CC Resolution No. 2420RESOLUTION NO. 2420
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS, SUSPENDING THE EFFECTIVE DATE OF THE APPLICATION OF
CENTERPOINT ENERGY RESOURCES CORP., TEXAS COAST DIVISION,
TO INCREASE RATES UNDER THE GAS RELIABILITY
INFRASTRUCTURE PROGRAM FOR FORTY -FIVE DAYS; AUTHORIZING
PARTICIPATION IN A COALITION OF SIMILARLY SITUATED CITIES
KNOWN AS THE "TEXAS COAST UTILITIES COALITION"; MAKING
SUCH OTHER FINDINGS AND PROVISIONS RELATED TO THE
SUBJECT; AND PROVIDING FOR THE EFFECTIVE DATE.
WHEREAS, on or about March 31, 2016, CenterPoint Energy Resources Corp., Texas
Coast Division ( "CenterPoint ") filed for an increase in gas utility rates under the Gas Reliability
Infrastructure Program ( "GRIP "), resulting in a requested increase in the monthly customer
charge for a residential customer from $15.00 to $16.17, an increase of approximately 8% in the
monthly fixed customer charge; and
WHEREAS, the City has a special responsibility to exercise due diligence with regard to
rate increases of monopoly utilities who operate within its boundaries; and
WHEREAS, the application to increase rates by CenterPoint is complex; and
WHEREAS, it is necessary to suspend the effective date for the increase in rates for
forty -five days, so that the City can assure itself that the data and calculations in CenterPoint's
rate application are correctly done; and
WHEREAS, the effective date proposed by CenterPoint is May 30, 2016 but a
suspension by the City will mean that the rate increase cannot go into effect prior to July 14,
2016; NOW THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the statements and findings set out in the preamble to this resolution
are hereby in all things approved and adopted.
Section 2: The City suspends the requested effective date by CenterPoint for forty -
five days pursuant to the authority granted the City under Section 104.301 of the Texas Utilities
Code. The City finds that additional time is needed in order to review the data and calculations
that provide the basis for the rate increase application.
Section 3: The City is authorized to act jointly with other cities that are part of a
coalition of cities known as the Texas Coast Utilities Coalition ( "TCUC ") of cities.
Section 4: The City authorizes the law firm of Herrera & Boyle, PLLC, to act on its
behalf in connection with CenterPoint's application to increase rates.
Section 5: To the extent allowed by law, CenterPoint is ordered to pay the City's
reasonable rate case expenses incurred in response to CenterPoint's rate increase application
within 30 days of receipt of invoices for such expenses to the extent allowed by law.
Section 6: This resolution shall be effective immediately upon passage.
INTRODUCED, READ and PASSED, by the affirmative votr
e City Council of the
City of Baytown this the 26 l day of April, 2016.
ATTEST:
E ICIA �BRYS(ChH, Ci Clerk
APPROVED AS TO FORM:
NACIO RAMIREZ, S . ity Attorney
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CARLOS, Mayor
R:%Karew-Files',City Council Resolutions\2016\April 26.CenterPoint- GRIP -Mar 2016 -TEXAS COAST Divisn -ACM Suspension Resolution- 040616.docx
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