UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or Section 15(d)
of the Securities Exchange Act of 1934
Date of Report - June 14, 2004
CENTRAL HUDSON GAS & ELECTRIC CORPORATION
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(Exact name of registrant as specified in its charter)
NEW YORK 1-3268 14-0555980
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State or other (Commission File Number) (IRS Employer
jurisdiction of Identification
incorporation) Number)
284 South Avenue, Poughkeepsie, New York 12601-4879
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (845) 452-2000
Item 5 Other Events and Regulation FD Disclosure.
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Reference is made to Note 2 - Regulatory Matters under the caption "Rate
Proceedings - Electric and Natural Gas" to the Consolidated Financial Statements
included in the Corporation's Annual Report on Form 10-K for the year ended
December 31, 2003 and to Item 2 under the caption "Regulatory Matters" of the
Corporation's Quarterly Report on Form 10-Q for the quarter ended March 31, 2004
for information with respect to the Corporation's rate proposal filed with the
New York State Public Service Commission (the "PSC").
On June 14, 2004, the PSC issued an Order adopting the terms of a Joint Proposal
for Rate Plan Modification ("Joint Proposal") submitted March 29, 2004 by the
Company, the Staff of the Department of Public Service and certain energy
service companies. The Joint Proposal was developed in response to Commission
Orders concerning future uses of the Customer Benefit Fund, Public Policy
Programs and other matters relating to the encouragement and expansion of retail
access and customer choice programs. The significant terms of the Joint
Proposal, which will become effective July 1, 2004, include: i. continuation of
the rate levels, rate designs, and related accounting provisions (including
deferrals) previously established by the PSC in July 2001; ii. an additional $5
million refund from the Customer Benefit Fund for certain classes of electric
customers; iii. continued funding from the Customer Benefit Fund for other
purposes such as economic development and retail access rate credits previously
approved by the PSC; iv. enhanced programs to promote retail competition and
service quality; v. recovery, subject to specified limitations, of deferred
pension and Other Post-Employment Benefit costs from the Benefit Customer Fund
and vi. a lowering of the threshold for sharing of earnings with customers (from
an 11.3 % to a 10.5% return on equity); vii. modifies earnings sharing so that
earnings above 10.5% and up to 11.3% will be shared 70%/30% between the Company
and ratepayers; earnings above 11.3% and up to 14.0% will be shared 65%/35%
between the Company and ratepayers.
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.
CENTRAL HUDSON GAS & ELECTRIC CORPORATION
(Registrant)
By: /s/ Donna S. Doyle
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DONNA S. DOYLE
Vice President - Accounting and Controller
Dated: June 18, 2004