RESO 2005-10 - Suspend CenterPoint Energy/Entex rate request; set public hearingRESOLUTION NO. 2005 -10
PROCEDURAL RESOLUTION OF THE CITY OF
HUNTSVILLE, TEXAS SUSPENDING THE
EFFECTIVE DATE INDEFINITELY FOR
CENTERPOINT ENERGY ENTEX'S REQUEST TO
INCREASE RATES WITHIN THE CITY OF
HUNTSVILLE UNTIL THE PUBLICATION OF
PUBLIC NOTICE IN A MANNER CONSISTENT
WITH THE LAW AND THE CITY'S INTERIM
ORDER; REQUIRING PROMPT RESPONSES TO
DISCOVERY REQUESTS; REQUIRING THE
TRACKING OF COSTS RELATED TO THE
PETITION FOR REVIEW OF THE INTERIM
ORDER; NOTICE OF PUBLIC HEARING AND
HEARING IN PROGRESS; DETERMINING THAT
THE MEETING AT WHICH THIS RESOLUTION
WAS PASSED WAS IN ACCORDANCE WITH THE
REQUIREMENTS OF THE TEXAS OPEN
MEETINGS ACT AND DECLARING AN
EFFECTIVE DATE
WHEREAS, on June 30, 2005 CenterPoint Energy Entex ( "ENTEX ") filed a Statement of
Intent with the City of Huntsville, Texas ( "City "); and
WHEREAS, ENTEX has failed to cause notice to be published in compliance with Section
104.103(a)(1) of the Utilities Code; and
WHEREAS, the notice published by ENTEX fails to provide any information about the
rate increase being requested by ENTEX; and
WHEREAS, the City adopted an interim order requiring ENTEX to notify the City when it
intends to publish notice in a manner specified by the City that complies with Section
104.103(a)(1); and
WHEREAS, the City's interim order required ENTEX to notify the City when it intended
to update its test year data; and
WHEREAS, in total noncompliance with the City's interim order ENTEX appealed that
order in an effort to interfere with the City's exclusive original jurisdiction over ENTEX's rate
increase request; and
WHEREAS, the appeal of the interim order was frivolous and without merit; and
WHEREAS, ENTEX has failed to promptly respond to discovery requests of the Alliance
of CenterPoint Municipalities ( "ACM "), of which the City is a member, with some requests being
more than forty -five (45) days overdue; and
WHEREAS, ENTEX refiled its Rate Filing Package with the Railroad Commission of
Texas on September 21, 2005 and with Special Counsel for the City with an updated or current
test year; and
WHEREAS, ENTEX has notified the City that it will not answer any discovery abut its
current or updated test year data.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF HUNTSVILLE, TEXAS THAT:
SECTION 1. PROCEDURAL ORDER
This resolution is a procedural order and should not in any way be interpreted as a final
decision on CenterPoint Energy Entex's Statement of Intent, as originally filed June 30, 2005 or as
refiled on September 21, 2005.
SECTION 2. INCORPORATION OF PREAMBLE
The facts and findings set forth in the preamble are adopted as though restated herein.
SECTION 3. SUSPENSION OF EFFECTIVE DATE
The effective date for CenterPoint Energy Entex's Statement of Intent filed with the City
on June 30, 2005 and as refiled on September 21, 2005, is hereby suspended indefinitely due to
the failure to publish notice in conformity with Section 104.103(a)(1). The effective date will be
recalculated once notice is complete.
SECTION 4. PUBLIC NOTICE
CenterPoint Energy Entex shall cause public notice to be published once a week for four
consecutive weeks in a newspaper of general circulation within Walker County in the manner
specified by Ordinance No. 2005 -15. The City Council finds that such notice satisfies the
requirements of Section 104.103(a)(1) of the Utilities Code. CenterPoint Energy Entex shall
notify the City Manager, within ten days of the adoption of this resolution, of the date when
CenterPoint Energy Entex expects to complete public notice along with a copy of the text
submitted to the newspaper for publication.
SECTION 5. SUBMISSION OF REPORT
Entex shall submit a report to the City Manager detailing all expenses, with invoices,
incurred in connection with the appeal of the interim orders adopted by the Alliance of CenterPoint
Municipalities ( "ACM ") including any contracts or agreements for services of outside consultants
or attorneys.
SECTION 6. PUBLIC HEARING
A public hearing on ENTEX's request to increase rates within the City of Huntsville is
scheduled for 6:00 p.m. on October 25, 2005 at the Huntsville City Hall, Huntsville, Texas. The
hearing will begin with an opening statement from ENTEX for up to 15 minutes and up to a 15
minute opening statement for the City. After opening statements, the hearing will be continued as
a hearing in progress until such time as ENTEX has fully and completely answered discovery
about its updated or current test year and there has been sufficient time to analyze ENTEX's
responses to such discovery. Further, that the hearing in progress will continue until notice is
published which is consistent with Section 104.103 of the Utilities Code and with the Ordinance
No. 2005-15.
SECTION 7. PROMPT RESPONSE TO DISCOVERY
Responses to Requests for Information shall be provided within 14 calendar days of receipt.
In the event of extraordinary circumstances for particular requests the deadline may be extended
up to 7 additional calendar days. . ENTEX is hereby ordered to respond to any and all discovery,
not otherwise privileged or subject to an objection under the Texas Rules of Civil Procedure.
ENTEX shall respond to discovery concerning its September 21, 2005 filing with the City's
Special Counsel.
SECTION 8. CUMULATIVE REQUIREMENTS AND EFFECTIVE DATE
This Ordinance is cumulative of all other requirements for notice under state law and shall
become effective upon passage and publication as required by law.
SECTION 9. PASSED AT OPEN MEETING
That the meeting at which this resolution was passed was conducted in strict compliance
with the Texas Open Meetings Act (Texas Government Code Chapter 551).
SECTION 10. NOTICE TO CENTERPOINT
A copy of this resolution shall be faxed to Mr. Chuck Harder, Executive Director of Rates
and Regulatory, Center Point Energy Entex as (713) 207-0046 within twenty-four hours of the
adoption of this resolution along with a copy by regular mail to Mr. Harder at 1111 Louisiana,
Houston, Texas 77002.
PASSED AND APPROVED this the 25' day of October 2005.
ATTEST:
Danna Welter, City Secretary
APPROVED AS TO FORM:
Thomas A. Leep