Note 2 — Property, Plant and Equipment
The components of property, plant and equipment as of December 31, 2016 and 2015 were
as follows:
Useful Lives
(in thousands) 2016 2015 (in years)
Utility Property:
Land and land rights $ 3,079 $ 3,078 -
Source of supply 61,450 52,347 3-70
Pumping and purification 30,851 30,508 7-64
Transmission and distribution, including 145,202 138,756
services, meters and hydrants 15-91
General and other equipment 15,000 13,189 7-75
Intangible plant 790 790 20
Construction work in progress 10,022 4,494
Total utility property 266,394 243,162
Total non-utility property 5 5 5-10
Total property, plant and equipment 266,399 243,167
Less accumulated depreciation (64,701) (59,926)
Property, plant and equipment, net $ 201,698 $ 183,241
The provision for depreciation is computed on the straight-line method over the estimated
useful lives of the assets, which range from 3 to 91 years. The weighted average composite
depreciation rate was 2.54% and 2.53% in 2016 and 2015, respectively.
Note 3 — Investments — Bond Project Funds
All investments were sold during 2016 and transferred to the Restricted Cash - Bond Project
Funds account.
At December 31, 2015, the Company held investments in marketable securities that were
classified as held-to-maturity and consisted of the following:
Unrecognized Estimated
December 31, 2015 Amortized Holding Fair
(in thousands) Cost Losses Value
U.S. government bonds $ 17,237 $ (27) $ 17,210
Investments - Bond Project Funds $ 17,237 § (27) §$ 17,210
16
