ORDINANCE NO. 1613 SERIES OF 2025 AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF TELLURIDE, COLORADO AUTHORIZING AND EXTENDING THE TERMS OF A FRANCHISE FOR THE SUPPLY AND DISTRIBUTION OF NATURAL GAS GRANTED TO BLACK HILLS COLORADO GAS, INC. D/B/A BLACK HILLS ENERGY.SUCCESSOR IN INTEREST TO SOURCEGAS DISTRIBUTION LLC WHEREAS, Black Hills Colorado Gas, Inc. d/b/a Black Hills Energy, successor in interest to SourceGas Distribution LLC ("Black Hills") and the Town of Telluride (the "Town") continue to operate under a franchise ("Franchise") granted by the Town, Ordinance No. 1425, Series 2015 adopted June 23, 2015, for the supply and distribution of natural gas; and WHEREAS, the Franchise will expire by its own terms on June 23, 2025; and WHEREAS, Black Hills and the Town are in the process of negotiating a renewal of the Franchise; and WHEREAS, Black Hills and the Townneed additional time to complete negotiations and for the Townto consider and adopt aj proposed franchise renewal and both parties have agreed that their respective interests will be best served by continuing to operate under the terms of the existing Franchise for a specific period of time to allow franchise renewal negotiations to commence ; and WHEREAS, Black Hills has agreed to the extension of the Franchise as set forth in this Ordinance; and WHEREAS, the Town Council finds that it is in the best interest ofthe citizens ofthe Town to extend the term of the Franchise to allow for completion of ongoing negotiations regarding a franchise renewal. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF TELLURIDE, COLORADO: Section1. That the Franchise between Black Hills and the Town is hereby extended to earlier of June 30, 2026, or the date on which a new franchise agreement is entered into between the parties. The Franchisee shall continue to be authorized to provide gas service within the Town ofTelluride, subject to all conditions and obligations oft the current Franchise. Section 2. All other ordinances or portions thereof inconsistent or conflicting with this Ordinance or any portion hereof are hereby repealed to the extent of such inconsistency or conflict. Section 3. All actions heretofore taken by Black Hills and Town officers and staff relating to the subject matter of the Franchise consistent with its terms are hereby, ratified, approved and confirmed. Section 4. Ifany section, paragraph, sentence, clause or provision ofthis Ordinance shall for any reason be held to be unconstitutional, invalid or unenforceable for any reason, such decision shall not affect the constitutionality or validity of the remaining portions of this Ordinance. The Town Council hereby declare that it would have passed this Ordinance and each part hereof irrespective ofthe fact that any one part be declared unconstitutional or invalid. Section 5. Effective Date This ordinance shall become effective upon the date of publication of notice of its passage in a newspaper of general circulation within the Town ofTelluride. Section 6. Public Hearing A public hearing on the ordinance shall be held on the 3 day of Sune, 2025, in the Town Council Chambers, Rebekah Hall, 113 W. Columbia Avenue, Telluride, Colorado. INTRODUCED, READ AND REFERRED to public hearing before the Town Council ofthe Town ofTelluride, Colorado on the 3 day of MAY, 2025. TOWN OF TELLURIDE ATTEST 1 wV By: Teddy Errico, Mayor Tiffany Kavanaugh, Town Clerk HEARD AND FINALLY ADOPTED by the Town Council of the Town of Telluride, Colorado this 3 day of Sunl 2025. TOWN OF TELURIDE ATTEST lww K TEL L By: Teddy Errico, Mayor Tiffany Kavanaugh, Pown Clerk / Approved as to form: 0 SEAL 0hK e9a Kevin J.Geiger, Town Attorney N MIGUEL UORAD 2 Acceptance by Black Hills Colorado Gas, Inc. d/b/a Black Hills Energy, of the terms and provisions of Ordinance No. of the Town of Telluride, Colorado Black Hills Colorado Gas, Inc. d/b/a Black Hills Energy ("Black Hills Energy"), hereby accepts for itself, its lessees, successor, and assigns, all of the terms, conditions and provisions of Ordinance No. passed by the Town Council ofthe Town of Telluride, Colorado, on granting a franchise to Black Hills Energy. IN WITNESS WHBREOF, Black Hills Energy has caused this Acceptance to be executed by its Vice President of Operations, on this day of 2025. Black Hills Colorado Gas, Inc. d/b/a Black Hills Energy By: Campbell Hawkins Vice President of Operations Received this day of 2025, by the Town of Telluride, Colorado. By: Town Clerk STATE OF COLORADO COUNTY OF SAN MIGUEL SS. TOWN OF TELLURIDE I, Tiffany Kavanaugh, the Town Clerk of the Town of Telluride, Colorado (the "Town"), do hereby certify: The foregoing pages are a true and correct copy of an ordinance (the "Ordinance") passed and adopted by the Town Council (the "Council") oft the Town at a regular meeting of the Council held on Sure 3 2025. The Ordinance was duly moved and seconded and the Ordinance was adopted at the Town Council meeting of Sure 3 2025, by an affirmative vote of the members of the Council as follows: Name "Yes" "No" Absent Abstain Teddy Errico, Mayor V Dan Enright - Meehan Fee, Mayor Pro-Tem Elena Levin Geneva Shaunette Ashley Story Von Spreecken Jessie Rae Arguelles The Ordinance was approved and authenticated by the signature of the Mayor, sealed with the Town seal, attested by the Town Clerk and recorded in the minutes ofthe Council. There are no bylaws, rules or regulations of the Council that might prohibit the adoption of said Ordinance. The members of the Council were present at the meeting and voted on the passage of dlange C as set forth above. - CAL) uel Tiffany Kavanaugh, Town Clerk SEAL / V MIGUEL COLORADA -