1998-021 O INANCENO qg"O /
AN ORDINANCE APPROVING RETAIL BASE RATE REDUCTIONS FOR TEXAS
UTILITIES ELECTRIC COMPANY, PROVIDING AN EFFECTIVE DATE THEREFOR,
APPROVING A MOST FAVORED NATION PROVISION, RATIFYING AND
CONFIRMING THE ACTION OF CITY STAFF AND THE CITY'S OUTSIDE LEGAL
COUNSEL IN INTERVENING IN PUBLIC UTILITY COMMISSION OF TEXAS DOCKET
NO 18490, FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS
ORDINANCE IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW
THE CITY COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
~ On December 22, 1997, Texas Utlhtles Electric Company ("TUEC") filed
with the Govermng Body of this munlclpahty a Petition and Statement of Intent ("Stipulation")
to implement base rate reductions for its retail electric service customers within this
mumclpahty, which base rate reductions are components of a settlement reached among various
parties set forth in the Stipulation and Joint Application for Approval Thereof ("Stipulation")
filed with the Public Utility Commlsmon of Texas on December 17, 1997 m Docket No 18490
~ The said rate schedules implementing such retail base rate reductions are
hereby approved as the rate schedules implementing such retail base rate reductions w~thln the
corporate limits of this munlmpahty until such time as the rate schedules of Texas Utilities
Electric Company may be changed, modified, amended or w~thdrawn w~th the approval of the
Govem~ng Body of this munlclpahty
SECTION III. The aforesmd rate schedules here~n approved shall be effective beginning
January 1,1998
YzF, uQTLQ...h[J~ The filing of the rate schedules implementing such retail base rate
reductions - being R~der RRD - Residential Rate Reduction, Rider GSRD - General Service
Secondary Rate Reduction, and Rader RD - Rate Reduction - shall constitute notice to the
consumers of electricity, within this mumclpahty, of the avmlabthty and apphcat~on of such rate
schedules The three stud rate schedules are attached hereto and are ~ncorporated herewith by
reference,
SECTION V Nothing ~n this Ordinance contmned shall be construed now or hereafter as
limiting or mo&lying in any manner the right and power of the Govermng Body of this
municipality under the law to regulate the rates, operations, and services of Texas Uttht~es
Elecmc Company
SECTION VI. Notwithstanding any other provision oftNs Ordinance, in relation to the
attached rate schedules, the rates authorized for electric service ~n the City of Denton, Texas
shall not exceed the lowest rates avmlable to residents of any other mun, mpahty served by TUEC
finally resulting from TUEC's filing of the St,pulatlon and any other appeals from C~ty
or&nantes connected herewith
~ The concept and methodology of deprecmtlon shtft~ng as advanced by
TUEC, and contmned m the Stipulation filed m PUC Docket No 18490 is questmned at thts time
by the City Council, which concept might ~mpact upon the ratepayers of the City of Denton,
Texas, resulting ~n increased costs of electric transmission
~ That the City of Denton ~n the ~nterest of sound public pohcy has
heretofore intervened in PUC Docket No 18490 on the 15th day of January, 1998, ~n order to
receive all filings and ~n order to protect the ~nterests and rights of the citizens and ratepayers of
the Ctty The C~ty Council hereby ratifies and confirms the actions of C~ty staff and the law firm
of Lloyd, Gossehnk, Blewns, Rochelle, Baldwin & Townsend, P C of Austin, Texas ~n filing the
C~ty's ~ntervent~on m smd proeeechng on an emergency basis
~ It is hereby officially found and determined that the meeting at whmh this
Ordinance is passed ~s open to the public as reqmred by law, and that pubhc not,ce of the time,
place and purpose of smd meeting was g~ven as reqmred
~ That thts ordinance shall become effective ~mmedlately upon ~ts passage
and approval
PASSED AND APPROVED th~s the~_~_~day of/~/~gf-z2~x.f~ ,1998
JA~ILLER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
HERBERT L PROUTY, CITY ATTORNEY
F \shared~lept\LGL\Our Documents\Ordmances~Bas¢ Rato Reduction doc
' Tariff for Electric Service
T®xa. Utilities Electric Company
3 1 Residential Service Sheet 7
Applicable Cities Exerc;slng Onglnal Jurisdiction Page 1 of 1
Effective I~ate Januar~ 1~ 1998 Rews~on Original
3.1.7 Rider RRD - Reeidential Rate Reduction
Application
Aloplicabio to ali cuatornem reueiving service under Rate R ~ Residential Service Rate RLU - Residential Low Use Service Rate
RTU-Real~JentietTIme-of-UseService andReteRTU1-RosidentlalTime-of-UseSewice IfthePublioUtilityComm~seionhas
not acted by Manth 31, 1998,.~ approve or mje~t the Sbpuletion and Joint Apphuetlon for Approval Thereof and Request for
Immediate Rate Reductions (Stipulation") filed with the CommiM~on :n Docket No 18490. and the City has not approved this tantf
schedule by Marofl 31, 1998, the Company may ton'ninete the base rata racioctions and all other aspecta of tho Stipulation then or
at any flmeltherealtor, upon giving the Commission and the City two weeks prior notice In the event the Commission does not
approve the Stipulation, this tariff schedule wtll automatically terminate as of the date the Commission antam an order tnconalatant
with the Stipulation
The provlalOna of the eppllc, abio rata sr. hedule are modified only as shown h~roin
Monthly Rate
in ac~miattue wl~ the tom~ of the apptl~io rate schedule, ex.pt that the amount under the applioabio rate schedule, exctnding
the charge~ pomuent to Rider FC - Fuel CoM Fa~or, i~ rnduc~l by 4% for all bi#tng~ on or alter Janue~y 1.1998, and 5 4% for all
billings off er alter danua~ 1, 1999
O 1997 Texas Utilities Electric Company Rata Schedules 11 4
Tariff for Electric Service
Texae Utllitle. Electric Company
3 2 General Sen, ice Sheet 24
Applicable Cltlea Exercising Original Junsdlctton Page 1 of 1
Effective ~)a~ Januilr~ 11 1998 Rev,s~on Orl~lmal
3,2.24 Rider GSRD - General Service Rate Reduction
Application
Apphcebta to all cu~tomem receNIng tervice under Rate GS - General Service Secondary end Rate GTU - General Serv~co Seconder/
Time-of-Ufa Incdndlng any applitebio riders If the Public Utility Commission has not acted by Mamh 31 1998 to approve or reject the
Stlpulatioll al~d Joint Application for Approval Thereof and Request for Immediate Rate Requotions ('Stipulation) filed with the
Commitelen in Docket No 184~0, and the City has not approveq th~$ tariff schedule by March 31 1998 the Company may terminate
the bate rate reductions and all other a~ppot~ of the Stipulation then or at any time thereafter upon giving the Commission and C~ two
~'=.-~s prior no,ua Iff the event the Commission ;icom not approve the Stipulotion th~s tadff schedule will automatically terminate as of
the date the Commission entem on order inonnalstont with the Stipulation
The provlaion~ of the applicable rate ~,hedule, Inducling any applicable m:lero ara modified only as shown heroin
Monthly Rate
In accoKlarl{ie with the toml~ of the applicable rate ~chedule, extept that the amount under the appllteble rate schedule excluding the
~hargte I~Jrauaat to ~ FC - Fuel CO~ FaQOt, fl re¢luted by 2% for all bll#ng~ on or altof Januew 1, 1998
1997 Texas Utilities Electric Company Rate Schedules 29 23
Tariff for Electric Servtce
Texaa Utilities Electric Company
3 4 Other Sheet 18
Applicable Cities Exe~mng Onginal Junsdiction Page 1 of 1
Effective I~ate Januar~ 11 1996 Rewmon Original
3.4.18 Rider RD - Rate Reduction
Application
Applicabta to ell retell ~ustomere receiving service under rate schedules other than those to which Rgler RRD or R~ler GSRD are
applicable If the Pedll~ Utility Commiss~on has not acted by March 31 1998 to approve or reject the Stipulation sod Joint Application
for Approval Thereof and Requeot for Immediate Rate Reductions ('Stlpuiot~on') tiled with the Commission in Docket NO 18490 and the
City has not approved this tariff schedule by March 31 1998 the Company may terminate the base rata reductions end all other aspects
of the Stiputation then or ut any time thereafter, upon gwing the Commission and City two weeks prior notice In ti~ event the
Commissio~t does not approve the Stipulation, this tariff schedule will automatically tang;nets ss of the data the Commission enters an
order tncon~isteot with the Stipuletion
The provisiOns of the applicable rats schedule, inctodlng any applicable ndem are modified only as shown herein
Monthly Rate
In ag~oldorioe with the terms of the sppllcalde rets ~chedule exsept that the m~'munt under the applicable rate mYceduta exciudiog the
ch~rge~ putluant to Rider FC - Fuel CoM Factor, Il ~duoed by 1% for all billings on or ~ter JsnueW 1, 1998 For Rates R'rP. RTP-I
and RTP. I-I the 1% reduotion is ~oplMabfo only to non-fuel related c~orgue for all billlng~ on or Mter January 1.1998
O 1997 Texas Utilities Electric Company Rate Schedules 52 13