RESOLUTION No. 36397

Authorize the City Attorney to intervene and participate in a series of tariff filings by Portland General Electric and PacifiCorp which propose to significantly increase customer rates (Resolution)

WHEREAS, Portland General Electric, (“PGE”), has filed a General Rate Case Filing with the Oregon Public Utility Commission (“OPUC”) to increase customer rates by 8.9 percent overall to recover $85.1 million of additional revenue plus $44.9 million for a new natural gas generation facility named Port Westward. In the Matter of the Revised Tariff Schedules for Electric Service in Oregon filed by PORTLAND GENERAL ELECTRIC COMPANY, Oregon Public Utility Commission UE 180; and

WHEREAS, PacifiCorp has filed with the Oregon Public Utility Commission for approval of revised tariffs to increase customer rates by 13.2 percent overall to recover approximately $112 million. In the Matter of PacifiCorp’s Filing of Revise Tariff Schedules, Oregon Public Utility Commission UE 179; and

WHEREAS, increases in PGE’s and PacifiCorp’s rates would have significant economic impacts upon Portland electricity customers, including industry, small and larger businesses, residents, low-income households, and public agencies; and

WHEREAS, the City of Portland is a large customer of both PGE and PacifiCorp with over 900 accounts and annual utility billings of approximately $11.3 million, and has an interest in the future effects of changing utility rates; and

WHEREAS, the City of Portland has broad authority under its home rule charter to oversee the activities of utilities within its boundaries, including through the establishment of franchises and the issuance of permits, and is also responsible for the orderly management of public rights-of-way within its boundaries; and

WHEREAS, existing City policies (Local Action Plan for Global Warming, CO2 Reduction Strategy and Sustainable City Principles) encourage the conservation of resources, the provision of services for low income consumers and small businesses, the creation of a healthy, competitive business environment and support of affordable housing; and

WHEREAS, the Office of Sustainable Development has actively participated in electric utility restructuring discussions, statewide energy policy matters and electric rate issues for the benefit of residents and businesses as well as city-owned facilities; and

WHEREAS, the City Street Lighting and Traffic Signals systems, managed by the Office of Transportation pay approximately $4.4 million annually, and will experience rate increases two times that of other electric customer classes; and

WHEREAS, the Bureaus of Environmental Services and Water Works spend approximately $2.7 and $1.9 million respectively and million to purchase electricity for wastewater treatment and domestic water supply; and

WHEREAS, participation by the City as a party in these OPUC filings would permit the City to: (1) obtain important information regarding rates, services and other matters not readily available to persons with non-party status; (2) be informed of other parties actions and comments in this proceeding, and (3) influence the outcome of the proceeding for the benefit of the citizens of Portland;

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 proceedings UE 179 and UE 180 to present the City's views and protect its interests as necessary.

BACKING SHEET INFORMATION

AGENDA NO. 473-2006

ORDINANCE/RESOLUTION/COUNCIL DOCUMENT NO. 36397