2002-289OP INANCE NO. dO0 - ¢ q
AN ORDINANCE AMENDING THE EXISTING ELECTRIC FRANCHISE BETWEEN THE
CITY AND ONCOR ELECTRIC DELIVERY COMPANY, TO PROVIDE FOR A
DIFFERENT CONSIDERATION; PROVIDING FOR ACCEPTANCE BY ONCOR
ELECTRIC DELIVERY COMPANY; FINDING AND DETERMINING THAT THE
MEETING AT WHICH THIS ORDINANCE IS PASSED IS OPEN TO THE PUBLIC AS
REQUIRED BY LAW; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, Oncor Electric Delivery Company, successor in interest to TXU Electric
Company (hereinafter called "Oncor") is engaged in the business of providing electric utility
service within the City and is using the public slreets, alleys, grounds and rights-of-ways within
the City for that purpose under the terms of a franchise ordinance heretofore duly passed by the
governing body of the City and duly accepted by Oncor; and
WHEREAS, the City and Oncor desire to amend said franchise ordinance to provide for a
different consideration; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The existing electric franchise ordinance between the City and Oncor
Electric Delivery Company is amended as follows:
Effective January 1, 2002, the franchise fee due from Oncor shall be a sum
comprised of the following:
(1)
a charge, as authorized by Section 33.008(b) of PURA, based on each
kilowatt hour of electricity delivered by Oncor to each retail customer
whose consuming facility's point of delivery is located within the City's
municipal boundaries and as specified by Oncor to the City by letter dated
January 21, 2002.
(a)
The franchise fee due pursuant to Section 33.008(b) of PURA shall
be payable in accordance with the existing electric franchise; and
(2)
a sum equal to four percent (4%) of gross revenues received by Oncor
from services identified in its "Tariff for Retail Delivery Service", Section
6.1.2, "Discretionary Service Charges," items DD1 through DD24, that are
for the account or benefit of an end-use retail electric consumer.
(a)
The franchise fee amounts based on "Discretionary Service
Charges" shall be calculated on an annual calendar year basis, i.e.,
from January 1 through December 31 of each calendar year.
Co)
The franchise fee amounts that are due based on "Discretionary
Service Charges" shall be paid at least once annually on or before
April 30 each year based on the total "Discretionary Service
Charges" received during the preceding calendar year.
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B. Oncor Franchise Fee Recovery Tariff
(1)
Oncor may file a tariff amendment(s) to provide for the recovery of the
franchise fee on Discretionary Service Charges.
(2)
City agrees (i) to the extent the City acts as regulatory authority, to adopt
and approve that portion of any tariff which provides for 100% recovery
of the franchise fee on Discretionary Service Charges; (ii) in the event the
City intervenes in any regulatory proceeding before a federal or state
agency in which the recovery of the franchise fees on such Discretionary
Service Charges is an issue, the City will take an affirmative position
supporting the 100% recovery of such franchise fees by Oneor and; (iii) in
the event of an appeal of any such regulatory proceeding in which the City
has intervened, the City will take an affirmative position in any such
appeals in support of the 100% recovery of such franchise fees by Oncor.
(3)
City agrees that it will take no action, nor cause any other person or entity
to take any action, to prohibit the recovery of such franchise fees by
Oncor.
SECTION 2. In all respects, except as specifically and expressly amended by this
ordinance, the existing effective franchise ordinance heretofore duly passed by the governing
body of the City and duly accepted by Oncor shall remain in full force and effect according to its
terms until said franchise ordinance terminates as provided therein.
SECTION 3. This ordinance shall take effect upon its final passage and Oncor's
acceptance. Oncor shall, within thirty (30) days from the passage of this ordinance, file its
written acceptance of this ordinance with the Office of the City Secretary in substantially the
following form:
To the Honorable Mayor and City Council:
Oncor Electric Delivery Company, acting by and through the undersigned
authorized officer, hereby accepts in all respects, on this the __ day of
, 20 , Ordinance No. amending the
current electric franchise between the City and Oncor and the same shall
constitute and be a binding contractual obligation of Oncor and the City.
Oncor Electric Delivery Company
By
Vice President
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SECTION 4. It is hereby officially found and determined that the meeting at which this
Ordinance is passed is open to the public a/s-re~ired by law and that public notice of the time,
place and purpose of said meeting was giv(n as required.
ATTEST: .'/
JENNIFER WALTERS, CITY SECRETARY
AP~-¢vED ~TO LEGAL FORM:
HEI~ERT L. PROUTY, CITY ATTORNEY
The City of Denton, Texas, acting herein by its duly constituted authorities, hereby
declares the foregoing Ordinance passed on~rst readingpn the ~ day of ,~. dZzT~Z6~, 2002;
and passed on seg_9nd reading on the a?tSr~ day of /~z~,q~$~, 2002; and l~sse,~, third
rea~din, g 9n the,.~~4~' day oft~m~f',~6-2; and being fi~ally effective as of the~'r~z day of
~g~t'0~_,/" ,2002. ' , .,1'/ //.~"\/ ~,~-~4 I {F'~.,. /~'). /...~
/si Abstained /si -fi'/b'.L~t~ ~ I ./
Micf~ael Phillips, Council Member
Page 3
The above and foregoing ordinanc~ read, adopted on first reading and passed to second reading
by the following votes, tkis the ~ day of ;~2t~ ~dg,5~ , 2002, at a regular session of the City
Council. d
Euline Brock, Mayor, abstained from voting.
Mark Burroughs, Mayor Pro Tem, voting ~/~ .
Bob Montgomery, Council Member, voting
Perry McNeill, Council Member, voting ~/g.
Jane Fulton, Council Member, voting &¥~.
Michael Phillips, Council Member, voting d~/E ·
Raymond Redmon, Council Member, voting
The above and foregoing ordinance r~d, adopted.on second reading and passed to third reading
by the following votes, this the ~Z~day of ~Z~ ,2002, at a regular session of the
City Council.
Euline Brock, Mayor, abstained from voting.
Mark Burroughs, Mayor Pro Tern, voting ~__.
Bob Montgomery, Council Member, voting 6[¥g ·
Perry McNeill, Council Member, voting R}/g .
Jane Fulton, Council Member, voting ~/~.
Michael Phillips, Council Member, voting &~/~.
Raymond Redmon, Council Member, voting O-~/g.
The above and fo. rpgoing or~din,ance~ read, adopted on third reading and passed by the following
votes, this the ~?~ day of c~, l~gO~V, 2002, at a regular session of the City Council.
Euline Brock, Mayor, abstained from voting.
Mark Burroughs, Mayor Pro Tem, voting ~/l .
Bob Montgomery, Cotmcil Member, voting ~/&.
Page 4
Perry McNeill, Council Member, voting
Jane Fulton, Council Member, voting 6~3/~' .
Michael Phillips, Council Member, voting
Raymond Redmon, Council Member, voting
STATE OF TEXAS §
COUNTY OF DENTON §
I, Jennifer Walters, City Secretary of the City of Denton, Texas, do hereby certify that the
above and foregoing is a tree and correct copy of the Franchise Agreement Ordinance between
the City of Denton and TXU Gas Company~oing business as TXU Gas. The same is now
recorded as Ordinance Number c~q00o,~ _~b/ in the Ordinance Records of the City of Denton,
Texas.
WITNESS MY HAND this the ~.~ ~ day of (.20,~49~g/22~5/~- ,2002.
~e'nfilf~Walte~s, City Secretary
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ACCEPTANCE
WHEREAS, the City Council of the City of Denton, Texas, did on the'~I~(j day of
.~'~oT~f_t40~ , 20~ enact an Ordinance entitled:
AN ORDINANCE AMENDING THE EXISTING ELECTRIC FRANCHISE BETWEEN THE
CITY AND ONCOR ELECTRIC DELIVERY COMPANY, TO PROVIDE FOR A
DIFFERENT CONSIDERATION;; PROVIDING FOR ACCEPTANCE BY ONCOR
ELECTRIC DELIVERY COMPANY; FINDING AND DETERMINING THAT THE
MEETING AT WHICH THIS ORDINANCE IS PASSED IS OPEN TO THE PUBLIC AS
REQUIRED BY LAW; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, Oncor Electric Delivery Company, successor in interest to TXU Electric
Company (hereinafter called "Oncor") is engaged in the business of providing electric utility
service within the City and is using the public streets, alleys, grounds and rights-of-ways within
the City for that purpose under the terms of a franchise ordinance heretofore duly passed by the
governing body of the City and duly accepted by Oncor; and
WHEREAS, the City and Oncor desire to amend said franchise ordinance to provide for a
different consideration
To the Honorable Mayor and City Council:
Oncor Electric Delivery Company, acting by and through the undersigned
authorized officer, hereby accepts in all respects, on this the ~ day of
~ , 20_o~, Ordinance No. ~OO ~-~/5'c/ amending the
current electric franchise between the City and Oncor and the same shall
constitute and be a binding contractual obligation of Oncor and the City.
DATED this the
Oncor Electric Delivery Company
0
,2002.
ONCOR ELECTRIC DELIVERY COMPANY
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