PUC opens proceeding to ensure that utility tax benefits flow to customers
DENVER (Jan. 31, 2018) — The Colorado Public Utilities Commission (PUC) today opened a proceeding to ensure that utility customers receive the benefits from federal tax law changes that reduced corporate tax rates for utility companies beginning in 2018.
The PUC commenced the proceeding to examine the impact of the tax law changes on the revenues and expenditures of Colorado utilities, and whether utility rates should be adjusted accordingly. The PUC directed all gas and electric utilities to participate in the statewide proceeding.
The PUC ordered the utilities to submit filings by Feb. 21 that indicate how the impacts of the new tax rates will be calculated and reported, the timeline and amount of any potential refunds for excess revenues already collected, and timelines for implementation of new rates going forward. In the meantime, the PUC directed utilities to establish a “deferred regulatory liability” to track the savings in tax expenditures to ensure protection for ratepayers while the many details of the tax issue are ironed out.
A number of Colorado gas and electric utilities currently have rate proceedings before the PUC. The Commission said its decision to open a miscellaneous proceeding for all utilities does not preclude the possibility of addressing the tax issues in those individual proceedings.
The PUC is a division of the Colorado Department of Regulatory Agencies.
The Colorado Public Utilities Commission (PUC) serves the public interest by effectively regulating utilities and facilities so that the people of Colorado receive safe, reliable, and reasonably-priced services consistent with the economic, environmental and social values of our state.
The Department of Regulatory Agencies (DORA) is dedicated to preserving the integrity of the marketplace and is committed to promoting a fair and competitive business environment in Colorado. Consumer protection is our mission. Visit www.dora.colorado.gov for more information or call 303-894- 7855/toll free 1-800-886-7675.