RESO 2005-07 - CenterPoint rates, coalition of cities to reviewRESOLUTION NO. 2005 -07
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF HUNTSVILLE, TEXAS, AUTHORIZING THE REVIEW
INTO THE REASONABLENESS AND PRUDENCE OF THE
PROPOSED RATES OF CENTERPOINT ENERGY'S
BEAUMONT /EAST TEXAS DIVISION ( "CENTERPOINT
GAS "); SUSPENDING THE EFFECTIVE DATE FOR THE
PROPOSED RATES OF CENTERPOINT GAS NINETY
DAYS; AUTHORIZING THE PARTICIPATION IN A
COALITION OF CITIES KNOWN AS ALLIANCE OF
CENTERPOINT MUNICIPALITIES (ACM) IN ORDER TO
HIRE ATTORNEYS AND EXPERTS WITH OTHER CITIES
SERVED BY CENTERPOINT GAS; AUTHORIZING
PARTICIPATION IN OTHER PROCEEDINGS RELATED
TO CENTERPOINT'S RATE REQUEST; REQUIRING
REIMBURSEMENT OF MUNICIPAL RATE CASE
EXPENSES; DIRECTING THE CITY SECRETARY TO
SEND A COPY OF THE RESOLUTION TO
CENTERPOINT; THAT DETERMINING THAT THE
MEETING AT WHICH THIS RESOLUTION WAS PASSED
COMPLIED WITH THE TEXAS OPEN MEETINGS ACT;
AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, on or about June 30, 2005 CenterPoint Gas filed a Statement
of Intent with the City Secretary in order to change rates and increase revenues; and,
WHEREAS, according to CenterPoint Gas the new rates would go into
effect on August 4, 2005; and,
WHEREAS, in order to properly review the requested rates it will be
necessary for the City to the suspend the proposed effective date for ninety days; and,
WHEREAS, in order to properly review the proposed rates efficiently and
thoughtfully it is helpful to join with other East Texas and Southeast Texas cities to form
a coalition of cities to evaluate and make recommendations with regard to or related to
the Statement of Intent; and,
WHEREAS, the coalition of cities shall operate through a Steering
Committee composed of members appointed by the City Councils of the participating
cities; and,
WHEREAS, pursuant to Section 103.022 of the Texas Utilities Code
reasonable municipal expenses are reimbursable by gas utilities; NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HUNTSVILLE, TEXAS:
Section 1. That the findings set out in the preamble to this resolution are
hereby in all things approved adopted.
Section 2. That the proposed effective date by CenterPoint Gas is
suspended for an additional ninety days.
Section 3. That the City of Huntsville (hereinafter "City ") is authorized to
coordinate with other cities in a coalition of cities known as Alliance of CenterPoint
Municipalities (ACM) and authorizes the Steering Committee to hire and direct legal
counsel and consultants, to negotiate with CenterPoint Gas, to make recommendations
concerning the requested change in rates, and to direct any administrative efforts or
litigation associated with or related to CenterPoint Gas's Statement of Intent.
Section 4. That the City employs Jim Boyle and Dan Lawton to represent
the City with regard to the Statements of Intent filed at the City and at the Railroad
Commission of Texas and to employ such rate experts as are necessary as
recommended by the steering committee for the Alliance of CenterPoint Municipalities.
Section 5. That the City is authorized to intervene or participate in any
proceeding related to the Statement of Intent filed by CenterPoint Gas on June 30,
2005.
Section 6. That the City, in coordination with the Steering Committee
cities, shall review the invoices of its consultants for reasonableness before submitting
such invoices for reimbursement pursuant to Section 103.022 of the Gas Utility
Regulatory Act.
Section 7. That CenterPoint Gas shall promptly reimburse the City's rate
case expenses.
Section 8. That upon adoption the City Secretary is hereby directed to
send a copy of this resolution to: Mr. Charles Harder, Executive Director of Rates,
CenterPoint Energy Entex, P.O. Box 2628 Houston, Texas 77252 -2628.
Section 9. That the meeting at which this resolution was approved was
conducted in strict compliance with the Texas Open Meetings Act, Texas Government
Code Chapter 551.
Section 10. That this resolution shall be effective on and after its date of
passage.
PASSED AND APPROVED this 19th day of July, 2005.
AT ST:
I ��r
Danna Welter, City Secretary
AP ;v OVE
Thomas A. L' - p , City Attorney