ACC Reduced Rates To Take Effect
By EPCOR and San Tan Times Staff
On September 11, 2018, the Arizona Corporation Commission (ACC) approved a reduction in rates for Johnson Utilities water and wastewater customers.
Regulated utilities are required to collect local, state, and federal taxes as part of the service provided to customers. The Tax Cuts and Jobs Act of 2017 passed into law in December 2017, and reduced the corporate tax rates from 35 to 21 percent. However, current rates for Johnson Utilities customers were set by the ACC on August 12, 2014 at a 25 percent tax rate.
Until new rates are adopted by the ACC in future rate case, the monthly rate for most Johnson Utilities customers will be reduced to adjust for the lower corporate tax rate now in effect. Customers will also receive a one-time credit on their October 2018 bill to refund the corporate taxes collected from January through September 2018 at the previous tax rate before the ACC’s approval.
A full breakdown and explanation of the rate reduction will be provided in your next Johnson Utilities bill or you can see the explanations here.