1942RESOLUTION NO. ~ ~ ~ ~•
A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK
TO ENTER INTO A RELEASE AGREEMENT WITH ENTERGY
ARKANSAS INC., IN ORDER TO AUTHORIZE THE
REIMBURSEMENT OF THE CITY OF WEST MEMPHIS FOR THE
SALE OF ITS OWNERSHIP INTEREST IN CERTAIN MINING
EQUIPMENT ASSOCIATED WITH THE INDEPENDENCE STEAM
ELECTRIC GENERATING STATION BEING SOLD BY ENTERGY
ARKANSAS INC. AND OTHERS TO THE POWER RIVER COAL
COMPANY; AND FOR OTHER PURPOSES
WHEREAS, Entergy Arkansas, Inc., ("EAI") acting as agent for the City of West
Memphis for the operation of the Independence Steam Electric Station ("ISES") and
mining equipment ("Equipment") associated with supplying ISES, is in the process of
selling such Equipment to Power River Coal Company, the supplier of coal to the ISES;
and
WHEREAS, in order for the City of West Memphis to receive its respective
share of proceeds related to the sale of such Equipment it is necessary to enter into a
Release Agreement ("Agreement") with EAI for the distribution of the proceeds from the
sale of such Equipment; and
WHEREAS, Act 5 of 1979 as amended, codified at Arkansas Code Ann. § 14-
202-123 authorizes the City of West Memphis to sell, and receive proceeds related to any
such sale for its ownership interest in such Equipment; and
WHEREAS, the West Memphis Utilities Commission has recommended that the
City authorize the execution of the Agreement with EAI for the reimbursement of the
proceeds associated with the City's share in such Equipment and has made other
recommendations to the Mayor and City Council as to the Agreement; and
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF WEST MEMPHIS, ARKANSAS:
SECTION 1. That the Mayor and City Clerk are hereby authorized to enter into
the Agreement with EAI in order to receive the proceeds associated with its ownership
interest in the sale of such Equipment, described in the Agreement.
SECTION 2. The Mayor is hereby authorized to make any modifications,
amendments or changes that may be necessary to complete the transaction. The
Agreement is hereby approved in substantially similar form as that attached hereto and
incorporated as Exhibit A.
SECTION 3. That this Resolution shall be in full force and effect from and after
its passage and approval.
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Mayor William H. J nson
PASSED:
ATTEST:
Cit
Date
Sponsor