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File #: 2022-328   
Type: Resolution Status: Approved
File created: 10/10/2022 In control: City Council
On agenda: 10/27/2022 Final action: 10/27/2022
Title: Consider a resolution denying an application to increase rates submitted by Oncor Electric Delivery Company LLC’s related to Oncor’s statement of intent to increase rates filed on or about May 13, 2022 and requiring Oncor to reimburse the Alliance of Oncor Cities' rate case expenses.
Attachments: 1. Resolution

Title

Consider a resolution denying an application to increase rates submitted by Oncor Electric Delivery Company LLC’s related to Oncor’s statement of intent to increase rates filed on or about May 13, 2022 and requiring Oncor to reimburse the Alliance of Oncor Cities' rate case expenses. 

 

Body

On or about May 13, 2022, Oncor Electric Delivery Company, LLC submitted an application for approval to increase rates which would in turn increase its annual revenues by $251 million.  Oncor proposed to implement this increase on or about June 17, 2022. 

The City previously acted to suspend the effective date of Oncor’s requested rate increase by 90 days.  Concurrently with the City’s prior action to suspend the rate increase, the City also:

 

(1) authorized intervention in proceedings related to Oncor’s proposed rate increase as a member of

the coalition of cities known as the Alliance of Oncor Cities;

(2) directed Oncor to reimburse AOC’s rate case expenses; and

(3) retained the law firm of Herrera Law and Associates, PLLC with respect to rate proceedings involving

Oncor before the Public Utility Commission of Texas and courts of law and to retain consultants to

review Oncor’s rate application subject to AOC’s approval.   

 

The AOC and its attorneys have the information and have not been able to reach an agreement on the proposed increase.   The City, along with the other AOC cities, must now take its final action on Oncor’s application to increase rates, and must do so no later than October 30, 2022. If the City does not take action by October 30, 2022, Oncor’s proposed rates will be deemed approved by operation of law.

A denial of Oncor’s proposed increase maintains the status quo until the Public Utility Commission of Texas issues its final order regarding Oncor’s rates and provides the Retail Electric Providers adequate time to change their billings to end-use customers.