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ORD 1994-18TOWN OF TROPHY CLUB, TEXAS ORDINANCE NO. 9 4 -18 AN ORDINANCE OF THE TOWN OF TROPHY CLUB, TEXAS AMENDING ORDINANCE NO. 93-03, THE SAME BEING THE LONE STAR GAS FRANCHISE ORDINANCE, BY AMENDING THE SECTION 8 THEREOF BY INCREASING THE FRANCHISE FEE PAID TO THE TOWN FROM THREE PERCENT (3%) TO FOUR PERCENT (4%); PROVIDING ASEVERABILITY CLAUSE; PROVIDING AN EFFECTIVE DATE. WHEREAS, Lone Star Gas Company ("LSGC"), a division of Enserch Corporation, has a franchise in the Town of Trophy Club, Texas (the "Town") to supply the citizens of the Town with natural gas through LSGC's distribution system; and WHEREAS, LSGC and the Town desire to amend the existing franchise ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS: Section 1. Ordinance No. 93-03, the same being the Lone Star Gas Company franchise ordinance, is hereby amended in the following particulars, and all other sections, subsections, paragraphs, sentences, phrases and words of the said Ordinance are not amended but are hereby ratified, verified, approved and affirmed: A. Section 8 of Ordinance No. 93-03 is amended so that it shall hereafter read as follows: "SECTION 8: Company, its successors and assigns, agrees to pay and Town agrees to accept, on or before the 1st day of June, 1995, a sum of money which shall be equivalent to (i) three percent (3%) of the gross receipts received by Company from the sale of gas to its residential and commercial customers within the Town (expressly excluding governmental accounts and receipts derived from sales to all other classes of customers in the Town) from January 1, 1994 through and including the effective date of this ordinance, and (ii) four percent (4%) of the gross receipts received by Company from the sale of gas to its residential and commercial customers within the Town (expressly excluding governmental accounts and receipts derived from sales to all other classes of customers in the Town) from the effective date of this ordinance through December 31, 1994. Such payment shall be for the rights granted in this ordinance for the time period from January 1, 1995 through and including December 31, 1995. DOC #: 199626 -1- Company, its successors and assigns, agrees to pay and Town agrees to accept, on or before the 1st day of June of each year during the remaining term of this franchise, the last payment being made on the 1st day of June, 2017, a sum of money which shall be equivalent to four percent (4%) of the gross receipts received by Company from the sale of gas to its residential and commercial customers within the corporate limits of said Town (expressly excluding governmental accounts and receipts derived from sales to all other classes of customers in said Town) during the preceding calendar year. All payments as provided in this Section 8 shall be for the rights and privileges herein granted to Company during the calendar year in which the payment is made, including expressly, without limitation, the right to use the streets, alleys, and public ways of the Town. It is expressly agreed that all payments pursuant to this Section 8 shall be in lieu of any and all other and additional occupation taxes, easement, and franchise taxes or charges (whether levied as an ad valorem, special, or other character of tax or charge), in lieu of municipal license and inspection fees, street taxes, and street or alley rentals or charges, and all other and additional municipal taxes, charges, levies, fees, and rentals of whatsoever kind and character which Town may now impose or hereafter levy and collect, excepting only the usual general or special ad valorem taxes which Town is authorized to levy and impose upon real and personal property. Should the Town not have the legal power to agree that the payment of the foregoing sums of money shall be. in lieu of taxes, licenses, fees, street or alley rentals or charges, easement or franchise taxes or charges aforesaid, then Town agrees that it will apply so much of said sums of money paid as may be necessary to satisfy Company's obligations, if any, to pay any such taxes, licenses, charges, fees, rentals, easement or franchise taxes or charges. In order to determine the gross receipts received by Company from the sale of gas to residential and commercial customers within the corporate limits of Town, Company agrees that on the same date that payments are made, as provided in the preceding paragraph of this Section 8, it will file with the town Secretary a sworn report showing the gross receipts received from the sale of gas to its residential and commercial customers within said corporate limits during the calendar year preceding the date of payment. Town may, if it sees fit, have the books and records of Company examined by a representative of said Town to ascertain the correctness of the sworn reports agreed to be filed herein." DOC #: 199626 -2- Section 2. 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 3. This Ordinance shall take effect on October 20, 1994 if LSGC files its written acceptance of the provisions of this Ordinance with the Town within sixty (60) days after its final passage and approval. PASSED AND APPROVED by the Town Council of the Town of Trophy Club, Texas this the 18+.b day of 1994. ATTEST: Town Secretary, Town of Trophy Club, Texas APPROVED AS TO FORM: q.. 7 oWnrney, Town of Trophy Club, Texas DOC #. 198626 -3- STATE OF TEXAS § COUNTY OF DALLAS § WHEREAS, there was finally passed and approved on October 18, 1994, Ordinance No. 94-18 amending the franchise previously granted to Lone Star Gas Company, a Division of ENSERCH CORPORATION, a corporation,in the Town of Trophy Club, Tarrant County, Texas, which is recorded in the Minutes of the Town Council of said Town; and WHEREAS, Section 3 of said ordinance provides as follows: "SECTION 3: This Ordinance shall take effect on October 20, 1994 if Lone Star Gas Company files its written acceptance of the provisions of this Ordinance with the Town within sixty (60) days after its final passage and approval." AND, WHEREAS, it is the desire of Lone Star Gas Company, a Division of ENSERCH CORPORATION, to comply with the above -quoted provisions of Section 3 thereof. NOW, THEREFORE, premises considered, Lone Star Gas Company, a Division of ENSERCH CORPORATION, acting by and through its duly authorized officers, and within the time prescribed by Section 3 quoted above, does hereby agree to and accept the franchise amendment granted by the above-described ordinance, in accordance with its terms, provisions, conditions and requirements and subject to the stipulations and agreements therein contained. WITNESS THE EXECUTION HEREOF, on this the _ i_6_+ --h day of nPramhpr , 1994. ATTES1 : Assistant Secretary LONE STAR GAS COMPANY A DIVISION OF ENSERCH CORPORATION Senior Vicel*esident STATE OF TEXAS § COUNTY OF TARRANT § TOWN OF TROPHY CLUB § I,- _Ka ren �a� �; � Town Secretary of the Town of Trophy Club, Texas, do hereby certify that the above and foregoing is a true and correct copy of a formal acceptance of a franchise amendment ordinance finally passed and approved by said Town on October 18, 1994, and of record in the Minutes of the Town; and I do further certify that said acceptance has been duly presented to the Town Council and filed in connection with and as a part of said franchise amendment ordinance. OF WHICH, witness my official signature and the seal of said Town on this the 15th day of Decembe„r, 1994. r Town Secretary Town of Trophy Club, Texas 2