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ORD 2002-30ORDINANCE NO. 2002 - 30 AN ORDINANCE OF THE TOWN OF TROPHY CLUB, TEXAS, AMENDING SECTION 4 OF ORDINANCE 85-9, THE EXISTING ELECTRIC FRANCHISE BETWEEN THE TOWN OF TROPHY CLUB AND ONCOR ELECTRIC DELIVERY COMPANY, TO PROVIDE FOR A DIFFERENT CONSIDERATION; PROVIDING A CUMULATIVE REPEALER CLAUSE; PROVIDING FOR SAVINGS; PROVIDING SEVERABILITY; PROVIDING FOR ENGROSSMENT AND ENROLLMENT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Oncor EIectric Delivery Company, successor in interest to TXU Electric Company (hereinafter called "Oncor") is engaged in the business of providing electric utility service within the Town and is using the public streets, alleys, grounds and rights -of -ways within the Town for that purpose under the terms of a franchise ordinance heretofore duly passed by the governing body of the Town and duly accepted by Oncor; and WHEREAS, the Town and Oncor desire to amend Section 4. of said franchise ordinance to provide for a different consideration; NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL, OF THE TOWN OF TROPHY CLUB, TEXAS: SECTION 1 AMENDMENT That Ordinance No. 85-9 of the Town of Trophy Club, Texas, the same being the existing electric franchise between the Town of Trophy Club and Oncor EIectric Delivery Company, is hereby amended in the following particulars, and all other articles, chapters, sections, paragraphs, sentences, phrases and words are not amended but are hereby ratified and affirmed: Section 4. is amended 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 AURA, 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 Town's municipal boundaries and as specified by Oncor to the Town by letter dated January 21, 2002. (a) The franchise fee due pursuant to Section 33.008(b) of PURR shall be payable in accordance with the existing electric franchise; and Page 1 (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 DDI 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 i 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 the 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) Town agrees (i) to the extent the Town 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 Town 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 Town 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 Town has intervened, the Town will take an affirmative position in any such appeals in support of the 100% recovery of such franchise fees by Oncor. (3) Town 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. C. 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 Town and duly accepted by Oncor shall remain in full force and effect according to its terms until said franchise ordinance terminates as provided therein. Page 2 SECTION 2 CUMULATIVE REPEALER This Ordinance shall be cumulative of all other Ordinances and shall not repeal any of the provisions of such Ordinances except for those instances where there are direct conflicts with the provisions of this Ordinance. Ordinances or parts thereof in force at the time this Ordinance shall take effect and that are inconsistent with this Ordinance are hereby repealed to the extent that they are inconsistent with this Ordinance SECTION 3 SAVINGS All rights and remedies of the Town of Trophy Club are expressly saved as to any and all violations of the provisions of any Ordinances affecting existing franchise agreements which have accrued at the time of the effective date of this Ordinance; and, as to such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such Ordinances, same shall not be affected by this Ordinance but may be prosecuted until final disposition by the courts. SECTION 4 SEVERABILITY If any section, article, paragraph, sentence, clause, phrase or word in this Ordinance or application thereof to any person or circumstance is held invalid or unconstitutional by a Court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this Ordinance, and the Town Council hereby declares it would have passed such remaining portions of this Ordinance despite such invalidity, which remaining portions shall remain in full force and effect. SECTION S ENGROSSMENT AND ENROLLMENT The Town Secretary of the Town of Trophy Club is hereby directed to engross and enroll this Ordinance by copying the exact Caption and Effective Date in the minutes of the Town Council and by filing this Ordinance in the ordinance records of the Town. SECTION b EFFECTIVE DATE That this Ordinance shall be in full force and effect from and after its date of passage, in accordance with law, and it is so ordained. Page 3 PASSED AND APP>RQVED by the Town this 191h day of August, 2002. Town of ATTEST: the Town of Trophy Club, Texas Club, Texas Town Secretary K Town of Troph/ lub, Texas G to CV APPROVED AS TO FORM: Town Attorney Town of Trophy Club, Texas Page 4