REGULATORY MATTERS: Regulatory Matters Level 3 (Tables)

12 Months Ended

Dec. 31, 2015

Regulatory Assets and Liabilities, Other Disclosures [Abstract]

Schedule of Regulatory Assets and Liabilities

The following table presents a summary of Idaho Power’s regulatory assets and liabilities (in thousands of dollars):



		As of December 31, 2015
	Remaining Amortization Period	Earning a Return⁽¹⁾		Not Earning a Return		Total as of December 31,
Description	Remaining Amortization Period	Earning a Return⁽¹⁾		Not Earning a Return		2015		2014
Regulatory Assets:
Income taxes		$	—	$	875,027	$	875,027	$	802,188
Unfunded postretirement benefits⁽²⁾		—		251,762		251,762		264,548
Pension expense deferrals		62,642		23,148		85,790		63,644
Energy efficiency program costs⁽³⁾		4,482		—		4,482		4,690
Power supply costs⁽⁴⁾	Varies	47,220		—		47,220		59,189
Fixed cost adjustment⁽⁴⁾	2016-2017	36,820		—		36,820		23,737
Asset retirement obligations⁽⁵⁾		—		14,410		14,410		17,309
Mark-to-market liabilities⁽⁶⁾		—		4,973		4,973		3,961
Long-term service agreement⁽⁷⁾	2043	18,592		11,633		30,225		—
Other	2016-2021	1,096		2,620		3,716		3,121
Total		$	170,852	$	1,183,573	$	1,354,425	$	1,242,387
Regulatory Liabilities:
Income taxes		$	—	$	51,131	$	51,131	$	55,490
Removal costs⁽⁵⁾		—		183,505		183,505		180,063
Investment tax credits		—		79,655		79,655		79,163
Deferred revenue-AFUDC⁽⁸⁾		58,835		28,855		87,690		72,975
Energy efficiency program costs⁽³⁾		6,554		—		6,554		—
Power supply costs⁽⁴⁾		—		—		—		1
Settlement agreement sharing mechanism⁽⁴⁾	2016-2017	3,159		—		3,159		7,999
Mark-to-market assets⁽⁶⁾		—		405		405		1,880
Other		5,219		1,180		6,399		4,036
Total		$	73,767	$	344,731	$	418,498	$	401,607

⁽¹⁾ Earning a return includes either interest or a return on the investment as a component of rate base at the allowed rate of return.

⁽²⁾ Represents the unfunded obligation of Idaho Power’s pension and postretirement benefit plans, which are discussed in Note 11.

⁽³⁾ The 2015 energy efficiency asset represents the Oregon jurisdiction balance and the liability represents the Idaho jurisdiction balance. Both jurisdiction's balances were assets at December 31, 2014.

⁽⁴⁾ These items are discussed in more detail in this Note 3.

⁽⁵⁾ Asset retirement obligations and removal costs are discussed in Note 13.

⁽⁶⁾ Mark-to-market assets and liabilities are discussed in Note 16.

⁽⁷⁾ A portion not earning a return as of December 31, 2015 will be eligible to earn a return as of January 1, 2018.

Schedule of Power Cost Adjustment Changes

The table below summarizes the three most recent Idaho PCA rate adjustments, all of which also include non-PCA-related rate adjustments as ordered by the IPUC:



Effective Date	$ Change (millions)			Notes
June 1, 2015	$	(11.6	)	The net decrease in Idaho PCA rates included the application of (a) a customer rate credit of $8.0 million for sharing of revenues with customers for the year 2014 under the terms of the December 2011 settlement stipulation, and (b) $4.0 million of surplus Idaho energy efficiency rider funds.
June 1, 2014	$	(88.2	)	2014 PCA rates are net of (a) $20.0 million of surplus Idaho energy efficiency rider funds, and (b) $7.6 million of customer revenue sharing under a regulatory settlement stipulation. In addition, on June 1, 2014, there was an increase in base net power supply costs that shifted $99.3 million in power supply expenses from recovery via the PCA mechanism to recovery via base rates. The shifting of base net power supply costs is discussed in more detail below.
June 1, 2013	$	140.4		The 2013 PCA rate increase was net of $7.2 million of customer revenue sharing under regulatory settlement stipulations.

Schedule of Power Supply Cost Changes

Oregon jurisdiction power supply cost changes under the APCU and PCAM during each of 2015, 2014, and 2013 are summarized in the table that follows:



Year and Mechanism		APCU or PCAM Adjustment
2015 PCAM		Actual net power supply costs were within the deadband, resulting in no deferral.
2015 APCU		A rate decrease of $0.7 million annually took effect June 1, 2015.
2014 PCAM		Actual net power supply costs were within the deadband, resulting in no deferral.
2014 APCU		A rate increase of $0.4 million annually took effect June 1, 2014.
2013 PCAM		Actual net power supply costs were within the deadband, resulting in no deferral.
2013 APCU		A rate increase of $2.9 million annually took effect June 1, 2013.

Schedule of Revenue Sharing

The amounts Idaho Power recorded in each of 2012, 2013, and 2014 for sharing with customers under the December 2011 Idaho regulatory settlement stipulation were as follows (in millions):



Year	Recorded as Refunds to Customers	Recorded as a Pre-tax Charge to Pension Expense
2014	$8.0	$16.7
2013	$7.6	$16.5
2012	$7.2	$14.6

Schedule of Fixed Cost Rate Adjustments

The following table summarizes FCA amounts approved for collection in the prior three FCA years:



FCA Year	Period Rates in Effect	Annual Amount (in millions)
2014	June 1, 2015-May 31, 2016	$16.9
2013	June 1, 2014-May 31, 2015	$14.9
2012	June 1, 2013-May 31, 2014	$8.9

Schedule of Open Access Transmission Rates

Idaho Power's OATT rates submitted to the FERC in Idaho Power's four most recent annual OATT Final Informational Filings were as follows:



Applicable Period	OATT Rate (per kW-year)
October 1, 2015 to September 30, 2016	$	23.43
October 1, 2014 to September 30, 2015	$	22.48
October 1, 2013 to September 30, 2014	$	22.80
October 1, 2012 to September 30, 2013	$	21.29