Agenda Information Sheet
DEPARTMENT: Denton Municipal Electric
CM/ ACM: Howard Martin
Date: February 21, 2017
SUBJECT
Title
Consider adoption of an ordinance of the City of Denton, a Texas home rule municipal corporation (“City”), approving the exchange of a 1.334 acre tract located in the N. Meisenhamer Survey, Abstract, No. 810, Denton, Denton County, Texas (“Property”), to Rayzor Investments, Ltd. (“Rayzor”), for permanent and temporary utility easements, also located in the N. Meisenhamer Survey, and reservations of permanent utility easements and dedication of right of way in the Property to the City, all with the equivalent value of One Hundred and Fifty Thousand Dollars and No Cents ($150,000.00) as stated in the contract of sale (“Contract”); authorizing the City Manager in accordance with Texas Local Government Code 272.001(k) to execute a deed to Rayzor together with any other documents necessary to exchange the Property for permanent and temporary utility easements and reservations of permanent utility easements and dedication of right of way; and, providing an effective date. [Bonnie Brae to North Lakes TM Line Rebuild (Easement Exchange)]
Body
BACKGROUND
Denton Municipal Electric (DME) Capital Improvement Plan includes a project to reconstruct its electric transmission system. DME has identified several projects that are critical to maintaining reliability and allowing Denton to continue to grow. Reconstruction of approximately 1.2 miles of existing 69kV transmission line from the North Lakes Substation south to Bonnie Brae Substation is needed to provide the capacity to meet the requirements of contingency planning criteria. The line will be reconstructed as 138kV.
Rayzor Investments Ltd owns approximately 88,635 sq. ft. of property needed to meet the easement requirement for the new 138kV transmission line. The City of Denton owns, through recent land acquisitions for this project, approximately 58,109 sq. ft. of property to the north side of the easements needed. Through negotiations with the land owner and representatives, DME has negotiated to trade the City owned piece of property for the needed easements owned by Rayzor Investments Ltd.
OPTIONS
1. Approve the ordinance to acquire the easement.
2. Do not approve the ordinance and direct that other actions be taken.
RECOMMENDATION
DME recommends that the City Council approve the proposed ordinance.
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
The Public Utility Board recommended approval of the transmission route August 10, 2015. The route was presented and approved by City Council on September 1, 2015. The Public Utility Board voted in favor of approving this transaction on August 8, 2016.
STRATEGIC PLAN RELATIONSHIP
The City of Denton’s Strategic Plan is an action-oriented road map that will help the City achieve its vision. The foundation for the plan is the five long-term Key Focus Areas (KFA): Organizational Excellence; Public Infrastructure; Economic Development; Safe, Livable, and Family-Friendly Community; and Sustainability and Environmental Stewardship. While individual items may support multiple KFAs, this specific City Council agenda item contributes most directly to the following KFA and goal:
Related Key Focus Area: Public Infrastructure
Related Goal: 2.3 Promote superior utility services and facilities
EXHIBITS
1. Transmission Line Easement Map
2. Ordinance
3. Additional Information
Respectfully submitted:
Phil Williams
General Manager
Prepared by:
Elizabeth Bell
Denton Municipal Electric