HomeMy WebLinkAboutCity Council Resolutions (R-06-2695)-05/02/2006
RESOLUTION R-06-2695
A RESOLUTION BY THE CITY OF COLLEYVILLE, TEXAS SUSPENDING THE MAY
30, 2006, EFFECTIVE DATE OF THE PROPOSAL BY A TMOS ENERGY CORP.,
MID-TEX DIVISION TO IMPLEMENT INTERIM GRIP RATE ADJUSTMENTS FOR
GAS UTILITY INVESTMENT IN 2005; AND AUTHORIZING INTERVENTION IN
ADMINISTRATIVE AND COURT PROCEEDINGS INVOLVING THE PROPOSED
GRIP RATE ADJUSTMENTS
WHEREAS, Atmos Energy Corp., Mid-Tex Division, ("Atmos Mid-Tex" or "the
Company") made filings with the City and the Railroad Commission of
Texas ("Railroad Commission") on or about March 30, 2006, proposing to
implement interim rate adjustments ("GRIP rate increases"), pursuant to
Texas Utilities Code S 104.301, on all customers served by Atmos Mid-
Tex, effective May 30, 2006; and
WHEREAS, a recent rate investigation conducted by consultants for the Gas Standing
Steering Committee has indicated that Atmos Mid-Tex is already collecting
sufficient revenues to earn its allowed return and does not require a GRIP
surcharge; and
WHEREAS, the sufficiency of the filing by Atmos Mid-Tex and its compliance with
statutory mandates is in question and needs to be determined; and
WHEREAS, ratepayers of Atmos Mid-Tex, including the City and its residents, will be
adversely impacted by the proposed GRIP rate increases; and
WHEREAS, the City and its residents could benefit from coordination with the Gas
Standing Steering Committee in a review of the reasonableness of the
proposed GRIP rate increases and joint participation in any proceedings at
the Railroad Commission related to the proposed GRIP rate increases;
and
WHEREAS, the reasonable costs associated with the participation of Cities in this rate
proceeding are reimbursable from Atmos Mid-Tex.
, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
COLLEYVILLE, TEXAS, THAT:
Sec. 1.
THAT the May 30, 2006, effective date of the GRIP rate increases
proposed by Atmos Mid-Tex is hereby suspended for the maximum period
allowed by law to permit adequate time to investigate the sufficiency of the
GRIP Rate Increase filing, review the proposed increases, analyze all
necessary information, and take appropriate action related to the
proposed increases.
--_..~~,--_.__."-" ~._~,"~......----_.,.,~-~._""~-,,-,-,,,-"-"~_...- .
Resolution R-06-2695
Page 2 of 2
Sec. 2.
THAT the City is authorized to cooperate with the Gas Standing Steering
Committee to hire and direct legal counsel and consultants, to negotiate
with the Company, to make recommendations to the City regarding the
proposed GRIP rate increases, and to direct any administrative
proceedings or litigation associated with the proposed GRIP rate
increases.
Sec. 3.
THAT the City is authorized to intervene in any administrative proceedings
or litigation associated with the proposed GRIP rate increases.
Sec. 4.
THAT Atmos Mid-Tex shall promptly reimburse the City's reasonable
costs associated with the City's activities related to the proposed GRIP
rate increases.
AND IT IS SO RESOLVED.
PASSED BY A VOTEOF S AYES, 0
THIS THE c:Z..vG( DAY OF ~a-:J
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NAYS AND
D ABSTENTIONS ON
2006.
CITY OF COLLEYVILLE
Cynthia Singleton, TRMC
City Secretary
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David Kelly- /
Mayor