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1995-094E:\WPDOCS\ORD\ERCOT AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE CITY MANAGER TO EXECUTE AN ELECTRIC RELIABILITY COUNCIL OF TEXAS, INC. MEMBERSHIP APPLICATION BETWEEN THE CITY OF DENTON AND ELECTRIC RELIABILITY COUNCIL OF TEXAS, INC.; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the City Council hereby authorizes the City Manager to execute an Electric Reliability Council of Texas, Inc Membership Application Agreement between the City of Denton and Electric Reliability Council of Texas, Inc. ("ERCOT") allowing the City of Denton to become a member of ERCOT, a copy of which is attached hereto and incorporated by reference herein. SECTION II. That the City Manager is hereby authorized to appoint representatives to represent the City of Denton as a Member of ERCOT. SECTION III. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the~/~ day of ~ , 1995. ATTEST: JENNIFER WALTERS, CITY SECRETARY APPROVED AS TO LEGAL FORM: MICHAEL A. BUCEK, ACTING CITY ATTORNEY ELECTRIC RELIABILIqW COUNCIL OF TEXAS, INC. MEMBERSHIP APPLICATION AGREEMENT THIS AGl{EEMENT is made and entered into this ~'l day of_ ~_, 19 ~ by and between the Electric Reliability Council of Texas, Inc. (hereinafter referre~ to as 'ERCOT"), whose office is located at 7200 North MoPac Expressway, Suite 250, Austin, Texas 78731 and (hereinafter referred to as "Applicant"), whose principal office is located at WHEREAS, ERCOT's purpose is to promote the reliable operation of intrastate interconnected power systems in the state of Texas; and WHEREAS, Applicant desires to become a Member of LRCOT; NOW, THEREFORE, in consideration of the foregoing and the covenants and agreements of the parties set forth herein, El{COT and Applicant agree as follows: SECTION 1. Applicant certifies and attests that it is an entity: (a) Which owns, controls and operates an electric power system in Texas, all or part of which consists of 5~cilities for the generation, transmission or distribution of electric energy in intrastate commerce only [save and except for those purchases, transmissions or sales of electric energy that (1) are made pursuant to an order of the Federal Energy Regulatory Commission under Sections 210, 211 and 212 of the Federal Power Act, ~ as amended, such as that entered in FERC Docket EL 79-8 and (2) do not ' subject an entity tx)jurisdiction under Section 201 of that Act] and; (b) Which offers electric utility service to all members of the general public (members served by rural electric cooperatives and municipal joint action electric power agencies shall be considered "public" for the purpose of this provision) or generates electric energy for sale to and resale by a public utility. 1 8/94 ELECTRIC RELIABILI'IW COUNCIl, OF TEXAS, INC. MEMBERSHIP APPLICATION AGREEMENT SECTION 2. Applicant agrees to comply with applicable planning and operating criteria and guides adopted by the ERCOT Board of Directors to maintain electric system reliability and coordinate planning with other Members. Applicant will share planning information with other Members necessary to perform these obligations. SECTION 3. Applicant agrees to share in the funding of the costs and expenses of ERCOT as provided in the Bylaws of the Electric ReliabiliW Council of Texas, Inc. (hereinafter referred to as "Bylaws"). SECTION 4. Applicant agrees to abide by all other provisions of the Bylaws. SECTION 5. ERCOT agrees to extend to Applicant all rights and privileges of membership as set out in the Bylaws. SECTION 6. Applicant, once a Member, may withdraw from participation in the activities of ERCOT at any time upon thirty (30) days written notice, whereupon it shall cease to be a Member. SECTION 7. The ERCOT Board of Directors may deny any Membership Application or revoke the membership of any Member who does not comply with the ~rms of this agreement or the Bylaws. IN WITNESS WHEREOF, the parties have caused this Membership Application Agreement to be execu/ed in two (2) multiple counterparts by their authorized representatives as of the day and year first above written. ELECTRIC RELIABILI~IW COUNCIL Authorized Representative ~ Authorized I~presentative TITLE: TITLE: 2 8/94