HomeMy WebLinkAboutPO 6515: MATTERS CONCERNING ENTERGY TEXAS P. O. No. 6515
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ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF PORT ARTHUR,
TEXAS, 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 2016
WHEREAS, Entergy Texas, Inc.'s ("ETI") implementation of customer choice
has ceased due to Senate Bill 1492 and ETI will continue to be regulated under traditional
cost-of-service regulation; 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 2016 and into
the future; and
WHEREAS, ETI is scheduled to litigate requests in various proceedings before
the Public Utility Commission of Texas, before municipalities, or before the Federal
Energy Regulatory Commission in 2016 related to ETI's continued integration with the
Midwest Independent System Operator ("MISO"), ETI's continuing efforts to exit the
Entergy System Agreement (which exit has now been approved by all retail regulatory
authorities and the FERC) to be effective August 31, 2016, various fuel cost refunds or
surcharges and reconciliations, capacity cost surcharges and reconciliations; and for any
type of base rate proceedings (such as a new base rate increase request, transmission cost
recovery rider, a distribution cost recovery rider, energy efficiency cost recovery factor,
hurricane restoration cost or offset true-ups, or a purchased power capacity cost recovery
rider) or cost adjustments; and
WHEREAS, ETI is scheduled to file fuel factor proceedings at the Public Utility
Commission in February and August 2016, and file other fuel proceedings during 2016 to
reconcile fuel, to refund or surcharge fuel charges, and to change the fuel mechanism,
along with various surcharge requests impacting rates; and
WHEREAS, ETI is expected to file a proceeding for a rate change and fuel
change during 2016 to recover costs associated with new capacity purchases; and
WHEREAS, ETI is scheduled to file a proceeding to recover costs incurred in
association with its Energy Efficiency Plan as well as reconcile past costs; and
WHEREAS, Cities have the statutory right to set fair and reasonable rates for
both the Company and customers within Cities; and
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WHEREAS, Cities have exclusive original jurisdiction over rates, operations,
and services of an electric utility in areas in the municipality pursuant to Tex. Util. 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 ORDAINED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR, TEXAS:
Section 1. That the City of Port Arthur shall participate 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, any interim or incremental surcharge
proceedings or surcharge adjustments, and for any base rate adjustment proceedings or
cost of service adjustments on file with the Public Utility Commission of Texas or with
municipalities in 2016 and seek appropriate regulatory scrutiny in any case on file at the
Federal Energy Regulatory Commission affecting the City and its residents.
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 2016 concerning ETI's rates charged to Texas
customers.
That all such actions shall be taken pursuant to the direction of the Cities'
Steering Committee. Cities' Steering Committee shall have authority to retain rate
consultants and lawyers. Cities' Steering Committee shall direct the actions of Cities'
representatives in the above proceedings. The Steering Committee is directed to obtain
reimbursement from ETI of all reasonable expenses associated with participation in said
proceedings.
Section 2. That this Ordinance shall be effective from and after the date of its
passage.
READ, ADOPTED AND APPROVED on this day of January A.D., 2016,
at a Meeting of the City Council of the City of Port Arthur, Texas, by the following vote:
AYES:
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Mayor:
Councilmembers: ,
NOES: .
Deloris "Bobbie" Prince, Mayor
ATTEST:
Sherri Bellard
City Secretary
APPROVED AS TO FORM:
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Valecia R. Tizeno/
City Attorney
APPROVED FOR ADMINISTRATION:
Brian McDougal
City Manager
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