HomeMy WebLinkAboutRES 07-330 RESOLUTION NO. 07-330
RESOLUTION OF THE CITY OF BEAUMONT, TEXAS,
AUTHORIZING THE SUSPENSION OF THE EFFECTIVE
DATE FOR AN ADDITIONAL NINETY (90) DAYS BEYOND
THE JUNE 30, 2008, EFFECTIVE DATE PROPOSED BY
ENTERGY GULF STATES, INC., IN CONNECTION WITH ITS
RATE INCREASE APPLICATION ENTITLED"APPLICATION
OF ENTERGY GULF STATES, INC., FOR AUTHORITY TO
CHANGE RATES AND TO RECONCILE FUEL COSTS,"
FILED ON SEPTEMBER 26, 2007; 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, REQUIRING REIMBURSEMENT
OF MUNICIPAL RATE CASE EXPENSES; FINDING THAT
THE MEETING COMPLIES WITH THE OPEN MEETINGS
ACT; MAKING OTHER FINDINGS AND PROVISIONS
RELATED TO THE SUBJECT; AND DECLARING AN
EFFECTIVE DATE.
WHEREAS, on or about September 26, 2007, Entergy Gulf States, Inc. ("EGSI"),
filed a Statement of Intent with the City to increase electric rates in the EGSI Service Area
by $107.5 million per year;; and
WHEREAS, cities have exclusive original jurisdiction overthe rates, operations and
services of an electric utility in areas in the municipality pursuant to the Public Utility
Regulatory Act §33.001(a); and
WHEREAS, the Public Utility Regulatory Act §33.021 requires a local regulatory
authority to make a reasonable determination of rate base, expenses, investment and rate
of return and retaining the necessary personnel to determine reasonable rates; and
WHEREAS, the City's reasonable cost for regulatory expenses in ratemaking
proceedings shall be reimbursed by the Electric Utility under Public Utility Regulatory Act
§33.023; and
WHEREAS,given the complexity of the proposed rate increase and the need to fully
review the proposed rate adjustment, it is necessary to suspend the effective date for
implementing the proposed rates until at least September 28, 2008, in order to allow the
City's rate experts sufficient time to determine the merits of EGSI's proposed rates; and
WHEREAS, in order to maximize the efficient use of resources and expertise in
reviewing, analyzing and investigating EGSI's $107.5 million rate increase request, City's
efforts will be coordinated with similarly situated municipalities through the Entergy Gulf
States, Inc., Cities Service Area Steering Committee; and
WHEREAS, the City will join with other EGSI service area municipalities in a
steering committee in order to coordinate the hiring and direction of counsel and
consultants working on behalf of the steering committee and the City; and
NOW, THEREFORE, BE IT RESOLVED
BY THE CITY COUNCIL OF THE CITY OF BEAUMONT THAT:
Section 1.
The statement and findings set out in the preamble to this resolution are hereby, in
all things, approved and adopted.
Section 2.
The effective date of EGSI's proposed rate increase, and the proposed tariffs
related thereto, is hereby suspended for an additional ninety(90)days until September 28,
2008, in order to complete the review and investigation by City's experts.
Section 3.
The City is authorized to join with other municipalities as part of the Entergy Gulf
States, Inc., Cities Service Area Steering Committee with the understanding that the
steering committee will provide direction and guidance to the lawyers who are representing
said cities.
Section 4.
The City employs the Lawton Law Firm, P.C., to represent the City with regard to
the proposed rate increase of EGSI before local and state regulatory authorities and any
court of law and authorizes counsel to employ such rate experts as are recommended by
the Cities Steering Committee.
Section 5.
The Steering Committee shall review the invoices of the lawyers and rate experts
for reasonableness before submitting the invoices to EGSI for reimbursement.
Section 6.
City's legal representatives shall have the right to obtain additional information from
EGSI through the service of requests for information, which shall be responded to within
twenty (20) days of receipt of such requests for information.
Section 7.
EGSI shall reimburse the City, through the designated representative city of the
Steering Committee, for the reasonable costs of attorneys and consultant and expenses
related thereto, upon the presentation of invoices reviewed by the Steering Committee.
Section 8.
The meeting at which this resolution was approved was, in all things, conducted in
strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter
551.
Section 9.
This resolution shall become effective from and after its passage.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 16th day of
October 16, 2007.
- Ma Becky Ames -
ATTEST:
City Clerk
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RESOLUTION NO. 07-330
RESOLUTION OF THE CITY OF BEAUMONT, TEXAS,
AUTHORIZING THE SUSPENSION OF THE EFFECTIVE
DATE FOR AN ADDITIONAL NINETY (90) DAYS BEYOND
THE JUNE 30, 2008, EFFECTIVE DATE PROPOSED BY
ENTERGYGULF STATES, INC., IN CONNECTION WITH ITS
RATE INCREASE APPLICATION ENTITLED"APPLICATION
OF ENTERGY GULF STATES, INC., FOR AUTHORITY TO
CHANGE RATES AND TO RECONCILE FUEL COSTS,"
FILED ON SEPTEMBER 26, 2007; 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, REQUIRING REIMBURSEMENT
OF MUNICIPAL RATE CASE EXPENSES; FINDING THAT
THE MEETING COMPLIES WITH THE OPEN MEETINGS
ACT; MAKING OTHER FINDINGS AND PROVISIONS
RELATED TO THE SUBJECT; AND DECLARING AN
EFFECTIVE DATE.
WHEREAS, on or about September 26, 2007, Entergy Gulf States, Inc. ("EGSI"),
filed a Statement of Intent with the City to increase electric rates in the EGSI Service Area
by $107.5 million per year; and
WHEREAS, cities have exclusive original jurisdiction overthe rates, operations and
services of an electric utility in areas in the municipality pursuant to the Public Utility
Regulatory Act §33.001(a); and
WHEREAS, the Public Utility Regulatory Act §33.021 requires a local regulatory
authority to make a reasonable determination of rate base, expenses, investment and rate
of return and retaining the necessary personnel to determine reasonable rates; and
WHEREAS, the City's reasonable cost for regulatory expenses in ratemaking
proceedings shall be reimbursed by the Electric Utility under Public Utility Regulatory Act
§33.023; and
WHEREAS,given the complexity of the proposed rate increase and the need to fully
review the proposed rate adjustment, it is necessary to suspend the effective date for
implementing the proposed rates until at least September 28, 2008, in order to allow the
City's rate experts sufficient time to determine the merits of EGSI's proposed rates; and
WHEREAS, in order to maximize the efficient use of resources and expertise in
reviewing, analyzing and investigating EGSI's $107.5 million rate increase request, City's
efforts will be coordinated with similarly situated municipalities through the Entergy Gulf
States, Inc., Cities Service Area Steering Committee; and
WHEREAS, the City will join with other EGSI service area municipalities in a
steering committee in order to coordinate the hiring and direction of counsel and
consultants working on behalf of the steering committee and the City; and
NOW, THEREFORE, BE IT RESOLVED
BY THE CITY COUNCIL OF THE CITY OF BEAUMONT THAT:
Section 1.
The statement and findings set out in the preamble to this resolution are hereby, in
all things, approved and adopted.
Section 2.
The effective date of EGSI's proposed rate increase, and the proposed tariffs
related thereto, is hereby suspended for an additional ninety(90)days until September 28,
2008, in order to complete the review and investigation by City's experts.
Section 3.
The City is authorized to join with other municipalities as part of the Entergy Gulf
States, Inc., Cities Service Area Steering Committee with the understanding that the
steering committee will provide direction and guidance to the lawyers who are representing
said cities.
Section 4.
The City employs the Lawton Law Firm, P.C., to represent the City with regard to
the proposed rate increase of EGSI before local and state regulatory authorities and any
court of law and authorizes counsel to employ such rate experts as are recommended by
the Cities Steering Committee.
Section 5.
The Steering Committee shall review the invoices of the lawyers and rate experts
for reasonableness before submitting the invoices to EGSI for reimbursement.
Section 6.
City's legal representatives shall have the right to obtain additional information from
EGSI through the service of requests for information, which shall be responded to within
twenty (20) days of receipt of such requests for information.
Section 7.
EGSI shall reimburse the City, through the designated representative city of the
Steering Committee, for the reasonable costs of attorneys and consultant and expenses
related thereto, upon the presentation of invoices reviewed by the Steering Committee.
Section 8.
The meeting at which this resolution was approved was, in all things, conducted in
strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter
551.
Section 9.
This resolution shall become effective from and after its passage.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 16th day of
October 16, 2007.
- Ma Becky Ames -
A7 ST:
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Ciiy Clerk ' 1�
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