ORD 2012-32 - Centerpoint Energy COSA clause ORDINANCE NO. 2012-32
AN ORDINANCE OF THE CITY OF HUNTSVILLE,TEXAS SETTING THE JUST AND REASONABLE
RATES FOR THE COST OF SERVICE ADJUSTMENT CLAUSE ("COSA") TO BE CHARGED BY
CENTERPOINT ENERGY ("CENTERPOINT") FOR GAS SERVICE FOR CUSTOMERS IN THE CITY
OF HUNTSVILLE, TEXAS; REQUIRING REIMBURSEMENT OF MUNICIPAL RATE CASE
EXPENSES; FINDING THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT; AND
DECLARING AN EFFECTIVE DATE FOR THIS ORDINANCE.
WHEREAS, on or about May 1, 2012, CenterPoint filed a Statement of Intent with the City Secretary in Huntsville, Texas
requesting a rate increase of$0.62 per residential customer per month, $0.82 per small general service customer per month,
and$1.76 per large general service customer per month for the Beaumont/Huntsville COSA Service Area;
WHEREAS,CenterPoint requested an effective date for the new rate schedule to go into effect on August 1,2012;
WHEREAS, in order to exercise its exclusive original jurisdiction and properly review the requested rates, it is necessary for
the City to make a decision within 90 days of the May 1,2012 filling,or July 30,2012;
WHEREAS, the City retained the Lawton Law Firm, P.C. to review CenterPoint's rate request and make necessary rate
recommendations to the City; and
WHEREAS, on June 27, 2012, the Lawton Law Firm, P.C., filed a report with the City on this matter outlining the options
available and making recommendations to the City;and
WHEREAS,the Lawton Law Firm has recommended that the City approve the requested COSA annual rate increase as stated
in the June 27,2012 letter from the Lawton Law Firm.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS,
THAT:
SECTION 1. The statements set out in the preamble to this ordinance are adopted herein as if set forth herein.
SECTION 2. Based on the recommendations and review presented by the IegaVrate consultant Lawton Law
Firm, whose report is attached, CenterPoint's proposed rate increase, of$0.62 per residential customer per month, $0.82 per
small general service customer per month, and $1.76 per large general service customer per month for the
Beaumont/Huntsville COSA Service Area is adopted and the Company shall file tariffs with the City Secretary reflecting the
annual rate increase.
SECTION 3. The Company shall promptly reimburse the City's COSA review rate case expenses and may
collect such expenses through surcharge based on Mcf usage.
SECTION 4. The Company's Cost of Service Adjustment Clause is approved.
SECTION 5. The meeting at which this resolution was approved was in all things conducted in strict compliance
with the Texas Open Meetings Act,Texas Government Code,Chapter 551.
SECTION 6. This ordinance shall be effective immediately on passage.
PASSED AND APPROVED the 176 day of July 2012.
THE CITY OF HUNTSVILLE,TEXAS
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Mayor Mac Woodward
ATTEST: APPRO ED AS TO FORM:
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4111„k 99, ..9 ..ar Jr.
oodward,City Secretary �� onard Schneider,City Attorney
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A. Increase budget of Arts Center-Latin Festival$1O.0OO for Grant funding received on8-23-12.
Latin Festival $ 10`000
Grants $ (10,000)
B. Increase budget of Tourism- Employee Recognition$3,500 from donations received at the Visitor Center.
Employee Recognition $ 3.500
Donations $ (3'500)
C. Increase budget of Library Expand/Construct-Construction$13,996 for additional security purchase.
Library Expand/Construct $ 13.996
Unallocated $ (13.996)
D. Increase budget of General CIP-Baseball Field$6,000 from donations made for scoreboard.
CIP Program $ 0.000
Donations $ (6,000)
. ' .
E. Decrease budget of Street Arterial Improvement-Spur 59 Improvements$16,410 and increase IH45 at SH 75 Project.
Purchased Se $ 16.410
Street Arterial Improvement-Spur 59 $ (16.410)
F. Increase Salaries and Benefits for Gift Shop from Revenue.
Salaries and Benefits $ 1.605
Revenue $ (1.805)
G. Increase Salaries and Benefits for Solid Waste Disposal from Future Appropriations and Capital.
Salaries and Benefits $ 27.500
Capital $ (14,414)
Future Appropriations $ (13.886)
Increase Salaries and Benefits for Office of City K4anager City AquodoCenter and Building Services hnmFuture
�� . Judge,
H.
Appropriations and surplus in Human Resources and Risk Management.
Salaries and Benefits $ 112.050
Human Resources surplus $ (25.000)
Risk Management surplus $ (47.130)
Future Appropriations $ (39.920)
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I. Increase Medical Insurance Claims Disbursement and Admin Costs from Fund Balance.
Claims Disbursements-Medical $ 200,000
Admin Costs-Plan Admin $ 80,000
Fund Balance $(280,000)
J. Increase Streets Electric from Street Projects.
Electric $ 45,000
Street Infrastructure Project $ (45,000)
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