21-1657ORDINANCE NO. 21-1657
AN ORDINANCE RATIFYING INTERVENTION BY THE CITY IN CASES FILED BEFORE
THE PUBLIC UTILITIES COMMISSION OF TEXAS REGARDING THE FINANCING OF
DEBT OBLIGATIONS FROM WINTER STORM URI UNDER DOCKET NUMBERS 52321
AND 52322; DIRECTING THE INTERIM CITY ATTORNEY TO REPRESENT THE
INTERESTS OF THE CITY IN PARALLEL DOCKET 52364; AUTHORIZING RETENTION
OF THE FIRM OF LLOYD GOSSELINK. ROCHELLE & TOWNSEND, P.C. TO REPRESENT
THE CITY IN SAME; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, ERCOT has applied for a debt obligation order, assigned Docket Number
52321, for default balances created by competitive wholesale market participants due to Winter
Storm Uri, Congestion Revenue Right auction revenue used to temporarily reduce debt, and costs
incurred to implement a debt obligation order; and
WHEREAS, ERCOT has applied for a debt obligation order, assigned Docket Number
52322, for uplift balances consisting of the eligible costs of any Load Serving Entity incurred
during Winter Storm Uri for Reliability Deployment Price Adder charges and Ancillary Service
costs; and
WHEREAS, the City, through Denton Municipal Electric ("DME"), and the DME
ratepayers may potentially be affected by these cases; and
WHEREAS, the City received notification on July 20, 2021 of the intervention deadline of
July 27, 2021 for Docket Numbers 52321 and 52322; and
WHEREAS, the City intervened in these dockets to preserve the interests of the City and
DME ratepayers; and
WHEREAS, the Public Utilities Commission of Texas ("PUCT") has granted ERCOT's
request to create parallel docket (Docket No. 52364) for parties to either opt -out of Uplift charges
or submit evidence showing entitlement to the Uplift Balance financing proceeds; and
WHEREAS, the City Council hereby finds and concludes that the law firm of Lloyd,
Gosselink, Rochelle & Townsend, P.C., is appropriately qualified on the basis of demonstrated
competence, knowledge, and qualifications to be retained as outside legal counsel for the City; and
WHEREAS, the City Council has provided in the City budget for the appropriation of funds
to be used for the procurement of professional legal services contemplated herein; and
WHEREAS, the City finds it is in the public interest of the DME ratepayers to intervene in
these proceedings to ensure representation of the interests of the City and the DME ratepayers may
be considered; NOW THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings and recitations contained in the preamble of this Ordinance are
incorporated herein by reference.
SECTION 2. The City's intervention in PUCT Docket Numbers 52321 and 52322 is
hereby ratified and approved, and the Interim City Attorney is authorized to represent the interests
of the City therein.
SECTION 3. The Interim City Attorney is authorized to intervene and represent the
interests of the City in PUCT Docket Number 52364.
SECTION 4. The Interim City Attorney is authorized to use the services of the law firm
of Lloyd Gosselink Rochelle & Townsend, P.C., to represent the City in these proceedings and to
execute engagement letter(s) related thereto.
SECTION 5. Any previous expenditures regarding these proceedings are hereby
confirmed, ratified, and approved, and the expenditure of funds in accordance with the City
Manager's expenditure authority for these proceedings is hereby authorized.
SECTION 6. This ordinance shall become effective immediately upon its passage and
approval.
The motion to approve this ordinance was made by _ ; 5 ��0. G v: C and
seconded by 1f i C L, -L 1 U1 4� C� The ordinance was passed and approved by the
following vote - _gj:
Deb Armintor, At Large Place 5: 1/
Paul Meltzer, At Large Place 6: 1%
PASSED AND APPROVED this the ;� day of August, 2021.
GERARD HUD ETH, MAYOR
Aye Nay Abstain Absent
Mayor Gerard Hudspeth:
Vicki Byrd, District 1:
J
Brian Beck, District 2:
Jesse Davis, District 3:
V
Alison Maguire, District 4:
1
Deb Armintor, At Large Place 5: 1/
Paul Meltzer, At Large Place 6: 1%
PASSED AND APPROVED this the ;� day of August, 2021.
GERARD HUD ETH, MAYOR
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ROSA RIOS, CITY SECRETARY `� , •.,••p
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APPROVED AS TO LEGAL FORM:
CATHERINE CLIFTON, INTERIM CITY ATTORNEY
oigltally signed by Cathed,, Clifton
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