HomeMy WebLinkAboutOrdinance 2533
ORDINANCE NO. 2533
AN ORDINANCE FIXING AND DETERMINING THE GENERAL
SERVICE RATE TO BE CHARGED FOR SALES OF NATURAL GAS TO
RESIDENTIAL, COMMERCIAL AND INDUSTRIAL CONSUMERS IN
THE CITY OF NORTH RICHLAND HILLS, TARRANT COUNTY, TEXAS:
PROVIDING FOR TRANSPORTATION RATES; PROVIDING FOR THE
MANNER IN WHICH SUCH RATE MAY BE CHANGED, ADJUSTED,
AND AMENDED; PROVIDING FOR A WEATHER NORMALIZATION
CLAUSE; PROVIDING FOR THE RECOVERY OF ANY CURRENT
RATE CASE EXPENSE; PROVIDING FOR A SCHEDULE OF SERVICE
CHARGES; AND PROVIDING FOR A MAIN LINE EXTENSION RATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NORTH
RICHLAND HILLS, TEXAS:
SECTION 1. Effective immediately upon the passage of this rate
ordinance, the maximum general service rate for sales of natural gas rendered to
residential, and commercial consumers within the city limits of North Richland
Hills, Texas by TXU Gas Distribution, a division of TXU Gas Company, a Texas
corporation, its successors and assigns, is hereby fixed and determined as set
forth in Items A, and A-1 in the Attachment hereto which is incorporated herein.
SECTION 2. The residential and commercial rates set forth above shall
be adjusted upward or downward from a base of $2,7535 per Mcf by a Gas Cost
Adjustment Factor expressed as an amount per thousand cubic feet (Mcf) of
natural gas for changes in the intercompany city gate rate charge as authorized
by the Railroad Commission of Texas or other regulatory body having jurisdiction
for gas delivered to the North Richland Hills distribution system, according to
Item B, in the Attachment hereto which is incorporated herein.
SECTION 3. Residential and commercial rates shall also be subject to
weather normalization adjustments according to Item C, in the Attachment hereto
which is incorporated, herein.
SECTION 4. The residential and commercial rates set forth above shall be
adjusted upward or downward for changes in taxes and other governmental
impositions, rental fees or charges according to Item D, in the Attachment hereto
which is incorporated herein.
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SECTION 5. In addition to the aforesaid rates, Company shall have the
right to collect such reasonable charges as are necessary to conduct its
business and to carry out its reasonable rules and regulations. The charges set
forth in Items E and F in the Attachment hereto which is incorporated herein, are
approved. Services for which no charge is set out may be performed and
charged for by Company at a level established by the normal forces of
competition.
SECTION 6. In addition to the aforesaid rates, Company is authorized to
recover the current rate case expense through a surcharge designed for a six-
month nominal recovery period. The surcharge per Mcf will be calculated by
dividing the rate case expense to be recovered by one-half of the adjusted
annual sales volume to residential, commercial, Industrial Rates-N and
transportation customers. The Company will provide monthly status reports to
the City to account for the collection of rate case expense.
SECTION 7. The rates set forth in this ordinance may be changed and
amended by either the City or Company in the manner provided by law. Service
hereunder is subject to the orders of regulatory bodies having jurisdiction, and to
the Company's Rules and Regulations currently on file in the Company's office.
SECTION 8. Unless otherwise noted herein, other than TXU Gas
Distribution (a named party), no person or entity has been admitted as a party to
this rate proceeding.
SECTION 9. It is hereby found and determined that said meeting at which
this ordinance was passed was open to the public, as required by Texas law,
and that advance public notice of the time, place and purpose of said meeting
was given.
PASSED AND APPROVED on first reading this the /1
,A. D., 2000.
day of Deee~
APPROVED:
(JU
Mayor
City of North Richland Hills, Texas
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Patricia Hutson, City Secretary
APPROVED AS TO CONTENT:
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Services and Facilities
APPROVED AS TO FORM AND LEGALITY:
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ntire, City Attorney
Page 3 of 9
ITEM A.
ATTACHMENT TO ORDINANCE NO. 2533
CITY OF NORTH RICHLAND HILLS, TEXAS
TXU GAS DISTRIBUTION
TARIFFS & SCHEDULES
RESIDENTIAL AND COMMERCIAL RATES
Subject to applicable adjustments, the following rates are the maximum
applicable to residential and commercial consumers per meter per month or for
any part of a month for which gas service is available at the same location.
Residential:
Customer Charge
All Consumption
$
8.0000
3.8301 Per Mcf
@
If the service period is less than 28 days in a month the customer charge is
$.2857 times the number of days service. If the consumption contains a portion
of an Mcf, a prorata portion of the per Mcf charge will be made.
Commercial
Customer Charge
First 20 Mcf
Next 30 Met
Over 50 Mcf
$
14.0000
4.1150 Per Met
3.8150 Per Mcf
3.6650 Per Met
@
@
@
If the service period is less than 28 days in a month the customer charge is
$.5000 times the number of days service. If the consumption contains a portion
of an Mcf, a prorata portion of the per Mcf charge will be made.
Bills are due and payable when rendered and must be paid within fifteen days
from monthly billing date.
Residential Off-Peak Sales Discount:
An off-peak sales discount of $.25 per Mcf will apply to residential customers'
volume purchased in excess of 8 Mcf for each of the billing months May through
October.
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ITEM A-1
ITEM B.
INDUSTRIAL RATES
Industrial Rates-N is hereby amended and revised as follows:
The City does not have evidence of any unfair advantage by either TXU Gas or
its industrial customers in the City with regard to contract negotiations for
industrial gas rates, and therefore, in accordance with Section 1 04.003(b) of the
Texas Utilities Code, contractual industrial gas rates are considered to be just
and reasonable.
Based on the above facts and in accordance with the mandates of Section
104.003(b) of the Texas Utilities Code, the City Council approves rates for
industrial customers in the City established by contract between TXU Gas and
such industrial customers, Therefore the City declines to establish rates for
industrial customers in the City as requested by TXU Gas in its Rate Filing.
100% of any increase in industrial margin is to accrue to the benefit of TXU Gas
Distribution.
GAS COST ADJUSTMENT
Each residential and commercial monthly bill at the above rates in Item A shall
be adjusted for gas cost as follows:
(1) The city gate rate increase or decrease applicable to current billing month
residential and commercial sales shall be estimated to the nearest
$0.0001 per Met based upon:
(a) The city gate rate estimated to be applicable to volumes purchased
during the current calendar month, expressed to the nearest
$0,0001 per Mcf (shown below as "Re"), less
(b) The base city gate rate of $2.7535 per Met, multiplied by
(c) A volume factor of 1.0216 determined in establishing the above
rates for the distribution system as the ratio of adjusted purchased
volumes divided by adjusted sales volumes.
(2) Correction of the estimated adjustment determined by Item B (1) above
for the second preceding billing month shall be included as part of the
adjustment. The correcting factor (shown below as "C") shall be
expressed to the nearest $0.0001 per Met based upon:
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ITEMC.
(a) The corrected adjustment amount based upon the actual city gate
rate, less
(b) The estimated adjustment amount billed under Item B (1) above,
divided by
(c) Distribution system residential and commercial sales Mcf recorded
on the Company's books during the prior year for the month that
the correction is included as part of the adjustment.
In summary, the gas cost adjustment (GCA) shall be determined to the nearest
$0.0001 per Mcf by Item B (1) and Item B (2) as follows:
GCA = [Item B (1) + Item B (2)]
GCA = [(1,0216) (Re - $2.7535) + C]
Weather Normalization Adjustment:
Effective with bills rendered during the October 2000 through May 2001 billing
months, and annually thereafter for the October through May billing months, the
above residential and commercial consumption rates for gas service, as
adjusted, will be subject to a weather normalization adjustment each billing cycle
to reflect the impact of variations in the actual heating degree days during the
period included in the billing cycle from the normal level of heating degree days
during the period included in the billing cycle. The weather normalization
adjustment will be implemented on a per Mcf basis and will be applicable to the
heating load of each customer during the period included in the billing cycle. It
will be determined separately for residential and commercial customers based on
heating degree data recorded by the D/FW Airport weather station. The
adjustment to be made for each billing cycle will be calculated according to the
following formula:
WNA= NDD-ADD xM xAHL
ADD
Where: WNA =
NDD =
Weather normalization adjustment
Normal heating degree days during the period
covered by the billing cycle
Actual heating degree days during the period
covered by the billing cycle
ADD=
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ITEM D.
ITEM E.
M=
Weighted average margin per Mcf included in
the commodity portion of the rates effective
during the October through May billing months
Actual heating load per customer
AHL=
The heating load to which the weather normalization adjustment is to be applied
for residential and commercial customers is determined by subtracting the base
load for the customer from the total volume being billed to the customer. The
base load of a customer is the average level of non heating consumption.
The weather normalization adjustment is subject to a 50% limitation factor based
on temperatures being fifty percent warmer or colder than normal. The weather
normalization adjustment will be calculated to the nearest $.0001 per Met.
TAX ADJUSTMENT
Each monthly bill at the above residential and commercial rates, as adjusted
above, shall be adjusted for municipal franchise fees (street and alley rental
taxes) and the state gross receipts taxes imposed by Sections 182.021 -
182.024 of the Texas Tax Code. Each monthly bill, as adjusted above shall also
be adjusted by an amount equivalent to the proportionate part of any new tax, or
any tax increase or decrease, or any increase or decrease of any other
governmental imposition, rental fee, or charge (except state, county, city and
special district ad valorem taxes and taxes on net income) levied, assessed or
imposed subsequent to December 31, 1999, upon or allocated to the Company's
distribution operations, by any new or amended law, ordinance or contract.
Municipal franchise fees (street and alley rental taxes) and the state gross
receipts taxes imposed by Sections 182.021 - 182.024 of the Texas Tax Code
shall continue to be collected pursuant to individual industrial contracts.
SCHEDULE OF SERVICE CHARGES
(1) Connection Charge
In addition to the charges and rates set out above, the Company shall
charge and collect the sum of:
Schedule
Charge
Business Hours
After Hours
$
35.00
52.50
Page 8 of 9
ITEM F.
For each reconnection of gas service where service has been
discontinued at the same premises for any reason, for the initial
inauguration of service, and for each inauguration of service when the
billable party has changed, with the following exceptions:
(a) For a builder who uses gas temporarily during construction or for
display purposes, or
(b) Whenever gas service has been temporarily interrupted because of
system outage or service work done by Company; or
(c) For any reason deemed necessary for company operations.
(2) Read For Change Charge
A read for change charge of $12.00 is made when it is necessary for a
company employee to read the meter at a currently served location
because of a change in the billable party.
(3) Returned Check Charges
A returned check handling charge of $16.25 is made for each check
returned to the Company for any reason.
(4) Delinquent Notification Charge
A charge of $4.75 shall be made for each trip by a Company employee to
a customer's residence or place of business when there is an amount
owed to the Company that is past due. This charge shall not be made
when the trip is required for safety investigations or when gas service has
been temporarily interrupted because of system outage or service work
done by Company.
MAIN LINE EXTENSION RATE
The charge for extending mains beyond the free limit established by Franchise
for residential, commercial, and industrial customers shall be based on the actual
cost per foot of the extension.
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STATE OF TEXAS
:>
COUNTY OF TARRANT
:>
I,
, City Secretary of the City of North
Richland Hills, Tarrant County, Texas, hereby certify that the above and
foregoing is a true and correct copy of an ordinance passed and approved by
the City Council of the City of North Richland Hills at a
session held on the
day of
, 2000, as it appears of
record in the Minutes of said City Council in Book
, page
WITNESS MY HAND AND SEAL OF SAID CITY, this the
_ day of
,A.D. 2000.
City Secretary
City of North Richland Hills, Texas
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