Loading...
R-2021-101 - 4/22/2021 RESOLUTION NO. R-2021-101 A RESOLUTION BY THE CITY OF ROUND ROCK, TEXAS, ("CITY") REGARDING THE APPLICATION OF ATMOS ENERGY CORPORATION — MIDTEX DIVISION, TO INCREASE RATES UNDER THE GAS RELIABILITY INFRASTRUCTURE PROGRAM; SUSPENDING THE EFFECTIVE DATE OF THIS RATE APPLICATION FOR FORTY-FIVE DAYS; AUTHORIZING THE CITY TO CONTINUE TO PARTICIPATE IN A COALITION OF CITIES KNOWN AS THE "ATMOS TEXAS MUNICIPALITIES;" DETERMINING THAT THE MEETING AT WHICH THE RESOLUTION WAS ADOPTED COMPLIED WITH THE TEXAS OPEN MEETINGS ACT; MAKING SUCH OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, on or about February 26, 2021 Atmos Energy Corporation—MidTex Division("Atmos Energy") filed for an increase in gas utility rates under the Gas Reliability Infrastructure Program(`GRIP"), which if approved, results in an increase in the monthly customer charges as follows: Proposed 2021 Interim Rate Current Adjustment Adjusted Customer (Based on 2020 Customer Increase Rate Schedule Charge Data) Charge Per Bill $26.45 per $4.55 per $31.00 per Rate R— customer per customer per customer per Residential Sales month month month $4.55 Rate C— $66.80 per $14.52 per $81.32 per Commercial customer per customer per customer per Sales month month month $14.52 Rate I (Industrial) & $1,201.73 per $262.44 per $1,464.17 per Rate T customer per customer per customer per (Transportation) month month month $262.44 WHEREAS, Atmos Energy's application, if approved by the Railroad Commission, will result in a systemwide increase in Atmos Energy's revenue of about $111.5 million, of which ATM's portion is about$11.11 million; and WHEREAS,the City has a special responsibility to exercise due diligence with regard to rate increases of monopoly utilities who operate within its boundaries; and 0112.20212;00469376 1 of 3 WHEREAS,the application to increase rates by Atmos Energy is complex; and WHEREAS, the effective date proposed by Atmos Energy is April 27, 2021, but a suspension by the City will mean that the rate increase cannot go into effect prior to June 11, 2021; and WHEREAS, it is necessary to suspend the effective date for the increase in rates for forty-five days, so that the City can assure itself that the data and calculations in Atmos Energy's rate application are correctly done and are in conformity with Section 104.301 of the Gas Utility Regulatory Act. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ROUND ROCK,TEXAS THAT: Section 1. That the statements and findings set out in the preamble to this resolution are hereby in all things approved and adopted. Section 2. The City suspends the requested effective date by Atmos Energy for forty- five days pursuant to the authority granted the City under Section 104.301 of the Gas Utility Regulatory Act to allow the City to review the data and calculations that provide the basis for Atmos Energy's proposed increase in rates. Section 3. The City shall continue to act jointly with other cities that are part of a coalition of cities known as the Atmos Texas Municipalities ("ATM"). Section 4. The City authorizes the law firm of Herrera Law & Associates, PLLC, to act on its behalf in connection with Atmos Energy's application to increase rates. Section 5. To the extent Atmos Energy's application to increase rates under section 104.301 of the Gas Utility Regulatory Act ("GURA") is considered a ratemaking proceeding, Atmos Energy is ordered to reimburse the City's reasonable rate case expenses incurred in response to Atmos Energy's rate increase application within 30 days of receipt of invoices for such expenses to the extent allowed by law. 2of3 Section 6. A copy of this resolution shall be sent to Mr. Christopher A. Felan, Vice President, Rates & Regulatory Affairs, Atmos Energy Corporation, 5420 LBJ Freeway, Suite 1862, Dallas, Texas 75240; and to Mr. Alfred R. Herrera, Herrera Law & Associates, PLLC, 4524 Burnet Road,Austin, Texas 78756. Section 7. The meeting at which this resolution was approved was in all things conducted in compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. Section 8. This resolution shall be effective immediately upon passage. RESOLVED this 22nd day of April, 2021. CRAI MOR AN, Mayor City of Roun Rock, Texas ATTEST: �"MIA MEAGAN INKS, lbeputy City Clerk 3 of 3