HomeMy WebLinkAboutResolution 2008-056RESOLUTION NO. 2008-056
A RESOLUTION OF THE CITY OF NORTH RICHLAND HILLS, TEXAS
FINDING THAT ONCOR ELECTRIC COMPANY'S REQUESTED
INCREASES TO ITS ELECTRIC TRANSMISSION AND DISTRIBUTION
RATES AND CHARGES WITHIN THE CITY SHOULD BE DENIED;
FINDING THAT THE CITY'S REASONABLE RATE CASE EXPENSES
SHALL BE REIMBURSED BY THE COMPANY; FINDING THAT THE
MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN TO
THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE OF THIS
RESOLUTION TO THE COMPANY AND LEGAL COUNSEL.
WHEREAS, pursuant to § 33.001 of the Public Utility Regulatory Act ("PURA"), the City
has exclusive original jurisdiction over the electric rates, operations, and
services provided within city limits;
WHEREAS, on or about June 27, 2008, Oncor Electric Delivery Company ("Oncor" or
"Company"), pursuant to PURA §§ 33.001 and 36.001 filed with the City of
North Richland Hills ("City") a Statement of Intent to increase electric
transmission and delivery rates by $275 million on a system-wide basis
within its service area effective August 8, 2008; and
WHEREAS, pursuant to PURA § 36.108, the City lawfully suspended the August 8,
2008, effective date by resolution to provide time to study the
reasonableness of the Company's application to increase rates; and
WHEREAS, the City is a member of the Oncor Cities Steering Committee (Steering
Committee) and has cooperated with 145 similarly situated city members
to conduct a review of the Company's application, to hire and direct legal
counsel and consultants, to prepare a common response to the filing, to
negotiate with the Company and to direct any necessary litigation
appealing final city action; and
WHEREAS, the City, in a reasonably noticed meeting that was open to the public,
considered the Company's application; and
WHEREAS, the consultants who were retained by the Steering Committee to evaluate
the merits of the Company's application have determined that the
Company's requested $275 million increase in revenues for its
transmission and distribution system is not supported by evidence; and
WHEREAS, PURA § 33.023 provides that reasonable costs incurred by cities in
ratemaking activities are to be reimbursed by the regulated utility.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF NORTH RICHLAND HILLS, TEXAS:
Resolution No. 2008-056
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SECTION 1. That the rates proposed by Oncor Electric Delivery Company, to be
recovered through its electric transmission and distribution rates charged
to customers located within the City limits, are hereby found to be
unreasonable and shall be denied.
SECTION 2. That the Company shall continue to charge its existing rates for
transmission and distribution services to customers within the City.
SECTION 3. That the City's reasonable rate case expenses shall be reimbursed by
Oncor.
SECTION 4. That it is hereby officially found and determined that the meeting at which
this Resolution is passed is open to the public as required by law and the
public notice of the time, place, and purpose of said meeting was given as
required.
SECTION 5. A copy of this Resolution shall be sent to Oncor, care of Debra Anderson,
Oncor Electric Delivery Company, 1601 Bryan St., Suite 23-055C, Dallas,
Texas 75201 and to Geoffrey Gay, General Counsel to the Oncor Cities
Steering Committee, at Lloyd Gosselink Rochelle & Townsend, P.C., P.O.
Box 1725, Austin, Texas 78767-1725.
PASSED AND APPROVED this the 27th day of October, 2008.
a~u~awu~mautr~p CITY OF N TH RI AND H LS
cH'LAN~~''~h
n r~t ~~ By. Oscar Trevino, or
:sr:
-h..~~,
;City Secretary
APP V D S TO FORM AND LEGALITY:
George A. Staples, ity Attorney
APP VED AS TO CONTENT:
~,~~ ~ ~
Karen Bostic, Assistant City Manager
Resolution No. 2008-056
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