ORDINANCE APPROVING THE ASSIGNMENT OF THE VILLAGE OF YELLOW SPRINGS’S INTEREST IN THE FREMONT POWER SALES CONTRACT

By YS News Staff
Published: March 17, 2016

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ORDINANCE NO. 2016-02, Village of Yellow Springs, Ohio

WHEREAS, the Village of Yellow Springs, Ohio (“hereinafter Municipality”) owns and operates an electric utility system for the sale of electric power and associated energy for the benefit of its citizens and taxpayers; and

WHEREAS, in order to satisfy the electric power and energy requirements of its electric utility system, Municipality has purchased economical and reliable power and energy from, or arranged by, American Municipal Power, Inc. (hereinafter “AMP”), of which Municipality is a Member; and

WHEREAS, Municipality, along with other AMP Members (collectively “Participants”), entered into a Power Sales Contract regarding the American Municipal Power Fremont Energy Center dated June 15, 2011 (“PSC”) ; and

WHEREAS, in order to obtain such sources of electric capacity and energy, each Participant purchases its PSCR Share (as defined in the PSC) of the output of the Power Sales Contract Resources (as defined in the PCS) from AMP;

WHEREAS, the Municipality’s PSCR Share is 0.09% (440kW);

WHEREAS, the Municipality has determined that it is in its best interest to acquire alternative power sources to satisfy the electric power and energy requirements of its electric utility system; and

WHEREAS, Municipality desires to assign its PSCR Share to the City of Coldwater, Michigan (“Coldwater”), a Participant under the PSC, along with all of Municipality’s other rights and obligations under the PSC (the “Assignment”); and

WHEREAS, AMP, on behalf of the remaining Participants, has waived or will waive, upon the effectiveness of this Ordinance and certain other prerequisites, the right of first refusal to assume Municipality’s rights under the PSC; and

WHEREAS,Municipality and Coldwater desire to enter into an Assignment and Assumption Agreement (“Assignment Agreement”) which sets forth the parties’ respective rights and obligations with regard to the Assignment.

NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE VILLAGE OF YELLOW SPRINGS, OHIO:

Section 1. That the Assignment is hereby authorized and the Assignment Agreement between Municipality and Coldwater, substantially in the form on file with the Clerk (Exhibit A), is approved, and the Village Manager of Municipality is hereby authorized to execute and deliver such Assignment Agreement, with such changes as the Village Manager may approve as neither inconsistent with this Ordinance nor materially detrimental to the Municipality, her execution of the Assignment Agreement to be conclusive evidence of such approval.

Section 2. That it is found and determined that all formal actions of this Council concerning and relating to the passage of this ordinance were taken in an open meeting of this Council and that all deliberations of this Council and of any committees that resulted in those formal actions were in meetings open to the public, in compliance with all legal requirements.

Section 3. If any section, subsection, paragraph, clause or provision or any part thereof of this ordinance shall be finally adjudicated by a court of competent jurisdiction to be invalid, the remainder of this ordinance shall be unaffected by such adjudication and all the remaining provisions of this ordinance shall remain in full force and effect as though such section, subsection, paragraph, clause or provision or any part thereof so adjudicated to be invalid had not, to the extent of such invalidity, been included herein.

Section 4. That this ordinance shall take effect at the earliest date allowed by law.

Karen Wintrow, President

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