Title
Consider a memorandum/resolution approving an agreed judgment in the case of Oncor Electric Delivery Company LLC v. the City of Killeen.
Body
DATE: April 1, 2025
TO: Kent Cagle, City Manager
FROM: Holli Clements, City Attorney
SUBJECT: Agreed Judgment in Oncor v. City of Killeen
BACKGROUND AND FINDINGS:
In January 2021, the City approved a street light audit and the beginning of negotiations with Oncor to obtain ownership of the street lights. After conducting the street light audit, the City made an offer to Oncor to purchase the street lighting system which Oncor did not accept. Oncor filed a lawsuit for declaratory and injunctive relief to restrain the City from condemning the street light system through eminent domain.
Further appeals and attempts to purchase the street light system would require additional funds. To avoid the costs and uncertainties of litigation, an agreed judgment has been proposed that would dispose of all claims and causes of action in the case.
THE ALTERNATIVES CONSIDERED:
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Which alternative is recommended? Why?
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CONFORMITY TO CITY POLICY:
This action complies with city policy and relevant state law.
FINANCIAL IMPACT:
What is the amount of the revenue/expenditure in the current fiscal year? For future years?
The agreed judgment would terminate the litigation. If the agreed judgment is approved, expenditures for the litigation would cease after the court accepts the judgment and administrative matters are finalized.
Is this a one-time or recurring revenue/expenditure?
N/A
Is this revenue/expenditure budgeted?
N/A
If not, where will the money come from?
N/A
Is there a sufficient amount in the budgeted line-item for this revenue/expenditure?
N/A
RECOMMENDATION:
Based on City Council’s feedback, staff recommends approval of an agreed judgment in the case of Oncor Electric Delivery Company LLC v. the City of Killeen that would dispose of all claims and causes of action in the case.
DEPARTMENTAL CLEARANCES:
Legal
ATTACHED SUPPORTING DOCUMENTS:
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