Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule Of Income Tax Expense Domestic

Income tax (benefit) expense is comprised of the following (in thousands):

	Year Ended December 31,
	2022		2021		2020
Federal
Current	$	5,024	$	722	$	(3,396)
Deferred	(5,993)		2,626		(4,006)
Investment tax credits	(130)		(130)		(3)
State
Current	3,363		2,172		3
Deferred	(2,869)		(1,971)		(3,568)
Income Tax (Benefit) Expense	$	(605)	$	3,419	$	(10,970)

Schedule of Effective Income Tax Rate Reconciliation

The following table reconciles our effective income tax rate to the federal statutory rate:

	Year Ended December 31,
	2022		2021		2020
Federal statutory rate	21.0	%	21.0	%	21.0	%
State income tax, net of federal provisions	0.3		0.1		(1.1)
Flow-through repairs deductions	(12.4)		(11.5)		(16.5)
Production tax credits	(7.2)		(6.1)		(9.1)
Amortization of excess deferred income taxes	(0.9)		(0.3)		(0.7)
Prior year permanent return to accrual adjustments	(0.8)		—		(1.2)
Plant and depreciation of flow through items	(0.1)		(0.6)		0.1
Other, net	(0.2)		(0.8)		(0.1)
Effective tax rate	(0.3)	%	1.8	%	(7.6)	%

The table below summarizes the significant differences in income tax expense (benefit) based on the differences between our effective tax rate and the federal statutory rate (in thousands).

	Year Ended December 31,
	2022		2021		2020
Income Before Income Taxes	$	182,403	$	190,259	$	144,245
Income tax calculated at federal statutory rate	38,304		39,954		30,292
Permanent or flow through adjustments:
State income, net of federal provisions	562		354		(1,477)
Flow-through repairs deductions	(22,665)		(21,888)		(23,828)
Production tax credits	(13,166)		(11,532)		(13,103)
Amortization of excess deferred income taxes	(1,657)		(635)		(968)
Prior year permanent return to accrual adjustments	(1,397)		(12)		(1,728)
Plant and depreciation of flow through items	(222)		(941)		121
Other, net	(364)		(1,881)		(279)
	(38,909)		(36,535)		(41,262)
Income Tax (Benefit) Expense	$	(605)	$	3,419	$	(10,970)

Schedule of Deferred Tax Assets and Liabilities

The components of the net deferred income tax liability recognized in our Consolidated Balance Sheets are related to the following temporary differences (in thousands):

	December 31,
	2022		2021
Production tax credit	$	80,097	$	75,092
Customer advances	25,119		21,271
Pension / postretirement benefits	19,291		21,435
Compensation accruals	10,306		10,612
Unbilled revenue	9,440		10,704
Environmental liability	6,009		5,704
Reserves and accruals	4,016		5,106
Interest rate hedges	3,372		3,158
Other, net	2,595		1,738
Deferred Tax Asset	160,245		154,820
Excess tax depreciation	(449,724)		(425,202)
Flow through depreciation	(106,623)		(94,616)
Goodwill amortization	(86,874)		(85,425)
Regulatory assets and other	(56,007)		(49,211)
Deferred Tax Liability	(699,228)		(654,454)
Deferred Tax Liability, net	$	(538,983)	$	(499,634)

Summary of Income Tax Contingencies

The change in unrecognized tax benefits is as follows (in thousands):

	2022		2021		2020
Unrecognized Tax Benefits at January 1	$	32,049	$	33,491	$	35,085
Gross increases - tax positions in prior period	—		293		120
Gross increases - tax positions in current period	—		—		—
Gross decreases - tax positions in current period	(1,719)		(1,735)		(1,714)
Lapse of statute of limitations	—		—		—
Unrecognized Tax Benefits at December 31	$	30,330	$	32,049	$	33,491