Item 7: Draft Resolution for Establishment of Community Benefit Charge for Texas Gas Service — original pdf

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DRAFT RESOLUTION FOR ESTABLISHMENT OF COMMUNITY BENEFIT CHARGE FOR TEXAS GAS SERVICE WHEREAS, Texas Gas Service and the other gas utilities that serve Austin have no effective plan for use of low-carbon fuel; and WHEREAS, many types of biogenic gas such derived from landfills and composting are not cost-effective compared to current gas prices for utility use, and serve as a diversion to pursue other gas alternatives; and WHEREAS, Research & Development are necessary to create “solar fuel” alternatives derived from wind and solar energy; and WHEREAS, there are gas utilities currently making R&D investments in low-carbon alternatives; and WHEREAS, Texas Gas Service and the other gas utilities that serve Austin are not spending the amounts of money necessary to assist a substantial number of low- income customers with their bills; and WHEREAS, Austin Energy and Austin Water spend substantial amounts of money to provide equity in utility costs; and WHEREAS, equity in utility costs is one on the City of Austin’s core community values, and WHEREAS, Austin Energy has a Community Benefit Charge that includes clean energy funding as well as low-income assistance; THEN BE IT RESOLVED, that the Resource Management Commission make the following recommendations to the Austin City Council. 1. The City of Austin, as Texas Gas Service’s primary regulator within the city limits, establish a Community Benefit Charge for the gas company that funds cost- effective energy-efficiency programs, R&D for solar fuels; and customer assistance to income-qualified low-income customers. 2. Some of the money saved by elimination of funding for Residential energy- efficiency programs that are not cost effective be used to fund this Community Benefit Charge; and a similar Charge for Commercial and Industrial customers be established. 3. The City of Austin should begin the process of establishing a Community Benefit Charge for its customers of the other gas utilities that serve the Austin city limits, as well as identifying appropriate programs that will be funded in their service areas. 4. The City’s Office of Sustainability or Austin Energy’s Technology office will direct the expenditure of solar fuel R&D funds collected though this Charge. 5. Texas Gas Service will coordinate with the managers of Austin Energy’s Customer Assistance Program to reduce administrative costs and duplication of efforts for its bill assistance program. 6. The Community Benefit Charge will be funded by a one-year tariff that is annually approved by City Council.