2017Annual Report.pdf

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A|Y|YUAL REPORT
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Capitol Water CorPoration L,,m
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2626 Eldorado
Boise, lD 83704
TO THE
IDAHO PUBLIC
UTILITIES COMMISSION
FOR THE
YEAR ENDED 2017
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COLES
Accounting & Consulting Dennis R. Reinstein, CPA/ABV ASA, CVA
S. Jason Coles, MBA, CPAIPFS
Keith A. Pinkerton, MBA, CFA, ASA
Susan M. Langley, CPA, CFE
Nate Lining, CPA
Board of Directors
Capitol Water Corporation
Boise,Idaho
Management is responsible the accompanying financial statements of Capitol Water Corporation, which
comprise the balance sheet as of December 31,2017 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. We have performed a compilation engagement in accordance with Statements on Standards
for Accounting and Review Services promulgated by the Accounting and Review Services Committee of
the AICPA. 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 in the prescribed form of the Idaho Public Utilities Commission. We did not audit or
review the financial statements nor were we required to perform any procedures to verify the accuracy or
completeness of the information provided by management. Accordingly, we do not express an opinion, a
conclusion, nor provide any form of assurance on these financial statements.
The financial statements and supplementary information are presented in accordance with the
requirements of the Idatro Public Utilities Commission, which differ from accounthg principles
generally accepted in the United States of America.
trW W,"*r;roiPut-c
Boise,ID
April26,2018
Member of American lnstitute of Certified Public Accountants and ldaho Society of Certified Public Accountants
University Plaza, 960 Broadway Ave., Suite 415, Boise, lD 83706 T 2OA345.235O F 2OA344.3O19
Registered lnvestment Advisor
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ANNUAL REPORT FOR WATER UTILITIES TO
THE IDAHO PUBLIC UTILITIES COMMISSION
FOR THE YEAR ENDING December 31,2017
COMPANY INFORMATION
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
Capitol Water Corporation
April 7, 1959
ldaho
2626 Eldorado
Boise
ldaho
83704
Corporation
Ada County
11 Are there any affiliated companies?No
lf yes, attach a last with names, addresses & descriptions. Explain any services
provided to the utility.
12 Contact lnformation Name
President (Owner)
Vice President
S€cretary
General Manager
Complaints or Billing
Engineering
Emergency Service
Accounting
Boise
H. Robert Price
Bonnie Price
H. Robert Price
Bonnie Price
H. Robert Price
H. Robert Price
Coles Reinstein PLLC
Phone No
375-0931
375-0931
375-0931
375-0931
375-0931
375-0931
345-2350
13 Were any water systems acquired during the year or any additions/deletions made
to the service area during the year? No
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?
Street Address 2626 Eldorado
City Boise
State ldaho
83704
Rev 3/02
zip
Page 1
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NAME: Capitol Water Corporation
COMPANY INFORMATION (Cont.)
For the Year Ended December 31 2017
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?
!f yes, attach full explanation
2.t 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 31.21.01.70'l?
Attach a copy of the Summary
24 Did signif icant additions or retirements from the
Plant Accounts occur during the year?
lf yes, attach full explanation
and an updated system map
No
No
Gallons/CCF $Amount
No
No
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No
Rev 3/02 Page 2
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NAME: CapitolWater Corporation
REVENUE & EXPENSE DETAIL
For the Year Ended
DESCRIPTION
December 31 2017
ACCT #
4OO REVENUES
1 460 Unmetered Water Revenue
2 461.1 Metered Sales - Residential
3 461.2 Metered Sales - Commercial, lndustrial
4 462 Fire Protection Revenue
5 464 Other Water Sales Revenue
6 465 lrrigation Sales Revenue
7 466 Sales for Resale
I 400 Total Revenue (Add Lines 1 - 7)
(also enter result on Page 4, line 1)
9 - DEQ Fees Billed separately to customers
10 "* Hookup or Connection Fees Collected
11 ***Commission Approved SurchargesCollected
$ 5t5,+52
129,997
392
$ 705,846
Booked to Acct #
Booked to Acct #
Booked to Acct # 460.5
401 OPERATING EXPENSES
12 601.1-6 Labor - Operation & Maintenance
13 601 .7 Labor - Customer Accounts
14 601.8 Labor - Administrative & General
15 603 Salaries, Officers & Directors
16 604 Employee Pensions & Benefits
17 610 Purchased Water
18 615-'16 Purchased Power & Fuelfor Power
19 618 Chemicals
20 620.1-6 Materials & Supplies - Operation & Maint.
2'l 620.7-8 Materials & Supplies - Administrative & General
22 631-34 Contract Services - Professional
23 635 Contract Services - Water Testing
24 636 Contract Services - Other
25 641-42 Rentals - Property & Equipment
26 650 Transportation Expense
27 656-59 lnsurance
28 660 Advertising
29 666 Rate Case Expense (Amortization)
30 667 Regulatory Comm. Exp. (Other except taxes)
31 670 Bad Debt Expense
32 675 Miscellaneous
70,806
56,824
55,335
68,533
94,327
24,724
16,879
20,445
14,640
1,981
6,859
8,88s
16
14,'t't8
33 Total Operating Expenses (Add lines 12 - 32, also enter on Pg 4, line 2) $ 454,372
Rev 3/02 Page 3
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Name: Capitol Water Colpration
ACCT #
For Year Ended
DESCRIPTION
INCOME STATEMENT
December 31 2017
1 Revenue (From Page 3, line 8)
2 Operating Expenses (From Page 3, line 33)
3 403 Depreciation Expense
4 406 Amortization, Utility Plant Aquisition Adj.
5 407 Amortization Exp. - Other
6 408.10 Regulatory Fees (PUC)
7 408J1 Property Taxes
8 408.12 PayrollTaxes
9A 408.13 Other Taxes (list) DEQ Fees
$ 454,372
96,360
$ 705,846
605,768
128
6071
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
409.10
409.11
410.10
410.1'l
411
412
13,61 1
14,774
Vehicles 544
Federal lncome Taxes
State lncome Taxes
Provision Ior Deferred lncome Tax - Federal
Provision for Deferred lncome Tax - State
Provision for Deferred Utility lncome Tax Credits
lnvestment Tax Credits - Utility
17,593
6,907
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 &18 less 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)
lnterest Exp. on Long-Term Debt
Other lnterest Charges
NET INCOME (Line 29less lines 30 & 31) (Also Enter on Pg 9, Line 2)
413
414
415
416
419
420
421
426
408.20
409-20
427.3
427.5
100,078
128
100,206
76
Rev 3/02 Page 4
$1 00,1 30
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Name: Capitol Water Corporation
ACCOUNT 101 PLANT IN SERVICE DETAIL
For Year Ended December 31, 2017
SUB
ACCT #DESCRIPTION
Balance
Beginning
of Year
Added
During
Year
Removed
During
Year
Balance
End of
Year
1 301
2 302
3 303
4 304
5 305
6 306
7 307
B 308
9 309
10 310
11 311
12 320
13 330
14 331
1s 333
16 334
17 335
18 336
19 339
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
$969
195 $195
1 1
2
307 307
10 10'1
$277
291 291 422
23 731 606
838
27 27 680
952 967
11 121 439
20 340
21 341
22 342
23 343
24 344
25 345
26 346
27 347
28 348
29
29 799
$91s 280
27
928 928
107 107
TOTAL PLANT IN SERVICE
(Addlinesl-28)
$ 3,478,697 $ sg,zgg $$ 3,561,996
Enter beginning & end of year totals on Pg 7, Line 1
$ 22,791
1,875$
$ ts,otg
1,536$
$ s,ooo
164$
$ es,za+
$s30
Rev 3/02 Page 5
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Name: Capitol Watel Colpqlqllg1
ACCUMULATED DEPRECIATION ACCOUNT 108.1 DETAIL
ForYear Ended December 31,2017
SUB
ACCT #
Depreciatron
Rate
o//o
Balance
Beginning
of Year
Balance
End of
Year
lncrease
or
1 304
2 30s
3 306
4 307
5 308
6 309
7 310
8 311
9 320
10 330
11 331
12 333
13 334
14 335
15 336
16 339
17 340
18 341
19 342
DESCRIPTION
Structures and lmprovements
Collecting & lmpounding Reservoirs
Lake, River & Other lntakes
Wells
lnfiltration Galleries & Tunnels
Supply Mains
Power Generation Equipment
Power Pumping Equipment
Purification Systems
Distribution Reservoirs & Standpipes
Trans. & Distrib. Mains & Accessories
Services
Meters and Meter lnstallations
Hydrants
Backf low Prevention Devices
Other Plant & Misc. Equipment
Office Furniture and Equipment
Transportation Equipment
Stores Equipment
Tools, Shop and Garage Equipment
Laboratory Equipment
Power Operated Equipment
Commun ications Equipment
Miscellaneous Equipment
Other Tangible Property
TOTALS (Add Lines 1 - 25)
2 78
20
131
8
3
8
$
1
879
$
20 343
21 344
22 345
23 346
24 347
25 348
26
219
76
o2B
117
910
584
8'l
$z 2 642
Enter beginning & end of year totals on Pg 7, Line 7
$ r 18,990 $ 121 ,368
$2,438 2,441$
$ zzq,sga $ 232,489
$ 1,062,058 $ 1,082,357
769$$900
$ 183,505 $ 191,536
$ 21,509 $ 21,728
831$$907
$ 13,021 $ 14,049
$ oo+,ozz $ og+,ees
$ 95,338 $ ss,sos
1't7$
$ 26,223 $ 27,133
$ 172,679 $ 193,263
$ 23,634 $ 24,513
$705 $786
107$107$
Rev 3/02 Page 6
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Name: Capitol Water Corporation
BALANCE SHEET
For Year Ended December 31,2017
ACCT #
ASSETS
DESCRIPTION
Utility Plant in Service (From Pg 5, Line 29)
Utility Plant Leased to Others
Plant Held for Future Use
Construction Work in Progress
Utility Plant Aquisition Ad.lustment
Subtotal (Add Lines 1 - 5)
Accumulated Depreciation (From Pg 6, Line 26)
Accum. Depr. - Utility Plant Lease to Others
Accum. Depr. - Property Held for Future Use
Accum. Amort. - Utility Plant in Service
Accum. Amort. - Utility Plant Lease to Others
Accumulated Amortization - Aquisition Adj.
Net Utility Plant (Line 6 less lines 7 - 12)
lnvestment in Subsidiaries
Other lnvestments
Total lnvestments (Add lines 14 & 15)
Cash
Short Term lnvestments
Accts/Notes Receivable - Customers
Other Receivables
Receivables f rom Associated Companies
Materials & Supplies lnventory
Prepaid Expenses
Unbilled (Accrued) Utility Revenue
Provision for Uncollectable Accounts
Total Current (Add lines 17 -24 less line 25)
Unamortized Debt Discount & Expense
Preliminary Survey & lnvestigation Charges
Deferred Rate Case Expenses
Other Deferred Charges
Total Assets (Add lines 13, 16 & 26 - 30)
697
$4 697 83
282
415
763
763
073
755
928
520 84
163 276 1 994
$ 1,152,454 $ 1,126,063 $ (26,391)
Balance
Beginning
of Year
Balance
End of
Year
lncrease
or
Decrease
1
2
3
4
5
6
7
B
9
10
11
12
13
14
15
16
17
1B
19
20
21
22
23
24
25
26
27
28
29
30
31
101
102
103
105
114
83
1 08.1
108.2
108.3
110.1
110.2
115
123
't25
131
135
141
142
145
151
162
173
143
$
$
181
183
184
186
3,561.996
$ 3,561,996
$ 2.646.642
$ 915,354
60,427
$ oo,+ez
35,547
103,203
5,928
5,604
$ 150,282
Rev 3/02 Page 7
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BALANCE SHEET
For Year Ended December 31 2017
LIABILITIES & CAPITAL
DESCRIPTION
Common Stock
Preferred Stock
Miscellaneous Capital Accounts
Appropriated Retained Earnings
Unappropriated Retained Earnings
Reacquired Capital Stock
Proprietary Capital
Total Equity Capital (Add Lines 1-5+7 less line 6)
Bonds
Advances from Associated Companies
Other Long - Term Debt
Accounts Payable
Notes Payable
Accounts Payable - Associated Companies
Customer Deposits (Refundable)
Accrued Other Taxes Payable
Accrued lncome Taxes Payable
Accrued Taxes - Non-Utility
Accrued Debt, lnterest & Dividends Payable
Misc. Current & Accrued Liabilities
Unamortized Debt Premium
Advances for Construction
Other Deferred Liabilities
Accumulated lnvestment Tax Credits - Utility
Accum. lnvestment Tax Credits - Non-Utility
Operating Reserves
Contributions in Aid of Construction
Accum. Amort. of Contrib. in Aid of Const. **
Accumulated Deferred lncome Taxes
Total Liabilities (Add lines 9 - 29
LIAB & CAPITAL ( Add lines I & 30)
** Only if Commission Approved
Balance
Beginning
of Year
Balance
End of
Year
Increase
or
1 201-3
2 204-6
3 207-13
4 214
5 215
6 216
7 218
8
I 221-2
10 223
11 224
12 231
13 232
14 233
15 235
16 236.11
17 236.12
18 236.2
19 237-40
20 241
21 251
22 252
23 253
24 255.1
25 255.2
26 261-5
27 271
28 272
29 281-3
30
31 TOTAL
ACCT #
1 000
138
000
179
$
$
195
195
818
500
1
1
'l 1
160
143
214 116
1,152,454
$
$
$391
1
29
907
946
5
1 003
33s
'l 885
1 882
1
'l 530
$ 1,126,063
Rev 3/02 Page 8
Name: Capitol Water Corporation
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6.997
$
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Name: Capitol Water Corporation
STATEMENT OF RETAINED EARNINGS
For Year Ended December 31, 2017
'l Retained Earnings Balance @ Beginning of Year
2 Amount Added from Current Year lncome (From Pg 4, Line 32)
3 Other Credits to Account
4 Dividends Paid or Appropriated
5 Other Distributions of Retained Earnrngs
6 Retained Earnings Balance @ End of Year
$ 899,138
100 130
(84,584)
(7,351)
$ goz,ssg
CAPITAL STOCK DETAIL
No. Shares
Authorized
No. Shares Dividends
Paid7Description (Class, Par Value etc.)
Common Stock 250 584.00
DETAIL OF LONG.TERM DEBT
8 Descri
lnterest
Rate
Year-end
Balance
lnterest
Paid
lnterest
Accrued
Advances for Construction
Debentures
Note- R. Price
Note-
Note- B of A
100
N/A None
10"/"5,000.00 2s0.00
9%0.00
7.87%0.00 0.00
7.25%0.00 0.00
Rev 3/02 Page 9
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Name: Capitol Water Corporation
SYSTEM ENGINEERING DATA
For Year Ended December 31 2017
1 Provide an updated system map if significant changes have been made to the system during the year
2 Water Supply:Type of
Treatment:
(None, Chlorine
Water
Supply
Source
(Well, Spring,
Rated
Capacity Fluoride
Filter etc.
Annual
Production
Pu or location Gal.Surface
Well#1 Well
Well #2 -rative Well
Well#3 Well
Well#4 Well
Well #5 - redrilled in 2OO2 Well
Well#6 Well
Well#7 Well
3 System Storage
Total
Capacity
000's
Gal.
Usable
Capacity
000's
Gal.
Type of
Reservoir
(Elevated,Pres-
Construction
(Wood, Steel
or Location urized Con
Well#1 Pressurized Steel
Well#2
Well#3
Well#4
Well#5
Well#6
Well#7
(Duplicate form and attach if necessary. Asterisk facilities added this year.)
lpm
350 Phosphate
450 None
350 Phosphate
2000 Phosphate
1500 None
1 500 ASR
1500 Phosphate
1 500
Rev 3/02 Page 10
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Name: Capitol WaterCorporation
SYSTEM ENGINEERING DATA
(continued)
For Year Ended December 31 2017
4 Pump information for ALL system pumps, including wells and boosters
Rated
Capacity
6 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?
9 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?
10 Are backbone plant additions anticipated during the coming year?
lf Yes, attach an explanation of projects and anticipated costs!
1'l ln what year do you anticipate that the system capacity (supply, storage or distribution)
will have to be expanded?
Designation or Location Horse
Power&of Pum
Well#1
Well#2-rve
Well#3
Well#4
Well#5
Well#6
Well#7
** Submit pump curves untess previously provided or unavailable. Asterisk facilities added this year.
Attach additional sheets if inadequate space is available on this page.
lf Wells are metered:
What was the totalamount pumped this year?
What was the total amount pumped during peak month?
What was the totalamount pumped on the peak day?
Discharge
Pressure
Energy
Used
This Year
726,573,000
96,250,000
4,235,000
N/A
7
B
Yes
lncluded
Daily
Jan to Dec
Unknown
Unknown
No
30 350 70
25
100 350 70
200 2000 60
150 1 500 75
150 1 500 70
150 1 500 75
Rev 3/02 Page 1 1
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Name: Capitol Water Corporation
SYSTEM ENGINEERING DATA
(continued)
For Year Ended December 3'l 2017
FEET OF MAINS
1 Pipe
Size
ln Use
Beginning
Of Year
lnstalled
During
Year
Abandoned
During
Year
ln Use
End of
Year
10'600 600
z',7 966 7
4u 740 740
6',874 4
8u 765 42 765
12',380
314"193 193
1"918 918
11t2',290 290
CUSTOMER STATISTICS
This
Year
Last
Year
Last
Year
2
2A
28
2C
Metered:
Residential
Commercial
lndustrial
261
3
3A
3B
3C
Flat Rate:
Residential
Commercial
lndustrial
2441
4 Private Fire Protection 21
5
6
7
8
Public Fire Protection 174
Street Sprinkling
Municipal, Other
Other Water Utilities
2897 0
This
Year
261
2441
0
0
21
174
2897 0
Rev 3/02
TOTALS (Add lines 2 through 8)
Page 12
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CERTIFICATE
State of ldaho
SS
WE, the undersig
of th futa L z//.an C.a z
utility, on our oath do severally say that the foregoing report has been prepared under our direction,
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./€;tL
(Chief Officer)
/ALh
Subscribed and Sworn to Before Me
NOTARY PUBLIC
My Commission Expires
Lplg
(Officer in Charge of Accounts)
?ozo
Rev 3/02
05
Page 13
gdUexcel/jnelsory'anul rptdMrannualrpt
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