HomeMy WebLinkAboutResolution No. R2024-14 RESOLUTION NO. R2024-14
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
FRIENDSWOOD, TEXAS, SUSPENDING THE APRIL 10, 2024, EFFECTIVE
DATE OF CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC'S
REQUESTED RATE CHANGE TO PERMIT THE CITY TIME TO STUDY THE
REQUEST AND TO ESTABLISH REASONABLE RATES; APPROVING
CONTINUED COOPERATION WITH THE GULF COAST COALITION OF
CITIES; HIRING LLOYD GOSSELINK ROCHELLE& TOWNSEND, P.C., TO
NEGOTIATE AND DIRECT ANY NECESSARY LITIGATION AND
APPEALS; REQUIRING REIMBURSEMENT OF CITIES' RATE CASE
EXPENSES; REQUIRING NOTICE OF THIS RESOLUTION TO THE
COMPANY AND LEGAL COUNSEL FOR THE GULF COAST COALITION
OF CITIES; AND PROVIDING FOR AN EFFECTIVE DATE.
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WHEREAS, on or about March 6, 2024, CenterPoint Energy Houston Electric, LLC
("CenterPoint"or"Company"),pursuant to the Public Utility Regulatory Act("PURA") §§ 33.001
and 36.001, filed with the City of Friendswood, Texas ("City") a Statement of Intent to change
electric delivery rates in all municipalities exercising original jurisdiction within its service area,
effective April 10, 2024; and
WHEREAS,the City is a member of the Gulf Coast Coalition of Cities("GCCC")and will
cooperate with the other similarly situated city members and other city participants in conducting
a review of the Company's application and to hire and direct legal counsel and consultants to
prepare a common response and to negotiate with the Company and direct any necessary litigation;
and
WHEREAS, GCCC's member cities have previously authorized intervention in electric
utility rate case proceedings before the Public Utility Commission of Texas (the "Commission");
and
WHEREAS, GCCC has previously authorized the hiring of the law firm of Lloyd
Gosselink Rochelle&Townsend,P.C.,to negotiate with the Company,to make recommendations
regarding reasonable rates, and to direct any necessary administrative proceedings or court
litigation associated with an appeal of a rate ordinance and the rate case filed with the City or the
Commission; and
WHEREAS, PURA § 36.108 grants local regulatory authorities the right to suspend the
effective date of proposed rate changes for ninety (90) days after the date the rate change would
otherwise be effective; and
WHEREAS,PURA § 33.023 provides that costs incurred by cities in ratemaking activities
are to be reimbursed by the regulated utility; NOW THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD,
STATE OF TEXAS:
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Section 1. The facts and matters set forth in the preamble of this resolution are hereby
found to be true and correct.
Section 2. That the April 10, 2024, effective date of the rate request submitted by
CenterPoint on or about March 6, 2024, shall be suspended for the maximum period allowed by
law to permit adequate time to review the proposed changes and to establish reasonable rates.
Section 3. That the City is authorized to cooperate with GCCC to coordinate efforts to
protect the interests of the City and protect the interests of CenterPoint's end-user customers
residing and conducting business within municipal limits.
Section 4. That the City's reasonable rate case expenses shall be reimbursed by
CenterPoint on a timely basis.
Section 5. That the City Secretary is hereby directed to send a copy of this resolution
to CenterPoint,care of Patrick Peters,CenterPoint Energy,Inc., 1005 Congress Avenue,Suite 650,
Austin,Texas 78701 (patrick.peters@centerpointenergy.com),and to Roslyn Dubberstein at Lloyd
Gosselink Rochelle & Townsend, P.C., 816 Congress Avenue, Suite 1900, Austin, Texas 78701
(rdubberstein(a,lglawfirm.com).
Section 6. This resolution shall be effective immediately upon its passage and
approval.
INTRODUCED, READ AND PASSED by the affirmative vote of the City Council of the
City of Friendswood on this the 1st day of April, 2024.
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MIKE ' •RE N, Mayor
ATTE T:
LETICIA BRYSCH, City S r to �Q + ,,G "lb
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APPROVED AS TO FORM:
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KAREN L. HORNER, City Attorney
H:\City Council\Resolutions\2024\04-0I-2024\Resolution-Suspending CenterPoint Houston Electric Rate Increase.docx
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