RES 2013-02TOWN OF TROPHY CLUB
RESOLUTION 2013-02
A RESOLUTION OF THE TOWN OF TROPHY CLUB, TEXAS,
ENDORSING CERTAIN LEGISLATIVE ACTION IN THE REGULAR
SESSION OF THE 83RD TEXAS LEGISLATURE TO ENHANCE THE
COMPETITIVE ELECTRIC MARKET AND SYSTEM RELIABILITY AND
TO PROTECT THE TRADITIONAL ROLE OF CITIES IN THE
REGULATORY PROCESS
WHEREAS, the Town of Trophy Club, Texas is a member of Texas Coalition for
Affordable Power ("TCAP"), a non-profit political subdivision created by cities throughout
Texas to secure affordable electric energy for its members in the deregulated electric
market; and
WHEREAS, TCAP pools the energy needs of its more than 160 political
subdivision members to negotiate favorable prices and contract terms for the purchase
of approximately 1.3 billion kilowatt hours annually; and
WHEREAS, affordable and reliable power means economic development for the
Town and a better standard of living for our citizens; and
WHEREAS, the Town supports legislative initiatives that promote a healthy
electric market where competition can flourish and electric customers can save money;
and
WHEREAS, the Town endorses the legislative agenda of TCAP and opposes
legislative initiatives that would fundamentally alter the ERCOT energy market or the
traditional role of cities in the regulatory process.
THEREFORE BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
TROPHY CLUB, TEXAS, THAT:
Section 1. The Regular Session of the 83 rd Texas Legislature be encouraged
to preserve the traditional role of cities in the regulatory process, including original
jurisdiction and reimbursement of reasonable rate case expenses.
Section 2. The Legislature make no statutory changes that would lead to a
reduction in revenues paid by public utilities as franchise fees for rental of public rights
of-way.
Section 3. The Legislature facilitate and encourage public/private partnerships
between cities and electric generation developers in creating small-scale (not to exceed
50 MW) power plants capable of rapidly meeting peak power needs.
Section 4. The Legislature recognize that "smart meters" are under-utilized
with regard to encouraging and incentivizing reductions in energy consumption during
peak periods and that the regulated transmission and distribution utilities which own the
"smart meters" be allowed to re-enter the retail electric market to the extent they offer
regulated rate plans designed to incent reductions in peak energy consumption.
Section 5. The Legislature preclude foreign ownership of electric distribution
assets and make it clear that, notwithstanding any other provision in law, home rule
cities, individually or collectively, shall be permitted to own and operate electric
distribution assets so long as said cities are not involved in retail sales of electricity.
Section 6. The Legislature resist any efforts to transform the energy-only
ERCOT market into a capacity market which would increase the price of electricity by
artificially inflating generator profits.
Section 7. The Legislature enhance protections against anti-competitive
activities in the wholesale market and require the Public Utility Commission ("PUC") to
reform its rules related to Voluntary Mitigation Plans and allow cities and other
interested parties to participate in review of such plans.
Section 8. The Legislature mandate that the PUC and market participants
provide consumer education regarding the relationship between time of use, cost of
energy production and transmission, and the price paid by consumers.
Section 9. The Legislature require the PUC to establish certain uniform
products that must be offered by all retail electric providers ("REPs") and to establish
new rules governing the powertochoose.org and powertosavetexas.org websites that
will better inform retail customers of complaints against REPs and better educate
customers regarding the economic and market benefits of reducing demand during
peak periods.
Section 10. This resolution shall take effect immediately upon its passage.
Section 11. A copy of this resolution shall be sent to the elected lawmakers
representing the City's interests in the Texas House and Senate and to Randolph C.
Moravec, Executive Director of TCAP, 15455 Dallas Parkway, Addison, Texas 75001.
PASSED and APPROVED by the Town Council of the Town of Trophy Club,
Texas on this 7th day of January, 2013.
~'l~
C6'nnie White, Mayor
Town of Trophy Club, Texas
ATTEST:
RES 2013-01 Page 2 of2