X
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
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EXCHANGE ACT OF 1934
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For the quarterly period ended March 31, 2019
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OR
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
|
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||
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EXCHANGE ACT OF 1934
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||
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For the transition period from __________ to __________
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Exact name of registrants as specified
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I.R.S. Employer
|
||
Commission File
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in their charters, address of principal
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Identification
|
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Number
|
executive offices, zip code and telephone number
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Number
|
||
1-14465
|
IDACORP, Inc.
|
82-0505802
|
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1-3198
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Idaho Power Company
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82-0130980
|
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1221 W. Idaho Street
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Boise, Idaho 83702-5627
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(208) 388-2200
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State of Incorporation: Idaho
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None
|
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Former name, former address and former fiscal year, if changed since last report.
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Common Stock
|
IDA
|
New York Stock Exchange
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TABLE OF CONTENTS
|
||||
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Page
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|||
Commonly Used Terms
|
||||
Cautionary Note Regarding Forward-Looking Statements
|
||||
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Part I. Financial Information
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Item 1. Financial Statements (unaudited)
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IDACORP, Inc.:
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Condensed Consolidated Statements of Income
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Condensed Consolidated Statements of Comprehensive Income
|
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Condensed Consolidated Balance Sheets
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Condensed Consolidated Statements of Cash Flows
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Condensed Consolidated Statements of Equity
|
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Idaho Power Company:
|
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Condensed Consolidated Statements of Income
|
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Condensed Consolidated Statements of Comprehensive Income
|
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Condensed Consolidated Balance Sheets
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Condensed Consolidated Statements of Cash Flows
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Notes to Condensed Consolidated Financial Statements
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Reports of Independent Registered Public Accounting Firm
|
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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
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Item 3. Quantitative and Qualitative Disclosures About Market Risk
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Item 4. Controls and Procedures
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Part II. Other Information
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Item 1. Legal Proceedings
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|||
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Item 1A. Risk Factors
|
|||
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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
|
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Item 3. Defaults Upon Senior Securities
|
|||
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Item 4. Mine Safety Disclosures
|
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Item 5. Other Information
|
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Item 6. Exhibits
|
|||
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Signatures
|
COMMONLY USED TERMS
|
||
|
||
The following select abbreviations, terms, or acronyms are commonly used or found in multiple locations in this report:
|
||
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|
|
2018 Annual Report
|
-
|
IDACORP's and Idaho Power's Annual Report on Form 10-K for the year ended
December 31, 2018
|
ADITC
|
-
|
Accumulated Deferred Investment Tax Credits
|
AFUDC
|
-
|
Allowance for Funds Used During Construction
|
AOCI
|
-
|
Accumulated Other Comprehensive Income
|
ASU
|
-
|
Accounting Standards Update
|
BCC
|
-
|
Bridger Coal Company, a joint venture of IERCo
|
BLM
|
-
|
U.S. Bureau of Land Management
|
CWA
|
-
|
Clean Water Act
|
FASB
|
-
|
Financial Accounting Standards Board
|
FCA
|
-
|
Fixed Cost Adjustment
|
FERC
|
-
|
Federal Energy Regulatory Commission
|
FPA
|
-
|
Federal Power Act
|
HCC
|
-
|
Hells Canyon Complex
|
IDACORP
|
-
|
IDACORP, Inc., an Idaho corporation
|
Idaho Power
|
-
|
Idaho Power Company, an Idaho corporation
|
Idaho ROE
|
-
|
Idaho-jurisdiction return on year-end equity
|
Ida-West
|
-
|
Ida-West Energy, a subsidiary of IDACORP, Inc.
|
IERCo
|
-
|
Idaho Energy Resources Co., a subsidiary of Idaho Power Company
|
IFS
|
-
|
IDACORP Financial Services, a subsidiary of IDACORP, Inc.
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IPUC
|
-
|
Idaho Public Utilities Commission
|
IRP
|
-
|
Integrated Resource Plan
|
MD&A
|
-
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
MW
|
-
|
Megawatt
|
MWh
|
-
|
Megawatt-hour
|
O&M
|
-
|
Operations and Maintenance
|
OATT
|
-
|
Open Access Transmission Tariff
|
OPUC
|
-
|
Public Utility Commission of Oregon
|
PCA
|
-
|
Idaho-Jurisdiction Power Cost Adjustment
|
PURPA
|
-
|
Public Utility Regulatory Policies Act of 1978
|
SEC
|
-
|
U.S. Securities and Exchange Commission
|
SMSP
|
-
|
Security Plan for Senior Management Employees
|
Valmy Plant
|
-
|
North Valmy coal-fired power plant
|
Western EIM
|
-
|
Energy imbalance market implemented in the western United States
|
WPSC
|
-
|
Wyoming Public Service Commission
|
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
|
•
|
the effect of decisions by the Idaho and Oregon public utilities commissions and the Federal Energy Regulatory Commission that impact Idaho Power's ability to recover costs and earn a return on investment;
|
•
|
the expense and risks associated with capital expenditures for utility infrastructure, and the timing and availability of cost recovery for such expenditures through customer rates, including the potential for the write-down or write-off of expenditures if not deemed prudent by regulators;
|
•
|
changes in residential, commercial, and industrial growth and demographic patterns within Idaho Power's service area, the loss or change in the business of significant customers, or the addition of new customers, and their associated impacts on loads and load growth, and the availability of regulatory mechanisms that allow for timely cost recovery through customer rates in the event of those changes;
|
•
|
the impacts of economic conditions, including inflation, interest rates, regulatory authorized returns on equity, supply costs, population growth or decline in Idaho Power's service area, changes in customer demand for electricity, revenue from sales of excess power, credit quality of counterparties and suppliers, and the collection of receivables;
|
•
|
unseasonable or severe weather conditions, wildfires, drought, and other natural phenomena and natural disasters, including conditions and events associated with climate change, which affect customer demand, hydroelectric generation levels, repair costs, liability for damage caused by utility property, and the availability and cost of fuel for generation plants or purchased power to serve customers;
|
•
|
advancement of self-generation, energy storage, grid-connected devices, and energy efficiency technologies that may affect Idaho Power's sale or delivery of electric power or introduce new cyber security risks;
|
•
|
changes in tax laws or related regulations or new interpretations of applicable laws by federal, state, or local taxing jurisdictions, the availability of tax credits, and the tax rates payable by IDACORP shareholders on common stock dividends;
|
•
|
adoption of, changes in, and costs of compliance with laws, regulations, and policies relating to the environment, natural resources, and threatened and endangered species, and the ability to recover associated increased costs through rates;
|
•
|
variable hydrological conditions and over-appropriation of surface and groundwater in the Snake River Basin, which may impact the amount of power generated by Idaho Power's hydroelectric facilities;
|
•
|
the ability to acquire fuel, power, and transmission capacity under reasonable terms, particularly in the event of unanticipated power demands, lack of physical availability, transportation constraints, or a credit downgrade;
|
•
|
accidents, fires (either affecting or caused by Idaho Power facilities or infrastructure), explosions, and mechanical breakdowns that may occur while operating and maintaining Idaho Power assets, which can cause unplanned outages, reduce generating output, damage the companies’ assets, operations, or reputation, subject the companies to third-party claims for property damage, personal injury, or loss of life, or result in the imposition of civil, criminal, and regulatory fines and penalties for which the companies may have inadequate insurance coverage;
|
•
|
the increased purchased power costs and operational challenges associated with purchasing and integrating intermittent renewable energy sources into Idaho Power's resource portfolio;
|
•
|
disruptions or outages of Idaho Power's generation or transmission systems or of any interconnected transmission systems may constrain resources or cause Idaho Power to incur repair costs or purchase replacement power at increased costs;
|
•
|
the ability to obtain debt and equity financing or refinance existing debt when necessary and on favorable terms, which can be affected by factors such as credit ratings, volatility or disruptions in the financial markets, interest rate fluctuations, decisions by the Idaho or Oregon public utility commissions, and the companies' past or projected financial performance;
|
•
|
reductions in credit ratings, which could adversely impact access to debt and equity markets, increase borrowing costs, and require the posting of additional collateral to counterparties pursuant to credit and contractual arrangements;
|
•
|
the ability to enter into financial and physical commodity hedges with creditworthy counterparties to manage price and commodity risk, and the failure of any such risk management and hedging strategies to work as intended;
|
•
|
changes in actuarial assumptions, changes in interest rates, and the return on plan assets for pension and other post-retirement plans, which can affect future pension and other postretirement plan funding obligations, costs, and liabilities and the companies' cash flows;
|
•
|
the ability to continue to pay dividends based on financial performance and in light of contractual covenants and restrictions and regulatory limitations;
|
•
|
employee workforce factors, including the operational and financial costs of unionization or the attempt to unionize all or part of the companies' workforce, the impact of an aging workforce and retirements, the cost and ability to attract and retain skilled workers, and the ability to adjust the labor cost structure when necessary;
|
•
|
failure to comply with state and federal laws, regulations, and orders, including new interpretations and enforcement initiatives by regulatory and oversight bodies, which may result in penalties and fines and increase the cost of compliance, the nature and extent of investigations and audits, and the cost of remediation;
|
•
|
the inability to obtain or cost of obtaining and complying with required governmental permits and approvals, licenses, rights-of-way, and siting for transmission and generation projects and hydroelectric facilities;
|
•
|
the cost and outcome of litigation, dispute resolution, and regulatory proceedings, and the ability to recover those costs or the costs of resulting operational changes through insurance or rates, or from third parties;
|
•
|
the companies' failure to secure data or to comply with privacy laws or regulations, security breaches, or the disruption or damage to the companies' business, operations, or reputation resulting from cyber-attacks or related litigation or penalties, terrorist incidents or the threat of terrorist incidents, or other malicious acts, and acts of war;
|
•
|
unusual or unanticipated changes in normal business operations, including unusual maintenance or repairs, or the failure to successfully implement new technology solutions; and
|
•
|
adoption of or changes in accounting policies and principles, changes in accounting estimates, and new U.S. Securities and Exchange Commission or New York Stock Exchange requirements, or new interpretations of existing requirements.
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
|
(in thousands, except per share amounts)
|
||||||
Operating Revenues:
|
|
|
|
|
||||
Electric utility revenues
|
|
$
|
349,771
|
|
|
$
|
309,461
|
|
Other
|
|
548
|
|
|
646
|
|
||
Total operating revenues
|
|
350,319
|
|
|
310,107
|
|
||
|
|
|
|
|
||||
Operating Expenses:
|
|
|
|
|
||||
Electric utility:
|
|
|
|
|
||||
Purchased power
|
|
62,831
|
|
|
61,928
|
|
||
Fuel expense
|
|
51,870
|
|
|
27,735
|
|
||
Power cost adjustment
|
|
26,225
|
|
|
25,538
|
|
||
Other operations and maintenance
|
|
88,906
|
|
|
86,198
|
|
||
Energy efficiency programs
|
|
10,112
|
|
|
7,597
|
|
||
Depreciation
|
|
42,234
|
|
|
40,068
|
|
||
Taxes other than income taxes
|
|
8,859
|
|
|
9,277
|
|
||
Total electric utility expenses
|
|
291,037
|
|
|
258,341
|
|
||
Other
|
|
1,163
|
|
|
1,177
|
|
||
Total operating expenses
|
|
292,200
|
|
|
259,518
|
|
||
|
|
|
|
|
||||
Operating Income
|
|
58,119
|
|
|
50,589
|
|
||
|
|
|
|
|
||||
Allowance for Equity Funds Used During Construction
|
|
6,356
|
|
|
6,033
|
|
||
|
|
|
|
|
||||
Earnings of Unconsolidated Equity-Method Investments
|
|
2,381
|
|
|
4,015
|
|
||
|
|
|
|
|
||||
Other Income (Expense), Net
|
|
2,114
|
|
|
(459
|
)
|
||
|
|
|
|
|
||||
Interest Expense:
|
|
|
|
|
||||
Interest on long-term debt
|
|
21,154
|
|
|
20,688
|
|
||
Other interest
|
|
3,453
|
|
|
2,958
|
|
||
Allowance for borrowed funds used during construction
|
|
(2,590
|
)
|
|
(2,473
|
)
|
||
Total interest expense, net
|
|
22,017
|
|
|
21,173
|
|
||
|
|
|
|
|
||||
Income Before Income Taxes
|
|
46,953
|
|
|
39,005
|
|
||
|
|
|
|
|
||||
Income Tax Expense
|
|
4,316
|
|
|
2,894
|
|
||
|
|
|
|
|
||||
Net Income
|
|
42,637
|
|
|
36,111
|
|
||
Loss attributable to noncontrolling interests
|
|
49
|
|
|
31
|
|
||
Net Income Attributable to IDACORP, Inc.
|
|
$
|
42,686
|
|
|
$
|
36,142
|
|
Weighted Average Common Shares Outstanding - Basic
|
|
50,509
|
|
|
50,425
|
|
||
Weighted Average Common Shares Outstanding - Diluted
|
|
50,518
|
|
|
50,463
|
|
||
Earnings Per Share of Common Stock:
|
|
|
|
|
||||
Earnings Attributable to IDACORP, Inc. - Basic
|
|
$
|
0.85
|
|
|
$
|
0.72
|
|
Earnings Attributable to IDACORP, Inc. - Diluted
|
|
$
|
0.84
|
|
|
$
|
0.72
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
(in thousands)
|
|||||||
|
|
|
|
|
||||
Net Income
|
|
$
|
42,637
|
|
|
$
|
36,111
|
|
Other Comprehensive Income:
|
|
|
|
|
||||
Unfunded pension liability adjustment, net of tax of $169 and $250
|
|
488
|
|
|
721
|
|
||
Total Comprehensive Income
|
|
43,125
|
|
|
36,832
|
|
||
Loss attributable to noncontrolling interests
|
|
49
|
|
|
31
|
|
||
Comprehensive Income Attributable to IDACORP, Inc.
|
|
$
|
43,174
|
|
|
$
|
36,863
|
|
|
|
March 31,
2019 |
|
December 31,
2018 |
||||
|
|
(in thousands)
|
||||||
Assets
|
|
|
|
|
||||
|
|
|
|
|
||||
Current Assets:
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
231,342
|
|
|
$
|
267,492
|
|
Receivables:
|
|
|
|
|
||||
Customer (net of allowance of $2,091 and $1,725, respectively)
|
|
97,125
|
|
|
77,178
|
|
||
Other (net of allowance of $320 and $264, respectively)
|
|
13,311
|
|
|
7,476
|
|
||
Income taxes receivable
|
|
—
|
|
|
4,356
|
|
||
Accrued unbilled revenues
|
|
54,572
|
|
|
69,318
|
|
||
Materials and supplies (at average cost)
|
|
58,370
|
|
|
54,987
|
|
||
Fuel stock (at average cost)
|
|
48,493
|
|
|
47,979
|
|
||
Prepayments
|
|
17,615
|
|
|
16,492
|
|
||
Current regulatory assets
|
|
50,645
|
|
|
48,707
|
|
||
Other
|
|
4,819
|
|
|
3,655
|
|
||
Total current assets
|
|
576,292
|
|
|
597,640
|
|
||
Investments
|
|
94,576
|
|
|
101,178
|
|
||
Property, Plant and Equipment:
|
|
|
|
|
||||
Utility plant in service
|
|
6,125,019
|
|
|
6,103,856
|
|
||
Accumulated provision for depreciation
|
|
(2,238,415
|
)
|
|
(2,210,781
|
)
|
||
Utility plant in service - net
|
|
3,886,604
|
|
|
3,893,075
|
|
||
Construction work in progress
|
|
506,194
|
|
|
480,259
|
|
||
Utility plant held for future use
|
|
4,751
|
|
|
4,751
|
|
||
Other property, net of accumulated depreciation
|
|
17,538
|
|
|
17,650
|
|
||
Property, plant and equipment - net
|
|
4,415,087
|
|
|
4,395,735
|
|
||
Other Assets:
|
|
|
|
|
||||
Company-owned life insurance
|
|
59,106
|
|
|
59,852
|
|
||
Regulatory assets
|
|
1,180,231
|
|
|
1,165,467
|
|
||
Other
|
|
62,523
|
|
|
62,882
|
|
||
Total other assets
|
|
1,301,860
|
|
|
1,288,201
|
|
||
Total
|
|
$
|
6,387,815
|
|
|
$
|
6,382,754
|
|
|
|
March 31,
2019 |
|
December 31,
2018 |
||||
|
|
(in thousands)
|
||||||
Liabilities and Equity
|
|
|
|
|
||||
|
|
|
|
|
||||
Current Liabilities:
|
|
|
|
|
||||
Accounts payable
|
|
$
|
83,045
|
|
|
$
|
110,824
|
|
Taxes accrued
|
|
24,410
|
|
|
12,009
|
|
||
Interest accrued
|
|
21,775
|
|
|
23,622
|
|
||
Accrued compensation
|
|
32,538
|
|
|
55,121
|
|
||
Current regulatory liabilities
|
|
72,600
|
|
|
25,883
|
|
||
Advances from customers
|
|
26,348
|
|
|
20,037
|
|
||
Other
|
|
12,750
|
|
|
11,096
|
|
||
Total current liabilities
|
|
273,466
|
|
|
258,592
|
|
||
Other Liabilities:
|
|
|
|
|
||||
Deferred income taxes
|
|
694,046
|
|
|
699,878
|
|
||
Regulatory liabilities
|
|
727,912
|
|
|
738,994
|
|
||
Pension and other postretirement benefits
|
|
427,760
|
|
|
431,475
|
|
||
Other
|
|
43,838
|
|
|
43,216
|
|
||
Total other liabilities
|
|
1,893,556
|
|
|
1,913,563
|
|
||
Long-Term Debt
|
|
1,835,155
|
|
|
1,834,788
|
|
||
Commitments and Contingencies
|
|
|
|
|
||||
Equity:
|
|
|
|
|
||||
IDACORP, Inc. shareholders’ equity:
|
|
|
|
|
||||
Common stock, no par value (120,000 shares authorized; 50,420 shares issued)
|
|
863,425
|
|
|
863,593
|
|
||
Retained earnings
|
|
1,542,175
|
|
|
1,531,543
|
|
||
Accumulated other comprehensive loss
|
|
(22,356
|
)
|
|
(22,844
|
)
|
||
Treasury stock (35 shares and 27 shares, respectively, at cost)
|
|
(3,008
|
)
|
|
(1,932
|
)
|
||
Total IDACORP, Inc. shareholders’ equity
|
|
2,380,236
|
|
|
2,370,360
|
|
||
Noncontrolling interests
|
|
5,402
|
|
|
5,451
|
|
||
Total equity
|
|
2,385,638
|
|
|
2,375,811
|
|
||
Total
|
|
$
|
6,387,815
|
|
|
$
|
6,382,754
|
|
|
|
|
|
|
||||
The accompanying notes are an integral part of these statements.
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
|
(in thousands)
|
||||||
Operating Activities:
|
|
|
|
|
||||
Net income
|
|
$
|
42,637
|
|
|
$
|
36,111
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
||
Depreciation and amortization
|
|
43,362
|
|
|
41,028
|
|
||
Deferred income taxes and investment tax credits
|
|
(4,291
|
)
|
|
(4,907
|
)
|
||
Changes in regulatory assets and liabilities
|
|
19,540
|
|
|
30,000
|
|
||
Pension and postretirement benefit plan expense
|
|
6,965
|
|
|
7,034
|
|
||
Contributions to pension and postretirement benefit plans
|
|
(12,410
|
)
|
|
(11,852
|
)
|
||
Earnings of equity-method investments
|
|
(2,381
|
)
|
|
(4,015
|
)
|
||
Distributions from equity-method investments
|
|
7,700
|
|
|
8,000
|
|
||
Allowance for equity funds used during construction
|
|
(6,356
|
)
|
|
(6,033
|
)
|
||
Other non-cash adjustments to net income, net
|
|
2,913
|
|
|
2,687
|
|
||
Change in:
|
|
|
|
|
|
|
||
Accounts receivable
|
|
(25,235
|
)
|
|
(4,922
|
)
|
||
Accounts payable and other accrued liabilities
|
|
(44,733
|
)
|
|
(25,656
|
)
|
||
Taxes accrued/receivable
|
|
16,757
|
|
|
15,226
|
|
||
Other current assets
|
|
9,112
|
|
|
6,309
|
|
||
Other current liabilities
|
|
3,737
|
|
|
5,156
|
|
||
Other assets
|
|
(957
|
)
|
|
(1,933
|
)
|
||
Other liabilities
|
|
639
|
|
|
(495
|
)
|
||
Net cash provided by operating activities
|
|
56,999
|
|
|
91,738
|
|
||
Investing Activities:
|
|
|
|
|
|
|
||
Additions to property, plant and equipment
|
|
(61,330
|
)
|
|
(67,026
|
)
|
||
Payments received from transmission project joint funding partners
|
|
695
|
|
|
19,770
|
|
||
Proceeds from the sale of emission allowances and renewable energy certificates
|
|
2,915
|
|
|
1,520
|
|
||
Purchase of equity securities
|
|
(240
|
)
|
|
(95
|
)
|
||
Proceeds from the sale of equity securities
|
|
1,313
|
|
|
1,224
|
|
||
Other
|
|
(85
|
)
|
|
(86
|
)
|
||
Net cash used in investing activities
|
|
(56,732
|
)
|
|
(44,693
|
)
|
||
Financing Activities:
|
|
|
|
|
|
|
||
Issuance of long-term debt
|
|
—
|
|
|
220,000
|
|
||
Dividends on common stock
|
|
(32,290
|
)
|
|
(30,209
|
)
|
||
Acquisition of treasury stock
|
|
(4,107
|
)
|
|
(3,557
|
)
|
||
Debt issuance costs and other
|
|
(20
|
)
|
|
(2,651
|
)
|
||
Net cash (used in) provided by financing activities
|
|
(36,417
|
)
|
|
183,583
|
|
||
Net (decrease) increase in cash and cash equivalents
|
|
(36,150
|
)
|
|
230,628
|
|
||
Cash and cash equivalents at beginning of the period
|
|
267,492
|
|
|
76,649
|
|
||
Cash and cash equivalents at end of the period
|
|
$
|
231,342
|
|
|
$
|
307,277
|
|
Supplemental Disclosure of Cash Flow Information:
|
|
|
|
|
|
|
||
Cash paid during the period for:
|
|
|
|
|
|
|||
Income taxes
|
|
$
|
—
|
|
|
$
|
—
|
|
Interest (net of amount capitalized)
|
|
22,889
|
|
|
20,820
|
|
||
Non-cash investing activities:
|
|
|
|
|
||||
Additions to property, plant and equipment in accounts payable
|
|
$
|
23,690
|
|
|
$
|
20,130
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
|
(in thousands)
|
||||||
Common Stock
|
|
|
|
|
||||
Balance at beginning of period
|
|
$
|
863,593
|
|
|
$
|
857,207
|
|
Share-based compensation expense
|
|
2,837
|
|
|
2,541
|
|
||
Treasury shares issued
|
|
(3,031
|
)
|
|
(2,237
|
)
|
||
Other
|
|
26
|
|
|
22
|
|
||
Balance at end of period
|
|
863,425
|
|
|
857,533
|
|
||
Retained Earnings
|
|
|
|
|
||||
Balance at beginning of period
|
|
1,531,543
|
|
|
1,426,528
|
|
||
Net income attributable to IDACORP, Inc.
|
|
42,686
|
|
|
36,142
|
|
||
Common stock dividends ($0.63 and $0.59 per share, respectively)
|
|
(32,054
|
)
|
|
(30,086
|
)
|
||
Balance at end of period
|
|
1,542,175
|
|
|
1,432,584
|
|
||
Accumulated Other Comprehensive (Loss) Income
|
|
|
|
|
||||
Balance at beginning of period
|
|
(22,844
|
)
|
|
(30,964
|
)
|
||
Unfunded pension liability adjustment (net of tax)
|
|
488
|
|
|
721
|
|
||
Balance at end of period
|
|
(22,356
|
)
|
|
(30,243
|
)
|
||
Treasury Stock
|
|
|
|
|
||||
Balance at beginning of period
|
|
(1,932
|
)
|
|
(1,386
|
)
|
||
Issued
|
|
3,031
|
|
|
2,237
|
|
||
Acquired
|
|
(4,107
|
)
|
|
(3,557
|
)
|
||
Balance at end of period
|
|
(3,008
|
)
|
|
(2,706
|
)
|
||
Total IDACORP, Inc. shareholders’ equity at end of period
|
|
2,380,236
|
|
|
2,257,168
|
|
||
Noncontrolling Interests
|
|
|
|
|
||||
Balance at beginning of period
|
|
5,451
|
|
|
4,729
|
|
||
Net loss attributable to noncontrolling interests
|
|
(49
|
)
|
|
(31
|
)
|
||
Balance at end of period
|
|
5,402
|
|
|
4,698
|
|
||
Total equity at end of period
|
|
$
|
2,385,638
|
|
|
$
|
2,261,866
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
|
(in thousands)
|
||||||
|
|
|
|
|
||||
Operating Revenues
|
|
$
|
349,771
|
|
|
$
|
309,461
|
|
|
|
|
|
|
||||
Operating Expenses:
|
|
|
|
|
||||
Operation:
|
|
|
|
|
||||
Purchased power
|
|
62,831
|
|
|
61,928
|
|
||
Fuel expense
|
|
51,870
|
|
|
27,735
|
|
||
Power cost adjustment
|
|
26,225
|
|
|
25,538
|
|
||
Other operations and maintenance
|
|
88,906
|
|
|
86,198
|
|
||
Energy efficiency programs
|
|
10,112
|
|
|
7,597
|
|
||
Depreciation
|
|
42,234
|
|
|
40,068
|
|
||
Taxes other than income taxes
|
|
8,859
|
|
|
9,277
|
|
||
Total operating expenses
|
|
291,037
|
|
|
258,341
|
|
||
|
|
|
|
|
||||
Income from Operations
|
|
58,734
|
|
|
51,120
|
|
||
|
|
|
|
|
||||
Other Income (Expense):
|
|
|
|
|
||||
Allowance for equity funds used during construction
|
|
6,356
|
|
|
6,033
|
|
||
Earnings of unconsolidated equity-method investments
|
|
2,231
|
|
|
4,142
|
|
||
Other income (expense), net
|
|
922
|
|
|
(1,128
|
)
|
||
Total other income
|
|
9,509
|
|
|
9,047
|
|
||
|
|
|
|
|
||||
Interest Charges:
|
|
|
|
|
||||
Interest on long-term debt
|
|
21,154
|
|
|
20,688
|
|
||
Other interest
|
|
3,429
|
|
|
2,945
|
|
||
Allowance for borrowed funds used during construction
|
|
(2,590
|
)
|
|
(2,473
|
)
|
||
Total interest charges
|
|
21,993
|
|
|
21,160
|
|
||
|
|
|
|
|
||||
Income Before Income Taxes
|
|
46,250
|
|
|
39,007
|
|
||
|
|
|
|
|
||||
Income Tax Expense
|
|
4,666
|
|
|
3,150
|
|
||
|
|
|
|
|
||||
Net Income
|
|
$
|
41,584
|
|
|
$
|
35,857
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
(in thousands)
|
|||||||
|
|
|
|
|
||||
Net Income
|
|
$
|
41,584
|
|
|
$
|
35,857
|
|
Other Comprehensive Income:
|
|
|
|
|
||||
Unfunded pension liability adjustment, net of tax of $169 and $250
|
|
488
|
|
|
721
|
|
||
Total Comprehensive Income
|
|
$
|
42,072
|
|
|
$
|
36,578
|
|
|
|
March 31,
2019 |
|
December 31,
2018 |
||||
|
|
(in thousands)
|
||||||
Assets
|
|
|
|
|
||||
|
|
|
|
|
||||
Electric Plant:
|
|
|
|
|
||||
In service (at original cost)
|
|
$
|
6,125,019
|
|
|
$
|
6,103,856
|
|
Accumulated provision for depreciation
|
|
(2,238,415
|
)
|
|
(2,210,781
|
)
|
||
In service - net
|
|
3,886,604
|
|
|
3,893,075
|
|
||
Construction work in progress
|
|
506,194
|
|
|
480,259
|
|
||
Held for future use
|
|
4,751
|
|
|
4,751
|
|
||
Electric plant - net
|
|
4,397,549
|
|
|
4,378,085
|
|
||
Investments and Other Property
|
|
83,731
|
|
|
90,019
|
|
||
Current Assets:
|
|
|
|
|
||||
Cash and cash equivalents
|
|
131,121
|
|
|
165,460
|
|
||
Receivables:
|
|
|
|
|
||||
Customer (net of allowance of $2,091 and $1,725, respectively)
|
|
97,125
|
|
|
77,178
|
|
||
Other (net of allowance of $320 and $264, respectively)
|
|
12,990
|
|
|
7,206
|
|
||
Income taxes receivable
|
|
—
|
|
|
11,829
|
|
||
Accrued unbilled revenues
|
|
54,572
|
|
|
69,318
|
|
||
Materials and supplies (at average cost)
|
|
58,370
|
|
|
54,987
|
|
||
Fuel stock (at average cost)
|
|
48,493
|
|
|
47,979
|
|
||
Prepayments
|
|
17,478
|
|
|
16,374
|
|
||
Current regulatory assets
|
|
50,645
|
|
|
48,707
|
|
||
Other
|
|
4,819
|
|
|
3,655
|
|
||
Total current assets
|
|
475,613
|
|
|
502,693
|
|
||
Deferred Debits:
|
|
|
|
|
||||
Company-owned life insurance
|
|
59,106
|
|
|
59,852
|
|
||
Regulatory assets
|
|
1,180,231
|
|
|
1,165,467
|
|
||
Other
|
|
57,959
|
|
|
58,284
|
|
||
Total deferred debits
|
|
1,297,296
|
|
|
1,283,603
|
|
||
Total
|
|
$
|
6,254,189
|
|
|
$
|
6,254,400
|
|
|
|
March 31,
2019 |
|
December 31,
2018 |
||||
|
|
(in thousands)
|
||||||
Capitalization and Liabilities
|
|
|
|
|
||||
|
|
|
|
|
||||
Capitalization:
|
|
|
|
|
||||
Common stock equity:
|
|
|
|
|
||||
Common stock, $2.50 par value (50,000 shares authorized; 39,151 shares outstanding)
|
|
$
|
97,877
|
|
|
$
|
97,877
|
|
Premium on capital stock
|
|
712,258
|
|
|
712,258
|
|
||
Capital stock expense
|
|
(2,097
|
)
|
|
(2,097
|
)
|
||
Retained earnings
|
|
1,418,775
|
|
|
1,409,245
|
|
||
Accumulated other comprehensive loss
|
|
(22,356
|
)
|
|
(22,844
|
)
|
||
Total common stock equity
|
|
2,204,457
|
|
|
2,194,439
|
|
||
Long-term debt
|
|
1,835,155
|
|
|
1,834,788
|
|
||
Total capitalization
|
|
4,039,612
|
|
|
4,029,227
|
|
||
Current Liabilities:
|
|
|
|
|
||||
Accounts payable
|
|
82,921
|
|
|
110,597
|
|
||
Accounts payable to affiliates
|
|
2,914
|
|
|
2,088
|
|
||
Taxes accrued
|
|
16,723
|
|
|
11,750
|
|
||
Interest accrued
|
|
21,775
|
|
|
23,622
|
|
||
Accrued compensation
|
|
32,431
|
|
|
54,910
|
|
||
Current regulatory liabilities
|
|
72,600
|
|
|
25,883
|
|
||
Advances from customers
|
|
26,348
|
|
|
20,037
|
|
||
Other
|
|
12,114
|
|
|
10,198
|
|
||
Total current liabilities
|
|
267,826
|
|
|
259,085
|
|
||
Deferred Credits:
|
|
|
|
|
||||
Deferred income taxes
|
|
748,024
|
|
|
753,239
|
|
||
Regulatory liabilities
|
|
727,912
|
|
|
738,994
|
|
||
Pension and other postretirement benefits
|
|
427,760
|
|
|
431,475
|
|
||
Other
|
|
43,055
|
|
|
42,380
|
|
||
Total deferred credits
|
|
1,946,751
|
|
|
1,966,088
|
|
||
|
|
|
|
|
||||
Commitments and Contingencies
|
|
|
|
|
||||
|
|
|
|
|
||||
Total
|
|
$
|
6,254,189
|
|
|
$
|
6,254,400
|
|
|
|
|
|
|
||||
The accompanying notes are an integral part of these statements.
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
|
|
(in thousands)
|
||||||
Operating Activities:
|
|
|
|
|
||||
Net income
|
|
$
|
41,584
|
|
|
$
|
35,857
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
||
Depreciation and amortization
|
|
43,212
|
|
|
40,878
|
|
||
Deferred income taxes and investment tax credits
|
|
(4,137
|
)
|
|
(4,853
|
)
|
||
Changes in regulatory assets and liabilities
|
|
19,540
|
|
|
30,000
|
|
||
Pension and postretirement benefit plan expense
|
|
6,965
|
|
|
7,034
|
|
||
Contributions to pension and postretirement benefit plans
|
|
(12,410
|
)
|
|
(11,852
|
)
|
||
Earnings of equity-method investments
|
|
(2,231
|
)
|
|
(4,142
|
)
|
||
Distributions from equity-method investments
|
|
7,700
|
|
|
8,000
|
|
||
Allowance for equity funds used during construction
|
|
(6,356
|
)
|
|
(6,033
|
)
|
||
Other non-cash adjustments to net income, net
|
|
77
|
|
|
145
|
|
||
Change in:
|
|
|
|
|
|
|
||
Accounts receivable
|
|
(24,378
|
)
|
|
(4,613
|
)
|
||
Accounts payable
|
|
(44,631
|
)
|
|
(25,459
|
)
|
||
Taxes accrued/receivable
|
|
16,802
|
|
|
15,221
|
|
||
Other current assets
|
|
9,132
|
|
|
6,329
|
|
||
Other current liabilities
|
|
3,843
|
|
|
5,228
|
|
||
Other assets
|
|
(957
|
)
|
|
(1,933
|
)
|
||
Other liabilities
|
|
692
|
|
|
(371
|
)
|
||
Net cash provided by operating activities
|
|
54,447
|
|
|
89,436
|
|
||
Investing Activities:
|
|
|
|
|
|
|
||
Additions to utility plant
|
|
(61,330
|
)
|
|
(67,020
|
)
|
||
Payments received from transmission project joint funding partners
|
|
695
|
|
|
19,770
|
|
||
Proceeds from the sale of emission allowances and renewable energy certificates
|
|
2,915
|
|
|
1,520
|
|
||
Purchase of equity securities
|
|
(240
|
)
|
|
(95
|
)
|
||
Proceeds from the sale of equity securities
|
|
1,313
|
|
|
1,224
|
|
||
Other
|
|
(85
|
)
|
|
(86
|
)
|
||
Net cash used in investing activities
|
|
(56,732
|
)
|
|
(44,687
|
)
|
||
Financing Activities:
|
|
|
|
|
|
|
||
Issuance of long-term debt
|
|
—
|
|
|
220,000
|
|
||
Dividends on common stock
|
|
(32,054
|
)
|
|
(30,087
|
)
|
||
Debt issuance costs
|
|
—
|
|
|
(2,644
|
)
|
||
Net cash (used in) provided by financing activities
|
|
(32,054
|
)
|
|
187,269
|
|
||
Net (decrease) increase in cash and cash equivalents
|
|
(34,339
|
)
|
|
232,018
|
|
||
Cash and cash equivalents at beginning of the period
|
|
165,460
|
|
|
44,646
|
|
||
Cash and cash equivalents at end of the period
|
|
$
|
131,121
|
|
|
$
|
276,664
|
|
Supplemental Disclosure of Cash Flow Information:
|
|
|
|
|
|
|
||
Cash paid to (received from) IDACORP related to income taxes
|
|
$
|
—
|
|
|
$
|
—
|
|
Cash paid for interest (net of amount capitalized)
|
|
22,866
|
|
|
20,807
|
|
||
Non-cash investing activities:
|
|
|
|
|
||||
Additions to property, plant and equipment in accounts payable
|
|
$
|
23,690
|
|
|
$
|
20,130
|
|
|
|
IDACORP
|
|
Idaho Power
|
||||||||||||
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Income tax at statutory rates (federal and state)
|
|
$
|
12,098
|
|
|
$
|
10,048
|
|
|
$
|
11,905
|
|
|
$
|
10,040
|
|
Additional accumulated deferred investment tax credits (ADITC)
amortization
|
|
—
|
|
|
(500
|
)
|
|
—
|
|
|
(500
|
)
|
||||
Excess deferred income tax reversal
|
|
(1,631
|
)
|
|
(1,940
|
)
|
|
(1,631
|
)
|
|
(1,940
|
)
|
||||
Other
(1)
|
|
(6,151
|
)
|
|
(4,714
|
)
|
|
(5,608
|
)
|
|
(4,450
|
)
|
||||
Income tax expense
|
|
$
|
4,316
|
|
|
$
|
2,894
|
|
|
$
|
4,666
|
|
|
$
|
3,150
|
|
Effective tax rate
|
|
9.2
|
%
|
|
7.4
|
%
|
|
10.1
|
%
|
|
8.1
|
%
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Electric utility operating revenues:
|
|
|
|
|
||||
Revenue from contracts with customers
|
|
$
|
335,402
|
|
|
$
|
289,573
|
|
Alternative revenue programs and other revenues
|
|
14,369
|
|
|
19,888
|
|
||
Total electric utility operating revenues
|
|
$
|
349,771
|
|
|
$
|
309,461
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Revenues from contracts with customers:
|
|
|
|
|
||||
Retail revenues:
|
|
|
|
|
||||
Residential (includes $11,309 and $13,543, respectively, related to the FCA)
(1)
|
|
$
|
150,219
|
|
|
$
|
146,683
|
|
Commercial
(includes $342 and $362, respectively, related to the FCA)
(1)
|
|
73,106
|
|
|
74,227
|
|
||
Industrial
|
|
45,498
|
|
|
45,792
|
|
||
Irrigation
|
|
999
|
|
|
407
|
|
||
Deferred revenue related to HCC relicensing AFUDC
(2)
|
|
(2,119
|
)
|
|
(2,584
|
)
|
||
Total retail revenues
|
|
267,703
|
|
|
264,525
|
|
||
Less: FCA mechanism revenues
(1)
|
|
(11,651
|
)
|
|
(13,905
|
)
|
||
Wholesale energy sales
|
|
47,215
|
|
|
13,766
|
|
||
Transmission wheeling-related revenues
|
|
15,728
|
|
|
11,698
|
|
||
Energy efficiency program revenues
|
|
10,112
|
|
|
7,597
|
|
||
Other revenues from contracts with customers
|
|
6,295
|
|
|
5,892
|
|
||
Total revenues from contracts with customers
|
|
$
|
335,402
|
|
|
$
|
289,573
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Alternative revenue programs and other revenues:
|
|
|
|
|
||||
FCA mechanism revenues
|
|
$
|
11,651
|
|
|
$
|
13,905
|
|
Derivative revenues
|
|
2,718
|
|
|
5,983
|
|
||
Total alternative revenue programs and other revenues
|
|
$
|
14,369
|
|
|
$
|
19,888
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Numerator:
|
|
|
|
|
|
|
||
Net income attributable to IDACORP, Inc.
|
|
$
|
42,686
|
|
|
$
|
36,142
|
|
Denominator:
|
|
|
|
|
||||
Weighted-average common shares outstanding - basic
|
|
50,509
|
|
|
50,425
|
|
||
Effect of dilutive securities
|
|
9
|
|
|
38
|
|
||
Weighted-average common shares outstanding - diluted
|
|
50,518
|
|
|
50,463
|
|
||
Basic earnings per share
|
|
$
|
0.85
|
|
|
$
|
0.72
|
|
Diluted earnings per share
|
|
$
|
0.84
|
|
|
$
|
0.72
|
|
|
|
Pension Plan
|
|
SMSP
|
|
Postretirement
Benefits |
|
Total
|
||||||||||||||||||||||||
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||||||||
Service cost
|
|
$
|
8,714
|
|
|
$
|
9,743
|
|
|
$
|
(45
|
)
|
|
$
|
(79
|
)
|
|
$
|
231
|
|
|
$
|
284
|
|
|
$
|
8,900
|
|
|
$
|
9,948
|
|
Interest cost
|
|
10,596
|
|
|
9,682
|
|
|
1,143
|
|
|
1,063
|
|
|
732
|
|
|
666
|
|
|
12,471
|
|
|
11,411
|
|
||||||||
Expected return on plan assets
|
|
(12,124
|
)
|
|
(13,055
|
)
|
|
—
|
|
|
—
|
|
|
(553
|
)
|
|
(629
|
)
|
|
(12,677
|
)
|
|
(13,684
|
)
|
||||||||
Amortization of prior service cost
|
|
1
|
|
|
1
|
|
|
24
|
|
|
24
|
|
|
12
|
|
|
12
|
|
|
37
|
|
|
37
|
|
||||||||
Amortization of net loss
|
|
3,480
|
|
|
3,394
|
|
|
633
|
|
|
947
|
|
|
—
|
|
|
—
|
|
|
4,113
|
|
|
4,341
|
|
||||||||
Net periodic benefit cost
|
|
10,667
|
|
|
9,765
|
|
|
1,755
|
|
|
1,955
|
|
|
422
|
|
|
333
|
|
|
12,844
|
|
|
12,053
|
|
||||||||
Regulatory deferral of net periodic benefit cost
(1)
|
|
(10,167
|
)
|
|
(9,307
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(10,167
|
)
|
|
(9,307
|
)
|
||||||||
Previously deferred pension costs recognized
(1)
|
|
4,288
|
|
|
4,288
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,288
|
|
|
4,288
|
|
||||||||
Net periodic benefit cost recognized for financial reporting
(1)(2)
|
|
$
|
4,788
|
|
|
$
|
4,746
|
|
|
$
|
1,755
|
|
|
$
|
1,955
|
|
|
$
|
422
|
|
|
$
|
333
|
|
|
$
|
6,965
|
|
|
$
|
7,034
|
|
|
|
|
Gain/(Loss) on Derivatives Recognized in Income
(1)
|
|||||||
|
|
Location of Realized Gain/(Loss) on Derivatives Recognized in Income
|
|
Three months ended
March 31, |
||||||
|
|
|
2019
|
|
2018
|
|||||
Financial swaps
|
|
Operating revenues
|
|
$
|
(3,203
|
)
|
|
$
|
239
|
|
Financial swaps
|
|
Purchased power
|
|
743
|
|
|
(202
|
)
|
||
Financial swaps
|
|
Fuel expense
|
|
12,395
|
|
|
(688
|
)
|
||
Financial swaps
|
|
Other operations and maintenance
|
|
—
|
|
|
7
|
|
||
Forward contracts
|
|
Operating revenues
|
|
64
|
|
|
2
|
|
||
Forward contracts
|
|
Purchased power
|
|
(64
|
)
|
|
(13
|
)
|
||
Forward contracts
|
|
Fuel expense
|
|
416
|
|
|
14
|
|
|
|
|
|
Asset Derivatives
|
|
Liability Derivatives
|
||||||||||||||||||||
|
|
Balance Sheet Location
|
|
Gross Fair Value
|
|
Amounts Offset
|
|
Net Assets
|
|
Gross Fair Value
|
|
Amounts Offset
|
|
Net Liabilities
|
||||||||||||
|
|
|
|
|||||||||||||||||||||||
March 31, 2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Current:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Financial swaps
|
|
Other current assets
|
|
$
|
6,767
|
|
|
$
|
(2,143
|
)
|
(1)
|
$
|
4,624
|
|
|
$
|
204
|
|
|
$
|
(204
|
)
|
|
$
|
—
|
|
Financial swaps
|
|
Other current liabilities
|
|
471
|
|
|
(471
|
)
|
|
—
|
|
|
1,115
|
|
|
(471
|
)
|
|
644
|
|
||||||
Forward contracts
|
|
Other current assets
|
|
195
|
|
|
—
|
|
|
195
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Long-term:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Financial swaps
|
|
Other assets
|
|
122
|
|
|
—
|
|
|
122
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Financial swaps
|
|
Other liabilities
|
|
5
|
|
|
(5
|
)
|
|
—
|
|
|
54
|
|
|
(5
|
)
|
|
49
|
|
||||||
Total
|
|
|
|
$
|
7,560
|
|
|
$
|
(2,619
|
)
|
|
$
|
4,941
|
|
|
$
|
1,373
|
|
|
$
|
(680
|
)
|
|
$
|
693
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
December 31, 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Current:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Financial swaps
|
|
Other current assets
|
|
$
|
4,639
|
|
|
$
|
(984
|
)
|
(2)
|
$
|
3,655
|
|
|
$
|
938
|
|
|
$
|
(938
|
)
|
|
$
|
—
|
|
Financial swaps
|
|
Other current liabilities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
806
|
|
|
—
|
|
|
806
|
|
||||||
Forward contracts
|
|
Other current liabilities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
104
|
|
|
—
|
|
|
104
|
|
||||||
Long-term:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Financial swaps
|
|
Other assets
|
|
—
|
|
|
—
|
|
|
—
|
|
|
64
|
|
|
—
|
|
|
64
|
|
||||||
Total
|
|
|
|
$
|
4,639
|
|
|
$
|
(984
|
)
|
|
$
|
3,655
|
|
|
$
|
1,912
|
|
|
$
|
(938
|
)
|
|
$
|
974
|
|
|
|
|
|
March 31,
|
||||
Commodity
|
|
Units
|
|
2019
|
|
2018
|
||
Electricity purchases
|
|
MWh
|
|
194
|
|
|
393
|
|
Electricity sales
|
|
MWh
|
|
116
|
|
|
168
|
|
Natural gas purchases
|
|
MMBtu
|
|
9,596
|
|
|
8,920
|
|
Natural gas sales
|
|
MMBtu
|
|
338
|
|
|
211
|
|
Diesel purchases
|
|
Gallons
|
|
—
|
|
|
678
|
|
|
|
March 31, 2019
|
|
December 31, 2018
|
||||||||||||||||||||||||||||
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Money market funds
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
IDACORP
(1)
|
|
$
|
51,600
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
51,600
|
|
|
$
|
97,833
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
97,833
|
|
Idaho Power
|
|
42,669
|
|
|
—
|
|
|
—
|
|
|
42,669
|
|
|
79,228
|
|
|
—
|
|
|
—
|
|
|
79,228
|
|
||||||||
Derivatives
|
|
4,746
|
|
|
195
|
|
|
—
|
|
|
4,941
|
|
|
3,655
|
|
|
—
|
|
|
—
|
|
|
3,655
|
|
||||||||
Equity securities
|
|
35,668
|
|
|
—
|
|
|
—
|
|
|
35,668
|
|
|
36,488
|
|
|
—
|
|
|
—
|
|
|
36,488
|
|
||||||||
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Derivatives
|
|
693
|
|
|
—
|
|
|
—
|
|
|
693
|
|
|
870
|
|
|
104
|
|
|
—
|
|
|
974
|
|
|
|
March 31, 2019
|
|
December 31, 2018
|
||||||||||||
|
|
Carrying Amount
|
|
Estimated Fair Value
|
|
Carrying Amount
|
|
Estimated Fair Value
|
||||||||
IDACORP
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Notes receivable
(1)
|
|
$
|
3,804
|
|
|
$
|
3,804
|
|
|
$
|
3,804
|
|
|
$
|
3,804
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term debt
(1)
|
|
1,835,155
|
|
|
1,973,414
|
|
|
1,834,788
|
|
|
1,942,773
|
|
||||
Idaho Power
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term debt
(1)
|
|
1,835,155
|
|
|
1,973,414
|
|
|
1,834,788
|
|
|
1,942,773
|
|
|
|
Utility
Operations
|
|
All
Other
|
|
Eliminations
|
|
Consolidated
Total
|
||||||||
Three months ended March 31, 2019:
|
|
|
|
|
|
|
|
|
||||||||
Revenues
|
|
$
|
349,771
|
|
|
$
|
548
|
|
|
$
|
—
|
|
|
$
|
350,319
|
|
Net income attributable to IDACORP, Inc.
|
|
41,584
|
|
|
1,102
|
|
|
—
|
|
|
42,686
|
|
||||
Total assets as of March 31, 2019
|
|
6,254,189
|
|
|
169,880
|
|
|
(36,254
|
)
|
|
6,387,815
|
|
||||
Three months ended March 31, 2018:
|
|
|
|
|
|
|
|
|
||||||||
Revenues
|
|
$
|
309,461
|
|
|
$
|
646
|
|
|
$
|
—
|
|
|
$
|
310,107
|
|
Net income attributable to IDACORP, Inc.
|
|
35,857
|
|
|
285
|
|
|
—
|
|
|
36,142
|
|
|
|
Defined Benefit Pension Items
|
||||||
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Balance at beginning of period
|
|
$
|
(22,844
|
)
|
|
$
|
(30,964
|
)
|
Amounts reclassified out of AOCI
|
|
488
|
|
|
721
|
|
||
Balance at end of period
|
|
$
|
(22,356
|
)
|
|
$
|
(30,243
|
)
|
|
|
Amount Reclassified from AOCI
|
||||||
Details About AOCI
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Amortization of defined benefit pension items
(1)
|
|
|
|
|
||||
Prior service cost
|
|
$
|
24
|
|
|
$
|
24
|
|
Net loss
|
|
633
|
|
|
947
|
|
||
Total before tax
|
|
657
|
|
|
971
|
|
||
Tax benefit
(2)
|
|
(169
|
)
|
|
(250
|
)
|
||
Total reclassification for the period, net of tax
|
|
$
|
488
|
|
|
$
|
721
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Balance at beginning of period
|
|
$
|
1,409,245
|
|
|
$
|
1,308,702
|
|
Net income
|
|
41,584
|
|
|
35,857
|
|
||
Dividends to parent
|
|
(32,054
|
)
|
|
(30,087
|
)
|
||
Balance at end of period
|
|
$
|
1,418,775
|
|
|
$
|
1,314,472
|
|
•
|
Idaho Power continues to expect positive customer growth in its service area, and continues to participate in and support state and local economic development initiatives aimed at responsible and sustainable growth. During the
first three months
of
2019
, Idaho Power's customer count grew by nearly 3,000 customers, and for the twelve months ended
March 31, 2019
, the customer growth rate was
2.4 percent
.
|
•
|
Idaho Power anticipates substantial capital investments, with expected total capital expenditures of approximately $1.5 billion over the five-year period from
2019
(including the expenditures incurred so far in
2019
) through 2023.
|
•
|
Idaho Power continues to execute on its four strategic areas: growing to enhance financial strength, improving Idaho Power's core business, enhancing Idaho Power's brand, and focusing on safety and employee engagement.
|
•
|
Idaho Power continues to focus on timely recovery of costs and earning a reasonable return on investment, including working to evaluate and ensure that its rate design and regulatory mechanisms properly reflect the cost to provide electric service.
|
|
|
Three months ended
March 31, |
|
||||||
|
|
2019
|
|
2018
|
|
||||
Idaho Power net income
|
|
$
|
41,584
|
|
|
$
|
35,857
|
|
|
Net income attributable to IDACORP, Inc.
|
|
$
|
42,686
|
|
|
$
|
36,142
|
|
|
Average outstanding shares – diluted
|
|
50,518
|
|
|
50,463
|
|
|
||
IDACORP, Inc. earnings per diluted share
|
|
$
|
0.84
|
|
|
$
|
0.72
|
|
|
|
|
Three months ended
|
|
|||||
Net income attributable to IDACORP, Inc. - March 31, 2018
|
|
|
|
$
|
36.1
|
|
|
|
Increase (decrease) in Idaho Power net income:
|
|
|
|
|
|
|
||
Customer growth, net of associated power supply costs and power cost adjustment mechanisms
|
|
4.1
|
|
|
|
|
|
|
Usage per retail customer, net of associated power supply costs and power cost adjustment mechanisms
|
|
1.9
|
|
|
|
|
||
Idaho fixed cost adjustment (FCA) revenues
|
|
(2.3
|
)
|
|
|
|
||
Retail revenues per MWh, net of associated power supply costs and power cost adjustment mechanisms
|
|
3.7
|
|
|
|
|
||
Transmission wheeling-related revenues
|
|
4.0
|
|
|
|
|
||
Other operations and maintenance (O&M) expenses
|
|
(2.7
|
)
|
|
|
|
||
Other changes in operating revenues and expenses, net
|
|
(1.1
|
)
|
|
|
|
||
Increase in Idaho Power operating income
|
|
7.6
|
|
|
|
|
||
Earnings of equity-method investments
|
|
(1.9
|
)
|
|
|
|
||
Non-operating income and expenses
|
|
1.5
|
|
|
|
|
||
Additional accumulated deferred investment tax credits (ADITC) amortization
|
|
(0.5
|
)
|
|
|
|
||
Income tax expense (excluding additional ADITC amortization)
|
|
(1.0
|
)
|
|
|
|
||
Total increase in Idaho Power net income
|
|
|
|
5.7
|
|
|
||
Other IDACORP changes (net of tax)
|
|
|
|
0.9
|
|
|
||
Net income attributable to IDACORP, Inc. - March 31, 2019
|
|
|
|
$
|
42.7
|
|
|
•
|
Regulation of Rates and Cost Recovery:
The prices that Idaho Power is authorized to charge for its electric and transmission service is a critical factor in determining IDACORP's and Idaho Power's results of operations and financial condition. Those rates are established by state regulatory commissions and the FERC and are intended to allow Idaho Power an opportunity to recover its expenses and earn a reasonable return on investment. Idaho Power focuses on timely recovery of its costs through filings with its regulators, working to put in place innovative regulatory mechanisms, and on the prudent management of expenses and investments. Idaho Power has regulatory settlement stipulations in Idaho that include provisions for the accelerated amortization of certain tax credits to help achieve a minimum 9.5 percent (9.4 percent after 2019) Idaho ROE. The settlement stipulations also provide for the potential sharing between Idaho Power and its customers of Idaho-jurisdictional earnings in excess of 10.0 percent of Idaho ROE. The settlement stipulations provide for modification of certain terms and the indefinite extension of the mechanism beyond the original termination date of December 31, 2019. The specific terms of these settlement stipulations are described in Note 3 - "Regulatory Matters" to the consolidated financial statements included in the 2018 Annual Report. During 2019, Idaho Power will continue to assess the need to file a general rate case to reset base rates but does not anticipate filing a rate case in the next twelve months.
|
•
|
Economic Conditions and Loads:
Economic conditions impact consumer demand for energy, revenues, collectability of accounts, the volume of wholesale energy sales, and the need to construct and improve infrastructure, purchase power, and implement programs to meet customer load demands. In recent years, Idaho Power has seen growth in the number of customers in its service area. Over the 12 months ended
March 31, 2019
, Idaho Power's customer count grew by
2.4 percent
. Idaho Power expects its number of customers to continue to increase in the foreseeable future. Employment in Idaho Power's service area grew by approximately 2.8 percent during the twelve months ended
March 31, 2019
, based on Idaho Department of Labor preliminary March 2019 data. Idaho Power has in recent years supported State of Idaho-coordinated efforts to promote economic development with an emphasis on attracting industrial and commercial customers to its service area.
|
|
|
5-Year Forecast
|
|
20-Year Forecast
|
||||
|
|
Annual Growth Rate: Retail Sales
(Billed MWh)
|
|
Annual Growth Rate: Annual Peak
(Peak Demand)
|
|
Annual Growth Rate: Retail Sales
(Billed MWh)
|
|
Annual Growth Rate: Annual Peak
(Peak Demand)
|
2019 IRP (preliminary)
|
|
1.3%
|
|
1.4%
|
|
1.0%
|
|
1.2%
|
2017 IRP
|
|
1.1%
|
|
1.6%
|
|
0.9%
|
|
1.4%
|
2015 IRP
|
|
1.1%
|
|
1.5%
|
|
1.1%
|
|
1.4%
|
•
|
Weather Conditions:
Weather and agricultural growing conditions have a significant impact on Idaho Power's energy sales. Relatively low and high temperatures result in greater energy use for heating and cooling, respectively. During the agricultural growing season, which in large part occurs during the second and third quarters, irrigation customers use electricity to operate irrigation pumps, and weather conditions can impact the timing and extent of use of those pumps. Idaho Power also has tiered rates and seasonal rates, which contribute to increased revenues during higher-load periods, most notably during the third quarter of each year when overall customer demand is highest. Much of the adverse or favorable impact of weather on sales of energy to residential and small commercial customers is mitigated through the Idaho FCA mechanism, which is described in Note 3 - "Regulatory Matters" to the condensed consolidated financial statements in this report.
|
•
|
Rate Base Growth and Infrastructure Investment:
As noted above, the rates established by the IPUC and OPUC are determined so as to provide an opportunity for Idaho Power to recover authorized operating expenses and earn a reasonable return on “rate base.” Rate base is generally determined by reference to the original cost (net of accumulated depreciation) of utility plant in service and certain other assets, subject to various adjustments for deferred taxes and other items. Over time, rate base is increased by additions to utility plant in service and reduced by depreciation and retirement of utility plant and write-offs as authorized by the IPUC and OPUC. In recent years, Idaho Power has been pursuing significant enhancements to its utility infrastructure in an effort to maintain system reliability, to ensure an adequate supply of electricity, and to provide service to new customers, including major ongoing transmission projects such as the Boardman-to-Hemingway and Gateway West projects. Idaho Power's existing hydroelectric and thermal generation facilities also require continuing upgrades and equipment replacement, and the company is undertaking a significant relicensing effort for the Hells Canyon Complex (HCC), its largest hydroelectric generation resource. Idaho Power intends to pursue inclusion of significant completed capital projects into rate base as part of a general rate case or other appropriate regulatory proceeding.
|
•
|
Mitigation of Impact of Fuel and Purchased Power Expense:
In addition to hydroelectric generation, Idaho Power relies significantly on natural gas and coal to fuel its generation facilities and power purchases in the wholesale markets. Fuel costs are impacted by electricity sales volumes, the terms and conditions of contracts for fuel, Idaho Power's generation capacity, the availability of hydroelectric generation resources, transmission capacity, energy market prices, and Idaho Power's hedging program for managing fuel costs. Purchased power costs are impacted by the terms and conditions of contracts for purchased power, the rate of expansion of alternative energy generation sources such as wind or solar energy, and wholesale energy market prices. The Idaho and Oregon power cost adjustment mechanisms mitigate in large part the potential adverse impacts to Idaho Power of fluctuations in power supply costs.
|
•
|
Regulatory and Environmental Compliance Costs:
Idaho Power is subject to extensive federal and state laws, policies, and regulations, as well as regulatory actions and audits by agencies and quasi-governmental agencies,
|
•
|
Water Management and Relicensing of the Hells Canyon Hydroelectric Project:
Because of Idaho Power's reliance on stream flow in the Snake River and its tributaries, Idaho Power participates in numerous proceedings and venues that may affect its water rights, seeking to preserve the long-term availability of its rights for its hydroelectric projects. Also, Idaho Power is involved in renewing its long-term federal license for the HCC, its largest hydroelectric generation source. Given the number of parties involved, Idaho Power's relicensing costs have been and are expected to continue to be substantial. Idaho Power cannot currently determine the ultimate terms of, and costs associated with, any resulting long-term license.
|
|
|
Three months ended
March 31, |
||||
|
|
2019
|
|
2018
|
||
Retail energy sales
|
|
3,371
|
|
|
3,246
|
|
Wholesale energy sales
|
|
860
|
|
|
860
|
|
Bundled energy sales
|
|
146
|
|
|
224
|
|
Total energy sales
|
|
4,377
|
|
|
4,330
|
|
Hydroelectric generation
|
|
2,100
|
|
|
2,725
|
|
Coal generation
|
|
1,132
|
|
|
607
|
|
Natural gas and other generation
|
|
427
|
|
|
104
|
|
Total system generation
|
|
3,659
|
|
|
3,436
|
|
Purchased power
|
|
1,061
|
|
|
1,189
|
|
Line losses
|
|
(343
|
)
|
|
(295
|
)
|
Total energy supply
|
|
4,377
|
|
|
4,330
|
|
|
|
Three months ended
March 31, |
|||||||
|
|
2019
|
|
2018
|
|
Normal
(2)
|
|||
Heating degree-days
(1)
|
|
2,437
|
|
|
2,297
|
|
|
2,480
|
|
Cooling degree-days
(1)
|
|
—
|
|
|
—
|
|
|
—
|
|
Precipitation (inches)
|
|
6.1
|
|
|
3.8
|
|
|
3.6
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Retail revenues:
|
|
|
|
|
|
|
||
Residential (includes $11,309 and $13,543, respectively, related to the FCA)
(1)
|
|
$
|
150,219
|
|
|
$
|
146,683
|
|
Commercial
(includes $342 and $362, respectively, related to the FCA)
(1)
|
|
73,106
|
|
|
74,227
|
|
||
Industrial
|
|
45,498
|
|
|
45,792
|
|
||
Irrigation
|
|
999
|
|
|
407
|
|
||
Deferred revenue related to HCC relicensing AFUDC
(2)
|
|
(2,119
|
)
|
|
(2,584
|
)
|
||
Total retail revenues
|
|
$
|
267,703
|
|
|
$
|
264,525
|
|
Volume of retail sales (MWh)
|
|
|
|
|
|
|
||
Residential
|
|
1,490
|
|
|
1,403
|
|
||
Commercial
|
|
1,019
|
|
|
1,001
|
|
||
Industrial
|
|
852
|
|
|
833
|
|
||
Irrigation
|
|
10
|
|
|
9
|
|
||
Total retail MWh sales
|
|
3,371
|
|
|
3,246
|
|
||
Number of retail customers at period end
|
|
|
|
|
|
|
||
Residential
|
|
467,252
|
|
|
455,685
|
|
||
Commercial
|
|
71,911
|
|
|
70,651
|
|
||
Industrial
|
|
127
|
|
|
117
|
|
||
Irrigation
|
|
21,202
|
|
|
20,944
|
|
||
Total customers
|
|
560,492
|
|
|
547,397
|
|
•
|
Rates
: Customer rates, excluding collections of amounts related to the PCA mechanism, increased revenues by approximately $3 million. Colder weather caused an increase in the proportion of residential sales in higher rate categories under Idaho Power's tiered rate structure. These higher tiered rates were the primary reason for an increase in retail revenues attributable to rates. To a lesser extent, changes in the customer sales mix increased average rates as volumes sold to residential customers made up a greater portion of the customer sales mix in the first quarter of 2019 compared with the first quarter of 2018. Customer rates also include collection of amounts related to the PCA mechanism, which decreased revenues by $7.7 million in the first quarter of 2019 compared with the first quarter of 2018. The collection of amounts related to the PCA mechanism in rates has no effect on operating income as a corresponding amount is recorded as expense in the same period it is collected through rates.
|
•
|
Customers
: Customer growth of 2.4 percent increased retail revenues by $6.0 million in the first quarter of 2019 compared with the first quarter of 2018.
|
•
|
Usage
: Increased usage (on a per customer basis), primarily by residential customers, increased retail revenues by $4.3 million for the first three months of 2019 compared with the first three months of 2018. Increased usage was primarily the result of colder temperatures in Idaho Power's service area during the first three months of 2019 compared with the same period of 2018, which led to increased usage by residential customers for heating.
|
•
|
Idaho FCA Revenue
: The FCA mechanism, applicable to Idaho residential and small commercial customers, adjusts revenue each year to accrue, or defer, the difference between the authorized fixed-cost recovery amount per customer and the actual fixed costs per customer recovered by Idaho Power through volume-based rates during the year. Higher usage (on a per customer basis) by residential and small general service customers during the first three months of 2019 decreased the amount of FCA revenue accrued by $2.3 million compared with the same period in 2018.
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Wholesale energy revenues
|
|
$
|
47,215
|
|
|
$
|
13,766
|
|
Wholesale MWh sold
|
|
860
|
|
|
860
|
|
||
Wholesale energy revenues per MWh
|
|
$
|
54.90
|
|
|
$
|
16.01
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Expense
|
|
|
|
|
||||
PURPA contracts
|
|
$
|
41,082
|
|
|
$
|
41,938
|
|
Other purchased power (including wheeling)
|
|
21,749
|
|
|
19,990
|
|
||
Total purchased power expense
|
|
$
|
62,831
|
|
|
$
|
61,928
|
|
MWh purchased
|
|
|
|
|
||||
PURPA contracts
|
|
678
|
|
|
710
|
|
||
Other purchased power
|
|
383
|
|
|
479
|
|
||
Total MWh purchased
|
|
1,061
|
|
|
1,189
|
|
||
Cost per MWh from PURPA contracts
|
|
$
|
60.59
|
|
|
$
|
59.07
|
|
Cost per MWh from other sources
|
|
$
|
56.79
|
|
|
$
|
41.73
|
|
Weighted average - all sources
|
|
$
|
59.22
|
|
|
$
|
52.08
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Expense
|
|
|
|
|
||||
Coal
|
|
$
|
38,623
|
|
|
$
|
23,282
|
|
Natural gas
(1)
|
|
13,247
|
|
|
4,453
|
|
||
Total fuel expense
|
|
$
|
51,870
|
|
|
$
|
27,735
|
|
MWh generated
|
|
|
|
|
||||
Coal
|
|
1,132
|
|
|
607
|
|
||
Natural gas
(1)
|
|
427
|
|
|
104
|
|
||
Total MWh generated
|
|
1,559
|
|
|
711
|
|
||
Cost per MWh - Coal
|
|
$
|
34.12
|
|
|
$
|
38.36
|
|
Cost per MWh - Natural gas
|
|
$
|
31.02
|
|
|
$
|
42.82
|
|
Weighted average, all sources
|
|
$
|
33.27
|
|
|
$
|
39.01
|
|
|
|
Three months ended
March 31, |
||||||
|
|
2019
|
|
2018
|
||||
Idaho power supply cost accrual
|
|
$
|
30,940
|
|
|
$
|
17,546
|
|
Amortization of prior year authorized balances
|
|
(4,715
|
)
|
|
7,992
|
|
||
Total power cost adjustment expense
|
|
$
|
26,225
|
|
|
$
|
25,538
|
|
•
|
their respective $100 million and $300 million revolving credit facilities;
|
•
|
IDACORP's shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC) on May 20, 2016, which may be used for the issuance of debt securities and common stock;
|
•
|
Idaho Power's shelf registration statement filed with the SEC on May 20, 2016, which may be used for the issuance of first mortgage bonds and debt securities; $280 million remains available for issuance pursuant to state regulatory authority; and
|
•
|
IDACORP's and Idaho Power's issuance of commercial paper, which may be issued up to an amount equal to the available credit capacity under their respective credit facilities.
|
|
|
IDACORP
|
|
Idaho Power
|
Debt
|
|
44%
|
|
46%
|
Equity
|
|
56%
|
|
54%
|
•
|
increased net income;
|
•
|
changes in deferred taxes and in taxes accrued and receivable combined to increased cash flows by
$2 million
at IDACORP and at Idaho Power;
|
•
|
changes in regulatory assets and liabilities, mostly related to the relative amounts of costs deferred and collected under the Idaho PCA mechanism,
decreased
operating cash flows by
$10 million
;
|
•
|
changes in working capital balances due primarily to timing, including fluctuations in accounts receivable, other current assets, and accounts payable, as follows:
|
◦
|
increase in customer receivables at March 31, 2019, due primarily to higher wholesale energy sales described earlier in MD&A combined with the timing of collections of accounts receivable balances
decreased
operating cash flows by
$20 million
for IDACORP and Idaho Power; and
|
◦
|
timing of accounts payable payments
decreased
operating cash flows by
$19 million
for IDACORP and Idaho Power.
|
|
|
March 31, 2019
|
|
December 31, 2018
|
||||||||||||
|
|
IDACORP
(2)
|
|
Idaho Power
|
|
IDACORP
(2)
|
|
Idaho Power
|
||||||||
Revolving credit facility
|
|
$
|
100,000
|
|
|
$
|
300,000
|
|
|
$
|
100,000
|
|
|
$
|
300,000
|
|
Commercial paper outstanding
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Identified for other use
(1)
|
|
—
|
|
|
(24,245
|
)
|
|
—
|
|
|
(24,245
|
)
|
||||
Net balance available
|
|
$
|
100,000
|
|
|
$
|
275,755
|
|
|
$
|
100,000
|
|
|
$
|
275,755
|
|
|
|
2019
|
|
2020
|
|
2021-2023
|
Expected capital expenditures (excluding AFUDC)
|
|
$280-290
|
|
$285-300
|
|
$875-925
|
Description
|
|
Status
|
|
Estimated Rate Impact
(1)
|
|
Notes
|
Power Cost Adjustment Mechanism - Idaho
|
|
Filed April 15, 2019; Pending
|
|
$50.1 million PCA decrease for the period from June 1, 2019 to May 31, 2020
|
|
The potential revenue impact of rate increases and decreases associated with the Idaho PCA mechanism is largely offset by associated increases and decreases in actual power supply costs and amortization of deferred power supply costs. The decrease includes a $5.0 million credit to customers for sharing of 2018 earnings under the IPUC order approving the extension, with modifications, of the terms of the December 2011 Idaho settlement stipulation for the period from 2015 through 2019 (October 2014 Idaho Earnings Support and Sharing Settlement Stipulation) and a $2.7 million credit for income tax reform benefits related to Idaho Power's OATT rate under a May 2018 Idaho tax reform settlement stipulation as described below in this MD&A.
|
Fixed Cost Adjustment Mechanism - Idaho
|
|
Filed March 15, 2019; Pending
|
|
$19.2 million FCA increase for the period from June 1, 2019 to May 31, 2020
|
|
The FCA is designed to remove a portion of Idaho Power’s financial disincentive to invest in energy efficiency programs by partially separating (or decoupling) the recovery of fixed costs from the volumetric kilowatt-hour charge and instead linking it to a set amount per customer.
|
Valmy Plant Agreement - Idaho
|
|
Filed March 8, 2019; Pending
|
|
$1.2 million annual increase beginning June 1, 2019
|
|
In February 2019, Idaho Power reached an agreement with NV Energy that facilitates the planned end of Idaho Power's participation in coal-fired operations at units 1 and 2 of its jointly-owned North Valmy coal-fired power plant (Valmy Plant) in 2019 and 2025, respectively. In March 2019, Idaho Power requested that the IPUC approve the Valmy Plant agreement and allow Idaho Power to recover through customer rates the $1.2 million incremental annual levelized revenue requirement associated with required Valmy Plant investments and other exit costs.
|
|
|
Idaho
|
|
Oregon
|
|
Total
|
||||||
Deferred (accrued) net power supply costs at December 31, 2018
|
|
$
|
(42.1
|
)
|
|
$
|
(0.2
|
)
|
|
$
|
(42.3
|
)
|
Current period net power supply costs accrued
|
|
(30.9
|
)
|
|
—
|
|
|
(30.9
|
)
|
|||
Western EIM cost recovery to be collected through Idaho PCA
|
|
0.8
|
|
|
—
|
|
|
0.8
|
|
|||
Prior amounts refunded through rates
|
|
5.7
|
|
|
—
|
|
|
5.7
|
|
|||
SO
2
allowance and renewable energy certificate sales
|
|
(2.6
|
)
|
|
(0.1
|
)
|
|
(2.7
|
)
|
|||
Interest and other
|
|
(0.3
|
)
|
|
—
|
|
|
(0.3
|
)
|
|||
Deferred (accrued) net power supply costs at March 31, 2019
|
|
$
|
(69.4
|
)
|
|
$
|
(0.3
|
)
|
|
$
|
(69.7
|
)
|
Resource Type
|
|
On-line megawatts (MW)
|
|
Under Contract but not yet On-line (MW)
|
|
Total Projects under Contract (MW)
|
|
|||
PURPA:
|
|
|
|
|
|
|
|
|||
Wind
|
|
627
|
|
|
—
|
|
|
627
|
|
|
Solar
|
|
290
|
|
|
27
|
|
|
317
|
|
|
Hydroelectric
|
|
146
|
|
|
2
|
|
|
148
|
|
|
Other
|
|
56
|
|
|
—
|
|
|
56
|
|
|
Total
|
|
1,119
|
|
|
29
|
|
|
1,148
|
|
|
Non-PURPA:
|
|
|
|
|
|
|
|
|||
Wind
|
|
101
|
|
|
—
|
|
|
101
|
|
|
Geothermal
|
|
35
|
|
|
—
|
|
|
35
|
|
|
Solar
|
|
—
|
|
|
120
|
|
|
120
|
|
|
Total
|
|
136
|
|
|
120
|
|
|
256
|
|
|
•
|
increase the operating costs of generating plants;
|
•
|
increase the construction costs and lead time for new facilities;
|
•
|
require the modification of existing generation plants, which could result in additional costs;
|
•
|
require the curtailment or shut-down of existing generating plants; or
|
•
|
reduce the output from current generating facilities.
|
Period
|
(a)
Total Number of Shares Purchased
(1)
|
(b)
Average Price Paid per Share
|
(c)
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
|
(d)
Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be Purchased Under the Plans or Programs
|
|||||
January 1, 2019 - January 31, 2019
|
9,423
|
|
$
|
90.02
|
|
—
|
|
—
|
|
February 1, 2019 - February 28, 2019
|
32,779
|
|
99.42
|
|
—
|
|
—
|
|
|
March 1, 2019 - March 31, 2019
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Total
|
42,202
|
|
$
|
97.32
|
|
—
|
|
—
|
|
|
|
Incorporated by Reference
|
|
|||
Exhibit No.
|
Exhibit Description
|
Form
|
File No.
|
Exhibit No.
|
Date
|
Included Herewith
|
|
|
|
|
|
|
|
15.1
|
|
|
|
|
X
|
|
15.2
|
|
|
|
|
X
|
|
31.1
|
|
|
|
|
X
|
|
31.2
|
|
|
|
|
X
|
|
31.3
|
|
|
|
|
X
|
|
31.4
|
|
|
|
|
X
|
|
32.1
|
|
|
|
|
X
|
|
32.2
|
|
|
|
|
X
|
|
32.3
|
|
|
|
|
X
|
|
32.4
|
|
|
|
|
X
|
|
95.1
|
|
|
|
|
X
|
|
101.INS
|
XBRL Instance Document
|
|
|
|
|
X
|
101.SCH
|
XBRL Taxonomy Extension Schema Document
|
|
|
|
|
X
|
101.CAL
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
|
|
|
|
X
|
101.LAB
|
XBRL Taxonomy Extension Label Linkbase Document
|
|
|
|
|
X
|
101.PRE
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
|
|
|
|
X
|
101.DEF
|
XBRL Taxonomy Extension Definition Linkbase Document
|
|
|
|
|
X
|
|
|
IDACORP, INC.
|
|
|
|
(Registrant)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Date:
|
May 2, 2019
|
By:
|
/s/ Darrel T. Anderson
|
|
|
|
Darrel T. Anderson
|
|
|
|
President and Chief Executive Officer
|
|
|
|
|
Date:
|
May 2, 2019
|
By:
|
/s/ Steven R. Keen
|
|
|
|
Steven R. Keen
|
|
|
|
Senior Vice President, Chief Financial
|
|
|
|
Officer, and Treasurer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IDAHO POWER COMPANY
|
|
|
|
(Registrant)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Date:
|
May 2, 2019
|
By:
|
/s/ Darrel T. Anderson
|
|
|
|
Darrel T. Anderson
|
|
|
|
President and Chief Executive Officer
|
|
|
|
|
Date:
|
May 2, 2019
|
By:
|
/s/ Steven R. Keen
|
|
|
|
Steven R. Keen
|
|
|
|
Senior Vice President, Chief Financial
|
|
|
|
Officer, and Treasurer
|
|
|
|
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of IDACORP, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date:
|
May 2, 2019
|
By:
|
/s/ Darrel T. Anderson
|
|
|
|
Darrel T. Anderson
|
|
|
|
President and Chief Executive Officer
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of IDACORP, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date:
|
May 2, 2019
|
By:
|
/s/ Steven R. Keen
|
|
|
|
Steven R. Keen
|
|
|
|
Senior Vice President, Chief Financial Officer, and Treasurer
|
|
|
|
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Idaho Power Company;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date:
|
May 2, 2019
|
By:
|
/s/ Darrel T. Anderson
|
|
|
|
Darrel T. Anderson
|
|
|
|
President and Chief Executive Officer
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Idaho Power Company;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date:
|
May 2, 2019
|
By:
|
/s/ Steven R. Keen
|
|
|
|
Steven R. Keen
|
|
|
|
Senior Vice President, Chief Financial Officer, and Treasurer
|
|
|
|
|
(1)
|
The Report fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ Darrel T. Anderson
|
Darrel T. Anderson
|
President and Chief Executive Officer
|
May 2, 2019
|
(1)
|
The Report fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ Steven R. Keen
|
Steven R. Keen
|
Senior Vice President, Chief Financial Officer, and Treasurer
|
May 2, 2019
|
(1)
|
The Report fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ Darrel T. Anderson
|
Darrel T. Anderson
|
President and Chief Executive Officer
|
May 2, 2019
|
(1)
|
The Report fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ Steven R. Keen
|
Steven R. Keen
|
Senior Vice President, Chief Financial Officer, and Treasurer
|
May 2, 2019
|