FERC Account 364 – Poles, Towers, and Fixtures
FERC Account 364 is used to record the installed cost of poles, towers, crossarms, braces, and related fixtures that support overhead distribution lines.
Definition
Record in this account the cost installed of poles, towers, crossarms, braces, and other fixtures used in supporting overhead conductors and related distribution line equipment.
In practical terms, Account 364 captures the support structures that hold up the utility’s overhead distribution system. It does not generally include the conductors themselves or line devices mounted on the system unless those items properly belong in a different account.
What is typically included
- Wood, steel, or concrete distribution poles
- Towers used in the overhead distribution system
- Crossarms, braces, guying, anchors, and pole-top fixtures
- Installed cost, including labor and related overheads, when capitalized
- Replacements or betterments that meet the utility’s capitalization policy
What is generally not included
- Overhead conductors and devices recorded in Account 365
- Street lighting systems typically recorded in Account 373
- Routine maintenance, repairs, and inspection costs
- Vegetation management or storm cleanup charged to expense
- Tools, trucks, and general equipment not part of the installed unit
Why Account 364 matters
- Poles and related structures are a core component of overhead distribution plant
- Accurate classification supports depreciation, retirement entries, and continuing property records
- Pole replacement and rebuild programs often involve significant capital spending
- Distribution cost-of-service studies rely on clean separation between support structures and conductors
Utilities should apply their own capitalization policy, retirement procedures, and continuing property record practices when determining the final accounting treatment for a specific project or transaction.
Examples
New overhead feeder project
A utility builds a new overhead feeder and installs poles, crossarms, anchors, and related hardware. The cost of the support structures would generally be capitalized to Account 364, while conductors and related devices would generally be recorded in Account 365.
Pole replacement program
A utility replaces aging poles as part of a capital renewal program. If the replacements meet the capitalization policy, the installed cost would generally be recorded in Account 364, with retired plant removed in accordance with utility procedures.
Minor corrective work
A crew tightens hardware and performs minor corrective work on an existing pole line. If the work is routine maintenance and does not create a new asset or extend useful life under the capitalization policy, it would generally be charged to expense.
Related FERC distribution plant accounts
- Account 360 – Land and Land Rights
- Account 361 – Structures and Improvements
- Account 365 – Overhead Conductors and Devices
- Account 369 – Services
- Account 373 – Street Lighting and Signal Systems
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Disclaimer: The material in this article is for informational purposes only and should not be taken as legal or accounting advice provided by Utility Accounting & Rates Specialists, LLC. You should seek formal advice on this topic from your accounting or legal advisor.