The selection of indirect cost pools and allocation bases should allocate costs to contracts in proportion to the benefit received from the activity that generates the costs.

The rules for cost allocation clearly state that similar costs, in like circumstances, must be allocated consistently as either direct costs or indirect costs. That is, costs that are normally ...

On January 23, 2023, FERC set New York Power Authority’s (“NYPA”) proposed revisions to its Formula Rate Template for hearing, including changing NYPA’s allocation methodology for ...