20150601Andrews Exhibit 12.pdf

DAVID J. MEYER
VICE PRESIDENT AND CHIEF COUNSEL FOR
REGULATORY & GOVERNMENTAL AFFAIRS
AVISTA CORPORATION
P.O. BOX 3727
1411 EAST MISSION AVENUE
SPOKANE, WASHINGTON 99220-3727
TELEPHONE: [phone]
FACSIMILE: [phone]
[e-mail]

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION ) CASE NO. AVU-E-15-05
OF AVISTA CORPORATION FOR THE ) CASE NO. AVU-G-15-01
AUTHORITY TO INCREASE ITS RATES )
AND CHARGES FOR ELECTRIC AND )
NATURAL GAS SERVICE TO ELECTRIC ) EXHIBIT NO. 12
AND NATURAL GAS CUSTOMERS IN THE )
STATE OF IDAHO )ELIZABETH M. ANDREWS
)

FOR AVISTA CORPORATION

(ELECTRIC AND NATURAL GAS)

AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
WITH PRESENT RATES WITH 2016 PROPOSED RATES
Actual Per Proposed Pro Forma
Line Results Total Pro Forma Revenues &Proposed
No.DESCRIPTION Report Adjustments Total Related Exp Total
a b c d e f
REVENUES
1 Total General Business $248,296 ($3,561)$244,735 $13,230 $257,965
2 Interdepartmental Sales 242 - 242 242
3 Sales for Resale 53,248 (29,682) 23,566 23,566
4 Total Sales of Electricity 301,786 (33,243) 268,543 13,230 281,773
5 Other Revenue 32,370 (23,557) 8,813 8,813
6 Total Electric Revenue 334,156 (56,800) 277,356 13,230 290,586
EXPENSES
Production and Transmission
7 Operating Expenses 103,040 (30,748) 72,292 72,292
8 Purchased Power 69,765 (30,537) 39,228 39,228
9 Depreciation/Amortization 13,013 1,437 14,450 14,450
10 Regulatory Amortization (4,739) 7,282 2,543 2,543
11 Taxes 7,004 1,054 8,058 8,058
12 Total Production & Transmission 188,083 (51,512) 136,571 - 136,571
Distribution
13 Operating Expenses 11,353 600 11,953 11,953
14 Depreciation/Amortization 14,470 1,259 15,729 15,729
15 Taxes 6,312 (3,137) 3,175 3,175
16 State Income Taxes 378 1,071 1,449 644 2,093
17 Total Distribution 32,513 (207) 32,306 644 32,950
18 Customer Accounting 4,283 144 4,427 45 4,472
19 Customer Service & Information 7,127 (6,521) 606 606
20 Sales Expenses - 0 0 0
Administrative & General
21 Operating Expenses 21,959 1,871 23,830 31 23,861
22 Depreciation/Amortization 7,478 6,391 13,869 13,869
23 Taxes - - - -
24 Total Admin. & General 29,437 8,262 37,699 31 37,730
25 Total Electric Expenses 261,443 (49,834) 211,609 720 212,329
26 OPERATING INCOME BEFORE FIT 72,713 (6,966) 65,747 12,510 78,257
FEDERAL INCOME TAX
27 Current Accrual (5,057) (338) (5,395) 4,379 (1,016)
28 Debt Interest - (796) (796) (796)
29 Deferred Income Taxes 24,290 (1,209) 23,081 23,081
30 Amortized Investment Tax Credit (69) (35) (104) (104)
31 NET OPERATING INCOME $53,549 ($4,589)$48,960 $8,131 $57,091
RATE BASE
PLANT IN SERVICE
32 Intangible $50,926 $29,469 $80,395 $80,395
33 Production 406,891 51,457 458,348 458,348
34 Transmission 202,857 25,793 228,650 228,650
35 Distribution 474,621 43,470 518,091 518,091
36 General 98,443 10,073 108,516 108,516
37 Total Plant in Service 1,233,738 160,262 1,394,000 - 1,394,000
ACCUMULATED DEPRECIATION
38 Intangible (9,325) (8,003) (17,328) (17,328)
39 Production (177,530) (12,886) ($190,416)(190,416)
40 Transmission (67,552) (3,002) (70,554) (70,554)
41 Distribution (158,170) (26,332) (184,502) (184,502)
42 General (33,980) (4,041) (38,021) (38,021)
43 Total Accumulated Depreciation (446,557) (54,264) (500,821) - (500,821)
44 NET PLANT BEFORE DFIT 787,181 105,998 893,179 - 893,179
45 DEFERRED TAXES (131,234) (35,049) (166,283) (166,283)
46 NET PLANT AFTER DFIT 655,947 70,949 726,896 - 726,896
47 DEFERRED DEBITS AND CREDITS (134) (545) (679) (679)
48 WORKING CAPITAL 8,276 14,732 23,008 23,008
49 TOTAL RATE BASE $664,089 $85,136 $749,225 $0 $749,225
50 RATE OF RETURN 8.06%6.53%7.62%
2016
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 1 of 11

AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
WITH PRESENT RATES WITH 2017 PROPOSED RATES
2016 2017 2017 2016 Proposed 2017 Proposed 2017 Pro Forma
Line Pro Forma Total Pro Forma Revenues &Revenues &Proposed
No.DESCRIPTION Total Adjustments Total Related Exp Related Exp Total
a b c d e f g
REVENUES
1 Total General Business $244,735 $0 $244,735 $13,230 $13,713 $271,678
2 Interdepartmental Sales 242 - 242 242
3 Sales for Resale 23,566 (5,489) 18,077 18,077
4 Total Sales of Electricity 268,543 (5,489) $263,054 13,230 13,713 289,997
5 Other Revenue 8,813 775 9,588 9,588
6 Total Electric Revenue 277,356 (4,714) 272,642 13,230 13,713 299,585
EXPENSES
Production and Transmission
7 Operating Expenses 72,292 799 73,091 73,091
8 Purchased Power 39,228 2,782 42,010 42,010
9 Depreciation/Amortization 14,450 573 15,023 15,023
10 Regulatory Amortization 2,543 - 2,543 2,543
11 Taxes 8,058 624 8,682 8,682
12 Total Production & Transmission 136,571 4,778 141,349 - - 141,349
Distribution
13 Operating Expenses 11,953 139 12,092 12,092
14 Depreciation/Amortization 15,729 646 16,375 16,375
15 Taxes 3,175 299 3,474 3,474
16 State Income Taxes 1,449 (570) 879 644 668 2,191
17 Total Distribution 32,306 514 32,819 644 668 34,131
18 Customer Accounting 4,427 52 4,479 45 47 4,571
19 Customer Service & Information 606 6 612 612
20 Sales Expenses - 0 0 0
Administrative & General
21 Operating Expenses 23,830 190 24,020 31 33 24,084
22 Depreciation/Amortization 13,869 887 14,756 14,756
23 Taxes - - - -
24 Total Admin. & General 37,699 1,077 38,776 31 33 38,840
25 Total Electric Expenses 211,609 6,427 218,036 720 748 219,504
26 OPERATING INCOME BEFORE FIT 65,747 (11,141) 54,606 12,510 12,965 80,081
FEDERAL INCOME TAX
27 Current Accrual (5,395) (3,899) (9,294) 4,379 4,537 (378)
28 Debt Interest (796) (166) (961) (961)
29 Deferred Income Taxes 23,081 - 23,081 23,081
30 Amortized Investment Tax Credit (104) - (104) (104)
31 NET OPERATING INCOME $48,960 ($7,076)$41,884 $8,131 $8,428 $58,443
RATE BASE
PLANT IN SERVICE
32 Intangible $80,395 $3,053 $83,448 $83,448
33 Production 458,348 15,549 473,897 473,897
34 Transmission 228,650 14,330 242,980 242,980
35 Distribution 518,091 21,416 539,507 539,507
36 General 108,516 1,014 109,530 109,530
37 Total Plant in Service 1,394,000 55,362 1,449,362 - - 1,449,362
ACCUMULATED DEPRECIATION
38 Intangible (17,328) (7,138) (24,466) (24,466)
39 Production (190,416) (7,788) (198,204) (198,204)
40 Transmission (70,554) (2,133) (72,687) (72,687)
41 Distribution (184,502) (14,545) (199,047) (199,047)
42 General (38,021) (1,156) (39,177) (39,177)
43 Total Accumulated Depreciation (500,821) (32,760) (533,581) - - (533,581)
44 NET PLANT BEFORE DFIT 893,179 22,602 915,781 - - 915,781
45 DEFERRED TAXES (166,283) (4,856) (171,139) (171,139)
46 NET PLANT AFTER DFIT 726,896 17,746 744,642 - - 744,642
47 DEFERRED DEBITS AND CREDITS (679) - (679) (679)
48 WORKING CAPITAL 23,008 - 23,008 23,008
49 TOTAL RATE BASE $749,225 17,746 $766,971 $0 $0 $766,971
50 RATE OF RETURN 6.53%5.46%7.62%
2017
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 2 of 11
AVISTA UTILITIES
Calculation of General Revenue Requirement
Idaho - Electric System
TWELVE MONTHS ENDED DECEMBER 31, 2014
Incremental
2016 2017 2017
Line (000's of (000's of (000's of
No.Description Dollars)Dollars)Dollars)
1 Pro Forma Rate Base $749,225 $766,971
2 Proposed Rate of Return 7.62%7.62%
3 Net Operating Income Requirement $57,091 $58,443
4 Pro Forma Net Operating Income $48,960 $41,884
5 Net Operating Income Deficiency $8,131 $16,559 $8,428
6 Conversion Factor 0.61459 0.61459 0.61459
7 Revenue Requirement $13,230 $26,943 $13,713
8 Total General Business Revenues $244,977 $258,207
9 Percentage Revenue Increase 5.40%5.31%
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 3 of 11
Proposed:
ProForma
Capital ProForma Weighted
Component Structure Cost Cost
Total Debt 50.00%5.34%2.67%
Common 50.00%9.90%4.95%
Total 100.00%7.62%
AVISTA UTILITIES
Pro Forma Cost of Capital
Idaho - Electric System
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 4 of 11
Line
No.Description Factor
1 Revenues 1.000000
Expenses:
2 Uncollectibles 0.003407
3 Commission Fees 0.002371
4 Idaho Income Tax 0.048695
5 Total Expenses 0.054473
6 Net Operating Income Before FIT 0.945527
7 Federal Income Tax @ 35%0.330934
8 REVENUE CONVERSION FACTOR 0.61459
AVISTA UTILITIES
Revenue Conversion Factor
Idaho - Electric System
TWELVE MONTHS ENDED DECEMBER 31, 2014
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 5 of 11
AVISTA UTILITIES Rate Year Ending December 31, 2016
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Results of Deferred Deferred Restate Working Eliminate
Line Operations FIT Debits and Capital Capital B & O
No.DESCRIPTION Rate Base Credits 2014 EOP Taxes
Adjustment Number 1.00 1.01 1.02 1.03 1.04 2.01
Workpaper Reference E-ROO E-DFIT E-DDC E-RCAP E-WC E-EBO
REVENUES
1 Total General Business $248,296 $0 $0 $0 $0 ($3,378)
2 Interdepartmental Sales 242 - 0 - - 0
3 Sales for Resale 53,248 - 0 - - 0
4 Total Sales of Electricity 301,786 0 0 0 0 (3,378)
5 Other Revenue 32,370 - 0 - - 0
6 Total Electric Revenue 334,156 0 0 0 0 (3,378)
EXPENSES
Production and Transmission
7 Operating Expenses 103,040 - 515 - - 0
8 Purchased Power 69,765 - - - 0
9 Depreciation/Amortization 13,013 - 0 - - 0
10 Regulatory Amortization (4,739)- (867)- - 0
11 Taxes 7,004 - 0 - - 0
12 Total Production & Transmission 188,083 0 (352)0 0 0
Distribution
13 Operating Expenses 11,353 - 0 - - 0
14 Depreciation/Amortization 14,470 - 0 - - 0
15 Taxes 6,312 - 0 - - (3,368)
16 State Income Taxes 0.048695 378 - 17 0 0 (0)
17 Total Distribution 32,513 0 17 0 0 (3,368)
18 Customer Accounting 4,283 - 0 - - 0
19 Customer Service & Information 7,127 - 0 - - 0
20 Sales Expenses 0 - 0 - - 0
Administrative & General
21 Operating Expenses 21,959 - 0 - - 0
22 Depreciation/Amortization 7,478 - 0 - - 0
23 Taxes 0 - 0 - - 0
24 Total Admin. & General 29,437 0 0 0 0 0
25 Total Electric Expenses 261,443 0 (335)0 0 (3,368)
26 OPERATING INCOME BEFORE FIT 72,713 0 335 0 0 (10)
FEDERAL INCOME TAX
27 Current Accrual (5,057)- 117 - - (3)
28 Debt Interest 0 49 5 (2) (138) 0
29 Deferred Income Taxes 24,290 - 0 - - 0
30 Amortized ITC (69)- 0 - - 0
31 NET OPERATING INCOME $53,549 ($49)$213 $2 $138 ($6)
RATE BASE
PLANT IN SERVICE
32 Intangible $50,926 $0 $0 $1,445 $0 $0
33 Production 406,891 - 0 6,010 - 0
34 Transmission 202,857 - 0 9,948 - 0
35 Distribution 474,621 - 0 11,856 - 0
36 General 98,443 - 0 2,210 - 0
37 Total Plant in Service 1,233,738 - - 31,469 - -
ACCUMULATED DEPRECIATION/AMORT
38 Intangible (9,325)- 0 248 - 0
39 Production (177,530)- 0 (2,451) - 0
40 Transmission (67,552)- 0 (609) - 0
41 Distribution (158,170)- 0 (5,987) - 0
42 General (33,980)- 0 (229) - 0
43 Total Accumulated Depreciation (446,557) - - (9,028) - -
44 NET PLANT 787,181 - - 22,441 - -
45 DEFERRED TAXES (131,234) (5,200) - (22,215) - -
46 Net Plant After DFIT 655,947 (5,200) - 226 - -
47 DEFERRED DEBITS AND CREDITS (134) - (545) - - -
48 WORKING CAPITAL 8,276 - - - 14,732 -
49 TOTAL RATE BASE $664,089 ($5,200)($545)226 14,732 $0
50 RATE OF RETURN 8.06%0
50 REVENUE REQUIREMENT (4,792) (566) (413) 25 1,603 10
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 6 of 11
AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjustment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Interdepartmental Sales
3 Sales for Resale
4 Total Sales of Electricity
5 Other Revenue
6 Total Electric Revenue
EXPENSES
Production and Transmission
7 Operating Expenses
8 Purchased Power
9 Depreciation/Amortization
10 Regulatory Amortization
11 Taxes
12 Total Production & Transmission
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Taxes
24 Total Admin. & General
25 Total Electric Expenses
26 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
27 Current Accrual
28 Debt Interest
29 Deferred Income Taxes
30 Amortized ITC
31 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
32 Intangible
33 Production
34 Transmission
35 Distribution
36 General
37 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
38 Intangible
39 Production
40 Transmission
41 Distribution
42 General
43 Total Accumulated Depreciation
44 NET PLANT
45 DEFERRED TAXES
46 Net Plant After DFIT
47 DEFERRED DEBITS AND CREDITS
48 WORKING CAPITAL
49 TOTAL RATE BASE
50 RATE OF RETURN
50 REVENUE REQUIREMENT
Uncollectible Regulatory Injuries FIT/DFIT SIT/SITC Revenue Miscellaneous
Expense Expense and ITC/PTC Expense Normalization Restating
Damages Expense
2.02 2.03 2.04 2.05 2.06 2.07 2.08
E-UE E-RE E-ID E-FIT E-SIT E-RN E-MR
$0 $0 $0 $0 $0 ($2,467)$0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 0 0 (2,467)0
0 0 0 - - 7,503 0
0 0 0 0 0 5,036 0
0 0 0 - - (722) 0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - 5,763 0
0 0 0 - - - 0
0 0 0 0 0 5,041 0
0 0 0 - - - (2)
0 0 0 - - - 0
0 0 0 - - - 0
5 3 3 - 1,281 319 (4)
5 3 3 0 1,281 319 (6)
(99)0 0 - - (8) 0
0 0 0 - - (6,550) (1)
0 0 0 - - - 0
0 (56)(57)- - (6) 79
0 0 0 - - - 0
0 0 0 - - - 0
0 (56)(57)0 0 (6)79
(94)(53)(54)0 1,281 (1,204)72
94 53 54 0 (1,281)6,240 (72)
33 19 19 6 - 2,184 (25)
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - (35) - 0
$61 $35 $35 ($6)($1,246)$4,056 ($47)
$0 $0 $0 $0 $0 $0 $0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - - 0
- - - - - - -
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - - 0
0 0 0 - - - 0
- - - - - - -
- - - - - - -
- - - - - - -
- - - - - - -
- - - - - - -
- - - - - - -
$0 $0 $0 $0 $0 $0 $0
(100) (56) (57) 10 2,027 (6,600) 76
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 7 of 11
AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjustment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Interdepartmental Sales
3 Sales for Resale
4 Total Sales of Electricity
5 Other Revenue
6 Total Electric Revenue
EXPENSES
Production and Transmission
7 Operating Expenses
8 Purchased Power
9 Depreciation/Amortization
10 Regulatory Amortization
11 Taxes
12 Total Production & Transmission
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Taxes
24 Total Admin. & General
25 Total Electric Expenses
26 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
27 Current Accrual
28 Debt Interest
29 Deferred Income Taxes
30 Amortized ITC
31 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
32 Intangible
33 Production
34 Transmission
35 Distribution
36 General
37 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
38 Intangible
39 Production
40 Transmission
41 Distribution
42 General
43 Total Accumulated Depreciation
44 NET PLANT
45 DEFERRED TAXES
46 Net Plant After DFIT
47 DEFERRED DEBITS AND CREDITS
48 WORKING CAPITAL
49 TOTAL RATE BASE
50 RATE OF RETURN
50 REVENUE REQUIREMENT
Restate ID Nez Perce CS2 Colstrip /Restate
Incentives PCA Settlement Levelized CS2 Debt Restated
Adjustment Maintenance Interest TOTAL
2.09 2.10 2.11 2.12 2.13 2.14 R-Ttl
E-RI E-PCA E-NPS E-CS2 E-CCOM E-RDI
$0 $2,284 $0 $0 $0 $0 $244,735
- - 0 0 0 0 242
- - 0 0 0 0 53,248
0 2,284 0 0 0 0 298,225
- - 0 0 0 0 39,873
0 2,284 0 0 0 0 338,098
- 3,862 (13)0 0 0 106,682
- - 0 0 0 0 69,765
- - 0 0 0 0 13,013
- - 0 (409)2,758 0 2,506
- - 0 0 0 0 7,004
0 3,862 (13)(409)2,758 0 198,970
- - 0 0 0 0 11,351
- - 0 0 0 0 14,470
- - 0 0 0 0 2,944
25 - 1 20 (134)- 1,912
25 0 1 20 (134)0 30,677
- 6 0 0 0 0 4,182
- - 0 0 0 0 576
- - 0 0 0 0 -
(509) 5 0 0 0 0 21,415
- - 0 0 0 0 7,478
- - 0 0 0 0 -
(509)5 0 0 0 0 28,893
(484)3,873 (12)(389)2,624 0 263,298
484 (1,589)12 389 (2,624)0 74,800
169 796 4 (7)(918)437 (2,226)
- - 0 0 0 0 (86)
- (1,352) 0 143 0 0 23,081
- - 0 0 0 0 (104)
$315 ($1,033)$8 $253 ($1,705)($437)54,135
$0 $0 $0 $0 $0 $0 $52,371
- - 0 0 0 0 412,901
- - 0 0 0 0 212,805
- - 0 0 0 0 486,477
- - 0 0 0 0 100,653
- - - - - - 1,265,207
- - 0 0 0 0 (9,077)
- - 0 0 0 0 (179,981)
- - 0 0 0 0 (68,161)
- - 0 0 0 0 (164,157)
- - 0 0 0 0 (34,209)
- - - - - - (455,585)
- - - - - - 809,622
- - - - - - (158,649)
- - - - - - 650,973
- - - - - - (679)
- - - - - - 23,008
$0 $0 $0 $0 $0 $0 $673,302
8.04%
(512) 1,681 (13) (412) 2,775 711 (4,604)
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 8 of 11
AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjustment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Interdepartmental Sales
3 Sales for Resale
4 Total Sales of Electricity
5 Other Revenue
6 Total Electric Revenue
EXPENSES
Production and Transmission
7 Operating Expenses
8 Purchased Power
9 Depreciation/Amortization
10 Regulatory Amortization
11 Taxes
12 Total Production & Transmission
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Taxes
24 Total Admin. & General
25 Total Electric Expenses
26 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
27 Current Accrual
28 Debt Interest
29 Deferred Income Taxes
30 Amortized ITC
31 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
32 Intangible
33 Production
34 Transmission
35 Distribution
36 General
37 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
38 Intangible
39 Production
40 Transmission
41 Distribution
42 General
43 Total Accumulated Depreciation
44 NET PLANT
45 DEFERRED TAXES
46 Net Plant After DFIT
47 DEFERRED DEBITS AND CREDITS
48 WORKING CAPITAL
49 TOTAL RATE BASE
50 RATE OF RETURN
50 REVENUE REQUIREMENT
Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma
Power Transmission Labor Labor Employee Insurance Property IS/IT
Supply Rev/Exp Non-Exec Exec Benefits Tax Costs
3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08
E-PPS E-PTR E-PLN E-PLE E-PEB E-PI E-PPT E-ISIT
$0 $0 $0 $0 $0 $0 $0 $0
- - - - - 0 0 0
(29,682) - - - - 0 0 0
(29,682)0 0 0 0 0 0 0
(31,178) 118 - - - 0 0 0
(60,860)118 0 0 0 0 0 0
(35,663) 149 436 (8) 632 0 0 0
(30,537) - - - - 0 0 0
- - - - - 0 0 0
0 0
- - - - - 0 1,054 0
(66,200)149 436 (8)632 0 1,054 0
- - 271 - 392 0 0 0
- - - - - 0 0 0
- - - - - 0 231 0
260 (2)(89)(8)(83)(5)(63)(30)
260 (2)181 (8)309 (5)168 (30)
- - 100 - 145 0 0 0
- - 12 - 18 0 0 0
- - 0 - - 0 0 0
- - 1,012 167 511 94 0 614
- - - - - 0 0 0
- - - - - 0 0 0
0 0 1,012 167 511 94 0 614
(65,940)147 1,742 151 1,616 89 1,222 584
5,080 (29)(1,742)(151)(1,616)(89)(1,222)(584)
1,778 (10) (610) (53) (566) (31)(428)(204)
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
$3,302 ($19)($1,132)($98)($1,050)($58)($795)($380)
$0 $0 $0 $0 $0 $0 $0 $0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - - - -
- - - - - -
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - 0 0 0
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
$0 $0 $0 $0 $0 $0 $0 $0
(5,373) 31 1,842 160 1,709 95 1,293 618
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 9 of 11
AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjustment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Interdepartmental Sales
3 Sales for Resale
4 Total Sales of Electricity
5 Other Revenue
6 Total Electric Revenue
EXPENSES
Production and Transmission
7 Operating Expenses
8 Purchased Power
9 Depreciation/Amortization
10 Regulatory Amortization
11 Taxes
12 Total Production & Transmission
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Taxes
24 Total Admin. & General
25 Total Electric Expenses
26 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
27 Current Accrual
28 Debt Interest
29 Deferred Income Taxes
30 Amortized ITC
31 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
32 Intangible
33 Production
34 Transmission
35 Distribution
36 General
37 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
38 Intangible
39 Production
40 Transmission
41 Distribution
42 General
43 Total Accumulated Depreciation
44 NET PLANT
45 DEFERRED TAXES
46 Net Plant After DFIT
47 DEFERRED DEBITS AND CREDITS
48 WORKING CAPITAL
49 TOTAL RATE BASE
50 RATE OF RETURN
50 REVENUE REQUIREMENT
Planned Planned Pro Forma Pro Forma Pro Forma Pro Forma 2016
Capital Add Capital Add O&M Lake Spokane Colstrip Project Compass FINAL
2015 EOP 2016 AMA Offsets 2-Yr Amort Settlement Deferral Amorts TOTAL
3.09 3.10 3.11 3.12 3.13 3.14 F-Ttl
E-CAP15 E-CAP16 E-OFF E-LSD E-CLS E-COM
$0 $0 $0 $0 $0 $0 $244,735
- - - 0 0 0 242
- - - 0 0 0 23,566
0 0 0 0 0 0 268,543
- - - 0 0 0 8,813
0 0 0 0 0 0 277,356
- - 64 0 0 0 72,292
- - - 0 0 0 39,228
1,277 160 - 0 0 0 14,450
- 237 (200)0 2,543
- - - 0 0 0 8,058
1,277 160 64 237 (200)0 136,571
- - (61) 0 0 0 11,953
1,014 245 - 0 0 0 15,729
- - - 0 0 0 3,175
(342) (36) (1) (12) 10 (65) 1,449
672 209 (62)(12)10 (65)32,306
- - - 0 0 0 4,427
- - - 0 0 0 606
- - - 0 0 0 0
- 17 0 0 0 23,830
4,735 327 - 0 0 1,329 13,869
- - - 0 0 0 -
4,735 327 17 0 0 1,329 37,699
6,684 696 19 225 (190)1,264 211,609
(6,684)(696)(19)(225)190 (1,264)65,747
(2,339) (244) (7) (79)67 (442)(5,395)
(726) 17 - 0 0 0 (796)
- - - 0 0 0 23,081
- - - 0 0 0 (104)
($3,618)($469)($12)($147)$124 ($822)$48,960
$27,345 $679 $0 $0 $0 $0 $80,395
40,651 4,796 - 0 0 0 458,348
12,589 3,256 - 0 0 0 228,650
23,482 8,132 - 0 0 0 518,091
6,516 1,347 - 0 0 0 108,516
110,583 18,210 - - - - 1,394,000
(4,974) (3,277) - 0 0 0 (17,328)
(6,602) (3,833) - 0 0 0 (190,416)
(1,376) (1,017) - 0 0 0 (70,554)
(13,228) (7,117) - 0 0 0 (184,502)
(2,362) (1,450) - 0 0 0 (38,021)
(28,542) (16,694) - - - - (500,821)
82,041 1,516 - - - - 893,179
(4,329) (3,305) - - - - (166,283)
77,712 (1,789) - - - - 726,896
- - - - - - (679)
- - - - - - 23,008
77,712 (1,789) - $0 $0 $0 $749,225
6.53%
15,522 542 20 238 (201) 1,337 13,230
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 10 of 11
AVISTA UTILITIES
IDAHO ELECTRIC RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjustment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Interdepartmental Sales
3 Sales for Resale
4 Total Sales of Electricity
5 Other Revenue
6 Total Electric Revenue
EXPENSES
Production and Transmission
7 Operating Expenses
8 Purchased Power
9 Depreciation/Amortization
10 Regulatory Amortization
11 Taxes
12 Total Production & Transmission
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Taxes
24 Total Admin. & General
25 Total Electric Expenses
26 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
27 Current Accrual
28 Debt Interest
29 Deferred Income Taxes
30 Amortized ITC
31 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
32 Intangible
33 Production
34 Transmission
35 Distribution
36 General
37 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
38 Intangible
39 Production
40 Transmission
41 Distribution
42 General
43 Total Accumulated Depreciation
44 NET PLANT
45 DEFERRED TAXES
46 Net Plant After DFIT
47 DEFERRED DEBITS AND CREDITS
48 WORKING CAPITAL
49 TOTAL RATE BASE
50 RATE OF RETURN
50 REVENUE REQUIREMENT
Rate Year Ending December 31, 2017
INCREMENTAL
2016 Pro Forma Pro Forma Pro Forma Pro Forma Planned 2017 2017 I
FINAL Power Transmission Labor Property Capital Add FINAL FINAL
TOTAL Supply Rev/Exp Non-Exec Tax 2017 AMA TOTAL TOTAL
F-Ttl 17.01 17.02 17.03 17.04 17.05 F-Ttl F-Ttl
E-PPS17 E-PTR17 E-PLN17 E-PPT17 E-CAP17
$244,735 $0 $0 $0 $0 $0 $244,735 $0
242 - - - 0 - 242 $0
23,566 (5,489) - - 0 - 18,077 ($5,489)
268,543 (5,489)0 0 0 0 263,054 (5,489)
8,813 - 775 - 0 - 9,588 $775
277,356 (5,489)775 0 0 0 272,642 (4,714)
72,292 505 69 225 0 - 73,091 $799
39,228 2,782 - - 0 - 42,010 $2,782
14,450 - - - 0 573 15,023 $573
2,543 0 2,543 $0
8,058 - - - 624 - 8,682 $624
136,571 3,287 69 225 624 573 141,349 4,778
11,953 - - 139 0 - 12,092 $139
15,729 - - - 0 646 16,375 $646
3,175 - - - 299 - 3,474 $299
1,449 (427) 34 (30) (45)(103) 879 ($570)
32,306 (427)34 109 254 543 32,819 514
4,427 - - 52 0 - 4,479 $52
606 - - 6 0 - 612 $6
0 - - 0 0 - 0 $0
23,830 - - 190 0 24,020 $190
13,869 - - - 0 887 14,756 $887
- - - - 0 - - -
37,699 0 0 190 0 887 38,776 1,077
211,609 2,860 103 582 878 2,003 218,036 6,427
65,747 (8,349)672 (582)(878)(2,003)54,606 (11,141)
(5,395) (2,922) 235 (204) (307)(701) (9,294) ($3,899)
(796) - - - 0 (166) (961) ($166)
23,081 - - - 0 - 23,081 $0
(104) - - - 0 - (104) $0
$48,960 ($5,427)$437 ($378)($571)($1,136)$41,884 ($7,076)
80,395 $0 $0 $0 $0 $3,053 $83,448 $3,053
458,348 - - - 0 15,549 473,897 $15,549
228,650 - - - 0 14,330 242,980 $14,330
518,091 - - - 0 21,416 539,507 $21,416
108,516 - - - 0 1,014 109,530 $1,014
1,394,000 - - - - 55,362 1,449,362 55,362
- - - - -
(17,328) - - - 0 (7,138) (24,466) ($7,138)
(190,416) - - - 0 (7,788) (198,204) ($7,788)
(70,554) - - - 0 (2,133) (72,687) ($2,133)
(184,502) - - - 0 (14,545) (199,047) ($14,545)
(38,021) - - - 0 (1,156) (39,177) ($1,156)
(500,821) - - - - (32,760) (533,581) (32,760)
893,179 - - - - 22,602 915,781 22,602
(166,283) - - - - (4,856) (171,139) ($4,856)
726,896 - - - - 17,746 744,642 17,746
(679) - - - - - (679) $0
23,008 - - - - - 23,008 $0
$749,225 $0 $0 $0 $0 17,746 $766,971 $17,746
6.53%5.46%
13,230 8,830 (710) 616 929 4,049 26,943 13,713
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 1, Page 11 of 11
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Actual Per 2016 Proposed Pro Forma
Line Results Total Pro Forma Revenues &Proposed
No.DESCRIPTION Report Adjustments Total Related Exp Total
a b c d e f
REVENUES
1 Total General Business $71,109 $ (35,276)$35,833 $3,205 $39,038
2 Total Transportation 466 (25) 441 441
3 Other Revenues 38,507 (38,386) 121 121
4 Total Gas Revenues 110,082 (73,687) 36,395 3,205 39,600
EXPENSES
Production Expenses
5 City Gate Purchases 79,163 (79,163) - -
6 Purchased Gas Expense 349 (14) 335 335
7 Net Nat Gas Storage Trans (5,645) 5,645 - -
8 Total Production 73,867 (73,532) 335 - 335
Underground Storage
9 Operating Expenses 368 (0) 368 368
10 Depreciation 165 17 182 182
11 Taxes 79 14 93 93
12 Total Underground Storage 612 31 643 - 643
Distribution
13 Operating Expenses 6,057 (14) 6,043 6,043
14 Depreciation 4,205 423 4,628 4,628
15 Taxes 2,634 (790) 1,844 1,844
16 State Income Taxes (83) 383 300 156 456
17 Total Distribution 12,813 2 12,815 156 12,971
18 Customer Accounting 2,534 (306) 2,228 11 2,239
19 Customer Service & Information 348 17 365 365
20 Sales Expenses - - - -
Administrative & General
21 Operating Expenses 5,089 532 5,621 8 5,629
22 Depreciation/Amortization 1,814 952 2,766 2,766
23 Regulatory Amortizations - 334 334 334
24 Taxes - - - -
25 Total Admin. & General 6,903 1,818 8,721 8 8,729
26 Total Gas Expense 97,077 (71,970) 25,107 175 25,282
27 OPERATING INCOME BEFORE FIT 13,005 (1,717) 11,288 3,030 14,318
FEDERAL INCOME TAX
28 Current Accrual (2,459) (369) (2,828) 1,061 (1,767)
29 Debt Interest - (122) (122) - (122)
30 Deferred FIT 6,512 - 6,512 6,512
31 Amort ITC (13) (6) (19) (19)
32 NET OPERATING INCOME $8,965 ($1,220)$7,745 $1,969 $9,714
RATE BASE: PLANT IN SERVICE
33 Underground Storage $10,387 $633 $11,020 $11,020
34 Distribution Plant 170,161 14,892 185,053 185,053
35 General Plant 23,619 9,561 33,180 33,180
36 Total Plant in Service 204,167 25,086 229,253 - 229,253
ACCUMULATED DEPREC/AMORT
37 Underground Storage (3,919) (344) (4,263) (4,263)
38 Distribution Plant (57,807) (7,052) (64,859) (64,859)
39 General Plant (7,960) (2,117) (10,077) (10,077)
40 Total Accum. Depreciation/Amort.(69,686) (9,513) (79,199) - (79,199)
41 NET PLANT 134,481 15,573 150,054 - 150,054
42 DEFERRED FIT (27,493) (4,723) (32,216) (32,216)
43 Net Plant After DFIT 106,988 10,850 117,838 - 117,838
44 GAS INVENTORY 6,076 - 6,076 6,076
45 GAIN ON SALE OF BUILDING - - - -
46 OTHER (67) - (67) (67)
47 WORKING CAPITAL 1,433 2,218 3,651 3,651
48 TOTAL RATE BASE $114,430 $13,068 $127,498 $0 $127,498
49 RATE OF RETURN 7.83%6.07%7.62%
2016
WITH PRESENT RATES WITH 2016 PROPOSED RATES
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 1 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
2016 2017 2017 2016 Proposed 2017 Proposed 2017 Pro Forma
Line Pro Forma Total Pro Forma Revenues &Revenues &Proposed
No.DESCRIPTION Total Adjustments Total Related Exp Related Exp Total
a b c d e f g
REVENUES
1 Total General Business $35,833 $35,833 $3,205 $1,665 $40,703
2 Total Transportation 441 - 441 441
3 Other Revenues 121 - 121 121
4 Total Gas Revenues 36,395 - 36,395 3,205 1,665 41,265
EXPENSES
Production Expenses
5 City Gate Purchases - - - -
6 Purchased Gas Expense 335 5 340 340
7 Net Nat Gas Storage Trans - - - -
8 Total Production 335 5 340 - - 340
Underground Storage
9 Operating Expenses 368 0 368 368
10 Depreciation 182 6 188 188
11 Taxes 93 10 103 103
12 Total Underground Storage 643 16 659 - - 659
Distribution
13 Operating Expenses 6,043 538 6,581 6,581
14 Depreciation 4,628 207 4,835 4,835
15 Taxes 1,844 251 2,095 2,095
16 State Income Taxes 300 (63) 237 156 81 474
17 Total Distribution 12,815 933 13,748 156 81 13,985
18 Customer Accounting 2,228 30 2,258 11 6 2,275
19 Customer Service & Information 365 4 369 369
20 Sales Expenses - - - -
Administrative & General
21 Operating Expenses 5,621 45 5,666 8 4 5,678
22 Depreciation/Amortization 2,766 198 2,964 2,964
23 Regulatory Amortizations 334 - 334 334
24 Taxes - - - -
25 Total Admin. & General 8,721 243 8,964 8 4 8,976
26 Total Gas Expense 25,107 1,231 26,338 175 91 26,604
27 OPERATING INCOME BEFORE FIT 11,288 (1,231) 10,057 3,030 1,574 14,661
FEDERAL INCOME TAX
28 Current Accrual (2,828) (431) (3,259) 1,061 551 (1,647)
29 Debt Interest (122) (31) (153) - - (153)
30 Deferred FIT 6,512 - 6,512 6,512
31 Amort ITC (19) - (19) (19)
32 NET OPERATING INCOME $7,745 ($769)$6,976 $1,969 $1,023 $9,968
RATE BASE: PLANT IN SERVICE
33 Underground Storage $11,020 $341 $11,361 $11,361
34 Distribution Plant 185,053 8,327 193,380 193,380
35 General Plant 33,180 724 33,904 33,904
36 Total Plant in Service 229,253 9,392 238,645 - - 238,645
ACCUMULATED DEPREC/AMORT
37 Underground Storage (4,263) (183) (4,446) (4,446)
38 Distribution Plant (64,859) (3,518) (68,377) (68,377)
39 General Plant (10,077) (1,177) (11,254) (11,254)
40 Total Accum. Depreciation/Amort.(79,199) (4,878) (84,077) - - (84,077)
41 NET PLANT 150,054 4,514 154,568 - - 154,568
42 DEFERRED FIT (32,216) (1,175) (33,391) (33,391)
43 Net Plant After DFIT 117,838 3,339 121,177 - - 121,177
44 GAS INVENTORY 6,076 - 6,076 6,076
45 GAIN ON SALE OF BUILDING - - - -
46 OTHER (67) - (67) (67)
47 WORKING CAPITAL 3,651 - 3,651 3,651
48 TOTAL RATE BASE $127,498 $3,339 $130,837 $0 $0 $130,837
49 RATE OF RETURN 6.07%5.33%7.62%
2017
WITH PRESENT RATES WITH 2017 PROPOSED RATES
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 2 of 10
AVISTA UTILITIES AVISTA UTILITIES
Calculation of General Revenue Requirement
Idaho - Natural Gas Idaho - Natural Gas
Incremental
2016 2017 2017
Line (000's of (000's of (000's of
No.Dollars)Dollars)Dollars)
1 Pro Forma Rate Base $127,498 130,837$
2 Proposed Rate of Return 7.62%7.62%
3 Net Operating Income Requirement $9,715 $9,970
4 Pro Forma Net Operating Income $7,745 6,976$
5 Net Operating Income Deficiency $1,970 $2,994 $1,023
6 Conversion Factor 0.61459 0.61459 0.61459
7 Revenue Requirement $3,205 $4,871 $1,665
8 Total Base Distribution Revenues $36,274 $39,479
9 Percentage Base Distribution Revenue Increase 8.84%4.22%
10 Total Present Billed Revenue $71,601 $75,763
11 Percentage Billed Revenue Increase 4.48%2.20%
Description
TWELVE MONTHS ENDED DECEMBER 31, 2014
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 3 of 10
AVISTA UTILITIES
Idaho - Natural Gas
Proposed:
Pro Forma
Capital Pro Forma Weighted
Component Structure Cost Cost
Total Debt 50.00%5.34%2.67%
Common Equity 50.00%9.90%4.95%
Total 100.00%7.62%
PRO FORMA COST OF CAPITAL
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 4 of 10
AVISTA UTILITIES
Revenue Conversion Factor
Idaho - Natural Gas System
TWELVE MONTHS ENDED DECEMBER 31, 2014
Line
No.Description Factor
1 Revenues 1.000000
Expenses:
2 Uncollectibles 0.003407
3 Commission Fees 0.002371
4 Idaho State Income Tax 0.048695
5 Total Expenses 0.054473
6 Net Operating Income Before FIT 0.945527
7 Federal Income Tax @ 35%0.330934
8 REVENUE CONVERSION FACTOR 0.61459
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 5 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS Rate Year Ending December 31, 2016
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Per Deferred Deferred Debits, Restating Working Eliminate Uncollectible Regulatory
Line Results FIT Credits & Regulatory 2014 Capital B & O Expense Expense
No.DESCRIPTION Report Rate Base Amortizations Capital EOP Restating Taxes
Adjsutment Number 1.00 1.01 1.02 1.03 1.04 2.01 2.02 2.03
Workpaper Reference G-ROO G-DFIT G-DDC G-CAP13 G-WC G-EBO G-UE G-RE
REVENUES
1 Total General Business $71,109 -$ $0 -$ -$ ($1,290)$0 $0
2 Total Transportation 466 - - - - (8) - -
3 Other Revenues 38,507 - - - - - - -
4 Total Gas Revenues $110,082 - $0 - - ($1,298)$0 $0
EXPENSES
Production Expenses
5 City Gate Purchases 79,163 - - - - - - -
6 Purchased Gas Expense 349 - - - - - - -
7 Net Nat Gas Storage Trans (5,645) - - - - - - -
8 Total Production 73,867 - - - - - - -
Underground Storage
9 Operating Expenses 368 - - - - - - -
10 Depreciation/Amortization 165 - - - - - - -
11 Taxes 79 - - - - - - -
12 Total Underground Storage 612 - - - - - - -
Distribution
13 Operating Expenses 6,057 - - - - - - -
14 Depreciation/Amortization 4,205 - - - - - - -
15 Taxes 2,634 - - - - (1,297) - -
16 State Income Taxes 0.048695 (83) - - - - (0) 16 (0)
17 Total Distribution 12,813 - - - - (1,297) 16 (0)
18 Customer Accounting 2,534 - - - - - (333) -
19 Customer Service & Information 348 - - - - - - -
20 Sales Expenses - - - - - - - -
Administrative & General
21 Operating Expenses 5,089 - - - - - - 8
22 Depreciation/Amortization 1,814 - - - - - - -
23 Regulatory Amortizations -
24 Taxes - - - - - - - -
25 Total Admin. & General 6,903 - - - - - - 8
26 Total Gas Expense 97,077 - - - - (1,297) (317) 8
27 OPERATING INCOME BEFORE FIT 13,005 - - - - (1) 317 (8)
FEDERAL INCOME TAX
28 Current Accrual (2,459) - - - - (0) 111 (3)
29 Debt Interest - (23) - 25 (21) - - -
30 Deferred FIT 6,512 - - - - - - -
31 Amort ITC (13) - - - -
32 NET OPERATING INCOME 8,965$ 23$ -$ (25)$ 21$ (1)$ 206$ (5)$
RATE BASE
PLANT IN SERVICE
33 Underground Storage $10,387 -$ $0 126$ -$ $0 $0 $0
34 Distribution Plant 170,161 - - 3,601 - - - -
35 General Plant 23,619 - - 442 - - - -
36 Total Plant in Service 204,167 - - 4,169 - - - -
ACCUMULATED DEPRECIATION/AMORT
37 Underground Storage (3,919) - - (80) - - - -
38 Distribution Plant (57,807) - - (1,853) - - - -
39 General Plant (7,960) - - 108 - - - -
40 Total Accumulated Depreciation/Amortization (69,686) - - (1,825) - - - -
41 NET PLANT 134,481 - - 2,344 - - - -
42 DEFERRED TAXES (27,493) 2,477 - (5,018) - - - -
43 Net Plant After DFIT 106,988 2,477 - (2,674) - - - -
44 GAS INVENTORY 6,076 - - - - - - -
45 GAIN ON SALE OF BUILDING - - - - - - - -
46 OTHER (67) -
47 WORKING CAPITAL 1,433 - - - 2,218 - - -
48 TOTAL RATE BASE 114,430$ 2,477$ -$ (2,674)$ 2,218$ -$ -$ -$
49 RATE OF RETURN 7.83%
50 REVENUE REQUIREMENT (399) 269 - (291) 241 1 (335) 8
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 6 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjsutment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Total Transportation
3 Other Revenues
4 Total Gas Revenues
EXPENSES
Production Expenses
5 City Gate Purchases
6 Purchased Gas Expense
7 Net Nat Gas Storage Trans
8 Total Production
Underground Storage
9 Operating Expenses
10 Depreciation/Amortization
11 Taxes
12 Total Underground Storage
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Regulatory Amortizations
24 Taxes
25 Total Admin. & General
26 Total Gas Expense
27 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
28 Current Accrual
29 Debt Interest
30 Deferred FIT
31 Amort ITC
32 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
33 Underground Storage
34 Distribution Plant
35 General Plant
36 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
37 Underground Storage
38 Distribution Plant
39 General Plant
40 Total Accumulated Depreciation/Amortization
41 NET PLANT
42 DEFERRED TAXES
43 Net Plant After DFIT
44 GAS INVENTORY
45 GAIN ON SALE OF BUILDING
46 OTHER
47 WORKING CAPITAL
48 TOTAL RATE BASE
49 RATE OF RETURN
50 REVENUE REQUIREMENT
Injuries FIT / DFIT SIT / SITC Revenue Miscellaneous Restate Restate
and Expense Expense Normalization &Restating Incentive Debt Restated
Damages Gas Cost Adjust Interest Total
2.04 2.05 2.06 2.07 2.08 2.09 2.10
G-ID G-FIT G-SIT G-RNGC G-MR G-RI G-RDI R-Ttl
$0 -$ -$ (33,986)$ $0 $0 -$ 35,833$
- - - (17) - - - 441
- - - (38,386) - - - 121
$0 - - (72,389) $0 $0 - 36,395
- - - (79,163) - - - -
- - - (30) - - - 319
- - - 5,645 - - - -
- - - (73,548) - - - 319
- - - - - - - 368
- - - - - - - 165
- - - - - - - 79
- - - - - - - 612
- - - - 1 - - 6,058
- - - - - - - 4,205
- - - - - - - 1,337
(6) - 448 66 (1) 6 - 446
(6) - 448 66 (0) 6 - 12,046
- - - (116) - - - 2,085
- - - - - - - 348
- - - - - - - -
-
125 - - (80) 20 (129) - 5,033
- - - - - - 1,814
- -
- - - - - - - -
125 - - (80) 20 (129) - 6,847
119 - 448 (73,678) 20 (123) - 22,257
(119) - (448) 1,289 (20) 123 - 14,138
(42) - - 451 (7) 43 75 (1,831)
- - - - - - - (19)
- - - - - - - 6,512
- - (6) - - - - (19)
(77)$ -$ (442)$ 838$ (13)$ 80$ (75)$ 9,495$
$0 -$ -$ -$ $0 $0 -$ 10,513$
- - - - - - - 173,762
- - - - - - - 24,061
- - - - - - - 208,336
- - - - - - - (3,999)
- - - - - - - (59,660)
- - - - - - - (7,852)
- - - - - - - (71,511)
- - - - - - - 136,825
- - - - - - - (30,034)
- - - - - - - 106,791
- - - - - - - 6,076
- - - - - - - -
(67)
- - - - - - - 3,651
-$ -$ -$ -$ -$ -$ -$ 116,451$
8.15%
126 - 719 (1,363) 21 (130) 122 (1,010)
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 7 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjsutment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Total Transportation
3 Other Revenues
4 Total Gas Revenues
EXPENSES
Production Expenses
5 City Gate Purchases
6 Purchased Gas Expense
7 Net Nat Gas Storage Trans
8 Total Production
Underground Storage
9 Operating Expenses
10 Depreciation/Amortization
11 Taxes
12 Total Underground Storage
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Regulatory Amortizations
24 Taxes
25 Total Admin. & General
26 Total Gas Expense
27 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
28 Current Accrual
29 Debt Interest
30 Deferred FIT
31 Amort ITC
32 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
33 Underground Storage
34 Distribution Plant
35 General Plant
36 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
37 Underground Storage
38 Distribution Plant
39 General Plant
40 Total Accumulated Depreciation/Amortization
41 NET PLANT
42 DEFERRED TAXES
43 Net Plant After DFIT
44 GAS INVENTORY
45 GAIN ON SALE OF BUILDING
46 OTHER
47 WORKING CAPITAL
48 TOTAL RATE BASE
49 RATE OF RETURN
50 REVENUE REQUIREMENT
`
Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma
Labor Labor Employee Insurance Property IS/IT
Non-Exec Exec Benefits Tax Costs
3.01 3.02 3.03 3.04 3.05 3.06
G-PLN G-PLE G-PEB G-PI G-PPT G-ISIT
$0 $0 $0 $0 $0 $0
- - - - - -
- - - - - -
$0 $0 $0 $0 $0 $0
- - - - - -
10 (9) 15 - - -
- - - - - -
10 (9) 15 - - -
0 - (0) - - -
- - - - - -
- - - - 14 -
0 - (0) - 14 -
156 - 224 - - -
- - - - - -
- - - - 507 -
(23) (2) (22) (1) (25) (8)
133 (2) 202 (1) 482 (8)
58 - 85 - -
7 - 10 - - -
- - - - - -
243 41 123 24 - 155
- - - - - -
- - - - - -
243 41 123 24 - 155
451 30 434 23 496 147
(451) (30) (434) (23) (496) (147)
(158) (11) (152) (8) (173) (52)
- - - - - -
- - - - - -
- - - - - -
(293)$ (20)$ (282)$ (15)$ (322)$ (96)$
$0 $0 $0 $0 $0 $0
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
-
- - - - - -
-
-
-
-$ -$ -$ -$ -$ -$
477 32 459 24 524 156
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 8 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjsutment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Total Transportation
3 Other Revenues
4 Total Gas Revenues
EXPENSES
Production Expenses
5 City Gate Purchases
6 Purchased Gas Expense
7 Net Nat Gas Storage Trans
8 Total Production
Underground Storage
9 Operating Expenses
10 Depreciation/Amortization
11 Taxes
12 Total Underground Storage
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Regulatory Amortizations
24 Taxes
25 Total Admin. & General
26 Total Gas Expense
27 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
28 Current Accrual
29 Debt Interest
30 Deferred FIT
31 Amort ITC
32 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
33 Underground Storage
34 Distribution Plant
35 General Plant
36 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
37 Underground Storage
38 Distribution Plant
39 General Plant
40 Total Accumulated Depreciation/Amortization
41 NET PLANT
42 DEFERRED TAXES
43 Net Plant After DFIT
44 GAS INVENTORY
45 GAIN ON SALE OF BUILDING
46 OTHER
47 WORKING CAPITAL
48 TOTAL RATE BASE
49 RATE OF RETURN
50 REVENUE REQUIREMENT
Pro Forma Pro Forma Pro Forma Pro Forma Pro Forma 2016
Capital Add Capital Add O&M Atmospheric Project Compass FINAL
2015 EOP 2016 AMA Offsets Testing Deferral Amorts.TOTAL
3.07 3.08 3.09 3.10 3.11
G-CAP15 G-CAP16 G-OFF G-PAT G-COM F-Ttl
-$ -$ -$ $0 $0 35,833$
- - - - - 441
- - - - - 121
- - - $0 $0 36,395
- - - - - -
- - - - - 335
- - - - - -
- - - - - 335
- - - - - 368
15 2 - - - 182
- - - - - 93
15 2 - - - 643
- - - (395) - 6,043
363 60 - - - 4,628
- - - - - 1,844
(61) (7) (0) 19 (16) 300
302 53 (0) (376) (16) 12,815
- - - - - 2,228
- - - - - 365
- - - - - -
- - 3 - - 5,621
868 84 - - - 2,766
334 334
- - - - - -
868 84 3 - 334 8,721
1,185 139 3 (376) 318 25,107
(1,185) (139) (3) 376 (318) 11,288
(415) (49) (1) 132 (111) (2,828)
(109) 6 - - - (122)
- - - - - 6,512
- - - - - (19)
(661)$ (97)$ (2)$ 244$ (207)$ 7,745$
354$ 153$ -$ $0 $0 11,020$
8,876 2,415 - - - 185,053
8,524 595 - - - 33,180
17,754 3,163 - - - 229,253
(174) (90) - - - (4,263)
(3,345) (1,854) - - - (64,859)
(1,255) (970) - - - (10,077)
(4,774) (2,914) - - - (79,199)
12,980 249 - - - 150,054
(1,264) (918) (32,216)
11,716 (669) - - - 117,838
- - 6,076
(67)
3,651
11,716$ (669)$ -$ -$ -$ 127,498$
6.07%
2,528 74 3 (397) 336 3,205
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 9 of 10
AVISTA UTILITIES
IDAHO NATURAL GAS RESULTS
TWELVE MONTHS ENDED DECEMBER 31, 2014
(000'S OF DOLLARS)
Line
No.DESCRIPTION
Adjsutment Number
Workpaper Reference
REVENUES
1 Total General Business
2 Total Transportation
3 Other Revenues
4 Total Gas Revenues
EXPENSES
Production Expenses
5 City Gate Purchases
6 Purchased Gas Expense
7 Net Nat Gas Storage Trans
8 Total Production
Underground Storage
9 Operating Expenses
10 Depreciation/Amortization
11 Taxes
12 Total Underground Storage
Distribution
13 Operating Expenses
14 Depreciation/Amortization
15 Taxes
16 State Income Taxes
17 Total Distribution
18 Customer Accounting
19 Customer Service & Information
20 Sales Expenses
Administrative & General
21 Operating Expenses
22 Depreciation/Amortization
23 Regulatory Amortizations
24 Taxes
25 Total Admin. & General
26 Total Gas Expense
27 OPERATING INCOME BEFORE FIT
FEDERAL INCOME TAX
28 Current Accrual
29 Debt Interest
30 Deferred FIT
31 Amort ITC
32 NET OPERATING INCOME
RATE BASE
PLANT IN SERVICE
33 Underground Storage
34 Distribution Plant
35 General Plant
36 Total Plant in Service
ACCUMULATED DEPRECIATION/AMORT
37 Underground Storage
38 Distribution Plant
39 General Plant
40 Total Accumulated Depreciation/Amortization
41 NET PLANT
42 DEFERRED TAXES
43 Net Plant After DFIT
44 GAS INVENTORY
45 GAIN ON SALE OF BUILDING
46 OTHER
47 WORKING CAPITAL
48 TOTAL RATE BASE
49 RATE OF RETURN
50 REVENUE REQUIREMENT
Rate Year Ending December 31, 2017
INCREMENTAL
2016 Pro Forma Pro Forma Pro Forma Pro Forma 2017 2017 I
FINAL Labor Property Capital Add Atmospheric FINAL FINAL
TOTAL Non-Exec-2017 Tax-2017 2017 AMA Testing TOTAL TOTAL
17.01 17.02 17.03 17.04
F-Ttl G-PLN17 G-PPT17 G-CAP17 G-PAT17 F-Ttl F-Ttl
35,833$ $0 $0 -$ $0 35,833$ -$
441 - - - - 441 -
121 - - - - 121 -
36,395 $0 $0 - $0 36,395 -
- - - - - - -
335 5 - - - 340 5
- - - - - - -
335 5 - - - 340 5
368 0 - - - 368 0
182 - - 6 - 188 6
93 - 10 - - 103 10
643 0 10 6 - 659 16
6,043 79 - - 459 6,581 538
4,628 - - 207 - 4,835 207
1,844 - 251 - - 2,095 251
300 (8) (13) (20) (22) 237 (63)
12,815 71 238 187 437 13,748 933
2,228 30 - - 2,258 30
365 4 - - - 369 4
- - - - - - -
5,621 45 - - - 5,666 45
2,766 - - 198 - 2,964 198
334 334 -
- - - - - - -
8,721 45 - 198 - 8,964 243
25,107 155 248 391 437 26,338 1,231
11,288 (155) (248) (391) (437) 10,057 (1,231)
(2,828) (54) (87) (137) (153) (3,259) (431)
(122) - - (31) - (153) (31)
6,512 - - - - 6,512 -
(19) - - - - (19) -
7,745$ (101)$ (161)$ (223)$ (284)$ 6,976$ (769)$
11,020$ $0 $0 341$ $0 11,361$ 341
185,053 - - 8,327 - 193,380 8,327
33,180 - - 724 - 33,904 724
229,253 - - 9,392 - 238,645 9,392
(4,263) - - (183) - (4,446) (183)
(64,859) - - (3,518) - (68,377) (3,518)
(10,077) - - (1,177) - (11,254) (1,177)
(79,199) - - (4,878) - (84,077) (4,878)
150,054 - - 4,514 - 154,568 4,514
(32,216) - (1,175) (33,391) (1,175)
117,838 - - 3,339 - 121,177 3,339
6,076 - - 6,076 -
-
(67) (67) -
3,651 - 3,651 -
127,498$ -$ -$ 3,339$ -$ 130,837$ 3,339$
6.07%5.33%
3,206 164 263 777 462 4,871 1,665
Exhibit No. 12
Case Nos. AVU-E-15-05 and AVU-G-15-01
E. Andrews, Avista
Schedule 2, Page 10 of 10