Laserfiche WebLink
pt, CITY OF HOUSTON Annise D. Parker <br /> . Administration & Regulatory Affairs Mayor <br /> Department Tina Pamz Director <br /> Administration&Regulatory <br /> Affairs Department <br /> P.O.Box 1561 <br /> April 16,2015 Houston;Texas 77251.1562 <br /> T.832:393:8501 <br /> F.832 393;8527 <br /> To: Cities Located in CenterPoint Energy Houston Electric, LLC Service www_houstonix.noy/ara <br /> Territory <br /> Re: Invitation to join the Houston Coalition of Cities in the CenterPoint Energy <br /> Houston Electric, LLC Distribution Cost Recovery Factor Proceeding <br /> On April 6, 2015 CenterPoint Energy Houston Electric, LLC (CenterPoint or Company) filed an application for <br /> approval of a Distribution Cost Recovery Factor (DCRF) in each municipality exercising original jurisdiction <br /> over CenterPoint's electric rates. CenterPoint's DCRF request represents a $16.7 million increase for service to <br /> retail electric customers within CenterPoint's service area. Approximately 53% of the request is allocated to the <br /> residential class. Since the issues to be addressed in this rate filing will impact municipalities similarly,the City of <br /> Houston is inviting you to participate in the Houston Coalition of Cities, a Coalition representing municipalities' <br /> interests in the CenterPoint DCRF proceeding.No financial contributions by member cities will be required. <br /> Pursuant to Section 36.210 of the Public Utility Regulatory Act and Public Utility Commission (PUC) <br /> Substantive Rule 25.243,the DCRF permits CenterPoint to adjust its rates for changes in certain distribution costs <br /> outside of a full base rate proceeding. The municipal timeframe to review the filing and make a final decision <br /> approving, modifying, or rejecting the application is 60 days. Therefore, the deadline for cities to adopt a rate <br /> ordinance is June 5, 2015, or the request will be deemed denied and consolidated with the proceeding at the <br /> PUC.The PUC has until September 1,2015(unless the deadline is extended)to issue a Final Order. <br /> The City of Houston organized a team of experts to review the rate request and to assist in the preparation of a <br /> final recommendation. The City of Houston retained Alton Hail, Adams and Reese to represent the collective <br /> interests of the coalition in this matter. The City also engaged Scott Norwood, Norwood Consulting, an expert in <br /> utility rates to review the rate filing and prepare a final recommendation. Unlike a full base rate proceeding, the <br /> cities' ability to perform a comprehensive review of the DCRF request is limited due to substantive and <br /> procedural limitations including the truncated timeframe for review and limitations on the scope of the cities' <br /> review and discovery. <br /> A conference call is scheduled for April 22,2015 at 3:OOPM.The call-in information for the meeting is as follows: <br /> 1)dial 1.866.574.2770;2)enter conference code 5941750.At that time we will provide an overview of the DCRF <br /> with highlights of the major issues, and establish points of contact for further communication. Please confirm <br /> your participation in the call by contacting Alisa Talley at 832.393.8531 or Alisa.TalIey@ltoustontx.gov. <br /> Attached is a draft resolution for submission to your municipality's governing body. Action by your governing <br /> body is necessary for participation in the Coalition and intervention at the PUC. <br /> Respectfully, <br /> Tina Paez, Director <br /> Administration and Regulatory Affairs Department <br /> City of Houston <br /> Council Members: Brenda Stardig Jerry Davis Ellen R.Cohen Dwight A.Boykin Dave Martin Richard Nguyen Oliver Pennington Edward Gonzalez <br /> Robert Gallegos Mike Laster Larry V.Green Stephen C.Costello David W.Robinson Michael Kubosh C.O."Brad'Bradford Jack Christie <br /> Controller. Ronald C.Green <br />