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DRAFT <br />attorney/ordwork/current/ATMOS RRM Ordinance 2010 <br />ORDINANCE N0. <br />AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, <br />("CITY") APPROVING A NEGOTIATED RESOLUTION BETWEEN THE <br />ATMOS CITIES STEERING COMMITTEE ("ACSC" OR "STEERING <br />COMMITTEE") AND ATMOS ENERGY CORP., MID-TEX DIVISION ("ATMOS <br />MID-TEX" OR "COMPANY") REGARDWG THE COMPANY'S RATE REVIEW <br />MECHANISM ("RRM") FILING IN ALL CITIES EXERCISING ORIGINAL <br />JURISDICTION; DECLARING EXISTING RATES TO BE UNREASONABLE; <br />REQUIRING THE COMPANY TO REIMBURSE CITIES' REASONABLE <br />RATEMAKING EXPENSES; ADOPTING TARIFFS THAT REFLECT RATE <br />ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT <br />AND FINDING THE RATES TO BE SET BY THE ATTACHED TARIFFS TO BE <br />JUST AND REASONABLE; APPROVING ATMOS' PROOF OF REVENUES; <br />EXTENDING THE RRM PROCESS FOR TWO CYCLES AND ADOPTING A <br />NEW RRM TARIFF; RATIFYING THE SETTLEMENT AGREEMENT, <br />WCLUDING COST RECOVERY FOR A STEEL SERVICE LINE REPLACEMENT <br />PROGRAM; DETERMINING THAT THIS ORDINANCE WAS PASSED IN <br />ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN <br />MEETINGS ACT; MAKING OTHER FINDINGS AND PROVISIONS RELATED <br />TO THE SUBJECT; PROVIDING A REPEALER CLAUSE, A SEVERABILITY <br />CLAUSE, A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND <br />REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND THE <br />STEERING COMMITTEE'S LEGAL COUNSEL. <br />WHEREAS, the City of Paris, Texas ("City") is a gas utility customer of Atmos Energy <br />Corp., Mid-Tex Division ("Atmos Mid-Tex" or " Company"), and a regulatory authority with <br />an interest in the rates and charges of Atmos Mid-Tex; and <br />WHEREAS, the City is a member of the Atmos Cities Steering Committee ("ACSC" or <br />"Steering Committee"), a coalition of approximately 148 similarly situated cities served by <br />Atmos Mid-Tex that have joined together to facilitate the review and response to natural <br />gas issues affecting rates charged in the Atmos Mid-Tex service area (such participating <br />cities are referred to herein as "ACSC Cities"); and <br />WHEREAS, pursuant to the terms of the agreement settling the Company's 2007 <br />Statement of Intent to increase rates, ACSC Cities and the Company worked collaboratively <br />to develop the Rate Review Mechanism ("RRM") tariff that allows for an expedited rate <br />review process controlled in a three year experiment by ACSC Cities as a substitute to the <br />current GRIP process instituted by the Legislature; and <br />WHEREAS, the City took action in 2008 to approve a Settlement Agreement with <br />Atmos Mid-Tex resolving the Company's 2007 rate case and authorizing the RRM Tariff; <br />and <br />Atmos RRM Ordinance 1 <br />~ 125 <br />