HomeMy WebLinkAboutRES 2021-006 RESOLUTION NO. 2021-006
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS FINDING THAT ONCOR ELECTRIC
DELIVERY COMPANY LLC'S APPLICATION FOR APPROVAL
TO AMEND ITS DISTRIBUTION COST RECOVERY FACTOR
TO INCREASE DISTRIBUTION RATES WITHIN THE CITY
SHOULD BE DENIED; AUTHORIZING PARTICIPATION WITH'
OCSC; AUTHORIZING THE HIRING OF LEGAL COUNSEL
AND CONSULTING SERVICES; 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
WHEREAS, the City of Grapevine, Texas ("City") is an electric utility
customer of Oncor Electric Delivery Company LLC ("Oncor" or "Company") with
an interest in the rates and charges of Oncor; and
WHEREAS, the Steering Committee of Cities Served by Oncor ("OCSC") is
a coalition 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 in matters before the Public Utility Commission
("Commission") and the courts; and
WHEREAS, on or about April 8, 2021, Oncor filed with the Commission an
Application for Approval to Amend its Distribution Cost Recovery Factor
("DCRF"), Commission Docket No. 51996, seeking to increase its total
distribution revenue requirement by approximately $97,826,277; and
WHEREAS, the City of Grapevine will cooperate with OCSC in coordinating
their review of Oncor's DCRF filing with designated attorneys and consultants,
prepare a common response, negotiate with the Company, and direct any
necessary litigation, to resolve issues in the Company's filing; and
WHEREAS, all electric utility customers residing in the City will be impacted
by this ratemaking proceeding if Oncor's Application is granted; and
WHEREAS, working with the OCSC to review the rates charged by Oncor
allows members to accomplish more collectively than each city could do acting
alone; and
WHEREAS, OCSC's members and attorneys recommend that members who
have retained original jurisdiction over electric utility rates deny Oncor's DCRF;
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 RESOLVED 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 OCSC in
Commission Docket No. 51996.
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 Rochelle & Townsend, P.C. 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 Oncor's DCRF application.
Section 4. That the rates proposed by Oncor to be recovered through its
DCRF charged to customers located within the City limits should be denied.
Section 5. That the Company should 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 the adoption of this Resolution, and
within 30 days of presenting monthly bills to Oncor thereafter.
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 7. That a copy of this Resolution shall be sent to J. Michael
Sherburne, Vice President — Regulatory, Oncor Electric Delivery Company LLC,
1616 Woodall Rodgers Freeway, Dallas, Texas 75202; to Tab R. Urbantke,
Hunton Andrews Kurth LLP, 1445 Ross Avenue, Suite 3700, Dallas, Texas 7520;
and to Thomas Brocato, General Counsel to OCSC, at Lloyd Gosselink Rochelle
& Townsend, P.C., P.O. Box 1725, Austin, TX 78767-1725, or
tbrocato@Iglawfirm.com.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 1st day of June 2021.
APPROVED:
William D. Tate
Mayor
Resolution No. 2021-006 2
ATTEST: GRApk,
Tara Brooks w , k
City Secretary
APPROVED AS TO FORM: *
atthew C. Y Fe/
City Attorney
Resolution No. 2021-006 3