2020-66 - RTOWN OF PROSPER, TEXAS
RESOLUTION NO. 2020-66
A RESOLUTION 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 REGARDING THE COMPANY'S 2020 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; DETERMINING THAT THIS RESOLUTION 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 RESOLUTION 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, charges, and services 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 ("ACSC 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 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 Town in a rate ordinance in
2018; and
WHEREAS, on or about March 31, 2020, Atmos Mid -Tex filed its 2020 RRM rate request
with ACSC Cities based on a test year ending December 31, 2019; and
WHEREAS, ACSC coordinated its review of the Atmos Mid -Tex 2020 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 $90 million
applicable to ACSC Cities with an Effective Date of December 1, 2020; and
WHEREAS, ACSC agrees that Atmos plant -in-service is reasonable; and
WHEREAS, with the exception of approved plant -in-service, ACSC is not foreclosed from
future reasonableness evaluation of costs associated with incidents related to gas leaks; and
WHEREAS, the two month delayed Effective Date from October 1 to December 1 will save
ACSC ratepayers approximately $9 million off new rates imposed by the attached tariffs (Exhibit
A), the impact on ratepayers should approximate the reasonable value of the rate filing found by
the ACSC Consultants' Report, which was $81 million; and
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 prepared by Atmos Mid -Tex (Exhibit C); and
WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's reasonable
expenses associated with RRM applications;
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
PROSPER, TEXAS:
SECTION 1
That the findings set forth in this Resolution are hereby in all things approved.
SECTION 2
That, 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 $90 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
2020 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
That despite finding Atmos Mid-Tex's plant -in-service to be reasonable, ACSC is not
foreclosed in future cases from evaluating the reasonableness of costs associated with incidents
involving leaks of natural gas.
SECTION 4
That 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 $90
Resolution No. 2020-66, Page 2
million from customers in ACSC Cities, over the amount allowed under currently approved rates.
Such tariffs are hereby adopted.
SECTION 5
That 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 6
That subject to any future settlement or decision regarding the balance of Excess Deferred
Income Tax to be refunded to ratepayers, the amortization of regulatory liability shall be consistent
with the schedule found in Exhibit C, attached hereto and incorporated herein.
SECTION 7
That Atmos Mid -Tex shall reimburse the reasonable ratemaking expenses of the ACSC in
processing the Company's 2020 RRM filing.
SECTION 8
That to the extent any resolution or ordinance previously adopted by the Council is
inconsistent with this Resolution, it is hereby repealed.
SECTION 9
That the meeting at which this Resolution was approved was in all things conducted in
strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551.
SECTION 10
That if any one or more sections or clauses of this Resolution is adjudged to be
unconstitutional or invalid, such judgment shall not affect, impair, or invalidate the remaining
provisions of this Resolution, and the remaining provisions of the Resolution shall be interpreted
as if the offending section or clause never existed.
SECTION 11
That consistent with the Town Ordinance that established the RRM process, this
Resolution shall become effective from and after its passage with rates authorized by attached
tariffs to be effective for bills rendered on or after December 1, 2020.
SECTION 12
That a copy of this Resolution shall be sent to Atmos Mid -Tex, care of Chris Felan, Vice
President of Rates and Regulatory Affairs Mid -Tex Division, Atmos Energy Corporation, 5420 LBJ
Freeway, Suite 1862, Dallas, Texas 75240, and to Geoffrey Gay, General Counsel to ACSC, at
Lloyd Gosselink Rochelle & Townsend, P.C., 816 Congress Avenue, Suite 1900, Austin, Texas
78701.
Resolution No. 2020-66, Page 3
DULY PASSED AND APPROVED BY THE TOWN COUNCIL OF THE TOWN OF
PROSPER, TEXAS, BY A VOTE OF = TO, ON THIS THE 8TH DAY OF SEPTEMBER,
2020.
Ray Smith, M yor
ATTEST:
Melissa Lee. Town ecretary
APPROVED AS TO FORM AND LEGALITY:
"--A-
J"JJAO
Terrence S. Welch, Town Attorney
Resolution No. 2020-66, Page 4
Exhibit A
to 2020 RRM Resolution or Ordinance
Mid -Tex Tariffs
Effective December 1, 2020
Resolution No. 2020-66, 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 12/01/2020
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
$ 20.25 per month
Rider CEE Surcharge
$ 0.05 per month'
Totals Customer Charge
$ 20.30 per month
Commodity Charge — All Ccf
$0.26651 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 riders}.
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, 2020.
Resolution No. 2020-66, Page 6
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE; 1 C —COMMERCIAL SALES
APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: I Bills Rendered on or after'1210112020 1 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
$ 54.50 per month
Rider CEE Surcharge
$ 0.02 per month'
Total Customer Charge
$ 54.52 per month
Commodity Charge — All Ccf
$ 0.11728 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).
Ag reement
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, 2020.
Resolution No. 2020-66, Page 7
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I I — INDUSTRIAL SALES
I APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF I
EFFECTIVE DATE: I Bills Rendered on or after 12101/2020 I 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 MMStu charges to the
amounts due under the riders listed beiow:
Charge
Amount
Customer Charge per Meter
$ 1,014.50 per month
First 0 MMBtu to 1,500 MMBtu
$ 0,4157 per MMBtu
Next 3,500 MMBtu
$ 0.3044 per MMBtu
All MMBtu over 5,000 MMBtu
$ 0.0653 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: Pius 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 Plaits 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 Plaits 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.
Resolution No. 2020-66, 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 1210112020 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 1, 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.
Resolution No. 2020-66, Page 9
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I T —TRANSPORTATION
RRC Tariff No:
APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: I Bills Rendered on or after 1210112020 f 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
$ 1,014.50 per month
First 0 MMBtu to 1,500 MMBtu
$ 0.4157 per MMBtu
Next 3,500 MMBtu
$ 0.3044 per MMBtu
All MMBtu over 5,000 MMBtu
$ o.oe53 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.
Resolution No. 2020-66, Page 10
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RRC Tariff No:
RATE SCHEDULE: I T —TRANSPORTATION
APPLICABLE TO: I ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: I Bills Rendered on or after 12/01/2020 1 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.
Resolution No. 2020-66, 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 12/01/2020
PAGE:
Provisions for Adjustment
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:
(HSF1 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 ith customer in ith rate schedule is computed as:
WNA; = WNAFi x q;j
Where q,; is the relevant sales quantity for the jth customer in ith rate schedule.
Resolution No. 2020-66, 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
EFFECTIVE DATE:
Bills Rendered on or after 12/01/2020 PAGE:
Base Use/Heat Use Factors
Residential
Commercial
Base use
Heat use
Base use
Heat use
Weather Station
Ccf
Ccf/HDD
Ccf
Ccf/HDD
Abilene
10.73
0.1545
94.79
0,7284
Austin
9.53
0.1469
211.76
0.9405
Dallas
15.77
0A792
199.74
0.9385
Waco
9.99
0.1341
145.27
0.7110
Wichita
11.61
0.1402
120.34
0.5747
Falls
Weather Normalization Adiustment (WNA) Report
On or before June 1 of each year, the company posts on its website at atmosenergy.comlmtx-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 that Division,
Resolution No. 2020-66, Page 13
Exhibit B
to 2020 RRM Resolution or Ordinance
Mid -Tex
2020 Benchmark for Pensions
and Retiree Benefits
Resolution No. 2020-66, Page 14
Line
No,
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
ATMOS ENERGY CORP., MID-TEX DIVISION
PENSIONS AND RETIREE MEDICAL BENEFITS FOR CITIES APPROVAL
TEST YEAR ENDING DECEMBER 31, 2019
Proposed Benefits Benchmark - Fiscal Year 2020 Willis Towers
Watson Report as adjusted (1) (2) (3)
Allocation to Mid -Tex
Proposed Benefits Benchmark Costs Allocated to Mid -Tex (Ln 1 x Ln
2)
O&M and Capital Allocation Factor
Proposed Benefits Benchmark Costs to Approve (Ln 3 x Ln 4) (3)
Summary of Costs to Approve (1):
O&M Expense Factor (VIlP_F-2.3, Ln 2)
Total Pension Account Plan
Total Post -Employment Benefit Plan
Total Supplemental Executive Benefit Plan
Total [Ln 13 + Ln 14 + Ln 15)
Mid -Tex Direct
Pension Employment I Pension Executive Benefit Employment Adjustment
count Plan Benefit Plan J Account Plan Plan Benefit Plan Total
(b) (c) (d) (e) (f) (g)
$ 3,460,135 $ 3,695,384 $ 6,132,704 $ 280,578 $ 4,992,449
43.29% 43.29% 76.59%0 100.00%a 76.59%
$ 1,497,774 $ 1,599,605 $ 4,697,072 $ 280,578 $ 3,823,744
100.00%9 100 00% 100.00% 100.00% 100.00%a
$ 1,497,774 $ 1,599,605 $ 4,697,072 $ 280,578 $ 3,823,744 $ 11,898.774
79.55%0 79.55% 37.83% 11.67% 37.83%a
$ 1,191,410 $ 1,777,056 $ 2,968,466
$ 1,272,412 $ 1,446.647 2,719,060
$ 32,754 32,754
$ 1,191,410 $ 1,272,412 $ 1,777.056 $ 32,754 $ 1,446,647 $ 5,720,280
Notes:
1. Studies not applicable to Mid -Tex or Shared Services are omitted.
2. Mid -Tex is proposing that the Fiscal Year 2020 Willis Towers Watson actuarial amounts shown on WP F-2.3 and WP F-2.3.1, be approved by the RRM Cities as the
benchmark amounts to be used to calculate the regulatory asset or liability for future periods. The benchmark amount approved by the RRM Cities for future periods
includes only the expense amount. The amount attributable to capital is recorded to utility plant through the overhead process as described in the CAM.
3. SSU amounts exclude cost centers which do not allocate to Mid -Tex for rate making purposes.
Resolution No. 2020-66, Page 15
Exhibit C
to 2020 RRM Resolution or Ordinance
Mid -Tex 2020 Schedule for
Amortization for Regulatory Liability
Resolution No. 2020-66, Page 16
ATMOS ENERGY CORP., MID-TEX DIVISION
RATE BASE ADJUSTMENTS
TEST YEAR ENDING DECEMBER 31, 20119
AMORTIZATION OF REGULATORY LIABILITY
Beginning of Year End of Year
Rate Base Rate Base Corrected Balance
Line Year Ended Adjustment Annual Adjustment for December 31,
No. Dec. 31 Amount Amortization (1) Amount (2) 2017 (3)
(a) (b) (c) (d) (e)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29 Revenue Related Tax Factor
Revenue Related Taxes on Annual
30 Amortization
31 Amortization Including Revenue
2017
$
- $
2018
292,268,881
12,075,562
2019
280,193,319
12,085,165
2020
268,108,155
11,171,173
2021
256,936,982
11,171,173
2022
245,765, 809
11,171,173
2023
234, 594,635
11,171,173
2024
223, 423,462
11,171,173
2025
212,252, 289
11,171,173
2026
201,081,116
11,171,173
2027
189,909, 943
11,171,173
2028
178,738, 770
11,171,173
2029
167,567,597
11,171,173
2030
156, 396,424
11,171,173
2031
145,225, 251
11,171,173
2032
134, 054,077
11,171,173
2033
122,882,904
11,171,173
2034
111,711,731
11,171,173
2035
100, 540, 558
11,171,173
2036
89, 369, 385
11,171,173
2037
78,198, 212
11,171,173
2038
67,027,039
11,171,173
2039
55,855,866
11,171,173
2040
44, 684,692
11,171,173
2041
33,513,519
11,171,173
2042
22, 342, 346
11,171,173
2043
11,171,173
11,171,173
292,268,881 $ 292,268,881
280,193,319
268,108,155
256,936,982
245, 765, 809
234, 594,635
223,423,462
212, 252, 289
201,081,116
189,909,943
178,738,770
167, 567.597
156,396,424
145,225,251
134,054,077
122,882,904
111,711,731
100,540,558
89,369,385
78,198,212
67,027,039
55, 855, 866
44,684,692
33,513,519
22, 342, 346
11,171,173
{0)
7,16% See WP_F-5.1
Amortization * Tax
$ 799,924 Factor
$ 11,971,097 Amortization + Taxes
32
33 Notes:
34 1. The annual amortization of a 26 year recovery period is based on the
35 Reverse South Georgia Method.
36 2. The Regulatory Liability is recorded to FERC Account 253, Sub Account 27909.
37 3. This is the final Mid -Tex liability balance filing the Fiscal Year 2018 tax return.
Resolution No. 2020-66, Page 17