Operating ExpensesOperating expenses increased by 12% YoY, including $13.1 million of partially passed through water production expenses.
Regulatory EnvironmentThere is downside risk to current water ROEs, as the likelihood of PAO agreeing to another extension seems slim.
Revenue And Regulatory ChallengesThe total revenue requirement from the recent Connecticut rate case was light versus SJW’s ask, pointing to ongoing concern in the state.