04-097 - R TOWN OF PROSPER RESOLUTION NO. 04-97
RESOLUTION OF THE TOWN OF PROSPER SUSPENDING THE EFFECTIVE DATE
OF COSERV GAS LTD'S REQUESTED RATE CHANGES TO PERMIT THE CITY TIME
TO STUDY THE REQUEST AND TO ESTABLISH REASONABLE RATES; APPROVING
COOPERATION WITH OTHER CITIES WITHIN THE COSERV SYSTEM TO HIRE
LEGAL AND CONSULTING SERVICES AND TO NEGOTIATE WITH THE COMPANY
AND DIRECT ANY NECESSARY LITIGATION; REQUIRING REIMBURSEMENT OF
CITIES' RATE CASE EXPENSES; AUTHORIZING INTERVENTION IN THE
PROCEEDING AT THE RAILROAD COMMISSION; REQUIRING NOTICE OF THIS
RESOLUTION TO THE COMPANY
WHEREAS, on or about August 25, 2004, CoSery Gas Ltd. ("CoServ"), filed with the
Town of Prosper a Statement of Intent to change gas rates in all municipalities within the
CoSery System; and
WHEREAS, it is reasonable for the Town of Prosper to cooperate with other cities in a
review of the Company's application and to coordinate the hiring and direction of legal counsel
and consultants and to negotiate with the Company and direct any necessary litigation; and
WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to
suspend the effective date of proposed rate changes; and
WHEREAS, the Gas Utility Regulatory Act provides that costs incurred by Cities in
ratemaking activities are to be reimbursed by the regulated utility; and
WHEREAS, the Gas Utility Regulatory Act grants local regulatory authorities the right to
intervene in rate proceedings filed at the Railroad Commission.
THEREFORE BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
PROSPER, TEXAS:
1. That the effective date of the tariff changes submitted by CoSery on or about
August 25, 2004, be suspended to permit adequate time to review the proposed changes and to
establish reasonable rates.
2. That the Town is authorized to cooperate with other Cities within the CoSery
System to hire and direct legal counsel and consultants, negotiate with the Company, make
recommendations regarding reasonable rates and to direct any necessary litigation associated
with an appeal of a rate ordinance and the rate case filed at the Railroad Commission.
3. That the Town's reasonable rate case expenses shall be reimbursed by CoServ.
4. That the Town is authorized to intervene in any appeal at the Railroad
Commission regarding CoServ's rate case filed on or about August 25, 2004.
5. That a copy of this suspension resolution be sent to Charles D. Harrell, Chief
Financial Officier, CoSery Gas Ltd, 7701 South Stemmons, Corinth, Texas 76210-1842.
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RESOLVED THIS THE 14th DAY OF SEPTEMBER, 2004.
ar i g ,
ATTEST TO:
S anae Jenni , Town retary
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