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Ord# 1

Be It Ordained By The City Council Of Johnson, Arkansas

 

"WHEREAS," Southwestern Electric Power Company is the owner of an electric distribution system in the Town of Johnson, Arkansas, and all lines, appliances, equipment and installations necessary and incident thereto, and,

 

"WHEREAS", the said Company is now serving said Town and the inhabitants thereof with electric power and energy; and

 

"WEEREAS",said Company has made a written proposal to said Town, which
proposal is dated 27th day of June, 1961, and is in words and figures as follows, to wit:

 

"Southwestern Electric Power Company hereby offers and proposes to the Town of Johnson, Arkansas, to pay it, commencing the 1st day of July, 1961, for a period of twenty (20) years from and after said date, the sum equal to 2% of the Company's gross revenues derived from the sale of electrical power and energy to domestic and commercial customers within the city limits of said Town of Johnson, Arkansas. Said sum is to be due and payable quarterly, and the Company shall have thirty (30) days after the expiration of each quarter in which to make such payment.

 

"In consideration of said payment, said Town does hereby grant to said Company a permit authorizing and empowering said Company to use the streets, alleys, and public places of said Town for the erection, operation, and maintenance of the Company's distribution system and all facilities and appurtenances thereto, together with the right to sell electric power and energy to inhabitants of said Town.

 

"Said sum is to be paid by the Company and accepted by the Town  in lieu of any and all occupation taxes, pole taxes, license fees, street rentals and any and all levies, taxes and fees of whatsoever kind, nature or character (except general ad valorem taxes) for said period of twenty (20) years, and the Town of Johnson, Arkansas, shall never increase or attempt to increase the percentage of such gross receipts provided for herein during said twenty year term; and in the event said Town should increase or attempt to increase said percentage, then this proposal or any agreement or contract based hereon between said Company and said Town shall ipso facto become null and void and of no force and effect; provided, however, that the permit in favor of Southwest­ern Electric Power Company authorizing and empowering it to use the streets and alleys of said Town shall in no event be in any wise impaired or invalidated.

 

"Southwestern Electric Power Company is to furnish said Town of Johnson, Arkansas, no free service; said Town is to take from Southwestern Electric Power Company, and pay said Company, at the regular published rates for said service, all the electric power requirements of said Town for a period of twenty (20) years from and after the acceptance of this proposal.

 

"This proposal shall be kept open until the 1st day of July, 1961, and if accepted by proper resolution of the City Council of the Town of Johnson, Arkansas, within said period of time, shall become and constitute a firm and binding contract between the Company and said Town."

 

"NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF SAID TOWN OF JOHNSON, ARKANSAS, that said proposal of said Company as hereinabove set out be and the same is hereby in all things accepted, ratified and confirmed."

 

"PASSED AND APPROVED this the 29 day of Jane, 1961.

 

"ATTEST