The uniform systems of accounts for public utilities and
licensees subject to the provisions of the Federal Power Act, 18 CFR Part 101
published in the Federal Energy Regulatory Commission's rules and regulations,
in effect on April 1, 2000, and the January 1, 2002, uniform systems of
accounts for rural electric cooperatives prescribed for electric borrowers of
the Rural Utilities Service, as applicable, are adopted with the following
modifications:
(7) The definitions for the uniform systems
of accounts for electric utilities, when used in account 424, Promotional
Practices, are modified to include the following definitions:
a. The word"affiliate" shall
mean any person doing business in this state who directly or indirectly
controls or is controlled by or is under common control with a public
utility.
b. The
word"appliance" or "equipment" shall mean any
device, including a fixture, which consumes electric energy and any ancillary
device required for its operation.
c. The word"consideration"
shall mean any cash, donation, gift, allowance, rebate, bonds, merchandise (new
or used), property (tangible or intangible), labor, service conveyance,
commitment, right, or other thing of value.
d. The word"financing" shall
include acquisition of equity or debt interests, loans, guarantee of loans,
advances, sale and repurchase agreements, sale and lease-back agreements, sales
on open account, conditional or installment sales contracts, or other
investment or extensions of credit.
e. The word"person" shall
include an individual, group, firm, partnership, corporation, cooperative,
association, or other organization, but not including state or local political
subdivisions or municipal corporations.
f. The words"public utility"
or "utility" shall include persons defined to be public
utilities in Iowa Code section 476.1.
g. The words
"promotional
practices" shall mean any consideration offered or granted by a public
utility or its affiliate to any person for the purpose, express or implied, of
inducing such person to select or use the service or additional service of such
utility, or to select or install any appliance or equipment designed to use
such utility service; provided that the words "promotional practices" shall not
include the following activities:
(1)
Providing repairs and service to appliances or equipment of customers of a
public utility in an emergency or to restore service or to prevent hazardous
conditions or service interruptions.
(2) Inspection and adjustment of appliances
or equipment by a public utility.
(3) Repairs and other maintenance to
appliances or equipment by a public utility that could be performed by an
independent appliance dealer or service shop if charges are at a cost or
above.
(4) Providing service,
wiring, piping, appliances, or equipment in accordance with tariffs, rules, or
regulations of a public utility on file with and approved by the
commission.
(5) Providing
appliances, equipment, or instructional services to an educational institution
for the purpose of instructing students in the use or repair of such appliances
or equipment.
(6) Providing
discounts or financing to employees of a public utility to encourage their use
of the utility's service.
(7)
Merchandising and related inventorying of appliances or equipment for sale at
retail and making and fulfilling reasonable warranties against defects in
material and workmanship in appliances or equipment existing at the time of
delivery; the elimination of hazardous conditions which due to a grandfather
provision would not be corrected by the customer and yet would require
correction to protect the public and minimize company liability.
(8) The replacement of or alterations to a
customer's obsolete or inefficient system.
(9) Technical, informational, or educational
assistance offered to persons on the use of energy furnished by a public
utility or on the use of maintenance of appliances or equipment.
(10) Lunches, gifts, door prizes, etc.,
presented for attendance at informational meetings, conferences, etc., valued
at $10 or less shall not be considered to be a promotional practice.
(11) Providing appliances or equipment
incidental to exhibitions, demonstrations, tests, or experiments of reasonable
duration.
(12) Any promotional
practice, or program which includes a promotional practice, designed to develop
or implement programs that promote energy efficiency and are part of the
utility's energy efficiency plan developed pursuant to 199-Chapter
35.
(8) The
uniform systems of accounts for electric utilities are modified to include the
following:
a. 424 Promotional Practices. This
account shall include the cost of labor, materials used, and expenses or losses
incurred by the utility or an affiliate (where such costs are charged back to
the company) on promotional practices. Promotional practices, or programs which
include promotional practices, and the labor, materials, and expenses related
to promotional practices which are exempted by subrule 16.7(2) need not be
included in this account. The account shall include, but not be limited to, the
following items:
(1) The financing of land or
the construction of any building when the same is not owned or otherwise
possessed by the utility or its affiliate, without commission written
approval.
(2) The furnishing of
consideration to any person for work done or to be done on property not owned
or otherwise possessed by the utility or its affiliate, except for the
following: Studies to determine comparative capital or operating costs and
expenses, or to show the desirability and feasibility of selecting one form of
energy over another, contributions for research and development of new energy
sources, etc.
(3) The acquisition
from any person of any tangible or intangible property or service for a
consideration in excess of the value thereof or the furnishing to any person of
any tangible property or service for a consideration of less than the value
thereof. "Value" in this instance is defined as the fair market price of the
property or service under competitive market conditions and under arm's length
conditions.
(4) The furnishing of
consideration to any person for the sale, installation, or use of appliances or
equipment of one form of energy over another. Employees who are paid a
commission in lieu of salary for the initial sale of appliances are
exempted.
(5) The provision of
free, or at less than cost or value, wiring, piping, appliances, or equipment
to any person; provided that a utility, engaged in an appliance merchandising
sales program, shall not be precluded from conducting legitimate closeouts of
appliances, clearance sales, or sales of damaged or returned appliances. All
items required by service rules of this commission are exempted.
(6) The provision of free, or at less than
cost or value, installation, operation, repair, modification, or maintenance of
appliances, equipment, wiring or piping to any person. This would not include
services provided for the convenience and safety of customers such as gas leak
testing, lighting of furnaces, etc.
(7) The granting of a trade-in allowance on
the purchase of any appliance or equipment in excess of the reasonable value of
the trade-in based on the past experience of a company or the granting of a
trade-in allowance for such appliance or equipment when such allowance varies
by the type of energy consumed in the trade-in.
(8) The financing of the acquisition of any
appliance or equipment at a rate of interest or on terms significantly more
favorable than those generally applicable to sales by nonutility dealers in
such appliances or equipment.
(9)
The furnishing of consideration to any person for any advertising or publicity
purpose, except where appropriately classified to another account.
(10) The guaranteeing of the maximum cost of
electric utility service, except under published tariffs.
(11) Labor items related to promotional
practices:
1. Salary of employees engaged
directly or indirectly in promotional practices defined.
2. Clerical and stenographic work performed
in relation to promotional practices.
3. Fees paid to consultants, agents,
attorneys, etc., on related promotional practices.
(12) Materials and expenses related to
promotional practices:
1. Amounts spent on
postage, office supplies, displays, posters, exhibits, etc.
2. Films, movies, photographs prepared for
promotional activities.
3. Expenses
paid such as lodging, food, entertainment expenses.
4. Transportation by company auto or plane
and public transportation of any mode.
b. 426 Miscellaneous Income Deductions.
Immediately following the current text and item list, add the following:
(1) Promotional advertising
expenses.
(2) Institutional or
goodwill advertising expenses.
(3)
Rate justification advertising expenses.
c. 426.4 Political Advertising Expenses.
(1) This account shall include the cost of
labor, materials used, and expenses incurred in advertising whether on a
national, regional, or local basis, which are designed to influence public
opinion with respect to the election or appointment of public officials or the
adoption, repeal, revocation, or modification of referenda, legislation, or
ordinances. The account shall also include expenditures for influencing the
decisions of public officials, not including expenditures as are directly
related to appearances before regulatory or other governmental bodies in
connection with the utility's existing or proposed operations.
(2) Entries relating to political advertising
included in this account shall contain or refer to supporting documents which
identify the specific advertising message. If references are used, copies or
scripts of the advertising message shall be readily available to staff,
consumer advocate, or any party involved in a discovery proceeding.
(3) Where political advertising is undertaken
by an association on behalf of its members or by a holding company on behalf of
its subsidiaries, the amount of expenses for such advertising charged to any
member or subsidiary which is an Iowa electric utility and included in this
account shall be determined in accordance with the text of this account as set
forth in paragraph 16.2(8)"c."
(4) Labor items related to political
advertising:
1. Preparing material for
newspapers, periodicals, billboards, etc., and preparing and conducting
promotional motion pictures, radio, and television programs.
2. Preparing booklets, bulletins, etc., used
in direct mail.
3. Preparing window
and other displays.
4. Clerical and
stenographic work.
5. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Material and expenses related to
political advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Advertising matters such as posters,
bulletins, booklets, and related items.
3. Fees and expenses of advertising agencies
and commercial artists.
4.
Novelties for general distribution.
5. Postage on direct-mail
advertising.
6. Printing of
booklets, dodgers, bulletins, etc.
7. Supplies and expenses in preparing
advertising materials.
8. Office
supplies and expenses.
Note: Franchise advertising and related expenses shall be
charged to account 913.5. See paragraph 16.2(8)"k" or FERC
account 302.
d. 426.7 Promotional Advertising Expenses.
(1) This account shall include the cost of
labor, materials used, and expenses incurred in advertising designed to promote
or retain the use of utility service, except advertising the sale of
merchandise, load factor advertising, or advertising which is part of a
promotional practice, or a program which includes a promotional practice,
designed to develop or implement programs that promote energy efficiency and
are part of the utility's energy efficiency plan developed pursuant to
199-Chapter 35.
(2) Entries
relating to promotional advertising included in this account shall contain or
refer to supporting documents which identify the specific advertising message.
If references are used, copies or scripts of the advertising message shall be
readily available to staff, consumer advocate, or any party involved in a
discovery proceeding.
(3) Where
promotional advertising is undertaken by an association on behalf of its
members or by a holding company on behalf of its subsidiaries, the amount of
expenses for such advertising charged to any member or subsidiary which is an
Iowa electric utility and included in this account shall be determined in
accordance with the text of this account as set forth in paragraph
16.2(8)"d."
(4)
Labor items related to promotional advertising:
1. Direct supervision of advertising
activities.
2. Preparing material
for newspapers, periodicals, billboards, etc., and preparing and conducting
motion pictures, radio, and television programs.
3. Preparing booklets, bulletins, etc., used
in direct mail.
4. Preparing window
and other displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and Expenses related to
promotional advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Advertising matters such as posters,
bulletins, booklets, and related items.
3. Fees and expenses of advertising agencies
and commercial artists.
4.
Novelties for general distribution.
5. Postage on direct-mail
advertising.
6. Premiums
distributed generally, such as recipe books, etc., when not offered as
inducement to purchase appliances.
7. Printing of booklets, dodgers, bulletins,
etc.
8. Supplies and expenses in
preparing advertising materials.
9.
Office supplies and expenses.
Note A: The cost of advertisements which sets forth the value
or advantages of utility service (without reference to specific appliances or
if reference is made to appliances from dealers or refers to appliances not
carried for sale by the utility), shall be considered sales promotion
advertising and charged to this account. However, advertisements which are
limited to specific makes of appliances sold by the utility and prices, terms,
etc., thereof, without referring to the value or advantages of utility service,
shall be considered as merchandise advertising, and the cost shall be charged
to FERC account 416, Costs and Expenses of Merchandising, Jobbing, and Contract
Work.
Note B: Advertisements which substantially mention or refer
to the value or advantages of utility service, together with specific reference
to makes or appliances sold by the utility and the price, terms, etc., thereof,
and designed for the joint purpose of increasing the use of utility service and
the sales of appliances, shall be considered as a combination advertisement,
and the costs shall be distributed between this account and FERC account 416,
Costs and Expenses of Merchandising, Jobbing, and Contract Work, on the basis
of space, time, or other proportional factors.
e. 426.8 Institutional or Goodwill
Advertising Expenses.
(1) This account shall
include the cost of labor, materials used, and expenses incurred in advertising
which is designed to create, enhance, or sustain the utility's image or
goodwill to the general public or its customers.
(2) Entries relating to institutional or
goodwill advertising included in this account shall contain or refer to
supporting documents which identify the specific advertising message. If
references are used, copies or scripts of the advertising message shall be
readily available to staff, consumer advocate, or any party involved in a
discovery proceeding.
(3) Where
institutional or goodwill advertising is undertaken by an association on behalf
of its members or by a holding company on behalf of its subsidiaries, the
amount of expense for such advertising charged to any member or subsidiary
which is an Iowa electric utility and included in this account shall be
determined in accordance with the text of this account as set forth in
paragraph 16.2(8)"e."
(4) Labor items related to institutional or
goodwill advertising:
1. Supervision of
advertising activities.
2.
Preparing material for newspapers, periodicals, billboards, etc., and preparing
or conducting motion pictures, radio, and television programs.
3. Preparing booklets, bulletins, etc., used
in direct mail.
4. Preparing window
and other displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and expenses related to
institutional or goodwill advertising:
1.
Advertising in newspapers, periodicals, billboards, radio, etc.
2. Advertising matters such as posters,
bulletins, booklets, and related items.
3. Fees and expenses of advertising agencies
and commercial artists.
4. Postage
on direct-mail advertising.
5.
Printing of booklets, dodgers, bulletins, etc.
6. Supplies and expenses in preparing
advertising materials.
7. Office
supplies and expenses.
8. Novelties
for general distribution.
Below are examples of the advertising to be included in this
account:
* Pronouncements primarily lauding the utility or the area or
community it serves.
* Advertising activities to inform the ratepayers of the
social and economic advantages or status of the area or community it
serves.
* Advertising activities to inform the public of the
utility's participation in programs to improve the economic condition of the
area or community it serves.
* Advertising activities to inform the public of the
utility's role of good citizenship.
* Information and routine data supplied by the utility to
local governments, planning agencies, civic groups, businesses, and the general
public which is not inclusive in account 909.3, Informational Consumer
Advertising Expenses. See paragraph 16.2(8)"i."
* Advertising activities to inform the public of the
utility's consciousness of, or involvement in, health, safety, conservation, or
environmental programs, except as included in accounts 909.1, 909.2, and
909.3.
f. 426.9 Rate Justification Advertising
Expenses.
(1) This account shall include the
cost of labor, materials used, and expenses incurred in advertising, whether on
a regional or local basis which is designed to promote public acceptance of
utility rate increases or the utility's filed rates. The account shall also
include all costs incurred by the utility for advertising in opposition to the
decision of the regulatory agency. However, the expenses associated with simply
informing customers that new rates have been requested shall be recorded in
FERC account 928, Regulatory Commission Expenses.
(2) Entries relating to rate justification
advertising included in this account shall contain or refer to supporting
documents which identify the specific advertising message. If references are
used, copies or scripts of the advertising message shall be readily available
to staff, consumer advocate or any party involved in a discovery
proceeding.
(3) Where advertising
is undertaken by an association on behalf of its members or by a holding
company on behalf of its subsidiaries, the amount of expense for such
advertising charged to any member or subsidiary which is an Iowa electric
utility and included in this account shall be determined in accordance with the
text of this account as set forth in paragraph 16.2(8)"f."
(4) Labor items related to rate
justification advertising:
1. Preparing
material for newspapers, periodicals, billboards, etc., and preparing and
conducting motion pictures, radio, and television programs.
2. Preparing booklets, bulletins, etc., used
in direct mail.
3. Preparing window
and other displays.
4. Clerical and
stenographic work.
5. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and expenses related to rate
justification advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Advertising matters such as posters,
bulletins, booklets, and related items.
3. Fees and expenses of advertising agencies
and commercial artists.
4. Postage
on direct-mail advertising.
5.
Printing of booklets, dodgers, bulletins, etc.
6. Supplies and expenses in preparing
advertising materials.
7. Office
supplies and expenses.
g. 909.1 Conservation Advertising Expenses.
(1) This account shall include the cost of
labor, materials used, and expenses incurred in advertising activities which
primarily inform the customer of the reasons for and methods whereby energy may
be conserved and energy consumption reduced by the consumer. Include in this
account advertising activity relating to the electric utility which is related
directly to the company's provision of service to the customer during energy,
fuel, and related shortages.
(2)
Entries relating to conservation advertising included in this account shall
contain or refer to supporting documents which identify the specific
advertising message. If references are used, copies or scripts of the
advertising message shall be readily available to staff, consumer advocate, or
any party involved in a discovery proceeding.
(3) Where conservation advertising is
undertaken by an association on behalf of its members or by a holding company
on behalf of its subsidiaries, the amount of expense for such advertising
charged to any member or subsidiary which is an Iowa electric utility and
included in this account shall be determined in accordance with the text of
this account as set forth in paragraph 16.2(8)"g."
(4) Labor items related to conservation
advertising:
1. Direct supervision of
advertising activities.
2.
Preparation of materials for newspapers, periodicals, billboards, etc., and
preparing and conducting motion pictures, radio, and television
programs.
3. Preparation of
booklets, bulletins, etc., used in direct mail.
4. Preparation of window and other
displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and expenses related to
conservation advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Fees and expenses of advertising agencies
and commercial artists.
3. Postage
on direct-mail advertising.
4.
Printing of booklets, dodgers, bulletins, etc.
5. Supplies and expenses in preparing
advertising materials.
6. Office
supplies and expenses.
7. Novelties
for general distribution.
Below are examples of the advertising to be included in this
account:
* Instructions in the proper use of equipment owned by the
utility or the customer which will result in less consumption of energy.
* Advertising designed to convince consumers to turn down
thermostats, turn off lights when not in use, and turn off appliances,
television sets, etc., when not in use.
h. 909.2 Environmental Advertising Expenses.
(1) This account shall include the cost of
labor, materials used, and expenses incurred in advertising activities which
primarily are designed to inform the public concerning the methods by which
customers can participate with the utility in preserving and improving the
environment. However, advertising which is primarily designed to laud the
utility's achievements or projects purporting to preserve or enhance the
environment, shall be recorded in account 426.8. See paragraph
16.2(8)"e."
(2)
Entries relating to environmental advertising included in this account shall
contain or refer to supporting documents which identify the specific
advertising message. If references are used, copies or scripts of the
advertising message shall be readily available to staff, consumer advocate or
any party involved in a discovery proceeding.
(3) Where environmental advertising is
undertaken by an association on behalf of its members or by a holding company
on behalf of its subsidiaries, the amount of expenses for such advertising
charged to any member or subsidiary which is an Iowa electric utility and
included in this account shall be determined in accordance with the text of
this account as set forth in paragraph 16.2(8)"h."
(4) Labor items related to environmental
advertising:
1. Direct supervision of
advertising activities.
2.
Preparation of materials for newspapers, periodicals, billboards, etc., and
preparing and conducting motion pictures, radio, and television
programs.
3. Preparation of
booklets, bulletins, etc., used in direct mail.
4. Preparation of window and other
displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and expenses related to
environmental advertising:
1. Advertising in
newspapers, periodicals, billboards, etc.
2. Fees and expenses of advertising agencies
and commercial artists.
3. Postage
on direct-mail advertising.
4.
Printing of booklets, dodgers, bulletins, etc.
5. Supplies and expenses in preparing
advertising materials.
6. Office
supplies and expenses.
7. Novelties
for general distribution.
i. 909.3 Informational Consumer Advertising
Expenses.
(1) This account shall include the
cost of labor, materials used, and expenses incurred in advertising activities
which primarily convey information as to what the utility urges or suggests
customers should do in utilizing electric service to protect their health and
safety, and to utilize their electric equipment safely and
economically.
(2) Entries relating
to informational advertising included in this account shall contain or refer to
supporting documents which identify the specific advertising message. If
references are used, copies or scripts of the advertising message shall be
readily available to staff, consumer advocate, or any party involved in a
discovery proceeding.
(3) Where
informational advertising is undertaken by an association on behalf of its
members or by a holding company on behalf of its subsidiaries, the amount of
expense for such advertising charged to any member or subsidiary which is an
Iowa electric utility and included in this account shall be determined in
accordance with the text of this account as set forth in paragraph
16.2(8)"i."
(4)
Labor items related to informational consumer advertising:
1. Direct supervision of advertising
activities.
2. Preparing materials
for newspapers, periodicals, billboards, etc., and preparing and conducting
motion pictures, radio, and television programs.
3. Preparing booklets, bulletins, etc., used
in direct mail.
4. Preparing window
and other displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(5) Materials and expenses related to
informational consumer advertising:
1.
Advertising in newspapers, periodicals, billboards, radio, etc.
2. Fees and expenses of advertising agencies
and commercial artists.
3. Postage
on direct-mail advertising.
4.
Printing of booklets, dodgers, bulletins, etc.
5. Supplies and expenses in preparing
advertising materials.
6. Office
supplies and expenses.
7. Novelties
for general distribution.
Below are examples of the advertising to be included in this
account:
* Instructions in the proper use of equipment owned by the
utility or the customer which make use of the utility's service.
* Information as to new rates, billing practices, new
inspection, or meter-reading schedules.
* Notification of emergency conditions and procedures to be
followed during the emergency.
* Advice concerning hazards associated with the utility's
electric service.
(6) Exclude from this account and charge to
FERC account 930.2, Miscellaneous General Expenses, the cost of publication of
stockholder reports, dividend notices, bond redemption notices, financial
statements, and other notices of a general corporate character. Also, exclude
all expenses of promotional, institutional, or goodwill, and political
advertising. See paragraphs 16.2(8)
"c,",
16.2(8)
"d," and 16.2(8)
"e," which refer to
accounts 426.4, Political Advertising Expenses, 426.7, Promotional Advertising
Expenses, and 426.8, Institutional or Goodwill Advertising Expenses,
respectively.
Advertising expense directly related to obtaining a franchise
or renewing an old franchise shall be charged to FERC account 302, Franchise
and Consents. Such amounts shall be maintained in a separate subaccount for
ready identification.
Advertising expense directly related to securing of new debt
financing shall be charged to FERC account 181, Unamortized Debt Expense. Such
amounts shall be maintained in a separate subaccount for ready
identification.
Advertising expense directly related to securing of new
equity financing shall be charged to FERC account 214, Capital Stock Expense.
Such amounts shall be maintained in a separate subaccount for ready
identification.
j.
909.4 Load Factor Advertising Expenses.
(1)
This account shall include the cost of labor, materials used, and expenses
incurred in advertising activities designed to improve load factor so that
plant and equipment already installed can be operated more efficiently and to a
greater degree of capability, thereby resulting in lower overall costs to the
consumer.
(2) This shall include
advertising expenditures which are designed to further industrial and
commercial development of the company's service area.
(3) Entries relating to load factor
advertising included in this account shall contain or refer to supporting
documents which identify the specific advertising message. If references are
used, copies or scripts of the advertising message shall be readily available
to staff, consumer advocate, or any party involved in a discovery
proceeding.
(4) Where load factor
advertising is undertaken by an association on behalf of its members or by a
holding company on behalf of its subsidiaries, the amount of expense for such
advertising charged to any member or subsidiary which is an Iowa electric
utility and included in this account shall be determined in accordance with the
text of this account as set forth in paragraph
16.2(8)"j."
(5)
Labor items relating to load factor advertising:
1. Direct supervision of advertising
activities.
2. Preparation of
advertising materials for newspapers, periodicals, billboards, etc., and
preparing and conducting motion pictures, radio, and television
programs.
3. Preparation of
booklets, bulletins, etc., used in direct mail.
4. Preparation of window and other
displays.
5. Clerical and
stenographic work.
6. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(6) Materials and expenses related to load
factor advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Fees and expenses of advertising agencies
and commercial artists.
3. Postage
on direct-mail advertising.
4.
Printing of booklets, dodgers, bulletins, etc.
5. Supplies and expenses in preparing
advertising materials.
6. Office
supplies and expenses.
7. Novelties
for general distribution.
Below is an example of the advertising to be included in this
account:
* Encouragement for manufacturers to go to night
operations.
k. 913 Advertising Expenses. Delete the
entire current text of FERC account 913 and add subaccount 913.5, Franchise
Advertising Expenses.
(1) This account shall
include only reasonable advertising expenditures for the purpose of obtaining
approval, modification, or revocation of franchises.
(2) Entries relating to reasonable franchise
advertising included in this account shall contain or refer to supporting
documents which identify the specific advertising message. If references are
used, copies or scripts of the advertising matter shall be readily available to
staff, consumer advocate, or any party involved in a discovery
proceeding.
(3) Labor items related
to franchise advertising:
1. Preparing
material for newspapers, periodicals, billboards, etc., and preparing and
conducting motion pictures, radio, and television programs.
2. Preparing booklets, bulletins, etc., used
in direct mail.
3. Preparing window
and other displays.
4. Clerical and
stenographic work.
5. Investigating
advertising agencies and media and conducting negotiations in connection with
the placement and subject matter of advertising.
(4) Materials and expenses related to
franchise advertising:
1. Advertising in
newspapers, periodicals, billboards, radio, etc.
2. Advertising matters such as posters,
bulletins, booklets, and related items.
3. Fees and expenses of advertising agencies
and commercial artists.
4.
Novelties for general distribution.
5. Postage on direct-mail
advertising.
6. Printing of
booklets, bulletins, etc.
7.
Supplies and expenses in preparing advertising materials.
8. Office supplies and expenses.
l. 930.2 Miscellaneous
Expenses.