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2008_02.14 CC PacketCITY OF KENNEDALE, TEXAS OFFICE OF THE CITY SECRETARY COUNCIL MEETING ROLL CALL DATE: FEBRUARY 14, 2007 START TIME: � `1 PM END TIME: PM ROLL CALL: CITY STAFF PRESENT: I I PRESENT I ABSENT I CITY MANAGER PRESENT ABSENT MAYOR, BRYAN LANKHORST MAYOR PRO TEM A JOHN CLARK COUNCILMEMBER v im' CODE ENFORCEMENT BRIAN JOHNSON COUNCILMEMBER JERRY MILLER V' COUNCILMEMBER A RONNIE NOWELL COUNCILMEMBER DAVID GREEN CITY STAFF PRESENT: I I PRESENT I ABSENT I CITY MANAGER BOB HART CITY SECRETARY KATHY TURNER CITY ATTORNEY WAYNE K. OLSON v im' CODE ENFORCEMENT LARRY HOOVER POLICE CHIEF TOMMY WILLIAMS FIRE CHIEF P DIR. OF FINANCE CLIFFORD BLACKWELL WATER/WASTEWATER LARRY LEDBETTER STREET SUPERVISOR GLEN GREENWOOD`' COURT ADMIN. BOBBIE SPENCE UB ADMIN. LUCY POLK A LE 405 Municipal Drive, Kennedale, Texas 76060 AGENDA KENNEDALE CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2005 405 MUNICIPAL DR. — KENNEDALE MUNICIPAL BLDG. WORK SESSION — COUNCIL CHAMBERS — 5:30 PM REGULAR SESSION — COUNCIL CHAMBERS — 7:00 PM I. WORK SESSION — 5:30 PM Discussion will take place on the following items: a. Ron Colson will discuss preliminary findings of racetrack operations, practices and the city's noise ordinance. b. Any item on the agenda, if needed. II. REGULAR SESSION — 7:00 PM III. INVOCATION AND PLEDGE OF ALLEGIANCE IV. PRESENTATION a. Mayor Lankhorst will present an award to Director of Finance, Clifford Blackwell, III for the city's Comprehensive Annual Financial Reporting. V. VISITOR/CITIZENS FORUM At this time, any person with business before the Council not scheduled on the agenda may speak to the Council. No formal action can be taken on these items at this meeting. VI. REPORTS /ANNOUNCEMENTS a. City Manager b. City Council C. Mayor AGENDA CONTINUED KENNEDALE CITY COUNCIL FEBRUARY 14, 2008 VII. CONSENT AGENDA PAGE 2 The following items are considered to be routine and self - explanatory by the Council and will be enacted with one motion. There will be no separate discussion of these items unless a Councilmember requests that an item be removed from the Consent Agenda and be considered, in sequence, as a routine agenda item. a. Approval of minutes: Regular Meeting dated January 10, 2008 Special meeting dated January 26, 2008 b. Approval of Investment Report. C. Approval of Racial Profiling Report. d. Approval of Resolution No. 245, declaring certain property surplus and /or salvage and authorizing the sale of said property. e. Approval of Ordinance No. 387, authorizing City Manager to execute agreement with Atmos and adopt rate adjustments. f. Review and consider Ordinance No. 388, modifying it lighting service tariff with Oncor Electric Delivery Company, LLC. g. Review and consider Resolution No. 246, calling for a General Election to be held May 10, 2008, approving a Joint Election with Tarrant County, and establishing procedures for that election. h. Review and consider approval of Resolution No. 247, establishing criteria for a Municipal Setting Destination. i. Approval to authorize City Manager to execute Interlocal Agreement with the City of Arlington for sewer cost sharing — Arlington and Eden Road. j. Approval to authorize City Manager to execute hnterlocal Agreement with the City of Fort Worth for wastewater service in Oak Crest Addition. VIII. REGULAR ITEMS k. Review and consider acceptance of TownCenter Plaza bid proposals. Review and consider Ordinance No. 389, amending Chapter 8, Article II of the Kennedale City Code (199), as amended, by providing the authority for the Fire Marshals of the City of Kennedale to enforce the laws of the State of Texas and City Ordinances. M. Review and consider appointment to the Kennedale Economic Development Corporation Board of Directors. I U6111 1 = 17th M a. The City Council will meet inclosed session pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda and legal issues regarding amortization of nonconforming uses; weight permits on Dick Price Road; regulation of sexually oriented businesses; and litigation, settlement offers, and /or claims regarding the following matters: 1. H &A Land Corporation, d /b /a Showtime Cabaret v. City of Kennedale; Cause No. 402 -CV- 0458 -Y (Dreamer's) 2. Drainage problems in Oak Hill 3. Potential litigation with Wal -Mart regarding Southwest Crossing Addition, Portion of Lot 2, Block 1, Kennedale, TX 4. Advice from attorney on special use permits and amortization. b. The City Council will meet in closed session pursuant to Section 551.072 of the Texas Government Code to deliberate the purchase, exchange, lease, or value of real property — Jacob Pricket Survey, Abstract 1225, Tracts 12A, 12B and 12C (309 North Rd., Kennedale, TX). X. RECONVENE INTO OPEN SESSION, AND TAKE ACTION NECESSARY PURSUANT TO EXECUTIVE SESSION, IF NEEDED. XI. ADJOURNMENT Staff Report To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: 1, Subject: Work Session Originated by: Kathy Turner, City Secretary Summary: Discussion will take place on the following items. a. Ron Colson will address preliminary findings of the racetrack operations and practices, and the city's noise ordinance. b. Any item on the agenda, if needed. Recommendation: Disposition by Council: CITY OF KENNEDALE, TEXAS OFFICE OF THE CITY SECRETARY COUNCIL MEETING MINUTE SLIP DATE: FEBRUARY 14, 2008 CONSENT AGENDA ITEM NUMBERS: VIII a through VIII j REQUEST TO REMOVE: ITEM PERSON: ITEM PERSON: ITEM PERSON: MOTION: COUNCIL MEMBERS CLARK JOHNSON MILLER GREEN NOWELL MOTION I SECOND I AYE I NAY I ABSTAIN /. ORDINANCE/RESOLUTION NO CARRIED FAILED 17�711'.rC�liLll To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: IV. i Subject: Presentation Originated by: Kathy Turner, City Secretary Summary: Mayor Lankhorst will present an award to Clifford Blackwell, III, Director of Finance for the city's comprehensive financial reporting. Recommendation: Disposition by Council: To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: V. Subject: Visitor /Citizens Forum Originated by: Kathy Turner, City Secretary Summary: At this time, any person with business before the Council not scheduled on the agenda may speak to the Council. No formal action can be taken on these items at this meeting. Recommendation: Disposition by Council: 405 Municipal Drive, Kennedale, Texas 76060 If you wish to address the City Council, a Speaker's Card must be filled out and given to the City Secretary prior to the start of the meeting. Please follow the suggestions listed below: Please read and provide the required information in order that the Mayor may recognize you promptly at the appropriate time on the agenda. Please note that speakers may not comment on agenda items. 2. Please state your full name and address when you begin your remarks in order that the official minutes will record your appearance before the City Council. Please make sure that your comments are directed towards the Presiding Officer rather than Individual Councilmembers or Staff. All speakers must limit their comments to the subject matter as listed on your request and must refrain from using any profane language. THANK YOU FOR YOUR COOPERATION ....................... ............................... 0 0 N 0 M M ............ 1 APPEARANCE BEFORE CITY COUNCIL DATE: Name of Speaker: UL r —( - Pi `A4 Phone: Subject: r c - t, Has this subject been discussed with any member or administrative staff? [El Yes ❑ No If yes, please list name and date: Sru cx a Speaking in Favor: ❑ For ❑ Against Presentations are limited to three (3) minutes for individuals and six (6) minutes for group presentations if representing 10 or more individuals present in Council Chamber. Speakers must address their comments to the Presiding Officer rather than individual Councilmembers or Staff. All speakers must limit his /her comments to the specific subject matter as noted above and must refrain from personal attacks towards any individual. 405 Municipal Drive, Kennedale, Texas 76060 GALVA If you wish to address the City Council, a Speaker's Card must be filled out and given to the City Secretary prior to the start of the meeting. Please follow the suggestions listed below: 1. Please read and provide the required information in order that the Mayor may recognize you promptly at the appropriate time on the agenda. Please note that speakers may not comment on agenda items. 2. Please state your full name and address when you begin your remarks in order that the official minutes will record your appearance before the City Council. 3. Please make sure that your comments are directed towards the Presiding Officer rather than Individual Councilmembers or Staff. All speakers must limit their comments to the subject matter as listed on your request and must refrain from using any profane language. ■ ■ ■ . . ■ ■ ®.. THANK YOU FOR YOUR COOPERATION ®.. ®...... ® , APPEARANCE BEFORE CITY COUNCIL DATE: Name of Speaker q_ Phone\ ( I � �J Subj Has this subject been discussed with any member or ad m* native staff? NYes ❑ No If yes, please list name and date: °— ` -- — Speaking in Favor: ❑ For ❑ Against Presentations are limited to three (3) minutes for individuals and six (6) minutes for group presentations if representing 10 or more individuals present in Council Chamber. Speakers must address their comments to the Presiding Officer rather than individual Councilmembers or Staff. All speakers must limit his /her comments to the specific subject matter as noted above and must refrain from personal attacks towards any individual. -vo 'iiiiiYl/� To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: VI Subject: Reports /Announcements Originated by: Kathy Turner, City Secretary Summary Reports /Announcements a. City Manager b. City Council c. Mayor Recommendation: Disposition by Council: To the Honorable Mayor and City Council Date: February 5, 2008 Subject: Approval of Minutes: Regular Meeting dated January 10, 2008, and Special Meeting dated January 26, 2008. Originated by: Kathy Turner, City Secretary Summary: Meeting minutes reflecting action taken at the regular meeting held January 10, 2008 and Special Meeting held January 26, 2008. Recommendation: RECOMMEND APPROVAL Disposition by Council: MINUTES KENNEDALE CITY G UNC L REGULAR MEETIN - JAI��7ARY 0, 2008 405 MUNICIPAL : DR. ; KEIV*1 DAI* MUNICIPAL BLDG. Mayor, Bryan Lankhorst called : :'eed to order at 5:30 p.m. 3299 Members present: Mayor, Bryan Lankhorst; Mayor Pro -Tem, John Clark, Councilmember's Brian Johnson, Jerry Miller, Ronnie Nowell, and David Green. Members absent: None Staff present: Bob Hart, City Manager; Larry Hoover, Code Compliant Officer; Clifford Blackwell, III, Director of Finance; James Cowey, Building Official; and Wayne K. Olson, Legal Counsel. I. WORK SESSION Discussion will take place on the following items: a. Storm water drainage plan. Council watched an eight- minute video presentation regarding storm water run -off. Sal Stegall, P.E. with Teague Nall and Perkins addressed Council regarding implementing a five -year storm water management program designed for the City of Kennedale. b. Financial reports. Clifford Blackwell, III, Director of Finance recapped the General Fund Income Statement as of September 30, 2007 and November 30, 2007, as well as the FY 2006 -07 Financial Report. C. Any item on the agenda, if needed. Bob Hart, City Manager addressed regular item g and h, Rolling Acres Project and Town Center Plaza proposals. Hart provided a recap of the proposals to Council for review and said that items highlighted in yellow would require Council authorization. No further discussion, Mayor Lankhort closed the work session, to enter into executive session at 6:27 p.m. II. EXECUTIVE SESSION a. The City Council will meet in closed session pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda. 3300 Mayor, Bryan Lankhorst reconvened into regular session at 7:04 p.m. IV. INVOCATION AND PLEDGE OF ALLEGIANCE Bob Hart, City Manager provided the Invocation. Pledge of Allegiance was then recited. V. VISITOR/CITIZENS FORUM Pat Doescher, Chairman with the Kennedale Chamber of Commerce invited Council to attend an upcoming meeting on Monday, January 14, 2008 at 6:00 p.m. to start planning for the upcoming annual car show and health fair. VI. REPORTS /ANNOUNCEMENTS a. City Manager - No reports /announcements. b. City Council — No reports /announcements. C. Mayor — No reports /announcements. VII. PUBLIC HEARING To receive citizens' comments regarding Case #PZ 07 -06, a zone change request for approximately 0.7425 acres with the legal description being a portion of Lot 2, Block 1, Southwest Crossing Addition, Kennedale, Texas, Tarrant County. The property is located at the corner of Little School Road and US 287. This subdivision is the site for the Wal -Mart that will be located in Kennedale and Arlington, but a portion of Lot 2 is one of the pad sites. The zoning at the present time is "R -1" (Single Family Residential) and is proposed to rezone to "C -1" (Restricted Commercial) as requested by Chris Biggers on behalf of Dunaway Associates, LP. The following persons registered in favor of Case #PZ 07 -06 and addressed Council: Tom Galbreath, Dunaway Associates, 1501 Merrimac Circle Ste. 100, Fort Worth, TX 76101 provided a brief history of the Arlington/Kennedale Wal -Mart agreement. Galbreath explained that no confirmation of a sit down restaurant was ever promised, as Wal -Mart turns over its out lots to the property management department who markets and sells the lots. Additionally, Galbreath stated that he has no control who Wal -Mart markets or sells to and made that clear to the previous City Manager and Mayor who attended meetings with the City of Arlington. Myron Dornic, 901 Main St., #6000, Dallas, TX 75202 representing Wal -Mart spoke to Council and stated that the previous City Manager requested a sit down restaurant on one pad site. Dornic stated that he had hoped that Wal -Mart would consider the request as it would be the easiest way to get the project passed due to the contention. However, Wal -Mart officials advised that they could not make that commitment. 3301 Mathew Cragan, representing Donald Engineering of 1601 E. Lamar Blvd., Arlington, TX 76011, and Chase Bank stated that Lot 2 is the only lot that Chase Bank was interested in. Persons registering in opposition to Case #PZ 07 -06: Pat Vader, 801 Pennsylvania Ave., Kennedale, TX 76060 addressed Council with a statement of "I told you so." Ernest Harvey, 604 Oak Leaf Dr., Kennedale, TX 76060. No further comments, Mayor Lankhorst closed the public hearing. VIII. CONSENT AGENDA Mayor Pro -Tem, John Clark requested item e be removed from consent agenda. Wayne Olson, Legal Counsel provided clarification on consent agenda, item d. Olson advised Council that approving document is consent to change the pooling agreement on the XTO lease agreement, it is not technically an amendment to the lease, but a consent that is required. Approval of minutes: Regular meeting dated December 13, 2007 Special meeting dated December 28, 2007 Approval to authorize City Manager to execute annual contract with the City of Fort Worth for Animal Shelter/Rabies Control. C. Approval to authorize City Manager to execute a contract with Sam Houston State University for CRIMES Records Management System. d. Approval to authorize City Manager to execute an amendment to XTO Lease Agreement. Mayor Pro -Tem, John Clark moved to approve consent agenda items a through d, second by councilmember, Brian Johnson. Motion carried (5 -0). IX. REGULAR ITEMS Approval of Resolution No. 244, amending KEDC Bylaws. Councilmember, Brian Johnson moved to approve .Resolution No. 244, amending KEDC Bylaws, second by Councilmember, Jerry Miller. Motion carried (5 -0). f. Review and consider Ordinance No. 384, Case #PZ 07 -06, a zone change request for approximately 0.7425 acres with the legal description being a portion of Lot 2, Block 1, Southwest Crossing Addition, Kennedale, Texas, Tarrant County, Texas. The property is located at the corner of Little School Road and US 287. This subdivision is the site for the Wal -Mart that will be located in Kennedale and Arlington, but a portion of Lot 2 is one of the pad sites. The zoning at the present time is "R -1" (Single Family Residential) and is proposed to rezone to "C -1" (Restricted Commercial) as requested by Chris Biggers on behalf of Dunaway Associates, LP. 3302 Mayor Pro -Tem, John Clark moved to deny Ordinance No. 384, Case #PZ 07 -06 as it is not the highest and best use, second by Councilmember, Jerry Miller. Mayor Pro -Tem, John Clark, Councilmember's Jerry Miller, David Green, and Ronnie Nowell voted aye to deny ordinance, while Councilmember, Brian Johnson voted nay. Motion carried to deny Ordinance No. 384 (4 -1). g. Review and consider acceptance of Rolling Acres Park proposals for clearing, tree trimming and grubbing; excavation and waste soil /material removing and rough grading; excavation & grading and labor and form materials for concrete walkways; concrete; reinforcing steel; irrigation; and landscaping. Mayor Pro -Tem, John Clark moved to accept proposals for Rolling Acres Park as follows: Tree Clearing — Dirt Tech ($5,625.00); Excavation — Dirt-Tech ($22,750.00); Concrete Labor — Farias Concrete ($17,866.20); Concrete — Redi- Mix ($77.50 yd. - $5.00 yd, adding fiber). Councilmember, Ronnie Nowell second the motion with all members voting in favor. Motion carried (5 -0). h. Review and consider acceptance of TownCenter Plaza proposals for excavation, grading, labor and form materials for concrete walkways; concrete; reinforcing steel; irrigation; and landscaping. Mayor Pro -Tem, John Clark moved to accept proposals for TowneCenter Plaza Project as follows: Concrete Labor — Farias. Concrete ($28,395.00); and Concrete — Redi -Mix ($83.50 yd. - $6.50 yd. Adding fiber). Councilmember, Ronnie Nowell second the motion with all members voting in favor. Motion carried (5 -0). Review and consider approval of Ordinance No. 386, amending Kennedale City Code, Section 22 -86 regarding truck routes and weight limits on Dick Price Road in the City of Kennedale to allow use of Dick Price Road by written agreement with the City. Councilmember, Brian Johnson moved to approve Ordinance No. 386, amending Kennedale City Code, Section 22 -86 .regarding truck routes and weight limits on Dick Price Road in the City of Kennedale to allow use of Dick Price Road by written agreement with the City, second by Councilmember, Jerry Miller. Motion carried (5 -0). Review and consider approval of storm water plan. Councilmember, Brian Johnson moved to approve storm water plan, second by Councilmember, David Green. Motion carried (5 -0). k. Review and consider criteria on naming streets, facilities, and other areas within the City. Councilmember, David Green moved to approve criteria on naming streets, facilities, and other areas within the City, second by Councilmember, Jerry Miller. Motion carried (5 -0). 67911331 Review and consider re- naming Rolling Acres Park. Bob Hart, City Manager asked Council to defer action on this item until the February 14, 2008 regular meeting as the Park Board did not meet and provide a recommendation. m. Consider scheduling special meeting for January 26, 2008. Councilmember, Jerry Miller moved to schedule a special meeting for January 26, 2008 to honor Home Rule Charter Committee, second by Councilmember, Brian Johnson. Motion carried (5 -0). No further discussion, Mayor, Bryan Lankhorst recessed the meeting at 7:53 p.m. to enter into executive session. X. EXECUTIVE SESSION The City Council will meet in closed session pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda and legal issues regarding amortization of nonconforming uses; weight permits on Dick Price Road; regulation of sexually oriented businesses; and litigation, settlement offers, and /or claims regarding the following matters: 1. H &A Land Corporation, d/b /a Showtime Cabaret v. City of Kennedale; Cause No. 402 -CV- 0458 -Y (Dreamer's). 2. Triple X Sign Litigation. 3. Zoning Case at 6901 Mansfield Cardinal Road b. The City Council will meet in closed session pursuant to Section 551.074 of the Texas Government Code to deliberate the appointment, employment, evaluation, reassignment, duties, discipline, or dismissal of a public officer or employee. 1. KEDC Personnel. C. The City Council will meet in closed session pursuant to Section 551.072 of the Texas Government Code to deliberate the purchase, exchange, lease, or value of real property — Oak Crest Addition, Lots 4, 5 and 20, Block 7. PURSUANT XI. RE' CONVE NE INTO OPEN SESSION, AND TAKE ACTION NECESSARY TO EXECUTIVE SESSION, IF NEEDED. a. Review and consider appointment to the Kennedale Economic Development Corporation. Mayor, Bryan Lankhorst reconvened into open session at 8:48 p.m., with no action taken on executive session items. 3304 Councilmember, David Green moved to adjourn the meeting at 8:49 p.m., second by Mayor Pro -Tem, John Clark. Motion carried (5 -0). APPROVED: Mayor, Bryan Lankhorst ATTEST: Kathy Turner, City Secretary 01061 MINUTES KENNEDALE CITY QOUNO' L SPECIAL MEETINC:4-.- :IANt7ARYi's 6.2008 316 W 3 rd ST. — I IEDA B L I 'ARk, COMMUNITY CENTER 10:O 1VI Mayor, Bryan Lankhorst called i li✓ meeting to order at 10:14 a.m. Members present: Mayor, Bryan Lankhorst; Mayor Pro -Tem, John Clark; Councilmember Brian Johnson. Members absent: Councilmember's David Green and Ronnie Nowell. Staff present: Bob Hart, City Manager; Kathy Turner, City Secretary; Clifford Blackwell, III, Director of Finance; Tommy Williams, Chief of Police; Jay Hinkle, Captain Kennedale Fire Department; Mike Soab, Kennedale Economic Development Director; and Larry Ledbetter, Water Superintendent. I. REGULAR ITEMS a. Review and consider Proclamation recognizing Home Rule Charter Commission Committee Members. Mayor, Bryan Lankhorst read a proclamation recognizing the I O anniversary of the Home Rule Charter and acknowledged the following individuals for his/her tireless efforts and outstanding service in creating the Home Rule Charter for the citizens of Kennedale: John Clark, Chairman Vicki Thompson Charles Gray, Vice - Chairman George Barrett Bill Abbott Michael H. Bevill John W. Berry Michael Box Roy Boenig Ray Cowan Wayne S. Cordell Sonora Fenoglio Eric Elam Jerry N. Miller Steven Hayes Robert P. Mundy Elmer L. Moseley Tim Smith Steve Radakovich Nita Vaughn Councilmember, Brian Johnson moved to accept Proclamation, motion second by Mayor Pro -Tem, John Clark. Motion carried (3 -0). Councilmember, Jerry Miller moved to adjourn the meeting at 10:25 a.m., second by Councilmember, Brian Johnson. Motion carried (3 -0). I_r111 - 11 M Kathy Turner, City Secretary APPROVED: Mayor, Bryan Lankhorst c,ry Of DATE: ti • M SUMMARY: Per the Public Funds Investment Act, at least quarterly, a municipality must report to the governing body the status of funds invested by the City of Kennedale, in accordance with the City's Investment Policy adopted on September 13 2007. Therefore, attached is the report that outlines the percentage of the City funds invested in certain accounts, along with the market value of all invested funds. Also reported is a comparison of interest rates among the City's participating investment pools to the Treasury-bills that matured during the same quarter. Recommendation: Staff recommends City Council accepts the Quarterly Investment report as reported by staff. al CADocuments and Settings\ cbrown \mydocuments \samplestaffreport Staff Report To the Honorable Mayor and City Council .F a As of Decernber 31st, 2007 The Quarterly Investment Report provides the City's investment portfolio position at Dec;omber 31, 2007. Funds of the City are invested in accordance with the City of Kennedale Investment Policy as reviewed on September 13 2007 and approved with Resolution No.. The majority (57 %) of the City of Kennedale's Investments are owned by the Pooled Cash Fund. While the following funds own percentages of the remaining investments: Debt Service Fund - 0.1'/4), 1998 CO Bond Fund - 28.9%. Water Sewer Capital Improvement Fund - 13.7%. As of December 31, 2007 87.2% of the City's investments are in investment pools, while 2.2% are in reverse repurchase agreements, in the form of a sweep account. The remaining 8.7% are invested in a money market savings account. Both the sweep account and the money market savings account are collateralized by AAA rated securities. TexPool, Texas Term, and TexStar have all declared the following: 1) Their investment portfolios meet the Public Funds Investment Act, 2) They are rated as AAA money market funds by a nationally recognized rating service, and 3) The Net Asset Value of the pools are maintained within the required range at all times. Beginning Book Value (all) 10/01/2007 $ 10 4TH Qtr Deposits $ 6,688,077.78 4TI-I Qtr Withdrawals ($ 4,752,880.44) Interest Earned $ 145,545.24 Ending Book Value (all) 12/31/2007 $ 12,340,730°67. Market Value of As of December $12,340,730.67 Investments 31st Weighted Average Maturity TEXPOOL Between 28 & 79 days LOGIC Between 23 & 44 days TEX STAR Between 17 & 81 days Portfolio of Term Investments for 4t1i Quarter The City does not currently own any fixed term maturities Portfolio of Agency Investments for 4th Quarter The City does not currently own any agency securities. The City's main objectives in managing the portfolio are as follows: (1) to diversify and to ensure safety of the principal, (2) to maintain sufficient liquidity to meet all operating requirements, (3) to make all investments with prudent judgment and care, and (4) to attain a rate of return commensurate with the City's investment risk constraints. The City does not purchase high -risk investments such as derivatives. The following table indicates investment rates for the three -month period ending Deceiiiber a 1, 2007. October -07 November -07 December -07 Average Rates TEXPOOL TXSTAR LOGIC T -BILLS 4.9390% 4.9007% 5.1701% 4.9743% 4.7410% 4.6975% 4.9404% 4.4578% 4.5768% 4.5430% 4.4959% 4.1138% 4.7523% 4.7137% 4.8688% 4.5153% 5.1000% 4.8000% 4.5000% 4.2000% 3.9000% —®— TEXPOOL -- TXSTAR LOGIC <- - T -BILLS The average 13 week T -Bill Rate that matures during this quarter was considerably less than the rates currently being offered by TexPool, TexStar, and TERM Daily. Most funds were invested in the investment pool in order to achieve the greatest liquidity while earning a competitive yield. This report is in compliance with the investment strategies as approved and the Public Funds Investment Act. Signature on File Clifford Blackwell, Director of Finance Signature on File Bob Bart, City Manager Page 2 of 2 Oct -07 Nov -07 Dec -07 000a oo O O O) oa00000c?q 00 00 00 0C O 7 r r N 0 0 0 0 O O O O O O 0 0 O O a 0 0 0 0 O M E V C) O N L rn O LU L' b a O U ® t- 0 N N i i r r i i i i r i i i i m j L C e •� = U O N W O r 0 ( O (0 ' ' r - CD M W ( C M M Y ( V d ~ 00 co (O O (n U) N 00 O 00 (D O O > N O r (O Un (O O C 00 N N d' M N r O N � O � O ( O (0 1 1 (D O O ( V N 1 (C Cl) M M C > (O (0 ((j O (n CV h C N O C Ili (C C C M w 0 r c0 _ (N (N N r 6T (D 0) O O O 00 N 0 O U (e/ O (0 14: 1 i N Cl) i i i r -'r Co N y � f"i a0 ( m r Un M 00 in r N M N N M td'J C V O O O ( W O W O r W O O co L° W •O (p 1l- O O U O O O O N N r m Cl) ti 69. M O W V N v m C h N N r h Cl) O V N M ( 00 p L ai N tc to O Cl) N co N O( O ((O i r� O e m N N M LO o � O1 C O Cl) Y N c 0 r r o Y7 N d .- N CO N m m O P c � C C a d 2 (U e Q � O U • 6 a 7 U V m _ U ~ (nJww O m W U J W U U W U Z Z p p 0 w O w �x x p m m m H O w U w a! IL w t LLI a Z z :) ® z �h w °) h Q LL h O Q a 0 = U a 5O» a zmo rnm U° U ui N U O U U O U O U z U V m p O m W U Q w U Q U U w ` w w x h Q U U ® ' Q (� Q Q J J J J J J F-. H Q w V re LL' c z wzww 0000002 Q � Qt- a a a a an h H U z w J a z w� w w xx xX xx x x �(�(X 0 z 0 w w � 4)) Q � Q 3 � > W W W w W W W W w w 00 X Q w Q � Q ¢ O Q O U CO U U U U I- I- F h H I- LL LL J J LL Z U Z Q z p Z U Z h- N y O � o W F- Z .J O N 0. F° M L W 0. 0: co Z F- c LL ® W 8 f® W L to 0 0 J r 0 �d 2 f M f/1 i0 f p (L M W a a _Z a Z W w W a J w W h K a a c7 0 a VAM ' 1,11 -• W • • • • - - • Summary: Attached for council consideration is the Racial Profiling Report for the period January 1 through December 31, 2007. The data indicates that the Kennedale Police Department's citation and search activity was well within tolerances for the population groups. This report is to be submitted to council on or before March 1 of each year. C: \Documents and Settings\ cbrown \mydocuments \samplestaffreport K N �. ALE POLICE DEPARTMENT um i[�►%IIIIF 3 To: Mayor and Council Members From: Tommy Williams, Police Chief Re: Racial Profiling Report As required by SB 1074 I am presenting this report on the Kennedale Police Department's racial profiling statistics. For purposes of reporting, this document is divided into sections covering the required reporting topics. Statistical Data Attached is a table outlining the data from our citations issued during calendar year 2007. Once again I used both the total population and the Fair Roads Standard as baselines for our data. In analyzing our citations, only 511 of 2976 (17.2 %) were issued to residents in Kennedale's zip code. Because such a large majority of citations are issued to persons outside of the city, the baseline includes the combined populations of our neighboring cities of Arlington, Forest Hill, and Mansfield, as well as Kennedale. Motorists come from or through these cities in order to get to or through Kennedale. As you can see our stops and searches are well within tolerances for the percentile groups. Complaints We had no racial profiling complaints filed during the reporting period of 2007. Public Education The process for filing racial profiling complaints against employees is posted in three places. The first is on our police department website, the second in the police building lobby, and the third is in the city hall lobby. A copy of the entire racial profiling policy is available to the public on request. Employee Training All officers and supervisors went through briefing training on the racial profiling policy during the year 2007. In addition, supervisors were required to review random video tapes of stops each quarter to identify any problems that had not been reported. No problems were identified. 401 Municipal Dr. Kennedale, Texas 76060 Office 817 -4.78 -5416 Fax 517 - 478- 6=133 ® ® Cl) ® ci co � r r psi ® ni 1 CL W CL cm w o O _ a 6d7 r t0 N O O O O O Q� 0 d ® O O O am (Q ® w •M ® i r � N r- N coo r O ® N O � e 0 0 w V O co 0O O N O O O O O 00 O O O ® o ® d N O O p LO w LZ 5 F F h h h H sZ v o 0cr) v o o (� o o o o 0 u 0 �.2 00 o CL o N Q .2(9 o� 4 - o � . O m 4 - o U U U U c a U c U c U U U U z U U IL d IL CL d CL city OF ,ar K/�✓/V�G�.�1LF To the Honorable Mayor and City Council DA TE: 02/141200 A PPROVAL OF RESOLUTIO P ORIGINATED BY: Clifford Blackwell, Director of Finance SUMMARY: The City of Kennedale has various items of personal property that are of no use to the City. These items are placed out of commission due to age and /or wear and tear. Therefore, City staff would like to submit a list of items for the City Council to approve as being "surplus" property available to be disposed of by either auction or trash or on -line sales. In order for the list to be approved, the City Council will need to adopt a resolution that declares the following list of City property as "surplus and /or salvage ", and providing authorization to properly dispose of that property. The listing of personal property will be disposed in compliance with Surplus Property Disposition Procedures, which are also attached. Recommendation: Staff recommends City Council approve Resolution No. declaring certain property surplus and /or salvage and authorizing the sale of attached property. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS DECLARING CERTAIN PROPERTY SURPLUS AND /OR SALVAGE; PROVIDING FOR THE AUTHORIZATION OF THE SALE OF SAID PROPERTY; AND PROVIDING AN EFFECTIVE DATE WHEREAS, it has been determined that the City of Kennedale possession of items of surplus and /or salvage; and WHEREAS, the procedure for notification of the owners of surplus and /or salvage property, as outlined in the State Statute, has been met. NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS: Section 1. That all matters stated in the above preamble are true and correct and are incorporated herein as if copied in their entirety. Section 2. That all items described in the attached Exhibit "A" are hereby declared surplus and /or salvage. Section 3. That the City Manager, or his designee, is authorized to conduct the sale of said property. Section 4. That this resolution shall take effect from and after the date of its passage. Section 5. That all proceeds from the sale of surplus and /or salvage properties will be placed in the Capital Replacement Fund. PASSED AND APPROVED by the City Council of the City of Kennedale, Texas on the 14 day of February, 2008. APPROVED: Mayor, Bryan Lankhorst ATTEST: Kathy Turner, City Secretary r' 1 City #1254 IBM Murphy bed 1 poor X X 2 1 Panasonic Microwave Broken 1 poor X X 3 BS200130039 Gateway Keyboard 1 poor X X 4 G21 C3 PLECTRON Old county radios 1 POOR X 5 356TVS1181 Motorola Maxtrac Old county radios 1 good X 6 356TWL0590 Motorola Maxtrac Old county radios 1 good X 7 428FKSO468 Motorola Maxi Old county radios 1 X 8 5H350769 VERTEX FTL -1011 Old county radios 1 poor X 9 1101 umc1222ac Minitor II Old county pager 1 poor X 10 Electric exhaust fan 1 fair X 11 Federal Large siren speaker 1 fair X 12 Akron Pieces to Akron ground set 3 poor X 13 small oos extinguishers ABC 5 poor X 14 3 " hose clamp 1 fair X 15 5 " hose clamp 1 fair X 16 Xantrex power inverter 1 poor X 17 flowmaster 2.5 gallon pump sprayer 1 poor X 18 8 inch chrme wheel caps 2 fair X 19 coleman airbeds twin 2 poor X 20 ferno KED 3 poor X 21 High rise bags 2 good X 22 Airway Bags 2 poor X 23 Pedi Bags 2 fair X 24 Misc bags asst sizes 12 poor X 25 Electric service loop cutter 3 fair X 26 MAST Pants 1 poor X 27 Pike pole 12' 1 good X 28 Pike pole 8' 2 good X 29 Pike pole 6' 2 good X 30 6" Hard Suction 2 fair X 31 Acct. Board with bag 1 fair X 32 33 several scrap aluminum /stainless pieces X 34 out and down shelf brackets 4 fair X 35 16 x 16 air bag 1 poor X 36 small PA speaker 1 poor X 37 scott airpack plastic cases 2 poor X 38 training manikin 1 poor X 39 sharps containers obsolete 8 poor X LIBRARY STORAGE CLOSET 1 City #1254 IBM Select III typewriter 1 good X 2 1 1 Kodak portable typewriter table 1 good X 3 BS200130039 Gateway laptop computer 1 good X 4 TW94911338GW HP ScanJet 4200C (flatbed scanner) 1 good X 5 #90214394 GE telephone 1 good X 6 Linksys 10!100 8 -port switch 1 good X CO CENTER STORAGE ROOM 1 I I lig oak brochure display has bottom drawer 2 good X 2 1 1 Kodak I Extagraphic slide projector - Model AF -2 1 good X SURPLUS PROPERTY LISTING FOR 2007 EXHIBIT T 3 Bell & Howell reel to reel movie projector 1 good X CITY SECRETARY OFFICE POLICE DEPARTMENT 1 ISX4000 BROTHER rocking executive chairs blue in color 10 fair x 1 87011108 NEC Laptop 1 Good X X 2 42062174C Toshiba Laptop 1 Good X X 3 49156129 Phillips VHS Player 1 Good X POLICE DEPARTMENT 1 ISX4000 BROTHER rocking executive chairs blue in color 10 fair x 2 4shb101916 HP network laser printer 1 poor x X 3 2fafp7lwxxxl3036 Ford 1999 Ford Crown Victoria 199,052 miles 1 poor x X 4 1falps2u6sa24952' Ford !995 Ford Taurus 127,300 miles 1 good x 5 1 gneg25k9rfl 5138 Chevy Van 97,647 miles 1 fair x. X 6 364vfg3w i530 Nextel phone 1 good x 7 364vfIj03 i530 Nextel phone 1 good x 8 264vfj2d5d i530 Nextel phone 1 good x 9 364vfl0094 1530 Nextel phone 1 good x 10 364vfl8h5x i530 Nextel phone 1 good x 11 1364vfn4n0v 1530 Nextel phone 1 good x 12 364vfg4ggs i530 Nextel phone 1 good x 13 364vflObkc i530 Nextel phone 1 good x 14 364vflojdt i530 Nextel phone 1 good x 15 364vfg4nc 1530 Nextel phone 1 good x '16 364vgy5g8z 1560 Nextel phone 1 good x 17 364khloplx i560 Nextel phone 1 good x 18 364khndjyb i560 Nextel phone 1 good x 19 364kgy34j2 i560 Nextel phone 1 good I x 20 364khn2px4 i560 Nextel phone 1 good x 21 364kh11052 i560 Nextel phone 1 good x 22 364khesnzg i560 Nextel phone 1 good x 23 364khsdfnm 1560 Nextel phone 1 good x 24 364khg26jl i560 Nextel phone 1 good x 25 364khe53c2 i560 Nextel phone 1 good x 26 364vhal8dx i560 Nextel phone 1 good x 27 364yeu77p5 265 Nextel phone 2 good x 28 364vhal8dx 1880 Nextel phone 1 good x 29 Nextel Home charger 9 good x 30 Nextel Car charger 4 good x 31 364vfs8vn2 Nextel Nextel phone 1 good x 32 364vf18h9m Nextel Nextel phone 1 good x 33 364tgg3jw2 Nextel Nextel phone 1 good x 34 364kgy4fz7 Nextel Nextel phone 1 good x 35 364vFl8gkh Nextel Nextel phone 1 good x 36 364vga9zlf 1530 Nextel phone 1 good x 37 364vgy95r8 i580 I Nextel phone 1 good x 364vfg5brg i530 I Nextel phone 1 good x LCD Charger I Charger for Nextel 5 good x ELECTRICAL ROOM 1 ISX4000 BROTHER TYPEWRITER 1 FAIR X 2 N/A DOCUBIND HOLE PUNCHER 1 POOR X LICE ATTI X1800 ATIVA SHREDDER 1 POOR X LICE ATTI 6400 IBM PRINTER 1 GOOD X 5 VX2562 SHARP CALCULATOR 1 POOR X 6 N/A MICROSOFT IKEYBOARD I 1 I GOOD I X EXHIBIT A SURPLUS PROPERTY FOR 11. 7 N/A N/A TYPEWRITER STAND 1 FAIR X X 8 N/A N/A CHAIRS -RED 3 GOOD X X 9 N/A N/A DESK -Lisa 1 POOR X X 10 1560 MOTOROLA PHONE 1 FAIR X 11 1275 MOTOROLA PHONE 1 FAIR X 12 N/A N/A RECEIPT BOX 1 POOR X 13 N/A N/A CASH BOX 1 POOR X 8 N/A carboard box COGNOS tapes and old disks NA POOR X RFRVFR ROOM 1 N/A GLOBAL IND. Partial Desk 1 POOR X X 2 N/A APC Battery Backup - Surge Protector 1 POOR X X 3 N/A carboard box 2 MC -V meter readers,cables, old scanners NA POOR X X 4 N/A carboard box Port cables, new plugs, cat 5E cables NA FAIR X 5 N/A carboard box network cables, usb cable, port cables NA FAIR X 6 N/A COLORADO Tape Backup device /cable, software 1 FAIR X 7 N/A N/A Christmas reef 1 FAIR X 8 N/A carboard box COGNOS tapes and old disks NA POOR X 9 N/A ITHACA Series 50 receipt printer 1 POOR X 10 N/A ITHACA Series 150 receipt printer (Connie's recent) 1 POOR X 11 N/A VARIOUS installation kits: Cognos Purchase, MS Word 95 NA FAIR X 12 NIA VARIOUS installation kits: PC Anywhere, Windows NT NA FAIR X 13 N/A VARIOUS installation kits: Windows 98, Close Up 6.5 NA FAIR X 14 N/A VARIOUS installation kits: APC Powerchute Plus NA FAIR X 15 N/A VARIOUS installation kits: MS Money, Dell Dimension NA FAIR X 16 N/A VARIOUS installation kits: Etherlink LAN PC card NA FAIR X 17 N/A VARIOUS installation kits: Toshiba Cable Modem NA FAIR X SFRVICF TOWFR, 923 F KFNNFDALF PKWY 1 COK# 0008 Hon 4drawer file cabinet 1 fair X 2 no tag Hon 4 drawer file cabinet 1 fair X 3 COK 1A 1119 Steelcase 5 drawer file cabinet 1 fair X 4 COK # 0031 Anderson 2 Drawer file cabinet 1 fair X 5 1562821 Sony Mavica 10 X Digital still camera fd75 1 1 good X with charger, battery and carry case Consid a o Ordinance i S et t lement Agreement betwee t At '%*'O'ities Steering Committee and Atmos Energy Corp • � _ - r r rr .> S ummary: The City, along with 150 other cities served by Atmos Energy Mid -Tex Division ( "Atmos" or "Company "), is a member of the Atmos Cities Steering Committee ( "ACSC "). Since October, ACSC members have worked diligently with Atmos representatives to explore options to address Atmos' latest request to increase rates by $52 million and to resolve other outstanding Issues. The ordinance and tariffs (Attachment 8 to the Ordinance) reflect the agreement reached between ACSC and Atmos Mid -Tex to reduce Atmos' requested Increase by more than 80 percent and ensure that the Company is able to provide safe and reliable natural gas service. The Settlement Agreement (Attachment A to the Ordinance) also provides rate certainty for customers by resolving outstanding appeals, creates a new process for expedited rate review by the cities, eliminates piecemeal ratemaking, reimburses ACSC for rate case expenses associated with the GRID surcharge cases, and avoids the necessity of costly litigation. The ACSC Executive Committee recommends that ACSC members approve the Settlement Agreement. Puraose of the Ordinance: The purpose of the Ordinance is to endorse the Settlement Agreement between ACSC and Atmos regarding the Company's Statement of intent to increase rates and to approve tariffs that implement the terms of the Settlement Agreement. Approval of the Ordinance will result in a $10 million increase in Atmos' revenues. This is an 50 percent reduction of the $52 million increase requested by Atmos in its Statement of Intent. In addition, the tariffs approved by the Ordinance will replace the current piecemeal ratemaking GRIP surcharge system with an expedited rate review process that ensures that cities can review all components of future Company rate change requests. The Settlement Agreement also resolves all outstanding issues between ACSC and Atmos, including six appeals currently pending in Texas courts. Procedural H6story and ack round on At os Rat® increases Inca 20b4: On September 20, 2007, Atmos filed with the City the Company's Statement of intent to increase natural gas rates system -wide by approximately $52 million. The City suspended the October 25 Effective Date to work with other ACSC members to analyze the schedules and evidence offered by Atmos to support Its request to increase rates. In order to facilitate approval of this Ordinance and the attached tariffs, Atmos Mid -Tex has agreed to extend the deadline for final city action until March 1, 2005. Atmos' rate request represents the seventh increase in natural gas rates for customers in the Atmos Mid -Tex service area since 2004. Four rate increases are the result of Gas Reliability Infrastructure Program (GRIP) surcharges enacted pursuant to the Texas Utilities Code § 104.301. A primary complaint of cities around the state regarding GRIP filings is that it is piecemeal ratemaking and only looks at changes in the utility's invested capital, rather than a more comprehensive review of all components affecting rates charged. Cities thus far have been unsuccessful in defeating GRIP at the Legislature and in court. CADocuments and Settings\ cbrown \mydocuments\samplestaffreport • Reverses rate design decisions that unfairly impact residential ratepayers • Does away with piecemeal ratemaking problems inherent to the GRIP surcharge process • Eliminates exposure to potential court reversal of the multi - million dollar Poly -1 Pipe disallowance ( Atmos' issue on appeal in Docket No. 9400) • Avoids uncertainty and potential negative consequences of Railroad Commission rate review (in the two most recent rate cases affecting Atmos Mid -Tex customers, the Commission has reversed rate reductions recommended by its own hearings examiners in favor of rate increases) ® Implements an expedited rate review process that includes the cities and allows review of all aspects of Atmos' cost of service • Requires Atmos to reimburse ACSC for more than $500,000 paid to litigate GRIP surcharge cases • Protects ACSC members and their citizens from the remote possibility that a litigated outcome or settlement with other parties produces a result more favorable than the ordinance passed by ACSC members by including a Most Favored Nations provision in the Settlement Agreement. planation of "Be It Ordained" Rara�raphs: 1. This paragraph approves all findings in the ordinance. 2. This section adopts the Settlement Agreement in all respects and finds it to be just, reasonable and in the public interest. 3. This section adopts the attached Tariffs in all respects and finds the rates set pursuant to the attached Tariffs to be just, reasonable and in the public interest. Note that only new tariffs or existing tariffs that are being revised are attached to the Ordinance. Existing tariffs that are not being changed in any way are not attached to the Ordinance. CADocuments and Settings\ cbrowm \mydocuments\samplestaffreport 4. This section repeals any resolution or ordinance that is inconsistent with this Ordinance. Recommendation: I recommend the approval of the attached ordinance CADocuments and Settings\ cbrown lmydocumentslsamplestaffreport Lloyo 816 Congress Avenue, Suite 1900 ® Austin, Texas 78701 Telephone: (5 12) 322 -5800 Facsimile: (512) 472.0532 ® ®A ®® ATTORNEYS AT LAW wwrvv.Iglawfirm.com Ms. Doyle's Direct Line: (512) 322 -5820 Email: kdoyle @lglawBm.com MEMORANDUM TO: Atmos City Steering Committee (ACSC) Members FROM: Geoffrey Gay Kristen Doyle Georgia Crump DATE: January 10, 2008 RE: FINAL ACTION BY MARCH 1 ST — Atmos state Case Settlement The ACSC Settlement Committee (Jay Doegey -- Arlington, Danny Reed — Fort Worth, Mark Israelson — Plano, Don Wilson -- Eastland, Doreen McGookey — Sherman, Tom Akins — Denison, Cathy Cunningham — various ACSC cities), with the advice and input of consultants and lawyers retained by ACSC, has worked since October to explore options to resolve the Company's pending $52 million rate increase request without the necessity o£, a protracted and costly contested case proceeding. The attached Settlement Agreement is a result of their efforts. It reduces Atmos' rate increase by more than 80 percent, resolves several outstanding issues on appeal, requires reimbursement of more than $500,000 expended by ACSC to litigate GRIP cases, and eliminates the piecemeal ratemaking GRIP process in favor of an expedited rate review process controlled by cities. The ACSC Executive Committee recommends approval of the settlement agreement because it provides rate certainty, represents an outcome that is equal to or better than the outcome expected from a lengthy contested case proceeding, and maintains cities' role as a regulator of natural gas rates. Please schedule consideration of the ordinance for your next available council )meeting. Final council action to approve the ordinance must take place by March 1". To assist you, several documents are attached: ® An ordinance setting new rates. The approved Ordinance must include the Settlement Agreement ( "Attachment A" to the Ordinance) and Tariffs ( "Attachment B" to the Ordinance.) A model staff report ® A detailed explanation of key provisions of the settlement agreement ® A list of ACSC members Please contact Kristen (512/3225820, kdoyle @lglawfirm.com) immediately if your city is unable to meet the March 1 St deadline for final action. Once final action has been taken by your city, please forward a copy of the ordinance to Atmos Mid -Tex and to our paralegal, Barbara Kimmell (fax number: 512/4720532.) Lloyd Gosselink Blevins Rochelle & Townsend, P.C. (151 Total) Abilene Fate Palestine Addison Flower Mound Pantego Allen Forest Hill Paris Alvarado Fort Worth Parker Angus Frisco Pecan Hill Anna Frost Plano Argyle Gainesville Ponder Arlington Garland Pottsboro Bedford Garrett Prosper Bellmead Grand Prairie Putnam Benbrook Grapevine Quitman Beverly Hills Haltom City Red Oak Blue Ridge Harker Heights Reno (Parker County) Bowie Haskell Richardson Boyd Haslet Richland Hills Bridgeport Heath Roanoke Brownwood Hewitt Robinson Buffalo Highland Park Rockwall Burkburnett Highland Village Roscoe Burleson Honey Grove Rowlett Caddo Mills Hurst Sachse Carrollton Iowa Park Saginaw Cedar Hill Irving Seagoville Celeste Justin Sherman Celina Kaufinan Snyder Cisco Keene Southlake Cleburne Keller Springtown Clyde Kemp Stamford College Station Kennedale Stephenville Colleyville Kerrville Sulphur Springs Colorado City Killeen Sweetwater Comanche Krum Temple Coolidge Lakeside Terrell Coppell Lake Worth The Colony Corinth Lancaster Throckmorton Corral City Lewisville Tyler Crandall Lincoln Park University Park Crowley Little Elm Venus Dalworthington Gardens Malakoff Vernon Denison Mansfield Waco Desoto McKinney Watauga Duncanville Melissa Waxahachie Eastland Mesquite Westlake Edgecliff Village Midlothian Westworth Village Emory Murphy Whitesboro Ennis Newark White Settlement Euless Nocona Wichita Falls Everman North Richland Hills Woodway Fairview Northlake Wylie Farmers Branch Oak Leaf Farmersville Ovilla TARIFF FOR CAS SERVICE ATM OS ENERGY CORP., MID4EX DIVISION Ri der C onserva t ion E nerg y APPLICABLE TO, i s RE VISI O N: D ATE: EFFECTIVE DATE: PAGE: I OF I February 1, 2008 1 Purj2ose Atmos Energy Mid -Tex is proposing to institute a complete Conservation & Energy Efficiency program which will offer assistance to qualified customer segments in reducing energy consumption and lowering energy utility bills. The proposal is one where Atmos Energy shareholders will fund a percentage of the allowable expenses incurred annually, with a customer rate component providing the remainder of the funding. Following is a high - level, concept summary of the proposal. Atmos Energy Mid -Tex Division proposes to work with the communities it serves to develop the details of a new tariff and programs addressing conservation and energy efficiency. Synopsis: Voucher system to provide free energy savings materials and supplies to qualifying customers of Atmos Mid -Tex. Qualified Customers will receive up to two hundred dollars ($200,00) worth of caulking, weather - stripping, sheathing, sealing, water heater blankets, and like materials, tither energy saving devices such as clock- thermostats, set -back devices ('covered items ") from approved suppliers / retailers. Company will undertake efforts to enlist support from community groups, including its own Employee Action Program, to assist customers with installation. If it is determined that professional installation capabilities are necessary, the parties will agree on labor assistance amounts. Eligibility Low Income — Low - income rate- payers that qualify for heating bill assistance through LIMEAP agencies and all agencies that distribute Atmos "Share the Warmth" funds. Agencies that allocate assistance funds denote customer as Low Income, a status that lasts for one year. Senior Citizen Primary account holder can request eligibility through ATM call center or web -site. Customer provides primary SSN which is verified through Social Security Administration. And account holder that Is or turns 65 years old in that year becomes eligible. Pundin • •► • •' • �_ •• .. ` ill 111 � � _ ♦ �, - • •.: •- • -- • - • •• ; Ili Ili 11 • i •• 111 lit 11 Ix - .:; f �iE � - •• ••: ",: � • it ��_' �• • Administration: A third -party administrator will coordinate qualification of customers, voucher distribution, subsequent verification and reimbursement of eligible expenditures and general program administration. Program administration expenses will be funded from the annual approved budget. Program audits will be conducted and the results provided to any interested party within 920 days of the end of each program year to determine effectiveness. TARIFF FOR GAS SERVICE ICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: -- Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 1 of 5 February 1, 2008 l . ► , F os : This mechanism is designed to provide annual earnings transparency, If, through the implementation of the provisions of this mechanism, it is determined that rates should be decreased or increased, then rates will be adjusted accordingly in the manner set forth herein. The rate adjustments implemented under this mechanism will reflect annual changes in the Company's cost of service and rate base, This adjustment will be authorized for an Initial Implementation Period. With the conclusion of the final rate adjustment, if any, for the Initial Implementation Period, each entity having original jurisdiction may revoke, amend, or approve Subsequent Implementation Periods) for, the mechanism. Definitions a) The Annual Evaluation Date shall be the date the Company will make its annual filing under this mechanism. The Annual Evaluation Date shall be no later than March 1, of each year. This filing shall be effective in electronic form where practicable. The initial filing shall be made March 31, 2008. b) Audited Financial Data shall mean the Company's books and records related to the Company's Mid - Tex operating area and shared services operations. Audited Financial Data shall not require the schedules and information provided under this tariff to undergo a separate financial audit by an outside auditing firm similar to the Company's annual financial audit. c) The Evaluation Period is defined as the twelve month period ending December 31, of each calendar year, The initial Evaluation Period shall be calendar year 2007. d) The hate Effective Period is defined as the earlier of the twelve month period for which rates determined under this mechanism will be in effect or subsequent rates are implemented. e) Per Connection Basis is defined as the average number of connections during the Evaluation Period, f) Initial Implementation Period is defined as the three (3) year period commencing with the Company's filing under this mechanism for the calendar year 2007, effective October 1, 2008, and shall conclude with the implementation of rate adjustments, if any, for the third Rate Effective Period, g) Subsequent Implementation Period is defined as any three (3) year period after the conclusion of the Initial Implementation Period. h) Final Order is defined as the most recent order establishing the Company's latest effective rates for the area in which the mechanism is implemented, and shall include municipal rate ordinances and resolutions. Rate Review Mechanism The Company shall file with each regulatory authority having original jurisdiction over the Company's rates the schedules specified below for the Evaluation Period, with the filing to be made by the Annual T ARIF F -- GAS S tih ATM OS ENE C O D IM MID-TEX D � RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 2 of 5 February 1, 2008 Evaluation Date following the end of the Evaluation Period, The schedules, which will be based upon the Company's Audited Financial Data, as adjusted, and provided in the same format as Atmos' rate filing with municipalities on September 20, 2007, will include the following: a) Company's actual gross plant in service, accumulated depreciation, accumulated deferred income taxes, inventory, working capital, and other rate base components. The ratemaking treatments, principles, findings and adjustments included in the Final Order will apply. Regulatory adjustments due to prior regulatory rate base adjustment disallowances will be maintained where applicable. Cash working capital will be calculated using the lead/lag days approved in the Final Order, b) The Company's depreciation expense, operating and maintenance expense, income taxes, and taxes other than income taxes. Depreciation rates will be those approved in the Final Order, or the rate most recently approved. All calculation methodologies will be those approved in the Final Order, or in the most recent order addressing the methodology. In addition, the Company shall exclude from operating and maintenance expense the type of expenses related to employee expense accounts disallowed in the GUD No. 9670 Final Order. c) Return on Equity (ROE) shall be maintained at 9.6 %. d) Cost of debt will reflect actual cost. Capital structure will be the actual Evaluation Period ending ratio of long -term debt and equity, with percentage equity not to exceed the percentage established in the Final Order in G.U.D. No. 9670 (18,1% equity). e) All applicable accounting and pro forma adjustments along with all supporting workpapers. 0 Pro -forma adjustments to update and annualize costs and revenue billing determinants for the Rate Effective Period. g) Pro -forma or other adjustments required to properly account for atypical, unusual, or nonrecurring events. h) Shared Services allocation factors may be recalculated each year based on the latest component factors, but the methodology used will be that approved in the Final Order. Calculation of Rite Adiustment a) The Company , shall provide additional schedules indicating the following revenue deficiency /sufficiency calculations using the methodology accepted in the Final Order. These schedules shall identify the rate adjustments necessary for both a truedup of revenue for the Evaluation Period and the setting of prospective rates for the Rate Effective Period. The net result of these rate adjustments shall be reflected in the proposed now rates to be established for the Rate Effective Period. In calculating the required rate adjustments, such adjustments will be made pro - ratably to the customer charge and usage charge based upon actual revenue generated, as adjusted under the Company's approved Weather Normalization Adjustment (WNA) Rider. Provided, TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., DIVISION RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 3 of 5 February 1, 200 however, that neither the Residential nor the Commercial customer charges may increase more than 20% per year, b) If Company's earnings during the Evaluation Period exceed 9.6% return on common equity, the Company shall calculate an adjustment to rates to refund the revenue required to achieve a return on equity of 9.6% for the Evaluation Period, If Company's earnings during the Evaluation Period are below 9.6% return on common equity, the Company shall calculate an adjustment in rates to collect the additional revenue required to increase its return on equity for the Evaluation Period to 9.6 %. The Company will calculate an adjustment for the hate Effective Period to refund or collect this difference. c) The Company will adjust rates for the Rate Effective Period to include recovery of any known and measurable changes to operating and maintenance costs including, but not limited to, all payroll and compensation expense, all benefit expense, all pension expense, insurance costs, materials and supplies, bad debt costs, all medical expense, transportation and building and lease costs for the Rate Effective Period. Additionally, utility plant for the Rate Effective Period will be established by using the Evaluation Period ending balances, including associated changes in depreciation and amortization expense and taxes. In calculating the Company's known and measurable changes for prospective RRM adjustment purposes, the following limitations will apply, on a Per Connection Basis. I . Operating and Maintenance expenses for the Rate Effective Period, cannot increase more than 5% per connection per year without specific identification and justification. The beginning Operation and Maintenance expense for the X007 RRM filing (the initial filing) will be $161 million. 2. Net plant investment for the Rate Effective Period cannot increase more than 5% per connection per year without specific identification. However, in performing a cap test to verify compliance, Company shall exclude any changes in net plant investment associated with federal, state, or local mandates related to safety, compliance, or road moves. d) The Company also shall provide a schedule demonstrating the "proof of revenues" relied upon to calculate the proposed rate for the Rate Effective Period. The proposed rates shall conform as closely as is practicable to the revenue allocation principles approved in the Final Order. Att eskt - ion A sworn statement shall be filed by the Company's Chief Officer in Charge of Mid -Tex Operations affirming that the filed schedules are in compliance with the provisions of this mechanism and are true and correct to the best of his/her knowledge, information and belief. No testimony shall be filed, TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID-TEX DIVISION RIDER: Rider RRM T Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 4 of 5 February 1, 2008 Evaluation Procedures The regulatory authority having original jurisdiction over the Company's rates shall have ninety (90) days to review the Company's filed schedules. The Company will be prepared to provide supplemental information as may be requested to ensure adequate review by the relevant regulatory authority. The Company shall not unilaterally impose any limits upon the provision of supplemental information and such information shall be provided within ten (10) working days of the original request. The regulatory authority may propose any adjustments it determines to be required to bring the schedules into compliance with the above provisions. During and following the ninety (90) day review period and a thirty (30) day response period, the Company and the regulatory authority will work collaboratively and come to agreement on, the proposed adjustments to the Company's schedule and proposed rates. Once agreement has been reached by the Company and the regulatory authority, the regulatory authority shall authorize an increase or decrease to the Company's rates so as to achieve the revenue levels indicated for both the Evaluation Period and Rate Effective Period. If, at the end of the thirty (30) day response period, the Company and the regulatory authority have not reached agreement on the proposed adjustments, the Company shall have the right to appeal the regulatory authority's action or inaction to the Railroad Commission of Texas. Upon the filing of any appeal, the Company shall have the right to implement the proposed RRM rate adjustment, subject to refund. If approved by the entity exercising original jurisdiction, the rates established pursuant to the Rate Review Mechanism for the first Rate Effective Period shall be effective on October 1, 2008. Thereafter, rates established pursuant to the Rate Review Mechanism for subsequent Rate Effective Periods, if approved as provided herein, shall be effective on July 15 of each year. Reconsideration and Appeal Orders issued pursuant to this mechanism are ratemaking orders and shall be subject to appeal under Sections 102.001(b) and 103.021, et seq., of the Texas Utilities Code (Vernon 2007). Oiiq Notice of the annual Rate Review Mechanism filing shall be provided to all affected customers of the Atmos Mid -Tex Division in accordance with the provisions of this section no later than forty -five (45) days after the Company makes its annual filing pursuant to this tariff. Company may provide notice either by mailing or otherwise delivering the notice with its billing statements. Notice by mail shall be presumed to be complete three days after the date of deposit of the paper upon which such notice is written, enclosed in a post -paid, properly addressed wrapper, in a post office or official depository under the care of the United States Postal Service. The notice to customers shall include the following information: a) a description of the proposed revision of rates and schedules; b) the effect the proposed revision of rates is expected to have on the rates applicable to each customer class and on an average bill for each affected customer; TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., r DIVISION RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 5 of 5 February 1, 2008 c) the service area or areas in which the proposed rate adjustment would apply; d) the date the proposed rate adjustment was filed with the regulatory authority; and e) the Company's address, telephone number and website where information concerning the proposed rate adjustment may be obtained. s III t"If - }. ,1 APPLICABLE .O Entire System s r November 1 � oo�� : � ®� s MDLR WNA _Weather Normalization Adieastment Provisions for Adjustment The base rate per Mcf (1,000,000 Btu) for gas service set forth in any Rate Schedules utilized by the cities of the Mid -Tex Division service area for determining normalized winter period revenues shall be adjusted by an amount hereinafter described, which amount is referred to as the "Weather Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature sensitive residential, and commercial bills based on meters read during the revenue months of November through April. Computation of Weather Normalization Adjustment The Weather Normalization Adjustment Factor shall be computed to the nearest one - hundredth cent per Mcf by the following formula: (HSFi x (NDD -ADD) ) WNAFi Ri (BLi + (HSFi x ADD) ) Where i = any particular Rate Schedule or billing classification within any such particular Rate Schedule that contains more than one billing classification WNAFi — Weather Normalization Adjustment Factor for the ith rate schedule or classification expressed in cents per Mcf Ri — base rate of temperature sensitive sales for the ith schedule or classification approved by the entity exercising original jurisdiction. HSFi — heat sensitive factor for the id' schedule or classification calculated as the slope of the linear regression of average sales per bill (Mcf) and actual heating degree days by month for the test year by schedule or classification and weather station as part of the RRM filing. D = billing cycle normal heating degree days calculated as the simple ten-year average of actual heating degree days. ADD — billing cycle actual heating degree days. Bli — base load sales for the ith schedule or classification calculated as the y- intercept of the linear regression of average sales per bill (Mcf) and actual heating degree days by month for the test year by schedule or classification wit • k, X y Rid Ad justment E Sy REVISI D ATE: EFFECTIVE N ovember 1 � p0$� PACE: 2 ®� 3 and weather station as part of the RRM filing. The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as: WNA = WNAF x qij Where qij is the relevant sales quantity for the jth customer in ith rate schedule. Filings with Entities Exercising Original Jurigdiction As part of its annual RRM filing the Company will file (a) a copy of each computation of the Weather Normalization Adjustment Factor, (b) a schedule showing the effective date of each such Weather Normalization Adjustment, (c) a schedule showing the factors of values used in calculating such Weather Normalization Adjustment and (d) a random sample and audit of thirty (30) actual customer bills, with customer information deleted, for each rate schedule or classification to which the WNA was applied in the preceding 12 month period. To the extent that source data is needed to audit the WNA application, such data will be provided by the Company as part of the annual RRM filing. If the RRM is discontinued, as provided in the Rider RRM tariff, the information required herein to be filed with the entities exercising original jurisdiction shall be filed on March 1 of each year. Bgse Use/Heat Sensitivity (HSF) Factors ResidMfi Base use HSF Commercial Base use HSF ATMOS ENERGY O MID-TEX DIVISION Sample WNAF Calculation: (.0131 x (30 -17) ) .1533 per Mcf = 1.2267 x (1.14 + (.0131 x 17) ) Where i — Residential Single Block Rate Schedule Ri — 1.2267 per MCF (Rate R - Final Order GUD No. 9670) HSFi .0131 (Residential -Abilene Area) NDD = 30 HDD (Simple ten -year average of Actual HDD for Abilene Area 9/15/06 — 10/14/06) ADD — 17 HDD (Actual HDD for Abilene Area — 9/15/06 —10 /14/06) Bli = 1.14 Mef (Residential - Abilene Area) „ Y:` 's Ri der Cost f . APPLICABLE TO: Entire System REVISION: EFFECT 2008TE: � � PAGE; 1 OF 3 Applicable to Rate R, Rate C, and Rate 1 for all gas sates made by Company, and applicable to Rate R, Rate C, Rate I, and Rate T for recovery of Pipeline System costs. The total gas cost recovery amount due is determined by adding the gas cost calculated in Section (a) below and the pipeline cost calculated in Section (b) below. The amount due for gas cost (Section (a)) is determined by multiplying the Gas Cost Recovery Factor (GCRF) by the Customer's monthly volume. For Customers receiving service under Rate R and Rate C, monthly volume will be calculated on an Mcf basis. For Customers receiving service under Rate I, monthly volume will be calculated on an WSW basis and the quantities will be adjusted as necessary to recover actual costs. The amount due for pipeline cost (Section (b)) is determined by multiplying the Pipeline Cost Factor (PCF) by the Customer's monthly volume. For Customers receiving service under Rate R and Rate C, monthly volume will be calculated on an Mcf basis. For Customers receiving service under Rate I and Rate T, monthly volume will be calculated on an MMBtu basis and the quantities will be adjusted as necessary to recover actual costs. (a) Gas Cost Method of Calculation The monthly gas cost adjustment is calculated by the application of a Gas Cost Recovery Factor (GCRF), as determined with the following formula: GCRF W Estimated Gas Cost Factor (EGCF) + Reconciliation Factor (RF) + Taxes (TXS) + Adjustments (ADJ) EGCF = Estimated cost of gas, including lost and unaccounted for gas attributed to residential, commercial, and industrial sales, and any reconciliation balance of unrecovered gas costs, divided by the estimated total residential, commercial, and industrial sales. RF p Calculated by dividing the difference between the Actual Gas Cost Incurred, inclusive of interest, over the preceding twelve -month period ended June 30 and the Actual Gas Cost Billed over that same twelve-month period by the estimated total residential, commercial, and industrial sales for the succeeding October through June billing months. .Actual Gas Cost Incurred = The sum of the costs booked in Atmos Energy Corp., Mid -Tex Division account numbers Soo. through 813 and 858 of the NARUC Uniform System of Accounts, including the net impact of injecting and withdrawing gas from storage. Also includes a credit or debit for any out-of-period adjustments or unusual or nonrecurring costs typically considered gas costs and a credit for amounts received as Imbalance Fees or Curtailment Overpull Fees. Actual Gas Cost Billed = EGCF multiplied by the monthly volumes billed to Residential, Commercial and Industrial Sales customers, less the total amount of gas cost determined to have been uneolleetible and written off which remain unpaid for each month of the reconciliation period. m l Any amount remaining in the reconciliation balance after the conclusion of the period of amortization will be maintained in the reconciliation balance and included in the collection of the next EF. Atmos Energy shall file annual reports with the Commission, providing by month the following amounts: Gas Cost Written Oft. Margin Written Off, Tax and Other Written. Off, Total Written Off, Gas Cost Collected and Margin Collected. TXS = Any statutorily imposed assessments or taxes applicable to the purchase of gas divided by the estimated total residential, commercial, and industrial sales. ADJ = Any surcharge or refund ordered by a regulatory authority, inclusive of interest, divided by the estimated total residential, commercial, and industrial sales, (b) Pipeline Cost Method of Calculation Each month, a Pipeline Cost Factor (PCF) is calculated separately for each Pipeline Cost Rate Class listed below. The formula for the PCF is: PCF = PP / S, where: PP = (P - A) x D, where: P = Estimated monthly cost of pipeline service calculated pursuant to Rate CGS 0 = Pipeline service allocation factor for the rate class as approved in the Company's most recent rate case, as follows: Pi eline Cost state Class Allocation Factor Rate R - Residential Service .534783 Rate C - Commercial Service .302805 Rate I -industrial Service and Rate T - Transportation Servi a .062412 A = Adjustment applied in the current month to correct for the difference between the actual and estimated pipeline cost revenue of the second preceding month, calculated by the formula: A = R - (C - A2), where: R P Actual revenue received from the application of the PP component in the second preceding month. C = Actual pipeline costs for the second preceding month. A2 = The adjustment (A) applied to the PP component in the second preceding month. S = Estimated Mcf or MMStu for the rate class for the current billing month. The PCF is calculated to the nearest 0.0001 cent. :. Mt The Pipeline Cost to be billed is determined by multiplying the Mcf or MMi3tu used by the appropriate PCF. The Pipeline Cost is determined to the nearest whole cent. TARIFF Application Applicable, in the event that Company has entered into a Transportation Agreement, to a customer directly connected to the Atmos Energy Corp., Mid -Tex Division Distribution System (Customer) for the transportation of all natural gas supplied by Customer or Customer's agent at one Point of Delivery for use in Customer's facility. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts and quantities due under the riders listed below: Charge Amount Customer Charge per Meter $ 344.75 per month First 0 MMBtu to 1,500 MM8tu $ 0.2200 per MMBtu Next 3,500 MMBtu $ 0.1600 per MMBtu All MMBtu over 5,000 MMBtu $ 0 .0493 per MMBtu Imbalance Fees All fees charged to Customer under this Rate Schedule will be charged based on the quantities determined under the applicable Transportation Agreement and quantities will not be aggregated for any Customer with multiple Transportation Agreements for the purposes of such fees. Monthly Imbalance Fees Customer shall pay Company the greater of (1) $0.10 per MMBtu, or (ii) 150% of the difference per MMBtu between the highest and lowest "midpoint" price for the Katy point listed in Platfs Gas Daily in the table entitled "Daily Price Surrey" during such month, for the MMBtu of Customer's monthly Cumulative TARIFF FOR GAS SERVICE ATMOS ENERGY CORP, 1 Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds 10% of Customer's receipt quantities for the month. Curtailment Overpull pee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMStu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed in Plaits Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." Replacement Index In the event the "midpoint" or "common" price for the Katy point listed in Plaits Gas Daily in the table entitled "Daily Price Surrey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. Agreement A transportation agreement is required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service, Special Conditions In order to receive service under Rate T, customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. TARIFF FOR GAS SERVICE M 'g Application Applicable to industrial Customers with a maximum daily usage (MDU) of less than 3,500 MMBtu per day for all natural gas provided at one Point of Delivery and measured through one meter. Service for Industrial Customers with an MDU equal to or greater than 3,500 MMBtu per day will be provided at Company's sole option and will require special contract arrangements between Company and Customer. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the amounts due under the riders listed below: Curtailment ®verpull Pee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed in Plaits Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., i "t i l � � y � r � X71 ►/ �� [+7 Replacement Index In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas pally In the table entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. Agreement An Agreement for Gas Service may be required, Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service, Special Conditions In order to receive service under Rate 1, Customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. 2 Application Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured through one meter and to Industrial Customers with an average annual usage of less than 3,000 Mcf. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Mcf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Bill $ 20.28 per month Commodity Charge - All Mof $ 0.7904 per Mcf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation Costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Plus or Minus an amount for weather normalization calculated In accordance with Rider WNA, Rate Review Mechanism: Pius or Minus an amount for rates as calculated in accordance with Rider RRM, Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF, Tax Adjustment: Plus an amount for tax calculated in accordance with R TAX. -. f as - � c , „ .. Agr Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. RVUrMAIMUTMETY =F-1 ME N-MUMU-3=1 71 EFFECTIVE DATE: February 1 00g PAGE :1 ®F 1 Application Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured through one meter. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Mcf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Sill $ 90.88 per month Commodity Charge — All Mof $1.2710 per Mcf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Plus or Minus an amount for weather normalization calculated in accordance with Rider WNA, Rate Review Mechanism: Pius or Minus an amount for rates as calculated in accordance with Rider RRM. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. III III i 1171111 = - Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. I ATTACHMENT ATMOS ENERGY CORP., I -TEX DIVISION OPERATIONS 1. UTILITY 11. CITIES AND C . Ill. DEFINITIONS IV. GAS SERVICE RATES & RIDERS Rate R - Residential Sales Rate C Commercial Sales Rate I . Industrial Sales Rate T - Transportation Rider CT w- Competitive Transport Rider GCR - Gas Cost Recovery Rider FF - Franchise Fee Adjustment Rider SUR — Surcharges Rate LEP — Line Extension Policy Rate M - Miscellaneous Charges Rider RA - Retention Adjustment Rider TAX - Tax Adjustment Rider WNA — Weather Normalization Adjustment Rider RRM — Rate Review Mechanism Rider CEE -- Conservation and Energy Efflciency 1 RDINANCE NO. WHEREAS, the City of Kennedale, Texas ( "City ") is a gas utility customer of Atmos Energy Corp., Mid -Tex Division ( "Atmos Mid -Tex" or "the Company "), and a regulatory authority with an interest in the rates and charges of Atmos Mid -Tex; and WHEREAS, on or about September 20, 2007, Atmos Mid -Tex, pursuant to Gas Utility Regulatory Act § 104.102 filed with the City a Statement of Intent to increase system -wide gas rates by approximately $52 million, such increase to be effective in all municipalities exercising original jurisdiction within its Mid -Tex Division service area effective on October 25, 2007; and WHEREAS, the City took action to suspend the October 25, 2007 Effective Date and to coordinate a response to Atmos' filing with more than 150 other similarly situated municipalities through the Atmos Cities Steering Committee ( "ACSC ") (such participating cities are referred to herein as "ACSC Cities "); and WHEREAS, Atmos has agreed to extend the October 25, 2007, Effective Date such that the City's jurisdiction over this matter ends March 1, 2008; and Atmos Rate Ordinance WHEREAS, the Railroad Commission of Texas ( "RRC" or the "Commission ") in GUD No. 9670, issued an Order approving new system -wide rates for customers of Atmos Energy's Mid -Tex Division in March 2007, which increased residential base rates by approximately $10 million annually; and WHEREAS, ACSC and Atmos have each appealed the RRC's decision in Atmos' most recent system -wide rate increase as well as the decision rendered in GUD No. 9400 to the Travis County District Court; and WHEREAS, Atmos and ACSC have been in continuing disagreement, dispute, and litigation over the application of Section 104.301 of the Texas Utilities Code and the resulting rate increases ( "GRIP surcharges ") established by the RRC; and WHEREAS, Atmos filed its application for its fourth GRIP surcharge in four years on May 31, 2007, seeking to increase the rates of all customers by approximately $12 million annually; and 1 WHEREAS; the ACSC Cities desire to avoid the litigation expense that would result from another lengthy contested rate case proceeding before the RRC as well as the prosecution of the appeals in various courts of the GRIP surcharges and the two previous system -wide rate decisions; and WHEREAS, ACSC desires to recoup certain costs it previously incurred in connection with GRIP - related proceedings (costs which Atmos contends are not reimbursable rate case expenses under the Texas Utilities Code), as well as costs incurred in connection with this proceeding; and WHEREAS, on October 18, 2007, more than 60 ACSC members met in Arlington with officers and executives of Atmos to discuss various issues, including rate making, resulting in a mutual pledge to work toward settlement; and Atmos Rate Ordinance 2 WHEREAS, ACSC members designated a Settlement Committee made up of ACSC representatives to work with ACSC attorneys and consultants to formulate and review reasonable settlement positions to resolve outstanding matters with Atmos, including the pending rate increase request; and WHEREAS, the Settlement Committee and lawyers representing ACSC met several times with the Company to negotiate a Settlement Agreement resolving the issues raised in the Company's Statement of Intent filing as well as all outstanding appeals of the two prior rate cases and various GRIP filings; and WHEREAS, the Settlement Committee, as well as ACSC lawyers and consultants believe existing rates are unreasonable and should be changed; and WHEREAS, the ACSC Executive Committee recommends ACSC members approve the negotiated Settlement Agreement and attached tariffs; and WHEREAS, the attached tariffs provide for an expedited rate review process as a substitute to the current GRIT' process instituted by the Legislature; and WHEREAS, the expedited rate review process as provided by the Rate Review Mechanism Tariff eliminates piecemeal ratemaking, the ACSC's major objection to the current GRIP process; and WHEREAS, the attached tariffs implementing new rates are consistent with the Settlement Agreement and are just, reasonable, and in the public interest; and WHEREAS, it is the intention of the parties that ACSC Cities receive the benefit of any Settlement Agreement that Atmos enters into with other entities arising out of its Statement of Intent or any associated appeals of a decision entered by the Railroad Commission regarding the Company's request to increase rates; and Atmos Rate Ordinance 3 WHEREAS, the Settlement Agreement as a whole is in the public interest. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS: Section 1. That the findings set forth in this Ordinance are hereby in all things approved. Section 2. That the City Council finds that the Settlement Agreement, which is attached hereto and incorporated herein as Attachment A, is in the public interest and is hereby endorsed in all respects. Section 3. That existing rates for natural gas service provided by Atmos Mid -Tex are unreasonable and new tariffs, which are attached hereto and incorporated herein as Attachment B, are just and reasonable and are hereby adopted. Section 4. That to the extent any resolution or ordinance previously adopted by the Council is inconsistent with this Ordinance, it is hereby repealed. Section 5. That the meeting at which this Ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. Section 6. That if any one or more sections or clauses of this Ordinance is adjudged to be unconstitutional or invalid, such judgment shah not affect, impair or invalidate the remaining provisions of this Ordinance and the remaining provisions of the Ordinance shall be interpreted as if the offending section or clause never existed. Section 7. That if ACSC Cities determine any rates, revenues, terms and conditions, or benefits resulting from a Final Order or subsequent Settlement Agreement approved in any proceeding addressing the issues raised in Atmos' Statement of Intent would be more beneficial to the ACSC Cities than the terms of the attached Settlement Agreement, then the more favorable Atmos Rate Ordinance 4 rates, revenues, terms and conditions, or benefits shall additionally accrue to the ACSC Cities. However, approval of the attached Rider RRM, Rider CEE, Rider OCR and the Rider WNA shall not be affected by the application of the provisions contained in this section, it being the understanding and the intent of the parties hereto that such tariffs shall continue according to their terms. Section 8. That this Ordinance shall become effective from and after its passage with rates -authorized by -attached Tariffs to be effective for - customer bills delivered on -or after March 1, 2{108. Section 9. That a copy of this Ordinance shall be sent to Atmos Mid -Tex, care of Joe T. Christian, Director of Rates, at Atmos Energy Corporation, 5420 LBJ Freeway, Suite 1800, Dallas, Texas 75240, -and to Geoffrey Oay, -General -Counsel to ACS-C, - at Lloyd - Gosselink Blevins Rochelle & Townsend, P.C., P.O. Box 1725, Austin, Texas 78767 -1725. PASSED AND APPROVED this day of , 2008. Mayor ATTEST; City Secretary APPROVED AS TO FORM: City Attorney Atmos Rate Ordinance 5 ATTACHMENT A ON M B ER 20,2007 SETTLEMENT AGREEMENT This Settlement Agreement is entered into by and between Atmos Energy Corp.( "Atmos" or "the Company ") and the Atmos Cities Steering Committee ( "ACSC "), whose members include the Cities of Abilene, Addison, Allen, Alvarado, Angus, Anna, Argyle, Arlington, Bedford, Bellmead, Benbrook, Beverly Hills, Blue Ridge, Bowie, Boyd, Bridgeport, Brownwood, Buffalo, Burkburnett, Burleson, Caddo Mills, Carrollton, Cedar Hill, Celeste, Celina, Cisco, Cleburne, Clyde, College Station, Colleyville, Colorado City, Comanche, Coolidge, Coppell, Corinth, Corral City, Crandall, Crowley, Dalworthington Gardens, Denison, DeSoto, Duncanville, Eastland, Edgecliff Village, Emory, Ennis, Euless, Everman, Fairview, Farmers Branch, Farmersville, Fate, Flower Mound, Forest Hill, Fort Worth, Frisco, Frost, Gainesville, Garland, Garrett, Grand Prairie, Grapevine, Haltom City, Harker Heights, Haskell, Haslet, Heath, Hewitt, Highland Park, Highland Village, Honey Grove, Hurst, Iowa Park, Irving, Justin, Kauftnan, Keene, Keller, Kemp, Kennedale, Kerrville, Killeen, Krum, Lakeside, Lake Worth, Lancaster, Lewisville, Lincoln Park, Little Elm, Malakoff, Mansfield, McKinney, Melissa, Mesquite, Midlothian, Murphy, Newark, Nocona, North Richland Hills, Northlake, Oak Leaf,, Ovilla, Palestine, Pantego, Paris, Parker, Pecan Hill, Plano, Ponder, Pottsboro, Prosper, Putnam, Quitman, Red Oak, Reno (Parker County), Richardson, Richland Hills, Roanoke; Robinson, Rockwall, Roscoe, Rowlett, Sachse, Saginaw, Seagoville, Sherman, Snyder, Southlake, Springtown, Stamford, Stephenville, Sulphur Springs, Sweetwater, Temple, Terrell, The Colony, Throckmorton, Tyler, University Park, Venus, Vernon, Waco, Watauga, Waxahachie, Westlake, Westworth Village, Whitesboro, White Settlement, Wichita Falls, Woodway, and Wylie (collectively "ACSC Cities "). WHEREAS, the Settlement Agreement resolves all issues relating to the Atmos Energy Corp., Mid -Tex Division Statement of Intent filed with the ACSC Cities on September 20, 2007, in a manner that Atmos and ACSC ("the Signatories ") believe is consistent with the public interest, and the Signatories represent diverse interests; WHEREAS, the Signatories believe that a fully contested hearing in the case would be time - consuming and entail substantial additional expense for all parties and that the public interest will be served by adoption of an ordinance consistent with the Settlement Agreement; NOW, THEREFORE, in consideration of the mutual agreements and covenants established herein, the Signatories, through their undersigned representatives, agree to and recommend for approval by the ACSC Cities the following Settlement Terms as a means of fully resolving all issues raised in the September 20, 2007 Statement of Intent filed by Atnim on behalf of its Mid -Tex division: Settlement Terms 1. Atmos and the ACSC Cities agree to the rates, terms and conditions reflected in the tariffs attached to this Settlement Agreement as Exhibit A. Said tariffs should allow Atmos an additional $10 million in annual revenue by implementation of rates shown in SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP., MID -TEX DIVISION ON SEPTEMBER 20, 2007 the proof of revenues attached as Exhibit B. Atmos and the ACSC Cities further agree that the rates, terms, and conditions reflected in Exhibit A to this Settlement Agreement comply with the rate - setting requirements of Chapter 104 of the Texas Utilities Code. The gas rates, terms and conditions established by this Settlement Agreement shall be effective for bills rendered on or after March 1, 2008. 2. The net plant amounts shown in the attached Exhibit B are reasonable for the plant that is used and useful in providing gas utility service. Included as part of Exhibit A is a Rate Review Mechanism ( "Rider RRM ") that provides for an annual rate adjustment to reflect changes in billing determinants, operating and maintenance expense, depreciation expense, other taxes expense, and revenues as well as changes in capital investment and associated changes in gross revenue related taxes. Atmos agrees that effective with the implementation of the first RRM rate adjustment, Atmos shall file with the ACSC Cities a revised Rate R- Residential Sales Tariff to reduce the customer charge per bill from $10.69 per month to $7.00 per month and to increase the volumetric portion of the rate (shown as $1.271 in Exhibit A) to the appropriate level to reflect reduction in customer charge from $10.69 to $7.00, as well as to reflect any change resulting from the RRM implementation. The first RRM rate adjustment is expected to occur October 1, 2008. Atmos and the ACSC Cities agree that following the initial RRM adjustment any subsequent implementation of RRM adjustments shall be supported as described in the Rider RRM, and shall limit changes to residential and commercial customer charge to no more than 20 %. Further, the parties agree that any approved adjustment in excess of the 20% limitation on the residential and commercial customer charge shall be recovered through the volumetric portion of the rate. 4. With respect to the RRM, Atmos and the ACSC Cities agree that the rate increase limitations set forth in Rider RRM under Calculation of Rate Adjustment, subpart (c) shall not preclude Atmos from recovering any excluded costs during a subsequent Evaluation Period in which the 5% limitation for O &M expenses or net plant investment, respectively, is not reached or in a subsequent Statement of Intent case. To the extent that Atmos seeks to recover any excluded costs during a subsequent Evaluation Period in which the 5% limitation for O &M expenses or net plant investment, respectively, is not reached or in a subsequent Statement of Intent case, Atmos shall identify these costs as a specific line item in the schedule accompanying the RRM rate adjustment filing. 5. With respect to the RRM, Atmos further agrees to pay all reasonable and necessary expenses of each entity having original jurisdiction that are incurred to review the Company's annual RRM filings. Atmos further agrees that in calculating the proposed rate for any Rate Effective Period, the Company shall not include: (1) any external legal, expert, or consultant costs to prepare and/or provide supportive information related to its filing; or (2) reimbursements to original jurisdiction entities. 6. Notwithstanding paragraph 5 of this Settlement Agreement, Atmos and ACSC agree that in the event of an appeal of an original jurisdiction entity's decision regarding a proposed RRM adjustment, recovery of rate case expenses shall be determined according to Chapters 103 and 104, TEX. UTIL. CODE ANN. Further, in the event of such appeal(s), N SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP., MID -TEX DIVISION ON SEPTEMBER 20, 2007 Atmos shall recover any reimbursement made to the original jurisdiction entity through a surcharge to customer rates whether such reimbursements are made during the initial review period or appeal period. 7. Atmos agrees that it will make no filings on behalf of its Mid -Tex division under the provisions of TEX. UTIL. CODE ANN. § 104.301 while the Rider RRM is in place, and any such filings pending at the time the RRM is approved will be trued -up for revenue and rate base components prior to implementation of the annual RRM. In the event that a regulatory authority fails to act or enters an adverse decision regarding the proposed annual RRM adjustment, the Railroad Commission of Texas shall, pursuant to the provisions of the Texas Utilities Code, have exclusive appellate jurisdiction to review the action or inaction of the regulatory authority exercising exclusive original jurisdiction over the RRM request. In addition, the Signatories agree that this Settlement Agreement shall not be construed as a waiver of the ACSC Cities' right to initiate a show cause proceeding or the Company's right to file a Statement of Intent under the provisions of the Texas Utilities Code. 8. Atmos and the ACSC Cities commit that during the Initial Implementation Period, as defined in the RRM tariff, Atmos and the ACSC Cities will not devote resources or efforts to advocate statutory changes involving rate stabilization mechanisms or the Gas Reliability Infrastructure Plan that is currently codified under TEX. UTIL. CODE § 104.301. 9. Atmos and the ACSC Cities agree that the gas cost portion of uncollectible expense shall be recovered through the Company's Rider GCR rather than through base rates. The change in accounting for the gas cost portion of uncollectible expense (including both the accrual of expense and write -off of accounts) shall become effective with the implementation of the first RRM rate adjustment. The first RRM rate adjustment is expected to occur October 1, 2008. In calculating the rate for the first Rate Effective Period, the Company shall utilize the same methodology as used in the Company's September 20, 2007 Statement of Intent with the only modification being to exclude the effects of the gas cost portion of uncollectible expense from the base rate calculation. 10. Atmos and the ACSC Cities flurther agree than expense associated with lost and unaccountable gas shall, based on an annual period, be recoverable through the Company's Rider GCR up to a maximum of five (5) percent of the quantity of metered gas, as provided under Commission Rule 7.5525, Lost and Unaccounted for Gas. Such change shall be effective with the complete 12 month reporting period ending June 30, 2008. 11. Included as part of Exhibit A to this Settlement Agreement is a new gas conservation program tariff (Rider CEE) that will be effective October 1, 2008. Atmos and the ACSC Cities agree that Atmos will fund $1 million of the allowable expenses incurred annually, with a customer rate component providing the remainder $1 million of funding. All customer - supplied funds will, prior to the commencement of the program, be used toward program implementation efforts and, upon implementation, be applied directly to the gas conservation materials and supplies. 3 SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP,, MID -TEX DIVISION ON SEPTEMBER 20, 2007 12. Atmos and the ACSC Cities agree that the Company's requested revision of its weather normalization adjustment ( "WNA ") mechanism is appropriate, as modified by ACSC, and should be approved as set forth in Exhibit A to this Settlement Agreement. Specifically, the revision excludes non - weather sensitive commercial customers and modifies the WNA mechanism to calculate the WNA adjustment based on weather stations at a regional level rather than under the current practice of associating all customers with a single weather location for purposes of determining the MINA adjustment. 13. Atmos and the ACSC Cities agree that the three -year gas cost review process that is currently in effect for the Mid -Tex division should be eliminated. Atmos and the ACSC Cities further agree to collaborate to establish an alternate process wherein the prudence of gas costs recovered through the Rider GCR can be addressed. Until an agreed upon replacement mechanism has been established, the current gas cost review process shall remain in effect, unless changed by order of the Commission. 14. It is the intention of the Signatories that the ACSC Cities receive the benefit of any settlement agreement that Atmos enters into with other entities arising out of GUD No. 9672 (consolidated cases) or any associated appeals of GUD No. 9672. Therefore, Atmos agrees that if the rates, revenues, terms and conditions, or benefits accruing to the settling entity would be more beneficial to the ACSC Cities than the terms of this Settlement Agreement, as determined by the ACSC Cities, such more favorable rates, revenues, terms and conditions, or benefits shall additionally accrue to the ACSC Cities. Similarly, if the Final Order in GUD No. 9672 or orders resulting from any associated appeals are determined by the ACSC Cities to result in rates, revenues, terms and conditions, or benefits that are more beneficial than the terms or this Settlement Agreement, such more favorable terms, revenues, terms and conditions shall additionally accrue to the ACSC Cities. However, the Signatories agree that the approval of the Rider RRM, the Rider WNA, the Rider CEE, and the Rider GCR, as shown in Exhibit A hereto, shall not be affected by the application of the "most favored nations" provisions contained in this paragraph, it being the understanding and the intent of the Signatories hereto that such tariffs shall continue in effectiveness according to their terms. The Signatories further agree that the agreement reflected in paragraph 10 of this Settlement Agreement shall not be affected by the application of the "most favored nations" provisions contained in this paragraph. 15. Atmos agrees to reimburse the ACSC Cities previously incurred rate case expenses within 30 days of the date the last ACSC City ordinance approving this Settlement Agreement is entered, and any additional rate case expenses incurred through the date of the entry of the last ACSC City ordinance, within 30 days of receipt of invoices. 16. Atmos agrees to reimburse the ACSC Cities for expenses associated with all 2003, 2004, 2005, and 2006 GRIP filings and related court appeals up to $567,213 within 30 days of the date the last ACSC City ordinance approving this Settlement Agreement is entered. 17. Atmos and the ACSC Cities further agree that all expenses reimbursed pursuant to paragraphs 15 and 16 of this Settlement Agreement, as well as all reasonable rate case Ell SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORD„ MID -TEX DIVISION ON SEPTEMBER 20, 2007 expenses directly incurred by Atmos in connection with the September 20, 2007 Statement of Intent filed on behalf of its Mid -Tex Division through February 29, 2008, shall be recoverable through a surcharge to customer rates within the ACSC Cities. With respect to the rate case expenses directly incurred by Atmos, the amount to be recovered through the surcharge to customers within the ACSC Cities shall be determined on a pro rata basis, consistent with the ACSC Cities' percentage of total Mid -Tex residential load (52 %). The surcharge shall be recovered over a twelve month period beginning in April of 2008. 18. Within 30 days of the date the last ACSC City ordinance approving this Settlement Agreement is entered, Atmos and the ACSC Cities agree to file a Notice of Non -Suit or Motion to Dismiss, whichever is applicable, in the following proceedings: Cause No. D- 1- GN -06- 000337 (Consolidated), Atmos .Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. This case includes the following cases: a. Cause No. D- 1- GN -06- 000333; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas, b. Cause No. D- 1- GN -06- 000334; Atmos Cities Steering Committee v The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. C. Cause No. D- 1- GN- 06- 000335; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. d. Cause No. D- 1- GN -06- 000336; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. e. Cause No. D- 1- GN -06- 000332; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. £ Cause No. D- 1 -GN -05- 002182; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. g. Cause No. D- 1- GN -06- 004206; Atmos Cities Steering Committee v The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. Cause No. D- 1- GN -06- 001612; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. Cause No. D- 1- GN -06- 001852; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. Cause No. D- 1- GV -06- 000603; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. Cause No. D- 1- GV -06- 000605; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP., MID -TEX DIVISION ON SEPTEMBER 20, 2007 Cause No. D- 1 -GN -06- 004518; Atmos Cities Steering Committee v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. Cause Number: 03- 06- 00580 -CV; Atmos Energy Corporation, as successor by merger to TXU Gas Company, Allied Coalition of Cities, and City of Dallas v. Railroad Commission of Texas; In the Third District Court of Appeals at Austin, Texas. Cause No. D- 1- GN -07- 002871, Atmos Cities Steering Committee v. Railroad Commission of Texas, In the 53rd District Court, Travis County, Texas. Cause No. D- 1- GN -07- 002796, Atmos Energy Corporation v. Railroad Commission of Texas, In the 250th District Court, Travis County, Texas. Cause No. GV5- 00875; Allied Coalition of Cities v. The Railroad Commission of Texas, In the 345th District Court, Travis County, Texas. 19. Atmos and the ACSC Cities agree that Atrnos may make all future filings, including, but not limited to, the annual RRM adjustment and any Statement of Intent filing with the ACSC Cities on an electronic basis, rather than by paper copy. Electronic Filings shall fulfill the requirements of TEX. UTIL. CODE §104.103. The appropriate ACSC Cities representative shall provide a list of the ACSC Cities to Atmos by March 1, 2008, and agrees to notify Atmos of any change in the ACSC Cities Coalition within 30 days of the effective date of any such change in order for Atmos to maintain adequate service records. Atmos further agrees to make paper copies of filings available to any ACSC City that requests a copy. 20. Atmos and the ACSC Cities agree that the ACSC Cities should pass ordinances approving the Settlement Agreement and establish rates and services for the ACSC Cities consistent with those set forth in Exhibit A to this Settlement Agreement. 21. The Signatories agree that the terms of the Settlement Agreement are interdependent and indivisible, and that if any ACSC City enters an order that is inconsistent with this Settlement Agreement, then any Signatory may withdraw without being deemed to have waived any procedural right or to have taken any substantive position on any fact or issue by virtue of that Signatory's entry into the Settlement Agreement or its subsequent withdrawal. 22. The Signatories agree that all negotiations, discussions and conferences related to the Settlement Agreement are privileged, inadmissible, and not relevant to prove any issues associated with the September 20, 2007 Statement of Intent filed by Atmos on behalf of its Mid -Tex Division pursuant to Texas law. 23. The Signatories agree that neither this Settlement Agreement nor any oral or written statements made during the course of settlement negotiations may be used for any purpose other than as necessary to support the entry by the ACSC Cities of an order implementing this Settlement Agreement. 6 SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP., MID -TEX DIVISION ON SEPTEMBER 20, 2007 24. The Signatories agree that this Settlement Agreement is binding on each Signatory only for the purpose of settling the issues set forth herein and for no other purposes, and, except to the extent the Settlement Agreement governs a Signatory's rights and obligations for future periods, this Settlement Agreement shall not be binding or precedential upon a Signatory outside this proceeding. 25. The Signatories agree that this Settlement Agreement may be executed in multiple counterparts and may be filed with facsimile signatures. 7 SETTLEMENT AGREEMENT STATEIVIRNT OF INTENT FILED BY ATMOS ENERGY, CORP., MlD -TEX DIVISION ON SEPTEMBER 20, 2007 WITH TIE- ACSC COALITION Or CITIES Agreed to this 9 ° i day of January, 2008. ATNIOS ENERGY COR.P., Pvfl'D TEX: DIVISION r J - oludA. Paris President, Mid -Tex Division SETTLEMENT AGREEMENT STATEMENT OF INTENT FILED BY ATMOS ENERGY, CORP., MID -TEX DIVISION ON SEPTEMBER 20, 2007 Agreed to this 9 th day of January, 2008. ATTORNEY FOR ATMOS CITIES STEERING COMMITTEE, WHOSE MEMBERS INCLUDE THE CITIES OF ABILENE, ADDISON, ALLEN, ALVARADO, ANGUS, ANNA, ARGYLE, ARLINGTON, BEDFORD, BELLMEAD, BENBROOK, BEVERLY HILLS, BLUE RIDGE, BOWIE, BOYD, BRIDGEPORT, BROWNWOOD, BUFFALO, BURKBURNETT, BURLESON, CADDO MILLS, CARROLLTON, CEDAR HILL, CELESTE, CELINA, CISCO, CLEBURNE, CLYDE, COLLEGE STATION, COLLEYVILLE, COLORADO CITY, COMANCHE, COOLIDGE, COPPELL, CORINTH, CORRAL CITY, CRANDALL, CROWLEY, DALWORTHINGTON GARDENS, DENISON, DESOTO, DUNCANVILLE, EASTLAND, EDGECLIFF VILLAGE, EMORY, ENNIS, EULESS, EVERMAN, FAIRVIEW, FARMERS BRANCH, FARMERSVILLE, FATE, FLOWER MOUND, FOREST HILL, FORT WORTH, FRISCO, FROST, GAINESVILLE, GARLAND, GARRETT, GRAND PRAIRIE, GRAPEVINE, HALTOM CITY, HARKER HEIGHTS, HASKELL, HASLET, HEATH, HEWITT, HIGHLAND PARK, HIGHLAND VILLAGE, HONEY GROVE, HURST, IOWA PARK, IRVING, JUSTIN, KAUFMAN, KEENE, KELLER, KEMP, KENNEDALE, KERRVILLE, KILLEEN, KRUM, LAKESIDE, LAKE WORTH, LANCASTER, LEWISVIL-LE, LINCOLN PARK, LITTLE ELM, MALAKOFF, MANSFIELD, MCKINNEY, MELISSA, MESQUITE, MIDLOTHIAN, MURPHY, NEWARK, NOCONA, NORTH RICHLAND HILLS, NORTHLAKE, OAK LEAF, OVILLA, PALESTINE, PANTEGO, PARIS, PARKER, PECAN HILL, PLANO, PONDER, POTTSBORO, PROSPER, PUTNAM, QUITMAN, RED OAK, RENO (PARKER COUNTY), RICHARDSON, RICHLAND HILLS, ROANOKE, ROBINSON, ROCKWALL, ROSCOE, ROWLETT, SACHSE, SAGINAW, SEAGOVILLE, SHERMAN, SNYDER, SOUTHLAKE, SPRINGTOWN, STAMFORD, STEPHENVILLE, SULPHUR SPRINGS, SWEETWATER, TEMPLE, TERRELL, THE COLONY, THROCKMORTON, TYLER, UNIVERSITY PARK, VENUS, VERNON, WACO, WATAUGA, WAXAHACHIE, WESTLAKE, WESTWORTH VILLAGE, WHITESBORO, WHITE SETTLEMENT, WICHITA FALLS, WOODWAY, AND WYLIE. By: R , Geoffrey ay 0 EXHIBIT A MID-TEX DIVISION. 1. UTILITY OPERATIONS It. CITIES AND COUNTIES j DEFINITIONS 'V. GAS SERVICE RATES s> RIDERZ Rate R - Residential Sales Rate C - Commercial Sales Rate I - Industrial Sales Rate T - Transportation Rider CT — Competitive Transport Rider GCR - Gas Cost Recovery Rider FF - Franchise Fee Adjustment Rider SUR — Surcharges Rate LEP — Line Extension Policy Rate M - Miscellaneous Charges Rider RA - Retention Adjustment Rider TAX - Tax Adjustment Rider WNA —Weather Normalization Adjustment Rider RRM — Rate Review Mechanism Rider CEE — Conservation and Energy Efficiency V. SERVICE RULES AND REGULATIONS 10 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., lall Rate R - Residential Sales APPLICABLE T®: I Entire System I RATE I ON: EFFECTIVE DATE: February 1, 2 000 Application Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured through one meter. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Mcf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Bill $10.69 per month Commodity Charge — All Mcf $1.2710 per Mcf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated In accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Plus or Minus an amount for weather normalization calculated in accordance with Rider WNA. Rate Review Mechanism: Plus or Minus an amount for rates as calculated in accordance with Rider RRM, Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX, Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. 11 EXHIBIT A TARIFF FOR GAS SERVICE ATMCS ENERGY CORP., MID -TEX DIVISION Application Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured through one meter and to Industrial Customers with an average annual usage of less than 3,000 Mcf. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Mcf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Bill $ 20.28 per month Commodity Charge - All Mcf $ 0.7104 per Mcf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Pius or Minus. an amount for weather normalization calculated in accordance with Rider WNA, Rate Review Mechanism: Plus or Minus an amount for rates as calculated in accordance with Rider RRM. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. i EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., J1IIp1Sr oil a]ITI N[6)i' Application Applicable to Industrial Customers with a maximum daily usage (MDU) of less than 3,500 MMBtu per day for all natural gas provided at one Point of Delivery and measured through one meter. Service for Industrial Customers with an MDU equal to or greater than 3,500 MMBtu per day will be provided at Company's sole option and will require special contract arrangements between Company and Customer. Type. of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Meter $ 344.75 per month First 0 MMBtu to 1,500 MMBtu $ 0.2200 per MMBtu Next 3,500 MMBtu $ 0.1600 per MMBtu All MMBtu over 5,000 MMBtu $ 0.0493 per MMBtu Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Rate Review Mechanism: Plus or Minus an amount for rates as calculated in accordance with Rider RRM. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Curtailment Overpull Fee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." 13 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION Replacement index In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table entitled °Daily Price Surrey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. Special Conditions In order to receive service under Rate I, Customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. 14 EXHIBIT A TARIFF FOR GAS SERVICE ATM ®S ENERGY CORP., MID-T DIVISION , Application Applicable, in the event that Company has entered into a Transportation Agreement, to a customer directly connected to the Atmos Energy Corp., Mid -Tex Division Distribution System (Customer) for the transportation of all natural gas supplied by Customer or Customer's agent at one Point of Delivery for use in Customer's facility. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts and quantities due under the riders listed below: Charge Amount Customer Charge per Meter $ 344.75 per month First 0 MMBtu to 1,500 MMBtu $ 0.2200 per MMBtu Next 3,500 MMBtu $ 0.1600 per MMBtu All MMBtu over 5,000 MMBtu $ 0.0493 per MMBtu Upstream Transportation Cost Recovery: Plus an amount for upstream transportation costs in accordance with Part (b) of Rider GCR. Rate Review Mechanism: Plus or Minus an amount for rates as calculated in accordance with Rider RRM. Retention Adjustment: Pius a quantity of gas as calculated in accordance with Rider RA. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Tax Adjustment: Pius an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Imbalance Fees All fees charged to Customer under this Rate Schedule will be charged based on the quantities determined under the applicable Transportation Agreement and quantities will not be aggregated for any Customer with multiple Transportation Agreements for the purposes of such fees. Monthly Imbalance Fees Customer shall pay Company the greater of (i) $0.10 per MMBtu, or (ii) 150% of the difference per MMBtu between the highest and lowest "midpoint" price for the Katy point listed in Platts Gas Daily in the table entitled "Daily Price Survey" during such month, for the MMBtu of Customer's monthly Cumulative 15 EXHIBIT TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., ili l I OW W1411 01 [r/ M M i! Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds 10% of Customer's receipt quantities for the month. Curtailment Overpull Fee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed In Platts Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." Replacement Index In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. Agreement A transportation agreement is required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. Special Conditions In order to receive service under Rate T, customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. 16 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., . - Applicable to Rate R, Rate C, and Rate i for all gas sales made by Company, and applicable to Rate R, Rate C, Rate I, and Rate T for recovery of Pipeline System costs. The total gas cost recovery amount due is determined by adding the gas cost calculated in Section (a) below and the pipeline cost calculated in Section (b) below. The amount due for gas cost (Section (a)) is determined by multiplying the Gas Cost Recovery Factor (GCRF) by the Customer's monthly volume. For Customers receiving service under Rate R and Rate C, monthly volume will be calculated on an Mcf basis. For Customers receiving service under Rate I, monthly volume will be calculated on an MMBtu basis and the quantities will be adjusted as necessary to recover actual costs. The amount due for pipeline cost (Section (b)) is determined by multiplying the Pipeline Cost Factor (PCF) by the Customer's monthly volume. For Customers receiving service under Rate R and Rate C, monthly volume will be calculated on an Mcf basis. For Customers receiving service under Rate 1 and Rate T, monthly volume will be °calculated on an MMBtu basis and the quantities will be adjusted as necessary to recover actual costs. (a) Gas Cost Method of Calculation The monthly gas cost adjustment is calculated by the application of a Gas Cost Recovery Factor (GCRF), as determined with the following formula: GCRF = Estimated Gas Cost Factor (EGCF) + Reconciliation Factor (RF) + Taxes (TXS) + Adjustments (ADJ) EGCF = Estimated cost of gas, including lost and unaccounted for gas attributed to residential, commercial, and industrial sales, and any reconciliation balance of unrecovered gas costs, divided by the estimated total residential, commercial, and industrial sales. RF = Calculated by dividing the difference between the Actual Gas Cost Incurred, inclusive of interest, over the preceding twelve -month period ended June 30 and the Actual Gas Cost Billed over that same twelve -month period by the estimated total residential, commercial, and industrial sales for the succeeding October through June billing months. Actual Gas Cost Incurred = The sum of the costs booked in Atmos Energy Corp., Mid -Tex Division account numbers Soo through 813 and 858 of the NARUC Uniform System of Accounts, including the net impact of injecting and withdrawing gas from storage. Also includes a credit or debit for any out -of- period adjustments or unusual or nonrecurring costs typically considered gas costs and a credit for amounts received as Imbalance Fees or Curtailment Overpull Fees. Actual Gas Cost Billed = EGCF multiplied by the monthly volumes billed to Residential, Commercial and Industrial Sales customers, less the total amount of gas cost determined to have been uncollectible and written off which remain unpaid for each month of the reconciliation period. 17 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., WIC MIare Entire System EFFECTIVE ®ATE: I I PAGE: 3 OF 3 I October 1, 2000 The Pipeline Cost to be billed Is determined by multiplying the Mcf or MMBtu used by the appropriate PCF. The Pipeline Cost is determined to the nearest whole cent. 19 EXHIBIT A TARIFF FOR GAS SERVICE ATMQS ENERGY CORP., MID -TEX DIVISION y DATE: Rider WNA — Weather Normalization Adjustment APPLICABLE TO: Entire System REVISION: EFFECTIVE DATE: I I PAGE: 1 OF 3 November 1, 2008 ER WNA r Weather Normahzation Adjustment Provisions for A4justment The base rate per Mcf (1,000,000 Btu) for gas service set forth in any Rate Schedules utilized by the cities of the Mid -Tex Division service area for determining normalized winter period revenues shall be adjusted by an amount hereinafter described, which amount.is referred to as the "Weather Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature sensitive residential, and commercial bills based on meters read during the revenue months of November through April. Computation of Weather Normalization Adjustment The Weather Normalization Adjustment Factor shall be computed to the nearest one - hundredth cent per Mcf by the following formula: (HSFi x (NDD -ADD) ) WNAFi — Ri (BLi + (HSFi x ADD) ) Where i = any particular Rate Schedule or billing classification within any such particular Rate Schedule that contains more than one billing classification WNAFi = Weather Normalization Adjustment Factor for the ith rate schedule or classification expressed in cents per Mcf Ri = base rate of temperature sensitive sales for the A schedule or classification approved by the entity exercising original jurisdiction. HSFi = heat sensitive factor for the ith schedule or classification calculated as the slope of the linear regression of average sales per bill (Mcf) and actual heating degree days by month for the test year by schedule or classification acrd weather station as part of the RRM filing. NDD = billing cycle normal heating degree days calculated as the simple ten -year average of actual heating degree days. ADD = billing cycle actual heating degree days. Bli = base load sales for the ith schedule or classification calculated as the y- intercept of the linear regression of average sales per bill (Mcf) and actual heating degree days by month for the test year by schedule or classification 20 111T71 "[i7f .. Rider APPLICABLE TO: Entire System REVISION: I DATE: EFFECTIVE November 1 �200>3� ( � PAGE: 2 ®F 3 and weather station as part of the RRM filing. The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as: WNAi = WNAFi x qij Where qi; is the relevant sales quantity for the jth customer in ith rate schedule. Filings with Entities Exercising Original Jurisdiction As part of its annual RRM filing the Company will file (a) a copy of each computation of the Weather Normalization Adjustment Factor, (b) a schedule showing the effective date of each such Weather Normalization Adjustment, (c) a schedule showing the factors of values used in calculating such Weather Normalization Adjustment and (d) a random sample and audit of thirty (30) actual customer bills, with customer information deleted, for each rate schedule or classification to which the WNA was applied in the preceding 12 month period. To the extent that source data is needed to audit the WNA application, such data will be provided by the Company as part of the annual RRM filing. If the RRM is discontinued, as provided in the Rider RRM tariff, the information required herein to be filed with the entities exercising original jurisdiction shall be filed on March 1 of each year. Base Use/Heat Sensitivity (HSF)Factors Residential Commercial Base use HSF Base use HSF Weather Station Mcf Mcf/HDD Mcf - McQQQ Abilene 1.14 .0131 8.11 .0631 Austin 1.31 .0136 18.05 .0669 Dallas 1.57 .0185 18.08 .0925 Waco 1.20 .0138 10.97 .0606 Wichita Falls 1.27 .0147 11.58 .0581 21 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TX DIVISION Sample WNAF Calculation: (.0131 x (30 -17) ) .1533 per Mcf = 1.2267 x (1.14 + (.0131 x 17) ) Where i = Ri — HSFi - NDD — ADD — Bli = Residential Single Block Rate Schedule 1.2267 per MCF (Rate R - Final Order GUD No. 9670) .0131 (Residential -Abilene Area) 30 HDD (Simple ten -year average of Actual HDD for Abilene Area — 9/15/06 — 10/14/06) 17 HDD (Actual HDD for Abilene Area — 9/15/06 — 10/14/06) 1,14 Mcf (Residential - Abilene Area) EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 1 of S February 1, 2008 Pu ose: This mechanism is designed to provide annual earnings transparency. If, through the implementation of the provisions of this mechanism, it is determined that rates should be decreased or increased, then rates will be adjusted accordingly in the manner set forth herein. The rate adjustments implemented under this mechanism will reflect annual changes in the Company's cost of service and rate base. This adjustment will be authorized for an Initial Implementation Period. With the conclusion of the final rate adjustment, if any, for the Initial Implementation Period, each entity having original jurisdiction may revoke, amend, or approve Subsequent implementation Period(s) for, the mechanism. Definitions a) The Annual ]Evaluation Date shall be the date the Company will make its annual filing under this mechanism. The Annual Evaluation Date shall be no later than March 1, of each year. This filing shall be effective in electronic form where practicable. The initial filing shall be made March 31, 2008. b) Audited Financial Data shall mean the Company's books and records related to the Company's Mid - Tex operating area and shared services operations. Audited Financial Data shall not require the schedules and information provided under this tariff to undergo a separate financial audit by an outside auditing fm similar to the Company's annual financial audit. c) The Evaluation Period is defined as the twelve month period ending December 31, of each calendar year. The initial Evaluation Period shall be calendar year 2007. d) The Rate Effective Period is defined as the earlier of the twelve month period for which rates determined under this mechanism will be in effect or subsequent rates are implemented. e) Per Connection Basis is defined as the average number of connections during the Evaluation Period. f) Initial Implementation Period is defined as the three (3) year period commencing with the Company's filing under this mechanism for the calendar year 2007, effective October 1, 2008, and shall conclude with the implementation of rate adjustments, if any, for the third Rate Effective Period. g) Subsequent Implementation Period is defined as any three (3) year period after the conclusion of the Initial Implementation Period. h) Final Order is defined as the most recent order establishing the Company's latest effective rates for the area in which the mechanism is implemented, and shall include municipal rate ordinances and resolutions. Rate Review Mechanism The Company shall file with each regulatory authority having original jurisdiction over the Company's rates the schedules specified below for the Evaluation Period, with the filing to be made by the Annual FN EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 3 of 5 February 1, 2008 however, that neither the Residential nor the Commercial customer charges may increase more than 20% per year. b) If Company's earnings during the Evaluation Period exceed 9.6% return on common equity, the Company shall calculate an adjustment to rates to refund the revenue required to achieve a return on equity of 9.6% for the Evaluation Period. If Company's earnings during the Evaluation Period are below 9.6% return on common equity, the Company shall calculate an adjustment in rates to collect the additional revenue required to increase its return on equity for the Evaluation Period to 9.6 %. The Company will calculate an adjustment for the Rate Effective Period to refund or collect this difference. c) The Company will adjust rates for the Rate Effective Period to include recovery of any known and measurable changes to operating and maintenance costs including, but not limited to, all payroll and compensation expense, all benefit expense, all pension expense, insurance costs, materials and supplies, bad debt costs, all medical expense, transportation and building and lease costs for the Rate Effective Period. Additionally, utility plant for the Rate Effective Period will be established by using the Evaluation Period ending balances, including associated changes in depreciation and amortization expense and taxes. In calculating the Company's known and measurable changes for prospective RRM adjustment purposes, the following limitations will apply, on a Per Connection Basis, 1. Operating and Maintenance expenses for the Rate Effective Period, cannot increase more than 5% per connection per year without specific identification and justification. The beginning Operation and Maintenance expense for the 2007 RRM filing (the initial filing) will be $161 million. 2. Net plant investment for the Rate Effective Period cannot increase more than 5% per connection per year without specific identification. However, in performing a cap test to verify compliance, Company shall exclude any changes in net plant investment associated with federal, state, or local mandates related to safety, compliance, or road moves. d) The Company also shall provide a schedule demonstrating the "proof of revenues" relied upon to calculate the proposed rate for the Rate Effective Period. The proposed rates shall conform as closely as is practicable to the revenue allocation principles approved in the Final Order. Attestation A sworn statement shall be filed by the Company's Chief Officer in Charge of Mid -Tex Operations affirming that the fled schedules are in compliance with the provisions of this mechanism and are true and correct to the best of his/her knowledge, information and belief. No testimony shall be filed. RN EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: Rider RRM — Rate Review Mechanism APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 4 of 5 February 1, 2008 Evaluation Procedures The regulatory authority having original jurisdiction over the Company's rates shall have ninety (90) days to review the Company's filed schedules. The Company will be prepared to provide supplemental information as may be requested to ensure adequate review by the relevant regulatory authority. The Company shall not unilaterally impose any limits upon the provision of supplemental information and such information shall be provided within ten (10) working days of the original request. The regulatory authority may propose any adjustments it determines to be required to bring the schedules into compliance with the above provisions. During and following the ninety (90) day review period and a thirty (30) day response period, the Company and the regulatory authority will work collaboratively and come to agreement on, the proposed adjustments to the Company's schedule and proposed rates. Once agreement has been reached by the Company and the regulatory authority, the regulatory authority shall authorize an increase or decrease to the Company's rates so as to achieve the revenue levels indicated for both the Evaluation Period and Rate Effective Period. If, at the end of the thirty (30) day response period, the Company and the regulatory authority have not reached agreement on the proposed adjustments, the Company shall have the right to appeal the regulatory authority's action or inaction to the Railroad Commission of Texas. Upon the filing of any appeal, the Company shall have the right to implement the proposed RRM rate adjustment, subject to refund. If approved by the entity exercising original jurisdiction, the rates established pursuant to the Rate Review Mechanism for the first Rate Effective Period shall be effective on October 1, 2008. Thereafter, rates established pursuant to the Rate Review Mechanism for subsequent Rate Effective Periods, if approved as provided herein, shall be effective on July 15 of each year. Reconsideration and Appeal Orders issued pursuant to this mechanism are ratemaking orders and shall be subject to appeal under Sections 102.001(b) and 103.021, et seq., of the Texas Utilities Code (Vernon 2007). No ice Notice of the annual Rate Review Mechanism filing shall be provided to all affected customers of the Atmos Mid -Tex Division in accordance with the provisions of this section no later than forty-five (45) days after the Company makes its annual filing pursuant to this tariff. Company may provide notice either by mailing or otherwise delivering the notice with its billing statements. Notice by mail shall be presumed to be complete three days after the date of deposit of the paper upon which such notice is written, enclosed in a post -paid, properly addressed wrapper, in a post office or official depository under the care of the United States Postal Service. The notice to customers shall include the following information: a) a description of the proposed revision of rates and schedules; b) the effect the proposed revision of rates is expected to have on the rates applicable to each customer class and on an average bill for each affected customer; 26 EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: Rider RRM — Rate Review Mechanists APPLICABLE TO: Entire Mid -Tex Division REVISION DATE: EFFECTIVE DATE: PAGE: 5 of 5 February 1, 2008 c) the service area or areas in which the proposed rate adjustment would apply; d) the date the proposed rate adjustment was filed with the regulatory authority; and e) the Company's address, telephone number and website where information concerning the proposed rate adjustment may be obtained. FM' EXHIBIT A TARIFF FOR GAS SERVICE ATMOS ENERGY CORP., MID -TEX DIVISION RIDER: I Rider CEE — Conservation & Energy Efficiency , !�PPLICABLE TO: J Entire System I February 7 ®OI3 I I PAGE :1 ®F 1 Purpose Atmos Energy Mid -Tex is proposing to institute a complete Conservation & Energy Efficiency program which will offer assistance to qualified customer segments in reducing energy consumption and lowering energy utility bills. The proposal is one where Atmos Energy shareholders will fund a percentage of the allowable expenses incurred annually, with a customer rate component providing the remainder of the funding. Following is a high - level, concept summary of the proposal. Atmos Energy Mid -Tex Division proposes to work with the communities it serves to develop the details of a new tariff and programs addressing conservation and energy efficiency. Svn oDsls: Voucher system to provide free energy savings materials and supplies to qualifying customers of Atmos Mid -Tex. Qualified Customers will receive up to two hundred dollars ($200.00) worth of caulking, weather - stripping, sheathing, sealing, water heater blankets, and like materials, other energy saving devices such as clock- thermostats, set -back devices ( "covered items ") from approved suppliers / retailers. Company will undertake efforts to enlist support from community groups, including its own Employee Action Program, to assist customers with installation. If it is determined that professional installation capabilities are necessary, the parties will agree on labor assistance amounts. Low Income — Low - income rate - payers that qualify for heating bill assistance through LIHEAP agencies and all agencies that distribute Atmos "Share the Warmth" funds. Agencies that allocate assistance funds denote customer as Low Income, a status that lasts for one year. Senior Citizen — Primary account holder can request eligibility through ATM call center or web -site. Customer provides primary SSN which is verified through Social Security Administration. And account holder that is or turns 66 years old in that year becomes eligible. Funding Initial program funding will be at two million dollars ($2,000,000). Atmos Energy shareholders will contribute one million dollars ($1,000,000.00) to this initiative annually with ratepayers providing one million dollars ($1,000,000.00) per year. It is proposed that the program operate on an October 1 through September 30 year, with benefits being capped at the two million dollar level for the initial program period. A third -party administrator will coordinate qualification of customers, voucher distribution, subsequent verification and reimbursement of eligible expenditures and general program administration. Program administration expenses will be funded from the annual approved budget. Program audits will be conducted and the results provided to any interested party within 120 days of the end of each program year to determine effectiveness. KJ ii Si 9t tl P, ME O O O �V_ O P geg O Q O O Q SH . Ooo aide 0 6606 nlo® ON I P-100 CY) 0� M M U9 N tn un rcV M�YU ®a r��r��CV h1 NN N NN N ED E 0 N z° LU A Z IL ®d w w �N o Q k T IE 16 30 m d g t' .z m 0 co LO Q V) Ln 0) �- to en r N r W M w d ar f�v to p N .°(V Md'u>tflh.406)p - "—I V- — — � 04NNN to CL W 69 w N 0) (D a "'MIn kq h OD If9 07 E9' 69 (�699J OD IDO M M to (Oil a N (A X r M M1 W m 7 1? N N d a s 30 m d g t' .z m C Q p O tJ ® QG h ar .°(V Md'u>tflh.406)p - "—I V- — — � 04NNN 30 ATMOS ENERGY CORP., - DIVISION TEST YEAR ENDING JUNE 2. 2007 Line Description 'Total Reference (a) (b) (c) 1 2 3 4 5 6 7 8 9 ,10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Rate Charactieristips: Customer Charge $10.69 CCs Consumption Charge ($ /Mcf) $1.2710 CCs Rider GCR Part A $7.5520 Schedule H Rider GCR Part B $0.5990 Schedule I Billing Units (1): Bills 17,144,647 WID J -1.1 Total MCF 76,798,906 WP J -1.1 Customer Charge Consumption Charge Base Revenue Rider GCR Part A Rider GCR Part B Subtotal Revenue Related Taxes Total Proposed Revenue- Rate R $ 959,565,779 Note 1: See Billing Determinants Study for details. 91 i ' MO ATMOS ENERGY CORP., l- •-t SUMMARY PROOF OF REVENUE AT PROPOSED RAT TEST YEAR ENDING JUNE 30 .. 0 0 7.77 Line Description 1 Rate Characteristics: 2 Customer Charge $20.28 CCs 3 4 Consumption Charge ($ /Mcf) $0.7104 Ccs 5 6 'Rider GCR Part A $7.5520 schedule H 7 Rider GCR Part B $0.5001 schedule I 8 9 )3iiling Units a 10 Bills 1,471,279 WP J -1.2 11 Total MCP 49,665,131 WPJ -1.2 12 13 PLeseat l3evenue. 14. Customer Charge $ 29,837,538 15 Consumption Charge 35,282,109 16 Base Revenue $ 65,119,647 17 Rider GCR Part A 375,072,987 18 Rider GCR Part B 24,837,930 19 Subtotal $ 465,030,564 20 Revenue Related Taxes 27,016,551 21 22 Total Proposed Revenue® Rate C $ 492,047,115 23 24 Note 1: See Billing Determinants Study for details. KN WP J -4 Page 21 3 AT OB ENERGY CORP., MID -TEX DIVISION SUMMARY PROOF OF REVENUE AT PROPOSED RATES TEST YEAR ENDING JUNE 30, 2007 Line Description Total Reference (a) (b) (c) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 Rate Characteristics: 11,542 WP d-1.3 Customer Charge $344.75 CCs Block 1 ($ /MMBTU) $0.2200 CCs Block 2 ($ /MMBTU) $0.1600 CCs Block 3 ($ /MMBTU) $0.0493 CCs Rider OCR Part A $7.5520 Schedule H Rider OCR Part B $0.2804 schedule I Consumption Characteristics: Block 1 (First 1,500 MMBTU) 0.21691 (1) Block 2 (Next 3,500 MMBTU) 0.24651 (1) Block 3 (Over 5,000 MMBTU) 0.53657 (1) Billing Units (1): Bills 11,542 WP d-1.3 Block 1 9,694,939 WP _J-1.3 Block 2 11,018,084 WP — J-i,3 Block 3 23 WPJ -1.3 Total MMBTU 44,695,465 Sales Volumes 2,858,579 WPJ -13 Customer Charge Block 1 Block 2 Base odder OCR Part A A to !S Part } Subtotal Total Proposed Revenue- Rate I &T r $ 45,152,563 Note 1: See Billing Determinants Study for details. Date: February 14, 2008 Agenda Item No: VII. - f Subject: Ordinance approving a Street Light Tariff revision regarding the closing of the installation of new mercury vapor ballasts and /or fixtures after January 1, 2008 Originated by: Bob Hart Summary: Oncor Electric Delivery provided notice that on December 11, 2007, a tariff revision was filed with the Public Utility Commission to close new mercury vapor street light installations and implement a plan to replace mercury vapor fixtures when the fixture and /or ballast must be changed. The PUC has since approved this tariff and Oncor must now seek approval of the proposed tariff from cities that have retained their original jurisdiction Recommendation: I recommend the approval of this Ordinance CADocuments and Settings\ cbrown \mydocuments\samplestaffreport ORDINANCE NO. 388 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF KENNEDALE APPROVING THE PETITION OF ONCOR ELECTRIC DELIVERY COMPANY LLC TO MODIFY ITS LIGHTING SERVICE TARIFF PURSUANT TO THE ENERGY POLICY ACT OF 2005. WHEREAS, the Energy Policy Act of 2005 specified that mercury vapor lamp ballasts shall not be manufactured or imported after January 1, 2008; and WHEREAS, the city has reviewed the Petition of Oncor Electric Delivery Company LLC ( Oncor) To modify its Lighting Service Tarriff Pursuant to the Energy Policy Act of 2005; and WHEREAS, the City finds that Oncor's proposal to close its tariffs for new mercury vapor installations effective March 1, 2008, and implement a plan to replace mercury vapor fixtures with high pressure sodium fixtures when the fixture and /or ballast must be changed is consistent with the Energy Policy Act of 2005; and WHEREAS, the City finds that Oncor's proposed replacement chart for existing mercury vapor installations is reasonable and should be approved as requested; NOW THEREFORE, BE IT ORDAINED, BY THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS: Section 1. The City hereby approves the Petition of Oncor Electric Delivery Company LLC to Modify its Lighting Service Tariff Pursuant to the Energy Policy Act of 2005, and Section 2. Oncor Tariff Section 6.1.1.6 — Lighting Service, as attached to this Ordinance, is hereby approved, effective March 1, 2008 and Section 3. That a copy of this Ordinance shall be sent to Oncor, care of Debra Anderson, 1601 Bryan, Suite 23 -055C, Dallas, Texas 75201 DULY PASSED by the City Council of the City of Kennedale, Texas on the 14th day of February 2008. APPROVED: Mayor, Bryan Lankhorst ATTEST: Kathy Turner, City Secretary APPROVED AS TO FORM: Wayne K. Olson, City Attorney PETITION OF ONCOR ELECTRIC DELIVERY COMPANY LLC TO MODIFY LIGHTING SERVICE TARIFF PURSUANT TO THE ENERGY POLICY ACT OF 2005 TO THE HONORABLE GOVERNING BODY OF EACH MUNICIPALITY WITH ORIGINAL JURISDICTION OVER THE RATES OF ONCOR ELECTRIC DELIVERY COMPANY LLC: NOW COMES Oncor Electric Delivery Company LLC ( "Oncor ") and files this request to: 1) close its lighting service tariff to new mercury vapor installations effective March 1, 2008, for street lighting and outdoor lighting service; and 2) implement a plan to replace mercury vapor ballasts and fixtures with high pressure sodium units when the fixture and/or ballast must be changed, and in support thereof would respectfully show as follows: I. BACKGROUND The energy conservation standards that the U.S. Congress prescribed in the Energy Policy Act of 2005 ( "EPACT 2005 ") specify that mercury vapor lamp ballasts shall not be manufactured or imported after January 1, 2008. Because of this ban on mercury vapor ballasts effective January 1, 2008, Oncor proposes to: 1) close its tariffs for new mercury vapor installations effective March 1, 2008; and 2) implement a plan to replace mercury vapor fixtures with high pressure sodium fixtures when the fixture and/or ballast must be changed. The relevant portion of the tariff which Oncor proposes to modify in this proceeding is found at Section 6.1.1.6 — Lighting Service. Oncor would note that the proposed changes apply both to Street Lighting Service (Sheet 6, pages 1 -5), and Outdoor Lighting Service (Sheet 6, pages 6 -7), and a copy of the proposed tariff sheets are included as Attachment A. Although the Outdoor Lighting Service offering is already closed to new customers, that portion of the tariff will also be modified to set out the replacement chart for existing mercury vapor installations. The replacement chart for the street lighting service and outdoor lighting service is identical, as follows: 1 Existing Mercury Vapor Lighting: Sodium Vapor Replacement: Wattage Lumens kWh Wattage Lumens kWh 175 7,900 70 100 9,500 40 400 21,000 150 200 22,000 80 or 100* 9,500 40 or 150* 16,000 70 or 250* 27,500 100 1,000 63,000 370 400 50,000 160 Or 1,000 * 140,000 375 * - Available as a replacement upon customer request. The replacement of mercury vapor ballasts and fixtures to sodium vapor will be done at no cost. Oncor would note that if a street lighting customer desires to replace the mercury vapor fixture or ballast with a metal halide fixture or ballast, the customer may do so by paying the additional cost, consistent with the "Conversion or Replacement of Existing Facilities" portion of the Street Lighting Tariff. 1 Replacement by Oncor of burned -out mercury vapor bulbs in service under its outdoor light service will continue, as bulbs — as compared to ballasts and fixtures — are not restricted under EPACT 2005 and will remain available. However, on or after March 1, 2008, when mercury vapor fixtures or ballasts must be replaced, the fixtures or ballasts will be replaced with high pressure sodium equipment as set out in the conversion chart (or metal halide if requested by a street lighting customer and upon payment of any additional costs), or customers may elect to cancel service at no cost. II. REQUEST FOR APPROVAL With respect to this Petition, Oncor would note that: (1) it would not change the revenues received by Oncor for an existing service; (2) it would not allow Oncor to begin charging for a service previously available but for which there was not a separate charge; (3) it would not immediately eliminate an existing service to which one or more customers actually subscribe, and would provide alternative fixtures when mercury vapor ballasts and /or fixtures need to be replaced; and (4) it would not increase a customer's bill even though the rate for a particular service is not being changed, because as shown by a comparison of mercury vapor kWh consumption and lumens with the high pressure sodium consumption and lumens, the replacement fixtures produce more lumens per kWh and are therefore more energy efficient. 1 This option is not available for Outdoor Lighting Service customers. 2 As stated in Section I, above, and consistent with Section 36.102 of the Public Utility Regulatory Act, Tex, Util. Code Title 2 (Vernon 2007), Oncor proposes an effective date of March 1, 2008, which is more than 35 days after the date of this filing. Approval of the requested tariff may take place using one of two options: (1) by formal action approving the tariff, or (2) by taking no action by March 1, 2008, at which point the proposed tariffs will go into effect by operation of law. III. NOTICE Oncor has previously provided notice to all of the cities and retail electric providers within its certificated service area of a similar filing with the Public Utility Commission of Texas, and in that notice stated that it would be filing an identical request with its municipalities that retain original jurisdiction over Oncor. A copy of the notice previously given is included as Attachment B. IV. PRAYER WHEREFORE, PREMISES CONSIDERED, Oncor requests that the tariff sheets contained in Attachment A be approved, effective March 1, 2008, either by formal approval or by taking no action and letting the tariffs go into effect by operation of law. Respectfully submitted, Oncor Electric Delivery Company LLC By: Howard V. Fisher State Bar No. 07051500 Senior Counsel Oncor Electric Delivery Company LLC 1601 Bryan Street, Suite 23 -035C Dallas, Texas 75201 Telephone: (214) 486 -3026 Facsimile: (214) 486 -3221 Kl ATTACHMENT A Proposed Revised Tariff Section 6.1.1.6 Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 1 of 7 Effective Date: March 1, 2008 Revision: Two Street Lighting Service AVAILABILITY Applicable to Competitive Retailer for street lighting, pedestrian walkway lighting, and overhead sign lighting service to governmental entities in areas served by Company. Overhead sign lighting is available only under the provisions of Schedule D of the Monthly Rate - Unmetered Facilities or the Monthly Rate - Metered Facilities - Non - Company -Owned provisions. TYPE OF SERVICE Single or three phase, 60 hertz, at any of the Company's standard secondary or primary service voltages as required by Competitive Retailer. Where existing distribution facilities are not adjacent to the point of delivery, additional charges and special contract arrangements may be required prior to its being furnished. If service is provided at primary voltage, Company may at its option meter service on the secondary side of the governmental entity's transformers and adjust for transformer losses in accordance with Company's Tariff for Retail Delivery Service. MONTHLY RATE 1. Unmetered Facilites Points of Delivery (POD) Charge: $22.50 per governmental entity served by the Competitive Retailer. Lamp Watts Lumens KWh Schedule Rect- angular Post -Top A B c D Mercury Vapor (See Note 1) 175 7,900 70 $ 7.35 $15.15 $ 3.35 $ 2.25 $18.65 $12.00 400 21,000 150 $11.25 $18.10 $ 6.65 $ 5.15 N.A. N.A. 1,000 63,000 370 $25.00 $33.05 $17.70 $12.75 N.A. N.A. Sodium Vapor 100 9,500 40 $ 6.90 $14.25 $ 2.75 $ 1.40 $18.85 $11.20 150 16,000 70 $ 8.50 $15.65 $ 4.15 $ 2.30 $23.45 N.A. 200 22,000 80 $ 9.45 $16.35 $ 4.60 $ 2.75 $23.85 N.A. 250 27,500 100 $ 9.90 $17.00 $ 5.30 $ 3.45 $24.30 N.A. 400 50,000 160 $14.25 $23.45 $ 8.50 $ 5.30 $35.45 N.A. 1,000 140,000 375 $27.35 $36.60 $19.30 $12.90 $48.00 N.A. Metal Halide 175 14,000 65 $ 9.20 $16.80 $ 5.05 $ 2.10 $20.90 $16.60 250 25,000 100 $11.75 $20.25 $ 6.70 $ 3.70 $30.40 N.A. 400 36,000 160 $14.00 $23.70 j $ 8.50 $ 4.85 $39.80 N.A. 1,000 110,000 370 $26.45 $35.65 1 $18.85 $12.45 $48.55 N.A. Other Incandescent* All $ 6.90 Wallpack Mercury Vapor 250W $16.10 Fluorescent* $19.55 Historical $19.55 Note 1: Mercury Vapor options are closed to new installations. Company will continue to maintain existing Mercury Vapor installations and will, at Company's option, install a Metal Halide ballast in place of a failed Mercury Vapor ballast, As existing fixtures are damaged and must be replaced, Retail Customer will have the option to switch its service to the lamp type as specified in Mercury Vapor Fixture Replacement Schedule below or to cancel service at no cost. * Closed to new street lighting installations Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 2 of 7 Effective Date: March 1, 2008 Revision: Two Distribution System Charge $ 0.0340 per kWh II. System Benefit Fund: $0.000655 per kWh, See Rider SBF III. Transition Charge: See Rider TC IV. Nuclear Decommissioning Charge: $0.000147 per kWh, See Rider NDC V. Transmission Cost Recovery Factor: Not Applicable VI. Excess Mitigation Credit: See Rider EMC VII. State Colleges and Universities Discount: See Rider SCUD VIII. Other Charges or Credits: Not Applicable MONTHLY RATE I. Metered Facilities — Non- Company Owned Applicable for distribution service supplied at one point of delivery and measured through one meter to Retail Customer owned, operated and maintained street and highway lighting, overhead sign lighting, and incidental safety lighting equipment which operates same hours as normal street lighting. Distribution Charges Amount Customer Charge $ 2.72 Meter Charge $10.78 Distribution System Charge $ 0.0340 per kWh II. System Benefit Fund: $0.000655 III. Transition Charge: See Rider TC IV. Nuclear Decommissioning Charge: $0.000147 V. Transmission Cost Recovery Factor: Not Applicable VI. Excess Mitigation Credit: See Rider EMC VII. State Colleges and Universities Discount: See Rider SCUD VIII. Competitive Metering Credit: See Rider CMC IX. Other Charges or Credits: Not Applicable per kWh, See Rider SBF per kWh, See Rider NDC I. Metered Facilities - Company -Owned (Closed to new installations) Distribution Charges Amount Customer Charge $ 2.55 Meter Charge $19.95 Distribution System Charge $ 0.1195 per kWh II. System Benefit Fund: Ill. Transition Charge: IV. Nuclear Decommissioning Charge: V. Transmission Cost Recovery Factor: VI. Excess Mitigation Credit: $0.000655 See Rider TC $0.000147 Not Applicable See Rider EMC per kWh, See Rider SBF per kWh, See Rider NDC VII. State Colleges and Universities Discount: See Rider SCUD VIII. Competitive Metering Credit: See Rider CMC IX. Other Charges or Credits: Not Applicable MERCURY VAPOR FIXTURE REPLACEMENT SCHEDULE For Company -owned lights, when existing mercury vapor fixtures require replacement, Company will make such replacements with comparable high pressure sodium vapor lighting at no cost, as specified below: Existing Mercury Vapor Lighting : Wattage Lumens kWh Sodium Vapor Replacement: Wattage Lumens kWh 175 7,900 70 100 9,500 40 400 21,000 150 1 200 22,000 80 1,000 63,000 370 1 400 50,000 160 Upon replacement, Retail Customer will be billed at the applicable facilities charge and associated kWh usage for the sodium vapor replacement lighting. Upon request of the Retail Customer, Company will convert or replace existing mercury vapor lighting to street lighting options other than those indicated above, as stated in "CONVERSION OR REPLACEMENT OF EXISTING FACILITIES," below. Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 4 of 7 Effective Date: March 1, 2008 Revision: Two DEFINITIONS Schedule A applies to: Group 1 Company installed, owned, operated, and maintained street lights mounted on wood poles and served overhead. Group 2 Company installed, owned, operated, and maintained street lights mounted on wood, steel, or ornamental poles of a type normally used by Company, and served overhead or underground, and Retail Customer has contributed to Company an amount equivalent to the difference between the total installed cost of such street lighting and the total installed cost of an equivalent lighting system mounted on wood poles and served overhead. Schedule B applies to: Group 1 Company installed, owned, operated, and maintained street lights mounted on steel or other ornamental poles of a type normally used by Company and served overhead. If the number of steel and /or other ornamental poles exceeds the number of such poles on which lights are mounted, there will be an additional charge of $4.85 per month for each such excess pole. Where two street lights with lamps of the same size are mounted on the same steel and /or other ornamental pole, Schedule B applies to one of the lights and Schedule A to the other. Group 2 Company installed, owned, operated, and maintained street lights mounted on steel or other ornamental poles of a type normally used by Company and served underground, and Retail Customer has contributed to Company an amount equivalent to the difference between the total installed cost of the underground circuits serving the street lights and the total installed cost of overhead circuits. Where two street lights with lamps of the same size are mounted on the same steel and /or other ornamental pole, Schedule B applies to one of the lights and Schedule A to the other. Schedule C* applies to: Group 1 Street lights installed for the use of Retail Customer by Retail Customer or by a governmental subdivision. All equipment replacement and maintenance is performed by Retail Customer or the governmental subdivision. Company provides lamp replacement service only which includes lamp and labor (unless otherwise requested in writing by Retail Customer). Group 2 Company owned street lights mounted on steel or other ornamental poles of a type not normally used by Company, and Retail Customer has contributed to Company an amount equivalent to the entire construction cost of the street lighting facilities including luminaires and circuits. *Company operates all street lights under Schedule C (must be of a type suitable for use with the lamp sizes provided for herein) and makes all normal lamp replacements which includes lamp and labor at its expense. All other maintenance will be billed to Retail Customer on the basis of actual costs including appropriate overhead expenses. Schedule D applies to: Retail Customer operated and maintained street lights and overhead sign lights or where such lights are installed by a governmental subdivision for the use of Retail Customer, and Company supplies distribution service to Retail Customer for the operation of the street lights or overhead sign lights. Rectangular, Post-Top and Historical apply to: Company installed, owned, operated, and maintained street lights mounted on steel or other ornamental poles of a type normally used by Company and served either overhead or underground. Pedestrian Walkway Lighting : Pedestrian walkway lighting is used to illuminate sidewalks along municipally -owned streets and roads and within municipally -owned parks and recreational areas. Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 5 of 7 Effective Date: March 1, 2008 Revision: Two CONVERSION OR REPLACEMENT OF EXISTING FACILITIES Company will convert existing Company -owned facilities (size or type of luminaire) to a different Company- offered size or type of luminaire upon request of and payment by Retail Customer of an amount equal to the estimated cost of such conversion, including labor and materials, less the salvage value of the existing facilities. Company will replace existing lighting facilities upon request of and payment by Retail Customer of an amount equal to the estimated removal cost less salvage value of existing facilities. Installation of new facilities requested by Retail Customer will be performed pursuant to the appropriate Schedule and Group described above. SPECIAL CONDITIONS For billing purposes the monthly street lighting and overhead sign lighting burning hours are 333 hours per month and all connections and disconnections are assumed to have occurred at the beginning of the current month's billing period. Retail Customer -owned unmetered lamps other than those of the lamp sizes shown under Schedule D are billed under the metered rate and the amount of monthly energy is determined by multiplying the connected load (including ballast) by the number of burning hours. Company reserves the right to discontinue service at locations where excessive maintenance and /or lamp replacement occur, or Company may charge Retail Customer for such maintenance and /or lamp replacements. Company makes all connections and disconnections to its distribution system. AGREEMENT An Agreement for Delivery Service with a term of not less than ten years is required. NOTICE This rate schedule is subject to the Company's Tariff and Applicable Legal Authorities. Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 6 of 7 Effective Date: March 1, 2008 Revision: Two Outdoor Lighting Service (CLOSED) AVAILABILITY Applicable to Competitive Retailers for unmetered lighting service supplied exclusively to one or more existing outdoor lamps as specified below operating automatically from dusk to dawn. Not applicable to street lighting. MONTHLY RATE I. Unmetered Facilities Minrrl 1 inhfQ Type Watts kWh Lumens Facilities Charge Mercury Vapor (See Note 1) 175 70 7,900 $ 7.10 400 150 21,000 $10.85 Sodium Vapor 100 40 9,500 $ 6.75 200 80 22,000 $ 9.45 Note 1: Company will continue to maintain existing Mercury Vapor installations and will, at Company's option, install a Metal Halide ballast in place of a failed Mercury Vapor ballast. As existing fixtures are damaged and must be replaced, Retail Customer will have the option to switch its service to another lamp type as specified in Mercury Vapor Fixture Replacement Schedule below or cancel service at no cost. Type Watts kWh Lumens Facilities Charge Metal Halide 250 100 25,000 $12.55 VII. State Colleges and Universities Discount: 400 160 36,000 $15.10 Sodium Vapor 100 40 9,500 $ 9.10 250 100 27,000 $11.70 400 160 50,000 $14.95 II. System Benefit Fund: $0.000655 per kWh, See Rider SBF 111. Transition Charge: See Rider TC IV. Nuclear Decommissioning Charge: $0.000147 per kWh, See Rider NDC V. Transmission Cost Recovery Factor: Not Applicable VI. Excess Mitigation Credit: See Rider EMC VII. State Colleges and Universities Discount: See Rider SCUD VIII. Other Charges or Credits: Extra Spans: Plus $2.85 per span of secondary line installed hereunder in excess of one span per light. Tariff for Retail Delivery Service Oncor Electric Delivery Company LLC 6.1.1 Delivery System Charges Sheet: 6 Applicable: Areas Subject to Original Jurisdiction Page 7 of 7 Effective Date: March 1, 2008 Revision: Two MERCURY VAPOR FIXTURE REPLACEMENT SCHEDULE When existing mercury vapor fixtures require replacement, Company will make such replacements with comparable high pressure sodium vapor lighting at no cost as specified below: Existing Mercury Vapor Lighting : Wattage Lumens kWh Sodium Vapor Replacement: Wattage Lumens kWh 175 7,900 70 100 9,500 40 400 21,000 150 1 200 22,000 80 Upon replacement, Retail Customer will be billed at the applicable facilities charge and associated kWh usage for the sodium vapor replacement lighting. MAINTENANCE OF FACILITIES Company will maintain all facilities incidental to providing this service, including replacement of burned -out lamps. Company reserves the right to discontinue service at locations where excessive maintenance and /or lamp replacements are, in Company's sole judgment, likely to or actually do occur. REMOVAL OF EXISTING FACILITIES Except as specified above, Company will replace existing Company -owned luminaires with any of the outdoor lighting options above or remove the existing luminaire upon request of and payment by Retail Customer of $73.00 for each luminaire to cover the labor cost of removal and Company's average unamortized investment in the existing luminaire. This charge is applicable to all replacements whether or not an outdoor lighting service is active or inactive or a customer change has taken or is taking place. NOTICE This rate schedule is subject to the Company's Tariff and Applicable Legal Authorities. ATTACHMENT B Notice On December 11, 2007, Oncor Electric Delivery Company LLC ( "Oncor ") filed a Petition with the Public Utility Commission of Texas ( "PUC ") for administrative approval of modifications to its Lighting Service tariff, Section 6.1.1.6, for mercury vapor lighting fixtures to reflect the requirements of the Energy Policy Act of 2005 ( "BPACT 2005 "). That statute prohibits the manufacture and importation of mercury ballasts after January 1, 2008. Therefore, Oncor proposes to close its lighting service tariff to the installation of new mercury vapor ballasts and fixtures effective January 21, 2008. Further, existing mercury vapor fixtures that need to be replaced after January 21, 2008, will be replaced at no cost with high pressure sodium fixtures (or metal halide fixtures for street lighting customers, upon request and payment of any additional costs), or the customer can choose to discontinue service to that fixture at no cost. Oncor will continue to provide service to existing mercury vapor fixtures until the fixture needs to be replaced and Oncor will continue to replace mercury vapor bulbs on existing fixtures because the manufacture and importation of the bulbs (as opposed to ballasts) has not been prohibited by EPACT. Oncor is seeking administrative approval of its proposed tariff changes from the PUC. After the PUC completes its analysis, Oncor will ask its cities with original jurisdiction to approve the same tariffs approved by the PUC. The PUC has assigned Oncor's filing Tariff Filing No. 35103. Anyone who wishes to intervene, file comments, or obtain further information regarding this proceeding should contact the Public Utility Commission of Texas, P.O. Box 13326, Austin, Texas 78711 -3326, or call the Commission's Office of Consumer Protection at (512) 936 -7120 or (888) 782 8477. Hearing and speech- impaired individuals with the text telephones (TTY) may contact the Commission at (512) 936 -7136. Oncor maybe contacted about this filing by contacting Manuel A. Flores at telephone (214) 486- 3477, fax (214) 486 -2180, or E -mail: mfloresI cAoncor.com All To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: VII • - 9 Subject: Approval of Resolution No. 246, calling for a general election to be held on May 10, 2008, approving a joint election with Tarrant County; and establishing procedures for that election. Originated by: Kathy Turner, City Secretary Summary: Attached for council consideration is a resolution and draft contract with Tarrant County to call for a General Election to be held May 10, 2008, enter into a joint election with Tarrant County, and establish procedures for such election. During this election qualified voters will be electing a Mayor and Council Places 2 and 4. Section XVI. Cost Estimates and Deposit of Funds will not be known until after filing deadlines have commenced (March 10, 2008 for filing ballot application; March 17, 2008 for write -in candidacy). Recommendation: RECOMMEND APPROVAL RESOLUTION NO. 246 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS, CALLING FOR A GENERAL ELECTION TO BE HELD ON MAY 10, 2008; APPROVING A JOINT ELECTION WITH TARRANT COUNTY; AND ESTABLISHING PROCEDURES FOR THAT ELECTION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Kennedale, Texas, (the "City ") is a home rule city acting under its charter adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and Chapter 9 of the Local Government Code; and WHEREAS, the regular election for City Councilmembers of the City of Kennedale is required to be held on May 10, 2008, at which time the voters will elect persons to fill the office of Mayor and City Council Places 2, and 4; and WHEREAS, the election will be held as a joint election, conducted under the authority of Chapter 271 of the Texas Election Code; and WHEREAS, by this Resolution, it is the intention of the City Council to designate a polling place for the election, to appoint the necessary election officers to establish and set forth procedures for conducting the election, and authorize the Mayor to execute a contract with Tarrant County for conducting the election. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KENNEDALE, TEXAS, THAT: Section 1. General Election Called. An election is hereby called to elect the office of Mayor and City Councilmember Place 2, and City Councilmember Place 4 to serve from May of 2008 until May of 2010 or until their successors are duly elected and qualified. The election shall be held on May 10, 2008 between the hours of 7:00 a.m. and 7:00 p.m. at Kennedale Community Center, 316 W. 3` Street, Kennedale, Texas 76060, Section 2. Joint Election Agreement Approved. The Joint Election Agreement for Tarrant County and the City of Kennedale (the "Agreement ") attached hereto as Exhibit "A" and incorporated herein for all purposes is hereby approved and the Mayor is authorized to execute the Agreement. In the event of conflict between this resolution and the Agreement, the Agreement shall control. Page 1 of 3 Section 3. Application for Place on Ballot. Qualified persons may file as candidates by filing applications in the office of the City Secretary from 8:00 a.m. to 5:00 p.m., Monday through Friday, from February 11, 2008 through March 10, 2008. Section 4. Early Voting. a. Early voting by personal appearance. Early voting by personal appearance shall commence April 28, 2008 and shall continue Monday through Friday, until May 6, 2008 at the locations designated in the Agreement. On at least two days during the early voting period, a location for early voting shall be open for at least twelve (12) hours. b. Early voting by mail. Steve Raborn, the Tarrant County Election Administrator ( "Election Administrator ") is hereby designated as Early Voting Clerk for the general election. Applications for early voting by mail may be delivered to the Election Administrator at the following address: Early Voting Clerk, P.O. Box 961011, Fort Worth, Texas 76161 -0011, not earlier than March 11, 2008 and not later than close of business on April 25, 2008, if delivered in person, and May 2, 2008, if delivered by mail. Early voting by ballots shall be mailed to the Elections Administrator at the same address. C. Early Voting Ballot Board. Early voting, both by personal appearance and by mail, shall be canvassed by the Early Voting Ballot Board established by Tarrant County under the terms of the Agreement. Section 5. Appointment of Election Judge and Alternate Election Judge. The Presiding Election Judge and Alternate Presiding Judge shall be appointed by Tarrant County as authorized by Chapter 271 of the Code. Section 6. Method of Voting. The Hart InterCivic eSlate (Direct Recording Electronic Voting System) shall be used for voting by personal appearance and on election day the Hart InterCivic eSlate (Direct Recording Electronic Voting System) and Hart InterCivic eScan (Optical Scan Voting System) shall be used. The City Council hereby adopts the Hart InterCivic eSlate DRE for early voting and the Hart InterCivic eSlate DRE and Hart InterCivic eScan for election day. All expenditures necessary for the conduct of the election, the purchase of materials therefore, and the employment of all election officials are hereby authorized, and shall be conducted in accordance with the Election Code, Page 2 of 3 Section 7. Governing Law and Qualified Voters. The election shall be held in accordance with the Constitution of the State of Texas and the Code, and all resident qualified voters of the City shall be eligible to vote at the election. Section 8. Publication and Posting of Notice of Election. Notice of the election shall be given as required by Chapter 4 of the Code. Section 9. Submissions to the United States Justice Department Tarrant County is authorized to make such submissions as are necessary to the United States Justice Department to seek pre - clearance for any changes in voting practices as authorized by the Voting Rights Act of 1965, as amended. Section 10. Necessary Actions The Mayor and the City Secretary of the City, in consultation with the City Attorney, are hereby authorized and directed to take any and all actions necessary to comply with the provisions of the Code in carrying out and conducting the election, whether or not expressly authorized herein. Section 11. Runoff Election. Should a runoff election be required following the canvass of the May 10, 2008 election, the Council hereby orders that a runoff election be held on Saturday June 14, 2008. The polling place on Election Day for the runoff election shall be at the same polling places as those of the original election and the hours of voting shall be between 7:00 a.m. and 7:00 p.m. Section 12. Effective Date. This resolution shall be effective upon its adoption. PASSED AND APPROVED this 14 day of February, 2008. APPROVED: . ATTEST: Mayor, Bryan Lankhorst Kathy Turner, City Secretary APPROVED AS TO FORM AND LEGALITY: Wayne K. Olson, City Attorney Page 3 of 3 THE STATE OF TEXAS COUNTY OF TARRANT JOINT ELECTION AGREEMENT AND CONTRACT FOR ELECTION SERVICES THIS CONTRACT for election services is made by and between the Tarrant County Elections Administrator and the following political subdivisions located entirely or partially inside the boundaries of Tarrant County: City of Arlington City of Sansom Park City of Azle City of Southlake City of Bedford City of Watauga City of Benbrook Town of Westlake City of Blue Mound Town of Westover Hills City of Colleyville City of Westworth Village City of Crowley City of White Settlement City of Dalworthington Gardens Aledo ndependent_School District City of Edgecliff Village Arlington : Independent School District City of Euless Azle Independent School District City of Everman Birdville Independent School District City of Forest Hill Carroll Independent School District City of Fort Worth Castleberry Independent School District City of Grand Prairie Crowley Independent.S.chool District City of Haltom City Eagle Mountain - Saginaw Independent School District City of Haslet Fverrnan,lndepend6nt School District City of Hurst Fort Wort 160pendent School District City of Keller Grapevine - Colleyville Independent School District City of Kennedale Hurst- Euless- Bedford Independent School District Town of Lakeside Keller Independent School District City of Lake Worth Kennedale Independent School District City of Mansfield :; . Lake Worth Independent School District City of North Richland Hills Mansfield Independent School District Town of Pantego `Northwest Independent School District Clay of pelican Bay White Settlement Independent School District City of 16Ajand -Hills Tarrant County College District City of River Oaks Tarrant Regional Water District City of SaginaW This contract 1s made pursuant to Texas Election Code Sections 31.092 and 271.002 and Texas Education Code Section 11.0581 for a joint May 10, 2008 election to be administered by Steve Raborn, Tarrant County Elections Administrator, hereinafter: referred to as "Elections Administrator." RECITALS Each Municipality listed above plans to hold a general and /or special election for the selection of members of its governing body on May 10, 2008. Each Independent School District listed above plans to hold a general and /or special election for the selection of trustees of its governing board on May 10, 2008. The County owns an electronic voting system, the Hart InterCivic eSlate /eScan Voting System (Version 6.1), which has been duly approved by the Secretary of State pursuant to Texas Election Code Chapter 122 as amended, and is compliant with the accessibility requirements for persons with disabilities set forth by Texas Election Code Section 61.012. Page 1 of 10 The contracting political subdivisions desire to use the County's electronic voting system and to compensate the County for such use and to share in certain other expenses connected with joint elections in accordance with the applicable provisions of Chapters 31 and 271 of the Texas Election Code, as amended. NOW THEREFORE, in consideration of the mutual covenants, agreements, and benefits to the parties, IT IS AGREED as follows: I. ADMINISTRATION The parties agree to hold a "Joint Election" with each other in accordance`- with Chapter 271 of the Texas Election Code and this agreement, The Tarrant County Elections Administrator shall coordinate, supervise, and handle all aspects of administering the Joint Election as provided in this agreement. Each participating authority agrees to pay the Tarrant County Elections Administrator for equipment, supplies, services, and administrative costs as provided in this agreement. The Tarrant County Elections Administrator shall serve as the administrator for the Joint Election; however, each participating authority shall remain responsible for the decisions and =actions of its officers necessary for. the lawful conduct of its election. The Elections Administrator shall provide advisory services in connection with decisions tobe made and actions to be taken by the officers of each participating authority as necessary. It is understood that other political subdivisions may wish to participate in the use of the County's electronic voting system and polling places, and. it is agreed that the Elections Administrator'may enter into other contracts for election services for those purposes on terms and conditions, generally similar to those set forth in this contract. In such cases, costs shall be pro -rated among the participants according to Section XI of this contract. At each polling location, joint participants shalfshare Voting, equipment and supplies to the extent possible. The participating parties shall share a mutual ballot in those polling pfaces'where jurisdictions overlap. However, in no instance shall a voter be permitted to receive a ballot containing an `.office or proposition stating a measure on which the voter is ineligible to vote. Multiple ballot styles shall be available in those shared polling places where jurisdictions do not overlap. II. LEGAL DOCUMENTS Each participating authont ..shall be responsible for the preparation, adoption, and publication of all required election orders, resolutions, notices and any:other pertinent documents required by the Texas Election Code and /or the participating authority's body;charte or.oldinances, Preparation of the h oessary materials for notices and the official ballot shall be the responsibility of each participating`authority, including translation to languages other than English. Each participating authority shall provide a copy of thbl3 ,..respective election orders and notices to the Tarrant County Elections Administrator. The Elections Administrator shall prepare a submission, on behalf of all participating authorities, to the United States Departmentof Justice for preclearance of the joint election procedures and polling places, pursuant to the Voting Rights Act of 1965, asamended. The Elections Administrator will provide to each participating authority a photocopy of the joint submission and,::any correspondence from the Department of Justice. The joint submission prepared by the Elections Administrator will not include submission of information for any special elections held by the participating authorities. Participating authorities are hereby notified and encouraged to prepare their own submissions to the United States Department of Justice for special election procedures, or any changes that are specific to their own political subdivision. By signing this agreement, each participating authority certifies that it has no unresolved preclearance or voting rights issues known to it that would preclude or delay Department of Justice preclearance of the joint election. Page 2 of 10 The Elections Administrator will file an amended submission to the United States Department of Justice in the event that any polling places are changed after the original submission is filed, including changes resulting from the withdrawal of one or more participating authorities pursuant to Section XII of this contract. III. VOTING LOCATIONS The Elections Administrator shall select and arrange for the use of and payment for: all election day voting locations. Voting locations will be, whenever possible, the usual voting location for each election precinct in elections conducted by each participating city, and shall be compliant with the accessibility requirements established by Election Code Section 43.034 and the Americans with Disabilities Act (ADA). The proposed 'voting locations are listed in Attachment A of this agreement. In the event that a voting location is not available or a ppropriate, the Elections Administrator will arrange for use of an alternate location with the approval of the affected participating authorities. The Elections Administrator shall notify the participating authorities of any changes from the locations; listed in Attachment A. If polling places for the May 10, 2008 joint election are different from the polling place(s) used by a participating authority in its most recent election, the authority agrees to post a r dtice no later than May 9, 2008 4 the :entrance to any previous polling places in the jurisdiction stating that the polling location has changed and stating the political subdivision's polling place names and addresses in effect for the May 10, 2008 election. This notice shall be written in both the English and Spanish languages. IV. ELECTION JUDGES, CLERKS, AND OTHER ELECTION PERSONNEL Tarrant County shall be responsible for the apporntrnent of the presiding judge ard'alternate judge for each polling location. The Elections Administrator shall make emergency appointments of election officials if necessary. Upon request by the Elections Administrator, each partic officials who are bilingual (fluent in both;English and Span sst );.;; I' as amended, each polling place more than 5% Hispai have one or more election offlcal who is fluent in both the Engles bilingual, and is unable to a bilingual clerk, the Elections' polling place. If the Elections Administrator is' unable to recomm or authorities served by that polling place shall _be responsible fo that polling place. ., gating authority agrees to assist in recruiting polling place compliance) ith the Federal Voting Rights Act of 1965, is population as determined by the 2000 Census shall i and Spanish languages. If a presiding judge is not kdministrator may recommend a bilingual worker for the ;nd or recruit a bilingual worker, the participating authority recruiting a bilingual worker for translation services at The Elections Administrator shall notify all election judges of the eligibility requirements of Subchapter C of Chapter 32,6f the Texas Election Code, a4' take the necessary steps to insure that all election judges appointed for the Joint Election are eligible to serVe, The Elections Administrator shall arrange for the training and compensation of all election judges and clerks. The Elections Administrator shall arrange.for the date, time, and place for presiding election judges to pick up their election supplies. Each presiding election fudge will be sent a letter from the Elections Administrator notifying him of his appointment, the time and location of training and distribution of election supplies, and the number of election clerks that the presiding judge may appoint. Each election judge'and clerk will receive compensation at the hourly rate established by Tarrant County pursuant to Texas Election Code Section 32.091. The election judge will receive an additional sum of $25.00 for picking up the election supplies prior to election day and for returning the supplies and equipment to the central counting station after the polls close. Election judges and clerks who attend voting equipment training and /or procedures training shall be compensated at the same hourly rate that they are to be paid on election day. The Elections Administrator may employ other personnel necessary for the proper administration of the election, including such part -time help as is necessary to prepare for the election, to ensure the timely delivery of supplies during early voting and on election day, and for the efficient tabulation of ballots at the central counting station. Part -time Page 3 of 10 personnel working in support of the Early Voting Ballot Board and /or central counting station on election night will be compensated at the hourly rate set by Tarrant County in accordance with Election Code Section 87.005. V. PREPARATION OF SUPPLIES AND VOTING EQUIPMENT The Elections Administrator shall arrange for all election supplies and voting equipment including, but not limited to, official ballots, sample ballots, voter registration lists, and all forms, signs, maps and othermaterials used by the election judges at the voting locations. At each polling location, joint participants shall share voting equipment and supplies to the extent possible. The participating parties shall share a mutual ballot in those-precincts where jurisdictions overlap, However, in no instance shall a voter be permitted to receive a ballot containing an office or proposition stating a measure on which the voter is ineligible to vote. Multiple ballot styles shall be available in those shared polling places where jurisdictions do not overlap. The Elections Administrator shall provide the necessary voter registration information, maps, instructions, and other information needed to enable the election judges in the voting locations that have more than one ballot style to conduct a proper election. Each participating authority shall furnish the Elections Admir showing the order and the exact manner in which the candidate narr ballot (including titles and text in each language in which the authorit to the Elections Administrator no later than 12:00 Noon on Wednesd responsible for proofreading and approving the ballot insofar as it pe propositions. more than one point participant because of overlapping ty.College District, Tarrant;Regional Water District, �s The joint election ballots that contain ballot � territory shall be arranged in the following order: Ta Independent School District, City, and other political istrator a list of candidates and /or.propositions ws, and /or proposition(s) are to appeal' on official s ballot is to be.printed). This list shall be delivered w March 12. Each participating authority shall be tains to that authority's candidates and /or Early Voting by Personal Appearance shall be conducted. exclusively on Tarrant County's eSlate electronic voting system. On election day, voters shat[ have a choice betwee,n-Ypting on the elate electronic voting system or by a paper ballot that is scanned at the polling place using Tarrant County_.`s eScan voting system. Provisional ballots cast on election day will be cast only on the eSlate electronic voting system to prevent the possibility of paper provisional ballots from being immediately counted via the eScan ballot scanner. Due to current limitations of the county',s eScan ballot scanners, it is necessary that in the event ballot content for a particular participating orjolnfelectio'r ballot ' le,is. to o `lengthy to fit on a one page paper ballot, all election day voting for that particulat authority or ballot,style must kie held 'on the county's eSlate voting system. The ' number of paper t >�(li�ts printed fa election day voting shall be, at a minimum, equal to the same election day turnout as �[n.the last comparable eig`ption plus 25 percent of that number, with the final number of ballots ordered per polling place,or.precinct adjusted upward to end in a number divisible by 50. The Elections Administrator shall be responsible for the preparation and testing of the voting systems for the election as required'by -.the Election Code. Page 4 of 10 VI. EARLY VOTING The participating authorities agree to conduct joint early voting and to appoint the Election Administrator as the Early Voting Clerk in accordance with Sections 31.097 and 271.006 of the Texas Election Code. Each participating authority agrees to appoint the Elections Administrator's permanent county employees as deputy early voting clerks. The participating authorities further agree that the Elections Administrator may appoint other deputy early voting clerks to assist in the conduct of early voting as necessary, and that these additional deputy early voting clerks shall be compensated at an hourly rate set by Tarrant County pursuant to Section 83.052 of the Texas Election Code. ,Deputy early voting clerks who are permanent employees of the Tarrant County Elections Administrator or any participating authority shall serve in that capacity without additional compensation. Early Voting by personal appearance will be held at the locations, dates, and time's listed in Attachment "B" of this document. Any qualified voter of the Joint Election may vote early by personal appearance'at:any of the joint early voting locations. As Early Voting Clerk, the Elections Administrator shall receive applications for early voting ballots to be voted by mail in accordance with Chapters 31 and 86 of the Texas Election Code. Any requests for early voting ballots, to be voted by mail received by the participating authorities shall be forwarded immediately by fax or courier to the Elepti6ns Administrator for processing. The Elections Administrator shall provide each participating authority copy of the early voting report on a daily basis and a cumulative final early voting report following the election. In accordance with Section 87.121(g) of the Election Code, the daily reports showing the previous day's eady, voting activity will be distributed to each participating authority no later than 8:00 AM each business day. VII. EARLY VOTING BALLOT BOARD Tarrant County shall appoint an, Early Voting Ballot.pard (EVBB) to process early voting results from the Joint Election. The Presiding Judge,; with the assistance of the Elections Administrator, shall appoint two or more additional members to constitute the EVBB. The Elections Administrator shall determine the number of EVBB members required to efficiently process the early voting ballots VIII. CENTRAL COUNTING STA The stations to receive and tabu shall be 'responsible for establishing and operating the central and remote counting voted ballots ..in accordance with the provisions of the Texas Election Code and of this The participating authorities Election Code 'appoint the following Counting Station_Manager: Tabulation Supervisor: Presiding Judge: Alternate Judge: r, in accordance with Section 127.002, 127.003, and 127.005 of the Texas I counting station officials: Steve Raborn, Tarrant County Elections Administrator Stephen Vickers, Tarrant County Elections Technology Coordinator Jeanne Lyons Bobbie Cornelison The counting station manager or his representative shall deliver timely cumulative reports of the election results as precincts report to the central and remote counting stations and are tabulated. The manager shall be responsible for releasing unofficial cumulative totals and precinct returns from the election to the joint participants, candidates, press, and general public by distribution of hard copies at the central counting station and by posting to the Tarrant County web site. To ensure the accuracy of reported election returns, results printed on the tapes produced by Tarrant County's voting equipment will not be released to the participating authorities at the remote collection sites or by phone from individual polling locations. Page 5 of 10 The Elections Administrator will prepare the unofficial canvass reports after all precincts have been counted, and will deliver a copy of the unofficial canvass to each participating authority as soon as possible after all returns have been tabulated. Each participating authority shall be responsible for the official canvass of its respective election(s). The Elections Administrator will prepare the electronic precinct -by- precinct results reports for uploading to the Secretary of State as required by Section 67.017 of the Election Code. The Elections Administrator agrees to upload these reports for those participating authorities that provide their online user name and password information. Otherwise, participating authorities that do not supply their online user name and password to the ;ElectionIs'Administrator shall be responsible for uploading their respective results to the Secretary of State's online system. The Elections Administrator shall be responsible for conducting the post- election manual recount required by Section 127.201 of the Texas Election Code unless a waiver is granted by the Secretary of State. Notification and copies of the recount, if waiver is denied, will be provided to each participating authority and the Secretary of State's Office. IX. PARTICIPATING AUTHORITIES WITH TERRITORY OUTSIDE TARRANT COUNTY The Elections Administrator agrees to administer the entire City of Azle election including that portion of the City of Azle that is within Parker County. The Elections Administrator agrees to admmister,the entire City of Haslet election including that portion of the City of Haslet that is within Parker County. The Elections Administrator agrees to administer-the entire City,of Mansfield election including that portion of the City of Mansfield that is within Ellis and Johnson Counties: The Elections Administrator egrees to administer theentire City of Fort Worth election including that portion of the City of Fort Worth that is within Denton'alff ise Counties. The Elections AdmA agrees to;administer the entire City of Southlake election including that portion of the City of Southlake that is within Denton County. The Elections, Administrator agrees to administer the- entire Town of Westlake election including that portion of the Town of Westlake'that is within Denton do ty. The Elections Administrator agrees to:administer the entire Azle ISD election including that portion of Azle ISD that is within Parker and Wise Counties The Elections Administrator agrees to administer the entire Crowley ISD election including that portion of Crowley ISD that si.within Johnson Gounty. The Elections, Administrator agrees to administer the entire Mansfield ISD election including that portion of Mansfield ISD that is within- :Johnson County. The Elections Administrator shall administer only the Tarrant County portion of the City of Grand Prairie's election. The Elections Administrator shall administer only the Tarrant County portion of Northwest ISD's election. X. RUNOFF ELECTIONS Each participating authority shall have the option of extending the terms of this agreement through its runoff election, if applicable. In the event of such runoff election, the terms of this agreement shall automatically extend unless the participating authority notifies the Elections Administrator in writing within 3 business days of the original election. Page 6 of 10 Each participating authority shall reserve the right to reduce the number of early voting locations and /or election day voting locations in a runoff election, If necessary, any voting changes made by a participating authority between the original election and the runoff election shall be submitted by the authority making the change to the United States Department of Justice for the preclearance required by the Federal Voting Rights Act of 1965, as amended. Each participating authority agrees to order any runoff election(s) at its meeting for canvassing the votes from the May 10, 2008 election and to conduct its drawing for ballot positions at or immediately following such meeting in order to expedite preparations for its runoff election. XI. ELECTION EXPENSES AND ALLOCATION OF COSTS The participating authorities agree to share the costs of administering the Joint Election. Allocation of costs, unless specifically stated otherwise, is mutually agreed to be shared according to a formula which;is >. based on the average cost per election day polling place (unit cost) as determined by adding together the overall expenses and dividing the expenses equally among the total number of polling places. Costs for polling places shared by more than: one participating authority shall be pro -rated equally among the participants utilizing that,polling place. The participating authorities agree that for billing purposes, each election day polling place will be evaluated as to the number of full- time - equivalent (FTE) pollworkers employed. Polling places with more than 5 FTE pollworkers will be considered as one or more additional polling places with each full or partial multiple of 5 FTE pollworkers constituting an additional polling place for purposes of determining the ,average cost formula in the paragraph. If a participating authority's election is conducted at ►Tigre than one election 'day polling place, there shall be no charges or fees allocated to the participating authority for the cost of election day polling' places in which the authority has fewer than 50% of the total registered voters served by that polling,place, except that if the number of registered voters in all of the authority's polling places is less than the 50% thre,shold,. } e participating' authority shall pay a pro -rata share of the costs associated with the polling place where it has the greetest number of registered voters. Costs for Early Voting by Personal Appearance shall be allocated based upon the actual costs associated with each early voting site. Each participating authority shall be resppnsible for a pro -rata portion of the actual costs associated with the early voting sites located within their.jurisdiction. Participating authorities that do not have a regular (non - temporary) early voting site within fhelr junsdlcton. shall pay a pro -rata portion of the nearest regular early voting site. Costs for`Eariy Voting by Mail shall,be allocated according to the actual number of ballots mailed to each participating ,authority's voters E0gh, participating authority agrees to pay. the Tarrant County Elections Administrator an administrative fee equal to ten percent,(10 %) of its total billable ;costs in accordance with Section 31.100(d) of the Texas Election Code. The Tarrant,_ County Elections Administrator shall deposit all funds payable under this contract into the appropriate fund(s) within the county treasury in accordance with Election Code Section 31.100, Page 7 of 10 XII. WITHDRAWAL FROM CONTRACT DUE TO CANCELLATION OF ELECTION Any participating authority may withdraw from this agreement and the Joint Election should it cancel its election in accordance with Sections 2.051 - 2.053 of the Texas Election Code. The withdrawing authority is fully liable for any expenses incurred by the Tarrant County Elections Administrator on behalf of the authority plus an administrative fee of ten percent (10 %) of such expenses. Any monies deposited with the Elections Administrator by the withdrawing authority shall be refunded, minus the aforementioned expenses and administrative fee if applicable. It is agreed that any of the joint election early voting sites that are not within the boundaries of one or more of the remaining participating authorities, with the exception of the early voting site located at, the Tarrant County Elections Center, may be dropped from the joint election unless one or more of the remaining 'participating authorities agree to fully fund such site(s). In the event that any early voting site is eliminated under this section, anaddendum to the contract shall be provided to the remaining participants within five days after notification of all intents to withdraw have been received by the Elections Administrator. XIII. RECORDS OF THE ELECTION The Elections Administrator is hereby appointed general custodian of the voted ballots and all records of the Joint Election as authorized by Section 271.010 of the Texas Election Code. Access to the election records shall be available to each participating.authority as well as to the public in accordance with applicable provisions of the Texas I*leotion Code and the Texas Public Information Act. The election records shall be stored at the offices of the Elections Administrator or at an alternate'facility,used for storage of county records. The Elections Administrator shall ensure that',the racord are maintained in an orderly manner so that the records are clearly identifiable and retrievable. Records of the election shall be retained and disposed ofin accordancewith the provisions of Section 66.058 of the Texas Election Code. If records of;the- election are involved>ln any pending election contest, investigation, litigation, or open records request, the Elections Administrator shall maintain the. records until final resolution or until final judgment, whichever is applicable. It is t46 responsibil ity,of each participating authority to bring to the attention of the Elections Administrator any notice of pending electiom contest, investigation, litigation or open records request which may be filed with the participating authority XIV A recount may be obtained as provided; by Title 13 of the Texas Election Code. By signing this document, the presiding officer of the contracting participating authority agrees that any recount shall take place at the offices of the Elections Administrator, and that the,'-.Elections Administrator shall serve as Recount Supervisor and the participating authority's offiblalor employee who performs the duties of a secretary under the Texas Election Code shall serve as Recount Coordinator. The Elections Administrator agrees to provide advisory services to each participating authority as necessary to conduct a proper recount; Page 8 of 10 XV. MISCELLANEOUS PROVISIONS It is understood that to the extent space is available, other districts and political subdivisions may wish to participate in the use of the County's election equipment and voting places, and it is agreed that the Elections Administrator may contract with such other districts or political subdivisions for such purposes and that in such event there may be an adjustment of the pro -rata share to be paid to the County by the participating authorities. 2. The Elections Administrator shall file copies of this document with the7arrant County Judge and the Tarrant County Auditor in accordance with Section 31.099 of the Texas :Election Code. 3. Nothing in this contract prevents any party from taking appropriate legal action. against any other party and/or other election personnel for a breach of this contractor a violation of the Texas Election Code. 4. This agreement shall be construed under and in accord with the laws of the State of Texas, and all obligations of the parties created hereunder are performable in Tarrant County, Texas 5. In the event that one of more of the provisions contained in this Agreement shall for any_reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision hereof and this agreement shall be construed as if such invalid, illegal, or unenforceable provision had never contained herein. 6. All parties shall comply with all applicable 16.Ws, ; ordinances, and codes of the State of Texas, all local governments, and any other entities with local jurisdiction. 7. The waiver by any party of a breach of ahV provision of this agreement shall not operate as or be construed as a waiver of any subsequent breach: 8. Any amendments of this agreement shall be ofno effect unless in writing and signed by all parties hereto. THE REMAINDER OF THIS PAGE IS-INTENTIONALLY BLANK; Page 9 of 10 XVI. COST ESTIMATES AND DEPOSIT OF FUNDS The total estimated obligation for each participating authority under the terms of this agreement is listed below. Each participating authority agrees to pay the Tarrant County Elections Administrator a deposit of approximately 75% of this estimated obligation no later than 10 days after the candidate withdrawal deadline. The exact amount of each participating authority's obligation under the terms of this agreement shall be calculated after the May 10, 2008 election (or runoff election, if applicable), and if the amount of an authority's total obligation exceeds the amount deposited, the authority shall pay to the Elections Administrator the balance due within 30 days after the receipt of the final invoice from the Elections Administrator. However, if the amount of the authority's total obligation isless than the amount deposited, the Elections Administrator shall refund to the authority the excess amount paid within 30 days after the final costs are calculated, The total estimated obligation and required deposit for each participating authority under the terms of this agreement shall be as follows. Actual #.. Hilted # I E=stimated I Deposit Political Subdivision I Polls I io"611s Cost I Due Page 10 of 10 Bate: February 14, 2008 Agenda Item o VII. — h Subject; Consider a resolution indicating support of a Municipal Setting Designation (MSD) from City of Arlington for Former Interstate Trailers Site, Arlington, Texas Originated y: Bob Hart S u m mary: V.T., Inc. has applied for a Municipal Setting Designation (MSD) from the City of Arlington and the Texas Commission on Environmental Quality (TCEQ) in accordance with Section 361 of the Texas Health and Safety Code, Subchapter W. The subject. property consists of land that is currently occupied by three automobile dealerships: Vandergriff Acura, Vandergriff Honda, and Vandergriff Toyota. The combined area of the proposed MSD is approximately 29.96 acres (1,305,058 square feet), which is situated along the south side of Interstate Highway 20 in Arlington between Cooper Street and Matlock Road. The purpose of a MSD is to restrict the use of groundwater beneath a site for potable drinking water purposes. Shallow groundwater beneath the subject property was contaminated by a release of chlorinated solvents that apparently occurred during manufacturing operations conducted by previous owners during the 1980s and 1990s. In September 2003, the Texas Legislature amended the Texas Health and Safety Code to authorize the MSD program. The MSD legislation allows a property owner to limit or avoid conducting a cleanup of contaminated groundwater if access to the groundwater beneath that property has been restricted from use as potable water by an ordinance issued by the local municipality. If an ordinance is granted to a property, the shallow groundwater underneath that property is designated as non - potable water and private water supply wells would be prohibited from being installed on that site in the future. The ultimate goal of the MSD legislation is to encourage redevelopment of vacant or abandoned commercial /industrial properties while protecting human health. Establishment of a MSD on this subject property would not restrict groundwater use outside the designated boundary. Section 361 of the Texas Health and Safety Code, Subchapter W requires that notice be given to all municipalities that own or operate a groundwater supply well located within five miles of the proposed MSD boundaries and obtain their support. The attached resolution is the City of Kennedale's is approval. The proposed boundaries of the MSD are located entirely within the boundaries of the City of Arlington. The shallow groundwater�bearing zone is not currently used for water supply by anyone at or near the site. There is no evidence to suggest that anyone other than the current property owner will be affected by the proposed MSD. Recommendation: I recommend the approval of this ordinance D is p osition by Council: CADocuments and Settings\ cbrown \mydocuments \samplestaffreport M iT PT; LTA ` � , � -� �,�;•. T n 11:1 1;1 WHEREAS, Chapter 361, Subchapter W, of the Texas Solid Waste Disposal Act authorizes the Texas Commission on Environmental Quality (TCEQ) to certify Municipal Setting Designations for properties upon receipt and approval of a properly submitted application to TCEQ; and WHEREAS, as a part of the application to TCEQ for a Municipal Setting Designation, the applicant is required to provide documentation that the application is supported by: (1) the city council of the municipality in which the site is located, (2) the city council of each municipality with a boundary located not more than one -half mile from the Site, (3) the city council of each municipality that owns or operates a groundwater supply well located not more than five miles from the Site, and (4) the governing body of each retail public utility as defined by Section 13.002, Texas Water Code, that owns or operates a groundwater supply well located not more than five miles from the Site; and WHEREAS, V.T. Inc. (Applicant) filed an application with the City of Arlington, Texas, for the issuance of a Municipal Setting Designation ordinance for the property located at 1000, 1100, and 1104 West Interstate Highway 20, Arlington, Texas, more fully described in Exhibit "A" (the "MSD Site "); and WHEREAS, the City of Kennedale owns and operates one or more public supply wells located within five miles of the MSD Site; and WHEREAS, following the issuance of a supporting resolution by each municipality and retail public utility for which approval is required, Applicant will submit to TCEQ an application for certification of a Municipal Setting Designation for the Site pursuant to Texas Health and Safety Code, Chapter 361, Subchapter W. NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF KENNEDA The City of Kennedale supports Applicant's application to the TCEQ for certification of a Municipal Setting Designation for the Site. PASSED AND APPROVED by the City Council of the City of Kennedale, Texas on this the 14 day of February, 2008. Mayor, Bryan Lankhorst ATTEST: Kathy Turner, City Secretary Resolution No. 4249, Pg. 3 c POMIN by F "'' vnoosa F ormer Interstate Trailers it -4: ri me :+t 3trad • +m <oor :CNI • 2400 py�� p +Ye ®®®® aw Hichole tanrbnatpreaa,amto arih, Tx ?a,ia.caat s ce:rpto A er i al Photograp rrr� FIGURE Resolution No. 4249, Pg. 4 MUM - mQQs ra w L Proposed MS® Site, Arlington, 7X April iQ06 Freese end Nteteois t•f 750 1053fMmAUbmj Flan 5uam Groundwatering Monitoring system FIGURE oil Fors Worth.7ealf MIN US$ KMG eft 735-1000 TCE fonCenir�ltions NMO An ordinance amending the "Water and Sewer" Chapter of the Code of the City of Arlington, Texas, 1987, the addition of Article XI, entitled Muni providing for of . to 00 for each • . - . of the ordinance; a a g_ ordinance _. providing • - -, .! providing for governmental immunity; providing for injunctions; providing for publication and becoming effective ten days after first publication BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ARLINGTON, TEXAS: 1. That the "Water and Seger" Chapter of the Code of the City of Arlington, Texas, 1987, is hereby amended through the addition of Article XX, Municipal Setting Designations so that said Article shall be and read as follows: TICLE XI 'ZOR POP '.N Findin Section 11.01 The City Council of the City of Arlington makes the following findings: (1) There are areas of shallow groundwater within the City and its extraterritorial jurisdiction that are not usable as potable water sources; (2) Commercial and industrial properties exist in Arlington and its extraterritorial jurisdiction underlain with unusable groundwater that have become contaminated by historical on -site or off -site sources; (3) The City of Arlington does not utilize groundwater as a source for public drinking water, and less than six (6) percent of all municipal water supplies in Tarrant County come from groundwater sources; (4) The use of municipal setting designations within Arlington and its extraterritorial jurisdiction allows for a state - evaluated corrective action process for groundwater that is directed toward protection of human health and the environment balanced with the economic welfare of the citizens of the City; and (5) Where public groundwater areas should and welfare presents an health. drinking water is available, the use of as a potable water source in designated be prohibited to protect public health when the quality of the groundwater actual or potential threat to human As used in this division, unless the context clearly indicates otherwise: Affected community means those persons entitled to notice in Section 11.06(A)(3) below. Applicant means the owner of the land seeking an MSp. Authorized representative means, for purposes of signing an application, if the applicant is a corporation, the president, secretary, treasurer, or a vice- president of the corporation in charge of a principal business function, or any other person who performs similar policy or decision - making functions for the corporation; if the applicant is a partnership or sole proprietorship, a general partner or proprietor, respectively; if the applicant is a limited liability company, the manager; and if the applicant is a local government, the chief executive officer or his authorized designee. Chemical of concern means any chemical that has the potential to adversely affect ecological or human receptors due to its concentration, distribution, and mode of toxicity. (2) corporate limits of the City of Arlington, or within its extraterritorial jurisdiction, shall apply in writing, with the number and format of copies, as determined by the Director. B. An application shall contain: 1. The applicant's name and address, and the name, address, daytime telephone number, and email address of a contact person and the licensed professional who prepared the application; 2. The location and legal description of the proposed outer boundaries of the MSD area for which designation is sought; 3. A copy of the application with the Executive Director of the TCEQ for a MSD for the area; 4. A statement as to whether a public drinking water supply system exists that satisfies the requirements of Texas Health and Safety Code Chapter 341 and that supplies or is capable of supplying drinking water to the area for which the MSD is sought, and property within one -half mile of the area for which the MSD is sought; 5. A description of the groundwater sought to be restricted, including the identified chemicals of concern therein and the levels of contamination known to the applicant, and the identified vertical and horizontal extent of the contamina- tion. If the applicant has not documented groundwater contamination offsite that originates from the area for which an MSD is sought, the application shall include a statement as to whether contamination more likely than not exceeds a residential assessment level offsite and the basis for that statement; 6. Identification of the person(s) responsible for the contamination of the groundwater, if known; 7. A listing of: a. All state - registered private water wells within five (5) miles from the boundary of �lu the area for which the designation is sought, including a notation of those wells that are used for potable water purposes (if known), and a statement as to whether the applicant has provided the owners with notice as provided in Texas Health and Safety Code Section 361.805; b. Each retail public utility, as that term is defined in the Texas Water Code, that owns or operates a groundwater supply well located not more than five (5) miles from the area for which the MSD is sought, and a statement as to whether the applicant has provided the retail public utilities with notice as provided in Texas Health and Safety Code Section 361.805; and C. Each municipality, other than the City of Arlington, with a boundary located not more than one -half (1/2) mile from the area for which the MSD is sought; or that owns or operates a groundwater supply well located not more than five (5) miles from the area for which the MSD is sought; and a statement as to whether the applicant has provided the municipalities with notice as provided in Texas Health and Safety Code Section 361.805; 8. A site map, drawn to scale, including a metes and bounds description of the proposed MSD area, the boundary of the proposed MSD area, the location of groundwater on the proposed MSD area, and the extent of groundwater contamination to the limits that it has been defined. The map shall include a statement by a professional land surveyor registered by the Texas Board of Professional Surveying attesting to the accuracy of the metes and bounds description; and 9. Any other information that the Director deems pertinent. C. The application shall be signed by an authorized representative of the applicant and shall contain the following certification statement: (5) "I certify under penalty of law that this document and all attachments were prepared under my direction or supervision in a manner designed to assure that qualified personnel properly gather and evaluate the information submitted. Based on my inquiry of the person or persons directly responsible for gathering the information, the information submitted is, to the best of my knowledge and belief, true, accurate, and complete. I am aware that there are significant penalties for submitting false information, including the possibility of fine and imprisonment for knowing violations." D. An application shall be accompanied by: 1. A set of printed mailing labels with the names and addresses of persons listed in Subsection (B)(7) above; 2. An electronic file of the names and addresses of persons listed in Subsection (B) (7) above, in a format acceptable to the Director and compatible with City information systems; and 3. A nonrefundable application fee of $1,000 and actual Tarrant County recording fees. E. An applicant may withdraw its application only in writing by letter sent certified mail, return receipt requested, to the Director, and shall forfeit the application fee. If the Director has not issued public notice prior to the receipt of the withdrawal letter, the applicant may reapply at any time. If public notice has issued, a new application is subject to the limitations of Section 11.09 below. Section 11.05 Staff Review A. For purposes of the times stated in this ordinance, an application is deemed to have been received on the date that the application was actually received by the Director, as indicated by the file date stamped on the application by the department of Environmental Services. M B. The application for a MSD shall be forwarded to the Development Review Committee (DRC) for staff review. The purpose of the review is to determine whether the application is complete, and whether any current or future City property or other interests have the potential to be impacted by the proposed MSD. City staff shall not conduct an environmental risk assessment of the application. C. City staff review and reporting to the applicant will be within the established DRC timetables. DRC will provide a written report noting any discrepancies in the application, and advising of any City interests that may potentially be impacted by the proposed MSD. D. If the Director determines that the application is incomplete, he will return the application to the applicant, noting the deficiencies in writing. The applicant shall have thirty (30) days from the date of the deficiency letter to correct the deficiencies and resubmit the application. If the applicant fails to submit a corrected application within the allotted time, the application shall be deemed to be withdrawn and the application fee forfeited. E. If the Director determines that the application is complete, he will schedule a public meeting and a public hearing. The public meeting must be held prior to the public hearing. 1. A public meeting will be scheduled approximately forty -five (45) days following the day the application was received; and A. Notice of the public meeting and the public hearing on a MSD application may be combined and must include the date, time and location of the two (2) events, the identity of the applicant, the location and legal description of the area for which the MSD is sought, the purpose of the MSD, the type of contamination (7) identified in the groundwater of the area for which the MSD is sought, and a statement that a copy of the application is available for public viewing at the department of environmental services. Notice will be made as follows: 1. The Director will publish notice of a public meeting and a public hearing for a proposed MSD in the official newspaper of the City, not less than fifteen (15) days before the public meeting; 2. The Director will request that the City Secretary post the notice at City Hall, in a place readily accessible to the general public at all times, not less than fifteen (15) days before the public meeting; and 3. The Director will provide written notice of a public meeting and a public hearing for a proposed MSD, not less than fifteen (15) days before the date of the public meeting by properly addressed and regular postage paid, in the United States mail. Notice will be mailed to: a. The applicant; b. The list provided by applicant pursuant to Section 11.04(B)(7); c. The executive Director of the Trinity River Authority, if the area for which an MSD is sought is within five miles five (5) miles of the Trinity River; and d. All owners of real property lying within 200 feet of the subject property, as the ownership appears on the last approved City tax roll. B. The Director will direct the posting of at least one (1) sign upon the area for which a MSD has been requested. Posting shall be in the same manner as zoning amendments. The sign(s) must state that an MSD has been requested for the area and that additional information can be acquired by telephoning the number listed thereon or visiting the web site address listed thereon. The erection and /or the continued maintenance ME of any such sign shall not be deemed a condition precedent to the holding of any public meeting or public hearing or to any official action concerning the MSD application. A. The purpose of a public meeting is for the applicant to provide information to the affected community about MSDs and the application and to obtain input on the application prior to a formal hearing before the City Council.' B. The public meeting will be held in the evening at a location convenient to the affected community. C. The applicant or its representative must appear at the public meeting. If the applicant fails to appear at the public meeting either in person or by representative, the application shall be deemed withdrawn and the application fee forfeited. D. The Director will conduct the meeting, giving the applicant or its representative the opportunity to present its reasons for requesting an MSD, and giving members of the affected community the opportunity to ask the applicant questions or make oral comments on the application. E. The Director will make a tape recording of the public meeting available for the public. 0 .-:_ A. Prior to the public hearing, the Director will provide the City Council a copy of the application, and a written report summarizing the request for the MSD approval, any staff comments, and minutes of the public meeting. B. The applicant or its representative must appear at the public hearing and present the request for a MSD approval. If the applicant fails to appear at the public hearing, the application shall be deemed withdrawn and the application fee forfeited. In C. Persons wishing to speak either in favor of or against the application will be provided the opportunity in accordance with City Council guidelines for public hearings. D. If .approving an application, the City Council shall: 1. Adopt a resolution supporting the application to be presented to the TCEQ; and 2. Enact an ordinance prohibiting the potable use of designated groundwater from beneath the MSD area. The ordinance must include a metes and bounds description of the M8D area to. which the ordinance applies; a listing of the contaminants; and a statement that the ordinance is necessary because the contaminant concentrations exceed TCEQ potable water standards. 3. Place other reasonable restrictions on the use of designated groundwater and including, but not limited to, specification of underground construction materials to be used in the MSD area. E. City Council approval of an application shall not be deemed to waive the City's right to comment on a MSD application that has been filed with the Executive Director of the TCEQ as provided by Texas Health and Safety Code Section 361.805. If after public hearing the City Council disapproves an application, or if the applicant has withdrawn its application after public notice has issued, no new MSD applications for the proposed MSD area shall be accepted by the City or scheduled for a public hearing by the City Council within a period of twelve (12) months of the date of disapproval or withdrawal. Section 11.10 Additional r irements A. A person who has received approval of a MSD from the City, shall, upon issuance from the TCEQ, provide the (10) Director with a copy of the certificate of completion or other documentation issued for the MSD area, showing that response actions, if required, have been completed. B. A person commits an offense if they fail to provide the Director with the documentation required in Subsection (A) above, within thirty (30) days of its issuance by the TCEQ. 2. Any person, firm, corporation, agent or employee thereof who violates any of the provisions of this ordinance shall be guilty of a misdemeanor and upon conviction thereof shall be fined an amount not to exceed Five Hundred and No /100 Dollars ($500) for each offense. Each day that a violation is permitted to exist shall constitute a separate offense. 3. This ordinance shall be and is hereby declared to be cumulative of all other ordinances of the City of Arlington, and this ordinance shall not operate to repeal or affect any of such other ordinances except insofar as the provisions thereof might be inconsistent or in conflict with the provisions of this ordinance, in which event such conflicting provisions, if any, in such other ordinance or ordinances are hereby repealed. M If any section, subsection, of this ordinance ' is for unconstitutional, such holding validity of the remaining portion sentence, clause or phrase any reason held to be shall not affect the s of this ordinance. 5. All of the regulations provided in this ordinance are hereby declared to be governmental and for the health, safety and welfare of the general public. Any member of the City Council or any City official or employee charged with the enforcement of this ordinance, acting for the City of Arlington in the discharge of his /her duties, shall not thereby render himself /herself personally liable; and (11) he /she is hereby relieved from all personal liability for any damage that might accrue to persons or property as a result of any act required or permitted in the discharge of his /her said duties. IN Any violation of this ordinance can be enjoined by a suit filed in the name of the City of Arlington in a court of competent jurisdiction, and this remedy shall be in addition to any penal provision in this ordinance or in the Code of the City of Arlington. 7. The caption and penalty clause of this ordinance shall be published in a newspaper of general circulation in the City of Arlington, in compliance with the provisions of Article VIZ, Section 15, of the City Charter. Further, this ordinance may be published in pamphlet form and shall be admissible in such form in any court, as provided by law. 8. This ordinance shall become effective ten (10) days after first publication as described above. PRESENTED AND GIVEN FIRST READING on the day of , 2006, at a regular meeting of the City Council of the City of Arlington, Texas; and GIVEN SECOND READING, passed and approved on the day of r T , 2006, by a vote of ayes and nays at a regular meeting of the City Council of the City of Arlington, Texas. ROBERT N. CLUCK, Mayor ATTEST: BARBARA G. HEPTIG, City Secretary APPROVED AS TO FORM: JAY DOEGEY, City Attorney MR (12) tud Co"C'11 Members- - February Agenda Item No: vII - Approval of r: " • . Agreement _, - - of Arlington and _ of Kennedale Summary: The City of Arlington is planning wastewater improvements that encompass the Eden Road, and Mansfield Cardinal Road area. Staff has met with Arlington to ensure that improvements in that area include a provision for wastewater service for the City of Kennedale residents. The proposed agreement between the City of Kennedale and the City of Arlington would permit a cost sharing arrangement for said improvements. The city of Arlington, through the Trinity River Authority, would provide for the treatment of wastewater from that general area. Recommendation: City staff recommends approval of this agreement CADocuments and settings\ cbrownVnydocuments \samplestaffreport INTERLOCAL AGREEM ff CITY OF - • • CITY OF r. THE STATE OF TEXAS § § KNOW ALL BY THESE PRESENTS COUNTY OF TARRANT § THIS INTERLOCAL AGREEMENT (hereafter "Agreement ") is made and entered into on this the day of 2008, by and between the CITY OF ARLINGTON, TEXAS, a municipal corporation (hereinafter referred to as "ARLINGTON "); and the CITY OF KENNEDALE, TEXAS, a municipal corporation (hereinafter referred to as "KENNEDALE "). WHEREAS, the Texas State Legislature has authorized the formulation of interlocal cooperation agreements between and among governmental entities pursuant to the Interlocal Cooperation Act, Chapter 791 of the Texas Government Code, as amended. WHEREAS, the governing body of each entity believes that this agreement is necessary for the benefit of the public and that each party had the legal authority to provide governmental function which is the subject of the Interlocal Agreement; and WHEREAS, the parties, in paying for the performance of governmental functions or in performing such governmental functions pursuant to the Interlocal Agreement shall make payments therefor only from current revenues legally available to such party; NOW THEREFORE, In consideration of the premises and the agreements, covenants and promises herein set forth, it is agreed as follows: I. DUTIES ARLINGTON plans to construct the Eden Road /Mansfield Cardinal Road Sanitary Sewer Extension project as shown generally on Exhibit "A ". The project shall be completed in accordance with the final construction plans, once those plans have been completed and approved by the city engineers of Kennedale and Arlington, or their respective designees. KENNEDALE agrees to participate in cost sharing with ARLINGTON as described below. A. KENNEDALE agrees to pay ARLINGTON for a portion of the engineering design services in the amount of $17,400. The engineering design services include design, surveying and construction administration. B. ARLINGTON agrees to prepare all utility and temporary construction easement documents applicable to the proposed Eden Road /Mansfield Cardinal Road Sanitary Sewer Extension. KENNEDALE agrees to coordinate, obtain and pay for the acquisition of all utility and temporary construction easements required for the parcels that are located in KENNEDALE city limits, which shall be specific on the agreed final construction plans. C. KENNEDALE agrees to pay ARLINGTON for a portion of the construction cost. KENNEDALE shall, pay the actual share of costs as determined by the terms of this paragraph or an amount not to exceed $140,000 , whichever is lower. The actual amount owed by KENNEDALE shall be based on the line items in the Cost Sharing Table shown on Exhibit "B" and the awarded contractor's unit prices. D. KENNEDALE shall make payment under this agreement within 30 days of receipt of ARLINGTON's written request for payment of KENNEDALE's share of incurred engineering services and construction costs. Payment shall be treated under terms of the Texas Prompt Payment Act. NO VERBAL AGREEME This Contract contains all the terms, commitments and covenants of the PARTIES pursuant to this Contract. Any verbal or written commitment not contained in this Contract or expressly referred to in this Contract and incorporated by reference shall have no force or effect. W AGREEMENT INTERPRETATI A ND VENUE The PARTIES covenant and agree that any litigation relating to this AGREEMENT, the terms and conditions of the AGREEMENT will be interpreted according to the laws of the State of Texas and venue shall be proper exclusively in Tarrant County, Texas. IV. CAPTION The captions to the various clauses of this AGREEMENT are for informational purposes only and in no way alter the substance of the terms and conditions of this AGREEMENT. V. IMMUNITY It is expressly understood and agreed that, in the execution of this AGREEMENT, no party waives, nor shall be deemed hereby to waive, any immunity or defense that would otherwise be available to it against claims arising in the exercise of governmental powers and functions. VI. SEVERABILITY If any of the terms, sections, subsections, sentences, clauses, phrases, provisions, covenants or conditions of this AGREEMENT are for any reason held to be invalid, void or unenforceable, the remainder of the terms, sections, subsections, sentences, clauses, phrases, provisions, covenants, or conditions in this AGREEMENT shall remain in full force and effect and shall in no way be affected, impaired or invalidated. EXECUTED in multiple original counterparts to be effective on the date above first written. This agreement shall become effective on the date first written above. (3) ATTEST: KAREN BARLAR Acting City Secretary ATTEST: KATHY TURNER CITY SECRETARY FIONA M. ALLEN Deputy City Manager APPROVED AS TO FORM: JAY DOEGEY, City Attorney Im CITY OF KENNEDALE, TEXAS BOB HART CITY MANAGER APPROVED AS TO FORM: WAYNE K. OLSON CITY ATTORNEY �i Rd/Mansf Exhibit A Eden I I Rd Sanitary Sewer Extension O I Nj � W . z �I WI SUBLETT _ I �\ �l I t7 Wt �< Legend Sublett Rd Meter MH i Project Location Arlington City Boundary GLAZE I Gl� of . -- - - - - -- �� \ TMs dacumeM is nal Intended for usa as a survey product Map OOC Um ent,X.18.Sine.IWIS�giSICOMMRES GISUVap Request,IFY0&07AWA_InMtkcal Agreement Exhiblt lExhibR B2.mxu)OM \ `\ i .. EDEN . .. ..... .. ..... ........ _ - -- -- ..................... .! ......::: :::::::::::::: ......:: ::::::::YI::::::::::::: \,� I% o :::� ...................... l: ii i:! isi:iii:i LL :.:................... : i:i::i. .................... .................... \2 z I 9 ! .... ........... .. .......... ! ........ ..... .. .. .. ... ..... ... ........ .. ... ..... ... ............. ..... ............................... .......... .. ....... J..................... .... ....... ..... :: .. :... ...... ............ :::::::::::: ::::.::::::.::::::..::::�:::::. I \ . .. . ..... .. ........ ....... .. ... ..... .............. ............................... .......... .. .. ...... .. ... I `\ ZI \ ; :ii: :: :c:::::: :::: y:iii:::ii: iii:::; iiiiiiiiiiiiiiii ::•r�iicti:iiii:i::::iiiii; ... c :::: ::......::::ii:::::ii:i:i:i'�� \ ..... ...................... ............................... ....... ........... .. ....... .... kTCHELR — ....::::: ::. .�................. \. \ ....... ..... G ......... 1.................. ........................ :.......: s , . ............................... TMs dacumeM is nal Intended for usa as a survey product Map OOC Um ent,X.18.Sine.IWIS�giSICOMMRES GISUVap Request,IFY0&07AWA_InMtkcal Agreement Exhiblt lExhibR B2.mxu)OM a1_��: - c COST SHARING TABLE Item Description Kennedale Cost Qty Unit Unit price % Cost Sharing 8" DIA. Sewer - Business 287 13.8 LF * 100 8" DIA. Sewer - Eden Rd 405 LF * 50 12" DIA. Sewer - Eden Rd 225 LF * 50 12" DIA. Sewer - Eden Tap Rd 1,202 LF * 50 4' DIA. SSMH 5 EA * 50 4' DIA. SSMH Extra Depth 9 VF * 50 5' DIA. SSMH 3 EA * 50 5' DIA. SSMH Extra Depth 36 VF * 50 5' DIA. SSMH 1' EA * 100 5' DIA. SSMH Extra Depth 5 VF * 100 5' DIA. Drop SSMH 1 EA * 50 Trench Safety 1832 LF * 50 Trench Safety 138 LF * 100 Asphalt Pavement Repair 207 LF * 50 Metering SSMH (electronics only) 1 LS * 100 4" Sanitary Sewer Services 5 EA * 100 SWPPP (Design /Implementation) 1 LS * 10 * Determined by the awarded contractor's unit prices Sheet 1 of 2 Estimated Easement Purchase Cost SS05 -012 (Eden Rd /Mansfield Cardinal Rd Sanitary Sewer Extension) City of Arlington Properties Parcel # Easement Type Owner Area (sf) Zoning Price Total 5 Sanitary Sewer Samuel 8,091 A $ 1.75 $ 14,159.25 6 Sanitary Sewer Houston 2,543 A $ 1.75 $ 4,450.25 7 Sanitary Sewer Marcom 17,778 A $ 1.75 $ 31,111.50 8 Sanitary Sewer Delacruz 885 A $ 1.75 $ 1,548.75 9 Sanitary Sewer Rankin 917 A $ 1.75 $ 1,604.75 10 Sanitary Sewer Webb 185 A $ 1.75 $ 323.75 12 Sanitary Sewer Shield 1,054 A $ 1.75 $ 1,844.50 13 Sanitary Sewer Adams 3,180 A $ 1.75 $ 5,565.00 14 Sanitary Sewer Safae and Aghlani 2,129 IM $ 5.00 $ 10,645.00 15 Sanitary Sewer Manis 5,044 A $ 1.75 $ 8,827.00 16 Sanitary Sewer Sommerville 22,833 A $ 1.75 $ 39,957.75 17 Sanitary Sewer Nguyen 2,150 IM $ 5.00 $ 10,750.00 18 Sanitary Sewer Partridge 2,150 A $ 1.75 $ 3,762.50 5 Temporary Construction Samuel 4,534 A $ 0.18 $ 816.12 7 Temporary Construction Marcom 10,424 A $ 0.18 $ 1,876.32 10 Temporary Construction Webb 447 A $ 0.18 $ 80.46 12 Temporary Construction Shield 1,579 A $ 0.18 $ 284.22 13 Temporary Construction Adams 4,770 A $ 0.18 $ 858.60 14 Temporary Construction Safae and Aghlani 3,194 IM $ 0.50 $ 1,597.00 15 Temporary Construction Manis 7,569 A $ 0.18 $ 1,362.42 16 Temporary Construction Sommerville 17,592 A $ 0.18 $ 3,166.56 17 Temporary Construction Nguyen 3,225 IM $ 0.50 $ 1,612.50 18 Temporary Construction Partridge 3,225 A $ 0.18 $ 580.50 Easement Cost = $ 146,784.70 Filing Cost (23 x $30) _ $ 690.00 Arlington Total Easement Cost = $ 147,474.70 Revised 1 -09 -08 Sheet 2 of 2 City of Kennedale Properties Parcel # Easement Type I Owner Area (sf) Zoning Price , Total 1 * Sanitary Sewer Sellars 2,940 A $ 1,75 $ 5,145,00 2 * Sanitary Sewer TXU 1,130 A $ 1.75 $ 1,977.50 3 * Sanitary Sewer Sellars 15,720 A $ 1.75 $ 27,510.00 4 * Sanitary Sewer Willis 11,446 A $ 1.75 $ 20,030.50 11 Sanitary Sewer Nichols 1,391 A $ 1.75 $ 2,434.25 1 Temporary Construction Sellars 7,831 A $ 0.18 $ 1,409.58 2 Temporary Construction TXU 3,159 A $ 0.18 $ 568.62 3 Temporary Construction Sellars 12,751 A $ 0.18 $ 2,295.18 4 Temporary Construction Willis 7,586 A $ 0.18 $ 1,365.48 11 Temporary Construction Nichols 2,048 A $ 0.18 $ 368.64 Easement Cost = $ 63,104,75 Filing Cost (10 x $30) = $ 300.00 Kennedale Total Easement Cost = $ 63,404.75 TOTAL PROJECT EASEMENT COST = $ 210,879.45 * These easements are currently being modified per Kennedale /Arlington plan review comments. The area calculations are to be considered approximate until the surveyor completes the revised easement descriptions. Note: The purchase price for the easements are based on the recent land sale price with respect to location and zoning type. This is a dollar per square foot price. The price is then cut in half for utility easement acquisition. The zoning classifications for this area are Industrial Manufacturing (IM), Estate (E), and Agricultural (A). The initial estimated cost per square foot shall be the following: (IM) = $10 / SF, (E) = $4 / SF, (A) = $3.50 / SF. Temporary easements are usually purchased for 10% of the utility easement cost per square foot. Example: Zoning = A, Therefore 50% of $3.50 / SF = $1.75 / SF Sanitary Sewer Easement Area = 1,500 SF Easement Cost = 1,500 SF x $1,75 / SF = $2,625 Revised 1 -09 -08 0 O N M . M N rn L]. 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M N rn L]. Q. m N m CL n lu I M C A G (D N N O 7 v Agenda It o: vII. - i • _ Summary: The City of Kennedale has been working with the City of Fort Worth to provide a connection point for wastewater service for the Oak Crest service area. The proposed contract would permit the city to connect to the Fort Worth Wastewater system in order to provide wastewater service to the Oak Crest service area. The contract is a standard contract based upon an amendment to the city's Wholesale Wastewater Contract with the city of Fork Worth. The approval of this contract would provide a long sought agreement to help with the redevelopment of the Oak Crest area. CADocuments and Se ftingslcbrown \mydocumentslsamplestaffreport FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 20141 KENNEDALE WHOLESALE WASTEWATER CONTRACT WHEREAS, on the 8 day February, 1994, the City of Fort Worth and the City of Kennedale entered into City of Fort Worth City Secretary Contract No. 20141 (the "Contract "), providing for the treatment of wastewater for the area described in exhibit "A" to the contract at the point of connection described in Exhibit "B" to the contract, said exhibits being attached to this First Amendment for reference; and WHEREAS, the City of Kennedale desires to obtain a second point of wastewater connection to serve the Oak Crest neighborhood thereby amending the service area in the contract to include the area described in Exhibit "C" to this First Amendment at Exhibit "D" to this First Amendment; and WHEREAS, City of Fort Worth and the City of Kennedale have entered into a Memorandum of Understanding ("MOU ") known as City Secretary Contract No. 35488 setting out the terms and conditions for the provision of a wastewater service for the second point of connection by Fort Worth in consideration of Kennedale's cooperation and withdrawal of objection to Fort Worth's applications for a permit modification to its Southeast Landfill; WHEREAS, the parties have acknowledged and confessed that a second point of connection should be made to serve the Oak Crest neighborhood pursuant to the terms and conditions contained herin. -0G3 1. City of Fort Worth City Secretary Contract No. 20141 is hereby amended by the addition of paragraph 32, which shall be and read as follows: 32. Additional Points of Connection and Removal of a Point of Connection 32.1 Customer is granted a second point of connection to the Fort Worth System at the location as shown on Exhibit "C" attached hereto and made a part hereof for all purposes. Fort Worth agreed to accept all wastewater generated from customer's service area described in Exhibit "C" attach6 here to and made a part hereof for all purposes at the second point of connection as shown in Exhibit "D» 32.2 Customer, at its sole cost and expense, shall: o Provide an inline manhole on the M -257 -C sewer main; ® Ensure private sewer backflow devices are installed at Kennedale properties fronting on and south of Oak Crest Drive and at any sewer plumbing connection that is below elevation 578', Construct a sewer metering station and provide electrical power to the sewer metering station. 32.3 Customer shall be responsible for the design and contruction of the metering facility and the installation of all metering equipment and backflow devices, which shall be subject to the review and approval of Fort Worth. Customer shall also pay a 2% inspection fee of the total meter construction cost to Fort Worth. 32.4 Upon completion of the meter vault and metering equipment, Fort Worth shall inspect the meter vault and metering equipment. If Fort Worth determines that the meter vault and metering equipment is in compliance with paragraph 3 of the contract, Fort Worth shall accept the same and shall be responsible for the operation and maintenance of the equipment. The cost of such operation and maintenance shall be a System Cost. 32.5 In the event Customer desires to have a larger metering station installed, Customer shall make written request to Fort Worth for its consideration. If Fort Worth, in its sole discretion, gives its written approval of the installation of the larger station, Customer, at its sole cost and expense, shall be responsible for the design and installation of the improvements. 2. All other terms, conditions, and covenants contained in City of Fort Worth City Secretary Contract 20141 not amended herein continue in full force and effect. CITY OF FORT WORTH Marc Ott ASSISTANT CITY MANAGER DATE: APPROVED AS TO FORM AND LEGALITY ASSISTANT CITY ATTORNEY ATTEST MARTY HENDRIX CITY SECRETARY CITY OF KENNEDALE Bob Hart CITY MANAGER DATE: APPROVED AS TO FORM AND LEGALITY CITY ATTORNEY ATTEST KATHY TURNER CITY SECRETARY Kennedale Amendment Final Page 3 of 3 �b is a QfJ Q NUjID Q tOpMl"' pQQJ O Q >i> z w1--crZ In cn x Ii FY „ 1 .u3f.m• � I � I � 13 ' ,q 1 s ..• a";; �,¢• K«, ;nom 1 � � I� 1 ,� , ! I1 `d 1 ,l; . " s�cl N W _ = 1 %pl i!• ({ # %} it !ii � 1 �! ` � � '� � ,. arm w,p,,,_° if �b is a QfJ Q NUjID Q tOpMl"' pQQJ O Q >i> z w1--crZ In cn x Ii FY „ 1 .u3f.m• � I � I � 13 ' ,q 1 s ..• a";; �,¢• K«, ;nom 1 � � I� 1 ,� , ! I1 `d 1 ,l; . " s�cl N W "'ITY OF KENNEDALE N't V ec 4x is \` 's; ` + �• \•\ .� /'e«� i /rC_s _ _ .,��\ vi . TA IL T fETE R ADl 3 \ t� % �! L a +E a / ... (G_0NNEGr1 'BELOW 7 A l EXHIBIT B' FORT WORTH - SANITARY SEWER SERVICE AREA ..� yak\ J • ,: .,\ \�\ \ �\\ �� r J� •.-, / ` 1T 1N381 r S ` / • % 'a.� o ice. PROPO� D ^ vv� co TIQI FORT 257— O. � FORES LIL,140 Ty offs tlAK 5 t4 ;�y � EpfEh (�N `f—tloYifi EXHIBIT C PROPOSED CO NNECTION / WORTH FORT Al 257 r� v� CITY OF KENNEDALE, TEXAS OFFICE OF THE CITY SECRETARY COUNCIL MEETING MINUTE SLIP DATE: FEBRUARY 14, 2008 REGULAR ITEMS: CONTRACT /AGREEMENT NO. FAILED FOLLOW UP: CITY SECRETARY'S FOLLOW UP: Ml�� Date: February 8, 2008 Agenda Item N®: VIII. - k ubjeCt: Review and consider acceptance of TownCenter Plaza bid proposals. Originated by : James Cowey, Building Official Summary: Bid for the above referenced project. The staff is continuing to proceed with the development of Rolling Acres Park and the Town Center Plaza. Bids were advertised for the following components of TownCenter with the bids being due by 3:00 p.m. on Wednesday, February 6th, 2008. Listed below are the bid items along with the actual bids received. 2 -m 4 diameter Tower Clocks and system along with installation Wrought -Iron fence material and installation undance Fence & Iron - $20,852 F & M Fence - $42, 685.00 Steel fabrication for structural components for (1) one Pavilion and (1) one Tower Clock ,, Fabricators — Clock Tower Structure - $20,200 & Pavilion Structure $21,630.00 Total - $41,830.00 CITY OF KENNEDALE, TEXAS OFFICE OF THE CITY SECRETARY COUNCIL MEETING MINUTE SLIP DATE: FEBRUARY 14, 2008 REGULAR ITEMS: ITEM NUMBER: VIII -1 MOTION: COUNCIL MEMBERS MOTION SECOND AYE NAY ABSTAIN /A SENT CLARK JOHNSON MILLER GREEN ►. " NOWELL ORDINANCE/RESOLUTION NO. 3W 5 CARRIED �` CONTRACT /AGREEMENT NO. FAILED FOLLOW UP: CITY SECRETARY'S FOLLOW UP: Date: e• 1! Agenda laws of - state of . city ordinances Summary; The proposed ordinance clarifies the role and position of the Fire Marshal within the city organization. The proposed ordinance provides for the creation of the office of the Fire Marshall and provides flexibility for its placement within the organization. Recommendation: City staff recommends approval of this Ordinance CADocuments and Settingslcbrown lmydocuments\samplestaffreport ORDINANCE NO 3 WHEREAS, the City of Kennedale, Texas is a home rule city acting under its charter adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and Chapter 9 of the Local Government Code; and WHEREAS, the enforcement of laws of the State of Texas as well as City ordinances is an important and vital function of the City of Kennedale; and WHEREAS, the City Council has determined that it is necessary in order to protect the public health, safety and welfare of the citizens of the City of Kennedale that the fire marshals in the City of Kennedale that are certified as peace officers by the State of Texas should have the authority to carry out the laws of the State of Texas as well as City ordinances. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF �► _ • t - - -r T,71- .% read as follows: W.Wennedale\01RDINANC1Fire Marshal authoritympd (11- 21 -07) Page 1 The office of fire marshal is hereby created. Such office shall be an independent position, unless designated as a position under a particular city department, as determined by the city manager, with the fire marshal reporting directly to the city manager when no city department is designated. Such office shall be filled by appointment by the city manager and employment shall be at -will. The fire marshal may further designate an assistant fire marshal, deputy fire marshal and other officers to work within the office of the fire marshal. Sec. 8 -22. Investigation of fire; records. The fire marshal shall investigate or cause to be investigated the cause, origin and circumstances of every fire occurring within this city by which property has been destroyed or damaged, and shall especially make investigations as to whether such fire was the result of carelessness or design. Such investigation shall be begun within twenty -four (24) hours, not including Sunday, of the occurrence of such fire. The fire marshal shall keep in his office a record of all fires, together with all facts, statistics and circumstances, including the origin of the fires and the amount of the loss, which may be determined by the investigation requred by this article. Sec. 8 -23. Enforcement authority; compelling testimony; bringing charges against suspects. The fire marshal, assistant fire marshal, deputy fire marshal, or any other officers who are certified as peace officers by the State of Texas and appointed to work as a fire marshal shall have the authority to enforce the laws of the state and ordinances of the city as allowed by the laws of this state. Authority granted to the fire marshal under this article shall apply to the assistant fire marshal, deputy fire marshal and other officers appointed to work as a fire marshal. The fire marshal, when in his opinion further investigation is necessary, shall take or cause to be taken the testimony, on oath, of all persons supposed to be cognizant of any facts or to have means of knowledge in relation to the matter under investigation, and shall cause the same to be reduced to writing. If he is of the opinion that there is evidence sufficient to charge any person with the crime of arson, or with the attempt to commit the crime of arson, or of conspiracy to defraud, or criminal conduct in connection with such fire, he shall cause such person to be lawfully arrested and charged with such offense or either of them, and shall furnish to the proper prosecuting attorney all such evidence, together with the names of witnesses and all of the information obtained by him, including a copy of WAKennedale \ORDINANCTire Marshal authoritympd (11- 21 -07) Page 2 all pertinent and material testimony taken in the case. This ordinance shall be cumulative of all provisions of ordinances of the City of Kennedale, Texas, except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances, in which event the conflicting provisions of such ordinances are hereby repealed. It is hereby declared to be the intention of the City Council that the phrases, clauses, sentences, paragraphs, and sections of this ordinance are severable, and if any phrase, clause sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional phrase, clause, sentence, paragraph or section. SECTION 4. Any person, firm or corporation who violates, disobeys, omits, neglects or refuses to comply with or who resists the enforcement of any of the provisions of this Ordinance shall be fined not more than Two Thousand Dollars ($2,000.00) for each offense. Each day that a violation is permitted to exist shall constitute a separate offense. [�3 =C« 11 Fool All rights and remedies of the City of Kennedale, Texas, are expressly saved as to any and all violations of the provisions of the Kennedale City Code or other ordinances WAKennedale\01RDINANCTire Marshal autharitympd (11- 21.07) Page 3 relating to emergency management and services or fire prevention which have accrued at the time of the effective date of this Ordinance, and, as to such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such ordinances same shall not be affected by this Ordinance but may be prosecuted until final disposition by the courts. The City Secretary of the City of Kennedale is hereby directed to publish the caption, penalty clause, publication clause and effective date of this Ordinance as required by Section 3.10 of the Charter of the City of Kennedale. SECTION 7. This ordinance shall be in full force and effect from and after its passage and publication as required by law, and it is so ordained. PASSED AND APPROVED ON THIS DAY OF , 20 ATTEST: CITY SECRETARY EFFECTIVE: CITY ATTORNEY MAYOR W: \Kennedale \ORDINANC\Fire Marshal authoritympd (11- 21 -07) Page 4 CITY OF KENNEDALE, TEXAS OFFICE OF THE CITY SECRETARY COUNCIL MEETING MINUTE SLIP DATE: FEBRUARY 14, 2008 REGULAR ITEMS: ITEM NUMBER: VIII -m M ORDINANCE/RESOLUTION NO. CARRIED CONTRACT /AGREEMENT NO. FAILED FOLLOW UP: CITY SECRETARY'S FOLLOW UP: I � To the Honorable Mayor and City Council Date: Februaiy 8, 2008 Agenda Item No: VIII. - in Subject: Review and consider appointment to the Kennedale Economic Development Corporation Board of Directors. Originated by : Kathy Turner, City Secretary Summary Robert Mundy, KEDC President and Mike Soab, KEDC Director met with two EDC Board applicants Saturday, January 26, 2008. Both applicants are excellent candidates with much merit. However, because of specific applicable education, practical business and economic experience, and civic volunteerism, we recommend Megan Husby for the remaining vacant KEDC Board seat. Recommendation: Recommend Council appoint Megan Husby to the KEDC Board of Directors, Place 6 with a term to expire September 2008. Disposition by Council: om —. � 2 405 Municipal Drive, Kennedale, Texas 76060 BO /COMMISSION CANDIDATE DATA SHEET Check all Board and Commissions of Interest and rank order of interest from 1 to 6: ❑ Park Board ❑ Board of Adjustment ❑ Planning & Zoning ❑ Building Board of Appeals ❑ Library Advisory Board ®_ 1 Development Board Name: Megan Husby Age (Optional): 32 Home Address: 452 Mansfield Cardinal Rd Home Phone: (817) 478 -1965 Business /Cell Phone: (817)966 -8419 Business Address: 525 S Griffin Street Suite 221 Dallas TX 75202 Resident of City for 3 Years Voter Registration No.: 01995082 Occupation: Economist Education: Bachelor's in Economics and Business Management Special Knowledge or Experience Applicable to City Board or Commission Function: ❑ Banking/Finance ® Business Development ❑ Building/Construction ® Promotion/Marketing ❑ Real Estate/Development ❑ Manufacturing/Industrial Operations ❑ Industrial Training ❑ Law /Contract Administration Other information (Civic Activities, etc.): I have attended one or more meetings of the board or commission for which I hav applied: ® Yes ® No Date: 12j— ® q" 12 q Signature: RETURN COMPLETED FORM TO THE CITY SECRETARY'S OFFICE, City of Kennedale, 405 Municipal Drive, Kennedale, Texas 76060 Phone: (817) 483 -1296 Fax: (817) 483 -0133 E -mail: kturner @cityofkennedale.ci Megan M. Husby 452 Mansfield Cardinal Rd • Kennedale, Texas 76060 • Tel. (817) 966 -8419 • mmhusby @yahoo.com • Successful in creating and implementing sales projections and strategies • Experienced in developing and managing business relationships • Experienced in industry research and analysis • Experienced in team dynamics and project development Bachelor of Business Administration in Economics and Business Management Southwest Texas State University, 1998, San Marcos, Texas Coursework Strategic Management and Business Policy, Managerial Economics, Developmental and Public Policy, Monetary Theories and Banking Systems, Business Finance, Labor Economics Economist Bureau of Labor Statistics, Dallas, Texas 2000 -xxxx • Applied economic methodology in computerized data collection and processing systems • Reviewed specialized methods, tools, analysis techniques for quantifying, measuring, and understanding economic relationships • Plan and conduct surveys to collect economic data • Write and edit reports and other communications on a wide variety of economic special projects Chief Operating Officer Priscilla's, Houston, Texas 1999 -2000 • Managed five sales representatives • Controlled the hiring, scheduling, and the training of new employees • Contributed to the development and design of new product lines • Created interior and display designs for retail store location Contract Employment Dublin, Ireland 1999 -1999 • International Intercontinental Bank - personal assistant to chief executive • Anderson Consulting -team member of tax reclassification project Sales Representative Cingular Wireless, Houston, Texas 1998 -1999 • Demonstrated success in cold calling and territory management • Created and delivered effective technical sales presentations to many levels of decision makers • Prepared monthly forecasts, acquired new accounts, and reduced customer turnover by 5% in my territory Private Tutor San Marcos, Texas 1996 -1998 • Instructed college level micro and macroeconomic courses and taught applications • Developed study schedules and coached students on effective test taking methods Marketing Representative Corporate Events, Austin, Texas 1994 -1996 • Developed and implemented successful destination management marketing plan for the southwest region of the United States • Organized and directed promotional events for Fortune 500 Companies Computer: Microsoft Windows / Office Suite, Access, Adobe, Quicken, Frontpage Certifications /Licenses: Insurance license (health & life), CEBS (spring 2009) Language: Knowledge of Spanish and Italian M I I �� ; 1 . ii , IT 1 i mp =I To the Honorable Mayor and City Council Date: February 8, 2008 Agenda Item No: IX Subject: Executive Session " Originated by : Kathy Turner, City Secretary Summary: a. The City Council will meet in closed session pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda and legal issues regarding amortization of nonconforming uses; weight permits on Dick Price Road; regulation of sexually oriented businesses; and litigation, settlement offers, and /or claims regarding the following matters: 1. H &A Land Corporation, d /b /a Showtime Cabaret v. City of Kennedale; Cause No. 402 -CV- 0458 -Y (Dreamer's) 2. Drainage problems in Oak Hill 3. Potential litigation with Wal -Mart regarding Southwest Crossing Addition, Portion of Lot 2, Block 1, Kennedale, TX 4. Advice from attorney on special use permits and amortization. b. The City Council will meet in closed session pursuant to Section 551. 072 of the Texas Government Code to deliberate the purchase, exchange, lease, or value of real property — Jacob Pricket Survey, Abstract 1225, Tracts 12A, 12B and 12C (309 North Rd., Kennedale, TX). • i • • fm =I- To the Honorable Mayor and City Council Date: February 8, 2008 .. ,.. • Subject: Reconvene into open session, and take action necessary pursuant to executive session, if necessary. Originated by: Kathy Turner, City Secretary Summary: a. The City Council will meet in closed session pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda and legal issues regarding amortization of nonconforming uses; weight permits on Dick Price Road; regulation of sexually oriented businesses; and litigation, settlement offers, and /or claims regarding the following matters: H &A Land Corporation, d /b /a Showtime Cabaret v. City of Kennedale; Cause No. 402 -CV- 0458 -Y (Dreamer's) Drainage problems in Oak Hill Potential litigation with Wal -Mart regarding Southwest Crossing Addition, Portion of Lot 2, Block 1, Kennedale, TX Advice from attorney on special use permits and amortization. b. The City Council will meet in closed session pursuant to Section 551. 072 of the Texas Government Code to deliberate the purchase, exchange, lease, or value of real property — Jacob Pricket Survey, Abstract 1225, Tracts 12A, 12B and 12C (309 North Rd., Kennedale, TX). Disposition by Council: