The details
Atmos' letter of intent filed last month showed a proposed base rate increase of about 7.08%, including the cost of gas. The increase would raise residential customers' monthly bill by about 9.41%, or almost $8. Commercial, industrial and transportation customers would not see a change.
This was Atmos' first attempt to increase base rates since 2018. Since then, the company has used six temporary rate hikes, or Interim Rates Adjustments.
The update
Councils' vote effectively postpones the gas rate increase until April 20.
"[This] gives us some time to look into [the increase] and have a chance to argue our points with the railroad commission," Deputy Chief Financial Officer Melana Taylor said at the Jan. 9 meeting.
Gas utility providers must file their rates with the Railroad Commission of Texas. Outside city limits, the commission sets the price a utility company can charge for the cost of service.
Some context
Round Rock will join other local regulatory authorities with the Atmos Texas Municipalities Coalition to efficiently review Atmos' request. The alliance of cities, as well as specialized legal counsel and rate experts, will help determine the merits of Atmos' rate increase.
