20191108Decision Memo.pdf

RE
DECISION MEMORANDUM
TO COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM: TERRICARLOCK
DATE: NOVEMBER8,2019
ANNUAL DETERMINATION OF THE INTEREST RATES ON
DEPOSITS COLLECTED FROM CUSTOMERS FOR THE CALENDAR
YEAR 2020; CASE NO. GNR-U-I9-01.
Every year the Commission sets the interest rate to be paid on customer deposits for the
next calendar year. Rule 106 of the of the Customer Relations Rules for Gas, Electric and Water
Utilities provides: "the Commission will determine the twelve-month average interest rate for
one-year Treasury Bills for the previous Novernber I through October 3l , round that rate to the
nearest whole percent...". (IDAPA3l.2l.0l.l06andIDAPA3l.4l.01.l04). This average
interest rate is 2.24Yo as shown on Attachment A. Staff recommends the rate be rounded to the
nearest whole percent and set al 2Yo for the calendar year 2020.
COMMISSION DECISION
Should the interest rate paid on deposits collected from customers for the calendar year
2020 be sel al2o/o?
Jd Cofudt
u,tcflrloc/AnnDetlnlRatesl I'08-2020 TC
Terri Carlock
Week Ended
ATTACHMENT
ONE-YEAR TREASURY RATES
Rate %week Ended
17l212078
tLl9l2018
LLlL6l2Ol8
LLl23l2OL8
tLl30lz0ts
L2l7l2ot8
L2lL4l2078
t2lztl2Ot8
t2128120L8
71412o7e
LlrtlzoTe
tlL8l2ot9
Llz5l2O7e
2lLlzotg
2/8lzote
2ltslzote
zl22l2O7e
3h|2079
tl8l20le
slLslzotg
3l22l2Ot9
3l29lzote
4lslzoLe
4lLzl2Ot9
4lt8l2OLe
4l26lZOtg
slslzoLe
slLOl2OL9
slLT l?oLs
sl24l20L9
sl3,.lzoLe
617l2OL9
6lL4lzore
6lzLlz0le
6l?,8l7Ot9
7lSl2o7s
711212079
Thelzo,g
7l76lzote
81217019
slslzo,9
th6lzole
8l2tl2ole
8l70l2oLe
el6lzo:.e
elLtl2ol9
elzol2oL9
9127120t9
tol4lzote
L0llLl2079
LOlt8l2019
LOl25l20L9
Rate %
2.41
2.t6
2,33
2.33
2.2L
L.97
2.00
1.95
1.92
1.98
1.96
t.94
2.00
1.85
1.78
1.71
7.73
1.76
1.73
1.88
1.84
7.74
1.58
L.67
1.58
1.50
z.z4
2.70
2.73
2.68
2.67
2.70
2.68
2.68
2.62
2.57
2.57
2.58
2.60
2.50
2.56
2.54
2.55
2.55
2.55
2.53
2.52
2.45
2.40
2.43
2.44
2.44
2.4t
AVERAGE
Source: Federal Reserve Treasury Rates
One-Y€ar Constant Maturities
ATTACHMENT A
Calendar Year
Interest Rates on Deposits
Interest Rate
9o/o
8o/o
60/o
4o/o
3o/o
5%
60/o
6%
6%
5o/o
5o/o
6%
4%
2%
t%
'lO/
3%
5%
5o/o
2o/o
t%
lo/o
t%
1%
lo/o
lo/o
lo/o
lo
l%
2%
Order No.
1990
I 991
1992
1993
1994
t99s
1996
199',7
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
201I
2012
2013
20t4
2015
20t6
20t7
2018
2019
22836
23425
23971
24578
2s242
2s788
26233
2668t
27248
27828
28234
28575
28896
29158
29386
29653
29932
30200
30469
10692
30965
32t09
32403
32684
32922
33187
33426
33664
33936
34204
ATTACHI\lENT B