RESO 2008-06 - Deny UNIGAS rate proposalRESOLUTION NO. 2008-06
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTSVILLE,
TEXAS, DENYING THE PROPOSED RATES OF UNIVERSAL NATUARAL
GAS, INC. ( "UNIGAS "), FOR NATURAL GAS; GRANTING UNIGAS'
REQUEST FOR A CHANGE IN CUSTOMER NOTICE REQUIREMENTS;
DIRECTING THE CITY SECRETARY TO SEND A COPY OF THE
RESOLUTION TO UNIGAS; DETERMINING THAT THE MEETING AT
WHICH THIS REOLUTIONWAS PASSED COMPLIED WITH THE TEXAS
OPEN MEETINGS ACT; AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, on or about May 2008, Universal Natural Gas, Inc. (hereafter "UniGas ")
filed a Statement of Intent with the City Secretary in order to change rates and increase
revenues;
WHEREAS, the governing body of a municipality- has exclusive original jurisdiction
over the rates, operations and services of a gas utility within the municipality according
to Texas Utilities Code section 103.001;
WHEREAS, UniGas has three commercial customers and no residential customers
located within the city limits of Huntsville;
WHEREAS, UniGas, on or about April 21, 2008, filed with the Texas Railroad
Commission a statement of intent to change rates for its environs (i.e., outside municipal
jurisdiction) customers in Montgomery, Walker, Madison and Houston Counties,
affecting approximately 4,900 residential and commercial customers;
WHEREAS, UniGas requests the City to deny its rate change request so that it may
appeal the decision to the Texas Railroad Commission as allowed by the Utilities Code
and consolidate the change request for City customers with the rate proceeding already
underway at the Commission; and
WHEREAS, notice to affected customers within the city limits of Huntsville of UniGas'
requested rate change can be adequately provided through bill inserts or other direct
mailing as allowed under Utilities Code section 104.103(b), and good cause exists to not
require notice to be published in a newspaper of general circulation in the county, NOW,
THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HUNTSVILLE, TEXAS:
Section 1. The findings set out in the preamble to this resolution are hereby in all
things approved and adopted.
Section 2. Customer notice requirements of UniGas' requested change in rates
may be provided by UniGas in a manner allowed by Utilities Code 104.103(b).
Section 3. The rate increase requested by UniGas in its Statement of Intent filed
with the City is denied.
Section 4. Any relief requested by UniGas of the City of Huntsville in its May
2008 filing which is not granted herein is denied.
Section 5. Upon adoption, the City Secretary is directed to send a copy of this
resolution to UniGas' authorized representative: Mr. Karl J. Nalepa, Managing Director,
RJ Covington Consulting, LLC, 11044 Research Blvd., Suite A -325, Austin, TX 78759,
fax 512- 331 -5743.
Section 6. 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 7. This resolution shall be effective on and after its date of passage.
PASSED AND APPROVED THIS 17th DAY OF JUNE 2008.
THE CITY OF HUNTSVILLE
EST:
1ii.
!tep ie Brim, City Secretary
APPROVED AS TO FORM:
AS 1�
Thomas A. LeepV, City ttorney