Summary of Significant Accounting Policies (Tables)

12 Months Ended

Sep. 30, 2020

Regulatory assets and liabilities included in the Company’s consolidated balance sheets as of September 30, 2020 and 2019 are as follows:


	September 30
	2020		2019
Assets:
Current Assets:
Regulatory assets:
Accrued WNA revenues	$	—	$	569,558
Under-recovery of gas costs	1,733,718		—
Under-recovery of SAVE Plan revenues	108,550		—
ESAC assets	—		265,392
Accrued pension and postretirement medical	576,731		602,674
Other deferred expenses	84,315		84,315
Total current	2,503,314		1,521,939
Utility Property:
In service:
Other	11,945		11,945
Construction work in progress:
AFUDC	330,208		—
Other Assets:
Regulatory assets:
Premium on early retirement of debt	1,598,620		1,712,808
Accrued pension and postretirement medical	9,156,546		9,414,695
ESAC assets	—		756,803
Other deferred expenses	214,928		294,547
Total non-current	10,970,094		12,178,853

Total regulatory assets	$	13,815,561	$	13,712,737
Liabilities and Stockholders' Equity:
Current Liabilities:
Regulatory liabilities:
Over-recovery of gas costs	$	—	$	161,837
WNA	601,784		—
Over-recovery of SAVE Plan revenues	—		574,181
Rate refund	—		3,827,588
Excess deferred income taxes	205,353		205,353
Other deferred liabilities	83,176		108,644
Total current	890,313		4,877,603
Deferred Credits and Other Liabilities:
Asset retirement obligations	7,180,982		6,788,683
Regulatory cost of retirement obligations	12,678,043		11,892,352
Regulatory liabilities:
Excess deferred income taxes	10,729,082		10,934,434
Total non-current	$	30,588,107	$	29,615,469

Total regulatory liabilities	$	31,478,420	$	34,493,072

Regulatory assets and liabilities included in the Company’s consolidated balance sheets as of September 30, 2020 and 2019 are as follows:


	September 30
	2020		2019
Assets:
Current Assets:
Regulatory assets:
Accrued WNA revenues	$	—	$	569,558
Under-recovery of gas costs	1,733,718		—
Under-recovery of SAVE Plan revenues	108,550		—
ESAC assets	—		265,392
Accrued pension and postretirement medical	576,731		602,674
Other deferred expenses	84,315		84,315
Total current	2,503,314		1,521,939
Utility Property:
In service:
Other	11,945		11,945
Construction work in progress:
AFUDC	330,208		—
Other Assets:
Regulatory assets:
Premium on early retirement of debt	1,598,620		1,712,808
Accrued pension and postretirement medical	9,156,546		9,414,695
ESAC assets	—		756,803
Other deferred expenses	214,928		294,547
Total non-current	10,970,094		12,178,853

Total regulatory assets	$	13,815,561	$	13,712,737
Liabilities and Stockholders' Equity:
Current Liabilities:
Regulatory liabilities:
Over-recovery of gas costs	$	—	$	161,837
WNA	601,784		—
Over-recovery of SAVE Plan revenues	—		574,181
Rate refund	—		3,827,588
Excess deferred income taxes	205,353		205,353
Other deferred liabilities	83,176		108,644
Total current	890,313		4,877,603
Deferred Credits and Other Liabilities:
Asset retirement obligations	7,180,982		6,788,683
Regulatory cost of retirement obligations	12,678,043		11,892,352
Regulatory liabilities:
Excess deferred income taxes	10,729,082		10,934,434
Total non-current	$	30,588,107	$	29,615,469

Total regulatory liabilities	$	31,478,420	$	34,493,072

Utility plant is composed of the following major classes of assets:


	September 30
	2020		2019
Distribution and transmission	$	227,753,620	$	209,171,339
LNG storage	14,798,453		13,417,077
General and miscellaneous	15,790,299		15,198,548
Total utility plant in service	$	258,342,372	$	237,786,964

The following is a summary of the AROs:

A reconciliation of changes in the allowance for doubtful accounts is as follows:


	Years Ended September 30
	2020		2019
Beginning balance	$	110,743	$	103,573
Provision for doubtful accounts	556,112		220,039
Recoveries of accounts written off	139,113		96,614
Accounts written off	(102,828)		(309,483)
Ending balance	$	703,140	$	110,743

A reconciliation of basic and diluted EPS is presented below:


	Years Ended September 30
	2020		2019
Net Income	$	10,564,534	$	8,698,412
Weighted-average common shares	8,125,938		8,039,484
Effect of dilutive securities:
Options to purchase common stock	20,728		39,466
Diluted average common shares	8,146,666		8,078,950
Earnings Per Share of Common Stock:
Basic	$	1.30	$	1.08
Diluted	$	1.30	$	1.08

A summary of other comprehensive income is provided below:


	Before Tax Amount		Tax (Expense) or Benefit		Net of Tax Amount
Year Ended September 30, 2020:
Interest rate swaps:
Unrealized losses	$	(1,594,126)	$	410,328	$	(1,183,798)
Transfer of realized losses to interest expense	264,911		(68,189)		196,722
Net interest rate swaps	(1,329,215)		342,139		(987,076)
Defined benefit plans:
Net loss arising during period	$	(52,669)	$	13,557	$	(39,112)
Amortization of actuarial losses	90,441		(23,280)		67,161
Net defined benefit plans	37,772		(9,723)		28,049
Other comprehensive loss	$	(1,291,443)	$	332,416	$	(959,027)
Year Ended September 30, 2019:
Interest rate swaps:
Unrealized losses	$	(1,117,595)	$	287,669	$	(829,926)
Transfer of realized gains to interest expense	(87,309)		22,474		(64,835)

Net interest rate swaps	(1,204,904)		310,143		(894,761)
Defined benefit plans:
Net loss arising during period	$	(962,612)	$	247,777	$	(714,835)
Amortization of actuarial gains	(10,305)		2,652		(7,653)
Net defined benefit plans	(972,917)		250,429		(722,488)
Other comprehensive loss	$	(2,177,821)	$	560,572	$	(1,617,249)

Composition of AOCI:


	Interest Rate Swaps		Defined Benefit Plans		Accumulated Other Comprehensive Income (Loss)



Balance September 30, 2018	230,624		(1,102,292)		(871,668)
Other comprehensive loss	(894,761)		(722,488)		(1,617,249)

Balance September 30, 2019	(664,137)		(1,824,780)		(2,488,917)
Other comprehensive income (loss)	(987,076)		28,049		(959,027)
Balance September 30, 2020	$	(1,651,213)	$	(1,796,731)	$	(3,447,944)