HomeMy WebLinkAboutOrdinance No. 03-1447 ORDINANCE NO. O ~- /~'~q
AN ORDINANCE OF THE CITY OF THE COLONY, TEXAS, AMENDING
ORDINANCE NO. 02-1340, TO PROVIDE FOR THE REGISTRATION OF
RETAIL ELECTRIC PROVIDERS, REQUIRING LOCAL REGISTRATION OF
RETAIL ELECTRIC PROVIDERS PURSUANT TO SECTION 39.358 OF THE
TEXAS UTILITIES CODE; PROVIDING FOR A REGISTRATION FEE;
PROVIDING FOR THE SUSPENSION OR REVOCATION OF REGISTRATION
FOR SIGNIFICANT VIOLATIONS OF CHAPTER 39 OF THE TEXAS
UTILITIES CODE; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, in the 76th Legislative Session, the Texas Legislature adopted
Senate Bill 7 and thereby set in motion electric deregulation, and the competitive retail
electricity market in Texas that opened on January 1, 2002; and
WHEREAS, under the provisions of Senate Bill 7 and the rules of the Public
Utility Commission of Texas ("PUCT") adopted to implement Senate Bill 7, customers
will deal directly with a retail electric provider ("REP") in order to obtain electricity for
their premises and accounts; and
WHEREAS, Section 39.358 of the Texas Utilities Code and PUC Substantive
Rule § 25.113 specifically provides for local registration of REP's, as well as the
assessment of a reasonable administrative fee for such registration; and
WHEREAS, Section 39.358 of the Texas Utilities Code further provides for the
suspension or revocation of a REP's registration and operation within a city for
significant violations of Chapter 39 of the Texas Utilities Code or the rules adopted by
the PUC to implement Senate Bill 7; and
WHEREAS, registration will facilitate the City of The Colony, having accurate
information concerning each REP that will be serving The Colony's residents and
businesses in the event that The Colony's customers experience problems with a REP;
and
WHEREAS, the City Council of the City of The Colony, Texas, hereby finds that
REP's should be registered by the City of The Colony and that an administrative fee of
$25 should be charged for each REP registration; and
WHEREAS, the City Council also finds it in the best interest of the City of The
Colony and its citizens to allow the City to monitor REP's to ensure compliance with
PUC certification; and
WHEREAS, the City Council finds that the REP serving as electric provider for
the City of The Colony's electric accounts should be exempt from registration
requirements unless that REP is serving end use customers within municipal limits other
than the municipality; and
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF THE COLONY, TEXAS, THAT:
REGISTRATION OF RETAIL ELECTRIC PROVIDERS
Section 1 General Provisions
A. Purpose. Thc City of The Colony City Council finds that it is in thc best interest
of the public to require that a Retail Electric Provider (REP) register as a
condition of serving City residents. This ordinance establishes a "safe harbor"
process for registration of REPs to standardize notice and filing procedures,
deadlines, and registration information and fees. The "safe harbor" registration
process provides certainty to City and REPs, thereby facilitating the development
of a competitive retail electric market in Texas.
B. Repeal of Existing Ordinance Addressing REP Registration. To the extent that an
existing ordinance or ordinances of the City of address REP
registration, such other ordinance or ordinances are hereby repealed.
C. Definitions. The following words and terms, when used in this Article, shall have
the following meanings, unless the context clearly indicates otherwise:
"Commission" or "PUC" shall mean the Public Utility Commission of Texas.
"PURA" shall mean the Texas Public Utility Regulatory Act, as amended.
"REP" shall mean Retail Electric Provider.
"Registration Form" shall mean the registration form approved by the Commission in
accordance with Commission Substantive Rule §25.113 and available on the
Commission's website or from the Commission's Central Records division.
"Resident" shall mean any electric customer located within the City, except the City of
The Colony, regardless of customer class.
"Revocation" shall mean the cessation of all REP business operations within City,
pursuant to Commission order.
"Suspension" shall mean the cessation of all REP business operations within City
associated with obtaining new customers, pursuant to Commission order.
(2)
D. Non-discrimination in REP registration requirements. The registration
requirements apply equally to all REP's and types of REP. However, the City
may exclude from its registration requirement the REP that provides service only
to the City's own electric accounts as long as the REP providing service to the
City does not serve any residents of the municipality.
Section 2 Registration
A. Standards for registration of REPs. Registrations will be processed
administratively by City.
1. A REP shall register within 30 days after the effective date of this
Ordinance or 30 days after providing retail electric service to any resident
of City, whichever is later.
2. A REP shall register with City by completing the Registration Form
approved by the Commission, and signed by an owner, partner, officer, or
other authorized representative of the registering party. Forms may be
submitted to City by mail or facsimile.
3. City shall review the submitted Registration Form for completeness,
including the remittance of the registration fee. Within 15 business days
of receipt of an incomplete registration, City shall notify the registering
party in writing of the deficiencies in the registration. The registering
party shall have 20 business days from the issuance of the notification to
cure the deficiencies. If the deficiencies are not cured within 20 business
days, City shall notify the registering party that the registration is rejected
without prejudice.
B. Information. City shall require a REP to provide only the information set forth in
the Registration Form.
C. Registration fees. REPs shall pay a reasonable administrative fee for the purpose
of registration.
1. Each retail electric provider required to register under this Article shall pay
to the City a one-time registration fee in the amount of $25.
2. A REP shall pay a late fee of $15 if the REP fails to register within 30
days after this ordinance requiring registration becomes effective or 30
days after providing retail electric service to any resident of the
municipality, whichever is later.
D. Post-registration requirements and re-registration.
1. A REP shall notify City within 30 days of any change in information
provided in its registration. In addition, a REP shall notify City within ten
days if it discontinues offering service to residents of City.
2. If a REP's registration is revoked and the REP subsequently cures its
defects and resumes operations it must re-register. In that circumstance,
the REP may register in the same manner as a new REP.
(3)
Section 3 Suspension and Revocation
City may suspend or revoke a REP's registration and authority to operate within
the municipality upon a Commission finding that thc REP has committed significant
violations of PURA Chapter 39 or rules adopted under that chapter. City will not suspend
or revoke the registration of the affiliated REP or provider of last resort (POLR) serving
residents in City. City shall not take any action against a REP other than suspension or
revocation of a REP's registration and authority to operate in the municipality, or
imposition of a late fee in accordance with this Article.
1. City may provide a REP with a warning prior to seeking to suspend or
revoke a REP's registration.
2. City shall provide the REP with at least 30 calendar days written notice,
informing the REP that its registration and authority to operate shall be
suspended or revoked. The notice shall specify the reason(s) for such
suspension or revocation.
3. City may order that the REP's registration be suspended or revoked only
after the notice period has expired.
4. In its suspension order, City shall specify the reasons for the suspension
and provide a date certain or provide conditions that a REP must satisfy to
cure the suspension. Once the suspension period has expired or the
reasons for the suspension have been rectified, the suspension shall be
lifted.
5. In its revocation order, City shall specify the reasons for the revocation.
6. A REP may appeal a suspension or revocation order to the Commission.
Section 4 Notice and Effective Date
Upon adoption of this ordinance, Thc City shall file the ordinance with the
Commission in a docket established by the Commission for the purpose of submitting
municipal REP registration ordinances. The filing of this ordinance in such docket in
accordance with Commission rules relating to thc filing of pleadings, documents, and
other materials shall serve as notice to all REP's of the requirement to submit a
registration to the City. The ordinance will become effective 31 days after the ordinance
has been filed with the Commission in accordance with this section.
(4)
DULY PASSED AND APPROVED this the 7th day of April, 2003.
e- on, Mayor
ATTEST:
Patti A Hicks~City S~cretary
APPROVED AS TO FORM:
C~ Attorney /
(5)