Laserfiche WebLink
Mr. A. C. Gonzalo -2- *September 18, 1981 <br />As we discussed and consistent with your original thinking, <br />a provision of this type would appear to obviate the necessity for <br />the present section relating to identification of the surcharge, <br />possible action by the PUC, negotiations and then termination of <br />agreement (see last two sentences of second paragraph of Section II) <br />Should these changes be acceptable to the Mayor and City <br />Council of San Marcos, and subject to drafting of the final <br />language by legal counsel, it is hereby proposed that the LCRA <br />Board approve at its regular monthly meeting on September 24, the <br />franchise agreement in its present form, thereby enabling the <br />institution of the additional two percent gross receipts tax as <br />of the first of October. This action would be conditioned upon <br />acceptance by the City of San Marcos of this letter of understanding <br />which would anticipate the City's passage on three separate readings <br />of an appropriate amending ordinance as expeditiously as practical <br />in October. Any additional publication expense, etc., would of <br />course be borne by LCRA. <br />As evidenced by the negotiations and present state of <br />franchise documents, it appears that the City of San Marcos prefers <br />to consummate the franchise agreement at this point in time, rather <br />than pursuing actively any consideration of the previous offer <br />made by LCRA to sell the distribution system to the municipality. <br />We are agreed, of course, that this consideration could be revived <br />by either party at any time, notwithstanding the existence of a <br />franchise agreement. <br />If the above is satisfactory to you and acceptable to the <br />Mayor and City Council, please so indicate by signing below and <br />returning one copy of this letter prior to the end of the month. <br />Thank you for your understanding and cooperation. <br />Sincerely yours, <br />LOWER COLORADO RIVER AUTHORITY <br />By: <br />R. M. Tinstman <br />Director of Administration <br />Accepted: CITY OF SAN MARCOS <br />By: <br />A. C. Gonzales <br />City Manager <br />Date <br />T/b <br />cc: Elof Soderberg, Interim General Manager <br />L Colorado River Authority