OR 2002-1013 City and Oncor Electric Delivery Co.AN ORDINANCE OF THE CITY OF COPPELL, TEXAS
ORDINANCE NO. 2002-1013
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS,
AMENDING ORDINANCE 90453, AS AMENDED BY ORDINANCE NO.
93602, IN PART, THE EXISTING FRANCHISE BETWEEN THE CITY
OF COPPELL AND ONCOR ELECTRIC DELIVERY COMPANY, BY
AMENDING SECTION 1 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, City of Coppell Ordinance No. 93602, passed and approved by the City
Council on May 25, 1993, provided an amendment to the existing franchise as adopted by
Ordinance No. 90453 with Texas Utilities Electric Company; and,
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-way 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, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS:
SECTION 1. That Ordinance No. 90453, as amended by Ordinance No. 93602, the
existing electric franchise ordinance between the City and Oncor Electric Delivery Company, is
hereby amended, in part, by amending Section 1 to provide for a different consideration, as follows:
"A. 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.
(b)
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 total "Discretionary Service Charges"
received during the preceding calendar year.
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 Oncor; 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 franchise ordinance heretofore duly passed by the governing body of the
City of Coppell and duly accepted by Oncor shall remain in full force and effect according to its
terms until said franchise ordinance terminates as provided therein.
2
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
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 .,
2002, Ordinance No. amending the current electric franchise
between the City of Coppell and Oncor and the same shall constitute and be a
binding contractual obligation of Oncor and the City of Coppell.
Oncor Electric Delivery Company
By:
Vice President
SECTION 4. It is hereby officially found and determined that the meeting at which this
Ordinance is passed is open to the public as required by law and that public notice of the time, place
and purpose of said meeting was given as required.
DULY PASSED by the City Council of the City of Coppell, Texas, this the ~_~_ day of
2002.
CAN'DY SIiE'~t-L~N, MA-YOR
ATTEST:
LIBBY BALI~ITY SECRETARY
3 50691
APPROVED AS TO FORM:
ROBERT E. HAGER, CITY: ATgrORNEY
(REH/cdb 10/8/02)
4 50691
To the Honorable Mayor and City Council:
Oncor Electric Delivery Company, acting by and through the unde~.igned
authorized officer, hereby accepts in all respects, on this the ~;?.L~ day of CkpPo~-~,
2002, Ordinance No. '2/oo~f ot,.3 amending the current electric fxanchise
between the City of Coppell and Oncor and the same shall constitute and be a
binding conlxactual obligation of Oncor and the City of Coppell.
Oncor Electric Delivery Company
(~ ~//~ice President