20241008PAC to Bayer 132 - 1st Supplemental.pdf

RECEIVED
Tuesday, October 08, 2024
IDAHO PUBLIC
UTILITIES COMMISSION
_ ROCKY MOUNTAIN
POWER
A DIVISION OF PACIFICORP
1407 W North Temple, Suite 330
Salt Lake City, Utah 84116
October 8, 2024
Monica Barrios-Sanchez
Commission Secretary
Idaho Public Utilities Commission
11331 W. Chinden Blvd.
Bldg. 8, Ste. 201-A
Boise, ID 83714
monica.barrio ssanchez(apuc.Idaho.gov
S ecretarygpuc.idaho.gov
RE: ID PAC-E-24-04
IPUC Set 8 (130-154)
Please find enclosed Rocky Mountain Power's I"Supplemental Response to IPUC 8a' Set Data
Request IPUC 132.
If you have any questions, please feel free to call me at(801)220-2313.
Sincerely,
/s/
Mark Alder
Manager, Regulation
Enclosures
C.c.: Eric L. Olsen/IIPA elokechohawk.com(C)
Lance Kaufman/IIPA lance(&aegisinsi hg t.com(C)
Matthew Nykiel/ICL matthew.nykiel&gmail.com
Brad Heusinkveld/ICL bheusinkveld(&idahoconservation.org
Thomas J. Budge/Bayer tj racineolson.com(C)
Brian C. Collins/Bayer bcollins(cr�,consultbai.com
Greg Meyer/Bayer gmeyerkconsultbai.com
Kevin Higgins/Bayer khiggins(&energystrat.com(C)
Neal Townsend/Bayer ntownsend(a,energystrat.com (C)
Ronald L. Williams/PIIC rwilliams(&hawleytroxell.com
Brandon Helgeson/PIIC bhel eg sonkhawleytroxell.com
Bradley Mullins/PIIC brmullins&mwanal)tics.com
Val Steiner/PIIC val.steiner(&itafos.com
Kyle Williams/PIIC williamskkbyui.edu

PAC-E-24-04/Rocky Mountain Power
October 8, 2024
IPUC Data Request 132- 15t Supplemental
IPUC Data Request 132
Please provide the following information for the "Gateway West Segment D.1"
project referenced by Company witness Vail at 22. Please include any available
workpapers with formulae intact. If any of the information requested below cannot be
provided or is not available, please explain why it is not available or cannot be
provided.
(a) Please provide a list of all the potential alternatives the Company considered to
fulfill the need and explain why the project was selected from among the
alternatives supported by the Company's economic analysis (costs and benefits)
comparing them.
(b) If a RFP or RFQ was submitted, please provide the following information:
i. A copy of the RFP or RFQ that was submitted;
ii. A detailed explanation of the selection process including the scorecard
and list of the criteria used to select the project;
iii. The short-list bidder scorecard; and
iv. A copy of the winning bid.
(c) Please provide the following related to completion of the project:
i. Evidence that the initial project plan and budget were approved at the
appropriate level;
ii. Baseline construction budget-to-actual comparison by WBS and by
year;
iii. Baseline construction schedule-to-actual comparison by WBS;
iv. For any budget-to-actual cost overages by major WBS category that is
over 5%, please explain the reason for the differences and provide
evidence that the amount was approved at the appropriate level; and
V. Please explain any slips in schedule from the baseline construction
schedule.
1st Supplemental Response to IPUC Data Request 132
Further to the Company's response to IPUC Data Request 132 dated August 29, 2024,
and in response to an inquiry from Idaho Public Utilities Commission (IPUC) staff,
the Company provides the following additional information responsive to subpart (c):
(c) Please refer to the Company's additional responses to subparts iii. through v.
below:
iii. "Substantial Completion" refers to when the project is built to the required
specification, all testing and commissioning is completed, and the project is
placed into service. Some activities, such as reclamation, finalizing as-built

PAC-E-24-04/Rocky Mountain Power
October 8, 2024
IPUC Data Request 132- 15t Supplemental
documentation, and closing out federal, state, and local permitting conditions
may continue for several months after the project is in service. For large
projects, such as Energy Gateway West Segment D.1, which spans hundreds of
miles and involves seasonal reclamation, full project completion may take up
to a year after substantial completion.
iv. Referring to appropriation request (APR) 94014580 that was approved in May
2024 and the $31.8 million of gross costs unbudgeted as mentioned on page 3
and page 6 of the APR 94014580, an explanation of the unbudgeted portions of
the project are provided on the second paragraph of the executive summary on
page 2 of APR 94014580. The Company has not completed a new present
value analysis of the project since September 2022. It is not the Company's
practice to conduct a new present value analysis with every APR. The purpose
of the financial analysis is to identify the solution to a given issue that has the
lowest present value cost to customers. Issues include accommodating
customer requests for new or increased service, expanding distribution and
transmission system capacity to meet increased load, or improving our
distribution and transmission system to reduce wildfire risk. Once an issue that
needs to be resolved is identified, a list of alternatives solving that issue is
prepared. A financial analysis is then prepared to identify which of the
proposed alternatives is the lowest cost from our customers' standpoint.
This project was substantially completed when APR 94014580 was approved
on May 16, 2024. The expected in-service date was in seven months and 90
percent of total project costs were spent. In this general rate case, the Company
refers to an earlier analysis to demonstrate that a financial analysis was
previously prepared to show the project was cost effective when the Company
made the decision to proceed.
V. Original milestones for the Energy Gateway West D.1 project included the
Windstar to Shirley Basin transmission line being placed into service in
December 2023 and the Dave Johnston to Shirly Basin transmission line being
substantially complete (placed into service) in October 2024. As explained in
the Company's original response to IPUC Data Request 132, due to
unexpected environmental constraints, access constraints, climatic conditions,
and supply chain delays the current schedule for the Dave Johnston to Shirley
Basin transmission line being placed into service is November 2024 and the
Windstar to Shirley Basin transmission line is on schedule to be place into
service December 2024.
Recordholder: Brandon Smith/Lori Rolow
Sponsor: Todd Jensen/Rick Vail