HomeMy WebLinkAboutPO 6856: DENYING THE DISTRIBUTION COST REVOERY FACTOR RATE INCREASE REQUEST OF ENTERGY TEXAS P.O. No. 6856
04/06/2020 gt
ORDINANCE NO.
AN ORDINANCE BY THE CITY OF PORT ARTHUR,
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 ORDAINED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR, TEXAS:
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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. That the City of Port Arthur 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.
READ, ADOPTED AND APPROVED on this day of April A.D., 2020,
at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the
following vote: AYES:
Mayor: ,
Councilmembers: ,
NOES: .
Thurman Bill Bartle, Mayor
ATTEST:
Sherri Bellard, City Secretary
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APPROVED AS TO FORM:
J
Valecia R. izeno, Ciorne
APPROVED FOR ADMINISTRATION:
Ronald Burton, City Manager
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