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HomeMy WebLinkAboutCity Council Resolutions (R-12-3579)-12/18/2012 RESOLUTION R-12-3579 A RESOLUTION OF THE CITY OF COLLEYVILLE, TEXAS, CONCERNING THE JUNE 2011 ONCOR SETTLEMENT RATE CASE ORDINANCE, CITY OF COLLEYVILLE ORDINANCE 0-11-1797 WHEREAS, Oncor Electric Delivery Company, LLC (Oncor or Company), filed on or about January 7, 2011, its application to increase rates in every municipality in the Oncor service area (Oncor's January 2011 Rate Case), with a similar application being filed with the Public Utility Commission of Texas to apply to the unincorporated areas in its service area (PUC Docket No. 38929); and WHEREAS, Oncor's January 2011 Rate Case concerned, in large part, issues on the proper calculation, collection, and payment of municipal rights-of-way rental franchise fees; and did not concern any issues with the tariff and relocation of Oncor facilities to accommodate municipal/governmental rights-of-way construction projects, or the payment of the cost of such relocations by Oncor, did not concern any issues with municipal police powers to regulate the use of municipal rights-of-way, did not concern any issues with the Texas common law rule that a utility relocates its facilities at its cost to accommodate municipal/governmental rights-of-way construction projects, and did not concern any issues with municipal rights-of-way management ordinances or franchise terms requiring that Oncor relocate its facilities at its cost to accommodate municipal/governmental rights-of-way construction projects; and WHEREAS, the City of Colleyville, Texas ("City") is a member of the 160 cities that comprise the Steering Committee of Cities Served by Oncor ("Steering Committee of Cities") which reviewed Oncor's January 2011 Rate Case and reached a proposed settlement with Oncor on the proper calculation, collection, and payment of municipal rights-of-way rental franchise fees; but did not address any of the rights-of-way, franchise, or relocation issues set forth above; and WHEREAS, the City did adopt the settlement, via City of Colleyville Ordinance 0-11-1797, and the City did not post, address, discuss or vote on any issue concerning relocation of Oncor facilities, amendment of a franchise or any of the other issues set forth above; any public notice for its City Council agenda that would give the public notice to indicate that the issue to be discussed and decided was only for Resolution R-12-3579 Page 2 of 3 the settlement and not for any of the other issues set out above, which were not addressed, decided or changed by the City Council; and WHEREAS, on or about August 2012, Oncor staff have incorrectly asserted and claimed with at least one member of the City Steering Committee that the Oncor-City Steering Committee June 2011 Settlement Ordinance's readopted tariff, in particular, the unchanged section 5.7.8 on relocation of Oncor facilities, now requires the member city to pay for relocation cost, and Oncor incorrectly claims that section 5.7.8 of Oncor's tariff now controls over any conflicting municipal franchise terms and/or its rights-of- way management ordinance terms that require Oncor to relocate its facilities at its cost, to accommodate municipal/governmental rights-of-way construction projects; and WHEREAS, the City does not want to allow these incorrect assertions to be made without addressing the false legal and factual basis of such assertions. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEYVILLE, TEXAS: Sec. 1. THAT at the time of the City of Colleyville's adoption of Ordinance 0-11-1797, the City did not recommend, nor did the City have the intent, nor was there a meeting of the minds of the parties, that Ordinance 0-11-1797 would control, repeal, amend, or revise any municipal franchise terms and/or any rights-of-way management ordinance term that required Oncor to relocate its facilities at its cost to accommodate municipal/governmental rights-of-way construction projects. Sec. 2 THAT as the City's public notice posting of Ordinance 0-11-1797 stated only that the City was "Adopting tariffs that reflect the rate adjustments consistent with the negotiated settlement", and as the City did not post any other public notice for its City Council agenda that would give the public notice to indicate that Ordinance 0-11-1797, would control, repeal, amend, or revise any conflicting municipal franchise terms and/or any rights-of- way management ordinance terms that require Oncor to relocate Resolution R-12-3579 Page 3 of 3 its facilities at its cost to accommodate municipal/governmental rights-of-way construction projects, any such interpretation of Ordinance 0-11-1797 is without legal or factual basis, and is void. Sec. 3. THAT the City of Colleyville rejects any assertion of Oncor that Ordinance 0-11-1797 has control over any conflicting municipal franchise terms and the City of Colleyville asserts that Oncor is required to relocate its facilities at Oncor's cost, to accommodate its rights-of-way management ordinance terms that require Oncor to relocate its facilities at its cost to accommodate municipal/governmental rights-of-way construction projects. Sec. 4 THAT the City shall provide Oncor with a copy of this Resolution. Sec. 5 THAT this Resolution shall take effect immediately upon its adoption. AND IT IS SO RESOLVED. APPROVED BY A VOTE OF AYES, D NAYS, AND !� ABSTENTIONS ON THIS THE 18TH DAY OF DECEMBER 2012. ATTE CITY OF COLLEYVILLE 76n ynthia Singleton, TR , CMC David Kelly City Secretary Mayor