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<br />this proceeding. Rather, the Company is asking the Commission to approve the policy and <br /> <br />template for Rider DCRF so that it may be implemented beginning June 1, 2011. <br /> <br />2. Rider SH - System Hardening ("Rider SH") <br /> <br />CenterPoint Houston seeks to recover through its base rates certain system hardening <br /> <br />operations and maintenance expenses currently not included in test year costs in a similar manner <br /> <br />as a just and measurable adjustment to base rates. If this approach is not accepted, these <br /> <br />operations and maintenance expenses can be recovered, as well as associated capital costs, <br /> <br />through Rider DCRF. If the Commission does not approve Rider DCRF, however, the Company <br /> <br />seeks adoption of new Rider SH, which will allow the Company to recover costs associated with <br /> <br />system hardening. If the Commission allows the operations and maintenance costs to be <br /> <br />included in base rates and Rider DCRF is adopted to recover capital costs, then the costs <br /> <br />intended to be recovered by Rider SH would be included in Rider DCRF and Rider SH would be <br /> <br />unnecessary. <br /> <br />3. Rider AMS - Advanced Metering System Surcharge ("Rider AMS") <br /> <br />As required by the order of the Commission in Docket No. 35639 and Substantive Rule <br /> <br />25.130, CenterPoint Houston is requesting the following adjustment to its existing surcharge <br /> <br />under Rider AMS, beginning with the billing cycle in February 2011: <br /> <br />Residential <br /> <br />$3.05 (for 48 billing cycles) <br /> <br />Secondary <= 10kV A <br /> <br />$3.14 (for 78 billing cycles) <br /> <br />Secondary> 10 k V A <br /> <br />$3.16 (for 78 billing cycles) <br /> <br />Primary <br /> <br />$3.16 (for 78 billing cycles) <br /> <br />4. Rider SCUD - State Colleges and Universities Discount ("Rider <br />SCUD") <br /> <br />The Application proposes to remove Rider SCUD consistent with the Commission's <br /> <br />decision in pending Docket No.3 8214. Based on the historical usage levels for the REPs with <br />