13-D TXU Cities Steering Committee
DAction
CITY OF PARIS, TEXAS
CITY COUNCIL AGENDA REQUEST
MEETING DATE: I May 14, 2007
D Discussion [8Jlnformation DRefer to:
SUBMITTED BY:
I Gene Anderson, Director of Finance
DESCRIPTION:
Receipt from TXU Cities Steering Committee of a check for $61,839.87.
BACKGROUND INFORMATION:
In 2004 Steering Committee cities exercised original ratemaking jurisdiction over
TXU Electric Delivery Company and passed resolutions compelling the Company
to file cost of service data to show cause why rates should not be reduced. After
several months of negotiation, TXU and the Steering Committee reached an
agreement which required TXU to make annual cash payments to member cities
until a final order is issued by the PUC in TXU's next rate proceeding (2008). This
order is not expected to be issued until some time in 2009. This payment is related
to street lighting and is different from the beneficial public use payment of $53,626
received in February 2007. This payment is being made only to city members of
the Steering Committee.
FISCAL AUTHORITY:
BUDGETED: Not Applicable
LEGAL REVIEW:
I
MANAGER'S RECOMMENDATION:
r" --f
VENDOR:
I-
I
CITY OF PARIS
DESCRIPTION
. INV.DATE
04/18/07 !
GROSS AMT
61,839.87
CHECK NO.
CHECK DATE:
DISCOUNT
0.00
0Y o~_Arlington
i VENDOR NO.: 2427
INVOICE NUMBER
I TXUED SETTLEMENT '07
I
I
1__ .. __~____
1....= m~
L
61839.87
I CHECK TOTAL
0.00 61839.87
*******$61,839.87
COMMENTS
~_-1
36
152838 1246
3489
.A.
ARLINGTON
City of Arlinglon
P.O. Box 90231
Arlington, TX 76004-3231
(817) 459-6300
JPMorgan Chase Bank, N.A.
Dallas, Texas
88-88
UI3
9319962305
CHECK NO. 66541
CHEcl(DATE VENDOR NO.
04/23/07 2427
VOID AFTER 180 DAYS
PAY
Sixty-One Thousand Eight Hundred Thirty-Nine And 87/100 Dol/ars
........61,839.87
TO
THE
ORDER
OF
CITY OF PARIS
POBOX 9037
PARIS TX 75461
~!t~
~~~
III 00000 b b 5 ~ ~ III I: ~ ~ ~ :\ 00880 I:
IIH~ :\ ~ 1111 b 2 31 0 5 III
MEMORANDUM
TO:
FROM:
SUBJECT:
TXU CITIES STEERING COMMITTEE
JAY DOEGEY, STEERlNG COMMITTEE C~
2007 DISTRIBUTION OF SETTLEMENT PROCEEDS- STREET
LIGHTING PORTION
APRIL 4, 2007
DATE:
Enclosed is a settlement check which represents your city's portion of the street lighting
payment for 2007 negotiated with TXU on behalf of the Steering Committee of Cities
served by TXU. The check we distributed to you earlier this year was the beneficial
public use payment.
In 2004, 20 cities exercised original ratemaking jurisdiction over TXU Electric Delivery
Company (the transmission and distribution or wires company portion of TXU) and
passed resolutions compelling the Company to file cost of service data to show cause
why rates should not be reduced. The efforts of the 20 cities were coordinated through
the TXU Cities Steering Committee to which your city belongs. After several months of
discussions, TXU and the Steering Committee reached an agreement to postpone
commencement of a TXU rate case. The settlement terms called for TXU to work with
cities on certain items of concern and to make annual cash payments of $8 million to the
Steering Committee, which was then dispersed to member cities.
If you have any questions or would like additional information, please contact Mary
Bunkley at 817/459-6878 or bunkleym@ci.arlington.tx.us.