20231106_GNRU2301_dh.pdf

DECISION MEMORANDUM
TO:COMMISSIONER ANDERSON
COMMISSIONER LODGE
COMMISSIONER HAMMOND
COMMISSION SECRETARY
LEGAL
FROM:JOSEPH TERRY
DAYN HARDIE
DATE:NOVEMBER 6,2023
RE:ANNUAL DETERMINATION OF THE INTEREST RATES ON
DEPOSITS COLLECTED FROM CUSTOMERS FOR THE CALENDAR
YEAR 2024;CASE NO.GNR-U-23-01.
Every year the Commission sets the interest rate to be paid on customer deposits for the
next calendar year.Rule 106 of the of the Customer Relations Rules for Gas,Electric and Water
Utilities provides:"the Commission will determine the twelve-month average interest rate for
one-yearTreasury Bills for the previous November 1 through October 31,round that rate to the
nearest whole percent...".(IDAPA 31.21.01.106 and IDAPA 31.41.01.104).The average
interest rate for one-yearTreasury Bills for November 1,2022 through October 31,2023 is
5.01%as shown on Attachment A.
STAFF RECOMMENDATION
In accordance with the Customer Relations Rules,Staff recommends the rate be rounded
to the nearest whole percent and be set at 5%for the calendar year 2024,a 3%increase from
2023.This increase is consistent with the current market situation.
COMMISSION DECISION
Should the interest rate paid on deposits collected from customers for the calendar year
2024 be set at 5%?
eph T
DECISION MEMORANDUM -1 -NOVEMBER 6,2023
ATTACHMENT
ONE-YEARTREASURY RATES
VVeekEnded Ratevo VVeekEnded Rate%
11/4/2022 4.76 4/28/2023 4.80
11/10/2022 4.59 5/5/2023 4.73
11/18/2022 4.74 5/12/2023 4.75
11/25/2022 4.76 5/19/2023 5.02
12/2/2022 4.69 5/26/2023 5.25
12/9/2022 4.72 6/2/2023 5.22
12/16/2022 4.61 6/9/2023 5.17
12/23/2022 4.66 6/16/2023 5.24
12/30/2022 4.73 6/23/2023 5.25
1/6/2023 4.71 6/30/2023 5.40
1/13/2023 4.69 7/7/2023 5.41
1/20/2023 4.68 7/14/2023 5.34
1/27/2023 4.68 7/21/2023 5.35
2/3/2023 4.79 7/28/2023 5.37
2/10/2023 4.89 8/4/2023 5.33
2/17/2023 5.00 8/11/2023 536
2/24/2023 5.05 8/18/2023 5.35
3/3/2023 5.03 8/25/2023 5.44
3/10/2023 4.90 9/1/2023 5.36
3/17/2023 4..26 9/8/2023 5.42
3/24/2023 4.32 9/15/2023 5.43
3/31/2023 4.64 9/22/2023 5.46
4/7/2023 4.61 9/29/2023 5.46
4/14/2023 4.77 10/6/2023 5.43
4/21/2023 4.78 10/13/2023 5.41
4/28/2023 4.80 10/20/2023 5.41
10/27/2023 5.39
Añ/ERA(SE 5.01
Source:Federal ReserveTreasury Rates
One-YparConstantBhaturities
https://www.treasury.govfreso r e-ger/data-chart-center/interest-
'rates/Pages/TextVieW.x,atá-yieldYear&year=2023
ATTACHMENTA
DECISION MEMORANDUM -2 -NOVEMBER 6,2023