93-021 ORD PROVIDING ORDINANCE NO 2564 WHICH GRANTED FRANCHISE TO LONE STAR GAS COMPANY

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corporate limits of the CITY, COMPANY agrees that on the same date that payments are made as provided in the preceding paragraph of this Section 9, it will file with the City Clerk a sworn statement showing the gross receipts received by the COMPANY from fees for the transportation of gas within the COMPANY'S ]_ines to customers within the corporate limits of the CITY, and from the sale of all gas, within said corporate limits, and will include the customer purchase price of all gas transported by the COMPANY into the corporate limits of the CITY, for the calendar quarter preceding the date of payment. CITY may, if it sees fit, have the books and records of the COMPANY examined by a representative of said CITY to ascertain the correctness of the sworn reports agreed to be filed herein. Each transportation customer of the COMPANY shall disclose to the COMPANY the purchase price of said gas. Should the transportation customer fail or refuse to disclose or furnish such purchase price to COMPANY, COMPANY shall establish same by utilizing 110% of the Houston Ship Channel index of prices for large packages of gas published each month in "Inside FERC's Gas Niarket Report" (or a successor publication or another publication agreed upon by the CITY and COMPANY) for the period of time the transportation service is performed. COMPANY shall use all due diligence in collecting from traiisportation customers any and all fees required by this franchise agreement, but shall not be responsible for paying same to the CITY if the COMPANY'S custamer refuses to pay. Provided, however, that if the COMPANY'S transportation customer refuses to pay the fee imposed on the purchase price of the gas transported, and remains delinquent in payment of such fee for a period greater than thirty days, COMPANY shall be responsible for the uncollected fee of any gas thereafter transported through the rights of way of the CITY to COMPANY'S transportation customer, but in no event shall the customer be relieved of its obligation to reimburse the COMPANY for any fees paid to the CITY. For all customer classes other than transportation customers, COMPANY shall collect charges and franchise fees from customers in accordance with COMPANY'S Quality of Service rules, as amended from time to time. Section 10. The franchise granted herein shall be subject to the valid provisi.ons of Section 122 of the Charter of the City of Paris and other applicable valid sections therein, which are hereby incorporated by reference and expressly made a part hereof, the same as if copied verbatim. Section 11. This franchise ordinance shall not change the COMPANY'S rate or charge currently in effect within the city limits of Paris, Texas. The rates currently charged by COMPANY may be changed and amended at any time by either the CITY or COMPANY furnishing g,as in the manner provided by law. Section 12. This franchise ordinance shall be considered effective sixty (60) days from arid after the date of its final passage and approval by the City Council and the Mayor of the City of Paris and shall cancel, repeal, supersede, nullify, take the place and be in lieu of that certain franchise Ordinance No. 2564 passed and approved on April 13, 1981, recorded in Ordinance Book 9, Pages 148, 149, 150 and 151 of the City of Paris, and being styled: "An ORDINANCE GRANTING TO LONE STAR GAS COMPANY, A CORPORATION, ITS SUCCESSORS AND ASSIGNS, A FRANCHISE TO FURNISH AND SUPPLY GAS TO THE GENERAL PUBLIC IN THE CITY OF PARIS, LAMAR CGUNTY, TEXAS, AND THE ENVIRONS THEREOF; PROVIDING FOR THE PAYMENT OF A FEE OR CHAKGE FOR THE USE OF THE STREETS, -4-