{"id":282639,"date":"2026-05-07T10:28:09","date_gmt":"2026-05-07T10:28:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-tx\/282639\/"},"modified":"2026-05-07T10:28:09","modified_gmt":"2026-05-07T10:28:09","slug":"austin-weighs-once-in-a-generation-gas-deal-as-bills-keep-climbing","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-tx\/282639\/","title":{"rendered":"Austin weighs \u2018once-in-a-generation\u2019 gas deal as bills keep climbing"},"content":{"rendered":"<p><img alt=\"Paul Williams and his dog, Coco, at his home in North Austin Wednesday, Feb. 4, 2026.\" loading=\"eager\" fetchpriority=\"high\"   style=\"aspect-ratio:3 \/ 2\" class=\"x100 y100 opc bgpc ofcv bgscv block bg-gray200 mnh0px fill\"\/><\/p>\n<p>Paul Williams and his dog, Coco, at his home in North Austin Wednesday, Feb. 4, 2026.<\/p>\n<p>Mikala Compton\/Austin American-Statesman<\/p>\n<p>Paul Williams remembers when his natural gas bill was so cheap it barely seemed worth paying.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/cdn-channels-pixel.ex.co\/events\/0012000001fxZm9AAE?integrationType=DEFAULT&amp;template=design%2Farticle%2Fplatypus_two_column.tpl\" alt=\"\" class=\"x1px y1px vh abs\" aria-hidden=\"true\" width=\"1\" height=\"1\"\/><\/p>\n<p>Williams, who has owned his modest North Austin home near <a href=\"https:\/\/www.statesman.com\/news\/history\/article\/austin-interstate-35-interregional-highway-21199102.php\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">Interstate 35<\/a> and East Rundberg Lane since 1985, said he used to send Texas Gas Service a check for several months at a time just to avoid dealing with tiny balances.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>\u201cThe gas bill was so small, it was a nuisance to write a check for $8.23 or something,\u201d he said.<\/p>\n<p>Now retired and living alone with his dog Coco, Williams says those days are long gone.<\/p>\n<p>His January gas bill totaled $133. During the same month in 2023, he paid $76\u00a0\u2014 a roughly 75% increase in just two years.<\/p>\n<p>\u201cMy gas bill was extraordinarily high this winter,\u201d Williams said.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p><img alt=\"Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.\" loading=\"lazy\"   style=\"aspect-ratio:3 \/ 2\" class=\"x100 y100 opc bgpc ofcv bgscv block bg-gray200 mnh0px fill\"\/><\/p>\n<p>Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.<\/p>\n<p>Mikala Compton\/Austin American-Statesman<\/p>\n<p>As gas bills climb across Austin, <a href=\"https:\/\/www.statesman.com\/news\/local\/article\/austin-council-zoning-resolution-home-expansion-22236845.php\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">the City Council<\/a> is poised Thursday to approve what advisers are calling a \u201conce-in-a-generation\u201d franchise agreement with Texas Gas Service, the utility that serves roughly 95% of Austin\u2019s natural gas customers. But members of the city\u2019s Resource Management Commission say the proposed 10-year deal does not go far enough to shield customers like Williams from escalating costs.<\/p>\n<p>The commission, which advises council on energy and sustainability issues, says city staff <a href=\"https:\/\/services.austintexas.gov\/edims\/document.cfm?id=472325\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">left out several major recommendations<\/a> intended to strengthen oversight of Texas Gas\u2019 infrastructure spending, expand low-income bill assistance and place tighter restrictions on how the utility passes costs on to ratepayers.<\/p>\n<p>Commissioners argue those omissions could weaken the city\u2019s ability to challenge future rate increases at a time when Austinites are already struggling with rising utility bills.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>\u201cBills are high,\u201d commission Chair Charlotte Davis said in an interview. \u201cPeople are noticing their bills are going up much faster than inflation, so something should be done, right?\u201d<\/p>\n<p>City spokesperson Melissa\u00a0Espitia said all commission recommendations were brought to the table during negotiations with Texas Gas but some did not make the cut during the course of the talks\u00a0\u2014 and during subsequent legal review.<\/p>\n<p>\u201cThe resulting agreement reflects the outcomes of those negotiations,\u201d Espitia said in a written statement. \u201cThe agreement presented for Council consideration reflects the terms determined appropriate for inclusion following legal, operational, regulatory and negotiated review.\u201d<\/p>\n<p><img alt=\"Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.\" loading=\"lazy\"   style=\"aspect-ratio:2 \/ 3\" class=\"x100 y100 opc bgpc ofcv bgscv block bg-gray200 mnh0px fill\"\/><\/p>\n<p>Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.<\/p>\n<p>Mikala Compton\/Austin American-Statesman<\/p>\n<p>The proposal<\/p>\n<p>Federal data shows residential gas prices in Texas have risen sharply over the past decade. In Austin, city data shows rates have more than doubled since 2019.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>The City Council has not renegotiated Austin\u2019s franchise agreement with Texas Gas in decades. The current 20-year contract expires in October, giving the city a rare opportunity to revisit how the utility operates and how aggressively it can pass costs on to customers.<\/p>\n<p>The franchise agreement itself does not directly set gas rates, which are largely regulated through the T<a href=\"https:\/\/www.statesman.com\/news\/politics\/elections\/article\/texas-runoff-2026-travis-county-ballot-22203507.php\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">exas Railroad Commission<\/a>. But commissioners argue the agreement can still influence how Texas Gas structures and justifies future rate increases.<\/p>\n<p>The commission adopted a slate of recommendations in January for a new 10-year agreement. But members said the version city staff sent to council ahead of Thursday\u2019s vote excludes several provisions they considered most important.<\/p>\n<p>\u201cIt would be unfair to say that city staff did not take any of our advice,\u201d said Paul Robbins, the commission\u2019s vice chair and a longtime Texas Gas critic. \u201cBut the big things that could help rates\u2026 were left on the cutting room floor.\u201d<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p><img alt=\"Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.\" loading=\"lazy\"   style=\"aspect-ratio:3 \/ 2\" class=\"x100 y100 opc bgpc ofcv bgscv block bg-gray200 mnh0px fill\"\/><\/p>\n<p>Paul Williams discusses his high gas bill at his home in North Austin Wednesday, Feb. 4, 2026.<\/p>\n<p>Mikala Compton\/Austin American-Statesman<\/p>\n<p>The missing pieces<\/p>\n<p>At a special meeting last week, the Resource Management Commission adopted a resolution urging the city to put some of those things back into the proposal, including enhanced conservation programs, leak detection protocols and bill-payer assistance funding.<\/p>\n<p>One of the largest omissions that could keep prices down, commissioners argued, is a requirement that Texas Gas charge developers for building out infrastructure to serve new developments rather than passing those costs on to ratepayers. Similarly, the commission has asked for more oversight as the gas company upgrades its distribution network.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>The Railroad Commission can grant the utility permission to raise rates periodically to pay for infrastructure upgrades. Since 2024, <a href=\"https:\/\/www.statesman.com\/story\/opinion\/columns\/2024\/08\/28\/austin-texas-gas-service-rate-hike-residential-customers-is-it-fair\/74916933007\/\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">Texas Gas has sought four such increases<\/a>, the most recent filed in March.<\/p>\n<p>\u201cSo basically that means every year, they can come back and say, \u2018Hey, we spend a lot of money on our infrastructure, and we need to recoup those costs by increasing our fees,\u2019\u201d Davis said.<\/p>\n<p>Robbins said he wonders if the upgrades the utility says it\u2019s making are really necessary. He suspects the utility is \u201cgold-plating\u201d its system\u00a0\u2014 overbuilding in order to raise rates and maximize profits.<\/p>\n<p>\u201cI cannot fathom what they could be doing. Is this the bridge to nowhere?\u201d Robbins said. \u201cIt begs skepticism.\u201d<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>In a statement, Texas Gas pushed back on commission members\u2019 accusations.<\/p>\n<p>\u201cThe regulatory process is often complex. Every rate request is thoroughly reviewed by engineers, independent experts and state regulators to make\u00a0sure our spending is responsible and focused on safe, reliable service,\u201d wrote company spokesman Jason\u00a0Cleary.<\/p>\n<p><img alt=\"Paul Williams discusses his high gas bill at his home in North Austin, alongside his dog, Coco, Wednesday, Feb. 4, 2026.\" loading=\"lazy\"   style=\"aspect-ratio:2 \/ 3\" class=\"x100 y100 opc bgpc ofcv bgscv block bg-gray200 mnh0px fill\"\/><\/p>\n<p>Paul Williams discusses his high gas bill at his home in North Austin, alongside his dog, Coco, Wednesday, Feb. 4, 2026.<\/p>\n<p>Mikala Compton\/Austin American-Statesman<\/p>\n<p>The path forward<\/p>\n<p>Robbins said he\u2019s found favor with at least three City Council members who have indicated they might try to delay the vote or amend the proposal to strengthen it.<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p><a href=\"https:\/\/www.statesman.com\/news\/local\/article\/austin-city-council-voting-record-2025-21281935.php\" data-link=\"native\" class=\"\" rel=\"nofollow noopener\" target=\"_blank\">Marc Duchen<\/a> is one of those members.<\/p>\n<p>\u201cIn this new contract, the City of Austin has the opportunity to do everything we can to work out a better deal for residents and make the cost of gas service less burdensome,\u201d Duchen said in a statement. \u201cWith a contract negotiation extension, we\u2019ll have more time to work on programs that provide assistance to ratepayers.\u201d<\/p>\n<p>Two other council members Robbins named, Ryan Alter and Mike Siegel, declined to comment.<\/p>\n<p>\u201cIt\u2019s a fluid situation,\u201d Robbins said. \u201cOptimally, they get it pulled; if not, then they would try and add language to rehydrate some of the things that have been lost.\u201d<\/p>\n<p class=\"uiTextSmall f aic jcc\">Article continues below this ad<\/p>\n<p>As for Williams, the North Austin homeowner, he doesn\u2019t really care how Austin and Texas Gas arrive at a solution. He just wants to see the constant rate hikes stop.<\/p>\n<p>\u201cI think they charge too much, and they\u2019ve raised the rates too frequently,\u201d Williams said. \u201cJust set the fair price, make a profit, but don\u2019t overdo it.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Paul Williams and his dog, Coco, at his home in North Austin Wednesday, Feb. 4, 2026. Mikala Compton\/Austin&hellip;\n","protected":false},"author":2,"featured_media":282640,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[8002,27,29,28],"class_list":["post-282639","post","type-post","status-publish","format-standard","has-post-thumbnail","category-texas","tag-policy","tag-texas","tag-texas-headlines","tag-texas-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/282639","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/comments?post=282639"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/282639\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media\/282640"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media?parent=282639"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/categories?post=282639"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/tags?post=282639"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}