20250228AVU to Staff 5 Attachment A - 2023 OR 1st Qtr - Combined.pdf

ORDER NO. 23-018
ENTERED Feb 01 2023
BEFORE THE PUBLIC UTILITY COMMISSION
OF OREGON
UM 2211
In the Matter of
PUBLIC UTILITY COMMISSION OF
OREGON, ORDER
Implementation of House Bill 2475.
DISPOSITION: REQUEST FOR PAYMENT OF HB 2475 GRANTS APPROVED
On October 24, 2022, Community Action Partnership of Oregon (CAPO) filed a request
for partial payment of$14,077.50 as itemized in its request for partial payment of eligible
expenses in docket UM 2211 from the PacifiCorp, dba Pacific Power; Portland General
Electric Company(PGE); Northwest Natural Gas Company, dba NW Natural; Idaho
Power Company; Cascade Natural Gas Corporation; and Avista Corporation, dba Avista
Utilities HB 2475 Grant Funds.
CAPO's budget of$16,100 for this proceeding was approved in Order No. 22-369. As
stated in the agreement approved in Order No. 22-043 in section 3(b):
In order to receive payment of the HB 2475 Grant Funds approved by the
Commission and available under this Agreement, Recipient must submit a
request for payment("Request for Payment") to the Commission with a copy
sent to the Utility. The request may be made at any time during this
Proceeding but no later than 60 days after the Commission's final order issued
in this Proceeding. The Request for Payment must:
(1) Itemize the expenses, payees and hourly rates for amounts to
be reimbursed, including billing details, and including
separately identified amounts for consultant or expert witness
fees and travel expenses;
(2) Demonstrate that the expenses are reasonable and are directly
attributable to issues and positions pursued on behalf of a
particular customer class and consistent with the intervenor's
proposed budget;
(3) Specify whether the Request for Payment is for a progress
payment or final payment in full.

ORDER NO. 23-018
In filings, CAPO has supplied all information necessary to meet this requirement. No
party provided a response to CAPO's request. I approve CAPO's request for payment
consistent with Order No. 21-213.
ORDER
IT IS ORDERED that:
I. Community Action Partnership of Oregon has met the requirements of the interim
funding agreement approved in Order No. 22-043, and its request for partial
payment of$14,077.50 is approved.
2. PacifiCorp, dba Pacific Power, pay$3,989.56 from the PacifiCorp HB 2475 Grant
Fund to Community Action Partnership of Oregon within 30 days after receipt of
this Order, and the grant be assessed to PacifiCorp's residential customers.
3. Portland General Electric Company, pay$3,988.16 from the PGE HB 2475 Grant
Fund to Community Action Partnership of Oregon within 30 days after receipt of
this Order, and the grant be assessed to PGE's residential customers.
4. Northwest Natural Gas Company, dba NW Natural,pay$3,988.16 from the
NW Natural HB 2475 Grant Fund to Community Action Partnership of Oregon
within 30 days after receipt of this Order, and the grant be assessed to
NW Natural's residential customers.
5. Idaho Power Company, pay$703.88 from the Idaho Power HB 2475 Grant Fund
to Community Action Partnership of Oregon within 30 days after receipt of this
Order, and the grant be assessed to Idaho Power's residential customers.
6. Avista Corporation, dba Avista Utilities, pay$703.88 from the Avista Utilities
HB 2475 Grant Fund to Community Action Partnership of Oregon within 30 days
after receipt of this Order, and the grant be assessed to Avista Utilities' residential
customers.
2

ORDER NO. 23-018
7. Cascade Natural Gas Company,pay$703.88 from the Cascade Natural Gas
HB 2475 Grant Fund to Community Action Partnership of Oregon within 30 days
after receipt of this Order, and the grant be assessed to the residential customers
of Cascade Natural Gas.
Made, entered, and effective Feb 1,2023
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Nolan Moser
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A party may request rehearing or reconsideration of this order under ORS 7 56.561. A
request for rehearing or reconsideration must be filed with the Commission within 60 days
of the date of service of this order. The request must comply with the requirements in
OAR 860-001-0720. A copy of the request must also be served on each party to the
proceedings as provided in OAR 860-001-0180(2). A party may appeal this order by filing
a petition for review with the Court of Appeals in compliance with ORS 183.480 through
183.484.
3

ORDER NO. 23-019
ENTERED Feb 01 2023
BEFORE THE PUBLIC UTILITY COMMISSION
OF OREGON
AR 652
In the Matter of
PUBLIC UTILITY COMMISSION OF
OREGON, ORDER
Rulemaking Regarding Intervenor Funding.
DISPOSITION: REQUEST FOR PAYMENT OF HB 2475 GRANTS APPROVED
On December 9, 2022, Community Energy Project (CEP) filed a request for final
payment of$6,900 of eligible expenses in docket AR 652 from the HB 2475 Grant
Funds.
CEP's budget of$6,900 for this proceeding was approved in Order No. 22-365. As
stated in the agreement approved in Order No. 22-043 in section 3(b):
In order to receive payment of the HB 2475 Grant Funds approved by the
Commission and available under this Agreement, Recipient must submit a
request for payment("Request for Payment") to the Commission with a copy
sent to the Utility. The request may be made at any time during this
Proceeding but no later than 60 days after the Commission's final order issued
in this Proceeding. The Request for Payment must:
(1) Itemize the expenses,payees and hourly rates for amounts to
be reimbursed, including billing details, and including
separately identified amounts for consultant or expert witness
fees and travel expenses;
(2) Demonstrate that the expenses are reasonable and are directly
attributable to issues and positions pursued on behalf of a
particular customer class and consistent with the intervenor's
proposed budget;
(3) Specify whether the Request for Payment is for a progress
payment or final payment in full.
In public and confidential filings, CEP has supplied all information necessary to meet this
requirement. No party provided a response to CEP's request. I approve CEP's request
for payment consistent with Order No. 21-213.

ORDER NO. 23-019
ORDER
IT IS ORDERED that:
1. Community Energy Project has met the requirements of the interim funding
agreement approved in Order No. 22-043, and its request for full payment of
$6,900 is approved.
2. PacifiCorp, dba Pacific Power, pay$1,955.46 from the PacifiCorp HB 2475 Grant
Fund to Community Energy Project within 30 days after receipt of this Order, and
the grant be assessed to PacifiCorp's residential customers.
3. Portland General Electric Company pay$1,954.77 from the PacifiCorp HB 2475
Grant Fund to Community Energy Project within 30 days after receipt of this
Order, and the grant be assessed to PGE's residential customers.
4. Northwest Natural Gas Company, dba NW Natural,pay$1,954.77 from the
NW Natural HB 2475 Grant Fund to Community Energy Project within 30 days
after receipt of this Order, and the grant be assessed to NW Natural's residential
customers.
5. Idaho Power Company pay$345.00 from the Idaho Power HB 2475 Grant Fund
to Community Energy Project within 30 days after receipt of this Order, and the
grant be assessed to Idaho Power's residential customers.
6. Avista Corporation, dba Avista Utilities,pay$345.00 from the Avista Utilities
HB 2475 Grant Fund to Community Energy Project within 30 days after receipt
of this Order, and the grant be assessed to the residential customers of Avista
Utilities.
2

ORDER NO. 23-019
7. Cascade Natural Gas Company pay$345.00 from the Cascade Natural Gas
HB 2475 Grant Fund to Community Energy Project within 30 days after receipt
of this Order, and the grant be assessed to the residential customers of Cascade
Natural Gas.
Made, entered, and effective Feb i,2023
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Nolan Moser
°F*oxEGc� Chief Administrative Law Judge
A party may request rehearing or reconsideration of this order under ORS 756.561. A request
for rehearing or reconsideration must be filed with the Commission within 60 days of the date
of service of this order. The request must comply with the requirements in OAR 860-001-
0720. A copy of the request must also be served on each parry to the proceedings as provided
in OAR 860-001-0180(2). A party may appeal this order by filing a petition for review with
the Court of Appeals in compliance with ORS 183.480 through 183.484.
3

ORDER NO. 23-033
ENTERED Feb 08 2023
BEFORE THE PUBLIC UTILITY COMMISSION
OF OREGON
UM 2211
In the Matter of
PUBLIC UTILITY COMMISSION OF ORDER
OREGON,
Approval of Agreement for HB 2475
Intervenor Funding.
DISPOSITION: ADMINISTRATIVE HEARINGS DIVISION'S
RECOMMENDATION ADOPTED
At its public meeting on February 7, 2023, the Public Utility Commission of Oregon
adopted the Administrative Hearings Division's recommendation in this matter. The
report with the recommendation is attached as Appendix A.
BY THE COMMISSION:
X ITY CO Nolan Moser
v Chief Administrative Law Judge
OF*OREGG�
A party may request rehearing or reconsideration of this order under ORS 756.561. A
request for rehearing or reconsideration must be filed with the Commission within 60 days
of the date of service of this order. The request must comply with the requirements in
OAR 860-001-0720. A copy of the request must also be served on each parry to the
proceedings as provided in OAR 860-001-0180(2). A party may appeal this order by filing
a petition for review with the Circuit Court for Marion County in compliance with ORS
183.484.

ORDER NO. 23-033
ITEM NO. RA1
PUBLIC UTILITY COMMISSION OF OREGON
PUBLIC MEETING REPORT
PUBLIC MEETING DATE: February 7, 2023
REGULAR X CONSENT EFFECTIVE DATE N/A
DATE: February 1, 2023
TO: Public Utility Commission
FROM: Nolan Moser SIGNEu
THROUGH: Diane Davis
SUBJECT: ADMINISTRATIVE HEARINGS DIVISION:
Docket No. UM 2211 — Commissioner Work Session
Approval of Agreement for HB 2475 Intervenor Funding
STAFF RECOMMENDATION:
Approve the attached agreement for funding for environmental justice and low-income
organizations consistent with House Bill (HB) 2475 (2021). Approve the cost recovery
provision of the agreement as described in this report and Exhibit 1 of the agreement
and direct the Administrative Hearings Division (AHD) to propose rules for adoption
through a formal rulemaking in docket AR 652.
DISCUSSION:
Issue
Whether the Commission should approve Attachment 1 to this report as an agreement
negotiated by Rogue Climate; VERDE; the Community Energy Project (CEP); Portland
General Electric Company (PGE); PacifiCorp, dba Pacific Power; Northwest Natural
Gas Company, dba NW Natural; Idaho Power Company; Avista Corporation, dba Avista
Utilities; and Cascade Natural Gas Corporation. Whether the Commission should
approve cost recovery agreements negotiated by the parties outlined in this report and
Exhibit 1 of the agreement, and whether the Commission should complete a formal
rulemaking reflecting and implementing the terms of the agreement.
Applicable Rule or Law
On September 25, 2021, HB 2475 was enrolled into state law. As enrolled, HB 2475
took effect January 1, 2022. HB 2475 is legislation with two components. One
APPENDIX A
Page 1 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 2
component is designed to address issues associated with energy burden, and it permits
utilities and the Commission to take action to relieve energy burden for certain classes
of customers. The second component of the legislation provides for the Commission to
administer intervenor funding agreements that public utilities may enter into with two
distinct groups of advocates; those representing "environmental justice communities"
and "low-income communities."
Sections (3) and (4) expand the types of entities that are eligible for intervenor funding
under ORS 757.072(1). The intervenor funding statute passed in 2001 provides that an
energy utility may enter into a written agreement with organizations that represent
"broad customer interests in regulatory proceedings" to govern the manner in which
financial assistance may be provided to the organization. HB 2475 expands eligibility
for such funding to include organizations that represent the interests of:
1) Low-income residential customers; and
2) Residential customers that are members of environmental justice communities
HB 2475 requires the PUC to determine, by rule, the qualifications for determining
which organizations are eligible for financial assistance and limits the amount of new
funding to $500,000 annually. The PUC is required to establish a process for
organizations to access financial assistance and must evaluate and approve intervenor
funding agreements. ORS 757.072(4) provides that, for all financial assistance under
the intervenor funding law, the Commission shall allow the public utility to recover such
financial assistance in rates.
Analysis
Interim Agreement
On February 8, 2022, through Order No.22-043, the Commission approved a form of an
interim agreement for intervenor funding. The intent of this interim agreement was to
provide for immediate support for eligible organizations, while allowing a longer period
to develop a permanent agreement between public utilities and advocate organizations.
PGE, PacifiCorp, NW Natural, Avista, Idaho Power, and Cascade all agreed to utilize
the standard form interim funding agreement. These agreements are bilateral contracts
that are signed between the utility and individual organizations. The interim agreement
included the following core elements: the filing of an intent to pursue funding with
information to explain the eligibility of proceeding for funding and the organization under
the legislation; the filing of budgets, approval of eligibility and budgets; and
disbursement of funds.
APPENDIX A
Page 2 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 3
AHD has worked over the last year to implement this agreement, and to date has
processed six requests, resulting in approvals for $44,207.50 of funding for activity in
2022. Currently, three requests are pending under the interim agreement with a total
value of$16,925.
In Order No. 22-043, the Commission recognized that the Coalition of Communities of
Color (CCC), Rogue Climate, the Community Action Partnership of Oregon (CAPO) and
the CEP were all eligible for funding under the agreement and statute.
Development of Permanent Agreement
Following Commission approval of the interim agreement, AHD convened a large group
of advocates interested in HB 2475 funding.' With that group, AHD discussed how
negotiations would be conducted with utilities. Independently, AHD also reviewed the
conduct of negotiations with utilities. Ultimately, we decided upon the following
structure:
1) Negotiations would be conducted with all utilities simultaneously, with the goal of
developing a comprehensive, single agreement applicable to all utilities;
2) Given the time and effort necessary to negotiate an agreement, advocates would
volunteer as lead negotiators. Ultimately, Rogue Climate, VERDE, and CEP
volunteered for this role;
3) Periodically, particularly where there were significant questions worthy of broader
input, the smaller group of lead advocate negotiators would convene the larger
group of all interested advocates to gather feedback on such questions in order
to have negotiation positions informed by a larger universe of advocates;
4) The Oregon Citizens' Utility Board (CUB) agreed to support the negotiation by
providing expertise on issues associated with historical intervenor funding; and
5) AHD would convene and facilitate the negotiation, produce agreement drafts and
other meeting materials.
Over the course of 2022, the negotiation progressed according to the above structure.
Initial conversations focused on broad principles for each side and how we would
translate those principles into priorities in the agreement. Many principles were agreed
to or not opposed by both sides to the negotiation.
For example, both sides agreed that accountability for organizations receiving funding
was important, for similar reasons—utilities seek to be good stewards of customer
funds, and advocate organizations agree that demonstrating and documenting proper
Note that HB 2475 funding has been referred to as intervenor funding, but in the agreement that term is
abandoned as the eligible proceedings for funding go beyond those in which a party must intervene.
Instead, the agreement refers to"Justice Funding" in general and the Pre-certification and Case Funds as
described in this report.
APPENDIX A
Page 3 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 4
use of funds is something well managed organizations do as a matter of course. Both
sides agreed that requiring this is part of a healthy program and will be important for
demonstrating its effectiveness.
Additionally, parties agreed that the new process should be more user-friendly than the
current intervenor funding process, with the opportunity for funding certain portions of
the financial assistance to operate more as grants with reporting requirements, than as
direct reimbursement for past spending. The financial conditions to which non-profit
organizations are subject was an important topic of conversation and led to the
development of several provisions in the agreement that aim to accommodate
organizational needs.
After broad principles were reviewed, a draft straw agreement was produced, and
principles were reflected in a written agreement. Following this, negotiation sessions
were held throughout the year where specific language or sections were proposed and
reviewed by the parties, or proposed and drafted by AHD, as reflections of compromise.
Ultimately, parties came to an agreement in principle in late 2022, and final drafting was
completed early this year.
Key Provisions
Below we highlight several key provisions of the agreement which illustrate how it will
function and how it reflects the priorities of the parties to the agreement.
Pre-certification and Case Fund
To allow particularly active organizations to plan their engagement with the
Commission, have more flexibility, and accommodate non-profit financial realities a Pre-
certification Fund is part of the agreement. Through this fund, qualified Pre-certified
organizations can request and receive funds that effectively operate as multi-subject
grants that allow activity in a variety of dockets without individual requests in each
docket.
Organizations that are not Pre-certified will have access to the Case Fund. Similar to
our current intervenor funding agreement, groups will apply to utilize the Case Fund by
docket. But unlike our current system, the Case Fund may operate as a partial grant.
Specifically, up to 50 percent of the funds of a budget approved by the Commission may
be advanced by the utility, so that the recipient can better financially manage its
participation in dockets.
APPENDIX A
Page 4 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 5
Distribution of Funds and Annual Rollover
Parties agreed to the following split between utilities in the agreement:
NW Natural PacifiCorp PGE Idaho Avista Cascade
Power
Pre-certification $85,000 $85,000 $85,000 N/A N/A N/A
Fund 60%
Case Fund $56,667 $56,667 $56,667 $25,000 $25,000 $25,000
40%
A balance in any of the fund accounts that is unused in any year will be carried over at
the end of the calendar year and made available subject to a cap that the amount
carried over may not exceed the annual amount allocated to such fund account. If
Pre-certification Fund monies are not exhausted, they may be added to the Case Fund.
Eligibility
To be eligible for either a Pre-certification Fund grant or a Case Fund grant an
organization must make a request to the Commission. The request must include the
following elements.
1) An explanation of how the organization meets these qualifications:
a. The organization represents the interests of low-income residential
customers or Environmental Justice Communities, and participation in
proceedings will be primarily directed at public utility issues affecting those
interests, including but not limited to interests in utility rates and terms and
conditions of service, interests in the cost of access and impact from the
delivery of services, interest in utility programs, and interest in utility
resource planning;
b. The organization indicates the particular Environmental Justice
Community or low-income customers it represents and demonstrates that
it is able to effectively represent them;
c. The organization demonstrates that it is able to effectively represent or
develop advocacy positions benefitting or informed by the Environmental
Justice Community or low-income customers, in the service area of each
utility for which funding is sought and demonstrates how it will identify the
issues or advocacy positions that are important to them; and
d. Where applicable, the organization has demonstrated in past Commission
matters the ability to substantively contribute to the record on behalf of
such interests.
2) The application must identify the matter or matters in which the applicant intends
to participate, the nature of that participation, and why these matters are Eligible
Proceedings;
APPENDIX A
Page 5 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 6
3) The Participating Public Utility account or accounts from which the applicant
seeks funds; and
4) A budget showing estimated Eligible Expenses, which may include the cost for
appropriate support staff and operational support; a budget showing estimated
consultant fees, expert witness fees, or contractor costs, which also may include
the cost for appropriate support staff and operational support.
In review of the request, the Commission may, but is not obligated to consider any of
the following:
1) The breadth and complexity of the issues or the importance of community
participation;
2) The degree to which any policy issues affect the interests of low-income
residential customers or the interests of residential customers that are members
of Environmental Justice Communities;
3) The proposed budget;
4) Whether the organization has significant ties to the Environmental Justice
Community or low-income customers in the service area of each utility for which
pre-certification or funding from a Case Fund is sought;
5) The qualifications of the applicant and experience before the Commission; and
6) The level of available funding available under the agreement.
Importantly, pre-certification requests are subject to a restriction under the agreement
on the number of grantees in a given year, which cannot exceed five. Additionally,
applications for pre-certification in 2023 must be filed with the Commission no later than
April 3 of this year. On a forward going basis, applications must be filed no later than
November 10, meaning that for 2024 applications must be received by November 10,
2023.
Support for Coalition Work
To facilitate efficient use of funds for spending on resources, such as expert witnesses
or contractors, the agreement contemplates, and AHD encourages, groups to work
together in coalitions when participating at the Commission. The agreement specifically
encourages organizations to make all reasonable efforts to enter into agreements with
each other at any time, including before submitting proposed budgets or after receiving
Case Fund Grants, and to combine efforts and resources in a case.
Clarification of Eligible Expenses
The agreement provides more explicit examples of activity that qualifies as an Eligible
Expense under the agreement than is present in past intervenor funding agreements.
What qualifies as an Eligible Expense is more expansive and includes more categories
of eligible activities, which, in particular, will help smaller organizations because the
APPENDIX A
Page 6 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 7
work they need to do develop the capacity to participate at the Commission is now
explicitly captured in Eligible Expenses. Eligible Expenses include the following-
1) Actual attorney and consultant fees, whether in-house or for outside services,
directly attributable to participation in the proceeding;
2) Expert witness fees and expenses;
3) Apportioned wages for in-house staff (professional and clerical) and operational
support directly related to participation in the proceeding;
4) The cost of investigations and of preparing and copying studies, data request
responses and other discovery materials, exhibits, testimony, briefs, and other
filings in the proceeding;
5) Travel costs directly related to participation in the proceeding;
6) Costs of acquiring studies or supplies directly related to the proceeding or court
report fees and transcripts;
7) Costs associated with subcontractors for eligible activities;
8) Costs of participation in workshops and other informal Commission activities prior
to the institution of an Eligible Proceeding; and
9) Cost of contractors conducting activities that would otherwise constitute an
eligible expense under this definition had they been directly incurred by the
Grantee, including but not limited to, community consultant fees and expenses
for education, organization, preparation for and/or facilitation of community
members' participation in proceedings or an individual community member's
participation in a proceeding.
Cost Recovery
The agreement includes as appended exhibits a series of provisions that are not
incorporated in the body of the agreement, but that the parties agree should be included
in rules. As a condition precedent to the agreement, utilities request that the
Commission approve the following cost recovery language, adoption of which is
recommend as part of this report.
The Commission shall allow the Participating Public Utilities to recover in
rates all amounts paid for Justice Funding Grants under this Agreement.
If a Participating Public Utility seeks rate recovery through a deferred
account, the account and amortization of the account shall be exempt
from the amortization caps and earnings test set forth in subsections 5, 6,
7, 8 and 10 of ORS 757.259, as such subsections may be amended from
time to time, and shall not be included in any calculation of the
amortization cap for other deferred accounts. Amounts in any deferred
account under this Section will include carrying costs at the Participating
Public Utility's authorized cost of capital. If the applicable Eligible
Proceeding results in a change of rates Case Fund Grants should be
APPENDIX A
Page 7 of 38

ORDER NO. 23-033
Docket No. UM 2211
February 1, 2023
Page 8
incorporated into rates at the same time as the rate change is made. For
Case Fund Grants that are not recovered in the Eligible Proceeding in
which the funds were expended or in the case of the recovering of Pre-
certification Grants, the timing and amortization period for recovering of
such Justice Funding Grants will be left to the discretion of the
Participating Public Utility, subject to Commission approval. The
Commission will make a determination as to how to recover the Justice
Funding Grants and Pre-certification fund grants from the various
customer classes of the affected Participating Public Utility or Utilities.
Next Steps
Having completed negotiation of the agreement, our next step in the process is to
develop and propose rules in docket AR 652 reflecting the content of the agreement.
AHD plans to put rules before the Commission by or before early March with an
objective of putting rules for adoption by the Commission in April or early May.
To ensure that stakeholders are aware of the agreement, AHD is planning several
stakeholder trainings, which will include review and discussion of the HB 2475 funding
process and funding opportunity. AHD will develop and post to the Commission's
website process information, summaries, guidelines, and template documents that
stakeholders may utilize as they seek funding.
Conclusion
AHD would like to thank the representatives of Rogue Climate, VERDE, CEP, PGE,
PacifiCorp, NW Natural, Idaho Power, Avista, and Cascade for their hard work and the
many hours they put into developing this agreement. AHD would also like to thank CUB
for its valuable support in developing practical solutions to issues in the context of the
negotiation.
PROPOSED COMMISSION MOTION:
Approve the agreement of Rogue Climate, VERDE, CEP, PGE, PacifiCorp, NW Natural,
Idaho Power, Avista, and Cascade attached to this report as Attachment 1; approve the
cost recovery statement reflected in this report and Exhibit 1 of the agreement; and
direct AHD to propose rules for adoption through a formal rulemaking in docket AR 652.
APPENDIX A
Page 8 of 38

UM 2211
Attachment 1
Page 1 of 30 ORDER NO. 23-033
ENVIRONMENTAL JUSTICE COMMUNITIES
FUNDING AGREEMENT
This Environmental Justice Communities (Justice Community) Funding Agreement
(Agreement), effective as of February 8, 2023, (the "Effective Date"), is by and among
PacifiCorp, dba Pacific Power; Portland General Electric Company(PGE); Northwest Natural
Gas Company, dba NW Natural; Idaho Power Company; Avista Corporation, dba Avista
Utilities; Cascade Natural Gas Company; Community Energy Project(CEP); Rogue Climate;
and Verde (individually, a"Party" and collectively, the "Parties").
Recitals
Whereas the parties wish to enter into this Agreement as a financial assistance agreement under
ORS 757.072 to provide resources and support for organizations seeking to participate at the
Oregon Public Utility Commission(Commission);
Whereas the parties understand that the Coalition of Communities of Color, Verde, Rogue
Climate, the Community Action Partnership of Oregon and CEP are organizations that the
Commission has found to be qualified organizations under ORS 757.072, subsections 1 and 2;
Whereas the parties to this Agreement find that its provisions should be reflected and adopted by
the Commission in order, administrative rules, and procedure.
Article 1
Definitions
(a) "Case-certified Organization"means an organization the Commission has
designated as meeting the requirements of Section 6.1 of this Agreement;
(b) "Case Fund" is a Participating Utility fund that is available to a Case-certified
organization to reimburse or grant to fund activity in a specific case-certified
matter;
(c) "Eligible Expenses" are expenses for which Eligible Recipients may request
payment of consistent with Section 7.4 of this Agreement;
(d) "Eligible Proceedings" are proceedings which the Commission has determined
meet the requirements of Sections 6.2 of this Agreement;
(e) "Eligible Recipient"means an organization that represents the interests of low-
income residential customers or of customers that are members of Environmental
Justice Communities as described in statute and that meets the criteria specified
below in Sections 5.3 and 6.1 of the Agreement;
(f) `Environmental Justice"means equal protection from environmental and health
hazards and meaningful public participation in decisions that affect the
environment in which people live, work, learn,practice spirituality and play;
(g) `Environmental Justice Community or Communities" includes communities of
color, communities experiencing lower incomes, tribal communities, rural
APPENDIX A
Page 9 of 38

UM 2211
Attachment 1
Page 2 of 30 ORDER NO. 23-033
communities, coastal communities, communities with limited infrastructure and
other communities traditionally underrepresented in public processes and
adversely harmed by environmental and health hazards, including but not limited
to seniors, youth, and persons with disabilities;
(h) "Justice Funding Grants" are grants made subject to this Agreement;
(i) "Pre-certification Fund"is a Participating Utility fund that is available to a Pre-
certified Organization to reimburse or grant to fund activity in an Eligible
Proceeding;
(j) "Pre-certified Organization"means an organization that the Commission has
determined meets the eligibility criteria under ORS 757.072(2)(a)(B) and(C) and
Section 5.2.1 of this Agreement;
(k) "Participating Public Utility or Utilities"means NW Natural, PacifiCorp,PGE,
Cascade, Avista, or Idaho Power; and
(1) "Public Utility" shall have the meaning set forth in ORS 757.005.
Article 2
Term
The Agreement shall be effective beginning on the Effective Date of this Agreement and shall
continue in effect until December 31, 2024, unless terminated earlier pursuant to the terms of
Article 8 of this Agreement(the "Term").
Article 3
Condition Precedent and Recommended Rules
The obligations and rights of the Parties under this Agreement are subject to the condition
precedent that the Commission issue an order: (i) approving this Agreement without material
modifications, (ii) finding that the HB 2475 (2021) intervenor funding program implemented
through the Agreement serves low-income residential customers and Environmental Justice
Communities and is in the public interest, (iii) that the Coalition of Communities of Color,
Verde, Rogue Climate, the Community Action Partnership of Oregon and CEP are organizations
that the Commission has found to be qualified organizations under ORS 757.072, subsections 1
and 2 and (iv) adopting the cost recovery provisions set forth in Exhibit 1 of this Agreement.
To further implement this Agreement, the Parties recommend that the Commission adopt final
rules that include the provisions in Exhibit 2 of this Agreement.
Article 4
Scope
4.1 General
Justice Funding Grants will be made available pursuant to the terms of this Agreement to support
Eligible Recipients' activities before the Commission. Justice Funding Grants will not be made
available for proceedings involving telecommunications utilities, water utilities, or wastewater
utilities unless the proceedings relate to one or more of the Participating Public Utilities.
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4.2 Funds and Accounts
There shall be established two funds from which Justice Funding Grants can be made under this
Agreement: a Pre-certification Fund and a Case Fund, as each is defined below("Fund(s)"). The
sum of all Funds shall not exceed$500,000 annually, unless reflected in an amendment to this
Agreement. Accounts for the Funds shall be established for each of the Participating Public
Utilities. For each calendar year during the term of this Agreement, the following amounts shall
be made available in each account:
NW PacifiCorp PGE Idaho Avista Cascade
Natural Power
Pre-certification $85,000 $85,000 $85,000 N/A N/A N/A
Fund 60%
Case Fund 40% $56,667 $56,667 $56,667 $25,000 $25,000 $25,000
For each remaining calendar year during the Term, annual amounts for each Case Fund and each
Pre-certification Fund shall be the same as the amount shown above for the calendar year 2023.
Such amounts reflect the annual amount made available in each account(the "Annual Grant
Amount"). During the Term, the Annual Grant Amounts shown and as calculated above may be
supplemented or adjusted to reflect rollovers or advances pursuant to the terms of Sections 4.3
and 4.4 below.
4.2.1 Pre-certification Fund
This fund will be established for use by Pre-certified Organizations for Eligible Expenses as
described in Section 7.4 arising from their representation of utility customers as provided by
ORS 757.072(2)(a)(B), (C) in regulatory proceedings before the Commission. Pre-certification
Fund grant recipients may not use grants from the Pre-certification Fund for political activities or
fund raising, or complaint proceedings before the Commission. There will be three
Pre-certification Fund accounts, one each for NW Natural, PacifiCorp, and PGE.
4.2.2 Case Fund
There shall be six Case Fund accounts, one for each of the Participating Public Utilities. For
each calendar year during the Term of this Agreement, the Annual Grant Amount for each Case
Fund account shall be the amount shown in Section 4.2 above. The Case Fund accounts may be
supplemented pursuant to the terms set forth in Section 4.3 below. The Commission will
authorize Case Fund Grants pursuant to the criteria and process set forth in Article 6 and
Article 7 below. Case Fund Grants shall be limited to the amount available in the Case Fund
account from which funding is sought. A Case Fund Grant may be used by organizations
certified in Eligible Proceedings for Eligible Expenses as described in Section 7.4 arising from
their representation of utility customers as provided by ORS 757.072(2)(a)(B), (C) in regulatory
proceedings involving the Participating Utility for the applicable Case Fund account. For
example, Case Fund Grants from the PGE Case Fund account may be used solely to pay Eligible
Expenses for Eligible Proceedings involving PGE. Any organization that is pre-certified or case-
certified will be eligible to apply for Case Fund Grants. The Commission shall review such
applications using the criteria set forth in Article 6 below. Pre-certified organizations are eligible
for Case Fund Grants.
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4.3 Rollover
A balance in any of the Fund accounts that is unused in any year during the Term of the
Agreement will be carried over at the end of the calendar year and made available for use in
succeeding years, subject to the limitations identified in this Section 4.3 (the "Rollover"). The
amount of the annual Rollover shall not exceed the Annual Grant amount associated with the
applicable account set forth in Section 4.2 of this Agreement. For example, no more than
$25,000 may be rolled over in one year in Cascade's Case Fund account and no more than
$85,000 may be rolled over from year to subsequent year for PGE's Pre-certification Fund
account. Notwithstanding up to seventy percent of any balance remaining in any of the
Pre-Certified funds after the annual grants are approved and excluded as allocated may be used
to Case Fund Grants for that calendar year after approval of a request to rollover these by the
Commission. Amounts available in a Pre-certification Fund for a calendar year excluding any
post annual pre-certified grant award Case Fund Grants shall continue to be shown as available
into the subsequent year. The Rollover from year-end balances in a Pre-certification Fund shall
be determined after December 31 of the subsequent year.
4.4 Advance
A request to use in any calendar year during the Term amounts that would otherwise be available
in the Case Fund accounts in the next year(an"Advance")will not be available from the Case
Fund. However, the Commission may approve a Case Fund Grant from funds that will be made
available in the next calendar year when the proceeding for which the Case Fund Grant is sought
is expected to continue into that year and funds in the current year Case Fund are inadequate to
provide the level of Case Fund Grants that the Commission determines is appropriate.
Pre-certified Organizations may request, and the Commission may grant, an Advance from the
Pre-certification accounts in the next year, subject to the limitations identified in this Section and
Sections 7.1 and 7.2 of the Agreement.
4.5 Unused Balances
The unused balances in Fund accounts shall be eliminated upon the termination of this
Agreement(whether as a result of a termination pursuant to Section 8.1 below or at the end of
the Term), except that certain expenditures incurred pursuant to a Commission-authorized Justice
Funding Grant awarded before termination may be reimbursed according to the terms specified
in Section 8.3 below.
Article 5
Pre-certification Eligibility and Procedure
5.1 General
No more than five eligible organizations will be pre-certified each year. Only organizations that
are pre-certified will be eligible to receive Pre-certification Fund grants. Pre-certified
organizations and organizations who become case-certified for a particular proceeding, will be
eligible to receive Case Fund Grants.
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5.2 Pre-certification Process
The Commission will provide the opportunity to submit applications for pre-certification and
Pre-certification Fund grants at least once every 12 months during the Term of the Agreement.
Beginning in 2023, applications must be filed no later than April 3, 2023 and applications for the
subsequent year must be filed no later than November 10. Notice of a pre-certification request
must be served on all parties to this agreement as well as any Pre-Certified Organizations from
the previous year, a list of which will be published on the Commission's website. Pre-
certification requests must include the following elements:
(a) The application must identify why the applicant meets the eligibility criteria set
forth below in Section 5.3;
(b) The application must identify the matters in which the applicant intends to
participate, the nature of that participation, and why these matters are Eligible
Proceedings;
(c) The Participating Public Utility account or accounts from which the applicant
seeks funds; and
(d) A budget showing estimated Eligible Expenses, which may include the cost for
appropriate support staff and operational support; a budget showing estimated
consultant fees, expert witness fees, or contractor costs, which also may include
the cost for appropriate support staff and operational support.
Any person may provide a response to an application within 14 days of the filing of the request.
Within 45 days of receiving a pre-certification application, the Commission will make best
efforts to review the sufficiency of the request and act upon it. The Commission may approve or
deny, in whole or in part, the application based on any of the following factors:
(a) The breadth and complexity of the issues or the importance of community
participation;
(b) The degree to which any policy issues affect the interests of low-income
residential customers or the interests of residential customers that are members of
Environmental Justice Communities;
(c) The proposed budget;
(d) The eligibility criteria to which the applicant is subject;
(e) The qualifications of the applicant and experience before the Commission; and
(f) The level of available Pre-certified Funds under consistent with this Agreement.
The Commission may not approve a pre-certification request if approval would cause all
Pre-certification Funding Grants provided consistent with this Agreement to exceed the
Pre-certification Fund accounts identified in Section 4.2 above.
Once pre-certified, an organization will remain pre-certified for one year unless the Commission
terminates the pre-certification under Section 8.1 of this Agreement.
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5.3 Pre-certification Grant Eligibility
The Commission may pre-certify not for profit organizations that meet all of the following
criteria as eligible to receive Justice Funding Grants in proceedings concerning the Participating
Utility or Utilities for which it seeks pre-certification:
(a) The organization represents the interests of low-income residential customers or
Environmental Justice Communities, and participation in proceedings will be
primarily directed at public utility issues affecting those interests, including but
not limited to interests in utility rates and terms and conditions of service,
interests in the cost of access and impact from the delivery of services, interest in
utility programs, and interest in utility resource planning;
(b) The organization indicates the particular Environmental Justice Community or
low-income customers it represents and demonstrates that it is able to effectively
represent them;
(c) The organization demonstrates that it is able to effectively represent or develop
advocacy positions benefitting or informed by the Environmental Justice
Community or low-income customers, in the service area of each Participating
Utility for which pre-certification is sought and demonstrates how it will identify
the issues or advocacy positions that are important to them; and
(d) Where applicable, the organization has demonstrated in past Commission matters
the ability to substantively contribute to the record on behalf of such interests.
In determining whether to pre-certify not for profit organizations that meet the above criteria, the
Commission may also consider whether the organization has significant ties to the
Environmental Justice Community or low-income customers in the service area of each
Participating Public Utility for which pre-certification is sought.
5.4 Pre-certified Grantee Budget Amendment
A Precertification Fund grant recipient may file to amend its budget for good cause. Any request
for amendment must meet all applicable requirements under Section 5.2 of this Agreement. The
Commission may seek additional information concerning a budget amendment. The
Commission will make best efforts to act upon the request within 21 days of receiving the
proposed amendment or, if applicable, any supplemental information provided in response to the
Commission's request. Any person may provide a response to a proposed amendment within
14 days of the filing of the request.
The Commission may amend an approved pre-certified grantee budget if it finds that the
approved budget is no longer warranted. If the Commission amends an approved budget, it will
provide notice to the Precertification Fund Grant recipient and afford an opportunity to comment
and provide a revised budget.
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Article 6
Case Fund Grant Request Procedure
6.1 Case Fund Grant Eligibility
Organizations meeting all of the following criteria may be case-certified by the Commission to
be eligible to receive a Case Fund Grant:
(a) The organization represents the interests of low-income residential customers or
Environmental Justice Communities, and participation in proceedings will be
primarily directed at public utility issues affecting those interests, including but
not limited to interests in utility rates and terms and conditions of service,
interests in the cost of access and impact from the delivery of services, interest in
utility programs, and interest in utility resource planning;
(b) The organization indicates the particular Environmental Justice Community or
low-income customers it represents and demonstrates that it is able to effectively
represent them;
(c) The organization demonstrates that it is able to effectively represent or develop
advocacy positions benefitting or informed by the Environmental Justice
Community or low-income customers, in the service area of each Participating
Utility for which pre-certification is sought and demonstrates how it will identify
the issues or advocacy positions that are important to them;
(d) And where applicable the organization has demonstrated in past Commission
matters the ability to substantively contribute to the record on behalf of such
interests; and
(e) In contested case proceedings, the organization demonstrates that its request for
case-certification will not unduly delay the schedule of the proceeding
In determining whether organizations that meet the above criteria should be case certified and
eligible to receive a Case Fund Grant, the Commission may also consider whether the
organization has significant ties to the Environmental Justice Community or low-income
customers in the service area of each Participating Public Utility for which a Case Fund Grant is
sought.
6.2 Eligible Proceedings.
Requests for a Case Fund Grant may be made only in an Eligible Proceeding for Case Funds.
Eligible Proceedings include proceedings before the Commission that affect a Participating
Public Utility, its customers and its Environmental Justice Communities including, but not
limited to: named, non-docketed Commission led processes,rulemakings, contested cases,
declaratory ruling proceedings, contested case proceedings (e.g. rate cases), integrated resource
plans and updates, distribution management planning, depreciation dockets, deferrals for projects
or pilots and design and implementation of differential rates, the Energy Trust's budget and
planning process, and power or purchased gas adjustments; but they do not include a complaint
proceedings initiated or caused to be initiated by the Grantee.
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6.3 Notice of Intent to Request a Case Fund Grant and Case-Certification
Any potential grantee seeking a Case Fund Grant must file a Notice of Intent to request a Case
Fund Grant("Notice of Intent") when it submits its petition to intervene or notice of participation
in the matter or, for matters that do not involve a formal intervention, at such other time as the
Commission designates. The Notice of Intent must identify why the applicant meets the
eligibility criteria and why the matter is an Eligible Proceeding (or identify any prior order
deeming the organization an Eligible grantee and/or deeming the proceeding a Justice Grant
Eligible Proceeding). The Notice of Intent must be served on each affected Participating Public
Utility, all Pre-certified Organizations, and all parties of record in the proceeding or, if no such
list has been established, to such other persons as the Commission designates. The Notice of
Intent must identify the Participating Public Utility account or accounts from which the
intervening party intends to request a Case Fund Grant. An organization that is not pre-certified
must apply for case-certification on or before the time it submits its Notice of Intent. The
Commission will make all reasonable efforts to act on requests for case-certification at least
14 days before the time set for pre-certified and case-certified organizations to submit Proposed
Budgets. To help the Commission rule on a motion for case-certification, the Commission may
request that parties or participants in the matter to provide a response to the Notice of Intent on
whether the application meets the requirements set forth in Section 6.1 or 6.2. Regardless of any
request for response from the Commission, any party or participant in the matter may provide a
response to a request for Case Fund certification within 14 days of the filing of the request.
6.4 Proposed Budgets
Case Fund certified organizations must submit to the Commission a Proposed Budget("Proposed
Budget") for a Case Fund Grant for its participation in an Eligible Proceeding. The Proposed
Budget must include:
(a) A statement of work to be performed by the recipient for which the recipient is
seeking funding;
(b) A description of the areas or issues to be investigated and addressed by the
recipient;
(c) A budget showing estimated Eligible Expenses, which may include the cost for
appropriate support staff and operational support;
(d) A budget showing estimated consultant fees and expert witness fees, which may
include the cost for appropriate support staff and operational support;
(e) A description of the low-income customers or Environmental Justice
Communities that will benefit from the recipient's participation; and
(f) A description of the Participating Public Utility account or accounts from which
the applicant seeks funds and how the initial payment should be apportioned.
A Proposed Budget must be filed 30 days after the organization and the proceeding have been
certified for Justice Fund funding or by such other date as the Commission designates.
Within 30 days of receiving a Proposed Budget in an Eligible Proceeding, the Commission will
make best efforts to review the sufficiency of the request and act upon it. The Commission may
approve or deny, in whole or in part, an applicant's Proposed Budget based on any of the
following factors:
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(a) The proposal is not consistent with the breadth and complexity of the issues;
(b) The degree to which any policy issues affect the interests of low-income
residential customers or the interests of residential customers that are members of
Environmental Justice Communities; (c)the procedural schedule;
(d) The dollar magnitude of the issues at stake;
(e) The qualifications of the party and experience before the Commission;
(f) The level of available Case Funds remaining for the year; and
(g) Other Eligible Proceedings in which other Eligible Recipients may seek additional
funds consistent with ORS 757.072(2)(c).
The Commission may not approve a Proposed Budget if approval would cause all Funding
Grants consistent with ORS 757.072(2)(c)to exceed the cap identified in Section 4.2 above.
Proposed Budgets shall be served by filing through the Commission's docket notification system
on the Commission, the affected Participating Utility, and all parties of record in the proceeding.
It shall be served by email on any Pre-certified Organization not of record in the proceeding, and
such other persons as the Commission designates. An applicant may submit a combined
Proposed Budget for related proceedings that are being considered concurrently by the
Commission. In proceedings with multiple phases, Proposed Budgets should encompass work to
be performed for the initial phase of the proceeding. In the event the proceeding continues
beyond the initial phase, the Commission will establish a schedule for recipients to submit
Proposed Budgets for any later phase(s) of the proceeding. If the recipient expects to incur
Eligible Expenses in an Eligible Proceeding for Case Funds in more than one calendar year,the
Proposed Budget may seek a Case Fund Grant from funds that will be made available in the next
calendar year subject to Section 4.4 of this Agreement. In such cases, the Proposed Budget
should identify the amount of funds requested from each year's fund. Any party or participant in
the matter may provide a response to a Proposed Budget within 14 days of the filing of the
request.
6.4.1 Additional Information
The Commission may seek additional information concerning Proposed Budgets. The
Commission will make best efforts to act upon proposed funding budgets, within 21 days of
receiving the Proposed Budgets or, if applicable, any supplemental information provided in
response to the Commission's request.
6.5 Commission Decision
If the Commission receives one or more Notices of Intent and one or more Proposed Budgets,
then the Commission will determine the amount, if any, of Case Fund Grants that will be made
available for the Eligible Proceeding and the allocation of that amount among the applicants.
The Commission may make these determinations based upon the following factors:
(a) The breadth and complexity of the issues;
(b) The significance of any policy issues;
(c) The procedural schedule;
(d) The dollar magnitude of the issues at stake;
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(e) The participation of other organizations that adequately represent the interests of
customers;
(f) The amount of funds being provided by the applicant organization;
(g) The qualifications of the organization and experience before the Commission;
(h) The level of available funds in the Fund account or accounts involved; and
(i) Other Eligible Proceedings in which organizations may seek additional Case Fund
Grants from the same Fund account or accounts.
The Commission may deny, in whole or in part, a request for a Case Fund Grant based on the
above criteria and requirements. The Commission may place reasonable conditions on Case
Fund Grants. Except as provided in this Section, a Case Fund Grant approval shall constitute a
binding obligation on the Commission to order reimbursement of Eligible Expenses subject to
satisfaction of any conditions imposed on the Case Fund Grant and the requirements set forth in
Sections 7 and 8 below. Eligible Expenses incurred or accrued before any Commission budget
amendment will be reimbursed according to the terms set forth in Section 7 below.
6.6 Cooperation
Pre-certified and case-certified parties are encouraged to make all reasonable efforts to enter into
agreements with each other at any time, including before submitting Proposed Budgets or after
receiving Case Fund Grants, to combine their efforts and resources in a case. Such cooperative
efforts shall not affect the amount of their Case Fund Grants.
6.7 Amendment of Case Budgets
At any time during a proceeding, a recipient may file to amend its budget and request additional
funding due to unforeseen changes in the scope or complexity of issues,positions taken by other
parties, changes in the schedule of the case, or other good cause. Grantees with approved
budgets in multiple dockets may request to reallocate approved amounts between dockets by
filing a request in both dockets. Such a request must identify the previously approved budget
amounts, the Amended Proposed Budget amounts for each docket after reallocation of funds, and
explain the purpose for the requested reallocation. Any request for amendment/reallocation must
meet all applicable requirements under Section 6.4 and Section 4.2.2 of this Agreement. The
Commission may seek additional information concerning a Proposed Budget amendment. The
Commission will make best efforts to act upon the request within 21 days of receiving the
proposed amendment or, if applicable, any supplemental information provided in response to the
Commission's request. Any party or participant in the matter may provide a response to a
proposed amendment within 14 days of the filing of the request.
The Commission may amend an approved Budget if it finds that there has been a material change
in the breadth and complexity of the issues, the significance of the policy issues, or the dollar
magnitude at stake, such that the initial approved Budget is no longer warranted. If the
Commission amends an approved Budget, it will provide notice to the recipient and afford an
opportunity to comment and provide a revised budget. A Commission amendment of an
approved Budget shall take effect on a prospective basis only.
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6.8 Case Fund Grantees' Report
On or before each April 1 during the term of this Agreement, each Case-Fund recipient who had,
during the prior calendar year, a continuing or newly approved Case Fund Grant or pending
Proposed Budget for an Case Fund Grant request shall provide a report the Administrative
Hearings Division showing, as of December 31 of the prior calendar year for each Case Fund,
their budget request pending approval, approved budget amounts, requested payments,payments
received, amounts actually spent on expenses described in budgets for proceedings in which the
intervenor received an Case Fund Grant, and a statement indicating whether any of their
approved budget amounts for an Case Fund Grant may be released back to the applicable Case
Fund because the grantee does not intend to use the full approved amount.
6.9 Pre-certified Grantees' Report
Each August 1 during the Term, Pre-certified Organizations will provide the Administrative
Hearings Division a statement setting forth the manner in which the Pre-certification Fund Grant
was spent or intends to be spent, including information sufficient to show that the funds were
spent in a manner consistent with the terms of Article 4 and Article 5 above, whether a Request
for Payment for remaining amounts has been filed, the remaining amount outstanding and
whether the remaining amount or any initial amount will be released back to the fund. Each
Pre-certified Organization will serve a copy of the report it provides under this Section on the
applicable Participating Public Utility or Utilities.
Article 7
Payment of Grants
7.1 Payment of Pre-certification Fund Grants
Upon Commission approval of a Pre-certified Fund grant, the Participating Public Utilities shall
pay the amounts granted pursuant to Commission order. The Participating Public Utilities shall
pay the amount authorized by the Commission no later than 30 days after receipt of the
Commission directive.
7.2 Case Fund Grant Payment
In order to receive payment of an Case Fund Grant, an grantee must submit a request for
payment of Eligible Expenses to the Commission and serve a copy on the Participating Public
Utility from whose account payment is to be made (a"Request for Payment"). A Request for
Payment or notice of release of funds may be made at any time during an Eligible Proceeding,
after the Commission has approved the applicable Proposed Budget under Section 6 above, but
grantees should file the request for payment and/or notice of release no later than November 17th,
at which time the Commission shall issue a final notice to grantees requiring all requests for
payment and/or notice of release by December 15th. Grantees who fail to file a request for
payment or notice of release by December 15th will be deemed to have released any remaining
allocated funds back to the applicable Case Fund. The Request for Payment must:
(a) Itemize the expenses, payees and hourly rates for amounts to be reimbursed,
including billing details, and including separately identified amounts for
consultant or expert witness fees and travel expenses;
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(b) Demonstrate that the expenses are reasonable and are directly attributable to
issues and positions pursued on behalf of low-income residential customers or
Environmental Justice Communities and consistent with the grantee's Proposed
Budget;
(c) Provide information sufficient to show that the grantee has complied with any
condition or requirement of the Case Fund Grant; and
(d) Specify whether the request for payment is for a progress payment or final
payment in full and indicate whether any approved budget amount may be
released back to the applicable Case Fund because the grantee does not intend to
request payment for the full approved budget amount.
A request for payment under this section may be made prior to the completion of the activity to
be performed consistent with an approved budget; provided that any request for payment prior to
completion of the activity may not exceed 50 percent of the applicable approved budget.
7.3 Limits on Use of Budgetimg Information. Information presented in Proposed Annual
Budgets for Pre-Certified Grants, in the annual reports under Section 6.9 of this Agreement and
in the Request for Payment Reports may be provided by Grantees or Eligible Recipients directly
to the Administrate Hearings Division with copies served upon the relevant Participating Public
Utilities and may be designated as confidential and protected from public disclosure by the
Commission to the maximum extent possible under the Oregon Public Records Law
(ORS 192.410 et. seq.). Such confidential designation shall not excuse service of information
covered by this Section 7.3 on the applicable Participating Public Utility or prevent the
applicable Participating Public Utility from reviewing the requests, budgets or reports
Participating Public Utilities will abide by the confidentiality obligations set forth in any order
approving budgets. The parties acknowledge, however,that the information may be assimilated
for purpose of the Commission's reporting duty pursuant to Section 4 of HB 2475.
7.4 Eligible Expenses
Grantee expenses eligible for funding under a Justice Funding Grant ("Eligible Expenses") will
include:
(a) Actual attorney and consultant fees, whether in-house or for outside services,
directly attributable to participation in the proceeding;
(b) Expert witness fees and expenses;
(c) Apportioned wages for in-house staff(professional and clerical) and operational
support directly related to participation in the proceeding;
(d) The cost of investigations and of preparing and copying studies, data request
responses and other discovery materials, exhibits, testimony, briefs and other
filings in the proceeding;
(e) Travel costs directly related to participation in the proceeding;
(f) Costs of acquiring studies or supplies directly related to the proceeding or court
report fees and transcripts;
(g) Costs associated with subcontractors for eligible activities;
(h) Costs of participation in workshops and other informal Commission activities
prior to the institution of an Eligible Proceeding; and
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(i) Cost of contractors conducting activities that would otherwise constitute an
eligible expense under this definition had they been directly incurred by the
Grantee, including but not limited to, community consultant fees and expenses for
education, organization,preparation for and/or facilitation of community
members' participation in proceedings or an individual community member's
participation in a proceeding.
7.5 Commission Review and Action
Any person may provide a response to a Request for Payment of a Case Fund Grant or
Pre-certification Fund Grant within 14 days of the filing of the request. Within 30 days of
receiving a Request for Payment of a Case Fund Grant or Pre-certification Fund Grant, the
Commission will make best efforts to review the sufficiency of the request and act upon it. The
Commission may disallow a request for payment, in whole or in part, if it determines that the
request seeks reimbursement for expenses that are not Eligible Expenses or expenses that are
inconsistent with the Grantee's Case Fund Grant or Pre-certification Fund Grant or any
conditions placed on the Case Fund Grant or Pre-certification Fund Grant. The Commission will
notify the grantee submitting a Request for Payment and the Participating Public Utility from
whose account payment is requested, of the amount of payment approved and the Fund account
or accounts from which payment is to be made. The Commission may not award a Request for
Payment in excess of the amount of the applicable Case Fund Grant or Pre-certification Fund
Grant, including any budget amendments approved by the Commission.
7.6 Participating Public Utilities' Payment of Justice Funding Grants
The Participating Public Utility or Utilities will pay grantees the Justice Funding Grants as
directed by the Commission pursuant to Section 7.5 above. Such payment(s) shall be made
within 30 days of receiving the notice of the relevant directives from the Commission.
Article 8
Termination
8.1 Termination
A Party may terminate this Agreement if any one or more of the following events occur:
(a) In an order,the Commission rejects all or a material part of this Agreement or
adds a condition that has a material effect on the terms and conditions of this
Agreement;
(b) The Commission either repeals or amends: (i) a material part of the cost recovery
provision in Exhibit 1, or(ii) does not substantially adopt the recommended rules
in Exhibit 2 within 6 months of the Parties' executing the Agreement;
(c) There is a repeal or material change in the statutory provision enabling Justice
funding;
(d) Any of the following are enacted through legislation, ballot measure or formal
action of the Commission:
(1) An alternative funding program affecting one or more of the Participating
Pubic Utilities;
(2) Changes in the method by which Public Utilities recover expenses
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incurred in regulatory proceedings if such changes prohibit or limit a
Public Utility's ability to recover such expenses through rates;
8.2 Notice
A Party terminating this Agreement shall give the other Parties and the Commission 30 days
advance written notice. Such termination will become effective only upon a determination by
the Commission that the Party has a valid basis pursuant to Section 8.1 above to terminate the
Agreement. A notice under this Section shall not terminate the rights and obligations among the
remaining Parties under this Agreement.
8.3 Discharge of Obligations Upon Termination
If this Agreement is terminated pursuant to this Article, the terminating Parry shall be released
and discharged from any obligations arising or accruing under this Agreement from and after the
date of such termination. Termination of this Agreement(under this Section or at the end of the
Term of this Agreement) shall not discharge or relieve any Party from any obligations or
liabilities which may have accrued under the terms of this Agreement before such termination.
In particular, the Commission shall require the Participating Public Utility or Utilities to pay
Eligible Expenses incurred under a Commission-authorized Justice Funding Grant that was
awarded before the date of termination, subject to satisfaction of the requirements of Section 7 of
this Agreement. The Commission shall permit Participating Public Utilities to recover in rates
any such authorized expenditures. If any Participating Public Utility has not recovered all of its
payments of Justice Funding Grants under this Agreement by the end of the Term or the date on
which the Agreement is terminated, the Commission shall permit the Participating Public Utility
to recover such amounts after the Term of this Agreement or after the termination date.
Article 9
Miscellaneous
9.1 Dispute Resolution
The Parties agree to confer and make a good faith effort to resolve any dispute arising under this
Agreement before bringing an action or complaint to the Commission or any court with respect
to such dispute. Parties are encouraged to utilize the Commission's Alternative Dispute
Resolution rules at OAR Chapter 860 Division 2.
9.2 Parties' Cooperation and Support
The Parties shall file this Agreement with the Commission. The Parties agree to support this
Agreement before the Commission and before any court in which the Agreement is considered.
The Parties agree to support the Commission's adoption and issuance of rules necessary to
implement the terms of this Agreement.
9.3 Enforcement and Jurisdiction
The Parties agree that the Commission may enforce the terms of the Agreement in the same
manner as the enforcement of a Commission order. To the extent the Commission lacks
authority to enforce or compel performance of particular terms of this Agreement, the Parties
14
APPENDIX A
Page 22 of 38

UM 2211
Attachment 1
Page 15 of 30 ORDER NO. 23-033
may seek enforcement in a court of competent jurisdiction of the State of Oregon. The
jurisdiction over this Agreement of the Commission and the courts in the State of Oregon shall
be exclusive.
9.4 Jury Waiver
To the fullest extent permitted by law, each of the Parties waive any right it may have to a trial
by jury in respect of litigation directly or indirectly arising out of, under or in connection with
this agreement. Each Party further waives any right to consolidate, or to request the
consolidation of, any action in which a jury trial has been waived with any other action in which
a jury trial cannot be or has not been waived.
9.5 Counterparts
The Agreement may be signed electronically and in any number of counterparts, each of which
will be an original for all purposes, but all of which taken together will constitute only one
agreement.
9.6 Entire Agreement
Except to the extent a Party may have entered into an Interim Intervenor Funding Agreement
pursuant to ORS 757.072 this Agreement supersedes any and all oral or written agreements and
understandings made relating to HB 2475 funding and Justice Funding Grants to be made
available by the Participating Public Utilities and constitutes the entire agreement and
understanding of the Parties.
9.7 Successors
The terms and provisions of this Agreement and the respective rights and obligations of the
Parties under this Agreement shall be binding upon and inure to the benefit of the Parties and
their respective successors.
9.8 No Agency
This Grant Agreement shall not be deemed to create any relationship of agency, partnership, or
joint venture between the parties hereto.
9.9 No Assignment
The benefits and obligations of this Agreement may not be assigned or transferred without the
written consent of each of the other Parties and Commission approval.
9.10 Good Faith and Fair Dealing
The Parties agree to act in good faith in all actions taken under this Agreement.
9.11 Amendments
No amendment or modification of the terms of this Agreement shall be binding on any Party
unless reduced to writing and signed by all Parties.
15
APPENDIX A
Page 23 of 38

UM 2211
Attachment 1
Page 16 of 30 ORDER NO. 23-033
9.12 Governing Law
This Agreement shall be governed and construed in accordance with the laws of the State of
Oregon, without regard to principles of choice of law.
16
APPENDIX A
Page 24 of 38

UM 2211
Attachment 1
Page 17 of 30 ORDER NO. 23-033
Exhibit 1: Cost Recovery
Recovery of Justice Funding Grants
The Commission shall allow the Participating Public Utilities to recover in rates all amounts paid
for Justice Funding Grants under this Agreement. If a Participating Public Utility seeks rate
recovery through a deferred account, the account and amortization of the account shall be
exempt from the amortization caps and earnings test set forth in subsections 5, 6, 7, 8 and 10 of
ORS 757.259, as such subsections may be amended from time to time, and shall not be included
in any calculation of the amortization cap for other deferred accounts. Amounts in any deferred
account under this Section will include carrying costs at the Participating Public Utility's
authorized cost of capital. If the applicable Eligible Proceeding results in a change of rates Case
Fund Grants should be incorporated into rates at the same time as the rate change is made. For
Case Fund Grants that are not recovered in the Eligible Proceeding in which the funds were
expended or in the case of the recovering of Pre-certification Grants, the timing and amortization
period for recovering of such Justice Funding Grants will be left to the discretion of the
Participating Public Utility, subject to Commission approval. The Commission will make a
determination as to how to recover the Justice Funding Grants and Pre-certification fund grants
from the various customer classes of the affected Participating Public Utility or Utilities.
17
APPENDIX A
Page 25 of 38

UM 2211
Attachment 1
Page 18 of 30 ORDER NO. 23-033
Exhibit 2: Provisions Which Parties Recommend be Reflected in Rules or Commission Order
1 Utility Cost Allocation
In a proceeding involving more than one Participating Public Utility, the Commission will
apportion the payment among the affected Participating Public Utilities. Criteria for making this
allocation may include the relative gross revenue of the utilities, load, or other such factors as the
Commission determines to be relevant to the particular matter. Payment will be apportioned to
Avista, Cascade, and Idaho Power solely for Case Fund Grants for matters affecting low-income
residential customers or Environmental Justice Communities in the respective service area. Case
Fund Grants used to advocate positions on behalf of low-income residential customers or
Environmental Justice Communities may be assessed as determined by the Commission.
2 Audits
The Commission may audit the relevant records allowed by law of a Recipient as necessary to
verify the accuracy of the information provided by a Recipient.
3 Delegation
The Commission may delegate its authority set forth in Sections 4.3, 7.5 and 7.6 to any
Commission employee or category of employees. If the Commission delegates this authority,
the delegate's decisions may be appealed to the Commission.
4 Termination of Eligibility_
Upon the filing of a complaint pursuant to ORS 756.500 or upon a Commission investigation or
motion pursuant to ORS 756.515, the Commission may terminate the pre-certification or case-
certification of an eligible entity, grantee or applicant if it finds that:
(a) The organization has committed fraud, misrepresentation, or misappropriation
related to a Justice Funding Grant;
(b) In a proceeding before the Commission for which Justice Funding Grants were
awarded to the organization, and the organization has consistently failed to
represent the interests of the Environmental Justice Community that the
organization purported to represent in its application for pre-certification;
(c) The organization has failed to comply with Commission orders or rules in
material ways;
(d) The organization no longer meets the criteria established in the applicable funding
agreement.
5 Effect of Termination of Eli ig bility
In the event of termination of the pre-certification or case -certification of an organization, such
termination shall take effect on a prospective basis only. Organizations that have been
decertified may not receive Justice Funding Grants. Organizations that have been decertified
may recover Eligible Expenses incurred pursuant to a Commission authorized Justice Funding
Grant and incurred before decertification, subject to satisfaction of the requirements for payment
of grants set forth in a Commission authorized Funding Agreement.
18
APPENDIX A
Page 26 of 38

UM 2211
Attachment 1
Page 19 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC DAy PACIFICORP
COMPANY DW
45;�—
By: Brett Sims By:
Its: Vice President Strategy Regulation& Its:
Energy Supply
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 27 of 38

Attachment 1 ORDER NO. 23-033
Environmental Justice Communities 2023-2024
Funding Agreement - HB 2475
Final Audit Report 2023-01-31
Created: 2023-01-31
By: Megan Billinger([e-mail])
Status: Signed
Transaction ID: CBJCHBCAABAAh4b48SrRS70Ci6nhVzung22wl5e2ghsB
"Environmental Justice Communities 2023-2024 Funding Agree
ment - HB 2475" History
�..s Document created by Megan Billinger([e-mail])
r_
2023-01-31 -0:00:09 AM GMT
Document emailed to David White ([e-mail])for approval
2023-01-31 -0:01:02 AM GMT
Email viewed by David White ([e-mail])
2023-01-31 -0:12:55 AM GMT
David White([e-mail]) has agreed to the terms of use and to do business electronically with
PORTLAND GENERAL ELECTRIC CO
2023-01-31 -0:14:07 AM GMT
Document approved by David White ([e-mail])
Approval Date:2023-01-31 -0:14:07 AM GMT-Time Source:server
Document emailed to Brett Sims([e-mail])for signature
2023-01-31 -0:14:08 AM GMT
Email viewed by Brett Sims([e-mail])
2023-01-31 -1:29:57 AM GMT
>, Brett Sims ([e-mail]) has agreed to the terms of use and to do business electronically with
PORTLAND GENERAL ELECTRIC CO
2023-01-31 -1:55:02 AM GMT
Document e-signed by Brett Sims ([e-mail])
Signature Date:2023-01-31 -1:55:02 AM GMT-Time Source:server
Powered by
/Portfand General Adobe APPENDIX A
�/ Electric Acrobat Sign Page 28 of 38

U
Attachment 1
A�AAAI&Q%ted. ORDER NO. 23-033
2023-01-31 -1:55:02 AM GMT
Powered by
/Portland General Adobe APPENDIX A
�/ Electric Acrobat Sign Page 29 Of 38

UM 2211
Attachment 1
Page 22 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By: Matthew McVee
Its: Its: Vice President, Regulatory Policy
and Operations
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 30 of 38

UM 2211
Attachment 1
Page 23 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPA CORPORATION
By: 4ft4 K tZ By:
Its: v P,a e&Q Lk-r0l2-j Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 31 of 38

UM 2211
Attachment 1
Page 24 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATIOIIN
By: By: Lori A. Blattner
Its: Its: Director, Regulatory Affairs
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
APPENDIX A
Page 32 of 38

UM 2211
Attachment 1 23-033
Page 25 of 30 ORDER NO.
IN WITNESS WHEREOF. the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: Bv:
Its: Its:
AVISTA UTILITIES 1DAHO POWER COMPANY
Y �, / c �� B
Its: v r Its:
� -'-1 � �1-f/�
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 33 of 38

UM 2211
Attachment 1
Page 26 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER C PANY
By: By; r Timothy E.Tatum
Its: Its: Vice President of Regulatory Affairs
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROGUE CLIMATE
By:
Its:
19 APPENDIX A
Page 34 of 38

UM 2211
Attachment 1
Page 27 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF,the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
6, i0-e-i7 y Fair
By: Charity Fain By:
Its: Executive Director Its:
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 35 of 38
Doc ID: 1662a010dc631260f1837ac130a1bOc4b1ae0f78

UM 2211
Attachment 1 23-033
of. 0 ORDER NO.
� r���S ��` Audit trail
ritle FINAL AGREEMANT FOR EXECUTION - HB 2475 Funding
File name Draft HB 2475 Fin...OR EXECUTION.docx
Document ID 1662a010dc631260f1837ac130a1 b0c4b1 ae0f78
Audit trail date format MM/DID/YYYY
Status Signed
Document History
01 /30/2023 Sent for signature to Charity Fain
SENT 18:42:59 UTC ([e-mail])from
[e-mail]
P: 172.56.153.143
01 /30/2023 Viewed by Charity Fain ([e-mail])
VIEWED 18:43:17 UTC IP: 24.21.10.117
01 /30/2023 Signed by Charity Fain ([e-mail])
SIGNED 18:43:43 UTC IP: 24.21.10.117
C✓ 01 /30/2023 The document has been completed.
COMPLETED 18:43:43 UTC
Powered by X Dropbox Sikh
APPENDIX A
Page 36 of 38

UM 2211
Attachment 1
Page 29 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By: Candace Avalos
Its: Its: Executive Director
ROGUE CLIMATE
By:
Its:
19
APPENDIX A
Page 37 of 38

UM 2211
Attachment 1
Page 30 of 30 ORDER NO. 23-033
IN WITNESS WHEREOF, the Parties have executed this Agreement to be effective as of the
day and year first above written.
PORTLAND GENERAL ELECTRIC PACIFICORP
COMPANY
By: By:
Its: Its:
NORTHWEST NATURAL GAS CASCADE NATURAL GAS
COMPANY CORPORATION
By: By:
Its: Its:
AVISTA UTILITIES IDAHO POWER COMPANY
By: By:
Its: Its:
COMMUNITY ENERGY PROJECT VERDE
By: By:
Its: Its:
ROG E LIMATE
5ijo
By: Hannah Sohl
Its: Executive Director(01/30/2023)
19
APPENDIX A
Page 38 of 38

ITEM NO. CA10
PUBLIC UTILITY COMMISSION OF OREGON
STAFF REPORT
PUBLIC MEETING DATE: February 21, 2023
REGULAR CONSENT X EFFECTIVE DATE N/A
DATE: January 25, 2023
TO: Public Utility Commission
FROM: Kathy Zarate
THROUGH: Bryan Conway, Marc Hellman, and Matt Muldoon SIGNED
SUBJECT: AVISTA:
(Docket No. UM (2053(3))
Request application for reauthorization to defer the differences associated
with an increase in the annual regulatory fee.
STAFF RECOMMENDATION:
Staff recommends that the Commission approve Avista Utilities' (Avista, AVA, or
Company) request to defer costs associated with the incremental difference in the
current annual regulatory fee and that embedded in base rates, for the 12-month period
beginning January 1, 2023.
DISCUSSION:
Issue
Whether the Commission should approve Avista's request for authorization to defer
costs associated with the variance in the annual regulatory fee and the amount
collected in rates.
Applicable Rule or Law
In accordance with ORS 757.259, the Commission has the authority to authorize the
deferral of utility revenues and expenses for later inclusion in rates. Utilities may seek
approval to defer amounts for later inclusion in rates to minimize the frequency of rate
changes or to appropriately match customer benefits and costs.

Docket No. UM 2053(3)
January 25, 2023
Page 2
Unless subject to an automatic adjustment clause under ORS 757.210(1), amounts
deferred are allowed in rates to the extent authorized by the Commission in a
proceeding under ORS 757.210 to change rates and upon review of the utility's
earnings at the time of application to amortize the deferral.
OAR 860-027-0300 is the Commission's rule governing the use of deferred accounting
by energy and large telecommunications utilities and requires the utility to provide
certain information in an application to defer—such as the reason for the deferral—the
estimated amount of the deferral.
Analysis
Background
On May 24, 2019, Oregon Governor Kate Brown signed Senate Bill 68 (SB 68), which
revised ORS 756.310 to allow the annual regulatory fee that is imposed on public
utilities and telecommunications providers to increase from 0.3 percent up to 0.45
percent.
In accordance with ORS 756.310(3), on February 26, 2020, the Commission issued
Order No. 20-054 authorizing collection of the annual regulatory fee from the public
utilities operating in Oregon subject to regulation by the Commission at 0.35 percent of
2019 gross operating revenues (Docket No. UM 1012); On February 25, 2021, the
Commission issued Order No. 21-066 in the same docket, authorizing collection of the
annual regulatory fee at 0.375 percent of 2020 gross operating revenues.
On February 24, 2022, the Commission issued Order No. 22-062 in the same docket,
authorizing collection of the annual regulatory fee at 0.43 percent of 2021 gross
operating revenues. By March 1, 2023, the Commission will issue another order in
Docket No. UM 1012, establishing the annual regulatory fee for gross operating revenue
derived from natural gas utility operations in Oregon during the calendar year 2022.
Senate Bill 68 allows for a fee level increase up to 0.45 percent of gross operating
revenue.
Reason for Deferral
Pursuant to ORS 757.259(2)(e) and for the reasons discussed above, Avista seeks
continued deferred accounting treatment for costs associated with any potential
increase in the annual regulatory fee, effective January 1, 2023.
Proposed Accounting
Avista proposes to record the deferred amount as a regulatory asset in FERC
Account 182.3 (Other Regulatory Assets) with a credit to FERC Account 407

Docket No. UM 2053(3)
January 25, 2023
Page 3
(Regulatory Credits). Absent Commission approval of this application, Avista will record
the incremental cost in FERC Account 928 (Regulatory Commission Expense).
Estimated Deferral in Authorization Period
The Company included in its 2021 general rate case (Docket No. UG 433) a
Commission regulatory fee of 0.375 percent, and that was embedded in the stipulations
approved by the Commission in Order No. 22-291 for rates effective since
August 22, 2022. If the 2023 fee rate remains at the 2021 rate of 0.43 percent, Avista
estimates a deferral of approximately $101,000. If the 2023 fee rate increases to the
maximum 0.45 percent allowable by ORS 756.310, Avista estimates a deferral of
approximately $137,000.
Information Related to Future Amortization
• Earnings Review — Cost recovery associated with this deferral will not be subject
to having an earnings review applied because it applies to the Commission-
established regulatory fee.
• Prudence Review — Should be performed by the Commission Staff as part of
their review of this deferral's annual reauthorization filing.
• Rate Spread/Rate Design — Revenues will be allocated to each cost-of-service
schedule with the basis to be determined prior to amortization.
• Sharing — This deferral is not subject to a sharing mechanism.
• Three Percent Test (ORS 757.259(6)) — The three percent test measures the
annual overall average effect on customer rates resulting from deferral
amortizations. The three percent test limits (with exceptions) the aggregated
deferral amortizations during a 12-month period to no more than three percent of
the utility's gross revenues for the preceding year.
Conclusion
Staff concludes that the Company's application to authorize deferral of the increase in
costs associated with increases in the annual regulatory fee from that embedded in
rates is consistent with ORS 757.259. While an earnings review is required prior to
amortization of this deferral pursuant to ORS 757.259(5), this deferral will not have any
application of an earnings test. Staff recommends that any deferred amounts that were
accrued over the authorized rate of return be recovered by the Company for three
reasons:

Docket No. UM 2053(3)
January 25, 2023
Page 4
• First, the PUC fee is collected from customers and is ultimately a pass-through for
the purpose of funding a portion of the PUC's operations.
• Second, the proposed treatment is equivalent whether the deferral reflects an
increase in the PUC gross revenue fee or a reduction in the gross revenue fee.
• Third, the proposal to not subject the deferred amounts to over-earnings
absorption is generally consistent with the treatment allowed by the Commission
in Order No. 10-083, wherein the Commission lowered the annual PUC rate and
ordered electric and natural gas utilities to defer the difference between the
previous rate and the revised rates. The 2022 amounts the Company deferred
under UM 2053 are pending approval for recovery in Docket No. UG 441.
The Company has reviewed this memo and voiced no concerns.
PROPOSED COMMISSION MOTION:
Approve Avista's request to defer costs associated with the incremental difference in the
current annual regulatory fee of 0.45 percent of gross operating revenues—or
applicable rate embedded in effective rates charged to customers if different, and the
costs associated with the recent increase in the annual regulatory fee for the 12-month
period beginning January 1, 2023.
AVA UM 2053(3)Regulatory Fee Deferral