Title
Consider approving Resolution No. 2019-051 denying Oncor Electric Delivery Company LLC's application for approval of a Distribution Cost Recovery Factor to increase distribution rates within the City of Farmers Branch; and take appropriate action
Body
BACKGROUND:
On April 8, 2019, Oncor Electric Delivery Company LLC ("Oncor" or "Company") filed an Application for Approval to Amend its Distribution Cost Recover Factor ("DCRF") to Increase Distribution Rates with each of the cities in their service area. In the filing, the Company asserts that it is seeking an increase in distribution revenues of $29,433,804. This is Oncor's second DCRF filing under a law adopted in 2011 allowing electric utilities to file limited issue, limited review cases.
Farmers Branch is a member of the 158-city coalition known as the Steering Committee of Cities Served by Oncor ("Steering Committee"). The Steering Committee has been in existence since the late 1980's. The Steering Committee has been the primary public interest advocate before the Public Utility Commission, the Courts, and the Legislature on electric utility regulation matters for the last 30 years.
DISCUSSION:
The resolution authorizes the City to join with the Steering Committee of Cities Served by Oncor ("OCSC") to evaluate the filing, determine whether the filing complies with law, and if lawful, to determine what further strategy, including settlement, to pursue. The Steering Committee has engaged the services of consultants to review the Company's filing. The consultants will review the filing and identify adjustments that should be made to the Company's request. The Steering Committee's attorneys recommend that all members adopt the Resolution denying the requested relief.
FISCAL IMPACT:
No Financial Impact.
RECOMMENDATION:
City Administration recommends adopting Resolution No. 2019-051 denying Oncor Electric Delivery Company's requested rate increase.
POSSIBLE COUNCIL ACTION:
1. I move to approve Res...
Click here for full text