HomeMy WebLinkAboutItem 14 - Rate Review Mechanism SettlementMEMO TO:
FROM:
MEETING DATE:
SUBJECT:
RECOMMENDATION:
FUNDING SOURCE:
BACKGROUND:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
BRUNO RUMBELOW, CITY MANAGER
SEPTEMBER 17, 2024
RESOLUTION APPROVING ATMOS RATE REVIEW MECHANISM
TARIFF SETTLEMENT
Staff recommends the City Council consider approval of a resolution of the
Atmos RRM (Rate Review Mechanism) Tariff Settlement.
The City, along with 181 other Mid-Texas cities served by Atmos Energy
Corporation, Mid-Tex Division (“Atmos Mid-Tex” or “Company”), is a
member of the Atmos Cities Steering Committee (“ACSC”). In 2007,
ACSC and Atmos Mid-Tex settled a rate application filed by the Company
pursuant to Section 104.301 of the Texas Utilities Code for an interim rate
adjustment commonly referred to as a GRIP filing (arising out of the Gas
Reliability Infrastructure Program legislation). That settlement created a
substitute rate review process, referred to as Rate Review Mechanism
(“RRM”), as a substitute for future filings under the GRIP statute.
ACSC strongly opposed the GRIP process because it constitutes
piecemeal ratemaking by ignoring declining expenses and increasing
revenues while rewarding the Company for increasing capital investment
on an annual basis. The GRIP process does not allow any review of the
reasonableness of capital investment and does not allow cities to
participate in the Railroad Commission’s review of annual GRIP filings or
allow recovery of Cities’ rate case expenses. The Railroad Commission
undertakes a mere administrative review of GRIP filings (instead of a full
hearing) and rate increases go into effect without any material
adjustments. In ACSC’s view, the GRIP process unfairly raises customers’
rates without any regulatory oversight. In contrast, the RRM process has
allowed for a more comprehensive rate review and annual evaluation of
expenses and revenues, as well as capital investment.
In April the Company filed a rate request pursuant to the RRM Tariff
adopted by ACSC members. The Company claimed that its cost-of-
service in a test year ending December 31, 2023, entitled it to additional
system-wide revenues of $196.8 million. Below details the portion of the
request related to the ACSC cities and the related settlement numbers.
$143.27 Million- Original request portion ascribed to ACSC Cities
$132.6 Million-Modified request portion ascribed to the ACSC cities (Items
are removed that should not have been included in the RRM request)
$108.89 Million-Consultants reasonable finding portion ascribed to ACSC
cities (consultants do a thorough examination of the request that includes
checking calculations of the revenues and their sources and capital and
operating expenses)
$119.8 Million-Settlement portion for ACSC Cities (agreed upon between
the Steering Committee and the Company to avoid costly and likely
unfavorable Railroad Commission proceeding).
The Executive Committee of ACSC recommends a systemwide settlement
of $164.7 million. The effective date for new rates is October 1, 2024.
The impact of the settlement on average residential rates is an increase of
$5.52 monthly or 6.84%. The increase for average commercial usage will
be $13.39 or 3.44%.
Should the City choose not to accept the settlement, the rate increase
request would go to the Railroad Commission where the City would be
required to mount a costly intervention that would likely not reap any
additional benefit for residents.
The Council Utility Committee has reviewed this request.
Staff recommends approval.
RESOLUTION NO. 2024-015
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, APPROVING A NEGOTIATED
SETTLEMENT BETWEEN THE ATMOS CITIES STEERING
COMMITTEE (“ACSC”) AND ATMOS ENERGY CORP., MID-TEX
DIVISION REGARDING THE COMPANY’S 2024 RATE REVIEW
MECHANISM FILING; DECLARING EXISTING RATES TO BE
UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE
ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED
SETTLEMENT; FINDING THE RATES TO BE SET BY THE
ATTACHED SETTLEMENT TARIFFS TO BE JUST AND
REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN
ATTACHMENT ESTABLISHING A BENCHMARK FOR PENSIONS
AND RETIREE MEDICAL BENEFITS; REQUIRING THE
COMPANY TO REIMBURSE ACSC’S REASONABLE
RATEMAKING EXPENSES; DETERMINING THAT THIS
RESOLUTION WAS PASSED IN ACCORDANCE WITH THE
REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT;
ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE
DATE; AND REQUIRING DELIVERY OF THIS RESOLUTION TO
THE COMPANY AND THE ACSC’S LEGAL COUNSEL.
WHEREAS, the City of Grapevine, Texas (“City”) is a gas utility customer of Atmos
Energy Corp., Mid-Tex Division (“Atmos Mid-Tex” or “Company”), and a regulatory
authority with an interest in the rates, charges, and services of Atmos Mid-Tex; and
WHEREAS, the City is a member of the Atmos Cities Steering Committee
(“ACSC”), a coalition of similarly-situated cities served by Atmos Mid-Tex (“ACSC Cities”)
that have joined together to facilitate the review of, and response to, natural gas issues
affecting rates charged in the Atmos Mid-Tex service area; and
WHEREAS, ACSC and the Company worked collaboratively to develop a Rate
Review Mechanism (“RRM”) tariff that allows for an expedited rate review process by
ACSC Cities as a substitute to the Gas Reliability Infrastructure Program (“GRIP”)
process instituted by the Legislature, and that will establish rates for the ACSC Cities
based on the system-wide cost of serving the Atmos Mid-Tex Division; and
WHEREAS, the current RRM tariff was adopted by the City in a rate ordinance in
2018; and
WHEREAS, on about April 1, 2024, Atmos Mid-Tex filed its 2024 RRM rate request
with ACSC Cities based on a test year ending December 31, 2023; and
Resolution No. 2024-015 2
WHEREAS, ACSC coordinated its review of the Atmos Mid-Tex 2024 RRM filing
through its Executive Committee, assisted by ACSC’s attorneys and consultants, to
resolve issues identified in the Company’s RRM filing; and
WHEREAS, the Executive Committee, as well as ACSC’s counsel and
consultants, recommend that ACSC Cities approve an increase in base rates for Atmos
Mid-Tex of $164.7 million on a system-wide basis with an Effective Date of October 1,
2024; and
WHEREAS, ACSC agrees that Atmos’ plant-in-service is reasonable; and
WHEREAS, with the exception of approved plant-in-service, ACSC is not
foreclosed from future reasonableness evaluation of costs associated with incidents
related to gas leaks; and
WHEREAS, the attached tariffs (Attachment 1) implementing new rates are
consistent with the recommendation of the ACSC Executive Committee, are agreed to by
the Company, and are just, reasonable, and in the public interest; and
WHEREAS, the settlement agreement sets a new benchmark for pensions and
retiree medical benefits (Attachment 2); and
WHEREAS, the RRM Tariff contemplates reimbursement of ACSC’s reasonable
expenses associated with RRM applications.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. That the findings set forth in this Resolution are hereby in all things
approved.
Section 2. That, without prejudice to future litigation of any issue identified by
ACSC, the City Council finds that the settled amount of an increase in revenues of $164.7
million on a system-wide basis represents a comprehensive settlement of gas utility rate
issues affecting the rates, operations, and services offered by Atmos Mid-Tex within the
municipal limits arising from Atmos Mid-Tex’s 2024 RRM filing, is in the public interest,
and is consistent with the City’s authority under Section 103.001 of the Texas Utilities
Code.
Section 3. That despite finding Atmos Mid-Tex’s plant-in-service to be reasonable,
ACSC is not foreclosed in future cases from evaluating the reasonableness of costs
associated with incidents involving leaks of natural gas.
Section 4. That the existing rates for natural gas service provided by Atmos Mid-
Tex are unreasonable. The new tariffs attached hereto and incorporated herein as
Attachment 1, are just and reasonable, and are designed to allow Atmos Mid-Tex to
Resolution No. 2024-015 3
recover annually an additional $164.7 million on a system-wide basis, over the amount
allowed under currently approved rates. Such tariffs are hereby adopted.
Section 5. That the ratemaking treatment for pensions and retiree medical benefits
in Atmos Mid-Tex’s next RRM filing shall be as set forth on Attachment 2, attached hereto
and incorporated herein.
Section 6. That Atmos Mid-Tex shall reimburse the reasonable ratemaking
expenses of the ACSC in processing the Company’s 2024 RRM filing.
Section 7. That to the extent any resolution or ordinance previously adopted by
the Council is inconsistent with this Resolution, it is hereby repealed.
Section 8. That the meeting at which this Resolution was approved was in all
things conducted in strict compliance with the Texas Open Meetings Act, Texas
Government Code, Chapter 551.
Section 9. That if any one or more sections or clauses of this Resolution is
adjudged to be unconstitutional or invalid, such judgment shall not affect, impair, or
invalidate the remaining provisions of this Resolution, and the remaining provisions of the
Resolution shall be interpreted as if the offending section or clause never existed.
Section 10. That consistent with the City Ordinance that established the RRM
process, this Resolution shall become effective from and after its passage with rates
authorized by attached tariffs to be effective for bills rendered on or after October 1, 2024.
Section 11. That a copy of this Resolution shall be sent to Atmos Mid-Tex, care of
Chris Felan, Vice President of Rates and Regulatory Affairs Mid-Tex Division, Atmos
Energy Corporation, 5420 LBJ Freeway, Suite 1862, Dallas, Texas 75240, and to Thomas
Brocato, General Counsel to ACSC, at Lloyd Gosselink Rochelle & Townsend, P.C., 816
Congress Avenue, Suite 1900, Austin, Texas 78701.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE TEXAS, BY A VOTE OF ____ TO ____, on this the 17th day of September
2024.
APPROVED:
__________________________
William D. Tate
Mayor
Resolution No. 2024-015 4
ATTEST:
Tara Brooks
City Secretary
APPROVED AS TO FORM:
______________________________
Matthew C. G. Boyle
City Attorney
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: R – RESIDENTIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Application
Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured
through one meter.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge Amount
Customer Charge per Bill $ 22.95 per month
Rider CEE Surcharge $ 0.05 per month 1
Total Customer Charge $ 23.00 per month
Commodity Charge – All Ccf $0.58974 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company’s Tariff for Gas Service.
1Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2024.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: C – COMMERCIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Application
Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured
through one meter and to Industrial Customers with an average annual usage of less than 30,000 Ccf.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the
amounts due under the riders listed below:
Charge Amount
Customer Charge per Bill $ 81.75 per month
Rider CEE Surcharge $ 0.00 per month 1
Total Customer Charge $ 81.75 per month
Commodity Charge – All Ccf $ 0.19033 per Ccf
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Weather Normalization Adjustment: Plus or Minus an amount for weather normalization
calculated in accordance with Rider WNA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company’s Tariff for Gas Service.
Presumption of Plant Protection Level
For service under this Rate Schedule, plant protection volumes are presumed to be 10% of normal,
regular, historical usage as reasonably calculated by the Company in its sole discretion. If a customer
believes it needs to be modeled at an alternative plant protection volume, it should contact the company
at mdtx-div-plantprotection@atmosenergy.com.
1 Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2024.
.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I – INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Application
Applicable to Industrial Customers with a maximum daily usage (MDU) of less than 200 MMBtu per day
for all natural gas provided at one Point of Delivery and measured through one meter. Service for
Industrial Customers with an MDU equal to or greater than 200 MMBtu per day will be provided at
Company's sole option and will require special contract arrangements between Company and Customer.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the
amounts due under the riders listed below:
Charge Amount
Customer Charge per Meter $ 1,587.75 per month
First 0 MMBtu to 1,500 MMBtu $ 0.6553 per MMBtu
Next 3,500 MMBtu $ 0.4799 per MMBtu
All MMBtu over 5,000 MMBtu $ 0.1029 per MMBtu
Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated
in accordance with Part (a) and Part (b), respectively, of Rider GCR.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer’s deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled “Daily Price Survey.”
Replacement Index
In the event the “midpoint” or “common” price for the Katy point listed in Platts Gas Daily in the table
entitled “Daily Price Survey” is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: I – INDUSTRIAL SALES
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Agreement
An Agreement for Gas Service may be required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company’s Tariff for Gas Service.
Special Conditions
In order to receive service under Rate I, Customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Presumption of Plant Protection Level
For service under this Rate Schedule, plant protection volumes are presumed to be 10% of normal,
regular, historical usage as reasonably calculated by the Company in its sole discretion. If a customer
believes it needs to be modeled at an alternative plant protection volume, it should contact the company
at mdtx-div-plantprotection@atmosenergy.com.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T – TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Application
Applicable, in the event that Company has entered into a Transportation Agreement, to a customer
directly connected to the Atmos Energy Corp., Mid-Tex Division Distribution System (Customer) for the
transportation of all natural gas supplied by Customer or Customer’s agent at one Point of Delivery for
use in Customer's facility.
Type of Service
Where service of the type desired by Customer is not already available at the Point of Delivery, additional
charges and special contract arrangements between Company and Customer may be required prior to
service being furnished.
Monthly Rate
Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts
and quantities due under the riders listed below:
Charge Amount
Customer Charge per Meter $ 1,587.75 per month
First 0 MMBtu to 1,500 MMBtu $ 0.6553 per MMBtu
Next 3,500 MMBtu $ 0.4799 per MMBtu
All MMBtu over 5,000 MMBtu $ 0.1029 per MMBtu
Upstream Transportation Cost Recovery: Plus an amount for upstream transportation costs in
accordance with Part (b) of Rider GCR.
Retention Adjustment: Plus a quantity of gas as calculated in accordance with Rider RA.
Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider
FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated
municipality.
Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX.
Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s).
Imbalance Fees
All fees charged to Customer under this Rate Schedule will be charged based on the quantities
determined under the applicable Transportation Agreement and quantities will not be aggregated for any
Customer with multiple Transportation Agreements for the purposes of such fees.
Monthly Imbalance Fees
Customer shall pay Company the greater of (i) $0.10 per MMBtu, or (ii) 150% of the difference per MMBtu
between the highest and lowest “midpoint” price for the Katy point listed in Platts Gas Daily in the table
entitled “Daily Price Survey” during such month, for the MMBtu of Customer’s monthly Cumulative
Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds
10% of Customer’s receipt quantities for the month.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RATE SCHEDULE: T – TRANSPORTATION
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Curtailment Overpull Fee
Upon notification by Company of an event of curtailment or interruption of Customer’s deliveries,
Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay
Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the
applicable Gas Day in the table entitled “Daily Price Survey.”
Replacement Index
In the event the “midpoint” or “common” price for the Katy point listed in Platts Gas Daily in the table
entitled “Daily Price Survey” is no longer published, Company will calculate the applicable imbalance fees
utilizing a daily price index recognized as authoritative by the natural gas industry and most closely
approximating the applicable index.
Agreement
A transportation agreement is required.
Notice
Service hereunder and the rates for services provided are subject to the orders of regulatory bodies
having jurisdiction and to the Company’s Tariff for Gas Service.
Special Conditions
In order to receive service under Rate T, customer must have the type of meter required by Company.
Customer must pay Company all costs associated with the acquisition and installation of the meter.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA – WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Provisions for Adjustment
The Commodity Charge per Ccf (100 cubic feet) for gas service set forth in any Rate Schedules utilized
by the cities of the Mid-Tex Division service area for determining normalized winter period revenues shall
be adjusted by an amount hereinafter described, which amount is referred to as the "Weather
Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature
sensitive residential and commercial bills based on meters read during the revenue months of November
through April. The five regional weather stations are Abilene, Austin, Dallas, Waco, and Wichita Falls.
Computation of Weather Normalization Adjustment
The Weather Normalization Adjustment Factor shall be computed to the nearest one-hundredth cent
per Ccf by the following formula:
(HSFi x (NDD-ADD) )
WNAFi = Ri
(BLi +(HSFi x ADD) )
Where
i = any particular Rate Schedule or billing classification within any such
particular Rate Schedule that contains more than one billing classification
WNAFi = Weather Normalization Adjustment Factor for the ith rate schedule or
classification expressed in cents per Ccf
Ri = Commodity Charge rate of temperature sensitive sales for the ith schedule or
classification.
HSFi = heat sensitive factor for the ith schedule or classification divided by the
average bill count in that class
NDD = billing cycle normal heating degree days calculated as the simple ten-year
average of actual heating degree days.
ADD = billing cycle actual heating degree days.
Bli = base load sales for the ith schedule or classification divided by the average
bill count in that class
The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as:
WNA i = WNAF i x q ij
Where q ij is the relevant sales quantity for the jth customer in ith rate schedule.
Attachment 1
MID-TEX DIVISION
ATMOS ENERGY CORPORATION
RIDER: WNA – WEATHER NORMALIZATION ADJUSTMENT
APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF
EFFECTIVE DATE: Bills Rendered on or after 10/01/2024
Base Use/Heat Use Factors
Residential Commercial
Base use Heat use Base use Heat use
Weather Station Ccf Ccf/HDD Ccf Ccf/HDD
Abilene 9.52 0.1526 88.98 0.7485
Austin 8.87 0.1343 213.30 0.9142
Dallas 12.38 0.2024 185.59 1.0974
Waco 8.71 0.1219 130.62 0.7190
Wichita
Falls
10.20 0.1394 117.78 0.6435
Weather Normalization Adjustment (WNA) Report
On or before June 1 of each year, the company posts on its website at atmosenergy.com/mtx-wna, in
Excel format, a Weather Normalization Adjustment (WNA) Report to show how the company calculated
its WNAs factor during the preceding winter season. Additionally, on or before June 1 of each year, the
company files one hard copy and an Excel version of the WNA Report with the Railroad Commission of
Texas' Gas Services Division, addressed to the Director of that Division.
Attachment 1
Line
No. Description
Pension
Account Plan
Post-
Employment
Benefit Plan
Pension
Account Plan
Post-
Employment
Benefit Plan
Supplemental
Executive Benefit
Plan
Adjustment
Total
(a) (b) (c) (d) (e) (f) (g)
1 Proposed Benefits Benchmark -
Fiscal Year 2024 Willis Towers Watson Report as adjusted 1,402,365$ (1,146,665)$ 2,186,549$ (4,070,086)$ 278,107$
2 Allocation Factor 45.93% 45.93% 82.00% 82.00% 100.00%
3 Proposed Benefits Benchmark Costs Allocated to Mid-Tex (Ln 1 x Ln 2)644,172$ (526,717)$ 1,792,929$ (3,337,394)$ 278,107$
4 O&M and Capital Allocation Factor 100.00% 100.00% 100.00% 100.00% 100.00%
5 Proposed Benefits Benchmark Costs to Approve (Ln 3 x Ln 4)644,172$ (526,717)$ 1,792,929$ (3,337,394)$ 278,107$ (1,148,903)$
6
7 O&M Expense Factor (WP_F-2.3, Ln 2)81.70% 81.70% 38.85% 38.85%11.24%
8
9 Summary of Costs to Approve:
10 Total Pension Account Plan 526,315$ 696,536$ 1,222,851$
11 Total Post-Employment Benefit Plan (430,349)$ (1,296,547)$ (1,726,896)
12 Total Supplemental Executive Benefit Plan 31,256$ 31,256
13 Total (Ln 10 + Ln 11 + Ln 12)526,315$ (430,349)$ 696,536$ (1,296,547)$ 31,256$ (472,789)$
ATMOS ENERGY CORP., MID-TEX DIVISION
MID-TEX RATE REVIEW MECHANISM
PENSIONS AND RETIREE MEDICAL BENEFITS FOR CITIES APPROVAL
TEST YEAR ENDING DECEMBER 31, 2023
Shared Services Mid-Tex Direct
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