26 Del. Admin. Code § 1002-A-1.0

Current through Register Vol. 27, No. 12, June 1, 2024

Section 1002-A-1.0 - Instructions

1.1 Prefiling Announcement.

In order for the Commission to schedule its future workload in an efficient manner, every public utility shall file with the Commission a Notice of Intent to file a general rate increase application not less than 60 calendar days prior to filing its application or notice of increase. This notice must include, in addition to the statement of intent to file, the dates of proposed test year and test period. If a regulated utility cancels, changes or delays a proposed general rate increase application previously reported to the Commission, the utility must promptly file an amended report reflecting such change of plans.

1.2 Application Requirement. The utility must provide 5 hard copies of the application for rate relief and the accompanying prepared testimony and supporting exhibits and workpapers to the Commission within 7 calendar days after filing its electronic filing.

1.3 Test Year and Test Periods

1.3.1 Test Year Defined.

1.3.1.1 The test year is the actual historical period of time for which financial and operating data will be required. The test year data must include the actual "Per Books" results of operation for a 12-month period at the end of a reporting quarter. In addition, the 12 month period must end no later than 7 months prior to the filing of the application, but no sooner than 1 month after the final closing of the test year (post reversal of accrual entries), so that actual expenditures are reflected in the books of account. For example, if the actual results of operations for the 12 months ending March 30, 200x, are used for the purposes of the test year, the application must be filed no sooner than April 30, 200x, but no later than October 31, 200x.

1.3.2 Test Period Defined.

1.3.2.1 The test period consists of 12 consecutive months ending at the end of a reporting quarter utilized by the utility to support its request for relief. The test period may be the same as the test year or may include some of the months included in the test year and some months projected, such as 6 months "actual" and 6 months "projected", but may not include more than 9 months "projected".

1.3.3 Updating Projected Test Periods.

1.3.3.1 If the proposed test period is other than the test year (historic period), each quarter of projected utility data as filed shall be updated to actual utility data and provided to Staff and all parties within 60 days after the close of the quarter, unless a later date for submitting this additional data is otherwise ordered by the Hearing Examiner.

1.3.4 Modifications to Test Period Data. Any modifications in test period data occasioned by reasonably known and measurable changes in current or future rate base items, expenses (i.e., labor costs, tax expense, insurance, etc.) or revenues must be offered in evidence by the utility at any time prior to or with its filing of rebuttal evidence, provided, however, that if any party objects to the proffered modifications within 10 calendar days, such objections shall be promptly presented to the Commission, the Presiding Officer or Hearing Examiner for a decision on due consideration of the parties' respective positions.

1.3.5 Matching of Average Year or Year End Test Period.

1.3.5.1 There must be a consistent timing match between rate base items, expenses, and revenues. For example, if a utility proposes an average year rate base, all assets and liabilities (based on average year customers and usages) shall be expressed on an average year basis. If a utility proposes an end of year rate base, all assets, liabilities, expenses and revenues (based on end of year customers and usages) shall be expressed on an end of year basis.

1.4 Testimony and Exhibits.

1.4.1 Prepared direct testimony supporting exhibits, schedules, and all workpapers supporting the application must be filed coincident with the filing of the application for rate relief. This filing requirement shall not prohibit the utility from subsequently submitting further testimony and exhibits in a timely fashion as necessary or proper to address issues raised during investigation of the application however, no utility shall be permitted to raise an issue that it could have included and was not beyond the utility's control in its application and supporting testimony and exhibits.

1.4.2 All data, schedules, and exhibits filed pursuant to these Minimum Filing Requirements shall be indexed and cross-referenced to the particular section of the Minimum Filing Requirements.

1.4.3 All workpapers shall be cross-referenced to the schedules to which they pertain.

1.4.4 If data or other information required by these Minimum Filing Requirements has been previously filed with the Commission it may be incorporated by reference; however, the utility must provide the date of the filing (if known), docket or report number (if applicable), or a valid website address from which the data or information may be retrieved.

1.4.5 The schedules shown in these Minimum Filing Requirements are for illustrative purposes and may be modified to fit the individual utility, if the utility provides the data required. The burden of proof remains by Statute on the utility; therefore, if a utility believes that additional information is necessary to support its case or is proposing a position which requires departure from the basic schedules, the utility must supplement these Minimum Filing Requirements in sufficient detail to support its position.

1.4.6 All test year account data, test period account data, and account data offered for any other time period must be presented in a format consistent with the Uniform System of Accounts unless otherwise ordered by the Commission.

1.4.7 All schedules and workpapers shall be provided in a spreadsheet format that can be imported in Excel or spreadsheet programs that Staff or the DPA is using. Schedules and workpapers in Excel or other spreadsheet format shall be filed in executable native format with all formulas and links intact. If links cannot be provided, proof of data must be provided.

1.4.8 All schedules and workpapers shall be provided in computer application format and shall be labeled so that the name of the utility witness proffering them can be determined. By proffering a schedule, the witness testifies to the accuracy of the data contained in that schedule.

1.4.9 Coincident with the filing of the application for rate relief, utilities that are regulated by the Federal Energy Regulatory Commission ("FERC") shall provide in spreadsheet format (i.e., Microsoft Excel) with formulas intact, a side-by-side comparison by FERC account to their FERC Form No, 1 or 2 for the 12-month historic year and all additional months of data beyond the historic test year that are included in the test period. Utilities shall provide the underlying support, for any variances.

1.4.10 Coincident with the filing of the application for rate relief, utilities that are regulated by the FERC shall provide in spreadsheet format (i.e., Microsoft Excel) with formulas intact, a side-by-side comparison by FERC account, to the FERC budgets for any months representing forecasted data. Utilities shall provide the underlying support, for any variances.

1.4.11 If a utility claims that any data, or information, required to be provided pursuant to these Minimum Filing Requirements is a trade secret, is proprietary information, or is confidential, the utility must specifically identify such data or information. A utility shall not apply a blanket label of confidentiality to entire pages of documents in which only portions of the material contained therein is confidential, but rather shall redact only the material on each page that it claims to be confidential. Challenges to a utility's claim that data or information is a trade secret, is proprietary, or is confidential shall be made pursuant to 26 DE Admin. Code 1001, subsection 1.11.

1.5 Penalty for Non-Compliance

1.5.1 The Commission Staff will review all filings for compliance with the format and instructions furnished herein and, within 15 calendar days after the date of filing, specifically identify any noncompliance with such format and instructions, and immediately request the Commission's Secretary to promptly notify the utility of the alleged defects in compliance. Following such notification by the Commission's Secretary, if the utility 15 days corrects the alleged defects; within fifteen (15) calendar days, the filing date shall be the date the utility first submitted the application to the commission for the purposes contemplated under the Public Utilities Act. In the event the alleged defects are not corrected within 15 calendar days, Staff may move the Commission to reject the utility's application for non-compliance with these Minimum Filing Requirements.

1.5.2 A utility may submit an application in draft form for Staff's informal review and approval without prejudice, such informal review and approval not to be unreasonably withheld by Staff.

26 Del. Admin. Code § 1002-A-1.0

27 DE Reg. 117 (8/1/2023) (Final)