Entergy rate hike a hot topic for City

The Navasota City Council held a Regular Meeting Monday, July 11, and approved the first reading of Ordinance No. 999-22 authorizing suspending the proposed Aug. 5 effective date of Entergy Texas, Inc.’s rate increase application by 90 days to Nov. 3.

According to City Manager Jason Weeks, on July 1 Entergy Texas, Inc. filed a statement of intent for a systemwide base rate increase of $13.4 million annually, an 11.2% increase over current rates, excluding fuel costs. If approved by the PUC (Public Utilities Commission), the average monthly increase would be approximately $13.50 for residential customers using 1,000 kilowatt-hour per month.

Steering committee to review request

Per the Public Utility Regulatory Act (33.001a), cities have exclusive original jurisdiction over the rates, operations and services of an electric utility in the municipality and are required to determine reasonable rates. Entergy would like the rate increase to become effective Aug. 5 and the City must approve, deny, modify or suspend the rate increase request before that date.

The City of Navasota is a member of a steering committee comprised of municipalities that have hired The Lawton Law Firm, P.C. to review Entergy’s proposed rate request to determine its merit and provide legal counsel. It was clarified that the City voting to deny would not necessarily stop Entergy’s rate increase.

City legal counsel Cary Bovey said, “It will typically come to resolution by arguing of the lawyers on both sides about what would be an appropriate increase. The City has been a member of this steering committee for several years and they have been actually pretty effective at minimizing increases so I also concur with the recommendation to suspend approval of the rate. It will get appealed to the PUC and they’ll fight about it at that level.”

Green deal rate hike?

Speaking during public comments, resident Connie Clements supported suspension of the rate request but noted that this request was higher than Entergy’s usual rate increase request. Based on her interpretation of the public notice (July 6 Navasota Examiner), she attributed it to provisions for electric cars, and voiced her objection to being charged for things she doesn’t support or endorse.

Bovey said, “That’s going to be the exact kind of thing that the steering committee the City of Navasota is a part of will raise those types of issues.”

According to Bovey, issues such as, ‘What does this have to do with the residential customers that y’all are serving? You shouldn’t be raising the rates for residential customers for that kind of activity.’

Bovey said, “They’re going to have to justify it.”

As for communicating concerns to an authority higher than city council, Bovey said Clements’ comments can be passed on to the steering committee as a concern raised at a council meeting by a citizen.

Bovey said, “Their goal is to minimize any rate increase or rate impact on residential, business and industrial customers – all the customers served by Entergy within the City.”

Other council action:

•Council approved Resolution No. 998-22, an annexation request submitted by James Hassell for a 1.310-acre tract and a second voluntary annexation request submitted by J&H Development for a 1.567-acre tract setting the date, time and place for a public hearing for July 25, 6 p.m. in council chambers.

•Approved Consent Agenda which included minutes and expenditures for the month of June and the second reading of Ordinance No. 997-22, a voluntary annexation request submitted by Anthony Cunneen.

Reports from City staff/ officials to council

•Recognized Matt Julian, Water/Wastewater Plant Operator for 15 years of service to the City.

•Human Resources Director Peggy Johnson introduced two new employees: Michael Lopez, Park and Facilities Maintenance Laborer and Vehicle Services Technician Sky Bradshaw.

View city council meetings in their entirety at www.navasotatx.gov/ city-council/pages/meeting-videos.