HomeMy WebLinkAboutResolution - 2008-R0111 - Deny Atmos Energy Request To Extend Deadline To Implement GRIP Tarrif Request - 03/27/2008I
Resolution No. 2008-Roi11
March 27, 2008
Item No. 6.11
RESOLUTION
WHEREAS, Section 104.301 of the Texas Utilities Code authorizes a gas utility,
within two years of their last filed rate case, to file with the regulatory authority a tariff or
Tate schedule that provides for an interim adjustment in the utility's monthly customer
charge to recover the cost of changes in the investment in service for gas utility services,
also known as the Gas Reliability Infrastructure Program ("GRIP") or an Interim Rate
Adjustment ("IRA"); and
WHEREAS, pursuant to Section 103.001 of the Texas Utilities Code the City
Council of the City of Lubbock is the regulatory authority that has exclusive original
jurisdiction over the rates, operation, and service of a gas utility operating within the
municipality; and
WHEREAS, the West Texas Division of Atmos Energy, on November 15, 2007
filed simultaneously with the City of Lubbock and the Railroad Commission of the State
of Texas a GRIP tariff filing containing the proposed tariff, tariff calculation, earnings
monitoring report and detail project reports; and
WHEREAS, the West Texas Division of Atmos Energy, in their GRIP tariff filing
is requesting an increase of $0.70 per customer per month for Residential Gas Service;
$2.01 for Commercial Gas Service; $22.33 for Small Industrial Gas Service; $9.95 for
Public Authority Gas Service; and $8.73 for State Institution Gas Service; and
WHEREAS, the above described GRIP tariff increases will go into effect sixty
(60) days after filing (January 14, 2008), unless further action is taken by the regulatory
authority; and
WHEREAS, the City of Lubbock, as the regulatory authority, pursuant to Section
104.301(x) of the Texas Utilities Code, suspended the implementation of the GRIP tariff
increases for a period of forty-five (45) days; and
WHEREAS, the West Texas Division of Atmos Energy, on February 22, 2008
requested from the City of Lubbock that the deadline to implement the 2006 GRIP in
Lubbock be further extended until March 31, 2008, to which the City of Lubbock agreed;
and
WHEREAS, the West Texas Division of Atmos Energy, on March 19, 2008 has
requested from the City of Lubbock that the deadline to implement the 2006 GRIP in
Lubbock be further extended until June 1, 2008; and
WHEREAS, the City Council of the City of Lubbock finds, as the regulatory
authority with exclusive original jurisdiction over the rates, operation and service of
Atmos Energy within the municipal boundaries of the city of Lubbock, that there have
already been numerous delays and extensions and that it would not be in the best interest
of the residents and businesses of the city of Lubbock to grant the request of the West
Texas Division of Atmos Energy, NOW THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT, pursuant to Section 104.301(a) of the Texas Utilities Code, the City
Council of the City of Lubbock, as the regulatory authority with exclusive original
jurisdiction over the rates, operation and service of Atmos Energy within the municipal
boundaries of the city of Lubbock, hereby denies the request by Atmos Energy to extend
the deadline to implement the GRIT' tariff request of the West Texas Division of Atmos
Energy until June 1, 2008.
Passed by the City Council this
27th day of March , 2008.
i' �.--�
Davi A. �Mi�ller,Mayor
ATTEST:
Rebe .ca Garza, City Secretary
APPROVED AS TO CONTENT:
APPROVED AS TO FORM:
A�/
Matth L. Wade
Natural Resources Attorney
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mlw/ccdocs/Res-GRIP Extension Resolution Denial 032708
ATMOS
energy
March 19, 2008
Resolution No. 2008—ROIII
Atmos Energy Corpo+atfoin
5110 801 street
Lubbock. Texas. 79424
C W.(Slll) Guy Tel: 846-798-4457
Vc a President, Pax: W6-798-4494
Atmos Energy Corporation Bitt."CpUmosEnergy.corn
RECEIVED
MAR 1 9 2006
CITY SECRETARY
LUBBOCK,TEXAS
THE HONORABLE MAYOR. AND CITY COUNCIL OF THE CITY OF LUBBOCK
Re: 2006 GRIT' Filing for Atmos Energy, West Texas Division, Lubbock
Atmos Energy, West Texas Division ("Atmos" or "Company") filed its 2006 GRIP Filing with the
Railroad Commission of Texas ("RRC") and the City of Lubbock ("City") on November 15, 2007.
The statutory deadline for action to be taken on the current GRIP filing is February 28, 2008. Atmos
requested an extension of the statutory deadline to March 31, 2008 on February 22.
Atmos and the City continue making progress towards a settlement of all current rate issues. In order
to allow time for these negotiations to continue to completion prior to implementing the proposed
interim rate adjustment with the City, Atmos respectfully requests an extension of the deadline for its
2006 GRIP decision to .lune 1, 2008.
Please let me know at your earliest convenience if the proposed extension is acceptable. Atmos
thanks you in advance for your time and consideration of this request. Should you have any
questions, please do not hesitate to contact me.
Respectfully submitted,
C. W. "Bill" Guy
Vice President of Rates and Regulatory Affairs
rc: Gary Gregory, President, Atmos Energy, West Texas Division