Appendix D

Distribution "Wires Only" Rate Base

This appendix is composed of the following three parts:

1.	Part I	-	Guidelines for determining the distribution or "wires only" assets and activities;

2. Part II	-	Details on the calculation of the Rate Base for the initial filing;

3. Part III	-	Details on the calculation of the Rate Base for the subsequent filings (using the Uniform System of Accounts).

Part I

Guidelines For Determining Distribution Or "Wires Only" Activities And Assets

1. Purpose

The distribution activities identified below, along with the associated assets, will be considered to be distribution activities and assets for purposes of the rate base calculation for the first generation PBR. Note however, the content of this part does not affect the Board's discretion to make an alternative decision based on a review of the information submitted by a utility.

This part is organized into two sections:

1.	Determining Distribution Activities and Assets and;

2.	Allocations related to Joint Use Assets.

2.0 Determining Distribution Activities and Assets

2.1	Definition of Distribution Activities and Assets

Activities that enable the conveyance of electricity for distribution purposes will be considered to be distribution activities. Consequently, assets associated with activities that enable the conveyance of electricity for distribution purposes will be considered to be distribution assets.

2.1.1	Distribution Activities

The following activities are generally considered to be distribution activities:

(a)	Operation and management of the distribution system;

(b)	Meter reading services (including verification, testing, approval, installation and removal services);

(c)	Billing and Collection services;

(d)	Line clearing services;

(e)	Repair and Maintenance for the distribution lines and facilities;

(f)	Planning, Design and Construction of distribution lines and facilities (including system planning and load forecasting services);

(g)	General administrative support services (including corporate services such as management, payroll, regulatory compliance service etc.);

(h)	Telecommunications services for electricity distribution (e.g. SCADA);

(i)	Energy efficiency services that are approved by the Board (including Demand Side Management programs);

(j)	Customer care services (including call centre services);

(k)	Energy education services;

(l)	Services required under other Board codes or guidelines;

(m)	Other service(s) that satisfy the definition in section 2.1.

It should be noted that distribution utilities have the option but not the obligation (except those specifically required by the legislation or other Board codes and guidelines) to undertake the activities listed above.

2.2	Definition of Non-Utility Activities and Assets

Activities that are performed for purposes other than that of enabling the conveyance of electricity for distribution purposes will be considered to be non-utility activities. Consequently, assets associated with such activities will be considered to be non-utility assets.

2.2.1	Non-Utility Activities

The following activities are not considered to be distribution activities:

(a)	Street Lighting services;

(b)	Renting or selling of hot water heaters;

(c)	Renting of sentinel lights;

(d)	Water and sewer services;

(e)	Electricity generation;

(f)	Electricity transmission; and

(g)	Other services that do not satisfy the definition in section 2.1.

3.0	Allocation of Joint Use Assets

3.1	Allocation Policy

To determine the initial rate base for the first generation PBR, and for regulatory purposes in general, the utility should develop an allocation policy to separately account for costs related to distribution activities and assets from those that are non-utility related. This will help ensure that there is no cross-subsidization between the regulated and non-regulated lines of business within the utility.

The method of separating the costs of activities and assets should be calculated in accordance with a reasonable method of determining a fair and equitable separation that would best reflect the "used and useful" principle and Separation of Costs Method below. The allocation method should be documented, and the documentation should be available for Board review.

3.2	Used and Useful Principle

The utility should follow the "used and useful" principle in developing its policies and procedures for allocating costs. Under this principle, the portion of joint activities or assets that are used and useful in the distribution of electricity should be allocated to distribution activities and assets.

3.3	Separation of Costs Method

The amounts removed from the integrated rate base, actual or notional, should be based on net book value.

Part II

Rate Base Calculation - Initial Filing

For utilities that were subject to reporting using the AAccounting for Municipal Electric Utilities In Ontario@ manual, as prescribed by Ontario Hydro, the rate base will be calculated using the information in the tables below. For all other utilities, information similar to that provided herein should be filed with the Board for purposes of the rate base calculation.

Rate base is defined as the net fixed assets at year-end plus a working capital allowance. The working capital allowance to be included in the rate base for first generation PBR is 15% of the sum of the cost of power and controllable expenses. Controllable expenses are defined as the sum of Operations and Maintenance, Billing and Collection, and Administration expenses.

The tables below are provided to demonstrate the applicable accounts that would be considered in the calculation of net fixed assets and working capital. The series "A" tables are applicable to the initial filing (in year 2000) and the series "B" tables are applicable to subsequent filings.

Initial filing (year 2000)

The following tables must be completed and submitted as part of the initial filing:

a)	Table A.1 Listing of all assets prior to separation

-	lists all asset accounts, prior to separation of the Distribution "wires only" activities from the non-utility activities, relevant to the net fixed assets calculation.

b)	Table A.2 Listing of accounts, prior to separation, relevant to the working capital calculation

c)	Table A.3 Listing of Distribution "wires-only" asset accounts and rate base calculation

-	lists the Distribution "wires only" asset accounts to be included in the Rate Base calculation in accordance with the guidelines provided earlier in this appendix. It is the responsibility of the utility to ensure the completeness and accuracy of the information submitted to the Board.

d)	Table A.4 Listing of Distribution "wires-only" accounts related to the working capital calculation

- lists the Distribution "wires only" accounts, related to the working capital calculation, to be included in the Rate Base, in accordance with the guidelines provided earlier in this appendix. It is the responsibility of the utility to ensure completeness and accuracy.

Table A.1	Listing of all assets prior to separation
Account Number	Account Name

Year End Amount
Assets (other than Construction in Progress)
10	Land
15	Land Rights
20	Buildings and Fixtures - Brick, Stone, Concrete and Steel
25	Buildings and Fixtures - Other Construction
30	Generating Stations
40	Transmission Lines on Wood Poles
50	Municipal Transformer Station Equipment - Above 50 kV
55	Municipal Distribution Station Equipment - Below 50 kV
60	Subtransmission Feeders - Overhead
65	Subtransmission Feeders - Underground
70	Distribution Lines and Feeders - Overhead
75	Distribution Lines and Feeders - Underground
80	Distribution Transformers
90	Distribution Meters
110	General Office Equipment
115	Computer Equipment - Hardware
120	Stores Warehouse Equipment
125	Leasehold Improvements
130	Rolling Stock and Equipment
140	Miscellaneous Equipment, Major Tools and Instruments
150	Water Heater Rental Units
151	Load Management Controls - Customers Premises
152	Load Management Controls - Utility Premises
153	System Supervisory Equipment
Table A.1	Listing of all assets prior to separation (Continued)
Assets (other than Construction in Progress) (Continued)
155	Sentinel Lighting Rental Units
Accumulated Depreciation/Amortization
405	Accumulated Depreciation	-	Buildings and Fixtures - Brick,
Stone and Masonry
410	Accumulated Depreciation	-	Buildings and Fixtures - Other	Construction
415	Accumulated Depreciation	-	Generating Stations
420	Accumulated Depreciation	-	Transmission Lines on Wood Poles
425	Accumulated Depreciation	-	Municipal Transformer Station	Equipment
430	Accumulated Depreciation	-	Municipal Distribution Station	Equipment
435	Accumulated Depreciation	-	Subtransmission Feeders -
Overhead
436	Accumulated Depreciation	-	Subtransmission Feeders -
Underground
440	Accumulated Depreciation	-	Distribution Lines and Feeders -	Overhead
445	Accumulated Depreciation	-	Distribution Lines and Feeders -	Underground
450	Accumulated Depreciation	-	Distribution Transformers
455	Accumulated Depreciation	-	Distribution Meters
480	Accumulated Depreciation	-	General Office Equipment
481	Accumulated Depreciation	-	Computer Equipment - Hardware
482	Accumulated Depreciation	-	Stores Warehouse Equipment
483	Accumulated Depreciation	-	Rolling Stock and Equipment
484	Accumulated Depreciation	-	Miscellaneous Equipment, Major	Tools and Instruments
485	Accumulated Depreciation	-	Water Heater Equipment
486	Accumulated Depreciation	-	Load Management Controls -	Customer Premises
487	Accumulated Depreciation	-	Load Management Controls -

Utility Premises
488	Accumulated Depreciation	-	System Supervisory Equipment
489	Accumulated Depreciation	-	Sentinel Lighting Equipment
490	Accumulated Amortization	-	Land Rights
491	Accumulated Amortization	-	Leasehold Improvements
Table A.2	Listing of Accounts, prior to separation, relevant to the Working Capital Calculation
Account Number	Account Name

Year End Amount
Cost of Power
1010	Power Purchased
1015	Cost of Power - Adjustments
Operations and Maintenance
1021	Hydraulic Generating Station - Operating Labour
1022	Hydraulic Generating Station - Operating Supplies and Expenses
1024	Hydraulic Generating Station - Maintenance of Equipment
1025	Hydraulic Generating Station - Maintenance of Buildings and Fixtures
1031	Diesel Generating Station - Operating Labour
1032	Diesel Generating Station - Operating Supplies and Expenses
1033	Diesel Generating Station - Operating Fuel
1034	Diesel Generating Station - Maintenance of Equipment
1035	Diesel Generating Station - Maintenance of Buildings and Fixtures
2011	Transmission Lines - Operation
2014	Transmission Lines - Maintenance
2015	Transmission Right of Way - Maintenance
4011	Municipal Transformer Station Equipment	-	Operating Labour
4012	Municipal Transformer Station Equipment	-	Operating Supplies
and Expenses
4014	Municipal Transformer Station Equipment	-	Maintenance of	Equipment
4015	Municipal Transformer Station Equipment	-	Maintenance of	Buildings and Fixtures
4021	Subtransmission Feeders - Operation
4024	Subtransmission Feeders - Maintenance
4031	Municipal Distribution Station Equipment	-	Operating Labour
4032	Municipal Distribution Station Equipment	-	Operating Supplies
and Expense
4034	Municipal Distribution Station - Maintenance of Equipment
Table A.2	Listing of Accounts, prior to separation, relevant to the Working Capital Calculation (Continued)
Operations and Maintenance (Continued)
4035	Municipal Distribution Station	-	Maintenance of
Buildings and
Fixtures

5011	Overhead Distribution Lines and Feeders	-	Operating Labour
5012	Overhead Distribution Lines and Feeders	-	Operating Supplies
and Expenses
5013	Overhead Distribution Lines and Feeders - Rentals Paid
5014	Overhead Distribution Lines and Feeders - Maintenance
5015	Overhead Distribution Lines and Feeders - Tree Trimming
5051	Underground Distribution Lines and Feeders - Operating Labour
5052	Underground Distribution Lines and Feeders	-	Operating Supplies	and Expense
5053	Underground Distribution Lines and Feeders - Rentals Paid
5054	Underground Distribution Lines and Feeders - Maintenance
5061	Distribution Transformers - Operation
5064	Distribution Transformers - Maintenance
5091	Distribution Meters - Operation
5094	Distribution Meters - Maintenance
6051	Customer Premises - Labour
6054	Customer Premises - Maintenance
6061	Water Heater Rentals - Labour
6064	Water Heater Rentals - Maintenance
6071	Water Heater Controls - Labour
6074	Water Heater Controls - Maintenance
6081	Sentinel Light Rentals - Labour
6084	Sentinel Light Rentals - Maintenance
7011	Energy Conservation
7012	Community Safety Program
7013	Community Relations - Sundry

Table A.2	Listing of Accounts, prior to separation, relevant to the Working Capital Calculation (Continued)
Billing and Collecting
7021	Meter Reading
7024	Billing
7027	Collecting
7028	Cash Over and Short
Administration
8011	Commissioners' Salaries and Expenses
8012	General Officers' Salaries and Expenses
8013	General Office Salaries and Expenses
8014	Miscellaneous General Expenses
8015	General Office Building Operation and Maintenance

Calculation of Net Fixed Assets , Distribution "Wires only" Assets and Rate Base Calculation

The total of the year end amounts in the following accounts (as applicable) will be used to calculate the Anet fixed assets@ for the initial filing.

The following accounts contain assets that are considered to be essential to enable the conveyance of electricity for rate-making purposes in accordance with the guidelines in Part I of this appendix. Note that for the purpose of this calculation any asset that is used for both Distribution and Non-Utility purposes must be prorated between the uses and only the applicable portion related to Distribution should be included here. The method of allocation should be reasonable and documented. The documentation should be available for Board review.

Table A.3	Listing of Distribution "wires only" Asset Accounts and Rate Base Calculation
Account Number	Account Name

Year End Amount
Assets (other than Construction in Progress)
10	Land
15	Land Rights
20	Buildings and Fixtures - Brick, Stone, Concrete and Steel
25	Buildings and Fixtures - Other Construction
55	Municipal Distribution Station Equipment - Below 50 kV
60	Subtransmission Feeders - Overhead (Related to lines below 50 kV)
65	Subtransmission Feeders - Underground

(Related to lines below 50 kV)
70	Distribution Lines and Feeders - Overhead
75	Distribution Lines and Feeders - Underground
80	Distribution Transformers
90	Distribution Meters
110	General Office Equipment
115	Computer Equipment - Hardware
120	Stores Warehouse Equipment
125	Leasehold Improvements
130	Rolling Stock and Equipment
140	Miscellaneous Equipment, Major Tools and Instruments
151	Load Management Controls - Customers Premises
152	Load Management Controls - Utility Premises
153	System Supervisory Equipment
16x	Other amounts not listed above - please provide details

Total A (sum of accounts 10 to 16x above)

Table A.3 Listing of Distribution "wires only" Asset Accounts and Rate Base Calculation (continued)
Accumulated Depreciation/Amortization
405	Accumulated Depreciation	-	Buildings and Fixtures - Brick, Stone	and Masonry
410	Accumulated Depreciation	-	Buildings and Fixtures - Other	Construction
430	Accumulated Depreciation	-	Municipal Distribution Station	Equipment
435	Accumulated Depreciation	-	Subtransmission Feeders - Overhead

(Related to lines below 50 kV)

436	Accumulated Depreciation	-	Subtransmission Feeders -
Underground (Related to lines below	50 kV)
440	Accumulated Depreciation	-	Distribution Lines and Feeders -	Overhead
445	Accumulated Depreciation	-	Distribution Lines and Feeders -	Underground
450	Accumulated Depreciation - Distribution Transformers
455	Accumulated Depreciation - Distribution Meters
480	Accumulated Depreciation - General Office Equipment
481	Accumulated Depreciation - Computer Equipment - Hardware
482	Accumulated Depreciation - Stores Warehouse Equipment
483	Accumulated Depreciation - Rolling Stock and Equipment
484	Accumulated Depreciation	-	Miscellaneous Equipment, Major
Tools and Instruments
486	Accumulated Depreciation	-	Load Management Controls -
Customer Premises
487	Accumulated Depreciation	-	Load Management Controls - Utility	Premises
488	Accumulated Depreciation - System Supervisory Equipment
490	Accumulated Amortization - Land Rights
491	Accumulated Amortization - Leasehold Improvements
49x	Other amounts not listed above - please provide details
Total B (sum of accounts 405 to 49x above)
Total Net Fixed Assets for Year 2000 Filing (Total A - Total B)
Working Capital Allowance (from Table A-4 below)
Total Rate Base for Initial Filing

The following table, provided for the benefit of the utility, lists assets that are generally not considered necessary for the conveyance of electricity for rate-making purposes and consequently not considered to be Distribution-related assets in accordance with the guidelines provided in Part I of this appendix. Note that for the purpose of the net fixed asset calculation, any asset listed below that is used for both Distribution and Non-Utility purposes must be prorated between the uses and the portion related to Distribution should be included in Table A.3 under "Other amounts not listed above" as applicable. The method of allocation should be reasonable and documented. The documentation should be available for Board review. Details for any other amounts included should also be provided.

Non-Utility Assets/Assets Not Included in Rate Base Calculation
Account Number	Account Name
30	Generating Stations
40	Transmission Lines on Wood Poles
50	Municipal Transformer Station Equipment - Above 50 kV
60	Subtransmission Feeders - Overhead (Related to above 50 kV)
65	Subtransmission Feeders - Underground (Related to above 50 kV)
150	Water Heater Rental Units
155	Sentinel Lighting Rental Units
160	Construction in Progress
415	Accumulated Depreciation Generating Stations
420	Accumulated Depreciation Transmission Lines on Wood Poles
425	Accumulated Depreciation Municipal Transformer Station Equipment
435	Accumulated Depreciation - Subtransmission Feeders - Overhead

(Related to above 50 kV)

436	Accumulated Depreciation - Subtransmission Feeders - Underground

(Related to above 50 kV)
485	Accumulated Depreciation - Water Heater Equipment
489	Accumulated Depreciation - Sentinel Lightning Equipment

Working Capital Allowance calculations, Distribution "Wires only" Accounts

The total of amounts in the following accounts (as applicable) will be used to calculate the "working capital allowance" for the initial filing.

Account Number	Account Name
Year End Amount Balance un t n t
Cost of Power
1010	Power Purchased
1015	Cost of Power - Adjustments
Operations and Maintenance
4021	Subtransmission Feeders - Operation (Related to lines below 50 kV)
4024	Subtransmission Feeders - Maintenance

(Related to lines below 50 kV)
4031	Municipal Distribution Station Equipment - Operating Labour
4032	Municipal Distribution Station Equipment	-	Operating Supplies and	Expense
4034	Municipal Distribution Station - Maintenance of Equipment
4035	Municipal Distribution Station	-	Maintenance of Buildings and	Fixtures
5011	Overhead Distribution Lines and Feeders - Operating Labour
5012	Overhead Distribution Lines and Feeders	-	Operating Supplies
and Expenses
5013	Overhead Distribution Lines and Feeders - Rentals Paid
5014	Overhead Distribution Lines and Feeders - Maintenance
5015	Overhead Distribution Lines and Feeders - Tree Trimming
5051	Underground Distribution Lines and Feeders - Operating Labour
5052	Underground Distribution Lines and Feeders	-	Operating Supplies	and Expenses
5053	Underground Distribution Lines and Feeders - Rentals Paid
5054	Underground Distribution Lines and Feeders - Maintenance
Table A.4 Listing of Distribution "wires-only" Accounts related to the Working Capital Calculation (Continued)
Operations and Maintenance (Continued)
5061	Distribution Transformers - Operation
5064	Distribution Transformers - Maintenance
5091	Distribution Meters - Operation
5094	Distribution Meters - Maintenance
6051	Customer Premises - Labour
6054	Customer Premises - Maintenance
7011	Energy Conservation
7012	Community Safety Program
7013	Community Relations - Sundry
Billing and Collecting
7021	Meter Reading
7024	Billing
7027	Collecting
7028	Cash Over and Short
Administration
8011	Commissioners' Salaries and Expenses
8012	General Officers' Salaries and Expenses
8013	General Office Salaries and Expenses
8014	Miscellaneous General Expenses
8015	General Office Building Operation and Maintenance
900x	Other amounts not listed above
Cost of Power and Controllable Expenses: Total
Working Capital Allowance (15% of Total Above)

The following table, provided for the benefit of the utility, lists accounts and related amounts that are generally not considered necessary for the conveyance of electricity for rate-making purposes and consequently not considered to be Distribution-related expenses in accordance with the intent of the guidelines provided in Part I of this appendix. Note that for the purpose of the working capital calculation above, any account listed below that pertains to both Distribution and Non-Utility purposes must be prorated between the uses and the portion related to Distribution should be included in Table A.4 under "Other amounts not listed above".

The method of allocation should be reasonable and documented. The documentation should be available for Board review. Details for any other amounts included should also be provided.

Non-Utility Expenses
Account Number

Account Name
1021	Hydraulic Generating Station - Operating Labour
1022	Hydraulic Generating Station - Operating Supplies and Expenses
1024	Hydraulic Generating Station - Maintenance of Equipment
1025	Hydraulic Generating Station - Maintenance of Buildings and Fixtures
1031	Diesel Generating Station - Operating Labour
1032	Diesel Generating Station - Operating Supplies and Expenses
1033	Diesel Generating Station - Operating Fuel
1034	Diesel Generating Station - Maintenance of Equipment
1035	Diesel Generating Station - Maintenance of Buildings and Fixtures
2011	Transmission Lines - Operation
2014	Transmission Lines - Maintenance
2015	Transmission Right of Way - Maintenance
4011	Municipal Transformer Station Equipment - Operating Labour
4012	Municipal Transformer Station Equipment - Operating Supplies and Expenses
4014	Municipal Transformer Station Equipment - Maintenance of Equipment
4015	Municipal Transformer Station Equipment	-	Maintenance of Buildings and	Fixtures
4021	Subtransmission Feeders - Operation (Related to lines above 50 kV)
4024	Subtransmission Feeders - Maintenance (Related to lines above 50 kV)
6061	Water Heater Rentals - Labour
6064	Water Heater Rentals - Maintenance
6071	Water Heater Controls - Labour
6074	Water Heater Controls - Maintenance
6081	Sentinel Light Rentals - Labour
6084	Sentinel Light Rentals - Maintenance

Part III

Rate Base Calculation - Subsequent Filings

Rate base is defined as the net fixed assets at year end plus a working capital allowance. The working capital allowance to be included in the rate base for first generation PBR is 15% of the sum of the cost of power and controllable expenses. Controllable expenses are defined as the sum of Operations and Maintenance, Billing and Collection, and Administration expenses.

Subsequent filings (years 2001 and 2002)

The following tables are to be used to calculate the rate base for the regulated distribution "wires only" activities. Consequently, the following two tables must be completed and submitted as part of the subsequent filings.

a)	Table B.1 Listing of Distribution "wires-only" asset accounts

-	lists the Distribution "wires only" asset accounts to be included in the Rate Base calculation in accordance with the guidelines provided earlier in this appendix. It is the responsibility of the utility to ensure the completeness and accuracy of the information submitted to the Board.

b)	Table B.2 Listing of Distribution"wires-only" accounts related to the working capital calculation .

- lists the Distribution "wires only" accounts, related to the working capital calculation, to be included in the Rate Base in accordance with the guidelines provided earlier in this appendix. It is the responsibility of the utility to ensure the completeness and accuracy of the information submitted to the Board.

Calculation of Net Fixed Assets, Distribution "wires-only" Assets

The total of the year end amounts in the accounts below (as applicable) will be used to calculate the Anet fixed assets@ for subsequent filings.

The accounts contain assets that are considered to be essential to enable the conveyance of electricity for rate-making purposes in accordance with the guidelines provided in Part I of this appendix. Note that for the purpose of this calculation any asset that is used for both Distribution and Non-Utility purposes must be prorated between the uses and only the applicable portion related to Distribution should be included here. The method of allocation should be reasonable and documented. The documentation should be available for Board review.

Table B.1 Listing of Distribution "wires-only" asset accounts

Year End Amount
Detailed Asset Accounts (other than Construction in Progress)
A. Intangible Plant
1608	Franchises and Consents
D. Distribution Plant
1805	Land
1806	Land Rights
1808	Buildings and Fixtures
1810	Leasehold Improvements
1820	Distribution Station Equipment - Normally Primary below 50 kV
1825	Storage Battery Equipment
1830	Poles, Towers and Fixtures
1835	Overhead Conductors and Devices
1840	Underground Conduit
1845	Underground Conductors and Devices
1850	Line Transformers
1855	Services
1860	Meters
E. General Plant
1905	Land
1906	Land Rights
1908	Buildings and Fixtures
1910	Leasehold Improvements
1915	Office Furniture and Equipment
1920	Computer Equipment - Hardware
1925	Computer Software
1930	Transportation Equipment

Table B.1 Listing of Distribution "wires-only" asset accounts (Continued)
E. General Plant
1935	Stores Equipment
1940	Tools, Shop and Garage Equipment
1945	Measurement and Testing Equipment
1950	Power Operated Equipment
1955	Communication Equipment
1960	Miscellaneous Equipment
1970	Load Management Controls - Customer Premises
1975	Load Management Controls - Utility Premises
1980	System Supervisory Equipment
1990	Other Tangible Property
1995	Contributions and Grants - (Credit)
Other Capital Assets
2005	Property Under Capital Leases
2010	Electric Plant Purchased or Sold
2050	Completed Construction Not Classified--Electric
205X	Other amounts not listed above – please provide details
Total (A)(Total of Accounts 1606 to 205X above)
Accumulated Amortization
2105	Accumulated Amortization of Electric Utility Plant - Property,

Plant, and Equipment (Distribution related assets only)
2120	Accumulated Amortization of Electric Utility Plant - Intangibles

Equipment (Distribution related assets only)
212X	Other amounts not listed above – please provide details
Total (B) (Total of Accounts 2105 to 212X above)
Total Net Fixed Assets Subsequent Filing (Total A - Total B)
Working Capital Allowance (From Table B.4)
Total Rate Base for Subsequent Filings

The following table, provided for the benefit of the utility, lists assets that are generally not considered necessary for the conveyance of electricity for rate-making purposes and consequently not considered to be Distribution related assets in accordance with the guidelines provided in Part I of this appendix. Note that for the purpose of the net fixed asset calculation, any asset listed below that is used for both Distribution and Non-Utility purposes must be prorated between the uses and the portion related to Distribution should be included in Table B.1 under "Other amounts not listed above". The method of allocation should be reasonable and documented. The documentation should be available for Board review. Details for any other amounts included should also be provided.

Non-Utility assets / Assets not part of Rate Base Calculation
Account	Account Name
1606	Organization
1610	Miscellaneous Intangible Plant
1615	Land
1616	Land Rights
1620	Buildings and Fixtures
1630	Leasehold Improvements
1635	Boiler Plant Equipment
1640	Engines and Engine-Driven Generators
1645	Turbogenerator Units
1650	Reservoirs, Dams and Waterways
1655	Water Wheels, Turbines and Generators
1660	Roads, Railroads and Bridges
1665	Fuel Holders, Producers and Accessories
1670	Prime Movers
1675	Generators
1680	Accessory Electric Equipment
1685	Miscellaneous Power Plant Equipment
1705	Land
1706	Land Rights
1708	Buildings and Fixtures
1710	Leasehold Improvements
1715	Station Equipment
1720	Towers and Fixtures
1725	Poles and Fixtures
Non-Utility assets / Assets not part of Rate Base Calculation
Account	Account Name
1730	Overhead Conductors and Devices
1735	Underground Conduit
1740	Underground Conductors and Devices
1745	Roads and Trails
1815	Transformer Station Equipment - Normally Primary above 50 kV
1865	Other Installations on Customers Premises
1870	Leased Property on Customer Premises
1875	Street Lighting and Signal Systems
1965	Water Heater Rental Units
1985	Sentinel Lighting Rental Units
2020	Experimental Electric Plant Unclassified
2030	Electric Plant and Equipment Leased to Others
2040	Electric Plant Held for Future Use
2055	Construction Work in Progress - Electric
2060	Electric Plant Acquisition Adjustment
2065	Other Electric Plant Adjustment
2070	Other Utility Plant
2075	Non-Utility Property Owned or Under Capital Leases
2105	Accumulated Amortization of Electric Utility Plant - Property, Plant, and

Equipment (Non-Utility related assets only).
2120	Accumulated Amortization of Electric Utility Plant - Intangibles Equipment

(Non-Utility related assets only).
2140	Accumulated Amortization of Electric Plant Acquisition Adjustment
2160	Accumulated Amortization of Other Utility Plant
2180	Accumulated Amortization of Non-Utility Property

Working capital allowance calculation, Distribution "wires-only" accounts.

The total amounts in the following accounts (as applicable) will be used to calculate the "working capital allowance" for subsequent filings.

Table B. 2 Listing of Distribution "wires-only" accounts related to the working capital calculation
Account Number	Account Name

Year End Amount
Other Power Supply Expenses
4705	Power Purchased
4710	Cost of Power Adjustments
4715	System Control and Load Dispatching
4725	Competition Transition Expense
4730	Rural Rate Assistance Expense
Distribution Expenses - Operation
5005	Operation Supervision and Engineering
5010	Load Dispatching
5012	Station Buildings and Fixtures Expense
5016	Distribution Station Equipment - Operation Labour
5017	Distribution Station Equipment - Operation Supplies and Expenses
5020	Overhead Distribution Lines and Feeders	-	Operation Labour
5025	Overhead Distribution Lines and Feeders	-	Operation Supplies
and Expenses
5030	Overhead Subtransmission Feeders	-	Operation (related
to lines under 50kV)
5035	Overhead Distribution Transformers	-	Operation
5040	Underground Distribution Lines and Feeders	-	Operation
Labour
5045	Underground Distribution Lines and Feeders	-	Operation
Supplies and	Expenses
5050	Underground Subtransmission Feeders	-	Operation (related to	lines under 50kV)
5055	Underground Distribution Transformers	-	Operation
5065	Meter Expense
5070	Customer Premises - Operation Labour
5075	Customer Premises - Materials and Expenses
5085	Miscellaneous Distribution Expense
Table B. 2 Listing of Distribution "wires-only" accounts related to the working capital calculation (Continued)

Distribution Expenses - Operation (Continued)
5090	Underground Distribution Lines and Feeders - Rental Paid
5095	Overhead Distribution Lines and Feeders - Rental Paid
5096	Other Rent
Distribution Expenses - Maintenance
5105	Maintenance Supervision and Engineering
5110	Maintenance of Structures
5114	Maintenance of Distribution Station Equipment
5120	Maintenance of Poles, Towers and Fixtures

(related to lines under 50kV)
5125	Maintenance of Overhead Conductors and Devices

(related to lines under 50kV)
5130	Maintenance of Overhead Services
5135	Overhead Distribution Lines and Feeders - Right of Way
5145	Maintenance of Underground Conduit (related to lines under 50kV)
5150	Maintenance of Underground Conductors and Devices

(related to lines under 50kV)
5155	Maintenance of Underground Services
5160	Maintenance of Line Transformers
5175	Maintenance of Meters
Other Expenses
5205	Purchase of Transmission and System Services
5210	Transmission Charges
5215	Transmission Charges Recovered
Billing and Collecting
5305	Supervision
5310	Meter Reading Expense
5315	Customer Billing
5320	Collecting
5325	Collecting- Cash Over and Short
5330	Collection Charges
5335	Bad Debt Expense
5340	Miscellaneous Customer Accounts Expenses

Table B. 2 Listing of Distribution "wires-only" accounts related to the working capital calculation (Continued)
Community Relations
5405	Supervision
5410	Community Relations - Sundry
5415	Energy Conservation
5420	Community Safety Program
5425	Miscellaneous Customer Service and Informational Expenses
Administrative and General Expenses
5605	Executive Salaries and Expenses
5610	Management Salaries and Expenses
5615	General Administrative Salaries and Expenses
5620	Office Supplies and Expenses
5625	Administrative Expense Transferred–Credit
5630	Outside Services Employed
5635	Property Insurance
5640	Injuries and Damages
5645	Employee Pensions and Benefits
5650	Franchise Requirements
5655	Regulatory Expenses
5660	General Advertising Expenses
5665	Miscellaneous General Expenses
5670	Rent
5675	Maintenance of General Plant
5680	Electrical Safety Authority Fees
5685	Independent Market Operator Fees and Penalties
568X	Other amounts not listed above – please provide details
Cost of Power and Controllable Expenses: Total
Working Capital Allowance (15% of Total above)

The following table, provided for the benefit of the utility, lists accounts and related amounts that are generally not considered necessary for the conveyance of electricity for rate-making purposes and consequently not considered to be Distribution-related expenses in accordance with the guidelines provided in Part I of this appendix. Note that for the purpose of the working capital calculation above, any account listed below that pertains to both Distribution and Non- Utility purposes must be prorated between the uses and the portion related to Distribution should be included in Table B.2 under "Other amounts not listed above". The method of allocation should be reasonable and documented. The documentation should be available for Board review. Details for any other amounts included should also be provided.

Non-Utility Expenses
Account	Account Name
4505	Operation Supervision and Engineering
4510	Fuel
4515	Steam Expense
4520	Steam From Other Sources
4525	Steam Transferred--Credit
4530	Electric Expense
4535	Water For Power
4540	Water Power Taxes
4545	Hydraulic Expenses
4550	Generation Expense
4555	Miscellaneous Power Generation Expenses
4560	Rents
4565	Allowances for Emissions
4605	Maintenance Supervision and Engineering
4610	Maintenance of Structures
4615	Maintenance of Boiler Plant
4620	Maintenance of Electric Plant
4625	Maintenance of Reservoirs, Dams and Waterways
4630	Maintenance of Water Wheels, Turbines and Generators
4635	Maintenance of Generating and Electric Plant
4640	Maintenance of Miscellaneous Power Generation Plant
4720	Other Expenses
4805	Operation Supervision and Engineering
4810	Load Dispatching
4815	Station Buildings and Fixtures Expenses
4820	Transformer Station Equipment - Operating Labour
4825	Transformer Station Equipment - Operating Supplies and Expense
Non-Utility Expenses
Account	Account Name
4830	Overhead Line Expenses
4835	Underground Line Expenses
4840	Transmission of Electricity by Others
4845	Miscellaneous Transmission Expense
4850	Rents
4905	Maintenance Supervision and Engineering
4910	Maintenance of Transformer Station Buildings and Fixtures
4916	Maintenance of Transformer Station Equipment
4930	Maintenance of Towers, Poles and Fixtures
4935	Maintenance of Overhead Conductors and Devices
4940	Maintenance of Overhead Lines - Right of Way
4945	Maintenance of Overhead Lines - Roads and Trails Repairs
4950	Maintenance of Overhead Lines - Snow Removal from Roads and Trails
4960	Maintenance of Underground Lines
4965	Maintenance of Miscellaneous Transmission Plant
5014	Transformer Station Equipment - Operation Labour
5015	Transformer Station Equipment - Operation Supplies and Expenses
5030	Overhead Subtransmission Feeders – Operation (related to lines over 50kV)
5050	Underground Subtransmission Feeders - Operation (related to lines over 50kV)
5060	Street Lighting and Signal System Expense
5112	Maintenance of Transformer Station Equipment
5120	Maintenance of Poles, Towers and Fixtures (related to lines over 50kV)
5125	Maintenance of Overhead Conductors and Devices (related to lines over 50kV)
5145	Maintenance of Underground Conduit (related to lines over 50kV)
5150	Maintenance of Underground Conductors and Devices (related to lines over 50kV)
5165	Maintenance of Street Lighting and Signal Systems
5170	Sentinel Lights - Labour
5172	Sentinel Lights - Materials and Expenses
5178	Customer Installations Expenses- Leased Property
5185	Water Heater Rentals - Labour
5186	Water Heater Rentals - Materials and Expenses
5190	Water Heater Controls - Labour
5192	Water Heater Controls - Materials and Expenses
5195	Maintenance of Other Installations on Customer Premises