Title
A resolution setting the Gas Cost Adjustment effective May 1, 2019
Presenter:
Tamela Monroe, Chief Planning and Finance Officer
Aram Benyamin, Chief Executive Officer
Body
Summary:
Colorado Springs Utilities (Utilities) is proposing a change to the Gas Cost Adjustment (GCA) rate effective May 1, 2019. The proposed GCA rate adjustment changes the current effective rate of $0.3034 per Ccf to a proposed rate of $0.1746 per Ccf.
Previous Council Action:
On January 22, 2019, City Council approved the current GCA rate of $0.3034 per Ccf effective February 1, 2019 Resolution 10-19.
Background:
Utilities sought approval for the current effective GCA rate of $0.3034 per Ccf at the January 22, 2019 City Council meeting. Utilities’ staff provide regular updates to the Utilities Board and recommend timely adjustments to the GCA rate per the Cost Adjustment Guidelines and in conformance with the GCA tariff.
Financial Implications:
Implementing the proposed rates will impact the respective customer’s gas bill as follows:
Monthly Typical Gas bill:
Residential gas bill decrease of $7.72 or 16.9%
Commercial gas bill decrease of $159.72 or 23.3%
Industrial gas bill decrease of $1,597.12 or 24.0%
Board/Commission Recommendation:
N/A
Stakeholder Process:
N/A
Alternatives:
Approved proposed adjustments or provide alternative direction.
Recommended Action
Proposed Motion:
Move approval of the proposed resolution.
Summary of Ordinance Language
N/A