Editor’s note: Transcript provided by CoverGov.
Colleyville City Council members on Oct. 8 unanimously approved a resolution to deny Oncor Electric Delivery’s application to raise rates within the city, calling the request “unreasonable.”
Oncor has asked the Texas Public Utility Commission for a systemwide rate increase to pay for construction and maintenance in the state’s electricity transmission and distribution network.
A Colleyville city staff member told City Council members during the Oct. 8 meeting that it’s “unlikely” Oncor’s request will lead to no rate increase, but the city hopes a “reasonable” resolution will result.
Oncor, which manages the state’s electricity transmission and distribution network, in June filed a request with the Public Utility Commission of Texas, or PUCT, for the systemwide rate increase. It would boost revenue by about 13% more than current revenues.
“Rate reviews are part of a routine, regulated process governed by law and PUCT rules,” Roxana Rubio, an Oncor spokesperson, said in an emailed response to the Report.
“We appreciate the City of Colleyville’s participation and thoughtful input as part of this process. We will continue to work collaboratively as the rate review progresses.”
The rate boost, if approved, would result in a 12.3% residential rate increase in addition to what customers already pay for electric service through their providers.
That increase would add an average $7.90 to monthly bills of 1,000 kilowatt hours of use, according to citiesservedbyoncor.org, a consumer interest group of 140 North and Central Texas cities served by Oncor.
In July, the City Council approved a resolution suspending the rate increase for 90 days, to give officials time to review it.
The steering committee of the Cities Served by Oncor group, in its review, found the rate request to be “excessive.”
Assistant City Manager Adrienne Lothery said at the Oct. 8 meeting that the resolution opposing the increase could lead to a more reasonable outcome from the Public Utility Commission.
“I don’t want to set expectations that we’re going to come out of this with no increase,” Lothery told council members. “That’s unlikely.”
Compared to the Texas Railroad Commission, which regulates the oil and gas industry and rates, “we’ve had a far better track record with reasonable outcomes from the Public Utility Commission,” Lothery told council members.
“By denying it tonight,” Lothery added, “I think we stand a decent chance at a reasonable increase, or at least a more reasonable increase, to be determined by the Public Utility Commission.”
After Lothery spoke, Colleyville Mayor Bobby Lindamood added: “That’s unbelievable how much they’re wanting to increase. I’ll get on my soapbox about it a little bit. People are struggling right now, and it’s tough on folks.”
To learn more about how the transcript that informed this report was created, visit covergov.com.
Eric Zarate is a freelance journalist. Scott Nishimura contributed reporting to this story and is senior editor for the Report’s Documenters program.
If you believe anything in these notes is inaccurate, please email us at news@fortworthreport.org with “Correction Request” in the subject line.
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