HomeMy WebLinkAboutOrdinance 2595
ORDINANCE NO. 2595
AN ORDINANCE OF THE CITY OF NORTH RICHLAND HILLS, TEXAS, TO
PROVIDE FOR THE REGISTRATION OF RETAIL ELECTRIC PROVIDERS,
REQUIRING LOCAL REGISTRATION OF RETAIL ELECTRIC PROVIDERS
PURSUANT TO SECTION 39.358 OF THE PUBLIC UTILITY REGULATORY ACT;
PROVIDING FOR A REGISTRATION FEE; PROVIDING FOR THE SUSPENSION OR
REVOCATION OF REGISTRATION FOR NONCOMPLIANCE WITH THIS
ORDINANCE OR CHAPTER 39 OF THE PUBLIC UTILITY REGULATORY ACT; AND
PROVIDING A SEVERABILITY CLAUSE, A PENALTY CLAUSE, AND AN
EFFECTIVE DATE.
WHEREAS, in the 76th Legislative Session, the Texas Legislature adopted
Senate Bill 7 and thereby set in motion electric deregulation, and the competitive retail
electricity market is scheduled to open in Texas on January 1,2002; and
WHEREAS, under the provisions of Senate Bill 7 and the rules of the Public
Utility Commission of Texas ("PUC") adopted to implement Senate Bill 7, customers will
deal directly with a retail electric provider ("REP") in order to obtain electricity for their
premises and accounts; and
WHEREAS, Section 39.358 of the Public Utility Regulatory Act specifically
provides for local registration of REPs, as well as the assessment of a reasonable
administrative fee for such registration; and
WHEREAS, Section 39.358 of the Public Utility Regulatory Act further provides
for the suspension or revocation of a REP's registration and operation within a City for
significant violations of Chapter 39 of the Public Utility Regulatory Act or the rules
adopted by the PUC to implement Senate Bill 7; and
WHEREAS, registration will facilitate the City of North Richland Hills having
accurate information concerning each REP that will be serving North Richland Hills'
residents and businesses in the event that North Richland Hills' customers experience
problems with a REP; and
WHEREAS, the City Council of the City of North Richland Hills, Texas, hereby
finds that REPs should be registered by the City of North Richland Hills and that an
initial administrative fee of $25 should be charged for each REP registration and
that similar fees should be assessed annually; and
WHEREAS, the City Council also finds it in the best interest of the City of North
Richland Hills and its citizens to allow the city to monitor REPs to ensure compliance
with PUC certification and timely resolution of customer complaints; and
WHEREAS, the City Council finds that the REP serving as electric provider for
the City of North Richland Hills' electric accounts should be exempt from registration
requirements unless that REP is serving end use customers within municipal limits other
than the city and that the REP serving the city should be exempt from the registration
fee; and
WHEREAS, the City Council further finds that a REP should be permitted to
appeal to the City Council the decision of the City Manager to revoke registration.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF NORTH RICHLAND HILLS, TEXAS, THAT:
Section 1. Registration, Fees, Annual Renewal.
(a) Registration. No retail electric provider, without first registering with the city and
then paying the registration fee required by this section, may serve residents of
the city.
(b) Form. Registration under this section shall be submitted on a form provided by
the City of North Richland Hills. The registration shall be accompanied by any
additional documents required therein or in rules issued by the City Manager.
These forms shall include, but not be limited to, the following:
(1) The name and legal status of the registrant, including any affiliates who
are required to register pursuant to this section;
(2) The name, address and telephone number of an officer, agent or
employee who will serve as the contact point for the registrant;
(3) The name(s), addressees), and telephone number(s) of the individual(s)
designated to receive, process, and resolve customer complaints.
(c) Reqistration Fee. Each retail electric provider required to register under this
section shall pay to the city an initial registration fee in the amount of $25. The
subsequent annual registration fee shall be initially set at $20 but may be
changed from time to time by the City Manager based upon the City Manager's
assessment of the amount necessary to recover all of the city's costs incurred in
processing the registration. Such fee and the registration form shall be submitted
to the City Secretary's office.
(d) Reqistration Fee Requirements. Each retail electric provider registered in the city
shall pay an annual registration fee comprised of administrative costs as set forth
in subsection (c) for maintenance of its registration.
(1) The annual registration fee shall be paid to the city by January 31 of
each year.
Ordinance No. 2595
Page 2 of 6
(2) For good cause, the city may extend for not to exceed one month, the
time for making payment.
(3) No acceptance by the city of any payment hereunder shall be construed
as an accord that the amount paid is in fact the correct amount, nor shall
such acceptance of such payment be construed as a release of any
claim the city may have for additional sums payable.
(4) The payments hereunder are not a payment in lieu of any tax, fee or
other assessment except as specifically provided in this section, or as
required by applicable law.
(5) Notwithstanding the foregoing, in the event a registrant that is obligated
to pay a fee ceases to provide service for any reason, such registrant
shall make a final payment of any amounts owed to the city within ninety
(90) calendar days of the date its operations in the city cease.
(e) Exemption. The REP serving as electric provider for the City of North Richland
Hills' municipal electric needs is exempt from the filing requirement during the
term of service unless that REP serves end users within municipal limits other
than the city. The REP serving municipal accounts is exemptfrom the
registration fee.
Section 2. Monitorinq
(a) The city may, in its discretion, monitor the registration and certification status of
an REP. Monitoring may include:
(1) Confirming with the PUC every six (6) months that certification is current;
and
(2) Referring all customer complaints to both the REP and the PUC.
(b) All registered REPs must file a quarterly report regarding each complaint from a
resident of North Richland Hills until resolution is achieved. Such report shall
include:
(1) the name and address of the complainant;
(2) the date the complaint originated;
(3) the nature of the complaint;
(4) resolved matters; and
(5) unresolved matters.
Ordinance No. 2595
Page 3 of 6
Section 3. Penalties.
(a) Any registrant who has not been granted an extension of time for remittance of a
fee due and who fails to remit any fee imposed under subsection (d) of Section 1
prior to January 31 shall pay a penalty of $10.
(b) Any registrant who has not been granted an extension of time for remittance of a
fee due, and who fails to pay any delinquent remittance on or before a period of
30 days following the date on which the remittance first becomes delinquent shall
pay a second delinquency penalty of $15 plus the amount of the fee and the
amount of the penalty first imposed.
(c) Any REP that remains delinquent in the payment of annual registration fees after
March 31 shall be subject to having registration suspended.
Section 4. Suspension and Revocation
(a) The city may suspend or revoke a retail electric provider's registration and
operation in the city for significant violations of PURA Chapter 39 or the rules of
the Public Utility Commission of Texas adopted under that chapter, or for the
retail electric provider's failure to comply with any provision of this section.
(c) Significant violations include, but are not limited to, the following:
(1) Providing false or misleading information to the PUC or the City of
North Richland Hills;
(2) Engaging in fraudulent, unfair, misleading, deceptive, or anti-
competitive business practices or unlawful discrimination;
(3) Switching, or causing to be switched, the retail electric provider for a
customer without first obtaining the customer's permission;
(4) Billing an unauthorized charge, or causing an unauthorized charge to
be billed to a customer's retail electric service bill;
(5) Failure to maintain continuous and reliable electric service to its
customers pursuant to this section;
(6) Failure to maintain the minimum level of financial resources as
required by the PUC;
(7) Bankruptcy, insolvency, or the inability to meet financial obligations on
a reasonable and timely basis;
(8) Failure to timely remit payment for invoiced charges to a transmission
and distribution utility pursuant to the terms of the statewide
standardized tariff adopted by the PUC;
Ordinance No. 2595
Page 4 of 6
(9) Failure to observe any scheduling, operating, planning, reliability, and
settlement policies, rules, guidelines, and procedures established by
the independent system operator of the transmission grid;
(10) A pattern of not responding to PUC or City of North Richland Hills
inquiries or customer complaints in a timely fashion;
(11) Suspension or revocation of a registration, certification, or license
by any state or federal authority;
(12) Conviction of a felony by the registrant or principal employed by the
registrant, of any crime involving fraud, theft or deceit related to the
registrant's service;
(13) Not providing retail electric service to customers within 24 months
of the certificate being granted by the PUC;
(14) Failure to serve as a provider of last resort if required to do so by
the PUC pursuant to PURA § 39.1 06(f); and
(15) Failure, or a pattern of failures to meet the conditions of this
ordinance or PUC rules or orders.
(d) Initiation of Revocation Process.
(1) Upon information and belief, the City Manager or a designated
representative may give notice to a registrant that, based upon alleged
or perceived violations of this ordinance, registration is to be revoked in
not less than 30 days from the date the notice is deposited in the U.S.
Mail. The registrant will have not less than 10 days from the date the
notice is mailed to respond to the notice and show why revocation
should not occur.
(2) Notice. The notice letter shall specifically identify the alleged or
perceived violations and indicate the scheduled date for revocation.
(3) Not less than 7 days prior to the date scheduled for revocation, the City
Manager or his designated representative will issue a written ruling that
revokes the registration, dismisses the action or extends the process of
review of registration according to an identified schedule.
(4) Appeal. If registration is to be revoked, a registrant may file an appeal
to the City Council with the City Manager. If the appeal is filed prior to
the date scheduled for revocation, the action will be stayed for 30 days
to provide an opportunity for the City Council to consider the appeal. If
the Council agrees to entertain the appeal, the registrant may submit
written materials to the Council prior to the Council's consideration of
the matter in a noticed public hearing. However, oral presentations
Ordinance No. 2595
Page 5 of 6
related to the appeal are a matter of Council discretion and not a
matter of the REP's right.
Section 5 Severabilitv
It is the intention of the City Council that this Ordinance, and every provision hereof,
shall be considered severable, and the invalidity or unconstitutionality of any section,
clause, provision or portion of this Ordinance shall not affect the validity or
constitutionality of any other portion of this Ordinance.
Section 6. Effective Date
This Ordinance shall become effective upon its passage and publication as required by
law.
DULY PASSED AND APPROVED this the 14th day of January, 2002.
APPROVED:
ce~a,~
~
ATTEST:
@¿Wz(d~ ~
Patricia Hutson, City Secretary
APPROVED AS TO CONTENT:
Q~~)(k
Greg Vic~anaging Director of Community
Services and Facilities
APPROVED AS TO FORM AND LEGALITY:
(
Ordinance No. 2595
Page 6 of 6
LOCAL REGISTRATION FORM FOR
RETAIL ELECTRIC PROVIDERS
FOR THE PROVISION OF SERVICE
IN THE CITY OF NORTH RICHLAND HILLS
1. Legal Name of the Applicant::
2. Authorized representative to contact:
Name:
Title:
Address:
Telephone:
Fax:
E-mail Address:
3. Customer Complaint representative:
Name:
Title:
Address:
Telephone:
Fax:
E-mail Address:
4. Type of Legal Structure
Individual
_ Partnership
Other
_ Limited Liability Company
_ Corporation
5. Affiliates. Provide, and label as "attachment 1," the name and relationship of
each of the Registrant's affiliates and subsidiaries that may provide utility related
services, such as telecommunications, electric, gas, water, or cable services, if
any.
6. PUC Certification of REPs. Please provide and label as "attachment 2," the
application form filed with the Public Utility Commission of Texas, or any other
proof of certification with the Commission.
Local Registration Form
INVOICE
Star- Telegram
400 w. 7th Street
FORT WORTH, TX 76102
(817)390-7761
Federal Tax ill 22-3148254
Bill To:
CITY OF N RICHLAND HILLS/SECRET
PO BOX 820609
NORTH RICHLAND HILLS, TX 76182-
n \€ W I ~ ~ ð-i \'\ ð.JI\ ú N O.
~C:;-~ 5
Customer ID:
Invoice Number:
Invoice Date:
Terms:
Due Date:
PO Number:
Order Number: 21011430
Sales Rep: 073
Description: ORDINANCE NO.2
Publication Dates: 1/23/02 - 1/24/02
CIT 13
210114301
1/24/02
Net due in 21 days
1/3 1/02
ORDINANCE NO. 2595 CITY OF NOR
13580
1
77
77
LINE
$6.08
$936.32
Sales Discount
($880.88)
~~!
H~~M
~~ JprRè'Mtt . ..
fo'g~ld~~istr~tl' ...
Retail Electric Pto-
~~7/,n j/.~~trgf t~
Public Utility Regula-
~ory r~4¡¡~~I'6~lngfJ~~
prOVldPng' for the
suspens10n .or revo-
cation of registration
~I~h thrs°8';3¡'::C~g::c;,~
Chapter 39 of the
Public Utility. Regula-
tory Act; and provTdlng
a severability clause-,
a penaltv clause, ana
an effective date.
Any r~istrant whQ has
g~:e~:i'i>~ ß~au= fo~
remittance of a fee
due and who falls to
..IE STATE OF TE remltanyfeelmpòsed
-, undar subsection (d)
~unty of Tarrant of Section 1 prior to
J Janua~ 31 snail Kay
~!~¡.! Ofn~~h1~ ~.~ 1 d '. ~unty and Statef!/;t rAy ersonally appea.red .c h ty H Ollandqj'. j' eg~1 Coordinator .
dre.mittance of a fee. ;tf -Telegram Inc. a or th, in Tarrant county,~. s; d II' r being duly sworët, did
ue, and who falls to' .
pay. anydellnQuent,g' an advertiseme t w iShe~labove na. p er 0 -'. ;te)ßd~
~~~Itt:ng:r~ ~f b:o , J I ~' I/Ä d
~:r: ¿~IIO:~1'c1J, m: Signed ./I--f~ l.J{.../Yl
remittance first be- .
comes deli~uent
JBSCRIBED AN[ ifi.r:i :E:::~~ M:' THIS Thursday, J91uar ));;1, 2000 .... ~. ~..
ôf tlie fee and. the
au~~~':f.9n~~ Notary Public
~ tnat remains
¡;;...:....¡ 'I";C::- VICKI :;'~;~N' ";1
atlo::>:Y I, \, ~~~' MY CO;v1MISSION EXP,RES 1.1
!~ank_ y OU F~ A ·C.~~~ _ _ _ _ _ __ _ _ _ _ t~~i1"~..._ _'m ~~~~~~~2~;~:~~1_._ .__ mo>' _...., __ ._.
I Is H..-"
~
~D ....g,.. .TO
. AND LI;GAL-
Remit To: St~ ~~=-cty
P.O. Box9U1U~1
FORT WORTH, TX 76101-2051
Net Amount:
$55.44
3fore me, a Nota
)f the Star- T elegf
3pose and say th
Customer ill:
Customer Name:
Invoice Number:
Invoice Amount:
PO Number:
Amount Enclosed:
CIT13
CITY OF N RlCHLAND HIL
210114301
$55.44
;$
~... . ...................,...,.. "J"". .... ... ..
..,.............w.'o'···,···"""I·
>