N.Y. Comp. Codes R. & Regs. tit. 16 § 461.8

Current through Register Vol. 46, No. 36, September 4, 2024

Section 461.8 - Transactions with associated companies

(a) Each utility shall so keep its accounts and records as to be able to furnish readily, accurate statements of all transactions with associated companies. The statements may be required to show the general nature of the transactions, the amounts involved therein and the amounts included in each account prescribed herein with respect to such transactions. Transactions with associated companies shall be recorded in the appropriate accounts for other transactions of the same nature, except as otherwise provided herein.

(b) If a clearing account is not maintained for each associated company in which all gross charges by that company are entered and from which they are distributed, all charges of any nature whatsoever by any associated company shall be credited at the gross amounts involved to a subaccount for that company under account 215, Advances from Associated Companies, or under account 223, Payables to Associated Companies (even though immediately transferred to an account for capital stock, long-term debt, or other liability), as appropriate. In like manner, in the absence of clearing accounts, all gross charges to any associated company shall be debited to a subaccount for that company under account 111, Investments in Associated Companies (even though immediately transferred to a special deposit, special fund, or other investment account), or to account 126, Receivables from Associated Companies, as appropriate.

(c) Dividends, rebates, or earnings from associated companies or mutual service companies, representing refunds of the excess charges made by such companies over the cost to them, shall be debited to account 126, Receivables from Associated Companies, and shall be credited so far as practicable to the same accounts to which the corresponding charges were made, including proper distinction between construction and operating expenses. Credits applicable to operating expenses which it is impracticable to allocate among the accounts to which the corresponding charges have been made, shall be to account 806, Duplicate Miscellaneous Charges--Credit.

N.Y. Comp. Codes R. & Regs. Tit. 16 § 461.8