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HomeMy WebLinkAbout20241211Decision Memo.pdf DECISION MEMORANDUM TO: COMMISSIONER ANDERSON COMMISSIONER HAMMOND COMMISSIONER LODGE COMMISSION SECRETARY COMMISSION STAFF LEGAL FROM: ADAM TRIPLETT DEPUTY ATTORNEY GENERAL DATE: DECEMBER 11, 2024 SUBJECT: IN THE MATTER OF ROCKY MOUNTAIN POWER'S APPLICATION FOR AUTHORITY TO INCREASE ITS RATES AND CHARGES IN IDAHO; CASE NO. PAC-E-24-04. On May 31, 2024, PacifiCorp dba Rocky Mountain Power ("Company") applied for authority to increase its Idaho jurisdictional revenue requirement by $92.4 million, or approximately 26.8 percent. Order No. 36229. The Company proposes increasing its revenue requirement by $66.7 million, or 19.4 percent, effective January 1, 2025, with a second increase of$25.7 million, or 7.4 percent, effective January 1, 2026. On June 20, 2024, the Commission issued a Notice of Application, and a Notice of Intervention Deadline. Order No. 36229. P4 Production, LLC, an affiliate of Bayer Corporation ("Bayer"), Idaho Conservation League ("ICL"), Idaho Irrigation Pumpers Association, Inc. ("IIPA"), and PacifiCorp Idaho Industrial Customers ("PIIC") (the "Intervenors") intervened in the case. See Order Nos. 36240 & 36253.1 On September 25, 2024, Staff notified the Commission that the parties intended to enter settlement discussions with the intent to resolve the outstanding issues in the case. See IDAPA 31.01.01.271 through .277. On November 22, 2024, the Commission issued Order No. 36364, establishing the following schedule: 1 ICL filed a notice of withdrawal from this case on November 14, 2024, and was not involved in settlement discussions. DECISION MEMORANDUM 1 Staff/Intervenor Prefile Testimony for parties December 12, 2024 Customer Hearing December 16, 2024 Company Rebuttal Testimony January 7, 2025 Technical Hearing January 21-24, 2025 On October 24, 2024, the parties began settlement discussions. See Rules 271 through 277 of the Commission's Rules of Procedure, IDAPA 31.01.01.271-.277. SETTLEMENT AND STIPULATION On December 6, 2024, the Company filed a Stipulation and Settlement ("Settlement") signed by Bayer, IIPA, PIIC, the Company, and Staff—all the parties who actively engaged in settlement negotiations. See IDAPA 31.01.01.056, .272, and .274. The parties agree that the Settlement resolves the outstanding issues in this case. STAFF RECOMMENDATION Staff recommends the Commission issue a Notice of Proposed Settlement and amend the schedule in this proceeding. The existing deadline for Staff and the Intervenor's Prefile Testimony deadline is too close for the parties to prepare testimony to support the Settlement. Additionally, the Company's rebuttal testimony is no longer necessary as all parties that have not noticed their withdrawal from the proceeding support the proposed Settlement. Accordingly, Staff recommends that the Commission vacate the December 12, 2024, deadline for Staff/Intervenor Prefile Testimony and the January 7, 2025, rebuttal testimony deadline. In lieu of the two existing testimony deadlines, Staff recommends the Commission establish a single December 19, 2024, deadline for all parties to file testimony in support of the Settlement. Staff also recommends that the Commission keep the customer hearing scheduled for December 16, 2024. Staff further recommends that the Commission vacate the Technical Hearing scheduled to begin on January 21, 2024, and reset it for one day, commencing on January 9, 2025. Finally, Staff recommends that the Commission accept public comments until January 9, 2025. In Sum, having consulted with the parties, Staff recommends the following schedule: Customer Hearing December 16, 2024 Testimony In Support December 19, 2024 Technical Hearing January 9, 2025 Customer Comment Deadline January 9, 2025 DECISION MEMORANDUM 2 COMMISSION DECISION Does the Commission wish to: 1. Issue a Notice of Proposed Settlement? 2. Amend the procedural schedule as described above,providing notice as appropriate? Adam Triplett Deputy Attorney General L\LegahELECTRIC\PAC-E-24-04_rates\memos\PACE2404_dec3_at.doc.docx DECISION MEMORANDUM 3