By - Jon Brown

Intermediate Utility Depreciation
February 20-21, 2020 | Denver, CO

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Introduction to Utility Depreciation, February 19-20, 2020 in Denver, CO

This course guides utilities and energy personnel through the strategies necessary to understand the depreciation study process, meaningfully interpret depreciation study results, and develop expertise to build solid plant records upon which accurate and defensible depreciation studies can be performed.  The material that will be covered in the course will include, but will not be limited to, a discussion of company historical source data used for depreciation study purposes; development of a depreciation study database; how and why historical information is analyzed; other factors considered in life and salvage analysis; a discussion of depreciation methods, procedures, and techniques for depreciation rate development; and what is included in a depreciation study report.  The course is not simply a lecture, but is intended to be interactive with the goal of addressing to the greatest extent possible, questions from the attendees, to maximize the participants’ understanding of the depreciation study process, results, and the application in revenue requirements.

Learning Outcomes

  • Review the fundamentals of utility depreciation, including the significance of depreciation, an overview of methods, procedures and techniques, and life and net salvage analysis
  • Examine plant accounting concepts and practices and the connection between property records and the depreciation study
  • Interpret survivor curves and draw useful data for the purpose of analysis and life projections
  • Perform actuarial analysis on in-class examples
  • Develop familiarity with the Simulated Plant Records (SPR) methodology and perform basic SPR analysis on in-class examples
  • Consider how life span limitations and other factors influence the development of depreciation accrual rates
  • Explore the process of net salvage analysis, identifying the factors that are considered and work through examples
  • Examine principles for handling contributed plant in plant accounting records and the impact on the depreciation study and resulting depreciation accrual rates
  • Introduce concepts for handling reimbursements related to premature plant retirements
  • Introduce Asset Retirement Obligations
  • Perform basic analysis of accumulated depreciation, comparing actual and theoretical “reserve” balances
  • Identify the steps of a depreciation study and common issues of contention in adversarial proceedings before regulators



EUCI has been accredited as an Authorized Provider by the International Association for Continuing Education and Training (IACET).  In obtaining this accreditation, EUCI has demonstrated that it  complies with the ANSI/IACET Standard which is recognized internationally as a standard of good practice. As a result of their Authorized Provider status, EUCI is authorized to offer IACET CEUs for its programs that qualify under the ANSI/IACET Standard.

EUCI is authorized by IACET to offer 1.2 CEUs for this event.


Requirements for Successful Completion of Program

Participants must sign in/out each day, be in attendance for the entirety of the course

Instructional Methods

Power Point presentations and open discussion will be used


Thursday, February 20, 2020

12:30 – 1:00 p.m. :: Course Registration

1:00 – 5:00 p.m. :: Course Timing

Review of Fundamental Utility Depreciation Concepts

    • What is Depreciation and Why is it Important?
    • Depreciation Methods, Procedures & Techniques
    • Life and Net Salvage Analysis
    • Property Accounting Concepts

Plant Accounting Data

    • How Much do You Need?
    • The Connection Between Data and Depreciation Analysis
    • Data Sifting
    • Tracking Plant Assets

Life Analysis – Advanced Concepts

    • Location vs. Mass Property Accounts
    • Survivor Curves – A More Detailed Look
    • Actuarial Analysis – From Data to Graphical Analysis
      • Review of Methodology
      • Class Example

Friday, February 21, 2020

8:00 – 8:30 a.m. :: Continental Breakfast

12:00 – 1:00 p.m. :: Group Luncheon

8:30 a.m. – 5:00 p.m. :: Course Timing


Life Analysis – Advanced Concepts (continued)…

  • Simulated Plant Record Analysis
    • Explanation of the Methodology
    • Determining the Quality of the Results
    • Class Example
  • Life Span Analysis
    • Square Curves
    • Truncated Curves
    • Interim Retirements
  • Other Life Factors
    • Technological Obsolescence
    • Replacement Campaigns
    • Regulatory Factors

Net Salvage – Advanced Concepts

    • Gross Salvage
    • Cost of Removal
    • Analysis Techniques and Examples
    • Other Factors to Consider
    • Reuse of Plant


    • Reimbursements for Relocation
    • Reimbursements from Insurance

Asset Retirement Obligations (ARO)

    • Creating an ARO
    • The ARO Life Cycle
    • Comparing Cost of Removal and ARO Accounting

Contributions in Aid of Construction

    • Basic Principles
    • Non-Refundable Advances
    • Refundable Advances

Accumulated Depreciation Analysis

    • Book Accumulated Depreciation
    • Theoretical Accumulated Depreciation
    • Comparing and Reconciling Book and Theoretical Accumulated Depreciation

Depreciation Study Data Request

Issues of Contention in Depreciation Studies

    • Benchmarking Life Parameters
    • Net Salvage
    • Other Issues

Looking into the Future

    • Technological Changes
    • Regulatory Shifts
    • Asset Management Evolution


James Keen, Utility Consultant, Aldrich CPAs + Advisors

Mr. Keen’s public utility experience totals over 19 years, focusing primary on regulatory matters, depreciation, and rate development.  Mr. Keen is a Certified Depreciation Professional experienced in preparing detailed depreciation studies for utility use and for review and approval by regulatory bodies.  His experience includes analyzing financial and technical information, developing spreadsheet models, preparation of revenue requirement studies and expert testimony, and performing market analysis and economic forecasting.  His expertise includes rate development, preparing utility contractual agreements, tariff modifications, depreciation studies and regulatory planning for electric, natural gas, solid waste, telephone and water and wastewater clients. 

Prior to his role as a consultant, Mr. Keen worked for the Regulatory Commission of Alaska for over 15 years, serving as the chief of the engineering section for 10 years.  During his time there, he was involved with managing complex regulatory rulemaking proceedings, developing regulations implementing federal and state programs, and analyzing matters of first impression.  He was also the Commission’s primary depreciation analyst.  He has testified before Alaska Senate and House Committees and taught workshops to utility personnel on regulatory policy, basic ratemaking, and depreciation. 

Before entering the utility arena, Mr. Keen was a design engineer at Rolls-Royce North America, specializing in aero gas turbine engines for commercial and military applications.  Mr. Keen has a Bachelor of Science in Mechanical Engineering from Purdue University.


EUCI Conference Center

6400 S Fiddlers Green Cir.

Greenwood Village CO, 80111

The EUCI conference center is conveniently located adjacent to the Arapahoe at Village Center Light Rail Station, allowing easy access to and from DIA, Downtown, and Local Area Attractions.

Nearby Hotels

Each of these hotels offers a complimentary shuttle to and from the EUCI conference center.

Hyatt Regency Denver Tech Center
7800 East Tufts Ave
Denver, CO 80237
Phone: 1-303-779-1234
2.8 miles away
Special EUCI Room Rate: $179.00
To access EUCI room rate visit
Click “Book Now”, then click “Special Rates”
Click “Corporate or Group Code” and enter CR102338
You may also call our central reservation at 1-800-233-1234 and give them the corporate code of CR102338

Springhill Suites DTC
7900 East Peakview Ave
Greenwood Village, CO 80111
Phone: 303-721-3321
0.3 miles away

Wingate by Wyndham
8000 East Peakview Ave
Greenwood Village, CO 80111
Phone: 303-626-2641
0.3 miles away

Hyatt Place Denver Tech Center
8300 E.Crescent Parkway
Greenwood Village, CO 80111
Phone: 1-303-804-7000
2.1 miles away

Denver Marriott Tech Center
4900 S Syracuse St
Denver, CO 80237
Phone: 303-779-1100
3.1 miles away


Please Note: Confirmed speakers do not need to register and are encouraged to participate in all sessions of the event. If you are a speaker and have any questions please contact our offices at 1.303.770.8800

EventEarly Bird Before
Friday, January 31, 2020
Standard RateAttendees
Intermediate Utility DepreciationUS $ 1195.00 US $ 1395.00

This event has the following related events:

Introduction to Utility DepreciationUS $ 1195.00 US $ 1395.00

Take advantage of these discounts!

  • Attend the Course and Introduction to Utility Depreciation and pay US $ 2,195.00 per attendee (save US $ 195.00 each)

Register 3 Send 4th Free!

Any organization wishing to send multiple attendees to these conferences may send 1 FREE for every 3 delegates registered. Please note that all registrations must be made at the same time to qualify.

Cancellation Policy

Your registration may be transferred to a member of your organization up to 24 hours in advance of the event. Cancellations must be received on or before January 17, 2020 in order to be refunded and will be subject to a US $195.00 processing fee per registrant. No refunds will be made after this date. Cancellations received after this date will create a credit of the tuition (less processing fee) good toward any other EUCI event. This credit will be good for six months from the cancellation date. In the event of non-attendance, all registration fees will be forfeited. In case of conference cancellation, EUCIs liability is limited to refund of the event registration fee only. For more information regarding administrative policies, such as complaints and refunds, please contact our offices at 303-770-8800

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