2005-005-RES GAS COST PRUDENCE REVIEW FILING SEPTEMBER 2004 GUD NO. 9530, GUD NO. 8664

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RESOLUTION NO. 2005-005 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, AUTHORIZING INTERVENTION BEFORE THE RAILROAD COMMISSION OF TEXAS IN GAS UTILITIES DOCKET (GUD)NO. 9530; AUTHORIZING P ARTICIP ATIONWITH OTHER CITIES SERVED BY ATMOS ENERGY CORPORATION, FORMERLY KNOWN AS TXU GAS COMPANY, IN ADMINISTRATIVE AND COURT PROCEEDINGS INVOLVING A GAS COST PRUDENCE REVIEW RELATED TO A FILING MADE IN SEPTEMBER OF 2004 AS REQUIRED BY THE FINAL ORDER IN GUD NO. 8664; DESIGNATING A REPRESENTATIVE OF THE CITY TO SERVE ON A STEERING COMMITTEE; REQUIRING REIMBURSEMENT OF REASONABLE LEGAL AND CONSULTANT EXPENSES; MAKING OTHER FINDINGS RELATED TO THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council and/or residents of the City of Paris, Texas are customers of Atmos Energy Corporation, formerly known as TXU Gas Company, (Atmos/TXU Gas) and the City is a regulatory authority with an interest in the rates and charges of Atmos/TXU Gas; and, WHEREAS, Atmos/TXU Gas made a filing at the Railroad Commission of Texas on or about September 24,2004, now docketed as GUD No. 9530, for a gas cost prudence review of$2.2 billion in previously incurred and billed gas costs; and, WHEREAS, the filing made by Atmos/TXU Gas was required by the terms of the Final Order of the Railroad Commission in GUD No. 8664; and, WHEREAS, ratepayers of Atmos/TXU Gas, including the City of Paris and its residents would be entitled to a pro rata portion of a refund associated with any costs found to have been unreasonable; and, WHEREAS, the City of Paris and its residents could benefit from coordination with other Cities in a review of the reasonableness of the gas costs of Atmos/TXU Gas and the joint participation in the Railroad Commission proceedings and any subsequent litigation or appeal related to those gas costs; and, WHEREAS, the reasonable costs associated with the participation of Cities in this rate- making proceeding are reimbursable from the Company; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS: Section 1. That the fmdings set out in the preamble to this resolution are hereby in all things approved.