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HomeMy WebLinkAbout03-1155 06-10-2003RESOLUTION NO. 03 -1155 RESOLUTION OF THE CITY OF EULESS SUSPENDING THE EFFECTIVE DATE OF TXU GAS DISTRIBUTION'S REQUESTED RATE CHANGES TO PERMIT THE CITY TIME TO STUDY THE REQUEST AND TO ESTABLISH REASONABLE RATES; APPROVING COOPERATION WITH OTHER CITIES WITHIN THE TXU GAS DISTRIBUTION SYSTEM TO CREATE A STEERING COMMITTEE TO HIRE LEGAL AND CONSULTING SERVICES AND TO NEGOTIATE WITH THE COMPANY AND DIRECT ANY NECESSARY LITIGATION; REQUIRING REIMBURSEMENT OF CITIES' RATE CASE EXPENSES; AUTHORIZING INTERVENTION IN THE PROCEEDING AT THE RAILROAD COMMISSION; REQUIRING NOTICE OF THIS RESOLUTION TO THE COMPANY WHEREAS, on or about May 23, 2003, TXU Gas Distribution, a division of TXU Gas Company, filed with the City of Euless a Statement of Intent to change gas rates in all municipalities within the TXU Gas Distribution System; and WHEREAS, it is reasonable for the City of Euless to cooperate with other cities in a review of the Company's application and create a Steering Committee to coordinate the hiring and direction of legal counsel and consultants and to negotiate with the Company and direct any necessary litigation; and WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to suspend the effective date of proposed rate changes; and WHEREAS, the Gas Utility Regulatory Act provides that costs incurred by Cities in ratemaking activities are to be reimbursed by the regulated utility; and WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to intervene in rate proceedings filed at the Railroad Commission. THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EULESS, TEXAS: 1. THAT the effective date of the tariff changes submitted by TXU Gas Distribution on or about May 23, 2003, be suspended to permit adequate time to review the proposed changes and to establish reasonable rates. 2. THAT the City is authorized to cooperate with other Cities within the TXU Gas Distribution System to create a Steering Committee to hire and direct legal counsel and consultants, negotiate with the Company, make recommendations to the City regarding reasonable rates and to direct any necessary litigation associated with an appeal of a rate ordinance and the rate case filed at the Railroad Commission. 3. THAT the City's reasonable rate case expenses shall be reimbursed by TXU Gas Distribution. 4. THAT the City is authorized to intervene in TXU Gas Distribution's rate case filed at the Railroad Commission filed on or about May 23, 2003. 5. THAT a copy of this suspension resolution be sent to the local representative of TXU Gas Distribution. ADOPTED AND PASSED at a regular meeting of the Euless City Council on the 10th day of June, 2003, by a vote of 7 ayes, 0 nays, and 0 abstentions. APPROVED: t`. Mary Lib S91eh, Mayor ATTEST: I no// ✓/ usan Cr , CMC Q-L{ /__, City Secretary Resolution No. 03 -1155, Page 2 of 2