2015Annual Report.pdf

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cAl-W
RTCEIVED
AIYTY(IAL RE P O Rfl "* H,[ilj:-
OF
CAPITOL WATER CORPORATION
2626 ELDORADO STREET
BOISE, ID 83704
TO THE
IDAHO PUBLIC
UTILITIES COMMISSION
FOR THE
I YEAR ENDED 2015I
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I COLES
REINSTEIN
Accounting & Consulting
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Dennis R. Reinstein, CPA,/ABV ASA, CVA
S. Jason Coles, MBA, CPAIPFS
Keith A. Pinkerton, MBA, CFA, ASA
Karen A. Ginnett, CPA, CFE, MST
Susan M. Langley, CPA, CFE
Board of Directors
Capitol Water Corporation
Boise, tdaho
We have compiled the balance sheet of CAPITOL WATER CORPORATION, as of December 31,
2015, and the related statements of income and retained eamings for the year then ended in the
accompanying prescribed form of the Idaho Public Utilities Commission, in accordance with
Statements on Standards for Accounting and Review Services issued by the American Institute of
Certified Public Accountants. We have also compiled the supplementary schedules of revenue and
expense detail, plant in service detail, accumulated depreciation detail, capital stock detail, detail of
long-term debt and system engineering data.
Our compilation is limited to presenting in the form prescribed by the Idaho Public Utilities
Commission information that is the representation of management. We have not audited or reviewed
the financial statements and supplementary information refemed to above and, accordingly, we do not
express an opinion or any other form of assurance on them.
These financial statements and supplementary information are presented in accordance with the
requirements of the ldaho Public Utilities Commission, which differ from generally accepted
accounting principles. Accordingly, these financial statements are not designed for those who are not
informed about such differences.
6rA* W"/'^Xu"4 llvr-c
April28,2015
Member of American lnstitute of Certified Public Accountants and ldaho Society of Certified Public Accountants
COLES REINSTEIN, P.L.L.C.
University Plaza, 960 Broadway Ave., Suite 415, Boise, lD 83706 T 208.345.2350 F 208.344.30'19
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ANNUAL REPORT FOR WATER UTILITIES TO
THE IDAHO PUBLIC UTILTTIES COMMISSION
FOR THE YEAR ENDING December 31,2015
1 Give full name of utility
2 Date of Organization
3 Organized under the laws of the state of
4 Address of Principal Office (number & street)
5 P.O. Box (if applicable)
6 City
7 State
8 Zip Code
9 Organization (proprietor, partnership, corp.)
10 Towns, Counties served
COMPANY INFORMATION
Capitol Water Corooration
AprilT, 1959
Ada County
11 Are there any affiliated companies?
lf yes, attach a list with names, addresses & descriptions. Explain any services
provided to the utility.
12 Contact lnformation
President (Owner)
Vice President
Secretary
GeneralManager
Complaints or Billing
Engineering
Emergency Service
Accounting
13 Were any water systems acquired during the year or any additions/deletions made
to the service area during the year?
lf yes, attach a list with names, addresses & descriptions. Explain any services
provided to the utility.
14 Where are the Company's books and records kept?
2626 Eldorado
83704
Corporation
Phone No.
Street Address
City
State
Zip
2626 Eldorado
83704
Rev 3/02 Page 1
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NAME: Capitol Water Corporation
COMPANY INFORMATION (Cont.)
For the Year Ended
15 ls the system operated or maintained under a
service contract?
16 lf yes: With whom is the contract?
When does the contract expire?
What services and rates are included?
17 ls water purchased for resale through the system?
18 lf yes: Name of Organization
Name of owner or operator
Mailing Address
City
State
Zip
Water Purchased
19 Has any system(s) been disapproved by the
ldaho Division of Environmental Quality?
lf yes, attach full explanation
20 Has the ldaho Division of Environmental Quality
recommended any improvements?
lf yes, attach ful! explanation
21 Number of Complaints received during year concerning:
Quality of Service
High Bills
Disconnection
22 Number of Customers involuntarily disconnected
23 Date customers last received a copy of the Summary
of Rules required by IDAPA 31.21.01.701?
Attach a copy of the Summary
24 Did significant additions or retirements from the
Plant Accounts occur during the year?
lf yes, attach full explanation
and an updated system map
December 31 2015
No
No
Gallons/CCF $Amount
No
No
14
1-Sep-15
No
Rev 3/02 Page2
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NAME: Capitol Water Corporation
REVENUE & EXPENSE DETAIL
ACCT#
For the Year Ended
DESCRIPTION
December 31,2015
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1
2
3
4
5
6
7
8
460
461.1
461.2
462
464
465
466
400
4OO REVENUES
Unmetered Water Revenue
Metered Sales - Residential
Metered Sales - Commercial, lndustrial
Fire Protection Revenue
Other Water Sales Revenue
lrrigation Sales Revenue
Sales for Resale
Total Revenue (Add Lines 1 - 7)
(also enter result on Page 4, line 1)
I * DEQ Fees Billed separately to customers
10 ** Hookup or Connection Fees Collected
11 ***Commission Approved Surcharges Collected
401 OPER.ATING EXPENSES
601.1-6 Labor - Operation & Maintenance
601.7 Labor - Customer Accounts
601.8 Labor - Administrative & General
603 Salaries, Officers & Directors
604 Employee Pensions & Benefits
610 Purchased Water
615-16 Purchased Power & Fuel for Power
618 Chemicals
620.1-6 Materials & Supplies - Operation & Maint.
620.7-8 Materials & Supplies - Administrative & General
631-34 Contract Services - Professional
635 Contract Services - Water Testing
636 Contract Services - Other
64142 Rentals - Property & Equipment
650 Transportation Expense
656-59 lnsurance
660 Advertising
666 Rate Case Expense (Amortization)
667 Regulatory Comm. Exp. (Other except taxes)
670 Bad Debt Expense
675 Miscellaneous
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
$ 566,501
142.741
70,289
56,1 85
54,835
56.522
67,167
34,433
17.445
20,824
14.960
3,747
7,371
8,234
(6,062)
33,5'11
$ 709,594
Booked to Acct #
Booked to Acct #
Booked to Acct # 460.5
Total Operating Expenses (Add lines 12 - 32, also enter on Pg 4, line 2)
Rev 3/02 Page 3
439,461
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Name: CapitolWaterCorporation
INCOME STATEMENT
ACCT #
For Year Ended
DESCRIPTION
December 31 2015
34
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1
2
3
4
5
6
7
8
9A
9B
9C
9D
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
Revenue (From Page 3, line 8)
Operating Expenses (From Page 3, line 33)
Depreciation Expense
Amortization, Utility Plant Aquisition Adj.
Amortization Exp. - Other
Regulatory Fees (PUC)
Property Taxes
PayrollTaxes
Other Taxes (list)
Vehicles
439,461
$ 709,594
587,283
403
406
407
408.10
408.11
408.12
408.13
75.145
1,716
29.504
12,909
DEQ Fees
413
414
415
416
419
420
421
426
408.20
409-20
1,388
409.10 Federal lncome Taxes
409.11 State lncome Taxes
410.10 Provision for Deferred lncome Tax - Federal
410.11 Provision for Deferred lncome Tax - State
411 Provision for Deferred Utility lncome Tax Credits
412 lnvestment Tax Credits - Utility
19.747
7.413
Total Expenses from operations before interest (add lines 2-15)
lncome From Utility Plant Leased to Others
Gains (Losses) From Disposition of Utility Plant
Net Operating lncome (Add lines 1, 17 &18less line 16)
Revenues, Merchandizing Jobbing and Contract Work
Expenses, Merchandizing, Jobbing & Contracts
lnterest & Dividend lncome
Allowance for Funds used During Construction
Miscellaneous Non-Utility lncome
Miscellaneous Non-Utility Expense
Other Taxes, Non-Utility Operations
lncome Taxes, Non-Utility Operations
Net Non-Utility lncome (Add lines 20,22,23 & 24 less lines 21 ,25,26, & 27)
Gross lncome (add lines 19 & 28)
427.3 lnterest Exp. on Long-Term Debt
427.5 Other lnterest Charges
NET INCOME (Line 29 less lines 30 & 31) (Also Enter on Pg 9, Line 2)
122,311
122.345
Rev 3/02 Page 4
121,807
584
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Name: CapitolWaterCorporation
ACCOUNT 101 PLANT IN SERVICE DETAIL
For Year Ended December 31.2015
1
2
3
4
5
6
7
8
I
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
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SUB
ACCT #
301
302
303
304
305
306
307
308
309
310
311
320
330
331
333
334
335
336
339
340
341
342
343
344
345
346
347
348
Balance
Beginning
of Year
Added
During
YearDESCRIPTION
Organization
Franchises and Consents
Land & Land Rights
Structures and lmprovements
Collecting & lmpounding Reservoirs
Lake, River & Other lntakes
Wells
lnfiltration Galleries & Tunnels
Supply Mains
Power Generation Equipment
Power Pumping Equipment
Purification Systems
Distribution Reservoirs & Standpipes
Trans. & Distrib. Mains & Accessories
Services
Meters and Meter lnstallations
Hydrants
Backflow Prevention Devices
Other Plant & Misc. Equipment
Office Furniture and Equipment
Transportation Equipment
Stores Equipment
Tools, Shop and Garage Equipment
Laboratory Equipment
Power Operated Equipment
Communications Equipment
Miscellaneous Equipment
Other Tangible Property
195
144.846
2,452
257.457
291.422
731
117.167
28,818
30, I 95
144.846
2,452
307,406
805
917.383
119,295
28,818
163.218
24,794 26,174
TOTAL PLANT tN SERVICE S 3,2?1,r9 i g 6?,0
(Add lines 1 - 28) Enter beginning & end of year totals on Pg 7, Line 1
107
Rev 3/02 Page 5
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Name: CapitolWaterCorporation
ACCUMULATED DEPRECIATION ACCOUNT 108.1 DETAIL
For Year Ended December 31.2015
Depreciation
Rate
Balance
Beginning
Balance
End of
lncrease
or
I
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2
3
4
5
6
7
8
I
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
SUB
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ACCT # DESCRIPTION % ofYear Year (Decrease
304
305
306
307
308
309
310
311
320
330
331
333
334
335
336
339
340
341
342
343
344
345
346
347
348
Structures and lmprovements
Collecting & lmpounding Reservoirs
Lake, River & Other lntakes
Wells
lnfiltration Galleries & Tunnels
Supply Mains
Power Generation Equipment
Power Pumping Equipment
Puriflcation Systems
Distribution Reservoirs & Standpipes
Trans. & Distrib. Mains & Accessories
Services
Meters and Meter lnstallations
Hydrants
Backflow Prevention Devices
Other Plant & Misc Equipment
Office Furniture and Equipment
Transportation Equipment
Stores Equipment
Tools, Shop and Garage Equipment
Laboratory Equipment
Power Operated Equipment
Communications Equipment
Miscellaneous Equipment
Other Tangible Property
TOTALS (Add Lines 1 - 25)
Enter
$ 112.062 $ 115.572 $ 3.510
$ z.qzz $ 2,435 $3
$ 206,480 $ 215,085 $ 8,605
$ 1.020.768 $ 1,041,802 $ 21.034
$507 $638 131
$ 165.436 $ 174.471 9.035
$ 21,158 $ 21,333 $ 175
$724 $769 $45
$ 10,930 $ 11,966 $ 1,036
$543.835 $ 573.623 $ 29.788
$ 88,197 $ 91,902 3.705
$
$
$
$ 23,816 $ 25,118 $ 1,302
s 162.710 $ 162.978 $268
$
$ 21.771 s 22.692 $921
$
$
$552 $625 $73
$
$107 $107
2,381,485 $ 2,461,
ing & end of year totals on Pg 7, Line 7
Rev 3/02 Page 6
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Name: CapitolWaterCorporation
ACCT #
For Year Ended
ASSETS
DESCRIPTION
101 Utility Plant in Service (From Pg 5, Line 29)
102 Utility Plant Leased to Others
103 Plant Held for Future Use
105 Construction Work in Progress
114 Utility Plant Aquisition Adjustment
Subtotal (Add Lines 1 - 5)
108.1 Accumulated Depreciation (From Pg 6, Line 26)
108.2 Accum. Depr. - Utility Plant Lease to Others
108.3 Accum. Depr. - Property Held for Future Use
110.1 Accum. Amort. - Utility Plant in Service
110.2 Accum. Amort. - Utility Plant Lease to Others
115 Accumulated Amortization - Aquisition Adj.
Net Utility Plant (Line 6 less lines 7 - 12)
123 lnvestment in Subsidiaries
125 Other lnvestments
Total lnvestments (Add lines 14 & 15)
131 Cash
135 Short Term lnvestments
141 Accts/Notes Receivable - Customers
142 Other Receivables
145 Receivables from Associated Companies
151 Materials & Supplies lnventory
162 Prepaid Expenses
173 Unbilled (Accrued) Utility Revenue
143 Provision for Uncollectable Accounts
TotalCurrent (Add lines 17 -24less line 25)
Unamortized Debt Discount & Expense
Preliminary Survey & lnvestigation Charges
Deferred Rate Case Expenses
Other Deferred Charges
TotalAssets (Add lines 13, 16 & 26 - 30)
BALANCE SHEET
December 31,2015
Balance
Beginning
of Year
lncrease
or
1
2
3
4
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
31
181
183
184
186
$ 3.271 67,036
$ 3,271,794
2.381.485
4,529
145,056
461,116
Rev 3/02 Page 7
$ 1,096,128 $ 1,124,159 $28,031
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Name: CapitolWaterCorporation
BALANCE SHEET
ACCT #
For Year Ended
LIABILITIES & CAPITAL
DESCRIPTION
201-3 Common Stock
204-6 Preferred Stock
207 -13 Miscellaneous Capital Accounts
214 AppropriatedRetainedEarnings
215 UnappropriatedRetainedEarnings
216 ReacquiredCapitalStock
218 Proprietary Capital
Total Equity Capital (Add Lines 1-5+7 less line 6)
221-2 Bonds
223 Advances from Associated Companies
224 Other Long - Term Debt
231 Accounts Payable
232 Notes Payable
233 Accounts Payable - Associated Companies
235 CustomerDeposits(Refundable)
236.11 Accrued Other Taxes Payable
236.12 Accrued Income Taxes Payable
236.2 Accrued Taxes - Non-Utility
237-40 Accrued Debt, lnterest & Dividends Payable
241 Misc. Current & Accrued Liabilities
251 Unamortized Debt Premium
252 Advances for Construction
253 Other Deferred Liabilities
255.1 Accumulated lnvestment Tax Credits - Utility
255.2 Accum. lnvestment Tax Credits - Non-Utility
261-5 Operating Reserves
271 Contributions in Aid of Construction
272 Accum. Amort. of Contrib. in Aid of Const. **
28'l-3 Accumulated Deferred lncome Taxes
Total Liabilities (Add lines 9 - 29
TOTAL LIAB & CAPITAL ( Add lines 8 & 30)
December 31,2015
1
2
3
4
5
6
7
8
o
10
11
12
13
14
15
16
17
18
19
20
2',!
22
23
24
25
26
27
28
29
30
31
Balance
Beginning
of Year
29,200
842,170
158,'139
214.758
$ 1,096,128 28,031$ 1,124,159
** Only if Commission Approved
Rev 3/02 Page 8
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Name: CapitolWaterCorporation
STATEMENT OF RETAINED EARNINGS
For Year Ended December 31.2015
Retained Earnings Balance @ Beginning of Year
Amount Added from Current Year lncome (From Pg 4, Line 32)
Other Credits to Account
Dividends Paid or Appropriated
Other Distributions of Retained Earnings
Retained Earnings Balance @ End of Year
CAPITAL STOCK DETAIL
Description (Class, Par Value etc.)
Common Stock
DETAIL OF LONG.TERM DEBT
Year-end
$ 842,170
121,807
(84,584)
(6,823)
_$ 872,570
No. Shares No. Shares Dividends
lnterest lnterest
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Rate Balance Paid Accrued
Advances for Construction N/A None
Debentures 1Oo/o 5.000.00 500.00
Note- R. Price 9Yo 0.00
Note-7.87o/o 0.00 0.00
Note- B of A 7.25o/o 0.00 0.00
Rev 3/02 Page 9
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Name: CapitolWaterCorporation
SYSTEM ENGINEERING DATA
For Year Ended December 31,2015
1 Provide an updated system map if significant changes have been made to the system during the year.
2 Water Supply:
or location
Well#1
Well #5 - redrilled in 2002
Well#6
Well#7
Rated
Capacity
Total
Capacity
000's
Gal.
Type of
Treatment:
(None, Chlorine
Fluoride
Annual
Production
Type of
Reservoir
(Elevated,Pres-
Pressurized Steel
Water
Supply
Source
(Well, Spring,
Construction
(Wood, Steel
3 System Storage:
Usable
Capacity
000's
Gal.or Location
Well#1
Well#2
Well#3
Well#4
Well#5
Well#6
Well#7
(Duplicate form and attach if necessary. Asterisk facilities added this year.)
Rev 3/02 Page 10
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Name: CapitolWaterCorporation
SYSTEM ENGINEERING DATA
(continued)
For Year Ended December 31,2015
4 Pump information for ALL system pumps, including wells and boosters.
Designation or Location
Rated
Capacity
& Tvoe of
Well#1
Well#2-
Well#3
Well#4
Well#5
Well#6
Well#7
** Submit pump curyes unless previously provided or unavailable. Asterisk facilities added this year.
Attach additional sheets if inadequate space is available on this page.
6
7
lf Wells are metered:
What was the total amount pumped this year?
What was the total amount pumped during peak month?
What was the total amount pumped on the peak day?
lf customers are metered, what was the total amount sold in peak month?
Was your system designed to supply fire flows?
lf Yes: What is current system rating?
How many times were meters read this year?
During which months?
How many additional customers could be served with no system improvements
except a service line and meter?
How many of those potential additions are vacant lots?
Are backbone plant additions anticipated during the coming year?
lf Yes, attach an explanation of projects and anticipated costs!
ln what year do you anticipate that the system capacity (supply, storage or distribution)
will have to be expanded?
715,574,000
99,058,000
4,010,000
N/A
Yes
lncluded
Daily
Jan to Dec
Unknown
Unknown
No10
11
Rev 3/02 Page 1 1
Unknown
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2
2A
28
2C
3
3A
3B
3C
4
5
6
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Name: CapitolWaterCorporation
SYSTEM ENGINEERING DATA
(continued)
For Year Ended December 31 2015
1 Pipe
Size
FEET OF MAINS
ln Use
Beginning
Of Year
Abandoned
During
Year
lnstalled
During
Year
12"
1rt
1112"
Metered:
Residential
Commercial
lndustrial
Flat Rate:
Residential
Commercial
lndustrial
Private Fire Protection
Public Fire Protection
Street Sprinkling
Municipal, Other
8 Other Water Utilities
Rev 3/02
TOTALS (Add lines 2 through 8)
Page 12
wE, the rno",.isn"o Lh, 8O\€4 Pr, L)-
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CERTIFIGATE
State of ldaho
t
countv of A z[ ot
from the original books, papers and records of said utility; that we have carefully examined same, and
declare the same to be a correct statement of the business and affairs of said utility for the period
covered by the report in respect to each and every matter and thing therin set forth, to the best of our
knowledge, information and belief.
(Officer in Charge of Accounts)
Subscribed and Sworn to Before Me
My Commission Expires
utility, on our oath do severally say that the report has been prepared under our direction,
(Chief Officer)
Rev 3/02 Page 13
gdk/exceujnelson/anulrptsfurtrannualrpt