HomeMy WebLinkAboutPO 6418: ENTERGY TEXAS, INC, RATES P.O. No. 6418
10/14/14 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
SEPTEMBER 18, 2014; 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 September 18, 2014 Entergy Texas, Inc.
("Entergy") filed an Application for Authority to Implement a
Distribution Cost Recovery Factor with the City to increase
electric rates by implementing new riders pursuant to Public
Utility Regulatory Act ("PURA") Section 36 . 210; and
WHEREAS, the proposed Distribution Cost Recovery Factor
rates proposed by Entergy Texas, Inc. would increase customer
rates in the Entergy Service Area by $6, 980, 180 per year; and
WHEREAS, Entergy the jurisdictional deadline for the City
to act in this rate matter is November 17, 2014 ; and
WHEREAS, the expert utility rate consultants retained to
review the Company' s Distribution Cost Recovery Factor rates on
behalf of the City have issued a preliminary report and
concluded that Entergy has incorrectly calculated the proposed
Distribution Cost Recovery Factor and substantially overstated
the claimed need for the rate increase requested. The
consultants' analyses support substantial reductions to the
Entergy request; and
WHEREAS, the rate experts retained for the rate review have
concluded that Entergy' s rate filing request is unsupported; and
WHEREAS, Entergy has failed to properly support and justify
the rate class increase amounts for Entergy' s proposed class
allocation of certain distribution costs; and
WHEREAS, Entergy has failed to justify Entergy' s proposed
rates included in lighting service; and
1
WHEREAS, the statutory deadline to act on Entergy' s
Distribution Cost Recovery Factor rate increase request is
November 17, 2014 .
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR, TEXAS:
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
the Entergy Distribution Cost Recovery Factor rate increase .
Section 3 . That Entergy' s Distribution Cost Recovery
Factor rate increase application on file with the City is denied
in total .
Section 4 . That 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 5 . That this ordinance shall become effective
from and after its passage.
READ, ADOPTED AND APPROVED on this day of October
A. D. , 2014 , at a Meeting of the City Council of the City of Port
Arthur, Texas, by the following vote : AYES :
Mayor:
Councilmembers : ,
NOES:
Deloris "Bobbie" Prince, Mayor
ATTEST:
Sherri Bellard, City Secretary
2
APPROVED AS TO FORM:
1 iC cy
Valecia R Tizeno, City Attorney
APPROVED FOR ADMINISTRATION:
John A. Comeaux, P.E. ,
Interim City Manager
3