US GAAP for Rate-regulated Utility Companies (2 days)

Course code: 2700

Introduction

The business activities of utility companies are essentially the same as those of other companies that manufacture or distribute a product or provide a service. However, the regulated status of utility companies creates operational and accounting situations particular to these companies. AS C 980 refers to the "economic dimension" which regulation brings to utilities and the need for accounting to reflect that dimension.

Topics

  • Introduction and regulatory framework
  • Regulatory accounting
    • Regulatory assets
    • Regulatory liabilities
    • Deferred pension and other postretirement benefit costs
    • Derivatives
    • Other regulatory accounts
    • Alternative revenue programs and ASC 980-605-25
    • Revenue subject to refund
    • Intercompany profits
  • Utility plant
    • Capitalization issues
    • Allowance for funds used during construction
    • Construction work in progress in Rate Base
    • Depreciation
    • Impairment of long-lived assets
    • Asset retirement obligations (AROs)
    • Environmental obligations
    • Nuclear matters
  • Other utility-specific issues regarding assets and liabilities
    • Investments in nuclear decommissioning trust funds
    • Emission allowances and renewable energy credits
    • Sale and leaseback transactions
    • Income taxes
    • Goodwill
  • Lease Accounting
    • Impact of Regulation on Lease Expense Recognition
    • Presentation of lease expenses
  • Power supply contracts
    • Overall accounting framework
    • Other issues and guidance
  • Accounting issues for derivatives instruments and energy trading contracts
    • Gross versus net presentation
    • Weather derivatives
    • Financial transmission rights
  • Financial statement presentation
    • Income statement
    • Balance sheet
    • Statement of cash flows
    • Notes to financial statements and other classification matters
    • Accounting changes
    • Subsequent events
  • FERC-related accounting issues
    • Internal use computer software

Teaching method

  • Group live instruction with interactive participation encouraged
  • Identification of critical issues in accounting for Rate-regulated utility companies
  • Succinct examples and cases that illustrate classification and accounting for energy-related transactions
  • Presentation and discussion of financial statement disclosures
  • Exercises to illustrate the accounting for risk management transactions (e.g. hedging)
  • All participants receive a comprehensive binder containing copies of the presentation slides, hand-outs and other course materials

Prerequisites

Intermediate understanding of accounting principles based on US GAAP. No other advance preparation is required for this course.

Course benefits

  • Comply with the accounting and disclosure requirements for Rate-regulated utility companies
  • Recognize and appropriately account for regulatory assets and liabilities
  • Understand accounting requirements for energy contracts and other derivatives
  • Apply the rules for power supply contracts
  • Determine when and how to account for depreciation and impairments
  • Learn about presentation and disclosure requirements in financial statements

Testimonials

See what past participants said about this course:

The course really meets specific needs vs other courses which are often too general.

Who should attend?

This course is designed for accountants or financial professionals who seek a comprehensive course in the technical accounting for utility companies.

CPE / CPD Accreditation

NASBA

IASeminars is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org. 


Field of study: Accounting

ICAEW Partner in Learning

IASeminars is proud to have been named as an ICAEW Partner in Learning, working together to offer the ICAEW IFRS Certificate to our clients worldwide. ICAEW (The Institute of Chartered Accountants in England and Wales) is a world leading professional membership organisation that promotes, develops and supports over 145,000 chartered accountants worldwide. CPE certificates obtained from attending IASeminars courses are an ideal way for ICAEW members and others to demonstrate their continuing professional development, provided that the topic is relevant to their learning and development needs.

Texas State Board of Public Accountancy

IASeminars is registered with the Texas State Board of Public Accountancy as a CPE sponsor. Our CPE Sponsor ID is: 009689. This registration does not constitute an endorsement by the Board as to the quality of our CPE Program.

Venue

  • Our Calgary seminars take place in 4 star professional conference facilities, generally in city-centre hotels like the Marriott, Sheraton or Hilton brands. Detailed Joining Instructions are sent to all registered delegates by email approximately one month before the event. The Joining Instructions will confirm exact venue details and nearby (or onsite) hotel recommendations with bedroom rates where available. Coffee and lunch will be provided.

Instructor(s)

  • Richard McCabe

    Richard McCabe (Canada) is a recently retired accounting executive with experience in the utility and energy marketing industries. Richard led his company’s transition from Canadian GAAP to IFRS and provided dual reporting in IFRS and US GAAP, following his company’s recent acquisition by a major US based conglomerate.

    His company was the only Canadian electricity utility that that was able to recognise its regulatory assets and liabilities fully under IFRS. Richard was a participant in witness panels before his company’s regulator to support their biennial rate applications. He was an active member and later the Chair of the Finance and Accounting Committee of the Canadian Electricity Association and was actively involved in the initiative to gain full recognition of a utility’s regulatory assets and liabilities under IFRS.

    As a result of his experience, he was appointed as a member of the Consultative Group to the International Accounting Standards Board on the potential recognition of regulatory assets and liabilities under IFRS. The group has been partially successful to date with the implementation of IFRS 14 and is continuing to work with the IASB towards full recognition.

    Richard is a Chartered Accountant, Scottish and Canadian, and an MBA. Richard has been an Internal Audit Director and a Controller and has held senior positions in the Office of the Auditor General of Alberta and the utility regulator in Alberta, the Alberta Utilities Commission.

In House

To bring this course in-house please contact us and we will be pleased to assist

Course details

Course schedule

Select a start date for more details

31 Oct 2018 Calgary

Course level:
Intermediate
CPE / CPD:
16 hours
Start date:
31 Oct 2018
Start time:
08:00
Finish date:
1 Nov 2018
Finish time:
17:00
Location:
Calgary
Price:
CAD 2,500
Subject to Canadian GST (Read more)
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