Source: http://register.dls.virginia.gov/details.aspx?id=8028
Timestamp: 2020-05-27 21:33:42
Document Index: 541308216

Matched Legal Cases: ['§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56', '§ 56']

Vol. 36 Iss. 19 ( Proposed Regulation) 20VAC5-201, Rules Governing Utility Rate Applications And Annual Informational Filings May 11, 2020
Titles of Regulations: 20VAC5-201. Rules Governing Utility Rate Applications and Annual Informational Filings (amending 20VAC5-201-10 through 20VAC5-201-40, 20VAC5-201-70, 20VAC5-201-90 through 20VAC5-201-110; adding 20VAC5-201-15; repealing 20VAC5-201-50, 20VAC5-201-60, 20VAC5-201-80).
20VAC5-204. Rules Governing Utility Rate Applications and Annual Informational Filings of Investor-Owned Electric Utilities (adding 20VAC5-204-5 through 20VAC5-204-90).
Public Comment Deadline: June 9, 2020.
Agency Contact: Allison Samuel, Principal Utilities Analyst, State Corporation Commission, P.O. Box 1197, Richmond, VA 23218, telephone (804) 225-3177, or email allison.samuel@scc.virginia.gov.
The proposed amendments (i) remove investor-owned electric utilities from Chapter 201, which now only applies to investor-owned gas and water utilities, and (ii) add 20VAC5-204, Rules Governing Utility Rate Applications and Annual Informational Filings of Investor-Owned Electric Utilities, applicable to investor-owned electric utilities. The new chapter establishes minimum filing requirements related to annual informational filings, rate case filings, and prudency determinations under Chapters 10 (§ 56-232 et seq.) and 23 (§ 56-576 et seq.) of Title 56 of the Code of Virginia, including requiring triennial reviews rather than biennial reviews of base rate earnings, expanding the number and types of rate adjustment clauses that may be sought by electric utilities, and permitting the filing of limited prudency reviews under § 56 585.1:4 F of the Code of Virginia.
AT RICHMOND, APRIL 17, 2020
CASE NO. PUR-2020-00022
rules of the State Corporation Commission
governing utility rate application by
In 2007, the Virginia General Assembly amended Chapter 23 of Title 56 of the Code of Virginia ("Regulation Act"), which significantly changed the manner in which certain investor‑owned electric utility rates are regulated. On December 16, 2008, in response thereto, the State Corporation Commission ("Commission") adopted revisions to its Rules Governing Utility Rate Application and Annual Informational Filings, 20 VAC 5-201-10 et seq. ("Existing Rate Case Rules").1
Since the most recent revisions to the Existing Rate Case Rules, the electric utilities, interested parties and the Commission have obtained significant actual experience in implementing the Regulation Act. In addition, subsequent legislative amendments have, among other things, modified the Regulation Act to require triennial reviews rather than biennial reviews of base rate earnings; expanded the number and types of rate adjustment clauses that may be sought by utilities; and permitted the filing of limited prudency reviews under Code § 56‑585.1:4 F. The Regulation Act also establishes various statutory deadlines for the Commission to issue a final order in various types of cases, ranging from 90 days to nine months after filing. These time periods limit the time available for discovery and analysis of requested rate changes.
NOW THE COMMISSION, upon consideration of the foregoing, is of the opinion and finds that a proceeding should be established to promulgate new rules governing utility rate applications and annual informational filings of investor-owned electric utilities ("Investor-owned Electric Utility Rate Case Rules"). In connection therewith, the Commission will also consider limited revisions to the Existing Rate Case Rules to remove their applicability to investor-owned electric utilities (together with Investor-owned Electric Utility Rate Case Rules, "Proposed Rules"). The Commission does not intend to consider any additional changes to the Existing Rate Case Rules beyond removing their applicability to investor-owned electric utilities in this proceeding. To initiate this proceeding, the Commission's Staff ("Staff") has prepared Proposed Rules which are appended to this Order. We will direct that notice of the Proposed Rules be given to the public and that interested persons be provided an opportunity to file written comments on, propose modifications or supplements to, or request a hearing on the Proposed Rules. We further find that a copy of the Proposed Rules should be sent to the Registrar of Regulations for publication in the Virginia Register of Regulations.
The Commission further takes judicial notice of the ongoing public health emergency related to the spread of the coronavirus, or COVID-19, and the declarations of emergency issued at both the state and federal levels.2 The Commission has taken certain actions, and may take additional actions going forward, which could impact the procedures in this proceeding.3 Consistent with these actions, in regard to the terms of the procedural framework established below, the Commission will, among other things, direct the electronic filing of comments.
(1) This matter is docketed as Case No. PUR-2020-00022.
(2) All filings in this matter should be submitted electronically to the extent authorized by Rule 5 VAC 5-20-150, Copies and Format, of the Commission's Rules of Practice and Procedure ("Rules of Practice").4 For the duration of the COVID-19 emergency, any person seeking to hand deliver and physically file or submit any pleading or other document shall contact the Clerk's Office Document Control Center at (804) 371-9838 to arrange the delivery.
(3) The Commission's Division of Information Resources shall forward a copy of this Order for Notice and Comment ("Order"), including a copy of the Proposed Rules, to the Registrar of Regulations for publication in the Virginia Register of Regulations.
(4) An electronic copy of the Proposed Rules may be obtained by submitting a request to Allison F. Samuel in the Commission's Division of Public Utility Regulation at the following email address: Allison.Samuel@scc.virginia.gov. An electronic copy of the Proposed Rules can be found at the Division of Public Utility Regulation's website: https://scc.virginia.gov/pages/Rulemaking. Interested persons may also download unofficial copies of the Order and the Proposed Rules from the Commission's website: https://scc.virginia.gov/pages/Case-Information.
(5) On or before June 9, 2020, any interested person may file comments on the Proposed Rules by following the instructions found on the Commission's website: https://scc.virginia.gov/casecomments/Submit-Public-Comments. Such comments may also include proposals and hearing requests. All comments shall refer to Case No. PUR‑2020‑00022. Any request for hearing shall state with specificity why the issues raised in the request for hearing cannot be adequately addressed in written comments. If a sufficient request for hearing is not received, the Commission may consider the matter and enter an order based upon the papers filed herein.
(6) On or before June 30, 2020, the Staff may file with the Clerk of the Commission a report on or a response to any comments, proposals, or requests for hearing submitted to the Commission on the Proposed Rules.
A COPY hereof shall be sent electronically by the Clerk of the Commission to all persons on the official Service List in this matter. The Service List is available from the Clerk of the Commission.
1Commonwealth of Virginia, ex rel. State Corporation Commission, Ex Parte: In the matter of revising the rules of the State Corporation Commission governing utility rate increase applications pursuant to Chapter 933 of the 2007 Acts of Assembly, Case No. PUE-2008-00001, 2008 S.C.C. Ann. Rept. 462, Order Adopting Regulations (Dec. 16, 2008). In 2012, the Commission initiated a proceeding to consider whether the Existing Rate Case Rules should be revised, ultimately determining that the "proceeding should be closed and a new proceeding should be initiated in the future if necessary to consider revisions to the Rate Case Rules that are applicable to all utilities subject to the Rules." Commonwealth of Virginia, ex rel. State Corporation Commission, Ex. Parte: In the matter of revising the Rules of the State Corporation Commission governing utility rate applications by electric utilities subject to the Virginia Electric Utility Regulation Act, Case No. PUE-2012-00043, 2014 S.C.C. Ann. Rept. 257, Order Closing Proceeding (Nov. 10, 2014).
2See, e.g., Executive Order No. 51, Declaration of a State of Emergency Due to Novel Coronavirus, COVID-19, issued March 12, 2020, by Gov. Ralph S. Northam. See also Executive Order No. 53, Temporary Restrictions on Restaurants, Recreational, Entertainment, Gatherings, Non-Essential Retail Businesses, and Closure of K-12 Schools Due to Novel Coronavirus (COVID-19), issued March 23, 2020, by Governor Ralph S. Northam, and Executive Order No. 55, Temporary Stay At Home Order Due to Novel Coronavirus (COVID-19), issued March 30, 2020, by Governor Ralph S. Northam.
3See, e.g., Commonwealth of Virginia, ex rel. State Corporation Commission, Ex Parte: Electronic Service of Commission Orders, Case No. CLK-2020-00004, Doc. Con. Cen. No. 200330035, Order Concerning Electronic Service of Commission Orders (Mar. 19, 2020); Commonwealth of Virginia, ex rel., State Corporation Commission, Ex Parte: Revised Operating Procedures During COVID-19 Emergency, Case No. CLK-2020-00005, Doc. Con. Cen. No. 200330042, Order Regarding the State Corporation Commission's Revised Operating Procedures During COVID-19 Emergency (Mar. 19, 2020); Commonwealth of Virginia, ex rel. State Corporation Commission, Ex Parte: Electronic service among parties during COVID-19 emergency, Case No. CLK-2020-00007, Doc. Con. Cen. No. 200410009, Order Requiring Electronic Service (Apr. 1, 2020).
45 VAC 5-20-10 et seq.
RULES GOVERNING UTILITY RATE APPLICATIONS AND ANNUAL INFORMATIONAL FILINGS OF INVESTOR-OWNED GAS AND WATER UTILITIES
B. Applications pursuant to 20VAC5-201-20 through, 20VAC5-201-30, 20VAC5-201-40, and 20VAC5-201-70 shall include:
1. The name and post office address of the applicant and the name and post office address of its the applicant's counsel.
b. Each exhibit shall be labeled with the name of the applicant and the initials of the sponsoring witness in the upper right hand corner as shown below follows:
e. The required accounting and statistical data shall include all work papers and other information necessary to ensure that the items, statements, and schedules are not misleading.
C. This chapter does not limit the commission staff or parties from raising issues for commission consideration that have not been addressed in the applicant's filing before the commission. Except for good cause shown, issues specifically decided by commission order entered in the applicant's most recent rate case may not be raised by staff or interested parties in Earnings Test Filings made pursuant to 20VAC5-201-10, or 20VAC5-201-30 or 20VAC5-201-50.
E. The commission may waive any part or all parts of this chapter for good cause shown.
H. Applicants shall file electronic media containing an electronic spreadsheet version of Schedules 1 - through 5, 8 - through 28, 36, 40, and 50, as applicable, with the commission's Division of Utility Accounting and Finance and the Division of Energy Regulation or the Division of Communications, as appropriate. Such electronic media containing calculations derived from formulas shall be provided in an electronic spreadsheet including all underlying formulas and assumptions. Such electronic spreadsheet shall be commercially available and have common use in the utility industry. Additional versions of such schedules shall be made available to parties upon request.
I. All applications, including direct testimony and Schedules 1 - through 28, 30 - through 39, and 41 - through 50, as applicable, shall be filed in an original and 12 copies with the Clerk of the Commission, c/o Document Control Center, P.O. Box 2118, Richmond, Virginia 23218. One copy of Schedules 29 and 40 shall be filed with the Clerk of the Commission. Applicants may omit filing Schedule 29 with the Clerk of the Commission in Annual Informational Filings. Additional copies of such schedules shall be made available to parties upon request.
J. For any application made pursuant to 20VAC5-201-20 and, 20VAC5-201-40 through, 20VAC5-201-70, and 20VAC5-201-85, the applicant shall serve a copy of the information required in subsection A and subdivisions B 1 through, B 2, and B 3 of this section, upon the attorney and chairman of the board of supervisors of each county (or equivalent officials in the counties having alternate forms of government) in this Commonwealth affected by the proposed increase and upon the mayor or manager and the attorney of every city and town (or equivalent officials in towns and cities having alternate forms of government) in this Commonwealth affected by the proposed increase. The applicant shall also serve each such official with a statement that a copy of the complete application may be obtained at no cost by making a request therefor orally or in writing to a specified company official or location. In addition, the applicant shall serve a copy of its complete application upon the Division of Consumer Counsel of the Office of the Attorney General of Virginia. All such service specified by this section shall be made either by (i) personal delivery or (ii) first class mail, to the customary place of business or to the residence of the person served.
20VAC5-201-15. Applicability to applications of investor-owned electric utilities.
This chapter shall not apply to applications filed by investor-owned electric utilities on or after October 1, 2020.
1. Exhibits consisting of Schedules 1-43 1 through 43 and the utility's direct testimony shall be submitted. Such schedules shall be identified with the appropriate schedule number and shall be prepared in accordance with the instructions contained in 20VAC5-201-90.
2. An applicant subject to § 56-585.1 of the Code of Virginia shall file Schedules 45 and 47 in addition to the schedules required in subdivision A 1 of this section in accordance with the instructions accompanying such schedules in 20VAC5-201-90.
3. An exhibit consisting of additional schedules may be submitted with the utility's direct testimony. Such exhibit shall be identified as Schedule 50 (this exhibit may include numerous subschedules labeled 50A et seq.).
C. Applicants meeting each of the four following criteria may omit Schedules 9-18 9 through 18 in rate applications: (i) the applicant is not subject to § 56-585.1 of the Code of Virginia, (ii) the applicant is not currently bound by a performance-based regulation plan authorized by the commission pursuant to § 56-235.6 of the Code of Virginia that includes an earnings sharing mechanism or other attribute for which the commission has directed the performance of an Earnings Test, (iii) (ii) the applicant has no Virginia jurisdictional regulatory assets on its books, and (iv) (iii) the applicant is not seeking to establish a regulatory asset.
3. The applicant may propose new allocation methodologies, rate designs, and new or revised terms and conditions provided such proposals are supported by appropriate cost studies. Such support shall be included in Schedule 40.
20VAC5-201-30. Annual informational filings.
Unless modified per a commission-approved alternative regulatory plan, each utility not subject to § 56-585.1 of the Code of Virginia, and which is not requesting a base rate increase shall make an annual informational filing consisting of Schedules 1-7 1 through 7, 9, 11-12 11, 12, 14-19 14 through 19, 21-22, 24-25 21, 22, 24, 25, 27, 28, and 40 a and b as identified in 20VAC5-201-90. The test period shall be the current 12 months ending in the same month used in the utility's most recent rate application. This information shall be filed with the commission within 120 days after the end of the test period. Accounting adjustments reflected in Column (2) of Schedule 21 shall incorporate the ratemaking treatment approved by the commission in the utility's last rate case and shall be calculated in accordance with the Expedited Rules of Schedule 25. Requirements found in 20VAC5-201-10 B 2 through, B 3, and B 4 may be omitted in Annual Informational Filings.
Applicants meeting each of the four following criteria may omit Schedules 9-18 9, 11, 12, 14, and 15 through 18 in Annual Informational Filings: (i) the applicant is not subject to § 56-585.1 of the Code of Virginia, (ii) the applicant is not currently bound by a performance-based regulation plan authorized by the commission pursuant to § 56-235.6 of the Code of Virginia that includes an earnings sharing mechanism or other attribute for which the commission has directed the performance of an Earnings Test, (iii) (ii) the applicant has no Virginia jurisdictional regulatory assets on its books, and (iv) (iii) the applicant is not seeking to establish a regulatory asset.
A. An applicant, other than those subject to § 56-585.1 of the Code of Virginia, that files an application for performance-based regulation pursuant to § 56-235.6 of the Code of Virginia shall file Schedules 1-32 1 through 32 and 34-43 34 through 43 as identified in 20VAC5-201-90.
20VAC5-201-50. Biennial review applications. (Repealed.)
4. An exhibit consisting of Schedule 49 shall be submitted with the utility's direct testimony, if required.
5. An exhibit consisting of additional schedules may be submitted with the utility's direct testimony. Such exhibit shall be identified as Schedule 50 (this exhibit may include subschedules as needed labeled 50A et seq.).
6. A reconciliation of Schedules 19 and 22 to the statement of income and comparative balance sheet contained in FERC Form No. 1.
20VAC5-201-60. Rate adjustment clause filings. (Repealed.)
An application filed pursuant to § 56-585.1 A 4, 5 or 6 of the Code of Virginia shall include Schedules 45 and 46 as identified and described in 20VAC5-201-90, and which shall be submitted with the utility's direct testimony.
A. Applicants that file a request for a temporary increase in rates pursuant to § 56-245 of the Code of Virginia shall include Schedules 1-7 1 through, 9, 11-12 11, 12, 14 and 16-18, 16, 17, and 18 as identified and described in 20VAC5-201-90.
20VAC5-201-80. Fuel factor filings. (Repealed.)
The following instructions for schedules and exhibits including those specifically set forth in 20VAC5-201-95 (Schedules 1‑14) 1 through 14), 20VAC5-201-100 (Schedules 15‑22) 15 through 22), and 20VAC5-201-110 (Schedules 23‑28, 40 and 44) 24 through 28 and 40) are to be used in conjunction with this chapter:
Schedule 1 - Historic Profitability and Market Data
Instructions: Using the format of the attached schedule and the following definitions provided below, provide the data for the test year and four prior fiscal years. The information shall be compatible with the latest stockholder's annual report (including any restatements). Information in Sections A and B shall be compiled for the corporate entity that raises equity capital in the marketplace. Information in Section C shall be compiled for the subsidiary company that provides regulated utility service in Virginia.
Definitions for Schedule 1
Return on Year End Equity* =
Year End Common Equity
The Average of Year End Equity for the Current & Previous Year
Dividends Per Share = Common Dividends Paid per Share During the Year
Average Market Price** = (Yearly High + Yearly Low Price)/2
Dividend Yield = DPS/ Average Market Price**
Price Earnings Ratio = Average Market Price**/EPS
*Job Development Credits shall not be included as part of equity capital nor shall a deduction be made from earnings for a capital charge on these Job Development Credits in Schedule 1.
Schedule 2 - Interest and Cash Flow Coverage Data
Instructions: This schedule shall be prepared using the following definitions and instructions given below and presented in the format of the attached schedule. The information shall be provided for the test year and the four prior fiscal years based on information for the Applicant applicant and for the consolidated company if Applicant the applicant is a subsidiary.
- Interest (Lines 3, 4, & and 5) shall include amortization of expenses, discounts, and premiums on debt without deducting an allowance for borrowed funds used during construction.
- Income taxes (Line 2) shall include federal and state income taxes.
- Allowance for Funds Used During Construction ("AFUDC") (Line 8), where applicable, is total AFUDC -- for borrowed and other funds.
- Preferred dividends (Line 13) for a subsidiary may need to be allocated from the parent's total preferred dividends. Specify the allocation factor and the methodology used in a footnote.
- Construction expenditures (Line 15) are net of AFUDC.
- Common dividends (Line 16) for a subsidiary shall be stated per books. If the subsidiary's dividend payout ratio differs from the consolidated company's payout ratio, show in a footnote the subsidiary's common dividends based on the consolidated company's payout ratio.
Schedule 3 - Capital Structure and Cost of Capital Statement – Per Books and Average
Instructions: This schedule shall show the amount of each capital component per balance sheet, the amount for ratemaking purposes, the percentage weight in the capital structure, and the component cost and weighted cost, using the format in the attached schedule. The information shall be provided for the test period, the four prior fiscal years, and on a 13-month average or five-quarter average basis for the test period. The data shall be provided for the entity whose capital structure was approved for use in the applicant's last rate case.
In Part A, the information shall be compatible with the latest Stockholders' Annual Report (including any restatements). In Parts B, C, and D, the methodology shall be consistent with that approved in the applicant's last rate case. Reconcile differences between Parts A and B for both end-of-test-period and average capital structures.
The amounts for short-term debt and revolving credit agreements (and similar arrangements) in Part B shall be based where possible on a daily average over the test year, or alternatively on a 13-month average over the test year. Except for the Part B amount for short-term debt and average amounts in Column (6), all other accounts are end-of-year and end-of-test period.
The component weighted cost rates equal the product of each component's capital structure weight for ratemaking purposes times its cost rate. The weighted cost of capital is equal to the sum of the component weighted cost rates. The Job Development Credits cost is equal to the weighted cost of permanent capital (long-term debt, preferred stock, and common equity).
For investor-owned electric utilities subject to § 56-585.1 of the Code of Virginia, Parts A, B, C, and D shall be based on the utility's actual, end-of-period capital structure.
Schedule 4 - Schedules of Long-Term Debt, Preferred and Preference Stock, Job Development Credits, and Any Other Component of Ratemaking Capital
Instructions: For each applicable capital component, provide a schedule that shows, for each issue, the amount outstanding, its percentage of the total capital component, and effective cost based on the embedded cost rate. This data shall support the amount and cost rate of the respective capital components contained in Schedule 3, consistent with the methodology approved in the applicant's last rate case. In addition, a detailed breakdown of all job development credits should be provided that reconciles to the per books balance of investment tax credits. These schedules should reflect disclosure of any associated hedging/derivative instruments, their respective terms and conditions (instrument type, notional amount and associated series of debt or preferred stock hedged, period in effect, etc.), and the impact of such instruments on the cost of debt or preferred stock.
Schedule 5 - Schedule of Short-Term Debt, Revolving Credit Agreements, and similar Short-Term Financing Arrangements
Instructions: Utilities that are not subject to § 56-585.1 of the Code of Virginia shall provide data and explain the methodology, which should be consistent with the methodology approved in the applicant's last rate case, used to calculate the cost and balance contained in Schedule 3 for short-term debt, revolving credit agreements, and similar arrangements.
Investor-owned electric utilities subject to § 56-585.1 shall file data consistent with the utility's end of test period capital structure and cost of short-term debt.
This schedule should also provide detailed disclosure of any hedging/derivative instruments related to short-term debt, their respective terms and conditions (instrument type, notional amount and associated series of debt hedged, period in effect, etc.), and the impact of such instruments on the cost of short-term debt.
Schedule 6 - Public Financial Reports
Instructions: Provide copies of the most recent Stockholder's Annual Report, Securities and Exchange Commission Form 10-K, and Form 10-Q for the applicant and the consolidated parent company if the applicant is a subsidiary. If published, provide a copy of the most recent statistical or financial supplement for the consolidated parent company.
Schedule 7 - Comparative Financial Statements
Instructions: If not provided in the public financial reports for Schedule 6, provide comparative balance sheets, income statements, and cash flow statements for the test year and the 12-month period preceding the test year for the applicant and its consolidated parent company if applicant is a subsidiary.
Schedule 8 - Proposed Cost of Capital Statement
Instructions: Provide the applicant's proposed capital structure/cost of capital schedule. In conjunction, provide schedules that support the amount and cost of each component of the proposed capital structure, and explain all assumptions used.
Schedule 9 - Rate of Return Statement – Earnings Test – Per Books
Instructions: Use format of attached schedule.
Schedule 9 shall reflect average rate base, capital, and common equity capital. Interest expense, preferred dividends, and common equity capital shall be calculated by using the average capital structure included in Schedule 3 B and average rate base.
Utilities not subject to § 56-585.1 of the Code of Virginia shall file only Columns (1)-(3) on Schedule 9.
Schedule 10 - Rate of Return Statement – Earnings Test – Generation and Distribution Per Books
Utilities not subject to § 56-585.1 of the Code of Virginia may omit Schedule 10.
Use format of attached schedule.
Schedule 10 shall reflect average rate base, capital and common equity capital. Interest expense, preferred dividends and common equity capital shall be calculated by using the average capital structure included in Schedule 3 B and average rate base.
Schedule 10 Columns (2) - (3) shall reflect revenues, expenses and rate base for each commission-approved rate adjustment clause pursuant to §§ 56-585.1 A 5 b, c and d or A 6 of the Code of Virginia.
Schedule 11 - Rate of Return Statement – Earnings Test – Adjusted to A Regulatory Accounting Basis
Instructions: For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 11 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 11A, reflecting generation only operation, and Schedule 11B, reflecting distribution only operations, using the same format as Schedule 11. Use format of attached schedule.
Schedule 11 adjustments in Column (2) shall reflect any financial differences between Generally Accepted Accounting Principles ("GAAP") and regulatory accounting as prescribed by the commission. Each Column (2) adjustment shall be separately identified and reflected in Schedule 16.
A per books regulatory accounting adjustment to reflect Job Development Credit (JDC) Capital Expense shall be reflected in Schedule 11 Column (2), if applicable. Column (3) JDC Capital Expense shall be calculated as follows:
JDC Capital Expense = Rate Base (line 25) * weighted cost of JDC Capital in Schedule 3
The associated income tax savings shall be reflected in lines 5 and 6, Column (2) as follows:
Associated income tax savings = total average rate base (line 25) * weight of JDC capital (Sch. 3) * weighted cost of debt component of the JDC cost component (Sch. 3) * (Federal and State Income Tax rate * -1)
Schedule 11 Line 15 other income/(expense) shown in Column (3) shall be the current amount of other income/(expense) categorized as jurisdictional in the applicant's last rate case.
Schedule 12 - Rate Base Statement – Earnings Test – Per Books
Utilities not subject to § 56-585.1 of the Code of Virginia shall file only Columns (1)-(3) on Schedule 12.
Applicants with jurisdictional per books operating revenues of more than $150 million shall calculate cash working capital allowance using a lead/lag study. Schedules 17 and 18 shall be provided detailing the cash working capital computation for Schedule 12 Columns (1) and (3). Applicants with jurisdictional per books operating revenues between $20 and $150 million may include a zero cash working capital requirement rather than perform a lead/lag study. Applicants with jurisdictional per books operating revenues less than $20 million may use a formula method to calculate cash working capital.
Schedule 13 - Rate Base Statement – Earnings Test – Generation and Distribution Per Books
Instructions: Utilities not subject to § 56-585.1 of the Code of Virginia may omit Schedule 13.
For utilities subject to § 56-585.1, Schedule 13 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 13A, reflecting generation only operations, and Schedule 13B, reflecting distribution only operations, using the same format as Schedule 13.
Schedule 13 Columns (2)-(3) shall reflect rate base information for each commission-approved rate adjustment clause pursuant to §§ 56-585.1 A5 b, c and d or A6 of the Code of Virginia.
Cash working capital allowance shall be calculated using the instructions in Schedule 12.
Schedule 14 - Rate Base Statement – Earnings Test – Adjusted to Regulatory Accounting Basis
Instructions: For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 14 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 14A, reflecting generation only operations, and Schedule 14B, reflecting distribution only operations, using the same format as Schedule 14. Use format of attached schedule.
Cash working capital allowance shall be calculated using the instructions in Schedule 12. Schedule 14 Column (2) shall reflect adjustments necessary to identify any financial differences between Generally Accepted Accounting Principles and regulatory accounting as prescribed by the commission.
Schedule 15 - Schedule of Regulatory Assets and Per Books Deferral Pursuant to Enactment Clause 5 of Chapter 3 of the 2004 Acts of Assembly, Special Session I
Instructions: If applicable per Schedules 9 and 12 instructions. Use format of attached schedule.
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 15 shall reflect combined generation and distribution operations as well as generation only operations and distribution only operations.
All regulatory assets shall be individually listed with associated deferred income tax. Indicate whether the regulatory asset is included in financial reporting or is currently recognized for ratemaking purposes only.
Schedule 16 - Detail of Regulatory Accounting Adjustments
Instructions: If applicable per Schedules 9 and 12 instructions.
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 16 shall reflect combined generation and distribution operations as well as generation only operations and distribution only operations.
Each regulatory accounting adjustment shall be numbered sequentially beginning with ET-1 and listed under the appropriate description category (Operating Revenues, Interest Expense, Common Equity Capital, etc.).
Each regulatory accounting adjustment shall be fully explained in the description column of this schedule. Regulatory accounting adjustments shall adjust from a financial accounting basis to a regulatory accounting basis. Adjustments to reflect going-forward operations shall not be included on this schedule.
Detailed workpapers substantiating each adjustment shall be provided in Schedule 29.
Schedule 17 - Lead/Lag Cash Working Capital Calculation – Earnings Test
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 17 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 17A, reflecting generation only operations, and Schedule 17B, reflecting distribution only operations, using the same format as Schedule 17.
Total Balance Sheet Net Source/Use of Average Cash Working Capital determined in Schedule 18 shall be included in the Total Cash Working Capital amount in this schedule.
The Total Cash Working Capital amount determined in this schedule shall be included in Schedules 12-14 12 and 14.
Utilities required to use a lead/lag study should perform a complete lead/lag analysis every five years. Major items, such as the revenue lag and balance sheet accounts, should be reviewed every year.
Schedule 18 - Balance Sheet Analysis – Earnings Test
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 18 shall reflect combined generation and distribution operations as well as generation only operations and distribution only operations.
All sources/uses uses and sources of cash working capital shall be detailed in this schedule. The associated accumulated deferred income tax shall also be included as a source/use use or source.
The Net Source/Use of Average Cash Working Capital determined in this schedule shall be included in Schedule 17.
Support for the above schedule Schedule 18 shall include a list of all balance sheet subaccounts and titles. Indicate whether the account's impact is included in (1) (i) the balance sheet analysis, (2) (ii) the capital structure, (3) (iii) the income statement portion of the lead/lag study, or (4) (iv) excluded from cost of service.
Schedule 19 - Rate of Return Statement – Per Books
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 19 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 19A, reflecting generation only operations, and Schedule 19B, reflecting distribution only operations, using the same format as Schedule 19.
Utilities not subject to § 56-585.1 shall file only Columns (1)-(3) on Schedule 19.
Column (1) interest expense, preferred dividends, and common equity capital shall be calculated by using the capital structure included in Schedule 3 or Schedule 8 and end of test year level rate base.
Schedule 20 - Rate of Return Statement – Generation and Distribution Per Books
Utilities not subject to § 56-585.1 of the Code of Virginia may omit Schedule 20.
Schedule 20 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 20A, reflecting generation only operations, and Schedule 20B, reflecting distribution only operations, using the same format as Schedule 20.
Schedule 20 Columns (2)-(4) shall reflect revenues, expenses and rate base for each commission-approved rate adjustment clause pursuant to §§ 56-585.1 A 5 b, c and d or A 6 of the Code of Virginia.
Interest expense, preferred dividends and common equity capital shall be calculated by using the capital structure included in Schedule 3 or Schedule 8 and end of test year level rate base.
Schedule 21 - Rate of Return Statement – Reflecting Ratemaking Adjustments
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 21 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 21A, reflecting generation only operations, and Schedule 21B, reflecting distribution only operations, using the same format as Schedule 21.
Schedule 21 Column (2) adjustments shall be separately identified and reflected in Schedule 25.
Interest expense, preferred dividends, and common equity capital shall be calculated by using the capital structure included in Schedule 3 or Schedule 8 and an adjusted level of rate base.
After ratemaking adjustments, JDC capital expense shall be calculated as follows:
Total rate base (line 29) * weighted cost of JDC capital in Schedule 3 or Schedule 8
Applicants filing pursuant to 20VAC5-201-30 may omit columns Columns (4) and (5).
Schedule 22 - Rate Base Statement – Per Books
Utilities not subject to § 56-585.1 of the Code of Virginia shall file only Columns (1)-(3) on Schedule 22.
Applicants with jurisdictional per books operating revenues more than $150 million shall calculate cash working capital allowance using a lead/lag study. Schedules 27 and 28 shall be provided detailing the cash working capital computation for Columns (1), (3), and (7). Applicants with jurisdictional per books operating revenues between $20 million and $150 million may include a zero cash working capital requirement rather than perform a lead/lag study. Applicants with jurisdictional per books operating revenues less than $20 million may use a formula method to calculate cash working capital.
Schedule 23 - Rate Base Statement – Generation and Distribution Per Books
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 23 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 23A, reflecting generation only operations, and Schedule 23B, reflecting distribution only operations, using the same format as Schedule 23.
Utilities not subject to § 56-585.1 may omit Schedule 23.
Schedule 23 Columns (2) - (4) shall reflect rate base information for each commission-approved rate adjustment clause pursuant to §§ 56-585.1 A 5 b, c and d or A 6 of the Code of Virginia.
Cash working capital allowance shall be calculated using instructions in Schedule 22.
Schedule 24 - Rate Base Statement – Adjusted – Reflecting Ratemaking Adjustments
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 24 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 24A, reflecting generation only operations, and Schedule 24B, reflecting distribution only operations, using the same format as Schedule 24.
Schedule 25 - Detail of Ratemaking Adjustments
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 25 shall reflect combined generation and distribution operations as well as generation only operations and distribution only operations.
Ratemaking adjustments shall reflect a rate year level of revenues and expenses. Rate base adjustments may reflect no more than a rate year average. In Expedited Filings, Column (4) Ratemaking Adjustments shall reflect a rate year level of only those types of adjustments previously approved for the applicant.
Schedule 26 - Revenue Requirement Reconciliation
Instructions: Use format of attached lead schedule. An example of a supporting schedule is provided.
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 26 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 26A, reflecting generation only operations, and Schedule 26B, reflecting distribution only operations, using the same format as Schedule 26.
Provide a revenue reconciliation of each topic or subject that affects the revenue requirement. All components of each topic or subject shall be detailed (i.e., payroll and related = payroll, benefits, payroll taxes, and related tax effect) on a supporting schedule. Cash working capital shall be considered a separate topic or subject rather than as a component of each topic or subject.
Schedule 27 - Lead/Lag Cash Working Capital Calculation – Adjusted
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 27 shall reflect combined generation and distribution operations. Additionally, such utilities shall file Schedule 27A, reflecting generation only operations, and Schedule 27B, reflecting distribution only operations, using the same format as Schedule 27.
Total Balance Sheet Net Source/Use of Average Cash Working Capital determined in Schedule 28 shall be included in the Total Cash Working Capital amount in this schedule.
The Total Cash Working Capital amount determined in this schedule shall be included in Schedules 22-24 22 and 24.
Utilities required to use a lead/lag study should perform a complete lead/lag analysis every five years. Major items such as the revenue lag and balance sheet accounts should be reviewed every year.
Schedule 28 - Balance Sheet Analysis – Adjusted
For utilities subject to § 56-585.1 of the Code of Virginia, Schedule 28 shall reflect combined generation and distribution operations as well as generation only operations and distribution only operations.
The Net Source/Use of Average Cash Working Capital determined in this schedule shall be included in Schedule 27.
Support for the above schedule should include a list of all balance sheet subaccounts and titles. Indicate whether the account's impact is included in (1) (i) the balance sheet analysis, (2) (ii) the capital structure, (3) (iii) the income statement portion of the lead/lag study, or (4) (iv) excluded from cost of service. Include a brief description of the costs included in each account.
Schedule 29 - Workpapers for Earnings Test and Ratemaking Adjustments
Instructions: Include a table of contents listing the work papers included in this schedule.
(a) a. Provide a narrative explaining the purpose and methodology used for each adjustment identified in subsections (b) b and (d) below, which d of these instructions that have not been addressed in the applicant's prefiled testimony. Such explanation shall reference any relevant Financial Accounting Standards Board ("FASB") statement or commission precedent if known or available.
(b) b. Provide a summary calculation of each earnings test adjustment included in Schedule 16. Each summary calculation shall identify the source documents used to prepare such calculation.
(c) c. Provide all relevant documents, references, and information necessary to support the summary calculation required in subsection (b) b of these instructions for each proposed earnings test adjustment. Amounts identified as per books costs shall include any documentation or references necessary to verify such amount to Schedule 40A. Working papers shall be indexed and tabbed for each adjustment and include the name of the primary employee or employees responsible for the adjustment. All documents and information as referenced above should include, but not be limited to, general ledgers, payroll distributions, billing determinants, invoices, and actuarial reports. Supporting documentation that is voluminous may be made available at the applicant's office.
(d) d. Provide a summary calculation of each rate year adjustment included in Schedule 25. Each summary calculation shall identify the source documents used to prepare such calculation.
(e) e. Provide all relevant documents and information necessary to support the summary calculation required in subsection (d) d of these instructions for each proposed rate year adjustment. Amounts identified as per books costs shall include any documentation necessary to verify such amount to Schedule 40b. Working papers shall be indexed and tabbed for each adjustment and include the name of the primary employee or employees responsible for the adjustment. All documents and information as referenced above in subsections a through e of these instructions should include, but not be limited to, general ledgers, payroll distributions, billing determinants, invoices, and actuarial reports.
(f) Investor-owned electric utilities subject to § 56-585.1 of the Code of Virginia shall separately identify functional information for each earnings test and proposed rate year adjustment required in subsections (b) and (d).
Schedule 30 - Revenue and Expense Variance Analysis
Instructions: Applicant shall quantify jurisdictional operating revenues and system operating and maintenance ("O&M") expenses by primary account as specified by the appropriate federal or state Uniform System of Accounts (Federal Energy Regulatory Commission, Federal Communications Commission, National Association of Regulatory Commissioners) (hereinafter referred to as "USOA account") during the test period and the preceding 12 months. Also, provide jurisdictional sales volumes by customer class for the test period.
Applicants shall file a schedule detailing all revenue and expense accounts by month for the test period. For applicants subject to § 56-585.1 of the Code of Virginia, the test period shall be the second year of the two successive year test periods. Applicants shall provide a detailed explanation of all jurisdictional revenue and system expense increases or decreases of more than 10% during the test period compared to the previous 12-month period. The expense variance analysis applies to test period expense items greater than one-tenth of one percent (.001) of Operating & Maintenance expenses, excluding fuel factor and purchased gas adjustment costs. Additionally, the applicant shall have an accounts payable ledger or schedule of all accounts payable for review at the applicant's office as of the date of the applicant's filing.
Schedule 31 - Advertising Expense
Instructions: A schedule detailing advertising expense by USOA account and grouped according to the categories identified in § 56-235.2 of the Code of Virginia shall be provided. Advertising costs that are not identifiable to any of those categories shall be included in a separate category titled "other." If applicant seeks rate relief, demonstrate that the applicant's advertising meets the criteria established in § 56-235.2.
Schedule 32 - Storm Damage
Instructions: This schedule applies to electric utilities only. Provide a schedule identifying major storm damage expense by month, FERC account and internal or third-party cost for the test year and the previous three years. Include a detailed description of the damage sustained, the length of outages associated with the storm damage and work necessary to restore service.
Schedule 33 - Generating Unit Performance
Instructions: This schedule applies to those applicants subject to § 56-585.1 of the Code of Virginia. Provide a detailed schedule of each generating unit outage or derate identifying whether the outage or derate was planned, maintenance or forced, and start and end dates, cause and cost. Additionally, provide the heat rate, equivalent availability factor, equivalent forced outage rate and net capacity factor for each unit.
Schedule 34 - Miscellaneous Expenses
Instructions: Provide a description of amounts paid and USOA accounts charged for each charitable and educational donation, each payment to associated industry organizations, and all other miscellaneous general expenses. Individual items aggregating to less than 5.0% of the total miscellaneous expense may be reflected in an "Other" line item. Advertising expenses included in Schedule 31 should be excluded from this schedule.
Schedule 35 - Affiliate Services
Instructions: For purposes of this schedule affiliate services shall be defined to include those services between regulated and nonregulated divisions of an incumbent utility. If any portion of the required information has been filed with the commission as part of an applicant's Annual Report of Affiliate Transactions, the applicant may reference such report clearly identifying what portions of the required information are included in the Annual Report of Affiliate Transactions.
Provide a narrative description of each affiliated service received or provided during the test period.
Provide a summary of affiliate transactions detailing costs by type of service provided (e.g., accounting, auditing, legal and regulatory, human resources, etc.) for each month of the test period. Show the final USOA account distribution of all costs billed to or by the regulated entity by month for the test period.
Cost records and market analyses supporting all affiliated charges billed to or by the regulated entity/division shall be maintained and made readily available for commission staff review. This shall include supporting detail of costs (including the return component) incurred by the affiliated interest rendering the service and the allocation methodology. In situations when the pricing is required to be the higher (lower) of cost or market and market is unavailable, note each such transaction and have data supporting such a finding available for commission staff review.
If affiliate charges are booked per a pricing mechanism other than that approved by the commission, the regulated entity shall provide a reconciliation of books to commission-approved pricing, including an explanation of why the commission-approved pricing is not used for booking purposes.
Schedule 36 - Income Taxes
Instructions: Provide a schedule detailing the computation of test period current state and federal income taxes on a total company and Virginia jurisdictional basis. Such schedule should provide a complete reconciliation between book and taxable income showing all individual differences. Additionally, provide a schedule detailing the computation of fully adjusted, current state and federal income taxes applicable to the Virginia jurisdiction.
Provide a schedule detailing the individual items of deferred state and federal income tax expense for the test period on a total company and Virginia jurisdictional basis. Additionally, provide a schedule detailing the computation of fully adjusted, deferred state and federal income tax applicable to the Virginia jurisdiction.
Provide a detailed reconciliation between the statutory and effective income tax rates for the test period. Schedule should quantify individual reconciling items by dollar amount and percentage. Individual items should include but not be limited to permanent differences (itemize), flow-through depreciation, excess deferred FIT amortization, and deferred Investment Tax Credit ("ITC") amortization.
Provide a detailed listing of individual accumulated deferred income tax and accumulated deferred ITC amounts as of the end of test period. Separately identify those items affecting the computation of rate base on both a total company and Virginia jurisdictional basis. Additionally, provide a detailed listing of individual accumulated deferred income tax and accumulated deferred ITC amounts for the earnings test rate base (if applicable), the end of test period rate base, and the fully-adjusted rate base, on a Virginia jurisdictional basis.
Provide a detailed reconciliation between the federal and state current tax expense on a stand-alone basis and the actual per book federal and state current tax expense for the test period on a total company and Virginia jurisdictional basis.
Provide a schedule depicting, by month, all federal and state income tax payments made during the test year. For each payment, identify the recipient.
Provide a detailed reconciliation between deferred federal and state income expense computed on a stand-alone basis and the actual per book deferred federal and state income tax expense, on a total company and Virginia jurisdictional basis.
Provide a detailed reconciliation between individual accumulated deferred federal and state income tax assets and liabilities computed on a stand-alone basis and the actual per book accumulated deferred income tax amounts as of the end of the test period, on a total company and Virginia jurisdictional basis. Additionally, provide a detailed listing of individual accumulated deferred income tax assets and liabilities computed on a stand-alone basis for the earnings test rate base (if applicable), the end of test period rate base, and the fully-adjusted rate base, on a Virginia jurisdictional basis.
Schedule 37 - Organization
Instructions: Provide an organizational chart of the applicant and its parent company detailing subsidiaries and divisions. Provide details of any material corporate reorganizations since the applicant's last rate case. Explain the reasons and any ratemaking impact of each such reorganization.
Schedule 38 - Changes in Accounting Procedures
Instructions: Detail any material changes in accounting procedures adopted by either the parent/service company or the utility since the applicant's last rate case. Explain any ratemaking impact of such changes.
Identify any write-offs or write-downs associated with assets (i.e., plant, tax accounts, etc.) that have been retained, transferred, or sold.
Schedule 39 - Out-of-Period Book Entries
Instructions: Provide a summary schedule prepared from an analysis of journal entries showing "out-of-period" items booked during the test period. Show journal entry number, amount, USOA account, and explanation of charge.
Schedule 40 - Jurisdictional and Class Cost of Service Study
Investor-owned electric utilities subject to § 56-585.1 of the Code of Virginia shall provide functionally separate schedules for generation, transmission and distribution information for subsections (a), (b) and (c) as well as bundled information. Each functional schedule shall provide separate columns, as applicable, for each rate adjustment clause approved by the commission under § 56-585.1 A 4, 5 or 6.
(a) a. Provide detailed calculations for all jurisdictional allocations for each revenue, expense and rate base USOA account used to create Schedules 9 and 10 Schedule 9. Allocations should be based on test year average data. Show the allocation basis for each primary USOA account and for any amount included therein with a unique allocation basis. Explain the methodology used and why such method is proposed. Discuss all changes in the applicant's operations that have materially changed any allocation factor since the last rate case.
(b) b. Provide detailed calculations for all jurisdictional allocations for each revenue, expense, and rate base USOA account used to create Schedules 19 and 22. Show the allocation basis for each primary USOA account and for any amount included therein with a unique allocation basis. Explain the methodology used and why such method is proposed. Discuss all changes in the applicant's operations that have materially changed any allocation factor since the last rate case. For electric utilities, provide the calculations supporting the applicant's line loss percentages. Additionally, clearly show the derivation of the transmission cost components allocated to Virginia.
(c) c. Provide a class cost of service study showing the allocation basis for each primary USOA account and for any amount included therein with a unique allocation basis. Explain the methodology used and why such method is proposed. Class transmission allocations shall reflect the Virginia retail information that has been converted from the Federal Energy Regulatory Commission (FERC) approved wholesale information. Provide a detailed calculation and explanation showing how the FERC wholesale transmission information is converted to Virginia retail information. Discuss all changes in the applicant's operations that have materially changed any allocation factor since the last rate case.
(d) d. Applicant shall provide appropriate supporting cost data for new allocation methodologies or rate design proposals in expedited rate applications.
Schedule 41 - Proposed Rates and Tariffs
Instructions: Provide a summary of the rates designed to effect the proposed revenue increase. Provide a copy of all tariff pages that the applicant proposes to revise in this proceeding, with revisions indicated by a dashed line (--) through proposed deletions and by underlining proposed additions.
Schedule 42 - Present and Proposed Revenues
(a) a. Provide the detailed calculations supporting total per books revenues in Column (3) of Schedule 21. The present revenues from each of the applicant's services shall be determined by multiplying the current rates times the test period billing units (by rate block, if applicable).
(b) b. Provide a detailed calculation supporting total adjusted revenues in Column (5) of Schedule 21. The proposed revenues from each of applicant's services shall be determined by multiplying the proposed rates by the adjusted billing units (by rate block, if applicable). Detail by rate schedule all miscellaneous charges and other revenues, if applicable. Reconcile per books billing units to adjusted billing units itemizing changes such as customer growth, weather, btu Btu content and miscellaneous revenues. The revenue changes for applicant's services should be subtotaled into the applicant's traditional categories.
Schedule 43 - Sample Billing
Instructions: Electric, natural Natural gas and water or sewer utilities shall provide a sample billing analysis detailing the effect on each rate schedule at representative levels of consumption.
Schedule 44 - Rate Adjustment Clauses Pursuant to § 56-585.1 A 4, 5 or 6 of the Code of Virginia
Applicant shall file a Schedule 44 for each rate clause approved by the commission by month for both the first and second year of the two successive 12-month test periods in a biennial review.
Provide a calculation of the Allowance for Funds Used During Construction rate that was recorded during the test year.
Provide support for the monthly Allowance for Funds Used During Construction accruals recorded on the applicant's books.
Provide a schedule of costs for each rate adjustment clause, by month and FERC account, for the test year. Indicate which clauses the applicant will propose to include in future base rates rather than through a separate rate adjustment clause.
Schedule 45 - Return on Equity Peer Group Benchmark
Investor-owned electric utilities subject to § 56-585.1 of the Code of Virginia shall provide all documentation supporting the return on equity benchmark proposed pursuant to § 56-585.1 A 2 a and b of the Code of Virginia. Such documentation shall include a complete list of all potential peer group utilities with corresponding returns calculated for each of the three years within the requisite three-year period, Securities and Exchange Commission documents in which such peer group returns are reported for the three-year period, a detailed explanation of why utilities were excluded from the proxy group, and a spreadsheet showing how such returns were calculated.
Schedule 46 - Projected Rate Adjustment Clause Pursuant to § 56-585.1 A 4, A 5 b, c and d or A 6 of the Code of Virginia
Instructions: Applicant shall provide a schedule of all projected costs by type of cost and year associated with each rate adjustment clause pursuant to § 56-585.1 A 4, A 5 b, c and d or A 6 of the Code of Virginia that has been approved by the commission or for which the applicant is seeking initial approval.
Provide all documents, contracts, studies, investigations or correspondence that support projected costs proposed to be recovered via a rate adjustment clause.
Provide the annual revenue requirement over the duration of the proposed rate adjustment clause by year and by class.
Provide a detailed description of all significant accounting procedures and internal controls that the company will institute to identify all costs associated with each rate adjustment clause.
(a) For a rate adjustment clause filed pursuant to § 56-585.1 A 4 of the Code of Virginia provide the docket/case number and FERC ruling approving the wholesale transmission rate/cost for which the applicant is seeking recovery approval.
(b) For a rate adjustment clause filed pursuant to § 56-585.1 A 6 of the Code of Virginia provide information relative to the need and prudence of proposed generating unit addition(s).
Applications for rate adjustment clauses for the recovery of costs of proposed new generating facilities should also provide the following information to demonstrate the reasonableness and prudence of the selection of such facilities:
(a) Feasibility and engineering design studies that support the specific plant type and site selected;
(b) Fuel supply studies that demonstrate the availability and adequacy of selected fuels;
(c) Detailed support for planning assumptions regarding plant performance and operating costs, including historical information for similar units;
(d) Economic studies that compare the selected alternative with other options considered, including sensitivity analyses and production costing simulations of the applicant's overall generating resources that demonstrate that the selected option is the best alternative;
(e) Load and generating capacity reserve forecast information that demonstrates the need for the plant in the in-service year proposed; and
(f) Detailed cost estimate for the facility, included projected costs of construction, transmission interconnections, fuel supply related infrastructure improvements and project financing.
Provide detailed information relative to the applicant's methodology for allocating the revenue requirement among rate classes and the design of the class rates.
Schedule 47 - Total Aggregated Revenues and Consumer Price Index ("CPI")
Investor-owned electric utilities subject to § 56-585.1 of the Code of Virginia shall file the following:
(a) A detailed schedule showing the calculation of total aggregate regulated rates as defined in § 56-585.1 A 9 of the Code of Virginia for each year beginning with calendar year 2010.
(b) A schedule of annual increases in the United States Average Consumer Price Index as described in § 56-585.1 A 9 beginning with calendar year 2010. Additionally, include the annual compounded amount.
Schedule 48 - Conservation and Ratemaking Efficiency Plans
Instructions: Applications made pursuant to § 56-602 A and B or § 56-602 A and C of the Code of Virginia shall file the following:
(1) a. Provide the revenue study or class cost of service study relied upon to establish annual per-customer fixed costs on an intraclass basis.
(2) b. Provide detailed calculations supporting determinations of current class, normalized or proposed class revenues. Such calculations should clearly show current, normalized or proposed annual billing determinants (by rate block and class). Reconcile per books billing units to adjusted billing units itemizing changes such as customer growth, weather, and btu Btu content and miscellaneous revenues.
(3) c. Provide detailed calculations supporting the revenues produced by the rates, tariff design or mechanism designed to effect the proposed conservation and ratemaking efficiency plan. Provide illustrative examples if necessary. Detail by rate schedule all miscellaneous charges and other revenues, if applicable. To the extent any of the information requested in this paragraph has been provided in (2) above subsection b of these instructions, it does not need to be restated.
(4) d. Provide a sample billing analysis detailing the effect of the proposed rates, tariff design or mechanism designed to effect the proposed conservation or ratemaking efficiency plan on each rate schedule at representative levels of consumption.
(5) e. Provide the detailed calculations showing that the rates, tariff design or mechanism designed to effect the proposed conservation and ratemaking plan is revenue neutral as defined in Chapter 25 (§ 56-600 et seq.) of Title 56 of the Code of Virginia.
(6) f. Provide a copy of all tariff pages that the applicant proposes to revise in this proceeding, with deletions indicated by a dashed line (--) and additions indicated by an underscore.
(7) g. Provide a detailed description and analysis of the proposed conservation program or programs and a cost benefit assessment of the program or programs using the Total Resource Cost Test, the Societal Test, the Program Administrator Test, the Participant Test, and the Rate Impact Measure Test. Detail and support all assumptions utilized in the cost benefit assessments.
(8) h. Provide a detailed narrative describing the proposed normalization component that removes the effect of weather from the determination of conservation and energy efficiency results. Additionally, provide any supporting calculation of such component.
(9) i. Provide a detailed narrative describing the proposed decoupling mechanism.
(10) j. Provide a detailed narrative describing all proposed cost-effective conservation and energy efficiency plans.
(11) k. Provide a detailed narrative describing the provisions addressing the needs of low-income or low-usage residential customers.
(12) l. Provide a detailed narrative describing provisions ensuring that rates and services to nonparticipating classes of customers are not adversely impacted. Additionally, provide all studies or calculations supporting such conclusions.
Instructions: Investor-owned incumbent electric utilities subject to § 56-585.1 A 2 c of the Code of Virginia shall, unless otherwise exempted from these instructions, file the information listed in paragraph (a), and paragraph (b) if applicable, of this schedule, using the definitions provided below. Unless otherwise specified, the minimum filing requirements shall include annual weighted averages, separately, for each of the most recent consecutive six years of data including the biennial period under review. Where weighted averages are not available, simple averages are acceptable. Averages shall be identified as weighted or simple. Where six years of data is not available when filed, the reason shall be stated and the data shall be provided as soon as it becomes available, if at all. In the IOU's initial filing under these rules, the IOU may propose and support a different benchmark group for each operating efficiency performance measure. Once the commission establishes a benchmark group for an operating efficiency performance measure, the benchmark group shall apply to the operating efficiency performance measure in all of the IOU's future filings under these rules unless otherwise ordered by the commission. To the extent practical, data should be obtained from publically available sources such as SEC, FERC, EIA, and RTO. In the event the required filing information is not available, the IOU shall note the omission and state the reason. Investor-owned incumbent electric utilities receiving an RPS Performance Incentive pursuant to § 56-585.2 C of the Code of Virginia and not seeking a Performance Incentive pursuant to § 56-585.1 A 2 c of the Code of Virginia of more than 50 basis points need not submit Schedule 49.
2. SAIFI both including and excluding major storms (or major events) for each RTO utility and each MACRUC or SEARUC utility with more than 500,000 customers; and
3. ASA or service level both including and excluding calls handled by an IVR for each RTO utility and each MACRUC or SEARUC utility with greater than 500,000 customers.
2. For the biennial period under review, identify , to the extent chosen by the IOU, the specific actions taken by the IOU to improve generating plant performance, customer service, and operating efficiency and the incremental costs associated with such specific actions;
3. Identify, explain, and quantify to the extent possible chosen by the IOU the specific benefits (financial and otherwise) that customers received during the previous biennial review period as a result of the specific actions taken by the IOU to improve generating plant performance, customer service, and operating efficiency;
Schedule 50 - Additional Schedules
Reserved for additional exhibits presented by the applicant to be labeled Schedule 50 et seq.
Column (1)amounts for utilities not subject to § 56-585.1 shall come from Schedule 9 Column (3).
Rate Adjustment Clause Pursuant to
§ 56-585.1 A 5 b, c or d
Test Year Amortization Expense
(A-t-l)
(B-t-l)
Seventh Month of
Test Yr.
Eleventh Month of
Twelfth Month of
20VAC5-201-110. Schedules 23 24 through 28, and 40 and 44 and exhibits for Chapter 201.