17-39 O - Approving negotiated settlement between Atmos Cities Steering Committee and Atmos Energy CorporationTOWN OF PROSPER, TEXAS
ORDINANCE NO. 17-39
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
REGARDING THE COMPANY'S 2017 RATE REVIEW MECHANISM FILINGS;
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 SETTLEMENT TARIFFS TO
BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; REQUIRING
RECONCILIATION AND RATE ADJUSTMENTS IF FEDERAL INCOME TAX RATES
CHANGE; TERMINATING THE RRM PROCESS FOR 2018 PENDING RENEGOTIATION
OF RRM TERMS AND CONDITIONS; REQUIRING THE COMPANY TO REIMBURSE
ACSC'S REASONABLE RATEMAKING EXPENSES; 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 ("ACSC Cities") that have joined
together to facilitate the review of, and response to, natural gas is sues 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, on March 1, 2017, Atmos Mid -Tex filed its 2017 RRM rate request with ACSC
Cities; and
WHEREAS, ACSC coordinated its review of the Atmos Mid -Tex 2017 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 $48 million
on a system -wide basis; and
WHEREAS, the attached tariffs 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;
WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's reasonable
expenses associated with RRM applications;
WHEREAS, the Company and ACSC have agreed that rates should be adjusted if any
change in federal income tax rates is implemented during the period that rates approved herein
remain in place; and
WHEREAS, because ACSC believes that certain provisions of the current terms and
conditions of the RRM tariff are inconsistent with market conditions, the Town expects
renegotiation of the current RRM tariff in the Summer of 2017.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE TOWN OF
PROSPER, TEXAS, THAT:
SECTION 1
The findings set forth in this Ordinance are hereby in all things approved.
SECTION 2
The Town Council finds that the settled amount of an increase in revenues of $48 million
on a system -wide basis 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 2017 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 Attachment A, are just and
reasonable, and are designed to allow Atmos Mid -Tex to recover annually an additional $48
million in revenue over the amount allowed under currently approved rates, as shown in the Proof
of Revenues attached hereto and incorporated herein as Attachment B; such tariffs are hereby
adopted.
SECTION 4
The ratemaking treatment for pensions and other post -employment benefits in Atmos Mid-
Tex's next RRM filing shall be as set forth in Attachment C, attached hereto and incorporated
herein.
SECTION 5
Consistent with Texas Utilities Code Section 104.055(c), Atmos Energy's recovery of
federal income tax expense through the Rider RRM has been computed using the statutory
income tax rate. In the event that a change in the statutory income tax rate is implemented during
the Rider RRM Rate Effective Date, Atmos Energy shall reconcile the difference between the
amount of federal income tax expense included in the Rider RRM calculation for the Rate Effective
Date with the amount of federal income tax expense authorized under the new statutory income
tax rate. The reconciliation period shall be from the date on which any new statutory income tax
rate is implemented through the Rate Effective Date. An interest component calculated at the
Ordinance No. 17-39, Page 2
customer deposit interest rate then in effect as approved by the Railroad Commission of Texas
shall be applied to the federal income tax expense reconciliation. Further, any required
reconciliation of federal income tax expense shall be included as part of Atmos Mid-Tex's next
annual RRM filing and shall be returned to or recovered from customers as a one-time credit or
surcharge to the customer's bill.
SECTION 6
The Town requires renegotiation of RRM tariff terms and conditions during the Summer
of 2017. If an agreed renegotiated RRM tariff cannot be achieved, the Town will terminate the
RRM process and consider initiation of a traditional rate case to reduce the Company's authorized
return on equity.
SECTION 7
Atmos Mid -Tex shall reimburse the reasonable ratemaking expenses of the ACSC in
processing the Company's 2017 RRM filing.
SECTION 8
To the extent any resolution or ordinance previously adopted by the Council is inconsistent
with this Ordinance, it is hereby repealed.
SECTION 9
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 10
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 11
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 June 1, 2017.
SECTION 12
A copy of this Ordinance 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 LJB
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.
Ordinance No. 17-39, Page 3
DULY PA IIARPR,OVED AND ADOPTED BY THE TOWN COUNCIL OF THE
TOWN OF PR FT",(r�" THIS THE 23rd
DAY OF MAY, 2017.
ti"�`.•' tfi �• APPROVED:
w �! a •a .M
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a Ray Smith, May r
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7f 11 wr*/G1 atl�o'''iwaE�.• rlti►���
R
APPROVED AS TO FORM:
Terrence S. Welch, Town Attorney
Ordinance No. 17-39, Page 4
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: C — COMMERCIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 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 $ 44.70 per month
Rider CEE Surcharge $ 0.08 per month'
Total Customer Charge $ 44.78 per month
Commodity Charge — All Ccf $ 0.09279 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.
1 Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2016.
Ordinance No. 17-39, Page 5
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I — INDUSTRIAL SALES
Attachment A
RRC Tariff No:
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 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 MMBtu charges to the
amounts due under the riders listed below:
Charge
Customer Charge per Meter
First 0 MMBtu to 1,500 MMBtu
Next 3,500 MMBtu
All MMBtu over 5,000 MMBtu
Amount
$ 799.75 per month
$ 0.3374 per MMBtu
$ 0.2470 per MMBtu
$ 0.0530 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. 17-39, Page 6
Attachment A
MID-TEX DIVISION RRC Tariff No:
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I — INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 1 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. 17-39, Page 7
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
Attachment A
RRC Tariff No:
RATE SCHEDULE: T — TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 ( 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
Customer Charge per Meter
First 0 MMBtu to 1,500 MMBtu
Next 3,500 MMBtu
All MMBtu over 5,000 MMBtu
Amount
$ 799.75 per month
$ 0.3374 per MMBtu
$ 0.2470 per MMBtu
$ 0.0530 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. 17-39, Page 8
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T — TRANSPORTATION
Attachment A
RRC Tariff No:
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 06/01/2017 I 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. 17-39, Page 9
Attachment A
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
: : ► ► e1sTi�I _iton (4IZ130:Tkyi/el4yflyf001!F_19319LI.ChPaZk1
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 11/01/2017 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 Adiustment
The Weather Normalization Adjustment Factor shall be computed to the nearest one-hundredth cent
per Ccf by the following formula:
(HSFi x (NDD-ADD) )
W NAFi = 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:
T, kN rr � �
Where q;i is the relevant sales quantity for the jth customer in ith rate schedule.
Ordinance No. 17-39, Page 10
Attachment A
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA — WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION EXCEPT THE CITY OF
DALLAS AND UNINCORPORATED AREAS
EFFECTIVE DATE: Bills Rendered on or after 11/01/2017 PAGE:
Base Use/Heat Use Factors
Wichita 11.20 0.1412 107.96 0.5571
Falls
Weather Normalization Adiustment (WNA) Report
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 that Division.
Ordinance No. 17-39, Page 11
Residential
Commercial
Base use
Heat use
Base use
Heat use
Weather Station
Ccf
Ccf1HDD
Ccf
Ccf/HDD
Abilene
9.79
0.1347
93.16
0.6060
Austin
10.37
0.1483
190.68
0.9069
Dallas
13.36
0.2089
180.35
1.0191
Waco
9.64
0.1348
124.37
0.5791
Wichita 11.20 0.1412 107.96 0.5571
Falls
Weather Normalization Adiustment (WNA) Report
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 that Division.
Ordinance No. 17-39, Page 11
File Date: March 1, 2017
ATMOS ENERGY CORP., MID-TEX DIVISION
PROPOSED TARIFF STRUCTURE (BEFORE RATE CASE EXPENSE RECOVERY)
Prospective
TEST YEAR ENDING DECEMBER 31, 2016
19
(a) (b)
(c) (d)
1 Proposed Change In Rates: $
48,000,000
2 Proposed Change In Rates without Revenue Related Taxes: $
44,800,457
3
$ 0.77
4
21 Residential Consumption Charge
5
0.11378
6 Revenue Requirements
Allocations
7 Residential $ 338,431,486
77.95%
8 Commercial 84,223,622
19.40%
9 Industrial and Transportation 11,490,316
2.65%
10 Net Revenue Requirements GUD No. 10170 $ 434,145,424
0.08494
11
4,345,614
12
$
13
$ 62.70
14
25 I&T Consumption Charge Tier 1 MMBTU
15
0.3096
16 With Proportional Increase all classes but Residential and a 40% residential base
charge increase
17
$
Attachment B
(e) (f) (g)
Schedule A
Ln 1 divided by factor on WP F-5.1
Per GUD 10170 Final Order
Per GUD 10170 Final Order
Per GUD 10170 Final Order
18
Current
Prospective
Revenues
19
Changeln
20 Residential Base Charge
$
19.08
$ 0.77
$ 13,969,407
21 Residential Consumption Charge
$
0.11378
$ 0.02502
20,954,111
22 Commercial Base Charge
$
41.70
$ 2.96
4,345,614
23 Commercial Consumption Charge
$
0.08494
$ 0.00797
4,345,614
24 I&T Base Charge
$
737.00
$ 62.70
592,856
25 I&T Consumption Charge Tier 1 MMBTU
$
0.3096
$ 0.0278
279,522
26 I&T Consumption Charge Tier 2 MMBTU
$
0.2267
$ 0.0203
225,635
27 I&T Consumption Charge Tier 3 MMBTU
$
0.0486
$ 0.0044
87,699
28
$ 0.3374
3,394,949
I&T Consumption Charge Tier 2 MMBTU
$ 44,800,457
29
225,178
$ 0.2470
2,739,848
I&T Consumption Charge Tier 3 MMBTU
In accordance with RRM tariff:
WP J-5
Page 1 of 1
Ordinance No. 17-39, Page 12
Proposed
Changeln
Proposed
Proposed Change
Revenues
Rates
Proposed Revenues
Residential Base Charge
$
0.52 $
9,385,859
$ 19.60
$ 353,851,897
Residential Consumption Charge
$
0.03049
25,534,444
$ 0.14427
120,821,718
Commercial Base Charge
$
3.00
4,409,676
$ 44.70
65,707,365
Commercial Consumption Charge
$
0.00785
4,280,326
$ 0.09279
50,595,093
I&T Base Charge
$
62.75
593,364
$ 799.75
7,562,427
I&T Consumption Charge Tier 1 MMBTU
$
0.0278
279,726
$ 0.3374
3,394,949
I&T Consumption Charge Tier 2 MMBTU
$
0.0203
225,178
$ 0.2470
2,739,848
I&T Consumption Charge Tier 3 MMBTU
$
0.0044
88,488
$ 0.0530
1,065,879
$
44,797,060
$ 605,739,177
WP J-5
Page 1 of 1
Ordinance No. 17-39, Page 12
ATMOS ENERGY CORP., MID-TEX DIVISION
PENSIONS AND RETIREE MEDICAL BENEFITS FOR CITIES APPROVAL
TEST YEAR ENDING DECEMBER 31, 2016
Line
No. Description
(a)
1 Fiscal Year 2017 Willis Towers Watson Report as adjusted (1), (3)
2 Allocation to Mid -Tex
Fiscal Year 2017 Actuarially Determined O&M Benefits (Ln 1 x Ln 2)
3
4 O&M and Capital Allocation Factor
Fiscal Year 17 Willis Towers Watson Benefit Costs To Approve
5 (excluding Removed Cost Centers) (Ln 3 x Ln 4)
6
7
8 Summary of Costs to Approve:
9
10 Total Pension Account Plan ("PAP")
11 Total Post -Retirement Medical Plan ("FAS 106")
12 Total Supplemental Executive Retirement Plan ("SERP")
13 Total (Ln 10 + Ln 11 + Ln 12)
14
15
16 O&M Expense Factor
17
18 Expense Portion (Ln 13 x Ln 16)
19
20 Capital Factor
21
22 Capital Portion (Ln 13 x Ln 20)
23
24 Total (Ln 18 + Ln 22)
Attachment C
Shared Services
Mid -Tex Direct
Pension
Post -Retirement
Pension
Supplemental
Post -Retirement
$ 3,116,420
Account Plan
Medical Plan
Account Plan
Executive Benefit
Medical Plan
Adjustment
("PAP")
("FAS 106")
("PAP")
Plan ("SERP")
("FAS 106")
Total
(b)
(c)
(d)
(e)
(f)
(g)
$ 5,004,862
$ 2,864,121
$ 8,234,627
$ 194,941
$ 4,375,142
$ 1,176,551
45.03%
45.03%
71.23%
100.00%
71.23%
62.25%
$ 2,253,477
$ 1,289,592
$ 5,865,537
$ 194,941
$ 3,116,420
$ 1,939,870
100.00%
100.00%
100.00%
100.00%
100.00%
$ 3,116,420
$ 2,253,477
$ 1,289,592
$ 5,865,537
$ 194,941
$ 3,116,420
$ 12,719,968
$ 2,253,477
$ 5,865,537
$ 8,119,015
$ 1,289,592
$ 3,116,420
4,406,012
$ 194,941
194,941
$ 2,253,477
$ 1,289,592
$ 5,865,537
$ 194,941
$ 3,116,420
$ 12,719,968
74.05%
74.05%
37.75%
20.00%
37.75%
$ 1,668,700
$ 954,943
$ 2,214,432
$ 38,988
$ 1,176,551
$ 6,053,614
25.95%
25.95%
62.25%
80.00%
62.25%
$ 584,777
$ 334,649
$ 3,651,105
$ 155,953
$ 1,939,870
$ 6,666,354
$ 2,253,477
$ 1,289,592
$ 5,865,537
$ 194,941
$ 3,116,420
$ 12,719,968
Ordinance No. 17-39, Page 13