20080902_2348.pdf

DECISION MEMORANDUM
TO:CO MMISSI 0 NER RED FO RD
CO MMISSI 0 NER SMITH
COMMISSIONER KEMPTON
COMMISSION SECRETARY
LEGAL
FROM:T J GOLO
DATE:AUGUST 29, 2008
RE:ROCKY MOUNTAIN POWER'S ADVICE FILING 08-05; WITHDRAW
THE ORIGINAL APPLICATION AND RE-FILE TO INCLUDE ONLY
RULE 12 LINE EXTENSIONS
BACKGROUND
On July 28, 2008, Rocky Mountain Power originally proposed to revise: (1) Schedule
300 Regulation charges after hour connection and reconnection hours and fees; (2) Rule 10
Termination of Service and Payment Arrangements hours; and (3) Rule 12 Line Extensions
clarification of line extension refund policy in this tariff advice filing. On August 6 , 2008
Rocky Mountain Power withdrew the proposed revisions in the original application and re- filed
this tariff advice to include proposed revisions to Rule 12 Line Extensions. A summary of the
proposed revisions are as follows:
. Sheet No. 12.2; reword the definition of Extension and add the word "facilities.
. Sheet No. 12.4; revise residential line extension Additional Customer, Advances
and Refunds policy.
. Sheet No. 12.5; revise residential line extension Additional Customer, Advances
and Refunds policy to be consistent with proposed revision to Sheet No. 12.4.
Sheet No. 12.6; replace title, define extension allowance and require that the
customer pay a Contract Minimum Billing.
. Sheet No. 12.7; added language to underground nonresidential extensions to
possibly pay for facilities for reliability and future development.
DECISION MEMORANDUM - 1 -AUGUST 29, 2008
. Sheet No. 12.8; revise the residential development advances, include a
requirement that residential developments possibly pay for facilities for
reliability and future development, and revise refund policy to allow developers
to waive refunds of less than 20% of their refundable advance.
. Sheet No. 12.12; clarify the relocation provisions for substation and transmission
voltage facilities.
STAFF ANALYSIS
Staff has reviewed each proposed revision to Rule 12 Line Extension and found the
following:
. Sheet No. 12.2; the proposed rewording of the definition of Extension is clearer
than the previous definition. Staff believes that the addition of the word
facilities" does not contradict the definition of Extension and agrees that this
change is a clarification of the definition.
. Sheet No. 12.4; the proposed revision changes the refund policy for line
extensions. Staff believes that this is a material change should not be made in a
tariff advice.
. Sheet No. 12. 5; the proposed revision is the same as Sheet No. 12.4 for
consistency and again Staff believes it should not be made in a tariff advice.
. Sheet No. 12.6; Staff believes that this proposed revision appears to be a change
from the existing tariff which Staff believes will require additional clarification
and therefore, should not be made in a tariff advice.
. Sheet No. 12.7; Staff believes that this proposed revision appears to be a change
from the existing tariff which again Staff believes will require additional
clarification and therefore, should not be made in a tariff advice.
. Sheet No. 12.8; part of the proposed revision appears to be a change from the
existing tariff which again Staff believes will require additional clarification and
therefore, should not be made in a tariff advice. The other part of the revision is
a language change that allows developers to waive refunds that are less than 20%
oftheir refundable advance. Staff agrees that this revision is appropriate in a
tariff advice.
DECISION MEMORANDUM - 2 -AUGUST 29, 2008
. Sheet No. 12.12; the proposed additional language for Relocation of Facilities
adds clarity of handling the relocation of substation and transmission voltage
facilities. Staff agrees that this revision is appropriate in a tariff advice.
Staff has discussed with the Company the proposed revisions to Rule 12 Line Extension
regulation while Staff agrees with some of the proposed revisions, specifically in Sheet No. 12.2
12.4, 12., part of 12.8 and 12., the proposed revisions in Sheet No. 12.4 and 12.5 changes the
process of handling refunds and the impact on customers. Therefore, Staff believes the Tariff
Advice should be suspended to allow customers an opportunity to file comments on the changes.
The Company has agreed to work on these proposed revisions and other necessary changes to
add clarity to the tariff.
ST AFF RECOMMENDATION
Staff believes that some ofthe proposed revisions are reasonable. However, other
proposed revisions will affect some customers materially. Therefore, Staff believes customers
should have the opportunity to comment on the proposed changes. Staff recommends that this
tariff advice be suspended and processed under Modified Procedure.
COMMISSION DECISION
Does the Commission wish to suspend Tariff Advice No. 08-05 and proceed under
Modified Procedure?
TG/udmemos/rocky mountain power advice 08-
DECISION MEMORANDUM - 3 -AUGUST 29 , 2008