Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Aug. 02, 2019 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2019 | |
Document Transition Report | false | |
Entity File Number | 001-14431 | |
Entity Registrant Name | American States Water Co | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 95-4676679 | |
Entity Address, Address Line One | 630 E. Foothill Blvd | |
Entity Address, City or Town | San Dimas | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 91773-1212 | |
City Area Code | 909 | |
Local Phone Number | 394-3600 | |
Title of 12(b) Security | Common shares | |
Trading Symbol | AWR | |
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 (in shares) | 36,831,867 | |
Entity Central Index Key | 0001056903 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
GOLDEN STATE WATER COMPANY | ||
Entity Information [Line Items] | ||
Entity File Number | 001-12008 | |
Entity Registrant Name | Golden State Water Co | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 95-1243678 | |
Entity Address, Address Line One | 630 E. Foothill Blvd | |
Entity Address, City or Town | San Dimas | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 91773-1212 | |
City Area Code | 909 | |
Local Phone Number | 394-3600 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 165 | |
Entity Central Index Key | 0000092116 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment | ||
Regulated utility plant, at cost | $ 1,898,157,000 | $ 1,832,336,000 |
Non-utility property, at cost | 30,201,000 | 25,829,000 |
Total | 1,928,358,000 | 1,858,165,000 |
Less - Accumulated depreciation | (572,695,000) | (561,855,000) |
Net property, plant and equipment | 1,355,663,000 | 1,296,310,000 |
Other Property and Investments | ||
Goodwill | 1,116,000 | 1,116,000 |
Other property and investments | 27,312,000 | 25,356,000 |
Total other property and investments | 28,428,000 | 26,472,000 |
Current Assets | ||
Cash and cash equivalents | 1,516,000 | 7,141,000 |
Accounts receivable - customers, less allowance for doubtful accounts | 24,245,000 | 23,395,000 |
Unbilled receivable | 18,064,000 | 23,588,000 |
Receivable from the U.S. government | 20,949,000 | 21,543,000 |
Other accounts receivable, less allowance for doubtful accounts | 3,065,000 | 3,103,000 |
Income taxes receivable | 1,545,000 | 2,164,000 |
Materials and supplies, at average cost | 6,189,000 | 5,775,000 |
Regulatory assets — current | 13,671,000 | 16,527,000 |
Prepayments and other current assets | 7,005,000 | 6,063,000 |
Contract assets | 25,776,000 | 22,169,000 |
Total current assets | 122,025,000 | 131,468,000 |
Other Assets | ||
Receivable from the U.S. government | 38,910,000 | 39,583,000 |
Contract assets | 5,781,000 | 2,278,000 |
Operating lease right-of-use assets | 11,058,000 | 0 |
Other | 5,418,000 | 5,322,000 |
Total regulatory and other assets | 61,167,000 | 47,183,000 |
Total Assets | 1,567,283,000 | 1,501,433,000 |
Capitalization | ||
Common Stock, Value, Issued | 254,969,000 | 253,689,000 |
Earnings reinvested in the business | 323,818,000 | 304,534,000 |
Total common shareholders’ equity | 578,787,000 | 558,223,000 |
Long-term debt | 281,014,000 | 281,087,000 |
Total capitalization | 859,801,000 | 839,310,000 |
Current Liabilities | ||
Long-term debt — current | 339,000 | 40,320,000 |
Accounts payable | 55,645,000 | 59,532,000 |
Income taxes payable | 3,104,000 | 360,000 |
Accrued other taxes | 8,140,000 | 10,094,000 |
Accrued employee expenses | 12,363,000 | 13,842,000 |
Accrued interest | 3,109,000 | 3,865,000 |
Unrealized loss on purchased power contracts | 267,000 | 311,000 |
Contract liabilities | 11,564,000 | 7,530,000 |
Operating lease liabilities | 1,808,000 | 0 |
Other | 10,007,000 | 10,731,000 |
Total current liabilities | 106,346,000 | 146,585,000 |
Other Credits | ||
Notes payable to bank | 185,500,000 | 95,500,000 |
Advances for construction | 63,582,000 | 66,305,000 |
Contributions in aid of construction - net | 128,898,000 | 124,385,000 |
Deferred income taxes | 114,418,000 | 114,216,000 |
Regulatory liabilities | 26,955,000 | 44,867,000 |
Unamortized investment tax credits | 1,331,000 | 1,367,000 |
Accrued pension and other postretirement benefits | 59,889,000 | 57,636,000 |
Operating lease liabilities | 9,548,000 | 0 |
Other | 11,015,000 | 11,262,000 |
Total other credits | 601,136,000 | 515,538,000 |
Commitments and Contingencies (Note 9) | ||
Total Capitalization and Liabilities | 1,567,283,000 | 1,501,433,000 |
GOLDEN STATE WATER COMPANY | ||
Property, Plant and Equipment | ||
Total | 1,898,157,000 | 1,832,336,000 |
Less - Accumulated depreciation | (560,733,000) | (551,244,000) |
Net property, plant and equipment | 1,337,424,000 | 1,281,092,000 |
Other Property and Investments | ||
Total other property and investments | 25,225,000 | 23,263,000 |
Current Assets | ||
Cash and cash equivalents | 541,000 | 4,187,000 |
Accounts receivable - customers, less allowance for doubtful accounts | 24,245,000 | 23,395,000 |
Unbilled receivable | 17,234,000 | 17,892,000 |
Other accounts receivable, less allowance for doubtful accounts | 1,890,000 | 1,959,000 |
Income taxes receivable from Parent | 0 | 5,617,000 |
Materials and supplies, at average cost | 5,032,000 | 4,797,000 |
Regulatory assets — current | 13,671,000 | 16,527,000 |
Prepayments and other current assets | 5,586,000 | 5,275,000 |
Total current assets | 68,199,000 | 79,649,000 |
Other Assets | ||
Operating lease right-of-use assets | 10,432,000 | 0 |
Other | 5,319,000 | 5,218,000 |
Total regulatory and other assets | 15,751,000 | 5,218,000 |
Total Assets | 1,446,599,000 | 1,389,222,000 |
Capitalization | ||
Common Stock, Value, Issued | 293,345,000 | 292,412,000 |
Earnings reinvested in the business | 222,179,000 | 211,163,000 |
Total common shareholders’ equity | 515,524,000 | 503,575,000 |
Long-term debt | 281,014,000 | 281,087,000 |
Total capitalization | 796,538,000 | 784,662,000 |
Current Liabilities | ||
Long-term debt — current | 339,000 | 40,320,000 |
Accounts payable | 47,022,000 | 47,865,000 |
Income taxes payable | 276,000 | 0 |
Accrued other taxes | 7,886,000 | 9,911,000 |
Accrued employee expenses | 10,708,000 | 11,910,000 |
Accrued interest | 2,809,000 | 3,550,000 |
Unrealized loss on purchased power contracts | 267,000 | 311,000 |
Operating lease liabilities | 1,484,000 | 0 |
Other | 9,399,000 | 9,432,000 |
Total current liabilities | 80,190,000 | 123,299,000 |
Other Credits | ||
Intercompany payable to Parent | 151,289,000 | 57,289,000 |
Advances for construction | 63,582,000 | 66,305,000 |
Contributions in aid of construction - net | 128,898,000 | 124,385,000 |
Deferred income taxes | 117,733,000 | 118,241,000 |
Regulatory liabilities | 26,955,000 | 44,867,000 |
Unamortized investment tax credits | 1,331,000 | 1,367,000 |
Accrued pension and other postretirement benefits | 59,889,000 | 57,636,000 |
Operating lease liabilities | 9,283,000 | 0 |
Other | 10,911,000 | 11,171,000 |
Total other credits | 569,871,000 | 481,261,000 |
Commitments and Contingencies (Note 9) | ||
Total Capitalization and Liabilities | $ 1,446,599,000 | $ 1,389,222,000 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Common Stock, Shares Authorized | 60,000,000 | 60,000,000 |
Accounts receivable - customers, allowance for doubtful accounts | $ 845 | $ 892 |
Other accounts receivable, allowance for doubtful accounts | $ 59 | $ 59 |
Common Stock, Shares, Outstanding | 36,831,696 | 36,757,842 |
GOLDEN STATE WATER COMPANY | ||
Common Stock, Shares Authorized | 1,000 | 1,000 |
Accounts receivable - customers, allowance for doubtful accounts | $ 845 | $ 892 |
Other accounts receivable, allowance for doubtful accounts | $ 59 | $ 59 |
Common Stock, Shares, Outstanding | 165 | 165 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Operating Revenues | ||||
Water | $ 88,140 | $ 76,733 | $ 152,863 | $ 141,145 |
Electric | 7,408 | 7,841 | 18,037 | 17,673 |
Contracted services | 29,099 | 22,327 | 55,480 | 42,811 |
Total operating revenues | 124,647 | 106,901 | 226,380 | 201,629 |
Operating Expenses | ||||
Water purchased | 18,762 | 16,608 | 31,902 | 30,215 |
Power purchased for pumping | 1,982 | 2,231 | 3,520 | 3,924 |
Groundwater production assessment | 4,640 | 4,534 | 8,386 | 9,185 |
Power purchased for resale | 2,391 | 2,384 | 6,095 | 5,792 |
Supply cost balancing accounts | 1,207 | (2,029) | (165) | (5,898) |
Other operation | 7,708 | 7,782 | 16,279 | 15,770 |
Administrative and general | 19,529 | 20,213 | 41,201 | 40,506 |
Depreciation and amortization | 6,655 | 10,010 | 17,487 | 19,676 |
Maintenance | 3,053 | 3,670 | 5,619 | 7,499 |
Property and other taxes | 4,870 | 4,372 | 9,766 | 9,171 |
ASUS construction | 14,532 | 11,576 | 26,777 | 21,548 |
Gain on sale of assets | (112) | (18) | (112) | (18) |
Total operating expenses | 85,217 | 81,333 | 166,755 | 157,370 |
Operating Income | 39,430 | 25,568 | 59,625 | 44,259 |
Other Income and Expenses | ||||
Interest expense | (6,282) | (6,048) | (12,599) | (11,971) |
Interest income | 876 | 636 | 1,818 | 1,172 |
Other, net | 591 | 579 | 1,933 | 621 |
Total other income and expenses | (4,815) | (4,833) | (8,848) | (10,178) |
Income from operations before income tax expense | 34,615 | 20,735 | 50,777 | 34,081 |
Income tax expense | 7,831 | 4,387 | 11,141 | 6,951 |
Net Income | $ 26,784 | $ 16,348 | $ 39,636 | $ 27,130 |
Weighted Average Number of Common Shares Outstanding (in shares) | 36,804 | 36,733 | 36,788 | 36,723 |
Basic Earnings Per Common Share (in dollars per share) | $ 0.72 | $ 0.44 | $ 1.07 | $ 0.74 |
Weighted Average Number of Diluted Shares (in shares) | 36,963 | 36,912 | 36,942 | 36,896 |
Fully Diluted Earnings Per Common Share (in dollars per share) | $ 0.72 | $ 0.44 | $ 1.07 | $ 0.73 |
Dividends Declared Per Common Share (in dollars per share) | $ 0.275 | $ 0.255 | $ 0.550 | $ 0.510 |
GOLDEN STATE WATER COMPANY | ||||
Operating Revenues | ||||
Water | $ 88,140 | $ 76,733 | $ 152,863 | $ 141,145 |
Electric | 7,408 | 7,841 | 18,037 | 17,673 |
Total operating revenues | 95,548 | 84,574 | 170,900 | 158,818 |
Operating Expenses | ||||
Water purchased | 18,762 | 16,608 | 31,902 | 30,215 |
Power purchased for pumping | 1,982 | 2,231 | 3,520 | 3,924 |
Groundwater production assessment | 4,640 | 4,534 | 8,386 | 9,185 |
Power purchased for resale | 2,391 | 2,384 | 6,095 | 5,792 |
Supply cost balancing accounts | 1,207 | (2,029) | (165) | (5,898) |
Other operation | 6,054 | 6,419 | 12,914 | 12,853 |
Administrative and general | 13,678 | 15,178 | 29,772 | 30,326 |
Depreciation and amortization | 6,006 | 9,430 | 15,995 | 18,764 |
Maintenance | 2,452 | 3,170 | 4,365 | 6,325 |
Property and other taxes | 4,422 | 4,004 | 8,835 | 8,390 |
Gain on sale of assets | (83) | 0 | (83) | 0 |
Total operating expenses | 61,511 | 61,929 | 121,536 | 119,876 |
Operating Income | 34,037 | 22,645 | 49,364 | 38,942 |
Other Income and Expenses | ||||
Interest expense | (6,001) | (5,857) | (11,999) | (11,616) |
Interest income | 543 | 457 | 951 | 837 |
Other, net | 545 | 617 | 1,950 | 704 |
Total other income and expenses | (4,913) | (4,783) | (9,098) | (10,075) |
Income from operations before income tax expense | 29,124 | 17,862 | 40,266 | 28,867 |
Income tax expense | 6,826 | 4,214 | 8,946 | 6,329 |
Net Income | $ 22,298 | $ 13,648 | $ 31,320 | $ 22,538 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGE IN COMMON SHAREHOLDERS' EQUITY Statement - USD ($) $ in Thousands | Total | Common Stock [Member] | Retained Earnings [Member] | Golden State Water Company [Member] | Golden State Water Company [Member]Common Stock [Member] | Golden State Water Company [Member]Retained Earnings [Member] |
Balance (in shares) at Dec. 31, 2017 | 36,681,000 | 146 | ||||
Beginning balances at Dec. 31, 2017 | $ 529,945 | $ 250,124 | $ 279,821 | $ 474,374 | $ 242,181 | $ 232,193 |
Add: | ||||||
Net income | 10,782 | 10,782 | 8,890 | 8,890 | ||
Exercise of stock options and other issuance of Common Shares (in shares) | 52,000 | |||||
Exercise of stock options and other issuances of Common Shares | 340 | $ 340 | ||||
Stock-based compensation, net of taxes paid from shares withheld from employees related to net share settlements (Note 4) | (181) | (181) | (266) | (266) | ||
Dividend equivalent rights on stock-based awards not paid in cash | 56 | 56 | 49 | 49 | ||
Deduct: | ||||||
Dividends on Common Shares | 9,362 | 9,362 | 9,380 | 9,380 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 56 | 56 | 49 | 49 | ||
Ending balances at Mar. 31, 2018 | 531,524 | $ 250,339 | 281,185 | 473,618 | $ 241,964 | 231,654 |
Balances (in shares) at Mar. 31, 2018 | 36,733,000 | 146 | ||||
Balance (in shares) at Dec. 31, 2017 | 36,681,000 | 146 | ||||
Beginning balances at Dec. 31, 2017 | 529,945 | $ 250,124 | 279,821 | 474,374 | $ 242,181 | 232,193 |
Add: | ||||||
Net income | $ 27,130 | 22,538 | ||||
Exercise of stock options and other issuance of Common Shares (in shares) | 52,712 | |||||
Ending balances at Jun. 30, 2018 | $ 539,210 | $ 251,092 | 288,118 | 478,536 | $ 242,645 | 235,891 |
Balances (in shares) at Jun. 30, 2018 | 36,733,000 | 146 | ||||
Balance (in shares) at Mar. 31, 2018 | 36,733,000 | 146 | ||||
Beginning balances at Mar. 31, 2018 | 531,524 | $ 250,339 | 281,185 | 473,618 | $ 241,964 | 231,654 |
Add: | ||||||
Net income | 16,348 | 16,348 | 13,648 | 13,648 | ||
Stock-based compensation, net of taxes paid from shares withheld from employees related to net share settlements (Note 4) | 705 | 705 | 640 | 640 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 48 | 48 | 41 | 41 | ||
Deduct: | ||||||
Dividends on Common Shares | 9,367 | 9,367 | 9,370 | 9,370 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 48 | 48 | 41 | 41 | ||
Ending balances at Jun. 30, 2018 | 539,210 | $ 251,092 | 288,118 | 478,536 | $ 242,645 | 235,891 |
Balances (in shares) at Jun. 30, 2018 | 36,733,000 | 146 | ||||
Balance (in shares) at Dec. 31, 2018 | 36,758,000 | 165 | ||||
Beginning balances at Dec. 31, 2018 | 558,223 | $ 253,689 | 304,534 | 503,575 | $ 292,412 | 211,163 |
Add: | ||||||
Net income | 12,852 | 12,852 | 9,022 | 9,022 | ||
Exercise of stock options and other issuance of Common Shares (in shares) | 37,000 | |||||
Exercise of stock options and other issuances of Common Shares | 75 | $ 75 | ||||
Stock-based compensation, net of taxes paid from shares withheld from employees related to net share settlements (Note 4) | 463 | 463 | 572 | 572 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 70 | 70 | 60 | 60 | ||
Deduct: | ||||||
Dividends on Common Shares | 10,113 | 10,113 | 10,100 | 10,100 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 70 | 70 | 60 | 60 | ||
Ending balances at Mar. 31, 2019 | 561,500 | $ 254,297 | 307,203 | 503,069 | $ 293,044 | 210,025 |
Balances (in shares) at Mar. 31, 2019 | 36,795,000 | 165 | ||||
Balance (in shares) at Dec. 31, 2018 | 36,758,000 | 165 | ||||
Beginning balances at Dec. 31, 2018 | 558,223 | $ 253,689 | 304,534 | 503,575 | $ 292,412 | 211,163 |
Add: | ||||||
Net income | $ 39,636 | 31,320 | ||||
Exercise of stock options and other issuance of Common Shares (in shares) | 73,854 | |||||
Ending balances at Jun. 30, 2019 | $ 578,787 | $ 254,969 | 323,818 | 515,524 | $ 293,345 | 222,179 |
Balances (in shares) at Jun. 30, 2019 | 36,832,000 | 165 | ||||
Balance (in shares) at Mar. 31, 2019 | 36,795,000 | 165 | ||||
Beginning balances at Mar. 31, 2019 | 561,500 | $ 254,297 | 307,203 | 503,069 | $ 293,044 | 210,025 |
Add: | ||||||
Net income | 26,784 | 26,784 | 22,298 | 22,298 | ||
Exercise of stock options and other issuance of Common Shares (in shares) | 37,000 | |||||
Exercise of stock options and other issuances of Common Shares | 291 | $ 291 | ||||
Stock-based compensation, net of taxes paid from shares withheld from employees related to net share settlements (Note 4) | 331 | 331 | 257 | 257 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 50 | 50 | 44 | 44 | ||
Deduct: | ||||||
Dividends on Common Shares | 10,119 | 10,119 | 10,100 | 10,100 | ||
Dividend equivalent rights on stock-based awards not paid in cash | 50 | 50 | 44 | 44 | ||
Ending balances at Jun. 30, 2019 | $ 578,787 | $ 254,969 | $ 323,818 | $ 515,524 | $ 293,345 | $ 222,179 |
Balances (in shares) at Jun. 30, 2019 | 36,832,000 | 165 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOW - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash Flows From Operating Activities: | ||
Net income | $ 39,636 | $ 27,130 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 17,640 | 19,797 |
Provision for doubtful accounts | 281 | 322 |
Deferred income taxes and investment tax credits | (1,703) | (1,565) |
Stock-based compensation expense | 2,179 | 1,637 |
Gain on sale of assets | (112) | (18) |
Gain on investments held in a trust | (2,187) | (97) |
Other — net | 130 | 136 |
Changes in assets and liabilities: | ||
Accounts receivable — customers | (1,129) | (835) |
Unbilled receivable | 5,524 | 1,730 |
Other accounts receivable | 36 | 3,612 |
Receivables from the U.S. government | (2,909) | (14,507) |
Materials and supplies | (414) | (569) |
Prepayments and other assets | 1,901 | (1,171) |
Contract assets | (2,934) | 12,631 |
Regulatory assets | (13,932) | 12,240 |
Accounts payable | 83 | (3,473) |
Income taxes receivable/payable | 3,363 | 4,820 |
Contract liabilities | 4,034 | 3,132 |
Accrued pension and other post-retirement benefits | 3,116 | 2,495 |
Other liabilities | (7,936) | (2,376) |
Net cash provided | 44,667 | 65,071 |
Cash Flows From Investing Activities: | ||
Capital expenditures | (81,155) | (58,782) |
Proceeds from Sale of Property, Plant, and Equipment | 102 | 29 |
Other investing activities | 184 | 98 |
Net cash used | (80,869) | (58,655) |
Cash Flows From Financing Activities: | ||
Proceeds from stock option exercises | 366 | 340 |
Receipt of advances for and contributions in aid of construction | 6,290 | 3,343 |
Refunds on advances for construction | (4,074) | (2,616) |
Retirement or repayments of long-term debt | (40,200) | (197) |
Net change in notes payable to banks | 90,000 | 18,000 |
Dividends paid | (20,232) | (18,729) |
Other financing activities | 1,573 | 1,214 |
Net cash provided (used) | 30,577 | (1,073) |
Net change in cash and cash equivalents | (5,625) | 5,343 |
Cash and cash equivalents, beginning of period | 7,141 | 214 |
Cash and cash equivalents, end of period | 1,516 | 5,557 |
Non-cash transactions: | ||
Accrued payables for investment in utility plant | 23,433 | 16,016 |
Property installed by developers and conveyed | 1,241 | 929 |
GOLDEN STATE WATER COMPANY | ||
Cash Flows From Operating Activities: | ||
Net income | 31,320 | 22,538 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 16,150 | 18,885 |
Provision for doubtful accounts | 279 | 331 |
Deferred income taxes and investment tax credits | (2,432) | (2,192) |
Stock-based compensation expense | 1,952 | 1,326 |
Gain on sale of assets | (83) | 0 |
Gain on investments held in a trust | (2,187) | (97) |
Other — net | 147 | 176 |
Changes in assets and liabilities: | ||
Accounts receivable — customers | (1,129) | (835) |
Unbilled receivable | 658 | 745 |
Other accounts receivable | 69 | 2,830 |
Materials and supplies | (235) | (107) |
Prepayments and other assets | 2,135 | (460) |
Regulatory assets | (13,932) | 12,240 |
Accounts payable | 3,127 | (2,310) |
Intercompany receivable/payable | 0 | 26 |
Income taxes receivable/payable | 5,893 | 7,606 |
Accrued pension and other post-retirement benefits | 3,116 | 2,495 |
Other liabilities | (6,607) | (2,603) |
Net cash provided | 38,241 | 60,594 |
Cash Flows From Investing Activities: | ||
Capital expenditures | (76,660) | (53,510) |
Proceeds from Sale of Property, Plant, and Equipment | 83 | 0 |
Other investing activities | 184 | 98 |
Net cash used | (76,393) | (53,412) |
Cash Flows From Financing Activities: | ||
Receipt of advances for and contributions in aid of construction | 6,290 | 3,343 |
Refunds on advances for construction | (4,074) | (2,616) |
Retirement or repayments of long-term debt | (40,200) | (197) |
Net change in intercompany borrowings | 94,000 | 15,000 |
Dividends paid | (20,200) | (18,750) |
Other financing activities | 1,310 | 1,053 |
Net cash provided (used) | 34,506 | (4,273) |
Net change in cash and cash equivalents | (3,646) | 2,909 |
Cash and cash equivalents, beginning of period | 4,187 | 214 |
Cash and cash equivalents, end of period | 541 | 3,123 |
Non-cash transactions: | ||
Accrued payables for investment in utility plant | 23,433 | 16,016 |
Property installed by developers and conveyed | $ 1,241 | $ 929 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies [Text Block] | Summary of Significant Accounting Policies Nature of Operations : American States Water Company (“AWR”) is the parent company of Golden State Water Company (“GSWC”) and American States Utility Services, Inc. (“ASUS”) (and its subsidiaries, Fort Bliss Water Services Company (“FBWS”), Terrapin Utility Services, Inc. (“TUS”), Old Dominion Utility Services, Inc. (“ODUS”), Palmetto State Utility Services, Inc. (“PSUS”), Old North Utility Services, Inc. (“ONUS”), Emerald Coast Utility Services, Inc. ("ECUS"), and Fort Riley Utility Services, Inc. ("FRUS")). The subsidiaries of ASUS are collectively referred to as the “Military Utility Privatization Subsidiaries.” GSWC is a public utility engaged principally in the purchase, production, distribution and sale of water in California serving approximately 260,000 customer connections. GSWC also distributes electricity in several San Bernardino County mountain communities in California serving approximately 24,000 customer connections through its Bear Valley Electric Service (“BVES”) division. The California Public Utilities Commission (“CPUC”) regulates GSWC’s water and electric businesses in matters including properties, rates, services, facilities and transactions by GSWC with its affiliates. GSWC filed applications with the CPUC and the Federal Energy Regulatory Commission in December 2018 and July 2019, respectively, to transfer the assets and liabilities of the BVES division of GSWC to Bear Valley Electric Service, Inc., a newly created separate legal entity and stand-alone subsidiary of AWR. This reorganization plan is subject to regulatory approvals and, if approved, is not expected to result in a substantive change to AWR's operations and business segments. The CPUC has scheduled to issue a final decision by the end of 2019. ASUS, through its wholly owned subsidiaries, operates, maintains and performs construction activities (including renewal and replacement capital work) on water and/or wastewater systems at various U.S. military bases pursuant to 50 -year firm fixed-price contracts. These contracts are subject to annual economic price adjustments and modifications for changes in circumstances, changes in laws and regulations and additions to the contract value for new construction of facilities at the military bases. There is no direct regulatory oversight by the CPUC over AWR or the operations, rates or services provided by ASUS or any of its wholly owned subsidiaries. Basis of Presentation : The consolidated financial statements and notes thereto are presented in a combined report filed by two separate Registrants: AWR and GSWC. References in this report to “Registrant” are to AWR and GSWC, collectively, unless otherwise specified. AWR owns all of the outstanding common shares of GSWC and ASUS. ASUS owns all of the outstanding common stock of the Military Utility Privatization Subsidiaries. The consolidated financial statements of AWR include the accounts of AWR and its subsidiaries, all of which are wholly owned. These financial statements are prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). Intercompany transactions and balances have been eliminated in the AWR consolidated financial statements. The consolidated financial statements included herein have been prepared by Registrant, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The December 31, 2018 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In the opinion of management, all adjustments consisting of normal, recurring items and estimates necessary for a fair statement of the results for the interim periods have been made. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto included in the Form 10-K for the year ended December 31, 2018 filed with the SEC. Related Party Transactions : GSWC and ASUS provide and/or receive various support services to and from their parent, AWR, and among themselves. GSWC also allocates certain corporate office administrative and general costs to its affiliate, ASUS, using allocation factors approved by the CPUC. GSWC allocated corporate office administrative and general costs to ASUS of approximately $1.3 million and $1.0 million during the three months ended June 30, 2019 and 2018 , and approximately $2.4 million and $2.0 million during the six months ended June 30, 2019 and 2018 , respectively. AWR borrows under a credit facility, which expires in May 2023, and provides funds to its subsidiaries, GSWC and ASUS, in support of their operations. In March 2019, AWR amended this credit facility to increase its borrowing capacity from $150.0 million to $200.0 million . As of June 30, 2019 , there was $185.5 million outstanding under this facility. The interest rate charged to GSWC and ASUS is sufficient to cover AWR’s interest expense under the credit facility. GSWC Long-Term Debt: In March 2019, GSWC repaid $40.0 million of its 6.70% senior note, which matured in that month. GSWC increased its intercompany borrowings from AWR parent to fund the repayment of this note. GSWC intends to issue up to $115.0 million of long-term debt by the end of 2019 and use the proceeds to reduce its intercompany borrowings and to partially fund capital expenditures. AWR parent intends to use any debt financing proceeds from GSWC to pay down the amounts outstanding under its credit facility. Recently Issued Accounting Pronouncements : Accounting Pronouncements Adopted in 2019 In February 2016, the Financial Accounting Standards Board ("FASB") issued a new lease accounting standard, Leases (Accounting Standards Codification ("ASC") 842), which replaces the prior lease guidance, (ASC 840). Under the new standard, lessees will recognize a right-of-use asset and a lease liability for virtually all leases (other than leases that meet the definition of a short-term lease). For income statement purposes, leases will be classified as either operating or finance. Operating leases will result in straight-line expense while finance leases will result in a front-loaded expense pattern. Registrant adopted the new lease accounting standard as of January 1, 2019 and did not adjust comparative periods for it. There was no cumulative-effect impact to the opening balance of retained earnings as a result of this adoption. Registrant elected the practical expedient under ASU 2018-01 Land Easement Practical Expedient for Transition to Topic 842 and did not review existing easements entered into prior to January 1, 2019. Leases with terms of twelve months or less were not recorded on the balance sheet. The adoption of the new lease guidance did not have a material impact on Registrant's results of operations or liquidity, but resulted in the recognition of operating lease liabilities and operating lease right-of-use assets on its balance sheets. The adoption of this guidance as of January 1, 2019 resulted in the recognition of $7.6 million in right-of-use assets and $8.0 million in operating lease liabilities (see Note 10). In August 2018, the FASB issued Accounting Standards Update ("ASU") 2018-15-Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . Under this ASU, entities that enter into cloud computing service arrangements are required to apply existing internal-use software guidance to determine which implementation costs are eligible for capitalization. Under that guidance, implementation costs are capitalized or expensed depending on the nature of the costs and the project stage during which they are incurred. Registrant adopted this guidance effective January 1, 2019. This accounting change did not have a significant impact on Registrant's financial statements. Accounting Pronouncements to be Adopted in Future Periods In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, and issued further guidance in November 2018 and May 2019, related to the impairment of financial instruments, effective January 1, 2020. The new guidance provides an impairment model, known as the current expected credit loss model, which is based on expected credit losses rather than incurred losses over the remaining life of most financial assets measured at amortized cost, including trade and other receivables. Registrant is currently evaluating the impact of this new guidance and do not expect the adoption of the guidance will have a material impact on its financial statements. In August 2018, the FASB issued ASU 2018-14- Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans . This ASU removes disclosures to pension plans and other post-retirement benefit plans that no longer are considered cost beneficial, clarifies the specific disclosure requirements and adds disclosure requirements deemed relevant. This ASU is effective for fiscal years ending after December 15, 2020 and will be applied by Registrant on a retrospective basis to all periods presented. Registrant is still evaluating the ASU and has not yet determined the effect on the Company's financial statements. |
Revenue from Contract with Cust
Revenue from Contract with Customer | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | Revenues Most of Registrant's revenues are derived from contracts with customers, including tariff-based revenues from its regulated utilities. ASUS's 50 -year firm fixed-price contracts with the U.S. government are considered service concession arrangements under ASC 853 Service Concession Arrangements . Accordingly, the services under these contracts are accounted for under Topic 606 Revenue from Contracts with Customers and the water and/or wastewater systems are not recorded as Property, Plant and Equipment on Registrant’s balance sheet. Although GSWC has a diversified base of residential, commercial, industrial and other customers, revenues derived from residential and commercial customers generally account for approximately 90% and 85% of total water and electric revenues, respectively. The vast majority of ASUS's revenues are with the U.S. government. For the three months ended June 30, 2019 and 2018 , disaggregated revenues from contracts with customers by segment were as follows: Three Months Ended June 30, Six Months Ended June 30, (dollar in thousands) 2019 2018 2019 2018 Water: Tariff-based revenues $ 76,876 $ 70,251 $ 136,451 $ 136,026 Surcharges (cost-recovery activities) 763 728 1,054 1,521 Other 461 453 920 895 Water revenues from contracts with customers 78,100 71,432 138,425 138,442 WRAM under-collection (alternative revenue program) 10,040 5,301 14,438 2,703 Total water revenues 88,140 76,733 152,863 141,145 Electric: Tariff-based revenues 7,698 7,795 18,964 17,814 Surcharges (cost-recovery activities) 43 63 97 110 Electric revenues from contracts with customers 7,741 7,858 19,061 17,924 BRRAM over-collection (alternative revenue program) (333 ) (17 ) (1,024 ) (251 ) Total electric revenues 7,408 7,841 18,037 17,673 Contracted services: Water 14,620 14,233 27,975 27,233 Wastewater 14,479 8,094 27,505 15,578 Contracted services revenues from contracts with customers 29,099 22,327 55,480 42,811 Total revenues $ 124,647 $ 106,901 $ 226,380 $ 201,629 The opening and closing balances of the receivable from the U.S. government, contract assets and contract liabilities from contracts with customers, which related entirely to ASUS, were as follows: (dollar in thousands) June 30, 2019 January 1, 2019 Receivable from the U.S. government $ 59,859 $ 61,126 Contract assets $ 31,557 $ 24,447 Contract liabilities $ 11,564 $ 7,530 Contract Assets - Contract assets are those of ASUS and consist of unbilled revenues recognized from work-in-progress construction projects, where the right to payment is conditional on something other than the passage of time. The classification of this asset as current or noncurrent is based on the timing of when ASUS expects to bill these amounts. Contract Liabilities - Contract liabilities are those of ASUS and consist of billings in excess of revenue recognized. The classification of this liability as current or noncurrent is based on the timing of when ASUS expects to recognize revenue. Revenue for the three and six months ended June 30, 2019 , which was included in contract liabilities at the beginning of the period were $1.7 million and $1.3 million , respectively. Contracted services revenues recognized during the three months ended June 30, 2019 from performance obligations satisfied in previous periods were not material. As of June 30, 2019 , Registrant's aggregate remaining performance obligations, which are entirely for the contracted services segment, were $3.2 billion . Registrant expects to recognize revenue on these remaining performance obligations over the remaining term of each of the 50 -year contracts, which range from 35 to 49 years. Each of the contracts with the U.S. government is subject to termination, in whole or in part, prior to the end of its 50 -year term for convenience of the U.S. government. |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2019 | |
Regulated Operations [Abstract] | |
Regulatory Matters | Regulatory Matters In accordance with accounting principles for rate-regulated enterprises, Registrant records regulatory assets, which represent probable future recovery of costs from customers through the ratemaking process, and regulatory liabilities, which represent probable future refunds that are to be credited to customers through the ratemaking process. At June 30, 2019 , Registrant had approximately $55.7 million of regulatory liabilities, net of regulatory assets, not accruing carrying costs. Of this amount, (i) $80.7 million of regulatory liabilities are excess deferred income taxes arising from the lower federal income tax rate due to the Tax Cuts and Jobs Act ("Tax Act") enacted in December 2017 that are expected to be refunded to customers, (ii) $14.2 million of regulatory liabilities are from flowed-through deferred income taxes, (iii) $35.3 million of regulatory assets relates to the underfunded position in Registrant's pension and other post-retirement obligations (not including the two-way pension balancing accounts), and (iv) $267,000 of regulatory assets relates to a memorandum account authorized by the CPUC to track unrealized gains and losses on BVES's purchase power contracts over the term of the contracts. The remainder of regulatory assets relates to other items that do not provide for or incur carrying costs. Regulatory assets represent costs incurred by GSWC for which it has received or expects to receive rate recovery in the future. In determining the probability of costs being recognized in other periods, GSWC considers regulatory rules and decisions, past practices, and other facts or circumstances that would indicate if recovery is probable. If the CPUC determines that a portion of GSWC’s assets are not recoverable in customer rates, GSWC must determine if it has suffered an asset impairment that requires it to write down the asset's value. Regulatory assets are offset against regulatory liabilities within each ratemaking area. Amounts expected to be collected or refunded in the next twelve months have been classified as current assets and current liabilities by ratemaking area. Regulatory assets, less regulatory liabilities, included in the consolidated balance sheets are as follows: (dollars in thousands) June 30, December 31, GSWC Water Revenue Adjustment Mechanism and Modified Cost Balancing Account $ 30,522 $ 17,763 Costs deferred for future recovery on Aerojet case 9,166 9,516 Pensions and other post-retirement obligations (Note 8) 32,444 33,124 Derivative unrealized loss (Note 5) 267 311 Low income rate assistance balancing accounts 1,787 2,784 General rate case memorandum accounts 8,025 5,054 Excess deferred income taxes (80,690 ) (81,465 ) Flow-through taxes, net (14,160 ) (15,273 ) Other regulatory assets 17,700 15,656 Tax Cuts and Jobs Act memorandum accounts (8,987 ) (8,293 ) Various refunds to customers (9,358 ) (7,517 ) Total $ (13,284 ) $ (28,340 ) Regulatory matters are discussed in the consolidated financial statements and the notes thereto included in the Form 10-K for the year ended December 31, 2018 filed with the SEC. The discussion below focuses on significant matters and developments since December 31, 2018 . Alternative-Revenue Programs: GSWC records the difference between what it bills its water customers and that which is authorized by the CPUC using the Water Revenue Adjustment Mechanism ("WRAM") and Modified Cost Balancing Account (“MCBA”) accounts approved by the CPUC. The over- or under-collection of the WRAM is aggregated with the MCBA over- or under-collection for the corresponding ratemaking area and bears interest at the current 90 -day commercial paper rate. The change in net regulatory liabilities as of June 30, 2019 as compared to December 31, 2018 is mainly due to an increase in the under-collection balance in the WRAM and MCBA accounts as a result of a decrease in water customer usage. As required by the accounting guidance for alternative revenue programs, GSWC is required to collect its WRAM balances, net of its MCBA, within 24 months following the year in which an under-collection is recorded in order to recognize such amounts as revenue. The recovery periods for the majority of GSWC's WRAM/MCBA balances are primarily within 12 to 24 months. GSWC has implemented surcharges to recover its WRAM/MCBA balances as of December 31, 2018. For the three months ended June 30, 2019 and 2018 , surcharges (net of surcredits) of approximately $832,000 and $5.6 million , respectively, were billed to customers to recover previously incurred under-collections in the WRAM/MCBA accounts. For the six months ended June 30, 2019 and 2018 , surcharges (net of surcredits) of approximately $3.6 million and $9.8 million , respectively, were billed to customers to recover previously incurred under-collections in the WRAM/MCBA accounts. During the six months ended June 30, 2019 , GSWC recorded additional net under-collections in the WRAM/MCBA accounts of approximately $16.4 million due to lower-than-adopted water usage, as well as higher-than-adopted supply costs currently in billed customer rates. As of June 30, 2019 , GSWC had an aggregated regulatory asset of $30.5 million , which is comprised of a $ 19.7 million under-collection in the WRAM accounts and a $10.8 million under-collection in the MCBA accounts. General Rate Case Filings and Other Matters: Water Segment: In July 2017, GSWC filed a general rate case application for all of its water regions and the general office to determine new rates for the years 2019 - 2021. On May 30, 2019, the CPUC issued a final decision on GSWC's water general rate case with rates retroactive to January 1, 2019. Among other things, the final decision approves in its entirety a settlement agreement that had been entered into between GSWC and the CPUC’s Public Advocates Office in August 2018. As a result, the final decision authorizes GSWC to invest approximately $334.5 million in capital expenditures over the rate cycle. The $334.5 million of infrastructure investment includes $20.4 million of capital projects to be filed for revenue recovery through advice letters when those projects are completed. As a result of the May 2019 CPUC decision, GSWC implemented new water rates on June 8, 2019. Due to the delay in receiving a final decision by the CPUC, billed water revenues up to June 8, 2019 were based on 2018 adopted rates. The new rates are retroactive to January 1, 2019 and, as a result, the cumulative retroactive impact of the CPUC decision was recorded during the second quarter of 2019, primarily affecting water revenues, supply costs and depreciation expense. Accordingly, GSWC added approximately $5.6 million to the general rate case memorandum accounts regulatory asset representing the rate difference between interim rates and final rates authorized by the CPUC retroactive to January 1, 2019. Surcharges will be implemented to recover the retroactive rate difference over approximately 12 - 24 months. The final decision also approved the recovery of previously incurred costs that were being tracked in CPUC-authorized memorandum accounts, which resulted in a reduction to administrative and general expense of approximately $1.1 million , which was also recorded during the second quarter of 2019. In December 2017, the Tax Cuts and Jobs Act ("Tax Act") was signed into federal law. The provisions of this major tax reform were generally effective January 1, 2018. The most significant provisions of the Tax Act impacting GSWC was the reduction of the federal corporate income tax rate from 35% to 21% and the elimination of bonus depreciation for regulated utilities. Pursuant to a CPUC directive, the 2018 impact of the Tax Act on the water adopted revenue requirement was tracked in a memorandum account effective January 1, 2018. On July 1, 2018, new lower water rates, which incorporated the new federal income tax rate, were implemented for all water ratemaking areas. As a result of receiving the May 2019 CPUC final decision on the water general rate case, in July 2019 GSWC filed with the CPUC to refund $7.2 million of over-collections recorded in this tax memorandum account as a one-time surcredit once approved. Electric Segment: In May 2017, GSWC filed its electric general rate case application with the CPUC to determine new electric rates for the years 2018 through 2021. In November 2018, GSWC and the Public Advocates Office filed a joint motion to adopt a settlement agreement between the two parties resolving all issues in connection with the general rate case. On July 16, 2019, the assigned Administrative Law Judge issued a proposed decision ("PD") on the general rate case. The PD approves the November 2018 settlement agreement in its entirety, which among other things, extends the rate cycle by one year (new rates will be effective for 2018-2022). Because of the delay in finalizing the electric general rate case, billed electric revenues during the first six months of 2019, and all of 2018, were based on 2017 adopted rates pending a final decision by the CPUC in the rate case application. When approved by the CPUC, the new rates will be retroactive to January 1, 2018 and retroactive adjustments will be recorded accordingly. A final decision is expected during the third or fourth quarter of 2019. |
Earnings per Share_Capital Stoc
Earnings per Share/Capital Stock | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share/Capital Stock | Earnings per Share/Capital Stock In accordance with the accounting guidance for participating securities and earnings per share (“EPS”), Registrant uses the “two-class” method of computing EPS. The “two-class” method is an earnings allocation formula that determines EPS for each class of common stock and participating security. AWR has participating securities related to restricted stock units that earn dividend equivalents on an equal basis with AWR’s Common Shares, and that have been issued under AWR's stock incentive plans for employees and the non-employee directors stock plans. In applying the “two-class” method, undistributed earnings are allocated to both common shares and participating securities. The following is a reconciliation of Registrant’s net income and weighted average Common Shares outstanding used for calculating basic net income per share: Basic: For The Three Months Ended June 30, For the Six Months Ended (in thousands, except per share amounts) 2019 2018 2019 2018 Net income $ 26,784 $ 16,348 $ 39,636 $ 27,130 Less: (a) Distributed earnings to common shareholders 10,119 9,367 20,232 18,729 Distributed earnings to participating securities 46 51 88 96 Undistributed earnings 16,619 6,930 19,316 8,305 (b) Undistributed earnings allocated to common shareholders 16,543 6,894 19,232 8,263 Undistributed earnings allocated to participating securities 76 36 84 42 Total income available to common shareholders, basic (a)+(b) $ 26,662 $ 16,261 $ 39,464 $ 26,992 Weighted average Common Shares outstanding, basic 36,804 36,733 36,788 36,723 Basic earnings per Common Share $ 0.72 $ 0.44 $ 1.07 $ 0.74 Diluted EPS is based upon the weighted average number of Common Shares, including both outstanding shares and shares potentially issuable in connection with stock options and restricted stock units granted under AWR’s stock incentive plans for employees and the non-employee directors stock plans, and net income. At June 30, 2019 and 2018 , there were 11,556 and 47,792 options outstanding, respectively, under these plans. At June 30, 2019 and 2018 , there were also 170,372 and 204,909 restricted stock units outstanding, respectively, including performance shares awarded to officers of the Registrant. The following is a reconciliation of Registrant’s net income and weighted average Common Shares outstanding for calculating diluted net income per share: Diluted: For The Three Months Ended June 30, For the Six Months Ended (in thousands, except per share amounts) 2019 2018 2019 2018 Common shareholders earnings, basic $ 26,662 $ 16,261 $ 39,464 $ 26,992 Undistributed earnings for dilutive stock-based awards 75 36 84 42 Total common shareholders earnings, diluted $ 26,737 $ 16,297 $ 39,548 $ 27,034 Weighted average common shares outstanding, basic 36,804 36,733 36,788 36,723 Stock-based compensation (1) 159 179 154 173 Weighted average common shares outstanding, diluted 36,963 36,912 36,942 36,896 Diluted earnings per Common Share $ 0.72 $ 0.44 $ 1.07 $ 0.73 (1) In applying the treasury stock method of reflecting the dilutive effect of outstanding stock-based compensation in the calculation of diluted EPS, 11,556 and 47,792 stock options at June 30, 2019 and 2018 , respectively, were deemed to be outstanding in accordance with accounting guidance on earnings per share. All of the 170,372 and 204,909 restricted stock units at June 30, 2019 and 2018 , respectively, were included in the calculation of diluted EPS for the three and six months ended June 30, 2019 and 2018 . No stock options outstanding at June 30, 2019 had an exercise price greater than the average market price of AWR’s Common Shares for the three and six months ended June 30, 2019 . There were no stock options outstanding at June 30, 2019 or 2018 that were anti-dilutive. During the six months ended June 30, 2019 and 2018 , AWR issued 73,854 and 52,712 common shares, for approximately $ 366,000 and $ 340,000 , respectively, under Registrant’s Common Share Purchase and Dividend Reinvestment Plan, the 401(k) Plan, the stock incentive plans for employees, and the non-employee directors stock plans. During the six months ended June 30, 2019 and 2018 , AWR paid $1.6 million and $1.2 million , respectively, to taxing authorities on employees' behalf for shares withheld related to net share settlements. During the six months ended June 30, 2019 and 2018 , GSWC paid $1.3 million and $1.1 million , respectively, to taxing authorities on employees' behalf for shares withheld related to net share settlements. These payments are included in the stock-based compensation caption of the statements of equity. During the three months ended June 30, 2019 and 2018 , AWR paid quarterly dividends of approximately $10.1 million , or $0.275 per share, and $9.4 million , or $0.255 per share, respectively. During the six months ended June 30, 2019 and 2018 , AWR paid quarterly dividends of approximately $20.2 million , or $0.550 per share, and $18.7 million , or $0.51 per share, respectively. During the three months ended June 30, 2019 and 2018, GSWC paid dividends of $10.1 million and $9.4 million respectively, to AWR. During the six months ended June 30, 2019 and 2018 , GSWC paid dividends of $20.2 million and $18.8 million respectively, to AWR. |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments GSWC's electric division, BVES, purchases power under long-term contracts at a fixed cost depending on the amount of power and the period during which the power is purchased under such contracts. In December 2014, the CPUC approved an application that allowed BVES to enter into long-term purchased power contracts with energy providers, which BVES executed in December 2014. BVES began taking power under these long-term contracts effective January 1, 2015 at a fixed cost over three and five year terms depending on the amount of power and period during which the power is purchased under the contracts. The long-term contracts executed in December 2014 are subject to the accounting guidance for derivatives and require mark-to-market derivative accounting. Among other things, the CPUC also authorized BVES to establish a regulatory asset and liability memorandum account to offset the mark-to-market entries required by the accounting guidance. Accordingly, all unrealized gains and losses generated from the purchased power contracts executed in December 2014 are deferred on a monthly basis into a non-interest bearing regulatory memorandum account that tracks the changes in fair value of the derivative throughout the term of the contract. As a result, these unrealized gains and losses do not impact GSWC’s earnings. The three year contract expired on December 31, 2017, and the five year term contract expires in November 2019. Registrant has received preliminary bids for new purchase power contracts and has filed an application with the CPUC to authorize GSWC to proceed with final bidding and selection. A final decision from the CPUC, as well as the execution of new purchase power contracts, is expected by the end of 2019. As of June 30, 2019 , there was a $267,000 unrealized loss in the memorandum account for the purchased power contracts as a result of a drop in energy prices. The notional volume of derivatives remaining under these long-term contracts as of June 30, 2019 was 44,064 megawatt hours. The accounting guidance for fair value measurements applies to all financial assets and financial liabilities that are measured and reported on a fair value basis. Under the accounting guidance, GSWC makes fair value measurements that are classified and disclosed in one of the following three categories: Level 1 : Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 : Quoted prices in markets that are not active or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; or Level 3 : Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). To value the contracts, Registrant applies the Black-76 model, utilizing various inputs that include quoted market prices for energy over the duration of the contracts. The market prices used to determine the fair value for this derivative instrument were estimated based on independent sources such as broker quotes and publications that are not observable in or corroborated by the market. Registrant received one broker quote to determine the fair value of its derivative instruments. When such inputs have a significant impact on the measurement of fair value, the instruments are categorized as Level 3. Accordingly, the valuation of the derivatives on Registrant’s purchased power contract has been classified as Level 3 for all periods presented. The following table presents changes in the fair value of GSWC’s Level 3 derivatives for the three and six months ended June 30, 2019 and 2018 : For The Three Months Ended June 30, For the Six Months Ended June 30, (dollars in thousands) 2019 2018 2019 2018 Fair value at beginning of the period $ (336 ) $ (2,625 ) $ (311 ) $ (2,941 ) Unrealized gain on purchased power contracts 69 915 44 1,231 Fair value at end of the period $ (267 ) $ (1,710 ) $ (267 ) $ (1,710 ) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments For cash and cash equivalents, accounts receivable, accounts payable and short-term debt, the carrying amount is assumed to approximate fair value due to the short-term nature of these items. Investments held in a Rabbi Trust for the supplemental executive retirement plan ("SERP") are measured at fair value and totaled $18.5 million as of June 30, 2019 . All equity investments in the Rabbi Trust are Level 1 investments in mutual funds. The investments held in the Rabbi Trust are included in "Other Property and Investments" on Registrant's balance sheets. The table below estimates the fair value of long-term debt held by GSWC. The fair values as of June 30, 2019 and December 31, 2018 were determined using rates for similar financial instruments of the same duration utilizing Level 2 methods and assumptions. The interest rates used for the June 30, 2019 valuation decreased as compared to December 31, 2018 , increasing the fair value of long-term debt as of June 30, 2019 after taking into account the repayment of $40.0 million of GSWC's 6.70% senior note in March 2019. Changes in the assumptions will produce different results. June 30, 2019 December 31, 2018 (dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial liabilities: Long-term debt—GSWC (1) $ 284,778 $ 372,745 $ 324,978 $ 387,889 ___________________ (1) Excludes debt issuance costs and redemption premiums. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On December 22, 2017, the Tax Act was signed into federal law. The provisions of this major tax reform were generally effective January 1, 2018. Among its significant provisions, the Tax Act reduced the federal corporate income tax rate from 35% to 21% and eliminated bonus depreciation for regulated utilities. AWR's effective income tax rate (“ETR”) was 22.6% and 21.2% for the three months ended June 30, 2019 and 2018 , respectively, and was 21.9% and 20.4% for the six months ended June 30, 2019 and 2018 , respectively. GSWC's ETR was 23.4% and 23.6% for the three months ended June 30, 2019 and 2018 , respectively, and was 22.2% and 21.9% for the six months ended June 30, 2019 and 2018 , respectively. AWR’s ETR increased because of higher state unitary taxes at AWR (parent). The AWR and GSWC effective tax rates differ from the federal statutory tax rate primarily due to (i) state taxes, (ii) permanent differences, including the excess tax benefits from share-based payments, which were reflected in the income statements and resulted in a reduction to income tax expense during the three months ended June 30, 2019 and 2018 , (iii) the continuing amortization of the excess deferred income tax liability that commenced upon the lowering of the federal tax rate, and (iv) differences between book and taxable income that are treated as flow-through adjustments in accordance with regulatory requirements (principally from plant, rate-case, and compensation expenses). As a regulated utility, GSWC treats certain temporary differences as flow-through in computing its income tax expense consistent with the income tax method used in its CPUC-jurisdiction ratemaking. Flow-through items either increase or decrease tax expense and thus impact the ETR. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The components of net periodic benefit costs for Registrant’s pension plan, postretirement plan and SERP for the three and six months ended June 30, 2019 and 2018 were as follows: For The Three Months Ended June 30, Pension Benefits Other Postretirement Benefits SERP (dollars in thousands) 2019 2018 2019 2018 2019 2018 Components of Net Periodic Benefits Cost: Service cost $ 986 $ 1,269 $ 53 $ 57 $ 298 $ 274 Interest cost 2,133 1,903 80 72 267 222 Expected return on plan assets (2,595 ) (2,795 ) (112 ) (123 ) — — Amortization of prior service cost 109 — — — — — Amortization of actuarial (gain) loss 351 283 (150 ) (182 ) 118 262 Net periodic benefits costs under accounting standards 984 660 (129 ) (176 ) 683 758 Regulatory adjustment - deferred (342 ) — — — — — Total expense recognized, before surcharges and allocation to overhead pool $ 642 $ 660 $ (129 ) $ (176 ) $ 683 $ 758 For The Six Months Ended June 30, Pension Benefits Other Postretirement Benefits SERP (dollars in thousands) 2019 2018 2019 2018 2019 2018 Components of Net Periodic Benefits Cost: Service cost $ 2,220 $ 2,670 $ 106 $ 114 $ 596 $ 548 Interest cost 4,264 3,824 160 144 534 444 Expected return on plan assets (5,188 ) (5,586 ) (224 ) (246 ) — — Amortization of prior service cost 218 — — — — — Amortization of actuarial (gain) loss 710 628 (300 ) (364 ) 236 524 Net periodic benefits costs under accounting standards 2,224 1,536 (258 ) (352 ) 1,366 1,516 Regulatory adjustment - deferred (342 ) — — — — — Total expense recognized, before surcharges and allocation to overhead pool $ 1,882 $ 1,536 $ (258 ) $ (352 ) $ 1,366 $ 1,516 Registrant expects to contribute, at least, approximately $3.9 million to its pension plan during 2019. As authorized by the CPUC in the water and electric general rate case decisions, GSWC utilizes two-way balancing accounts for its water and electric regions and the general office to track differences between the forecasted annual pension expenses in rates, or expected to be in rates, and the actual annual expense recorded by GSWC in accordance with the accounting guidance for pension costs. As of June 30, 2019 , GSWC had a total of $2.9 million |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Loss Contingencies [Line Items] | |
Contingencies | Contingencies Environmental Clean-Up and Remediation : GSWC has been involved in environmental remediation and cleanup at a plant site ("Chadron Plant") that contained an underground storage tank which was used to store gasoline for its vehicles. This tank was removed from the ground in July 1990 along with the dispenser and ancillary piping. Since then, GSWC has been involved in various remediation activities at this site. Analysis indicates that off-site monitoring wells may be necessary to document effectiveness of remediation. As of June 30, 2019 , the total amount spent to clean up and remediate GSWC’s plant facility was approximately $6.2 million , of which $1.5 million has been paid by the State of California Underground Storage Tank Fund. Amounts paid by GSWC have been included in rate base and approved by the CPUC for recovery. As of June 30, 2019 , GSWC has a regulatory asset and an accrued liability for the estimated additional cost of $1.3 million to complete the cleanup at the site. The estimate includes costs for two years of continued activities of groundwater cleanup and monitoring, future soil treatment and site-closure-related activities. The ultimate cost may vary as there are many unknowns in remediation of underground gasoline spills and this is an estimate based on currently available information. Management also believes it is probable that the estimated additional costs will be approved in rate base by the CPUC. Other Litigation : Registrant is also subject to other ordinary routine litigation incidental to its business, some of which may include claims for compensatory and punitive damages. Management believes that rate recovery, proper insurance coverage and reserves are in place to insure against, among other things, property, general liability, employment, and workers’ compensation claims incurred in the ordinary course of business. Insurance coverage may not cover certain claims involving punitive damages. However, Registrant does not believe the outcome from any pending suits or administrative proceedings will have a material effect on Registrant's consolidated results of operations, financial position or cash flows. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Leases The adoption of the new lease guidance (see Note 1) effective January 1, 2019 did not have a material impact on Registrant's results of operations or liquidity, but resulted in the recognition of operating lease liabilities and operating lease right-of-use assets on its balance sheets. Right-of-use ("ROU") assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. As of June 30, 2019 , Registrant has right-of-use assets of $11.1 million , short-term operating lease liabilities of $1.8 million and long-term operating lease liabilities of $9.5 million . Significant assumptions and judgments made as part of the adoption of this new lease standard include determining (i) whether a contract contains a lease, (ii) whether a contract involves an identified asset, and (iii) which party to the contract directs the use of the asset. The discount rates used to calculate the present value of lease payments were determined based on hypothetical borrowing rates available to Registrant over terms similar to the lease terms. Registrant’s leases consist of real estate and equipment leases. Most of these are GSWC's leases. Most of Registrant's leases require fixed lease payments. Some real estate leases have escalation payments which depend on an index. Variable lease costs have not been material. Lease terms used to measure the lease liability include options to extend the lease if the option is reasonably certain to be exercised. Lease and non-lease components were combined to measure lease liabilities. Registrant also has a real estate lease that have not yet commenced as of June 30, 2019 . This lease will create additional operating right-of-use assets and operating lease liabilities of approximately $2.2 million upon possession of the office space later in 2019. GSWC's long-term debt includes $28.0 million of 9.56% private placement notes, which require GSWC to maintain a total indebtedness to capitalization ratio of less than 0.6667 -to-1. The indebtedness, as defined in the note agreement, includes any lease liabilities required to be recorded under GAAP. As of June 30, 2019 , GSWC had a total indebtedness (including GSWC's lease liabilities) to capitalization ratio of 0.46 -to-1. None of the other covenants or restrictions contained in Registrant's long-term debt agreements were affected by the adoption of the new lease standard. Registrant's supplemental lease information for the three and six months ended June 30, 2019 is as follows (in thousands, except for weighted average data): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Operating lease costs $ 761 $ 1,559 Short-term lease costs $ 106 $ 180 Weighted average remaining lease term (in years) 7.81 7.81 Weighted-average discount rate 3.4 % 3.4 % Non-cash transactions Lease liabilities arising from obtaining right-of-use assets $ 6,730 $ 14,698 During the three months ended June 30, 2019 and 2018, Registrant’s consolidated rent expense was approximately $630,000 and $567,000 , respectively, and was approximately $1.3 million and $1.1 million for the six months ended June 30, 2019 and 2018, respectively. Registrant has entered into several new office leases during 2019 . Registrant’s future minimum payments under long-term non-cancelable operating leases are as follows (in thousands): June 30, 2019 December 31, 2018 2019 (July through December 2019 as of June 30, 2019) $ 1,370 $ 2,818 2020 2,293 2,530 2021 2,122 1,497 2022 1,795 1,007 2023 1,337 546 Thereafter 4,615 605 Total lease payments 13,532 $ 9,003 Less: imputed interest 2,176 Total lease obligations 11,356 Less: current obligations 1,808 Long-term lease obligations $ 9,548 There is no material difference between the consolidated operations of AWR and the operations of GSWC in regard to the future minimum payments under long-term non-cancelable operating leases. |
Business Segments
Business Segments | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments AWR has three reportable segments, water, electric and contracted services, whereas GSWC has two segments, water and electric. On a stand-alone basis, AWR has no material assets other than its equity investments in its subsidiaries and note receivables therefrom, and deferred taxes. All activities of GSWC, a rate-regulated utility, are geographically located within California. Activities of ASUS and its subsidiaries are conducted in California, Georgia, Florida, Kansas, Maryland, New Mexico, North Carolina, South Carolina, Texas and Virginia. Each of ASUS’s wholly owned subsidiaries is regulated, if applicable, by the state in which the subsidiary primarily conducts water and/or wastewater operations. Fees charged for operations and maintenance and renewal and replacement services are based upon the terms of the contracts with the U.S. government, which have been filed, as appropriate, with the commissions in the states in which ASUS’s subsidiaries are incorporated. The tables below set forth information relating to GSWC’s operating segments, ASUS and its subsidiaries and other matters. Total assets by segment are not presented below, as certain of Registrant’s assets are not tracked by segment. The utility plant amounts are net of respective accumulated provisions for depreciation. Capital additions reflect capital expenditures paid in cash, and exclude U.S. government- and third-party contractor-funded capital expenditures for ASUS and property installed by developers and conveyed to GSWC. As Of And For The Three Months Ended June 30, 2019 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 88,140 $ 7,408 $ 29,099 $ — $ 124,647 Operating income (loss) 33,259 778 5,395 (2 ) 39,430 Interest expense, net 5,112 346 (219 ) 167 5,406 Utility plant 1,273,962 63,462 18,239 — 1,355,663 Depreciation and amortization expense (1) 5,405 601 649 — 6,655 Income tax expense (benefit) 6,812 14 1,300 (295 ) 7,831 Capital additions 36,293 1,254 3,046 — 40,593 As Of And For The Three Months Ended June 30, 2018 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 76,733 $ 7,841 $ 22,327 $ — $ 106,901 Operating income (loss) 21,244 1,401 2,925 (2 ) 25,568 Interest expense, net 5,047 353 (71 ) 83 5,412 Utility plant 1,166,867 60,504 11,418 — 1,238,789 Depreciation and amortization expense (1) 8,866 564 580 — 10,010 Income tax expense (benefit) 3,909 305 705 (532 ) 4,387 Capital additions 24,768 1,150 2,500 — 28,418 As Of And For The Six Months Ended June 30, 2019 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 152,863 $ 18,037 $ 55,480 $ 226,380 Operating income (loss) 46,525 2,839 10,265 (4 ) 59,625 Interest expense, net 10,349 699 (580 ) 313 10,781 Utility plant 1,273,962 63,462 18,239 — 1,355,663 Depreciation and amortization expense (1) 14,794 1,201 1,492 — 17,487 Income tax expense (benefit) 8,485 461 2,425 (230 ) 11,141 Capital additions 74,672 1,988 4,495 — 81,155 As Of And For The Six Months Ended June 30, 2018 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 141,145 $ 17,673 $ 42,811 $ — $ 201,629 Operating income (loss) 35,302 3,640 5,322 (5 ) 44,259 Interest expense, net 10,056 723 (137 ) 157 10,799 Utility plant 1,166,867 60,504 11,418 — 1,238,789 Depreciation and amortization expense (1) 17,635 1,129 912 — 19,676 Income tax expense (benefit) 5,558 771 1,259 (637 ) 6,951 Capital additions 51,386 2,124 5,272 — 58,782 (1) Depreciation computed on GSWC’s transportation equipment is recorded in other operating expenses and totaled $96,000 and $61,000 for the three months ended June 30, 2019 and 2018 , respectively, and $154,000 and $121,000 for the six months ended June 30, 2019 and 2018 , respectively. The following table reconciles total utility plant (a key figure for ratemaking) to total consolidated assets (in thousands): June 30, 2019 2018 Total utility plant $ 1,355,663 $ 1,238,789 Other assets 211,620 202,333 Total consolidated assets $ 1,567,283 $ 1,441,122 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies: (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Accounting | Basis of Presentation : The consolidated financial statements and notes thereto are presented in a combined report filed by two separate Registrants: AWR and GSWC. References in this report to “Registrant” are to AWR and GSWC, collectively, unless otherwise specified. AWR owns all of the outstanding common shares of GSWC and ASUS. ASUS owns all of the outstanding common stock of the Military Utility Privatization Subsidiaries. The consolidated financial statements of AWR include the accounts of AWR and its subsidiaries, all of which are wholly owned. These financial statements are prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). Intercompany transactions and balances have been eliminated in the AWR consolidated financial statements. The consolidated financial statements included herein have been prepared by Registrant, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The December 31, 2018 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In the opinion of management, all adjustments consisting of normal, recurring items and estimates necessary for a fair statement of the results for the interim periods have been made. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto included in the Form 10-K for the year ended December 31, 2018 filed with the SEC. |
GSWC's Related Party Transactions | Related Party Transactions : GSWC and ASUS provide and/or receive various support services to and from their parent, AWR, and among themselves. GSWC also allocates certain corporate office administrative and general costs to its affiliate, ASUS, using allocation factors approved by the CPUC. GSWC allocated corporate office administrative and general costs to ASUS of approximately $1.3 million and $1.0 million during the three months ended June 30, 2019 and 2018 , and approximately $2.4 million and $2.0 million during the six months ended June 30, 2019 and 2018 , respectively. AWR borrows under a credit facility, which expires in May 2023, and provides funds to its subsidiaries, GSWC and ASUS, in support of their operations. In March 2019, AWR amended this credit facility to increase its borrowing capacity from $150.0 million to $200.0 million . As of June 30, 2019 , there was $185.5 million outstanding under this facility. The interest rate charged to GSWC and ASUS is sufficient to cover AWR’s interest expense under the credit facility. |
GSWC Long-Term Debt | GSWC Long-Term Debt: In March 2019, GSWC repaid $40.0 million of its 6.70% senior note, which matured in that month. GSWC increased its intercompany borrowings from AWR parent to fund the repayment of this note. GSWC intends to issue up to $115.0 |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements : Accounting Pronouncements Adopted in 2019 In February 2016, the Financial Accounting Standards Board ("FASB") issued a new lease accounting standard, Leases (Accounting Standards Codification ("ASC") 842), which replaces the prior lease guidance, (ASC 840). Under the new standard, lessees will recognize a right-of-use asset and a lease liability for virtually all leases (other than leases that meet the definition of a short-term lease). For income statement purposes, leases will be classified as either operating or finance. Operating leases will result in straight-line expense while finance leases will result in a front-loaded expense pattern. Registrant adopted the new lease accounting standard as of January 1, 2019 and did not adjust comparative periods for it. There was no cumulative-effect impact to the opening balance of retained earnings as a result of this adoption. Registrant elected the practical expedient under ASU 2018-01 Land Easement Practical Expedient for Transition to Topic 842 and did not review existing easements entered into prior to January 1, 2019. Leases with terms of twelve months or less were not recorded on the balance sheet. The adoption of the new lease guidance did not have a material impact on Registrant's results of operations or liquidity, but resulted in the recognition of operating lease liabilities and operating lease right-of-use assets on its balance sheets. The adoption of this guidance as of January 1, 2019 resulted in the recognition of $7.6 million in right-of-use assets and $8.0 million in operating lease liabilities (see Note 10). In August 2018, the FASB issued Accounting Standards Update ("ASU") 2018-15-Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . Under this ASU, entities that enter into cloud computing service arrangements are required to apply existing internal-use software guidance to determine which implementation costs are eligible for capitalization. Under that guidance, implementation costs are capitalized or expensed depending on the nature of the costs and the project stage during which they are incurred. Registrant adopted this guidance effective January 1, 2019. This accounting change did not have a significant impact on Registrant's financial statements. Accounting Pronouncements to be Adopted in Future Periods In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, and issued further guidance in November 2018 and May 2019, related to the impairment of financial instruments, effective January 1, 2020. The new guidance provides an impairment model, known as the current expected credit loss model, which is based on expected credit losses rather than incurred losses over the remaining life of most financial assets measured at amortized cost, including trade and other receivables. Registrant is currently evaluating the impact of this new guidance and do not expect the adoption of the guidance will have a material impact on its financial statements. In August 2018, the FASB issued ASU 2018-14- Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans . This ASU removes disclosures to pension plans and other post-retirement benefit plans that no longer are considered cost beneficial, clarifies the specific disclosure requirements and adds disclosure requirements deemed relevant. This ASU is effective for fiscal years ending after December 15, 2020 and will be applied by Registrant on a retrospective basis to all periods presented. Registrant is still evaluating the ASU and has not yet determined the effect on the Company's financial statements. |
Revenue from Contract with Cu_2
Revenue from Contract with Customers (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | For the three months ended June 30, 2019 and 2018 , disaggregated revenues from contracts with customers by segment were as follows: Three Months Ended June 30, Six Months Ended June 30, (dollar in thousands) 2019 2018 2019 2018 Water: Tariff-based revenues $ 76,876 $ 70,251 $ 136,451 $ 136,026 Surcharges (cost-recovery activities) 763 728 1,054 1,521 Other 461 453 920 895 Water revenues from contracts with customers 78,100 71,432 138,425 138,442 WRAM under-collection (alternative revenue program) 10,040 5,301 14,438 2,703 Total water revenues 88,140 76,733 152,863 141,145 Electric: Tariff-based revenues 7,698 7,795 18,964 17,814 Surcharges (cost-recovery activities) 43 63 97 110 Electric revenues from contracts with customers 7,741 7,858 19,061 17,924 BRRAM over-collection (alternative revenue program) (333 ) (17 ) (1,024 ) (251 ) Total electric revenues 7,408 7,841 18,037 17,673 Contracted services: Water 14,620 14,233 27,975 27,233 Wastewater 14,479 8,094 27,505 15,578 Contracted services revenues from contracts with customers 29,099 22,327 55,480 42,811 Total revenues $ 124,647 $ 106,901 $ 226,380 $ 201,629 |
Contract with Customer, Asset and Liability | The opening and closing balances of the receivable from the U.S. government, contract assets and contract liabilities from contracts with customers, which related entirely to ASUS, were as follows: (dollar in thousands) June 30, 2019 January 1, 2019 Receivable from the U.S. government $ 59,859 $ 61,126 Contract assets $ 31,557 $ 24,447 Contract liabilities $ 11,564 $ 7,530 |
Regulatory Matters_ (Tables)
Regulatory Matters: (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Regulated Operations [Abstract] | |
Schedule of regulatory assets, less regulatory liabilities in the consolidated balance sheets for continuing operations | Regulatory assets, less regulatory liabilities, included in the consolidated balance sheets are as follows: (dollars in thousands) June 30, December 31, GSWC Water Revenue Adjustment Mechanism and Modified Cost Balancing Account $ 30,522 $ 17,763 Costs deferred for future recovery on Aerojet case 9,166 9,516 Pensions and other post-retirement obligations (Note 8) 32,444 33,124 Derivative unrealized loss (Note 5) 267 311 Low income rate assistance balancing accounts 1,787 2,784 General rate case memorandum accounts 8,025 5,054 Excess deferred income taxes (80,690 ) (81,465 ) Flow-through taxes, net (14,160 ) (15,273 ) Other regulatory assets 17,700 15,656 Tax Cuts and Jobs Act memorandum accounts (8,987 ) (8,293 ) Various refunds to customers (9,358 ) (7,517 ) Total $ (13,284 ) $ (28,340 ) |
Earnings per Share_Capital St_2
Earnings per Share/Capital Stock: (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of reconciliation of Registrant's net income and weighted average Common Shares outstanding for calculating basic net income per share | Basic: For The Three Months Ended June 30, For the Six Months Ended (in thousands, except per share amounts) 2019 2018 2019 2018 Net income $ 26,784 $ 16,348 $ 39,636 $ 27,130 Less: (a) Distributed earnings to common shareholders 10,119 9,367 20,232 18,729 Distributed earnings to participating securities 46 51 88 96 Undistributed earnings 16,619 6,930 19,316 8,305 (b) Undistributed earnings allocated to common shareholders 16,543 6,894 19,232 8,263 Undistributed earnings allocated to participating securities 76 36 84 42 Total income available to common shareholders, basic (a)+(b) $ 26,662 $ 16,261 $ 39,464 $ 26,992 Weighted average Common Shares outstanding, basic 36,804 36,733 36,788 36,723 Basic earnings per Common Share $ 0.72 $ 0.44 $ 1.07 $ 0.74 |
Schedule of reconciliation of Registrant's net income and weighted average Common Shares outstanding for calculating diluted net income per share | The following is a reconciliation of Registrant’s net income and weighted average Common Shares outstanding for calculating diluted net income per share: Diluted: For The Three Months Ended June 30, For the Six Months Ended (in thousands, except per share amounts) 2019 2018 2019 2018 Common shareholders earnings, basic $ 26,662 $ 16,261 $ 39,464 $ 26,992 Undistributed earnings for dilutive stock-based awards 75 36 84 42 Total common shareholders earnings, diluted $ 26,737 $ 16,297 $ 39,548 $ 27,034 Weighted average common shares outstanding, basic 36,804 36,733 36,788 36,723 Stock-based compensation (1) 159 179 154 173 Weighted average common shares outstanding, diluted 36,963 36,912 36,942 36,896 Diluted earnings per Common Share $ 0.72 $ 0.44 $ 1.07 $ 0.73 (1) In applying the treasury stock method of reflecting the dilutive effect of outstanding stock-based compensation in the calculation of diluted EPS, 11,556 and 47,792 stock options at June 30, 2019 and 2018 , respectively, were deemed to be outstanding in accordance with accounting guidance on earnings per share. All of the 170,372 and 204,909 restricted stock units at June 30, 2019 and 2018 , respectively, were included in the calculation of diluted EPS for the three and six months ended June 30, 2019 and 2018 . |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
GOLDEN STATE WATER COMPANY | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table presents changes in the fair value of GSWC’s Level 3 derivatives for the three and six months ended June 30, 2019 and 2018 : For The Three Months Ended June 30, For the Six Months Ended June 30, (dollars in thousands) 2019 2018 2019 2018 Fair value at beginning of the period $ (336 ) $ (2,625 ) $ (311 ) $ (2,941 ) Unrealized gain on purchased power contracts 69 915 44 1,231 Fair value at end of the period $ (267 ) $ (1,710 ) $ (267 ) $ (1,710 ) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments: (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
GOLDEN STATE WATER COMPANY | |
Fair value of financial instruments | |
Schedule of estimates of the fair value of long-term debt | The table below estimates the fair value of long-term debt held by GSWC. The fair values as of June 30, 2019 and December 31, 2018 were determined using rates for similar financial instruments of the same duration utilizing Level 2 methods and assumptions. The interest rates used for the June 30, 2019 valuation decreased as compared to December 31, 2018 , increasing the fair value of long-term debt as of June 30, 2019 after taking into account the repayment of $40.0 million of GSWC's 6.70% senior note in March 2019. Changes in the assumptions will produce different results. June 30, 2019 December 31, 2018 (dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial liabilities: Long-term debt—GSWC (1) $ 284,778 $ 372,745 $ 324,978 $ 387,889 |
Employee Benefit Plans_ (Tables
Employee Benefit Plans: (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Schedule of components of net periodic benefit costs, before allocation to the overhead pool, for Registrant's pension plan, postretirement plan, and SERP | The components of net periodic benefit costs for Registrant’s pension plan, postretirement plan and SERP for the three and six months ended June 30, 2019 and 2018 were as follows: For The Three Months Ended June 30, Pension Benefits Other Postretirement Benefits SERP (dollars in thousands) 2019 2018 2019 2018 2019 2018 Components of Net Periodic Benefits Cost: Service cost $ 986 $ 1,269 $ 53 $ 57 $ 298 $ 274 Interest cost 2,133 1,903 80 72 267 222 Expected return on plan assets (2,595 ) (2,795 ) (112 ) (123 ) — — Amortization of prior service cost 109 — — — — — Amortization of actuarial (gain) loss 351 283 (150 ) (182 ) 118 262 Net periodic benefits costs under accounting standards 984 660 (129 ) (176 ) 683 758 Regulatory adjustment - deferred (342 ) — — — — — Total expense recognized, before surcharges and allocation to overhead pool $ 642 $ 660 $ (129 ) $ (176 ) $ 683 $ 758 For The Six Months Ended June 30, Pension Benefits Other Postretirement Benefits SERP (dollars in thousands) 2019 2018 2019 2018 2019 2018 Components of Net Periodic Benefits Cost: Service cost $ 2,220 $ 2,670 $ 106 $ 114 $ 596 $ 548 Interest cost 4,264 3,824 160 144 534 444 Expected return on plan assets (5,188 ) (5,586 ) (224 ) (246 ) — — Amortization of prior service cost 218 — — — — — Amortization of actuarial (gain) loss 710 628 (300 ) (364 ) 236 524 Net periodic benefits costs under accounting standards 2,224 1,536 (258 ) (352 ) 1,366 1,516 Regulatory adjustment - deferred (342 ) — — — — — Total expense recognized, before surcharges and allocation to overhead pool $ 1,882 $ 1,536 $ (258 ) $ (352 ) $ 1,366 $ 1,516 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Supplemental lease information | Registrant's supplemental lease information for the three and six months ended June 30, 2019 is as follows (in thousands, except for weighted average data): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Operating lease costs $ 761 $ 1,559 Short-term lease costs $ 106 $ 180 Weighted average remaining lease term (in years) 7.81 7.81 Weighted-average discount rate 3.4 % 3.4 % Non-cash transactions Lease liabilities arising from obtaining right-of-use assets $ 6,730 $ 14,698 |
Maturities of operating lease liabilities | Registrant’s future minimum payments under long-term non-cancelable operating leases are as follows (in thousands): June 30, 2019 December 31, 2018 2019 (July through December 2019 as of June 30, 2019) $ 1,370 $ 2,818 2020 2,293 2,530 2021 2,122 1,497 2022 1,795 1,007 2023 1,337 546 Thereafter 4,615 605 Total lease payments 13,532 $ 9,003 Less: imputed interest 2,176 Total lease obligations 11,356 Less: current obligations 1,808 Long-term lease obligations $ 9,548 |
Business Segments_ (Tables)
Business Segments: (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of reporting segments information | The tables below set forth information relating to GSWC’s operating segments, ASUS and its subsidiaries and other matters. Total assets by segment are not presented below, as certain of Registrant’s assets are not tracked by segment. The utility plant amounts are net of respective accumulated provisions for depreciation. Capital additions reflect capital expenditures paid in cash, and exclude U.S. government- and third-party contractor-funded capital expenditures for ASUS and property installed by developers and conveyed to GSWC. As Of And For The Three Months Ended June 30, 2019 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 88,140 $ 7,408 $ 29,099 $ — $ 124,647 Operating income (loss) 33,259 778 5,395 (2 ) 39,430 Interest expense, net 5,112 346 (219 ) 167 5,406 Utility plant 1,273,962 63,462 18,239 — 1,355,663 Depreciation and amortization expense (1) 5,405 601 649 — 6,655 Income tax expense (benefit) 6,812 14 1,300 (295 ) 7,831 Capital additions 36,293 1,254 3,046 — 40,593 As Of And For The Three Months Ended June 30, 2018 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 76,733 $ 7,841 $ 22,327 $ — $ 106,901 Operating income (loss) 21,244 1,401 2,925 (2 ) 25,568 Interest expense, net 5,047 353 (71 ) 83 5,412 Utility plant 1,166,867 60,504 11,418 — 1,238,789 Depreciation and amortization expense (1) 8,866 564 580 — 10,010 Income tax expense (benefit) 3,909 305 705 (532 ) 4,387 Capital additions 24,768 1,150 2,500 — 28,418 As Of And For The Six Months Ended June 30, 2019 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 152,863 $ 18,037 $ 55,480 $ 226,380 Operating income (loss) 46,525 2,839 10,265 (4 ) 59,625 Interest expense, net 10,349 699 (580 ) 313 10,781 Utility plant 1,273,962 63,462 18,239 — 1,355,663 Depreciation and amortization expense (1) 14,794 1,201 1,492 — 17,487 Income tax expense (benefit) 8,485 461 2,425 (230 ) 11,141 Capital additions 74,672 1,988 4,495 — 81,155 As Of And For The Six Months Ended June 30, 2018 GSWC AWR Consolidated (dollars in thousands) Water Electric ASUS Parent AWR Operating revenues $ 141,145 $ 17,673 $ 42,811 $ — $ 201,629 Operating income (loss) 35,302 3,640 5,322 (5 ) 44,259 Interest expense, net 10,056 723 (137 ) 157 10,799 Utility plant 1,166,867 60,504 11,418 — 1,238,789 Depreciation and amortization expense (1) 17,635 1,129 912 — 19,676 Income tax expense (benefit) 5,558 771 1,259 (637 ) 6,951 Capital additions 51,386 2,124 5,272 — 58,782 (1) Depreciation computed on GSWC’s transportation equipment is recorded in other operating expenses and totaled $96,000 and $61,000 for the three months ended June 30, 2019 and 2018 , respectively, and $154,000 and $121,000 for the six months ended June 30, 2019 and 2018 , respectively. |
Schedule of reconciliation of total utility plant (a key figure for rate-making) to total consolidated assets | The following table reconciles total utility plant (a key figure for ratemaking) to total consolidated assets (in thousands): June 30, 2019 2018 Total utility plant $ 1,355,663 $ 1,238,789 Other assets 211,620 202,333 Total consolidated assets $ 1,567,283 $ 1,441,122 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies: (Details) customer in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)customerregistrant | Jun. 30, 2018USD ($) | Dec. 31, 2019USD ($) | Mar. 31, 2019USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | |
Summary of significant accounting policies | ||||||||
Earnings reinvested in the business | $ 323,818,000 | $ 323,818,000 | $ 0 | $ 304,534,000 | ||||
Operating lease right-of-use assets | 11,058,000 | $ 11,058,000 | 7,600,000 | 0 | ||||
Basis of Presentation: | ||||||||
Number of registrants filing combined report | registrant | 2 | |||||||
Related Party Transactions | ||||||||
Notes payable to bank | 185,500,000 | $ 185,500,000 | 95,500,000 | |||||
Total lease obligations | 11,356,000 | 11,356,000 | $ 8,000,000 | |||||
AWR | Syndicated Credit Facility | ||||||||
Related Party Transactions | ||||||||
Maximum borrowing capacity on line of credit | $ 200,000,000 | |||||||
GOLDEN STATE WATER COMPANY | ||||||||
Summary of significant accounting policies | ||||||||
Earnings reinvested in the business | 222,179,000 | 222,179,000 | 211,163,000 | |||||
Operating lease right-of-use assets | 10,432,000 | 10,432,000 | $ 0 | |||||
Related Party Transactions | ||||||||
Payments to affiliate for corporate office administrative and general costs | $ 1,300,000 | $ 1,000,000 | $ 2,400,000 | $ 2,000,000 | ||||
GOLDEN STATE WATER COMPANY | Notes Payable 6.7 Percent Due 2019 [Member] | ||||||||
Related Party Transactions | ||||||||
Debt and Capital Lease Obligations | $ 40,000,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.70% | |||||||
GOLDEN STATE WATER COMPANY | Water Service Utility Operations | ||||||||
Nature of Operations: | ||||||||
Number of customers | customer | 260 | |||||||
GOLDEN STATE WATER COMPANY | Electric Service Utility Operations | ||||||||
Nature of Operations: | ||||||||
Number of customers | customer | 24 | |||||||
ASUS | Contracted Services | ||||||||
Nature of Operations: | ||||||||
Period of fixed price contracts to operate and maintain water systems at various military bases | 50 years | |||||||
Sales | GOLDEN STATE WATER COMPANY | Water Service Utility Operations | ||||||||
Nature of Operations: | ||||||||
Concentration Risk, Percentage | 90.00% | |||||||
Sales | GOLDEN STATE WATER COMPANY | Electric Service Utility Operations | ||||||||
Nature of Operations: | ||||||||
Concentration Risk, Percentage | 85.00% | |||||||
Minimum [Member] | AWR | Syndicated Credit Facility | ||||||||
Related Party Transactions | ||||||||
Line of Credit Facility, Current Borrowing Capacity | $ 150,000,000 | |||||||
Subsequent Event [Member] | GOLDEN STATE WATER COMPANY | Syndicated Credit Facility | ||||||||
Related Party Transactions | ||||||||
Debt Instrument, Face Amount | $ 115,000,000 |
Revenue from Contract with Cu_3
Revenue from Contract with Customers - Additional Information (Details) $ in Billions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Disaggregation of Revenue [Line Items] | |
Revenue, remaining performance obligation | $ 3.2 |
ASUS | Contracted Services | |
Disaggregation of Revenue [Line Items] | |
Period of fixed price contracts to operate and maintain water systems at various military bases | 50 years |
ASUS | Minimum | |
Disaggregation of Revenue [Line Items] | |
Revenue, remaining performance obligation, expected timing of satisfaction, explanation | P35Y |
ASUS | Maximum | |
Disaggregation of Revenue [Line Items] | |
Revenue, remaining performance obligation, expected timing of satisfaction, explanation | P49Y |
Sales | GOLDEN STATE WATER COMPANY | Water Service Utility Operations [Member] | |
Disaggregation of Revenue [Line Items] | |
Concentration Risk, Percentage | 90.00% |
Sales | GOLDEN STATE WATER COMPANY | Electric Service Utility Operations | |
Disaggregation of Revenue [Line Items] | |
Concentration Risk, Percentage | 85.00% |
Revenue from Contract with Cu_4
Revenue from Contract with Customers - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
WRAM under-collection (alternative revenue program) | $ (88,140) | $ (76,733) | $ (152,863) | $ (141,145) |
BRRAM over-collection (alternative revenue program) | (7,408) | (7,841) | (18,037) | (17,673) |
Total operating revenues | 124,647 | 106,901 | 226,380 | 201,629 |
GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
WRAM under-collection (alternative revenue program) | (88,140) | (76,733) | (152,863) | (141,145) |
BRRAM over-collection (alternative revenue program) | (7,408) | (7,841) | (18,037) | (17,673) |
Total operating revenues | 95,548 | 84,574 | 170,900 | 158,818 |
Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 78,100 | 71,432 | 138,425 | 138,442 |
Regulated Operating Revenue | 10,040 | |||
Total operating revenues | 88,140 | 76,733 | 152,863 | 141,145 |
Electric Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 7,741 | 7,858 | 19,061 | 17,924 |
BRRAM over-collection (alternative revenue program) | (333) | (17) | (1,024) | (251) |
Total operating revenues | 7,408 | 7,841 | 18,037 | 17,673 |
Contracted Services | ASUS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 29,099 | 22,327 | 55,480 | 42,811 |
Tariff-based Revenues | Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 76,876 | 70,251 | 136,451 | 136,026 |
Tariff-based Revenues | Electric Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 7,698 | 7,795 | 18,964 | 17,814 |
Surcharges (Cost-recovery Activities) | Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 763 | 728 | 1,054 | 1,521 |
Surcharges (Cost-recovery Activities) | Electric Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 43 | 63 | 97 | 110 |
Other Products and Services | Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 461 | 453 | 920 | 895 |
Alternative revenues program [Member] | Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
WRAM under-collection (alternative revenue program) | (5,301) | (14,438) | (2,703) | |
Water | Contracted Services | ASUS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | 14,620 | 14,233 | 27,975 | 27,233 |
Wastewater | Contracted Services | ASUS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer, excluding assessed tax | $ 14,479 | $ 8,094 | $ 27,505 | $ 15,578 |
Sales | Water Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Concentration Risk, Percentage | 90.00% | |||
Sales | Electric Service Utility Operations | GOLDEN STATE WATER COMPANY | ||||
Disaggregation of Revenue [Line Items] | ||||
Concentration Risk, Percentage | 85.00% |
Revenue from Contract with Cu_5
Revenue from Contract with Customers - Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2019 | Jan. 01, 2019 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||
Contract with Customer, Liability, Revenue Recognized | $ 1,700 | $ 1,300 | |
ASUS | |||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||
Receivable from the U.S. government | 59,859 | 59,859 | $ 61,126 |
Contract assets | 31,557 | 31,557 | 24,447 |
Contract liabilities | $ 11,564 | $ 11,564 | $ 7,530 |
Regulatory Matters_ (Details)
Regulatory Matters: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jul. 01, 2019 | May 30, 2019 | Dec. 31, 2018 | |
Regulatory matters: | |||||||
Regulatory asset not accruing carrying costs | $ (55,700) | $ (55,700) | |||||
Pension and other post-retirement obligations | |||||||
Regulatory matters: | |||||||
Regulatory asset not accruing carrying costs | (35,300) | (35,300) | |||||
GOLDEN STATE WATER COMPANY | |||||||
Regulatory matters: | |||||||
Regulatory assets | 13,284 | 13,284 | $ 28,340 | ||||
GOLDEN STATE WATER COMPANY | Tax Cuts and Jobs Act memorandum accounts | |||||||
Regulatory matters: | |||||||
Regulatory assets | 8,987 | 8,987 | 8,293 | ||||
GOLDEN STATE WATER COMPANY | Various refunds to customers | |||||||
Regulatory matters: | |||||||
Regulatory assets | 9,358 | 9,358 | 7,517 | ||||
GOLDEN STATE WATER COMPANY | Authorized Capital Infrastructure [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ (334,500) | ||||||
GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Amount billed to customers as surcharges | 832 | $ 5,600 | 3,600 | $ 9,800 | |||
Regulatory assets | (30,522) | (30,522) | (17,763) | ||||
GOLDEN STATE WATER COMPANY | Costs deferred for future recovery on Aerojet case | |||||||
Regulatory matters: | |||||||
Regulatory assets | (9,166) | (9,166) | (9,516) | ||||
GOLDEN STATE WATER COMPANY | Pension and other post-retirement obligations | |||||||
Regulatory matters: | |||||||
Regulatory assets | (32,444) | (32,444) | (33,124) | ||||
GOLDEN STATE WATER COMPANY | Derivative [Member] | |||||||
Regulatory matters: | |||||||
Regulatory asset not accruing carrying costs | (267) | (267) | |||||
GOLDEN STATE WATER COMPANY | Derivative unrealized loss | |||||||
Regulatory matters: | |||||||
Regulatory assets | (267) | (267) | (311) | ||||
GOLDEN STATE WATER COMPANY | Low income rate assistance balancing accounts | |||||||
Regulatory matters: | |||||||
Regulatory assets | (1,787) | (1,787) | (2,784) | ||||
GOLDEN STATE WATER COMPANY | General Rate Case Memorandum Accounts | |||||||
Regulatory matters: | |||||||
Regulatory assets | (8,025) | (8,025) | (5,054) | ||||
GOLDEN STATE WATER COMPANY | Deferred Income Tax Charge | |||||||
Regulatory matters: | |||||||
Regulatory asset not accruing carrying costs | (80,700) | (80,700) | |||||
Regulatory assets | 80,690 | 80,690 | 81,465 | ||||
GOLDEN STATE WATER COMPANY | Flow-through taxes, net | |||||||
Regulatory matters: | |||||||
Regulatory asset not accruing carrying costs | (14,200) | (14,200) | |||||
Regulatory assets | 14,160 | 14,160 | 15,273 | ||||
GOLDEN STATE WATER COMPANY | Other Regulatory Assets Net [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | (17,700) | (17,700) | $ (15,656) | ||||
GOLDEN STATE WATER COMPANY | Deferred Project Costs [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ (20,400) | ||||||
GOLDEN STATE WATER COMPANY | Other Regulatory Assets (Liabilities) [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | (1,100) | (1,100) | |||||
GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | (19,700) | (19,700) | |||||
Water general rate case [Member] | General Rate Case Memorandum Accounts | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ (5,600) | $ (5,600) | |||||
Subsequent Event [Member] | Water Service Utility Operations [Member] | Tax Cuts and Jobs Act memorandum accounts | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ 7,200 | ||||||
Maximum [Member] | GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 24 months | ||||||
Maximum [Member] | GOLDEN STATE WATER COMPANY | General Rate Case Memorandum Accounts | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 24 months | ||||||
Minimum [Member] | GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 12 months | ||||||
Minimum [Member] | GOLDEN STATE WATER COMPANY | General Rate Case Memorandum Accounts | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 12 months |
Regulatory Matters_ Alternative
Regulatory Matters: Alternative-Revenue Programs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jul. 01, 2019 | May 30, 2019 | Dec. 31, 2018 | |
Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Increase (decrease) in other regulatory assets | $ 16,400 | ||||||
GOLDEN STATE WATER COMPANY | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ (13,284) | $ (13,284) | $ (28,340) | ||||
GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Commercial paper, term | 90 days | ||||||
Amount billed to customers as surcharges | 832 | $ 5,600 | $ 3,600 | $ 9,800 | |||
Regulatory assets | 30,522 | $ 30,522 | $ 17,763 | ||||
GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | Minimum | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 12 months | ||||||
GOLDEN STATE WATER COMPANY | Water Revenue Adjustment Mechanism and Modified Cost Balancing Account | Maximum | |||||||
Regulatory matters: | |||||||
Regulatory Asset Recovery Periods | 24 months | ||||||
GOLDEN STATE WATER COMPANY | WRAM | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ 20,400 | ||||||
GOLDEN STATE WATER COMPANY | Modified Cost Balancing Account | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ 10,800 | $ 10,800 | |||||
Subsequent Event [Member] | Water Service Utility Operations [Member] | Revenue Subject to Refund for TCJA [Member] | |||||||
Regulatory matters: | |||||||
Regulatory assets | $ (7,200) |
Regulatory Matters_ CPUC Rehear
Regulatory Matters: CPUC Rehearing Matter and Procurement Audits (Details) - GOLDEN STATE WATER COMPANY - USD ($) $ in Thousands | Jun. 30, 2019 | May 30, 2019 | Dec. 31, 2018 |
Regulatory matters: | |||
Capital expenditure approved | $ (13,284) | $ (28,340) | |
Various refunds to customers | |||
Regulatory matters: | |||
Capital expenditure approved | $ (9,358) | $ (7,517) | |
Authorized Capital Infrastructure [Member] | |||
Regulatory matters: | |||
Capital expenditure approved | $ 334,500 | ||
Deferred Project Costs [Member] | |||
Regulatory matters: | |||
Capital expenditure approved | $ 20,400 |
Earnings per Share_Capital St_3
Earnings per Share/Capital Stock: (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Earnings Per Share [Abstract] | ||||||
Anti-dilutive stock options not included in the computation of diluted EPS (in shares) | 0 | 0 | 0 | |||
Payments Related to Tax Withholding for Share-based Compensation | $ 1,573 | $ 1,214 | ||||
Basic | ||||||
Net income | $ 26,784 | $ 12,852 | $ 16,348 | $ 10,782 | $ 39,636 | $ 27,130 |
Dividends Declared Per Common Share (in dollars per share) | $ 0.275 | $ 0.255 | $ 0.550 | $ 0.510 | ||
Weighted Average Dividends Common Stock | $ 10,119 | $ 9,367 | $ 20,232 | $ 18,729 | ||
Less: Distributed earnings to participating securities | 46 | 51 | 88 | 96 | ||
Undistributed earnings | 16,619 | 6,930 | 19,316 | 8,305 | ||
Undistributed earnings allocated to common shareholders | 16,543 | 6,894 | 19,232 | 8,263 | ||
Undistributed earnings allocated to participating securities | 76 | 36 | 84 | 42 | ||
Total income available to common shareholders, basic | $ 26,662 | $ 16,261 | $ 39,464 | $ 26,992 | ||
Weighted average Common Shares outstanding, basic (in shares) | 36,804,000 | 36,733,000 | 36,788,000 | 36,723,000 | ||
Basic earnings per Common Share (in dollars per share) | $ 0.72 | $ 0.44 | $ 1.07 | $ 0.74 | ||
Diluted | ||||||
Total income available to common shareholders, basic | $ 26,662 | $ 16,261 | $ 39,464 | $ 26,992 | ||
Undistributed earnings for dilutive stock-based awards | 75 | 36 | 84 | 42 | ||
Total common shareholders earnings, diluted | $ 26,737 | $ 16,297 | $ 39,548 | $ 27,034 | ||
Weighted average Common Shares outstanding, basic (in shares) | 36,804,000 | 36,733,000 | 36,788,000 | 36,723,000 | ||
Stock-based compensation (in shares) | 159,000 | 179,000 | 154,000 | 173,000 | ||
Weighted average common shares outstanding, diluted (in shares) | 36,963,000 | 36,912,000 | 36,942,000 | 36,896,000 | ||
Diluted earnings per Common Share (in dollars per share) | $ 0.72 | $ 0.44 | $ 1.07 | $ 0.73 |
Earnings per Share_Capital St_4
Earnings per Share/Capital Stock: (Details 2) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Capital stock | ||||||
Net income | $ 26,784 | $ 12,852 | $ 16,348 | $ 10,782 | $ 39,636 | $ 27,130 |
Total income available to common shareholders, basic | $ 26,662 | $ 16,261 | $ 39,464 | $ 26,992 | ||
Additional disclosure | ||||||
Options outstanding (in shares) | 11,556 | 47,792 | 11,556 | 47,792 | ||
Anti-dilutive stock options not included in the computation of diluted EPS (in shares) | 0 | 0 | 0 | |||
Common Shares issued under DRP and the 2000 and 2008 Employee Plans | 73,854 | 52,712 | ||||
Value of Common Shares issued under DRP and the 2000 and 2008 Employee Plans | $ 340 | $ 366 | ||||
Payments Related to Tax Withholding for Share-based Compensation | (1,573) | $ (1,214) | ||||
Weighted Average Dividends Common Stock | $ 10,119 | $ 9,367 | 20,232 | 18,729 | ||
Dividends paid | $ 20,232 | $ 18,729 | ||||
Dividends Declared Per Common Share (in dollars per share) | $ 0.275 | $ 0.255 | $ 0.550 | $ 0.510 | ||
Preferred Stock Dividends and Other Adjustments | $ 46 | $ 51 | $ 88 | $ 96 | ||
Undistributed Earnings, Basic | 16,619 | 6,930 | 19,316 | 8,305 | ||
Undistributed earnings allocated to common shareholders | 16,543 | 6,894 | 19,232 | 8,263 | ||
Undistributed earnings allocated to participating securities | $ 76 | $ 36 | $ 84 | $ 42 | ||
Weighted average Common Shares outstanding, basic (in shares) | 36,804,000 | 36,733,000 | 36,788,000 | 36,723,000 | ||
Basic earnings per Common Share (in dollars per share) | $ 0.72 | $ 0.44 | $ 1.07 | $ 0.74 | ||
Restricted Stock Units | ||||||
Additional disclosure | ||||||
Restricted stock units outstanding (in shares) | 170,372 | 204,909 | 170,372 | 204,909 | ||
Golden State Water Company [Member] | ||||||
Capital stock | ||||||
Net income | $ 22,298 | 9,022 | $ 13,648 | 8,890 | $ 31,320 | $ 22,538 |
Additional disclosure | ||||||
Payments Related to Tax Withholding for Share-based Compensation | (1,310) | (1,053) | ||||
Dividends paid | $ 10,100 | $ 9,400 | $ 20,200 | $ 18,750 |
Derivative Instruments (Details
Derivative Instruments (Details) - GOLDEN STATE WATER COMPANY $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Dec. 31, 2019 | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)MWh | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Description of derivative activity volume | MWh | 44,064 | ||||||
Commodity Contract | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Term of derivative contract | 3 years | ||||||
Number of broker quotes received to determine fair value of derivative instrument | 1 | 1 | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||||||
Fair value at beginning of the period | $ (336) | $ (2,625) | $ (311) | $ (2,941) | |||
Unrealized gain on purchased power contracts | 69 | 915 | 44 | 1,231 | |||
Fair value at end of the period | $ (267) | $ (1,710) | $ (267) | $ (1,710) | $ (2,941) | ||
Minimum | Commodity Contract | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Term of derivative contract | 3 years | ||||||
Maximum | Commodity Contract | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Term of derivative contract | 5 years | ||||||
Subsequent Event [Member] | Commodity Contract | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Term of derivative contract | 5 years |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments: (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
GOLDEN STATE WATER COMPANY | Reported Value Measurement | |||
Fair value of financial instruments | |||
Long-term Debt, Fair Value | $ 284,778 | $ 324,978 | |
GOLDEN STATE WATER COMPANY | Estimate of Fair Value Measurement | |||
Fair value of financial instruments | |||
Long-term Debt, Fair Value | 372,745 | $ 387,889 | |
Mutual Funds | Fair Value, Inputs, Level 1 | |||
Financial liabilities: | |||
Long-term debt-GSWC | $ 18,500 | ||
Notes Payable 6.7 Percent Due 2019 [Member] | GOLDEN STATE WATER COMPANY | |||
Fair value of financial instruments | |||
Debt and Capital Lease Obligations | $ 40,000 | ||
Financial liabilities: | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.70% |
Income Taxes_ (Details)
Income Taxes: (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
GOLDEN STATE WATER COMPANY | ||||
Effective income tax rate | ||||
ETRs (as a percent) | 23.40% | 23.60% | 22.20% | 21.90% |
Parent [Member] | ||||
Effective income tax rate | ||||
ETRs (as a percent) | 22.60% | 21.20% | 21.90% | 20.40% |
Employee Benefit Plans_ (Detail
Employee Benefit Plans: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Components of Net Periodic Benefits Cost: | ||||
Increase (Decrease) in Regulatory Assets and Liabilities | $ (13,932) | $ 12,240 | ||
GOLDEN STATE WATER COMPANY | ||||
Components of Net Periodic Benefits Cost: | ||||
Increase (Decrease) in Regulatory Assets and Liabilities | (13,932) | 12,240 | ||
Pension Benefits | ||||
Components of Net Periodic Benefits Cost: | ||||
Service cost | $ 986 | $ 1,269 | 2,220 | 2,670 |
Interest cost | 2,133 | 1,903 | 4,264 | 3,824 |
Expected return on plan assets | (2,595) | (2,795) | (5,188) | (5,586) |
Amortization of prior service cost | 109 | 0 | 218 | 0 |
Amortization of actuarial (gain) loss | 351 | 283 | 710 | 628 |
Net periodic benefits costs under accounting standards | 984 | 660 | 2,224 | 1,536 |
Increase (Decrease) in Regulatory Assets and Liabilities | (342) | 0 | (342) | 0 |
Expected contributions in current fiscal year | 3,900 | 3,900 | ||
Defined Benefit Plan, Net Periodic Benefit Cost before Allocation to Overhead Pool | 642 | 660 | 1,882 | 1,536 |
Pension Benefits | GOLDEN STATE WATER COMPANY | ||||
Components of Net Periodic Benefits Cost: | ||||
Regulatory adjustment — deferred | (2,900) | |||
Other Postretirement Benefits | ||||
Components of Net Periodic Benefits Cost: | ||||
Service cost | 53 | 57 | 106 | 114 |
Interest cost | 80 | 72 | 160 | 144 |
Expected return on plan assets | (112) | (123) | (224) | (246) |
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of actuarial (gain) loss | (150) | (182) | (300) | (364) |
Net periodic benefits costs under accounting standards | (129) | (176) | (258) | (352) |
Increase (Decrease) in Regulatory Assets and Liabilities | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost before Allocation to Overhead Pool | (129) | (176) | (258) | (352) |
SERP | ||||
Components of Net Periodic Benefits Cost: | ||||
Service cost | 298 | 274 | 596 | 548 |
Interest cost | 267 | 222 | 534 | 444 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of actuarial (gain) loss | 118 | 262 | 236 | 524 |
Net periodic benefits costs under accounting standards | 683 | 758 | 1,366 | 1,516 |
Increase (Decrease) in Regulatory Assets and Liabilities | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost before Allocation to Overhead Pool | $ 683 | $ 758 | $ 1,366 | $ 1,516 |
Contingencies (Details)
Contingencies (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Loss Contingencies [Line Items] | |
Amount spent in clean-up and remediation activities [Abstract] | $ 1.5 |
Environmental Clean-Up and Remediation | GOLDEN STATE WATER COMPANY | |
Loss Contingencies [Line Items] | |
Environmental Remediation Expense | 6.2 |
Accrued liability for the estimated additional cost to complete the clean-up at the site | $ 1.3 |
Leases Lease -additional inform
Leases Lease -additional information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Jan. 01, 2019 | Dec. 31, 2018 | |
Leases [Abstract] | ||||||
Operating lease right-of-use assets | $ 11,058 | $ 11,058 | $ 7,600 | $ 0 | ||
Operating lease liabilities | 1,808 | 1,808 | 0 | |||
Operating lease liabilities | 9,548 | 9,548 | 0 | |||
Short-term Lease Payments | 2,200 | |||||
Debt Instrument [Line Items] | ||||||
Operating Lease, Expense | 630 | $ 567 | 1,300 | $ 1,100 | ||
Notes Payable 9.56 Percent Due 2031 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Notes Payable to Bank | $ 28,000 | $ 28,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 9.56% | 9.56% | ||||
Golden State Water Company [Member] | ||||||
Leases [Abstract] | ||||||
Operating lease right-of-use assets | $ 10,432 | $ 10,432 | 0 | |||
Operating lease liabilities | 1,484 | 1,484 | 0 | |||
Operating lease liabilities | $ 9,283 | $ 9,283 | $ 0 | |||
Debt Instrument [Line Items] | ||||||
Ratio of Indebtedness to Net Capital | 0.46 | 0.46 | ||||
Golden State Water Company [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Ratio of Indebtedness to Net Capital | 0.6667 | 0.6667 |
Leases Supplemental Lease Infor
Leases Supplemental Lease Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Debt Instrument [Line Items] | ||||
Operating Lease, Expense | $ 630 | $ 567 | $ 1,300 | $ 1,100 |
Operating lease costs | 761 | 1,559 | ||
Short-term lease costs | $ 106 | $ 180 | ||
Weighted average remaining lease term (in years) | 7 years 9 months 21 days | 7 years 9 months 21 days | ||
Weighted-average discount rate | 3.40% | 3.40% | ||
Lease liabilities arising from obtaining right-of-use assets | $ 6,730 | $ 14,698 | ||
Notes Payable 9.56 Percent Due 2031 [Member] | ||||
Debt Instrument [Line Items] | ||||
Notes Payable to Bank | $ 28,000 | $ 28,000 |
Leases Lessee Operating Lease L
Leases Lessee Operating Lease Liability Maturity (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Leases [Abstract] | |||
2019 (July through December 2019 as of June 30, 2019) | $ 1,370 | ||
2020 | 2,293 | ||
2021 | 2,122 | ||
2022 | 1,795 | ||
2023 | 1,337 | ||
Thereafter | 4,615 | ||
Total lease payments | 13,532 | ||
Less: imputed interest | 2,176 | ||
Total lease obligations | 11,356 | $ 8,000 | |
Less: current obligations | 1,808 | $ 0 | |
Long-term lease obligations | $ 9,548 | 0 | |
2019 (July through December 2019 as of June 30, 2019) | 2,818 | ||
2020 | 2,530 | ||
2021 | 1,497 | ||
2022 | 1,007 | ||
2023 | 546 | ||
Thereafter | 605 | ||
Total lease payments | $ 9,003 |
Business Segments_ (Details)
Business Segments: (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)segment | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | |
Details of reportable segment | |||||
Total operating revenues | $ 124,647 | $ 106,901 | $ 226,380 | $ 201,629 | |
Operating income (loss) | 39,430 | 25,568 | 59,625 | 44,259 | |
Interest expense, net | 5,406 | 5,412 | 10,781 | 10,799 | |
Utility plant | 1,355,663 | 1,238,789 | 1,355,663 | 1,238,789 | $ 1,296,310 |
Depreciation and amortization expense | 6,655 | 10,010 | 17,487 | 19,676 | |
Income tax expense (benefit) | 7,831 | 4,387 | 11,141 | 6,951 | |
Capital additions | 40,593 | 28,418 | $ 81,155 | 58,782 | |
AWR | |||||
Details of reportable segment | |||||
Number of reportable segments | segment | 3 | ||||
GOLDEN STATE WATER COMPANY | |||||
Details of reportable segment | |||||
Public Utilities Property Plant and Equipment Depreciation on Transportation Equipment | 96 | 61 | $ 154 | 121 | |
Number of reportable segments | segment | 2 | ||||
Total operating revenues | 95,548 | 84,574 | $ 170,900 | 158,818 | |
Operating income (loss) | 34,037 | 22,645 | 49,364 | 38,942 | |
Utility plant | 1,337,424 | 1,337,424 | $ 1,281,092 | ||
Depreciation and amortization expense | 6,006 | 9,430 | 15,995 | 18,764 | |
Income tax expense (benefit) | 6,826 | 4,214 | 8,946 | 6,329 | |
GOLDEN STATE WATER COMPANY | Water Service Utility Operations | |||||
Details of reportable segment | |||||
Total operating revenues | 88,140 | 76,733 | 152,863 | 141,145 | |
GOLDEN STATE WATER COMPANY | Electric Service Utility Operations | |||||
Details of reportable segment | |||||
Total operating revenues | 7,408 | 7,841 | $ 18,037 | 17,673 | |
ASUS | Contracted Services | |||||
Details of reportable segment | |||||
Period of fixed price contracts to operate and maintain water systems at various military bases | 50 years | ||||
Reportable Legal Entities | GOLDEN STATE WATER COMPANY | Water Service Utility Operations | |||||
Details of reportable segment | |||||
Total operating revenues | 88,140 | 76,733 | $ 152,863 | 141,145 | |
Operating income (loss) | 33,259 | 21,244 | 46,525 | 35,302 | |
Interest expense, net | 5,112 | 5,047 | 10,349 | 10,056 | |
Utility plant | 1,273,962 | 1,166,867 | 1,273,962 | 1,166,867 | |
Depreciation and amortization expense | 5,405 | 8,866 | 14,794 | 17,635 | |
Income tax expense (benefit) | 6,812 | 3,909 | 8,485 | 5,558 | |
Capital additions | 36,293 | 24,768 | 74,672 | 51,386 | |
Reportable Legal Entities | GOLDEN STATE WATER COMPANY | Electric Service Utility Operations | |||||
Details of reportable segment | |||||
Total operating revenues | 7,408 | 7,841 | 18,037 | 17,673 | |
Operating income (loss) | 778 | 1,401 | 2,839 | 3,640 | |
Interest expense, net | 346 | 353 | 699 | 723 | |
Utility plant | 63,462 | 60,504 | 63,462 | 60,504 | |
Depreciation and amortization expense | 601 | 564 | 1,201 | 1,129 | |
Income tax expense (benefit) | 14 | 305 | 461 | 771 | |
Capital additions | 1,254 | 1,150 | 1,988 | 2,124 | |
Reportable Legal Entities | ASUS | Contracted Services | |||||
Details of reportable segment | |||||
Total operating revenues | 29,099 | 22,327 | 55,480 | 42,811 | |
Operating income (loss) | 5,395 | 2,925 | 10,265 | 5,322 | |
Interest expense, net | (219) | 71 | (580) | 137 | |
Utility plant | 18,239 | 11,418 | 18,239 | 11,418 | |
Depreciation and amortization expense | 649 | 580 | 1,492 | 912 | |
Income tax expense (benefit) | 1,300 | 705 | 2,425 | 1,259 | |
Capital additions | 3,046 | 2,500 | 4,495 | 5,272 | |
Intersegment Eliminations | AWR | |||||
Details of reportable segment | |||||
Total operating revenues | 0 | 0 | 0 | ||
Operating income (loss) | (2) | (2) | (4) | (5) | |
Interest expense, net | 167 | (83) | 313 | (157) | |
Utility plant | 0 | 0 | 0 | 0 | |
Depreciation and amortization expense | 0 | 0 | 0 | 0 | |
Income tax expense (benefit) | (295) | (532) | (230) | (637) | |
Capital additions | $ 0 | $ 0 | $ 0 | $ 0 |
Business Segments_ (Details 2)
Business Segments: (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Details of reportable segment | |||||
Total utility plant | $ 1,355,663 | $ 1,238,789 | $ 1,355,663 | $ 1,238,789 | $ 1,296,310 |
Other assets | 211,620 | 202,333 | 211,620 | 202,333 | |
Total Assets | 1,567,283 | 1,441,122 | 1,567,283 | 1,441,122 | 1,501,433 |
GOLDEN STATE WATER COMPANY | |||||
Details of reportable segment | |||||
Depreciation on transportation equipment | 96 | $ 61 | 154 | $ 121 | |
Total utility plant | 1,337,424 | 1,337,424 | 1,281,092 | ||
Total Assets | $ 1,446,599 | $ 1,446,599 | $ 1,389,222 |