Title
Consider/Discuss/Act on A Resolution of the City of McKinney, Texas Finding That Oncor Electric Delivery Company LLC’s Application to Amend Its Distribution Cost Recovery Factor and Update Generation Riders to Increase Distribution Rates Within the City Should Be Denied; Authorizing Participation With the Steering Committee of Cities Served by Oncor; Authorizing Hiring of Legal Counsel; Finding That the City’s Reasonable Rate Case Expenses Shall Be Reimbursed by the Company; Finding That the Meeting at Which This Resolution Is Passed Is Open to the Public as Required by Law; Requiring Notice of This Resolution to the Company and Legal Counsel
Summary
COUNCIL GOAL: Fiscally Sound Government
MEETING DATE: August 15, 2023
DEPARTMENT: City Manager’s Office
CONTACT: Trevor Minyard, Director of Strategic Services
RECOMMENDED CITY COUNCIL ACTION:
• Approval of the resolution.
ITEM SUMMARY:
• The resolution authorizes the City to join with the Steering Committee of Cities Served by Oncor (“OCSC”) to evaluate the filing, determine whether the filing complies with law, and if lawful, to determine what further strategy, including settlement, to pursue.
BACKGROUND INFORMATION:
• On June 30, 2023, Oncor Electric Delivery Company, LLC (“Oncor” or “Company”) filed an Application to Amend its Distribution Cost Recovery Factor (“DCRF”) and Update its Mobile Generation Riders to increase distribution rates within each of the cities in its service area.
FINANCIAL SUMMARY:
• In the filing, the Company asserts it is seeking an increase in distribution revenues of approximately $152.78 million. The Company is also seeking to update its Rider Mobile Generation and Rider Wholesale Mobile Generation to recover revenue related to mobile generation unit leasing and operation. The Rider would recover approximately $1.07 million.
BOARD OR COMMISSION RECOMMENDATION:
• N/A