RESOLUTION No. 36327

Authorize the City Attorney to intervene and participate in the Oregon Public Utility Commission review of the application of Portland General Electric for authority to issue common stock and for Stephen Forbes Cooper, LLC to exercise substantial influence over Portland General Electric (Resolution)

WHEREAS, On June 17, 2005, this Commission received an application from Portland General Electric for an Order Authorizing the issuance of 62,500,000 shares of new common stock. Accompanying PGE’s application was an application from Stephen Forbes Cooper, LLC for an Order to acquire power to exercise substantial influence over the affairs and policies of Portland General Electric; and,

WHEREAS, PGE is one of two electric utilities serving customers within the City of Portland, providing electricity services and utility management; and,

WHEREAS, the City Council is responsible for the orderly management of public rights-of-way within the City of Portland; and,

WHEREAS, Portland’s home rule charter grants broad authority to the Council for overseeing utility activities within the City, including the granting of franchises and issuing permits; and,

WHEREAS, Portland regulates utility use of public streets in constructing, operating and maintaining poles, conduits and other facilities under Title 17 of the City Code; and,

WHEREAS, existing City policies encourage resource conservation, and the efficient provision of services for low income consumers and small businesses; and,

WHEREAS, PGE claims to operate in Portland under five franchises issued before the turn of the twentieth century. While the continuing legal validity of these franchises is unresolved, PGE and the City of Portland are actively negotiating for a modern franchise agreement to replace the antiquated franchises; and,

WHEREAS, participating as a party in the Commission’s review of PGE and Cooper’s application would permit the City to: (1) obtain important information regarding the terms of this corporate transaction; (2) be informed of other parties’ actions and comments; and, (3) be actively involved in advocating for the benefit of Portland citizens; and,

WHEREAS, potential impacts upon PGE’s rates, services and other matters will not be available to persons with non-party status in the proceeding, nor may non-parties submit comments in the proceeding;

NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Portland, that the City Attorney is hereby authorized and directed to intervene on behalf of the City as a full party in Oregon Public Utility Commission review of PGE and Cooper’s applications, and such subsequent proceedings as may occur, to present the City’s views and protect its interests and the interests of its citizens as may be necessary.

BACKING SHEET INFORMATION

AGENDA NO. 723-2005

ORDINANCE/RESOLUTION/COUNCIL DOCUMENT NO. 36327