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HomeMy WebLinkAboutResolution - 022455F - Railroad Commission Services In Gas Rate Matters - 02/24/195502_24SS F ' RESOLUTION ON RAILROAD COMMISSION SERVICES IN GAS RATE 21,7ATTERS WHEREAS, Articles 6050 to 6066, inclusive, Revised Civil Statutes, authorize, empower and direct the Railroad Commission of Texas to: (1) regulate and fix reasonable rates of charges for natural gas, (2) hear appeals by gas companies from rates fixed by city governments and determine reasonable rates, (3) defend in court, rates fixed by the Commission where the gas company appeals from the Commission's orders, and (4) employ accountants, engineers, experts and other persons necessary to enable it at all times to imspect the property and records of gas companies; WHEREAS, gas companies are required to pay the State one-fourth of one per cent of their quarterly gross receipts to finance the Gas Utilities Division of the Railroad Commission, which amounts to more than $ 500, 000 annually; WHEREAS, Article 6066 limits the total annual amount which may be spent by the Gas Utilities Division to not more than $70, 000, thus leaving more than $ 300, 000 annually to be diverted to the States General Revenue Fund; WHEREAS, cities and towns and their citizens are being required to supply not only their own rate consultants, but are now expected to furnish expert attor- neys and engineers to help the Railroad Commission defend rate cases appealed from decisions of the Commission to the District Courts in Travis County; and WHEREAS, the State Legislature and the Railroad Commission should do what- ever is necessary to change the policies and laws of the State so as to equip the Commission to do the job it is directed by law to do; lei Resolved b the :�`',>;t., ` , y of the City of ` ` x , 7 Section 1. The members of the governing body of the City ofd , Texas, hereby petition the 54th Legislature and the Railroad Commission of 'Texas to do whatever is necessary to make available to the Railroad Commission suffi- cient funds to allow it to perform its duties and powers as set out in Articles 6050 to 6066, inclusive, Revised Civil Statutes of Texas, and specifically we request that Article 6060 be amended so as to remove the $ 70, 000 limitation on annual expenditures by the Gas Utilities Division, thus leaving the total expenditures to be fixed by the biennial appropriation bills. Section 2, We urgently request the Railroad Commission to do all that is in its power to finance the defense of pending cases against the Commission. Section 3. It is hereby directed that the iVlayor shall send copies of this Resolu- tion to the State Senator and Representatives from this District and to the Railroad Commission at Austin, Texas. Passed and approved this the ATTEST: City Secretary J_ day of 16 19oSv o �BV� Fri; 1Vlay6r,—city of = y . The League ®f Texas Municipalities OZ2"5 108 EAST 19TH STREET, AUSTIN 1, TEXAS r" February 16, 1955 TO THE MAYOR AND MEMBERS OF THE GOVERNING BODY OF ALL MEMBER CITIES Re: Services of the Railroad Commission in Gas Rate Matters Greetings: Please consider this letter as being a petition to your City Council or City Commission from the Executive Committee of the League of Texas Municipalities. At a recent meeting of the Executive Committee of the League, the mat- ter of the lack of accountants, engineers, attorneys and other experts was discussed at length. It was reported to the Executive Committee that the cities are expected to furnish expert attorneys and engineers to assist the Railroad Commission and the Attorney General in defending gas rate cases which gas companies are appealing from decisions of the Railroad Commission to the district courts in Travis County. It was re- ported that the City of Pampa recently put up $ 2, 500 to employ an engi- neer to assist the Railroad Commission in defending an appeal in the Pampa gas rate case to the district court. OIt now appears that the Cities of Alice, Alvin Edna and Port Lavaca are being called upon to put up $ 5, 000 to employ an attorney and an engi- neer to assist in defending a district court suit against the Railroad Com- mission. The Executive Committee directed me to prepare a sample resolution to be submitted to all of the 572 member cities with the request that the City have prepared a similar resolution to be adopted by the governing body of the City and forwarded to the Senator and Representatives of their district as well as to the Railroad Commission in Austin. A copy of the sample resolution is enclosed. The Executive Committee also requested that a copy of the resolution adopted by your City be sent to the League Office. We urge you to see that this matter is presented to your governing body at its next meeting - or sooner, if a meeting can be called. Sincerely yours, E. E. McAdams, Executive Director EEM:mp Encls. ' f — AW 022A+SSF - r�� RESOLDTION ON RAILROAD CONLMISSION SLKRVICES IN GAS RATE MATTERS WHEREAS, Articles 6050 to 6066, inclusive, Revised Civil Statutes, authorize, empower and direct the Railroad Commission of Texas to: (1) regulate and fix reasonable rates of charges for natural gas, (2) hear appeals by gas companies from rates fixed by city governments and determine reasonable rates, (3) defend in court, rates fixed by the Commission where the gas company appeals from the Commissionts orders, and (4) employ accountants, engineers, experts and other persons necessary to enable it at all times to inspect the property and records of gas companies; WHEREAS, gas companies are required to pay the State one-fourth of one per cent of their quarterly gross receipts to finance the Gas Utilities Division of the Railroad Commission, which amounts to more than $4002000 annually; WHEREAS, Article 6066 limits the total annual amount which may be spent by the Gas Utilities Division to not more than $70,000, thus leaving more than $300,000 annually to be diverted to the States General Revenue Fund; WHEREAS, cities and towns and their citizens are being required to supply not only their own rate consultants, but are now expected to furnish expert attorneys and engineers to help the Railroad Commission defend rate cases appealed from decisions of the Com- mission to the District Courts in Travis County; and WHEREAS, the State Legislature and the Railroad Commission should do whatever is necessary to change the policies and laws of the State so as to equip the Commission to do the job it is directed by law to do; THEREFORE; BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LUBBOCK: Section 1. The members of the governing body of the City of Lubbock, Texas, hereby petition the 54th Legislature and the Railroad Commission of Texas to do whatever is necessary to make available to the Railroad Commission sufficient funds to allow it to perform its duties and powers as set out in Articles 6050 to 6066, inclusive, Revised Civil Statutes of Texas, and specifically we request that Article 6066 be amended so as to remove the $70,000 limitation on annual expenditures by the Gas Utilities Division, thus leaving the total expenditures to be fixed by the biennial appropriation bills. Section 2. We urgently request the Railroad Commission to do all that is in its power to finance the defense of pending cases against the Commission. Section 3. It is hereby directed that the Mayor shall send copies of this Resolu- tion to the State Senator and Representatives from this District and to the Railroad Commission at Austin, Texas. Passed and approved this the 24th day of February, 1955. ATTEST: City e8ecretary VEW: gr oz24� CITY MANAGER TO: lute - e i! ��• ok » ori City of LubboW