4 Colo. Code Regs. § 723-4-4604

Current through Register Vol. 47, No. 22, November 25, 2024

Section 4 CCR 723-4-4604 - Contents of GCA Applications

(a) A GCA application shall meet the following requirements.

(I) Every application shall contain attachments 1 through 9. Attachments 10 through 12 shall be filed with the annual GCA application. The attachments shall meet the requirements set out in this rule.

(II) The attachments shall be organized in a manner that specifically references, and responds to, the requirements contained in each subparagraph of this rule.

(III) Cross-referenced and footnoted work-papers fully explaining the amounts shown in each attachment shall be submitted and provided to Commission staff at the same time as the application.

(IV) The application shall cross-reference the proceeding numbers of the associated GPP submittals.

(V) When preparing attachments 10 through 12, the rate base, net operating earnings, capital structure, and cost of capital shall be calculated in conformance with the regulatory principles authorized by the Commission in the utility's most recent general rate case, including all required pro forma adjustments.

(VI) An explanation of all pro forma adjustments shall be provided.

(b) GCA attachment No. 1- GCA Summary. This attachment shall clearly illustrate all of the following principles.

(I) The impact the utility's currently effective GCA has on each sales gas customer class and, when applicable, the gas transportation rate class on a total dollar and mil ($0.001, minimum) per Mcf or Dth basis.

(II) The impact the utility's proposed GCA has on each sales gas customer class and, when applicable, gas transportation rate class on a total dollar and mil ($0.001, minimum) per Mcf or Dth basis; and

(III) The percent change in total bill for a customer of average usage for each sales gas customer class. This percent change in total bill calculation shall include an itemization of the monthly service and facility charge, base rates and GCA commodity components, and all other tariff charges on the customer bill.

(c) GCA attachment No. 2- Current Gas Cost Calculation. This attachment shall contain the calculation of the current gas cost and shall provide month-by-month information with respect to the forecasted gas commodity cost, forecasted gas purchase quantity, forecasted market prices, forecasted upstream service cost, and forecasted sales gas quantity.

(I) The utility shall calculate current gas cost at least to the accuracy of the nearest mil ($0.001) per Mcf or Dth according to the following formula, subject to individual GCA rule variances granted by the Commission:

current gas cost = (forecasted gas commodity cost + forecasted upstream service cost) / forecasted sales gas quantity.

(II) The utility shall present all such information in a format comparable with, and corresponding to, the information forecasted in the utility's GPP submittal for each month of the GCA effective period, as required pursuant to rule 4606.

(d) GCA attachment No. 3- Deferred Gas Cost Calculation. This attachment shall contain the details of the utility's actual gas purchase costs and the calculation of deferred gas cost. In addition, this attachment shall provide month-by-month information detailing the activity in USOA Account No. 191 by subaccount and period as applicable, interest on under- or over-recovery, and all other included gas costs authorized for recovery in the GCA. The utility shall calculate deferred gas cost as the aggregate total of the under- or over-recovered gas costs reflected in its Account No. 191, or other approved gas costs, recorded at the close of business for each month of the period at issue (such as the previous gas purchase year), plus interest on under- or over-recovery (if net amount is negative), divided by forecasted sales gas quantity. The utility shall calculate deferred gas cost at least to the accuracy of the nearest mil per Mcf or Dth. Each cost a utility includes in the deferred gas cost calculation shall be itemized and clearly identified and itemized for applicability to the period at issue. In its annual GCA applications the utility shall reflect actual deferred costs for the most recent period ending June 30, or as otherwise approved by the Commission.

(e) GCA attachment No. 4- Current Tariff. This attachment shall contain the tariff pages which illustrate the gas cost components of the utility's currently-effective rates for sales gas service and, where applicable, gas transportation service.

(f) GCA attachment No. 5- Forecasted Gas Transportation Demand. This attachment applies only to utilities that have a GCA component within their authorized rates for gas transportation service. This attachment shall provide the following information, with all demand forecast information provided on a Mcf or Dth basis:

(I) a forecast of gas commodity throughput attributable to gas transportation service for each month of the GCA effective period; and

(II) a forecast of firm backup supply demand quantities (to the extent the utility has such service) under the utility's firm gas transportation service agreements for each month of the GCA effective period.

(g) GCA attachment No. 6- current gas cost allocations. This attachment shall fully explain and justify the method(s) used to do each of the following:

(I) allocate the costs associated with the gas commodity and upstream services to each specific sales gas customer class and, where applicable, gas transportation customer rate class; and

(II) derive the amount of the GCA applied to each specific sales gas customer class and, where applicable, gas transportation customer rate classes.

(h) GCA attachment No. 7- Customer Notice. This attachment shall provide the form of notice to customers and the public concerning the utility's proposed GCA change. In its customer notice for each sales gas customer class, the utility shall include the following:

(I) current and proposed GCA rates and percentage change;

(II) comparison of the previous gas purchase year's last average annual bill under prior rates and the projected average annual bill under the proposed GCA rates and percentage change in the total bill amount using an average usage amount for each customer class;

(III) comparison of the prior year's peak winter month bill under prior rates and the projected peak winter month bill under the proposed GCA rates and percentage change using an average peak winter month usage amount for each customer class; and

(IV) with the annual GCA application, a statement that the utility made a separate gas purchase report filing in accordance with rule 4607 to begin the initial prudence review evaluation process for the prior gas purchase year.

(i) GCA attachment No. 8- components of delivered gas cost. This attachment shall detail the itemized rate components of delivered gas cost to the customer (rate), per rule 4406.

(j) GCA attachment No. 9- proposed tariff. This attachment shall contain the tariff sheets proposed by the utility to reflect the proposed GCA change.

(k) GCA attachment No. 10- rate base. This attachment shall calculate the used and useful rate base assets employed by the utility for Commission-regulated gas operations for the most recently completed 12-month period ending June 30.

(l) GCA attachment No. 11- net operating earnings. This attachment shall calculate the utility's net operating earnings for jurisdictional gas operations during the most recently completed 12-month period ending June 30.

(m) GCA attachment No. 12- capital structure and ost of capital. This attachment shall calculate the following information for the most recently completed 12-month period ending June 30, the utility's:

(I) capital structure for jurisdictional gas operations;

(II) cost of long-term debt and preferred equity;

(III) cost of common equity; and

(IV) weighted average cost of capital.

4 CCR 723-4-4604

38 CR 17, September 10, 2015, effective 9/30/2015

40 CR 01, January 10, 2017, effective 1/30/2017

41 CR 11, June 10, 2018, effective 6/30/2018

42 CR 07, April 10, 2019, effective 4/30/2019

43 CR 08, April 25, 2020, effective 5/15/2020

44 CR 04, February 25, 2021, effective 3/17/2021

44 CR 24, December 25, 2021, effective 1/14/2022

45 CR 18, September 25, 2022, effective 10/15/2022

46 CR 06, March 25, 2023, effective 1/25/2023

46 CR 08, April 25, 2023, effective 5/15/2023