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Pension and Other Postretirement Benefits (Tables)

12 Months Ended

Dec. 31, 2021

Retirement Benefits [Abstract]

Schedule of Defined Benefit Plans Disclosures

The following table presents information about the PBO, fair value of plan assets, and funded status of the plans:

			PNM												TNMP
			Year Ended December 31,												Year Ended December 31,
			2021						2020						2021						2020
			(In thousands)
PBO at beginning of year			$	630,904					$	605,745					$	67,390					$	65,574
Service cost			—						—						—						—
Interest cost			16,143						19,941						1,741						2,177
Actuarial (gain) loss			(19,372)						47,567						(3,306)						4,459
Benefits paid			(43,614)						(42,349)						(3,678)						(4,820)
Settlements			—						—						(2,538)						—
PBO at end of year			584,061						630,904						59,609						67,390
Fair value of plan assets at beginning of year			587,530						531,467						66,149						59,367
Actual return on plan assets			32,791						98,412						3,009						11,602
Employer contributions			—						—						—						—
Benefits paid			(43,614)						(42,349)						(3,678)						(4,820)
Settlements			—						—						(2,538)						—
Fair value of plan assets at end of year			576,707						587,530						62,942						66,149
Funded status – asset (liability) for pension benefits			$	(7,354)					$	(43,374)					$	3,333					$	(1,241)

The following table presents information about the APBO, the fair value of plan assets, and the funded status of the plans:

			PNM												TNMP
			Year Ended December 31,												Year Ended December 31,
			2021						2020						2021						2020
			(In thousands)
APBO at beginning of year			$	75,196					$	75,121					$	11,938					$	11,235
Service cost			23						38						45						46
Interest cost			1,907						2,453						308						373
Participant contributions			1,617						1,714						135						243
Actuarial (gain) loss			(5,053)						3,261						(1,141)						747
Benefits paid			(6,706)						(7,391)						(715)						(706)
APBO at end of year			66,984						75,196						10,570						11,938
Fair value of plan assets at beginning of year			93,402						86,400						12,885						10,844
Actual return on plan assets			4,783						9,423						288						2,505
Employer contributions			2,709						3,256						—						—
Participant contributions			1,617						1,714						135						243
Benefits paid			(6,706)						(7,391)						(715)						(707)
Fair value of plan assets at end of year			95,805						93,402						12,593						12,885
Funded status – asset			$	28,821					$	18,206					$	2,023					$	947

Schedule of Assumptions Used

Actuarial (gain) loss results from changes in:

			PNM												TNMP
			Year Ended December 31,												Year Ended December 31,
			2021						2020						2021						2020
			(in thousands)
Discount rates			$	(19,989)					$	44,960					$	(2,017)					$	4,756
Demographic experience			617						2,607						(1,403)						(54)
Mortality rate			—						—						—						—
Other assumptions and experience			—						—						114						(243)
			$	(19,372)					$	47,567					$	(3,306)					$	4,459

The following significant weighted-average assumptions were used to determine the PBO and net periodic benefit cost (income). Should actual experience differ from actuarial assumptions, the PBO and net periodic benefit cost (income) would be affected.

			Year Ended December 31,
PNM			2021						2020						2019
Discount rate for determining December 31 PBO			3.00		%				2.66		%				3.42		%
Discount rate for determining net periodic benefit cost (income)			2.66		%				3.42		%				4.65		%
Expected return on plan assets			5.50		%				5.90		%				6.86		%
Rate of compensation increase			N/A						N/A						N/A
TNMP
Discount rate for determining December 31 PBO			3.01		%				2.69		%				3.46		%
Discount rate for determining net periodic benefit cost (income)			2.69		%				3.46		%				4.63		%
Expected return on plan assets			5.50		%				5.90		%				6.90		%
Rate of compensation increase			N/A						N/A						N/A

Actuarial (gain) loss results from changes in:

			PNM												TNMP
			Year Ended December 31,												Year Ended December 31,
			2021						2020						2021						2020
			(in thousands)
Discount rates			$	(2,042)					$	4,959					$	(423)					$	1,008
Claims, contributions, and demographic experience			(2,893)						(1,698)						(718)						(261)
Assumed participation rate			—						—						—						—
Mortality rate			—						—						—						—
Dental trend assumption			(118)						—						—						—
			$	(5,053)					$	3,261					$	(1,141)					$	747

The following significant weighted-average assumptions were used to determine the APBO and net periodic benefit cost. Should actual experience differ from actuarial assumptions, the APBO and net periodic benefit cost would be affected.

			Year Ended December 31,
PNM			2021						2020						2019
Discount rate for determining December 31 APBO			2.99		%				2.65		%				3.42		%
Discount rate for determining net periodic benefit cost			2.65		%				3.42		%				4.63		%
Expected return on plan assets			4.75		%				7.00		%				7.20		%
Rate of compensation increase			N/A						N/A						N/A
TNMP
Discount rate for determining December 31 APBO			2.99		%				2.65		%				3.42		%
Discount rate for determining net periodic benefit cost			2.65		%				3.42		%				4.63		%
Expected return on plan assets			3.80		%				5.60		%				5.80		%
Rate of compensation increase			N/A						N/A						N/A

The following significant weighted-average assumptions were used to determine the PBO and net periodic benefit cost. Should actual experience differ from actuarial assumptions, the PBO and net periodic benefit cost would be affected.

			Year Ended December 31,
PNM			2021						2020						2019
Discount rate for determining December 31 PBO			3.02		%				2.68		%				3.44		%
Discount rate for determining net periodic benefit cost			2.68		%				3.44		%				4.66		%
Long-term rate of return on plan assets			N/A						N/A						N/A
Rate of compensation increase			N/A						N/A						N/A
TNMP
Discount rate for determining December 31 PBO			3.01		%				2.69		%				3.46		%
Discount rate for determining net periodic benefit cost			2.69		%				3.46		%				4.63		%
Long-term rate of return on plan assets			N/A						N/A						N/A
Rate of compensation increase			N/A						N/A						N/A

Reclassification out of Accumulated Other Comprehensive Income

Information regarding AOCI is as follows:

			Accumulated Other Comprehensive Income (Loss)
			PNM																								PNMR
			Unrealized Gains on Available-for-Sale Securities						Pension Liability Adjustment						Total												Fair Value Adjustment for Cash Flow Hedges						Total
			(In thousands)
Balance at December 31, 2018			$	1,939					$	(112,361)					$	(110,422)											$	1,738					$	(108,684)
Amounts reclassified from AOCI (pre-tax)			(14,063)						7,404						(6,659)												733						(5,926)
Income tax impact of amounts reclassified			3,572						(1,880)						1,692												(186)						1,506
Other OCI changes (pre-tax)			25,724						(3,829)						21,895												(3,495)						18,400
Income tax impact of other OCI changes			(6,534)						973						(5,561)												888						(4,673)
Net after-tax change			8,699						2,668						11,367												(2,060)						9,307
Balance at December 31, 2019			10,638						(109,693)						(99,055)												(322)						(99,377)
Amounts reclassified from AOCI (pre-tax)			(9,497)						8,300						(1,197)												(1,740)						(2,937)
Income tax impact of amounts reclassified			2,412						(2,108)						304												442						746
Other OCI changes (pre-tax)			22,586						6,149						28,735												1,271						30,006
Income tax impact of other OCI changes			(5,736)						(1,562)						(7,298)												(323)						(7,621)
Net after-tax change			9,765						10,779						20,544												(350)						20,194
Balance at December 31, 2020			20,403						(98,914)						(78,511)												(672)						(79,183)
Amounts reclassified from AOCI (pre-tax)			(9,765)						8,348						(1,417)												(903)						(2,320)
Income tax impact of amounts reclassified			2,480						(2,120)						360												229						589
Other OCI changes (pre-tax)			(1,881)						12,111						10,230												1,804						12,034
Income tax impact of other OCI changes			478						(3,076)						(2,598)												(458)						(3,056)
Net after-tax change			(8,688)						15,263						6,575												672						7,247
Balance at December 31, 2021			$	11,715					$	(83,651)					$	(71,936)											$	—					$	(71,936)

The following table presents pre-tax information about net actuarial (gain) loss in AOCI as of December 31, 2021.

									PNM						TNMP
									(In thousands)
Amounts in AOCI not yet recognized in net periodic benefit cost (income) at beginning of year									$	132,078					$	—
Experience (gain) loss									(23,632)						3,133
Regulatory asset (liability) adjustment									11,797						(3,133)
Amortization recognized in net periodic benefit (income)									(8,181)						—
Amounts in AOCI not yet recognized in net periodic benefit cost at end of year									$	112,062					$	—

The following table presents pre-tax information about net actuarial loss in AOCI as of December 31, 2021.

			December 31, 2021
			PNM						TNMP
			(In thousands)
Amount in AOCI not yet recognized in net periodic benefit cost at beginning of year			$	2,259					$	—
Experience (gain)			(657)						(211)
Regulatory asset adjustment			381						211
Amortization recognized in net periodic benefit (income)			(167)						—
Amount in AOCI not yet recognized in net periodic benefit cost at end of year			$	1,816					$	—

Schedule of Net Benefit Costs

The following table presents the components of net periodic benefit cost (income):

			Year Ended December 31,
			2021						2020						2019
			(In thousands)
PNM
Service cost			$	—					$	—					$	—
Interest cost			16,143						19,941						25,175
Expected return on plan assets			(28,531)						(29,453)						(34,103)
Amortization of net loss			18,166						17,860						15,518
Amortization of prior service cost			—						(554)						(965)
Net periodic benefit cost			$	5,778					$	7,794					$	5,625
TNMP
Service cost			$	—					$	—					$	—
Interest cost			1,741						2,177						2,686
Expected return on plan assets			(3,181)						(3,284)						(3,868)
Amortization of net loss			1,247						1,258						941
Amortization of prior service cost			—						—						—
Settlement loss			746						—						—
Net periodic benefit cost (income)			$	553					$	151					$	(241)

The following table presents the components of net periodic benefit cost (income):

			Year Ended December 31,
			2021						2020						2019
			(In thousands)
PNM
Service cost			$	23					$	38					$	53
Interest cost			1,907						2,453						3,316
Expected return on plan assets			(4,167)						(5,548)						(5,278)
Amortization of net loss			—						348						675
Amortization of prior service credit			—						—						(397)
Net periodic benefit (income)			$	(2,237)					$	(2,709)					$	(1,631)
TNMP
Service cost			$	45					$	46					$	50
Interest cost			308						373						451
Expected return on plan assets			(407)						(538)						(517)
Amortization of net (gain)			(322)						(323)						(444)
Amortization of prior service cost			—						—						—
Net periodic benefit (income)			$	(376)					$	(442)					$	(460)

The following table presents the components of net periodic benefit cost:

			Year Ended December 31,
			2021						2020						2019
			(In thousands)
PNM
Service cost			$	—					$	—					$	—
Interest cost			363						491						651
Amortization of net loss			395						403						318
Amortization of prior service cost			—						—						—
Net periodic benefit cost			$	758					$	894					$	969
TNMP
Service cost			$	—					$	—					$	—
Interest cost			17						22						30
Amortization of net loss			33						24						15
Amortization of prior service cost			—						—						—
Net periodic benefit cost			$	50					$	46					$	45

Schedule of Expected Benefit Payments

The following pension benefit payments are expected to be paid:

			PNM						TNMP
			(In thousands)
2022			$	45,957					$	4,928
2023			44,632						4,689
2024			43,427						4,459
2025			42,158						4,386
2026			40,424						4,260
2027 - 2031			183,548						18,130

The following OPEB payments, which reflect expected future service and are net of participant contributions, are expected to be paid:

			PNM						TNMP
			(In thousands)
2022			$	5,924					$	613
2023			5,772						638
2024			5,577						657
2025			5,229						661
2026			5,006						669
2027 - 2031			20,815						3,113

The following executive retirement plan payments, which reflect expected future service, are expected:

			PNM						TNMP
			(In thousands)
2022			$	1,267					$	68
2023			1,228						62
2024			1,183						56
2025			1,133						50
2026			1,077						44
2027 - 2031			4,455						135

Schedule of Health Care Cost Trend Rates

The following table shows the assumed health care cost trend rates for the PNM OPEB plan: 

			PNM
			December 31,
			2021						2020
Health care cost trend rate assumed for next year			6.00		%				6.25		%
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)			4.75		%				5.00		%
Year that the rate reaches the ultimate trend rate			2027						2026

Schedule of Net Funded Status

For the executive retirement programs, the following table presents information about the PBO and funded status of the plans:

			PNM												TNMP
			Year Ended December 31,												Year Ended December 31,
			2021						2020						2021						2020
			(In thousands)
PBO at beginning of year			$	14,222					$	14,994					$	678					$	692
Service cost			—						—						—						—
Interest cost			363						491						17						22
Actuarial (gain) loss			(657)						78						(211)						58
Benefits paid			(1,316)						(1,341)						(78)						(94)
PBO at end of year – funded status			12,612						14,222						406						678
Less current liability			1,248						1,323						67						91
Non-current liability			$	11,364					$	12,899					$	339					$	587

Summary of Expenses for Other Retirement Plans

A summary of expenses for these other retirement plans is as follows:

			Year Ended December 31,
			2021						2020						2019
			(In thousands)
PNMR
401(k) plan			$	16,648					$	16,247					$	16,097
Non-qualified plan			$	3,594					$	2,090					$	4,551
PNM
401(k) plan			$	11,826					$	11,676					$	11,587
Non-qualified plan			$	2,622					$	1,544					$	3,384
TNMP
401(k) plan			$	4,823					$	4,572					$	4,511
Non-qualified plan			$	972					$	547					$	1,167

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