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The Plainview City Council met on August 9, 2011 at 7:00 p.m. in the City Council
Chambers of the Plainview City Hall at 901 Broadway. The agenda for this meeting
was posted in City Hall at 4:45 p.m. on August 5, 2011. Mayor John C. Anderson
presided. Councilmembers present were: Charles Starnes District 1, Cathy Waggoner
District 2, V. O. Ortega- District 4, Ron Trusler- District 5, and Wendell Dunlap- District 6.
Councilmember David Garcia District 3 and Mayor Pro Tem Roland Nash were absent.
Staff members present were: Greg Ingham -City Manager, Jeffrey Snyder- Assistant City
Manager, Leslie Pearce -City Attorney, Mike Gilliland- Director of Public Works, Will Mull
Police Chief, Rusty Powers -Fire Chief, Eric Turner -Main Street/CVB Coordinator, Daniel
Born Information Technology Specialist and Belinda Hinojosa -City Secretary.
News Media Present: Richard Porter- Plainview Herald
Councilmember Trusler moved to adopt the consent calendar. The motion was duly
seconded by Councilmember Dunlap and carried by unanimous vote. Items approved
on the consent calendar included the approval of the minutes of July 12, 2011, July 21,
2011, July 26, 2011 and August 4, 2011; the granting of an excused absence to Mayor
Pro Tem Roland Nash and authorizing Mayor to sign Agreement for Promotion of
Business and Leadership between the City of Plainview and the Plainview Chamber of
Commerce.
Mayor Anderson announced that Councilmember Ortega has filed a conflict of interest
statement on the following item and will refrain from commenting or voting on the
matter. Greg Ingham, City Manager presented for consideration Resolution R11 -249, a
Resolution of the City Council of the City of Plainview, Texas, "City Denying Atmos
Energy Corporation West Texas Division's "Atmos West Texas" Or "Company
Fourth Annual Rate Review Mechanism Filing; Permitting The Company to Establish a
Regulatory Asset for New Depreciation Rates which may be Considered in a System
Wide Rate Filing; Requiring the Company to Reimburse Cities' Reasonable Ratemaking
Expenses; Adopting a Savings Clause; Determining that this Resolution was Passed in
Accordance with the Requirements of the Texas Open Meetings Act; Declaring an
Effective Date; and Requiring Delivery of this Resolution to the Company and the
Steering Committee's Legal Counsel.
The City of Plainview, along with approximately 75 other cities served by Atmos Energy
Corporation West Texas Division is a member of the Steering Committee of Cities
Served by Atmos West Texas. On April 1, 2011, the Company filed its fourth annual
Rate Review Mechanism filing with each of the cities in their West Texas Division
service area. In the filing, the Company asserted that it is entitled to an approximately
$2.9 million increase or a $1.01 per month increase for each residential customer and
$2.69 per month increase for each commercial customer.
The Company's current action represents the fourth filing pursuant to the expedited rate
review process known as the RRM process. The Steering Committee's independent
analyst reviewed Atmos West Texas' fourth RRM filing and determined that the
Company's requested increase is not reasonable. This analyst found that a rate
reduction could be justified for Atmos West Texas and accordingly, no rate increase is
reasonable. The Steering Committee's analyst also found there to be a continuing rate
City Council Minutes
August 9, 2011 Page 1 of 2
disparity between the rates charged to the Steering Committee cities as opposed to the
cities of Lubbock and Amarillo, which are currently paying lower rates. The analyst
found that Atmos West Texas' requested increase would only increase this disparity.
The Cities' Executive Committee met with its consultant and legal counsel and then with
Atmos representatives. City representatives expressed the desire to end the disparity
between rates in West Texas, Lubbock and Amarillo, but ultimately determined that it
was better to simply deny a rate increase rather than pass rate reduction ordinances at
this time that would be appealed to the Railroad Commission. The Executive
Committee representatives anticipate Atmos filing a system -wide rate case in the near
future that will address the parity issue in the rates in West Texas, Lubbock and
Amarillo. The Steering Committee recommends denying Atmos' request by the
passage of this resolution.
Mayor Anderson asked for public comment. There was no public comment.
Councilmember Starnes moved to adopt Resolution R11 -249. The motion was duly
seconded by Councilmember Waggoner and carried by a vote of five "for" the motion
with Councilmember Ortega abstaining from voting or commenting on the matter.
Chief William Mull presented for consideration to authorize Mayor to sign Interlocal
Agreement between Lubbock County and the City of Plainview for sharing of telephone
lines for the City of Plainview Regional MOV. The Agreement with Lubbock gives us
the right to use the telephone lines. The telephone service will be through satellite and
some landlines. The cost will be approximately $45.00 per month. This would be the
only cost of the vehicle; all other costs will be paid through grants or through SPAG of
Lubbock.
Mayor Anderson asked for public comment. There was no public comment.
Councilmember Ortega moved to authorize Mayor Anderson to sign Interlocal
Agreement between Lubbock County and the City of Plainview for sharing of telephone
lines for the City of Plainview Regional MOV. The motion was duly seconded by
Councilmember Dunlap and carried by unanimous vote.
There being no further business, Mayor Anderson adjourned the meeting at 7:17 p.m.
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Belinda Hinojosa
City Secretary
City Council Minutes
August 9, 2011 Page 2 of 2
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