Title
Consideration of and action on a resolution suspending the effective date of the statement of intent of CenterPoint Energy to increase rates; authorizing participation with the Gulf Coast Coalition of Cities; and hiring legal counsel.
Body
Summary:
CenterPoint Energy Resources recently filed a Statement of Intent seeking to increase the natural gas rates charged to their Greater Houston area customers, including those located inside the Deer Park city limits. They seek a combined $31.0 million increase, which equates to a 10.4% increase. By law, this rate cannot become effective for 35 days (December 21, 2016). The City is allowed to suspend the rate change for 90 days, otherwise it becomes effective.
The City of Deer Park participates in the Gulf Coast Coalition of Cities (GCCC), a consortium which monitors such rate increases. GCCC attorneys recommend all member cities adopt the attached Resolution which extends the effective date of the rate increase by 90 days. This allows all member cities to review CenterPoint’s rate-filing package and determine the best course of action to achieve reasonable rates.
Attached to this item are the aforementioned Resolution, as well as additional information prepared by GCCC including a staff report and a rate impact analysis.
Fiscal/Budgetary Impact:
Unknown at This Time
Recommended action
Approval is recommended.