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HomeMy WebLinkAboutPR 15696: ENTERGY TEXAS, INC.Interoffice MEMORANDUM b To: Mayor, City Council, and City Manager `'I~~ From: ~ Valecia R. Tizeno, Acting City Attorney V Date: January 13, 2010 Subject: P. R. No. 15696; Council Meeting January 26, 2010 Attached is P. with other Entergy concerning Entergy Commission of Texas Commission in 2010. VRT:ts Attachment R. No. 15696 authorizing participation Service Area Cities in matters Texas, Inc. at the Public Utility and the Federal Energy Regulatory s.pr15696_memo P. R. No. 15696 01/13/10 is RESOLUTION N0. A RESOLUTION AUTHORIZING PARTICIPATION. WITH OTHER ENTERGY SERVICE AREA CITIES IN MATTERS CONCERNING ENTERGY TEXAS, INC. AT THE PUBLIC UTILITY COMMISSION OF TEXAS AND THE FEDERAL ENERGY REGULATORY COMMISSION IN 2010 WHEREAS, Entergy Texas, Int.'s ("ETI") implementation of customer choice has ceased, due to Senate Bill 1492, and ETI will continue to be regulated; and WHEREAS, changes to the Public Utility Regulatory Act addressing rates and rate proceedings will have a direct impact on ETI and customer bills during the year; and WHEREAS, ETI is scheduled to litigate its request in various proceedings before the Public Utility Commission, before municipalities, or before the Federal Energy Regulatory Commission in 2010, related to various fuel- cost surcharges and reconciliations; and for any type of incremental base. rate adjustment proceedings or a cost of service adjustment; and WHEREAS, ETI is scheduled to file fuel factor proceedings at the Public Utility Commission in February and August 2010, and file other fuel proceedings during 2010 to reconcile fuel, to surcharge or refund fuel charges, and to change the fuel mechanism, along with various surcharge requests impacting rates; and WHEREAS, ETI is scheduled to file a proceeding to determine the proper Texas allocation of rough production cost equalization S.pr16696 payments from Entergy Arkansas to be refunded to Texas customers; and WHEREAS, ETI is scheduled to file a proceeding to recover costs incurred in association with its Energy Efficiency Plan; and WHEREAS, Cities have the statutory right to set.fair and reasonable rates for-both the Company and ratepayers within Cities; and WHEREAS, Cities have original jurisdiction over rates, operations, and services of an electric utility in areas in the municipality, pursuant to Tex. Uti1. Code §33.001; and 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. Util. Code §33.025, and standing before each Federal Energy Regulatory Commission case in which the City may be affected, pursuant to 18 C.F.R. §385.214; and WHEREAS, Cities are entitled to reimbursement by the utility 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 PORT ARTHUR: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That the City of Port Arthur shall participate s.pri 5696 with other Cities to intervene in ETI's various rate filings related to the various fuel cost surcharges and reconciliations, capacity cost surcharges and reconciliations, the allocation and refund of rough production cost equalization payments, and for any base rate adjustment proceedings or cost of service adjustments on file with the Public Utility Commission or with municipalities in 2010, and seek appropriate regulatory scrutiny in any case on file at the Federal Energy Regulatory Commission affecting the City and its residents. Section 3. That the City of Port Arthur shall participate with other Cities to intervene in fuel or fuel related proceedings at the Public Utility Commission and the Federal Energy Regulatory Commission on file in.2010 concerning ETI's rates charged to Texas customers. Section 4. That all such actions shall be taken pursuant to the direction of the Cities' Steering Committee. That the Cities' Steering Committee shall have. authority to retain rate consultants and lawyers. That the Cities' Steering Committee shall direct the actions of Cities' representatives in the above proceedings. That the Steering Committee is directed to obtain reimbursement from ETI of all reasonable expenses associated with participation in said proceedings. Section 5. That this Resolution shall be effective from and after the date of its passage. Section 6. That a copy of the caption of this Resolution be 5.pri5696 be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED on this day of A.D., 2010, at a Meeting of the City Council of the City of Port Arthur, by the following vote: AYES: Mayor Councilmembers NOES: MAYOR ATTEST: CITY SECRETARY APPROVED AS TO FORM: A NG CI T 0 Y APPROVED FOR ADMINISTRATION: CITY MANAGER. APPROVED AS TO TAE AVAILABILITY OF FUNDS: DIRECTOR OF FINANCE s.pr15696