R162J.~~,. .~d~:~ ~ t., ~~~
RESOLUTION NO. 162
RESOLUTION OF THE CITY OF KENNEDALE SUSPENDING
THE EFFECTIVE DATE OF TXU GAS DISTRIBUTION'S
REQUESTED RATE CHANGES TO PERMIT THE CITY TIME
TO STUDY THE REQUEST AND TO ESTABLISH
REASONABLE RATES; APPROVING COOPERATION WITH
OTHER CITIES WITHIN THE TXU GAS DISTRIBUTION
SYSTEM TO CREATE A STEERING COMMITTEE TO HIRE
LEGAL AND CONSULTING SERVICES AND TO
NEGOTIATE WITH THE COMPANY AND DIlZECT ANY
NECESSARY LITIGATION; REQUIRING REIMBURSEMENT
OF CITIES' RATE CASE EXPENSES; AUTHORIZING
INTERVENTION IN THE PROCEEDING AT THE RAILROAD
COMMISSION; REQUIRING NOTICE OF THIS RESOLUTION
TO THE COMPANY
WHEREAS, on or about May 23, 2003, TXU Gas Distribution, a division of TXU Gas
Company, filed with the City of Kennedale, a Statement of Intent to change gas rates in all
municipalities within the TXU Gas Distribution System; and
WHEREAS, it is reasonable for the City of Kennedale to cooperate with other cities in a
review of the Company's application and create a Steering Committee to coordinate the hiring
and direction of legal counsel and consultants and to negotiate with the Company and direct any
necessary litigation; and
WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to
suspend the effective date of proposed rate changes; and
WHEREAS, the Gas Utility Regulatory Act provides that costs incurred by Cities in
ratemaking activities are to be reimbursed by the regulated utility; and
WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to
intervene in rate proceedings filed at the Railroad Commission.
THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KENNEDALE, TEXAS:
1. That the effective date of the tariff changes submitted by TXU Gas Distribution
on or about May 23, 2003, be suspended to permit adequate time to review the proposed changes
and to establish reasonable rates.
2. That the City is authorized to cooperate with other Cities within the TXU Gas
Distribution System to create a Steering Committee to hire and direct legal counsel and
consultants, negotiate with the Company, make recommendations to the City regarding
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reasonable rates and to direct any necessary litigation associated with an appeal of a rate
ordinance and the rate case filed at the Railroad Commission.
3. That the City's reasonable rate case expenses shall be reimbursed by TXU Gas
Distribution.
4. That the City is authorized to intervene in TXU Gas Distribution's rate case filed
at the Railroad Commission filed on or about May 23, 2003.
5. That a copy of this suspension resolution be sent to the local representative of
TXU Gas Distribution.
PASSED AND APPROVED at a Regular Meeting of the City of Kennedale, Texas on
this the ~~~'h~ r~a}~,pf June 2003.
* ; y - Mayor, Mar S. Wri t
,.~ . -
:9• •Q-
City Secretary
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