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City to negotiate AEP rates and possible litigation

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The Eagle Pass City Council voted in favor of conducting a review of an  application by AEP filed with the Public Utility Commission of Texas and to hire and direct legal counsel and consultants and to prepare a common response and to negotiate  with the company and direct any necessary litigation during their monthly meeting held on Tuesday February 2nd.

On or about December 31, 2020, AEP Texas Inc. filed an application with the Public Utility Commission of Texas for Final Reconciliation of Advanced Metering Costs, PUC Docket No. 51671.

The City of Eagle Pass will cooperate with similarly situated city members and other city participants located within the AEP service area in conducting a review of the Company's application and to hire and direct legal counsel and consultants and to prepare a common response and to negotiate with the Company and direct any necessary litigation.

Eagle Pass will work with the Cities Served by AEP to review the rates charged by AEP, which allows members to accomplish more collectively than each city could do acting alone.

Cities have a history of participation in PUC dockets and projects, as well as court proceedings, affecting transmission and distribution utility rates in AEP's service area to protect the interests of municipalities and electric customers residing within municipal boundaries.

PURA 33,023 provides that costs incurred by cities in ratemaking activities are to be reimbursed by the regulated utility.

The City is authorized to participate with Cities in PUC Docket No. 51671 and are subject to the right to terminate employment at any time.

The City of Eagle Pass hereby authorizes the hiring of the law firm of Lloyd Gosselink and consultants to negotiate with the Company, make recommendations to the City regarding reasonable rates, and to direct  any necessary administrative proceedings or court litigation associated with an appeal of this application filed with the PUC.

The City's reasonable expenses shall be reimbursed by AEP.

Last modified on Tuesday, 09 February 2021 19:28

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