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ORDINANCE NO. 1527
<br />SERIES 2007
<br />AN ORDINANCE GRANTING ANON-EXCLUSIVE FRANCHISE BY THE CITY OF
<br />LOUISVILLE TO PUBLIC SERVICE COMPANY OF COLORADO AND ITS LAWFUL
<br />SUCCESSORS AND ASSIGNS :FOR THE RIGHT TO MAKE REASONABLE USE OF
<br />CITY STREETS TO PROVIDIE UTILITY SERVICE TO THE CITY AND TO ITS
<br />RESIDENTS AND TO ACQUIRE, PURCHASE, CONSTRUCT, INSTALL, LOCATE,
<br />MAINTAIN, OPERATE, AND EXTEND INTO, WITHIN AND THROUGH THE CITY
<br />ALL COMPANY FACILITIES REASONABLY NECESSARY FOR THE
<br />GENERATION, PRODUCTION, MANUFACTURE, SALE, STORAGE, PURCHASE,
<br />EXCHANGE, TRANSMISSION, TRANSPORTATION AND DISTRIBUTION OF
<br />UTILITY SERVICE WITHIN AND THROUGH THE CITY, AND APPROVING A
<br />STREET LIGHTING AND TRAFFIC SIGNAL LIGHTING SERVICE AGREEMENT
<br />AND A RIGHT OF FIRST PURCHASE LETTER AGREEMENT BETWEEN THE CITY
<br />AND PSCO.
<br />WHEREAS, Public Service Company of Colorado, doing business as Xcel Energy
<br />("Company"), currently holds an electric and gaseous fuel franchise from the City of Louisville
<br />("City"), granted by Ordinance No. 544, Series 1977, as amended by Ordinance No. 994, Series
<br />1989, Ordinance No. 1258, Series 1.997, Ordinance No. 1296, Series 1999, Ordinance No. 1378,
<br />Series 2002, Ordinance No. 1449, Series 2004, Ordinance No. 1548, Series 2004, Ordinance No.
<br />1472, Series 2005, and Ordinance No. 1522, Series ("current franchise"); and
<br />WHEREAS, the current franchise extends through December 31, 2007; and
<br />WHEREAS, the Company and the City have been involved in negotiations related to the
<br />granting of a new franchise to the Company, and these negotiations have resulted in a proposed
<br />Franchise Agreement that is being presented to City Council for its consideration and approval
<br />(the "Franchise Agreement"), a copy of which Franchise Agreement accompanies this ordinance
<br />and is on file with the City Clerk; and
<br />WHEREAS, the Franchise Agreement includes, among other provisions, the following
<br />major terms and conditions: (1) a term of twenty years; (2) a requirement that the Company pay
<br />to the City a franchise fee of three; percent of the Gross Revenues that the Company receives
<br />from the sale of gas and electricity to Residents of the City as well as from the transportation of
<br />gas to Residents and from the use of Company facilities within the Streets; and (3) other
<br />provisions regarding the provision of Utility Service, the construction, operation and relocation
<br />of Company Facilities, and other performance obligations; and
<br />WHEREAS, the negotiation of the Franchise Agreement has also resulted in a proposed
<br />Street Lighting and Traffic Signal Lighting Service Agreement by and between the Company
<br />and the City (the "Street Lighting Agreement"), and a proposed letter agreement between the
<br />Company and the City providing that the City shall have the right of first purchase on any and all
<br />real property owned by the Company and located within the City (the "Right of First Purchase
<br />Agreement"); and
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