2001Annual Report.pdf

ANNUAL REPOR T
OF
Happy Valley Water System Inc.
NAME
10035 N.Memory Ln.Rathdrum,ID 83858
ADDRESS
TO THE
IDAHO PUBLIC
UTILITIES COMMISSION
FOR THE
YEAR ENDED December 31 2001
ANNUAL REPORT FOR WATER UTILITIESTO
THE IDAHO PUBLIC UTILITIESCOMMISSION
FOR THE YEAR ENDING 2001
COMPANY INFORMATION
1 Give full name of utility Happy Valley Water System Inc.
2 Date of Organization 25-Jul-01
3 Organizedunder the laws of the state of Idaho
4 Address of Principal Office (number&street)10035 N.Memory Lane
5 P.O.Box (if applicable)
6 City Rathdrum
7 State ID
8 Zip Code 83858
9 Organization(proprietor,partnership,corp.)S-Corp
10 Towns,Counties served Kootenai
11 Are there any affiliatedcompanies?yes
If yes,attach a list with names,addresses &descriptions.Explain any services
provided to the utility.
12 Contact Information Name Phone No.
President (Owner)Brett McCarty 687-1072
Vice President N/A
Secretary Nora McCarty 687-1072
General Manager N/A
Complaintsor Billing Personal Care Data 765-1863
Engineering N/A
Emergency Service N/A
Accounting Nora McCarty 687-1072
13 Were any water systems acquiredduring the year or any additions/deletionsmade
to the service area during the year?no
if yes,attach a list with names,addresses &descriptions.Explain any servicesprovidedtotheutility.
14 Where are the Company'sbooks and records kept?
Street Address 10035 N.Memory Ln.
City Rathdrum
State ID
Zip 83858
Rev7/99 Page 1
NAME:Happy Valley Water System Inc.
COMPANYINFORMATION(Cont.)
For the Year Ended 2001
15 Is the system operatedor maintained under a
service contract?no
16 If yes:With whom is the contract?
When does the contract expire?
What services and rates are included?
17 Is water purchasedfor resale through the system?no
18 If yes:Name of Organization
Name of owner or operator
Mailing Address
City
State
Zip
Gallons/CCF $Amount
Water Purchased
19 Has any system(s)been disapprovedby the
Idaho Division of EnvironmentalQuality?no
If yes,attach full explanation
20 Has the Idaho Division of EnvironmentalQuality
recommendedany improvements?no
If yes,attach full explanation
21 Numberof Complaintsreceivedduring year concerning:
Quality of Service 0
High Bills O
Disconnection 0
22 Numberof Customers involuntarilydisconnected 0
23 Date customers last received a copy of the Summary
of Rules requiredby IDAPA 31.21.01.701?4/15/02
Attach a copy of the Summary
24 Did significant additions or retirementsfrom the
Plant Accounts occur during the year?no
If yes,attach full explanation
and an updated system map
Rev7/99 Page 2
NAME:Happy Valley Water System Inc.
REVENUE &EXPENSE DETAIL
For the Year Ended 2001
ACCT #DESCRIPTION
400 REVENUES
1 460 UnmeteredWater Revenue
2 461.1 Metered Sales -Residential 6361
3 461.2 Metered Sales -Commercial,Industrial
4 462 Fire Protection Revenue
5 464 Other Water Sales Revenue
6 465 IrrigationSales Revenue
7 466 Sales for Resale
8 400 Total Revenue(Add Lines 1 -7)6361
(also enter result on Page 4,line 1)
9 *DEQ Fees Billed separatelyto customers Booked to Acct #
10 **Hookup or Connection Fees Collected Booked to Acct #
11 ***Commission Approved Surcharges Collected Booked to Acct #
401 OPERATINGEXPENSES
12 601.1-6 Labor -Operation&Maintenance 790
13 601.7 Labor -CustomerAccounts
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&Fuel for Power 2760
19 618 Chemicals
20 620.1-6 Materials &Supplies -Operation&Maint.35
21 620.7-8 Materials &Supplies -Administrative &General
22 631-34 Contract Services -Professional 576
23 635 Contract Services -Water Testing 609
24 636 Contract Services-Other 112
25 641-42 Rentals -Property &Equipment
26 650 TransportationExpense
27 656-59 Insurance
28 660 Advertising
29 666 Rate Case Expense (Amortization)
30 667 RegulatoryComm.Exp.(Otherexcept taxes)
31 670 Bad Debt Expense
32 675 Miscellaneous 104
33 Total Operating Expenses (Add lines 12 -32,also enter on Pg 4,line 2)4986
Rev7/99 Page 3
Name:Happy Valley Water System Inc.
INCOMESTATEMENT
For Year Ended 2001
ACCT #DESCRIPTION
1 Revenue(From Page 3,line 8)6361
2 Operating Expenses (From Page 3,line 33)4986
3 403 Depreciation Expense 292
4 406 Amortization,Utility Plant Aquisition Adj.132
5 407 Amortization Exp.-Other
6 408.10 Regulatory Fees (PUC)
7 408.11 Property Taxes 45
8 408.12 Payroll Taxes
9A 408.13 Other Taxes (list)DEQ Fees
9B
9C
9D
10 409.10 Federal Income Taxes
11 409.11 State Income Taxes
12 410.10 Provision for Deferred Income Tax -Federal
13 410.11 Provision for DeferredIncome Tax -State
14 411 Provision for DeferredUtility Income Tax Credits
15 412 Investment Tax Credits -Utility
16 Total Expenses from operationsbefore interest (add lines 2-15)5455
17 413 Income From Utility Plant Leased to Others
18 414 Gains (Losses)From Disposition of Utility Plant
19 Net OperatingIncome (Add lines 1,17 &18 less line 16)906
20 415 Revenues,MerchandizingJobbing and ContractWork
21 416 Expenses,Merchandizing,Jobbing &Contracts
22 419 Interest &DividendIncome 13
23 420 Allowance for Funds used During Construction
24 421 Miscellaneous Non-Utility Income
25 426 Miscellaneous Non-Utility Expense
26 408.20 OtherTaxes,Non-Utility Operations
27 409-20 Income Taxes,Non-Utility Operations
28 Net Non-Utility Income (Add lines 20,22,23 &24 less lines 21,25,26,&27)13
29 Gross Income (add lines 19 &28)919
30 427.3 Interest Exp.on Long-TermDebt
31 427.5 Other Interest Charges
32 NET INCOME (Line 29 less lines 30 &31)(Also Enter on Pg 9,Line 2)919
Rev7/99 Page 4
Name:Happy Valley Water System Inc.
ACCOUNT 101 PLANT IN SERVICE DETAIL
For Year Ended 2001
Balance Added Removed BalanceSUBBeginningDuringDuringEndofACCT#DESCRIPTION of Year Year Year Year
1 301 Organization 0 154 154
2 302 Franchises and Consents
3 303 Land &Land Rights
4 304 Structures and Improvements 0 1444 1444
5 305 Collecting &ImpoundingReservoirs
6 306 Lake,River &Other Intakes
7 307 Wells
8 308 InfiltrationGalleries &Tunnels
9 309 Supply Mains
10 310 Power Generation Equipment
11 311 Power Pumping Equipment 7447 ***7447
12 320 Purification Systems
13 330 Distribution Reservoirs&Standpipes
14 331 Trans.&Distrib.Mains &Accessories
15 333 Services
16 334 Meters and Meter Installations 2674 ***2674
17 335 Hydrants
18 336 Backflow PreventionDevices
19 339 Other Plant &Misc.Equipment
20 340 Office Furnitureand Equipment
21 341 TransportationEquipment
22 342 Stores Equipment
23 343 Tools,Shop and Garage Equipment
24 344 LaboratoryEquipment
25 345 Power Operated Equipment
26 346 CommunicationsEquipment
27 347 Miscellaneous Equipment
28 348 OtherTangible Property
29 TOTAL PLANT IN SERVICE 0 11719 0 11719
(Add lines 1 -28)Enter beginning&end of year totals on Pg 7,Line 1
***The addition of assets in accounts 311 &334 totaling $10,121 representthe original cost of assetspurchasedfromthepriorowners5/31/2001
Rev7/99 Page 5
Name:Happy Valley Water System Inc.
ACCUMULATED DEPRECIATIONACCOUNT108.1 DETAIL
For Year Ended 2001
Depreciation Balance Balance Increase
SUB Rate Beginning End of orACCT#DESCRIPTION %of Year Year (Decrease)
1 304 Structures and Improvements 5.00%0 36 36
2 305 Collecting &ImpoundingReservoirs
3 306 Lake,River&Other Intakes
4 307 Wells
5 308 InfiltrationGalleries &Tunnels
6 309 Supply Mains
7 310 Power Generation Equipment
8 311 Power Pumping Equipment 5.00%***2979 217
9 320 Purification Systems
10 330 Distribution Reservoirs&Standpipes
11 331 Trans.&Distrib.Mains &Accessories
12 333 Services
13 334 Meters and Meter Installations 3.00%***468 39
14 335 Hydrants
15 336 Backflow PreventionDevices
16 339 Other Plant &Misc.Equipment
17 340 Office Furnitureand Equipment
18 341 TransportationEquipment
19 342 Stores Equipment
20 343 Tools,Shop and Garage Equipment
21 344 LaboratoryEquipment
22 345 Power Operated Equipment
23 346 CommunicationsEquipment
24 347 Miscellaneous Equipment
25 348 Other Tangible Property
26 TOTALS (Add Lines 1 -25)0 3483 292
Enter beginning&end of year totals on Pg 7,Line 7
Depreciationis straight-linewith half year convention,therefore,half of the current year was recorded
due to current owners purchasingthe assets 5/31/2001
***The balance at the end of the year include the accumulated depreciationthat was recordedby thepreviousownerspriortothepurchase5/31/2001.The increase is only the depreciationrecorded by
the current owners.
Rev7/99 Page 6
Name:Happv Vally Water System Inc
BALANCESHEET
For Year Ended 2001
ASSETS Balance Balance Increase
Beginning End of or
ACCT #DESCRIPTION of Year Year (Decrease)
1 101 Utility Plant in Service (From Pg 5,Line 29)0 11719 11719
2 102 Utility Plant Leased to Others
3 103 Plant Held for Future Use
4 105 ConstructionWork in Progress
5 114 Utility Plant Aquisition Adjustment 3070 3070
6 Subtotal (Add Lines 1 -5)0 14789 14789
7 108.1 AccumulatedDepreciation(From Pg 6,Line 26)0 3483 292
8 108.2 Accum.Depr.-Utility Plant Lease to Others
9 108.3 Accum.Depr.-Property Held for Future Use
10 110.1 Accum.Amort.-Utility Plant in Service 0 13 13
11 110.2 Accum.Amort.-Utility Plant Lease to Others
12 115 AccumulatedAmortization -Aquisition Adj.0 119 119
13 Net Utility Plant (Line 6 less lines 7 -12)0 11174 14365
14 123 Investment in Subsidiaries
15 125 Other Investments
16 Total Investments(Add lines 14 &15)O 0 0
17 131 Cash 2389 2389
18 135 Short Term Investments
19 141 Accts/Notes Receivable-Customers 136 136
20 142 Other Receivables
21 145 Receivablesfrom Associated Companies
22 151 Materials &Supplies Inventory
23 162 Prepaid Expenses
24 173 Unbilled (Accrued)Utility Revenue
25 143 Provisionfor UncollectableAccounts
26 Total Current(Add lines 17 -24 less line 25)0 2525 2525
27 181 UnamortizedDebt Discount &Expense
28 183 Preliminary Survey &InvestigationCharges
29 184 DeferredRate Case Expenses
30 186 Other Deferred Charges
31 Total Assets (Add lines 13,16 &26 -30)0 13699 16890
Rev7/99 Page 7
Name:Happy Valley Water System Inc
BALANCE SHEET
For Year Ended 2001
LIABILITIES &CAPITAL Balance Balance Increase
Beginning End of orACCT#DESCRIPTION of Year Year (Decrease)
1 201-3 Common Stock
2 204-6 PreferredStock
3 207-13 Miscellaneous Capital Accounts 10000 10000
4 214 Appropriated Retained Earnings
5 215 UnappropriatedRetained Earnings 919 919
6 216 ReacquiredCapital Stock
7 218 Proprietary Capital
8 Total Equity Capital (Add Lines 1-5+7 less line 6)0 10919 10919
9 221-2 Bonds
10 223 Advances from Associated Companies
11 224 Other Long -Term Debt
12 231 Accounts Payable
13 232 Notes Payable
14 233 Accounts Payable -Associated Companies 2780 2780
15 235 CustomerDeposits (Refundable)
16 236.11 Accrued Other Taxes Payable
17 236.12 Accrued Income Taxes Payable
18 236.2 Accrued Taxes -Non-Utility
19 237-40 Accrued Debt,Interest &DividendsPayable
20 241 Misc.Current &Accrued Liabilities
21 251 Unamortized Debt Premium
22 252 Advancesfor Construction
23 253 Other Deferred Liabilities
24 255.1 Accumulated InvestmentTax Credits -Utility
25 255.2 Accum.InvestmentTax Credits -Non-Utility
26 261-5 Operating Reserves
27 271 Contributionsin Aid of Construction
28 272 Accum.Amort.of Contrib.in Aid of Const.**
29 281-3 Accumulated DeferredIncome Taxes
30 Total Liabilities (Add lines 9 -29 0 2780 2780
31 TOTAL LIAB &CAPITAL(Add lines 8 &30)0 13699 13699
**Only if Commission Approved
Rev7/99 Page 8
Name:Happy Valley Water System Inc
STATEMENTOF RETAINEDEARNINGS
For Year Ended 2001
1 Retained Earnings Balance @ Beginning of Year 0
2 Amount Added from CurrentYear income (From Pg 4,Line 32)919
3 Other Credits to Account
4 DividendsPaid or Appropriated
5 Other Distributions of Retained Earnings
6 RetainedEarnings Balance @ End of Year 919
CAPITAL STOCK DETAIL
No.Shares No.Shares Dividends
7 Description (Class,Par Value etc.)Authorized Outstanding Paid
NO PAR VALUE 10 10 0
DETAIL OF LONG-TERMDEBT
Interest Year-end Interest interest
8 Description Rate Balance Paid Accrued
Rev7/99 Page 9
Name:
SYSTEM ENGINEERINGDATA
For Year Ended 2001
1 Provide an updated system map if significantchanges havebeen made to the system during the year.
2 Water Supply:Type of Water
Treatment:Supply
Rated (None,Chlorine Annual Source
Capacity Fluoride Production (Well,Spring,
Pump Designation or location (gpm)Filter etc.)(000's Gal.)Surface Wtr)
Well
I
3 System Storage:
Total Usable Type of
Capacity Capacity Reservoir Construction
000's 000's (Elevated,Pres-(Wood,Steel
Storage Designation or Location Gal.Gal.urized,Boosted)Concrete)
(Duplicate form and attach if necessary.Asterisk facilities added this year.)
Rev7/99 Page 10
Name:
SYSTEM ENGINEERINGDATA
(continued)
For Year Ended
4 Pump informationfor ALL system pumps,including wells and boosters.
Rated Discharge Energy
Designation or Location Horse Capacity Pressure Used
&Type of Pump**Power (gpm)(psi)This Year
**Submit pump curves unless previously provided or unavailable.Asterisk facilities added this year.
Attach additional sheets if inadequate space is available on this page.
5 If Wells are metered:
What was the total amount pumpedthis year?
What was the total amount pumpedduring peak month?
What was the total amount pumped on the peak day?
6 If customers are metered,what was the total amount sold in peak month?1715217
7 Was your system designedto supply fire flows?no
If Yes:What is current system rating?
8 How many times were meters read this year?5
During which months?June-October
9 How many additional customers could be served with no system improvements
except a service line and meter?O
How many of those potential additions are vacant lots?
10 Are backbone plant additions anticipated during the coming year?no
If Yes,attach an explanation of projects and anticipated costs!
11 In what year do you anticipate that the system capacity (supply,storage or distribution)
will haveto be expanded?
Rev7/99 Page 11
Name:Happy Valley Water System Inc
SYSTEM ENGINEERINGDATA
(continued)
For Year Ended 2001
FEET OF MAINS
In Use Installed Abandoned In Use
1 Pipe Beginning During During End of
Size OfYear Year Year Year
CUSTOMERSTATISTICS
Numberof Customers Thousands of Gallons Sold
This Last This Last
Year Year Year Year
2 Metered:
2A Residential
2B Commercial
2C Industrial
3 Flat Rate:
3A Residential
3B Commercial
3C Industrial
4 Private Fire Protection
5 Public Fire Protection
6 Street Sprinkling
7 Municipal,Other
8 Other Water Utilities
TOTALS (Add lines 2 through 8)
Rev7/99 Page 12
CERTIFICATE
State of Idaho )
)ss
County of )
WE,the undersigned
and
of the
utility,on our oath do severallysay that the foregoing reporthas 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,informationand belief.
(Chief Officer)
(Officer in Chargeof Accounts)
Subscribedand Sworn to Before Me
this day of
NOTARYPUBLIC
My Commission Expires
gdklexcelljnelsonlanuirpts/wtrannualrpt
Rev7/99 Page 13