Ord 08-2008 2/5/2008 ORDINANCE NO. 8-2008
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WICHITA FALLS,
TEXAS, APPROVING A SETTLEMENT AGREEMENT BETWEEN THE
ATMOS CITIES STEERING COMMITTEE AND ATMOS ENERGY CORP.,
MID-TEX DIVISION ("ATMOS MID-TEX" OR "THE COMPANY") REGARDING
THE COMPANY'S STATEMENT OF INTENT TO CHANGE GAS RATES IN
ALL CITIES EXERCISING ORIGINAL JURISDICTION; DECLARING EXISTING
RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT
RATE ADJUSTMENTS CONSISTENT WITH THE SETTLEMENT
AGREEMENT AND FINDING THE RATES TO BE SET BY THE ATTACHED
TARIFFS TO BE JUST AND REASONABLE; ADOPTING A SAVINGS
CLAUSE; FINDING AND DETERMINING THAT THE MEETING AT WHICH
THIS ORDINANCE WAS PASSED WAS OPEN TO THE PUBLIC AS
REQUIRED BY LAW; DECLARING AN EFFECTIVE DATE; AND REQUIRING
DELIVERY OF THIS ORDINANCE TO THE COMPANY AND LEGAL
COUNSEL.
WHEREAS, the City of Wichita Falls, Texas ("City") is a gas utility customer of Atmos
Energy Corp., Mid-Tex Division ("Atmos Mid-Tex" or "the Company"), and a regulatory authority
with an interest in the rates and charges of Atmos Mid-Tex; and,
WHEREAS, on or about September 20, 2007, Atmos Mid-Texas, pursuant to Gas Utility
Regulatory Act §104.102, filed with the City a Statement of Intent to increase system-wide gas
rates by approximately $52 million, such increase to be effective in all municipalities exercising
original jurisdiction within its Mid-Tex Division service area effective on October 25, 2007; and,
WHEREAS, the City took action to suspend the October 25, 2007 Effective Date and to
coordinate a response to Atmos' filing with more than 150 other similarly situated municipalities
through the Atmos Cities Steering Committee ("ACSC") (such participating cities are referred to
herein as "ACSC Cities"); and,
WHEREAS, Atmos has agreed to extend the October 25, 2007, Effective Date such that
the City's jurisdiction over this matter ends March 1, 2008; and,
WHEREAS, the Railroad Commission of Texas ("RRC" or the "Commission") in GUD
No. 9670, issued an Order approving new system-wide rates for customers of Atmos Energy's
Mid-Tex Division in March 2007, which increased residential base rates by approximately $10
million annually; and,
WHEREAS, ACSC and Atmos have each appealed the RRC's decision in Atmos' most
recent system-wide rate increase, as well as the decision rendered in GUD No. 9400 to the
Travis County District Court; and,
WHEREAS, Atmos and ACSC have been in continuing disagreement, dispute, and
litigation over the application of Section 104.301 of the TExAS UT��iT�ES Co�E and the resulting
rate increases ("GRIP surcharges") established by the RRC; and,
WHEREAS, Atmos filed its application for its fourth GRIP surcharge in four years on May
31, 2007, seeking to increase the rates of all customers by approximately $12 million annually;
and,
WHEREAS, the ACSC Cities desire to avoid the litigation expense that would result from
another lengthy contested rate case proceeding before the RRC, as well as the prosecution of
the appeals in various courts of the GRIP surcharges and the two previous system-wide rate
decisions; and,
WHEREAS, ACSC desires to recoup certain costs it previously incurred in connection
with GRIP-related proceedings (costs which Atmos contends are not reimbursable rate case
expenses under the TExAS UTiuTiES Co�E), as well as costs incurred in connection with this
proceeding; and,
WHEREAS, on October 18, 2007, more than 60 ACSC members met in Arlington with
officers and executives of Atmos to discuss various issues, including rate making, resulting in a
mutual pledge to work toward settlement; and,
WHEREAS, ACSC members designated a Settlement Committee made up of ACSC
representatives to work with ACSC attorneys and consultants to formulate and review
reasonable settlement positions to resolve outstanding matters with Atmos, including the
pending rate increase request; and,
WHEREAS, the Settlement committee and lawyers representing ACSC met several
times with the Company to negotiate a Settlement Agreement resolving the issues raised in the
Company's Statement of Intent filing, as well as all outstanding appeals of the two prior rate
cases and various GRIP filings; and,
WHEREAS, the Settlement Committee, as well as ACSC lawyers and consultants,
believe existing rates are unreasonable and should be changed; and,
WHEREAS, the ACSC Executive Committee recommends ACSC members approve the
negotiated Settlement Agreement and attached tariffs; and,
WHEREAS, the attached tariffs provide for an expedited rate review process as a
substitute to the current GRIP process instituted by the Legislature; and,
WHEREAS, the expedited rate review process as provided by the Rate Review
Mechanism Tariff eliminates piecemeal ratemaking, the ACSC's major objection to the current
GRIP process; and,
WHEREAS, the attached tariffs implementing new rates are consistent with the
Settlement Agreement and are just, reasonable, and in the public interest; and,
WHEREAS, it is the intention of the parties that ACSC Cities receive the benefit of any
Settlement Agreement that Atmos enters into with other entities arising out of its Statement of
Intent or any associated appeals of a decision entered by the Railroad Commission regarding
the Company's request to increase rates; and,
WHEREAS, the Settlement Agreement as a whole is in the public interest.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
WICHITA FALLS, TEXAS, THAT:
SECTION 1. The findings set forth in this Ordinance are hereby in all things approved.
SECTION 2. The City Council finds that the Settlement Agreement, which is attached
hereto and incorporated herein as Attachment A, is in the public interest and is hereby endorsed
in all respects.
SECTION 3. The existing rates for natural gas service provided by Atmos Mid-Tex are
unreasonable and new tariffs, which are attached hereto and incorporated herein as Attachment
B, are just and reasonable and are hereby adopted.
SECTION 4. To the extent any reason or ordinance previously adopted by the Council is
inconsistent with this Ordinance, it is hereby repealed.
SECTION 5. The meeting at which this Ordinance was approved was in all things
C011dUCtG'd Itl Stl'ICt C0111p118t1C@ Wlth th2 TEXAS OPEN MEETINGS ACT, TEXAS GOVERNMENT CODE,
Chapter 551.
SECTION 6. If any one or more sections or clauses of this Ordinance is adjudged to be
unconstitutional or invalid, such judgment shall not affect impair or invalidate the remaining
provisions of this Ordinance, and the remaining provisions of the Ordinance shall be interpreted
as if the offending section or clause never existed.
SECTION 7. If ACSC Cities determine any rates, revenues, terms and conditions, or
benefits resulting from a Final Order or subsequent Settlement Agreement approved in any
proceeding addressing the issues raised in Atmos' Statement of Intent would be more beneficial
to the ACSC Cities than the terms of the attached Settlement Agreement, then the more
favorable rates, revenues, terms and conditions, or benefits shall additionally accrue to the
ACSC Cities. However, approval of the attached Rider RRM, Rider, CEE, Rider GCR and the
Rider WNA shall not be affected by the application of the provisions contained in this section, it
being the understanding and the intent of the parties hereto that such tariffs shall continue
according to their terms.
SECTION 8. This Ordinance shall become effective from and after its passage with rates
authorized by attached Tariffs to be effective for customer bills delivered on or after March 1,
2008.
SECTION 9. A copy of this Ordinance shall be sent to Atmos Mid-Tex, care of Joe T.
Christian, Director of Rates, at Atmos Energy Corporation, 5420 LBJ Freeway, Suite 1800,
Dallas, Texas 75240, and to Geoffrey Gay, General Counsel to ACSC, at Lloyd Gosselink
Blevins Rochelle & Townsend, P.C., P. O. Box 1725, Austin, Texas 78767-1725.
PASSED AND APPROVED this the 5 day of February, 2008.
MA OR
ATTEST:
�}
'ty Clerk
ATTACHI►�NT A
STATE3�'IE1VT OF INTENT FILED BY ATMOS ENERGY, CURP.,1�1tD-TEX DIVISIOY
ON SEPTEMBER 20, 2Q07
SETTLF.hI�NT AGREEMENf
This Settlement Agreement is entercd into by and between Atmos �nc;rgy Corp.("Atmos"
or "thc Cumpany") and thc Atrnos Cities Steering Committec ("ACSC")� whose members
i�lude the Cities of Abilene, Addison, Allen, Alvarado, Angus, Anna, Argylc, Arlingtan,
$edford, Bellmead, Benbraok, Beverly Hills, Blue Ridgc, Bowie, Boyd, Bridgeport,
Brownwoai, Buffalo, Burkbumett, Burlcson, C�do Milis, Cairoliton, Cedar [lilt, Ccleste,
Celina, Cisco, Cleburne, Clyde, College Staiio0. Colkyvi2le, Colorada City, Comanche,
Coolidge. Cappell, Corinth, Corca! City, Ceandall, Crowlcy, Datworthingtaa Gardcns, Dcnison,
DeSoto, Duneatsvitle, Eastiand, Edgecliff Village, Emory, Eanis, Eulrss, Evcrman. Fairviea,
Farmezs Brsach, fiarusers�illc, Fa.e, Piower l�iuund, Forest Hill, Fort worth, Frisco, Trost,
Gainesvillt. Garland, Garntt, Grand Prairie, Grapcvine, Haltom City, Haricer Heights, Hasiceli,
Hastct, Hsath, Hewin, Highland Fark, Highland Village, Honey Grove, Hurst. fowa Park, lning,
Justin, Kaufman, Kcene, Keller, Kemp, Kenntdale, Kerrville, Killeen, Krum, Lakcsidc, l.ake
Worth, Lancasicr, Lcwisville, Lincoln Park, I.itt(c Clm, Malakoff, Mansfield, McKinncy,
Melissa, Mesquite, Midlothian, Murphy, Ncwark, Nocona, North Richland Hills, Northlake, dak
Leaf, Ovilla, Palcstinc. Pantego, Peris, Parker, P�an Hill, Plasa, Ponder, Pottsboro. Prosper,
Pvtnam, Quitman, Red Oak, Reno (Parker County), Richardson, Richisnd Hills, Roanakc,
Kobinsoa, Rockwall, Roscoc, Rowlett, Sachse, Saginaw, Seagoville, Sherman, Sny�ier,
Southlake, Springtown, Stamford, Stephcnville, Suiphur Springs, Sweetwater, Temple, Tetrcll,
Tbe Colony, `I�uaclanorton, Tylcr, University Paric, Venus, Yanan, Wac:o, Wawuga,
Waxabachic, V4'estlake, Westvvorth Village, Whitesboro, White Sealement, w'ichita Fa31s,
Woodway, and Wylie (colltctivtty "ACSC Cities").
W'HEREAS, the Sctdtment Agreement resolvcs ell issues reIating tQ the Atmas Erx;rgy
Corp., Mid-Tex Division Statement of Intcnt fiied with the ACSC Cities on September 20, 2tH�7,
in � menner that Atmos and ACSC ("the Signatories") believe is consistent with the pubtic
intcrest, and the Signatories represent diverse interests;
VVt�REAS, the Signatotits believe that a fully coatestcd hcaring in the case wnuld be
timt-coruuming and rntail substantial additional expense for s!i parties and that thc �btic
inccrest will be served by a�ption nf an ordinance coasistcnt wittt the Sctilemeat Ageunent;
NOW, TI-�EREFORE, in consideration of the mucual agreements and coveuanu
cstablished herein, the Signatories, through their undersigned rtprtsentatives, agree to and
recommend for approva! by thc ACSC Cities the foliovring Seulement Tcrms as a means of fulty
resolving all issues raised in the September 20, 2047 Statemtnt of Intent filed by Atmus on
behalf of its Mid-Tex division:
Settleme»r Terms
l. Atmvs and the ACSC Cities egree to thc raies, terms and conditions r�flecxed in the
tariffs attachcd to this Stttlement � as Exhiirit A. Said tariffs s�uld allo�
Atmos an additional S10 million in ar�nual reve�� by implema�tation o€rates shown in
I
SETTLEMETlT AGREEMHlY7'
STATEMENT �F IN!'ENT FILED BY ATMOS ENERGY, CORP.,
MiD-T�C DIVISION ON SEPTEMBER 20, 2407
the proof of revenues attachcd as Exhibit B. Atmos and the ACSC Cities futthcr agree
that the rates, terms, and condifions reflected in Exhibit A to this Settlement Agreement
comply with the rate-setting requirements of Chapter 10� of the Texas Utilities Code.
The gas rates, terms and conditions established by ihis Settlement Agreement shall be
effective for bilis rendered on or at3er March 1, 2008.
2. The net plant amounts shown in the ariached Fachibit B are reasonable for the plant that is
used and useful in providing gas utility servict.
3. Includcd as part of Exhibit A is a Ratc Review Mechanism ("Itider KR�1"j that providcs
for an annual rate adjustment to reflect changes in billing determinants, operating and
maintenance expense, depreciation expense, other tsxes expcnsr, and revenues as well as
changes in capital investment and associated changes in g,ross revenue related taxcs.
Atmos ugrees that cffcc.ivc w the unptemcntation of the first RRM rate adjusmnent,
Atmos shall file with the ACSC Cities a revised Rate R-Rtsidential Sales Tariff to reduce
the customcr charge per bill from S 10.69 per monih to $7.00 per month and to increase
the volumetric portion of the rate {shown as $1.27I in Exhibit A) to the appropriate leve!
to reflect reduction in customer charge from $10.69 to S7.fl0, as well as to reflect any
change resulting from the RRM implementation. The fust RRl�i rate adjusiment is
expected to occur Octaber 1, 2Q08. Atmos and the ACSC Cities agree that foliowing the
initial RRM adjustmeni any subsequent implementation of RRM adjustmrnts sha11 be
supported as described in the Rider RRM, and shall fimit changcs to residential and
commercial custorner charge to no more ihan 24%. Further, the parEies agree that any
approved adjustment in excess of the 2Q% limitation on the residential and commercial
customer charge shall be recovered through the volumetric portion of the rate.
4. With respect to the RFtM, Atmos and the ACSC Cities agree that the rate incrcase
limitxtions �:t foith in Rider RRM under Galculation of Rate Adjustment, subpart (c�
shall not preclude Atmos from recovering any excluded costs during a subsequent
�valuAtion Period in which the 5% limiiation for 08cM �xpenses Qr net plant investment,
respectively, is not reached or in a subsequent Statement Qf Intent case. To the extent
that Atmos seeks to rccover any excluded casis during a subsequent Evaluation Period in
which the 5% limitation for 08tM expenses or net plant investment, respectively, is not
reached or in a subsequent Statement af Intent case, Atmos shall identify thcsc costs as a
specific line item in ihe schedulc accompanying the RRM ratc adjustment filing.
5. With respeci to the RRM, Atmos fi�rther agrees to pay sll reasonable and necesssry
expenses of each entity having original jurisdiction that are incurred to review the
Company's annual RRM filings. Atmas furE}�er age�es that in calculating the proposed
raie for any Rate Effective Period, the Company shall not include: (1) any e�cternal legal,
expert, or consultant costs to prepare and/or provide supportive informarion related to its
filing; or (2) reimbursements to original jurisdiction entities.
6. Natwithstanding paragraph 5 of this Sctticment Agrcement, Atmos and ACSC tt�rce that
in the event of an appeal af an original jurisdiction entity's decision regarding a proposed
RRM adjustment, recovery of rate case expenses sha11 be determined according to
Chaptcrs 103 and I Q4, 'I�x. Utit.. CoDE At�ttv. Further, in lhe event of such appeal(s),
2
S�'7'I'LEM6NT AGREF_MENT
S1'ATEMENT OF MTENT FILED BY ATMOS ENGRGY, CURP.,
MII}-TEX DIViS10iV ON SEPTEMBF.it 20, 200'1
Atmos shait rcco�er any reimburscment m�e to the origins4 jurisdictioa entity through a
surcharge to customer ratcs whcther such reimburscmtnts arc made during the initia!
review period or appeal period.
7, Atmos agrees thst it will makc no �lings on bchalf of its Mid-Tex division under the
provisions of'T�ac. UTt�. Coa� Arrrt. § f 04.30 i while the Ridcr RRM is in place, and any
such ftlings pendiag at the time the RRM is approved will bc wed-up fvr revenue and
rate base components prior to implemcntation of thc aiure:al RR.�I. In ihe evcni thal a
regulatory authority fails to art or cnurs an ad�ersc decision rcgarding the proposed
annua! RIt.�� adjustment, zhe Railroad Commissioa af Texas sha11� pursuant to the
provisions of the Texas Utilitics Cade, have exclusivc agpe}tate jurisdicteon to review t�c
actioa or inaetion of ttte regulatory authority txacising exclusive origisaal jurisdiction
over the RRM raquest. tn addition, thc Signatorics agrce ihat this 5etticmcnt Agrcement
shalt noi lx construed as a waiver uf tltc ACSC Cities' right to initiate a show cause
proceeding or thc Company's right to filc u Statemcnt of Intent und�r the provisions of
the Texas Utilities Codc.
8. Atmos and the ACSC Cities commit thai during the Initial Tmplementatian Period, as
defined in the ftRM t�t�iff. AUr�os and ttsc ACSC Cities will noi d�vate rrsour�ces ar
efforts to advocate staiutory changes involving rate stalritizatian mechanisms or the Gas
Rcliabilit}� Infrastructure Plaa that is currentiy codilicd under T�x. Un�. Coot: § 104.30I.
4. Atmas and the ACSC Citics agrcc that thc gas cost portian of uncollectible exp�:nsc shali
bc recovered t}uough the Company's R.ider GCR rather than through base nttcs, The
changc in accounGng for t!� gas cost portion of uncoUeetiblc expense (including both ihe
acerual af e�pense and write-ofT of accounts) shall becomc effeciive with thc
implementation of tht first RRM rate adjustment. T� firsi RRM rat� adjustmcnt is
expccted to occ�u Octobtr !. 2W8. in cakulating the rate for the fim Rast EtT�ctive
Period, thc Company shall utili� thc same methodalogy as used in tbe Company's
September 20, 2007 Statccntnt of ]ntent with the onIy modifcatian being to ucctude the
effects of the gas cost portiQn of uncoliectibie expense from the basc rate calcuiation.
10. Aunos ar►d the ACSC Citics further agree that expensc associated with lost and
ucuiccountablc gas shall, based on an annual periad, be rxoverable through thc
Company's Rider GCR up to a maximum of five (5) perccnt of the quantity of m�tcred
gas, as providcd under Commission Rule 7.5525, Lost and Unaccounted for Gas. Such
change shall be cffcctive with the compleie 12 month repo�ing period ending June 30,
2408.
11. Includeci as part of Exhibit A to lhis Settlemeut Agrxmeut is a ncw gas conservation
pcogratn tariff` (Rider CEE) that will bc effectivc October 1, 2008. Atmos and the ACSC
Citics agrec that Atmos will fund S1 million of the allowable expenses incurnd annually,
with a customer rate component providing the remainder S1 million of Ewxiing. Ali
custamer-supplicd funds w�ll, prior to the commcncemcnt of the program, bc used towazd
program implrmcntation efforts and, upon implcmeniation, be applied dirtctly to the gas
couservation makrials and sapglies.
3
SETCLEMENT AGREEMENT
STATEMENT OF ITI'I'ENT F[LED BY ATMOS ENEkGY, CORI'.,
c�IiD—TEX DIYISION ON SEPTE1viAER 24, 2007
12. Atmos and ihe ACSC Cities agree that the Ca►np�ny's requested revision of its weather
normalization adjusimeni ("WNA") mechanism is apgropriate, as moclified by ACSC,
and should be approVed as set forth in Exhibit A to this Settlement Agr�ement.
Speeifically, the revision exclixies nan-weather sensitivc commercial customcrs and
modifies the WNA mechanism ta ealculate th� WNA �d�nstment based an weather
stations at a regional level raiher than under the current practice of associating all
customers with a singte weather location far purposes of determining the WNA
adjusunent.
l3. Atmas and the ACSC Citics agrce that the three-ycar gas cost revicw groeess that is
currentiy in effect �'or the Mid-Tex division should be eliminated. Atrnos and the ACSC
Cities further agree ta coliaborate to establish an alternate process wherein the prudence
of gas costs recovered through the Rider GCR can be addressed. Until an agreed upon
replacement mechanism has been esta�lished, ttze cuzrent �as cost reti7cw process shall
remain in effect, untess changed by order of ihe Commission.
14. It is the intention of the Signatories that the ACSC Cities receive the benefit of any
settlement agreement that Atmos enters into with other entiiies arising out of GUD No.
9672 (consotidated cases) or any associated appeals of GUD No. 9672. Therefare, Atmos
agrees that if the ratrs, revenues, tetms and condi#ions, or benefits accruing ta the settling
entity wautd be more beneficial to thc ACSC Citits than ihe terms of this ScttIement
- Agreement, as determined by the ACSC Cities, such more favorablc rates, revenues, terms
and condi�ivns, or benefits shall additionally accrue to ihe ACSC Cities. Similarly, if thc
Finai Order in GUD No. 9672 or orders resulGng frorn any associa#eci appeals aze
determined �y the ACSC Cities io resu2t in rates, revenues, terms and conditions, or
benefiu that are more beneficial than the terrns or this Settlement Agreement, such morc
favorable terms, revenues, terms and conditions shail additionally accrue to the ACSC
Cities. Ho �.�cver, the Signaiories agr�e that the appmvai of tnc Rider RkIvf, thc Itider
WNA, the Rider CEE, and the Rider GCR, as stwwn in E�ibit A herete�, shall not be
affected by the agplication of the "most favored nations" provisions contained in Lhis
paragraph, it being the understanding and the intent of the Signatories hereto that such
tariffs shall continue in effectiveness according to thcir tcrms. The Signatories fi:rther
agrec that the agreement reflected in paragrsph t0 of this Setttement Agreement shaii not
be affected by the application of the "most favered nations" provisions contained in this
Paragraph.
15. Atmos agrees to reimburse the ACSC Cities previously incurred rate case expenses
within 3Q days of the date the last ACSC Ciiy ordinance approving this Settlement
Agreemeni is entered, and any additianal rate case expenses incurred through thc date of
the entry of the last f�CSC City ordinance, v4zthin 34 days of receipt of invaices.
I6. Atmos agrres to reimburse the ACSC Cities for expenses associated with al! 2003, 2004,
2405, and 2006 GRIP filings and relatcd court appcals up to $567,213 within 34 days of
the date the tast ACSC City ordinance approving itus Settlement Agreement is entered.
i 7. Ahnos and the ACSC Cities further agrte thai alI expct�scs reimbutsed pursuant ta
paragraphs 15 and 16 of this Settlement Agretment, as vrel) as all reasonable ratc case
4
SETTLEMENT AGRBEMENT
STATBMENT OF (NTENT FILED BY ATMOS ENERGY, CQRP.,
MiD-TEX DIVISION ON SEP'PEIviBER 24, 2007
expenses directl�r incurred by Atmos in conncctian with thC Segtcmlrer 24, 2047
Staiement of Intent filed on behalf of its Mid-Teac Division thmugh February 29, 2008,
shall be recoverable through a surcharge t4 customer rates within the ACSC Cities. `�Jt'ith
respect to �he rate case expenses direc#ly incurred by Atmos, the arnouni to be recovcred
through ihe surcharge to customers within the ACSC Cifies sh�.lI be determined an a pro
rata basis, consisient with the ACSC Ciiies' perccntage of tota] Mid-Tex residensial load
{S2°1o}. The surcharge sha11 be recovered over a twelve mpnth period beginn'tng in April
af 2008,
18. Within 30 days of the date the tast ACSC City ordinance agprovin� this Settkmcnt
Agrcement is entered, Atmos and the ACSC Cities agree to file a Notice of Non-Suit or
t�4otion ta Dismiss, whichever is applicable, in the fatlowing proceedings:
Cae�se No. D-1-GN-06-Ofl033," (Consa3idated),.4tmvs.Crt+rs Sleering Comrruttee v. The
Railroad Commission of Texas, In the 3dSth District Court, Travis County, Texas. This
case inetudes thc following eases:
a. Canse No. D-1-GAf-Q6-Q00333; rltmos Cities Steerirrg Co»rmittee x The
RailroQd Commisston af Texas, In the 34Sth Disuiet Court, Travis County, Teacas.
b. Cause No. D- i-GN-06-000334; A1mos Cities Steerfng Committee v The
Railroad Commiss�on af Tezas, In the 345tft Disirict Couri, Travis Couniy, Texas.
c. Cause Na. D-1-GN-06-404335; Atinas Cities Sreering Committee x The
Railroad Commissron of Texas, In the 345th District Court, Travis County, Texas.
d. Cause No. D-1-GN-OG-0�0336; r4tmos GYties Steering Committee v. The
Railroad Commisslon of Texas, Tn the 345th District Court Tf2ViS C41Ii1�' Teacas.
e. Cause No. D-1-GI�-46-Q4U332; �itmas Cities Sleeririg i vrnmit�ee v. The
Railroad Commisslon of Texas, In thc 3a5rh District Court, Tra��is Coun�y, Te�s.
f. Cause NQ. D-I-GN-OS-002182; A1mos Cities Steering Commutee v. The
Railroad Commission of Texas, In the 345th Districi Court, Travis County�, Texas.
g. Cause Na. D-t-GN-06-444246; �itmos Cities S`teering Committee v. The
Railroad Cammission of Texas, In the 345th District Caurf, "I'ravis County, Teacas.
Cause No. D-1-GN-Ob-001612; �itrreos Cities Steering Com»xittee v. The Railroad
Cammtssion af 7'exas, In the 3d5th Districf Cattrt, Travis County, Texas.
Causc No. D-I-GN-06-003852; Atmos Cities Steering Committee v. The Railroad
Com�nission ofTezas, In the 345th District Court, Trauis County, Texas.
Cause No. D-1-GV-(}6-044643; Atmos Cilies Sleering Gommitree v. The Ruilroad
Commission of Texas, In the 345th District Court, Travis County, Texa�.
Cause No. D-1-GV-0G-000605; ritmos Crties Steertng Gommlttee v. The Railroad
Commission of Tezas, In the 345th District Catut, Travis Couniy, "I'e�cas.
5
s�rr�.��r��r Ac��h�r
STATEMENT OF Tir'TENT FILEI} BY ATMOS ENERGY, COtiP.,
Ai1D-i'�X DtVIStOh ON S�'P7'EhiBER 24, 2t3Q1
Caust No. G-D •GN-06-Ot3��518; .itmvs Citlts Steertn� Commirtee v. 77•� Radfsr�crd
�'orrrmtssion af Texas, in tlu 345th Disuict Cours, Traves County, Texas.
Causc Numbcr: U3-�b-40580-CV; Atmos Er�ergy Corpvrqtiort, as successor by merg�r Co
TXt�' Gas Cvrrrpany, Allied Coalition ojCities, otuf Cfty oJDallas v. Raitroud
Commission ojTezas; In the Third District Court af Appcals at Austin, Texas.
Cause No. D-1-GN-07-Q02871, Atmas Cities Steerl�g CommFttee u Railroad
Commissran ujTexus, In the 53rd District Court, Travis Caunty, 7exxs.
Causa No. D-1 •�N-07=(?42796, Atmos Energy Corporation v. Rcttlroad Cammission of
Texrrs, ln the 2SOtb District Caurt. Travis County, Texas.
Cause Na. GVS-OOR75; Allied �"oafitic�n o,rCities v. The Ruilrr�ur�C'omrn:s.rior, e
In the 343th District Court, Travis County, Texas.
14. Atmos snd the ACSC Citsrs � thai Atmos may maka a!1 futtue filings, including, but
not limited to, tt,e annuat RR�4f acijustment anci any Statet�m ol Int�nt fiiing wich the
ACSC Cities an an cicctrostic basis, rather than bY PaP� �PY• �lectronic Filings shal!
faifitl the requirements of T�c (J7'tL. COQE �IQ4 .1�3. Tlse appropriate ACSC Cities
rcpresentative shall provida a list oF the ACSC Cities to Atmos by Mairrh I, 2008, and
agras ta notify Atmos of any �hange in the ACSC Cities Coalition within 30 days of ihe
effective date of any such change in order for Atmas to maintAin adeqttatc servicc
records, Atmos funher agrxs to mm��kke paper copies af filings uvailuble 10 any AC5C
Git;+ ihat requests a copy.
20. Aimos �and the ACSC Cities agree that ihe ACSC Cities stjould pass orciir►�nces
appmving the Settlement 4�ze�mcnt and esis�lish rates and ser� for thc ACSC Cities
consisteni with those set forth in �xhibii A tn this 5ettlement Agrean�ent.
21. 7he Signatories agree thaE the urms of ihe Settlancni Agteement are intcrdepcnckrst and
indivisible, and that if any ACSC City a�tcrs an orc�r thai is i�onsisterrt with this
Scttlement �nemea�t, then any Signatocy m�ty vrithdraw wit�out heing dcttned to havc
waivcd any procedural right or to bavc taken a�ty substan6vt gosition an any faci or issue
by virtue of that Signatory's cntry intn the Setiterneni Agreemcnt or its subsequent
withdrawal.
22. Thc Signatories agree that aU ncgotiatians, discussions and canferences related w �he
Settlement Agreement are privileged, inadmissible, and not relevant to prove any issues
ass�ciatai with the September 20, 2d07 State�ttent o€ Inieat filed by Atrnos an behalf of
iis Mid-Tex Division pursuant to Texas law.
23. Tlxe Signatories agree that �eitha this Scttkmont Agteement nor any oral cx written
stauments made during the courso gf setticmtrs# ncgotiations may bc usai for ar�y
pur�sase other than as n�}+ to support tha tntry by the ACSC Citirs of �n or�r
itngiomcating this Sett2emeni Agreerrnn�.
6
Sb'"ITLENSENT AGREEiviENT
S7'A?'EMEAf't OF MTEIVT FILED f3Y ATM�S ENERGY, CQRP..
MID-TEX DiVISION OTf SEPTEMBER 2d, ZOQ7
24. The Signatories agree that this Settlerncnt Ageement is binding on each Signatary vnly
for the putpose of settling the issues sei farth herein and far no other peugoses, and,
excepc ta the extent the Settlement Agreement govems a Signatory's righis and
obligations for future periods, this Settlement Agreement sh�li nat be bin�ing or
precedential upan a Signatory autside this proceeding.
25. The Signatories agrte that this Settlement Agreement may be executed in multiple
counterparts and may be filed with facsimiic signatures.
Sfi7TLBN1Et+iT AGRH£i�iF:NT
STA't�tFlV2' 4t IT�'tENT FIf.EA BY AThiOS L-N6RG1', t;C�K!' ,
M[D•'CEX DtV[SI�N O�t SLPTL'NU3L•R 20, 21m7 Wl?IE 1'fil: Af:S{` CUAf.IT1QN Of CI7 Ili�
Agrted to this 9�' ctay of Jsnuary, 2008.
ATNIOS EN�12GY CQRP., MID-TE�{ DtVISI{�ti
�
, �� �
.
�Y ��.,�
Jol A. Paris
Presidcnt, Mid-Tcx Division
"a�'f`I'LEMEI3T AGREFhtENT
STATEMENT OF tN7'ETvT FILED BY ATMO5 ENERGY, C�RP.,
Mlt?-'FEX QtV1S10N ON SEP7EMBER 20,1007
Agr�ed to this 9� day of7anuary, 2t?08.
ATTORNEY FOR ATMOS CITtFS S7EERII�tt3 C4MTvitT'�`�E,
WHOSE MEMBERS INCLUD£ THE CTTIES O!� ABILENE,
ADDiSON, ALI.EN, ALVAKADQ, ANGUS, AN1�A, ARCrYt.�,
ARLINGTC}N, BEDFORD, BELLNIEAD� B�NBROOK,
BEVERLY H1I.LS, BLUE Tt1DGE, BOW1E, Bt}YD,
BRIDG��'()R'T, EIROWNW�OD, BUFFALO, BtlRK.�3URNETT,
BURLES�N, CADDO MILLS, CARROLLTON, C�DAft HtLL,
CELES'I'E, GELINA, CISCO, CLEBURNE, CLYpE� C(7LLEGE
STATION, COLI.EYVILLE, COLORADO G1TY, COMANCHE,
COOLIDGE, COPPCLL, G4RNI'f�, CORRAL CITY,
CRANDALL, CROWLEY, DALWORTHINGTON GARDENS,
DE?�FIS4N� nESQT4, UUPdC�'II,LE, EASTLAI'JD,
EDGECLIFF 1JILLAG�, EMORY, E23NI5, EUI.ESS,
EVERMAN, FA1RViEW, FARMERS BRANCH,
FAR11�iERSYILLE, FA7"E, FL(3YVER 1410UND, FOREST HILL.
FORT WURTH, �R1SCO FRQST. GAFNESVILLE, GARLAND,
GARRET'P, GRA?�D PRAIRIE, GRAPEVLNE, HALTOM C1TY,
HARKER HEIGHTS, HASKELL, HASLET, HEATH, �IEWITT,
HIGHLAND PARK, I-�IGHLAND VILLAGE, HOI�Y GROVE,
HURST, IOWA PAItK, IRVINC} JUSTIN, KAUFMAN, KEENE,
KELLFR, KEMP, ICE�E�I�UALE, KERRWILLE, KII.LEEN,
KRUI�i, LAKESIDE, LAKE WC?R'TH, LAi*ICASTER,
LEWISVILLE, LINCOL,N PARK, LITTLE ELM, MALAICOFF,
MANSxIELD, MCKINNEY, MELISSA, M�SQUI7�,
MIDLOTHIAN, MURPHY, NE'WARK, NQCOAIA, Nt�RTH
RICHLA,�ID HILLS, NflRTHI,AkE, OAK LEAF, OVILLA,
PALESTL'VE, PANTEGO, PARIS, PA.RKER, PECAN HII,L,
PLqNQ ppNDER, POTTSRORO, PRaSPER, PUTNAt�i
QUtTMAN, RED OAK, RENO (PA,RKER COUNTY},
RICHARDSON, RICHLAND HILLS, RQANOKE, ROBINsON,
RQCKWALL, RCISCDE, RQWLbTI', SACHSE, SAGLNAWt
SEAtit?VILLE, SHER14iAN, SNYDER, SOUTHLAKE,
SPRiNGTOWN, STAMFORI}, STEP��ENYILLE, S[JI.PHUR
SPRINGS, SWEETWATER, TEMPLB, TERRELL, THE
COLONY, THROCKMORTON, TYLF,R, UNTVERSTTY PARK,
VENUS, VERN4N, WACO, WATAUGA, WAXAHACHIE,
WESTLAKE, WESTWORTH VILLAGE, WHI'TESI30R0,
WHITE SETTLEMENT, WICFiITA FALLS, WQODWAY, A1+TD
WYLIE.
f�;?: � 'l •
Geoff�eY �aY
9
EXHIBiT A
�'ARIFF FOR GAS SERVtCE A'TMOS ENERGY CORP.,
MID-TEX DM510N
RATE SCHEDULE: TABLE OF CQNTENTS {
APPIIGABLE TO: Entire Sysfem i2EVISlOt�t DR'fE: '
February 1, 2�08
EFFECTNE QATE: PAGE: 1 OF 1
February 1, 2Q08 f �
i. 1i71lITY OPERA710NS
Il. CI'fIES AND COUNTIES SERYEO
i(i. DEFINITlONS
IV. GAS SERVtCE RATES 8� RI�ERS
Rabe R - Residentiat Sales
Rate C - Commerc'ral Sales
Rate i - In�ustriai Sales
Rate T - Transportation
Rider CT — Cornpetltive Transport
Ride[ GCR - Gas Gos4 Recovery
Rider FF - Franchise Fee Adjusiment
Rider SUR — Surchargss
Ra2e LEP — Line Fxtens(on Policy
Rate M - Miscellaneous Charges
Rider RA - Retenfion Adjustment
Rider TAX - Tax Adjustrnent
Rider WNA — We�her Norrnal(za6on Adjustment
Rlder RRM — Rate Review Mechanism
Rider CEE — Conservation and Energy Effiaency
V. SERVICE RULES AND REGUI.A'TIQNS
iQ
EXHIBIT A
TARIFP FOR GAS SERVICE ATMOS ENERGY CORP.,
MID-TE7C DNISION
RATE SCHEQULE: Rate R- Residentiat Sales
APPCiCASLE TO: En#ire System REVlSION:
DATE:
EFFECTIYE DATE: RAGE: 1 OF t
February 1, 2008
RATE R - RESIDENTIAL SALES
Applicatfon
A�I�abie to Ftesidentiai Cusiomers ft�r all naturai gas provided at one Point of Delivery arrd measu�ed
through ane meter.
7ype at Service
YYhere setvice of the type �esired by Customer is not already availebie at the Point of Delivery, additianaE
charges artd specia! contr�ct errangements �et�reen Company and CLS2:,rr�er may be requiree{ pricx ta
service being fumished.
Montbly Rate
Customers monthfy bil{ wiq be caiculated by adding the fallowing Customer and Mcf charges ta 4he
amounts due under the riders listed below:
C�arge Amourtt
Custor�r Charge per Bilf S'IQ.69 per monlh
Comm�dity Charge — Afl Mcf 51.2710 per Mcf
Gas Cost Recovery: Plus an amount for gas costs and upstream transporta6on casts caicutated
in aocardance wi�h Part (a) and Part (b), respectively, of Rkler GCR.
Weati�er Normaiization AdjustmenC Plus or Minus an amount for weather normalizaGon
cafcufated in acro�dance wHh Rider VJNA.
Rate Review M�chanism: Plus or Minus an amount for rates as caiculated in accorciance with
Rider RRM.
Franchise Fee Adjustr�+it Pius an amount for franchise fees calculated in accordance wRh Rider
FF.
Tax Adjustment: Plus an amoun# fnr tax ca�utated in accordar�e with Rider T'AX.
Surcharges: Pius an amount (or surcharges calculated in accordance with me applicabte nder(s).
Agreement
An Agreement for Gas Service may be required.
Hol�e
Service hereunder and the rates for senices provided are su�sject to the orde�s of regulatory 6edies
having jurisdicieon and ta the Campany`s Tariff for Gas Sen►ice.
11
EXHIBIT A
TARiFF FOR GAS SERVICE ATMOS ENERGY CORP.,
M!D-7EX C1IVISION
RATE SCHmULE: Rate C- Commerciaf Sates
APPLICABLE TO: Ent#re System REYISION.
DATE:
EFPECTIYE DATE: PAGE:1 OF 1
February 1, 2008
RA7E C - COMMERCIAL SALES
Application
Applicable to Cornmerciat Customers fnr ali natural gas provided at one Point of Delivery and measured
• through one meter and ta lndustrial Customers with an avarage annual usage o[ less than 3,(100 Mcf.
Type of Service
Where service vf the rype deslred by Customer is nat afready availabie at the Point af Delivery, additional
charges and special contract arrangements between Company and CusEomer may be required p�lor to
service being fumished.
Motrthly Rate
Customer`s monthly bi{i wiil be cafculated by adding the foi(owing Cusiomer arxi Mcf charges to the
amounts due under tAe ride�s listed bebw�
Charge ' Amount
Customer Charge per BiQ $ 20.28 per rt�nth
Commadity Charge - Aii Mcf S 0.T104 per Mcf
Gas Cost Recovery: Pius an amouot for gas casts and upskream transportatian costs ca�culated
i� accardance with Part (a) and Part (b�, respeeiivery, of Rider GCR.
Weather No►malizatian Adjustmer�t: Plus or Minus. an amount for weathet normalization
caiculated in asx�da�e with Rider WNA.
Rate Review Mechanisrr� Pius or Minus an amouni !or rat�s as cafculaCed tn accordance with
Rider RRM.
Franchise Fee Adjustrnent: Plus an arrwunt for iranchise tees qiculated in ac�rdance with Rtder
FF.
Tax Adjustment: Plus an am4uM for tax cai�utated in acxordance with Rider TAX.
Surcharges: Plus an amount for surcharges c�cu�ated in accordance with the appiicable rpder(s).
Agreement
An Agreemet�t for Gas Service may be required.
aou�
Service hereunder and the rates for services prov�ted are subject to the orders of regufatory bodies
having Jurlsdiction 8nd to the Company's Tariff for Gas Servic�e.
iz
EXHtBtT A
TARiFF FOR GAS SERVlCE ATMOS ENERGY COR#'.,
M!D-TEX DNISIpN
RAiE SCNEDUIE: Rate 1- l�dustrtai Sales
APPUCABLE TO: Entire System REVf810N:
DATE:
EFFEC7IVE DA7E: PA�E:1 OF 2
February 1, 2008
RATE t • INDUSTRIA� SALES
Apglicatioo
Applicabta Uo In+dustrial C�stomers with a maximum da�7y usage {MOUy af iess than 3,500 MMBtu per day
for ail natural gas provided at one Paint of DeaivBry and measu�ecl through ona meter. Service for
Industrial Custotr►ers with an MDU equal to a greater than 3,5U0 MMBha per day wil[ be provided at
Company's sole option and w�1 requi�e special contract arrartgements betv►�en Company and Customer.
7yp�e ot Service
Where service of tfie type desired by Custorr�r fs not already availabk3 at the Point of Uellvery, additiona!
eharges and speaal contract arrangements beiwesn Company and Customer rr�ay be required prior to
service be+ng furnished.
Monthly Rate
Customers monthly biit will tse caiculated by adding the fallowing Custamer and MMBtu charges ta ttte
amaunts due under the riders I�ted below:
Charge ' Mwunt
Customer Charge per AAeter S 344.75 per month
First 0 MMBts to 1,540 MMBtu : J.22Q0 psr ��1M8*.0
Ns�ci 3,50fl MMBtu 3 0.1600 per MMBtu
AN MMBtu over 5,000 MMBtu $ O.U483 per MMBtu
Gas Cost Recovery: Plus an amount for gas costs and upstream transpottation costs catcutated
in aaordance with Part (a) and Part (b), respedively, of Rider GCi2.
Rate Review Mecl�anism Plus ix Minus an amount far rates as calautated ih ac�r'dance with
Rider RRM.
Franchlse Fee Adjushnen� Plus an amount for franchise fess catculated in accordance with Ftider
FF.
7ax pdjustmeM: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges catcolated � accordance w'rth the applicable rfder{s).
Curtailment Overputi Fee
Upan notffication by Carr�any of an event of curtaipr�ertt or interruptioa of Custorr�ers de�+eries,
CusEomer wiM, tw eacfi MMBtu dellvered in ezcess of the stated tewel of curtallment or interruptia�, pay
Company 20095 ai the midpoEnt prlce far the tGety poinf listed in Platts Gas Dai7y pubNshed for the
applicable �as Qay h� the table enUUed "Dady Price Survey."
13
EXHtSIT A
TAR(F� FOR GAS SERVlCE A7MIOS ENERGY CORP.,
MID-TEX DM$iaM
RATE SCHEDULE: Rate 1- Istdustrial Sales
APPUCABLE TO: Entire System REVISION: •
DATE;
EFFECTiifE DATE: PAGE: 2 OF 2
February 1, 2Q08
Reptatcement index
In tl�e event the "midpofnY or "comman' price for the Katy point lis#ed in Platts Gas Daity i� the tabte
antiUsd `Qaily Price Sutvey` is no fonger published, Company wiU calca�late the applicabie imhaiance fees
utilizing a daify price index recognized as authoritativs by the natural gas industry and most closely
approximating tfie appticable index.
Agreement
An Agreement for Gas Serv+ce may be required.
Notice
Service he�eunder and the rates for serv'�ces provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tarift for Gas S�rvice.
Speciai Canditions
in oMer to receive servfce under Rate 1, Customer must h�re the type of ineter required by Company.
Custamer must pay ComFany ail costs assoaated with the acquisition and ins#allation of ths rneter.
14
EXHiBtT A
TARIFF F4R GAS SERVICE ATMOS ENERGY CQRP.,
Mla-T'E7C 8MSlON
RATE SCHE�ULE: Rate T— Trartisportation
APPUCABLE TO: Entire System RE�✓iSION:
DATE:
EFFEC7NE DATE: PAGE:1 aF 2
February 1, 2408 �
RATE T - TRANSPORTATtON
Application
Applicable, in the event Rhat Compa�y has entBred into a Transpoctation Agreemerk, to a customer
directiy connected to the Atmos Energy Cap.. Mid-Tex Division Distribution System (Customer) for the
transportation of all naturat gas supplied by Customer or Customer's agent at o� Pairrt af Delhrery for
use in Customer's facility.
Type of Service
Where service af the type desired by Cusfomer is not atready avalable at the Point af Detivery, a�iitionai
charges and special coniract arrangements 6etwesn Company and Customer may be required prior to
service being fumished.
Monthly l�ate
Customers biil wiU be calcuEated by addiag the foliawing Customer and MMBtu charges to the amouMs
and quantities due under the dders listed below:
� Charge Amourtt
Customer Charge per Meter $ 344.75 per month
First 0 MMBtu � 1,50Q MMBtu S U.220U per MMBtu
� Next 3,5d0 MMBtu $ 0.1600 per MMBtu
Afi MMBtu over 5,000 MMBtu S O.Q493 per MivlBtu
Upatream Transpo�ta�on Cost Recovery: Plus an amount for upstream transpartaban costs in
accordance with Part (b) of Rfder GCR.
Rate Review Mechanism: Plus w Minus an amount for rates as calculated in �cordance with
Rider RRM.
Retention Adjustment: Pius a quantity of gas as calcufated in ac�cordance with Rider RA.
Franchise Fee Adjustment Plus an amount for franchise fees catculated in accordance with Rider
FF.
Tax Adjustment� Pius an amount for tax calculafed in accor�nce with Rider TAX.
Surcharges: P(us an amount farsurcharges calcutated in a�ccordance with the applicabie rider(sj.
tmbalance Fees
Alf fees charged to Customer under this Ra#e Scheduie w�l be charged hased on Ehe quantities
determined under !he appGcabie Transportatfon Agreemenk and quantlUes wiif not be aggregated for any
Customer with muldpie Transportatfon Agreements for the purposes of such fees.
IYlonthfy Imbalance Fees
Customer shail pay Company the greater of {i) SU.40 per MM8tu, or (ii)150% of tfie diiFerence per MMBtu
between the high�st and lowest `midpoint" price for the Kafy paint Hsted fn Pfatts Gas Qaify in the t�sic
enatled 'Daily Pr�e Survey' during such monU�� for fhe MMBtu af Customer's rnonthty Cumufative
EXH181T 14
'fAR1FF FOR GAS SERVICE ATM05 ENERGY CORP.,
MID-TE)C DIVISIONF
RATE SCHEDULE: Rate T- Transportation
APRLICAHL� 70: Ent�� 5ystem REVISfON:
DATE:
EFFECTIVE OATE: PAGE: 2 OF 2
February 1, Z008
imbalance. as defined in ifie applicable Transpo�tatian Agreemen� at the end of �ach monfh that excQeds
10% of Customer"s recelpt qua�ttties for the month.
Curtatlmeat Overpui{ Fee
Upon notification by Company of an event of curtaitmer:t or intenuptiors of Custrrr�r's d2liveries,
Customet' will, for each MMBtu deiivered 'm excess of the stated fevet of curtailmenf or interruption, pay
Company 200"k af the midpaint prfce f8r �e Katy point listed in Platis Gas Daily published br the
appYcable Gas Day in !he table entitled'Qaily Price Survey'
Repiaceme�t Index
In the event the 'midpoint' or `canman" pri�s for the Katy paint listecf in Pfatts Gas Daily in the table
en6ded'Daity PriCe Suroey" is no icmger published, Company wili calcutate the appticabfe imbalance fees
utiliztng a daly price index recagnized as authoritatrve by the natvral gas industry and most closety
approximafing ihe applicable index.
Agreement
A transportation agreement is required.
Notice
Service hercundes and the rates for services provided are subject to the ardess of regulatory bodies
l�aving jurisrliction and tio ttre Company's'Faritf for Gas Service.
Speclal Conditions
In order to receive service under Rafe 7, customer must F►ava the type of ineter required by Campa�y
Cvsbocner must pay Company atf costs assaciated with the acquisitiort and i�sfaitation of the meter.
16
EXHIB(T A
7ARIFF FOR GAS SERVICE Al'MQS ENERGY CORP.,
MiD-'t'EX DNISION
R�pER: Rider GCR - Gas Cos# Recovery
t
APPLICABi.E TO: Errtire Syst�m REV1510N: (
DAl'E:
EFFECTNE DATE: FAfaE:1 OF 3
OCtObBt !, 2008
Rider GCR - Gas Cost Recovery
Appifcable to Rate R, Rate C, and Rate 1 far ai4 gas sales made by Company, and applicab4e to Rate R,
Rate G, Rate !, and Rate T(c�r recavery o[ Pipeline 5ystem costs. The totai gas cast recovery amount
due is determined i�y adding the gas cast calculated in Section (a) b�low and the pipeiine cost calaalated
in Sectlon (b) below.
The amount due for gas cost (5ectian (a)) is determi►ted by muttiptying the Gas Cost Recavery Fador
(GCRF) by the Customers mo�thiy valume. For Custamers receiving service under Rate R and Rate C,
monthly volume wiii be cakulated on an Mct basis. Fa Custame�s rece(vitrg service under Rate 1,
monthly volume wil! be caiculated an an MMBtu ba,gis and the quantiEies will be adjusted as necessary to
recover actual tosts.
The amount due far pipeGne cost (5ecfion (b)) is detemiined by mu�iplying U�e Pipeline Cost Facror
(PCFy by the Cusfomers monthly volume. For Customers rec�eiving service under Rate R and Rate C,
monthty volume wflt be ca�ulated on an Md basis. For �ustomers receiving servFCe under Rate i and
� Ra#e T, monthly valume will be�calculated an an MtfABtu basis and the quatrtities will be adjusted as
necessary to recover actual c�ts.
(a} Gas Cost
N{ethod of Calaulation
The monthly gas cost asijushrisnt is Cafculated by fhe appiication of a Gas Cost Recovery Factor {GCRF),
as detemuned with the following formula:
GCR� = Estimated Gas Cost Factor (EGCF) + ReconciHation Factor (RFy + Taxes (1745) + Adjustmsr�ts
(ADJj
EGCF = Estimated cast of gas, induding lost and unaccouniesl fot gas atMbuted to residentiai,
comrr�rcial, and industrfa! saies, and any reconci�a�on balane� af unrecovered gas cosis, divided
by fhe estimated totat residenttal, cammerc�at, and industriaf safes.
RF = Calculated by divid�tg the difference beM�een the Actual Gas Cost inCarred, inciusive of
interest, over the preceding twdva-rraonth period ended June 34 ancf the Actuaf Gas Cc►st Biiled
ovEf that same #weNe-tnonth period by the es�mated total residenUal, c�xnmercfai, and wndustrial
sales for the succeediny C?ctober through Jur�e biping moaths.
Actual Gas Cost Incurred = T6e sum of the costs booked in Atmas Eaer�,y Corp., Mid-Tex Division
account numbers 80o ihmugh S�,g and 8g8 of the NARUC Uniform Syscem of Acxounts,
including the net impad af' injecting and withdrawing P,as from siora8c. Also inclndes a
cxedit or debit for any out-of-periad adjnsane�ts ar unusual ar nonrecurring costs typicslly
�nsidered gas msts and a eredii for amounts received ss ImbalaACe Fees or Glirta�lment Overpull
Fees.
Actuai Gas Cost 8�1ted =�GCF multiplied bythe manthly volnmes biIIed to Residential,
Couunercial and Industri�l Sa1CS c�stomers, tess tlie total amaunt of gas c�ost deterrained to have
been uncal�ectibte and written off which remain unpaid for each manth of the reconc�7iation
period.
17
EXH18fT A
TAREPF FOR GA3 SERVICE ATMOS ENERGY CORP.,
MID-TEX DM3i0N
° RiDER: R�sr GCR - t'aa�t CoEt Recovery I
^.'�
APPL1Ct48LE TO: i Entire SYstem � REViS�N: �
j CtATE: 3
EFFEC� DATE: PAGE: 2 OF 3
October 1, 2008
Any amount romaining in the reconciliation balancc after tha canclusion of the period of
amortization will be maintaiaed in the reconciliatian balancc and included in the colleciion af thz
next RF, .
Atmos Energy shatl filc �tnnuai reports with the Commission, pr�viding by month the follow'sng
amounts: Ga� Ga�tt Written 08: Margin Written t7fi, Tax and Other Written Off; Tota] Written
Off, Gas Cbst CoUected and Mazgin Collected.
TXS = My staiutortiy kr�ose�! assessmet�ts or tazes appMCBble bo the purchase o# gas drvided by
ttre est+ma�d tata! tesfdeMial, cafttrnert�al, and indu.strial saies.
AdJ = Any surchasye a retund otdercd b� a regutatory author�+. inc1uslve of a�tesest, diwided by the
esUmated botat resideniiai, c�mrrlBtC�ad. and industria! Sales. .
(b} Pipeline Cost
Method of Catculation
Each month, a Pipeline Cost Factar (PCF) is cal�ufabed separately f� each Pipei�ne Gast Rate Class
iisted below. The formula for the PCF I5;
PCF = PP 1 S, where:
PP ={P - A) x D, where:
P 3 Estmated monthly cost of p�ne servioe calcuiated pursuaat to Rafis CGS
D= pfpe�ne servxe aibc�ation fact� tor tAe rate class � apQroved a� tt3e Car�artiys most recer►t
re�e pae� as liollows:
�ne Cost Ra#e Cts�s Allocatlon Factot D
Rs�e R - R�idet�tYat Service .634783
Rate C - Commercial Se[vice .302805
Rate 1- ImlusMal Service and Rate T- Trana n Service i.062412
A= AdJuatmeM applied in the current month to cemect 1� th� di�erenee 6etween the aclual and
estlmmated pipelinQ vost revenue of the sec�nd pr�dlnp rranth, ca�utated by tha formula:
A = R - (C - A2), where:
R= A+r.tual reve�ue recefved from the app�cation oI tt+e PP c:o�sponent i� the second preceding
month.
C= Acbu81 pipeti�e c�ls 6nr the secat�d peeceding mor►�.
1�2 = The adjushnent (A} �I� � ihe PP canpor�ent in the second precedkrg marth.
S- E�ed Md or MMBttt 1ar Ux rate dass fa the cttrtent b�tg manth.
The PCF is cak:��ed b tt� nea�est 0.0001 eent
l8
EXHfB{7 A
TARlFF FQR GAS SERVICE ATM03 ENERGY CORP.,
MfE)--TEX OMSlQN
RIDER: Rlder GCR - Gas Cost Recavery
APPLICABLE TO: Entire System REViS10N:
DA'FE;
EFFECTNE DATE: PAGE; 3 OF 3
October 1, 2008
T7�e Aipeline Cost tg be bilied is determined by multiplying the Mcf or M�rtrtBtu used by #he
appropriate PCF. The Pipeline C4st � deiermined to ihe near+est whole cent.
EXHIBIT A
TARIFF FOR GAS 8ERVECE ATMOS ENERGY GORP„
MID TEX DMSION
j RIDER: Rider WNA — Weather Nonnalaatioa Adjustment ;
APPLICAB�.E TO: Entire System REVlSIDN:
QA7E:
EFFEGTIVE DATE: PAGE: 1 OF 3 i
November 9, 2008 �
RIDER WNA — 1�4reather Normalizatioa Adiushnen#
Pmvisions for Adiastment
The base rate �eer Mcf (t,004,000 Bw) for gas se�vice sst farth in any Rate Schedules utilized by the
cities of the Mid-Tex Division service area for determining normalized winter periad revenues shaU be
adjusted by an amount hereinafter described, a�hich amou�t is r�ferred ta as the "Wcather Nornialira6on
Adjustment. 'nc� Weaiher Norrnalization Adjustrnent shail appty to al! temperature s�nsitivo resid�nrial,
and commercial bills based on meters read during the revenue months of Navembcr d�rough April.
Com�tation of Wesshcr NarmaNzation Adjustment
The Weather Normalization Adjustment Factor shaii be computed to tha nearest pne-hundredth cent
per Mof by the foltowing formula:
(HSF� x (NDD-ADD) }
WNAP� = R�
(g�,� + (i�SF� x ADD} )
Where
i = any particular Rate Schedule or hilting ctassification wit#►in any such
particular Ratc Schcdule that contains more than oae billing classification
WNAF� = Weaiher Normatizatian Adjustment �'acwr for the i� cate schedule or
ctassification expressed in cents per Mcf
Ri = basc rate af temperature sensitive sales for the i� schcdule or
classificatian approved by ttte entity exercisu�g original jurisdictian.
HSF� = heat sensitive faeior for the i� schedulc or classification calculated as the
slope af the linear r+cgressian of avcrnge sa}es per biIl (Mc� and actual
hesting degree days by montfi fvr tht tesi year by schedu{e or classification
af�d weather station as part of the RRM ftling.
NDD = billing cycle normat heaiing degrea days calculated as the simple ter►-year
average ofactua! heating degrec days.
ADD = billing cycle actua! h�ating+iegrr,e days.
BJI — base foad sales for tfie i�h schedule or classiticatiort calculated as the y-
intert,ept of the lir�r regression of average ssles per biil {Mcf} and acaal
heat�ng dcgree days by month for thc test year by schedule or classificatioo
20
TARIFF FQR GAS SERVICE ATMOS ENERGY CORP.�
M!D TEX DMSION
RiDER: Rider WNA — Weathe� Normal�atton AdJustment
APPLICABLE TO: Errttre System 3 REi►ISION: �
DATE:
EFFEC7IVE DATE: PAGE: 2 QF 3
Navember 1, 2408 ,
and weather st$tion as part of the RkM filing.
The Weather N�rmalization Adjustment for the jth custamec in ith rate schedule is camputed as:
WNA; = WNAF x q;�
Where q,; is the reicvant sales quantity for the jth customer in ith cate schedufe.
Filinas with Fa�tities Exercising Ori�itra[ 7urisdiction
As part of its amival RRlvi filing the Company will file (a) a copy af cach camputatian of the
Weather 1�tormalizarion Adjustrnent Faetor, (b) a schaiule showing ttte effective date of each such
Weaiher Normalizadon Adjustmcnt, (c} a scheduk showing the factors of values used in calculatiag
such Weattier Normaliration Adjusunent and (d) a random sampte and audit of thiriy (30) actual
customer bills, with customer infpm�►ation deteted, for each rate schedule or classification to which thc
WNA was applied 'm the preceding !2 mooth period. To the extent that soarce data is needed to sudit
the Wh'A app(ication, such data wi11 be provided by the Company as part of the annual YtRlvi filing.
If the RFtM is d'uconiinued, as provided in ihe Rider RRI�t tariff, the informati� required herein to be
filed with the entities exercising original jnrisdiction shall be filed on March 1 of each year.
Base UselHeat Sensitivity (HSF) Factars
si ept�'al Commercial
Base use HSF Base use HSF
W ther Station Mcf McfIHDD Mcf McfIHDD
Abilene 1.14 .0131 8.11 .4631
Austin 1.31 A136 18.Q5 .Q669 �
Da as 1S7 A1 5 t. 8 .Q925
Waca 120 .4138 I0.97 .U606
Wichita I.27 .Q147 11.58 .058i
Falls
2l
EXHIBIT A
TARIFF FOR GAS SERVtCE ATMOS ENERGY CQRP.,
MID-TEX DIViSiON
RIDER: RMar WNA—YNeather Normalizatlon Adjustme�t
APPLtCA6l.E T0: Entlre Syabem REY18lON:
DATE;
EFFECTNE DATE: PAC�E; 3 UF 3
Novembe� 1, Z008
Sample WNAF, CalGUfation:
(.0l3I x (3(U-l9) }
.1533 per Mcf = 1.2267 x
(1.14 -+� {.013I x 17} )
Where
i = Residential Single B[ock RaEe Sch�ute
R� _ ].2267 pex MCF {Rate R-� inal Orc�r GUD No. 9670)
HS�� _ .Q131 (Residentiai - Abiler►e Area)
NDD = 30 HllD (Simple ten-year average of Actua! HDD far Abilene Arca — 91I SIOb
—10/14/OG)
ADD — 17 HI)D (�ctnal HDD for Abilene Area — 9/15/06 � i 011410G)
Bl� = 1.14 Mcf (Residential - Abilene Area)
�
EXHIBIT A
TARIFF FOR GAS SERVICE ATMOS ENEItGY CORP.,
MID-TEX DIVISIOI'�
RIDER: Rider RRM — Rate Review Mechanism � �
APPLICABLE TO: Entire Mid-Tex Division REVISION
DATE:
EFFECTIVE DATE: FAGE: 1 of 5
February 1, 2008 _- - ___ _�___ ;
R�fER RRM — RATE REVIEW MECHANISM
�
TAis mechanism is desi�ed to provide aanual camings transparency. If, thmugh the implemcntation of thc
provisions of this mxhanisn, it is decermined ihat rates shon)d be deereased or incrtased, then rates wiU be
adjuzt� accordingly in the manner set forih herein. 'i'he rate adjustments implcmented under this
mechanism will reflect annuai changes in the Comparty's cost af service end rate base. This adjusanenc
wip be authorizod far an Initial tmplemantation Feriod. With the conctusion of the final rate adjustment, if
any, for thc Initial ]mplementation Period each entiy having originat jurisdiction may revo[cc, am�nd, or
apprave Subsequent Tmplementatioe Period(s) for, ihe mechanism.
�nitions
a) 71�e Annual Evaluation Date shall be the date thc Company will make its annaat �ling under this
mahanism. The Annuai Evaluation I�ate shall be na tater ehen March f, of each year. 7�sis filing sha0 be
effective in eiectronic form whero prectkabk. 'Iiie initial fitir� sha]! be madC Ivtarch 31, 2008.
b} Audited Financial Data shall mean the Company's books gnd records related to the Gompany's Mid-
Tex operating area and sbared ssrvices operstians. Audited Financial Data sfia)f nat requirc the schcdules
and informatian providcd ut�der this tariff to undergo a saparate financiel audit by an outsida auditing firm
similar to the Company's annual financisl audit.
c) 'llfe Evslnatioo Period is �r�ad as the twetve month pedod ending December 3 t, of each cakndar
ycar. The initial Evatuatian Periorl sha81 be caiendar year 2003.
d) The Ftatt Effective Period is defined as the earlier of the tw�a}ve month period for which r�es
decermined under tbis mecAanism wti� be fn effect ar subsequent rates sre ir»plemenud. �
c} Per Conneelion Basfs is defined as the average number of connections durir►g tha Evaluation Period.
fj Initial Implementation Perkd is defined as the three (3) ycar period commcncing with thc Ca�pm►y's
filing und�' this mechanism for the calendar year 200?, efTertive October 1, 2008, and shall conclude with
the implemrntetiort of rau addjusbnents, if any, far the third Rate EP['ociive Period.
gj Snhaeqneat I�aplemeatation Period is dcfined as any three (3a year period after the conclusion af the
Initint Imp{antnGttian Paiod. '
h} Fiaa! Order is definaf as the most reant order establishing tha Company's latest effective rstes for the
ar�a in which the mec�ani�n is impiemented, and shall includa municipal rate adinances and resoiulions,
t evigvy fvlscl�gnism
'Ihe Gompany shall fils wiih each negukatory anthority having original ,}urisdiction over the Comp�y's
rates the scheduks specified below for the Evaivation Period, with the filing to be made by che A,anuat
23
EXHIBIT A
TAItIFF FOR GAS SERVICE ATMCIS ENERGY CORP.,
MID-TEX DiVISION
LRIDER: Rider RRM — Rate Review Meehauism
APPLICABLE TO: Entire Mid-Tex Divis4on REVISION
DATE:
EFFECTrVE QAT'E: PAGE: 2 of 5 i
�� f, 2aos _�___ t !
Evaluatian Date following the ec4d of ihe Hvaluation Period. '[1►e schedules, which will be based upon the
Company`s Audited Financial Data, as adjusted, and provided in the same format as Atmos' iate filing with
municipalities on September 20, 2007, will include the fol3owing:
a) Compeny's actual gross plant in service, accumulstcd depreciatioa, accumulated dcfcrred iacome
taxcs, invemory, warking capttat, and othsr rate base componenis. The ratemaking treatments,
principtes, findings and sdjushnenu included in the Finai Ordtr wUl apply. Regutatory
adjusancnts due to prior regufatory rate base ad,jastment disaltawances will be maintainod where
applicable, Cash wocking capital wili be c:aiculated using tt�e IeeeUing dsys approved in tho Finai
Order.
b) The ComQgny's deprtcistion exprnse, operat6rg and ►naintenancc expcnse, iacome taxcs, and
taxes other than income ta7ccs. Depreciation rates wili be tY�o� approved in the Final Order, or the
rata most rocently approved. AA calculatinn met6odologies wilt he those appravec! in tho Fiaal
Ordcr, or in thc rnost recent order addre.ssiag the methodotogy. In addition, the Compffi►y shali
exclude irom operating end maiatenance expcnse the type of expenses related to empioyee
expsasc aceounts disallowed in tht GUD No. 96T4 Final t}rder.
c} Relum un Equiry (ROE) shail be maintained at 9.6°!0.
d) Cost of debt wilt rcflecc actual cost. Capita] structure wili be the actual Evaluation Period cnd'mg
racio of long-tenn de6t and equfty, .vith percentage equity not to exceed che pe�entage escabtished
in the Final Ehder in G.U.D. No. 4b70 (a8.2°h equiry}.
e} A1I applicabie accounung and pro forma adjusfinents alung with ali supporting workpapers.
f� I'm-forma adjustmcnts ta update end unnunline co�ts and revenuc billing doUenninnnts for the Ratc
�ffective period.
g} Pro-fama or other adjustments rcquired �o properly eccaimt far stypicaf, unusuai, or nonrccutring
CVa1L5.
h} Shared Serviees alloeAtion facton may be recaleulattd each ys� based on tht latest compone�t
factors, but the methodology used witl bc tha� approved ia kbe Final Order.
C�IgyJali�,oF Rate Adiu.stment
a) Th� Compeny shall provide additional schedules indicating the fallowing revenue
deficiency/suffisiency cakulatiotu using the mtthodologp acceptcd in the Fioal prder. Tbcse
schedu[es shal! identify the rate sdjustments necossary for both a true-up of revenue for d�e
Evglualion Period and the setting of preupoctive ratas for the Ptate Effective Period. Tfie not muh
of thcse rate adjnstmcnts shaU be refleaed in the proposed ttew rates to be escablishai for the Rate
Effective Period. In cakutating ihe rtquired rate adjnstments, such adjusbments wi116C madc gro-
ratabty tn the eustomer charge and asage charge based upon acawl rovenue genezaud, as adjusted
under the Gompany's appmved Weatha Tlormaliz�tiot► Adjustn�ent {WNA) Rider. Provide.d,
24
EXi-iIBIT A
TARIFF PQR GAS SERVICE ATMOS ENERGY CURP.,
MTD-TEX D[VFSTdN
RIDER:� � Rider RRM — Rate Review Mechanism
APPLICABLE T�: �ntire Mid-Tex Divisitrn REVISIUN
DATE:
EFFBCTIVE DATE: PAGE� 3 of 5 �
February t, 2UU8 � �
however, that neithcr dtt ResideniiaE nor tt►e Commerciat cusromer cherges may� increase marc
tf�an ZU°lo per year.
b) lf Compar�y's earnir�gs dartng the Evaivation Period exceed 4.6�o reiurn an carnman eqaity, the
Company shal} calculata an adjusrment ta rates to refund tha revcnue reqaired ta achievc a rdurn
ou equiry of 9.6% far the EveEuation Period. If Compa�►y's earnings during the &valuation Pariod
are below 9b°lo- retum on common equity, ti�e Campany sha11 cakula�c an adjustment in rates to
collect the additional revenue required w increase its return on equiry for ihe Evaluatfon Period co
9.b°!o, The Company will ralcntate an ad,justment for the Rate �ffective i'sriod to refund ar oofl�t
this dif�'tr�nce.
c) The Company wilt adjust rates for the Ratc Effective Pcriod to includc recovery ofany known and
measursbtc changcs to operdiing and maintenance costs including, bot not limited to, all payroll
aad romp�sacion expens� at] Denefit expense� �Il pensioa expense, insurance eosu, materia�s and
supplics, bAd debt costs, all medica! eupense, transpartation and building and kase casts for tht
Rate Effedive Pcriod. Additionalty, atility plsnt fot the Rate 6ffective Periad witi t>c establisEscd
by using the Evatuation Period ending aatanc�s, including assoclated changes in depreciaiion and
amortizatioa expense and taxes. ln calculating the Coatpany's known end measurabla changes far
prospxiive RRM adjustr:�ent purposcs, the foltowing iimitations will eppty, on a Per Cannaxiun
Basis,
t, pperating and Maintenm►ce expenses for �►e Rate Efi'ective Period, cannat increase more
tt►an S°h per connection per year whhont specific identification and justification. Thc
bcginning pperation and Maintenanct expense for the 2Q07 RRM filing (tht initiat ftlingj
wilt tre $161 milliat.
2. Ne! plant 'rnvtttme�t for the Rate Effcctive Period cannot increase mort tfian 53'. ptr
conneccian per year withovs s�sci�c idsntitts�B9n. Eisaw�uer, it► pCxf4misnp, a �s� t¢st �9
verify comptience, Campany shall pcclude any changes in nct plani invesimer�t
associated with fedcvat, statc, or Iocat mandates related ta salety, tampliance, ar road
moves.
d) The Company alsa shall provide a schedute dsmonsorating tbe "proof af revenues" rclied upon to
calculate the propoud nue for the Rate Effective Period. The praposcd rat�s shal! tanform as
clos�ly as is p�acticable ta the �eveaue allocation principks approved in the Final Order.
Atttstation
A swom staument shali bc filed hy the Company's Chitf O�cer in Charge of Mid-Tex Operatwns
affirming lhat the filed schedutes are in cflmpliaace with the provisions of this mechanism and are bve and
correct to the bcst of hislher lanawlcdge, information and belicf. Na tcstIInony shal! bc filed.
ZS
EXHIBIT A
TARIFF FOR GAS SERVICE ATMUS ENERGY C4RP.,
MID-TEX DIVISION
RIDER: Ridcr RR�'4f - Raze Review Mechanism
, APPLICABLE TQ: Entire Mid-Tex Divisian REVISION
DATE:
E�'FBCTIVE DATE: ._ � PAGE: 4 of 5
Februar I,2008
EvaTuation ProcedurGs
'itie regalatory authtarity having original jwisdictian ovu the Company's rates si�aJl havc ninery (90) days
to revicw the Company's fitcd schedules. The Company wili te prtpared to grovide supplemcmwl
information as may bt requested 4o ensuro sdequau review by the rel�vant regvtatory authority. T'he
Company shalt not unitaterally impose any timiu upon thr provisian of supplemtntai information and soch
information shall be provided within ten (IQ) woridng days of the originat requesi. 7'he regulatory
authority may propose any adjustments it dete�n�nes to bc ccquired w bring the scheduies into comptia�e
with the sbovc provisions,
During and foltowing the nitxty (90) day review period and a thirty {3fl) day response periad, tht Company
and the regalatory authority wilt work collaboratively end ccm►e to ageement oa, the proposed adjustmentv
to the Company's sct►edult and proposed rates. Once ag,recmcnt has bttn reached by the Campany and the
rtgulawry auti�ority, the rogu�tory auth�ity shatl authori2e an inarcase or decrease to d�e Cnrapa�+'s rates
so ss to achieve the revenue leveJs indicatcd [or botl� the Evaluation Period a»d t�ate Effective Period. if,
at the end of the thirty (34} day response periad, the Company and the regvlatory aud�ority have not
rcached agncemex►t on the proposed adjusdncnts, ehc Compmy shail have the right ta appeal tha regulatory
authority's actian or inaction to the Rnilroad Commission of'1'exas. Upon thc filing of any appeal, the
Company shalf have ibe right to implemtnt ihe proposed R.RM rate adjustment, subject to refund.
If ap�roved by the rntiry exrxcisiag original jurisdiction, the rates tstablished pursvant to the Rate Rcvitw
Mcchanism for the fust Raie Effcctive Pcriod shall be effs:ctive on October l, 2006. 'Thereafter, rates
established pursuant to tbt Rau Revltw Mectta[3ism for substquem Rate Effcctive Pcriads, if approved as
provided herein, shaU be effective on 7uly 15 of each year.
Rtconsit�eration nnd Annea!
�rrders issued prusuant to this mechan�m are rateimaking orders and sha11 be subject to appea] under
SecEions t02.001(b) and 103.021, tt scq., afthe Texas t3tilities C�d�e (Vcman 20Q'�.
]�aticg
Notice of the annaat Rate Review Meehanism filing shslt be provided to al! affacted customers of the
Abnos Mid-Tex Divisian in acc�dance with the pruvisions ofthis section ao later than forty-fivo (45) days
efttr the Campury makcs its ennual filing pursunnt w dus tariff. Com�ny may provide noticx e�hher by
maiting or otherwt� delivering the aotice with its billing �atcments. Notica by mait shaJl be presumed to
be car�piae three days �fter the date af deposit of die paper npon which such notice is vrriaen, enclosed in
a post-p�id, properiy addrcsseci wrapper, in a post office or afficial depository undcr the care of the Uni�ed
States Pastal Srrvite. The notice to customecs shall include the fotlowing lniarrnation:
a) a description af the proposed nevision of rates and schedates;
b) the effect the propose� nvision of rates is expeoted ta have on the rates appticable w each
customer class and on en average ai�l for cach affectcd customer;
26
EXHIBIT A
TARIFF FOR GA5 S&RVICE ATMOS ENERGY CORP.,
MID-TE�C DIVISION
RIDER: Ridtr RRM - Rate Review Mechanism i
APPLICABI.E TQ: Entirc Mid-Tex Divasion REVISIQN
� DATE:
�Fl �CT1VE DATE: �AGE: 5 of 5 �
Feb i, 2U(}8 _�
c} thc service area or artas in which tbo proposed rau adjustrnent would apply;
d) the date the pro�osed rate adjustment was filed wi[h the regulatory authority; and
eJ the Company's address, telephone number and we6site w6ere inforrnation conecming cha
proposed tate adjustment may Ix obtaured,
�xr��ir a
TARIFF FOR GAS SERV(GE ATMOS ENERGY CORP.,
Mlt?-TIX RIViStON
RlDER: Rider CEE — Conservafion � Energy Efflciency �
APPUCABl.E TO: Entire 5ystem REttISiON:
QATE:
EFF�CTIYE UATE: PAGE: 1 OF 1
February 1, 2fl08
RiDER CEE — Conservation & Eners�v Efficisncv
Pur�ase
Atmos Energy Mfd-Tex is proposing to institute a complete Consenr� & Energy Efficiency program
which wi!{ alfer assistance fo quaHSed customer segments in reducin+g energy consumptiart arxi bwering
energy u6lity bilts. The proposa! is one where Afmos Enecgy shareholders wii! tund a percentage af the
attowabte expenses incuaed annually, wiih a customer rate com�onent provid'mg tlte rematnder af fhe
funding. Folbwing is a high-level, ooncept summary ot �e proposal. Atrnos E�ergy Micl-7ex Divislon
proposes to work with the �mmun�ies !� serves to deve#op the detalls of a new tariff �d �ograms
addressi�g conservadon and energy etficfency.
Synoasis:
Vo�her system to provide iree energy savings mater'rals and suppGes to qualiFying customers of Atrr�os
M!d-Tex. Quafified Cusiomers will teceEve up ta twa Aundreei dollars (�2QO.00j worth of caulking,
weathe� stdpping, sheatfiing, s�ling, water heater btankets, and like materials, othe� energy saving
devices such as clxk-tlierrnostats, set-badc devices ("covered ftems'j frorn ap�troved supplEers / retallers.
Company vrill underFake eiforts to enlist suppoR from cammunity groups, induding its owrx Employee
Actian Program, ta assist custnmers with insfaElation. If it is determirted that professionat instaElation
capabilibes are necessary, the parties will agree on labor assistance amaunts.
fiiG
Lnw Income — Law�ncvme rat�payers that qualify fcu heating t�ill assistance through LIHEAP
aqeneies and al! agencfes that dlstribute Atmos "Share �e Warmth' (unds. Agencies that aMocate'
assistance tunds derm0e custorr� as Low tncome, a stabus that tasts for one year.
Senior Citizen — Primary account holder can tequest eliglbilfEy through ATM calt center or web-site.
Custiomer provides prima�y SSN which is verified through Social 5ecuriEy Administration. And acwuM
hdder that is or tUms 65 years ald in that year becomes eligib�.
Fundinq
Initial program funding wiMl be at two mEllio� doliars (32,000,040). Atmas Er�ergy sharetwlders will
coMribut+e one m(U�On dollars {a�,000,00U.Q0} to this initiat�ve annuaNy wifh eatepayers providing one
miNion ddlars (S1,OQ0,000.�0) per year. It Is proposed that the program operate on an Octot�er 1 through
September 3� year, with benef�ts being capped at the !wo milHon dollar leve! #or the initia! program period.
Admin�s#ratiqn:
R tt►ird-par}y administrator wll[ coor�nate qualification of cusiomers, vaucher distributia�, subsequent
vedfication and reimbursement vf etlgible expenditure5 and general program administratian. Program
admini5trafian expenses wiEt be funded fiom the annual appKOVed 6t�dget.
Program audits wilt be conduded arnd the results provided to any inierested party within 120 days of the
end of each prograrn year to determfne sfl�ective�ess.
Z8
Sd�edub A
Page 1 oF 2
a�as er�r�r co�. nun-�c av�sa�
Reve►►ue a�nut�rRS sr s� a.ass
TEST YFAR EHDRIG JtA1E �. 2007
Dt}i�BiT B TO S£T[IEMENT AGREEYEKT BEMIEEM ATMOS ENERGY AND THE ACSC CfRES
�yM CumM � P4opwad P�rcont
No Da�cAPtloa Pwwnuas F�wnws � Chan9� ��fle
(a) (b► (�) (a? fe)
�
Z Residentia! (Base RevMUe) S 277,4a5,d94 S 28D.887.SE6 S 3.402,192 1.2396
3 RCSIdMUiI(RidtrGCRa 825.991.761 GZ5.991.7$7 - 0.04%
4 Res7damht(RlCarfFERIduTAX1 52.488.698 52.888.,332 197,�i7 6.3876
5 Totsf ReaidaM�l S 955 965 95t S 859 565.779 S 3.599 828 0.3B%
6
7 Canme� {B�se Revenue) S 59.668,418 S 65.119.64T S S,a53,231 8.1496
8 Camme�ai(WderCCR) 399.910.91T 399.910,417 • Q0076
9 Cor�vnecdN (Rider fE S WCa7AX} 26 699.748 27 Dt8.551 316 B03 1.1996
�0 To�{ComrneR3s1 S 686.Z17.0� S 452,047,418 S 5.770.035 t:t9%
11
12 In�tsUTrmpadatlon (Base Revenue} S 8,4fi1�18 S 9.�T,249 S 596.00i T.Q4%
13 Indusht�YTianapwhilon(RidarGCR) 33,616,178 33,618,'178 - 0.00%
14 Ind�{/t'ta�eporta4on (RiAar FF S Rider TAX} 2 44s 547 2.<79.4� 34,625 t.42%
s5 TotaifndustriaYTonsporbiion S 4a.521.&3t S 45.152,563 S 636.625 1.42%
'I6
17 OThet Revanus (Baaa ReveE+ue) S 17.4}g,758 S '•7,4i8.758 S - 0.0094
18 Otherftsvenu�(R(derGCF� - - - 0.00%
19 OtharRsvanue(ftiderFF3RiderTAX} 1.611.966 y.01tg66 - 0.00%
20 TolalOtl�erRevnnue S t8.430.7?A S �.430.72a S 0.00%
21
22 9ase Rawnue S 383,031.887 S 372.483.310 S 9.45t.42:f 2.80°.6
23 RidixGCR t.Q58,518,856 1,069,518.856 - 000°Rr
24 Ridar FF E Ritl� TA7C 82.644.851 83,19t.015 549,a64 0.68%
25 Totsl OpetaEng Revenu� S t.50S 795.683 S 1 515198.181 S 10.000.488 0.66%
26
27 Nafs:
28 � Proposed Rerenues ace tMa rewk of fhe app6wtion a! the p�oyosed raks to bi0iig detecmvwnts.
Sd�1uk A
Paga 2 of 2
aTMOS ENERGY COI�., bID TE7[ AM310N
RENENUE RELiU1RBAENTS
TEST YEAR Efi01NQ �UNE �0� 2007
S�ttlsmentPtoposat
Ridar FF L Ridar
Lhis No ��rfPdon F� Basn Reveew _ REder GCR TAX ToUi
(a} @I (�l Cd) (e) (�Y f8)
t
2 Wde�CiCRPartA ScIwCUMN S - S 978.t43.417 S - S 978,ti�.417
3 Ridv OCR Part B sd+.eW. t 83.375,a39 �1.375.
4 Ta1alRidarGCR S 1.059518,85b S 1,059.St8.&56
5
e Operatbn ard M��enanca E�nses Sd�eCuk F1 S 150.931.�4 S 150.891,394
7
B Tax� Otlior than ficoms Taxes Sched�ds P-S 2Q,756,91 B S 83,194,415 103,850.933
9
t0 DeP '� n md AmarNatlen Exp�sa Sdrmat F-3 79.148.654 79.148.6ta
Si
t2 lnterast on Custamer DrAasib ScfrduM F7 1,593.388 1.593,388
15
li RaSa Base SeMawa e$ i 123.773.�5
15 Rate cf R64um Sefiedds G 7.79°.f+
76 87.535.506 87.535.806
t1 .
t8 Incam T�es sdieauM F�F 32.55+6.703 32.555.703
19 �
20 Rmnw Rsquiranunfs S 372.482.822 S 1.059.518,856 S 83.'I84.615 S 1.515.f95.893
2t
42 CumeMRevem�es scnaauea S t,5��195.693
23 S t0.000,0U0
2a Praposed Chuge
WP ,!-4
Page 1 of 3
ATMOS ENERGY G�RP„ IM�D-?EX tN1/ISIQN
SUiAMARY PROO� OF ftEV�Et1E AT PROPOSED RATES
TEST YEAR ENDING JUNE 30, ZQ07
Un� t�sc�iptlon Tatai Reference
(�) t�? {�}
Rate R
1 Rate Ch�acteristics:
2 Customer Gharge S1 p.69 ccs
3
4 Cons�xnption Cha�ge (S�Mcf� �1.2710 ccs
5
6 Rider GCR Part A 57.5520 scx�aaur� t�
7 Ftider GGR Part 8 $0.5990 schedc�a E
a
9 Bilfir� Units (tI-
44 Bi�s 1T,144,647 wts_,�t.t
1f To#al MCF 76,T98,$0$ vuP_.�1.4
12
13 PreseM Reven�;
14 Ct�stamer Charge 5 183,276,276
15 Cansumption Cha�ge 97,611.410
16 Bass Revenue $ 280.887.�6
17 Ride�' GCR P�t R 578,9�3$,3Q2
1$ R�e�r GCR Part B 46,003.459
19 Subtotsl $ 806,879,447
20 Revenue Related T�es 5Z,686,332
24
22 Totaf Propased Revenue- Rate R S 959,565,779
23
24 Nate 1: See Bi�nS Qe#e+rntinants Sfi�dy ftN details.
31
WF� J�
Page 2 of 3
ATMOS ENERGY CORP., MID-TEX DIVISION
SUMMARY PROOF OF REYENUE AT PROPOSEQ RATES
TE57 Y�R ENDING JUNE 30, 2007
Line Description 7otal Reference
f a) tb) ta)
Rate C
1 Rate Characteristics:
2 Customer Charge 52t}2$ Ccs
3
4 Consumption Charge ($lMcf} $0.7t04 ccs
5
& Ricier GCR Part A $7.5520 Scnedu�e H
7 Rider GCR Part B $U.5001 Sche�u►e r
a
9 Biliina Units t11:
10 Bills 't,471,279 YvP_�-�.2
11 Total MCF 49,685,131 � .r-1.2
12
'f 3 Present Revenue:
14 Customer Charge $ 29,837,538
15 Consumption Charge 35,282,109
18 Base Revenue $ 65,119,647
17 Ris�e� GGR Pari A 375,072,987
18 Rider GCR Part B 24,837,934
'19 Subtotaf $ 465,030,564
20 Revsnue Reiated Taxes 27,Q16,551
21
22 Total Propased Revenue- Rate C $ 492,047,115
23
24 Note 1: See Bifling Determinants Study for details.
32
WP J-0
Page 3 of 3
ATMOS ENERGY CORP., MID-TEX D1VIStON
SUMMARY PROOF OF REVfiNUE AT PROPOSED RATES
TEST YEAR ENOING JUNE 30, 2007
Une Description Totai Reference
(a) (b) {�)
Rate 1 &T
1 Rate Gharacteristics:
2 Customer Charge $344.75 ccs
3
4 Blodc 1 ($/MMBTU) $0.2200 ccs
5 Blcdc 2 (3/MMBTU) $�.1600 Ccs
6 BJock 3 ($/MMBTU) $0.0493 Ccs
7
8 Rider GCR Part A 57.552� scheduie H
9 Rider GCR Part B $0.2804 Sct�eduie �
10
11 Consumation Charactecisiics:
12 Blodc 1(�rst 1,500 MMBTU) 0,21691 (�l
13 Biock 2(Next 3,500 MMBTU ) Q.24651 {�)
14 Block 3(Over 5,000 MMBTU } 0.53657 (i)
15
16 Billinq Units {� }:
17 Bills 11,542 wP J-t.3
�g g�� � 9,694,939 WP J-1.3
19 Blodc 2 11,018,084 WP J-4.3
20 Biodc 3 23,982,442 wP_�-�.3
21 Total MMB7U 44,695,465
22
� 23 Sales Volumes 2,858,579 INP_J
24
25 Present Revenue:
26 CustomerCharge $ 3,979,105
27 Blodc 1 2,132,887
28 Block 2 1,782,893
29 Blodc 3 1.182,334
34 Base Revenue . $ 9,057,219
3t Ride� GCR Part A 2��082��28
32 Rider GCR Part B 12 .��.��
33 Subtotal $ 42,673,387
34 Revenue Related Taxes 2,478,166
35
3fi Tota! Proposed Revenue- Rate i&T � 45,152,563
37
38 Note 1: See Biliing Determinants Study br detaps.
33
. �
TARIFF FOR GAS SERVICE ATTACHMENT B ATM03 ENERGY CORP.,
MtD-TEX DMSION.
RA'iE SCHEDULE: TABLE OF COMTENTS �
APP�ICABI.E TQ: Entite Systsm REVISION DATE:
February 1, 2006
EFFECTIVE DATE: PAGE:1 OF 1
Fe6tt�ary 1, 2046
I. UTlLITY OPERATIONS
H. CITIES AND COiJNT{ES SERVED
III. DEFlNIT�ONS
N. GAS SERVICE RATES d� RIDERS �
Rate R - Residet�tial Sales
Rate C • Commerciaf Sa{es
Rate I - industrial Sales
Rate T - Transportation
Rider CT — CompetiGve Transport
Rider GCR - Gas Cost Recwery
Rider FF - Franchlse Fee Adjustment
Rider SUR — Surc��ges
Rate LEP — Line Extension Policy
Rate M - ��aneous Charges
Rider RA - Retention Adjustrnent
Rider 7AX - Tax Adjustment
Rider WNA — Weather Normalization Adjustment
Rider RRM — Rate Review Mechanism
Rider CEE — Conservation and Energy Eiflciency
V. SERVICE RULES ANQ REGtlLAT10NS
TARIFF FOR GAS SERVICE ATINOS ENERGY CORP.,
MiD-TEX DNiS10N
RATE SCHEDULE: Rats R- ResMential Sales
APPUCABLE TO: EMke System REYISION:
DATE:
EFFECTfVE DATE: PAGE:1 QF 1
Febtuary 1, Z008
RATE R - RESIDENTtAL SALES
Appl[cation
Applicable to Residential Customers for all natural gas provided at or�e Point of Delivery and rr�asured
through one meter.
Type of Ssnrice
Where service of the type desired by Customer is not atready availabEe at the Point of Delivsry, additionaf
charges and speciai contrad arrangements between Company and Gustomer may be reyuired prior to
service being fumished.
Monthiy Rate
Cusfomer's monthly bill will be calculated by adding !he tdbwing Customer and Mcf charges to the
amounts due under the rkiers listed bebw:
� Charge Amount
Customer Charge per Bill $10.89 per mo�th
Commodity Charge — All Mcf $1.2710 per Mcf
Gas Cost Recwery: Plus an amount for gas costs a�d upstream transportation c�sts cak�tated
in accordance with Part (a) and PaR (b), respectively, of Rider GCR.
Weather NormalizaUon �ustment: Plus or Minus an amount for weather nom�alizatbn
cabulated in acxordance with Rider WNA.
Rate Review Mechanism: Plus or Minus an amount for rates as calculated in accordance wi�
Rider RRM.
Franchise Fee Adjustrnent Pfus an amount fot franchise fees calculated in accordance with Rider
FF.
Tax Adjustmen� Plus an amount for tax qiculated in accordanoe with R(der TAX.
Surcharges: Plus a� amount for surcharges ca�ulated in ac�orciance wRh the applicable rider(s).
Agreement
M Agreement for Gas Service may be requlred.
Notice
Service hereunder and the rates for services provided are subject to the orders of regutatory badies
having Jurisdictl�on and to the Compsn�s 7ariff for Gas Service.
TARlFF FOR GAS SERVICE A'TAAOS ENERGY CORP.,
MID-TOC DM810N
RATE SCHEDULE: Rate C- Commercial3ates
APPLICABLE TO: E�t1re System REYISIQN:
DATE:
EFFECTNE OATE: PAGE;1 OF 1
�ebruary 2, 2008
RATE C - COMMERCIAL SALES
Applicatlon
Applicable to Commeraai Customers for aN natural gas provided at one Point of Delivery and measured
through ane meter and ta Industrial Customers with an average annual usage of less than 3,U00 Mcf.
Typa ot Servtce
Where service of the type desired by Custorr�er is not already available at the Point of Deiivery, additionai
cbarges and special contract arra�ngert�ents between Campany and Customer may be required prior to
servfce being fumished.
Monthly Rate
Customer's monthiy bill will be ca�ulated by adding the folbwing Customer and Mcf charges to the
amounts due under the riders listed below:
Charge ' Amourrt
Customer Charge per Bill 5 20.28 per month
Commodity Charge - Aii Mcf 3 0.7104 per Mcf
Gas Cost Recovery: Plus an amount for gas costs and upstream tra�sportation cos� cak:ulated
in accordance with Part (a} and Part (b), respecG�ely, of Rider GCR.
Weather Normalization Adjusbnent Plus or Mnus an amount for weather nomiatiza6on
calcufated in accordance with Rider WNA
Rate Review Mechanism: Pius or M(nus an amount for raEes as caiculated I� accordance with
Rider RRM.
Franchise Fee Ad�stment Plus an amount far franchise tees cal�utated in accordance with Rider
FF.
7ax Ad)�tment P�us an amount for tax caJculabed in accordance with ftider TAX.
Surcharges: Ph�s an amount for surcharges ca�ulated in accordance with the applicable rider(s).
Agresment
An Agreement for Gas 5ervice may be �equired.
Nofice
Service hereunder and the rates for services provided are subJect � the aders of reguiatory bodies
having jurisdiction and to ttie Company's Tatiff for Gas Servfce.
TARtFF FOR GA3 8ERVICE ATMOS EN�RGY CORP..
iI�ID-TEX ONf31QM
RATE SCHEDi1LE. Rate t- Iadust�sl 3slea
APPLtCABLE T4: Enttre System REVISION:
DA1E:
EFFECTNE DATE: PA{i�: 1 OF 2
Febrtiary 1� 2048
RATE 1- INUUSTRIA SALES
Apptication
Applipbie to Industriai Customens with a maximum da�ly asage {MDUj of iess than 3,500 MMBtu per day
for aq natural gas provided at ons Pofnt o# Delivery and measured through one meter, Serv� for
lndustrial Customers wfth an Mt3U equa! to or greater than 3,5t)0 MMBtu per day wiil be provided at
Campany's sole option and wiN require special cantract artangements betwes� Company and Cusbomer.
7ype of Service
Where servioe of Ifie lype des�ed by Customer is nof already available at the Point oF DNivery, addiUonal
charges and speciai coMract artangements between Company and Custamar may be fequired pr� ta
setvice being fumished.
Monthiy Rate
Custome�s monthiy bill wfil be calcuiateti by addir�g the following Customer and MMBbu charges to the
amounts due ur�der the riders lisbed below:
Cha►ge Amount
Gustomer Charge per Meter $ 344.78 per month
Flrst 0 MMBtu ta 1,500 MMBtu $ 0.2204 per MMBtu
Ne� 3,500 MMBtu S 0,16Q0 per MMBtu
Alf MMOtu ovec 5,Q00 AAM[3tu $ O.Q493 per MM9tu
Gas Gost Recarery: Plus an amaunt for gas costs arxi upstream transportaii�on costs ca�culated
in accardance with Part (a} and Part (b}, respedively of Rider GGR.
Rate Review Mechan(sm: Plus or Minus an amaunt for �aUes as ca{culated in accordance with
Rider RRM.
Franchise Fee Ad�ustmen� Plus an amount for franchi�e fees calculated in accordance with Rider
FF.
Tax Adjnsfinent Plus an amount tvr tax caiculabed in accordance with Rider TAX.
3urchafges: Plus � amount far surcharges calcuiated in accordance with the appiicabfe rider(s}.
Curtaiqnent Ova�wll Fee
Upon �tificatbn by Cornpany of an event of curtaitment or �terruption of Customer`s deiiveries,
Custcmer wiN, tor each MMStu delivered � excess af the stated level of curtailment or �terrupaon, paY
Company 200°� af the mi�oir�t price for the ICaty point iisted in Platfs Gas t?eily pubfished tor the
applicable Gas Day in the tabde endtled "DaAy Prk:e Sunrey."
TARIFF FOR GAS 8ERYICE ATMOS ENERGY CORP.,
MtD TEX DNISION
RATE SCHEDUL.E: Rate t- Mndustrta{ Safes
APPLICABLE TO: Entire System RE1IIStON: �
DATE: ,
EFFECTIVE DATE: PAGE: Z OF 2
February 1 � 2008
Repiacement Index
In the event the 'midpoint" or 'commo�' price for i�e Katy point listed in Platts Gas Det7y In the table
ent�ied 'Daily Price Sunrey' is r�o fanger published, Company will eak:ulate the appCxaWe imbalance fees
udlizing a da�y price �dex recognized as authoritaGve by the natural gas industry and moat closely
approximating the applicable index.
Agresment
M Agreement far Gas Service may be �equired.
Notice
Service hereunder and the rates for s8rvices provided are subJect to the orders of regutatory bodies
having jurisdictfo� and to the Company's Taritf for Gas Service.
Special Conditions
In order to receive service under Rate I, Customer must have the type of ineter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
TARIFF FOR GAS SERVICE ATMiDS ENER{3Y CORP.,
MID-TEX DN1310N
RATE SCHEDULE: Rate T— Transportatbn
APPLICASLE 70: Errtire System REVISIOht:
DAT�:
EFF�CTIVE DATE: PAGE;1 OF 2
(
February 1, 2Q08
RATE T - TRANSPORTAI'ION
AppNcatio�
Applicable, in the event that Compeny has entered into a Transportation Agreement, to a customer
directly connected to the Rtrnos Energy Corp., Mid-Tex Division DfsMbution System (Customer} for the
transportatian of all natural gas suppfied by Cusbomer or Cusbomers agent at one Poi�t of Delivery for
use in Customet's facility.
Typa of Service
Where service of the rype desired by Customer fs not already availabie at the Point oi Delivery, addiGo�ai
charges and special contract arrangements betwaen Company arxi Gusbmer may be required prior !o
service be(ng fumished.
Monthy Rate
Customers bitl will be c�cuhated by adding the follawing Customer and MMBtu charges to ths amounts
and quantities due under the riders kated bebw:
Charqe Amount '
Customer Charge per Meter S 344,75 per month
First 8 MMBtu to 1,5W MMBtu S 0.2200 per MMBtu
Next 3,500 MMBtu $ 0.1800 per MMBtu
Ap MMBtu over b,000 MMBtu S 0.0493 per MMBtu
Upstream Transportation Cost Recavery: Plus an amount for upstream transportaUon costs in
aa:ordance with Part (b) of Rider GCR.
Rate Revlew Mechanism: P�s or Minus an amount tor rates as calcalated in accardance with
Rider RRM.
Retenti�on Adjustmen� P1us a quantdy of gas as calculated in accordance with Rider RA.
Franchise Fee Adjustment Plus an artwunt for lranchise fees calculated in accordance with Rider
FF.
Tax Adjusdnent Plus an amount for tax qlculated in accordance with Rider TAX.
Surcharges: Plus an amount �or surcharges calculated in accardaace witfi the applicable rider(s).
Imbalance Fees
All fees charged to Customer under this Rate Schedule wd! be charged based on the quandties
determined ur►der the applicabie Trar►sporfation Agreement and quantities wi(I not be aggregated for any
Customer wlth muldple Transpartatbn Agreemen� for the purposes of such fees.
Monihty Imbalance Fees
Customer shatl pay Company the gre�ter of (i) $4.10 per MMBtu, or (ii� 15046 of the difference per MMBtu
between fhe highest and lowest `midpanY price for the Katy pant listed i� Pfatts Gas Oaity in the table
e�fUed 'Daity Price Sus�ey" during such month, for the MMBtu of Customers monthly Cumuhative
TARIFF FOR GAS SERVICE ATMOS ENER(3Y CORP.,
MID-7EX DIVISlON
RATE SCHEOULE: Rate T- Transportatlon j
APpLICABLE TO: EnUte System REVISlON: ;
DATE:
EFFECTNE pATE: PAGE: 2 UF 2
February 1, 2008
imbafance, as defined in the applic�ble Transportadon Agreement, at the end of each monfh that exaeeds
10% of Cusb�mer's receipt qua�tlties br the monih.
CurtaUment Ovgrpuil Fae
Upon notifroaRion by Company of an event of curtailment or interruption of Customer's deliveries,
Customer wGl, for e�► MMBtu delivered in excess of tfie shdted level of curtafiment or 1Merruption, pay
Company 200� af tfie mldpoint price for the Katy point i'�sted in P/atts Gas Daily published for the
appNcable Gas Day in the table eniitfcd "Daily Prive Survey."
Iteplacement Index
In the event the `midpoinC or 'cor,�rran" price for �e Katy point Itsted in Platts Gas Daily in the table
entitled `Datly Price Survey" is no longer published, Company will ca�ulate the epplicable irr�alance fees
utifizing a daity price index recognized as authoritative by the natural gas industry �d most cbsely
approximating the appficable index.
Agresment
A transportation agreement is requited.
Notice
Service hereunder and the rates for services provided are subject to the o�ders of regulatory bodies
having Jurisdicaon and flo the Company's Tariff for Gas Servke_
Speciai Conditions
in oMer to receive service under Rate 7, customer must have the type of ineter requrced by Company.
Customer must pay Company all c�osts associabed with the acquisiaan and instaAation af the meter.
TARIFF FOR GA3 SERVICE ATMOS ENEROY CORP.,
MID-TEX DMSION
RlQER: Rider (iCR - Gas Cost Recovery
APPUCABLE TO: Entire Systern REVIStON:
DATE:
EFFECTIVE DATE: PAGE:1 OF 3
October 1, 2008
Rider GCR - Gas Cast Recoverv
Applicable to Rate R, Rate C, and Rate I for all gas saies made by Company, and appticabte to Rate R,
Rate C, Rate I, and Rate T for rec�very of Pipeline Sys#em costs_ The total gas cosk recovery amo�t
due is determinad by adding the gas cost caiculated fn Section (a} bebw and the pipeline cost calculated
In Section (bj beiow.
The amount due fir gas cost (Secdon (a)) is debermined by multiplying the Gas Cost Reoovery Factor
(GCR� by the Customer's monthly vdume. For Customers receNing servlce under Rate R and Rate C,
monthly volume witt be calcutaled on an Mcf basis. Far CusMrr�ers receiving service under Rate 1,
monthly volume wifl be calculated an an MMBtu basis and the quantities will be adjusted as neoessary to
recover actual costs.
The amount due fo� pipellne cost (Sedbn (b)) is detenruned by mulUplying the Pipeline Cast Factar
(PCF) by the Customers monthly volume. For Customers recei�ing service under Rate R and Rate G,
monthly volume wil! be caiculsted on an Mcf aasis. For Customers receiving service under Rate 1 and
Rate T, monthly volume will ba cafcutated on an MMBh� basis and the quan�tles will be adjusted as
necessary to recover actuai costs.
(a) Gaa Cost
Method of Calculation
The month{y gas cost adJustrnent is calculated by the appl'�cadon of a Gas Cost Recovery Fador (GCR�,
as determined with the following fomnula:
GCRF = Estimated Gas Cost Fadar (EGCF? + Reconciliation Factor {RF� + Taxes {7XS) + Adjustments
(�4�J?
EGCF = EstimaUed cost of gas, induding bst and unaccounted for gas atbributed to residendal,
cammercial, and industrial salss, and any reconaliation batance oi unreco�ered gas costs, divided
by the estimated Uotal residerrtlal, commerciaf, and industrial salss.
RF = Calcul�ed by dividfng the diffierence beiween the Actual Gas Cost Incurred, indusive of
interest, over tt�e preceding iweNe period ended June 30 and the Actual Gas Cost Billed
over that same twelve-rnonth period by the estimated total residential, commerdal, arx! industriat
sales for the succeeding Ociober through June bNling mortths,
Actaal Gas Cost Incurred = The sum of the co�s booked in Atmos Energy Corp., Mid-Tex Division
account nnmbers 80o thrangh 8z3 and $�8 of the NArtYJC CTniform System of Aa:auats,
inclnding the net impact of uijecting and withdrarving gas from storage. Also includes a
credit or debit for any out-of-period adjustmenis or unusual or nonrecuiriag costs typicalty
considered gas �sts and a credit for amounta received as Imbalaace Fees or Curtailment Overpuli
Fees.
Actual Gas Cost Billed = EGCF multiplied by the monthly wlumes b�11ed to Residential,
Commercial end Tndastrial Sales customers, less the total amount of gas cost determined to have
been uncolla�ble aad mitten off which remaiu unpaid for each month of the reconciIiation
period.
TARtFF FOR GAS SERVICE ATMOS EHERGY CORP.,
MiD-TEX DtVi$IQN
RlDER: Rider GGR - Gas Cost Recovery
APPLICABI.E TO: Entire System REVIStON:
DA'iE:
EFFEC7IYE DA'�E: PAGE: 2 OF 3
October 1, ZOp8
Any amount remaining in the recc>nciliadan batance a&er the conclusion of the period of
amortization will be maintained in the recoac�7iation balance and incivded in the collectian of the
next RF.
Atmos Energ,y sha11 file anuua) reports with the Commission, providing by month khe foUowing
ainounts: Gas Cost Written O�': Margin Written C1�', Tax and Other Written C?ff, Total Written
Off, Gas Cast Caltecked asxi Margin Collected.
TXS = Any statutorily impased assessments or taxes epplicabie to the purchase oi gas divided by
the estimated Aatai residen6al, commeccial, and industriai sa�ss.
ADJ = Any surcherge or refund ordered by a r+egulafiory authority, inctusive af interest, divided by ifie
estimated totai res�entfat, comrnercial, and industrial sales.
(b} PJpeline Cast
Nfethod �f Catculation
Each month, a PipeNne Cast Factar (PCFy is cakulated sepa�ately for each Pipetfne Cast Rata Class
tis�d be{ow. The formula for fhe PCF is:
PCF = PP 1 S. wh�e:
PP =(P - Ay x D, where:
P= Estirr�ted mon#hiy cost af pipeli� service calcutated pursuant to Rate CGS
D= Pipelins s�vice aaocaGon factor for tne rat� class as approved irt the Company's mosi recent
rate case, as fdbws:
Pi 11ne Cost Rate Cfass Atlocation Factor 0
Rate R - Residentiai Serv6ce ,634783
Rate C - Commerci� Service ,3Q28Q5
Rate i-lndustria( Service atxi R�te T- Trans rtation Setvx:e .062412
A= Adjustment applied in the current month to correck for the difference betuveen the acttrat and
estimated pipebne cost revenue of the s�ond praceding month, calculated by the formuia:
A = R - (C - A2}, where:
R= Actuat revenue received irom the applicatlo� of the PP component in the second preceding
tnanth.
C= Actual pipetine c,osts fQr Uie ser,and preeeding marrth.
a+2 = The adjushnent (Aj applied to the PP compo�uant in the second preceding month.
S= Estimmated Mcf or MMBtu �r the rate dass tor the current bilting month.
1'he PCF is calculated to tt�e n�rest 0.0401 cent.
TARiFF FOR GAS SERV}CE ATMOS ENERGY CORP.,
MID-TEX QN1810N
RtDER: Rider GCR - Gas Cost Recovery
APPLICABLE TO: Ent(re System REVISION:
DATE:
EFFECTNE DATE: PAGE: 3 OF 3
Octobsr 1, 2008
The Pipeline Cost to be billed is detertnined by muttiplying the Mcf w MMBtu used by the
appropriate PCF. The PipeGne Cast is determined to the nearest whole cent.
TARIFF FOR GA3 SERVIGE ATMOS Eh1ERGY CORF.,
MID TEX DMSlQN
RIDER: Rider WMA — Weat6er Normalization Adf as#�»ent �
APPLIGABL.E TO: Entire System REVISION:
DATE:
EFFECTlVE DA7E: PAGE: t OF 3
, November 9, 20Q8
RIDER WNA — Weather Narmsifzation Ad�ustment
�'lgvisions fAr Adju_,��,L1,ent
The base rate per Mcf (t,ObQ,000 Btu) for gas �rvice sei forth in any Rate Schedulcs utilized by the
citios af the Mid-Tex I}ivisian �ccrvico area for determining normalized winter period revcnucs shalt bc
adjusted by an amount hereinaf�x describod, which amount is referred to as the "Weather Nartnaliratson
Adjustmcnt," The Wc�thcr Normalization Adjustment shall appty ta sll temperatuce sensitive residential,
and cornmercial bills based on meters read during the revenue montbs of November Ihrough April.
Comoutation of Westher Narmalizatian Adjustrncnt
The Weati�er Normalization Adjustment Faetor shai( be computed to the nearesi one-hundredth cunt
per Mcf by the following formuta:
(HSF� x {Iv"DD-ADD} )
WNAF� — R�
(BLJ + {HSF� x ADD) }
Where
i = any particutar Itat� Schedule or billing classificatian wi#hin any such
particulaz Rate Scfuedule that contains morc than ane billing ctassificatio�r
WNAP! = V++estlfer Nornializacian Adju�tment Fa��ar far th� i� rate sch�iule oe
classifu:afron expressed in cents per Mcf
Ri � bese rete of temperature scnsitivc saks for thc i� schedutc or
ctassifieation approve� by t!� a�tity exc�rcising arigina! jurisdictian.
HSF� = heat sensitive factor far tfia i� schedule or classification calculated as tha
slope af the linear regression of averagc sales per bill (Me� and actual
hcati�g degree days by monih for the tesf ycar by schedule or classification
and weathcr staticm as Fart of the RRM filing.
NDD = billing cycte normal heating degx days calculated as thc simplc icn-ycar
a�erage of actual heaNng degr� days.
ADD = billing cycle acival heating degree days.
Bli = base load sales for tho i�'schedulc or otassifieation calculated as the y-
inb�rccpt af the linear rcgression of aveesge sales per bill (Mct� enti actua(
heating degrce days by month for the test year by schedule or ctassification
TARlFF FOR GAS SERYICE ATMOS ENEFtGY CORP.,
M!D-TEX DMSION
RIDER: Rider WNA — WeatAar Nom�afization Adjustment
APpLICABLE TO: Entfre System REVISION:
DA'fE:
EFFECTNE DATE: PAGE: 2 OF 3
November 1, 2008
and weather station as pert of the RRM filing,
The Weather PJormalization Adjustmcnt for the jth customcr in ittt rate schedule is computed as:
WNA = WNAF x q;;
Where q;� is the relcvant sales quantity for the jth customer in ith rate schedule.
Fi}in�s with Entitics Exercising Qrjgiaal Jurisdiciion
As part af its annual R,RM filing the Company will fi(e (a) a copy of ee�h computation af the
Weather Normalization Adjustment Factor, (b) a schedule shawing tha effective date of cach such
Weather Normalizadon �ldjustment, (c) a schedule showing the factors af vat�es used in calculating
such Weather Norma}ization Adjusbnent and (d) a random s$mpte and audit af thirty (30} �tual
custorncr bills, with cu�oraer ittformatian deleted, for each reta schedule or ciassification to which thc
WI�A was applied in the preceding 12 month periad. To the eactent that source data is needod t4 audit
the WNA application, such data will be provided by tf�c Company as part of thc annual RFiM fiting.
If the RRivf is discontint�d, as prorridcd in the Rider RRM tariff, the inforatatiwwi requited herein to be
filad with the erttiGes exer�ising original jurisdiction shalf be �led an March I of each year.
Base UsehIeat Sensitivitv (HSF} Factars
Residential Commercial
Base use HSF Base use HSF
Weather Statian Mcf McflHDD hicf Mcf1HDD
Abilene 1.14 .0131 8.11 .Q631
Austin 1.31 .0136 18.Q5 .4669
Dallas 1.57 AI$5 18.U8 .Q925
Waco 1.2Q .Ol 38 1 Q.9? .06{?6
wic�i� i.z� .o�a7 ii.ss .ossi
Falls i
TARIFF FOR GAS SERVICE ATMQS ENERGY CORF.,
M� TEX DMSIflN
RIDER: Rid�r WNA — Wsathar Normaiizatio� Adjustment
APPLlCA9l.E Tt?: Entire System REViS10N:
DATE:
EFFECTIVE QATE: PAGE: 3 OF 3
Naverober 1, ZQ08
�i 1� WNAF, Cmlcul ion:
(.O131 x {30-i?} }
. t 533 per Mcf = 1.226? x
(t.14 + (.4131 x 17) )
Where
i = Resid�tia! Single Block Rate Schedule
R� = 1.2267 per MCF (Rate R- Fina! Order GUD Na 9674)
HSF� _ .0131 (Residential - Abilene Area)
NDD — 3a HDD (Simple ten-year average of Achial HDD for Abilene Ar+ea — 9!i 5/06
—10/ 14J06)
ADD = f 7 HI)D (Actual HDD for Abilene Area — 4/15I06 — 10/14t46)
Bl� = 1,14 Mcf (Residentia) - Abilene Area)
TARIFF FOR GAS SERVICE ATMQS ENER�Y CORP.,
MID•TE�C DIVTSIC?N
I RIDER: Rid�r RRivi — Rate Review Me�chanism
APPLICABLE TO: Entire Mid-Tex D'avision KEVISION
DATE:
EFFECTIVE DATE: PAGE: 1 af 5 ,
Feb 1, 2048
RIDER RRM — RAT� RE't�.EW MECHANISM
�
7'his mechanism is designed to pravide annual camings vanspsrency. If, thmugh the implemcntation of the
provisions of zhis mcchanism, it is determined that raEes shauld be dacraased or increased, then rates will be
adjustcd accordingiy in the man»er set forth hcrein. The rate adjustments irteplementcd under this
roechanism wilf ntlect annua! ct►anges in the Company's wst of service and rate base. 'I1�is adjusdnent
wiil be authorized far an lnitiai Impkmtntation Poriod. With the conolusioa af the fmat rate adjt�sGment, if
any, for th� initiat Implemeniation Period, cach entity having original jurisdiction may revoke, amend, or
approve Subscquem implemwtation Period(s) for, the mec�a�sism.
Definitions
a) The Anaual Evalnatioa Aate shaCl bt the dau the Company will makc its annual filing u�der this
mechanism. The Annual Evaluation Date shall 6e rm tater than March i, of each ytar. This frling shal! be
effective in electronic form w6erG praeticable. 7he initial filing sha11 be made March 31, 2Q08.
b} Audlted Finaacial Dsta shall meaa ihe Company's books and records related to ihe Company's Mid
Tex operating area and shared services operarions, Audited Financiat Data shail nsn roquire the schedules
and information prov�ded under this tariff to undcrga a separatc fnancial audit by an outsid� auditing firm
simifar to the Company's anana) financial audit.
c) Tha Evaluaiion Period is defined as the tw�lve maeth periad ending December 31, af each calwdar
year. The initiai Evaluation Period shall be calendar year 2007.
d} 'I1re Rate Effec6ve Per�od is defined as tho eartur of the twetve monch period for which raics
detc7minr� andsr this mtchenism will t+s in sf'fect ar subseqnsnt rates ars implemented.
c) Pa� Connection Basks is defmcd as ihe avcrage number of connections during the Evaluation Period.
f} Initial [mpkments�lioa Period is deSned a� the three (3) yesr period commericing with tht Corttpany's
filing nnder this meehenism For ds� caiendar yr,.0 2007, ef'ff'ective Octo6er I, 2QU8, and shall conch+de with
the impkmentatian of rabe adjustrnants, if any, for the third Rate Bffective Period.
g) Subsequent Implemantetion Period is detined as any thre+e (3} ytar period aAer thc conclusian of the
Initial Implanenlation Period.
h) F'fnal Order is defmcd as tha most recsnt ordes establishing iht Company's fatest etTectiv� rates Cor the
area in which tho mechanism is imptemented, end shaU include mvnicipal rate ordinances and resoCutions.
Rste Revicw Mc+chanism
Tha Compariy shall file with each regulatory authority having uriginal jurisdicdon over the Comp�ny's
cates the schedules specified bebw far ihe Evaluation Paiod, whh the filing ta bc made by the Annual
TARIF� FOR GAS SERVICE ATMQS ENERGY CORP.,
MID-TEX DNISrf3N
f RII3ER: Rider RRM — Rate Review Mechanism
APPLICABLE TQ: � Entire Mid-Tex Division REVISION
DATE: (
EFFECTIVE DATE: � �� PAGE: 2 of S �
February t, 204$
Evaluation Date faUowing the rnd of the E�aluatioo Periad. The schedules, which wili be base� upon thc
Comparry's Anditsd financis! Data, as adjustcd, and providcd 'm tht samc focmat as Atmos' rate fiting with
municipaJities on September Z4, 2007, wili include the following:
a) Company's acwal gross plani in savice, accirmulatcd deprrciadon, accumulated defernd inccune
taxes, inventory, woricing capital, and oEher rote base components. The ratemaking treatrnaits,
psincipEes, findings and adjustrnentt inctnded ia tise Final (kder will apply. Regulaitc�ry
adjustments due w prior rsgulatory rate base edj�stment disailo+wancrs wiil be meintsined w�era
applicablc. Caoh working capital wil! be catculated using tt►e leadlfag days appmved in thc Final
Order.
b} 7'he Compalry's depreciation expense, oQerating and maintenance expense, income caxes, and
taxcs other than income ta�ces. Dcpreciation rates will be those approvad in tha Finet Order, � the
rate most receatly approved. AU calculation methodologies witl be tt►ose approved in the Eina!
Order, or in the most ncent orda� addregsiag thc methodology. fn addition, the CnmQany shall
exclude from aperapng and maintrnance txpense the type of eupenses �elated to emptoyee
expense accounts disallowed in the GW No. 9670 Fina! Order.
c} ReNrn on Equiiy(RO� shal! be maintai�d at_ 9.6°i6�
d) Cost of debt will refkct actual cost. Capital suucwre wili be the actual Evaluation Period auling
rniio of long-term debt and equity, wi� pacentage equily not to exteed the percentage established
in tt�e Final Order in G.U.D. No. 9674 (48.1°�, equity),
e) AE! applicabie accouniing aad pro forma adjusaneots along with aU supporting workpapers.
t� Pro-farma adjustments to apdate and annualir�e cosu aod reve�ue bilting dete�m�r►ants for the Rate
Effective Psriad.
p� Pro-forma ar other adjustmems required to proptrly account for atypical, unusual, or nonr�curri�g
tvents.
h) Sharod Services aDocation factors ruay be recalculattd each year based on the latesi compoaent
factors, but tho methodfllogy used wilI ba that approved ia tht Fina! Order.
Calculation of E�te Adjustrnent
a) Thc Compffisy shall provide additional schedules indicating the following revenue
�ciencytsafticiency cakulatio�s using the methodology accepted in ihe Final Order. Thes�e
schMules shall identify thc rate adjustmcnts aecessary [or botl� s avo-up of revenue for thc
Evafuation Period and tbe setting of prospective rates for the Rate EfTective Period. The nat result
of thesa cate edjus�ne�tt� shall be rcflated in the propostd new rates ta bc established for thz Rate
Effective Period. ta calculatmg the requir� rate adjustments, such adjusiments will lx made pro-
ratabty to th� customer charge and usags charge based apon actusl reveaue generated, as ad,yurnd
under the Campany`s approved Weather Narmalization Adjustment (WNA) Resler. Provided,
TARIFF FQR GAS SERVICE ATM4S ENERGY CORP.,
MTD-TEX DMSIQN
RIDER: Ridtr RRM — Rate Revic.wv Mechanis�t
AI'P�ICABLE T0: Entire Mid-Tex Division REVTSION
1}A'I'�:
. EFFECfIVE DATE: PAGE: 3 of 5 �
F�bru 1, 2+008
hawover, that neiiher tht Residential nor the Cammoroial eustamer charges may iracteate mare
than 20°h per year.
b} If Comp�ny's eamings during tlse Evaluakion Period e�ccoed 9.6% retum on common equity, the
Campany shall caIculate an adjustment to rates to rafiu�d the mvonue reqni�d to achieve a�turn
on equiry of 9.6% for the Evalusti�s Period. tf Campany's earnings dur9ng the Evatua�ie�n Psriod
are beiow 9.b9k retum on common equity, the Campany sball calculate an adjustment in rates t�
collect ihe additionat reven�c ra�uued to incrcase it� retum oa cquity for ti�e �vaivation Period to
9.b°1e. The Company will calculate an adjushr►er►t for the Rate Effeetive Period to reftrnd oc collect
this difference.
c} The Company wil{ adjust rates fo� thc Rate Effecave Period za i�elude recovery af any known ar�d
measnrsbic ohenges to operating and maintenaacc costs ia�ln�ing. but oot limited tn, ait payralf
and compensation expcnse all b�sefit expense. al! pensi� expense, insurance Co�s, macerials and
suppiics, bad dcbt costs, ap mtdical expcnse, transpartation and build'mg and lease costs for the
Rate Effeciive Period. AdditionaUy. utitity plant for tho Rate Effe+�tive Period wiil be cstablished
by using tha Evaluation Pedod ending baCaeeces, iacludiog sssociatcd changes in depreciafian and
amortization expense and taues. in calcutating the Campany's knowa and mcasurable changcs far
prospective RRM adjustrnent ptuposcs, thc follawmg limitations will app}y, on a Per Connection
Basis.
1. Operating and Maintenance cxpenses far the Rate Effectivc Period. cannot increase more
th� 5% per connectiors pec year without spexific identificatian and justifieation. The
beginning Opaarion and Maintenanco expcnse for the 2007 RRM filing (the initial fi}9ng)
wii! be 5161 million.
2. Net plant invesAnent for the Rete EPfective Period cannot increau more t6an 5% per
connection per year without �ecific identification. However, in perfwrning a cap ust to
veriFy campliancc, Company shall exctnde any changos in nat plant iavesdnent
assoeisud with faisral. state, or local mandates �elatad to safety, compliance, or road
mavcs.
d) 'Fhe Compan}+ atso shall pro�ide a schedule demonstrating the "proaf of revtnius" relied upon to
calculate thn proposed rote for the Rste Effoctiva Pcrifld. '17ic proposed rates shall confarm as
closely as is practicable W the r�v�nue afloc�tion �iples Approved in th� Fizmt Order.
tian
A sworn statcment shail be fikd by the Company's Chief Officer in Chatge of Mid-Tex Qperations
affirming that thc filed schedules are in compliance witl� the provisiorts of this mcchanism and are true and
co�ect ta the best of his/tt� knowlodge, inf�mation and betief. No Oestimany shall be fiied ,
TARIFF FOR GAS SERVICE ATMOS ENERGY CORP.,
MIU-TEX DIVISION
RIDER: � Rider RRM — Rate Review Mechanism
APPLICABLE TO: Entire Iviid-Tex I3ivisioa REVISION
DATE:
BFfiECTIVE DATE: PAG�: 4 of S
� �'ebruary 1, 200$
Evaluation Procedures
The rzgulatary authority 6aving original jurisdiction ovcr the Company's rates shalt have ninety (90} days
to review the Com�y's filed schsdules. The Company will be prepared W provide supptemrnW
ir►formadon aa may be rrcqnesud to ensun adequate rcview by tha relavant regutatory authority. The
Company shail not uailateratly impese any limits upan the provision of suppiemeatal infonnat�on and svch
information shai3 be prov3ded within tea (tQ) working days af the original rcqtust. Tht r�gulatory
authority may proposG any sdjustments it dstermincs to bc requircd to bring tho schedules into comgtiance
with tbe above provisions.
During and failowing the ninery (90) day review period and a thiriy (30} day response period,lhe Co�npany
and tha regulatory authority wiU work collaborativo{y and come to egreement on, the proposed adjustments
to the Company'a schectule and proposed rates. Once agreemeac has been resched by the Compeuy and thc
ngulatc�y authority, the rogulatory autharity shalt authorize an increese or decrease ta the Company's rates
so as to achiere tbe reve,nue levels indicaud for both thc Evaluatlan Feriod and Rate Effective Periad, lf,
at the end of the thirly (30) day resFwwnse period, the Compffiey and the reguiatary authority have not
reaehed egreemait on the proposed adjustments, thc Campsny shall have the right to mppeal the regufetory
authority's acxion or inaction to tha Raihoad Cammission of Texas. Upon the filing of any appeat, tho
Company shall have tlte right to implcment the propascd RRM tate adjustment, suUject ta refund.
If approved by the entity extircising original jurisdiction, the rates estahtished pursuant to ihe Rate Review
Mechanism for the fust Rate Hffective Perrod shaJl be effective on October 1, 2008. Thereafttr, r�a
estabiiahed pnrsuant to the Itata Review Mxhanism far su6sequent Rate Effective Periods, if approved ss
provided herein, shall bG effective on Ju1y 15 af each year.
Recpnside ion �d �ea)
(hders issued purs�►t to this mxhanism are ratemalcing wders and shall be subject to appeal under
Sections 102.001(b) and l43.021, et seq., af the Texas thitities Codt {Vcntott 2W7}.
Notice
Tfotico of the annua) Ratt Rev�w Mechani�n filing shall be provided to ali affected custome�s of tl�
Atrnes Mid-Tex I)ivision in aceordance with the provjsions of this seccion no later tltart fortyfivc (4S} days
aftcr tho Company trtakes its annual fiiing {wrsuant to this tarift: Company may providc notice eitbtr by
mailing or otherwise delivering the notice with its billiog statements. Notice by mail shsll lx presvmsd ta
b� complate threa c�ys after the dau of deposit of the paper upon which such notice is written, enclosed in
a P� ProP�*�Y addressed wrapper, in a post of�ict ar afflcial depository undcr thc carc of the United
Stetes Postal Service. Tha notice to customers shall inclnde 11te foUawing informatlon:
s} s descripdon of thc proposed revisron of rates and schedulss;
b} the effect the proposed revision of rat�.c is a�cpxtcd to have on die rates applicabte to each
customer class and an an average bil! for each affecta! customer;
TARIFF FOR GAS SERVICE ATMOS ENERGY CORP.,
MID-TEX DIVISIQN
RIDER: . Rider RRM — Rate Review Mechanism
APPLICABLE TO: Eritire Mid-Tex Dsvision REVISION
DATE:
EFFECTIVE DATE: PAGE: 5 of 5
Feb 1, 2008 '
c} the service area or areas in which the proposed rate adjusanent would appty;
d) the date the proposed raie adjustment was fiicd with the regulatory authority; and
e} the Campaay's address, tclephone mm�ber and website where infonnation concerning the
proposed rate adjustment may be obtainal. '
TARfFF FOR GA3 SERVlCE ATMOS ENERGY CORP.,
MIO 7EX DMSION
R1DER: Rider CEE — Conservaifoa � Energy Efficiancy
APPLICABLE TO: Entire System REVtS10N:
DATE:
EFFECTNE DATE: PAGE: 1 OF 1
Fabruary 1, 2Q88
RIDER CEE — Conservation 8 Ene�qv Efficiencv
Pur se
Atrnas Energy Mid-Tex is proposi�g to i�stitute a complete Consecvation & Energy Efficiency pmgram
which wili offer assistance to qualNied custort�er segments In reducMg energy consumption and lowering
energy utHity b�is. The proposel is one where Atmos Energy sharehdders wiA fund a percentage of the
albwable expenses incurred annuaily, with a customer rate companent providing the remainder of the
funding. Foltowing Es a high-level, concspt summary ot the proposal. Abnos Energy Mid-Tex Division
proposes to work with the cammunitie.s it serves ta develop the detaiis of a new tariff and programs
addressPng conservation and energy eificier�cy.
Synopsis:
Vaucher system to pravide frae energy savings matar�ls and suppUes to qualifying customers of Atrnos
Mid-Tex. Quelified Customers will receive up to hvo hundred doNars ($200_OQy worth of caulking,
weather-stripptng, sheathing, sealing, water heater blankets, ar�d like maeerials, other eneryy saving
devices such as ciock-thermostats, set-badc devices (`covered items') from approved supplie�s ! reCaiters.
Company wdi undertaka efforts ta eniist support from community groups, induding its own Empbyee
Action Program, ta assist customers with fnstaltation. ff it is determined that professionat installaaon
capebilities are necessary, the parties will agree on labor assistance arr�unts.
Ef' ibili
Low Income — Low-income rate-payers that qualify for heating biU asaistance through LINEAP
agencies and a!I agencles that d'+stribute Ahras 'Share the Warmih' tunds. Agenaes that apocate
assistance funds denote cusiomer as Low Income, a status that lasts for one year.
Senior Citizen — Primary account holder can request eBgibility through ATM call center or web-site.
Customer pravides prrcr�ary SSN which is verified through Social Security AdminisVation. And account
holder that is or tums 65 years old in tl�at year becames eligibte.
Fundir�x
Initiel program fund'mg will be at two million ddlars {$2,000,400}. Atmos Eaergy shareholde►s wi(f
contribute one mUlion ddlars ($1,000,000.00) to this initfative annuaUy wfth ratepayers provlding one
milllon dollars ($1,000,OOO.QO} per year. It �s proposed that fhe progrem operate on an October 1 through
September 30 year, with benefits being cappad at ihe two miA3on dallar level for the initial program period.
AdminisUaaon:
A third-party administrator will coordinate qualiflcatlon of customers, voucher disiribution, subsequent
veriRc�tion and reimbursement of etigible expenditures and generaf program admini�tration. Progr�n
a�ninisUaUon expenses w�t be funded fram the annual8pproved budget
Program audits witi be conducted and the resufts provided to any intsrested party wiihin 120 days of the
end of each program ye�ar to deterrr�ne effecOveness.