CC Resolution No.2086 - CenterPointEnergyHoustonElectric RESOLUTION NO.2086
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN.
TEXAS,RESPONDING TO THE APPLICATION OF CEN"I'ERPOINT
ENERGY HOUSTON ELECTRIC,LLC,FOR AUTHORITY TO CHANGE
RATES AND ADOPT CERTAIN RATE RIDERS;SUSPENDING
CENTERPOINT'S PROPOSED EFFECTIVE DATE,MAKING SUCII OTHER
FINDINGS AND PROVISIONS RELATED TO TI-IE SUBJECT;AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
WHEREAS,on or about June 30,2010,CenterPoint Energy Houston Electric.LLC
(`CenterPoint")filed with the City Secretary an application for authority to change rates and to
adopt certain rate riders(the"Application");and
WHEREAS,on or about June 30,2010,CenterPoint also filed a similar if not identical
Application with the Public Utility Commission of Texas("Commission"),which has been
docketed as Docket No.38339:and
WHEREAS,CenterPoint is requesting an increase in its retail transmission and
distribution rates of approximately$76 million,and wholesale transmission rates of about$18
million:and
WHEREAS,as part of CenterPoint's Application,CenterPoint also requests approval of
several rate riders,including the"Rider DCRF"(distribution cost recovery factor);and
WHEREAS.CenterPoint's request for approval of its Rider DCRF and other riders raises
several legal,policy,and substantive issues:and
WHEREAS,CenterPoint did not identify in its Application a specific proposed effective
date for its proposed changes in rates,and
WHEREAS.the earliest effective date CenterPoint may propose under the Public Utility
Regulatory Act is August 4,2010.based on a filing date of June 30.2010:and
WHEREAS.on July 19.2010.CenterPoint notified the Commission that CenterPoint
intended to propose an effective date of August 6,2010:and
WHEREAS,the City has been participating as a member of the Texas Coast Utilities
Coalition of Cities,a coalition of similarly situated municipalities;and
WHEREAS,the City has benefitted from its participation in the coalition through the
sharing of costs and expertise,and
WHEREAS,given the complexity of determining the reasonableness of CenterPoint's
current and proposed rates and proposed rate riders.a determination of the reasonableness of
CenterPoint's Application and its various proposed changes in rates cannot be made before
expiration of August 6,2010;and
WHEREAS,given the complexity of determining the reasonableness of CenterPoint's
current and proposed rates and proposed rate riders,the City requires more time to carry out its
duties as the local regulatory authority with exclusive original jurisdiction within the City;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 does hereby suspend the effective date of CenterPoint's proposed
rate changes for a period of ninety(90)days from August 6,2010,which results in a suspension
to November 4,2010.
Section 3:This resolution shall take effect immediately from and after its passage by
the City Council of the City of Baytown.
INTRODUCED,READ and PASSED,by the affirmative of
the City Council of the
City of Baytown this the 12"day of August,2010.
S.DONCARLOS,May r
ATTE T:,OFg�r�`
'vw
LETICIA G�*ItEylv
APPROVED AS TO FORM:
XLt
I NACIO RAMIREZ,SR.,Cit homey
R\Karen\Files\City 12WW&339Ce wW-RateCase-Rcsolulion 10 Suspend-072010.d,c
2