NOTICE OF APPLICATION OF DURANGO MOUNTAIN UTILITIES, LLC CHANGE
IN RATES – PROCEEDING 23L-0510G

You are hereby notified that Durango Mountain Utilities, LLC (“DMU”) has filed an Application with the Colorado Public Utilities Commission (the “Commission”) to change tariffs on less than 30 days’ statutory notice, affecting all of its customers. The change in tariffs becomes effective November 1, 2023, unless the Application is denied by the Commission.

The purpose of this Notice of GCA Application is to notify customers of proposed changes to overall commodity rates under DMU’s existing Gas Cost Adjustment (“GCA”) mechanism for its Commodity Charge tariff and the Commission’s Rules and Regulations Regulating Natural Gas Utilities. The Commodity Cost rate of customers’ bills passes through the commodity costs charged by DMU’s gas suppliers. A summary of the proposed rate changes and a comparison of the proposed rate changes to the currently effective rates are included below:

The following table compares the cost of an average bill from December 2022 to the forecasted average bill for December 2023. The December 2023 bill projection reflects the proposed November 1, 2023 change in the Commodity Cost rate and shows the projected change to the peak month customer bill using an average customer usage value.

Based on the average annual usage amount per customer equivalent, DMU projects the average annual bill amount for November 2023 – November 2024 to be $3,050 based on a forecasted increase in gallons consumed for the average customer. This compares to an average annual bill for the current GCA period of $3,001.

The Application also seeks certain waivers to the GCA rules that are inapplicable or otherwise inconsistent with DMU operations and practices and that are consistent with prior year GCA applications. DMU expects comparable usage compared to the 2022-2023 GCA period and has obtained a price “lock in” from its suppliers for the October 2023 – March 2024 winter season to maintain stability in rates for the forthcoming GCA period.

The Application is available for public inspection at the Durango Mountain Utilities, LLC main office located at 2615 Main Avenue, Durango, CO 80301, as well as the Commission offices located at 1560 Broadway, Suite 250, Denver, Colorado 80202, between 8:00am – 5:00pm, or online through the Colorado Public Utilities Commission online filing system: www.dora.state.co.us/puc. Any person may file written comment(s) or objection(s) concerning the Application with the Commission. Comments may be mailed to: Colorado Public Utilities Commission, Rebecca Lim, Director, 1560 Broadway, Suite 250, Denver, Colorado 80202 or submitted online via www.dora.state.co.us/puc. The Commission will consider all written comments and objections submitted prior to the evidentiary hearing on the application.

If a person desires to participate as a party in this proceeding regarding the filing, such person shall file an intervention in accordance with the Rule 1401 of the Commission Rules of Practice and Procedure or any applicable Commission order. The Commission may hold a public hearing in addition to an evidentiary hearing on the application and that if such a hearing is held, members of the public may attend and make statements even if they did not file comments, objections or an intervention. If the Application is uncontested or unopposed, the Commission may determine the matter without a hearing and without further notice.