Item Coversheet
  CITY COUNCIL AGENDA MEMO
MEETING DATE: 8/25/2025
DEPARTMENT:Gov Relations
DIRECTOR:Andrew Fortune, Director of Policy & Government Relations
AGENDA ITEM:Suspension of the CoServ Gas effective date of GRIP rate adjustments for the maximum time allowed.
RECOMMENDED ACTION:Adoption of Resolutions

ITEM SUMMARY

To suspend the September 17, 2025 effective date of the proposal by CoServ Gas, Ltd. to implement interim GRIP rate adjustments for gas utility investment in 2024; requiring delivery of this Resolution to the Company and legal counsel; and providing an effective date. Adopted Resolution No. 2025-8-8(R)

 

 

 

 

BACKGROUND

City of Plano gas services are provided through two providers: Atmos Energy and CoServ Gas. CoServ Gas provides gas services in Plano primarily in north Plano along Highway 121 and in far west Plano. Gas services in Plano by CoServ Gas is approximately less than 10%. 

 

On July 18th, 2025, CoServ Gas, Ltd. made an Interim Rate Adjustment or "GRIP" filing with the cities in their geographic service area. The current filing will increase rates to residential customers' average bill by $3.33 per month, and commercial customers will now be charged $21.33 per month.

 

The rate increase is currently scheduled to go into effect on September 17, 2025. Under the GRIP statue, cities may not challenge CoServ Gas' request. The only course of action permitted by cities is to suspend the effective date of the rate increase by the maximum period allowed by the Texas Utilities Code which is 45 days. If cities do not pass a Resolution suspending the effective date by 45 days, then the current effective date of the GRIP rate increase will go into effect. 

FINANCIAL SUMMARY/STRATEGIC GOALS

This Item has no financial impact. 

 

Approval of this Resolution will support the City's Strategic Plan Critical Success Factor of Excellent, Innovative, and Accountable City Government. 

ATTACHMENTS:
DescriptionUpload DateType
Resolution8/19/2025Resolution