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<br /> 48 <br /> RMI <br /> RESOURCE MANAG'E,MENT <br /> INTERNATIONAL, INC. <br /> July 6, 1990 <br /> Mr. Larry Gilley <br /> City Manager <br /> City of San Marcos <br /> 630 East Hopkins <br /> San Marcos, Texas 78666 <br /> Dear Larry: <br /> In early June, your City Council authorized RMI's <br /> services on behalf of the San Marcos Electric Utility to <br /> assist your attorneys in the current rate proceeding of the <br /> Lower Colorado River Authority before the Texas Public <br /> Utility Commission. At that time, the City Council <br /> authorized RMI's compensation not to exceed $25,000. <br /> As we explained to you incorrespondenL;e prior to the <br /> City Council's action, it is hard to estimate RMI's total <br /> compensation because of the many variables involved with a <br /> litigated rate case. These variables include the number of <br /> points which need to be investigated, researched and <br /> rebutted in the direct case; delqys in the proceeding such <br /> as those recently granted by the hearing examiner upon <br /> motion of LCRA; the amount of cross-examination, including <br /> preparation therefor and responses; and the number of <br /> points, depth of analysis and delays in LCRA's redirect. <br /> As of today, weare finalizing our prepared direct <br /> testimony for submission by Sawtelle Goode Davidson & Troilo <br /> to the POCo Through June 30, 1990, we anticipate our <br /> compensation will have accrued to approximately $22,500, <br /> including the invoice submitted to yollr City in June for May <br /> services in theamollnt of approximately $12,440. Since June <br /> 30, we estimate that we have completely used San Marcos' <br /> authorized compensation of $25,000. <br /> Based on our previous communications j were,guest that <br /> San Marcos authorize anadd.i tional $15,000 for RMI I S <br /> compensation, bringing the total to $40,000. As we noted <br /> 13740 RESEARCH BOULEVARD, BUILDING a,SUITE 1. AUSTIN, TX 78750. (512) 331-9905. FAX(512) 331c0934 <br /> CORPORATE HEA[)QUARTERS: SACRAMENTO, CA .(916) 852-1300 <br /> ALBANY, NY COLUMBU5, OH ORLANDO, FL PORTLAND, OR PHOENIX, AZ WEST PALM BEACH, FL <br />