Financial and Regulatory Accounting and Ratemaking Analysis Consulting Services

The Vendor is required to provide expert financial and regulatory accounting and ratemaking analysis consulting services related to utility rate proceedings and related matters.
- Consultant will support the Commission and its staff's review of electric and gas utility filings by conducting rigorous financial analyses grounded in regulatory and accounting principles.
- These proceedings require detailed analysis of financial data, accounting practices, and regulatory principles.
- The primary objectives of this engagement are to:
•    Provide expert analysis and guidance in rate cases, including revenue requirement, rate base, cost of capital, and cost allocation;
•    Evaluate and interpret complex financial, accounting, and tax data filed by regulated utilities;
•    Assess capital project planning, earnings reports, and depreciation practices;
•    Conduct and validate net present value (NPV) and discounted cash flow (DCF) analyses of proposed utility investments;
•    Assist with discovery, testimony review and cross-examination preparation;
•    Offer strategic insights to support Commission decision-making and ensure just and reasonable rates for utility customers;
•    Review deferred taxes, normalization, and cost recovery implications.
- Services include:
o    Rate Case Support
•    Evaluate and advise on all components of the utility’s revenue requirement;
•    Analyze and make recommendations on rate base and depreciation schedules;
•    Review cost allocation and rate design proposals;
•    Analyze earnings reports, capital structure, and rate of return;
•    Perform financial analyses, including DCF and agency modeling.
o    Tax and Accounting Review
•    Interpret and assess utility tax strategies and obligations, including changes to federal and state tax law;
•    Review deferred taxes, normalization, and cost recovery implications;
•    Analyze accounting practices for compliance with regulatory accounting standards (FERC/GAAP).
o    Investment and Financial Modeling
•    Develop or review NPV and DCF models of utility proposals, including major capital investments;
•    Analyze projected cash flows and discount rates to assess project feasibility and customer impact;
•    Evaluate risk assumptions and scenario sensitivity.
o    Support for Contested Proceedings
•    Prepare discovery requests, assist with interrogatory responses, and support cross-examination strategy;
•    Assist with settlement evaluation;
•    Provide technical writing for memos, reports, and Commission orders.
o    Communication and Collaboration
•    Work collaboratively with commission legal and technical staff throughout the docket process;
•    Maintain clear documentation of analysis, assumptions, and recommendations.