Subject: RE: TAS Refund update
From: [email-masked]
To: [email-masked], [email-masked], [email-masked], [email-masked]
Cc: [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked]
Date: Tue, 6 Nov 2001 10:15:37 -0800 (PST)

The SLA settlement is progressing more slowly than anticipated.  It now looks like we will be required to do a 4-6 month refund of Reservation & Commodity.  The latest estimate is that we wouldn't have FERC approval for revised rates pursuant to the SLA settlement until at least March.  Since the rates will be retroactive to November, 2001, we would have to refund both Res & Com for November, December, January and, at least Reservation for February.  This could become a rate-case sized refund effort.

(Linda, Ray & Wendy - While this doesn't affect you directly, it could affect your projects because of resource requirements from both IT and Gas Logistics. )

 -----Original Message-----
From: 	Bianchi, Rita  
Sent:	Tuesday, October 16, 2001 11:06 AM
To:	Blair, Lynn; Zadow, Raetta; Berger, Larry; Karas, Phylis
Cc:	Fugel, Robert; Dasilva, Esther; Davis, Larry; Bisbee, Joanne
Subject:	TAS Heads up
Importance:	High

Northern is close to a Settlement with our customers involving Carlton and the SLA.

This will entail some special invoice processing.

We expect to file revised Reservation, TI Commodity and Carlton surcharge rates to be effective November 1, 2001.

However, the filing probably won't be made before November 1 and we aren't likely to have approval until the end of the year.
That means that November will be billed at the existing winter rates and 
we will need to do a 1-month refund in January to rebill November at the new rates.

We hope to have approval in time to bill both Reservation & Commodity correctly for December.  But, on the Reservation invoice, we may need to do a late "preliminary" run to pick up new rates, depending on when we receive an order from FERC.