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2022-058 - Approving a Negotiated Settlement Between The Atmos Cities Steering Committee (“ACSC”) & Atmos Energy Corp. Regarding 2022 Rate Review Mechanism Filing; and Adopting Tariffs that Reflect Rate Adjustments
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2022-058 - Approving a Negotiated Settlement Between The Atmos Cities Steering Committee (“ACSC”) & Atmos Energy Corp. Regarding 2022 Rate Review Mechanism Filing; and Adopting Tariffs that Reflect Rate Adjustments
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8. This section finds that the meeting was conducted in compliance with the Texas Open <br /> Meetings Act, Texas Government Code, Chapter 551. <br /> 9. This section is a savings clause, which provides that if any section is later found to be <br /> unconstitutional or invalid, that finding shall not affect, impair, or invalidate the remaining <br /> provisions of this Resolution/Ordinance. This section further directs that the remaining <br /> provisions of the Resolution/Ordinance are to be interpreted as if the offending section or <br /> clause never existed. <br /> 10. This section provides for an effective date upon passage. <br /> 11. This section directs that a copy of the signed Resolution/Ordinance be sent to a representative <br /> of the Company and legal counsel for ACSC. <br /> CONCLUSION <br /> The Legislature's GRIP process allowed gas utilities to receive annual rate increases <br /> associated with capital investments. The RRM process has proven to result in a mare efficient and <br /> less costly (both from a consumer rate impact perspective and from a ratemaking perspective) than <br /> the GRIP process. Given Atmos Mid-Tex's claim that its historic cost of service should entitle it to <br /> recover $141.3 million in additional system-wide revenues, the RRM settlement at $115 million for <br /> ACSC Cities reflects substantial savings to ACSC Cities. Settlement at $115 million is fair and <br /> reasonable. The ACSC Executive Committee consisting of city employees of 18 ACSC members <br /> urges all ACSC members to pass the Resolution/Ordinance before September 30, 2022. New rates <br /> become effective October 1, 2022. <br /> 2557/35/8444378 4 <br />
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