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Home My WebLink AboutPR 11711: PUC ACCESS LINE RATESFINANCE DEPARTMENT DATE: TO: FROM: RE: 3/26/2002 / STEVE FITZGIBBONs, C1TY MANAGi~_xI~ fl ~ REBECCA UNDERH]ZL, DIRECTOR qF ~t~KNCEk~ P.R. 11711- UPDATE FORM FOR THE PUBLIC UTILITIES CO , SSIOm'rO., r S' ,, ,N CIP 'rELECO , ,,XUN C ONS ACCESS LINE RATES Pursuant to Chapter 283 of the Local Government Code, the Texas PUC can adjust the City's access line rates by ~h of the CPI for 2001. The PUC has determined that rate to be 1.15%. The rates can increase from $.98 to $1.00 for residential lines, $2.25 to $2.28 for non residential lines,' and $3.41 to $3.45 for point to point lines. The City must respond to the PUC by April 15, or the rates will remain the same as current. On November 30, 1999 the City authorized the Public Utility Commission per Resolution 99-268, to allocate the rates between residential, non-residential and point to point private lines. The City expected to receive revenues of at least $499,341 per year. On March 10, 2000, the City accepted the Public Utility Commission allocated rates at $.97 for residential, $2.24 for non-residential and $3.41 for point to point customers. On June 1, 2001, the Public Utility Commission raised the rates to $.98 for residential, $2.25 for non-residential and $3.41 for point to point customers. The City received $497,683 in 2001 for franchise fees. RU P. R. NO. 11711 JJA 3/26/02 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY'S DIRECTOR OF FINANCE TO EXECUTE AN UPDATE FORM FOR THE PUBLIC UTILITY COMMISSION, AS IT PERTAINS TO THE AMOUNT OF REVENUES THE CITY WILL RECEIVE AND AS IT PERTAINS TO THEIR ALLOCATION OF RATES FOR RESIDENTIAL, NON-RESIDENTIAL AND POINT TO POINT CUSTOMERS. WHEREAS, the City Council of the City of Port Arthur finds it in the best interests of the citizens of the City of Port Arthur for the city to authorize the Director of Finance to execute an Update Form for the Public Utility Commission regarding the amount of revenues the city will receive from the telecommunication rates, and regarding the allocation of rates for residential, non-residential and point to point customers. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section 1. That the facts and opinions in the preamble are tree and correct. Section 2. That the City Council hereby authorizes the Director of Finance to execute an Update Foma for the Public Utility Commission, a copy of which is attached as Exhibit "A". Section 3. That a copy of the caption of this Resolution be spread upon the Minutes of the City Council. READ, ADOPTED, AND APPROVED, this day of March, 2002, AD, at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES: Mayor: Councilmembers: NOES: ATTEST: Mayor Jan Stroder, Acting City Secretary APPROVED AS TO FORM: Mark Sokolow, City Attorney APPROVED FOR ADMINISTRATION: Steve Fitzgibbons, City Manager Rebecca Underhill, Finance Director Public Utility.Commission of Texas 1701 N. Congress Ave., PO Box 13326, Au,¥tin, TX 78 711-3326 Page 1/2 CONSUMER PRICE INDEX ADJUSTMENT TO MUNICIPAL TELECOMMUNICATIONS RIGHT-OF-WAY ACCESS LINE RATES PURPOSE This letter is to notify you that your city's maximum access line rates have changed. As a result, you are requested to notify the Public Utility Commission (puc) of your desired access line rates. BACKGROUND In Texas, most cities are compensated for the use of the public right of way by Certificated Telecommunications Carriers (CTPs) using access line rates. These rates are monthly fees paid by residential, business and point-to-point customers to CTPs, who in turn, compensate your city. Pursuant to Chapter 283 of the Local Government Code (or Hguse Bill 1777), the PUC is r~equ, ired to adji~st Ihe maximum access line rates for your city by an amount equal to one half the annual change in the 'Consumer Price Index (CPI) for the year 2001. Based on information obtained from the Federal Bureau of Labor Statistics, the PUC has determined that one half the annual change in CPI for 2001 is 1.15%. Tl~grefore, the maximum access line ~:ates for all Texas cities have be. qn.!ncr, eascd by 1.15%. Th~.rrihxi/hum rates will increase even if you,have dlected to receive lowcr-than-fi~aximl~m rates. ACTION BY CITY 1.Using the form on the back of this page, please indicate your desired rates no later than April 15th. (,Cities have the option to stay at the current rotes, or increase the rates up to their NEW maximum rates, or decrease the rates from thei[ current levels). 3.If you require City council authorization to change access line rates, please do so now. 4.Verify your contact information and highlight any .cl3angcs. 5. Make 9.cop,y. of this document. 6. Rcspond..(l~.a.x/)Mail) to.the P.U_C..,'i',tQ.][~,~.TEr~ TI-IAN APRI'L' 15th. WHAT HAPPENS NEXT? The PUC will notify CTPs of your desired rates. CTPs will start implementing these rates no later than July I, 2002. Your city will be compensated at your desired rates starting with the third calender quarter of year 2002. · .!, .'"'v'y'I~AT; .It~... .., .. , . ,I~ENS... ~F A..CIT~. .. DOES NOT RESPOND BY APRIL 15th? Ifa city does not respond by April 15th, the rates, and consequcr~tly the compensation for that city,. will remain at current levels~ FUTURE REVISIONS TO CPI The access line rates will be revised every March depending on whether the CPI has changed for the previous year· If the CPI changes for the year 2002, you will receive a similar letter next March. HOW TO RESPOND? Mail: Garnet Elkins Public Utility Commission of Texas 1701 North Congress Avenue P.O. Box 13326, Austin, Texas 78711 FAX: (512) 936 7328 INQUIRIES ONLY Email:HB 1777~puc.statc.t.x.us Phone No: 512- 936-7322 Contact Person: Garnet Elkins Record No: 1485 of 2252 City of Port Arthur t'ag¢ 2/2 Section I: Yoar present Maximum Access Litte Rates are as follows: Residential $0.98 1Vott Residential $2.25 Polttt-lo-Poittt $3.41 Sectiou 2: Your choseu rates, whic. h are at or below the above tlta. ritttttttt rates are as follows: ResitletttiaI $0.98 No/t Re$idettlittl $2.25 Potttt-to-pqhtt $3.41 Section 3: Yottr New CPlr-adjttsted J}lttxilttutlt Rates are as follows: Residential $1.00 IVon Residentittl $2.28 Poittt-to-Poittt $3.4S SELECT ONE OF TI-Jig FOLLOWING THREE OPTIONS OPTION 1 - Keep your rates at the current levels as indicated in Section 2 above. OPTION 2 - Increase your rates from tho current level. List your desired rates below. ['~ Note: If you are increasing your rates, the new rates should be LESS tban or EQUAL to the NEW CPI-adjusted maximum rates indicated in Section 3 above. Residential I 1' O0 ~VonResidential /~'~o~J~' Poiutto Point OPTION 3 - Decrease your rates from thc current level. List your dcsircd rates below. ['~ Residetttlal Nott Residentlal Poittt to Point CONTACT INFORMATION ON F/LE We have the following contact information on file for your city. Please update it. Rebecca Underhill Director of Finance City of Port Arthur 444 - 4th Street Port Arthur TX 77640 .... Phone No. 1 4099838151 Phone No. 2 Fax No: 4099838291 Email: ~,',~q~t ' CHECK LIST and AUTHORIZATION [ ] Make copy and Save; [ ] Chose ONE Option; [ ] Check Con'tact Info; [ ] Mail/Fax before April 15th. AUTHORIZATION Iaecess line ' , Title for the Gity,r~own/Village of rates Signature Date , authorize the PUC to implement , as indicated above. Record lVo: 1486 of 2232