20230531Compliance Filing.pdf

MATT LARKIN
Revenue Requirement Senior Manager
[e-mail]

VIA ELECTRONIC FILING

May 31, 2023

Jan Noriyuki, Secretary
Idaho Public Utilities Commission
11331 W. Chinden Blvd., Bldg 8,
Suite 201-A (83714)
PO Box 83720
Boise, Idaho 83720-0074

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

Dear Ms. Noriyuki:

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 Accounting Standards Codification
(“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
Regulatory Consultant Courtney Waites at [phone] or [e-mail].

Very truly yours,

Matt Larkin
MTL/sg

Enclosures
cc: Terri Carlock
RECEIVED
Wednesday, May 31, 2023 2:48:08 PM
IDAHO PUBLIC
UTILITIES COMMISSION
FERC Account Dr. Cr.
December 31, 2021 balances
ARO Assets 101/107 26,540,204 -
Accumulated depreciation - ARO assets 108 - 15,121,983
Accumulated depreciation - removal costs 108 184,670,256 -
Cash 131 - 1,900,718
Regulatory assets 182.3/182.4 21,070,685 -
ARO Liabilities 230 - 36,719,987
Regulatory liabilities 254 - 184,670,256
Accretion expense (Boardman only), cumulative 411 2,195,275 -
Depreciation expense (Boardman only), cumulative 403 3,936,524 -
Calendar year 2022 Accretion, Depreciation, Regulatory Asset Amortization, and Removal Cost Entries
1 Regulatory asset (accretion expense) 182.3 1,078,511
Accretion expense (Boardman only) 411 27,141
ARO liabilities 230 1,105,653
To record accretion expense on the asset retirement
obligations
2 Regulatory asset (depreciation expense) 182.3 5,901,485
Accumulated depreciation - ARO assets 108 5,901,485
To record depreciation on the ARO assets
3 Accumulated depreciation - removal costs 108 4,583,237
Regulatory liabilities 254 4,583,237
To record adjustments to the ARO regulatory liability for
the difference between regulatory-approved removal costs
and the ASC 410 accruals
Calendar year 2022 changes in estimates
4 ARO Assets 107 1,696,396
Regulatory asset 182.3/182.4 284,242
ARO Liabilities 230 1,412,154
To record revision of estimated AROs at Valmy, Bridger,
and Boardman.
Calendar year 2022 retirements
5 Regulatory asset 182.3 500,547
Cash 131 1,242,407
ARO Liabilities 230 1,742,954
To primarily record retirements at Bridger and retirement
spend at Boardman.
Calendar year 2022 RA reclassification
6 Regulatory asset 182495/6 1,514,490
Regulatory asset 182493/4 1,514,490
To reclassify Boardman assumption change (original: debit
liability and offsetting credit to RA) recorded during Q4
2021 in the incorrect RA's accounts 3/4, to the correct RA
accounts 5/6 during Q1 2022.
December 31, 2022 balances
ARO Assets 101/107 28,236,601 -
Accumulated depreciation - ARO assets 108 - 21,023,468
Accumulated depreciation - removal costs 108 180,087,019 -
Cash 131 - 3,143,126
Regulatory assets 182.3/4/5/6 27,265,891 -
ARO Liabilities 230 - 37,494,839
Regulatory liabilities 254 - 180,087,019
Idaho Power Company
Accounting Standards Codification 410 (previously FAS 143) Accounting
Year Ended December 31, 2022
Recorded journal entries