Keep track of plugging fund balances by well and owner. Automatically deduct plugging amounts from revenue until the plugging fund balance for the well is met.
Keep track of funds being held for each well for plugging the well when the time for plugging comes. Each owner in the well is charged a small amount each month until the set amount for plugging the well is reached.
- The ability to set a target amount needed for the plugging fund and a time range for the balance to be acquired.
- The ability to charge plugging reserve at the owner level.
- The ability to exclude selected owners from being charged for plugging reserve.
- The ability to report on the balance of the funds at the well level and also the owner level.
- Report the fund withholding amounts separately on the 1099 reconciliation so that the owners know how much was withheld during the year for plugging since the plugging charges are not tax-deductible until the well is plugged.
- Transfer the plugging reserve amounts to the owner?s expenses on their 1099 reconciliation when plugging reserve funds are used during the year. The use of the reserve would increase their expense and decrease their reserve balance shown on the report.
- The ability to invoice owners for plugging charges that are above their fund balance.
- The ability to transfer the plugging funds to the well to offset the plugging charges.
- The amounts deducted for plugging need to be posted to a separate account specified in the module preferences.
- Show the amounts withheld for plugging on the run closing summary.
- The ability to transfer the plugging reserve balance from one owner to another when ownership changes.
- Ability to refund an owner?s plugging fund balance