2001-047-ORD AFTER REASONABLE NOTICE AND HEARING, TXU GAS DISTRIBUTION'S RATES AND CHARGES WITH COP SHOULD BE CHANGED

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Section 3. That the existing rates and charges of TXU Gas Distribution are hereby found, after reasonable notice and hearing, to be unreasonable and shall be changed as hereinafter ordered. The changed rates resulting from this Ordinance are hereby determined to be just and reasonable rates to be observed and in force within the City. Section 4. That the Company has agreed to modify the rates proposed in its Statement of Intent and the modified rates are reflected in the revised Tariff for Gas Service attached hereto as Exhibit A. Section 5. That the maximum general service rates for sales and transportation of natural gas rendered to residential, commercial and industrial consumers within the city limits ofthe City of Paris, Texas by TXU Gas Distribution, a division ofTXU Gas Company, a Texas corporation, its successors and assigns, are hereby fixed and approved as set forth in the revised Tariff for Gas Service attached hereto as Exhibit A. The rates reflected in the attached Rate Schedules entitled Residential Service, Commercial Service, Industrial Sales, Industrial Transportation and Industrial Sales & Transportation are found to be reasonable. Section 6. That the Rate Adjustment Provisions set forth in the revised Tariff for Gas Service attached hereto as Exhibit A and entitled Gas Cost Adjustment, Tax & Franchise Fee Adjustment, and Weather Normalization Adjustment are approved. Section 7. That the Company shall have the right to collect such reasonable charges as are necessary to conduct its business and to carry out its reasonable rules and regulations. Such miscellaneous service charges are identified in Rate Schedules 900 1 through 9007 of the attached revised Tariff for Gas Service. Section 8. That the Cities' rate case expenses are found to be reasonable and shall be reimbursed by the Company. The Company is authorized to recover the rate case expenses reimbursed to Cities and the Company's rate case expenses (at an amount not to exceed $85,000) through a per Mcf surcharge based upon total system sales as set forth in the Rider entitled Surcharges in the attached revised Tariff for Gas Service. Section 9. That the aforesaid rate schedules and riders herein approved shall be effective for bills rendered on or after approval of this Ordinance. Section 10. That the rates set forth in this Ordinance may be changed and amended by either the City or Company in any other manner provided by law. Service hereunder is subject to the orders of regulatory bodies having jurisdiction, and to the Company's Rules and Regulations currently on file with the City. Section 11. That unless otherwise noted herein, other than TXU Gas Distribution (a named party), no person or entity has been admitted as a party to this rate proceeding. -2-