PROPERTY, PLANT, AND EQUIPMENT

12 Months Ended

Dec. 31, 2019

Property, Plant and Equipment [Abstract]

Property, plant, and equipment consisted of the following utility and non-utility assets at December 31:



(in millions)	2019		2018
Electric – generation	$	2,840.0	$	2,831.2
Electric – distribution	1,738.3		1,510.0
Natural gas – distribution, storage, and transmission	995.2		910.6
Other	392.6		351.9
Less: Accumulated depreciation	1,671.4		1,620.1
Net	4,294.7		3,983.6
CWIP	249.7		166.0
Net utility property, plant, and equipment	4,544.4		4,149.6

Non-utility property, plant, and equipment	0.8		0.9
Less: Accumulated depreciation	0.7		0.4
Net non-utility property, plant, and equipment	0.1		0.5

Total property, plant, and equipment	$	4,544.5	$	4,150.1

Pulliam Power Plant

In connection with a MISO ruling, we retired Pulliam Units 7 and 8 on October 21, 2018. The net book value of the Pulliam units was $36.3 million at December 31, 2019, representing book value less cost of removal and accumulated depreciation. This amount was

classified as a regulatory asset on our balance sheets as a result of the retirement of the plant. Effective with our rate order issued by the PSCW in December 2019, we received approval to collect a return of and on the entire net book value of the Pulliam units, and as a result, will continue to amortize this regulatory asset on a straight-line basis through 2031, using the composite depreciation rates approved by the PSCW before these generating units were retired. Amortization is included in depreciation and amortization in the income statement. We have FERC approval to continue to collect the net book value of the Pulliam power plant using the approved composite depreciation rates, in addition to a return on the remaining net book value. FERC has completed its prudency review of Pulliam, concluding that the retirement of this plant was prudent.

Edgewater Unit 4

The Edgewater 4 generating unit was retired on September 28, 2018. The net book value of the generating unit was $5.3 million at December 31, 2019, representing book value less cost of removal and accumulated depreciation. This amount was classified as a regulatory asset on our balance sheets as a result of the retirement of the plant. Effective with our rate order issued by the PSCW in December 2019, we received approval to collect a return of and on the entire net book value of the Edgewater 4 generating unit, and as a result, will continue to amortize this regulatory asset on a straight-line basis through 2026, using the composite depreciation rates approved by the PSCW before this generating unit was retired. Amortization is included in depreciation and amortization in the income statement. We have FERC approval to continue to collect the net book value of the Edgewater 4 generating unit using the approved composite depreciation rates, in addition to a return on the remaining net book value. FERC has completed its prudency review of Edgewater 4, concluding that the retirement of this plant was prudent.

Severance Liability for Plant Retirements

In December 2017, a severance liability of $3.6 million was recorded in other current liabilities on our balance sheets related to these plant retirements. Activity related to this severance liability for the years ended December 31 was as follows:



(in millions)	2019			2018
Severance liability at January 1	$	2.8		$	3.6
Severance payments	(1.5		)	(0.8		)
Other	(1.3		)	—
Total severance liability at December 31	$	—		$	2.8