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HomeMy WebLinkAboutORD 2016-01 - Atmos Franchise AGRMTORDINANCE NUMBER AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GEORGETOWN, TEXAS AMENDING SECTION 14.04.010 OF THE CODE OF ORDINANCES OF THE CITY OF GEORGETOWN, TEXAS RELATING TO THE TERM OF THE FRANCHISE AGREEMENT BY AND BETWEEN THE CITY OF GEORGETOWN AND ATMOS ENERGY CORPORATION; REPEALING CONFLICTING ORDINANCES AND RESOLUTIONS; INCLUDING A SEVERABILITY CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, Atmos Energy Company, successor in interest to TXU Lone Star Gas (hereinafter called "Atmos") is engaged in the business of providing gas utility service. within the City of Georgetown and is using the public streets, alleys, grounds and rights- of - ways within the City for that purpose under the terms of a franchise ordinance heretofore duly passed by the governing body of the City and duly accepted by Atmos; and WHEREAS, the City and Atmos are in discussions with the goal of arriving at terms for a long-term franchise; and WHEREAS, the City and Atmos desire to amend said franchise ordinance to extend the term until December 31, 2020; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GEORGETOWN, TEXAS, THAT: SECTION 1. The meeting at which this ordinance was approved was in all things conducted in compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. SECTION 2. The facts and recitations contained in the preamble of this Ordinance are hereby found and declared to be true and correct, and are incorporated by reference herein and expressly made a part hereof, as if copied verbatim. SECTION 3. Section 14.04.010 of the Code of Ordinances of the City of Georgetown, Texas is hereby amended as follows: ORDINANCE NUMBER: O DESCRIPTION: Atmos Franchise A reement Extension DATE APPROVED: ! JIa-Itto_ Page 1 of 3 Sec. 14.04.010. - Franchise granted—Term. A. The City of Georgetown, Texas, hereinafter called "City," grants to TXU Lone Star Gas, a Division of TXU Gas Company, hereinafter called "Company," its successors and assigns, consent to use and occupy the present and future streets, alleys, highways, public places, public thoroughfares, and grounds of City, hereinafter referred to as "public rights-of-way," for the purpose of laying, maintaining, constructing, protecting, operating, and replacing therein and thereon pipelines and all other appurtenant equipment to deliver, transport, and distribute gas in, out of, and through City for persons, firms, and corporations, including all the general public, and to sell gas to persons, firms, and corporations, including all the general public, within the City corporate limits, as such limits may be amended from time to time during the term of this ordinance, said consent being granted for a term beginning January 13, 2000, and ending December 31, 2009; provided, that said term shall be automatically renewed for an additional term ending December 31, 2020 . B. If during the term of this franchise, legislation is enacted which requires the deregulation of the gas industry and/or the "unbundling" of gas services, this franchise must be renegotiated within six months of the passage of the new law. If the parties are unable to renegotiate the agreement within the six-month period, this agreement will terminate upon 30 days written notice by either party. At any time during the term of this franchise, either party may request renegotiation of any item herein. Within a reasonable time following such request, the parties will meet to renegotiate in good faith the suggested amendments to the franchise. SECTION 4. All ordinances and resolutions, or parts of ordinances and resolutions, in conflict with this Ordinance are hereby repealed and are no longer of any force and effect. SECTION 5. If any provision, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be unconstitutional, void or invalid (or for any reason unenforceable), the validity of the remaining portions of this ordinance shall not be affected thereby, it being the intent of the parties in adopting this Franchise that no provision hereof shall be inoperative or fail by reason of any unconstitutionality or invalidity of any other portion, provision, or regulation, and to that end, all provisions of this ordinance are declared to be severable. SECTION 6. The Mayor is hereby authorized to sign this ordinance and the City Secretary to attest. This ordinance shall become effective and be in full force and effect thirty (30) days after its final passage and in accordance with the provisions of Section 8.03 of the Charter of the City of Georgetown and Atmos's acceptance. Atmos shall, within thirty (30) days from the passage of this ordinance, file its written acceptance of this ordinance with the Office of the City Secretary in substantially the following form: ORDINANCE NUMBER: o1C7IG-1 DESCRIPTION: Atmos Franchise Agreement Extension DATE APPROVED: it Page 2 of 3 To the Honorable Mayor and City Council: Atmos Energy Company, acting by and through the undersigned authorized officer, hereby accepts in all respects, on this the 0-� day of , 2016 Ordinance No. 1 amending the current gas franchise 41tween the City of Georgetown.and Atmos and the same shall constitute and be a binding contractual obligation of Atmos and the City. Atmos Energy Company PASSED AND APPROVED on First Reading on the 241h day of November, 2015. PASSED AND APPROVED on Second Reading on the 1211 day of January, 2016. ATTEST: Shelley Nowl' , City Secretary APPROVED AS TO FORM: ALA Ti(.t_- "Sky e asson, Interim City Attorney THE CITY OF GEORGETOWN: <��4 C�'� Dale Ross, Mayor ORDINANCE NUMBER: aoku— 1 DESCRIPTION: Atmos Franchise A reement Extension DATE APPROVED: Page 3 of 3