Council hears first reading on suspension of Texas Gas Service GRIP rate increase

Cedar Park — The City Council held a first reading Wednesday and opened a public hearing on an ordinance to suspend the effective date of an interim rate adjustment filed by Texas Gas Service under the Gas Reliability Infrastructure Program (GRIP).

Jacob Worth, assistant to the city manager, explained the statutory framework that allows utilities to recover capital costs through interim GRIP adjustments and said Texas Gas Service’s 2024 filing seeks to recover roughly $17,000,000 of invested capital. Worth said the proposed change would increase the average residential base charge by about $3.36 (from about $18 to roughly $21.36), and that state law limits cities’ options to either accept the filing or suspend the effective date for an additional 45 days to review and submit comments to the Railroad Commission.

Worth said Cedar Park participates in a coalition of Central Texas cities that reviews GRIP and Atmos filings; the proposed suspension would allow the coalition and city staff additional time to analyze the filing and submit comments to the Railroad Commission. Council members expressed concern about rate increases and resident impacts but acknowledged the city’s limited legal authority under the GRIP statute.

Mayor Pro Tem Boyce opened the public hearing; no members of the public spoke. The council closed the public hearing and will take a vote on the suspension ordinance at a subsequent meeting, before the requested effective date of April 12, 2025, unless the applicant withdraws or modifies the filing.