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Home My WebLink About20060814_1634.pdfDECISION MEMORANDUM TO:CO MMISSI 0 NER KJELLAND ER COMMISSIONER SMITH CO MMISSI 0 NER HANSEN COMMISSION SECRETARY LEGAL WORKING FILE FROM:RICK STERLING DATE:AUGUST 9, 2006 RE:IDAHO POWER TARIFF ADVICE 06-04, SCHEDULE 46 - UNIFORM ALTERNATE DISTRIBUTION AGREEMENT. On July 26, 2006, Idaho Power Company (Idaho Power; Company) filed Tariff Advice No. 06-04 with the Idaho Public Utilities Commission (Commission) requesting approval of the addition of a Uniform Alternate Distribution Service Agreement to be included as part of Schedule 46, Alternate Distribution Service. Schedule 46 is available to commercial and industrial customers desiring an exceptionally high quality distribution service. Alternate Distribution Service consists of a secondary distribution circuit to the customer, which backs up the customer s regular distribution circuit through an automatic switching device. Alternate Distribution Service facilities include but are not limited to, the portion of the distribution substation and the distribution line required to provide the service, plus any additional metering or switching equipment. In February 1989 , the Company filed an application (Case No. IPC-89-4) with the Commission requesting approval for two service offerings, Schedule 45 , Partial Requirements Service (now Standby Service) and Schedule 46, Alternate Distribution Service. As part of that filing, the Company included two uniform agreements, the Partial Requirements Agreement and the Alternate Distribution Service Agreement. Each agreement was referenced within the respective tariff schedule; however, neither of the agreements was filed as part of the tariff at that time. The Commission issued Order No. 22887 approving the additions of Schedule 45 , Standby Service, and Schedule 46, Alternate Distribution Service, effective January 1990. In December 1992, the Company negotiated revisions to Schedule 45, Standby Service with Amalgamated Sugar. The Company subsequently filed Advice No. 92-03 proposing the DECISION MEMORANDUM - 1 -AUGUST 9, 2006 agreed upon revisions to Schedule 45 along with a Uniform Standby Service Agreement in tariff form. The proposed revisions were subsequently allowed by the Commission effective January 1 , 1993. Since that time, Schedule 45 has included a Uniform Standby Agreement. Until recently, the Company did not have any customers taking service under Schedule 46. Currently, the Company has one customer taking service under Schedule 46 at two separate locations. In addition, the Company is currently in discussions with another customer who has requested Schedule 46 service. In order to facilitate a standardized approach to the agreement process under Schedule 46, the Company requests approval of incorporation of the Uniform Alternate Distribution Service Agreement into the tariff as Original Sheet No. 46-3 and Original Sheet No. 46- Also submitted for approval, is a revised Schedule Index, which reflects this and other recent Commission-approved revisions to the tariff. The Company requests that both of the above mentioned revisions become effective August 26, 2006. ST AFF ANALYSIS Because Idaho Power already utilizes a Uniform Alternate Distribution Service Agreement for existing Schedule 46 customers, Staff has no objection to including the uniform agreement in the Company s tariffs. Moreover, Schedule 45, a similar tariff, already includes a uniform agreement as part of its tariff. Thus, the proposed inclusion of a uniform agreement in Schedule 46 will make both tariffs more consistent. Staff recommends approval of the requested revisions with an effective date of August 26, 2006. COMMISSION DECISION Does the Commission wish to approve the inclusion of a Uniform Alternate Distribution Service Agreement as part of Schedule 46? :;fu :5~4- Rick Sterling Attachment i:udmemos/sch 46 uniform agrmtdm DECISION MEMORANDUM - 2 -AUGUST 9, 2006 Idaho Power Com pany I.P.C. No. 28. Tariff No. 101 Ori inal Sheet No. 46- Idaho Power Com pan v Uniform Alternate Distribution Service Aqreement LOCATION DESCRIPTION.ACCOUNT NO. - - IHIS-AC3~~~MI::NI-betwe -- ------.------------------------ --- whose billing address is hereinafter called Customer, and Idaho Power Company, with its principal office located at 1221 West Idaho Street, Boise, Idaho , hereinafter called Company: NOW, THEREFORE , The parties agree as follows: The Alternate Distribution Service provided through this Agreement consists of a second distribution circuit to the Customer which backs up the Customer s regular distribution circuit through an automatic switching device.1. This Agreement is subject to the Company s applicable tariff provisions for Alternate Distribution Service and is also subject to the Company s General Rules , Regulations, and Rates as now or may be hereafter modified and approved by the Idaho Public Utilities Commission.2. The Company agrees to provide Alternate Distribution Service to the Customer s loads ator near , County of , State of Idaho, in the form of three-phase, volt, Electric Service subject to the emergency operating conditions of the Company. The Contract Capacity of Alternate Distribution Service provided by this Agreement is kW. The Company shall reserve this Contract Capacity in the alternate distribution facilities.4. The Customer shall pay to the Company a monthly Facilities Charge on the Company investment in the automatic switching device as set forth in the tariff provisions for Alternate Distribution Service. The amount of this initial investment is set forth in the Distribution Facilities Investment Report provided by the Company to the Customer. As such investment changes, in order to serve the Customer s requirements, the Company shall notify the Customer in writing of additions or deletions of facilities by forwarding a dated investment notice. The monthly Facilities Charge will be adjusted accordingly.5. In the event the Customer requests the Company to remove or reinstall or change the facilities set forth in the Distribution Facilities Investment Report, the Customer shall pay to the Company the "non-salvable" cost of such removal , reinstallation or change. Non-salvable cost as used herein is comprised of the total cost of material, labor, and overheads of installing the facilities, less the difference between the salvable cost of materiaL removed and the removal labor cost including appropriate overhead costs. IDAHO Issued - July 26,2006 Effective - August 26, 2006 Advice No. 06- Issued by IDAHO POWER COMPANY John R. Gale, Vice President, Regulatory Affairs 1221 West Idaho Street, Boise, Idaho Idaho Power Com pany I.P.C. No. 28. Tariff No. 101 Ori inal Sheet No. 46- Idaho Power Com pan v Uniform Alternate Distribution Service Aqreement (Continued) 6. The Company reserves the right to determine the substation and distribution facilities for b oth nth e -p ri mary-an d-a Itemate-distri btJtion-s-ources to--the-eustomerforihe-eontract-eapacity-specified under paragraph 3.7. The initial service date of this Agreement is subject to the Company s ability to obtain required labor, materials, equipment, satisfactory rights-of-way, and comply with governmental regulations.8. In consideration of the investment required to be made by the Company in the facilities necessary to provide Alternate Distribution Service, the term of this Agreement shall be for years from and after the initial service date. The Agreement shall automatically renew and extend each year thereafter unless written notice of termination is given by either party to the other not less than thirty (30) days prior to the expiration of the Agreement or any extension of the Agreement. If the Customer elects not to renew or extend the Agreement, the Customer shall pay the cost of removing the facilities set forth in the Distribution Facilities Investment Report in accordance with the charges specified under paragraph 5.9. This Agreement is subject to valid laws and to the regulatory authority and orders, rules and regulations of the Idaho Public Utilities Commission and such other administrative bodies having jurisdiction. 10. Nothing in this Agreement shall be construed as limiting the Idaho Public Utilities Commission from changing any rates , charges , classification or service, or any rules, regulation, or conditions relating to service under this Agreement, or construed as affecting the right of the Company or the Customer to unilaterally make application to the Commission for any such change. Date (Appropriate Signatures) IDAHO Issued - July 26 , 2006 Effective - August 26 2006 Advice No. 06- Issued by IDAHO POWER COMPANY John R. Gale, Vice President, Regulatory Affairs 1221 West Idaho Street, Boise, Idaho