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UWI-04-
Details of Adjustments to
Payroll Chargeable to Operations & Maintenance
Adjustment No.
Line
No.Description Amount
To adjust payroll chargeable to operation and maintenance expense
included in the Company s filing to amount recommended by IPUC Staff
$ (159,127)
Details per Company s Filing
Administration, Engineering, Accounting, and Inside Customer 598 773
Service
Production Department Employees 987 251
Transmission & Distribution Employees 296,471
Outside Customer Service Employees 408 911
Total Regular Employees
Temporary Employees 837
Stand by Pay 023
Management Incentive Pay 775
10.Non-Union Incentive Pay 287
11.Union Incentive Pay 14,400
12.Union Lump Sum Payments 300
13.ABCD Awards 000
247 622
14.Pro Forma Payroll per Company s Filing 539 028
15.Test Year Derived O&M Percentage 74.6446%
16.Pro Forma Expense per Company s Filing 388 139
Staff Ad ustments
17.Remove Incentive Pay (133,462)
18.Remove ABCD Awards 000)
19.Remove Excess Pro Forma Wage Increase for Non-Union (10 525)
Employees beyond the 3.3% Actual Increase
20.Remove Budgeted Overtime Pay Beyond Test Year Levels 238)
21.Remove Pro Forma Wage for Chief Operator Beyond Actual Wage 954)
22.Remove Public Relations Manager Pay (56 000)
23.Total Staff Adjustments (213 179)
24.Pro Forma Payroll per Staff (Line 14 - Line 24)325,849
25.Test Year Derived O&M Percentage 74.6446%
26.Test Year Expense Per Staff 229,013
27.Adjustment (Line 26 - Line 16)(159,127)
Exhibit No. 108
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule
Line
No.
UWI-04-
Details of Adjustments to
Company 401(k) Matching Contributions
Adjustment No.
Description
To adjust the 401 (k) matching contribution included in the Company
filing to amount recommended by IPUC Staff
Details per Company s Filina
Pro Forma Company Match
Test Year Expense
Company. Adjustment to Test Year as Filed
Staff Adjustments
Remove Pro Forma Match Beyond Test Year Expenses
Total Staff Adjustment
Amount
321 )
477
90,156
321
321 )
321 )
Exhibit No.
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 2
Line No.
LTD-
GTL-
UWI-04-
Details of Adjustments to
Employee Health, Long Term Disability
and Group Term Life Insurance
Adjustment No.
Description Amount
$ 21 923To adjust health care , L TO and GTL expense to current costs level
and proposed headcount.
Details per Company s Filina
553 941
175 229
905
1 00
700
4,400
849 275
177 714
671 561
Gross HMO Blue Expense
Gross United Health Care Choice Plus Plans
Gross Dental & Vision Coverage
Group Term Life Insurance Coverage
Long Term Disability Coverage
Employee Incentive Opt Out Payment
Total Coverage Cost
Less: Employee Contributions
10.Pro Forma Health Care, L TD and GTL Expense
Staff Ad ustments
11.Gross HMO Blue Expense 453 117
12.Gross United Health Care Choice Plus Plans 298 762
13.Gross Dental & Vision Coverage 333
14.Group Term Life Insurance Coverage 1 00
15.Land Term Disability Coverage 700
16.Employee Incentive Opt Out Payment 500
17.Total Coverage Cost 867 512
18.Less: Employee Contributions 174 028
19.Pro Forma Health Care, L TD and GTL Expense 693,484
20.Total Adjustment to Company s Filing 923
Long Term Disability
Group Term Life
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 3
UWI-04-4
Details of Adjustments to
Company Pension Expense
Adjustment No.
Line No.Description Amount
To adjust the Pension Expense included in the Company s filing
to an amount recommended by IPUC Staff
$(474,592)
Details per Company s Filing
Idaho Bargaining Unit (FAS 87)
Idaho Non-Bargaining Unit (FAS 87)
303 084
333 962
Total Pro Forma Expense 637 046
Staff Ad ustments
Idaho Bargaining Unit (ERISA Minimum Contribution)162,454
Idaho Non-Bargaining Unit (ERISA Minimum Contribution)
For Idaho Non-Bargaining Unit
Total Pro Forma Expense 162,454
Total Staff Adjustment (474,592)
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 4
UWI-04-
Details of Adjustments to
Post Retirement Benefits Other Than Pension
Adjustment No.
Line No.Description Amount
To adjust Post Retirement Cost to the current level
per latest actuarial data in accord with FAS 106
$ (145,345)
Details
Idaho Bargaining Unit 118 354
Idaho Non-Bargaining Unit 258,470
AnnuallTO Amortization Expense 078
PEBOP Amortization 600
Total Pro Forma Expense 469,502
Test Year Expense 614 847
Adjustment 145,345
No additional Staff Adjustment
ITO-
PEBOP-
Initial Transition Obligation
Post Employment Benefits Other than Pension
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 5
UWI-04-
Details of Adjustments to
Operations and Maintenance Expense
At Present Rates
Adjustment No.
Line No.Description Amount
To adjust payroll overhead percentage charged to non-O&M
labor based on IPUC Staff's pro forma labor and benefits
478
Details
Pro forma Payroll at April 1 2005 Rates Sch 325 829
% Chargeable to Other than O&M 25.3554%
Payroll Other Than O&M 096 831
Overhead Rate Line 21 68.59%
Overheads Credit (752 361)
Test Year Expense - Acct 922-000 (711 883)
Adjustment
Payroll Related Expenses
FICA Taxes 325 037
10.Federal Unemployment Taxes 440
11.State Unemployment Taxes 371
12.Group Health, Life & L Sch 3 693,484
13.Workers Comp Sch 26 105 682
14.Pension & PEBOP Sch 4 & 5 631 956
15.Tuition Aid 2005 OP 700
16.Thrift Plan Expenses Sch 2 156
17.Payroll Related Expenses
18.Payroll Overheads %52,32%
19.Additive for Non-Work Days 16.28%
20.Overhead Rate to be Applied to non O&M Payroll 68.59%
21.Company s Adjustment to Payroll Overhead in Application (52 956)
22.Staff's Adjustment to Pro Forma Payroll Overhead (40,478)
23.Total Staff Adjustment to Company s Filing 478
Exhibit No.1 08
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 6
UWI-04-
Details of Adjustments to
Amortization of Deferred Early Retirement Costs
Adjustment No.
Line No.Description
To adjust the amortization expense of deferred early retirement
costs to the amount recommended by IPUC Staff
Amount
(257 734)
Details er Com s Filin
Deferred Pension Cost Attributable to ERP 721 330
Deferred PEBOP Cost Attributable to ERP 529 287
Remaining Balance from Prior Case 052
Total Deferred ERP Cost 288,669
Amortization Period 60 Months
Pro Forma Expense 257 734
Staff Ad ustments
Remove Balance from Prior Case (38 052)
Remove Deferred PEBOP Cost Attributable to ERP (529,287)
10.Remove Deferred Pension Cost Attributable to ERP (721 330)
11.Total Adjustment to Deferred Costs Attributable to ERP 288,669
12.Total Staff Adjustment to Company s Application (257 734)
ERP-
PEBOP-
Early Retirement Plan
Post Employment Benefits Other than Pension
Exhibit No. 108
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 7
UWI-04-
Details of Adjustments to
Amortization of Deferred
Enhanced Severance Package Expense
Adjustment No.
Line No.Description Amount
To adjust the amortization of deferred costs associated with the
Enhanced Severance Package to an amount recommended by
IPUC Staff
$ (49,751)
Details er Com Filin
Deferred ESP Cost 2002 176 699
Deferred ESP Cost 2003 054
Total Deferred ESP Cost 248 753
Amortization Period 60 Months
Pro Forma Expense 751
Staff Adiustments
Remove Deferred ESP Cost 2002
Remove Deferred ESP Cost 2003
$ 176 699
054
Total Staff Adjustment to Deferred ESP Costs $ 248 753
10.Total Staff Adjustment to Company s Filing (49 751)
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 8
Line No.
UWI-O4-
Details of Adjustments to
Purchased Water Cost
Adjustment No.
Amount
To adjust purchased water expense for rented and leased
natural flow rights shares in canal company s and contracts/leases
for storage water to amounts recommended by IPUC Staff
$ (77 479)
Details per Company Filina
Natural Flow associated expenses
Shares in Canal Companys, maintenance
Contracts & Leases for storage water
Other Miscellaneous
$ 12 744
980
147 592
000
Pro Forma Purchased Water $ 195,316
Staff Adiustments
10.
Adjust Shares in Canal Companies, maintenance
Adjust Contracts and Leases for Storage Water
Adjust CWTP -- South Boise Water
Adjust Other Miscellaenous
(725)
(97 027)
20,400
( 127)
(77 479t
117,837
11.Total Staff Adjustments to Pro Forma Purchases Water
12.Total Staff Pro Forma Purchase Water Expense
Exhibit No.1 08
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 9
UWI-04-
Details of Adjustments to
Operations and Maintenance Expense
At Present Rates
Adjustment No.1 0
Line No.Amount
To adjust the test year level of amortization expense for
deferred tank painting to an amount recommended by IPUC Staff
$ (3,046)
Details per Company Filina
Deferred Gowen Tank Painting
Deferred Aeronica Well Tank Painting
808
100
Total Deferred Expense
Amortization Period
New Annual Amortization Expense
Continuing Amortizations from Prior Case
$ 60 908
10 Years$ 6 091
096
Pro Forma Tank Painting Expense 187
Staff Ad ustments
Deferred Gowen Tank Painting 808
10.Deferred Aeronica Well Tank Painting 100
11.Total Deferred Expense 908
12.Amortization Period 20 years
13.New Annual Amortization Expense 045
14.Continuing Amortizations from Prior Case 096
15.Staffs Pro Forma Tank Painting Expense 141
16.Total Staff Adjustment 046)
Exhibit No.1 08
Case No. UWI - W -04-
D. English, Staff
4/06/05 Schedule 10
Line No.
WTP-
CWTP-
RWPS-
UWI-04-
Details of Adjustments to
Purchased Power Expense
Adjustment No.
Description Amount
$ (260 042)To adjust purchased power expense based on test year usage priced
at Idaho Power rates effective July 28 and December 1 , 2004; also
reflect for CWTP and RWPS
Details per Company s Filina
Schedule 7 with and without franchise fee
Schedule 9 with and without franchise fee
Marden WTP repriced from 9P to 19
CWTP and RWPS projected consuptive power use
CWTP Redundant Power and Stand By Charge
820
279 503
175 081
236 400
000
$ 1 756,803Pro Forma Power Expense
Staff's Adiustment
10.
11.
12.
Schedule 7 with and without franchise fee
Schedule 9 with and without franchise fee
Marden WTP repriced from 9P to 19
CWTP and RWPS projected consuptive power use
CWTP Redundant Power and Stand By Charge
398
098 080
145,414
192 509
360
13.Pro Forma Power Expense $ 1 496,761
14.Total Staff Adjustment to Company s Filing (260,042)
Water Treatment Plan
Columbia Water Treatment Plant
Raw Water Pumping Station
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 11
Line No.
UWI-04-4
Details of Adjustments to
Amortization of Deferred Power Expense
Adjustment No.
Description
To adjust amortization of deferred power expense to an amount
recommended by I PUG Staff
Details per Company s Filina
Projected Balance in Deferred Power as of May 31 , 2005
Amortization Period
Pro Forma Annual Amortization Expense
Staff Adjustments
Balance in Deferred Power as of April 30, 2003
Amortization Period
Pro Forma Annual Amortization Expense
Total Staff Adjustment to Company s Filing
Removed from Rate Base in Total because of carrying charge
Amount
$ (258,142)
550,000 *
3 Years
516,667
034 098
4 years
258 525
(258 142)
Exhibit No.
Case No. UWI - W -04-
D. English, Staff
4/06/05 Schedule 12
Line No.
UWI-04-4
Details of Adjustments to
Chemical Expense
Adjustment No. 13
Description Amount
To adjust chemical expense to amount recommended by IPUG Staff $ (15 000)
Details per Company s Filina
Normalize test year expense at current prices
Normalize phosphate usage
CWTP chemical usage
$ 242 029
000
145
Pro Forma Annual Expense 314 174
Staff Adiustments
Normalize test year expense at current prices
Normalize phosphate usage
CWTP chemical usage
$ 242 029
145
$ 299,174Pro Forma Annual Expense
10.Total Staff Adjustment to Company s Filing (15 000)
Exhibit No. 108
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 13
UWI-04-
Details of Adjustments to
Water Quality Testing Expense
Adjustment No. 14
Line No.Description Amount
To adjust outside laboratory expense to amount (14 340)
recommended by IPUC Staff
UWI Pro Staff Pro
Forma Forma
Testing Testing
Expense Expense
Details
Wells planned to adjust operations:
2a.Inorganic Cehicals 300 300
2b.Volitile Organic Chemicals 643 643
2c.Synthetic Organic Chemicals 931 29,931
2d.Nitrates 300 300
2e.Nitrites 100 122
2f.Fe/Mn 000 738
2g.Arsenic 300 300
2h.Radionuclides 000 000
2i.Disinfection By-Products 076 076
2j.Coliform 860 860
2k.T2ESWTR 000 2,400
21.miscellaneous test 500
Total Pro Forma Outside Lab Testing 86,010 71,670
Staff Adjustment (14 340)
Exhibit No.1 08
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 14
UWI-04-
Details of Adjustments to
Operating Expenses for CWTP
Adjustment No. 15
Line No.Description Amount
Adjust test year expense for additional minor operating expense
associated with CWTP operations
$ 57 210
Details
Communications infrastructure: CWTP T-1; MWTP T-1 upgrade 030
PRV communications upgrades to improve system flexibility
Water quality testing, natuarl gas, bldg. elec light, janitorial 180
Pro Forma Annual Expense 210
Test Year Expense
Adjustment 210
No Additional Staff Adjustment
CWTP-
MWTP-
PRV-
Columbia Water Treatment Plant
Marden Water Treatment Plant
Pressure Reducing Valve
Exhibit No.1 08
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 15
Line No.
2a.
2b.
2c.
2d.
2e.
2f.
2g.
2h.
2i.
UNITED WATER IDAHO
Details of Adjustments to
Power and Chemical Expense to Other Wells
Impacted by Operations of CWTP
Adjustment No.
Description
To adjust test year level of power and chemical expense for nine
well facilities that will modify operations with CWTP operations
Details
Wells planned to adjust operations:
Raptor
Ten Mile
Pioneer
Pleasant Valley
Market
Terteling
JR Flat
Centennial
Bergeson
Total Power & Chemical Pro Forma Expense Reductions
Test Year Expense
Adjustment
No Additional Staff Adjustment
Amount
$ (139 580)
(139,580t
(139,580)
Exhibit No.1 08
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 16
Line No.
UWI-04-4
Details of Adjustments to
Transportation Expense
Adjustment No. 17
Description Amount
$ (18 661)To adjust transportation expense including lease, fuel , maintenance
labor and overheads, insurance & lease disposal proceeds
at current projections and known & measurable changes
Details per Company s Filina
Lease Cost
Fuel
Maintenance materials, outside service
Mechanic payroll and benefits
Insurance
Lease disposal proceeds
299 719
130 200
000
879
56,400
(31 ,442)
589 756Pro Forma Annual Expense
Test Year O&M ratio 68.89%406 265
10.Test Year Expense 362 613
11.Adjustment (Line 9 - Line 10)43,652
Staff Adjustments
12.
13.
14.
15.
16.
17.
Lease Cost
Fuel
Maintenance materials, outside service
Mechanic payroll and benefits
Insurance
Lease disposal proceeds
299 719
130 200
000
400
(41 902)
506 417
348,854
323,862 *
992
(18 661)
18.Pro Forma Annual Expense
19.Test Year O&M ratio 68,89%
20.Test Year Expense w/o Mechanic Payroll & Benefits
21.Staff Adjustment to Transportation Expense
(Line 19 - Line 20)
Total Staff Adjustment to Company s Filing
(Line 21 - Line 11)
22.
* Test Year amount updated to exclude Mechanic Payroll and Benefits
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 1 7
UWI-04-
Details of Adjustments to
Customer Postage Expense
Adjustment No.
Line No.Description Amount
To adjust customer postage expense to May 31 , 2005
customer level and current postal rates
061
Details
Annual bills based on May 31 2005 customer count 461,442
Average test year postage cost per bill 3059
Pro Forma bill postage expense 141 , 1 36
Local postage machine for locally mailed customer 205
notices, correspondence, etc
Pro Forma Annual Expense 178 341
Test Year Expense 170 280
Adjustment 061
No Additional Staff Adjustment
Exhibit No.1 08
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 18
Line No.
UWI-O4-
Details of Adjustments to
Customer Information System Expense
Adjustment No.
Description Amount
To adjust customer billing expense to May 31 2005
customer level and account for IPUC Staff's adjustments
$ (1 678)
Details per Company s Filina
475 995
7200
342 716
635
6000
181
000
398,897
Annual bills produced
Cost per bill
Pro Forma customer billing expense
Annual past due notices produced
Cost per notice
Pro Forma past due notice expense
Misc programming charges based on test year level
Pro Forma Annual Expense
Staff Ad ustments
10.Annual bills produced 475 995
11.Cost per bill 7200
12.Pro Forma customer billing expense 342 716
13.Annual past due notices produced 839
14.Cost per notice 6000
15.Pro Forma past due notice expense 503
16.Misc programming charges based on test year level 000
17.Pro Forma Annual Expense 397 220
18.Total Staff Adjustment to Company s Filing 678)
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 19
Line No.
UWI-04-
Details of Adjustments to
Customer Outside Collection Expense
Adjustment No.
Description
To adjust expense of collecting and processing customer payments:
paid at local office, through lockbox and ACH
Details Der COmDany S Filina
Annual bills produced - Dec, 2004 actual + final & corrected bills
Lockbox transactions at test year level of 72,73%
Lockbox transactions
Price per unit based on test year
Pro Forma lockbox expense
ACH transactions
Price per unit based on test year
Pro Forma ACH expense
10.US Bank local processing charges
11.Federal Express Charges
12.Normalizing adjustment for lower lockbox price per unit
13.Pro Forma Annual Expense
Staff Adiustments
14.
15.
16.
17.
18.
Annual bills produced - Dec. 2004 actual + final & corrected bills
Lockbox transactions at test year level of 72.73%
Lockbox transactions
Price per unit based on test year
Pro Forma lockbox expense
19.
20.
21.
ACH transactions
Price per unit based on December 31 2004
Pro Forma ACH expense
22.US Bank local processing charges
23.Federal Express Charges
24.Normalizing adjustment for lower lockbox price per unit
25.Pro Forma Annual Expense
26.Total Staff Adjustment to Company s Filing
475 995
72,
346 191
2344
147
Amount
(30 015)
658
3472
478
364
1,476
(30 000)
79,465
475,995
72.
346 191
1477
51 ,132
658
3472
6,478
20,364
(30 000)
49,450
(30 015)
1,476
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 20
UWI-04-
Details of Adjustments to
Customer Records and Collection Expense
And Miscellaneous Customer Accounting Expense
Adjustment No.
Line No.Description Amount
To Adjust Customer Records and Collection Expense and
Miscellaneous Customer Accounting Expenses
$ (10 879)
Details
903-050: test year level 524
Normalize contract temporary employee and minor adjustments (14 570)
903-050: pro forma level 954
905-000: test year level 485
Normalize for annual customer notice bill stutter & misc 691
905-000: pro forma level 176
Pro Forma Annual Expense 130
10.Test Year Expense 18,009
11.Adjustment (10 879)
No Additional Staff Adjustments
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 21
UWI-04-
Details of Adjustments to
Operations and Maintenance Expense
At Present Rates
Adjustment No.
Line No.Description
To normalize uncollectible accounts expense based on a
five year average
Details per Company s FilinQ
Year Uncollectibles Revenue
Jul-
Jul-
Jul-
Jul-
162 706
124 359
105 384
106 277
000 222
884 881
30,406 924
694 018
Sub Total 498 726 $ 119,986 045 0.41565%
Pro Forma Revenue at Existing Rates
Pro Forma Annual Expense
Staff Ad ustments
Year U ncollecti bles Revenue
2000 971 809,570
10.2001 102 769 871 817
11.2002 122,433 894 543
12.2003 148,824 530 020
13.2004*106 610 718 258
14.Sub Total 568 607 142 824 208 3981%
15.Pro Forma Revenue at Existing Rates
16.Pro Forma Annual Expense
17.Total Staff Adjustment to Company s Filing
Amount
529)
527 396
131 045
527 396
125,516
(5,529)
Exhibit No.1 08
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 22
Line No.
UWI-04-
Details of Adjustments to
IPUC Annual Assessment
Adjustment No. 23
Description Amount
476)To adjust pro forma level of IPUG annual assessment
Details per Company s Filina
Total revenue subject to adjustment $ 31 527 396
IPUG assessment rate 240500%
Pro Forma IPUC Assessment 823
Staff Adjustments
Test Year IPUC Assessment 72,347
Total Staff Adjustment to Company s Filing 476)
ActuailPUC Assessment will be known on April 15, 2005.
Staff will accept actual assessment if Company includes it in rebuttal.
Exhibit No. 108
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 23
Line No.
UWI-04-
Details of Adjustments to
Amortization of Rate Case Expenses
Adjustment No. 24
Description
To adjust amortization of deferred rate case expenses
Details per Company s Filina
Estimated deferred rate case expense
Amortization Period
Pro Forma Rate Case Expense Amortzation
Staff Adjustments
Accepted deferred rate case expense
Amortization Period
Pro Forma Rate Case Expense Amortzation
Total Staff Adjustment to Company s Filing
245 000
Amount
(35,167)
Three Years
232 500 *
81,667
Five Years
500
(35,167)
* $12 500 Removed from Rate Base due to sharing of Steele & Associates - Boise fees
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 24
Line No.
UWI-04-4
Details of Adjustments to
Amortization of Employee Relocation Expense
Adjustment No. 25
Description
To adjust the amortization of employee relocation expense
Details per Company s FilinQ
Unamortized balance of deferred relocation at
31-May-
Additional Relocation Expense Incurred
Total Deferred Employee Relocation Expense
Amortization Period
Pro Forma Relocation Expense Amortzation
Staff Adjustments
Adjust Deferred Relocation Expense from UWI-00-
Adjust Relocation Expense Incurred
Total Adjustment to Company's Deferred Balance
10.Total Adjustment to Company s Pro Forma Amortization
* $130 093 Removed from Rate Base
Amount
(27 165)
732
130 093
135 825
Five Years
27,165
732)
(130 093) *
135,825
(27 165)
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 25
Line No.
UWI-04-4
Details of Adjustments to
Business Insurance Expense
Adjustment No. 26
Description
To adjust casualty, property and workers compensation
premiums to amounts recommended by IPUC Staff
Details per Company s Filina
Casualty Insurance Coverage Premiums
Workers Compensation Coverage
Property Insurance Coverage
Small Property Damage Claims
Total Pro Forma Business Insurance Expense
Staff Adjustments
10.
11.
Casualty Insurance Coverage Premiums
Workers Compensation Coverage
Property Insurance Coverage
Small Property Damage Claims
Total Test Year Business Insurance Expense
12.Total Staff Adjustment to Company s Filing
861 300
164 900
500
600
Amount
(184,264)
083,300
791 784
105 682
570
899,036
(184 264)
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 26
Line No.
UWI-04-
Details of Adjustments to
Operations and Maintenance Expense
At Present Rates
Adjustment No. 27
Description
To eliminate from the test year certain expenses that do not qualify
for rate making treatment under past IPUC Orders
Details per Company s FilinQ
Charitable contributions
NAWC Dues- Lobbying portion
Idaho Association of Commerce & Industry Dues- Lobbying portion
Country Club Dues
Adjustment
Additional Items
Scholarships and Sponsorships
Company Holiday Parties and Summer Picnics
Additional Portion of NA WC Dues - Lobbying
10.Staff Adjustments to Company s Filing
Amount
(17,433)
510)
600)
(780)
115)
(14,005)
800)
(11 833)
800)
(17 433)
Exhibit No. 108
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 27
Line No.
UWI-04-
Details of Adjustments to
Corporate and Local IT Maintenance & Support
At Present Rates
Adjustment No.
Description
To adjust test year expense for services related to upkeep and support
of communication infrastructure, networks, desktop software support, hydraulic
model support, Intellution & Oracle support, SCADA support, etc.
Details per Company s Filina
Pro Forma Level of Corporate IT support, maintenance
Pro Forma Level of Local IT support, maintenance
Pro Forma Annual Expense
Staff Adjustments
Test Year Level of Corporate IT Support, Maintenance
Test Year Level of Local IT Support, Maintenance
Test Year Expense
Total Staff Adjustment to Company s Filing
Amount
(51 046)
108 340
800
156,140
667
31 ,427
105 094
(51,046)
Exhibit No.1 08
Case No. UWI W -04-
D. English, Staff
4/06/05 Schedule 28
Line No.Description
UWI-O4-
Details of Adjustments to
Test Year Miscode
Adjustment No.
Amount
$ (2 995)Adjust Test Year Miscode
Details
995)Eliminate charge to account 930-250 that was expensed
in the test year and will not recur
Adjustment 995)
No Additional Staff Adjustments
Exhibit No. 108
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 29
Line No.
UWI-04-4
Details of Adjustments to
Expenses Related to Customer Growth
Adjustment No. 30
Description Amount
$ (16,480)To adjust expenses related to customers added to the system
during test year and during pro forma period
Details oer Comoany s Filina
Purchased Power
Chemicals
Transportation Cost
General Insurance
T&D Excluding Payroll
242 538
235 950
362 613
789 765
388 083
018 949Total Variable Cost
10.
Total Variable Cost
Test Year Revenue
Variable Cost Percentage
018 949
000 222 =
74%
11.Customer Growth Revenue per Witness Gradilone 749 828
12.Operating Ratio Adjustment 73,022
Staff Ad ustments
13.Purchased Power 1,496 761
14.Chemicals 299 174
15.Transportation Cost 348 854
16.Generallnsurance 899 036
17.T&D Excluding Payroll 388 083
18.Total Variable Cost 431 908
19.Total Variable Cost 431 908
20.Test Year Revenue 000 222 =
21.Variable Cost Percentage 11.07%
22.Customer Growth Revenue per Witness Sterling 510 739
23.Operating Ratio Adjustment 542
24.Total Adjustment to Company s Filing (16,480)
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 30
Line No.
UWI-04-
Details of Adjustments to
Expenses Related to Weather Normalization
Adjustment No.
Description
To normalize variable cost power and chemicals due to the
adjustments made by Staff Witness Sterling
Details per Company s Filina
Purchased Power
Chemicals
Total Variable Cost related to weather
Total Variable Cost
Test Year Revenue
1,478,488
000 222
Revenue adjustment due to weather normalization
Variable Cost %
Operating Ratio Adjustment
Staff Adjustments
10.
11.
Purchased Power
Chemicals
12.Total Variable Cost related to weather
13.
14.
795,935
000 222
Total Variable Cost
Test Year Revenue
15.Revenue adjustment due to weather normalization
16.Variable Cost %
17.Operating Ratio Adjustment
18.Total Staff Adjustments to Company s Filing
Amount
888)
$ 1 242 538
235 950
77%
(184 354)
77%
$ 1,496 761
299 174
79%
(184 354)
79%
110.680)
888)
Exhibit No.
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 31
UWI-04-4
Details of Adjustments to
Outside Legal Services Expense
Adjustment No.
Line No.Description Amount
To adjust outside legal services to account for expenses
not recurring in typical test year
$ (17 745)
Details
Normalized Pro Forma Annual Expense 000
Test Year Expense 851
Adjustment (28,851)
Additional Staff Ad ustments
Cartwright Tank Removal (248)
Disposition of Carriage Hill System 818)
Danskin Power Plan Operations 980)
Idaho Power Co. Rate Case IPC-O3-
374 amortized over 5 years 699)
10.Additional Staff Adjustments to Company s Filing (17 745)
Exhibit No.1 08
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 32
Line No.
UWI-O4-
Details of Adjustments to
Amortization of Deferred Legal Expenses
Related to Terra Grande Water Company
Adjustment No. 33
Description
Adjust Pro Forma Expense for Amortization of Deferred Terra
Grande Related Expenses
Details per Company s Filina
Total Expenses Incurred by Company
Amortization Period
Normalized Pro Forma Annual Expense
Staff Adjustments
Accepted Expenses Incurred by Company
Amortization Period
Staff's Pro Forma Annual Amortization Expense
Total Staff Adjustment to Company s Filing
Amount
(794)
707
Three Years
569
877
Five Years
775
(794 )
Exhibit No. 108
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 33
Line No.
UWI-O4-
Details of Adjustments to
Operating Expenses Associated with
Carriage Hills System
Adjustment No. 34
Description
To normalize operating expense (power) due to the sale of the
Carriage Hill System
Details per Company s Filina
Test year power cost incurred by Company
Normalized Pro Forma Annual Expense
Adjustment
Additional Staff Adjustments
Customer Accounting Expense
Total Staff Adjustment to Company s Filing
Amount
(645)
986
(645)
Exhibit No. 108
Case No. UWI- W -04-
D. English, Staff
4/06/05 Schedule 34
UWI-04-4
Details of Adjustments to
Payroll Taxes
At Present Rates
Line
No.Descri tion Amount
To adjust Employer FICA Tax Liability 117
Details
FICA Medicare
Amount Amount Combined
FICA Base for 2005 000 No Limit
FICA Rate for 2005 20%1.45%
Pro Forma Payroll at 2005 Rates 325,849 325 849
Wages in Excess of FICA base 012
Taxable Wages 230 837 325 849
FICA Tax Rates 20%1.45%
Pro Forma FICA Tax 262 312 725 325,037
Test Year I;xpense 311 920
10.Adjustment
Exhibit No. 109
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule
UWI-04-4
Details of Adjustments to
Payroll Taxes
At Present Rates
Line
No.Descri tion Amount
To adjust State Unemployment Insurance Tax 410
Details
Idaho Taxable Base 500
Idaho U C Tax Rate 20%
Employees covered by U.C. Tax
(90 (Qt $29 500 less under limit wages $22 177
plus temps $52 837)
Taxable Base $ 2 685 660
Taxable Wages $ 2 685 660
Tax Rate 20%
Pro Forma Idaho Unemployment Tax 371
Test Year Expense 961
10,Adjustment 410
Exhibit No.1 09
Case No. UWI - W -04-
D. English, Staff
4/06/05 Schedule 2
UWI-04-
Details of Adjustments to
Payroll Taxes
At Present Rates
Line
No.Descri tion Amount
To adjust Federal Unemployment Insurance Tax 327
Details
Federal Taxable Base 000
Federal Tax Rate 80%
Employees covered by Federal Unemployment Tax
(90 ~ $7 000 plus temps $50 061)
Taxable Base 680 061
Taxable Wages 680 061
Tax Rate 80%
Pro Forma Federal Unemployment =fax 440
Test Year Expense 113
10.Adjustment 327
Exhibit No.
Case No. UWI-04-
D. English, Staff
4/06/05 Schedule 3
CERTIFICATE OF SERVICE
HEREBY CERTIFY THAT I HAVE THIS 6Th DAY OF APRIL 2005
SERVED THE FOREGOING DIRECT TESTIMONY OF DONN ENGLISH, IN CASE
NO. UWI-04-, BY MAILING A COpy THEREOF POSTAGE PREPAID, TO THE
FOLLOWING:
MARK GENNARI
UNITED WATER
200 OLD HOOK RD
HARRINGTON PARK NJ 07640
DEAN J MILLER ESQ
McD EVITT & MILLER LLP
PO BOX 2564
BOISE ill 83701
DOUGLAS K STRICKLING
BOISE CITY ATTORNEY'S OFFICE
150 N CAPITOL BLVD.
PO BOX 500
BOISE ill 83701
CHUCK MICKELSON
CITY OF BOISE
150 N CAPITOL BLVD.
PO BOX 500
BOISE ill 83701
WILLIAM M. EDDIE
ADVOCATES FOR THE WEST
PO BOX 1612
BOISE ill 83701
BILL SEDIVY
ill AH 0 RIVERS UNITED
PO BOX 633
BOISE ill 83701
BRAD M. PURDY
ATTORNEY AT LAW
2019 N 17TH STREET
BOISE ill 83702
SHARON ULLMAN
9627 W. DESERT AVE
BOISE ID 83709
SCOTT L. CAMPBELL
101 S CAPITOL BLVD., 10TH FLOOR
PO BOX 829
BOISE ID 83701
CERTIFICATE OF SERVICE