ITEM 7.01. REGULATION FD DISCLOSURE.

On January 28, 2020, RGC Resources, Inc. ("Resources") issued a press release announcing the receipt of the Final Rate Order ("Order") on the general rate application for its utility subsidiary, Roanoke Gas Company ("Roanoke Gas"). In the Order dated January 24, 2020, The State Corporation Commission ("SCC") approved a gross rate increase of $7.25 million, which included a 9.44% return on equity. The Order indicated the SCC's determination that expenditures to connect to the Mountain Valley Pipeline were prudent but also denied Roanoke Gas recovery on a portion of their regulatory assets.

Roanoke Gas filed for its general rate application in November 2018 requesting an increase in non-gas rate of $10.5 million. Beginning in January 2019, Roanoke Gas implemented these new rates subject to refund. The requirements of the Order did not materially impact Resources net income as the Company had previously incorporated an estimate for potential refunds to customers. Resources will adjust its refund estimate to include the effect of the Order in its condensed consolidated financial statements to be included in its quarterly report on Form 10-Q for the quarter ended December 31, 2019. Roanoke Gas also expects to issue a one-time refund to customers in either February or March 2020.

ITEM 9.01. FINANCIAL STATEMENT AND EXHIBITS.

(d) Exhibits.



99.1   Press release on receipt on rate case final order.

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