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Home My WebLink AboutCity Council Resolutions (Resolution R-18-4306)-09/18/2018RESOLUTION R-18-4306 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLLEYVILLE, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE ("ACSC") AND ATMOS ENERGY CORP., MID-TEX DIVISION REGARDING THE COMPANY'S 2018 RATE REVIEW MECHANISM FILINGS; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN ATTACHED EXHIBIT ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL BENEFITS; APPROVING AN ATTACHED EXHIBIT REGARDING AMORTIZATION OF REGULATORY LIABILITY; REQUIRING THE COMPANY TO REIMBURSE ACSC'S REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS RESOLUTION WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS RESOLUTION TO THE COMPANY AND THE ACSC'S LEGAL COUNSEL 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 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, on or about April 1, 2018, Atmos Mid -Tex filed its 2018 RRM rate request; and WHEREAS, ACSC coordinated its review of the Atmos Mid -Tex 2018 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, as well as ACSC's counsel and consultants, recommend that ACSC Cities approve an increase in base rates for Atmos Mid -Tex of $24.9 million on a system- wide basis ($17.8 million of which is applicable to ACSC members); and WHEREAS, the attached tariffs (Exhibit A) implementing new rates are consistent with the recommendation of the ACSC Executive Resolution R-18-4306 Page 2 of 3 Committee, are agreed to by the Company, and are just, reasonable, and in the public interest; and WHEREAS, the Exhibit A rate tariffs incorporate the federal income tax rates that became effective January 1, 2018; and WHEREAS, the settlement agreement sets a new benchmark for pensions and retiree medical benefits (Exhibit B); and WHEREAS, the settlement agreement establishes an amortization schedule for regulatory liability (Exhibit C); and WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's reasonable expenses associated with RRM applications. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEYVILLE, TEXAS: Sec. 1. THAT the findings set forth in this Resolution are hereby in all things approved. Sec. 2. THAT the City Council finds that the settled amount of an increase in revenues of $24.9 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 2018 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 hereto and incorporated herein as Exhibit A, are just and reasonable, and are designed to allow Atmos Mid -Tex to recover annually an additional $24.9 million in revenue on a system- wide basis over the amount allowed under currently approved rates. Such tariffs are hereby adopted. Sec.4. THAT the ratemaking treatment for pensions and retiree medical benefits in Atmos Mid-Tex's next RRM filing shall be as set forth in Exhibit B, attached hereto and incorporated herein. Sec. 5. THAT amortization of regulatory liability shall be consistent with the schedule found in Exhibit C, attached hereto and incorporated herein. Resolution R-18-4306 Page 3 of 3 Sec. 6. THATAtmos Mid -Tex shall reimburse the reasonable ratemaking expenses of the ACSC in processing the Company's 2018 RRM filing. Sec. 7. THAT to the extent any resolution or ordinance previously adopted by the Council is inconsistent with this Resolution, and it is hereby repealed. Sec. 8. THAT if any one or more sections or clauses of this Resolution is adjudged to be unconstitutional or invalid, such judgment shall not affect, impair, or invalidate the remaining provisions of this Resolution, and the remaining provisions of the Resolution shall be interpreted as if the offending section or clause never existed. Sec. 9. THAT consistent with the City Ordinance that established the RRM process, this Resolution shall become effective from and after its passage with rates authorized by the attached tariffs to be effective for bills rendered on or after October 1, 2018. AND IT IS SO RESOLVED. APPROVED BY A VOTE OF I— AYES, -0— NAYS, AND 0 ABSTENTIONS ON THIS THE 18TH DAY OF SEPTEMBER 2018. Mayor Richard Newton Place 1, Tammy Nakamura Place 3, Kathy Wheat Place 4, George Dodson ATTEST:� Christine Loven, TRMC City Secretary APPROVED AS I L. V7ya Attorney "t'" Mayor Pro Tern Bobby Lindamood f} /� Place 5, Chuck Kelley Place 6, Callie Rigney RM AND LEGALITY: OnF COLL�EYVILLE Richard Newton Mayor Exhibit A Rate Tariffs Effective October 1, 2018 MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: RATE SCHEDULE: I R — RESIDENTIAL SALES I APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX II DALLAS AND UNINCORPORATED AREAS DIVISION EXCEPT THE CITY OF EFFECTIVE DATE: I Bills Rendered on or after 10/01/2018 1 PAGE: 12 1 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 $ 18.85 per month Rider CEE Surcharge $ 0.03 per month' Total Customer Charge $ 18.88 per month Commodity Charge — All Ccf $0.14846 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, 2018, MID-TEX DIVISION ATMOS ENERGY CORPORATION EXWBIT A RRC Tariff No: RATE SCHEDULE: I C —COMMERCIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX II DAL AS AND UNIINCORPORATED AREAS DIVISION EXCEPT THE CITY OF EFFECTIVE DATE: I Bills Rendered on or after 10/01/2018 I PAGE: 13 1 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 $ 43.50 per month Rider CEE Surcharge $ (0.03) per month' Total Customer Charge $ 43.47 per month Commodity Charge — All Ccf $ 0.09165 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, 2018. EXHIBIT A MID-TEX DIVISION RRC Tariff No: ATMOS ENERGY CORPORATION RATE SCHEDULE: I I — INDUSTRIAL SALES APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF DALLAS AND UNINCORPORATED AREAS EFFECTIVE DATE: I Bills Rendered on or after 1010112018 PAGE: 14 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: Charge Amount Customer Charge per Meter $ 784.00 per month First 0 MMBtu to 1.500 MMBtu $ 0.3312 per MMBtu Next 3,500 MMBtu $ 0,2425 per MMBtu All MMBtu over 5,000 MMBtu $ 0,0520 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. MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: RATE SCHEDULE: I I — INDUSTRIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX I DALLAS AND UNINCORPORATED AREAS DIVISION EXCEPT THE CITY OF EFFECTIVE DATE: I Bills Rendered on or after 10/01/2018 I PAGE: 15 I 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. MID-TEX DIVISION ATMOS ENERGY CORPORATION 19 .4-90 . RRC Tariff No: 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 10/01/2018 PAGE: 16 Exhibit A The rates were effective for the following Cities on 3/15/2018 ABILENE DENISON KILLEEN ADDISON DENTON KRUM ALBANY DESOTO LAKE WORTH ALLEN DRAPER AKA CORRAL CITY LAKESIDE ALVARADO DUNCANVILLE LEWISVILLE ANGUS EASTLAND LINCOLN PARK (ANNEXED WITH LITTLE ELM) ANNA EDGECLIFF VILLAGE LITTLE ELM ARGYLE EMORY LORENA ARLINGTON ENNIS MADISONVILLE AUBREY EULESS MALAKOFF AZLE EVERMAN MANSFIELD BEDFORD FAIRVIEW MCKINNEY BELLMEAD FARMERS BRANCH MELISSA BENBROOK FARMERSVILLE MESQUITE BEVERLY HILLS FATE MIDLOTHIAN BLOSSOM FLOWER MOUND MURPHY BLUE RIDGE FOREST HILL NEWARK BOWIE FORNEY NOCONA BOYD FORT WORTH NORTH RICHLAND HILLS BRIDGEPORT FRISCO NORTHLAKE BROWNWOOD FROST OAK LEAF BUFFALO GAINSVILLE OVILLA BURKBURNETT GARLAND PALESTINE BURLESON GARRETT PANTEGO CADDO MILLS GRAND PARAIRIE PARIS CANTON GRAPEVINE PARKER CARROLLTON GUNTER PECAN HILL CEDAR HILL HALTOM CITY PETROLIA CELESTE HARKER HEIGHTS PLANO CELINA HASKELL PONDER CENTERVILLE HASLET POTTSBORO CISCO HEWITT PROSPER CLARKSVILLE HIGHLAND PARK QUITMAN CLEBURNE HIGHLAND VILLAGE RED OAK CLYDE HONEY GROVE RENO (PARKER COUNTY) COLLEGE STATION HURST RHOME COLLEYVILLE IOWA PARK RICHARDSON COLORADO CITY IRVING RICHLAND COMANCHE JUSTIN RICHLAND HILLS COOLIDGE KAUFMAN RIVER OAKS COPPELL KEENE ROANOKE CORINTH KELLER ROBINSON CRANDALL KEMP ROCKWALL CROWLEY KENNEDALE ROSCOE DALWORTHINGTON GARDENS KERRVILLE ROWLETT MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: RATE SCHEDULE: APPLICABLE TO: EFFECTIVE DATE: I — INDUSTRIAL SALES ALL CUSTOMERS IN TED AREAS Bills Rendered on or after 10/01/2018 Cities with Rate Effective 3/15/2018 (Continued) ROYSE CITY SULPHUR SPRINGS SACHSE SWEETWATER SAGINAW TEMPLE SANSOM PARK TERRELL SEAGOVILLE THE COLONY SHERMAN TROPHY CLUB SNYDER TYLER SOUTHLAKE UNIVERSITY PARK SPRINGTOWN VENUS STAMFORD VERNON STEPHENVILLE WACO The rates were effective for the following Cities on 4/0112018: ABBOTT ALBA ALMA ALVORD ANNONA ANSON ARCHER CITY ATHENS AURORA AUSTIN AVERY BAI RD BALCH SPRINGS BALLINGER BANDERA BANGS BARDWELL BARRY BARTLETT BARTONVILLE BELLEVUE BELLS BELTON BENJAMIN BERTRAM BLACKWELL BLANKET BLOOMING GROVE BLUE MOUND BLUM BOGATA BONHAM BREMOND BRONTE BROWNSBORO BRUCEVILLE-EDDY BRYAN BUCKHOLTS BUFFALO GAP BURNET BYERS CALDWELL CALVERT CAMERON CAMPBELL CARBON CASHION COMMUNITY CEDAR PARK CHANDLER CHICO CHILDRESS CHILLICOTHE CLIFTON COCKRELL HILL COLEMAN COLLINSVILLE COMMERCE COMO COOPER COPPER CANYON COPPERAS COVE CORSICANA COVI N GTON COYOTE FLATS CRAWFORD CROSS ROADS CUMBY DAWSON DECATUR DELEON EXCEPT THE CITY OF PAGE: 17 WATAUGA WAXAHAC H I E WESTLAKE WESTOVER HILLS WHITE SETTLEMENT WHITESBORO WICHITA FALLS WOODWAY WYLIE DEPORT DETROIT DODD CITY DOUBLE OAK DUBLIN EARLY ECTOR EDOM ELECTRA EMHOUSE EUSTACE EVANT FAIRFIELD FERRIS FRANKLIN FRANKSTON FREDERICKSBURG GATESVILLE GEORGETOWN GLEN ROSE GLENN HEIGHTS GODLEY GOLDTHWAITE GOODLOW GORDON GOREE GORMAN GRANBURY GRANDVIEW GRANGER GREENVILLE GROESBECK GUSTINE HAMLIN HAM I LTON MID-TEX DIVISION ATMOS ENERGY CORPORATION EXIIIBIT A RRC Tariff No: 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 10/01/2018 PAGE: 18 Cities with Rate Effective 4/01/2018 (Continued) HAW LEY HEARNE HEATH HEBRON HENRIETTA HICKORY CREEK HICO HILLSBORO HOLLAND HOLLIDAY HOWE HUBBARD HUTCHINS HUTTO IMPACT IREDELL ITALY ITASCA JEWETT JOSEPHINE JOSHUA KERENS KNOLLWOOD KNOX CITY KOSSE KURTEN LACY-LAKEV I EW LADONIA LAKE DALLAS LAKEPORT LAMPASAS LANCASTER LAVON LAWN LEANDER LEONA LEONARD LEXINGTON LI N DSAY LIPAN LITTLE RIVER ACADEMY LLANO LOMETA LONE OAK LONGVIEW LORAINE LOTT LUEDERS MABANK MALONE MANOR MARBLE FALLS MARLIN MART MAYPEARL MCGREGOR MCLENDON-CHISHOLM MEGARGEL MERIDIAN MERKEL MEXIA MIDWAY MILES MILFORD MILLSAP MOBILE CITY MOODY MORAN MORGAN MUENSTER MUNDAY MURCHISON NEVADA NEW CHAPEL HILL NEWCASTLE NOLANVILLE NORMANGEE NOVICE OAK POINT OAKWOOD O'BRIEN CO-OP GIN OGLESBY OLNEY PALMER PARADISE PECAN GAP PENELOPE PFLUGERVILLE PILOT POINT PLEASANT VALLEY POINT POST OAK BEND POWELL POYNOR PRINCETON PUTNAM QUANAH QUINLAN RANGER RAVENNA RENO (LAMAR COUNTY) RETREAT RICE RIESEL RIO VISTA ROBERTLEE ROBY ROCHESTER ROCKDALE ROGERS ROSEBUD ROSS ROTAN ROUND ROCK ROXTON RULE RUNAWAY BAY SADLER SAINT JO SAN ANGELO SAN SABA SANCTUARY SANGER SANTA ANNA SAVOY SCURRY SEYMOUR SHADY SHORES SOMERVILLE SOUTH MOUNTAIN SOUTHMAYD STAR HARBOR STOCKTON BEND STRAWN STREETMAN SUN VALLEY SUNNYVALE TALTY TAYLOR TEAGUE TEHUACANA THORNDALE THORNTON THRALL THROCKMORTON TI OGA TOCO MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: 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 10/01/2018 PAGE: 19 Cities with Rate Effective 4/01/2018 (Continued) TOM BEAN VALLEY VIEW WHITNEY TRENT VAN ALSTYNE WILMER TRENTON WALNUT SPRINGS WINDOM TRINIDAD WEINERT WINTERS TROY WEST WIXON VALLEY TUSCOLA WESTWORTH VILLAGE WOLFE CITY TYE WHITEHOUSE WORTHAM VALLEY MILLS WHITEWRIGHT YANTIS II: 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 10/01/2018 PAGE: 16 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 $ 784.00 per month First 0 MMBtu to 1,500 MMBtu $ 0.3312 per MMBtu Next 3,500 MMBtu $ 0.2425 per MMBtu All MMBtu over 5,000 MMBtu $ 0.0520 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. MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: 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 10101/2018 PAGE: 17 Curtailment Overpufl 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. MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: 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 10101/2018 PAGE: 18 Exhibit A The rates were effective for the following Cities on 3/15/2018 ABILENE DENISON KILLEEN ADDISON DENTON KRUM ALBANY DESOTO LAKE WORTH ALLEN DRAPER AKA CORRAL CITY LAKESIDE ALVARADO DUNCANVILLE LEWISVILLE ANGUS EASTLAND LINCOLN PARK (ANNEXED WITH LITTLE ELM) ANNA EDGECLIFF VILLAGE LITTLE ELM ARGYLE EMORY LORENA ARLINGTON ENNIS MADISONVILLE AUBREY EULESS MALAKOFF AZLE EVERMAN MANSFIELD BEDFORD FAIRVIEW MCKINNEY BELLMEAD FARMERS BRANCH MELISSA BENBROOK FARMERSVILLE MESQUITE BEVERLY HILLS FATE MIDLOTHIAN BLOSSOM FLOWER MOUND MURPHY BLUE RIDGE FOREST HILL NEWARK BOWIE FORNEY NOCONA BOYD FORT WORTH NORTH RICHLAND HILLS BRIDGEPORT FRISCO NORTHLAKE BROWNWOOD FROST OAK LEAF BUFFALO GAINSVILLE OVILLA BURKBURNETT GARLAND PALESTINE BURLESON GARRETT PANTEGO CADDO MILLS GRAND PARAIRIE PARIS CANTON GRAPEVINE PARKER CARROLLTON GUNTER PECAN HILL CEDAR HILL HALTOM CITY PETROLIA CELESTE HARKER HEIGHTS PLANO CELINA HASKELL PONDER CENTERVILLE HASLET POTTSBORO CISCO HEWITT PROSPER CLARKSVILLE HIGHLAND PARK QUITMAN CLEBURNE HIGHLAND VILLAGE RED OAK CLYDE HONEY GROVE RENO (PARKER COUNTY) COLLEGE STATION HURST RHOME COLLEYVILLE IOWA PARK RICHARDSON COLORADO CITY IRVING RICHLAND COMANCHE JUSTIN RICHLAND HILLS COOLIDGE KAUFMAN RIVER OAKS COPPELL KEENE ROANOKE CORINTH KELLER ROBINSON CRANDALL KEMP ROCKWALL CROWLEY KENNEDALE ROSCOE DALWORTHINGTON GARDENS KERRVILLE ROWLETT MID-TEX DIVISION ATMOS ENERGY CORPORATION EXHIBIT A RRC Tariff No: RATE SCHEDULE: T—TRANSPORTATION APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION DALLAS AND UNINCORPORATED AREAS EFFECTIVE DATE: Bills Rendered on or after 10/01/2018 Cities with Rate Effective 3115/2018 (Continued) ROYSE CITY SULPHUR SPRINGS SACHSE SWEETWATER SAGINAW TEMPLE SANSOM PARK TERRELL SEAGOVILLE THE COLONY SHERMAN TROPHY CLUB SNYDER TYLER SOUTHLAKE UNIVERSITY PARK SPRINGTOWN VENUS STAMFORD VERNON STEPHENVILLE WACO The rates were effective for the following Cities on 4/01/2018: ABBOTT ALBA ALMA ALVORD ANNONA ANSON ARCHER CITY ATHENS AURORA AUSTIN AVERY BAIRD BALCH SPRINGS BALLINGER BANDERA BANGS BARDWELL BARRY BARTLETT BARTONVILLE BELLEVUE BELLS BELTON BENJAMIN BERTRAM BLACKWELL BLANKET BLOOMING GROVE BLUE MOUND BLUM BOGATA BONHAM BREMOND BRONTE BROWNSBORO BRUCEVILLE-EDDY BRYAN BUCKHOLTS BUFFALO GAP BURNET BYERS CALDWELL CALVERT CAMERON CAMPBELL CARBON CASHION COMMUNITY CEDAR PARK CHANDLER CHICO CHILDRESS CHILLICOTHE CLIFTON COCKRELL HILL COLEMAN COLLINSVILLE COMMERCE COMO COOPER COPPER CANYON COPPERAS COVE CORSICANA COVINGTON COYOTE FLATS CRAWFORD CROSS ROADS CUMBY DAWSON DECATUR DELEON PAGE: 19 WATAUGA WAXAHACHIE WESTLAKE WESTOVER HILLS WHITE SETTLEMENT WHITESBORO WICHITA FALLS WOODWAY WYLIE DEPORT DETROIT DODD CITY DOUBLE OAK DUBLIN EARLY ECTOR EDOM ELECTRA EMHOUSE EUSTACE EVANT FAIRFIELD FERRIS FRANKLIN FRANKSTON FREDERICKSBURG GATESVILLE GEORGETOWN GLEN ROSE GLENN HEIGHTS GODLEY GOLDTHWAITE GOODLOW GORDON GOREE GORMAN GRANBURY GRANDVIEW GRANGER GREENVILLE GROESBECK GUSTINE HAM LI N HAM I LTON MID-TEX DIVISION ATMOS ENERGY CORPORATION RRC Tariff No: 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 10/01/2018 PAGE: 20 Cities with Rate Effective 4/01/2018 (Continued) HAWLEY HEARNE HEATH HEBRON HENRIETTA HICKORY CREEK HICO HILLSBORO HOLLAND HOLLIDAY HOWE HUBBARD HUTCHINS HUTTO IMPACT IREDELL ITALY ITASCA JEWETT JOSEPHINE JOSHUA KERENS KNOLLWOOD KNOX CITY KOSSE KURTEN LACY-LAKEVIEW LADONIA LAKE DALLAS LAKEPORT LAMPASAS LANCASTER LAVON LAWN LEANDER LEONA LEONARD LEXI N GTON LINDSAY LI PAN LITTLE RIVER ACADEMY LLANO LOMETA LONE OAK LONGVIEW LO RAI N E LOTT LUEDERS MABANK MALONE MANOR MARBLE FALLS MARLIN MART MAYPEARL MCGREGOR MCLENDON-CHISHOLM MEGARGEL MERIDIAN MERKEL MEXIA MIDWAY MILES MILFORD MILLSAP MOBILE CITY MOODY MORAN MORGAN MUENSTER MUNDAY MURCHISON NEVADA NEW CHAPEL HILL NEWCASTLE NOLANVILLE NORMANGEE NOVICE OAK POINT OAKWOOD O'BRIEN CO-OP GIN OGLESBY OLNEY PALMER PARADISE PECAN GAP PENELOPE PFLUGERVILLE PILOT POINT PLEASANT VALLEY POINT POST OAK BEND POWELL POYNOR PRINCETON PUTNAM QUANAH QUINLAN RANGER RAVENNA RENO (LAMAR COUNTY) RETREAT RICE RIESEL RIO VISTA ROBERTLEE ROBY ROCHESTER ROCKDALE ROGERS ROSEBUD ROSS ROTAN ROUND ROCK ROXTON RULE RUNAWAY BAY SADLER SAINT JO SAN ANGELO SAN SABA SANCTUARY SANGER SANTA ANNA SAVOY SCURRY SEYMOUR SHADY SHORES SOMERVILLE SOUTH MOUNTAIN SOUTHMAYD STAR HARBOR STOCKTON BEND STRAWN STREETMAN SUN VALLEY SUNNYVALE TALTY TAYLOR TEAGUE TEHUACANA THORNDALE THORNTON THRALL THROCKMORTON TIOGA TOCO MID-TEX DIVISION ATMOS ENERGY CORPORATION MaHBIT A RRC Tariff No: RATESCHEDULE: IT —TRANSPORTATION APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF DALLAS AND UNINCORPORATED AREAS EFFECTIVE DATE: I Bills Rendered on or after 10/0112018 PAGE: 21 Cities with Rate Effective 4/01/2018 (Continued) TOM BEAN VALLEY VIEW WHITNEY TRENT VAN ALSTYNE WILMER TRENTON WALNUT SPRINGS WINDOM TRINIDAD WEINERT WINTERS TROY WEST WIXON VALLEY TUSCOLA WESTWORTH VILLAGE WOLFE CITY TYE WHITEHOUSE WORTHAM VALLEY MILLS WHITEWRIGHT YANTIS EXHIBIT A MID-TEX DIVISION ATMOS ENERGY CORPORATION RIDER: I WNA — WEATHER NORMALIZATION ADJUSTMENT APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF I J EFFECTIVE DATE: I Bills Rendered on or after 11/01/2018 1 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: WNAFi Where Ri (HSFi (BLi (NDD-ADD) ) (HSFi x ADD) ) = 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 NOD = 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: WNAi = WNAFi x qr Where qr is the relevant sales quantity for the jth customer in ith rate schedule. WAMn: . MID-TEX DIVISION ATMOS ENERGY CORPORATION RIDER: WNA —WEATHER NORMALIZATION ADJUSTMENT APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 11/0112018 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 9.77 0.1201 99.33 0.5737 Austin 10.38 0.1493 201.46 0.8942 Dallas 13.17 0.2062 183.71 1.0046 Waco 9.26 0.1323 124.57 0.6398 Wichita 11.62 0.1278 114.97 0.5226 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. Exhibit B Pensions and Retiree Medical Benefits EXHIBIT B o O w 00c M O M c w 0 m e m N N c 0h t0c m m� �ri v w Fn roe me am0 a Iq C a a r c o a n c N �- —N M V N N V (Cpl r a o v O M fV N W «a o m a L O O t 0 N N 0 M O N N y 0 o. O O M « « N (pO T y O p f0a M O tO OJ E �p GD pi 1O MM vi y > U O c 4 N � o.a o �ta v c o M M M m N N c N O LLI ? m W N a o m m m aoo � v � � � a c N C N w v e M c 3 o fV 2 uMi `r' n n LLI ° o n W a U 3 m d— Oai c rB O H d C � 3 � u a o 4 V A p y C v N e d o 0 rj � ova wpm m w � E m c —d t �p N 1 m 0 O E 3 g m o � m f m N_ m c — 12 O 3tv c Q N X C U ? 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