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HomeMy WebLinkAbout20240712Notice of Affiliate Transaction.pdf RECEIVED Friday, July 12, 2024 IDAHO PUBLIC UTILITIES COMMISSION Pacific Power Timothy K. Clark PAC I F I CORP. Rocky Mountain Power Assistant General Counsel 1407 W.North Temple,Suite 320 Salt Lake City, UT 84116 801-220-4565 Office Tim.Clark@pacificorp.com July 12, 2024 VIA ELECTRONIC FILING Idaho Public Utilities Commission 11331 West Chinden Boulevard Building 8 Suite 201A Boise, Idaho 83714-1021 Attention: Commission Secretary Re: PacifiCorp Notice of Affiliate Transaction—PacifiCorp and BNSF Railway Company Case No. PAC-E-05-8 Pursuant to Commitment I 17(2), incorporated in the Idaho Public Utilities Commission Order No.29973,issued February 13,2006,as supplemented by Order No.29998 March 14,2006, in the above-referenced proceeding, approving the acquisition of PacifiCorp by MidAmerican Energy Holdings Company, now Berkshire Hathaway Energy Company (`BHE"), PacifiCorp hereby provides notice of an affiliated interest transaction with the BNSF Railway Company (`BNSF"). PacifiCorp entered into an agreement with BNSF for a Consent, Non-Disturbance and Recognition Agreement(the "Agreement") that will benefit PacifiCorp and its customer Amazon Data Services, Inc. ("ADS"), an entity that is also a parry to the Agreement. ADS owns certain property in Umatilla County, Oregon. PacifiCorp has an exclusive easement for a substation and is acquiring other powerline easements on this ADS property. On land adjacent to the ADS property BNSF holds an existing lease for a microwave tower site, together with other rights, such as erecting and maintaining power line(s) over and across nearby lands including ADS property, along with the rights of ingress and egress. As such these BNSF senior rights could negatively affect PacifiCorp assets should BNSF choose to exercise them and make PacifiCorp move infrastructure. This Agreement is necessary then to secure BNSF's recognition of and commitment to not disturbing the rights of PacifiCorp and ADS. The attachment contains commercially sensitive information that could expose PacifiCorp and BNSF to competitive injury if disclosure is unrestricted. A true and correct copy of the proposed Agreement is included with this Notice as Confidential Attachment A and PacifiCorp requests that it be treated as confidential. PacifiCorp is a wholly-owned indirect subsidiary of BHE, which is a subsidiary of Berkshire Hathaway Inc. BNSF is also a subsidiary of Berkshire Hathaway Inc., thus creating an affiliated interest relationship between PacifiCorp and BNSF. Idaho Public Utilities Commission July 12, 2024 Page 2 Any compensation that BNSF may seek for consenting to the Agreement's terms ADS will be responsible for paying without recompense from PacifiCorp. Entering into the Agreement is in the public interest because it secures PacifiCorp ability to carry out work at the ADS property without undue interference or delays.Without the Agreement,PacifiCorp cannot reasonably assure it can meet its obligation to provide safe and reliable electric service. As the senior rights holder, BNSF is the only entity that can through the Agreement provide this assurance to PacifiCorp. Please do not hesitate to contact me if you have any questions. Sincerely, k Timothy K. Clark Assistant General Counsel PacifiCorp Enclosure: Confidential Attachment A.pdf CONFIDENTIAL ATTACHMENT A IS CONFIDENTIAL IN ITS ENTIRETY AND IS PROVIDED UNDER SEPARATE COVER