Current through Register Vol. 48, No. 38, September 20, 2024
a) At the time
that the utility files its annual reconciliation, the utility shall file a petition
pursuant to 83 Ill. Adm. Code 200 seeking approval of its annual reconciliation. The
annual reconciliation shall be verified by an officer of the utility.
b) The utility shall provide the following
schedules for each surcharge being reconciled:
1)
A schedule showing the costs recoverable through the applicable surcharge during the
reconciliation year,
2) A schedule
showing the revenues arising from the applicable surcharge during the reconciliation
year, and
3) A schedule showing the
reconciliation components determined by the utility (Rf, Rv, and R, as applicable)
to be recovered or refunded throughout the April 1 through December 31 period
following the filing of the annual reconciliation. The reconciliation components
shall be treated as an addition to, or an offset against, actual purchased
water/purchased sewage treatment costs.
A) The
calculation of the utility-determined reconciliation components shall include the
effects of the reconciliation components and adjustment components from prior
reconciliation years that were effective in the year being reconciled.
B) The utility-determined reconciliation
components shall include the total of the following items:
i) Refunds, directly billed supplier surcharges,
unamortized balances of adjustments in effect as of the utility's implementation
date, and other separately designated adjustments;
ii) For the initial reconciliation year, the
cumulative difference between actual recoverable purchased water/sewage treatment
costs and surcharge recoveries for the period preceding the initial effective month;
and
iii) The unamortized portion of any
reconciliation components and/or adjustment components included in prior
determinations of the purchased water/sewage treatment surcharge.
C) The reconciliation components shall
not include costs associated with unaccounted for water or any storm water inflow or
infiltration in contravention of an Order of the Commission directing that such
costs not be reflected in rates.
D) If a
utility determines the need to amortize a positive reconciliation component over a
period longer than nine months, the utility must receive authority from the
Commission's Manager of the Accounting Department to recover such costs over a
longer period. The utility shall make the request in writing to the Manager of the
Accounting Department. The Manager of the Accounting Department must approve the
request for a longer amortization period in writing. The Manager of the Accounting
Department shall consider the dollar amount of the positive reconciliation component
and the impact of the positive reconciliation component on customer bills when
granting or denying a utility's request for an amortization period longer than nine
months.
c) Costs
and revenues associated with the purchased water/sewage treatment surcharge shall be
subject to adjustment components (Of, Ov, and O, as applicable) as required by an
Order of the Commission. Any difference determined by the Commission shall be
credited or charged, as appropriate, along with any interest at the effective rates
established by the Commission under 83 Ill. Adm. Code
280.70(e)(1).
Interest on the adjustment component shall be applied from the end of the
reconciliation year until the adjustment component is refunded or charged.
d) The initial reconciliation year shall begin on
the effective date of the purchased water/sewage treatment surcharge and end on
December 31 of the calendar year in which the surcharge was initiated. Each
subsequent reconciliation year shall begin on January 1 and shall end on December
31.
e) The utility will file its annual
reconciliation no later than the March 15 following the December 31 end of the
reconciliation period. The utility-determined reconciliation component from the
annual reconciliation shall become effective on the April 1 following the end of the
reconciliation year.
f) When the utility
files its annual reconciliation, the utility shall provide two copies of the
following items, for each surcharge being reconciled, one copy to the Commission's
Manager of the Water Department and one copy to the Commission's Manager of the
Accounting Department:
1) Copies of all workpapers
pertaining to the reconciliation;
2)
Copies of all invoices supporting the costs for the applicable purchased
water/sewage treatment surcharge;
3)
Copies of the applicable general ledger or equivalent documentation supporting the
recovery of the purchased water/sewage treatment surcharge;
4) A worksheet showing an independent calculation
of the purchased water/sewage treatment surcharge. For fixed charges, the worksheet
shall show the total fixed charge obtained by multiplying the monthly fixed charge
by the number of customer months. For variable charges, the worksheet shall show the
total variable charge obtained by multiplying the units delivered by the variable
charge rate; and
5) A detailed worksheet
showing the calculation of any reconciliation component based upon the annual
reconciliation and the effect of the reconciliation component amount on the
purchased water/sewage treatment surcharge rate.
