HomeMy WebLinkAboutRES 00-037 RESOLUTION NO. ll'2
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT:
WHEREAS, Entergy Gulf States ("EGS" or "Company") has filed and will be filing
various cases contemplated by the revisions to Tex. Util. Code, Chapter 39 and others,
known generally as S.B. 7. Such filings and cases include but are not limited to EGS'
Texas Business Separation Plan; a case to separate the transmission, distribution, and
generation assets and set rates for those parts over which Cities and/or the Public Utility
Commission of Texas have jurisdiction; identification of and possible request for recovery
of uneconomic costs (i.e., stranded costs); and other cases setting and/or affecting rates.
The filing of such cases will occur in 2000 beginning with the first of such matters filed
January 10, 2000 and assigned Docket No. 21957 by the Public Utility Commission of
Texas; and,
WHEREAS, such cases will set and/or affect rates to be effective at the conclusion
of the statutory rate freeze period. EGS may be proposing to transfer certain generating
and other assets paid for by ratepayers to affiliates or newly created entities; and,
WHEREAS, Cities have a duty to set fair and reasonable rates for both the
Company and ratepayers within Cities; and,
WHEREAS, EGS will file a petition to revise the fixed fuel factors in February, 2000
and has indicated an intent to file another fuel surcharge case in March, 2000; and,
WHEREAS, Cities have 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,
NOW THEREFORE BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the City Attorney is hereby authorized to participate with other cities to intervene in
the restructuring, unbundling, rate setting, uneconomic cost recovery and fuel-related
cases EGS has filed and is expected to file at the Public Utility Commission through April,
2000, seeking appropriate regulatory scrutiny and the exercise of cities' original
jurisdiction.
The City Attorney is hereby authorized to approve the retention of Diversified Utility
Consultants and Barbara Day as the rate consultants and attorney, respectively. Such
other rate consultants as may be required may be retained if necessary and subject to the
approval of the City Attorney as authorized by the Public Utility Regulatory Act (Title 2 of
Tex. Util. Code) and to direct the actions of cities' representatives in the above
proceedings. Cities' reasonable rate case expenses are required to be reimbursed by the
Company pursuant to the Public Utility Regulatory Act (Tex. Util. Code §33.023), therefore,
the City Attorney through the Steering Committee is directed to obtain reimbursement from
the Company of all reasonable expenses.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the /�Zr day of
2000.
- Mayor -
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