The City of Plano, along with 181 other Mid-Texas cities served by Atmos Energy Corporation, Mid-Tex Division is a member of the Atmos Cities Steering Committee.
In 2007, ACSC and Atmos Mid-Tex settled a rate application filed by the Company pursuant to Section 104.301 of the Texas Utilities Code for an interim rate adjustment commonly referred to as a GRIP filing (arising out of the Gas Reliability Infrastructure Program legislation). That settlement created a substitute rate review process, referred to as Rate Review Mechanism, as a substitute for future filings under the GRIP statute.
Since 2007, there have been several modifications to the original RRM Tariff. The most recent iteration of an RRM Tariff that implemented new procedures and criteria for the RRM process was reflected in an ordinance adopted by ACSC members in 2018.
Around April 1, 2022, the Atmos Energy Corp., Mid-Tex Division (“Atmos Mid-Tex” or “Company”) filed a rate request pursuant to the Rate Review Mechanism (“RRM”) Tariff adopted by Atmos Cities Steering Committee (“ACSC”) members. Atmos Mid-Tex claimed that its cost-of-service in a test year ending December 31, 2021, entitled it to additional system-wide revenues of $141.3 million. In applying the standards set forth in ACSC’s RRM Tariff, it reduces the Company’s request to $115 million, $83.26 million of which would be applicable to ACSC members.
The ACSC Executive Committee recommends a settlement at $115 million. The Effective Date for new rates is October 1, 2022. ACSC members should take action approving the Ordinance before September 30, 2022.