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Home My WebLink About20250313IPC to Staff 1_3 Supplemental.pdf aIDAHO Re RECEIVED March 13, 2025 MEGAN GOICOECHEA ALLEN Idaho Public Corporate Counsel Utilities Commission mgoicoecheaallen(D_idahopower.com March 13, 2025 Commission Secretary Idaho Public Utilities Commission 11331 W. Chinden Boulevard Building 8, Suite 201-A Boise, Idaho 83714 Re: Case No. IPC-E-25-01 Idaho Power Company's Annual Compliance Filing to Update the Substation Allowance Amount Under Schedule 19, Large Power Service; Tariff Advice No. IPC-TAE-24-06 Dear Commission Secretary: Attached for electronic filing, please find Idaho Power Company's Supplemental Response to the First Production Request of the Commission Staff to Idaho Power in the above-entitled matter. If you have any questions about the attached documents, please do not hesitate to contact me. Sincerely, � I Q�XYN l Megan Goicoechea Allen MGA:sg Attachments 1221 W. Idaho St(83702) P.O. Box 70 Boise, ID 83707 MEGAN GOICOECHEA ALLEN (ISB No. 7623) Idaho Power Company 1221 West Idaho Street (83702) P.O. Box 70 Boise, Idaho 83707 Telephone: (208) 388-5317 Facsimile: (208) 388-6936 mgoicoecheaal len(o-)_idahopower.com Attorney for Idaho Power Company BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF IDAHO POWER ) COMPANY'S ANNUAL COMPLIANCE ) CASE NO. IPC-E-25-01 FILING TO UPDATE THE SUBSTATION ) ALLOWANCE AMOUNT UNDER ) IDAHO POWER COMPANY'S SCHEDULE 19, LARGE POWER SERVICE; ) SUPPLEMENTAL RESPONSE TO TARIFF ADVICE NO. IPC-TAE-24-06. ) THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMES NOW, Idaho Power Company ("Idaho Power" or "Company"), and in response to the First Production Request of the Commission ("Commission" or "IPUC") Staff to Idaho Power Company dated January 24, 2025, herewith supplements the following information: IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER - 1 REQUEST FOR PRODUCTION NO. 1: For the following items contained in Company workpaper: CONFIDENTIAL 2025 Sch. 19 Substation Allowance Calculation.xlsx, please provide: (1) the workpapers (with formulas intact) for the derivation of the loaded material cost, and (2)the foundational cost documentation (actual invoices, quotes, etc.) and workpapers with formulas intact used to determine the direct material cost: a) 4-unit metal-clad switchgear; b) 44.8 MVA transformer; c) 138kV air brake switch structure and foundation; d) 138kV high-side circuit interrupter foundation; e) 13kV air brake switch structure and foundation; and f) 13kV pad mount local service. SUPPLEMENTAL RESPONSE TO REQUEST FOR PRODUCTION NO. 1: Following a discussion with Commission Staff, Idaho Power provides the following additional information in response to Staff's Request for Production No. 1. Please note the information provided with this supplemental response is the same information previously provided to Staff via email on March 7, 2025. Idaho Power has a Procurement Policy and a Procurement Standard in place that governs procurement activities including competitive bidding practices and to help ensure that procurement decisions are made based on the best overall value to Idaho Power and its customers. Demand for the 4-unit metal-clad switchgear and the 44.8 MVA transformer has significantly exceeded supply, which is leading suppliers to increase prices for the same IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER - 2 products. Copper, steel, and non-ferrous metal (including aluminum) prices increased by approximately 18 percent, 12 percent, and 10 percent respectively in 2024 as compared to 2023. Furthermore, labor costs continue to rise, while transportation costs increased slightly. Due to the shortage in materials and increased demand nationwide, lead times have also increased, resulting in current delivery ranges of three to four years, whereas previously they ranged from twelve to fourteen months for typical equipment. The response to this Request is sponsored by Ashley Herrera, Regulatory Analyst, Idaho Power Company. IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER - 3 REQUEST FOR PRODUCTION NO. 3: Please explain the cost increase/decrease for the following items used to calculate the Three Phase Allowance in Company workpaper: CONFIDENTIAL 2025 Sch. 19 Substation Allowance Calculation.xlsx. Also, please include any documentation and the Company's workpapers with formulas intact used to calculate the amounts, including any overheads that were applied: a) Company vehicles (increase); and b) Labor cost (decrease). SUPPLEMENTAL RESPONSE TO REQUEST FOR PRODUCTION NO. 3: Following a discussion with Commission Staff, Idaho Power provides the following additional information in response to Staff's Request for Production No. 3. Please note the information provided with this supplemental response is the same information previously provided to Staff via email on March 7, 2025. The rise in vehicle costs for 2025 compared to 2024 can be attributed to anticipated increases in licensing, depreciation, and miscellaneous expenses to include but not limited to maintenance costs. Depreciation has increased as newly purchased vehicles have been added to Idaho Power's fleet, replacing older vehicles. The larger asset balance of vehicles in which the depreciation rate is applied to is a contributing factor to the increase in vehicle depreciation expense overall. The response to this Request is sponsored by Ashley Herrera, Regulatory Analyst, Idaho Power Company. IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER -4 Respectfully submitted this 13th day of March 2025. Awrt, i MEGAN GOICOECHEA ALLEN Attorney for Idaho Power Company IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER - 5 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 13th day of March 2025, 1 served a true and correct copy of Idaho Power Company's Supplemental Response to the First Production Request of the Commission Staff to Idaho Power upon the following named parties by the method indicated below, and addressed to the following: Commission Staff Hand Delivered Chris Burdin U.S. Mail Deputy Attorney General Overnight Mail Idaho Public Utilities Commission FAX 11331 W. Chinden Blvd., Bldg No. 8 FTP Site Suite 201-A (83714) X Email chris.burdin(a puc.idaho.gov PO Box 83720 Boise, ID 83720-0074 Stacy Gust Regulatory Administrative Assistant IDAHO POWER COMPANY'S SUPPLEMENTAL RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF TO IDAHO POWER - 6