20241122Direct Anupa Jacob_Exhibits.pdf

RECEIVED
Friday, November 22, 2024
IDAHO PUBLIC
UTILITIES COMMISSION
Preston N. Carter, ISB No. 8462
Morgan D. Goodin, ISB No. 11184
Megann E. Meier, ISB No. 11948
GIVENS PURSLEY LLP
601 West Bannock Street
P.O. Box 2720
Boise, Idaho 83701-2720
Office: [phone]
Fax: [phone]
[e-mail]
[e-mail]
[e-mail]
18557797.1 [30.264]
Attorneys for TVeolia Water Idaho, Inc.
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION Case No. VEO-W-24-01
OF VEOLIA WATER IDAHO, INC. FOR A
GENERAL RATE CASE
DIRECT TESTIMONY OF ANUPA JACOB
FOR VEOLIA WATER IDAHO,INC.
NOVEMBER 22,2024

I INTRODUCTION
2 Q. Please state your name, occupation and business address.
3 A. My name is Anupa Jacob and I am the VP/Controller& Chief Accounting Officer at
4 Veolia Water M&S (Paramus), Inc. ("VWM&S") with overall responsibility of the
5 company's financial accounting records of the regulated companies. My business address
6 is 461 From Road, Suite 400, Paramus,NJ 07652.
7 Q. Please summarize your educational background and professional experience.
8 A. I received a Bachelor's Degree in Electronics and Communication Engineering from
9 Cochin University of Science and Technology, India and a Master of Business
10 Administration with a concentration in Accounting from Baruch College, City University
11 of New York. I am a Certified Public Accountant licensed in the State of New York. I have
12 over fifteen years of experience in accounting and auditing regulated utilities, publicly
13 traded companies, and private companies. Prior to my current role, I was the Director of
14 Utility Accounting for VWM&S, Manager of Technical Accounting and Derivatives
15 Accounting at National Grid, Plc., and held various roles within the Assurance practice at
16 PwC.
17 Q. What is the purpose of your testimony?
18 A. The purpose of my testimony is to discuss the following adjustments related to Exhibit 10,
19 Schedule 1 —Adjustments to Operating and Maintenance Expenses:
20 Adjustment No. 19—Management& Service Fees
21 Adjustment No. 23 —Amortization Expense—Deferred Rate Case
22 Adjustment No. 24—Amortization Expense—Pension Expense
23 Adjustment No. 25 —Amortization Expense—Deferred Tank Painting
PAGE I OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

I Adjustment No. 26—Amortization Expense—Excess Deferred Income Taxes
2 Adjustment No. 27—Amortization Expense—Deferred Power and Exhibit 10,
3 Schedule 2: Adjustment No. 2—Amortization of Utility Plant Acquisition Adjustments
4 Company Witnesses Wilson and Bucci will discuss additional operating and
5 maintenance expense adjustments in their Testimony and Exhibits.
6 Q. Are there other Exhibits that you are sponsoring in this Rate Case?
7 A. Yes. I'm sponsoring Exhibit No. 7, which is the Balance Sheet per books as of August 31,
8 2024 and Exhibit No. 8 which is the Statement of Income for the twelve Months ended
9 August 31, 2024.
10 Q. What services does the Management and Services Fee represent?
11 A. VWM&S fee represents the services provided to VWID by VWM&S employees. These
12 services include administrative, engineering, legal, operations, accounting, finance, human
13 resources, purchasing, insurance, data processing, customer service,billing,public
14 relations,planning and ratemaking services and other general services necessary in the
15 proper conduct of business. VWM&S continues to use the same cost allocation
16 methodology reflected in the affiliate agreement with Veolia Water M&S (Paramus), Inc.
17 (formerly SUEZ Water Management& Services Inc.) and described in the Cost Allocation
18 Manual ("CAM"), which has been previously reviewed by Idaho Public Utilities
19 Commission Staff in prior rate case proceedings.
20 Q. What are the benefits of centralizing services provided by VWM&S?
21 A. Through the centralization of certain specialized services, VWID is able to enjoy
22 economies of scale and realize savings over the cost of providing the same services at each
23 individual operating utility.
PAGE 2 OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

I Q. Please describe the various normalizing and annualizing adjustments, as well as
2 known and measurable adjustments, made to operating expense in Exhibit 10,
3 Schedule 1.
4 A. Adjustment No. 19, Management& Service ("M&S") Fee, increases historical test year
5 expense of$4,554,245 by$251,013. The M&S fee for 8 months ended August 2024 was
6 adjusted for a reduction of the depreciation expense for the same period and then
7 annualized for the 12 month period ending December 2024. Additionally, it includes an
8 adjustment for shared assets (including depreciation expense)because, in addition to the
9 services articulated above, VWM&S makes capital expenditures, generally related to
10 investments in information technology hardware and software, as well as other assets to
11 benefit VWID and its affiliates. In the absence of the VWM&S company investments in
12 these assets, VWID would have needed to make these investments in both services and
13 capital expenditures on a standalone basis in order to support its operations and the
14 delivery of reliable service to its customers.
15 The adjustment reflects a calculation of the cost of shared assets, which are
16 included in the total M&S fee, whereby the balance of the assets, less accumulated
17 depreciation and deferred income taxes, are calculated. The entire M&S fee is allocated to
18 VWID, based upon the three-factor formula as described in the CAM, and is projected as
19 of December 31, 2024, reflecting the costs in effect in the period when the rates are to be
20 effective in this case.
21 Adjustment No. 23, Amortization Expense—Deferred Rate Case, increases
22 historical test year expense by $36,753 for deferred rate case expense amortization. The
23 Company seeks recovery of the current rate case costs, estimated to be $294,000, as well
PAGE 3 OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

I as the remaining balance of the deferred rate case expense in the amount of$101,715,
2 approved in Case No. VEO-W-22-02. The Company is also including for recovery the
3 remaining balance of$17,280 related to the Eagle Water acquisition intervenor funding
4 and the refund of the remaining balance of$56,686 related to the deferred Idaho State tax
5 credit and federal employee retention credit,both approved in Case No. VEO-W-22-02.
6 The Company also seeks reimbursement for the number of months in excess of one year of
7 $11,936 related to the intervenor funding that was included as a reduction to the annual
8 revenue requirement in Case No. VEO-W-22-02. The Company seeks a four-year recovery
9 of the net amount of rate case expenses.
10 Adjustment No. 24, Amortization Expense—Pension Expense, decreases historical
I I test year expense of$23,220 by $98,264. In Case No. VEO-W-22-02, the Commission
12 approved a pension plan contribution amount of$585,796 as the benchmark from which
13 future cash contributions would be compared. Payments over or under the $585,796 were
14 authorized to be deferred for future consideration. Actual cash contributions were
15 $149,428 for September 2023 through December 2023, $408,489 from January 2024
16 through August 2024 and are estimated to be $272,120 from September 2024 through
17 December 2024. The Company estimates a deferral of$192,918 to be refunded to
18 customers as well as the remaining balance as of December 2024 related to Case No.
19 VEO-W-22-02 of$107,257. The Company seeks to refund the total amount of$300,174
20 over a four-year period. Please see the testimony of Company Witness Bucci for an
21 explanation of Adjustment No. 3 Employee Pension Cash Contribution Costs.
22 Adjustment No. 25, Amortization Expense—Deferred Tank Painting, increases
23 historical test year tank painting expense of$154,781 by $179,306. Since its 2022 rate
PAGE 4 OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

I case, the Company has painted the Hidden Hollow Interior for$415,431, the Ustick
2 Interior for$437,767, the Ustick Exterior for$89,307, the Barber Interior for$502,182, the
3 North Mountain Tank Interior&Exterior for$271,819, the Good Street Interior for
4 $800,252, the Columbia Clearwell Interior for$655,353 and the Broken Horn Interior for
5 an estimated amount of$414,000, subject to true up and is anticipated to be completed in
6 December 2024. The Company is requesting a twenty-year amortization period for these
7 costs, consistent with recent commission orders and stipulation agreements. The
8 amortization expense has been adjusted to reflect the addition of the new amortization
9 amounts.
10 Adjustment No. 26, Amortization Expense—Excess Deferred Income Taxes,
I I results in no change to the Company's historical test year expense. The Company will
12 continue to amortize the Excess Deferred Income Taxes as approved in Case No. VEO-W-
13 22-02. Please see testimony of Company Witness Cagle for further details.
14 Adjustment No. 27, Amortization Expense—Deferred Power, increases historical
15 test year expense of$264,072 by $142,212 for deferred power amortization. The Company
16 seeks recovery of the deferred Power Cost Adjustment (annual adjustment mechanism),
17 approved in Case UWI-W-01-02, for costs incurred since the last rate case through August
18 2024 of$929,533 including accumulated interest, the estimated power costs and interest
19 from September 2024 through December 2024 of$95,891 as well as the remaining balance
20 of deferred power expenses to be amortized as of December 2024 related to Case No.
21 VEO-W-22-02 of$599,711 for a total test year deferred balance of$1,625,135 to be
22 amortized over four years. Please see testimony of Company Witness Wilson for an
23 explanation of Adjustment No. 10 Energy—Purchased Power and Other Utilities.
PAGE 5 OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

I Q. Please describe the various normalizing and annualizing adjustments, as well as
2 known and measurable adjustments, made to amortization expense in Exhibit 10,
3 Schedule 2.
4 A. Adjustment No. 2, Amortization of Utility Plant Acquisition Adjustment (UPAA),results
5 in no change to the Company's historical test year expense. The Company will continue to
6 amortize UPAA as approved in Case No. VEO-W-22-02.
7 Q. Does this conclude your direct testimony?
8 A. Yes
PAGE 6 OF 6
A.JACOB,DI
VEOLIA WATER IDAHO,INC.

Preston N. Carter, ISB No. 8462
Morgan D. Goodin, ISB No. 11184
Megann E. Meier, ISB No. 11948
GIVENS PURSLEY LLP
601 West Bannock Street
P.O. Box 2720
Boise, Idaho 83701-2720
Office: [phone]
Fax: [phone]
[e-mail]
[e-mail]
[e-mail]
18557695.1 [30-264]
Attorneys for Veolia Water Idaho, Inc.
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION Case No. VEO-W-24-01
OF VEOLIA WATER IDAHO, INC. FOR A
GENERAL RATE CASE
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
EXHIBIT TO ACCOMPANY THE
DIRECT TESTIMONY OF ANUPA JACOB

Veolia Water Idaho, Inc.
Balance Sheet Per Books
August 31, 2024
Case No. VEO-W-24-01
Line No. Assets
Utility Plant
1 Water Plant in Service $ 637,356,543
2 Retirement Work in Progress
3 Plant Held for Future Use -
4 Construction Work in Progress 20,653,997
5 Utility Plant Acquisition Adjustment 10,414,400
6 Amortization (204,369,256)
7 Net Utility Plant 464,055,684
Investments
8 Other Investments 7,554
9 Total Investments 7,554
Current Assets
10 Cash -
11 Accts/Notes Receivable- Customers 3,319,806
12 Other Receivables 1,388
13 Provision for Uncollectable Accounts (262,714)
14 Accounts Receivable (Associated Companies) 1,630,027
15 Material & Supplies Inventory 1,650,997
16 Prepaid Expenses 19,383
17 Accrued Utility Revenue 11,443,451
18 Total Current Assets 17,802,338
Deferred Debits
19 Deferred Rate Case Expense 133,983
20 Other Deferred Charges 22,549,847
21 Total Deferred Debits 22,683,831
22 Total Assets $ 504,549,406
Capitalization and Liabilities
Capital
23 Common Stock Issued $ 1,261,750
24 Additional Paid-in Capital 156,890,161
25 Retained Earnings 178,452,371
26 Accumulated Other Comprehensive Income 1
27 Total Equity Capital 336,604,283
Liabilities
28 Accounts Payable 3,530,299
29 Accounts Payable (Associated Companies) 7,980
30 Notes Payable -
31 Customer Deposits -
32 Accrued Other Taxes Payable 1,281,110
33 Accrued Income Taxes Payable 2,272,511
34 Misc Current&Accrued Liabilities 3,487,808
35 Advances for Construction 3,801,561
36 Other Deferred Liabilities 20
37 Regulatory Liabilites 3,802,503
38 Operating Reserves (Pension & Benefits) 3,634,638
39 Contributions in Aid of Construction 187,328,286
40 Accumulated Amortization of CIAC (53,978,250)
41 Accumulated Deferred Income Tax 12,776,658
42 Total Liabilities 167,945,123
43 Total Liabilities & Capital $ 504,549,406 -
Case No.VEO-W-24-01
Exhibit No. 7
A.Jacob
Page 1 of 1

Veolia Water Idaho, Inc.
Statement of Income
For the Twelve Months Ended August 31, 2024
Case No.VEO-W-24-01
Line No.
1 Operating Revenues $59,317,269
Operating Expenses
2 Operation and Maintenance Expense 22,414,286
3 Depreciation Expense 11,273,623
4 Amortization, Utility Plant Acquisition Adjustment 282,588
5 Taxes Other Than Income Taxes 2,391,986
6 Income Taxes 3,412,547
7 Total Operating Expenses 39,775,030
8 Net Operating Revenues 19,542,239
9 Gains (Losses)from Disposition of Utility Plant 0
10 Utility Operating Income $19,542,239
Case No.VEO-W-24-01
Exhibit No. 8
A.Jacob
Page 1 of 1

VEOLIA WATER IDAHO, INC.
Details of Adjustments to Operating and Maintenance Expenses At Present Rates
SUMMARY- Exhibit 10, Schedule 1
Historic Test Year ended August 31, 2024, as Adjusted
(1) (2) (3) (4) (5)
Schedule Historic Test Year Adjusted Historic Test Year
Line Adjustment Account Ended Normalizing Test Year Ended Ending
Witness No. Description No. Reference 08/31/2024 Per Books Adjustments 08/31/2024 Adjustments 12/31/2024
EXHIBIT 10, Schedule 1
M. Wilson 1 Payroll 1 50100 to 50125 $ 7,806,288 $ 7,806,288 $ 135,265 $ 7,941,553
M. Wilson 2 Workers Compensation (excludes reserves, adds claims 2 91460 $ 68,115 1/ $ 17,684 $ 85,799 $ 32,028 $ 117,827
L. Bucci 3 Pension Cash Contributions 3 91500, 71257 & $ 873,877 $ 873,877 $ (193,268) $ 680,609
L. Bucci 4 Post-retirement Benefits Other than Pension (PBOP) 4 91550 &71258 $ (448,642) $ (448,642) $ (38,286) $ (486,928)
L. Bucci 5 Employee Healthcare (excludes reserves) 5 91700 $ 1,694,602 2/ $ (127,885) $ 1,566,717 $ 395,374 $ 1,962,090
L. Bucci 6 Employee 401k 6 91800 $ 511,836 $ 511,836 $ 25,033 $ 536,868
L. Bucci 7 Other Employee Benefits -Tuition &Other Awards 7 91850 &91860 $ 142,878 $ 142,878 $ (85,244) $ 57,634
M. Wilson 8 Payroll Overheads (Fringe Benefit Allocation) 8 90950 &90953 $ (1,307,201) $ (1,307,201) $ (132,253) $ (1,439,454)
L. Bucci 9 Purchased Water 9 50605 $ 433,064 $ 433,064 $ - $ 433,064
M. Wilson 10 Energy- Purchased Power and Other Utilities 10 50610 &50620 $ 2,869,189 $ 2,869,189 $ 317,512 $ 3,186,702
M. Wilson 11 Chemicals (reclass of prior year correction) 11 50635 $ 758,808 3/ $ 9,511 $ 768,319 $ (27,601) $ 740,718
M. Wilson 12 Subcontractors 12 50400 $ 1,066,558 $ 1,066,558 $ 46,117 $ 1,112,675
L. Bucci 13 Customer Billing Expenses 13 50405 $ 323,460 $ 323,460 $ 17,175 $ 340,635
L. Bucci 14 Bad Debts (reserves booked in separate 90405 account) 14 90400 &90405 $ 352,668 4/ (2,097) $ 350,571 $ (18,215) $ 332,356
L. Bucci 15 Materials (reclassification amount in Adjusted Test Year 15 50300 $ 276,106 5/ $ 276,106 $ (0) $ 276,106
M. Wilson 16 Vehicle Allocation (excludes reserves, adds claims 16 50645 &50646 $ 754,934 6/ $ 334,483 $ 1,089,417 $ (174,871) $ 914,546
M. Wilson 17 Office Expenses 17 50650 $ 726,981 $ 726,981 $ 42,551 $ 769,532
L. Bucci 18 Advertising Expense 18 50651 $ 116,722 $ 116,722 $ 19,286 $ 136,008
A. Jacob 19 Management&Service Fees 19 90850 $ 4,554,245 $ 4,554,245 $ 251,013 $ 4,805,258
L. Bucci 20 General Insurance (excludes reserves, adds claims 20 91400 &91450 $ (28,071) 7/ $ 127,589 $ 99,518 $ 154,558 $ 254,076
L. Bucci 21 IPUC Fees 21 91900 $ 111,595 $ 111,595 $ 8,017 $ 119,612
M. Wilson 22 Safety 22 92200 $ 212,503 $ 212,503 $ (0) $ 212,503
A. Jacob 23 Amortization Expense- Deferred Rate Case 23 92000 $ 55,308 8/ $ 55,308 $ 36,753 $ 92,061
A. Jacob 24 Amortization Expense- Deferred Pension 24 92056 $ 23,220 $ 23,220 $ (98,264) $ (75,044)
A. Jacob 25 Amortization Expense- Deferred Tank Painting 25 92053 $ 154,781 $ 154,781 $ 179,306 $ 334,086
A. Jacob 26 Amortization of Excess Deferred Income Taxes 26 92059 $ (200,004) $ (200,004) $ - $ (200,004)
A. Jacob 27 Amortization Expense- Deferred Power 27 92061 $ 264,072 $ 264,072 $ 142,212 $ 406,284
J. Cagle 28 AFUDC Equity Gross Up Amortization 28 92064 $ 46,036 $ 46,036 $ (46,036) $ -
M. Wilson 29 Adjustment to Variable Expenses Due to Volume 29 $ - $ - $ (290,315) $ (290,315)
30 Total Adjusted Operating & Maintenance Expenses $ 22,213,928 $ 359,284 $ 22,573,213 $ 697,848 $ 23,271,060
M. Wilson 31 Total Unadjusted Operating & Maintenance Expenses $ 265,210 $ - $ - $ - $ 265,210
32 Total Operating and Maintenance Adjustments $ 22,479,138 $ 359,284 $ 22,573,213 $ 697,848 $ 23,536,270
EXHIBIT 10, Schedule 2
K. Arp 33 Adjustment to Depreciation Expense 1 70100 &70101 $ 11,273,623 988,168 $ 12,261,791
A. Jacob 34 Amortization of Utility Plant Acquisition Adjustments 2 71255 282,588 (0) $ 282,588
35 Total Depreciation and Amortization $ 11,556,211 $ - $ - $ 988,168 $ 12,544,379
EXHIBIT 10, Schedule 3
M. Wilson 36 Other Tax 1 70200 $ 25,879 $ (25,879) $ -
M. Wilson 37 Property Taxes 2 70203 $ 1,388,498 $ 340,754 $ 1,729,252
M. Wilson 38 Payroll Taxes (combined FICA, FUI, SUI) Pages 3, 4 & 5 70250 $ 977,609 $ 23,310 $ 1,000,920
39 Total Taxes Other $ 2,391,986 $ - $ - $ 338,185 $ 2,730,171
40 Total Operating Expenses $ 36,427,336 $ 359,284 $ 22,573,213 $ 2,024,200 $ 38,810,820
Normalizing Adjustments: To exclude Reserves and adjust Historic Test Year Case No.VEO-W-24-01
1/ Workers Compensation (excludes reserves, adds claims payments GL account 26200) Exhibit No. 10
2/ Employee Healthcare (excludes reserves) Schedule 1-2-3
3/ Chemicals (reclassification amount in Adjusted Test Year to Materials or capitalized) Summary
4/ Bad Debts (reserves booked in separate 90405 account) Bucci/Wilson
5/ Materials (reclassification amount in Adjusted Test Year) Jacob/Cagle/Arp
6/ Vehicle Allocation (excludes reserves, adds claims payments GL account 26200) Page 1 of 1
7/ General Insurance (excludes reserves, adds claims payments GL account 26200, does not include premiums captured in M&S Fees)
8/ Rate Case Expense Amortization (excludes Intervenor funding)

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No. 19
Management&Services Fees
Account 90850
Line Adjustment
No. Description Amount
1 Adjustment to normalize Management&Services fees based on actual 8 months ended August 2024 $ 251,013
2 Management&Services fees for 8 months ended August 31, 2024 $ 3,110,545
3 Less: Depreciation expense for 8 months ended August 31, 2024 $ 381,105
4 Management&Services fees for 8 months ended August 31, 2024 less depreciation expense $ 2,729,440
5 Annualized Management&Services fees for 2024 $ 4,094,159
7 Adjustment for shared assets (includes depreciaton expense) $ 711,098
8 Pro Forma M&S Fees $ 4,805,258
9 Test Year Expense $ 4,554,245
10 Adjustment $ 251,013
Case No.VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 19

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No. 23
Amortization Expense- Deferred Rate Case
Account 18680 and 92000
Line
No. Description Adjustment Amount
Adjustment of amortization of rate case expenses- based on projected deferred rate case expense
1 balance as of December 31, 2024 $ 36,753
Remainder of amount approved for rate case expense amortization per Order no. 35762 related to Case
2 no. VEO-W-22-2 as of December 31, 2024 $ 101,715
3 Estimated rate case expense:
4 Legal $ 85,000
5 Rate of Return $ 30,000
6 Intervenors $ 40,000
7 Mailing Notifications/Postcards to customers $ 54,000
8 Lead Lag Study $ 75,000
9 Miscellaneous & Other Cost $ 10,000
10 Total estimated rate case expense $ 294,000
11 Total rate case expenses to be amortized $ 395,715
12 Approved Intervenor Funding (Order No. 35265 related to Eagle Water acquisition) $ 17,280
13 Intervenor funding rate moderator per Order No. 35762 related to Case no. VEO-W-22-02 $ 11,936
14 Deferred Idaho State Tax Credit& Federal Employee Retention Credit $ (56,686)
15 Adjusted rate case expenses to be amortized $ 368,245
16 Test Year annual deferred rate case amortization expense (amortized over 4 years) $ 92,061
17 Historic Test year expense -Amortization of deferred rate case expenses (Case No. VEO-W-22-02) $ 55,308
18 Adjustment(Test Year less Historic Test Year) $ 36,753
Case No.VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 23

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No. 24
Amortization Expense - Deferred Pension
Account 18609 and 26310
Line Adjustment
No. Description Amount
Adjustment of amortization of pension costs - based on projected deferred pension balance as
1 of December 31, 2024 $ (98,264)
Deferral
Remainder of amount approved for deferred pension expense amortization per Order no.
2 35762 related to Case no. VEO-W-22-02 as of December 31, 2024 $ (107,257)
3 Deferred pension as of August 31, 2024 $ (169,165)
4 Projected additional deferral through December 31, 2024 $ (23,753)
5 Total $ (300,175)
6 Test Year annual deferred pension expense & interest amortization $ (75,044)
7 Historic Test Year Expense at August 31, 2024 $ 23,220
8 Adjustment (Test Year less Historic Test Year) $ (98,264)
Case No.VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 24

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No. 25
Amortization Expense -Tank Painting
Account18620 and 92053
Line Adjustment
No. Description Amount
Amortization of Deferred Tank Painting Expense. Subject to true up. $ 179,306
Year Amortization Amortization Annual
Details Painted Allowed Cost Period Amortization Total
Ongoing From Prior Cases
1 Aeronica Tank Dec-00 UWI-W-04-04 $ 21,100 20 Years $ 1,055
2 Gowen Tank Exterior Apr-01 UWI-W-04-04 $ 39,808 20 Years $ 1,990
3 Federal Reservoir Jul-06 UWI-W-06-02 $ 162,895 20 Years $ 8,145
4 Crestline Tank Dec-09 UWI-W-09-01 $ 65,628 20 Years $ 3,276
5 Steelhead Tank Dec-09 UWI-W-09-01 $ 313,493 20 Years $ 15,684
6 Ustick Reservoir Dec-09 UWI-W-09-01 $ 74,183 20 Years $ 3,708
7 Hillcrest Resevoir Apr-10 UWI-W-11-02 $ 230,134 20 Years $ 11,508
8 Gowen Tank Interior Aug-14 UWI-W-15-01 $ 208,050 20 Years $ 10,402
9 Barber Tank interior Oct-18 SUZ-W-20-02 $ 338,037 20 Years $ 16,908
10 Hulls Gulch Interior Jun-20 SUZ-W-20-02 $ 1,135,161 20 Years $ 56,760
11 Hulls Gulch exterior Aug-20 SUZ-W-20-02 $ 213,330 20 Years $ 10,668
12 Hidden Hollow exterior Aug-20 SUZ-W-20-02 $ 102,317 20 Years $ 5,112
13 Broken Horn Tank Paint Nov-21 VEO-W-22-02 $ 65,239 20 Years $ 3,264
14 Columbia Tank Paint Oct-21 VEO-W-20-02 $ 126,088 20 Years $ 6,300
15 Total $ 154,781
New Amortization Request
16 Hidden Hollow Interior May-24 $ 415,431 20 Years $ 20,772
17 Ustick Interior Apr-24 $ 437,767 20 Years $ 21,888
18 Ustick Exterior May-24 $ 89,307 20 Years $ 4,465
19 Barber Interior Mar-24 $ 502,182 20 Years $ 25,109
20 North Mountain Tank Interior& Exterior Apr-24 $ 271,819 20 Years $ 13,591
21 Good Street Interior May-24 $ 800,252 20 Years $ 40,013
22 Columbia Cwtp Clearwell Interior Apr-24 $ 655,353 20 Years $ 32,768
Broken Horn Interior(Estimated,
23 anticipated to be completed Dec. 6, Dec-24 $ 414,000 20 Years $ 20,700
2024) Subject to true up
24 Total $ 179,306
25 Test Year annual tank painting amortization expense $ 334,086
26 Historic Test Year Expense -Amortization of deferred tank painting expenses $ 154,781
27 Adjustment (Test Year less Historic Test Year) $ 179,306
Case No. VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 25

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No.26
Amortization of Excess Deferred Income Taxes
Account 92059
Line
No. Description Adjustment Amount
1 Adjustment of amortization of Excess Deferred Income Taxes (EDIT) $ -
2 Historic Test year amortization of EDIT-Protected $ (200,004)
3 Total test year amortization of EDIT $ (200,004)
9 Test Year annual EDIT Amortization Expense $ (200,004)
10 Adjustment (Test Year less Historic Test Year) $ -
Case No. VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 26

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ending August 31, 2024, as Adjusted
Adjustment No. 27
Amortization Expense - Deferred Power
Account18625 and 92061
Line Adjustment
No. Description Amount
Adjustment of amortization of deferred power costs - based on calculated deferred power
1 balance as of December 31, 2024 $ 142,212
Deferral Balance
2 Remainder of amount approved for deferred power expense amortization per Order no. 35762 599,711
related to Case no. VEO-W-22-02 as of December 31, 2024
3 Deferred power as of August 31, 2024 $ 929,533
4 Calculated additional deferral through December 31, 2024 $ 79,724
5 Calculated additional interest through December 31, 2024 $ 16,167
6 Total $ 1,625,135
7 Test Year annual deferred power amortization expense $ 406,284
8 Historic Test Year Expense -Amortization of deferred power expenses (Case No. VEO-W-22-02) $ 264,072
9 Adjustment (Test Year less Historic Test Year) $ 142,212
Case No. VEO-W-24-01
Exhibit No. 10
Schedule 1
A. Jacob
Page 27

Veolia Water Idaho, Inc.
Details of Adjustments to Operations and Maintenance Expense
Historic Test Year ended August 31, 2024, as Adjusted
Adjustment No. 2
Amortization of Utility Plant Acquisition Adjustment(UPAA)
Account 11400 and 11500
Line Acquistion Description Company IPUC Order Amortization Utility Plant Accumulated Unamortized Annual Adjustment Amount
1 Adjustment of amortization of UPAA- based on projected UPAA balance as of December 31, 2024 $ (0)
Ongoing From Prior Cases
2 Raintree X00014 Sep-00 40 Years $ (227,594.00) $ 136,586.00 $ (91,008.00) $ (5,688.00)
3 South County Water X00020 Jan-99 40 Years $ 1,009,011.00 $ (647,467.00) $ 361,544.00 $ 25,224.00
4 Barber Water X00027 Jan-99 40 Years $ 46,966.00 $ (28,934.00) $ 18,032.00 $ 1,176.00
5 Eagle Water ACQ_EAGLE 22-May 40 Years $ 10,475,000.00 $ (349,094.00) $ 10,125,906.00 $ 261,876.00
$ 11,303,383.00 $ (888,909.00) $ 10,414,474.00 $ 282,588.00
6 Test Year annual UPAA amortization expense $ 282,588
7 Historic Test Year Expense -Amortization of UPAA(Case No. VEO-W-22-02) 282,588
8 Adjustment (Test Year less Historic Test Year) $ (0)
Case No. VEO-W-24-01
Exhibit No. 10
Schedule 2
A. Jacob
Page 2