2013Annual Report.pdf

THIS FILING IS
Item 1: I An lnitial (Original) OR n Resubmission No. _
Submission
AW
These reports are mandatory under the Natural Gas Act, Sections 1 0(a), and 16 and 1 8
CFR Parts 260.1 and 260.300. Failure to report may result in criminal fines, civil
penalties, and other sanctions as provided by law. The Federal Energy Regulatory
Commission does not consider these reports to be of a confidential nature.
-a
Forrn-2 Approved
OMB No.1902-0028
(Expires 1013112014)
Form 3-Q Approved
OMB No.1902-0205
(Expires 0513112014)
FERC FINANCIAL REPORT
FERG FORM No.2i Annual Report of
Major Natural Gas Gompanies and
Supplemental Form 3-Q: Quarterly
Financial Report
ilffi6
Exact Legal Name of Respondent (Company)
Avista Corporation
Year/Period of Report
End of 20131Q4
FERC FORM No.2/3Q (02-04)
REPORT OF GAS COM/ANNUAL MAJOR NATURAL GAS COMPANIES \
IDENTIFICATION
01 Exact Legal Name of Respondent
Avista Corporation
Year/Period of Report
End of 20'13/Q4
03 Previous Name and Date of Change (lf name changed during year)
04 Address of Principal Office at End of Year (Street, City, State, Zip Code)
1411 East Mission Avenue, Spokane, WA 99207
05 Name of Contact Person
Christy Burmeister-Smith
06 Title of Contact Person
VP, Controller, Prin. Acctg Officer
07 Address of Contact Person (Street, City, State, Zip Code)
141 1 East Mission Avenue, Spokane, WA 99207
08 Telephone of Contact Person, lncluding Area Code
509*495-4256
This Report ls:
(1) [en Originat(2) !A Resubmission
10 Date of Report
(Mo, Da, Yr)
04t11120't4
ANNUAL CORPORATE OFFICER CERTIFICATION
The undersigned officer certifies that:
I have examined this report and to the best of my knowledge, information, and belief all statements of fact contained in this report are correct
statements of the business affairs of the respondent and the financial statements, and otherfinancial information contained in this report, conform in all
material respects to the Uniform System of Accounts.
11 Name
Christy Burmeiste-r-Smith ()
12 Title
VP, Controller, Prin. Accounting Officer
'::,!:":'l_" q{w
Christy Burmeistef-gtni[h
14 Date Signed
04t11t2014
Title 18, U.S.C. 1001 , makes it a crime for any person knowingly and willingly to make to any Agency or Department of the United States any
false, fictitious or fraudulent statements as to any matter within its jurisdiction.
FERC FORM NO.2/3Q (02-04)Page 1
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiAn originat(2) l-lA Resubmission
uate or Kepon(Mo, Da, Yr)
04t11t2014
Yeailvet|oo oT F(epor
End of 2013/Q4
List of Schedules (Natural Gas Company)
Enter in column (d) the terms "none," "not applicable," or "NA" as appropriate, where no information or amounts have been reported
for certain pages. Omit pages where the responses are "none," "not applicable," or "NA."
Line
No.
Title of Schedule
(a)
Reference
Page No.
(b)
Date Revised
(c)
Remarks
(d)
GENERAL CORPORATE INFORMATION AND FINANCIAL STATEMENTS
1 General lnformation 101
2 Control Over Respondent 102 N/A
3 Corporations Controlled by Respondent 103
4 Security Holders and Voting Powers 107
5 lmportant Changes During the Year 108
6 Comparative Balance Sheet 110-113
7 Statement of lncome for the Year 114-116
8 Statement of Accumulated Comprehensive lncome and Hedging Activities 117
I Statement of Retained Eamings for the Year 118-1 19
10 Statements of Cash Flows 120-121
11 Notes to Financial Statements 122
BALANCE SHEET SUPPORTING SCHEDULES (Assets and Other Debits)
12 Summary of Utjlity Plant and Accumulated Provisions for Depreciation, Amortization, and Depletion 200-201
13 Gas Plant in Service 204-209
14 Gas Property and Capacity Leased from Others 212 N/A
't5 Gas Property and Capacity Leased to Oflers 213 N/A
16 Gas Plant Held for Future Use 214
't7 Construction Work in Progress-Gas 216
18 Non-Traditional Rate Treatment Afforded New ProjecB 217 N/A
19 General Description of Construction Overhead Procedure 218
20 Accumulated Provision for Depreciation of Gas Utility PIant 219
21 Gas Stored 220
22 lnvestments 222-223
23 lnvestments in Subsidiary Companies 224-225
24 Prepaymenb 230
25 Extraordinary Property Losses 230 N/A
26 Unrecovered Plant and Regulatory Study Costs 230 N/A
27 Other Regulatory Assets 232
28 Miscellaneous Defened Debits 233
29 Accumulated Defened lnmme Taxes 234-235
BALANCE SHEET SUPPORTING SCHEDULES (Liabilities and Oher Credits)
30 Capital Stock 250-251
31 Capital Stock Subscribed, Capital Stock Liability for Conversion, Premium on Capital Stock, and
lnstallmenb Received on Capital Stock 252 N/A
32 Other Paid-in Capital 253
33 Discount on Capital Stock 254 N/A
34 Capital Stock Expense 254
35 Securities issued or Assumed and Securities Refunded or Retired During the Year 255
36 Long-Term Debt 256-257
37 Unamortized Debt Expense, Premium, and Discount on Long-Term Debt 258-259
FERC FORM NO. 2 (REV 12-071 Page 2
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Originat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
o4111t2014
Year/Period of Repor
End of 20'13/Q4
List of Schedules (Natural Gas Company) (continued)
Enter in column (d) the terms "none," "not applicable," or "NA" as appropriate, where no information or amounts have been reported
for certain pages. Omit pages where the responses are "none," "not applicable," or "NA."
Line
No.
Title of Schedule
(a)
Reference
Page No.
(b)
Date Revised
(c)
Remarks
(d)
38 Unamortized Loss and Gain on Reacquired Debl 260
39 Reconciliation of Reported Net lncome with Taxable lncome for Federal lnmme Taxes 261
40 Taxes Accrued, Prepaid, and Charged During Year 262-263
41 Miscellaneous Cunent and Accrued Liabilities 268
42 Other Defened Credib 269
43 Accumulated Defened lncome Taxes-Other Property 274-275
44 Accumulated Defened lncome Taxes-Olher 276-277
45 Olher Regulatory Liabilities 278
INCOME ACCOUNT SUPPORTING SCHEDULES
46 Monthly Quantity & Revenue Data by Rate Schedule 299 N/A
47 Gas Operating Revenues 300-301
48 Revenues from Transportation of Gas of Othen Through Gathering Facilities 302-303 N/A
49 Revenues from Tnansportation of Gas of Otherc Through Transmission Facilities 304-305 N/A
50 Revenues from Storage Gas of Othen 306-307 N/A
51 Other Gas Revenues 308
52 Discounted Rate Services and Negotiated Rate Services 313 N/A
53 Gas 0peration and Maintenance Expenses 317-325
54 Exchange and lmbalance Transactions 328 N/A
55 Gas Used in Utility Operations 331
56 Transmission and Compression of Gas by O{hers 332 N/A
57 Other Gas Supply Expenses 334
58 Miscellaneous General Expenses-Gas 335
59 Depreciation, Depletion, and Amortization of Gas Plant 336-338
60 Particulars Conceming Certain lncome Deduction and lnterest Charges Accounts 340
COMMON SECTION
61 Regulatory Commission Expenses 350-351
62 Employee Pensions and Benefits (Account 926)352
63 Distribution of Salaries and Wages 354-355
64 Charges for 0ubide Professional and Other Consultative Services 357
65 Transaclions with Associated (Affiliated) Companies 358
GAS PLANT STATISTICAL DATA
66 Compressor Stations 508-509 N/A
67 Gas Storage Project 51 2-51 3
68 Transmission Lines 514 N/A
69 Transmission System Peak Deliveries 518 NiA
70 Auxiliary Peaking Facilities 519
71 Gas Account-Natural Gas 520
72 Shipper Supplied Gas for the Cunent Quarter 521 N/A
73 System Map 522 N/A
74 Footnote Reference 551
75 Footnote Text 552
76 Stockholde/s Reports (check appropriate box)
I
n
Four copies will be submitted
No annual report to stockholders is prepared
FERC FORM NO.2 (REV 12-07)Page 3
Name of Respondent
Avista Corporation
This Reoort Is:(1) fiAn originat(2) I-lA Resubmission
Date of Reoort
(Mo, Da, Yi)
0411112014
Year/Period of Repor
End of 2013/Q4
General lnformation
1 . Provide name and title of officer having custody of the general mrporate books of account and address of ofiice where the general mrporate books are kept and address of office
where any other corporale bool,s of account are kept, if different from that where the general corporate books are kepl
Christy Burmeister-Smith, Vice President and Controller
14'l 1 E Mission Avenue
Spokane, WA 99207
incorporated, state that fact and give the type of organization and the date organized.
State of Washington, lncorporated March 15, 1889
the authority by which the receivership or trusteeship was created, and (d) date when possession by receiver or trustee ceased.
Not Applicable
4. State the classes of utility and other services fumished by respondent during ttre year in each State in which the respondent operated.
Electric service in the states of Washington, ldaho and Montana
Natural gas service in the states of Washington, ldaho and Oregon
5. Have you engaged as the principal accountant to audit your financial statemenb an accountant who is not the principal accountant for your previous yea/s @rtified financial
statements?
(1) [ Yes... Enter the date when such independent accountant was initially engaged:
(2) [l No
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
lhrs Keoon ls:(1) finn originat(2) llA Resubmission
uale or Kepon(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Corporations Controlled by Respondent
1. Report below the names of all corporations, business trusts, and similar organizations, controlled directly or indirectly by
respondent at any time during the year. lf control ceased prior to end of year, give particulars (details) in a footnote.
2. lf control was by other means than a direct holding of voting rights, state in a footnote the manner in which control was held,
naming any intermediaries involved.
3, lf control was held jointly with one or more other interests, state the fact in a footnote and name the other interests.
4. ln column (b) designate type of control of the respondent as "D" for direct, an "1" for indirect, or a "J" for joint control.
DEFINITIONS
1. See the Uniform System of Accounts for a definition of control.
2. Direcl control is that which is exercised without interposition of an intermediary.
3. lndirect control is that which is exercised by the interposition of an intermediary that exercises direct control.
4. Joint control is that in which neither interest can effectively control or direct action without the consent of the other, as where the
voting control is equally divided between two holders, or each party holds a veto power over the other. Joint control may exist by mutual
agreement or understanding between two or more parties who together have control within the meaning of the definition of control in
the Uniform System of Accounts, regardless of the relative voting rights of each party.
Line
No.
Name of Company Controlled
(a)
Type of Control
(b)
Kind of Business
(c)
Percent Voting
Stock Owned
(d)
Footnote
Reference
(e)
1 Avista Capital, Inc.D Parent company to the Company's
subsidiaries.
100 A/ol used
2 Ecova, lnc.I Provides utility bill processing services 80 Not used
J
4 Avista Development, lnc.I Maintains investment porfolio incl. real
estate
100 /Voi {rsed
5 Avista Energy, lnc.I lnactive 100 IVot used
6 PenEer Corporation I Parent of Bay Area Mfg and PenEer
Venture Hldngs
100 tVol rsed
7 PenEer Venture Holdings I lnactive 100 A/ot usecf
I Bay Area Manufacluring I Holding co. of AM&D dba MetalFX 100 zuoi used
9 Advanced Manufacturing & Development I Custom mfg of electronic enclosures 83 I\/ol ir.sed
10 dba MetalFX I I(o, used
11 Spokane Energy, LLC D Owns an electric capacity contracl.100 I{ol used
12 Avista Capital ll D Affiliated business trust issued prel
trust sec.
100 tVoI .rsed
13 Avista Northwest Resources, LLC I Owns an interest in a venture fund
investrnent
100 I{oi used
14 Steam Plant Square, LLC I Commercial office and retail leasing 85 /i/ot us6ct
15 Courtyard Office Center, LLC I Commercial office and retail leasing 100 A{ol used
16 Steam Plant Brew Pub, LLC I Restaurant operations 85 A/o, l/sed
17 Alaska Merger Sub, lnc.D Merger mmpany formed to effect the
merger
100 iVol used
18 I transaction with Alaska Energy and
Resources
19 I Company
20 Salix, lnc.I Liquified natural gas operations 't00 fuo, l/.ssd
21
22
23
24
25
26
27
28
FERC FORM NO.2 (12-96)Page 103
Name of Respondent
Avista Corporation
lnts Heoon ls:(1) fiRn Originat(2) nA Resubmission
uale oI Kepon(Mo, Da, Yr)
04t11t2014
Year/Penoo oI Kepor
End of 2013/Q4
Security Holders and Voting Powers
1 . Give the names and addresses of the 10 security holders of the respondent who, at the date of the latest closing of the stock book
or compilation of list of stockholders of the respondent, prior to the end of the year, had the highest voting powers in the respondent,
and state the number of votes that each could cast on that date if a meeting were held. lf any such holder held in trust, give in a
footnote the known particulars of the trust (whether voting trust, etc.), duration of trust, and principal holders of beneficiary interests in
the trust. lf the company did not close the stock book or did not compile a list of stockholders within one year prior to the end of the
year, or if since it compiled the previous list of stockholders, some other class of security has become vested with voting rights, then
show such 10 security holders as of the close of the year. Arrange the names of the security holders in the order of voting power,
commencing with the highest. Show in column (a) the titles of officers and directors included in such list of 10 security holders.
2. ll any security other than stock carries voting rights, explain in a supplemental statement how such security became vested with
voting rights and give other important details concerning the voting rights of such security. State whether voting rights are actual or
contingent; if contingent, describe the contingency.
3. lf any class or issue of security has any special privileges in the election of directors, trustees or managers, or in the determination
of corporate action by any method, explain briefly in a footnote.
4. Furnish details concerning any options, warrants, or rights outstanding at the end of the year for others to purchase securities of
the respondent or any securities or other assets owned by the respondent, including prices, expiration dates, and other material
information relating to exercise of the options, warrants, or rights. Specify the amount of such securities or assets any officer, director,
associated company, or any of the 10 largest security holders is entitled to purchase. This instruction is inapplicable to convertible
securities or to any securities substantially all of which are outstanding in the hands of the general public where the options, warrants,
1. Give date of the latest closing of the stock
book prior to end of year, and, in a footnote, state
the purpose of such closing:
fir21nu3'i
2. State the total number of votes cast at the latest general
meeting prior to the end of year for election of directors of the
respondent and number of such votes cast by proxy.
Totat: 54022616
By Proxy: 54022596
3. Give the date and place of
such meeting:
519t2013
Spokane, Washington
Line
No.
Name (fifle) and Address of
Security Holder
(a)
VOTING SECUR IES
4. Number of votes as of (date): 1112112013
Total Votes
(b)
Common Stock
/c)
Prefened Stock
(d)
Other
(e)
5 TOTAL votes of all voting securities 59,876,355 59,876,35a
o TOTAL number of security holders 10,031 10,031
7 TOTAL votes of security holders listed below 326,38'326,38i
8 Gary Ely; Liberty Lake, WA 121,984 121,984
o Jack W. Gustavel; Coeur d'Alene, lD 42,677 42,677
10 Mark T. Thies; Spokane, WA 27,60t 27,60C
11 Marian M. Durkiu Spokane, WA 27,423 27,423
12 Frederick W. Schott Tr FW Schott Living Trust UA 09/0298; Sanla Monica,
CA 20,423 20,42i
13 Thomas A. Lowe & Kathleen B. Lowe Tr UA 23-May{7; Satellite Beach, FL 18,201 18,207
14 John F. Kelly; Winter Park, FL 17,96i 17,967
15 Dennis P. Vermillion; Spokane, WA 16,84C 16,84t
16 Dolores Marilyn Ruhl Kellam TR UA 08/1'l186; Sanford, FL I 6,835 16,835
17 William A. Dickerhoof: Palos Park, lL 16,425 16,42a
18
.,t o
20
FERC FORM NO,2 (12-96)Page
Name of Respondent
Avista Corooration
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t1'U2014
Year/Period of Report
2013/Q4
FOOTNOTE DATA
107 :1 :1
To pay the 1211312013 dividend.
FERC FORM NO.2 5521
Name of Respondent
Avista Corooration
This Report is:
(1) X An Originale) A Resubmission
Date of Report
(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
2013tQ4
lmportant Chanqes Durinq the Quarter/Year
Give details concerning the matters indicated below. Make the statements explicit and precise, and number them in accordance with the
inquiries. Answer each inquiry. Enter "none" or "not applicable" where applicable. lf the answer is given elsewhere in the report, refer to the
schedule in which it appears.
1 . Changes in and important additions to franchise rights: Describe the actual consideration and state from whom the franchise rights were
acquired. lf the franchise rights were acquired without the payment of consideration, state that fact.
2. Acquisition of ownership in other companies by reorganization, merger, or consolidation with other companies: Give names of companies
involved, particulars concerning the transactions, name of the Commission authorizing the transaction, and reference to Commission
authorization.
3. Purchase or sale of an operating unit or system: Briefly describe the property, and the related transactions, and cite Commission
authorization, if any was required. Give date journal entries called for by Uniform System of Accounts were submitted to the Commission.4. lmportant leaseholds (other than leaseholds for natural gas lands) that have been acquired or given, assigned or surrendered: Give effective
dates, lengths of terms, names of parties, rents, and other conditions. State name of Commission authorizing lease and give reference to such
authorization.
5. lmportant extension or reduction of transmission or distribution system: State tenitory added or relinquished and date operations began or
ceased and cite Commission authorization, if any was required. State also the approximate number of customers added or lost and approximate
annual revenues of each class of service.
Each natural gas company must also state major new continuing sources of gas made available to it from purchases, development, purchase
contract or otherwise, giving location and approximate total gas volumes available, period of contracts, and other parties to any such
arrangements, etc.
6. Obligations incurred or assumed by respondent as guarantor for the performance by another of any agreement or obligation, including
ordinary commercial paper maturing on demand or not later than one year after date of issue: State on behalf of whom the obligation was
assumed and amount of the obligation. Cite Commission authorization if any was required.
7. Changes in articles of incorporation or amendments to charter: Explain the nature and purpose of such changes or amendments.
8. State the estimated annual effect and nature of any important wage scale changes during the year.
9. State briefly the status of any materially important legal proceedings pending at the end of the year, and the results of any such proceedings
culminated Uuring the year.
10. Describe briefly any materially important transactions of the respondent not disclosed elsewhere in this report in which an officer, director,
security holder, voting trustee, associated company or known associate of any of these persons was a party or in which any such person had a
material interest.
11. Estimated increase or decrease in annual revenues caused by important rate changes: State effective date and approximate amount of
increase or decrease for each revenue classification. State the number of customers affected.
12. Describe fully any changes in officers, directors, major security holders and voting powers of the respondent that may have occurred during
the reporting period.
13. In the event that the respondent participates in a cash management program(s) and its proprietary capital ratio is less than 30 percent
please describe the significant events or transactions causing the proprietary capital ratio to be less than 30 percent, and the extent to which the
respondent has amounts loaned or money advanced to its parent, subsidiary, or affiliated companies through a cash management program(s).
Additionally, please describe plans, if any to regain at least a 30 percent proprietary ratio.
l. None
2. A merger transaction with Alaska Energy and Resources Company was entered into on November 4,2013:
however, the consummation of the transaction is subject to the satisfaction or waiver of specified closing
conditions. Refer to Note 3 of the Notes to Financial Statements for fuither details regarding this merger
transaction.
3. None
4. None
5. None
6. Avista Corp. has a committed line of credit with various financial institutions in the total amount of
$400.0 million with an expiration date of February 2017. The committed line of credit is secured by
non-transferable First Mortgage Bonds of the Company issued to the agent bank that would only become due
and payable in the event, and then only to the extent, that the Company defaults on its obligations under the
committed line of credit.
Balances outstanding under the Company's revolving committed line of credit were as follows as of December
3l , 2013 and December 3 I , 20 1 2 (dollars in thousands):
FERC FORM NO.2 108.1
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013to'4
lmportant Changes During the Quarter/Year
December 31, December 3 1,
2013 20t2
Balance outstanding at end of period
Letters of credit outstanding at end of period
$ 171,000 $52,000
$27,434 $35,885
In August 2013, Avista Corp.entered into a $90.0 million term loan agreement with an institutional investor
that bears an annual interest rate of 0.84 percent and matures in 2016. The term loan agreement is secured by
non-transferable First Mortgage Bonds of the Company issued to the agent bank that will only become due and
payable in the event, and then only to the extent, that the Company defaults on its obligations under the term
loan agreement. The net proceeds from the $90.0 million term loan agreement were used to repay a portion of
corporate indebtedness in anticipation of $50.0 million in First Mortgage Bonds that matured in December
2013. The debt issuance was approved by regulatory commissions as follows:WUTC (Docket No. U-l11176
Order 02) IPUC (Case No. AVU-U-11-01 Order No. 32338) and the OPUC (Docket UF 4269 Order No.
1 1-334).
7. None
8. Average annual wage increases were 2.2Yo for non-exempt employees effective February 25,2013. Average
annual wage increases were 2.8oh for exempt employees effective February 25,2013. Offrcers received average
increases of 5.5% effective February 25,2013. Certain bargaining unit employees received increases of 3.0%
effective March 26, 2013.
9. Reference is made to Note 17 of the Notes to Financial Statements.
10. See page 123 of this report.
1 1. Reference is made to Note 19 of the Notes to Financial Statements.
12. Michael L. Noel, a director of Avista Corporation (Avista Corp. or the Company) whose term expired on
May 9, 2013, retired from Avista Corp.'s Board of Directors as he has reached the mandatory retirement age of
72 as outlined in the Company's Bylaws.
On February 11,2014, Rick R. Holley provided notification to the Company that he will not stand for reelection
to Avista Corp.'s Board of Directors and he resigned effective February 15,2014. This is due to the fact that the
time requirements for his board service conJlicts with his other professional commitments. He has no
disagreements with the Company.
On February 13,2014, Avista Corp.'s Board of Directors took action to reduce the number of board members
from 10 to 9 effective February 15,2014.
Effective January 2014, Jason R. Thackston was promoted to Senior Vice President. He has been Vice President
of Energy Resources since December 2012.
13. Proprietary capital is not less than 30 percent.
FERC FORM NO.2 (1 108.2
Name of Respondent
Avista Corporation
This Rer(1) 12!(2) -
)ort ls:
An Original
A Resubmission
Date of Report(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of 2013/Q4
Comparative Balance Sheet (Assets and Other Debits)
Line
No.
Title of Account
(a)
Reference
Page Number
(b)
Current Year End of
Quarterl/ear Balance
(c)
Prior Year
End Balance
12t31
(d)
1 UTILITY PLANT
2 Utility Plant (1 0'l-1 06, 1 14)200-201 4,280,005,611 4,044,184,930
3 Construction Work in Progress ('107)200-201 157,258,690 139,513,892
4 TOTAL Utility Plant (Total of lines 2 and 3)200-201 4,437,264,301 4,1 83,698,822
5 (Less) Accum. Provision for Depr., Amort., Depl. (108, 111, 115)1,491,212,830 1,408,153,972
6 Net Utility Plant (Total of line 4 less 5)2,946,051 ,471 2,775,544,850
7 Nuclear Fuel (120.1 thru 120.4, and 120.6)0 0
8 (Less) Accum. Provision for Amort., of Nuclear Fuel Assemblies (120.5)0 0
I Nuclear Fuel (Total of line 7 less 8)0 0
10 Net Utility Plant (Iotal of lines 6 and 9)2,946,051,471 2,775,544,850
11 Utility Plant Adjustments (1 '16)122 0 0
12 Gas Stored-Base Gas (1 1 7.1 )220 6,992,076 6,992,076
13 System Balancing Gas (117.2)220 0 0
14 Gas Stored in Reservoirs and Pipelines-Noncurrent (1 17.3)220 0 0
15 Gas Owed to System Gas (117.4)220 0 0
16 OTHER PROPERTY AND INVESTMENTS
17 Nonutility Property (121 )5,438,891 5,536,702
18 (Less) Accum. Provision for Depreciation and Amortizalion (122)920,905 92',t,820
19 lnvestments in Associated Companies (123)222-223 12,047,000 12,047,000
20 lnvestments in Subsidiary Companies (123.'l)224-225 112,232,104 118,714,423
21 (For Cost of Account '1 23.1 See Footnote Page 224, line 40)
22 Noncurrent Portion of Allowances 0 0
23 Other lnvestments (1 24)222-223 13.980.638 16,439,055
24 Sinking Funds (125)0 0
25 Depreciation Fund (126)0 0
26 Amortization Fund - Federal (127)0 0
27 Other Special Funds ('128)10,897.909 9,154,874
28 Long-Term Portion of Derivative Assets (175)853,757 1,092,593
29 Long-Term Portion of Derivative Assets - Hedges (176)19,574,858 7,265,426
30 TOTAL Other Property and lnvestments (Iotal ol lines 17-20,22-29)174,104,252 '169,328,253
31 CURRENT AND ACCRUED ASSETS
32 Cash (131)3,949,469 2,624,516
33 Special Deposits (1 32-1 34)19,283,082 2.716.333
34 Working Funds (135)864,092 799,065
35 Temporary Cash lnvestments (136)222-223 0 251,390
36 Notes Receivable (141)0 234.901
37 Customer Accounts Receivable (142)182,617,384 '159,703,153
38 Other Accounts Receivable (143)8,417,179 5,188,679
39 (Less) Accum. Provision for Uncollectible Accounts - Credit (144)4,830,036 4,653,167
40 Notes Receivable from Associated Companies (145)s,720,836 314,682
41 Accounts Receivable from Associated Companles (146)286,696 700,835
42 Fuel Stock (151)3,'170,050 4j20,767
43 Fuel Stock Expenses Undistributed (152)0 0
FERC FORM NO. 2 (REV 06-04)Page 1't 0
Name oI Kesponoent
Avista Corporation
This Rer(1) t!(2) I_
rort ls:
An Original
A Resubmission
Date of Report(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 2013/Q4
Comparative Balance Sheet (Assets and Other Debits)(continued)
Line
No.
Title of Account
(a)
Reference
Page Number
(b)
Current Year End of
Quarterl/ear Balance
(c)
Prior Year
End Balance
12t31
(d)
44 Residuals (Elec) and Extracted Products (Gas) (153)0 0
45 Plant Materials and Operating Supplies (154)26,655,710 23,875,397
46 Merchandise (155)0 0
47 Other Materials and Supplies ('156)0 0
48 Nuclear Materials Held for Sale (157)0 0
49 Allowances (158.'l and 158.2)0 0
50 (Less) Noncurrent Portion of Allowances 0 0
51 Stores Expense Undistributed (1 63)0 0
52 Gas Stored Underground-Current (1 64.1 )220 13.028,710 17,276,287
53 Liquefied Natural Gas Stored and Held for Processing (164.2 thru 164,3)220 0 0
54 Prepayments (165)230 7,938,050 16,090,480
55 Advances for Gas (166 thru 167)0 0
56 lnterest and Dividends Receivable (171)30,982 31,981
57 Rents Receivable (172)1,360,262 830,718
58 Accrued Utility Revenues (173)0 0
59 Miscellaneous Current and Accrued Assets (174)752,953 429,'169
60 Derivative lnstrument Assets (1 75)3,875,269 5,231,375
61 (Less) Long-Term Portion of Derivative lnstrument Assets ('175)853,757 1,092,593
62 Derivative lnstrument Assets - Hedges (176)33,544,588 7,265,426
53 (Less) Long-Term Portion of Derivative lnstrument Assests - Hedges (176)19,574,858 7,265,426
64 TOTAL Cunent and Accrued Assets (Total of lines 32 thru 53)286,236,661 234,673,968
65 DEFERRED DEBITS
bb Unamortized Debt Expense (181)'t2,505,134 13,532,890
67 Extraordinary Property Losses (1 82. 1)230 0 0
68 Unrecovered Plant and Regulatory Study Costs (182.2)230 0 0
69 Other Regulatory Assets (182.3)232 381,581,939 559,831,454
70 Preliminary Survey and lnvestigation Charges (Electric)(1 83)875,1 53 3,894,551
71 Preliminary Survey and lnvestigation Charges (Gas)(183.1 and 183.2)0 0
72 Clearing Accounts (1 84)0 0
73 Temporary Facilities (1 85)0 0
74 Miscellaneous Deferred Debits (1 86)233 13,312,292 15,701 ,369
75 Deferred Losses from Disposition of Utility Plant (187)0 0
76 Research, Development, and Demonstration Expend. (188)0 0
77 Unamortized Loss on Reacquired Debt (189)19,417,103 21,635,414
78 Accumulated Deferred lncome Taxes (190)234-235 70,239,422 148,425,469
79 Unrecovered Purchased Gas Costs (191)( 12,074,780)( 6,916,s77)
80 TOTAL Deferred Debits (Total of lines 66 thru 79)485,856,263 756,1 04,570
81 TOTAL Assets and Other Debits (Total of lines 10-15,30,64,and 80)3,899,240,723 3,942,643,717
FERC FORM NO. 2 (REV 06-04)Page 11'l
Name of Respondent
Avista Corporation
This Rer(1) l!(2) rl
rort ls:
An Original
A Resubmission
uale ol Kepon(Mo, Da, Yr)
04111120'.t4
YearPenoo ol Kepon
End of 2013/Q4
Comparative Balance Sheet (Liabilities and Other Credits)
Line
No.
Title of Account
(a)
Reference
Page Number
(b)
Current Year
End of
QuarterfYear
Balance
Prior Year
End Balance
1?,31
(d)
1 PROPRIETARY CAPITAL
2 Common Stock lssued (201)250-251 869.342.827 863,316,222
3 Preferred Stock lssued (204)250-251 0 0
4 Capital Stock Subscribed (202, 205)252 0 0
5 Stock Liability for Conversion (203, 206)252 0 0
6 Premium on Capital Stock (207)252 0 0
7 Other Paid-ln Capital (208-211)253 8,089,025 10.942,942
8 lnstallments Received on Capital Stock (212)252 0 0
9 (Less) Discount on Capital Stock (2 13)254 0 0
10 (Less) Capital Stock Expense (2'14)254 ( 19,561 ,527)( 14,977,565)
11 Retained Earnings (2'1 5, 21 5.1, 2'16)118-119 413,009,873 377,687,824
12 Unappropriated Undistributed Subsidiary Earnings (216. 1 )118-119 ( 5,918,024)( 747,337\
13 (Less) Reacquired Capital Stock (217)250-251 0 0
14 Accumulated Other Comprehensive lncome (219)117 ( 5,819,930)( 6,700,160)
15 TOTAL Proprietary Capital (Total of lines 2 thru '14)1,298,265,298 1,259,477,056
16 LONG TERM DEBT
17 Bonds (221)256-257 1,376,700,000 1,336,700,000
18 (Less) Reacquired Bonds (222)256-257 83,700,000 83,700,000
19 Advances from Associated Companies (223)256-257 51,547,000 51,547,000
20 Other Long-Term Debl (224)256-257 0 0
21 Unamortized Premium on Long-Term Debt (225)258-259 195,433 204,316
22 (Less) Unamortized Discount on Long-Term DebFDr (226)258-259 1,482,644 1,656,685
23 (Less) Current Portion of Long-Term Debt 0 0
24 TOTAL Long-Term Debt (Iotal of lines '17 thru 23)'1,343,259,789 1,303,094,631
25 OTHER NONCURRENT LIABILITIES
26 Obligations Under Capital Leases-Noncu rrenl (227)4,1 93,852 4.491,191
27 Accumulated Provision for Property lnsurance (228.1)0 0
28 Accumulated Provision for lnjuries and Damages (228.2)240,000 700,447
29 Accumulated Provision for Pensions and Benefits (228.3)122,512,892 283,984,764
30 Accumulated Miscellaneous Operating Provisions (228.4)0 0
31 Accumulated Provision for Rate Refunds (229)2,489,686 0
FERC FORM NO. 2 (REV 06-04)Page 112
Name of Respondent
Avista Corporation
This ReDort ls:(1) fiRn Originat(2, l-lA Resubmission
uale or Kepon(Mo, Da, Yr)
04t11t2014
YeauHenoo oT Kepon
End of !01!Q3[
Comparative Balance Sheet (Liabilities and Other Credits)(continued)
Line
No.
Title of Account
(a)
Reference
Page Number
(b)
Current Year
End of
Quarter/Year
Balance
Prior Year
End Balance
12t31
(d)
32 Long-Term Portion of Derivative lnstrument Liabilities 18,355,M0 26,310,290
33 Long-Term Portion of Derivative lnstrument Liabilities - Hedges 0 0
34 Asset Retirement Obligations (230)2,847,207 3,167,936
35 TOTAL Other Noncurrent Liabilities (Total of lines 26 thru 34)150,638,677 318,654,628
36 CURRENT AND ACCRUED LIABILITIES
37 Current Portion of Long-Term Debt 0 0
38 Notes Payable (231)171 ,000,000 52,000,000
39 Accounts Payable (232\1 07,675,819 116,147,642
40 Notes Payable to Associated Companies (233)0 598
41 Accounts Payable to Associated Companies (234)810,91 1 709,623
42 Customer Deposits (235)3,393,269 3.323.152
43 Taxes Accrued (236)262-263 22,103,801 22.309.642
44 lnterest Accrued (237)13,444,066 12,038,698
45 Dividends Declared (238)0 0
46 Matured Long-Term Debt (239)0 0
47 Matured lnterest (240)0 0
48 Tax Collections Payable (241)115,213 120,427
49 Miscellaneous Current and Accrued Liabilities (242)268 55,243,462 61,331,657
50 Obligations Under Capital Leases-Current (243)297,339 258,586
51 Derivative lnstrument Liabilities (244)29,230,059 55,825,491
52 (Less) Long-Term Portion of Derivative lnstrument Liabilities 18,355,041 26,310,290
53 Derivative lnstrument Liabilities - Hedges (245)0 1 .433.1 60
54 (Less) Long-Term Portion of Derivative lnstrument Liabilities - Hedges 0 0
55 TOTAL Cunent and Accrued Liabilities (Iotal of lines 37 thru 54)384,958,898 299,1 88,386
56 DEFERRED CREDITS
57 Customer Advances for Construction (252)1,459,117 947,342
58 Accumulated Deferred lnvestment Tax Credits (255)12,387,031 12,613,058
59 Deferred Gains from Disposition of Utility Plant (256)0 0
50 Other Deferred Credits (253)269 2s,3s9,333 26.1 69.966
ot Other Regulatory Liabilities (254)278 71,742,330 55,244,962
62 Unamortized Gain on Reacquired Debt (257)260 2,225,581 2,355,1 I 8
b5 Accumulated Deferred lncome Taxes - Accelerated Amortization (281)0 0
64 Accumulated Deferred lncome Taxes - Other Property (282)447100,235 4'1 9,216,613
65 Accumulated Deferred lncome Taxes - Other (283)161 ,844,434 245,681,957
66 TOTAL Deferred Credits (fotal of lines 57 thru 65)722,118,061 762,229,o',t6
ot TOTAL Liabilities and Other Credits Ootal of lines 15,24,35,55,and 66)3.899,240.723 3.942,643,717
FERC FORM NO. 2 (REV 06-04)Page 113
Name of Respondent
Avista Corporation
This Reoort ls:(1) fien Original(2) [-lA Resubmission
uate ot Hepon(Mo, Da, Yr)
04t11t2014
YeailPenoo or Kepon
End of 2013/Q4
Statement of lncome
Quarterly
1. Enter in column (d) the balance for the reporting quarter and in column (e) the balance for the same three month period for the prior year.
other utility function for the current year quarter.
cther utility function for the prior year quarter.
4. lf additional columns are needed place them in a foolnote.
Annual or Quarterly, if applicable
5. Do not report fourth quarter data in columns (e) and (0
5. Report amounts for accounts 412 and 41 3, Revenues and Expenses from Utility Plant Leased to Others, in another utility columnin a similar manner to a utility department.
Spread the amount(s) over lines 2 thru 26 as appropriate. lnclude these amounts in columns (c) and (d) totals.
7. Report amounts in account 414, Other Utility Operating lncome, in the same manner as accounls 412 and 413 above.
8. Report data for lines 8, 10 and I 1 for Natural Gas companies using accounts 404.1, 4O4.2, 404.3, 407 .1 and 407 .2.
9. Use page 1 22 for important notes regarding the statement of income for any account thereof.
1 0. Give concise explanations concerning unsettled rate proceedings where a contingency exists such that refunds of a material amount may need to be made to the utility's
customers or which may result in material refund to the utility with respect to power or gas purchases. State for each year effected the gross revenues or crsts to which the
respect to power or gas purchases.
received or costs incuned for power or gas purches, and a summary of the adjustments made to balance sheet, income, and expense accrunts.
12. lf any notes appearing in the report to stokholders are applicable to the Statement of lncrme, such notes may be included al page 122.
1 3. Enter on page 122 a concise explanation of only those changes in accounting mehods made during the year which had an effect on net income, including the basis of
allocations and apportionments from those used in the preceding year. Also, give the appropriate dollar efiect of such changes.
1 4. Explain in a footnote if the previous yea/s/quarter's figures are different from that reported in prior reports.
Title of Acmunt
Line (a)
No.
Reference
Page
Number
(b)
Totai
Cunent Year to
Date Balance
for Ouarterlfear
(c)
Total
Prior Year to Date
Balance
for ouarbrfYear
(d)
Current Three
Months Ended
Ouarterly 0nly
No Fourth Quarter
(e)
Prior Three
Months Ended
Quarterly Only
No Fourth Quarter
0
1 ,TIL]rY OPERATING INCOiIE
2 )as Operating Revenues (400)30G30t 1,574,987,36t 1,494,227,540 0
3 )perating Expenses
4 Operation Expenses (401)317-325 1,054,508,44;1,051,630,004 n
5 Maintenance Expenses (402)317.325 60,947,441 6'1,377,568 0
6 Depreciation Expense (403)33S338 105.822,751 102,188,312 0
7 Depreciation Expense for Asset Retkement Costs (403.1)33G338 0 0
8 Amortization and Depletion of Utility Plant (40&405)$e$8 13,800,85i 12,353,382 0
I Amortization of Utility Ptant Acu, Adjustrnent (406)33&338 99,04 99,Or7 0
10 Amorl. of Prop. Losses, Unrecovered Plant and Reg. Study Costs (407.1)0 0
't1 Amortization of Conversion Expenses (407.2)0 0
12 Regulalory Debits (407.3)12,986,97i 5,612,331 0
13 (Less) Regulatory Credits (407.4)13,582,141 24,170,474 0
14 Taxes Other han lncome Taxes (408.1)262-263 88.262.n'83,263,801 0
15 lnconre Taxes-Federal (409, 1)262-263 39,972.031 14,435,558 0
16 lncome Taxes-Other (409.1)262-263 2,066,33r 379,91 1 0
17 Provision ol Defened lncome Taxes (410.1)23+235 31,1v,261 35,782,466 0
18 (Less) Provision for Defened lncome Taxes-Credit (41 1.1)23+235 4,70,68(4,224,555 0
't9 lnvestment Tax Credit Adjustment"Net (41 1.4)(238,869 2,073,'106 0 0
20 (Less) Gains ftom Dispsition of Utility Plant (411.6)0 0 0
21 Losses from Disposition of Utility Plant (41 1.7)0 0 0
22 (Less) Gains from Disposition of Allowances (41 1.8)0 0 0
23 Losses from Disposition of Allowances (41 1.9)0 U
24 Accretion Expense (411.10)0 0
25 TOTAL Utility Operating Expenses ffotal of lines 4 thru 24)1,391,029,23(1,340,800,4s7 0
26 Nel Utility operating lncome (Total of lines 2 less 25) (Carry forward to page 1 16,
ne 27]|1 83,958,1 3t 153,427,083 0
FERC FORM NO. 2 (REV 05-04)Page 114
Name of Respondent
Avista Corporation
lnrs KeDon ls:(1) []nn orisinat(2) nA Resubmission
uale or F<epon(Mo, Da, Y0
04111t2014
Year/Period of Report
End of 2013/Q4
Statement of lncome
Line
No.
Elec. Utility
Current
Year to Date
(in dollars)
(s)
Elec. Utility
Previous
Year to Date
(in dollars)
(h)
Gas Utility
Current
Year to Date
(in dollars)
(D
Gas Utility
Previous
Year to Date
(in dollars)
(i)
Other Utility
Current
Year to Date
(in dollars)
(k)
Other Utility
Previous
Year to Date
(in dollars)
(t)
2 1,049,456,902 1,017,916,105 525,530,466 476,31 1,435 0 0
4 635,6't5,026 664,363,922 418,893,421 387,266,082 0 0
5 48,867,669 50,481,432 12,079,774 10,896,136 0 0
6 84,631,445 83,017,204 21,191,307 1 9,1 71,1 08 0 0
7 0 0 0 0 0 0
8 '10,778,960 9,725,903 3,021,893 2,627,479 0 0
9 99,047 99,047 0 0 0
10 0 0 0 0 U 0
11 0 0 0 U 0 0
12 12,125.143 4,61 8,160 861,829 994,17'l 0 0
13 1 3,080,536 22,537,730 501,6'10 1,632,744 0 0
14 66,342,004 62.217,029 21,920.767 21,046,772 0 0
15 31,663,448 16,824,429 8,308,591 2,388,871)0 0
't6 1,388,109 432,992 678,229 ( 53,081)0 0
17 25,700.222 24,012,637 5,454,047 'l 't,769,829 0 0
18 4,871,648 4,120,508 100,962)104,047 0 0
't9 199,1 13)2,1 1 5,166 39,756)42,060)0 0
20 0 0 0 0 0 0
21 0 0 0 0 0 0
22 0 0 0 0 0 0
23 0 0 0 0 0 0
24 0 0 0 0 0 0
25 899,059,776 891,249,683 491,969,454 449,550,774 0 0
26 1 50,397,1 26 126,666,422 33,561,012 26,760,661 0 0
FERC FORM NO.2 (REV 06-04)Page 115
Name of Respondent
Avista Corporation
This Report ls:(1) [nn original(2) l_lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Statement of lncome(continued)
Line
No.
Title ofAccount Reference
page
Number
(a)
(b)
Total Total
Currenl Year to Prior Year to Date
Date Balance Balance
for QuarbrfYear for ouarterffear
(c) (d)
Current Three
Months Ended
Ouarlerly Only
No Fourth ouarter
(e)
Prior Three
Months Ended
Quarterly Only
No Fourth Ouarler
(0
27 Net Utility operating lncome (Canied IoMard from page 'l14)183,958,13r 153,427,083 0
28 )THER INCOME AND DEDUCTIONS
29 )ther lncome
30 Nonutility Operating lncome
31 Revenues form Merchandising, Jobbing and Contract Wo* (415)0 0
32 (Less) Costs and Expense of Merchandising, Job & Contract Work (416)0 0
33 Revenues from Nonutility Operations (417)| 13,172 (236)0
34 (Less) Expenses of Nonutility Operations (417.1)10,6i14,78{8,415,859 0
35 Nonoperaling Rental lncome (418)(3.699 (2,749\0
36 Equity in Eamings of Subsidiary Companies (418,1)l'19 4.593,23{( 1,206,861)0
37 lnlerest and Dividend lncome (419)2,432,39i 1,864,n3 0
38 Allowance lor other Funds Used During Construction (419.1)6,065,62t 4,054,947 0
39 Miscellaneous Nonoperating lncome (421)0 0
40 Gain on Disposition of Property (421.1)0 0
41 TOTAL Other lncome (Total of lines 31 thru 40)2,429,60,( 3,706,465)0
42 )ther lncome Deductions
43 Loss on Disposilion of Ptoqnt 921.21 0 0
44 Miscellaneous Amortization (425)U 0
45 Donations (426.1)340 3,320,43'2,272,123 0
46 Life lnsurance (426.2)2,s99,89i 2,533,5s2 0
47 Penalties (426.3)109.22'15.251 0
48 Expenditures for Cerlain Civic, Political and Related Activities (426.4)1,605,67 1,414,338 0
49 other Deductions (426.5)4.366.47'1.815,326 0
50 TOTAL Other lncome Deductions (Total of lines 43 thru 49)340 12,N1,71 8,0s0,590 0
51 axes Applic. to Other lncome and Deductions
52 Taxes Olher than lncome Taxes (408,2)zot- zoJ 172,M'145,213 0
53 lncome Taxes-Federal (409.2)262-263 (481,927 106,965 0
54 lncome Taxes-Other (409.2)262-263 ( 1,004,519 ( 1,231,456)0
55 Provision for Defened lncome Taxes (410.2)23+23s ( 1,731,439 (520,718)0
56 (Less) Provision for Deferred lnmme Taxes-Credit (41 1.2)23+235 5,632,03 5,190,742 0
57 lnvestment Tax Credit Adjustments-Net (41 1.5)0 0
58 (Less) lnvestment Tax Credits (420)0 0
59 ToTAL Taxes on Other lncome and Deductions fiotal of lines 52-58)( 8,677,469 ( 6,690,738)0
60 Nel Other lncome and Deductions [fotal of lines 41, 50, 59)(894,638 ( s,066,317)0
61 NTEREST CHARGES
62 lnlerest on Long-Term Debt (427)68,485,49r 65,281,624 0
63 Amortization of Debt Disc. and Expense (428)25&259 448,321 447,351 0
64 Amortization of Loss on Reacquired Debt (428.1)3,373,53t 3,364.150 0
55 (Less) Amortization of Premium on Debt-Credit (429)25&259 8,88 8,883 0
66 (Less) Amortization of Gain on Reacquired Debt-Credit (429,1)0 0 0
67 lnterest on Debt to Associated Companies (430)340 750,51 885,123 0 0
68 Other lnterest Expense (431)340 2,613,46 2,fi2,407 0 0
69 (Less) Allowance for Borrowed Funds Used During Construction-O.edit (432)3,675,78 2,401,072 0 0
70 Net lnterest Charges (Total of lines 62 thru 69)71.986.66 70,1 50,700 0 0
71 lncome Before Extrerdinary ltems (Total of lines 27,60 and 70)1'l'1,076,83 78,210,066 U 0
72 ,$R^ORDINARY TTE]IIS
73 Extraordinary lncome (434)0
74 (Less) Extraordinary Deductions (435)0 0
75 Net Extraordinary ltems (Iotal of line 73 less line 74)0 0
76 lncome Taxes-Federal and other (409,3)262-263 0 U
77 Extraordinary ltems afler Taxes (Total of line 75 less line 76)0 0
78 Net lncome (Total of lines 7l and 77)1 1 1,076,83i 78,210,066 0
FERC FORM NO. 2 (REV 06-04)Page
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Original(2) nA Resubmission
Date of ReDort(Mo, Da, Yi)
o4t1112014
Year/Period of Report
End of 20'l3lQ4
Statement of Accumulated Comorehensive lncome and Hedqinq Activities
1. Report in columns (b) (c) and (e) the amounts of accumulated other comprehensive income items, on a net-of-tax basis, where appropriate.
2. Report in columns (0 and (g) the amounts of other categories of other cash flow hedges.
3. For each category of hedges that have been accounted for as "fair value hedges", report the accounts affected and the related amounts in a footnote.
_rne
No.Item
(a)
Unrealized Gains
and Losses on
available-for-sale
seqlrities
(b)
Minimum Pension
liabililty Adjustment
(net amount)
(c)
Foreign Cunency
Hedges
(d)
Other
Adjustments
(e)
1 Balance of Account 219 at Beginning of Preceding
Year 134,046 ( 5,770,872)
Preceding Quarterffear to Date Reclassifications
from Account 21 9 to Net lncome ( 290,263)
Preceding Quarterl/earto Date Changes in Fair
Value 323,478 ( 1,096,549)
Total (lines 2 and 3)33,215 ( 1,096,s49)
Balance ot Account 21 9 at End of Preceding
Quarterffear 167,261 ( 6,867,421)
Balance of Account 21 9 at Beginning of Cunent Year 167,261 ( 6,867,421)
Cunent Quarterffear to Date Reclassifications from
Account 21 9 to Net lncome ( 12,411)
Cunent Quarterffear to Date Changes in Fair Value ( 1,740,705)2,633,346
Total (lines 7 and 8)( 1,7s3,116)2,633,346
1 Balance of Account 219 at End of Cunenl
Quarterffear ( 1,585,85s)( 4,234,075)
FERC FORM NO. 2 (NEW 06-02)Page 117
Name oI Hesponoent
Avista Corporation
This Reoort ls:(1) 5]en orisinat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
End of 20131Q4
Statement of Accumulated Gomprehensive lncome and Hedqinq Activities(continued)
Line
No.
Other Cash Flow Hedges
lnterest Rate Swaps
(0
Other Cash Flow Hedges
(lnsert Category)
(s)
Totals for each
category of
items recorded in
Account 219
(h)
Net lncome
(Canied Forward
from Page 1 16,
Line 78)
(D
Total
Comprehensive
lncome
(i)
1 ( 5,636,826)
290,263)
( 773,071)
4 ( 1,063,334)78,210,066 77,146,732
( 6,700,160)
6 ( 6,700,160)
( 12,411)
892,641
880,230 't11,076,833 111,957,063
10 ( 5,819,930)
FERC FORM NO. 2 (NEW 06-02)
Name of Respondent
Avista Corporation
This Rep(1) E(2) n
ort ls:
An Original
A Resubmission
Date of Report(Mo, Da, Y0
04t11t2014
Year/Period of Report
End of 20'13/04
Statement of Retained Earnings
1 . Report all changes in appropriated retained earnings, unappropriated retained eamings, and unappropriated undistributed subsidiary eamings for the year.
2. Each credit and debit during the year should be identifed as to the retained eamings account in which remrded (Accounb 433, 436-439 inclusive). Show the contra primar accounl
affected in column (b).
3. State the purpose and amount for each reservation or appropriation of retained eamings.
5. Show dividends for each class and series of capital stock,
Line
No.
Item
(a)
Contra Primary
Account Affected
(b)
Cunent Quarter
Year to Date
Balance
(c)
Previous Quarter
Year to Date
Balance
(d)
UNAPPROPRIATED RETAINED EARNINGS
1 Balance-Beoinninq of Period 376,1 39,703 362,988,164
2 Changes (ldentify by prescribed retained eamings accounts)
3 AdiustrnenB to Retained Earninqs (Account 439)
4 TOTAL Credib to Retained Eaminos (Account 439) {footnote details)
5 TOTAL Debits to Retained Eamings (Account 439) (footnote details)
6 Balance Transfened from lncome (Acct 433 less Acct 418.1 )98,311714 79,416,927
7 Appropriations of Retained Eaminos (Account 436)
8 TOTAL Appropriations of Retained Eamings (Account 436) (footnote details)
9 Dividends Declared-Preferred Stock (Account 437)
10 TOTAL Dividends Declared-Prefened Stock (Accounl 437) (footnote details)
11 Dividends Declared-Common Stock (Account 438)
12 TOTAL Dividends Declared-Common Stock (Account 438) (footnote details)73,276,102 68,5s2,375
13 Transfen from Account 216,1, Unappropriated Undistributed Subsidiary Eamings 2,114,557 2.286,987
14 Balance-End of Period (Total of lines 1, 4, 5, 6, 8, 1 0, 'l 2, and 1 3)403,295,872 376,1 39,703
15 APPROPRIATED RETAINED EARNINGS (Account 215)
16 TOTAL Appropriated Retained Eamings (Account 215) (footnote details)9,714,001 1,548,121
17 APPROPRIATED RETAINED EARNINGS-AMORTIZATION RESERVE, FEDERAL (Account
18 T0TAL Appropriated Retained Eaminqs-Amortization Reserve, Federal (Account
19 TOTAL Appropriated Retained Eamings (Accounts 215,215.1\ Ootal of lines 9,714,001 1,548,121
20 TOTAL Retained Eaminss (Accounts 215, 215.1,216\ fiotal of lines 14 and 1 413,009,873 377,687,824
21 UNAPPROPRIATED UNDISTRIBUTED SUBSIDIARY EARNINGS (Account 216.1 )
Report only on an Annual Basis no Quarterly
22 Balance-Beginninq of Year (Debit or Credit)747,3371 ( 28,386,302)
23 Equity in Eaminqs forYear (Credit) (Account4'18.1)4,593,239 '1,206,861)
24 (Less) Dividends Received (Debit)
25 Other Chanoes (Exolain)( 9,763,926)28,84s,826
26 Balance-End of Year ( s,918,024)747,3371
FERC FORM NO. 2 (12-s6)Page 118-119
Name of Respondent
Avista Corooration
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013/Q4
FOOTNOTE DATA
:118 Column: c
The balance transferred from income to unapprorpriated retained earnings does not equal net income less subsidiary eamings in the
current year because a portion ofnet income for the current year was recorded to appropriated retained earnings in accordance with the
hydroelectric licensing requirements of section l0(d) of the Federal Power Act (FPA). The Company maintains an appropriated
retained earnings account for any earnings in excess of the specified rate of return on the Company's investment in the licenses for its
various hydro projects. The rate ofreturn on investrnent is specified in the various hydroelectric licensing agreements forthe Clark
Fork River and Spokane River. Per section 10(d) of the FPA, the Company must maintain these excess earnings in an appropriated
retained earnings account until the termination of the licensing agreements or apply them to reduce the net investment in the licenses of
the hydroelectric projects at the discretion of the FERC.
FERC FORM NO.2 552.1
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Originat(2) nA Resubmission
uare or Kepon(Mo, Da, Yr)
04t11t2014
YearHenoo or Hepon
End of 2013/Q4
Statement of Cash Flows
(1) Codes to be used:(a) Net Proceeds or Payments;(b)Bonds, debentures and other long{erm debt; (c) lnclude commercial paper; and (d) ldentify
separately such items as investments, fixed assets, intangibles, etc.
(2) lnformation about noncash investing and financing activities must be provided in the Notes to the Financial statements. Also provide a reconciliation
between "Cash and Cash Equivalents at End of Period" with related amounts on the Balance Sheet.
(3) Operating Activities - Other: lnclude gains and losses pertaining to operating activities only. Gains and losses pertaining to investing and financing
activities should be reported in those activities. Show in the Notes to the Financials the amounts of interest paid (net of amount capitalized) and income
taxes paid.
(4) lnvesting Activities: lnclude at Other (line 25) net cash outflow to acquire other companies. Provide a reconciliation of assets acquired with liabilities
assumed in the Notes to the Financial Statements. Do not include on this statement the dollar amount of leases capitalized per the USofA General
lnstruction 20; instead provide a reconciliation of the dollar amount of leases capitalized with the plant cost.
Line Description (See lnstructions for explanation of codes)Current Year
to Date
Quarterf/ear
Previous Year
to Date
QuarterA/ear
No.
(a)
Net Cash Flow from Operating Activities
2 Net lncome (Line 78(c) on page 1 16)111,076.833 78,210,066
3 Noncash Charges (Credib) to lncome:
Depreciation and Depletion 117,173,574 1 12,091 ,663
5 Amortization ofdefened powerand gas cosb, debtexpense and exchange power ( 3,144,s20)12,954,915
b Defened lncome Taxes (Net)20,846,650 19,589,845
7 lnvestrnent Tax Credit Adjustments (Net)( 226,027)2,212,172
8 Net (lncrease) Decrease in Receivables ( 30,523,370)12,838,942
o Net (lncrease) Decrease in lnventory 2.417.98',1 4,33 t ,613
10 Net (lncrease) Decrease in Allowances lnventory
11 Net lncrease (Decrease) in Payables and Accrued Expenses ( 4,903,140)3'.t,767,362
12 Net (lncrease) Decrease in Other Regulatory Asseb ( 899,982)( 4,674,400)
'13 Net lncrease (Decrease) in Other Regulaiory Liabilities 7,774,282 ( 4,241,041)
14 (Less) Allowance for Other Funds Used During Construction 6,065,628 4,054,947
15 (Less) Undistributed Eamings from Subsidiary Companies 4,593,239 ( 1 ,206,851)
16 Other (footnote details):1; 1{ I ;,1,4;P.8Qr-8!.$,ii;*;i::i;1.3,i7,,1"7-9CI
17 Net Cash Provided by (Used in) Operating Activities
18 (Total of Lines 2 thru 1 6)204,052,587 275,980,953
19
20 Cash Flows hom lnvestment Activities:
21 Construction and Acquisition of Plant (including land):
22 Gross Additions to Utility Plant (less nuclear fuel)( 294,363,192)( 268,743,138)
23 Gross Additions to Nuclear Fuel
24 Gross Additions to Common Utility Plant
25 Gross Additions to Nonutility Plant
26 (Less) Allowance for Other Funds Used During Construction
27 Other (footnote details):
28 Cash Outflows for Plant (Total of lines 22 thru 27)( 294,363,192)( 268,743,138)
29
30 Aquisition of Other Noncunent Assets (d)
31 Proceeds from Disposal of Noncunent Assets (d)
3t Federal grant paymenb received 3,409,479 8,277,036
33 Investmenb in and Advances to Assoc. and Subsidiary Companies ( 4,891,325)( 19,138,510)
34 Contributions and Advances from Assoc. and Subsidiary Companies
35 Disposition of lnvesfnents in (and Advances to)
36 Associated and Subsidiary Companies
37
38 Purchase of lnvestment Securities (a)
10 Proceeds from Sales of lnvestrnent Securities (a)
FERC FORM NO. 2 (REV 06-04)Page
Name of Respondent
Avista Corporation
lnts Keoon ls:(1) []Rn Orisinat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
0411112014
Year/Period of Reporl
End of 2013/Q4
Statement of Cash Flows (continued)
Line
No.
Description (See lnstructions for explanation of codes)
(a)
Current Year
to Date
QuarterfYear
Previous Year
to Date
QuarterfYear
40 Loans Made or Purchased
41 Collections on Loans
42 Restricted cash 481,'.t70
43 Net (lncrease) Decrease in Receivables
44 Net (lncrease) Decrease in lnventory
45 Net (lncrease) Decrease in Allowances Held for Speculation
46 Net lncrease (Decrease) in Payables and Accrued Expenses
47 Changes in other property and investments 6,1 67 4,540,'t98
48 Net Cash Provided by (Used in) lnvesting Activities
49 (Total of lines 28 thru 47)( 295,357,701)( 275,064,414)
50
51 Cash Flows from Financing Activities:
52 Proceeds from lssuane,e of:
53 Long-Term Debt (b)90,000,000 80,000,000
54 Prefened Stock
55 Common Stock 4,609,006 29,078,745
56 Other (footnote details):
57 Net lncrease in Short-term Debt (c)
58 Cash received for settlement of interest rate swap agreements
5g Cash Provided by Outside Sources (Total of lines 53 thru 58)94,609,006 109,078,745
60
6'l Paymenb for Retirement of:
62 Long-Term Debt (b)( 50,258,586)( 11,324,884)
63 Prefened Stock
64 Common Stock
65 Other 2,369,386 ( 1 9,310,473)
66 Net Decrease in Short-Term Debt (c)1 19,000,000 ( 9,o00,ooo)
67 Premium paid lo repurchase long{erm debt
68 Dividends on Prefened Stock
69 Dividends on Common Stock ( 73,276,102)( 68,552,375)
70 Net Cash Provided by (Used in) Financing Activities
71 (Total of lines 59 thru 69)92,443,704 89'1,0't3
72
73 Net lncrease (Decrease) in Cash and Cash Equivalents
74 (Total of line 18, 49 and 71)1 ,1 38,590 't,807.552
75
76 Cash and Cash Equivalenb at Beginning of Period 3,674,971 1 ,867,419
77
78 Cash and Cash Equivalenb at End of Period 4,813,561 3,674,971
FERC FORM NO. 2 (REV 06-04)Page 120a
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQl A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2013tQ4
FOOTNOTE DATA
120 Line No.: 16 Column: b
Power and natural gas deferrals
Change in special deposits
Change in other current assets
Non-cash stock compensation
Cash paid for foreign currency hedges
Allowance for doubtful accounts
Change in other non+urrent assets and liabilities
Write-off of Reardan wind generation assets
Change in Coyote Springs 2 O&M LTSA
1,284,946
(16,072,800)
7,300,101
5,036,659
(30,270)
4,792,409
(7,470,522)
2,533,578
(1,376,514)
ation costs
Power and natural gas deferrals
Change in special deposits
Change in other current assets
Non-cash stock compensation
Cash paid for foreign currency hedges
Allowance for doubtful accounts
Change in other non-current assets and liabilities
and
rc:1
878.414
1,704,991
9,792,264
1,080,222
4,549,448
35,881
3,973,772
(7,388,676)
FERC FORM NO.2 (1 552.1
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t20't4
Year/Period of Report
2013tQ4
Notes to Financial Statements
1. Provide important disclosures regarding the Balance Sheet, Statement of lncome for the Year, Statement of Retained Earnings for the Year,
and Statement of Cash Flow, or any account thereof. Classify the disclosures according to each financial statement, providing a subheading for
each statement except where a disclosure is applicable to more than one statement. The disclosures must be on the same subject matters and
in the same level of detail that would be required if the respondent issued general purpose financial statements to the public or shareholders.
2. Furnish details as to any significant contingent assets or liabilities existing at y'ear end, and briefly explain any action initiated by the lnternal
Revenue Service involving possible assessment of additional income taxes of material amount, or a claim for refund of income taxes of a
material amount initiated by the utility. Also, briefly explain any dividends in arrears on cumulative preferred stock.
3. Furnish details on the respondent's pension plans, post-retirement benefits other than pensions (PBOP) plans, and post-employment benefit
plans as required by instruction no. 1 and, in addition, disclose for each individual plan the current year's cash contributions. Furnish details on
the accounting for the plans and any changes in the method of accounting for them. lnclude details on the accounting for transition obligations
assets, gains or losses, the amounts deferred and the expected recovery periods. Also, disclose any current year's plan or trust curtailments,
terminations, transfers, or reversions of assets. Entities that participate in multiemployer postretirement benefit plans (e.9. parent company
sponsored pension plans) disclose in addition to the required disclosures for the consolidated plan, (1) the amount of cost recognized in the
respondent's financial statements for each plan for the period presented, and (2) the basis for determining the respondent's share of the total
plan costs.4. Furnish details on the respondent's asset retirement obligations (ARO) as required by instruction no. 1 and, in addition, disclose the
recovered through rates to settle such obligations. ldentify any mechanism or account in which recovered funds are being placed (i.e. trust funds,
insurance policies, surety bonds). Furnish details on the accounting for the asset retirement obligations and any changes in the measurement or
method of accounting for the obligations. lnclude details on the accounting for settlement of the obligations and any gains or losses expected or
incurred on the settlement.
5. Provide a list of all environmental credits received during the reporting period.
6. Provide a summary of revenues and expenses for each tracked cost and special surcharge.
7. Where Account 189, Unamortized Loss on Reacquired Debt, and 257 , Unamorlized Gain on Reacquired Debt, are not used, give an
explanation, providing the rate treatment given these item. See General lnstruction 1 7 of the Uniform System of Accounts.8. Explain concisely any retained earnings restrictions and state the amount of retained earnings affected by such restrictions.9. Disclose details on any significant financial changes during the reporting year to the respondent or the respondent's consolidated group that
directly affect the respondent's gas pipeline operations, including: sales, transfers or mergers of affiliates, investments in new partnerships, sales
of gas pipeline facilities or the sale of ownership interests in the gas pipeline to limited partnerships, investments in related industries (i.e.,
production, gathering), major pipeline investments, acquisitions by the parent corporation(s), and distributions of capital.
10. Explain concisely unsettled rate proceedings where a contingency exists such that the company may need to refund a material amount to
the utility's customers or that the utility may receive a material refund with respect to power or gas purchases. State for each year affected the
gross revenues or costs to which the contingency relates and the tax effects and explain the major factors that affect the rights of the utility to
retain such revenues or to recover amounts paid with respect to power and gas purchases.
11. Explain concisely significant amounts of any refunds made or received during the year resulting from settlement of any rate proceeding
affecting revenues recrived or costs incurred for power or gas purchases, and summarize the adjustments made to balance sheet, income, and
expense accounts.
12. Explain concisely only those significant changes in accounting methods made during the year which had an effect on net income, including
the basis of allocations and apportionments from those used in the preceding year. Also give the approximate dollar effect of such changes,
13. For the 3Q disclosures, respondent must provide in the notes sufficient disclosures so as to make the interim information not misleading.
Disclosures which would substantially duplicate the disclosures contained in the most recent FERC Annual Report may be omitted.
14. For the 3Q disclosures, the disclosures shall be provided where events subsequent to the end of the most recent year have occurred which
have a material effect on the respondent. Respondent must include in the notes significant changes since the most recently completed year in
such items as: accounting principles and practices; estimates inherent in the preparation of the financial statements; status of long{erm
contracts; capitalization including significant new borrowings or modifications of existing financing agreements; and changes resulting from
business combinations or dispositions. However were material contingencies exist, the disclosure of such matters shall be provided even though
a significant change since year end may not have occurred.
15. Finally, if the notes to the financial statements relating to the respondent appearing in the annual report to the stockholders are applicable
and furnish the data required by the above instructions, such notes may be included herein.
NOTES TO FINANCIAL STATEMENTS
NOTE I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Business
Avista Corporation (Avista Corp. or the Company) is an energy company engaged in the generation, fansmission and distribution of
electricity and the distribution of natural gas, as well as other energy-related businesses. Avista Corp. provides electric distribution and
transmission, as well as natural gas distribution, services in parts of eastern Washington and northern Idaho. Avista Corp. also provides
natural gas distribution service in parts of northeastern and southwestern Oregon. Avista Corp. has generating facilities in Washington,
Idaho, Oregon and Montana. The Company also supplies electicity to a small number of customers in Montana, most of whom are
employees who operate one of the Montana generating facilities. Avista Capital, Inc. (Avista Capital), a wholly owned subsidiary of
Avista Corp., is the parent company of all of the subsidiary companies, except Spokane Enerry, LLC (Spokane Enerry). Avista
FERC FORM NO.2/3.Q 122.1
Name of Respondent
Avista Corporation
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t1112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Capital's subsidiaries include Ecova, lnc. (Ecova), a 80.2 percent owned subsidiary as of December 31, 2013. Ecova is a provider of
energy efficiency and other facility information and cost management programs and services for multi-site customers and utilities
throughout North America.
Basis of Reporting
The financial statements include the assets, Iiabilities, revenues and expenses ofthe Company and have been prepared in accordance
with the accounting requirements of the Federal Energy Regulatory Commission (FERC) as set forth in its applicable Uniform System
of Accounts and published accounting releases, which is a comprehensive basis of accounting other than accounting principles
generally accepted in the United States of America (U.S. GAAP). As required by the FERC, the Company accounts for its investment
in majority-owned subsidiaries on the equity method rather than consolidating the assets, Iiabilities, revenues, and expenses of these
subsidiaries, as required by U.S. GAAP. The accompanying fu:ancial statements include the Company's proportionate share of utility
plant and related operations resulting from its interests in jointly owned plants. In addition, under the requirements of the FERC, there
are differences from U.S. GAAP in the presentation of (l) current portion of long-term debt (2) assets and liabilities for cost of
removal of assets, (3) assets held for sale, (4) regulatory assets and liabilities, (5) defened income taxes and (6) comprehensive
income.
ase of Estimates
The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of
America (U.S. GAAP) requires management to make estimates and assumptions that affect amounts reported in the financial
statements. Significant estimates include:
o determining the market value of energy commodity derivative assets and liabilities,
. pension and other postretirement benefit plan obligations,
. contingent liabilities,
. recoverability ofregulatory assets, and
o unbilled revenues.
Changes in these estimates and assumptions are considered reasonably possible and may have a material effect on the financial
statements and thus actual results could differ from the amounts reported and disclosed herein.
System of Accounts
The accounting records of the Company's utility operations are maintained in accordance with the uniform system of accounts
prescribed by the Federal Energy Regulatory Commission (FERC) and adopted by the state regulatory commissions in Washingtory
Idaho, Montana and Oregon.
Regalation
The Company is subject to state regulation in Washington, Idaho, Montana and Oregon. The Company is also subject to federal
regulation primarily by the FERC, as well as various other federal agencies with regulatory oversight of particular aspects of its
operations.
Operating Revenues
Revenues related to the sale ofenergy are recorded when service is rendered or enerry is delivered to customers. The determination of
the enerry sales to individual customers is based on the reading of their meters, which occurs on a systematic basis throughout the
FERC FORM NO, 2/3-Q 122.2
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
month. At the end of each calendar month, the amount of energy delivered to customers since the date of the last meter reading is
estimated and the corresponding unbilled revenue is estimated and recorded.
Accounts receivable includes unbilled energy revenues of the following amounts as of December 3l (dollars in thousands):
2012
Unbilled accounts receivable $ 8l ,059 $ 77 ,298
Advertising Expenses
The Company expenses advertising costs as incurred. Advertising expenses were not a material portion of the Company's operating
expenses in 2013 and2012.
Depreciation
For utility operations, depreciation expense is estimated by a method of depreciation accounting utilizing composite rates for utility
plant. Such rates are designed to provide for retirements ofproperties at the expiration oftheir service lives. For utility operations, the
ratio of depreciation provisions to average depreciable property was as follows for the years ended December 3 I :
2013 2012
Ratio of depreciation to average depreciable property 2.90%
The average service lives for the following broad categories of utility plant in service are:
o electric thermal production - 41 years,
. hydroelectricproduction -79years,
o electric transmission - 56 years,
o electric distribution - 36 years, and
o n&tural gas distribution property - 48 years.
Taxes Other Tlnn Income Taxes
Taxes other than income taxes include state excise taxes, city occupational and franchise taxes, real and personal property taxes and
certain other taxes not based on net income. These taxes are generally based on revenues or the value ofproperfy. Utility related taxes
collected from customers (primarily state excise taxes and city utility taxes) are recorded as operating revenue and expense and totaled
the following amounts for the years ended December 3l (dollars in thousands):
2013 2012
$ 53,7 16Utiliry taxes 55,565
Allowancefor Funds Used During Construction
The Allowance for Funds Used During Construction (AFUDC) represents the cost of both the debt and equity funds used to finance
utility plant additions during the construction period. As prescribed by regulatory authorities, AFUDC is capitalized as a part of the
cost of utility plant and the debt related portion is credited against total interest expense in the Statements of Income. The Company is
permitted, under established regulatory rate practices, to recover the capitalized AFUDC, and a reasonable return thereon, through its
inclusion in rate base and the provision for depreciation after the related utility plant is placed in service. Cash inflow related to
AFUDC does not occur until the related utility plant is placed in service and included in rate base. The effective AFUDC rate was the
FERC FORM NO.2/3.Q 1 122.3
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111120'14
Year/Period of Report
2013/Q4
Notes to Financial Statements
following for the years ended December 3l:
Effective AFUDC rate 7.62Yo
Income Taxes
A deferred income tax asset or liability is determined based on the enacted tax rates that will be in effect when the differences between
the financial statement carrying amounts and tax basis of existing assets and liabilities are expected to be reported in the Company's
consolidated income tax returns. The defened income tax expense for the period is equal to the net change in the deferred income tax
asset and liability accounts from the beginning to the end of the period. The effect on deferred income taxes from a change in tax rates
is recognized in income in the period that includes the enactment date. Deferred income tax liabilities and regulatory assets are
established for income tax benefits flowed through to customers as prescribed by the respective regulatory commissions.
Stock- B ased Co mpens ation
Compensation cost relating to share-based payment transactions is recognized in the Company's financial statements based on the fair
value of the equity or liability instruments issued and recorded over the requisite service period. See Note l6 for further information.
Cash and Cash Equivalents
For the purposes of the Statements of Cash Flows, the Company considers all temporary investments with a maturity of three months or
less when purchased to be cash equivalents.
A llow ance for D o u btful Ac co unts
The Company maintains an allowance for doubtful accounts to provide for estimated and potential losses on accounts receivable. The
Company determines the allowance for utility and other customer accounts receivable based on historical write-offs as compared to
accounts receivable and operating revenues. Additionally, the Company establishes specific allowances for certain individual accounts.
Utility Plant in Service
The cost of additions to utility plant in service, including an allowance for funds used during construction and replacements of units of
property and improvements, is capitalized. The cost of depreciable units of property retired plus the cost of removal less salvage is
charged to accumulated depreciation.
Derivative Assets and Liabilities
Derivatives are recorded as either assets or liabilities on the Balance Sheets measured at estimated fair value. In certain defined
conditions, a derivative may be specifically designated as a hedge for a particular exposure. The accounting for derivatives depends on
the intended use of the derivatives and the resulting desigration.
The Washington Utilities and Transportation Commission (UTC) and the Idaho Public Utilities Commission (IPUC) issued accounting
orders authorizing Avista Corp. to offset commodity derivative assets or liabilities with a regulatory asset or liabiliry. This accounting
treatment is intended to defer the recognition of mark-to-market gains and losses on energy commodity fansactions until the period of
delivery. The orders provide for Avista Corp. to not recognize the unrealized gain or loss on utility derivative commodity instruments
in the Statements of Income. Realized gains or losses are recognized in the period of delivery, subject to approval for recovery through
retail rates. Realized gains and losses, subject to regulatory approval, result in adjustments to retail rates through purchased gas cost
adjustments, the Energy Recovery Mechanism (ERM) in Washington, the Power Cost Adjustment (PCA) mechanism in Idaho, and
periodic general rates cases. Regulatory assets are assessed regularly and are probable for recovery through future rates.
Substantially all forward contracts to purchase or sell power and natural gas are recorded as derivative assets or liabilities at estimated
FERC FORM NO,2/3-Q 12-071 122.4
2013 2012
7.64%
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
20't3tQ4
Notes to Financial Statements
fair value with an offsetting regulatory asset or liability. Contracts that are not considered derivatives are accounted for on the accrual
basis until they are settled or realized, unless there is a decline in the fair value of the contract that is determined to be other than
temporary.
Fair Yalue Measurements
Fair value represents the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly
transaction between market participants at the measurement date. Energy commodity derivative assets and liabilities, defened
compensation assets, as well as derivatives related to interest rate swap agreements and foreign currency exchange contracts, are
reported at estimated fair value on the Balance Sheets. See Note 14 for the Company's fair value disclosures.
Regulatory Deferred Charges and Credits
The Company prepares its financial statements in accordance with regulatory accounting practices because;
. rates for regulated services are established by or subject to approval by independent third-parfy regulators,
o the regulated rates are designed to recover the cost ofproviding the regulated services, and
. in view of demand for the regulated services and the level of competition, it is reasonable to assume that rates can be
charged to and collected from customers at levels that will recover costs.
Regulatory accounting practices require that ceftain costs and/or obligations (such as incuned power and natural gas costs not
currently included in rates, but expected to be recovered or refunded in the future) are reflected as deferred charges or credits on the
Balance Sheets. These costs and/or obligations are not reflected in the Statements of Income until the period during which matching
revenues are recognized. If at some point in the future the Company determines that it no longer meets the criteria for continued
application of regulatory accounting practices for all or a portion of its regulated operations, the Company could be:
r reguired to write offits regulatory assets, and
r procluded from the future deferral of costs not recovered through rates at the time such costs are incurred, even if the
Company expected to recover such costs in the future.
See Note 19 for further details of regulatory assets and liabilities.
Investment in Exchange Power-Net
The investment in exchange power represents the Company's previous investment in Washington Public Power Supply System Project
3 (WNP-3), a nuclear project that was terminated prior to completion. Under a settlement agreement with the Bonneville Power
Administration in 1985, Avista Corp. began receiving power in 1987, for a32.5-year period, related to its investrnent in WNP-3.
Through a settlement agreement with the UTC in the Washington jurisdiction, Avista Corp. is amortizing the recoverable portion of its
investment in WNP-3 (recorded as investment in exchange power) over a32.5-year period that began in 1987. For the Idaho
jurisdiction, Avista Corp. fully amortized the recoverable porlion of its investment in exchange power.
Unumortized Debl Expense
Unamortized debt expense includes debt issuance costs that are amortized over the life of the related debt.
Unamortized Loss on Reacquired Debt
For the Company's Washington regulatory jurisdiction and for any debt repurchases beginning in2007 in all jurisdictions, premiums
paid to repurchase debt are amortized over the remaining life of the original debt that was repurchased or, if new debt is issued in
connection with the repurchase, these costs are amortized over the life of the new debt. In the Company's other regulatory
FERC FORM NO.2/3-Q 't2-071 122.5
Name of Respondent
Avista Corporation
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
o411112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
jurisdictions, premiums paid to repurchase debt prior to 2007 are being amortized over the average remaining maturity of outstanding
debt when no new debt was issued in connection with the debt repurchase. These costs are recovered through retail rates as a
component of interest expense.
App rop r iate d R eta in ed E arn ings
In accordance with the hydroelectric licensing requirements of section 10(d) of the Federal Power Act (FPA), the Company maintains
an appropriated retained earnings account for any earnings in excess of the specified rate of return on the Company's investment in the
licenses for its various hydro projects. The rate ofretum on investrnent is specified in the various hydroelectric licensing agreements
for the Clark Fork River and Spokane River. Per section l0(d) of the FPA, the Company must maintain these excess earnings in an
appropriated retained eamings account until the termination of the licensing agreements or apply them to reduce the net investment in
the licenses of the hydroelectric projects at the discretion of the FERC. The appropriated retained eamings amounts included in
retained earnings were as follows as of December 31 (dollars in thousands):
2013 2012
Appropriated retained earnings
Contingencies
9,714 $ 1,548
The Company has unresolved regulatory, Iegal and tax issues which have inherently uncertain outcomes. The Company accrues a loss
contingency if it is probable that a Iiability has been incurred and the amount of the loss or impairment can be reasonably estimated.
The Company also discloses losses that do not meet these conditions for accrual, if there is a reasonable possibility that a loss may be
incurred.
Voluntary Severance Incentive Program
At December 37,2012, the Company accrued total severance costs of $7.3 million (pre-tax) related to the voluntaly termination of 55
employees. The total severance costs were made up of the severance payments and the related payroll taxes and employee benefit
costs. All terminations under the voluntary severance incentive program were completed by December 31,2012. The cost of the
program was recognized as expense during the fourth quarter of 2012 and severance pay was distributed in a single lump sum cash
payment to each participant during January 2013. As of December 31,2013, there was no remaining liability accrued.
NOTE 2. NEW ACCOUNTING STANDARDS
In February 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-02,
o'Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income." This
ASU does not change current requirements for reporting net income or other comprehensive income in furancial statements; however,
it requires entities to disclose the effect on the line items of net income for reclassifications out of accumulated other comprehensive
income if the item being reclassified is required to be reclassified in its entirety to net income under U.S. GAAP. For other items that
are not required to be reclassified in their entirety to net income under U.S. GAAP, an entity is required to cross-reference other
disclosures required under U.S. GAAP to provide additional detail about those items. The Company adopted this ASU effective
January l, 2013. The adoption of this ASU required additional disclosures in the Company's financial statements; however, it did not
have any impact on the Company's hnancial condition, results of operations and cash flows.
In December 201l, the FASB issued ASU No. 2011-11, "Balance Sheet (Topic 210): Disclosures about Offsetting Assets and
Liabilities." This ASU enhances disclosure requirements about the nature of an entity's right to offset and related arrangements
associated with its financial instruments and derivative instruments. ASU No. 201 l-l I requires the disclosure of the gross amounts
subject to rights of set o[ amounts offset in accordance with the accounting standards followed, and the related net exposure. The
Company adopted this ASU effective January l, 2013. The adoption of this ASU required additional disclosures in the Company's
FERC FORM NO. 2/3-Q (REV 12-07)122.6
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ) A Resubmission
Date of Report
(Mo, Da, Yr)
0411',U2014
Year/Period of Report
2013/Q4
Notes to Financial Statements
financial statements; however, it did not have any impact on the Company's financial condition, results of operations and cash flows.
In January 2013, the FASB issued ASU No.2013-0l, "Balance Sheet (Topic 210): Clarifyingthe Scope of Disclosures about
Offsetting Assets and Liabilities." This ASU clarifies which instruments and transactions are subject to the enhanced disclosure
requirements of ASU 20 I 1- I I regarding the offsetting of financial assets and liabilities. ASU No. 2013-0 I limits the scope of ASU
No. 201 1-l I to only recognized derivative instruments, repurchase agreements and reverse repurchase agreements, and borrowing and
lending securities transactions that are offset in accordance with either Accounting Standards Codification (ASC) 2l 0-20-45 or ASC
815-10-45. The Company adopted this ASU effective January 1,2073. The adoption of this ASU did not have any impact on the
Company's financial condition, results of operations and cash flows.
NOTE 3, BUSINESS ACQUTSITIONS
Alaska Energs and Resources Co.mpany - Avisto Corporation
On November 4,2013, the Company entered into an agreement and plan of merger (Merger Agreement) with AERC, a privately-held
company based in Juneau, Alaska. When the transaction is completed, AERC will become a wholly-owned subsidiary of Avista Corp.
The primary subsidiary of AERC is AEL&P, the sole provider of electric services to approximately 16,000 customers in the City and
Borough of Juneau, Alaska. ln2012, AEL&P had annual revenues of $42 million, a total rate base of $11I million and had 60
full-time employees. The utility has a firm retail peak load of approximately 80 MW. AEL&P owns four hydroelectric generating
facilities, having a total present capacity of 24.7 MW, and has a power purchase commitment for the output of the Snettisham
hydroelectric project, having a present capacity of 78 MW, for a total hydroelectric capacity of 102.7 MW. AEL&P is not
interconnected to any other electric system; therefore, the utility has 93.9 MW of diesel generating present capacity to provide back-up
service to firm customers when necessary.
In addition to the regulated utility, AERC owns the AJT Mining subsidiary, which is an inactive mining company holding certain
mining properties.
The merger consideration at closing will be $ I 70 million, less AERC's indebtedness and is subject to other customary closing
adjustments (Merger Consideration). The transaction will be funded primarily through the issuance of Avista Corp. common stock to
the shareholders of AERC. The transaction is expected to close by July 1,2014, following the receipt of necessary regulatory
approvals, the approval of the merger transaction by the requisite number of AERC shareholders and the satisfaction of other closing
conditions. Avista Corp. shareholder approval is not required.
Pursuant to the Merger Agreement, among other things, each of the issued and outstanding shares of AERC common stock (other than
Dissenting Shares) will be converted into the right to receive consideration as follows:
i. the number of shares of Avista Corp. common stock equal to one share of AERC common stock multiplied by the Exchange
Ratio;and
ii. a portion of the Representative Reimbursement Amount.
For purposes of the foregoing:
The Exchange Ratio is the ratio obtained by dividing the Per Share Amount by (i) $21.48 if the Avista Corp. Closing Price is less
than or equal to $21.48, (ii) the Avista Corp. Closing Price, if the Avista Corp. Closing Price is greater than $21.48 and less than
$34.30 or (iii) $34.30 if the Avista Corp. Closing Price is greater than or equal to $34.30.
The Per Share Amount is the amount determined by dividing (a) the Merger Consideration (as adjusted) Dy (b) the aggregate
number of shares of AERC common stock outstanding immediately prior to the closing of the transaction.
The Representative Reimbursement Amount is a $500,000 cash payment to be made by Avista Corp. at the Closing to the
Shareholders' Representative account. The purpose of the Representative Reimbursement Amount is to reimburse the
FERC FORM NO, 2/3-Q 't2-07 122.7
Name of Respondent
Avista Corporation
fhis Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Shareholders' Representative for expenses incurred by the Shareholders' Representative in acting for the current shareholders of
AERC in connection with the Merger. The total Merger Consideration will be reduced by the Representative Reimbursement
Amount.
Dissenting Shares will not be converted into, or represent the right to receive, the Merger Consideration or any portion of the
Representative Reimbursement Amount. Such shareholders will be entitled to receive payment of the fair value of Dissenting Shares
held by them in accordance with the provisions of AS 10.06.580 of the Alaska Corporations Code. Any amounts paid to Dissenting
Shares over the amounts otherwise payable in the form of Merger Consideration are indemnified expenses owed by AERC to Avista
Corp.
The Merger Agreement has been approved by Avista Corp.'s and AERC's Boards of Directors, the UTC, the U.S. Federal Trade
Commission and the Antitrust Division of the U.S. Department of Justice, but the consummation of the tansaction is subject to the
satisfaction or waiver of specified closing conditions, including:
. the registration under the Securities Act of 1933 of the shares of common stock that will be issued to AERC shareholders;
o the approval of such shares for listing on the New York Stock Exchange;
o the approval of the merger transaction by the requisite number of AERC shareholders;
r the receipt of regulatory approvals and other consents required to consummate the merger transaction, including, among
others, approvals from the RCA, the IPUC, the OPUC and any other applicable regulatory bodies on the terms and conditions
specified in the definitive purchase agreement;
o the absence of the occurrence of a material adverse effect (as defined in the Merger Agreement) relating to either AERC or
Avista Corp. after the date of the signed agreement; and
o other customary closing conditions.
The Merger Agreement also provides for customary termination rights for each of the Company and AERC, including the right for
either party to terminate if the Merger has not been consummated by December 31,2014 provided, however, that the failure of the
Merger to have been consummated on or before December 3l ,2014 was not caused by the failure of such party or any affiliate of such
party to perform any of its obligations under the Merger Agreement. Upon termination of the Merger Agreement in accordance with its
terms, there will be no further liability under the agreement except that nothing shall relieve any party thereto from liability for any
breach of the agreement.
There may be certain commitments and contingencies that will be assumed when the merger transaction is consummated; however,
Avista Corp. has not fully completed its evaluation of all the potential commitments and contingencies.
For the year ended December 31 ,2013, Avista Corp. incurred $1.6 million (pre-tax) of transaction related fees which have been
expensed and presented in the Statements of Income in other operating expenses within utilify operating expenses. Avista Corp.
expects to incur additional transaction related fees upon consummation of the transaction.
NOTE 4. DERIVATIVES AND RISK MANAGEMENT
Energt Commodity Derivatives
Avista Corp. is exposed to market risks relating to changes in electricity and natural gas commodity prices and certain other fuel prices.
Market risk is, in general, the risk of fluctuation in the market price of the commodity being traded and is influenced primarily by
supply and demand. Market risk includes the fluctuation in the market price of associated derivative commodity instruments. Avista
Corp. utilizes derivative instruments, such as forwards, futures, swaps and options in order to manage the various risks relating to these
commodity price exposures. The Company has an energy resources risk policy and control procedures to manage these risks. The
Company's Risk Management Committee establishes the Company's enerry resources risk policy and monitors compliance. The Risk
FERC FORM NO. 2/3-Q (REV 12-07 122.8
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
20131o.4
Notes to Financial Statements
Management Committee is comprised of certain Company officers and other members of management. The Audit Committee of the
Company's Board of Directors periodically reviews and discusses enterprise risk management processes, and it focuses on the
Company's material financial and accounting risk exposures and the steps management has undertaken to control them.
As part of its resource procurement and management operations in the electric business, the Company engages in an ongoing process
of resource optimization, which involves the economic selection from available energy resources to serve the Company's load
obligations and the use of these resources to capture available economic value. The Company transacts in wholesale markets by selling
and purchasing electric capacity and energy, fuel for electric generation, and contracts related to capacity, energy and fuel, Such
transactions are paft of the process of matching resources with load obligations and hedging the related financial risks. These
transactions range from terms of intra-hour up to multiple years.
Avista Corp. makes continuing projections of:
. electric loads at various points in time (ranging from intra-hou to multiple years) based on, among other things,
estimates of customer usage and weather, historical data and contract terms, and
. resource availabilify at these points in time based on, among other things, fuel choices and fuel markets, estimates of
streamflows, availability of generating units, historic and forward market information, contract terms, and
experience.
On the basis of these projections, we make purchases and sales of electric capacity and energy, fuel for electric generation, and related
derivative instruments to match expected resources to expected electric load requirements and reduce our exposure to electicity (or
fuel) market price changes. Resource optimization involves generating plant dispatch and scheduling available resources and also
includes transactions such as:
. purchasing fuel for generation,
o when economical, selling fuel and substituting wholesale electric purchases, and
. other wholesale tansactions to capture the value of generation and transmission resources and fuel delivery capacity
contracts.
Avista Corp.'s optimization process includes entering into hedging transactions to manage risks. Transactions include both physical
enerry contracts and related derivative financial instruments.
As part of its resource procurement and management of its natural gas business, Avista Corp. makes continuing projections of its
natural gas Ioads and assesses available natural gas resources including natural gas storage availability. Natural gas resource planning
typically includes peak requirements, low and average monthly requirements and delivery constraints from natural gas supply locations
to Avista Corp.'s distribution system. However, daily variations in natural gas demand can be significantly different than monthly
demand projections. On the basis of these projections, Avista Corp. plans and executes a series of transactions to hedge a significant
portion of its projected natural gas requirements through forward market transactions and derivative instruments. These transactions
may extend as much as four natural gas operating years (November through October) into the future. Avista Corp. also leaves a
significant poftion of its natural gas supply requirements unhedged for purchase in short-term and spot markets.
Natural gas resource optimization activities include:
o wholesale market sales of surplus natural gas supplies,
. optimization of interstate pipeline transportation capacity not needed to serve daily load, and
. purchases and sales of natural gas to optimize use of storage capacity.
FERC FORM NO.2/3-Q 1 122.9
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The following table presents the underlying energy commodity derivative volumes as of December 31,2073 that are expected to be
delivered in each respective year (in thousands of MWhs and mmBTUs):
Purchases
Electric Derivatives Gas Derivatives Electric Derivatives Gas Derivatives
Year
2014
20ts
2016
2017
2018
Thereafter
Physical (l) Financial (l)
MWH MWH
Physical (l) Financial (l)
mmBTUs mmBTUs
Physical (l) Financial (l)
MWH MWH
3,1 16
2,542
1,634
Physical (l) Financial (l)
mmBTUs mmBTUs
3,504 105,433
46,840
_ 21,320
769
397
397
397
397
23s
29,642
4,973
2,505
675
s09
222
287
286
286
r58
145,719
73,580
46, I 50
( I ) Physical transactions represent commodity transactions where Avista Corp. will take delivery of either electricity or natural gas
and financial transactions represent derivative instruments with no physical delivery, such as futures, swaps or options.
The above electric and natural gas derivative contracts will be included in either power supply costs or natural gas supply costs during
the period they are delivered and will be included in the various recovery mechanisms (ERM, PCA, and PGAs), or in the general rate
case process, and are expected to be collected through retail rates from customers.
Foreign Currency Exchange Contracts
A significant portion of Avista Corp.'s natural gas supply (including fuel for power generation) is obtained from Canadian sources.
Most of those transactions are executed in U.S. dollars, which avoids foreigrr curency risk. A portion of Avista Corp.'s short-term
natural gas transactions and long-term Canadian transportation contracts are committed based on Canadian currency prices and settled
within 60 days with U.S. dollars. Avista Corp. hedges a portion of the foreign currency risk by purchasing Canadian currency contracts
when such commodity transactions are initiated. This risk has not had a material effect on the Company's financial condition, results of
operations or cash flows and these differences in cost related to currency fluctuations were included with natural gas supply costs for
ratemaking. The following table summarizes the foreigr currency hedges that the Company has entered into as of December 3l
(dollars in thousands):
20t3 2012
Number of contracts
Notional amount (in United States dollars)
Notional amount (in Canadian dollars)
23
8,631 $
9,191
20
12,621
12,502
Interest Rate Swap Agreements
Avista Corp. is affected by fluctuating interest rates related to a portion of its existing debt, and future borrowing requirements. The
Finance Committee of the Board of Directors periodically reviews and discusses interest rate risk management processes, and it
focuses on the steps management has undertaken to control it. The Risk Management Committee also reviews the interest risk
management plan. Avista Corp. manages interest rate exposure by limiting the variable rate exposures to a percentage of total
capitalization. Additionally, interest rate risk is managed by monitoring market conditions when timing the issuance of long-term debt
and optional debt redemptions and through tle use of fixed rate long-term debt with varying maturities. The Company also hedges a
portion of its interest rate risk with financial derivative instruments, which may include interest rate swaps and U.S. Treasury lock
agreements. These interest rate swaps and U.S. Treasury lock agreements are considered economic hedges against fluctuations in
future cash flows associated with anticipated debt issuances.
FERC FORM NO.2/3.O 1 122.10
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
0411112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The following table summarizes the interest rate swaps that the Company has entered into as of December 3 I (dollars in thousands):
Balance sheet Date Number of Contracts Notional Amount Mandatory cash Settlement
December 31,2013 2 $ 50,000 2014
2
)
I
4
45,000 2015
40,000 2016
15,000 2017
95,000 2018
December 31,2012 2
2
I
85,000 2013
50,000 20t4
25,000 2015
In June 2013, the Company cash settled two interest rate swap contracts (notional amount of $85.0 million) and received a total of $2.9
million. The interest rate swap contracts were settled in connection with the pricing of $90.0 million of First Mortgage Bonds that were
issued in August 2013 (see Note 1l). Upon settlement of interest rate swaps, the regulatory asset or liability (included as part of
long-term debt) is amortized as a component of interest expense over the term ofthe associated debt.
The following table presents the fair values and Iocations of derivative instruments recorded on ttre Balance Sheet as of December 3 I ,
2013 (in thousands):
Fair Value
Net Asset GrossGross Cross Collateral (Liability) in Gross Assets Liabilitios Not Net AssetDerivative Balance Sheet Location Balance Sheet Offset
Foreign Derivative $ 7 $ (6)$ - $ I S - S - $ Icturency instrument assetscontracts -Hedges
Interest rate Derivative 13,968 13,968 13,968contracts instrument assets
-Hedges
Interest rate Long-term portion 19,575 19,57 5 19,575contracts ofderivative
instrument assets
-Hedges
Commodity Derivative
contracts (l) instrument assets
current
Commodity Long-term portion 7,610 (6,756) 854 854
contracts (1) ofderivative assets
Commodity Derivative 23,455 (37,306) 2,976 (10,875) (10,875)
contracts(1) instrument
liabilities current
Commodity Long-term portion 17,101 (41,213) 5,756 (18,356) (18,356)
contracts(1) ofderivative
liabilities
Total derivative instruments
recordedonthebalancesheet $ 89,132 $ (89,675)$ 8,732 $ 8,189 S - $ - $ 8,189
ThefollowingtablepreSentsthefair"m.mi*,i,.i**,;.olI-.*"mlIil..,,,,
2012 (in thousands):
FERC FORM NO. 2/3-Q 1 122.11
7,416 (4,394) 3,022 3,022
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013/Q4
Notes to Financial Statements
Fair Value
Derivative Balance Sheet Location
Net Asset
Collateral (Liability)in
Balance Sheet
Cross
Gross Assets Liabilities Not Net Asset
Offset
Foreign
curency
contracts
Interest rate
contracts
Interest rate
contracts
Commodity
contracts (1)
Commodity
contracts (l)
Commodity
contracts (1)
Commodity
contracts ( I )
Derivative $
instrument
liabilities -Hedges
Derivative
instrument
Iiabilities -Hedges
Long-term poftion
of derivative
instrument assets
-Hedges
Derivative
instrument assets
current
Long-term portion
ofderivative assets
Derivative
instrument
liabilities current
Long-term portion
of derivative
liabilities
6,572 1,03 3
1,093
(6,572) (26,409)
(26,3t1)
7$
7,265
(34) $
( 1,406)
(27) S
( 1,406)
7,265
-s -s (27)
( I,406)
7,265
10,772
18,779
50,227
2,247
(6,633)
(l 7,686)
(89,449)
(28,558)
9,707
4,139
1,093
(29,515)
(26,31 I )
(9,678)
9,678
Total derivative instruments
recordedonthebalancesheet $ 89,297 $(143,766)$ 9,707 $ (44,762) $ - $ - S ((4,'762)
(l ) Avista Corp. has a master netting agrcement that governs the transactions of multiple affiliated legal entities under this single
master netting agreement. This master netting agreement allows for cross-commodity netting (i.e. netting physical power, physical
natural gas, and financial transactions) and cross-affrliate netting for the parties to the agreement. Avista Corp. performs
cross-commodity netting for each legal entity that is a party to the master netting agreement for presentation in the Balance Sheets;
however, Avista Corp. does not perform cross-affiliate netting because the Company believes that cross-affiliate netting may not
be enforceable. Therefore, the requirements for cross-affiliate netting under ASC 210-20-45 are not applicable for Avista Corp. As
of December 31,2013, all derivatives for each affiliated entity under this master nefting agreement were in a net Iiability position.
As such, there is no additional netting which requires disclosure.
Exposure lo Demandsfor Collateral
The Company's derivative confacts often require collateral (in the form of cash or letters of credit) or other credit enhancements, or
reductions or terminations of a portion of the contract through cash settlement, in the event of a downgrade in the Company's credit
ratings or changes in market prices. In periods of price volatility, the Ievel of exposure can change significantly. As a result, sudden
and sigaificant demands may be made against the Companls credit facilities and cash. The Company actively monitors the exposure to
possible collateral calls and takes steps to mitigate capital requirements. As of December 3 I , 20 I 3, the Company had cash deposited as
collateral of $26.1 million and letters of credit of $20.3 million outstanding related to its enerry derivative contracts. The Balance
Sheet at December 31,2013 reflects the offsetting of $8.7 million of cash collateral against net derivative positions where a legal right
of offset exists. As of December 31,2012, the Company had cash deposited as collateral of $10.1 million and letters of credit of $28.1
million outstanding related to its enerry derivative contracts. The Balance Sheet at December 31,2012 reflects the offsetting of $9.7
million of cash collateral against net derivative positions where a legal right of offset exists.
Certain of the Company's derivative instruments contain provisions that require the Company to maintain an investment grade credit
FERC FORM NO. 2/3-O 1 122.12
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
rating from the major credit rating agencies. If the Company's credit ratings were to fall below "investment grade," it would be in
violation of these provisions, and the counterparties to the derivative instruments could request immediate payment or demand
immediate and ongoing collateralization on derivative insfuments in net liability positions. The aggregate fair value of all derivative
instruments with credit-risk-related contingent features that were in a liability position as of December 31, 2013 was $13.3 million. If
the credit-risk-related contingent features underlying these agreements had been triggered on December 31, 2013, the Company could
have been required to post $12.6 million of additional collateral to its counterparties. The agg:"egate fair value of all derivative
instruments with credit-risk-related contingent features that are in a liability position as of December 31,2012 was $35.9 million. If tbe
credit-risk-related contingent features underlying these agreements had been triggered on December 31,2012, the Company could
have been required to post $25.8 million of additional collateral to its counterparties.
Credit Risk
Credit risk relates to the potential losses that the Company would incur as a result of non-performance by counterparties of their
contractual obligations to deliver enerry or make financial settlements. The Company often extends credit to counterparties and
customers and is exposed to the risk that it may not be able to collect amounts owed to the Company. Credit risk includes potential
counterparty default due to circumstances:
. relating directly to it,
. caused by market price changes, and
o relating to other market participants that have a direct or indirect relationship with such counterparry.
Changes in market prices may dramatically alter the size of credit risk with counterparties, even when conservative credit limits are
established. Should a counterparty fail to perform, the Company may be required to honor the underlying commitment or to replace
existing contracts with confacts at then-current market prices.
We enter into bilateral transactions between Avista Corp. and various counterparties. We also trade enerry and related derivative
instruments through clearinghouse exchanges.
The Company seeks to mitigate bilateral credit risk by:
. entering into bilateral contracts that specify credit terms and protections against default,
r applying credit limits and duration criteria to existing and prospective counterparties,
o actively monitoring current credit exposures,
. asserting our collateral rights with counterparties,
. carrying out transaction settlements timely and effectively, and
r conducting transactions on exchanges with fully collateralized clearing arrangements that significantly reduce
counterparty default risk.
The Company's credit policy includes an evaluation of the financial condition of counterparties. Credit risk management includes
collateral requirements or other credit enhancements, such as letters of credit or parent company guarantees. The Company enters into
various agreements that address credit risks including standardized agreements that allow for the netting or offsetting of positive and
negative exposures.
The Company has concentations of suppliers and customers in the electric and natural gas indusfies including:
o electric and natural gas utilities,
FERC FORM NO. Z3.Q 122.13
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013/O4
Notes to Financial Statements
. electric generators and transmission providers,
o natural gas producers and pipelines,
. financial institutions including commodity clearing exchanges and related parties, and
. energy marketing and trading companies.
In addition, the Company has concentrations of credit risk related to geographic location as it operates in the western United States and
western Canada. These concentrations of counterparties and concentrations of geographic location may impact the Company's overall
exposure to credit risk because the counterparties may be similarly affected by changes in conditions.
The Company maintains credit support agreements with certain counterparties and margin calls are periodically made and/or received.
Margin calls are triggered when exposures exceed contractual limits or when there are changes in a counterparty's creditworthiness.
Price movements in electricity and natural gas can generate exposure levels in excess of these contractual limits. Negotiating for
collateral in the form of cash, letters of credit, or performance guarantees is common industry practice.
NOTE 5. JOINTLY OWNED ELECTRIC FACILITIES
The Company has a l5 percent ownership interest in a twin-unit coal-fired generating facility, the Colstrip Generating Project
(Colstrip) located in southeastem Montana, and provides financing for its ownership interest in the project. The Company's share of
related fuel costs as well as operating expenses for plant in service are included in the corresponding accounts in the Statements of
Income. The Company's share of utility plant in service for Colstrip and accumulated depreciation were as follows as of December 31
(dollars in thousands):
2013 2012
Utility plant in service
Accumulated depreciation
$ 349,781 $ 344,958
(239,538) (234,126)
NOTE 6. ASSET RETIREMENT OBLIGATIONS
The Company records the fair value of a liability for an asset retirement obligation in the period in which it is incurred. When the
liability is initially recorded, the associated costs of the asset retirement obligation are capitalized as part of the carrying amount of the
related long-lived asset. The liability is accreted to its present value each period and the related capitalized costs are depreciated over
the useful life of the related asset. Upon retirement of the asset, tire Company either settles the retirement obligation for its recorded
amount or incurs a gain or loss. The Company records regulatory assets and liabilities for the difference between asset retirement costs
currently recovered in rates and asset retirement obligations recorded since asset retirement costs are recovered through rates charged
to customers. The regulatory assets do not earn a return.
Specifically, the Company has recorded liabilities for future asset retirement obligations to:
. restore ponds at Colstrip,
. cap a landfill at the Kettle Falls Plant,
. remove plant and restore the land at the Coyote Springs 2 site at the termination of the land lease,
. remove asbestos at the corporate office building, and
. dispose of PCBs in certain transformers.
Due to an inability to estimate a range of settlement dates, the Company cannot estimate a liability for the:
FERC FORM NO.2/3.Q 12-071 122.14
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tA4
Notes to Financial Statements
Asset retirement obligation at beginning of year
Liabiliry settled
Accretion expense (income)
Asset retirement obligation at end of year
. removal and disposal of certain transmission and distribution assets, and
. abandonment and decommissioning of certain hydroelectric generation and natural gas storage facilities.
The following table documents the changes in the Company's asset retirement obligation during the years ended December 3l (dollars
in thousands):
2013 2012
s 3,168 $ 3,513(263) (sse)
(46) 214
$ 2,859 $ 3,168
NOTE 7. PENSION PLANS AND OTHER POSTRETIREMENT BENEFIT PLANS
The Company has a defined benefit pension plan covering substantially all regular full-time employees at Avista Corp.. Individual
benefits under this plan are based upon the employee's years ofservice, date ofhire and average compensation as specified in the plan.
The Company's funding policy is to contribute at least the minimum amounts that are required to be funded under the Employee
Retirement Income Security Act, but not more than the maximum amounts that are currently deductible for income tax purposes. The
Company contributed $44.3 million in cash to the pension plan in 2013 and $44.0 million in2012. The Company expects to contribute
$32.0 million in cash to the pension plan in 2014.
ln October 2013, the Company revised its defined benefit pension plan such that as of January l, 2014 the plan is closed to all
non-union employees hired or rehired by the Company on or after January 1,2014. All actively employed non-union employees that
were hired prior to January 1,2014 and are currently covered under the defined benefit pension plan will continue accruing benefits as
originally specified in the plan. A new and separate defined contribution 401G) plan replaced the defined benefit pension plan for all
non-union employees hired or rehired on or after January 1,2014. Under the new defined contribution plan, the Company provides a
non-elective contribution as a percentage ofeach employee's pay based on his or her age. This new defined contribution plan is in
addition to the existing aOlft) plan in which the Company matches a portion of the pay deferred by each participant. In addition to the
above changes, the Company has also revised its lump sum calculation from its previous lump sum calculation for non-union
participants who retire under the defined benefit pension plan to provide non-union retirees on or after January l, 2074 with a lump
sum amount equivalent to the present value ofthe annuity based upon applicable discount rates.
The Company also has a Supplemental Executive Retirement Plan (SERP) that provides additional pension benefits to executive
offrcers of the Company. The SERP is intended to provide benefits to executive officers whose benefits under the pension plan are
reduced due to the application of Section 4 1 5 of the Internal Revenue Code of I 986 and the deferral of salary under deferred
compensation plans. The liability and expense for this plan are included as pension benefits in the tables included in this Note.
The Company expects that benefit payments under the pension plan and the SERP will total (dollars in thousands):
2014 2015 2016 2017 2018 Total20l9-2023
Expectedbenefitpayments $ 25,n6$ ,6J35$ ,7,7Y $ 28"880$ 30J?9$ nz,Sn
The expected long-term rate ofreturn on plan assets is based on past performance and economic forecasts for the types ofinvestrnents
held by the plan. In selecting a discount rate, the Company considers yield rates for highly rated corporate bond portfolios with
maturities similar to that of the expected term of pension benefits.
The Company provides certain health care and life insurance benefits for substantially all of its retired employees. The Company
FERC FORM NO. Z3.Q 12-07 122.15
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
accmes the estimated cost of postretirement benefit obligations during the years that employees provide services. The Company
elected to amortize the transition obligation of $34.5 million over a period of 20 years, beginning in 1993. In October 2013, the
Company revised the health care benefit plan such that beginning on January 1,2020, the method for calculating health insurance
premiums for non-union retirees under age 65 and active Company employees was revised. The revisions resulted in separate health
insurance premium calculations for each group. In addition, for non-union employees hired or rehired on or after January 7,2014,
upon retirement the Company no longer provides a contribution towards his or her medical premiums. The Company will provide
access to its retiree medical plan, but the non-union employees hired or rehired on or after January 1 ,2014 will pay the full cost of
premiums upon retirement.
The Company has a Health Reimbursement Arrangement to provide employees with tax-advantaged funds to pay for allowable
medical expenses upon retirement. The amount earned by the employee is fixed on the retirement date based on the employee's years
of service and the ending salary. The liability and expense of this plan are included as other postretirement benefits.
The Company provides death benefits to beneficiaries of executive officers who die during their term of office or after retirement.
Under the plan, an executive officer's designated beneficiary will receive a payment equal to twice the executive officer's annual base
salary at the time of death (or if death occurs after retirement, a payment equal to twice the executive offrcer's total annual pension
benefit). The liability and expense for this plan are included as other postretirement benefits.
The Company expects that benefit pa).rnents under other postretirement benefit plans will total (dollars in thousands):
2014 2015 2016 2017 2018 Total2019-2023
Expected benefit payments 6,969 $6,707 $7,056 $7,120 $7,247 $35,121
The Company expects to contribute $7.0 million to otier postretirement benefit plans in 2014, representing expected benefit payments
to be paid during the year. The Company uses a December 3l measurement date for its pension and other postretirement benefit plans.
FERC FORM NO. Z3.Q 12-071 122.16
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The following table sets forth the pension and other postretirement benefit plan disclosures as of December 3 I , 2013 and 2012 and the
components of net periodic benefit costs for the years ended December 3 l, 20 I 3 and 20 12 (dollars in thousands):
Pension Benefits
Other Post-
retirement Benefits
20t3 20t2 2013 2012
Change in benefit obligation:
Benefit obligation as of beginning of year
Service cost
Interest cost
Actuarial (gain)/loss
Plan change
Transfer of accrued vacation
Benefits paid
Benefit obligation as of end of year
Change in plan assets:
Fair value ofplan assets as ofbeginning ofyear
Actual return on plan assets
Employer conffibutions
Benefits paid
Fair value ofplan assets as ofend ofyear
Funded status
Unrecognized net actuarial loss
Unrecognized prior service cost
Prepaid (accrued) benefit cost
Additional liability
Accrued benefit liability
Accumulated pension benefit obligation
Accumulated postretirement benefi t obli gation :
Weighted average assumptions as of December 31:
Discount rate for benefit obligation
Discount rate for annual expense
Expected long-term return on plan assets
584,619
19,045
23,896
(78,234)
277
(22,599)
494,192 $
15,551
24,349
72,170
Ql,6;
132,541
4,144
5,216
( I 8,01 7)
(10,788)
1,189
(6,036)
104,730
2,804
5,056
24,543
336
(4,928)
527,004 $584,619 $108,249 $132,541
406,061 $
52,502
44,263
(21,324)
328,150 $
54,3 l8
44,000
(20,407)
25,288 $
4,444
22,455
2,833
s 481,502 $ 406,061
s (4s,502) $ (178,s58)
s 29,732 $ 25,288
$ (78,517) $ (107,253)
107,043
278
223,308
319
56,885
(707)
94,202
(8s6)
61,819
(107,321) (223,627)
$ (45,502) $ (178,s58)
$ 464,432 $ 505,695
45,069 @33il (l1ro?)
(56,178) (93,346)
$ (78,517) S 007,253)
For retirees
For fully eligible employees
For other participants
Included in accumulated other comprehensive loss (income) (net of tax):
Unrecognized prior service cost
Unrecognized net actuarial loss
Total
Less regulatory asset
Accumulated other comprehensive loss (income)
s r80
69,578
$
$
$
207 g
145,1 50
52,384
24,320
31,545
(7,472)
43,988
49,232
35,570
47,739
(ss6)
61,231
$
s
$
69,758
(64,925)
145,357
(138,1 84)
36,516
(37,1 I 6)
60,675
(60,981)
(600) s (306)
20t3 2012
4,833 $7,173 $
Pension Benefits
Other Post-
retirement Benefits
20t3 2012
5.10%
4.15%
6.60%
4.t5%
5.04o/o
6.95%
5.02%
4.15%
635%
4.15o/o
4.98%
655%
FERC FORM NO,2/3-Q 12-07 122.17
Name of Respondent
Avista Corooration
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Rate of compensation increase
Medical cost trend pre-age 65 - initial
Medical cost hend pre-age 65 - ultimate
Ultimate medical cost trend year pre-age 65
Medical cost trend post-age 65 - initial
Medical cost trend post-age 65 - ultimate
Ultimate medical cost trend year post-age 65
Pension Benefits
4.96%439%
Other Post-retirement Benefits
7.00%
5.00%
2020
7.50%
5.00%
2021
7.00%
5.00%
2019
7.50%
s.00%
2021
201 3 2012 2013 2012
Components of net periodic benefit
cost:
Service cost
lnterest cost
Expected retum on plan assets
Transition obligation recognition
Amortization of prior service cost
Net loss recognition
Net periodic benefit cost
Equity securities
Debt securities
Real estate
Absolute return
Other
19,045 $
23,896
(27,671)
319
13,,199
15,551 $
24,349
(23,810)
346
11,637
4,144 $
5,216
(1,606)
(l4e)
5,674
2,904
5,056
(1,471)
505
(r4e)
5,020
28,788 $ 28,073 $ 13,279 S 11,765
Plan Assets
The Finance Committee of the Company's Board of Directors approves investrnent policies, objectives and strategies that seek an
appropriate retum for the pension plan and other postretirement benefit plans and reviews and approves changes to the investment and
fundirg policies.
The Company has contracted with investment consultants who are responsible for managing/monitoring the individual investment
managers. The investnent managers' performance and related individual fund performance is periodically reviewed by an internal
benefits committee and by the Finance Committee to monitor compliance with investment policy objectives and strategies.
Pension plan assets are invested in mutual funds, trusts and partnerships that hold marketable debt and equity securities, real estate,
absolute return and commodity funds. In seeking to obtain the desired return to fund the pension plan, the investrnent consultant
recommends allocation percentages by asset classes. These recommendations are reviewed by the internal benefits committee, which
then recommends their adoption by the Finance Committee. The Finance Commiftee has established target investrnent allocation
percentages by asset classes and also investment ranges for each asset class. The target investrnent allocation percentages are typically
the midpoint of the established range. The target investment allocation percentages by asset classes are indicated in the table below:
z0t3 2012
47%
3t%
6%
12%
404
51%
3t%
5o/o
t0%
3%
The market-related value of pension plan assets invested in debt and equity securities was based primarily on fair value (market
prices). The fair value ofinvestment securities traded on a national securities exchange is determined based on the reported last sales
price; securities traded in the over-the-counter market are valued at the last reported bid price. Investrnent securities for which market
prices are not readily available or for which market prices do not represent the value at the time of pricing, are fair-valued by the
FERC FORM NO. 2/3-Q 12-O7 122.18
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t1112014
Year/Period of Report
2U3lA4
Notes to Financial Statements
investrnent manager based upon other inputs (including valuations of securities that are comparable in coupon, rating, maturity and
indust'y). Investments in common/collective trust funds are presented at estimated fair value, which is determined based on the unit
value of the fund. Unit value is determined by an independent trustee, which sponsors the fund, by dividing the fund's net assets by its
units outstanding at the valuation date. The fair value of the closely held investments and partnership interests is based upon the
allocated share ofthe fairvalue ofthe underlying assets as well as the allocated share ofthe undistributed profits and losses, including
realized and unrealized gains and losses.
The market-related value of pension plan assets invested in real estate was determined by the investment manager based on three basic
approaches:
. properties are externally appraised on an annual basis by independent appraisers, additional appraisals may be
performed as warranted by specific asset or market conditions,
. property valuations are reviewed quarterly and adjusted as necessary, and
o loans are reflected at fair value.
The market-related value of pension plan assets was determined as of December 31, 2013 and2012.
The following table discloses by level within the fair value hierarchy (see Note l4 for a description of the fair value hierarchy) of the
pension plan's assets measured and reported as of December 31, 2013 at fair value (dollars in thousands):
Level I Level?Level 3 Total
Mutual funds:
Fixed income securities
U.S. equity securities
International equity securities
Absolute return (l)
Common/collective trusts:
Fixed income securities
Real estate
Partnership/closely held investments:
Absolute return (l)
Private equity tunds (3)
Commodities (2)
Real estate
Total 348,853 $'74,513 S 58,136 $ 481,502
86,481
152,831
85,942
23,599
3r0 $
55,872
18,3;
-s
9,7;
34,1 5 I
377
3,873
86,791
152,83 I
85,942
23,599
55,872
19,735
34,1 5 1
377
18,331
3,873
FERC FORM NO.2/3-Q 't2-o7 122.19
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The following table discloses by level within the fair value hierarchy (see Note 14 for a description of the fair value hierarchy) of the
pension plan's assets measured and reported as of December 31,2012 at fair value (dollars in thousands):
Level I Level2 Level 3 Total
Mutual funds:
Fixed income securities
U.S. equity securities
International equity securities
Absolute return (1)
Commodities (2)
Common/collective trusts :
Fixed income securities
Real estate
Partnership/closely held investments:
Absolute return (l)
Private equity funds (3)
Total
83,037 $
t35,436
79,448
20,764
9,259
-$-$83,037
t35,436
79,448
20,764
9,259
43,107
17,596
17 ,7 55
660
43,107
17,596
17,755
660
43,107 S 36,01r $406,061
(l) This category invests in multiple strategies to diversiff risk and reduce volatility. The strategies include: (a) event driven,
relative value, convertible, and fixed income arbitrage, (b) distressed investments, (c) long/short equity and fixed income, and
(d) market neutral strategies.
(2) This investrnent is in derivatives linked to commodity indices to gain exposure to the commodity markets. These positions are
fully collateralized with debt securities.
(3) This category includes private equity funds that invest primarily in U.S. companies.
The table below discloses tlre summary of changes in the fair value of the pension plan's Level 3 assets for the year ended
December 31,2013 (dollars in thousands):
Common/collective trusts Partnership/closely held investments
Private equity Real
estate
Balance, as ofJanuary 1,2013
Realized gains
Unrealized gains (losses)
Purchases (sales), net
Balance, as of December 3 1, 20 I 3
The table below discloses the summary of changes in the
December 31,2012 (dollars in thousands):
19,735 $34,151 $377 S 3,873
fair value ofthe pension plan's Level 3 assets for the year ended
Common/collectivetrusts Partnership/closelyheldinvestments
$ 326,943
17,596
2,t39
17 ,7 55
2,396
14,000
660
(323)
345
(305)
I 13
3,760
Real
estate
Absolute
return
Private equity
funds
Balance, as ofJanuary 1,2012
Realized gains (losses)
Unrealized gains (losses)
Purchases (sales), net
Balance, as of December 31,2012
8,598 $
4tt
1,087
7,500
16,587
1,168
808
108
80
(336)
17,596 $r7,75s $660
FERC FORM NO. ?3-Q (REV 1 122.20
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The market-related value of other postretirement plan assets invested in debt and equity securities was based primarily on fair value
(market prices). The fair value of investment securities traded on a national securities exchange is determined based on the last
reported sales price; securities traded in the over-the-counter market are valued at the last reported bid price. Investment securities for
which market prices are not readily available or for which market prices do not represent the value at the time of pricing, are
fair-valued by the investnent manager based upon other inputs (including valuations of securities that are comparable in coupon,
rating, maturity and industry). The target asset allocation was 60 percent equity securities and 40 percent debt securities in 2013 and 62
percent equity securities and 38 percent debt securities in 2012.
The market-related value of other postretirement plan assets was determined as of December 31, 2013 and2012.
The following table discloses by level within the fair value hierarchy (see Note 14 for a description of the fair value hierarchy) of other
postretirement plan assets measured and reported as of December 3 I , 2013 at fair value (dollars in thousands):
Level I Level2 Level 3 Total
Cash equivalents
Mutual funds:
Fixed income securities
U.S. equity securities
International equity securities
Total
4$-$
29,728 $4$-$29,732
The following table discloses by level within the fair value hierarchy (see Note 14 for a description of the fair value hierarchy) of other
postretirement plan assets measured and reported as of Decemb er 3l ,2012 at fair value (dollars in thousands):
Level I Level 2 Level 3 Total
-$
11,645
I 1,83 I
6,252
4
| 1,645
I 1,831
6,252
Cash equivalents
Mutual funds:
Fixed income securities
U.S. equity securities
International equity securities
Total
-$
9,314
10,266
5,702
6s -$6
9,314
10,266
5,702
25,282 $6S -$25,288
Assumed health care cost trend rates have a sigrrificant effect on the amounts reported for the health care plans. A one-percentage-point
increase in the assumed health care cost trend rate for each year would increase the accumulated postetirement benefit obligation as of
December 31, 2013 by $3.8 million and the service and interest cost by $0.8 million. A one-percentage-point decrease in the assumed
health care cost trend rate for each year would decrease the accumulated postretirement benefit obligation as of December 31, 2013 by
$3.1 million and the service and interest cost by $0.6 million.
The Company has a salary deferral 40 1(k) plans that is a defured contribution plan and cover substantially all employees. Employees
can make contributions to their respective accounts in the plan on a pre-tax basis up to the maximum amount permitted by law. The
Company matches a portion of the salary defened by each participant according to the schedule in the plan.
Employer matching contributions were as follows for the years ended December 3l (dollars in thousands):
2013 2012
Employer 40 1 (k) matching contributions $ 6,157 $ 5,813
The Company has an Executive Deferral Plan. This plan allows executive officers and other key employees the opportunity to defer
until the earlier of their retirement, termination, disability or death, up to 75 percent of their base salary and/or up to 100 percent of
their incentive payments. Deferred compensation funds are held by the Company in a Rabbi Trust. There were deferred compensation
assets and corresponding defened compensation liabilities on the Balance Sheets of the following amounts as of December 31 (dollars
FERC FORM NO. Z3.Q 1 122.21
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
in thousands):
Deferred compensation assets and liabilities 9,170 $ 8,806
NOTE 8. ACCOUNTING FOR INCOME TAXES
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for
financial reporting purposes and the amounts used for income tax purposes and tax credit carryforwards.
As of December 3 l, 2013, the Company had $5.9 million of state tax credit carryforwards. State tax credits expire from 2016 lo 2027 .
The Company recognizes the effect of state tax credits generated from utility plant as they are utilized.
The realization of deferred income tax assets is dependent upon the ability to generate taxable income in future periods. The Company
evaluated available evidence supporting the realization of its defened income tax assets and determined it is more likely than not that
deferred income tax assets will be realized.
The Company and its eligible subsidiaries file consolidated federal income tax returns. The Company also files state income tax retums
in certain jurisdictions, including Idaho, Oregon and Montana. Subsidiaries are charged or credited with the tax effects of their
operations on a stand-alone basis. The Internal Revenue Service (IRS) has completed its examination of all tax years through 2009 and
all issues were resolved related to these years. The IRS has not completed an examination of the Company's 2010 through 2012federal
income tax returns. The Company does not believe that any open tax years for federal or state income taxes could result in any
adjustments that would be significant to the financial statements.
The Company did not incur any penalties on income tax positions in 2013 or 2072.
The Company had net regulatory assets related to the probable recovery of certain defened income tax liabilities from customers
through future rates as of December 3l (dollars in thousands):
2013 20t2
Regulatory assets for deferred income taxes
NOTE 9. ENERGY PURCHASE CONTRACTS
$ 71,421 $ 79,406
Avista Co1p. has contracts for the purchase of fuel for thermal generation, natural gas for resale and various agreements for the
purchase or exchange of electric energy with other entities. The termination dates of the contracts range from one month to the year
2042. Total expenses for power purchased, natural gas purchased, fuel for generation and other fuel costs, which are included in utility
resource costs in the Statements of Income, were as follows for the years ended December 3l (dollars in thousands):
20 r3 2012
Utility power resources $ 524,810 $ 523,416
The following table details Avista Corp.'s future contractual commifrnents for power resources (including transmission contracts) and
natural gas resources (including transportation contracts) (dollars in thousands):
2014 201 5 2016 20t7 20r 8 Thereafter Total
2013 20t2
Power resources $ 2A1,693 $ 125,072 $ 112,570 S 110,405 $ 106,200 $ 874,990
Natural gas resources 102,651 64,860 46,665 43,01 I 37,570 482,986
Total s 304,344 $ 18%93r$ 159235$ t53/t6$ W,Z:rc$1,35:.,n6
$ 1,530,930
777,743
$ 2,308,673
These energy purchase contracts were entered into as part of Avista Corp.'s obligation to serve its retail electric and natural gas
FERC FORM NO.2/3-Q 1 122.22
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t20'14
Year/Period of Report
2013/Q4
Notes to Financial Statements
customers' enerry requirements, including contracts entered into for resource optimization. As a result, these costs are recovered either
through base retail rates or adjustments to retail rates as part ofthe power and natural gas cost deferral and recovery mechanisms.
The above future contractual commitments for power resources include fixed contractual amounts related to the Company's contracts
with certain Public Utilify Districts (PUD) to purchase portions of the ouput of certain generating facilities. Although Avista Corp. has
no investment in the PUD generating facilities, the fixed contracts obligate Avista Corp. to pay certain minimum amounts (based in
part on the debt service requilements of the PUD) whether or not the facilities are operating. The cost of power obtained under the
contracts, including payments made when a facility is not operating, is included in utility resource costs in the Statements of Income.
The contractual amounts included above consist of Avista Corp.'s share of existing debt service cost and its proportionate share of the
variable operating expenses of these proj ects.
In addition, Avista Corp. has operating agreements, settlements and other contractual obligations to see the output of its generating
facilities and transmission and distribution services. The following table details future contractual commitments under these
agreements (dollars in thousands):
2014
Contractual obligations $ 30, t9?
20t6 2017 2018 Thereafter Total
$ 27,236 $30,543 $ 29,199 $23,534 s 211,392 $ 352,101
NOTE IO. NOTES PAYABLE
Avista Corp. has a committed line of credit with various financial institutions in the total amount of $400.0 million with an expiration
date of February2017.
The committed line of credit is secured by non-kansferable First Mortgage Bonds of the Company issued to tle agent bank that would
only become due and payable in the event, and then only to the extent, that the Company defaults on its obligations under the
committed line of credit.
The committed line of credit agreement contains customary covenants and default provisions. The credit agreement has a covenant
which does not permit the ratio of "consolidated total debt" to "consolidated total capitalization" of Avista Corp. to be greater than 65
percent at any time. As of December 3 I , 201 3, the Company was in compliance with this covenant.
Balances outstanding and interest rates of borrowings (excluding letters of credit) under the Company's revolving committed lines of
credit were as follows as of December 3l (dollars in thousands):
20r 5
Balance outstanding at end ofperiod
Letters ofcredit outstanding at end ofperiod
Average interest rate at end ofperiod
As of December 31, 2013 the borrowings outstanding under Avista Corp.'s committed line of credit were classified as short-term
borrowings on the Balance Sheet.
NOTE 1I. BONDS
The following details bonds outstanding as of December 31 (dollars in thousands):
2013
$ 171,000
$ 27,434
1.02%
Interesl
Rate
2012
$ 52,000
$ 35,885
1.12%
2013
Maturity
Year Description 20t2
2013
2016
First Mortgage Bonds
First Mortgage Bonds
r.68%
0.84%-s90,000
50,000
FERC FORM NO. 2/3-Q 1 122.23
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original
(2) _A Resubmission
Date of Report
(Mo, Da, Yr)
04t'.t112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
2018
201 8
2019
2020
2022
2023
2028
2032
2034
2035
2037
2040
204t
2047
250,000
22,500
90,000
52,000
250,000
13,500
25,000
66,700
17,000
150,000
150,000
35,000
85,000
80,000
250,000
22,500
90,000
52,000
250,000
13,500
25,000
66,700
17,000
150,000
150,000
35,000
85,000
80,000
First Mortgage Bonds
Secured Medium-Term Notes
First Mortgage Bonds
First Mortgage Bonds
First Mortgage Bonds
Secured Medium-Term Notes
Secured Medium-Term Notes
Secured Pollution Control Bonds (l)
Secured Pollution Conhol Bonds (2)
First Mortgage Bonds
First Mortgage Bonds
First Mortgage Bonds
First Mortgage Bonds
First Mortgage Bonds
Total secured bonds
Settled interest rate swaps (3)
Secured Pollution Control Bonds held by Avista
Corporation (l) (2)
Total bonds
59s%
7.39%-7.45%
5.45%
3.89%
5.13%
7.18%-7.54%
637%
(t)
(2)
6.25%
5.70%
555%
4.45%
4.23%
1,376,700 1,336,700
(23,560) (27,900)
(83,700) (83,700)
s 1,269,440 $ 1,225,100
(l) In December 2010, $66.7 million of the City of Forsyh, Montana Pollution Control Revenue Refunding Bonds (Avista
Corporation Colstrip Project) due2032, which had been held by Avista Corp. since 2008, were refunded by a new bond issue
(Series 2010A). The new bonds were not offered to the public and were purchased by Avista Corp. due to market conditions.
The Company expects that at a later date, subject to market conditions, these bonds may be remarketed to unaffiliated
investors. So long as Avista Corp. is the holder of these bonds, the bonds will not be reflected as an asset or a liability on
Avista Corp.'s Balance Sheets.
(2) In December 2010, S17.0 million of the City of Forsyh, Montana Pollution Control Revenue Refunding Bonds, (Avista
Corporation Colstrip Project) due 2034, which had been held by Avista Corp. since 2009, were refunded by a new bond issue
(Series 20108). The new bonds were not offered to the public and were purchased by Avista Corp. due to market conditions.
The Company expects that at a later date, subject to market conditions, the bonds may be remarketed to unaffiliated investors.
So long as Avista Corp. is the holder of these bonds, the bonds will not be reflected as an asset or a liability on Avista Corp.'s
Balance Sheet.
(3) Upon settlement ofinterest rate swaps, these are recorded as a regulatory asset or liability and included as part oflong-term
debt above. They are amortized as a component of interest expense over the life of the associated debt and included as a pafi
of the Company's cost of debt calculation for ratemaking purposes.
In August 20 13, Avista Corp. entered into a $90.0 million term loan agreement with an institutional investor that bears an annual
interest rate of 0.84 percent and matures in 2016. The term loan agreement is secured by non-transferable First Mortgage Bonds of the
Company issued to the agent bank that will only become due and payable in the event, and then only to the extent, that the Company
defaults on its obligations under the term loan agreement. The net proceeds from the $90.0 million term loan agreement were used to
repay a portion of corporate indebtedness in anticipation of $50.0 million in First Mortgage Bonds that matured in December 2013.
The following table details future long-term debt maturities including advances from associated companies (see Note l2) (dollars in
thousands):
FERC FORM NO. 2/3.Q (REV 1 122.24
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t't112014
Year/Period of Report
20131Q4
Notes to Financial Statements
2014 2015 2016 20'17 2018 Thereafter Total
Debtmaturities $ -$ -$ 90,000$ -$ 272,5005 982,047$1,344,547
Substantially all utility properties owned by the Company are subject to the lien of the Company's mortgage indenture. Under the
Mortgage and Deed of Trust securing the Company's First Mortgage Bonds (including Secured Medium-Term Notes), the Company
may issue additional First Mortgage Bonds in an aggregate principal amount equal to the sum of: 1) 66-213 percent of the cost or fair
value (whichever is lower) of property additions which have not previously been made the basis of any application under the
Mortgage, or 2) an equal principal amount of retired First Mortgage Bonds which have not previously been made the basis of any
application under the Mortgage, or 3) deposit of cash. However, the Company may not issue any additional First Mortgage Bonds
(with certain exceptions in the case of bonds issued on the basis of retired bonds) unless the Company's "net earnings" (as defined in
the Mortgage) for any period of 12 consecutive calendar months out of the preceding l8 calendar months were at least twice the annual
interest requirements on all mortgage securities at the time outstanding, including the First Mortgage Bonds to be issued, and on all
indebtedness of prior rank. As of December 31, 2073, properry additions and retired bonds would have allowed, and the net eamings
test would not have prohibited, the issuance of $91 6.3 million in aggregate principal amount of additional First Mortgage Bonds.
See Note l0 for information regarding First Mortgage Bonds issued to secure the Company's obligations under its committed line of
credit agreement.
NOTE 12. ADVANCES FROM ASSOCIATED COMPANIES
ln 1997, the Company issued Floating Rate Junior Subordinated Deferrable lnterest Debentures, Series B, with a principal amount of
$51.5 million to Avista Capital II, an affiliated business trust formed by the Company. Avista Capital II issued $50.0 million of
Preferred Trust Securities with a floating distribution rate of LIBOR plus 0.875 percent, calculated and reset quarlerly. The distribution
rates paid were as follows during the years ended December 3l:
2013 2012
Low distribution rate l.ll% 1.19%
High distribution rate l.l9% 1.40%
Distribution rate at the end of the year 1 .11% 1 .19%
Concurrent with the issuance of the Preferred Trust Securities, Avista Capital II issued $1.5 million of Common Trust Securities to the
Company. These debt securities may be redeemed at the option of Avista Capital II on or after June 1,2007 and mature on June l,
2037 . In December 2000, the Company purchased $ 10.0 million of these Preferred Trust Securities.
The Company owns 100 percent of Avista Capital II and has solely and unconditionally guaranteed the payment of distributions on,
and redemption price and liquidation amount for, the Preferred Trust Securities to the extent that Avista Capital II has funds available
for such payments from the respective debt securities. Upon maturity or prior redemption of such debt securities, the Preferred Trust
Securities will be mandatorily redeemed.
NOTE T3. LEASES
The Company has multiple lease arrangements involving various assets, with minimum terms ranging from I to forfy-five years. Rental
expense under operating leases was as follows for the years ended December 3l (dollars in thousands):
2013 20t2
Rentalexpense $ 2Jn S 3274
Future minimum lease pa).rnents required under operating leases having initial or remaining noncancelable lease terms in excess of one
year as of December 3l were as follows (dollars in thousands):
2014 2015 2016 2017 2018 Thereafter Total
FERC FORM NO. 2/3-Q (REV 1 122.25
Minimumpaymentsrequired $ tJ?3 $ 58r$ 223 S 1?9$ t68$ 2.651 $ 5J?6
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
NOTE 14. FAIR VALUE
The carrying values ofcash and cash equivalents, special deposits, accounts and notes receivable, accounts payable and notes payable
are reasonable estimates of their fair values. Bonds and advances from associated companies are reported at carrying value on the
Balance Sheets.
The fair value hierarchy prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted
prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3
measurement).
The three levels of the fair value hierarchy are defined as follows:
Level I - Quoted prices are available in active markets for identical assets or liabilities. Active markets are those in which
transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis.
Level 2 - Pricing inputs are other than quoted prices in active markets included in Level l, which are either directly or indirectly
observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation
methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted fonrard
prices for commodities, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well
as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term
of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the
marketplace.
Level 3 - Pricing inputs include significant inputs that are generally unobservable from objective sources. These inputs may be
used with internally developed methodologies that result in management's best estimate of fair value.
Financial assets and liabilities are classified in their entirety based on the lowest level of input that is sigaificant to the fair value
measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgrnent and
may affect the valuation of fair value assets and liabilities and their placement within ttre fair value hierarchy levels. The determination
ofthe fair values incorporates various factors that not only include the credit standing ofthe counterparties involved and the impact of
credit enhancements (such as cash deposits and letters of credit), but also the impact of Avista Corp.'s nonperformance risk on its
liabilities.
The following table sets forth the carrying value and estimated fair value of the Company's financial instruments not reported at
estimated fair value on the Balance Sheets as of December 3l (dollars in thousands):
2013 20t2
Carrying
Value
Estimated
Fair Value
Carrying
Value
Estimated
Fair Value
Bonds (Level 2)
Bonds (Level 3)
Advances from associated companies (Level 3)
$ 951,000 $ 1,054,512 $
342,000 329,581
51,547 37,114
951,000 $ 1,164,639
302,000 320,892
51,547 43,686
These estimates of fair value were primarily based on available market information.
The following table discloses by level within the fair value hierarchy the Company's assets and liabilities measured and reporled on tlre
Balance Sheets as of December 3 I , 20 I 3 and 2012 at fair value on a recurring basis (dollars in thousands):
Counterparty
and Cash
Collateral
FERC FORM NO.2/3-Q 12-O 122.26
Name of Respondent
Avista Comoration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
0411112014
Year/Period of Report
2013/Q4
Notes to Financial Statements
December 31, 2013
Assets:
Enerry commodity derivatives
Level 3 energy commodity derivatives:
Power exchange agreement
Foreign currency derivatives
Interest rate swaps
Defened compensation assets :
Fixed income securities
Equity securities
Total
Liabilities:
Enerry commodity derivatives
Level 3 energy commodity derivatives:
Natural gas exchange agreement
Power exchange agreement
Power option agreement
Foreign currency derivatives
Total
December 31,2012
Assets:
Energy commodity derivatives
Level 3 energy commodity derivatives:
Power exchange agreement
Foreign currency derivatives
Interest rate swaps
Deferred compensation assets:
Fixed income securities
Equity secwities
Total
Liabilities:
Enerry commodity derivatives
Level 3 energy commodity derivatives:
Natural gas exchange agreement
Power exchange agreement
Power option agreement
Forei gn currency derivatives
Interest rate swaps
Total
Level I Level 2 Level 3 Netting (l )Total
-$55,243 $
7
33,543
- $ (51,367) $ 3,876
1,960
6,470
1,960
6,470
8,430 $88,793 $339 $ (51,712) $ 45,850
-$72,895 $-$(60,099) $ 12,796
339 (33e)
(6)1
33,543
6
1,219
14,780
775
CIss)
(6)
1,219
14,441
775
-$72,90t s t6,774 $ (60,444) $29,231
Level I Level2 Level 3
Counterpafty
and Cash
Collateral
Netting (l)Total
-$
7,965 $88,912 $385 $(76,800) $ 20,462
385
81,640 $
7
7,265
- $ (76,408) $
(38s)
(7)
5,232
7,265
2,010
5,955
2,010
5,955
-$119,390 $
34
1,406
-$
2,379
19,077
1,480
(86,1 15) S 33,275
2,379
(385) 18,692
1,480
(7) 27
1,406
-$120,830 S 22,936 S (86,507)$ 57,259
FERC FORM NO, 2/3-Q 12-07 122.27
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013/Q4
Notes to Financial Statements
(1) The Company is permitted to net derivative assets and derivative liabilities with the same counterparfy when a legally enforceable
master netting agreement exists. In addition, the Company nets derivative assets and derivative liabilities against any payables and
receivables for cash collateral held or placed with these same counterpafties.
Avista Corp. enters into forward contracts to purchase or sell a specified amount of energy at a specified time, or during a specified
period, in the future. These contracts are entered into as part of Avista Corp.'s management of loads and resources and certain
contracts are considered derivative instruments. The difference between the amount of derivative assets and liabilities disclosed in
respective levels and the amount of derivative assets and liabilities disclosed on the Balance Sheets is due to netting arrangements with
certain counterparties. The Company uses quoted market prices and forward price curves to estimate the fair value of utility derivative
commodity instruments included in Level 2. In particular, electric derivative valuations are performed using broker quotes, adjusted
for periods in between quotable periods. Natural gas derivative valuations are estimated using New York Mercantile Exchange
CNIYMEX) pricing for similar instruments, adjusted for basin differences, using broker quotes. Where observable inputs are available
for substantially the full term of the contract, the derivative asset or liability is included in Level 2.
Deferred compensation assets and liabilities represent funds held by the Company in a Rabbi Trust for an executive deferral plan.
These funds consist of actively traded equity and bond funds with quoted prices in active markets. The balance disclosed in the table
above excludes cash and cash equivalents of $0.7 million as of December 31, 2013 and $0.8 million as of December 31,2012.
Level 3 Fair Value
For the power exchange agreement, the Company compares the Level 2 brokered quotes and forward price curves described above to
an internally developed forward price which is based on the average operating and maintenance (O&M) charges from four surrogate
nuclear power plants around the country for the current year. Because the nuclear power plant O&M charges are only known for one
year, all forward years are estimated assuming an annual escalation. In addition to the forward price being estimated using
unobservable inputs, the Company also estimates the volumes of the transactions that will take place in the future based on historical
average transaction volumes per delivery year (November to April). Significant increases or decreases in any of these inputs in
isolation would result in a significantly higher or lower fair value measurement. Generally, a change in the current year O&M charges
for the surrogate plants is accompanied by a directionally similar change in O&M charges in future years. There is generally not a
correlation between external market prices and the O&M charges used to develop the internal forward price.
For the power comrnodity option agreement, the Company uses the Black-Scholes-Merton valuation model to estimate the fair value,
and this model includes significant inputs not observable or corroborated in the market. These inputs include I ) the strike price (which
is an internally derived price based on a combination of generation plant heat rate factors, natural gas market pricing, delivery and
other O&M charges, 2) estimated delivery volumes for years beyond 2014, and 3) volatility rates for periods beyond October 2016.
Significant increases or decreases in any of these inputs in isolation would result in a significantly higher or lower fair value
measurement. Generally, changes in overall commodity market prices and volatility rates are accompanied by directionally similar
changes in the strike price and volatility assumptions used in the calculation.
For the natural gas commodity exchange agreement, the Company uses the same Level 2 brokered quotes described above; however,
the Company also estimates the purchase and sales volumes (within contractual limits) as well as the timing of those transactions.
Changing the timing of volume estimates changes the timing of purchases and sales, impacting which brokered quote is used. Because
the brokered quotes can vary significantly from period to period, the unobservable estimates of the timing and volume of transactions
can have a significant impact on the calculated fair value. The Company currently estimates volumes and timing of transactions based
on a most likely scenario using historical data. Historically, the timing and volume of transactions have not been highly correlated with
market prices and market volatility. As of December 31, 2013, all contractual purchases have been made by Avista Corp. under the
natural gas commodity exchange agreement; therefore, the Company no longer estimates forward purchase volumes and forward
FERC FORM NO. 2/3-Q 12-071 122.28
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financia! Statements
purchase prices as these are not significant inputs to the calculation.
The following table presents the quantitative information which was used to estimate the fair values of the Level 3 assets and liabilities
above as of December 3 1 , 2013 (dollars in thousands):
Fair Value (Net)
at
December 31, Valuation2013 Technique Unobservable Input Range
Power exchange agreement S (14,441) Surrogate facility O&M charges $30.18-$53.9044Wh (l)
pncmg
Escalationfactor 3%-2014to2019
Transaction volumes 234,064 - 397,116 MWhs
Power option agreement (775) Black-Scholes- Stike price $55.62lMWh - 2016
Merton
$6s.3rlMWh -2019
Delivery volumes 157,517 - 287,147 MWhs
Volatility rates 0.20 (2)
Natural gas exchange
agreement
(1,219) Internally derived Fonrard purchase
weighted aYerage prices
cost ofgas (3)
Fonpard sales prices $3.98 - S4.57lmmBTU
Purchase volumes (3)
Sales volumes 150,000 - 310,000 mmBTUs
(l) The average O&M charges for the delivery year beginning in November 2013 were $40.93 per MWh. For rate-making purposes
the average O&M calculations vary slightly between regulatory jurisdictions. For Washington, the ayerage O&M charges were
$42.44 and the average O&M charges for Idaho were $40.93 for the delivery year beginning in 20 13.
(2) The estimated volatility rate of 0.20 is compared to actual quoted volatility rates of 0.31 for 2014 to 0.20 in October 2016.
(3) As of December 3 I , 20 13, all contactual purchases have been made by Avista Corp. under the original natural gas exchange
agreement; therefore, the Company did not estimate forward purchase volumes and forward purchase prices as these are not
significant inputs to the calculation at December 3 I , 201 3. On January 3l ,2014, the Company executed an extension to this
agreement; therefore, during the first quarter of 2014, forward purchase volumes and forward purchase prices will again be a
significant input to the calculation and the Company will resume estimating these amounts.
Avista Corp.'s risk management team and accounting team are responsible for developing the valuation methods described above and
both groups report to the Chief Financial Officer. The valuation methods, the significant inputs, and the resulting fair values described
above are reviewed on at least a quarterly basis by the risk management team and the accounting team to ensure they provide a
reasonable estimate of fair value each reporting period.
The following table presents activity for energy commodity derivative assets (liabilities) measured at fair value using sigrificant
unobservable inputs (Level 3) for the years ended December 3l (dollars in thousands):
Natural Gas PowerExchange Exchange Power Option
Agreement Agreement Total
FERC FORM NO.2/3.Q 12-07 122.29
Name of Respondent
Avista Corporation
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
20131Q4
Notes to Financial Statements
Year ended December 31, 2013:
Balance as ofJanuary 1,2013
Total gains or losses (realized/unrealized):
Included in net income
Included in other comprehensive income
Included in regulatory assets/liabilities (l)
Purchases
Issuance
Settlements
Transfers to/from other categories
Ending balance as of December 3 I , 20 I 3
Year ended December 31,20122
Balance as ofJanuary 1,2012
Total gains or losses (realized/unrealized):
Included in net income
Included in other comprehensive income
Included in regulatory assets/liabilities (1)
Purchases
Issuance
Settlements
Transfers from other categories
Ending balance as of December 31,2072
(2,379) $
2,298
(1,138)
(18,692) $
1,017
3,234
(1,480) $
705
(22,551
4,0;
2,096
(1,219) s (14,441) $(77s) s (16,43s
(1,688) $
(1,034)
(9,910) $
(15,236)
6,454
343
(1,260) s (12,858)
e; (rs,r;)
5,420
$ (2,379) S 08,692) $ (r,480) S (22,551)
(l) The UTC and the IPUC issued accounting orders authorizing Avista Corp. to offlset commodity derivative assets or liabilities
with a regulatory asset or liability. This accounting treatment is intended to defer the recognition of mark-to-market gains and
losses on energy commodity transactions until the period of delivery. The orders provide for Avista Corp. to not recognize the
unrealized gain or loss on utility derivative commodity instruments in the Statements of Income. Realized gains or losses are
recognized in the period ofdelivery, subject to approval for recovery through retail rates. Realized gains and losses, subject to
regulatory approval, result in adjustments to retail rates through purchased gas cost adjustments, the ERM in Washington, the
PCA mechanism in Idaho, and periodic general rates cases.
NOTE 15. COMMON STOCK
The Company has a Direct Stock Purchase and Dividend Reinvestnent Plan under which the Company's shareholders may
automatically reinvest their dividends and make optional cash payments for the purchase of the Company's common stock at current
market value.
The payment of dividends on comrnon stock could be limited by:
. certain covenants applicable to preferred stock (when outstanding) contained in the Company's Restated Articles of
Incoryoration, as amended (currently there are no preferred shares outstanding),
. certain covenants applicable to the Company's outstanding long-term debt and committed line of credit agreements ,
and
o the hydroelectric licensing requirements of section I 0(d) of the FPA (see Note I ).
The Company declared the following dividends for the year ended December 3l:
FERC FORM NO. 2/3-Q 12-071 122.30
Name of Respondent
Avista Concoration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
20131Q4
Notes to Financial Statements
2013 2012
Dividends paid per common share $ 1.22 $ L 16
In August 2012, the Company entered into two sales agency agreements under which the Company may sell up to 2,726,390 shares of
its common stock from time to time. There were no shares issued under these agreements during 2013 and as of December 31, 2013,
the Company had 1,795,199 shares available to be issued under these agreements.
Shares issued under sales agency agreements were as follows in the year ended December 3l:
2013 2012
Shares issued under sales agency agreement 931,191
The Company has 10 million authorized shares of preferred stock. The Company did not have any preferred stock outstanding as of
December 3'1, 2013 and 2012.
NOTE I6. STOCK COMPENSATION PLANS
Avista Corp.
1998 Plan
In I 998, the Company adopted, and shareholders approved, the Long-Term Incentive Plan ( I 998 Plan). Under the 1998 Plan, certain
key employees, officers and non-employee directors of the Company and its subsidiaries may be granted stock options, stock
appreciation rights, stock awards (including restricted stock) and other stock-based awards and dividend equivalent rights. The
Company has available a maximum of 4.5 million shares of its common stock for grant under the 1998 Plan. As of December 31,2013,
0.9 million shares were remaining for grant under this plan.
2000 Plan
In 2000, the Company adopted a Non-Officer Employee Long-Term Incentive Plan (2000 Plan), which was not required to be
approved by shareholders. The provisions ofthe 2000 Plan are essentially the same as those under the 1998 PIan, except for the
exclusion of non-employee directors and executive officers of the Company. The Company has available a maximum of 2.5 million
shares of its cornmon stock for grant under the 2000 Plan. However, the Company currently does not plan to issue any further options
or securities under the 2000 Plan. As of December 3 I , 2013, | .9 million shares were remaining for grant under this plan.
Stock Compensation
The Company records compensation cost relating to share-based payment tansactions in the financial statements based on the fair
value of the equity or liability instruments issued. The Company recorded stock-based compensation expense (included in other
operating expenses) and income tax benefits in the Statements of Income of the following amounts for the years ended December 3l
(dollars in thousands):
2013 20t2
Stock-based compensation expense g 6,218 $ 5,792
Income tax benefits 2,176 2,027
Stock Options
The following summarizes stock options activity under the 1998 Plan and the 2000 PIan for the years ended December 3l:
20t3 2012
Number of shares under stock options:
Options outstanding at beginning of year
Options granted
3,000 92,499
FERC FORM NO.2/3-Q 1 122.31
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
0411112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Options exercised
Options canceled
Options outstanding and exercisable at end ofyear
Weighted average exercise price:
Options exercised
Options canceled
Options outstanding and exercisable at end of year
Cash received from options exercised (in thousands)
Intrinsic value ofoptions exercised (in thousands)
Intrinsic value of options outstanding (in thousands)
(3,09 (89,499)
3,000
s
$
$
$
$
s
t2.41 $ 10.63
-s
- $ t2.4r
37 $ 951
40 $ 1,349
-$ 3s
There are no longer any stock options outstanding as of December 31, 2013 and the Company does not have any plans to issue
additional stock options in the near future.
Restricled Sltares
Restricted share awards vest in equal thirds each year over a three-year period and are payable in Avista Corp. common stock at the
end of each year if the service condition is met. In addition to the service condition, the Company must meet a return on equity target
in order for the CEO's restricted shares to vest. During the vesting period, employees are entitled to dividend equivalents which are
paid when dividends on the Company's common stock are declared. Restricted stock is valued at the close of market of the Company's
common stock on the grant date. The weighted average remaining vesting period for the Company's restricted shares outstanding as of
December 31,2013 was 0.7 years.
The following table summarizes restricted stock activity for the years ended December 3l:
20 l3 2012
Unvested shares at beginning of year
Shares granted
Shares canceled
Shares vested
Unvested shares at end ofyear
Weighted average fair value at grant date
Unrecognized compensation expense at end ofyear (in thousands)
Intrinsic value, unvested shares at end ofyear (in thousands)
Inrinsic value, shares vested during the year (in thousands)
I l7,l l8
44,556
( 1,802)
(55,456)
93,482
70,281
(7eo)
(45,855)
104,416 I l7,l 18
s 26.04 $
$ 1,199 $
$ 2,943 $
$ 1,363 S
25.83
1,428
2,824
1,173
Performance Shares
Performance share awards vest after a period of three years and are payable in cash or Avista Corp. common stock at the end of the
three-year period. Performance share awards entitle the recipients to dividend equivalent rights, are subject to forfeiture under certain
circumstances, and are subject to meeting a specific performance criterion. Based on the attainment of the performance criterion, the
amount of cash paid or common stock issued will range from 0 to 200 percent of the performance shares granted depending on the
change in the value of the Company's common stock relative to an external benchmark. Dividend equivalent rights are accumulated
and paid out only on shares t}at eventually vest.
Performance share awards entitle the grantee to shares of common stock or cash payable once the service condition is satisfied. Based
on attainment of the performance criteria, grantees may receive 0 to 200 percent of the original shares granted. The performance
criterion used is the Company's Total Shareholder Return performance over a three-year period as compared against other utilities; this
is considered a market-based condition. Performance shares may be settled in common stock or cash at the discretion of the Company.
FERC FORM NO.2/3.Q (REV 1 122.32
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ) A Resubmission
Date of Report
(Mo, Da, Yr)
o4t'11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Historically, the Company has settled these awards through issuance of stock and intends to continue this practice. These awards vest
at the end of the three-year period. Performance shares are equity awards with a market-based condition, which results in the
compensation cost for these awards being recognized over the requisite service period, provided that the requisite service period is
rendered, regardless ofwhen, ifever, the market condition is satisfied.
The Company measures (at the grant date) the estimated fair value of performance shares awarded. The fair value of each performance
share award was estimated on the date of grant using a statistical model that incorporates the probability of meeting performance
targets based on historical retums relative to a peer group. Expected volatility was based on the historical volatility of Avista Corp.
common stock over a three-year period. The expected term of the performance shares is three years based on the performance cycle.
The risk-free interest rate was based on the U.S. Treasury yield at the time of grant. The compensation expense on these awards will
only be adjusted for changes in forfeitures.
The following summarizes the weighted average assumptions used to determine the fair value of performance shares and related
compensation expense as well as the resulting estimated fair value of performance shares granted:
2013 2012
Risk-free interest rate
Expected life, in years
Expected volatility
Dividend yield
Weighted average grant date fair value (per share) S
The fair value includes both performance shares and dividend equivalent rights.
The following summarizes performance share activity:
Opening balance of unvested performance shares
Performance shares granted
Performance shares canceled
Performance shares vested
Ending balance ofunvested performance shares
lntrinsic value ofunvested performance shares (in thousands)
Unrecognized compensation expense (in thousands)
Performance shares vested
Impact of market condition on shares vested
Shares of common stock earned
0.4o/o
3
19.1%
4.6%
23.30 S
20t3
0.3%
3
22.7%
45%
26.06
20t2
359,700
175,000
35 1,345
181,000
The weighted average remaining vesting period for the Company's performance shares outstanding as of December 31, 2013 was 1.5
years. Unrecognized compensation expense as of December 31, 2013 includes only the amount attributable to the equity portion of the
performance share awards and will be recognized during 2014 and2015.
The following summarizes the impact of the market condition on the vested performance shares:
2013 2012
(13,298) (4,544)
(176,7t8) (168,101)
344,684 359,700
$ 9,7t7 g 8,672
$ 3,651 $ 3,800
17 6,718 168,101
(176,718) (l68,lol)
Intrinsic value of common stock earned (in thousands) $ - $
Shares eamed under this plan are distributed to participants in the quarter following vesting.
FERC FORM NO. 2/3-Q (REV 12-07)122.33
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original
(2) _A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013/Q4
Notes to Financial Statements
Outstanding performance share awards include a dividend component that is paid in cash. This component of the performance share
grants is accounted for as a liability award. These liability awards are revalued on a quarterly basis taking into account the number of
awards outstanding, historical dividend rate, and the change in the value of the Company's common stock relative to an external
benchmark. Over the life of these awards, the cumulative amount of compensation expense recognized will match the actual cash paid.
As of December 3 l, 20 l3 and 2012, the Company had recognized cumulative compensation expense and a liability of $0.9 million and
$0.7 million related to the dividend component on the outstanding and unvested performance share grants.
NOTE 17. COMMITMENTS AND CONTINGENCIES
In the course of its business, the Company becomes involved in various claims, controversies, disputes and other contingent matters,
including the items described in this Note. Some of these claims, controversies, disputes and other contingent matters involve litigation
or other contested proceedings. For all such matters, the Company intends to vigorously protect and defend its interests and pursue its
rights. However, no assurance can be given as to the ultimate outcome of any particular matter because litigation and other contested
proceedings are inherently subject to numerous uncertainties. For matters that affect Avista Corp.'s operations, the Company intends to
seek, to the extent appropriate, recovery ofincurred costs through the ratemaking process.
Federal Energy Regulatory Commission Inquiry
In April 2004, the Federal Enerry Regulatory Commission (FERC) approved the contested Agreement in Resolution of Section 206
Proceeding (Agreement in Resolution) benveen Avista Corp., Avista Energy and the FERC's Trial Staffwhich stated that there was: (l)
no evidence that any executives or employees of Avista Corp. or Avista Enerry knowingly engaged in or facilitated any improper
trading strategy during 2000 and 2001; (2) no evidence that Avista Corp. or Avista Energy engaged in any efforts to manipulate the
westem energy markets during 2000 and 2001; and (3) no finding that Avista Corp. or Avista Energy withheld relevant information
from the FERC's inquiry into the western energy markets for 2000 and 2001 (Trading Investigation). The FERC's decisions approving
the Agreement in Resolution are pending before the United States Court of Appeals for the Ninth Circuit (Ninth Circuit). In May 2004,
the FERC provided notice that Avista Energy was no longer subject to an investigation reviewing certain bids above $250 per MW in
the short-term energy markets operated by the California Independent System Operator (CallSO) and the California Power Exchange
(CalPX) from May l, 2000 to October 2,2000 (Bidding Investigation). That matter is also pending before the Ninth Circuit,
As discussed in "California Refund Proceeding" below, in November 2013, Avista Corp, and Avista Energy arrived at a settlement in
principle with Pacific Gas & Electric (PG&E), Southern California Edison, San Diego Gas & Electric, the California Attorney General
(AG), the California Department of Water Resources (CERS), and the Califomia Public Utilities Commission that would resolve these
mafiers and obviate the need for further litigation. The Company filed the settlement at the FERC for its approval on March 7,2014.
The Company does not expect that this matter will have a material adverse effect on its financial condition, results of operations or
cash flows.
C a I ifo r n ia Refu n d P r o c e e d in g
In July 2001, the FERC ordered an evidentiary hearing to determine the amount of refunds due to California enerry buyers for
purchases made in the spot markets operated by the CallSO and the CaIPX during the period from October 2,2000 to June 20,2001
(Refund Period). Proposed refunds are based on the calculation of mitigated market clearing prices for each hour. The FERC ruled that
if the refunds required by the formula would cause a seller to recover less than its actual costs for the Refund Period, sellers may
document these costs and limit their refund liability commensurately. In 201 l, the FERC approved Avista Energy's cost filing, a
decision that is now before the Ninth Circuit.
In August 2006, the Ninth Circuit remanded to the FERC its decision not to consider an FPA section 309 remedy for tariffviolations
prior to October 2,2000. In May 201l, the FERC clarified the issues set for hearing forthe period May 1,2000 - October 1,2000
(Summer Period): (l) which market practices and behaviors constitute a violation of the then-current CalISO, CalPX, and individual
FERC FORM NO.2/3.Q 12-071 't22.34
Name of Respondent
Avista Corooration
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
seller's tariffs and FERC orders; (2) whether any of the sellers named as respondents in this proceeding engaged in those tariff
violations; and (3) whether any such tariff violations affected ttre market clearing price. The FERC also gave the California parties an
opporfunity to show that exchange transactions with the CallSO during the Refund Period were not just and reasonable. During a
FERC hearingin2012, the Presiding Administrative Law Judge (ALJ) issued a partial initial decision granting Avista Corp.'s motion
for summary disposition, based on the stipulation by the California Parties that there are no allegations of tariff violations made against
Avista Corp. in this proceeding and therefore no tariffviolations by Avista Corp. that affected the market clearing price in any hour
during the Summer Period. On November 2,2012, the FERC issued an order affirming the partial initial decision and dismissing
Avista Corp. from the proceeding, thereby terminating all claims against Avista Corp. for the Summer Period. In the same order, the
FERC also held that a market-wide remedy would not be appropriate with regard to any respondent during the Summer Period. The
FERC stated that it is clear that the Ninth Circuit did not mandate a specihc remedy on remand and, instead, left it to the FERC's
discretion to determine which remedy would be appropriate. On February 15, 2013, the ALJ issued an initial decision ruling that the
California Parties met their burden in the case against Avista Energy by relying on "screens" that identified transactions that potentially
could have signified tariffviolations. The initial decision did not discuss evidence offered by Avista Enerry, on an hour-by-hour basis,
rebutting the alleged violations. With respect to Avista Energy's one exchange transaction with the CaIISO during the Refund Period,
the judge made no findings with respect to the justness and reasonableness of that transaction, but nonetheless determined that Avista
Energy owed approximately $0.2 million in refunds with regard to the transaction.
In November of 2013, Avista Corp. and Avista Energy arrived at a settlement in principle that would resolve this matter which
obviates the need for further litigation. The 2001 bankruptcy of PG&E resulted in a default on its payment obligations to the CalPX,
and as a result, Avista Energy has not been paid for all of its sales during the Refund Period. Those funds have been held in escrow
accounts pending resolution of this proceeding. The settlement would return $15 million of Avista Energy's receivable to Avista
Energy, with the balance of the Avista Energy receivable flowing to the purchasers associated with the hourly transactions at issue.
There is no admission of wrongdoing on the part of the settling parties, and thus it is further agreed that no part of the refund payment
by Avista Enerry constitutes a fine or a penalty. The settlement resolves all claims for alleged overcharges during the Summer and
Refund Periods in the California Refund Proceeding, and in the Pacific Northwest Refund Proceeding, for sales made to CERS, as
discussed below. The settlement also includes settlement of the Federal Energy Regulatory Commission Inquiry, the Pacific Northwest
Refund Proceeding, and the California Attorney General Complaint (the "Lockyer Complaint").
The settlement is subject to approval by the FERC. The Company filed the settlement at the FERC for its approval on March 7 ,2014.
The Company does not expect that this mafier will have a material adverse effect on its financial condition, results of operations or
cash flows.
PaciJic Northwest Refund Proceeding
In July 2001, the FERC initiated a preliminary evidentiary hearing to develop a factual record as to whether prices for spot market
sales of wholesale energy in the Pacific Northwest between December 25,2000 and June 20,2001 were just and reasonable. In June
2003, the FERC terminated the Pacific Northwest refund proceedings, after f,urding that the equities do not justifu the imposition of
refunds. In August 2007, the Ninth Circuit found that the FERC, in denying the request for refunds, had failed to take into account new
evidence of market manipulation in the California enerry market and its potential ties to the Pacific Northwest enerry market and that
such failure was arbitrary and capricious and, accordingly, remanded the case to the FERC, stating that the FERC's findings must be
reevaluated in light of the evidence. The Ninth Circuit expressly declined to direct the FERC to grant refunds. On October 3, 201 l, the
FERC issued an Order on Remand, fmding that, in light of the Ninth Circuit's remand order, additional procedures are needed to
address possible unlawful activity that may have influenced prices in the Pacific Northwest spot market during the period from
December 25, 2000 through June 20, 2001 . The Order on Remand established an evidentiary, trial-type hearing before an ALJ, and
reopened the record to permit parties to present evidence of unlawful market activity. The Order on Remand stated that parties seeking
refunds must submit evidence demonstrating that specific unlawful market activity occurred, and must demonstrate that such activity
directly affected negotiations with respect to the specific contract rate about which they complain. Simply alleging a general link
FERC FORM NO. 2/3-Q 12-07)122.35
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
0411'u2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
between the dysfunctional spot market in California and the Pacific Northwest spot market will not be sufficient to establish a causal
connection between a particular seller's alleged unlawful activities and the specific contract negotiations at issue.
On July 11,2072, Avista Energy and Avista Corp. filed settlements of all issues in this docket with regard to the claims made by the
City of Tacoma, which the FERC approved. The two remaining direct claimants against Avista Corp. and Avista Energy in this
proceeding are the City of Seattle, Washin5on (Seattle), and the California AG (on behalf of CERS).
On April 5,2013,the FERC issued an Order on Rehearing expanding the temporal scope of the proceeding to permit parties to submit
evidence on transactions during the period from January l, 2000 through and including June 20, 2001.
On April 11, 2013, the California Parties filed apetition for review of the October 3,2011 Order on Remand, and the April 5, 2013
Order on Rehearing, in the Ninth Circuit. Seattle filed a petition for review of the same orders on April26,20l3. On May 22,2013,
the Ninth Circuit issued an order consolidating the California Parties' and Seaftle's petitions for review with respect to the Order on
Remand and the Order on Rehearing.
The hearing before an ALJ began on August 27,2013, and briefing is now concluded. The ALJ's initial decision is anticipated on or
before March 18,2014.
As discussed in "California Refund Proceeding" above, in November 20 I 3, Avista Corp. and Avista Energy arrived at a sefflement in
principle that would resolve these matters with regard to the CERS claims. The settlement is subject to approval by the FERC. The
Company filed the settlement at the FERC for its approval on March 7,2014. Seattle continues to pursue claims against both Avista
Corp. and Avista Energy, and if, refunds are ordered by the FERC with regard to any particular contract with Seattle, Avista Corp. and
Avista Enerry could be liable to make payments. The Company cannot predict the outcome of this proceeding or the amount of any
refunds that Avista Corp. or Avista Energy could be ordered to make. Therefore, the Company cannot predict the potential impact the
outcome of this matter could ultimately have on the Company's results of operations, financial condition or cash flows.
California Attornqt General Complaint (the "Lockyer Complaint")
In May 2002,the FERC conditionally dismissed a complaint filed in March 2002by the California AG that alleged violations of the
FPA by the FERC and all sellers (including Avista Corp. and its subsidiaries) of electric power and energy into California. The
complaint alleged that the FERC's adoption and implementation of market-based rate authority was flawed and, as a result, individual
sellers should refund the difference between the rate charged and a just and reasonable rate. In May 2002,the FERC issued an order
dismissing the complaint. In September 2004, the Ninth Circuit upheld the FERC's market-based rate authority, but held that the FERC
erred in ruling that it lacked authority to order refunds for violations of its reporting requirement. The Court remanded the case for
further proceedings, which ultimately resulted in summary disposition at the FERC in favor of Avista Corp. and Avista Energy. The
proceeding is now before the Ninth Circuit.
As discussed in "California Refund Proceeding" above, in November 2013, Avista Corp. and Avista Energy arrived at a settlement in
principle that would resolve these matters and obviate the need for flrther litigation. The settlement is subject to approval by the
FERC. The Company filed the settlement at the FERC for its approval on March 7,2014. The Company does not expect that this
matter will have a material adverse effect on its financial condition, results of operations or cash flows.
Coktrip Generating Project - Complaint Alleging llater Pollution
In March 2007,tuto families that own property near the holding ponds from Units 3 & 4 of the Colstrip Generating Project (Colstrip)
filed a complaint against the owners of Colstrip and Hydrometrics, Inc. in Montana District Court. Avista Corp. owns a l5 percent
interest in Units 3 & 4 of Colstrip. The plaintiffs alleged that the holding ponds and remediation activities adversely impacted their
properly. They alleged contamination, decrease in water tables, reduced flow of streams on their property and other similar impacts to
their property. They also sought punitive damages, attomeys' fees, an order by the court to remove certain ponds, and the forfeiture of
profits earned from the generation of Colstrip. In September 2010, the owners of Colstrip filed a motion with the court to enforce a
settlement agreement that would resolve all issues between the parties. In October 201I the court issued an order which enforced the
FERC FORM NO, Z3.Q 12-07 122.36
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t1'v2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
settlement agreement. All subsequent appeals by the plaintiffs of the court's decision were denied and in 2013 a motion to dismiss the
case was approved by the court. Under the settlement, Avista Corp.'s portion of payment (which was accrued in 20 I 0) to the plaintiffs
was not material to its financial condition, results of operations or cash flows.
Sierra Club and Montana Environmenlal Information Center Complaint Against the Owners of Colstrip
On March 6,2013, the Sierra Club and Montana Environmental Information Center (MEIC) (collectively "Plaintiffs"), filed a
Complaint (Complaint) in the United States District Court for the District of Montana, Billings Division, against the owners of the
Colstrip Generating Project (Colstrip). Avista Corp. owns a l5 percent interest in Units 3 & 4 of Colstrip. The other Colstrip
co-owners are PPL Montana, Puget Sound Energy, Portland General Electric Company, NorthWestern Energy and PacifiCorp. The
Complaint alleges certain violations of the Clean Air Act, including the New Source Review, Title V and opacity requirements. The
Plaintiffs request that the Court grant injunctive and declaratory relief, impose civil penalties, require a beneficial environmental
project in the areas affected by the alleged air pollution and require payment of Plaintiffs'costs of litigation and attorney fees.
On May 3,2013, the Colship owners and operator filed a partial motion to dismiss, seeking disrnissal of 36 of the 39 claims. The
Plaintiffs filed their opposition on May 31,2013, and the owners and operator filed their reply on June 21, 2013. On July 17,2013, the
Court held a preliminary pretrial conference, and on July 18, 2013, the Court issued an Order establishing a procedural schedule and
deadlines.
On September 72,2013, the Plaintiffs filed Plaintiffs' First Motion for Partial Summary Judgment on the Applicable Method for
Calculating Emission Increases from Modifications Made to the Colstrip Power Plant. The Colstrip Owners and Operator Response
filed their reply on November 15, 2013.
On September 27,2013, the Plaintiffs filed an Amended Complaint. The Amended Complaint withdrew from the original Complaint
fifteen claims related to seven pre-January l, 2001 Colstrip maintenance projects, upgrade projects and work projects and claims
alleging violations of Title V and opacity requirements. The Amended Complaint alleges certain violations of the Clean Air Act and
the New Source Review and adds claims with respect to post-January 1 ,2001 Colstrip projects. The Plaintiffs request that the Court
grant injunctive and declaratory relief, order remediation of alleged environmental damage, impose civil penalties, require a beneficial
environmental project in the areas aflected by the alleged air pollution and require payment of Plaintiffs' costs of litigation and
attorney fees.
On October I I , 20 I 3, the Colstrip owners and operator filed a motion to dismiss, seeking dismissal of all of Plaintiffs' claims
contained in the Amended Complaint. Due to the preliminary nature of the lawsuit, Avista Corporation cannot, at this time, predict the
outcome of the matter.
Harbor Oil Ine Site
Avista Corp. used Harbor Oil Inc. (Harbor Oil) for the recycling of waste oil and non-PCB transformer oil in the late I 980s and early
1990s. In June 2005, the Environmental Protection Agency (EPA) Region l0 provided notification to Avista Corp. and several other
parties, as customers of Harbor Oil, that the EPA had determined that hazardous substances were released at the Harbor Oil site in
Portland, Oregon and that Avista Corp. and several other parties may be liable for investigation and cleanup of the site under the
Comprehensive Environmental Response, Compensation, and Liability Act, commonly referred to as the federal "Superfund" law,
which provides for joint and several liability. Six potentially responsible parties, including Avista Corp., sigaed an Administrative
Order on Consent with the EPA on May 31, 2007 to conduct a remedial investigation and feasibility study (RI/FS). Based on the RI/FS
submitted to the EPA, the EPA issued a Record of Decision (ROD) which proposes the "No Action Alternative" for the site. Based on
the review of its records related to Harbor Oil, the Company does not believe it is a significant contributor to this potential
environmental contamination based on the small volume of waste oil it delivered to the Harbor Oil site. As such, and in light of the
EPA's ROD, the Company does not expect that this matter will have a material effect on its financial condition, results of operations or
cash flows. The Company has expensed its share of the RI/FS ($0.5 million) for this matter.
FERC FORM NO. 2y3-Q 12-07 122.37
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2UvA4
Notes to Financial Statements
Spokane River Licensing
The Company owns and operates six hydroelectric plants on the Spokane Nver. Five of these (Long Lake, Nine Mile, Upper Falls,
Monroe Street, and Post Falls) are regulated under one 50-year FERC license issued in June 2009 and are referred to as the Spokane
River Project. The sixth, Little Falls, is operated under separate Congressional authority and is not licensed by the FERC. The Iicense
incorporated the 4(e) conditions that were included in the December 2008 Settlement Agreement with the United States Department of
Interior and the Coeur d'Alene Tribe, as well as the mandatory conditions that were agreed to in the Idaho 401 Water Quality
Certifications and in the amended Washington 401 Water Quality Certification.
As part of the Settlement Agreement with the Washin$on Department of Ecology (Ecology), the Company has participated in the
Total Maximum Daily Load (TMDL) process for the Spokane River and Lake Spokane, the reservoir created by Long Lake Dam. On
May 20,2010, the EPA approved the TMDL and on May 27,2010, Ecology filed an amended 401 Water Quality Certification with
the FERC for inclusion into the license. The amended 401 Water Quality Certification includes the Company's level of responsibility,
as defined in the TMDL, for low dissolved oxygen levels in Lake Spokane. The Company submitted a draft Water Qualify Attainment
Plan for Dissolved Oxygen to Ecology in May 2012 and this was approved by Ecology in September 2012. This plan was subsequently
approved by the FERC. The Company began implementing this plan in 2013, and management believes costs will not be material. On
July 16, 20 10, the City of Post Falls and the Hayden Area Regional Sewer Board filed an appeal with the United States District Court
for the District of Idaho with respect to the EPA's approval of the TMDL. The Company, the City of Coeur d'Alene, Kaiser Aluminum
and the Spokane River Keeper subsequently moved to intervene in the appeal. In September 201l, the EPA issued a stay to the
litigation that will be in effect until either the permits are issued and all appeals and challenges are complete or the court Iifts the stay.
The stay is still in effect.
During 20 1 3, through a collaborative process with key stakeholders, a decision was reached to not move forward with a specific capital
project to add oxygen to Lake Spokane. At the time of such decision, the Company had expended $ I .3 million on the discontinued
project. On September 26,2013 and October 23,2013, the UTC and IPUC, respectively, issued Orders approving the Company's
petition for an accounting order authorizing deferral ofcosts related to the discontinued project. The Washington portion ofthe project
costs were $0.9 million and this amount has been recorded as a regulatory asset until the next general rate case. The Idaho portion of
the costs of $0.5 million was recorded as a regulatory asset during the fourth quarter of 2013 and will be included in the next general
rate case. The Company will address the prudence and recovery of these costs in the next Washington and Idaho general rate cases,
expected to be filed in2014.
The UTC and IPUC approved the recovery of licensing costs through the general rate case settlements in 2009. The Company will
continue to seek recovery, through the ratemaking process, of all operating and capitalized costs related to implementing the license for
the Spokane River Project.
Cabinet Gorge Total Dissolved Gas Abatement Plan
Dissolved atmospheric gas levels in the Clark Fork fuver exceed state of Idaho and federal water quality standards downstream of the
Cabinet Gorge Hydroelectric Generating Project (Cabinet Gorge) during periods when excess river flows must be diverted over the
spillway. Under the terms of the Clark Fork Settlement Agreement as incorporated in Avista Corp.'s FERC license for the Clark Fork
Project, Avista Corp. has worked in consultation with agencies, tribes and other stakeholders to address this issue. In the second
quarter of 201 I , the Company completed preliminary feasibility assessments for several alternative abatement measures. ln 2012,
Avista Corp., with the approval of the Clark Fork Management Committee (created under the Clark Fork Settlement Agreement),
moved forward to test one of the alternatives by constructing a spill crest modification on a single spill gate. Based on testing in 2013,
the modification appears to provide significant Total Dissolved Gas reduction. Further evaluation and design improvements are
underway prior to applying this approach to other spill gates. The Company will continue to seek recovery, through the ratemaking
process, ofall operating and capitalized costs related to this issue.
FERC FORM NO. 2/3-Q 12 122.38
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Fish Passage ut Cabinel Gorge and Noxon Rapids
In 1999, the USFWS listed bull trout as threatened under the Endangered Species Act. The Clark Fork Settlement Agreement describes
programs intended to help restore bull trout populations in the project area. Using the concept of adaptive management and working
closely with the USFWS, the Company evaluated the feasibility of fish passage at Cabinet Gorge and Noxon Rapids. The results of
these studies led, in part, to the decision to move forward with development of permanent facilities, among other bull trout
enhancement efforts. Fishway designs for Cabinet Gorge are still being finalized. Construction cost estimates and schedules will be
developed after several remaining issues are resolved, related to Montana's approval of fish transport from Idaho and expected
minimum discharge requirements. Fishway design for Noxon Rapids has also been initiated, and is still in early stages.
In January 20 10, the USFWS revised its 2005 desigaation of critical habitat for the bull trout to include the lower Clark Fork River as
critical habitat. The Company believes its ongoing efforts through the Clark Fork Settlement Agreement continue to effectively address
issues related to bull trout. The Company will continue to seek recovery, through the ratemaking process, of all operating and
capitalized costs related to fish passage at Cabinet Gorge and Noxon Rapids.
Aluminum Recycling S ile
In October 2009, the Company (through its subsidiary Pentzer Venture Holdings II, Inc. (Pentzer)) received notice from Ecology
proposing to find Pentzer liable for a release of hazardous substances under tle Model Toxics Control Act (MTCA), under
Washinglon state law. Pentzer owns property that adjoins land owned by the Union Pacific Railroad (UPR). UPR leased their property
to operators of a facility designated by Ecology as "Aluminum Recycling - Trentwood." Operators of the UPR property maintained
piles of aluminum dross, which designate as a state-only dangerous waste in Washington State. In the course of its business, the
operators placed a portion of the aluminum dross pile on the property owned by Pentzer. During the second quarter of 2013, the
Company completed an agreement with UPR which resolves all liability related to the MTCA action. Through Pentzer Corporation, a
wholly-owned subsidiary of the Company, the Company made a one-time payment of $0.1 million and UPR has taken full
responsibility for the cleanup activities at the site. Based on information currently known to the Company's management, the Company
believes any potential liability related to the site has been resolved, and does not expect this issue will have a material effect on its
financial condition, results ofoperations or cash flows.
Co I lective B arg ain ing A g reements
The Company's collective bargaining agreement with the International Brotherhood of Electrical Workers represents approximately 45
percent of all of Avista Corp.'s employees. The agreement with the local union in Washington and Idaho representing the majority
(approximately 90 percent) of the bargaining unit employees expired in March 2014. Two local agreements in Oregon, which cover
approximately 50 employees, expired in March 20 14. Negotiations are currently ongoing for these labor agreements.
Other Contingencies
In the normal course of business, the Company has various other legal claims and contingent matters outstanding. The Company
believes that any ultimate liability arising from these actions will not have a material impact on its financial condition, results of
operations or cash flows. It is possible that a change could occur in the Company's estimates of the probability or amount of a liability
being incurred. Such a change, should it occur, could be sigrificant.
The Company routinely assesses, based on studies, expert analyses and legal reviews, its contingencies, obligations and commitments
for remediation of contaminated sites, including assessments of ranges and probabilities of recoveries from other responsible parties
who either have or have not agreed to a settlement as well as recoveries from insurance carriers. The Company's policy is to accrue
and charge to current expense identified exposures related to environmental remediation sites based on estimates of investigation,
cleanup and monitoring costs to be incurred. For matters that affect Avista Corp.'s operations, the Company seeks, to the extent
appropriate, recovery ofincurred costs through tle ratemaking process.
FERC FORM NO,2/3.Q 1 122.39
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
The Company has potential liabilities under the Endangered Species Act for species of fish that have either already been added to the
endangered species list, Iisted as "threatened" or petitioned for listing. Thus far, measures adopted and implemented have had minimal
impact on the Company. However, the Company will continue to seek recovery, through the ratemaking process, of all operating and
capitalized costs related to this issue.
Under the federal licenses for its hydroelectric projects, the Company is obligated to protect its property rights, including water rights.
The state of Montana is examining the status of all water right claims within state boundaries. Claims within the Clark Fork River basin
could adversely affect the energy production of the Company's Cabinet Gorge and Noxon Rapids hydroelectric facilities. The state of
Idaho has initiated adjudication in northern Idaho, which will ultimately include t}re lower Clark Fork River, the Spokane River and the
Coeur d'Alene basin. In addition, the state of Washinglon has indicated an interest in initiating adjudication for the Spokane River
basin in the next several years. The Company is and will continue to be a participant in ttrese adjudication processes. The complexity
of such adjudications makes each unlikely to be concluded in the foreseeable future. As such, it is not possible for the Company to
estimate the impact of any outcome at this time.
NOTE 18. INFORMATION SERVICES CONTRACTS
The Company has information services contracts that expire at various times through 2017. The largest of these contracts provides for
increases due to changes in the cost of living index and further provides flexibility in the annual obligation from year-to-year. Total
payments under these contracts were as follows for the years ended December 3l (dollars in thousands):
201 3 20t2
Information service contract payments $ 12,647 $
The majority of the costs are included in other operating expenses in the Statements of Income. The
future conEactual commiunents for these agreements (dollars in thousands):
2014 201 5 2017 20182016
13,221
following table details minimum
Thereafter Total
Contractual obligations S 8,350 $7,384 $ 7,446 $7,508 $-$-s 30,688
NOTE 19. REGULATORY MATTERS
Power Cost Deferrals und Recovery Mechanisms
Deferred power supply costs are recorded as a deferred charge on the Balance Sheets for future prudence review and recovery through
retail rates. The power supply costs deferred include certain differences between actual net power supply costs incurred by Avista
Corp. and the costs included in base retail rates. This difference in net power supply costs primarily results from changes in:
o short-term wholesale market prices and sales and purchase volumes,
o the level and availability ofhydroelectric generation,
. the level and availability of thermal generation (including changes in fuel prices),
. the net value from optimization activities related to the Company's generating resources, and
retail loads.
In Washington, the Energy Recovery Mechanism (ERM) allows Avista Corp. to periodically increase or decrease electric rates with
UTC approval to reflect changes in power supply costs. The ERM is an accounting method used to track certain differences between
actual power supply costs, net of the margin on wholesale sales and sales of fuel, and the amount included in base retail rates for
FERC FORM NO.2/3.Q 12-07 122.40
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Washington customers. Total net deferred power costs under the ERM were a liability of $ 1 7.9 million as of December 3 l, 201 3, and
these deferred power cost balances represent amounts due to customers. As part of the approved Washinglon general rate case
settlement in December 2012, during2}l3 a one-year credit designed to return to customers $4.4 million from the existing ERM
deferral balance reduced the net average electric rate increase impact to customers in 2013. Additionally, during 2014 a one-year credit
up to $9.0 million will be returned to electric customers from the ERM deferral balance, so the net average electric rate increase impact
to customers effective January 1,2014 was also be reduced. The credits to customers from the ERM balances do not impact the
Company's net income.
Under the ERM, the Company absorbs the cost or receives the benefit from the initial amount of power supply costs in excess of or
below the level in retail rates, which is referred to as the deadband. The annual (calendar year) deadband amount is cunently $4.0
million. The Company will incur the cost of, or receive the benefit from, 100 percent of this initial power supply cost variance. The
Company shares annual power supply cost variances between $4.0 million and $10.0 million with customers. There is a 50 percent
customers/5O percent Company sharing ratio when actual power supply expenses are higher (surcharge to customers) than the amount
included in base retail rates within this band. There is a 75 percent customers/25 percent Company sharing ratio when actual power
supply expenses are lower (rebate to customers) than the amount included in base retail rates within this band. To the extent that the
annual power supply cost variance from the amount included in base rates exceeds $ I 0.0 million, there is a 90 percent customers/ I 0
percent Company share ratio ofthe cost variance.
The following is a summary of the ERM:
Annual Power Supply Cost Variability
Defened for Futurc
Surcharge or Rebate
to Customers
within +/- $0 to $4 million (deadband)
higher by $4 million to $10 million
lower by $4 million to $10 million
higher or lower by over $ l0 million
0%
s0%
75%
90o/o
Expense or Benefit
l00o/o
50%
25%
t0%
As part of the April20l2 Washington general rate case filing, the Company proposed modifications to the ERM deadband and other
sharing bands. The proposed modifications were not agreed to as part of the sefflement agreement, and the ERM continued unchanged.
However, the trigger point at which rates will change under the ERM was modified to be $30 million rather than the previous l0
percent of base revenues (approximately $45 million) under the mechanism,
Avista Corp. has a Power Cost Adjustment (PCA) mechanism in Idaho that allows it to modifu electric rates on October I of each year
with Idaho Public Utilities Commission (IPUC) approval. Under the PCA mechanism, Avista Corp. defers 90 percent of the difference
between certain actual net power supply expenses and the amount included in base retail rates for its Idaho customers. These annual
October I rate adjustments recover or rebate power costs deferred during the preceding July-June twelve-month period. Total net
power supply costs deferred under the PCA mechanism were a regulatory asset of $5. I million as of December 3 I , 20 I 3 compared to a
regulatory liability of $5.1 million as of December3l,2012.
Natural Gas Cost Deferrals and Recovery Mechanisms
AvistaCorp.filesapurchasedgascostadjustment(PGA)inallthreestatesitservestoadjustnaturalgasratesfor: l)estimated
commodity and pipeline transportation costs to serve natural gas customers for the coming year, and 2) the difference between actual
and estimated commodiry and transportation costs for the prior year. These annual PGA filings in Washington and Idaho provide for
the deferral, and recovery or refund, of 100 percent of the difference between actual and estimated commodity and pipeline
transportation costs, subject to applicable regulatory review. The annual PGA filing in Oregon provides for deferral, and recovery or
refund, of 100 percent of the difference between actual and estimated pipeline transportation costs and commodity costs that are fixed
through hedge transactions. Commodity costs that are not hedged for Oregon customers are subject to a sharing mechanism whereby
FERC FORM NO. 2/3-Q (REV,I 122.41
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Avista Corp. defers, and recovers or refunds, 90 percent ofthe difference between these actual and estimated costs. Total net deferred
natural gas costs to be refunded to customers were a liability of $ 12.1 million as of December 31, 2013 compared to a liability of $6.9
million as of December 31,2012.
lltashington General Rate Cases
In December 201 l, the UTC approved a settlement agreement in the Company's electric and natural gas general rate cases filed in May
201 1. The settlement agreement provided for the deferral of certain generation plant maintenance costs. For 201 I and 2012 the
Company compared actual non-fuel maintenance expenses for the Coyote Springs 2 and Colstrip plants with the amount of baseline
maintenance expenses used to establish base retail rates, and defened the difference. This deferral occurred each year, with no carrying
charge, with deferred costs to be amortized over a four-year period, beginning the year following the period costs are defened. Total
net deferred costs under this mechanism in Washington were a regulatory asset of $3. I million as of Decemb er 31 , 2013 compared to a
regulatory asset of $4.0 million as of December 31,2012. As part of the settlement agreement relating to the Company's latest general
rate case approved in December 2012,the parties agreed to terminate the maintenance cost deferral mechanism on December 31,2012,
with the four-year amortization of the 201 | and2012 deferrals to conclude in 2015 and2076, respectively.
ln December 2012, lhe UTC approved a settlement agreement in the Company's electric and natural gas general rate cases filed in
April2012. The settlement, effective January 1,2073, provided that base rates for Washington electric customers increase by an
overall 3.0 percent (designed to increase annual revenues by $13.6 million), and base rates for Washington natural gas customers
increased by an overall 3.6 percent (designed to increase annual revenues by $5.3 million). Under the sefilement, there was a one-year
credit designed to return S4.4 million to electric customers from the existing ERM deferral balance so the net average electric rate
increase impact to the Company's customers in 2013 was 2.0 percent. The credit to customers from the ERM balance did not impact
the Company's earnings.
The approved settlement also provided that, effective January 1,2014, the Company increased base rates for Washington electric
customers by an overall 3.0 percent (designed to increase annual revenues by $14.0 million), and for Washington natural gas customers
by an overall 0.9 percent (designed to increase annual revenues by $ 1.4 million). The settlement provides for a one-year credit up to
$9.0 million to electric customers from the ERM deferral balance, so the net average electric rate increase to customers effective
January 1,2014 was 2.0 percent. The credit to customers from the ERM balance will not impact the Company's earnings. The ERM
balance as of December 3 I , 20 l3 was a liability of $ I 7.9 million.
The settlement agreement provides for an authorized return on equity of 9.8 percent and an equity ratio of 47.0 percent, resulting in an
overall rate ofreturn on rate base of7.64 percent.
The December 2012 UTC Order approving tle settlement agreement included certain conditions.
( I ) The new retail rates to become effective January 1 ,2014 will be temporary rates, and on January 1,2015 electric and natural
gas base rates will reveft back to 2013 levels absent any intervening action from the UTC. The original settlement agreement
has a provision that the Company will not file a general rate case in Washington seeking new rates to take effect before
January 1,2015.
(2) In its Order, the UTC found that much of the approved base rate increases are justified by the planned capital expenditures
necessary to upgrade and maintain the Company's utility facilities. If these capital projects are not completed to a level that
was contemplated in the settlement agreement, this could result in base rates which are considered too high by the UTC.
Avista Corp. is required to file capital expenditure progress reports with the UTC on a periodic basis so that the UTC can
monitor the capital expenditures and ensure they are in line with those contemplated in the settlement agreement. The
Company expects total utility capital expenditures to be above the level contemplated in the settlement agreement.
On February 4,2014 the Company filed electric and natural gas general rates cases with the UTC. The Company has requested an
overall increase in base electric rates of3.8 percent (designed to increase annual electric revenues by $18.2 million) and an overall
FERC FORM NO.2/3-O 1 122.42
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
increase in base natural gas rates of 8. 1 percent (designed to increase annual natural gas revenues by $ 12. I million). The requests are
based on a proposed overall rate of return of 7 .71 percent, with a common equity ratio of 49.0 percent and a 10. I percent return on
equity.
Avista Corp. has also proposed a rebate beginning January 1,2015, related to its sale of renewable energy credits (REC), that would
reduce customers' monthly electric bills by 1.1 percent. The rebate associated with the sale of RECs is in response to the UTC Order
approving the Company's previous general rate case settlement in December 2012. This proposed REC rebate would commence
simultaneously with the expiration of two rebates that, together, are currently reducing customers' monthly electric bills by 2.8 percent.
The net eflect, commencing January I, 20I5, of the proposed new 1 I percent rebate and the expiration of the current 2.8 percent
rebate would be an increase in monthly electric bills of approximately 1.7 percent from 2014 levels. These rebates do not increase or
decrease Avista Corp.'s eamings.
The combination ofthe 3.8 percent requested increase in base electric rates and the effective 1.7 percent increase attributable to the
rebates would be a 5.5 percent increase electric billings.
As part of the Company's electric and natural gas general rate case filings, it has requested the implementation of decoupling
mechanisms which sever the link between actual volumetric sales and the recovery of the Company's fixed costs. Under the proposed
decoupling mechanisms, the Company would compare actual non-power supply (electric) and non-PGA (natural gas) revenue to the
allowed non-power supply and non-PGA revenue, as the case may be, and the difference would be deferred and either rebated or
surcharged to customers, depending on the position ofthe deferral accounts, over a one-year period. The deferral balances would be
reviewed annually by the UTC prior to the implementation of any annual rate adjustments under the mechanisms.
The proposed mechanisms would be subject to an annual earnings test which proposes that if the Company's actual annual
"Commission-basis" rate of return exceeds the most recently authorized Commission-basis rate of return for the Company's
Washington electric and natural gas operations, the amount of a proposed surcharge is reduced or eliminated to reduce the rate of
return to the Commission-authorized level. ln addition, the mechanisms would be subject to an annual rate increase limitation which
would prevent the amount of the incremental proposed rate adjustrnents under the mechanisms from exceeding a 3 percent rate
increase for each ofelectric and natural gas operations.
The UTC has up to 1 I months to review the filings and issue a decision.
Idaho General Rate Cases
In September 201 I, the IPUC approved a settlement agreement in the Company's general rate case filed in July 201 I . The settlement
agreement provides for the deferral ofcertain generation plant operation and maintenance costs. In order to address the variability in
year-to-year operation and maintenance costs, beginning in 201 1, the Company is deferring certain changes in operation and
maintenance costs related to the Coyote Spring 2 naf.tral gas-fired generation plant and its I 5 percent ownership interest in Units 3 & 4
of the Colstrip generation plant. The Company compares actual, non-fuel, operation and maintenance expenses for the Coyote Springs
2 and Colstrip plants with the amount of expenses authorized for recovery in base rates in the applicable deferral year, and defers the
difference from that currently authorized. The deferral occurs annually, with no carrying charge, with defened costs being amortized
over a three-year period, beginning in the year following the period costs are deferred. The amount ofexpense to be requested for
recovery in future general rate cases will be the actual operation and maintenance ixpense recorded in the test period, less any amount
deferred during the test period, plus the amortization of previously defened costs. Total net deferred costs under this mechanism in
Idaho were regulatory assets of $2.8 million as of December 3 l, 2013 and $2.3 million as of Decemb er 31,2012.
In March 2013, the IPUC approved a settlement agreement in the Company's electric and natural gas general rate cases filed in
October 2012. As agreed to in the settlement, new rates were implemented in two phases: April l, 2013 and October 1,2013.
Effective April l, 2013, base rates increased for the Company's Idaho natural gas customers by an overall 4.9 percent (designed to
increase annual revenues by $3 . I million). There was no change in base electric rates on April 1 , 20 I 3. However, the settlement
FERC FORM NO. 2/3-Q (REV 12-07)122.43
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
2013tQ4
Notes to Financial Statements
agreement provided for the recovery of the costs of the Palouse Wind Project, subject to the 90 percent customers/l0 percent Company
sharing ratio, through the PCA mechanism until these costs are reflected in base retail rates in the next general rate case.
The settlement also provided that, effective October l, 2013, base rates increased for Idaho natural gas customers by an overall 2.0
percent (designed to increase annual revenues by $ 1.3 million). A credit resulting from deferred natural gas costs of $ I .6 million is
being retumed to the Company's Idaho natural gas customers from Octob er 1 , 2013 through December 3l , 2014, so the net annual
average natural gas rate increase to natural gas customers efflective October 1,2013 was 0.3 percent.
Further, the settlement provided that, effective October 1,20 13, base rates increased for Idaho electric customers by an overall 3.1
percent (designed to increase annual revenues by $7.8 million). A $3.9 million credit resulting from a payment to be made to Avista
Corp. by the Bonneville Power Administration relating to its prior use of Avista Corp.'s transmission system is being returned to Idaho
electric customers from October l, 2013 through December 37,2014, so tle net annual average electric rate increase to electric
customers effective October 1,2013 was 1.9 percent.
The $1.6 million credit to Idaho natural gas customers and the $3.9 million credit to ldaho electric customers do not impact the
Company's net income.
The settlement agreement allows the Company to file a general rate case in Idaho in 2014; however, new rates resulting from the filing
would not take effect prior to January I , 20 1 5.
The settlement agreement provides for an authorized return on equity of 9.8 percent and an equity ratio of 50.0 percent.
The settlement also includes an after-the-fact earnings test for 2013 and 2014, such that if Avista Corp., on a consolidated basis for
electric and natural gas operations in Idaho, earns more than a 9.8 percent return on equity, Avista Corp. will refrtnd to customers 50
percent of any earnings above the 9.8 percent. In 2013, the Company's returns exceeded this level and the Company will refund $2.0
million to ldaho electric customers and $0.4 million to Idaho natural gas customers. The period over which these amounts will be
returned to customers has not yet been determined by the IPUC.
Oregon Genersl Rate Case
On January 21 ,2014, the Public Utility Commission of Oregon (OPUC) approved a settlement agreement to the Company's natural gas
general rate case (originally filed in August 2013). As agreed to in the settlement, new rates will be implemented in two phases:
February 1,2014 and November 1,2014. Effective February 1,2074, rates increased for Oregon natural gas customers on a billed
basis by an overall 4.4 percent (designed to increase annual revenues by $a.3 million). Effective November 1,2014, rates for Oregon
natural gas customers will increase on a billed basis by an overall I .55 percent (designed to increase annual revenues by $ I .a million).
The billed rate increase on November 1 ,2014 could vary slightly from that noted above as it is dependent upon actual costs incurred
through September 30,2014 related to the Company's customer information system upgrade and the actual costs incurred through June
30, 2014 related to the Company's Aldyl A distibution pipeline replacement program. The estimated capital expenditures included in
the general rate case settlement are $6.5 million and $2.0 million, respectively, for the two projects. If the actual costs incurred on the
above projects are greater than the amounts contemplated in the general rate case settlement, the additional costs could be approved for
recovery, subject to a prudence review.
The approved settlement agreement provides for an overall authorized rate of return of 7 .47 percent, with a common equiry ratio of 48
percent and a 9.65 percent return on equity.
Bonneville Power Administratlon Reimbursement and Reardan lVind Generation Project
On May 9,2013, the UTC approved the Company's Petition for an order authorizing certain accounting and ratemaking treatment
related to two issues. The first issue relates to transmission revenues associated with a settlement between Avista Corp. and the
Bonneville Power Administration (BPA), whereby the BPA reimbursed the Company $l 1.7 million for Bonneville's past use of Avista
FERC FORM NO.2/3-Q 1 122.44
Name of Respondent
Avista Corporation
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
2013tQ4
Notes to Financial Statements
Corp.'s transmission system. The second issue relates to $4.3 million of costs the Company incurred over the past several years for the
development of a wind generation project site near Reardan, Washington, which has been terminated. The UTC authorized the
Company to retain $7.6 million of the BPA settlement payment, representing the entire portion of the settlement allocable to the
Washington business. However, this amount was deemed to first reimburse the Company for the $2.5 million of Reardan project costs
that are allocable to the Washington business, leaving $5.1 million to be retained for the benefit of shareholders.
The BPA agreed to pay $0.3 million monthly ($3.2 million annually) for the future use of Avista Corp.'s transmission system. The
Company is separately tracking and defening for the customers'benefit, the Washington portion of these revenue paynents in 2013
and 2014 ($2.1 million annually). The Company implemented a one-year $4.2 million rate decrease for customers effective January 1,
2014 to partially offset the electric general rate increase effective January 1,2014. To the extent actual revenues from the BPA in 2013
and 2014 differ from those refunded to customers in 2014, the difference will be added to or subtracted from the ERM balance. In
Idaho, under the terms of the approved rate case settlement, 90 percent of the portion of the BPA sefilement allocable to the Idaho
business ($4. 1 million) is being credited back to customers over I 5 months, beginning October 201 3, and the Company is amortizing
the Idaho portion of Reardan costs ($ L7 million) over a two-year period, beginning April 20 13.
NOTE 20. SUPPLEMENTAL CASH FLOW INFORMATION (in thousands)
).o17 )01)
Cash paid for interest
Cash paid for income taxes
$70,444
$42,497
s68,508
$6,631
FERC FORM NO.2/3.Q 12-0 122.45
This Page Intentionally Left Blank
Name oI xesponoenl
Avista Corporation
I nts KeDon ts:(1) fiRn Originat(2) nA Resubmission
uatE 9t ^EPUI(Mo, Da, Yr)
04t1112014
reailFenoo oI Kepon
End of 20'13/Q4
Summary of Utility Plant and Accumulated Provisions for Depreciation, Amortization and Depletion
Line
No.
Item
(a)
Total Company
For the Current
Quarterf/ear
1 UTILITY PLANT
2 ln Service
3 Plant in Service (Classified)4,268,598,886
4 Property Under Capital Leases 6,442,U9
5 Plant Purchased or Sold
b Completed Construction not Classified
7 Experimental Plant Unclassified
I TOTAL Utility Plant (Total of lines 3 thru 7)4,275,041,235
o Leased to Others
10 Held for Future Use 4,964,376
11 Construction Work in Progress 157,258,690
12 Acquisition Adjustments
13 TOTAL Utility Plant (Total of lines 8 thru 12)4,437,264,301
14 Accumulated Provisions for Depreciation, Amortization, & Depletion 1,491,212,830
15 Net Utility Plant (Total of lines 13 and 14)2,946,051,47'.!
16 DETAIL OF ACCUMULATED PROVISIONS FOR DEPRECIATION. AMORTIZATION AND DEPLETION
17 ln Service:
'18 Depreciation 1.454.623,625
'19 Amortization and Depletion of Producing Natural Gas Land and Land Rights
20 Amortization of Underground Storage Land and Land Rights
21 Amortization of Other Utility Plant 36,589,205
22 TOTAL ln Service (Total of lines 18 thru 21)'t,491 ,212,830
23 Leased to Others
24 Depreciation
25 Amortization and Depletion
26 TOTAL Leased to Others (l-otal of lines 24 and 25)
27 Held for Future Use
28 Depreciation
29 Amortization
30 TOTAL Held for Future Use (Iotal of lines 28 and 29)
31 Abandonment of Leases (Natural Gas)
32 Amortization of Plant Acquisition Adjustmenl
33 TOTAL Accum. Provisions (Should agree with line 14 above)(Total of lines 22, 26, 30, 31, and 32)1,491,212,830
FERC FORM NO.2 (12-96)Pagi 2oo
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiAn Originat(2\ l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013iQ4
Summary of Utility Plant and Accumulated Provisions for Depreciation, Amortization and Depletion (continued)
Line
No.
Electric
(c)
Gas
(d)
Other (specify)
(e)
Common
(0
3 3,165,732,548 837,923,760 264,942.578
4 858,865 5,583,484
A
b
7
8 3,165,732,548 838,782,625 270,526,062
10 4,773,791 190,585
11 97,884,894 5,077.638 54,296,158
12
13 3,268,391,233 844.050.848 324,822,220
14 1,136,326,135 283,1 73,038 71,713,6s7
15 2,1 32,065,098 560,877,810 253,1 08,563
18 1 ,123,890,020 281 ,451 ,295 49,282,310
21 12,436,115 1,721,743 22,431,347
22 1.136,326.135 283,173,038 71,713,657
24
25
26
28
29
30
32
33 1,136,326,135 283,1 73,038 71,713,657
FERC FORM NO. 2 (12-96)Page 201
Name or Kesponoent
Avista Corporation
This ReDort ls:(1) []An orisinal(2) l_lA Resubmission
uale or Kepo[ | Yea[Fenoo or Kepon(Mo, Da, Y0 I04t11t2014 | eno of 2013/Q4
Gas Plant in Service (Accounts 10'|., 102, 103, and 106)
1 . Report below the original cost of gas plant in service according to the prescribed accounts.
2. ln addition to Account 101 , Gas Plant in Service (Classified), this page and the next include Account 't02, Gas Plant Purchased or Sold, Account
103, Experimental Gas Plant Unclassified, and Account 106, Completed Construction Not Classified-Gas.
3. lnclude in column (c) and (d), as appropriate conections of additions and retirements for the current or preceding year.
4. Enclose in parenthesis credit adjustments of plant accounts to indicate the negative effect of such accounts.
5. Classify Account 106 according to prescribed accounts, on an
estimated basis if necessary, and include the entries in column (c).Also to be included in column (c) are entries for reversals of tentative distributions of
prior year reported in column (b). Likewise, if the respondent has a significant amount of plant retirements which have not been classified to primary
accounts at the end of the year, include in column (d) a tentative distribution of such retirements, on an estimated basis, with appropriate contra entry to
the account for accumulated depreciation provision. lnclude also in column (d) reversals of tentative distributions of prior yea/s unclassified retirements.
Attach supplemental statement showing the account distributions of these tentative classifications in columns (c) and (d),
Line
No.
Account
/a)
Balance at
Beginning of Year
/h\
Additions
{e}
INTANGIBLE PI.ANT
2 301 Oroanization
3 302 Franchises and Consents
4 303 Miscellaneous lntangible Plant 3,745,299
5 TOTAL lntangible Plant (Enter Total of lines 2 thru 4)3,745,299
5 PRODUCTION PLANT
7 Natural Gas Production and Gatherinq Plant
8 325.1 Producinq Lands
I 325.2 Producinq Leaseholds
10 325.3 Gas Riohts
11 325.4 Riqhts-of-Wav
12 325.5 Other Land and Land Riohts
13 326 Gas Well Structures
14 327 Field Comoressor Station Structures
15 328 Field Measuring and Regulating Station Equipment
16 329 Other Structures
17 330 Producino Gas Wells-Well Construction
18 331 Producing Gas Wells-Well Equipment
19 332 Field Lines
20 333 Field Compressor Station Equipment
21 334 Field Measuring and Regulating Station Equipment
22 335 Drillino and Cleanino Eouioment
23 336 PurificationEquipment
24 337 Other Eouioment
25 338 Unsuccessful Exploration and Development Costs
26 339 Asset Retirement Costs for Natural Gas Production and
27 TOTAL Production and Gatherinq Plant (Enter Total of lines 8
28 PRODUCTS EXTMCTION PI.ANT
29 340 Land and Land Riqhts
30 341 Structures and lmprovements
31 342 Extraction and Refining Equipment
32 343 Pipe Lines
33 344 Extracted Products Storaqe Equipment
FERC FORM NO.2 (12-95)Page 204
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn originat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 29l3Qzl
Gas Plant in Service (Accounts '101 , 102, 1 03, and 106) (continued)
ncluding the reversals of the prior years tentative account distributions of these amounts. Careful observance of the above instructions and the texts of
{ccount 101 and 1 06 will avoid serious omissions of respondent's reported amount for plant actually in service at end of year.
6. Show in column (f) reclassifications or transfers within utility plant accounts. lnclude also in column (f) the additions or reductions of primary account
classifications arising from distribution of amounts initially recorded in Account 102. ln showing the clearance of Account 102, include in column (e) the
imounts with respect to accumulated provision for depreciation, acquisition adjustments, etc., and show in column (f) only the offset to the debits or
:redits to primary account classifications.
7. For Account 399, state the nature and use of plant included in this account and if substantial in amount submit a supplementary statement showing
;ubaccount classification of such plant conforming to the requirements of these pages.
8. For each amount comprising the reported balance and changes in Account 102, state the property purchased or sold, name of vendor or purchaser,
rnd date of transaction. lf proposed journal entries have been flled with the Commission as required by the Uniform System of Accounts, give date of
such filinq.
Line
No.
Retirements
(d)
Adjustments
/eI
Transfers
(fl
Balance at
End of Year
(o'l
2
3
4 3,745,299
5 3,745,299
a
10
11
12
13
14
15
r6
17
18
'19
20
21
22
23
24
25
26
27
29
30
31
32
33
FERC FORM NO.2 (12-96)Page
Name ot Responclent
Avista Corporation
I nts }(eoon ts:(1) fien original(2) nA Resubmission
lJare or l(eoort(Mo, Da, Yi)
o411112014
YearHenoo or Kepon
End of @l
Gas Plant in Service (Accounts 10'|.,'|.02,103, and 106) (continued)
Line
No.
Account
/a)
Balance at
Beginning of Year
th\
Additions
/a)
34 345 CompressorEquipment
35 346 Gas Measurinq and Requlatinq Equipment
36 347 Other Equipment
37 348 Asset Retirement Costs for Products Extraction Plant
38 TOTAL Products Extraction Plant (Enter Total of lines 29 thru 37)
?o TOTAL Natural Gas Production Plant (Enter Total of lines 27 and
40 Manufactured Gas Production Plant (Submit Supplementary 7,628
41 TOTAL Production Plant (Enter Total of lines 39 and 40)7,628
42 NATUML GAS STOMGE AND PROCESSING PLANT
43 Underoround Storaqe Plant
44 350.1 Land 407,'.t11
45 350.2 Riohts-of-Wav 59,812
46 351 Structures and lmprovements 1,455,852 89,327
47 352 Wells 13,453,051 89,328
48 352.1 Storage Leaseholds and Rights 254,354
49 352.2 Reservoirs 1,667,492
50 352.3 Non-recoverable Natural Gas 5,810,3't1
51 353 Lines 1,106,781
52 354 Compressor Station Equipment 14,427,521 89,328
53 355 Other Eouioment 274,730 89,328
54 356 Purification Equipment 403,712
EA 357 Other Equipment 1,569,513 89,328
56 358 Asset Retirement Costs for Underground Storage Plant
57 TOTAL Underground Storage Plant (Enter Total of lines 44 thru 40,890,240 446,639
58 Other Storaoe Plant
59 360 Land and Land Rights
60 361 Structures and lmprovements
61 362 Gas Holders
62 363 PurificationEquipment
bJ 363.1 Liquefaction Equipment
64 363.2 Vaporizing Equipment
65 363.3 Comoressor Eouioment
66 363.4 Measuring and Regulating Equipment
67 363.5 Other Equipment
68 363.6 Asset Retirement Costs for Other Storaqe Plant
69 TOTAL Other Storage Plant (Enter Total of lines 58 thru 68)
70 Base Load Liquefied Natural Gas Terminaling and Processing Plant
71 364.1 Land and Land Rights
72 364.2 Structures and lmorovements
73 364.3 LNG Processing Terminal Equipment
74 364.4 LNG Transoortation Eouioment
7t 364.5 Measuring and Regulating Equipment
76 364.6 Compressor Station Equipment
77 364.7 Communications Equipment
78 364.8 Other Eouioment
79 364.9 Asset Retirement Costs for Base Load Liquefied Natural Gas
80 TOTAL Base Load Liquefied Nat'l Gas, Terminaling and
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Originat(2\ [lA Resubmission
Date of Report(Mo, Da, Yr)
041't'.12014
Year/Period of Report
End of 2013/Q4
Gas Plant in Service (Accounts 10'1,102,103, and 106) (continued)
Line
No.
Retirements
(dl
Adjustments
(e)
Transfers
(fl
Balance at
End of Year
(o)
34
35
36
37
38
10
40 7,628
41 7,628
44 407,111
45 59,812
46 8,074 1 ,537,1 05
47 6,940 13,535,439
48 254,354
49 1,667,492
50 5,810,31 1
51 1.106,781
52 5,787 14,511,062
53 50,015 314,043
54 403,712
55 18,074 1,640,767
56
57 88,890 41,247,989
59
60
6'1
62
63
64
65
bb
67
68
69
71
72
73
74
75
/b
77
78
79
80
FERC FORM NO.2 (12-96)Page 207
Name oT Kesponoenl
Avista Corporation
lnrs KeDon ls:(1) finn original(2) llA Resubmission
uale oI Kepon(Mo, Da, Yr)
04t11t2014
YealPenoo or Kepon
End of 2013/Q4
Gas Plant in Service (Accounts 101 102, '103, and 106) (continued)
Line
No.
Account
(a)
Balance at
Beginning of Year
rb)
Additions
81 TOTAL Nat'l Gas Storage and Processing Plant (Total of lines 57,40,890,240 446,639
82 TRANSMISSION PLAN
83 365.1 Land and Land Riohts
84 365.2 Riqhts-of-Way
85 366 Structures and lmprovements
86 367 Mains
87 368 Compressor Station Equipment
88 369 Measurinq and Requlatinq Station Equipment
89 370 Communication Equipment
90 371 Other Equipment
91 372 Asset Retirement Costs for Transmission Plant
92 TOTAL Transmission Plant (Enter Totals of lines 83 thru 9'1)
93 DISTRIBUTION PT.ANT
94 374 Land and Land Rights 267,688 513,041
95 375 Structures and lmprovements 1,',t24,780 38,906
96 376 Mains 373,340,137 39,201,825
97 377 Compressor Station Equipment
98 378 Measuring and Requlatinq Station Equipment-General 9,310,864 640,394
99 379 Measuring and Regulating Station Equipment-City Gate 7,518,309 45,063
100 380 Services 208,499,000 18,454,000
t01 381 Meters 100,286,734 3,268,954
102 382 Meter lnstallations
03 383 House Requlators
104 384 House Requlator lnstallations
r05 385 lndustrial Measuring and Regulating Station Equipmenl 4,275.124 130,885
t06 386 Other Property on Customers' Premises
t07 387 Other Equipment 539
r08 388 Asset Retirement Costs for Distribution Plant
109 TOTAL Distribution Plant (Enter Total of lines 94 thru 108)704,623,175 62,293,068
10 GENERAL PLANT
11 389 Land and Land Riqhts 949,240 232,167
12 390 Structures and lmprovements 5,328,235 437,852
13 391 Office Furniture and Equipment 476,825
14 392 TransportationEquipment 9,854,381 't,388,244
15 393 Stores Equipmenl 141,498
116 394 Tools, Shop, and Garage Equipment 4,307,356 987,422
17 395 LaboratoryEquipment 406,632
18 396 Power Ooerated Eouioment 4,229,959 444,340
19 397 Communication Equipment 3,007,381 126,430
20 398 MiscellaneousEquioment 2,367
121 Subtotal (Enter Total of lines 1 't 1 thru 120)28,703,874 3,616,455
22 399 Other Tangible Property
t23 399.1 Asset Retirement Costs for General Plant
24 TOTAL General Plant (Enter Total of lines 121, 122 and 123)28,703,874 3,616,455
25 TOTAL (Accounts 101 and 106)777,970,216 66,356,'162
zo Gas Plant Purchased (See lnstruction 8)
27 (Less) Gas Plant Sold (See lnstruction 8)
28 Experimental Gas Plant Unclassified
29 TOTAL Gas Plant ln Service (Enter Total of lines 125 thru 128)777,970,216 66;356,1 62
FERC FORM NO.2 (12-96)Page 208
Name of Respondent
Avista Corporation
This Reoort ls:(1) fien original(2) [-lA Resubmission
uate o1 Hepon(Mo, Da, Yr)
0411112014
YearPefloo or Kepon
End of 4l!&[
Gas Plant in Service (Accounts 101 102, 103, and 106) (continued)
Line
No.
Retirements
(d'l
Adjustments
(e)
Transfers
(fl
Balance at
End ofYear
(o)
81 88,890 41,247,989
83
84
85
86
87
88
89
90
91
92
94 780,729
OR 21,897 1,141,789
96 2,750,709 409,791,253
97
98 87,493 9,863,765
99 60,074 7,503,298
00 242,218 226,710,782
01 1,900,644 101 ,655,044
02
03
04
105 4,406,009
06
07 539
08
109 5,063,035 761,853,208
11 1,181,407
12 7,065 5,759,022
13 476,825
14 1 10,859 1 1 ,1 31 ,766
15 141,498
116 197,457 5,097,321
17 46,361 360,271
18 20,476 4,653,823
IU 9,610 3,124,201
20 2,367
21 391,828 31,928,501
22
23
24 391,828 31,928,501
25 5,543,753 838,782,625
26
27
28
29 5,543,753 838,782,625
FERC FORM NO.2 (12-96)Page 209
Name of Respondent
Avista Corporation
This ReDort ls:(1) []Rn orisinat(2) llA Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Repor
End of 2013/Q4
Gas Plant Held for Future Use (Account 105)
1. Report separately each property held for future use at end of the year having an original cost of $1 ,000,000 or more. Group other
items of property held for future use.
2. For property having an original cost of $1,000,000 or more previously used in utility operations, now held for future use, give in
column (a), in addition to other required information, the date that utility use of such property was discontinued, and the date the
original cosl was lransferred to Account 105.
Line
No.
Description and Location
of Prope0
(a)
Date Originally lncluded
in this Account
(b)
Date Expected to be Used
in Utility Service
(c)
Balance at
End ofYear
(d)
1 Gas Distribution Mains and Services 03t01t2007 159,823
2 located in Coeur d'Alene, ldaho
3 Gas Distribution Mains and Services 07t0112011 30,762
4 located in Coeur d'Alene, ldaho
5
6
7
8
I
10
11
12
13
14
15
16
17
't8
19
20
21
22
23
24
25
26
27
28
29
30
3'1
32
33
34
35
36
37
38
39
40
41
42
43
44
{5 Total 190,585
FERC FORM NO.2 (12-96)Page 214
Name 0I Kesponoent
Avista Corporation
This Reoort ls:(1) fiRn Original(2\ [--lA Resubmission
Date of Report(Mo, Da, Yr)
04111t2014
Year/Period of Repor
End of 2013/Q4
Construction Work in Progress-Gas (Account 107)
1 . Report below descriptions and balances at end of year of projects in process of construction (Account 107).
2. Show items relating to "research, development, and demonstration" projects last, under a caption Research, Development,
and Demonstration (see Account 107 of the Uniform System of Accounts).
3. Minor projects (less than $1,000,000) may be grouped.
Line
No.
Description of Project
(a)
Construction Work in
Progress-Gas
(Account 107)
(b)
Estimated Additional
Cost of Project
(c)
I Construct Chase Rd Gate Stn Post Falls lD 1,232,665 5,400,000
2 Minor Projects under $1,000,000 3.844.973 58,551,665
3
4 Notes:
5 Estimated additional cost amounts represent a five year
6 budget total.
7
8
9
10
11
12
'1 3
14
15
16
't7
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
{5 Total s,077,638 63,951,665
FERC FORM NO.2 (12-96)Page 216
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
20131Q4
General Description of Construction Overhead Procedure
1. For each constructlon overhead explain: (a) the nature and extent ofwork, etc., the overhead charges are to cover, (b) the general
procedure for determining the amount capitalized, (c) the method of distribution to construction jobs, (d) whether different rates are applied to
different types of construction, (e) basis of differentiation in rates for different types of construction, and (f) whether the overhead is directly or
indirectly assigned.
2. Show below the computation of allowance for funds used during construction rates, in accordance with the provisions of Gas Plant
lnstructions 3 (17) of the Uniform System of Accounts.
3. Where a net-oftax rate for borrowed funds is used, show the appropriate tax effect adjustment to the computations below in a manner that
clearly indicates the amount of reduction in the gross rate for tax effects.
Construction costs with a direct relationship to to new construction and capital replacement activities that
cannot be clearly identified with specific projects are charged to overhead pools. The established
pools are:
Construction Overhead North Gas
Construction Overhead South Gas
Pool costs are allocated monthly to gas construction projects on a percent rate applied to direct project costs, excluding
AFUDC.
Each pool's rate is calculated separately and applied only to the related gas construction projects for allocation.
Allowance for funds used during construction is calculated system wide using a rate that is equivalent to
the allowed rate of return approved in the latest rate order from the company's primary state commission (Washington
state).
For 2013 Avista used a rate of 7.640/o which is the allowed Rate of Return contained in the Washington Utilities and
Transportation Commission Final Order 09 dated December 26, 2012for consolidated Dockets UE-120436 and
uG-120437.
FERC FORM NO.2 12-0 218.1
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn originat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
General Description of Construction Overhead Procedure (continued)
COMPUTATION OF ALLOWANCE FOR FUNDS USED DURING CONSTRUCTION MTES
1 . For line (5), column (d) below, enter lhe rate granted in the last rate proceeding. lf not available, use the average rate eamed during the preceding 3 years.
2. ldentify, in a footnote, the specific entity used as the source for the capital structure ligures.
3, lndicate, in a footnote, if the reported rate of retum is one that has been approved in a rate case, black-box settlement rate, or an actual three-year average rate.
1. Components of Formula (Derived from actual book balances and actual cost rates):
Line
No.
Title
(a)
Amount
(b)
Capitalization
Ration (percent)
(c)
Cost Rate
Percentage
(d)
1) Averaqe Short-Term Debt S
(2) Short-Term lnterest S
(3) Lonq-Term Debt D d
(4) Preferred Stock P p
(5) Common Equity c c
(6) Total Capitalization
(7) Averaqe Construction Work ln Prooress Balance W
2. Gross Rate for Borrowed Funds s(SM/) + d[(D(D+P+C)) (1-(SAA/))]
3. Rate for Other Funds t1-(S^^/)l [p(P/(D+P+C)) + s(Q/(p+P+C))]
4. Weighted Average Rate Actually Used for the Year:
a. Raie for Borrowed Funds -
b. Rate for Other Funds -
3.05
4.59
FERC FORM NO.2 (REV 12-071 Page 218a
Name of Respondent
Avista Corporation
This Reoort ls:(1) []en orisinat(2\ l_lA Resubmission
Date of Reporl(Mo, Da, Yr)
04t11t2014
Year/Period of Repor
End of 2013/Q4
Accumulated Provision for Depreciation of Gas Utility Plant (Account 108)
1. Explain in a footnote any important adjustments during year.
2. Explain in a footnote any difference between the amount for book cost of plant retired, line 10, column (c), and that reported for gas
plant in service, page 204-209, column (d), excluding retirements of nondepreciable property.
3. The provisions of Account 108 in the Uniform System of Accounts require that retirements of depreciable plant be recorded when
such plant is removed from service. lf the respondent has a significant amount of plant retired at year end which has not been
recorded and/or classified to the various reserve functional classifications, make preliminary closing entries to tentatively functionalize
the book cost of the plant retired. ln addition, include all costs included in retirement work in progress at year end in the appropriate
functional classifi cations.
4. Show separately interest credits under a sinking fund or similar method of depreciation accounting.
5. AtlinesTandl4,addrowsasnecessarytoreportall data. Additional rowsshouldbenumberedinsequence,e.g.,T.0l ,7.02,ehc.
Line
No.
Item
(a)
Total
(c+d+e)
(b)
Gas Plant in
Service
(c)
Gas Plant Held
for Future Use
(d)
Gas Plant Leased
to Others
(e)
1 Balance Beginning of Year 268,498,774 268,498,774
?(403) Depreciation Expense 17,246,22a 17,246,22!
4 (403.1) Depreciation Expense for Asset Retirement Cosb
5 (413) Expense of Gas Plant Leased to Others
b Transportation Expenses - Clearing 1525044 1,525,04t
7 Other Clearing Accounts
I Other Clearing (Specify) (footnote details):( 9,7101 ( 9,710
I
10 ToTAL Deprec. Prov. for Year (Total of lines 3 thru 8)'18,761,55!18,761,5s!
12 Book Cost of Plant Retired ( s,538,501 ( 5,s38,501
13 Cost of Removal ( 194,5561 (194,556
14 Salvage (Credit)
'15 TOTAL Net Chrgs for Plant Ret. (Total of lines 12 thru 14)( s,733,0571 ( 5,733,0s7
16 Other Debit or Credit ltems (Describe) (lootnote details):75,981 ( 75,981
17
18 Book Cost of Asset Retirement Costs
19 Balance End ol Year (Total of lines 1,10,15,16 and 18)281,451,295 281,451,294
Section B. BALANCES AT END OF YEAR ACCORDING TO
FUNCTIONAL CLASSIFICATIONS
21 Produclions-Manufaclured Gas
22 Production and Gathering-Natural Gas
23 Producb Extraction-Natural Gas
24 Underground Gas Storage 13,43s,459 13,435,45!
25 Other Storage Plant
26 Base Load LNG Terminaling and Processing Plant
27 Transmission
28 Distribution 256,829,423 256,829,423
29 General 1'1,186,41 11,186,413
30 TOTAL fiotal of lines 2'l hru 29)281,451,29t 28't,451,294
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corooration
This Report is:
(1) X An Original(A A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
FOOTNOTE DATA
lncludes:
Miscellaneous adiustment of -$9,71 0
lncludes:
Change in RemovalWork in Progress -$75,981
FERC FORM NO.2 552.1
This Page Intentionatly Left Blank
Name of Respondent
Avista Corporation
tnts Keoon ts:(1) fien Originat(2) nA Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 2013/Q4
Gas Stored (Accounts 117.1,117.2, 1'17.3, 117.4, 164.1,1.64.2, and 164.3)
't . lf during the year adjustments were made to the stored gas inventory reported in columns (O), (D, (S), and (h) (such as to correct cumulative inaccuracies
of gas measurements), explain in a footnote the reason for the adjustments, the Dth and dollar amount of adjustment, and account charged or credited.
2. Report in column (e) all encroachments during the year upon the volumes designated as base gas, column (b), and system balancing gas, column (c),
and gas property recordable in the plant accounts.
3. State in a footnote the basis of segregation of inventory between current and noncurrent portions. Also, state in a footnote the method used to report
storage (i.e., fixed asset method or inventory method).
.tn(
Nc
Description
(a)
(Account
117 .1)
(b)
(Account
117.2)
(c)
Noncurrent
(Account
1 17.3)
(d)
(Account
117.4)
(e)
Current
(Account
164.1)
(0
LNG
(Account
164.2)
(s)
LNG
(Account
164.3)
(h)
Total
(D
1 ]alance at Beginning of 6,992,07r 17,276,28 21,268,363
2 jas Delivered to Storage 29,349,1 2 29,349.123
?ias Withdrawn from 33,596,70 33,596.700
4 )ther Debits and Credits
Jalance at End ol Year 6,992,07t 13,028,7'1 20,020,786
)th 1,253,06r 4,296,89 5.549.950
7 \mounl Per Dth 5.580r 3.032 3.6074
FERC FORM NO. 2 (REV 04-04)Page 220
Name of Respondent
Avista Corporation
This Reoort ls:(1) flAn Originat(2) nA Resubmission
uale ot Hepon(Mo, Da, Yr)
04t11t2014
YearPenoo oI Kepon
End of &131Q!
lnvestments (Account 123, 124, and 1 36)
1. ReportbelowinvestmentsinAccountsl23,lnvestmenBinAssociatedCompanies,l24,Otherlnvestments,andl36,TemporaryCashlnvestments.
2. Provide a subheading for each account and list thereunder the information called for
Temporary Cash lnvestments, also may be grouped by classes.
subject to current repayment in Account 1 45 and 'l 46. With respect to each advance, show whether the advance is a note or open account.
Line
No.
'Description of lnvestment
(a)(b)
Book Cost at Beginning of Year
(lf book cost is difierent from
cost to respondent, give cost to
respondent in a footnote and
explain difierence)
(c)
Purchases or
Additions
During the Year
(d)
1 lnvesUnenl in Spokane Energy ( 1 23000)500,000
2 lnvestment in Avista Capital ll (123010)11,547,000
3 Other lnvestment - WZN Loans Sandpoint (1 24350)61,177
4 Other lnvestrnent - Coli Cash Value (124600)14,677,303
5 Other lnvestment - Coli Bonowings ('124610)( 14,677,303)
b Other Investment - WZN Loans Oregon (1 24680)44.732
7 Other lnvestnent - WNP3 Exchange Power (1 24900)79,626,000
8 Other lnvestment - AMT WNP3 Exchange (124930)( 63,292,854)
9 Temp Cash lnvestmenb (136000)251,390
10
11
12
13
14
15
'16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO. 2 (12-95)Page 222
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn Orisinal(2) l-lA Resubmission
uale oI Kepon(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
lnvestments (Account 123, 124, and 1 36) (continued)
3. Designate with an asterisk in column (b) any securities, notes or accounts that were pledged, and in a footnote state he name of pledges and purpose of he pledge.
4. lf Commission approval was required for any advance made or security acquired, designate such fact in a footnote and cite Commission, date of authoriza$on, and case or docket
number.
5. Report in column (h) interest and dividend revenues from investmenb including such revenues from securities disposed of during the year,
6. ln column (i) report for each investment disposed of during tre year the gain or loss represented by the difierence between cost of the investment (or the other amount at which
carried in the books of account if ditferent from cost) and the selling price thereof, not including any dividend or interest adiustment includible in mlumn (h).
Line
No.
Sales or Other
Dispositions
During Year
(e)
Principal Amount or
No. of Shares at
End ofYear
(0
Book Cost at End of Year
(lf book cost is different from cosl
to respondent, give cost lo
respondent in a footnole and
explain difference)
(s)
Revenues for
Year
(h)
Gain or Loss from
lnvestrnent
Disposed of
(D
I 500,000
2 11,547,000
3 61,177
4 ( 1,s17,835)1 6,1 95,1 38
5 1,517,835 ( 16,19s,138)
o 8,386 36,346
7 79,626,000
8 2,450,031 ( 65,742,885)
9 251,390
'10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO. 2 (12-96)Page 223
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Orisinat(2) [-lA Resubmission
Date of Report(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 2913/Q[
lnvestments in Subsidiary Companies (Account 123.1)
1. Report below investments in Account 123.1, lnvestrnenh in Subsidiary Companies.
2. Provide a subheading for each company and list thereunder the information called for below. Sub{otal by company and give a total in columns (e), (0, (g) and (h).
(a) lnvestment in Securities-Lisl and describe each security owned. For bonds give also principal amount, date of issue, maturity, and interest rate.
to each advance show whether the advance is a note or open account. List each note giving date of issuance, maturity date, and specifying whether note is a renewal.
3. Reportseparatelytheequityinundistributedsubsidiaryeamingssinceacquisition. Thetotalincolumn(e)shouldequallheamountenteredforAccount4lS.l.
Line
No.
Description of lnvestment
(a)
Date
Acquired
(b)
Date of
Maturity
(c)
Amount of
lnvestment at
Beginning of Year
(d)
1 Avista Capital - Common Stock 01t01t1997 216,728,833
2 Avista Capital - Equity in Eamings ( 102,654,241\
3 OCI lnvestment in Subs 167,261
4 Avista Capital - Other Changes in Net lnvestrnent 4,472,570
5
6
7
8
9
'10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
3'l
32
33
34
35
Jb
37
38
10
40 TOTAL Cost ofAccount 123.1 $TOTAL 118,714,423
FERC FORM NO.2 (12-96)Page 224
Name ol Hespondent
Avista Corporation
This Reoort ls:(1) []nn originat(2) [-lA Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 2013/Q4
lnvestments in Subsidiary Companies (Account't23.1) (continued)
4. Designateinafootnote,anysecurities,notes,oraccountsthatwerepledged,andstatethenameofpledgeeandpurposeofthepledge.
docket number,
6. Report in column (f) interest and dividend revenues from investments, including such revenues from securities disposed of during the year.
7. ln mlumn (h) report for each invesfient disposed of during the year, the gain or loss represented by the diference between cost of the investment (or lhe other amount at which
canied in the books of account if different from cost), and he selling price hereof, nol including interest adjustrnents includible in mlumn (f).
8. Report on Line 40, mlumn (a) frre total cost of Account 123.1.
Line
No.
Equity in Subsidiary
Eamings for Year
(e)
Revenues for Year
(0
Amount of lnvestment
at End of Year
(s)
Gain or Loss from
lnvestrnent
Disposed of
(h)
1 10,503,285 206,225,548
2 4,593,239 ( 98,061,002)
3 1 ,753,1 16 ( 1,585,85s)
4 ( 1,180,843)5,653,413
5
7
n
I
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
to
27
28
29
30
31
32
33
34
35
Jb
37
38
?o
40 4,593,239 11,075,558 112,232,104
FERC FORM NO. 2 (12-96)Page 225
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn orisinat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
0/.|11t2014
YeailHenoo or Hepon
End of 2013/Q4
Prepayments (Acct 165), Extraordinary Property Losses (Acct 182.1), Unrecovered Plant and Regulatory Study Costs (Acct182.2l
PREPAYMENTS (ACCOUNT 1 65)
1. Report below the particulars (details) on each prepayment.
Line
No.
Nature of Payment
(a)
Balance at End
ofYear
(in dollars)
Ibl
Prepaid lnsurance 2,878,499
2 Prepaid Rents 10,740
3 PreDaid Taxes
4 Prepaid lnterest
5 Miscellaneous Preoavments 5,048,811
o TOTAL 7,938,050
FERC FORM NO. 2 (12-96)230a
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn originat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Repor
End of p!!/Q[
Other Regulatory Assets Account't82.1 r)
1 . Report below the details called for concerning other regulatory assets which are created through the ratemaking actions of regulatory agencies (and not includable
in other accounts).
2, For regulatory assets being amortized, show period of amortization in column (a).
3. Minor items (5% of the Balance at End of Year for Accounl 182.3 or amounls less than $250,000, whichever is less) may be grouped by classes.
4, Report separately any "Defened Regulatory Commission Expenses' that are also reported on pages 350-351, Regulatory Commission Expenses,
5. Provide in a footnote, for each line item, the regulatory citation where authorization for the regulatory asset has been granted (e,9. Commission Order, state
commission order, court decision).
Line
No.
Description and Purpose of
Other Regulatory Assets
(a)
Balance at
Beginning
Cunent
Quarterffear
(b)
Debits
(c)
Written off During
0uarterlYear
Account
Charged
(d)
Written off
During Period
Amount Recovered
(e)
Written off
During Period
Amount Deemed
Unrecoverable
(0
Balance at End ol
Cunent
Ouarter/Year
(s)
1 Post Ret Liab 306,407.66r )_29 149,423,37i 156,984,29(
2 FAS 109 Utility Plant 65,464,60i 283 2,579,60(62,885,00r
3 Lancaster Generation 3,966,66 107 1,360,00(2,606,66;
4 FAS 109 DSIT Non Plant 1,664,76t 283 407,17i,r,257,59,
5 FAS 1 09 DFIT State Tax cr 7,464,1&283 4.282.111 3,182,06r
o FAS 109 WMP3 4,916,33 t07 737,481 4,178,851
7 Roseburg/Medford 265,01 8.721 r07 273,74(
I Spokane River Relicense 622,36:107 78,73(543,62(
I Spokane River PM&E 575,88(i57 73,31i 502,57,
10 -ake CDA Fund 9,437,59r 107 2't1,06t 9,226,53
11 -ake CDA IPA Fund 2,000,00r 2,000,00{
12 Spokane Rivr TDG ldaho 468,89:468,89:
13 )ecoupilings Surcharge 7,32,24'7,56{
14 -ake CDA Def Cosb 1,310,14 1.310.141
't5 3PA Residential Exchanoe 540,80r 564,99',1,105,80:
't6 INC Transmission 483,26r 407 252,637 230.63:
l7 )EF CS2 & Colstrip 6,312,39i 407 499,344 5,813,051
18 -idar O&M reg Def 587,251 407 519,893 67.36r
19 leardan Wind Generation 852,641 8s2,64:,
20 D Wind Gen AFUDC 369,371 {07 1 38,515 230,8s{
21 ilartsilla Unib 751,81 407 337,788 414,021
22 \ITM ST 35.081.52t 244 24,252,110 10.829,41t
23 IITM LT 25,217,69',244 1,960,'132 23,257,561
24 :AS 143 Asset Retire Obliigation 2.398.84r 230 288.613 2,110,23:,
25 IDA Lake Settlement AN 37,627,201 407 2,226,94t 35,400,26'
26 IDA Lake Settlement WA 1.2M,271 107 152,11€1,052,1 5'
27 fforkers Comp 2,278,671 208,25:2,486,931
28 lS2 Lev Ret 909,49{t07 500,50(408.99!
29 )CA Del 8,209,41 t57 3,144,171 s,06s,23r
30 Spokane RiverTDG 871,1&871,184
31 lnterest Rate Swap 36,525,8s(36,525,85(
32 DSM Assel 2,578,59{9,576,20 2,578,59!9,576,20,
33 Swaps on FMBS 40,697,80{40,697,80(
34 Mis Reg Assel 129,70r 129,70i
35
36
37
38
39
t0 Total 559,831,1!s8J26,2s!236,975,n1 381,58,t,931
FERC FORM NO. 2/3Q (REV 12-07)Page 232
Name oI Responoent
Avista Corporation
This Reoort ls:(1) []en orisinat(2\ l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t1112014
Year/Period of Repor
End of 2013/Q4
Miscellaneous Deferred Debits (Account 186)
1. Report below the details called for concerning miscellaneous deferred debits.
2. For any defened debit being amortized, show period of amortization in column (a),
3. Minor items (less than $250,000) may be grouped by classes,
Line
No.
Description of Miscellaneous
Defened Debits
(a)
Balance at
Beginning
of Year
(b)
Debits
(c)
Credib
Account
Charged
(d)
Credits
Amounl
(e)
Balance at
End of Year
(0
1
2 Colstrip Common Fac 1,1 10,99!406 1,110,999
3 Regulatory Asset-Mt Lease Pymt 1,352,56a 540 360,684 991,881
4 Regulatory Asset-Mt Lease Pymt 2,706,48C 540 676,63i 2,029,848
5 Colstrip Common Fac.2,355,642 2,355,642
b Prepaid Airplane Lease LT 318,85!931 147,16t 171,693
7 Misc DD- Airplane Lease 102,737 VAR 21,14f 81,591
I Plant Alloc of Clearing Jrl 3,584,49€VAR 520,161 3,064,335
I Misc Error Suspense ( 336,980,370,615 VAR 33,63s
10 Renewable Energy-Cert Fees '1M,844 557 49,594 1 1 5,250
11 Nez Perce Settlement 160,74!557 5,212 1 55,537
12 Long Term Note Rec Acct 5,41!143 5,41!
't3 Reg Asset lD-Lake CDA 240,05t 506 30,97t 209,081
14 lD Panhandle Forest Use Permit 181,017 181,017
15 Credit Union Labor & Exp 35,01C 3,785 VAR 38,795
16 Outdoor Lghtng Greenbelt Pathwy 98,227 98,227
17 Horizon Wind lnterco 61,84a 557 61,844
18 KF Water Rights Supply 76S 3"t0 76!
'19 ldaho Clk Fork Relic 186,gsc 186,95C
20 Misc Work Orders <$50,000 126,205 20,886 VAR 147,095
21 Subsidiary Billings 178,266 21,621 557 199,887
22 "Null" Projects directly to 186 1 5,1 97 VAR 13,844 1,353
23 Regulatory Assets Consv 1,660,7'13 5'1,895 VAR 1,712,608
24 Noxon 230 KV Sub permits 107,860 107,860
25 Optional Wind Power ( 186,231 10,936 909 (175,295)
26 Gas Telemetry equip 59,051 59,051
27 Misc deffered debits/Res Acct 1,577 ,531 676,085 901,446
28
29
30
31
32
33
34
35
36
37
38
39 Miscellaneous Work in Progress
r0 Total 1 5,701,369 646,64!3,035,726 13,312,292
FERC FORM NO.2 (12-s6)Page 233
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
tnrs Kepon ts: I uale oT Kepon(1) [An Original | (Mo' Da' Yr)
(2) nA Resubmission | 0411112014
Year/Period of Report
End of 2013/Q4
Accumulated Deferred lncome Taxes (Account 190)
1 . Report the information called for below conceming the respondents accounting for defened income taxes.
2. At Other (Specifo), include defenals relating to other income and deductions.
3. Provide in a fooinote a summary of the type and amount of defened income taxes reported in the beginningof-year and end-of-year balances for defened income
taxes that the respondent estimates could be included in the development ofjurisdictional recourse rates,
Line
No.
Account Subdivisions
(a)
Balance at
Beginning
of Year
(b)
Changes During
Year
Amounts Debited
to Account 410.1
(c)
Changes During
Year
Amounts Credited
to Account 411.'l
(d)
2 Electric 6,261,068 1,077,788
3 Gas 2j61,932 1,170,072
4 Other (Define) (footnote details)140,002,469 75,938,'r87
5 Total (Total of lines 2 thru 4)t48,425,469 78,1 86,047
b Other (Specify) (footnote details)
7 TOTAL Account 190 (Total of lines 5 thru 6)148,42s,469 78,186,047
9 Federal lncome Tax 148,425,469
10 State lncome Tax
11 Local lncome Tax
FERC FORM NO. 2 (REV 12-07)Page 234
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn original(2) l-lA Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
YearPenoo oI Kepon
End of 2013/Q4
Accumulated Deferred lncome Taxes (Account 190) (continued)
Line
No.
Changes During
Year
Amounb Debited
to Account 41 0.2
(e)
Changes During
Year
Amounts Credited
to Account 4'l 1.2
(0
Adjustments
Debits
Account No,
(q)
Adjustments
Debits
Amount
(h)
Adjustments
Credits
Account No.
(i)
Adjustments
Credih
Amount
fi)
Balance at
End of Year
(k)
2 5,183,280
3 991,860
4 64,064,282
5 70,239,422
6
70,239,422
I '148,425,469
10
11
FERC FORM NO.2 (REV 12-071 Page 235
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn originat(2) [-lA Resubmission
Date(Mo,of Report
Da, Yr)
04t11t2014
YeailPenoo o, Kepon
End of 2013/Q!
Capital Stock (Accounts 20'l and 204)
prefened stock.
2. Entdes in column (b) should represent the number of shares authorized by the articles of incorporation as amended to end of year.
3. Give details conceming shares of any class and series of stock authorized to be issued by a regulatory commission which have not yet been issued.
Line
No.
Class and Series of Stock and
Name of Stock Exchange
(a)
Number of Shares
Authorized by Charter
(b)
Par or Stated Value
per Share
(c)
Call Price at
End of Year
(d)
1 Acct. 201 - Common Stock lssued:
2 No Par Value 200,000,000
3 Restriced shares
4 TOTAL Common 200,000,000
5
6
7 Account 204 - Prefened Stock lssued 10,000,000
8
9 Total Prefened 10,000,000
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
Jb
37
38
39
40
FERC FORM NO.2 (12-s6)Page 250
Name of Respondent
Avista Corporation
This Report ls:(1) [Rn Originat(2\ [-lA Resubmission
uale oI Kepon(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of 4&[
Capital Stock (Accounts 201 and 204)
4. The identification of each class of prefened stock should show the dividend rate and whether the dividends are cumulative or noncumulative.
5. State in a footnote if any capital stock thal has been nominally issued is nominally outstanding at end of year.
purpose of pledge.
Line
No.
Outstanding per Bal. Sheel
(total amt outstanding
without reduction for amts
held by respondent)
Shares
(e)
Outstanding per Bal.
Sheet
Amount
0
Held by
Respondent
As Reacquired
Stock (Acct 217)
Shares
(s)
Held by
Respondent
As Reaquired
Stock (Accl 2'17)
Cost
(h)
Held by
Respondent
ln Sinking and
Other Funds
Shares
(D
Held by
Respondent
ln Sinking and
Other Funds
Amount
0)
1
2 60,076,752 869,342,827 104,416.00 2,718,992.00
?
4 60,076,752 869,342,827 '104,416.00 2,718,992.00
5
6
7
8
I
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013lQ4
FOOTNOTE DATA
--l
See NOTE 17. STOCK COMPENSATION PLANS - Restricted Shares
FERC FORM NO. 2 (1 P 552.1
Name oI Kespondent
Avista Corporation
This Reoort ls:(1) fiRn original(2) [lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Reporl
End of 2013/Q4
Other Paidln Capital (Accounts 208-2111
1. Report below the balance at the end of the year and the information specified below for the respective other paid-in capital
accounts. Provide a subheading for each account and show a total for the account, as well as a total of all accounts for reconciliation
with the balance sheet, page 1 12. Explain changes made in any account during the year and give the accounting entries effecting
such change.
(a) Donations Received from Stockholders (Account 208) - State amount and briefly explain the origin and purpose of each donation.
(b) Reduction in Par or Stated Value of Capital Stock (Account 209) - State amount and briefly explain the capital changes that gave
rise to amounts reported under this caption including identification with the class and series of stock to which related.
(c) Gain or Resale or Cancellation of Reacquired Capital Stock (Account 210) - Report balance at beginning of year, credits, debits,
and balance at end of year with a designation of the nature of each credit and debit identified by the class and series of stock to which
related.
(d) Miscellaneous Paid-ln Capital (Account 21 1) - Classify amounts included in this account according to captions that, together with
brief explanations, disclose the general nature of the transactions that gave rise to the reported amounts.
Line
No.
Item
(a)
Amount
(b)
1 Equity transactions of subsidiaries 8,089,025
2
3
4
5
b
7
8
I
10
11
12
13
14
15
16
17
'1 8
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
{0 Total 8,089,025
FERC FORM NO.2 (12-96)
Name ol Kespondent
Avista Corporation
This Reoort ls:(1) fian Originat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
YearF,enoo oI Kepon
End of 2@[
DrscouNT oN CAPTTAL STOCK (ACCOUNT 213)
1 , Reporl the balance at end of year of discount on capital stock for eacir class and series of capital stock. Use as many rows as necessary to report all data.
during the year and specifi the account charged.
Line
No.
Class and Series of Stock
(a)
Balance at
End of Year
(b)
1
2
3
4
5
b
7
I
I
10
11
12
13
14
TOTAL
CAPITAL STOCK EXPENSE (ACCOUNT 214)
1 . Report the balance al end of year of capital stock expenses for each class and series of capital slock. Use as many rows as necessary to report all data. Number he ows in
sequence starling from the last row number used for Discount on Capital Stock above.
of capital stock expense and specify the account charged.
Line
No.
Class and Series of Stock
(a)
Balance at
End of Year
(b)
'16 Common Stock - No Par r: i:i!r1 :. 1,.1::t 1 9r5!1;52i
17
18
19
20
21
22
23
24
25
26
27
28
TOTAL 19,56't,527
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original2\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
FOOTNOTE DATA
Beginning Balance
lssuance of common stock
TAX BENEFIT. OPTIONS EXERCISED
Excess Tax Benefits on stock compensation
Stock compensation accrual
Ending Balance
$ (14,977,565)
14,798
1,867,478
(464,677)
(6,001,560)
$ (19,561,527)
FERC FORM NO.2 552.1
This Page fntentionaily Left Blank
Name of Respondent
Avista Corporation
This Report is:
(1) X An Original(2\ A Resubmission
Date of Report
(Mo, Da, Yr)
o4t11t2014
Year/Period of Repoft
2013/Q4
Securities lssued or Assumed and Securities Refunded or Retired Durinq the Year
1. Furnish a supplemental statement briefly describing security financing and refinancing transactions during the year and the accounting for
the securities, discounts, premiums, expenses, and related gains or losses. ldentify as to Commission authorization numbers and dates.2. Provide details showing the full accounting for the total principal amount, par value, or stated value of each class and series of security
issued, assumed, retired, or refunded and the accounting for premiums, discounts, expenses, and gains or losses relating to the securities. Set
forth the facts of the accounting clearly with regard to redemption premiums, unamortized discounts, expenses, and gain or losses relating to
securities retired or refunded, including the accounting for such amounts carried in the respondent's accounts at the date of the refunding or
refinancing transactions with respect to securities previously refunded or retired.
3. lnclude in the identification of each class and series of security, as appropriate, the interest or dividend rate, nominal date of issuance,
maturity date, aggregate principal amount, par value or stated value, and number of shares. Give also the issuance of redemption price and
name of the principal underwriting firm through which the security transactions were consummated.4. Where the accounting for amounts relating to securities refunded or retired is other than that specified in General lnstruction 17 of the
Uniform System of Accounts, cite the Commission authorization for the different accounting and state the accounting method.
5. For securities assumed, give the name of the company for which the liability on the securities was assumed as well as details of the
transactions whereby the respondent undertook to pay obligations of another company. lf any unamortized discount, premiums, expenses, and
gains or losses were taken over onto the respondent's books, furnish details of these amounts with amounts relating to refunded securities
clearly earmarked.
ln August 2013, we entered into a $90.0 million term loan agreement with an institutional investor bearing an annual
interest rate of 0.84 percent and maturing in 2016. The net proceeds from the term loan agreement were used to repay a
portion of corporate indebtedness in anticipation of the maturity of $50.0 million in First Mortgage Bonds which occurred in
December 2013.
ln 2013, we issued $4.6 million (net of issuance costs) of common stock under the dividend reinvestment and direct stock
purchase plan, and employee plans. The new issuance is based on the following state commission orders:
1. Orderof the Washington Utilities and Transportation Commission entered July 13,2011, as amended on August24,
2011 in Docket No. U-1 11176;
Order of the ldaho Public Utilities Commission, Order No. 32338, entered August 25,2011;
Order of the Public Utility Commission of Oregon, Order No. 1 1334, entered August 26,2a11;
Order of the Public Service Commission of the State of Montana, Default Order No. 4535
2.
3.
4.
FERC FORM NO.2 (12-96 255.1
Name of Respondent
Avista Corporation
lnrs
(1)
(2)
leport ls: I Date of Report
ffiAn originat | (Mo, Da' Yr)
llA Resubmission | 0411112014
Year/Period of Report
End of 2013/Q4
Long-Term Debt (Accounts 22 222,223, and 2241
224, Other Long-Term Debt.
2. For bonds assumed by the respondent, include in column (a) the name of the issuing company as well as a description of the bonds.
3. For Advances from Associated Companies, report separately advances on notes and advances on open accounts, Designate demand notes as such. lnclude in column (a) names
of associated companies from which advances were received.
4, For receivers' certificates, show in c,olumn (a) the name of the court and date of court order under which such certiflcates were issued.
Line
No.
Class and Series olObligation and
Name of Stock Exchange
(a)
Nominal Date
of lssue
(b)
Date of
Maturity
(c)
Oubtanding
(Total amount
oubtanding without
reduction for amts
held by respondent)
(d)
1 FMBS. SERIES A - 7.53% DUE O5IO5I2O23 05/06/'t 993 05t05t2023 5,500,000
2 FMBS . SERIES A - 7.54% DUE 5IO5I2O23 05i07/1 993 05t0512023 1,000,000
3 FMBS. SERIES A - 7.39% DUE 511112018 05/1"t/1993 05t11t2018 7,000,000
4 FMBS. SERIES A .7,45%OUE611112018 06/09/1 993 06t11t2018 1 5,500,000
5 FMBS - SERIES A.7.,I8% DUE 811112023 08t1211993 08t1'U2023 7,000,000
b ADVANCE ASSQCIATED-AVISTA CAPITAL ll OoPRS),06/03/1 997 06t01t2037 51,547,000
7 FMBS.6.37% SERIES C 06/1 9/ l 998 o6t19t2028 25,000,000
8 FMBS - 5.45% SERIES 11118t2004 12t01t2019 90,000,000
J FMBS - 6.250lo SERIES 11t17t2005 12t01t2035 150,000,000
10 FMBS.5,7O% SERIES 12t1512006 07t01t2037 150,000,000
tl FMBS - 5,95% SERIES 04t02t2008 06t01t2018 250,000,000
12 FMBS - 5.125% SERIES o9t2212009 04t01t2022 250,000,000
13 COLSTRIP 2010A PCRBs DUE 2032 2t15t2010 10t01t2032 66,700,000
14 COLSTRIP 2010B.PCRBs DUE 2034 ,:,:::2t15t2010 o3t01t2034 17,000,000
15 FMBS - 3.89% SERIES 2t20t20'to 12t20t2020 52,000,000
16 FMBS - 5,55% SERIES 2t20t2010 12120t2040 35,000,000
17 FMBS.4,45% SERIES 2t14t2011 12114t2041 85,000,000
18 Reacquired Bonds - COLSTRIP 2010A PCRBs DUE 2032 2t15t2010 10t01t2032 ( 66,700,000)
19 Reaquired Bonds - COLSTRIP 20108 PCRBs DUE 2034 2t15t2010 03t01t2034 ( 17,000,000)
20 FMBS.4.23% SERIES 1t30t2012 11t29t2047 80,000,000
21 08t1412013 ogt14t2016 90,000,000
22
23
24
25
to
27
28
29
30
3'r
32
33
34
35
Jb
37
38
20
40 TOTAL "t,344,547,000
FERC FORM NO.2 (12-96)Page 256
Name of Respondent
Avista Corporation
This Reoort ls:(1) ffiRn originat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
YeailP'enoo oI Kepon
End of 4j3lQl
Long-Term Debt (Accounts 221, 222, 223, and 2241
5. ln a supplemental statement, give explanatory details for Accounts 223 and 224 of net changes during the year. With respect to long-term advances, show for each company: (a)
principal advanced during year (b) interest added to principal amount, and (c) principal repaid during year. Give Commission authorization numbers and dates.
6. lf the respondent has pledged any of its long-term debt securities, give particulars (details) in a footnote, including name
of the pledgee and purpose of the pledge.
7. lf the respondent has any long-term securities ttrat have been nominally issued and are nominally oubtanding at end of year, describe such securities in a footnote.
difference between the total of column (f) and the total Account 427, lnterest on Long-Term Debt and Account 430, lnterest on Debt to Associated Companies.
9. Give details concerning any long{erm debt authorized by a regulatory commission but not yet issued.
Line
No.
lnterest for
Year
Rate
(in %)
(e)
lnterest for
Year
Amount
0
Held by
Respondent
Reacquired Bonds
(Acd222l
(s)
Held by
Respondent
Sinking and
Other Funds
(h)
Redemption Price
per $100 at
End ofYear
(i)
1 7.530 414,150
2 7.540 75,400
3 7.390 5 17,300
4 7.450 't,154,750
5 7.1 80 502,600
6 1.170 467,1 13
7 6.370 1,592,500
I 5.450 4,905,000
9 6.250 9,375,000
10 5.700 8,550,000
11 5,950 14,875,000
12 5.125 12,812,500
13 0.281 187,436 66,700,00c
14 0.281 47,772 17,000,000
15 3.890 2,022,800
16 5.5s0 1,942,500
17 4.450 3,782,500
18 0.281 ( 187,436)
19 0.28'l ( 47,772)
20 4.230 3,384,000
21 0.840 289,800
22
23
24
25
26
27
28
29
30
31
32
33
34
35
?A
37
38
39
40 66,662,913 83,700,000
FERC FORM NO.2 (12-95)Page 257
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11120't4
Year/Period of Report
20131o'4
FOOTNOTE DATA
'$chedule Page: 256 Line No.:6 Column: a
Upon issuance Avista Capital II issued $1.5 million of Common Trust Securities to the Company. In December
2000, the Company purchased $10.0 million of these Preferred Trust Securities. The interest for the year
256 Line No.:13 Column: a
The Company reacquired this debt in 2010. These bonds have not been retired or canceled; the Company plans, based on
disclosed in column (i)reflects the net amount of interest owed to third parties.
needs and market to remarket these bonds at a future date.
The Company reacquired this debt in 2010. These bonds have not been retired or canceled; the Company plans, based on
liquidity needs and market conditions, to remarket these bonds at a future date.
ScneAute page:256 Line -----------1
The new issuance is based on the following state commission orders:1. Order of the Washington Utilities and Transportation Commission entered July 13, 201 1, as amended on August 24,
2011 in Docket No. U-1 11176;2. Order of the ldaho Public Utilities Commission, Order No. 32338, entered August 25,2011;3. Order of the Public Utility Commission of Oregon, Order No. 11334, entered August 26,2011;
Order of the Public Service Commission of the State of Montana, Default Order No. 4535
FERC FORM NO.2 (12-96 552.1
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
tnrs Reoon ts:(1) fiRn originat(2) nA Resubmission
Date of Report
(Mo, Da, Yr)
0411112014
Year/Period of Report
End of 2013lQ4
Unamortized Debt Expense, Premium and Discount on Long-Term Debt (Accounts 1 ,225,2261
''l . Report under separate subheadings for Unamortized Debt Expense, Unamortized Premium on Long-Term Debt and Unamortized Discount on Long-Term Debt, details of expense,
premium or discount applicable to each class and series of long-term debt.
2, Show premium amounts by enclosing the figures in parentheses.
3. In column (b) show the principal amount of bonds or other long-term debt originally issued.
4. ln mlumn (c) show the expense, premium or discount with respect to the amount of bonds or other long{erm debt originally issued.
Ltne
No.
Designation of
Long-Term Debt
(a)
Principal Amount
of Debt lssued
(b)
Total Expense
Premium or
Discount
(c)
Amortization
Period
Date From
(d)
Amortization
Period
Date To
(e)
1 FMBS - SERIES A - 7,530/o DUE 0510512023 5,500,00(42,712 05/06/199:05t05t2023
2 FMBS - SERIES A.7.54% DUE 5IO5I2O23 1,000,00(7,76t 0s/07/199:05105t2023
3 FMBS. SERIES A .7,39% DUE 511112018 7,000,00(54,364 05/1 1/'199:05111t2018
4 FMBS . SERIES A -7 .45O/, DUE 611112018 1 5,500,00(170,597 06/09/1993 06t11t2018
5 FMBS - SERTES A - 7.18% DUE 8t11t2023 7,000,00(54,364 08/12/199:08111t2023
b ADVANCE ASSOCIATED-AVISTA CAPITAL ll (ToPRS)51,547,00(1,296,08t 06/03/1 1 97 06t0112037
7 SERIES C SET UP COST 666,16!06/1 s/1 998 06/1 5/201 3
8 FMBS - 6.3770 SERIES C 2s,000,00(158,304 06/19/1998 06t19t2028
9 FMBS.5.45% SERIES 90,000,00(1,432,081 1111812004 12101t2019
'10 FMBS - 6.25% SERIES 150,000,00(2,'180,43a 11t171200t 14Ut2035
11 FMBS - 5.70% SERIES 1 50,000,00(4,924,304 1211st200(07t01D037
12 FMBS - 5.95% SERIES 250,000,00(3,08'1,41!04t0212008 06/0'l/20'18
t1 FMBS.5.12570 SERIES 250,000,00(2,859,78[09t22t2009 041un022
14 FMBS . 1.68% SERIES 50,000,00(305,79(1430t2010 1U0nu3
15 FMBS - 3,89% SERIES 52,000,00(383,33t 12t20t2010 12t20n020
't6 FMBS.5.55% SERIES 35,000,00(258,834 12120t201C 12120n040
17 Short-Term Credit Facility 2,871,251 12t14t2011 02t10t2017
't8 4.45% SERTES DUE 12-14-2041 85,000,00(692,72i 12114t2011 12t14t2041
19 4.230lo SERIES DUE 11-29-2047 80,000,00(730,83:'t1t30t2012 11t29t2047
20 0.84% Series Due 08-14-2016 90,000,00(5'12,13€08t14t2013 08n4nu6
21 Rathrum 2005 n,64e 09/30/2005 12!Un$5
22 Debt Strategies 56,76C 08/01/2035 08/01/2005
23 WKSI 16,064 03/01/201 3 03/01/201 I
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO. 2 (12-96)Page 258
Name of Respondent
Avista Corporation
This Reoort ls:(1) ffinn originat(2) l_lA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
End of @[
Unamortized Debt Expense, Premium and Discount on Long-Term Debt (Aceounts 18'1,225,2261
the date of the Commission's authorization of trealment other than as specilled by the Uniform System of Accounb.
6. ldentify separately undisposed amounts applicable to issues which were redeemed in prior years.
Debt-Credit,
Line
No.
Balance at
Beginning
of Year
(f)
Debib During
Year
(s)
Credits During
Year
(h)
Balance at
End of Year
0
1 14,831 1,424 13,407
2 2,697 259 2,438
3 11,779 2,175 9,604
4 37,531 6,824 30,707
5 19,329 1,812 17,517
b 343,363 14,015 329,348
7 23,591 23,591
I 81,790 5,277 76,513
o 635,271 98,947 536,324
10 1,669,08s 72,569 1,596,516
11 3,958,694 161,032 3,797,662
12 1,641,740 303,090 1,338,650
13 2,1 23,899 227,561 1,896,338
14 101,977 101,977
't5 306,692 38,337 268,3s5
16 241,586 8,628 232,958
17 2,315,544 556,129 't ,759,41s
18 670,0'14 23,104 646,910
19 724,054 5,198 20,864 708,388
20 51s,029 50,521 464,508
21 54,475 2,368 52,107
22 7,315 6,183 1,132
23 16,064 2.517 13,547
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO. 2 (12-95)Page
Name of Respondent
Avista Corporation
lnrs KeDon ls:(1) fiRn originat(2) nA Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Repor
End of 2013/Q4
Unamortized Loss and Gain on Reacquired Debt (Accounts 189, 257)
1. Report under separate subheadings for Unamortized Loss and Unamortized Gain on Reacquired Debt, details of gain and loss,
including maturity date, on reacquisition applicable to each class and series of long-term debt. lf gain or loss resulted from a refunding
transaction, include also the maturity date of the new issue.
2. ln column (c) show the principal amount of bonds or other long-term debt reacquired.
3. ln column (d) show the net gain or net loss realized on each debt reacquisition as computed in accordance with General lnstruction
17 of the Uniform Systems of Accounts.
4. Show loss amounts by enclosing the figures in parentheses.
5. Explain in a footnote any debits and credits other than amortization debited to Account 428.1, Amortization of Loss on Reacquired
Debt, or credited to Account 429.'t, Amortization of Gain on Reacquired Debt-Credit.
Line
No.
Designation of
Long-Term Debt
(a)
Date
Reacquired
(b)
Principal
of Debt
Reacquired
(c)
Net Gain or
Loss
(d)
Balance at
Beginning
of Year
(e)
Balance at
End of Year
(f)
1 Misc Debt Repurchases I 05/1 0/1 993 ( 4,695,3e5 ( 1,229,6921 ( 1,050,724)
2 ADVANCE ASSOCIATED-AVISTA CAPITAL II
(ToPRS)12t18t2000 10,000,00c 1,769,121 1,19'1,618 1,142,814
3 Misc 2002 Repurchase 12t31t2002 10,000,00(1,376,08{777,035 724,943
4 Misc 2003 Repurchase 12t31t2003 25,330,00t 1,368,61 28,175 79,713
5 Misc 2004 Repurchase 12t3112004 36,590,00t | 7,244,895 ( 2,098,009)( 1,524,021"
6 Misc 2005 Repurchase 12t31t2005 26,000,00(( 't,700,371 ( 885,227)( 786,586)
7 Misc 2006 Repurchase 12t31t2006 6,875,00(483,s82 ( 80,627)( 64,663)
I Misc 2008 Repurchase Costs 12t31t2008 86,26r 29,792 27,096
9 AVA CapitalTrust lll 04t01t2009 60,000,00(2,904,144 ( 2,139,896)1,910,621)
'10 COLSTRIP 2010A PCRBs DUE2032 12t',t4t2010 66,700,00(3]09,174 ( 3,087,411)2,931,743],
11 COLSTRIP 20'10B PCRBs DUE 2034 12t14t2010 1 7,000,00(1,923,850 ( 1,749,4s0)1,666,957)
12 FMBS .7.25% SERIES 12t20t2010 30,000,00(6,273,664 ( s,018,931)4,391,565
13 FMBS .6.125% SERIES 12t20t2010 45,000,00(5,263,822 ( 4,912,900)4,737,439'
14 KETTLE FALLS P C REV BONDS DUE 14 06128t2012 4,100,00(( 105,020 ( 104,770)( 101,7701
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
FERC FORM NO. 2 (12-95)Page 260
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn orisinal(2) l-lA Resubmission
uate ot Kepon(Mo, Da, Yr)
041'.t1t20't4
Year/Period of Repon
End of 2013/Q4
Reconciliation of Reported Net lncome with Taxable lncome for Feder lncome Taxes
1. Report the reconciliation of reported net income for the year with taxable income used in computing Federal lncome Tax accruals
and show computation of such tax accruals. lnclude in the reconciliation, as far as practicable, the same detail as furnished on
Schedule M-1 of the tax return for the year. Submit a reconciliation even though there is no taxable income for the year. lndicate
clearly the nature of each reconciling amount.
2. lf the utility is a member of a group that files consolidated Federal tax return, reconcile reported net income with taxable net income
as if a separate return were to be filed, indicating, however, intercompany amounts to be eliminated in such a consolidated return. State
names of group members, tax assigned to each group member, and basis of allocation, assignments, or sharing of the consolidated tax
among the group members.
Line
No.
Details
(a)
Amount
(b)
Net lncome for the Year (Page 116)111,076,833
2 Reconciling ltems for the Year
3
4 Taxable lncome Not Reported on Books
5 4,167,283
6
7
8 TOTAL 4,167,283
9 Deductions Recorded on Books Not Deducted for Return
10 134,569,130
11
12
13 TOTAL 1 34,569,'t 30
14 lncome Recorded on Books Not lncluded in Return
15 8,543,211
16
17
18 TOTAL 8,543,211
19 Deductions on Return Not Charged Against Book lncome
20 ( 188,476,610)
21
22
23
24
25
26 TOTAL ( 1 88,476,610)
27 Federal Tax Net lncome 129,011,557
28 Show Computation of Tax:
29 State Tax 2,066,358
30 Federal Tax Net lncome less state tax 131 ,077,915
31
32 Federal Tax @ 35%45,877.270
33 Prior Year & Misc True Ups ( 6,225,476)
34 Cabinet Gorge Tax Credits ( 161,682)
35 Total Federal Expense 39,490,"112
FERC FORM NO. 2 (12-96)Page 261
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Originat(2\ l-lA Resubmission
Date of Report(Mo, Da, Yr)
0411'.U2014
Year/Period of Report
End of 291@1
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
1 . Give details of the combined prepaid and accrued tax accounts and show the total taxes charged to operations and other accounts during the year. Do not include gasoline and
other sales taxes which have been charged to the accounts to which the taxed material was charged. lf the actual or estimated amounts of such taxes are known, show the amounls in a
footnote and designate whether estimated or actual amounts.
2. lnclude on this page, taxes paid during the year and charged direcl to final accounts, (not charged to prepaid or accred taxes). Enter the amounb in boft columns (d) and (e). The
balancing of this
page is not affected by the inclusion of these taxes.
3. Include in mlumn (d) taxes charged during the year, taxes charged to operations and other accounts through (a) accruals credited to taxes accrued, (b) amounb crediled to the
portion of prepaid taxes charged to current year, and (c) taxes paid and charged direct to operations or accounts other than accrued and prepaid tax accounts.
4. List the aggregate of each kind of tax in such manner that the lotal tax for each State and subdivision can readily be ascertained.
Line
No.
Kind of Tax
(See lnstruction 5)
(a)
Balance at
Beg. of Year
Taxes Accrued
(b)
Balance at
Beg. of Year
Prepaid Taxes
(c)
1 FEDERAL:
2 lncome Tax 2010 868,0261
7.lncome Tax 201 I 4,'t38,388
4 lnmme Tax 2012 1,429,077
5 lcome Tax (Cunent)
6 Retained Eaminqs
7 Prior Retained Eamings (2010)( 1,392,676)
8 Prior Retained Earninqs (2011)2,070,474',
9 Prior Retained Eamings (2012)1,994,6241
10 Cunent Retained Eaminos
11 Total Federal 758,335)
12
13 STATE OF WASHINGTON
14 Property Tax (2012)10,622.012
15 Prooertv Tax (201 3)
16 Excise Tax (20'10)22.495',
17 Excise Tax (2012)2,327,224
18 Excise Tax (2013)
19 Natural Gas Use Tax 610
20 Municioal Occuoation Tax 2,542,334
21 Sales & Use Tax {2006)( 8,173)
22 Sales & Use Tax (201 1 )12
23 Sales & Use Tax (2012)54,903
24 Sales & Use Tax (2013)
25 Motor Vehicle Tax (2013)
26 Total Washinoton 15,516,427
27
28 STATE OF IDAHO:
29 lncome Tax (2010)4,6331
30 lncome Tax (201 1 )135,640
31 lncome Tax (201 2)22,9s8)
32 lnmme Tax (2013)
33 Prooertv Tax (2012)3,276,997
34 Property Tax (2013)
35 Motor Vehicle Tax (2013)
36 Sales & Use Tax (2005)436
37 Sales & Use Tax (201 2)2,169
38 Sales & Use Tax (2013)
20 lrrigation Credib (201 2)
FERC FORM NO. 2 (REV 12-071 Page 262a
Name of Respondent
Avista Corporation
This ReDort ls:(1) finn originat(2) J_lA Resubmission
Date of Reporl
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
5. lf any tax (exclude Federal and State income taxes) coven more lhan one year, show the required information separately for each tax year, identitying the year in mlumn (a).
6. Enter all adjustments of the accrued and prepaid tax accounts in column (f) and explain each adjustment in a footnote. Designate debit adjustrnents by parentheses.
authority.
number ol the appropriate balance sheet plant accounl or subactount.
9. For any tax apportioned to more than one utility department or account, state in a footnote the basis (necessity) of apportioning such tax.
10. ltems under $250,000 may be grouped,
1 1. Report in column (q) the applicable effective state inmme tax rate.
Line
No.
Taxes Charged
During Year
(d)
Taxes Paid
During Year
(e)
Adjustments
(0
Balance at
End of Year
Taxes Accrued
(Account 236)
(s)
Balance at
End ofYear
Prepaid Taxes
(lncluded in Accl 165)
(h)
1
2 253,1 1 8 1,283,663 162,519
3 ( 127,7441 1 ,313,384)2,697,260
4 4,182,4571 3,626,826)1,141,098 2,014,544
5 42,305,967 44,861,559 ( 1,1 11,375)3,666,967)
6
7 1)1,392,677\
a 2,070,474\
o ( 129,426\( 2,124,050\
10 ( 483,2s7],483,257]|
11 37,383,083 4 t,487,851 1 ( 4,863,102)
12
13
14 298,233 10,91 9,839 405
15 12,1 00.002 1.03s 12,098,968
16 22,4951
17 33,3s1)2,293,873
18 24,687,534 21,82s,161 2,862,373
19 4,983 4,668 8,1 82 9,'107
20 23,002,889 22,492,794 3,052,429
21 8,173
22 (12]l
23 50,415 1 5,149)( 10,661)
24 631,368 535,307 6,988 103,048
25 124,978 124,978
26 60,816.636 58,248,070 8,1 82 1 8,093,174
27
28
29 4,633
30 1'17,539 262,836 9,657
31 33,604 10,646
32 896,539 960,000 63,461)
33 23,4261 2,900,575 352,996
34 6,626,716 3,307,099 3,319,617
35 26.152 26,152
5b 436)
37 6,554 4,38s
38 1 03,1 70 94,742 ( 4,385)4,043
39
FERC FORM NO.2 (REV't2-071 Page 263a
Name of Respondent
Avista Corporation
This Reo(1) El(2\ n
ort ls:
An Original
A Resubmission
uale oI Kepon(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
1 . Give details of the combined prepaid and accrued tax accounts and show the total taxes charged to operations and other accounts during the year. Do not include gasoline and
other sales taxes which have been charged to the accounts to which the taxed material was charged. lf the actual or estimated amounb of such taxes are known, show the amounts in a
footnote and designate whether estimated or actual amounts.
2. lnclude on this page, taxes paid during the year and charged direct to final accounb, (not charged to prepaid or accrued taxes). Enter the amounb in both mlumns (d) and (e). The
balancing of this
page is nol affected by the inclusion of these taxes.
3. lnclude in column (d) taxes charged during the year, taxes charged to operations and otheraccounts through (a) accrals credited to taxes accrued, (b) amounts credited to the
portion of prepaid taxes charged to curent year, and (c) taxes paid and charged dkect to operations or accounts other than accrued and prepaid tax accounts.
4. List the aggregate of each kind of tax in such manner that the total tax for each State and subdivision can readily be ascertained.
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Eleclric
(Account 408.1,
40s.1 )
(i)
Gas
(Account 408.1,
409.1 )
0)
Other Utility Dept.
(Account 408.1,
409.1)
(k)
Other lnmme and
Deductions
(Account 408,2,
40e.2)
0
1
2
2 127,7441
4 ( 400,213)3,457,242\
5 34,682,140 9,27s,098 1,137,2781
6
7
I
I
10 483,257)
11 34,1 54,183 9,275,098 ( 5,077,777)
12
13
14 137,233 145,499 1 2,9s9
15 9,652,002 2,412,000 38,888
16
17 ( 49,363)( 1,144)'17,156
18 18,969,454 5,764,739 89,660
19 5,252
20 17,349,476 5,571,742
21
22
23
24 39
25
26 46,064,054 13,892,836 158,702
27
28
29
30
31 26,883 6,721
32 698,624 197,915
33 ( 23,4261 123
34 5,402,049 1,255,173 13,960
35
36 (436)
37
38
20
FERC FORM NO.2 (REV 12-071 Page 262b
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Originat(2) |.-lA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
YearPenoo oI xepon
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
5. lf any tax (exclude Federal and State income taxes) covers more than one year, show the requked information separately for each tax year, identifying the year in column (a).
6. Enter all adjustments of the accrued and prepaid tax accounts in column (f) and explain each adjustrnent in a footnote. Designate debit adjustmenb by parentheses.
authority.
number of the appropriate balance sheet plant account or subaccount.
9. For any tax apportioned to more than one utility department or account, stale in a footnote the basis (necessity) of apportioning such tax.
10. ltems under$250,000 may begrouped.
1 1, Report in column (q) the applicable etfective state income tax rate.
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Extraordinary ltems
(Account 409.3)
(m)
Other Utility Opn
lncome
(Account 408,1,
409.1 )
(n)
Adjustment to Ret.
Eamings
(Acmunt 439)
(o)
Other
(p)
State/Local
lncome Tax
Rate
(q)
1
2
3
4 (325,002)
5 ( 513.992)
6
7 1)
8 (129,4261
9
10
11 968,421)
12
13
14 2,542
15 2,888)
16
17
'18 136.318)
'19 270)
zv 81,67'l
21
22
23
24 631,328
25 124,978
26 701,043
27
28
?9 126,843
30 4,671)
31
32
33 123)
34 44,466)
35 26Js2
36
37
38 103,170
39
FERC FORM NO.2 (REV 12-071 Page 263b
Name of Respondent
Avista Corporation
This Reoort ls:(1) []An originat(2\ l_lA Resubmission
uale or Kepoft(Mo, Da, Y0
0411112014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
Line
No.
Kind of Tax
(See lnstruction 5)
(a)
Balance al
Beg. of Year
Taxes Accrued
(b)
Balance at
Beg. ofYear
Prepaid Taxes
(c)
1 KWH Tax (2012)35,68C
2 KWH Tax (2013)
3 Franchise Tax (2012)1,480,762
4 Franchise Tax (2013)
5 Total ldaho 4,904,093
6
7 STATE OF MONTANA
8 lnmme Tax (2010)7,714
9 lnmme Tax (201 1)389,77'l
10 lnmme Tax (2012)27,779
11 lncome Tax (201 3)
12 Prooertv Tax t201 2)3,600,374
13 Property Tax (2013)
14 Colstrip Generatin Tax
15 KWH Tax (2012)279,528
16 KWH Tax (2013)
17 Motor Vehicle Tax (20'13)
18 Consumer Council Tax 34
19 Public Commission Tax 113
20 Total Montana 4,305,313
21
22 STATE OF OREGON
23 lncome Tax (2010)'138.944)
24 lncome Tax {201 1)7,398
25 lncome Tax (2012)231,742
26 lncome Tax (2013)
27 Property Tax (2012)1,976,033)
28 Prooertv Tax (2013)
29 Motor Vehicle Tax (20'13)
30 BETC Credit (2010)1,448
3't BETC Credit (201 1)365,909)
32 BETC Credit (2012)18.696)
33 Glendate Requlatory Cr. 2008 210,889)
34 Glendate Requlatorv Cr. 2009 70,289
35 Franchise Tax (2010)681
36 Franchise Tax (201 1 )26,916
37 Franchise Tax (2012)748,205
38 Franchise Tax (201 3)
39 Total Oreoon 1,623,792)
FERC FORM NO. 2 (REV 12-071 Page 262a.1
Name of Respondent
Avista Corporation
This Reoort ls:(1) SRn Originat(2) llA Resubmission
Date of Report(Mo, Da, Yr)
04t't1t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
Line
No.
Taxes Charged
During Year
(d)
Taxes Paid
During Year
(e)
Adjustments
(0
Balance at
End of Year
Taxes Accrued
(Account 236)
(s)
Balance at
End of Year
Prepaid Taxes
(lncluded in Acct 165)
(h)
1 3,625)32,054 1
2 339,192 320,008 19,184
3 1,480,762
4 4,409,709 2,835,752 1,573,957
5 12.529,767 12,237j80 9,657 s,206,337
6
7
I 7,714)
I 392,990)3,219
10 ( 95,790)68,01 1)
11 60'1,062 417,384 183,678
12 27,500 3,627,443 431
13 8,1 63,129 4,091,832 4,071,297
14 2,948 2.948
15 279,528
'16 961,868 794,967 166,90't
17 3,147 3,147
18 (1)22 11
19 4 74 43
20 9,263,163 9,217,345 3,219 4,354,350
21
22
23 152,854 403,286 389,376
24 'l 1,679 295,000)314.077\
25 ( 2s6,743)25,001)
26 886,066 100,000 786,066
27 1,975,925 107)1
28 2,249,347 4,335,454 ( 2,086,107)
29 1,607 1,607
30 38,202 57,1 33)( 17,483)
31 310,014 25,933 29,962)
32 39.0931 ( 57,789)
33 35,397 175,492
34 ( 105,200)( 34,91 1)
35 168)513
Jb ( 26,916)
37 750,757 27,083 24,531
38 3,573,5s2 2.683,738 889,814
39 8,977,900 7,979,735 75,298 ( 550,329)
FERC FORM NO.2 (REV 12-071 Page 263a.1
Name of Respondent
Avista Corporation
fhis Rer(1) l2l(2\ -
rort ls;
An Original
A Resubmission
Date of Reporl(Mo, Da, Yr)
o411112014
Year/Period of Report
End of 4lllQl
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Electric
(Account 408.1,
40e 1)
(i)
Gas
(Account 408.1,
409.1)
0
Other Utility Dept,
(Account 408.1,
409,1)
(k)
Other lncome and
Deduclions
(Account 408.2,
409.2)
(D
1 3,626)
2 339,8s4
3
4 3,212,543 1,189.502
5 9,652,901 2,649,311 1 3,647
6
7
I
I
10 95,790)
11 60'1,062
12 27500
13 8,163,1 29
14 2,948
15
16 961,868
17
18
19 3
20 9,660,720
21
22
23 134,089
24
25 ( 64,186)192,557\
20 221,516 664,550
27 1,022,574 953,352
28 1,172,534 1,076,813
29
30
3'r
32
33
34
35
36
37
38 3,553,092
39 2,352,438 6,0s5,2s0 134,089
FERC FORM NO.2 (REV 12-07)Page 262b.1
Name of Respondent
Avista Corporation
This Reoort ls:(1) finn orlginat(2) I_lA Resubmission
Date of Report(Mo, Da, Yr)
04111t20't4
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Extnordinary ltems
(Account 409,3)
(m)
Oher Util'rty Opn.
lncome
(Account 408.1,
409.1)
(n)
Adjustrnent to Ret,
Eamings
(Acounl439)
(o)
Other
(p)
Statefl-ocal
lncome Tax
Rate
G)
1 (1)
2 662)
4 7,665
5 213,907
6
7
8 7,714\
o ( 392,990)
10
11
12
13
14
15
16
17 3,147
'18
19
20 ( 397,557)
21
22
23 18,765
24 1 1,679
25
26
27
28
29 1,607
30 38,202
31 310,014
32
33 35,397
34
35
36
37
38 20,461
39 436,125
FERC FORM NO.2 (REV't2-071 Page 263b.1
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Original(2) [-lA Resubmission
Date of Report(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of EISQ4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
Line
No.
Kind of Tax
(See lnstruction 5)
(a)
Balance at
Beg. of Year
Taxes Accrued
(b)
Balance at
Beg. of Year
Prepaid Taxes
(c)
1
2 STATE OF CALIFORNIA
3 lncome Tax (201 1)6,3251
4 lncome Tax (2012)1,6001
5 lncome Tax (2013)
6 Total California 7.925)
7
I MISCELLANEOUS STATES:
I lncome Tax (20'12)(1
'10 lnmme Tax (2013)
11 Total Misc States (1
12
13 COUNTY & MUNICIPAL
14 Vehicle Excise Tax
15 WA Renewable Enerov 561
16 Misc.25,577)
17 Total Countv ( 26,138)
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
TOTAL 22,309,642
FERC FORM NO. 2 (REV 12-071 Page 262a.2
Name of Respondent
Avista Corporation
This ReDort ls:(1) fiRn originat
(21 [-lA Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
Line
No.
Taxes Charged
During Year
(d)
Taxes Paid
During Year
(e)
Adjustments
0
Balance at
End ofYear
Taxes Accrued
(Account 236)
(s)
Balance at
End of Year
Prepaid Taxes
(lncluded in Acct 165)
(h)
2
3 5,525 (800)
4 1,600
5 1,600 (1,600)
6 7,125 1,600 2,400)
7
I
I 1
10 34,438)( 88,175)122,613\
11 ( 34,437],( 88,17s)122,613\
12
13
14 5,005 5,005
15 25,260)25,260)561 )
'16 89,1 66 66,462 ( 8,182)1 1,055)
17 68,911 46,207 ( 8,182)( 11,616)
'18
'19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
TOTAL 129,012,148 129,2'17.988 22,103,801
FERC FORM NO.2 (REV 12-O7l Page 263a.2
Name oI Hesponoent
Avista Corporation
This Rer(1) lt!_(2) r
rort ls:
An Original
A Resubmission
Date of Report(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Electric
(Account 408,1 ,
409.1 )
(i)
Gas
(Account 408.1,
409.1 )
0)
Other Utility Dept.
(Account 408.1,
409.1)
(k)
Other lncome and
Deductions
(Account 408.2,
409.2)
(t)
1
2
3
4 1,600
5
6 '1,600
7
I
I
'10 100
11 100
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
3'l
32
33
34
35
36
37
38
20
TOTAL 101,884,296 31,874,095 4,771,2391
FERC FORM NO.2 (REV 12-071 Page 262b.2
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn orisinat(2\ J--lA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
Year/Period of Report
End of 2013/Q4
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utility dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and account charged.)
Line
No.
Extraordinary ltems
(Account 409.3)
(m)
Other Utility Opn.
lncome
(Account 408.1,
409.1 )
(n)
Adjustrnent to Rel
Eamings
(Account 439)
(o)
Other
(p)
State/Local
lnmme Tax
Rate
(q)
1
2
3
4 5,525
5
o 5,525
7
8
I 1
10 34,538)
11 ( 34,537)
12
'13
14 5,005
15 ( 25,260)
16 89,166
17 68,911
18
19
20
21
22
23
24
25
26
27
28
29
30
3't
32
33
34
35
36
37
38
39
TOTAL 24,996
FERC FORM NO.2 (REV 12-071 Page
Name oI Kesponoenl
Avista Corporation
This Reoort ls:(1) Sen originat(2) nA Resubmission
uale oI Kepon(Mo, Da, Yr)
04111t2014
Year/Period of Repor
End of 2013/Q4
Miscellaneous Current and Accrued Liabilities (Account 242)
1. Describe and report the amount of other current and accrued liabilities at the end of year.
2. Minor items (less than $250,000) may be grouped under appropriate title.
Line
No-
Item
(a)
Balance at
End of Year
(b)
1 Margin Call Deposit ( 7,770,000)
2 Forest Use Permits ( s,469,667)
3 Mirabeau Accrued Rent ( 43,164)
4 FERC Admin Fee Acc ( 539,784)
5 FERC Elect Admin Fee Chg (129,856)
b MT Lease Payments ( 4,552,000)
7 Payroll EQLZTN ( 17,280,22s).
8 Low lncome Energy Assist ( 3,275,872)
I Grants Eng Sustain WSU-ASL (63,s86)
10 Mobius ( 1s0,000)
't1 Worker's Comp Liability ( 2,486,931)
12 Accts Payable lnventory Accruals SC ( s2,880)
13 Accts Payable Expense Accrual SC ( 1,426,379)
14 Current Portion- Benefit Liab ( 5,202,425)
15 Misc Clearing Accounts (433,387)
16 Deferred. Revenue - Clearing Agents ( 1 ,863,417)
17 Customer Accounts Receivable in Credit Position ( 5,675,502)
18 DSM Tariff Rider ( 674,05e)
19 Misc Liabilities ( 153,s28)
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total ( 55,243,462',t
FERC FORM NO.2 (12-96)Page 268
Name of Respondent
Avista Corporation
This ReDort ls:(1) fiAn original(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Repor
End of 2el3lQ4
Other Deferred Credits (Account 253)
1.
2.
4
Report below the details called for concerning other defened credits.
For any deferred credit being amortized, show the period of amortization,
Minor items (less than $250,000) may be grouped by classes.
Line
No.Description of Other
Deferred Credits
(a)
Balance at
Beginning
of Year
(b)
Debit
Contra
Accounl
(c)
Debit
Amount
(d)
Credits
(e)
Balance at
End ofYear
(r)
1 Defer Gas Exchange (253028)1,499,99(1(1,500,000
2 Rathdrum Refund (2531 20)239,576 550 33,822 205,754
3 NE Tank Spill (253130)16.797 186 15 16,782
4 Bills Pole Rentals (253140)280,96(1 5,37!296,339
5 cR-cs2 GE LTSA (253150)2,999,30i 232 996,162 2,003,140
b Credit Resource Actg 1,577 ,531 186 676,085 901,446
7 DOC EECE Grant 752,551 186 481j70 271,380
8 Defer Comp Retired Execs (253900)59,24!431 22,994 36,25s
I Defer Comp Active Execs (253910)8,806,15(364,30i 9,170,452
10 Executive lncent Plan (253920)140,00(140,000
11 Unbilled Revenue (253990)683,441 364,83:1,048,274
12 WA Energy Recovery Mechanism 8,7s6,63t 186 8,756,638 8.024j94 8,024,194
13 Misc Deferred Credits 80/7i 186 238,605 296,201 138,369
14 REC Deferral 277,01(119,177 1,449,1 1:1,606,948
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
t5 Total 26,169,966 11,324,66t 10,51'f,035 25,359,333
FERC FORM NO.2 (12-95)Page
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn Originat(2\ l_lA Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Accumulated Deferred lncome Taxes-Other Propefi (Account 282)
1. Report the information called for below conceming the respondenfs accounting for defened inmme taxes relating to property not subjec{ to accelerated amortization.
2. At Other (Specify), include defenals relating to other income and deductions.
Line
No.Account Subdivisions
(a)
Balance at
Beginning
of Year
(b)
Amounts
Debited to
Account 410.1
(c)
Amounb
Credited to
Account 41 1.1
(d)
2 Electic 276,927,675 14,480,652
3 Gas 102,1 14,468 5,902,039
4 Other (Define) (footnote details)40,174,470 7,562,843
5 Total (Enter Total of lines 2 thru 4)4't9,216,613 27,945,534
6 Other (Specity) (footnote details)
TOTAL Account 282 (Enter Total of lines 5 thr 419,216,613 27,945,534
I Federal lncome Tax 408,'150,290 27,945,534
10 State lncome Tax '11,066,323
11 Local lncome Tax
FERC FORM NO.2 (REV,t2-071 Page 274
Name of Respondent
Avista Corporation
tnrs HeDon ls:(1) []Rn orisinat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Reporl
End of 2013/Q4
Accumulated Deferred lncome Taxes-Other Property (Account 282) (continued)
3, Provide in a footnote a summary of the type and amounl of defened inmme taxes reported in the beglnningot-year and end-of-year balances for defened inmme taxes thal lhe
respondent estimates could be included in the development ofjurisdictional recourse rates.
Line
No.
Changes during
Year
Amounts Debited
to Account 410.2
(e)
Changes during
Year
Amounts Credited
to Account 41 1.2
(0
Adjustrnents
Debib
Acct. No.
(s)
Adjustments
Debits
Amount
(h)
Adjustments
Credits
Account No.
0
AdjustmenF
Credih
Amount
0)
Balance at
End of Year
(k)
2 291,408,327
3 ( 61,912)107,954,595
4 47,737,313
5 ( 61,912)447J00235
b
7 ( 61 ,912)447j00,235
9 ( 61,912)436,033,912
10 1 1,066,323
11
FERC FORM NO.2 (REV 12-071 Page 275
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Orisinat(2\ l-lA Resubmission
Date of Reoort(Mo, Da, Yi)
04t11t2014
Year/Period of Report
End of 2013/Q4
Accumulated Deferred lncome Taxes-Other (Account 283)
1 . Report the information called for below conceming the respondents accounting for defened income taxes relating to amounts recorded in Account 283.
2. At Other (Specify), include defenals relating to other income and deductions.
Line
No.Account Subdivisions
(a)
Balance at
Beginning
ofYear
(b)
Changes During Year
Amounb
Debited to
Account 410.1
(c)
Changes During Year
Amounts
Credited to
Account 4'11.'l
(d)
2 Electric 17,538,524 292,588)512,038
3 Gas ( 1,803,226)( 1,854,7s3)
4 Other (Define) (footnote details)229,946,6s9 ( 3,863,6s2)
5 Total (Total of lines 2 thru 4)245,681,957 ( 6,010,993)512,038
b Other (Specify) (footnote details)
7 TOTAL Account 283 (Total ol lines 5 thru 245,681,957 ( 6,010,993)5'12,038
I Federal lncome Tax 24s,681,957 ( 6,010,993)512,038
10 State lncome Tax
11 Local lncome Tax
FERC FORM NO. 2/3Q (REV 12-07)Page 276
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiAn original(2) [-lA Resubmission
Date of Report(Mo, Da, Yr)
0411112014
Year/Period of Report
End of 2013/Q4
Accumulated Deferred lncome Taxes-Other (Account 283) (continued)
3. Provide in a foohote a summary of the type and amount of defened income taxes reported in the beginningof-year and endof-year balances for defened income taxes hat the
respondent estimates could be included in the developmenl of jurisdictional recourse rates.
Line
No.
Changes during
Year
Amounb Debited
to Account 41 0.2
(e)
Changes during
Year
Amounts Credited
to Account 41 1.2
(0
Adjustrnents
Debits
Acct. No.
(s)
Adjustmenb
Debits
Amount
(h)
Adjustrnents
Credits
Account No,
(i)
Adjustrnenb
Credits
Amount
0)
Balance at
End of Year
(k)
2 3,570,506 1,062,903 19,241,501
3 198,635 ( 3,856,614)
4 ( 5,268,539)( 74,354,921)'r46,459,547
5 ( 1,698,033)( 74,3s4,e21)1,261 ,538 161 ,844,434
6
7 1,698,033)( 74,3s4,921)1,26'1,538 161,U4,434
9 1,698,033)( 74,354,9211 1,26't ,538 161,844,434
10
II
FERC FORM NO. 2/3Q (REV 12-07)Page 277
This Page Intentionalty Left Blank
r\arne or KesPonqenl
Avista Corporation
tnrs KeDon ls:(1) fiRn originat(2) l-lA Resubmission
uate ut ragP(Jr t(Mo, Da, Yr)
0411112014
r tatrrtit tuu ut nEPUr
End of 413/Qul
Other Regulatory Liabilities (Account 254)
1. I
inclur
2.1
3. I
4.1
c0mr
leport below the details called for concerning other regulatory liabilities which are crealed through the ratemaking actions of regulatory agencies (and not
Jable in other amounts).
ror regulatory liabililies being amortized, show period of amortization in column (a).
/inor items (5% of the Balance at End of Year for Account 254 or amounts less than $250,000, whichever is less) may be grouped by classes.
)rovide in a footnote, for each line item, the regulatory citation where the respondent was directed to refund the regulatory liability (e.9, Commission Order, stale
nission order, court decision),
Lrne
No.Description and Purpose of
Other Regulatory Liabilities
(a)
Balance at
Beginning of
Cunenl
QuarteriYear
(b)
Writlen off during
Quarter/Period
Account
Credited
(c)
Written otf
During Period
Amount
Refunded
(d)
Written off
During Period
Amount Deemed
Non-Refundable
(e)
Credits
(0
Balance at
End of Cunent
Quarterffear
(s)
1 daho lnvestment Tax Credit 1 2,308,07 190 6,898,51 5,409,558
2 )reoon BETC Credit 1,553,98,190 1,053,98,s00,000
3 \,loxon. ITC 3.344,01 190 50.15/3.293,863
4 Settled lnt Rate Swaps 12,965,59(12,965,590
5 Jnsettled lnt Rate Swaos 33,543,25t 33,543,258
6 )reqon Commercial Fee 1,94:1 1.944
7 :AS 109 lnvest Credit 103,60i 190 21,401 82,200
I \,lez Perce 682.36 557 22.001 660.356
9 )reqon Senate Bill 70,471 q7 1,421 71,89t
10 )ecouolino Rebate 5.53 407 3,251 2.279
11 3PA Res Exch Reo Liab 5,397.1 0t s,397,106
12 Reg Liability WA Recs 93,22 186 93,221
13 Jnrealized Currencv Exchanqe 3.60 '143 59.46;55,861
14 Vlark to Market ST
15 )olstrio/CS2
16 daho PCA 18,566,19 1 8,566,19i 9,879,394 9,879,394
17 iwaos on FMBS 18,656,78 18,656,78(
18 ioseburq/Medford 8.72t 8.726
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total 55.241,96'15,426,t11 0 61823,782 71,742,330
FERC FORM NO.2/3Q (REV 12-07)Page 278
Name or Hesponoent
Avista Corporation
This
(1)
(2)
leort ls:IlAn OriginallA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of ?913/Ql
Gas Operating Revenues
1.R
2.R
3.0
mlum
tport below natural gas operating revenues for each prescribed account total, The amounts must be consistent wih he detailed data on succeeding pages.
rvenues in columns (b) and (c) include transition msts from upstream pipelines.
ther Revenues in columns (f) and (g) include reservation charges received by he pipeline plus usage charges, less revenues reflected in columns (b) through (e). lnclude in
rs (0 and (q) revenues for Accounb 480495.
Line
No.
Title of Account
ta)
Revenues for
Transition
Cosb and
Takeor-Pay
Amount for
Current Year
(b)
Revenues for
Transition
Costs and
Take-or-Pay
Amounl for
Previous Year
(c.|
Revenues for
GRI and ACA
Amount for
Cunent Year
(dl
Revenues for
GRI and ACA
Amount for
Previous Year
(e)
1 480 Residential Sales
2 481 Commercial and lndustrial Sales
3 482 Other Sales to Public Authorities
4 483 Sales for Resale
5 484 lnterdepartmental Sales
6 485 Intracompany Transfers
7 487 Forfeited Discounb
8 488 Miscellaneous Service Revenues
I 489.1 Revenues from Transportation of Gas of Others
Through Galhering Facilities
10 489.2 Revenues from Transportation of Gas of Others
Through Transmission Facilities
11 489.3 Revenues from Transportation of Gas of Others
Through Distribution Facilities
12 489.4 Revenues from Storing Gas of Others
13 490 Sales of Prod. Ext. from Natural Gas
14 491 Revenues from Natural Gas Proc. by Others
15 492 lncidental Gasoline and Oil Sales
16 493 Rentfrom Gas Property
17 494 lnterdepartmental Renb
18 495 Ober Gas Revenues
19 Subtotal:
20 496 (Less) Provision for Rate Refunds
21 TOTAL:
FERC FORM NO.2 (REV 12-07)Page 300
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn originat(2) [-lA Resubmission
uale or Kepon(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of ZUlllQl
Gas Operating Revenues
4
b
lf increases or decreases from previous year are not derived from previously reported tigures, explain any inmnsistencies in a lootnote.
On Page 108, include information on major changes during the year, new service, and important rale increases or decreases.
Report lhe revenue from transportation services that are bundled with storage services as transportation service revenue.
Line
No.
Other
Revenues
Amount for
Cunent Year
(f)
Other
Revenues
Amount for
Previous Year
(s)
Total
Openting
Revenues
Amount for
Cunent Year
(h)
Total
Openating
Revenues
Amount for
Previous Year
(i)
Dekatherm of
Natural Gas
Amount for
Cunent Year
(i)
Dekalherm ol
Natural Gas
Amount for
Previous Year
(k)
1 206,329,739 '196,718,688 206,329,739 '196,718,688 20,471,146 18,915,226
2 108,505,217 104,861,465 108,505,2'17 '104,861,465 13,311,914 12,451,835
3
4 196,375,408 160,769,449 196,375,408 1 60,769,449 53,792,387 60,478,027
5 313,297 291,260 31 3,297 291,260 41,763 38,137
b
7
8 176,451 169,923 176,451 169,923
I
10
11
7,576,118 7,031,672 7,576,1'18 7,031,672 15,997,643 15,470,439
12
13
14
15
16 3,068 3,713 3,068 3,7'13
17
'18 6,693,017 6,465,265 6,693,017 6,465,265
19 525,972,315 476,31 1,435 525,972,315 476,311,435
20 441,849 441,849
21 525,530,466 476,311,435 525,530,466 476,31 1,435
PageFERC FORM NO.2 (REV 12-071
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn originat(2) l_lA Resubmission
Date of Report(Mo, Da, Yr)
o4t11t2014
YeailPenoo o1 Kepor
End of p1!/Q!
Other Gas Revenues (Account 495)
Report below transactions of $250,000 or more included in Account 495, Other Gas Revenues. Group all transactions below $250,000
in one amount and provide the number of items.
Line
No.
Description of Transaction
(a)
Amount
(in dollars)
(b)
1 lommissions on Sale or Distribution of Gas of Others
2 )ompensation for Minor or lncidental Services Provided for Othen
3 rrofit or Loss on Sale of Material and Supplies not Ordinarily Purchased for Resale
4 iales of Stream, Water, or Electricity, including Sales or Transfers to Other Departments
5 \,liscellaneous Royalties
6 levenues from Dehydration and Other Processing of Gas of Others except as provided for in the lnstructions to Account 495
7 levenues for Right and/or Benefits Received from Others which are Realized Through Research, Development, and Demonstration Ventures
I 3ains on Settements of lmbalance Receivables and Payables
I levenues from Penalties eamed Pursuant to Tarifi Provisions, including Penalties Associated with Cashout.Settlemenh
't0 levenues from Shipper Supplied Gas
1'.l )ther revenues (Specify):
12 tlisc Bills 519.971
13 )efened Exchange Revenue 6,000,000
14 )SM Lost Margin (Oregon)173,046
't5
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
Jb
37
38
39
Total 6,693,017
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn orlsinal(2) llA Resubmission
Date of Report(Mo, Da, Yr)
o4l1'U2014
YeariPeriod of Report
End of 2013/Q4
Gas Operation and Maintenance Expenses
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
1 1. PRODUCTION EXPENSES
2 A. Manufactured Gas Production
3 Manufactured Gas Production (Submit Supplemental Statement)0 0
4 B. Natural Gas Production
5 B1. Natural Gas Production and Gathering
6 Operation
7 750 Operation Supervision and Engineering 0 0
8 751 Production Maps and Records 0 0
I 752 Gas Well Expenses 0 0
10 753 Field Lines Expenses 0 0
11 754 Field Compressor Station Expenses 0 0
12 755 Field Compressor Station Fuel and Power 0 0
13 756 Field Measuring and Regulating Station Expenses 0 0
'14 757 Purification Expenses 0 0
15 758 Gas Well Royalties 0 0
16 759 Other Expenses 0 0
17 760 Rents 0 0
18 TOTAL Operation (Total of lines 7 thru 17)0 0
19 Maintenance
20 761 Maintenance Supervision and Engineering 0 0
21 762 Maintenance of Structures and lmprovements 0 0
22 763 Maintenance of Producing Gas Wells 0 0
23 764 Maintenance of Field Lines 0 0
24 765 Maintenance of Field Compressor Statlon Equipment 0 0
25 766 Maintenance of Field Measuring and Regulating Station Equipment 0 0
26 767 Maintenance of Purification Equipment 0 0
27 768 Maintenance of Drilling and Cleaning Equipment 0 0
28 769 Maintenance of Other Equipment 0 0
29 TOTAL Maintenance (Total of lines 20 thru 28)0 0
30 TOTAL Natural Gas Production and Gathering (Iotal of lines 18 and 29)0 0
FERC FORM NO. 2 (12-96)Page 317
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Original(2) [-lA Resubmission
uate or Hepon(Mo, Da, Yr)
04t't1t2014
Year/Period ol Report
End of 2013/Q4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
31 82. Products Extraction
32 Operation
33 770 Operation Supervision and Engineering 0 0
34 77'l Operation Labor 0 0
35 772 GasShrinkage 0 0
36 773 Fuel 0 0
37 774 Power 0 0
38 775 Materials 0 0
39 776 Operation Supplies and Expenses 0 0
40 777 Gas Processed by Others 0 0
41 778 Royalties on Products Extracted 0 0
42 779 Marketing Expenses 0 0
43 780 Products Purchased for Resale 0 0
44 781 Variation in Products lnventory 0 0
45 (Less) 782 Extracted Products Used by the Utility-Credit 0 0
46 783 Rents 0 0
47 TOTAL Operation (Total of lines 33 thru 46)0 0
48 Maintenance
49 784 Maintenance Supervision and Engineering 0 0
50 785 Maintenance of Structures and lmprovements 0 0
51 786 Maintenance of Extraction and Refining Equipment 0 0
52 787 Maintenance of Pipe Lines 0 0
53 788 Maintenance of Extracted Products Storage Equipment 0 0
54 789 Maintenance of Compressor Equipment 0 0
55 790 Maintenance of Gas Measuring and Regulating Equipment 0 0
s6 791 Maintenance of Other Equipment 0 0
57 TOTAL Maintenance (Total of lines 49 thru 56)0 0
58 TOTAL Products Ertraction (Total of lines 47 and 57)0 0
FERC FORM NO.2 (12-96)Page 318
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn Originat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t't1t2014
Year/Period of Report
End of 20'13/Q4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
59 C. Exploration and Development
60 Operation
61 795 Delay Rentals 0 0
62 796 Nonproductive Well Drilling 0 0
63 797 Abandoned Leases 0 0
64 798 Other Exploration 0 0
65 TOTAL Exploration and Development (Total of lines 61 thru 64)0 0
66 D. Other Gas Supply Expenses
67 Operation
68 800 Natural Gas Well Head Purchases 0 0
69 800.1 Natural Gas Well Head Purchases, lntracompany Transfers 0 0
70 801 Natural Gas Field Line Purchases 0 0
71 802 Natural Gas Gasoline Plant Outlet Purchases 0 0
72 803 Natural Gas Transmission Line Purchases 0 0
73 804 Natural Gas City Gate Purchases 350,342,545 324,767,750
74 804.1 Liquefied Natural Gas Purchases 0 0
75 805 Other Gas Purchases 0 0
76 (Less) 805.1 Purchases Gas Cost Adjustments ( 4,784,160)5,804,491
77 TOTAL Purchased Gas (Total of lines 68 thru 76)355,126,705 318,963,259
78 806 Exchange Gas 0 0
79 Purchased Gas Expenses
80 807.1 Well Expense-Purchased Gas 0 0
81 807.2 Operation of Purchased Gas Measuring Stations 0 0
82 807.3 Maintenance of Purchased Gas Measuring Stations 0 0
83 807.4 Purchased Gas Calculations Expenses 0 0
84 807.5 Other Purchased Gas Expenses 0 0
85 TOTAL Purchased Gas Expenses (Total of lines 80 thru 84)0 0
FERC FORM NO.2 (12-96)Page 319
Name of Respondent
Avista Corporation
This Report ls: I Date of Report I Year/Period of Report(1) fiRn Orisinal | (Mo' Da' Yr) I(2) fiA Resubmission I otttttzot+ | end ol 2o13tQ4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
86 808.1 Gas Withdrawn from Storage-Debit 33,596,700 29,510,790
87 (Less) 808.2 Gas Delivered to Storage-Credit 29,349J23 23,177,606
88 809.1 Withdrawals of Liquefied Natural Gas for Processing-Debit 0 0
89 (Less) 809.2 Deliveries of Natural Gas for Processing-Credit 0 0
90 Gas used in Utility Operation-Credit
91 810 Gas Used for Compressor Station Fuel-Credit 0 0
92 81 1 Gas Used for Products Extraction-Credit 1,386,785 1,648,718
93 812 Gas Used for Other Utility Operations-Credit 0 0
94 TOTAL Gas Used in Utility Operations-Credit Ootal of lines 91 thru 93)'t,386,785 1,648,7'.tg
95 813 Other Gas Supply Expenses 1,825,650 '1,881,894
96 TOTAL Other Gas Supply Exp. (Total of lines 77,78,85,86 thru 89,94,95)359,813,147 325,529,619
97 TOTAL Production Expenses (Total of lines 3, 30, 58, 65, and 96)359,813,'t47 325,529,619
98 2. NATURAL GAS STORAGE, TERMINALING AND PROCESSING EXPENSES
99 A. Underground Storage Expenses
100 Operation
101 814 Operation Supervision and Engineering 25,291 18,245
102 815 Maps and Records 0 0
103 816 Wells Expenses 0 0
104 817 Lines Expense 0 0
105 8"18 Compressor Station Expenses 0 0
106 819 Compressor Station Fuel and Power 0 0
107 820 Measuring and Regulating Station Expenses 0 0
108 821 Purification Expenses 0 0
109 822 Exploration and Development 0 0
110 823 Gas Losses 0 0
111 824 Other Expenses 695,512 600,9'10
112 825 Storage Well Royalties 0 0
113 826 Rents 0 0
114 TOTAL Operation (Total of lines of 101 thru 1 1 3)720,803 61 9,1 55
FERC FORM NO.2 (12-96)Page 320
Name of Respondent
Avista Corporation
This Reoort ls:(1) []An Orisinal(2) nA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
15 Maintenance
116 830 Maintenance Supervision and Engineering 0 0
117 831 Maintenance of Structures and lmprovements 0 0
118 832 Maintenance of Reservoirs and Wells 0 0
119 833 Maintenance of Lines 0 0
120 834 Maintenance of Compressor Station Equipment 0 0
121 835 Maintenance of Measuring and Regulating Station Equipment 0 0
122 836 Maintenance of Purification Equipment 0 0
123 837 Maintenance of Other Equipment 568,328 504,736
124 TOTAL Maintenance (Total of lines 116 thru 123)568,328 504,736
125 TOTAL Underground Storage Expenses Clotal of lines 1 14 and 124)1,289,131 1 ,123,891
126 B. Other Storage Expenses
127 Operation
128 840 Operation Supervision and Engineering 0 0
129 841 Operation Labor and Expenses 0 0
130 842 Rents 0 0
131 842.1 Fuel 0 0
132 842.2Power 0 0
133 842.3 Gas Losses 0 0
r34 TOTAL Operation (Total of lines 128 thru 133)0 0
135 Maintenance
136 843.1 Maintenance Supervision and Engineering 0 0
137 843.2 Maintenance of Structures 0 0
138 843.3 Maintenance of Gas Holders 0 0
139 843.4 Maintenance of Purification Equipment 0 0
140 843.5 Maintenance of Liquefaction Equipment 0 0
141 843.6 Maintenance of Vaporizing Equipment 0 0
142 843.7 Maintenance of Compressor Equipment 0 0
143 843.8 Maintenance of Measuring and Regulating Equipment 0 0
144 843.9 Maintenance of Other Equipment 0 0
145 TOTAL Maintenance (Total of lines 136 thru 144)0 0
146 TOTAL Other Storage Expenses (Total of lines 134 and 145)0 0
FERC FORM NO.2 (12-96)Page 321
Name of Respondent
Avista Corporation
This ReDort ls:(1) []en originat(2) nA Resubmission
Date of Report I Year/Period of Report(Mo, Da, Yr) |04t11t2014 | eno ot 2o13tQ4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
'147 C. Liquefied Natural Gas Terminaling and Processing Expenses
148 Operation
149 844.1 Operation Supervision and Engineering 0 0
150 844.2 LNG Processing Terminal Labor and Expenses 0 0
151 844.3 Liquefaction Processing Labor and Expenses 0 0
152 844.4 Liquefaction Transportation Labor and Expenses 0 0
153 844.5 Measuring and Regulating Labor and Expenses 0 0
154 844.6 Compressor Station Labor and Expenses 0 0
155 844.7 Communication System Expenses 0 0
156 844.8 System Control and Load Dispatching 0 0
157 845.'l Fuel 0 0
158 845.2 Power 0 0
159 845.3 Rents 0 0
160 845.4 Demurrage Charges 0 0
161 (less) 845.5 Wharfage Receipts-Credit 0 0
162 845.6 Processing Liquefied or Vaporized Gas by Others 0 0
163 846,1 Gas Losses 0 0
164 846.2 Other Expenses 0 0
165 TOTAL Operation (Total of lines 149 thru 164)0 0
166 Maintenance
167 847.1 Maintenance Supervision and Engineering 0 0
168 847.2 Maintenance of Structures and lmprovements 0 0
69 847.3 Maintenance of LNG Processing Terminal Equipment 0 0
170 847.4 Maintenance of LNG Transportation Equipment 0 0
171 847.5 Maintenance of Measuring and Regulating Equipment 0 0
72 847.6 Maintenance of Compressor Station Equipment 0 0
173 847.7 Maintenance of Communication Equipment 0 0
174 847.8 Maintenance of Other Equipment 0 0
175 TOTAL Maintenance (Total of lines 167 thru 174)0 0
176 TOTAL Liquefied Nat Gas Terminaling and Proc Exp (Total of lines 165 and 175)0 0
177 TOTAL Natural Gas Storage (Total of lines 125, 146, and 176)1,289,131 1,'t23,891
FERC FORM NO.2 (12-96)Page 322
Name of Respondent
Avista Corporation
This ReDort ls:(1) fiRn originat(2) [-|A Resubmission
uale oI Kepon(Mo, Da, Y0
o4t1112014
Year/Period of Report
End of 2L1@[
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
178 3, TRANSMISSION EXPENSES
179 Operation
180 850 Operation Supervision and Engineering 0 0
181 851 System Control and Load Dispatching 0 0
182 E52 Communication System Expenses 0 0
183 853 Compressor Station Labor and Expenses 0 0
184 854 Gas for Compressor Station Fuel 0 0
185 855 Other Fuel and Power for Compressor Stations 0 0
186 856 Mains Expenses 0 0
187 857 Measuring and Regulating Station Expenses 0 0
188 858 Transmission and Compression of Gas by Others 0 0
189 859 Other Expenses 0 0
190 860 Rents 0 0
191 TOTAL Operation (Total of lines '1 80 thru 190)0 0
192 Maintenance
193 861 Maintenance Supervision and Engineering 0 0
194 862 Maintenance of Structures and lmprovements 0 0
195 863 Maintenance of Mains 0 0
196 864 Maintenance of Compressor Station Equipment 0 0
197 865 Maintenance of Measuring and Regulating Station Equipment 0 0
198 866 Maintenance of Communication Equipment 0 0
199 867 Maintenance of Other Equipment 0 0
200 TOTAL Maintenance (Total of lines 193 thru 199)0 0
201 TOIAL Transmission Expenses (Iotal of lines 191 and 200)0 0
202 4. DISTRIBUTION EXPENSES
203 Operation
204 870 Operation Supervision and Engineering 2,332,982 1.74',t,877
205 871 Distribution Load Dispatching 0 0
206 872 Compressor Station Labor and Expenses 0 0
207 873 Compressor Station Fuel and Power 0 0
PageFERC FORM NO.2 (12-96)
Name of Respondent
Avista Corporation
This Report ls:(1) [nn Original(2) l-lA Resubmission
uate ot Hepon(Mo, Da, Yr)
au1112014
YearHenoo oI Kepon
End of 20'!3/Ql
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
208 874 Mains and Services Expenses 4.827.520 4,351,422
209 875 Measuring and Regulating Station Expenses-General 37't,938 374,276
210 876 Measuring and Regulating Station Expenses-lndustrial 3,335 9,972
2',t'l 877 Measuring and Regulating Station Expenses-City Gas Check Station 194,405 189,438
212 878 Meter and House Regulator Expenses 1,621,726 962,147
213 879 Customer lnstallations Expenses 3,122,752 2,438,556
2't4 880 Other Expenses 2,889,859 2,741 ,914
215 881 Rents 45,023 44,690
216 TOTAL Operation (Total of lines 204 thru 2'15)15,409.540 12,854,292
217 Maintenance
218 885 Maintenance Supervision and Engineering 216,205 't5't,586
219 886 Maintenance of Structures and lmprovements 0 0
220 887 Maintenance of Mains 2,860,335 3,009,123
221 888 Maintenance of Compressor Station Equipment 0 0
222 889 Maintenance of Measuring and Regulating Station EquipmentGeneral 389,2'tl 330,619
223 890 Maintenance of Meas. and Reg. Station Equipmenhlndustrial 275,635 254,583
224 891 Maintenance of Meas. and Reg. Station Equip-City Gate Check Station 't03,580 72,997
225 892 Maintenance of Services 2,081,398 1,679,077
226 893 Maintenance of Meters and House Regulators 2,099,190 1,728,218
>_27 894 Maintenance of Other Equipment 334,533 379,407
228 TOTAL Maintenance (Total of lines 218 lhru 227)8,360,087 7,605,610
229 TOTAL Distribution Expenses (Total of lines 216 and 228)23,769,627 20,459,902
230 5. CUSTOMER ACCOUNTS EXPENSES
231 Operation
232 901 Supervision 315,307 514,2'.t3
233 902 Meter Reading Expenses 2,255,275 2,027,562
234 903 Customer Records and Collection Expenses 7,922,945 7.246.845
FERC FORM NO.2 (12-96)Page 324
Name of Respondent
Avista Corporation
This Report ls:(1) E]Rn Origlnal(2) I_lA Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Yearrenoo oI Kepon
End of 2013/Q4
Gas Operation and Maintenance Expenses(continued)
Line
No.
Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Yeal
(c)
135 904 Uncollectible Accounts 2,257,721 1,894,921
t36 905 Miscellaneous Customer Accounts Expenses 211,704 204,1 66
237 TOTAL Customer Accounts Expenses (Total of lines 232 thru 236)12,962,952 11,887,707
u38 6. CUSTOMER SERVICE AND INFORMATIONAL EXPENSES
239 Operation
240 907 Supervision 0 0
241 908 Customer Assistance Expenses 7,755,993 9,662,065
242 909 lnformational and lnstructional Expenses 1,023,410 968,533
243 910 Miscellaneous Customer Service and lnformational Expenses 179,059 156,805
244 TOTAL Customer Service and lnformation Expenses (Iotal of lines 240 thru 243)8,958,462 10,787,403
245 7. SALES EXPENSES
246 Operation
247 911 Supervision 0 0
248 912 Demonstrating and Selling Expenses 4,797 9,538
249 913 Advertising Expenses 0 0
250 9'16 Miscellaneous Sales Expenses 0 0
251 TOTAL Sales Expenses (Total of lines 247 thru 250)4,797 9,538
252 8. ADMINISTRATIVE AND GENERAL EXPENSES
253 Operation
254 920 Administrative and General Salaries 9,156,633 13,722,096
255 921 Office Supplies and Expenses 1,535,967 't ,637,1 95
256 (Less) 922 Administrative Expenses Transferred-Credit 17,301 36,687
257 923 Outside Services Employed 3,903,981 4,454,643
258 924 Property lnsurance 471,875 440,286
259 925 lnjuries and Damages 1,759,255 1,163,461
260 926 Employee Pensions and Benefits 345,783 355,696
261 927 Franchise Requirements 0 0
262 928 Regulatory Commission Expenses 2,257,020 2,110,126
263 (Less) 929 Duplicate Charges-Credit 0 0
264 930.1 General Advertising Expenses 31 796
265 930.2Miscellaneous General Expenses 1,321,552 1.368,295
266 931 Rents 288,924 362,46'l
267 TOTAL Operation (Total of lines 254 thru 266)2',1,023,720 25,578,368
268 Maintenanc€
269 932 Maintenance of General Plant 3, r 51 ,359 2,785,790
270 TOTAL Administrative and General Expenses (Iotal of lines 267 and 269)241175,079 28,364,158
271 TOTAL Gas O&M Expenses (Total of lines 97,177,201,229,237,244,251, and270)430,973,195 398,162,218
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Reoort ls:(1) []nn orisinat(2) l-lA Resubmission
Date of Report(Mo, Da, Yr)
o4111t2014
Year/Period of Report
End of 4l3lQl
Gas Used in Utility Operations
1. Report below details of credits during the year to Accounts 81 0, 81 1, and I 1 2,
2. lf any natural gas was used by the respondent for which a charge was not made to the appropriate operating expense or other account, list separately in column (c) the Dh of gas
used, omitting entries in column (d).
Line
No.
Purpose for Which Gas
Was Used
(a)
Account
Charged
(b)
Natural Gas
Gas Used
Dth
(c)
Natural Gas
Amount of
Credit
(in dollars)
(d)
Natural Gas
Amount of
Credit
(in dollars)
(d)
Natural Gas
Amounl of
Credit
(in dollars)
(d)
1 810 Gas Used for Compressor Station Fuel - Credit 804 1,576,842 ...rr i,:i1,liiijiii, r ii ti!:, iii ii !
2 811 Gas Used for Producls Extraction - Credit 811 1,948,316 1,386,785
Gas Shrinkage and Other Usage in Respondents
Own Processino
4 Gas Shrinkage, etc. for Respondent's Gas
Processed by Others
5 812 Gas Used for Other Utilig Operations - Credit
(Reporl separately for each principal use. Group
minor uses.)
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25 Total 3,s25,1 58 1.386.785
FERC FORM NO.2 (12-96)Page 331
Name of Respondent
Avista Conroration
This Report is:
(1) X An OriginalQ) A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
20131o,4
FOOTNOTE DATA
1 Line No.:1 Column: d
Dollar value related to compressor fuel are not seperately recorded. These dollars are included in total gas purchase
costs.
FERC FORM NO.2 552.1
Name oI Kespondent
Avista Corporation
This Reoort ls:(1) finn originat(2\ l--lA Resubmission
Date of Report I Year/Period of Report(Mo, Da, Yi) Io4t11tzo14 | eno of 20'13/Q4
Other Gas Supply Expenses (Account 813)
1 . Report other gas supply expenses by descriptive titles that clearly indicate the nature of such expenses. Show maintenance expenses, revaluation of monthly encroachments
to which any expenses relate. List separately items of $250,000 or more.
Line
No.
Description
(a)
Amount
(in dollars)
(b)
1 Gas Resource Manaqement
2 Labor 6s4,696
3 Labor Loadinq 661,092
4 Other Expenses (Professional Services, Travel, Office Supplies, Training)'136,341
5
6 Requlatory Affairs
7 Labor 106,163
8 Labor Loadinq 1 1 '1,843
I Other Expenses (Tnvel, Transportation, Gas Technology lnstitute psymenb)1s5,515
10
'tl
12
'13
14
15
16
17
18
19
20
21
22
23
24
25 Total 1,825,650
FERC FORM NO.2 (12-96)Page 334
Name of Respondent
Avista Corporation
This Report ls:(1) fiAn Original(2) nA Resubmission
Date of Report(Mo, Da, Yr)
o4l't1t2014
YearHenoo oI Kepon
End of 20'13/Q4
Miscellaneous General Expenses (Account 930.2)
1. Provide the information requesled below on miscellaneous general expenses.
2. For Oher Expenses, show the (a) purpose, (b) recipient and (c) amount of such items. List separately amounts of $250,000 or more however, amounts less than $250,000 may be
grouped i, he number of items of so grouped is shown.
Line
No.
Description
(a)
Amount
(in dollam)
(b)
1 lndustry association dues.309,611
2 Experimental and general research expenses.
a. Gas Research lnstitute (GRl)
b. Othe,
3 Publishing and distributing information and reports to stockholders, trustee, registrar, and transfer
agent fees and expenses, and other expenses of servicing outstanding securities ofthe respondent 12't.299
4 Other expenses
5 Director fees and expenses 356,305
6 Communitv relations 12,625
7 Educational and informational expenses 3,393
8 Rating agency fees 70,518
9 Aircraft operations and fees 83,994
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25 Total 1,321,552
FERC FORM NO.2 (12-96)Page 335
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQl A Resubmission
Date of Report
(Mo, Da, Yr)
0411112014
Year/Period of Report
2013tQ4
FOOTNOTE DATA
335 Line No.:4 Column: b
Other expenses, detail (vendors paid amounts less than $5,000 grouped):
VENDOR
Various vendors < $5,000
Bank of New York Mellon
Citibank NA
Coeur d'Alene Resort
Corporate Credit Card
Davis Hibbitts & Midghall lnc
Desautel Hege Communications
Hanna & Associates lnc
Klundt Hosmer Design
MichaelJ Faulkenberry
Olsten
Pure Works lnc
Steve L Vincent
The Davenport Hotel
Union Bank of California
PURPOSE
Miscellaneous
Miscellaneous
Miscellaneous
Miscellaneous
Miscellaneous
Professional services
Professional services
Professional services
Professional services
Employee misc expenses
Workforce contract
Professional services
Employee misc expenses
Miscellaneous
Miscellaneous
AMOUNT
$225,883
5,751
19,417
6,124
10,865
8,158
6,479
11,926
14,038
11,414
5,990
12,716
6,763
8,050
10,232
FERC FORM NO.2 552.1
This Page Intentionalty Left Blank
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn originat(2) l-lA Resubmission
uare or Hepon(Mo, Da, Yr)
0411112014
YeailPenoo oI Hepon
End of P1BQ3!
Depreciation, Depletion and Amortization of Gas Plant (Accts 403, 404.1, 404.2,404.3,405) (Except Amortization of
Acquisition Adiustments)
subaccount or functional classifications other than those pre-printed in column (a). lndicate in a footnote the manner in which column (b) balances are
Section A, Summary of Depreciation, Depletion, and Amortization Charges
Line
No.Funclional C lass if icatio n
(a)
Depreciation
Expense
(Account 403)
(b)
Amortization
Expense for
Asset
Retirement
Cosb
(Account
403.1) (c)
Amortization and
Depletion of
Producing Natural
Gas Land and Land
Rights
(Account 404.'l)
(d)
Amortization of
Underground Storage
Land and Land
Righb
(Account 404.2)
(e)
1 lntangible plant 227
2 Production plant, manufactured gas
3 Production and gathering plant, natural gas
4 Producb extraction planl
5 Underyound gas storage plant 653,677
6 Otherstorage plant
7 Base load LNG terminaling and processing plant
8 Transmission plant
9 Distribution plant 1 s,883,269
10 General plant 709,279 3,139
11 Common plantgas 3,945,082 7,980
12 TOTAL 21,191,307 1 1,346
FERC FORM NO.2 (12-96)Page 336
Name of Respondent
Avista Corporation
This Reoort ls:(1) fien originat(2) [-lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Depreciation, Depletion and Amortization of Gas Plant (Accts 403, 404.1 , 404.2, 404.3,405) (Except Amortization of
Acquisition Adiustments) (continued)
lepreciation charges, show in a footnote any revisions made to estimated gas reserves.
rrovisions and the plant ilems to which related.
Section A. Summary of Depreciation, Depletion, and Amortization Charges
Line
No.
Amortization of
Other Limitedterm
Gas Plant
(Account 404.3)
(0
Amortization of
Other Gas Plant
(Account 405)
(q)
Total
(b to s)
(h)
Functional Classifi cation
(a)
1 479,570 479,797 lntangible planl
2 Production plant, manufac{ured gas
3 Productjon and gathering plant, natural gas
4 Products extrac{ion planl
5 653,677 Underground gas storage plant
6 Other storage planl
7 Base load LNG terminaling and processing planl
8 Transmission planl
15,883,269 Distribution plant
10 712,418 General plant
11 2,530,977 6,484,039 Common plantgas
12 3,010,547 24,213,200 TOTAL
FERC FORM NO.2 (12-96)Page 337
Name of Respondent
Avista Corporation
This Reoort ls:(1) finn originat(2) l_lA Resubmission
uale oI Kepon(Mo, Da, Yr)
04111t2014
YearPenoo oI Kepon
End of 2013/Q4
Depreciation, Depletion and Amortization of Gas Plant (Accts 403, 404.1, 404.2, 404.3,405) (Except Amortization of
Acquisition Adjustments) (continued)
4. Add rows as necessary to completely report all data. Number the additional rows in sequence as 2.01,2.02,3.01 , 3.02, elc.
Section B. Factors Used in Estimating Depreciation Charges
Line
No.Functional Classification
(a)
Plant Bases
(in thousands)
(b)
Applied Depreciation
or Amortization Rates
(percent)
Icl
1 Produclion and Gatherinq Plant
2 Offshore (footnote detailsl
3 0nshore (footnote details)
4 Underoround Gas Storaoe Plant ffootnote details)
5 Transmission Planl
o Otfshore (footnote details)
7 Onshore (footnote details)
8 General Plant (footnote details)
I
10
11
12
13
14
15
FERC FORM NO.2 (12-95)Page 338
Name of Respondent
Avista Corporation
This ReDort ls:(1) fien Original(2\ l_lA Resubmission
uare or Kepon(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Particulars Concerning Certain lncome Deductions and lnterest Charges Accounts
Report the informalion specified below, in the order given, for the respective income deduction and interest charges accounts.
period of amortization.
may be grouped by classes within the above accounts.
(c) lnterest on Debt to Associated Companies (Account 430)-For each associated company that incuned interest on debt during the year, indicate the amount and interest rate
which interest was incuned during the year.
(d) Other lnterest Expense (Acmunt 431 ) - Report details including the amount and interest rate for other interest charges incurred during the year.
Line
No.
Item
(a)
Amount
(b)
1 Acc. 425.0 - MISCELLANEOUS AMORTIZATIONS
2 Items Under $250,000
2 Total - 425.00
4 Acct. 426.10 - DONATIONS
5 Land Expressions - Huntinqton Park Renovation Donation to City of Spokane 1 ,111,582
6 Items Under $250,000 2,208,855
7 Total 426.10 3,320,437
8 Acct.426.20 - LIFE INSURANCE
Otflcers Life 1 79,309
10 SERP 2.326,128
11 Items Under $250,000 94,459
12 f od426.20 2,599,896
't3 Acct 426.30 - PENALTIES
14 Items Under $250,000 109,224
15 Total 426.30 109,224
16 Accl.426.40. EXPENDITURES FOR CERTAIN CIVIC, POLITICAL, AND RELATED ACTIVITIS
17 Items Under $250,000 '1,605,677
18 Total 426.40 1,605,677
19 Accl.426.50 - OTHER DEDUCTIONS
20 Executive Defened Compensation 1,5M,705
21 Davis Wright Tremaine LLP - Legal Services for Acquisition of AERC 409,295
22 UBS Securities LLP - Transaction Services for Acquisition of AERC 400,000
23 Hanna & Associates, lnc. - Ma*eting Services 274,908
24 Items Under $250,000 1,697,569
25 Total 426.50 4,366,477
26 AccT.43O.OO. INTEREST ON DEBT TO ASSOC. COMPANIES
27 Avista Capital ll (long{erm debt) (variable nte ranged from 1.11 to '1.19 perQ 467,113
28 Avista Capital, lnc.283,399
29 Total 430.00 750,5',12
30 Acct 431.OO . OTHER INTEREST EXPENSE
31 lnlerest on electric defenals 817,140
32 lnterest on natural gas defenals 477,150
33 lnterest on committed line of credit 777,499
34 Items Under $250,000 54 1,674
35 Total 431.00 2,6't3,463
FERC FORM NO.2 (12-96)Page
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiAn originat(2) l_lA Resubmission
Date of Report(Mo, Da, Yr)
0d.|1112014
YearPefloo or Kepon
End of 20134Q1
Regulatory Commission Expenses (Account 928)
or cases in which such a body was a party.
2. ln column (b) and (c), indicate whether the expenses were assessed by a regulatory body or were othenivise incuned by the utility.
Line
No.
Description
(Fumish name of regulatory commission
or body, the docket number, and a
description of the case.)
(a)
Assessed by
Regulatory
Commission
(b)
Expenses
of
Utility
(c)
Total
Expenses
to Date
(d)
Defened in
Account'182.3
at Beginning
of Year
(e)
1 Federal Energy Regulatory Commission
2 Charges include annual fee and license fee
3 for the Spokane River Project, the Cabinet
4 Gorge Project and Noxon Rapids Project
2,451,578 148,440 2,600.018
5
6 Washington Utilities and Transportation Commission
7 lncludes annual fee and various other electric dockets
957,405 343,829 1 ,301,234
8
9 lncludes annual fee and various other natural gas
r{onketc 293,547 139,544 433,091
10
11 ldaho Public Utilities Commission
12 lncludes annual fee and various other electric dockets
573,860 227,806 801,666
13
14 lncludes annual fee and various other natural gas
dockets 144,134 95,022 239,156
15
16 Public Utility Commission of Oregon
17 lncludes annual fee and various other dockets
492,558 658,226 '1,150,784
18
19 Not directly assigned electric
1,13s,947 1,135,947
20 Not directly assigned natural gas
433,989 433,989
2'.1
22
23
24
25 Total 4,913,082 3,182,803 8,095,885
FERC FORM NO.2 (12-96)Page 350
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn Originat(2) l-lA Resubmission
Date of Report
(Mo, Da, Yr)
04t1112014
Year/Period of Report
End of 2013/Q4
Regulatory Commission Expenses (Account 928)
3. Show in column (k) any expenses incurred in prior years hat are being amortized. List in column (a) the period of amortization.
4. ldentify separately all annual charge adjustments (ACA).
5. List in column (f), (g), and (h) expenses incuned during year which were charges cunently to income, plant, or other accounb.
6. Minor items (less than $250,000) may be grouped.
Line
No.
Expenses
lncuned
During Year
Charged
Cunently To
Department
(fl
Expenses
lncurred
During Year
Charged
Cunently To
Acmunt No.
(o)
Expenses
lncurred
During Year
Charged
CunenUy To
Amount
(h)
Expenses
lncuned
During Year
Defened to
Account
182.3
(i)
Amortized
During Year
Contra
Account
(i)
Amortized
During Year
Amount
(k)
Defened in
Account 182.3
End ofYear
fl)
1
2
3
4
Electric 928 2,600,0't8
b
7
Electric 928 1,301,234
8
I
Gas 928 433,091
10
11
12
Electric 928 801,666
13
14
Gas 928 239,1 56
15
16
17
Gas 928 1,1 50,784
18
19
Electric 928 1,135.947
20
Gas 928 433,989
21
22
23
24
25 8,095,885
FERC FORM NO.2 (12-96)Page 351
Name ot Kespondent
Avista Corporation
lnts Heoon ls:(1) []An Originat(2) l-lA Resubmission
uate or Kepon(Mo, Da, Yr)
04111t2014
YeailF,enoo or Kepor
End of 2013/Q4
Employee Pensions and Benefits (Account 925)
1. Report below the items contained in Account 926, Employee Pensions and Benefits.
Line
No.
Expense
(a)
Amount
(b)
1 )ensions - defined benefit plans 345,783
2 Pensions - other
3 )ost-retirement benefib other than pensions (PBOP)
4 )os! employment benefit plans
5 )ther (Specifo)
6
7
I
o
10
1'.!
't2
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
Total 345,783
FERC FORM NO.2 (NEW 12-071
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Reoort ls:(1) fiRn Original(2) l-lA Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
End of 2013/Q4
Distribution of Salaries and Wages
and Other Accounts, and enter such amounls in the appropriate lines and mlumns provlded. Salaries and wages billed to the Respondent by an affiliated company musl be assigned to
the particular operating function(s) relating to the expenses.
reporting detail of other accounts, enler as many rows as necessary numbered sequentially starting with 75.01, 75.02, etc.
Line
No.
Classification
(a)
Direct Payroll
Distribution
(b)
Payroll Billed
by Affiliated
Companies
(c)
Allocation of
Payroll Charged
for Clearing
Accounts
(d)
Total
(e)
3 Production 9,813,365 9,813,365
4 Transmission 2,873,835 2,873,835
5 Distribution 6,807,675 6,807,675
0 Customer Accounb 6,785,677 6,785,677
7 Customer Service and lnformational 673,333 673,3s3
R Sales 4,691 4,691
o Administrative and General 19,780,951 '19,780,951
10 TOTAL Operation (Total of lines 3 thru 9)46,739,527 46,739,52i
12 Production 3,199,050 3,199,05(
13 Transmission 1,032,292 1,032,29i
14 Distribution 4,1 10,260 4,1 10,26(
15 Administrative and Genenl 12.214,21t 12,214,21a
16 TOTAL Maintenance {Total of lines 12 thru '15)8,341,602 12,214,21.20.555.817
18 Production flotal of lines 3 and 12)13,012,415 13,012,41a
19 Transmission (Total of lines 4 and 13)3,906,1 27 3.906.127
20 Distribution (Total of lines 5 and 14)10.917.935 10,917,93a
21 Customer Acc,ounts (line 6)6,785,677 6.785,677
22 Customer Service and Informational (line 7)673,333 673,33:
23 Sales (line 8)4,691 4,69'l
24 Administrative and General (Total of lines 9 and 15)19,780,951 12,214,211 31,995,16(
25 TOTAL Openalion and Maintenance Ootal of lines '18 thru 24)55,081,129 12.2',t4.211 67,295,344
28 Production - Manufaclured Gas
29 Produc{ion - Natural Gas(lncluding Exploration and Development)
30 Other Gas Suoolv 760,859 760,8s!
31 Storaoe, LNG Terminalinq and Processinq 1 0,98t 10,989
32 Transmission
33 Distribution 3,829,25t 3,829,256
34 Guslomer Accounts 2,641,261 2,6/.1,267
35 Customer Service and lnformational 304,69'304,692
36 Sales 1,23(1,230
37 Administrative and General 7,385,88i 7,385,882
38 TOTAL Operation (Total of lines 28 hru 37)14,934,17!14,934,175
40 Production - Manufactured Gas
41 Production - Natural Gas(lncluding Exploration and Development)
42 Other Gas Supply
43 Storaoe. LNG Terminalino and Processino
44 Transmission 1,046,251 1,046,252
45 Distribution 2,819,587 2,8'19,587
FERC FORM NO.2 (REVISED)Page 354
Name of Respondent
Avista Corporation
This Report ls:(1) E]Rn Originat(2\ l-lA Resubmission
Date of Report(Mo, Da, Yr)
04t1'.U2014
Year/Period of Report
End of 2013/Q4
Distribution of Salaries and Wages (continued)
Line
No.
Classification
(a)
Direct Payroll
Distribution
(b)
Payroll Billed
by Afiiliated
Companies
(c)
Allocation of
Payroll Charged
for Clearing
Accounb
(d)
Total
(e)
46 Administrative and General 4,193,9s,4,'193,954
47 TOTAL Maintenance (Total of lines 40 thru 46)3,865,83!4,193,95,8,059,793
48 Gas (Continued)
50 Production - Manufactured Gas (Total of lines 28 and 40)
5'1 Production - Natural Gas (lncluding Expl. and Dev.)(ll. 29 and 41)
52 Other Gas Supply (Total of lines 30 and 42)760,8s!760,859
53 Storage, LNG Terminaling and Processing (Total of ll. 31 and 43)10,98!1 0,989
54 Transmission (Total of lines 32 and 44],1.046.2s1 1,046,252
55 Distribution (Total of lines 33 and 45)6,648,84:6,648,843
56 Customer Accounts (Total of line 34)2,641,26i 2,641,267
57 Customer Service and lnformational (Total of line 35)304,69i 304,692
58 Sales (Total of line 36)1,23(1,230
59 Administrative and General (Total of lines 37 and 46)7.385.88i 4,193,95,'l 1,579,836
60 Total Operation and Maintenance (Total of lines 50 thru 59)1 8,800,014 4,193,95,22,993,968
62 Operation and Maintenance
63 TOTAL ALL Utility Dept. (Total of lines 25, 60, and 62)73,881,14:16,408,'r6r 90,289,312
65 Construc'tion (By Utility Departments)
66 Electric Plant 23,565,51i 4,494,56r 28,060,085
67 Gas Plant 6.314,474 1.718.03:8,032,s06
68 Other
69 TOTAL Construction (Total of lines 66 thru 68)29,879,99(6,212,60 36,092,591
70 Plant Removal (Bv Utilitv Deoartments)
71 Electric Planl 1,958,817 5,786,39:7,745,210
72 Gas Plant 81,43:1,623,511 1]04,952
73 Other
74 TOTAL Plant Removal (Total of lines 71 thru 73)2.040.25(,7,409,91 9,450,162
75 Other Accounts lSoecifv) (footnote details)36,274,737 30,102,066 ;:,,i.11, i,-:i.ij.,t.0; I 721671
76 T0TAL OtherAccounb 36,274,737 30,102,066 6,172,671
77 TOTAL SALARIES AND WAGES 142,076,12t 71,384 142.004.736
FERC FORM NO.2 (REVISED)Page 355
Name of Respondent
Avista Corporation
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
YeariPeriod of Report
2013to'4
FOOTNOTE DATA
Other Accounts (
Stores Expense (163)
Unamortized debt expense (181)
Regulatory Assets (182)
Preliminary Survey and lnvestigation (183)
Small Tool Expense (184)
Miscellaneous Deferred Debits (1 86)
Capital Stock Expense (214)
Merchandising Expenses (416)
Non-operating Expenses (41 7)
Expenditures of Certain Civic, Political and
Related
Activities (426)
Employee lncentive Plan (232380)
DSM Tarrif Rider and Payroll Equalization Liability
(242600,242700)
lncentive / Stock Compensation (238000)
(1,959,48
(3,367,e04
(8,098,154)
(16,676,525)
0
0
0
(16,331)
0
2,685,152
0
0
597,199
0
973,187
0
1,810,205
123,259
0
0
354 Line No.:7 :e
1,959,483
0
0
(16,331)
3,367,904
2,685,152
0
0
597,1 99
973,187
8,098,154
18,486,730
123,259
TOTAL Other Accounts
FERC FORM NO.2 (1 552.1
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Report ls:(1) [An Original(2) l_lA Resubmission
Date of Report
(Mo, Da, Yr)
o4111t2014
Year/Period of Report
End of 2013/Q4
Charges for Outside Professional and Other Consultative Services
except those which should be reported in Account 426.4 Expenditures for Certain Civic, Political and Related Activilies.
(a) Name of person or organization rendering services.
(b) Total charges for the year,
2. Sum under a description 'Othef, all of the aforemenlioned services amounting to $250,000 or less.
3. Total under a description "Total', the total of all of the aforementjoned services.
according to the instructions for that schedule.
Line
No.
Description
(a)
Amount
(in dollars)
(b)
AECOM TECHNICAL SERVICES INC.488,064
2 BAKER CONSTRUCTION & DEVELOPMENT INC.1,045,329
3 BLACK & VEATCH CORPORATION 456,911
4 CERIUM NETWORKS 294,832
5 COEUR D'ALENE TRIBE 825,077
b COLUMBIA GRID 360,324
a DAVIS WRIGHT TREMAINE LLP 1,057,171
I DINERO SOLUTIONS LLC 424,249
9 ELECTRICAL CONSULTANTS INC.96't,400
'10 EP2M LLC 525,687
11 FIVE POINT PARTNERS LLC 6,1 35,s48
12 GARCO CONSTRUCTION INC.1,792,938
13 HANNA & ASSOCIATES INC.479,029
14 HAWORTH 1 ,089,519
15 HP ENTERPRISE SERVICES 1,347,528
16 IBM CORPOMTION 5,263,933
17 IDAHO DEPT. OF FISH & GAME 251,810
18 INTEGRAL ANALYTICS INC.316,255
19 INTELLECT 875,038
20 KENASTON CORPOMTION 445,689
21 LAND EXPRESSIONS 3,303,223
22 MAX J KUNEY COMPANY 282,224
23 MCKINTRY ESSENTION INC.9,095,572
24 MOSAIC COMPANY 982,782
25 MWH AMERICAS INC.555,064
26 NORTH IDAHO MARITIME 304,s00
27 NORTHWEST HYDRAUTIC CONSULTANTS LTD 796,400
28 OPOWER INC.298,900
29 PAINE HAMBLEN LLP 551,074
30 PILLSBURY WINTHROP SHAW PITTMAN LLP 325,030
3'1 POWER CITY ELECTRIC 254,906
32 PRO BUILDING SYSTEMS 305,609
33 QUANTUM SOLUTIONS LLC 411,290
34 SAPERE CONSULTING INC.531,289
35 OTHER 1 8,696,387
FERC FORM NO. 2 (REV|SED)Page 357
Name of Respondent
Avista Corporation
This Report ls: I Date of Report(1) fiRn Orisinat | (Mo' Da' Y0
(2) l-lA Resubmission | 04111t2014
Year/Period of Report
End of 2013/Q4
Transactions with Associated (Affiliated) Companies
1, Report below the information called for conceming all goods or services received from or provided to associated (afiiliated) companies amounting to more than $250,000.
2. Sum under a description 'Other', all of the aforementioned goods and services amounting to $250,000 or less.
3. Total under a description 'Total", the total of all of the aforementioned goods and services.
4. Where amounb billed to or received from the associated (affiliated) company are based on an allocation process, explain in a lootnote the basis of the allocation.
Line
No.
Description of the Good or Service
(a)
Name of Associated/Afiiliated Company
(b)
Accoun(s)
Charged or
Credited
(c)
Amount
Charged or
Credited
(d)
2
3
4
5
6
7
8
I
10
11
12
13
14
15
to
17
18
19
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (NEW 12-071 Page 358
Name of Respondent
Avista Corporation
This ReDort ls:(1) []Rn Orisinat(2\ I_lA Resubmission
uate oI i<epon(Mo, Da, Yr)
04111t2014
YearHenoo or Kepon
End of @[
Gas Storage Projects
1. Report injections and withdrawals ofgas forall storage projects used by respondent
Line
No.
Item
(a)
Gas
Belonging to
Respondent
(Dth)
b)
Gas
Belonging to
Others
(Dth)
(c)
Total
Amount
(orh)
(d)
2 January
3 February 32,414 32,414
4 March
5 April
6 May '1,412,906 1,412,906
7 June 1,918,5't8 1,918,518
8 July 1,916,389 1,916,389
9 Auqust 1,991,1 10 1,99'1,1 10
10 September 1.398.138 1,398,1 38
11 Oclober 1 50,917 150,917
12 November 279,244 279,244
13 December 201,266 20't,266
14 TOTAL (Total of lines 2 thru 13)9,300,902 9,300,902
16 January 5,125.478 5j2s,478
17 February 560,282 s60,282
18 March 1,669,082 1,669,082
19 April 140.483 140,483
2A May 97,18'l 97,181
21 June 93,097 93,097
22 July 41,630 41,630
23 Auqusl 97,2'.t1 97,211
24 September 103,1 55 '103,'r55
25 Octobet 41,607 4'r,607
26 November 1,742,730 1,742,730
27 December 2,755,114 2.755.114
28 TOTAL (Total of lines 16 thru 27)12,467,0s0 12,467,050
FERC FORM NO.2 (12.96)Page 512_
Name oI F(esponoent
Avista Corporation
I nrs F(eDon ts:(1) SRn Origlnat(2) nA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Report
End of 2013/Q4
Gas Storage Projects
1. 0n line 4, enter the total storage capacity certificated by FERC.
2. Report total amounl in Dth or olher unit, as applicable on lines 2, 3, 4, 7. lf quantity is converted from Mc{ to Dth, provide conversion factor in a footnote.
Line
No.
Item
(a)
Total Amount
(b)
STORAGE OPEMTIONS
1 Too or Workinq Gas End of Year 8,528.000 Dth
2 Cushion Gas (lncludino Native Gas)7,730,668 Dth
3 Total Gas in Reservoir (Total of line 1 and 2)'16,258,668 Dth
4 Certifi cated Storaoe CaDacitv '16,258,668 Dth
5 Number of lniection - Withdrawal Wells 54
b Number of Observation Wells 48
7 Maximum Days' Withdnawal from Storage 1 64,364 D$r,tr, li:.::rii
8 Date of Maximum Davs' Withdrawal 1A05t2013
LNG Terminal Companies (in Dth)
10 Number of Tanks
11 CaoaciW of Tanls
12 LNG Volume
13 Received at'Ship Rail"
14 Translened to Tanks
15 Withdrawn from Tanks
16 -Boil Off Vaporization Loss
FERC FORM NO.2 (12-96)Page 513
Name of Respondent
Avista Corooration
This Report is:
(1) X An Originale\ A Resubmission
Date of Report
(Mo, Da, Yr)
04111t2014
Year/Period of Report
20131Q4
FOOTNOTE DATA
Mcf converted to Dth using factor of 1.04
FERC FORM NO.2 552.1
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Reoort ls:(1) []Rn Orlsinal(2) l_lA Resubmission
Date of Report(Mo, Da, Yr)
04t11t2014
Year/Period of Reporl
End of 2013/Q4
Auxiliary Peaklng Facilities
nstallations, gas liquefaction plants, oil gas sets, etc.
2. For mlumn (c), lor underground storage proiects, report the delivery capacity on February 1 of the heating season overlapping the year€nd for which this report is submitted.
:or other facilities, report the rated maximum daily delivery capacities.
ieparate plant as contemplated by general instruction 12 of the Uniform System of Accounb.
Line
No.
Location of
Facility
(a)
Type of
Facility
b)
Maximum Daily
Delivery Capacity
of Facility
Dth
(c)
Cost of
Facility
(in dollars)
(d)
Was Facility
Operated on Day
of Highest
Transmission Peak
Deliverv?
1
2 Chehalis, Washington Underground Natural Gas 358,800 35,407,893 Yes
Storage Field
4 Washington & ldaho Supply
5
o Chehalis, Washington Underground Natunal Gas 39,867 5,840,097 Yes
7 Storage Field
8 Oregon Supply
I
10 Chehalis, Washington Underground Natural Gas 2,623 Yes
11 Storage Field
12 Oregon Supply
13
1n Rock Springs, Wyoming Underground Nalural Gas 186,125 Yes
't5 Storage Field
16 Washington & ldaho Supply
17
18 Rock Springs, Wyoming Underground Natural Gas 63,875 Yes
19 Storage Field
20 Oregon Supply
21
22
23
24
25
26
27
28
29
30
FERC FORM NO.2 (12-96)Page 519
Name of Respondent
Avista Corooration
This Report is:
(1) X An OriginalQ\ A Resubmission
Date of Report
(Mo, Da, Yr)
04t11t2014
Year/Period of Report
2013tQ4
FOOTNOTE DATA
t is a participant in the facilities, not an owner and is a fee for demand deliverabilitv and caoacitv.
Respondent is a participant in the facilities, not an owner and is charged a fee for demand deliverability and capacity.
not an owner and is a fee for demand deliverabilitv and
FERC FORM NO.2 552.1
Name oI Kespondent
Avista Corporation
tnts Keoon ts:(1) fien Originat(2) l-lA Resubmission
uale or Kepon(Mo, Da, Y0
04t1112014
YeailF,enoo or Hepon
End ol 2ilil44
Gas Account - Natural Gas
1, The purpose of this schedule is lo account for the quantity of natural gas received and delivered by the respondent.
2. Natural gas means either natural gas unmixed or any mixture of natural and manufmtured gas.
3. Enter in column (c) the year to date Dth as reported in the schedules indicated for the items of receipts and deliveries.
4. Enler in column (d) the respective quarter's Dth as reported in the schedules indicated for the items of receipts and deliveries.
5. lndicate in a footnote the quantities of bundled sales and transportation gas and speci! the line on which such quantities are listed.
6. lf the respondent operales two or more systems which are not interconnecled, submit separate pages for this purpose.
were not transporled through any interstate prtion of the repo(ing pipeline.
L lndicate in a footnote the speciflc gas purchase expense account(s) and related to which the aggregate volumes reporled on line No, 3 relate,
reporting year, and (3) contract storage quantities.
footnotes,
Line
No.
Item
(a)
Ref. Page No. of
(FERC Form Nos,
2t2-A)
(b)
TotalAmount
of Dth
Year to Date
(c)
Cunent Three
Months
Ended Amount of Dth
Quarterly Only
01 Name of System:
2 GAS RECEIVED
3 Gas Purchases (Accounts 800-8051 86,069,73i 24,818,408
4 Gas of Others Received for Gathering (Account 489.'l)303
5 Gas of Others Received for Transmission (Account 489.2)305
6 Gas of Othen Received for Distribution (Account 489.3)301 15.997,64:4,589,208
7 Gas of Othen Received for Contract Storaoe (Account 489.4)307
I Gas of Othen Received for Production/Extraclion/Processinq (Account 490 and 491 )
9 Exchanoed Gas Received from Ohers (Account 806)328
10 Gas Received as lmbalances (Acmunt 806)328 42,433'( 114,549)
11 Receipts of Respondents Gas Transported by Others (Account 858)332
12 Other Gas Withdrawn from Storaqe (Explain)3,166,75:3,907,750
13 Gas Received from Shippers as Compressor Station Fuel
14 Gas Received from Shiooers as Lost and ljnaccounted ior
15 Oher Receipts (Specify) (footnote details)
16 Total Receipb (Total of lines 3 thru 15)105.191.69f 33,200.8't7
17 GAS DELIVERED
'18 Gas Sales (Accounts 480-484)87.617.21C 28,078,956
19 Deliveries of Gas Gathered for Othen (Account 489.1)303
20 Deliveries of Gas Transported for Others (Account 489.2)305
21 Deliveries of Gas Distributed for Others (Account 489.3)301 '15,997,643 4,589,208
22 Deliveries of Contract Storage Gas (Account 489.4)307
23 Gas of Others Delivered for Production/Extraction/Processinq (Account 490 and 491 )
24 Exchange Gas Delivered to Others (Account 806)328
25 Gas Delivered as lmbalances (Account 806)328
26 Deliveries of Gas to Otheo for Transoortation (Account 858)332
27 Other Gas Delivered to Storaoe (Exolain)
28 Gas Used for Compressor Slation Fuel 509 1,576,842 532,6s3
29 Other Deliveries and Gas Used for Other Operations
30 Total Deliverles (Total of lines 18 thru 29)105,1 91,695 33,200,817
31 GAS LOSSES AND GAS UNACCOUNTED FOR
32 Gas Losses and Gas Unaccounted For
33 TOTALS
34 Total Deliveries, Gas Losses & Unaccounted For (Total of lines 30 and 32)1 05,1 91,695 33,200,817
FERC FORM NO. 2 (REV 0l-11)Page
Awl-G,
Avista Corp.
2013
IDAHO
State Natural Gas Annual Report
(IC 61-405)
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Report is:
lxl nn originat
f] n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 20't3 lQ4
STATEMENT OF UTILITY OPERATING INCOME . IDAHO
lnstructions
1. Foreachaccountbelow,reporttheamountattributabletothestateofldahobasedonldahojurisdictionalResultsofOperations.
2. Provide any necessary important notes regarding this statement of utility operating income in a footnote in the available space at the bottom of this page
Lrn€
No.Account
(a)
Refer to
Form 2
Page
(b)
TOTAL SYSTEM . IDAHO
Current Year
(c)
Prior Year
(d)
UTILIry OPERATING INCOME
2 Coeratino Revenues (400)300-301 455.520.663 450.171.O70
3 3oeratino Exoenses
4 Coeration Exoenses (401 )317-325 255.611.O27 313.684.985
5 Maintenance ExDenses (402)317-325 19.652,814 20,099,052
6 Deoreciation Exoense (403)336-338 34.901.456 33.505.585
7 Deoreciation Exoense for Asset Retirement Costs (403.1 336-338
8 Amortization & Depletion of Utilitv Plant (404-405)336-338 3.303.423 3.047.756
I Amortization of Utilitv Plant Acouisition Adiustment (406)336-338 67,304 67,304
10 Amort. of Prooertv Losses. Unrecov Plant and Requlatorv Studv Costs (407)
11 Amortization of Conversion Exoenses (407)
12 Reoulatorv Debits (407.3)5.300.546 1.870.742\
13 lLess) Reoulatorv Credits (407.4)u.551.54e (5 824 027
14 Taxes Other Than lncome Taxes (408.1 262-263 '16.302.615 1 4.639.363
15 lncome Taxes - Federal (409.1 262-263 13.O22.062 6 730 137
16 - Other (4Og 1 262-263
17 Provision for Deferred lncome Taxes (410.1 234-235 8,s80,886 1 0.655.054
18 [Less) Provision for Deferred lncome Taxes-Ct. (411.1 23/.-235
19 lnvestment Tax Credit Adiustment - Net (41 1.4)(85.27 (85 353)
20 f l ess) Gains from DisDosilion of L.,tilitv Plant (411 6)
21 Losses from Disoosition Of Utilitv Plant (411.7)
22 lless) Gains from DisDosition of Allowances (41 1.8)
23 Losses from Disposition of Allowances (41 1.9)
24 Accretion ExDense A1 1. 1 O\
25 TOTAL Utility Operatinq Expenses (Total of line 4 throuqh 24)392.'10s.317 394.649.1 14
26 Net Utilitv ODeratino lncome (Total line 2 less 25)63 41 5 346 55.521.956
IDAHO STATE NATURAL GAS ANNUAL REPORT 0C 61-405)G.tD.114-115
Name of Respondenl
Avista Corporation
This Report is: I Date of Report
lx I An Orlginat I mm/dd/yyyy
I nResubmission I ot:n-zou
Year / Period of Report
End of 2013 / Q4
TATEMENT OF UTILIW OPERATING INCOME.IDAHO
lnstructions
or in a separate schedule.
3. Explain in a footnote if the previous year's figures are different from those reported in prior reports.
ELECTRIC UTILITY GAS UTILITY OTHER UTILITY Line
No.Current Year
(e)
Prior Year
(f)
Current Year
(o)
Prror Year
(h)
Current Year
(i)
Prior Year
(i)
1
352.695.900 354.298.765 't02.824.763 95.872.305 2
3
216.407 227 237.642.238 79.203.800 76.O42.747 4
17.112.70',1 17.657 2 540 1',13 24411
29.855.837 28.775.543 5.045.6't 9 4.730.042 6
7
2.715.242 2.502.863 588.141 544.893 8
67.304 o /, JU4 9
'10
11
5,300,546 1.870.742\12
ta 551 546.(5.824.O21 '13
13 593 242 12.291.725 2.709.373 2.347.638 14
9.556.909 6,585,305 3,465,153 144.832 15
'16
8.265.280 8,217.502 315 605 2.437,552 17
'18
$9.274 (68.625 15 996 fi6.72t 19
20
21
22
23
24
298.253.508 305,976,986 93 851 809 88,672.128 25
54.442.392 48.321.779 8.972.9U 7.200.177 26
IDAHO STATE I,IATURAL GAS ANNUAL REPORT (lC 61.{05)G.tD.'t 14-115
Name of Respondent
Avista Corporation
This Report is:
lFl nn orisinat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I 04
SUMMARY OF UTILITY PLANT AND ACCUMULATED PROVISIONS FOR DEPRECIA TION. AMORTIZATION AND DEPLETION . IDAHO
lnstructions
1. Report below the original cost of utility plant in service necessary to furnish utility service to customers in the state of ldaho, and the
accumulated provisions for depreciation, amortization, and depletion attributable to that plant in service.
2. Report in column (c) the amount for electric function, rn column (d) the amount for gas function, in columns (e), (f), and (g) report other (specify),
Line
No.Account
(a)
Total Company
End of Current Year
(b)
Electric
(c)
Jtilitv Plant
n Service
J Plant in Service (Classified)1 383 513 433 1 118 373 119
4 rrooertv Under Caoital Leases 332.598
4 Plant Purchased or Sold
6 :ompleted Construction not Classified
7 xoerimental Plant Unclassified
o Total (Total lines 3 throuoh 7)1.383.846.032 1 .1 18.373 1 19
9 -eased to Others
10 leld for Future Use 389,592 1 99 007
11 lonstruction Work in Prooress 53 164 926 34.972 117
12 qcouisition Adiustments
13 Total Utility Plant (Total lines 8 throuoh 12)1.437 .400.549 1.153.544.243
14 qccumulated Provision for Deoreciation Amortization and Deoletion 497 092 365 411 617 433
15 \et Utilitv Plant (Line '13 less line 14)940.308. 1 84 741.926.810
16 )etail of Accumulated Provision for Depreciation. Amortization. and Deoletion
1 n Service
'18 feDreciation 487 534 528 408.629.637
19 qmortization and Deoletion of Producino Natural Gas Lands / Land Riohts
20 qmortization of Underoround Storaoe Lands / Land Riohts
21 \mortization of Other Utility PIant 9,557,838 2 987 796
22 Total (Total lines 18 throuoh 21 497.092 365 411.617 .433
23 -eased to Others
24 )epreciation
25 \mortization and Deoletion
?6 Total Leased to Others
27 {eld for Future Use
28
?9 qmortization
30 Total Held for Future [Jse
31 \bandonment of Leases (Natural Gas)
32 Amortization of Plant Acouisition Adiustment
33 Total Accum ulated Provision (Total lines 22, 26. 30. 31 . 32\497,092,365 411 6',t7 433
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)G.tD.200-201
Name of Respondent
Avista Corporation
This Report is:
lFl nn originat
! n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
SUMMARY OF UTILITY PLANT AND ACCUMULA rED PROVISIONS FOR DEPRECIATION. AMORTIZATION AND DEPLETION.IDAHO
lnstructions
and in column (h) common function.
3. ln order to accurately reflect utility plant in service necessary to furnish utility service to customers in the state of ldaho, electric and gas
plant not directly assigned is allocated to the state of ldaho as appropriate and included in column (c) and (d).
Gas
rdt
Other (Specify)
(e)
Other (Specrfy)
(f)
Other (Specify)
(s)
Common
(h)
Line
No.
1
2
182.785,848 82.354.467 3
273 693 58.90s 4
5
5
7
183 0s9 540 82.413.372 8
q
190.585 10
2.037.639 16 155 170 11
12
'185.287.764 98.568.542 13
62.1 08.453 23,366,480 14
123.179.312 75 202 062 15
16
17
61.747 .525 17 157 365 18
19
20
360.927 6.209. 'r 'r4 21
62.108.453 23,366,480 22
23
24
25
?6
27
28
29
30
31
32
62.1 08.4s3 23,366,480 33
G.tD.200-201IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)
Name of Respondent
Avista Corporation
This Report is:
lFl Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS PLANT lN SERVICE - IDAHO (Account 1O1.1O2.103 and {06)
lnstructions
1 . Report below the original cost of gas plant in service necessary to furnish natural gas utility service to customers in the state of ldaho.
lnclude gas plant not directly assigned as allocated to the state of ldaho.
2. ln addition to Account 101 , Gas Plant in Service (Classified), this page and the next include Account 102, Gas Plant Purchased or Sold; Account
103, Experimental Gas Plant Unclassified; and Account 106, Completed Construction Not Classified-Gas.
3. lnclude in column (c) or (d), as appropriate, corrections of additions and retirements for the current or preceding year.
4. For revisions to the amount of initial asset retirement costs capitalized, include by primary plant account increases in column (c), additions, and
reductions in column (e), adjustments.
5. Enclose in parentheses credit adjustments of plant accounts to indicate the negative effect of such amounts.
6. Classify Account 106 according to prescribed accounts, on an estimated basis if necessary, and include the entries in column (c). Also to be included
in column (c) are entries for reversals of tentative distributions of prior year in column (b). Likewise, if the respondent has a significant amount of plant
retirements which have not been classified to primary accounts at the end of the year, include in column (d) a tentative distribution of such retirements,
on an estimated basis, with appropriate contra entry to the account for accumulated depreciation provision. lnclude also in column (d) distributions of
Linr
No.Account
(a)
Balance
Beginning of Year
(b)
Additions
(c)
1 INTANGIBLE PLANT
2 301 Oroanizetion
3 302 Franchises and Consents
4 303 MiscellaneouslntanoiblePlant 640.799
5 TOTAL lntanoible Plant (Total of lines 2 3 and 4)640.799
6 PRODUCTION PLANT
7 Natural Gas Production and Gatherino PlantI325.'l Producino Lands
o 325.2 Producino Leaseholds
10 325.3 Gas Riohts
'11 325.4 Riohts-of-Wav
12 325.5 Other Land and Land Riohts
13 326 Gas Well Structures
14 327 Field Compressor Station Structures
15 328 Field Measurino and Reoulatino Station Eouioment
16 329 Other Structures
17 330 Producino Gas Wells-Well Construction
18 331 Producino Gas Wells-Well Eouioment
19 332 Field Lines
20 333 Field Comoressor Station Eouioment
21 334 Field Measurino and Reorrlatino Station Fouinmenl
22 335 Drillino and Cleanino Eouioment
23 336 PurificationEquioment
24 337 Other EouiDment
25 338 Unsuccessful ExDloration and Develooment Costs
26 339 Asset Retirement Costs for Natural Gas Production and Gatherino Plant
27 I-OTAL Natural Gas Production and Gatherino Plant (Total of lines 8 throuoh 26)
28 rroducts Extraction Plant
29 340 Land and Land Riohts
30 341 Structures and lmprovements
31 342 Extraction and Refinino Eorrinment
32 343 Pioe Lines
33 344 Extracted Products Storaoe EouiDment
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405}G.10.204-205
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS PLANT lN SERVICE - IDAHO (Account 1O1,1O2,103 and 106)
lnstructions
these tentative classifications in columns (c) and (d), including the reversals of the prior year's tentatrve account distributions of these amounts. Careful
observance of these instructions and the texts of Accounts 101 and 106 will avoid serious omissions of the reported amount of respondent's plant
actually in service at end of year.
7. Show in column (0 reclassifications or transfers within utility plant accounts. lnclude also in column (f) the additions or reductions of primary account
classifications arising from distribution of amounts initially recorded in Account 102; include in column (e) the amounts with respect to accumulated
provision for depreciation, acquisition adjustments, etc., and show in column (f) only the offset to the debits or credits distributed in column (f) to primary
account classifications.
8. For Account 399, state the nature and use of plant included in this account, and, if substantial in amount, submit a supplementary statement showing
subaccount classification of such plant conforming to the requirement of these pages.
9. For each account comprising the reported balance and changes in Account 102, state the property purchased or sold, name of vendor or purchase, and
dateoftransaction. lfproposedjournal entrieshavebeenfiledasrequiredbytheUniformSystemofAccounts,givealsothedateofsuchflling.
Retirements
(d)
Adjustments
(e)
Transfers
(f)
Balance
End of Year
(q)
Line
No.
1
2
.1
(30 862 609.937 4
(30,862 609,937 5
b
7
I
10
11
12
13
14
15
't6
17
18
19
20
21
22
23
24
25
lb
27
28
29
30
31
32
33
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405}G.tD.204-205
Name of Respondent
Avista Corporation
This Report is:
I Rn original
! n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2c1.3 lA4
GAS PLANT lN SERVICE - IDAHO (Account 101.1O2.103 and 106) (Continued)
Lin(
No.Account
(a)
Balance
Beginning of Year
(b)
Additions
(c)
34 345 Comoressor Equioment
35 346 Gas Measurino and Reoulatino Eouioment
Jb 347 Other Eouioment
37 348 Asset Retirement Costs for Prorfircts Fxlraction Plant
38 TOTAL Products Extraction Plant (Total of lines 29 throuoh 37)
OTAL Natural Gas Production Plant (Total lines 27 and 38)
40 l\ranufactured Gas Production Plant (Submit Suoolementarv redule)
41 TOTAL Production Plant (Total lines 39 and 40)
42 NATURAL GAS STORAGE AND PROCESSING PLANT
43 Underoround Storaoe Plant
44 35O 1 I end 122.139
45 350.2 Riohts-of-Wav 17.949
46 351 Structures and lmorovements 429 070
47 352 Wells 3.766.715
48 352.1 Storaoe Leaseholds and Riohts 76.332
49 352.2 Reservoirs 61.019
50 352.3 Non-recoverable Natural Gas 1.608.443
51 353 Lines 313 448
52 354 Compressor Station Equipment 3.467.631
53 355 Other Eouioment 78,949
54 356 Purification Eouioment 121 1M
55 357 Other Eouioment 466.405
56 358 Asset Retirement Costs for ljnderdround Storaoe Plant
57 IOTAL Underqround Storaoe Plant 10.529.254
58 Jther Storaoe Plant
59 360 Land and Land Riohts
60 361 Structures and lmorovements
61 362 Gas Holders
6t 363 PurificationEouioment
63 363.1 Liquefaction Eouioment
64 363.2 Vaoorizino Eorrinment
65 363.3 Comoressor Eouioment
6h 353 4 Measrrrino and Redulatino For rinmenl
67 363.5 Other Eouioment
68 363.6 Asset Retirement Costs for Other Storaoe Plant
69 IOTAL Other Storaoe Planl (Total of lines 58 throuoh 68)
70 lase Load Liouefied Natural Gas Terminalino and Processino Plant
71 364 1 Land and Land Riohts
72 364.2 Structures and lmorovements
73 364.3 LNG Processino Terminal EouiDment
74 364.4 LNG Transoortation Eorrinment
75 364.5 Measurino and Reoulatino Eouioment
76 364.6 Comoressor Station Forrinmenl
77 364.7 Communications Eouioment
78 364.8 Other EouiDment
79 364.9 Asset Retirement Costs for Base Load Liquefied Natural Gas
80
IOTAL Base Load Liquefied Natural Gas Terminaling and Processing Plant (Total lines 71
hrouoh 79)
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 51405}G.!D.206-207
Name of Respondent
Avista Corporation
This Report is:
I nn originat
I a Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 201'3 lA4
GAS PLANT lN SERVICE - IDAHO (Account 101. 102. 103 and 1051 {Continuedl
Retirements
(d)
Adjustments
(e)
Transfers
(f)
Balanc€
End of Year
(s)
Line
No.
34
35
36
37
38
39
40
41
42
43
1 14n',120,999 44
(167'17.782 45
17.823 446.893 46
fi3.014'3.753.701 47
(712'75.620 48
(5691 60.450 49
( 1 5.007',1 593 435 50
(2,925 3't 0.523 5'l
(9.914 3.457 .717 52
9,480 88 429 53
1. 1 30'120.O24 54
14.788 481 193 55
56
(2.487'10.526.767 57
58
59
60
61
62
63
64
65
65
67
68
59
70
71
72
73
74
75
76
78
79
80
IDAHO STATE NATURAL GAS ANNUAL REPORT (lC 61405)G.tD.206-207
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
o4-11-2014
Year / Period of Report
End of 2013 I A4
GAS PLANT lN SERVICE - IDAHO (Account 1O1-1O2.103 and lO6) (Continued)
Lin€
No.Account
(a)
Balance
Beginning of Year
(b)
Additions
(c)
81 IOTAL Natural Gas Storaoe and Processino Plant (Total of lines 57 69 and 801 10 529 254
82 IRANSMISSION PLANT
83 365 1 Land and Land Riohts
84 365.2 Riohts-of-Wav
366 Structures and lmDrovements
86 367 Mains
87 368 Comoressor Station Eouioment
369 Measurino and Reoulatino Station Eouioment
89 370 Communication Eouioment
90 371 Other Eouioment
91 372 Asset Retirement Costs for Transmission Planl
92 IOTAL Transmission Plant (Total lines 83 throuoh 9'l)
93 DISTRIBUTION PLANT
94 374 Land and Land Riohts 87 805
95 375 Structures and lmDrovements 280.452 25
96 376 Mains 83,568.284 3.954.246
97 377 Comoressor Station Eouiomenl
98 378 Measurino and Reoulatinq Station Eouioment-General 2.110.828 21.U2
99 379 Measurino and Reoulatino Station Eouioment-Citv Gate 4 159724 297
100 380 Services 48.586.580 3.032.374
101 381 Meters 21,575,826 39,568
102 382 Meterlnstallations
103 383 House Reoulators
104 384 House Reoulator lnstalletions
105 385 lndustrial Measurino and Reoulatino Station Eouioment 632.633 353
106 386 Other Propertv on Customers'Premises
107 387 Other Eouioment
108 388 Asset Retirement Costs for Distribution Plant
109 IOTAL Distribution Plant (Total lines 94 throuoh 108)161.OO2.132 7.048.505
110 GE AL PLANT
111 389 Land and Land Riohts
'l't2 390 Structures and lmDrovements 7.488
113 391 Office Furniture end Eduioment 1 00,546
1',t4 392 Transoortation Eouioment 2.017.759 10.651
't1 393 Stores EquiDment
'l 16 394 Tools. Shoo. and Garaoe Eouioment 834.596 33.299
11 395 Laboratorv Eouioment 64.200
118 396 Power Ooerated Eouioment 1 027 143 192.005
1 397 Communication Eouioment 660.431 33.876
120 398 MiscellaneousEouioment
121 Subtotal (Total of Lines '1 1 1 throuoh 120)4.704.675 277.319
't22 399 Other Tanqible Propertv
23 399.1 Asset Retirement Costs for General Plant
24 TOTAL General Plant (Total of lines 121. 122and 123\4.704.675 277.319
25 TOTAL (Accounts 101 end 106'l 1 76,876,860 7 325 824
26 Gas Plant Purchased (See lnstruction 8)
27 :Less) Gas Plant Sold (See lnstruction 8)
28 =xDerimental Gas Plant Unclassified
IOTAL Gas Plant in Service (Total of lines 125 throuoh 128)176,876.860 7,325,824
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)G.tD.208-209
Name of Respondent
Avista Corporation
This Report is:
E-l nn orisinal
[] a Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I A4
GAS PLANT lN SERVICE - IDAHO (Account 101. 102, 103 and 106) (Continued)
Retirements
(d)
Adjustments
(e)
Transfers
(f)
Balance
End of Year
(o)
Line
No.
Q.487',10.526.767 81
82
83
84
85
86
87
88
89
90
91
92
93
87.805 94
5.840 (53)274,584 ot
1.3',t3.752 (6,258)86 202 520 96
97
1 9.95 1 (14'.2,112.37 98
4.160.021 99
35 353 5'r.583.601 100
1 3.304 495 51 1 22 097 601 101
102
103
104
632.986 105
106
107
108
1.388.200 (6.453)495,511 167 .151.4 109
110
111
533 (6,955 112
G.732 93.8,l4 113
40.069 (1 9.594)1.968.747 114
115
47 253 (29.714)790.928 116
8.279 (2,434 53.487 117
20.476 13.'139 1.1 85.533 'l 18
15 475\678.832 119
120
1 16 610 (94.043 4.771.341 121
122
123
1 16 610 (94.043 4.771.341 124
1.504.810 (1 33,495,511 1 83,059,540 125
126
1?7
128
1.s04.810 ( 1 33,845',495,51'r 183,059,540 1?9
IDAHO STATE NATURAL GAS ANNUAL REPORT (lc 61.{05)G.tD.208-209
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
! n Resubmission
Date of Report
mm/dd/yyyy
o4-11-2014
Year / Period of Report
End of 2013/Q4
GAS STORED. IDAHO (Accounts ll7.{. 117-2- 117-3- 1A4-1- 1AA-2- and lM.3)
lnstructions
1. lf during the year ad,iustments \i€re made to the stored gas inventory reported in columns (d), (0, (S), and (h) (such as to conect cumulative
inaccuracies of gas measurements), explain in a footnote (in the available space at the bottom of this page or in a separate schedule) the reason for
the adjustments, the Dth and dollar amount of adjustment, and account charged or credited.
2. Report in column (e) all encroachments during the year upon the volumes designated as base gas, column (b), and system balancing gas, column (c),
and gas property recordable in the plant accounts.
3. State in a footnote, in the available space at the bottom of this page or in a separate schedule, the basis of segregation of inventory between current
and noncurrent portions. Also, state in a footnote the method used to report storage (i.e., fixed asset method or inventory method).
Linr
No.
Description
(a)
(Account
117.1)
(bl
(Account
117.2)
(c)
Noncunent
(Account
117.31
(d)
(Account
't't7.4)
(e)
Current
(Account
'tM.1)
(f)
LNG
(Account
164.2)
(s)
LNG
(Account
164.3)
(h)
Total
(i)
1 3alance at beoinnino of vear 1.772.478 6 3A8 54A 8 l6t 026
2 3as delivered to storaoe 8.517.495 8.517.495
3 3as withdrawn from storaoe 8.927.397 8.927.397
4 )ther debits and credits
5 Jalance at end of vear 1.772.478 5.978.646 7 .751.124
6 Ith 31 7,648 1.974,873 2.292.521
7 {mount per Dth 5.58 3.03 3.38
(1) Fuel is accounted for within injections and withdrawal acrounts.
(2) All gas reported is current !rcrking gas. Avista uses the inventory method to report all working gas stored.
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 514{15)G.tD.220
Name of Respondent
Avista Corporation
This Report is:
I nn originat
f] n Resubmission
Date of Report
mm/dd/yyyy
04-1',t-2014
Year / Period of Report
Endof 2013/Q4
GAS OPERATING REVENUES. IDAHO
lnstructions
1. Report beloiv natural gas operating revenues attributable to the state of ldaho for each prescribed account total in accordance with jurisdictional
Results of Operations.
2. Revenues in columns (b) and (c) include transition costs from upstream pipelines.
3. Other Revenues in columns (0 and (g) include reservation charges received by the pipeline plus usage charges, less revenues reflected in columns
(b) through (e). lnclude in columns (0 and (g) revenues for Accounts 480-495.
Lin€
No.Account
(a)
Revenues for
Transition Costs
and Take-or-Pav
Revenues for
GRI and ACA
Current Year
(b)
Previous Year
(c)
Current Year
(d)
Previous Year
(e)
1 180 Residential Sales
2 [8i Commercial and lndustrial Sales
3 t82 Other Sales to Public Authorities
4 483 Sales for Resale (1)
5 484 lnterdeoartmental Sales
5 485 lntracompany Transfers
7 487 Forfeited Discounts
8 488 Miscellaneous Service Revenues
9 489.1 Revenues from Transportation of Gas for Others
ihrouoh Gatherino Facilities
10 489.2 Revenues from Transportation of Gas for Others
hrouoh Transmission Facilities
11 489.3 Revenues from Transportation of Gas for Others
:hrouoh Distribution Facilities
12 489.4 Revenues from Storino Gas of Others
13 490 Sales of Products Extracted ftom Natural Gas
14 491 Revenues from Natural Gas Processed bv Others
15 492 lncidental Gasoline and Oil Sales
16 Rent from Gas ProDertv
17 494 lnterdeoartmental Rents
18 495 Other Gas Revenues (1)
19 Subtotal
20 496 (Less) Provision for Rate Refunds
21 rOTAL
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)G.tD.300-301
Name of Respondent
Avista Corporation
This Report is:
F-l An orisinat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
Endo 20131Q4
GAS {JPE}(A I IN(i REVENI.IEIi . ILIAHLI
lnstructions
4. lf increases or decreases from previous year are not derived from previously reported figures, explain any inconsistencies in a footnote in the
available space at the bottom of this page or attached in a separate schedule.
5. See pages 108 in the FERC Form 2, lmportant Changes During the QuarterfY'ear, for information on major changes during the year, new service,
and important rate increases or decreases.
6. Report the revenue from transportataon services that are bundled with storage services as transportation service revenue.
Other
Revenues
Total
Operating
Revenues
Dekatherm ol
Natural Gas Line
No.
Current Year
(f)
Previous Year
(o)
Current Year
(h)
Previous Year
(i)
Current Year
(i)
Previous Year
(k)
44,865.073 41,903,81 1 44,865,073 41,903.811 4.731.316 4.423.673 1
22.774.847 21.6',14.522 22.774.847 21.614.522 2.947.351 2 784 757
3
33.1 12.8s0 29.868.942 33.112 850 29.868.942 8.975.001 11 217 223 4
34, 1 30 30,256 34 130 30.256 4.412 3.798 5
6
7
12 102 1 1.838 12.102 1 838 8
I
10
439,240 413,674 439,240 413,674 4,269,837 4,456,597 11
12
13
't4
15
52 52 16
17
2.028.318 2.029.262 2,028.318 2.029.262 18
103 266 612 9s,872,305 103.266 6',t2 95,872,305 19
/441.849'u41.849)20
102 424 763 95,872,305 102.824,763 95,872,305 21
(1) Sales for Resale and Deferred Exchange dollars are allocated based on the Washington / ldaho monthly commodity allocations used in
Results of Operations.
IDAHO STATE NATURAL GAS AI{NUAL REPORT (IC 61405}G. tD.300-301
Name of Respondent
Avista Corporation
This Report is:
lxl Rn originat
! n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS OPERATION AND MAINTENANCE EXPENSES - IDAHO
lnstructions
1. For each prescribed account below, report operation and maintenance expenses as allocated by the Results ofOperations model to the state ol
ldaho.
2. lf the amount for previous year is not derived from prevlously reported figures, explain in a footnote.
Lan€
No Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
1 1. PRODUCTION EXPENSES
2 {. Manufactured Gas Production
Vlanufactured Gas Production (Submit Supplemental Statement)
4 3. Natural Gas Production
5 11. Natural Gas Production and Gatherinq
6 Jperation
750 Operation Suoervision and Enoineerino
8 751 Production Maos and Records
I 752 Gas Well Exoenses
10 753 Field Lines Exoenses
754 Field ComDressor Station Expenses
12 755 Field Comoressor Station Fuel and Power
756 Field Measurinq and Requlatinq Station Expenses
14 757 PurificationExoenses
15 758 Gas Well Rovalties
16 759 Other Exoenses
tt 760 Rents
18 I-OTAL Ooeration (Total of lines 7 throuoh 17
19 Maintenance
20 761 Maintenance Suoervision and Enoineerino
21 /62 Maintenance of Structures and lmprovements
22 763 Maintenance of Producino Gas Wells
23 764 Maintenance of Field Lines
24 765 Maintenance of Field Comoressor Station Eouioment
25 766 Maintenance of Field Measurino and Reoulatino Station Eouioment
16 767 Maintenance of Purification EouiDment
27 768 Maintenance of Drillino and Cleanino Eouioment
28 769 Maintenance of Other Fouinmenl
29 TOTAL Maintenance (Total of lines 20 throuoh 28)
30 fOTAL Natural Gas Production and Gatherinq (Total of lines 18 and 29)
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)G.tD.317
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS OPERATION AND MAINTENANCE EXPENSES. IDAHO
lnstructions
1. For each prescribed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Lin€
No.Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
31 32. Products Extraction
32 peration
33 770 Operation Supervision and Engineerinq
34 771 Operation Labor
35 772 GasShrinkaoe
36 773 Fuel
37 774 Power
38 775 Materiels
39 776 Ooeration Suoolies and ExDenses
40 771 Gas Processed bv Others
41 778 Rovalties on Products Extracted
42 779 Marketino Exoenses
43 780 Products Purchased for Resale
44 781 Variation in Products lnventorv
45 782 (Less) Extracterl Prorlrrcts tJsed bv the utilitv-Credit
46 783 Rents
47 TOTAL Ooeration (Total of line 33 throuoh 46)
48 Nilaintenance
49 784 Maintenance Suoeruision and Enoineerino
50 785 Maintenance of Structures and lmorovements
51 786 Maintenance of Extraction and Refinino Eouioment
52 787 Maintenance of PiDe Lines
53 788 Maintenance of Fxtracterl Products Storaoe EouiDment
54 789 Maintenance of Comoressor Eouioment
55 790 Maintenance of Gas Measrrrino and Reoulatino Eouioment
56 791 Maintenance of Other Eouioment
57 IOTAL Maintenance (Total of lines 49 throuqh 56)
58 IOTAL Products Extraction (Total of lines 47 and 57\
IDAHO STATE NATURAL GAS ANNUAL REPORT (lC 61405}
Name of Respondent
Avista Corporation
This Report rs:
Fl An ortginat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS OPERATION AND MAINTENANCE EXPENSES. IDAHO
lnstructions
1. For each prescribed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Line
No.Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
59 Exploration and Development
60 .)narali6n
61 795 Delav Rentals
62 796 Nonproductive Well Drillinq
63 797 Abandoned Leases
64 798 Other Exoloration
65 IOTAL Exoloration and Develooment (Total of lines 61 throuoh 64)
66 ). Other Gas Suoolv Exoenses
67 peration
68 800 Natural Gas Well Heed Purchases
69 800.1 Natural Gas Well Head Purchases. lntracomoanv Transfers
70 8O1 Natural Gas Field Line Purcheses
71 802 Natural Gas Gasoline Plant Outlet Purchases
72 803 Natural Gas Transmission Line Purchases
73 804 Natural Gas Citv Gate Purchases 68.230.361 63 071 309
74 804.1 Liouefied Natural Gas Purchases
75 805 Other Gas Purchases
76 805.1 (Less) Purchased Gas Cost Adiustments
77 IOTAL Other Gas Supply Expenses (Total of lines 68 throuqh 76)68 230 361 63.071 309
78 806 Exchanoe Gas
79 )urchased Gas Exoenses
80 8O7 1 Well Fxmnse-Prrrchaseri Ges
81 807.2 Ooeration of Purchased Gas Measurino Stations
807 3 MaintenancE of Prrrchased Gas Measurino Stations
83 807.4 Purchased Gas Calculations Exoenses
84 807.5 Other Purchased Gas ExDenses 409.902 1.404.617
85 TOTAL Purchased Gas Exoenses (Total of lines 80 throuoh 84)409.902 1 404 617
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)
Name of Respondent
Avista Corporation
This Report is:
I en originat
! a Resubmission
Date of Report
mm/clcl/yyyy
04-11-20',t4
Year / Period of Report
End of 20'13 lQ4
GAS OPERATION AND MAINTENANGE o
lnstr
't.
2.
uctions
For each prescribed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Lin€
No.Account
(a)
Amount for
Cunent Year
(b)
Amount for
Previous YeaI
(c)
86 808.1 Gas Wthdrawn from Storaoe-Debit
87 808.2 (Less) Gas Delivered to Storaoe-Credat
88 809.1 Withdrawals of Liquefied Natural Gas for Processing-Debit
89 809.2 (Less) Deliveries of Natural Gas for Processino-Credit
as Used in Utilitv Ooeration-Credit
91 AIO Gae I lcarl fnr Camr Stali^n Fr Fl-CrF.lit
92 811 Gas Used for Products Extraction-Credit (302.599',(365.847)
93 812 Gas Used for Other Utilitv Ooerations-CredituIOTAL Gas ljsed in utilitv Ooerations-Credit fiotal of lines 91 throuoh 93)t302 (365.847)
95 813 Other Gas Suoolv Exoenses 390.020 All 155
96 IOTAL Other Gas Srrnolv FxrEnses lTotal of lines 77.78.85.8€i throuoh 89 94 95)68.727.584 64.521.2U
97 IOTAL Produc-tion Exoenses lTotal oflines 3. 30. 58.65. and 96)68727 584 64.521.2U
NATURAL GAS STORAGE. TERMINALING AND PROCESSING EXPENSES l::i.ar;l F;Ii.
rfiri{fr{_Fc99\. Underoround Storaoe Exoenses
100 )oeration
10'l 814 ODeration Slrneruision end Fndineerino 7.519 5.475
102 815 Maos and Records
10 816 Wells Exoenses
lAA 817 Lines Exoense
105 818 Comoressor Station Exoenses
106 E19 Compressor Station Fuel and Pou,er
107 820 Measurino and Reoulatino Station ExDenses
108 821 Purification Exoenses
109 822 Exoloralion and Develooment
110 823 Gas Losses
1 824 Other ExDenses 186.822 162.931
112 825 Storaqe Well Rovalties
1'13 826 Rents
14 OTAL ODeration (Total of lines 101 throuoh 113)194.341 168.406
IDAHO STATE NATURAL GAS ANNUAL REPORT(IC 6{{05)
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
[] n Resubmission
Date of Report
mm/dd/ywy
04-11-20',t4
Year / Period of Report
End of 201'3 lA4
GAS OPERATION AND MAINTENANCE EXPENSES. IDAHO
lnstructions
1. For each prescribed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lfthe amount for previous year is not derived from previously reported figures, explain in a footnote.
Line
No.Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
't 15 Vlaintenance 3;g;l$€i.
116 830 Maintenance Suoervision and Enoineerino
1',t7 83'l Maintenance of Structures and lmorovements
118 832 Maintenance of Reservoirs and Wells
119 833 Maintenance of Lines
't20 834 Maintenance of Comoressor Station Eouioment
835 Mainlenanm of Measrrrino and Reoulatino Station Eduiomenl
122 836 Maintenance of Purification Eouioment
123 837 Maintenance of Other EouiDment 152,659 135.854
124 I'OTAL Maintenance (Total of lines '116 throuoh 123)152.659 136.854
125 IOTAL Underoround Storaoe Exoenses (Total of lines 1'14 and 1241 347.000 305,260
121 3. Other Storaoe Exoenses ,tLqi:'td'llJd[$jqlau4i:iil,lltr:liritFl?rlfr-fttfllflE6rd1$ffixsffi]Em(4!ff;E
127 Joeration
128 840 Ooeration Suoervision and Enoineerino
129 441 OrFralion Laborand ExDenses
130 842 Rents
131 842.1 Fuel
132 842.2 Pov'er
't33 842.3 Gas Losses
134 OTAL ODeration (Total of lines 128 throuoh 133)
135 \rlaintananne 1Y}j!Y"].hf , : :::i\,!-iirli#i].i:ld ::r,i r,.1ii
136 843. 1 Maintenance Suoervision and Enoineerino
137 843 2 Maintenane€ of Slruc;tures
843.3 Maintenance of Gas Holders
139 441 4 Mrintanrnna nf Pr rrifieatinn Fnr rinmani
't40 843.5 Maintenance of Liouefaction Eouioment
141 M3 6 Maintenance of Vaoorizino Eduioment
142 843.7 Maintenance of Comoressor Eouioment
143 843.8 Maintenance of Measurinq and Reoulatino EouiDment
144 843.9 Maintenanc€ of Other EouiDment
OTAL Maintenance (Total of lines 136 throuqh 144)
146 IOTAL Other Storaoe ExDenses (Total of lines 't34 and 145)
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405}
Name of Respondent
Avista Corporation
This Report is:
[] An ongind
[] n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year/ Period of Report
End of 2013 I A4
GAS OPERATION AND MAINTENANCE EXPENSES. IDAHO
lnstructions
1. For each prescribed account below, report operation and maintenan@ expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Lin€
No.Account
(a)
Amount for
Current Year
(bl
Amount for
Previous Year
(c)
147 Liouefied Natural Gas Terminalino and Processino Exoenses ..'l#A'i,5&t?148 peration
't49 844.1 Oneration Suoervision and Enoineerino
1s0 844.2 LNG Processino Terminal Labor and Exoenses
151 844.3 Liquefaction Processinq Labor and Expenses
152 844.4 Liouefaction Transoortation Labor and ExDenses
't 53 844.5 Measurino and Reoulatino Labor and Exoenses
154 t14.6 Compressor Station Labor and Expenses
155 844.7 Communication Svstem Exoenses
156 844.8 Svstem Control and Load Disoatchino
157 45.1 Fuel
158 845.2 Povver
159 845.3 Rents
160 845.4 Demurraoe Charoes
161 845.5 (Less) Wharfaoe ReceiDts-Credit
6 Processino Liouefted or Vaoorized Gas by Others
163 846-'l Gas Losses
't64 846.2 Other Exoenses
165 TAL Operation (Total of lines 149 throush 164)
165 Vlaintenence it,i:',:tEr;'iil.&-ffi *ffi*'r.,E?lirfi uLSffi -'HlmBSgS&Meeffi ffiq{**$l;{i
16,7 47.'l Maintenance Suoervision and Enoineerinq
168 847.2 Maintenance of Struclures and lmorovements
159 847.3 Maintenance of LNG Processino Terminal Eouioment
1 47 4 Maintenanm of I NG Transnortation Eouioment
171 Q47.5 Maintenance of Measulng and Regulating Eq
172 847.6 Maintenance of Compressor Station Equipment
173 847.7 Maintenance of Communiestion Eouioment
174 847.8 Maintenance of Other Eouioment
17 IOTAL Maintenance (Total of lines 167 throuoh 174)
176 IOTAL Liouefied Nat Gas Terminalino and Proc Exo (Total of lines 165 and 175)
177 IOTAL Natural Gas Storaoe fiotal of lines '125. 146. and 176)347.000 305.260
IDAHO STATE NATUML GAS ANNUAL REPORT (lC 6T405)G_1D.322
Name of Respondent
Avista Corporation
This Report is:
I nn original
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS OPEMTION AND MAINTENANCE EXPENSES - IDAHO
lnstructions
1 . For each prescribed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Line
No.Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
178 TRANSMISSION EXPENSES
179 rperation
180 850 Ooeration Supervision and Enqineerinq
181 851 Svstem Control and Load Disoatchino
182 852 Communication Svstem Exoenses
183 853 Compressor Station Labor and Expenses
1U 854 Gas for Comoressor Station Fuel
18s 855 Other Fuel and Power for Compressor Stations
186 856 Mains Exoenses
187 857 Measurino and Reoulatino Station Exoenses
188 858 Transmission and ComDression of Gas bv Others
189 859 Other Exoenses
190 860 Rents
191 TOTAL Ooeration (Total of lines 'l 80 throuoh 190)
192 Maintenance
193 861 Maintenance Supervision and Enqineerinq
194 862 Maintenance of Structures and lmorovements
95 863 Maintenance of Mains
96 864 Maintenance of Comoressor Station Eouiomenl
97 865 Maintenance of Measurino and Reoulatino Station EouiDment
98 866 Maintenance of Communication Eouioment
99 867 Maintenance ofOther Eouioment
?oa IOTAL Maintenance (Total of lines 'lg3 throuoh 199)
20'l TOTAL Transmission (Total of lines 191 and 200)
202 DISTRIBUTION EXPENSES
203 3oeration
204 870 Ooeration SuDervision and Enoineerino 443.129 341.011
205 471 Distribution Load Disoalchino
206 872 Comoressor Station Labor and Exoenses
207 873 Compressor Station Fuel and Power
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405}G.tD.323
Name of Respondent
Avista Corporation
This Report is:
I Rnoriginat
f] n Resubmission
Date of Report
mm/dd/yyyy
04-11-20'.14
Year / Period of Report
End of 2013 I Q4
GAli (JPET{A I I(JN ANL' lUlAIN I ENAN(;E EXPENSiESi . IL'AHTJ
lnstructions
1. For each presoibed account below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Linc
No.Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
874 Mains and Services Expenses 968.485 808.340
209 875 Measurino and Reoulatino Station ExDenses-General 62.lM 36.747
210 876 Measurino and Reoulatino Station Exoenses-lndustrial (277 3.998
211 877 Measurino and Reoulatino Station Expenses-City Gas Check Station 103.2'10 10't.186
212 878 Meter and House Reoulator Exoenses 132.228 8 1.580
?'l 879 Customerlnstallations Exoenses 723 592 947
2'.la 880 Other Exoenses 679.760 614.652
215 881 Rents 9.807 9.1 75
Ooeration flotal of lines 2(N throuqh 215)3 121 565 2,569,676
217
218 885 Maintenance Suoervision and Enoineerino 81.276 65.'t 18
21 886 Maintenance of Structures and lmprovements
220 887 Maintenance of Mains 461.646 550.807
221 888 Maintenance of Comoressor Station Eouioment
222 nRo ^f iraacr rrin^ ,n.l Eladr rlrlin6 Stalian Fnt tinmanl-Ganaral 93.529 75.452
223 890 Maintenance of Measurino and Reoulatinq Station Eouipment-lndustrial 't20.7ffi 149.231
691 Maintenance of Meas. and Reo. Station Equapment-city Gate Check Station 457 1
225 892 Maintenance of Services 406.407 387.781
226 893 Maintenance of Meters and House Reoulators 499.297 399.920
227 894 Maintenance of Other Eouioment 57 272 63.300
228 IOTAL Maintenance (Total of lines 218 throuoh22Tl 1.765.862 1.707.225
TOTAL Distribution Expenses (Total of lines 216 and228l 4 AA7 427 4296
230 5. CUSTOMERACCOUNTS EXPENSES icL5irffi':HE^"ffi ffi Wiffi ,ffi :ir,fr ;5tri".W-
231 Deration
901 Supervision 74,121 114
233 902 Meter Readino Exoenses 260.595 250.247
2U 903 Customer Records and Collection Exoenses 't.799.787 1.628.274
IOAHO STATE NAruRAL GAS ANNUAL REPORT (IC 6,1405)
Name of Respondent
Avista Gorporation
This Report is:
Fl An originat
I n Resubmission
Date of Report
mm/dd/yyyy
o4-1 1-2014
Year / Period of Report
End of 2013 I Q4
GAS OPERATION AND MAINTENANCE EXPENSES - IDAHO
lnstructions
1. For each prescribed accrunt below, report operation and maintenance expenses as allocated by the Results of Operations model to the state of
ldaho.
2. lf the amount for previous year is not derived from previously reported figures, explain in a footnote.
Line
No Account
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
235 904 UncollectibleAccounts 531,806 446.330
236 905 Miscellaneous Customer Accounts Expenses 49,842 48,089
237 TOTAL Customer Accounts Exoenses (Total of lines 232 throuoh 236)2.716.263 2.494.Osg
238 6. CUSTOMER SERVICE AND INFORMATIONAL EXPENSES
239 Cperation
240 907 Suoervision
241 908 Customer Assistance Expenses 141.462 1.166,773
242 909 lnformational and lnstructional Exoenses 228.835 237.514
243 910 Miscellaneous Customer Service and lnformational Exoenses 42.156 36.934
244 rOTAL Customer Service and lnformational ExDenses (Total of lines 240 throuoh 243)412 453 1 441 221
245 7. SALES EXPENSES
246 peration
247 91'l Suoervision
248 912 Demonstratinq and Sellino Exoenses 1.552 1.666
249 913 Advertisino Exoenses
250 9'16 Miscellaneous Sales ExDenses
251 IOTAL Sales Expenses (Total of lines 247 throuoh 250)1.552 1 666
252 ADMINISTRATIVE AND GENERAL EXPENSES
253 f,peration
254 920 Administrative and General Salaries 1,795,985 ? 45(l 614
255 921 Office Suoolies and ExDenses 291.985 333.1 1 1
?56 922 (Less) Administrative Exoenses Transferred-Credit (4 R12'( 1 0.833)
257 923 Outside Services Emoloved 763 226 931.O71
924 Progetly lnsurance 92,O87 92,090
259 925 lniuries and Damaoes 382 500 239.786
260 926 Emolovee Pensions and Benefits 67.665 63. 1 66
261 927 Franchise Reouirements
262 928 Reoulatorv Commission Exoenses 323.885 357 .471
263 929 (Less) DuDlicate Charqes-Credit
2U 930.1 General Advertisino Exoenses 259.465
265 930.2 Miscellaneous General Expenses 293,U49
266 931 Rents s8 056 76.961
267 IOTAL Operation (Total of lines 254 throuoh 266)4.030.042 4.826.486
268 Maintenance
269 932 Maintenance of General Plant 621.592 597,073
270 TOTAL Administrative and General Exoenses (Total of lines 267 and 269)4.651.634 5,423.559
271 TOTAL Gas O&M Expenses (Total of lines 97, 177,201,229,237,244,251,270)81,743,913 78,483,899
IOAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)
Name of Respondent
Avista Corporation
This Report is:
lFl nn originat
f] n Resubmission
Date of Report
mm/dcl/ywy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS TRANSMISSION MAINS. TDAHO
lnstructions
1. Report belou, the requested details of transmission mains in system operated by respondent at end of year in the state of ldaho.
2. Report separately any lines held under a title other than full ownership. Designate such lines with an asterisk and in a footnote (in the available
space at the bottom of this page or attached in a separate schedule) state the name of owner or c@wner, nature of respondent's title, and
percent ownership if jointly owned.
Lin€
No.
Kind of
Material
(a)
Diameter of
Pipe
in lnches
(b)
Total Length in Use
Beginning of Year
in Feet
lc)
Laid During Year
in Feet
Idl
Taken Up
or Abandoned
During Year
in Feet
1e\
Total Length
in Use
End of Year
in Feet
afl
1
2
3
4
5
6
7
8
10
11
12
13
14
't5
16
17
18
19
20
21
22
24
26
27
28
29
30
31
32
33
34
35
36
37
38
40
NOTE:
ln accordance with the deftnitions established in the Uniform System of Accounts for production, transmission, and distribution plant, the Company's
gas mains are appropriately classified as distribution property for accounting purposes (see definitions 29 (B) and (C)).
IDAHO STATE NATURAL GAS ANNUAL REPORT Irc 6T405I G.tD.514
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
o4-11-20'.t4
Year / Period of Report
End of 2013 I Q4
GAS DISTRIBUTION MAINS.
lnstl
1.
2.
uctions
Report below the requested details of distribution mains in system operated by respondent at end of year in the state of ldaho.
Report separately any lines held under a title other than full ouarership. Designate such lines with an asterisk and in a footnote (in the available
space at the bottom of this page or aftached in a separate schedule) state the name of owner or @-owner, nature of respondent's title, and
percent ownership if jointly owned.
Lin€
No.
Kind of
Material
(a)
Diameter of
Pipe
in lnches
(b)
Total Length in Use
Beginning of Year
in Feet
Icl
Laid During Year
in Feet
/.lI
Taken Up
or Abandoned
During Year
in Feet
1e)
Total Length
in Use
End of Year
in Feet
Tfl
Steel Wrapped Less than 2"1.763.520 528 1.762.992
2 Steel Wraooed 2" lo 4^623.040 686 622.3U
3 Steel Wraooed 40r] 224 400.382
4 Steel Wraooed 8" to 12"4.752 21',!4.541
Steel WraDDed Over 12"
6
7
I Plastic Less than 2"5.46s.328 3't.205 5.496,533IPlastic1.449.360 4.M6 1.444.714
't0 Plastic 4'to 8'600.336 13.834 614.170
11 Plastic 8" to 12"
12 Plastic Over 12"
13
14
15
16
17
18
'1S
20
21
23
24
25
26
27
28
29
30
32
33
34
35
36
37
38
39
40
IDAHO STATE I{ATURAL GAS Ai{NUAL REPORT (tC 6{405)G.tD.5144
Name of Respondent
Avista Corporation
This Report is:
I Rn ortginat
I n Resubmission
Date of Report
nm/dd/yyw
o4-11-2014
Year / Period of Report
End of 2013 I Q4
SERVICE PIPES - GAS - IDAHO
lnstructions
1 . Report below the requested details of line service pipe in possession of the respondent at the end of the year in the state of ldaho.
Linr
No.
Type of
Material
Ial
Diameter of
Pipe
in lnches
(b)
Number of
Service Pipes
Beginning of Year
(c)
Added
During Year
Retired
During Year
Number of
Service Pipes
End of Year
Average
Length
in Feet
1n
1 Steel WraDDed 1" or Less 1.541 101 11.440
2 Steel WraDoed 1" to 2"198 4 194
3 Steel WraDped 2" lo 4"7 7
4 Steel WraDDed 4" to 8"1 1
5 Steel WraDDed Over 8"
6 Steel WraDoed Unknown 398 4 394
7
8 Plastic " or Less 56.896 1.1 16 5A O12 ('t )
I Plastic 1" lo2'263 8 27'l
10 Plaslic 10 10 (1)
11 Plastic 4'to 8"2 2
12 Plastic Over 8"(1)
13 Plastic Unknown 2,660 67 2.593 (1)
14
15 Other IInknom 80 2A 52 (11
16
't7
18
19
20
2',i
22
23
24
25
26
27
2A
29
30
31
32
33
34
35
36
37
38
39
40
(1) lnformation not available.
G.lD.514BIOAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)
Name of Respondent
Avista Corporation
This Report is:
I Rn originat
I n Resubmission
Date of Report
mm/dcvyyyy
04-11-2014
Year / Period of Report
End of 2013 lA4
REGULATORS. GAS. IDAHO
lnstructions
1 . Report belor the requested details of gas regulators in possession of the respondent at the end of the year in the state of ldaho.
Linr
No.
Size
(al
Type
(b)
Make
(c)
Capacity
(d)
ln Service
Beginning of Year
(el
Added During
Year
{ft
Retired During
Year
lol
ln Plant
End of Year
Iht
2 No Data available
3
4
5
6
8I
10
11
12
13
14
15
16
17
18
19
21
23
24
25
26
27
28
30
31
32
33
34
35
36
37
38
39
40 Total
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61405)G.tD.514C
Name of Respondent
Avista Corporation
This Report is:
I nn originat
I n Resubmission
Date of Report
mm/dd/ywy
04-11-2014
Year / Period of Report
End of 201.3 lA4
CUSTOTER METERS. GAS .
'DAHOlnstructions
1. Repo( belcnr the requested details of gas customer meters in possession of the respondent at the end of the year in the state of ldaho.
Line
No.
Size
(a)
Type
lbt
Make
(c)
Capacity
ldr
ln Service
Beginning of Year
Added During
Year
/n
Retired During
Year
ln Plant
End of Year
1 Ail AI Alt Ail 76.508 980 77.488
2
3
4
6
7
II
10
11
12
'13
14
't5
't6
17
18
't9
20
21
22
24
26
27
28
30
31
32
33u
35
36
38
39
40
(1) The Company's systems do not supply meter information tracking by type of meter.
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 6T4}5}G.tD.514D
Name of Respondent
Avista Corporation
This Report is:
Jxl Rn originat
I n Resubmission
Date of Report
mm/dd/yyyy
04-11-2014
Year / Period of Report
End of 2013 I Q4
GAS ACCOUNT - NATURAL GAS - IDAHO
lnstructions
'1. Thepurposeof thisscheduleistoaccountforthequantityof natural gasreceivedanddeliveredbytherespondentforserviceinthestateof ldaho.
2. Natural gas means either natural gas unmixed or any mixture of natural and manufactured gas.
3. Enterincolumn(c)theyear-to-dateDthasreportedintheschedulesindicatedfortheitemsof receiptsanddeliveries.
4. lndicateinafootnote(intheavailablespaceatthebottomofthispageorinaseparateschedule)thequantitiesof bundledsalesandtransportationgas
and specify the line on which such quantities are listed.
5. lf the respondent operates two or more systems which are not interconnected, submit separate pages for this purpose.
6. lndicatebyfootnotethequantitiesofgasnotsubjecttoFERCregulationwhichdidnotincurFERCregulatorycostsbyshowing(1)thelocal distribution
volumes another jurisdictional pipeline delivered to the local distribution company portion of the reporting pipeline, (2) the quantities that the reporting
pipeline transported or sold through its local distribution facilities or intrastate facilities and rvhich the reporting pipeline received through gathering
facilities or intrastate facilities, but not through any of the interstate portion of the pipeline, and (3) the gathering line quantities that were not destined for
interstate market or that were not transported through any interstate portion of the reporting pipeline.
7. lndicate in a footnote the specific gas purchase expense account(s) and related to lvhich the aggregate volumes report on line 3 relate.
8. lndicateinafootnote(1)thesystemsupplyquantitiesof gasthatarestoredbythereportingpipelineduringthereportingyearandalsoreportedassales,
transportation and compression volumes by the reporting pipeline during the same reporting yeat, (2) the system supply quantities of gas that are stored
by the reporting pipeline during the reporting yearwhich the reporting pipeline intends to sell ortransport in a future reporting year, and (3) contract
storage quantities.
9. Also indicate the volumes of pipeline production fleld sales that are included in both the company's total sales figure and the company's total transportation
figure. Add additional information as necessary to the footnotes.
Line
No.Account
(a)
Refer to
Form 2
Page
rh\
Amount of Dth
Year to Date
(c)
Amount of Dth
Current 3 Months Ended
Quarterly Only
(d)
1 tlame of Svstem
2 3AS RECEIVED
?3as Purchases (Accounts 800-805)16.529.409
4 3as of Others Received for Gatherind (Account 489 '1 303
5 3as of Others Received for Transmission (Account 489.2)305
6 3as of Others Received for Distribution (Account 489.3)301 4 269.837
7 3as of Others Received for Contract Storaqe (Account 489.4)307
o lxchanoed Gas Received from Others (Account 806)324
I 3as Received as lmbalances (Account 806)328 (10.245
10 ?eceipts of ResDondent's Gas Transoorted bv Others (Account 858)332
11 )ther Gas Wthdrawn from Storaoe (Explain)875,076
12 ias Received from Shiooers as Comoressor Station Fuel
t.1 jas Received trom Shippers as Lost and Unaccounted For
14 )ther Receipts (Specify) (footnote details)
l5 lotal Receiots (Total of lines 3 throuoh 14)21 664 077
16 3AS DELIVERED
17 3as Sales (Accounts 480-484)16.743.475
18 )eliveries of Gas Gathered for Others (Account 489.1 303
19 )eliverres of Gas TransDorted for Others (489.2)305
20 livenes of Gas Distributed for Others (Account 489.3)301 4,269,837
21 )eliveries of Contract Storaoe Gas (Account 489.4)307
22 :xchanoe Gas Delivered to Others (Account 806)
23 Gas Delivered as lmbalances (Account 858)328
24 Deliveries of Gas to Others for TransDortatron (Account 858)332
,q Other Gas Delivered to Storaoe (Exolain) fi
26 Gas Used for Compressor Station Fuel 509 b5u, /b5
27 Other Deliveries (SDecifv) (footnote details)
28 Total Deliveries (Total of lines 17 throuqh 27)21,664,O77
29 GAS UNACCOUNTED FOR
30 Production System Losses
JI Satherino Svstem Losses
aa Transmission Svstem Losses
Distribution Svstem Losses
34 Storaoe Svstem Losses
35 f,ther Losses (Specifv) (footnote details)
36 Total Gas Unaccounted For (Total of lines 30 throuqh 35)
37 Iotal Deliveries and Gas Unaccounted For (Total of lines 28 and 36)21.664,O77
(1)Represents net gas withdrawals and injections.
IDAHO STATE NATURAL GAS ANNUAL REPORT (IC 61.405}G.tD.520