File #: 14-125    Name: Oncor Franchise Agreement
Type: Ordinance Status: Approved
In control: City Council Regular Meeting
On agenda: 3/18/2014 Final action: 3/18/2014
Title: Conduct a Public Hearing to Consider/Discuss/Act on an Ordinance Granting Oncor Electric Delivery Company, LLC, a Non-Exclusive Franchise to Use Public Rights-of-Way for the Purpose of Constructing and Operating an Electric Distribution System
Attachments: 1. Ordinance
Title
Conduct a Public Hearing to Consider/Discuss/Act on an Ordinance Granting Oncor Electric Delivery Company, LLC, a Non-Exclusive Franchise to Use Public Rights-of-Way for the Purpose of Constructing and Operating an Electric Distribution System
 
Summary
 
MEETING DATE:      March 18, 2014
 
DEPARTMENT:       Finance
 
CONTACT:              Rodney Rhoades, Chief Financial Officer
 
 
RECOMMENDED CITY COUNCIL ACTION:
·      Conduct second public hearing and adopt Ordinance.
 
ITEM SUMMARY:       
·      This ordinance grants Oncor Electric Delivery Company, LLC, the non-exclusive right to use and occupy rights-of-way within the City of McKinney for the construction and operation of an electric transmission and distribution system.
·      This agreement is for a term of ten (10) years and expires on December 31, 2023.  The agreement allows for an automatic five (5) year renewal unless a sixty (60) day written notice of cancelation is given by either party.
BACKGROUND INFORMATION:
·      The City and Oncor mutually agree to accept the terms as listed in the ordinance, which include Oncor providing City/Citizen notification for distribution tree-trimming activities and reasonable information and maps on current and future utility locations.  
 
SPECIAL CONSIDERATIONS:       
·      This ordinance requires two public hearings.  The first public hearing and was held on February 4, 2014.  This is the second and final public hearing.
 
FINANCIAL SUMMARY:         
·      The ordinance continues the franchise fee at four percent (4%) of gross revenues
 
BOARD OR COMMISSION RECOMMENDATION:       None