HomeMy WebLinkAboutResolution No. 2009-33 RESOLUTION NO. R2009-33
A RESOLUTION OF THE CITY OF FRIENDSWOOD, TEXAS,
AUTHORIZING INTERVENTION IN CENTERPOINT ENERGY
HOUSTON ELECTRIC, LLC'S APPLICATION FOR
DETERMINATION OF HURRICANE RESTORATION COSTS
FILED AT THE PUBLIC UTILITY COMMISSION OF TEXAS,
APPROVING COOPERATION WITH THE GULF COAST
COALITION OF CITIES TO REVIEW CENTERPOINT'S
APPLICATION, HIRE LEGAL AND CONSULTING SERVICES
AND TO NEGOTIATE WITH THE COMPANY AND DIRECT ANY
NECESSARY LITIGATION AND APPEALS; FINDING THAT THE
MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN
TO THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE
OF THIS RESOLUTION TO THE COMPANY AND LEGAL
COUNSEL.
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WHEREAS, on or about April 17, 2009, CenterPoint Houston Electric, LLC
("CenterPoint" or "Company"), pursuant to PURA § 14.001 and Senate Bill 769, filed with the
Public Utility Commission of Texas an application, PUC Docket No. 36918, for approval of
$677,816,820 in restoration costs associated with Hurricane Ike, including $54.7 million in
carrying costs; and
WHEREAS, the City of Friendswood is a member of the Gulf Coast Coalition of Cities
and will cooperate with other similarly situated city members and other city participants located
within the CenterPoint service area in conducting a review of the Company's application and to
hire and direct legal counsel and consultants and to prepare a common response and to negotiate
with the Company and direct any necessary litigation; and
WHEREAS, working with the Gulf Coast Coalition of Cities to review the application
filed by CenterPoint allows members to accomplish more collectively than each city could do
acting alone; and
WHEREAS, the Gulf Coast Coalition of Cities has a lengthy history of participation in
Public Utility Commission dockets and projects, as well as court proceedings, affecting
transmission and distribution utility rates in CenterPoint's service area to protect the interests of
municipalities and electric customers residing within municipal boundaries; and
WHEREAS, PURA § 33.023 provides that costs incurred by cities in ratemaking
activities are to be reimbursed by the regulated utility.
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FRIENDSWOOD, TEXAS:
1. That the City is authorized to participate with the Gulf Coast Coalition of Cities in
PUC Docket No. 36918 to coordinate efforts to protect the interests of the City and protect the
interests of CenterPoint's end-use customers residing and conducting business within municipal
limits.
2. Subject to the right to terminate employment at any time, the City hereby
authorizes the hiring of Thomas Brocato and Geoffrey Gay of the law firm of Lloyd Gosselink
Rochelle and Townsend, P.C. and consultants to negotiate with the Company, make
recommendations regarding reasonable rates and to direct any necessary administrative
proceedings or court litigation associated with an appeal of the rate case filed with the Public
Utility Commission.
3. That the City's reasonable rate case expenses shall be reimbursed by CenterPoint.
4. That it is hereby officially found and determined that the meeting at which this
Resolution is passed is open to the public as required by law; and the public notice of the time,
place, and purpose of said meeting was given as required.
5. A copy of this Resolution shall be sent to CenterPoint care of John Hudson, III,
CenterPoint Energy, Inc., P. O. Box 4567, Houston, TX 77210-4567 and to Thomas Brocato,
General Counsel to the Gulf Coast Coalition of Cities, at Lloyd Gosselink Rochelle &
Townsend, P.C., P.O. Box 1725, Austin, Texas 78767-1725.
PASSED,APPROVED AND RESOLVED on this 18th day of May 2009.
David J . Smith
Mayor
ATTEST
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D loris McKenzie, T C ci o
City Secretary * °
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