HomeMy WebLinkAboutRes 12-09 Suspension Atmos Mid-Tex 2012 Rate CaseTOWN OF WESTLAKE
RESOLUTION NO. 12-09
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF WESTLAKE,
TEXAS, SUSPENDING THE MARCH 6, 2012, EFFECTIVE DATE OF ATMOS
ENERGY CORP., MID-TEX DIVISION ("ATMOS MID-TEX") REQUESTED RATE
CHANGE TO PERMIT THE TOWN TIME TO STUDY THE REQUEST AND TO
ESTABLISH REASONABLE RATES; APPROVING COOPERATION WITH ATMOS
CITIES STEERING COMMITTEE ("ACSC") AND OTHER CITIES IN THE ATMOS
MID-TEX SERVICE AREA TO HIRE LEGAL AND CONSULTING SERVICES AND
TO NEGOTIATE WITH THE COMPANY AND DIRECT ANY NECESSARY
LITIGATION AND APPEALS; REQUIRING REIMBURSEMENT OF CITIES' RATE
CASE EXPENSES; FINDING THAT THE MEETING AT WHICH THIS RESOLUTION
IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; REQUIRING
NOTICE OF THIS RESOLUTION TO THE COMPANY AND ACSC'S LEGAL
COUNSEL
WHEREAS, on or about January 31, 2012, Atmos Energy Corp., Mid -Tex Division
("Athos Mid -Tex" or "Company"), pursuant to Gas Utility Regulatory Act § 104.102 filed with
the Towel of Westlake ("Town") a Statement of Intent to change gas rates in all municipalities
exercising original jurisdiction within its Mid -Tex Division service area, effective March 6,
2012; and
WHEREAS, the Town is a regulatory authority under the Gas Utility Regulatory Act
("GURA") and under Chapter 104, §104.001 et seq. of LURA has exclusive original jurisdiction
over Atmos Mid-Tex's rates, operations, and services within the Town; and
WHEREAS, in order to maximize the efficient use of resources and expertise, it is
reasonable for the Town to maintain its involvement in the Atmos Cities Steering Committee
("ACSC") and to cooperate with the more than 150 similarly situated city members of ACSC
and other city participants in conducting a review of the Company's application and to hire and
direct legal counsel and consultants and to prepare a common response and to negotiate with the
Company and direct any necessary litigation; and
WHEREAS, Atmos Mid -Tex proposed March 6, 2012, as the effective date for its
requested increase in rates; and
WHEREAS, it is not possible for the Town to complete its review of Atmos Mid-Tex's
filing by March 6, 2012; and
WHEREAS, the Town will need an adequate amount of time to review and evaluate
Atmos Mid-Tex's rate application to enable the Town to adopt a final decision as a local
regulatory authority with regard to Atmos Mid-Tex's requested rate increase; and
Resolution 12-09
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WHEREAS, the Gas Utility Regulatory Act § 104.107 grants local regulatory authorities
the right to suspend the effective date of proposed rate changes for ninety (90) days, and
WHEREAS, the Gas Utility Regulatory Act § 103.022 provides that costs incurred by
Cities in ratemaking activities are to be reimbursed by the regulated utility.
WHEREAS, the Town Council finds that the passage of this Resolution is in the best
interest of the citizens of Westlake.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN
OF WESTLAKE, TEXAS:
SECTION 1: That the March 6, 2012, effective date of the rate request submitted by
Atmos Mid -Tex on January 31, 2012, be suspended for the maximum period allowed by law to
permit adequate time to review the proposed changes and to establish reasonable rates.
SECTION 2: That the Town is authorized to cooperate with ACSC and its member
cities in the Mid -Tex service area and under the direction of the ACSC Executive Committee to
hire and direct legal counsel and consultants, negotiate with the Company, make
recommendations to the Town regarding reasonable rates, and to direct any necessary
administrative proceedings or court litigation associated with an appeal of a rate ordinance and
the rate case filed with the Town or Railroad Commission.
SECTION 3: That the Town's reasonable rate case expenses shall be reimbursed by
Atmos.
SECTION 4: That it is hereby officially found and determined that the meeting at which
this Resolution is passed is open to the public as required by law and the public notice of the
time, place, and purpose of said meeting was given as required.
Resolution 12-09
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SECTION 5: A copy of this Resolution shall be sent to Atmos, care of David Park, Vice
President Rates & Regulatory Affairs, at Atmos Energy Corporation, Mid -Tex Division, 5420
LBJ Freeway, Suite 1862, Dallas, Texas 75240, and to Geoffrey Gay, General Counsel to ACSC,
at Lloyd Gosselink Rochelle & Townsend, P.C., P.O. Box 1725, Austin, Texas 78767-1725.
PASSED AND APPROVED ON THIS 27TH DAY OF FEBRUARY 2012.
ATTEST:
Kelly Edw ds, Town Secretary
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Lau a L. Wheat, Mayor
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Thomas E. 'nlyroll Town Manager
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Resolution 12-04
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