ONE Gas (OGS) 10-Q 1 Nov 22 2022 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2022	Oct. 25, 2022
Document Information [Line Items]
Document Type	10-Q
Document Period End Date	Sep. 30, 2022
Entity Registrant Name	ONE Gas, Inc.
Entity Central Index Key	0001587732
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Information [Line Items]
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-36108
Entity Incorporation, State or Country Code	OK
Entity Tax Identification Number	46-3561936
Entity Address, Address Line One	15 East Fifth Street
Entity Address, City or Town	Tulsa,
Entity Address, State or Province	OK
Entity Address, Postal Zip Code	74103
City Area Code	(918)
Local Phone Number	947-7000
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	OGS
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		54,141,036

STATEMENTS OF INCOME

STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Regulated Operating Revenue	$ 359,363	$ 273,923	$ 1,759,797	$ 1,214,862
Cost of natural gas	126,197	59,399	954,394	467,169
Operating expenses
Operations and maintenance	113,832	105,732	339,506	320,152
Depreciation and amortization	55,234	51,150	167,414	154,288
General taxes	17,048	15,835	52,105	49,999
Total operating expenses	186,114	172,717	559,025	524,439
Operating income	47,052	41,807	246,378	223,254
Other income (expense), net	793	(1,805)	(7,335)	(1,758)
Interest expense, net	(19,551)	(15,392)	(51,466)	(45,828)
Income before income taxes	28,294	24,610	187,577	175,668
Income taxes	(4,593)	(4,357)	(32,867)	(29,746)
Net income	$ 23,701	$ 20,253	$ 154,710	$ 145,922
Earnings per share
Basic	$ 0.44	$ 0.38	$ 2.86	$ 2.73
Diluted	$ 0.44	$ 0.38	$ 2.85	$ 2.72
Weighted Average Number of Shares Outstanding, Basic [Abstract]
Basic	54,310	53,710	54,164	53,516
Weighted Average Number of Shares Outstanding, Diluted [Abstract]
Diluted	54,482	53,793	54,282	53,618
Common Stock, Dividends, Per Share, Declared	$ 0.62	$ 0.58	$ 1.86	$ 1.74

STATEMENTS OF COMPREHENSIVE INC

STATEMENTS OF COMPREHENSIVE INCOME STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 23,701	$ 20,253	$ 154,710	$ 145,922
Other comprehensive income (loss), net of tax
Change in pension and other postemployment benefit plan liability, net of tax of $(4), $(91), $(33) and $(273), respectively	12	300	111	899
Other comprehensive income, net of tax	12	300	111	899
Comprehensive income	$ 23,713	$ 20,553	$ 154,821	$ 146,821

STATEMENTS OF COMPREHENSIVE I_2

STATEMENTS OF COMPREHENSIVE INCOME STATEMENTS OF COMPREHENSIVE INCOME Parenthetical - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Pension and other postemployment benefit plans, tax	$ (4)	$ (91)	$ (33)	$ (273)

BALANCE SHEETS

BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Property, plant and equipment
Property, plant and equipment	$ 7,647,792	$ 7,274,268
Accumulated depreciation and amortization	2,172,271	2,083,433
Net property, plant and equipment	5,475,521	5,190,835
Current assets
Cash and cash equivalents	10,366	8,852
Accounts receivable, net	192,741	341,756
Materials and supplies	66,966	54,892
Natural gas in storage	343,377	179,646
Regulatory assets, Current	316,131	1,611,676
Other current assets	28,845	27,742
Total current assets	958,426	2,224,564
Goodwill and other assets
Regulatory assets, Noncurrent	624,484	724,862
Goodwill	157,953	157,953
Other assets	105,125	103,906
Total goodwill and other assets	887,562	986,721
Total assets	7,321,509	8,402,120
Equity and long-term debt
Common stock, $0.01 par value: authorized 250,000,000 shares; issued and outstanding 54,137,925 shares at September 30, 2022; issued and outstanding 53,633,210 shares at December 31, 2021	541	536
Paid-in Capital	1,833,480	1,790,362
Retained earnings	618,669	565,161
Accumulated other comprehensive loss	(6,416)	(6,527)
Total equity	2,446,274	2,349,532
Long-term debt, excluding current maturities and net of issuance costs of $14,520 and $12,418, respectively	2,429,053	3,683,378
Total equity and long-term debt	4,875,327	6,032,910
Current liabilities
Long-term Debt, Current Maturities	250,012	11
Short-term debt	423,400	494,000
Accounts payable	191,117	258,554
Accrued taxes other than income	73,387	67,035
Regulatory Liability, Current	38,171	8,090
Customer deposits	62,005	62,454
Other current liabilities	66,572	90,349
Total current liabilities	1,104,664	980,493
Deferred credits and other liabilities
Deferred income taxes	690,146	695,284
Regulatory Liability, Noncurrent	536,612	552,928
Employee benefit obligations	22,151	35,226
Other deferred credits	92,609	105,279
Liabilities, Other than Long-term Debt, Noncurrent	1,341,518	1,388,717
Commitments and contingencies
Total liabilities and equity	$ 7,321,509	$ 8,402,120

BALANCE SHEETS BALANCE SHEETS P

BALANCE SHEETS BALANCE SHEETS Parenthetical - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Common stock, par value per share	$ 0.01
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	54,137,925	53,633,210
Common stock, shares outstanding	54,137,925	53,633,210
Debt issuance costs	$ 14,520	$ 12,418

STATEMENTS OF CASH FLOWS

STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating activities
Net income	$ 154,710	$ 145,922
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	167,414	154,288
Deferred income taxes	(21,498)	29,224
Share-based compensation expense	8,286	8,076
Provision for doubtful accounts	3,885	8,128
Proceeds from Securitization Bonds	1,330,582	0
Changes in assets and liabilities:
Accounts receivable	149,533	166,474
Materials and supplies	(12,074)	128
Natural gas in storage	(163,731)	(72,832)
Asset Removal Costs	34,386	35,195
Accounts payable	(84,404)	(17,244)
Accrued taxes other than income	6,352	5,574
Customer deposits	(449)	(8,595)
Increase (Decrease) In Regulatory Assets And Liabilities Current, net	16,324	(273,659)
Increase (Decrease) In Regulatory Assets And Liabilities Noncurrent, net	60,650	(1,651,445)
Increase (Decrease) in Other Current Assets and Liabilities, Net	(23,051)	(10,537)
Increase (Decrease) in Other Noncurrent Assets and Liabilities, Net	(2,317)	(8,884)
Cash provided by operating activities	1,555,826	(1,560,577)
Investing activities
Capital expenditures	(412,519)	(347,701)
Payments for Other Investing Activities	(2,419)	(3,374)
Proceeds from Sale of Other Assets, Investing Activities	2,695	1,676
Cash used in investing activities	(412,243)	(349,399)
Financing activities
Borrowings (repayments) of short-term debt, net	(70,600)	(82,225)
Proceeds from Issuance of Senior Long-term Debt	297,591	2,498,895
Payments of Debt Issuance Costs	(2,695)	(35,110)
Proceeds from Issuance of Common Stock	37,104	24,104
Repayments of Other Long-term Debt	(1,300,000)	(400,000)
Dividends paid	(100,386)	(92,832)
Payment, Tax Withholding, Share-based Payment Arrangement	(3,083)	(4,382)
Cash used in financing activities	(1,142,069)	1,908,450
Change in cash and cash equivalents	1,514	(1,526)
Cash and cash equivalents at beginning of period	8,852	7,993
Cash and cash equivalents at end of period	$ 10,366	$ 6,467

STATEMENT OF CHANGES IN EQUITY

STATEMENT OF CHANGES IN EQUITY - USD ($) $ in Thousands	Total	Common Stock [Member]	Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Shares issued, beginning balance at Dec. 31, 2020		53,166,733
Equity, beginning balance at Dec. 31, 2020	$ 2,233,311	$ 532	$ 1,756,921	$ 483,635	$ (7,777)
Net income	95,575	0	0	95,575	0
Other comprehensive income	300	$ 0	0	0	300
Common stock issued, shares		78,278
Common stock issued, value	(1,705)	$ 0	(1,705)	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	(30,882)	$ 0	260	(31,142)	0
Shares issued, ending balance at Mar. 31, 2021		53,245,011
Equity, ending balance at Mar. 31, 2021	$ 2,296,599	$ 532	1,755,476	548,068	(7,477)
Dividends paid per share of stock	$ 0.58
Shares issued, beginning balance at Dec. 31, 2020		53,166,733
Equity, beginning balance at Dec. 31, 2020	$ 2,233,311	$ 532	1,756,921	483,635	(7,777)
Net income	145,922
Other comprehensive income	899
Shares issued, ending balance at Sep. 30, 2021		53,584,326
Equity, ending balance at Sep. 30, 2021	2,315,098	$ 536	1,785,476	535,964	(6,878)
Shares issued, beginning balance at Mar. 31, 2021		53,245,011
Equity, beginning balance at Mar. 31, 2021	2,296,599	$ 532	1,755,476	548,068	(7,477)
Net income	30,093	0	0	30,093	0
Other comprehensive income	299	$ 0	0	0	299
Common stock issued, shares		254,226
Common stock issued, value	21,178	$ 3	21,175	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	(30,903)	$ 0	260	(31,163)	0
Shares issued, ending balance at Jun. 30, 2021		53,499,237
Equity, ending balance at Jun. 30, 2021	$ 2,317,266	$ 535	1,776,911	546,998	(7,178)
Dividends paid per share of stock	$ 0.58
Net income	$ 20,253	0	0	20,253	0
Other comprehensive income	300	$ 0	0	0	300
Common stock issued, shares		85,089
Common stock issued, value	8,325	$ 1	8,324	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	(31,046)	$ 0	241	(31,287)	0
Shares issued, ending balance at Sep. 30, 2021		53,584,326
Equity, ending balance at Sep. 30, 2021	$ 2,315,098	$ 536	1,785,476	535,964	(6,878)
Dividends paid per share of stock	$ 0.58
Shares issued, beginning balance at Dec. 31, 2021	53,633,210	53,633,210
Equity, beginning balance at Dec. 31, 2021	$ 2,349,532	$ 536	1,790,362	565,161	(6,527)
Net income	98,934	0	0	98,934	0
Other comprehensive income	69	$ 0	0	0	69
Common stock issued, shares		456,607
Common stock issued, value	34,140	$ 5	34,135	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	(33,285)	$ 0	274	(33,559)	0
Shares issued, ending balance at Mar. 31, 2022		54,089,817
Equity, ending balance at Mar. 31, 2022	$ 2,449,390	$ 541	1,824,771	630,536	(6,458)
Dividends paid per share of stock	$ 0.62
Shares issued, beginning balance at Dec. 31, 2021	53,633,210	53,633,210
Equity, beginning balance at Dec. 31, 2021	$ 2,349,532	$ 536	1,790,362	565,161	(6,527)
Net income	154,710
Other comprehensive income	$ 111
Shares issued, ending balance at Sep. 30, 2022	54,137,925	54,137,925
Equity, ending balance at Sep. 30, 2022	$ 2,446,274	$ 541	1,833,480	618,669	(6,416)
Shares issued, beginning balance at Mar. 31, 2022		54,089,817
Equity, beginning balance at Mar. 31, 2022	2,449,390	$ 541	1,824,771	630,536	(6,458)
Net income	32,075	0	0	32,075	0
Other comprehensive income	30	$ 0	0	0	30
Common stock issued, shares		47,400
Common stock issued, value	5,636	$ 0	5,636	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	(33,535)	$ 0	271	(33,806)	0
Shares issued, ending balance at Jun. 30, 2022		54,137,217
Equity, ending balance at Jun. 30, 2022	$ 2,453,596	$ 541	1,830,678	628,805	(6,428)
Dividends paid per share of stock	$ 0.62
Net income	$ 23,701	0	0	23,701	0
Other comprehensive income	12	$ 0	0	0	12
Common stock issued, shares		708
Common stock issued, value	2,531	$ 0	2,531	0	0
Common stock dividends - $0.62 and $0.58 per share per quarter as of 2022 and 2021, respectively	$ (33,566)	$ 0	271	(33,837)	0
Shares issued, ending balance at Sep. 30, 2022	54,137,925	54,137,925
Equity, ending balance at Sep. 30, 2022	$ 2,446,274	$ 541	$ 1,833,480	$ 618,669	$ (6,416)
Dividends paid per share of stock	$ 0.62

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Notes)	9 Months Ended
	Sep. 30, 2022
Significant Accounting Policies [Line Items]
SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Our accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC. These statements also have been prepared in accordance with GAAP and reflect all adjustments that, in our opinion, are necessary for a fair statement of the results for the interim periods presented. All such adjustments are of a normal recurring nature. The 2021 year-end consolidated balance sheet data was derived from audited consolidated financial statements but does not include all disclosures required by GAAP. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes in our Annual Report. Our significant accounting policies are described in Note 1 of our Notes to Consolidated Financial Statements in our Annual Report. Due to the seasonal nature of our business, the results of operations for the nine months ended September 30, 2022, are not necessarily indicative of the results that may be expected for a 12-month period. We provide natural gas distribution services to our approximately 2.3 million customers through our divisions in Oklahoma, Kansas and Texas through Oklahoma Natural Gas, Kansas Gas Service and Texas Gas Service, respectively. We primarily serve residential, commercial and transportation customers in all three states. Use of Estimates - The preparation of our consolidated financial statements and related disclosures in accordance with GAAP requires us to make estimates and assumptions with respect to values or conditions that cannot be known with certainty that affect the reported amount of assets and liabilities, and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements. These estimates and assumptions also affect the reported amounts of revenue and expense during the reporting period. Items that may be estimated include, but are not limited to, the economic useful life of assets, fair value of assets and liabilities, provisions for doubtful accounts receivable, unbilled revenues for natural gas delivered but for which meters have not been read, natural gas purchased but for which no invoice has been received, provision for income taxes, including any deferred income tax valuation allowances, the results of litigation and various other recorded or disclosed amounts. We evaluate these estimates on an ongoing basis using historical experience and other methods we consider reasonable based on the particular circumstances. Nevertheless, actual results may differ significantly from the estimates. Any effects on our financial position or results of operations from revisions to these estimates are recorded in the period when the facts that give rise to the revision become known. Segments - We operate in one reportable business segment: regulated public utilities that deliver natural gas primarily to residential, commercial and transportation customers. The accounting policies for our segment are the same as those described in Note 1 of our Notes to Consolidated Financial Statements in our Annual Report. We evaluate our financial performance principally on net income. For the three and nine months ended September 30, 2022 and 2021, we had no single external customer from which we received 10 percent or more of our gross revenues. Property, Plant and Equipment and Asset Removal Costs - Accounts payable for construction work in process and asset removal costs decreased by approximately $4.0 million and $7.5 million for the nine months ended September 30, 2022 and 2021, respectively. Such amounts are not included in capital expenditures or asset removal costs in our consolidated statements of cash flows. Goodwill Impairment Test – We assess our goodwill for impairment at least annually on July 1, unless events or changes in circumstances indicate an impairment may have occurred before that time. As part of our goodwill impairment test, we may first assess qualitative factors (including macroeconomic conditions, industry and market considerations, cost factors and overall financial performance) to determine whether it is more likely than not that the fair value of our reporting unit is less than its carrying amount. If further testing is necessary or a quantitative test is elected to refresh our recurring qualitative assessments, we perform a quantitative impairment test for goodwill. We did not identify any impairment indicators for our goodwill and determined that no further testing was necessary. Accounts Receivable - Accounts receivable represent valid claims against nonaffiliated customers for natural gas sold or services rendered, net of allowances for doubtful accounts. We assess the creditworthiness of our customers. Those customers who do not meet minimum standards may be required to provide security, including deposits and other forms of collateral, when appropriate and allowed by our tariffs. With approximately 2.3 million customers across three states, we are not exposed materially to a concentration of credit risk. We maintain an allowance for doubtful accounts based upon factors surrounding the credit risk of customers, historical trends, consideration of the current environment and other information. We recover natural gas costs related to accounts written off when they are deemed uncollectible through the purchased-gas cost adjustment mechanisms in each of our jurisdictions. At September 30, 2022 and December 31, 2021, our allowance for doubtful accounts was $15.6 million and $18.7 million, respectively. Recently Issued Accounting Standards Update - In November 2021, the FASB issued ASU 2021-10, “Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance,” which will require disclosure about government assistance in the notes to the financial statements. The amendment requires annual disclosures about transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy, including information about the nature of the transactions and the related accounting policy used to account for the transactions, the line items on the balance sheet and income statement that are affected by the transactions and the significant terms and conditions of the transactions, including commitments and contingencies. The amendment became effective for us beginning January 1, 2022. As the guidance is related only to disclosures in the notes to the financial statements, we do not anticipate any impact on our financial position, results of operations or cash flows. See Note 3 for additional discussion regarding our transaction in Oklahoma with the government that is accounted for by applying a grant accounting model by analogy.

REVENUE (Notes)

REVENUE (Notes)	9 Months Ended
	Sep. 30, 2022
Revenue from Contract with Customer	REVENUE The following table sets forth our revenues disaggregated by source for the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 (Thousands of dollars) Natural gas sales to customers $ 322,444 $ 240,591 $ 1,640,893 $ 1,105,835 Transportation revenues 28,035 25,342 92,350 87,760 Miscellaneous revenues 4,991 4,363 14,615 12,091 Total revenues from contracts with customers 355,470 270,296 1,747,858 1,205,686 Other revenues - natural gas sales related 427 545 2,658 849 Other revenues 3,466 3,082 9,281 8,327 Total other revenues 3,893 3,627 11,939 9,176 Total revenues $ 359,363 $ 273,923 $ 1,759,797 $ 1,214,862

REGULATORY ASSETS AND LIABILITI

REGULATORY ASSETS AND LIABILITIES (Notes)	9 Months Ended
	Sep. 30, 2022
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Schedule of Regulatory Assets and Liabilities	REGULATORY ASSETS AND LIABILITIES The tables below present a summary of regulatory assets and liabilities, net of amortization, for the periods indicated: September 30, 2022 Current Noncurrent Total ( Thousands of dollars ) Winter weather event costs $ 243,232 $ 342,997 $ 586,229 Under-recovered purchased-gas costs 28,193 — 28,193 Pension and postemployment benefit costs 4,010 245,637 249,647 Reacquired debt costs 811 3,528 4,339 MGP remediation costs 98 29,767 29,865 Ad-valorem tax 12,779 — 12,779 WNA 10,555 — 10,555 Customer credit deferrals 14,595 — 14,595 Other 1,858 2,555 4,413 Total regulatory assets, net of amortization 316,131 624,484 940,615 Income tax rate changes — (536,612) (536,612) Over-recovered purchased-gas costs (38,171) — (38,171) Total regulatory liabilities (38,171) (536,612) (574,783) Net regulatory assets and liabilities $ 277,960 $ 87,872 $ 365,832 December 31, 2021 Current Noncurrent Total ( Thousands of dollars ) Winter weather event costs $ 1,536,054 $ 428,023 $ 1,964,077 Under-recovered purchased-gas costs 31,863 — 31,863 Pension and postemployment benefit costs 11,507 260,559 272,066 Reacquired debt costs 812 4,070 4,882 MGP remediation costs 98 29,841 29,939 Ad-valorem tax 8,561 — 8,561 WNA 10,044 — 10,044 Customer credit deferrals 10,685 — 10,685 Other 2,052 2,369 4,421 Total regulatory assets, net of amortization 1,611,676 724,862 2,336,538 Income tax rate changes — (552,928) (552,928) Over-recovered purchased-gas costs (8,090) — (8,090) Total regulatory liabilities (8,090) (552,928) (561,018) Net regulatory assets and liabilities $ 1,603,586 $ 171,934 $ 1,775,520 Regulatory assets in our consolidated balance sheets, as authorized by various regulatory authorities, are probable of recovery. Base rates and certain riders are designed to provide a recovery of costs during the period such rates are in effect, but do not generally provide for a return on investment for amounts we have deferred as regulatory assets. All of our regulatory assets are subject to review by the respective regulatory authorities during future regulatory proceedings. We are not aware of any evidence that these costs will not be recoverable through either riders, base rates, or securitization. Winter weather event costs - In February 2021, the U.S. experienced Winter Storm Uri, a historic winter weather event impacting supply, market pricing and demand for natural gas in a number of states, including our service territories of Kansas, Oklahoma, and Texas. During this time, the governors of Kansas, Oklahoma, and Texas each declared a state of emergency, and certain regulatory agencies issued emergency orders that impacted the utility and natural gas industries, including statewide utility curtailment programs and orders requiring jurisdictional natural gas and electric utilities to do all things possible and necessary to ensure that natural gas and electricity utility services continued to be provided to their customers. Due to the historic nature of this winter weather event, we experienced unforeseeable and unprecedented market pricing for natural gas in our Kansas, Oklahoma, and Texas jurisdictions, which resulted in aggregated natural gas purchases for the month of February 2021 of approximately $2.1 billion. Oklahoma - Beginning in the first quarter 2021, Oklahoma Natural Gas began deferring to a regulatory asset the extraordinary costs associated with this unprecedented winter weather event, including commodity costs, operational costs and carrying costs in accordance with an order issued by the OCC in March 2021. In April 2021, a bill permitting the state of Oklahoma to pursue securitized financing of extraordinary expenses, such as fuel costs, financing costs and other operational costs incurred by regulated utilities during extreme weather events, was signed into law. This law gives the OCC the authority to approve amounts to be recovered from the issuance of ratepayer-backed securitized bonds by the ODFA. In April 2021, Oklahoma Natural Gas submitted an initial application requesting a financing order pursuant to the securitization legislation in Oklahoma. On January 25, 2022, the OCC approved the financing order that reflected the terms of a settlement agreement reached in November 2021, which includes an agreement that all extreme gas purchase and extraordinary costs incurred as a result of Winter Storm Uri were reasonable and prudent and a financing order should be issued to recover these costs through securitization. Pursuant to the securitization statute in Oklahoma, the Oklahoma Supreme Court validated that the bond issuance proposed by the ODFA complied with the securitization statute and the laws of Oklahoma in May 2022. On August 25, 2022, the ODFA completed the issuance of $1.35 billion in ratepayer-backed bonds with varying scheduled final maturities over 30 years, consistent with the OCC order. The bonds are limited and special revenue obligations of the ODFA, payable solely from the securitization bond collateral and are not an obligation of Oklahoma Natural Gas or any of its affiliates. The proceeds received by Oklahoma Natural Gas from the ODFA were approximately $1.3 billion, which represents the amount of the securitization bonds issued less issuance costs. The receipt of these proceeds represents Oklahoma Natural Gas’ recovery of the approximately $1.3 billion of authorized extraordinary natural gas purchase costs and other operational costs incurred during Winter Storm Uri, as well as carrying costs. GAAP does not provide comprehensive recognition and measurement guidance for many forms of government assistance received by business entities. Accordingly, we have accounted for the proceeds received from the ODFA by analogy to International Accounting Standards No. 20, “Accounting for Government Grants and Disclosure of Government Assistance” consistent with a grant related to income. The proceeds received and the corresponding recognition of the deferred regulatory asset have been reflected in cost of natural gas in our Consolidated Statements of Income. As the proceeds reflect the recovery of our winter weather event regulatory asset, there was no material impact to earnings. Beginning September 1, 2022, Oklahoma Natural Gas will act as a servicer, with responsibility for collecting the securitization charges from Oklahoma customers that are then submitted to the ODFA to repay the securitization bonds. The collection and remittance of these funds on behalf of the ODFA are recorded in other current liabilities in our consolidated balance sheets. Kansas - In March 2021, the KCC issued an order adopting the KCC staff’s recommendation to open company-specific dockets to accept each utility’s filing of financial impact compliance reports and permit the KCC staff to conduct a review of the utility’s compliance report and its actions during Winter Storm Uri. In April 2021, a bill permitting the utilities to pursue securitization to finance extraordinary expenses, such as fuel costs incurred during extreme weather events, was signed into law by the Kansas governor. The law gives the KCC the authority to oversee and authorize the issuance of ratepayer-backed securitized bonds issued by a public utility. In May 2021, Kansas Gas Service filed a motion in its company-specific docket opened by the KCC, requesting a limited waiver of the penalty provisions of its tariff to eliminate the multipliers in the penalty calculation when calculating the penalties to assess on marketers and individually-balanced transportation customers for their unauthorized natural gas usage during Winter Storm Uri. In October 2021, a nonunanimous settlement agreement was filed with the KCC to reach a resolution on these penalties. Prior to a hearing on the amended settlement in January 2022, all parties reached a unanimous settlement, which was filed with a motion requesting approval of the unanimous settlement. Under the terms of the unanimous settlement, the carrying charge on assessed penalties was reduced to two percent, consistent with the nonunanimous agreement in the financial docket. On March 3, 2022, the KCC issued an order approving the settlement which modified the penalty provisions of Kansas Gas Service’s tariffs and included a carrying charge of two percent on amounts due to Kansas Gas Service. Amounts collected from these penalties will reduce the regulatory asset for the winter weather event, up to $52.6 million. Through September 30, 2022, we have collected $49.4 million of these penalties. In July 2021, Kansas Gas Service submitted its financial plan to the KCC as required by the company-specific docket opened by the KCC in March 2021. The plan includes a proposal for a newly formed, bankruptcy remote subsidiary of the Company to issue securitized bonds to recover the extraordinary costs resulting from Winter Storm Uri from Kansas Gas Service’s customers. On February 8, 2022, the KCC issued an order approving a unanimous settlement agreement that allows Kansas Gas Service to recover extraordinary costs, net of any penalties recovered from marketers and individually-balanced transportation customers, plus carrying costs, by seeking a financing order from the KCC for the issuance of securitized utility tariff bonds. On March 31, 2022, Kansas Gas Service submitted its application for a financing order to the KCC as contemplated by the unanimous settlement agreement, requesting approval to issue securitized bonds to recover extraordinary costs resulting from Winter Storm Uri and flexibility to recover the costs. On July 14, 2022, Kansas Gas Service, the KCC Staff and the Citizens’ Utility Ratepayer Board reached a settlement agreement for the issuance of a financing order allowing a newly formed, bankruptcy remote subsidiary of the Company to issue securitized utility tariff bonds in the amount of approximately $328.0 million plus issuance fees. The final amount to be securitized will be provided in the final issuance advice letter. The agreement provides for the issuance of bonds with a scheduled final maturity of between 7 and 10 years with flexibility within that range, if necessary, to achieve a AAA rating. On August 18, 2022, the KCC issued an order approving the agreement and also issued a financing order. As part of the settlement agreement, we created KGSS-I, a special-purpose, wholly-owned subsidiary of ONE Gas, and filed a registration statement with the SEC, for the purpose of issuing securitized bonds. After the SEC declares the registration statement effective, KGSS-I expects to begin the process to issue the bonds. At September 30, 2022, Kansas Gas Service has deferred approximately $339.6 million in extraordinary costs, net of penalties billed, attributable to Winter Storm Uri. The amount deferred at September 30, 2022, in excess of the amount securitized, primarily includes accrued costs for natural gas purchases that have not been paid as we work with our suppliers to resolve discrepancies in invoiced amounts. These amounts will be recovered through our purchased gas cost mechanisms or other regulatory filings and may be adjusted as the differences are resolved. Texas - Pursuant to securitization legislation enacted in Texas as a result of Winter Storm Uri and a June 2021 RRC Notice to Gas Utilities, Texas Gas Service submitted an application to the RRC on July 30, 2021, for an order authorizing the amount of extraordinary costs for recovery and other such specifications necessary for the issuance of securitized bonds. In November 2021, the RRC approved a unanimous settlement agreement between Texas Gas Service, the other natural gas utilities in Texas participating in the securitization process, the staff of the RRC and all intervenors. The settlement agreement provides that all costs incurred by Texas Gas Service to purchase natural gas during Winter Storm Uri were reasonable, necessary and prudently incurred. On February 8, 2022, the RRC issued a single financing order for Texas Gas Service and other natural gas utilities in Texas participating in the securitization process, which included a determination that the approved costs will be collected from customers over a period of not more than 30 years. The TPFA formed the Texas Natural Gas Securitization Finance Corporation, a new independent public authority, that will issue the securitized bonds, which are expected to be issued in the fourth quarter of 2022. At September 30, 2022, Texas Gas Service has deferred approximately $246.7 million in extraordinary costs associated with Winter Storm Uri, which includes $47.8 million attributable to the West Texas service area. Pursuant to the approved settlement order, in January 2022, Texas Gas Service began collecting the extraordinary costs, including carrying costs, associated with Winter Storm Uri attributable to the West Texas service area from those customers. General - In accordance with these regulatory orders associated with the winter weather event, our regulatory asset totaled approximately $586.2 million in extraordinary costs for natural gas purchases, related financing and carrying costs and other operational costs that have not been recovered at September 30, 2022. The amounts deferred include invoiced costs for natural gas purchases that have not been paid as we work with our suppliers to resolve discrepancies in invoiced amounts. The amounts deferred may be adjusted as the differences are resolved. In addition, as a result of Winter Storm Uri, we were assessed penalties as a result of over- or under-deliveries of natural gas during periods that operational flow orders were imposed on us. Additionally, Kansas Gas Service assessed penalties under the modified penalty provisions of its tariff on marketers and individually-balanced transportation customers, or their agents, as approved by the KCC in March 2022. Amounts recorded reflect management’s best estimate of the amounts we may pay or receive and may be adjusted in future periods as the disposition of disputed invoices and the collectability of such penalties is determined. As these amounts are related to the extraordinary gas purchase costs associated with Winter Storm Uri, which are deferred, future adjustments to the amounts deferred are not expected to have a material impact on earnings. Other regulatory assets and liabilities - Purchased-gas costs represent the natural gas costs that have been over- or under- recovered from customers through the purchased-gas cost adjustment mechanisms, and includes natural gas utilized in our operations and premiums paid and any cash settlements received from our purchased natural gas call options. The OCC, KCC and regulatory authorities in Texas have approved the recovery of pension costs and other postemployment benefits costs through rates for Oklahoma Natural Gas, Kansas Gas Service and Texas Gas Service, respectively. The costs recovered through rates are based on the net periodic benefit cost for defined benefit pension and other postemployment costs. Differences, if any, between the net periodic benefit cost, net of deferrals, and the amount recovered through rates are reflected in earnings. We historically have recovered defined benefit pension and other postemployment benefit costs through rates. We believe it is probable that regulators will continue to include the net periodic pension and other postemployment benefit costs in our cost of service. We amortize reacquired debt costs in accordance with the accounting guidelines prescribed by the OCC and KCC. Weather normalization represents revenue over- or under- recovered through the WNA rider in Kansas. This amount is deferred as a regulatory asset or liability for a 12-month period. Kansas Gas Service then applies an adjustment to the customers’ bills for 12 months to refund the over-collected revenue or bill the under-collected revenue. Ad-valorem tax represents the difference in Kansas Gas Service’s taxes incurred each year above or below the amount approved in base rates. This difference is deferred as a regulatory asset or liability for a 12-month period. Kansas Gas Service then applies an adjustment to customers’ bills to refund the over-collected revenue or bill the under-collected revenue over the subsequent 12 months. The customer credit deferrals and the noncurrent regulatory liability for income tax rate changes represents deferral of the effects of enacted federal and state income tax rate changes on our ADIT and the effects of these changes on our rates. See Note 10 for additional information regarding the impact of income tax rate changes. See Note 12 and “Environmental, Safety and Regulatory Matters” in Management’s Discussion and Analysis of Financial Condition and Results of Operations for additional information regarding our regulatory assets for MGP remediation costs. We have received accounting orders in each of our jurisdictions authorizing us to accumulate and defer for regulatory purposes certain incremental costs incurred, including bad debt expenses, and certain lost revenues, net of offsetting expense reductions associated with COVID-19. Pursuant to these orders, the recovery of any net incremental costs and lost revenues will be determined in future rate cases or alternative rate recovery filings in each jurisdiction. For financial reporting purposes, any amounts deferred as a regulatory asset for future recovery under these accounting orders must be probable of recovery. At September 30, 2022, no regulatory assets have been recorded. In Oklahoma, the test period for our recently completed rate case included the impacts of COVID-19 on our cost of service in determining new rates that became effective in November 2021. In addition, annual PBRC filings, including the PBRC filing made in March 2022, allow us to include any impacts from COVID-19 in our test period cost of service to determine the impact on our rates. In Kansas and Texas, we continue to evaluate the impacts of COVID-19 on our business and will record regulatory assets for financial reporting purposes at such time as recovery is deemed probable. Recoveries of regulatory assets through rates were not material for the three months ended September 30, 2022 and 2021, respectively. Recovery through rates resulted in amortization of regulatory assets of approximately $6.9 million and $4.4 million for the nine months ended September 30, 2022 and 2021, respectively.

CREDIT FACILITIES (Notes)

CREDIT FACILITIES (Notes)	9 Months Ended
	Sep. 30, 2022
Short-term Debt [Line Items]
Short-term Debt [Text Block]	CREDIT FACILITY AND SHORT-TERM DEBT On March 16, 2022, we entered into the first amendment to the second amended and restated ONE Gas Credit Agreement, which was previously amended and restated on March 16, 2021. The amendment extends the maturity date of the ONE Gas Credit Agreement to March 16, 2027, from March 16, 2026, and amends the ONE Gas Credit Agreement to provide that we may extend the maturity date, subject to the lenders’ consent, by one year two additional times. The amendment also changes the benchmark rate defined in the ONE Gas Credit Agreement to SOFR. All other material terms and conditions of the ONE Gas Credit Agreement remain in full force and effect. The ONE Gas Credit Agreement provides for a $1.0 billion revolving unsecured credit facility and includes a $20 million letter of credit subfacility and a $60 million swingline subfacility. We can request an increase in commitments of up to an additional $500 million upon satisfaction of customary conditions, including receipt of commitments from either new lenders or increased commitments from existing lenders. The ONE Gas Credit Agreement is available to provide liquidity for working capital, capital expenditures, acquisitions and mergers, the issuance of letters of credit and for other general corporate purposes. The ONE Gas Credit Agreement contains certain financial, operational and legal covenants. Among other things, these covenants include maintaining ONE Gas’ total debt-to-capital ratio of no more than 70 percent at the end of any calendar quarter. At September 30, 2022, our total debt-to-capital ratio was 56 percent and we were in compliance with all covenants under the ONE Gas Credit Agreement. We may reduce the unutilized portion of the ONE Gas Credit Agreement in whole or in part without premium or penalty. The ONE Gas Credit Agreement contains customary events of default. Upon the occurrence of certain events of default, the obligations under the ONE Gas Credit Agreement may be accelerated and the commitments may be terminated. At September 30, 2022, we had $1.2 million in letters of credit issued and no borrowings under the ONE Gas Credit Agreement, with $998.8 million of remaining credit, which is available to repay any of our commercial paper borrowings. In June 2021, we increased the size of our commercial paper program to permit the issuance of commercial paper to fund short-term borrowing needs in an aggregate principal amount not to exceed $1.0 billion outstanding at any time. Prior to this increase, our commercial paper program permitted us to issue commercial paper in an aggregate principal amount not to exceed $700 million outstanding at any time. The maturities of the commercial paper vary but may not exceed 270 days from the date of issue. Commercial paper is generally sold at par less a discount representing an interest factor. At September 30, 2022 and December 31, 2021, we had $423.4 million and $494.0 million of commercial paper outstanding with a weighted-average interest rate of 3.53 percent and 0.38 percent, respectively. In connection with the second amendment and restatement of the ONE Gas Credit Agreement on March 16, 2021, all commitments under our ONE Gas 364-day Credit Agreement, dated as of April 7, 2020, were terminated and all obligations under the ONE Gas 364-day Credit Agreement were paid in full and discharged.

LONG-TERM DEBT (Notes)

LONG-TERM DEBT (Notes)	9 Months Ended
	Sep. 30, 2022
Long-Term Debt, Unclassified [Abstract]
Long-term Debt [Text Block]	LONG-TERM DEBT Senior Notes - On August 8, 2022, ONE Gas issued $300 million of 4.25 percent senior notes due 2032. The proceeds from the issuance were used to repay amounts outstanding under our commercial paper program and for general corporate purposes. In March 2021, we issued $1.0 billion of 0.85 percent senior notes due March 2023, $700 million of 1.10 percent senior notes due March 2024, and $800 million of floating-rate senior notes due March 2023. The net proceeds from the issuance were used for payment of gas purchases and related costs resulting from Winter Storm Uri and general corporate purposes. In September 2021, we called $400 million of the floating-rate senior notes due March 2023 at par, using a combination of cash on hand and commercial paper. We did not have the right to call these senior notes prior to September 11, 2021. On August 25, 2022, we called $750 million of the $1.0 billion of 0.85 percent senior notes due March 2023, $150 million of the $700 million of 1.10 percent senior notes due March 2024 and the remaining $400 million of outstanding floating-rate senior notes due March 2023, using the proceeds received from the securitization transaction for Oklahoma Natural Gas. See Note 3 of the Notes to Consolidated Financial Statements in this Quarterly Report for additional discussion of the securitization transaction. We expect to use the proceeds from the issuance of securitized bonds in Kansas and Texas, as discussed in Note 3, to call the outstanding senior notes due March 2023 and a portion of the senior notes due March 2024. The indenture governing our Senior Notes includes an event of default upon the acceleration of other indebtedness of $100 million or more. Such events of default would entitle the trustee or the holders of 25 percent in aggregate principal amount of the outstanding Senior Notes to declare those Senior Notes immediately due and payable in full. ONE Gas 2021 Term Loan Facility - In February 2021, we entered into the ONE Gas 2021 Term Loan Facility as part of the financing of our natural gas purchases in order to provide sufficient liquidity to satisfy our obligations as a result of Winter Storm Uri. The net proceeds of the March 2021 debt issuance reduced the commitments under the ONE Gas 2021 Term Loan Facility on a dollar-for-dollar basis, and as a result no commitments remained outstanding and the facility was terminated concurrently with the closing of the debt issuance.

EQUITY (Notes)

EQUITY (Notes)	9 Months Ended
	Sep. 30, 2022
Class of Stock [Line Items]
Stockholders' Equity Note Disclosure [Text Block]	EQUITY At-the-Market Equity Program - In February 2020, we initiated an at-the-market equity program by entering into an equity distribution agreement under which we may issue and sell shares of our common stock with an aggregate offering price up to $250 million (including any shares of common stock that may be sold pursuant to the master forward sale confirmation entered into in connection with the equity distribution agreement and the related supplemental confirmations). Sales of common stock are made by means of ordinary brokers’ transactions on the NYSE, in block transactions or as otherwise agreed to between us and the sales agent. We are under no obligation to offer and sell common stock under the program. For the nine months ended September 30, 2022 and 2021, we issued and sold 403,792 shares and 281,124 shares of our common stock for $35.0 million and $21.4 million, generating proceeds, net of issuance costs, of $34.7 million and $21.1 million, respectively. For the nine months ended September 30, 2022, we executed forward sale agreements for shares of our common stock. No shares of common stock have been settled under these forward sale agreements. Had we settled all shares under the forward agreements as of September 30, 2022, we would have generated net proceeds of $93.9 million, as detailed below: Maturity Shares Available Net Proceeds Available Forward Price September 29, 2023 570,335 $ 45,890 $ 80.46 January 2, 2024 591,736 48,052 81.21 Total 1,162,071 $ 93,942 $ 80.84 At September 30, 2022, we had $85.1 million of equity available for issuance under the program. Dividends Declared - In October 2022, we declared a dividend of $0.62 per share ($2.48 per share on an annualized basis) for shareholders of record as of November 15, 2022, payable on December 1, 2022.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Notes)	9 Months Ended
	Sep. 30, 2022
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Comprehensive Income (Loss) Note	ACCUMULATED OTHER COMPREHENSIVE LOSS The following table sets forth the effect of reclassifications from accumulated other comprehensive loss in our consolidated statements of income for the periods indicated: Three Months Ended Nine Months Ended Affected Line Item in the Details About Accumulated Other September 30, September 30, Consolidated Statements Comprehensive Loss Components 2022 2021 2022 2021 of Income ( Thousands of dollars ) Pension and other postemployment benefit plan obligations (a) Amortization of net loss $ 2,278 $ 11,474 $ 14,731 $ 34,422 Amortization of unrecognized prior service cost (credit) 103 (70) 185 (210) 2,381 11,404 14,916 34,212 Regulatory adjustments (b) (2,365) (11,013) (14,772) (33,040) 16 391 144 1,172 Income before income taxes (4) (91) (33) (273) Income tax expense Total reclassifications for the period $ 12 $ 300 $ 111 $ 899 Net income (a) These components of accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 9 for additional detail of our net periodic benefit cost. (b) Regulatory adjustments represent pension and other postemployment benefit costs expected to be recovered through rates and are deferred as part of our regulatory assets. See Note 3 for additional disclosures of regulatory assets and liabilities.

EARNINGS PER SHARE (Notes)

EARNINGS PER SHARE (Notes)	9 Months Ended
	Sep. 30, 2022
EARNINGS PER SHARE [Line Items]
Earnings Per Share [Text Block]	EARNINGS PER SHARE Basic EPS is calculated by dividing net income by the daily weighted-average number of common shares outstanding during the periods presented, which includes fully vested stock awards that have not yet been issued as common stock. Diluted EPS is based on shares outstanding for the calculation of basic EPS, plus unvested stock awards granted under our compensation plans and equity forward sale agreements, but only to the extent these instruments dilute earnings per share. The following tables set forth the computation of basic and diluted EPS from continuing operations for the periods indicated: Three Months Ended September 30, 2022 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 23,701 54,310 $ 0.44 Diluted EPS Calculation Effect of dilutive securities — 172 Net income available for common stock and common stock equivalents $ 23,701 54,482 $ 0.44 Three Months Ended September 30, 2021 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 20,253 53,710 $ 0.38 Diluted EPS Calculation Effect of dilutive securities — 83 Net income available for common stock and common stock equivalents $ 20,253 53,793 $ 0.38 Nine Months Ended September 30, 2022 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 154,710 54,164 $ 2.86 Diluted EPS Calculation Effect of dilutive securities — 118 Net income available for common stock and common stock equivalents $ 154,710 54,282 $ 2.85 Nine Months Ended September 30, 2021 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 145,922 53,516 $ 2.73 Diluted EPS Calculation Effect of dilutive securities — 102 Net income available for common stock and common stock equivalents $ 145,922 53,618 $ 2.72

EMPLOYEE BENEFIT PLANS (Notes)

EMPLOYEE BENEFIT PLANS (Notes)	9 Months Ended
	Sep. 30, 2022
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]
Employee Benefit Plans (Notes)	EMPLOYEE BENEFIT PLANS The following tables set forth the components of net periodic benefit cost for our pension and other postemployment benefit plans for the periods indicated: Pension Benefits Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Components of net periodic benefit cost (credit) Service cost $ 2,341 $ 3,453 $ 8,027 $ 10,359 Interest cost 9,654 7,365 26,495 22,095 Expected return on assets (14,642) (15,596) (43,887) (46,788) Amortization of unrecognized prior service cost 93 — 155 — Amortization of net loss 2,224 11,381 14,569 34,143 Net periodic benefit cost (credit) $ (330) $ 6,603 $ 5,359 $ 19,809 Other Postemployment Benefits Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Components of net periodic benefit cost (credit) Service cost $ 318 $ 397 $ 954 $ 1,191 Interest cost 1,612 1,563 4,836 4,689 Expected return on assets (3,295) (4,202) (9,885) (12,606) Amortization of unrecognized prior service cost (credit) 10 (70) 30 (210) Amortization of net loss 54 93 162 279 Net periodic benefit cost (credit) $ (1,301) $ (2,219) $ (3,903) $ (6,657) We recover qualified pension benefit plan and other postemployment benefit plan costs through rates charged to our customers. Certain regulatory authorities require that the recovery of these costs be based on specific guidelines. The difference between these regulatory-based amounts and the periodic benefit cost calculated pursuant to GAAP is deferred as a regulatory asset or liability and amortized to expense over periods in which this difference will be recovered in rates, as authorized by the applicable regulatory authorities. For the nine months ended September 30, 2022, regulatory deferrals related to net periodic benefit cost were $3.4 million. For the nine months ended September 30, 2021, regulatory deferrals related to net periodic benefit cost were not material. We use a December 31 measurement date for our plans. On April 30, 2022, we amended our defined benefit pension plans to change the variable cost of living adjustment for eligible participants to a fixed rate. Accordingly, we remeasured our net benefit obligations as of April 30, 2022, resulting in an adjustment of approximately $7.2 million to our pension expense, net of capitalization and regulatory deferrals, for the year ending December 31, 2022, beginning May 1, 2022. We capitalize all eligible service cost and non-service cost components under the accounting requirements of ASC Topic 980 (Regulated Operations) for rate-regulated entities. Our consolidated balance sheets reflect the capitalized non-service cost components as a regulatory asset in the amount of $4.0 million and $6.1 million at September 30, 2022 and December 31, 2021, respectively. See Note 3 of the Notes to Consolidated Financial Statements in this Quarterly Report for additional information.

INCOME TAXES (Notes)

INCOME TAXES (Notes)	9 Months Ended
	Sep. 30, 2022
Income Tax Disclosure [Abstract]
Income Tax Disclosure	INCOME TAXES We use an estimated annual effective tax rate for purposes of determining the income tax provision during interim reporting periods. In calculating our estimated annual effective tax rate, we consider forecasted annual pre-tax income and estimated permanent book versus tax differences, as well as tax credits. Adjustments to the effective tax rate and estimates will occur as information and assumptions change. At September 30, 2022, we have no uncertain tax positions. Changes in tax laws or tax rates are recognized in the financial reporting period that includes the enactment date. We are no longer subject to income tax examination for years prior to 2019. In August 2022, the IRA of 2022 was signed into law. Based upon our review of the legislation, we do not expect it to have any material impacts to our Company. In May 2021, a bill amending the Oklahoma state income tax code was signed into law that reduced the state income tax rate to four percent from six percent beginning January 1, 2022. As a result of the enactment of this legislation, we remeasured our ADIT. As a regulated entity, the reduction in ADIT of $29.3 million w as recorded as a regulatory liability. The impact of the change in the state income tax rate on Oklahoma Natural Gas’ rates, as well as the timing and am ount of the impact on the annual crediting mechanism for the EDIT regulatory liability, was not material and is included in the March 15, 2022 PBRC filing, which is pending approval by the OCC. Income tax expense reflects credits for the amortization of the regulatory liability associated with EDIT that was returned to customers of $1.6 million and $1.5 million for the three months ended September 30, 2022 and 2021, respectively, and credits of $12.5 million and $12.2 million for the nine months ended September 30, 2022 and 2021, respectively.

OTHER INCOME AND OTHER EXPENSE

OTHER INCOME AND OTHER EXPENSE (Notes)	9 Months Ended
	Sep. 30, 2022
Other Income and Other Expense Disclosure [Text Block]	OTHER INCOME AND OTHER EXPENSE The following table sets forth the components of other income and other expense for the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Net periodic benefit (cost) credit other than service cost $ 1,430 $ (1,069) $ 2,209 $ (2,844) Earnings (losses) on investments associated with nonqualified employee benefit plans (1,789) (267) (9,241) 2,232 Other, net 1,152 (469) (303) (1,146) Total other income (expense), net $ 793 $ (1,805) $ (7,335) $ (1,758)

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Notes)	9 Months Ended
	Sep. 30, 2022
Commitments and Contingencies [Line Items]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES COVID-19 - Throughout the COVID-19 pandemic, we have continued to provide essential services to our customers. We have implemented a comprehensive set of policies, procedures and guidelines to protect the safety of our employees, customers and communities. See Note 3 for more information regarding the effects of COVID-19 on us. Environmental Matters - We are subject to multiple laws and regulations regarding protection of the environment and natural and cultural resources, which affect many aspects of our present and future operations. Regulated activities include, but are not limited to, those involving air emissions, storm water and wastewater discharges, handling and disposal of solid and hazardous wastes, wetland preservation, plant and wildlife protection, hazardous materials use, storage and transportation, and pipeline and facility construction. These laws and regulations require us to obtain and/or comply with a wide variety of environmental clearances, registrations, licenses, permits and other approvals. Failure to comply with these laws, regulations, licenses and permits or the discovery of presently unknown environmental conditions may expose us to fines, penalties and/or interruptions in our operations that could be material to our results of operations. In addition, emission controls and/or other regulatory or permitting mandates under the CAA and other similar federal and state laws could require unexpected capital expenditures. We cannot assure that existing environmental statutes and regulations will not be revised or that new regulations will not be adopted or become applicable to us. Revised or additional statutes or regulations that result in increased compliance costs or additional operating restrictions could have a material adverse effect on our business, financial condition and results of operations. Our expenditures for environmental investigation and remediation compliance to-date have not been significant in relation to our financial position, results of operations or cash flows, and our expenditures related to environmental matters had no material effects on earnings or cash flows during the three and nine months ended September 30, 2022 and 2021. We own or retain legal responsibility for certain environmental conditions at 12 former MGP sites in Kansas. These sites contain contaminants generally associated with MGP sites and are subject to control or remediation under various environmental laws and regulations. A consent agreement with the KDHE governs all environmental investigation and remediation work at these sites. The terms of the consent agreement require us to investigate these sites and set remediation activities based upon the results of the investigations and risk analysis. Remediation typically involves the management of contaminated soils and may involve removal of structures and monitoring and/or remediation of groundwater. Regulatory closure has been achieved at five of the 12 sites, but these sites remain subject to potential future requirements that may result in additional costs. We have an AAO that allows Kansas Gas Service to defer and seek recovery of costs necessary for investigation and remediation at, and nearby, these 12 former MGP sites that are incurred after January 1, 2017, up to a cap of $15.0 million, net of any related insurance recoveries. Costs approved for recovery in a future rate proceeding would then be amortized over a 15-year period. The unamortized amounts will not be included in rate base or accumulate carrying charges. Following a determination that future investigation and remediation work approved by the KDHE is expected to exceed $15.0 million, net of any related insurance recoveries, Kansas Gas Service will be required to file an application with the KCC for approval to increase the $15.0 million cap. At September 30, 2022, we have deferred $29.9 million for accrued investigation and remediation costs pursuant to our AAO. Kansas Gas Service expects to file an application as soon as practicable after the KDHE approves the plans we have submitted and anticipates that filing will occur in 2023. We have completed or are addressing removal of the source of soil contamination at all 12 sites and continue to monitor groundwater at seven of the 12 sites according to plans approved by the KDHE. In 2019, we completed a project to remove a source of contamination and associated contaminated materials at the twelfth site where no active soil remediation had previously occurred. Remediation plans concerning various sites were submitted to the KDHE in 2021 and 2020 and the KDHE has provided comments that we are addressing. We are also working on a remediation plan for an additional site that we expect to submit to the KDHE in 2023. We also own or retain legal responsibility for certain environmental conditions at a former MGP site in Texas. At the request of the TCEQ, we began investigating the level and extent of contamination associated with the site under their Texas Risk Reduction Program. A preliminary site investigation revealed that this site contains contaminants generally associated with MGP sites and is subject to control or remediation under various environmental laws and regulations. Impacts have been identified in the soil and groundwater at the site with limited impacts observed in surrounding areas. On April 14, 2022, we submitted a remediation work plan to address the areas impacted to the TCEQ. At September 30, 2022, estimated costs associated with expected remediation activities for this site are not material. Our expenditures for environmental evaluation, mitigation, remediation and compliance to date have not been significant in relation to our financial position, results of operations or cash flows, and our expenditures related to environmental matters had no material effects on earnings or cash flows during the three and nine months ended September 30, 2022 and 2021. The reserve for remediation of our MGP sites was $13.2 million and $22.8 million at September 30, 2022 and December 31, 2021, respectively. Environmental issues may exist with respect to MGP sites that are unknown to us. Accordingly, future costs are dependent on the final determination and regulatory approval of any remedial actions, the complexity of the site, level of remediation required, changing technology and governmental regulations, and to the extent not recovered by insurance or recoverable in rates from our customers, could be material to our financial condition, results of operations or cash flows. We are subject to environmental regulation by federal, state and local authorities. Due to the inherent uncertainties surrounding the development of federal and state environmental laws and regulations, we cannot determine with specificity the impact such laws and regulations may have on our existing and future facilities. With the trend toward stricter standards, greater regulation and more extensive permit requirements for the types of assets operated by us, our environmental expenditures could increase in the future, and such expenditures may not be fully recovered by insurance or recoverable in rates from our customers, and those costs may adversely affect our financial condition, results of operations and cash flows. Pipeline Safety - We are subject to regulation under federal pipeline safety statutes and any analogous state regulations. These include safety requirements for the design, construction, operation, and maintenance of pipelines, including transmission and distribution pipelines. At the federal level, we are regulated by PHMSA. PHMSA regulations require the following for certain pipelines: inspection and maintenance plans; integrity management programs, including the determination of pipeline integrity risks and periodic assessments on certain pipeline segments; an operator qualification program, which includes certain trainings; a public awareness program that provides certain information; and a control room management plan. As part of regulating pipeline safety, PHMSA promulgates various regulations. For example, in April 2016, PHMSA published a NPRM, the Safety of Gas Transmission & Gathering Lines Rule, in the Federal Register to revise pipeline safety regulations applicable to the safety of onshore natural gas transmission and gathering pipelines. Proposals included changes to pipeline integrity management requirements and other safety-related requirements. Subsequently, PHMSA announced they would split this NPRM into three separate final rulemakings: • the first final rule addresses the legislative mandates from the Pipeline Safety, Regulatory Certainty and Job Creation Act and is called the Safety of Gas Transmission Pipelines: MAOP Reconfirmation, Expansion of Assessment Requirements, and Other Related Amendments; • the second final rule is called the Safety of Gas Transmission Pipelines: Repair Criteria, Integrity Management Improvements, Cathodic Protection, Management of Change, and Other Related Amendments and will cover all remaining elements of the NPRM (except for gas gathering pipelines); and • the third final rule is called the Safety of Gas Gathering Pipelines and will address gas gathering pipelines. On October 1, 2019, PHMSA published the first of the three final rules referenced above, which addressed the 2011 congressional mandates. This final rule expands integrity management principles beyond HCAs and requires operators to collect traceable, verifiable and complete records moving forward, retain existing and new records for the life of the pipeline, and reconfirm pipeline MAOP in populated areas. The final rule also outlines methods for reconfirming a pipeline’s MAOP within 15 years. The first final rule became effective July 1, 2020. Our estimated capital and operating expenditures associated with compliance with the first final rulemaking were not material. On August 24, 2022, PHMSA published the second final rule in the Federal Register. The potential capital and operating expenditures associated with compliance with this rule are currently being evaluated. The third final rule has also been issued, but we are not impacted by it as we do not own gas gathering pipelines. Separately, as part of the Consolidated Appropriations Act, 2021, the PIPES Act of 2020 reauthorized PHMSA through 2023 and directed the agency to move forward with several regulatory actions, including the “Pipeline Safety: Class Location Change Requirements” and the “Pipeline Safety: Safety of Gas Transmission and Gathering Pipelines” proposed rulemakings. Congress has also instructed PHMSA to issue final regulations that will require operators of non-rural gas gathering lines and new and existing transmission and distribution pipeline facilities to conduct certain leak detection and repair programs and to require facility inspection and maintenance plans to align with those regulations. To the extent such rulemakings impose more stringent requirements on our facilities, we may be required to incur expenditures that may be material. Legal Proceedings - We are a party to various litigation matters and claims that have arisen in the normal course of our operations. While the results of litigation and claims cannot be predicted with certainty, we believe the reasonably possible losses from such matters, individually and in the aggregate, are not material. Additionally, we believe the probable outcome of such matters will not have a material adverse effect on our results of operations, financial position or cash flows.

DERIVATIVE FINANCIAL INSTRUMENT

DERIVATIVE FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Notes)	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value Disclosures	DERIVATIVE FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS Accounting Treatment - We record all derivative instruments at fair value, with the exception of normal purchases and normal sales that are expected to result in physical delivery. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and, if so, the reason for holding it, or if regulatory requirements impose a different accounting treatment. If certain conditions are met, we may elect to designate a derivative instrument as a hedge of exposure to changes in fair values or cash flows. We have not elected to designate any of our derivative instruments as hedges. The table below summarizes the various ways in which we account for our derivative instruments and the impact on our consolidated financial statements: Recognition and Measurement Accounting Treatment Balance Sheet Income Statement Normal purchases and - Fair value not recorded - Change in fair value not recognized in earnings Mark-to-market - Recorded at fair value - Change in fair value recognized in, and recoverable through, the purchased-gas cost adjustment mechanisms Fair Value Measurements - We define fair value as the price that would be received from the sale of an asset or the transfer of a liability in an orderly transaction between market participants at the measurement date. We use the market and income approaches to determine the fair value of our assets and liabilities and consider the markets in which the transactions are executed. We measure the fair value of a group of financial assets and liabilities consistent with how a market participant would price the net risk exposure at the measurement date. Fair Value Hierarchy - At each balance sheet date, we utilize a fair value hierarchy to classify fair value amounts recognized or disclosed in our consolidated financial statements based on the observability of inputs used to estimate such fair value. The levels of the hierarchy are described below: • Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities; • Level 2 - Significant observable pricing inputs other than quoted prices included within Level 1 that are, either directly or indirectly, observable as of the reporting date. Essentially, this represents inputs that are derived principally from or corroborated by observable market data; and • Level 3 - May include one or more unobservable inputs that are significant in establishing a fair value estimate. These unobservable inputs are developed based on the best information available and may include our own internal data. We recognize transfers into and out of the levels as of the end of each reporting period. Determining the appropriate classification of our fair value measurements within the fair value hierarchy requires management’s judgment regarding the degree to which market data is observable or corroborated by observable market data. We categorize derivatives for which fair value is determined using multiple inputs within a single level, based on the lowest level input that is significant to the fair value measurement in its entirety. Derivative Instruments - At September 30, 2022, we held purchased natural gas call options for the heating season ending March 2023, with total notional amounts of 17.4 Bcf, for which we paid premiums of $27.1 million, and which had a fair value of $3.5 million. At December 31, 2021, we held purchased natural gas call options for the heating season ended March 2022, with total notional amounts of 13.2 Bcf, for which we paid premiums of $9.5 million, and which had a fair value of $2.3 million. These contracts are included in, and recoverable through, our purchased-gas cost adjustment mechanisms. Additionally, premiums paid, changes in fair value and any settlements received associated with these contracts are deferred as part of our unrecovered purchased-gas costs in our consolidated balance sheets. Our natural gas call options are classified as Level 1, as fair value amounts are based on unadjusted quoted prices in active markets including settled prices on the New York Mercantile Exchange. There were no transfers between levels for the periods presented. Other Financial Instruments - The approximate fair value of cash and cash equivalents, accounts receivable and accounts payable is equal to book value, due to the short-term nature of these items. Our cash and cash equivalents are comprised of bank and money market accounts and are classified as Level 1. At September 30, 2022 and December 31, 2021, our other current and noncurrent assets included $7.1 million and $6.9 million of corporate bonds, respectively, and $2.4 million and $3.5 million of United States treasury notes, respectively. The fair value of corporate bonds and United States treasury notes approximate carrying value, and are classified as Level 2 and Level 1, respectively. Commercial paper is due upon demand and, therefore, the carrying amounts approximate fair value and are classified as Level 1. The book value of our long-term debt, including current maturities, was $2.7 billion and $3.7 billion at September 30, 2022 and December 31, 2021, respectively. The estimated fair value of our long-term debt, including current maturities, was

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2022
Significant Accounting Policies [Line Items]
Use of Estimates	Use of Estimates - The preparation of our consolidated financial statements and related disclosures in accordance with GAAP requires us to make estimates and assumptions with respect to values or conditions that cannot be known with certainty that affect the reported amount of assets and liabilities, and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements. These estimates and assumptions also affect the reported amounts of revenue and expense during the reporting period. Items that may be estimated include, but are not limited to, the economic useful life of assets, fair value of assets and liabilities, provisions for doubtful accounts receivable, unbilled revenues for natural gas delivered but for which meters have not been read, natural gas purchased but for which no invoice has been received, provision for income taxes, including any deferred income tax valuation allowances, the results of litigation and various other recorded or disclosed amounts. We evaluate these estimates on an ongoing basis using historical experience and other methods we consider reasonable based on the particular circumstances. Nevertheless, actual results may differ significantly from the estimates. Any effects on our financial position or results of operations from revisions to these estimates are recorded in the period when the facts that give rise to the revision become known.
Segments	Segments - We operate in one reportable business segment: regulated public utilities that deliver natural gas primarily to residential, commercial and transportation customers. The accounting policies for our segment are the same as those described in Note 1 of our Notes to Consolidated Financial Statements in our Annual Report. We evaluate our financial performance principally on net income. For the three and nine months ended September 30, 2022 and 2021, we had no single external customer from which we received 10 percent or more of our gross revenues.
Goodwill and Intangible Assets, Policy	Goodwill Impairment Test – We assess our goodwill for impairment at least annually on July 1, unless events or changes in circumstances indicate an impairment may have occurred before that time. As part of our goodwill impairment test, we may first assess qualitative factors (including macroeconomic conditions, industry and market considerations, cost factors and overall financial performance) to determine whether it is more likely than not that the fair value of our reporting unit is less than its carrying amount. If further testing is necessary or a quantitative test is elected to refresh our recurring qualitative assessments, we perform a quantitative impairment test for goodwill. We did not identify any impairment indicators for our goodwill and determined that no further testing was necessary.
Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block]	Accounts Receivable - Accounts receivable represent valid claims against nonaffiliated customers for natural gas sold or services rendered, net of allowances for doubtful accounts. We assess the creditworthiness of our customers. Those customers who do not meet minimum standards may be required to provide security, including deposits and other forms of collateral, when appropriate and allowed by our tariffs. With approximately 2.3 million customers across three states, we are not exposed materially to a concentration of credit risk. We maintain an allowance for doubtful accounts based upon factors surrounding the credit risk of customers, historical trends, consideration of the current environment and other information. We recover natural
Recently Issued Accounting Standards Update	Recently Issued Accounting Standards Update - In November 2021, the FASB issued ASU 2021-10, “Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance,” which will require disclosure about government assistance in the notes to the financial statements. The amendment requires annual disclosures about transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy, including information about the nature of the transactions and the related accounting policy used to account for the transactions, the line items on the balance sheet and income statement that are affected by the transactions and the significant terms and conditions of the transactions, including commitments and contingencies. The amendment became effective for us beginning January 1, 2022. As the guidance is related only to disclosures in the notes to the financial statements, we do not anticipate any impact on our financial position, results of operations or cash flows. See Note 3 for additional discussion regarding our transaction in Oklahoma with the government that is accounted for by applying a grant accounting model by analogy.

DERIVATIVE FINANCIAL INSTRUME_2

DERIVATIVE FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS DERIVATIVE FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Policies)	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Derivatives	Accounting Treatment - We record all derivative instruments at fair value, with the exception of normal purchases and normal sales that are expected to result in physical delivery. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and, if so, the reason for holding it, or if regulatory requirements impose a different accounting treatment. If certain conditions are met, we may elect to designate a derivative instrument as a hedge of exposure to changes in fair values or cash flows. We have not elected to designate any of our derivative instruments as hedges. The table below summarizes the various ways in which we account for our derivative instruments and the impact on our consolidated financial statements: Recognition and Measurement Accounting Treatment Balance Sheet Income Statement Normal purchases and - Fair value not recorded - Change in fair value not recognized in earnings Mark-to-market - Recorded at fair value - Change in fair value recognized in, and recoverable through, the purchased-gas cost adjustment mechanisms
Fair Value Measurement	Fair Value Measurements - We define fair value as the price that would be received from the sale of an asset or the transfer of a liability in an orderly transaction between market participants at the measurement date. We use the market and income approaches to determine the fair value of our assets and liabilities and consider the markets in which the transactions are executed. We measure the fair value of a group of financial assets and liabilities consistent with how a market participant would price the net risk exposure at the measurement date. Fair Value Hierarchy - At each balance sheet date, we utilize a fair value hierarchy to classify fair value amounts recognized or disclosed in our consolidated financial statements based on the observability of inputs used to estimate such fair value. The levels of the hierarchy are described below: • Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities; • Level 2 - Significant observable pricing inputs other than quoted prices included within Level 1 that are, either directly or indirectly, observable as of the reporting date. Essentially, this represents inputs that are derived principally from or corroborated by observable market data; and • Level 3 - May include one or more unobservable inputs that are significant in establishing a fair value estimate. These unobservable inputs are developed based on the best information available and may include our own internal data. We recognize transfers into and out of the levels as of the end of each reporting period. Determining the appropriate classification of our fair value measurements within the fair value hierarchy requires management’s judgment regarding the degree to which market data is observable or corroborated by observable market data. We categorize derivatives for which fair value is determined using multiple inputs within a single level, based on the lowest level input that is significant to the fair value measurement in its entirety.

REVENUE (Tables)

REVENUE (Tables)	9 Months Ended
	Sep. 30, 2022
Revenues Disaggregated by Source [Table]	The following table sets forth our revenues disaggregated by source for the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 (Thousands of dollars) Natural gas sales to customers $ 322,444 $ 240,591 $ 1,640,893 $ 1,105,835 Transportation revenues 28,035 25,342 92,350 87,760 Miscellaneous revenues 4,991 4,363 14,615 12,091 Total revenues from contracts with customers 355,470 270,296 1,747,858 1,205,686 Other revenues - natural gas sales related 427 545 2,658 849 Other revenues 3,466 3,082 9,281 8,327 Total other revenues 3,893 3,627 11,939 9,176 Total revenues $ 359,363 $ 273,923 $ 1,759,797 $ 1,214,862

REGULATORY ASSETS AND LIABILI_2

REGULATORY ASSETS AND LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2022
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES	The tables below present a summary of regulatory assets and liabilities, net of amortization, for the periods indicated: September 30, 2022 Current Noncurrent Total ( Thousands of dollars ) Winter weather event costs $ 243,232 $ 342,997 $ 586,229 Under-recovered purchased-gas costs 28,193 — 28,193 Pension and postemployment benefit costs 4,010 245,637 249,647 Reacquired debt costs 811 3,528 4,339 MGP remediation costs 98 29,767 29,865 Ad-valorem tax 12,779 — 12,779 WNA 10,555 — 10,555 Customer credit deferrals 14,595 — 14,595 Other 1,858 2,555 4,413 Total regulatory assets, net of amortization 316,131 624,484 940,615 Income tax rate changes — (536,612) (536,612) Over-recovered purchased-gas costs (38,171) — (38,171) Total regulatory liabilities (38,171) (536,612) (574,783) Net regulatory assets and liabilities $ 277,960 $ 87,872 $ 365,832 December 31, 2021 Current Noncurrent Total ( Thousands of dollars ) Winter weather event costs $ 1,536,054 $ 428,023 $ 1,964,077 Under-recovered purchased-gas costs 31,863 — 31,863 Pension and postemployment benefit costs 11,507 260,559 272,066 Reacquired debt costs 812 4,070 4,882 MGP remediation costs 98 29,841 29,939 Ad-valorem tax 8,561 — 8,561 WNA 10,044 — 10,044 Customer credit deferrals 10,685 — 10,685 Other 2,052 2,369 4,421 Total regulatory assets, net of amortization 1,611,676 724,862 2,336,538 Income tax rate changes — (552,928) (552,928) Over-recovered purchased-gas costs (8,090) — (8,090) Total regulatory liabilities (8,090) (552,928) (561,018) Net regulatory assets and liabilities $ 1,603,586 $ 171,934 $ 1,775,520

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	9 Months Ended
	Sep. 30, 2022
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block]	ACCUMULATED OTHER COMPREHENSIVE LOSS The following table sets forth the effect of reclassifications from accumulated other comprehensive loss in our consolidated statements of income for the periods indicated: Three Months Ended Nine Months Ended Affected Line Item in the Details About Accumulated Other September 30, September 30, Consolidated Statements Comprehensive Loss Components 2022 2021 2022 2021 of Income ( Thousands of dollars ) Pension and other postemployment benefit plan obligations (a) Amortization of net loss $ 2,278 $ 11,474 $ 14,731 $ 34,422 Amortization of unrecognized prior service cost (credit) 103 (70) 185 (210) 2,381 11,404 14,916 34,212 Regulatory adjustments (b) (2,365) (11,013) (14,772) (33,040) 16 391 144 1,172 Income before income taxes (4) (91) (33) (273) Income tax expense Total reclassifications for the period $ 12 $ 300 $ 111 $ 899 Net income (a) These components of accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 9 for additional detail of our net periodic benefit cost. (b) Regulatory adjustments represent pension and other postemployment benefit costs expected to be recovered through rates and are deferred as part of our regulatory assets. See Note 3 for additional disclosures of regulatory assets and liabilities.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2022
EARNINGS PER SHARE [Line Items]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	The following tables set forth the computation of basic and diluted EPS from continuing operations for the periods indicated: Three Months Ended September 30, 2022 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 23,701 54,310 $ 0.44 Diluted EPS Calculation Effect of dilutive securities — 172 Net income available for common stock and common stock equivalents $ 23,701 54,482 $ 0.44 Three Months Ended September 30, 2021 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 20,253 53,710 $ 0.38 Diluted EPS Calculation Effect of dilutive securities — 83 Net income available for common stock and common stock equivalents $ 20,253 53,793 $ 0.38 Nine Months Ended September 30, 2022 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 154,710 54,164 $ 2.86 Diluted EPS Calculation Effect of dilutive securities — 118 Net income available for common stock and common stock equivalents $ 154,710 54,282 $ 2.85 Nine Months Ended September 30, 2021 Income Shares Per Share ( Thousands, except per share amounts ) Basic EPS Calculation Net income available for common stock $ 145,922 53,516 $ 2.73 Diluted EPS Calculation Effect of dilutive securities — 102 Net income available for common stock and common stock equivalents $ 145,922 53,618 $ 2.72

EMPLOYEE BENEFIT PLANS (Tables)

EMPLOYEE BENEFIT PLANS (Tables)	9 Months Ended
	Sep. 30, 2022
Employee Benefit Plans [Line Items]
Schedule of Net Benefit Costs [Table Text Block]	The following tables set forth the components of net periodic benefit cost for our pension and other postemployment benefit plans for the periods indicated: Pension Benefits Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Components of net periodic benefit cost (credit) Service cost $ 2,341 $ 3,453 $ 8,027 $ 10,359 Interest cost 9,654 7,365 26,495 22,095 Expected return on assets (14,642) (15,596) (43,887) (46,788) Amortization of unrecognized prior service cost 93 — 155 — Amortization of net loss 2,224 11,381 14,569 34,143 Net periodic benefit cost (credit) $ (330) $ 6,603 $ 5,359 $ 19,809 Other Postemployment Benefits Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Components of net periodic benefit cost (credit) Service cost $ 318 $ 397 $ 954 $ 1,191 Interest cost 1,612 1,563 4,836 4,689 Expected return on assets (3,295) (4,202) (9,885) (12,606) Amortization of unrecognized prior service cost (credit) 10 (70) 30 (210) Amortization of net loss 54 93 162 279 Net periodic benefit cost (credit) $ (1,301) $ (2,219) $ (3,903) $ (6,657)

OTHER INCOME AND OTHER EXPENS_2

OTHER INCOME AND OTHER EXPENSE (Tables)	9 Months Ended
	Sep. 30, 2022
Schedule of Other Nonoperating Income (Expense)	The following table sets forth the components of other income and other expense for the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 ( Thousands of dollars ) Net periodic benefit (cost) credit other than service cost $ 1,430 $ (1,069) $ 2,209 $ (2,844) Earnings (losses) on investments associated with nonqualified employee benefit plans (1,789) (267) (9,241) 2,232 Other, net 1,152 (469) (303) (1,146) Total other income (expense), net $ 793 $ (1,805) $ (7,335) $ (1,758)

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) number in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2021	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Significant Accounting Policies [Line Items]
Number of natural gas distribution services customers	2.3		2.3
Segment Reporting, Disclosure of Major Customers	no	no	no	no
Capital Expenditures Incurred but Not yet Paid			$ 4	$ 7.5
Allowance for Doubtful Accounts, Premiums and Other Receivables	$ 15.6		$ 15.6		$ 18.7

REVENUE (Details)

REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Regulated Operating Revenue, Gas	$ 355,470	$ 270,296	$ 1,747,858	$ 1,205,686
Regulated Operating Revenue, Other	3,893	3,627	11,939	9,176
Regulated Operating Revenue	359,363	273,923	1,759,797	1,214,862
Unbilled Receivables, Current	79,200		79,200		$ 183,200
Natural gas sales to customers [Member]
Regulated Operating Revenue, Gas	322,444	240,591	1,640,893	1,105,835
Transportation revenues [Member]
Regulated Operating Revenue, Gas	28,035	25,342	92,350	87,760
Miscellaneous revenues [Member]
Regulated Operating Revenue, Gas	4,991	4,363	14,615	12,091
Other revenues - natural gas sales related [Member]
Regulated Operating Revenue, Other	427	545	2,658	849
Other revenues [Member]
Regulated Operating Revenue, Other	$ 3,466	$ 3,082	$ 9,281	$ 8,327

REGULATORY ASSETS AND LIABILI_3

REGULATORY ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Aug. 25, 2022	Dec. 31, 2021	Feb. 28, 2021
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	$ 316,131			$ 1,611,676
Regulatory Assets, Noncurrent	624,484			724,862
Regulatory Assets	940,615			2,336,538
Regulatory Liability, Current	(38,171)			(8,090)
Regulatory Liability, Noncurrent	(536,612)			(552,928)
Regulatory Liabilities	(574,783)			(561,018)
Net regulatory assets (liabilities), current	277,960			1,603,586
Net regulatory assets (liabilities), noncurrent	87,872			171,934
Net Regulatory Assets	365,832			1,775,520
February 2021 Natural Gas Purchases					$ 2,100,000
ONG Deferred Extraordinary Costs from 2021 Winter Storm Uri	1,300,000
Maximum amount the regulatory asset for the winter storm can be reduced by for collections of penalties assessed on marketers and individually balanced transportation customers	52,600
Collections of penalties assessed on marketers and individually balanced transportation customers as a result of Winter Storm Uri	49,400
KGS Winter Weather Securitized Utility Tariff Bond	328,000
KGS Deferred Extraordinary Costs from 2021 Winter Storm Uri	339,600
TGS Deferred Extraordinary Costs from 2021 Winter Storm Uri	246,700
Deferred Extraordinary Costs from 2021 Winter Storm Uri	586,200
Amortization of Rate Deferral	6,900	$ 4,400
ONG Proceeds from Securitization Bonds	1,300,000
ONG Securitization Bond Issuance			$ 1,350,000
West Texas Service Area
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
TGS Deferred Extraordinary Costs from 2021 Winter Storm Uri	47,800
Income tax rate changes [Member] [Domain]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Liability, Current	0			0
Regulatory Liability, Noncurrent	(536,612)			(552,928)
Regulatory Liabilities	(536,612)			(552,928)
Over-recovered purchased-gas costs [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Liability, Current	(38,171)			(8,090)
Regulatory Liability, Noncurrent	0			0
Regulatory Liabilities	(38,171)			(8,090)
Winter weather event costs
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	243,232			1,536,054
Regulatory Assets, Noncurrent	342,997			428,023
Regulatory Assets	586,229			1,964,077
Under-recovered purchased-gas costs [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	28,193			31,863
Regulatory Assets, Noncurrent	0			0
Regulatory Assets	28,193			31,863
Pension and postretirement benefit costs [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	4,010			11,507
Regulatory Assets, Noncurrent	245,637			260,559
Regulatory Assets	249,647			272,066
Reacquired debt costs [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	811			812
Regulatory Assets, Noncurrent	3,528			4,070
Regulatory Assets	4,339			4,882
MGP Costs [Member] [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	98			98
Regulatory Assets, Noncurrent	29,767			29,841
Regulatory Assets	29,865			29,939
Ad valorem tax [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	12,779			8,561
Regulatory Assets, Noncurrent	0			0
Regulatory Assets	12,779			8,561
Weather normalization [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	10,555			10,044
Regulatory Assets, Noncurrent	0			0
Regulatory Assets	10,555			10,044
Customer credit deferrals
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	14,595			10,685
Regulatory Assets, Noncurrent	0			0
Regulatory Assets	14,595			10,685
Other regulatory assets [Member]
SCHEDULE OF REGULATED ASSETS AND LIABILITIES [Line Items]
Regulatory Assets, Current	1,858			2,052
Regulatory Assets, Noncurrent	2,555			2,369
Regulatory Assets	$ 4,413			$ 4,421

CREDIT FACILITIES (Details)

CREDIT FACILITIES (Details) $ in Thousands	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 1,000,000
Line of Credit Facility Sublimit	20,000
Bridge Loan	60,000
Line of Credit Facility Option to Increase Borrowing Capacity	$ 500,000
Approved Debt to Capital Ratio	0.70
Ratio of Indebtedness to Net Capital	0.56
Letters of Credit Outstanding, Amount	$ 1,200
Line of Credit Facility, Remaining Borrowing Capacity	998,800
Commercial paper maximum borrowing capacity	1,000,000
Maximum borrowing capacity under the commercial paper program prior to June 2021	700,000
Commercial Paper	$ 423,400	$ 494,000
Short-Term Debt, Weighted Average Interest Rate, at Point in Time	3.53%	0.38%

LONG-TERM DEBT (Details)

LONG-TERM DEBT (Details) - USD ($) $ in Thousands			9 Months Ended
	Aug. 25, 2022	Sep. 21, 2021	Sep. 30, 2022	Sep. 30, 2021
Debt Instrument [Line Items]
Repayments of Other Long-term Debt			$ 1,300,000	$ 400,000
Debt Instrument, Covenant Description			The indenture governing our Senior Notes includes an event of default upon the acceleration of other indebtedness of $100 million or more. Such events of default would entitle the trustee or the holders of 25 percent in aggregate principal amount of the outstanding Senior Notes to declare those Senior Notes immediately due and payable in full.
OGS Note Payable Due 2023
Debt Instrument [Line Items]
Long-term Debt, Gross			$ 800,000
Repayments of Other Long-term Debt	$ 400,000	$ 400,000
OGS Note Payable Due 2024 at 1.10 Percent
Debt Instrument [Line Items]
Long-term Debt, Gross			$ 700,000
Debt Instrument, Interest Rate, Stated Percentage			1.10%
Repayments of Other Long-term Debt	150,000
Notes Payable at 0.85% Due 2023
Debt Instrument [Line Items]
Long-term Debt, Gross			$ 1,000,000
Debt Instrument, Interest Rate, Stated Percentage			0.85%
Repayments of Other Long-term Debt	$ 750,000
Notes Payable at 4.25% Due 2032
Debt Instrument [Line Items]
Long-term Debt, Gross			$ 300,000
Debt Instrument, Interest Rate, Stated Percentage			4.25%

EQUITY (Details)

EQUITY (Details) - USD ($)	3 Months Ended							9 Months Ended
	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021
Common stock issued, value		$ 2,531,000	$ 5,636,000	$ 34,140,000	$ 8,325,000	$ 21,178,000	$ (1,705,000)
Proceeds from Issuance of Common Stock								$ 37,104,000	$ 24,104,000
Common Stock, Dividends, Per Share, Declared		$ 0.62			$ 0.58			$ 1.86	$ 1.74
Subsequent Event [Member]
Common Stock, Dividends, Per Share, Declared	$ 0.62
Common Stock, Dividends, Declared, Annualized Basis	$ 2.48
Dividends Payable, Date of Record	Nov. 15, 2022
Dividends Payable, Date to be Paid	Dec. 01, 2022
At-The-Market Program
Aggregate Offering Price Limit		$ 250,000,000						$ 250,000,000
Common stock issued, shares								403,792	281,124
Common stock issued, value								$ 35,000,000	$ 21,400,000
Proceeds from Issuance of Common Stock								$ 34,700,000	$ 21,100,000
Forward Contract Indexed to Issuer's Equity, Indexed Shares								1,162,071
Forward Contract Indexed to Equity, Settlement, Cash, Amount		93,942,000						$ 93,942,000
Forward Contract Indexed to Issuer's Equity, Forward Rate Per Share								$ 80.84
Equity Available for Issuance		85,100,000						$ 85,100,000
At-The-Market Program | Settled on or before September 29, 2023
Forward Contract Indexed to Issuer's Equity, Indexed Shares								570,335
Forward Contract Indexed to Equity, Settlement, Cash, Amount		45,890,000						$ 45,890,000
Forward Contract Indexed to Issuer's Equity, Forward Rate Per Share								$ 80.46
At-The-Market Program | Settled on or before January 2, 2024
Forward Contract Indexed to Issuer's Equity, Indexed Shares								591,736
Forward Contract Indexed to Equity, Settlement, Cash, Amount		$ 48,052,000						$ 48,052,000
Forward Contract Indexed to Issuer's Equity, Forward Rate Per Share								$ 81.21

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amortization of net loss	$ 2,278	$ 11,474	$ 14,731	$ 34,422
Amortization of unrecognized prior service cost	103	(70)	185	(210)
Reclassification adjustment, before tax and regulatory adjustments	2,381	11,404	14,916	34,212
Regulatory adjustments	(2,365)	(11,013)	(14,772)	(33,040)
Reclassification adjustment, before tax	16	391	144	1,172
Reclassification adjustment, Tax	(4)	(91)	(33)	(273)
Reclassification adjustment, net of tax	$ 12	$ 300	$ 111	$ 899

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021
Basic EPS Calculation
Net income available for common stock	$ 23,701	$ 32,075	$ 98,934	$ 20,253	$ 30,093	$ 95,575	$ 154,710	$ 145,922
Weighted Average Number of Shares Outstanding, Basic	54,310			53,710			54,164	53,516
Earnings Per Share, Basic	$ 0.44			$ 0.38			$ 2.86	$ 2.73
Diluted EPS Calculation
Net Income (Loss) Available to Common Stockholders, Diluted	$ 23,701			$ 20,253			$ 154,710	$ 145,922
Effect of dilutive securities on shares	172			83			118	102
Weighted Average Number of Shares Outstanding, Diluted	54,482			53,793			54,282	53,618
Earnings Per Share, Diluted	$ 0.44			$ 0.38			$ 2.85	$ 2.72

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Apr. 30, 2022	Dec. 31, 2021
Components of net periodic benefit cost:
Amortization of unrecognized prior service cost	$ (103)	$ 70	$ (185)	$ 210
Amortization of net loss	(2,278)	(11,474)	(14,731)	(34,422)
Regulatory Deferral of net periodic benefit costs			3,400
Adjustment to Pension Expense Due to Remeasurment					$ 7,200
Capitalized non-service cost components as a regulatory asset	4,000		4,000			$ 6,100
ONE Gas Pension Plans [Member]
Components of net periodic benefit cost:
Service cost	2,341	3,453	8,027	10,359
Interest cost	9,654	7,365	26,495	22,095
Expected return on assets	(14,642)	(15,596)	(43,887)	(46,788)
Amortization of unrecognized prior service cost	93	0	155	0
Amortization of net loss	2,224	11,381	14,569	34,143
Net periodic benefit cost	(330)	6,603	5,359	19,809
ONE Gas Postretirement Benefit Plans [Member]
Components of net periodic benefit cost:
Service cost	318	397	954	1,191
Interest cost	1,612	1,563	4,836	4,689
Expected return on assets	(3,295)	(4,202)	(9,885)	(12,606)
Amortization of unrecognized prior service cost	10	(70)	30	(210)
Amortization of net loss	54	93	162	279
Net periodic benefit cost	$ (1,301)	$ (2,219)	$ (3,903)	$ (6,657)

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Reduction in ADIT recorded as an EDIT regulatory liability associated with reduction of Oklahoma state income tax	$ 29.3		$ 29.3
Reduction in income tax expense for the amortization of the regulatory liability associated with excess ADIT that was returned to customers	$ 1.6	$ 1.5	$ 12.5	$ 12.2

OTHER INCOME AND OTHER EXPENS_3

OTHER INCOME AND OTHER EXPENSE (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Other, net	$ 793	$ (1,805)	$ (7,335)	$ (1,758)
Net periodic cost other than service cost [Member]
Other, net	1,430	(1,069)	2,209	(2,844)
Earnings (losses) on investments associated with nonqualified employee benefit plans [Member]
Other, net	(1,789)	(267)	(9,241)	2,232
Other, net [Member]
Other, net	$ 1,152	$ (469)	$ (303)	$ (1,146)

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details) $ in Millions	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Commitments and Contingencies [Line Items]
Number Of Former Manufactured Gas Sites Where We Own Or Retain Legal Responsibility For Environmental Conditions	12
Number of sites where regulatory closure has been achieved	5
Number of sites with ongoing groundwater monitoring	7
Deferred MGP Costs, Maximum	$ 15
Regulatory Asset for Costs Associated with Manufactured Gas Sites	29.9
Accrual for Environmental Loss Contingencies	$ 13.2	$ 22.8

DERIVATIVE FINANCIAL INSTRUME_3

DERIVATIVE FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Details)	9 Months Ended
	Sep. 30, 2022 USD ($) Bcf	Sep. 30, 2021 USD ($)	Dec. 31, 2021 USD ($) Bcf
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Derivative, Nonmonetary Notional Amount | Bcf	17.4		13.2
Premiums recorded in other current assets on natural gas contracts held	$ 27,100,000		$ 9,500,000
Fair Value Assets, Transfers between Levels	0	$ 0
Corporate bonds in other assets	7,100,000		6,900,000
Treasury notes in other assets	2,400,000		3,500,000
Long-term Debt	2,700,000,000		3,700,000,000
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Fair value, natural gas call options	3,500,000		2,300,000
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Long-term Debt, Fair Value	$ 2,400,000,000		$ 3,900,000,000