- Depreciation Rate Study - Multiple Utility Services
We prepared an electric, gas, water, wastewater and telecommunications system comprehensive depreciation rate study for all utility plant facilities in accordance with local and state requirements and procedures. The project began with an engineering assessment in conjunction with a useful life assessment for all of the assets.
The scope includes observation of major equipment components and systems; interviews with Gainesville Regional Utilities (GRU) management aimed at determining the current condition of major equipment and systems and the present maintenance and operating policies; review of outage reports and other evidence of progressive application of up-to-date technologies and procedures; analysis of depreciation rates and performance of actuarial analysis of the service lives; and calculation of proposed depreciation rates for plant assets by Federal Energy Regulatory Commission (FERC) account code and comparison of the rates to similar utility depreciation rates.
GRU incorporated the depreciation rates contained in the study into their accounting system.
- Property inspections
- Management interviews
- Data review
- Analysis and development of depreciation rates
- Study report and presentation