Title
Approving a resolution suspending Oncor Electric Delivery Company LLC's proposed effective date of June 17, 2022, for ninety days in connection with Oncor's statement of intent to increase rates filed on or about May 13, 2022.
Summary
On or about May 13, 2022, Oncor Electric Delivery Company LLC (“Oncor” or “Company”) filed a Statement of Intent to increase its revenues by approximately $251 million, which equates to a net increase of approximately 4.5% in Oncor’s overall revenue. Oncor proposes to implement its proposed increase in rates effective June 17, 2022. The City must take action on Oncor’s application by no later than June 17, 2022. Failure to take action by June 17, 2022 will result in Oncor’s proposed rates being deemed approved by operation of law.
Oncor’s rate-filing package is voluminous, containing over five thousand pages of data. To have time to review the rate-filing package, the Council is requested to suspend Oncor’s proposed effective date for ninety (90) days. It is a virtual impossibility for the City to set just and reasonable rates without suspending the rate request for ninety days; suspension of Oncor’s proposed effective date would permit its special regulatory counsel and experts an opportunity to perform a better review of Oncor’s application and request additional information as necessary to fully evaluate the proposal and determine the most appropriate response. During the suspension period, the City will retain its right to dismiss Oncor’s Statement of Intent if the City determines that Oncor failed to properly invoke the City’s jurisdiction or if Oncor failed to provide adequate notice. The suspension period also allows time to attempt to resolve matters by agreement with Oncor, or to determine whether to deny Oncor’s request and either adopt an increase different than that requested by Oncor, or deny it outright without adopting an alternative increase.
Deadline for City Council Action
June 14, 2022
Funding Expected: Revenue __ Expenditure __ N/A _X_
Budgeted Item: Yes __ No __ N/A _X_
Amount: ________
1295 Form Required? Yes __ No _X_
Legal Review Required: N/A _X_ Required __ Date Completed: ___________
Supporting documents attached:
Oncor Information Sheet
Oncor Resolution
Recommended Action
Approve the resolution suspending Oncor Electric Delivery Company LLC's proposed effective date of June 17, 2022, for ninety days in connection with Oncor's statement of intent to increase rates filed on or about May 13, 2022.