Andrew Walters: Once it comes out, we will definitely talk about that in the fourth quarter, obviously.
Jonathan Reeder: Okay. So, I mean, right. It’s tough at this point to say, I guess, what we should be looking at is, like, normalized 2023 kind of EPS power. I mean, it sounds like it’s above the $2.40 to $2.50 [ph] to some degree.
Andrew Walters: That’s correct. It’s definitely an expansion of where we are today from our previous forecast into 2024.
Jonathan Reeder: Yeah. I mean, I guess…
Andrew Walters: But I want to give — go ahead.
Jonathan Reeder: Yeah. I mean, I guess, when you are going into the year, the two things that maybe you are really unsure of, I mean, well, you weren’t expecting the WCMA, I don’t think, to get extended. I mean, that wasn’t in the base forecast and then I think the outcome and the cost of capital end up being a little better than initially expected. Are those two things fair?
Andrew Walters: Those are fair, along with the other things that I went through.
Jonathan Reeder: Yeah.
Andrew Walters: The usage recovery and to some extent, and then, obviously, the performance of our team. They did a really good job of where we expected this to be a more challenging year than what has come before us. The team really did a good job and there’s a lot of stuff that’s below the radar that we wouldn’t talk about because it’s lower materiality. But it’s a lot of singles and doubles that added up to a good outcome.
Jonathan Reeder: Okay. Good. No. Yeah. Congrats on a good quarter and thanks for taking my questions today. Good luck with Kinetic issuance.
Andrew Walters: Thanks, Jonathan.
Jonathan Reeder: Yeah.
Andrew Walters: Yeah. Thank you. Appreciate it.
Operator: Please stand by for the next question. The next question comes from Gregg Orrill with UBS. Your line is open.
Gregg Orrill: Hi, there.
Eric Thornburg: Hi, Gregg.
Gregg Orrill: Maybe an obvious clarification, but the $2.7 million after tax remaining for the WCMA, WCEMA, that comes in in the fourth quarter?
Andrew Walters: That will come in in the fourth quarter. It’s not reflected in the third quarter earnings because the approval did not come in until after that timeframe.
Gregg Orrill: Okay. All right. Thank you.
Andrew Walters: So and that’s — but that’s reflected, obviously, in that guidance that we have provided.
Gregg Orrill: Yeah. Got it.
Eric Thornburg: Thank you, Gregg.
Operator: [Operator Instructions] Please stand by for the next question. The next question comes from Angie Storozynski with Seaport Research Partners. Your line is open.
Angie Storozynski: Thank you. Just a couple of things. I know you are not providing a 2024 guidance, but I will still ask. So here’s my question. So on the one hand you have the support from the high ROE in California, that there’s some tax rate changes, cost changes, et cetera. But also you have delayed the Connecticut rate case, right? So I am just — I know that’s probably a very small earnings driver, but I am clearly fishing for like a directional guidance on 2024. I mean, we are basically staying largely flat, hence you emphasize the non-linear nature of your growth rate and especially with that benefit — with those benefits that we discussed the 2023, that makes, basically, it’s very hard to actually solve for growth and earnings year-over-year between 203 and 2024, at least that would be my take as of now?
Andrew Walters: Yeah. Look, Angie, I definitely think that there should be some factors that increase our 2024 based off of our performance and where we expect things to go. What I do want to caution against is getting too aggressive with those increases. I don’t want to disappoint folks once we get done with our budgeting process. So I am trying to be as transparent as possible about the things that we see today, that we will do some additional investment and there’s some one-time items that you have to take back out in order to get there. But even once you do that, there should be some upside versus where most of us were looking at our 2024.
Angie Storozynski: Okay. And then changing topics, so you mentioned PFAS CapEx. So can you give us a sense of the recovery? You mentioned the potential settlement with polluters. I mean, I am just trying to understand how this spending flows through your rate base and what’s the recovery mechanism?
