Title
Resolution - A Resolution of the City Council of the City of Mansfield, Texas, Authorizing and Approving Membership in the Cities Served by Sienergy (Cities) for The Purpose of Protecting the Interest of the City and its Citizens with Respect to Sienergy Matters; Further Suspending the June 9, 2023 Effective Date of the Statement of Intent of Sienergy, Lp To Increase Rates
Requested Action
Staff requests that the Council consider adopting this resolution, thus suspending the June 9th effective date.
Recommendation
Staff recommends that the Council adopt the resolution.
Description/History
On May 5, 2023, SiEnergy, LP (SiEnergy or Company), filed a Statement of Intent seeking to increase gas utility rates within the incorporated areas served by SiEnergy in North, Central, and South Texas. The affected municipalities include the cities of Austin, Celina, Conroe, Fate, Forney, Fort Worth, Fulshear, Grand Prairie, Houston, Manor, Mansfield, Missouri City, Princeton, Sugar Land, and Waxahachie, Texas. In the filing, the Company asserts it is entitled to a $2,667,058 revenue increase in the incorporated areas or a 47.3% increase over current adjusted revenues, excluding gas costs.
The law provides that a rate request made by a gas utility cannot become effective until at least 35 days following the filing of the application to change rates. SiEnergy has proposed an effective date of June 9, 2023. The law permits the City to suspend the rate change for 90 days after the date the rate change would otherwise be effective. If the City fails to take some action regarding the filing before the effective date, SiEnergy’s rate request is deemed administratively approved.
Justification
The purpose of the Resolution is to authorize membership of the City into the Cities Served by SiEnergy coalition, to extend the effective date of the Company’s proposed rate increase, and to give the City time to review the rate-filing package. The resolution suspends th...
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