Public Utilities: Infrastructure System Replacement-Surcharge Approval-Deferred Income Taxes

Where a water company challenged an order approving its infrastructure replacement surcharge, arguing that the determination that sufficient evidence was not presented to show that a deferred tax asset was incurred, the determination was supported by the evidence on the whole record and was thus reasonable, and the judgment is affirmed because deferred income taxes and depreciation associated with eligible infrastructure system replacements were not excluded from the commission’s computation.

Judgment is affirmed.

In the Matter of the Petition of Missouri-American Water Company v. Public Service Commission (MLW No. 74160/Case No. WD82514 – 19 pages) (Missouri Court of Appeals, Western District, Gabbert, J.) Appealed from the Public Service Commission (Lyman R. Mitten II and Dean L. Cooper, Jefferson City, for appellant) (Jennifer L. Heintz, Jefferson City, for respondent).