July 18, 2025
The following Ordinance was offered by Mr. Wright who moved its adoption:
ORDINANCE NO. 834
AN ORDINANCE
Upon the request of Entergy Louisiana, LLC, (the “Company”), and pursuant to
La. R.S. 33:4401, this municipality’s police powers, and in order to protect the health, safety, and
welfare of the public, City of Ponchatoula, Louisiana, (the “Municipality”) as set forth
hereinbelow grants to the Company, its successors and assigns, a franchise, right, and privilege
for a period of twenty-five (25) years from the date of adoption hereof, to distribute, deliver, sell
and supply, in such a manner as it chooses, electric service throughout the Municipality, and to
the inhabitants thereof, or to any person, firm, or corporation; the right to acquire, construct,
operate, and maintain such plants, structures, transmission lines, distribution systems, cables,
fibers, facilities, and equipment as may be useful or necessary for the generation, production,
transportation, distribution, delivery and/or sale of electric service throughout the Municipality;
the right to erect, operate, and maintain poles, masts, supports, wires, cables, fibers, transmission
lines, conduits, conductors, substations, distribution systems, and any and all other appliances
useful or necessary in connection with the sale, transportation, delivery and/or distribution of
electric service on, over, under, along, upon, and across all of the present and/or future streets,
roads, highways, alleys and public places of the Municipality; the right to repair, replace or
remove same or any portion thereof; and the right to connect any such facilities to any other such
facilities for the purpose of selling, transporting and/or distributing electric service along the
boundaries of the Municipality.
SECTION 1: Be it ordained by the Mayor and City Council of the
Municipality in regular session duly convened, that the Municipality grants and there is hereby
granted to Entergy Louisiana, LLC (the “Company”), its successors and assigns, in addition to
the rights and privileges presently enjoyed by the Company, a franchise, right, and privilege
from the date of adoption hereof,
(1) to distribute, deliver, sell and supply electric service throughout the Municipality
and to the inhabitants thereof, or to any person, firm, or corporation, in such
manner and from such sources as the said Company chooses;
(2) to acquire, construct, operate, and maintain such plants, structures, transmission
lines, distribution systems, cables, fibers, facilities, and equipment as may be
useful or necessary for the generation, production, transportation, distribution,
delivery and/or sale of electric power and energy throughout the Municipality;
(3) to erect, operate, and maintain poles, masts, supports, wires, cables, fibers,
transmission lines, conduits, conductors, substations, distribution systems, and
any and all other appliances useful or necessary in connection with the sale,
transportation, delivery and/or distribution of electric service on, over, under,
along, upon, and across all of the present and/or future streets, roads, highways,
alleys and public places of the Municipality;
(4) to repair, replace or remove same or any portion thereof; and
(5) to connect any such facilities to any other such facilities for the purpose of selling,
transporting and/or distributing electric service into, through, or beyond the
boundaries of the Municipality.
SECTION 2: Be it further ordained that this Franchise does not authorize the
Company to use its facilities for the transportation, distribution, or sale of electric service for or
on behalf of third parties to any person, firm, or corporation other than the Company located
within the boundaries of the Municipality, unless and until the Company has been notified , in
writing, by the Municipality that the interests of the Municipality, including, but not limited to,
its recovery of franchise fee revenue on such third party transactions, are adequately protected in
connection with the provision of such third party service by the Company. In the event that the
operations of the Company are unbundled, in connection with the adoption of a plan for retail
open access or
otherwise, the Company will have the right to assign its franchise rights with respect to particular
facilities or operations as may be necessary to facilitate unbundled operations; provided,
however, that any such assignment (1) shall not result in a reduction in the franchise fees
received by the Municipality relating to the provision of electric service within the Municipality;
and (2) shall ensure that the Municipality retains all other rights and protections afforded by this
Franchise.
SECTION 3: Be it further ordained that this Franchise is granted upon and
subject to the following provisions:
A. In maintaining its properties, the Company shall not unnecessarily or
unreasonably damage, impair or obstruct the streets, roads, highways, alleys, sidewalks, and
public grounds, and the Company shall at its own expense, without unreasonable delay, make all
necessary repairs to remedy any damage or remove any obstruction caused by its operations
hereunder, all in accordance with applicable industry standards. The Company shall obtain all
necessary permits or approvals for construction, maintenance, and operations; provided,
however, that this provision shall not apply to any requirements for such permits or approvals
that are adopted or amended subsequent to the date of this Ordinance and that, as so adopted or
amended, have a material effect on the Company’s rights or obligations pursuant to this
Franchise or on the Company’s cost of providing service pursuant to this Franchise.
B. Upon request, the Company will make its best reasonable efforts to provide
current maps for specific areas showing feeder routes and the majority of pole locations, and will
provide construction manuals that show the typical structural configurations used by the
Company; provided, however, that the provision of such information by the Company shall not
relieve the Municipality of any obligations that it may have pursuant to title 40, section 1749.11
or title 45, sections 141-146 of the Louisiana Revised Statutes or any related or successor
statutes; and provided that such information shall be provided by the Company without any
warrant as to its accuracy.
C. The Company shall use reasonable precautions to avoid damage or injury to
persons or property, and shall hold and save harmless the Municipality from all damages, losses,
and/or expense, including cost of defense, attributable to the negligence or fault of the Company,
its agents or employees, while exercising any of the rights and privileges herein granted.
SECTION 4:
A. In consideration of the facts:
(i) that the Company, pursuant to this Ordinance holds a good, valid,
and irrevocable twenty-five (25) years franchise granted by the
Municipality; and
(ii) that, to the extent the Company is permitted by law to provide such
service, the Municipality has signed with the Company contracts
for the purchase of all its electric service requirements, each of
which contracts is for a period of two years from its date, or such
longer period as may be required by the applicable rate schedule or
other circumstances, and provides for periodic renewals for similar
periods unless notice of termination is given as therein provided;
(iii) and other good and valid considerations, the Company agrees that
it will pay to the Municipality a sum of money equal to two
percent (2%) of the gross receipts of the Company from the sale of
electric service at retail for residential and commercial purposes
within the corporate limits of the Municipality (the Company’s
“gross receipts”), such payments to be calculated on such receipts
commencing with the month of July, 2025, the first payment to be
due and payable on the 15th day of September, 2025, subsequent
payments to be due quarterly thereafter.
B. It is distinctly understood and agreed that the percentage of gross receipts paid to
the Municipality shall not apply to or include any receipts from the sale of electric energy to the
Municipality, or to Government or Municipal Agencies, or to any sale for industrial purposes or
for resale within the corporate limits of the Municipality. It shall be the responsibility of the
Municipality to notify the Company of any annexations or other changes in the corporate limits
of the Municipality, so that the Company can make any adjustments to its gross receipts
calculation that may be necessary as a result of such a change.
C. This obligation to make such payments to the Municipality shall remain in full
force and effect so long as (1) the Company holds a good, valid and irrevocable twenty-five (25)
year franchise granted by the Municipality, and (2) the Municipality, to the extent permitted by
law, purchases all of its electric service requirements from the Company; provided, however:
(i) This contract is wholly and entirely conditioned upon the approval
of the Treasury Department of the United States of America and
the Department of Revenue of the State of Louisiana, and upon the
approval of the Louisiana Public Service Commission of the right
of the Company to deduct from its gross revenues and charge as an
operating expense any and all amounts which it may pay to the
Municipality pursuant hereto other than such amounts as may be
collected from customers through a line item on customer bill and
in the event of failure to obtain the approval of any such authority
for such purpose, the Company shall have the right to cancel this
Contract upon thirty (30) days' notice; it being understood that in
the event of the cancellation by the Company upon the grounds set
out in this paragraph, the Company shall not be entitled to any
refund of any monies theretofore paid to the Municipality pursuant
hereto.
(ii) Should the Municipality levy upon Entergy Louisiana, LLC any
new taxes, of any nature whatsoever, subsequent to the date of this
Contract, or increase the rates of any taxes in existence on the date
of this Contract (except uniform ad valorem taxes now authorized
by Article VII, Section 18 of the Constitution of the State of
Louisiana or other taxes that are generally applicable to all
businesses in the Municipality), then the payments herein provided
to be made by the Company to the Municipality will be reduced in
an amount equal to the sum of such new and increased taxes, if
any. The Additional Franchise Fee shall not be considered to be a
new tax or an increase in the rate of a tax for purposes of this
provision of the Ordinance.
(iii) To the extent the Company is permitted by law to provide to the
Municipality all of its electric requirements, in the event that retail
open access is implemented in Louisiana, and is adopted for the
Municipality, the obligation of Entergy Louisiana, LLC to pay a
franchise fee as set forth hereinabove shall cease to be conditioned
on the purchase by the Municipality of all of its electric
requirements from Entergy Louisiana, LLC.
D. The Municipality shall have the right, upon reasonable notice, to review
the available data and calculations upon which the franchise fee calculations are based;
provided that such notice must be received within three (3) years of the beginning of the
period to which the data and/or calculations pertain.
SECTION 5: Be it further ordained that the Municipality shall make, adopt and
enforce all ordinances necessary to protect the property and property rights of the Company
owned and operated under this Franchise, while still recognizing the rights of any other entities
holding valid franchises with the Municipality, and that the Municipality will not in any way
interfere with the full legal use by the Company of the property which it now maintains or may
hereafter maintain in the Municipality.
SECTION 6: Be it further ordained that this Ordinance, the public health and
welfare and the public necessity requiring it, shall take effect from and after its adoption.
Notwithstanding the foregoing, the Company shall file with the Municipality the Company’s
written acceptance of this Ordinance not later than thirty (30) days from the date of its passage.
SECTION 7: Be it further ordained that this Franchise shall be for a term of
twenty-five (25) years from date hereof, and upon exercise by the Company of any of the
privileges granted hereunder, this Franchise shall be irrevocable. If either the Municipality or the
Company, its legal representatives, successors, or assigns, institutes any action or proceedings to
enforce the provisions of this Ordinance, the parties hereby agree that specific performance may
be sought and obtained for any breach of this Ordinance, without the necessity of proving actual
damages; provided, however, that either party may, at its option, waive its right to specific
performance and collect damages resulting from any breach hereof or failure to perform
hereunder.
SECTION 8: Nothing in this Franchise shall be construed as superseding,
repealing, canceling, modifying, or in any way affecting any of the rights enjoyed by Entergy
Louisiana, LLC under that certain franchise granted by Ordinance No. 834, adopted by the
Municipality on the
9th day of June, 2025, and said franchise is hereby recognized as continuing in full force and
effect in accordance with its terms. However, in the event of a conflict between said franchise
and this Franchise, the provisions of this Franchise shall be controlling. It is further understood
and agreed that the terms and conditions contained in any previous “Side Letter Agreement” or
“Most Favored Nations” letter agreement extended by the Company are hereby rescinded and
cancelled.
SECTION 9: Nothing herein shall be construed to constitute the grant of a
franchise for the provision of any service other than electrical service to customers within the
Municipality.
WHEREUPON, in open session said Ordinance was read and considered section
by section and as a whole.
Mr. Toomer seconded the motion to adopt the Ordinance.
The Mayor then ordered a vote of the yeas and nays on its final passage, and upon
roll call such votes were as follows:
For the Adoption of the Ordinance: YEAS:
Jeff Wright_____________ Roslinda Batiste
Danny Elstrott ___________ Melvin Toomer
Against the adoption of the Ordinance: NAYS:
Vergil Sandifer_________
______________________
Present but not voting: ABSTAINED:
None
______________________
Not present: ABSENT:
None
______________________
Whereupon the Mayor declared such legally passed and adopted on this the 9th
day of June, 2025.
Approved:
______________________________
MAYOR
______________________________
CLERK
I, Keyunda James certify that the foregoing is a true and correct copy of the original
Ordinance adopted by the Mayor and Council of the City of Ponchatoula, Louisiana, at a lawful
meeting held on the 9 th _ day of June, 2025 with a quorum present, and that the same is now in
full force and effect.
______________________________
Recorder Clerk
Ponchatoula, Louisiana