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Pulaski council approves temporary rise in natural gas transport charge tied to supplier tariff
Summary
Pulaski officials voted to raise the city's per-unit natural gas charge from 0.80 to 0.95 per CCF after staff said a pipeline transportation tariff increased sharply. Council members said the change is a pass-through of higher supplier costs; staff estimated the average residential bill could rise roughly $5'$6 depending on usage.
The Pulaski Board voted to adopt a resolution increasing the city's natural gas transportation charge from 0.80 to 0.95 per CCF after staff said the pipeline's tariff has risen.
Sharon, who presented the item, told the board the supplier's gas-transportation tariff has gone up and described the tariff as the charge for moving gas across state lines. She said the tariff increase equates to roughly a 122.9% change in that component and that the city's proposed per-CCF charge would move from 0.80 to 0.95. She also said minimum monthly bills for residential customers would remain $5 and would not change.
Council members asked how the change would affect a typical residential bill. Sharon said the impact depends on usage but offered a rough figure: about $0.15 more per CCF, which the council estimated could increase an average $50 bill to about $55'$56. Council discussion included whether the rate required an ordinance or could be adopted by resolution; staff and members clarified that this adjustment is a market-based cost pass-through and that the city sets gas rates by resolution.
Mister Massey moved to adopt the resolution; Missus Miles seconded. In a roll-call vote, Massey, Miles, Worsham, Brian and Brantley voted aye and the motion carried.
The resolution is a market adjustment staff said is intended to pass through higher supplier transportation costs; the city did not adopt changes to minimum bills or other service terms at the meeting.
