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EX-99.4 - EX-99.4 - ATMOS ENERGY CORPd209730dex994.htm
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EX-99.2 - EX-99.2 - ATMOS ENERGY CORPd209730dex992.htm
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Exhibit 99.5

20210215115542            

Kansas Corporation Commission

THE STATE CORPORATION COMMISSION

OF THE STATE OF KANSAS

 

Before Commissioners:    Andrew J. French, Chairperson
   Dwight D. Keen
   Susan K. Duffy

 

In the Matter of Record Natural Gas Prices and    )
Potential System Reliability Issues from    )     Docket No. 21-GIMX-303-MIS
Unprecedented and Sustained Cold Weather.    )

EMERGENCY ORDER

This matter comes before the State Corporation Commission of the State of Kansas (Commission) for consideration and decision. Having reviewed the pleadings and record, the Commission makes the following findings:

1.    On February 14, 2021, Governor Kelly issued an State of Disaster Emergency due to wind chill warnings and stress on utility and natural gas providers, noting that the current sub-zero temperatures are causing increased energy demand and natural gas supply constraints throughout Kansas, and utilities are currently experiencing wholesale natural gas price increase from 10 to 100 times higher than normal (the “2021 Winter Weather Event”). Those costs will eventually flow through to consumers through increases in monthly natural gas and electric bills. Additionally, Kansas utilities are facing potential reliability issues related to the prolonged arctic temperatures. Therefore, under these circumstances, the Commission, pursuant to K.S.A. 77-536(a), will exercise its powers to protect the public from immediate danger to health, safety, and welfare.

2.    In the public interest, the Commission has jurisdiction to regulate and oversee certain facets of service provided by natural gas public utilities and electric utilities operating in


the State, and is empowered to do certain things necessary and convenient to exercise its authority.1

3.    K.S.A. 77-536(a) provides State agencies with the authority to act when there is “an immediate danger to the public health, safety or welfare requiring immediate state agency action.” Pursuant to K.S.A. 77-536(a), the Commission directs all jurisdictional natural gas and electric utilities to coordinate efforts and take all reasonably feasible, lawful, and appropriate actions to ensure adequate transportation of natural gas and electricity to interconnected, non-jurisdictional Kansas utilities. Jurisdictional natural gas and electric utilities are ordered to do everything necessary to ensure natural gas and electricity service continues to be provided to their customers in Kansas.

4.    The Commission authorizes every jurisdictional electric and natural gas distribution utility that incurs extraordinary costs associated with ensuring that their customers or the customers of interconnected Kansas utilities that are non-jurisdictional to the Commission continue to receive utility service during this unprecedented cold weather event to defer those costs to a regulatory asset account. Such costs include but are not limited to the cost of procuring and transporting natural gas supplies for jurisdictional utility customers, costs associated with jurisdictional utilities coordinating and assisting non-jurisdictional utilities with the transportation of gas supplies2, and any other reasonable costs necessary to ensure stability and reliability of natural gas and electricity service. These deferred costs may also include carrying costs at the utility’s weighted average cost of capital. All deferred costs shall be segregated by detailed cost category and shall contain enough detail for the Commission to perform a subsequent review for prudence and reasonableness. This deferral is for accounting

 

1 

K.S.A. 66-1,201; K.S.A. 66-101.

2 

Nothing in this section is intended to require a jurisdictional utility to procure natural gas supplies for non-jurisdictional utilities.

 

2


purposes only. Any decisions related to ratepayer recovery will be addressed in future proceedings.

5.    Each utility bears the burden of proof that the costs described in paragraph 4: (1) would not have been incurred but for the 2021 Winter Weather Event, and (2) are just, reasonable, and necessary to provide utility services during this extraordinary event. Once this 2021 Winter Weather Event is over, and after all costs have been accumulated and recorded, each jurisdictional utility is directed to file a compliance report in this Docket detailing the extent of such costs incurred, and present a plan to minimize the financial impacts of this event on ratepayers over a reasonable time frame.

THEREFORE, THE COMMISSION ORDERS:

A.    All jurisdictional natural gas and electric utilities are directed to coordinate efforts and take all reasonably feasible, lawful, and appropriate actions to ensure adequate delivery of natural gas and electricity to interconnected, non-jurisdictional utilities in Kansas.

B.    Jurisdictional natural gas and electric utilities are ordered to do all things possible and necessary to ensure natural gas and electricity utility services continue to be provided to their customers in the State.

C.    Every electric and natural gas distribution utility that incurs extraordinary costs associated with ensuring its customers or the customers of interconnected Kansas utilities that are non-jurisdictional to the Commission continue to receive utility service during this unprecedented cold weather event is authorized to defer those costs to a regulatory asset account.

 

3


BY THE COMMISSION IT IS SO ORDERED.

French, Chairperson; Keen, Commissioner; Duffy, Commissioner

Dated:    02/15/2021

 

/s/ Lynn M. Retz

Lynn M. Retz
Executive Director

BGF

 

4


CERTIFICATE OF SERVICE

21-GIMX-303-MIS

I, the undersigned, certify that a true copy of the attached Order has been served to the following by means of electronic service on 02/15/2021.

 

MONTE PRICE    KENNETH R. SMITH, EXECUTIVE VP
AMARILLO NATURAL GAS COMPANY    AMERICAN ENERGIES GAS SERVICE, LLC
2915 I-40 WEST    915 ONE ENERGY SQUARE
AMARILLO, TX 79109    4925 GREENVILLE AVE STE 915
Fax: 806-352-3721    DALLAS, TX 75206
mwprice@anginc.net    Fax: 0—
   ksmith@trekresources.com
DAWN GRAFF, MIDSTREAM ACCOUNTING MANAGER    SHELLY M BASS, SENIOR ATTORNEY
ANADARKO NATURAL GAS COMPANY    ATMOS ENERGY CORPORATION
1099 18th Street    5430 LBJ FREEWAY
DENVER, CO 80202    1800 THREE LINCOLN CENTRE
dawn.graff@anadarko.com    DALLAS, TX 75240
   shelly.bass@atmosenergy.com
ATTN: GAS SERVICE CONTACT    ROB DANIEL, MGR. REG. & FINANCE
ATMOS ENERGY CORPORATION    BLACK HILLS/KANSAS GAS UTILITY COMPANY LLC
5420 LBJ FWY STE 1600 (75240)    D/B/A Black Hills Energy
P O BOX 650205    601 NORTH IOWA STREET
DALLAS, TX 75265-0205    LAWRENCE, KS 66044
jennifer.ries@atmosenergy.com    rob.daniel@blackhillscorp.com
ANN STICHLER, SNR. ANALYST-REG. & FINANCE    DARI DORNAN, ASSOCIATE GENERAL COUNSEL
BLACK HILLS/KANSAS GAS UTILITY COMPANY LLC    BLACK HILLS/KANSAS GAS UTILITY COMPANY, LLC
D/B/A Black Hills Energy    D/B/A BLACK HILLS ENERGY
2287 College Road    1731 Windhoek Drive
Council Bluffs, IA 51503    Lincoln, NE 68512
ann.stichler@blackhillscorp.com    dari.dornan@blackhillscorp.com
TOM STEVENS, DIRECTOR REGULATORY & FINANCE    SARAH MADDEN, OFFICE MANAGER
BLACK HILLS/KANSAS GAS UTILITY COMPANY, LLC    BUTLER RURAL ELECTRIC COOPERATIVE ASSN., INC.
D/B/A BLACK HILLS ENERGY    D/B/A VELOCITY
655 EAST MILLSAP DRIVE    216 S VINE ST
FAYETTEVILLE, AR 72703    PO BOX 1242
tom.stevens@blackhillscorp.com    ELDORADO, KS 67042
   Fax: 316-321-9980
   smadden@butler.coop


CERTIFICATE OF SERVICE

 

21-GIMX-303-MIS
JOSEPH R. ASTRAB, ATTORNEY    TODD E. LOVE, ATTORNEY
CITIZENS’ UTILITY RATEPAYER BOARD    CITIZENS’ UTILITY RATEPAYER BOARD
1500 SW ARROWHEAD RD    1500 SW ARROWHEAD RD
TOPEKA, KS 66604    TOPEKA, KS 66604
Fax: 785-271-3116    Fax: 785-271-3116
j.astrab@curb.kansas.gov    t.love@curb.kansas.gov
DAVID W. NICKEL, CONSUMER COUNSEL    SHONDA RABB
CITIZENS’ UTILITY RATEPAYER BOARD    CITIZENS’ UTILITY RATEPAYER BOARD
1500 SW ARROWHEAD RD    1500 SW ARROWHEAD RD
TOPEKA, KS 66604    TOPEKA, KS 66604
Fax: 785-271-3116    Fax: 785-271-3116
d.nickel@curb.kansas.gov    s.rabb@curb.kansas.gov
DELLA SMITH    SHERI RICHARD, DIRECTOR, RATES AND REGULATORY
CITIZENS’ UTILITY RATEPAYER BOARD    AFFAIRS
1500 SW ARROWHEAD RD    EMPIRE DISTRICT ELECTRIC COMPANY
TOPEKA, KS 66604    602 S JOPLIN AVENUE
Fax: 785-271-3116    PO BOX 127
d.smith@curb.kansas.gov    JOPLIN, MO 64802
   Fax: 417-625-5169
   sheri.richard@libertyutilities.com
KELLY WALTERS, VICE-PRESIDENT    CATHRYN J. DINGES, CORPORATE COUNSEL
EMPIRE DISTRICT INDUSTRIES, INC.    EVERGY KANSAS CENTRAL, INC
602 JOPLIN    818 S KANSAS AVE
PO BOX 127    PO BOX 889
JOPLIN, MO 64802-0127    TOPEKA, KS 66601-0889
Fax: 417-625-5173    Fax: 785-575-8136
kwalters@empiredistrict.com    cathy.dinges@evergy.com
LARRY WILKUS, DIRECTOR, RETAIL RATES    ROBERT J. HACK, LEAD REGULATORY COUNSEL
EVERGY KANSAS CENTRAL, INC    EVERGY METRO, INC
FLOOR#10    D/B/A EVERGY KANSAS METRO
818 S KANSAS AVE    One Kansas City Place
TOPEKA, KS 66601-0889    1200 Main St., 19th Floor
larry.wilkus@evergy.com    Kansas City, MO 64105
   Fax: 816-556-2787
   rob.hack@evergy.com
KIRK HEGER, PRESIDENT    MARK DOTY
FREEDOM PIPELINE, LLC    GLEASON & DOTY CHTD
PO BOX 100    401 S MAIN ST STE 10
HUGOTON, KS 67951    PO BOX 490
ag1stkh@pld.com    OTTAWA, KS 66067-0490
   Fax: 785-842-6800
   doty.mark@gmail.com


CERTIFICATE OF SERVICE

 

21-GIMX-303-MIS
THOMAS E. GLEASON, JR., ATTORNEY    COLLEEN JAMISON
GLEASON & DOTY CHTD    JAMISON LAW, LLC
PO BOX 6    P O BOX 128
LAWRENCE, KS 66044    TECUMSEH, KS 66542
Fax: 785-856-6800    colleen.jamison@jamisonlaw.legal
gleason@sunflower.com   
COLE BAILEY, LITIGATION COUNSEL    BRIAN G. FEDOTIN, GENERAL COUNSEL
KANSAS CORPORATION COMMISSION    KANSAS CORPORATION COMMISSION
1500 SW ARROWHEAD RD    1500 SW ARROWHEAD RD
TOPEKA, KS 66604    TOPEKA, KS 66604
Fax: 785-271-3354    Fax: 785-271-3354
c.bailey@kcc.ks.gov    b.fedotin@kcc.ks.gov
TERRI PEMBERTON, CHIEF LITIGATION COUNSEL    MARK DOLJAC, DIR RATES AND REGULATION
KANSAS CORPORATION COMMISSION    KANSAS ELECTRIC POWER CO-OP, INC.
1500 SW ARROWHEAD RD    600 SW CORPORATE VIEW
TOPEKA, KS 66604    PO BOX 4877
Fax: 785-271-3354    TOPEKA, KS 66604-0877
t.pemberton@kcc.ks.gov    Fax: 785-271-4888
   mdoljac@kepco.org
JANET BUCHANAN, DIRECTOR-REGULATORY AFFAIRS    JUDY JENKINS HITCHYE, MANAGING ATTORNEY
KANSAS GAS SERVICE, A DIVISION OF ONE GAS, INC.    KANSAS GAS SERVICE, A DIVISION OF ONE GAS, INC.
7421 W 129TH ST    7421 W 129TH ST
OVERLAND PARK, KS 66213-2713    OVERLAND PARK, KS 66213-2713
Fax: 913-319-8622    Fax: 913-319-8622
janet.buchanan@onegas.com    judy.jenkins@onegas.com
JAMES FLAHERTY, ANDERSON BYRD    JAMES BRUNGARDT, MANAGER, REGULATORY
LIBERTY UTILITIES CORP    RELATIONS
P.O. BOX 17    MID-KANSAS ELECTRIC COMPANY, LLC
OTTAWA, KS 66067    301 W 13TH ST
jflaherty@andersonbyrd.com    PO BOX 980
   HAYS, KS 67601
   Fax: 785-623-3395
   jbrungardt@sunflower.net
TOM MEIS, VICE PRESIDENT FINANCE, CFO    STEPHEN J. EPPERSON, CEO
MIDWEST ENERGY, INC.    PIONEER ELECTRIC COOP. ASSN., INC.
1330 CANTERBURY DRIVE    1850 W OKLAHOMA
PO BOX 898    PO BOX 368
HAYS, KS 67601-0898    ULYSSES, KS 67880-0368
Fax: 785-625-1494    Fax: 620-356-4306
tmeis@mwenergy.com    sepperson@pioneerelectric.coop


CERTIFICATE OF SERVICE

 

21-GIMX-303-MIS
KIRK A. GIRARD, ASSISTANT CEO    RANDY MAGNISON, EXEC VP & ASST CEO
PRAIRIE LAND ELECTRIC COOPERATIVE, INC.    SOUTHERN PIONEER ELECTRIC COMPANY
14935 US HWY 36    1850 W OKLAHOMA
PO BOX 360    PO BOX 430
NORTON, KS 67654-0360    ULYSSES, KS 67880-0368
Fax: 785-877-3572    Fax: 620-356-4306
kgirard@ple.coop    rmagnison@pioneerelectric.coop
THOMAS K. HESTERMANN, MANAGER, REGULATORY    SHANE LAWS, CEO
RELATIONS    VICTORY ELECTRIC COOPERATIVE ASSN., INC.
SUNFLOWER ELECTRIC POWER CORPORATION    3230 N 14TH ST
301 W. 13TH    PO BOX 1335
PO BOX 1020    DODGE CITY, KS 67801-1335
HAYS, KS 67601-1020    Fax: 620-227-8819
Fax: 785-623-3373    shane@victoryelectric.net
tkhestermann@sunflower.net   
THOMAS RUTH, GENERAL MANAGER    BRUCE MUELLER, CEO
WESTERN COOPERATIVE ELECTRIC ASSN., INC.    WHEATLAND ELECTRIC COOPERATIVE
635 S 13TH ST    D/B/A Wheatland Broadband Services
PO BOX 278    101 SOUTH MAIN STREET
WAKEENEY, KS 67672-0278    P.O. BOX 230
Fax: 785-743-2717    SCOTT CITY, KS 67871
tomr@westerncoop.com    Fax: 620-872-7170
   bmueller@weci.net
JOEL D. BRYAN, DIRECTOR OF FINANCE   
WHEATLAND ELECTRIC COOPERATIVE, INC.   
101 MAIN ST   
PO BOX 230   
SCOTT CITY, KS 67871-0230   
Fax: 620-872-7170   
electric@weci.net   

 

/S/ DeeAnn Shupe

DeeAnn Shupe