RES 2003-22TOWN OF TROPHY CLUB, TEXAS
RESOLUTION NO. 2003-22
A RESOLUTION OF THE TOWN OF TROPHY CLUB, TEXAS SUSPENDING THE
EFFECTIVE DATE OF TXU GAS DISTRIBUTION'S REQUESTED RATE CHANGES
TO PERMIT THE TOWN 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 DIRECT 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; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, on or about May 23, 2003, TXU Gas Distribution, a division of TXU Gas
Company, filed with the Town of Trophy Club a Statement of Intent to change gas rates in all
municipalities within the TXU Gas Distribution System; and
WHEREAS, it is reasonable for the Town of Trophy Club 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 TOWN COUNCIL OF THE TOWN
OF TROPHY CLUB, TEXAS:
Section 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.
Section 2. That the Town 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 Town regarding
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.
Section 3. That the Town's reasonable rate case expenses shall be reimbursed by
TXU Gas Distribution.
Section 4. That the Town is authorized to intervene in TXU Gas Distribution's rate
case filed at the Railroad Commission filed on or about May 23, 2003.
Section 5. That a copy of this suspension resolution be sent to the local representative
of TXU Gas Distribution.
Section 6. That this Resolution shall become effective from and after its date of
passage in accordance with law, and it is so resolved.
PASSED and APPROVED by the Town Council of the Town of Trophy Club, Texas on
this 16th day of June, 2003.
ATTOOtI.
Town Secretary
APPROVED AS TO FORM:
Town Attorney