Pension and Other Postretirement Benefits

9 Months Ended

Sep. 30, 2015

General Discussion of Pension and Other Postretirement Benefits [Abstract]

Pension and Other Postretirement Benefits Disclosure [Text Block]

7. PENSION AND OTHER POSTRETIREMENT BENEFIT COSTS

The following table provides the components of net periodic benefit cost for our pension and other postretirement benefit plans:



	Three Months Ended September 30,
							Other Postretirement
	Pension Benefits						Benefits
In thousands	2015			2014			2015			2014
Service cost	$	2,308		$	1,919		$	145		$	136
Interest cost	4,597			4,511			291			309
Expected return on plan assets	(5,174		)	(4,887		)	—			—
Amortization of net actuarial loss	4,561			2,579			125			46
Amortization of prior service costs	57			56			50			50
Net periodic benefit cost	6,349			4,178			611			541
Amount allocated to construction	(2,061		)	(1,242		)	(218		)	(177		)
Amount deferred to regulatory balancing account⁽¹⁾	(2,171		)	(1,107		)	—			—
Net amount charged to expense	$	2,117		$	1,829		$	393		$	364



	Nine Months Ended September 30,
							Other Postretirement
	Pension Benefits						Benefits
In thousands	2015			2014			2015			2014
Service cost	$	6,926		$	5,755		$	435		$	407
Interest cost	13,787			13,535			874			928
Expected return on plan assets	(15,522		)	(14,659		)	—			—
Amortization of net actuarial loss	13,683			7,739			376			138
Amortization of prior service costs	173			168			148			148
Net periodic benefit cost	19,047			12,538			1,833			1,621
Amount allocated to construction	(5,765		)	(3,644		)	(607		)	(518		)
Amount deferred to regulatory balancing account⁽¹⁾	(6,511		)	(3,331		)	—			—
Net amount charged to expense	$	6,771		$	5,563		$	1,226		$	1,103

⁽¹⁾

The deferral of defined benefit pension expenses above or below the amount set in rates was approved by the OPUC, with recovery of these deferred amounts through the implementation of a balancing account. The balancing account includes the expectation of higher net periodic benefit costs than costs recovered in rates in the near-term with lower net periodic benefit costs than costs recovered in rates expected in future years. Deferred pension expense balances include accrued interest at the utility’s authorized rate of return, with the equity portion of the interest recognized when amounts are collected in rates.

The following table presents amounts recognized in accumulated other comprehensive loss (AOCL) and the changes in AOCL related to our non-qualified employee benefit plans:



	Three Months Ended September 30,						Nine Months Ended September 30,
In thousands	2015			2014			2015			2014
Beginning balance	$	(9,413	)	$	(6,027	)	$	(10,076	)	$	(6,358	)
Amounts reclassified from AOCL:
Amortization of prior service costs	—			(1		)	—			(5		)
Amortization of actuarial losses	549			275			1,645			826
Total reclassifications before tax	549			274			1,645			821
Tax expense	(217		)	(108		)	(650		)	(324		)
Total reclassifications for the period	332			166			995			497
Ending balance	$	(9,081	)	$	(5,861	)	$	(9,081	)	$	(5,861	)

Employer Contributions to Company-Sponsored Defined Benefit Pension Plan

For the nine months ended September 30, 2015, we made cash contributions totaling $11.8 million to the qualified defined benefit pension plan. We expect further plan contributions of $2.3 million during the remainder of 2015.

Defined Contribution Plan

The Retirement K Savings Plan provided to our employees is a qualified defined contribution plan under Internal Revenue Code Section 401(k). Our contributions to this plan totaled $2.9 million and $2.8 million for the nine months ended September 30, 2015 and 2014, respectively.

See Note 8 in the 2014 Form 10-K for more information concerning these retirement and other postretirement benefit plans.