HomeMy WebLinkAboutPO 7237: SUSPENDING THE RATES PROPOSED BY TEXAS GAS SERVICE COMPANY'S P.O. No. 7237
03/11/24 gt
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF PORT ARTHUR, TEXAS,
SUSPENDING THE RATES PROPOSED BY TEXAS GAS
SERVICE COMPANY'S ("TGS" OR "COMPANY") GAS
RELIABILITY INFRASTRUCTURE PROGRAM ("GRIP")
FILING MADE WITH THE CITY ON OR ABOUT FEBRUARY 9,
2024; FINDING THAT THE MEETING COMPLIES WITH THE
OPEN MEETINGS ACT; MAKING OTHER FINDINGS AND
PROVISIONS RELATED TO THE SUBJECT, AND DECLARING
AN EFFECTIVE DATE
WHEREAS, on or about February 9, 2024, Texas Gas Service Company
("TGS"or"Company") filed an Annual GRIP adjustment with the City of Port Arthur
("City") to increase gas rates in the Central/Gulf Service Area pursuant to Gas
Utility Regulatory Act, TEX. UTIL. CODE ("Gas Utility Regulatory Act") § 104.301;
and
WHEREAS, the Company proposed an effective date for the proposed
increase of April 9, 2024, unless the City suspends the date for a period no longer
than forty-five (45) days; and
WHEREAS, City has exclusive original jurisdiction over the rates,
operations and services of a gas utility in areas in the municipality pursuant to Gas
Utility Regulatory Act § 103.001; and
WHEREAS, Gas Utility Regulatory Act § 104.301 requires a streamlined
process for the recovery of the costs of incremental investment by a gas utility;
and
WHEREAS, the City's review of TGS's GRIP filing is limited to a ministerial
review of the filing for compliance with the statute; and
WHEREAS, the City finds the need to suspend the effective date of the
Company's proposed rate increase for 45 days beyond the Company's proposed
effective date until May 24, 2024 in order to review the Company's filing for
compliance with Gas Utility Regulatory Act § 104.301; and
WHEREAS, the reasonableness of the Company's investment will be
reviewed in a future base rate case where all costs included in the Company's GRIP
filing will be subject to refund.
s.po7237_2024 TGS GRIP Susp ORD
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR, TEXAS:
Section 1. That the statement and findings set out in the preamble to
this ordinance are hereby in all things approved and adopted.
Section 2. That the effective date of the Company's proposed GRIP rate
increase, and the proposed tariffs related thereto, is hereby suspended until May
24, 2024.
Section 3. That to the extent the City finds that the rates proposed by
the Company's filing comply with Gas Utility Regulatory Act § 104.301, then the
rates will become effective by operation of law on May 24, 2024.
Section 4. That the meeting at which the ordinance was approved was
in all things conducted in strict compliance with the Texas Open Meetings Act,
Texas Government Code, Chapter 551.
Section 5. That this Ordinance shall become effective from and after its
passage.
READ, ADOPTED AND APPROVED on this day of March, A.D., 2024, at a
Meeting of the City Council of the City of Port Arthur, Texas, by the following vote:
AYES: Mayor: ,
Councilmembers: ,
NOES: .
Thurman Bill Bartie, Mayor
ATTEST:
Sherri Bellard, City Secretary
s.po7237_2024 TGS GRIP Susp ORD
APPROVED AS TO FORM:
AY1-44-1 .6 /
/ James M. B 7ck, Interim City Attorney
APPROVED FOR ADMINISTRATION:
Ronald Burton, CPM, City Manager
s.po7237_2024 TGS GRIP Susp ORD