Employee Benefit Plans

3 Months Ended

Mar. 31, 2024

Retirement Benefits [Abstract]

Employee Benefit Plans

Employee Benefit Plans

The components of net periodic benefit costs for Registrant’s pension plan, postretirement medical benefit plan and SERP for the three months ended March 31, 2024 and 2023 were as follows:

	For The Three Months Ended March 31,
	Pension Benefits				Other Postretirement Benefits				SERP
(dollars in thousands)	2024		2023		2024		2023		2024		2023
Components of Net Periodic Benefits Cost:
Service cost	$	850	$	846	$	32	$	33	$	358	$	312
Interest cost	2,550		2,513		23		25		426		411
Expected return on plan assets	(3,009)		(2,623)		(142)		(120)		—		—
Amortization of prior service cost	108		108		—		—		—		—
Amortization of actuarial (gain) loss	—		—		(263)		(240)		(4)		(8)
Net periodic benefits costs under accounting standards	499		844		(350)		(302)		780		715
Regulatory adjustments - deferred	—		(92)		—		—		—		—
Total expense (benefit) recognized, before surcharges and allocation to overhead pool	$	499	$	752	$	(350)	$	(302)	$	780	$	715

In 2024, Registrant expects to contribute approximately $3.3 million to its pension plan.

As authorized by the CPUC in the water and electric general rate case decisions, GSWC and BVES each utilize two-way balancing accounts to track differences between the forecasted annual pension expenses in rates, or expected to be in rates, and the actual annual expense recorded in accordance with the accounting guidance for pension costs. During the three months ended

March 31, 2024, GSWC’s actual pension expense was lower than the amounts included in water customer rates by $134,000. During the three months ended March 31, 2023, GSWC’s actual pension expense was higher than the amounts included in water customer rates by $92,000. BVES’s actual expense was lower than the amounts included in electric customer rates for all periods presented. Over-collections are recorded as a reduction in revenues. As of March 31, 2024, GSWC and BVES had over-collections in their two-way pension balancing accounts of $1,231,000 and $368,000, respectively, that have been included as part of regulatory liabilities (Note 3).