HomeMy WebLinkAboutRES 06-067 RESOLUTION 06-067
A RESOLUTION OF THE CITY COUNCIL OF BEAUMONT, TEXAS,
AUTHORIZING PARTICIPATION WITH OTHER ENTERGY SERVICE
AREA CITIES IN MATTERS BY ENTERGY AT THE PUBLIC UTILITY
COMMISSION OF TEXAS IN 2006
WHEREAS, Entergy Gulf States' (EGSI) implementation of customer choice has
been delayed due to lack of competition; lack of independent market structures and
organizations in its service territory to implement fair competition; and because EGSI's
ability to control the market in its region has not been evaluated,EGSI will continue to be
regulated;
WHEREAS, changes to the ,Public Utility Regulatory Act addressing rates and
rate proceedings will have a direct impact on EGSI and customer bills. during the
continued transition to competition;
WHEREAS, EGSI is scheduled to litigate its request in various proceedings at the
Public Utility Commission in 2006 related to transition to competition expenditures;
capacity cost surcharges; various fuel cost surcharges; Hurricane Rita losses, and for
approval of various market structures necessary for the implementation of fair
competition;
WHEREAS, EGSI is scheduled to file a fuel factor proceedings at the Public
Utility Commission in March and September 2006, and file other fuel proceedings during
2006 to reconcile fuel, to surcharge or refund fuel charges, and to change the fuel
mechanism, along with various surcharge requests impacting rates;
WHEREAS, Cities have a duty to set fair and reasonable rates for both the
Company and ratepayers within Cities;
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;
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. Um. Code §33.025;
WHEREAS, Cities are entitled to reimbursement 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 RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT, TEXAS,that:
SECTION 1. The City of Beaumont shall participate with other Cities to
intervene in EGSI's various rate filings related to the recovery of transition to
competition costs, capacity costs and fuel cost proceedings, which include fuel
reconciliation(s), fuel factor and fuel surcharge/refund cases and cost recovery
proceedings related to Hurricane Rita impacts filed at the Public Utility Commission in
2006 seeking appropriate regulatory scrutiny.
The City of Beaumont shall participate with other Cities to intervene in
proceedings at the Public Utility Commission filed in 2006 concerning EGSI's readiness
for competition, market power, organizations and structures to assure fair competition to
all customer classes.
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 EGSI of all reasonable expenses associated with participation in said proceedings.
SECTION 2. This resolution shall be effective from and after the date of its
passage.
PASSED by 6 -0 vote of the City Council of the City of
Beaumont, Texas, this�A�st-day of 2006.
THE CITY OF A , TEXAS
By:
Guy N. Goodson, Mayor
ATTEST:
Na
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City Secretary Yom` i/
i /lam
APPROVED AS TO FORM: LU.\ - " i
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