20200511Compliance Filing.pdf

LISA D. NORDSTROM
Lead Counsel
[e-mail]

VIA ELECTRONIC FILING

May 11, 2020

Diane Hanian, Secretary
Idaho Public Utilities Commission
11331 W. Chinden Boulevard
Building 8, Suite 201-A
Boise, Idaho 83714

RE: Case No. IPC-E-03-11
Annual Compliance Filing of Asset Retirement Obligations (“ARO”) Accounting
Standards Codification (“ASC”) 410

Dear Ms. Hanian:

In Order No. 29414, the Idaho Public Utilities Commission directed Idaho Power Company
(“Company”) to record regulatory assets or liabilities associated with implementation of Statement
of Financial Accounting Standards 143 (now codified as ASC 410). As a result of the Order, the
Company is required to file annually, and as part of any rate case filing, all journal entries made
under the requirements of ASC 410.

On May 17, 2012, Order No. 32549 was issued authorizing the Company to begin recovery
of incremental costs related to the early closure of the Boardman power plant (“Boardman”) and
established the Boardman balancing account which tracks the difference between cost and
revenues, including Boardman-related ARO balances. In addition, Order No. 32549 exempted
Boardman-related ARO balances from the deferral treatment required under Order No. 29414.

Pursuant to Order No. 29414, attached please find all journal entries made under the
requirements of ASC 410. If you have any questions regarding this filing, please contact Senior
Regulatory Analyst Courtney Waites at [phone] or [e-mail].

Sincerely,

Lisa D. Nordstrom
LDN/kkt

Enclosures
cc: Terri Carlock
RECEIVED
2020 May 11PM1:45
IDAHO PUBLIC
UTILITIES COMMISSION
Recorded journal entries
FERC Account Dr.Cr.
December 31, 2018 balances
ARO Assets 101/107 14,299,376 -
Accumulated depreciation - ARO assets 108 - 10,653,584
Accumulated depreciation - removal costs 108 186,188,145 -
Cash 131 - 40,044 Regulatory assets 182.3 17,655,216 -
ARO Liabilities 230 - 26,791,608
Regulatory liabilities 254 - 186,188,145
Accretion expense (Boardman only), cumulative 411 1,728,909 -
Depreciation expense (Boardman only), cumulative 403 3,801,736 -
Calendar year 2019 Accretion, Depreciation, Regulatory Asset Amortization, and Removal Cost Entries
1 Regulatory asset (accretion expense)182.3 905,735
Accretion expense (Boardman only)411 209,615
ARO liabilities 230 1,115,349
To record accretion expense on the asset retirement
obligations
2 Regulatory asset (depreciation expense)182.3 555,230
Depreciation expense (Boardman only)403 544,133
Accumulated depreciation - ARO assets 108 1,099,363
To record depreciation on the ARO assets
3 Accretion expense (Boardman only)411 23,337
Depreciation expense (Boardman only)403 22,532
Regulatory asset (Boardman amortization)182.3 45,869
To record amortization of the Boardman regulatory asset
4 Accumulated depreciation - removal costs 108 (1,887,134)
Regulatory liabilities 254 (1,887,134)
To record adjustments to the ARO regulatory liability for
the difference between regulatory-approved removal
costs and the ASC 410 accruals
Calendar year 2019 changes in estimates
5 ARO Assets 107 518,759
Regulatory asset 182.3 (294,732)
Accumulated depreciation - ARO assets 108 (141,002)
ARO Liabilities 230 365,029
To record revision of estimated AROs at Valmy, Bridger,
Boardman, and IPC. Removed IPC from balance sheet in 2019.
Calendar year 2019 additions
6 ARO Assets 107 -
Accumulated depreciation - ARO assets 108 -
Regulatory asset 182.3 -
ARO Liabilities 230 -
No 2019 additions.
Calendar year 2019 retirements
7 Regulatory asset 182.3 17,462
Cash 131 77,915
ARO Liabilities 230 95,376
To primarily record retirements at Bridger and retirement
spend at Boardman.
Rounding adjustments
8 Accumulated depreciation - ARO assets 107 (77,238)
Regulatory asset 182.3 (77,238)
December 31, 2019 balances
ARO Assets 101/107 14,740,897 -
Accumulated depreciation - ARO assets 108 - 11,611,945
Accumulated depreciation - removal costs 108 184,301,011 -
Cash 131 - 117,958 Regulatory assets 182.3 18,835,356 -
ARO Liabilities 230 - 28,176,610
Regulatory liabilities 254 - 184,301,011
Idaho Power Company
Accounting Standards Codification 410 (previously FAS 143) Accounting
Year Ended December 31, 2019