Res 011-2012 2/21/2012
RESOLUTION NO. _11-2012_
Resolution Of The City Of Wichita Falls Suspending The March 6, 2012,
Effective Date Of Atmos Energy Corp., Mid-Tex Division (“Atmos Mid-
Tex”) Requested Rate Change To Permit The City 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
(“Atmos Mid-Tex” or “Company”), pursuant to Gas Utility Regulatory Act §104.102 filed
with the City of Wichita Falls (“City”) 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;
WHEREAS, the City is a regulatory authority under the Gas Utility Regulatory Act
(“GURA”) and under Chapter 104, §104.001 et seq. of GURA, has exclusive original
jurisdiction over Atmos Mid-Tex’s rates, operations, and services within the City;
WHEREAS, in order to maximize the efficient use of resources and expertise, it is
reasonable for the City 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;
WHEREAS, Atmos Mid-Tex proposed March 6, 2012, as the effective date for its
requested increase in rates;
WHEREAS, it is not possible for the City to complete its review of Atmos Mid-Tex’s
filing by March 6, 2012;
WHEREAS, the City will need an adequate amount of time to review and evaluate
Atmos Mid-Tex’s rate application to enable the City to adopt a final decision as a local
regulatory authority with regard to Atmos Mid-Tex’s requested rate increase;
WHEREAS, the Gas Utility Regulatory Act §104.107 grants local regulatory
authorities the right to suspend the effective date of proposed rate changes for 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.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WICHITA FALLS, TEXAS, THAT:
1. 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.
2. The City 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 City 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 City or Railroad Commission.
3. The City’s reasonable rate case expenses shall be reimbursed by Atmos.
4. 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.
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.
st
PASSED AND APPROVED this 21 day of February, 2012.
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M A Y O R
ATTEST:
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City Clerk