TXU Electric-CN 901127AN ORDINANCE OF THE CITY OF COPPELL, TEXAS
ORDINANCE NO. 9 O y 913
AN ORDINANCE GRANTING TO TEXAS UTILITIES ELECTRIC COMPANY, ITS
SUCCESSORS AND ASSIGNS, AN ELECTRIC LIGHT, HEAT, AND POWER
FRANCHISE AND REPEALING ALL PREVIOUS ORDINANCES OF THE CITY OF
COPPELL, TEXAS, GRANTING A FRANCHISE FOR SUCH PURPOSE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL,
TEXAS:
SECTION 1. THE FRANCHISE
A. That there is hereby granted to Texas Utilities Electric
Company, its successors and assigns (herein called the
"Electric Company"), the right, privilege and franchise
until October 1, 2010, to construct and maintain in the
present and future streets, alleys, utility easements and
public ways of the City of Coppell, Texas, and its
successors, electric light and power lines, with all
necessary or desirable appurtenances (including telephone
wires for its own use, underground conduits, poles,
wires, and transmission lines), for the purpose of
supplying electricity to the City, the inhabitants
thereof, and persons and corporations beyond the limits
thereof, for light, heat, power, and other purposes.
B. The services furnished by Electric Company under this
franchise shall be first class in all respects,
considering all circumstances. The Electric Company
may require reasonable security for the payment of its
bills.
SECTION 2. UTILITY RELOCATION
A. The placement of Electric Company's
streets, avenues, alleys, highways,
easements within the city shall int
reasonably practicable with the use
avenues, alleys, highways, drainage
ways.
facilities in the
public ways and
erfere as little as
of public streets,
systems and public
B. Whenever by reason of the widening or straightening of
streets, it shall be deemed necessary by the governing
body of the City to relocate the facilities of the
Electric Company, the Electric Company shall, at no
cost to the city, relocate such facilities as soon as
reasonably practicable upon the City specifying the new
location for the facilities along the right -of -way
of the street or streets. If during such widening,
straightening, construction or improvements to
drainage systems, it becomes necessary to support
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any of the Electric Company's facilities due to the
proximity of the construction, it shall be done at no
cost to the City or its contractors.
SECTION 3. LOCATION OF POLES AND CONDUITS
All Electric Company facilities to be placed or relocated
in the future shall be set, so that they shall not
unreasonably interfere with the flow of water in any
gutter, drain or other drainage facility, and so that the
same shall not unreasonably interfere with ordinary
travel on the street, and so that the same shall
interfere as little as practical with ordinary travel
on sidewalks and bikeways, and so that they shall not
compromise public safety, especially at public street
intersections. The City herein reserves the right
to require the Electric Company to install new
above - ground facilities as far from the vehicular
travel lanes as reasonably possible to alleviate
hazardous conditions to life or property.
SECTION 4. RESTORATION TO GOOD CONDITION
The surfaces of any street, alley, highway, easement,
public way or public place, disturbed by the Electric
Company in building, constructing, renewing or
maintaining its electric plant and system shall be
restored within a reasonable time after the completion
of the work to as good a condition as before the
commencement of work to the reasonable satisfaction
of the City. The Electric Company shall be
responsible for all repairs and maintenance costs
incurred as a result of any defects, impairments or
other substandard condition in the street, alley,
highway, utility easement, public way or public
place caused by the construction, maintenance or
restoration work of the Electric Company. No street,
alley, highway, utility easement or public way or
public place shall be encumbered for a longer period than
shall be reasonably necessary to execute the work. The
Electric Company shall install traffic control devices
in accordance with lawful City or state standards, when
such activity requires the full or partial closure of
any vehicular travel way.
SECTION 5. TREE TRIMMING
The right, license, privilege and permission is hereby
granted to the Electric Company, its successors and
assigns, to trim trees upon and overhanging the streets,
alleys, sidewalks and public places of the City, so as to
prevent the branches of such trees from coming in contact
with the wires or cables of the Electric Company.
SECTION 6. INDEMNITY
The Electric Company agrees to and shall indemnify and
hold harmless the City, its officers, agents, contractors
and employees from and against any and all claims,
losses, damages, causes of action, suits, and liability
of every kind, including all expenses of litigation,
court costs and attorney's fees, for injury to or death
of any person, or for damage to any property, arising out
of or occasioned by the construction, maintenance,
operation or repair of the Electric Company's generation,
transmission or distribution system, or by the conduct of
the Electric Company's business in the City. Electric
Company further agrees to handle and defend at its own
expense, on behalf of City and in City's name, any claim
or litigation in connection with any such injury, death
or damage. It is understood that it is not the intention
of the parties hereto to create liability for the benefit
of third parties, but that this agreement shall be solely
for the benefit of the parties hereto.
SECTION 7. INDEPENDENT CONTRACTOR
When performing under this agreement, the Electric
Company's status shall be that of an Independent
Contractor and not an agent, servant, employee or
representative of the City in the performance of this
agreement. No term or provision of, or act of the
Electric Company or City under this agreement shall be
construed as changing the status.
When performing under this agreement, the City's status
shall be that of an Independent Contractor and not an
agent, servant, employee or representative of the
Electric Company in the performance of this agreement.
No term or provision of, or act of the City or Electric
Company under this agreement shall be construed as
changing the status.
SECTION 8. FRANCHISE FEE
A. That on the 15th day of May, 1991, and annually
thereafter on May 15 of each succeeding year for the life
of this franchise, Electric Company, its successors and
assigns shall pay to the City of Coppell a sum equal
to three percent (3%) of its gross receipts received
from the retail sale of electric power and energy
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by Electric Company within the corporate limits of said
City during the preceding twelve (12) months ending
March 31, in full payment for the privilege of using
and occupying the streets, highway, utility easements,
alleys, and other public ways or public places in the
City of Coppell, whether as rental, supervision and
inspection charges, or otherwise, for twelve (12)
months following May 15, of year in which payment is
made. This payment shall be in lieu of any other tax or
increased rate of tax or other imposition, assessment
or charge, except ad valorem taxes, charges permitted by
Section 24 of the Public Utility Regulatory Act (Art.
1146c, V.A.T.S.), assessments for public improvements
and sales taxes on Electric Company's sales within the
City to the extend authorized by state law.
B. If Electric Company shall at any time after the effective
date of this franchise pay a franchise or street rental
fee (other than by succession or assignment of an
existing franchise through the acquisition by merger or
otherwise of another utility), renew or extend a
franchise ordinance agreement adopted by any municipality
on or after the effective date of this ordinance, (other
than a short -term (not to exceed three (3) years in the
aggregate to be extended by the City in the event that
the City determines that the Electric Company and such
other municipality are negotiating in good faith)
extension of a pre- existing franchise agreement pending
negotiation of a new franchise agreement), and that
franchise agreement or street rental ordinance
provides for payment to the municipality for the use of
said municipality's public rights -of -way in an amount,
however characterized, higher than three percent (3%)
of the Electric Company's gross receipts (from sale of
electric energy) in said municipality, then Electric
Company's payments under this Section shall be increased
to that proportionally higher rate of the Electric
Company's Gross Receipts. Such increased payment to City
shall be subject to the same method of terms of
collecting such fee. Electric Company shall notify City
of such increase within thirty (30) days of the other
payment's effective date. Collections of the franchise
fee and payments to City will be based on such higher
rate from the first date of the first month next
following the date City accepts and authorized the
municipality. The collection of the franchise fee
and the increased payment shall continue until
expiration of the term of this franchise, or until
the expiration of the franchise agreement of such
other municipality, whichever is earlier. Provided
that nothing herein shall alter or affect the dates
upon which payments specified in this franchise are
payable or the period to which each of said payments
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is referable. The audit provisions of this Section shall
extend to any and all records of payments between other
municipalities and Electric Company.
SECTION 9. ACCEPTANCE OF FRANCHISE
A. The Electric Company shall file its written acceptance
of this franchise within sixty (60) days after its
passage and approval or this franchise shall become null
and void.
B. By granting this franchise, the City does not waive or
surrender any rights or powers reserved to it by the
Coppell City Charter and, by accepting this franchise,
the Electric Company does not waive or surrender any
right to challenge the validity or enforceability of
any provision of the Coppell City Charter.
SECTION 10. FRANCHISE NOT EXCLUSIVE
This franchise is not exclusive, and nothing herein
contained shall be construed so as to prevent the City
from granting other like or similar rights and
privileges to any other person, firm or corporation.
SECTION 11. EFFECTIVE DATE AND REPEALING CLAUSE
This ordinance shall become effective 30 days after
adoption. When this franchise ordinance shall have
become effective, all previous ordinances of the
City of Coppell, Texas, granting to Texas Power &
Light Company for electric light, heat and power
purposes, shall be automatically canceled and
annulled, and the same, together with any existing
street rental agreement between the City and Electric
Company shall be of no further force and effect.
PASSES AND APPROVED on this a17 day of
ATTE
Ci y Secretary,
(CITY SEAL)
5
ayor
APPROVED AS TO FORM
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