HomeMy WebLinkAbout(0065) 2020.Denial Resolution.PDFA Resolution
NO.
A RESOLUTION OF THE CITY OF FORT WORTH,
TEXAS FINDING THAT ONCOR ELECTRIC DELIVERY
COMPANY LLC'S APPLICATION FOR APPROVAL TO
AMEND ITS DISTRIBUTION COST RECOVERY FACTOR
TO INCREASE DISTRIBUTION RATES WITHIN THE
CITY SHOULD BE DENIED; AUTHORIZING
PARTICIPATION WITH ONCOR CITIES STEERING
COMMITTEE; AUTHORIZING THE HIRING OF LEGAL
COUNSEL AND CONSULTING SERVICES; FINDING
THAT THE CITY'S REASONABLE RATE CASE
EXPENSES SHALL BE REIMBURSED BY ONCOR;
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 ONCOR AND LEGAL COUNSEL.
WHEREAS, the City of Fort Worth, Texas ("City") is an electric utility customer of
Oncor Electric Delivery Company LLC ("Oncor"), and a regulatory authority with an interest in
the rates and charges of Oncor;
WHEREAS, the Oncor Cities Steering Committee ("OCSC") is a coalition of similarly
situated cities served by Oncor that have joined together to efficiently and cost effectively review
and respond to electric issues affecting rates charged in Oncor's service area in matters before the
Public Utility Commission ("Commission") and the courts;
WHEREAS, on or about April 3, 2020, Oncor filed with the Commission an Application
to Amend its Distribution Cost Recovery Factor ("DCRF"), Commission Docket No. 50734,
seeking to increase distribution rates by $75.9 million annually (an approximately $0.88 increase
to the average residential customer's bill);
WHEREAS, the City will cooperate with OCSC in coordinating their review of Oncor's
DCRF filing with designated attorneys and consultants, prepare a common response, negotiate
with Oncor, and direct any necessary litigation, to resolve issues in Oncor's filing;
WHEREAS, all electric utility customers residing in the City will be impacted by this
ratemaking proceeding if it is granted;
WHEREAS, working with the OCSC to review the rates charged by Oncor allows
members to accomplish more collectively than each city could do acting alone; and
WHEREAS, OCSC's members and attorneys recommend that members deny Oncor's
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS, THAT:
SECTION 1. That the City is authorized to participate with OCSC in Commission
Docket No. 50734.
SECTION 2. That, subject to the right to terminate employment at any time, the City
hereby authorizes the hiring of the law firm of Lloyd Gosselink Rochelle & Townsend, P.C. and
consultants to negotiate with Oncor, make recommendations to the City regarding reasonable
rates, and to direct any necessary administrative proceedings or court litigation associated with
an appeal Oncor's DCRF application.
SECTION 3. That the rates proposed by Oncor to be recovered through its DCRF
charged to customers located within the City limits, are hereby found to be unreasonable and
shall be denied.
SECTION 4. That Oncor shall continue to charge its existing rates to customers within
the City.
SECTION 5. That the City's reasonable rate case expenses shall be reimbursed in full
by Oncor within 30 days of the adoption of this Resolution.
SECTION 6. 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.
SECTION 7. That a copy of this Resolution shall be sent to Tab Urbantke, Attorney for
Oncor, at Hunton Andrews Kurth LLP, 1445 Ross Avenue, Suite 3700, Dallas, Texas 75202,
and to Thomas Brocato, General Counsel to OCSC, at Lloyd Gosselink Rochelle & Townsend,
P.C., P.O. Box 1725, Austin, TX 78767-1725, or tbrocato@lglawfirm.com.
Adopted this day of
ATTEST:
By:
Mary Kayser, City Secretary
2020.