HomeMy WebLinkAboutR17-387RESOLUTION NO. R17-387
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF PLAINVIEW,
TEXAS ("CITY") DENYING THE SURCHARGE RELATED TO DOCKET
NO. 45524 SUBMITTED BY SOUTHWESTERN PUBLIC SERVICE
COMPANY ON ABOUT APRIL 6, 2017; AUTHORIZING PARTICIPATION
IN A COALITION OF SIMILARLY SITUATED CITIES; AUTHORIZING
PARTICIPATION IN RELATED RATE PROCEEDINGS; REQUIRING THE
REIMBURSEMENT OF MUNICIPAL RATE CASE EXPENSES;
AUTHORIZING THE RETENTION OF SPECIAL COUNSEL; FINDING
THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT;
MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE
SUBJECT; AND DECLARING AN EFFECTIVE DATE
WHEREAS, on about April 6, 2017, Southwestem Public Service Company, LLC
("SPS") filed an application for authority to implement a surcharge related to Docket No.
45524; and
WHEREAS, the City is a regulatory authority under the Public Utility Regulatory
Act ("PURA") and under Chapter 33, §33.001 et seq. of PURA has exclusive original
jurisdiction over SPS's rates, operations, and services within the municipality; and
WHEREAS, the amount of SPS's proposed surcharge is $13.7 million; and
WHEREAS, SPS proposes to implement the surcharge over a five-month period
from July 1, 2017 through November 30, 2017; and
WHEREAS, the City will require the assistance of specialized legal counsel and
rate experts to review the merits of SPS's application to implement the surcharge, and in
particular to confirm the accuracy of SPS's calculations of its proposed surcharge; and
WHEREAS, in order to maximize the efficient use of resources and expertise in
reviewing SPS's request it is prudent to coordinate the City's efforts with a coalition of
similarly situated municipalities; and
WHEREAS, the City, in matters regarding SPS's rates, services, and operations
has in the past joined with other local regulatory authorities in the Alliance of Xcel
Municipalities ("AXM") of cities and hereby continues its participation in AXM; and
WHEREAS, SPS simultaneously filed its application to implement a surcharge with
the Public Utility Commission of Texas, therefore the decision of the Public Utility
Commission of Texas could have an impact on the rates charged within the City and in
order for the City's participation to be meaningful it is important that the City promptly
intervene in such proceeding at the Public Utility Commission of Texas; and
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WHEREAS, SPS failed to show that its proposed surcharge is reasonable and
therefore the City has concluded that SPS's proposed rate increase is unreasonable.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PLAINVIEW, TEXAS THAT:
Section 1. The findings set out in the preamble are in all things approved and
incorporated herein as if fully set forth.
Section 2. The City DENIES SPS's application filed on about April 6, 2017 to
implement a net surcharge.
Section 3. The City authorizes intervention in proceedings related to SPS's
application before the Public Utility Commission of Texas and related proceedings in
courts of law as part of the coalition of cities known as the Alliance of Xcel Municipalities
(A)(M").
Section 4. The City hereby orders SPS to reimburse the City's rate case
expenses, as part of the Alliance of Xcel Municipalities, and that it do so on a monthly
basis and within 30 days after submission of the City's invoices related to its review of the
proposed surcharge or to related proceedings involving SPS before the City, the Public
Utility Commission of Texas, or any court of law.
Section 5. Subject to the right to terminate employment at any time, the City
retains and authorizes the law firm of Herrera & Boyle, PLLC to act as Special Counsel
with regard to rate proceedings involving SPS before the City, the Public Utility
Commission of Texas, or any court of law and to retain such experts as may be
reasonably necessary for review of SPS's surcharge application subject to approval by
the City.
Section 6. The City shall review the invoices of the lawyers and rate experts for
reasonableness before submitting the invoices to SPS for reimbursement.
Section 7. A copy of this resolution shall be sent to SPS, care of Jeremiah W.
Cunningham, Rate Case Manager, Southwestern Public Service Company, P.O. Box
1261, Amarillo, Texas 79105; and to Mr. Alfred R. Herrera, Herrera & Boyle, PLLC, 816
Congress Ave., Suite 1250, Austin, Texas 78701.
Section 8. The meeting at which this resolution was approved was in all things
conducted in compliance with the Texas Open Meetings Act, Texas Govemment Code,
Chapter 551.
Section 9. This resolution shall become effective from and after its passage.
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PASSED AND APPROVED THIS 9th day of May, 2017.
ATTEST:
Belinda Hinojosa, City Secr
Wendell Dunlap, Mayor
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