Basic Concepts in FERC and Utility Accounting APPA Business and Finance Workshop Savannah, Georgia September 14, 2009 Thomas Unke, Baker Tilly Virchow Krause. Agenda. Learn the BASICS of the FERC Chart of Accounts Discuss what it means to “Utility Accounting”
Origin of FERC Uniform System of Accounts (USOA)
What does it cost
when a customer
flips on his lights ?
no FERC accts.
Admin. & Gen’l
What regulatory assets or liabilities
do you have to account for ?
What is your definition of a regulatory asset?
…represent incurred costs that are deferred because
recovery will come through future rates.
What is your definition of a regulatory liability?
…represent obligations to make refunds associated with costs
not likely to be incurred in the future.
that would normally be expensed by a non-regulated business
No, there is no definition of “reasonable”
Thomas E. Unke, CPA