HomeMy WebLinkAboutResolution - 2011-R0083 - Determine What Constitutes Competitive Matters - Disclosure Requirements - 02_10_2011Resolution No. 2011-R0083
February 10, 2011
Item No. 6.2
RESOLUTION
WHEREAS, Texas Government Code, Section 552.133 provides that a
governing body of a public electric utility may withhold from public disclosure certain
information it deems in good faith to be competitive information; and
WHEREAS, the City Council of the City of Lubbock, Texas, a home -rule
municipal corporation, by way of Resolution No. 1999-R6559, attached hereto for
purposes of reference only, deemed in good faith and in accordance with above
referenced state statute, that certain categories of information related to its municipally
owned electric utility, Lubbock Power & Light ("LP&L"), were competitive in nature,
and that the disclosure of which could place LP&L at a competitive disadvantage; and
WHEREAS, after Resolution No. 1999-R6559 was passed, the City Charter of
the City of Lubbock was amended by adding Chapter 1, Article XII, Section 1
establishing the Electric Utility Board to govern, manage, and operate LP&L, with the
City Council approving LP&L's budget, rates, debt issuance, and use of eminent
domain; and
WHEREAS, on October 29, 2010 the City of Lubbock finalized a transaction
whereby the City purchased extensive portions of Southwestern Public Service
Company's distribution assets within the service territory of LP&L, thus eliminating
door-to-door competition in most parts of the City of Lubbock; and
WHEREAS, a significant portion of certain electric generation, transmission,
and system operation information is required to be kept confidential by certain rules and
regulations promulgated by the Federal Energy Regulatory Commission and the
National Electric Reliability Council for security purposes; and
WHEREAS, due to the above mentioned acquisition, the establishment of the
Electric Utility Board, the change in federal laws and regulations, and to improve the
transparency of LP&L, the City Council deems it advisable to reclassify that
information which may be designated as competitive under Section 552.133 of the
Texas Government Code; and
WHEREAS, the City Council of the City of Lubbock deems that it would be in
the best interest of the City of Lubbock, its citizenry, as well as LP&L to repeal in its
entirety Resolution No. 1999-R6559, and replace it with this resolution defining
"competitive matter" for the purpose of protecting the competitive position of its
electric utility as provided for in Section 552.133 of the Texas Government Code;
NOW THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
PART 1: Competitive Matter (herein so called): For the purposes of application
of Section 552.133 of the Texas Government Code, which provides for exception to
disclosure for public power utility competitive matters, the following categories of
information are determined by the City Council of the City of Lubbock, in the exercise
of good faith, to be Competitive Matters, the disclosure of which would give advantage
to competitors or potential competitors:
(A) Financial/Business Operation Information, including but not limited to:
(1) Strategic and business plans and studies;
(2) Fuel pricing and usage;
(3) Fuel hedging;
(4) Personnel staffing levels and compensation for the public power
utility's employees not reporting directly to the Chief Executive
Officer or to the Electric Utility Board;
(5) Contracts or proposals for retail energy sales;
(6) Assessments, plans or strategies related to acquisition of other
utilities;
(7) Reports, summaries or other documentation describing executive
pay and employment prerequisites for the public power utility's
employees not reporting directly to the Chief Executive Officer or
to the Electric Utility Board;
(8) Consulting reports;
(9) Financial, accounting or statistical data submitted confidentially
to industry groups or other third parties regarding Competitive
Matters;
(10) Information or data related to firms supplying goods or services
related to the municipally owned utility;
(11) Alliance, and joint venture and aggregation information for power
generation or sales;
(12) Internal audit reports.
(B) Purchasing and Contract Information, including but not limited to:
(1) Power supply (energy and capacity) pricing, proposals and
contracts;
(2) Power sales pricing, proposals and contracts;
(3) Fuel contracts and proposals;
(4) Power purchase contracts and proposals;
(5) Purchasing information relating to competitive matters, including
bids, specifications, proposals, contracts and bid results;
(6) Fuel transportation pricing and contracts;
(7) Negotiations, modeling, data, correspondence, drafts and
memoranda related to negotiations and consideration of the above
contracts and pricing.
(C) Competitive Customer Information, including but not limited to:
(1) Customer lists or identification data, consumption data, or
rate/billing/account data.
PART 2. Information or records of the City of Lubbock, in any media, that are
reasonably related to a Competitive Matter as defined in PART 1 above are excepted
from the disclosure requirements of Chapter 552 of the Government Code.
PART 3. Members of the City Council and the Electric Utility Board shall have
access to all information regarding, maintained by, or in possession of Lubbock Power
& Light regardless of whether such information is defined as a Competitive Matter.
PART 4. The City Council of the City of Lubbock reserves the right to
supplement or amend the list of Competitive Matters set out in this Resolution from
time to time by addition or deletion or as determined case -by -case, as may be
appropriate and desirable in a manner consistent with the interests of the City and its
electric utility customers, and with the protections authorized by law.
PART 5. Notwithstanding the enumeration otherwise, this Resolution shall not
deem a Competitive Matter any matter excluded from the definition of "competitive
matter" described in Section 552.133 of the Texas Government Code.
Passed by the City Council this February 10 , 2011.
01
TOM MARTIN, MAYOR
ATTEST:
Re e a Garza, City Secretary)
APPROV AS TO C'O TENT:
s
APPROVED AS TO FORM:
Sam Medina, City A4 ey
I .. f
Resolution No. 2011-R0083
Zm olution No. 6559
Oct. 14. 1999
Item No. 62
WHEREAS, Senate Bill 7 enacted into law by the 76* Session of the Texas
Legislature and signed by the Governor on June 18, 1999, with an effective date of
September 1, 1999, amends Subchapter C, Chapter 552, Government Code, by adding
Section 552.131 to provide a new exception to disclosure for public power utility
competitive matters; and
WHEREAS, Senate Bill 7 defines "competitive matter" as a utility -related
matter that the public power utility governing body in good faith determines by a
majority vote is related to the public power utility's competitive activity, including
commercial information, and would, if disclosed, give advantage to competitors or
prospective competitors; and
WHEREAS, the City of Lubbock, Texas, a home -rule municipal corporation, in
the State of Texas, owns and operates a municipal electric utility; and
WHEREAS, the City Council of the City of Lubbock, as the governing body of
the municipally owned electric utility, desires to adopt this RESOLUTION defining
"competitive matter" for the purpose of protecting the competitive position of its
electric utility as provided for in Senate Bill 7; NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
PART 1: Competitive Matter (herein so called): For the purposes of application
of Section 552.131 of the Government Code, which provides for exception to
disclosure for public power utility competitive matters, the fallowing categories of
information are determined by the City Council of the City of Lubbock, in the exercise
of good faith, to be Competitive Matters, the disclosure of which would give advantage
to competitors or potential competitors:
(A) Financial Information, including but not limited to:
(1) Strategic and business plans and studies,
(2) Rate and pricing strategies and studies:
(3) Revenue and expense projections and targets;
(4) Fuel pricing and usage;
(5) Fuel hedgingtrisk management strategies;
(6) Cost of service studies;
(7) Capital improvements and project plans and studies;
(8) Target electric generation and production levels;
(9) Operation and capital statements - actual to budget performance
information;
(10) Business forecasts.
Page t of 4
A Purchasing and Contract Information, including but not limited to:
(1) Power supply (energy and capacity) pricing, proposals and
contracts;
(2) Power sales pricing, proposals and contracts;
(3) Fuel contracts and proposals;
(4) Stored/reserve fuel supply;
(5) Power purchase contracts and proposals;
(6) Purchasing information relating to competitive matters, including
bids, specifications, proposals, contracts and bid results;
(7) Fuel transportation pricing and contracts;
(8) Negotiations, modeling, data, correspondence, drafts and
memoranda related to negotiations and consideration of the above
contracts and pricing.
(C) Business Operations Information, including but not limited to:
(1) Work management studies, system configuration and system
data;
(2) Benchumarking data, surveys, reports and other information;
(3) Market plans, studies, and strategies;
(4) Personnel staffing levels and compensation;
(5) Cost of service studies;
(6) Internal business performance information;
(7) Energy and bulling information;
(8) Internal cost assignments and allocation methodology;
(9) Financial planning, sensitivity and scenario analyses;
(10 Competitive Intelligence systems and information;
(11) Product design information;
(12) Forecast of sales and revues
(13) . Safesi-and promotion strategies, plans, contracts, proposals and
budgets (historical and forecast);
(14) Contracts or proposals for retail energy sales;
(15) Sales incentive plans;
(16) Strategies, plans, contracts, proposals and budgets regarding
marketing research;
(17) Strategies, plans, contracts, proposals and budgets regarding
analyses, sales and marketing and promotion of retail products
and services, or the development of same;
(18) Research regarding energy loads;
(19) Corporate business plans;
(20) Assessments, plans or strategies related to acquisition of other
utilities;
(21) Strategies, plans or studies regarding debt allocation or
refunding;
(22) lawmal audit reports;
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(23) Reports, summaries or other documentation describing executive
pay and employment mites;
(24) Consulting reports;
(25) Financial, accounting or statistical data submitted confidentially
to industry groups or other third parties regarding Competitive
Matters;
(26) Information or data related to firms supplying goods or services
related to the municipally owned utility;
(27) Alliance,. and joint venture and aggregation information for
power generation or sales.
(D) Generation/System Operations Information, including but not limited to:
(1)
Generating unit operating and performance data, including heat
rates;
(2)
En&ft- ing and design of generation units and
triaLudssion/distri cation system;
(3)
Control system design and capabilities;
(4)
schedules;
(5)
Load and generation forecasts;
(b)
Generation/Distribution system improvement plans, studies and
work papers;
()
Generation unit and system audits;
(8)
Non -fuel procurement activities;
(9)
Data, studies, plans or contracts related to the acquisition,
disposition or exchange of generation facilities, equipment or
other property;
(10)
Generation unit, generation system, and facility construction and
project management plans and system operating and performance
d-. .
(11)
Generation control system, design and capabilities;
(12)
System improvement evaluations and recommendations,
including economic evaluations;
(13)
Maintenance policies and processes;
(14)
Operation management planning information.
(E) Competitive Customer Information, including but not limited to:
(1) Customer lists or ideatiification data, consumption data, or
rate/billing/account data.
PART 2. Information or records of the City of Lubbock, in any media, that are
reasonably related to a Competitive Matter as defined in PART 1 above are excepted
from the disclosure requirements of Chapter 552 of the Government Code.
Page 3 of 4
x
PART 3. The City Council of the City of Lubbock reserves the right to
supplement or amend the list of Competitive Matters set out in this Resolution from
time to time by addition or deletion or case -by -case determinations as may be
appropriate and desirable in order to continue to operate and manage the City of
Lubbock electric utility in a manner consistent with the interests of the City and its
electric utility customers, and with the protections authorized by Senate Bill 7.
PART 4. Notwithstanding the enumeration otherwise, this Resolution shall not
deem a Competitive Matter any matter excluded from the definition of "competitive
matter" described in Section 552.131(a)(3) (A-M) of the Governmea Code.
Passed by the City Council this 14th day of October 1999.
APPROVED AS TO CONTENT:
Paul mpson
Managing Director Electric Utilities
APPROVED AS TO FORM:
,&.: e,, �,- 2 (;�' -, -
IMER K. asner
Natural Resources Attorney
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