Wyoming Public Service Commission Utility Annual Report - Rural Electric Association 2016 Required Pursuant to WPSC Rule Chapter 3, Section 32 2515 Warren Avenue, Suite 300 Cheyenne, WY 82002 Exact legal name of reporting company: Company docket number: Street address or P.O. box: City, state and ZIP code: Telephone number: Fax number: Website URL: Contact person: Email address of contact person: Big Horn Rural Electric 10019 PO BOX 270 Basin, WY 82410 307-568-2419 307-568-2402 www.bighornrea.com Carrie Hunt carrie@bighornrea.com Report for the calendar year ended December 31, 2016 GENERAL WYOMING PUBLIC SERVICE COMMISSION UTILITY ANNUAL REPORT 1. A signed and notarized Oath and Verification page must be mailed to the WPSC, and a completed annual report shall be filed with the Wyoming Public Service Commission on or before May 1 following the year end to which this report applies. 2. Each inquiry contained in this report must be definitely answered. 3. Any material sought to be kept confidential must be mailed to the Wyoming Public Commission with a written request that the material be treated as confidential under Chapter 2, Section 30, Confidentiality of Information, of the PSC's Rules. All confidential information must be clearly labeled as such and printed on yellow paper. 4. Please contact the Wyoming Public Service Commission office at (307) 777-7427 if there are any questions concerning the content of this annual report. 5. Please provide Wyoming and Total Company numbers in the annual report. If Wyoming numbers equal Total Company numbers, please indicate such by including the numbers in both columns. Submission Date Original Filing 1st Revision 2nd Revision 3rd Revision Wyoming Public Service Commission Annual Report 1. Title Page Page 1 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Company Information Year of incorporation: Year company first began Wyoming operations: Business organization: Specify organization type if "Other": Total number of Wyoming customers as of December 31, 2016: Names of counties, cities and towns served by the company: Wyoming: Big Horn, Park, Washakie, Johnson, & Sheridan Horn, Carbon 1937 1938 C-Corporation 3,725 Montana: Big Name of owning, controlling or operating corporation or organization: Headquarters (H) Name: Jeff Umphlett Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone: 307-568-2419 Email: jeff@bighornrea.com Person to be contacted for additional information regarding Wyoming operations: Name: Jeff Umphlett Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone: 307-568-2419 Email: jeff@bighornrea.com Person to be contacted regarding Wyoming operation complaints (P): Name: Jeff Umphlett Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone: 307-568-2419 Email: jeff@bighornrea.com Person in charge of Wyoming regulatory affairs (R): Name: Jeff Umphlett Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone: 307-568-2419 Email: jeff@bighornrea.com Person in charge of Wyoming utility assessment affairs (S): Jeff Umphlett Name: PO BOX 270 Address: Basin, WY 82410 City, State, ZIP Code: 307-568-2419 Telephone: Email: jeff@bighornrea.com Person to be contacted concerning this annual report (N): Name: Carrie Hunt Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone: 307-568-2419 Email: carrie@bighornrea.com Person to be contacted concerning emergencies: (Provide a 24/7 contact telephone number.) Name: Jeff Umphlett Address: PO BOX 270 City, State, ZIP Code: Basin, WY 82410 Telephone (24/7): 307-568-2419 Email: jeff@bighornrea.com Registered agent (G): Name: Address: City, State, ZIP Code: Telephone: Email: Wyoming Public Service Commission Annual Report 2. Company Information Page 2 of 27 Big Horn Rural Electric Board of Directors Jeff Umphlett General Manager Kendal Wambeke LIne Supt Carrie Hunt Accountant Sheila Kampbell Member Services Dotti Brown Billing Bill Phillips Line Crew Wyoming Public Service Commission Annual Report Tab: 2.1 Organizational Chart Page 3 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Operating Managers Report the name and title of each operating manager of the utility. Include such positions as general manager, director of operations, chief engineering manager, chief financial manager, office manager and director of customer service. Name Jeff Umphlett Kendal Wambeke Title (and address if different from address on title page) PO BOX 270, Basin, WY 82410 PO BOX 270, Basin, WY 82410 Officers Report the names and titles of the top six officers. Name Thomas P. Delaney Kathy Gilbreath Donald Russell John Joyce William Bridges Title (and address if different from address on title page) President Vice-President Treasurer Secretary Ass't Secretary Directors Report the name and term of each person who held a directorship during any part of the reporting year. Name Thomas P. Delaney Kathy Gilbreath Donald Russell John Joyce William Bridges Term (and address if different from address on title page) 2016 - 2019 ; 550 Hwy 14, Greybull WY 82426 2017 - 2020; PO BOX 417, Meeteetse WY 82433 2017 - 2020; PO BOX 349, Basin, WY 82410 2016 - 2019; PO BOX 25, Manderson WY 82432 2015 - 2018; PO BOX 671, Cowley, WY 82420 Wyoming Employees Report the number of employees by classification. Classification Executive: Office: Field: Other: Total Wyoming employees: Number 2 3 7 1 Employer 13 Wyoming Public Service Commission Annual Report 3. Personnel Page 4 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Plant in Service 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Account Description Organizational Costs Franchises Land and Land Rights Buildings & Improvements Office Furniture & Equipment Transportation Equipment Tools & Other Work Equipment Engines & Generators Other: Subtotal General: Boiler Plant Equipment: Eng & Eng-Driven Equipment: Turbogenerator Units: Other Power Plant Equipment: Subtotal Generation: Transmission Sub-Station Equipment Transmission Lines Subtotal Transmission: Distribution Lines Distribution Substation Equipment Line Transformers Services Metering Subtotal Distribution: Total System 2015 Allocation Factor 2016 Allocation Factor Wyoming 2016 Beginning Balance Additions Retirements 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% $ $ $ $ $ 226,110 1,126,181 342,186 1,940,696 405,157 $ $ $ $ $ 2,000 136,295 33,567 231,763 17,252 100.00% 100.00% $ $ 110,940 4,151,270 $ 420,877 $ $ $ $ $ $ $ $ $ $ $ 8,953 3,495,449 3,504,402 10,556,538 2,575,319 3,369,866 935,095 1,181,483 18,618,301 26,273,973 100.00% 99.40% 100.00% 99.40% 94.40% 100.00% 99.74% 98.99% 99.83% 94.50% 100.00% 99.75% 98.80% 99.89% $ - Adjustments $ $ (1,474) (42,092) $ (43,566) $ $ - Transfers - $ - $ - $ - - $ - - $ $ - $ $ $ 95,539 95,539 618,735 $ $ $ (10,906) (10,906) $ (86,356) $ $ $ $ $ 150,626 43,638 1,184,936 1,997,935 2,514,352 $ $ $ $ $ (48,971) (16,596) (433,131) (585,054) $ (639,526) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 2016 Ending Balance 228,110 1,262,476 374,279 2,130,367 422,409 110,940 4,528,581 8,953 3,580,082 3,589,035 11,088,917 2,575,319 3,471,521 962,137 1,933,288 20,031,182 28,148,799 Wyoming Plant in Service Notes: Wyoming Public Service Commission Annual Report 4. Plant in Service Page 5 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Plant in Service Total Company 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Account Description Organizational Costs Franchises Land and Land Rights Buildings & Improvements Office Furniture & Equipment Transportation Equipment Tools & Other Work Equipment Engines & Generators Other: Subtotal General: Boiler Plant Equipment: Eng & Eng-Driven Equipment: Turbogenerator Units: Other Power Plant Equipment: Subtotal Generation: Transmission Sub-Station Equipment Transmission Lines Subtotal Transmission: Distribution Lines Distribution Substation Equipment Line Transformers Services Metering Subtotal Distribution: Total System 2016 Beginning Balance Additions Retirements $ $ $ $ $ 226,110 1,126,181 342,186 1,940,696 405,157 $ $ $ $ $ 2,000 136,295 33,567 231,763 17,252 $ $ 110,940 4,151,270 $ 420,877 $ $ $ $ $ $ $ $ $ $ $ 8,953 3,519,475 3,528,428 11,182,422 2,575,319 3,378,693 944,641 1,183,563 19,264,638 26,944,336 $ - Adjustments $ $ (1,474) (42,092) $ (43,566) $ $ - Transfers - $ - $ - $ - - $ - - $ $ - $ $ $ 95,539 95,539 646,061 $ $ $ (10,906) (10,906) $ (97,205) $ $ $ $ $ 150,862 46,145 1,184,936 2,028,004 2,544,421 $ $ $ $ $ (49,479) (16,981) (433,131) (596,796) $ (651,268) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 2016 Ending Balance 228,110 1,262,476 374,279 2,130,367 422,409 110,940 4,528,581 8,953 3,604,108 3,613,061 11,731,278 2,575,319 3,480,076 973,805 1,935,368 20,695,846 28,837,489 Total Company Plant in Service Notes: Wyoming Public Service Commission Annual Report 4. Plant in Service Page 6 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Reserve for Depreciation 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Account Description Organizational Costs Franchises Land and Land Rights Buildings & Improvements Office Furniture & Equipment Transportation Equipment Tools & Other Work Equipment Engines & Generators Other Subtotal General: Boiler Plant Equipment Eng & Eng-Driven Equipment Turbogenerator Units Other Power Plant Equipment Subtotal Generation: Transmission Sub-Station Equipment Transmission Lines Subtotal Transmission: Distribution Lines Distribution Substation Equipment Line Transformers Services Metering Subtotal Distribution: Total System 2016 Beginning Balance Annual Depr. Rate 3.000% 6.000% 17.500% 3.240% Book Cost of Plant Retired $ $ $ 481,178 563,402 1,451,233 $ $ $ 30,759 38,504 173,037 $ (34,128) $ 2,495,813 $ 242,300 $ (34,128) $ $ 2.748% Depreciation Expense Wyoming Cost of Removal or Retirement Salvage $ $ $ - $ - Adjustments Transfers - $ - $ - $ - $ - $ - $ - $ - $ - - $ $ $ (211,568) - $ - $ - $ (34,128) $ (211,568) $ (211,568) $ - $ $ - $ $ - 1,663,429 1,663,429 7,567,464 $ $ $ 97,141 97,141 668,596 $ $ 7,567,464 $ 11,726,706 $ $ 668,596 1,008,037 $ $ 2016 Ending Balance $ $ $ 511,937 $ 601,906 $ 1,590,142 $ $ $ $ $ 2,703,985 $ $ $ $ $ $ $ 1,760,570 $ 1,760,570 $ 8,024,492 $ $ $ $ $ 8,024,492 $ 12,489,047 Wyoming Reserve for Depreciation Notes: Wyoming Public Service Commission Annual Report 5. Reserve for Depreciation Page 7 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Reserve for Depreciation 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Account Description Organizational Costs Franchises Land and Land Rights Buildings & Improvements Office Furniture & Equipment Transportation Equipment Tools & Other Work Equipment Engines & Generators Other Subtotal General: Boiler Plant Equipment Eng & Eng-Driven Equipment Turbogenerator Units Other Power Plant Equipment Subtotal Generation: Transmission Sub-Station Equipment Transmission Lines Subtotal Transmission: Distribution Lines Distribution Substation Equipment Line Transformers Services Metering Subtotal Distribution: Total System 2016 Beginning Balance Depreciation Expense Book Cost of Plant Retired Total Company Cost of Removal or Retirement Salvage $ $ $ 481,178 563,402 1,451,232 $ $ $ 30,759 38,504 173,037 $ (34,128) $ 2,495,812 $ 242,301 $ (34,128) $ $ $ $ $ - $ - Adjustments Transfers - $ - $ - $ - $ - $ - $ - $ - $ - - $ $ $ (211,568) - $ - $ - $ (34,128) $ (211,568) $ (211,568) $ - $ $ - $ $ - 1,670,084 1,670,084 8,108,378 $ $ $ 97,801 97,801 694,554 $ $ 8,108,378 $ 12,274,274 $ $ 694,554 1,034,656 $ $ 2016 Ending Balance $ $ $ 511,937 $ 601,906 $ 1,590,141 $ $ $ $ $ 2,703,985 $ $ $ $ $ $ $ 1,767,885 $ 1,767,885 $ 8,591,364 $ $ $ $ $ 8,591,364 $ 13,063,234 Total Company Reserve for Depreciation Notes: Wyoming Public Service Commission Annual Report 5. Reserve for Depreciation Page 8 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Balance Sheet - Assets & Other Debits 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Account Description Total Utility Plant in Service Construction Work in Progress Total Utility Plant Accumulated Provision for Depreciation and Amortization Net Utility Plant Non-Utility Property (Net) Investments in Subsidiary Companies Investments in Assoc Org - Patronage Capital Invest in Assoc Org - Other - General Funds Invest in Assoc Org- Other - Nongeneral Funds Investments in Economic Development Projects Other Investments Special Funds Total Other Property & Investments Cash - General Funds Cash - Construction Funds - Trustee Special Deposits Temporary Investments Notes Receivable (Net) Accounts Receivable - Sales of Energy (Net) Accounts Receivable - Other (Net) Fuel Stock Materials and Supplies Prepayments Other Current and Accrued Assets Total Current and Accrued Assets Unamortized Debt Discount & Extraordinary Property Losses Regulatory Assets Other Deferred Debits Accumulated Deferred Income Taxes Total Assets & Other Debits 2015 2016 Wyoming 2016 Ending Allocation Allocation 2016 Beginning Balance Balance Factor Factor 97.51% 97.61% $ 26,273,973 $ 28,148,799 82.38% 92.82% $ 66,620 $ 626,721 $ 26,340,593 $ 28,775,520 95.54% 95.60% $ (11,726,704) $ (12,489,047) $ 14,613,889 $ 16,286,473 Total Company 2016 Beginning 2016 Ending Balance Balance $ 26,944,337 $ 28,837,489 $ 80,872 $ 675,224 $ 27,025,209 $ 29,512,713 $ (12,274,273) $ (13,063,234) $ 14,750,936 $ 16,449,479 81.23% 82.21% $ 8,143,614 $ 8,424,638 $ 10,025,902 $ 10,248,251 100.00% 100.00% $ 235,184 $ 234,998 $ 235,184 $ 234,998 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% #DIV/0! $ $ $ $ $ 500 100,000 8,479,298 3,845,865 1,000 $ $ $ $ $ 500 100,000 8,760,136 3,388,073 - $ $ $ $ $ 500 100,000 10,361,586 3,845,865 1,000 $ $ $ $ $ 500 100,000 10,583,749 3,388,073 - 54.44% 100.00% 87.37% 100.00% $ $ 727,546 48,599 $ $ 1,247,872 56,312 $ $ 1,336,422 48,599 $ $ 1,428,285 56,312 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% $ $ $ $ 493,066 3,009,788 1,880 8,127,744 $ $ $ $ 401,850 271,043 1,880 5,367,030 $ $ $ $ 493,066 3,009,788 1,880 8,736,620 $ $ $ $ 401,850 271,043 1,880 5,547,443 100.00% 100.00% $ 702,353 $ 727,277 $ 702,353 $ 727,277 $ 31,923,284 $ 31,140,916 $ 34,551,495 $ 33,307,947 Notes: Wyoming Public Service Commission Annual Report 6. Balance Sheet - Assets Page 9 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Balance Sheet - Liabilities, Equity & Credits 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Account Description Memberships Patronage Capital Operating Margins - Prior Years Operating Margins - Current Year Non-Operating Margins Other Margins and Equities Total Margins & Equities Long-Term Debt - RUS (Net) Long-Term Debt - FFB - RUS Guaranteed Long-Term Debt - Other - RUS Guaranteed Long-Term Debt - Other (Net) Long-Term Debt - RUS - Econ Development (Net) Payments - Unapplied Total Long Term Debt Obligations Under Capital Leases - Noncurrent Accumulated Operating Provisions & Asset Retirement Obligations Total Other Non-current Liabilities Notes Payable Accounts Payable Consumers Deposits Current Maturities Long-Term Debt Current Maturities Long-Term Debt - Rural Development Current Maturities - Capital Leases Taxes Accrued Interest Accrued Other Current and Accrued Liabilities Total Current & Accrued Liabilities Regulatory Liabilities Other Deferred Credits Accumulated Deferred Income Taxes Total Liabilities and Other Credits 2015 Allocation Factor 2016 Allocation Factor 88.64% 88.81% $ 14,689,674 $ 14,470,783 $ 16,571,962 $ 16,294,396 -5.50% 100.00% 100.00% 16.74% 100.00% 100.00% $ $ $ $ (38,865) 246,733 172,076 15,069,618 $ $ $ $ 69,039 100,858 193,905 14,834,585 $ $ $ $ 707,058 246,733 172,076 17,697,829 $ $ $ $ 412,458 100,858 193,905 17,001,616 100.00% 100.00% $ 13,156,887 $ 11,998,686 $ 13,156,887 $ 11,998,686 $ 13,156,887 $ 11,998,686 $ 13,156,887 $ 11,998,686 $ $ $ $ $ $ 86,930 86,930 59,809 1,668,715 316,381 170,888 $ $ $ $ $ $ 86,930 86,930 1,815,023 135,198 664,544 $ $ $ $ $ $ 86,930 86,930 59,809 1,668,715 316,381 170,888 $ $ $ $ $ $ 86,930 86,930 1,815,023 135,198 664,544 Wyoming 2016 Beginning 2016 Ending Balance Balance Total Company 2016 Beginning 2016 Ending Balance Balance 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% #DIV/0! 100.00% 100.00% 100.00% 100.00% 100.00% $ $ 127,302 2,343,095 $ $ 152,945 2,767,710 $ $ 127,302 2,343,095 $ $ 152,945 2,767,709 100.00% 100.00% $ 1,266,754 $ 1,453,006 $ 1,266,754 $ 1,453,006 $ 31,923,284 $ 31,140,917 $ 34,551,495 $ 33,307,947 Notes: Wyoming Public Service Commission Annual Report 7. Balance Sheet - Liabilities Page 10 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Long-Term Debt W.S. § 37-6-101 defines long-term debt as any debt with a term greater than 18 months. Organization 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 50 Authorizing Docket CFC CFC CFC CFC CFC CFC Total Issue Date 6/1/96 5/1/06 11/8/06 8/3/07 6/23/15 6/23/15 Maturity Date 12/1/19 8/31/39 8/31/39 8/31/39 Face Amount Authorized $ 118,498 $ 536,000 $ 750,000 $ 302,000 $ 10,288,936 $ 1,634,896 Total Amount Issued $ 118,498 $ 536,000 $ 750,000 $ 302,000 $ 10,288,936 $ 1,634,896 $ $ 13,630,330 Interest Rate 6.650% 7.550% 7.250% 7.300% 3.500% 3.500% 13,630,330 Notes 1: Wyoming Public Service Commission Annual Report 8. Long-Term Debt Page 11 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing Original Filing 1/0/1900 Long-Term Debt W.S. § 37-6-101 defines long-term debt as any debt with a term greater than 18 months. Total Company Debt Issuance Cost Original Unamortized Amount Amount Organization 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 50 CFC CFC CFC CFC CFC CFC Total $ - $ - $ $ $ $ $ $ Interest Accrued 2,635 35,744 47,846 19,530 342,068 54,354 $ 502,177 Interest Paid Principal Paid During Year During Year $ 2,425 $ 1,894 $ 32,897 $ 26,519 $ 44,035 $ 36,951 $ 17,934 $ 14,980 $ 314,821 $ 535,859 $ 50,025 $ 85,147 $ $ $ $ $ $ $ $ 462,137 $ 701,350 Total minimum principle payments required for 2016: $ 701,350 Outstanding Balances Year Year Beginning Ending 44,177 $ 32,405 486,507 $ 453,682 678,363 $ 632,145 274,980 $ 256,276 10,168,322 $ 9,167,480 1,504,538 $ 1,456,698 13,156,887 $ 11,998,686 Notes 2: Wyoming Public Service Commission Annual Report 8. Long-Term Debt Page 12 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Statement of Operations 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Operating Revenue & Patronage Capital Power Production Expense Cost of Purchased Power Transmission Expense Distribution Expense-Operation Distribution Expense-Maintenance Consumer Accounts Expense Customer Service & Informational Expense Sales Expense Administrative and General Expense Total Operation and Maintenance Expense Depreciation & Amortization Expense Tax Expense - Property & Gross Receipts Tax Expense - Other Interest on Long-term Debt Interest Charged to Construction - Credit Interest Expense - Other Other Deductions Total Cost of Electric Service Patronage Capital & Operating Margins Non-operating Margins - Interest Allowance for Funds Used During Construction Income (Loss) from Equity Investments Non-operating Margins - Other Generation & Transmission Capital Credits Other Capital Credits & Patronage Dividends Extraordinary Items Patronage Capital or Margins $ Wyoming 12,405,981 $ Total Company 14,605,342 $ $ $ $ $ $ $ $ $ $ 8,422,109 146,783 949,567 638,196 244,428 83,482 58,458 783,093 11,326,116 834,330 $ $ $ $ $ $ $ $ $ $ 10,213,361 146,783 975,917 655,905 251,211 85,799 60,080 804,823 13,193,878 857,482 $ 450,218 $ 462,177 $ (16,078) $ $ $ $ 12,594,586 $ (188,605) $ 32,000 $ $ $ $ 6,686 258,716 61,097 $ $ $ 6,872 304,662 61,097 $ 169,894 $ 513,315 Patronage Capital Cash Received $ 143,229 $ 143,229 (15,990) 14,497,546 107,796 32,888 Notes: Wyoming Public Service Commission Annual Report 9. Statement of Operations Page 13 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Customer Counts, Operating Revenues, Demand and Energy Delivered Wyoming Title of Account 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Sales of Electricity Residential Sales (440) 440.1 Residential Sales - Excluding Seasonal 440.2 Residential Sales - Seasonal 441 Irrigation Sales Commercial Sales (442.x) 442.1x Commercial Sales - 1000 kVA or Less 442.2x Commercial Sales - Greater than 1000 kVA Industrial Sales (442.y) 442.1y - Industrial Sales - 1000 kVA or Less 442.2y - Industrial Sales - Greater than 1000 kVA Public Street and Highway Lighting (444) Other Sales to Public Authorities (445) Sales to Railroads and Railways (446) Interdepartmental Sales (448) TOTAL Electric Sales Sales for Resale (447) 447.1 Sales for Resale - RUS Borrowers 447.2 Sales for Resale - Other TOTAL Sales of Electricity Provision for Rate Refunds (449.1) TOTAL Revenues Net of Provision for Refunds Other Operating Revenues Forfeited Discounts (450) Miscellaneous Service Revenues (451) Sales of Water and Water Power (453) Rent from Electric Property (454) Interdepartmental Rents (455) Other Electric Revenues (456) Revenues from Transmission of Electricity of Others (456.1) Regional Transmission Service Revenues (457.1) Miscellaneous Revenues (457.2) TOTAL Other Operating Revenues TOTAL Electric Operating Revenues 35 36 37 38 39 Energy Sales and Use Summary Total Sales to Customers Energy Furnished without Charge Company Use (Excluding Station Use) Energy Losses Total Average Customer Count Revenue 2,983 2,983 $ $ 4,013,633 4,013,633 276 456 452 4 0 $ $ $ $ $ 1,030,993 7,283,425 2,466,612 4,816,813 - 11 $ 16,046 Demand and Energy Delivered Total Company KW kWh Revenue 0.0 0.0 0.0 28,182,730 28,182,730 $ $ 4,060,485 4,060,485 7,947,044 72,827,354 22,899,954 49,927,400 0 $ $ $ $ $ 1,030,993 9,435,934 2,769,158 6,666,776 - 97,178 $ 16,046 3,726 0 $ 12,344,096 $ - 0.0 0.0 109,054,306 0 $ 14,543,458 $ - 3,726 $ 12,344,096 0.0 109,054,306 $ 14,543,458 3,726 $ 12,344,096 0.0 109,054,306 $ 14,543,458 $ 3,726 311,885 $ 311,885 $ 12,655,981 $ 0.0 109,054,306 311,885 $ 311,885 $ 14,855,343 kWh 109,054,306 6,479,544 115,533,850 Notes: Wyoming Public Service Commission Annual Report 10. Revenue Summary Page 14 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Rate Base and Return on Rate Base Description 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 Wyoming Rate Base Additions Plant in Service Plant Held for Future Use Prepayments Materials and Supplies Cash Working Capital Deferred Debits $ $ $ $ $ $ 28,148,799 271,043 401,850 363,000 727,277 Subtotal $ 29,911,969 $ 12,489,047 $ $ 135,198 1,453,006 Subtotal Total Rate Base $ $ 14,077,251 15,834,718 Net Utility Operating Income Actual Rate of Return on Rate Base Actual Rate of Return on Equity Actual Operating Ratio (if applicable) Actual Capital Structure - Percent Debt Actual Capital Structure - Percent Equity Authorized Rate of Return on Rate Base Authorized Rate of Return on Equity Authorized Operating Ratio (if applicable) Effective Date of Rates of Return or Operating Ratio Docket No. of Authorization Capital Structure in Docket No. Above - Percent Debt Capital Structure in Docket No. Above - Percent Equity Cost of Debt in Capital Structure in Docket No. Above Operating Ratios Operating Times Interest Earned Ratio (OTIER) Rural Utilities Service OTIER (RUS OTIER) Net Times Interest Earned Ratio (NTIER) Operating Debt Service Coverage Ratio (ODSC) Net Debt Service Coverage Ratio (NDSC) Modified Debt Service Coverage Ratio (MDSC) $ 495,536 3.940% Rate Base Deductions Accumulated Provision for Depreciation Accumulated Provision for Amortization Accumulated Deferred Income Tax Consumer Advances for Construction Consumer Deposits Consumer Energy Prepayments Deferred Credits Wyoming Public Service Commission Annual Report 80.880% 38.530% 1.700 1.380 1.420 1.290 1.440 11. Rate Base & Return on RB Page 15 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Electric Utility Load and Resources Report (Wyoming System Only) Peak Wyoming System Demands and Annual Energy Reported data are: 1 2 3 4 5 6 7 Year 2013 2014 2015 2016 2017 2018 2019 Actual Data Summer (April - September) Month KW 17,229.0 August July 16,078.0 July 16,483.0 July 25,576.0 July 19,000.0 July 19,000.0 July 19,000.0 2016 Peak Day 8 9 10 Date Time KW Reading (If actual data are not available, provide the basis for the estimates in the notes section.) Winter (October - March) Month KW December 18,789.0 December 18,357.0 January 18,676.0 January 22,630.0 January 20,000.0 January 20,000.0 January 20,000.0 Notes: Annual Energy kWh Notes: 7/21/2016 7:00 PM 25,576.0 Sources of Electricity 11 12 13 14 Year 2013 2014 2015 2016 15 16 17 18 Year 2013 2014 2015 2016 Steam Generation KW kWh Hydro Generation KW kWh Purchased Power KW kWh 122,892,642 121,637,662 120,313,355 0.0 115,533,850 Owned Generation Internal Combusion Engine Wind Generation KW kWh KW kWh Other Generation KW kWh Total Owned Generation KW kWh 0.0 0 0.0 0 0.0 0 0.0 0 Notes: Power Purchase Contracts Power Purchase Contracts Notes, page 1 Supplier 19 Tri State G&T 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 Wyoming Public Service Commission Annual Report 2016 KW Purchases 2016 kWh Purchases 115,533,850 Contract Expiration Date 12/31/2050 12. Load & Resources Page 16 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Electric Utility Load and Resources Report (Wyoming System Only) 159 Totals Wyoming Public Service Commission Annual Report 0.0 115,533,850 12. Load & Resources Page 17 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Electric Transmission and Distribution Plant (Wyoming Only) Note: Use Wyoming-specific data only. For substations with multiple transformer banks, please use a separate line for each bank and note if the number of circuits listed is for the transformer bank or for the substation. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Transmission and subtransmission lines: Nominal Voltage Miles of Line 34.5 109.00 Phase 17 Single Phase: 18 Three Phase: 19 Instrument Rated Phase: Primary underground distribution lines: Nominal Voltage Miles of Line 2.4 2.67 12.5 37.38 14.4 47.17 34.5 1.78 Total Meters in Service 3,355 300 71 Meters in Service in Wyoming Advanced Meters in Service 3,355 300 71 Primary overhead distribution lines: Nominal Voltage Miles of Line 7.2 364.00 12.5 332.00 14.4 172.00 24.9 204.00 Types of Advanced Meters in Service TWACS TWACS TWACS Notes: Wyoming Public Service Commission Annual Report 13. T & D Plant Page 18 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Electric Transmission and Distribution Plant (Wyoming Only) Note: Use Wyoming-specific data only. For substations with multiple transformer banks, please use a separate line for each bank and note if the number of circuits listed is for the transformer bank or for the substation. Name of Distribution Substation 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 BONANZA 1 BONANZA 2 Distribution Substations in Wyoming Section Township Primary Voltage Range Secondary Voltage (i.e. 26-20-84) Number of Circuits 3PH 34.5/24.9 18-49-90 3 Transformers by Voltage 14.4/24.9 Nameplate Capacity of Transformers by Voltage 5.0 Peak Loading of Transformers for Reporting Year 0.77 34.5/24.9 26-49-91 3 14.4/24.9 3.0 0.29 EMBLEM 3PH 34.5/12.5 15-52-96 2 3P 34.5/12.5 5.0 0.97 FRANNIE 1 3PH 34.5/12.5 6-57-97 2 34.5/12.4 5.0 2.05 FRANNIE 2 3PH 34.5/4.16 24-58-98 2 39.2/4.16 2.0 0.68 GREYBULL 34.5/12.5 18-52-93 3 7.2/12.5 3.0 0.71 JOHN ALLEN 3PH 34.5/12.5 35-53-91 3 3PH 7.2/12.5 5.0 1.84 LOVELL ( WAPA OWNED) 3PH 115/12.5 31-56-95 1 3PH 115/12.5 2.0 1.37 MEETEETSE (WAPA OWNED) 3PH 115/12.5 9-48-100 1 3PH 115/12.5 5.0 1.28 TEN SLEEP 3PH 34.5/12.5 20-47-88 4 3PH 14.4/24.9 4.0 1.76 TORCHLITE 1 34.5/12.5 23-51-93 1 7.2/12.5 0.0 0.00 TORCHLITE 2 3PH 34.5/12.5 23-51-93 2 3PH 7.2/12.5 4.0 0.68 BASIN (WAPA OWNED) 3PH 115/12.5 30-50-93 3 115/34.5 13.0 13.79 Wyoming Public Service Commission Annual Report 13. T & D Plant Page 19 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Electric Transmission and Distribution Plant (Wyoming Only) Note: Use Wyoming-specific data only. For substations with multiple transformer banks, please use a separate line for each bank and note if the number of circuits listed is for the transformer bank or for the substation. Name of Transmission Substation or Switch Station 146 NAHNE JENSEN 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 Wyoming Public Service Commission Annual Report Transmission Substations and Switch Stations in Wyoming Section Township Primary Voltage Range Secondary Voltage (i.e. 26-20-84) Number of Circuits 3PH 115/34.5 26-52-94 3 Transformers by Voltage 3PH 19.9/34.5 Nameplate Capacity of Transformers by Voltage 23.0 Peak Loading of Transformers for Reporting Year 9.34 13. T & D Plant Page 20 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Emergency Curtailment, Contingency and Integrated Resource Plans Does Big Horn Rural Electric have an emergency curtailment plan for use in Wyoming? No Plan title, plan filing date and comments Does Big Horn Rural Electric have a contingency plan for use in Wyoming? No Plan title, plan filing date and comments Does Big Horn Rural Electric have an integrated resource plan for use in Wyoming? No Plan title, plan filing date and comments Wyoming Public Service Commission Annual Report 14. Emergency Plans & IRPs Page 21 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: Original Filing 1/0/1900 Major Facilities Construction Forecast Description & Details 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Total In-Service Date 2017 Total $ - 2018 Total $ - 2019 Total $ - 2020 Total $ - 2021 Total $ - Five-Year Total $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ - Notes: Wyoming Public Service Commission Annual Report 15. Construction Forecast Page 22 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Smart Grid Technologies Report The Commission's Order in Docket No. 90000-106-XO-08 (Record No. 11992) requires each electric utility to file an annual report regarding developments in smart grid technologies, including which technologies are being promoted by regional planning organizations, whether any smart grid technologies would be beneficial to any particular Wyoming customer, and whether utilities have considered or adopted any available smart grid technologies in Wyoming or in other jurisdictions. File attachments to this report in Docket No. 90000-106-XO-08. Provide the name of Big Horn Rural Electric's regional planning organization: Tri-State Generation & Transmission Describe the smart grid technologies Big Horn Rural Electric's regional planning organization is promoting: Big Horn has moved over to the TWACS system. We are able to download data from the office and see what the member is using on a daily basis. The member can call our office anytime and we will be able to tell them if there usage has gone up or down and on what days a spike may have occurred. Describe the smart grid technologies that would be beneficial to Big Horn Rural Electric's customers: Monitoring what appliances are using more electric then what they originally thought would. Discuss which class of Big Horn Rural Electric's Wyoming customers benefits from each smart grid technology listed above: All rate classes have TWACS meters. Discuss the smart grid technologies Big Horn Rural Electric has evaluated or considered adopting in Wyoming or in other jurisdictions: n/a Provide the status of the smart grid technologies Big Horn Rural Electric has adopted or implemented: n/a Wyoming Public Service Commission Annual Report 16. Smart Grid Technologies Page 23 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Important Changes During the Reporting Year For the reporting year, please include a short narrative description on this page of the annual report for the following: 1. Purchase, sale, discontinuance or abandonment of service of major utility facility operating units, property or equipment, specifying a description of the property and the transaction and the docket number for which authorization was granted. 2. All important financial changes of respondent such as bond issues or retirements, showing amounts, identity of bonds and purpose of or reason for the change. 3. Additional matters of fact (not elsewhere provided for) which the respondent may desire to include in this report. Changes, page 1 Wyoming Public Service Commission Annual Report 17. Changes During the Year Page 24 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Reconciliation of Gross Wyoming Intrastate Retail Revenue 1 2 3 4 Description Total Wyoming Operating Revenues (400) Gross Wyoming Intrastate Retail Revenues Difference between Operating & Intrastate Revenue Adjustments to Operating Revenue Accounts that Derive 5 Gross Wyoming Intrastate Retail Revenues 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 105 Total Adjustments Amount $12,655,981.00 $12,405,981.00 $250,000.00 Amount Adjustment Explanation $250,000.00 Big Horn elected to do a revenue deferral for 2016. At any year that the board finds necessary to use the deferred revenue they will bring it back in. $250,000.00 Notes: Wyoming Public Service Commission Annual Report Tab: 18. Intrastate Revenues Page 25 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Interest Rate State the interest rate the utility used for deposits in 2016. If the interest rate used by the utility is different from the Commission Authorized Interest Rate for 2016, please explain why and indicate how the utility will correct or has corrected the oversight. 1.75% Supplemental Notes to this Annual Report Supplemental Notes, page 1 Wyoming Public Service Commission Annual Report 19. Int. Rate & Sup. Notes Page 26 of 27 Big Horn Rural Electric Docket No. 10019 Reporting Year: 2016 Original Filing 1/0/1900 Oath and Verification Once report is complete, this page must be printed, signed, notarized, and mailed to the Wyoming Public Service Commission. Wyoming Big Horn State of: County of: Affiant name: Official title: Legal name of reporting entity: Jeff Umphlett General Manager Big Horn Rural Electric The Affiant, of lawful age, first being sworn according to law, upon oath hereby deposes and says: 1. Affiant has, by all necessary action, been duly authorized to make this Verification; 2. Affiant has examined the foregoing Annual Report and all attachments thereto; 3. Except as may be set forth in Paragraph 4 of this Oath and Verification, Affiant hereby verifies, upon Affiant's knowledge, that all statements contained in the foregoing Annual Report and all attachments thereto are correct and complete and constitute a correct statement of the business affairs of the above-named reporting entity with respect to each and every matter set forth therein for the period from and including January 1, 2016, to and including December 31, 2016; 4. Here state the source of Affiant's information and grounds of Affiant's beliefs as to any matters not stated to be verified upon Affiant's knowledge: Affiant Signature: Name and Title (please type): Notary (seal) (seal) State of: County of: Subscribed and sworn to before me on this day of Witness my hand and official seal: My Commission Expires: Wyoming Public Service Commission Annual Report 20. Oath & Verification Page 27 of 27