RESO 2000-02 - Entergy Service AreaRESOLUTION NO. 2000-2
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HUNTSVILLE, TEXAS, AUTHORIZING PARTICIPATION WITH
OTHER ENTERGY SERVICE AREA CITIES IN MATTERS FILED BY
ENTERGY OR EXPECTED TO BE FILED AT THE PUBLIC UTILITY
COMMISSION THROUGH APRIL 2000; AND DECLARING AN
EFFECTIVE DATE.
WHEREAS, Entergy Gulf States ( "EGS" or "Company ") has filed and will be filing
various cases contemplated by the revisions to Tex. Util. Code, Chapter 39 and others, known
generally as S.B. 7. Such filings and cases include but are not limited to EGS' Texas
Business Separation Plan; a case to separate the transmission, distribution, and generation
assets and set rates for those parts over which Cities and/or the Public Utility Commission
of Texas have jurisdiction; identification of and possible request for recovery of uneconomic
costs [i.e., stranded costs]; and other cases setting and/or affecting rates. The filing of such
cases will occur in 2000 beginning with the first of such mailers filed January 10, 2000 and
assigned Docket No. 21957 by the Public Utility Commission of Texas.
WHEREAS, such cases will set and/or affect rates to be effective at the conclusion
of the statutory rate freeze period. EGS may be proposing to transfer certain generating and
other assets paid for by ratepayers to affiliates or newly created entities.
WHEREAS, Cities have a duty to set fair and reasonable rates for both the Company
and ratepayers within Cities.
WHEREAS, EGS will file a petition to revise the fixed fuel factors in February 2000,
and has indicated an intent to file another fuel surcharge case in March 2000.
WHEREAS, Cities have original jurisdiction over rates, operations, and services of
an electric utility in areas in the municipality pursuant to Tex. Util. Code §33.001.
WHEREAS, Cities have standing in each case before the Public Utility Commission
of Texas that relates to an electric utility providing service in the municipality pursuant to
Tex. Util. Code §33.025.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF HUNTSVILLE, TEXAS, that:
SECTION 1. The City of Huntsville shall participate with other Cities to intervene in the
restructuring, unbundling, rate setting, uneconomic cost recovery and fuel - related cases EGS has
filed and is expected to file at the Public Utility Commission through April 2000, seeking
appropriate regulatory scrutiny and the exercise of Cities' original jurisdiction.
All such actions shall be taken pursuant to the direction of the Cities' Steering Committee.
Diversified Utility Consultants and Barbara Day are retained as the rate consultants and attorney,
respectively. Such other rate consultants as may be required may be retained at the further direction
of the Cities' Steering Committee, which shall have authority to additional necessary personnel as
authorized by the Public Utility Regulatory Act [Title 2 of Tex. Util. Code] and to direct the actions
of Cities' representatives in the above proceedings. Cities' reasonable rate case expenses are required
to be reimbursed by the Company pursuant to the Public Utility Regulatory Act [Tex. Util. Code
§33.023], therefore, the Steering Committee is directed to obtain reimbursement from the Company
of all reasonable expenses for rate consultants, Diversified Utility Consultants, and Attorney,
Barbara Day.
SECTION 2: That this Resolution shall be effective from and after the date of its passage.
PASSED AND APPROVED THIS 25TH DAY OF JANUARY, 2000.
William B. Green, Mayor
ATTEST:
Danna Welter, City Secretary
APPROVED AS TO FORM:
Paul C. Isham, City Attorney