Document and Entity Information
Document and Entity Information Document - shares | 9 Months Ended | |
Sep. 30, 2019 | Oct. 28, 2019 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2019 | |
Entity File Number | 1-8966 | |
Entity Registrant Name | SJW GROUP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 77-0066628 | |
Entity Address, Address Line One | 110 West Taylor Street, | |
Entity Address, City or Town | San Jose, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 95110 | |
City Area Code | (408) | |
Local Phone Number | 279-7800 | |
Entity Listing, Description | Common Stock, par value $0.001 per share | |
Trading Symbol | SJW | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 28,456,490 | |
Entity Central Index Key | 0000766829 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Document Transition Report | false |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement [Abstract] | ||||
REVENUE | $ 113,997 | $ 124,853 | $ 294,644 | $ 298,981 |
Production Expenses: | ||||
Purchased water | 35,583 | 33,545 | 75,626 | 72,673 |
Power | 2,294 | 1,882 | 4,947 | 4,774 |
Groundwater extraction charges | 13,182 | 14,890 | 29,145 | 34,341 |
Other production expenses | 5,295 | 4,836 | 15,553 | 13,674 |
Total production expenses | 56,354 | 55,153 | 125,271 | 125,462 |
Administrative and general | 14,712 | 12,752 | 40,411 | 36,278 |
Maintenance | 4,923 | 4,980 | 13,977 | 14,036 |
Property taxes and other non-income taxes | 4,065 | 4,016 | 12,041 | 11,332 |
Depreciation and amortization | 15,122 | 13,682 | 45,368 | 40,921 |
Merger related expenses | 1,737 | 8,442 | 6,113 | 14,994 |
Total operating expense | 96,913 | 99,025 | 243,181 | 243,023 |
OPERATING INCOME | 17,084 | 25,828 | 51,463 | 55,958 |
OTHER (EXPENSE) INCOME: | ||||
Interest on long-term debt and other interest expense | (6,588) | (6,077) | (19,093) | (18,213) |
Pension non-service cost | (921) | (589) | (2,749) | (1,767) |
Unrealized loss on California Water Service Group stock | 0 | 0 | 0 | (527) |
Interest income on money market fund | 2,165 | 0 | 6,339 | 0 |
Gain on sale of California Water Service Group stock | 0 | 191 | 0 | 104 |
Gain on sale of real estate investments | 0 | 0 | 745 | 0 |
Other, net | 303 | 538 | 1,210 | 1,980 |
Income before income taxes | 12,043 | 19,891 | 37,915 | 37,535 |
Provision for income taxes | 2,565 | 4,103 | 8,802 | 7,591 |
NET INCOME BEFORE NONCONTROLLING INTEREST | 9,478 | 15,788 | 29,113 | 29,944 |
Less net income attributable to the noncontrolling interest | 0 | 0 | 224 | 0 |
SJW GROUP NET INCOME | 9,478 | 15,788 | 28,889 | 29,944 |
SJW GROUP COMPREHENSIVE INCOME | $ 9,478 | $ 15,788 | $ 28,889 | $ 29,944 |
SJW GROUP EARNINGS PER SHARE | ||||
Basic (usd per share) | $ 0.33 | $ 0.77 | $ 1.02 | $ 1.45 |
Diluted (usd per share) | 0.33 | 0.76 | 1.01 | 1.45 |
DIVIDENDS PER SHARE | $ 0.30 | $ 0.28 | $ 0.90 | $ 0.84 |
WEIGHTED AVERAGE SHARES OUTSTANDING | ||||
Basic (shares) | 28,451,811 | 20,626,654 | 28,438,521 | 20,593,570 |
Diluted (shares) | 28,549,928 | 20,732,040 | 28,528,002 | 20,721,970 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Utility plant: | ||
Land | $ 18,286 | $ 18,296 |
Depreciable plant and equipment | 1,897,117 | 1,833,051 |
Construction in progress | 109,245 | 68,765 |
Intangible assets | 15,799 | 15,799 |
Utility plant, gross | 2,040,447 | 1,935,911 |
Less accumulated depreciation and amortization | 647,841 | 607,090 |
Utility plant, net | 1,392,606 | 1,328,821 |
Real estate investments | 56,473 | 56,336 |
Less accumulated depreciation and amortization | 13,224 | 12,327 |
Total | 43,249 | 44,009 |
Cash and cash equivalents: | ||
Cash | 12,702 | 8,722 |
Money market fund | 412,000 | 412,000 |
Accounts receivable: | ||
Customers, net of allowances for uncollectible accounts | 27,965 | 19,154 |
Income tax | 63 | 1,888 |
Other | 2,719 | 1,203 |
Accrued unbilled utility revenue | 38,200 | 27,974 |
Current regulatory assets, net | 7,493 | 26,910 |
Other current assets | 6,672 | 4,871 |
Current assets | 507,814 | 502,722 |
OTHER ASSETS: | ||
Net regulatory assets, less current portion | 73,780 | 76,715 |
Other | 4,933 | 4,122 |
Other assets | 78,713 | 80,837 |
Assets | 2,022,382 | 1,956,389 |
Stockholders’ equity: | ||
Common stock, $0.001 par value; authorized 36,000,000 shares; issued and outstanding shares 28,456,490 on September 30, 2019 and 28,404,316 on December 31, 2018 | 28 | 28 |
Additional paid-in capital | 499,377 | 495,366 |
Retained earnings | 397,259 | 393,918 |
Total stockholders’ equity | 896,664 | 889,312 |
Long-term debt, less current portion | 511,076 | 431,424 |
Capitalization, Long-term Debt and Equity | 1,407,740 | 1,320,736 |
CURRENT LIABILITIES: | ||
Line of credit | 62,000 | 100,000 |
Accrued groundwater extraction charges, purchased water and power | 22,749 | 13,694 |
Accounts payable | 28,193 | 24,937 |
Accrued interest | 9,220 | 7,132 |
Accrued property taxes and other non-income taxes | 4,220 | 1,926 |
Accrued payroll | 5,011 | 7,181 |
Other current liabilities | 12,914 | 9,115 |
Current liabilities | 144,307 | 163,985 |
DEFERRED INCOME TAXES | 72,798 | 79,651 |
ADVANCES FOR CONSTRUCTION | 84,564 | 80,610 |
CONTRIBUTIONS IN AID OF CONSTRUCTION | 170,390 | 168,243 |
POSTRETIREMENT BENEFIT PLANS | 73,004 | 70,490 |
REGULATORY LIABILITY | 56,936 | 59,149 |
OTHER NONCURRENT LIABILITIES | 12,643 | 13,525 |
COMMITMENTS AND CONTINGENCIES | 0 | 0 |
Capitalization and liabilities | $ 2,022,382 | $ 1,956,389 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (usd per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (shares) | 36,000,000 | 36,000,000 |
Common stock, shares issued (shares) | 28,456,490 | 28,404,316 |
Common stock, shares outstanding (shares) | 28,456,490 | 28,404,316 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity Statement - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | Noncontrolling Interest |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Cumulative effect of change in accounting principle, net of tax effect | $ 0 | $ 2,203 | $ (2,203) | |||
Beginning balance at Dec. 31, 2017 | 463,209 | $ 21 | $ 84,866 | 376,119 | 2,203 | $ 0 |
Beginning balance (in shares) at Dec. 31, 2017 | 20,520,856 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 1,285 | 1,285 | ||||
Share-based compensation | 457 | 487 | (30) | |||
Issuance of restricted and deferred stock units | (2,020) | (2,020) | ||||
Issuance of restricted and deferred stock units (in shares) | 51,442 | |||||
Employee stock purchase plan | 653 | 653 | ||||
Employee stock purchase plan (in shares) | 12,838 | |||||
Dividends paid | (5,754) | (5,754) | ||||
Ending balance at Mar. 31, 2018 | 457,830 | $ 21 | 83,986 | 373,823 | 0 | 0 |
Ending balance (in shares) at Mar. 31, 2018 | 20,585,136 | |||||
Beginning balance at Dec. 31, 2017 | 463,209 | $ 21 | 84,866 | 376,119 | 2,203 | 0 |
Beginning balance (in shares) at Dec. 31, 2017 | 20,520,856 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 29,944 | |||||
Ending balance at Sep. 30, 2018 | 474,957 | $ 21 | 84,045 | 390,891 | 0 | 0 |
Ending balance (in shares) at Sep. 30, 2018 | 20,631,171 | |||||
Beginning balance at Mar. 31, 2018 | 457,830 | $ 21 | 83,986 | 373,823 | 0 | 0 |
Beginning balance (in shares) at Mar. 31, 2018 | 20,585,136 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 12,871 | 12,871 | ||||
Share-based compensation | 362 | 392 | (30) | |||
Issuance of restricted and deferred stock units | (3) | (3) | ||||
Issuance of restricted and deferred stock units (in shares) | 9,350 | |||||
Dividends paid | (5,766) | (5,766) | ||||
Ending balance at Jun. 30, 2018 | 465,294 | $ 21 | 84,375 | 380,898 | 0 | 0 |
Ending balance (in shares) at Jun. 30, 2018 | 20,594,486 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 15,788 | 15,788 | ||||
Share-based compensation | 486 | 504 | (18) | |||
Issuance of restricted and deferred stock units | (1,552) | (1,552) | ||||
Issuance of restricted and deferred stock units (in shares) | 23,616 | |||||
Employee stock purchase plan | 718 | 718 | ||||
Employee stock purchase plan (in shares) | 13,069 | |||||
Dividends paid | (5,777) | (5,777) | ||||
Ending balance at Sep. 30, 2018 | 474,957 | $ 21 | 84,045 | 390,891 | 0 | 0 |
Ending balance (in shares) at Sep. 30, 2018 | 20,631,171 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Cumulative effect of change in accounting principle, net of tax effect | 97 | 97 | ||||
Beginning balance at Dec. 31, 2018 | $ 889,312 | $ 28 | 495,366 | 393,918 | 0 | 0 |
Beginning balance (in shares) at Dec. 31, 2018 | 28,404,316 | 28,404,316 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | $ 5,873 | 5,873 | ||||
Share-based compensation | 870 | 886 | (16) | |||
Issuance of restricted and deferred stock units | (132) | (132) | ||||
Issuance of restricted and deferred stock units (in shares) | 14,312 | |||||
Employee stock purchase plan | 811 | 811 | ||||
Employee stock purchase plan (in shares) | 15,932 | |||||
Common stock issuance cost | (10) | (10) | ||||
Dividends paid | (8,528) | (8,528) | ||||
Ending balance at Mar. 31, 2019 | 888,293 | $ 28 | 496,921 | 391,344 | 0 | 0 |
Ending balance (in shares) at Mar. 31, 2019 | 28,434,560 | |||||
Beginning balance at Dec. 31, 2018 | $ 889,312 | $ 28 | 495,366 | 393,918 | 0 | 0 |
Beginning balance (in shares) at Dec. 31, 2018 | 28,404,316 | 28,404,316 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | $ 29,113 | |||||
Ending balance at Sep. 30, 2019 | $ 896,664 | $ 28 | 499,377 | 397,259 | 0 | 0 |
Ending balance (in shares) at Sep. 30, 2019 | 28,456,490 | 28,456,490 | ||||
Beginning balance at Mar. 31, 2019 | $ 888,293 | $ 28 | 496,921 | 391,344 | 0 | 0 |
Beginning balance (in shares) at Mar. 31, 2019 | 28,434,560 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 13,762 | 13,538 | 224 | |||
Distribution to noncontrolling interest | (224) | (224) | ||||
Share-based compensation | 702 | 718 | (16) | |||
Issuance of restricted and deferred stock units | (6) | (6) | ||||
Issuance of restricted and deferred stock units (in shares) | 7,579 | |||||
Dividends paid | (8,532) | (8,532) | ||||
Ending balance at Jun. 30, 2019 | 893,995 | $ 28 | 497,633 | 396,334 | 0 | 0 |
Ending balance (in shares) at Jun. 30, 2019 | 28,442,139 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income before noncontrolling interest | 9,478 | 9,478 | ||||
Share-based compensation | 936 | 952 | (16) | |||
Issuance of restricted and deferred stock units | 0 | |||||
Employee stock purchase plan | 792 | 792 | ||||
Employee stock purchase plan (in shares) | 14,351 | |||||
Dividends paid | (8,537) | (8,537) | ||||
Ending balance at Sep. 30, 2019 | $ 896,664 | $ 28 | $ 499,377 | $ 397,259 | $ 0 | $ 0 |
Ending balance (in shares) at Sep. 30, 2019 | 28,456,490 | 28,456,490 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity Parenthetical - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||
Cumulative effect of change in accounting principle, taxes | $ 33 | $ 1,507 |
DIVIDENDS PER SHARE | $ 0.30 | $ 0.28 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
OPERATING ACTIVITIES: | ||
Net income before noncontrolling interest | $ 29,113 | $ 29,944 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 47,363 | 42,649 |
Deferred income taxes | (7,214) | (5,445) |
Stock-based compensation | 2,556 | 1,383 |
Gain on sale of real estate investments | (745) | 0 |
Loss on sale of utility property | 20 | 0 |
Unrealized loss on California Water Service Group stock | 0 | 527 |
Loss on sale of California Water Service Group stock | 0 | (104) |
Changes in operating assets and liabilities: | ||
Accounts receivable and accrued unbilled utility revenue | (20,553) | (15,190) |
Accounts payable and other current liabilities | 4,166 | 3,493 |
Accrued groundwater extraction charges, purchased water and power | 9,055 | 8,474 |
Tax payable and receivable, and other accrued taxes | 4,471 | 12,482 |
Postretirement benefits | 2,514 | 3,036 |
Regulatory assets and liability related to balancing and memorandum accounts | 22,789 | (4,822) |
Other changes, net | (2,258) | (2,716) |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 91,277 | 73,711 |
INVESTING ACTIVITIES: | ||
Company-funded | (101,120) | (97,753) |
Contributions in aid of construction | (10,040) | (5,908) |
Additions to real estate investments | (137) | (123) |
Payments to retire utility plant, net of salvage | (4,374) | (3,789) |
Proceeds from sale of real estate investments | 745 | 0 |
Payments for business/asset acquisition | 0 | (2,496) |
Proceeds from sale of utility property | 150 | 0 |
Proceeds from sale of California Water Service Group stock | 0 | 4,112 |
NET CASH USED IN INVESTING ACTIVITIES | (114,776) | (105,957) |
FINANCING ACTIVITIES: | ||
Borrowings on line of credit | 73,000 | 52,000 |
Repayments of line of credit | (111,000) | (1,000) |
Long-term borrowings | 80,000 | 0 |
Payment to noncontrolling interest | (224) | 0 |
Debt issuance and broker fee costs | (1,157) | 0 |
Dividends paid | (25,596) | (17,297) |
Receipts of advances and contributions in aid of construction | 13,373 | 8,968 |
Refunds of advances for construction | (2,295) | (2,075) |
Other changes, net | 1,378 | (2,822) |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 27,479 | 37,774 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 3,980 | 5,528 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 420,722 | 7,799 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 424,702 | 13,327 |
Cash paid during the period for: | ||
Interest | 19,821 | 19,705 |
Income taxes | 16,286 | 5,145 |
Supplemental disclosure of non-cash activities: | ||
Change in accrued payables for construction costs capitalized | 505 | 1,221 |
Utility property installed by developers | $ (109) | $ 567 |
General
General | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL | General In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal, recurring adjustments) necessary for a fair presentation of the results for the interim periods. The unaudited interim financial information has been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and in accordance with the instructions for Form 10-Q and Rule 10-01 of Regulation S-X promulgated by the Securities and Exchange Commission (the “SEC”). The Notes to Consolidated Financial Statements in SJW Group’s 2018 Annual Report on Form 10-K should be read with the accompanying unaudited condensed consolidated financial statements. Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842),” as amended, which supersedes the lease requirements in “Leases (Topic 840).” This ASU generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use assets on the Consolidated Balance Sheets and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. ASU 2016-02 also makes some changes to lessor accounting and aligns with the new revenue recognition guidance. SJW Group adopted the new standard effective January 1, 2019, on a modified retrospective basis and did not restate comparative periods. SJW Group also elected the package of practical expedients permitted under the transition guidance and combined lease and non-lease components. In addition, SJW Group kept leases with an initial term of 12 months or less off the Consolidated Balance Sheets and recognized the associated lease payments in the Consolidated Statements of Comprehensive Income on a straight-line basis over the lease term. The adoption of this standard did not have a material impact on SJW Group’s consolidated financial statements. Revenue Water sales are seasonal in nature and influenced by weather conditions. The timing of precipitation and climatic conditions can cause seasonal water consumption by customers to vary significantly. Due to the seasonal nature of the water business, the operating results for interim periods are not indicative of the operating results for a 12-month period. Revenue is generally higher in the warm, dry summer months when water usage and sales are greater, and lower in the winter months when cooler temperatures and increased rainfall curtail water usage and sales. In response to the drought from 2014 to 2016 in California, the State Water Resources Control Board (the “State Water Board”) imposed mandatory water use restrictions and conservation targets. The Santa Clara Valley Water District (“Valley Water”), San Jose Water Company’s principal water supplier, also mandated water use restrictions along with conservation targets at levels higher than the State Water Board. While the Governor of California declared the drought over on April 7, 2017, the State Water Board made certain water use restrictions permanent. Further, Valley Water has maintained a conservation target of 20% compared to 2013 water usage. In 2018, Governor Edmund G. Brown signed into law Assembly Bill 1668 and Senate Bill 606. Both bills set an initial limit for indoor water use of 55 gallons per person per day by 2022 and reduced the limit further to 50 gallons per person per day by 2030. Implementation details remain to be developed as to how local water providers will meet this mandate as well as to how the California Public Utilities Commission (“CPUC”) will direct its regulated utilities to comply. To encourage conservation, San Jose Water Company received approval from the CPUC to implement a Mandatory Conservation Revenue Adjustment Memorandum Account in 2014. This account was subsequently replaced with a Water Conservation Memorandum Account (“WCMA”). The WCMA allows San Jose Water Company to track lost revenue, net of related water costs, associated with reduced sales due to water conservation and associated calls for water use reductions. San Jose Water Company records the lost revenue captured in the WCMA regulatory accounts once the revenue recognition requirements of FASB Accounting Standards Codification (“ASC”) Topic 980 - “Regulated Operations,” subtopic 605-25 are met. For further discussion, please see Note 8 and Note 9. The major streams of revenue for SJW Group are as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Revenue from contracts with customers $ 130,777 120,007 $ 314,003 294,319 Alternative revenue programs, net - WCMA (11,912 ) 4,193 (14,218 ) 7,794 Other balancing and memorandum accounts revenue, net (6,221 ) (788 ) (9,229 ) (7,235 ) Rental income 1,353 1,441 4,088 4,103 $ 113,997 124,853 $ 294,644 298,981 Earnings per Share Basic earnings per share is calculated using income available to common stockholders, divided by the weighted average number of shares outstanding during the period. Diluted earnings per share is calculated using income available to common stockholders divided by the weighted average number of shares of common stock including both shares outstanding and shares potentially issuable in connection with restricted common stock awards under SJW Group’s Long-Term Incentive Plan (as amended, the “Incentive Plan”) and shares potentially issuable under the Employee Stock Purchase Plan (“ESPP”). For the three months ended September 30, 2019 and 2018 , 524 and 306 anti-dilutive restricted common stock units were excluded from the dilutive earnings per share calculation, respectively. For the nine months ended September 30, 2019 and 2018 , 10,158 and 3,562 anti-dilutive restricted common stock units were excluded from the dilutive earnings per share calculation, respectively. Utility Plant Depreciation A portion of depreciation expense is allocated to administrative and general expense. For the three months ended September 30, 2019 and 2018 , the amounts allocated to administrative and general expense were $663 and $575 , respectively. For the nine months ended September 30, 2019 , and 2018 , the amounts allocated to administrative and general expense were $1,995 and $1,728 |
Equity Plans
Equity Plans | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
EQUITY PLANS | Equity Plans SJW Group accounts for stock-based compensation based on the grant date fair value of awards issued to employees in accordance with FASB ASC Topic 718 - “Compensation - Stock Compensation,” which requires the measurement and recognition of compensation expense based on the estimated fair value of stock-based payment awards. The Incentive Plan allows SJW Group to provide employees, non-employee board members or the board of directors of any parent or subsidiary, consultants, and other independent advisors who provide services to the company or any parent or subsidiary the opportunity to acquire an equity interest in SJW Group. The types of awards included in the Incentive Plan are restricted stock awards, restricted stock units, performance shares, or other share-based awards. As of September 30, 2019 , 157,063 shares are issuable upon the exercise of outstanding restricted stock units and deferred restricted stock units and an additional 823,597 shares are available for award issuances under the Incentive Plan. In addition, shares are issued to employees under the company’s ESPP. Stock compensation costs charged to income are recognized on a straight-line basis over the requisite service period. A summary of compensation costs charged to income, proceeds from the exercise of any stock options and similar instruments and the tax benefit realized from any stock options and similar instruments exercised, that are recorded to additional paid-in capital and common stock, by award type, are presented below for the three and nine months ended September 30, 2019 , and 2018 . Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Adjustments to additional paid-in capital and common stock for: Compensation costs charged to income: ESPP $ 140 127 $ 283 242 Restricted stock and deferred restricted stock 812 377 2,273 1,141 Total compensation costs charged to income $ 952 504 $ 2,556 1,383 ESPP proceeds $ 792 718 $ 1,603 1,371 Stock, Restricted Stock and Deferred Restricted Stock On January 2, 2019 , service-based restricted stock units covering an aggregate of 17,451 shares of common stock of SJW Group were granted to certain officers of SJW Group and its subsidiaries. The units vest in three equal successive installments upon completion of each year of service with no dividend equivalent rights. Share-based compensation expense of $51.28 per unit which was based on the award grant date fair value is being recognized over the service period beginning in 2019. On January 29, 2019 , certain officers of SJW Group were granted performance-based restricted stock units covering an aggregate target number of SJW Group’s shares of common stock equal to 9,882 that will vest based on the actual attainment of specified performance goals measured in two separate tranches over the period from January 1, 2019, to December 31, 2019, and January 1, 2019, to December 31, 2020, each covering 50% of the target shares, and continued service through December 31, 2019, and December 31, 2020, respectively. The number of shares issuable under such units, ranging between 0% to 150% of the target number of shares, is based on the level of actual attainment of specified performance goals. The units do not include dividend equivalent rights. The awards allow for pro-rata vesting, based on actual performance and number of months in service over the performance period, in the event an officer’s employment terminates under specific circumstances prior to the end of the performance period. The awards have no market conditions and the stock-based compensation expense of $57.12 and $55.97 per unit for each of the two tranches which was based on the award grant date fair values are being recognized assuming the performance goals will be attained. On January 29, 2019 , certain officers of SJW Group were granted performance-based restricted stock units covering an aggregate target number of SJW Group’s shares of common stock equal to 9,043 that will vest based on the actual attainment of specified performance goals over the period from January 1, 2019, to December 31, 2021 and continued service through December 31, 2021. The number of shares issuable under such units, ranging between 0% to 150% of the target number of shares, is based on the level of actual attainment of specified performance goals. The units do not include dividend equivalent rights. The awards allow for pro-rata vesting, based on actual performance and number of months in service over the performance period, in the event an officer’s employment terminates under specific circumstances prior to the end of the performance period. The awards have no market conditions and the stock-based compensation expense of $54.84 per unit which was based on the award grant date fair value is being recognized assuming the performance goals will be attained. On January 29, 2019 , performance-based restricted stock units were granted to certain officers of SJW Group covering a target number of shares of SJW Group’s common stock equal to 9,437 that will vest based on continued service and attainment of specified performance goals over the period from January 1, 2019, to December 31, 2021. The number of shares issuable under the award, ranging between 0% and 200% of the target number of shares, is based on the level of actual attainment of specified performance goals. These units do not include dividend equivalent rights. The awards allow for pro-rata vesting, based on actual performance and number of months in service over the performance period, in the event an officer’s employment terminates under specific circumstances prior to the end of the performance period. The fair value of the performance-based restricted stock award was estimated utilizing the Monte Carlo valuation model, using the fair value of SJW Group’s common stock with the effect of market conditions and no dividend yield on the date of grant, and assumes the performance goals will be attained. Stock-based compensation expense is being recognized at $70.47 per unit. If such goals are not met, no compensation cost will be recognized and any recognized compensation cost will be reversed. On April 24, 2019 , restricted stock units covering an aggregate of 9,114 shares of common stock of SJW Group were granted to the non-employee board members of SJW Group. The units vest upon continuous board service through the day immediately preceding the date of the next annual stockholder meeting with no dividend equivalent rights. Stock-based compensation expense of $60.30 per unit, which is based on the award grant date fair value, is being recognized over the service period beginning in 2019. As of September 30, 2019 , the total unrecognized compensation costs related to restricted and deferred restricted stock plans amounted to $3,466 . This cost is expected to be recognized over a weighted-average period of 1.17 years. Employee Stock Purchase Plan The ESPP allows eligible employees to purchase shares of SJW Group’s common stock at 85% of the fair value of shares on the purchase date. Under the ESPP, employees can designate up to a maximum of 10% of their base compensation for the purchase of shares of common stock, subject to certain restrictions. A total of 400,000 shares of common stock have been reserved for issuance under the ESPP. SJW Group’s recorded expenses were $82 and $223 for the three and nine months ended September 30, 2019 , respectively, and $66 and $198 for the three and nine months ended September 30, 2018 , respectively, related to the ESPP. The total unrecognized compensation costs related to the semi-annual offering period that ends January 31, 2020 , for the ESPP is approximately $134 . This cost is expected to be recognized during the fourth quarter of 2019 and first quarter of 2020. |
Real Estate Investments
Real Estate Investments | 9 Months Ended |
Sep. 30, 2019 | |
Real Estate Investments, Net [Abstract] | |
REAL ESTATE INVESTMENTS | Real Estate Investments The major components of real estate investments as of September 30, 2019 , and December 31, 2018 , are as follows: September 30, December 31, Land $ 13,262 13,262 Buildings and improvements 43,211 43,074 Subtotal 56,473 56,336 Less: accumulated depreciation and amortization 13,224 12,327 Total $ 43,249 44,009 Depreciation and amortization is computed using the straight-line method over the estimated useful lives of the assets, ranging from 7 to 39 years . Substantially all of the real estate investments relate to assets that are currently subject to operating leases. SJW Land Company holds a 70% limited interest in 444 West Santa Clara Street, L.P. On April 6, 2017, 444 West Santa Clara Street, L.P. sold all of its interest in the commercial building and land the partnership owned and operated. In connection with this sale, the partnership was required to deposit $750 into an escrow account for estimated repairs to the creek next to the land the partnership sold. On April 22, 2019, all creek repairs were completed and a reimbursement of $745 was provided to the partnership. SJW Land Company and the noncontrolling interest recognized a pre-tax gain on the creek reimbursement of $521 and $224 , respectively, on the transaction. |
Defined Benefit Plan
Defined Benefit Plan | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
DEFINED BENEFIT PLAN | Defined Benefit Plan San Jose Water Company sponsors a noncontributory defined benefit retirement plan for its eligible employees. Employees hired before March 31, 2008, are entitled to receive retirement benefits using a formula based on the employee’s three highest years of compensation (whether or not consecutive). For employees hired on or after March 31, 2008, benefits are determined using a cash balance formula based on compensation credits and interest credits for each employee. Officers hired before March 31, 2008, are eligible to receive additional retirement benefits under San Jose Water Company’s Executive Supplemental Retirement Plan, and officers hired on or after March 31, 2008, are eligible to receive additional retirement benefits under the San Jose Water Company’s Cash Balance Executive Supplemental Retirement Plan. Both plans are non-qualified plans in which only officers and other designated members of management of San Jose Water Company may participate. San Jose Water Company also provides health care and life insurance benefits for retired employees under the San Jose Water Company Social Welfare Plan. The components of net periodic benefit costs for San Jose Water Company’s retirement plan, its Executive Supplemental Retirement Plan, Cash Balance Executive Supplemental Retirement Plan and Social Welfare Plan for the three and nine months ended September 30, 2019 , and 2018 are as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Service cost $ 1,479 1,601 $ 4,437 4,804 Interest cost 2,113 1,876 6,338 5,629 Other cost 1,117 1,139 3,352 3,417 Expected return on assets (2,310 ) (2,426 ) (6,929 ) (7,279 ) $ 2,399 2,190 $ 7,198 6,571 The components of net periodic benefit cost have been recorded in the consolidated statements of comprehensive income as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Other production expenses $ 370 424 $ 1,110 1,273 Administrative and general expense 837 898 2,526 2,695 Maintenance expense 271 279 813 836 Pension non-service costs 921 589 2,749 1,767 $ 2,399 2,190 $ 7,198 6,571 The following tables summarize the fair values of plan assets by major categories as of September 30, 2019 , and December 31, 2018 : Fair Value Measurements at September 30, 2019 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Asset Category Benchmark Total (Level 1) (Level 2) (Level 3) Cash and cash equivalents — $ 7,884 $ 7,884 $ — $ — Actively Managed (a): All Cap Equity Russell 3000 Value 6,667 6,667 — — U.S. Large Cap Equity Russell 1000, Russell 1000 Growth, Russell 1000 Value 53,141 53,141 — — U.S. Mid Cap Equity Russell Mid Cap, Russell Mid Cap Growth, Russell Mid Cap Value 10,179 10,179 — — U.S. Small Cap Equity Russell 2000, Russell 2000 Growth, Russell 2000 Value 10,373 10,373 — — Non-U.S. Large Cap Equity MSCI EAFE 5,638 5,638 — — REIT NAREIT - Equity REIT’S 7,779 — 7,779 — Fixed Income (b) (b) 53,331 — 53,331 — Total $ 154,992 $ 93,882 $ 61,110 $ — The Plan has a current target allocation of 55% invested in a diversified array of equity securities to provide long-term capital appreciation and 45% invested in a diversified array of fixed income securities and cash to provide preservation of capital plus generation of income. (a) Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. (b) Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. Fair Value Measurements at December 31, 2018 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Asset Category Benchmark Total (Level 1) (Level 2) (Level 3) Cash and cash equivalents — $ 8,136 $ 8,136 $ — $ — Actively Managed (a): All Cap Equity Russell 3000 Value 5,670 5,632 38 — U.S. Large Cap Equity Russell 1000, Russell 1000 Growth, Russell 1000 Value 47,040 47,040 — — U.S. Mid Cap Equity Russell Mid Cap, Russell Mid Cap Growth, Russell Mid Cap Value 8,372 8,372 — — U.S. Small Cap Equity Russell 2000, Russell 2000 Growth, Russell 2000 Value 8,528 8,528 — — Non-U.S. Large Cap Equity MSCI EAFE 4,969 4,969 — — REIT NAREIT - Equity REIT’S 5,889 — 5,889 — Fixed Income (b) (b) 44,855 — 44,855 — Total $ 133,459 $ 82,677 $ 50,782 $ — The Plan has a current target allocation of 55% invested in a diversified array of equity securities to provide long-term capital appreciation and 45% invested in a diversified array of fixed income securities and cash to provide preservation of capital plus generation of income. (a) Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. (b) Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. In 2019 , San Jose Water Company expects to make required and discretionary cash contributions of up to $8,337 to the pension plans and Social Welfare Plan. For the three and nine months ended September 30, 2019 , San Jose Water Company has made $3,854 contributions to such plans. |
Segment and Non-Tariffed Busine
Segment and Non-Tariffed Business Reporting | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
SEGMENT AND NONTARIFFED BUSINESS REPORTING | Segment and Non-Tariffed Business Reporting As of September 30, 2019, SJW Group is a holding company with four subsidiaries: (i) San Jose Water Company, a water utility operation with both regulated and non-tariffed businesses, (ii) SJWTX, Inc. which is doing business as Canyon Lake Water Service Company (“CLWSC”), a regulated water utility located in Canyon Lake, Texas, and its consolidated non-tariffed variable interest entity, Acequia Water Supply Corporation, (iii) SJW Land Company and its consolidated variable interest entity, 444 West Santa Clara Street, L.P., which operated commercial building rentals, and (iv) Hydro Sub, Inc., a Connecticut corporation that was formed on March 9, 2018 for the sole purpose of effecting the SJW Group and Connecticut Water Service, Inc. (“CTWS”) merger and subsequently dissolved following the completion of the merger on October 9, 2019 (see discussion in Note 12, “Subsequent Events”). In accordance with FASB ASC Topic 280 - “Segment Reporting,” SJW Group has determined that it has two reportable business segments. The first segment is that of providing water utility and utility-related services to its customers through SJW Group’s subsidiaries, San Jose Water Company and CLWSC, together referred to as “Water Utility Services.” The second segment is property management and investment activity conducted by SJW Land Company, referred to as “Real Estate Services.” SJW Group’s reportable segments have been determined based on information used by the chief operating decision maker. SJW Group’s chief operating decision maker includes the Chairman, President and Chief Executive Officer, and his senior staff. The senior staff reviews financial information presented on a consolidated basis that is accompanied by disaggregated information about operating revenue, net income and total assets, by subsidiaries. The following tables set forth information relating to SJW Group’s reportable segments and distribution of regulated and non-tariffed business activities within the reportable segments. Certain allocated assets, revenue and expenses have been included in the reportable segment amounts. Other business activity of SJW Group not included in the reportable segments is included in the “All Other” category. For Three Months Ended September 30, 2019 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 110,218 2,426 1,353 — 110,218 3,779 113,997 Operating expense 89,924 1,636 935 4,418 89,924 6,989 96,913 Operating income (loss) 20,294 790 418 (4,418 ) 20,294 (3,210 ) 17,084 Net income (loss) 10,964 555 304 (2,345 ) 10,964 (1,486 ) 9,478 Depreciation and amortization 14,712 111 299 — 14,712 410 15,122 Senior note and other interest expense 6,044 — — 544 6,044 544 6,588 Income tax expense (benefit) in net income 2,912 216 95 (658 ) 2,912 (347 ) 2,565 Assets $ 1,556,049 5,899 46,160 414,274 1,556,049 466,333 2,022,382 For Three Months Ended September 30, 2018 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 121,009 2,403 1,441 — 121,009 3,844 124,853 Operating expense 87,230 1,623 934 9,238 87,230 11,795 99,025 Operating income (loss) 33,779 780 507 (9,238 ) 33,779 (7,951 ) 25,828 Net income (loss) 22,333 561 359 (7,465 ) 22,333 (6,545 ) 15,788 Depreciation and amortization 13,298 85 299 — 13,298 384 13,682 Senior note, mortgage and other interest expense 5,534 — — 543 5,534 543 6,077 Income tax expense (benefit) in net income 5,910 218 113 (2,138 ) 5,910 (1,807 ) 4,103 Assets $ 1,480,726 4,577 47,469 4,096 1,480,726 56,142 1,536,868 For Nine Months Ended September 30, 2019 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 285,138 5,418 4,088 — 285,138 9,506 294,644 Operating expense 226,073 3,833 2,834 10,441 226,073 17,108 243,181 Operating income (loss) 59,065 1,585 1,254 (10,441 ) 59,065 (7,602 ) 51,463 Net income (loss) 30,726 1,127 1,284 (4,248 ) 30,726 (1,837 ) 28,889 Depreciation and amortization 44,159 313 896 — 44,159 1,209 45,368 Senior note and other interest expense 17,434 — — 1,659 17,434 1,659 19,093 Income tax expense (benefit) in net income 9,142 438 445 (1,223 ) 9,142 (340 ) 8,802 Assets $ 1,556,049 5,899 46,160 414,274 1,556,049 466,333 2,022,382 For Nine Months Ended September 30, 2018 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 289,160 5,718 4,103 — 289,160 9,821 298,981 Operating expense 219,573 3,789 2,674 16,987 219,573 23,450 243,023 Operating income (loss) 69,587 1,929 1,429 (16,987 ) 69,587 (13,629 ) 55,958 Net income (loss) 42,150 1,389 1,011 (14,606 ) 42,150 (12,206 ) 29,944 Depreciation and amortization 39,771 253 897 — 39,771 1,150 40,921 Senior note and other interest expense 16,582 — — 1,631 16,582 1,631 18,213 Income tax expense (benefit) in net income 11,052 540 299 (4,300 ) 11,052 (3,461 ) 7,591 Assets $ 1,480,726 4,577 47,469 4,096 1,480,726 56,142 1,536,868 * The “All Other” category includes the accounts of SJW Group and Hydro Sub, Inc. on a stand-alone basis. For the three and nine months ended September 30, 2019 , and 2018 , Hydro Sub, Inc. had no recorded revenue or expenses and as of September 30, 2019 , and 2018 |
Long-Term Liabilities and Bank
Long-Term Liabilities and Bank Borrowings | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Liabilities and Bank Borrowings | Long-Term Liabilities and Bank Borrowings SJW Group’s contractual obligations and commitments include senior notes, mortgages, and other obligations. San Jose Water Company, a subsidiary of SJW Group, has received advance deposit payments from its customers on certain construction projects. Refunds of the advance deposit payments constitute an obligation of San Jose Water Company solely. On March 28, 2019, San Jose Water Company entered into a note purchase agreement with certain affiliates of MetLife, Inc., Brighthouse Financial, Inc. and New York Life Insurance (collectively the “Purchasers”), pursuant to which the company sold an aggregate principal amount of $80,000 of its 4.29% Senior Notes, Series M (“Series M Notes”) to the Purchasers. The Series M Notes are unsecured obligations of San Jose Water Company, due on April 1, 2049. Interest is payable semi-annually in arrears on April 1st and October 1st of each year. The note purchase agreement contains customary affirmative and negative covenants for as long as the Series M Notes are outstanding. The Series M Notes are also subject to customary events of default, the occurrence of which may result in all of the Series M Notes then outstanding becoming immediately due and payable. The closing occurred simultaneously with the signing of the note purchase agreement. |
Fair Value Measurement
Fair Value Measurement | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENT | Fair Value Measurement The following instruments are not measured at fair value on SJW Group’s condensed consolidated balance sheets as of September 30, 2019 , but require disclosure of their fair values: cash and cash equivalents, a money market fund, accounts receivable and accounts payable. The estimated fair value of such instruments as of September 30, 2019 , approximates their carrying value as reported on the condensed consolidated balance sheets. The fair value was determined using the income approach based on the present value of estimated future cash flows. There have been no changes in valuation techniques during the three and nine months ended September 30, 2019 . The fair value of these instruments would be categorized as Level 2 in the fair value hierarchy, with the exception of cash and cash equivalents, which would be categorized as Level 1. The fair value of pension plan assets is discussed in Note 4. The fair value of SJW Group’s long-term debt was approximately $641,395 and $490,148 as of September 30, 2019 , and December 31, 2018 , respectively, and was determined using a discounted cash flow analysis, based on the current rates for similar financial instruments of the same duration and creditworthiness of the company. The book value of the long-term debt was $511,076 and $431,424 as of September 30, 2019 , and December 31, 2018 , respectively. The fair value of long-term debt would be categorized as Level 2 in the fair value hierarchy. Financial instruments that are potentially subject to concentration of credit risk consist primarily of a short-term money market fund. The money market fund is managed by a reputable financial institution. As of September 30, 2019 , and December 31, 2018 , SJW Group no longer held any equity investments in California Water Service Group which was categorized as Level 1 of the fair value hierarchy. For the three and nine months ended September 30, 2018 , SJW Group recognized an unrealized gain of $0 and an unrealized loss of $527 due to the change in fair value of the company’s investment in California Water Service Group. During the three and nine months ended September 30, 2018 , SJW Group sold 82,340 and 100,000 shares, respectively, of California Water Service Group for $3,398 and $4,112 , respectively, before fees of $7 and $9 , respectively. SJW Group recognized a gain on the sale of the stock of approximately $191 and $104 , respectively, and a tax expense of approximately $53 and $29 , respectively, for a net gain of $138 and $75 for the three and nine months ended September 30, 2018 , respectively. |
Regulatory Rate Filings
Regulatory Rate Filings | 9 Months Ended |
Sep. 30, 2019 | |
Regulated Operations [Abstract] | |
Regulatory Rate Filings | Regulatory Rate Filings California Regulatory Affairs On June 19, 2019, the CPUC issued its final decision resolving the remaining issues in San Jose Water Company’s General Rate Case Application No. 18-01-004 (“GRC”). Decision 19-06-010 denied the establishment of a Water Revenue Adjustment Mechanism and Sales reconciliation Mechanism and authorized the recovery of the Hydro Generation Research, Development and Demonstration Memorandum Account balance of $1,243 . San Jose Water Company filed Advice Letter No. 534 on August 1, 2019, to recover this amount via a surcharge over a three-year period. The CPUC rejected the advice letter on October 10, 2019, citing an error and recommended a correction and a new filing for recovery. San Jose Water Company anticipates correcting the record and filing a new advice letter for recovery in the fourth quarter of 2019. On July 20, 2018, the CPUC issued an Order Instituting Investigation (“OII”) No. 18-07-007 concerning SJW Group’s merger with CTWS. A Scoping Memorandum was issued on September 7, 2018, which identified the issues to be considered in the proceeding as to whether the proposed merger is subject to CPUC approval and to evaluate the merger’s likely impacts within California. On September 14, 2018, SJW Group and San Jose Water Company submitted joint comments in response to the issues identified in accordance with the Scoping Memorandum’s adopted schedule, and reply comments were submitted on October 19, 2018. A Public Participation Hearing was held on January 31, 2019. On March 4, 2019, the CPUC suspended this proceeding due to SJW Group’s announcement of its intention to file a new merger approval application with the Connecticut Public Utilities Regulatory Authority (“PURA”). On April 3, 2019, SJW Group and CTWS jointly filed a new merger application with PURA. After securing the required approvals from both PURA and Maine Public Utilities Commission, SJW Group announced the close of the merger on October 9, 2019, and notified the CPUC accordingly. In January 2017, a San Jose Water Company customer inquired about the company’s billing practice as it related to the proration of service charges in billing cycles where a rate change occurred. On June 22, 2017, San Jose Water Company was served with Complaint 17-06-009 regarding its billing practice for service charge rate changes. The billing issue was made a part of San Jose Water Company’s GRC proceeding and a settlement agreement was reached with the Office of Ratepayer Advocates (now the Public Advocates Office) on May 23, 2018, limiting the duration from which to calculate customer refunds from June 1, 2011, through December 31, 2016. Accordingly, San Jose Water Company provided an additional reserve to cover the remaining period covered by the settlement. In accordance with Decision 18-11-025 for the GRC, San Jose Water Company filed Advice Letter No. 530 proposing total refunds of $2,020 for the period from June 1, 2011 through December 31, 2016. This advice letter became effective February 8, 2019, and refunds were completed by mid-May 2019. On April 22, 2019, the CPUC dismissed Complaint 17-07-009 citing the relief provided in Advice Letter No. 530 and the current OII on this matter (see below for further discussion). The Complainant filed an appeal with the CPUC to dispute the dismissal. This appeal was rejected and the Complaint was dismissed via CPUC Decision No. 19-09-040 on September 24, 2019. On September 14, 2018, the CPUC issued OII No. 18-09-003 to which San Jose Water Company was named as Respondent. The OII will determine whether the company unlawfully overcharged customers over a 30-year period by failing to pro-rate service charges when increases occurred during a billing period, and whether the company double-billed service charges during one billing period when allegedly switching from billing such charges in advance to billing in arrears. The OII resulted from a report by the CPUC’s Consumer Protection and Enforcement Division (“CPED”), dated August 16, 2018, recommending an investigation into San Jose Water Company’s billing practice. CPED calculated a refund obligation of approximately $2,061 for the years 2014 to 2016 that had been the subject of San Jose Water Company’s Advice Letter No. 510. CPED calculated a further refund obligation of approximately $1,990 for the years 1987 to 2013. CPED also asserted that the company double-billed its customers during a billing period when it allegedly converted from billing in advance to billing in arrears, assumed that such double-billing occurred in January 2011, and calculated a refund obligation of approximately $4,935 . The OII notes these estimates and identifies the proper refund amount as an issue in the proceeding. The OII also identifies the CPUC’s authority to consider imposing penalties on San Jose Water Company in amounts ranging from five hundred dollars to fifty thousand dollars per offense, per day. On July 24, 2019, San Jose Water Company and CPED jointly filed a motion for CPUC approval of a Settlement Agreement (“Agreement”) over San Jose Water Company’s past customer billing practices. The Agreement requires the company to pay approximately $2,100 in customer credits, consisting of $1,757 for refunds during the period from 1987 to 2011 and an additional $350 in customer credits to low income water customers, and invest $5,000 in utility plant that is not allowed an investment return or rate recovery. San Jose Water Company has recorded the $2,100 customer credit expense as an offset to revenues in the accompanying June 30, 2019, Condensed Consolidated Statements of Comprehensive Income. The $5,000 commitment to invest in utility plant will be recognized as plant in service on the company’s financial statements once invested. The Agreement is subject to final approval by the CPUC which is expected in the fourth quarter of 2019. On March 29, 2019, San Jose Water Company filed Advice Letter No. 532 with the CPUC requesting authorization to recover the $9,020 balance in its WCMA for the period of January 1, 2018, through December 31, 2018. This advice letter is pending before the CPUC. On August 30, 2019, San Jose Water Company filed Advice Letter No. 535 with the CPUC requesting authorization to increase the total 2019 authorized revenue requirements by $655 or 0.17% for plant additions related to the Montevina Water Treatment Plant Upgrade Project in 2018. This advice letter became effective September 29, 2019. San Jose Water Company filed Advice Letter No. 537 with the CPUC requesting authorization to refund the balance in its 2018 Tax Accounting Memorandum Account as required by the GRC decision on October 18, 2019. For a typical residential customer with a 3/4-inch meter, the refund will be $1.74 per month for 12 months or until the balance is amortized. This advice letter is pending before the CPUC and is expected to have an effective date of January 1, 2020. Texas Regulatory Affairs The Public Utilities Commission of Texas (“PUCT”) directed CLWSC (as well as other Class A water utilities in Texas) to quantify all of the impacts of the passage of the Tax Cuts and Jobs Act (H.R. 1) (“Tax Act”) on December 22, 2017 and make rate adjustments reflecting such impacts on a prospective basis. PUCT Order 47945-36 as amended by Order 47945-41 requires the water utilities to record a regulatory liability that reflects (1) the difference between the revenues collected under existing rates and the revenues that would have been collected had the existing rates been set using the recently approved federal income tax rates; and (2) the balance of excess accumulated deferred federal income taxes that now exists because of the decrease in the federal income tax rate from 35% to 21% . A rate proposal reflecting these tax changes was submitted for PUCT ’ |
Balancing and Memorandum Accoun
Balancing and Memorandum Accounts | 9 Months Ended |
Sep. 30, 2019 | |
Regulated Operations [Abstract] | |
BALANCING AND MEMORANDUM ACCOUNTS | Balancing and Memorandum Accounts San Jose Water Company has established balancing accounts for the purpose of tracking the under-collection or over-collection associated with expense changes and the revenue authorized by the CPUC to offset those expense changes. San Jose Water Company also maintains memorandum accounts to track revenue impacts due to catastrophic events, certain unforeseen water quality expenses related to new federal and state water quality standards, energy efficiency, water conservation, water tariffs, and other approved activities or as directed by the CPUC, such as the WCMA or Tax Act memorandum accounts. Balancing and memorandum accounts are recognized by San Jose Water Company when it is probable that future recovery of previously incurred costs or future refunds that are to be credited to customers will occur through the ratemaking process. In addition, in the case of special revenue programs such as the WCMA, San Jose Water Company follows the requirements of ASC Topic 980-605-25, “Alternative Revenue Programs” in determining revenue recognition, including the requirement that such revenues will be collected within 24 months of the year-end in which the revenue is recorded. A reserve is recorded for amounts that do not meet the criteria established in ASC Topic 980-605-25. For other balancing and memorandum accounts, San Jose Water Company considers evidence that may exist prior to CPUC authorization that would satisfy ASC Topic 980 subtopic 340-25 recognition criteria. Such evidence may include regulatory rules and decisions, past practices, and other facts and circumstances that would indicate that recovery or refund is probable. When such evidence provides sufficient support, the balances are recorded in SJW Group’s financial statements. On October 4, 2019 the CPUC issued two proposed decisions for Advice Letter No. 532, which was filed for the recovery of the 2018 WCMA balance. The first proposed resolution was an approval for the collection of the 2018 WCMA balance and the second proposed resolution denied recovery. Both proposed decisions are expected to be presented to the CPUC decision meeting on November 7, 2019. Due to the conflicting proposed decisions, San Jose Water Company believes it no longer meets the probability criteria under ASC Topic 980-605-25 for the 2018 WCMA and has fully reserved the balance as of September 30, 2019 . San Jose Water Company recognized regulatory assets of $4,660 and $8,070 due to lost revenues accumulated in the 2018 WCMA account for the three and nine months ended September 30, 2018 , respectively. As a result of the current status of the CPUC filing for the 2018 WCMA above, San Jose Water Company also fully reserved the 2019 WCMA as of September 30, 2019 . Cost of capital memorandum account was approved by the CPUC on March 14, 2018. The account tracks the difference between current water rates and the lower rates adopted in the cost of capital decision on March 22, 2018. San Jose Water Company recorded a regulatory liability of $8 and $1,371 in the cost of capital memorandum account for the three and nine months ended September 30, 2018 , with a corresponding reduction to revenue. Activity for the three and nine months ended September 30, 2019 , respectively, represents interest activity on the accumulated balance. The amount has been reflected in the cost of capital memorandum account balance shown in the table below. The CPUC has directed San Jose Water Company to establish a memorandum account to capture the impact of the Tax Act on its regulated revenue requirement. The CPUC has indicated that any benefit from implementing the new law should ultimately be passed on to ratepayers. Accordingly, San Jose Water Company recorded a regulatory liability of $459 and $5,955 in the tax memorandum account for the three and nine months ended September 30, 2018 , respectively, with a corresponding reduction to revenue. Activity for the three and nine months ended September 30, 2019 , represents interest activity on the accumulated balance. The amount has been reflected in the tax memorandum account balance shown in the table below. Three months ended September 30, 2019 Three months ended September 30, 2018 Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Revenue accounts: 2014-2017 WCMA* $ 5,315 — (2,397 ) 2,918 $ 7,277 128 1 7,406 2018 WCMA* 8,958 (8,958 ) — — 3,003 4,064 — 7,067 2019 WCMA* 557 (557 ) — — — — — — 2012 General Rate Case true-up 7,731 (1 ) (3,631 ) 4,099 11,324 — 2 11,326 Cost of capital memorandum account (1,540 ) (7 ) — (1,547 ) (1,507 ) (8 ) — (1,515 ) Tax memorandum account (6,585 ) (33 ) — (6,618 ) (5,496 ) (459 ) — (5,955 ) All others 7,192 281 (1,630 ) 5,843 4,675 (34 ) — 4,642 Total revenue accounts $ 21,628 (9,275 ) (7,658 ) 4,695 $ 19,276 3,691 3 22,971 Cost-recovery accounts: Water supply costs 5,912 1,049 (1,871 ) 5,090 9,387 2,366 — 11,753 Pension (233 ) 199 1,208 1,174 (2,137 ) 161 — (1,976 ) All others 870 2 (223 ) 649 — — — — Total cost-recovery accounts $ 6,549 1,250 (886 ) 6,913 $ 7,250 2,527 — 9,777 Total $ 28,177 (8,025 ) (8,544 ) 11,608 $ 26,526 6,218 3 32,748 Nine months ended September 30, 2019 Nine months ended September 30, 2018 Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Revenue accounts: 2014-2017 WCMA* $ 7,750 — (4,832 ) 2,918 $ 6,679 723 4 7,406 2018 WCMA* 9,386 (9,386 ) — — — 7,067 — 7,067 2019 WCMA* — — — — — — — — 2012 General Rate Case true-up 11,328 95 (7,324 ) 4,099 11,320 — 6 11,326 Cost of capital memorandum account (1,523 ) (24 ) — (1,547 ) (144 ) (1,371 ) — (1,515 ) Tax memorandum account (6,504 ) (114 ) — (6,618 ) — (5,955 ) — (5,955 ) All others 5,112 4,019 (3,288 ) 5,843 3,851 787 4 4,642 Total revenue accounts $ 25,549 (5,410 ) (15,444 ) 4,695 $ 21,706 1,251 14 22,971 Cost-recovery accounts: Water supply costs 9,617 (754 ) (3,773 ) 5,090 8,679 3,074 — 11,753 Pension (1,843 ) 582 2,435 1,174 (2,459 ) 482 1 (1,976 ) All others 1,090 8 (449 ) 649 — — — — Total cost-recovery accounts $ 8,864 (164 ) (1,787 ) 6,913 $ 6,220 3,556 1 9,777 Total $ 34,413 (5,574 ) (17,231 ) 11,608 $ 27,926 4,807 15 32,748 * As of September 30, 2019 , the 2019 WCMA and 2018 WCMA balances were reserved in full. As of September 30, 2018 , the reserve balances for the 2018 WCMA was $1,003 which has been included in the balance above. As of September 30, 2018 , the reserve balance for the 2017 WCMA was $985 which has been included in the balance above. As of September 30, 2019 , the total balance in San Jose Water Company’s balancing and memorandum accounts combined, including interest, that has not been recorded into the financial statements was a net under-collection of $1,183 . All balancing accounts and memorandum-type accounts not included for recovery or refund in the current general rate case will be reviewed by the CPUC in San Jose Water Company’s next general rate case or at the time an individual account balance reaches a threshold of 2% |
Regulatory Assets and Liabiliti
Regulatory Assets and Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Regulatory Assets and Liabilities Disclosure [Abstract] | |
Regulatory Assets and Liabilities | Regulatory Assets and Liabilities Regulatory assets and liabilities are comprised of the following as of September 30, 2019 , and December 31, 2018 : September 30, 2019 December 31, 2018 Regulatory assets: Postretirement pensions and other medical benefits $ 66,233 66,233 Balancing and memorandum accounts, net 11,608 34,413 Other, net 3,432 2,979 Total regulatory assets, net in Consolidated Balance Sheets 81,273 103,625 Less: current regulatory asset, net 7,493 26,910 Total regulatory assets, net, less current portion $ 73,780 76,715 Regulatory liability: Income tax temporary differences, net $ 56,936 59,149 Total regulatory liability in Consolidated Balance Sheets $ 56,936 59,149 |
Legal Proceedings
Legal Proceedings | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
LEGAL PROCEEDINGS | Legal Proceedings Class Action Suits Related to the Merger On June 14, 2018, certain shareholders of CTWS filed two nearly identical class-action complaints in Connecticut state court against the CTWS board of directors, SJW Group, Eric W. Thornburg, Chairman, President and Chief Executive Officer of SJW Group, and CTWS. The complaints, as amended on September 18, 2018 and September 20, 2018, allege that the CTWS board breached its fiduciary duties in connection with the Merger, that CTWS’s preliminary proxy statement, filed with the SEC on August 20, 2018, omits certain material information and that SJW Group and Mr. Thornburg aided and abetted the alleged breaches by the CTWS board of directors. Among other remedies, the actions seek to recover rescissory and other damages and attorney’s fees and costs. SJW Group believes the claims in these complaints are without merit and intends to vigorously defend this litigation. The parties to the lawsuits have agreed in principle to settle the lawsuits in exchange for the issuance of additional disclosures by CTWS. Pursuant to the agreements to settle the lawsuits, the plaintiffs have reserved the right to seek a mootness fee from CTWS. The parties moved to stay proceedings, other than fee-related proceedings, until such time as the transaction closes, and the court granted the parties’ motion to stay on November 14, 2018. On November 20, 2018, the plaintiffs filed an opening brief in support of their fee application. The initial stay of proceedings expired on February 28, 2019. On March 1, 2019, the court granted the parties’ motion to continue the stay and ordered that the stay was to continue until May 29, 2019. On May 29, 2019, the court granted the parties’ motion to continue the stay and such stay was further extended until September 11, 2019. On September 19, 2019, the court granted the parties’ motion to continue the stay and ordered that the stay be continued until November 11, 2019. Pursuant to the agreement in principle to settle the litigation, the complaints will be dismissed now that the transaction has closed. Additional complaints have been filed in connection with the merger but neither SJW Group nor any of its officers or directors are named as defendants therein. On October 5, 2018, certain shareholders of CTWS filed two complaints, one individually and the other as a putative class action, in each case, in the United States District Court for the District of Connecticut against CTWS and the CTWS board of directors. The complaints allege that the preliminary proxy statement issued in connection with the merger omitted material information in violation of Sections 14(a) and 20(a) of the Securities Exchange Act of 1934. Among other remedies, the actions seek an order (1) enjoining the defendants from consummating or closing on the merger; (2) rescinding the merger or awarding rescissory damages; (3) directing the defendants to disseminate a corrective proxy statement; (4) declaring that the defendants have violated Sections 14(a) and/or 20(a) of the Securities Exchange Act of 1934, as well as Rule 14a-9 promulgated thereunder; and (5) awarding attorney’s fees and costs. SJW Group believes the claims in these complaints are without merit. CTWS has entered into an agreement in principle to settle and release all claims that were or could have been alleged by the plaintiffs. The settlements provide for the dismissal of the actions subject to, among other things, CTWS making certain additional disclosures, which CTWS included in the definitive proxy statement in connection with the merger. The complaints filed in the U.S. District Court for the District of Connecticut were voluntarily dismissed without prejudice on May 14, 2019. Billing Practice OII with CPUC On September 14, 2018, the CPUC issued OII No. 18-09-003 to which San Jose Water Company was named as Respondent. The OII will determine whether the company unlawfully overcharged customers over a 30-year period by failing to pro-rate service charges when increases occurred during a billing period, and whether the company double-billed service charges during one billing period when allegedly switching from billing such charges in advance to billing in arrears. By a decision adopted November 29, 2018, in San Jose Water Company’s then-pending GRC, the CPUC approved a settlement to resolve the alleged overcharging issue for the period since June 2011 by requiring customer credits to customers totaling $2,020 . That amount was refunded to customers pursuant to San Jose Water Company’s Advice Letter No. 530, effective February 8, 2019. See discussion on the matter in Note 8, “Regulatory Rate Filings.” On July 24, 2019, San Jose Water Company and CPED jointly filed a motion for CPUC approval of a Settlement Agreement (“Agreement”) over San Jose Water Company’s past customer billing practices. The Agreement requires the company to pay approximately $2,100 in additional customer refunds, consisting of $1,757 for refunds during the period from 1987 to 2011 and $350 in customer credits to low income water customers, and invest $5,000 in utility plant that is not allowed an investment return or rate recovery. San Jose Water Company recorded the $2,100 customer credit expense as an offset to revenues during the second quarter of 2019. The $5,000 commitment to invest in utility plant will be recognized as plant in service on the company’s financial statements once invested. The Agreement is subject to final approval by the CPUC which is expected in the fourth quarter of 2019. SJW Group is subject to ordinary routine litigation incidental to its business. Except as disclosed above, there are no pending legal proceedings to which SJW Group or any of its subsidiaries is a party, or to which any of its properties is the subject, that are expected to have a material effect on SJW Group’s business, financial position, results of operations or cash flows. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | Subsequent Events On October 8, 2019, SJW Group entered into a note purchase agreement with the purchasers listed in the agreement, pursuant to which SJW Group sold an aggregate principal amount of $310,000 of its 3.05% Senior Notes, Series 2019A, due November 1, 2029, $75,000 of its 3.15% Senior Notes, Series 2019B, due November 1, 2031, and $125,000 of its 3.53% Senior Notes, Series 2019C, due November 1, 2039. The notes are unsecured obligations of the Company. Interest is payable semi-annually in arrears on May 1st and November 1st of each year. The note purchase agreement contains customary representations and warranties. Under the note purchase agreement, SJW Group is required to comply with certain customary affirmative and negative covenants for as long as the notes are outstanding. The notes are also subject to customary events of default, the occurrence of which may result in all of the notes then outstanding becoming immediately due and payable. The closing occurred simultaneously with the signing of the note purchase agreement. On October 9, 2019, SJW Group completed the merger transaction with CTWS, a holding company whose subsidiaries are primarily public utilities providing water service to approximately 138,000 service connections that serve a population of approximately 450,000 people in 80 municipalities with a service area of approximately 269 square miles throughout Connecticut and Maine and 3,000 wastewater connections in Southbury, Connecticut. The total purchase price was $838,476 in cash and the purchase price allocation for the business combination consisted primarily of acquired utility plant and assumed liabilities. Due to the timing of the business combination and the complexities involved in determining fair value of assets acquired, SJW Group has not yet completed the purchase price allocation. |
General (Policies)
General (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Accounting, Policy | The unaudited interim financial information has been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and in accordance with the instructions for Form 10-Q and Rule 10-01 of Regulation S-X promulgated by the Securities and Exchange Commission (the “SEC”). The Notes to Consolidated Financial Statements in SJW Group’s 2018 Annual Report on Form 10-K should be read with the accompanying unaudited condensed consolidated financial statements. |
Recently Adopted Accounting Pronouncements, Policy | Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842),” as amended, which supersedes the lease requirements in “Leases (Topic 840).” This ASU generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use assets on the Consolidated Balance Sheets and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. ASU 2016-02 also makes some changes to lessor accounting and aligns with the new revenue recognition guidance. SJW Group adopted the new standard effective January 1, 2019, on a modified retrospective basis and did not restate comparative periods. SJW Group also elected the package of practical expedients permitted under the transition guidance and combined lease and non-lease components. In addition, SJW Group kept leases with an initial term of 12 months or less off the Consolidated Balance Sheets and recognized the associated lease payments in the Consolidated Statements of Comprehensive Income on a straight-line basis over the lease term. The adoption of this standard did not have a material impact on SJW Group’s consolidated financial statements. |
Revenue Recognition, Policy | Revenue Water sales are seasonal in nature and influenced by weather conditions. The timing of precipitation and climatic conditions can cause seasonal water consumption by customers to vary significantly. Due to the seasonal nature of the water business, the operating results for interim periods are not indicative of the operating results for a 12-month period. Revenue is generally higher in the warm, dry summer months when water usage and sales are greater, and lower in the winter months when cooler temperatures and increased rainfall curtail water usage and sales. In response to the drought from 2014 to 2016 in California, the State Water Resources Control Board (the “State Water Board”) imposed mandatory water use restrictions and conservation targets. The Santa Clara Valley Water District (“Valley Water”), San Jose Water Company’s principal water supplier, also mandated water use restrictions along with conservation targets at levels higher than the State Water Board. While the Governor of California declared the drought over on April 7, 2017, the State Water Board made certain water use restrictions permanent. Further, Valley Water has maintained a conservation target of 20% compared to 2013 water usage. In 2018, Governor Edmund G. Brown signed into law Assembly Bill 1668 and Senate Bill 606. Both bills set an initial limit for indoor water use of 55 gallons per person per day by 2022 and reduced the limit further to 50 gallons per person per day by 2030. Implementation details remain to be developed as to how local water providers will meet this mandate as well as to how the California Public Utilities Commission (“CPUC”) will direct its regulated utilities to comply. To encourage conservation, San Jose Water Company received approval from the CPUC to implement a Mandatory Conservation Revenue Adjustment Memorandum Account in 2014. This account was subsequently replaced with a Water Conservation Memorandum Account (“WCMA”). The WCMA allows San Jose Water Company to track lost revenue, net of related water costs, associated with reduced sales due to water conservation and associated calls for water use reductions. San Jose Water Company records the lost revenue captured in the WCMA regulatory accounts once the revenue recognition requirements of FASB Accounting Standards Codification (“ASC”) Topic 980 - “Regulated Operations,” subtopic 605-25 are met. For further discussion, please see Note 8 and Note 9. The major streams of revenue for SJW Group are as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Revenue from contracts with customers $ 130,777 120,007 $ 314,003 294,319 Alternative revenue programs, net - WCMA (11,912 ) 4,193 (14,218 ) 7,794 Other balancing and memorandum accounts revenue, net (6,221 ) (788 ) (9,229 ) (7,235 ) Rental income 1,353 1,441 4,088 4,103 $ 113,997 124,853 $ 294,644 298,981 |
Earnings Per Share, Policy | Basic earnings per share is calculated using income available to common stockholders, divided by the weighted average number of shares outstanding during the period. Diluted earnings per share is calculated using income available to common stockholders divided by the weighted average number of shares of common stock including both shares outstanding and shares potentially issuable in connection with restricted common stock awards under SJW Group’s Long-Term Incentive Plan (as amended, the “Incentive Plan”) and shares potentially issuable under the Employee Stock Purchase Plan (“ESPP”). |
Utility Plant Depreciation, Policy | A portion of depreciation expense is allocated to administrative and general expense. |
General Revenue (Tables)
General Revenue (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Major Streams of Revenue | The major streams of revenue for SJW Group are as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Revenue from contracts with customers $ 130,777 120,007 $ 314,003 294,319 Alternative revenue programs, net - WCMA (11,912 ) 4,193 (14,218 ) 7,794 Other balancing and memorandum accounts revenue, net (6,221 ) (788 ) (9,229 ) (7,235 ) Rental income 1,353 1,441 4,088 4,103 $ 113,997 124,853 $ 294,644 298,981 |
Equity Plans (Tables)
Equity Plans (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan | A summary of compensation costs charged to income, proceeds from the exercise of any stock options and similar instruments and the tax benefit realized from any stock options and similar instruments exercised, that are recorded to additional paid-in capital and common stock, by award type, are presented below for the three and nine months ended September 30, 2019 , and 2018 . Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Adjustments to additional paid-in capital and common stock for: Compensation costs charged to income: ESPP $ 140 127 $ 283 242 Restricted stock and deferred restricted stock 812 377 2,273 1,141 Total compensation costs charged to income $ 952 504 $ 2,556 1,383 ESPP proceeds $ 792 718 $ 1,603 1,371 |
Real Estate Investments (Tables
Real Estate Investments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Real Estate Investments, Net [Abstract] | |
Schedule of Real Estate Investments | The major components of real estate investments as of September 30, 2019 , and December 31, 2018 , are as follows: September 30, December 31, Land $ 13,262 13,262 Buildings and improvements 43,211 43,074 Subtotal 56,473 56,336 Less: accumulated depreciation and amortization 13,224 12,327 Total $ 43,249 44,009 |
Defined Benefit Plan (Tables)
Defined Benefit Plan (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | The components of net periodic benefit cost have been recorded in the consolidated statements of comprehensive income as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Other production expenses $ 370 424 $ 1,110 1,273 Administrative and general expense 837 898 2,526 2,695 Maintenance expense 271 279 813 836 Pension non-service costs 921 589 2,749 1,767 $ 2,399 2,190 $ 7,198 6,571 The components of net periodic benefit costs for San Jose Water Company’s retirement plan, its Executive Supplemental Retirement Plan, Cash Balance Executive Supplemental Retirement Plan and Social Welfare Plan for the three and nine months ended September 30, 2019 , and 2018 are as follows: Three months ended September 30, Nine months ended September 30, 2019 2018 2019 2018 Service cost $ 1,479 1,601 $ 4,437 4,804 Interest cost 2,113 1,876 6,338 5,629 Other cost 1,117 1,139 3,352 3,417 Expected return on assets (2,310 ) (2,426 ) (6,929 ) (7,279 ) $ 2,399 2,190 $ 7,198 6,571 |
Schedule of Allocation of Plan Assets | The following tables summarize the fair values of plan assets by major categories as of September 30, 2019 , and December 31, 2018 : Fair Value Measurements at September 30, 2019 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Asset Category Benchmark Total (Level 1) (Level 2) (Level 3) Cash and cash equivalents — $ 7,884 $ 7,884 $ — $ — Actively Managed (a): All Cap Equity Russell 3000 Value 6,667 6,667 — — U.S. Large Cap Equity Russell 1000, Russell 1000 Growth, Russell 1000 Value 53,141 53,141 — — U.S. Mid Cap Equity Russell Mid Cap, Russell Mid Cap Growth, Russell Mid Cap Value 10,179 10,179 — — U.S. Small Cap Equity Russell 2000, Russell 2000 Growth, Russell 2000 Value 10,373 10,373 — — Non-U.S. Large Cap Equity MSCI EAFE 5,638 5,638 — — REIT NAREIT - Equity REIT’S 7,779 — 7,779 — Fixed Income (b) (b) 53,331 — 53,331 — Total $ 154,992 $ 93,882 $ 61,110 $ — The Plan has a current target allocation of 55% invested in a diversified array of equity securities to provide long-term capital appreciation and 45% invested in a diversified array of fixed income securities and cash to provide preservation of capital plus generation of income. (a) Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. (b) Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. Fair Value Measurements at December 31, 2018 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Asset Category Benchmark Total (Level 1) (Level 2) (Level 3) Cash and cash equivalents — $ 8,136 $ 8,136 $ — $ — Actively Managed (a): All Cap Equity Russell 3000 Value 5,670 5,632 38 — U.S. Large Cap Equity Russell 1000, Russell 1000 Growth, Russell 1000 Value 47,040 47,040 — — U.S. Mid Cap Equity Russell Mid Cap, Russell Mid Cap Growth, Russell Mid Cap Value 8,372 8,372 — — U.S. Small Cap Equity Russell 2000, Russell 2000 Growth, Russell 2000 Value 8,528 8,528 — — Non-U.S. Large Cap Equity MSCI EAFE 4,969 4,969 — — REIT NAREIT - Equity REIT’S 5,889 — 5,889 — Fixed Income (b) (b) 44,855 — 44,855 — Total $ 133,459 $ 82,677 $ 50,782 $ — The Plan has a current target allocation of 55% invested in a diversified array of equity securities to provide long-term capital appreciation and 45% invested in a diversified array of fixed income securities and cash to provide preservation of capital plus generation of income. (a) Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. (b) Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. |
Segment and Non-Tariffed Busi_2
Segment and Non-Tariffed Business Reporting (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following tables set forth information relating to SJW Group’s reportable segments and distribution of regulated and non-tariffed business activities within the reportable segments. Certain allocated assets, revenue and expenses have been included in the reportable segment amounts. Other business activity of SJW Group not included in the reportable segments is included in the “All Other” category. For Three Months Ended September 30, 2019 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 110,218 2,426 1,353 — 110,218 3,779 113,997 Operating expense 89,924 1,636 935 4,418 89,924 6,989 96,913 Operating income (loss) 20,294 790 418 (4,418 ) 20,294 (3,210 ) 17,084 Net income (loss) 10,964 555 304 (2,345 ) 10,964 (1,486 ) 9,478 Depreciation and amortization 14,712 111 299 — 14,712 410 15,122 Senior note and other interest expense 6,044 — — 544 6,044 544 6,588 Income tax expense (benefit) in net income 2,912 216 95 (658 ) 2,912 (347 ) 2,565 Assets $ 1,556,049 5,899 46,160 414,274 1,556,049 466,333 2,022,382 For Three Months Ended September 30, 2018 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 121,009 2,403 1,441 — 121,009 3,844 124,853 Operating expense 87,230 1,623 934 9,238 87,230 11,795 99,025 Operating income (loss) 33,779 780 507 (9,238 ) 33,779 (7,951 ) 25,828 Net income (loss) 22,333 561 359 (7,465 ) 22,333 (6,545 ) 15,788 Depreciation and amortization 13,298 85 299 — 13,298 384 13,682 Senior note, mortgage and other interest expense 5,534 — — 543 5,534 543 6,077 Income tax expense (benefit) in net income 5,910 218 113 (2,138 ) 5,910 (1,807 ) 4,103 Assets $ 1,480,726 4,577 47,469 4,096 1,480,726 56,142 1,536,868 For Nine Months Ended September 30, 2019 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 285,138 5,418 4,088 — 285,138 9,506 294,644 Operating expense 226,073 3,833 2,834 10,441 226,073 17,108 243,181 Operating income (loss) 59,065 1,585 1,254 (10,441 ) 59,065 (7,602 ) 51,463 Net income (loss) 30,726 1,127 1,284 (4,248 ) 30,726 (1,837 ) 28,889 Depreciation and amortization 44,159 313 896 — 44,159 1,209 45,368 Senior note and other interest expense 17,434 — — 1,659 17,434 1,659 19,093 Income tax expense (benefit) in net income 9,142 438 445 (1,223 ) 9,142 (340 ) 8,802 Assets $ 1,556,049 5,899 46,160 414,274 1,556,049 466,333 2,022,382 For Nine Months Ended September 30, 2018 Water Utility Services Real Estate Services All Other* SJW Group Regulated Non-tariffed Non-tariffed Non-tariffed Regulated Non-tariffed Total Operating revenue $ 289,160 5,718 4,103 — 289,160 9,821 298,981 Operating expense 219,573 3,789 2,674 16,987 219,573 23,450 243,023 Operating income (loss) 69,587 1,929 1,429 (16,987 ) 69,587 (13,629 ) 55,958 Net income (loss) 42,150 1,389 1,011 (14,606 ) 42,150 (12,206 ) 29,944 Depreciation and amortization 39,771 253 897 — 39,771 1,150 40,921 Senior note and other interest expense 16,582 — — 1,631 16,582 1,631 18,213 Income tax expense (benefit) in net income 11,052 540 299 (4,300 ) 11,052 (3,461 ) 7,591 Assets $ 1,480,726 4,577 47,469 4,096 1,480,726 56,142 1,536,868 * The “All Other” category includes the accounts of SJW Group and Hydro Sub, Inc. on a stand-alone basis. For the three and nine months ended September 30, 2019 , and 2018 , Hydro Sub, Inc. had no recorded revenue or expenses and as of September 30, 2019 , and 2018 |
Balancing and Memorandum Acco_2
Balancing and Memorandum Accounts (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Regulated Operations [Abstract] | |
Public Utilities General Disclosures | The amount has been reflected in the tax memorandum account balance shown in the table below. Three months ended September 30, 2019 Three months ended September 30, 2018 Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Revenue accounts: 2014-2017 WCMA* $ 5,315 — (2,397 ) 2,918 $ 7,277 128 1 7,406 2018 WCMA* 8,958 (8,958 ) — — 3,003 4,064 — 7,067 2019 WCMA* 557 (557 ) — — — — — — 2012 General Rate Case true-up 7,731 (1 ) (3,631 ) 4,099 11,324 — 2 11,326 Cost of capital memorandum account (1,540 ) (7 ) — (1,547 ) (1,507 ) (8 ) — (1,515 ) Tax memorandum account (6,585 ) (33 ) — (6,618 ) (5,496 ) (459 ) — (5,955 ) All others 7,192 281 (1,630 ) 5,843 4,675 (34 ) — 4,642 Total revenue accounts $ 21,628 (9,275 ) (7,658 ) 4,695 $ 19,276 3,691 3 22,971 Cost-recovery accounts: Water supply costs 5,912 1,049 (1,871 ) 5,090 9,387 2,366 — 11,753 Pension (233 ) 199 1,208 1,174 (2,137 ) 161 — (1,976 ) All others 870 2 (223 ) 649 — — — — Total cost-recovery accounts $ 6,549 1,250 (886 ) 6,913 $ 7,250 2,527 — 9,777 Total $ 28,177 (8,025 ) (8,544 ) 11,608 $ 26,526 6,218 3 32,748 Nine months ended September 30, 2019 Nine months ended September 30, 2018 Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Beginning Balance Regulatory Asset Increase (Decrease) Refunds (Collections) Adjustments Ending Balance Revenue accounts: 2014-2017 WCMA* $ 7,750 — (4,832 ) 2,918 $ 6,679 723 4 7,406 2018 WCMA* 9,386 (9,386 ) — — — 7,067 — 7,067 2019 WCMA* — — — — — — — — 2012 General Rate Case true-up 11,328 95 (7,324 ) 4,099 11,320 — 6 11,326 Cost of capital memorandum account (1,523 ) (24 ) — (1,547 ) (144 ) (1,371 ) — (1,515 ) Tax memorandum account (6,504 ) (114 ) — (6,618 ) — (5,955 ) — (5,955 ) All others 5,112 4,019 (3,288 ) 5,843 3,851 787 4 4,642 Total revenue accounts $ 25,549 (5,410 ) (15,444 ) 4,695 $ 21,706 1,251 14 22,971 Cost-recovery accounts: Water supply costs 9,617 (754 ) (3,773 ) 5,090 8,679 3,074 — 11,753 Pension (1,843 ) 582 2,435 1,174 (2,459 ) 482 1 (1,976 ) All others 1,090 8 (449 ) 649 — — — — Total cost-recovery accounts $ 8,864 (164 ) (1,787 ) 6,913 $ 6,220 3,556 1 9,777 Total $ 34,413 (5,574 ) (17,231 ) 11,608 $ 27,926 4,807 15 32,748 * As of September 30, 2019 , the 2019 WCMA and 2018 WCMA balances were reserved in full. As of September 30, 2018 , the reserve balances for the 2018 WCMA was $1,003 which has been included in the balance above. As of September 30, 2018 , the reserve balance for the 2017 WCMA was $985 which has been included in the balance above. |
Regulatory Assets and Liabili_2
Regulatory Assets and Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Regulatory Assets and Liabilities Disclosure [Abstract] | |
Schedule of Regulatory Assets | Regulatory assets and liabilities are comprised of the following as of September 30, 2019 , and December 31, 2018 : September 30, 2019 December 31, 2018 Regulatory assets: Postretirement pensions and other medical benefits $ 66,233 66,233 Balancing and memorandum accounts, net 11,608 34,413 Other, net 3,432 2,979 Total regulatory assets, net in Consolidated Balance Sheets 81,273 103,625 Less: current regulatory asset, net 7,493 26,910 Total regulatory assets, net, less current portion $ 73,780 76,715 Regulatory liability: Income tax temporary differences, net $ 56,936 59,149 Total regulatory liability in Consolidated Balance Sheets $ 56,936 59,149 |
General - Additional Informatio
General - Additional Information (Details) | Jun. 14, 2016 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Water reduction target goal (percent) | 20.00% |
General - Schedule of Major Str
General - Schedule of Major Streams of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Revenue from contracts with customers | $ 130,777 | $ 120,007 | $ 314,003 | $ 294,319 |
Alternative revenue programs, net - WCMA | (11,912) | 4,193 | (14,218) | 7,794 |
Other balancing and memorandum accounts revenue, net | (6,221) | (788) | (9,229) | (7,235) |
Rental income | 1,353 | 1,441 | 4,088 | 4,103 |
Total revenues | $ 113,997 | $ 124,853 | $ 294,644 | $ 298,981 |
General - Earnings Per Share (D
General - Earnings Per Share (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restricted Stock and Stock Options | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive restricted common stock units excluded from computation of earnings per share (shares) | 524 | 306 | 10,158 | 3,562 |
General - Depreciation (Details
General - Depreciation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
General and Administrative Expense | ||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||
Depreciation | $ 663 | $ 575 | $ 1,995 | $ 1,728 |
Equity Plans (Details)
Equity Plans (Details) $ / shares in Units, $ in Thousands | Apr. 24, 2019$ / sharesshares | Jan. 29, 2019$ / sharesshares | Jan. 02, 2019vesting_installment$ / sharesshares | Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Compensation costs charged to income: | $ | $ 952 | $ 504 | $ 2,556 | $ 1,383 | |||
Restricted stock and deferred restricted stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Compensation costs charged to income: | $ | 812 | 377 | 2,273 | 1,141 | |||
Unrecognized compensation costs | $ | $ 3,466 | $ 3,466 | |||||
Recognition period for unrecognized compensation cost | 1 year 2 months 1 day | ||||||
Key officers | Restricted Stock Units (RSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of equity instruments granted (shares) | 17,451 | ||||||
Number of equal successive installments for vesting of stock awards (vesting installments) | vesting_installment | 3 | ||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 51.28 | ||||||
Key officers | Performance Shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of equity instruments granted (shares) | 9,882 | ||||||
Key officers | Performance Shares | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 0.00% | ||||||
Key officers | Performance Shares | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 150.00% | ||||||
Key officers | Performance Shares 2 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of equity instruments granted (shares) | 9,043 | ||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 54.84 | ||||||
Key officers | Performance Shares 2 | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 0.00% | ||||||
Key officers | Performance Shares 2 | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 150.00% | ||||||
Key officers | Performance Shares 3 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of equity instruments granted (shares) | 9,437 | ||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 70.47 | ||||||
Key officers | Performance Shares 3 | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 0.00% | ||||||
Key officers | Performance Shares 3 | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Target vesting percentage | 200.00% | ||||||
Director | Performance Shares 3 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of equity instruments granted (shares) | 9,114 | ||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 60.30 | ||||||
Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares issuable upon exercise of Incentive Plan awards (shares) | 157,063 | ||||||
Remaining shares available for issuance under the Incentive Plan (shares) | 823,597 | 823,597 | |||||
Employee Stock Purchase Plan (ESPP) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Compensation costs charged to income: | $ | $ 140 | 127 | $ 283 | 242 | |||
ESPP proceeds | $ | 792 | 718 | 1,603 | 1,371 | |||
Unrecognized compensation costs | $ | $ 134 | $ 134 | |||||
Purchase price of common stock under ESPP (percent) | 85.00% | ||||||
Maximum percentage of base compensation employees can designate for stock purchases under ESPP (percent) | 10.00% | 10.00% | |||||
Plan expense | $ | $ 82 | $ 66 | $ 223 | $ 198 | |||
Employee Stock Purchase Plan (ESPP) | Common Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized for issuance under the plan (shares) | 400,000 | 400,000 | |||||
Share-based Payment Arrangement, Tranche One [Member] | Key officers | Performance Shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 57.12 | ||||||
Share-based Payment Arrangement, Tranche Two [Member] | Key officers | Performance Shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Grant date fair value of equity instruments granted (usd per share) | $ / shares | $ 55.97 |
Real Estate Investments (Detail
Real Estate Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Schedule of Investments [Line Items] | |||||
Land | $ 13,262 | $ 13,262 | $ 13,262 | ||
Buildings and improvements | 43,211 | 43,211 | 43,074 | ||
Subtotal | 56,473 | 56,473 | 56,336 | ||
Less accumulated depreciation and amortization | 13,224 | 13,224 | 12,327 | ||
Total | 43,249 | 43,249 | $ 44,009 | ||
Restricted Cash | 750 | $ 750 | |||
Proceeds from Sale of Real Estate Held-for-investment | $ 745 | ||||
Ownership Percentage by Parent | 70.00% | 70.00% | |||
Gain on sale of real estate investments | $ 0 | $ 0 | $ 745 | $ 0 | |
Minimum | |||||
Schedule of Investments [Line Items] | |||||
Estimated useful life | 7 years | ||||
Maximum | |||||
Schedule of Investments [Line Items] | |||||
Estimated useful life | 39 years | ||||
Parent [Member] | |||||
Schedule of Investments [Line Items] | |||||
Gain on sale of real estate investments | 521 | ||||
Noncontrolling Interest | |||||
Schedule of Investments [Line Items] | |||||
Gain on sale of real estate investments | $ 224 |
Defined Benefit Plan (Details)
Defined Benefit Plan (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | ||||
Components of Net Periodic Benefit Cost [Abstract] | ||||||||
Service cost | $ 1,479 | $ 1,601 | $ 4,437 | $ 4,804 | ||||
Interest cost | 2,113 | 1,876 | 6,338 | 5,629 | ||||
Other cost | 1,117 | 1,139 | 3,352 | 3,417 | ||||
Expected return on assets | (2,310) | (2,426) | (6,929) | (7,279) | ||||
Net periodic benefit cost | 2,399 | 2,190 | 7,198 | 6,571 | ||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 154,992 | 154,992 | $ 133,459 | |||||
Employer Contributions [Abstract] | ||||||||
Estimated employer contributions for the current fiscal year | 8,337 | 8,337 | ||||||
Defined Contribution Plan, Employer Discretionary Contribution Amount | 3,854 | |||||||
Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 93,882 | 93,882 | 82,677 | |||||
Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 61,110 | 61,110 | 50,782 | |||||
Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | $ 0 | $ 0 | 0 | |||||
Equity Securities [Member] | ||||||||
Plan Assets [Abstract] | ||||||||
Target plan asset allocations | 55.00% | 55.00% | ||||||
Fixed Income Securities | ||||||||
Plan Assets [Abstract] | ||||||||
Target plan asset allocations | 45.00% | 45.00% | ||||||
Cash and cash equivalents | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | $ 7,884 | $ 7,884 | 8,136 | |||||
Cash and cash equivalents | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 7,884 | 7,884 | 8,136 | |||||
Cash and cash equivalents | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | 0 | 0 | |||||
Cash and cash equivalents | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | 0 | 0 | |||||
Actively Managed | All Cap Equity | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 6,667 | [1] | 6,667 | [1] | 5,670 | [2] | ||
Actively Managed | All Cap Equity | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 6,667 | [1] | 6,667 | [1] | 5,632 | [2] | ||
Actively Managed | All Cap Equity | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 38 | [2] | ||
Actively Managed | All Cap Equity | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Large Cap Equity | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 53,141 | [1] | 53,141 | [1] | 47,040 | [2] | ||
Actively Managed | U.S. Large Cap Equity | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 53,141 | [1] | 53,141 | [1] | 47,040 | [2] | ||
Actively Managed | U.S. Large Cap Equity | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Large Cap Equity | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Mid Cap Equity | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 10,179 | [1] | 10,179 | [1] | 8,372 | [2] | ||
Actively Managed | U.S. Mid Cap Equity | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 10,179 | [1] | 10,179 | [1] | 8,372 | [2] | ||
Actively Managed | U.S. Mid Cap Equity | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Mid Cap Equity | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Small Cap Equity | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 10,373 | [1] | 10,373 | [1] | 8,528 | [2] | ||
Actively Managed | U.S. Small Cap Equity | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 10,373 | [1] | 10,373 | [1] | 8,528 | [2] | ||
Actively Managed | U.S. Small Cap Equity | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | U.S. Small Cap Equity | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | Non-U.S. Large Cap Equity | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 5,638 | [1] | 5,638 | [1] | 4,969 | [2] | ||
Actively Managed | Non-U.S. Large Cap Equity | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 5,638 | [1] | 5,638 | [1] | 4,969 | [2] | ||
Actively Managed | Non-U.S. Large Cap Equity | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | Non-U.S. Large Cap Equity | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | REIT | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 7,779 | [1] | 7,779 | [1] | 5,889 | [2] | ||
Actively Managed | REIT | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Actively Managed | REIT | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 7,779 | [1] | 7,779 | [1] | 5,889 | [2] | ||
Actively Managed | REIT | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [1] | 0 | [1] | 0 | [2] | ||
Fixed Income | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 53,331 | [3] | 53,331 | [3] | 44,855 | [4] | ||
Fixed Income | Quoted Prices in Active Markets for Identical Assets | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [3] | 0 | [3] | 0 | [4] | ||
Fixed Income | Significant Observable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 53,331 | [3] | 53,331 | [3] | 44,855 | [4] | ||
Fixed Income | Significant Unobservable Inputs | ||||||||
Plan Assets [Abstract] | ||||||||
Fair value of plan assets | 0 | [3] | 0 | [3] | $ 0 | [4] | ||
Other production expenses | ||||||||
Components of Net Periodic Benefit Cost [Abstract] | ||||||||
Net periodic benefit cost | 370 | 424 | 1,110 | 1,273 | ||||
General and Administrative Expense | ||||||||
Components of Net Periodic Benefit Cost [Abstract] | ||||||||
Net periodic benefit cost | 837 | 898 | 2,526 | 2,695 | ||||
Maintenance expense | ||||||||
Components of Net Periodic Benefit Cost [Abstract] | ||||||||
Net periodic benefit cost | 271 | 279 | 813 | 836 | ||||
Pension non-service costs | ||||||||
Components of Net Periodic Benefit Cost [Abstract] | ||||||||
Net periodic benefit cost | $ 921 | $ 589 | $ 2,749 | $ 1,767 | ||||
[1] | Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. | |||||||
[2] | Actively managed portfolio of securities with the goal to exceed the stated benchmark performance. | |||||||
[3] | Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. | |||||||
[4] | Actively managed portfolio of fixed income securities with the goal to exceed the Barclays 1-5 Year Government/Credit, Barclays Intermediate Government/Credit, and Merrill Lynch Preferred Stock Fixed Rate. |
Segment and Non-Tariffed Busi_3
Segment and Non-Tariffed Business Reporting (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)subsidiaryreportable_segment | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | ||
Segment Reporting Information [Line Items] | ||||||
Number of subsidiaries | subsidiary | 4 | |||||
Number of reportable business segments | reportable_segment | 2 | |||||
Operating revenue | $ 113,997 | $ 124,853 | $ 294,644 | $ 298,981 | ||
Operating expense | 96,913 | 99,025 | 243,181 | 243,023 | ||
Operating income (loss) | 17,084 | 25,828 | 51,463 | 55,958 | ||
Net income (loss) | 9,478 | 15,788 | 28,889 | 29,944 | ||
Depreciation and amortization | 15,122 | 13,682 | 45,368 | 40,921 | ||
Senior note and other interest expense | 6,588 | 6,077 | 19,093 | 18,213 | ||
Income tax expense (benefit) in net income | 2,565 | 4,103 | 8,802 | 7,591 | ||
Assets | 2,022,382 | 1,536,868 | 2,022,382 | 1,536,868 | $ 1,956,389 | |
Water Utility Services | Regulated | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | 110,218 | 121,009 | 285,138 | 289,160 | ||
Operating expense | 89,924 | 87,230 | 226,073 | 219,573 | ||
Operating income (loss) | 20,294 | 33,779 | 59,065 | 69,587 | ||
Net income (loss) | 10,964 | 22,333 | 30,726 | 42,150 | ||
Depreciation and amortization | 14,712 | 13,298 | 44,159 | 39,771 | ||
Senior note and other interest expense | 6,044 | 5,534 | 17,434 | 16,582 | ||
Income tax expense (benefit) in net income | 2,912 | 5,910 | 9,142 | 11,052 | ||
Assets | 1,556,049 | 1,480,726 | 1,556,049 | 1,480,726 | ||
Water Utility Services | Non-tariffed | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | 2,426 | 2,403 | 5,418 | 5,718 | ||
Operating expense | 1,636 | 1,623 | 3,833 | 3,789 | ||
Operating income (loss) | 790 | 780 | 1,585 | 1,929 | ||
Net income (loss) | 555 | 561 | 1,127 | 1,389 | ||
Depreciation and amortization | 111 | 85 | 313 | 253 | ||
Senior note and other interest expense | 0 | 0 | 0 | 0 | ||
Income tax expense (benefit) in net income | 216 | 218 | 438 | 540 | ||
Assets | 5,899 | 4,577 | 5,899 | 4,577 | ||
Real Estate Services | Non-tariffed | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | 1,353 | 1,441 | 4,088 | 4,103 | ||
Operating expense | 935 | 934 | 2,834 | 2,674 | ||
Operating income (loss) | 418 | 507 | 1,254 | 1,429 | ||
Net income (loss) | 304 | 359 | 1,284 | 1,011 | ||
Depreciation and amortization | 299 | 299 | 896 | 897 | ||
Senior note and other interest expense | 0 | 0 | 0 | 0 | ||
Income tax expense (benefit) in net income | 95 | 113 | 445 | 299 | ||
Assets | 46,160 | 47,469 | 46,160 | 47,469 | ||
All Other | Non-tariffed | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | [1] | 0 | 0 | 0 | 0 | |
Operating expense | [1] | 4,418 | 9,238 | 10,441 | 16,987 | |
Operating income (loss) | [1] | (4,418) | (9,238) | (10,441) | (16,987) | |
Net income (loss) | [1] | (2,345) | (7,465) | (4,248) | (14,606) | |
Depreciation and amortization | [1] | 0 | 0 | 0 | 0 | |
Senior note and other interest expense | [1] | 544 | 543 | 1,659 | 1,631 | |
Income tax expense (benefit) in net income | [1] | (658) | (2,138) | (1,223) | (4,300) | |
Assets | [1] | 414,274 | 4,096 | 414,274 | 4,096 | |
SJW Group | Regulated | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | 110,218 | 121,009 | 285,138 | 289,160 | ||
Operating expense | 89,924 | 87,230 | 226,073 | 219,573 | ||
Operating income (loss) | 20,294 | 33,779 | 59,065 | 69,587 | ||
Net income (loss) | 10,964 | 22,333 | 30,726 | 42,150 | ||
Depreciation and amortization | 14,712 | 13,298 | 44,159 | 39,771 | ||
Senior note and other interest expense | 6,044 | 5,534 | 17,434 | 16,582 | ||
Income tax expense (benefit) in net income | 2,912 | 5,910 | 9,142 | 11,052 | ||
Assets | 1,556,049 | 1,480,726 | 1,556,049 | 1,480,726 | ||
SJW Group | Non-tariffed | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenue | 3,779 | 3,844 | 9,506 | 9,821 | ||
Operating expense | 6,989 | 11,795 | 17,108 | 23,450 | ||
Operating income (loss) | (3,210) | (7,951) | (7,602) | (13,629) | ||
Net income (loss) | (1,486) | (6,545) | (1,837) | (12,206) | ||
Depreciation and amortization | 410 | 384 | 1,209 | 1,150 | ||
Senior note and other interest expense | 544 | 543 | 1,659 | 1,631 | ||
Income tax expense (benefit) in net income | (347) | (1,807) | (340) | (3,461) | ||
Assets | $ 466,333 | $ 56,142 | $ 466,333 | $ 56,142 | ||
[1] | * The “All Other” category includes the accounts of SJW Group and Hydro Sub, Inc. on a stand-alone basis |
Long-Term Liabilities and Ban_2
Long-Term Liabilities and Bank Borrowings Long-Term Liabilities and Bank Borrowings (Details) $ in Thousands | Mar. 28, 2019USD ($) |
Long-Term Liabilities and Bank Borrowings [Abstract] | |
Principal Debt Sold | $ 80,000 |
Debt Instrument, Interest Rate, Stated Percentage | 4.29% |
Fair Value Measurement (Details
Fair Value Measurement (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term debt | $ 511,076 | $ 511,076 | $ 431,424 | ||
Unrealized loss on California Water Service Group stock | 0 | $ 0 | 0 | $ (527) | |
Available for Sale Marketable Security, Shares Sold | 82,340 | 100,000 | |||
Proceeds from sale of California Water Service Group stock | $ 3,398 | 0 | $ 4,112 | ||
Fees Incurred on Sale of Available for Sale Securities | 7 | 9 | |||
Gain on sale of California Water Service Group stock | 0 | 191 | 0 | 104 | |
Available for Sales Securities, Tax on Realized Gain | 53 | 29 | |||
Debt and Equity Securities, Gain (Loss) | $ 138 | $ 75 | |||
Significant Observable Inputs | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term debt, fair value | $ 641,395 | $ 641,395 | $ 490,148 |
Regulatory Rate Filings (Detail
Regulatory Rate Filings (Details) - USD ($) | Aug. 30, 2019 | Sep. 14, 2018 | Oct. 18, 2019 | Aug. 01, 2019 | Jul. 26, 2019 | Mar. 29, 2019 | Feb. 08, 2019 |
Public Utilities, General Disclosures [Line Items] | |||||||
CPED Calculated Double-Billing Refund | $ 4,935,000 | ||||||
Minimum | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
CPED Proposed Penalty, Per Offense, Per Day | 500 | ||||||
Maximum | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
CPED Proposed Penalty, Per Offense, Per Day | 50,000 | ||||||
Advice Letter No. 534 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Memorandum Account, Requested Recovery | $ 1,243,000 | ||||||
Advice Letter No. 530 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Approved Service Charge Refund | $ 2,020,000 | ||||||
CPED Calculated Refund 2014-2016 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
CPED Calculated Service Charge Refund | 2,061,000 | ||||||
CPED Calculated Refund 1987-2013 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
CPED Calculated Service Charge Refund | $ 1,990,000 | ||||||
OII No. 18-09-003 Settlement Agreement | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Customer Credit Refund | $ 350,000 | ||||||
Utility Plant Investment Commitment | 5,000,000 | ||||||
OII No. 18-09-003 Settlement Agreement | Minimum | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Customer Credit Refund | 1,757,000 | ||||||
OII No. 18-09-003 Settlement Agreement | Maximum | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Customer Credit Refund | $ 2,100,000 | ||||||
Advice Letter No. 535 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 655,000 | ||||||
Public Utilities, Requested Rate Increase (Decrease), Percentage | 0.17% | ||||||
2018 WCMA | Advice Letter No. 532 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Memorandum Account, Requested Recovery | $ 9,020,000 | ||||||
Subsequent Event | Advice Letter No. 537 | |||||||
Public Utilities, General Disclosures [Line Items] | |||||||
Memorandum Account, Requested Refund, Monthly Amount | $ 1.74 |
Balancing and Memorandum Acco_3
Balancing and Memorandum Accounts (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | ||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | $ 21,628 | $ 19,276 | $ 25,549 | $ 21,706 | |
Regulatory Asset Increase (Decrease) | (9,275) | 3,691 | (5,410) | 1,251 | |
Refunds (Collections) Adjustments | (7,658) | 3 | (15,444) | 14 | |
Ending Balance | 4,695 | 22,971 | 4,695 | 22,971 | |
Balancing and Memorandum Cost Recovery Account [Roll Forward] | |||||
Beginning Balance | 6,549 | 7,250 | 8,864 | 6,220 | |
Regulatory Asset Increase (Decrease) | 1,250 | 2,527 | (164) | 3,556 | |
Refunds (Collections) Adjustments | (886) | 0 | (1,787) | 1 | |
Ending Balance | 6,913 | 9,777 | 6,913 | 9,777 | |
Balancing and Memorandum Account [Roll Forward] | |||||
Beginning Balance | 28,177 | 26,526 | 34,413 | 27,926 | |
Regulatory Asset Increase (Decrease) | (8,025) | 6,218 | (5,574) | 4,807 | |
Refunds (Collections) | (8,544) | 3 | (17,231) | 15 | |
Ending Balance | 11,608 | 32,748 | 11,608 | 32,748 | |
Total balance, net under-collection amount | $ 1,183 | $ 1,183 | |||
Authorized revenue, threshold percentage | 2.00% | 2.00% | |||
2014-2017 WCMA | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | [1] | $ 5,315 | 7,277 | $ 7,750 | 6,679 |
Regulatory Asset Increase (Decrease) | [1] | 0 | 128 | 0 | 723 |
Refunds (Collections) Adjustments | [1] | (2,397) | 1 | (4,832) | 4 |
Ending Balance | [1] | 2,918 | 7,406 | 2,918 | 7,406 |
2018 WCMA | |||||
Public Utilities, General Disclosures [Line Items] | |||||
Regulatory liability, due to sales in excess of authorized usage | 4,660 | 8,070 | |||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | [1] | 8,958 | 3,003 | 9,386 | 0 |
Regulatory Asset Increase (Decrease) | [1] | (8,958) | 4,064 | (9,386) | 7,067 |
Refunds (Collections) Adjustments | [1] | 0 | 0 | 0 | 0 |
Ending Balance | [1] | 0 | 7,067 | 0 | 7,067 |
2019 WCMA | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | [1] | 557 | 0 | 0 | 0 |
Regulatory Asset Increase (Decrease) | [1] | (557) | 0 | 0 | 0 |
Refunds (Collections) Adjustments | [1] | 0 | 0 | 0 | 0 |
Ending Balance | [1] | 0 | 0 | 0 | 0 |
2012 General Rate Case true-up | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | 7,731 | 11,324 | 11,328 | 11,320 | |
Regulatory Asset Increase (Decrease) | (1) | 0 | 95 | 0 | |
Refunds (Collections) Adjustments | (3,631) | 2 | (7,324) | 6 | |
Ending Balance | 4,099 | 11,326 | 4,099 | 11,326 | |
Cost of capital memorandum account | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | (1,540) | (1,507) | (1,523) | (144) | |
Regulatory Asset Increase (Decrease) | (7) | (8) | (24) | (1,371) | |
Refunds (Collections) Adjustments | 0 | 0 | 0 | 0 | |
Ending Balance | (1,547) | (1,515) | (1,547) | (1,515) | |
Tax memorandum account | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | (6,585) | (5,496) | (6,504) | 0 | |
Regulatory Asset Increase (Decrease) | (33) | (459) | (114) | (5,955) | |
Refunds (Collections) Adjustments | 0 | 0 | 0 | 0 | |
Ending Balance | (6,618) | (5,955) | (6,618) | (5,955) | |
All others | |||||
Balancing and Memorandum Revenue Account [Roll Forward] | |||||
Beginning Balance | 7,192 | 4,675 | 5,112 | 3,851 | |
Regulatory Asset Increase (Decrease) | 281 | (34) | 4,019 | 787 | |
Refunds (Collections) Adjustments | (1,630) | 0 | (3,288) | 4 | |
Ending Balance | 5,843 | 4,642 | 5,843 | 4,642 | |
Balancing and Memorandum Cost Recovery Account [Roll Forward] | |||||
Beginning Balance | 870 | 0 | 1,090 | 0 | |
Regulatory Asset Increase (Decrease) | 2 | 0 | 8 | 0 | |
Refunds (Collections) Adjustments | (223) | 0 | (449) | 0 | |
Ending Balance | 649 | 0 | 649 | 0 | |
Water supply costs | |||||
Balancing and Memorandum Cost Recovery Account [Roll Forward] | |||||
Beginning Balance | 5,912 | 9,387 | 9,617 | 8,679 | |
Regulatory Asset Increase (Decrease) | 1,049 | 2,366 | (754) | 3,074 | |
Refunds (Collections) Adjustments | (1,871) | 0 | (3,773) | 0 | |
Ending Balance | 5,090 | 11,753 | 5,090 | 11,753 | |
Pension | |||||
Balancing and Memorandum Cost Recovery Account [Roll Forward] | |||||
Beginning Balance | (233) | (2,137) | (1,843) | (2,459) | |
Regulatory Asset Increase (Decrease) | 199 | 161 | 582 | 482 | |
Refunds (Collections) Adjustments | 1,208 | 0 | 2,435 | 1 | |
Ending Balance | 1,174 | $ (1,976) | 1,174 | $ (1,976) | |
2018 WCMA Reserve Recorded | |||||
Public Utilities, General Disclosures [Line Items] | |||||
WCMA Reserve | 1,003 | 1,003 | |||
2017 WCMA Reserve Recorded | |||||
Public Utilities, General Disclosures [Line Items] | |||||
WCMA Reserve | $ 985 | $ 985 | |||
[1] | As of September 30, 2019 , the 2019 WCMA and 2018 WCMA balances were reserved in full. As of September 30, 2018 , the reserve balances for the 2018 WCMA was $1,003 which has been included in the balance above. As of September 30, 2018 , the reserve balance for the 2017 WCMA was $985 which has been included in the balance above. |
Regulatory Assets and Liabili_3
Regulatory Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Regulatory Assets [Line Items] | ||
Net Regulatory Assets | $ 81,273 | $ 103,625 |
Less: current regulatory asset, net | 7,493 | 26,910 |
Total regulatory assets, net, less current portion | 73,780 | 76,715 |
Total regulatory liability in Consolidated Balance Sheets | 56,936 | 59,149 |
Deferred Income Tax Charge [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Liabilities | 56,936 | 59,149 |
Postretirement pensions and other medical benefits | ||
Regulatory Assets [Line Items] | ||
Regulatory assets: | 66,233 | 66,233 |
Balancing and memorandum accounts, net | ||
Regulatory Assets [Line Items] | ||
Regulatory assets: | 11,608 | 34,413 |
Other, net | ||
Regulatory Assets [Line Items] | ||
Regulatory assets: | $ 3,432 | $ 2,979 |
Legal Proceedings Narrative (De
Legal Proceedings Narrative (Details) - USD ($) $ in Thousands | Jul. 26, 2019 | Feb. 08, 2019 |
Advice Letter No. 530 | ||
Loss Contingencies [Line Items] | ||
Approved Service Charge Refund | $ 2,020 | |
OII No. 18-09-003 Settlement Agreement | ||
Loss Contingencies [Line Items] | ||
Customer Credit Refund | $ 350 | |
Utility Plant Investment Commitment | 5,000 | |
Maximum | OII No. 18-09-003 Settlement Agreement | ||
Loss Contingencies [Line Items] | ||
Customer Credit Refund | 2,100 | |
Minimum | OII No. 18-09-003 Settlement Agreement | ||
Loss Contingencies [Line Items] | ||
Customer Credit Refund | $ 1,757 |
Subsequent Events (Details)
Subsequent Events (Details) $ in Thousands | Oct. 09, 2019USD ($)mi²communities_servedpeople_servedservice_connection | Oct. 08, 2019USD ($) | Mar. 28, 2019USD ($) |
Subsequent Event [Line Items] | |||
Principal Debt Sold | $ 80,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.29% | ||
SJWNE, LLC | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Public Utilities, Service Connections | service_connection | 138,000 | ||
Public Utilities, Number of People Served | people_served | 450,000 | ||
Public Utilities, Number of Communities Served | communities_served | 80 | ||
Public Utilities, Service Area | mi² | 269 | ||
Payments to Acquire Businesses, Gross | $ 838,476 | ||
Wastewater | SJWNE, LLC | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Public Utilities, Service Connections | service_connection | 3,000 | ||
Series 2019A | Senior Notes | Parent Company | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Principal Debt Sold | $ 310,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.05% | ||
Series 2019B | Senior Notes | Parent Company | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Principal Debt Sold | $ 75,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.15% | ||
Series 2019C | Senior Notes | Parent Company | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Principal Debt Sold | $ 125,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.53% |