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Home My WebLink AboutO-6174inuC of City Council Meeting 26 .June 1978 Page 3 I ORDINANCE NO.� / 7 AN ORDINANCE TO ADOPT NEW GAS RATES FOR ALL GAS CUSTOMERS WITHIN THE CITY LIMITS OF FAIRHOPE, ALABAMA, AND ALL GAS CUSTO OUTSIDE THE CITY LIMITS OF FAIRHOPE, ALABAMA, AND TO DESIGNATE EACH CLASS OF CUSTOMERS THEREIN. SECTIO14 I - There is hereby established rate designations for all gas customers served by the City of Fairhope, Alabama as follows: G 1 Inside General Service G 2 Outside General Service G 3 Large Commercial & Industrial -- Insid.e City Limits, Fairhope G 4 Large Commercial & Industrial -- Outside City Limits, Fairhope G 5 Special Rates (Grand Hotel & Town of Daphne) G 6 City Use (Valued on Inside General Service) SECTION'II - GENERAL SERVICE WITHIN CITY LIMITS - G 1 (Residential & Small Commercial) A,. There is hereby established natural gas services to individual dwellings or apartments, municipal and school buildings and small individual commercial establishments whose physical location is within the corporate limits of the City of Fairhope, Alabama. Service to more than one premises shall not be combined, nor shall it be shared with or resold to others. Designations shall be known as G 1 as her_einabove set out. B. MONTHLY RATE First 300 cu.ft. or less for $2.25, plus Next 1,000 cu.ft. or less $0.40, per 100 cu.ft.,plus Next 8,700 cu.ft. or less $0.32, per 100 cu.ft.,plus Next 90,000 cu.ft. or less $0.26, per 100 cu.ft.,plus All over 100,000 cu. ft, for $0.235 per 100 cubic feet. C . MI14IMUM BILL The minimum monthly bill for any one customer shall be ' $2.25. D. RECONNECTION FEE A customer who suspends service under G 1 or service for Minute,ity Council Meeting 26 Jun seasonal reasons will be charged a reconnection fee of $15.00. E. TAXES The above rate is that charged by the City of Fairhope, a any additional charges levied by State or Federal authorities, such as the 4% Educational Tax, will be in addition to the above rate schedule. F. PAYMENT BillS for service rendered hereunder are payable within ten (10) days from due date, and if not paid within such period, a five (5%) percent penalty shall be added to the amount of the total bill rendered. SECTION III - GENERAL SERVICE OUTSIDE CITY LIMITS - G 2 (Residential and Small Commercial) A. APPLICABILITY Applicable for natural gas service to individual family dwellings and apartments, municipal and school buildings, and small individual commercial establishments whose physical .locat- ion is outside the corporate limits of the City of Fairhope. Service to more than one premises shall not be combined (unless served through one meter), nor shall it be shared with or resold to others. B. MONTHLY RATE First 300 cu.. ft. or less for $3.00, plus Next 1,000 cu.. ft. or less for $0.46 per 100 cu.ft.plu: Next 1,700 cu. ft. or less TV$0.36 " " ", plus Next: 7,000 cu.. ft. or less " $0.32 If ",plus Next 90,000 cu. ft. or less " $0.26 If ",plus All. over 100,000 cubic feet for' $0. 235 per feet. C. MINIMUM BILL The minimum monthly bill shall be $3.00 for all G 2 customers. D. RECONNECTION FEE A customer under G 2 who suspends service for seasonal reasons will. be charged a reconnection fee of $20.00. E. TAXES ThEt above rate is that charged by the City of Fairhope, and any additional charges levied by State or Federal authorities, such as the 4% Educational Tax, will be in addition to the above rate schedule. IWM Ifinutel Ity Council Meeting 4 ?6 June _ 8 age 5 F. PAYMENT Bi11s for service rendered hereunder are payable within ten (1.0) days from due date, and if not paid within such period, a five (5%) percent penalty shall be added to the total bill. SECTION IV - LARGE COMMERCIAL & INDUSTRIAL RATE (G 3 -- Inside, G 4 -- outside) A. APPLICABILITY Applicable to large commercial and industrial customers whose median monthly consumption is 100 Mcf or above on an inter- ruptable basis and is restricted to those establishments which heretofore have been served under commercial and special rates, and terminated constracts. Service to more than one premises shall. not be combined (unless served through one meter), nor shall it be shared with or resold to others. B. MONTHLY RATE First 20,000 cu. ft. or less for $60.00, plus Next 80,000 at $ 0.26 per .100 cu. ft, plus, Next 900,000 cu. ft. or less at $ 0.235 per 100 cu. ft., plus , All_.over 1,000,000 cu. ft. at rate $ 0.215 per 100 cu. feet. C. MINIMUM BILL Minimum monthly bill for G 3 & G 4 customers shall be $60.00. D . TAXES ThE! above rate is that charged by the City of Fairhope, and any additional charges levied by State or Federal authorities, such ast he 4% Educational Tax, will be in addition to the above schedule and related charges. E. DELIVERY PRESSURE Normal delivery pressure to the customer shall be deter- mined .by thE! pressure available in the City of Fairhope's mains at the customer's location and may be reduced, as necessary, by the City to comply with supplier and regulatory curtailment directives under the current Modified IV Catagory Plan. Where the customer's operational pressure requirements exceed the delivery pressure available at the customer's location, thus re- quiring the installation of increased compressor capacity, a -3- Minute ,_; .A City Council Meeting 26 June 1978 _ Page 6 pressure factor (corresponding to the psig) will be used to cal- culate actual monthly consumption of gas to be billed. F. DAILY OVERRUN PENALTY In the event that a Maximum Daily Quantity (MDQ) overrun penalty is levied against the City due, in part or in whole, to industrial delivery overruns, the industry will pay a daily over- run penalty of $1.00 per 100 cubic feet (Ccf) against all units in excess of the industry's established MDQ, in addition to the above schedule. G. PAYMENT Bills for services rendered hereunder are payable within ten (10) days from due date, and if not paid within such period, a five (5%) percent penalty will be added to the total amount billed. H. TERM OF CONTRACT Service under this G 3 & G 4 shall be for a minimum initial period of one (1) year, and thereafter from month to month until terminated by thirty (30),days written notice, or as .is specified in any existing contract for services. SECTION V - GRAND HOTEL NATURAL GAS RATE - G5 WHEREAS, the natural gas purchase rate of United Gas Pipe Line Company to the City of Fairhope, Alabama will be increased. i from $1.5506 per thousand cubic feet (Mcf) to $1.6390 per Mc.f, effective July 1, 1978; and WHEREAS, the 1950 service agreement between Fairhope and Grand Hotel in Paragraph Six allows wholesale purchase cost in- crease adjustments to the retail rate charged by the City of Fairhope to the Grand Hotel in Exhibit A of said contract; NOW, THEREFORE, the following natural gas rate will be levied for all gas sold to the Grand Hotel by the City of Fairhope, effective July 1, 1978, until subsequent wholesale increases or decreases by United Gas Pipe Line Company, or until November 9, 1978, the termination date of the now existing i contract with the Grand Hotel: -4- 1-Unutes o - City Council Meeting `- 26 June 1978 Page`'7 ^� ` xA First 300 cu. ft. or less for $2.39, plus Next 1,000 cu. ft. or less for $0.29 per 100 cu. ft,pl s Next 1,700 cu. ft. or less for $0.27 per 100 cu.ft.,pl s Next 17,000 cu. ft. or less for $0.22 per 100 cu.ft.,pl s Next 30,000 cu. ft. or less for $0.20 per 100 cu.ft.,pl s Next 200,000 cu. ft. or less for $0.189 per 100 cu.ft,pl Next 750,000 cu. ft. or less for $0.1789 " II It it, pl All over 1,000,000 cubic feet at $0.1759 per 100 cubic :=eet. TAXES: The above rate is that charged by the City of Fairhope and any additional charges levied by State or Federal authorities, such as the 4% Educational Tax, will be in addition to the above schedule and related charges. PAYMENT'.': Bills for service rendered hereunder are payable within ten (10) days from due date, and if not paid within such period, a five (5%) percent penalty shall be added to the amount of the total bill rendered. SECTIO14 VI - That if any part of. this Ordinance shall be ruled unConstitutional by any court of competent jurisdiction, then all other parts or sections herein shall remain in full force and effect. SECTION VII - Any and all Ordinances in conflict herewith be, and the same are hereby repealed. SECTION VIII - This Ordinance shall take effect July 1, 1978 after its due adoption and publication as required by law. ADOPTED THIS THE 26th day of June, 1978. ATTEST: _ \ ,�City Clerk TY OF FAIRHOPE p. Mayor