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Home My WebLink About20250807Comments.pdf RECEIVED August 7, 2025 IDAHO PUBLIC Tara Malek, ISB #8709 UTILITIES COMMISSION Pendrey P. Trammell, ISB #12098 SMITH+MALEK, PLLC 601 E. Front Ave, Ste. 304 Coeur d'Alene, ID 83814 P. (208) 215-2411 F. (208) 215-2416 E: service(&smithmalek.com BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF COMMISSION Case No. GNR-E-25-02 STAFF'S APPLICATION FOR APPROVAL OF A FILING PROCESS BENNETT LUMBER PRODUCTS, INC., FOR WILDFIRE MITIGATION IDAHO FOREST GROUP, MANULIFE PLANS INVESTMENT MANAGEMENT, MOLPUS WOODLANDS GROUP, and STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS COMES NOW, BENNETT LUMBER PRODUCTS, INC., IDAHO FOREST GROUP, MANULIFE INVESTMENT MANAGEMENT, MOLPUS WOODLANDS GROUP, and STIMSON LUMBER COMPANY ("Intervenors") respectfully submit the following comments in response to the Commission Staff's Application filed on June 18, 2025 ("Application") and the Staff's Supplement to the Application (the "Supplement Application") filed July 10, 2025, in the above-captioned proceeding. Intervenors' reserve the right to provide substantive comments in the future as to Wildfire Mitigation Plans ("WMP") that will be filed by utilities in the future. As such, the comments below are limited to comments regarding the proposed guidelines put forth by the Commission Staff. BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS- 1 I. INTRODUCTION Intervenors each are private timber land owners or managers with a considerable amount of timber acreage in Idaho. Intervenors' timberlands are located adjacent to or within utility service territories across the state and are vulnerable to the effects of both wildfires and wildfire mitigation activities conducted by electric utilities. As such, they have a direct and substantial interest in ensuring that the procedures governing the development and implementation of Wildfire Mitigation Plans ("WMPs") provide for transparency, stakeholder engagement, and the protection of private property rights. II. COMMENTS A. Lack of Stakeholder Engagement The proposed WMP process does not include coordination with or input or recommendations from the Idaho Department of Lands (IDL). Idaho Code Title 38, Chapter 1 specifically charges IDL with protecting state and private forest lands. Idaho Code Section 38-102 provides, in pertinent part, as follows: It shall be the duty of the director of the department of lands to execute the provisions of this chapter, and the rules and regulations of the state board of land commissioners pertaining to forest and watershed protection; to represent the state in cooperation with forest owners and others in forest protection work; to further the enforcement of laws for the protection and preservation of forests... Idaho Department of Lands Fire Management (IDL Fire) has the support of rural volunteer fire departments and other partners and is responsible for fire suppression and prevention on more than 9 million acres of state,private and federal land in Idaho.' This includes initial attack responsibilities aimed at containing fires before they exceed 10 acres—demonstrating its foundational role in on-the-ground wildfire control. IDL's focus is on 'https://www.idl.idaho.gov/fire-management/;see IC §§ 38-101,38-104(1)(a). BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-2 protecting and preserving endowment timber assets as a result of its constitutional duties. Under Article IX, Section 7 and 8 of the Idaho Constitution, the State Board of Land Commissioners, of which IDL is the operational arm, is vested with the duty to manage state endowment lands. Idaho Code Section 58-119(1)provides, in pertinent part, that The department of lands shall have power: 1. To exercise, under the general control and supervision of the state board of land commissioners all the rights, powers and duties vested by law in the state board of land commissioners, except the supervision of public investments, the administration of the Carey Act and the administration of chapter 26 of title 42, Idaho Code. 2. To exercise all the rights, powers and duties of the register of the state board of land commissioners except such as have been transferred.2 IDL's mission is "[t]o professionally and prudently manage Idaho's endowment assets to maximize long-term financial returns to the public schools and other trust beneficiaries and to provide professional assistance to the citizens of Idaho to use, protect, and sustain their natural resources."' Such endowment timber assets fund Idaho schools, private forestland and other beneficiaries.' Wildfire poses a direct threat to the health and productivity of these lands and their associated revenue streams for public institutions. IDL's fiduciary duty includes ensuring the ongoing protection of these lands from the devastating effects of utility-caused fires. As such, any utility activity that increases fire risk—such as poorly maintained lines or lack of vegetation management near rights-of-way—has a direct bearing on IDL's obligations. Under IDAPA 20.04.01, the Idaho Administrative Rules relating to forest fire protection implement several state code authorities—such as Sections 38-115, 38-132, 38-402, 58-104(6), and 58-105, Idaho Code—expressly granting IDL regulatory power over fire hazard management, permitting, and closed-season operations. IDL Fire serves as a critical coordinating 2IC§ 58-119(1). 3 https://www.idl.idaho.gov/about-us/ a https://www.idl.idaho.gov/fire-management/ BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-3 agency for wildfire incident business—developing interagency agreements, logistical protocols, and cost-management systems that align state, federal, and local firefighting resources. Intervenors and private owners of forested land either pay for wildland fire protection through Forest Fire Protection Assessment, a State Forest Protection District, or a Forest Protective Association. Utilities must interface with IDL to ensure consistent incident response, especially when proactive measures like de-energization or vegetation management intersect with hazard mitigation, prevention, and suppression operations. While the proposed guidelines provide that utilities must identify coordination efforts, given IDL Fire's role and responsibilities, the Commission should provide a clear directive that they be included. Utilities cannot reasonably or effectively assess or mitigate wildfire risk without input from the state's central fire management authority. Bypassing IDL in the development of WMPs would result in siloed, inconsistent, and likely inadequate wildfire planning. Recommendation: The Commission should amend the WMP Guidelines as follows: Wildfire Mitigation Plans shall include documented consultation with the Idaho Department of Lands Fire Management. Utilities must coordinate with IDL Fire on risk assessment methodologies, de-energization protocols, vegetation management planning, and incident coordination. Evidence of such consultation, including meeting summaries, IDL feedback, and IDL recommendations as to methods of risk classification and wildfire risk models shall be included with the WMP. B. Inadequate Protections for Marketable Timber While Idaho Code Section 61-1803(3)(g)(iii) requires compensation at fair market value ("FMV") for removal of live marketable timber, neither the statute nor Staff's proposed guidelines provide a procedure for valuation, notice, or dispute resolution. BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-4 Recommendation: The Commission should require that a WMP include: • A written inventory of proposed tree removals; • Identification of an independent third-parry timber appraiser in the event that marketable timber is identified for removal; • A proposed procedure for a landowner to object or seek expedited mediation prior to removal. This would avoid post hoc litigation and ensure property rights are respected. Intervenors reserve the right to provide additional comment on future WMP filings or at future hearings in regards to the specific property rights issues that will arise if there is no opportunity for prior notice and consultation with landowners affected by removal of their timber. C. Preventative Actions and Programs in Exhibit 1 Must Be Mandatory Components of WMPs. Exhibit I to the Commission Staff's July 10, 2025, Supplement to Application outlines the "Wildfire Mitigation Plan Guidelines" pursuant to Idaho Code § 61-1803(3). On page 3 of Exhibit 1, Staff provides a non-exhaustive list of "Preventative Actions and Programs" that utilities may include in their WMPs. This permissive phrasing ("may include") if allowed, will undermine the purpose and the legislative directive codified within the Wildfire Standard of Care Act ("WSCA"). Idaho Code Section 61-1803(3)(b) mandates that every WMP include "Preventative actions and programs that the electric corporation will carry out to reduce the risk of wildfire." The statute requires affirmative commitments—actions that will be carried out. By using "may" instead of"must" or "shall", such legislative directive is undermined. Furthermore, BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-5 discretionary inclusion invites inconsistent utility practices which could leave certain regions underprotected despite having comparable risk profiles. Requiring every WMP to address each of the listed preventative programs—while allowing for variation in scale and implementation ensures clarity in regulatory expectations and consistency in requirements and implementation of best practices. D. Public Hearing Intervenors would further request that the Commission hold a formal hearing to gather additional information and context as to the comments provided herein. The Intervenors respectfully submit that the procedural timeline adopted in this docket has not afforded stakeholders a meaningful opportunity to fully evaluate and engage with the far-reaching policy and operational consequences of the proposed Wildfire Mitigation Plan ("WMP") Guidelines. This rulemaking addresses issues which have substantial economic significance. The manner in which WMPs are developed, reviewed, and implemented will fundamentally shape how wildfire risk is allocated, mitigated, and borne across Idaho's landscapes, utilities, and private landowners—including those, like the Intervenors, whose timberlands are directly impacted by wildfire mitigation actions. The outcomes of this process will also influence the availability of legal protections under Idaho Code § 61-1806 and the allocation of costs under future utility rate proceedings. Collateral consequences as to the manner in which geographic risk assessments are made include insurability of property in areas designated as "high risk". The down stream effects include increased insurance premiums and rates which will be borne by private property owners. Accordingly, and pursuant to IDAPA 31.01.01.204, the Intervenors request that the Commission hold a public hearing before issuing any final order adopting or approving wildfire mitigation plan guidelines. A hearing will allow for a more thorough airing of the legal, operational, BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-6 financial, and environmental implications of the proposed WMP framework and ensure that the Commission's eventual order rests on a complete and balanced record. III. CONCLUSION The Intervenors appreciate the Commission's efforts to implement Idaho's new Wildfire Standard of Care Act and support the development of thoughtful, risk-based mitigation planning. However, the current proposed process lacks some critical protections for adjacent landowners and poses significant risks to Idaho's timber economy if implemented without modification. Intervenors respectfully urge the Commission to incorporate the recommendations outlined above into its final order, thereby ensuring a balanced and stakeholder-responsive wildfire mitigation framework. DATED this 7th day of August, 2025. SMITH+MALEK, PLLC /s/Tara Malek Tara Malek Pendrey Trammell BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-7 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 7th day of August 2025, I caused to be served in the manner noted below, a copy of the document to which this certificate is attached, on the following counsel of record: Commission Staff ❑ By Hand Delivery Adam Triplett ❑ By U.S. Mail Deputy Attorney General ❑ By Overnight Mail Idaho Public Utilities Commission ❑ By Facsimile PO Box 83720 ❑ By Email: adam.triplett(abpuc.idaho.aov Boise, ID 83720-0074 PotlatchDeltic Corporation ❑ By Hand Delivery Peter J. richardson ❑ By U.S. Mail Richardson Adams, PLLC ❑ By Overnight Mail 515 N. 27th St ❑ By Facsimile Boise, ID 83702 Michele Tyler ❑� By Email:, Anna le Tyler michele. lerkpotlatchdeltic.com Tana anna.torma(a�potlatchdeltic.com Wade emliss wade.semeliss(u)potlatchdeltic.com Brian S Jeremy hlecisca brian.schlect potlatchdeltic.com jpiscakrischhpisca.com Kootenai Electric Cooperative, Inc. ❑ By Hand Delivery Michael G. Andrea ❑ By U.S. Mail Thomas Maddalone ❑ By Overnight Mail 9014 W. Lancaster Rd ❑ By Facsimile Rathdrum, ID 83858 ❑✓ By Email: mandreakkec.com tmaddalone(a,kec.com Rocky Mountain Power ❑ By Hand Delivery Joe Dallas ❑ By U.S. Mail 825 NE Multnomah, STE 2000 ❑ By Overnight Mail Portland, OR 97232 Adler El By Facsimile Mark Ad 1407 W. le Temple, STE 330 ❑� By Email:joseph.dallasnnacificorn.com Salt Lake City, UT 84116 datarequest(a�pacificorp.com mark.adler(&pac ificom.com BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-8 IDL ❑ By Hand Delivery J.J. Winters ❑ By U.S. Mail Tyre Holfeltz ❑ By Overnight Mail 300 N 6th St, STE 103 ❑ By Facsimile Boise, ID 83702 ❑� By Email:jwintersnidl.idaho.g_ov; tholfeltz(&idl.idaho.gov Idaho Power ❑ By Hand Delivery Megan Giocoechea Allen ❑ By U.S. Mail Donovan E. Walker ❑ By Overnight Mail Lisa C. Lance Tim Tatum ElBy Facsimile P1 By Email: Riley Connie Maloneylon enbrenner maiocoecheaallen(a,idahopower.com P.O. Box sc dwalker(c�r�,idahopower.com Boise, Ix 83707 Ilance&idahopower.com ttatumg idahopower.com rmaloneya idahopower.com caschenbrenner(ab idahopower.com docketsna.idahonower.com Avista Corporation ❑ By Hand Delivery Anni Glogvac ❑ By U.S. Mail P.O. Box 3727 ❑ By Overnight Mail Spokane, WA 99220-7342 ❑ By Facsimile ❑� By Email: liz.andrews&avistacorp com avistadockets(kavistacorp.com /s/ Peyton Gerbinz PEYTON GERBING BENNETT LUMBER PRODUCTS,INC.,IDAHO FOREST GROUP,MANULIFE INVESTMENT MANAGEMENT,MOLPUS WOODLANDS GROUP,AND STIMSON LUMBER COMPANY'S COMMENTS ON STAFF'S APPLICATION FOR A WILDFIRE MITIGATION PLAN FILING PROCESS-9