HomeMy Public PortalAboutResolution No. 202-03 06-10-2003
• RESOLUTION NO. 202-03
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF RICHLAND HILLS, TEXAS, 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 DIltECT ANY NECESSARY LITIGATION; REQUIRING
REIMBURSEMENT OF CITIES' RATE CASE EXPENSES;
AUTHORIZING INTERVENTION IN THE PROCEEDING AT
THE RAILROAD COMMISSION; REQUIRING NOTICE OF
THI5 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 Richland Hills, 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 Richland Hills 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.
RESOLUTION NO. 2 p 2 -p 3 PAGE 2
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NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY
OF RICHLAND HILLS, TEXAS, THAT:
1. 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 to establish reasonable rates.
2. 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. The City's reasonable rate case expenses shall be reimbursed by TXU Gas
Distribution.
4. A copy of this suspension resolution be sent to the local representative of TXU Gas
Distribution.
• PASSED AND APPROVED by the City Council of the City of Richland Hills, Texas, by
a vote of 4 ayes, 0 nays, and 0 abstentions, on this the 10`'' day of June 2003.
~ APPROVED:
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~ y : ELDA S. STRODER, MAYOR
ATTEST:
TERR WILLIS, CITY SECRETARY
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