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Council accepts Atmos Mid-Tex RIM settlement; residents face estimated $7.83 monthly increase
Summary
Council accepted a negotiated settlement with Atmos Energy Mid-Tex under a Rate Review Mechanism; the settlement reduced Atmos' requested 2024 capital investment from $245 million to $205 million and will increase average residential bills by about $7.83 per month, effective Oct. 1, 2025, unless cities act differently.
Rowlett’s City Council on Tuesday adopted a resolution accepting a negotiated settlement in Atmos Energy Corporation’s Mid‑Tex rate review under the city’s RIM (rate‑review mechanism), bringing a settlement that staff said reduces Atmos’ claimed 2024 capital investments and limits the increase passed to customers.
Assistant City Manager Renissa Wade said Atmos filed in April 2025 seeking recovery tied to a test period ending Dec. 31, 2024, and initially claimed roughly $245 million in investable capital for the filing. The RIM agreement and subsequent negotiations reduced the allowed investment base to approximately $205 million. Wade said the settlement member attorneys and the steering committee recommended acceptance; the net effect of the settlement would be an estimated $7.83 per month increase for residential customers and about $25.73 per month for commercial customers under the terms negotiated.
Wade told the council the city must approve the settlement by Oct. 1, 2025, to accept the terms; failing to approve would require Rowlett to pursue an independent challenge, which staff and the steering committee attorney advised against because the committee represents many cities and carries negotiating leverage in the consolidated process. Council approved the resolution unanimously.
Staff characterized the resolution as a recommendation to accept the negotiated settlement so the city joins the steering committee and other member cities in endorsing the outcome. Council members had no substantive amendments and approved the resolution to accept the settlement and its Oct. 1, 2025 effective date.
