Title
Conduct a Public Hearing to Consider/Discuss/Act on an Ordinance Granting Grayson Collin Electric Cooperative a Non-Exclusive Franchise to Use Public Rights-of-Way for the Purpose of Constructing and Operating an Electric Distribution System within the Corporate Limits and ETJ of the City of McKinney
Summary
COUNCIL GOAL: Financially Sound Government
MEETING DATE: December 1, 2015
DEPARTMENT: Financial Services
CONTACT: Rodney Rhoades, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
• Conduct a public hearing to approve the ordinance.
ITEM SUMMARY:
• This ordinance grants Grayson Collin Electric Cooperative (GCEC) 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 February 28, 2026. 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 GCEC mutually agree to accept the terms as listed in the ordinance.
SPECIAL CONSIDERATIONS:
• This ordinance requires two public hearings. The first public hearing is being held tonight, December 1, 2015. The second and final public hearing will be held on January 5, 2016 in accordance with Section 118 of the City of McKinney Charter.
FINANCIAL SUMMARY:
• The ordinance sets the franchise fee at five percent (5%) of gross revenues.
BOARD OR COMMISSION RECOMMENDATION:
• N/A