HomeMy WebLinkAbout20250312Final_Order_No_36506.pdf Office of the Secretary
Service Date
March 12,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF ROCKY MOUNTAIN ) CASE NO. PAC-E-24-04
POWER'S APPLICATION FOR )
AUTHORITY TO INCREASE ITS RATES ) ORDER NO. 36506
AND CHARGES IN IDAHO )
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 proposed 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. Order Nos. 36240 & 36253.
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.' The parties agree that the Settlement resolves the outstanding issues in
this case.
On January 9, 2025, the Commission held a technical hearing. Staff, IIPA, and the
Company all offered pre-filed testimony in support of the Settlement to be spread on the record.
PIIC and Bayer filed comments in support of the Settlement.Fourteen other public comments were
filed. Conforming Tariffs were included in the Company's testimony.
On January 21, 2025, IIPA filed a petition for intervenor funding, requesting recovery of a
total of$27,246.63 in expenses and other costs incurred during this case.
On January 31, 2025, the Commission issued Order No. 36452, which approved the
Proposed Settlement with a modified effective date of February 1, 2025, for new rates. However,
Order No. 36452 did not address IIPA's request for intervenor funding.
1 The one party that did not sign—ICL—had already filed a notice of withdrawal on November 14,2024.
ORDER NO. 36506 1
IIPA'S PETITION FOR INTERVENOR FUNDING
IIPA's petition includes an itemized list of expenses totaling$27,246.63—including expert
witness fees and legal fees. IIPA argues that these expenses are reasonable given that they were
necessarily incurred in participating in the settlement conferences, in drafting discovery and
reviewing discovery responses, and in negotiation.
IIPA's states that its proposed recommendations are captured in the Settlement. IIPA
believes the Settlement,resulting proposed revenue requirement, and new rates are a fair,just, and
reasonable resolution of the issues.
IIPA argues that the costs it incurred in this case constitute a financial hardship for the
association which is a 501(c)(5) nonprofit and represents farming interests in eastern and central
Idaho through voluntary contributions by its members—which have been falling. Approximately
1/3 of its potential members are operating in the Company's service area. IIPA states that due to
its limited means of participation in this and other cases, its participation has been focused and
prudent.
IIPA notes that absent the Settlement, it would have (1) argued at a technical hearing that
certain expenses related to wildfire restoration should have been removed from rate base; and(2)
proposed changes to the Company's capital structure. IIPA argues that the issues it raised
materially differed from those addressed by the other parties.
COMMISSION FINDINGS AND DECISION
The Commission has jurisdiction over the Company's Application and the issues in this
case under Title 61 of the Idaho Code including Idaho Code §§ 61-301 through 303. The
Commission is empowered to investigate rates, charges,rules,regulations,practices, and contracts
of all public utilities and to determine whether they are just, reasonable, preferential,
discriminatory, or in violation of any provisions of law, and to fix the same by order. Idaho Code
§§ 61-501 through 503.
Commission decisions benefit from robust public input. "It is hereby declared the policy
of this state to encourage participation at all stages of all proceedings before the commission so
that all affected customers receive full and fair representation in those proceedings."Idaho Code
§ 61-617A(1). Recoverable costs can include legal fees, witness fees, transportation, and other
expenses so long as the total funding for all intervening parties does not exceed$40,000.00 in any
ORDER NO. 36506 2
proceeding.Idaho Code § 61-617A(2).The Commission must consider the following factors when
deciding whether to award intervenor funding:
(1) That the participation of the intervenor materially contributed to the
Commission's decision;
(2) That the costs of intervention are reasonable in amount and would be a
significant financial hardship for the intervenor;
(3) The recommendation made by the intervenor differs materially from the
testimony and exhibits of the Commission Staff; and
(4) The testimony and participation of the intervenor addressed issues of concern
to the general body of customers.
Id.
To obtain an award of intervenor funding, an intervenor must further comply with
Commission's Rules of Procedure 161-165, IDAPA 31.01.01.161-165. Rule 162 of the
Commission's Rules of Procedure provides the form and content requirements for a petition for
intervenor funding. The petition must contain: (1) an itemized list of expenses broken down into
categories;(2)a statement of the intervenor's proposed finding or recommendation;(3)a statement
showing that the costs the intervenor wishes to recover are reasonable; (4) a statement explaining
why the costs constitute a significant financial hardship for the intervenor; (5)a statement showing
how the intervenor's proposed finding or recommendation differed materially from the testimony
and exhibits of the Commission Staff, (6) a statement showing how the intervenor's
recommendation or position addressed issues of concern to the general body of utility users or
customers; and (7) a statement showing the class of customer on whose behalf the intervenor
appeared. The Petition filed by IIPA comports with the procedural and technical requirements of
the Commission's Rules.
Commission Rule 165.02-.03 requires the payment of awards of intervenor funding to be
made by the utility and is an allowable expense to be recovered from ratepayers in the next general
rate case. IDAPA 31.01.01.165.02-.03.
We find that IIPA's petition satisfies the intervenor funding requirements. IIPA intervened
and participated in all aspects of the proceeding. IIPA's petition for intervenor funding was filed
timely and no party objected to IIPA's petition. Because we lack insight into the confidential
settlement negotiations, we award intervenor funding based on our assessment of the submitted
written materials included in IIPA's petition. IIPA demonstrated that it worked closely with the
Company and Staff and other intervenors throughout the case.
ORDER NO. 36506 3
The Commission finds that IIPA materially contributed to the Commission's final decision.
IIPA's recommendations materially differed from the request in the Company's Application.
IIPA's participation addressed issues of concern to the general body of customers. Finally,we find
the expert witness fees, legal fees, paralegal fees, and soft costs incurred by IIPA are reasonable
in amount for this case,and that IIPA, as a non-profit organization,would suffer financial hardship
if the request is not approved.
IIPA's request for intervenor funding does not exceed the statutory maximum award
allowed in any single case. Accordingly, we find it reasonable to award IIPA its full request of
$27,246.63 in intervenor funding. We hereby authorize a total of$27,246.63 to be paid to IIPA.
ORDER
IT IS HEREBY ORDERED that IIPA's petition for intervenor funding is granted in the
amount of$27,246.63. See Idaho Code § 61-617A(2), IDAPA 31.01.01.165.01. The Company is
ordered to remit said amount to IIPA within 28 days from the date of this Order. IDAPA
31.01.01.165.02. The Company shall be permitted to recover the cost of this intervenor funding in
its next general rate case from its Schedule 10 irrigation customer class. See Idaho Code § 61-
617A(3).
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date upon this Order regarding any
matter decided in this Order. Within seven (7) days after any person has petitioned for
reconsideration, any other person may cross-petition for reconsideration. Idaho Code § 61-626.
ORDER NO. 36506 4
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this 12t'day of
March 2025.
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EDWARD LODGE RESIDENT
JO R. HAMMOND JR., COMMISSIONER
Recused
DAYN HARDIE, COMMISSIONER
ATTEST:
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Commission Secretary
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ORDER NO. 36506 5