HomeMy WebLinkAbout026341 RES - 07/12/2005
RESOLUTION
RESOLUTION OF THE CITY OF CORPUS CHRISTI, TEXAS
AUTHORIZING INTERVENTION IN AEP TEXAS CENTRAL
COMPANY'S TRUE-UP PROCEEDING TO BE FILED AT THE PUBLIC
UTILITY COMMISSION OF TEXAS, AUTHORIZING THE JOINING WITH
OTHER INTERVENING CITIES TO COORDINATE EFFORTS TO
PROTECT MUNICIPAL AND RATEPAYER INTERESTS; AUTHORIZING
THE HIRING OF ATTORNEYS AND CONSULTANTS; AND REQUIRING
REIMBURSEMENT OF THE CITIES' RATEMAKING COSTS
WHEREAS, the City of Corpus Christi is a regulatory authority under the Public Utility
Regulatory Act (PURA) and has exclusive original jurisdiction over the rates and
services of AEP Texas Central Company ("TCC") within the municipal boundaries of the
city; and
WHEREAS, TCC is required by PURA S 39.262 to file an application with the Public
Utility Commission (PUC) to finalize stranded costs and to apply the final stranded cost
determination to the nonbypassable delivery rates of TCC and TCC filed such a case in
May 2005;
WHEREAS, PURA 392620) sets a statutory deadline of 150 days from the date of
TCC's application to the issuance of a PUC Final Order and the City will be served by
investigating issues impacting TCC's stranded cost calculation as soon as possible and
participating in settlement discussions, if any, that may precede the filing of the
application;
WHEREAS, TCC has reported in excess of $2.0 billion in stranded costs and the final
stranded cost calculation is expected to substantially increase the electric bill of TCC's
customers including the City;
WHEREAS, pursuant to PURA S33025, the City of Corpus Christi has standing to
intervene in PUC proceedings relating to the provision of electric service to the City;
WHEREAS, the interests of the City of Corpus Christi and the electric customers
residing within municipal boundaries can be protected most effectively by coordinating
with other cities served by TCC; and
WHEREAS, the Steering Committee of Cities has recommended intervention of Cities in
TCC's stranded cost proceeding.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS
Section 1. The City is authorized to intervene in TCC's application to be filed with the
Public Utility Commission (PUC) to finalize stranded costs and to apply the final
stranded cost determination to the nonbypassable delivery rates of TCC.
t.J2ti341
Section 2. The City is authorized to join other cities served by TCC to protect the
interests of the City of Corpus Christi and protect the interests of TCC's customers
residing and conducting business within municipal limits.
Section 3. Subject to the right to terminate employment at any time, the City of
Corpus Christi hereby authorizes the hiring of Geoffrey Gay and Steven Porter of the
law firm of Lloyd Gosselink Blevins Rochelle & Townsend, and qualified consultants and
witnesses as may be necessary to review TCC's filings, to represent the City of Corpus
Christi at the PUC to participate in any and all settlement discussions that may precede
or occur after the Company makes its filing and to prosecute any appeals as directed by
the Steering Committee.
Section 4. Fees and expenses incurred by the City of Corpus Christi in TCC
ratemaking matters related to these proceedings shall be promptly reimbursed by TCC
pursuant to the Public Utility Regulatory Act.
ATTEST:
THE CITY OF CORPUS CHRISTI
/~-~
Armando Chapa
City Secretary
APPROVED: July 1, 2005
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Lisa Aguilar ).
Assistant City Attorney
For City Attorney
2
Corpus Christi, Texas
{p.., Day of C-t-LJ'
,2005
The above resolution was passed by the following vote:
Henry Garrett
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Brent Chesney
Melody Cooper
Jerry Garcia
Bill Kelly
Rex Kinnison
John E. Marez
Jesse Noyola
Mark Scott
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