Section
General Provisions
51.01 Definitions
51.02 Conditions to provision of gas service
51.03 Connection permit required; tap-on fees
51.04 Reconnection after voluntary turn-off; fee
51.05 Reconnection of meter; fee
51.06 Requirements and fees for gas tap and extensions for subdivision and private developments; rebate policy
Service Rate Schedules
51.20 General rate
51.21 Heat rate
51.22 High load rate
51.23 Interruptible industrial service
51.24 Interruptible industrial service with standby
51.25 Firm industrial service
51.26 Interruptible fixed price service
51.27 Curtailment notice and charge for failure to obey
51.28 Adjustment for increase in rate
51.29 Overcharges and undercharges; adjustment of errors in billing
GENERAL PROVISIONS
§ 51.01 DEFINITIONS.
For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
DWELLING UNIT. Each dwelling unit in an apartment house shall be considered as a separate customer and shall be separately metered, except when the apartment house is centrally heated.
FACILITY CHARGE. The facility charge shall be charged to each account monthly. The base rate and commodity rate shall be charged in addition to the facility charge.
GAS PIPING. The gas pipe from the gas meter outlet to the gas burning appliance, apparatus or fixture.
MCF. One mcf is 1,000 cubic feet of gas at standard temperature and pressure.
SERVICE LINE. The gas pipe from the city’s main to the meter location.
SYSTEM or GAS SYSTEM. The natural gas distribution system of the city.
(Prior Code, § 51.01) (Ord. passed 4-1-1957; Ord. 18-2003, passed 6-23-2003; Ord. 11-2012, passed 6-18-2012)
§ 51.02 CONDITIONS TO PROVISION OF GAS SERVICE.
The city shall provide gas and gas service to any potential consumer who may apply for service; provided that, the demand for gas by the potential consumer can be supplied by the gas system; and, provided further that, the revenues to be derived from supplying the potential consumer with gas and gas service justify the cost to the city of extending the gas and gas service to the consumer.
(Prior Code, § 51.02) (Ord. passed 4-1-1957; Ord. 27-2018, passed 9-17-2018)
§ 51.03 CONNECTION PERMIT REQUIRED; TAP-ON FEES.
(A) At or before the time of any initial connection of any premises to the gas system, the owner or occupant of the premises shall be required to pay a connection fee and deposit. The owner or occupant of the premises shall be required to pay me cost of installing that part of the service line from the curb or property line to the meter and regulator location. No such service line shall be installed until the owner or occupant of the premises has paid the connection fee to the city covering such installation. All service lines shall be installed in accordance with the codes containing the requirements for installing same and which codes will be available at the City Hall. The applicable codes hereby (and as otherwise provided) adopted by reference are the most current additions of the following codes: National Fuel Gas Code (NFPA 54); Pipeline Safety Regulations; 49 C.F.R., Kentucky Standards of Safety (Fire Prevention Code); National Fire Code (National Fire Protection Association); and the city’s Plans and Specifications for Gas Service Piping Installations. The installation, construction, reconstruction and repair of all gas piping, service lines, gas appliances, fixtures and apparatus, now or hereafter to be placed on or in any manner directly attached to any premises served by the gas system shall be inspected and approved by the city before any gas is turned into any service line on the premises.
(B) Tapping or connection fees for gas service for customers located inside the city as well as those who live outside the city shall be set by ordinance passed by City Council from time to time and kept on file in the office of the City Clerk for public inspection.
(C) All connections to the gas system and the installation, construction, reconstruction and repair of gas piping, service lines, gas appliances, fixtures and apparatus shall be made under such other regulations as the City Council may prescribe by ordinance.
(Prior Code, § 51.03) (Ord. passed 4-1-1957; Ord. passed 4-3-1972; Ord. passed 5-20-1985; Ord. 27-2018, passed 9-17-2018)
§ 51.04 RECONNECTION AFTER VOLUNTARY TURN-OFF; FEE.
In the event the owner or occupant of any residential, commercial and industrial establishment, or other property, building or structure of any kind, connected with, or serviced by the natural gas system shall request that service be cut off or discontinued, there is hereby established a turn-on fee of $50, which shall be paid before service is resumed to the property previously cut off or discontinued, and shall be in addition to deposits now required.
(Prior Code, § 51.04) (Ord. passed 4-20-1959; Ord. 11-2012, passed 6-18-2012; Ord. 27-2018, passed 9-17-2018)
§ 51.05 RECONNECTION OF METER; FEE.
In the event the owner or occupant of any property as set out in § 51.04 of this chapter shall cause the gas meter to be removed, there is hereby established a meter hook-up fee of $50 which shall be paid before the meter is reconnected to the property, which fee shall be in addition to deposits now required.
(Prior Code, § 51.05) (Ord. passed 4-20-1959; Ord. 11-2012, passed 6-18-2012)
§ 51.06 REQUIREMENTS AND FEES FOR GAS TAP AND EXTENSIONS FOR SUBDIVISION AND PRIVATE DEVELOPMENTS; REBATE POLICY.
(A) Inside city limits.
(1) A tap fee shall be paid for each service. The tap fee shall be determined annually by the city’s Finance Department based upon material, labor and equipment costs.
(2) Developers of subdivisions and private developments shall pay the city for all mainline extensions necessary to install lines to and/or within the development. The charge for extensions shall be based upon costs determined by the city’s Finance Department annually and shall be charged per foot of line installed by the city or its contractor. All payments for extensions shall be made to the city according to signed contract before constructions shall begin.
(3) Rebates shall be refunded once each year to the developer or owner utilizing tap fees paid over a ten-year period. The rebate shall not exceed the extension contract amount.
(B) Outside city limits.
(1) A tap fee shall be paid for each service. The tap fee shall be determined annually by the city’s Finance Department based upon materials, labor and equipment costs.
(2) Developers of subdivisions and private developments shall pay the city for all mainline extensions necessary to install lines to and/or within the development. The charge shall be determined and set annually by the city’s Finance Department and shall be charged per foot of line installed by the city of its contractor. All payments for extensions shall be made to the city according to signed contract before construction shall begin.
(3) Rebates shall be refunded once each year to the developer or owner utilizing tap fees paid over a ten-year period. The rebate shall not exceed the extension contract amount.
(Prior Code, § 51.06) (Ord 18-1990, passed 6-4-1990; Ord. 21-2004, passed 10-4-2004; Ord. 27-2018, passed 9-17-2018)
SERVICE RATE SCHEDULES
§ 51.20 GENERAL RATE.
(A) Rates. The general rate shall be charged to any customer not qualifying for any other rate schedule. The rate shall consist of a facility charge, base rate and commodity rate. The facility charge and base rate shall be established in relation to costs of service, maintenance, debt service and other operational costs. The commodity rate shall be determined based upon the monthly cost of gas supply.
(1) Facility charge: $6;
(2) Base rate: $1.60 per mcf; and
(3) Commodity rate: (cost of gas + interstate fuel and transport charges + loss/unaccounted for) per mcf.
(B) Deposit. A deposit of $100 will be required for each residential user and a deposit of $100 for each business or commercial user. At the termination of the service, once all outstanding balances are settled, any deposit remaining will be refunded.
(C) Terms of payment. All bills are due and payable by the due date printed on the bill. If not paid by the due date, a 10% penalty shall apply. Bills not paid within ten days after the due date are subject to termination of service without further notice.
(Prior Code, § 51.15) (Ord. passed 1-19-1970; Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord. 18-2003, passed 6-23-2003; Ord. 11-2012, passed 6-18-2012; Ord. 27-2018, passed 9-17-2018)
§ 51.21 HEAT RATE.
(A) Rates. The heat rate shall be charged to any customer utilizing service for space heating purposes only:
(1) Facility charge: $6;
(2) Base rate: $2 per mcf; and
(3) Commodity rate: (cost of gas + interstate fuel and transport charges + loss/unaccounted for) per mcf.
(B) Deposit. A deposit of $100 will be required for each residential user and a deposit of $100 for each business or commercial user. At the termination of the service, once all outstanding balances are settled, any deposit remaining will be refunded.
(C) Terms of payment. All bills are due and payable by the due date printed on the bill. If not paid by the due date, a 10% penalty shall apply. Bills not paid within ten days after the due date are subject to termination of service without further notice.
(Prior Code, § 51.16) (Ord. passed 1-19-1970; Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord 18-2003, passed 6-23-2003; Ord. 11-2012, passed 6-18-2012; Ord. 27-2018, passed 9-17-2018)
§ 51.22 HIGH LOAD RATE.
The high load rate is available to customers whose use of gas during the month of least consumption is at least 50% of the use of gas during the month of greatest consumption. High load rate customers may be subject to curtailment under the provisions in § 51.27 of this chapter. Such curtailment shall be based upon end use priority standards.
(A) Rates.
(1) Facility charge: $25;
(2) Base rate: $1.35 per mcf; and
(3) Commodity rate: (cost of gas + interstate fuel and transport charges + loss/unaccounted for) per mcf.
(B) Deposit. A deposit of $100 will be required on all service of this classification. The city, at its sole discretion, reserves the right to exempt from this requirement any person, firm or corporation, who can furnish a satisfactory and acceptable credit rating or experience. At the termination of the service, once all outstanding balances are settled, any deposit remaining will be refunded.
(C) Terms of payment. All bills are due and payable by the due date printed on the bill. If not paid by the due date, a 10% penalty shall apply. Bills not paid within ten days after the due date are subject to termination of service without further notice.
(Prior Code, § 51.17) (Ord. passed 1-19-1970; Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord. 18-2003, passed 6-23-2003; Ord. 11-2012, passed 6-18-2012; Ord. 27-2018, passed 9-17-2018)
§ 51.23 INTERRUPTIBLE INDUSTRIAL SERVICE.
(A) General. Based upon available supplies and system capacity, interruptible industrial service may be offered to commercial/industrial customers whose use of gas is principally for process purposes, and where space heating is incidental. The city reserves the right to deny this service at any time when, in the city’s opinion, the gas system lacks capacity and/or supplies at the point of service or when this interruptible service would conflict with priority services being rendered. All sales shall comply with the city’s administrative and operational policies and Federal Energy Regulatory Commission requirements. Under this rate schedule, the customer shall adhere to all terms of § 51.27 of this chapter. This service provides natural gas supplies at monthly market prices.
(B) Rates.
(1) Facility charge: $125;
(2) Base rate: $0.75 per mcf;
(3) Commodity rate: (cost of gas + interstate fuel and transport charges) per mcf.
(Prior Code, § 51.18) (Ord. passed 1-19-1970; Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord. 18-2003, passed 6-23-2003; Ord. 38-2007, passed 11-19-2007; Ord. 11-2012, passed 6-18-2012)
§ 51.24 INTERRUPTIBLE INDUSTRIAL SERVICE WITH STANDBY.
(A) General. Interruptible industrial service with standby under this rate schedule may be offered to a commercial/industrial customer who has standby fuel capability for curtailment periods. All sales shall comply with the city’s administrative and operational policies and Federal Energy Regulatory Commission requirements. The city shall interrupt this service at any time when, in the city’s opinion, the gas system lacks capacity and/or supplies at the point of service or when the interruptible service would conflict with other services being rendered. The customer shall adhere to all terms of § 51.27 of this chapter. This service provides natural gas supplies at monthly market prices.
(B) Rates.
(1) Facility charge: $125;
(2) Base rate: $0.55 per mcf; and
(3) Commodity rate: (cost of gas + interstate fuel and transport charges) per mcf.
(Prior Code, § 51.19) (Ord. passed 1-19-1970; Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord. 18-2003, passed 6-23-2003; Ord. 38-2007, passed 11-19-2007; Ord. 11-2012, passed 6-18-2012)
§ 51.25 FIRM INDUSTRIAL SERVICE.
(A) General. Based upon available supplies and system capacity, firm industrial service may be offered by contract to commercial/industrial customers whose use of gas is principally for process purposes and where space heating is incidental. The city reserves the right to deny this service at any time when, in the city’s opinion, the gas system lacks capacity and/or supplies at the point of service or when this firm service would conflict with higher priority services being rendered. All sales shall comply with the city’s administrative and operational policies and Federal Energy Regulatory Commission requirements. Under this rate schedule, the customer shall adhere to all terms of the contract and § 51.27 of this chapter. This service provides natural gas supplies at monthly market prices. Contracts shall be required between the firm industrial service customer and the city for any fixed price purchase agreements. These contracts shall be determined on a specific and short term basis at the discretion of the city.
(B) Rates.
(1) Facility charge: $125;
(2) Base rate: $0.95 per mcf; and
(3) Commodity rate: (cost of gas + interstate fuel and transport charges) per mcf.
(Prior Code, § 51.20) (Ord. passed 11-2-1987; Ord. 9-1988, passed 3-21-1988; Ord. 18-2003, passed 6-23-2003; Ord. 38-2007, passed 11-19-2007; Ord. 11-2012, passed 6-18-2012)
§ 51.26 INTERRUPTIBLE FIXED PRICE SERVICE.
(A) General. Interruptible fixed price service under this rate schedule may be offered by contract to commercial/industrial customers who have contracted for a fixed rate of gas from the city’s supplier for up to six months. Volumes to be transported shall comply with the city’s administrative and operational polices and Federal Energy Regulatory Commission requirements. The city reserves the right to deny this service at any time when, in the city’s opinion, the gas system lacks capacity at the point of service or when this interruptible service would conflict with other services being rendered. The customer shall adhere to all terms of the contract and § 51.27 of this chapter. The customer shall be responsible for all contractual charges including balancing expenses, city operational costs and administrative fees.
(B) Rates.
(1) Facility charge: $125; and
(2) Base rate: $0.95 per mcf.
(Prior Code, § 51.21) (Ord. 38-2007, passed 11-19-2007; Ord. 11-2012, passed 6-18-2012)
§ 51.27 CURTAILMENT NOTICE AND CHARGE FOR FAILURE TO OBEY.
(A) Whenever curtailment or interruption of gas delivered hereunder is required, the city shall issue a curtailment order to customers affected, specifying the quantity of gas to be curtailed and the time at which such curtailment is to be made. When restoration of service is permissible, the city shall similarly issue a restoration order specifying the quantity of gas to be restored and the time at which such restoration is to be made therein. A curtailment order shall be issued at least one hour in advance of the effective time.
(B) (1) If customer fails to comply with a curtailment order calling for curtailment or interruption and should the city not fully sever service, then for each such failure to comply by the customer shall be deemed to have created a “firm demand” equal to the full volume of gas taken between the effective time of such curtailment order and the effective time of the next succeeding restoration order. If the period of time between the effective time of such curtailment order and the effective time of the next succeeding restoration order exceeds 24 hours, the demand so created shall be the largest volume of gas taken in any continuous 24-hour period while the curtailment order is in effect. Each “firm demand” so created shall be billed to the customer at the rate of $15 per month per 1,000 cubic feet for a period of 12 months beginning with the month of which such demand was created.
(2) The city, at its discretion, may waive demand created hereunder for minor violations or curtailment order.
(Prior Code, § 51.22) (Ord. passed 4-1-1957; Ord. passed 3-17-1975; Ord. 9-1988, passed 3-21-1988; Ord. passed 11-22-1993; Ord. 18-2003, passed 6-23-2003; Ord. 38-2007, passed 11-19-2007; Ord. 11-2012, passed 6-18-2012)
§ 51.28 ADJUSTMENT FOR INCREASES IN RATE.
The rate schedules adopted herein are based upon operational costs and commodity costs (cost of gas). Adjustments to the monthly rate schedule will be made by the city to include the effect of commodity increases or decreases, and such adjustments shall automatically become part of the applicable rate schedule.
(Prior Code, § 51.23) (Ord. passed 1-3-1977; Ord. 18-2003, passed 6-23-2003; Ord. 38-2007, passed 11-19-2007)
§ 51.29 OVERCHARGES AND UNDERCHARGES; ADJUSTMENT OF ERRORS IN BILLING.
Where the city has supplied natural gas to a customer, if it shall be found that at any time or times the customer has been overcharged or undercharged in any form whatsoever under the provisions for rates and charges for the use and services rendered by the natural gas distribution system of the city and if the customer shall have actually paid the bills containing the overcharge or undercharge, then within 30 days after the final determination thereof, the city shall refund the amount of any the overcharge and the customer shall pay the amount of any such undercharge. In the event an error is discovered in the amount billed any statement rendered by the city, the error shall be adjusted within 30 days of the determination thereof; provided that, claim therefore shall have been made within 30 days from the date of discovery of the error, but in any event, within 12 months from the date of payment.
(Prior Code, § 51.24) (Ord. passed 1-3-1977; Ord. 38-2007, passed 11-19-2007; Ord. 27-2018, passed 9-17-2018)
