Posting Language
Title
Conduct a public hearing and consider an ordinance regarding SiEnergy's proposal to increase customer gas rates.
De
Lead Department
Financial Services Department.
For More Information:
Rondella M. Hawkins, Telecommunications and Regulatory Affairs Officer, 512-974-2422.
Additional Backup Information:
On May 5, 2023, SiEnergy, LP filed a rate case with the cities of Austin, Celina, Conroe, Fate, Fort Worth, Fulshear, Grand Prairie, Houston, Manor, Mansfield, Missouri City, Princeton, Sugar Land, and Waxahachie and simultaneously filed with the Railroad Commission of Texas (RRC) for rates in its unincorporated service areas. In the City of Austin, SiEnergy serves one commercial and 963 residential customers in the Wildhorse Subdivision. The City suspended the June 9, 2023, effective date of the rate increase and joined a coalition of the other cities served by SiEnergy. The coalition intervened in the RRC case, engaged an attorney and rate consultants, investigated the rate filing, conducted discovery, and identified aspects of SiEnergy' s original requested increase that were unreasonable or otherwise needed to be adjusted in order to be just and reasonable.
SiEnergy's rate request is the first time that SiEnergy has taken action to increase its rates in approximately five years. During the time that the City has retained original jurisdiction in this case, consultants working on behalf of the coalition have investigated the support for SiEnergy's requested rate increase. Based upon the analysis conducted by the consultants, the rate case cities were able to negotiate a reasonable settlement resolution of SiEnergy's request that avoids costly litigation before the regulatory authorities while ensuring that revenues are sufficient to provide safe and reliable natural gas service to customers in SiEnergy's service territory.
Approval of the ordinance will result in an annual revenue requirement of $27.95 million, $4.19 million less than ...
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