20031021Smith Exhibit 19.pdf

BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-03-13
IDAHO POWER COMPANY
EXHIBIT NO. 19
L. SMITH
Known and Measurable Adjustments to
Operating Expenses and Rate Base
Line
No.
Idaho Power Company
Summary of Known & Measurable Adjustments to 2003
Operating Expenses During 2004
Source
Page
Known & Measurable Adjustments
Amount
1
2
3
4
5
6
7
A
A
A
B
B
B
Incentive
OrP.rntino PP.nsion Expense Adjustment
2002 Prescription Expenses Booked in 2003
2004 Salary Structure Adjustment
American Falls Interest
Property & Liability Insurance
Total Known & Measurable Adjustments
$ 5,114,821
2, 170, 163
(280, 107)
2,241,595
297,436
364,014
$ 9,907,923
10/10/20037:49 AM
EXHIBIT NO. 19
CASE NO. IPC-E-03-13
L. SMITH, IPCo
PAGE 1 OF 6
Line
No.
A
Idaho Power Company
Detail of Known & Measurable Adjustments to 2003
Operating Expenses During 2004
Amount
1) Incentive Expense (Various accts)
1 2003 Estimated Adjusted Straight-time Payroll $ 108,640, 131
2 Less Estimated Officer Payroll 2,400,454
3 Total Payroll Exel Officers 106,239,677
4 Normalized Incentive Rate 7.00%
5 Normalized Incentive 7,436,777
6 Less 2003 Estimated Incentive
7 Increase 7,436,777
8 Times operating percent 68.78%
9 Adjustment to Operating Expense $ 5, 114,821
2) Operating Pension Expense Adjustment (926)
10 Service Cost $ 10,173,344
11 Less 2003 Accrual 7,018,000
12 Difference 3,155,344
13 Operating Percent 68.78%
14 Adjustment to Operating Expense $ 2, 170, 163
15
16
17
3) 2002 Prescription Expenses Booked in
2003 (Various accts)
Times Operating Percent
Adjustment to Operating Expense
$
$
(407,266)
68.78%
(280, 107)
EXHIBIT NO. 19
CASE NO. IPC-E-03-13
L. SMITH. IPCo
PAGE 2 OF 6
B
Idaho Power Company
Detail of Known & Measurable Adjustments to 2003
Operating Expenses During 2004
Line
No. Amount ----
4) 2004·0perating Payroll SSA (Various accts)
1 2003 Annualized Gross Payroll $ 108,640, 131
2 Estimated SSA 3.00%
3 Gross Adjustment 3,259,204
4 Operating percent 68.78%
5 Adjustment to Operating Expense $ 2,241,595
5) American Falls Interest (536)
6
7
8
9
10
11
12
13
14
2004 Estimated
Less 2003 Actual/Estimated
Adjustment to Operating Expense
6) Liability & Property Insurance (924 & 925)
2004 Premium Increase
New monthly premium (with increase)
Times 12
Less 2003 Annualized Estimated Cost
2004 Adjustment
Less Portion to Subsidiaries
Idaho Power Portion
$
$
$
$
801,941
504,504
297,436
593,013
7,123,358
6,739,760
383,598
19,584
364,014
EXHIBIT NO. 19
CASE NO. IPC-E-03-13
L. SMITH, IPCo
PAGE 3 OF 6
B
Idaho Power Company
Detail of Known & Measurable Adjustments to 2003
Operating Expenses During 2004
Line Source
No. Page Amount
3) Operating Pension Expense Adjustment (926)
4 Service Cost $ 10,173,344
2 4 Less 2003 Accrual 7,018,000
3 Difference 3,155,344
4 Operating Percent 68.78%
5 Adjustment to Operating Expense $ 2,170,163
6
7
5 4) 2002 Prescription Expenses Booked in 2003 (Various accts) $
Times Operating Percent
407,266
68.78%
8 Adjustment to Operating Expense $ 280,107
EXHIBIT NO. 19
CASE NO. IPC-E-03-13
L. SMITH, IPCo
PAGf: 4 OF 6
·s 0 0 N c: � ::, o
>, o c: 0
(\J O n. - E c: 0 ;: (.) 0 ... c:
Q) ::.:::
;: Vl O c: a. 0 0;:; s: i5 (\J "O :!2 <t - c: (\J 0.:: ... 0 ·co ::E
0
Q) 0 ct ;; er: ai
Q_
-�
�
<O co (/) .::, ·- c .- (.'., Q.) - CJ c ·- x <l ;i}w 0
� ci ·-; z
Ol Ol
<D 0 c:i
0)
0)
O'.)
c .Q <ii -;;;
(/) c co �
* 0 0 0 0
0 O'.)
c5 C')
;,?. 0
<D 0
000 I'- 0 l'­ Ol l!) -st I.[) �- r-....�
O'.) (0 -st O CO 0)
('t"'J- .: -.;;;f"
Q) §
(J) c f':l I-
C\I C') -st
O'.) O'.) <.C, C"i N N
-.i 0 0 C\I
ai c ::, -,
.3 0 ·�
Q) (J) 0 u .9
-0 Q) ro E U)
Q) c co a:
Idaho Power Company
Detatl or Known and Measurable Adjustment
Depreciation Expense in Account 403
Adjust from Old Depreciation Rates to New Depreciation Rates
LINE
NO ---- 1 2004 Depreciation Expense - Expected Old Rates s 91,072,585
2 2004 Depreciation Expense - Expected New Rates $ 97,048,855
3 tncreas.e to Depreciation Expense using New Rates s 5,976.?.7C
4 Increase to Depreciation Reserve Account 108 (Average) $ 2,988,135 .
5 1 Detail by FERG categories: NC403 NC 108
ti Total Steam Production s (731,839) $ (365,919)
7 Total Hydro Production s 1,450,788 $ 725,394
8 Total Other Production s (252,608) $ (126,304) � Total T1c111::.111i;c,5io11 Gtatione $ (1.?:'1�.!'i03) $ (619.751)
10 Total Transmission Lines s 1,443,320 $ 721,660
11 Total Distribution Stations $ (1, 144,416) s (572,208)
12 Total Distribution Lines s (5,243,126) $ (2,621,563)
13 Total General s 11,693,653 $ 5,846,826
14 Total Adjustment $ 5,976,270 $ 2,988,135
EXHIBIT NO. 19
CASE NO. IPC-E-03-13
L. SMITH, IPCo
PAGE60F6