Title
A Resolution Setting the Gas Cost Adjustment and Gas Capacity Charge Rates Effective July 1, 2022
Presenter:
Aram Benyamin, Chief Executive Officer, Colorado Springs Utilities
Tristan Gearhart, Chief Planning and Finance Officer, Colorado Springs Utilities
Summary:
Aram Benyamin, Chief Executive Officer, Colorado Springs Utilities
Tristan Gearhart, Chief Planning and Finance Colorado Springs Utilities is proposing changes to the Gas Cost Adjustment (GCA) and Gas Capacity Charge (GCC) rates effective July 1, 2022. The proposed GCA rate adjustment changes the current effective rate of $0.4505 per Ccf to a proposed rate of $0.7117 per Ccf. The proposed GCC adjustments change rates by Rate Class consistent with capacity allocations (per attached GCC Schedule 1 & 2)., Colorado Springs Utilities
Background:
Colorado Springs Utilities’ staff provide regular updates to the Utilities Board and recommends timely adjustments per the Cost Adjustment Guidelines consistent with tariffs.
Previous Council Action:
On April 26, 2022, City Council approved the GCA rate of $0.4505 per Ccf by Resolution 59-22.
Financial Implications:
Implementing the proposed rates will impact the respective customer’s Sample Total Monthly Natural Gas bill:
Residential natural gas bill increase of $16.05 or 30.0%
Commercial natural gas bill increase of $327.86 or 37.3%
Industrial natural gas bill increase of $3,278.56 or 38.3%
City Council Appointed Board/Commission/Committee Recommendation:
N/A
Stakeholder Process:
N/A
Alternatives:
N/A
Proposed Motion:
Move adoption of the proposed resolution.
Summary of Ordinance Language
N/A