Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from the line of Daniel Fidell – Brean Murray, Carret
Daniel Fidell – Brean Murray, Carret
Just a couple of questions, I guess first housekeeping question, can you talk about or give us a little color on the other income net line, down 1.3, versus 41,000 pull in last quarter. Just any kind of color on what was driving that line.
Kim Wright
That was really an accumulation of relatively smaller items that were not worthy of discussion.
Daniel Fidell – Brean Murray, Carret
Okay, can you also maybe just give us a little bit more detail on the rate case filing. I know I saw some of the official release for the new filing and I know you asked for a number of items that you covered just now, just wondering if there exists a potential for any specific tracking mechanisms in that filing. What I’m really going after is, is a more formalized bad debt track or a CapEx track or those kinds of items a possibility to come out of the next case.
Christopher Capone
Regarding uncollectibles the current methodology or the current approach that’s imbedded in our rate agreement is a backward look. They go back, again in the rate year that we’re in now, they went to the period ending March 31, 2009 and looked at the trailing 12 months. And so that is a kind of a backward lagged view and that’s continued to deteriorate.
We are looking for something at a minimum that will update through March 31, 2010 for the trailing 12 months, but that’s in effect a placeholder right now. We would like to gain something that’s more forward-looking and we have filed testimony based on our review that is a forward-looking view.
But in a one year rate case which is what we have filed, the Commission and staff are atypically reluctant to provide any sort of deferral treatment on that basis. And the other one on CapEx, again there, what we have filed in the rate case for a capital [map] that we believe will allow us to serve our customers adequately and provide the infrastructure necessary to maintain the type of reliability our customers have come to expect.
But that’s a process underway. The rate case process is underway right now. We expect to get staff testimony on November 17 or thereabouts so we’ll have a much better idea of what staff’s view is on many of these items.
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