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HomeMy WebLinkAbout20250811Notice_of_Application_Order_No_36713.pdf Office of the Secretary Service Date August 11,2025 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF AVISTA ) CASE NOS. AVU-E-25-06 CORPORATION'S APPLICATION FOR AN ) AVU-G-25-04 ORDER AUTHORIZING ACCOUNTING ) AND RATEMAKING TREATMENT OF ) NOTICE OF APPLICATION COSTS ASSOCIATED WITH INVESTMENT ) IN AN ENTERPRISE RESOURCE ) NOTICE OF PLATFORM ) MODIFIED PROCEDURE ORDER NO. 36713 On July 1, 2025, Avista Corporation ("Company") applied for an order authorizing proposed accounting and ratemaking treatment related to Avista's investment in an Enterprise Resource Platform ("ERP"). The Company requests processing of this matter via modified procedure with a final order issued by October 1, 2025. With this Order the Commission issues notice of the Company's Application and establishes public comment and Company reply deadlines. NOTICE OF APPLICATION YOU ARE HEREBY NOTIFIED that the Company represents that many of its computer software systems, which were installed in 2012, have exceeded their expected useful life. YOU ARE FURTHER NOTIFIED that the Company represents that after considering the costs and benefits of replacing these separate systems individually it has decided to implement an ERP. YOU ARE FURTHER NOTIFIED that the Company represents that the ERP will centralize key business functions—like finance, HR, supply chain, and customer service—into a single system. YOU ARE FURTHER NOTIFIED that the Company represents that this consolidation of function allows for real-time data and insights, increased efficiency, better decision-making, and improved coordination. YOU ARE FURTHER NOTIFIED that the Company included an ERP Business Case report with the Application that describes key features of the proposed ERP and contains an initial NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36713 1 cost-benefit analysis of replacing the Company's existing systems individual or with the proposed ERP. YOU ARE FURTHER NOTIFIED that the Company represents that the transition to an ERP will occur in phases over the next few years, concluding in 2028. YOU ARE FURTHER NOTIFIED that the Company requests authorization to defer or capitalize certain investments, expenses, and costs associated with the transition to an ERP as described in the Application and the adoption of a 15-year depreciable life for the ERP. YOU ARE FURTHER NOTIFIED that the Company requests that the Commission issue a final order approving the Application by October 1, 2025, so that it can finalize vendor agreements and begin transitioning to the ERP. YOU ARE FURTHER NOTIFIED that the Application is available for public inspection during regular business hours at the Commission's office. These documents are also available on the Commission's website at www.pue.idaho.gov. Click on the"ELECTRIC"icon, or click on the "NATURAL GAS"icon, select"Open Cases,"and click one of the case numbers 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. YOU ARE FURTHER NOTIFIED 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 it will review the case through written submissions under the Commission's Rules of Modified Procedure Rules 201-204 of the Idaho Public Utilities Commission's Rules of Procedure, IDAPA 31.01.01.201-204. 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 they support or oppose the Application. Persons who would like a hearing must specifically request a hearing in their written comments. Persons shall have until September 3,2025,to file written comments. Comments must be filed NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36713 2 through the Commission's website or by e-mail unless computer access is unavailable. To comment electronically,please access the Commission's website at 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 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 PUC: For Avista Corporation: Commission Secretary Patrick D. Ehrbar Idaho Public Utilities Commission Avista Utilities P.O. Box 83720 P.O. Box 3727 Boise, ID 83720-0074 1411 E. Mission Ave. secretga&puc.idaho.gov Spokane, WA 99220-3727 pat.ehrbar(aavistacorp.corn Street Address for Express Mail: avistadockets(ae,avistacorp.com 11331 W. Chinden Blvd. David J. Meyer Building 8, Suite 201-A Avista Corporation Boise, ID 83714 P.O. Box 3727 1411 E. Mission Ave. Spokane, WA 99220-3727 david.meyer(d),avistacorp.com NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36713 3 YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by September 17, 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. ORDER IT IS HEREBY ORDERED that the Company's Application be processed by Modified Procedure. Persons interested in submitting written comments must do so by September 3, 2025. The Company must file any reply comments by September 17, 2025. 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 I Ith day of August 2025. G Gv� EDWARD LODGE, PRE, T ENT �4 91�', - J R. HAMMOND JR., COMMISSIONER DAYN HAR,61E, COMMISSIONER ATTEST: I JJQ4t6� M1fnYca1Ba14e-§&4hez Commission Secretary IALega1\ELECTRIC\AVUE2506_G2504_ERP\AVUE2506G2504_Me of App_Mod_at.docx NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36713 4