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Home My WebLink AboutContract 19727� � � �? �� £��_��tti:{��t�� r �,� �a� c '�° :..�'i�: � ;Z�. � . ° :.,�. \\� \\� � �� Q �1°t"� �� '� i�,f�� .�,� \.y"� \`.�\\Q \ \\�� \�\ �� . ��: . � ..,. , .. �\ �: , ��\\.�.\� ��, .. ; ;�w-� _�,.,_ -•�...A� �� , � > � � ��,....... ,..� . ...., OtfiCi� Qf TNE C3F��h4ARlAGER � ! 4UD YtfRCeGKi�t[�RFON STR�Ei fC+RT�� WCiR1'H. 7EXAS 76702�. � .($F7) 677-bi�l�i .. Apri.1 13, I993 Mx. 47oe R. Thompsan �eniar irs.ce Presiderat TU Electxic P. a. Bnx 97i3 F'ort Tr7nrth, 'I`exas 761D1-t}91t7 Dear Mr, Thompsone Pursaxant to ys3Lir previous ciiscussians wztia F�ad� Adka.zas, City Attorney, this l�t��r, wh�n executed k�y TU E1ec�ra.c anei age�r.bered by Che E"o2t Wcartli Ciiy Courtca.l, will cons�iCute an amezzelment to the franohis� agreement bet�ve�n the Caty af For� Wosth and �U Elee�ric (C�ty vecz'etary Cantract No. 7234je As you knat�, the curreaat t�sz�a at tPz� �ranehise r�greement, as extendeci by a leC�er dated Januax'y i9, 1993, is due tu expzre on June 21, 1993 a Tn �ccardarsce c�ra.th paragraptt 3 of tize �r.ancd�ise ` agreeznsnt anet th� pxaxrisio�a o� 'the le�t��-, �n2e�s w��1��a ;�a�a��;� .i.s c�iven i�y e.ither pariy to th� other �axty noi. 1� ��. ; . ..� c�ays before ,7�ne 21, .L993, then �he frail�hise agree��F��'��ia�i�� i �utoFnatically rez��wed for ari additional periac� c�� tc�n�� .�� le�C�r is �o gitz� ya� tic�t��,ce �ha� �xcep'� as oi,her�rr�° �c�%�tr�eci � herein the City does not desire �o� the �ranchise �q��m�eg\;d� �� ; : au�tamatiCally �'ez�ewsd�> � �� ,...... �-� The C.ity and 'P[7 Eleet�i� are current];y i� a�gotiations �c�n�e�n:i.ng �ertain elemsnts of th� :franchise aqreement. Neithea:< �a�ty anticipates t&a� th�se negr�ti�.�3.cans wil.1 ;3�� eom�leted on t�r; befc�re the sixtietks dag prior ta �une 21, 2493. 'P3zeregc,re, io< de1a� the iax�tiation o� the sixty-e�ay periodj and ta allosa the partie� ac�d.if;i.o�aal time ta negotiate in gac�e3 fai�Ix ccsrtaexnang x�evisiogY� �a the fxanet�iee agreement, the City af ForC Warth anrl TU E3,ectri� he�eby ac�ree ta her�b�r amend Ci:ty Seere�ary C��t�ac't No. 723D tc� provi�e �k�at the cnrrent �erm oi the franchise ac��e�m�nt, insteac� of expiring an �un� 28., 1993r wa�.1 nat expire<until December 21, 1993� azzd tha� ttza s3xty--c3ay period referr�ci to in Paraqraph 3 af th� franchi�e agreement vazll not i�egin uz�til sixty day� �ri�r tQ lleaemher 23, 19y3. � � �� '.. � PrinYed on Recgnf�d Paper � Continued, Page 2 Mr. Joe R. Thompson TU Electric Further, in the event the City of Fort Worth allows the franchise agreement to automatiaally renew for an additional ten- year period, effective December 21, 1993, the City of Fort Worth and TU Electric hereby agree as follows: As part of the consideration for allowing automatic renewal of the existing franchise, TU Electric hereby additionally agrees that, if TU Electric shall at any time after the effective date of this renewed franchise enter into a franchise in which it agrees to pay a franchise or street rental fee (other than by succession or assignment of an existing franchise throuqh the acquisition by merqer or otherwise of another utility), renew or extend a franchise ordinance agreement adopted by any municipality on or after the effective date of this renewed franchise (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 TU Electric and such other municipality are negotiating in good faith] extension of pre-existing franchise agreement pending negotiation of a new franchise agreement) and that franchise agreement or street rental ordinanae 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 (3) peroent of TU Electric's gross receipts {from sale of electric energy) in said municipality, then TU Electrio's payments under this renewed franchise shall be increased to that proportionately higher rate of TU Electric's said gross receipts within the City oi Fort Worth. Such increased payment to the City shall be subject to the same method or terms of collecting of such fee from TU Electric's customers. TU Electric shall notify the City of such increase within thirty {30) days of the other payment's effeative date. Collections of the franchise fee and payments to the City will be based on such higher rate from the first date of the first month next following the date the City accepts and authorizes the increase on the same terms as those in effect for the other municipality. The colleation of the franchise fee and the increased payment shall continue until expiration of the term of this renewed 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 pattern of the dates upon which the quarterly payments specified in the franchise (Contract No. 7230, executed on August 21, 1972) are payable or the period to which each of said payments are referable as provided therein. Continued, �age 3 Mr. 3oe R. �'ham�son TU �le�c�:ric Fiirthez, as part �i the c�n�ideration fe:c a17.asaing autamat.ic rezaewai of the ��risting Eranchise, '1'ti EZectzic aqrees ta ma7�e avai7.akal� for aud.it bg� the City, at TU Ele��ric's a�fices 'at xeasanable t:im�es anci upoza reasanable no�ice, zts accounts anci raaords refl�ctit�g the aanounts of, �he �aasis aor the computati.an of, its cjross raceipts �rosn tkae s�l� of ele��:�a.ca1 energy withi:ri tkae co�porate bolandarias nf 9:ha �z�y a� Fcc:rt G,'c+:rth �es we7�1 a� i.ts accounts and reoetrds pertaa:n:i.ng to ilze paynient:s znade }ay 'PU �I�c�rac Lo csthe� munie�palities fGr the purpose af vesi�yi.ng tlze appropraaten�ss o� �he franchise fee gayable iander Chis renewed franchise. ig TU Elec�ric agrees ta t.he terans ex�ressed in thas leti�r, theia �I.�as� execute this let�er oi� �lae sigtastu.re lixic k�e3.oW. U�nn approual oE ti�Ys ac�xe�mezat ancI am�ndm�nt by �he Fozt Worih Ci:Gy i:ciizncil, suaia agreement and amendmer�t vrili tlzen become ef�eeti�re. V�ry �ruly yaurs, !�a"'��,-_' \J;.�-�--�:::�d�..,�Y \ Bok3 �'errell City gSanaqer ST . e�n Acl�nowlet�geCi 8y az�cl �c}reed Tp. . � �y: j;%�-� f �aL.�,.�;.�� J�a� I2 0 �kaomp�an Sensoa QTace l�xessderit TU Electri:c A`i"I'E S 7' , �..�-�..e.� i�.�r �.c...�-' city sacretary � ;.� �� a �� . ,, ' � .�si�x ..:aa<�. �:�� .£I � �;: o�:i ' . . � � j g ., a ......7: ^ ...:.,�.:� :.....,,. nZ`M