ARO Trust (Notes)

9 Months Ended

Sep. 30, 2021

Investments, Debt and Equity Securities [Abstract]

We are entitled to collect in rates the amounts necessary to fund our asset retirement obligations (ARO). We deposit monthly, into an external trust account (ARO Trust), the revenues specifically designated for ARO. The ARO Trust carries a moderate risk portfolio. The Money Market Funds held in our ARO Trust are considered investments. We measure the financial instruments held in our ARO Trust at fair value. However, in accordance with the ASC Topic 980, Regulated Operations, both realized and unrealized gains and losses of the ARO Trust are recorded as regulatory assets or liabilities.

Pursuant to the approved stipulation and agreement in Docket No. RP18-1126 the annual funding obligation effective March 1, 2020 is approximately $16.0 million, with deposits made monthly.

Investments within the ARO Trust at fair value were as follows (in millions):


	September 30, 2021				December 31, 2020
	Amortized Cost Basis		Fair Value		Amortized Cost Basis		Fair Value
Money Market Funds	$	3.4	$	3.4	$	5.8	$	5.8
U.S. Equity Funds	52.6		111.6		59.9		108.0
International Equity Funds	31.7		42.9		34.2		43.7
Municipal Bond Funds	87.5		89.9		74.9		78.0
Total	$	175.2	$	247.8	$	174.8	$	235.5