R-3740-4-20 RESOLUTION NO.3740-4-20(R)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, FINDING THAT ONCOR ELECTRIC DELIVERY COMPANY
LLC'S APPLICATION FOR APPROVAL TO AMEND ITS DISTRIBUTION COST
RECOVERY FACTOR TO INCREASE DISTRIBUTION RATES WITHIN THE CITY
SHOULD BE DENIED; AUTHORIZING PARTICIPATION WITH ONCOR CITIES
STEERING COMMITTEE; AUTHORIZING THE HIRING OF LEGAL COUNSEL
AND CONSULTING SERVICES; FINDING THAT THE CITY'S REASONABLE
RATE CASE EXPENSES SHALL BE REIMBURSED BY THE COMPANY; FINDING
THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN TO
THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE OF THIS
RESOLUTION TO THE COMPANY AND LEGAL COUNSEL; AND PROVIDING
FOR AN EFFECTIVE DATE.
WHEREAS, the City of Allen, Texas ("City"), is an electric utility customer of Oncor Electric Delivery
Company, LLC ("Oncor" or"Company"), and a regulatory authority with an interest in the rates and charges
of Oncor; and,
WHEREAS, the Oncor Cities Steering Committee ("OCSC") is a coalition of similarly situated cities served
by Oncor that have joined together to efficiently and cost effectively review and respond to electric issues
affecting rates charged in Oncor's service area in matters before the Public Utility Commission("Commission")
and the courts; and,
WHEREAS, on or about April 3, 2020, Oncor filed with the Commission an Application to Amend its
Distribution Cost Recovery Factor("DCRF"), Commission Docket No. 50734, seeking to increase distribution
rates by$75.9 million annually(an approximately$0.88 increase to the average residential customer's bill); and,
WHEREAS,the City of Allen will cooperate with OCSC in coordinating their review of Oncor's DCRF filing
with designated attorneys and consultants,prepare a common response,negotiate with the Company,and direct
any necessary litigation,to resolve issues in the Company's filing; and,
WHEREAS, all electric utility customers residing in the City will be impacted by this raternaking proceeding
if it is granted; and,
'WHEREAS, working with the OCSC to review the rates charged by Oncor allows members to accomplish
more collectively than each city could do acting alone; and,
WHEREAS, OCSC's members and attorneys recommend that members deny Oncor's DCRF.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
COLLIN COUNTY,TEXAS,THAT:
SECTION 1. The City is authorized to participate with OCSC in Commission Docket No. 50734.
SECTION 2. Subject to the right to terminate employment at any time,the City of Allen, hereby authorizes
the hiring of the law firm of Lloyd Gosselink Rochelle&Townsend,P.C.,and consultants to negotiate with the
Company, make recommendations to the City regarding reasonable rates, and to direct any necessary
administrative proceedings or court litigation associated with an appeal Oncor's DCRF application.
SECTION 3. The rates proposed by Oncor to be recovered through its DCRF charged to customers located
within the City limits, are hereby found to be unreasonable and shall be denied.
SECTION 4. The Company shall continue to charge its existing rates to customers within the City.
SECTION 5. The City's reasonable rate case expenses shall be reimbursed in full by Oncor within 30 days
of the adoption of this Resolution.
SECTION 6. It is hereby officially found and determined that the meeting at which this Resolution is passed
is open to the public as required by law and the public notice of the time, place, and purpose of said meeting
was given as required.
SECTION 7. A copy of this Resolution shall be sent to Tab Urbantke, Attorney for Oncor, at Hunton
Andrews Kurth LLP, 1445 Ross Avenue, Suite 3700, Dallas, Texas 75202, and to Thomas Brocato, General
Counsel to OCSC, at Lloyd Gosselink Rochelle & Townsend, P.C., P.O. Box 1725, Austin, TX 78767-1725,
or tbrocato@lglawfirm.com.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY,TEXAS ON THIS THE 28TH DAY OF APRIL 2020.
APP VED:
G-
1 tout, Y R
ATTEST:
Shelley B..Ge, 'e; , C, CITY SE TARP
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Resolution No.3740-4-20(R),Page 2