20221223_Veolia to Staff Attachment - Response to No. 85.pdf

VEO-W-22-02 IPUC DR 85 Page 1 of 1
VEOLIA WATER IDAHO, INC. CASE VEO-W-22-02 THIRD PRODUCTION REQUEST OF THE COMMISSION STAFF
Preparer/Sponsoring Witness: Cary REQUEST NO. 85:

With reference to Adjustment No. 17 - Office Expenses, on page 14 of Company witness
Cary's Direct Testimony, please provide additional details of the $821 increase in the first-class
postage cost of 3.45%. Please include the calculation and supporting documentation for this
adjustment, including a description of the types and number of mail pieces.

RESPONSE NO. 85:

The July 10th first class postage increase from $0.58 to $0.60 or 3.45% increase was
applied to the test year level of postage costs of $23,815 resulting in a $821 adjustment. While
some of mail is metered, the metered rate increase was higher at 7.54%, the adjustment reflects
the lower 3.45% rate increase. Please see the Attachment for postage cost increase information.

For the test year, the postage costs included AutoSort metered mail from the Company’s
Victory office, Federal Express shipping costs and Options postage for customer mailings. The
$821 adjustment would equate to 1,369 first class rate letters at $0.60 each.

17 Office Expenses
VEO-W-22-02
IPUC DR 85
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Line AdjustmentNo.Description Amount
1 73,730$
2 701001 - Cellular Phone 39,402$
3 701002 - Telephone Equipment 213,316$
4 701003 - Communication Other 8,190$
5 701004 - Office Supplies 50,404$ 6 701005 - Dues and Subscriptions 58,135$
7 701006 - Licenses and Fees 22,873$ 8 701008 - Postage and Air Freight 23,815$ 9 701009 - Staff Mtgs, Conf and Seminars 36,613$ 10 701012 - Air Transportation 13,859$ 11 701013 - Ground Transportation 6,525$
12 701014 - Hotel and Lodging 7,335$ 13 701015 - Meals 2,379$ 14 701016 - Other Office Expense 259,071$
15 Historic Test Year Expense 741,917$
16 Cityworks License cost 9% contractual increase and additional licenses for new employees 42,776$ See Cityworks License Agreement pdf attachment for pricing info.
17 CCR Consumer Confidence Report postage costs 20,000$ See CCR Postage 50650 Invoice tab for supporting documentation - Options Invoice
18 Postage Increase July 10, 2022 from $0.58 to $0.60 for first class mail 3.45%821$ See support for Schedule 13 CC&B Cost Increases for postage increase supporting documentation
19 10,133$ See Right Systems Quote and Purchase Order
20 Test Year Expense 73,730$ 815,647$
21 Adjustment 73,730$
Case No. VEO-W-22-02Exhibit No. 10Schedule 1J. Cary
Page 17
Veolia Water Idaho, Inc.Details of Adjustments to Operations and Maintenance ExpenseHistoric Test Year ended June 30, 2022, as Adjusted
Adjustment No. 17
Postage Cost Increase
VEO-W-22-02
IPUC DR 85
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The USPS Postage changes July 10, 2022: Manually handled mail we pay the first class full rate of $.60 and machine processed mail we get the bulk rate which has gone up to $.57 per one ounce piece. For metered