Consider a settlement agreement between the Gulf Coast Coalition of Cities and CenterPoint Energy Entex regarding the company's statement of intent to change gas rates in all cities exercising original jurisdiction; declaring existing rates to be unreasonable; adopting tariffs that reflect rate adjustments consistent with the settlement agreement and finding the rates to be set by tariffs that are just and reasonable.

March 6, 2008 - CenterPoint filed a Statement of INtent to increase system-wide gas rates by approximately $7.36 million; the increase to be effective in all municipalities exercising original jurisdiction within its Texas Coast Division service area effective on April 10, 2008.

The City took action to suspend the April 10, 2008 effective date to coordinate a response with 14 other municipalitied through the Gulf Coast Coalition of Cities (GCCC).

The GCCC members authorized its attorneys and experts to formulate and review reasonable settlement positions to resolve the pending rate increase request.  The GCCC attorneys and experts believe existing rates are unreasonable and should be changed.  The GCCC attorneys and experts recommend GCCC members approve the negotiated Settlement Agreement  (see attached  agreement).