HomeMy WebLinkAboutOrd 2024-3983 - CenterPoint - Suspending New RatesORDINANCE 2024-3983
AN ORDINANCE RELATING TO THE RETAIL ELECTRIC RATES OF
CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC WITHIN THE CITY OF LA
PORTE, TEXAS; SUSPENDING FOR NINETY DAYS THE EFFECTIVE DATE OF NEW
RATES; MAINTAINING CURRENT RATES IN EFFECT; CONTAINING FINDINGS
AND OTHER PROVISIONS RELATING TO THE FOREGOING SUBJECT;
PROVIDING FOR SEVERABILITY.
WHEREAS, on March 6, 2024, CenterPoint Energy Houston Electric, LLC ("CenterPoint")
submitted a Statement of Intent and Application for Authority to Change Rates ("Application")
within the City of La Porte, Texas ("City"), requesting a rate increase and tariff changes
(collectively "New Rates"); and
WHEREAS, the City, as a local regulatory authority, exercises original jurisdiction over the rates,
operations and services of CenterPoint for customers located within the City under Section 33.001
of the Public Utility Regulatory Act ("PURA") in the Texas Utilities Code; and
WHEREAS, the City is a member of the Coalition of Cities ("Coalition") in this CenterPoint
electric base rate proceeding, as approved by resolution 2024-09 by City Council on April 8, 2024.
WHEREAS, the New Rates would affect rates, operations or services for CenterPoint retail
customers within the City; and
WHEREAS, PURA Sections 36.102 and 36.108 provide that the New Rates take effect on the
35ih day after the local filing, unless the local regulatory authority suspends the effective date of
the New Rates within 35 days of filing; and
WHEREAS, PURA Section 36.108 further provides that a local regulatory authority may suspend
the operation of the Application for ninety days beyond the date the New Rates would otherwise
be effective (the "Suspension Period"); and
WHEREAS, PURA Section 36.109 provides that unless the local regulatory authority establishes
interim rates, the rates in effect at the time the Application is filed remain in effect during the
Suspension Period; and
WHEREAS, during the Suspension Period, the City through the Coalition's consultants and
outside counsel will review the Application, perform a coordinated analysis of the New Rates,
obtain additional information from CenterPoint, receive public comments, and prepare a rate
ordinance recommendation to City Council; and
WHEREAS, the expert utility rate consultants retained to review the Application on behalf of the
Coalition have not had sufficient time to determine whether CenterPoint has justified its request
for New Rates; and
WHEREAS, the Coalition's consultants and outside counsel recommend that the City suspend
CenterPoint's New Rates for ninety days beyond the proposed effective date, April 10, 2024, or
the date the New Rates would otherwise be effective, to allow for coordinated rate analysis,
consideration of the New Rates, and public comment; and
WHEREAS, the City has standing in each case before the Texas Public Utility Commission
("PUC') that relates to an electric utility providing service within the City pursuant to PURA
Section 33.025;
NOW, THERERFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
LA PORTE, TEXAS:
Section 1. That the facts contained in the preamble of this ordinance are determined to be true and
correct and are hereby adopted as part of this ordinance.
Section 2. To allow for coordinated rate analysis, consideration of other issues, and public
comment, the effective date of the New Rates filed with the City by CenterPoint on March 6, 2024,
is hereby suspended for ninety days beyond April 10, 2024, or the date the Rate Increase would
otherwise be effective,
Section 3. The rates in effect as of March 6, 2024, the Application filing date, shall remain in
effect until the earlier of the expiration of the Suspension Period or until changed by the adoption
of a replacement rate ordinance by this Council.
Section 4. The City may intervene and participate in all proceedings related to or affecting
CenterPoint's rates within the City at the PUC until the final resolution of the New Rates.
Section 5. The City Council officially finds, determines, recites and declares that a sufficient
written notice of the date, hour, place and subject of this meeting of the City Council was posted
at a place convenient to the public at the City Hall of the City of La Porte, Texas for the time
required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551,
Texas Government Code; and that this meeting has been open to the public as required by law at
all times during which this ordinance and the subject matter thereof has been discussed, considered
and formally acted upon. The City Council further ratifies, approves and confirms such written
notice and the contents and posting thereof.
PASSED and APPROVED this, the 8" day of April, 2024
CITOOF TEXAS
rLo APPROVED AS TO FORM:
Clark T. Askins, City Attorney