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82-09 O - Lone Star Gas Rate Increase c ORDINANCE NO. AN ORDINANCE FIXING AND DETERMINING THE GENERAL SERVICE RATE TO BE CHARGED FOR SALES OF NATURAL GAS TO RESIDENTIAL AND COMMERCIAL CON- SUMERS IN THE CITY OF PROSPER, COLLIN COUNTY, TEXAS; PROVIDING FOR THE MANNER IN WHICH SUCH RATE MAY BE CHANGED, ADJUSTED, AND AMENDED; AND PROVIDING FOR A SCHEDULE OF SERVICE CHARGES. BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF PROSPER, TEXAS: SECTION 1. Effective with gas bills rendered on and after thirty (30) days from the final date of passage of this ordinance, the maximum gen- eral service rate for sales of natural gas rendered to residential and com- mercial consumers within the City limits of Prosper, Texas, by Lone Star Gas Company, a division of ENSERCH CORPORATION, a Texas Corporation, its successors L and assigns, is hereby fixed and determined as set forth in Item A, in the �r 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 $3.1847 per Mcf by a Gas • Cost Adjustment Factor expressed as an amount per thousand cubic feet (Mcf) of natural gas for changes in the intracompany city gate rate charge as author- ized by the Railroad Commission of Texas or other regulatory body having juris- diction for gas delivered to the Prosper distribution system, according to Item B, in the Attachment hereto which is incorporated herein. SECTION 3. Company shall also receive tax 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 by a Cost of Service Adjustment Factor expressed as an amount per customer for changes in the cost of service over a twelve month period ending December 31, according to Item D, in the Attachment hereto which is incorporated herein. SECTION S. In addition to the aforesaid rates, Company shall have the 41, right to collect such reasonable charges as are necessary to conduct its business and to carry out its reasonable rules and regulations in effect. The service charges set forth in Item E, in the Attachment hereto which is incorporated herein, are approved. Services for which no charge is set out in Item E may be performed and charged for by Company at a level established by the normal forces of .? competition. SECTION 6. The rates set forth in this ordinance may be changed and 40, 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 7. It is hereby found and determined that the 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 this the /f day of A.D. 1912 ATTEST: 411 c ��fL fi(X/LO /(1- —e% Secretary M r City of P sper, Texas 411 STATE OF TEXAS X 4111, X COUNTY OF COLLIN X I, 7,6:42.c-a� , Secretary of the City of Prosper, Collin County, Texas, hereby certify that the above and foregoing is a true and correct copy of an ordinance passed and approved by the City Commission of the City of Prosper at a ,et. session held on the iy day of ePz_, , 1912, as it appears of record in the Minutes of said Cit Commission in Book 3 , Page . //'' WITNESS/,, MY HAND AND SEAL OF SAID CITY, this the /� day of �e f e— ee.C, , A.D. 19 4f7:2_ . 460 CV 4-, Secretary City of Prosper, Texas S 110 ATTACHMENT TO ORDINANCE NO. • CITY OF PROSPER, TEXAS LONE STAR GAS COMPANY TARIFFS & SCHEDULES Item A. The following rates are the maximum applicable to residential and commer- cial consumers per meter per month or for any part of a month for which gas service is available at the same location. Summer rates shall be applicable between the meter reading dates in May and October. Winter rates shall be applicable at all other times. Residential: Winter Summer Customer Charge $5.0000 $5.0000 All Consumption @ 4.2902 Per Mcf 4.0402 Per Mcf ® If the service period is less than 28 days, the customer charge is $.1786 times the number of days service. Commercial: Winter Summer Customer Charge $8.0000 $8.0000 All Consumption @ 4.2902 Per Mcf 4.0402 Per Mcf If the service period is less than 28 days, the customer charge is $.2857 times the number of days service. Bills are due and payable when rendered and must be paid within ten days from monthly billing date. Item B. Gas Cost Adjustment: Each monthly bill at the above rates 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 Mcf based upon: (a) A volume factor of 1.0526 determined in establishing the above rates for the distribution system as the ratio of adjusted purchased volumes divided by adjusted sales volumes. (b) 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") . (c) The base city gate rate of $3.1847 per Mcf. (2) Correction of the estimated adjustment determined by Item B (1) above • shall be included as part of the adjustment for the second following month. The correcting factor (shown below as "C") shall be expressed to the nearest $0.0001 per Mcf based upon: (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. (3) The adjustment determined by Item B (1) and Item B (2) above shall be . multiplied by a tax factor of 1.02016 to include street and alley rental and state occupation tax due to increasing Company revenues under this gas cost adjustment provision. In summary, the gas cost adjustment (GCA) shall be determined to the nearest 111 $0.0001 per Mcf by Item B (1) , Item B (2) and Item B (3) as follows: GCA = [Item 3B (1) + Item 3B (2)] X Item 3B (3) GCA = [(1.0526) (Re - $3.1847) + C] X 1.02016 Item C. Tax Adjustment: The tax adjustment shall be an amount equivalent to the proportionate part of any new tax, or increased tax, or 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 January 1, 1982, upon or allocable to the Company's distribution operations, by any new or amended law, ordinance or contract. tio Item D. Cost of Service Adjustment: • Each monthly bill for residential and commercial gas service shall be adjusted for changes in the cost of providing such service as follows: (1) Effective with bills rendered for the month of May, 1983 and annually effective each May thereafter, the residential and commercial monthly rate shall be adjusted for changes in the cost per customer of providing gas service (including depreciation but excluding cost of gas, gross receipt taxes, income taxes, and return) for the previous year ended December 31 above or below such cost incurred in the second prior calendar year. These annual adjustments shall be cumulative. The operating expenses used in calculating the adjustments shall be for the applicable distribution system as reported to the Railroad Commission of Texas in the annual report of Lone Star • Gas Company, a Division of ENSERCH Corporation. Should the percentage change in cost of service per customer of providing gas service exceed the rate of change in the Implicit Price Deflator of the Gross National Product over the same period of time, the adjustment will be limited to a maximum change computed by multiplying the cost of service per customer of providing gas service in the second prior calendar year ended December 31 by the rate of change in the Implicit Price Deflator of the Gross National Product. The adjustment per bill shall be rounded to the nearest whole cent. (2) The adjustment determined by (1) above shall be multiplied by the same tax factor used in calculating the gas cost adjustment con- tained herein to include street and alley rental and state occupa- tion tax due to increasing or decreasing Company revenues under this cost of service adjustment provision. IrcE. Schedule of Service Charges (1) Reconnect Charge In addition to the charges and rates set out above, the Company shall charge and collect the sum of; Schedule Charge 8 A.M. to 5 P.M. Monday through Friday $20.00 5 P.M. to 8 A.M. Monday through Friday 30.00 Saturdays, Sundays and Holidays 30.00 as a reconnect charge for each reconnection or reinauguration of gas service, where service has been discontinued at the same premises for any reason, with the following exceptions: (OW (a) For a builder who uses gas temporarily during construction or for display purposes. (b) For the first occupant of the premises. r (c) Whenever gas service has been temporarily interrupted because of system outage, service work or appliance installation done by Company; or (d) For any reason deemed necessary for Company operations. (2) Returned Check Charges A returned check handling charge of $5.00 is made for each check returned to the Company for reasons of non-sufficient funds, account closed, payment withheld, invalid signature, or improper preparation.