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CoServ-CS980722NICHOLS, JACKSON, DILLARD, HAGER & SMITH, L.L.P. ROBERT L. DILLARD III ROBERT E. HAGER PETER G. SMITH DAVID M. BERMAN BRUCE A.STOCKARD Don Leverty Director of Regulatory Affairs CoServe Gas 3501 FM 2181 Corinth, Texas 76205 Attorneys & Counselors at Law 1800 Lincoln Plaza 500 North Akard Dallas, Texas 75201 (214) 965 -9900 Fax(214)965 -0010 E -mail NJDHS @NJDHS.com July 22, 1998 Re: City of Coppell Gas Utility System Franchise Ordinance Dear Mr. Leverty: JOHN F. ROEHM III JASON C. MARSHALL J. DAVID DODD III ROBERT L. DILLARD. JR, H. LOUIS NICHOLS LAWRENCE W. JACKSON OF COUNSEL Enclosed for your review and comment, please find a draft of a proposed City of Coppell, Texas, gas utility franchise ordinance for Denton County Electric Cooperative, Inc. d/b /a CoSery Gas. The enclosed gas utility franchise ordinance is based upon the Denton County Electric Cooperative, Inc. d/b /a CoSery Electric franchise ordinance recently adopted by the City of Coppell, Texas, and accepted by CoServe Electric. The enclosed ordinance includes appropriate changes applicable to a gas utility system and also incorporates many of the provisions found in Ordinance 96743, granting Lone Star Gas Company a gas utility system franchise. Please review and advise the undersigned as to any comments or corrections. By copy of this letter I am furnishing a copy of the proposed ordinance to Ken Griffin, City Engineer, and to Jennifer Armstrong, Finance Director, for their review and comment as well. Please direct any comments or further communications regarding the franchise ordinance to the undersigned. Thank you for your attention to this matter. If you have any questions in this regard, please do not hesitate to contact me. Very truly yours, PGS /pr encls. NICHOLS, JACKSON, DILLARD, HAGER & SMITH, L.L.P. By: Peter G. S th Don Leverty July 22, 1998 Page 2 cc: Jennifer Armstrong, w /encls. Ken Griffin, w /encls. 19709