HomeMy WebLinkAboutR07-176RESOLUTION NO. R07-176
A RESOLUTION BY THE CITY OF PLAINVIEW, TEXAS
SUSPENDING THE SEPTEMBER 25, 2007, EFFECTIVE DATE
OF THE PROPOSAL BY ATMOS ENERGY CORP., WEST TEXAS
DIVISION TO IMPLEMENT INTERIM GRIP RATE ADJUSTMENTS
FOR GAS UTILITY INVESTMENT IN 2006; AUTHORIZING
PARTICIPATION WITH THE ATMOS WEST TEXAS CITIES
STEERING COMMITTEE IN A REVIEW AND INQUIRY INTO THE
SUFFICIENCY OF THE FILING AND THE BASIS OF THE
PROPOSED RATE ADJUSTMENT; AUTHORIZING
INTERVENTION IN ADMINISTRATIVE AND COURT
PROCEEDINGS INVOLVING THE PROPOSED GRIP RATE
ADJUSTMENTS; REQUIRING REIMBURSEMENT OF
REASONABLE LEGAL AND CONSULTANT RATEMAKING
COSTS; AND REQUIRING DELIVERY OF THIS RESOLUTION TO
THE COMPANY AND LEGAL COUNSEL.
WHEREAS, The City of Plainview, Texas ("City") is a gas utility customer
of Atmos Energy Corp., West Texas Division ("Atmos West Texas" or "the
Company"), and a regulatory authority with an interest in the rates and charges of
Atmos West Texas; and
WHEREAS, Atmos West Texas made filings with the City and the Railroad
Commission of Texas ("Railroad Commission") on or about July 27, 2007,
proposing to implement interim rate adjustments ("GRIP rate increases"),
pursuant to Texas Utilities Code § 104.301, on all customers served by Atmos
West Texas, effective September 25, 2007; and
WHEREAS, in a recent rate case (GUD No. 9670) for Atmos Mid-Tex, a
sister division of Atmos West Texas, it was determined that Atmos Mid-Tex had
inappropriately included certain expenditures in its prior GRIP rate increases;
and
WHEREAS, it is incumbent upon the City, as a regulatory authority, to
examine this latest GRIP filing to determine its compliance with the Texas
Utilities Code and the Railroad Commission's decision in GUD No. 9670; and
WHEREAS, ratepayers of Atmos West Texas, including the City and its
residents, will be adversely impacted by the proposed GRIP rate increases; and
WHEREAS, it is advantageous for the City and its citizens to coordinate
the City's response to Atmos' filing with similarly situated municipalities; and
Resolution R07-176 Atmos GRIP Filing Page 1 of 3
WHEREAS, the City has benefited from prior participation with the Atmos
West Texas Cities Steering Committee; and
WHEREAS, it is efficient and cost beneficial for the City to coordinate
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 Executive Committee of Atmos West Texas Cities
Steering Committee has recommended suspension and established a budget for
evaluation of the Atmos filing; and
WHEREAS, a GRIP proceeding involves rate making, entitling cities to
reimbursement of reasonable rate case expenses;
NOW, THEREFORE, The City of Plainview Hereby Resolves that:
1. The September 25, 2007, effective date of the GRIP rate increases
proposed by Atmos West Texas 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.
2. The City is authorized to cooperate with Atmos West Texas
Steering Committee Cities 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.
3. The City is authorized to intervene in any administrative
proceedings or litigation associated with the proposed GRIP rate increases.
4. Atmos West Texas shall promptly reimburse the City's reasonable
costs associated with the City's ratemaking activities related to the proposed
GRIP rate increases.
5. A copy of this Resolution shall be sent to Atmos West Texas, care
of C.W. "Bill" Guy, at Atmos Energy Corporation, 5110 80th Street, Lubbock,
Texas 79424, and to Geoffrey Gay, legal counsel to Atmos West Texas Steering
Committee Cities, at Lloyd Gosselink, 816 Congress Avenue, Suite 1900, Austin,
Texas 78701.
Resolution R07-176 Atmos GRIP Filing Page 2 of 3
PASSED AND APPROVED this 28th day of August, 2007.
hn C. Anderso ,Mayor
u
ATTEST:
Belinda Hinojosa, City Secret
APPROVED AS TO FORM:
Leslie Spear Pearc City Attorney
Resolution R07-176 Atmos GRIP Filing Page 3 of 3