22-38422-384ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, A TEXAS HOME-RULE MUNICIPAL
CORPORATION, AUTHORIZING THE CITY MANAGER OR DESIGNEE TO FULFILL THERESPONSIBILITIES OF THE CITY AS A MARKET PARTICIPANT AND THOSE
PURSUANT TO ERCOT PROTOCOLS, INCLUDING PAYING ANY AMOUNTS REQUiREDBY THE PROTOCOLS AND FUNDED IN THE ANNUAL BUDGET; AND DECLARING ANEFFECTIVE DATE.
WHEREAS, the City owns and operates an electric utility which provides electric energy
and related services to all customers within Denton Municipal Electric’s (DME) Public Utilities
Commission of Texas (PUCT) certificated jurisdiction; and
WHEREAS, the City, through DME, is bound by a Market Participant Agreement (the
“Agreement”) with ERCOT, where DME is a Load Serving Entity, a Qualified Scheduling Entity,
a Transmission Service Provider, a Distribution Service Provider, and Congestion Revenue Right
Account Holder, a Resource Entity, and a Renewable Energy Credit Account Holder; and
WHEREAS, through the Agreement, the City is bound by all applicable ERCOT Protocols
(the “Protocols”) and failure to comply with the protocols would constitute default under the
Agreement; and
WHEREAS, the City budgets annually for costs and fees associated with the obligations
set forth in the Agreement and the Protocols; and
WHEREAS, the City has determined that it is the public interest to authorize the City
Manager to make payments required by the ERCOT Protocols; NOW, THEREFOR,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The recitations contained in the preamble of this ordinance are incorporated
herein by reference as findings of the City Council.
SECTION 2. The City Council approves and authorizes the City Manager, or designee, to
make payments required by the Agreement or the Protocols where funds are available in the budget
without further authority, guidance, or direction from the City Council, and is further authorized
to carry out the rights, duties, obligations, and responsibilities of the City under said Agreements
and Protocols.
SECTION 3. The City Council approves and authorizes the City Manager, or designee, to
take such additional actions as the City Manager or designee determines to be necessary and
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Protocols .
SECTION 4. This ordinance shall become effective immediately upon its passage and
proval.
The motion to approve this ordinance was made by Jess, D,,.6 and
ap
seconded by B, , '._, B' ck , the ordinance was passed and approved bythe following vote [ 7 -
NIe LXJa r Abstain Absent
JGerard Hudspeth Mayor:
Vicki Byrd, District 1 : a
Brian Beck. District 2: /
Jesse Davis. District 3 : a
Alison Maguire, District 4: /
Deb Armintor, At Large Place 5 : /
Paul Meltzer, At Large Place 6: /
PASSED AND APPROVED thi, th, II d,y ,f march , 2022x-/#C -GERARD HUDSPETH, MAYOR
ATTEST
ROSA RIOS, CITY SECRETARY
Zu .al;_,
APPROVED AS TO LEGAL FORM:
MACK REINWAND, CITY ATTORNEY
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