20040728min.doc

IDAHO PUBLIC UTILITIES COMMISSION

MINUTES OF DECISION MEETING

JULY 28, 2004 – 1:30 P.M.

In attendance were Commissioners Paul Kjellander and Marsha Smith. Commissioner Hansen was absent and excused.

The first order of business was approval of the CONSENT AGENDA, items 1—8. There were no questions or comments. Commissioner Kjellander made a motion to approve the Consent Agenda. A vote was taken on the motion and it carried unanimously.

The next order of business was MATTERS IN PROGRESS:

Lisa Nordstrom’s July 26, 2004 Decision Memorandum re: In the Matter of the Application of Avista Utilities for Authority to Increase Its Purchased Gas Cost Adjustment (PGA) Rate, Case No. AVU-G-04-2.

Ms. Nordstrom reviewed her Decision Memo. Commissioner Smith raised the question of whether or not to hold workshops. Commissioner Kjellander commented that after having just returned from North Idaho for the Avista rate case hearings, he didn’t think workshops would be of any value to the participants. He noted that people who showed up at the hearings were already aware that the PGA case had been filed. He said he was in favor of processing the case under modified procedure and if there is a request for workshops, then the Commission could reconsider. He made a motion to process the case under modified procedure with the intent that the Commission conduct workshops only if there are requests for them. A vote was taken on the motion and it carried unanimously.

Scott Woodbury’s July 22, 2004 Decision Memorandum re: 2003 Natural Gas Integrated Resource Plan (IRP), Case No. AVU-G-03-2 (Avista).

Mr. Woodbury reviewed his Decision Memo. Commissioner Smith made a motion to accept the 2003 Natural Gas Integrated Resource Plan but noted that she is very concerned by the Washington decision, which will cause the company to change the way it procures its gas. She stated she was especially concerned that the Washington decision may increase costs to customers here in Idaho, and the Company should be directed to provide whatever information Staff needs to track that possibility. A vote was taken on the motion and it carried unanimously.

Scott Woodbury’s July 22, 2004 Decision Memorandum re: Application for Amended Certificate, Boekel Estates Subdivision, Case No. DIA-W-04-1 (Diamond Bar Water).

Mr. Woodbury reviewed his Decision Memo. Commissioner Kjellander asked if Diamond Bar concurs with all of Staff’s recommendations. Mr. Woodbury confirmed that the company does concur with Staff. Commissioner Kjellander made a motion to approve Staff’s recommendations. A vote was taken on the motion and it carried unanimously.

The next order of business was RULEMAKING:

Beverly Barker’s July 26, 2004 Decision Memorandum re: Proposed Revisions to the Telephone Customer Relations Rules (IDAPA 31.21.01).

Ms. Barker reviewed her Decision Memo. In response to a question from Commissioner Kjellander, Ms. Barker clarified that Staff is proposing to work with Verizon on the wording of proposed Rule 308 to incorporate its concerns, and Staff will then incorporate those concerns in the Notice of Rulemaking that goes out in the October issue of the Administrative Bulletin. Commissioner Smith moved for approval of sending the revisions out for comment with the understanding that Staff is going to work with Verizon and the language in Rule 308 may be changed to accommodate the concerns we know of right now. A vote was taken on the motion and it carried unanimously.

Beverly Barker’s July 26, 2004 Decision Memorandum re: Proposed Revisions to the Utility Customer Relations Rules (IDAPA 31.21.01).

Ms. Barker reviewed her Decision Memo. There were no questions or comments. Commissioner Kjellander made a motion to move forward with the process for the proposed revisions. A vote was taken on the motion and it carried unanimously.

Don Howell’s July 26, 2004 Decision Memorandum re: Updating the Commission’s Gas Pipeline Safety Rule 201, Case No. 31-1101-0401.

Commissioner Kjellander confirmed that the changes were merely updates to match what was happening at the federal level. He made a motion to move forward with the rulemaking process. A vote was taken on the motion and it carried unanimously.

The only other items on the agenda were under FULLY SUBMITTED MATTERS and Commissioner Kjellander stated they would deliberate on those privately. He then adjourned the meeting.

DATED this ______ day of July, 2004.

_______________________________________
COMMISSION SECRETARY

1