O-2522-6-06ORDINANCE NO. 2522-6-06
' AN ORDINANCE OF THIN CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, AMENDING EXISTING FRANCHISE ORDINANCE NO. 22944
04 BETWEEN THE CITY OF ALIEN, COLLIN COUNTY, TEXAS, AND TXU
ELECTRIC DELIVERY COMPANY, A TEXAS CORPORATION, ITS
SUCCESSORS AND ASSIGNS, TO PROVIDE FOR A DIFFERENT PAYMENT
SCHEDULE; PROVIDING AN EXTENSION OF THE FRANCHISE TERM;
PROVIDING FOR TXU ELECTRIC DELIVERY ACCEPTANCE; FINDING AND
DETERMINING THAT THE MEETING AT WHICH THIS ORDINANCE IS
PASSED IS OPEN TO THIN PUBLIC AS REQUIRED BY LAW.
WHEREAS, TXU Electric Delivery Company, (hereinafter called "Company') is engaged in the business of
providing electric utility service within the City and is using the public 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 Company; and,
WHEREAS, pursuant to Agreement to Resolve Outstanding Franchise Issues dated January 27, 2006, the
City has requested and Company has agreed to amend said franchise ordinance to provide for a different
payment schedule and an extension of the term.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THIN CITY OF ALLEN,
COLLIN COUNTY, TEXAS, THAT:
' SECTION 1. The franchise between the City and Company is amended as follows:
A. A final annual payment will be made on or before August 1, 2006, based on each kilowatt
hour of electricity delivered by Company during the twelve-month period ending June 30,
2006, to each retail customer whose consuming facility's point of delivery is located within
the City's municipal boundaries. This payment is for the rights and privileges granted under
the franchise for the twelve month period August 1, 2006 — July 31, 2007.
Effective November 1, 2006 the annual prospective payment schedule is hereby changed to a
quarterly prospective schedule as follows:
Payment Due Date Basis Period Privilege Period
(Following Year)
November 1 July 1 — Sept. 30 Aug. 1— Oct. 31
February 1 Oct. 1 — Dec. 31 Nov. 1— Jan. 31
May 1 Jan. 1 — Mar. 31 Feb. 1 — Apr. 30
August 1 Apr. 1— June 30 May 1 — July 31
The first quarterly payment will be due and payable on or before November 1, 2006, based on
the period beginning July 1, 2006, and ending September 30, 2006, for the rights and
privileges granted under the franchise during the period beginning August 1, 2007, and
ending October 31, 2007. Subsequent payments will be made on a quarterly basis as provided
in the above schedule. The final payment under this franchise will be made on or before
August 1, 2013, based on the period beginning April 1, 2013, and ending Jane 30, 2013, for
the rights and privileges beginning May 1, 2014, and ending July 31, 2014.
After the final payment date of August 1, 2013, Company may continue to make additional
quarterly payments in accordance with the above schedule. City acknowledges that such
continued payments will correspond to privilege periods that extend beyond the term of this
franchise and that such continued payments will be recognized in any subsequent franchise
agreement as full payment for the relevant quarterly periods; and
B. The term of the franchise is hereby extended for an additional five years to expire on July 31,
2014.
SECTION 2. In all respects, except as specifically and expressly amended by this ordinance, Ordinance
No. 2294-6-04 heretofore duly passed by the governing body of the City and duly accepted by Company shall
remain in full force and effect according to its terms until said franchise ordinance terminates as provided
herein.
SECTION 3. This ordinance shall take effect upon its final passage and Company's acceptance. Company
shall, within sixty (60) days from the passage of this ordinance, file its written acceptance of this ordinance
with the Office of the City Secretary.
SECTION 4. It is hereby officially found and determined that the meeting at which this ordinance is passed
is open to the public m required by law and that public notice of the time, place and purpose of said meeting
was given as required.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, ON THIS THE 13" DAY OF JUNE, 2006.
' APPROVED:
4=)
Stephen Terrell, MAYOR
APPROVED AS TO FORM: ATTEST:
Perer G. Smith, GM ATTORNEY B. Georg%-TRMC, SECIMTARY
Ordinance No. 2522-6-06, Page 2