ORD 1996-07 - GSU - Entergy Rate Review 04-09-19964
Y ORDINANCE NO. 96-07
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
HUNTSVILLE, TEXAS, INITIATING A PROCEEDING UNDER SECTION
2.211 OF THE PUBLIC UTILITY REGULATORY ACT; DIRECTING GULF
STATES UTILITIES COMPANY TO FILE CERTAIN INFORMATION
WITH THE CITY OF HUNTSVILLE, TEXAS, SETTING A PROCEDURAL
SCHEDULE FOR THE GATHERING AND REVIEW OF NECESSARY
INFORMATION IN CONNECTION THEREWITH; SETTING DATES FOR
THE FILING OF THE CITY'S ANALYSIS OF THE COMPANY'S FILING
AND THE COMPANY'S REBUTTAL TO SUCH ANALYSIS; AND SETTING
A PUBLIC HEARING FOR THE PURPOSES OF DETERMINING IF THE
EXISTING RATES OF GULF STATES UTILITIES COMPANY ARE
UNREASONABLE OR IN ANY WAY IN VIOLATION OF ANY PROVISION
OF LAW AND THE DETERMINATION BY THE CITY OF HUNTSVILLE,
TEXAS, OF JUST AND REASONABLE RATES TO BE CHARGED BY
GULF STATES UTILITIES COMPANY.
WHEREAS The City of Huntsville, Texas, is a regulatory authority under the Public Utility
Regulatory Act and has original jurisdiction over the rates of Gulf States Utilities
Company to determine if such rates are fair, just and reasonable; and
WHEREAS Preliminary information furnished by Gulf States Utilities Company supports the
filing of a complaint pursuant to Section 2.211 of the Public Utility Regulatory Act
and the initiation of a procedure pursuant thereto for the further investigation and
review of the rates of Gulf States Utilities Company to determine if such rates are
fair, just and reasonable; and
WHEREAS The stipulation and agreement in Docket 11292, before the Public Utility
Commission of Texas, application of Entergy Corporation and Gulf States Utilities
for sale, transfer or merger, provides that if the base rates of the company are reduced
then such rate reduction shall be effective from the date of initiation of this
procedure; and
WHEREAS Such stipulation and agreement requires the filing of a rate case by the company in
November 1996, utilizing a test year ending June 30, 1996; and
WHEREAS The Cities' Steering Committee has attempted to avoid added costs and unnecessary
rate filings by offering to recommend that the cities forego this proceeding in
exchange for the company's agreement to make any rate reduction from such
November 1996 filing retroactive to March 1, 1995, but the company has declined
to accept such efforts of the Cities' Steering Committee to avoid unnecessary
expenses and filings; and
WHEREAS A procedural schedule should be established for filing of certain information by the
Company, procedures to be followed to obtain and review information from the
Company, the filing of an analysis of such information by the City, the filing of
rebuttal information from the Company, and a public hearing at which time the City
shall make a determination if the existing rates of Gulf States Utilities Company are
unreasonable or are in any way in violation of any provision of law and if such rates
should be revised and just and reasonable rates determined for Gulf States Utilities
Company.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
HUNTSVILLE, that:
SECTION 1: Based on proper review of preliminary information furnished by Gulf States Utilities
supporting a complaint pursuant to Section 2.211 of the Public Utilities Regulatory
Act, a proceeding pursuant thereto is hereby initiated to review the present rates and
determine the just and reasonable rates of Gulf States Utilities Company.
SECTION 2: On or before August 1, 1996, Gulf States Utilities Company shall file, with the City
of Huntsville, Texas, Schedules A, B, C, D, E, F, G, H, 1, K, 0 and S of the Rate
Filing Package required by the Public Utility Commission of Texas, along with all
associated work papers for a test year ending June 30, 1996 (the City Council may
grant an extension of the time for filing such rate filing package on agreement of the
parties). Testimony need not be prepared, but a narrative description shall be
provided sufficient to describe such information and costs shall be allocated to
customer classes.
SECTION 3: A public hearing shall be conducted by the City Council on the 16th day of May,
1996, to consider the setting of interim rates.
SECTION 4: City's representatives shall have the right to obtain additional information from the
Company through the filing of requests for information, which shall be responded to
within ten (10) days from the receipt of such request for information.
SECTION 5: The City, or its designated representatives, shall file an analysis of the Company's
filing and information gathered on or before 90 days after the company files its rate
filing package required by Section 2 above.
SECTION 6: The company shall file any rebuttal to the analysis of the City, or its designated
representatives, on or before 30 days after the City, or its designated representatives,
files the analysis required by Section 5 above.
SECTION 7: A public hearing shall be conducted by the City Council of the City of Huntsville,
Texas, in January 1997, at the City Council Chambers of the City of Conroe, City
Hall, Conroe, Texas, or such other location as may be designated by the City
Council. At such public hearing, a determination of the reasonableness of the
existing rates of Gulf States Utilities shall be made by the City Council of the City
of Huntsville and, if necessary, just and reasonable rates shall be determined to be
observed and enforced from and after the date of the initiation of this proceeding for
all services of Gulf States Utilities Company within the City of Huntsville, Texas.
Such public hearing may be conducted in conjunction with public hearings conducted
by other municipalities served by Gulf States Utilities Company.
SECTION 8: The City Council may, from time to time, amend this procedural schedule and enter
additional orders as may be necessary in the public interest and to enforce the
PASSED by
April, 1996.
provisions hereof.
q -o
vote of the City Council of the City of Huntsville, this the 9th day of
THE CITY OF HUNTSVILLE
William B. Green, Mayor
ATTES
Danna Welter, City Secretary
AP VED:
P :
Scott Boun s, ity Attorney