20150729AVU to Staff 36.doc

AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION

JURISDICTION: IDAHO DATE PREPARED: 07/20/2015
CASE NO.: AVU-E-15-05/AVU-G-15-01 WITNESS: Elizabeth Andrews
REQUESTER: IPUC RESPONDER: Ryan Finesilver
TYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUEST NO.: Staff-036 TELEPHONE: [phone]

REQUEST:

Please describe the variable costs associated with the use of the Company-owned aircraft, such as fuel. Please provide the dollar amount posted in 2014 at the system level, the account(s) posted, how those costs were allocated or assigned to Idaho gas and Idaho electric operations.

RESPONSE:

Please see Staff_PR_036 Attachment A for a listing of all variable costs associated with the company aircraft during the test period. Please also see Staff_PR_036 Attachment B for costs included in the pooling account.

Variable Costs:
Fuel
Landing Fees

Variable costs such as fuel and landing fees are captured in Project 77700115 / Task 184110. This is a pooling account that is used to captures costs. As the plane is used, a standard per minute rate is billed to the Projects and tasks which utilize the plane; this charge is used to offset costs pooled in the above account. Representatives from multiple departments may utilize the plane at any given time. When this occurs, the per-minute rate is allocated among the appropriate projects based on the number of travelers.

All variable costs are allocated based on the number of passengers listed on the manifest and the purpose of their travel and appropriately charge the use of the plane to either Utility or Non-Utility / Subsidiary operations.

A total of $4,876.96 Idaho Electric and $547.96 Idaho Gas expenses related to the company aircraft were removed from test period expenses in the Miscellaneous Restating Adjustment (adjustments 2.08 E-MR and 2.08 G-MR).

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