20161021Spanos Direct.pdf

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BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
AUTHORITY TO INCREASE ITS RATES
DUE TO REVISED DEPRECIATION
RATES FOR ELECTRIC PLANT-IN­
SERVICE.
CASE NO. IPC-E-16-23
IDAHO POWER COMPANY
DIRECT TESTIMONY
OF
JOHN J. SPANOS
1
2
Q.
A.
Please state your name and address.
My name is John J. Spanos. My business
3 address is 207 Senate Avenue, Camp Hill, Pennsylvania
4 17011.
5 Are you associated with any firm?
6
Q.
A. Yes. I am associated with the firm of Gannett
7 Fleming Valuation and Rate Consultants, LLC ("Ganne tt
8 Fleming") .
9 Q. How long have you been associated with Gannett
10 Fleming?
11 A. I have been associated with the firm since
12 college graduation in June 1986.
13
14
15
16 case?
17
Q.
A.
Q.
A.
What is your position with the firm?
I am Senior Vice President.
On whose behalf are you testifying in this
I am testifying on behalf of Idaho Power
18 Company (" Idaho Power" or the "Company") .
19
20
Q.
A.
Please state your qualifications.
I have 30 years of depreciation experience
21 which includes giving expert testimony in over 230 cases
22 before 40 regulatory commissions, including this
23 Commission. Please refer to Exhibit No. 1 for my
24 qualifications.
25
SPANOS, DI 1
Idaho Power Company
1 Q. What is the purpose of your testimony in this
2 proceeding?
3 A. I sponsor the depreciation study performed for
4 Idaho Power attached hereto as Exhibit No. 2 ("Depreciation
5 Study"). The Depreciation Study sets forth the calculated
6 annual depreciation accrual rates by account as of December
7 31, 2015, for all electric plant.
8
9
Q.
A.
Please define the concept of depreciation.
Depreciation refers to the loss in service
10 value not restored by current maintenance, incurred in
11 connection with the consumption or prospective retirement
12 of utility plant in the course of service from causes that
13 can be reasonably anticipated or contemplated, against
14 which the Company is not protected by insurance. Among the
15 causes to be given consideration are wear and tear, decay,
16 action of the elements, obsolescence, changes in the art,
17 changes in demand, and the requirements of public
18 authorities.
19 Q. Please identify the depreciation study you
20 performed for Idaho Power.
21 A. The study and its results are provided as a
22 report entitled, "2015 Depreciation Study -Calculated
23 Annual Depreciation Accruals Related to Electric Plant as
24 of December 31, 2015." The study was prepared and the
25
SPANOS, DI 2
Idaho Power Company
1 analyses that underlie the report were conducted under my
2 direction and supervision.
3 Q. Is Exhibit No. 2 a true and accurate copy of
4 your depreciation study?
5
6
A.
Q.
Yes.
Does Exhibit No. 2 accurately portray the
7 results of your depreciation study as of December 31, 2015?
8
9
10 study?
11
A.
Q.
A.
Yes.
What was the purpose of your depreciation
The purpose of the depreciation study was to
12 estimate the annual depreciation accruals related to
13 electric plant-in-service for financial and ratemaking
14 purposes and determine appropriate average service lives
15 and net salvage percentages for each plant account.
16 Q. What changes do you recommend to the Company's
17 current depreciation rates?
18 A. I propose changes to the depreciation rates
19 currently in use as follows:
20
21
22
23
24
25
26
Function Existing% Proposed%
Steam Production Plant 2.40
Hydraulic Production Plant 1.96
Other Production Plant 3.10
Transmission Plant 2.04
Distribution Plant 2.73
General Plant 4.46
SPANOS, DI
3.60%
2.03%
2.93%
2.00%
2.42%
5.62%
3
Idaho Power Company
1 Q. Were there any significant differences in this
2 study from the previous study?
3 A. Yes. The most significant change was the
4 removal of the Valmy and Boardman power plants in the
5 development of the steam facilities. The Valmy and
6 Boardman recovery are handled outside of the Depreciation
7 Study. Additionally, the interim survivor curves and net
8 salvage percentages for Account 312.00, Boiler Plant
9 Equipment, have changed. For Account 312, the interim
10 survivor curve changed from 60-Rl.5 to 53-Rl.5 due to
11 higher levels of retirements for the existing components.
12 The net salvage percent changed from negative 15 to
13 negative 10 due to lower levels of cost of removal dollars
14 associated to retirement dollars. The other significant
15 changes relate to longer average service lives for many
16 distribution accounts.
17
18
Q.
A.
Please describe the contents of Exhibit No. 2.
My report is presented in nine parts. Part I,
19 Introduction, describes the scope and basis for the
20 depreciation study. Part II, Estimation of Survivor
21 Curves, includes descriptions of the methodology of
22 estimating survivor curves. Parts III and IV set forth the
23 analysis for determining life and net salvage estimation.
24 Part V, Calculation of Annual and Accrued Depreciation,
25 includes the concepts of depreciation and amortization
SPANOS, DI 4
Idaho Power Company
1 using the remaining life. Part VI, Results of Study,
2 presents a description of .the results and a summary of the
3 depreciation calculations. Parts VII, VIII, and IX include
4 graphs and tables that relate to the service life and net
5 salvage analyses, and the detailed depreciation
6 calculations.
7 The table on pages VI-4 through VI-10 presents the
8 estimated survivor curve, the net salvage percent, the
9 original cost as of December 31, 2015, the book
10 depreciation reserve, and the calculated annual
11 depreciation accrual and rate for each account or
12 subaccount. The section beginning on page VII-2 presents
13 the results of the retirement rate analyses prepared as the
14 historical bases for the service life estimates. The
15 section beginning on page VIII-2 presents the results of
16 the salvage analysis. The section beginning on page IX-2
17 presents the depreciation calculations related to surviving
18 original cost as of December 31, 2015.
19 Q. Please explain how you performed your
20 depreciation study.
21 A. I used the straight line remaining life method
22 of depreciation, with the average service life procedure.
23 The annual depreciation is based on a method of
24 depreciation accounting that seeks to distribute the
25 unrecovered cost of fixed capital assets over the estimated
SPANOS, DI 5
Idaho Power Company
1 remaining useful life of each unit, or group of assets, in
2 a systematic and rational manner.
3 For General Plant accounts 391.1, 391.2, 391.21,
4 393.0, 394.0, 395.0, 397.1, 397.2, 397.3, 397.4, and 398, I
5 used the straight line remaining life method of
6 amortization. The account numbers identified throughout my
7 testimony represent those in effect as of December 31,
8 2015. The annual amortization is based on amortization
9 accounting that distributes the unrecovered cost of fixed
10 capital assets over the remaining amortization period
11 selected for each account and vintage.
12 Q. How did you determine the recommended annual
13 depreciation accrual rates?
14 A. I did this in two phases. In the first phase,
15 I estimated the service life and net salvage
16 characteristics for each depreciable group, that is, each
17 plant account or subaccount identified as having similar
18 characteristics. In the second phase, I calculated the
19 composite remaining lives and annual depreciation accrual
2 0 rates based on the service life and net salvage estimates
21 determined in the first phase.
22 Q. Please describe the first phase of the
23 depreciation study, in which you estimated the service life
24 and net salvage characteristics for each depreciable group.
25
SPANOS, DI 6
Idaho Power Company
1 A. The service life and net salvage study
2 consisted of compiling historical data from records related
3 to Idaho Power's plant, analyzing these data to obtain
4 historical trends of survivor and net salvage
5 characteristics, obtaining supplementary information from
6 the Company's management and operating personnel concerning
7 practices and plans as they relate to plant operations, and
8 interpreting the above data as well as estimates used by
9 other electric utilities to form judgments of average
10 service life and net salvage characteristics.
11 Q. What historical data did you rely on to
12 estimate service life characteristics?
13 A. I analyzed the Company's accounting entries
14 relating to plant additions, transfers, and retirements
15 recorded during the period 1946 through 2015. The Company
16 records also included surviving dollar value by year
17 installed for each plant account as of December 31, 2015.
18 Q. What method did you use to analyze this
19 service life data?
20 A. I used the retirement rate method for all
21 accounts. This is the most appropriate method when aged
22 retirement data are available, because this method
23 determines the average rates of retirement actually
24 experienced by the Company during the period of time
25 covered by the study.
SPANOS, DI 7
Idaho Power Company
1 Q. Would you explain how you used the retirement
2 rate method to analyze Idaho Power's service life data?
3
4
A. I applied the retirement rate method to each
different group of property in the study. For each
5 property group, I used the retirement rate method to form a
6 life table which, when plotted, shows an original survivor
7 curve for that property group. Each original survivor
8 curve represents the average survivor pattern experienced
9 by the several vintage groups during the experience band
10 studied. The survivor patterns do not necessarily describe
11 the life characteristics of the property group; therefore,
12 interpretation of the original survivor curves is required
13 in order to use them as valid considerations in estimating
14 service life. The Iowa-type survivor curves were used to
15 perform these interpretations.
16 Q. What is an "Iowa-type Survivor Curve" and how
17 did you use such curves to estimate the service life
18 characteristics for each property group?
19 A. Iowa-type curves are a widely used group of
20 generalized survivor curves that contain the range of
21 survivor characteristics usually experienced by utilities
22 and other industrial companies. The Iowa curves were
23 developed at the Iowa State College Engineering Experiment
24 Station through an extensive process of observing and
25 classifying the ages at which various types of property
SPANOS, DI 8
Idaho Power Company
1 used by utilities and other industrial companies have been
2 retired.
3 Iowa-type curves are used to smooth and extrapolate
4 original survivor curves determined by the retirement rate
5 method. We used Iowa curves and truncated Iowa curves in
6 this study to describe the forecasted rates of retirement
7 based on the observed rates of retirement and the outlook
8 for future retirements.
9 The estimated survivor curve designations for each
10 depreciable property group indicate the average service
11 life, the family within the Iowa system to which the
12 property group belongs, and the relative height of the
13 mode. For example, the Iowa 55-Rl.5 indicates an average
14 service life of 55 years; a right-moded, or R, type curve
15 (the mode occurs after average life for right-moded
16 curves); and a moderate height, 1.5, for the mode (possible
17 modes for R type curves range from 1 to 5).
18 Q. Did you physically observe Idaho Power's plant
19 and equipment in the field as part of your depreciation
20 study?
21 A. Yes. I made a field review of Idaho Power's
22 property on April 11 and 12, 2016, to observe
23 representative portions of plant. Field reviews are
24 conducted to become familiar with Company operations and
25 obtain an understanding of the function of the plant and
SPANOS, DI 9
Idaho Power Company
1 information with respect to the reasons for past
2 retirements and the expected future causes of retirements.
3 This knowledge as well as information from other
4 discussions with management was incorporated in the
5 interpretation and extrapolation of the statistical
6 analyses.
7 Q. What approach did you use to estimate the
8 lives of significant structures and production facilities?
9 A. I used the life span technique to estimate the
10 lives of significant facilities for which concurrent
11 retirement of the entire facility is anticipated. In this
12 technique, the survivor characteristics of such facilities
13 are described by the use of interim survivor curves and
14 estimated probable retirement dates. The interim survivor
15 curve describes the rate of retirement related to the
16 replacement of elements of the facility, such as, for a
17 building, the retirements of plumbing, heating, doors,
18 windows, roofs, etc., that occur during the life of the
19 facility. The probable retirement date provides the rate
20 of final retirement for each year of installation for the
21 facility by truncating the interim survivor curve for each
22 installation year at its attained age at the date of
23 probable retirement. The use of interim survivor curves
24 truncated at the date of probable retirement provides a
25 consistent method for estimating the lives of the several
SPANOS, DI 10
Idaho Power Company
1 years of installation for a particular facility inasmuch as
2 a single concurrent retirement for all years of
3 installation will occur when it is retired .
4 Q. Has Gannett Fleming used this approach in
5 other proceedings?
6 A. Yes, we have used the life span technique in
7 performing depreciation studies presented to many public
8 utility commissions across the United States and Canada,
9 including past studies for the Company in Idaho.
10 Q. Are the factors considered in your estimates
11 of service life and net salvage percents presented in
12 Exhibit No. 2?
13 A. Yes. A discussion of the factors considered
14 in the estimation of service lives and net salvage percents
15 are presented in Parts III and IV of Exhibit No. 2.
16 Q. Would you please explain the concept of net
17 salvage?
18 A. Net salvage is a component of the service
19 value of capital assets that is recovered through
20 depreciation rates. The service value of an asset is its
21 original cost less its net salvage. Net salvage is the
22 salvage value received for the asset upon retirement less
23 the cost to retire the asset. When the cost to retire
24 exceeds the salvage value, the result is negative net
25 salvage.
SPANOS, DI 11
Idaho Power Company
1 Inasmuch as depreciation expense is the loss in
2 service value of an asset during a defined period, e.g. one
3 year, it must include a ratable portion of both the
4 original cost and the net salvage. That is, the net
5 salvage related to an asset should be incorporated in the
6 cost-of-service during the same period as its original cost
7 so that customers receiving service from the asset pay
8 rates that include a portion of both elements of the
9 asset's service value, the original cost, and the net
10 salvage value.
11 Q. Please describe how you estimated net salvage
12 percentages.
13 A. I estimated the net salvage percentages
14 incorporating the historical data for the period 1954
15 through 2015 and considered estimates for other electric
16 companies.
17 Q. Please describe the second phase of the
18 process that you used in the depreciation study in which
19 you calculated composite remaining lives and annual
20 depreciation accrual rates.
21 A. After I estimated the service life and net
22 salvage characteristics for each depreciable property
23 group, I calculated the annual depreciation accrual rates
24 for each group based on the straight line remaining life
25 method, using remaining lives weighted consistent with the
SPANOS, DI 12
Idaho Power Company
1 average service life procedure. The calculation of annual
2 depreciation accrual rates were developed as of December
3 31, 2015.
4 Q. Please describe the straight line remaining
5 life method of depreciation.
6 A. The straight line remaining life method of
7 depreciation allocates the original cost of the property,
8 less accumulated depreciation, less future net salvage, in
9 equal amounts to each year of remaining service life.
10 Q. Please describe the average service life
11 procedure.
12 A. The average service life procedure is a method
13 for determining the remaining life annual accrual for each
14 vintage property group. Under this procedure, the rate of
15 annual depreciation is based on the average service life of
16 the group, and this rate is applied to the surviving
17 balances of the group's cost. The average remaining life
18 is derived from the area under the survivor curve between
19 the attained age of the vintage and the maximum age. The
20 future book accruals (original cost less book reserve) are
21 divided by the average remaining life of the vintage which
22 is determined by the average service life.
23
24
Q.
A.
Please describe amortization accounting.
In amortization accounting, units of property
25 are capitalized in the same manner as they are in
SPANOS, DI 13
Idaho Power Company
1 depreciation accounting. Amortization accounting is used
2 for accounts with a large number of units, but small asset
3 values; therefore, depreciation accounting is difficult for
4 these assets because periodic inventories are required to
5 properly reflect plant-in-service. Consequently,
6 retirements are recorded when a vintage is fully amortized
7 rather than as the units are removed from service. That
8 is, there is no dispersion of retirement. All units are
9 retired when the age of the vintage reaches the
10 amortization period. Each plant account or group of assets
11 is assigned a fixed period which represents an anticipated
12 life which the asset will render full benefit. For
13 example, in amortization accounting, assets that have a 20-
14 year amortization period will be fully recovered after 20
15 years of service and taken off the Company books, but not
16 necessarily removed from service. In contrast, assets that
17 are taken out of service before 20 years remain on the
18 books until the amortization period for that vintage has
19 expired.
20 Q. Amortization accounting is utilized for which
21 plant accounts?
22 A. Amortization accounting is only appropriate
23 for certain General Plant accounts. These accounts are
24 391.1, 391.2, 391.21, 393.0, 394.0, 395.0, 397.1, 397.2,
25
SPANOS, DI 14
Idaho Power Company
1 397.3, 397.4, and 398.0 which represent approximately two
2 percent of depreciable plant.
3 Q. Please use an example to illustrate the
4 development of the annual depreciation accrual rate for a
5 particular group of property in your depreciation study.
6 A. I will use Account 368.00, Line Transformers,
7 as an example because it is one of the largest depreciable
8 groups.
9 The retirement rate method was used to analyze the
10 survivor characteristics of this property group. Aged
11 plant accounting data were compiled from 1997 through 2015
12 and analyzed to best represent the overall service life of
13 this property. The life table for the 1997-2015 experience
14 band is presented on pages VII-144 and VII-145 of Exhibit
15 No. 2. The life table displays the retirement and
16 surviving ratios of the aged plant data exposed to
17 retirement by age interval. For example, page VII-144
18 shows $3,481,461 retired during age interval 1.5-2.5 with
19 $352,394,950 exposed to retirement at the beginning of the
20 interval. Consequently, the retirement ratio is 0.0099
21 ($3,481,461/$352,394,950) and the surviving ratio is 0.9901
22 (1-.0099). The percent surviving at age 1.5 of .9759
23 percent is multiplied by the survivor ratio of 99.01 to
24 derive the percent surviving at age 2.5 of 96.63 percent.
25 This process continues for the remaining age intervals for
SPANOS, DI 15
Idaho Power Company
1 which plant was exposed to retirement during the period
2 1997-2015. The resultant life table, or original survivor
3 curve, is plotted along with the estimated smooth survivor
4 curve, the 42-R0.5 on page VII-143.
5 The net salvage percent is presented on pages VIII-
6 85 through VIII-88 of Exhibit No. 2. The percentage is
7 based on the result of annual gross salvage minus the cost
8 to remove plant assets as compared to the original cost of
9 plant retired during the period 1954 through 2015. The 62-
10 year period experienced negative $12,313,187 ($4,883,317 -
11 $17,196,504) in net salvage for $114,487,672 plant retired.
12 The result is negative net salvage of 11 percent
13 ($12,313,187/$114,487,672); however, the most recent five-
14 year average is negative 28 percent. Therefore, based on
15 the statistics for this account as well as the three-year
16 rolling averages and industry averages, the recommended net
17 salvage for line transformers is negative 10 percent.
18 My calculation of the annual depreciation related to
19 original cost of Account 368.00, Line Transformers, at
20 December 31, 2015, is presented on pages IX-154 and IX-155
21 of Exhibit No. 2. The calculation is based on the 42-R0.5
22 survivor curve, the 10 negative net salvage percent, the
23 attained age, and the allocated book reserve. The
24 tabulation sets forth the installation year, the original
25 cost, calculated accrued depreciation, allocated book
SPANOS, DI 16
Idaho Power Company
1 reserve, future accruals, remaining life, and annual
2 accrual. These totals are brought forward to the table on
3 page VI-8.
4 Q. Did you perform any adjustments in order to
5 establish rates consistent with the useful life?
6 A. Yes. In order to properly implement General
7 Plant amortization and in turn establish full recovery
8 consistent with the amortization period, a reserve
9 adjustment was required. The adjustment required a
10 segregation of each General Plant account's book reserve.
11 Q. Can you explain the process required to
12 segregate the book reserve by account?
13 A. Yes. First, one must understand the objective
14 of the segregation which is performed in order to establish
15 a depreciation rate that is consistent with the
16 amortization period for assets in service today as well as
17 those expected to be added into the future. In other
18 words, a 20-year amortization period will produce a 5
19 percent rate for today's plant-in-service as well as
20 tomorrow's. Second, the actual book reserve must be equal
21 to or closely approximate to the theoretical reserve in
22 order to match retirements and plant additions consistent
23 with the theoretical recovery of the assets. Therefore,
24 with an understanding of these two components, it is
25
SPANOS, DI 17
Idaho Power Company
1 necessary to adjust the actual book reserve to match the
2 ratio of the ages of the surviving plant-in-service.
3 I will use Account 391.20, Office Furniture and
4 Equipment -EDP Equipment, as an example of the process.
5 Account 391.20 has a five-year amortization period with
6 $24,593,646 of plant-in-service as of December 31, 2015.
7 Based on the ages of the $24,593,646, the book reserve
8 should be $11,496,999 in order to produce the 20 percent
9 rate. Therefore, the current book reserve of $11,052,306
10 should be segregated into the amortizable component of
11 $11,496,999 and the unrecovered or over-recovered portion
12 of ($444,693). Since the second component is negative, it
13 is an under-recovered amount which means additional expense
14 beyond the 20 percent rate. If the segregation does not
15 occur, then the rate will be greater than 20 percent and
16 future investment will be depreciated at the higher rate
17 and not match the five-year amortization period.
18 Q. What is the total reserve adjustment required
19 for all General Plant accounts?
20 A. Exhibit No. 3 details the $7.79 million
21 General Plant reserve adjustment I am proposing in order to
22 establish rates for General Plant accounts consistent with
23 the useful life of the assets.
24 Q. In your opinion, are the depreciation rates
25 set forth in Exhibit No. 2 the appropriate rates for the
SPANOS, DI 18
Idaho Power Company
1 Idaho Commission to adopt in this proceeding for Idaho
2 Power?
3 A. Yes. These rates appropriately reflect the
4 rates at which the value of the Company's assets are being
5 consumed over their useful lives. These rates are an
6 appropriate basis for setting electric rates in this matter
7 and for the Company to use for booking depreciation and
8 amortization expense going forward.
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25
Q.
A.
Does this conclude your direct testimony?
Yes.
SPANOS, DI 19
Idaho Power Company
1 ATTESTATION OF TESTIMONY
2
3 COMMONWEALTH OF PENNSYLVANIA
4 ss.
5 County of Cumber l and
6 I, John J. Spanos, having been duly sworn to testify
7 truthfully, and based upon my personal knowledge , state the
8 following:
9 I am employed by the firm of Gannett Fleming
10 Valuation and Rate Consultants, LLC as the Senior Vice
11 President and am competent to be a witness in this
12 proceeding.
13 I declare under penalty of perjury of the laws of
14 the state of Idaho that the foregoing pre-filed testimony
15 and exhibits are true and correct to the best of my
16 information and belief.
17 DATED this i.1JA day of October 2016.
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SUBSCRIBED AND SWORN to before me this /fi'.day of
October, 2016 .
SPANOS, DI
Idaho Power Company
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-16-23
IDAHO POWER COMPANY
SPANOS, DI
TESTIMONY
EXHIBIT NO. 1
JOHN SPANOS
DEPRECIATION EXPERIENCE
Q. Please state your name.
A. My name is John J. Spanos.
Q. What is your educational background?
A. I have Bachelor of Science degrees in Industrial Management and Mathematics from
Carnegie-Mellon University and a Master of Business Administration from York College.
Q. Do you belong to any professional societies?
A. Yes. I am a member and past President of the Society of Depreciation Professionals and
a member of the American Gas Association/Edison Electric Institute Industry Accounting
Committee.
Q. Do you hold any special certification as a depreciation expert?
A. Yes. The Society of Depreciation Professionals has established national standards for
depreciation professionals. The Society administers an examination to become certified
in this field. I passed the certification exam in September 1997 and was recertified in
August 2003, February 2008 and January 2013.
Q. Please outline your experience in the field of depreciation.
A. In June, 1986, I was employed by Gannett Fleming Valuation and Rate Consultants, Inc.
as a Depreciation Analyst. During the period from June, 1986 through December, 1995, I
helped prepare numerous depreciation and original cost studies for utility companies in
various industries. I helped perform depreciation studies for the following telephone
companies: United Telephone of Pennsylvania, United Telephone of New Jersey, and
Anchorage Telephone Utility. I helped perform depreciation studies for the following
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 1 of 14
compames m the railroad industry: Union Pacific Railroad, Burlington Northern
Railroad, and Wisconsin Central Transportation Corporation.
I helped perform depreciation studies for the following organizations m the
electric utility industry: Chugach Electric Association, The Cincinnati Gas and Electric
Company (CG&E), The Union Light, Heat and Power Company (ULH&P), Northwest
Territories Power Corporation, and the City of Calgary -Electric System.
I helped perform depreciation studies for the following pipeline compames:
TransCanada Pipelines Limited, Trans Mountain Pipe Line Company Ltd.,
Interprovincial Pipe Line Inc., Nova Gas Transmission Limited and Lakehead Pipeline
Company.
I helped perform depreciation studies for the following gas utility companies:
Columbia Gas of Pennsylvania, Columbia Gas of Maryland, The Peoples Natural Gas
Company, T. W. Phillips Gas & Oil Company, CG&E, ULH&P, Lawrenceburg Gas
Company and Penn Fuel Gas, Inc.
I helped perform depreciation studies for the following water utility companies:
Indiana-American Water Company, Consumers Pennsylvania Water Company and The
York Water Company; and depreciation and original cost studies for Philadelphia
Suburban Water Company and Pennsylvania-American Water Company.
In each of the above studies, I assembled and analyzed historical and simulated
data, performed field reviews, developed preliminary estimates of service life and net
salvage, calculated annual depreciation, and prepared reports for submission to state
public utility commissions or federal regulatory agencies. I performed these studies
under the general direction of William M. Stout, P.E.
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 2 of 14
In January, 1996, I was assigned to the position of Supervisor of Depreciation
Studies. In July, 1999, I was promoted to the position of Manager, Depreciation and
Valuation Studies. In December, 2000, I was promoted to the position as Vice-President
of Gannett Fleming Valuation and Rate Consultants, Inc. and in April 2012, I was
promoted to my present position as Senior Vice President of the Valuation and Rate
Division of Gannett Fleming Inc. (now doing business as Gannett Fleming Valuation and
Rate Consultants, LLC). In my current position I am responsible for conducting all
depreciation, valuation and original cost studies, including the preparation of final
exhibits and responses to data requests for submission to the appropriate regulatory
bodies.
Since January 1996, I have conducted depreciation studies similar to those
previously listed including assignments for Pennsylvania-American Water Company;
Aqua Pennsylvania; Kentucky-American Water Company; Virginia-American Water
Company; Indiana-American Water Company; Hampton Water Works Company; Omaha
Public Power District; Enbridge Pipe Line Company; Inc.; Columbia Gas of Virginia,
Inc.; Virginia Natural Gas Company National Fuel Gas Distribution Corporation -New
York and Pennsylvania Divisions; The City of Bethlehem -Bureau of Water; The City of
Coatesville Authority; The City of Lancaster -Bureau of Water; Peoples Energy
Corporation; The York Water Company; Public Service Company of Colorado; Enbridge
Pipelines; Enbridge Gas Distribution, Inc.; Reliant Energy-HLP; Massachusetts­
American Water Company; St. Louis County Water Company; Missouri-American Water
Company; Chugach Electric Association; Alliant Energy; Oklahoma Gas & Electric
Company; Nevada Power Company; Dominion Virginia Power; NUI-Virginia Gas
Companies; Pacific Gas & Electric Company; PSI Energy; NUI -Elizabethtown Gas
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 3 of 14
Company; Cinergy Corporation -CG&E; Cinergy Corporation -ULH&P; Columbia Gas
of Kentucky; South Carolina Electric & Gas Company; Idaho Power Company; El Paso
Electric Company; Aqua North Carolina; Aqua Ohio; Aqua Texas, Inc.; Ameren
Missouri; Central Hudson Gas & Electric; Centennial Pipeline Company; CenterPoint
Energy-Arkansas; CenterPoint Energy -Oklahoma; CenterPoint Energy -Entex;
CenterPoint Energy -Louisiana; NSTAR -Boston Edison Company; Westar Energy,
Inc.; United Water Pennsylvania; PPL Electric Utilities; PPL Gas Utilities; Wisconsin
Power & Light Company; TransAlaska Pipeline; A vista Corporation; Northwest Natural
Gas; Allegheny Energy Supply, Inc.; Public Service Company of North Carolina; South
Jersey Gas Company; Duquesne Light Company; MidAmerican Energy Company;
Laclede Gas; Duke Energy Company; E.ON U.S . Services Inc.; Elkton Gas Services;
Anchorage Water and Wastewater Utility; Kansas City Power and Light; Duke Energy
North Carolina; Duke Energy South Carolina; Monongahela Power Company; Potomac
Edison Company; Duke Energy Ohio Gas; Duke Energy Kentucky; Duke Energy
Indiana; Northern Indiana Public Service Company; Tennessee-American Water
Company; Columbia Gas of Maryland; Bonneville Power Administration; NSTAR
Electric and Gas Company; EPCOR Distribution, Inc.; B. C. Gas Utility, Ltd; Entergy
Arkansas; Entergy Texas; Entergy Mississippi; Entergy Louisiana; Entergy Gulf States
Louisiana; the Borough of Hanover; Louisville Gas and Electric Company; Kentucky
Utilities Company; Madison Gas and Electric; Central Maine Power; PEPCO;
PacifiCorp; Minnesota Energy Resource Group; Jersey Central Power & Light Company;
Cheyenne Light, Fuel and Power Company; United Water Arkansas; Central Vermont
Public Service Corporation; Green Mountain Power Corporation; Portland General
Electric Company; Atlantic City Electric; Nicor Gas Company; Black Hills Power; Black
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 4 of 14
Hills Colorado Gas; Black Hills Kansas Gas; Black Hills Service Company; Black Hills
Utility Holdings; Public Service Company of Oklahoma; City of Dubois; Peoples Gas
Light and Coke Company; North Shore Gas Company; Connecticut Light and Power;
New York State Electric and Gas Corporation; Rochester Gas and Electric Corporation;
Greater Missouri Operations; Tennessee Valley Authority; Omaha Public Power District;
Indianapolis Power & Light Company; Vermont Gas Systems, Inc.; Metropolitan Edison;
Pennsylvania Electric; West Penn Power; Pennsylvania Power; PHI Service Company -
Delarva Power and Light; Atmos Energy Corporation; Citizens Energy Group; and
Alabama Gas Corporation.
My additional duties include determining final life and salvage estimates,
conducting field reviews, presenting recommended depreciation rates to management for
its consideration and supporting such rates before regulatory bodies.
Q. Have you submitted testimony to any state utility commission on the subject of
utility plant depreciation?
A. Yes. I have submitted testimony to the Pennsylvania Public Utility Commission; the
Commonwealth of Kentucky Public Service Commission; the Public Utilities
Commission of Ohio; the Nevada Public Utility Commission; the Public Utilities Board
of New Jersey; the Missouri Public Service Commission; the Massachusetts Department
of Telecommunications and Energy; the Alberta Energy & Utility Board; the Idaho
Public Utility Commission; the Louisiana Public Service Commission; the State
Corporation Commission of Kansas; the Oklahoma Corporate Commission; the Public
Service Commission of South Carolina; Railroad Commission of Texas -Gas Services
Division; the New York Public Service Commission; Illinois Commerce Commission;
the Indiana Utility Regulatory Commission; the California Public Utilities Commission;
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 5 of 14
the Federal Energy Regulatory Commission ("FERC"); the Arkansas Public Service
Commission; the Public Utility Commission of Texas; Maryland Public Service
Commission; Washington Utilities and Transportation Commission; The Tennessee
Regulatory Commission; the Regulatory Commission of Alaska; Minnesota Public Utility
Commission; Utah Public Service Commission; District of Columbia Public Service
Commission; the Mississippi Public Service Commission; Delaware Public Service
Commission; Virginia State Corporation Commission; Colorado Public Utility
Commission; Oregon Public Utility Commission; South Dakota Public Utilities
Commission; Wisconsin Public Service Commission; Wyoming Public Service
Commission; Maine Public Utility Commission; Iowa Utilities Board; Connecticut Public
Utilities Regulatory Authority; West Virginia Public Service Commission; New Mexico
Public Regulation Commission and the North Carolina Utilities Commission.
Q. Have you had any additional education relating to utility plant depreciation?
A. Yes. I have completed the following courses conducted by Depreciation Programs, Inc.:
"Techniques of Life Analysis," "Techniques of Salvage and Depreciation Analysis,"
"Forecasting Life and Salvage," "Modeling and Life Analysis Using Simulation," and
"Managing a Depreciation Study." I have also completed the "Introduction to Public
Utility Accounting" program conducted by the American Gas Association.
Q. Does this conclude your qualification statement?
A. Yes.
Exhibit No. 1
Case No. IPC-E-16-23
J. Spanos, IPC
Page 6 of 14
LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITTED TESTIMONY
Year Jurisdiction Docket No. Client Utility Subject
01. 1998 PA PUC R-00984375 City of Bethlehem -Bureau of Water Original Cost and Depreciation
02. 1998 PA PUC R-00984567 City of Lancaster Original Cost and Depreciation
03. 1999 PA PUC R-00994605 The York Water Company Depreciation
04. 2000 D.T.&E. DTE 00-105 Massachusetts-American Water Company Depreciation
05. 2001 PA PUC R-00016114 City of Lancaster Original Cost and Depreciation
06. 2001 PA PUC R-00017236 The York Water Company Depreciation
07. 2001 PA PUC R-00016339 Pennsylvania-American Water Company Depreciation
08. 2001 OH PUC 01-1228-GA-AIR Cinergy Corp -Cincinnati Gas & Elect Co. Depreciation
09. 2001 KY PSC 2001-092 Cinergy Corp -Union Light, Heat & Power Co. Depreciation
10. 2002 PA PUC R-00016750 Philadelphia Suburban Water Company Depreciation
11. 2002 KY PSC 2002-00145 Columbia Gas of Kentucky Depreciation
12. 2002 NJ BPU GF02040245 NUI Corporation/Elizabethtown Gas Co. Depreciation
13. 2002 ID PUC IPC-E-03-7 Idaho Power Company Depreciation
14. 2003 PA PUC R-0027975 The York Water Company Depreciation
15. 2003 IN URC R-0027975 Cinergy Corp -PSI Energy, Inc. Depreciation
16. 2003 PA PUC R-00038304 Pennsylvania-American Water Co. Depreciation
17. 2003 MOPSC WR-2003-0500 Missouri-American Water Co. Depreciation
18. 2003 FERC ER-03-1274-000 NSTAR-Boston Edison Company Depreciation
19. 2003 NJ BPU BPU 03080683 South Jersey Gas Company Depreciation
20. 2003 NV PUC 03-10001 Nevada Power Company Depreciation
21. 2003 LA PSC U-27676 CenterPoint Energy -Arkla Depreciation
22. 2003 PA PUC R-00038805 Pennsylvania Suburban Water Company Depreciation
23. 2004 AB En/Util Bd 1306821 EPCOR Distribution, Inc. Depreciation
24. 2004 PA PUC R-00038168 National Fuel Gas Distribution Corp (PA) Depreciation
25. 2004 PA PUC R-00049255 PPL Electric Utilities Depreciation
26. 2004 PA PUC R-00049165 The York Water Company Depreciation
27. 2004 OK Corp Cm PUC 200400187 CenterPoint Energy -Arkla Depreciation
() 28. 2004 OH PUC 04-680-EI-AIR Cinergy Corp. -Cincinnati Gas and Depreciation
Ill Electric Company VI CD z 29. 2004 RR Com of TX GUO# CenterPoint Energy -Entex Gas Services Div. Depreciation c.... 0
1J Ul -m 30. 2004 NY PUC 04-G-1047 National Fuel Gas Distribution Gas (NY) Depreciation
111-c "tlx (C Ill () :::r 31. 2004 AR PSC 04-121-U CenterPoint Energy -Arkla Depreciation ~grh~
VI ' -s.--m~ ~-c"' . .i,.. () c..> ~
LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
32. 2005 ILCC 05-North Shore Gas Company Depreciation
33. 2005 ILCC 05-Peoples Gas Light and Coke Company Depreciation
34. 2005 KY PSC 2005-00042 Union Light Heat & Power Depreciation
35. 2005 ILCC 05-0308 MidAmerican Energy Company Depreciation
36. 2005 MO PSC GF-2005 Laclede Gas Company Depreciation
37. 2005 KS CC 05-WSEE-981-RTS Westar Energy Depreciation
38. 2005 RR Com of TX GUD# CenterPoint Energy -Entex Gas Services Div. Depreciation
39. 2005 FERC Cinergy Corporation Accounting
40. 2005 OKCC PUD 200500151 Oklahoma Gas and Electric Co. Depreciation
41. 2005 MA Dept Tele-DTE 05-85 NSTAR Depreciation
com & Ergy
42. 2005 NY PUC 05-E-934/05-G-0935 Central Hudson Gas & Electric Co. Depreciation
43. 2005 AK Reg Com U-04-102 Chugach Electric Association Depreciation
44. 2005 CA PUC A05-12-002 Pacific Gas & Electric Depreciation
45. 2006 PA PUC R-00051030 Aqua Pennsylvania, Inc. Depreciation
46. 2006 PA PUC R-00051178 T.W. Phillips Gas and Oil Co. Depreciation
47. 2006 NC Util Cm. Pub. Service Co. of North Carolina Depreciation
48. 2006 PA PUC R-00051167 City of Lancaster Depreciation
49. 2006 PA PUC R00061346 Duquesne Light Company Depreciation
50. 2006 PA PUC R-00061322 The York Water Company Depreciation
51. 2006 PA PUC R-00051298 PPL GAS Utilities Depreciation
52. 2006 PUC of TX 32093 CenterPoint Energy-Houston Electric Depreciation
53. 2006 KY PSC 2006-00172 Duke Energy Kentucky Depreciation
54. 2006 SC PSC SCANA
55. 2006 AK Reg Com U-06-6 Municipal Light and Power Depreciation
56. 2006 DE PSC 06-284 Delmarva Power and Light Depreciation
57. 2006 IN URC IURC43081 Indiana American Water Company Depreciation
58. 2006 AK Reg Com U-06-134 Chugach Electric Association Depreciation
() 59. 2006 MO PSC WR-2007-0216 Missouri American Water Company Depreciation
Ill 60. 2006 IS082, ETC. AL TransAlaska Pipeline Depreciation (/) FERC CD z 61. 2006 PA PUC R-00061493 National Fuel Gas Distribution Corp. (PA) Depreciation ~? -o u, -m 62. 2007 NC Util Com. E-7 SUB 828 Duke Energy Carolinas, LLC Depreciation m-o-Ox (0 Ill () ::::r (1)::] I -· O>or;n[
0 !" _. Z __ mo
... "1J Kl . .,,. () w .....
LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
63. 2007 OH PSC 08-709-EL-AIR Duke Energy Ohio Gas Depreciation
64. 2007 PA PUC R-00072155 PPL Electric Utilities Corporation Depreciation
65. 2007 KY PSC 2007-00143 Kentucky American Water Company Depreciation
66. 2007 PA PUC R-00072229 Pennsylvania American Water Company Depreciation
67. 2007 KY PSC 2007-0008 NiSource -Columbia Gas of Kentucky Depreciation
68. 2007 NY PSC 07-G-0141 National Fuel Gas Distribution Corp (NY) Depreciation
69. 2008 AK PSC U-08-004 Anchorage Water & Wastewater Utility Depreciation
70. 2008 TN Reg Auth 08-00039 Tennessee-American Water Company Depreciation
71. 2008 DE PSC 08-96 Artesian Water Company Depreciation
72. 2008 PA PUC R-2008-2023067 The York Water Company Depreciation
73. 2008 KS CC 08-WSEEl-RTS Westar Energy Depreciation
74. 2008 IN URC 43526 Northern Indiana Public Service Co. Depreciation
75. 2008 IN URC 43501 Duke Energy Indiana Depreciation
76. 2008 MD PSC 9159 NiSource -Columbia Gas of Maryland Depreciation
77. 2008 KY PSC 2008-000251 Kentucky Utilities Depreciation
78. 2008 KY PSC 2008-000252 Louisville Gas & Electric Depreciation
79. 2008 PA PUC 2008-20322689 Pennsylvania American Water Co.-Wastewater Depreciation
80. 2008 NY PSC 08-E887 /08-00888 Central Hudson Depreciation
81. 2008 WVTC VE-080416/VG-8080417 Avista Corporation Depreciation
82. 2008 ILCC ICC-09-166 Peoples Gas, Light and Coke Co. Depreciation
83. 2009 ILCC ICC-09-167 North Shore Gas Company Depreciation
84. 2009 DC PSC 1076 Potomac Electric Power Company Depreciation
85. 2009 KY PSC 2009-00141 NiSource -Columbia Gas of Kentucky Depreciation
86. 2009 FERC ER08-1056-002 Entergy Services Depreciation
87. 2009 PA PUC R-2009-2097323 Pennsylvania American Water Co. Depreciation
88. 2009 NC Util Cm E-7, Sub 090 Duke Energy Carolinas, LLC Depreciation
89. 2009 KY PSC 2009-00202 Duke Energy Kentucky Depreciation
90. 2009 VA St. CC PU E-2009-00059 Aqua Virginia, Inc. Depreciation
() 91. 2009 PA PUC 2009-2132019 Aqua Pennsylvania, Inc. Depreciation
DI 92. 2009 MS PSC 09-Entergy Mississippi Depreciation CJ) (1) 93. 2009 AK PSC 09-08-U Entergy Arkansas Depreciation z c.... c::, 94. 2009 TX PUC 37744 Entergy Texas Depreciation 'lJ en -m DI -0 'lJ >< 95. 2009 TX PUC 37690 El Paso Electric Company Depreciation ICD1():::T CD=,•(T
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LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
96. 2009 PA PUC R-2009-2106908 The Borough of Hanover Depreciation
97. 2009 KS CC 10-KCPE-415-RTS Kansas City Power & Light Depreciation
98. 2009 PA PUC R-2009-United Water Pennsylvania Depreciation
99. 2009 OH PUC Aqua Ohio Water Company Depreciation
100. 2009 WI PSC 3270-DU-103 Madison Gas & Electric Co. Depreciation
101. 2009 MO PSC WR-2010 Missouri American Water Co. Depreciation
102. 2009 AK Reg Cm U-09-097 Chugach Electric Association Depreciation
103. 2010 IN URC 43969 Northern Indiana Public Service Co. Depreciation
104. 2010 WIPSC 6690-DU-104 Wisconsin Public Service Corp. Depreciation
105. 2010 PA PUC R-2010-2161694 PPL Electric Utilities Corp. Depreciation
106. 2010 KY PSC 2010-00036 Kentucky American Water Company Depreciation
107. 2010 PA PUC R-2009-2149262 Columbia Gas of Pennsylvania Depreciation
108. 2010 MOPSC GR-2010-0171 Laclede Gas Company Depreciation
109. 2010 SC PSC 2009-489-E South Carolina Electric & Gas Co. Depreciation
110. 2010 NJ BD OF PU ER09080664 Atlantic City Electric Depreciation
111. 2010 VA St. CC PU E-2010-00001 Virginia American Water Company Depreciation
112. 2010 PA PUC R-2010-2157140 The York Water Company Depreciation
113. 2010 MO PSC ER-2010-0356 Greater Missouri Operations Co. Depreciation
114. 2010 MOPSC ER-2010-0355 Kansas City Power and Light Depreciation
115. 2010 PA PUC R-2010-2167797 T.W. Phillips Gas and Oil Co. Depreciation
116. 2010 PSCSC 2009-489-E SCANA -Electric Depreciation
117. 2010 PA PUC R-2010-22010702 Peoples Natural Gas, LLC Depreciation
118. 2010 AK PSC 10-067-U Oklahoma Gas and Electric Co. Depreciation
119. 2010 IN URC Northern Indiana Public Serv. Co. -NIFL Depreciation
120. 2010 IN URC Northern Indiana Public Serv. Co. -Kokomo Depreciation
121. 2010 PA PUC R-2010-2166212 Pennsylvania American Water Co -WW Depreciation
122. 2010 NC Util Cn. W-218,SUB310 Aqua North Carolina, Inc. Depreciation
123. 2011 OH PUC 11-4161-WS-AIR Ohio American Water Company Depreciation
124. 2011 MS PSC EC-123-0082-00 Entergy Mississippi Depreciation
() 125. 2011 CO PUC 11AL-387E Black Hills Colorado Depreciation
D> 126. 2011 PA PUC R-2010-2215623 Columbia Gas of Pennsylvania Depreciation CJ) Cl)
z 127. 2011 PA PUC R-2010-2179103 Lancaster, City of -Bureau of Water Depreciation c.... 0 "1J . . 128. 2011 IN URC 43114 IGCC 4S Duke Energy Indiana Depreciation D>C/l-m IC 'O "1J >< 2011 ISll-146-000 Enbridge Pipelines (Southern Lights) Depreciation Cl) D> () :::r 129. FERC __ :::, mer
Q ~ I ;:;.:
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LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
130. 2011 II CC 11-0217 MidAmerican Energy Corporation Depreciation
131. 2011 OKCC 201100087 Oklahoma Gas & Electric Co. Depreciation
132. 2011 PA PUC 2011-2232243 Pennsylvania American Water Company Depreciation
133. 2011 FERC 2011-2232243 Carolina Gas Transmission Depreciation
134. 2012 WAUTC UE-120436/UG-120437 Avista Corporation Depreciation
135. 2012 AK Reg Cm U-12-009 Chugach Electric Association Depreciation
136. 2012 MA PUC DPU 12-25 Columbia Gas of Massachusetts Depreciation
137. 2012 TX PUC 40094 El Paso Electric Company Depreciation
138. 2012 ID PUC IPC-E-12 Idaho Power Company Depreciation
139. 2012 PA PUC R-2012-2290597 PPL Electric Utilities Depreciation
140. 2012 PA PUC R-2012-2311725 Hanover, Borough of -Bureau of Water Depreciation
141. 2012 KY PSC 2012-00222 Louisville Gas and Electric Company Depreciation
142. 2012 KY PSC 2012-00221 Kentucky Utilities Company Depreciation
143. 2012 PA PUC R-2012-2285985 Peoples Natural Gas Company Depreciation
144. 2012 DC PSC Case 1087 Potomac Electric Power Company ... Depreciation
145. 2012 OH PSC 12-1682-EL-AIR Duke Energy Ohio (Electric) Depreciation
146. 2012 OH PSC 12-1685-GA-AIR Duke Energy Ohio (Gas) Depreciation
147. 2012 PA PUC R-2012-2310366 Lancaster, City of -Sewer Fund Depreciation
148. 2012 PA PUC R-2012-2321748 Columbia Gas of Pennsylvania Depreciation
149. 2012 FERC ER-12-2681-000 ITC Holdings Depreciation
150. 2012 MOPSC ER-2012-0174 Kansas City Power and Light Depreciation
151. 2012 MO PSC ER-2012-0175 KCPL Greater Missouri Operations Co. Depreciation
152. 2012 MOPSC G0-2012-0363 Laclede Gas Company Depreciation
153. 2012 MN PUC G007,001/D-12-533 Integrys -MN Energy Resource Group Depreciation
153. 2012 TX PUC Aqua Texas Depreciation
155. 2012 PA PUC 2012-2336379 York Water Company Depreciation
156. 2013 NJ BPU ER12121071 PHI Service Co.-Atlantic City Electric Depreciation
157. 2013 KY PSC 2013-00167 Columbia Gas of Kentucky Depreciation
158. 2013 VA St CC 2013-00020 Virginia Electric and Power Co. Depreciation
() 159. 2013 IA Util Bd 2013-0004 MidAmerican Energy Corporation Depreciation
Ill 160. 2013 PA PUC 2013-2355276 Pennsylvania American Water Co. Depreciation V> (1)
z 161. 2013 NY PSC 13-E-0030, 13-G-0031, Consolidated Edison of New York Depreciation C-0 "O . . 13-5-0032 11> ui -m co "O "O )( 162. Peoples TWP LLC (1) Ill () :::r 2013 PA PUC 2013-2355886 Depreciation .-.::J n,cr
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LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
163. 2013 TN Reg Auth 12-0504 Tennessee American Water Depreciation
164. 2013 ME PUC 2013-168 Central Maine Power Company Depreciation
165. 2013 DC PSC Case 1103 PHI Service Co. -PEPCO Depreciation
166. 2013 WYPSC 2003-ER-13 Cheyenne Light, Fuel and Power Co. Depreciation
167. 2013 FERC ERB--0000 Kentucky Utilities Depreciation
168. 2013 FERC ERB--0000 MidAmerican Energy Company Depreciation
169. 2013 FERC ERB--0000 PPL Utilities Depreciation
170. 2013 PA PUC R-2013-2372129 Duquesne Light Company Depreciation
171. 2013 NJ BPU ER12111052 Jersey Central Power and Light Co. Depreciation
172. 2013 PA PUC R-2013-2390244 Bethlehem, City of -Bureau of Water Depreciation
173. 2013 OKCC UM 1679 Oklahoma, Public Service Company of Depreciation
174. 2013 ILCC 13-0500 Nicor Gas Company Depreciation
175. 2013 WYPSC 20000-427-EA-13 PacifiCorp Depreciation
176. 2013 UT PSC 13-035-02 PacifiCorp Depreciation
177. 2013 OR PUC UM 1647 PacifiCorp Depreciation
178. 2013 PA PUC 2013-2350509 Dubois, City of Depreciation
179. 2014 ILCC 14-0224 North Shore Gas Company Depreciation
180. 2014 FERC ER14-Duquesne Light Company Depreciation
181. 2014 SD PUC EL14-026 Black Hills Power Company Depreciation
182. 2014 WYPSC 20002-91-ER-14 Black Hills Power Company Depreciation
183. 2014 PA PUC 2014-2428304 Hanover, Borough of -Municipal Water Works Depreciation
184. 2014 PA PUC 2014-2406274 Columbia Gas of Pennsylvania Depreciation
185. 2014 ILCC 14-0225 Peoples Gas Light and Coke Company Depreciation
186. 2014 MO PSC ER-2014-0258 Ameren Missouri Depreciation
187. 2014 KS CC 14-BHCG-502-RTS Black Hills Service Company Depreciation
188. 2014 KS CC 14-BHCG-502-RTS Black Hills Utility Holdings Depreciation
189. 2014 KS CC 14-BHCG-502-RTS Black Hills Kansas Gas Depreciation
190. 2014 PA PUC 2014-2418872 Lancaster, City of -Bureau of Water Depreciation
191. 2014 WVPSC 14-0701-E-D First Energy-MonPow_er/PotomacEdison Depreciation
() 192 2014 VA St CC PUC-2014-00045 Aqua Virginia Depreciation
D> 193. 2014 VA St CC PUE-2013 Virginia American Depreciation (/j CD z 194. 2014 OKCC PUD201400229 Oklahoma Gas and Electric Depreciation c.... 0 "O . . 195. 2014 OR PUC UM1679 Portland General Electric Depreciation 0> cn-m <C -0 "O X CD D> () ::7 196. 2014 IN URC Cause No. 44576 Indianapolis Power & Light Depreciation Ng m§':
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',
LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Year Jurisdiction Docket No. Client Utility Subject
197. 2014 MADPU DPU. 14-150 NSTAR Gas Depreciation
198. 2014 CT PURA 14-05-06 Connecticut Light and Power Depreciation
199. 2014 MO PSC ER-2014-0370 Kansas City Power & Light Depreciation
200. 2014 KY PSC 2014-00371 Kentucky Utilities Company Depreciation
201. 2014 KY PSC 2014-00372 Louisville Gas and Electric Company Depreciation
202. 2015 PA PUC R-2015-2462723 United Water Pennsylvania Inc. Depreciation
203. 2015 PA PUC R-2015-2468056 Columbia Gas of Pennsylvania Depreciation
204. 2015 NY PSC 15-E-0283/15-G-0284 New York State Electric and Gas Corporation Depreciation
205. 2015 NY PSC 15-E-0285/15-G-0286 Rochester Gas and Electric Corporation Depreciation
206. 2015 MO PSC WR-2015-0301/SR-2015-0302 Missouri American Water Company Depreciation
207. 2015 OKCC PUD 201500208 Oklahoma, Public Service Company of Depreciation
208. 2015 WVPSC 15-0676-W-42T West Virginia American Water Company Depreciation
209. 2015 PA PUC 2015-2469275 PPL Electric Utilities Depreciation
210. 2015 IN URC Cause No. 44688 Northern Indiana Public Service Company Depreciation
211. 2015 OH PSC 14-1929-EL-RDR First Energy-Ohio Edison/Cleveland Electric/ Depreciation
Toledo Edison
212. 2015 NM PRC 15-00127-UT El Paso Electric Depreciation
213. 2015 TX PUC PUC-44941; SOAH 473-15-5257 El Paso Electric Depreciation
214. 2015 WI PSC 3370-DU-104 Madison Gas and Electric Company Depreciation
215. 2015 OKCC PUD 201500273 Oklahoma Gas and Electric Depreciation
216. 2015 KY PSC Doc. No. 2015-00418 Kentucky American Water Company Depreciation
217. 2015 NC UC Doc. No. G-5, Sub 565 Public Service Company of North Carolina Depreciation
218. 2016 WAUTC Puget Sound Energy Depreciation
219. 2016 NY PSC Case No. 16-W-0130 Suez Water New York, Inc. Depreciation
220. 2016 MOPSC ER-2016-0156 KCPL -Greater Missouri Depreciation
221. 2016 WI PSC Wisconsin Public Service Commission Depreciation
222. 2016 KY PSC Case No. 2016-00026 Kentucky Utilities Company Depreciation
223. 2016 KY PSC Case No. 2016-00027 Louisville Gas and Electric Company Depreciation
224. 2016 OH PUC Aqua Ohio Depreciation
() 225. 2016 MDPSC Case 9417 Columbia Gas of Maryland Depreciation
D> 226. 2016 KY PSC 2016-00162 Columbia Gas of Kentucky Depreciation (/) (I)
z 227. 2016 DE PSC 16-0649 Delmarva Power and Light Co. -Gas Depreciation
'-0 "'O . . 228. 2016 DE PSC 16-0650 Delmarva Power and Light Co. -Electric Depreciation D>cn-m (C "O "'O )(
(I) D> () ::::r 229. 2016 NY PSC Case 16-G-0257 National Fuel Gas Distribution Corp -NY Div Depreciation _.:::, n, CT (.,,) Q I ;::::.: 0 _f/l _. Z --Ola ... ,J ~ . .,,. () c..> ......
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z <... 0 "'O .. lllcn-m ta-o "'Ox (1) Ill () ::,--;" 6 n,Q". -(/II~ 0 -_. Z --mo ~,:,~. ~ow .....
230.
231.
232.
233.
234.
235.
236.
237.
238.
Year Jurisdiction
2016 PA PUC
2016 PA PUC
2016 PA PUC
2016 PA PUC
2016 PA PUC
2016 KY PSC
2016 MO PSC
2016 AR PSC
2016 PSCW
LIST OF CASES IN WHICH JOHN J. SPANOS SUBMITIED TESTIMONY, cont.
Docket No. Client Utility Subject
R-2016-2537349 Metropolitan Edison Company Depreciation
R-2016-2537352 Pennsylvania Electric Company Depreciation
R-2016-2537355 Pennsylvania Power Company Depreciation
R-2016-2537359 West Penn Power Company Depreciation
R-2016-2529660 Columbia Gas of PA Depreciation
Case No. 2016-00063 Kentucky Utilities/ Louisville Gas & Electric Co Depreciation
ER-2016-0285 KCPL Missouri Depreciation
16-052-U Oklahoma Gas & Electric Co Depreciation
6680-DU-104 Wisconsin Power and Light Depreciation
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-16-23
IDAHO POWER COMPANY
SPANOS, DI
TESTIMONY
EXHIBIT NO. 2
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-16-23
IDAHO POWER COMPANY
SPANOS, -DI
TESTIMONY
EXHIBIT NO. 3
()
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391.1
391 .2
391.21
393
394
395
397.1
397.2
397.3
397.4
398
IDAHO POWER COMPANY
GENERAL PLANT RESERVE ADJUSTMENT BY ACCOUNT
AS OF DECEMBER 31, 2015
ACCOUNT
ELECTRIC PLANT
UNRECOVERED RESERVE ADJUSTMENT FOR AMORTIZATION
OFFICE FURNITURE & EQUIPMENT -FURNITURE
OFFICE FURNITURE & EQUIPMENT -EDP EQUIPMENT
OFFICE FURNITURE & EQUIPMENT -EDP EQUIPMENT
STORES EQUIPMENT
TOOLS, SHOP AND GARAGE EQUIPMENT
LABORATORY EQUIPMENT
COMMUNICATION EQUIPMENT -TELEPHONES
COMMUNICATION EQUIPMENT -MICROWAVE
COMMUNICATION EQUIPMENT -RADIO
COMMUNICATION EQUIPMENT -FIBER OPTIC
MISCELLANEOUS EQUIPMENT
TOTAL UNRECOVERED RESERVE FOR AMORTIZATION
BOOK
DEPRECIATION
RESERVE
$ (444,693.00)
$ (3,170,731 .00)
$ (724 ,666.00)
$ 44,326.00
$ 16,217.00
$ 18,092.00
$ 99,412.00
$ (2,532,909.00)
$ (322,619.00)
$ (1 ,051 ,341 .00)
$ 282,248.00
$ (7,786,664.00)
I