Arkansas Public Service Commission Tariff ("TF") Docket Summary Cover Sheet

Arkansas
PublicPM:
Service
Commission
APSC FILED Time:
7/28/2014 2:31:01
Recvd 7/28/2014
2:24:59 PM: Docket 14-063-tf-Doc. 1
Tariff ("TF") Docket Summary Cover Sheet
Must be filed with each new TF docket filed at the Commission
STYLE OF DOCKET: (Style may be changed by Secretary of Commission)
In the Matter of the Application of Arkansas Oklahoma Gas Corporation for
Approval of a Change in its Cost of Gas Adjustment Clause
DOCKET DESIGNATOR:
TF
LAST RATE CASE DOCKET:
Docket Number:
14-______-TF
13-078-U
Does this change company name:
Yes
No
RELATED DOCKETS:
PETITIONER:
Arkansas Oklahoma Gas Corporation
ATTORNEY(S;)NAME, ADDRESS,PHONE,FAX AND E-MAIL
Shannon Mirus
P.O. Box 2414
Fort Smith, AR 72902-2414
Phone: (479) 783-3181, ext. 2212
Fax: (479) 784-2095
Email: smirus@aogc.com
Write a brief statement, limited to the space provided herein describing the case that you are filing. Please provide
enough information to assure that the nature of your docket is clear.
Arkansas Oklahoma Gas Corporation is seeking approval of a change to its Cost of Gas Adjustment Clause as it relates
to natural gas purchased for Company-owned NGV facilities.
Pursuant to Rule 2.03(b), of the Commission's Rules of Practice and Procedure, please provide name, address,
phone, fax, e-mail of at least one person, but not more than two, to appear on the Service List for this docket
Shannon Mirus, smirus@aogc.com
Kim R. Linam, klinam@aogc.com
P.O. Box 2414, Fort Smith, AR 72902-2414
P.O. Box 2414, Fort Smith, AR 72902-2414
Phone: (479) 783-3181, ext. 2212
Phone: (479) 783-3181, ext. 2293
Fax: (479) 784-2095
Fax: (479) 784-2095
1. Number of customers by class affected by this tariff change: 2 Company-owned NGV
facilities
2. Company's current authorized retail revenue requirement: $25,869,733
3. Estimated annual retail revenue impact if proposal is approved, both in dollars and as a
percentage of current retail revenue requirement: None
4. Estimated monthly impact on an average residential customer in both dollars and
percentage increase: None.
5. Proposed effective date: August 1, 2014
Form completed by: Shannon Mirus
Date: July 28, 2014
Representing: Arkansas Oklahoma Gas Corporation
APSC FILED Time: 7/28/2014 2:31:01 PM: Recvd 7/28/2014 2:24:59 PM: Docket 14-063-tf-Doc. 1
BEFORE THE
ARKANSAS PUBLIC SERVICE COMMISSION
IN THE MATTER OF THE APPLICATION OF
ARKANSAS OKLAHOMA GAS CORPORATION
FOR APPROVAL OF A CHANGE IN ITS
COST OF GAS ADJUSTMENT CLAUSE
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Docket No. 14-
-TF
APPLICATION OF ARKANSAS OKLAHOMA GAS CORPORATION FOR
APPROVAL OF A CHANGE IN ITS COST OF GAS ADJUSTMENT CLAUSE
COMES NOW Arkansas Oklahoma Gas Corporation (“AOG” or “Company”) and requests the
Arkansas Public Service Commission (“Commission”) approve AOG’s proposed change to its Cost of
Gas Adjustment Clause (“COG”). In support of its Application, the Company states as follows:
1. AOG operates two Company-owned natural gas vehicle (“NGV”) facilities which sell
compressed natural gas (“CNG”) to the public. The rate charged to customers at the NGV
facilities is calculated based on the provisions of the Company’s NGV Tariff and COG as
approved in Docket No. 13-078-U.
2. AOG seeks to modify its COG by adding a definition for “Cost of Gas Provided to Companyowned NGV Facilities” and by clarifying the definition of “System Supply Customers” to
exclude deliveries of natural gas to Company-owned NGV facilities. This modification will
not impact the methodology for determining System Supply Customers’ cost of gas as
approved in Docket No. 13-078-U, nor will the proposed modification impact non-gas
revenues for the Company. The modifications, however, will allow for the cost of gas for
Company-owned NGV facilities to reflect the unique characteristics of those facilities’ supply
needs.
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APSC FILED Time: 7/28/2014 2:31:01 PM: Recvd 7/28/2014 2:24:59 PM: Docket 14-063-tf-Doc. 1
3. The CNG market in Arkansas is in its infancy, but has seen significant growth in the Fort
Smith region. With the objective to facilitate further development of the CNG market, local
natural gas suppliers have indicated an interest in offering a dedicated supply for CNG
fueling stations. Taking advantage of these supplies will reduce unnecessary financial
burdens on the delivered price of CNG by obtaining supplies specifically dedicated to the
Company-owned NGV facilities.
4. AOG is seeking an expedited order from the Commission to allow immediate
implementation of the proposed COG changes to facilitate appropriate commodity pricing in
the local CNG market. AOG acknowledges that the General Staff of the Commission may
continue its investigation of the proposed changes and that the rate will be implemented
subject to refund. Arkansas Code Annotated § 23-4-403 provides the authority for the
Commission to allow changes in rates without requiring thirty (30) days’ notice for good
cause shown.
5. As detailed in the testimony and exhibits of Ms. Kim R. Linam, AOG’s proposed changes to its
COG will benefit the growing NGV and CNG market and will have no impact on the cost of
gas for AOG’s System Supply Customers. Therefore, AOG believes it is in all its customers’
best interests to amend the COG to allow for a dedicated natural gas supply for Companyowned NGV facilities.
WHEREFORE, for the reasons stated herein, AOG hereby requests that the Commission issue an
expedited order, as allowed by Arkansas Code Annotated § 23-4-403, approving the Company’s
Application for approval of a change in its Cost of Gas Adjustment Clause, and for all other
appropriate relief.
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APSC FILED Time: 7/28/2014 2:31:01 PM: Recvd 7/28/2014 2:24:59 PM: Docket 14-063-tf-Doc. 1
Respectfully submitted,
ARKANSAS OKLAHOMA GAS CORPORATION
By: /s/ Shannon Mirus
Shannon Mirus, ABA No. 2007265
Senior Vice President – General Counsel
Arkansas Oklahoma Gas Corporation
P.O. Box 2414
Fort Smith, AR 72902-2414
Phone: (479) 783-3181, ext. 2212
Fax: (479) 784-2095
Email: smirus@aogc.com
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APSC FILED Time: 7/28/2014 2:31:01 PM: Recvd 7/28/2014 2:24:59 PM: Docket 14-063-tf-Doc. 1
CERTIFICATE OF SERVICE
I, Shannon Mirus, do hereby certify that a copy of the foregoing Direct Testimony and Direct
Exhibits of Kim R. Linam have been served on the following persons, via electronic mail, on this 28th
day of July, 2014.
Mr. John P. Bethel
Executive Director
Arkansas Public Service Commission
john_bethel@psc.state.ar.us.
Mr. Robert Booth
Manager – Gas & Water Section
Arkansas Public Service Commission
robert_booth@psc.state.ar.us.
By: /s/ Shannon Mirus
Shannon Mirus, ABA No. 2007265
Arkansas Oklahoma Gas Corporation
Senior Vice President-General Counsel
P. O. Box 2414
Fort Smith, AR 72902-2414
T: 479/783-3181, Extension 2212
F: 479/784-2095
E: smirus@aogc.com
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