HomeMy WebLinkAbout20250422Notice_of_Application_Order_No_36566.pdf Office of the Secretary
Service Date
April 22,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE ELECTRIC ) CASE NO. AVU-E-25-04
LINE EXTENSION SCHEDULE 51 )
ANNUAL RATE ADJUSTMENT FILING ) NOTICE OF APPLICATION
OF AVISTA CORPORATION )
NOTICE OF
MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF
PROPOSED EFFECTIVE DATE
ORDER NO. 36566
On March 31, 2025, Avista Corporation, doing business as Avista Utilities ("Company")
filed an application ("Application") with the Idaho Public Utilities Commission ("Commission")
for an order approving the update in costs and administrative changes to the Company's Electric
Line Extension Schedule 51. The Company requested a May 15, 2025, effective date, and that its
filing be processed by Modified Procedure.
The Commission now issues this Notice of Application, Notice of Modified Procedure,
Notice of Suspension of Proposed Effective Date, and sets dates for public comments and the
Company's reply.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that Schedule 51 incorporates average costing for
electrical facilities commonly used to extend service. Schedule 51 sets forth "Basic and
Exceptional Costs" that have a fixed and variable component, with the variable component stated
on a cost-per-foot basis. These Basic and Exceptional Costs apply to facilities like transformers
and conduit and are based on recent average costs. The Company represents that average costing
works well and the Company does not propose changing the conceptual structure of the tariff.
YOU ARE FURTHER NOTIFIED that in compliance with Order No. 35757 the Company
included workpapers detailing the"hours,materials,and vehicle support for each j ob."Application
at 2. Actual work order estimates were also included for each job type. Id.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 1
YOU ARE FURTHER NOTIFIED that the Company updated the allowances for new
residential, industrial, and commercial customers' services. Id. at 3. The Company based the
updated allowances on an embedded cost method that seeks to ensure investments in facilities for
new customers track embedded costs included in base rates.Id. The Company proposes that costs
that exceed the allowance will be paid by the customer and will be booked as a contribution in aid
of construction.Id. The Company based the embedded costs on the cost-of-service study used for
the Settlement approved in Case No. AUV-E-23-01. Id. The Company proposes the following
allowance changes on Page 3 of the Application:
Service Schedule Existin Proposed
Schedule 1 Individual Customer per $ 2,475 $ 2,545
unit
Schedule 1 Duplex per unit $ 1,980 $ 2.035
Schedule 1 Multiplex per unit $ 1,490 $ 1,530
Schedule 11/12 per kWh $ 0.19321 $ 0.19912
Schedule 21/21 per kWh $ 0.17749 $ 0.18388
Schedule 31/32 per kWh $ 0.31838 $ 0.32929
YOU ARE FURTHER NOTIFIED that the Company is not proposing to update the
Construction and Material Standards because the Company believes that the current standards
comply with and reflect the most recent National Electric Safety Code.Id. at 4. The Company does
propose, on Page 4 of the Application, to update the primary, secondary, service, and transformer
average cost as follows:
Present' Proposed
Overhead Primary Circuit
Fixed Cost $ 5,379 $ 5,536
Variable Cost $ 10.69 $ 11.20
Underground Primary Circuit
Fixed Costs $ 2,516 $ 2,583
Variable Costs $ 13.48 $ 13.55
Underground Secondary Circuit
Fixed Costs $ 666 $ 647
Variable Costs $ 14.17 $ 12.75
' The Company's Application mistakenly included the term"Proposed"in this column.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 2
Overhead Secondary Circuit
Fixed Costs $ 2,212 $ 2,279
Overhead Service Circuit $ 5.02 $ 5.06
Underground Service Circuit $ 10.46 $ 10.29
Overhead Transformer $ 5,025 $ 5,308
Padmount Transformer $ 8,413 $ 10,003
YOU ARE FURTHER NOTIFIED that the Company indicates the primary drivers of
higher costs are increased labor and transformer cost,and that the driver of reduced costs for some
underground work stems from a reduction in the cost of conduit and resin products.Id. at 4-5. The
Company states that the high demand for transformers across the nation and low availability in the
utility sector, continues to drive prices upward, as seen in years past.Id. at 5.
YOU ARE FURTHER NOTIFIED that the Company proposes, on Page 6 of the
Application, to update its residential development costs to reflect the most current Construction
and Material Standards and average 2024 construction costs as follows:
Residential Develo ments Present Proposed
Total Cost per Lot $ 3,358 $ 3,849
Less: Service Cost $ 525 $ 516
Developer Responsibility $ 2,833 $ 3,333
Developer Refundable Payment $ 2,475 $ 2,545
Builder Non-Refundable Payment $ 883 $ 1,304
Allowance $ 2,475 $ 2,545
YOU ARE FURTHER NOTIFIED that the Company proposes to add an Application Fee
of $1,000 for load requests of 3,000 kVA (3 MVA) or greater, in an effort to reflect the
considerable amount of time, effort, and complexity to evaluate large load requests. Id. at 6. The
Company also adds language to clarify that any additional capacity impact studies beyond standard
design will be paid in full by the customer requesting service. Id. The Company states that both
changes align with industry practices among other utilities and ensure that only qualified new
customers move through the interconnection process.Id. at 7.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 3
YOU ARE FURTHER NOTIFIED that the Company noted it will send notices to
potentially affected developers and builders the week of April 7, 2025.Id. at 7.
YOU ARE FURTHER NOTIFIED that the Application and all submitted documents are
available for public inspection during regular business hours at the Commission's office. The
Application is also available on the Commission's website at www.puc.idaho.gov. Click on the
"ELECTRIC" icon, select "Open Cases," and click on the case number as shown on the front of
this document.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant
to the Commission's jurisdiction under Title 61 of the Idaho Code, and that all proceedings in this
matter will be conducted pursuant to the Commission's Rules of Procedure, IDAPA 31.01.01.000
et seq.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the public
interest may not require a formal hearing in this matter and will proceed under Modified Procedure
pursuant to Rules 201 through 204 of the Commission's Rules of Procedure,IDAPA 31.01.01.201
through .204. The Commission notes that Modified Procedure and written comments have proven
to be an effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that persons desiring to state a position on this
Application may file a written comment explaining why the person supports or opposes the
Application. Persons who would like a hearing must specifically request a hearing in their written
comments and explain why written comments alone are insufficient. Persons interested in filing
written comments must do so by May 5, 2025. Comments must be filed through the
Commission's website or by e-mail unless computer access is unavailable. To comment
electronically, please access the Commission's website at http://www.puc.idaho.gov/. Click the
"Case Comment Form" and complete the form using the case number as it appears on the front of
this document.
To file by e-mail, persons must e-mail the comments to the Commission Secretary and all
parties at the e-mail addresses listed below. Persons submitting a comment by e-mail must provide
their name, address, and the Case Number under which they are commenting. Persons submitting
a comment by e-mail also acknowledge that submitting a comment in an open case constitutes a
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 4
public record under Idaho Code § 74-101(13), and all information provided by such person is
available for public and media inspection.
If computer access is unavailable, then comments may be mailed to the Commission and
the Parties at the addresses below.Persons submitting a comment by mail must provide their name,
address, and the Case Number under which they are commenting. Persons submitting a comment
by mail also acknowledge that submitting a comment in an open case constitutes a public record
under Idaho Code§74-101(13),and all information provided by such person is available for public
and media inspection.
For the Idaho Public Utilities For Avista Corporation
Commission:
Commission Secretary David J. Meyer, Esq.
Idaho Public Utilities Commission Vice President and Chief Counsel for
P.O. Box 83720 Regulatory & Governmental Affairs
Boise, ID 83720-0074 P.O. Box 3727
secretgakpuc.idaho.gov 1411 E. Mission Ave., MSC 13
Spokane, WA 99220
Street Address for Express Mail: David.me erkavistacorp.com
11331 W. Chinden Blvd. Patrick Ehrbar
Building 8, Suite 201-A Director of Regulatory Affairs
Boise, ID 83714 Avista Corporation
P.O. Box 3727
1411 E. Mission Ave., MSC 27
Spokane, WA 99220
Patrick.ehrbarkavistacorp.com
YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by
May 12, 2025.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are received
within the time limit set,the Commission will consider this matter on its merits and enter its order
without a formal hearing. If written comments are received within the time limit set, the
Commission will consider them and, in its discretion, may set the same for formal hearing
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
YOU ARE FURTHER NOTIFIED that the Company's Application proposes that the tariff
sheets be made effective May 15, 2025. The Commission finds it appropriate to suspend the
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 5
Company's proposed effective date for 30 days plus 5 months, unless the Commission issues an
earlier order accepting,rejecting, or modifying the Company's Application. See Idaho Code § 61-
622(4).
ORDER
IT IS HEREBY ORDERED that this Application be processed under Modified Procedure.
Persons interested in submitting written comments must do so by May 5, 2025. The Company
must file any reply comments by May 12, 2025.
IT IS FURTHER ORDERED that the Company's proposed effective date of May 15,2025,
is suspended for 30 days plus 5 months pursuant to Idaho Code § 61-622(4), unless the
Commission issues an earlier order accepting, rejecting, or modifying the Application.
IT IS FURTHER ORDERED that parties comply with Order No. 35375, issued April 21,
2022. Generally, all pleadings should be filed with the Commission electronically and will be
deemed timely filed when received by the Commission Secretary.See Rule 14.02. Service between
parties should continue to be accomplished electronically when possible. However, voluminous
discovery-related documents may be filed and served on CD-ROM or a USB flash drive.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 22"d day of
April 2025.
EDWARD LODGE, PRE T ENT
6�OHN R. HAMMOND JR., COMMISSIONER
DAYN H DIE, COMMISSIONER
ATTEST:
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IALega1\ELECTRIC\AVU-E-25-04_Sch 51\orders\AWE2504_Ntc_App_Mod_Susp_em.docx
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE
ORDER NO. 36566 6