Section 103.02. General.

 

(1)  Expenses directly applicable to the operations of a specific utility shall be charged to the accounts of that utility. The charges for wages and expenses of employes shall, to the extent practicable, be assigned directly based upon the actual time engaged on a particular utility department, or on the basis of a study of the time actually spent during a representative period.

(2)  Expenses applicable to joint utility operations shall be charged initially to separate joint utility expense accounts unless the utility elects to apportion such expense accounts among utility departments as incurred. The apportionment or allocation of joint utility expenses thus accumulated shall be made in accordance with the general provisions set forth herein.

(3)  Each utility shall include in its first annual report to the commission, following adoption of the joint expense allocation procedure set forth herein, a statement giving a full explanation of its procedure, including the weighting factors used in computing the weighted number of meters or customers used in making allocations. This statement may be referred to in annual reports of following years with any significant changes in allocation procedures being noted.