council returned to Open Session and with no further business, the meeting was adjourned.
______________________________
CHRIS WATTS
MAYOR
CITY OF DENTON, TEXAS
______________________________
JENNIFER WALTERS
CITY SECRETARY
CITY OF DENTON, TEXAS