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04-12-21 McLarrin sworn
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04-12-21 McLarrin sworn
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City Meetings
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City Council
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Agenda Packet
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4/12/2021
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(generally involving legislative matters or rulemaking proceedings before the Railroad <br />Commission of Texas) to fund those efforts. <br />Recommendation <br />Staff recommends that the City of La Porte join the coalition of cities known as the <br />Texas Coast Utilities Coalition of Cities in support of its review of CenterPoint's gas - <br />utility rates, services, and operations. <br />Further, although the City's ability to review and effectuate a change in CenterPoint's <br />requested increase sought via the "GRIP" statute is limited, the City should exercise <br />due diligence with regard to rate increases of monopoly utilities who operate within its <br />boundaries, including increases requested under the GRIP statute to ensure <br />compliance with the requirements of that law. This includes whether CenterPoint's <br />current rates produce a rate of return in excess of its authorized rate of return. <br />To exercise the City of La Porte's due diligence, it is necessary to suspend <br />CenterPoint's proposed effective date of May 3, 2021 for 45 days, so that the City can <br />evaluate whether the data and calculations in CenterPoint's rate application are <br />correctly done. <br />Thus, if the Council adopts the accompanying resolution, the resolution: <br />• Authorizes La Porte's participation in TCUC; <br />• Authorizes TCUC's Special Counsel, the law firm of Herrera Law & Associates, <br />PLLC (through Alfred R. Herrera), to represent La Porte as part of TCUC in <br />review of CenterPoint's "GRIP" application to increase rates; and <br />• Suspends CenterPoint's proposed effective date for 45 days. Assuming a <br />proposed effective date of May 3, 2021, CenterPoint's proposed effective date <br />is suspended until June 17, 2021. <br />Staff recommends that the City Council approve the suspension resolution regarding <br />CenterPoint's proposed increase in rates under the GRIP statute. <br />ACTION REQUIRED BY CITY COUNCIL <br />Approve or deny Resolution 2021-39 to suspend the effective date proposed by <br />CenterPoint Energy Resources Corp., Texas Coast Division, to increase rates <br />under the Gas Reliability Infrastructure Program for 45 days, and authorize the <br />City's participation in a coalition of cities known as the "Texas Coast Utilities <br />Coalition" ("TCUC") of cities. <br />Approved for the City Council meeting agenda <br />
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