HomeMy WebLinkAboutR2002-013RESOLUTION NO.
A RESOLUTION OF THE CITY OF DENTON AUTHORIZING THE PUBLIC UTILITY
COMMISSION OF TEXAS TO SET THE ACCESS LINE RATE AT THE NEW CPI-
ADJUSTED MAXIMUM RATE TO BE PAID TO THE CITY BY CERTIFICATED
TELECOMMUNICATIONS PROVIDERS PURSUANT TO CHAPTER 283 OF THE TEXAS
LOCAL GOVERNMENT CODE, (" HB 1777"), AND DECLARING AN EFFECTIVE DATE.
WHEREAS, HB 1777 established a uniform method for calculating telecommunications
franchise compensation paid to municipalities by using access lines and allocating a rate per
category of access line; and
WHEREAS, the Public Utility Commission of Texas (PUC) has requested the City of
Denton to elect if it desires to set the access line rate at the current allocation formula or to set
the access line rate at the new CPI-adjusted Maximum Rate; and
WHEREAS, the City Council finds that the access line rate should be set at the new CPI-
adjusted Maximum Rate in order for The City of Denton to be fully compensated for the use of
the right-of-ways by Certificated Telecommunications Providers, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. That the City Manager or his designee is authorized to inform the Public
Utility Commission by signing the PUC Authorization, attached as Exhibit "A" that the access
line rate should be set at the new CPI-adjusted Maximum Rate in order for The City of Denton to
be fully compensated for the use of the right-of-ways by Certificated Telecommunications
Providers o
SECTION 2. That this resolution shall become effective immediately upon its passage
and approval by the City Council.
PASSED AND APPROVED this the wi ~ day of April 2002.
EULINE BROCK, MAYOR
ATTEST~ , )
ALTEI~-S, ~Ig~ gE~RETARY
APPROVED AS TO LEGAL FORM:
HERBERT ]~. PROUTY, CITY
EXHIBIT "A"
btic Utility Commission, exas
1701 N. Congress Ave., PO Bo{c 13326, Austin, TX 78711-3326
Page 1/2
CONSUMER PRICE INDEX ADJUSTMENT TO MUNICIPAL
TELECOMMUNICATIONS RIGHT-OF-WAY ACCESS LINE RATES
PURPOSE
This letter is to notify you that your city's maximum access'~ine rotes have changed~ As a result, you
are requested to notify the Public Utility Commission (PUC) of your desired access line rates.
BACKGROUND
In Texas, most cities are compensated for the use of the public right of way by Cerfifidated
Telecommunications Carders (CTPs) using access line rates. These rates are monthly fees paid by
residential, business and point-to-point customers to CTPs, who in turn, compensate your city.
Pursuant to Chapter 283 of the Local Government Code (or House Bill 1777), the PUC is required to
adjust the maximum access line rates for your city by an amount equal to one half the annual change
in the Consumer Price Index (CPI) for the year 2001. Based on information obtained from the Federal
Bureau of Labor Statistics, the PUC has determined that one half the annual change in CPI for 2001 is
1.15%. Therefore, the maximum access line rates for all Texas cities have been increased by 1.15%.
The maximum rates will increase even ifyou have elected to receive lower-than-maximum rates.
ACTION BY CITY
1.Using the form on the hack of this page, please indicate your desired rates no later than April 15th.
Cities have the option to stay at the current rates, or increase the rates up to their NEW maximum
rates, or decrease the rates from their current levels). 3.If you require City council authorization to
change access linc rates, please do so now. 4.Verify your contact information and highlight any
changes. 5. Make a copy of this document. 6. Respond (Fax/Mail) to the PUC NO LATER THAN
APRIL 15th.
WHAT HAPPENS NEXT?
The PUC will notify CTPs of your desired rates. CTPs will start implementing these rates no later
than July 1, 2002. Your city will be compensated at your desired rates starting with the third calender
quarter of year 2002.
WHAT HAPPENS IF A CITY DOES NOT RESPOND BY APRIL 15th?
h ' ~'~ ... .....· .If'a city ~oes not respond by April 15.., the rates, and consequently the compensation for that city,
will remain at current levels.
FUTURE REVISIONS TO CPI
The access line rates will bl~ revised every March depending, on wllclh~r the CPI has challged for the
previous year. If the CPI changes for the year 2002, you will receive a similar letter next March.
HOW TO RESPOND?
Mail: Garnet Elkins
Public Utility Commission of Texas
1701 North Congress Avenue
P.O. Box 13326,
Austin, Texas 78711
FAX: (512) 936 7328
INQUIRIES ONLY
Email:HB 1777~puc.state.tx.us
Phone No: 512- 936-7322
Contact Per~on: Garnet Elkins
Record No: 475 of 2232
City of Denton
Section 1: Your present Maximum Access Line Rates are asfollows:
Residential $1.a$ Non Residential $a.10 Point-to-Point 4.72
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Section 2: Your chosen rates, which are at or below the above maximum rates are asfollows:
Residential $1.35 Non Residential $3.1o Point-to~point
Section 3: Your New CPI-adjusted. Maximum Rates are as follows:
Residential $t.37 Non ResMential ~3.14 Point-to-Point $4.78
SELECT ONE OF TIlE FOLLOVgING THREE OPTIONS
OPTION 1 - Keep your rates at the current levels as indicated in Section 2 above.
OPTION 2 - Increase your rates from the current level. List your desired rates below.
Note: Ifyou are increasing your rates, the new rates should be LESS than or EQUAL to the
NEW CPI-adjusted maximum rates indicated in Section 3 above.
Residential /~. '~. 7 Non Residential '~ , / ~/ Point to Point
OPTION 3 - Decrease your rates from the current level. List your desired rates below.
Residential Non Residential Point to Point
CONTACT INFORMATION ON FILE
We have the following contact information on file for your ci~. Please update it.
Antonio Puente, Jr.
Revenue Analyst
City of Denton
215 E. McKinne¥
Denton
TX 76201
Phone No. 1 9403497283
Phone No. 2 9403498320
Fax No: 9403497206
Email: Antonio. Puente@cityo
CHECK LIST and AUTHORIZATION
j Make copy and Save; [ ] Chose ONE Option; [ ] Check Contact Info; [ ] Mail/Fax before April 15th.
AUTHORIZATION
L~'~ ] ~_./.x.~ c~,~ , Titleb~e~0~/~ ~ ~ff ,~odze the PUC to implement
l~e rates f~e Ci~/Tow~illage of ~~, T~ , ~s indicated above.
mre ' ~ Date
Record No: 476 of2232