(A) Rate schedule, monthly charge; heat value, basis of; adjustment; penalty for delinquency; adjustment for cost of purchased gas and taxes. The grantee, its successors or assigns, shall file and make effective initially a schedule of rates for gas service and shall furnish gas at the schedule of rates hereafter set forth or at other reasonable rates as may be hereafter established from time to time under the State Municipal Natural Gas Regulation Act, being Neb. RS 66-1801 et seq.
(1) Firm gas service rates.
(a) Availability. These rates are available only to domestic and commercial customers whose maximum requirements for natural gas are less than 100,000 cubic feet per day. The grantee shall not be required to serve any customer at the following rates whose requirements amount to 100,000 cubic feet or more per day. The grantee may negotiate price and other contract terms with customers whose natural gas requirements exceed 50,000 cubic feet per day.
1. Residential customers’ amount.
Monthly customer charge | $8.25 |
Rate per term | $0.1153170 |
2. Commercial customers.
Monthly customer charge | $13.25 |
Rate per term | $0.1567016 |
3. Rates.
a. The foregoing rates apply only when bills are paid on or before 20 days after the monthly billing date. When not so paid, a 1% per month late fee will apply on the unpaid amount.
b. The above and foregoing rate shall be understood to be based upon natural gas of the British Thermal Unit (BTU) heating value of 1,000 BTUs per cubic foot of gas. If in any monthly period the average heating value of gas sold and delivered to the customers shall vary from 1,000 BTUs, then the volumes of gas billed to the customers during that month shall be multiplied by the factor of average heating value in BTUs divided by 1,000 to adjust for the variance.
(b) Turn-on and reconnect fee. In addition to the other rates set forth in this section, grantee may charge a $26 fee to initiate service (turn-on fee) for each customer account and a $30 fee (reconnect fee) to reconnect service that has been discontinued or terminated for nonpayment.
(2) Natural gas supply cost options. In addition to the firm gas service rates set forth in division (A)(1) above, a separate charge per Therm may be made for the monthly cost of natural gas purchased and delivered by grantee under the pricing option selected by customers of grantee under properly filed natural gas supply-cost-adjustment rate schedules pursuant to Neb. RS 66-1854.
(a) Purchased gas cost adjustment option.
1. The purchased gas cost adjustment shall be computed monthly pursuant to the natural gas supply-cost-adjustment rate schedule filed by the grantee (or any predecessor of grantee) pursuant to Neb. RS 19-4609(1).
2. Any supply cost, refund, capacity release sharing credits, including interest thereon, if any, received by the company from its supplier or interstate transporter in respect of increased rates paid by grantee subject to refund and applicable to natural gas purchased on a firm supply basis for resale to customers properly enrolled in the purchase gas cost adjustment option in Rate Area Three shall be refunded to its gas customers in the form of credits on the customers’ bills, or in cash, to the extent that the increased rates paid by the company were passed on to firm gas customers. However, customers of grantee who elect delivery of gas under the purchased gas cost adjustment option are not entitled to any refunds, nor shall any additional charges be imposed from any other natural gas supply cost option.
(b) Fixed-price gas cost option.
1. The fixed-price gas cost option shall be as set forth on the “fixed-price gas cost” supply-cost-adjustment rate schedule filed by the grantee pursuant to Neb. RS 19-4609(1). This natural gas supply cost option is available to any firm residential customer of grantee subject to the rules, terms, and conditions of grantee. Customers will pay a fixed-price for each therm of natural gas delivered by grantee to the customer.
2. Customers properly enrolled under the fixed-price gas cost option will not pay any additional charges for any changes in the cost of natural gas from suppliers, interstate transporters, other rate schedules of grantee, or others during the term of the fixed-price gas cost supply cost rate schedule. In addition, customers of grantee enrolled in the fixed-price gas cost option are not entitled to any refund for supply cost, interstate capacity, capacity release sharing credits, other rate schedules of grantee, or any other refunds or credits related to the cost of purchased for delivery under the fixed-price gas cost option. The fixed-price gas cost option may be terminated or modified by grantee, at its option, at the conclusion of the term of the rate schedule on file with the municipality.
(3) Adjustment for taxes. If, after the effective date of this section, the business of grantee in this Rate Area Three municipality shall be subjected to any taxes measured by its gross revenues from the operation of a business or the volume of the business or constituting a fee for carrying on the business, or in the event that the rate of any tax or the amount of any fee shall be increased after the effective date of this chapter, the gas distribution company shall be entitled to increase its charges under the aforesaid rates so as to offset the imposition or impositions of the increase.
(4) General rate adjustment. The above provided for cost of purchased gas and tax adjustments are apart from and shall not in any manner limit or abridge either grantee’s right to request or the Mayor and City Council’s authority to grant general rate adjustments increasing or decreasing the rates.
(5) Interruptible gas service rate.
(a) Availability. This rate is available only on a contract basis to commercial or industrial customers whose use of natural gas is subject to interruption and periods of curtailment for reasons including but not limited to protecting the service of grantee’s firm gas users.
(b) Rate. The rate of interruptible gas service shall be a rate as may be mutually agreed upon between the customer and that gas service company.
(6) Environmental costs.
(a) Grantee may defer expenses reasonably incurred after December 1, 1999, as a result of monitoring, testing, clean-up, and the cost of reasonable efforts made by grantee to recover remediation costs (hereinafter referred to generally as “manufactured gas plant” costs), if any, at the five manufactured gas plant sites allocated to Rate Area Three. No carrying costs will be calculated on any balance of deferred manufactured gas plant costs.
(b) At the time of its next general rate case, grantee may request recovery of any deferred manufactured gas plant costs and, if recovery is sought, must demonstrate in its rate application or 60 days prior to the deadline for filing the municipal report that the manufactured gas plant costs were prudently incurred and reasonable, and that grantee made reasonable efforts to recover remediation costs from potentially responsible third parties (which may include, but are not limited to, grantee’s predecessors in interest).
(c) In any future rate application, grantee will reduce any deferred manufactured gas plant costs by the proportional amount of manufactured gas plant costs previously recovered (i.e., $62,846 per year from December 1, 1999) from Rate Area Three as a credit to the deferred expenses allocated to Rate Area Three. Issues as to whether the deferred remediation costs were prudently incurred and reasonable; and whether the length of the amortization period for “past” manufactured gas plant costs requested by grantee for recovering any deferred remediation expenses is reasonable will be determined in the next rate case following the incurrence of the deferred manufactured gas plant costs.
(c) Seventy-five percent of any funds (or the value of any other benefits) recovered from third parties by or on behalf of grantee which are attributable to the remediation of any or all of the five manufactured gas plant sites allocated to Rate Area Three shall be credited to the deferred account. Grantee may keep 25% of any funds (or the value of other benefits) recovered from third parties.
(B) General terms and conditions.
(1) The general terms and conditions and associated rate schedule tariff sheets applicable to the natural gas service subject to the Municipal Natural Gas Regulation Act and provided for under this chapter will be kept on file with the City Clerk.
(2) The general terms and conditions and associated rate schedule tariff sheets may be changed from time to time by grantee unless contrary provision is made by an ordinance adopted in the course of a future rate proceeding.
(C) Findings of fact and conclusions of law. The findings of fact and conclusions of law, which were made a part of the official record at an area rate hearing, are hereby adopted.
(Prior Code, § 54.01) (Ord. 567, passed 7-30-2001)