HomeMy WebLinkAboutMinutes - City Council - Regular - 6/7/1934I CT,FS7D REGt''� ':R 1'_E'ETING.
Lub-7ock, Tel r. , June 7, 1934.
The City Uommission of the City of Lub��ock, Texas, met at 9:30
A.II. in Recessed HeCul :r Ses.-ion, Recessed from the Hegulux tLeeting
of "�.y 24, 1934, at the Regular 1:'eeting Place in the City t1�11,
the follo-,ving members thereof being present, to-���it:
i:Fayor Ross Edviards, Coyrinissioners :".�. Price, j.C. Royalty, A.J.
Richardson, �.I. �^con, City ittorney E.L. ilett, Gity hianager
.H. Rodgers lnd City Secretriry J.L. Holt.
A1i�ent: iieve.
Er. R.Y. Iiinchey, Yr. Geo. Dupree, iar. Ueo. tsaird sand 1��!r. R*E.
''�ertz, of the 'est Te=- --, uorapany, c^rne before the Co:1-missioll
Inc? recuested the Cormission to a; -prove the follot:;ing proposed
optic al g=).s r�.tes.
45
L�
Gentlemen:
"eve h-ve asked for a he`irin6 before this Honorable body for
the purpose of discussing -and y_aki__g application to you for
permission to instal'. an opticnal trial gas r.:te in the city
of Lubbock.
"'e h-ve developed tnro r-_tes, kno,,,rn as Proposed Optional
Trial Rite ivo. 19 and ivo. 25, ,Thich v!e offer for your consideration.
Proposed Optional Trial Rate ho. 1..9
First 1 11 per consumer per month 41.50 per K
next 49 ni " it #, " .50 " hi
hiininum Bill and
Paynent Provision: Same as present rate.
i4ote: This r,te applies to both residenLial
a.nd commercial service.
Proposed Optional.Trial R_te iVo. 25
Applic_ttion of Schedule
This schedule is applicable for gas service in residences,
individual family apartments, or flats,, for lighting, cooking,
he~ling stoves, hcuse he -Ring furnace:, and other domectic uses.
Hotels, apartment houses, restaur,-nts, tourist camps and
recognized boarding and rooming houses not be served under
this rate, but •Till continue to be served under the present
dommercia.l r=1te of the Company.
Rate: Combin:ztior_ Flat and l°'eter
Flat rate of 20 cents per room per month =ith no residence
being billed on less than 4 or more than 8 rooms, and a.
hLeter Pate of
7'irst 2 M per Room per Idonth - 50je per k
%:ext 1 M ►� t� Tf - 45,0 hi
Excess - 4OX K
Net Minimun Monthly
'i'he fly t r^ to portion of the above stated rate, but not less
than $.80 net.
--nt Provisions
Snme as -:resent rate.
Rooms - Classification
All rooms -rill be counted except hallways (not including hall-
.�Tays used as living rooms), alcoves, closets, pantries, lavatories,
bathrooms, unfinished attics a.nd. basements, trunk rooms, front
• _.nd re?r porches and sleeping porches not permanently enclosed.
Garages will not be counted, but servant's room or living quarters,,
therein gill, if connected, be counted.
_ 'e -.7ish to make it cle^,r to the Gonnission that we are not
sking for a chanLe in our present r.Ltes. e only ask that you
-)ermit us to establish one or the other of these proposed rates
as an optional rate, based on individual Contracts for not less
than one ye'ir.
'''e believe that either of these prop osed rates :rill meet the
n-pproval of our customers, because +hey arp optional --) n' the
custorae_rs who choose to use the,.e rates hill, r_aturally, be
convineed that they are benefiting thereby. either r-Ite will
benefit the majority of the annual residential bills in Lubbock,
and will make a material reduction in the present r'-.te and
develop a substantial saving in the annual bills of all customers
having an a-vergget or better than averaget gas constoption.
ORE
Either rate will place 50-cent g-s ,-,ithin reach of all customers
using gas in normal quantities, and make it economically possible aad
feasible for the larger homes to use gas in furnaces, and the small
homes to attain much more desirable convenient heating service
through. the use of circul=,ting heaters or floor furnaces.
Our oper,ting cost, excluding cost of g-ist gas loss, bad accounts
and fixecharges, was $1.41 per meter per month in the city of
Lubbock for the ye=)r of 1933. Of this a-iount, approximately 22,0
is represented in taxes, which ,,ras collected and passed on to the
proper tax authorities, le,)ving a net of $1.19 operating cost per
meter p- r month. fhe Commission i%ill readily see from these figures
that under the present rites the srna.11 gas consumer is far below
the cost of service.
in our business, we lose many gas consumers during the summer
months; as an example, during the month of Mays 1934, 211 consumers
disconnected from our system. This month of June will probably see
?00 more disconnections. 'These customers will not be back to use
our commodity and service until the cold weather returns next fall;
thus, you can see th�a.t our Company e xperiences a great loss in
business during the summer months of e`?ch year, at which time the
Company does not make oper,�tir_g costs.
Our Uompany started delivering gas to Lubbock in October, 1927,amd
had only two Full years' business until the financial crash in
October, 1929. Our rates, however, have always compared favor��bly
11.1ith th-= gas rates in other towns in the State of Texas. Under our
present rate, there are approximately 543 towns in this State with
gas rates equal to, or higher than, ours. Under our Proposed.
Optional Trial R-te No. 19, there will be ipproxima.tely 40 towns in
the State of Tex -is with a lower g•i s r-:. te. many of these towns are
loc-ted in the Pn.nhnndle ga;= field, or in close proximity to ether
gas fields in the State. '1,'e ^re not asking the Uommission to
revise or change our present rate, nor to change your policies or
plzns in any manner. "fe a.re only asking that you permit us to pass
a substantial saving on to our gas consumers, in the hope that this
optional rate will incre,3se our volurle of g'Is sales and thus,
to an extent, compensate for the additional loss in revenue that
1,�re ?re proposing to pass on to our customers.
Respectfully submitted,
.,NEST TEXAS GAS COMIPAFY
By R F tlinchey
Vice Pres. and Uenrl 1LIgr.
After a very lengthy discussion 1-iith the represent•=.tives of the
Gas Company, and further discussion after they were excused.,
the City Uommission took no action on the proposition.
No further business coming up for consideration, upon motion by
h,fr.'Price, seconded by gr. Royalty, carried unanimously, the
City Commission adjourned.
Read and approved this L.Y--- day of
4TT7 ST :
City Sec re tn.:tT. -^
Tday r