The Kansas Corporation Commission has ordered Kansas Gas Service to return $16.6 million in tax savings to its customers.

For residential customers, that will mean a one-time bill credit of $21.06.

The Federal Tax Cuts and Jobs Act approved by Congress last year reduced the corporate tax rate from 35 percent to 21 percent.  The KCC has required utility companies to track savings from the tax cut and maintain those funds in a separate interest-bearing account.

KGS filed a rate case last June, asking to retain the tax savings to offset its cost of service, but the KCC determined that this was not in the public interest.   The commission ruled that KGS did not provide evidence to show that returning the savings to customers would endanger the utility’s health and viability.