Resource Management Commission presses Texas Gas Service on 2025 rate filing, consolidation and low‑income program

Maria Norton, the city controller for the City of Austin, and Thomas Porchetto, outside counsel, briefed the Resource Management Commission on Texas Gas Service’s (TGS) June 30, 2025, comprehensive base rate filing and related proposals.

Porchetto told commissioners the company is seeking to increase revenues by $41,100,000, which he described as “a 7.07% rate increase, including gas costs,” and roughly a 9.83% revenue requirement increase excluding gas costs. He said the utility has filed in all three of its service areas and is proposing to consolidate them into a single service area. Porchetto said the company set an effective date of Aug. 19 and that, under state procedures, cities can suspend that effective date for an additional 90 days to allow review. He said the Railroad Commission is likely to issue a final decision in mid‑January 2026.

Why it matters: the filing would change who pays which costs and would raise the monthly customer charge substantially in the Central Gulf service area — Porchetto noted proposals that would raise the small residential customer charge from $21.36 to $29.50 and the large residential customer charge from $33.36 to $39.50 in that area. Commissioners said higher fixed customer charges risk making bills more regressive and reducing incentives for…