8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D) OF

THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported): January 28, 2020

RGC RESOURCES, INC.

(Exact name of Registrant as specified in its charter)

Registrant’s telephone number, including area code: 540-777-4427

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 240.425) | | --- | --- || ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | | --- | --- || ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | | --- | --- || ¨ | Pre-commencement communications pursuant to Rule 13c-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | | --- | --- |

Securities registered pursuant to Section 12(b) of the Act:

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

ITEM 7.01.    REGULATION FD DISCLOSURE.

On January 28, 2020, RGC Resources, Inc. ("Resources") issued a press release announcing the receipt of the Final Rate Order ("Order") on the general rate application for its utility subsidiary, Roanoke Gas Company ("Roanoke Gas"). In the Order dated January 24, 2020, The State Corporation Commission ("SCC") approved a gross rate increase of $7.25 million, which included a 9.44% return on equity. The Order indicated the SCC's determination that expenditures to connect to the Mountain Valley Pipeline were prudent but also denied Roanoke Gas recovery on a portion of their regulatory assets.

Roanoke Gas filed for its general rate application in November 2018 requesting an increase in non-gas rate of $10.5 million. Beginning in January 2019, Roanoke Gas implemented these new rates subject to refund. The requirements of the Order did not materially impact Resources net income as the Company had previously incorporated an estimate for potential refunds to customers. Resources will adjust its refund estimate to include the effect of the Order in its condensed consolidated financial statements to be included in its quarterly report on Form 10-Q for the quarter ended December 31, 2019. Roanoke Gas also expects to issue a one-time refund to customers in either February or March 2020.

ITEM 9.01.    FINANCIAL STATEMENT AND EXHIBITS.

(d)    Exhibits.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		Exhibit

Exhibit 99.1

NEWS RELEASE

RGC RESOURCES, INC.

Release Date:    January 28, 2020

Contact:    Paul W. Nester

Vice President and CFO

Telephone:    540-777-3837

RGC RESOURCES’ SUBSIDIARY ROANOKE GAS

RECEIVES RATE CASE FINAL ORDER

ROANOKE, Va. (January 28, 2020)--RGC Resources, Inc. (NASDAQ: RGCO) announced that the State Corporation Commission (SCC) issued its Final Order in the Company’s general rate case on January 24, 2020. The Commission approved a gross rate increase of $7.25 million and a 9.44% return on equity.

The Final Order affirmed the Company’s need for connections to the Mountain Valley Pipeline (MVP) and its plans to acquire firm capacity from the MVP. In the Final Order, the SCC found “…the Company's decision to construct the Summit View and Lafayette Gate Stations and the Lafayette Loopline was reasonable and prudent in order to provide additional capacity to meet Roanoke's public service obligations.”

“We are pleased with the Commission’s ruling that our decision to construct facilities to interconnect to the MVP was prudent. The MVP will bring much needed capacity and gas supply to Southwest Virginia,” stated Paul Nester, Roanoke Gas Company President. “The Commission’s

findings are a clear rejection of the claims made by the MVP opponents, particularly the Sierra Club of Virginia.”

Nester commented further, “These investments will allow the Company to continue providing reliable service and improving safety by investing in system modernization and technology. Moreover, these facilities will allow the Company to support current and future economic development activities in metropolitan Roanoke and Franklin County.”

For the average residential customer, the Final Order reduces their monthly bill approximately 8% or $3.25 from the rates implemented January 1, 2019. The Company expects to issue a one-time refund to customers in the February to March timeframe.

RGC Resources, Inc. provides energy and related products and services to approximately 62,000 customers in Virginia through its operating subsidiaries including Roanoke Gas Company and RGC Midstream, LLC.

From time to time, the Company may publish forward-looking statements relating to such matters as anticipated financial performance, business prospects, technological developments, new products, research and development activities and similar matters. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. In order to comply with the terms of the safe harbor, the Company notes that a variety of factors could cause the Company’s actual results and experience to differ materially from the anticipated results or other expectations expressed in the Company’s forward-looking statements.