1994-098~:\NPDOCS\ORD\95ELRATE.SC~
AN ORDINANCE AMENDING THE SCHEDULE OF ELECTRIC RATES ADOPTED WITH
THE ENACTMENT OF ORDINANCE NO. 93-160; PROVIDING FOR A PREMIUM-
EFFICIENT MOTOR REBATE; AMENDING THE GENERAL SERVICE TIME OF USE
SCHEDULE; AMENDING THE THERMAL STORAGE INCENTIVE SCHEDULE;
REPEALING THE VOLUNTARY LOAD REDUCTION SCHEDULE; AUTHORIZING THE
EXPENDITURE OF FUNDS FOR THE REBATE PROGRAM; PROVIDING FOR A SEVER-
ABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the Schedule of Rates for electrical services
as provided for in Chapter 26 of the Code of Ordinances, and estab-
lished with the enactment of Ordinance No. 93-160 on the 14th day
of September, 1993, are amended by the repeal of the Voluntary Load
Reduction Schedule, and the amendment of the Thermal Storage Incen-
tive Schedule and the General Service Time of Use Schedule so that
hereafter the same shall read as follows:
SCHEDULE TGS
GENERAL SERVICE TIME OF USE
(Effective 6/01/94)
APPLICATION
Applicable to any customer having a minimum demand of 250 KW
for all electric service supplied at one point of delivery and
measured through one meter, with the City providing all facilities
necessary to receive primary voltage service. Supplementary ser-
vice will be available subject to the applicable rider. Not appli-
cable to resale or temporary service. Customers electing this rate
must remain on this rate for a minimum of twelve (12) continuous
billing months.
NET MONTHLY RATE
(1) Customer Facility Charge $ 7 0 . 0 0 / 3 0
days
(2) On-Peak Demand Charge $10.30/KW of
On-Peak De-
mand
(3) System Demand Charge $ 4.15/KW of
System Demand
(4) Energy Charge 0.5C/KWH
(5) Energy Cost Adjustment: Per Schedule
ECA
MINIMUM BILLING
The minimum monthly bill shall be the sum of the Customer
Facility Charge, the On-Peak Demand Charge, and the System Demand
Charge; but not less than 100% of the maximum monthly total demand
charge for any month during the preceding months of May through
October.
TYPE OF SERVICE
Secondary or primary service available to commercial and indus-
trial customers. Primary voltage service is available to any cus-
tomer with a minimum demand of 250 KW. Primary service is rendered
at one point on the customer's premises at a nominal voltage of
13,200 volts.
The City will supply single-phase service (or three-phase ser-
vice if available at the point of delivery) at sixty (60) cycles
and at any standard voltages available from the City's distribution
system through one standard transformation. Where service of the
type desired by the customer is not already available at the point
of service, special contract arrangements between the City and the
customer may be required.
PRIMARY SERVICE DISCOUNT
Customers who own, operate and maintain all facilities neces-
sary to receive three phase primary voltage service and all trans-
formation facilities required for conversion to utilization voltage
shall receive a discount of 0.3C/KWH. If primary service is provi-
ded and the City owns and operates all facilities and transforma-
tion equipment necessary to receive primary voltage service, a dis-
count of 0.1C/KW will be applied to the customer's bill. The City
shall own, operate and maintain all metering facilities, either at
primary or secondary voltage, at the City's option.
DETERMINATION OF ON-PEAK DEMAND
The on-peak demand shall be determined by the KW demand sup-
plied during the fifteen (15) minute period of maximum use each
month during on-peak hours as recorded by the City's demand meter
and adjusted for power factor, but not less than one hundred per-
cent (100%) of the maximum on-peak demand similarly determined dur-
ing the billing months of June through September in the twelve (12)
months immediately preceding the current month. If the customer is
new or does not have a history of use for June through September,
the on-peak demand shall be determined by the customer's maximum
on-peak demand from the previous billings. The on-peak demand will
be billed every month.
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DETERMINATION OF SYSTEM DEMAND
The system demand shall be determined by the maximum KW demand
supplied during the fifteen (15) minute period of maximum use each
month as recorded by the City's demand meter and adjusted for power
factor, but not less than one hundred percent (100%) of the maximum
system demand similarly determined during the billing months of
June through September in the twelve (12) months immediately prece-
ding the current month. If the customer is new or does not have a
history of use for June through September, the maximum system
demand shall be determined by the customer's maximum system demand
for the total previous billings at the previous rate.
POWER FACTOR PENALTY
The City reserves the right to make tests to determine the
power factor of the customer's installation served either by mea-
surement during periods of maximum demand or by measurement of the
average power factor for the monthly billing period. If the power
factor is below ninety percent, the demand for billing purposes
will be determined by multiplying the uncorrected KWbilling demand
by 90% and dividing by the determined power factor.
DEFINITION OF ON-PEAK HOURS
The city's on-peak hours, for the purpose of this rate sched-
ule, are designated as being from 2:00 P.M. to 7:00 P.M. each
Monday through Friday, for the months of June through September.
The City's on-peak hours may be changed from time to time and the
customer will be notified twelve (12) months before such changes
become effective.
DEFINITION OF OFF-PEAK HOURS
The city's off-peak hours, for the purpose of this rate sched-
ule, shall be all hours not designated as on-peak hours.
SUPPLEMENTAL POWER RIDER?
Customers requesting standby or supplementary power shall be
allowed service under this rate schedule; however, the determina-
tion of system demand shall be adjusted to read:
The system demand shall be the sum of the maximum KW
demand supplied during the fifteen (15) minute period of
maximum use as recorded by the city's demand meter plus the
KW nameplate rating(s) of the customer's generator(s). In
the event the customer's generator(s) is/are off-line at
thetime of the establishment of the maximum system demand,
the KW nameplate rating of the generator(s) unavailable for
service shall be removed from the determination of the
system demand. In no event shall the system demand be less
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than one hundred percent (100%) of the maximum system
demand similarly determined during the billing months of
June through September in the twelve (12) months immediate-
ly preceding the current month.
SPECIAL FACILITIES
All services which require special facilities in order to meet
the customer's service requirements shall be provided subject to
special facilities rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility Charge shall be based on
12 billings annually using the following formula:
Actual days in reading period x customer facility charge
30 days
(b) Billing for demand shall be calculated on a
30-day-per- month basis and pro rated for longer or
shorter billing periods using the following formu-
la:
Actual days in reading period × KW Demand x Rate 30 days
ENERGY CHARGE
Billing for the energy charge shall be based on actual KWH con-
sumption during the billing period.
Formula:
KWH in rate block × Rate per KWH in rate block
ENERGY COST ADJUSTMENT
A charge per KWH of energy taken for fuel cost calculated in
accordance with Schedule ECA.
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
PAGE 4
SCHEDULE TS
THERMAL STORAGE INCENTIVE
(Effective 6/01/94)
APPLICATION
Applicable to any customer who agrees to be on Time-of-Use rate
for five (5) years and who has a thermal storage facility of a min-
imum storage capacity of 500,000 BTU.
THERMAL STORAGE INCENTIVE PAYMENTS
First 500 KW shifted $250/~4
to off-peak hours
Additional KW shifted $~25/N~
to off-peak hours
Thermal storage incentive payments shall be made to qualifying
customers based on the following method:
A design shall be submitted to the Director of Electric Utili-
ties for approval. The thermal storage equipment shall be checked
for input electric demand (KW) and output capacity (BTU). The sys-
tem shall be limited for incentive payment to a maximum of 12,000
BTU per 500 square feet for the conditioned area of the facility to
be served, if such facility is utilized for office purposes. If
the facility is utilized for other uses, such as, for example, an
industrial use, the customer may request an exception from the City
of Denton Electric Utility. The city Electric Utility will study
the request for exception and make recommendations as to whether a
different formula should be utilized to the Electric Utility
Director and the Executive Director of Utilities. The decision of
the Executive Director of Utilities will be final.
Upon completion, the input-output of the thermal storage units
will be measured by the City of Denton. The customer may observe
and verify all information and calculations for the actual size of
the facility. Auxiliary equipment used to circulate fluid or air
handlers which would operate under normal peak periods will not be
included in calculating the KW load for incentive payments.
PAGE 5
SECTION II. That the Schedule of Rates for electrical services
is hereby amended by the addition of Schedule MTR; Premium-
Efficiency Motor Rebate, which shall be and read as follows:
SCHEDULE MTR
PREMIUM-EFFICIENCY MOTOR REBATE
(Effective 6/1/94)
Application/ProGram Summary
The city of Denton Electric Utility is offering cash payments
to customers who purchase and install premium-efficiency motors and
adjustable speed drives in facilities serviced by Denton Electric
Utility.
The program's objective is to reduce energy demand and consumption,
thereby saving customers dollars on their utility bills and
reducing the peak load of the city of Denton's electric system,
thereby conserving energy and improving the power factor.
Proqram Guidelines
1. All installations must be for accounts served by the City of
Denton Electric Utility and must meet all applicable national,
local, and manufacturers' codes and specifications.
2. To qualify for a rebate, equipment must be new when installed.
All equipment must be purchased; no leased or lease/purchased
equipment will qualify for a cash rebate. Removed motors must
be properly disposed of after inspection and not re-used within
the Denton Electric Utility system. Method of disposal must be
stated.
3. The City will pay the rebate to the purchaser of the qualifying
equipment upon verification of compliance with program guide-
lines.
4. Equipment and installation are subject to inspection by the
city's Electric Utility before final approval for payment is
issued.
5. Replacement motors must be the same horsepower or lower than
the original motor. Exceptions must be approved in writing by
the City's Electric Utility.
6. All information must be complete on the Motor Rebate Applica-
tion in order for a rebate to be issued (See Motor Rebate
Application).
PAGE 6
7. The Premium-Efficiency Motor Rebate Program guidelines and
payments are subject to change without notice. This program
may be discontinued, without prior notice, at any time by
Denton Electric Utility.
Rebate Methodology
Rebates for the Premium-Efficiency Motor Rebate Program will be
based on the following methodology.
Replacement Motors:
The Denton Electric Utility office staff will visit the site to
determine the existing motors efficiency. If the existing motor is
non-operational an estimate will be made.
The customer must provide all information on the rebate application
concerning his proposed motor purchase.
A new motor must not exceed the horsepower of the existing motor
without express written consent by the Denton Electric Utility,
which consent shall be given only if the utility finds an increased
efficiency.
The information concerning the existing and the proposed motors
will be entered into the Motor Master software program to calculate
the KW savings yield. The calculation is based on horsepower,
efficiency, RPM, and load information.
The KW yield will be multiplied times the rebate incentive amount
of $100/KW.
The Denton Electric Utility will return to the site to verify
installation, and following successful installation, a rebate check
will be mailed to the customer.
New Motors:
New motors will follow the procedure outlined above for replacement
motors but the efficiency comparison will be made against a stan-
dard new motor, to be determined by the Motor Master software pro-
gram utilized by the city, Department of Energy standards, or the
Denton Electric Utility.
Adjustable Speed Drives:
The Denton Electric Utility will visit the customer site to
determine KW savings from the proposed Adjustable/Variable Speed
Drive. Those savings will be awarded on a $100/KW basis. A watt
meter will be used before and after installation.
PAGE 7
KW Savings:
Rebates in excess of $1,000 require advance approval of the Dir-
ector of Electric Utilities.
SECTION II. That the Executive Director of Utilities is hereby
authorized to expend funds to issue rebates to electric utility
customers in the form and type set forth in Schedule MTR, as the
use of more efficient motors is in the best interest of the City of
Denton as such will reduce the peak load and conserve energy, which
are public purposes of the City.
SECTION III. That if any section, subsection, paragraph, sen-
tence, clause, phrase or word in this ordinance, or application
thereof to any person or circumstances is held invalid by any court
of competent jurisdiction, such holding shall not affect the valid-
ity of the remaining portions of this ordinance, and the City Coun-
cil of the city of Denton, Texas, hereby declares it would have
enacted such remaining portions despite any such invalidity.
SECTION IV. That the Schedule of Rates herein adopted shall be
effective, charged and applied to all energy consumption occurring
on or after June 1, 1994.
.,)
PASSED AND APPROVED this the/~-~day of ~~/ , 1994.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM:
DEBRA A. DRAYOVITCH, CITY ATTORNEY
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