Title
Resolution - A Resolution of the City of Mansfield Suspending the April 21, 2017, Effective Date of Oncor Electric Delivery Company’s Requested Rate Change to Permit the City Time to Study the Request and to Establish Reasonable Rates; Approving Cooperation with the Steering Committee of Cities Served by Oncor to Hire Legal and Consulting Services and to Negotiate with the Company and Direct Any Necessary Litigation and Appeals; 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 the Company and Legal Counsel for the Steering Committee
Requested Action
Staff requests that Council adopt the attached resolution, thus suspending Oncor's proposed rate increase.
Recommendation
Staff recommends that Council adopt the attached resolution.
Description/History
Oncor Electric Delivery Company ("Oncor" or "the Company") filed an application on or about March 17, 2017, with cities retaining original jurisdiction seeking to increase system-wide transmission and distribution rates by $317 million or approximately 7.5% over present revenues. The Company asks the City to approve an 11.8% increase in residential rates and a 0.5% increase in street lighting rates. If approved, a residential customer using 1000 kWh per month would see a bill increase of about $6.68 per month.
The resolution suspends the April 21, 2017 effective date of the Company's rate increase for the maximum period permitted by law to allow the City, working in conjunction with the Steering Committee of Cities Served by Oncor, to evaluate the filing, determine whether the filing complies with law, and if lawful, to determine what further strategy, including settlement, to pursue.
Justification
Staff believes that a more favorable rate settlement may be reached. To evaluate that possibility, the City needs more time than the April 21, 2017, date provides.
Funding Source
N/A
Prepared By
Jeff Price, Dire...
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