HomeMy WebLinkAboutResolution No. 02-26 RESOLUTION NO.
RESOLUTION DENYING TXU GAS DISTRIBUTION'S REQUEST TO
CHANGE RATES IN THE NORTH TEXAS METROPLEX
DISTRIBUTION SYSTEM; REQUIRING PROMPT REIMBURSEMENT
OF CITIES' RATE CASE EXPENSES
WHEREAS, on or about March 1, 2002, TXU Gas Distribution, a division of TXU Gas Company
file with thc City of The Colony, Texas a Statement of Intent to change gas rates in all municipalities
within the North Texas Mctroplcx Distribution System effective April $, 2002; and
WHEREAS, thc City of Thc Colony suspended thc effective date of thc proposed new rates for
90 days to evaluate thc reasonableness of existing rates and thc merits of TXU's proposed changes; and
WHEREAS, thc City of Thc Colony participated with other municipalities in a comprehensive
review of TXU Gas Distribution's application; and
WHEREAS, consultants and counsel retained by thc coalition of cities have recommended denial
of thc Company's application based upon a report from consultants demonstrating that the revenue
requirement of the North Texas Mctroplex Distribution System is being met under current rates; and
WHEREAS, the recommendation has been endorsed by thc Steering Committee of city
representatives who have coordinated thc review of TXU Gas Distribution's rate application; and
WHEREAS, thc Gas Utilities Regulatory Act provides that costs incurred by Cities in ratcmaking
activities arc to bc reimbursed by the regulated utility.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
THE COLONY that:
1. The TXU Gas Distribution's Statement of Intent to change gas rates within thc North Texas
Mctroplex Distribution System bc in all respects denied.
2.Thc costs incurred by Cities in reviewing TXU's application bc promptly reimbursed by the
Company.
3. A copy of this resolution, constituting final action on TXU's application bc sent to Autry Warren,
Rates Manager, TXU Gas Distribution, 1601 Bryan Street, Dallas, Texas 75201-3402
Bernetta Henville-Shannon, Mayor
Patti A. Hicks, City Secretary
APPROVED AS TO FORM:
ik~l, City~o~ey ·