HomeMy WebLinkAboutORD 20-017ORDINANCE NO. 20-017
AN ORDINANCE BY THE CITY OF BEAUMONT, TEXAS ("CITY")
DENYING THE DISTRIBUTION COST RECOVERY FACTOR RATE
INCREASE REQUEST OF ENTERGY TEXAS, INC. FILED ON MARCH
31, 2020; SETTING JUST AND REASONABLE RATES FOR ENTERGY
TEXAS, INC. FOR SERVICE WITHIN THE MUNICIPAL LIMITS; FINDING
THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT;
MAKING OTHER FINDINGS.
WHEREAS, on or about March 31, 2020, Entergy Texas, Inc. ("Entergy") filed an
Application to Amend its Distribution Cost Recovery Factor ("DCRF") with the City to
increase electric rates by amending its DCRF rider pursuant to Public Utility Regulatory
Act ("PURA") Section 36.210; and,
WHEREAS, City has exclusive original jurisdiction over the rates, operations and
services of an electric utility within its municipal limits pursuant to PURA Section
33.001(a); and,
WHEREAS, the jurisdictional deadline for the City to act in this rate matter is May
30, 2020; and,
WHEREAS, Entergy's existing DCRF rider is set to collect approximately $3.2
million per year; and,
WHEREAS, Entergy's proposed amended Distribution Cost Recovery Factor
rider would increase customer rates in the Entergy Service Area by approximately $20.4
million per year, for a total of $23.6 million per year; and,
WHEREAS, the City retained the Lawton Law Firm, P.C. to review the
Company's rate request and make necessary rate recommendations to the City; and,
WHEREAS, the Lawton Law Firm has recommended that the City deny the
Company's request to amend its Distribution Cost Recovery Factor;
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
Section 1. That the statement and findings set out in the preamble to this ordinance are
hereby in all things approved and adopted.
Section 2. The City of Beaumont hereby denies Entergy's request to amend its
Distribution Cost Recovery Factor in total.
Section 3. 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 4. This ordinance shall become effective from and after its passage.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 21st day of
April, 2020.
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ATTEST:
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City Clerk