0567
J'~.
ORDINAN~ NO. 5 6 7
AN ORDINANL;~ J:t'OONG AND ll1POSING 1HE AGGKEGA:1'~ AMOUNT OF J:tlil:t~S, CHAR~S
AND SPECIAL TAXES TO BE PAw 1HE CITY OF JACKSONVIlLE, ARKANSAS, BY
ARKANSAS POWliK & LIGHT COMPANY AND 1HE METHOD OF PATI'ltl\JT ~OF, AND
FOR ~ PURPOSES
WI:ili1<EAS, Arkansas Power & Light CUllq!any (hereinafter referred to
as "Power CullqJany") is duly authorized by franchise agreement, hereto-
fore author; ?;ed and entered into by the City to construct, operate,
maintain and exteLld an electric SYStbu and to sell, furnish, tran~lldt
and distribute electric power and energy in the City of JaCksonville,
Arkansas (hereinafter referred to as "City"), to the City of JaCksUl1-
ville, Arkansas, and to the citizens residing therein; dJ.ld
WI:ili1<EAS, the Power Cuuq.Jany is now provirling electric service to
the City and its inhabitants d.Lld occupying the streets, alleys cLLJ.d
other public property of the City of JaCksullville, Arkansas, pursuant
to said franchise agret=LUe1J.t, 'Which provides for certain pa~lts in
lieu of all other taxes, fees, ch::rr:-ges, iU1j!ositiul1s d11d licences,
except general taxes and further provides that if any special taxes,
fees, charges or licenses are assessed or iUqJosed upon or against
the Power Cuu1pany that the obI; eatiuJ.l for payments under said
franchise agret=Llent shall :L.Lllediately tenninate; cu.ld
WHEREAS, the City requires additional revenues for payment of
increased salary requirt::11LeLlts for City tlu.ployees cLLld other rmmicipal
functions and service culd desires to increase the payments of special
taxes culd charges paid by the Power CuuqJany; and
WHEREAS, the City reco~11izes and accepts the purposes c:U.ld results
of decisiulls of the Arkculsas Public Service CUI1UissiuJ.l and the Arkansas
Suprt:1ue Court requiring that the charges for service by a utility to
custulers in the City be adjusted to adequately reflect any additional
C:tuounts of taxes :L.uposed by the City in excess of a standard level paid
in other rmmicipalities to avoid discrimination atnJJ.lg custuuers of the
utility.
NOW, TfitdiliJ:tORE, BE 1:1' ORDAIt-JW BY 1HE CITY COUNCIL OF 1HE CITY
OF JACKSONVIllE, ARKANSAS, THAT:
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.BI
Page Two
Sectiull 1. '!he Illcu.1ufacture, sale, Dl1nishing, trC:UlbUU.ssiull and
distributiull of electric power culd ~lergy by the Power CuuqJany within
the City is hereby declared to be a special privilege culd for such
privilege the Power CuuqJany shall pay to the City a special tax, charge
or iUqJositiul1 as follows: For the year 1980 the Power CuuqJany shall
pay the sum of $215 , 000 . 00 , said sun represeJ.1ting the
stcu.ldard q.,;...~ franchise tax Ull 1979 residential cu1d cuullercial revenues
plus the sun of $95,000.00 representing a special privilege tax, for a
total paYI~ut of $310, OO? 00 _ payable in approximately equal
instal~1ts begiL1Lling JCULllary 1980. Said payments shall be in lieu
of the payments othe:tWise called for in 1980, and thereafter in Sectiull
9 of the Power CuuJPany' s frculchise agrebuent. Said Power CuUqJCU1Y shall
CU11tinue to pay said tax in succeeding years unless sooner IlDdified.
Sectiull 2. Nothing herein contained shall be cUllstrued as altering
or C:lLltending CU1Y of the rights or obligatiulls of either the City or the
Power Cuu1J!any as provided in the existing franchise agret:1uent between
the City d.Lld the Power Cuu1f!any, except insofar as the effect hereof will
relieve the Power WlqJC:u.1Y frulL the ob1igatiul1 of the payments provided
for in Sectiull 9 of said frculchise agret:1Uent, so long as the provisions
of this ordinance are in effect.
Sectiul1 3. All ord.in.cu.lces dJ.ld parts of ordinances in cUltf1ict with
the provisiullS of this ordinance are hereby repealed, including Ord.in.cu.lces
No. 305, 367, 478, d.Lld 528.
SectiUl1 4. It is hereby fotmd by the City Cotmci1 that there is CU1
urgent need for additiUl18.l revenues for the City. '!herefore, cu.! blerg~lcy
is declared to exist, culd this orc1;na.nce being necessary for the preservatiull
culd advancbuent of the public peace, health and sflfety, shall be in full
force dJ.ld effect fran End after the date of its approval.
AP.PKOVJ:ill AND AOOPl'J:ill THIS 27th DAY OF Dect=.uDer
, 1979.
A .$:/
Al~l'~ST :
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APPRD\lrlJ AS 10 FORM:
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00031