Cookeville to extend Tennessee Pipeline agreement through 2030; city staff say average customer bill impact small

The Cookeville City Council approved an amendment Sept. 4 extending the city’s Tennessee Pipeline agreement to Oct. 31, 2030 and raising the contracted cost per decatherm from $5.93 to $7.30. Mr. Haney, utility staff, presented the amendment and customer impact analysis. Mr. Haney told council the existing agreement provides the city about 3,500 decatherms of gas capacity and that the amendment increases the per‑decatherm cost to $7.30. He said the city examined customer impacts over the last 12 months and estimated an average monthly effect of about 3.7¢ per customer; he added that in low‑usage summer months the change would be “under a penny” and that in winter months the change could reach about 11¢ on customers’ bills. Haney said the additional capacity is currently needed for present load and is also intended to support future growth as the city expands. Council moved and approved the contract amendment. The council vote authorized the city manager to execute the amendment that extends the agreement and adjusts pricing; staff said this is a budgeted item and that they had analyzed the likely incremental impacts to customers using the most recent 12‑month usage data.