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R-1954-6-01RESOLUTION NO. 1954-6-01(R) ' A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, AUTHORIZING INTERVENTION BEFORE THE RAILROAD COMMISSION OF TEXAS IN GUD NO. 9180 OR A SUCCESSOR DOCKET; AUTHORIZING PARTICIPATION WITH OTHER CITIES SERVED BY TXU GAS DISTRIBUTION IN ADMINISTRATIVE AND COURT PROCEEDINGS INVOLVING TXU GAS COST RECONCILIATION MATTERS RELATED TO A FILING MADE IN THE SUMMER OF 2001 AS DIRECTED BY A STEERING COMMFFTEE OF CITIES; DESIGNATING A REPRESENTATIVE OF THE CITY TO SERVE ON A STEERING COMMITTEE; REQUIRING REIMBURSEMENT OF REASONABLE RATE CASE EXPENSE. WHEREAS, the City Council of the City of Allen, Texas, is a customer of TXU Gas Distribution and a regulatory authority with an interest in the rates and charges of TXU Gas; and, WHEREAS, TXU Gas Distribution has represented that it will make a filing at the Railroad Commission of Texas in GUD No. 9180 on or about June 29, 2001, to reconcile $1.1 billion in previously incurred and billed gas costs; and, WHEREAS, ratepayers of TXU Gas Distribution, including the City of Allen and its residents, would be entitled to a pro rata portion of refund associated with any costs found to have been unreasonable; and, WHEREAS, the City of Allen and it residents could benefit from joint participation with other cities in a review of the reasonableness of TXU Gas Distribution's gas costs; and, WHEREAS, the reasonable costs associated with the participation of cities in this ratemaking proceeding are reimbursable from the Company. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, THAT: SECTION 1: Intervention is hereby authorized in GUD No. 9180 or any successor docket at the Railroad Commission of Texas. SECTION 2: The City designates the Assistant to the City Manager as a representative to a cities' Steering Committee that shall direct the efforts of counsel and consultants and the course of settlement or litigation before the Railroad Commission or on appeal to any court regarding any matter related to the gas cost reconciliation filing that TXU Gas Distribution plans to make during the summer of 2001. SECTION 3: TXU Gas Distribution shall promptly reimburse the City of Allen for any reasonable cost associated with the City's participation in this ratemakng matter. SECTION 4: The City Secretary shall forward certified copies of this Resolution to Mr. Geoffrey M. Gay, Attorney, 111 Congress Avenue, Suite 1800, Austin, Texas 78701 and Mr. Jay B. Doegey, Chair of the Steering Committee, P.O. Box 231, Arlington, TX 76004. SECTIONS: This Resolution shall become effective from and after its passage. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, ON THIS THE 21n DAY OF JUNE. 2001. APPROVED: — Y _ Stephen Terrell, MAYOR ATTEST: Jqfiy Mo on, CMC/AAE, CITY SECRETARYMo on, CMC/AAE, CITY SECRETARY Resolution No. 1954-61954-6-011 , Page 2