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HomeMy WebLinkAbout10772 City Clerk's Office Item # S1 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: August 26, 2024 TO: President Mark Aliff and Members of City Council CC: Mayor Heather Graham VIA: Marisa Stoller, City Clerk FROM: Carla Sikes, City Attorney SUBJECT: AN ORDINANCE APPROVING AN ENGAGEMENT AGREEMENT WITH KONCILJA ENERGY LAW AND POLICY FOR REPRESENTATION IN PUBLIC UTILITIES COMMISSION PROCEEDING NO. 24AL-0275E, APPROVING THE CORRESPONDING JOINT INTEREST AGREEMENT, AND AUTHORIZING THE MAYOR TO EXECUTE THE SAME SUMMARY: This Ordinance approves an engagement agreement with Koncilja Energy Law and Policy to represent the City in Public Utilities Commission Proceeding No. 24AL-0275E, approves the corresponding Joint Representation Agreement and authorizes the Mayor to sign the same. PREVIOUS COUNCIL ACTION: No prior Council action exists with respect to this matter. BACKGROUND: On June 14, 2024, Black Hills filed a rate increase review with the Colorado Public electric system, which serves over 100,000 customers in Pueblo, Cañon City, Rocky Ford and surrounding communities. Black Hills claims the purpose of this increase is to recover necessary infrastructure investment and operating costs, including pay and benefits for local employees. Commission, Proceeding No. 24AL-0275E. The requested rate increase will have a drastic negative impact on the citizens of Pueblo. Pueblo County and the Pueblo The interests of the City, Pueblo County and PEDCO are aligned against Black Hills. The Joint Representation Agreement sets forth the obligations of Koncilja Energy Law and Policy to each of the parties to the Agreement. It also provides the rights and responsibilities of the parties as to each other. Pueblo County and PEDCO have already signed the Joint Representation Agreement. FINANCIAL IMPLICATIONS: per hour for paralegal time. This rate will be billed 1/3 to each party to the Joint Representation Agreement. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Ordinance. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: City Council could decide not to approve the Engagement Agreement and Joint Interest Agreement. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. Frances Koncilja Black Hills - PUC Rate Case Engagement Agreement 2. Frances Koncilja Black Hills - PUC Rate Case Joint Interest Agreement 3. Frances Koncilja Black Hills - PUC Rate Case Exhibit A ORDINANCE NO. 10772 AN ORDINANCE APPROVING AN ENGAGEMENT AGREEMENT WITH KONCILJA ENERGY LAW AND POLICY FOR REPRESENTATION IN PUBLIC UTILITIES COMMISSION PROCEEDING NO. 24AL-0275E, APPROVING THE CORRESPONDING JOINT INTEREST AGREEMENT, AND AUTHORIZING THE MAYOR TO EXECUTE THE SAME BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Engagement Agreement retaining Koncilja Public Energy Law and Policy and the corresponding Joint Representation Agreement, attached hereto and having each been approved as to form by the City Attorney, are hereby approved. SECTION 2. The Mayor is hereby authorized to execute said Agreements for, and on behalf of, the City, and the City Clerk is authorized to affix the seal of the City thereto and attest same. The Mayor is further authorized to execute any and all other documents, consistent with and not materially different than the Joint Representation Agreement, which may contain privileged and confidential information. SECTION 3. The officers and staff of the City are authorized to perform any and all acts consistent with this Ordinance and the attached Agreements to implement the policies and procedures described herein. SECTION 4. This Ordinance shall become effective on the date of final action by the Mayor and City Council. Action by City Council: Introduced and initial adoption of Ordinance by City Council on August 12, 2024. Final adoption of Ordinance by City Council on August 26, 2024. ____________________________ President of City Council Action by the Mayor: Approved on _______________. Disapproved on ______________ based on the following objections: ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ____________________________ Mayor Action by City Council After Disapproval by the Mayor: Council did not act to override the Mayor's veto. Ordinance re-adopted on a vote of ____________, on _____________ ____________________________ President of City Council ATTEST ________________________________ Deputy City Clerk