HomeMy WebLinkAboutRES 2018-046 RESOLUTION NO. 2018-046
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS FINDING THAT ONCOR ELECTRIC
DELIVERY COMPANY LLC'S APPLICATION FOR
APPROVAL OF A DISTRIBUTION COST RECOVERY
FACTOR PURSUANT TO 16 TEXAS ADMINISTRATION
CODE §25.243 TO INCREASE DISTRIBUTION RATES
WITHIN THE CITY SHOULD BE DENIED; FINDING THAT
THE CITY'S REASONABLE RATE CASE EXPENSES
SHALL BE REIMBURSED BY THE COMPANY; FINDING
THAT THE MEETING AT WHICH THIS RESOLUTION IS
PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY
LAW; REQUIRING NOTICE OF THIS RESOLUTION TO
THE COMPANY AND LEGAL COUNSEL; AND PROVIDING
AN EFFECTIVE DATE
WHEREAS, the City of Grapevine, Texas ("City") is an electric utility customer of
Oncor Electric Delivery Company LLC ("Oncor" or "Company"), and a regulatory
authority with an interest in the rates and charges of Oncor; and
WHEREAS, the City is a member of the Steering Committee of Cities Served by
Oncor ("OCSC"), a membership of similarly situated cities served by Oncor that have
joined together to efficiently and cost effectively review and respond to electric issues
affecting rates charged in Oncor's service area; and
WHEREAS, on or about April 5, 2018 Oncor filed with the City an Application for
Approval of a Distribution Cost Recovery Factor ("DCRF"), PUC Docket No. 48231,
seeking to increase electric distribution rates by approximately $19,002,177; and
WHEREAS, all electric utility customers residing in the City will be impacted by
this ratemaking proceeding if it is granted; and
WHEREAS, Cities are coordinating its review of Oncor's DCRF filing with
designated attorneys and consultants to resolve issues in the Company's application;
and
WHEREAS, Cities members and attorneys recommend that members deny the
DCRF; and
WHEREAS, all constitutional and statutory prerequisites for the approval of this
resolution have been met, including but not limited to the Open Meetings Act; and
WHEREAS, the City Council deems the adoption of this resolution to be in the
best interests of the health, safety, and welfare of the public.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. That all matters stated hereinabove are found to be true and correct
and are incorporated herein by reference as if copied in their entirety.
Section 2. That the City is authorized to participate with Cities in PUC Docket
No. 48231.
Section 3. That subject to the right to terminate employment at any time, the
City of Grapevine hereby authorizes the hiring of the law firm of Lloyd Gosselink and
consultants to negotiate with the Company, make recommendations to the City
regarding reasonable rates, and to direct any necessary administrative proceedings or
court litigation associated with an appeal of this application filed with the PUC.
Section 4. That the rates proposed by Oncor to be recovered through its
DCRF charged to customers located within the City limits, are hereby found to be
unreasonable and shall be denied.
Section 5. That the Company shall continue to charge its existing rates to
customers within the City.
Section 6. That the City's reasonable rate case expenses shall be reimbursed
in full by Oncor within 30 days of presentation of an invoice to Oncor.
Section 7. That it is hereby officially found and determined that the meeting at
which this Resolution is passed is open to the public as required by law and the public
notice of the time, place, and purpose of said meeting was given as required.
Section 8. That a copy of this Resolution shall be sent to Stephen N. Ragland,
1616 Woodall Rodgers Freeway, Dallas, Texas 75202 and to Thomas Brocato, General
Counsel to the Cities, at Lloyd Gosselink Rochelle & Townsend, P.C., P.O. Box 1725,
Austin, Texas 78767-1725.
Section 9. That this resolution shall take effect from and after the date of its
passage.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 5th day of June, 2018.
APPROVED:
William . Tate
Mayor
Resolution No. 2018-046 2
ATTEST:
GRAPE
Tara Brooks r ' "'
x
City Secretary ` , y
APPROVED AS TO FORM:
. (\i* ICU
City Attorney
Resolution No. 2018-046 3