SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2019

BASIS OF PRESENTATION AND IMPACT OF RECENT ACCOUNTING PRONOUNCEMENTS [Abstract]

Schedule of Utility Plant

Utility plant comprises:
In thousands
			December 31,
	Estimated Useful Life (In Years)		2019		2018
Utility plant at original cost
Utility plant in service-Water
Intangible plant		—	$	140	$	140
Source of supply plant		45-85		22,611		22,320
Pumping and water treatment plant		8-62		90,795		85,399
Transmission and distribution plant
Mains		81		277,125		267,352
Services		39		48,190		45,661
Storage tanks		76		27,968		25,167
Meters		26		27,498		26,531
Hydrants		60		15,071		14,514
General plant		5-31		61,512		60,536
Utility plant in service-Wastewater
Treatment and disposal plant		21-81		19,315		17,635
Collection mains & lift stations		81		19,348		14,242
General plant		5-31		1,223		1,206
Property held for future use		—		24,632		24,395
Construction work in progress		—		31,881		19,694
				667,309		624,792
Less – accumulated depreciation				136,588		126,114
			$	530,721	$	498,678

Amortization Period of Other Regulatory Expense

Regulatory expenses amortized on a straight-line basis are noted below:

Expense	Years Amortized
Depreciation and salary studies	5
Delaware rate proceedings	2.5
Maryland rate proceedings	5
Debt related costs	15 to 30 (based on term of related debt)
Goodwill (resulting from acquisition of Mountain Hill Water Company in 2008)	50
Deferred acquisition costs (resulting from purchase of water assets in Cecil County, Maryland in 2011 and Port Deposit, Maryland in 2010)	20
Franchise Costs (resulting from purchase of water assets in Cecil County, Maryland in 2011)	80

Regulatory Assets, Net of Amortization, Comprise

Regulatory assets, net of amortization, comprise:

(in thousands)	December 31, 2019		December 31, 2018
Postretirement benefit obligation	$	51	$	74
Deferred income taxes		386		401
Expense of rate case studies		27		22
Debt related costs		5,556		5,815
Goodwill		288		295
Deferred acquisition and franchise costs		583		647
	$	6,891	$	7,254

Other Deferred Assets, Net of Amortization

Table of Contents

Other deferred assets at December 31, net of amortization, comprise:

In thousands	2019			2018
Investment in CoBank		$	3,968		$	3,610
Other			289			321
		$	4,257		$	3,931

Regulatory Liabilities

Regulatory liabilities comprise:
	(in thousands)
	December 31, 2019		December 31, 2018
Postretirement benefit obligation	$	—	$	52
Utility plant retirement cost obligation		247		319
Deferred income taxes (related to TCJA)		21,999		22,442
	$	22,246	$	22,813

Changes in Accounts Receivable

	December 31,
In thousands	2019			2018			2017
Customer accounts receivable – water		$	5,574		$	5,585		$	5,487
Contractual amounts due from developers and other			1,603			2,806			3,698
			7,177			8,391			9,185
Less allowance for doubtful accounts			264			232			288
Net accounts receivable		$	6,913		$	8,159		$	7,796

Allowance for Doubtful Accounts

The activities in the allowance for doubtful accounts are as follows:

	December 31,
In thousands	2019				2018				2017
Beginning balance		$	232			$	288			$	263
Allowance adjustments			198				103				215
Recoveries			34				47				41
Write off of uncollectible accounts			(200	)			(206	)			(231	)
Ending balance		$	264			$	232			$	288