HomeMy WebLinkAboutResolution No. 91-13 RESOLUTION NO. R91-13
Texas municipalities have rights in matters of electric
utility regulation specifically accorded by state law, and
they are empowered to defend their actions and represent
their constituents before the Public Utility Commission of
Texas. These governmental bodies may choose to join with
other interested parties in reviewing, negotiating, and
settling electric rate matters in the best interest of their
constituents and present such settlement to the Public
Utility Commission.
Legislation has been filed which would limit the
Commission' s ability to consider such settlements unless all
the parties to a rate case approve. This wauld give the
power of veto to any individual party in the case, a power
that would usurp the rights of the cities. It also, implies
that municipalities within Texas are neither willing nor
able to properly represent their constituents.
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FRIENDSWOOD, TEXAS:
WHEREAS, State Law accords to municipalities in Texas the
right to set electric rates within their corporate limits,
which includes the right to represent their constituents
before the Public Utility Commission and enter rate case
settlements which they find to be in the best interest of
their constituents; and
WHEREAS, such settlements can shargly reduce litigation
costs to constituents and consumers alike, and provide
opportunity for municipalities and other parties to a rate
case ta negotiate for specific rate issues of particular
benefit to their constituents; and
WHEREAS, such settlements, when forwarded to the Public
Utility Commission af Texas for consideration, receive a
full-evidence public hearing as prescribed by the
Administrative Procedure and Texas Register Act; and
WHEREAS, non-settling parties to a rate case have the same
rights, whether the Commission is hearing a rate case or a
rate case accompanied by settlement, and may present all
evidence they wish, cross-examine all witnesses presented by
any party, and, if the Commission rejects the settlement in
favor of the original filing, retain all the rights they
have in any rate case; and
WHEREAS, legislation limiting the Cammission' s ability to
consider a settlement unless every party agrees would
pravide veto power to any individual for any reason
regardless of the position taken by the municipalities; and
AGENDA ITEM
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NOW, THEREFORE BE IT RESOLVED, that the City Council of the
City of Friendswood formally registers its position in
support of municipalities' rights to have rate case
settlements they enter duly considered before the Public
Utility Commission of Texas, whether an individual party to
the rate case disagrees or not, and also be FURTHER
RESOLVED, that the City Council of the City of Friendswood
opposes any law which would in any way restrict
municipalities; rights to PUC consideration of non-unanimous
settlements.
PASSED, APPROVED AND RESOLVED this � day of March, 1991.
Mayor Paul W. Schrader
City of Friendswoad
ATTEST:
e o is Archer, CMC
City Secretary
/jt 3/14/91