HomeMy WebLinkAboutORD 22-003 ORDINANCE NO. 22-003
AN ORDINANCE OF THE CITY COUNCIL OF BEAUMONT, TEXAS,
AUTHORIZING PARTICIPATION WITH OTHER ENTERGY SERVICE
AREA CITIES IN MATTERS CONCERNING ENTERGY TEXAS, INC. AT
THE PUBLIC UTILITY COMMISSION OF TEXAS IN 2022; AUTHORIZING
THE HIRING OF LAWYERS AND RATE EXPERTS; AUTHORIZING THE
CITY'S PARTICIPATION TO THE FULL EXTENT PERMITTED BY LAW
AT THE PUBLIC UTILITY COMMISSION OF TEXAS; FINDING THAT THE
MEETING COMPLIES WITH THE OPEN MEETINGS ACT; AND
DECLARING AN EFFECTIVE DATE.
WHEREAS, Cities have exclusive original jurisdiction over rates, operations, and
services of an electric utility in areas in the municipality pursuant to Tex. Util. Code §
33.001; and,
WHEREAS, Cities have standing in each case before the Public Utility
Commission of Texas that relates to an electric utility providing service in the municipality
pursuant to Tex. Util. Code § 33.025; and,
WHEREAS, Entergy Texas, Inc. ("ETI" or "Company") is expected to litigate rate
change requests in various proceedings before the Public Utility Commission of Texas
("Commission") or before municipalities in 2022, which may include (1) a base rate case,
(2) rate proceedings or cost adjustments such as a transmission cost recovery rider, a
distribution cost recovery rider, a generation cost recovery rider, energy efficiency cost
recovery factor, or hurricane restoration cost or offset true-ups, (3) and various fuel cost
refunds or surcharges and reconciliations; and,
WHEREAS, ETI is expected to file a statement of intent to increase its base rates
with municipalities and the Commission in 2022; and,
WHEREAS, ETI is scheduled to file fuel factor proceedings at the Commission in
February and August 2022, and may file other fuel proceedings to reconcile, refund, or
surcharge fuel charges; and,
WHEREAS, ETI is expected to file its annual proceeding with the Commission to
recover costs incurred in association with its Energy Efficiency Plan as well as reconcile
past costs; and,
WHEREAS, Cities have the statutory right to set fair and reasonable rates for both
the Company and customers within Cities; and,
WHEREAS, Cities are entitled to reimbursement by the utility of their reasonable
rate case expenses to participate in cases that are deemed rate proceedings pursuant to
Tex. Util. Code § 33.023;
NOW, THEREFORE, BE IT ORDAINED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT, TEXAS:
SECTION 1. The City of Beaumont shall participate with other Cities to intervene
in ETI's various rate filings related to the various fuel cost surcharges and reconciliations,
any interim or incremental surcharge proceedings or surcharge adjustments, and for any
base rate adjustment proceedings or cost of service adjustments on file with the
Commission or with municipalities in 2022.
SECTION 2. The City of Beaumont employs the Lawton Law Firm P.C. to
represent the City regarding the ETI rate matters before local regulatory authorities and
the Commission and any court of law and authorizes counsel to employ rate experts as
are recommended by the Cities' Steering Committee to intervene in fuel or rate related
proceedings at the Commission concerning ETI's rates charged to Texas customers.
SECTION 3. All such actions shall be taken pursuant to the direction of the Cities'
Steering Committee. Cities' Steering Committee shall have authority to retain rate
consultants and lawyers. Cities' Steering Committee shall direct the actions of Cities'
representatives in the above proceedings. The Steering Committee is directed to obtain
reimbursement from ETI of all reasonable expenses associated with participation in said
proceedings.
SECTION 4. The meeting at which this Ordinance was approved was in all things
conducted in strict compliance with the Texas Open Meetings Act, Texas Government
Code, Chapter 551.
SECTION 5. This Ordinance shall be effective from and after the date of its
passage.
•
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 25th day of
January, 2022. �
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Tina Broussard, City Clerk