Item 8.01. Other Events
Natural Gas Rate Case InFebruary 2020 , PSCo filed a rate case with theColorado Public Utilities Commission (CPUC) seeking a net increase to retail gas rates of$126.8 million , reflecting a$144.5 million increase in base rate revenue, partially offset by$17.7 million of costs previously authorized through the Pipeline Integrity rider. The request was based on a 9.95% return on equity (ROE), an equity ratio of 55.81% and a historic test year as ofSept. 30, 2019 , adjusted for known and measurable differences for the 12-month period endedSept. 30, 2020 . InJune 2020 , PSCo revised its net increase to$121 million , reflecting updates to the test year including actual plant additions, revenue and capital structure throughApril 2020 , the CPUC Staff's recommended weather normalization and other items. OnJuly 10, 2020 , PSCo, the CPUC Staff and various intervenors filed a comprehensive unopposed settlement, which results in a net increase to retail gas rates of$76.9 million , reflecting a$93.7 million increase in base rate revenue, partially offset by$16.8 million of costs previously authorized through the Pipeline Integrity rider. The settlement is based on: •A ROE of 9.20%; •An equity ratio of 55.62%; •A historic test year as ofSept. 30, 2019 , utilizing a year-end rate base, and incorporating a known and measurable post-Test Year adjustment for the annualized revenue requirement associated with the Tungsten to Black Hawk pipeline as ofApril 30, 2020 ; and •Rates will be implemented onApril 1, 2021 and will be retroactively effective back to November of 2020.
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Certain information discussed in this Current Report on Form 8-K is
forward-looking information that involves risks, uncertainties and assumptions.
Such forward-looking statements, as well as assumptions and other statements are
intended to be identified in this document by the words "anticipate," "believe,"
"could," "estimate," "expect," "intend," "may," "objective," "outlook," "plan,"
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speak only as of the date they are made, and we expressly disclaim any
obligation to update any forward-looking information. Factors, in addition to
those discussed in
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