20080627Smith exhibits 29-34.pdf

BEFORE THE
r:
IDAHO PUBLIC UTiliTIES COMMISSION
CASE NO. IPC-E-08-10
IDAHO POWER COMPANY
SMITH, 01
TESTIMONY
EXHIBIT NO. 29
lDAO PO'/ COMPI\
OTER OPERTIN RlWENESFor Twlve Months End..d Decemr 31, 2007
i:ineNo Description
1 Miscellaneous service revenues (451).................
2
3
Rent from electric property 1454):
Substation equipmnt. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Transformr ¡¡ distribution rentals.................
Station and line rentals...........................
5 Cogeneration and small power production............
Real estate rents..................................
7 Dark fiber rents...................................
8 Joint pole ottochmnts........... . . . . . . . . . . . . . . . . . .
Facilities Cbllrges......... ........................
10 Overnight park rents...............................
11 MiSCEl llaneous. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12 TOtal rent from electric property...............
Other electric revenue (456):
13 Network Services and' Other L'l.....................
14 lIint - to - Point.................................
15 Pbotov1tllc.......... . . . . . ....... .. . . . . ... . . . ... . .
16 Antelope...........................................
17 Cons..rva tion recovery - oregon... . . . . . . . . . . . . . . . . . .
18 sierra Pacific Power Company sales............ . . . ..
19 Stond-by service ..................................
20 Transssion services for :rES .....................
21 Energ efficiency rider I formrly DSH Rider) . . . . . . .
22 Miscellaneous. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
23 Total other electric revenue....................
24 Provision for rate refund - OATT Tariff (449)........
25 Total other operating revenues.......................
III (2)(31Y-T-DActuals 2007
Dec 2007 Adjustmnt Bose
$ 4,050,513 4.050.513
6.737.959 6,737.959
17.330 17.330
2.668,140 2,668,140
522,926 522,926
347,397 347,397
448,639 4411,639
1.663,350 1.663,350
6,289,555 6,289,555
339.902 339,902
19.035.198 19,035,198
5,240,584 5,240,584
10,988,507 10,988.507
13,687 13,687
13,824 73,824
66,423 66,423
237,222 237,222
13,487,460 13,487,460
31,962 31.962
30.139.669 30.139.66?
11.015.534)11.075.5341
$52.149.846 $52,149,846
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 1 of24
1.,¡ ,;il
IDAHO POWE COMPAN
OTER REENES AN EXPEIES
For Twlve Months Ended Decemr 31, 2007
i:ine
No Program
Other Revenues (Acct 4151:
Power solutions.".. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2 Hydro Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3 Water Management Services............................
Joint Use ll'le) - Idaho.............................
5 Joint Use lI'le1 - Oregon.................. . . . . . . . . . .
TotiiL... ................................... ......
Other Exnses (Acct 4161 :
7 Poer Solutions............... . . . . . . . . . . . . . . . . . . . . . . .
Hydro Services....................................;..
Water Maagemnt services............... . . . . . . . . . . . . .
10 Joint Use - Idaho....................................
11 Joint Use - oregon...................................
12 TotaL...........................................
(1)
Y-T-DActual..
Dec 2007
(2)(3)
2007
BaseAdjustmnt
$ 2,148,781 $2,148,781
189,805 189.805
332,798 332,798
16:891
2.688,275
16.891
$$2,688.275
1.898.256 $1,898,256
236 236
94.354 94.354
51,869 51,869
2,636 2,636
2.047 , 351 $$ 2, 047,351
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 2 of 24
-? .,,/ J-d
LINE
NO
lDAO PO COMPAN
OPERTION AN IlXNTSN EXENSES
For Twelve Months Ended Decemr 31, 2007
1
2
3
4
5
6
FER
ACCOUNTNUllER DESRXPIXONI'wer production expense:
Steam power generation -Opeotion -500 Oper and supv engineering501 Fuel
502 Steam expnses505 Electric expenses506 Misc steam poer expeses507 Rents
(1)
Y-T-DActua1s
Dec 2001
7 Total opration
$ 1.664,872GhM MHJ6,840,1092,109.8888,068,234
295,774
iii,978,877
8
9
10
11
12
13
Maintenance -510 Main supv and engineering511 Main' of structures512 Main of boiler plant513 llin of electric plant514 Main of misc steam plant
2.580,241
649.26.414,630.0595,685,3775,934.852
29,479.199
48,458,676
Total maintenance
14 Total steam power generation
15
16
17
18
1920
Hydraulic power generation -OperAtion -535 Opr supv and engineering536 Woter for power537 Hydraulic expes538 Electric expeses539 Misc hydro iir gen ex540 Rents
5,235,531
5.051,1109,469,966
1,391,4532,825,559
419,652
21 TOt&l operation 24,399,271
22
23
24
25
26
Maintenance -
541 iiin supv and engineeing542 Main of structures543 Main of resrdøs,waterws544 Main of electric plant545 Main of misc hydro plant
1,875,5401.281,835
541.0342,090,2742,763.207
8,551.89027Total maintenance
28 Total hyulic poer generation 32.951:161
29
30
31
31
32
33
34
35
Other poer generation -Operation -546 Oper supv and engineering547 Fuel -Other general fuel547 Facili ty charge541 Fuel548 . Generation exses549 lIisc other pw gen exp550 Rents
341,622
27.902334.549CLQ kiJ ji381,996464,825
Total operation 1.550,894
(2) (3)
2007Adjustmt Base
~33~;,~!t_6,840,109
2,109.8888,068.234295,774
18,978.877
2.580,247
649.26414,630,0595,685.377
5,934,852
29,479,799
48,458.676
5,235.5315.057.110
9,469.9661.391,4532,825,559419,652
24,399,271
1,875,540l,:.81,835
541,0342,090,274:.,763,207
8,551,890
32,951,161
341.622
21,902
".' 334.549." '~a m~i,JJ; i381,996464,825
1.550.894
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 3 of 24
.. ~j.,4
IDAHO PO COIIPAN
OPERTION AN IlEN EXPENSESFor Twlve lIonths En Decer 31. 2001
LINE
NO
FERC
ACCONTNlER
111
Y-T-D
DEIP'ON De 2007
1
2
3
4
Other power generation - I continued)Maintenance -551 Main supv and engineering552 lIoin of structures553 Main of gen and elee pIt554 Main mise oth pwr gen pH
220,421
42,703645,761
908,885
2,459,779
$
5 Total maintenance
6 Total other power generation
7
8
9
10
Other por supply expenses -
555 Purchased power556 System cet and load disp551 Other exses
557 Other expenses
f.... Oíll77 ,4892.452,200
f.~:~~ß/r.M:~
11 Total other por supply expses 2,529,689
86,399.30512Total power production exnses
(2)
Adjustmnt
G'~.:mMt*.;.,
_ 2i.:"MF?J
(3)
2007
Base
220.421
42,703
645,761
908,885
2.459.779
_g:I.,!U!'
77 .4892.452200fR.'1j¿.~~r~
2,529,689
86,399,305
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 4 of 24
d p/';U/
ID PO COMPAN
OPERATION AN MAINTENANE EXPENSE
For Twlve Months Ended Deember 31, 2001
(11 (2)(3)FERC Y-T-DLINEACOUNActus1s 2007NONUERDESRIPTIONDec 2007 Adiustant BaseTransmission expnses;Operation -
1 560 Opr supv and engineering 2.334,833 $2,334,8332561Load dispatching 3,258,900 3,258,9003562Station exenses 1,748,408 1,748,4084563Overhesd line expenses 924.263 924,2635S64underground line expenses
6 565 Trans of eiec by others 10.469.726 10,469,7267566Mise: trans exses 622,227 622.2278567Rents1,163,462 1,163,462
Total operation 20.521,819 20,521,819
Maintenance -
10 568 Msin supv and engineering 442,111 442.11711569Main of structures 452,235 452,23512570Main of station eqip 2,899,130 2,899.13013571Main of overhead lines 2,341,428 2,341.42814573Main of mise trans plant 2.526 2.526
15 Total ~intenance 6,137.436 6,137,436
16 Totii1 transmission expnses 26.659,255 26.659,255
Distribution expnses:
Operation -
17 580 Oper supv and engineering 3,350,727 3,350,72718581Load dispatching 3,049.911 3,049,91119582Station exenses 1.120.906 1.120,90620583Overhead line expenes 3.432,084 3,432,08421584Underground line exnses 2,120,824 2,120,82422585St light and sg1 sys ex 148.817 148,81723586Meter exses 4.526,255 4,526,25524587customr install expense 1,371.291 1,371,29125588. Mise distribution ex 5,533,555 5.533,55526589Rents644,840 644,840
27 Total operation 25,299,210 25,299,210
Maintenance -28 590 Main supv and engineering 262,635 262,63529591Main of structures
30 592 Main of station eqip 3,493,145 3.493,14531593Main of overhead lines 12,504,013 12,504,01332594Main of unrground lines 1,351,054 1,351,05433595Main of line trsnsfomers 169.689 169,68934596Main of st 19ht-s¡¡1 sys 476,928 476,92835597Main of inters 927.906 927,90636598Main of misc dist plant 127,981 127,981
37 Total maintenance 19,313,351 19,313,351
38 Total distribution expenses 44,612,561 44.612.561
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 5 of 24
g'PI' e:4
IDAIIO PO COMPAN
OPERTION AN HAimllCE SXPBNSESFor Twlve Ilonths Ended Decer 31, 2007
Total custOter accounts expenses
11)(21 (3)Y-T-DActuals 2007
Dec 2007 Adjustment aiie
454,930 $454,9305,422,624 5,422.6248,177,910 8,117,9102,009.863 2,009,863
336 336
16,065.663 16,065,663
301.811 301,8718,424,016 8,424.01613.487.460 13,487,460
884,228 884.228
23.097.515 23,097,575
49.783,914 49,783,914
17,790,599 17.790.599
(27,708,5171 4,238.191 (23,470,326)11 .232, 903 11,232,9033,159,426 3.159,4265,448,358 5.448,35827.812.099 (4,238,1911 23,633,9081,200 1,2006,030,254 6,030,254
519,845 519,845
J, 497,157 3.497.15711,570 11. 570
91: 638.808 97.638.808
3.171.715 3,171.715
3: 771. 715 3.771. 715
101.410,523 101:410,523
$ 298.244.982 $$ 298.244,882
FIlRCLINE ACCOUNO NUBER DESCRIPTION
Customer accounts expIles;
Operation -1 901 Supervision2 902 Meter reading expses3 903 Cust records - collect exp4 904 Uncollectible accounts5 905 Mise custOler accts exp
Customer service and informational expeses:Operation -7 907 Supervision8 908 custom.er assistane ex9 908 Enery efficiency rider10 909 Info iUd instruct adv e.11 910 Mise cust svc and inf ex12 912 Deo ønd selling exp
Total customer service and13 informational expeses
Administr..tive an general expnses:Operation -14 920 Admin ond gen salaries15 921 Office supplies lld exp16 922 Adn exp transf - cr17 923 Outside services eiployed18 924 property insurance19 925 Injuries and d8loges20 926 Emp pensions and benefits21 927 Franchise requir8lentii22 928 Reg comission expses23 929 Duplicate ch..rges - cr24 930.1 General adertising exp25 930.2 lIise general expenses26 931 Rents
21 Total opration
Maintenance -28 935 Moin of general plant
29 Total maintenance
Total ødmnistrøtive and30 general expenses
Total electric operation31 and maintenance exiies
(1) Shaded lines represent poer iiupply costs thot ore normalized.
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 6 of 24
l, n/;;ý
IÐAO POER COPAN
OPERATION AN HAINTENE EXPENSES
PROPERTY INSURIl - ACCUNT 924For Twelve Months Ended Deemr 31. 2001
Line
No Description
production - steam:
1 llridger plant.....................................
Ilardan plant.....................,............. .
3 Va1J plant............. . . . . . . . . . . . . . . . . . . . . . . . . . .
Total production - steam.......................
All risk:
5 Blanket fidelity bond.................... . . . . . ....
property "all risk"...............................
7 Other miscellaneous........................... . . . .
8 TOtal all risk........ . . . . . . . . . . . . . . . . . . . . . . . . .
TOtal property insurance.......... . . . . . . . . . . . . . . . . . . .
¡ll (2)(3)
Y-T-D
Actuals 2007
De 2007 Adjustment Base
$563,232 563,232
46,916 46,916
427,911 427,911
1,038,059 1,038,059
70.457 70,457
1,883,737 1,883,737
167,173 167: 173
2: 121, 367 2.121,361i
$ 3.159,426 $$ 3,159,426
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 7 of 24
7 ,/,.'/
Line
No
lDAO POlmI COMPAN
OPERTION AN MAINrllB BXENSES
REGTOY COIlSSION EXPElES - ACUN 928
For Twlve Months Ended Decemr 31, 2001
Description
FERC admnistrative assessments and securities (928.1011Capacity........................................... .
2
3
Genera.tion. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Farc Order 1472 - Sales for resale..................
Miscellaneous Other.................................
5 TOtal (928.101)...................................
FmlC - RAte Case (928.102)........................ or ..
7 FmlC - Oregon Hydro 1928.104).............. or or ... .. ..
8 TOtal FER expense................... . . . . . . . . . . . . .
Idaho public Utilities Comssion expnse:
Rate case 1928.2021.................................
10
11
Other (928.203).....................................
TOtal IPU exnse................................
Oregon public Utility Comission expense:
12 Filing Pees (928.3011..............."..............
13 Rate case (928.302).. ...............,...............
14 Other (928.303).....................................
15 Total OPUC expnse....................... . . . . . . . . .
Nevada Public service coiission expense:
16 Other (928.403).....................................
17 Total NPSC expense................................
18 Total reglatory comssion expnses. . .. . . . . . .. .... ...
111Y-T-D
Actua1s
Dec 2007
5 1,603,921
901,599
475,388
2.435,147
5.416.055
20,831
158.506
5.595,392
247,861
2,780
250,641
183,577
184,221
5 6,030.254
(2)
Adjustmnt
644
$
(3)
2007Bae
$1,603,921
901,599
475,388
2:435.147
5.416.055
20,831
158,506
5.595,392
247,861
2,780
250,641
644
183.577
184,221
56.030,254
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 8 of24
? ,/" .2if
Idaho Powe Company
Iirliplant DepreciatIon System
Depreclalion and AmrttIon Expese
Twelve Month Endlng 1211107
FERC Accnt Jan-7 Fe-07 Mar-Ð Apr Mii7 Jun-73065,öã62 65,08.62 65,öã62 6508.62 65,ö8.62 65,08.62
303 599.127.00 607,157.49 623.097.38 632.953.67 631,478.27 63,96.22Total AmortzaIon
Expense 66,215.62 672,246.11 68.186.00 69,041.29 69.666.89 704,05.84
310 384.10 38.10 38.10 38.10 38.10 38.10
311 281,218.08 281,25.87 281.178.60 281,23.21 281,37n 281,347.98
312 1.198.66.88 1,201,649.49 1,203,260.05 1.20,85.05 1,207,571.3 1,20.741.92
314 35.206.6 36,536.68 34,716.34 34.718.78 349,131.09 345,618.34
315 110,139.78 110,139.78 110,ln.93 110.190.05 110.137.87 110.110.67
316 35.06.43 35,03.B7 35,40.83 35.43.49 35,169.68 35,158.93TotBlSleøm
PrOduction 1,979.58373 1,98.003.69 1,97.127.05 1,978.818.68 1.983.766.85 1,97.361.94
331 26928.68 26.945.55 262,88.58 262,921.40 26330.66 26fm.5733388,807.73 38,620.89 389.649.82 38.66.15 389,679.50 38,68.5333285,170.19 28.184.29 285,187.05 285,263.13 285.266.2 2B,2n.66
334 87.n879 87,69.20 87,665.40 88,874.01 88,88.46 89.624.18
335 24,122.65 24,118.59 24,119.94 24.125.11 24,26.02 24,285.75
336 11,246.83 11.246.83 11.246.83 11,246.83 11.92.07 11,92.07Total Hyo
Prouction 1,06.05.87 1,06.813.35 1.06.751.62 1,0609.63 1.06,30.73 1,06.467.74
341 12.695.6 12,695.60 13.523.99 13.623.99 13.523.99 13.523.9
342 8,30.34 8,3042 8,890.52 8,89.52 8,89.52 8,90.523471.8988 71,9D02 134,23.62 98,63.26 98.63.26 104,511.4734146,745.16 183.22.08 27,410.35 92.614.05 92,614.05 86,737.65
345 11,502.07 11.50.13 33,99.59 33.999.59 33,99.59 33,99.69
346 3.32.60 3,32.60 5.116.83 6,124.16 5,124.16 5.124.16
TotalOlher
PrOducion 26.469.51 290,956.76 223,179.90 252.787.57 252,787.57 252.787.38
Total ProducUon 3.29.108.11 3.34, n3.80 3.263.05.57 3.293,702.88 3,29.86.15 3,28,617.06
362 39,135.92 39.210.16 39.321.07 39,460.08 39,92.61 40.505.89
353 43,312.13 434,88.74 432.995.13 435,660.68 435,60.05 44.49.53Total TranIssion
Slatlons 473,44.05 474,09.89 472.316.20 475,020.76 475,09.66 48,00.42
350 41.68.38 42,041.31 42.00.73 42,160.60 42,171.76 42,179.593520,123.11 200.291.11 20.258.93 20,391.73 20,531.97 200,601.46
355 189.342.01 190.30.94 190,931.26 191.448.2 192.430.34 192,34.30
356 195.98.45 196,20.05 196.50.81 197,050.71 19a.25.42 198,441.22
359 28.97 283.97 283.97 28.97 28397 28.97
Total Transmission
Unes 627,624.92 62.129.38 62.9.70 631.33.19 633443.46 63.85.54
Total Trnsmission 1.101,072.97 1,103.22.27 1.10230.90 1,106.355.95 1,108,543.12 1,117.85.96
361 35,00.98 35,00.81 34,99.42 35.00.43 36,014.04 34,970.3736195,424.08 195,8292 195,9246 195,98.09 196,181.16 195.92.07
Totl Distribution
Stations 230,428.06 23.823.73 230,916.88 230.985.52 231,195.20 230.89.443659,39.44 597,153.63 597,90.44 601,661.60 60,99.31 606,04.5
365 26.8765 268,479.26 269,00.80 271.39.29 272,897.52 273,78.53
36 74,173.75 74,66.97 75,278.88 75,53.66 76,564.29 75,846.40
36 36,346.46 37,941.56 373,167.23 373.557.78 375.06.53 375,6847
388 469.65.08 46329.81 46.48.78 471,482 475.30.08 479.751.3836167.662.2 158674.99 168,25.66 159,405.30 159,938.40 160,321.19
370 178,021.09 179.616.83 182,00.01 183.046.41 184,06.92 162,900.24
371 22,462.82 22,57.47 22617.05 22,652.75 22,74385 22807.17
373 19,489.40 19,660.80 19.48.63 19,5993 19,60.76 19,497.28
Totl D1strbuUon
Line 2,144,084.98 2,154.769.32 2.184.758.38 2.178.352.94 2.189,167.66 2.196,842.18
Tolal Dlstrlbuton 2,374,513.04 2,385,68.05 2.39,677.26 2,40.338.46 2,420,352.86 2.427.738.82
390 128,87239 131.68.78 131,723.96 131.874.71 131.6385 131,66.17
391 512,99.23 526.506.01 536,623.98 558,264.26 555.817.40 569,740.29
39 98.62 98.62 98.62 98.62 104.33 98.62
393 6,469.02 6,514.08 6,614.08 6.514.08 6.614.08 6,499.82
394 29,2.3 29.381.27 29,86.26 29.949.61 30.3876 30,474.09
395 53.120.10 53,606.88 53.60.88 63.63.63 53,6615 53.808.963916.70 16.70
397 22,906.n 229,98.33 230,478.2 23,56.47 23,564.26 234.609.68
39 20,614.01 21,307.35 21.33.03 21,332.10 21,34.64 21.53.07
Total Genal 961,30.48 999,225.32 1,010,255.08 1.032,032.48 1.04.061.37 1,04.351.68Total Declatlon Exhibit No. 29Expense7,760,998.60 7.82.811.44 7,nl,291.81 7.841,429.n 7.86817.50 7,88558.22 Case No. IPC-E-08-10Depreciaton on L. Smith, IPCDisallowd Cost (24.691.61)(24.691.61)(24,691.61)(24,691.51)(24,691.61)(24,691.61)Page 9 of 24
Total Account 403 7,726.06.99 7,79.119.83 7.746.60.2 7,816.738.16 7.84,125.89 7.858,86.61
tJ IJ/ø2t/
Idaho Power Company
Intalllplant Depreciation SystBm
Dereclallon and Amortl%llon Expns
Twelve Monts Ending 1211/lJ
FERC ACcont Jul-lJ Aug'lJ Sep Oci-07 No-0 De7 12 Mont Totl3065.08.62 65,õ8.62 65,0062 65.õ8.62 65.08.62 65,08.62 761.058.4430640,870.64 64,5804 65.055.68 655,78.64 4l, 703. 76 49,92.23 7,314,69.02Totl Amortlzaon
Expense 705,958.6 710,66.66 720.144.30 720,870.26 554,78.38 56,007.85 e.95.7534631038.10 38.1 38.10 38.10 38.10 38.10 4.60.20311282.294.71 2821.29 282.970.82 28,131.99 28137.59 283172.80 3,38,967.913121,222,184.92 1.220,405.27 1,235,742.81 1,240,60.68 1,248,006.30 1,253,245.20 14.63.741.1131436.438.14 351.6 355,581.84 356.071.57 358,511.84 359,76.66 4,240,517.40315110.231.29 110286.18 110.39.38 110,475.39 110.357.34 110,463.04 1.323.1487031635,158.93 34,619.55 34,39.84 34,194.81 38,132.51 38511.66 426.2.53TolB Sleam
Production 2,00.6909 2,00.568.15 2,019.518.79 2,024,767.74 2,03,529.68 2,045,541.46 24,012,2785
331 28.440.78 263456.18 263,53.96 263,548.13 28.09.36 284.32.31 3.199,057.16
332 390,044.85 3905.79 390,5951 39558.76 39D,32.12 390,63.39 4,56.174.0433285,8363 285,83.90 28.887.84 28.8802 285,738.03 28,7315 3,42,265.913389,878.34 88597.65 89.801.42 89,B665 89.87.04 89,875.04 1,069.411.18
335 24,471.58 2453.7 24,63.70 24.82.86 25,08.16 25,09.68 293,77.74
336 11,922.07 11,92.07 11,9207 11.92.07 11,924.33 11,99.77 140,373.84Total Hydro
Production 1.06,59.25 1,06,040.29 1,06.381.50 1,06598.49 1.08.355.4 1,087,597.34 12.60.052.85
341 13.523.99 13523.99 13,523.99 13,52.99 13.64.88 13,64.68 160.870.643428.90.52 88.52 8,89.52 8,89.52 8,8952 8,89.52 105.50.9634104,511.47 104,511.47 104,511.47 104.511.47 104,511.47 104,511.47 1.206.88.333486,73.65 8637.65 86,737.65 86737.65 86.75.49 86,751.33 1.149,80.77
345 33.99.59 33.59 33,989.59 33,99.59 33.59 33,99.59 363,00.10
346 5,138.60 5.138.60 5.138.60 5,138.60 5,420.68 5,42.68 58,540.27
Totl Other
Prouction 252,801.82 252,801.82 252,801.82 252,801.82 253,22.63 25,217.47 3,044.814.07
To1 Production 3,323.08.16 3.32,410.26 3,33,702. 11 3,34.168.05 3,376.105.35 3.386,356.27 39,86,94.773541,039.70 41400.11 41870,92 42.00.38 42,247.44 41,217.39 486,90.86
353 442,43.68 444714.78 448118.71 451.249.07 458,819.06 461,863.76 5,323,86.61Total tranmIssion
Slatlons 483479.58 486.114.89 489,98.63 493.252.45 501,0650 502,881.14 5,810.76.173542,178.81 429.99 42,94.07 42,9388 43.914.23 43,973.37 511,328.62
354 20,599.49 23336.42 235,32.57 236,58.84 240.149.51 246.541.13 2.595,20.27
355 192,60.08 195429.61 195.497.81 196,075.73 205,9609 215.611.45 2,347.98.90356198,581.10 209110.39 20,06.74 20.490.72 219,496.73 22121.65 2,45.07799
359 28.97 283.97 283.97 28.97 283.97 283.97 3,40.64Total Transmission
Lines 634.252.45 681,700.38 68,113.16 68.240.14 709.80.53 732.531.57 7.912,012.42
Total TransIsson 1,117,732.03 1,167.815.27 1.173,10279 1,176,492.59 1.210.873.03 1,23,412.71 13,72.781.59
381 35499.61 35387,22 36291. 16 36,70.56 36,700.39 3698.76 427,559.75362 197697.13 197799.47 197822,49 197,181.53 207,03.02 207,379.26 2,380,1776\Tot DIstribuion
Stations 233.196.74 233,166.69 23.113.65 233,886.09 2473.41 244,367.02 2,807,737.43
364 607,662.68 610188.29 612.485.63 . 615.7986 62,2259 621.194.88 7,26.724.68
365 274,95.47 2n251.51 278,712.36 281.116.83 285,610.15 28.83.39 3,307.920.76
386 76,40.20 76,65.10 76.874.60 77,2.91 77,797.99 78,05.15 914,150.10
357 377.17839 378701.13 3B.61 361,479.42 38.73.78 38,59.2 4.529.02.593648.263.36 481.26 491,003.83 495,031.72 50,285.47 50,919.87 5,775,159.87
389 161.320.75 1626.97 16254.56 163,0l 164071.32 164.689.69 1.93.6699370183,601.06 184.306.51 185,756.42 186,567.86 168.26.61 169.293.48 2,20.34.42
371 13,714.62 12505.79 13,2278 18.349.56 14,64.54 13.757.64 22052.0437319.52.48 195.97 19.57.43 19,627.47 19,63.02 19,642.48 23,787.55Total DIstribuIon
Lines 2.197.62aOl 2,207.870.53 2.22.564.42 2.23.350.31 2.25.270.47 2.26,191.80 26,412.831.00
Total DIstribution 2,430,824.75 2,441,05.22 2.45,678.7 2.472,26.0 2,50,00.68 2,50,558.82 29,22568.43
390 132,67.84 13365.66 133,80.42 135.466.34 136,890.99 137,047.13 1,59,387.24
391 571,3380 58816.31 66,73.55 66.893.45 616,88.49 621,2l.92 6,78,374.693998.62 98.62 98.82 98.62 98.62 98.62 1.189.15
393 6,92.62 7551.29 7,50.75 7,605.75 7,50.75 7,60.75 83.915.073930.474.09 30.31 30,77.82 30.82.2 30,859.69 31,210.38 363.920.053954.694.82 54920.5 55,073.99 55,8349 55,62.77 56,478.55 65.873.72
396 16.70 16.70 16.70 497.57 497.57 497.57 1,576.21
397 22,66.78 231690.85 228,855.63 221,583.54 221,706.17 22,270.56 2.745.758.49
398 20,73.88 20875.66 20,849.27 20814.98 20,779.01 20.86.72 25,20.12
Tolli General 1.046,617.15 1.046,62.10 1.048,812.75 1.042.411.99 1,090.951.26 1.101.359.16 12.486,202.74
Totl Deprclallon Exhibit No. 29Expense7,918,258.09 7.978,10285 8.13,29.72 8,037,30.03 8,177,939.52 6,231,686.98 95295,499se No. I PC-E-08-1 0Depreclatfon on L. Smith, IPCDIsallowed Cols (24,681.61)(24.691.61 )(24.691.61)(24.691.61)(24.691.61)(24,691.1)12.299.32 Page 10 of 24
Total Account 403 7,693.566.48 7.953,411.24 7.99.60.11 6.012,617.42 8, 153.247.91 8,208,99.37 94,99,200.21
10 tJr',lt¡
Line
No
Acct
No
IDAO POER COPAN
llLECIC Plr/RFXA'lRY ASSET - AMRT. ,ADST. ,GAINS & i:SBSFor TWelve lIonths iinded Decemr 31, 2007
program
406 Amrtization of electric plant acquisition
adjustmnt - Prairie Powr.....................
Gain on sale of electric plant...................2 411,6
3 TotaL..,.,.............................,., ..
(1/(2)(3)Y-T-DActua1s 2007
De 2007 Adjustmnt Base
$(22.723)$ (22,723)
$122,723)$ (22,723)
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 11 of 24
II ~I".;,!
Line
No
2
IDAHO POwiR COMPAN
REGuiTORY DEBIT AN CREDITSFor Twelve Months Ended Deemr 31, 2001
Progr:am
Regulatory Debits (Acct 407.3):
Amrtization of prof Fees-ipuc Order 29505
TOtaL.......................................... .
111 (21 (3)
Y-T-D
Actua1s 2001
Dec 2007 Adjustment Base
$21,246 $$21,246
$21,246 $$21,246
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 12 of 24
/, ,/.:il
IDAO POER COII
TAX OTIlR TH INC TAXES
FOR THE YEA ENIlD DIlER 31, 2007
11)(21 (3)
Y-'IDIrineActuals 2007
No DIlCRIP'ON Dec 2007 Adjustmnt Base
Federal taxes:
1 Unemployment $126,114 $1126,11412Social Security 10,995,817 110,995,8171
3 TOtal federal taxes 11,121,931 (11,121,9311
State, county and local taxas:Real and persona property:
4 Idao 9,929,792 9,929,792
5 Oregon 2,010,673 2,010,673
6 Montana 93,298 93,2987Wyoming956,616 956,6168Nevada870,048 870,048
9 Shoshona- Baock 65,908 65,90810Total real and personal property 13,926,335 13,926,335
11 1t1owatt-hour tax - idaho i, 490, 283 1,490,283
Licenses:
12 wyominO 2,911 2,91113Nevadii10010014Shoshone- Bannock 150 15015Total licenses 3,161 3,l6l
Regulatory comssion:
16 Idaho 1,599,171 1,599,17117Oregon109,195 109,19518TOtal regulatory comission 1,708,366 1,708,366
Friinchise:
19 OregOn total franchise 505,272 505,272
20 Unemloymnt -total state 241,942 1247,942)
21 Total state, county and local taxes 17,881,359 (247.9421 17,633:417
22 'lto1 other taxes 29,003,290 111,369.8731 17,633,41123Less:State i: Fed P/R Loading Reversd (11,369.873)11,369.873
24 Net other taxes $ 11,633,417 $$ 17.633,417
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 13 of 24
15 1.-
Line
No
4
6
7
8
IDAO POWER COAN
STA'lN' OF INCOMB
FOR IDAO ENGY ItESURBS COPAN
For Twlve Months Ended Decemr 31, 2007
Description
Incom:
1 Bridger Coal comy - joint venture...........................
2 Bridger coal Comny - overriding royalties....................
3 Interest and dividend income...................................
Taxes Other than Income Taxes................ . . . . . , . , . . . . . , . . . .
Total incom.................................................
Expenses:
opration expense......... . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . .
Income taxes....................................................
Provision for deferred income taxes................,...........
10 Interest expense..................................,............
Intercompany interest expnse....................,.....,.......
11 Total exenses."....,............,................,.........
12 Net incom from operations.......... , . . . . . . . . . ... .. . . . , . ........ . .
13 Add: interest expense from notes payable to paret (Net of 'fOX)..,
14 Net incom (earnins to Idaho Por cony),....... . . . . . , . . . . . . . .
III'i-'-D
Actua1s
Dec: 2007
(2)(31
Adjustmnt 2001!!se
5,552,557 S 5,552,557
116.512 116,512
5: 669,069 5.669,069
111,214 111,214
689,015 689,015
839,869 839,669
1, 646,158 1.646,158
4,022,911 4,022,911
545,915 545,915
4,568,826 $$ 4, 568,626
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 14 of 24
/¥ ,/ .zt/
Line
No
IOO PO COPANELECTIC PLI\ IN SERICE (EXcluding ARO Entriesl
FOr The Thii:teen MOnths Ended Deeibei: 31, 2007
Month
Deembr, 2006.......................................
Januar, 2001........................................
3 February..........................,................. .
Marcb.....,..................,...,................., .
5 April...................."..................,...... .
May..................... .......................... ...
7 June. ............. o. o. ........ o. 0............... 0....
8 July.... ............,............ ,...................
9 Aullst............,."..............,.,............. .
10
11
12
Septemr. . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . .. . . .
OCtober......................,...................... .
Novemr............................................ .
13 oeceier............................................ .
14 Average....................................,..... .
(II
Amunt
$ 3, 579,941, 604
3,606,675,216
3,611,533.312
3,607,097,897
3,621,009,807
3,628,093,259
3,647,262,730
3,614.326,243
3,692,295,795
3.708,539,029
3,763,493,192
3,788,785,684
3,791,803,211
53.670,835,198
(2)
Adjustmnt
(31
2007
Base
$ 3,579,941,604
3,606,675,216
3,611,533,312
3,607,097,897
3,621,009,807
3,628,093,259
3,647,262,730
3,614,326,243
3,692,295,795
3,708,539,029
3,763,493,792
3,788,785,684
3,191,803,211
$ 3,670,835,198
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 15 of 24
/5 d/.:il
Line
No
IDAHO PO2R COPAN
ACCATE PROVISION FOR DEPRECIATION IEJc1uding ARO Entries)
Por The Thirteen Months Ended Deemr 31, 2007
Month
1 Decemr, 2006..........0......,...."...............
2 January, 2001.,........ ...."........................
3 February......,.................,................... .
March........................ ... ........ .....,",....
5 April........................................... o. 0"
6 May....,..................................... ....,...
7 June........o. 0.........,....................... .....
8 July...............,................,................
Augusto..............,.........,.............,. ......
10 Septemer. , . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11 OCtober............................................. .
12
13
Novemer............................,............,.. .
Decemer............................................ .
14 Average......"..............,."................ .
(1)(21
Amunt Adjustment
$ 1,521,506,472
1,543,951,403
1,546,864,707
1,544 ,162, 930
1,550,204,229
1,552,060,068
1,557,845,627
1,563,092,282
1,569,733,375
1,579,677 ,521
1,584,167,575
1,589,.935,870
1,583,145,519
51,560,488.275 $
(31
2001
Base
$ 1,521,506,472
1,543,951,403
1.546,864,707
1,544,162,930
1,550,204,229
1,552,060,068
1,557,845,621
1,563,092,282
1,569,733,375
1,579,677,521
1,584,161,575
1,589,935,810
1,583,145,519
$ 1,560,488,275
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 16 of 24
/6 p/..il
IDAO PO COPAN
ACCUMTED PROVISION FO AMRTIZATION (Excluding ARO EntrieslOF IlECIC UTILITY PLAI'r The Thirteen Months Ended Decemr 31, 2007
No Month
1 Deembr, 2006.......................................
2 January, 2007.,......................................
3 February..............................,............. .
March..... . . . . . . . . . . . . . . . . . .. . . . . , . . . . ...... . . . . . . . . .
5
6
APril..........,.................,.................. .
MAy.................... ..............................
7 June,.,..............................................
8 July.,....................,..........................
Augut... ................. ...................... o. ...
10
11
Septemer. . . . . . . . . . . . . . . . . . . . , . . . . . . . ; . . . . . . . . . . . . . . .
October....................................... .......
12 Novemr.................................."...,.... .
13 Deem................"...,...........,.......... .
14
11)
Amunt
$ 38,728,951
39,393,167
40,065,413
40,753,599
41,451,640
41,833,758
42,531,813
43,243,171
43,954,441
44,674,585
45,395,455
45,950,247
38,713,478
AverAge. ................. ............... ............. $42,053,563
. 12)
Adjustmnt
$
13)
2007
Base
$ 38,728.951
39,393,167
40,065,413
40,753,599
41,451,640
41,833,758
42,537,813
43,243,171
43,954,441
44,674,585
45,395,455
45,950,247
38,713,478
$ 42,053,563
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 17 of 24
17 ,/.:l
IDAO POER COII
MATEIAS AI SUPPLIESFor The Thirteen Months Ended Decemr 31. 2007
i:ine
No Month
Decemr, 2006...............................
2 January, 2007,......................"."....
3 February.........................,.......... .
March....................................... .
5 April.......,',.......................,..... .
6 May.....,.............. .... ......,....,... ...
7 June................ 0... ................ .....
8 July.............................. ...........
August...................................,.. .
10 Septemr. . . . .. . . . . . .. . . .. . . . . . . . . . . . . . . .. . ..
october............."............. ..........11
12 Noveier , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . .
13 Der.................................... .
14 Average
(1)(2)(3)
Account Al;cot
154 163 Total
$ 36,762,206 2,316,011 $39,078,217
37,188,946 2,438,101 39,627,041
37,468,605 2,832,312 40,300,917
37,408,425 2,982,454 40,390,879
38,904,856 3,018,433 41,983,285
39,216,510 2,822,244 42,038,814
35,966,911 2,402,715 42,369,626
41,300,329 2,551,072 43,851,401
42,143,281 2,337,858 44,481,139
41,271,709 2,326,469 43,598,178
41,837,507 2,375,769 44,217,276
41,809,862 2,125,820 43,935,682
41,370,751 1,898,952 43,269,703
539,142,304 5 2,499,401 $42,241,705
Adjustmnt
14)(5)
2001
Base
539,078,217
39,627,041
40,300,917
40,390,879
41,983,289
42,038,814
42,369,626
43,851.401
44.481,135
43,598,178
44,217,276
43,935,682
43.269,103
$42,241.105
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith. IPC
Page 18 of 24
// ,/ Plf
Line
No
1
IDAO PO COHPIIDEFERE COERVATION PRAt Decemr 31, 2007
Prgram
IDAHO -
Deferred Conservation -
iPUC Order 27660 I 27722 I 28041....,...........
11)
Actua1s
De 2007
$ 8,106,539
(2)
Adjustmnt
$ 8.106,539
(31
2007
Bose
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 19 of 24
'9 ,/~f
Line
NO
1
2
3
4
5
6
8
10
IDAHO POER COPA:
cmER DEFERRED PROGAt Deemr 31, 2007
Proørii
Idaho Public utilities COIission:
American Falls Bond Refinancing - IPUC Order 25880.........,........
2003 Incremental security Costs - IPUC order 28915........ . . . . . . . . . .
Intervenor Funding - IPUC Order 30035............. .. . . . . . . , . . . . . ... .
Intervenor Funding - IPU Order 30215......,...... . . . . , . . . . . . . . . . . . .
Intervenor Funding - IPUC Order 30267...............................
intervenor Funding - ipu Order 30488...............................
Intervenor Funding - IPU Order 30508...............................
Oregon Public utilities Conussion:
Grid West i:ns - oPUc Order 06-483.................................
Federal Bnergy Regulatory coimssion:
Grid West Loans.....,....... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TotaL..."...... ................... ............,.... ........
(11 (2)(3)
Actuals 2007
Dec 2001 Adjustment Base
1,073,799 $ 1,073,799
68,194 68,794
36,712 36,712
7,123 7,123
8,769 8,769
60,401 60,407
302,117 302,117
$ 1,557,721$ 1,557.721
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 20 of 24
rfo (; /' .;f
Idaho Power Company
Plant Held for Future UseAt Decemer 31,2007
(1)(2)(3)
Y-T-DLineActuals 2007No.Dec 2007 Adjustment Base
Power Production;
1 American Falls Power Plant $104,155 $(104,155)$2 Oxbow Power Plant Baker 72,543 (72,543)
3 Wiley, A J Power Site 8,548 (8,548)
4 Total Power Production 185,246 (185,246)
Distribution;
5 Amity Substation 153,751 153,751
6 Beacon Light Substation 465,662 1465,662)7 Boise Mechanical and Electrical Shop 47,000 (47,000)
8 BOC Operations Center lBOC)841,162 (72,785)768,377
9 Cherry Substation 99,708 199,708)
10 Columia Station 103,955 103,95511Filer Substation 27,813 27,813
12 Hillsdale Substation 173,282 1173,282)13 Kimberly Substation 15,097 15,09714Jump Substation 85,864 (85,864)15 Lakeshore Substation
16 Lansing Substation 57,483 57,48317Melba Substation 29,321 29,32118Mora Substation
19 State Substation 121,047 (121,047)20 Ustick SUstation 19,670 119,670)21 Wagner Substation 91,452 91,45222Ward Substation 239,840 239,840
23 Total Distribution 2,572,107 11,085,018)1,487,089
Transmission;
24 Castlerock Transmission Station 4,024 4,02425Donnelly McCall Transmission Land R/W 69,262 (69,262)26 Dry Creek Station 29,379 29,37927Boise Bench Transmission Station 179,905 179,90528Long Valley Transmission Station 22,377 22,377
29 Mayfield Transmission Station 220,052 (220,052)
30 Midpoint Transmission Station 73,257 (13,257)31 Shell rock Transmission Station 9,918 (9,918)32 Total Transmission 608,174 (372,489)235,685
33 Total Plant Held for Future Use $ 3, 365, 527 $ (1,642,753). $1,722,774
Exhibit No. 29
Case No. IPC-E-08-10
L. Smith, IPC
Page 21 of24
.11 1 ~ý
IDAHO POWER COMPANY
Deferred Income Tax Balances
At 1211/2007 and 12131/2006
December 31 December 31 Average Bar.
Descripllon 2007 200 (Rounded)Deferr Incom taxes applicbl to rate base components;
Acunt 100:
Adances for Cosltclon 10,171,99.85 9,211,519.45 9,691,769.00
Emission Allowance 6,920,94.94 12,175,36.92 9,548,151.00
YEBA Payments an accruals 4,056,04.65 3,367.219.91 3,711,812.00
Rate Cas DIsallownc 3.112,707.91 3,228,546.00 3,170,62.00
Other Employee's L T Deferr Cop 2,590.725.18 2,53,013.78 2,564.369.00
FAS 123R-Sloc Based Compenation 1,33,711.47 585,56.87 959,63.00
Pos employ Benefns. SFAS 112 -182 1,164,641.05 1,306,62.57 1,245,635.00Provision for Aale Refund 937,172.05 479,88.01 . 708,53.00
Non-YEBA Penion an Benefit 762,810.30 853.340.63 808.075.00Linden Feeder Depits 164,403.47 164,403.49 164.403.00Delivery Acals 129,130.02 6,69 67,411.00Bous Deferral (56,1 Bl.B6)0.00 (28,091.00)Ameioan Falls Failng Waler Cora 0.00 407,373.42 20,687.00
Resrlct stoc plan accal 0.00 16062.94 80,312.00Cil of Eagle 0.00 20,891.19 10.446.00Total AÇÇunt 190 31,308,462.93 34.50,070.41 32,906.765.00
Acnt 281 - Acerated amoitiaiion proprt:
Total Acnt2Bl . Acerated amrtizaion propert 0.00 0.00 0.00
Acnt 282 . Other property
Depreoaton (215,117,207.59)(219.454,280.04)(217.285,744.00)FERC jurlsdiclonal . SGM (7,818,502.00)(7,818,50.00)(7.B1B,502.oo)Valmy c;plalized itms (657,266.00)(73376.00)(695,516.00)Bridger capialized Ilem (120,057.00)(22,457,OOl (171,257.00)Total AOOOnt 282 . OIer proprt (22,713,03'59 \2,22,00.04 (l!5,971019.öO
Acnt 283 - OIer
Conservlon Program. Idaho (3,169,251.42)(4.436,948.62)(3,80 100.00)IPUC Grid Wesl Loans (291,547.83)(364,434.60)(327,991.00)Advance ooal royiles (247,769.26)(287,571.48)(267,670.00)FERC Grid West Exe (118,112.64)(118,112.65)(116,113.00)PS & i Costs - Coa and CHP Plans. Write Of (100,967.54)0.00 (50,484.00)Incremntal Security Cots (26,895.00)(130738.76)(78.BI7.00)OPUC Grid West Los (23.616.13)(21,B96)(22.756.00)Intervener Funding Order (2056563)0.00 (10.283.00)Galnlos on reaired deb 0.00 (197.05.4B)(98,626.00)
Proessional Fees. IPUC Order 29505 0.00 (8,06.13)(4,153.00)FERC jurisdii:ioal - 144 0.00 163100.00 81,55.00
Totl. Acunt 283 - Other (399,725.35 (s.01,9i.OO¡(4.7Öo:43.OO
Totall\ounts (190, 281. 282. 283)(196.03,295.01 )(199,125.89.29)(197,764.597.00)
6/16/2008 1: 53 AM
0: \3_0RTM\RATSS\2008 Idaho Rate Case\EXhibits\Exbibits 2008 2007 Base.x1s
Exhibit No. 29
Case No. IPC-E-OS-10
L. Smith, IPC
Page 22 of 24
;/;; '/.2f
IDAHO PO COMPAI
CUSTOME ADANES FOR CONSTRUCTION
For The Thirteen Months I!ded Decembr 31, 2007
i:ine
No Month
Decembr, 2006.......................................
2 January, 2007........................................
February....,....................................... .
March....................................... ~,........
ApriL.............................................. .
6 May..................................................
7 June................... ........,.....................
July.................................................
August................,...........................,. .
10 Septembr. . .. . . . , . . . , . . , . .. .. . . . .. . , . , . . . . . . . .. . . . . . .
11 October........,.....................................
12 Nover. . . . .. . . . . . , . . . . '. . . . .. . . . . . . . . . . . . .. .. . , . . , . .
13 Deembr. . . .. . . . . . , . . . . . . . . , .. . . . . . . . . .. . .. .. . , . . . . . .
14 Average.........................."...............
(1)
llunt
$26,085,511
26,273,898
26,360,814
21,253,695
28,026,005
29,900,160
29,994,266
29,778,284
29,829.338
29,939,311
29,734.135
29,184,555
33,261,676
$28,893.973
Exhibit No. 29
Case No. IPC-E-OS-10
L. Smith, IPC
Page 23 of 24
.;; (//~t/
IDAO PO COII
IERCo - SUIDIAY RATE BASE COHPONÐSFor The Thirteen Months Ended Decemr 31, 2007
Line
H2
1
III (2)13)(4)15)(6)Advance Note:;
Coal Receivable frm 2001MonthInvestmntRoyaltiesSubsidiaryTotalAdiustmentBase
Deceiber.2006..... ..........................$51,914.196 $ 1, 773, 561 9,154,480 $62,842,237 $ 62.842,231
January,2007........................ ........52,231,854 1,756,012 9,702,099 63,689,965 63,689,965
Febrary.. . .. . . . . .. .. . . . . . .. . : . .. .. .. . . . . . ...52,636,773 1,738,033 9,050,018 63,424,824 63,424,824
March.................,.................,. .'..52,996,795 1.722,218 11,106,191 65,825,204 65,825,204
April..............,.. ............... ........52,556,768 1,706,503 12,307,227 66,570,498 66,570,498Hay..........................................53,008,590 1,706,503 14,572,021 69,287,114 69,287,114June..."....................................53,402,994 1,691,388 15,340,440 70,440,822 70,440,822July.........................................53,291,888 1,690,119 15,114,983 70,102,990 70,102,990
AUgust............................. ....., ....53,315,571 1,682,721 17,094,521 72,152,819 72,152,819
Septembr............................... .....54,264,298 1,673,185 17,367,457 13,304,940 7),304,940October..................................... .55,312,211 1,666,915 20,506,765 77,485,891 77,485,891
Noember........ ............ ...... ........ '"55,830,059 1,659,508 19,482,954 76,972,521 76,972.521
Deceiber........... ......,........ ..,........55,937,107 1,657,049 21,527,626 19,121,782 n,121,782
Average.................................. .$53,597,316 51,102,286 514.794,368 $70,093,970 $ 70.093.910
2
3
4
7
8
10
11
12
13
14
Exhibit No. 29
Case No. IPC-E-OS-10
L. Smith, IPC
Page 24 of 24
,, f ,/.pt/
BEFORE THE
'. t Q
ì i, "l.;
f',-"-
;Jni~N lf~;3 ;IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-08-10
IDAHO POWER COMPANY
SMITH, 01
TESTIMONY
EXHIBIT NO. 30
IDAHO POER COPAN
DEDUCIONS FR OPERTION AN MAIN'ENANE EXPEIES
GBNERA ADllRT:SIIl EXPENSE (ACCOUN 930.1)
For Twlve Months Ended Dei:emer 31, 2007
LineNO program (1~(2)13lY-T-D
Actuals 2007
DeC 2007 Adjustment Bae
$519.845 $$ 519. 8451 General Advertising Exense..........................
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith. IPC
I ",~~1 of9
IDAHO POWER COMPANY
DEDUCTIONS FROM OPERATION AND MAINTENANCE EXPENSES
MEMBERSHIPS AND CONTRIBUTIONS
For the Twelv Months Ended Decber 31, 2007
(1)
line
M2
Acc
No Organlzaiio
Cõntrlbulons
100%
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
537 Oregon Departnt of Agriculture.............................................. $
537 Soty for Amerin Archeolo................................................
539 Amerln Cancer Society.............:.. ............................................
539 Cleveland Instlute.......................................................................
63 Education Direct................ .......................................... .... .... .........
539 Oregon Departent of Agriulture..............................................
63 Toastmasiers...............................................................................
541 Hally.. ............................................................. ..........................
56 ToastastelS...............................................................................
580 Associatin of Idaho Cll1es..........................................................
580 Edisn Electri InstllUte................................................................
580 Meridian Chamber of Commerce................................................
582 Edisn Elect Insl1tute................................................................
58 Donations.....................................................................................
588 Kimberly High School Girls Oonallon.................. ........................
593 Donatin Arr Day................ ....................................... ..... .........
593 Donation Pacifc Northwsllntl...................................................
597 Edisn EIe Institu............................. ...................................
908 Adear Prootions...................................................................,..
908 Associatin of Idaho CRles........... ...............................................
908 Edisn Elctri Instiute....................................................,...........
908 Jordan Vaney Uo Club.............................................................
90 Rotary Club of Caldeß...............................................................
908 Twin Fall lions.......................................... .................................
910 Bois Melro Chamber of Commerce..........................................
910 The Flicks Four,...........................................................................
921 Assolatad Tax Payers................................. ...............................
921 Donatin of Golf Ball..................................................................
921 Edisn Eletrlc Institute............................ ....................................
921 Nevada Tax Payers Asociation.................................................
921 UnIted Way of Treasure Valley....................................................
921 WCA.............................................................................................
921 World at Work..............................................................................
93 Amerin Falls Chamber of Commerce......................................
93 Associated Tax Payers................................................................
930 Assiatin of Idaho Ci.........................................................
93 Bingham Ecnomlç Development...............................................
930 Blackfoot Chamber of Commerce...............................................
930 Blue Lakes Rotary..................................................,....................
930 Bolse centennial Rotry..............................................................
930 Bolse Melro Chmber of Comerce..........................................
930 Brolee Crappie Toumament...................................................
930 Suh! Chamber of Commerce.......................................................
930 Buhl Rotary Club..........................................................................
930 Business Plus Inc...... ......... ................................................... ......
930 Cambrl Commercial Club...................................................,..
930 Castleford Men's Club Dues ......................................................,
930 Chamber of Commerc............................................,..................
930 Dairy Days....................................................................................
930 Donatin Economic and COmm..................................................
93 Donation Witer camlval.............................................................
93 Eagle Garden Cit Rotary............................................................
930 Economic Development COntribution..........................................
930 Edison Elecbic Insttute.. .............................................. ................
930 Gardn Cit Chamber of Commerce..........................................
930 Gem County Chmber of Commerce.........................................
930 Halle Chamber of Commerc....................................................
930 Haltey Rotary Club.................................. .... .................................
93 Horsoe Bend Chamber 01 Commerce..................................
93 Idaho Association 01 Countis......................................... ............
(2) (3)
Actual
Membehips
33.33% 100%
141
Totl
$158
6250
802
730
150
2550
44
16
316
15
165
295
300
3,50
700
444
68
107
108
10
67
100
105
25
90
59
4,011
100
250
600
55
42
21,252
416
2.500
34
120
196
7,63
20
107
62
6,00
30
250
4,450
50
50
1,00
38
1,00
121.33
150
533
119
38
33
25
(5)(6)
Adjustment
2007
Base
$ 158
62
500
802
730
150
25
500
44
1~
316
15
165
295
300
3,500
700
444
685
107
108
10
67
100
ios
25
90
59
4,011
100
250
500
555
42
21,252
416
2,500
343
120
196
7,634
200
107
62
6,000
30
250
4,450
500
500
1,000
384
1,000
121,339
150
533
119
384
33
250
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
Page 2 of9
.: p/ q
IDAHO POWER COMPAN
DEDUCTIONS FROM OPERATION AND MANTANCE EXENSES
MEMBeRSHIPS AND CONTIBUTIONS
For the Tweve Months Ended Dember 31, 2007
(1)(2)(3)(4)(5)(6)
Acual
Una Acet conributions Memberships 2007tßNoOrganiztion100%33.33%100%Totl Adjustmt Base
61 930 Idaho Cit Chamber of Commerce..............................................50 5õ 50
62 930 Idaho City Lions Club...................... ........... ..................................33 33 33
63 930 Idaho Falls Chamber of Commerce............................................69 69 69
64 930 Idaho Mining Associatin.............................................................2.640.2.64 2,640
65 930 Jerome Chamber of Commerce..................................................150 279 279
66 930 Kiwanis Club of Eagle.................. .......................................... ......79 79 n
67 930 Kiwis Club of Les Bois.............................................................201 201 201
68 930 Kiwnis Club of Meridian............................ .... .............................219 219 219
69 930 Merlian Chamber of Commerce................................................27 27 2770930Mlni-essia Chamber of Commerce...........................................116 116 116
71 93 Northwest Chamber of Commerce.............................................20 200 200
72 93 Ontario Chamber of Commerce..................................................167 167 167
73 930 Oregon State Sheris Assiation..............................................50 50 50
74 930 Pocatello Chamber of Comerce...............................................95 952 95275930Rotary Club of Boise....................................................................242 242 242
76 930 Rotry Club of Boise. Sunrie.....................................,..............270 270 270
77 930 Rotary Club of Gooding......,...................................,....................217 217 2177693Rotry Club of Jerome.................. ...............................................159 159 159
79 93 Rory Club of Nampa.................................................................64 64 64
80 930 Rotary Club 01 Twin Fals................................... ..........................23 23 23
61 93 Snake Rlver Buftdlng...................................................................167 167 167
62 93 South Dakota Electric Utiity ............................."".""........ ...........130 130 130
63 930 Sun ValJylKetchum Chamber of Commerce.............."....".......167 167 167
84 930 The Conference Board..........................".........".........................2.650 2,850 2,850
85 930 Twin Fall Ar Chamber of Commerce.....................................375 375 37566930Wyoming Tax Payers Assoclallon..............;..."".........................50 500 50067935Toastmasters.........................."...........""....................................29 29 29
88 TotaL..............................."..........."",,...................................$18.351 $ 145,39 $ 31.313 $195.563 $$195.56
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
3Pr~f9
IDAHO POW COMPAN
DEDUCTIONS FROM OPERATION AN MANTENCE EXENSES
ADJUSTMEN TO MAAGEMEN EXPENSES
For Twlve Months Ended Decemer 31, 2007
I\~
1
2
3
4
5
6
7
8
9
10
11
12
13
14
Darrel Anderson
Total Exenses...........,......,...........,.."..........,
IDACORP Exclusions Requiring Special Treatment (Listed Below) :Arid Club.....,...,., ... . .. . . .., , . ., . . . " . ... . . .. , . .., . . .EEl....,....,.......,.,..................,....."....... .
oregon Direct Charges.....,',..,.,.,.,...,.............,.
Total. . . . . , , . , , . . , . . , , . . . . , . . . . . , , . , . . . , . . . . . . . . , . , . , . ,
payroll Percentage Allocated to IDACORP..,........,.....,
Net IDACORP Exclusions.",...,..........,...,....,...,..,..,
Other Exclusions:
Arid Club (100% Per IPUC Order 29505)...,.,., . . . . , . , .. . . .
Oregon - Direct Allocation (100%).,.....,....,.......,.,.
EEl (1/3 Per IPUC Order 29505)..,......,...........,...,.
Total Exclusions....................,.........."...,....,.,
71
72
73
74
75
76
77
78
79
80
81
82
83
84
Naomi Crafton-Shankel
Total Exenses.,.",.,.,.....".....,....,............,..,..,
IDACORP Exclusions Requiring Special Treatment (Listed Below) :Arid Club... ... , .,' , . ,.. . ,. , .... . , . ,. . ,.. . ..... . ., , , ". , ,EEl.........,.....,.............,...,................... .
Oregon Direct Charges........ . , . . , . , . . , . , . . . , . . . . . . . . , . . .
Total. , . . . . , . . . . . . , . , . , . , . , . . . . . . . . , . . . , , . , . . , . . . , . . . . .
Payroll Percentage Allocated to IDACORP.......,..........
Net IDACORP Exclusions.,.,...............,',..,..".....,...
Other Exclusions:
Arid Club (100% Per IPUC Order 29505)..........,.........
Oregon - Direct Allocation (100%)...."..,..,.........,.,
EEl (1/3 Per IPUC Order 29505).", . . . . ... . . .. . . .., . , .. . . ,
Total Exclusions.,........,",............".."............
127
128
129
130
131
132
133
134
135
136
137
138
139
140
John Gale
Total Expenses..............,.....,......,..................
IDACORP Exclusions Requiring Special Treatment (Listed Below):Arid Club..............,....,........,',..,.,....., . .. , . .EEl.,....,..,...,..".,............,...,........,....... .
Oregon Direct Charges........,....,.."....,.......".,..
Total. , . , . . , . , . . . . , . . . . . , . . . . . . . . , . . , . . , . , . , . , , . . , . . , . .
Payroll Percentage Allocated to IDACÒRP.,....,....,......
Net lDACORP EXclusions..............,...,..,.,.,.,....,.,.,'
Other Exlusions:
Arid Club (100% Per IPUC Order 29505).,..,...,.,......,..
Oregon - Direct Allocation (100%).....,............."..,
EEl (1/3 per IPUC Order 29505).,...,.......,.,..".....,.
Total Exclusions..,.............,.".,..,...,.,.,......,.,..
(1)
Y-T-D
Actuals
Dec-07
$ 12,301. 78
(4,387.95)
7,913.83
0.00%
1,462.50
$ 1,462.50
$ 2,714,12
2,714.12
1.30%
35.28
$ 35,28
$20,059.77
(4,676.53)
(237,49)15,145.75
0.00%
237.49
1,558,69
$ 1,796.18
(2)
Adjustment
(3)
2007
Base
$ 1,462.50
$35.28
$ 1,796.18
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC~el)jPf~
183
184US
186
187
188
189
190
191
192
193
194
195
196
141
142
143
144
145
146
147
148
149
150
151
152
153
154
IDAHO POER COPAN
DEDUCTIONS FROM OPERATION AN MAINTENANCE EXPENSES
ADSTMEN TO MAAGEMEN EXPENSES
For Twelve Months Ended December 31, 2007
Il :N15 iiens Gribble16 Total Expenses,.,.,."......,',..,..........,.".,.,.."...,
17 IDACORP Exclusions Reqiring Special Treatment (Listed Below):18 Arid Club....... . . . . . . . , , . . . . . . . . . . . . . , . . . , . . . . . . . , . . . . . .
19 EEl. . . . . , . . , . . . , . ,. , . . , , . . . . , . . . . , , . . . , . . , . , . . . . . , . . . . . . ,20 Oregon Direct Charges...,...................... 0 0" o. 0...21 Total....,..,' 0.....'.....".,.....,...,.., 0....."',.,22 Payroll Percentage Allocated to IDACORP.o...,..,....,....
23 Net IDACORP Exclusions,.. 0 . . . . . , . . . , . , . . . 0 . . . . . . . . . . . . . . . . . .24 Other Exclusions:25 Arid Club (100% Per LPUC Order 29505),.,..".......... 0 ..26 Oregon - Direct Allocation (100%)................,.......27 EEl (1/3 Per ¡PUC Order 29505) .... . . .,. . , , . ,. , ... . o. , . . .,28 Total Exclusions., 0'.'.'...".....,....., 0....'............,.
Lisa GroTotal Exenses....,.......... 0 0 . . . . , . . , . . , . . . . , . . . , . . . , , , . , .
lDACORP Exclusions Requiring Special Treatment (Listed Below):
Arid Club.............,...."........."...,.".,...,....EEl".....,.....,.........................,......,...... ,oregon Direct Charges...........,............. 0 . . . . . . ., . .Total.......".,.,..............,............,...,.... .
Payroll Percentage Allocated to IDACORP........,.,.,.....Net lDACORP Exclusions.,.,.,.,...,.,....,.:".. . . . . 0 . , . . . . . ,Other Exclusions:
Arid Club (100% per IPUC Order 29505)......0....,........
Oregon - Direct Allocation (100%),...,............,......
EEl (1/3 Per lPUC Order 29505). .. , . ,.. . ,. , . 0 o. . . , .. . ,.. , ,Total Exclusions.. 0 0 . . . . . . . . . . . . . , . . , . . , . . . . . . . . . . . . , . . . . . . .
Patrick HarringtonTotal Exenses"...,.,.,.,........"..., 0 . . . . . . , . 0 . , , , . , . , , .
IDACORP Exclusions Requiring Special Treatment (Listed Below) :
Arid club. , , . . . . . . . . . . . , . , . ,. . , . . . . . . . . . . . . . . , . , . . . . . . . . .
EEl.......,........ 0.....'...,.,...,....,.....,... 0......
Oregon Direct Charges".." 0 . . , . . . . . . . . . . . . . , , , . . . . . . . , . .
Total, . , . . . . , . , . . . , 0 , . . . . . . , . , . . . , : , . . . . . . . . . . , . , . , . . . .
Payroll Percentage Allocated to IDACORP,......,.......,..
Net lDACOR? Exclusions,...,..........,",....,........,"" 0
Other Exclusions:
Arid Club (100% Per ¡PUC Order 29505) .. , . . ... . ... , , .. . . . .
oregon - Direct Allocation (100'f).....,..,.. 0 , . .. . .. . . . 0 ,
EEl (1/3 Per ¡PUC Order 29505) ,... . .. . . ... . . . . . ,. . .. . .. . .
Total EXclusions.,...,.,...,.................,...,...,...".
(1)(2)(3)
Y-T-D
Actuals 2007
Dec-O?Adjustment Base
$15.705.26
(1,270.71)
14,434,55
2.20%
317.56
423.53
$741.09 $741. 09
$3.318.72
3,318.72
0,00'f
$$
$ 4,701.39
4,701. 39
21.60'f
1,015.50
$ 1,015,50 $ 1.015.50
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
p;ie;'9q
197
198
199
200
201
202
203
204
205
206
207
208
209
210
IDAO POW COMPAN
DEDUCTIONS FROM OPERATION AN MAINTEN1iCE EXPENSES
ADJSTMEN TO MAAGEMENT EXPENSES
For Twlve Months Ended December 31, 2007
~
43
44
45
46
47
48
49
50
51
52
53
54
55
56
~
LaHoiit :Keen
Total Expenses""".,.....,....,...,...,......"..,........
IDACORP Exclusions Requiring Special Treatment (Listed Below) :Arid Club,...........,.,.,.,',.....,...,.,',... . . . . . . . . . .EEl...,.........,.,.....,...,",..............,......... .
Oregon Direct Charges.....,.........,',."..........,.,.,
Total. . . . , . , . , . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . , , , , . .
payroll Percentage Allocated to IDACORP...,..............
Net IDACORP Exclusions...,.. .-, .. . " . , ... . ,.. . .. .. . . .. , . , . . . .
Other Exclusions:
Arid Club (100% Per IPUC Order 29505) , . . . . . . . .. , . .. . ... ,.
Oregon - Direct Allocation (100%)..,.,.,..........,...,..
EEl (1/3 Per lPUC Order 29505)..,.,..,........."........
Total Exclusions.,.......,...".........,........,."..,....
29
30
31
32
33
34
35
36
37
38
39
40
41
42
Steve Keen
Total Expenses.............,.........,.....................,
IDACORP Exclusions Requiring Special Treatment (Listed Below):Arid Club... . . .. . .,.. . .. . .. , , . .. .. . . ... , .. . . , .. ,. ,...., ..EEl...,.".,......,.....,...,........,.,.,.............. .
Oregon Direct Charges.........,........,........,.,.,....
Total. , . , . , . . , . , . . . . , , , . . . , . , . . . . . . . , . , , . . . , . . . . . . . . . . .
Payroll Percentage Allocated to IDACORP.",.,........,.,.
Net IDACORP Exclusions..........,..,..........".....,.,',.,
Other Exclusions:
Arid Club (100% Per lPUC Order 29505)...,...,.....".....
Oregon - Direct Allocation (100%)"..,............,....,.
EE! (1/3 Per IPUC Order 29505).,.....,....,.....,.,.,....
Total Exclusions............,...".........,...,.,....,.,..,
Warren Kline
Total Exenses................,..,.,...............,...,...,
IPACORP Exclusions Requiring Special Treatment (Listed Below):
Arid Club. . . . . , . , . , . . . . . . . . .. .. , , . . . . . . . . . .. . . . . . , . . . . . . .EE!...............,..,...........,..,.... ...........,.....oregon Direct Charges....,.........,.,., . . . . . . . . , . , , . . . . .
Total, . , , . , , . , , . , . . . . . . , . . . , . . . , . . . . . . , . , . . , . . . . . , . . . . .
payroll Percentage Allocated to IDACORP"...,.,.....,....
Net IDACORP Exclusions.....".,.,......,..........,...,.,.,.
Other Exclusions:
Arid Club (100% Per IPUC Order 29505)......,....,.,...,.,
Oregon - Direct Allocation (100%)..."...,.,.,...,..,.,.,EEl (1/3 Per lPUC Order 29505)....... , , .. , , " , . ,.,. , . ,. . ,
Total Exclusions.........,....,.,............,...,......,...
(1) (2)
Y-T~D
Actuale
Dec-07 Adjustment
$ 23.956,54
(7,807.43)
16,149,11
17.40%
2,809.95
2,602.22
$5,412.17
$5.552.22
(2,208.47)
3,343,75
8.50%
284.22
736.08
$1,020,30
$4,505,14
4,505.14
0,00%
$$
(3)
2007
Base
$ 5,412,17
$ 1,020.30
s
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
p~ell6)1f
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
IDAO POWR COMPAN
DEDUCTIONS FROM OPERATION AN MAINTENANCE EXPENSES
ADSTM TO MAAGEMEN EXPENSES
For Twelve Months Ended December 31, 2007
I.
99
100
101
102
103
104
105
106
107
108
109
110
111
112
N.
Luci McDonald
Total Expenses,.,.,.,.,.."..,.,"',....,.,',...,.,...,..,"
IDACORP Exclusions Requiring Special Treatment (Listed Below) :
Arid Club. . . . . . . , , . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .EEl...,....,..,.............,.........,....,.....,..,... ,
Oregon Direct Charges. . . . . , . . . . . . . , . . . , . . . . . . . . . . , . , . , . . .Total.......,..,.,.,.,.,...".,.,..................... .
Payroll Percentage Allocated to lDACORP.........,."..,..
Net lDACORP Exclusions..,., . . . . . . . . . . . . , , . , , . . , . . . . . . . . . . . . .
Other Exclusions,
Arid Club (100~ Per IPUC Order 29505)..,...,.,...,."....
Oregon - Direct Allocation (100%)".,.,......,.......,..,
EEl (1/3 Per lPUC order 29505) . . .. . . .... , .... . .,. , , ,. . ...
Total Exclusions,...,..,.,..........,.,',...,.,.,.,......,..
Jams Miller
Total Exenses.,............,.,.........".,...,',.,.,..,...
IDACORP Exclusions Requiring Special Treatment (Listed Below) ,
Arid Club. . . . . , , . , . . . . . ,. , . ,. . . . , . . . . . , . . . . , . . . . . , . , . . . . .EEl.............................,.,.,.................,. .
Oregon Direct Charges...",..,.........,.......,",......
Total. . . . . . . . . . . . . . . . . , , . . . . . . . . . . . , . , . . . , . . . . . . . . . . . . .
payroll Percentage Allocated to IDACORP.....,...."...,..
Net IDACORP Exclusions.".,...,."..."."..................
Other Exclusions:
Arid Club (100% Per ¡PUC order 29505).,..............,.,.
oregon - Direct Allocation (100%),.,..,.,.......,....,..,
EEl (1/3 Per lPUC Order 29505).,....,..........,..,......
Total Exclusions..........."..,...........,....,.,....."..
Da Minor
Total Expenses...,..............,',.....,......,...,......,.
IDACRP Exclusions Requiring Special Treatment (Listed Below),
Arid Club. . . , . . , , . , , . . . . . . . .. . , . , , , . , . . , . . . . . . . . . . . . . . . . .EE!,.................,............,...,............,.... .Oregon Direct Charges"..,.......... . . , . . . , . , . , . , . . , . . . . .
Total. , , . , . . . . . . . . . . . . . . . . . . . . . , . . . . . , . . , . . . . . . . . , . . , . .
payroll Percentage Allocated to IDACORP,.... . .. , , . . . ., . . ,
Net IDACORP Exclusions.. . . . . . . . , ... ,. .. , . ,. .. . .... . . ., . , . . . .Other Exclusions:
Arid Club (100% Per IPUC Order 29505)..,.,....,.....,.,..
Oregon - Direct Allocation (100%)....,.....,....,.,.."..
EE! (1/3 Per lPUC Order 29505)......,.,.".,...,.,., ... , ,
Total Exclusions.........,...,............,...".,..........
(1)(2)(3)
Y-T-D
Actuals 2007
Dec-07 Adjustment Base
$5,700.23
5.700.23
0.90%
51.30
$ 51.30
$10,496.17
(2.584.76)
7,911,41
0.00%
861.50
$861.50
$6,852.65
(98.04)6,754.61
0.00'l
98.04
$98.04
$51.30
$861. 50
$98.04
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
Pjge.1,.f,?
I:
113
114
115
116
117
118
119
120
121
122
123
124
125
126
211
IDAHO POW COPAN
DEDUCTIONS FROM OPERATION AN MAINENANCE EXPENSES
ADJSTMEN TO MAAGEEN EXPENSES
For Twelve Months Ended December 31. 2007
~
Greg Panter
Total Expenses.,..,.,...,.,',...........,..........,.."..,.
IDACORP Exclusions Reqiring Special Treatment (Listed Below):
Arid club.. , , . . , , . . . , . , . . . , . . , . , . , , , . , . . . . . . . . . . , . , . , . . . .EEl.",.,.,..."...".............,....,.,.,..........,. ,
Oregon, Direct Charges. , . , . , . , . . . , . . . . . . . . . . . . . . . . . . . . . . . .
Total, . . . . , , . . . . . . . . . . . . . . . . . . , , . . . . , . , , , . , . , , . . , . . , . , .
Payroll Percentage Allocated to IDACORP.,.,...,..,.,.....
Net lDACORP Exclusions..,..,. . , , . . . . . . . . . . . . . . . . . . . . . . . , . . , .
Other Exclusions:
Arid Club (100% Per lPUC Order 29505) .. . . . .,. . . . . . , .,. .. .
Oregon - Direct Allocation (100%)......,...,.,.......;...
EEl (1/3 Per lPUC Order 29505).........,.,.,........".,'
Total Exclusions...........,....".,..,',........,.,.,.,.,..
57
58
59
60
61
62
63
64
65
66
67
68
69
70
'lholi Saldin
Total Expenses".,.,.................,.,.,.,..........,.....
lDACORP Exclusions Requiring Special Treatment (Listed Below) :
Arid Club. , . ,. , , . , . . . . . . . . . . . . . . . . , , . , , . . , . , . . . ,. , . . , . . . .EEl..,.,..,..........,..,.,.,',....,....,...........,.., .
Oregon Direct Charges, . . . . . . . . . . . . , . . . , . , . , . , . . , . . . . . . . . .
Total. . , . , . . . . . . , . . . . , . , . . . . . , . . . . . . , . , . . . . . . . , , . , . , , , .
payroll Percentage Allocated to lDACORP".,',...,..,..,.,
Net lDACORP Exclusions...,."..,.......,.,..................
Other Exclusions:
Arid Club (100% per IPUC Order 29505) , . .. , .,.. . '" . ,.. ,. .
Oregon - Direct Allocation (100%)................,.......
EEl (1/3 Per lPUC Order 29505) , , . ., . . ... . ,... . ... , . , . . . . ,
Total Exclusions,...,.....,...,.....,...........,......,.,..
85
86
87
88
89
90
91
92
93
94
95
96
97
98
i::r sr th
Total Expenses..,.,.....,...,..........,."...,.,.....,.....
IDACORP Exclusions Requiring Special Treatment (Listed Below) :Arid Club."...,....,...,.."., . . , . . . . . . . . , , . . . . . . . . . . , . ,EEl,...........,....,.,.,...,......,...,..".....,"",. .
Oregon Direct Charges...... . . . , , . . . . . , , . . , . . . . . . . , . . . . . . .
Total. . . . . . . . . . . . . . . . . . . , . , . . . . . , . . . , . . . . . . . , . . , , . , . . . .
payroll Percentage Allocated to IDACORP......,......".,.Net IDACORP Exclusions.,.,...,..".,........,..., . . . , , . , . , . ,
Other Exclusions:
Arid club (lOOt Per lPUC order 29505).....,.,.".,.,.,;,.
Oregon - Direct Allocation (lOOli),.,....,.,.,.,",...,...
EEl (1/3 Per IPUC Order 29505).,.....,.".,',...,.".....
Total Exclusions..........,...:....,.,',...:.............,.,
Total Reduction to Officer's Expenses,..............,..,.,'
(1)(2)(3)
Y-T-D
Actuals 2007
Dec-07 Adjustment Base
$774.56
774.56
100.00t
774.56
$774.56
$6,236,39
(4,118.40)
2,117.99
2.80%
59,30
1,372.66
$1,431.96
$ 26,082.84
(5,252.66)
$20,830.18
0,00%
1,750.71
$ 1,750.71
$16.451.09 $
$774,56
$ 1,431,96
$ 1,750.71
$16.451,09
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPC
tpa~ V19
IDAHO PO COMPAN
DEDUCTIONS FROM OPERTION AN MAINENANCE EXPENSES
OTHER EXCLUSIONS
For The TWelve Months Ended December 31, 2007
Account
1
2
3
535........,........,.......,... .
536.. ...... ......... ..., ,...,',..
537.,....., ..... .,.,.... .. .....,.
539".,..,.,.,...,............,. .4
5 542,.........,.................. .
544....,................,.,...,. .
545.............,....,',..,..... ,
546"....," ....,...,....,",...,
557..,.....,.,....,.,.,..,.,",. .
560..".,....,........,.,.,..,.. .
6
7
8
9
10
11
12
13
14
561.......,....,.....,..,...".. ,
562......,.........,... ,.,. ,.....
568............................. .
570.,.,...,., ............... ..,..
15 571..........,..,...,.....,...., ,
580...................,.,.,..,.. .
582......,..,.,.".".."...,... .
16
1 7
18
19
20
21
583.......................,.,... ,
584....................,...,',., .
586........., .......,',..........
587..".,.....,."..,.,.,..... '"
588. .'...."...,.,................22
23 592....,.,.,....,..,..,....,.... ,
593......,......,.,',.,......... .
594.........,.......,......,.... .
901,..,...,"',............,... .
902... ,'.,...,.....,........,',...
24
25
26
27
28 907...........,.....".......... ,
29 908......,..,..,.....,.,.....,., .
30
31
910......,....,.,.....,',....... .
921.............,....."..,...,. .
923.......,."................., .32
33
34
926,.....,"',................. .
935...,.,...........," ..........
35 Total......,..,..,',........ .
(11
Y-T-D
Actua1s
Dec 2007
$
206
521
384
49
81
105
1,240
185
97
220
300
1,594
1,153
207
605
6
129
681
461
124
70
13
104
786
468
5,368
198
2,218
1
$18,675
(2)
Adjustment
780
77
166
43
35
$
(3)
2007
Base
$
$ 18,675
780
206
521
384
77
49
81
ios
1,240
166
43
185
97
220
300
1,594
1,153
207
605
6
129
681
461
124
70
13
104
35
786
468
5,368
198
2,218
1
Exhibit No. 30
Case No. IPC-E-OS-10
L. Smith, IPCPR~9lf;
BEFORE THE
¡r"J:r,i,::.."."j ::
IDAHO PUBLIC UTILITIES COMMIS~I()l~i
CASE NO. IPC-E-08-10
IDAHO POWER COMPANY
SMITH, 01
TESTIMONY
EXHIBIT NO. 31
Line
No.
1
2
3
4
Source
Page
A
A
A
Idaho Power Company
Summary of Adjustments to 2007
Operating Expenses
(1)
Amount
Operating Payroll - Annualizing Adjustment $ 2,593,733
Incentive ($ 3,838,832)
2009 Salary Structure Adjustment 3,019,804
Total Adjustments -$1,774,705
Exhibit No. 31
Case No. IPC-E-OS-10
L. Smith, IPC
Page 1 of6
Idaho Power Company
Detail of Adjustments to 2007
Operaing Expenses
Source Page A
(1)
Line Source
No.Page Amount
1) Operating Payroll (Various aects)
1 5 ST Payroll 2007 $ 130,757,895
2 5 Annualized Payroll Growth Factor 6.50%8,501,976
3 Forecasted 2008 ST Payroll 139,259,871
4 5 Forecasted December 2008 ST Payroll 10,995,625
5 Annualized December 2008 (Dec times 13)142,943,119
6 Gross Adjustment to 2008 3,683,248
7 3 Add payroll tax (g 8.46%311,666
8 Total adjustment including payroll tax 3,994,914
9 1 Operating percent 64.93%
10 Adjustment to Operating Expense $2,593,733
2) Incentive Expense (920 account)
11 Annualized December 2008 ST Payroll $142,943,119
12 1 Plus: 2007 Overtime Payroll 8.679,963
13 2 Less:2007 Offcer Payroll 3,462,963
14 5 Times Annualized Payroll Growth Factor 6.50%3,688,128
15 Total Payroll Excl Ofcers 147.934.954
16 Normalized Incentive Rate 4.00%
17 Normalized Incentive 5,917,398
18 3 Payroll Tax on Normalized Incentive (g 8.46%500,713
19 Normalized Incentive Including Payroll Tax 6,418,111
20 4 Less: 2007 Accrual plus Tax 9,423,443
21 6 Times Annualized A&G Growt Factor 9.41%10.309,981
22 Gross Adjustment (3,891.870)
23 4 Times incentive operating percent 98.64%
24 Adjustment to Operating Expense for Incentive $(3,838.832)
3) 2009 Operating Payroll SSA (Various aects)
25 1 Annualized December 2008 $142,943,119
26 Estimated 2009 SSA 3,00%4.288,294
27 3 Plus Payroll Tax (g 8.46%362,863
28 1 Gross Increase Including Payroll Tax 4,651,156
29 Operating percent 64.93%
30 Adjustment to Operating Expense $3,019,804
Exhibit No. 31
Case No. IPC-E-OS-10
L. Smith, IPC
Page 2 of6
Idaho Power Company
Depreciation Expense
Annualized Forecstd
Depreation Deprecatlon Annualizing ReserveAccountAccunt Desmptlon Expense Exnse Adjusnt Adjusnt
301 Organiztion30Franchises and Coents 781,06.44 781,063.4430Miceßari Intanible Plant 6,56,595.64 5,749,53.2 816,06.38 408,031.69TOTAL INTANGIBLE PLANT 7,346,65.08 6,530,595.70 816,06.38 408,031.69
310 Land and Lan Rights 3,678.60 4,218.65 (540,05)(270.3)311 Strucres and Improvements 2,2,623.9 2,92,463.04 (659,859.08)(32,92.54)312 Boile Plant Equlpment 11,83,93.84 13,718,479.64 (1,88,495.80)(942,247.90)314 TlIenerator Unis 3,455,26.28 3,957,02,46 (501,761.18)(25,880.59)315 Accessory electric EqUipment n6,871.60 62,20,59 (51,398.99)(25,69.50)316 Mis Powr Plnt Equien 493,9n.98 29.79.77 203,184.19 101,59210
TOTAL STEAM PRODUCTON PLANT 18,824,400.24 21,719,21.15 (2,89,870.91 )(1,447,435.46)
33 Land and La Rights
331 Strucures an Improvments 3,88,556.68 3,570,897.63 311,659.05 155,82.53
332 Reservoirs, Dams, Waterwys 5,68,55.92 5,116,358.93 573,196.99 286,598.50333Waterwee, Ti.ln, Generto 3,66,76.46 3,52,165.89 142,602.59 71,301.29
334 Acessory Electri EqUipment 1,23,111.40 1,146,014.78 89,09.62 44,54.31
335 Mis Por Plant Eqen 374,375.28 33,276.64 40,09,64 20,049.32336Roads, Railroads an Bri 146,556.96 146,03.45 524.51 26.2
TOTAL HYDRO PRODUCTON PLANT 14,997,924.72 13,840,746.32 1,157,176.40 578,58.21
340 LAD AND LAD RIGHTS
341 Struces and Improvements 283,8n.76 235,449.09 48,428.67 24,214.34
342 Fuel Holders, Producrs, Acs 164,802.72 144,58.06 20,218.66 10,109.33
343 Prime Moers 2,545,99.5 2,111,330.9 434,659.60 217,32.8
344 Generato 1,483,030.56 1,172,66,34 310,363.2 155,181.61
345 Acces Elecllç Equient 1,66,44.3 1,063,06.17 80,38,19 30,69.10
346 Mis Powr Plant Equipment 67,06.92 85,34.20 1,7'.72 86.86TOTAL OTER PRODUCnON PLA 6,2,213.88 4,812,43.82 1,420,780,06 710,390.04
350 Land and Land Rights 470,713,68 490,038.21 (19,324.53)(9,66228)352 Stses an Improvements 742,387,44 60,528.10 135,869.34 87,92.67353Statio EqUipment 5,933,21.40 5,685,015.17 248,276.23 124,138.1235Towrs and Fixtes 2,582,958,60 2,85,375.54 (242,416.94)(121,2.47)355 Poles and Flures 2,834,474,76 2,69,228.67 135,246.09 67,623.05
356 Overhead Conucors, Devics 2,786,607.60 2,758,541.01 28,08.59 14,033.29
369 Roas and Trails 3,132.60 3,268.56 (155.96)(n.98)TOTAL TRANSMISSION PLANT 15,353,586.08 15,06,015.26 285,550,82 142,775042
36 Land lind Lad Rights
361 Structu and Improvements 445,57.80 439,68.15 5,890.65 2,94.3336Statio Equipment 3,100,949.28 2,719,036.52 361,912.76 190,956.3
TOTAL SUBSTATION EQUIPMENT 3,546.520.08 3,158,716.67 387,803.41 193.901.71
364 POles, Towrs and Flures 7,092,672.72 7,335,06,39 (242,391.67)(121,195.84)365 Overhead Couctors, Devics 3,30,50.32 3,400,464.47 (95,96,15)(47,980.08)386 Undergroun Coui 929,99.00 936,306.75 (6,30.75)(3,154.87367Undergrou Cotors, Device 3,484,73.36 4,192,63.68 (707,90.32)(35.9.86)36 Lin Transformers 6,06,161.24 6,08,015.80 (21,8.56)(10,92.28)36 Services 1,70,061.28 1.874.543,54 (169.462.26)(84,741,13)370 Meters 4,023,057,12 3.015,3.5 1,007,68,58 503,840.29
371 Instalatio, Cust Premis 25,984,16 1n.430.8 (151,486.71)(75,73.36)373 Street Ughtg, Signal System 170.50.72 20.651,71 (39,142.99)(19,571.50)TOTAL DISTIBUTON UNES 26,80,66.92 27,2,493.75 (426,83.8)(213,416.43)
389 La and Land Rights39Strucres and Imprements 1,643,106.72 1,65,73.8 (12,63.16)(6,316.58)391 Ofic Fi.ure, EqUient 8,407,21.24 7,91,489.97 465.761.27 232,88.6439Transpotio Equipment 2,163,173.16 2,192,n4.57 (14,8.71 )39 Stores Equient 62,34.68 78,213.49 (15,83.81 )(7,919A1)394 Tools, Shop, Garge Equipmen 22,119.04 328,506.31 (98,387,27)(49,193.64)395 Labratory Eq¡jprenl 59.134.68 651,08.30 (57,951.62)(28,975.1 )396 Powr Operated Equient 621,497.28 60,114.73 6,691.2
397 Communication Equlpment 2,06,745.48 2,66,301.88 (60,556AO)(301,28.2)398 Miscellou Equient 33,291,52 288,331,72 46.959.80 23,479.90
TOTAL GENERAL EQUIPMENT PLAN 16,117,69.80 16,408,558.85 (274,646.19)(145,432.53)
TOTAL ELECTRIC PLANT IN SERVICE 109,220,638.80 108.76,831.52 471,026.14 22,403.65
Amortization of DlsaRow Cots (29,29.32)(29,2,32)
TOTAL DEPREClAnON & AMORTATION 108,92,339.48 108.46.52.20 471,02.14 22,403.65
Exhibit No. 31
Case No. IPC-E-OS-10
L. Smith, IPC
Page 3 of6
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SMITH, 01
TESTIMONY
EXHIBIT NO. 33
IDA PO COMPANIIthodlog SUry
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LINENO DecriptionQoit of Sfiçe CgmpoptiOtbi: Op~as Rev..
Miscellaneous seivice Revenu
Rent from Electric Property
:: Subs tat i on equipmnt
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5 Cogeneration and iiIlall. pOer production6 Real estate tents7 Da:rJç fiber .90tS8 Joint pole attachmnts
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other Blectrie Revenes11 Net Work Service antt Other Lonq Te:rm rirm12 Point-to-Point13 Photoyoltaic:14 Antelope15 Sierra Stacific: power Coi Billes16 Stand..by service11 Bnergy Bfficiencv llid9r18 Miscellaneous19 ProvidoD for ri1te ref\nd - CA'M Tariff
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water ManaqGm.nt Seivi.cuJoi.nt Use (pole, - ldaho
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Exhibit No. 33
Case No. IPC-E-OS-10
L. Smith, IPC
Page 1 of 2
'LiN2-!Description
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Exhibit No. 33
Case No. IPC-E-OS-10
L. Smith, IPC
Page 2 of 2
BEFORE THE I"~'.11: :,1
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-08-10
IDAHO POWER COMPANY
SMITH, 01
TESTIMONY
EXHIBIT NO. 34
METHODOLOGY MANUAL
2008 RATE CASE
Table of Contents
COST OF SERVICE COMPONENTS..................................................... 2
Other Operating Revenues - FERC Accounts 451-456......................................2
Other Revenues and Expenses - FERC Accounts 415-416
(excluding 415.002 and 416,002) - ............................................................ 4
Operations and Maintenance Expenses - FERC Accounts 500-900................ 4
Steam Power Generation - FERC Accounts 500-115
(excluding 501 Fuel) ................................................................................ 4
Hydraulic Power Generation - FERC Accounts 535-545... ....... ......... ........ 5
Other Power Generation - FERC Accounts 546-557
(exluding 547 Fuel and 555 Purchased Power) .................................. 6
Transmission Expenses - FERC Accounts 560-573
(excluding 565 Transmission of Electricity by Others) ......................, 6
Distribution Expenses - FERC Accounts 580-598...................................... 7
Customer Accounting and Customer Services and
Information Expenses - FERC Accounts 901-905
and 907-912............................................................,........................,........ 7
Administration and General Expenses (A&G) - FERC
Accounts 920-935 (excluding 924 Property)........................................ 7
O&M: Exceptions to Five- Year CAGR Methodology - FERC
Accounts 924, 565, 908.131, and 920,001..........................................8
Depreciation and Amortization Expense - FERC Accounts 403 and 404........ 9
Electric Plant/Regulatory Assets - Amortization,
Adjustments, Gains and Losses - FERC Accounts 406 and 411,6.......9
Regulatory Debits and Credits - FERC Account 407,3..................................... 10
Taxes Other Than Income Taxes - FERC Account 408,1 ................................ 10
Idaho Energy Resources Co, (IERCO) Cost Of Service
Components - FERC Accounts 418.1 and 419 ...................................... 11
RATE BASE COMPONENTS............................................................... 12
Electric Plant In Service - FERC Account 101.................................................... 12
Accumulated Reserve For Depreciation and Amortization - FERC
Accounts 108 and 111................................................................................. 14
Materials And Supplies - FERC Accounts 154 and 163 ................................... 15
Other Deferred Programs - FERC Accounts 182,3 and 186............................ 15
Plant Held For Future Use - FERC Account 105 ............................................... 16
Customer Advances For Construction (CAC) - FERC Account 252............... 17
Idaho Energy Resources Co, (IERCO) Rate Base
Components - FERC Accounts 123.1,186, and 145............................ 17
Exhibit No. 34
Case No. IPC-E-OS-10
L. Smith, IPC
Page 1 of 19
METHODOLOGY MANUAL
2008 RATE CASE
Purpose of Methodology Manual - The purpose of the Methodology Manual is to
provide a referènce document that provides supporting detail for the methodologies
and multipliers that have been used to set the values contained in the Company's
proposed 2008 Test Year. These values were provided to Idaho Power Company
(IPC) witness Schwendiman for appropriate application to the Uniform System of
Accounts for determination of revenue requirement in the 2008 test year. The
manual includes: (1) a description of the methodologies in developing the
Jurisdictional Separations Study; (2) a definition of the formula used for
compounding annual growth rates; 3) a brief explanation of current conditions driving
certain increases; and (4) for each major cost of service and rate base component, a
description of the three digit account number specified in the uniform system of
accounts adopted by the Commission and the FERC and the method applied in
developing the 2008 Test Year.
Overview of Current Conditions - Overall, IPC labor, materials, and purchased
service cost elements for cost of service and rate base components increased
during the three- and five-year time horizons of 2005-07 and 2003-07 respectively,
. Due to an aging of the IPC workforce, IPC has experienced a sharp increase in
employee retirements over the last five years which is expected to continue in
the future, IPC retirements have caused increased advertising, recruiting and
hiring activities. Additionally, significant training lead time has necessitated
backfillng some critical positions in advance of the incumbent's retirement date
to ensure adequate knowledge transfer.
. IPC is experiencing a cycle of heavy infrastructure investment needed to
address continued customer growth, peak demand growth, and aging plant and
equipment.
. Regulatory compliance: The Sarbanes-Oxley Act resulted in new control and
review processes requiring additional staffng, auditing of those controls by both
internal and external auditors, consulting services, and softare changes
resulting from implementation of the controls and processes, Though in effect
all through the 2003~07 time period, FERC's Standards of Conduct (SOC),
gained a heightened sense of urgency with the possibility of $1 millon penalties
per day per incident beginning with the passage of the Energy Policy Act of
2005, Mandatory electric system reliability as dictated by the North American
Electric Reliability Council (NERC) and the Western Electricity Coordinating
Council (WECC) required increased staffing to ensure that compliance
planning, controlling, monitoring and reporting requirements were met. Recent
legislation and regulations from the Internal Revenue Service and Securities
and Exchange Commission have required the use of consultants to review and
amend compensation plans and documents, proxy statements, and
communications.
Exhibit No. 34
Case No. IPC-E-OS-10 1
L. Smith, IPC
Page 2 of 19
Methodologies - The updates from 2007 data to IPC's proposed 2008 Rate Case
test year were developed using three methodologies:
1 )
2)
factors;
Carryforward of 2007 actual activity and amounts;
Known and measurable adjustments based on 2008 known account
Known and measurable adjustments are based on known factors for 2008 that relate
to a particular account item being projected. Examples of known account factors
projected for this methodology in developing the test year include 2008 known
billng, volume, and contract terms, discontinued services, anticipated levels of
economic activity, and existing regulatory commission orders.
3) Application of a three-year or five-year compound annual growth rate
(CAGR) to the 2007 actual activity and amounts,
The formula for the CAGR:
CAGR = ( Endinq Value J( # of~ars ) - 1Beginning Value
COST OF SERVICE COMPONENTS
OTHER OPERATING REVENUES
FERC Accounts 451-456
Description - Account 451 includes revenues for all miscellaneous services and
charges biled to customers who are not specifically provided for in other accounts,
This includes fees for changing, connecting or disconnecting services, and profit on
maintenance or installations on customers' premises, Miscellaneous service
revenues include continuous service reversion charges, field visit charges, return trip
charges, returned check fees, service connection charges, service establishment
charges, and application and processing fees collected for new permits, new leases
or requests for easement relinquishments. Account 454 includes rents received for
the use by others of land, buildings, and other property devoted to electric
operations by IPC such as joint pole attachments, facilities charges, and line and
substation rents. Account 456 includes revenues derived from electric operations
not includable in other revenue accounts. For example, compensation for minor
services provided for others such as engineering, and revenues from transmission of
electricity of others over transmission facilities of IPC such as network and point-to-
point wheeling.
Exhibit No. 34
Case No. IPC-E-OS-10 2
L. Smith, IPC
Page 3 of 19
Methods to Update to 2008 Levels - Accounts 451 through 456 used a combination
of the methodologies for projecting 2008 amounts depending on the nature of the
specific account activity being forecast.
. Account 451 used a three-year CAGR applied to 2007 actual revenues
resulting in a reduction of 13,99%. The decline is attributable to slower
customer growth anticipated in 2008.
. Account 454 used each of the three methodologies described above depending
on the type of 2008 rent to be projected:
- Transformer rentals were projected to be the same in 2008 as 2007 actual
amounts.
- Substation equipment rentals and station and line rentals were projected for
2008 based on known billng conditions for the governing transmission
service agreement and the specific type of facilities being rented. The decline
in anticipated facilities rents is due to both billing rates, which are updated
annually and generally decrease unless new transmission facilities are being
added under the contract, and the expiration of the Seattle City Light
agreement at the end of 2007.
- The remaining 454 rents were determined based on application of the
calculated three-year CAGR for the specific type of rent to 2007 actual
amounts, The resulting three-year CAGR increases by rent type are:
cogeneration and small power production (3.81%), real estate (1.91%), dark
fiber (.07%), pole attachments (7.04%), facilities charges (2.5%), and
overnight parking (15,99%),
. Account 456 used each of the three methodologies described above depending
on the type of 2008 revenue to be projected:
- Revenues related to the Antelope substation were projected for 2008 to be
the same as the 2007 actual amounts,
- Network service and point-to-point wheeling revenues were based on actual
2007 customers and kW respectively, at the expected formula-based FERC
rate.
- The remaining 456 revenues were determined based on application of the
calculated three-year CAGR for the specific type of revenue to 2007 actual
amounts. The resulting three-year CAGR by revenue type are: photovoltaic
station service (-22,90%), Sierra Pacific usage charge (4,73%), stand-by
service (32.51%), and miscellaneous (-2.84%),
Exhibit No. 34
Case No. IPC-E-OS-10 3
L. Smith, IPC
Page 4 of 19
OTHER REVENUES AND EXPENSES
'_~ÉR_~_~E~_ou_I'~_~15-416~ ex£lu~Jn~L~15.002 and__ 41 ~.002)
Description - Accounts 415 through 416 include respectively, all revenues derived
from the sale of merchandise and jobbing or contract work, and all expenses
incurred in such activities. For IPC, jobbing and contract work revenues and
expenses include activities related to Idaho Power Solutions (iPS), water
management services, and joint pole use,
Methods to Update to 2008 Levels - 2007 actual amounts for the 415 and 416
Accounts were used for 2008 projected amounts with the exception of iPS, 2007
actual activity reduced for services that are no longer being performed by iPS
became the known and measurable adjustments for 2008 amounts. The reduction
stems from the fact that iPS is no longer providing substation services or
engineering construction services at Mountain Home Air Force Base which was the
bulk of its revenues.
OPERATIONS AND MAINTENANCE EXPENSES
FERC Accounts 500 - 900
IPC's 2008 operation and maintenance (O&M) expenses were developed by
applying a five-year CAGR to its 2007 actual O&M amounts. In arriving at the
decision to use the five-year CAGR, IPC projected the 2008 amounts using both a
three- and five-year CAGR. The five-year CAGR was chosen because it was more
reflective of expected spending requirements, and was determined at the following
summary O&M account levels:
. Steam Power Generation
. Hydraulic Power Generation
. Other Power Generation
. Transmission Expenses
. Distribution Expenses
. Customer Accounting Expenses
. Customer Services and Information Expenses
. Administrative and General Expenses
IPC identified certain exceptions to the application of the five-year CAGR
methodology for purposes of the 2008 Rate Case filing. Those exceptions include
fuel expense, purchased power which is normalized, and property insurance, third
party transmission, demand-side management, and incentive expense as discussed
below.
STEAM POWER GENERATION
FERC Accounts 500-515 (excluding 501 Fuel)
Description - Accounts 500 through 515 include the labor, materials and expenses
incurred to operate and maintain prime movers, generators and their auxiliary
apparatus, switch gear and other electric equipment used in steam power
Exhibit No. 34
Case No. IPC-E-OS-10 4
L. Smith, IPC
Page 5 of 19
generation, Additionally, the labor and expenses incurred in the general supervision
and direction of maintenance of steam generation facilities are included in these
accounts.
Method to Update to 2008 Levels - The five-year CAGR for steam power O&M
expenses was 7.14%. The increases were driven by rising commodity and
consumables prices for items such as steel, concreté, chemicals and petroleum
products. Also, escalating regional demand for the craftsman labor pool has
contributed to increasing costs of maintenance work and contracts at the plants,
Maintenance activities, particularly at the North Valmy plant, have expanded in an
effort to lessen unplanned outages. IPC's thermal power plants were constructed in
the 1970s and 1980s. Continued focus on maintenance at these aging plants is
critical to sustaining current production levels.
HYDRAULIC POWER GENERATION
FERC Accounts 535-545
Description - Accounts 535 through 545 include the labor, materials used and
expenses incurred to operate and maintain hydraulic works including structures,
reservoirs, dams, waterways, generators, roads and bridges, and expenses directly
related to the hydroelectric development outside the generating station including fish
and wildlife and recreational facilities. These accounts also include the labor and
expenses incurred in the general supervision and direction of maintenance of
hydraulic power generating stations, rents of propert of others used, occupied or
operated in connection with hydraulic power generation, including amounts payable
to the United States for the occupancy of public lands and reservations for
reservoirs, dams, flumes, forebays, penstocks, and power houses.
Method to Update to 2008 Levels - The five-year CAGR for hydroelectric power
O&M expenses was 8.03%, Compliance activities were a significant driver for the
increase, IPC received from the FERC new 30-year operating licenses for the Bliss,
Lower Salmon, Upper Salmon, Shoshone Falls, and C,J. Strike projects in 2004 and
a 30-year license for the Malad project in 2005. The licenses require IPC to
implement protection, mitigation and enhancement (PM&E) measures relating to
federally listed threatened and endangered snail species near the projects, minimum
stream flows, spring habitat enhancements, recreational facility enhancements and
protection measures for white sturgeon. The PM&E measures came in the form of
license articles which IPC is fully engaged in implementing over the term of the new
licenses,
IPC also experienced rising costs in order to comply with various federal regulations
and industry standards that have been implemented or enhanced by such
organizations as the FERC, WECC and NERC, In addition to plant modification and
corrective work, activities such as monitoring, stream flow gauging, inspections, and
reporting have increased. As most of IPC's hydroelectric projects were constructed
in the mid-20th century, the Company follows prudent maintenance practices. for
these aging facilities that require increasing care. Hydroelectric operating and
maintenance costs have been impacted by rising commodity and consumables
prices for items such as steel, concrete, chemicals, and petroleum products.
Exhibit No. 34
Case No. IPC-E-OS-10 5
L. Smith, IPC
Page 6 of 19
OTHER POWER GENERATION
FERC Accounts 546-557 (excluding 547 Fuel and 555 Purchased Power)
Description - Accounts 546 through 554 include the operation labor, materials used
and expenses incurred in operating and maintaining prime movers, generators and
electric equipment in other power generating stations, Labor and expenses incurred
in the general supervision and direction of maintenance of other power generating
stations are also included in these accounts, Account 556 includes labor and
expenses incurred in load dispatching activities for system control. System control
activities include the production and dispatching of electricity. Account 557 includes
production expenses incurred directly in connection with the purchase of electricity
which are not specifically provided for in other production expense accounts,
Method to Update to 2008 Levels - The five-year CAGR for other power generation
O&M expenses was 11.76%, which is primarily attributed to the addition of the
Bennett Mountain power plant that was placed in service in 2005. Production from
IPC's combustion turbine plants has increased yearly since 2003. As a result, non-
fuel variable expenses have increased for items such as lube oil, air filters,
thermocouples, and natural gas consumed to operate pre-heaters,
Additional staffing was added due to the addition of gas procurement activities,
compliance activities and department workload, and the need for additional backup
coverage on certain critical department tasks, primarily energy scheduling.
TRANSMISSION EXPENSES .
FERC Accounts 560-573 (excluding 565 Transmission of Electricity by Others)
Description - Accounts 560 through 573 include the operation labor, materials used
and expenses incurred in the system planning, operation, executing the reliability
coordination function, monitoring assessing and operating the power system and
individual transmission facilities in real-time to maintain safe and reliable operation of
the transmission system specified by NERC, Additional activities include:
processing the hourly, daily, weekly and monthly transmission service requests
using an automated system such as an Open Access Same-Time Information
System (OASIS); billng to transmission owners for system control and dispatching
service; and conducting transmission services studies for proposed transmission
interconnections and generation interconnection with the transmission system,
These accounts include the labor, materials used and expenses incurred in the
operation of transmission substations, switching stations, and transmission lines.
The use of transmission facilities owned by others, and rents of property used,
occupied or operated in connection with the transmission system are also part of this
account. The accounts also include the labor, materials used and expenses
incurred in the maintenance of structures, computer hardware and softare,
communication equipment, miscellaneous transmission plant, station equipment,
and transmission plant serving the transmission function,
Method to Update to 2008 Levels - The five-year CAGR for transmission O&M
expenses was 3,98%. Together with a general rise in material and DurchasedExhibit No. 34
Case No. IPC-E-OS-10 6
L. Smith, IPC
Page 7 of 19
services costs, additional infrastructure has resulted in increased labor and other
expenses to maintain and operate the system, Since 2003, IPC has added ,92
transmission line miles and five transmission substations, representing an increase
of 2% and 11 % respectively, Furthermore, as a transmission provider, IPC is
subject to mandatory and enforceable reliability standards issued from FERC, NERC
and WECC. These compliance standards continue to increase in volume and
complexity, and have had the consequence of increasing transmission O&M costs.
DISTRIBUTION EXPENSES
FERC Accounts 580-598
Description - Accounts 580 through 598 include labor, materials used and expenses
incurred in the general supervision and direction of the operation of the distribution
system such as station operation, overhead and underground line operation, meter
department operation of customer meters and associated equipment, load
dispatching operations, work on customer installations, and inspecting premises.
Also included in these accounts are the labor, materials used and expenses incurred
in the general supervision and direction of the maintenance of the distribution
system including: maintenance of structures, distribution plant, overhead distribution
line facilities, underground distribution line facilities, distribution line transformers,
meters, and meter testing equipment.
Method to Update to 2008 Levels - The five-year CAGR for distribution O&M
expense was .70%.
CUSTOMER ACCOUNTING AND CUSTOMER SERVICES AND INFORMATION
EXPENSES
FERC Accounts 901-905, and 907-912
Description - Accounts 901 through 905 include the labor, materials used and
expenses incurred in the general direction and supervision of customer accounting
and collecting activities including: reading customer meters, work on customer
applications, contracts, orders, credit investigations, billing and accounting,
collections and complaints, These accounts also include the accounting for losses
from uncollectible utility revenues, Accounts 907 through 912 include the labor and
expenses incurred in customer service and informational activities to encourage safe
and efficient use of the utility's service, to encourage conservation of the utility's
service and answer specific inquiries as to proper use of the service and equipment
utilizing the service.
Method to Update to 2008 Levels - The five-year CAGR for customer accounting
and customer services and information O&M expenses was .06%,
ADMINISTRATION AND GENERAL EXPENSES (A&G)
FERC Accounts 920-935 (excluding 924 Propert)
Description - Accounts 920 through 935 include activities undertaken in connection
with the utility's general and administrative operations that are assignable to specific
Exhibit No. 34
Case No. IPC-E-OS-10 7
L. Smith, IPC
Page S of 19
administrative or general departments and are not specifically provided for in other
accounts, A&G accounts include: (1) compensation of officers, executives, and
other employees of the utility which are properly chargeable to utility operations but
not chargeable directly to a particular operating function, (2) offce supplies and
expenses, (3) fees and expenses of professional consultants and others for general
services which are not applicable to a particular operating function, (4) insurance or
reserve accruals to protect the utility against losses and damages to owned or
leased property used in its utility operations, (5) payments for employee accident,
sickness, hospital and death benefits or insurance, (6) payments to municipal or
other governmental authorities, (7) the cost of materials, supplies and services
furnished to such authorities without reimbursement in compliance with franchise,
ordinance, or similar requirements, (8) expenses incurred by the utility in connection
with formal cases before regulatory commissions or other regulatory bodies,
(9) regulatory fees assessed against the utility, (10) commission expenses,
(11) payments made to the United States for the administration of the Federal Power
Act, (12) materials used and expenses incurred in advertising and related activities,
(13) rents properly includable in operating expenses for the property of others used,
occupied or operated in connection with customer accounts, customer service and
informational, sales and general and administrative functions of the utilty, and
(14) operation and maintenance of transportation equipment and the maintenance of
utility property which is not chargeable directly to a particular operating function.
Method to Update to 2008 Levels - The five-year CAGR for A&G O&M expenses
was 9.41 %. Coupled with a general rise in materials and purchased service costs,
customer growth and mandatory compliance activities increased and contributed to
growth in A&G labor. As already described, the Sarbanes-Oxley Act resulted in new
control and review processes requiring additional staffing, auditing of those controls
by both internal and external auditors, consulting services, and softare changes
resulting from implementation of the controls and processes, In order to fully comply
with FERC's SOC mandates, softare changes were required to restrict access to
transmission data by Energy Affiliate (EA) employees, changes to company
buildings were required to restrict the physical access of EA employees, and
compliance training and education was developed and implemented for all
employees. Finally, mandatory electric system reliability as dictated by NERC and
WECC required increased corporate governance staff to ensure compliance
requirements were being met. In addition to the increases in O&M labor arising from
customer growth and compliance activities, additional labor support costs such
administrative, building and maintenance, and information technology were
necessary.
O&M: Exceptions to Five-Year CAGR Methodology
FERC Accounts 924, 565, 908.131, and 920.001
. For Account 924, property insurance premiums for 2008 are assumed to be at
the 2007 actual amount. Although insurance premium renewals occur during
the May to July time period, and insured propert values have increased 8.6%
from 2007, IPC projects that its premium wil remain comparable to the actual
2007 amount given the current competitive status in the property insurance
market.
Exhibit No. 34
Case No. IPC-E-OS-10 8
L. Smith, IPC
Page 9 of 19
. For Account 565 Third Part Transmission, actual amounts from 2007 are
carried forward for the 2008 test year.
. For Account 908,131, Demand-Side Management (DSM) is excluded as per
Idaho Public Utilities Commission's (i PUC's) Order No, 30189.
. For Account 920.001, incentives are based on a normalized incentive target
rate,
DEPRECIATION AND AMORTIZATION EXPENSE
FERC Accounts 403 and 404
Description - Account 403 includes depreciation expense for all classes of
depreciable electric plant in service except such depreciation expense as is
chargeable to clearing accounts or to Account 416 Costs and Expenses of
Merchandising, Jobbing and Contract Work, Account 404 includes amortization
charges applicable to amounts included in the electric plant accounts for limited-term
franchises, licenses, patent rights, limited-term interest in land, and expenditures on
leased property where the service life of the improvements is terminable by action of
the lease. The charges to this account are such as to distribute the book cost of
each investment as evenly as may be over the period of its benefit to the utility,
Method to Update to 2008 Levels - Depreciation and amortization rates were
applied to the monthly estimated plant balances (see the Account 101 discussion in
the Rate Base Components section), The accrual rates authorized by IPUC Order
No. 29363 were used for the months January through July of 2008, whereas the
rates from the depreciation study filed in Case No, IPC-E-08-06 were used for the
remainder of the projected year. Several FERC plant accounts have sub-accounts
for which sub-account composite rates were calculated using the depreciation study
from Case No. IPC-E-08-06, The amount of the depreciation accrual that is not
posted to Account 403 is for FERC plant accounts 392 Transportation Equipment,
396 Power Operated Equipment, and $264,000 from 397 Communication Equipment
which is allocated from a clearing account to O&M or plant. The Account 397
Communication Equipment amount was calculated using the actual 397,300 accrual
for February 2008.
ELECTRIC PLANT/REGULATORY ASSETS -
AMORTIZATION, ADJUSTMENTS, GAINS AND LOSSES
FERC Accounts 406 and 411.6
Description - Account 406 is debited or credited, as the case may be, with amounts
includable in operating expenses, pursuant to approval or order of the Commission,
for the purpose of providing for the extinguishment of the amount in Account 114
Electric Plant Acquisition Adjustments. Account 411.6 includes, as approved by the
Commission, amounts relating to gains from the disposition of future use utility plant
including amounts which were previously recorded in and transferred from Account
105 Electric Plant Held for Future Use,
Exhibit No. 34
Case No. IPC-E-OS-10 9
L. Smith, IPC
Page 10 of 19
Methods to Update to 2008 Levels -
. Account 406 projected 2008 amounts are based on 2007 actual amounts. The
Prairie Power acquisition adjustment represents the amortization of Account
114 over 233 months at $1,894 per month, and wil be fully amortized in August
2012.
. Account 411,6 forecasted gain of $10,158 is based upon the actual sale of 2.38
acres of Jump substation land in 2008.
REGULA TORY DEBITS AND CREDITS
FERC Account 407.3
Description - Account 407,3 is debited, when appropriate, with the amounts credited
to Account 254, Other Regulatory Liabilities, to record regulatory liabilities imposed
on the utility by the ratemaking actions of regulatory agencies, This account is also
debited, when appropriate, with the amounts credited to Account 182,3, Other
Regulatory Assets, concurrent with the recovery of such amounts in rates,
Methods to Update to 2008 Levels - The amortization of professional fees per IPUC
Order No. 29505 in the amount of $21,246 has been excluded from the cost of
service.
TAXES OTHER THAN INCOME TAXES
FERC Account 408.1
Description - Account 408,1 includes those taxes other than income taxes which
relate to utility operating income. This account is maintained so as to allow ready
identification of the various classes of taxes relating to utility operation, plant leased
to others, and other operating income.
Method to Update to 2008 Levels - 2008 projected Taxes Other Than Income Taxes
were based on a combination of known and measurable adjustments arising from
facts of particular account activity, and application of a three-year CAGR to other
account activity,
. Real and Personal Property Taxes - Property taxes are not amenable to the
three-year CAGR assumption due to tax anomalies in the Idaho jurisdiction. In
2005, Idaho propert taxes were $13,171,228, compared to $10,270,559 and
$9,929,792 in 2006 and 2007, respectively. The 2006 decrease is a result of
Idaho legislative tax changes, while the 2007 decrease is a result of changing
the situs of the Bennett Mountain plant. The methodology used to project
property taxes for the 2008 Rate Case is similar to the estimation process used
for establishing the annual property tax accrual for IPC financial statements.
Property taxes are estimated using both an appraisal and levy methodology.
For the appraisal methodology, actual appraisal data is used to the extent
known, and each state's historical appraisal methodologies and trends are used
Exhibit No. 34
Case No. IPC-E-OS-10 10
L. Smith, IPC
Page 11 of 19
in determining the appraisal amount. For the tax levy methodology, the state's
historical levy data and local government budget policy is used to estimate
levies, Because of different states' property tax years, the period to be
projected varies: Idaho, Wyoming, and Montana were estimated for all 2008 as
those bils are not received until the end of the calendar year; Oregon and
Nevada required estimates for the last half of 2008 as split-year states; and the
Shoshone-Bannock tax represented the actual 2008 amount billed,
. Idaho kWh Taxes - kWh taxes were projected based on normalized hydro
conditions and normalized consumption.
. Regulatory Commission Fees - For IPC, the calculated three-year CAGR for
Idaho regulatory fees resulted in a negative growth rate of 2.2% due to the
formulaic manner in which the IPUC allocates' its approved budget to utilities
based on pro rata utility revenues and thus is not indicative of future trend
factors. Therefore, actual Idaho regulatory commission fees for 2007 were
increased by the expected 8.1 % increase in the total governor approved IPUC
budget from $4,738,700 in 2007 to $5,122,560 in 2008. Oregonregulatory
fees were increased 4,66% based on a three-year CAGR.
. Licenses - The three-year CAGR for licenses were -2.21 %, -35,00%, and
0.00% for Wyoming, Nevada, and Shoshone-Bannock respectively,
. Franchises - The three-year CAGR for Oregon franchise taxes was 2.40%.
IDAHO ENERGY RESOURCES CO. (IERCO) COST OF SERVICE COMPONENTS
FERC Accounts 418.1 and 419
Description - Account 418.1 includes the utilty's equity in the earnings or losses of
subsidiary companies for the year. Account 419 includes interest revenues on
securities, loans, notes, advances, special deposits, tax refunds and all other
interest-bearing assets, and dividends on stocks of other companies, whether the
securities on which the interest and dividends are received are carried as
investments or included in sinking or other special fund accounts.
Method to Update to 2008 Levels - IPC owns 100% of Idaho Energy Resource
Company (IERCO) which has a one-third joint venture interest in Bridger Coal
Company (BCC), a mine that supplies coal to the Jim Bridger plant. PacifiCorp, Inc.
owns the remaining two-thirds interest and is the mine's operating partner, As a
one-third owner in BCC, IERCO is entitled to 33% of the BCC net income and cash
flows. IPC's projected 2008 cost of service for IERCO is based on PacifiCorp, Inc.'sprojected activity for the BCC mine. '
IERCO overriding royalties are determined by the location and lease under which
BCC is mining. The three leases are with BLM, Union PaCific Railroad, and State of
Wyoming, and each lease pays at a different rate. The overriding royalty wasgranted to BCC from IERCO who in turn received them from IPC as advance
royalties in the past. Coal royalty payments have no impact on IERCO's net income
Exhibit No. 34
Case No. IPC-E-OS-10 11
L. Smith, IPC
Page 12 of 19
as revenue is recognized when paid by BCC, and expense recognized when
remitted to IPC.
Income taxes are calculated at the federal tax rate of 35% as Wyoming has no state
income tax, Taxes are accrued and paid during the calendar year, A favorable
2006 IRS ruling allows IERCO to take a depletion deduction for calculating taxable
income. For the 2008 projection, the depletion adjustment has been assumed to be
$2,000,000 resulting in a $700,000 reduction to income tax expense,
As discussed in the Rate Base Components section that follows, IERCO maintains
an intercompany note with IPC that accrues interest monthly at IPC's short-term
borrowing rate. For purposes of the Cost of Service Component of IEReO, the
intercompany interest expense net of income tax is added back to increase IERCO's
net income,
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RATE BASE COMPONENTS.._.__.__.__...'-.,;...__..._.__.__.__.__.__."'....."'..;'-.__._.-_.__._"'..;.;...;",'-...__.__.__.__.__._-_.__._----------------------------------------------'--------_...._-----_..
ELECTRIC PLANT IN SERVICE
FERC Account 101
Description - This account includes the original cost of electric plant that is included
in Accounts 301 to 399 (referred to herein as plant accounts), It is described as
being owned and used by the utility in its electric utility operations, and having an
expectation of life in service of more than one year from date of installation, including
such property owned by the utility but held by nominees. The cost of additions to
and betterments of propert leased from others, which are includable in this account,
are recorded in subdivisions separate and distinct from those relating to owned
property.
Method to Update to 2008 Levels - The methodologies used for plant additions and
retirements are described below,
Closes to Account 101 - Account 107 Construction Work in Process (CWIPl
Projected CWIP expenditures were closed to plant depending on the magnitude of
the project's expected capital expenditures. Projects in year-end 2007 CWIP and
projected 2008 capital expenditure amounts were segregated into pools of greater
than and less than $2 million, This stratification determined how the CWIP amounts
wil be closed to CWIP project type. The allocation of all CWIP project type closes
as described below to FERC plant accounts 301 through 399 followed the same
methodology as presented in the 2007 Rate Case (Case No. IPC-E-07-08),
. Capital Projects with Total Expenditures in Excess of $2 Millon - Large projects
with total costs in excess of $2 millon were determined to be known and
measurable adjustments for 2008. These projects' capital account balances,
expenditures, and closes to plant were reviewed by business unit managers
familiar with the projects. Actual capital expenditures in CWIP as of year-end
Exhibit No. 34
Case NO.IPC-E-OS-10 12
L. Smith, IPC
Page 13 of 19
2007 plus expected future capital expenditures were used to calculate the
amount that would close to plant by year-end 2008. The Allowance for Funds
Used During Construction (AFUDC) was calculated on the CWIP balances at
the average actual AFUDC rate applied during 2007 of 7.19%, A three-year
AFUDC average rate was calculated, but the resulting 7.73% was considered
excessive given current market rate conditions,
The total amounts for the plant additions in the pool of over $2 millon in capital
expenditures were then allocated to the CWIP project types based on the
particular project's nature,
. Capital Projects with Total Expenditures Less Than $2 Millon - For smaller
projects with total capital expenditures less than $2 milion, anticipated 2008
plant closings were based on a five-year CAGR of 6% applied to actual 2007
CWIP closes to plant for similar projects. The 2003-07 analysis of historical
CWIP closings to plant for projects under $2 million excluded vehicles, IPC
determined that the five-year CAGR was the most appropriate method to use to
project 2008 plant additions because the method smoothes out fluctuations
between years. Other methodologies that IPC considered to estimate this pool
of plant additions but produced unreasonably low or high plant additions
included: exponential growth, linear regression, and percentage growth
methods.
The total amounts for the plant additions in the pool of under $2 millon in
capital expenditures were then allocated to the CWIP project types based on a
three-year historical average.
Vehicle plant additions were projected separately based on the current
projection of 2008 vehicle purchases,
Actual final closings from CWIP Account 107 to Plant Account 101 were analyzed for
the three-year period 2005 through 2007, The 2005-07 time frame was selected due
to the change from in-plant accounting in 2004 which impacted FERC Plant
Accounts 368 Transformers and 370 Meters, Final closing amounts in the PassPort
work order system were used as opposed to pre-closure amounts. Final closes
represent the lias built" propert units after the construction and work order has been
completed and reconciled, whereas pre-closes are based on work' order estimates
and may not be reflective of the final close amount. For each CWIP project type, the
percentage allocation to FERC plant accounts 301 through 399 was determined by
the ratio of the three-year historical plant account closing for that CWIP project.
Retirements from Account 101
Retirements were analyzed for the three-year period 2005 through 2007.
Retirements by FERC plant account were determined and compared to the closings
by FERC plant account for the same period. Retirements by FERC plant account
were estimated by calculating the historical percentage of retirements to additions
for the three-year period,
Exhibit No. 34
Case No. IPC-E-OS-10 13
L. Smith, IPC
Page 14 of 19
Other methodologies used for retirements for discrete FERC plant accounts:
. Because FERC plant accounts 340 through 346, Other Production, for the
Danskin and Bennett Mountain generation plants are new, there was not
enough historical information to determine the retirement percentage. For
Danskin and Bennett Mountain, IPC estimated retirements of plant for 2008 are
based on projected 2008 work at these plants.
. The following FERC plant accounts have known retirement dates based on
vintage layers, and were not estimated:
- 302 Softare
- 303 Franchises and Consents
- 391 Furniture
- 393 Stores Equipment
- 394 Shop Tools
- 395 Laboratory Equipment
- 397 Communication Equipment
- 398 Miscellaneous Equipment
ACCUMULATED RESERVE FOR DEPRECIATION AND AMORTIZATION
FERC Accounts 108 and 111
Description - Account 108 is credited for amounts charged to Account 403
Depreciation Expense, or to clearing accounts for current depreciation expense for
electric plant in service. At the time of retirement of depreciable electric utility plant,
this account is charged with the book cost of the property retired and cost of
removal, and then credited with the salvage value and any other amounts recovered
such as insurance. When retirement, costs of removal and salvage are originally
entered in retirement work orders, the net total of such work orders may be included
in a separate subaccount hereunder, Upon completion of the work order, the proper
distribution to subdivisions of this account shall be made for general ledger and
balance sheet purposes as a single composite provision for depreciation, For
purposes of analysis, however, each utility shall maintain subsidiary records in which
this account is segregated according to the functional classification of electric plant
in service. Account 111 is credited with amounts charged to Account 404
Amortization of Limited-Term Electric Plant for the current amortization of limited-
term electric plant investments,
Method to Update to 2008 Levels - The year-end 2007 accumulated depreciation
and amortization account balances were rolled forward using the estimated accrual,
retirements, salvage and removal costs, See Account 403 and 404 in the Cost of
Service Components section for discussion with respect to the depreciation and
amortization accrual calculation, and Account 101 in the Rate Base Components
section for discussion of the method of determining retirements, The three-year
average salvage, removal costs, and retirement amounts were then calculated, The
salvage and removal averages as a percentage of the retirement average were used
to estimate monthly salvage and removal costs, Those amounts were allocated to
Exhibit No. 34
Case No. IPC-E-OS-10 14
L. Smith, fPC
Page 15 of 19
the transmission and distribution FERC plant accounts in their respective ratio to
estimated retirements,
MATERIALS AND SUPPLIES
FERC Accounts 154 and 163
Description - Account 154 includes the cost of materials purchased primarily for use
in the utility business for construction, operation and maintenance purposes.
Materials and supplies issued are credited hereto and charged to the appropriate
construction, operating expense, or other account on the basis of a unit price
determined by the method of inventory accounting, Account 163 includes the cost of
supervision, labor and expenses incurred in the operation of general storerooms,
including purchasing, storage, handling and distribution of materials and supplies,
This account is cleared by adding to the cost of materials and supplies issued a
suitable loading charge which distributes the expense equitably over stores issues,
The balance in the account at the close of the year shall not exceed the amount of
stores expenses reasonably attributable to the inventory of materials and supplies,
Method to Update to 2008 Levels - Accounts 154 and 163 used a three-year CAGR
applied to 2007 actual balances resulting in an increase of 16,38% and 4.31%
respectively. IPC chose a three- rather than the five-year CAGR due to the change
related to in-plant accounting for transformers and meters in 2004,
OTHER DEFERRED PROGRAMS
FERC Accounts 182.3 and 186
Description - This account includes the amounts of regulatory assets not includable
in other accounts, resulting from the ratemaking actions of regulatory agencies,
Methods to Update to 2008 Levels -
. Account 182.360 - Deferred Conservation Programs - IPUC Order Nos, 27660,
27722, and 28041 - This account is amortized at $270,217 per month or
$3,242,604 annually and will be fully amortized by July 2010.
. Accounts 186,722 and 186,770 - American Falls Bond Refinancing - IPUC
Order No, 25880 - These deferred costs are financing costs related to
American Falls Bond issuances, The total monthly amortization of these two
bonds is $5,212 per month or $62,551 per year. These deferrals wil be fully
amortized by 2025,
. Account 182.364 - Incremental Security Costs - IPUC Order No, 28975 -
These deferred costs are incremental costs incurred during 2003 arising from
the events of September 11, 2001. The monthly amortization is $5,732 or
$68,793, per year. The cost is being amortized over five years and wil be fully
amortized by December 31,2008,
Exhibit No. 34
Case No. IPC-E-OS-10 15
L. Smith, IPC
Page 16 of 19
. Account 182.368 - Intervenor Funding - IPUC Order No, 30035 - This
intervenor funding is related to the 2005 Rate Case No, IPC-E-05-28,
Recovery of this amount was included in the 2007 Rate Case No, IPC-E-07-08,
and therefore the balance has been removed, The amortization began March
2008,
. Account 182,307 - Intervenor Funding - IPUC Order No, 30215 - This
intervenor funding is related to the Load Growth Adjustment Rate filing,
Recovery of this amount was included in the 2007 Rate Case No, IPC-E-07-08,
and therefore the balance has been removed, The amortization began March
2008,
. Account 182,308 - Intervenor Funding - IPUC Order No. 30267 - This
intervenor funding is related to the Fixed Cost Adjustment filing. Recovery of
this amount was included in the 2007 Rate Case No. IPC-E-07-08, and
therefore the balance has been removed. The amortization began March 2008.
. Account 182.369 - Grid West Loans - OPUC Order No. 06-483 - The
ratemaking treatment for the Oregon portion of the Grid West loans was
deferred for a ratemaking procedure. The amortization period is to be
determined at that time. IPC is currently accruing interest on the Oregon
portion at Oregon's authorized rate of return of 7.83% per annum, Assuming
no ratemaking procedure occurs in 2008, the accrued balance at December 31,
2008 including interest wil be $64,995.
. Account 182.304 - Grid West Loans - FERC Portion - The 2008 amount
includes the FERC portion of the Grid West loan and incremental costs. The
FERC order reflecting recovery of these costs went into effect May 2008, and
wil be recovered over a five-year period.
PLANT HELD FOR FUTURE USE
FERC Account 105
Description - This account includes the original cost of electric plant owned and held
for future use in electric service under a definite plan for such use, and includes:
(1) property acquired but never used by the utilty in electric service, but held for
such service in the future under a definite plan, and (2) property previously used by
the utility in service, but retired from such service and held pending its reuse in the
future, under a definite plan, in electric service,
Method to Update to 2008 Levels - 2007 actual amounts for the Account 105 were
used for 2008 projected amounts with one exception: inclusion of the Lakeshore
substation for $183,577 which will be acquired in 2008.
Exhibit No. 34
Case NO.IPC-E-OS-10 16
L. Smith, IPC
Page 17 of 19
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t CUSTOMER ADVANCES FOR CONSTRUCTION (CAC)
, FERC Account 252
Description - Account 252 includes advances by customers for construction which
are to be partially or wholly refunded. When a customer is refunded the entire
amount to which he or she is entitled according to the agreement or rule under which
the advance was made, any remaining balance is credited to the appropriate plant
account.
Method to Update to 2008 Levels - A dollar cost per customer was calculated by
taking the sum of the customer additions for the five-year period from 2003 through
2007, and dividing that into the 2007 Account 252 balance excluding the 2007
network upgrade deposits of $4,198,825. This dollar cost per customer was then
applied to the sum of the customer additions for the projected five-year period from
2004 through 2008, and combined with the 2008 network upgrade deposit balance
of $8,265,360, Network upgrade deposits are generator interconnection deposits to
upgrade existing facilities in order to connect the generator and are partially
refundable,
........._...._.............................................
DAHO ENERGY RESOURCES CO. (IERCO) RATE BASE COMPONENTS
ERÇA~~C?~n~~~~~~!~~e!~n~~4S
Description - Account 123.1 includes the cost of investments in securities issued or
assumed by subsidiary companies and investment advances to such companies,
including interest accrued thereon when such interest is not subject to current
settlement plus the equity in undistributed earnings or losses of such subsidiary
companies since acquisition. This account is credited with any dividends declared
by such subsidiaries, This account is maintained in such a manner as to show
separately for each subsidiary: the cost of such investments in the securities of the
subsidiary at the time of acquisition; the amount of equity in the subsidiary's
undistributed net earnings or net losses since acquisition; and advances or loans to
such subsidiary. Account 145 represents notes receivable from associated
companies, Account 186 includes all debits not elsewhere provided for, such as
miscellaneous work in progress, and unusual or extraordinary expenses, not
included in other accounts, which are in process or amortization and items the
proper final disposition of which is uncertain,
Method to Update to 2008 Levels - IPC's projected 2008 investment in IERCO is
based on expected activity for 2008 at the BCC mine that supplies coal to the Jim
Bridger thermal plant. As a one-third owner in BCC, IERCO is entitled to 33% of the
BCC net income and cash flows.
. Account 123.1 Investment in BCC - IERCO's investment in BCC is accounted
for using the equity method, BCC income and IERCO capital contributions to
BCC increase the investment balance, while BCC dividend distributions to
IERCO reduce the investment balance. The IERCO 2008 investment balance
is projected to increase $3,849,606 from the year-end 2007 balance to
$57,446,922. See the IERCO Cost of Service Component section for further
discussion of BCC revenues,Exhibit No. 34
Case No. IPC-E-08-10 i 7
L. Smith, IPC
Page 18 of 19
. Account 186 BCC Overriding Coal Royalties - Overriding royalties are
determined by the location and lease under which BCC is mining. The
overriding royalty was granted to BCC from IERCO who in turn received them
from IPC as advance royalties in the past. Although coal royalty payments
have no impact on IERCO's net income because revenue is recognized when
paid by BCC and expense recognized when remitted back to IPC, the payment
flow serves to reduce the Account 186 balance. Projected 2008 advance coal
royalties are expected to reduce the 2007 year-end balance of $1,702,286 by
$118,173 to $1,584,113.
. Account 145 IERCO Intercompany Note - The intercompany note is the
funding mechanism whereby IERCO not only receives distributions from, and
makes capital contributions to BBC, but also pays income taxes and dividends
to IPC. The intercompany note activity is based on the 2008 BCC operating
and investing cash budgets, As no excess cash is projected by BCC in 2008,
IERCO has no scheduled dividend for IPC. The intercompany note increases
$1,232,141 from $21,527,626 at year-end 2007 to $22,759,767 at year-end
2008, Interest on the intercompany note is based on IPC's short-term
borrowing rates and accrues monthly, The average interest rate used for 2008
is 3,2%,
Exhibit No. 34
Case No. IPC-E-OS-10 18
L. Smith, IPC
Page 19 of 19