RE 2002-06-25.1RESOLUTION NO. 2002-0625.1
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
COPPELL, TEXAS, DENYING TXU GAS DISTRIBUTION'S REQUEST
TO CHANGE RATES IN THE NORTH TEXAS METROPLEX
DISTRIBUTION SYSTEM; PROVIDING A REQUIREMENT FOR A
PROMPT REIMBURSEMENT OF COSTS INCURRED BY THE CITY;
AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, on or about March 1, 2002, TXU Gas Distribution, a division of TXU Gas
Company filed with the City of Coppell a Statement of Intent to change gas rates in all
municipalities within the North Texas Metroplex Distribution System effective April 5, 2002;
and
WHEREAS, the City of Coppell, by Resolution No. 2002-0319.3, suspended the
effective date of the proposed new rates for ninety (90) days to evaluate the reasonableness of
existing rates and the merits of TXU's proposed changes; and
WHEREAS, the City of Coppell participated with other municipalities in a
comprehensive review of TXU Gas Distribution's application; and
WHEREAS, consultants and counsel retained by the coalition of cities have
recommended denial of the Company's application based upon a report from consultants
demonstrating that the revenue requirement of the North Texas Metroplex Distribution System is
being met under current rates; and
WHEREAS, that recommendation has been endorsed by the Steering Committee of city
representatives who have coordinated the review of TXU Gas Distribution's rate application; and
WHEREAS, the Gas Utilities Regulatory Act 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 COPPELL, TEXAS:
SECTION 1. The TXU Gas Distribution's Statement of Intent to change gas rates within
the North Texas Metroplex Distribution System and the City of Coppell, Texas be in all respects
denied.
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SECTION 2. The costs incurred by the City of Coppell in reviewing TXU's application
be promptly reimbursed by the Company.
SECTION 3. A copy of this resolution, constituting final action on TXU's application be
forwarded to appropriate designated representatives of TXU as follows: Autry Warren, Rates
Manager, TXU Gas Distribution, 1601 Bryan Street, Dallas, TX 75201-3402.
SECTION 4. This Resolution shall become effective immediately from and after its
passage, as the law and charter in such cases provide.
DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this
the 25th day of June, 2002.
CANDY SHEEHAN, MAYOR
ATTEST:
LIBBY BALL, ClTY SECRETARY
ROBERT E. HAGER. CITY ATTORNEY
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