16 CRR-NY V E 2 AccountsNY-CRR
16 CRR-NY V E 2 Accounts
16 CRR-NY V E 2 Accounts
Balance Sheet Accounts
Assets and Other Debits
Utility Plant
Note A:
In accounts 1101, 1102, and 1104 for water plant are to be carried the totals of the detailed plant accounts 1301-1336 in which the utility' s plant is required to be carried on the utility's plant ledger.
Note B:
If the utility is engaged in more than one utility service, such as water, electric or steam, and any of its utility plant is used in common for several utility services or for other services, the original cost of such plant may be carried in a separate subdivision of the plant accounts, whereto the word “common” shall be suffixed to designate such property as common.
Section D 1100.Water Plant
This account shall include items provided for in accounts 1101 to 1104.
Section C 1101.Water Plant in Service
This account shall include the original cost of water plant owned and used and useful by the utility in the service of the public in its water operations. The original cost of such plant not owned, including additions to and betterments of property leased from others, shall be included in separate subdivisions of this account. (See water plant instruction § 577.6.)
Section C 1102.Water Plant Leased to Others
This account shall include the original cost of water plant owned by the utility and leased to others as operating units or systems when the lessee has exclusive possession, such as an entire source of supply, distribution system, or office building.
Section C 1103.Construction Work in Progress
This account shall include the expenditures on water plant in process of construction but not ready for service at the date of the balance sheet.
Section C 1104.Water Plant Held for Future Use
This account shall include the original cost of water plant owned and held for future use in water service under a definite plan for such use. This includes property acquired but never used by the utility in water service, but held for such service in the future under a definite plan, and property previously used by the utility in water service, but retired from such service and held pending its reuse in water service in the future under a definite plan.
Note:
Materials and supplies and meters held in reserve shall not be included in this account.
Section D C 1105.Water Plant Acquisition Adjustments
(A) With respect to water plant acquired prior to the effective date hereof and still in service at that date, this account shall include (unless otherwise ordered by this commission) the difference between the amount carried on the books therefor as of the effective date hereof, and the original cost thereof when such difference is not clearly includible in any other account.
(B) With respect to water plant acquired after December 31, 1938, as an operating unit or system by purchase, merger, consolidation, liquidation or otherwise, this account shall include (unless otherwise ordered by this commission) the difference between (a) the cost to the accounting utility of such water plant, and (b) the original cost thereof, less credits representing contributions (see paragraph B of account 1265, Contributions in Aid of Construction, and water plant instruction § 577.1, subd. [e]), less the amount or amounts credited to the depreciation reserves of the accounting utility at the time of acquisition with respect to such water plant and less the amount in account 1265, Contributions in Aid of Construction.
(C) Whenever practicable, this account shall be subdivided by Class C utilities according to the character of the amounts included herein and so as to show the amounts applicable to water plant in service, water plant leased to others, and water plant held for future use.
(D) A record shall be kept of the amounts in this account for each property acquisition after the effective date hereof.
(E) With respect to the amount applicable to water plant acquired prior to the effective date hereof, and to each property acquisition thereafter, the utility shall notify the commission as to its program for depreciation, amortization, or other disposition of the amounts included in this account.
Section D C 1106.Unclassified Water Plant
(A) Pending the classification of water plant at the effective date of this system of accounts in accordance with the accounts prescribed herein, as provided in paragraph B hereof, each utility shall maintain its present accounts with respect to such property which shall be summarized under the title of this account.
(B) Not later than six months after the effective date hereof, each utility in Class C shall submit to the commission the entries it proposes to make to carry out the provisions of this system of accounts with reference to the original cost of its water plant as of the effective date hereof. It shall submit also a comparative balance sheet showing the accounts and amounts appearing in its books as of the effective date of this system of accounts and the accounts and respective amounts as of the same date after the proposed entries shall have been made.
(C) Nothing herein stated shall be taken as permitting the recording as part of the original cost of water plant of amounts charged in previous years to operating expenses, operating taxes or other income or surplus accounts.
(D) There shall also be included in a separate subdivision of this account (1) the cost of water plant acquired as an operating unit or system by purchase, merger, consolidation, liquidation or otherwise, pending the distribution thereof to the appropriate accounts in accordance with orders of this commission; and (2) the credit for the sale price of water plant constituting an operating unit or system sold, conveyed or transferred to another through sale, merger, consolidation, or otherwise, pending the completion of the accounting for the transaction and an order of this commission for the accounting of such sale.
Section D C 1108.Other Utility Plant
(A) There shall be included under this caption the balances in accounts for utility plant other than water plant, as for example, electric, steam, etc.
(B) A separate account shall be kept for each utility department.
Note:
In the case of utility services for which systems of accounts are prescribed by this commission, the appropriate accounts in such systems shall be used.
Investment and Fund Accounts
Section D C 1110.Other Physical Property
(A) This account shall include the cost to the utility of land, structures, and equipment owned by the utility and not includible in utility plant accounts (1100-1108).
(B) The records supporting the entries to this account shall be so kept that the utility can furnish information as to the nature and cost of each kind of property, from whom it was acquired, its location, and its use.
Section D C 1114.Miscellaneous Investments and Special Funds
(A) This account shall include assets, such as:
Investments in securities issued or assumed by others
Advances to others, except advances to associated companies (see account 1115) including interest accrued thereon
Assets held in sinking funds, depreciation funds, and other special funds, such as:
(a) Cash
(b) Securities issued by others or other assets, at cost except as provided in paragraphs C and D
(c) Live securities, issued or assumed by the utility, at cost
(d) Securities of the utility, issued to trustees without intervening sale, at face value
Special deposits for more than one year, such as for rent, performance of contracts, etc.
(B) The records shall be so kept as to show the amount of each investment and the investment advances to each person.
(C) Except as otherwise provided, the investments included in this account shall be recorded at cost at the time of acquisition. Cost does not include any amount paid for accrued interest or dividends. The utility may write down the cost of any investment in recognition of a decline in the value thereof, and if there be no reasonable prospect of substantial value it shall be written off or written down to a nominal value. Fluctuations in market value shall not be recorded but a permanent impairment in the value shall be recognized in the accounts. When investments are written off or written down the amount of the adjustment shall be charged to account 1538, Miscellaneous Income Deductions, or to account 1414, Miscellaneous Debits to Surplus, except that if a reserve has been created therefor, it shall be to such reserve account.
(D) If securities with a fixed maturity date are purchased at a discount or at a premium, such discount or premium may be written off over the remaining life of the securities through periodic debits or credits to this account with concurrent credits or debits to account 1524, Interest Revenues.
Note A:
Securities pledged shall be so indicated.
Note B:
This account shall not include advances to or open accounts with associated companies. See account 1115, Owing by Associated Companies.
Owing by Associated Companies
Section D C 1115.Owing by Associated Companies
(A) This account shall include debit balances in all accounts with associated companies, and notes and drafts upon which associated companies are liable, together with interest thereon.
(B) This account shall be so kept as to show for each associated company the amounts receivable on notes separately from amounts receivable on open accounts, and the due date of each item.
Note:
The face amount of notes receivable from associated companies discounted or sold without releasing the utility from liability as endorser thereon, shall not be credited to this account, but to account 1221, Notes Receivable Discounted.
Current and Accrued Assets
Section D C 1120.Cash and Working Funds
This account shall include cash on hand and in bank and cash advanced to officers, agents, employees, and others as petty cash or working funds. Special cash deposits for payment of interest, dividends, or other special purposes shall be included in this account in separate subdivisions which shall specify the purpose for which each such special deposit is made.
Note:
Deposits for more than one year shall not be charged to this account but to account 1114, Miscellaneous Investments and Special Funds.
Section D C 1124.Notes Receivable
This account shall include the cost of all collectible obligations in the form of notes receivable and similar evidences (except interest coupons) of money due on demand or within one year from the date of issue, which are not includible in other accounts.
Note A:
Notes receivable from associated companies shall not be included herein but in account 1115, Owing by Associated Companies.
Note B:
When notes receivable are discounted, sold or transferred, unless transferred without recourse, an entry shall be made debiting account 1120, or other applicable accounts, and crediting account 1221, Notes Receivable Discounted. If notes receivable are placed in a bank for collection, no entry need be made therefor in the general ledger, but a memorandum entry to state the fact shall be made in the note record.
Section D C 1125.Accounts Receivable
(A) This account shall include amounts due on open accounts from customers for utility services (including merchandising, jobbing and contract work) and from others than customers, except amounts due from associated companies.
(B) Utilities shall subdivide this account to show separately (1) amounts due from customers, (2) amounts due from officers and employees (except working fund advances which are includible in account 1120, but including amounts due for utility service), and (3) amounts due from others.
Section D C 1131.Materials and Supplies
(A) This account shall include the cost of unissued small tools and unapplied materials and supplies (except meters). The cost shall include, when practicable, the purchase price at the point of free delivery, plus customs duties, excise and other taxes on purchases, freight, insurance, costs of inspection, special tests prior to acceptance, loading and unloading, transportation and other directly assignable charges.
(B) If inward transportation charges on materials are not included as a part of the cost of the particular materials to which they relate, they shall be charged to account 1810, Stores, Shop and Laboratory Expenses, unless account 1902, Stores Expenses—Clearing, is used, in which case they shall be therein included.
(C) Cash or other discounts on materials shall be deducted, when practicable, in determining the cost of the particular material, or credited to the account to which the material is charged. Discounts which are not so handled shall be credited to account 1810, Stores, Shop and Laboratory Expenses, unless account 1902, Stores Expenses—Clearing, is used, in which case they shall be therein included.
(D) Materials recovered in connection with construction, maintenance, or the retirement of property which are not intended to be reused, shall be designated as “scrap” and charged to this account at amounts which it is estimated will be realized therefrom; if they are intended to be reused, they shall be charged to this account at the average price at which like materials are carried, except that large individual items of equipment, such as purification plant equipment, shall be carried at original cost.
(E) When materials are issued for use, this account shall be credited with either the actual cost of the material issued or the average cost of all items of the same kind and size, not including “scrap” material. Scrap materials shall be credited to this account when sold or otherwise disposed of at the amount at which such materials were charged into the account. Account 1250, Reserve for Depreciation of Utility Plant, shall be adjusted for the difference between the amount charged hereto and the amount received therefor if material was recovered from retirement of property, and the appropriate maintenance account shall be adjusted if such material was recovered on maintenance work.
(F) Inventories of materials and supplies shall be taken at least annually and the necessary adjustments shall be made to bring this account into harmony with the actual inventories. In effecting the adjustments, differences shall be equitably apportioned among the accounts to which materials have been charged since the preceding inventory, or included in account 1810, Stores, Shop and Laboratory Expenses, unless account 1902, Stores Expenses—Clearing, is used, in which case they shall be therein included.
Section D C 1132.Prepayments
(A) When a payment is made in advance of the period to which the expenditure applies, the amount thereof shall be charged to this account. Each month or other accounting period to which the item applies an entry shall be made crediting this account and charging the appropriate account with its proper portion of the prepayment.
(B) Representative items includible herein are prepaid insurance, rents (see water plant instruction § 577.6), taxes and interest. The account shall be so kept or supported as to disclose the balance of each class of prepayments.
Note:
For example, an insurance premium amounting to $1200 is paid on a policy running for a year in the future. The amount of the premium shall be charged to this account, and each month or other accounting period, entries shall be made transferring from this account to the appropriate operating expense or other account the portion of the premium which is applicable to the period.
Section D C 1133.Miscellaneous Current and Accrued Assets
This account shall include the following classes of items:
(1) Interest, dividends and rents receivable, except from associated companies
(2) Estimated amounts accrued to the utility for service rendered but not billed as of the end of any accounting period (This is optional.)
(3) Cash surrender value of life insurance policies under which the utility is the beneficiary (See note to account 1800, Other General Expenses.)
(4) Other assets not includible in accounts 1120 to 1132, or 1115, which are readily convertible into cash or are held for current use in operations or construction
Deferred Debits
Section D C 1140.Unamortized Debt Discount and Expense
(A) Discount on bonds or other debt is the excess of the face value of the securities plus interest accrued at the date of sale over the cash value of the consideration received from their sale; when the amount (or cash value of the consideration) received, exceeds the face value and accrued interest, the excess is the premium. Expenses incurred in connection with the issue are items such as fees for drafting mortgages, taxes and fees for issuing and recording, commissions or fees paid for selling bonds, cost of obtaining governmental authorization, etc.
(B) When discount and expenses are incurred on an issue of long-term debt (see § 575.1, subd. [a] [7]) or when expenses on an issue are greater than the premiums on such issue, the amount thereof shall be included in this account. A separate subdivision shall be kept for each class and series of long-term debt.
(C) The discount and expense (or expense less premium if a net debit) on each issue shall be written off over the life of the issue to which it applies under a plan that will equitably distribute the amounts over the life of the bonds or other long-term debt. This may be done by monthly charges to account 1531, Amortization of Debt Discount and Expense, and credits to this account. The utility may, however, charge off discount and expense (or expenses less premium if a net debit) over a shorter period by charges to account 1414, Miscellaneous Debits to Surplus.
(D) When bonds or other long-term debt are reacquired, any balance included in this account representing discount and expense (or expense less premium if a net debit) on the reacquired debt shall be credited to this account and debited to account 1414, Miscellaneous Debits to Surplus. The difference between the face value of the bonds or other long-term debt and the amount for which they were reacquired shall be carried to Surplus. (See also account 1153, Reacquired Long- term Debt.)
Section D C 1146.Miscellaneous Deferred Debits
(A) This account shall include the following classes of items:
Expenditures for preliminary surveys, plans, investigations, etc., made for the purpose of determining the feasibility of projects under contemplation. If construction results, this account shall be credited with the amount applicable thereto and the appropriate water plant accounts shall be charged with an amount which does not exceed the expenditures which may reasonably be determined to contribute directly and immediately and without duplication to water plant. If the work is abandoned, the charge shall be to account 1538, Miscellaneous Income Deductions, or account 1414, Miscellaneous Debits to Surplus, unless otherwise authorized or directed by this commission.
Extraordinary property losses which require abandonment or retirement of property in advance of adequate provision therefor through reserves or otherwise, such as destruction by floods, condemnation for public use, etc. When such losses are incurred the utility shall make application to this commission to prescribe the accounting therefor and shall submit all the relevant facts concerning the case.
Undistributed balances in clearing accounts (see accounts 1901 to 1905) at the date of the balance sheet. Balances in clearing accounts shall be substantially cleared not later than the end of the calendar year unless items held therein relate to a future period.
Balances representing expenditures for work in progress other than on utility plant. This includes jobbing and contract work in progress.
Other debit balances, the proper final disposition of which is uncertain, and unusual or extraordinary expenses, not included in other accounts, which are in process of being written off.
(B) The records supporting the entries to this account shall be so kept that the utility can furnish full information as to each deferred debit included herein.
Capital Stock Expense
Section D C 1151.Capital Stock Expense
(A) There shall be reported by this caption all balances in the accounts for expenses incurred in connection with the issuance and sale of capital stocks.
(B) The accounts hereunder shall be so kept as to show separately the expense on each class and series of capital stocks.
(C) Credits made to this account to write off capital stock expense (if the utility desires to write off such expense) shall be offset by debits to account 1414, Miscellaneous Debits to Surplus.
(D) When capital stock is reacquired, this account shall be credited and account 1414, Miscellaneous Debits to Surplus, shall be charged with the amount of expenses included herein applicable to such reacquired stock.
Reacquired Securities
Section D C 1152.Reacquired Capital Stock
(A) This account shall include the par value of capital stock which had been issued by the utility and is reacquired by it and not retired or canceled, but is held by the utility. Stock without par value shall be included in this account at the proportionate amount at which the particular class and series of stock is included in account 1200, Common Capital Stock, or account 1201, Preferred Capital Stock.
(B) The difference between the amount paid for capital stock reacquired and the amount at which such reacquired stock is charged to this account in accordance with paragraph A, above, shall be carried to account 1401, Miscellaneous Credits to Surplus, or account 1414, Miscellaneous Debits to Surplus, as appropriate, to which shall also be transferred any premium or expenses applicable to the capital stock reacquired.
(C) When reacquired capital stock is retired or canceled, this account shall be credited and account 1200 or 1201, as applicable, shall be charged with the amounts at which such stock is included therein. When reacquired capital stock is resold by the utility (see section 89-f of Public Service Law), the par value (or amount included in this account for stock without par value) of the stock resold shall be credited to this account.
(D) This account shall be so kept or supported as to show the amount herein applicable to each class and series of stock.
Section D C 1153.Reacquired Long-term Debt
(A) This account shall include the par or face value of bonds or other long-term debt which had been issued or assumed by the utility and is reacquired by it and held under conditions which do not permit the utility to treat such securities as paid, retired, or canceled, but which permit the resale of the securities (see section 809-f of Public Service Law). It shall not include securities which are held by trustees in sinking or other funds.
(B) The difference between the amount paid for bonds or other long-term debt reacquired and their par or face value shall be debited or credited, as appropriate, to account 1414, Miscellaneous Debits to Surplus, or 1401, Miscellaneous Credits to Surplus, to which shall also be transferred any discount, premium or expense applicable to the reacquired bonds or other long-term debt.
(C) When reacquired bonds or other long-term debt are resold by the utility (see section 89-f of Public Service Law), the par or face value thereof shall be credited to this account. When reacquired bonds or other long-term debt are retired or canceled, this account shall be credited and the appropriate long-term debt account shall be charged with the par or face value thereof.
(D) This account shall be so kept or supported as to show the amount herein applicable to each class and series of long-term debt.
Liabilities and Other Credits
Capital Stock
Section D C 1200.Common Capital Stock
Section D C 1201.Preferred Capital Stock
(A) These accounts shall include the par value of capital stock with par value and the cash value of the consideration received for non-par stock, of each class of capital stock which has been issued and is outstanding, and also the capital stock in account 1152, Reacquired Capital Stock.
(B) When the actual cash value of the consideration received is more than the par value of any stock having par value, the excess shall be credited to account 1203, Premiums and Assessments on Capital Stock.
(C) When capital stock is retired and canceled, these accounts shall be charged with the amount at which such stock is carried herein.
(D) A separate ledger account, with a descriptive title, shall be kept for each class and series of stock. The supporting records shall show the shares in the hands of the public and those reacquired by the company and not resold.
Note A:
When a levy or assessment, except a call for payment on subscriptions, is made against holders of capital stock, the amount collected upon such levy or assessment on capital stock with par value shall be credited to account 1203, Premiums and Assessments on Capital Stock, and a levy or assessment on capital stock without par value shall be included in these accounts.
Note B:
No entries, other than those covered by the above provisions and those to record liquidating dividends, shall be made in any account for non-par stocks, except upon order of this commission.
Section D C 1203.Premiums and Assessments on Capital Stock
(A) This account shall include the excess of actual cash value of the consideration recieved over the par value and accrued dividends, of par value stock issued, together with assessments against stockholders representing payments required in excess of par value. (Assessments on stock without par value shall be included in account 1200 or 1201, as appropriate.)
(B) A separate account shall be kept for premiums and assessments on each class and series of par stock.
(C) When capital stock is reacquired or retired, the amount in this account with respect to the shares of such stock reacquired or retired shall be debited hereto.
Section D C 1205.Instalments Received on Capital Stock
(A) This account shall include the amount of instalments received on capital stock subscribed for on a partial or instalment payment plan.
(B) As subscriptions are paid in full and certificates issued, this account shall be charged and account 1200, Common Capital Stock, account 1201, Preferred Capital Stock (if reacquired stock is resold), credited with the par value of such capital stock having par value, and with the consideration received for capital stock without par value. Premiums an capital stock with par value shall be transferred to account 1203, Premiums and Assessments on Capital Stock.
Note:
The records supporting the entries to this account shall be so kept that the corporation can furnish the name and address of each subscriber, the amount and kind of capital stock subscribed, the date of subscription, the date that each is paid, the nature of each payment (whether cash or other consideration) and any other information that is necessary to make the history of the subscription complete.
Non-corporate Proprietorship
Section D C 1206.Non-corporate Proprietorship
This account shall include the investment in an unincorporated utility by the proprietor thereof, and shall be charged with all withdrawals from the business by its proprietor. At the end of each calendar year the net income for the year as developed in the income account shall be transferred to this account. There shall also be entered in this account such items as in corporate organizations are handled through Surplus. (See optional accounting procedure provided in note C hereunder.)
Note A:
Amounts payable to the proprietor as just and reasonable compensation for services performed shall not be charged to this account but to appropriate operating expense or other accounts.
Note B:
When the utility is owned by a partnership, a separate account shall be kept to show the net equity of each member therein and the transactions affecting the interest of each such partner.
Note C:
This account may be restricted to the amount considered by the proprietor to be the permanent investment in the business, subject to change only by additional investment by the proprietor or the withdrawal of portions thereof not representing net income. When this option is taken the surplus accounts shall be maintained and entries thereto shall be made in accordance with the texts thereof.
Long-Term Debt
Section D C 1210.Bonds
This account shall include the face value of unmatured bonds which have been issued and have not been retired or canceled; also the face value of such bonds issued by others the payment of which has been assumed by the utility. The account shall be so kept as to show the face value of each class and series outstanding.
Note A:
The accounting for discount, expense, and premium on long-term debt, is set forth in accounts 1140, Unamortized Debt Discount and Expense, and 1240, Unamortized Premium on Debt.
Note B:
Matured long-term debt shall be included in account 1225, Matured Long-term Debt.
Section D C 1211.Receivers' Certificates
(A) This account shall include the face value of certificates of indebtedness issued by receivers in possession of the property and acting under the orders of a court.
(B) A separate subdivision shall be kept for each issue of receivers' certificates.
Note:
Matured receivers' certificates shall be included in account 1225, Matured Long-term Debt.
Section D C 1213.Miscellaneous Long-term Debt
(A) This account shall include until maturity all notes or other obligations (except advances from associated companies) having a life of more than one year after issue or assumption. This includes such items as real estate mortgages, executed or assumed, assessments for public improvements due later than one year after date, etc.
(B) Separate accounts shall be kept for each class of obligation, and records shall show separately for each class all details as to date of obligation, date of maturity, interest dates and rates, security for the obligation, etc.
Note:
Matured long-term debt shall be included in account 1225, Matured Long-term Debt.
Debts to Associated Companies
Section D C 1214.Debts to Associated Companies
This account shall include all amounts owed to associated companies on notes, drafts, acceptances or other similar evidences of indebtedness and open accounts payable, and also interest on obligations included herein, and shall be so kept as to show separately the amount payable to each associated company on (1) notes, (2) open accounts.
Current and Accrued Liabilities
Section D C 1220.Notes Payable
This account shall include the face value of all notes, drafts, acceptances, or other similar evidences of indebtedness to other than associated companies, payable on demand or which by their terms are payable within a time not exceeding one year from the date of issue.
Section D C 1221.Notes Receivable Discounted
This account shall include the face amount of notes receivable discounted or sold without releasing the utility from liability as endorser thereon.
Section D C 1222.Accounts Payable
This account shall include all open accounts payable by the utility within one year and which are not provided for in other accounts.
Section D C 1224.Dividends Declared
This account shall include the amount of dividends which have been declared but not paid. Dividends shall be credited to this account when they become a liability.
Section D C 1225.Matured Long-term Debt
When any debt carried in account 1210, Bonds, 1211, Receivers' Certificates, or 1213, Miscellaneous Long-term Debt, matures but is not paid or for which no specific agreement for extension of the time of payment is made, it shall be transferred to this account; bonds called for redemption but not presented, shall also be included herein.
Section D C 1227.Customers' Deposits
This account shall include all amounts deposited with the utility by customers as security for the payment of bills.
Section D C 1228.Taxes Accrued
(A) This account shall be credited each month with the amount of taxes applicable thereto when payment of such taxes is to be made in a subsequent period. Concurrently, debits shall be made to the appropriate accounts for tax charges. In the absence of precise information as to the amount of the tax the monthly credits to this account will necessarily be based upon estimates; when the actual amount of the tax becomes known, the amounts of the periodic accruals shall be adjusted so as to include as nearly as can be determined in each year the taxes applicable thereto.
(B) The records supporting the entries to this account shall be so kept that the utility can furnish information as to the amount of each class of taxes accrued, the basis for each tax accrual, the accounts to which charged, and the amount of each class of taxes paid.
Section D C 1229.Interest Accrued
This account shall include the amount of interest accrued on long-term debt and other liabilities of the utility, except interest on debt to associated companies, which shall be included in account 1214, Debts to Associated Companies, and except interest which is added to the principal of the debt on which incurred.
Note:
This account shall be so kept as to show the amount of matured interest on each obligation.
Section D C 1230.Other Current and Accrued Liabilities
This account shall include liabilities of a current character (those which are either matured at the date of the balance sheet or become due on demand or within one year from date of issuance or assumption except bonds, receivers' certificates, and debts to associated companies) or which have accrued but are not payable at the date of the balance sheet, other than those for which accounts 1220 to 1229 have been provided.
Deferred Credits
Section D C 1240.Unamortized Premium on Debt
(A) This caption shall include credit balances representing the premiums less expenses, when a net credit, on each issue of long-term debt, including receivers' certificates. (See account 1140 for definitions of premium and debt expense.)
(B) The net credit of the premium less expense on each issue shall be written off over the life of the issue under a plan that will equitably distribute the amounts over the life of the securities by debits to this account and credits to account 1532, Amortization of Premium on Debt—Credit.
(C) When bonds or other long-term debt are reacquired, any balance included in this account representing premium (less expense) on the debt shall be wiped out by a debit to this account and a credit to account 1401, Miscellaneous Credits to Surplus. (See also account 1153, Reacquired Long-term Debt.)
Section D C 1241.Customer Advances for Construction
(A) This account shall include such advances by customers for construction as are to be refunded wholly or in part. When a customer is refunded the entire amount to which he is entitled according to the agreement or rule under which the advance was made, the balance, if any, remaining in this account shall be debited hereto and credited to the water plant accounts to which the cost of the property was charged.
(B) In each accounting period (see general instruction § 576.3), this account shall be charged and account 1615.2, Miscellaneous Water Revenues, credited with amounts deductible for depreciation on property for which the advances were made to the extent that the liability of the utility to make refunds is reduced because of such depreciation on the property.
(C) Separate subdivisions shall be kept for each utility service.
Section D C 1242.Other Deferred Credits
This account shall include advanced billings and receipts and other deferred credit items not provided for elsewhere; also amounts which can not be entirely cleared or disposed of until additional information has been received, or which should be credited to income or to surplus accounts in the future.
Reserves
Section D C 1250.Reserve for Depreciation of Utility Plant
(A) This account shall be credited with the following:
Amounts representing currently accruing depreciation on utility plant (See general instruction § 576.8.)
Amounts charged to account 1414, Miscellaneous Debits to Surplus, for past accrued depreciation of utility plant
Accrued depreciation upon utility properties acquired as operating units or systems
Amounts charged upon approval of the commission to account 1146, Miscellaneous Deferred Debits
(B) Class C utilities shall subdivide this account as follows:
C 1250.1 Reserve for Depreciation of Water Plant in Service
C 1250.2 Reserve for Depreciation of Water Plant Leased to Others
C 1250.4 Reserve for Depreciation of Water Plant Held for Future Use
C 1250.6 Reserve for Depreciation of Unclassified Water Plant
C 1250.8 Reserve for Depreciation of Other Utility Plant
(C) Class C utilities shall keep further subdivisions of the foregoing accounts to show the amounts applicable to each water plant account (1302-1336); and also subdivisions for “common” plant.
(D) This account shall be charged with the amount carried on the books for plant retired (except items in account 1301, Organization) and with the cost of removal, and shall be credited wtih the salvage realized and any other amounts recovered, such as insurance. (See also item 2 of account 1146, Miscellaneous Deferred Debits.)
(E) The reserves shall be so kept as to show separately for each subdivision (1) the amount of the accrual for depreciation, (2) the amount at which property retired was carried on the books, (3) cost of removal, (4) salvage, and (5) other items, including recoveries from insurance.
Note:
The utility is restricted in its use of the reserve to the purposes set forth above. It shall not divert any portion of the reserve to Surplus or make any other use thereof without the approval of this commission.
Section D C 1252.Reserve for Amortization of Water Plant Acquisition Adjustments
This account shall be credited (or debited) with amounts which are charged (or credited) to account 1505, Amortization of Water Plant Acquisition Adjustments, to account 1538, Miscellaneous Income Deductions, or to Surplus, for the purpose of providing for the extinguishment of amounts carried in account 1105, Water Plant Acquisition Adjustments.
Section D C 1254.Reserve for Uncollectible Accounts
This account shall be credited each month with estimated amounts required to provide for losses on accounts receivable which may become uncollectible, and also with collections on accounts previously charged hereto. Concurrent charges shall be made to account 1783, Uncollectible Accounts, for amounts applicable to water operations, and to corresponding accounts for other operations.
Note:
Accretions to this reserve shall not be made in excess of a reasonable provision aginst losses of the character provided for.
Section D C 1255.Reserve for Insurance, Injuries and Damages
(A) This account shall be credited, and account 1798, Insurance, Injuries and Damages, or other appropriate account, charged each month with amounts which the utility estimates are required for self-insurance against losses through accident, fire, flood, or other hazards to its own property or property leased from others, and for probable liability, not covered by insurance, for deaths or injuries to employees and others, and for damages to property not owned or held under lease. A schedule of risks covered by this reserve shall be maintained, giving a description of the property involved, the risks covered, and the rates used.
Charges shall be made to this account for:
Losses to property owned or leased from others, covered by self-insurance
Liability for any injury or damage which is admitted by the utility either voluntarily or because of the decision of a court or other lawful authority, such as a workmen's compensation board; the amount of the liability pending its payment shall be credited to the appropriate liability account
Note A:
Accretions to this reserve shall not be made in excess of a reasonable provision against losses of the character provided for.
Note B:
Recoveries or reimbursements for losses charged to this account shall be credited hereto.
Section D C 1258.Miscellaneous Reserves
(A) This account shall include all reserves which are not provided for elsewhere in this system of accounts, such as reserves for pensions, accident and death benefits, relief or other provident purposes, etc., and for depreciation of property carried in account 1110, Other Physical Property.
(B) This account shall be so kept as to show the amount of each separate reserve and the nature and amounts of the debits and credits hereto.
Section D C 1265.Contributions in Aid of Construction
(A) This account shall include those contributions for construction purposes made prior to January 1, 1947 in cash, services of property by states, municipalities or other governmental agencies, individuals and others which have not been transferred to other accounts.
(B) Amounts in this account at December 31, 1946 which are refundable wholly or in part shall be transferred to account 1241, Customer Advances for Construction. Unless otherwise ordered by the commission, non-refundable amounts in this account at Demeber 31, 1946 which can be identified with property in water plant accounts shall be transferred to the appropriate accounts. Amounts not identified with property in water plant accounts may be distributed to water plant accounts under a plan approved by the commission; otherwise the amounts remain in this account. Except as provided herein, amounts in this account shall not be transferred to any other account without the approval of the commission.
(C) The records supporting the entries to this account shall be so kept that the utility can furnish information as to the purpose of each contribution, the conditions, if any, upon which it was made, and the amount of contributions from (a) states, (b) municipalities, (c) customers, and (d) others.
(D) This account shall be subdivided according to departments (water, electric, steam, etc.) of the utility.
Surplus
Section D C 1271.Surplus
This account shall include the total of balances of accounts 1400 to 1414. The balance may be either a credit or a debit.
Water Plant Accounts
Intangible Plant
Section D C 1301.Organization
This account shall include fees paid to federal or State governments for the privilege of incorporation and expenditures for organizing the corporation, partnership or other enterprise and putting it into readiness to do business.
ITEMS
(1) Cost of obtaining certificates authorizing an enterprise to engage in the public utility business (except costs includible in account 1302)
(2) Fees and expenses for incorporation
(3) Fees and expenses for mergers or consolidations
(4) Office expenses incident to organizing the utility
(5) Stock and minute books and corporate seal
Note A:
This account shall not include any discounts upon securities issued or assumed; nor shall it include any costs incident to negotiating loans, selling bonds or other evidences of debt, or expenses in connection with the authorization, issuance, or sale of capital stock.
Note B:
Exclude from this account and include in the appropriate expense account the cost of preparing and filing papers in connection with the extension of the term of incorporation unless the first organization costs have been written off. When charges are made to this account for expenses incurred in mergers, consolidations, or reorganizations, amounts previously carried on the books of the corporations merged, consolidated, or reorganized shall not be included in this account.
Section D C 1302.Franchises and Consents
(A) This account shall include only amounts paid to the federal government, to a state or to a political subdivision thereof in consideration for franchises, consents, or certificates, running in perpetuity or for a specified term of more than one year.
(B) If a franchise, consent, or certificate is acquired by assignment, the charge to this account in respect thereof shall not exceed the amount paid therefor by the utility to the assignor, nor shall it exceed the amount paid by the original grantee. Any excess of the amount actually paid by the utility over the amount above specified shall be charged to account 1414, Miscellaneous Debits to Surplus.
(C) When any franchise has expired, the amount included therefor in this account shall be credited hereto.
Note:
Annual or other periodic payments under franchises shall not be included herein but in the appropriate operating expense account.
Section D C 1303.Miscellaneous Intangible Plant
(A) This account shall include the cost of patent rights, licenses, privileges, and other intangible property necessary or valuable in the conduct of the utility's water operations and not specifically chargeable to any other account.
(B) When any item included in this account is retired or expires, the amount included herein for the item shall be credited hereto.
(C) This account shall be so kept that the utility can furnish full information with respect to the amounts included herein.
Note:
Expenses incident to procuring franchises, consents, or certificates shall not be included herein.
Tangible Plant
Section D 1311.Land
(A) This account shall include the cost, including the amounts of mortgages or other liens assumed, of land owned in fee by the utility and rights, interests, and privileges held by the utility in land owned by others, such as leaseholds, easements, rights of way, water rights (including water diversion rights, riparian rights, flowage rights, pondage rights, submersion rights), and other like interests in land having a life of more than one year.
(B) The cost of buildings and other improvements (other than public improvements) shall not be included in this account. If at the time of acquisition of an interest in land such interest extends to buildings or other improvements (other than public improvements), which are then devoted to water operations, the land and improvements shall be separately appraised and the cost allocated to land and buildings or improvements on the basis of the appraisals. If the improvements are removed or wrecked without being used in water operations, the cost thereof and the cost of removing or wrecking shall be charged and the salvage credited to this account.
(C) The net profit from the sale of timber, cord wood, or other property acquired with rights of way or other lands shall be credited to this account. The proceeds from the sale of trees or the products thereof planted on land carried in this account, shall be credited to account 1615.2, Miscellaneous Water Revenues, and the cost of harvesting, carting and marketing them shall be charged thereto.
(D) Separate entries shall be made for the acquisition, transfer, or retirement of each parcel of land and each land right. Entries transferring or retiring land or land rights shall refer to the original entry recording its acquisition. A record shall be maintained showing the nature of ownership, full legal description, area, map reference, purpose for which used, city, county, and tax district in which situated, from whom purchased or to whom sold, payment given or received, other costs, contract date and number, date of recording deed, book and page of record.
(E) Class C utilities shall subdivide this account as shown below. Land used for more than one purpose shall be classified under the subdivision of this account indicative of its principal use.
C 1311.1 Source of Supply Land and Water Rights
C 1311.2 Power, Pumping and Purification Land
C 1311.5 Transmission and Distribution Land
C 1311.9 General Land
ITEMS
(1) Clearing (first cost) the land of brush, trees and debris
(2) Condemnation proceedings, including court and counsel costs
(3) Consents and abutting damages, payment for
(4) Conveyancers' and notaries' fees
(5) Cost of acquisition including mortgages and other liens assumed (but not interest thereon after the property is placed in service)
(6) Dredging and channel or bank improvements
(7) Easements and rights of way, cost of, and expenses of acquisition
(8) Fees, commissions, and salaries to brokers, agents and others in connection with the acquisition of the land or land rights
(9) Forestation or trees, first planting (See paragraph C.)
(10) Grading the land, except when directly occasioned by the building of a structure
(11) Leases, cost of voiding upon purchase to secure possession of land
(12) Leases having a life of more than one year, cost of, and expenses incidental to acquiring
(13) Removing, relocating, or reconstructing property of others, such as buildings, highways, railroads, bridges, cemeteries, etc.
(14) Rights of way, including costs of locating
(15) Special assessments levied by public authorities for public improvements on the basis of benefits for new roads, new bridges, new sewers, new curbing, new pavements, and other public improvements, but not taxes levied to provide for the maintenance of such improvements
(16) Surveys in connection with the acquisition
(17) Taxes assumed, accrued to date of transfer of title
(18) Title, examining, clearing, insuring, and registering in connection with the acquisition, and defending against claims relating to the period prior to the aquisition
(19) Water pollution, eliminating causes of
Note A:
When special assessments for public improvements provide for deferred payments, the full amount of the assessments shall be charged to this account and the unpaid balance shall be carried in an appropriate liability account. Interest on unpaid balances shall be charged to the appropriate interest account. If any part of the cost of public improvements is included in the general tax levy, the amount thereof shall be charged to the appropriate tax account.
Note B:
When the purchase of land for water operations requires the purchase of land not to be used for such purposes, the charge to this account shall be based upon the cost of the land purchased, less the fair market value of that portion of the land which is not to be used for water operations. The fair market value of such land not to be used for water operations shall be included in account 1110, Other Physical Property.
Section D 1312.Structures
(A) This account shall include the cost in place of structures used in water operations. This includes all permanent constructions for impounding, collecting and storing water, and structures, buildings (including purification buildings) and shelters to house, support, or safeguard property or persons, with all appurtenant fixtures permanently attached thereto; improvements to land and other structures or constructions not specifically provided for elsewhere.
(B) This account shall be subdivided as shown below, and utilities shall keep their records so as to show separately the cost of each structure included in this account. Structures used for more than one purpose shall be classified under the subdivision of this account indicative of their principal use.
C 1312.1 Source of Supply Structures, such as:
(1) Collecting and Impounding Reservoirs
(2) Lake and River Intakes
(3) Gravity Intakes and Suction Pipes
(4) Springs and Wells
(5) Infiltration Galleries and Tunnels
(6) Other Water Source Structures
C 1312.2 Power and Pumping Structures and Purification Buildings
C 1312.5 Distribution Reservoirs and Standpipes
C 1312.9 General Structures
ITEMS
(1) Aerators
(2) Attendants' dwellings
(3) Boat houses
(4) Buildings (miscellaneous) on water shed
(5) Collecting basins
(6) Dams
(7) Fences
(8) Gate houses and equipment
(9) Infiltration galleries
(10) Intake pipes
(11) Intakes
(12) Office buildings
(13) Power and pumping structures
(14) Purification buildings, including substructures, if not part of the purification system
(15) Reservoirs
(16) Roads and paths
(17) Sanitary structures
(18) Screens and racks
(19) Shop, garage and stores buildings
(20) Spillways and channels
(21) Spring or well structures (pumps shall be included in account 1315)
(22) Standpipes
(23) Surface drains
(24) Tanks
(25) Towers
(26) Any applicable item shown in “Item List for Buildings” listed below
ITEM LIST FOR BUILDINGS
(1) Architects' plans
(2) Ash pits
(3) Awnings
(4) Boilers, furnaces, piping, wiring, fixtures, and machinery for heating, lighting, signaling, ventilating, and plumbing
(5) Bridges and culverts
(6) Bulkheads including dredging, riprap fill, piling, decking, concrete, fenders, etc., when exposed and subject to maintenance and replacement
(7) Chimneys
(8) Clearing land for structures included herein
(9) Coal bins and bunkers
(10) Commissions and fees to brokers, agents, architects and others
(11) Conduit
(12) Damages to abutting property during construction
(13) Door checks and door stops
(14) Drainage and sewerage systems
(15) Elevators, cranes, hoists, etc., and the machinery for operating them, when not specifically provided for in other accounts
(16) Excavation, including shoring, bracing, bridging, refill, and disposal of excess excavated material
(17) Fences and hedges
(18) Fire protection systems when forming a part of a structure
(19) Floor covering (permanently attached)
(20) Foundations and piers for machinery, constructed as a permanent part of a building or other item listed herein
(21) Grading when directly occasioned by the building of a structure
(22) Leases, voiding, upon purchase, to secure possession of structures
(23) Leased property, expenditures on (See water plant instruction § 577.6.)
(24) Monuments and bench marks
(25) Outside lighting systems
(26) Painting, first
(27) Partitions, including movable
(28) Permits and privileges
(29) Platforms, railings, and gratings when constructed as part of structure
(30) Power boards for services to a building
(31) Railroad sidings for general use
(32) Refrigerating systems for general use
(33) Retaining walls
(34) Roads
(35) Scales, connected to and forming part of the structure
(36) Screens
(37) Sidewalks, pavements, and driveways on building grounds
(38) Sprinkling systems
(39) Stacks—brick, steel, or concrete, when set on foundations forming part of general foundation and steelwork of a building
(40) Storage facilities constituting part of a building
(41) Storm doors and windows
(42) Subways, areaways, and tunnels directly connected to and forming part of general foundation and steelwork of a building
(43) Tanks, constructed as part of a building, when not includible in another account
(44) Tunnels, intake and discharge, when constructed as part of a structure
(45) Vaults constructed as part of a building
(46) Water supply system for a building
(47) Wharves
(48) Window shades and ventilators
Note A:
The cost of specially provided foundations not expected to outlast machinery or apparatus for which they are provided and the cost of angle irons, castings, etc., installed at the base of an item of equipment shall be charged to the same account as the cost of the machinery, apparatus, or equipment.
Note B:
The cost of additions and betterments, including initial improvements to leased structures shall be accounted for as provided in water plant instruction section 577.6.
Note C:
Minor buildings and structures, such as valve towers, patrolmen's towers, telephone stations, etc., which are used directly in connection with or form a part of a reservoir, dam, waterway, etc,, shall be considered a part of the facility in connection with which constructed or operated and the cost thereof shall be accounted for accordingly.
Note D:
The cost of disposing of material excavated in connection with construction shall be considered as a part of the cost of such work, except as follows: (a) When such material is used for filling, the cost of loading, hauling and dumping shall be equitably apportioned between the work in connection with which the removal occurs and the work in connection with which the material is used; (b) when such material is sold, the net amount realized from such sales shall be credited to the work in connection with which the removal occurs. If the amount realized from the sale of excavated materials exceeds the removal costs and the costs in connection with the sale, the excess shall be credited to the land account in which the site is carried.
Note E:
Where the structure of a dam forms also the foundation of a building, such foundation shall be considered a part of the dam.
Section D C 1315.Power and Pumping Equipment
This account shall include the cost installed of equipment used in the production of steam or other power, principally for use in pumping water, and the pumping plant equipment driven thereby.
ITEMS
(1) Steam power and pumping equipment, such as furnaces, boilers, steam and feed water piping, boiler apparatus and accessories, pumps and other pumping equipment, including auxiliary power and pumping equipment
(2) Other power and pumping plant equipment, such as:
(2) (a) Electric power equipment, and pumping equipment driven thereby
(2) (b) Diesel or other oil engines and pumping plant equipment driven thereby
(2) (c) Hydraulic power equipment and pumping plant equipment driven thereby
(2) (d) Gasoline or gas engines and pumping plant equipment driven thereby
(2) (e) Other types of pumping plant equipment
Note A:
This account shall not include boilers or steam pipes whose primary purpose is the heating of structures.
Note B:
Include office furniture and equipment, desks, chairs, etc., in account 1328, Office Furniture and Equipment.
Section D C 1320.Purification System
This account shall include the cost in place of structures, apparatus, and equipment used for the purification of water.
Note:
Protecting superstructures shall be included in account 1312.2, Power and Pumping Structures and Purification Buildings.
ITEMS
(1) Aerators (except when located at reservoir)
(2) Chlorine machines and other chemical treating plant
(3) Clear water basins
(4) Filter plants
(5) Mixing tanks
(6) Sedimentation or coagulation basins
(7) Softening plants (lime-soda)
(8) Softening plants (zeolite)
Section D C 1321.Mains
(A) This account shall include the cost installed of transmission and distribution mains, pipes or canals, and also meters and appurtenances on transmission and distribution lines, but not meters and appurtenances located on customers' premises.
ITEMS
(1) Air chambers
(2) Blowoffs and overflows
(3) Bridges and culverts
(4) Canals
(5) Fences
(6) Gates, gate houses, and chambers
(7) Gauges and recorders
(8) Jointing and jointing material
(9) Manholes
(10) Meters and meter houses
(11) Municipal inspection or permits
(12) Pavement disturbed, including cutting and replacing pavement, pavement base, and sidewalks
(13) Pipes, aqueducts, or conduits
(14) Placing mains and accessories
(15) Pressure regulators
(16) Protection of street openings
(17) Shutoffs
(18) Special castings
(19) Surge tanks
(20) Trenching, including shoring, bracing, bridging, pumping, backfill, and disposal of excess excavated material
(21) Tunnels
(22) Valves and appurtenances
(23) Valve vaults
Note:
The cost of cutting and replacing pavement, pavement base, and sidewalks disturbed in laying mains shall be included in a separate subdivision of this account.
Section D C 1323.Services
(A) This account shall include the cost installed of service pipes and accessories in, or leading to, the customer's premises when the utility actually incurs such cost for which it has not been reimbursed. This includes the cost of stub services run in anticipation of future service.
(B) Records shall be maintained to show separately the number, diameter, and material of services through which water is being delivered; services to which customers have been connected but through which water is not being delivered; and services through which water has not yet been delivered.
(C) Services which have been used but have become inactive shall be retired immediately if there is no prospect of reuse, and, in any event, shall be retired by the end of the year following that during which the service became inactive unless reused in the interim.
(D) When a service previously retired in accordance with paragraph C is reused, the amount previously credited to this account on retirement shall be charged hereto and concurrently credited to account 1250, Reserve for Depreciation of Utility Plant.
ITEMS
(1) Corporation cocks
(2) Gate valves and boxes
(3) Goose necks
(4) Jointing and pointing material
(5) Municipal inspection
(6) Pavement disturbed, including cutting and replacing pavement, pavement base, and sidewalks
(7) Permits
(8) Pipes
(9) Placing pipes and accessories
(10) Protection of street openings
(11) Service boxes
(12) Service cocks
(13) Tapping main
Note B:
The cost of cutting and replacing pavement, pavement base, and sidewalks disturbed in laying service pipes and accessories shall be included in a separate subdivision of this account.
Section D C 1324.Meters
(A) This account shall include the cost delivered of meters or devices and appurtenances thereto, for use in measuring water delivered to users thereof, whether actually in service or held in reserve.
(B) When a meter is permanently retired from service, the amount at which it is included herein shall be credited to this account.
(C) The records of meters shall be so kept as to show the number of the various types and capacities in service and in reserve and the location of each meter owned.
ITEMS
(1) Meters, including badging and initial testing
(2) Meter coupling
Note:
This account shall not include meters on the transmission or distribution lines. It includes only those meters to record water delivered to customers.
Section D C 1325.Meter Installations
(A) This account shall include the cost of labor employed, materials used and expenses incurred in connection with the first installation at a location of meters, devices and appurtenances thereto included in account 1324, Meters.
(B) Except as modified by paragraph C, following, when a meter installation is permanently retired from service, the cost thereof included herein shall be credited to this account.
(C) Meter installations in excess of the number of meters installed, both active and inactive, shall be retired immediately if there is no prospect of reuse, and in any event shall be retired by the end of the year following that during which the meter was removed unless reused in the interim.
(D) When a meter installation previously retired in accordance with paragraph C is reused, the amount previously credited to this account on retirement shall be charged hereto and concurrently credited to account 1250, Reserve for Depreciation of Utility Plant. Any installation costs incurred at the time of reuse shall be charged to account 1753, Meter Maintenance Labor.
ITEMS
(1) Cocks
(2) Installation, labor of, first installation at a location
(3) Meter bars
(4) Meter fittings and connections, shelves and other materials used in installation
(5) Meter vaults and boxes
(6) Swivels and bushings
(7) Transportation from point of storage to location of installation.
(8) Yokes
Note A:
The utility shall keep statistical records to show the total number of installations subdivided between those in service and those not in service, and further subdivided to show the number of meter installations the cost of which is included herein, and the number of meter installations which prior to the effective date of this system of accounts was charged to operating expenses.
Note B:
The cost of removing and resetting meters shall be charged to account 1753, Meter Maintenance Labor.
Note C:
Charges made to customers for connection, disconnection or reconnection of meters, shall be credited to account 1615.2, Miscellaneous Water Revenues.
Note D:
Minor items such as meter bars and other attachments shall be included in this account only when in service or associated with a meter held in reserve; otherwise they shall be carried in account 1131, Materials and Supplies.
Section D 1326.Fire Protection Plant
(A) This account shall include the cost in place of hydrants, fire cisterns and basins in service owned by the utility, including connection to the main. This account shall also include the cost of mains and appurtenances used exclusively for fire protection.
(B) This account shall be subdivided by Class C utilities as follows:
C 1326.1 Hydrants
C 1326.2 Fire Mains
C 1326.3 Other Fire Protection Plant
ITEMS
(1) Basins
(2) Cisterns
(3) Connections to main, cistern, or basin
(4) Gate valve
(5) Hydrants and fittings
(6) Pavement disturbed, cutting and replacing pavement, pavement base, and sidewalks
(7) Pipe and specials
(8) Tapping sleeve and tapping valve
(9) Tee
(10) Trenching, backfill, and disposal of excess excavated material
(11) Valve box
(12) For items in fire mains, see list under account 1321, Mains
Note A:
A statistical record shall be kept to show the number, size (nominal diameter of bottom connection), number and size of hose connections, diameter of hydrant branch and main to which attached, type, and cost of hydrants located in each city, village, town, or water supply district, divided as follows:
(1) Public use—owned
(2) Private use—owned
(3) Not owned
A record shall also be kept of the number of cisterns and basins.
Note B:
The cost of cutting and replacing pavement, pavement base, and sidewalks disturbed in placing hydrants, fire mains, and connections to mains shall be included in a separate subdivision of this account.
Section D C 1327.Fountains and Basins
This account shall include the cost in place of fountains, basins, troughs, pools, etc., owned by the utility, except such as are includible in account 1326.3, Other Fire Protection Plant
ITEMS
(1) Connections to main
(2) Excavation, backfill, and disposal of excess excavated material
(3) Fountains, basins, troughs, pools, etc.
(4) Pavement disturbed, cutting and replacing pavement, pavement base and sidewalks
(5) Piping
(6) Valves and valve boxes
Note:
The cost of cutting and replacing pavement, pavement base, and sidewalks disturbed shall be included in a separate subdivision of this account.
Section D C 1328.Office Furniture and Equipment
(A) This account shall include the cost installed of all office furniture and equipment owned by the utility and devoted to water service, and not permanently attached to buildings. Articles of slight value or short service life acquired subsequent to the commencement of operations shall be charged to the appropriate operating expense account and not to this account.
(B) If the utility has equipment includible in this account at more than one location, separate records shall be maintained for each location.
ITEMS
(1) Book cases and shelves
(2) Desks, chairs, and desk equipment
(3) Drafting room equipment
(4) Filing, storage, and other cabinets
(5) Flooring covering
(6) Library and library equipment
(7) Mechanical office equipment such as accounting machines, typewriters, etc.
(8) Safes
(9) Tables
Section D C 1329.Transportation Equipment
(A) This account shall include the cost of transportation and garage equipment when such equipment is not an integral part of the housing structure. This account shall be subdivided as follows:
1329.1 Vehicles
1329.2 Garage and Repair Equipment
(B) If the utility has garage equipment at more than one location, separate records shall be maintained for each location.
ITEMS
(1) Airplanes and other aviation equipment
(2) Automobile repair shop equipment
(3) Automobiles
(4) Battery charging equipment
(5) Bicycles
(6) Drays
(7) Electric vehicles
(8) Gasoline and oil pumps (portable)
(9) Gasoline storage tanks
(10) Greasing tools and equipment
(11) Horses, wagons and harness
(12) Horseshoeing equipment
(12a) Marine equipment
(13) Motor trucks
(14) Motorcycles
(15) Oil storage tanks
(16) Repair cars or trucks
(17) Tractors
(18) Trailers
(19) Trucks
(19a) Tugs
(20) Other garage or stable equipment
Note:
Office furniture and equipment shall be included in account 1328, Office Furniture and Equipment.
Section D C 1335.Other General Equipment
This account shall include the cost installed of the following equipment:
(1) Equipment used for the receiving, shipping, handling and storage of materials and supplies when not an integral part of the housing structure
(2) Equipment specially provided for general shops when such equipment is not an integral part of the housing structure
(3) Laboratory equipment used for general laboratory purposes and not specially provided for or includible in other departmental or functional plant accounts
(4) Tools, implements, and equipment used in construction or repair work exclusive of equipment includible in other equipment accounts
(5) Other general equipment, apparatus, etc., used in the utility's water operations, and which is not includible in any other account
Note A:
General equipment of the nature indicated above whenever practicable shall be assigned to the water plant accounts on a functional basis. Thus to illustrate, laboratory equipment used at the purification plant only, shall be included in account 1320, Purification System.
Note B:
Office furniture and equipment shall be included in account 1328, Office Furniture and Equipment.
Section D C 1336.Other Tangible Property
(A) This account shall include the cost of tangible water plant not provided for elsewhere.
(B) A separate subdivision of this account shall be maintained for each class of property in which the utility has a relatively large investment, and records shall be so kept as to show separately the cost of each major item.
Surplus Accounts
Note:
Total of surplus accounts to be carried as balance sheet account 1271.
Credits
Section D C 1400.Credit Balance Transferred from Income Account
This account shall include the net credit balance transferred from the income account for the year.
Section D C 1401.Miscellaneous Credits to Surplus
(A) This account shall include all credits affecting the surplus or deficit not provided for elsewhere. Among the items which shall be credited to this account are:
Credits for amounts previously written off through charges to surplus
Delayed income, operating revenue, and operating expense credits as provided in general instruction section 576.4
Profits on reacquirement of the utility's securities (See accounts 1152 and 1153.)
Surplus arising from donations by stockholders of the utility's capital stock
Surplus arising from a reduction of the par value of the utility's capital stock
Surplus arising from forgiveness of debt of the utility
(B) All items included in this account shall be sufficiently described in the entries relating thereto as to identify them with all accounts affected, and if the credits relate to prior years, the amount applicable to each year shall be shown.
Debits
Section D C 1410.Debit Balance Transferred from Income Account
This account shall include the net debit balance transferred from the income account for the year.
Section D C 1411.Dividend Appropriations—Preferred Stock
Section D C 1412.Dividend Appropriations—Common Stock
(A) These accounts shall include amounts declared payable out of surplus or earnings as dividends on outstanding capital stock issued by the utility.
(B) Dividends shall be segregated as to those payable in cash and otherwise. If not payable in cash, the medium of payment shall be described with sufficient particularity to identify it.
(C) This account shall be so kept or supported as to show separately the dividends on each class and series of stock.
Section D C 1413.Miscellaneous Reservations of Surplus
(A) This account shall include the reservations or appropriations of surplus for purposes not provided for elsewhere in this system of accounts.
(B) The entries to this account shall show the nature of each reservation of surplus.
Section D C 1414.Miscellaneous Debits to Surplus
(A) This account shall include amounts chargeable to surplus not provided for elsewhere. Among the items which shall be charged hereto are:
Amounts charged to surplus to cover past accrued depreciation and amortization not provided for
Decline in value of investments (See account 1114)
Delayed income, operating revenue, and operating expense debits as provided in general instruction section 576.4
Payments of amounts previously credited to surplus
Losses on reacquirement of the utility's securities (See accounts 1152 and 1153)
Losses which are not properly chargeable to operating expenses or income and for which reserves have not been provided
(B) All items included in this account shall be sufficiently described in the entries relating thereto as to identify them with all accounts affected, and if the charges relate to prior years, the amount applicable to each year shall be shown.
Income Accounts
Utility Operating Income
Note:
The income accounts (1501 to 1540) are designed to show for each month and each calendar year the operating revenues and expenses, the other income, the income deductions, the net income, the miscellaneous reservations of net income and the amount of income or loss remaining for transfer of surplus.
Section D C 1501.Operating Revenues
Under this caption shall be included the total operating revenues credited to the revenue accounts 1601—1615.2, derived by the utility from its water operations during the period covered by the income account.
Section D C 1502.Operation and Maintenance
Under this caption shall be included the total expenses shown in accounts 1700—1811, incurred by the utility in its water operations during the period covered by the income account.
Section D C 1503.Depreciation
(A) This account shall include the depreciation expense applicable to water operations, on plant carried in accounts 1101 and 1106 for the period covered by the income account, except such depreciation expense as is charged to clearing accounts or to construction work in progress.
(B) Class C utilities shall keep supporting records to show the amount of depreciation charges applicable to each work plant account.
Section D C 1505.Amortization of Water Plant Acquisition Adjustments
This account shall be debited or credited, as the case may be, with amounts which the commission shall have determined are includible in operating revenue deductions for the purpose of providing for the extinguishment of the amount in account 1105, Water Plant Acquisition Adjustments. Account 1252, Reserve for Amortization of Water Plant Acquisition Adjustments, shall be concurrently credited or debited.
Section D C 1506.Property Losses Chargeable to Operations
This account shall be charged with amounts credited to account 1146, Miscellaneous Deferred Debits, when the commission has authorized an extraordinary loss included in the latter account to be written off by charges to operations.
Section D C 1507.Operating Taxes
(A) This account shall include the amount of federal, State, county, municipal and other taxes, including payroll taxes (but excluding taxes on net income, excess profits, undivided profits, excess dividends, or capital stock) which are properly chargeable to water operations, and except taxes includible in account 1615.1, Merchandise and Jobbing, or in clearing accounts. (See account 1228, Taxes Accrued.)
(B) This account shall be charged each month with the amount of taxes which are applicable thereto, and concurrent credits shall be made to account 1228, Taxes Accrued. (See also account 1132, Prepayments.)
(C) Taxes assumed by the utility on property leased from others for use in water operations shall be considered as additional rent and so charged.
(D) This account shall be kept as to show the amount of each kind of tax, and the basis upon which each charge is made.
Note:
The following items shall not be charged to this account but shall be treated as specified below:
(1) Gasoline or other sales taxes shall be added to the cost of the materials on which levied
(2) Taxes chargeable to other utility operations shall be assigned to such operations; taxes applicable to non-utility operations shall be charged to account 1521, Income from Non-utility Operations
(3) Annual or more frequent payments under the terms of franchises, shall be included in account 1805, Franchise Requirements
(4) Special assessments for street and similar improvements shall be included in the water plant account in which the property with which the taxes are identified is included
(5) Taxes applicable to water construction shall be charged to account 1103, Construction Work in Progress; taxes on labor charged to cost of removal shall be charged to account 1250, Reserve for Depreciation of Utility Plant
(6) Taxes on net income, excess profits, undivided profits, excess dividends, or capital stock, shall be charged to account 1539, Income Taxes
Section D C 1508.Income from Water Plant Leased to Others
(A) This account shall include all rental income from water property leased by the utility to others, and which property is included in account 1102, Water Plant Leased to Others.
(B) This account shall be subdivided as follows:
1508.1 Revenues from Water Plant Leased to Others
1508.2 Expenses of Water Plant Leased to Others
(C) This account shall be so kept or supported as to show separately the following for each lease:
(1) Rentals
(2) Expenses
(3) Depreciation
(4) Taxes
(5) Uncollectible rents
Section D C 1509.Other Utility Operating Income
Under this caption shall be included (1) the revenues derived from and (2) operation and maintenance, depreciation, rents and taxes incurred in the operation of utility plant, the book cost of which is included in account 1108, Other Utility Plant.
Note:
In the case of utility services for which systems of accounts are prescribed by this commission, such as electric, gas, etc., the appropriate accounts in such systems shall be used instead of this account.
Other Income
Section D C 1521.Income from Non-utility Operations
(A) This account shall include the revenues derived from and the expenses incurred in non- utility operations.
(B) The expenses shall include every element of cost (except return on investment) incurred in such operations, including depreciation, rents, taxes, insurance, etc.
Section D C 1523.Dividend Revenues
This account shall include the revenues derived by the utility from dividends on stocks of other companies
Note:
No dividends on reacquired securities issued or assumed by the utility shall be included in this account.
Section D C 1524.Interest Revenues
This account shall include interest revenues on investments, loans, notes, advances, special deposits, etc.
Section D C 1526.Miscellaneous Non-operating Income
This account shall include all revenue items properly includible in the income account other than from operations (utility and non-utility), interest, or dividends. It shall also include all expenses incurred in connection with such revenues.
Income Deductions
Section D C 1530.Interest on Long-term Debt
(A) This account shall include in each accounting period the amount of interest applicable thereto on outstanding long-term debt issued or assumed by the utility, the liability for which is included in account 1210, Bonds, account 1211, Receivers' Certificates, or account 1213, Miscellaneous Long-term Debt. No interest shall be accrued on reacquired debt carried in account 1153, Reacquired Long-term Debt.
(B) Amounts charged to this account shall be credited to account 1229, Interest Accrued.
(C) This account shall be so kept or supported by other records as to show the interest accruals on each class and series of long-term debt.
Section D C 1531.Amortization of Debt Discount and Expense
This account shall include in each accounting period the portion of unextinguished debt discount and expense on outstanding long-term debt which is applicable to such period. The amount shall be computed as provided in account 1140, Unamortized Debt Discount and Expense, to which account concurrent credit shall be made.
Section D C 1532.Amortization of Premium on Debt—Credit
This account shall include in each accounting period the portion of unextinguished premium (or premium less expenses, when a net credit) on outstanding long-term debt which is applicable to such period. The amount shall be computed as provided in account 1240, Unamortized Premium on Debt, to which account concurrent debit shall be made.
Section D C 1534.Interest on Debt to Associated Companies
(A) This account shall include in each accounting period interest on debt to associated companies and shall be so kept as to show the amount of interest on each such debt.
(B) Amounts charged to this account shall be credited to account 1214, Debts to Associated Companies.
Section D C 1535.Other Interest Charges
This account shall include in each accounting period all interest not provided for in account 1530 or 1534, and shall be so kept as to show the amount of interest charges on each debt.
Section D C 1536.Interest Charged to Construction—Credit
When interest is charged to construction in accordance with water plant instruction section 577.3, subd. (g), concurrent credit shall be made to this account.
Section D C 1538.Miscellaneous Income Deductions
This account shall include miscellaneous debits to income not provided for elsewhere.
ITEMS
(1) Decline in value of investments
(2) Donations
(3) Expenditures for associated companies for which the utility will not be reimbursed
(4) Charges not includible in account 1505, Amortization of Water Plant Acquisition Adjustments, to write off amounts in account 1105, Water Plant Acquisition Adjustments, and other items being written off which are not elsewhere provided for
(5) Penalties or fines for violations of law
(6) Expenses in connection with interest and dividend revenues
(7) Taxes assumed on interest
Section D C 1539.Income Taxes
This account shall include taxes on net income, excess profits, undivided profits, excess dividends, and capital stock.
Disposition of Net Income
Section D C 1540.Miscellaneous Reservations of Net Income
(A) This account shall include reservations of net income, such as may be required under the terms of mortgages, deeds of trust, orders of a court, contracts, or other agreements, and other reservations of net income.
(B) Amounts charged to this account shall be credited concurrently to the appropriate reserve account.
(C) The entries in this account shall show the nature of each reservation of income.
Operating Revenue Accounts
Sales of Water
Section D C 1601.Metered Sales to General Customers
This account shall include revenues from measured water supplied for residential, commercial and industrial purposes when the total charge is or may be in any way dependent upon the quantity of water delivered.
Note A:
This account includes all revenues under service classifications which consist of a rate for a specified diameter of service pipe, or per meter, fixture, room, foot of frontage, or other similar unit, plus an additional charge or an adjustment dependent upon the quantity of water delivered.
Note B:
The records supporting the entries to this account shall be so kept that the quantity of water sold and the revenues therefrom will be available for each service classification.
Section D C 1602.Flat Rate Sales to General Customers
This account shall include revenues from water supplied for residential, commercial and industrial (except irrigation) purposes when the charge is not in any way dependent upon the quantity of water delivered, but consists of a rate for a specified diameter of service pipe or per fixture, room, foot of frontage, or other similar unit.
Note:
The records supporting the entries to this account shall be so kept that the revenue under each service classification will be available.
Section D C 1603.Sales to Irrigation Customers
(A) This account shall include revenues from water supplied for irrigation purposes under service classifications applicable only to irrigation customers.
(B) This account shall be subdivided as follows:
1603.1 Metered Sales to Irrigation Customers
1603.2 Flat Rate Sales to Irrigation Customers
Note A:
For distinction between metered sales and flat rate sales see accounts1601 and 1602.
Note B:
The records supporting the entries to this account shall be so kept that there will be available:
For metered sales, the quantity of water sold and the revenues therefrom for each service classification;
For flat rate sales, the revenue under each service classification.
Section D C 1604.Private Fire Protection
This account shall include revenues from fire protection to others than public authorities except when such protection is furnished under the same service classification with other service.
Section D C 1605.Public Fire Protection
(A) This account shall include revenues from municipalities or other subdivisions or agencies of State or federal governments for rental of hydrants or other fire protection facilities and for water delivered in connection therewith.
(B) When the charges for fire protection include the use of water for street sprinkling, sewer flushing, or other similar purposes the total revenue may be included in this account.
Note:
The records supporting the entries to this account shall be so kept as to show separately for each political subdivision the number, size (nominal diameter of bottom connection), and type of hydrants and the diameter of the main to which they are connected, the rate per hydrant or other fire protection charge, and the total revenue.
Section D C 1606.Other Sales to Public Authorities
This account shall include revenues from water, other than for fire protection, delivered to municipalities or other subdivisions or agencies of State or federal governments, under special contracts or agreements or service classifications applicable only to public authorities.
Note A:
Do not include in this account revenues from public authorities for water delivered for distribution or for public fire protection, or revenues from sales to public authorities billed under general service classifications.
Note B:
The records supporting the entries to this account shall be so kept that the quantity of water sold under each contract will be available for metered sales.
Section D C 1607.Sales to Other Water Utilities
This account shall include the revenues from water supplied (including standby or breakdown service) to other water utilities or to public authorities for distribution.
Note A:
When the contract is a reciprocal one, i.e., when either party thereto may take water from the other, the gross amount receivable for water supplied to the other party shall be included herein in each accounting period and the gross amount payable for water received from the other party shall be charged to account 1708, Water Purchased for Resale.
Note B:
The records supporting the entries to this account shall show separately for each contract the point of delivery, the quantity of water supplied, the basis for the charge, and the total charge to the distributor.
Section D C 1608.Interdepartmental Sales
This account shall include the total amounts charged to other departments of the utility by the water department for water supplied by the latter. (See operating revenue instruction § 578.5.)
Other Water Revenues
Section D C 1611.Rent from Water Operating Property
This account shall include rents received for the use by others or by a coordinate department of the utility of land, buildings, and other property devoted to water operations by the utility.
Note A:
Do not include in this account rents from property included in account 1102. Water Plant Leased to Others. (See account 1508, Income from Water Plant Leased to Others.)
Note B:
When rentals are received for use of structures the cost of which is not included in water plant accounts, but which are located on land which is included in water plant accounts, the portion of such rent representing the charge for use of land or access to water shall be credited to this account.
Section D C 1613.Customers' Forfeited Discounts
This account shall include the amounts which the utility allows its customers on condition that they pay their water bills on or before a specified date and which are forfeited because of failure to pay within the specified time.
Section D C 1614.Servicing of Customers' Installations
This account shall include revenues accruing to the utility from charges to customers on account of the maintenance of appliances, piping, or other installations on customers' side of meters. This includes also charges to customers for testing and repairing meters owned by customers.
Section D C 1615.1.Merchandise and Jobbing
(A) This account shall include revenues derived from the sale of water merchandise. To this account shall be charged the cost to the utility of such merchandise sold, including transportation and stores cost, the cost of labor employed in merchandising (so far as it is practicable for the company to segregate such labor cost), and discounts and uncollectible revenues arising from merchandise.
(B) To this account shall also be credited the revenue from piping and other jobbing work performed by the utility for its own customers, excluding items includible in account 1614, but including charges made for installing meters owned by customers, and for tapping mains and laying services when the cost of such work is not includible in account 1323, Services. This account shall be charged with the cost of jobbing work, including shop expenses, transportation, stores and other expenses applicable. (See also general instruction § 576.9, and account 1265, Contributions in Aid of Construction.)
Note A:
The utility shall keep the records supporting this account in sufficient detail to permit a complete analysis of the credits and debits therein.
Note B:
Do not include in this account the receipts from the sale of superseded equipment or of junk or other scrap. The accounting for scrap material shall be as provided in account 1131, Materials and Supplies.
Note C:
If the utility is engaged generally in merchandising, jobbing, or plumbing, such transactions shall be accounted for under the appropriate accounts for non-utility operations. (See account 1521, Income from Non-utility Operations.)
Section D C 1615.2.Miscellaneous Water Revenues
(A) This account shall include revenues incidental to water operations not includible in any of the foregoing accounts. This covers such items as turn-on charges, fees and charges for testing and repairing company-owned meters and for changing, connecting, disconnecting and restoration of service; profit on the sale of unused materials and supplies not ordinarily purchased for resale; commissions on sales or distribution of others' water (sold under rates filed by such others); management or supervision fees; sale of steam (except when the utility furnishes steam- heating service); sales of ice, trees, fruit, crops, etc.
(B) This account shall be charged with the cost of harvesting, cutting and marketing ice, trees, fruit, crops, and similar products. (See also paragraph C of account 1311, Land.)
Operation and Maintenance Accounts
Water Source, Pumping and Purification Expenses
Note:
Separate operation and maintenance accounts shall be kept for each source of water supply and for each separate pumping and purification station.
Section D 1700.Supervision and Labor
This account shall include items provided for in accounts 1701 to 1706
Section C 1701.Supervision
This account shall include the cost of supervising and directing the operation and maintenance of the water source, pumping and purification facilities.
Section C 1702.Water Source Operation Labor
This account shall include the pay of employees for the time during which they are engaged in operating the sources of water supply.
ITEMS
(1) Cutting brush
(2) Operating gates
(3) Patrolling
(4) Removing organic growth
(5) Removing sediment
(6) Trimming trees
Note:
Do not include maintenance labor in this account.
Section C 1703.Power and Pumping Operation Labor
This account shall include the pay of employees for the time during which they are engaged in operating the power and pumping equipment.
Note:
Do not include maintenance labor in this account.
Section C 1704.Purification Operation Labor
This account shall include the pay of employees for the time during which they are engaged in operating the purification system.
Note:
Do not include maintenance labor in this account.
Section C 1705.Maintenance Labor—Water Sources
This account shall include the pay of employees or others for the time during which they are engaged in making repairs to water source property, such as reservoirs, dams, wells, etc. This includes, in addition to labor on actual repairs, such work as routine inspection and testing, replacing or adding minor items of plant (see water plant instruction § 577.2, subd.[c]), testing for, locating and clearing trouble, restoring the condition of damaged property, etc., but not replacing items of property designated as “units of property.”
Section C 1706.Maintenance Labor—Power, Pumping and Purification
This account shall include the pay of employees or others for the time during which they are engaged in making repairs to power and pumping structures and equipment, and purification buildings and equipment. This includes, in addition to labor on actual repairs, such work as routine inspection and testing, replacing or adding minor items of plant (see water plant instruction § 577.2, subd.[c]), testing for, locating and clearing trouble, restoring the condition of damaged property, etc., but not replacing items of property designated as “units of property.”
Section C 1708.Water Purchased for Resale
(A) This account shall include the cost at the point of delivery of all water purchased for resale. This includes charges for readiness to serve, and the portion applicable to each month of annual or more frequent payments for the right to divert water at the source of supply.
(B) When the contract is a reciprocal one, i.e., when either party thereto may take water from the other, the amount payable for the gross quantity of water received from the other party shall be charged hereto in each accounting period and the amount receivable for the gross quantity supplied to the other party shall be included in the appropriate revenue account.
Note:
The records supporting entries to this account shall be so kept as to show for each company from which water is obtained, the point of delivery, the quantity thereof, the basis of charges, and the amount payable therefor.
Section D 1710.Materials, Supplies and Expenses
This account shall include items provided for in accounts 1711 to 1715.
Section C 1711.Water Source Operation Supplies and Expenses
This account shall include the cost of supplies consumed and expenses incurred in the operation of the sources of water supply.
ITEMS
(1) Attendants' supplies
(2) Chemicals used in water sources
(3) Employees' service facilities expense
(4) Stationary and office supplies
(5) Tools, fire
(6) Tools, hand
(7) Transportation
Note:
Do not include maintenance materials in this account.
Section C 1712.Power and Pumping Supplies and Expenses
This account shall include the cost of supplies consumed and expenses incurred in the operation of the power and pumping equipment.
ITEMS
(1) Fuel
(1) (a) Coal
(1) (b) Gasoline
(1) (c) Oil
(1) (d) Other fuels
(2) Boiler plant supplies and expenses
(3) Lubricants
(4) Records
(5) Tools
(6) Transportation
(7) Waste
Note:
Do not include maintenance materials in this account.
Section C 1713.Purification Supplies and Expenses
(A) This account shall include the cost of supplies consumed and expenses incurred in the operation of the purification system.
(B) The company may charge to this account the cost of water used for washing filters and for washing or cleaning other purification facilities. When such charges are made concurrent credits shall be made to account 1806, Duplicate Charges—Credit.
ITEMS
(1) Charts, recording
(2) Chemicals
(2) (a) Activated carbon
(2) (b) Ammonia
(2) (c) Caustic soda
(2) (d) Chlorine
(2) (e) Ferrous sulphate
(2) (f) High test hypochlorite
(2) (g) Iodine
(2) (h) Lime
(2) (i) Potassium permanganate
(2) (j) Soda ash (dry sodium carbonate)
(2) (k) Sulphate of alumina
(2) (l) Sulphuric acid
(2) (m) Other chemicals
(3) Electricity
(4) Hose
(5) Lubricants
(6) Shop and laboratory expenses
(7) Tools, hand
(8) Transportation
(9) Waste
Note:
Do not include maintenance materials in this account.
Section C 1714.Maintenance Materials—Water Sources
This account shall include the cost of materials and supplies used and expenses incurred in repairing and maintaining the water source property, such as reservoirs, dams, wells, etc.
ITEMS
(1) Bills from others for repairs, inspection, adjustment or other maintenance of water source structures
(2) Materials and supplies used in making repairs or in replacing minor items of property (See water plant instruction § 577.2, subd.[c].)
(3) Minor items added to plant
(4) Transportation, shop and stores expense, if clearing accounts are used
Note:
Materials recovered in connection with repair and maintenance work which is charged to this account, shall be credited hereto; repairing such materials for reuse shall be charged hereto.
Section C 1715.Maintenance Materials—Power, Pumping and Purification
This account shall include the cost of materials and supplies used and expense incurred in repairing and maintaining the power and pumping structures and equipment, and purification buildings and equipment.
ITEMS
(1) Bills from others for repairs, inspection, adjustment or other maintenance
(2) Materials and supplies used in making repairs or in replacing minor items of property (See water plant instruction § 577.2, subd.[c].)
(3) Minor items added to plant
(4) Transportation, shop and stores expense, if clearing accounts are used
Note:
Materials recovered in connection with repair and maintenance work which is charged to this account, shall be credited hereto; repairing such materials for reuse shall be charged hereto.
Section D C 1720.Rents
(A) This account shall include all rents for property of others used, occupied, or operated in connection with the sources of water supply and power, pumping and purification operations, including amounts payable to the United States for the occupancy and use of public lands and reservations for reservoirs, dams, etc. Taxes paid on such property shall be charged hereto.
(B) If the leased property is used by more than one department of the utility, the rental (and taxes) shall be apportioned to the departments making use of the property on an equitable basis. If a portion of the rented property is subleased, the revenue therefrom shall be included in account 1611, Rent from Water Operating Property.
Section D C 1729.Power Purchased or Transferred—Debit
(A) This account shall include the cost of power purchased which is used for the operation of pumping equipment.
(B) This account shall also include charges for power transferred to water operations when such power is produced primarily for use in another operating department of the company.
(C) This account shall be subdivided so as to show separately the amount applicable to each type of power purchased or transferred:
Steam
Electric
Other power
Note:
This account shall be so kept as to show separately for each company from which power is purchased, the point of delivery, the quantity, the price, and the total charge. When power is transferred from another operating department, the company shall be prepared to show the basis of the charges to water operations, full details of the cost of producing such power, and the extent and manner of use by each department involved.
Section D C 1730.Power Transferred—Credit
(A) This account shall include credits for power transferred to another operating department of the company when such power is produced primarily for use in water operations except when such production is treated as a joint facility, in which case it shall be accounted for as provided in accounts 1808—1809.
(B) This account shall be subdivided so as to show separately the account applicable to each type of power transferred:
Steam
Electric
Other power
Note:
The company shall keep records to show the basis for determining the amounts to be credited to this account.
Note:
The accounting for power used by the water department itself shall be in accordance with operating revenue instruction section 578.5.
Transmission and Distribution Expenses
Section D 1750.Supervision and Labor
This account shall include items provided for in accounts 1751 to 1755.
Section C 1751.Supervision
This account shall include the cost of supervising and directing the operation and maintenance of the transmission and distribution systems.
Section C 1752.Operation Labor
This account shall include the pay of employees for the time during which they are engaged in operating the transmission and distribution systems, except labor on work on customers' premises (chargeable to account 1753) and labor on fire protection plant (chargeable to account 1755). (See also note hereunder.)
ITEMS
(1) Attending gates and valves
(2) Keeping maps and other transmission and distribution records
(3) Operating valves
(4) Patrolling
(5) Pressure, recording of
(6) Recording readings
Note:
Maintenance labor shall be included in account 1753, 1754, or 1755, as appropriate.
Section C 1753.Meter Maintenance Labor
This account shall include the pay of employees for the time during which they are engaged in inspecting, testing, repairing, removing and resetting or changing the location of meters and accessory equipment located on customers' premises, investigating service complaints, adjusting water fixtures, repairing leaks in pipes and fixtures, adjustments in connection with pressure and other work on customers' premises.
Note:
The cost of the first installation at a location of a meter shall not be charged to this account but to water plant account 1325, Meter Installations.
Section C 1754.Other Maintenance Labor
This account shall include the pay of employees engaged in repairing and maintaining transmission and distribution facilities, including distribution reservoirs and standpipes, mains, services, fountains and basins, but not meters or fire protection plant.
ITEMS
(1) Cutting and replacing pavement, pavement base, and sidewalks in connection with repairs
(2) Inspecting and testing after repairs have been made
(3) Inspecting, testing and reporting on the condition of mains, services, distribution reservoirs and standpipes, etc., to determine the need for repairs, minor replacements and changes
(4) Replacing or adding minor items of plant (See water plant instruction § 577.2, subd.[c].)
(5) Repairing materials for reuse
(6) Restoring the condition of damaged mains, services, distribution reservoirs and standpipes, etc. (See note B, below.)
(7) Routine work to prevent trouble
(8) Testing for, locating, and clearing trouble
(9) Training employees for maintenance work
Note A:
Meter repair labor shall be included in account 1753; labor on fire protection plant shall be included in account 1755.
Note B:
The cost of maintenance does not include cost of replacing items of property designated as “units of property.”
Section C 1755.Labor on Fire Protection Plant
This account shall include the pay of employees for the time during which they are engaged in operation and maintenance work on the fire protection plant.
ITEMS
(1) Cleaning hydrants and other fire protection plant
(2) Recording pressure
(3) Repairs to hydrants and other fire protection plant
(4) Restoring the condition of damaged property
(5) Routine inspection and tests
(6) Testing for and clearing trouble
(7) Thawing hydrants
Section D 1760.Materials, Supplies and Expenses
This account shall include items provided for in accounts 1761 to 1764.
Section C 1761.Operation Supplies and Expenses
This account shall include the cost of all supplies, tools, etc., used and miscellaneous expenses incurred in operating the transmission and distribution systems, except repair materials, supplies and expenses, and those used on the fire protection plant.
Note:
All materials and supplies used and expenses incurred on fire protection plant systems are chargeable to account 1764; maintenance materials, supplies and expenses used on meters, and other work on customers' premises shall be charged to account 1762; maintenance materials and supplies used and expenses incurred on other transmission and distribution property are chargeable to account 1763.
Section C 1762.Meter Maintenance Materials and Expenses
This account shall include the cost of materials and supplies used and expenses incurred in repair and maintenance and other work on customers' premises.
ITEMS
(1) Meter repair materials, supplies and expenses
(2) Other materials, supplies and expenses used on customers' premises
(3) Replacing or adding minor items of property (See water plant instruction § 577.2, subd.[c].)
(4) Transportation, shop and stores expenses, if clearing accounts are used
(5) Work done by others
Note:
Do not include in this account expenses incurred in connection with merchandising and jobbing work. (See account 1615.1.)
Section C 1763.Other Maintenance Materials and Expenses
This account shall include the cost of materials and supplies used and expenses incurred in repairing and maintaining the transmission or distribution reservoirs and standpipes, mains, services, and fountains and basins.
ITEMS
(1) Jointing materials
(2) Paving repair materials
(3) Pipe and fittings
(4) Replacing or adding minor items of property (See water plant instruction § 577.2, subd.[c].)
(5) Special castings
(6) Transportation, shop and stores expenses, if clearing accounts are used
(7) Valves and appurtenances
(8) Work done by others
Note:
The cost of maintenance does not include the cost of replacing items of property designated as “units of property.”
Section C 1764.Materials and Expenses on Fire Protection Plant
This account shall include the cost of materials and supplies used and expenses incurred in operating, repairing and maintaining the fire protection plant. This includes work done by others, and replacing or adding minor items of property (see water plant instruction § 577.2, subd.[c]), but does not include the cost of replacing items of property designated as “units of property.”
Section D C 1770.Rents
This account shall include all rents of property of others used, occupied, or operated in connection with the transmission and distribution system. Taxes on such property shall be charged hereto.
Customers' Accounting and Collecting Expenses
Section D 1780.Meter Reading, Accounting and Collecting
This account shall include items provided for in accounts 1781 and 1782.
Section C 1781.Meter Reading
This account shall include the pay of employees engaged in reading customers' meters, and the cost of supplies used and expenses incurred in connection therewith.
ITEMS
(1) Badges
(2) Forms for recording readings
(3) Lamps
(4) Meter readers, pay of
(5) Transportation
(6) Uniforms
Section C 1782.Accounting and Collecting
This account shall include the pay and expenses of employees engaged on customers' applications, contracts, orders, complaints, and inquiries, and in making credit investigations, billing, collecting customers' bills, and bookkeeping; and the cost of supplies used and expenses incurred in connection therewith.
ITEMS
(1) Accounts, customers', keeping of
(2) Address plates
(3) Billing
(4) Bookkeeping
(5) Books
(6) Cashier, pay of
(7) Commissions, fees, or salaries of collectors
(8) Delivery of bills
(9) Disconnection for non-payment of bills
(10) Office supplies
(11) Postage
(12) Stationery and printing
(13) Statistical work on customers' accounts
(14) Tabulating sales
(15) Transportation
Section D C 1783.Uncollectible Accounts
This account shall be charged each month with amounts sufficient to provide for losses from uncollectible water revenues. Concurrent credits shall be made to account 1254, Reserve for Uncollectible Accounts. Losses from uncollectible accounts shall be charged to such reserve.
Section D C 1784.Rents
(A) This account shall include rents for property of others used, occupied, or operated in connection with customers' accounting and collecting, such as for a commercial office. Taxes paid on such property shall be charged hereto. (See also water plant instruction § 577.6.)
(B) If the leased property is used by more than one department of the utility, the rents (and taxes) shall be apportioned on an equitable basis to the departments making use of the property. If a portion of the rented property is subleased, the revenue therefrom shall be included in account 1611, Rent from Water Operating Property.
Note:
If the commercial office and the general office occupy space jointly, and the allocation of the rental to each office is not practicable, the entire amount for office rental may be included in account 1803, General Rents.
Sales Promotion Expenses
Section D C 1786.Sales Expenses
This account shall include the cost of labor employed and expenses incurred for the purpose of promoting the sale of water, other than merchandising or jobbing.
ITEMS
(1) Advertising
(2) Demonstrating use of appliances
(3) Salaries and commissions of solicitors
Administrative and General Expenses
Section D C 1790.Salaries of General Officers
This account shall include the compensation (salaries, bonuses and other considerations for services) of officers and executives of the utility, properly chargeable to water operations and not chargeable directly to a particular water function.
Note:
Directors' fees, even though paid to officers, shall be charged to account 1800, Other General Expenses.
Section D C 1791.Other General Office Salaries
This account shall include the compensation of employees engaged in the general offices properly chargeable to water operations and not chargeable directly to a particular water function.
Section D C 1793.General Office Expenses
This account shall include the expenses of general officers and general office employees, and the cost of office supplies and office expenses in connection with the general administrative functions of the utility's water operations.
ITEMS
(1) Books and periodicals for office use
(2) Building service (not including rent)
(3) Meals and hotel bills
(4) Membership fees and dues in trade, technical and professional associations
(5) Office supplies
(6) Postage
(7) Printing
(8) Stationery
(9) Telephone, telegrams, etc.
(10) Traveling expenses
Section D 1795.Special Services
(A) This account shall include amounts payable to any corporation, firm or individual, other than officers and employees of the utility, for special services to the water department for general supervision and management services and expenses, and for legal and other special services and expenses.
ITEMS
(1) Services:
(1) (a) Auditing and accounting
(1) (b) Legal
(1) (c) Management
(1) (d) Rates
(1) (e) Secretarial
(1) (f) Statistical
(1) (g) Supervisory
(2) Expenses:
(2) (a) Hotel
(2) (b) Meals
(2) (c) Printing
(2) (d) Stationery
(2) (e) Traveling
(B) Class C utilities shall subdivide this account as follows:
C 1795.1 Management and Supervision
C 1795.2 Legal Services
C 1795.3 Other Special Services
(C) Records supporting this account shall be so kept as to show (1) the basis of each fee, (2) the amount of the fee, and (3) the person to whom the fee is paid or payable.
Note A:
Legal or other special services in connection with formal cases before regulatory commissions, or in cases in which such a commission is a party, shall be charged to account 1797, Regulatory Commission Expenses, or when specifically applicable to injury or damage cases to account 1798, Insurance, Injuries and Damages, or other appropriate account.
Note B:
Legal or other special services incident to the construction of water property shall be charged to the appropriate utility plant accounts. Legal services incident to the issuance of long-term debt or capital stock shall be charged to account 1140, Unamortized Debt Discount and Expense, account 1240, Unamortized Premium on Debt, or account 1151, Capital Stock Expense, as appropriate.
Section D C 1797.Regulatory Commission Expenses
(A) This account shall include all expenses (except pay of regular employees only incidentally engaged in such work), properly includible in water operating expenses, incurred by the utility in connection with formal cases before regulatory commissions, or other regulatory bodies, or cases in which such a body is a party, including payments made to a regulatory commission for fees assessed against the accounting utility for pay and expenses of such commission, its officers, agents, and employees.
(B) Amounts of regulatory commission expenses which are spread over future periods shall be charged to account 1146, Miscellaneous Deferred Debits, and amortized by charges to this account. (See general instruction § 576.4.)
(C) The utility shall be prepared to report the cost of each formal case.
(D) The costs which may be partly chargeable to this account and partly to the other accounts enumerated in notes A and B to account 1795 shall be equitably apportioned, and the basis of allocation to the several accounts shall be submitted to this commission.
ITEMS
(1) Salaries, fees, retainers, and expenses of counsel, solicitors, attorneys, accountants, engineers, clerks, attendants, witnesses, and others engaged in the prosecution of, or defense against, petitions or complaints presented to regulatory bodies, or in the valuation of property owned or used by the utility in connection with such cases.
(2) Expenses: Engineering supplies, office expenses, payments to public service or other regulatory commissions, stationery and printing, traveling expenses, and other expenses incurred directly in connection with formal cases before regulatory commissions.
Note A:
Exclude from this account and include in other appropriate operating expense accounts, expenses incurred in the improvement of service, additional inspection, or rendering reports, which are made necessary by the rules and regulations, or orders, of regulatory bodies.
Note B:
Do not include in this account costs incident to the construction of water property, which are chargeable to the tangible water plant accounts. Costs incurred in connection with property purchases shall be accounted for as provided in paragraph D of account 1106, Unclassified Water Plant. Costs incurred incident to the issuance of long-term debt shall be charged to account 1140, Unamortized Debt Discount and Expense, or account 1240, Unamortized Premium on Debt, as applicable; costs incurred incident to the issuance of capital stock shall be charged to account 1151, Capital Stock Expense.
Note C:
Do not include in this account expenses in connection with investigations by legislative bodies or cases to which the utility is not a party.
Section D C 1798.Insurance, Injuries and Damages
(A) This account shall include the cost of insurance to protect the utility against the following losses and damages:
Losses and damages to owned or leased property used in its water operations such as by fire, storm, burglary, boiler explosion, lightning, etc.
Protection against claims for injuries or deaths to employees or others, or damages to the property of others, including public liability, property damage, boiler, casualty, employees' liability, etc.
Other losses which occur in connection with water operations, and payments and expenses on account of damages for non-performance of contractual obligations.
(B) Amounts may be accrued monthly sufficient to meet the probable liability for such losses, concurrent credits being made to account 1255, Reserve for Insurance, Injuries and Damages, in which case losses sustained shall be charged to the reserves. This includes payments to attorneys, investigators and adjusters, court costs, etc.
(C) Reimbursements from insurance companies or others for expenses charged hereto on account of property damages or for injuries and damages, and insurance dividends or refunds shall be credited to this account.
Note A:
If clearing accounts 1902 to 1905 are kept, the applicable items provided for in this account shall be included in such clearing accounts.
Note B:
The utility shall so keep its records as to show the amount of coverage for each class of insurance carried, the property covered, the applicable premiums, and the distribution of the costs to specific operations or functions. If the utility carries reserves for self-insurance, it shall keep records to show the types of losses against which such reserves are maintained, and the basis of the accruals to the reserves for each risk covered.
Section D C 1800.Other General Expenses
(A) This account shall include such items of expense applicable to the water department, not provided for in other accounts, as the cost of publishing and distributing annual reports to stockholders; advertising notices of stockholders' meetings; dividend and other corporate and financial notices of a general character; association dues; contributions for conventions and meetings of the industry; fees of transfer agents, registrars of stock and fiscal agents; director's fees; fees for filing annual reports and tariff schedules; commissions paid under agency sales contracts; expenses incurred in accident, welfare, educational and recreational work; cost of life insurance for employees when the utility is not the beneficiary; pensions payable currently to retired employees or their beneficiaries and the cost of advance provision for pension to be paid to retired employees or their beneficiaries, except payroll taxes, (see general instruction § 576.12); cost of employees' relief and benefits; and any other miscellaneous expenses connected with the general management and not otherwise provided for.
(B) This account shall not include any charges representing amounts used or to be used for the purchase of securities of the accounting company or any associated company, whether contributed by the accounting company or deducted from salaries and wages of employees, unless and until such amounts have actually been realized and paid to the employees in cash or its equivalent subject to their free disposition. To the extent that the securities thus purchased have an actual market value, the amounts paid for them may be carried meanwhile in account 1114, Miscellaneous Investments and Special Funds; otherwise such amounts shall be charged to account 1538, Miscellaneous Income Deductions. (See general instruction § 576.7.)
Note A:
When the utility is the beneficiary of insurance on officers or employees, the cash surrender value shall be included in account 1133, Miscellaneous Current and Accrued Assets, and the excess of cost of the insurance over such cash surrender value shall be charged to account 1538, Miscellaneous Income Deductions.
Note B:
No charges shall be made to this account or distributed to other accounts to cover advance provision for future pension payments, unless the controlling plan has been filed with the commission; and no charges shall be made in anticipation of discretionary pension payments in the future.
Note C:
Records shall be kept so that the amounts paid for pensions and the amounts paid as advance provision for future pensions can be readily determined.
Note D:
Upon adoption of an accrual plan of accounting, pension payments to employees retired before the adoption of such plan shall be charged to an existing pension reserve until such reserve is exhausted, unless any such existing reserve is eliminated by payment of an equivalent amount into the pension trust fund.
Section D C 1802.Operation and Maintenance of General Property
This account shall include the cost of operating and maintaining general buildings and general office furniture and equipment.
Section D C 1803.General Rents
(A) This account shall include rent, covering the property of others used, occupied, or operated in connection with the general and administrative functions of the utility, such as general offices. Taxes paid on such property shall be charged hereto. (See also water plant instruction § 577.6.)
(B) If the leased property is used by more than one department of the utility, the rental (and taxes) shall be apportioned on an equitable basis to the departments making use of the property. If a portion of the rented property is subleased, the revenue therefrom shall be included in account 1611, Rent from Water Operating Property.
Note:
If the commercial office and the general office occupy space jointly and the allocation of the rental to each office is not practicable, the entire amount of such rental may be included in this account.
Section D C 1805.Franchise Requirements
(A) This account shall include payments to municipal or other governmental authorities, and the cost of materials, supplies and services furnished such authorities without reimbursement in compliance with franchise, ordinance, or similar requirements, provided, however, that the utility may charge to this account at regular tariff rates, instead of cost, water furnished without charge under provisions of franchises.
(B) When no direct outlay is involved, concurrent credits for such charges shall be to account 1806, Duplicate Charges—Credit.
Note A:
Taxes shall not be charged to this account. (See account 1507, Operating Taxes.)
Note B:
The cost of plant, supplies, etc., given as an initial consideration for a franchise running for more than one year shall be charged to account 1302, Franchises and Consents.
Section D C 1806.Duplicate Charges—Credit
(A) This account shall include concurrent credits for charges which are made to account 1805, Franchise Requirements, to the extent that such charges do not represent direct outlays. It shall also include concurrent credits for charges made to operating expense or other accounts of the water department for water or steam for heating for which there is no direct money outlay.
(B) This account shall be so kept as to disclose the nature and amount of each item included herein.
Section D C 1807.Administrative and General Expenses Transferred—Credit
(A) This account shall be credited with amounts recorded in the administrative and general expenses which are properly includible in construction costs, covering the portion of the pay and expenses of general officers, clerks, and others when engaged on construction work.
(B) The records supporting this account shall be so kept as to show the basis of determining the amounts transferred to construction.
Note:
See water plant instruction, section 577.3, subdivision (a)(3).
Section D C 1808.Joint Expenses—Debit
Section D C 1809.Joint Expenses—Credit
(A) A joint facility for the purpose of this system of accounts is defined as any property occupied or used jointly by the utility and another or others under a definite arrangement whereby the actual costs are shared between or among the parties. Property of the utility occupied or used under a similar definite arrangement between the water department and a coordinate department or departments shall likewise be considered as a joint facility.
(B) Amounts payable by the water department to others or to a coordinate department for joint facilities used, occupied, or operated in connection with water operations shall be charged to account 1808, Joint Expenses—Debit; amounts receivable under the arrangement shall be credited to account 1809, Joint Expenses—Credit.
(C) These accounts shall also include interdepartmental rents receivable or payable even though such rents are not determined on the basis of costs of operation and maintenance of property jointly used.
(D) The records supporting the entries to these accounts shall be so kept that the utility can furnish a complete explanation of the items therein.
Section D C 1810.Stores, Shop and Laboratory Expenses
(A) This account shall include the cost of labor employed and expenses incurred in the operation and maintenance of the water storerooms, shops and laboratories if such expenses are not allocated, either directly or through the medium of a clearing account, to the accounts benefited.
(B) This account, when kept, shall include costs covered by the text and items listed in accounts 1902, Stores Expenses—Clearing, and 1905, Shop and Laboratory Expenses—Clearing, except depreciation, insurance, and rents. (See accounts 1503, 1798 and 1803.)
Note A:
The cost of repairs to meters and other plant made at the shop shall not be included herein but in the accounts appropriate for such maintenance.
Note B:
Stores, shop and laboratory expenses applicable to construction shall not be included in operating expenses.
Section D C 1811.Transportation Expenses
(A) This account shall include the cost of labor employed and expenses incurred in the operation and maintenance of transportation equipment if such expenses are not allocated, either directly or through the medium of a clearing account, to the accounts benefited. For item list and optional accounting, see account 1903, Transportation Expenses— Clearing.
(B) This account, when kept, shall include costs covered by the text and items listed in account 1903, Transportation Expenses—Clearing.
Note:
Transportation expenses applicable to construction shall not be included in operating expenses.
Clearing Accounts
Note:
Utilities which do not use accounts 1902 to 1905 shall keep accounts 1810, Stores, Shop and Laboratory Expenses, and 1811, Transportation Expenses.
Section D C 1901.Charges by Associated Companies—Clearing (Required)
(A) This account shall include all charges made by associated companies against the utility for any purpose whatsoever (except interest), including charges for management, supervision, purchasing, construction, accounting, engineering, legal, financial, rent, advertising, materials and supplies, equipment and other property, commissions, taxes and other items, together with credits applicable thereto as provided in general instruction section 576.7.
(B) This account shall be cleared by charging the appropriate accounts with the expenditures applicable thereto.
(C) The records supporting this account shall be so kept as to show the nature of each charge together with the account or accounts to which each charge is cleared.
Note:
The mandatory use of this account may be suspended upon order of the commission if equivalent information is readily obtainable from other records of the utility.
Section 1902.Stores Expenses—Clearing (Optional)
(A) This account shall include the cost of labor and expenses incurred in the operation and maintenance of the storerooms (other than those identified only with a particular function) including storage, handling and distribution of materials and supplies.
(B) Cash discounts shall be credited hereto when such discounts can not be applied to the cost of particular materials.
(C) This account shall be cleared by adding to the cost of materials and supplies a suitable loading charge which will distribute the expense equitably over stores issues.
ITEMS
(1) Adjustments of inventories of materials and supplies
(2) Collecting and handling scrap materials in stores
(3) Depreciation of storeroom equipment
(4) Discount on materials, when not assignable to specific items
(5) Freight, express, etc., when not assignable to specific items
(6) Heat, light and power for storerooms and stores offices
(7) Injuries and damages
(8) Inspecting and testing materials and supplies, when not assignable to specific items
(9) Insurance on materials and supplies and on stores equipment
(10) Losses due to breakage, leakage, evaporation, fire and other causes. Credit any amounts received from insurance, transportation companies or others in compensation of such losses
(11) Maintenance of stores equipment
(12) Pay and expenses of storekeepers, clerks and others employed in storerooms or in store offices
(13) Purchasing agents' fees, portion applicable to items carried through this account
(14) Purchasing agents' pay and expenses, portion applicable to items carried through this account
(15) Rents (See also water plant instruction § 577.6.)
(16) Transporting materials into storehouse, when not assignable to specific items
Note:
Large differences in the accounts disclosed by inventories, which can readily be assigned to important classes of materials, shall be equitably adjusted among the accounts to which such classes of materials have been charged since the preceding inventory. Other differences shall be equitably apportioned among the accounts to which materials have been charged, or included in this account.
Section 1903.Transportation Expenses—Clearing (Optional)
(A) This account shall include the cost of labor and expenses incurred in the operation and maintenance of the water general transportation equipment, including direct taxes and depreciation on transportation equipment.
(B) This account shall be cleared by apportionment to operating expense, water plant, or other accounts benefited on a basis which will distribute the expenses equitably. Credits to this account shall be made in such detail as to permit ready analysis.
ITEMS
(1) Depreciation of transportation equipment
(2) Feed and bedding for horses and mules
(3) Fuel and lubricants for vehicles (including sales and excise taxes thereon)
(4) Freight, express, drayage, etc., on fuel, repair parts, etc.
(5) Heat, light and power for garage and garage office
(6) Injuries and damages
(7) Insurance on garage equipment and transportation equipment including public liability and property damage
(8) License fees for vehicles and drivers
(9) Maintenance of transportation and garage equipment
(10) Operation of garages and stables
(11) Pay and expenses of drivers, mechanics, etc.
(12) Rent of garage buildings and grounds (See also water plant instruction § 577.6.)
(13) Rent of vehicles and other rents
(14) Taxes, direct, such as on gasoline, oil, tires, etc.
(15) Tires, tubes and chains
Section 1905.Shop and Laboratory Expenses—Clearing (Optional)
(A) This account shall include the cost of labor and expenses incurred in the operation and maintenance of shops and laboratories of the utility, other than those identified wholly with a particular function.
(B) This account shall be cleared by apportionment to operating expense, water plant, or other accounts benefited on a basis which will distribute the expenses equitably. Credits to this account shall be made in such detail as to permit ready analysis.
(C) If a laboratory is maintained at a purification plant in connection with the operation of the plant, the costs incident to its operation and maintenance shall be charged to the appropriate expense account.
ITEMS
(1) Charts
(2) Collecting and handling scrap materials
(3) Depreciation of equipment
(4) Heat, light and power
(5) Injuries and damages
(6) Insurance on equipment and supplies
(7) Pay and expenses of superintendents, machinists, chemists and other employees in shops or laboratories
(8) Rents (See also water plant instruction § 577.6.)
(9) Repairs to equipment
(10) Testing supplies
16 CRR-NY V E 2 Accounts
Current through February 28, 2023
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IMPORTANT NOTE REGARDING CONTENT CURRENCY: JULY 31, 2023, is the date of the most recently produced official NYCRR supplement covering this rule section. For later updates to this section, if any, please: consult editions of the NYS Register published after this date; or contact the NYS Department of State Division of Admisnistrative Rules at [email protected]. See Help for additional information on the currency of this unofficial version of the NYS Rules.