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Home My WebLink AboutORD 93-63 y. ORDINANCE NO. ' ENTITLED AN ORDINANCE FINDING, AFTER REASONABLE NOTICE AND HEARING, THAT THE EXISTING RATES OF GULF STATES UTILITIES COMPANY ARE UNREASONABLE; DETERMINING JUST AND REASONABLE RATES TO BE OBSERVED AND IN FORCE WITHIN THE CITY; ORDERING RATE REDUCTIONS; ORDERING A ONE TIME CREDIT TO RATEPAYERS'BILLS; FIXING SUCH RATES WHICH SHALL CONSTITUTE THE LEGAL RATES OF GULF STATES UTILITIES COMPANY UNTIL CHANGED AS PROVIDED BY THE PUBLIC UTILITY REGULATORY ACT; PROVIDING FOR THE FILING OF RATE SCHEDULES AND TARIFFS AND THE APPROVAL OR MODIFICATION OF SAME; AUTHORIZING THE CITY MANAGER TO EFFECT IMPLEMENTATION OF SETTLEMENT OF THIS PROCEEDING AND CERTAIN OTHER MATTERS WITH GULF STATES UTILITIES COMPANY; ORDERING THAT THIS ORDINANCE BE SERVED ON GULF STATES UTILITIES COMPANY; PRESERVING REGULATORY RIGHTS OF THE CITY; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR REPEAL. WHEREAS, the City of Beaumont ("City"), acting as a regulatory authority, has provided reasonable notice and conducted a proper public hearing; and WHEREAS, the City has, on its own motion, found that the existing rates of Gulf States Utilities Company ("GSU") for service within the City are unreasonable; and WHEREAS, the City has determined that the rates of GSU should be decreased and ratepayers'bills should be credited on the dates and in the amounts hereinafter provided; and WHEREAS, GSU has agreed to the reductions in rate and bill credits hereinafter provided for and to the settlement of certain other matters; NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. The existing rates of GSU are hereby found, after reasonable notice and hearing, to be unreasonable and shall be decreased to reflect the reductions and credits hereinafter ordered. The rates resulting from such reductions and credits are hereby determined to be the just and reasonable rates to be observed and in force within the City. Section 2. It is hereby ordered that the base rates of GSU for electric power and energy sold within the City be decreased by the amount of$22.5 million per annum on a Texas retail system-wide basis, effective with all service rendered on and after November 1, 1993. Such base rate decrease shall be implemented on an across-the-board basis so that the base rates for all customer classes and each component thereof are reduced by the same percentage amount. Section 3. It is hereby ordered that the base rates of GSU for electric power and energy sold within the City be decreased by the additional amount of $20 million per annum on a Texas retail system-wide basis, effective on all bills rendered on and after September 1, 1994. Such base rate decrease shall be implemented on an across-the-board basis so that the base - 2 - rates for all customer classes and each component thereof are reduced by the same percentage amount. Section 4. It is hereby ordered that ratepayers within the City receive a one-time credit in the amount of $20 million on a Texas retail system-wide basis as a separate line item credit which, to the extent possible, shall be applied to and reflected on all bills rendered to existing ratepayers during the billing month of December, 1993. Such base rate credit shall be implemented on an across-the-board basis so that the base rates for all customer classes and each component thereof are credited by the same percentage amount. Section 5. Such rate schedules and tariffs, as are approved in accordance herewith, are fixed as and shall constitute the legal rates under which GSU shall be authorized to render electric service and to collect charges from its customers for the sale of electric power and energy and electric service rendered within the corporate limits of the City until such time as such rate schedules and tariffs may be changed as provided by the Public Utility Regulatory Act. Section 6. GSU shall file with the City, no later than November 10, 1993, revised Schedules of Rates and Tariffs, together with rate design work papers and supporting data as requested, setting forth those rates, tariffs, and charges based upon such decreases and credits as prescribed herein. Such Schedules of Rates and Tariffs may be modified or amended by the - 3 - City Council within thirty (30) days from the date of filing with the City, otherwise the same shall be considered approved as filed. Section 7. The City Manager be and he is hereby authorized to effect implementation of the settlement of this proceeding and certain other matters as recommended by and subject to direction of the Steering Committee of Cities participating in GSU rate proceedings. Section 8. This Ordinance shall be served on GSU by U.S. mail to Cecil Johnson, Vice President - Legal Services, P.O. Box 2951, Beaumont, Texas 77704. Section 9. Nothing in this Ordinance contained shall be construed now or hereafter as limiting or modifying, in any manner, the right and power of the City under the law to regulate the rates and charges of GSU. Section 10. All ordinances, resolutions, or parts thereof, in conflict herewith are repealed to the extent of such conflict. Section 11. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances, should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, - 4 - and to such end the various portions and provisions of this ordinance are declared to be severable. yy�� PASSED BY THE CITY COUNCIL of the City of Beaumont this the: ay of ��Csg , , 1993. - Mayor - ATTEST; %� ' City Secre ' - 5 - ' �t Of .LiNmil. Office of the City Clerk October 28, 1993 Mr. Cecil Johnson Vice President, Legal Services Gulf States Utilities Company P. O. Box 2951 Beaumont, Texas 77704 Dear Mr. Johnson: This letter is regarding Ordinance No. 93-63 passed by the City Council of the City of Beaumont on October 26, 1993. Section 8 of this ordinance requires that Gulf States Utilities be served a certified copy of this ordinance by mail. In compliance with the ordinance, you will find enclosed a certified copy of Ordinance No. 93-63 for your records. If I can be of further assistance, please call. Sincerely, Rosemarie Chiappetta, City Clerk City of Beaumont sls Enclosure P. O . Box 3827 Beaumont, Texas 77704 J " a M �o m o oa ru W �aq N a- Z E o Mme° lb W�a wZ o p u- O ag W ILL 30 V_ C N u7 �oZ O ° a ' °' N ° N° ry�9ry, z h Z ° m a0 ao L inV aT CL W r-I c m ap a? Q)'a v¢ u`m W 65 O Cr c d s cc Z!U nm E ya ° o E m Q) 63 .6 m o U ° O m 0 (L 99S-#VZ-6961'owo-s-n r, 586L aunt `008E waod Sd • SENDER: Complete items i and when 3 and 4. ► aarvices are desired, and complete items Put�our.address in the"RETURN TO•' cc om being ret nesl to you.T, Pace on the reverse side:Failure to do this will prevent this ,t d of deliver .For a vy rovide ou the name of the arson delivered fir t s an ►` ees e o owing services are avai a e. �4 c o es� for additional servicels)requested. Shov .t Whom dl3 Hiered,date, and addressees address. 2 onsu t postmaster rtieIs Addressed to:`y(Extra charge) ❑ Restricted Delivery (Extra charge) '. Cecil Johnson 4 Article Number Guff Stakes Utilities 3 PR- O• Box 2951 Type of avice: Beaumont; Texas 7T704 ❑Insured El Certified ❑COD ❑ Express Mail 0 Return Receipt for Merchantlise Always obtain aipnature of addressee 5. Signature -Address or agent and DATE DELIVERED X 8. Addressee's Address (ONLY if 6. Signature —A t requested and fee paid) X 7. ate of Delivery PS Form 3811.Mar. 1988 a U.S.G.P.O. 1$88_ 885 DOMESTIC RETURN RECEIPT