Q:       Please state your name for the record.

A:        My name is Paul Allen Hicken.


Q:       By whom are you employed and what is your business address?

A:        I am employed by the Utah Department of Commerce, Division of Public Utilities (Division). My business address is 160 East 300 South, 4th Floor, Salt Lake City, Utah, 84114.


Q:       What is your position with the Division?

A:        I am employed as a Utility Analyst.


Q:       Please summarize your educational and professional experience.

A:        I earned a Masters of Business Administration from Utah State University In 1985. I was employed for nineteen years with the Utah Office of Legislative Auditor General as a Performance Auditor. I have attached a copy of my resume. I have been employed with the Division since June, 2005 and I recently completed the NARUC Annual Regulatory Studies Program in August, 2005.



Q:       What is the purpose of your testimony in these proceedings?

A:         My testimony addresses the expense adjustment for overtime compensation for hourly employees during calendar year 2004, who made the transition to salary compensation at the beginning of January, 2005.




Q:       Please explain why this adjustment is needed.

A:        The UBTA-UBET organization paid hourly wages plus overtime pay to twenty-one employees during the calendar year 2004 test period. These employees were moved to exempt status for 2005 and their compensation was reclassified from hourly to salary. ************************************************************************************************************************************************************************************************************************************* This is the amount requested by the company as an additional expense adjustment for corporate operations. However, this expense adjustment did not consider the fact that overtime compensation would not be needed in CY 2005 for these twenty-one employees. Therefore, it is necessary to subtract the amount of actual overtime compensation from this expense adjustment. *******************************



Q:       Please describe how the adjustment was calculated.

A:        ************************************************************************************************************************************************************************************************************************ ************************************************************************************************************************************************************************************************************************

Q:       Does this conclude your testimony?

A:        Yes.