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1988R04- T HE RENEWAL OF FRANCHISES RESOLUTION NO. 'fifi-I?-f A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS SUPPORTING THE EFFORTS BY BEXAR COUNTY AREA SUBURBAN CITIES TO' NEGOTIATE, WITH CITY PUBLIC SERVICE AND THE CITY OF SAN ANTONIO, THE RENEWAL OF FRANCHISES FOR DISTRIBUTION OF GAS AND ELECTRICAL SERVICES WITH THE CITY OF SCHERTZ, TEXAS.' WHEREAS, the suburban cities in the Bexar County area have been meeting during the past several months to review and discuss their local franchise agreements with City Public Service (CPS); and WHEREAS, during a meeting held with CPS representatives on February 29, 1988, these representatives indicated a willingness to negotiate a number of items inCluded in the local franchise agreements; and WHEREAS, following this meeting, a committee of City officials met and recommended the formation of an organization of Bexar County area suburban cities, hereinafter referred to as United Suburban Cities (USC), to proceed with the negotiations with CPS and San Antonio as well as to discuss other issues impacting the suburban cities in the Bexar County area; and WHEREAS, this committee also determined the need for a resolution of support from each suburban City in the Bexar County area to strengthen the negotiations with. City Public Service and assist in the discussions on other issues of mutual interest; and WHEREAS, this resolution of support, in no way, serves as a financial commitment on the part of the City of Schertz, Texas; and WHEREAS, it is understood that the City of Schertz is entitled to appoint 1-2 representatives to a steering committee of the United Suburban Cities organization. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS: I THAT support is hereby given to the efforts of Bexar County area suburban cities to renegotiate all local franchises with City Public Service for gas and electrical services. II THAT participation will be given in a United Suburban Cities (USC) organization to represent the interests of the suburban cities. III THAT the following individual(s) are hereby appointed to a steering committee of the United Suburban Cities: 1. 2. PASSED, APPROVED AND ADOPTED this the J day of ~~/, 1988. ~:;~i~:':; ATTEST: City of Schertz onverse P,O, BOX 36 CONVERSE. TEXAS 78109-0036 =- PHONE (512) 658-1965 658-5356 Mayor BRUCE FRIESENHAHN COUNCilMEN: CAY HERNANDEZ BUCK BROWN RICK EDWARDS RAY MATHIS EDWARD NOVACK GARY PALMER KENT A. MYERS. City Manager JOHN KLAIBER. Asst. Cily Manger GRACIE BEANE, City Secretary MARK D'SPAIN. Chief of Police RA McNAIR. Public Works Oir. March 8, 1988 The Honorable Earl W. Sawyer Mayor of Schertz P.O. Drawer 1 Schertz, Texas 78154 Dear Mayor Sawyer: As you know, during the past several months, a number of meetings have been held between Bexar County cities to discuss issues relating to our franchise agreements with City Public Service. On February 29, a meeti ng was held between CPS representa ti ves and a 1 arge number of City officials to begin negotiations on the franchises. Mr. Don Thomas, Manager of Financial Services for CPS, indicated a willingness to negotiate several major items in the franchises. Following this meeting, the committee of City officials that was recently estab 1 i shed to negoti ate the CPS franchi se met on March 2nd. . Thi s Commi ttee made several recommendations including the following: 1. Each City that wants to continue supporting these negotiation efforts should indicate their support by adopting a resolution. The previous resolution caused some confusion, so each City is requested to approve the attached standard resol uti on and return it to the City of Leon Valley by the end of March. This resolution will greatly strengthen the negoti ati ons, by showi ng the other parti es that we are all working together on this issue. 2. Each Ci ty shoul d have the opportuni ty to appoi nt 1-2 members to a steeri ng commi ttee that wi 11 handl e the negoti ati ons. Whi 1 e some cities may not want to appoint a local representative, the attached resolution provides you an opportunity to appoint 1-2 persons from your Councilor staff. Honorable Earl W. Sawyer Mayor of Schertz March 8, 1988 Page 2 3. A more formal organization, with a specific name, should be organi zed to represent the ci ti es' interests on the CPS issue and future matters of mutual interest. The name recommended for the suburban cities organization was United Suburban Cities (USC). 4. During the next 4-6 weeks, a detailed budget and interlocal agreement will be prepared. At that time, all cities will have an opportunity to decide on making a financial commitment for sharing the costs of the negotiations and possible future litigation. This cost share will be based upon the per-centage of CPS annual billings that each City incurs in relation to the total billings of all the cities that will be participating. Thank you for your interest in this important issue. Feel free to call any of us if you have any questions. Also, if you would like someone to be present at your Council meeting when the attached resolution is considered, please let us know. Sincerely, Irene Baldridge Mayor, Leon Valley Warren Larck Mayor, Kirby Dan Whealen Councilman, Universal City Norm Tremblay Mayor, Live Oak Don Manning City Manager, Leon Valley Kent Myers City Manager, Converse