19-59 - OTOWN OF PROSPER, TEXAS
ORDINANCE NO. 19-59
AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF
PROSPER, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN
THE ATMOS CITIES STEERING COMMITTEE ("ACSC") AND ATMOS
ENERGY CORP., MID-TEX DIVISION ("ATMOS MID-TEX" OR "COMPANY")
REGARDING THE COMPANY'S 2019 RATE REVIEW MECHANISM FILING;
DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING
TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE
NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE
ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND
IN THE PUBLIC INTEREST; APPROVING AN ATTACHED EXHIBIT
ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL
BENEFITS; APPROVING AN ATTACHED EXHIBIT REGARDING
AMORTIZATION OF REGULATORY LIABILITY; REQUIRING THE COMPANY
TO REIMBURSE ACSC'S REASONABLE RATEMAKING EXPENSES;
ADOPTING A SAVINGS CLAUSE; DETERMINING THAT THIS ORDINANCE
WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS
OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN
EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO
THE COMPANY AND THE ACSC'S LEGAL COUNSEL.
WHEREAS, the Town of Prosper, Texas ("Town"), is a gas utility customer of Atmos
Energy Corp., Mid -Tex Division ("Atmos Mid -Tex" or "Company"), and a regulatory authority with
an interest in the rates and charges of Atmos Mid -Tex; and
WHEREAS, the Town is a member of the Atmos Cities Steering Committee ("ACSC"), a
coalition of similarly -situated cities served by Atmos Mid -Tex ("ASCS Cities") that have joined
together to facilitate the review of, and response to, natural gas issues affecting rates charged in
the Atmos Mid -Tex service area, and
WHEREAS, ACSC and the Company worked collaboratively to develop a new Rate
Review Mechanism ("RRM") tariff that allows for an expedited rate review process by ACSC Cities
as a substitute to the Gas Reliability Infrastructure Program ("GRIP") process instituted by the
Legislature, and that will establish rates for the ACSC Cities based on the system -wide cost of
serving the Atmos Mid -Tex Division, and
WHEREAS, the current RRM tariff was adopted by the City in a rate ordinance in
2018; and
WHEREAS, on about April 1, 2019, Atmos Mid -Tex filed its 2019 RRM rate request with
ACSC Cities based on a test year ending December 31, 2018; and
WHEREAS, ACSC coordinated its review of the Atmos Mid -Tex 2019 RRM filing through
its Executive Committee, assisted by ACSC's attorneys and consultants, to resolve issues
identified in the Company's RRM filing; and
WHEREAS, the Executive Committee, as well as ACSC's counsel and consultants,
recommend that ACSC Cities approve an increase in base rates for Atmos Mid -Tex of $35.4
million applicable to ACSC Cities; and
1
WHEREAS, the attached tariffs (Exhibit A) implementing new rates are consistent with the
recommendation of the ACSC Executive Committee, are agreed to by the Company, and are just,
reasonable, and in the public interest; and
WHEREAS, the settlement agreement sets a new benchmark for pensions and retiree
medical benefits (Exhibit B); and
WHEREAS, the settlement agreement establishes an amortization schedule for regulatory
liability (Exhibit C); and
WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's reasonable
expenses associated with RRM applications;
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF
PROSPER, TEXAS, THAT:
SECTION 1
All of the above premises are hereby found to be true and correct legislative and factual
findings of the Town of Prosper and they are hereby approved and incorporated into the body of
this Ordinance as if copied in their entirety.
SECTION 2
Without prejudice to future litigation of any issue identified by ACSC, the Town Council
finds that the settled amount of an increase in revenues of $35.4 million for ACSC Cities
represents a comprehensive settlement of gas utility rate issues affecting the rates, operations
and services offered by Atmos Mid -Tex within the municipal limits arising from Atmos Mid-Tex's
2019 RRM filing, is in the public interest, and is consistent with the Town's authority under Section
103.001 of the Texas Utilities Code.
SECTION 3
The existing rates for natural gas service provided by Atmos Mid -Tex are unreasonable.
The new tariffs, attached hereto and incorporated herein as Exhibit A, are just and reasonable,
and are designed to allow Atmos Mid -Tex to recover annually an additional $35.4 million from
customers in ACSC Cities, over the amount allowed under currently approved rates. Such tariffs
are hereby adopted.
SECTION 4
The ratemaking treatment for pensions and retiree medical benefits in Atmos Mid-Tex's
next RRM filing shall be as set forth on Exhibit B, attached hereto and incorporated herein.
SECTION 5
The amortization of regulatory liability shall be consistent with the schedule found in
Exhibit C, attached hereto and incorporated herein.
Ordinance No. 19-59, Page 2
SECTION 6
Atmos Mid -Tex shall reimburse the reasonable ratemaking expenses of the ACSC in
processing the Company's 2019 RRM filing.
SECTION 7
To the extent any resolution or ordinance previously adopted by the Town is inconsistent
with this Ordinance, it is hereby repealed.
SECTION 8
The meeting at which this Ordinance was approved was in all things conducted in strict
compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551.
SECTION 9
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 this Ordinance shall be interpreted as if the offending
section or clause never existed.
SECTION 10
Consistent with the Town ordinance that established the RRM process, this Ordinance
shall become effective from and after its passage with rates authorized by attached tariffs to be
effective for bills rendered on or after October 1, 2019.
SECTION 11
A copy of this Ordinance shall be sent to Atmos Mid -Tex, care of Chris Felan, Vice
President of Rates and Regulatory Affairs, Atmos Energy Corporation, Mid -Tex Division, 5420
LBJ Freeway, Suite 1862, Dallas, Texas 75240, and to Geoffrey Gay, General Counsel to Mid -
Tex Cities, at Lloyd Gosselink Rochelle & Townsend, P.C., 816 Congress Avenue, Suite 1900,
Austin, Texas 7870, r , 1 ► 1 1, 11
P,
PASSe�QQ APAW 6py the Town Council of the Town of Prosper, Texas, on this
the 10th da) o*eptem er, 2b1?,
!-+ • APPROVED:
' 191.
'•, E X �'� ��� Ray S ith, Mayor
ATTEST:
obyn B Ittle, Town Secret ry
Ordinance No. 19-59, Page 3
APPROVED AS TO FORM:
Terrence S. Welch, Town Attorney
1
I
Ordinance No. 19-59, Page 4
Exhibit A
Rate Tariffs Effective October 1, 2019
Ordinance No. 19-59, Page 5
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: R — RESIDENTIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2019 PAGE:
Application
Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured
through one meter.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge
Amount
Customer Charge per Bill
$ 19.55 per month
Rider CEE Surcharge
$ 0.05 per month'
Total Customer Charge
$ 19.60 per month
Commodity Charge — All Ccf
$0.17423 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
'Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170, Surcharge billing effective July 1, 2019.
Ordinance No. 19-59. Page 6
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RRC Tariff No:
RATE SCHEDULE:
C — COMMERCIAL SALES
APPLICABLE TO:
ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE:
Bills Rendered on or after 10/01/2019
PAGE:
Application
Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured
through one meter and to Industrial Customers with an average annual usage of less than 30,000 Ccf.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge
Amount
Customer Charge per Bill
$ 46.50 per month
Rider CEE Surcharge
$ 0.02 per month=
Total Customer Charge
$ 46.52 per month
Commodity Charge — All Ccf
$ 0.09924 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
' Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2019.
Ordinance No. 19-59. Page 7
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I — INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2019 PAGE:
Application
Applicable to Industrial Customers with a maximum daily usage (MDU) of less than 3,500 MMBtu per day
for all natural gas provided at one Point of Delivery and measured through one meter. Service for
Industrial Customers with an MDU equal to or greater than 3,500 MMBtu per day will be provided at
Company's sole option and will require special contract arrangements between Company and Customer.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the
amounts due under the riders listed below:
Charge
Amount
Customer Charge per Meter
$ 845.50 per month
First 0 MMBtu to 1,500 MMBtu
$ 0.3572 per MMBtu
Next 3,500 MMBtu
$ 0.2616 per MMBtu
All MMBtu over 5,000 MMBtu
$ 0.0561 per MMBtu
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer's deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled "Daily Price Survey."
Replacement Index
In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Ordinance No. 19-59. Page 8
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RRC Tariff No:
RATE SCHEDULE:
I — INDUSTRIAL SALES
APPLICABLE TO:
ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE:
Bills Rendered on or after 10/01/2019
PAGE:
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
Special Conditions
In order to receive service under Rate I, Customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Ordinance No. 19-59, Page 9
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T — TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2019 PAGE:
Application
Applicable, in the event that Company has entered into a Transportation Agreement, to a customer
directly connected to the Atmos Energy Corp., Mid -Tex Division Distribution System (Customer) for the
transportation of all natural gas supplied by Customer or Customer's agent at one Point of Delivery for
use in Customer's facility.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts
and quantities due under the riders listed below:
Charge
Amount
Customer Charge per Meter
$ 845.50 per month
First 0 MMBtu to 1,500 MMBtu
$ 0.3572 per MMBtu
Next 3,500 MMBtu
$ 0.2616 per MMBtu
All MMBtu over 5,000 MMBtu
$ 0.0561 per MMBtu
Upstream Transportation Cost Recovery: Plus an amount for upstream transportation costs in
accordance with Part (b) of Rider GCR.
Retention Adjustment: Plus a quantity of gas as calculated in accordance with Rider RA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Imbalance Fees
All fees charged to Customer under this Rate Schedule will be charged based on the quantities
determined under the applicable Transportation Agreement and quantities will not be aggregated for any
Customer with multiple Transportation Agreements for the purposes of such fees.
Monthly Imbalance Fees
Customer shall pay Company the greater of (i) $0.10 per MMBtu, or (ii) 150% of the difference per MMBtu
between the highest and lowest "midpoint" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" during such month, for the MMBtu of Customer's monthly Cumulative
Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds
10% of Customer's receipt quantities for the month.
Ordinance No. 19-59. Page 10
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T — TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2019 PAGE:
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer's deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled "Daily Price Survey."
Replacement Index
In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table
entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Agreement
A transportation agreement is required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company's Tariff for Gas Service.
Special Conditions
In order to receive service under Rate T, customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Ordinance No. 19-59, Page 11
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER:
WNA —WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO:
ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE:
Bills Rendered on or after 11/01/2019
PAGE:
Provisions for Adiustment
The Commodity Charge per Ccf (100 cubic feet) for gas service set forth in any Rate Schedules utilized
by the cities of the Mid -Tex Division service area for determining normalized winter period revenues shall
be adjusted by an amount hereinafter described, which amount is referred to as the "Weather
Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature
sensitive residential and commercial bills based on meters read during the revenue months of November
through April. The five regional weather stations are Abilene, Austin, Dallas, Waco, and Wichita Falls.
Computation of Weather Normalization Adjustment
The Weather Normalization Adjustment Factor shall be computed to the nearest one -hundredth cent
per Ccf by the following formula:
(HSFi x (NDD-ADD) )
WNAFi = Ri
(BLi + (HSFi x ADD) )
Where
i = any particular Rate Schedule or billing classification within any such
particular Rate Schedule that contains more than one billing classification
WNAFi = Weather Normalization Adjustment Factor for the ith rate schedule or
classification expressed in cents per Ccf
Ri = Commodity Charge rate of temperature sensitive sales for the ith schedule or
classification.
HSFi = heat sensitive factor for the ith schedule or classification divided by the
average bill count in that class
NDD = billing cycle normal heating degree days calculated as the simple ten-year
average of actual heating degree days.
ADD = billing cycle actual heating degree days.
Bli = base load sales for the ith schedule or classification divided by the average
bill count in that class
The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as:
WNA; = WNAR x q;;
Where qi; is the relevant sales quantity for the jth customer in ith rate schedule.
Ordinance No. 19-59, Page 12
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA — WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
FFECTIVE DATE: Bills Rendered on or after 11/01/2019 TPAGE:
Base Use/Heat Use Factors
Residential
Commercial
Base use
Heat use
Base use
Heat use
Weather Station
Ccf
Ccf/HDD
Ccf
Ccf/HDD
Abilene
9.77
0.1487
88.49
0,7036
Austin
9.04
0.1537
201.48
1.0000
Dallas
13.07
0.2202
184.64
1.1385
Waco
8.77
0.1470
135.70
0.7744
Wichita
11.40
0.1468
117.90
0,5943
Falls
Weather Normalization Adiustment (WNA) ReDOrt
On or before June 1 of each year, the company posts on its website at atmosenergy.com/mtx-wna, in
Excel format, a Weather Normalization Adjustment (WNA) Report to show how the company calculated
its WNAs factor during the preceding winter season. Additionally, on or before June 1 of each year, the
company files one hard copy and an Excel version of the WNA Report with the Railroad Commission of
Texas' Gas Services Division, addressed to the Director of thatDivision.
Ordinance No. 19-59 Page 13
Exhibit B
2019 Benchmark for Pensions and Retiree Medical Benefits
Ordinance No. 19-59, Page 14
ATMOS ENERGY CORP., MID-TEX DIVISION
PENSIONS AND RETIREE MEDICAL BENEFITS FOR CITIES APPROVAL
TEST YEAR ENDING DECEMBER 31, 2018
Line
No. Description
(a)
Proposed Benefits Benchmark - Fiscal Year 2019 Willis Towers
1 Watson Report as adjusted (1) (2) (3)
2 Allocation to Mid -Tex
Proposed Benefits Benchmark Costs Allocated to Mid -Tex (Ln 1 x Ln 2)
Shared Services
Mid -Tex Direct
Post-
Supplemental
Post -
Pension
Employment
Pension
Executive Benefit
Employment
Adjustment
Account Plan
Benefit Plan
Account Plan
Plan
Benefit Plan
Total
(b)
(c)
(d)
(e)
(f)
(g)
$ 2,744,088
$ 2,267.927
$ 4,724,119
$ 193,211
$ 2,621,842
43.48%
43.48%
73.88%
100.00%
73.88%
3 $ 1,193,029 $ 986,012 $ 3,490,241 $ 193.211 $ 1,937,051
4 C&M and Capital Allocation Factor 100.00% 100.00% 100.00% 100.00% 100.00%
5 Proposed Benefits Benchmark Costs to Approve (Ln 3 x Ln 4) (3) $ 1.193,029 $ 986,012 $ 3,490,241 $ 193,211 $ 1,937,051 $ 7,799,544
6
7
8 Summary of Costs to Approve (1):
9
10 O&M Expense Factor (WP_F-2.3, In 2) 81.35% 81.35% 38.28% 16.24% 38.28%
11
12
13 Total Pension Account Plan $ 970,514 $ 1,336,038 $ 2,306,553
14 Total Post -Employment Benefit Plan $ 802,108 $ 741,489 1,543,597
15 Total Supplemental Executive Benefit Plan $ 31,377 31,377
16 Total (Ln 13 + Ln 14 + Ln 15) $ 970,514 $ 802,108 $ 1,336,038 $ 31,377 $ 741,489 $ 3,881,527
17
18 Notes:
19 1. Studies not applicable to Mid -Tex or Shared Services are omitted.
20 2. The Company is requesting that the benchmark amount approved by the RRM Cities for future periods include only the expense amount.
21 The amount attributable to capital would continue to be recorded to utility plant through the overhead process as described in the CAM.
22 3. SSU amounts exclude cost centers which do not allocate to Mid -Tex for rate making purposes.
Ordinance No. 19-59, Page 15
Exhibit C
2019 Amortization Schedule for Regulatory Liability
Ordinance No. 19-59, Page 16
ATMOS ENERGY CORP., MID-TEX DIVISION
RATE BASE ADJUSTMENTS
TEST YEAR ENDING DECEMBER 31, 2018
AMORTIZATION OF REGULATORY LIABILITY
Line
No.
Year Ended
Dec. 31
Beginning of Year
Rate Base
Adjustment
Amount (1)
Annual
Amortization (2)
End of Year
Rate Base
Adjustment
Amount
(a)
(b)
(c)
(d)
1
2018
$ 290,043,948
$ -
290,043,948
2
2019
290,043,948
12,085,165
277,958,784
3
2020
277,958,784
12,085,165
265,873,619
4
2021
265,873,619
12,085,165
253,788,455
5
2022
253,788,455
12,085,165
241,703,290
6
2023
241,703,290
12,085,165
229,618.126
7
2024
229,618,126
12,085,165
217,532,961
8
2025
217,532,961
12,085,165
205,447,797
9
2026
205,447,797
12,085,165
193,362,632
10
2027
193,362,632
12,085,165
181,277.468
11
2028
181,277,468
12,085,165
169,192, 303
12
2029
169,192,303
12,085,165
157,107,139
13
2030
157,107,139
12,085,165
145,021,974
14
2031
145,021,974
12,085,165
132,936,810
15
2032
132,936,810
12,085,165
120,851,645
16
2033
120,851,645
12,085,165
108,766,481
17
2034
108,766,481
12,085,165
96,681,316
18
2035
96,681,316
12,085,165
84,596,152
19
2036
84,596,152
12,085,165
72,510,987
20
2037
72,510,987
12,085,165
60,425,823
21
2038
60,425,823
12,085,165
48,340,658
22
2039
48,340,658
12,085.165
36,255,494
23
2040
36,255,494
12,085,165
24,170,329
24
2041
24,170,329
12,085,165
12,085,165
Ordinance No. 19-59, Page 17
25
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
2042 12,085,165
Revenue Related Tax Factor
Revenue Related Taxes on Annual
Amortization (see WP_B-6.3)
Related Taxes (see WP_B-6.3)
12,085,165
6.71% See WP_F-5.1
Amortization ' Tax
$ 810,653 Factor
$ 12,905,421 Amortization + Taxes
Notes:
1. The beginning 2018 balance is the September, 2018 balance. The regulatory
liability for excess deferred taxes is an estimate. This estimate will be
finalized when the Company files its federal tax return in July, 2019. To the
extent that this estimate changes with the filing of the Company's tax return,
the Company will 'true -up' the amount in the 2020 RRM filing.
2. The annual amortization of a 24 year recovery period is based on the
Reverse South Georgia Method.
3. The Regulatory Liability is recorded to FERC Account 253, Sub Account 27909.
Ordinance No. 19-59, Page 18