HomeMy WebLinkAboutOrdinances (ORDINANCE O-17-2011)-06/06/2017 ORDINANCE 0-17-2011
APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE ATMOS
CITIES STEERING COMMITTEE ("ACSC") AND ATMOS ENERGY CORP.,
MID-TEX DIVISION REGARDING THE COMPANY'S 2017 RATE REVIEW
MECHANISM FILINGS; ADOPTING TARIFFS; REQUIRING
RECONCILIATION AND RATE ADJUSTMENTS IF FEDERAL INCOME TAX
RATES CHANGE; TERMINATING THE RRM PROCESS FOR 2018
PENDING RENEGOTIATION OF RRM TERMS AND CONDITIONS; AND
DECLARING AN EFFECTIVE DATE
WHEREAS, the City of Colleyville, Texas ("City") is a gas utility customer of
Atmos Energy Corp., Mid-Tex Division ("Atmos Mid-Tex" or
"Company"), and a regulatory authority with an interest in the
rates and charges of Atmos Mid-Tex; and
WHEREAS, the City is a member of the Atmos Cities Steering Committee
("ACSC"), a coalition of similarly-situated cities served by Atmos
Mid-Tex ("ACSC Cities") that have joined together to facilitate
the review of, and response to, natural gas issues affecting rates
charged in the Atmos Mid-Tex service area; and
WHEREAS, ACSC and the Company worked collaboratively to develop a new
Rate Review Mechanism ("RRM") tariff that allows for an
expedited rate review process by ACSC Cities as a substitute to
the Gas Reliability Infrastructure Program ("GRIP") process
instituted by the Legislature, and that will establish rates for the
ACSC Cities based on the system-wide cost of serving the Atmos
Mid-Tex Division; and
WHEREAS, on March 1, 2017, Atmos Mid-Tex filed its 2017 RRM rate request
with ACSC Cities; and
WHEREAS, ACSC coordinated its review of the Atmos Mid-Tex 2016 RRM
filing through its Executive Committee, assisted by ACSC's
attorneys and consultants, to resolve issues identified in the
Company's RRM filing; and
WHEREAS, the Executive Committee, and ACSC's counsel and consultants,
recommend that ACSC Cities approve an increase in base rates
for Atmos Mid-Tex of $48 million on a system-wide basis; and
WHEREAS, the attached tariffs implementing new rates are consistent with
the recommendation of the ACSC Executive Committee, are
Ordinance 0-17-2011
Page 2 of 4
agreed to by the Company, and are just, reasonable, and in the
public interest; and
WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's
reasonable expenses associated with RRM applications; and
WHEREAS, the Company and ACSC have agreed that rates should be
adjusted if any change in federal income tax rates is
implemented during the period that rates approved herein
remain in place; and
WHEREAS, because ACSC believes that certain provisions of the current
terms and conditions of the RRM tariff are inconsistent with
market conditions, the City expects renegotiation of the current
RRM tariff in the summer of 2017.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF COLLEYVILLE, TEXAS:
Sec. 1. THAT the findings set forth in this Ordinance are hereby in all
things approved.
Sec. 2. THAT the City Council finds the settled amount of an increase in
revenues of $48 million on a system-wide basis represents a
comprehensive settlement of gas utility rate issues affecting the
rates, operations, and services offered by Atmos Mid-Tex within
the municipal limits arising from Atmos Mid-Tex's 2017 RRM
filing, is in the public interest, and is consistent with the City's
authority under Section 103.001 of the Texas Utilities Code.
Sec. 3. THAT the existing rates for natural gas service provided by
Atmos Mid-Tex are unreasonable. The new tariffs attached as
Attachment A, are hereby adopted and are designed to allow
Atmos Mid-Tex to recover annually an additional $48 million in
revenue over the amount allowed under currently approved
rates, as shown in the Proof of Revenues attached hereto and
incorporated herein as Attachment B.
Sec. 4. THAT the ratemaking treatment for pensions and other post-
employment benefits in Atmos Mid-Tex's next RRM filing shall be
as set forth on Attachment C, attached hereto and incorporated
herein.
Ordinance 0-17-2011
Page 3 of 4
Sec. 5. THAT consistent with Texas Utilities Code Section 104.055(c),
Atmos Energy's recovery of federal income tax expense through
the Rider RRM has been computed using the statutory income
tax rate. In the event that a change in the statutory income tax
rate is implemented during the Rider RRM Rate Effective Date,
Atmos Energy shall reconcile the difference between the amount
of federal income tax expense included in the Rider RRM
calculation for the Rate Effective Date with the amount of federal
income tax expense authorized under the new statutory income
tax rate. The reconciliation period shall be from the date on
which any new statutory income tax rate is implemented through
the Rate Effective Date. An interest component calculated at the
customer deposit interest rate then in effect as approved by the
Railroad Commission of Texas shall be applied to the federal
income tax expense reconciliation. Further, any required
reconciliation of federal income tax expense shall be included as
part of Atmos Mid-Tex's next annual RRM filing and shall be
returned to or recovered from customers as a one-time credit or
surcharge to the customer's bill.
Sec. 6 THAT the City requires renegotiation of RRM tariff terms and
conditions during the Summer of 2017. If an agreed
renegotiated RRM tariff cannot be achieved, the City will
terminate the RRM process and consider initiation of a traditional
rate case to reduce the Company's authorized return on equity.
Sec. 7 THAT Atmos Mid-Tex shall reimburse the reasonable ratemaking
expenses of the ACSC in processing the Company's 2017 RRM
filing.
Sec. 8. THAT to the extent any resolution or ordinance previously
adopted by the City Council is inconsistent with this Ordinance,
it is hereby repealed.
Sec. 9. THAT if any one or more sections or clauses of this Ordinance is
adjudged to be unconstitutional or invalid, such judgment shall
not affect, impair, or invalidate the remaining provisions of this
Ordinance, and the remaining provisions of the Ordinance shall
be interpreted as if the offending section or clause never existed.
Sec. 10. THAT consistent with the City Ordinance that established the
RRM process, this Ordinance shall become effective from and
Ordinance 0-17-2011
Page 4 of 4
after its passage with rates authorized by attached tariffs to be
effective for bills rendered on or after June 1, 2017.
Sec. 11. THAT a copy of this Ordinance shall be sent to Atmos Mid-Tex,
care of Chris Felan, Vice President of Rates and Regulatory
Affairs Mid-Tex Division, Atmos Energy Corporation, 5420 LBJ
Freeway, Suite 1862, Dallas, Texas 75240, and to Geoffrey Gay,
General Counsel to ACSC, at Lloyd Gosselink Rochelle &
Townsend, P.C., 816 Congress Avenue, Suite 1900, Austin,
Texas 78701.
AND IT IS SO ORDERED.
The first reading and public hearing being conducted on the 16th day of May
2017.
The second reading and public hearing being conducted on the 6th day of
June 2017.
APPROVED BY A VOTE OF I- AYES, D NAYS, AND f, ABSTENTIONS ON
THIS THE 6TH DAY OF JUNE 2017.
Mayor Richard Newton ititc, Mayor Pro Tern Bobby Lindamood
Place 1, Tammy Nakamura Place 3, Kathy Wheat _
Place 4, George Dodson 041/4-Place 5, Nancy Coplen _
Place 6, Mike Taylor
ATTEST: CITY OF COLLEYVILLE
0•
� t
Am helley,�RMC Richard Newton
City Secretary Mayor
APPROVED - • FORM AND LEGALITY:
Whitt yatt
City Attorney
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: R—RESIDENTIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Application
Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured
through one meter.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge. Amount
Customer Charge per Bill $ 19.60 per month
Rider CEE Surcharge $ 0.02 per month'
Total Customer Charge $ 19.62 per month
Commodity Charge—All Ccf $0.14427 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part(a) and Part(b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
'Reference Rider CEE-Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1,2016.
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: C—COMMERCIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Application
Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured
through one meter and to Industrial Customers with an average annual usage of less than 30,000 Ccf.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge Amount ° .
Customer Charge per Bill $44.70 per month
Rider CEE Surcharge $ 0.08 per month'
Total Customer Charge $44.78 per month
Commodity Charge—All Ccf $0.09279 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part(a) and Part(b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
1 Reference Rider CEE-Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1,2016.
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I—INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Application
Applicable to Industrial Customers with a maximum daily usage (MDU) of less than 3,500 MMBtu per day
for all natural gas provided at one Point of Delivery and measured through one meter. Service for
Industrial Customers with an MDU equal to or greater than 3,500 MMBtu per day will be provided at
Company's sole option and will require special contract arrangements between Company and Customer.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the
amounts due under the riders listed below:
ChargeAmount
Customer Charge per Meter $799.75 per month
First 0 MMBtu to 1,500 MMBtu $0.3374 per MMBtu
Next 3,500 MMBtu $0.2470 per MMBtu
All MMBtu over 5,000 MMBtu $0.0530 per MMBtu
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part(a) and Part(b), respectively, of Rider GCR.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer's deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled "Daily Price Survey."
Replacement Index
In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I—INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
Special Conditions
In order to receive service under Rate I, Customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T—TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Application
Applicable, in the event that Company has entered into a Transportation Agreement, to a customer
directly connected to the Atmos Energy Corp., Mid-Tex Division Distribution System (Customer) for the
transportation of all natural gas supplied by Customer or Customer's agent at one Point of Delivery for
use in Customer's facility.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts
and quantities due under the riders listed below:
Charge Amount
Customer Charge per Meter $799.75 per month
First 0 MMBtu to 1,500 MMBtu $0.3374 per MMBtu
Next 3,500 MMBtu $0.2470 per MMBtu
All MMBtu over 5,000 MMBtu $0.0530 per MMBtu
Upstream Transportation Cost Recovery: Plus an amount for upstream transportation costs in
accordance with Part(b) of Rider GCR.
Retention Adjustment: Plus a quantity of gas as calculated in accordance with Rider RA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Imbalance Fees
All fees charged to Customer under this Rate Schedule will be charged based on the quantities
determined under the applicable Transportation Agreement and quantities will not be aggregated for any
Customer with multiple Transportation Agreements for the purposes of such fees.
Monthly Imbalance Fees
Customer shall pay Company the greater of(i) $0.10 per MMBtu, or(ii) 150% of the difference per MMBtu
between the highest and lowest "midpoint" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" during such month, for the MMBtu of Customer's monthly Cumulative
Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds
10% of Customer's receipt quantities for the month.
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T—TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 PAGE:
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer's deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled"Daily Price Survey."
Replacement Index
In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Agreement
A transportation agreement is required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
Special Conditions
In order to receive service under Rate T, customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Attachment A
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA—WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 11/01/2017 PAGE:
Provisions for Adjustment
The Commodity Charge per Ccf (100 cubic feet) for gas service set forth in any Rate Schedules utilized
by the cities of the Mid-Tex Division service area for determining normalized winter period revenues shall
be adjusted by an amount hereinafter described, which amount is referred to as the 'Weather
Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature
sensitive residential and commercial bills based on meters read during the revenue months of November
through April. The five regional weather stations are Abilene,Austin, Dallas, Waco, and Wichita Falls.
Computation of Weather Normalization Adjustment
The Weather Normalization Adjustment Factor shall be computed to the nearest one-hundredth cent
per Ccf by the following formula:
(HSFi x (NDD-ADD))
WNAFi = Ri
(BLi + (HSFi x ADD) )
Where
i = any particular Rate Schedule or billing classification within any such
particular Rate Schedule that contains more than one billing classification
WNAFi = Weather Normalization Adjustment Factor for the ith rate schedule or
classification expressed in cents per Ccf
Ri = Commodity Charge rate of temperature sensitive sales for the ith schedule or
classification.
HSFi = heat sensitive factor for the ith schedule or classification divided by the
average bill count in that class
NDD = billing cycle normal heating degree days calculated as the simple ten-year
average of actual heating degree days.
ADD = billing cycle actual heating degree days.
Bli = base load sales for the ith
schedule or classification divided by the average
bill count in that class
The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as:
WNA;= WNAF; x q;1
Where q11 is the relevant sales quantity for the jth customer in ith rate schedule.
Attachment A
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA—WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 11/01/2017 PAGE:
Base Use/Heat Use Factors
Residential Commercial
Base use Heat use Base use Heat use
Weather Station Ccf Ccf/HDD Ccf Ccf/HDD
Abilene 9.79 0.1347 93.16 0.6060
Austin 10.37 0.1483 190.68 0.9069
Dallas 13.36 0.2089 180.35 1.0191
Waco 9.64 0.1348 124.37 0.5791
Wichita 11.20 0.1412 107.96 0.5571
Falls
Weather Normalization Adjustment(WNA) Report
On or before June 1 of each year, the Company posts on its website at atmosenergy.com/mtx-wna, in
Excel format, a Weather Normalization Adjustment (WNA) Report to show how the Company calculated
its WNAs factor during the preceding winter season. Additionally, on or before June 1 of each year, the
Company files one hard copy and an Excel version of the WNA Report with the Railroad Commission of
Texas' Gas Services Division, addressed to the Director of that Division.
Attachment B
File Date:March 1,2017
ATMOS ENERGY CORP.,MID-TEX DIVISION
PROPOSED TARIFF STRUCTURE(BEFORE RATE CASE EXPENSE RECOVERY)
TEST YEAR ENDING DECEMBER 31,2016
(a) (b) (c) (d) (e) (f) (g) (h) (I) 0) (k)
1 Proposed Change In Rates: $ 48,000,000 Schedule A
2 Proposed Change In Rates without Revenue Related Taxes: $ 44,800,457 Ln 1 divided by factor on WP_F-5.1
3
4
5
6 Revenue Requirements Allocations
7 Residential $ 338,431,486 77.95% Per GUD 10170 Final Order
8 Commercial 84,223,622 19.40% Per GUD 10170 Final Order
9 Industrial and Transportation 11,490,316 2.65% Per GUD 10170 Final Order
10 Net Revenue Requirements GUD No.10170 $ 434,145,424
11
12
13
14
15
16 With Proportional Increase all classes but Residential and a 40%residential base charge increase: In accordance with RRM tariff:
17
Proposed
Change In Proposed
18 Current Prospective Revenues Proposed Change Revenues Rates Proposed Revenues
19
20 Residential Base Charge $ 19.08 $ 0.77 $ 13,969,407 Residential Base Charge $ 0.52 $ 9,385,859 $ 19.60 $ 353,851,897
21 Residential Consumption Charge $ 0.11378 $ 0.02502 20,954,111 Residential Consumption Charge $ 0.03049 25,534,444 $ 0.14427 120,821,718
22 Commercial Base Charge $ 41.70 $ 2.96 4,345,614 Commercial Base Charge $ 3.00 4,409,676 $ 44.70 65,707,365
23 Commercial Consumption Charge $ 0.08494 $ 0.00797 4,345,614 Commercial Consumption Charge $ 0.00785 4,280,326 $ 0.09279 50,595,093
24 l&T Base Charge $ 737.00 $ 62.70 592,856 l&T Base Charge $ 62.75 593,364 $ 799.75 7,562,427
25 I&T Consumption Charge Tier 1 MMBTU $ 0.3096 $ 0.0278 279,522 l&T Consumption Charge Tier 1 MMBTU $ 0.0278 279,726 $ 0.3374 3,394,949
26 MT Consumption Charge Tier 2 MMBTU $ 0.2267 $ 0.0203 225,635 l&T Consumption Charge Tier 2 MMBTU $ 0.0203 225,178 $ 0.2470 2,739,848
27 I&T Consumption Charge Tier 3 MMBTU $ 0.0486 $ 0.0044 87,699 l&T Consumption Charge Tier 3 MMBTU $ 0.0044 88,488 $ 0.0530 1,065,879
28 $ 44,800,457 $ 44,797,060 $ 605,739,177
29
WP_J-5
Page 1 of 1
Attachment C
ATMOS ENERGY CORP.,MID-TEX DIVISION
PENSIONS AND RETIREE MEDICAL BENEFITS FOR CITIES APPROVAL
TEST YEAR ENDING DECEMBER 31,2016
Shared Services Mid-Tex Direct
Pension Post-Retirement Pension Supplemental Post-Retirement
Line Account Plan Medical Plan Account Plan Executive Benefit Medical Plan Adjustment
No. Description ("PAP") ("FAS 106") ("PAP") Plan("SERF") ("FAS 106") Total
(a) (b) (c) (d) (e) (f) (g)
1 Fiscal Year 2017 Willis Towers Watson Report as adjusted(1),(3) $ 5,004,862 $ 2,864,121 $ 8,234,627 $ 194,941 $ 4,375,142
2 Allocation to Mid-Tex 45.03% 45.03% 71.23% 100.00% 71.23%
Fiscal Year 2017 Actuarially Determined O&M Benefits(Ln 1 x Ln 2)
3 $ 2,253,477 $ 1,289,592 $ 5,865,537 $ 194,941 $ 3,116,420
4 O&M and Capital Allocation Factor 100.00% 100.00% 100.00% 100.00% 100.00%
Fiscal Year 17 Willis Towers Watson Benefit Costs To Approve
5 (excluding Removed Cost Centers)(Ln 3 x Ln 4) $ 2,253,477 $ 1,289,592 $ 5,865,537 $ 194,941 $ 3,116,420 $ 12,719,968
6
7
8 Summary of Costs to Approve:
9
10 Total Pension Account Plan("PAP") $ 2,253,477 $ 5,865,537 $ 8,119,015
11 Total Post-Retirement Medical Plan("FAS 106") $ 1,289,592 $ 3,116,420 4,406,012
12 Total Supplemental Executive Retirement Plan("SERP") $ 194,941 194,941
13 Total(Ln 10+Ln 11 +Ln 12) $ 2,253,477 $ 1,289,592 $ 5,865,537 $ 194,941 $ 3,116,420 $ 12,719,968
14
15
16 O&M Expense Factor 74.05% 74.05% 37.75% 20.00% 37.75%
17
18 Expense Portion(Ln 13 x Ln 16) $ 1,668,700 $ 954,943 $ 2,214,432 $ 38,988 $ 1,176,551 $ 6,053,614
19
20 Capital Factor 25.95% 25.95% 62.25% 80.00% 62.25%
21
22 Capital Portion(Ln 13 x Ln 20) $ 584,777 $ 334,649 $ 3,651,105 $ 155,953 $ 1,939,870 $ 6,666,354
23
24 Total(Ln 18+Ln 22) $ 2,253,477 $ 1,289,592 $ 5,865,537 $ 194,941 $ 3,116,420 $ 12,719,968