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R2000-081 06-26-00RESOLUTION NO. R2000-81 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY OF PEARLAND TO JOIN IN A COALITION TO INTERVENE IN PROCEEDINGS RELATING TO THE APPLICATION OF RELIANT ENERGY, INC. FOR APPROVAL OF UNBUNDLED COST OF SERVICE; AUTHORIZING THE CITY ATTORNEY TO REPRESENT THE CITY AND TO TAKE APPROPRIATE ACTIONS RELATING TO SUCH PROCEEDINGS; MAKING CERTAIN FINDINGS RELATED THERETO. WHEREAS, hearings will be held before the Public Utility Commission relating to the Application of Reliant Energy, Inc. For Approval of Unbundled Cost of Service in Public Utility Commission Docket No. 22355 and related proceedings (the "Proceedings") affecting rates and services provided throughout the Reliant Energy, Inc. service area, including the City of Pearland, Texas; and WHEREAS, certain municipalities have indicated their desire to join with the City of Houston, Texas, in a coalition of cities interested in the conduct of the Proceedings and to authorize the coalition to intervene on behalf of the participating municipalities therein; and WHEREAS, interested parties must seek party status by intervening prior to June 27, 2000, in the Proceedings; and WHEREAS, City Council has determined that it is in the best interests of the City that the City intervene in the Proceedings to represent the City's interests; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That the facts recited in the preamble hereto are hereby found to be true and correct and are incorporated herein. RESOLUTION NO. R2000-81 Section2. That the City is hereby authorized to assist in the organization of, and to join in, a coalition of municipalities and ether parties having similar interests in the Proceedings. Section3. That the City is hereby authorized to intervene in the Proceedings either as a member of the coalition or otherwise, and to take legal and other actions as a party in the Proceedings affecting rates and services throughout the Reliant Energy, Inc. service area, including the City of Pearland, Texas. Section 4. That the City Attorney and such outside counsel as may be chosen by the Coalition shall represent the City in all of the aforesaid Proceedings and are hereby authorized to take all legal and other actions necessary to forward the interests of the City in the aforesaid Proceedings and all matters related to such Proceedings, including without limitation any hearings, conferences, negotiations and related Proceedings. Section 5. That this Resolution shall take effect immediately upon its passage and approval in the manner required by the City Charter and ordinances. PASSED AND APPROVED on this the A.D., 2000. ATTEST: SE--CRETARY(// 2 26th day of June TOM REID MAYOR RESOLUTION NO. R2000-81 APPROVED AS TO FORM: DARRIN M, COKER CITY ATTORNEY 3 Lee R Brown, Mayor CITY OF HOUSTON Department of Finance & Administration Post Office Box 1562 Houston,Texas 77251-1562 713/837-9888 CITY COUNCIL MEMBERS: Bruce Tarfa Carol M. Galloway Mark Goldberg Jew Don Boney, Jr, Rob Todd Mark A. Ellis Belt Keller Gabriel Vasquez John E. Castillo Annise D, Parker Gordon Quart Orlando Sanchez Chris Bell Carroll G. Robinson CiTY CONTROLLER: Sylvia R Gotcio Sara S. Culbreth Acting Director May 8, 2000 TO: FROM: Cities with Original Jurisdiction Served by Reliant Energy/HL&P Katherine D. Mosley, Deputy Director, Administrative Services City of Houston Finance and Administration Department Participation in Coalition of Cities in Reliant Energy/HL&P UCOS During its most recent session, tbs Texas Legislature passed Senate Bill 7, which provides for competition in retail electric markets begitming January 1, 2002. Senate Bill 7 requires electric utilities to separate costs related to generation of electricity, which will become competitive, from those related to transmission and distribution of electricity, which will rema'm regulated. Reliant Energy/HL&P (Reliant) filed its Application for Approval of Unbundled Cost of Service (UCOS) on March 31, 2000. Reliant's UCOS filing discusses the cost of providing unbundled transmission and distribution utili~- ser¢iee and requests recove.3, of re~,.~m. On ~hese costs from Re*~! E!ee~c Providers beginning January 1, 2002. Although the rates established in this proceeding will apply to competitive providers of electricity (Retail Electric Providers), the PUC's allowance of the requested cost recovery in this docket will directly impact future electric rates to those retail customers who choose to receive their electricity from competitive providers in 2002. On April 24, 2000, the City of Houston intervened before the Public Utility Commission of Texas (PUC) in Reliant's UCOS proceeding. Because the issues to be addressed in this case will impact all municipalities similarly, we are inviting your participation in a Coalition of Cities representing municipalities' interests in this proceeding. Attached is draft form of resolution for submission to your municipality's governing body. Action by your governing body is necessary for participation in the Coalition and intervention in the PUC proceeding. The deadline for interventions at the PUC is June 27, 2000. Coalition of Cities May 8, 2000 Page 2 of 2 An organizational meeting will be held May 23 at 2 p.m. at the Houston City Hall Annex Council Chambers, 900 Bagby Street, Public Level (see attached map). At that time, we will provide a current stares of the case, and establish points of contact for further communication. Please confirm your attendance by calling Sylvia Torres at (713) 221-0123. Sincerely, Katherine D. Mosley Deputy Director, Administrative Services City of Houston Finance and Administration Department