20240813Decision Memo.pdf

DECISION MEMORANDUM
TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: ADAM TRIPLETT
DEPUTY ATTORNEY GENERAL
DATE: AUGUST 13, 2024
SUBJECT: IN THE MATTER OF AVISTA CORPORATION'S FIXED COST
ADJUSTMENT MECHANISM (FCA) ANNUAL RATE ADJUSTMENT;
CASE NO. AVU-E-24-08
On July 31, 2024, Avista Corporation ("Company") applied for (1) approval of Fixed
Cost Adjustment ("FCA") deferrals for July 1, 2023, through June 30, 2024; (2) authorization to
adjust its FCA rates for electric service from October 1, 2024, through September 30, 2025; and
(3) approval of its proposed corresponding modifications to tariff Sheet 75. The Company
proposes changing the FCA rate for the Residential Group (Schedule 1) from a present rebate
rate of 0.5400 to a rebate rate of 0.1290 per kilowatt-hour ("kWh") and changing the rate for the
Non-Residential Group (Schedules 11, 12, 21, 22, 31 and 32) present rebate rate of 0.048¢ to a
proposed surcharge rate of 0.004¢ per kWh. The Residential Group rate change represents a $5.6
million, or 3.8%, increase to Schedule 1 customers, and the Non-Residential group rate change
represents a $0.6 million, or .5% increase. If approved, the monthly bill of residential customers
using an average of 927 kWh per month would increase by $3.81. The Company requests that
the adjustment have an October 1, 2024, effective date and that the Commission process the
request under Modified Procedure.
STAFF RECOMMENDATION
Staff recommends the Commission issue a Notice of Application and Notice of Modified
Procedure establishing a September 10, 2024, public comment deadline, and a September 17,
2024, Company reply deadline.
DECISION MEMORANDUM 1

COMMISSION DECISION
Does the Commission wish to issue a Notice of Application and Notice of Modified
Procedure establishing a September 10, 2024, public comment deadline, and a September 17,
2024, Company reply deadline?
Adam Triplett
Deputy Attorney General
I:\Legal\ELECTRIC\AW-E-24-08_FCA\memos\AV UE2408_dec_at.doc
DECISION MEMORANDUM 2