GU616-97

GU616-97
: BUREAU OF REVENUE REQUIREMENTS
, ELECTRIC & GAS ,1\CCOUNTING
ANNUAL REPORT OF
NATURAL GAS UTILITIES
CHESAPEAKE UTILITIES CORPORATION
WINTERHAVEN, FLORIDA
TO THE
FLORIDA PUBLIC SERVICE COMMISSION
FOR THE
YEAR ENDED DECEMBER 31, 1997
Officer or other person to whom correspondence should be addressed concerning this report:
Title: Accounting & Rates Manager
Name:
Anne V. Wood
City: Winter Haven State: FL
Address:
P.O. Box 960
Telephone No.: 941-293-2125
PSC/AFA 20 ( /97)
ANNUAL REPORT OF NATURAL GAS unLmES
I. Prepare this report In conformity wl1h the UnlfOnn ~of Accounts (18 CFR 201) (U.S. of A.).
Interpret d accounting words and ptvuas In aooordanoe wl1h the U.S. of A.
Enter In whOle runbera (dollar& or Ucf) only, except where o1herwlsa noted. (Enter cants for averages and
figures par unit where cants are inportant.) The truncating of cants Is allowed except on the four basic financial
atataments where rounding mdolln II required. The amounts 8hown on Ill auppor11ng pages must agree
with the anounts .,._ad on the etatamanta that 1h8y support When applying 1hresholds m dat8nnlne
elgnlfioanca for reporting purpo881, u. for belanoa lhHt ecoounts the bal8noes at the and of the current
reporting year, and u. for statement of ncome ICCCJUnts the current year's .-nount:s.
11.
111. Complete each question fully and ICCWitsly, even lit has bean answered In a previous annual report Entar
the word "Nona" where It truiV and oomplataly 81at8a1he fact
rJ. For 8l'f/ page that Is not applioabla mthe respondent, enter the words •Not Applloabla" on the particular page.
V. Provide a auppla'nantal atatamentfurther axplllnlng IICCOUnts or pages as necasaary. Alfach the aupplemental
81atament mthe page being iUpplementad on 8 1/2 b'f 11 Inch paper. Provide the lppropi1ateldentlftcalion Information on the eupplemantal page, Including the title of the page and the page number. Do not change the page
m.mbera.
VI. Do not melee rafarences m rapona of previous yeara or mother repona In lieu of required antrtas, except
as apeclfteally aulhortzed.
VII. Wh8raYer 8Dhadula pages rater m ftglna fmm a praYious year, the fig\n8 reported must be basad upon
tho8B lhown b'f lha IMUIII report of the pr8¥iou8 year, or an appropriate axplanation given as_, why
dll'ferent ftg\ns were used.
VIII. Report al gas 'VOkmas on a pr&aaJre bile of 14.73 pale and a18rnPil'lllUI'8 base of eo-F.
1. Btu per cubic fOot-The~ healing value axpraaaad In Btu, produced b'f the carnbu&lion, at constant
preeue, ~the II11CU1t of the gas whloh would occupy a volume of 1 cubk) foot at a tampendure of GO- F
If 8IIU8t8d with Wltlr vapor and W1der a priSU8 equlvllent tl that of so lnohlsof rn&IO\IY at 82- F,
and l.l1der •ldlrd gravitational force l980.66S em par aac. ~ wllh air of the ana tarnperaU'e and pressure
as the gas, when the piOducta of oombulllon are cooled tl the lnllill tamperature of gas anclllr when the
water tanned b'f CCX'ItKJStlon Is conclen8ad m the liquid Illata. (Sometimes called gross healing value or t)taJ
heating value.)
11.
Respondent The person, corporalion, licansae, agency, autho~. or Other legal ..aty or lnslrwnentalltV
In whole bahllf the report Is made.
Pagel
ANNUAL REPORT OF NATURAL GAS UTILITIES
IDENTIFICATION
~1
Exact l.eglll Name d RMpandent
I03
c
ke U1ilitie8 ~__pur·~ Florida Division
Previous Name and Date of Change (if l'liiTie changed during year)
I04
Adclresa of Principal Office at End of Year (Street, City, State, Zip Code)
02 Year d Report .
1015 8th St N\N., Winter Haven, Florida 33881
05 Name d Contact Penson
December 31 1997
106
Title of Contact Penson
AnneV. Wood
Accounting and Rates Manager
07 Addreu of Coract Person (Street, City, State, Zip Code)
1015 8th St N\N. Winter Haven Florida 33881
p8 Telephoned Coract P.-.on, lnclucllng Area Code
09 Data of Report (Mo, Da, Yr)
[April 3D, 1998
941-299-2883
ATTESTATION
I certify that I am the responsible accounting officer of
Chesapeake Utilities Corporation
that I have examined the following report; that to the best of my knowledge,
Information, and belief, aA statements of fact contained in the said report are true
and the said report is a correct statement of the business and affairs of the abovenamed respondent in respect to each and every 111atter set forth therein during the
period from January 1, 1997 to December 31, 1997, inclusive.
I also certify that all affiliated transfer prices and affiliated cost allocations
were determined consistent with the methods reported to this Commission on the
appropriate forms Included in this report.
I am aware that Section 837.06, Florida Statutes, provides:
Whoever knowingly makes a false statement in writing
with the intent to mislead a public servant in the
performance of his official duty shaD be guilty of a
misdemeanor of the second degree, punishable as provided in
S. 775.082 and S. 775.083.
l...\[l.,£:~'l
Date
Michael P. McMasters
~
~ -~~
Signature
VICe President1 Treasurer & Chief Financial Officer
Title
Name
Page 1
Chesapeake Utilities Corporation
Dec.31.1997
General Information
Control Over Respondent
CorporatJona Controlled By Respondent
Offlcera
Directors
Security Holders and Voting Powera
lmportMI Changa During the Year
Comparative Balance Sheet
Statement of Income for the Year
Statement of Retained Earnings for the Year
Statement of Cash Flows
Notes to Rnanclal Statements
4
5
6
7
8
9
10.1
12-1
15-1
17-1
19
BALANCE SHEET SUPPORTING SCHEDULES
Gas Operating Revenues
Residential and Commercial Space Heating Customers
Interruptible, Off Peak, and Firm Sales to Olatrlbutlon
System Industrial Customers
Gas Operation and Maintenance Expenaea
Number of Gas Department Employees
Gas Purchases
Gas Used In UtUity Operations - Credit
Other Gas Supply Expenses
Miscellaneous General Expenses - Gas
Depreciation, Depletion, and Amortization of Gas Plant
Particulars Concerning Certain Income Deduction and
Interest Charges Accounts
Regulatory Commlaalon Expenses
Distribution of Salaries and Wages
Charges for Outside Prof. and Other Consultative Serlcea
(Assets And Other Debita)
Summary of UUIIty Plant and Accum. Prov. for
Depreciation, Amortization, and Depletion
Gas Plant In Service
Accumulated Depreciation & Amortization
Contltructlon Work In Progress - Gaa
Conatruotlon OVerheads - Gas
Conatructlon OVerhead Procedure
Accum. Prov. for Depreciation of Gas Utility Plant
Prepaymenta
Extraordinary Property Loaaea
Unrecovered Plant and Regulatory Study Coats
Other Regulatory AaiMQ
Miscellaneous Deferred Debita
Accum. Deferred Income Taxes
28
29
30
31
32
32
32
34
35
REGULATORY ASSESSMENT FEE
Reconciliation of Gross Operating Revenues Annual Report versus Regulatory Aaaeaament Fee Return
(Liabilities and other Credits)
Capital Stock Subscribed, Capital Stock Liability
for Conversion Premium on Capital Stock,
and Secu~ Issued or Assumed and Securities
Refunded or Retired During the Year
Long-Term Debt
Unamortized Debt Exp., Premium and Discount
on Long-Term Debt
Unamortized Loss and Gain on Reacquired Debt
Reconciliation of Reported Net Income with
Taxable Income for Federal Income Taxes
Taxes Accrued, Prepaid and Charged During Year
Accumulated Deferred Investment Tax Credits
Mlscellaneoua CUrrent and Accrued Liabilities
Other Deferred Credits
Accumulated Deferred Income Taxes
Other Regulatory Liabilities
DIVERSIFICATION ACTIVITY
40
41
42
43
43
44
45
Corporate Structure
New or Amended Contracts with Affiliated Companies
Individual Affiliated Transactions In Exceaa of $25,000
Summary of Affiliated Transfers and Colt Allocatlona
Aaaeta or Rights Purchased from or Sold to Affiliates
Employee Transfers
61
Dec.31 1997
GENERALINFORMATION
Michael P. McMasters-VIce President, Treasurer & Chief Financial Officer
1015 6th St tNol, Winter Haven, Florida 33881
1514 S. Alexander Street, Plant City, Florida 33566
909 Silver Lake Blvd., Dover, Delaware 19901
State of Delaware-1947
N/A
operated.
ClassB
5. Have you engaged as the principal accountant to audit your financial statements an accountant who is not the principal
accountant for your previous year's certified financial statements?
No
Page3
INameor
For the Year Ended
....
jchesapeake Utilities Corporation
Dec. 31 1997
CONTROL OVER RESPONDENT
1. If any corporation, tx.1neu tn..t, or similar organiZIItlon or
jcomblnation of auch organlzationa jointly held control over the
espondent at end of yam-, Mate name of controlling corporation
~ organization, manner In which control waa held, and extent of
Fontrol. If control WM In a holding company organizltion, ehow
~ chain of ownerehlp or control to the main p!ll'lri oompeny or
~nizatlon. If control waa held bv a trultee (a), ltate name of
tru1tee {a), name of beneficiary or benefiCiariea for whom tn..t
waa maintained, and purpoae of the truet.
2. If the above required Information Ia available from the SEC
10K Report Fonn filing, a apeclflc reference to the report fonn
{I.e. yam- and company title) may be lleted provided the rtac:.l
~ for both the 10-K report and this report are compatible.
N/A
Page4
~ortne Year Ended
!Name of Responaent
Chesapeake Utilities Corporation
Dec.31, 1997
CORPORATIONS CONTROLLED BY RESPONDENT
1. Report below the names of all corporations, business trusts,
and simHar organizations, controlled directly or indirectly by
espondent at any time during the year. If control ceased prior
jto end of year, give particulars (details) in a footnote.
12. If control was by other means than a direct holding of voting
rights, state in a footnote the manner in which control was
held naming any intermediaries involved.
3. If control was held jointly with one or more other interests,
state the fact in a footnote and name the other interests.
4. If the above required information is available from the SEC
1O-K Report Form filing, a specific reference to the report form
(i.e. year and company title) may be listed in column (a) provided
the fiscal years for both the 1O-K report and this report are
compatible.
DEFINITIONS
1. See the Uniform System of Accounts for a definition of
~ontrol.
12. Direct control is that which is exercised without
interposition of an intermediary.
3. Indirect control is that which is exercised by the interposition
of an intermediary which exercises direct control.
14. Joint control is that in which neither interest can effectively
control or direct action without the consent of the other, as
where the voting control is equally divided between two holders,
or each party holds a veto power over the other. Joint control
may exist by mutual agreement or understanding between two or
more parties who together have control within the meaning of the
definition of control in the Uniform System of Accounts,
reaardless of the relative votina riahts of each partv.
Name of Company Controlled
Kind of Business
Percent Voting
Stock Owned
(a)
(b)
(c)
Chesapeake Utilities Corporation
Diversified Energy Services Company
PageS
100%
Footnote
Ref.
(d)
!Name of Respondent
Ptesapeake Utilities Corporation
For the Year Ended
Dec.31, 1997
OFFICERS
1. Report below the name, tiUe .,d salary for each executive
officer whose 88laly is $50,000 or more. An "executive officer" of
a respondent includes liB president, secretary, treasurer, and vice
president in ctwge of a principal business ri, division or tunction (such • sale&, ~iniatration or finance), and any other
person who performs similar policymaking fl.rlctions.
2. If a change was made during the year in the incumbent of
Line
No.
1
2
3
4
5
8
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
any position, show name and total remuneration of the previous
incumbent, and date the change in incumbency was made.
3. Utilities which are required to file the same data with the
Securities and Exchange Commission, may substitute a copy of
item 4 of Regulation S-K (identified as this page). The
substituted page(s) should be the same size as this page.
Title
(a)
Name of Officer
(b)
Chalrm.,, CEO
President, COO
Vice-President, Treasurer, and CFO
Vice-President of Marketing
Vice-President of Natural Gas
Secretary
V~ee-President, Asst. Tre&sLU"er, Asst. Secretary
Ralph J. Adkins
John R. Schimkaitis
Michael P. McMasters
PhHip S. Barefoot
Steven C. Thompson
Wayne L. Hart
William C. Boyles
Jeremy D. West
Beth W. Cooper
V~ee-President
Assistant Treasurer
Note: The salaries above represent only that portion alloca ed to the Florida Division.
36
37
38
39
40
41
42
43
44
45
48
47
48
49
50
51
Page6
Salary for Year
(c)
$58,669
$40,357
$10,969
$20,472
$14,968
$10,601
$17,611
$14,305
$10,275
!Name of Respondent
Chesapeake Utilities Corporation
For the Year Ended
Dec.31, 1997
DIRECTORS
1. Report below the information called for concerning each
director of the respondent who held office at any time during the
year. Include in column (a) abbreviated tiUes of the directors
who are ofticers of the respondent.
Name (and Title) of Director
(a)
Ralph J. Adkins, Chairman of Board, CEO
John R. Schimkaitls, President, COO
John W. Jardine, Jr., Director
Jeremiah P. Shea, Director
Robert F. Rider, Director
Wiliam G. Warden Ill, Director
Rudolph M. Peins, Jr., Director
Waler J. Coleman, Director
Richard Bernstein, Director
Richard Bernstein, Director
2. Designate members of the Executive Committee by an
asterisk and the Chairman of the Executive Committee by
a double asterisk.
No. of
Directors
Meetings
During Yr.
(cj
Principal Business Address
(bl
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
909 Silver Lake Blvd,
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Dover Delaware
Note: The fees above represent only that
portion allocated to the Florida Division.
Page7
19901
19901
19901
19901
19901
19901
19901
19901
19901
Fees During
Year
(d)
9
9
19
19
11
18
15
12
11
officer
officer
$3,841.04
$3,841.04
$2,m.04
$3,689.04
$3,385.04
$2,929.04
$2,m.04
For the Year t:naea
Dec. 31 1997
SECURITY HOLDERS AND VOTING POWERS
1. Give the names and addre&&eS of the 10 security holders of the
espondenta who, at the date of the latest cloelng of the stock book or
compilation of the list of stockholders of the respondent, prior to the end
~f the year, had the highest voting paMirS in the respondent, and state
~ number of votes which each would have had the right to cast on that
~elf a meeting were in order. If any such holder held In trust, give
n a footnote the knoiNn particulars of the trust (whether voting trust, etc.)
~ of the trust, and principal holders of beneficiary lrUreats In the
rust. If the stock book was not cloaed or a list of atockholders was not
complied within one year prior to the end of the year, or If since the
......!... - compiiMion of a list of atockholdera, some other clua of
~ has become vested with voting rights, then lhow such 10 security
holderS as of the cloM of the year. Arrange the namea of the security
holders In the order of voting power, commencing wllh the highest. Show
n column (a) the titles of offlcera and directors Included In such Hst of 10
security holders.
2. If any security other than stock carries voting rights, explain in a IIUP,...... -·- statement of clrcumslancas whereby such security became
~ed with voting rights and
1. Give date of the latest closing of the stock
~ prior to the end year, and state the purpose
~f such
cloelng:
give other important particulars (details) concerning the
voting rights of such security. State whether voting rights
are actual or contingent: if contingent, describe the contingency.
3. If any class or Issue of security has any special
privilege& In the election of directons, trustees or managers,
or in the determination of corporate action by any method,
explain briefly in a footnote.
4. Furnish particulars (details) concerning any options,
warrants, or rights outstanding at the end of the year for
others to purchase securities of the respondent or any
securities or other assets owned by the respondent, including
prlcee, expiration datea, and other material Information relating
to exercise of the options, warrants, or rights. Specify the
~of~hsecurltiesor-a~~tobe~
by any officer, director, asaociated company, or any of the
ten largest I8CUrity holders. This instruction Ia inappiicabie
to convertible securities or to any securities~ aU
of which are outstanding in the hands of the general public
where the options, warrants or rights were luued on a
prorata basis.
2. State the total number of votes caat at the
latest general meeting prior to the end of year
for the election of directors of the respondents
and number of such votea cast by proxy.
3. Give the date and
place of such meeting:
Total:
By Proxy:
VOTING SECURITIES
Number of votes as of (date):
Une
No.
4
Name (Title) and Address of Security Holder
Total
Votes
Common
Stock
(a)
(b)
(c)
TOTAL votes of aH voting eecurlties
5 TOTAL number of security holders
6 TOTAL votea of security holders listed below
7
8
9 Shareholder lnfonnatlon may be obtained through:
10
11 W.L. Hart, Secretary
12 909 Silver Lake Boulevard
13 Dover, Delaware 19901
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
PageS
Preferred
Stock
(cl}
Other
. (e)
Dec.31, 1997
IMPORTANT CHANGES DURING THE YEAR
~
development, purchase contrec:t or othelwlle, giving location and
eppi'Oidmete total gas volumes available, period of contracts, and other
parties to any such arrangements etc.
6. Obllptions Incurred or assumed by respondent u guarantor for the
perfonnence by another of any agreement or obligation, Including
ordinary commercial paper maturing on demand or not l8ter than one
yur after date of luue: State on behalf of whom the obligation wu
uaumed end amount of the obligation. Give reference to Commission
authoriDtlon If any was required.
7. Changes In articles of lncorporetlon or amendments to charter: Explain
the nature end purpose of such changes or amendments.
State the estimated annual el'fect and nature of any impoltant wage
scale changes during the yur.
9. State brlelly the status of any materially Important legal
proceedings pending at the end of the year, and the results
of any such proceedings culminated during the year.
10. State briefly the status of any materially Important transactions of the
respondent not dlsdosed elsewhere in this report In which an officer,
director, security holder reported on page 8, voting trustee, associated
company or known associate of any of these persons wu a party or in
which 8Ift such person had a material interest.
11. Estimate lncreue or decrease In annual revenues due to Important
rete changes: State effective rate and approximate amount of Increase or
decrene from each revenue classification. State the number of customers
elfected.
12. If the Important changes during the year relating to the respondent
company appearing In the annual report to stockholders are appllcllble In
every respect and furnish the data required by Instruction 1 to 11 above,
such notes me be attached to this
(cleWs) conc.mlng the matters lndicllted below. Make the
..._teml..,.. ecpllclt end PNCIM. 8l'1d number them In ICCOI'CWice with the
nqW.. Each Inquiry lhould be answered. Enter •none• •not appllcllble, •
"NA" wt.. appllcllble. If Information which ansv.ws an Inquiry Is given
leisewltere In the report, make a reference to the schedule In which It
1. ~ In 8l'1d Important Information to franchise rights:
Ollcribe the ec:b.-1 COI'1IIderatlon given therefore 8l'1d lblte from whom the
lfnlriChll.. rlghla wwe acquiNd. If acquired without the peyment of
~llidtllllilln,
.... thllt filet.
2. AcquWtion of ownerehlp In other c:ompmea by re«genlutlon, merger, or
a.
ather CC~m~~~U~~es: Give name of companies Involved, pMIooncemlng the trwwactione, name of the CommiHion authorizing the
,_,INICtion, and Nference to Commisllon euthorlzetlon.
3. PurchMe or ule of en operating unit or system: Give brief description
the property, end of the trenuctlona reldng thereto, and reference to
ICommilllllln IIUihoriation, If any wu required. Give date journal entries
for by the Uniform System of Accounts were submitted to the
~1101~11nwllh
1-10
1t. By Its Order No. PSC-98-0455-FOF-GU (March 31, 1998) the Florida Public Service Commission
apprOYed the Company's request, In Docket No. 971559-GU, for a Umlted Proceeding to Restructure
Rates and for Approval of Gu Transportation Agreements. The Company proposed to restructure Its
ratu to more cloeely reflect the cost for uch rata class. The restructuring propoul wu revenue neutral;
Its approval has no effect on the utHity's total revenue. The approved ratu are elfectlve for all meter
readings taken on or after May 2, 1988. The average number of customers at December 31, 1997 wu 8,837.
The proposed baM rate changes for each cua- class are as shown below.
Pecctnt lncreaH
Residential Sales Service
Ruldentlal Annual Contract Service
Commercial Sales Service
Commercial Large Volume Sales Service
lnduatrlal Sales SeMcelflrm Transportation Service
lndusb'lld Interruptible Sales ServlcefConnct Transportation Service
Special Contract Transportation Service
12.None
Page9
7.76'16
7.76'16
13.22'16
28.38'16
7.36'16
31.75'16
(38.39'16)
Dec.31, 1997
.· . ,:
.
.
• .
"
.
."
••
• ">)
'
Page 1
Dec.
Report amounts for Accounts 412 and 413, Revenue and
from utility Plant Leased to Others, in another utility
""n'"""'" (i,k,m,o) in a similar manner to a utility department.
•~······~ the amount (a) over lines 01 through 24 as appropriate.
these amounts In columns (c) and (d) totals.
Report amounts in Account 414, Other utility Operating
lln••nrr•• In the same manner as Accounts 412 and 413 above.
3. Report data for lines 7,9, 10 for Natural Gas companies
accounts 404.1, 404.2, 404.3, 407.1 and 407.2.
4. Use page 19 for important notes regarding the statement
income or any account thereof.
5. Give
on
•~ ...,n.,n.. ~...
unsettled rate proceedings where a contingency exists such
that refunds of a material amount may need to be made to the
utility's customers or which may result in a material refund to
the utility with respect to power or gas purchases. state for
each year affected the gross revenues or costs to which the
contingency relates and the tax effects together with an explanation of the major factors which affect the rights of the utility
retain such revenues or recover amounts paid with respect to
power and gas purchases.
6. Give concise explanations on page 19 concerning significant amounts of any refunds made or received during the
from settlement of
rate
Ref.
Page
No.
Account
1
UTILITY OPERATING INCOME
2
3
46-47
4
49-51
49-51
25-27
25-27
25-27
41
41
44
24
1997
Net utility Operating Income (Total of line 2 less 23)
Page 12
Total
Current Year
Total
Previous Year
Dec.
1re~tenues
received or costs incurred for power or gas purlch•ases, and a summary of the adjustments made to
lhAIAn•~ sheet, Income, and expense accounts.
7. If any notes appearing in the report to stockholders
applicable to this statement of Income, such notes may
attached at page 19.
8. Enter on page 19 a concise explanation of only
changes in accounting methods made during the year
had an effect on net Income, including the basis of
31 1997
allocations and apportionments from those used In the preceding year. Also give the approximate dollar effect of such
changes.
9. Explain in a footnote if the previous year's figures
are different from that reported in prior reports.
10. If the columns are insufficient for reporting additional
utility departments, supply the appropriate account
titles, lines 2 to 22, and report the information In the blank
space on page 19 or in a supplemental statement.
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
Page 13
Dec.31 1997
633467
. . . ;.
'"'
"'·'"
.
.-:. :- .- .. ·.... ~
.
'..'~·1
Dec.31, 1997
STATEMENT OF RETAINED EARNINGS
1. Report aU changes in appropriate retained earnings,
unappropriated retained earnings, and unappropriated un. "buted subelc:lary earnings for the year.
2. Each credit and debit during the year should be iden. ed u to the retained earnings account in which recorded (Acunta 433, 4~38 Inclusive). Show the contra primary
ccount affected In column (b).
3. State the purpoH and amount for each reservation or
pproprlation of retained earnings.
4. l.lat firat Account 439, Adjustments to Retained Earnings,
eftectlng adjustments to the opening balance of retained earnin . Folow credit, then debit items in that order.
Une
No.
Item
5. Show dMdends for each class and series of capital
stock.
6. Show separately the state and federal income tax effect of items shown in account 439, Adjustments to Retained
Earnings.
7. Explain in a footnote the basis for determining the
amount reserved or appropriated. If such reservations or appropriation is to be recurrent, state the number and annual
amounts to be reserved or appropriated as well as the totals
eventually to be accumulated.
8. If any notes appearing in the report to stockholders are
a · ble to this statement attach them at
e 19.
Contra
Primary
Account
Affected
Amount
'
'
'~
1
2
3
4
'
'
'
'
.
.r'
'•
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
Credit
TOTAL Credits to Retained Earnin
Debit
Debit
Debit
Debit
<:•
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,
.
-';. N·.-.
.
:;: •
633466
•
.
.
<;
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
$10,494,874
Page 15
For the Year Ended
of Respondent
ICtle~:tpeake Utilities Corporation
Dec. 31
Item
Une
No.
APPROPRIATED RETAINED EARNINGS (Account215)
39
40
41
42
43
44
45
TOTAL
State below the total amount set aside through appropriations of retained earnings, as of the
of the year, in compliance with the provisions of Federally granted hydroelectric project
u.,.•• ~~a held by the respondent. If any reductions or changes other than the normal annual
hereto have been made during the year, explain such items in a footnote.
UNAPPROPRIATED UNDISTRIBUTED SUBSIDIARY EARNINGS (Account 216.1)
Amount
_.....lnio""' to operating activities only. Gains and losses
pertaining to investing and fmancing activities should be
reported In those activities. Show on page 19 the amounts
d Interest paid (net of amounts capitalized) and income
taxes paid.
amounta
DESCRIPTION (See lnatructiona for Explanation of Codes)
Page 17
Include at other (line 31) net cash outflows to
IIOqulre other companies. Provide a reconciliation
of aaMts acquired with liabilities -urned on
page 18.
Do nat Include on thla ltatement the dollar
arncMri of..._ capitalized per USofA General
Instruction 20; Instead provide a reconciliation
of the dollar amount of ..._ capitalized with
(a)
(b)
(c)
(d)
Nat proceeds or payments
Bonds, debenture~ and other long-term debt.
Include commercial paper
Identify separately such items as Investments,
tlxed aaMts, Intangibles, ate.
6. Enter on page 18 clarifications and explanations.
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!Name Clf ".._ ........
Chesapeake Utilities Colpcntion
Dec.31,1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOLIDATED BASIS
u.. the apace below for Important not.. regarding the
Balance Sheet, Statement d Income for the y..-, Statement d
Retained Earninga for the y..-, Met Statement d Changea in
Firwlclal PoMion, or MY IIOOCII.ri ttw.af. Clauify the not..
to each belie~. proW:Iing a 8Ubheeding for each
lstlilerr~e.nt
.. except where a nate Ia applicable to more than one
1.
~- Fumiah particulara (cJat.ila) • to any aignificant contingent
d y..-, including a brief
· d any action lnlialed bv the lrUmal Revenue Service
1aueta or liabilities~ at n
limllolllll'la poulble ........ d
addillollallnc:ome .... d
,,_...;:..amount, or ria claim for nlf\.lld d Income tues of a
amount Initiated by the utilly. GM aleo a brief explanation rl any c:Jivldenct. in .,..... on cumulative preferred atock.
3. For Account 116, lay .Plant Adjultmenla, explain the
origin rl such amount cWIIIa Md credb~ the~. and
1.
plan of disposition c:ontemplated, gMng ref~ to Commiasion orders or other authorizatlona respecting clauification rl
amounts .. plant adjustments and requirements - to dilpodlon
thereof.
4. Where Accounts 189, Unamortized L.oaa on ReacquAd
Debt, and 257, Unamortized Gain on R~ Dllbt, are not
used, give an explanation, providing the rate lrelibnerW given
these Items. See Generallnatruction 17 rl the Uniform System
dAcoounta.
5. Give a concise explanation d any retained earnil9 raalrictions and ltate the amount d retained urninga affected by such
restriotiona.
6. If the notes to financial statements relating to the raapondlri
company appearing in the annual report to the ltockhaldera
are applicable and furniah the data requinld by inelructiona
above and onpagea 12-18 such notes may be attached henlfo.
summary or AGcountlng Pollclu:
Bualneaa - The Florida Dlvlalon of Cheaapeake Utilities Corporation (the Company)
Ia Mgaged in the diatrlbution d natural gas. The Company NNaa
re.ic:lerml, commercial, and industrial customers in Polk, Osceola, and
H~ countiea. In 1997, approldmalely 7QCI(, rl gas revenuea were derived
from indultrialaalea. Cormleroial sales contributed 18% rl gas revenuea,
and the reeidantlal class contributed the remaining 12%.
Basia of AccourUlg - The Company maintains its accounts in accordance with
...aognized policiea preacribed or permitted by the Florida Public Service
Commiaaion (FPSC) and the Federal Energy Regulatory Commiuion, which policies
conform with generally accepted accounting principles in an material respec::bs.
Basla of Presentation - The financial statements were prepared in accordance with the
requiremenla of the Federal Er18rgy Regulatory Commlasion (FERC). Accordingly, the
statements of retained aamlngs and cash flows for 1996 have been omitted.
Property, Plant and Equipment and Depreciation • Utility property is stated Ill
original colt reduced by contributlons-iid-of-construction. The cost d
new property and expendituraa for major renewals and betterments are capitalized.
The cost of current repaira and minor replacements are charged to operating expense.
Upon Ntirement or dispolition, the recorded colt of depreciable plant and the
colla of removal, net d aalvage, are charged to accumulated depreciation.
Maintenance and repaira expenditurea are charged to operating expense.
For financial reporting purpoeea, depreciation expenae Ia computed Uling straightline ..... applied to the average inveetment in depreciable property accounta.
Annual depreciation provlaions, expreued .. a percent of average depreciable
plant in service, were approximately 4.2% and 4.2% in 1997 and 1996, respectively.
Investment Tax Credits- The Company's policy is to defer investment tax credits
and amortize them over the composite life of the assets.
Revenues - The Company accrues baM revenues for services rendered but unbilled
at month and to provide a cloMr matching of revenues and expenses.
Deferred Charges - The unamortized diaoou1l and expense of issuing bonds ie
amortized over the lives of related issues. Rate case expenses are deferred and
amortized over three years as approved by the FPSC.
Deferred Gas Costs - The Company has a purchased gas adjustment clause which provides
for the adjustment of rates charged to customers as gas costs fluctuate.
These amounts are collected or refunded through adjustments to rates during
subsequent annual periods.
Inventories - Inventories are stated at the lower of cost or market determined
by an average cost method.
Page 19
Oec.31,1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOUOATEO BASIS
Accculting Standards luuad -the Financial~ Standarda Board iaued SFAS No. 130
regarding the reporting d comprehensive Income in the fulset d flnllncialltatemerWa.
The Company nut U:lpt the requlremerU d the ltandlrd In Ita financial atatementa
for the y.- beginning J....ary 1, 1998. The effect d the Glption d the standard pertains
primmy to SFAS No. 115 repding held for aale inveltments, and Ia not expected to
have material impact on the Company's financial atatementa.
The Financial AcoounCing ~ Boerd iuued SFAS No. 131, eetablishing ........
public tuinea ~to report informlltion .tlaut openllillgl8gl'll8nts In
financial .t.atements and requiring that thou erUrpriMs report eelected information .tlaut
opet'llting IMigiMnta In lrUrim financial ~ to shareholdera. The Company wil U:lpt
the requirements d thia atandllrd In the firat quarter d the 1998 fiscal year. The adoption d
the atandard Ia not expected to have a material impact on the Company's financial statements.
....a
2.
Regulatory Allain:
On November 15, 1989, Cemal Florida Gas Company and Plant Cky Natural Gas
Company, divialons of Chesapeake Utilities Corporation, flied a requeet with
the Florida Public Secvioe Commiuion (FPSC) In its Dookel No. 891179-GU to
combine the compMiea for all reternaking and accounting ~and for an
cwerllll increMe In amual revenue. d $1,315,496. The FPSC approved the
coniOiidation effective July 9, 1990 as well a a combined rate increase In
the Company's gross annual revenues d $780,000 on a permanent basia.
Also effective July 9, 1990 the FPSC aulhorized the Company to implement a
new interruptible flex rate and a correeponding firm rate adjustment proviaion
to ita natural gas tariffs. Thaae two pnMaloN allow the Company to adjust,
up or down, the non-fuel bale tariff rate it chargaa its irUrruptible customers
aa eatablished In the Company's most recent base rate proceeding based on the
customers' alternative fuel coG.
The firm rate adjustment requiraa the Company to pass through to aB firm
customer c!auea 50 percent of any lncremenlal increase or decrease in non-fuel
revenuea deferred aa a rMUit d the operation of the flex rate provision
d Ita tariff. Thaae revenuea are deferred for a 12-month period ending
September 30 d each yur. The Company recognizaa, on a current basis,
the remaining 50 percent d any incremental increase or decrease In
non-fuel revenues.
In 1991, the Company filed for and reCeived approval from the FPSC to flow
ttvough to the firm customer classea any deferred balance as d September
30 d each y.-. As d December 31, 1997 the Company had a liability due to
ratepayers for 50 percent d the ..,...... in non-fuel revenues d approximately
$10,000. As d December 31, 1Q96 the Company had an asset due from firm
ratepayers for 50 percent of the defiCit in non-fuel revenues of approximately
$35,000.
On December 10, 1993, the FPSC iaued an order lowering the Company's
authorized midpoint return on equity from 12% to 11% for aH regulatory
~effective January 1, 1994.
On Auguet 5, 1994, the Florida Divialon filed Modified Minimum Filing Requirements
wNch are required every four v-- by FPSC regulatiolw. During 1995, the Florida
Leglalature repealed the lllw requiring thia filing and, as such, the Company's
docket waa closed without action by the FPSC.
On February 6, 1995 the FPSC approved the Florida Division's proposal to cap
its 1994 return on equity (ROE) in response to an overeamings investigation by the
FPSC. The amount of the Company's 1994 avereamings as determined by the FPSC
was approximately $62,000.
The above-mentioned order also provided that the maximum ROE for 1995 would be
adjuated to reflect more current economic conditions at that time, resulting in an increase
or decrease to the 12% ROE bv no more than 50 basis Doints. As a result of this order
Page 19.1
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C._,_ke Utilitlell Corporation
Dec.31,1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOLIDATED BASIS
A Conlamlnatlon Aauumenl Report ("CAR1 waa IUbmitled to FDEP on July 11, 1990.
The CAR oontalned the , _ . oflldclillonallr-algatlona of conditions at
the property. " " - ~ oonfinned limited aoll and groundwater
~mpec:a to the property.
c111ec1 March ze, 11181, FDEP directed the
Cclmpllnr to oonduclllddlllon8l ~_.to ruu, deliMate the
_ . . end horizontal ..tent of aoll and llfiiUIIdM&er lmpecta.
av ......
Addlllonlll ~ ---~~ 8CIIviiM- oonducled at the de in
lllle11182 end .r!v Ull3. On Mllnlh 25, 11183, a Contamination~
Rapolt Addandum ("CAR
delivered to FOEP. The CAR Addendum
OCiftCIIudad that aoll and llfOIII'dMiar lmpacla hava baan adequately dellnealed
• a ..ull of the addlllanal tiald ~. The FDEP approved lhe CAR and CAR
Addendum In April, 111M. The Company Ia planning to conduct a pilolllludy
to - - - the f8Miblllly of utilizing air lfllll1lll combined with .ail vapor extraction
• a_parmanent remedial aplion for groundwalar lmpecta on de. The oo.t of the
pilolllludy Ia eelimalad to be appRIIIimately $25,000. Prior to Implementing the
pilot .audr. on May 10, 1188 the Company IUbmiUed to FDEP a pilot aludy ~plan
_..the propoud activlllaa. On October 15, 11187,the Company IIUbmltted a
reviMd pilot aludy ~plan In,..,._ to FDEP'• ~. The Company Ia
CUNIIIIr -'ling FDEP'a ~Ita !heron, I Ia not .-alble to delermlne whether
ramecllal aotlon will be NqUirad bv FDEP and, 1110, the oo.t. ofiUCh remediation.
Addandum,-
The Company 11M ..-t approxlmalelv $182,000, • of Daoember 31, 11H17, on
...... IIMitigallona and...,.. to ..ccMr ...... ~. . . wall• any
future ~.through baM rataa. T ' - oo.t. have baan accounted for
• ~to accumulaled depraclallon. The Companv ~ed and received
from lhe FPSC appnwal to amoltize through baM rat• $359,658 of clean-up
and removal oo.t.lnaumld • of Daoemller 31, 1986. M of December 31, 1992,
lheaa oo.a. _..fully amortized. 1n January 18113, the Companv received
approval to -through baM rat.. approximately $217,000 In additional
oo.t. ralaled to the folmer manufactured
plant. In a Mparate docket before
the FPSC, the Company ..-lved approval to apply a refund of 1991 overeaminuof apprclldmately $118.000 agaiMI the balance of unamortized environmental
~Incurred • of December 31, 1Q92 up to the $217,000 level .,....nou.ly
aulhorlzed bvthe FPSC. M a reaull, lhe aulhorlzed environmental cherga. _..
fully~ • of May, 11184. On February 6, 1IHIS,In a Mparate docket before
lhe FPSC, the~ .-lvad approval to.....,_ Its annual accrual to the
- I n the amount of $71,114. On January 21, 11H171he Companv received approval to
IIPIW a rafund of11184 and 11H15 ~of appRIIIimately $282,000 to I t s for fulura anWonmental olean up oo.t.. M of December 31, 11187, the Company 11M r...ved
u-
apprUidn.-lv $435,000 to olfMt future envlronmenCal ~The Yur 2000:
Chelapaalriala depa11dent upon Information ayalerM to operate elllclenlly and elfecllvely.
In ardel" to ~ lhe Impact of the
2000 on Ita manv Information ~-. Cheupeake
Ia In the~ of~ and ramedlallng any dellclenclell. The Company 11M
....,...... the evaluation of Ita ,...._and the pcMntlallmpact of the year 2000 on Ita
....... ln&o two componenta: primary lnlamal applications and other applic:atioM. The
Company'• primary appllcalioM Include ~-for Its financial information; natural
c..aomar Information and billing; and propane ~ Information, blUing and cleliwlry.
Other applications Include ...... for ..W:..IUCh .. telephone, ~ coniiOI and
data acqulallion for the plpellna, • wall• other wndor'a ........ With raapecl to the
t1vaa primary appliclllloo•. Cheaap1al11 Ilea updated Its propane cwtomer Information,
2000 compliant venion. Thla ayatem will be lelled
blllng and cleliwlry . . . . . to a
further to lnaura compliance dwtng
With raapect to the other two primary appllcaliona,
Chelapaake hall oonducled Initial M8lualiona and aallmataa that the oo.t of any remediation
will not be algnlficanl. Each application win be lealed during 1•. Chesapeake 11M de\ alaped
an "-''ory of other appllcaliona and Ia In the proca.a of ~ng plana to contact Its
vendora, .... and ramecllate to the extent - . y .
v-r
u-
v-r
1-.
FERC Order No. 131:
The Company Ia ..-1 11v one direct natural u- pipeline, Florida 0..
Tranamlasion ("FGf1. In connection with the laiUance of Order No. 636
("'rde(') bv the FERC In April11182, plpelu- will Incur four types of
trw.llion oo.t.ln impllmenllng the unbundled UIVIce requirement of the
Order: (1) u- aupply realignment coals (the coals of renegotiating existing
ga.aupply contracts with producers); (2) unrecovered purchased gae
edjualment ("PGA, oo.t. (IJaa oo.t. remaining In the pipeline.' PGA
account at the lime they cease the merchant function); (3) alranded coals
(unrecovered oo.t. of aueta that cannot be aaaigned to cualomers of
unbundled aervlcas); and (4) .,_ faciiHiell oo.ta (coal• of new facilities
required to phyaically Implement the Order.
Page 19.3
For the Year ~naeo
~~ Utllllles Corporation
Oec:.31 1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOliDATED BASIS
FGT his Incurred transition costs In the form of gas supply realignment
costs and FERC hu approved recovery of prudently Incurred COitl from FGT's
custiOmers, such • the Company ,through a demand charge beginning November
1, 19931nd exlllndlng for live yeera. The CompMy Mtimaled lhet Ia portion
of the hnllllon coats on December 31, 1996 wu ~.000. Duling 1997, FGT fully
r.ccMfed b gas supply rullgnment costs, and ceased recovery of this cost through
b demand charge. All a result, the Company reduc:ed bliabllky and corresponding
r.gulatoly asset for transition coats to zero in April1997.
••
p.naiQn Plan:
The Compeny palticipMesln Cheupeake lJtllltiM Corporation's (CUC) defined benefit
pension plan CCMiring IUbMantlally al employees. Benefits under the plan
.,. baled on the perticlpent's ~ of urvlce and highest average compensation.
CUC's funding policy PfO\IIdM that payments to the truatae shall be aqual to the
minimum funding raqulrements of the Employee Retirement Income Security AlA. of
187o4. TheCompeny's lhare of net pension expense for 1997 ancl1996was sn.163
and $73,178, respectively.
The aocumulatld benefit obligllllon, rKOIICIIIatlon of the funded a1:11ua and
the JINIPIId pension ....C. and the components of net pension upenu are
~ below for cue consolidated. Such Information 1a not available
on an lndMdual company bula.
ACCUMULATED BENEFIT OBLIGATION
AI. December 31,
Vested
111117
11116
Nonveated
$7,615,1N
123,265
$6,8:W,661
1311,483
Total accumulated benefit obligation
S7.738M9
$6,974.1 ....
111117
Plan assets at fair value
Leu: Projected Benefit Obligation
$13,1112,61111
(11,&:w,365)
Plan assets In excess of projected
benefit obligation
2,058,~
Leu: Unrecognized net gain (loss)
Unamortized net asset from
adoplion of SFAS 87
Prepaid pension cost
TOTAL NET PENSION COST
For the yeera ended December 31,
Total net pension cost
Amounts capitalized as construction cost
Amount charged to eJCpen$e
Discount rate U$8d In cak:ulating net pension cost
$10,720,514
(10,265,987)
454,627
(4,038,6711)
(2,820,1157)
(1118,326)
(141,578)
($2,178,661)
($2.508,008)
1117
Service cost
lnter..a cost
Actual return on ....a
Net amortization and deferral
1816
1196
$680,192
732,188
(2,427 ,768)
1,o421,028
$656,885
168,238
(1,142,287)
289,136
o406,640
(33,N2)
....2,071
(38,860)
!371,6118
$403.211
7.25%
7.26%
7.26%
4.76%
7.26%
U6%
8.50%
8.60%
ASSUMPTIONS
Discount rats
Average Increase In future compensation
levels
flCpected long-tsrm rate of return on assets
Page 19.4
""'""FortheYearEnded
Dec. 31 1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOLIDATED BASIS
7.
Other poatntlremenf Benefttl:
The eompeny pertlciplltes in cuc·s defined benefit poatretirement health care and
life ......,_ plen which covers aubetantlaUy all natural gu and corpol'1lte employ....
In the finlt qu811er d 1994, the Company increaaed the amount that future retireea would be
r.quinld to oorblbute to participate in the Company's health care program. The Florida
0MIIIon'a1997 Md 1996 coats under SFAS No. 106, were $1,268 and $1,380, reapectively.
The health c.re Inflation rate for 1997 and 1996 ia asaumed to be 9.5% and 10%, reapectively.
Thia 111te ia prcjected to gradually decreae to an ultimate rate of 5% by the year 2007. A one
percerage paint increae in the health care inflation rate from the auumecll'llte would
lncNMe the eccumulllted poetretirement benefit obligation by approximately $98,650
- on a OOMOiidllt.ed buia • of January 1, 1998, and would increue the aggregllte of the
aervice COlt and irUrelt COlt components of net periodic other poatretirement benefit
COlt for 1998 by approximately $8,293.
The Florida Public Service Commiaaion has allaNed rate recovery for the
accrual tr1lllment d SFAS No. 106 coats in rate cae deciaion& rendered
for other ~ operating in their juriadiction. However, the FPSC
hMindicaled that they will continue to review the treatment of SFAS No. 106
coats for ratemaking purpoaea on a cau by case basis and, if it's deemed
appropriate, they could rule differently in the future. Given the
flMnble precedent allowed by the FPSC, the Company does not expect the
atandard'a adoption to have a material effect on results of operations.
The following tables set forth the status of the plan at Deoember 31, 1997 for cue
consolidated. Such information is not avaUable on an individual company basis.
Accrued PCI8tretirement Benefit Liability
At. December 31' 1997
1997
1996
Accumulated postretirement obligation
Retirees
Fuly eligible IICtiiM employees
Other .alive
$621,203
141,356
102,340
$567,199
1S7,S78
88,114
868,8H
241,154
711,871
273,013
147,422
67,155
$478,323
$451,703
7.25%
7.25%
Total acwnulated postretirement benefit
obligation
Unrecognized transition obligation
Net gain after recognizing change in discount
rate
Unrecognized net loss (gain)
Accrued postretirement benefit liability
ASSUMPTION
Discount rate
Page 19.5
Fortfi8 Year Ended
fName of"~ ......nt
Chesapeake Utilitiee Corporation
Dec. 31 1997
NOTES TO THE FINANCIAL STATEMENTS ON A CONSOLIDATED BASIS
Net Periodic Poatretlrement Benefit Cost
N. December 31' 1997
1887
1881
Curbllllnert lou
$3,217
IO,U1
28,413
0
$2,120
M,ll1
27,118
0
Net periodic poetretirement OOil
82,821
11,330
Amo&ri Cllpitalizad .. oonslruction coat
Amo&ri cWerred
(11,2741
(16,1721
25,2M
s.vicecoet
lnlerelt OOil on APBO
Amoltization of transition obligation tNer 20 Years
~charged
to expenae
ASSUMPTION
Dilcou1t ... used in calculating net periodic
pa.tretirement cost
Page 19.6
21~M
1101,801
183,812
7.25%
7.25%
Coopers
&Lybrand
Coopers & Lybrand L.L.P.
a professional services firm
Report of Independent Accountants
To the Board ofDirectors of
Chesapeake Utilities Corporation
We have audited the balance sheets of the Florida Division of Chesapeake Utilities Corporation as of
December 31, 1997 and 1996, and the related statements of income for the years then ended, and the
statement of retained earnings and cash flows for the year ended December 31, 1997, included on
pages 10 through 19.6 of the accompanying Federal Energy Regulatory Commission Form No. 2.
These financial statements are the responsibility of the Company's management. Our responsibility
is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the·financial
statements are free of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit also includes assessing
the accounting principles used and significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
As discussed in Note 1, these financial statements were prepared in accordance with the accounting
requirements of the Federal Energy Regulatory Commission as set forth in its applicable Uniform
System of Accounts and published accounting releases, which is a comprehensive basis of accounting other than generally accepted accounting principles.
In our opinion, the financial statements referred to above present fairly, in all material respects, the
financial position of the Florida Division of Chesapeake Utilities Corporation as of December 31,
1997 and 1996, the results of its operations and its cash flows for the year ended December 31, 1997,
and net income for the year ended December 31, 1996 in accordance with the accounting requirements of the Federal Energy Regulatory Commission as set forth in its applicable Uniform System of
Accounts and published accounting releases.
This report is intended solely for the information and use of the board of directors and management
of Chesapeake Utilities Corporation and the Federal Energy Regulatory Commission.
Tampa, Florida
February 6, 1998
Coopers & Lybrand L.L.P. is a member of Coopers & Lybrand International. a limited liability association incorporated In Switzerland.
1997
Une
No.
UTILITY PLANT
5
102 Plant Purchased
or Sold
6 106
Unclassified
7 103
8 104 Leased to Others
10 114
12
14
Net Utility Plant (Enter total of lines 11 plus 12
less line 1
15
DETAIL OF ACCUMULATED PROVISIONS FOR
18
19
20
21
Total of lines 17
22
23
24
25
26
27
28
29
30
31 115 Amort. of Plant
32
Total of lines 23 and
1997
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
".
'•'-
• · " " ' ?'\. -:.
'/•
·.-·v •.· .. ·.· •;.: •-"
26
27
28
29
30
31
32
33
Analysis of Plant in Service Accounts
ICompany: Chesapeake Utilities Corporation
the Year Ended December 31. 1997
I Depreciable Assets:
375 Structures and Improvements
376 Mains (Steel)
376 Mains (Piatlc)
378 M&R Equipment-General
379 M&R Equipment-City
379 M&R Equipment-City (CIAC)
380 Dlst Plant Servic:es (Steel)
380 Dlst Plant • SeMces (CIAC)
380 Olst Plllnt-Servic:es (Pintle)
381 Meters
382 Meter Installations
383 Regulators
384 Regulator lnstlllllltlons
385 M&R Equipment-Industrial
385 M&R Equipment-Indus CIAC
387 Other Equipment
390 Structures and Improvements
391.1 Dllbl processing Equipment
931.2 Olfiee Furniture
391.3 Ollice Equipment
391.4 Vax System Equipment
392.3 Transportation Equipment
393 Storw Equipment
394 Tools and Work Equipment
396 Power Openltecl Equipment
397 Communication Equipment
398 M"ISC. Equipment
1
(112,
1,497,406
843,172
581,862
564,813
0
1,233,582
(147
171,007
321,808
57,392
90,022
57,779
51,812
119,139
0
74,556
229,-480
57,040
48,083
AnnuafStatus Report
Analysis of Plant in Service Accounts
Company: Chesapeake Utilities Corporation
Page2of3
For the Year Ended December 31,1997
Acct.
No.
Account
.
Depr.
Rae
Begil•lillll
a.lllnce"
&,.......
~
Addlllons
(Continued}
....age
Retirements
RecluL
ctAC
Ending
8lllllnce"
Annual Status Report
Analysis of Plant in Service Accounts
'
Company: Chesapeake Utilities Corporation
For the Year Ended December 31, 1997
o.pr.
Account
Acct.
Page3of3
Rae
No.
Begllwling
Bld8nc:e*
Additions
Reclus.
Retirements
CIAC
Adjuslrnents
Ending
& Tnmsfers
a.t.nce"
(Continued)
I
I
i
c.pit.ll Recovery Schedules:
I
Tot.! Account 101*
Amortizable Assets:
1141 Acquisition Adjustment
114 Acquisition Adjustment-Old
1143 Acquisition Adjustment-Inc. Tax
Subtotal
Total Utility Plant
Note: • The total beginning •nd ending blllances
must~
N/A
6.86%
627,288
5,543
NIA
154,590
627,288
5,543
154,590
71J7,421
0
0
0
0
0
71J7,421
22,298,030
1,586,521
(235,78?:
0
(87,770
1,716
·•23,580,710
to IICCt. 101, Plm1t In Service, Une 3, P-ae 20.
'age
11
11
11
11
11
11
li
11
11
11
1,
li
l!
li
li
11
l!
Annual Status Report
Analysis of Entries in Accumulated Depreciation & Amortization
Company: Chesapeake Utilities CorporaUon
Pa.ge1of3
For lhe Year Ended December 31, 1897
Acct.
No.
Acc:OIA'It
DescriDtlon
Glva
Beginning
BaJanc:e-
Accrullts
,........
costcl
Removal
Reclau. I Retirements
,Amortizable General Plllnt Aulta:
301 Organizlltlon
302 Franchise and ConMnC
303 Msc Intangible Plant
iAc:qulsltlons
115 Cost Acquisition
114 Cost Acquisition-del
1152 Inc. Tax on Acauls Adlustrnent
SUbtotal
m
m
0
0
This schedule should Identify each IICCOUnt/sul
I
I
375 Structuras and lmDI'0¥8ITMIIIIs
376 Mains (Steel)
376 Mains (Plastic)
378 M&R Equipment-General
379 M&R Equipment-City
379 M&R Equipment-City (CIAC)
380 Dist Plant SeMoes (Steel)
380 Dist Plant • SeMoes (CIAC)
380 Dist Plant-Serlloes (Plastic)
381MIIters
382 Meter lnstallatlona
383 Regulators
384 Regulator Installations
385 M&R Equipment-lnduslrial
385 M&R Equipment-Indus CIAC
387 Other Equipment
390 Structuras and Improvements
391.1 Data processing Equipment
931.2 Olllce Furniture
391.3 Olllce Equipment
391.4 Vax System Equipment
392.3 Transportation Equipment
393 Stores Equipment
3M Tools and Work Equipment
388 ~Operated Equipment
397 Communication Equipment
388 Misc. Equipment
392.1 Transoortation EauiD. Aulol
SUbtotal
0
56,140
2,300
5,219
0
Oj
age25
19,004
0
7,643
7,652
3,751
442
0
7,541
0
1,588
0
6,8641
9,066
0
0
0
0
5,991
0
0
0
102,585
235.787
1,657
42
2,0641
(2
132
29.5271
(944:
2,4791
M2
1,155
2
2,027
{71
0
0
0
0
36.924
2.132
Ending
8aiMice"
1!
l
I
Annual Status Report
Analysis of Entries in Accumulated Depreciation & Amortization
Compeny: Chesapeake ut11t1es Corporation
For lhe Year Ended December 31, 1917
Acct.
Account
No.
.......
Balance"
Page2ot3
Accnl8ls
~
RetiNmlnts
GlrOSI
SIMile
eo.tcl
~
,.........
........
Ending
I'Canllnuld)
I
'
i
age 26
rl. --
Annual Status Report
Analysis of Entries in Accumulated Depreciation & Amortization
Comf)llny: Chesapeake utilities Corporation
Page3of3
For the Year Ended December 31, 1997
Acct.
legllallng
Account
llllllnc:e-
No.
ltellrementa
Rec:las.
Accru.ls
Gloss
Coltd
Salvege
Removal
Ending
,.........
.........
(Continued)
c.pltal Recovery Schedules:
This schedule should Identify uc:h approved apbl..:overy sc:hedule.
111-375 Accurn Amort Struc:tlna & Imp
111.:»7 Accum Amort Comm Equipment
382
Gas Holders
0
0
0
0
(385,851
(71,114,
Subtotal
(385,851
(71,114
Ust Jlrll' oCher Items nec:enary_to reconcile the tat.!
374 Land and Land Rightl
389 Land and Land Rights
Subtotal
Grand Total
Note:
0
0
0
31,5153
0
31,5153
0
:
(435,2011
0
.(435,2CIIi!
and amortiDtlon KCIINIIIIIIOIIIII to Acct. .as, Dejnclatlon Exj,.,.., ahoWn on ..ae12.
0
0
0
(1,642
1,642
1,642
(6,634,836,
0
0
0
(1,121,806
• The grand tat.! d beginning and ending blllances must agree to Line 17, Page 20.
-
g-
0
0
0
235,787
(19,523
68,487
(1,642;
490
0
O'
<944:
(7,472,3451
For the Year Ended
IName of Respondeni
Chesapeake Utilities Corporation
Dec.31, 1997
CONSTRUCTION WORK IN PROGRESS-GAS (Account 107)
1. Report below descriptions and balances at end of year of
projects in process of construction (107).
2. Show items relating to "research, development, and
demonstration" projects last, under a caption Research,
Development, and Demonstration (see Account 107 of the
Uniform System of Accounts).
Construction Work
in Progress-Gas
(Account 107)
(b)
Description of Project
Une
No.
1
2
3
4
5
6
7
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
34
35
3. Minor projects (less than $500,000)
may be grouped.
(a)
Estimated
Additional
Cost of
Project
(C)
Miscellaneous
$62,883
$116,834
TOTAL
$62,883
$116,834
36
37
38
39
40
41
Page 28
For the Year Ended
Name ofRespondent
Chesapeake Utilities Corporation
Dec.31,1997
CONSTRUCTION OVERHEADS-GAS
1. Li8t In column {a) the kinds of overheads according to
and the amounts of engineering, supervision, and
titles used by the respondent. Charges for outside
administrative costs, etc. which are directly
professional servtcea for engineering fees and managecharged to construction.
mentor supervision fees capitalized should be shown
4. Enter on this page engineering, supervision,
as separate items.
administrative, and aUowance for funds used during
~- On page 30 furnish Information concerning construction
construction, etc. which are first assigned to a
overheads.
blanket work order and then prorated to construction
3. A respondent should not report "none" to this page if
jobs.
~ overhead apportionments are made, but rather should
explain on page 30 the accounting procedures employed
ithe
Line
Total Amount
Charged
for the Year
(b)
Description of Overhead
No.
(a)
1
~
Administrative and General
Transportation
Total Cost of Construction
to Which Overheads Were
Charged (Exclusive of
OVerhead Charges)
(c)
$71,6~1
$~6.804
3
4
5
6
7
8
9
10
11
1~
13
14
15
16
17
18
19
~0
~1
~~
~3
~4
~5
~6
~7
~8
~9
30
31
3~
33
34
35
36
37
38r-T=o=T=A~L--------------------------+----------$9-8-,4-~-5~--------------~
Page
~9
For the Year Enaed
!Name of Reaponaent
Cheaapeake Utilities Corporation
Dec.31, 1997
GENERAL DESCRIPTION OF CONSTRUCTION OVERHEAD PROCEDURE
1. For each conatruction overhead explain: (a) the nature and extent of work, etc., the overhead charges are intended to cover, (b)
~e general procedure for determining the amount capitalized, (c) the method of diatribution to construction jobs, (d) whether
idifrerent rates are applied to different types of construction, (e) basis of differentiation in rates for different types of construction,
jand (f) whether the overhead Is directly or indirectly 888igned.
Total payroll charged to construction x (Total payroU taxes+Net employee benefits+Workers Comp) =
TotaiPayrol
Overhead amount charged to construction (recorded by individual work order)
Page30
Explain in a footnote any difference between the
book coat of plant retired, Kne 11, column (c)
that reported for gas plant in service, pages 22 - 27,
"""'"m'" (d), excluding retirements of non-depreciable
111n•ou1ni for
The provisions of Account 108 in the Uniform System
Accounts require that retirements of depreciable plant
recorded when such
Une
No.
the respondent has a significant amount of plant retired
at year end which has not been recorded and/or classified
to the various reserve functional classifications, make
preliminary closing entries to tentatively functionalize
the book cost of the plant retired. In addition, include
all costs included in retirement work in progress at year
end in the appropriate functional classifications.
4. Show separately interest credits under a sinking
fund or similar method of depreciation accounting.
Dec. 31 1997
Balance at End of
Year (In Dollars)
Nature of Prepayment
PROPERTY LOSSES
Description of Extraordinary Loss
[Include in the description the date of
loss, the date of Commission authorization to use Account 182.1 and period of
amortization (mo, yr, to mo, yr).)
Regulatory Study Costs
[lndude in the description of costs,
the date of Commission authorization
to use Account 182.2 and period of
amortization (mo, yr, to mo, yr).]
10
11
12
13
14
15
16
17
18
19
20
N/A
Total
Amount
of Loss
Losses
Recognized
During Year
Total
Amount
of
Charges
Recognized
During Year
Balance at
End of Year
Account
Charged
Amount
Account
Charged
Amount
Costs
Balance at
End of Year
Dec.31 1997
For regulatory assets being amortized, show
period of amortization in column (a).
3. Minor items (amounts less than $25,000) may be
grouped by classes.
Description and Purpose of
other Regulatory Assets
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
N/A
Balance
Beginning
of Year
Debits
Account
Charged
Amounts
Balance
End of Year
Dec. 31 1997
1. Report below 1he particulars (detah) called for
conoernk1g m.oellaneoua deferred debits.
2. For any c:Wemld debit being amortized, show
d emortlzation in column
Balance at
Beginning of Year
$14,051
192,863
943,209
23
24
25
26
27
28
29
30
31
32
33
34
36
36
37
38
39
40
41
42
43
«
45
-46
50
TOTAL
3. Minor item. (1111101J1"1t& lees than $25,000) may be grouped
byclaeaM.
Acc:curt
Debits
Charged
Balance
End of Year
Credit
Amount
$266,331
400
$209,528
5,925
943,209
49
903
49
$70,854
$186,938
Balance at
AccountSubd~ons
End of Year
For the Year Ended
Name of Respondent
~hesapeake Utilities Corporation
Dec.31, 1997
SECURITIES ISSUED OR ASSUMED AND
SECURITIES REFUNDED OR RETIRED DURING THE YEAR
1. Furnish a supplemental statement giving a brief
~ascription of security financing and refinancing transactions
during the year and the accounting for the securities, discounts, premiums, expenses, and related gains or losses.
Identify as to Commission authorization numbers and dates.
2. Furnish particulars (details) showing fully the
accounting for the total principal amount, par value, or stated
value of each cla81 and series of security Issued, assumed,
etired, or refunded and the accounting for premiums, discounts, expenses, and gains or losses relating to the
~curities. Set forth the facts of the accounting clearly with
egard to redemption premiums, unamortized discounts, expenses, and gains or l081es relating to securities retired or
efunded, Including the accounting for such amounts carried
·n the respondenfs accounts at the date of the refunding
lor refinancing transactions with respect to securities
previously refunded or retired.
3. Included in the Identification of each class and series
!of security, as appropriate, the Interest or dividend rate,
nominal date of issuance, maturity date, aggregate principal
amount, par value or stated value, and number of shares.
Give also the issuance of redemption price and name of the
of the principal underwriting firm through which the security
transactions were consummated.
4. Where the accounting for amounts relating to
securities refunded or retired is other than that specified
in General Instruction 17 of the Uniform System of Accounts, give references to the Commission authorization
for the different accounting and state the accounting
method.
5. For securities assumed, give the name of the company
for which the liability on the securities was assumed as well
as particulars (details) of the transactions whereby the
respondent undertook to pay obligations of another company
If any unamortized discount, premiums, expenses, and gains
or losses were taken over onto the respondenfs books, furnish
details of these amounts with amounts relating to refunded
securities clearly earmarked.
NIA
Page 36
Dec.31 1997
. Report by balance sheet Account the particulars
l(dEitalts) concerning long-term debt Included In Accounts
, Bonds, 222, Reacquired Bonds, 223, Advances
Associated Companies, and 224, Other Long-Term
If Information to meet the stock exchange re•nnrnnn requirement outlined In column (a) ts available
the SEC 1O-K Report Form Filing, a specific ref....r ••nt'!,•to the report form (I.e. year and company title)
be reported In column (a) provided the fiscal years
both the 10-K report and thts report are compatible.
For bonds assumed by the respondent, Include in
•"u•unn (a) the name of the Issuing company as well
a description of the bonds.
For advances from Associated Companies, report
IRAJnsuatAiv advances on notes and advances on open
Designate demand notes as such. Include
column (a) names of associated companies from
advances were received.
. For receiver's certificates, show in column (a)
name of the court and date of court order under
such certificates were tssued.
5. In a supplemental statement, give explanatory par"""'u....,.. (details) for Accounts 223 and 224 of net changes
Une
No.
during the year. With respect to long-term advances,
show for each company: (a) principal advanced during
year, (b) Interest added to principal amount, and (c)
principal repaid during year. Give Commission authorization numbers and dates.
6. If the respondent has pledged any of its long-term
debt securities, give particulars (details) in a footnote, including name of the pledgee and purpose of the
pledge.
7. If the respondent has any long-term securities
which have been nominally tssued and are nominally
outstanding at end of year, describe such securities in a footnote.
8. If interest expense was incurred during the
year on any obUgations retired or reacquired
before end of year, Include such interest In
column (f). Explain In a footnote any difference
between the total of column (f) and the total of
Account 427, Interest on Long-Term Debt and
Account 430, Interest on Debt to Associated
Companies.
9. Give particulars (details) concerning any
long-term debt authorized by a regulatory
rni«o:tinn but
and Series of Obligation and
Name of Stock Exchange
1
2
3
4
5
1st Mortgage Bond Series "G"
1st Mortgage Bond Series "I"
Convertible Debentures
Senior Note
6 Senior Note 2
7 Senior Note 3
8 Skipjack Inc.
12129/89
02/15/89
01/15/93
10/01/95
12/15/97
09/10/86
9.37
8.25
7.97
6.91
6.85
12.00
12/15/04
03101/14
01/01/08
10/01/10
01/01/12
02/01198
9
10 Allocation to Florida DMsion
11 Aftocation to Other Jurisdictions
12
13 Total Chesapeake Utilities Corp.
14
15
16
17
18
19
20
21
22
23
24
25
26
~:::).-
....~':';.~:
-2'.-~~:-~
. ~ .. .;,::-.. _,.
'V."
.!'
'~
••
.-..v.t>-.V»»:.«.,u..·.-m;;..w•..-....»iii:-.-..;;.............."V..v..·.v.t.....;,
Page
486,147
331,966
797,000
691,000
30,027
1,490
4,820,000
3,926,000
10,000,000
10,000,000
10,000,000
Name of Respondent
Chesapeake utilities Corporation
For the Year Ended
Dec.31 1997
UNAMORTIZED DEBT EXPENSE PREMIUM AND DISCOUNT ON LONG-TERM DEBT (Accounts 181, 225 228)
5. Fumilh In a fooCnotle pe111culers (details) regerding the treetrnent of
uneMOitized debt expense, premium or discount IIAOCieted with
luues reciMmed during the yeer. Also, give In a foatnot8 the dete d
1. Report under ........ aubhMdlngt for UMmortized Debt Expense,
U.IMIOitlzed PreMium on Long-T.,... Debt and Unamortized DIKount on
Long-Term Dlbl, ~ {deails) of expense, premium or discount
epplictlble to eech . . . and - - of long-term debt.
2.8halw prwnlum 8lftOUIII:I bv encloeing the figures In parenthaM.
3.1n colurM (b) lhow the principal emount of bonds or olher long-t8rm debt
originally laued.
4. In column {c) show the expense, premium or discount with reaped to the
emount of bonds or cller long-term debt originally Issued.
the Commilllon'aiiUihorizetion of lr..tment other then as apecified by
the Uniform SYI*em of Accounts.
6. Identify ...,.,..WV Indisposed amounts applicable to Issues which
wwa racte.ned in prior yeers.
7. Explain any debits and credits other then amortization deblt8d to
Account 428, Amoi1IDtlon d Debt Dlac:ount and Expense, or credited
to Account 429, Amortization of Premium on Debt- Credit.
I
Line
No.
1
c.ignlllon of
Long-Term Debt
Total Expenu
Premium or
(a)
Discount
(c)
o.s.
Pel1oCI
Debits
0.18
To
Slllanoe at
(Credits)
From
Beginning of YMr
OuringYMr
Slllanoeat
End of Year)
(d)
(e)
(f)
(g)
(h)
N/A
2
3
4
5
8
7
8
9
10
11
12
13
14
15
18
17
18
19
20
21
22
23
24
25
28
27
28
29
30
31
32
33
34
35
38
37
38
39
40
41
42
43
44
45
48
Page38
Name of Respondent
Chesapeake Utilities Corporation
For the Year Ended
Dec.31 1997
UNAMORTIZED LOSS AND GAIN ON REACQUIRED DEBT (Accounts 189, 257)
1. Report under separate subheadings for Unamortized Loss and
General Instruction 17 of the Uniform Systems of
Unamortized Gain on Reacquired Debt, particulars (details) of
Accounts.
~aln and loss, Including maturity date, on reacqui&ltlon eppl4. Show loss amounts by enclosing the figures
icable to each class and series of long-term debt If gain or
in parentheses.
~ resulted from a refunding transaction, include also the
5. Explain in a footnote any debits and credits
maturity date of the new iseue.
other than amortization debited to Account 428.1 ,
2. In column (c) show the principal amount of bonds or other
Amortization of Loss on Reacquired Debt, or credited
~ng-term debt reacquired.
to Account 429.1, Amortization of Gain on Reacqlired
3. In column (d) show the net gain or net loss realized on
Debit-Credit
each debt re..,.,.•looltiftn as computed in accordance with
Une
No.
1
2
3
Designation of Long-Term
Debt
Re~ed
Date
1~
(b)
Principal
of Debt
Reacquired
(c)
N/A
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
Page
3~
Net Gain or
Net Loss
Balance at
Beginning
of Year
Balance at
End of Year
(d)
(e)
_{!}_
year
used
Federal income tax accruals and show computation of such tax ~ala. Include
the reconciliation, 88 far 88 practicable, the same detail88 furnished on Schedule M-1
the tax return for the year. Submit a reconciliation even though there Is no taxable Income
the year. Indicate clearly the nature of each reconciling amount
2. If the utilil.y Is a member of a group which files a conaoidated Federal tax return,
reported net Income with taxable net income 88 if a separate return were to
filed, Indicating, however, intercompany amount& to be eliminated In such a consolidated
state names of group members, tax aaalgned to each group member, and b88i8 of
&aiCICMIOn, Ulignment. or sharing of the consolidated tax among the group members.
lrAl'lnnl'liiA
12
r----------------------------------------------------------------
13~~~~~~~~~~~~~----------------------~
14~------------------------------------------------------------~------------~
15~------------------------------------------------------------~------------~
16~------------------------------------------------------------~------------~
17r----------------------------------------------------------------r--------------~
18r-----------------------------------------------------------+-------------~
19r-----------------------------------------------------------+-------------~
25~------------------------------------------------------------1-------------~
26~---------------------------------------------------------------r--------------~
27r-------------------------------------------------------------+-------------~
28~------------------------------------------------------------+-------------~
29~---------------------------------------------------------------r--------------~
30~~~~~~~;-----------------------------------------------+-------~~~~
31
$714,256
32
33
x.34
34
35
36
37
Federal Income Tax
$242,847
=========
J=«fiYillr Erieted
IName e1 "....,..,."'"""
IC~Iat
Utilities Corporation
Name d Taing Authortly
1ITAXES CACCRUEO)IPREPAID BEG. OF YEAR
21TIXIII Charged During Y•r
3Accrued State and Federal Income Tmc
4)SIID Sales Tmc
SIStllee Utility Tmc
6)State Regu!Moly Tu
Dec. 31, 1997
TAXES ACCRUED. PREPAID AND CHARGED DURING YEAR
F..,_
Income
(121.3041
=-J~I5151 s 1·-I·F
0
(84,
0
0
412
•
Erwlnln-
s-.
rnenlll,
8nd
Other
12,671
Elar::lle
(1741
31,977
Teal
(115,162
284,417
41,570
242,147
1,941J
0
475,126
71,643
143,060
340,755
1,M
242
_'16,819
21.054
242
18,785
0
1,338,001
47:),128
71,643
7I~Tmc
143,060
340.755
81Property Tmc
__! OccuDIItionll TIX
)10 )Other and EXcise Tu
)11
3.993
)14)Accrued Stme and Federal Income Tu
)15 )State Sales Tu
242,147
41,570
(291,4$(
(80,000]
ol
340,7551
3,9931
143,0601
415,1261------rl.&a
~1~
(194.228
118 'State Ut!!!ty TIX
17State Regulatory Tu
)18)~TIX
(194.228
(483,7031
(483,703]
{88.~
(69,885)
(247,81~
(247,819]
. (340,755;
I'UI'I~
1191Property Tu
20 OccuDIItionll Tu
)21)0th8r and Excise Tu
~
23 TOTAL TAXES PAID DURING YEAR (UMS 1'f-22
24 Adjustments (list)
l25ls.lls Tu Accrued
l2610ther
)27)1"Q!~_ADJUSTMENTS (Lines 24-26)
128,TAXES (ACCRUED)IPREPAID END OF YEAR
(UMS 1+12-23+/-27)
oI
(80,000]
(3«),755j
(3,1J93j
(1.~
(18.8111
0
(171j (212.11111
(20.983:
(1,71g~
191.445
191.445
(171~
(3,993]
(291.4541
(1,9411]
(247.81~
<483.7031
(69,885J
0
0
12(3o4
121,304
84,129
84,829
(48,807)
(18.430;
0
0
0
0
or
01
_104,311_
104,3171
o1
___o
1701
37,5081
33,955
0
111ft Ll!tl
Ol
191,445
.501.885
\1~
9,880
14,383
.......,TRIBUTION OF TAXES CHARGED
Federal
State
Income
Income
R..
Property
Tangible 'Intangible I FICA,
I Personal
Personal
SUTA.
FUTA
Property
Erwtranmenllll.
EliCiM
Property
Other
Teal
~29
30IE1ec:tric (Account 408.1. 0.1)
240.1301
41.105
ol
340.7551
3.9331
143.0601
475,1261--71,643
2421
16,1781
1,332.172
248.0351
248.035
3,182
2,588
341Elclraordiiiii~Account 0.3)
35 Other Utility
Income (408.1, 409.1)
to Retained c - - ' - , .. _..., "'"""'
._ A.llo..t.
I38'S71CWIP
(Account
Other
207)
(llst)408-Fr~nchlse
(1)
2,717
I
2,588
485
0
I42,~0TA~ ~~ld eqll81 Lines 12+/-Linl27,
242,847
Page41
41,570
Ol
79
340,7551
3,9331
143,0601
475,1261
71,722
(1)llllblllty acct Is 241,
79
2421
264,7181
1.
nat 236, .nd Is nat shown--
I
I
umn (g). Include in column (i) the average period over which
the tax credits are amortized.
Balance at
Beginning
of Year
Adjustments
Notes
1. Use this space to explain any adjustments made in this period.
2. Use this soace to list bv vear aenerated and bv amount anv ITCs that have not been utilized and have not
10
11
12
13
14
15
16
17
18
19
20
21
22
Page42
the end of the
Balance at
End
Year
Average Period
of Alocation
to Income
For the Year Ended
Name of •· - : . - Chesapeake Utilities Corporation
Dec.31, 1997
MISCELLANEOUS CURRENT AND ACCRUED LIABILITIES_(Account 24~
2. Minor lt8rM (leu than $50,000) may be grouped
1. Deecrlbe
report 1tw amount rA other C~MTent
under appropriate title.
accrued liabilitiM at 1he end rA year.
n
n
Balance at
End
rAYear
(b)
$18,491
10,087
Line
No.
ltam
(a)
Acorued Audit Fees
Accrued Flex Rata Liability
Acorued Legal
Accrued Bonl.lu8
5 Accrued Payfdl
6
1
2
3
-
.
93,763
-
7
8
9
10
11
12
13
14
15
16
17
18
TOTAL
$122 341
OTHER DEFERRED CREDITS (Account 253)
1. Report below the particulars (detail&) called for concerning other
deferred credits.
2. For any deferred credit being amortized, show the period of
Line
No.
Deecription of Other
Defwred Credit
(a)
1
2
3
4
5
109 Reg l.illb. Depr
109 Reg Uab lTC
Accrued 636 TCR Uab.
6
Unearned Interest Income
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
Accrued Pen8ion
Acorued OPRB
TOTAL
amortization.
3. Minor Items (less than $25,000) may be grouped by
clasaes.
DEBITS
Balance
Begiming
of Year
(b)
Credits
Balance at
EndofYear
(e)
(f)
Contra
Account
Amount
(c)
158,374
240,166
943,209
305,208
71,050
3,138
(d)
20,641
282,283
283-255
12,129
1865-4
92607
926015
419
943,209
$1 721145
~
Page43
I
-
179,015
228,037
-
86,768
1,193
4784
62,572
75
181,631
281,012
$1048083
$265119
$938,181
69,932
180,185
Page44
For the Year Ended
Dec.31, 1997
OTHER REGULATORY LIABIUTIES {Account 254)
1. Reporting below the partict.11a1s (detaila) called for
3. Minor it8rna (5~ cl the Balance at End cl Year for Account
254 or amounts less than $50,000, whichever I& leas) may
_ _... .... _..,other~~ which are created
IVWVL¥1 the ,..,.Icing 8Ciiorw d regulatory agencies
be grouped by classes.
and not lndudable In other wnounts).
12. For regullltDry lillbllitiea being .-nortized, show period
lot amortization In oolumn (a).
Balance
Llna
No.
1
2
3
4
Beginning
ciYear
...............
Amount
Credits
Balance
End dYear
{a)
{b)
(b)
(c)
(d)
{e)
NIA
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
Debit&
Deecription and Purpoae cl
Other Regulatory l.iabilitiM
TOTAL
Page 45
Contra
Dec. 31 1997
gas
revenues
account
Natural gas means either natural gas unmixed or any mixture of natural and manufactured gas.
Report number of cutomers, columns (f) and (g), on the basis of meters,
that where separate meter readings are added for blUing purposes, one customer should be
IICOI.~Utla for each group of meters added. The average number of customers means the average of twelve figures at
dose of each month.
Report quantitieS of natural gas sold in therms (14.73 psla at 60 F).
Report gas service revenues and therms sold by rate schedule.
Tille of Account
~~-
••
~· ·~
•
. . > , __....
... . .
•. •
..
•
~"·-),
Dec. 31 1997
year ....u,...,,.,_
..""....... reported figures, explain any inconsistencies in a footnote.
9, Important Changes During Year, for important new territory added and
limtr\nnr.nt rate Increases or decreases.
'
,
•
.'
•
••
....
•
._..
/
•
/'
,-.
•
"
,.. v
•
•••
•,,,
./'
~
•
•.
• •
•
-".
< ">'>
•
• • ••
:;;n:
.)1 ._.
,.?'
••
•
NOTES
transportation customers are already included as
Mtc.tnrn•••ln the sales category.
.;:
I'
2
For Space Heating Only, Estimated Average Therms (14.73 psia
at60
for
Year
3
Numberof
the Year
4 Number of Unfilled
Year
below
average """..-"
and firm Industrial customers on local distribution
k\l!l:tAnlR of the respondent, and the Therms of gas sales
these customers for the year.
Interruptible customers are those to whom service may
Interrupted under terms of the customer's gas contract,
to whom service Is required to be Interrupted, regardless
the contractual GrrDfti1Aft'IA.,oM
Une
No.
Item
Number/Amount
?
:.
.'
·i:
•
.
;
9
Therms of Gas Sales for the Year
Page
~~
?
.'
•
--~
:.·. ·•• :,..>. :;.. /.
. '"·· ,·)
.... :;..-
. . . ..
~
.
'·
~
.
.
. .
.
-:
.;
Dec. 31 1997
;x~~-·-·::< :_<~.··;?;.
12,952
9,994
:/~~p~?:.·:·~.}~--~;~/!-;~~ ~ ··.?
;1; ~/,, <:~ ~N
~
<·
•/
/J
/
•
~ ~~~ ~Y/.·.~~J·~ ~;{~~ ~ '<z~]
<
1. The data on number of employees should be reported for payroll period ending nearest to October 31,
or any payroll period ending 60 days before or after October 31.
2. If the respondenfs payroll for the reporting period includes any special construction personnel,
include such employees on line 3, and show the number of such special construction employees in a footnote.
3. The number of employees assignable to the gas department from joint functions of combination utilities
may be determined by estimate, on the basis of employee equivalents. Show the estimated number of
to
functions.
~~~or ~-r.""""'"
For the-vear Ended
Utilities Corporation
GAS PURCHASES CAccount1 800 800.1 801 802 803 804 804.1 805 805.1)
1. Provide totala for the follov.ing IICCOUiltt:
Nlltunll Gal Well ,.._ PurchMea
800
800.1
Natural G81 Well Had PurcMaea,
801
802
803
804
804.1
805
805.1
The totala 1hown in columna (b) and (c) lhould agree with
the bookl of IICCOUnt. Reconcile any dlfferencea In a foot-
note.
lntnlcompany Tranafera
Natural Gaa Field Line PurchMea
Natural Gal GuoUne Plant outlet Purchaaea
Natural Gu TI'IIIWmiulon Line Purchaaea
Natural Gal City Gate Pun:hMea
Liquefied Nabnl 0.. PurchMea
Other Gu PurchaiM
2. State in column (b) the volume of purchaaed ga1 a1 finally
measured for the purpoae of determining the amount payable
for the gas. Include current year receipta of makeup gas
hit waa paid for in prior yeara.
3. State in column (c) the dollar amount (omit centa) paid
and previously paid for the volumea of gu lhown In column (b).
4. State In column (d) the average co.t per Therm to the
nureat hundredth or a cent. (Average meana column (c)
divided by column (b) multiplied by 100.)
PurchMe O..eo.t~
Gaa PurchMedAccount Title
Une
No.
(a)
Dec.31,1997
Therrna
(14.73- 80 F)
Coat ofGa1
(In dollars)
(b)
(c)
Average Coat Per
Therm
(To neareat .01 or a cent)
(d)
Producer/Marketer
1 800 - Natural 0.. Well Head Purc:hMn
800.1 - Natural Gal Well Head Purchaaea,
31 320199
$11863875
-
(9041
31320199
S11 854 834
37.88
2
lntnlcompany Tran1fera
3 801 - Natural Ga1 Field Une Purchaaea
4 802 - Natural Gal Galollne Plant
Outlet Purchalel
5 803 - Natural Gal Tranamlallon
UnePurchalel
6
804 - Natural Gal City Gate
Purchalel
7 804.1- Liquefied Natural Gas
Purchalel
8 805- Other Gu Purchalel
9 805.1 - Purchaaed Gal Colt
Adiultmentl
10 TOTAL (Enter Total of Hne.1 through 9)
NOTES TO GAS PURCHASES
Page 52
37.85
. Report below p~ (details) of credits cUing the
to Accol.1118 810, 811 and 812 which offset charges to
looeratina expenses or other accounts for the cost of gas from
respondent's own supply.
Natural gas means either natural gas unmixed, or any mixof natl.r"al and manufactured gas.
the reported Therms for any use is an estimated quantity,
such fact in a f,...,..,,..••
No.
Purpose for Which Gas Was Used
Account
Charged
4. If any natural gas was used by the respondent for
which a change was not made to the appropriate operating
expense or other account, list separately in column
(c) the Therms of gas used, omitting entries In columns (d)
and (e).
5. Report pressure base of mea&ll"ement of gas volumes at
14.73 psia at 60 degrees F.
Therms
of Gas
Used
Amount of
Credit
Amount per
Therm
(In cents)
of Gas
Used
Amount of
Credit
For tne Year Ended
Name of Respondent
Chesapeake utilities Corporation
Dec.31, 1997
OTHER GAS SUPPLY EXPENSES{Account 813)
Report other gas supply expenses by descriptive titles which clearly indicate the nature
of such expenses. Show maintenance expenses separately. Indicate the functional
classification and purpose of property to which any expenses relate.
Amount
Line
(in dollars)
Description
No.
(a)
(b)
1
NIA
2
3
4
5
6
7
8
9
10
11
12
13
14 TOTAL
MISCELLANEOUS GENERAL EXPENSES (Account 930.2) (Gas
Line
No.
Amount
(b)
Description
(a)
1
Industry Association Dues
2
Experimental and General Research Expenses:
(a) Gaa Research Institute (GRI)
(b) Other
Publishing and distributing information and reports to stockholders; trustee,
registrar, and transfer agent fees and expenses, and other expenses of
servicing outstanding securities of the Respondent
3
4
$63,014
Other expenses (items of $5,000 or more must be listed separately in this
column showing the (1) purpose, (2) recipient and (3) amount of such items.
Amounts of less than $5,000 may be grouped by classes if the number of items
so grouped is shown)
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19 TOTAL
$63,014
Page 54
.ft
IN&meOf
For the Year ~naea
Utllltietl Cofponltlon
I"'
IIUN,
DEPLETION, AND AMUK IIU\IIUN OF GAS PLANl'&,.,..,......, ..ma ..tu,.1~ ll!'i
"tExceot
'of,/J. ,_,.,_,.._M
\'
~~
Dec. 31 ' 1997
1. Report In Section A the amounts of depreciation expenae, depletion and amortization for the accounts Indicated and claulfled according
to the plant functioNII group. ahcwn.
A.
Depreciation
I~
Functlonel CIMelflcation
Elcpenee
(Acccxri 403)
Amortization
& Depletion of
Prod. Hilt.
Ulnd&
Ulnd Rights
'A.....Al:lt <404.1)
(b)
(a)
_1
3
(c)
1PiaM
2 l~:~rn~t.ww,~
of UnderIN storage
Land &
Land Rights
Amortization of
other Limited-
term
Total
(Account 405)
(b to f)
O..Piant
-R(404.2) (Account <404.3)
(d)
Amol1lzlltJon of
Other 0.. Plant
(e)
(f)
(g)
101.386
_1!)1,38«5
71,113
763,643
1DIMt
ISh
I gea atoraae
Dlant
6 other storage l*nt
7 Base load LNG term. & Df'OCM. Dlant
8
I Plant
9 NMI'ihl.t~ PiaM
10 I~!__Piant
11
Amortization
••--igaa
11Unt. nat. aaa
IDwvt• ...t~anct
4 la.....~•...t.
~~·
,and
•of
....
692.530
66,692
-
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37 !TOTAL
~7~???
$172.~
Page 55
$931,721
For tne Year Ended
!Name of Respondent
Chesapeake Utilities Corporation
Dec. 31 1997
PARTICULARS CONCERNING CERTAIN INCOME DEDUCTIONS AND
INTEREST CHARGES ACCOUNTS
Report the information specified below, in the order given for the respective income
deduction and interest charges accounts. Provide a subheading for each account and
total for the account Additional columns may be added if deemed appropriate with
respect to any account.
(a) Miscelaneous Amortization (Account 425) - Describe the nature of items included
in thla account, the contra account charged, the total of amortization charged for the
year, and the period of amortization.
(b) Milcelaneous Income Deductions - Report the nature, payee, and amount of other
income deductions for the year n required by Accounts 426.1, Donations; 426.2 Life
lnaunmce; 426.3 Penalties; 426.4, Expenditures for Certain Civic, Political and Related
Actlvltie8: and 426.5, Other Deductions, of the Uniform System of Accounts. Amounts
of lela than $25,000 may be grouped by cla8ses within the above accounts.
(c) lntereet on Debt to Associated Companiea (Account 430)- For each associated
company to which interest on debt was incurred during the year, indicate the amount
and intereet rate respectively for (a) advances on notes, (b) advances on open account,
(c) note. payable, (d) accounts payable, and (e) other debt, and total interest
Explain the nature of other debt on which interest was incurred during the year.
(d) Other Interest Expense (Account 431)- Report particulars (Details) including
the amount and interest rate for each other interest charges Incurred during the year.
Une
No.
1
2
3
Item
Amount
(a)
(b)
Other deductions - 426-5
Other interest charges-431,4311,4312,4315
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Page 56
$1,176
$155,176
1997
Report below the distribution of total salaries and wages for the year. Segregate amounts originally charged to
clearing accounta to Utility Departmera, eon.truction, Plant Removals, and Other Accounts, and enter such amounts in
the appropriate Una. and columns provided. In determining this aegregation of ularies and wages originally charged to
clearing accounta, a method d approximation giving ~Y correct results may be used.
Une
No.
Payroll Charged
for Clearing
Accounts
For the Year Ended
Name of Respondent
Chesapeake Utilities Corporation
Dec. 31, 1997
REGULATORY COMMISSION EXPENSES (Account 928)
2. In columns (b) and (c), indicate whether
1. Report particulars (details) of regulatory commission
the expenses were assessed by a regulatory body
expenses incurred during the current year (or incurred in preor were otherwise incurred by the utility.
vious years if being amortized) relating to formal cases before
a regulatory body, or cases in which such a body was a party.
Description
Deferred in
Expenses
Total
Assessed by
Account 186
Furnish name of regulatory commission or body,
Regulatory
of
Expenses
at Beginning
Line the docket or case number, and a description
of the case.)
Commission
Utility
to Date
of Year
No.
(d)
(e)
_{_c)
(a)
_{_b)
1 Florida Public Service Commission
-
$37,904
$37,904
-
-
$37 904
$37 904
-
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40 TOTAL
Page 58
For me Year Ended
IName of ~--~-~_,...., ..
iC1
Utilities Corporation
Dec. 31, 1997
RE~lll A.l Ot<Y COM~
NF
=~
for Account 186.
5. List in column (f), (g) and (h) expenses incurred
during year which were charged currenUy to income,
plant, or other accounts.
6. Minor items (leu than ~?Fii nom may be nrnunAI'I
3. Show in column (k) any expenses incurred in prior
years which are being amortized. List in column (a) the
period of amortization.
4. The totals of columna (e), (1}, (k), an~~~~ must
1
agree with the totalalhown at the bottom ' page 34
EXP~~~~~~ INr.IU~RI=n DURING YEAR
r.~ARt:ll=n r.IIR~ENTLY TO
Deferred to
.~~. ......... nt: No.
Account186
Amount
(g)
(h)_
(I)
~R"II.!.I::II.J nLigltJ~
Contra
Account
ue(n'..'"
Legal
928
...--
IAr.r.nunt 928} {vonuuUed)
0>
-
~6
r.nnllllltinn.
YEAJ
Amount
(k)
Deferred in
Account186
EndofYear
Une
No.
(I)
-
-
1
2
Study
928
-
21,058
-
-
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
~
-~
_$37,904
Page 59
37
38
39
-
-
AQ.
[Name Of tceapondent
Chesapeake Utilities Corporation
For tne Year Enaea
Dec. 31 1997
CHARGES FOR OUTSIDE PROFESSIONAL AND OTHER CONSULTATIVE SERVICES
1. Report the Information specified below for aU charges
made during the year included in any account (including plant
accounts) for outside consultative and other professional
services. (These services include rate, management, construction,
engineering, research, financial, valuation, legal, accounting,
purchasing, advertising, labor relations, and public relations,
endered the respondent l.llder written or oral arrangement, for
which aggregate payments were made during the year to any
...... ...:.: , partnership, organization of any kind, or individual
other than for services as an employee or for payments made
for medical and related services] amounting to more than $25,000,
~ payments for legislative services, except those which
~ be reported in Account 426.4 Expenditures for Certain
Civic, Political and Related Activities.
(a) Name and address of person or organization rendering
services,
(b) description of services received during year and
project or case to which services relate,
(c) basis of charges,
(d) total charges for the year, detaiUng utility department
and account charged.
2. For any services which are of a continuing nature, give
the date and term of contract and date of Commission
authorization, if contract received Commission approval.
3. Designate 'Nith an asterisk associated companies.
Description
1
2
3
4
5
Amount
(a)
(b)
Legal
Aocoooting and Audit
Other
$70,043
$36,047
$111,862
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
Total
Page 60
$217,952
Reconciliation of Gross Operating Revenues
Annual Report versus Regulatory Assessment Fee Return
!Company:
For the Year Ended December 31, 1997
Chesapeake Utilities Corporation
For the current year, r•concle the gross opel'llllng rennues a reported on Page 46 of this report wllb the
gross operating revenues a raported on the utility's regulatory assessment fee Ntum. Explain Md justify
any differences between the reported gross operating revenues In column (f).
(a)
(d)
(c)
(b)
.....
Grou Openllng
Une
Description
lniMstMII and
Sales for ReAle
ReftnUHper
No.
1
Total Sales to Ultimate Customers(~. 484)
2
3
Sales for Resale (483) Off System Sales
Total Natural Gas Service Revenues
4
Total Other Operating Rewnues(485-495)
5
Total Gas Operating Revenues
6
Provision for Rate Refunds (496)
7
Other (Specify)
15,734,412
381,814
16,116,226
3,344,155
19,460,381
172,749 (1)
{381,814
(209,065
(123,684 (2)
(332,749
.
.
(e)
(f)
Adjustad ...........
Grou Operalng
Openltlng ...,..._
DllhnMe
~
perMFIWIIm
(d) ·fel
15,907,161
.
.......-..Gross
15,907,161
.
15,907,161
15,907,161
3,220,471
3,216,540
19,127,632
19,123,701
.
.
.
.
.
3,931 (3)
.
8
9
10 Total Gross Operating Revenues
Notes:
1)Deduct public authority revenue
Add flex surplus
Deduct flex refunds
Add conservation revenue
Deduct flex on public authority
Total adjustment
172,749
2)Add conservation rev on transp.
Adjust net unbilled revenue to gross
1996 True-Up
Deduct Public Authority Transp.
Deduct Service Revenue
Tolal adjustment
61,943
22,013
1,082
(8,347)
(200,375)
(123,684}
$19460381
(24,003)
53,220
.
($332749
$19127632
$19123 701
3)The company booked a final unbilled revenue calculation after the tax return
was filed. The adjustment wiD be reflected in the next return.
147,498
@.966)
Page61
$3931
CORPORATE STRUCTURE
Company: Chesapeake Utilities Corporation
FortheYearEnded December31.1997
Provide an updated organizational chart showing all affiliated companies, partnerships, etc.
Effective
Date
See Attached
Page62
-
f
I
J
~
j
. :Jr .J
•
'
z
.'·
- :i0
""0
~
u
V)
I-ll
.....
1-<
.....
. ::>.....
....l
1-<
I-ll
~
<
I-ll
<
""
V)
I-ll
:t
u
• T
••:a..
u
:a
•.
•.
c
•..
II
.
t·
:uf
;
. -ri
ll
·~5 ·~;
0
.....
1-<
:4~
. r, .
.:. .-~
j,~,
?f
~ .~"+..:
rF
·!~'"
.,
.,
j•.:
NEW OR AMENDED CONTRACTS WITH AFFILIATED COMPANIES
COMPANY: Chesapeake UUIItles Corporation
For the Year Ended December 31, 1H7
Provide a aynopels of each new or amended contract, agreement, or arrangement with affiliated companiea for the
purchase, lease, or sale of land, goode, or eervlces (excluding tariffed items). The synopsis shaH Include, at a minimum,
the terms, price, quantity, amount, and duration of the contracts.
Name of Affiliated
Company
Synopsis of
Contract
(a}
{_b)_
N/A
Page63
INDIVIDUAL AFFILIATED TRANSACTIONS IN EXCESS OF $25.000
Company: Chesapeake Utilities Corporation
For the Year Ended December 31. 1997
Provide information regarding individual affiliated transactions in excess of $25,000. Recurring monthly
affiliated transactions which exceed $25,000 per month should be reported annually In the aggregate.
However, each land or property sales transaction even though similar sales recur, should be reported as
a "non-recurring" Item for the period in which it occurs.
Name of
Affiliate
Description of
Transaction
Dollar
Amount
Cal
(b)
_(C)
See Page 65.
Page 64
SUMMARY OF AFFIUATED TRANSFERS AND COST ALLOCATIONS
Company: Chesapeake Utilities Corporation
For the Year Ended December 31, 1997 ·
Grouped by affiliate, list each contract, agreement, or other business transaction exceeding a cumulative
amount of $300 in any one year, entered into between the Respondent and an affiliated business or financial
organization, firm, or partnership Identifying parties, amounts, dates, and product, asset, or service Involved.
~a) Enter name of affiliate.
~b) Give description of type of service, or name the product involved.
(c) Enter contract or agreement effective dates.
(d) Enter the letter "p" if the service or product Is a purchased by the Respondent: "s" if the service or
product Is eold by the Respondent.
(e) Enter utility account number in which charges are recorded.
(f ) Enter total amount paid, received, or accrued during the year for each type of service or product listed
In column (c). Do not net amounts when services are both received and provided.
Total Chall e for Year
Relevant Contract
or Agreement and
Effective Date
(c)
"p"
or
"s"
(d)
Account
Number
(e)
p
p
p
p
Gas SUpply
Gas Supply PayroiUExp
Fltcal year 1997
Fltcal veer 1997
Fltcal yur 1997
Fltcal year 1997
Filall yur 1997
Fltcal year 1997
Fiscal year 1997
various
various
various
various
various
various
various
$1,462,587
$13,423,868
$247,374
$1,801,886
$16,976,485
$141,859
E•stern Shore Natural Gas
Accounts Pav-ble
Fisc* year 1997
various
$292
~klpjllck
General Corp Services
Fiec.l year 1997
p
various
$14,680
~Nirp Energy
Accounts Payable
FISCIII year 1997
Fllclll year 1997
p
p
various
various
$2,116
$1,642
Name of
Affiliate
Cal
Ice UtllltlM Corp
Ice UtllltlM Corp
Ice utllltlea Corp
Ice utllltlea Corp
ke ut111t1ea Corp
utllltlea Corp
Ice Utilities Corp
i&twp Energy
Type of Service
and/or
Name of Product
(b)
P8yroll
Accounta Payable
Payroll Tax T,.,.fer
Gencnl Corp. Services
Caah Tl'llnuctions
Payroll
•
••
•
Dollar
Amount
(f)
$45,000
Page65
--------------------------
ASSETS OR RIGHTS PURCHASED FROM OR SOLD TO AFFILIATES
Company: Chaapeake Utllltl. . Corporation
For the Year Ended December 31, 1987
Provide a summary of affiliated transactions involving asset transfers or the right to use assets.
Description
of Asset
or Right
Name of Affiliate
Purchases from Affiliates:
Chesapeake utilities
Corporation (parent)
Cost/Orig.
Cost
Accumulated
Depreciation
$
Laptop Computer
$
1,940.75
Net Book
Value
$
(944.14
Fair Market
Value
$
Purchase
Price
$
996.61
996.61
Total
Sales to Affiliates:
$998.81
$
$
$
$
!SaJes--pffce
None
Total
$
Page66
Title
Passed
Yes/No
n/a
EMPLOYEE TRANSFERS
Company: Cheupeake Utllitle• Corporation
For the Year Ended December 31, 1997
List employees earning more than $30,000 annually transferred to/from the utility to/from
an affiliate company.
Company
Transferred
From
Company
Transferred
To
Old
Job
Assignment
None
Page67
New
Job
Assignment
Transfer Permanent
or Temporary
and Duration
INDEX
AOOUmU1ated provision for depreciation and amorti&atian
of gas utility plant . . . . . . . •
. . . . . • . . • . • • . • . • . 31
utility plant (SUIIIIftllrY)
• • • • • • • • • .• • • • • • • • • • • • . • 20-21
AdvaDO&S
from associated companies . . . . . . . . .
lUIIDrti&ation
miscellaneous • . . . . • . . . • . . • • •
of other gas plant to service . . . . • • •
aDd depletion of production aatural gas l.and
Associated OCIII'anies
actvaD.aea from • • . • . . . . . . . . • • •
~trol OV'er ra~t
• . . • • • • • • •
aozpora.tiODB controlled by respondent • • •
interest an debt to • . • . . . . . • • • .
service contracts dbarges . . • • . . • • .
. • . • . . . • . . •
. • • • . • . . • . •
. • . . . . . . . • •
and land rights • • •
•
•
•
.
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
.
•
.
•
•
•
.
•
.
•
•
•
•
•
•
•
•
•
.
•
•
•
•
•
•
•
.
•
~t
.
during the year
37
56
55
55
• • • •
37
• • • •
• • • •
• • • •
31
60
31
.• .• .• .- .• '5
BCJIIda • • • • • • • •
Cbanges
...
...
. ..
....•9
. • • . . • • • . . • • • . . .-.. • • .
Ccaatruetiaa.
ovedlead., gaa • • • • • • • • • • • • • • • • • • • • • • • • • • • • .
ovedlead. prooadures, general. description of • • • • • . • • • • • • • •
2t
30
1IOZtt ill pros;rre.aa - gaa • • • • • • • • • • • • • • • • • • • • • • • • • 28
1IOZtt ill pros;rre.sa - other utility c!apartmanta • . • • • · • • • • • • • • 20-21
Ccalt:raat:a,
•erviae c::J!larg'ea
• • • . • • • • • . • • • • • • • • • • • • • • •
Colltrol
cozporatiODB controlled by respondent
over ~apondent • • • • • • • • • • •
security hol.d.ara and voting powers . ..
CW::rent and accrued
liabilities, miaaellanaaus • . . • . •
Defec:ed
az:adita. other • • • • • • . • . • • •
debita. misoallaneoua • . • . • . . •
Depreaiatian
gall plant
ga11 plant
60
. • • • . • • • • • • . •
. 5
.. '8
• • • • • • • • • • • . •
. . • . • • • • • . • • •
u
u
• • • . . • • • . • • • •
• . • • • • • • • • • • •
• . • • • • • . • • • • •
34:
• . • • • . . . . . . . . . . . . • . • . • • • • • • • • • •
55
to service • • . • . • . • • • . • . • • . •
• • • • • • • • • 31
Direat:oz'11 • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 7
Bezlti aga. retained . . . • . . . . . • . • . . • . . • . . • • • • • • • • 15-"16
. . . . . . . . ,,_51
lbcpanaea, gas operation and ma.intenanae • • • • • • • • • •
gaa operation and mainteDanoe, 8UIIIIUI%'Y • • • • • • • • • • • • • • • • ,1-51
~p~~l~AS • • • • • • • • • • • • • • • • • • • • • • • •
32
Gas
puzcbaaea. natural aD4 other • • • • • • • • • • • • •
use4 ill utility oparatiaa.a, cre4it • • • • • • • • • •
plant ill aerviCJe; • • • • • • • • • • • • • • • • • • •
Gaaera1 description of aaaatxuction oved1aa4 procedures • •
~t d:Ja,agea d:aJriDsJ year • -. • • • • • • • • • • • • •
• • • • • •
52
• • • • • •
53
• • • • • 22-27
• • • • • • 30
. . . . . . . I
IDCDII8
daductioaa - details • • • • • • • • • • • • • • • • •
• • • 37-38,56
• • • • • • 56
• • • • • 12•14:
fRill. utility plant leasac! to others • • • • • • • • •
statement of, for year . . . • • . • • . . . . . • • •
Interest
c::lll.argaa, otber • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
56
• • • • • • • • •
56
debt to aaaooiated ~nt ea • • • . . . • • • • •
aa. lcag•tel:ll_"debt, a4vanaaa, etc. • • • • • • . • • •
Interxuptibl.e, off-peak and fb:a aalea-tn4uatrial. • . . • •
Imraatmellt tax crecU.ta generated and utiliaed • • • . • • •
Imraatllellta • . • • . • . • • • . • . . . .
Laga.1 prooeec!i.ngs during year • • • . . • •
Lorlg- teJ:m debt
• . . • . • . . . . . . . .
as8UID84 during year . . . . . . . . .
OD
:=~~u;g·~~
:::: :::::
Index 1
•
•
•
•
•
.
•
•
•
.
•
•
•
•
•
•
•
.
•
•
• • • • 17
. . . . '8
• 11-U,U
• • • • 10
• • • • • • • • • • 9
•
•
•
•
•
•
•
•
•
•
•
.
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
.
.
•
•
•
31
16
36
36
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