Q. summarize

Lane Kollen Page 30

1

2

3

4

5 6 7 8 9

10 1 1 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32

Q.

A.

Please summarize your recommendations to modify the Company’s proposed

methodology and ECR tariff.

The Company’s proposed methodology and ECR tariff should be modified as follows:

e

e

e-

m

e

Utilize the base-current rather than the incremental methodology.

Exclude the rate base and expenses associated with gas generating units and all environmental activities that are not directlyrelated to a project included in an approved Compliance Plan.

Include interest expense computed by multiplying the weighted average interest rate of the Company’s debt times the ECR rate base with no TIER adder.

Remove property tax expense on retired plant that is included in base rates.

Remove insurance expense on retired plant that is included in base rates.

Include only actual property tax expense on approved projects consistent with the actual timing of property tax expense when incurred,

Include depreciation expense for the current month based on the number of days the plant additions during the month were in service.

Include gross revenues from steam sales to Inland Container in the computation of the ECR percentage factor.

Exclude the revenues fiom Tennessee Gas Pipeline and Gallatin under existing contracts for off-system purchases used to supply their loads consistent with the terms of their contracts previously approved by the Commission

Include other gross revenues from Tennessee Gas Pipeline.

J. Kennedy and Associates, Inc DKT. 30485 270

1

2 Q. Does this complete your testimony?

3

4 A. Yes.

5

J. Kenne& and Associates, Inc

Lane Roilen Page 32

DKT. 30485 271

COMMONWEALTH OF KENTUCKY BEFORE THE PUBLIC SERVICE COMMISSION

DJ THE MATTER OF:

THE APPLICATION OF EAST KENTUCKY POWER COOPERATIVE, INC., FOR APPROVAL OF AN ENVIRONMENTAL COMPLIANCE PLAN AND AUTHORITY TO IMPLEMENT AN ENVIRONMENTAL SURCHARGE

APPLICATION OF BIG SANDY RECC, BLUE GRASS ENERGY COOPERATIVE CORPORATION,

VALLEY ELECTRIC, FARMERS RECC, FLEMINGMASON ENERGY, GRAYSON RECC,

JACKSON ENERGY COOPERATIVE. LICKING VALLEY RECC, NOLIN RECC, OWEN ELECTRIC COOPERATWE, SALT RIVER ELECTRIC, SHELBY ENERGY COOPERATIVE, SOUTH KENTUCKY RECC AND TAYLOR COUNTY RECC FOR AUTHORITY TO PASS THROUGH THE ENVIRONMENTAL SURCHARGE OF EAST KENTUCKY POWER COOPERATIVE, INC.

CLARK E N E R ~ Y COOPERATIVE, CUMBERLAND

INTER-COUNTY ENERGY COOPERATIVE,

1

EXHIBITS

OF

LANE KOLLEN

~

I

ON BEHALF OF

GALLATIN STEEL COMPANY

J. KENNEDY AND ASSOCIATES, INC. ROSWELL, GEORGIA

CASE NO. 2004-00321

CASE NO. 2004-00072

DECEMBER 2004 DKT. 30485

272

EXHIBIT ( L K - 1 )

DKT. 30485 273

Exhibit -(LK-l) Page 1 of26

RESUME OF LANE KOLLEN, VICE PRESIDENT

University of Toledo, BBA Accounting

University of Toledo, MEA

Certified Public Accountant (CPA)

Certified Management Accountant (CMA)

AT. AFF-

American Institute of Certified Public Accountants

Georgia Society of Certified Public Accountants

Institute of Management Accountants

More than twenty-five years of utility industry experience in the financial, rate, tax, and planning areas. Specialization in revenue requirements analyses, taxes, evaluation of rate and financial impacts of traditional and nontraditional ratemaking, utility mergedacquisition diversification. Expertise in proprietary and nonproprietary software systems used by utilities for budgeting, rate case support and strategic and financial planning.

DKT. 30485 274

J. KENNEDY AND ASSOCIATE% INC.

Exhibit ( L K - I ) Page 2 of 26


1986 to Present: -: Vice President and Principal. Responsible for utility

stranded cost analysis, revenue requirements analysis, cash flow projections and solvency, financial and cash effects of traditional and nontraditional ratemaking, and research, speaking and writing on the effects of tax law changes. Testimony before Connecticut, Florida, Georgia, Indiana, Louisiana, Kentucky, Maine, Minnesota, North Carolina, Ohio, Pennsylvania, Tennessee, Texas, and West Virginia state regulatory commissions and the Federal Energy Regulatory Commission.

1983 to 1986:

1976 to 1983:

nt A unriatec;: Lead Consultant. Consulting in the areas of strategic and financial planning, traditional and nontraditional ratemaking, rate case support and testimony, diversification and generation expansion planning. Directed consulting and software development projects utilizing PROSCREEN I1 and ACUMEN proprietary software products. Utilized ACUMEN detailed corporate simulation system, PROSCREEN I1 strategic planning system and other custom developed software to support utility rate case filings including test year revenue requirements, rate base, operating income and pro-forma adjustments. Also utilized these software products for revenue simulation, budget preparation and cost-of-service analyses.

w: Planning Supervisor. Responsible for financial planning activities including generation expansion planning, capital and expense budgeting, evaluation of tax law changes, rate case strategy and support and computerized financial modeling using proprietary and nonproprietary sohare products. Directed the modeling and evaluation pf planning alternatives including:

Rate phase-ins. Construction project cancellations and write-offs. Construction project delays. Capacity swaps. Financing alternatives. Competitive pricing for off-system sales. Saldleasebacks.

DKT. 30485 275

J. KENNEDY AND ASSOCIATES, INC.

Exhibit -(LK- 1) Page 3of26


Air Products and Chemicals, Inc. Airco Industrial Gases Alcan Aluminum h n c o Advanced Materials Co. Armco Steel Bethlehem Steel Connecticut Industrial Energy Consumers ELCON Enron Gas Pipeline Company Florida Industrial Power Users Group General Electric Company GPU Industrial Intervenors Indiana Industrial Group Industrial Consumers for

Industrial Energy Consumers - Ohio Kentucky Industrial Utility Customers, Inc. Kimberly-Clark Company

Fair Utility Rates - Indiana

Lehigh Valley Power Committee Maryland Industrial Group Multiple Intervenors (New York) National Southwire North Carolina Industrial Energy Consumers

Occidental Chemical Corporation Ohio Energy Group Ohio Industrial Energy Consumers Ohio Manufacturers Association Philadelphia Area Industrial Energy

PSI Industrial Group Smith Cogeneration Taconite Intervenors (Minnesota) West Penn Power Industrial Intervenors West Virginia Energy Users Group Westvaco Corporation

Users Group

Georgia Public Service Commission Staff Kentucky Attorney General's Ofice, Division of Consumer Protection Louisiana Public Service Commission Staff Maine Ofice of Public Advocate New York State Energy Office Office of Public Utility Counsel (Texas)

DKT. 30485 276

~ -~


Exhibit C K - 1 ) Page 4 of 26


Allegheny Power System Atlantic City Electric Company Carolina Power & Light Company Cleveland Electric Illuminating Company Delmarva Power & Light Company Duquesne Light Company General Public Utilities Georgia Power Company Middle South Services Nevada Power Company Niagara Mohawk Power Corporation

Otter Tail Power Company Pacific Gas & Electric Company Public Service Electric & Gas Public Service of Oklahoma Rochester Gas and Electric Savannah Electric & Power Company Seminole Electric Cooperative Southern California Edison Talquin Electric Cooperative Tampa Electric Texas Utilities Toledo Edison Company

DKT. 30485 277



Expert Testimony Appearances of

Lane Kollen As of December 2004

Date Case Jurisdict Party Utility Subject

I

U 17282 Interim

U-17282 Interim Rebuttal

9613

U-17282 Interim

General Order 236

U-17282 Pnidence

MlOO Sub 113

86524-E-

U-17282 case In chief

U-17282 Case In Chef Surrebuttd

U-17282 Prudence Surrebuttal

LA

LA

KY

LA 19lh Judicial District Ct.

wv

LA

NC

. w v

LA

LA

LA

LcuisMMhrMic Service Commission Staff

G d SIales Utilities

Cash revenue requirements fvlancial solvency.

10186

11186

12/86

1/87

3187

4/87

4187

5/87

5/87

. 7187

7187

Cash revenue requirement% f m u a l soivency.

Louisiana PuMi Service Cammission Staff

Gulf States Utilities

Revenue requirements aamnting adjustments financial workout plan.

Attorney General Div. of Consumer P~tf&Oll

Big Riven EleciricCalp.

Louisiana Public Senrice Commission Staff


West Virginia Energy Users' Group

Monongahela Power Co.

Tax Refon Act of 1986.

Prudence of Kiter Bend 1, economic analyses, cancelation studies.

Louisiana PuMic service Commission Staff


North Carolina Industrial Energy ConSUllWS

Tax R e f m Act of 1986. Duke Power Co.

West Virginia Energy Usen' Group

Monongahela Power co.

Revenue requirements. Tax Reform Act of 1986.

Rewnue requitements, RiWBendiph8S&flpbn, financidsdvency.

&venue requirements River Bend 1 phase-in plan. financial solvency.

-

Louisiana Public senricecammission S M

Gulf slates UtEtieS

Louisiana Public service commission Stail

Gulf States UwitieS

Louisiana Pubiii SelViceCcwnmission Staff

Gulf Stales Utilities

PNdence of River Bend 1, ecMlwnicanalyses, caratlalion studs.

DKT. 30485 278

J. KENNEDY AM) ASSOCIATES, INC.

Exhibit -(LK-I) Page 6 of 26



Date Case Jurlsdict party WMy Subject

7187

mf

8187

10187

11187

1/08

2/88

2188

5188

rn

5/88

m

86-524

Rebuttal

9885

E-SC

E-OIWR- 87-223

8702M.EI

8707-01

U-17282

9934

10064

10217

M-87017 -IC001

h4-87017 -2w

U-17282

wv West Mrginia EnergyUsers' GWP

KY Attorney- Div. of Consumer PrOtection

MN T m i k lntervenon

R Occidental Chemicalcap.

CT chuecta Industrial Energy Consumers

LA Louisiana Publii 19lh Judicial Service Commission DstrictCt staff

KY Kentucky Industrial uwi customers

KY Kentucky Industrial u w i Customers

KY Alcan Aluminum National Southwire

PA Gpuhdusbid htervenxs

PA GW Industrial Intervenors

Monongahda Power co.

Big Riven E& corp.

MiMKsoBpowere Light b.

Florida Power carp.

connectian LgM 8 Power Co.

Gulf States UtibkS

Louisville Gas a EM CO.

Louisville Gas 8 Electric co.

Big Rivers Electric

MelropoBtan Edm co. Pennsylvania uedric co. Gulf States U t i l i

Revenue requirements, TaxReformActof1986.

F W wokout plan.

Revenue requirements, OBhA expense, Tax Refonn Act d 1986. Revenue requirements, O M expense, Tax Refonn Ad of t986.

TaxRefwmActof1986.

Revenue requirements, Rier Bend 1 phase-in plan. rate of return.

Economia of Trim& Counly mpletion.

Revenue requirements, O&M - expense,capitd-. excess defemd incwne taxes.

Frnwwkoutp lan. carp.

DKT. 30485 279

-

J. KENNEDY AND ASSOCIATES, WC.

Exhibit -(LK- 1 ) Page 7 of 26



Date Case Jurisdict Party Utilii Subject

M-87017- -1coo1 Rebuttal

M-87017- -2CO05 Rebuttal

iwI5-25

10064 Rehearing

88-170- EL-AIR

88171- EL-AIR

PA

PA

CT

KY

OH

OH

FL

GPU lndusbid intervenors

Metropolitan Edison Co.

Nonutility generator deferred cost recowry, SFAS No. 92

7/88

7188

9/88

9/88

10188

1 0188

GPU industrid intervenors

Pennsylvania Electric Co.

Normtilily generam deferred cost recovery, SFAS No. 92

conoectiwt Industrial Energy Consumers

Conneclicut Light L Power Co.

Excess deferred taxes, OBM expenses.

Kentucky industrid umy CUStDmers

Ohio Industrial Energy Consumers

Lwisvile Gas BElectncCo.

Ckveland Eleclric Uluminating Co.

Premature retirements, interest expense.

Revenue requirements, phase-in, excess deferred twes, OBIM expenses, financial wnsidefations, waking capital.

Ohio Industrid Energy Consumers

Toledo Edson Co. Revenue rquiremenh, phase-in. excess deferred taxes, 0BM expenses, fmancial Considerations. W n g capital.

Tax Reform Act of 1986, tax expenses. OLM expenses. pension expense (SFAS No. 87).

Pension expense (SFAS No. 87).

Florida Industrial Power Users' Gloup

Florida Power & Light Co.

10188 ~ 8800 351EI .

3 7 a u GA

u-17202 !A Remand .

U-17970 LA

U-17949 LA Rebuttal

Georgia PuMic Sewice Cammission Staff

Atlanta Gas b h t Co.

10188

11188

12/88

12/88

l.ouiipUMic Service Commissh Staff

GUlfSkikS Utilities

Rale base exclusion plan (SFAS NO. 71)

Pension expense (SFAS No. 87). ATBT Conunu~hns of south Central States

SMlth Cenbal Bell

Louisiana Public service Commission Staff

Compensated absences (SFAS No. 43). pension expense (SFAS No. 87), Part 32, income tax nwmalion.

DKT. 30485 280


Exhibit ( L K - I ) Page8 of26



Date Case Jurisdict. Party Utility Subject

U-17282 LA Louisiana Pubkc Phase II % N k C O I T l ~ i O n

Staff 0

881602-EU FL Talquin Uectric 890326-EU Cooperalive

Gulf States Revenue requirements. phasein UMikS of RiverBend 1, recoveryof

cancekdpbnt

Economic analyses, inwmental

arstomerrates.

TdquinlCny OfTallahasSee costof-senrice. aYeFage

2189

6/89

7189

6/69

U.17970 LA Lcuiiiana Pubk %NiCe blllllid Staff

AT&T Communications of Souul Central slab Part 32

Pension expense (SFAS No. 87). compensated absences (SFAS No. 43).

8555 Tx W e n t a l Chemical carp.

m 9 38404 GA Georgia Public Senrice Commission Staff

Gulf Stales Utilities

Revenue requirements. debled investigation.

Louisiana Public Service Commissii Staff

Defemd accounting treatment. sateneaseback.

Entun Gas Pipeline Texas-New Mexico Fmer co. Texas-New Mexico Poww co.

10189 8928 Tx

10189 R-891364 PA

Philadelphia Area lndusbiai Energy Usen Group

Philadelphia El& co.

Ravemre requirements, sdelleasebadc

11/89 Rag1364 PA 12189 surrebuttd

(2 Wigs)

Louisiana Public ServiceCommission Staff

Gvlf states Ulilities

1190 U-17282 LA phase If Detaikd Rebuttd

DKT. 30485 281

J. KENNEDY AND ASSOCXATES, INC.

Exhibit -(LK-l) Page 9 of 26




1/92 U-17282 LA Louisiana PuMi Phase 111 SenkeCommission

Staff

3190 890319-El FL FIorida IndustFial Power Users Gmp

4Ro 890319-El FL Florida lndusbid Rebuttal Power Users Group

4/90 U-17282 LA Louisiana PuMi 19h Judicial &Nice Commission Disbict C t Staff

9/90 90-158 KY Kentucky lndusbial Utility Customers

12/90 U-17282 LA LOUiSiaIM Pubiii Phase IV Seivice Commission

Staff

3/91 29327, NY Multiple et. al. Intervenors


Florida Power &Light Co.

Florida Power &Light Co.


Louisville Gas & El& Co.


Niqara Mohawk Powercop.

5/91 9945 .. TX office of Public El Pas0 Electric

of Texas Utility Counsel Co.

9/91 P-910511 PA Ailegheny Ludlurn Cop., West Penn Power Co. P-910512 AlllKJ3AdvancedMaterials

ca.. The W& Pem powar Ind-wGrWp

9/91 91-231 wv west Virginia Energy Monongahela Power -E-NC Users Group Co.

11/91 U-17282 LA Lou'biana PuMi Gulf States ServicecOmmiffion utilities Staff

Phasein of River Bend 1, deregulated asset plan.

O&M expenses, Tax Reform Add 1986.

O M expenses. Tax Reform Ad of 1986.

Fuel dause, gain on sale of utility assets.

Revenue requirements, posttest year additions, forecasted test year.

Revenue requirements.

Incentive regulation.

Fmancial modeling, econwnic analyses, prudence of Pal0 Verde 3.

Asset impairment deregulated asset plan, revenue requirements.

DKT. 282 30485


Exhibit ( L K - 1 ) Page 10 of 26



Date Case Jurisdict. Subject

t2/9t 91-410- on EL-AIR

Airproductsand Cincinnati Gas chemiis, Inc., (Laectricco. Armco .sled co., Industrial Energy ConSUW6

Generaluectricco., . ReveMle requirements, phasein Plan.

12/91 10200 TX Orfw of Puwic TexasNew Mexico ulility counsel Power Co. OfTeXaS

Fiiancialintegrity, strategic planning. dedined business affiliations.

Revenue reguirementt. OBM expense, pensiwi eveme. WEB expense, f o s s i l d i i ~ , n u d e w

lncerrlhreregulation,peri~ rewards, purchased power risk. OPEB expense.

WEB expense.

5192 91089C-El FL Occidental Chemical Florida PowercOrp. w-

8192 R-00922314 PA GW Industrial Metropolitan Edm lnlenrenws co.

9/92 92043 KY

9/92 920324-El FL

9/92 39348 . IN

9/92 910840-PU FL

9/92 39314 w

tm2 U - f W LA

Kentucky Industrial Generic Proceeding U t i i i Consumen

Florida lndusbid Tampa uectricco. Users' Gmp

OPEB expense.

lndiina Industrial GenwicProceediig G ~ P

OPEB expense.

WEB expense.

Merger.

11/92 8649 MD OPEBexpense.

ohii Marwfactwws GenericProceediig Assodation

OPE6 expense. 11/92 92-1715- OH AU-COI

DKT. 30485 283

J. KENNEDY AND ASSOCIGTES, INC.

Exhibit -(LL 1 ) Page 11 of26



D a t e Case Jurisdict Party Utility Subject

12/92 R-00922378 PA

12/92 u-19949 LA

A n r n ~ Advanced Materials co., The WPP Industrial Intervenors

west Penn Power Co. incentive regulation, prformance rewards, purch~powerrisk OPEB expense.

Alfdiite transactions. cosl allocations. merger.

Louisiana Public Service Cammission Staff

South Central Bell

12192

1/93

1/93

3193

3193

3/93

3193

4/93

4/93

R-M)922479 PA Philadelphia Area MusM Energy Users' Group

Philadelphia Eledric Co.

OPEB expense.

8487 MD Maryland Industrial Group

Baltimore Gas a Electric Co.. Bethiehem Steel Cop.

OPEB expense, defend fuel. CWlP in rate base

Refunds due to over- cd)ection of tares on Marble Hill cancellation.

39498 IN PSI Industrial Group PSI Energy, Inc.

Connecticut tight & Power Co.

Gulf States UtiliWEnkrg y

OPE6 expense. 92-11-11 CT Connecticut IndusM Energy Consumers

Louisiana Public Service Commission Staff

Merger.

cop.

Affiliate transaclions. fuel.

u-19904 LA (Surrebuttal)

93-01 OH EL-EFC

Ohio Industrial Energy Consumers

Ohio Power Co.

EC92- FERC 21000 ER92-806400

Louisiana Public servicec4mmi&n S M

92-1464- OH EL-AIR

Air Products A m Steel Industrial Energy consumers

Cincinnati Gas & Elecbic co.

GUH States U@tieslEntergy

Revenue requirements, phasein plan.

Louisiana Public senricecommission Staff

Merger.

Qrp.

EC92- FERC 21000 ER92436-000 (Rebuttal)

DKT. 30485 284

_ _





Date Case Jurisdkt. Party Utility So bject

Kentucky Industrial Utility Customers

Fuel d a w and coal contacl refund.

9/93

9/93

10193

1/94

4194

5/94

9194

9/94

10194

10/99

92-113

92-490, 92-490A. 90-3604

U-17735

U-20647

U-20647 (Sunebunal)

U-20178

KY

KY

LA

LA

LA

LA

Kentucky Utilities

Si Riven Electric Cop.

Kentucky Industrial U W i Customers and Kentucky Attorney General

Louisiana Pubic ServiceCommission Staff

Cajun Electric Power Cooperative

Revenue requirements. debt iesbuctu~ agreement. River Bend mtrecowry.

Audit and inves!&atiOn into fuel &use msts.

Louisiana Wlc Senrice Commission Staff

Gulf States w i cc.


Nudear and fossil una Perfomnce,hre(costs, fuel dawe principles and guidelines.

Planning and quantification'sues of lead mst infegraied re- plan.

Louisiana Public Sewice Commission Staff

Louisiana Power tight CQ.

Louisiana Public Wce Commission Staff

Louisiana Public Service Crnnmission Staff

Gulf States Utilities Co.

River Bend phase-in plan, deregulated astet plan, capital s m . other revenue requirement issues.

G&TCWpGih%ratemaking policies.exekrsiondrnW o t h e r m e mquimentitsues.

Incentive rate plan, e-s rwieW.

u-19904 -_ LA Initial Post- Merger Earnings Rwiew

U-17735

390511

5258-u

CajUnElecbie IA

GA

GA

Southem Bell Telephone Co.

SouthemBell Telephone Co.

DKT. 30485 285


Exhibit -(EK-l) Page 13 of26



Date Case Jurisdic

U-19904 LA Initial Post- Merger Earnings Review (Rebuttal)

Louisiana PuMi Senrice Commksion staff

Gulf Slates Utilities Co.

River Bend phase-ii plan. deregulated asset plan, capital structure, other revenue regukenienl issues.

11/94

11/94

4195

6195

6495

1OB5

10/95

11195

11195

12195

Louisiana Public Selvice Commission Staff

U-17735 LA (Rebuttal)

Cajun Electric Power Cooperative

GBT cooperative ratemaking poky, exdusion of River Bend, other revenue requirement issues.

PPaL Industrial Customer AJliince

R-00943271 PA Pennsylvania P o w 8 Light Co.

Revenue requirements. Fossil dismantling. nudear dewmmissioning.

Incentive regulation. affiliate transactions, revenue requirements, ralerefund.

3905-11 GA Georgia Public Service Commission

Southem Bell Telephone Co.

Louisiana Public senrice Commission

Gulf Stales Utilities Co.

Gas. coal. nudear fuel costs. contract pntdence, base/fuel realignment

AffJite transactions.

U-1m LA (Direct)

Tennessee Office of the AttDmey General Consumer Advocate

Bellsouth Telecommunications, Inc.

9502614 TN

U-21485 LA (Direct)

Louisiana Public Service Commission

Gulf Slates utilities Co.

Nudear O&M, River Bend phasein plan, base/fuel realignment NOL and AJtMin asset deferred laxes, oher revenue requirement issues.

m r n - m a m l l a c t ~ ~ , ~ realignment

Nuclear O M , River @end phasein plan, baseifuel realignme& NOL and AHMin asset deferred taxes, other revenue requ~irement issues.

Gulfstates u w i Co. Division

Gulf Stales utilities Co.

u1m LA (Surrebuttal)

LDllisiwapubliC ServicecCmmifdon

U-21485 LA (Supplemental Direct) U-21485 (Sufrebuttal)

Lw'kiana PuMic Service Commission

DKT. 30485 286

J. KENNEDY AND ASSOCIATES, INC


Expert Testimony Appearances Of

Lane KoIlen As of December 2004


OH lndusbial Energy The Tdedo Edison CO. COnSUmerS TheCleveland

uectric lfkrminafjngco.

Competition. asset writeoffs and revaluation, O M expense. other revenue requbement issues.

0

1/96 95.299- EL-AIR 95.3%- EL-AIR

TX Nudear decommissioning. 2196 WCNO. 14967

Office of Public utility counsel

CilydLasCruces NM StandedCOStrecoverY,

Mtngersavings,trackingfnech* earnings sharing pian, revenue requirement issues.

municipalii!ion.

7/96 0725 MD TheMaryland Industrid Group and Redland enstar, Inc.

B a l h Gas

Potomac UeCh Power Co. and Cwtellation Energy corp.

a aecbic co..

9196 U-22092 LA 11/96 u-22092

(Sunebuttai)

Louisiana Public ServiceCommiion Staff

Entergy Gulf States, Inc.

River Bend phaseinplan, baselhrel realignment, NOL and AIM assef defened taxes, other revenue requirement issues, allccation of regulaWnonmgulated cask.

Environmental surcharge recoverable costs.

10B6 $327 KY Kenhrcky Industrial utiii Customen, Inc.

Big Riven Elecbic Cop.

PECO Energy Co. 2197 R-03973077 PA Philadelphia Area Industrial Energy Usen Grwp

strandedcostrecovery,regviatory assets and liabilities. intangible tansition charge. revenue

. 96.489 KY Kenlucky Pow&. En- -- costs, system agreements, allowance inventoy, jurisdictional allocation.

6/97 TO-97-397 MO MCI Telecoanmunimtions southwestemeell cap.. k., Mclmetro Tdephone Co. AccessTraW?liSSii Senrices. Inc.

DKT. 30485 287


Exhibit ( L K - I ) Page 15 of26



Party Utility Subject Date Case Jurisdict.

--- 6197 R-00973953 PA Philadelphia Area PECO Energy Co.

lndusbial Energy Usen Group

Restnrcturing, deregulation, soanded costs. regulatory wts, liabilities, nuclear and fwsil dewmnksiiing.

Resbucbing, deregulation, stranded costs. regulatory assets, liabilities, nudear and fossil decwmissiin'kg.

Depredation rates and methodologies, River Bend phase-in plan.

7/97 R-00973954 PA 'Pemyivania Power & Light Co.

PPgl lndusbiai Customer Alliam

7197 u-22092 LA LouisianaPublic ServiceCommission Staff

Enlergy Gulf Stales, Inc.

8/97 97-300 KY Kentucky Industrial Utility Customen, Inc.

Louiille Gas & Elechic Co. and Kenlutky UWities Co.

MeQer policy, cost savings, Surcredit sham mechanism, revenue requirements, rate of return.

PPgl lndusbial Customer Alliance

Pennsylvania Power &Light CO.

Restructuring. deregulation, Sbanded costs, regulatory assets, liabilities, nudeaf and fossil decommissioning.

Resbucturing, revenue requirements, reasonabkiess

8197 R-00973954 PA (Surrebuttal)

Alcan Aluminum Corp. southwire co.

Big Rivers Electriccorp.

10197 97-204 KY

10197 R-974008 PA

10197 R-974009 PA

MetFopolitan Edison lndustriai usen Grwp

Metropoiin Edmn Co.

Restructuring, deregulation. StFanded costs, regulatory assets, liabilities. nudear and fossil dermmhbning. revenuefeq-.

Restrucbrring,dereg-, stranded costs, regulatory assets, iiibaities, nuclear and fossif decommissioning, revenue requiremenk.

PennsyMnia Eledric Co.

Penelec lndusbial Cuslomer Alliance

11197 97.204 KY Alcan Aluminum cop. (Rebuttal) southwire co.

Rest~u&ing.revenue requirements, reasonableness of rates, cost allocation.

DKT. 30485 288

J. KENNEDY AM) ASSOCUTES, INC.




Date Case Jurisdict. paw Utility Subject

11197 U-22491 LA Louisiana Public Entergy Gulf Allocationofregulatedand Service Commission States. Inc. nonregulated costs. other

revenue requirement issues.

11197 R-00973953 PA Philadelphia Area (Surrebuttal) Industria Energy

Users Group

11197 R-973981 PA

11197 R-974104 PA

12/97 R-973981 PA (Surrebultal)

12197 R-974104 PA (SWrebUttal)

1/98 U-22491 LA (SUlEbUttal)

2/98 0774 MD

West Penn Power lndusbial Intervenors

Duquesne Industria( Intentenon

West Penn P o w Industrial Intervenors

Duquesne Industrial Intervenors

Louisiana PuMi serricecwnmissii Staff

WestMco

PEW Energy Co. lwJ-tJChrring,dereguiatian, sbandedcQsts,regulatoty assets, fiabilities, nudear and fossil dtxmmbbning.

West Penn Power Co.

Restrucbing. deregldation, -cQsts,regulatwy assets, liabilities. fossii decommissioning. revenue requirements, securilizabn.

Doquesne Light Co. Restnrcluring.deregutation, stranded costs, regulatory assets, liabilities, nudear andfossil~-ss~bningecomrnissioning, revenue requirements, securitization.

West Penn Power Co.

Resbuchuitlg, deregulation, strandedcosts.iegula(ory assets, liabilities, fossil decommissioning. revenue requirements.

Duquesne Light Co. Reswcturing, deregulation, s t randedcosts*reg~ assets, liabilities, nudear a n d f o d d , -- . . .

Entergy Gulf Allocationofregulatedand States, IN. nonregulatedmsts,

dherremue requirement issues.

Potomas Edison Co. ~ o f D l l g u e s n e , A E , customer safeguards, savings sharing.

DKT. 30485 289





Date Party Utility Subject Case Jurisdict.

3/98 u-22092 LA (AlloCated Stranded Cost Issues)

b

Lwisiina Public Enkqy Gulf Resmriq, sbanded cosls, Senrice Commission states, Inc. regulatory assets, securitization, Staff reg- mitigation.

3/98 839C-U GA Georgia Natural AUanta Gas Resbucturing. unbundhng, Gas Group, Light Co. stranded costs, incentive Gecqia Textile regulah, revenue Manufacturers Assoc. requirements.

3/98 U-22092 LA (Allocated Stranded Cost Issues) (Surrebuttal)

97-596 ME

Louisiana Public Entergy Gulf RestNcturing, stranded costs, Service Commission States, Inc. regulatory assets, securitiralion. Staff regulatory mitigation.

10198

10198

1 OB8

Maine Office of the Bangor Hydm Restructuring. unbundhng, stranded Public Advocate Electric Co. msts. T8D revenue requirements.

93554 GA Georgia Public Service Georgia Power Co. M a t e transactions. Commission Adversary Staff

Louisiana PuMi Cajun Electric G8T cooperative ratemaking Service Commission Power Cooperative @icy. other revenue r e q u h n t Staff issues.

U-17735 LA

11-23327 LA Merger policy, savings sharing Louisiana Public SWEPCO, CSW and Service Commission AEP mechanism, affiiate tansaetion Staff conditions.

11/98

12/98 Louisiana Public Entergy Gulf Allocation of regulated and

Staff a n d ~ ~ r e q ~ Service Commission States, Inc. nonregulated costs, tax issues,

Maine office of Maine Public Resbuchlring, unbundling, Public Advocate service Co. stranded cost TBD revenue

requirements.

98577 ME 12198

1/99 9ai0-07 CT Connecticut Industrial United Illuminating Stranded costs, investment tax Energy Consumers co. credits, accumulated deferred

income taxes, excess & f e d inwm taxes.

DKT. 30485 290

J. KENNEDY AND ASSOCLATES, INC

Exhi bit -&K- 1 ) Page 18 of26




- - 3199

3/99

3/99

3/99

3/99

4/99

4/99

4/99

Y99

5/99

5/99

u-23358 LA (Surrebuttal)

98-474 KY

98-426 KY

99082 KY

99083 KY

u-23358 LA (Supplemental Surrebuttal)

99-03-04 CT


Kenlucky Industrial UWity Customers

Kenluckylnduslrial Utility Customen

Kentucky Industrial UWity Customers

Kentucky IndvsM UWity Customers

Louisiana Public SWCommission SM

Connecticut Industrial

mechanisms. EnergyConswnen

99-02-05 ... CT Utility Customers mechaniSmS.

96-426 KY 99082 (Additional Dim)

98-474 KY 99-083 (Additional Direct)

98-426 KY 98-474 (Response to Amended Applications)

Kentucky Industrid Utility Customen

Entergy Gulf states, Inc.

Louisville Gas and Eiecbic Co.

Kentwky Utilities co. Louisville Gas and UeCtricCo.

Kentucky Utilities co. Entergy Gull states, In€.

United Uluminahg Co.

Connecticut Light and Power Co.

Kentucky UWities Co.

Louisville Gas and Electric Co. and

Auocation of regulated and nonregulated costs, tax issues, and other revenue requirement issues.

Revenue regukements. alternative h s of regulason

Revenue requirements, allemah forms of tegulation

Revenue requkmts.


A#ocarion of regulated and ncnregulated costs, tax issues, and other revenue requirement iSSUeS.

Regulatory assets and liabnii. strandedcostt, recovery

Regulatory assets and liabilities slranded costs, mwy

-- Revenue requirements.

Altemaliveregulation.

DKT. 30485 291

J. faENNEDY AND ASSOCIATES, INC.

Exhi bit -( LK- 1 ) Page 19 of 26



Date Case Jurisdict party Utility Subject

6199

6/99

7/99

7199

7/99

7/99

El99

8199

8/99

8/99

97-596

U-23358

99-03-35

U23327

97-596 (Surrebuttal)

98.0452- E-GI

98-577 -- (Surrebuttal)

98426 99082 0

98474 98-083 (Rebuttal)

980452- E-GI (Rebuttal)

ME

LA

CT

LA

ME

WVa

ME

KY

KY

WVa

Maine office of Public Advocate

Bangor Hydro- Electric Co.

Request for m n t i n g order regardig electric industry r e s ~ u r i n g costs.

Afliliate trarrsadions. cost allocations.

a Louisiana Public Public Service Comrn. Staff

Entergy Gulf States. Inc.

connectiurt Industrial Energy Consumers

United Illuminating co.

stranded costs. regulatory assets, tax effec!s of asset divestiture.


Southwestern Electric Power Co.. Central and south West cop. and American Electric Power Co.

Merger Setkment StipufatiOn.

Maine Off= of Public Advccate

Bangor Hydro- Electric Co.

Reskuctunng, unbundling, stranded cost, T8D revenue requirements.

Regulatory atsets and liabilities.

West Virginia Energy Users Grwp

Monongahela Power, Potomac Edison, Appalachian Power, Wheeling Power

MaineOfficeof Public Advccate

Maine Public Service Co.

Restructuring, unbundling, stranded costs, T&D revenue requirements.

Kenmy Industrial U~custpmen

Kentucky UliIi6es co.


Kentucky industrid Utility Customers Kenlucky U t i l i Co.

Louimlle Gas and Electric Co. and

Alternative fwms of regulation.

West Vi in i i Energy UsenGrOup

MonongahJa Power, PotWMc W i n , Appalachian Power, Wheelii Power

Regulatory assets and liabilities.

DKT. 30485 292


- __

Exhibit ( L K - 1) Page 20 of 26




-

U-24182 LA (Direct)

Louisiana Public ServiEe Cornmission Staff

Entergy Gulf Allocation of regulated ard stales, Im Kmregulated casts, affdiate

llzmachs, tax issues, and other revenue requirement issues.

10199

11199

11/99

04100

01m

05/00

05/00

OYOO

07/00

05.W

21527 Tx Dallas-FtWorth Hospital CounCa and coalition d Independent CoUeges and Universities

TXU Electric Restructuring,stranded costs, taxes, securititation.

U-23358 LA surrebunal Affiliate Transactions Review

Louisiana Public SenriceCommission Staff

Entergy GUN service Company affiliate states, Inc. transaction casts.

Greater Cleveland Growlh Assodation

Fint Eneqy (Cleveland Uecbic Uluminating. regulatory assets, liabilities. T W O Edison)

Historical review, stranded costs. 99-1212-EL-ETPOH 99-121 3-EL-ATA 99-1 214-EL-AAM


Entergy Gulf AllocaUon of regulated and States, lnc. conregulated costs. afliiiate

transactions, tax issues, and other revenue requiremt issues.

2000-107 KY Kentucky Industrial Utility Customen

Louisiana Public ServiceCommission StaR

Kentucky Power Co. ECR surcharge &n to base rates.

Entergy Gulf Affiliate expense stales, Inc. protarnaadplsbnents.

A-1 10550F0147 PA Philadelphia Area lnduslrial Energy Users Group

PECO Eriergy W i p be- PECO and Unicorn

Escdationd08M expenses for statewide Gene& Proceeding unbundled T&D revenue requiremenk

mprojectedtestyear. ’.

22344 Tx The Dallas-Forl Worth

Wi of Independent Colleges and Universities

w steel cop.

HospitalcwncilandThe

99-1658 OH EL-m

DKT. 30485 293

J. KENNEDY AND ASSOCIATES, INC,




Date Case Jurisdict. Party U t i l i Subject

07100

08Xx)

iOBK)

10100

11m

12/00

Ollot

O l W l

OIlOl

01W1

U-21453 LA Louisiana Public ServiceC4nnmiin

U-24064 LA Louisiana Public senrice Commission Staff

PUCz2350 Tx The Dallas-Ft Worfh SOAH 473.00-1015 Hospilaicoundand

independent cdk?ges Thecoalitionof

And Universities

R-00974104 PA Duquesne lndusbial (Affdavit) Intervenors

PMxM1837 Metropolitan E d m R.00974006 industrial Users Group PoMN)I63B Penelec Industria R00974M39 customer Airme

U-21453, LA Louisiana Public U-20925. U-22092 SerViceCommission (Subdocket C) staff (Surrebuttal) f

U-24993 (Direct)

Louisiana Public service commission Staff

U-21453, U-20925 Louisiana Public andu-22092 Service Commission

(Surrebuttal) (Subdccket e) Staff

CaSeNo. KY Kentuckylndlsbial 2ooo386 Umy customers, Inc.

CaseNo. KY Kentuckyindusbiat 2000-439 Utili@ cwtwners, Inc.

SWEPCO

CLECO

TXU Electric Co.

Duquesne Light CO.

Metropolitan Ed- Co. Pennsyhrania El* co.

SWEPCO

Entergy Gulf states. Inc.

Entergy Gulf S m . Inc,.

S w e d costs, regulatory assets and liabilities.

Affiliite lmwcbon ‘ pricing ratemaking

affiliates, ratemaking adjustments.

Resbucturing, T&D revenue mqu*kemenls, m’@ation, regulatory assets and liabilities.

prindples,subsidiilionofmregulated

Final accounting for stranded costs. ‘hcludiig treabnent of a u d i o n p m t x ? e & ~ , ~ Costs,switchbadccosts,and excess pension funding.

F d accounting for stranded costs, iridudingtreabnentofauctionproceeds, taxes. regulatory assets and liibities. tramacm . a b .

DKT. 30485 294

J. Kl3NNEDY AMD ASSOCIATES, INC.

- _-

Exhibit -(LK-I) Page 22 of26



Date Case Jur i sd id Party utiiity Subject

om1

03/01

04 m1

0-4 mi

05iUl

07X)l

1Olol

l l lol (Direct)

A-110300FW95 PA Met-Ed lndu~trial A-l1040OFM)4O Usen Group

Penelec indusW Customer Alliance

P-ooOo1860 PA MI-Ed MU-

penelec lndustrid Customer Alliance

P.M)(MlBG1 Users Group

U-21453. LA Louisiana Public U-20925, Public Senrice Comm. u-22092 Staff (Subdmket B) Settlement Term Sheet

U-21453, LA Louisiana Public U-20925. Public service Corn. u-22092 Staff (Subdockel B) Contested Issues

U-21453. LA Louisiana Pubk U-20925, Public Service Comm. u-22092 Staff (Subddiet 8). Contested issues Transmission and Distribution (Rebuttal)

U-21453, tA LoubianapUMic u-20925, ’ ~ s e r v i c o ~ U-m Staff (Sukiocket B) Transmissicn and D s h i n Term Sheel

14ooW GA Georgia Public SenriCeCommission Advwsaryslaff

14311-U GA Georgia PubIic

Advenarystaff ServicecOmmission

GW, Inc. Merger, savings, reliiabirny. FintEnergy

Mebopoli Edim Co. and Pennsylvania aecbic co.

Fkowy of costs due Lo provider of last resort oblgation.

Enlergy Gulf states, Inc.

Entergy Gulf Stales, Inc.

Business separah plan: agreements, hold harmless c o n d i , separations methodology.

Enkrgy Gulf Business separation plan: agreements, hold hadess conditions. Sepanticm melhcddogy.

stales, Inc.

Georgia Power Co. Review requirements. Rate pbn, fuel dause recovery.

Atlanta Gas Lght Co. Revenue requirements. revenue forscad OBM expense, depredation, plant Wi, cashworkingmpitd.

DKT. 30485 295

J. KENNEDY AM) ASSOCIATES, IN@.




Date Case Jurlsdict. party Utility Subject

02102 25230 Tx

02/02 U-25687 LA (Surrebuttal)

03/02 143114 GA (Rebuttal)

03102 00114&EI FL

04/02 U-25687 LA (Supplemental Sunebuttal)

04/02 U-21453, U-20925 and U-22092 (Subdcckel C)

08832 ELO1- FERC 88-ooo

08/02 U-25888

Louisiana FWii Service Commission

Entergy GuH States, Inc.

Dallas Ft-Worth Hospital TXU Electric Caunca & the coalitron of Independent Cdleges & Univenilies

Louisiana Public Service Commission

Georgia Public servitecommission Adversary Staff

South Florida Hospital and Healthcare Assoc.

Louisiana Public b l U l & h

Lauisi Public Sewice Commissii Staff

09102 2002-00224 KY 2002JXI225

11/02 2002-00146 KY 200240147

01103 2002mi69 KY

Kentucky lndusbial utilities customers, lnc.

Enlergy Gulf States, Inc.

Atlanta Gas Light Co.

Florida Power i% Light Ca.


SWEPCO

Entergy Serrices, Inc. and The Entergy Operating companies

Entergy Gulf states, Inc. dEntelgyl&iaah

Kenwy ulili i co. Louisville Gas & Electric Co.

Kentucky Utilities Co. Louisville Gas 8 Electric Co.

~ P o w c o .

Revenue requirements. capital structwe, a~ocation of regulated and mregulated a, River Bend uprate.

Stipulation. Regulatory assets. securititationfmandng.

0

Revenue requirements, corporate franchisa tax. wnvenion to UC, River Bend uprate.

Revenue requiremenk, Corporate W k e tax, conversion to UC, River Bend uprate.

Business separation plan. T8D T m Sheet

conditions. separaiions methodologis, hdd hwnless

DKT. 30485 296






04/03

04/04

04103

06/03

06x13

11/03

11103

12103

11.26527 LA Louisiana Public Service Commission

2002-00429 KY Kenlucky Induskial 2002-00430 utilii customers, hrc.

U-26527 LA Louisiana Public SelviCeCommsm

EL0 1 - FERC Louisiana Public 88000 !k!rkecommission Rebuttal Slaff

2003-ooo68 KU Kentu* Industrial Utility Customers

ER03-753-000 FERC Louisiana PuMii SeNice Commission Staff

ER03-583.000. FERC Louisiana Public ER03-583-001, and Service Commission ER03-585002

ER03-681-MX). ER03-681-001

ER03-744000, ER03744-M (Consolidated

U-26527 LA Louisiana PuMi Surrebuttal service CmiSsiGil

Enteigy Gulf States, Inc.

Kentucky Utilities Co. Louisville Gas & Electrk: Co.


Entergy Services, Inc. and the Entergy Operating CompailieS

Kentucky Utilities Co.

Entergy SeMces. Inc. and the Entergy Operating Companies

Entergy Services, Inc.. Ihe Enlergy Operating Companies, MO Market- Ing, LP, and Entergy Power. Inc.

Revenue reguirements, corporate franchise tax, conversion to L C , Capital shucture, post test year Adjustments.

Extension of merger surcredii flaw in Companies' studies.

Revenue requirements, CMpOrate franchise tax. conversion lo LLC. Capital shctwe, post test year Adjustments.

System Agreement, production mst equalition, tariffs.

Environmental cost mvety, wmtion of base rate error.

Unit power purchases and sale

Agreement

Unit power purchase and sde agreements, conlrahal provisions, projected costs. l e v e r i rates, and formula rates.

askbased tariff pursuant 10 Sy?

Entwgy Gulf States, Inc. Revenue requirements, caprate franchise tax. mversion lo uc, CapM structure. post test year Adjuslments.

DKT. 30485 297

J. KENNEDY AND ASSOClATES, 3NC.



Exhibit -(LK- I ) Page 25 of 26

Date Case Jurisdict Party Utility Subject

12103

12103

03104

03/04

03104

031%

- 03/04

03104

05/04

m

20035334 KY 2003-0335

U-27136 U

U-26527 iA Supplemental SurrebuuA

200500434 KY

2003-00433 KY

2003.00433 fl

2003-00434 KY

SOAH Docket TX 47304-2459. wcDodra( 292%

04-;69-EL- OH

SOAHDKkt TX 473-04-4555 WcDCcM 29526

Kentucky Industrial UWity C ~ ~ t o m e ~ , IN.

Louisiana PuMi Senriceccmnisbn

Kentucky lnduslrial UWity Customen, Inc.

Kentucky lnduslrial USlity Customen, Inc.

Kentucky Indusbial utility Customen, Inc

Kentucky lndusbial UGli C u s w , Inc

Cities Served by Texas- NewMexicoPGnerca

ohioEnergyGrarp, Inc.

Houston council for Health and Education

Kentudry Utilities a. Eamings S M t g Mechanism. L O U ~ S V ~ G= a ~lectric GI.

Entergy Louisiana, 11%. Purchasedpcmercontcacts bekeen affiliates, tern and conditions.

Entergy Gulf Slates, Inc. Revenue requiremenls, corporate franchise tax, CDnVeB-m to LLC, capitdstruchne. podtest year Adjwlments.

Revenue requirements, depmiaibn rates, Eamings Sharing Mechanism, and system sales clause.

Revenue requirements, deprecMtion rates, Eamings Sharing Mechanism, andsystemsdesclause.

Revenue r e q u ' m t s , depeciatiOn rates. OgM expense, defetrak and amartiration, earnings sharing mechanism, merger smredit, VDT surcfedii

Louisville Gas & . Electric Co.

Kentucky Ulilities Co.

Louisville Gas a Electric Co.

Revenue requirements, depreciabn rates, O&M exjaw. deferrals and amw6za6M1, earnings sharing mechani, merger sumedit, VDT suiuedit

Kentucky utaities Co.

DKT. 30485 298

J. KENNEDY AM) ASSOCIATES, INC.

- --

Exhibit -(LK-I) Page26 of26



Utility Subject Date Case Jurisdict. Party

08104 SOAHDocket TX 473-04-4556 PUC Docket 29526 ~

(SUP@ Bred)

09/04 Docket%. LA U-23327 Subdocket B

1wo4 W I N O . LA U-23327 Subdocket A


Houston Council for Centerpoint Interest on stranded cost pursuant lo Health and Educalion Energy Houston Uectric Texas Supreme bur l remand.

Fuel and purchased power expenses recoverable through fuel adjustment dause, trading activities, compliance with terms of various LPSC orden.

LOUkkM P U b k SWEPCO service commission

Louisiana Public senrice Commission

SWEPCO Revenue requirements.

DKT. 30485 299

i

EXHIBIT ( L K - 2 )

DKT. 30485 300

" U L L " I n\Gpel L . I , . . , . . - p . - s . .". r - . . - - a * - __..- -. . .-- (1) 119 An Original (2) 0 AResubmission

(Mo, Da, Yr) 1213111994 End of 1994lQ4

3 Riven Elecbic Corporation

COMPARATIVE BALANCE SHEET (LIABILITIES AND OTHER CREDITS) Current Year Prior Year

Ref. End of QuarterHear End Balance ne D. rile of Account Page No. Balance 12131

la) (b) (4 (dl I . . 1 I I

PROPRIETARY CAPITAL 1 I 2 I commnn Stnek issued 1201)

8 Installments Received on Capital Stock (212) 9 (Less) Discount on Capital Stock (213) 10 (Less) Capital Stock Expense (214) 11 Retained Earnings (215. 215.1.216) 12 Unappropriated Undistributed Subsidiary Earnings (216.1) 13 (Less) Reaquired Capital Stock (217) 14 TOTAL Proprietary Capital (Enter Total of lines 2 t h ~ 13)

t

15 LONG-TERM DEBT 1

252 W 254 0 1 254 0 1

i t a 1 1 9 -1 89,850,167 -253,502,151 iiaiis 0 1 254251 0 1

-1 85,405.56Y -249.057.54l

OTHER NONCURRENT LIABILITIES I

I I

DKT. 30485 301

- Prhrileged Data r - - - - - , FERC FORM NO. 1 ( R N . 12-03} Page 112 .-..---- -

EXHIBIT -(LK-3)

DKT. 30485 302

EAST LENTUCKY POWER COOPERATIVE,

PSC CASE NO. 2004-00321

ENVIRONMENTAL SURCHARGE

GALLATIN STEEL’S FIRST DATA REQUEST DATED 11/19/04

REQUEST 3 0

RESPONSIBLE PARTY: Wifliam A. Bosta/Ann F. Wood

Callatin Request 3

Page 1 of 1

NC.

REQUEST 3.

computation of a BESF factor based on the costs included in the 1993 test year as a percentage of

revenues from that test year including the annualized rate increase allowed. Provide all computations,

assumptions, data, and workpapers, including electronic spreadsheets with formulas intact.

Refer to the Company’s response to PSC Request 18. Please provide a

RESPONSE 3.

for the calculation. Please note that Attachment 1 is also included on the CD provided in response to

Items 23 and 25.

The calculated BESF factor is 57%. Attachment 1 provides the basis and support

DKT. 30485 303

Workpaper for Gallatin Steel's Data Request Question #3

$Amount . 1. Depreciation Expense 501,570

70,778 30,960

Total

2. Oper & Mtce 213,791 Air Permit Fees 188,636 Total 0 8 M

12,217. 1,974

86 1

' 3. PropertyTax

4. Insurance

Return on Rate Base

5.

6.

7.

8.

9.

Rate Base Precip Preheater Fans

11,203

8,144,692 1,315,867

573,729 10,034,288

Total .$

603,308

U ~ b b d L I I I l \ C q U C b L J

At tach men t Page 1 of 4

Source Staff 8, p. 3 of 3, 1st Request Staff 8, p. 3 of 3. 1st Request Staff 8, p. 3 of 3. 1st Request

Wood Exhibit 2, p. 1 of 1 Wood Exhibit 2. p. 1 of 1

402,427

Staff 8. p. 3 of 3, 1st Request Staff 8, p. 3 of 3, 1st Request Staff 8, p. 3 of 3. 1st Request

15.052

Gallatin 10, 1 st Request 11,203

Wood Exhibit 1, p. 1 of 11 Wood Exhibit 1. p. 9 of 11 Wood Exhibit 1, p. 10 of 11

Cash Working Capital (118 of OBM) 50,303

Total Rate Base I 10,084,591 I Apply Rate of Return Total Return on-Rate Base

7.58% Page 2, this response 764,412

Total Costs 1,796,402 Line 1+2+3+4+7

Calculation of YO of Member System Revenues to total revenues including off-system sales.

Member Sys Rev Off System Sales Revenue

240,629,490 76.29% Page 3, this response 74,774,167 23.73% Page 4, this response

31 5,403,657 100.00%

Total Costs lncl Rate of Return 1,796,402 Exclusion of Off-System Sales 76.29% Revenue Requirement 1,370,475

Member Sys Revenue 240,629,490

Rev Req / Mbr Sys Revenues i O.S?%I

DKT. 30485 304

.... -.--l---* - Attachment Page 2 of 4

- Loan

EKPC REA CB REA

CFC P12 CB

FFB L8 M9 N8 P12

EKPC Schedule of Long Term Debt as of 12/3111993

Pollution Control Cooper (Solid Waste) Dale Smith Spurlock

CB Bonds

Weighted Average Rate

Times Tier

Return

Principal Outstanding

$71,301,603 21,232,621

7,794,097 10,883,485

184,949,662 46,492.173 182,991,403 2,088,323

11,800,000 4,210,000 40.1 65,000 131,300,000

55,161,699

770,370,016

ComDosite Annualized - Rate Interest

3.75% $ 2,673,810 2.00%

4.25% 7.00%

7.48% 9.31% 10.23% 8.72%

2.45% 6.92% 2.60% 2.43%

8.50%

424,652

33 1,249 761,844

13,834,235 4,328,421 18,720,021

182,102

289,100 291,332

1,044,290 3,190,590

4,688,740

50,760,388

6.59%

1.15 t

7.58%

DKT. 30485 305

i

5. n

. -

DKT. 30485 304

Attachment ;e4of4 5 * I > :

r

i

EXHlBrnU PAGESOFSlll

EXHIBIT -(LK-4)

DKT. 30485 308

--..- .... '"--". . A t tach men t

Page 19 of 32

Documents

Q. summarize