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O-676-2-86ORDINANCE NO. -676-2-86 AN ORDINANCE FIXING AND DETERMINING THE GENERAL SERVICE RATE TO BE CHARGED FOR SALES OF NATURAL GAS TO RESIDENTIAL AND COMMERCIAL CONSUMERS IN THE CITY OF ALLEN, COLLIN COUNTY, TEXAS; PROVIDING FOR THE MANNER IN WHICH SUCH RATE MAY BE CHANGED, ADJUSTED, AND AMENDED; AND PROVIDING FOR A SCHEDULE OF SERVICE CHARGES. BE IT ORDAINED BY THE CITY OF ALLEN, TEXAS: Section 1. Effective with gas bills rendered on or after thirty (30) days from the date of final passage of this ordinance, the maximum general service rate for sales of natural gas rendered to residential and commercial consumers within the city limits of Allen, Texas by Lone Star Gas Company, a division of ENSERCH CORPORATION, a Texas Corporation, its successors and assigns, is hereby fixed and determined as set forth in Item A, in the Attachment hereto which is incorporated herein. Section 2. The residential and commercial rates set forth above shall be adjusted upward or downward from a base of $4.0200 per Mcf by a Gas Cost Adjustment Factor expressed as an amount per thousand cubic feet (Mcf) of natural gas for changes in the intracompany city gate rate charge as authorized by the Railroad Commission of Texas or other regulatory body having jurisdiction for gas delivered to the Allen distribution system, according to Item B, in the Attachment hereto which is incorporated herein. Section 3. Company shall also receive tax adjustments according to Item C, in the Attachment hereto which is incorporated herein. Section 4. In addition to the aforesaid rates, 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 in effect, as set forth in Item D, in the Attachment hereto which is incorporated herein. Section 5. The rates set forth in this ordinance may be changed and amended by either the City or Company in the manner provided by law. Service hereunder is subject to the orders or regulatory bodies having jurisdiction, and to the Company's Rules and Regulations currently on file in the Company's office. Ordinance No. 676-2-86 Page 2 Section 6. It is hereby found and determined that the meeting at which this ordinance was passed was held on February 6, 1986, was open to the public, as required by Texas law, and that advance public notice of the time, place and purpose of said meeting was given. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, ON THIS THE 6th DAY OF FEBRUARY, 1986. APPROVED: Donald P. Rodenbaugh, MAYCR�t,*. ATTEST: Marty Hendrix, Q&TY SECRETARY ATTACHMENT TO ORDINANCE NO. 676-2-86 CITY OF ALLEN, TEXAS LONE STAR GAS COMPANY TARIFFS & SCHEDULES ITEM A. The following rates are the maximum applicable to residential and commercial consumers per meter month or for any part of a month for which gas service is available at the same location. Residential: Customer Charge $5.00 All Consumption $5.5979 Per Mcf If the service period is less than 28 days, the customer charge is $ .1786 times the number of days service. Commercial: Customer Charge $8.00 All Consumption $5.5979 Per Mcf If the service period is less than 28 days, the customer charge is $ .2857 times the number of days service. Bills are due and payable when rendered and must be paid within ten (10) days from monthly billing date. ITEM B. Gas Cost Adjustment Each monthly bill at the above rates shall be adjusted for gas cost as follows: (1) The city gate rate increase or decrease applicable to current billing month residential and commercial sales shall be estimated to the nearest $0.0001 per Mcf based upon: (a) A volume factor of $1.0476 determined in establishing the above rates for the distribution system as the ratio of adjusted purchased volumes divided by adjusted sales volumes. (b) The city gate rate estimated to be applicable to volumes purchased during the current calendar month, expressed to the nearest $0.0001 per Mcf (shown below as "Re"). (c) The base city gate rate of $4.0200 per Mcf. Attachment to Ordinance No. 6,76-2-86 Page 2 (2) Correction of the estimated adjustment determined by Item B(1) above shall be included as part of the adjustment for the second following billing month. The correcting factor (shown below as "C") shall be expressed to the nearest $0.0001 per Mcf based upon: (a) The corrected adjustment amount based upon the actual city gate rate, less (b) The estimated adjustment amount billed under Item B(1) above, divided by (c) Distribution system residential and commercial sales Mcf recorded on the Company's books during the prior year for the month that the correction is included as part of the adjustment. (3) The adjustment determined by Item B(1) and Item B(2) above shall be multiplied by a tax factor of 1.05116 to include street and alley rental and state occupation tax due to increasing Company revenues under this gas cost adjustment provision. In summary, the gas cost adjustment (GCA) shall be determined to the nearest $0.0001 per Mcf by Item B(1), Item B(2) and Item B(3) as follows: GCA = Item B(1) + Item B(2) X Item B(3) GCA = (1.0476) (Re - $4.0200) + C X 1.05116 ITEM C. Tax Adjustment The tax adjustment shall be an amount equivalent to the proportionate part of any new tax, or increased tax, or any other governmental imposition, rental, fee or charge (except state, county, city and special district ad valorem taxes and taxes on net income) levied, assessed or imposed subsequent to January 1, 1985, upon or allocable to the Company's distribution operations, by any new or amended law, ordinance or contract. ITEM C. Schedule of Service Charges (1) Reconnect Charge In addition to the charges and rates set out above, the Company shall charge and collect the sum of: Attachment to Ordinance No. A76_2_ Page 3 Schedule Charge 8 a.m. to 5 p.m. Monday through Friday $20.00 5 p.m. to 8 a.m. Monday through Friday $30.00 Saturdays, Sundays and Holidays $30.00 as a reconnect charge of each reconnection or reinauguration of gas service, where service has been discontinued at the same premises for any reason, with the following exceptions. (a) For a builder who uses gas temporarily during construction or for display purposes. (b) For the first occupant of the premises. (c) Whenever gas service has been temporarily interrupted because of system outage, service work or appliance installation done by Company; or (d) For any reason deemed necessary for Company operations. (2) Returned Check Charges A returned check handling charge of $7.50 is made for each check returned to the company for reasons of non -sufficient funds, account closed, payment withheld, invalid signature or improper preparation. (3) Collection Charge A charge of $5.00 shall be made when it is necessary to send a company employee to a customer's premise to collect amounts owed for gas service. Jz 1• 'F, 'e. 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