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t -,~.,~ <br />.. <br />CITY OF HOUSTON <br />~~ <br />INTER OFFICE CORRESPONDENCE <br />Mr. David F. Webb, Director <br />Department of Public Service <br />FROM Jer Mardis <br />DATE January 6, 1977 <br />SueJECT Major Changes, Section 43 <br />1) A major change is defined as an increase in rates which would increase <br />the a roc egate revenues of the applicant more-than the greater of <br />$100,_000,_OOO or ~ 1/2%, not including charges in rates allowed to go <br />;n~c~ effect by the regulatory authority (the City Council) or made by the <br />utili~~ by order of the regulatory authority after hearings held upon <br />r~oti ce ~~~o the public. <br />2) ~f the change is not major, no affected person complains and the City <br />Council does not call for a hearing on its own motion, then no hearing <br />Need be held and no other action taken for the rates to go into effect <br />after the 35-day notice is up. (The utility must give the City Council <br />notice of a change in rates at least 35 days before the rates are to go <br />into effect.) <br />• 3) If the change is not major, the City Council may allow the rates to go into <br />effect before the end of the 35-day notice period (for good cause shown). <br />It may prescribe conditions under which the change is allowed; the change <br />'~ ^~~~:j~ct to suspension under subsection d. <br />4) if tIe change is not major but an affected person complains or the City <br />Council calls for a hearing on its own motion, then a hearing must be held <br />'.after reasonable notice before the rates can go into effect. This must be <br />done within 30 days of the effective date of the change. <br />5) If the change is major, a hearing must be held. If no affected person <br />complains before the expiration of 45-days after the notice is filed, then <br />the hearing can be an informal one. From the information submitted from <br />Entex, it is impossible to determine if the change is major or minor, <br />and the safer and more certainly lawful course under the P.U.A. Act would <br />seem to be to treat Entex's application as a major change and to hold a <br />~- hearing. <br />• <br /> <br />