1987-1441915L
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE A LETTER OF
AGREEMENT WITH MUNICIPAL ADMINISTRATIVE SERVICES, INC FOR
PROFESSIONAL AUDITING SERVICES RELATIVE TO THE CITY'S FRANCHIS~
AGREEMENT WITH GTE, AND PROVIDING AN EFFECTIVE DATE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I That the City Council hereby approves and auth-
orizes the Mayor and City Secretary to execute and attest,
respectively, the agreement between the C~ty of Denton and
Munlclpal Administrative Servlcesv Inc relative to the C~ty's
franchise agreement with GTE, under the terms and conditions
contained in Letter of Agreement which ~s attached hereto and
made a part hereof
SECTION II That th~s ordinance shall become effective
~mmed~ately upon ~ts passage and apprpval
PASSED AND APPROVED this the/~ day of~,
1987
ATTEST
APPROVED AS TO LEGAL FORM
DEBRA ADAMI DRAYOVITCH~ CITY ATTORNEY
l~umc,pal Adm~mstrat:ve Serwces, lnc
9896 B~ssonnet, State 500
Houston, Texas 77036
(713) 541 9945
Susan L Hodge Prestdent LETTER AGREEMENT
George T White V~ce President AUgust 18, 1987
Mayor and city Council Members
city of Denton
215 E McKlnney
Denton, Texas 76201
Dear Mayor and Council Members
This Letter Agreement is made by and between the City of
Denton (the "City"), and Municipal Administrative Services,
Inc %"M A S " or "Agent") as follows
1 M A S agrees to conduct a franchise compliance
audit (the "Audit") of General Telephone Company (the
"Company") which holds a franchise from the City For
purposes of requesting and receiving information fro~ the
Company, and only for those purposes, M A S shall be an
agent of the City
2 M A S agrees to notify the Company of its intent I¢.
conddct the Audit and request that any preliminary informa-
tion necessary to begin the audit be submitted to M A S as
Agent of City
3 The Audit to be conducted by M A S shall be to
determine if any franchise fees or other amounts are now due
and owing the City and shall include verification of the
following
(a) that all customers located within City are
correctly coded as being within the City,
~b) that all the Company's revenue accounts have been
included in the base for calculation of the franchise fee
pursuant to the franchise agreement, and
(c) that the Company has included any new sources of
r.venue in the base for calculation of the franchise fee paid
the City
August 18, 1987
Page 2
4 At the completion of the Audit, M A S shall provide
City with a final audit report which will outline the audit
work performed, explain the audit findings and provide
recommendations for the improvement of future franchise fee
reporting and compliance efforts
5 As compensation for t~e services provided hereunder,
City agrees to pay M A S as follows
Fifty percent (50%~ Qf. an¥~a~ounts recovered,
refunded or credited~~a~P~ult of any of the audit
findings, including, fifty percent (50%) of the
value of any other compensation given to/the City a~
a result of the audit findings and accepted by
Ail compensation shall be paid to M A S within thirty
(30) days after the date such amount~ are collected and
refunded to City
6 Upon payment to M A S of ail amnunts due as above
described, M A S will turn over to City dll working
d~¢ume~ts, files or other information acquired during the
audit process
7 Unless prevented by circumstances beyond the control
~f u % S , all Services, as described herein, shall be
-om[]~t.d within 150 days from the date of this letter
~!ee~ent
0 M A S shall exercise the same degree of care, skill
and diligence in the performance of the services provided
~er(uPder as is ordinarily provided by a certified public
~ccountant under similar circumstances
9 M A S agrees to defend and indemnify city from and
against legal liability for damages arising out of the
performance of the services provided herein, where such
liability is caused by any error, omission of negligent act
of M A S , its agents or employees
August 18, 1987
Page 3
MUNICIPAL ADMINISTRATIVE
SERVICES, INC
CITY OF DENTON, TEXAS
Attest
y '~elretary
DEN011 2