HomeMy WebLinkAbout025371 RES - 07/22/2003RESOLUTION
DIRECTING AEP TEXAS CENTRAL COMPANY TO FILE CERTAIN
INFORMATION ("RATE FILING PACKAGE") WITH THE CITY OF
CORPUS CHRISTI; SETTING A DATE FOR THE FILING OF THE
COMPANY'S ANALYSIS OF WHY EXISTING RATES SHOULD NOT BE
REDUCED; AUTHORIZING THE HIRING OF LEGAL COUNSEL AND
CONSULTANTS; REQUIRING THE REIMBURSEMENT OF THE CITY
OF CORPUS CHRISTI'S RATE CASE EXPENSES.
WHEREAS, the City of Corpus Christi is a regulatory authority under the Public Utility
Regulatory Act (PURA) and has original jurisdiction over the rates of AEP Texas Central
Company (AEP) to determine if such rates are just and reasonable; and
WHEREAS, Sections 36.003 and 36.151 of PUPA empower a regulatory authority, on
its own motion or on a complaint by any affected person, to determine whether the
existing rates of any public utility for any service are unreasonable or in any way in
violation of any provision of law, and upon such determination, to determine the just and
reasonable rates; and
WHEREAS, the City of Corpus Christi has reason to believe that AEP Texas Central
Company is over earning and its rates are excessive; and
WHEREAS, the City Council of the City of Corpus Christi desires, on its own motion, to
exercise its authority under Sections 36.003 and 36.151 of PURA; and
WHEREAS, a procedural schedule should be established for the filing of a rate filing
package by AEP Texas Central Company, procedures to be followed to obtain and
review information from AEP Texas Central Company, the filing of an analysis of such
information by the City's staff and consultants, the filing of rebuttal information from AEP
Texas Central Company, and a public hearing at which time the City shall make a
determination whether the existing rates of AEP Texas Central Company are
unreasonable or are in any way in violation of any provision of law and if such rates
should be revised and just and reasonable rates determined for AEP Texas Central
Company; and
WHEREAS, legal counsel for the City of Corpus Christi and other South Texas Cities
have recently negotiated a date for AEP to make a complete rate case filing with the
City and the Public Utility Commission of Texas ("PUC").
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS:
SECTION 1. This resolution constitutes notice of the City's intent to proceed with an
inquiry into the transmission and distribution rates charged by AEP Texas Central
Company. On or before November 3, 2003, AEP Texas Central Company shall file with
the City of Corpus Christi and the PUC, information that demonstrates good cause for
showing that AEP Texas Central Company's transmission and distribution rates should
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not be reduced. Specifically, AEP Texas Central Company shall file with the City of
Corpus Christi a complete system-wide rate case prepared according to the filing
requirements of the PUC, along with all associated work papers. In addition, AEP
Texas Central Company shall file with the City of Corpus Christi revenues and
expenses associated with the provision of street lighting service within the municipal
limits during 2000, 2001, and 2002.
SECTION 2. Cities designated representatives are authorized to intervene the City of
Corpus Christi in any proceeding at the PUC that arises out of or is associated with this
resolution.
SECTION 3. Subject to the right to terminate employment at any time, the City of
Corpus Christi hereby authorizes Geoffrey Gay and Steven Porter with the law firm of
Lloyd, Gosselink, Blevins, Rochelle, Baldwin & Townsend and other qualified
consultants approved by the City Manager to review AEP Texas Central Company's
rate filing and to assist the City of Corpus Christi in its ratemaking and to prosecute any
appeals to the Texas Public Utility Commission or court.
SECTION 4. AEP Texas Central Company shall reimburse the City for the reasonable
costs of attorneys and consultants upon presentation of invoices by the City.
Armando Chapa
City Secreta~
THE CITY OF CORPUS CHRISTI
Mayor
APPROVED: 21st day of July, 2003.
R. ;J a.y/R e~l"n g
Actirig City Attorney
R38605A1 .doc
Corpus Christi, Texas
J~dayo, ¥~.~ ,2003
The above resolution was passed by the following vote:
Samuel L Neal,
Brent Chesney
Javier D. Colmenero
Melody Cooper
Henry Garrett
Rex A. Kinnison
Bill Kelly
Jessie Noyola
Mark Scott
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