Large Primary Service -Special Contract Rider

Definitions:
FULL REQUIREMENTS service means generation, transmission, and distribution, (i.e., "bundled") service as presently supplied by City of Austin (sometimes referred to as City) to customer; provided, however, that the customer may self-generate up to 20 kW of its requirements from customer-owned, on-site renewable energy technology, subject to the terms and condition of the City of Austin's Distributed Generation from Renewable Sources Rider.

BEST OFFER means the cost of generation of a competing supplier, plus other costs, fees or expenses that a customer incurs in order to bring the generation to its point of service, including but not limited to: (1) transmission wheeling costs to the City of Austin Electric System; (2) transmission and distribution wheeling costs to the customer’s point of service; and (3) costs to install or construct any on-site generation, interconnection or metering facilities.

COMPETING SUPPLIERS includes but is not limited to a provider of generation, energy services, and ancillary services, whether or not the supplier is located inside the City of Austin’s current service territory, to the extent that the provider is permitted by law to serve the customer load.

Application:
This rate applies to a large primary service (LPS) customer that executed a separate contract for service under this rider prior to October 9, 2006. This rate and the other terms of this rider shall remain available to customer only for the remainder of the term currently specified in customer's contract. Any amendments to customer's current contract shall be subject to the terms of the City of Austin's Large Primary Service - Special Contract Rider II.

The Rider TOU – Thermal Energy Storage and the Optional Time-of-Use Rate may be attached to this rate.

Character of Service:
The Character of Service provided under this rate is alternating current, 60 cycles, single phase or three phase, in accordance with the Utilities Criteria Manual prescribed by the City of Austin and which may be amended from time to time. Electric service of one standard character will be delivered to one point on the customer's premises and measured through one meter.

Fuel Adjustment Clause (FAC) - plus an adjustment for variable costs, calculated according to the Fuel Adjustment Clause Tariff, multiplied by all kWh.

Minimum Bill:
Customer will be assessed a monthly Minimum Bill of $12.00 if the above calculations result in a charge of less than $12.00.

Billing Demand:
The kilowatt demand during the fifteen-minute interval of greatest use during the current billing month as indicated or recorded by metering equipment installed by the City of Austin. When power factor during the interval of greatest use is less than 85%, Billing Demand shall be determined by multiplying the indicated demand by 85% and dividing by the lower peak power factor.

Optional Time-Of-Use Rate:
At the option of the customer, a separate agreement may be entered into between the City and the customer for a time-of-use incentive rate. The customer shall permit the City to install all equipment necessary for time-of-use metering and to permit reasonable access to all electric service facilities installed by the City for inspection, maintenance, repair, removal, or data recording purposes.

Billed demand will be based on the fifteen-minute interval of greatest use during an On-Peak period for the current billing month. All other adjustments will be included as described above (See Billing Demand).

Fuel Adjustment Clause (FAC) - plus an adjustment for variable costs, calculated according to the Fuel Adjustment Clause Tariff, multiplied by all kWh.

On-Peak: 1:00 p.m. to 9:00 p.m., Monday through Friday; May 1 through October 31. 8:00 a.m. to 10:00 p.m., Monday through Sunday; November 1 through April 30.

Off-Peak: 9:00 p.m. to 1:00 p.m., Monday through Friday; all day Saturday, Sunday, Memorial Day, Independence Day, and Labor Day; May 1 through October 31. 10:00 p.m. to 8:00 a.m. Monday through Sunday; November 1 through April 30.

Terms and Conditions:

The special contract rate begins on the first day of the customer’s billing cycle following the date that a separate contract has been executed between the City of Austin and the customer, and shall be in effect for a period of thirty-six (36) months thereafter.

Not earlier than the first day of the thirty-seventh month after the effective date and not later than the last day of the seventy-second month after the effective date, a most favored nations clause applies (which clause does not apply to a rate paid by a governmental entity of the State of Texas, that is mandated by Federal or State law, the Public Utility Commission, a judicial body , or a retail pilot program affecting a customer of the City of Austin). It is the intent of this provision that the most favored nations clause will not apply unless the City of Austin voluntarily charges a lower rate to another LPS customer or large industrial primary service or transmission level customer (who receives power at 12,500 volts or higher and has a demand for power that meets or exceeds 3,000 kW for any two months within the previous twelve months). If the City of Austin is required by Federal or State law, the Public Utility Commission, or a judicial body to charge a lower rate to a customer or group of customers, then the most favored nations clause does not apply.

For the remainder of the term of this contract after the seventy-second month after the effective date, the City of Austin may keep customer loads on-system by exercising a continuing right of first refusal to match the best offer of any competing suppliers. The City of Austin shall have until the later of sixty (60) months from the effective date, or seventy-five (75) days from the date it receives proper notice from Customer to exercise its right of first refusal. All alternative proposals may be disclosed to the City of Austin on a confidential trade secret basis to the extent permitted by law, and shall be supported by a sworn affidavit signed by a corporate officer of the customer involved.

For the remainder of the term of this contract after the seventy-second month after the effective date, provided that retail competition in the electric utility industry in Texas is allowed and is available in Austin, Texas, the City of Austin shall not be obligated to charge the customer the special contract rate. In the event that retail competition is not allowed in Texas, or is not available in Austin, Texas, the customer shall continue to take power from the City of Austin at the special contract rate (with Time-Of-Use option) and be subject to extended application of the most favorable nations clause, until the end of the term of the contract.

This tariff does not obligate the City of Austin to match the best offer of any competing supplier. In addition, nothing herein shall obligate the City of Austin to match any portion of an offer or other consideration not directly related to the supply of electric energy (i.e. generation, transmission and distribution) to the customer’s facilities in the Austin area. In other words, the City of Austin would be required to match the total delivered cost of electric energy to the customer.

Contracts entered into under the provisions of this tariff shall protect the integrity and enforceability of the City’s right of first refusal. After a customer commences to purchase electric generation from a competing supplier (and the City of Austin fails to exercise its right of first refusal or to match the offer of a competing supplier), provision of generation service by the City of Austin to that portion of customer’s total load removed from the City of Austin Electric System shall thereafter be at the sole option of the City of Austin. However, the City of Austin shall have a continuing obligation to provide transmission and distribution services, including ancillary services if needed, pursuant to its tariffs and the Public Utility Commission’s Substantive Rules or other applicable laws and regulations.

A customer may not submit bids or offers received from competing suppliers, and thereby cause or require the City of Austin to exercise its right of first refusal in accordance with the terms of this tariff, more than once every twelve months.

Nothing in this tariff or a contract under this tariff shall operate to prevent, prohibit, or delay the City of Austin from recovering “stranded” costs from the customer, to the extent authorized by law, including those described in the Public Utility Regulatory Act.

If, notwithstanding the foregoing paragraph, any subsequent legislation would in any way operate to prevent, prohibit or delay recovery of the full amount, otherwise authorized by law, of “stranded” costs through any surcharge or additional charge or any new or revised rate level or element solely because of the existence or contents of this tariff or the contract, then the contract rates specified in this tariff for energy, demand and/or fuel shall be deemed to be changed by an amount designed to exactly equal the revenue the City of Austin would otherwise recover but for the existence or contents of this tariff or contract. Any change shall take effect on the same date that the surcharge, additional charge or new or revised rate level or element would otherwise go into effect. If necessary the change may take the form of a one-time charge, assessable prior to or after customer switches generation suppliers. To the extent possible, while still allowing full recovery of the otherwise authorized amount, the change shall be incorporated into prospective monthly recurring charges.

The contract to be signed by customer shall explicitly incorporate the terms of the preceding two paragraphs, and also provide that the results contemplated by the paragraphs are essential and non-severable terms of the contract.

Notwithstanding any provision of this tariff, neither customer nor the City of Austin shall be precluded from challenging the legal validity of any statute, regulations, or other provisions of law.

This Special Contract Rider shall be extended to all of an LPS customer’s accounts having a maximum demand of at least 500 kW.

Upon request, customers receiving service under this Special Contract Rider will be provided dual feed service with reserve capacity and maintenance under the 10 year long term contract provisions of the Special Contract Rider, except that the customer will be responsible for the initial assessment fee, customer requested changes to the initial assessment, and facilities design and construction costs, as established in the fee schedule. Dual feed service with reserve capacity is electric service provided to the customer’s premise(s) through two (or more) independent distribution feeders, with one feeder in normal service and the other in back-up service. Capacity is reserved for the second feeder, and is placed into service upon an outage of the primary feeder.

If it is determined at any time by the City of Austin that the customer violated the provisions of this tariff or the contract implementing the tariff, then the customer will be immediately billed on the LPS rate schedule, or as amended, from the date service was first commenced under this tariff. The difference, plus interest at one percent (1%) per month, or the maximum allowable legal interest rate, whichever is less, from the date service was first commenced under this tariff, shall immediately become due by customer to the City of Austin.

The contract executed under this tariff shall address the rights of the City and the customer relating to the transfer or assignment of rights under this tariff.

We make every effort to be accurate in displaying rates online. In case of conflict, the official tariffs on file with the City Clerk's office take precedence.