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HomeMy WebLinkAboutOrd 225 Revising Lone Star Gas RatesORDINANCE NO. 225 AN ORDINANCE REVISING THE RATES OF LONE STAR GAS COMPANY IN THE XMMXXaRX TOWN OF WESTLAKE , TEXAS; PROVIDING FOR CONDITIONS AND REPEAL ON CONFLICTING ORDINANCES WHEREAS, on May 11, 1994 Lone Star Gas Company ("LSGC") filed with the dh4mix TOWN OF WESTLAKE,_TEXAS ("CITY") a request for an increase in gas utility rates to be charged within CITY in the amount of $2,011,101 per annum within the Mid- Cities/Grapevine Distribution System; and WHEREAS, CITY, having the suspended the effective date of such proposed increase until September 13, 1994, and having considered the same after reasonable notice and public hearing, is of the opinion and finds that the rates of LSCC should be adjusted; NOW THEREFORE, BOARD OF ALDERMEN TOWN BE IT ORDAINED BY THE YC=NXyDDM= OF THE EUX OF WESTLAKE , TEXAS; I. That the rates, tariffs and charges for LSGC for gas service sold within CITY be revised to increase annual system revenue by $357,219. Such schedules of rates, as are approved in accordance herewith, are those under which said LSGC shall be authorized to render gas service and to collect charges from its customers for the sale of gas service and energy within the corporate limits of CITY until such time as said Rate Schedules may be changed, modified, amended or withdrawn, with the approval of the City Council. II. The rates approved hereby fix the overall revenues of LSGC at a level which will permit LSGC a reasonable opportunity to earn a reasonable return on its invested capital used and useful in rendering service to the public over and above LSGC's reasonable and necessary operating expenses. The rates approved hereby are just and reasonable. The rates approved hereby shall be effective and enforced as of the date hereof for consumption as of the date hereof, and shall be charged and observed thereafter until revised according to law. Billings for periods of consumption which include consumption under LSGC's existing rate and the rate established hereby shall be prorated based on the days within each such period, as though daily consumption was equal on each day throughout both such periods. IV. That LSGC shall file with CITY within ten (10) days hereof a revised Schedule of Rates and Tariffs setting forth those rates, tariffs, and charges based upon such increase in total operating revenues as prescribed herein. The rate design implemented by such schedules and tariffs shall be in accordance with Schedule 3, attached hereto. Such Schedule of Rates and Tariffs may be modified or amended by the City Council within ten (10) days from the date of filing with CITY, otherwise same shall be considered approved as filed. M LSGC shall reimburse CITY its pro rata share of costs for consultants and shall also reimburse CITY its reasonable costs for participation in any appeal of this rate case. VI. Any LSGC request for modification of existing tariffs, rates or schedules not specifically addressed herein, is denied. VII. Any other provision herein contained, the rates of LSGC within CITY shall not, in any case, exceed the rates of customers of LSGC in unincorporated areas whether such rates for unincorporated areas are set prior to or after the adoption of this ordinance, and it shall be unlawful for LSGC, its agents, servants or employees to collect or attempt to collect higher rates within CITY than are collected by LSGC within unincorporated areas. (2) VIII. BOARD OF ALDERMEN That the action of the YCKVN_XXXXaXffi',5= enacting this ordinance constitutes, on the date of its final passage, a final determination of rates for LSGC within CITY in accordance with the Gas Utility Regulatory Act. IX. Nothing contained in this ordinance shall be construed now or hereafter as limiting or modifying, in any manner, the right and power of CITY under the law to regulate the rates and charges of LSGC. X. That all ordinances, resolutions, or parts thereof, in conflict herewith, are repealed to the extent of such conflict. PASSED AND APPROVED THIS 12 day of September, 1994 ATTEST: XXW Secretary - Town (3) Mayo4 TOWN OF WES AKE, TEXAS APPROVED AS TO FORM: Attorney Town BY� --� SCHEDULE 3 LONE STAR GAS COMPANY PROOF OF REVENUE CALCULATION. AND RATE DESIGN CALCULATION RESIDENTIAL RATE PROOF CUSTOMER CHARGE CUSTOMER CHARGE NUMBER OF CUSTOMERS 64,241 NUMBER OF BILLS 770,892 CUSTOMER CHARGE REVENUES $3,654,460 COST OF GAS BASE RATE COST OF GAS $4.02 QUANTITY OF GAS (MCF) 5,061,483 DISCOUNTED OFF PEAK GAS (MCF) 106,935 GAS SALES REVENUES $26,495,964 TOTAL RESIDENTIAL REVENUES $30,350,424 RESIDENTIAL REVENUE REQUIREMENT $30,350,424 DIFFERENCE $ $0 COMMERCIAL RATE PROOF CUSTOMER CHARGE NUMBER OF CUSTOMERS 6,374 NUMBER OF BILLS 76,488 CUSTOMER CHARGE REVENUES $764,880 COST OF GAS BASE RATE 1 ST BLOCK 2ND BLOCK '........,21 ... 3RD BLOCK COST OF GAS $4.42 QUANTITY OF GAS (MCF) 1ST BLOCK 700,581 2ND BLOCK 571,201 3RD BLOCK 2,681,165 TOTAL QUANTITY OF GAS 3,952,947 GAS SALE REVENUES $2©,543,236 TOTAL COMMERCIAL REVENUES $21,308,116 COMMERCIAL REVENUE REQUIREMENT $21,308,022 DIFFERENCE $ $94