22-2077ORDiNANCENO. 22-2077
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THEEXPENDITURE OF FUNDS FOR THE PAYMENT OF WHOLESALE TRANSMISSION
CHARGES IN THE TOTAL AMOUNT OF $7,845,830.26 AND, PROVIDING AN EFFECTIVEDATE
WHEREAS, all Distribution Service Providers (“DSP”) in the Electric Reliability Council
of Texas (“ERCOT”) are required under the Texas Public Utility Regulatory Act (“PURA”) to
compensate Transmission Service Providers (“TSPs”) for its wholesale transmission charges,
commonly referred to as Transmission Cost of Service (“TCOS”), after the same have been filed
with and approved by the Public Utility Commission of Texas (“PUCT”);
WHEREAS, the City of Denton, acting by and through its wholly owned municipal electriccompany Denton Municipal Electric, is a DSP in ERCOT;
WHEREAS, the City is required to compensate the following TSPs for its TCOS as set
forth below:
Name of TSP Amount
Cross Texas Transmission
Electric Transmission Texas, LLC
Garland Power & LjghtLone Star Transmission
Lower Colorado River Authori-
Oncor-NTU
Sh.'land Utilities
Texas Municipal Power Agenc'
Wind Ener!Transmission TexasTOTAL
$ 369,133.04
$ 1 ,740,727.1 1$87,308.26
503,968.96
$2,959,588.15
$1,196,693.18
$ 208,985.97
$ 161,521.66
$ 617,903.93
$7,845,830.26
WHEREAS, the amounts due to the above TSPs are trued up by the PUCT and may require
additional compensation by the City to one or more of the above TSPs; and
WHEREAS, the City Manager has reviewed the above TCOS submitted by the TSPs and
recommended that the City Council approve and authorize the payment of the same.
NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTIONI. The facts, circumstances and recitations contained in the preamble of thisordinance are found and declared to be true and correct.
SECTION 2. The total expenditure of funds in the amount of $7,845,830.26 for the City’s
obligation as a DSP in ERCOT to the following TSPs for its TCOS is authorized and payable as
set forth below:
Name of TSP Amount
Cross Texas Transmission
Electric Transmission Texas, LLC
Garland Power & Ljght
Lone Star Transmission
Lower Colorado River Authori'
Oncor-NTU
Shi 'land Utilities
Texas Municipal Power Agenc'
Transmission TexasWind Ener!TOTAL
$
$1
$
$
$2
$1
$
$
$
$7
369, 133.04
740.727.11
87,308.26
503,968.96
959,588.15
196,693.18
208.985.97
161,521.66
617,903.93
845,830.26
SECTION 3. The above payments are subject to being trued up by the PUCT, and the
additional expenditure of funds, if required, is authorized. However, this additional expenditure is
specifically limited to each TSP receiving additional payments not to exceed five percent (5%) or
less of the payment set forth in Section 2 above. Payments in excess of this specific limitation will
require further approval by City Council.
SECTION 4. This ordinance shall become effective immediately upon its passage and
approval.
The motion to approve this ordinance was made by Ihl
seconded by Bra#lbh Ch w:a , and was passed and approved by the fo11owingvote
Aye Nay Abstain Absent
Mayor Gerard Hudspeth:\/
Vicki Byrd, District 1 :\/
Brian Beck. District 2:F
/Jesse Davis. District 3 :
Alison Maguire, District 4:P/
y‘
r
Brandon McGee, At Large Place 5:
Chris Watts, At Large Place 6:
PASSED AND APPROVED thi, th, ZS b d,y ,f e)6lObe4r , 2022.
ATTEST:
ROSA RIOS, CITY SECRETARY b\\\\1l111111
APPROVED AS TO LEGAL FORM:
MACK REINWAND, CITY ATTORNEY
BY: