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o~ fI) lJ."') 0 c::J ~e c::J a:cu w~ l:"J w~ ~, ...Ie ~ ..... Ocu >-00 -' ....- => -0 0>. !;( -, - (3 68. ORDINANCE NO. 2005- 70 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, REVISING THE CITY'S ELECTRIC UTILITY RATE SCHEDULES TO INCREASE THE KILOWATT HOUR ENERGY CHARGE FOR ALL CUSTOMERS; INCLUDING PROCEDURAL PROVISIONS; AND PROVIDING FOR PENALTIES RECITALS: 1. The Lower Colorado River Authority ("LCRA") completed a Revenue Analysis for the Electric Utility Department in the fall of 2004 to (1) determine whether the monthly Power Cost Adjustment calculation is functioning properly, (2) review the Texas State University monthly billing process, (3) compare actual revenues to revenue requirements, and (4) restructure the retail pricing rates; and LCRA submitted findings and recommendations to the City Council. 2. The City Council, in connection with the adoption of Ordinance No. 2005-8 in January of 2005, directed the City staff to implement periodic gradual increases in the kilowatt hour (KWh) energy charge for all customers. 3. The City staff, in connection with the proposed 2005-06 City budget, has presented a historical perspective of the financial condition of the Electric Utility Fund, and a 10-year financial forecast for the Fund, and the staff has recommended changes to the City's Electric Utility Rate Schedules to A) increase the kilowatt hour energy charge for all customers, B) achieve cost-based pricing, C) unbundle rates as to generation, transmission and distribution charges, D) combine rate classes, E) lower the demand charge for Medium and Large General Service customers, and F) implement Key Account pricing. 4. The City Council conducted a public hearing on August 16, 2005 on the proposed revisions to the Electric Utility Rate Schedules. 5. The City Council wishes to implement the recommendations of the City staff. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS: SECTION 1. The City's electric utility rate schedules established under City Code Section 86.167 are repealed and are replaced by the revised electric utility rate schedules attached to this ordinance. SECTION 2. If any word, phrase, clause, sentence, or paragraph of this ordinance is held to be unconstitutional or invalid by a court of competent jurisdiction, the other provisions of this ordinance will continue in force if they can be given effect without the invalid portion.