Atmos ratepayers can expect a small, one-time credit on the gas bill next month, a credit meant to settle some of the savings that followed the 2017 corporate tax cut.
Atmos Energy Corp.’s Mid-Texas Division sent a letter to cities across North Texas last week to tell them about its planned distribution of about $5.2 million in tax savings. Residential ratepayers can expect a $4.08 credit with their February bill; and most businesses, a $12.92 credit.
The savings was made possible by the Tax Cuts and Jobs Act of 2017. When the act went into effect on Jan. 1, 2018, it lowered the federal corporate tax rate from 35 percent to 21 percent for Atmos.
By March 15, Atmos had decreased the base rate it charges customers to reflect the savings coming with that new, lower tax rate.
To pass on the savings that occurred from Jan. 1 through March 14, Atmos officials said they calculated the refund based on customer gas service charges during that time frame.
In the notification letter, Atmos said the refund and rate change were made possible by the collaborative rate review mechanism it has with those cities participating in the Atmos Cities Steering Committee. Denton is a member of that committee.
Atmos is regulated by the Texas Railroad Commission, the misnamed state agency that oversees the oil and gas industry in Texas, including natural gas utility companies.
Atmos ratepayers should see the credit on bills mailed beginning Feb. 1, company spokeswoman Celina Cardenas said.