HomeMy WebLinkAboutR-2010-17 authorize City to join Houston Coalition of Cities representing municipalities’ interest in utility rate proceedings
10
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: July 26, 20 I 0
Appropriation
Requested By: Ron Bottoms
Source of Funds:
Department: Adm i nstration
Acc't Number:
Report: ~Resolution: X Ordinance:
Amount Budgeted:
Exhibits:
Coalition of Cities Resolution
Amount Requested:
Exhibits:
Bud2.eted Item:
YES
NO
Exhibits:
SUMMARY & RECOMMENDATION
Attached is a resolution to join the Houston Coalition of Cities for intervening into the CenterPoint Energy rate case.
On June 30, 2010, CenterPoint Houston tiled a Statement of Intent to change electric rates within its service territory
a proposed $94.5 million increase in its revenue requirement. Therefore, the City of Houston is inviting our
pal1icipation in the Houston Coalition of Cities, a Coalition representing municipalities' interests in the rate case
proceedings. No financial contributions by member cities will be required. The City of Houston will pay all costs
associated with the proceedings.
According to representatives of the City of Houston, in a recent rate case the cost to the consumer was around 26 cents
per month, for three years, for the rate case expenses but the rate case proceedings saved the consumers $6 per month
of ongoing expenses. Their point was that intervening in these proceedings do provide a considerable benefit to the
consumers.
Action Required by Council:
C )nsider approval of join ing the Houston Coal ition of Cities by passing the attached resolution.
<J hy )/1)
,
Date
RESOLUTION NO. 2010- 11
RESOLUTION OF THE CITY OF LA PORTE, TEXAS, PERTAINING TO
CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC APPLICATION TO CHANGE
ELECTRIC RATES PENDING AS DOCKET NO. 38339 AND RELATED
PROCEEDINGS.
WHEREAS, on or about June 30, 2010, CenterPoint Energy Houston Electric,
LLC ("CenterPoint Houston") filed a Statement of Intent and Application for Authority to
Change Rates ("New Rates") with the Public Utility Commission of Texas ("Commission
") under Docket No. 38339; and
WHEREAS, any rate changes ordered by the Commission in the proceedings
could affect CenterPoint Houston's rates for wholesale electric transmission customers
and for transmission and distribution services to competitive retailers such as retail
electric providers, municipalities and electric cooperatives serving end-use retail electric
customers in CenterPoint Houston's certificated service territory and may affect the
retail electric customers of those competitive retailers depending on whether and how
the competitive retailers choose to pass along to their retail electric customers those
changed rates; and
WHEREAS, the Commission referred the proceedings to the State Office of
Administrative Hearings (SOAH) on June 30, 2010 requesting the assignment of an
Administrative Law Judge to conduct a hearing and issue a proposal for decision to the
Commission if necessary; and
WHEREAS, the deadline for the Commission to rule on the proceedings is
January 3,2011, 185 days after June 30,2010, the date on which CenterPoint Houston
submitted its application for New Rates to the Commission; and
WHEREAS, certain municipalities have indicated their desire to join with the City
of Houston, Texas in a coalition of cities interested in the conduct of the proceedings
and to authorize the coalition to intervene on behalf of the participating municipalities
therein; and
WHEREAS, the coalition of cities shall be led ty the City of Houston, which shall
direct the selection of legal counsel and consultants on behalf of the coalition.
WHEREAS, interested parties must seek party status to comply with the
intervention deadline to be set in the proceedings; and
WHEREAS, the City Council finds that the City's participation in the coalition of
cities will achieve coordinated efforts among similarly situated affected municipalities in
order to maximize the efficient use of resources and expertise in reviewing, analyzing,
and investigating CenterPoint Houston's rate filing; and
WHEREAS, City Council has determined that it is in the best interest of the City
that the City participates with the coalition of cities in the proceedings; NOW
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LA
PORTE, TEXAS:
Section 1: That the statements and findings recited in the preamble to this
Resolution are found to be true and correct and are hereby adopted as part of this
Resolution.
Section 2. That the City is hereby authorized to join with other municipalities as
part of the coalition of cities and to participate to the fullest extent permitted by law in
proceedings affecting the rates, operations and services of CenterPoint Houston for
customers within the City of La Porte, Texas and in particular regarding the New Rates.
Section 3. That the City is hereby authorized to intervene in the proceedings as
a member of the coalition.
Section 4. That such outside counsel that the City of Houston may select, shall
represent the City in all of the proceedings and are hereby authorized to take all legal
and other actions necessary to forward the interests of the City in the proceedings and
all matters related to such proceedings, including without limitation any hearings,
conferences, negotiations and related Proceedings..
Section 5. That this Resolution shall take effect immediately upon its passage
and approval in the manner required by the City Charter and ordinances.
PASSED AND ADOPTED this ~ day of CluJ tj , 2010
APPROVED this >> day of \J~ ,2010
~~J
Daryl onar
Mayor ro- T em of the City of La Porte , Texas
L)h8T
V!ifi~ ~wdLl
Martha Gillett, City Secretary
A?r~r ~
Clark T. Askins, Asst. City Attorney
2
CONFLICT OF INTEREST AFFIDAVIT
THE STATE OF TEXAS i
COUNTY OF HARRIS ~
I. ~ V L-~ GAtS €L-JU>.u -s (\- as a member of the City of La Porte ~ V IV LIL.-
, make tlrls affidavit and hereby on oath state the following: I have a
substantial interest in a business entity or real property as defined in Chapter 171, Texas Local
Government Code, and a vote is to be 1ak.en or a decision is to be made that will have a special
economic effect on this business eotity or real property.
The agenda item c)( t'JvW\b-e.-IO ~(L J~ 'Lv, ?D~, affecting this business entity or real
property is: r-. -e "IL !Lt!.."5,)t,v-!t J,/ .A V+AMP../#-J ~..e. ~ \-t. ~ . Ol() ~ n-e
~\Js\o;c( CoN.,-ho,uo F ('t-\'"~'; oN fZA-+~ (Jfl-OC.-Q-<?{/I/lf] ") S. "LOIO-/7
COMPLETE (A) OR (B): (A) The business entity is c.e.~~ ~O(N~ EiN.f'1ItJtj (name); or
(B) The real property is located at:
I have a substantial interest for the following reasons: (check all which are applicable)
_ Ownership of 10% or more of the voting stock or shares Dfthe business entity.
_ Ownership of 10% or more or $15,(0) or more of the fair market value Dithe
~ entity
V Ftm1s ~ed from the business entity exceed 10% of gross income for the
previoos year.
_ Real property is involved ml I have an equitable or legal ownership of the
property with a fair marl.:et value of at least $2,500.
_ A relative of mine has a substmtial interest in !be business entity or real
property that would be a:ffected by a decision of the public body of which I
am a member.
Upon filing of this affidavit with the City Secretary, I affirm that I will abstain from voting on any
decision involving this business entity or real property and from any further participation on this
matter by discussion or debate.
Singed this 2<0 day of
~UL~ ,20~.
ChJ ~}
Signature of Official
THE STATE OF TEXAS ~
COUNTY OF HARRIS ~
~me 11 ~; /Ie-H on this day personally appeared
, of"'iJjL..lcnown to me to be the person whose name is subscribed to the
foregoing' and aclaxlwledged to me that he/she executed the same for the purposes and
consideration therein expressed.
Given under my hand and seal of office ~~ day of , 2O~.
(SEAL)
MARTHA GILLETT
My Commission Expires
August 31. -2013
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