AnnDetIntRates11-21-2002.TC.doc

DECISION MEMORANDUM

TO: COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
JEAN JEWELL
RANDY LOBB
DON HOWELL
TONYA CLARK
LYNN ANDERSON
BILL EASTLAKE
LOU ANN WESTERFIELD
BEVERLY BARKER
RON LAW
WORKING FILE

FROM: TERRI CARLOCK

DATE: NOVEmber 21, 2002

RE: ANNUAL DETERMINATION OF THE INTEREST RATES ON
DEPOSITS COLLECTED FROM CUSTOMERS FOR THE CALENDAR YEAR 2003. CASE NO. GNR-U-02-02.

The interest to be paid on customer deposits for the 2003 calendar year is determined by the twelve-month average interest rate from November 1, 2001 through October 31, 2002. This average rate is 2.13% as shown on the attached worksheet. Rounded to the nearest whole percent the rate will be 2%, a 2% decrease from the prior year. The following chart shows the interest rates for the various years and the order numbers approving those rates.
Calendar Year Interest Rate Order No.
1988 7% 21622, 27167
1989 7% 22230
1990 9% 22836
1991 8% 23425
1992 6% 23971
1993 4% 24578
1994 3% 25242
1995 5% 25788
1996 6% 26233
1997 6% 26681
1998 6% 27248
5% 27828
5% 28234
6% 28575
4% 28896

COMMISSION DECISION

Should the interest rate to be paid on deposits collected from customers for the calendar year 2003 be set at 2%?

__________________________________
Terri Carlock

TC:word:u/tcarloc/AnnDetIntRates11-21-2002.TC
DECISION MEMORANDUM 1 NOVEMBER 21, 2002