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98-01 O - TU Rate Reduction (4%) 1 2-� 97 1 2 : 02 TU-FR I SCO I D=972_335961 2 P . 02 . o c-30-97 11 .49 FROM:TU CUSTOMER SVC 1 U. /2W 1 i2 F'F►lit 1/'l ORDINANCE NO. -,/-2G' AN ORDINANCE~ APPROVING RETAIL BASE RATE _REDUCTIONS FOR TEXAS UTILITIES ELECTRIC COMPANY, PROVIDING AN EFFECTIVE DATE THEREFOR, PROVIDING CONDITIONS UNDER WHICH THE RATE SCHEDULES AND SERVICE REGULATIONS OF TEXAS UTILITIES ELECTRIC COMPANY MAY BE CHANGED, MODIFIED, AMENDED OR WITHDRAWN, FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS ORDINANCE IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW, AND DECLARING AN EMERGENCY, BE IT ORDAINED BY THE CITY • COUNCIL OF THE CITY OF PROSPER �„e , ,'TEXAS: • SECTION 1. On December 22, 1997, Texas Utilities Electric Company filed with the Governing Body of this municipality a Petition and Statement of intent to implement base rate reductions for its retail electric service customers within this municipality, which base rate reductions are components of a settlement reached among various parties set forth in the Stipulation and Joint Application for Approval Thereof filed with the Public Utility Commission of Texas on December 17, 1997, SECTION 2. The rate schedules implementing such retail base rate reductions that are approved for Texas Utilities Electric Company and set by the Public Utility Commission of Texas pursuant to the said Stipulation and Joint Application for Approval Thereof filed by said Company with the Public Utility Commission of Texas are hereby approved as the rate schedules implementing such retail base"rate reductions within the corporate limits of this municipality until such time as the rate schedules of Texas Utilities Electric Company may be changed, modified, amended or withdrawn with the approval of the Governing Body of this municipality. _ --- SECTION 3. The aforesaid rate schedules herein approved shall be effective from and after the date the Public Utility Commission of'Texas orders the retail base rate reductions effective for Texas Utilities Electric Company, provided that, in order to effect uniform systemwide rates, such retail base rate reductions may be earlier placed in effect. within this municipality to the same extent that such retail base rate reductions are earlier placed in effect pursuant to an order of the Public Utility Commission of Texas authorizing such retail base rate reductions on an interim basis in the territories over which the Public Utility Commission of Texas exercises original jurisdiction_ SECTION 4. The filing of the rate schedules implementing such retail base rate reductions — being Rider RRD - Residential Rate Reduction, Rider GSRD - General Service Secondary Rate Reduction, and Rider RD - Rate Reduction — shall constitute notice to the consumers of electricity, within this municipality, of the availability and -1- • 12-30-97 11 :46 RECEIVED FROM:9728813289 P . 01 . , . . • • • ,• ! . • • . . „. • • 7: , A -• • _ - _ 30 '9,7 1.2 : m2 'I'll I'll 1 IWO 1 1?-9 72f1,3!i(1f; 1 2 P ns. ,r)sc:--3121-•117 i i • `,1a 1,1?IIMI III uuyiumtr nv1 11)•!-ICYInI1 .1Yrc1 P/%10N :d/Y • application of such Nile schedules. SECTION 5. Nothing in this Ordinance contained shall be construed ►iow.,er hereafter as limiting or modifying in any manner the right and power of the Governing Body. of this municipality under the law to regulate the rates, operations, and services of Texas Utilities Electric Company. SECTION 6. It is hereby officially found and determined that the meeting at which this Ordinance is passed is open to the public and as required by law and that public notice of the time, place and purpose of said meeting was given as required.. SECTION 7. An emergency exists necessitating the suspension,,of any,rule requiring multiple readings of this Ordinance and all multiple readings-of this.Ordinance are hereby waived; this Ordinance shall take effect immediately upon its passage. PASSED AND APPROVED at a Regular Meeting of the City. COUNCIL of the City of PROSPER _, Texas, on this. the 13 day of JANUARY 1998, i 1 • ATTEST: Sec. tary • • • • • • -2- 12-3C-97 11 :47 RECEIVED FRUM:9728813289 P. 92 December 30, 1997 PUC APPROVES LOWER RATES EFFECTIVE IN JANUARY The Public Utility Commission gave interim approval Monday to an agreement that will lower TU Electric residential base rates by four percent next year. The lower rates will apply to all billings on or after January 1, 1998. Ir General Service secondary customers will receive a two-percent decrease, and all other retail customers will see a one-percent decrease in their base rates. The agreement, filed on December 17, will also lower residential rates by an additional 1.4 percent in 1999. The PUG set January 14 as the deadline for parties to intervene and scheduled a pre-hearing conference for January 15. The two-year, $263 million rate decrease is the result of a joint agreement among TU Electric, the PUC staff, the Office of Public Utility Counsel, consumer groups and industrial customers. In addition to providing immediate benefits to customers, the agreement enhances TU Electric's future competitiveness by setting an earnings ceiling and using earnings above that point to reduce power plant investment. ###