HomeMy WebLinkAboutR2008-036s:\our documents\resolutions\08\oncor denial resolution.doc
RESOLUTION NO. ~OD~'O,3ly
A RESOLUTION OF THE CITY OF DENTON, TEXAS ("CITY") DENYING THE RATE
INCREASE PROPOSED BY ONCOR ELECTRIC DELIVERY COMPANY, LLC
ONCOR"); FINDING THAT THE MEETING COMPLIED WITH THE OPEN MEETINGS
ACT; AND DECLARING AN EFFECTNE DATE.
WHEREAS, oncor filed an application with the City Secretary on June 27, 2008 for an
increase in rates of $275 million. The City has suspended the effective date until October 30,
2008; and
WHEREAS, the City has joined with a coalition of cities known as the Alliance of
TXU/oncor Customers ("ATOC"); and
WHEREAS, the application to increase rates by oncor ("Statement of Intent") has a been
filed at the Public Utility Commission of Texas ("PUC"); and
WHEREAS, the date for filing ATOC's testimony has been set by the PUC for
November 26, 2008; and
WHEREAS, the experts hired by ATOC have not finished their review of the thousands
of pages of responses to discovery; and
WHEREAS, it is necessary for the City to act before October 31, 2008 on Oncor's rate
request; and
WHEREAS, the experts hired by ATOC have preliminarily concluded that the size of the
rate increase is not justified; and
WHEREAS, based upon the preliminary review of the City's and ATOC's experts the
requested rate increase should be denied;
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. The findings set out in the preamble to this resolution are in all things
approved and adopted.
SECTION 2. The City hereby denies Oncor's request to increase rates and in support
thereof finds that:
a. The Statement of Intent fails to provide sufficient information to justify the
requested increase in rates or to justify the changes set forth in the attached tariffs;
b. As a preliminary matter, the requested increases for depreciation, storm reserve,
and pensions appears excessive.
s:\our documents\resolutions\08\oncor denial resolution.doc
SECTION 3. The City Secretary shall notify Oncor by sending copy of same to Don J.
Clevenger, Oncor Electric Delivery Company LLC, 1601 Bryan Street, Suite 22-070, Dallas,
Texas 75201-3411 and ATOC shall be notified by sending a copy to Jim Boyle, Herrera &
Boyle, PLLC, Suite 1250, 816 Congress Avenue, Austin, Texas 78701.
SECTION 4. That the meeting at which this resolution was approved was in all things
conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code,
Chapter 551.
SECTION 5. This Resolution shall become effective from and after//irrts passage.
PASSED AND APPROVED this the ~l~ day of ~4~ , 2008.
MARK A. B~C~UCyI'IS, `~VIAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPR ED AS O LEGAL FORM:
ANITA BURGESS, CITY ATTORNEY
BY: ~ ~~ ~
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