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166. RESOLUTION NO. 2005- 1 04 R A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS,TEXAS, AUTHORIZING REVIEW OF A PROPOSED INCREASE IN RATES OF CENTERPOINT ENERGY IN THE CITY; SUSPENDING THE PROPOSED RATES FOR NINETY DAYS; AUTHORIZING FORMATION OF A COALITION OF CITIES AND A STERRING COMMITTEE; DESIGNATING A REPRESENTATIVE TO SERVE ON THE STEERING COMMITTEE; REQUIRING REIMBURSEMENT OF MUNICIPAL RATE CASE EXPENSES; AND DECLARING AN EFFECTIVE DATE RECITALS: 1. On or about June 30, 2005 CenterPoint Energy ("CenterPoint") filed with the City Clerk a Statement of Intent to Change Rates notifying the City that CenterPoint proposed to increase its rates and revenues for gas utility services provided by CenterPoint in the City. 2. According to CenterPoint, the change in rates contained in the Statement of Intent to Change Rates (the "Proposed Rates") is proposed to take effect on August 4, 2005 (the "Proposed Effective Date"). 3. In order to properly review the Proposed Rates, the City Council detemlines that it is necessary for the City to suspend the operation of the Proposed Rates for ninety days from the Proposed Effective Date. 4. In order to properly and efficiently review the Proposed Rates, the City COlUlcil detennines that it would be helpful for the City to join with other cities affected by rate changes proposed by CenterPoint to form a coalition of cities to evaluate and make recommendations related to the Proposed Rates. 5. The coalition of cities shall operate through a Steering Committee composed of members designated by the governing bodies ofthe participating cities. 6. Pursuant to Section 103.022 of the Texas Utilities Code, the City will require that its reasonable expenses related to the review of the Proposed Rates are reimbursable by CenterPoint. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS: