Power and Utility Entities Revenue Recognition Task Force 


    AICPA Revenue Recognition Task Forces are charged with developing revenue recognition implementation issues that will provide helpful hints and illustrative examples for how to apply the new Revenue Recognition Standard.

    Task Force Members:

    • James Barker, Deloitte LLP (Co-Chair)
    • Randall Hartman, Edison Electric Institute (Co-Chair)
    • Steve Breininger, PPL Electric
    • Noel Christmann, Entergy
    • Lori Colvin, SouthWest Gas
    • Zach Deakins, Calpine
    • Dennis Deutmeyer, Ernst & Young LLP
    • Beth Farr, NextEra
    • Darin Kempke, KPMG LLP
    • Matt Kim, Chesapeake Utilities
    • Joe Martin, American Gas Association
    • Jim Nowoswiat, ParenteBeard LLC
    • Tom Reichart, Exelon
    • Sean Riley, PricewaterhouseCoopers LLP
    • Eric Thiergartner, American Electric Power
    Staff Contact: revrecstaff@aicpa.org

    IDENTIFIED REVENUE RECOGNITION IMPLEMENTATION ISSUES

    Below is a list of potential revenue recognition implementation issues identified by the Power and Utilities Revenue Recognition Task Force. The list will be updated as the task force continues it discussions. Full revenue recognition implementation issues will be posted below for informal comments after review by the AICPA Financial Reporting Executive Committee (FinREC).

    Issue # Description of Implementation Issue
    1 Scope clarification regarding tariff sales to regulated customers –If in scope, what is term of contract?
    2 Accounting for contracts with price and/or volume variability –Include strip, step and index pricing as well as considerations around the revenue constraint
    3 Accounting for contract modifications –Including blend-and-extend modifications (whether they include a financing element) as well as treatment of partial terminations.
    4 Accounting for bundled arrangements – Focusing on identifying the performance obligations within a bundled sale contract.
    5 Accounting for sales of non-financial assets – Accounting for dispositions of PP&E as well as partial sales of PP&E (specifically, what is the appropriate unit of account when assessing whether control has transferred in a partial sale).


    FEEDBACK REQUESTED

    Draft Revenue Recognition Implementation Issues included for informal comment, when available, will be listed below.

    Respondents should submit any comments including the implementation issue number to revreccomments@aicpa.org by the dates noted below:

    Issue # Comment Due Date


    The Power and Utility Entities Revenue Recognition Task Force recommends the following AICPA products for current revenue recognition issues:



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