AllStar Agrees to Settlement Amendments Sought by PUCT Commissioners

AllStar Energy (TexRep 5 LLC) has entered into an amended settlement with PUCT Staff under which Staff would withdraw its petition for revocation of AllStar's certificate and recommend approval of an amendment to AllStar's certificate to clarify its ownership, and under which AllStar would pay an administrative penalty of $50,000 (38146).

The revised settlement includes all of the provisions which Commissioners asked be added to the settlement at the last open meeting (Matters, 9/30/10). These new provisions include:

• The compliance auditor required to be retained by AllStar will have an independent obligation to report any violations to the Commission
• AllStar's compliance reports to the Commission will be monthly, instead of every four months
• The requirement to retain a compliance auditor and file monthly reports will continue until lifted by the Commission, and remain in place for a minimum period of two years after the date on which AllStar begins serving customers. After two years, AllStar may petition the Commission to lift the requirements
• AllStar agrees that its failure to comply with any of the requirements of the settlement constitutes grounds for immediate revocation of its REP certificate.